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Wednesday 7 September 2016
The United States Files False Claims Act Complaint Against Brentwood, Tennessee – Based Vanguard Healthcare, LLCRead the Press Release
The United States has filed a False Claims Act lawsuit against Vanguard Healthcare LLC, and six of its nursing homes and related entities, as well as Vanguard’s Director of Operations, announced David Rivera, U.S. Attorney for the Middle District of Tennessee and Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Department of Justice Civil Division.
The six Vanguard facilities include Boulevard Terrace, LLC operating as Boulevard Terrace Rehabilitation and Nursing Center in Murfreesboro, Tennessee; Vanguard of Crestview operating as Crestview Health and Rehabilitation in Nashville, Tennessee; Glen Oaks, LLC operating as Glen Oaks Health and Rehabilitation in Shelbyville, Tennessee; Imperial Gardens Health and Rehabilitation, LLC, which previously operated Imperial Gardens Health and Rehabilitation, LLC in Madison, Tennessee and has ceased operations; Manchester Health Care Center, in Manchester, Tennessee, which is operated by Vanguard of Manchester, LLC; and Vanguard of Memphis, LLC, operating as Poplar Point Health and Rehabilitation in Memphis, Tennessee. The lawsuit also names Vanguard’s former Director of Operations, Mark Miller.
“We are committed to combating elderly abuse, neglect and financial exploitation. We will continue to hold accountable those who profit from the care of elderly Medicare and Medicaid beneficiaries, including nursing home operators, while providing non-existent or grossly substandard care.” said U.S. Attorney David Rivera.”“Our seniors rely on the Medicare and Medicaid programs to help care for them with dignity and respect,” said Benjamin C. Mizer, Principal Deputy Assistant Attorney General. “It is critically important that we confront nursing home operators who put their own economic gain over the needs of their residents. Operators who bill Medicare and Medicaid while failing to provide essential services will be held accountable."
The lawsuit alleges that the defendants were responsible for the submission of false claims to Medicare and TennCare for skilled nursing home services that were either non-existent or grossly substandard. The lawsuit also alleges that the defendants submitted required nursing facility Pre-Admission forms with forged physician and nurse signatures. Vanguard Healthcare, LLC is headquartered in Brentwood, Tennessee and has 14 long-term care nursing home providers operating around the United States.
The United States' complaint alleges that between January 1, 2010 and December 31, 2015, five of the Vanguard facilities failed to provide the most basic and essential skilled nursing services to their residents. These facilities include Boulevard, Crestview, Imperial, Glen Oaks and Poplar Point. The lack of adequate care at the Vanguard facilities included chronic staffing shortages and shortages of critical medical supplies, failure to provide standard infection control, failure to administer medication to residents as prescribed by their physicians, failure to provide wound care as ordered by physicians, failure to adequately manage residents’ pain, and providing unnecessary and excessive psychotropic medications to residents and using unnecessary physical restraints on residents. As a result, Vanguard residents suffered pressure ulcers, falls, dehydration, and malnutrition, among other harms.
The United States' complaint further alleges that Mark Miller, who served as the Director of Operations for Vanguard from September 2011 through August 2014, knew that resident care at the Vanguard facilities was non-existent or grossly substandard but failed to correct these problems.
The United States’ complaint also alleges that from September 2012 through April 2014, the Boulevard Terrace, Glen Oaks, Imperial, Manchester and Poplar Point facilities fraudulently submitted falsified pre-admission forms to TennCare, in order to receive payments from TennCare, which the company was ineligible to receive.
On May 6, 2016, the Vanguard corporate entities named in the government's complaint filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code, which were administratively consolidated in the Middle District of Tennessee.
This matter was investigated by the U.S. Attorney’s Office for Middle District of Tennessee, the Commercial Litigation Branch of the Justice Department’s Civil Division, the Department of Health and Human Services’ Office of Inspector General, the Tennessee Attorney General’s Office and the Tennessee Bureau of Investigation Medicaid Fraud Control Unit. This action is supported by the Elder Justice and Nursing Home Initiative, which coordinates the Department’s activities combating elder abuse, neglect and financial exploitation, especially as they impact beneficiaries of Medicare, Medicaid and other federal health care programs. For more information about the Department’s Elder Justice Initiative, see https://www.justice.gov/elderjustice/.
The claims asserted against the defendants are allegations only, and there has been no determination of liability.
The lawsuit is captioned United States vs. Vanguard, et al., case no. 3:16-cv-2380 (M.D.Tenn 2016).
Terrebonne Parish Man Sentenced to 12½ Years Incarceration for Receipt and Distribution of Child PornographyRead the Press Release
U.S. Attorney Kenneth A. Polite announced that DARION VEAL, age 21, of Gray, Louisiana, was sentenced today for crimes involving the sexual exploitation of children.
U.S. District Judge Sarah S. Vance sentenced VEAL to 150 months incarceration, to be followed by 20 years of supervised release. In addition, VEAL will be required to register as a sex offender upon his release.
VEAL was indicted by a federal grand jury as a result of a child exploitation investigation conducted by the U.S. Department of Homeland Security-Homeland Security Investigations (“HSI”) and the Louisiana Bureau of Investigations’ Cyber Crime Unit (“LBICCU”). According to court records, on January 7, 2015, HSI and LBICCU agents executed a search warrant at VEAL’s residence after determining he received and distributed images depicting the sexual victimization of children. On March 3, 2015, VEAL was taken into federal custody pursuant to a federal criminal complaint.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
U.S. Attorney praised the work of the U.S. Department of Homeland Security-HSI and the Louisiana Bureau of Investigations’ Cyber Crime Unit in investigating this matter. Project Safe Childhood Coordinator and Fraud Unit Chief, Assistant U.S. Attorney Brian M. Klebba was in charge of the prosecution.
Tampa Man Sentenced for Conspiracy to Steal and Cash Rent Checks Throughout the State of FloridaRead the Press Release
Tampa, Florida – U.S. District Judge Steven D. Merryday has sentenced Alfredo Castaneda-Pozo (30, Tampa) to five years and three months in federal prison for conspiracy to commit bank fraud and bank fraud. The Court also entered a restitution order in the amount of $429,044.96, to be paid to the victims of the offenses. Castaneda pleaded guilty on May 9, 2016.
According to court documents, from approximately May 2013 through 2015, Castaneda was a leader of a group of conspirators who stole rent payments from rent collection boxes at more than 90 apartment complexes across Florida and in Georgia. The conspirators staked out the drop boxes, burglarized them, and kept the money orders that the victim renters had purchased to pay their rent. The conspirators then washed or altered the original money orders, replacing the original names with their own names, and deposited the stolen money orders into accounts under their control at several banks located throughout Hillsborough and Pinellas Counties. They shared in the proceeds of the thefts, which totaled more than $429,000.
Six of Castaneda’s coconspirators were charged in a related case. Each previously pleaded guilty and has been sentenced as follows:
Juan Carlos Miranda-Noda was sentenced on September 8, 2015, to eight years and one month in federal prison.
Yensy Guevara was sentenced on January 11, 2016, to 15 months’ imprisonment.
Heysy Puente-Lopez was sentenced on January 12, 2016, to time served.
Yamileysi Martell-Guillen was sentenced on January 14, 2016, to 12 months’ imprisonment.
Isnelis Torres-Limonta was sentenced on January 15, 2016, to 15 months’ imprisonment.
Lazaro Velazques was sentenced on February 19, 2016, to 21 months’ imprisonment.
This case was investigated by the United States Secret Service, the Clearwater Police Department, the Hillsborough County Sheriff’s Office, the Tampa Police Department, the Pasco County Sheriff’s Office, the Temple Terrace Police Department, the St. Petersburg Police Department, the Largo Police Department, the Bradenton Police Department, the Sarasota Police Department, the Sarasota County Sheriff’s Office, the Manatee County Sheriff’s Office, and the Palmetto Police Department. It was prosecuted by Assistant United States Attorneys Amanda Riedel and Megan Kistler.
Sumter Couple Accused of Running Chop Shop and Witness TamperingRead the Press Release
Contact Person: DeWayne Pearson (803) 929-3000
Columbia, South Carolina – Acting United States Attorney Beth Drake announced today that Frederick Deon Galloway, 40, and his wife, Tawania Moneik Galloway, 41, both of Sumter, South Carolina, were indicted by a federal grand jury in a four count indictment. Frederick Galloway was indicted for one count of tampering and removing a vehicle identification number (VIN), in violation of Title 18 United States Code, Sections 511 and 2, and one count of operating a chop shop in violation of Title 18 United States Code, Sections 2322(a)(1) and 2. Tawania Galloway and Frederick Galloway were also indicted for one count of federal witness tampering, in violation of Title 18 United States Code, Section 1512(c)(2), and one count of making a false entry in a sworn affidavit with the intent to impede, obstruct, and influence a federal investigation, in violation of Title 18 United States Code, section 1519. If convicted on all counts, Frederick Galloway is facing up to 5 years for removing a VIN, and up to 15 years for the chop shop violation. Frederick Galloway and Tawania Galloway are also facing up to 20 years for the witness tampering charge and up to 20 years for providing a false sworn statement.
The investigation was conducted by the United States Postal Inspection Service, the Sumter Police Department, and the Sumter County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorney T. DeWayne Pearson of the U.S. Attorney’s Office in Columbia, SC.
The Acting United States Attorney stated that all charges in this indictment are merely accusations and that the defendants are presumed innocent until and unless proven guilty.
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Statement by Acting U.S. Attorney Bob Troyer regarding ransom kidnapping incident that concluded this past weekendRead the Press Release
DENVER – Acting U.S. Attorney Bob Troyer released the following statement regarding the alleged ransom kidnapping incident that concluded this past weekend:
“Thanks to the hard work of law enforcement, a man who was kidnapped and held for ransom was safely recovered, and three men allegedly responsible for this crime were arrested. The way law enforcement agencies responded to this rapidly evolving crime shows that collaboration leads to success. Special recognition should go to the Jefferson County District Attorney’s Office, the FBI, the Jefferson County Sheriff’s Office and the Lakewood Police Department, and others, who worked selflessly for the good of the public.
“The U.S. Attorney’s Office has been actively involved in this investigation since the beginning of this crime and is assessing federal charges at this time.”
St. Joseph Man Pleads Guilty to Meth Conspiracy, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a St. Joseph, Mo., man who was struck by a vehicle as he fled on foot from law enforcement officers across a highway, pleaded guilty in federal court today to his role in a conspiracy to distribute methamphetamine and to illegally possessing firearms.
Jeremy D. Marshall, 35, of St. Joseph, pleaded guilty before U.S. District Judge Brian C. Wimes to participating in a conspiracy to distribute methamphetamine, two counts of possessing methamphetamine with the intent to distribute and two counts of being a felon in possession of a firearm.
Marshall was arrested on Feb. 7, 2016, when an investigator with the Buchanan County Drug Strike Force saw him driving a black Harley Davidson motorcycle. Marshall turned off Riverside Road in St. Joseph into the entrance of Chapel Ridge Apartments. The investigator knew that Marshall had a revoked driver’s license, and so followed him until he parked the motorcycle.
As soon as Marshall stopped, the investigator activated his emergency lights and pulled his vehicle in front of Marshall. As the investigator got out of his vehicle, Marshall put the motorcycle in gear and accelerated rapidly over the curb to get around the investigator’s vehicle. Marshall drove the motorcycle over a curb and into a cornfield on the east side of the Chapel Ridge Apartments. Marshall headed north through the field toward U.S. 36 Highway, but as he drove down an embankment his motorcycle got stuck in the mud. The motorcycle fell over and Marshall fell off of it.
Marshall jumped up and took off running as the investigator approached in his vehicle. The investigator got out of his vehicle and began pursuing Marshall on foot. Marshall ran onto the highway and a truck struck him. Marshall hit the front right passenger side of the vehicle, which knocked him to the ground. The investigator grabbed him by the jacket and pulled him across the highway to the shoulder so he would not be struck by oncoming vehicles. Marshall was conscious and complained of pain on the right side of his body. The investigator called an ambulance then searched Marshall; he found a Browning Arms Company .22-caliber pistol in a holster in the small of Marshall’s back. Marshall was also in possession of a small baggie that contained 1.47 grams of methamphetamine and a plastic baggie that contained 52 rounds of ammunition, $175 and drug paraphernalia.
Marshall had been arrested approximately two years earlier, on Feb. 13, 2014, when investigators with the Buchanan County Drug Strike Force stopped his vehicle, a gold Ford Expedition, for a traffic violation. Investigators smelled an odor of burnt marijuana and searched Marshall and his vehicle. Investigators found four unused syringes in Marshall’s left sock and a loaded Smith and Wesson .45-caliber handgun under the driver’s seat of his vehicle. They also found an eyeglass case in the center console of the vehicle, which contained a Ziploc bag with 2.6 grams of methamphetamine. Next to the eyeglass case were digital scales with methamphetamine residue.
Marshall told investigators he purchased methamphetamine for $700 per ounce and distributed it to others. Marshall said he had been dealing for approximately two and a half years; when business was good he purchased a half-ounce of methamphetamine three times per day.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Marshall has prior felony convictions for possession of a controlled substance, forgery, and theft/stealing.
Under federal statutes, Marshall is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Jeffrey Q. McCarther. It was investigated by the Buchanan County Drug Strike Force, the Missouri State Highway Patrol and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Spirit Lake Man Sentenced for Second Degree MurderRead the Press Release
FARGO, ND – United States Attorney Christopher C. Myers announced that on September 7, 2016, Lance Alan Robertson, 28, Fort Totten, ND, was sentenced before US District Judge Ralph R. Erickson to 14 years’ imprisonment for intentionally inflicting death on eighteen-year-old Larse Weylin Azure, Jr.
On the evening of December 19, 2015, Robertson, an enrolled member of the Spirit Lake Nation — a federally recognized Indian tribe — was consuming alcohol with family and friends while driving his vehicle on the Spirit Lake Indian Reservation. When Robertson began to drive erratically, his passengers protested, asking Robertson to let someone else drive. Robertson parked the vehicle straddling the center line of the highway, turned off the ignition, and placed the keys to the vehicle in his pants. The occupants pleaded with Robertson to give the keys over and to start the vehicle, but Robertson refused. A struggle ensued between Robertson and his brother for control of the car keys, at which point Robertson told the passengers to get out of his vehicle. As the passengers were walking along the side of the road, Robertson started his vehicle, revved the engine, backed up, crossed over the center line, and drove at three of the individuals, striking Larse Weylin Azure, Jr. Azure died as a result of the injuries sustained from the vehicle.
Robertson was ordered to pay $14,560.94 in restitution, and $100 in special assessments. Upon his release from imprisonment, Robertson will be on supervised release for three years. This case was investigated by the Bureau of Indian Affairs and prosecuted by Assistant United States Attorney Janice M. Morley.
Sheriff's Deputy Arrested for Extorting Alleged Drug DealerRead the Press Release
Memphis, TN – A Shelby County Sheriff's Office deputy has been arrested for attempting to extort thousands of dollars from an alleged drug dealer. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the criminal complaint today.
According to court documents, Jeremy Drewery, 41, of Arlington, Tennessee, demanded money from a confidential source after the source was arrested on drug charges. In exchange for the money, Drewery promised the source exemption from criminal charges. The source reported the extortion attempt to the Federal Bureau of Investigation (FBI). And the source subsequently made a series of payments to Drewery, all recorded by the FBI.
Drewery was assigned to the Shelby County Sheriff's Office’s Narcotics Task Force.
On Wednesday, September 7th, Drewery had his initial appearance in federal court before U.S. Magistrate Judge Diane K. Vescovo.
Drewery is charged with one count of Hobbs Act Extortion.
If convicted, he faces up to 20 years in federal prison and a fine of up to $250,000.
This case is being investigated by the Tarnished Badge Task Force, which is comprised of investigators from the FBI, Memphis Police Department and the Shelby County Sheriff's Office.
Assistant U.S. Attorney Reagan M. Taylor is prosecuting this case on the government's behalf.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Seven Individuals Sentenced to Prison for Online Fraud ScamsRead the Press Release
Seven defendants were sentenced for their roles in online fraud schemes involving counterfeit checks, “mystery shopper” websites and work-from-home scams, announced Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Gregory K. Davis of the Southern District of Mississippi and Special Agent in Charge Raymond R. Parmer Jr. of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Gulfport, Mississippi, Office.
Funso Hassan, 27, of Ibadan, Nigeria, and Anthony Shane Jeffers, 44, of Maryville, Tennessee, each pleaded guilty on April 12, 2016, to one count of conspiracy to commit identity theft and theft of government property and one count of use of mail and an interstate facility to distribute proceeds of a racketeering activity. Hassan and Jeffers were each sentenced to 120 months in prison. Ann Louise Franzen, 70, of Kiln, Mississippi; Gary Melvin Barnard, 64, of Palestine, Texas; Michele Gayle Fee, 55, of Stockton, California; Tanya Lynn Thomas, 52, of Turlock, California; and Shawn Ann White, 44, of Manteca, California, previously pleaded guilty to conspiracy to commit identity theft and theft of government property. Franzen, Barnard, Fee, Thomas, and White were each sentenced to 60 months in prison. The defendants were sentenced yesterday by Chief U.S. District Judge Louis Guirola Jr. of the Southern District of Mississippi and restitution for all defendants will be determined at a later date.
According to admissions made in connection with their plea agreements, all seven defendants were members of a large-scale international financial fraud conspiracy that included romance scams through on-line dating sites, check fraud, secret shopper schemes, and personal assistant work-from-home schemes. Some of the defendants started as romance scam victims before later becoming knowing participants in the counterfeit check fraud. Victims were sent checks with mystery shopper and personal assistant instructions. The checks, which were counterfeit, would bounce after the victims transmited proceeds to various locations in the United States which were then laundered for transmission to Nigeria. Victims were then liable to their banks for the amount of checks and often hundreds of dollars in bank fees.
HSI investigated the case. Assistant U.S. Attorney Annette Williams of the Southern District of Mississippi, Trial Attorney Conor Mulroe of the Criminal Division’s Organized Crime and Gang Section, and Senior Counsel Peter Roman of the Criminal Division’s Computer Crime and Intellectual Property Section prosecuted the case.
Serial Armed Robbers Known as “Bulls Cap Bandits” Sentenced to Lengthy Federal Prison SentencesRead the Press Release
DALLAS — Two Dallas men, Cedric Ray Jones, 27, and his brother, Damien Antoine Jones, 31, were sentenced this morning by U.S. District Judge Jane J. Boyle to lengthy federal prison sentences for committing several violent armed robberies in Dallas in 2014, announced U.S. Attorney John Parker of the Northern District of Texas.
Cedric Jones was sentenced to 573 months, and Damien Jones was sentenced to 708 months in federal prison. Each pleaded guilty late last year to one count of conspiracy to interfere with commerce by robbery, two counts of using, carry, and brandishing a firearm during and in relation to, and possessing and brandishing a firearm in furtherance of, a crime of violence, and three counts of interference with commerce by robbery.
Co-conspirator, Savalas Christopher Love, 32, pleaded guilty to the conspiracy count and one firearm count. He is scheduled to be sentenced later this month.
The FBI dubbed the robbers the “Bulls Cap Bandits,” as Cedric and Damien Jones wore Chicago Bulls caps during the robberies.
According to documents filed in the case, from approximately March 7, 2014, through June 17, 2014, the defendants conspired together to commit these armed robberies:
March 7, 2014 and June 12, 2014 Cash Plus Pawn, 9103 East R.L. Thornton Freeway, Dallas
May 28, 2014 AutoZone, 10418 Garland Road, Dallas
June 2, 2014 AutoZone 2842 South Buckner Blvd., Dallas
June 17, 2014 AutoZone 9711 Plano Road, Dallas
During each of the robberies, Cedric and Damien Jones wore disguises and brandished firearms. In the March 7, 2014, robbery of Cash Plus Pawn, they stole cash and two semi-automatic rifles, and then fled on foot.
In the May 28, 2014, and June 2, 2014, AutoZone robberies, Cedric and Damien Jones entered the store, brandishing the semi-automatic rifles, while Love remained in the vehicle as the “getaway driver.” The three fled in Love’s vehicle.
On June 12, 2014, Cedric and Damien Jones, Love, and another individual traveled to the Cash Plus Pawn store on East R.L. Thornton Freeway in Dallas, in Love’s vehicle, with the specific intent to commit robbery. Upon arriving in the parking lot, Damien Jones and the other individual exited the vehicle and approached the store’s entrance with firearms, but abandoned the robbery when confronted by a store employee. They fled in Love’s vehicle.
In the June 17, 2014, AutoZone robbery, Cedric and Damien Jones traveled together in Love’s vehicle to the store with the intent to commit robbery. Love traveled separately to the location. Love “cased” the store and reported the absence of security personnel to Damien Jones. Cedric and Damien Jones then entered the store, brandishing semi-automatic rifles, and then fled the robbery in their vehicle. During a subsequent chase with law enforcement, Cedric Jones operated the vehicle in a manner to avoid apprehension and created a substantial risk to other motorists on the roads. During the pursuit, shots were fired in the direction of the pursuing officers to further avoid apprehension.
The case was investigated by the FBI and the Dallas Police Department. Assistant U.S. Attorney Keith Robinson was in charge of the prosecution.
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Second Kingsmen Motorcycle Club Member Pleads Guilty to Rico ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Thomas Koszuta, 53, pleaded guilty to RICO conspiracy and possession of a firearm in furtherance of a drug trafficking crime before U.S. District Judge Elizabeth A. Wolford. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life and a $250,000 fine.
Assistant U.S. Attorney Joseph M. Tripi, who is handling the case, stated that the defendant admitted to being a member of the Kingsmen Motorcycle Club (KMC), a criminal organization which engaged in such crimes as distribution of controlled substances, maintaining premises for use and distribution of controlled substances, possession, use and sale of firearms, sales of untaxed cigarettes, and promoting prostitution. The KMC sought to preserve and protect their power, territory, and reputation through intimidation, violence, threats of violence, assaults, attempted murder and murders, and was involved in placing victims, potential victims, potential witnesses, and others in fear of the enterprise, its members, and associates, through violence and threats of violence.
Koszuta further admitted that the Kingsmen operated by a strict chain of command serving under the direction of Kingsmen National President, David Pirk. On June 7, 2013, KMC forcibly shut down the Springville Chapter and strip members of their colors because they were non-compliant members. While others possessed firearms, the defendant struck a victim in the head with a blunt object and stole items from the Springville clubhouse. They then used bleach to clean areas where the victim bled and cut and removed portions of the rug which contained blood. Also, on August 3, 2013, the defendant and other Kingsmen members conducted a drive-by shooting targeting former Springville Kingsmen members. Two shots were fired from a shotgun, one of which struck a vehicle parked near one of the targeted victims.
Other acts of alleged violence by the Kingsmen include the murders of KMC members Paul Maue and Daniel "DJ" Szymanski who were murdered behind the North Tonawanda KMC Chapter clubhouse on September 6, 2014.
Koszuta is one of 17 defendants arrested in this case and the second to be convicted. Charges are pending against the remaining 15 defendants. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Today’s plea is the culmination of an investigation led by the Federal Bureau of Investigation’s Safe Streets Task Force, under the direction of Special Agent in Charge Adam S. Cohen. Assisting in the investigation: the FBI Knoxville, TN, and Jacksonville, FL Field Offices, Immigration and Customs Enforcement, Homeland Security Investigations, the Erie County Sheriff’s Office, the Buffalo Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New York State Police, the Olean Police Department, the Lancaster Police Department, the Amherst Police Department, the Town of Tonawanda Police Department, the Niagara Frontier Transportation Authority Police, the Cattaraugus County Sheriff’s Department, and the Hamburg Police Department.
Sentencing will be scheduled for at a later date.
Rufus Phelps Pleads Guilty to Federal Firearms ChargesRead the Press Release
ALBUQUERQUE –Rufus Phelps, 26, of Albuquerque, N.M., pled guilty today in federal court to being a felon in possession of a firearm and ammunition. The guilty plea was entered without the benefit of a plea agreement.
The U.S. Marshals Service arrested Phelps on Feb. 5, 2016, on a federal criminal complaint charging him with unlawfully possessing a firearm and ammunition on Feb. 4, 2016, in Bernalillo County, N.M. According to the complaint, Albuquerque Police Department (APD) officers arrested Phelps on state charges on Feb. 4, 2016, after observing Phelps in a parked car, recognizing him from prior encounters, and learning that there was an outstanding warrant for his arrest.
Phelps was indicted on Feb. 24, 2016, and charged with being a felon in possession of a firearm and ammunition on Feb. 4, 2016. The indictment was subsequently superseded on March 9, 2016, to add an additional charge against Phelps for unlawfully possessing a firearm and ammunition on Sept. 11, 2015. Phelps was prohibited from possessing firearms or ammunition because he previously had been convicted of unlawful taking of a motor vehicle.
During today’s proceedings, Phelps entered a guilty plea to the superseding indictment. At sentencing, Phelps faces a maximum penalty of ten years in prison. He remains in custody pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department, with assistance from the U.S. Marshals Service. Assistant U.S. Attorney Eva M. Fontanez is prosecuting the case.
The case is being prosecuted as part of the federal “worst of the worst” anti-violence initiative. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior felony convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. Because New Mexico’s violent crime rates, on a per capita basis, are amongst the highest in the nation, New Mexico’s law enforcement community is collaborating to target repeat offenders from counties with the highest violent crime rates, including Bernalillo County, under this initiative.
Puerto Rico Police Officers Indicted for Civil Rights Violations and Obstruction of JusticeRead the Press Release
A seven-count indictment was unsealed today charging four current and former Police of Puerto Rico (POPR) Carolina Drug Unit officers with civil rights violations and obstruction of justice arising out of a police operation conducted on Nov. 15, 2014. The indictment alleges that during the police operation, POPR officers Jose Cartagena, Carlos Nieves, Jimmy Davis and former POPR officer Shylene Lopez used excessive force against an arrestee, identified in the indictment as C.C., and that they unlawfully concealed evidence of their misconduct.
The indictment was announced by Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division, and U.S. Attorney Rosa E. Rodríguez-Vélez of the District of Puerto Rico.
The indictment alleges that Cartagena struck C.C. in the head with his gun, resulting in bodily injury; that Nieves shot C.C. as he was fleeing, resulting in bodily injury; that Davis physically choked and slapped C.C., resulting in bodily injury and that Lopez physically slapped C.C., resulting in bodily injury. Cartagena then allegedly obstructed justice by covering up the conduct.
Cartagena is charged with two counts of obstruction of justice and two counts of deprivation of rights under color of law. Nieves, Davis and Lopez are each charged with one count of deprivation of rights under color of law.
If convicted, the defendants face a maximum sentence of 20 years in prison for each of the obstruction of justice charges and a maximum sentence of 10 years in prison for each of the civil rights violations. The defendants also face a potential $250,000 fine for each count.
An indictment is merely an accusation and the defendants are presumed innocent unless proven guilty.
This case is being investigated by the FBI’s San Juan Division. It is being prosecuted by Assistant U.S. Attorneys José Contreras and Victor Acevedo of the District of Puerto Rico and Special Litigation Counsel Gerard Hogan and Trial Attorney Nicholas Murphy of the Civil Rights Division’s Criminal Section.
Cartagena et al Indictment
President of Army Depot Union Local Charged with Mail FraudRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a Criminal Information was filed in U.S. District Court in Harrisburg charging John Kauffman, Jr., age 36, with mail fraud in connection with the theft of approximately $22,000 from a union local at the Letterkenny Army Depot in Chambersburg, PA.
According to United States Attorney Peter Smith, Kauffman, a resident of Morgansville, MD, allegedly took the funds between September 2013 and July 2014 from the National Federation of Federal Employees (NFFE) Local Lodge 1442.
Local 1442 has approximately 47 members who work at the Letterkenny Army Depot. Kaufman was President of Local 1442 from September 2013 to January 2015
The Information alleges that Kauffman embezzled the $22,062 by writing 24 checks drawn against a union bank account that were payable to himself and by disguising the checks as payments for legitimate Local 1442 expenses. The fraud was discovered in January 2015 following an audit of the union’s finances. Kauffman is no longer employed at Letterkenny Army Depot.
The government also filed a plea agreement in the case which is subject to the approval of the court.
The mail fraud charge has a maximum penalty of 20 years’ imprisonment and $250,000 fine.
The case was investigated by the U.S. Department of Labor’s Office of Labor Management in Philadelphia and is being prosecuted by Assistant United States Attorney Kim Douglas Daniel.
Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Pharmacist and Others Charged in Pill Mill Case Plead GuiltyRead the Press Release
DALLAS — A licensed pharmacist, Kumi Frimpong, who owned and operated the Cornerstone Pharmacy, located on Bolton Boone Drive in Desoto, Texas, has pleaded guilty to a conspiracy charge stemming from his involvement in a “pill mill” operation, announced U.S. Attorney John Parker of the Northern District of Texas.
Specifically, Frimpong, 56, of Dallas, who was the pharmacist in charge at Cornerstone Pharmacy, pleaded guilty before U.S. District Judge Sidney A. Fitzwater to one count of conspiracy to illegally distribute oxycodone. Frimpong also agreed to surrender $41,112 to the United States that constitute proceeds from dispensing oxycodone during the conspiracy. He faces a maximum statutory penalty of 20 years in federal prison and a $1 million fine. Sentencing is set for mid-December.
Frimpong admitted that during the conspiracy, which began in January 2013 and continued through July 2014, he and his co-conspirators distributed and caused to be distributed at least 40,000 30mg oxycodone pills in Dallas, and elsewhere that he dispensed based on prescriptions issued in the name and DEA registration number of co-conspirator, Dr. Richard Andrews of McAllen Medical Clinic.
After their arrests in January 2016, Dr. Andrews and co-defendant pharmacists Frimpong and Ndufola Kigham were ordered to surrender their DEA registration numbers, preventing Dr. Andrews from issuing prescriptions for controlled substances and Frimpong and Kigham from dispensing controlled substances. Frimpong and Kigham also surrendered their stock of controlled substances that they had at their pharmacies to DEA.
A co-conspirator in the case, Muhammad Faridi, 40, who is not a physician but who was also a part owner of the McAllen Medical Clinic, pleaded guilty last month to the conspiracy. He is scheduled to be sentenced on November 18, 2016.
Twenty-four individuals were indicted by a federal grand jury in Dallas in February 2015 on offenses related to their participation in the prescription drug distribution conspiracy. That indictment alleged that from at least May 2013 through July 2014, the defendants participated in a scheme to illicitly obtain prescriptions for pain medications, such as oxycodone and hydrocodone, and then distribute those controlled substances for profit. As part of the conspiracy, individuals, often homeless or of limited means, were recruited and paid to pose as patients at medical clinics, including the McAllen Medical Clinic, to obtain prescriptions to fill those prescriptions at designated pharmacies.
Superseding indictments were returned in December 2015 and in January 2016, and a total of 31 individuals have now been charged. Many of those defendants have pleaded guilty, and several have been sentenced to prison terms ranging from 30 months to 48 months in federal prison.
For instance, Earl Cain, 52, who pleaded guilty to unlawful use of a communication device, was sentenced last Friday to the statutory maximum of 48 months in federal prison. The same day, Glenda Cane, 47, pleaded guilty to the same offense, and Ivery Meyers, 64, pleaded guilty to the conspiracy. The prior week, on August 26, 2016, four defendants, Fahim Ahmed Khan, 55, Taneisha Nicole Nickerson, 29, Brandon Dunbar, 33 and Candis O’Shaea Lewis, 30, also pleaded guilty.
There may be additional guilty pleas in the coming weeks. While a trial date of October 24, 2016, is currently set, Dr. Andrews filed a motion to continue trial yesterday.
This Organized Crime Drug Enforcement Task Force (OCDETF) investigation is being conducted by the Drug Enforcement Administration, with assistance from Internal Revenue Service Criminal Investigation, the Texas Department of Public Safety, the Louisiana State Police, the Grand Prairie Police Department, the Dallas Police Department, the Houston Police Department, the Arlington Police Department, the Greenville Police Department, the Parker County Sheriff’s Office, the U.S. Marshal’s Service, the U.S. Postal Inspection Service, and the Diplomatic Security Service.
Assistant U.S. Attorney Mary Walters is in charge of the prosecution.
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Pasco County Man Pleads Guilty to Impersonating United States SenatorRead the Press Release
Tampa, FL – United States Attorney A. Lee Bentley, III announces that Sidney C. Hines (67, New Port Richey) has pleaded guilty to false impersonation of a federal officer or employee of the United States. He faces a maximum penalty of three years in federal prison.
According to court documents, Hines received a mortgage loan secured by his home in New Port Richey and subsequently fell behind on his mortgage payments. In an effort to help delinquent borrowers such as Hines, the Federal National Mortgage Association (“Fannie Mae”) created the HomeSaver Advance (“HSA”) loan program to help delinquent borrowers remain in their homes. On October 8, 2008, Hines obtained a HSA loan, funded by Fannie Mae, for $5,863.73.
Hines failed to make the required payments on his HSA loan and the loan was turned over to ClearSpring Loan Services, a debt collection agency. Beginning in March 2013 and continuing through the end of 2014, Hines impersonated United States Senator Richard Durbin on multiple occasions in telephone calls he made to ClearSpring. During those calls, acting as Senator Durbin, he stated that Hines’s HSA loan had been paid in full and that the loan should be removed from his credit report.
This case was investigated by United States Capitol Police and the Federal Housing Finance Agency – Office of Inspector General. It is being prosecuted by Special Assistant United States Attorney Chris Poor.
Parker CPA Indicted for Wire Fraud, Mail Fraud and Aiding and Assisting in the Preparation of False Tax ReturnsRead the Press Release
DENVER – Donald Iley, age 52, of Parker, Colorado, was indicted by a federal grand jury in Denver on August 24, 2016 on charges of wire fraud, mail fraud, and aiding and assisting in the preparation of false tax returns, the United States Attorney’s office and IRS – Criminal Investigation announced. The indictment remained under seal until Iley made his initial appearance on September 7, 2016 in U.S. District Court before U.S. Magistrate Judge Kathleen M. Tafoya.
According to the indictment, from January 2011 through November 2015, Donald Iley was the owner and operator of Iley and Associates (I&A), an accounting and tax preparation firm which provided services to more than 140 businesses in Colorado. For some of I&A’s clients, payroll accounting and payroll tax services were provided, including the preparation of Forms 941, Employer’s Quarterly Federal Tax Returns. An “ACH Deduction Report” was also prepared listing the amount of payroll taxes to be withdrawn from the client’s bank account and paid forward to the Internal Revenue Service. Iley initiated or caused others to initiate an ACH electronic fund transfer from the client’s bank account to a bank account controlled by I&A.
Then Iley caused the Form 941 tax return to be mailed to the client with a cover letter stating the enclosed tax return is a copy for their records and Iley pays the taxes for the client. As part of the scheme, instead of forwarding the funds I&A received from the clients via electronic ACH fund transfers to the IRS, Iley used the money for his own purposes.
In certain instances, Iley prepared and submitted payroll tax returns to the IRS on behalf of some clients showing no payroll taxes due and owing for a given tax period. Iley knew when he submitted these payroll tax returns that the clients did in fact owe payroll taxes.
“Knowingly falsifying documents which are filed with the IRS is a crime,” said Kareem Carter, Acting Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “While most return preparers provide excellent service to their clients, a few unscrupulous tax preparers file false and fraudulent returns to defraud the government and their own clients. Individuals who engage in this type of financial fraud should know they will not go undetected and will have to answer for their actions.”
Iley was charged with 12 counts of wire fraud and 2 counts of mail fraud, each of which carries a penalty of up to 20 years in prison. He is also charged with 18 counts of aiding and assisting in the preparation of false tax returns, which each carries a penalty of up to 3 years in prison. Each charge also carries with it a fine of up to $250,000 or twice the amount of gain or loss, whichever is greater.
This case is being investigated by the Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant United States Attorney J. Chris Larson.
The charges contained in this indictment are allegations, and the defendant is presumed innocent until proven guilty.
Owner and Chief Executive Officer of Beauty Products Company Sentenced in Manhattan Federal Court for Multimillion-Dollar Accounting Fraud SchemeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that EMANUEL COHEN, the former chief executive officer of a Florida-based wholesaler and distributor of beauty products (the “Company”), was sentenced today to 27 months in prison for orchestrating a fraudulent scheme to obtain millions of dollars in loans by making false statements and providing fraudulent documents to two commercial banks based in New York (the “Banks”). COHEN pled guilty on June 23, 2015, before U.S. Magistrate Judge Sarah Netburn. Today’s sentence was imposed by U.S. District Judge Lewis A. Kaplan.
Manhattan U.S. Attorney Preet Bharara said: “Emanuel Cohen and his co-conspirators blatantly lied about their company’s financial condition to obtain millions of dollars in loans, which the company later defaulted on. I want to thank the FBI for their excellent investigative work on this case.”
According to the allegations contained in the information to which COHEN pled guilty, other documents filed in Manhattan federal court, and statements made in court proceedings:
From 2007 through March 2014, COHEN and others engaged in a scheme to fraudulently induce the Banks to lend millions of dollars to the Company. Among other things, COHEN knowingly made false representations to the Banks, concealed material facts from the Banks, and submitted false and fraudulent documents to the Banks, including fabricated borrowing base certificates. Specifically, COHEN falsely inflated the Company’s sales and accounts receivable on borrowing base certificates that were provided to the Banks pursuant to loan agreements between the Banks and the Company. COHEN used those falsely inflated sales and accounts receivable to mislead the Banks about the Company’s true financial performance so that the Company could secure and draw down millions of dollars in loans from the Banks that the Company would not otherwise have been entitled to receive.
In March 2014, the Company defaulted on the loans at issue. At that time, the outstanding balance on the loans was more than $4.8 million.
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In addition to his prison term, COHEN, 73, of Boca Raton, Florida, was sentenced to three years of supervised release, and ordered to pay forfeiture and restitution, both in the amount of $4,888,460.35.
Three other defendants in this matter, Jay Sosonko, the chief financial officer of the Company, Thomas Thompson, the sales manager of the Company, and Marc Wieselthier, the Company’s outside accountant, pled guilty for their roles in the fraudulent scheme. Sosonko, Thompson, and Wieselthier were sentenced to 16 months, 21 days, and 27 months in prison, respectively.
Mr. Bharara praised the investigative work of the FBI.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorney Edward A. Imperatore is in charge of the prosecution.
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Ohio man sentenced to 10 years in federal prison for attempted enticement of minorsRead the Press Release
CHARLESTON, W.Va. – An Ohio man was sentenced to 10 years in federal prison for a sex crime involving minors, announced United States Attorney Carol Casto. Robert N. Bray, III, 39, of Logan, Ohio, previously pleaded guilty to enticing minors to engage in sexual activity. After Bray is released from prison, he will be on supervised release for 20 years, and will also be required to register as a sex offender.
Bray admitted that in July 2015, he used a computer and cell phone to communicate with an individual he believed to be the mother of a 10-year-old female and a 5-year-old male in Parkersburg. In reality, Bray was communicating with an undercover law enforcement officer. Bray continued communicating with the undercover officer, thinking he was arranging to engage in sexual activity with the minors. Bray arranged a meeting on July 22, 2015, and when he arrived in West Virginia, he was arrested. That same day, law enforcement executed a search warrant on Bray’s Ohio residence and seized a computer containing almost 300 images of minors engaged in sexually explicit conduct.
This prosecution is the culmination of a comprehensive investigation conducted by the West Virginia State Police, the West Virginia Internet Crimes Against Children Task Force, the West Virginia State Police Bureau of Criminal Investigation, the Parkersburg Police Department, the Parkersburg Narcotics Task Force, the Wood County Sheriff’s Department, the Hocking County, Ohio, Sheriff’s Office, the Ohio Bureau of Criminal Investigation, and the FBI.
Assistant United States Attorney Lisa G. Johnston is in charge of the prosecution. United States District Judge John T. Copenhaver, Jr., imposed the sentence.
This case is being brought as part of an ongoing initiative of the United States Attorney’s Office to combat child sexual exploitation and abuse in the Southern District of West Virginia.
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Northland Man Sentenced for Child PornRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for attempting to distribute child pornography over the Internet.
Steven H. Taylor, 26, of Kansas City-North, was sentenced by U.S. District Judge Roseann Ketchmark to eight years in federal prison without parole. Taylor pleaded guilty on Dec. 30, 2015.
An undercover federal agent identified Taylor’s computer as sharing images of child pornography over the Internet through a peer-to-peer file-sharing network. The agent downloaded a video file of child pornography from Taylor’s computer.
The agent executed a search warrant at Taylor’s residence and seized his electronic media. Taylor admitted that he had been downloading child pornography for the past two years. Investigators identified more than 30 images and 39 videos of child pornography on Taylor’s computers. A number of the videos depicted graphic, violent sexual abuse of children. In particular, one video lasted 33 minutes and depicted an adult male sodomizing a young female approximately 12 years of age.
Taylor has paid $3,000 in restitution to one of the victims portrayed in the child pornography collection. Taylor must forfeit two desktop computers, which were used to commit the offense, to the government.
This case was prosecuted by Assistant U.S. Attorney Catherine A. Connelly. It was investigated by the FBI and the Nixa, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
News AdvisoryRead the Press Release
MASSENA, NEW YORK – On Thursday, September 8, the United States Attorney’s Office is joining the City of Massena in hosting a community-wide, anti-drug event starting at 5:30 p.m. at Massena High School (flyer attached). The purpose of the event is to discuss recent efforts to reduce the flow of drugs into the Massena area and to increase awareness of the heroin epidemic, with the intention of generating greater community involvement in the response to opioid addiction.
U.S. Attorney Richard S. Hartunian said: “Drug overdoses are now the leading cause of injury-related death in the United States, eclipsing deaths from motor vehicle crashes and firearms. We will continue to work with our law enforcement partners to prosecute heroin dealers and to collaborate with community leaders to help addicts receive treatment.”
September 8 from 5:30 to 8 p.m.
Massena High School Auditorium
84 Nightengale Avenue, Massena, NY 13662
- The event starts at 5:30 p.m. with a resource and information fair, with law enforcement agencies, and treatment and service providers offering information on drug abuse, addiction and recovery.
- From 6:30 to 7:30 p.m., “Chasing the Dragon,” a 45-minute documentary film produced by the Department of Justice, will be shown. The film profiles the stories of several people who either abused opiates or had family members become addicts. This film aims to teach teens, college students, and parents about the cycle of addiction and the tragic consequences associated with opioid abuse. During the resource and information fair, school professionals can register to receive a free resource packet that includes a DVD copy of “Chasing the Dragon,” along with discussion guides and other materials to use in classes, parent-teacher meetings, etc.
- From 7:30 to 8:30 p.m. a panel of Massena residents will describe what they do to address opioid abuse, addiction, and recovery.
Massena Mayor Timmy Currier said: “I urge every citizen to attend this unique event. If you have yet to be impacted by heroin, it is very likely that you will be in some manner. Many members of this community have joined our drug-free community coalition and are working hard to deal with this issue from every angle. However, real success will only be achieved when every citizen does their part and when we all work together, I am confident we will make great progress and save lives.”
Massena Police Chief Adam Love said: “This heroin epidemic cannot be solved by any one agency. We cannot arrest our way out of this. It is critical to have community involvement on the part of young people, parents, schools, treatment facilities, religious institutions, the media and others. Being involved means knowing what this addiction is, being aware of warning signs, knowing what to do, who to call when you need help, and taking action when it is needed.”
- The event starts at 5:30 p.m. with a resource and information fair, with law enforcement agencies, and treatment and service providers offering information on drug abuse, addiction and recovery.
News AdvisoryRead the Press Release
MASSENA, NEW YORK – On Thursday, September 8, First Assistant U.S. Attorney Grant C. Jaquith will be joined by law enforcement and community leaders to discuss the sentencing of Patrick “Problem” Lloyd and the related dismantling of 2 criminal organizations that operated in the Massena area.
News Conference – Sentencing of Patrick “Problem” Lloyd
September 8 at 2 p.m.
Massena Town Hall, Room 30, 2nd Floor
60 Main Street, Massena, NY 13662Lloyd’s sentencing is scheduled to take place in Albany on September 8 at 9 a.m., before Senior U.S. District Judge Gary L. Sharpe.
New York Woman Gets over 13 Years in Prison for Glen Rock, New Jersey, Bank Robbery, Defrauding Elderly Victim of $198,750Read the Press Release
NEWARK, N.J. – A White Plains, New York, woman was sentenced today to 162 months in prison for robbing a Glen Rock Savings Bank and fraudulently using an elderly victim’s checks to steal $198,750, U.S. Attorney Paul J. Fishman announced.
Michelle Cantatore, 53, previously pleaded guilty before U.S. District Judge Esther Salas to an information charging her with one count of bank robbery and one count of wire fraud. Cantatore had also previously admitted robbing two other banks in Connecticut. These robberies were taken into consideration at today’s sentencing.
According to documents filed in this case and statements made in court:
Cantatore admitted fashioning a paintball gun to look like an actual firearm and using it to rob the Glen Rock Savings Bank on Feb. 15, 2015. Cantatore entered the bank wearing a wig and sunglasses and, while brandishing the paintball gun, shouted to everyone in the bank: “Put your hands up. This is for real. This is a robbery. I have a gun.”
Cantatore fled the bank after taking money from the vault and a teller station. Law enforcement later tracked her to a hotel room in Atlantic City, New Jersey.
At her plea hearing, Cantatore also admitted robbing a Greenwich Bank and Trust in Riverside, Connecticut, and a JP Morgan Chase Bank in Darien, Connecticut, on Jan. 30, 2015 and Feb. 24, 2015, respectively. In both instances she used an altered paintball gun to threaten the victims.
Cantatore also admitted stealing $198,750 from a sick an elderly man by taking his checks, writing them out to accounts she controlled, and cashing them without his knowledge.
In addition to the prison term, Judge Salas sentenced Cantatore to three years of supervised release and ordered her to pay restitution of $406,703.13.
U.S. Attorney Fishman credited Special Agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the Glen Rock Police Department, under the direction of Lt. Daniel Dour; the N.J. State Police, under the direction of Col. Rick Fuentes, the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes, and the New York office of the FBI with the investigation. He also thanked the Paramus, Paterson, Roxbury and Wayne police departments for their roles.
The government is represented by Assistant U.S. Attorney Jason S. Gould of the U.S Attorney’s Office Criminal Division of in Newark.
Defense counsel: Kathleen Theurer Esq.
New Orleans Man Pleads Guilty in Conspiracy to Traffick HeroinRead the Press Release
U.S. Attorney Kenneth A. Polite announced that WILBERT CLARK, age 30, of New Orleans, pled guilty today to conspiracy to distribute and to possess with intent to distribute heroin.
According to court records, CLARK was one of eight defendants charged in a 21-count Superseding Indictment on September 18, 2015. This Superseding Indictment resulted from an FBI investigation into a heroin-trafficking organization operating primarily around Loyola Avenue and Harmony Street in Central City. The sources of heroin for this organization traveled via Megabus from Houston to New Orleans, carrying half-kilogram quantities of heroin for distribution in the New Orleans area.
CLARK, who has a prior felony drug offense, is facing a maximum sentence of 30 years’ imprisonment, as well as a possible fine of up to $2,000,000. U.S. District Judge Carl J. Barbier will sentence CLARK on December 15, 2016.
U.S. Attorney Polite praised the work of the FBI New Orleans Gang Task Force (NOGTF), Saint Tammany Parish Sheriff’s Office, the Jefferson Parish Sheriff’s Office, and the New Orleans Police Department in investigating this matter. Assistant U.S. Attorney Brandon S. Long is in charge of the prosecution.
New Jersey Man Charged with Possessing Dogs for Dog FightingRead the Press Release
A Cumberland County, New Jersey, man allegedly connected to and living with an individual involved in a dog fighting conspiracy was arrested today for possessing dogs for the purpose of dog fighting, announced Assistant Attorney General John C. Cruden, head of the Department of Justice’s Environment and Natural Resources Division and U.S. Attorney Paul Fishman for the District of New Jersey.
Robert A. Elliott Sr., 47, of Millville, New Jersey, was charged by complaint with two counts of possessing pit bull-type dogs for dog fighting ventures in New Jersey and elsewhere. He is expected to appear before U.S. District Judge Joel Schneider for the District of New Jersey in Camden, New Jersey, federal court.
According to documents filed in this case and statements made in court: the federal Animal Welfare Act makes it a felony to fight dogs or to possess, train, sell, buy, deliver, receive, or transport dogs intended for use in dog fighting.
On June 1, Frank Nichols and other individuals were charged by complaint with violations of the federal Animal Welfare Act pertaining to dog fighting. That day law enforcement officers executed a search warrant of a residence on a multi-acre property in Millville where Nichols lived. Elliott, also lived at the residence.
During the search of the residence, law enforcement officers seized 13 live pit bull-type dogs. Seven of the dogs were housed on heavy chains in a wooded area behind the house. The dogs were spaced so that they could not reach one another. Two additional dogs were housed individually in pens in the wooded area near the chained dogs. Law enforcement officers found three more dogs in shipping crates in the unfinished basement. One of the 13 dogs, who appeared ill, was found in a crate in a room on the first floor.
Several of the dogs had scars and other signs of injury and all of the dogs had untreated veterinary conditions. Law enforcement also found other indications that the dogs were used in dog-fighting ventures, such as:
- Break sticks, which are used to pry open a dog’s mouth in order to release a hold that the dog has on another dog;
- A stand often called a “rape rack,” or “breeder stand” as referred to by defendant Elliott, designed to hold a female dog off the ground and immobilize her while a male dog mounts her. The device is used where the female dog is too dog-aggressive to mate otherwise;
- A box containing veterinary medications, a skin stapler, numerous needles and syringes, catheters, IV bags and tubing, sutures and suture removing tools;
- Testosterone boosting supplements, which are often used by dog fighters to increase muscle mass and aggression of dogs before a fight;
- Dog pedigrees and printouts of dogs from dog fighting registries, including pedigrees related to the pit bull-type dogs found at his residence.
Elliott claimed ownership of several of the dog fighting paraphernalia found in his home and indicated that he and his family owned 10 of the 13 pit bull-type dogs found at his residence.
The counts of possession of an animal for participation in an animal fighting venture each carry a maximum potential penalty of up to five years in prison.
This case is part of Operation Grand Champion, a coordinated effort across numerous federal judicial districts to combat organized dog fighting. The phrase “Grand Champion” is used by dog fighters to refer to a dog with more than five dog-fighting “victories.”
Operation Grand Champion is a continuing investigation by the U.S. Department of Agriculture, Office of the Inspector General, under the direction of Special Agent in Charge William G. Squires; Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Terence S. Opiola; and the FBI, under the direction of Special Agent in Charge Timothy Gallagher, in coordination with the Department of Justice.
The government is represented by the Justice Department’s Environmental Crimes Section Trial Attorneys Ethan Eddy and Shennie Patel and Assistant U.S. Attorneys Jihee Suh and Kathleen O’Leary of the District of New Jersey.
The Humane Society of the Unites States is assisting with the care of the dogs seized by federal law enforcement.
The charges and allegations in the complaint are merely accusations and the defendant is considered innocent unless proven guilty.
Mexican national is latest to plead guilty for role in California-to-West Virginia drug conspiracyRead the Press Release
CHARLESTON, W.Va. – A Mexican national pleaded guilty today for his role in a California-to-West Virginia methamphetamine conspiracy, announced United States Attorney Carol Casto. Miguel Tafolla-Montoya, 31, entered his guilty plea to conspiracy to distribute 50 grams or more of methamphetamine.
Tafolla-Montoya admitted that on March 19, 2016, he arrived in Huntington after traveling from California to pick up money for a delivery of crystal methamphetamine. Cara Linn Monasmith and Kelly Newcomb, codefendants of Tafolla-Montoya, had previously driven approximately 10 pounds of crystal methamphetamine from California to Huntington for delivery. Tafolla-Montoya further admitted that he had helped conceal the drugs in the spare tire of the car that Monasmith and Newcomb used to transport the methamphetamine. Tafolla-Montoya was arrested prior to collecting any money for that drug delivery.
Tafolla-Montoya additionally admitted that near the end of February 2016, he had helped conceal 10 pounds of crystal methamphetamine in a vehicle that transported drugs from California to Louisville. Furthermore, Tafolla-Montoya admitted his involvement in a drug deal for crystal methamphetamine that took place in late December 2015 in the parking garage of the Embassy Suites in Charleston.
Tafolla-Montoya faces at least five and up to 40 years in federal prison when he is sentenced on December 8, 2016.
This prosecution is the result of a multi-agency investigation that led to an eight-count indictment implicating 14 defendants, including Tafolla-Montoya. All of Tafolla-Montoya’s codefendants are presumed innocent unless and until proven guilty in a court of law. As part of this conspiracy, Rafael Garcia Serrato, of Los Angeles, Cesar Garcia, also of Los Angeles, Daniel Ortiz-Rivera, a Mexican national, and Velarian Sylvester Carter, of Beckley, previously pleaded guilty to conspiring to distribute more than 50 grams of methamphetamine. Serrato and Garcia are scheduled to be sentenced on December 6, 2016. Ortiz-Rivera is scheduled to be sentenced on October 11, 2016. Carter is scheduled to be sentenced on October 13, 2016. Also, as part of this conspiracy, Marco Antonio Bojorquez-Rojas, a Mexican national, pleaded guilty to interstate travel in furtherance of a drug crime, and is scheduled to be sentenced on December 7, 2016. Additionally, three women who were used as mules to transport methamphetamine, Danielle Dessaray Estrada, of Los Angeles, Kelly Newcomb, of Nevada, and Cara Linn Monasmith, also of Nevada, pleaded guilty to interstate travel in furtherance of a drug crime. Estrada and Newcomb are scheduled to be sentenced on October 6, 2016. Monasmith is scheduled to be sentenced on November 8, 2016.
The FBI, Homeland Security Investigations, the United States Postal Inspection Service, the Charleston Police Department, and the Metropolitan Drug Enforcement Network Team conducted the investigation. Assistant United States Attorney Jennifer Rada Herrald is in charge of the prosecution. The plea hearing was held before United States District Judge John T. Copenhaver, Jr.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Mexican Man Pleads Guilty to Illegally Reentering the United States After Having Been Previously DeportedRead the Press Release
CONCORD, NEW HAMPSHIRE – United States Attorney Emily Gray Rice announced today that Jose Guerrero-Contreras, of Mexico, pleaded guilty on September 6, 2016, to reentering the United States after having been deported previously.
Guerrero-Contreras pleaded guilty before United States District Court Judge Steven McAuliffe to an indictment that had been returned by a federal grand jury on July 13, 2016.
According to court filings and statements in Court, a Deportation Officer had a chance encounter with the defendant on June 30, 2016 in a common hallway area of a residence in Manchester, New Hampshire, at a time when the Deportation Officer was seeking someone else. During the encounter, the defendant voluntarily admitted to the Deportation Officer that he is a Mexican national and that he was not in possession of any immigration documents that allowed him to be present in the United States. He was then taken into custody. Records checks revealed that the defendant had been deported six times previously.
Guerrero-Contreras will be sentenced on December 21, 2016 and likely faces deportation after serving his sentence.
The case was investigated by the U.S. Department of Homeland Security, Bureau of Immigration and Customs Enforcement. Assistant U.S. Attorney Alfred Rubega is prosecuting this case.
Metairie Woman Pleads Guilty to Defrauding Local BusinessRead the Press Release
U.S. Attorney Kenneth A. Polite announced that TRACY NICHELSON, age 42, of Metairie pled guilty today to one count of bank fraud.
According to court records, NICHELSON worked as an assistant of rental management for a New Orleans real estate business. From June 2012 until July 2013, NICHELSON embezzled $16,418 from her employer. NICHELSON issued approximately 13 unauthorized checks to herself and others by forging the signature of the business’s owner.
NICHELSON faces up to thirty years imprisonment and/or a fine of not more than $1,000,000, a period of supervised release after imprisonment of up to three years, plus a mandatory special assessment of $100.00. U.S. District Judge Carl J. Barbier set sentencing for December 15, 2016.
U.S. Attorney Polite praised the work of the U.S. Postal Inspection Service in investigating this matter. Assistant United States Attorney Julia K. Evans was in charge of the prosecution.
Meriden Man Charged with Illegal Gun PossessionRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a federal grand jury sitting in Hartford returned an indictment today charging TRAYQUAN FORD, 20, of Meriden, with possession of a firearm by a convicted felon.
As alleged in the complaint that was previously filed in this case, the ATF and Meriden Police Department have been investigating gang-related violence in Meriden between the “Mack Balla Brim Bloods,” which is affiliated with the national “Bloods” gang, and members and associates of the “Crips.”
It is alleged that on July 18, 2016, FORD possessed a Taurus, model PT738 TCP, .380 caliber semi-automatic pistol that contained a magazine loaded with six rounds of ammunition and one round in the chamber.
Prior to that date, it is alleged that FORD had sustained a felony conviction for carrying a pistol without a permit. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
If convicted of the offense, FORD faces a maximum term of imprisonment of 10 years. He has been detained since his arrest on July 18.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Meriden Police Department. The case is being prosecuted by Assistant U.S. Attorney Geoffrey M. Stone.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Medical Equipment Company and Two Executives Pay More Than $12 Million to Resolve False Claims Act AllegationsRead the Press Release
NEWARK, N.J. – U.S. Healthcare Supply LLC and two executives have agreed to pay the United States more than $12.2 million to resolve allegations that they violated the federal False Claims Act by using a fictitious entity to make unsolicited telephone calls to Medicare beneficiaries in order to sell them durable medical equipment.
U.S. Attorney Paul J. Fishman of the District of New Jersey and Principal Deputy Assistant Attorney General Benjamin C. Mizer of the Justice Department’s Civil Division announced the settlement today.
U.S. Healthcare Supply, based in Milford, New Jersey, has agreed to pay $5 million plus interest and Jon P. Letko, its owner and president, has agreed to pay $1 million plus interest. His brother, Edward J. Letko, the owner and president of Oxford Diabetic Supply Inc., a medical equipment supplier that allegedly also participated in the scheme, has agreed to pay $6 million plus interest.
“Cold-calling people to sell them expensive medical equipment is prohibited for a reason: unsuspecting patients shouldn’t be coerced into making medical decisions about devices and equipment – which they may not even need – on the basis of a sales pitch,” U.S. Attorney Fishman said.
The settlement announced today resolves allegations that U.S. Healthcare Supply and Oxford Diabetic Supply set up and controlled an entity called Diabetic Experts Inc., which they used to make unsolicited telephone calls to suspected Medicare beneficiaries in order to sell them durable medical equipment. The companies submitted claims to Medicare for the equipment that they sold based on these unsolicited calls, in violation of the Medicare Anti-Solicitation statute.
“We will continue to hold health care providers accountable for attempting to circumvent Medicare statutes and regulations that help prevent the submission of claims for medically unnecessary services and supplies,” Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division, said. “Arrangements which clearly disregard program requirements in order to enhance the financial interests of health care providers will not be tolerated.”
U.S. Attorney Fishman and Principal Deputy Assistant Attorney General Mizer credited special agents of the U.S. Department of Health and Human Services – Office of the Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, with the investigation leading to today’s settlement.
The government is represented by Assistant U.S. Attorney Charles Graybow of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark and Trial Attorney John Henebery of the Justice Department’s Civil Division.
U.S. Attorney Paul J. Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $1.31 billion in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug, and Cosmetic Act and other statutes.
The claims settled by this agreement are allegations only and there has been no determination of liability.
Defense counsel: Joseph F. Savage Jr. Esq., Boston, and Jura C. Zibas Esq., New York
Manhattan U.S. Attorney Announces Charges Against Two in Connection with Seven-Kilogram Fentanyl SeizureRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York and James J. Hunt, Special Agent in Charge of the New York Field Division of the Drug Enforcement Administration (“DEA”), announced today that a federal grand jury has returned an Indictment charging ALDINTON VALERIO and ALEXIS OVALLE-LOPEZ with trafficking heroin and fentanyl in and around the Bronx, New York. VALERIO was also charged with possessing a firearm in furtherance of the narcotics distribution conspiracy. The defendants were arrested in August 2016 on the same charges. The case has been assigned to United States District Judge Katherine B. Forrest.
Manhattan U.S. Attorney Preet Bharara said: “Fentanyl and heroin are incredibly dangerous substances that have wreaked havoc in our communities. The sale of heroin laced with fentanyl is particularly alarming, since fentanyl is many times more powerful than heroin. We will continue to work tirelessly to prosecute anyone who seeks to profit from these dangerous drugs.”
DEA Special Agent in Charge James J. Hunt said: “The combination of heroin and fentanyl has elevated the opioid threat to the most dangerous level yet. Drug traffickers have hijacked fentanyl’s legitimate medical purpose resulting in unprecedented numbers of fentanyl-related overdoses and deaths. It is imperative to warn our communities that these bathtub chemists are selling this deadly combination to unsuspecting users, as well as to those seeking the ultimate fatal high.”
According to allegations contained in the Indictment, the underlying criminal Complaint filed on August 12, 2016, and statements made in court proceedings[1]:
From at least in or about July 2016 up to and including in or about August 2016, the defendants sold narcotics to a confidential source on multiple occasions. During each of those transactions, VALERIO represented to the source that he was selling heroin. However, when the narcotics were submitted to a DEA laboratory for testing, a chemical analysis revealed that, for at least two of the transactions, the narcotics were actually fentanyl – a drug that can be 50 times more powerful than heroin.
The defendants were arrested on August 11, 2016. Following their arrest, DEA agents searched an apartment used by VALERIO and OVALLE-LOPEZ. DEA agents seized approximately seven kilograms of fentanyl, as well as approximately two kilograms of heroin laced with fentanyl, from the apartment. In addition, DEA agents seized two firearms from that apartment and approximately $100,000 in cash found in another apartment used by VALERIO.
Mr. Bharara praised the outstanding investigative work of the DEA.
This prosecution is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Gina Castellano, Jordan Estes, and Jason A. Richman are in charge of the prosecution.
The charges contained in the Complaint and Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] The charges contained in the Complaint and Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Manhattan U.S. Attorney Announces Arrest of Rabbi and Member of Satmar Community for Conspiring to Kidnap and MurderRead the Press Release
Preet Bharara, United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and William J. Bratton, Commissioner of the New York City Police Department (“NYPD”), announced the filing of a federal criminal complaint charging SHIMEN LIEBOWITZ and AHARON GOLDBERG with conspiring to kidnap and murder an individual in order to obtain a religious divorce for that individual’s wife. LIEBOWITZ and GOLDBERG were arrested yesterday in Central Valley, New York, while meeting to plan the kidnapping and murder. They will be presented later today before Magistrate Judge Debra Freeman in federal court in Manhattan.
Manhattan U.S. Attorney Preet Bharara said: “The defendants are charged with a chilling plot to kidnap and murder the intended victim. Over a period of months, the Complaint alleges, they met repeatedly to plan the kidnapping and to pay more than $55,000 to an individual they believed would carry it out. Thanks to the exemplary work of our partners at the FBI and NYPD, Liebowitz and Goldberg are now in custody.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “As if the plan to kidnap the victim and force him to divorce his wife in this alleged conspiracy wasn’t bad enough, the plotters allegedly decided halfway through the arrangement to go a step further and add murder to the list of their planned crimes. Our country protects freedom of religious beliefs and practices, but no one is allowed to plot a kidnapping and murder regardless of their motivation.”
According to the allegations in the Complaint unsealed today in Manhattan federal court:[1]
According to Jewish religious law as observed in certain communities, in order to effect a divorce, a husband must provide his wife with a document known as a “get.” A woman whose husband will not consent to a divorce is known as an “agunah.” In the absence of the husband’s issuing a get, an agunah may be released from her marriage only through the husband’s death.
In early July, an individual (the “CS”) contacted the FBI and reported that the CS had been recruited by LIEBOWITZ and GOLDBERG to kidnap a particular individual (the “Intended Victim”) in order to force the Intended Victim to issue a get to his wife. Like the CS, GOLDBERG and LIEBOWITZ are orthodox Jews. LIEBOWITZ is a member of the Satmar community in Kiryas Joel, New York (a village in Orange County, New York), and GOLDBERG is an Israel-based rabbi who also maintains a position of prominence in Kiryas Joel.
The CS provided the FBI with information about a conversation he had with LIEBOWITZ and GOLDBERG on or about July 6 or July 7. During the meeting, which was recorded, the CS feigned interest in participating in the kidnapping. He, GOLDBERG, and LIEBOWITZ discussed how such a kidnapping might be carried out, including the possibility of luring the Intended Victim to Pennsylvania in order to kidnap him, torture him, and force him to give the get. The CS, GOLDBERG, and LIEBOWITZ also discussed the possibility of kidnapping the Intended Victim in Ukraine, where the Intended Victim planned to travel in late September to celebrate the Jewish New Year. GOLDBERG and LIEBOWITZ agreed to advance the CS $25,000 to assist in efforts to plan the kidnapping. According to the CS, within days of this initial meeting, an envelope containing approximately $25,000 cash was delivered to the CS.
On or about August 9, 2016, the CS met with LIEBOWITZ and GOLDBERG in Kiryas Joel, New York. During this meeting, the CS, GOLDBERG, and LIEBOWITZ discussed additional details of the kidnapping plan, including logistics and the cost associated with a plan to kidnap the Intended Victim overseas. This conversation was also recorded.
On August 12, 2016, the CS again met with LIEBOWITZ and GOLDBERG, at which time they provided the CS with an additional payment of over $20,000 for use in making arrangements for the kidnapping. In this meeting, which was also recorded, the CS, GOLDBERG and LIEBOWITZ further discussed their plan to kidnap the Intended Victim in the United States and to obtain the get from him in this country.
Subsequent to the August 12, 2016, meeting, the CS had additional conversations with GOLDBERG, in which GOLDBERG discussed his desire not merely to kidnap the Intended Victim, but also to kill him.
On August 25, 2016, the CS met LIEBOWITZ in Central Valley, New York. During the meeting, LIEBOWITZ paid the CS an additional sum of about $12,000 to carry out the kidnapping. Also during the meeting, the CS spoke by phone with GOLDBERG, who was still in Israel, about the kidnapping plan, which the CS and GOLDBERG referred to in code as a “wedding,” as well as GOLDBERG’s desire that the CS kill the Intended Victim. This conversation was also recorded.
On or about September 2, 2016, the CS had another recorded conversation with LIEBOWITZ, during which LIEBOWITZ indicated his understanding that the Intended Victim would be murdered as part of the plan.
* * *
LIEBOWITZ, 25, of Monroe, New York, and GOLDBERG, 55, of Bnei Brak, Israel, are charged with one count each of conspiracy to commit kidnapping, which carries a maximum potential sentence of life in prison, and one count each of conspiracy to commit murder for hire, which carries a maximum potential sentence of 10 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Mr. Bharara praised the outstanding investigative work of the Federal Bureau of Investigation and the New York City Police Department, working through the Joint Organized Crime Task Force.
This case is being handled by the Office’s Violent and Organized Crime Unit and Public Corruption Unit. Assistant United States Attorneys Scott Hartman and Paul M. Monteleoni are in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Man Pleads Guilty to Using False Information to Obtain Firearms and Smuggling Firearms Out of the United StatesRead the Press Release
CONCORD, N.H. – United States Attorney, Emily Gray Rice announced that Joel Tetteh, 53, appeared before United States District Court Chief Judge Joseph Laplante on September 6, 2016, and pleaded guilty to three counts of making material false statements during the acquisition of a firearm, three counts of making false statements during the purchase of a firearm, and three counts of smuggling goods from the United States.
According to documents that were filed in United States District Court and statements in the plea proceeding, Tetteh purchased a total of six handguns from a federally licensed firearms dealer in Hooksett, New Hampshire on April 29, 2014, October 29, 2014, and May 6, 2015. In purchasing these handguns, Tetteh filled out a form in which he stated that he resided at a location in Merrimack, New Hampshire. A subsequent law enforcement investigation showed that this statement was false. At the time of the purchase, Tetteh was residing in Worcester, Massachusetts and never resided at the address in Merrimack. Under federal law, the firearms dealer could not have lawfully sold the firearms to the defendant if he was not a resident of New Hampshire.
During a subsequent interview with law enforcement officers, Tetteh acknowledged that he had purchased the guns and shipped them to Ghana inside motor vehicles. He also admitted that he did not possess a license to export firearms. The firearms that Tetteh purchased are defense articles that may not be exported without a license from the State Department.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney John J. Farley.
A sentencing hearing has been scheduled for December 15, 2016.
Local Business Owner Charged with Structuring Nearly $4 Million Cash and Conspiracy to Distribute Controlled SubstancesRead the Press Release
Assistant U.S. Attorneys Orlando B. Gutierrez and Daniel C. Silva at (619) 546-9713
NEWS RELEASE SUMMARY – September 7, 2016
SAN DIEGO – A grand jury for the Southern District of California returned a six-count superseding indictment this morning against San Diego businessman Lakhwinder Singh “aka” Victor and his business Lovely Singh, Inc. for their role in a criminal conspiracy to distribute controlled substances, and for structuring approximately $3,938,976 into bank accounts all throughout San Diego County.
As set forth in the superseding indictment, Singh, along with his co-defendant, Alejandro Nava, are charged with conspiring to distribute controlled substances, oxycodone, which is a Schedule II Controlled Substance. Singh owned and operated Postal Annex stores in La Mesa and Lemon Grove. In addition to distributing the controlled substances, the Postal Annex stores operated as agents for an international money transmitting business. With the cash generated from the Postal Annex stores, Singh is alleged to have conducted hundreds of cash deposits for less than $10,000 in an effort to evade the law requiring the filing of a Currency Transaction Report (a “CTR”).
Federal laws and regulations require a domestic financial institution that engages in a currency transaction involving more than $10,000 in United States currency to file a CTR with the United States Department of the Treasury. It is an offense to cause or attempt to cause a domestic financial institution to fail to file a CTR, or for a person to “structure” cash transactions with the same purpose.
“Structuring” includes conducting one or more financial transactions in currency, in any amount, at one or more financial institutions, on one or more days, in any manner, for the purpose of evading CTRs. Federal laws and regulations define “in any manner” to include the breaking down of a single sum of currency exceeding $10,000.00 into smaller sums, as well as conducting a series of transactions, including transactions “at or below $10,000.”
“In this investigation, federal agents uncovered a very serious public health threat that should serve as a warning to those who put consumers at risk for their own financial gain,” said Dave Shaw, Special Agent in Charge for Immigrations and Customs Enforcement (ICE), Homeland Security Investigations (HSI) in San Diego. “HSI is committed to working closely with our law enforcement partners, here and abroad, to prevent imposter drugs from being smuggled into the U.S. and distributed via unregulated pharmaceutical supply chains on the Internet.”
“People who facilitate the illegal shipment of pills and make a profit are called drug dealers,” said DEA San Diego Special Agent in Charge William R. Sherman. “Thirty milligram oxycodone pills are the most abused prescription painkiller in the United States. DEA will continue to conduct investigations so that these dangerous pills do not make it to the streets for people to abuse.”
“Federal laws that regulate the reporting of financial transactions are designed to detect and stop illegal activities. As an agent for a money service business, Singh has the responsibility to comply with federal regulations and have anti-money laundering policies in place,” stated Anthony J. Orlando, Acting Special Agent in Charge for IRS Criminal Investigation. “This investigation continues to demonstrate our efforts to ensure that the financial services industry will operate in a fair and honest manner to promote public trust.”
In total, the Superseding Indictment alleges that Singh conducted 651 cash deposits between December 2011 and January 2014, for approximately $3,938,976.33; all with the intent to evade the filing of a CTR. The Superseding Indictment also contains forfeiture allegations in the same amount.
DEFENDANTS
Lakhwinder Singh “aka” Victor
Alejandro Nava
Lovely Singh, Inc.
SUMMARY OF CHARGES
Conspiracy to Distribute a Controlled Substance – Title 21 U.S.C., Sections 841(a)(1) and 846
Maximum penalty: 20 years’ imprisonment, $250,000 fine, and forfeiture
Structuring and Attempt to Evade the Filing of a CTR – Title 31, U.S.C., Sections 5324(a)(1) and (a)(3)
Maximum penalty: 10 years’ imprisonment and $500,000 fine (individual), $1,000,000 fine (corporation), and forfeiture
AGENCIES
Homeland Security Investigations
Drug Enforcement Administration
Internal Revenue Service – Criminal Investigation
Lee County Man Sentenced for Theft of Government FundsRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell has sentenced Donald St. Louis to 15 months in federal prison for theft of government funds. As part of his sentence, the Court entered a money judgment in the amount of $146,929.40, the proceeds he unlawfully obtained. St. Louis pleaded guilty on April 21, 2016.
According to court documents, between July 2007 and July 2012, St. Louis knowingly and willfully stole and converted to his own use benefit payments under the Title II Federal Old-Age, Survivors, and Disability Insurance Program, from the Social Security Administration (SSA). St. Louis had been approved to receive Social Security disability benefits in 2005, but he returned to work a short time later without notifying the SSA. As a result of his failure to report his employment activity and improvement in medical condition to the SSA, St. Louis collected $146,929.40 in unlawful benefit payments.
This case was investigated by the Social Security Administration Office of Inspector General, Office of Investigations. It is being prosecuted by Assistant United States Attorney Yolande G. Viacava.
KC Man Sentenced for Crack Cocaine, FirearmsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for possessing crack cocaine with the intent to distribute and illegally possessing firearms.
DiMarco S. Toles, 37, of Kansas City, was sentenced by U.S. District Judge Beth Phillips to 11 years and eight months in federal prison without parole.
On April 12, 2016, Toles pleaded guilty to possessing crack cocaine with the intent to distribute and to possessing a firearm in furtherance of a drug-trafficking crime.
Toles was arrested on May 26, 2015, by detectives with the Kansas City, Mo., Police Department on an active Jackson County, Mo., warrant for possession of a controlled substance. Detectives saw a silver 1998 Chevrolet Corvette, which Toles was known to drive, parked in the driveway of a residence. They found Toles inside the residence and placed him in custody.
After executing a search warrant at the residence, detectives seized from one bedroom several mason jars and freezer bags that contained marijuana, plastic bags that contained a total of 311 grams of cocaine and 25 grams of crack cocaine (packaged individually as if for sale), numerous prescription medications (including Oxycodone, Diazepam and Alprazolam), a loaded FEG .380-caliber handgun, numerous rounds of ammunition, a loaded Kel-Tec 5.56mm handgun on a closet shelf and $13,474. Detectives found a hidden compartment in a bench in the dining room that contained four bricks (nearly two kilograms) of marijuana wrapped in plastic and a Desert Eagle .50 AE/.44 magnum semi-automatic handgun. Detectives seized a plastic bag that contained 22.5 grams of crack cocaine (individually packaged as if for sale) from the bathroom where Toles had been located.
This case was prosecuted by Assistant U.S. Attorney Patrick C. Edwards. It was investigated by the Kansas City, Mo., Police Department.
Justice Department Sues South Dakota Business for Violating Employment Rights of Air National Guard MemberRead the Press Release
The Justice Department filed a complaint late yesterday alleging that BioFusion Health Products Inc., a business with headquarters in Rapid City, South Dakota, violated the employment rights of former South Dakota Air National Guard Senior Airman Amber M. Ishmael under the Uniformed Services Employment and Reemployment Rights Act (USERRA). Ishmael has served her country as part of the Air National Guard since 2010 and is currently a staff sergeant with the Missouri Air National Guard.
According to the complaint, which was filed in the U.S. District Court for the District of South Dakota, Ishmael’s military service was a motivating factor in BioFusion’s decision to both deny her request for reemployment and ultimately terminate her employment. The department claims both actions by BioFusion violated Ishmael’s rights as a servicemember to employment and reemployment under USERRA.
The complaint further alleges that in February 2015, BioFusion fired Ishmael from her position as a receptionist due to her military service and subsequently denied her application for reemployment following her active military duty. Ishmael’s employment was terminated while she was out of state attending Airmen Leadership School, which is professional military education training associated with her military service. When Ishmael requested reemployment upon return, she was explicitly denied based on her previous absence related to her military service.
“BioFusion must be held to account for its alleged wrongful termination of Staff Sgt. Ishmael, who proudly serves in our Air National Guard,” said Principal Deputy Associate Attorney General Bill Baer. “The Department of Justice is committed to protecting the employment rights of those who meet their active duty commitments.”
“Staff Sergeant Ishmael served our nation with honor and distinction, and USERRA guarantees her right to return to civilian employment upon returning from military service,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “This lawsuit and the department’s Servicemembers and Veterans Initiative demonstrate our steadfast commitment to leverage every resource and tool at the federal government’s disposal to protect the rights of the men and women who defend our freedom and safeguard our way of life.”
“Members of our Air National Guard make many sacrifices, including spending months or years away from their jobs and families,” said U.S. Attorney Randolph J. Seiler of the District of South Dakota. “When our servicemembers are deployed in the service of our country, they are entitled to retain their civilian employment and to the protections of federal law that prevent them from being subject to discrimination based upon their military obligations. We are filing suit on behalf of Staff Sergeant Ishmael, a former member of the South Dakota Air National Guard, to ensure that she does not lose her rights while she was protecting ours.”
USERRA safeguards the rights of uniformed servicemembers to retain their civilian employment following absences due to military service obligations. USERRA also protects servicemembers from discrimination on the basis of their military obligations.
The lawsuit seeks damages equal to the amount of Ishmael’s lost wages and benefits caused by BioFusion’s failure to comply with USERRA. It also seeks orders requiring BioFusion’s compliance with all provisions of USERRA and requiring BioFusion to pay all related litigation fees.
Ishmael initially filed a complaint with the Department of Labor’s Veterans’ Employment and Training Service (VETS), which investigated this matter and attempted to reach a resolution between the parties. After resolution failed, VETS referred the complaint to the Justice Department’s Civil Rights Division. This lawsuit followed as a collaborative initiative between the Civil Rights Division and the U.S. Attorney’s Office of the District of South Dakota. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at https://www.justice.gov/crt/employment-litigation-section and https://www.justice.gov/crt-military, as well as on the Department of Labor’s website at www.dol.gov/vets/programs/userra/main.htm.
BioFusion Health Products Complaint
Justice Department Settles with Humboldt County, California, to Resolve Americans with Disabilities Act ViolationsRead the Press Release
The Justice Department filed a proposed consent decree today with Humboldt County, California, resolving claims that the county violated Title II of the Americans with Disabilities Act (ADA).
The consent decree, which is still subject to approval by the U.S. District Court for the Northern District of California, resolves the department’s complaint that the county’s facilities, programs, services and activities are inaccessible to individuals with disabilities in violation of the ADA, despite the county’s previous commitment to improve access by entering into a Project Civic Access (PCA) agreement with the United States.
“State and local governments must ensure that people with disabilities can access community services, programs and facilities without facing unlawful and discriminatory barriers,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “ADA compliance is not optional and the Justice Department works tirelessly to make sure that people with disabilities can live their lives with the dignity, respect and independence they deserve.”
“This office is committed to ensuring equal access to programs, both public and private,” said U.S. Attorney Brian J. Stretch of the Northern District of California. “The federal government will not tolerate discrimination that results when individuals are excluded from public access.”
The consent decree is a court-enforceable commitment by Humboldt County to bring its facilities, programs, services and activities into compliance with the ADA and make the county more accessible to individuals with disabilities. Under the terms of the consent decree, the county will pay $275,000 to compensate individuals with disabilities who faced barriers to access while attempting to use county facilities and programs. Under the decree, Humboldt County will also implement a wide range of actions to comply with the ADA, including the following:
- bring all county facilities, programs, services and activities into compliance with the ADA within three and a half years;
- ensure that the county website conforms to, at minimum, the Web Content Accessibility Guidelines 2.0 Level AA Success Criteria;
- provide curb ramps at all county intersections;
- ensure that emergency management procedures, policies and shelters are accessible to individuals with disabilities; and
- hire an ADA coordinator, independent licensed architect, web accessibility coordinator and website accessibility consultant.
The United States has over 220 agreements with localities across the country under PCA, the department’s wide-ranging initiative to ensure that cities, towns and counties throughout the nation comply with the ADA. Humboldt County is one of the rare public entities that did not take the remedial actions required by a PCA agreement to comply with the ADA.
To read the consent decree and complaint, please visit www.ada.gov. For more information about the ADA, call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or access the ADA website at www.ada.gov.
Humboldt County Consent Decree
Justice Department Settles with Humboldt County to Resolve Americans with Disabilities Act ViolationsRead the Press Release
SAN FRANCISCO– The Justice Department announced a proposed consent decree today with Humboldt County resolving claims that the county violated Title II of the Americans with Disabilities Act (ADA).
The consent decree, which is still subject to approval by the U.S. District Court for the Northern District of California, resolves the department’s complaint that the county’s facilities, programs, services and activities are inaccessible to individuals with disabilities in violation of the ADA, despite the county’s previous commitment to improve access by entering into a Project Civic Access (PCA) agreement with the United States.
“This office is committed to ensuring equal access to programs, both public and private,” said U.S. Attorney Brian J. Stretch. “The federal government will not tolerate discrimination that results when individuals are excluded from public access.”
“State and local governments must ensure that people with disabilities can access community services, programs and facilities without facing unlawful and discriminatory barriers,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “ADA compliance is not optional and the Justice Department works tirelessly to make sure that people with disabilities can live their lives with the dignity, respect and independence they deserve.”
The consent decree is a court-enforceable commitment by Humboldt County to bring its facilities, programs, services and activities into compliance with the ADA and make the county more accessible to individuals with disabilities. Under the terms of the consent decree, the county will pay $275,000 to compensate individuals with disabilities who faced barriers to access while attempting to use county facilities and programs. Under the decree, Humboldt County will also implement a wide range of actions to comply with the ADA, including the following:
- bring all county facilities, programs, services and activities into compliance with the ADA within three and a half years;
- ensure that the county website conforms to, at minimum, the Web Content Accessibility Guidelines 2.0 Level AA Success Criteria;
- provide curb ramps at all county intersections;
- ensure that emergency management procedures, policies and shelters are accessible to individuals with disabilities; and
- hire an ADA coordinator, independent licensed architect, web accessibility coordinator and website accessibility consultant.
The United States has over 220 agreements with localities across the country under PCA, the department’s wide-ranging initiative to ensure that cities, towns and counties throughout the nation comply with the ADA. Humboldt County is one of the rare public entities that did not take the remedial actions required by a PCA agreement to comply with the ADA.
To read the consent decree and complaint, please visit www.ada.gov. For more information about the ADA, call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or access the ADA website at www.ada.gov.
Justice Department Settles Immigration-Related Discrimination Claims Against AtWork Cumberland StaffingRead the Press Release
The Justice Department reached an agreement today with Cumberland Staffing Inc., doing business as AtWork Cumberland Staffing (ACS), to resolve the department’s investigation into whether the company discriminated against work-authorized immigrants and naturalized U.S. citizens in violation of the Immigration and Nationality Act (INA). ACS is a temporary staffing agency with an office located in Cookeville, Tennessee.
The department initiated its investigation after a Tennessee resident notified the department of an ACS job posting that included a U.S. birth certificate requirement. The department’s investigation found that between December 2015 and February 2016, ACS’s Cookeville office created and published a job posting stating that applicants for machine operator positions at a client company must present a U.S. birth certificate, even though there was no legal authorization for such requirement. The discriminatory posting was published on several job search engine websites during this time period.
The INA’s anti-discrimination provision prohibits employers from discriminating in hiring, recruiting or referring for a fee based on a person’s citizenship, immigration status or national origin. In the absence of a legal basis to do so (such as a law, regulation or government contract that requires U.S. citizenship restrictions), employers, recruiters and referrers for a fee may not limit job opportunities or otherwise impose barriers to obtaining employment based on an individual’s citizenship, immigration status or national origin. By requiring a U.S. birth certificate – a document that only non-naturalized U.S. citizens possess – to be considered for an employment opportunity, ACS’s job posting created a discriminatory barrier for work-authorized individuals, such as naturalized U.S. citizens, U.S. nationals, lawful permanent residents, asylees and refugees.
Under the settlement agreement, ACS will pay a civil penalty, remove all specific document requirements from its job postings except where required by law, train staff on proper employment verification and reverification procedures and ensure that trained staff or legal counsel review future job advertisements.
“Staffing agencies, which are in the business of making employment opportunities available to job seekers, cannot create unlawful and discriminatory employment barriers,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “The department commends ACS for its cooperation during the investigation and its willingness to address the situation.”
The Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits, among other things, citizenship, immigration status and national origin discrimination in hiring, firing or recruitment or referral for a fee; unfair documentary practices in employment eligibility verification; retaliation; and intimidation.
To learn more about the protections against employment discrimination under immigration laws, call OSC’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call OSC’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar at www.justice.gov/crt/about/osc/webinars.php; email [email protected]; or visit OSC’s website at www.justice.gov/crt/about/osc.
Applicants or employees who believe they have been subjected to different documentary requirements based on their citizenship, immigration status or national origin; or discrimination based on their citizenship, immigration status or national origin in hiring, firing or recruitment or referral, should contact OSC’s worker hotline for assistance.
AtWork Settlement Agreement
Justice Department Ends Agreement with West Virginia School District after Successful Implementation of English Language ProgramsRead the Press Release
The Justice Department announced today that it has terminated its January 2012 settlement agreement with the Mercer County, West Virginia, School District following the district’s successful implementation of programs and services for its English Learner (EL) students, as required by the Equal Educational Opportunities Act (EEOA) of 1974.
After entering into the settlement agreement, the district implemented a process whereby every new student completed a home language survey so that all students with non-English speaking backgrounds were timely identified; had their English proficiency assessed; and if they were not proficient, were provided with individualized English language services and supports. The district also implemented a new curriculum for the instruction of EL students, improved its teacher training, carefully monitored the academic progress of current and former EL students and enhanced its communications with limited-English proficient families.
As a result of its efforts, the district has successfully integrated dozens of EL students into its student body, enabling them to access the curriculum and develop strong relationships with their teachers and peers. EL students and their parents have credited the district’s individualized programs and the dedication of EL teachers in furthering the students’ progress.
“We commend the Mercer County School District for successfully implementing the settlement agreement and for showing dedication and care to its English Learner students and their families,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “We hope other rural districts with growing EL populations will learn from Mercer County’s positive example and significant progress.”
The EEOA requires state and local education agencies to take appropriate action to overcome language barriers that impede students’ equal participation in instructional programs. Enforcement of the EEOA is a top priority of the Civil Rights Division. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Julie B. Porter, Chief of the Criminal Division, to Depart U.S. Attorney’s Office After 12 YearsRead the Press Release
CHICAGO — Assistant U.S. Attorney Julie B. Porter, who supervised child exploitation investigations and prosecuted significant corporate fraud and public corruption cases, will depart the U.S. Attorney’s Office after 12 years of public service, Zachary T. Fardon, United States Attorney for the Northern District of Illinois, announced today.
Ms. Porter was a member of the prosecution team in the corporate fraud trial of Conrad Black and other executives of Hollinger International, once one of the world's largest media empires. She participated in public corruption cases involving the city of Chicago’s hired truck program, as well as the federal investigation known as “Operation Board Games,” which led to the conviction of former Illinois Gov. Rod Blagojevich.
“Julie Porter has served the citizens of the Northern District of Illinois and the United States with tremendous distinction,” said Mr. Fardon. “She has been a dynamic leader in our Office, mentoring new prosecutors and lending valuable insight and advice. I want to thank Julie for her service, and I look forward to all that she will accomplish in the future.”
Ms. Porter joined the Office in 2004. She most recently served as Chief of the Criminal Division, overseeing nearly 150 prosecutors. Prior to that appointment, she was Chief of the office’s Financial Fraud Section and coordinator of the district’s Project Safe Childhood program.
After her final day in the Office on Wednesday, Ms. Porter will open a private law practice in Chicago.
Mr. Fardon also announced today that Assistant U.S. Attorney Brian Hayes has been promoted to succeed Ms. Porter as Chief of the Criminal Division. Mr. Hayes, a former Special Agent with the Federal Bureau of Investigation, has held various leadership positions within the Office, most recently serving as Chief of the General Crimes Section. Since joining the Office in 2003, he has prosecuted cases involving violent crimes, financial fraud, narcotics, tax violations and other major offenses. He recently participated in the prosecution of Toby Jones and Kelsey Jones, Chicago brothers who conspired to murder a federal informant. Toby Jones was sentenced earlier this year to 40 years in prison. Kelsey Jones is awaiting sentencing.
“Brian Hayes is an experienced and skilled prosecutor,” said Mr. Fardon. “He is the perfect fit to oversee our Criminal Division at such an important time in our district.”
Mr. Hayes’ first day as Chief of the Criminal Division will be Thursday.
Illegal Immigrant Living in Louisville Indicted on Immigration and Fraud Related ChargesRead the Press Release
Previously charged in Jefferson County Circuit Court with murder and operating a motor vehicle under the influence
LOUISVILLE, Ky. – A Mexican national illegally present in the United States and residing in Louisville, Kentucky, was charged this week, by a federal grand jury, with possessing and using counterfeit documents for purposes of obtaining employment announced United Statets Attorney John E. Kuhn, Jr.
Juan Carlos Ortega-Santos, 26, was charged with four immigration fraud related counts: Counts 1-2: Use of a False Document for Purposes of Obtaining Employment, Count 3: Possession of a Counterfeit Alien Registration Card, and Count 4: Possession of a Counterfeit Social Security Card.
This case arose when Ortega-Santos was arrested on June 22, 2016 for driving a vehicle under the influence and killing two juveniles on Taylorsville Road. Ortega-Santos was later charged with murder, assault, wanton endangerment, operating a motor vehicle under the influence, driving without a license, and failure to maintain insurance. Soon after his arrest, it was learned that Ortega-Santos was a Mexican national illegally present in the United States.
Upon learning of Ortega-Santos’ illegal immigration status in the United States, the Immigration and Customs Enforcement (ICE) office began investigating Ortega-Santos and found that he had used counterfeit documents to obtain employment in Louisville, Kentucky. Ortega-Santos currently has an ICE detainer which will hold him if he were to be released from state or federal custody.
If convicted, Ortega-Santos faces maximum potential penalties of no more than 10 years in prison for counts 1-2; and no more than 5 years in prison for counts 3-4.
Assistant United States Attorney Daniel P. Kinnicutt is prosecuting the case. Immigration and Customs Enforcement (ICE) conducted the investigation.
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The indictment of a person by Federal Grand Jury is an accusation only and that person is presumed innocent until and unless proven. ortega-santos_juan_indictment_9-7-16.pdf
Illegal Alien Pleads Guilty to Possession of a FirearmRead the Press Release
U.S. Attorney Kenneth A. Polite announced that SALVADOR ACOSTA-SALAS, age 34, a citizen of Mexico, pled guilty today to a one-count Indictment charging him with possession of a firearm by an illegal alien.
According to the court documents, on July 30, 2016, ACOSTA-SALAS was stopped by the Mandeville Police Department for driving over the speed limit. ACOSTA-SALAS exited his truck and produced a Mexican identification card but did not have a driver’s license. The officer asked ACOSTA-SALAS if he had any weapons on him or in the vehicle. ACOSTA-SALAS advised that he had a pistol in the center console of the truck. The officer entered the cab of the truck and retrieved a Taurus Model PT 111 Pro, 9 mm semi-automatic pistol bearing serial number TDO85685. The officer also found two Taurus magazines loaded with ammunition. ACOSTA-SALAS illegally entered the United States prior to July 30, 2016, and had no pending status adjustments with the Citizenship and Immigration Services.
ACOSTA-SALAS faces a maximum term of imprisonment of ten years, a fine of $250,000, three years supervised release after imprisonment, and a $100 special assessment. U.S. District Judge Carl J. Barbier set sentencing for December 15, 2016.
U.S. Attorney Polite praised the work of the U.S. Immigration and Customs Enforcement - Homeland Security Investigations, Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Mandeville Police Department in investigated this matter. Assistant United States Attorney Emily K. Greenfield was in charge of the prosecution.
Honduran Man Sentenced for Immigration OffenseRead the Press Release
U.S. Attorney Kenneth A. Polite announced that RONY GAVARRETTE, age 23, a native of Honduras, was sentenced today after previously pleading guilty to a one-count Indictment charging him with illegal entry of a removed alien, in violation of Title 18, United States Code, Section 1326(a).
U.S. District Judge Martin L.C. Feldman sentenced GAVARRETTE to 15 months incarceration. Additionally, GAVARRETTE was ordered to pay a $4,000 fine and a $100 special assessment fee.
According to court documents, GAVARRETTE was encountered by federal agents at a residence in New Orleans on November 10, 2015. He had previously been deported from the United States on September 26, 2011 and had not received permission from the Attorney General of the United States or the Secretary of the Department of Homeland Security to reenter.
U.S. Attorney Polite praised the work of Immigration and Customs Enforcement agents in investigating this matter. Assistant United States Attorney Jon Maestri was in charge of the prosecution.
Honduran Man Sentenced for Illegal Reentry After DeportationRead the Press Release
CONCORD, NEW HAMPSHIRE – United States Attorney Emily Gray Rice announced today that Juan Castillo-Linder, of Honduras, was sentenced on September 6, 2016, after pleading guilty to illegally reentering the United States after having been previously deported.
Castillo-Linder was identified after being arrested in Manchester, New Hampshire for Driving Under the Influence of Alcohol on May 8, 2016. A Deportation Officer later determined that he was a citizen of Honduras who previously had been deported from the United States. Castillo-Linder, who was arrested by ICE on May 19, 2016, and has been in custody since that time, was sentenced to time served. He faces likely deportation.
The case was investigated by the U.S. Department of Homeland Security, Bureau of Immigration and Customs Enforcement and prosecuted by Assistant U.S. Attorney Alfred Rubega.
Heroin Supplier for Grape Street Crips Gang Sentenced to 15 Years in PrisonRead the Press Release
NEWARK, N.J. – A narcotics supplier for the New Jersey Grape Street Crips was sentenced today to 180 months in prison for distributing hundreds of grams of heroin in and around Newark, U.S. Attorney Paul J. Fishman announced today.
Gabriel Henderson, 36, of Newark, previously pleaded guilty before the U.S. District Judge Esther Salas to an information charging him with one count of conspiracy to distribute heroin. Judge Salas imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Henderson admitted that between December 2014 and May 2015, he conspired with others to distribute brick quantities of heroin to members and associates of the Grape Street Crips. Henderson and his conspirators sold heroin in and around the Pennington Court public-housing complex located on Pennington Street and the John W. Hyatt public-housing complex located on Hawkins Street, both in Newark.
In addition to the prison term, Judge Salas sentenced Henderson to five years of supervised release.
U.S. Attorney Fishman credited special agents of the DEA, under the direction of Special Agent in Charge Carl J. Kotowski in Newark, and special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, for the investigation leading to the charges. He also thanked prosecutors and detectives of the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Carolyn A. Murray; police officers and detectives of the Newark Department of Public Safety, under the direction of Director Anthony F. Ambrose; and the Essex County Sheriff’s Office under the direction of Armando B. Fontoura, for their assistance in this case.
The government is represented by Assistant U.S. Attorneys Osmar J. Benvenuto and Barry Kamar of the Criminal Division in Newark.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF) and the FBI’s Safe Streets Task Force, a partnership, a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Defense counsel: Howard B. Brownstein, Union City, New Jersey
Harrison County Man Pleads Guilty to Using Machine Gun During Robbery in Freeport, OhioRead the Press Release
COLUMBUS, Ohio – Nicholas T. Billman, 20, of Flushing, Ohio, pleaded guilty in U.S. District Court here today to brandishing a machine gun while he robbed a general store in Freeport, Ohio on October 22, 2015.
Benjamin C. Glassman, Acting United States Attorney for the Southern District of Ohio, Brad Earman, Acting Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Harrison County Sheriff Ronald J. Myers announced the plea entered today before U.S. Magistrate Judge Terence P. Kemp.
Billman pleaded guilty to one count of robbery of a business that is engaged in interstate commerce and one count of carrying and brandishing a machine gun during a crime of violence.
Testimony during the plea hearing confirmed that Billman entered the Hilltop General Store brandishing an AK-47 type rifle. Billman wore a handgun holstered on his right hip and a sheathed knife on his left hip. Billman robbed the store of cash and cigarettes then fled. A witness followed Billman but stopped after Billman fired three shots toward him.
Acting on information received from the public and other witnesses, investigators obtained a warrant and searched Billman’s residence two days later. They found an AK-47 similar to the one used in the robbery as well as other firearms and evidence indicating that Billman had committed the crimes. Forensic tests determined that the weapon was fully automatic. Sheriff’s deputies arrested Billman on state charges, then contacted ATF to pursue federal charges. A federal grand jury indicted Billman in February 2016. He has been in custody since sheriff’s deputies arrested him.
The plea agreement calls for a sentence of 25 years in prison, followed by five years of court supervision. Senior U.S. District Judge James L. Graham will review the terms of the plea agreement and schedule a date for sentencing, if the court accepts the terms.
“We appreciate the partnership with Harrison County law enforcement and the ATF agents who investigated this crime,” Acting U.S. Attorney Glassman said. “Violent crime touches all of the 48 counties in our district and we must be united to punish such crimes most effectively.”
Acting U.S. Attorney Glassman commended Assistant U.S. Attorney Timothy Prichard, who represents the U.S. in this case.
Galax Man Pleads Guilty to Child Pornography ChargesRead the Press Release
ABGINGDON, VIRGINIA – A Galax, Virginia man pled guilty today in federal court to a series of child pornography charges that will lead to him serving at least 15 years in federal prison, United States Attorney John P. Fishwick Jr. announced.
Richard Denny Nofsinger Jr., 37, of Galax, Virginia, pled guilty today in the United States District Court for the Western District of Virginia in Abingdon to three counts of manufacturing child pornography. At sentencing, he faces a mandatory minimum sentence of 15 years in federal prison and a maximum statutory sentence of up to 90 years.
“When individuals like Mr. Nofsinger exploit our most vulnerable citizens, our children, it is the job of law enforcement to hold them accountable for their actions,” U.S. Attorney Fishwick said today. “The actions this defendant took were perverse and obscene and his punishment will be severe but just. The United States Attorney’s Office will continue to prosecute those who exploit children to the fullest extent of the law.”
According to evidence presented at today’s guilty plea hearing by United States Attorney Fishwick, Nofsinger was arrested on May 17, 2016 on a state arrest warrant in City of Galax and was in possession of a cellular phone. A search warrant was executed on the cell phone and eight videos containing sexually explicit images of children were recovered.
The videos depict Nofsinger, as well as at least two separate child victims, acting in a sexually explicit manner. Police have been able to identify the victims through witness interviews and identifying other objects, such as furniture, seen in the videos. Police have also recovered the T-shirt, and sunglasses Nofsinger wore in some of the videos.
The investigation of the case was conducted by the City of Galax Police Department and the United States Secret Service. United States Attorney John P. Fishwick Jr. and Assistant United States Attorney Jennifer R. Bockhorst prosecuted the case for the United States.
Former UNK Psychology Professor Sentenced for Possessing Child PornographyRead the Press Release
United States Attorney Deborah R. Gilg announced that Joseph J. Benz, 56, currently of Kearney, Nebraska, was sentenced on September 7, 2016, in Lincoln, Nebraska, to 5 years of probation by United States Senior District Judge Richard G. Kopf, for possession of child pornography. In addition to serving probation, Benz was ordered to pay $9,999.00 in restitution to the numerous victims whose abuse was documented in the child pornography and that law enforcement was able to identify. Benz will also be required to register as a sex offender for the remainder of his life.
In March of 2013, investigators with the Nebraska Attorney General’s Office became aware of a computer with a specific IP address that was identified as a potential download source of files containing child pornography. Through further investigation it was determined that the IP was assigned to Benz at his residence in Kearney, Nebraska. Between March and May of 2013, investigators were able to receive more than 6,000 child pornography files from Benz’s computer. Further investigation later determined that Benz had been downloading the child pornography since at least 2008.
A search warrant was obtained and executed at Benz’s residence and during the search, investigators observed a computer that was actively running and downloading child pornography. The items seized during the search warrant were forensically examined at the Attorney General's computer lab, and over 20,000 video and image files of child pornography were identified. Benz had also copied the child pornography to a number of external hard drives and flash drives.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Nebraska Attorney General’s Office.