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26 September 2016
Maryland Man Sentenced to More Than Four Years in Prison for Tax FraudRead the Press Release
Defendant Failed to Report More than $4.8 Million in Income from Real Estate Transactions and Other Sources
A Chevy Chase, Maryland, man was sentenced to 54 months in prison today after pleading guilty to a federal tax evasion charge stemming from his failure to pay taxes on more than $4.8 million in income that he accrued over a six-year period, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, U.S. Attorney Channing D. Phillips for the District of Columbia and Special Agent in Charge Thomas Jankowski of the Internal Revenue Service-Criminal Investigation’s (IRS-CI) Washington, D.C. Field Office.
Cornell M. Jones Jr., 59, pleaded guilty on Jan. 19 to one count of tax evasion. According to the government’s evidence, Jones was the managing member of WFJ LLC, a Washington, D.C., company that engaged in real estate transactions. He was also the executive director of Miracle Hands, a non-profit organization in Washington, D.C. In 2012, the IRS revoked Miracle Hand’s tax-exempt status over its failure to file tax returns for 2009 through 2011.
The government’s evidence showed that neither Jones nor WFJ filed returns for 2008 through 2013. WFJ generated income through the sale and leasing of commercial properties in Northeast Washington, D.C., and through payments it received for consulting work purportedly done by Jones. Jones used WFJ’s income for his personal benefit, which included more than $1 million in cash that he withdrew from WFJ bank accounts. During the years 2008 through 2013, Jones received approximately $4,806,019.04 in taxable income that he failed to report to the IRS. The tax due and owing to the United States on this amount is approximately $1,759,953.
In addition to the prison term, U.S. District Judge Richard J. Leon for the District of Columbia ordered Jones to serve three years of supervised release, 360 hours of community service and pay restitution to the IRS in the amount of $1,759,953.
Principal Deputy Assistant Attorney General Ciraolo, U.S. Attorney Phillips and Special Agent in Charge Jankowski thanked special agents of IRS-CI, who conducted the investigation, and Assistant U.S. Attorney Anthony Saler for the District of Columbia and Trial Attorney Kenneth C. Vert of the Tax Division, who prosecuted the case. Assistance was provided by Assistant U.S. Attorneys David A. Last, Arvind K. Lal and Michael K. Atkinson; Criminal Investigator Juan Juarez; Financial Analyst Bryan J. Snitselaar; and Paralegal Specialists C. Rosalind Pressley and Toni Donato, all of the U.S. Attorney’s Office for the District of Columbia.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Maryland Man Sentenced to More Than Four Years in Prison for Tax FraudRead the Press Release
WASHINGTON – A Chevy Chase, Maryland man was sentenced to 54 months in prison today after pleading guilty to a federal tax evasion charge stemming from his failure to pay taxes on more than $4.8 million in income that he accrued over a six-year period, announced U.S. Attorney Channing D. Phillips, Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and Special Agent in Charge Thomas Jankowski of the Internal Revenue Service-Criminal Investigation’s (IRS-CI) Washington, D.C. Field Office.
Cornell M. Jones Jr., 59, pleaded guilty on Jan 19 to one count of tax evasion. According to the government’s evidence, Jones was the managing member of WFJ LLC, a Washington, D.C. company that engaged in real estate transactions. He was also the executive director of Miracle Hands, a non-profit organization in Washington, D.C. In 2012, the IRS revoked Miracle Hand’s tax-exempt status over its failure to file tax returns for 2009 through 2011.
The government’s evidence showed that neither Jones nor WFJ filed returns for 2008 through 2013. WFJ generated income through the sale and leasing of commercial properties in Northeast Washington, D.C., and through payments it received for consulting work purportedly done by Jones. Jones used WFJ’s income for his personal benefit, which included more than $1 million in cash that he withdrew from WFJ bank accounts. During the years 2008 through 2013, Jones received approximately $4,806,019 in taxable income that he failed to report to the IRS. The tax due and owing to the United States on this amount is approximately $1,759,953.
In addition to the prison term, U.S. District Judge Richard J. Leon ordered Jones to serve three years of supervised release, perform 360 hours of community service and pay restitution to the IRS in the amount of $1,759,953.
U.S. Attorney Phillips, Principal Deputy Assistant Attorney General Ciraolo, and Special Agent in Charge Jankowski thanked special agents of IRS-CI, who conducted the investigation, and Assistant U.S. Attorney Anthony Saler for the District of Columbia and Trial Attorney Kenneth C. Vert of the Tax Division, who prosecuted the case. Assistance was provided by Assistant U.S. Attorneys David A. Last, Arvind K. Lal and Michael K. Atkinson; Criminal Investigator Juan Juarez; Financial Analyst Bryan J. Snitselaar; and Paralegal Specialists C. Rosalind Pressley and Toni Donato, all of the U.S. Attorney’s Office for the District of Columbia.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Maryland Man Sentenced to Five Years in Prison for Distributing PCPRead the Press Release
WASHINGTON – Jameil Michael Arrington, 23, of District Heights, Md., was sentenced today to a five-year prison term on a drug charge stemming from his sales of PCP to an undercover officer in 2014 and 2015, in Washington, D.C., U.S. Attorney Channing D. Phillips announced.
Arrington pled guilty in May 2016, in the U.S. District Court for the District of Columbia, to one count of distribution of 100 grams or more of Phencyclidine (PCP). The offense took place in June 2015. As part of his plea, Arrington also acknowledged responsibility for distributing PCP on ten other occasions from March of 2014 through June of 2015. At the time of the sales, he was on supervised release for two separate criminal cases in Maryland. He has been in custody since his arrest on Aug. 1, 2015. Arrington was sentenced by the Honorable Senior Judge Gladys Kessler. Following his prison term, he will be placed on five years of supervised release.
According to the government's factual proffer, Arrington developed on ongoing illegal business relationship with an undercover officer who was posing as a redistributor of PCP. Arrington first sold PCP to the undercover officer in March of 2014, and continued to sell PCP to the undercover officer in the District of Columbia both before and after Arrington was briefly incarcerated in the summer of 2014. The undercover purchases continued into the summer of 2015.
In announcing the sentence, U.S. Attorney Phillips praised the work of the Metropolitan Police Department. He also commended the efforts of those who assisted at the U.S. Attorney’s Office, including Paralegal Specialists Teesha Tobias and Candace Battle, and Legal Assistant Latoya Wade. Finally, he expressed appreciation for the work of Assistant U.S. Attorney Stephen J. Gripkey, who prosecuted the case.
Maryland Man Pleads Guilty to Theft of Government Property, False StatementsRead the Press Release
CHARLOTTESVILLE, VIRGINIA – A Maryland man, who was employed by the Defense Intelligence Agency at the agency’s Rivanna Station in Albemarle County, pled guilty today in the United States District Court for the Western District of Virginia in Charlottesville to stealing government property and making false statements, United States Attorney John P. Fishwick Jr. announced today.
Jameel Solomon Moses, 31, formerly of Charlottesville, Va., pled guilty today to one count of theft of government property and one count of making false statements.
“Individuals who work for the government have an obligation to be truthful in their time-keeping and responsible in the manner in which they are paid,” United States Attorney Fishwick said today. “When employees are deceitful and steal money through inaccurate bookkeeping, they will be held accountable.”
According to evidence presented in court today by Assistant United States Attorney Heather L. Carlton, Moses was hired by Worldwide Information Network System to work as a contractor with the Defense Intelligence Agency. During his time as a contractor, Moses regularly submitted timesheets on which he had claimed to work hours he was not present at the Rivanna Station nor permitted to work from home. This action caused Moses’s employer to fraudulently bill the United States government and caused the United States government to pay for time Moses did not actually work. At an average hourly billing rate of $67 per hour and a total of 578 hours of work lost, the financial loss to the United States for overpaid time was at least $38,726.
The investigation of the case was conducted by the Office of the Inspector General, Defense Intelligence Agency and the Defense Criminal Investigative Service, Office of the Inspector General, U.S. Department of Defense. Assistant United States Attorney Assistant United States Attorney Heather L. Carlton prosecuted the case for the United States.
Maryland Man Pleads Guilty to Theft of Union FundsRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that John Kauffman, Jr., age 36, Maugansville, Maryland pleaded guilty today before United States District Court Judge Sylvia H. Rambo in Harrisburg to stealing $22,062 from a union local at the Letterkenny Army Depot in Chambersburg, PA.
According to United States Attorney Peter Smith, Kauffman was charged with mail fraud on September 7, 2016. The Information, which was filed pursuant to a plea agreement with the government, alleged that Kauffman stole $22,062 between September 2013 and July 2014 from the National Federation of Federal Employees (NFFE) Local Lodge 1442.
Local 1442 is a small union, with approximately 47 members who work at the Letterkenny Army Depot. Kauffman was President of Local 1442 from September 2013 and January 2015. 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.
The mail fraud count carries a maximum penalty of 20 years imprisonment and $250,000 fine. No date has yet been set for sentencing pending preparation of a pre-sentence report
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 Attorney Kim Douglas Daniel.
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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Martinsburg man sentenced for stalking former co-workerRead the Press Release
MARTINSBURG, WEST VIRGINIA – Victor Anderson, 65, of Martinsburg, West Virginia, was sentenced in federal court today to 24 months in prison for stalking a female coworker while he was employed by the Internal Revenue Service, United States Attorney William J. Ihlenfeld, II, announced.
While Anderson was employed by the Internal Revenue Service Computing Center in Martinsburg, he repeatedly used the Internet and traditional mail to distribute letters, photographs, essays, and poems containing sexually explicit information about a female co-worker. The items were distributed to the female co-worker’s supervisor, co-workers, relatives, neighbors, and other individuals within the United States government. Anderson pled guilty to one count of “Stalking” in May 2016.
Assistant U.S. Attorney Paul T. Camilletti prosecuted the case on behalf of the government. The United States Treasury Inspector General for Tax Administration investigated.
Chief U.S. District Judge Gina M. Groh presided.
Manderson Man Charged with Sexual Abuse of a MinorRead the Press Release
United States Attorney Randolph J. Seiler announced that a Manderson, South Dakota, man has been indicted by a federal grand jury for Sexual Abuse and Sexual Abuse of a Minor.
Eugenio White Hawk, Jr., age 36, was indicted on September 20, 2016. He appeared before U.S. Magistrate Judge Daneta L. Wollmann on September 21, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in custody and/or a $250,000 fine, up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on September 27, 2015, White Hawk, Jr., knowingly caused and attempted to cause a minor female to engage in a sexual act while she was asleep.
The charges are merely accusations and White Hawk, Jr., is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Jay Miller is prosecuting the case.
White Hawk, Jr., was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Lower Brule Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Lower Brule, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on September 26, 2016, by U.S. District Judge Roberto A. Lange.
David George Flute, III, age 26, was sentenced to 33 months in custody, 5 years of Supervised Release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Flute was indicted by a federal grand jury on May 17, 2016. He pled guilty on August 2, 2016.
The conviction stemmed from Flute failing to register as a sex offender between December 18, 2015 and May 11, 2016. This is Flute’s third federal conviction for failing to register as required by law.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Flute was immediately turned over to the custody of the U.S. Marshals Service.
Lea County Man Pleads Guilty to Unlawful Possession of Firearms and AmmunitionRead the Press Release
ALBUQUERQUE – Lewis Templeton, 62, of Eunice, N.M., pled guilty this morning in federal court in Las Cruces, N.M., to violating the federal firearms laws.
Templeton was arrested on May 4, 2016, on a criminal complaint charging him with possessing an unregistered firearm and being a felon in possession of a firearm on Nov. 3, 2015, in Lea County, N.M. According to the complaint, on Nov. 3, 2015, law enforcement officers found two rifles and ammunition while executing a search warrant at Templeton’s residence. A search of the National Firearms Registration and Transfer Record (NFRTR) confirmed that one of the firearms, a sawed-off rifle, was not registered with the NFRTR.
According to court documents, Templeton was prohibited from possessing firearms or ammunition because he previously had been convicted of a number of felony offenses. Templeton’s criminal history includes convictions for aggravated assault, aggravated burglary and sexual penetration, possession of cocaine with intent to distribute, and possession of drug paraphernalia.
During today’s proceedings, Templeton pled guilty to a felony information charging him with being a felon in possession of a firearm. In entering the guilty plea, Templeton admitted that on Nov. 3 2015, he possessed two firearms and ammunition even though he was prohibited from possessing firearms and ammunition because of his status as a convicted felon.
At sentencing, Templeton 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 Las Cruces office of the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the 5th Judicial District Attorney’s Office. Assistant U.S. Attorney Luis A. Martinez of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Kyle Man Pleads Not Guilty to Assault with Intent to Commit MurderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Kyle, South Dakota, man has been indicted by a federal grand jury for Assault with Intent to Commit Murder, Assault with a Dangerous Weapon, and Assault Resulting in Serious Bodily Injury.
Timothy “Jack” Brown Bull, age 22, was indicted on May 24, 2016. Brown Bull appeared before U.S. Magistrate Judge Daneta Wollmann on September 14, 2016, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is 20 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Brown Bull and another individual assaulting a man with their feet, a cinder block, and stick on March 7, 2015, at Kyle.
The charges are merely accusations and Brown Bull is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, the Oglala Sioux Tribe Department of Public Safety, and the Federal Bureau of Investigation. Assistant U.S. Attorney Megan Poppen is prosecuting the case.
Brown Bull was released on bond pending trial. A trial date has been set for November 22, 2016.
Justice Department Settles with Salt Lake City-Area Apartment Complexes to Resolve Allegations of Discrimination Against Individuals with DisabilitiesRead the Press Release
The Justice Department announced today that the owners and managers of four multi-family apartment complexes in the Salt Lake City area have agreed to pay $45,000 to settle a lawsuit alleging that they violated the Fair Housing Act by discriminating against tenants and prospective tenants with disabilities.
The lawsuit, filed in the U.S. District Court for the District of Utah, alleges that the defendants failed to provide reasonable accommodations for certain tenants with disabilities who sought to live with their assistance animals. The department’s complaint alleges, among other things, that the defendants – the property management company NALS Apartment Homes; the owners of Pinnacle Highland Apartments, Cobble Creek Apartments and Sky Harbor Apartments; and the former owners of Thornhill Park Apartments – required tenants with disabilities who sought to live with an assistance animal to have a healthcare provider complete a “prescription form” suggesting that the healthcare provider may be held responsible for any property damage or physical injury that the assistance animal may cause. The defendants did not require tenants without disabilities who had pets to have a third party assume liability for their animals.
The lawsuit arose as a result of complaints by both former tenants and Utah’s Disability Law Center (DLC) filed with the U.S. Department of Housing and Urban Development. DLC, a non-profit organization that works to promote equal housing opportunities in the Salt Lake City metropolitan area, sent testers posing as prospective renters to the defendants’ apartment buildings to determine whether they were engaging in discriminatory practices in violation of the Fair Housing Act.
“The Fair Housing Act requires landlords to make accommodations for individuals with disabilities who require assistance animals in their homes,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “The Justice Department remains deeply committed to protecting the rights of persons with disabilities and holding accountable housing providers who utilize discriminatory policies.”
“This office will not tolerate business practices that deprive those with disabilities their rights to housing accommodations required under the law,” said U.S. Attorney John W. Huber of the District of Utah. “We will vigorously pursue those who fail to comply with these standards.”
Under the terms of the consent order, which must still be approved by the court, the defendants are required to pay $20,000 to a former tenant and her seven-year-old son with autism who were denied permission to keep the child’s assistance animal after the child’s doctor refused to assume liability for any possible damages caused by the animal. The defendants are also required to pay $25,000 to establish a settlement fund to compensate any additional individuals who were harmed by their conduct. The settlement also prohibits the defendants from engaging in future discrimination and requires them to establish a non-discriminatory reasonable accommodation policy, use non-discriminatory reasonable accommodation application forms and have the relevant employees participate in fair-housing training.
Individuals who have a disability and believe they were improperly denied the opportunity to live with their assistance animal or received a substantially delayed decision in response to a request to live with their assistance animal at one of the four apartment complexes listed above should contact the Justice Department at 1-800-896-7743, option 994, or email the department at [email protected].
The Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt. Persons who believe that they have experienced unlawful housing discrimination elsewhere can contact the Justice Department at 1-800-896-7743, by e-mail at [email protected], or contact the Department of Housing and Urban Development at 1-800-669-9777.
NALS Complaint NALS Consent DecreeJustice Department Expands Violence Reduction Network to Jackson, Mississippi and Nashville, TennesseeRead the Press Release
More Than $67 Million in Grants to Support Local Law Enforcement Efforts Also Announced
Attorney General Loretta E. Lynch today announced the addition of two cities—Jackson, Mississippi, and Nashville, Tennessee—to the Justice Department’s Violence Reduction Network (VRN), providing federal resources and funding to help reduce violence in these newly-partnered sites.
Established two years ago, VRN is a comprehensive program designed to leverage existing resources and provide a hands-on approach to reduce violence in some of the country’s most challenging cities. Partnered cities under VRN have violence levels exceeding the national average. Cities are selected through a quantitative and qualitative evaluation process in consultation with U.S. Attorneys and Department of Justice law enforcement partners.
Through VRN, the Justice Department enlists tactical and operational expertise available from the Bureau of Justice Assistance, the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Marshals Service (USMS), the Drug Enforcement Administration (DEA), the Executive Office of the U.S. Attorneys, the Community Oriented Policing Services Office and the Office on Violence Against Women. These resources, in collaboration with resources offered through the Department of Justice’s Office of Justice Programs, provide customized training and technical assistance and immediate subject matter expertise tailored to each partnered site’s unique challenges. As a result, each site receives the benefit of pooled resources, peer-to-peer exchanges, federal site analyses and a variety of regular newsletters, webinars, and other training resources.
“Since launching the Violence Reduction Network with five cities in 2014, we have witnessed extraordinary activity and unprecedented collaboration throughout the VRN,” said Attorney General Lynch. “Cooperation is the hallmark of the Violence Reduction Network, and the work we have done together reminds us that we are not helpless – or hopeless – in the face of violence. It makes clear that by bridging divides and building trust, we can shape the direction of our communities. Today, I am pleased to welcome Jackson and Nashville as new partners. I applaud the leaders of both cities for their commitment, and I am excited to have them join this innovative network.”
During the event, Attorney General Lynch also announced over $54 million in grants to law enforcement agencies, research institutions, states, cities, tribes and other local government organizations to support body-worn camera programs and address untested sexual assault kits. Assistant Attorney General Karol V. Mason announced an additional $13.6 million to help develop innovative, data-driven approaches to crime; reduce and more effectively prosecute gun crimes and increase public safety through community-based partnerships.
“We recognize that federal funding is only part of the solution,” said Assistant Attorney General Mason. “Success in reducing violence ultimately depends on our ability to work together, to marshal existing resources, and to engage all stakeholders in the work of protecting communities.”
Today’s announcement was made before an audience of U.S. Attorneys, police chiefs, sheriffs, mayors, local leaders from the two sites and Department of Justice representatives at the 3rd Annual VRN Summit. The addition of Jackson and Nashville brings the total number of partnered sites to 15 since VRN was established in 2014.
For additional information about the Violence Reduction Network, visit http://go.usa.gov/xKePD.
Jury Convicts California Man of Conspiring to Distribute OpiatesRead the Press Release
ALBANY, NEW YORK – A jury last week convicted Charles Rainer Sinek, age 51, of Oakland, California, of conspiracy to distribute and possess with the intent to distribute opiate pills.
The announcement was made by U.S. Attorney Richard S. Hartunian and Special Agent in Charge James J. Hunt, New York Division, U.S. Drug Enforcement Administration (DEA).
The jury’s verdict, reached on September 21, came after a 3-day trial. The evidence at trial demonstrated that from 2011 to September 2012, Sinek used his father-in-law’s prescription pad to write prescriptions for Schedule II controlled substances, including oxycodone, oxymorphone, hydromorphone, and morphine. He filled these prescriptions at different pharmacies using variations of his own name and at least one other pseudonym. He then shipped the drugs cross-country to his co-conspirator in Saranac, New York, where the drugs were sold.
Sinek faces up to 20 years in prison and a 3-year term of post-imprisonment supervised release when he is sentenced on January 17, 2017 by Senior U.S. District Judge Gary L. Sharpe. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case was investigated by the DEA and the Plattsburgh Police Department, and was prosecuted by Assistant United States Attorney Elizabeth R. Rabe.
Huntington man pleads guilty to cocaine conspiracy chargeRead the Press Release
HUNTINGTON, W.Va. – A Huntington man pleaded guilty today to a federal cocaine crime, announced United States Attorney Carol Casto. Roger Page, 50, entered his guilty plea to conspiracy to distribute 500 grams or more of cocaine.
Between October 2014 and February 25, 2016, Page, along with codefendant Jerrell Johnson, also of Huntington, used sources from North Carolina and Georgia to supply cocaine for sale in Huntington. The sources would travel from North Carolina and Georgia to deliver the drugs to both Johnson and Page. On the weekend of February 20, 2016, Johnson and Page met with the Georgia source in Huntington. Page received approximately one ounce of cocaine on that occasion. The Georgia source provided cocaine to Page on approximately five different occasions. The North Carolina source provided cocaine to Page on approximately two occasions. Johnson and Page worked together to arrange deliveries of cocaine, which were usually delivered to Johnson’s residence. Johnson previously pleaded guilty on related charges and is awaiting sentencing.
Page faces up to 40 years in federal prison when he is sentenced on January 9, 2017.
The Drug Enforcement Administration conducted the investigation. Assistant United States Attorney Gregory McVey is in charge of the prosecution. The plea hearing was held before Chief United States District Judge Robert C. Chambers.
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 cocaine. 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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Huntington man first sentenced for role in drug ringRead the Press Release
HUNTINGTON, W.Va. – A Huntington man was sentenced today to three years and 10 months in federal prison for a drug crime, announced United States Attorney Carol Casto. Arthur James Canada, 25, previously pleaded guilty to using a phone to facilitate a felony drug offense.
Canada admitted that from February 2016 to May 2016, he conspired with other individuals to distribute marijuana that had been transported from California. Members of the conspiracy were also involved in the distribution of other controlled substances, including heroin, crack, and pain pills. During the conspiracy, Canada further admitted to receiving marijuana that he sold in the Huntington area. On March 28, 2016, he placed a call to a co-conspirator that was intercepted by law enforcement. During the call, Canada and the co-conspirator discussed the price at which to sell a certain type of marijuana. As part of the plea agreement, Canada agreed to forfeit approximately $181,490 seized by law enforcement during the investigation.
These prosecutions arose out of a long-term investigation led by the Drug Enforcement Administration, with assistance from the West Virginia State Police, the Putnam County Sheriff’s Department, the Huntington Police Department, the Huntington FBI Drug Task Force, the Ohio Highway Patrol, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Postal Inspection Service, which resulted in charging 12 defendants for offenses related to the distribution of heroin, crack, marijuana and alprazolam in Huntington.
Four other defendants have previously pleaded guilty for their roles in this drug ring. Matthew Michael Meadows, Tanisha Lynette Wooding, Parker Wyatt Mays, and Corey Bruce Toney have all pleaded guilty to federal drug charges and are awaiting sentencing. All of the other defendants charged in the prosecution of this drug ring are presumed innocent unless and until proven guilty in a court of law.
Assistant United States Attorney Joseph F. Adams is in charge of the prosecutions. Chief United States District Judge Robert C. Chambers imposed the sentence.
These cases are 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. 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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Heroin dealer residing near Marshall University sentenced to federal prison for drug crimeRead the Press Release
HUNTINGTON, W.Va. – A Huntington drug dealer residing in close proximity to Marshall University was sentenced today to three years and a month for a heroin crime, announced United States Attorney Carol Casto. Derrick Linwood Thomas, 25, previously pleaded guilty to possession with intent to distribute heroin within 1,000 feet of a university.
On March 21, 2016, officers with the Huntington Police Department executed a search warrant at 213 19th Street in Huntington. Thomas admitted this was his residence and that it was located within 1,000 feet of Marshall University. Officers found Thomas in the residence and seized over 15 grams of heroin from him. Officers also seized four additional bags of heroin weighing approximately 2 grams, $950 in cash that included $70 in marked currency from a previous controlled drug purchase, a .32 caliber pistol, and a shotgun. Thomas was arrested and admitted that he had been distributing heroin in the Huntington area.
The Huntington Police Department conducted the investigation. Assistant United States Attorney Joseph F. Adams is handling the prosecution. Chief United States District Judge Robert C. Chambers imposed the sentence.
This prosecution was brought as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Harrisburg Woman Was Sentenced to One Year in Federal Prison for Her Role in Filing False and Fraudulent Personal Income Tax ReturnsRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Sunalen Arzuaga, age 35, formerly of Harrisburg, currently residing in Brunswich, Ga., was sentenced today to one year in federal prison by United States Middle District Chief Judge Christopher C. Conner in Harrisburg for a tax fraud scheme.
According to United States Attorney Peter Smith, Arzuaga pleaded guilty in November 2015 for her role in submitting false and fraudulent tax returns to the Internal Revenue Service.
Between the years 2008 and 2011, Arzuaga made numerous false representations in the preparation of income tax returns for herself and for others in order to maximize refund amounts. The fraudulent preparation included misrepresenting Schedule C income, listing fictitious dependents and manipulating filing status. As a result, the United States Treasury issued $150,000 in refunds to unentitled.
Chief Judge Conner also ordered Arzuaga to pay $112,640 in restitution for her share of the tax fraud scheme.
The investigation was conducted by the Internal Revenue Service Criminal Investigation Division. The case was prosecuted by Assistant United States Attorney Chelsea Schinnour.
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Georgia Woman Sentenced on Methamphetamine Conspiracy ChargeRead the Press Release
ROANOKE, VIRGINIA – The third member of a conspiracy that distributed methamphetamine in the Western District of Virginia was sentenced today in the United States District Court for the Western District of Virginia in Roanoke, United States Attorney John P. Fishwick announced.
Sandra Gail Rymer, 36, of Dallas, Georgia, previously pled guilty in District Court to one count of conspiring to distribute 50 grams of a mixture containing methamphetamine. Today in District Court she was sentenced to 60 months in federal prison.
“This conspiracy contributed to the growing threat of methamphetamine abuse throughout Southwest Virginia,” United States Attorney John P. Fishwick Jr. said today. “We will continue to be vigilant in working with our partners in law enforcement to fight this drug epidemic.”
The investigation of the case was conducted by the Drug Enforcement Administration, the Virginia State Police, the Wythe County Sheriff’s Office, the Smyth County Sheriff’s Office and the United States Marshals Service. Assistant United States Attorney Andrew Bassford prosecuted the case for the United States.
Four Chinese Nationals and China-Based Company Charged with Using Front Companies to Evade U.S. Sanctions Targeting North Korea’s Nuclear Weapons and Ballistic Missile ProgramsRead the Press Release
Four Chinese nationals and a trading company based in Dandong, China, were charged by criminal complaint unsealed today with conspiring to evade U.S. economic sanctions and violating the Weapons of Mass Destruction Proliferators Sanctions Regulations (WMDPSR) through front companies by facilitating prohibited U.S. dollar transactions through the United States on behalf of a sanctioned entity in the Democratic People’s Republic of Korea (North Korea) and to launder the proceeds of that criminal conduct through U.S. financial institutions.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Paul J. Fishman of the District of New Jersey and Assistant Director E.W. Priestap of the FBI’s Counterintelligence Division made the announcement.
On Aug. 3, 2016, a U.S. Magistrate Judge Joseph A. Dickson of the District of New Jersey signed a criminal complaint charging Ma Xiaohong (Ma) and her company, Dandong Hongxiang Industrial Development Co. Ltd. (DHID), and three of DHID’s top executives, general manager Zhou Jianshu (Zhou), deputy general manager Hong Jinhua (Hong) and financial manager Luo Chuanxu (Luo), with conspiracy to violate the International Emergency Economic Powers Act (IEEPA) and to defraud the United States; violating IEEPA; and conspiracy to launder monetary instruments.
Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) also imposed sanctions on DHID, Ma, Zhou, Hong and Luo for their ties to the government of North Korea’s weapons of mass destruction proliferation efforts.
In addition, the department filed a civil forfeiture action for all funds contained in 25 Chinese bank accounts that allegedly belong to DHID and its front companies. The department has also requested tha the federal court in the District of New Jersey issue a restraining order for all of the funds named in the civil forfeiture action, based upon the allegation that the funds represent property involved in money laundering, which makes them forfeitable to the United States. There are no allegations of wrongdoing by the U.S. correspondent banks or foreign banks that maintain these accounts.
“The charges and forfeiture action announced today allege that defendants in China established and used shell companies around the world, surreptitiously moved money through the United States and violated the sanctions imposed on North Korea in response to, among other things, its nuclear weapons program,” said Assistant Attorney General Caldwell. “The actions reflect our efforts to protect the integrity of the U.S. banking system and hold accountable those who seek to evade U.S. sanctions laws.”
“The charges unsealed today reflect our nation’s commitment to using all tools to deter and disrupt weapons of mass destruction proliferators,” said Assistant Attorney General Carlin. “One of the strengths of our sanctions programs is that they prevent sanctioned wrongdoers from engaging in U.S. dollar transactions. Denying the use of the U.S. financial system can greatly curtail illegal activities and disrupt efforts to provide weapons of mass destruction to terrorists and rogue nations. Those who seek to evade our financial sanctions will be fully prosecuted, and we will be unflagging in our efforts to bring them to justice.”
“The FBI takes violations of these laws extremely seriously and will not hesitate to use our full investigative resources to stop this type of illegal activity,” said Assistant Director Priestap. “In this case agents, analysts and forensic accountants from field offices in Phoenix and Newark, as well as FBI Headquarters, all contributed to a successful investigation.”
According to criminal and civil complaints, DHID is primarily owned by Ma and is located near the North Korean border. DHID allegedly openly worked with North Korea-based Korea Kwangson Banking Corporation (KKBC) prior to Aug. 11, 2009, when the OFAC designated KKBC as a Specially Designated National (SDN) for providing U.S. dollar financial services for two other North Korean entities, Tanchon Commercial Bank (Tanchon) and Korea Hyoksin Trading Corporation (Hyoksin). President Bush identified Tanchon as a weapons of mass destruction proliferator in June 2005, and OFAC designated Hyoksin as an SDN under the WMDPSR in July 2009. Tanchon and Hyoksin were so identified and designated because of their ties to Korea Mining Development Trading Company (KOMID), which OFAC has described as North Korea’s premier arms dealer and main exporter of goods and equipment related to ballistic missiles and conventional weapons. The United Nations (UN) placed KOMID, Tanchon and Hyoksin on the UN Sanctions List in 2006. In March 2016, KKBC was added to the UN Sanctions List.
In August 2009, Ma allegedly conspired with Zhou, Hong and Luo to create or acquire numerous front companies to conduct U.S. dollar transactions designed to evade U.S. sanctions. The complaints allege that from August 2009 to September 2015, DHID used these front companies, established in offshore jurisdictions such as the British Virgin Islands, the Seychelles and Hong Kong, and opened Chinese bank accounts to conduct U.S. dollar financial transactions through the U.S. banking system when completing sales to North Korea. These sales transactions were allegedly financed or guaranteed by KKBC. These front companies facilitated the financial transactions to hide KKBC’s presence from correspondent banks in the United States, according to the allegations in the complaints.
As a result of the defendants’ alleged scheme, KKBC was able to cause financial transactions in U.S. dollars to transit through the U.S. correspondent banks without being detected by the banks and, thus, were not blocked under the WMDPSR program.
A complaint is merely an allegation and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The FBI is investigating the case. Trial Attorneys Jennifer Wallis and Michael Parker of the Criminal Division’s Asset Forfeiture and Money Laundering Section, Trial Attorney Christian Ford of the National Security Division’s Counterintelligence and Export Control Section and Chief Barbara Ward and Assistant U.S. Attorneys Joyce Malliet and Sarah Devlin of the District of New Jersey are prosecuting the case. The Criminal Division’s Office of International Affairs provided valuable assistance in this matter.
Fort Thompson Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Fort Thompson, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on September 26, 2016, by U.S. District Judge Roberto A. Lange.
Stuart Dion, age 32, was sentenced to 30 months in custody, 5 years of Supervised Release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Dion was indicted by a federal grand jury on December 8, 2015. He pled guilty on July 13, 2016.
The conviction stemmed from Dion failing to register as a sex offender between October 1, 2015 and December 8, 2015. This is Dion’s second federal conviction for failing to register. This sentence will run concurrent with Dion’s Assaulting, Resisting, and Impeding a Federal Officer conviction.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Dion was immediately turned over to the custody of the U.S. Marshals Service.
Fort Thompson Man Sentenced for Assaulting, Resisting, and Impeding a Federal OfficerRead the Press Release
United States Attorney Randolph J. Seiler announced that a Fort Thompson, South Dakota, man convicted of Assaulting, Resisting, and Impeding a Federal Officer was sentenced on September 26, 2016, by U.S. District Judge Roberto A. Lange.
Stuart Dion, age 32, was sentenced to 30 months in custody and a special assessment to the Federal Crime Victims Fund in the amount of $100. This sentence will run concurrent to Dion’s federal conviction for Failure to Register as a Sex Offender.
Dion was indicted by a federal grand jury on May 17, 2016. He pled guilty on July 13, 2016.
The conviction stemmed from an incident on April 16, 2016, when an officer with the Bureau of Indian Affairs was dispatched to the Community Building in Fort Thompson, South Dakota about Dion being drunk and trying to fight. Dion was riding a horse and causing a disturbance during a sobriety walk.
The officer responded to the call and attempted to approach Dion.
The officer began driving his patrol vehicle behind the horse and honked his horn and turned on his emergency lights. Dion looked back over his shoulder and the horse began running. The horse began to buck and Dion then fell off the horse. Dion then stood to his feet and attempted to get back on the horse. The officer approached Dion and told him to get on the ground. Dion resisted arrest. During his arrest, he kicked the officer in the stomach and threatened harm to the officer.
This case was investigated by the Bureau of Indian Affairs, Crow Creek Agency. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Dion was immediately turned over to the custody of the U.S. Marshals Service.
Former Town of Cary Employee Pleads Guilty to Falsifying Drinking Water Sampling ResultsRead the Press Release
WILMINGTON – The United States Attorney’s Office announced that today in federal court, CHRISTOPHER DALE MILLER, 41, of Cary, North Carolina, waived indictment and pleaded guilty to making material false statements in connection with sampling required under the Safe Drinking Water Act.
According to the Criminal Information and information in the public record, MILLER was employed by the Town of Cary as a state certified distribution technician. MILLER was responsible for, among other things, collecting water samples for testing from the drinking water system and testing for residual chlorine in the field. MILLER was further responsible for collecting samples from various locations; packaging and placing the samples in a cooler; and delivering them to the Town of Cary’s lab where they were tested for total coliform and bacteria. MILLER, however, failed to do so. The investigation revealed that MILLER made false statements by certifying to the Town of Cary that he obtained water samples from the required locations when, in reality, he only took samples from a few locations. The certified sample locations were submitted along with the lab results to North Carolina Department of Environmental Quality (“NCDEQ”) (formerly known as the North Carolina Department of Environment and Natural Resources). The samples and associated documentation are required as part of the NC DENR’s drinking water monitoring program. By sending falsified samples and documents to NC DENR, MILLER inhibited NC DENR from carrying out its mission to protect public water supplies and thereby public health.
Between August 27, 2014 and December 2014, MILLER falsified documentation for at least 278 samples.
The Town of Cary discovered the falsified sampling in late December 2014 and conducted an internal investigation. MILLER initially lied to his supervisors, and then later, admitted to collecting multiple samples from the same site and falsifying chain of custody documents. MILLER knew that his conduct impacted 225,000 consumers of the public water system.
The Town of Cary terminated MILLER, promptly reported the matter to state officials, and fully cooperated in the federal investigation.
MILLER is scheduled to be sentenced on December 12, 2016.
Investigation of this case was conducted by the United States Environment Protection Agency – Criminal Investigation Division and the North Carolina State Bureau of Investigation – Drug Diversion and Environmental Crimes Unit. Assistant United States Attorney Banumathi Rangarajan handled the prosecution on behalf to the Eastern District of North Carolina with the assistance of EPA Region IV – Regional Criminal Enforcement Counsel/Special Assistant United States Attorney Jennifer M. Lewis.
Florida Woman Sentenced to Prison for Acting as an Illegal Agent of a Foreign Government and Conspiring to Commit Money LaunderingRead the Press Release
WASHINGTON – Amin Yu, 55, of Orlando, Florida, was sentenced to 21 months in federal prison for acting in the U.S. as an illegal agent of a foreign government without prior notification to the Attorney General and for conspiring to commit international money laundering.
Assistant Attorney General for National Security John P. Carlin and U.S. Attorney A. Lee Bentley, III for the Middle District of Florida made the announcement after Yu was sentenced by U.S. District Judge Roy B. Dalton, Jr.
According to the plea agreement, from at least 2002 to February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU, a PRC-controlled entity) in the People’s Republic of China (PRC), Yu obtained systems and components for marine submersible vehicles from companies in the U.S. She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles including unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles for HEU and other state-controlled entities. Yu illegally exported items by failing to file Electronic Export Information (EEI), as required by U.S. law and by also filing false EEI. Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.
This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the IRS Criminal Investigation Division, and the NCIS. It was prosecuted by Assistant U.S. Attorney Daniel C. Irick of the Middle District of Florida and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division, Counterintelligence and Export Control Section.
Florida Woman Sentenced to Prison for Acting as an Illegal Agent of A Foreign Government and Conspiring to Commit Money LaunderingRead the Press Release
Orlando, FL – Amin Yu, 55, of Orlando, Florida, was sentenced to 21 months in federal prison for acting in the U.S. as an illegal agent of a foreign government without prior notification to the Attorney General and for conspiring to commit international money laundering.
U.S. Attorney A. Lee Bentley, III and Assistant Attorney General for National Security John P. Carlin made the announcement after Yu was sentenced by U.S. District Judge Roy B. Dalton, Jr.
According to the plea agreement, from at least 2002 to February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU, a PRC-controlled entity) in the People’s Republic of China (PRC), Yu obtained systems and components for marine submersible vehicles from companies in the U.S. She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles including unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles for HEU and other state-controlled entities. Yu illegally exported items by failing to file Electronic Export Information (EEI), as required by U.S. law and by also filing false EEI. Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.
This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the IRS Criminal Investigation Division, and the NCIS. It was prosecuted by Assistant U.S. Attorney Daniel C. Irick and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division, Counterintelligence and Export Control Section.
Final Defendant in FedEx Shipping Theft Scheme Pleads GuiltyRead the Press Release
Memphis, TN – The fifth and final defendant in an interstate shipping theft scheme that defrauded FedEx and wireless carriers of more than $500,000 has pleaded guilty to wire fraud. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.
According to information presented in court, Christopher T. Crawford, 31, of Memphis, Tennessee, is a former FedEx material handler. In 2013, he established a fraudulent FedEx corporate shipping meter account when he called FedEx via a stolen telephone and provided false information to a customer services representative in Arizona to access and utilize a corporate account. Shipping labels were created from the shipping meter account Crawford established.
The account was used by Crawford and known and unknown co-conspirators during their scheme. These individuals used fraudulent FedEx corporate shipping labels to over-label boxes of wireless devices. The boxes were diverted to other known and unknown co-conspirators in New York City and other locations through interstate commerce. Each box of merchandise contained thousands of dollars worth of Verizon and/or AT&T wireless mobile telephones.
Ultimately, this scheme defrauded FedEx and the wireless carriers of between $550,000 and $1.5 million.
In March and July of 2016, Crawford’s co-defendants Akeem Gowdy, 23; and Tavaris Mickens, 23; both of Memphis, Tennessee; Jordan West, 27; and Juan Royal, 24; both of New York City, New York; pleaded guilty to conspiracy and interstate shipping theft charges respectively.
On Monday, September 26, 2016, Crawford pleaded guilty beforeU.S. District Judge John T. Fowlkes Jr. to one count of wire fraud.
He is scheduled to be sentenced on December 15, 2016. Crawford faces up to 20 years in federal prison and a fine of up to $250,000.
The case is being investigated by the United States Secret Service, Federal Bureau of Investigations, and Memphis Cargo Theft Task Force.
Assistant U.S. Attorneys Damon K. Griffin and Tony Arvin are prosecuting this case on the government’s behalf.
Federal Law Enforcement Leaders to Hold Community Open House September 27 at Coeur d’Alene Public LibraryRead the Press Release
COEUR D’ALENE – U.S. Marshal Brian Underwood, FBI Supervisory Special Agent Richard Collodi and U.S. Attorney Wendy Olson will hold a community open house meeting Tuesday, September 27, at the Coeur d’Alene Public Library, 702 East Front Street. Underwood, Collodi and Olson will be in the public meeting room from 3 p.m. to 4:30 p.m. to meet and visit with persons interested in learning more about federal law enforcement in Idaho.
“We will be available for any question, concern or issue community members would like to talk about,” said Olson. “Frankly, we simply want members of the public, whom we serve, to have a chance to personally visit with their federal law enforcement leaders in Idaho. We recognize that it is not always practical for people to come to our offices.”
“Confidence in government and the enforcement of law is achieved by providing true justice and being sincere in our working relationships with all people,” said Underwood. “In Idaho, the work of our local law enforcement is really amazing to see – and we are proud to work with such great professionals and police leadership. Like our local law enforcement partners, we want to ensure that we are doing our part in community policing and relationship building.”
“We are honored to be part of a strong and dedicated law enforcement community serving northern Idaho,” said Collodi. “It is important to take every opportunity to maintain lasting relationships with the community in which we serve.”
Underwood and Olson were both appointed to their positions in 2010 by the President. They serve the entire state of Idaho, which is a single federal judicial district. Collodi supervises the FBI’s Coeur d’Alene office. He has been with the FBI since 2002, and has served in three offices.
Executive Office for Immigration Review Swears in 15 Immigration JudgesRead the Press Release
FALLS CHURCH, VA – The Executive Office for Immigration Review (EOIR) today announced the investiture of 15 new immigration judges. Acting Chief Immigration Judge Michael C. McGoings presided over the investiture during a ceremony held Sept. 23, 2016, in the ceremonial courtroom of the E. Barrett Prettyman U.S. Courthouse, in Washington, D.C.
After a thorough application process, Attorney General Loretta E. Lynch appointed Valerie A. Burch, Timothy M. Cole, Molly S. Frazer, Ivan Gardzelewski, Njeri B. Maldonado, Nancy J. Paul, Robin Kandell Paulino, Jennifer I. Peyton, G. William Riggs, Walter Hammele Ruehle, Ian Robert Simons, Mario J. Sturla, P. Michael Truman, Elizabeth L. Young, and Richard Zanfardino to their new positions.
“We welcome these 15 appointees to the immigration judge corps,” said McGoings. “With these appointments, EOIR now has 291 immigration judges, setting a new all-time high for our immigration judge corps and further strengthening our efforts to address the agency’s pending caseload of more than 500,000.”
Biographical information follows.
Valerie A. Burch, Immigration Judge, San Francisco Immigration Court
Attorney General Loretta E. Lynch appointed Valerie A. Burch to begin hearing cases in September 2016. Judge Burch earned a Bachelor of Arts degree in 2000 from the University of Rochester and a Juris Doctor in 2004 from the Penn State Dickinson School of Law. From 2012 to September 2016, she was an attorney for The Shagin Law Group, in Harrisburg, Pa. From 2007 through 2012, she was a staff attorney for the American Civil Liberties Union of Pennsylvania, in Harrisburg, Pa. From 2004 through 2007, she was a managing attorney for the Pennsylvania Immigration Resource Center, in York, Pa. Judge Burch is a member of the Pennsylvania Bar.
Timothy M. Cole, Immigration Judge, Miami Immigration Court
Attorney General Loretta E. Lynch appointed Timothy M. Cole to begin hearing cases in September 2016. Judge Cole earned both a Bachelor of Arts degree and a Bachelor of Business Administration degree in 2002 from the University of Texas at Austin, and a Juris Doctor in 2007 from the George Mason University School of Law. From April 2014 to September 2016, and previously from 2008 through 2012, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Miami. From 2012 through 2014, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, Southern District of Florida, Department of Justice (DOJ). From 2007 through 2008, he served as a judicial law clerk for the Miami Immigration Court, Executive Office for Immigration Review, DOJ. From 2003 through 2004, he was a volunteer for the AmeriCorps National Civilian Community Corps. Judge Cole is a member of the Virginia State Bar.
Molly S. Frazer, Immigration Judge, Florence Immigration Court
Attorney General Loretta E. Lynch appointed Molly S. Frazer to begin hearing cases in September 2016. Judge Frazer earned a Bachelor of Arts degree in 1983 from the University of Iowa and a Juris Doctor in 1986 from the Drake University Law School. From 2004 to September 2016, she served as a senior attorney for Customs and Border Protection, Department of Homeland Security (DHS), in Tucson, Ariz. From 2000 through 2004 she served as an assistant chief counsel for the former Immigration and Naturalization Service (INS), Department of Justice (DOJ), and Immigration and Customs Enforcement, DHS. From 1996 through 2000, she served as a sector counsel for the U.S. Border Patrol, INS, DOJ. From 1990 through 1996, she was an assistant county attorney for Story County, Iowa. From 1988 through 1990, she was an assistant city attorney for the City of Waterloo, Iowa. From 1986 through 1987, she was an assistant county attorney for Black Hawk County, Iowa. Judge Frazer is a member of the Iowa State Bar and the State Bar of Texas.
Ivan Gardzelewski, Immigration Judge, Denver Immigration Court
Attorney General Loretta E. Lynch appointed Ivan Gardzelewski to begin hearing cases in September 2016. Judge Gardzelewski earned a Bachelor of Arts degree in 2000 from Augustana College and a Juris Doctor in 2004 from the University of Oregon School of Law. From 2007 to September 2016, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Denver. From 2009 through 2010, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, District of Colorado, Department of Justice, in Denver. In 2007, he served as a deputy district attorney for the Colorado Fifth Judicial District Attorney’s Office, in Breckenridge, Colo. From 2004 through 2007, he served as a municipal prosecutor for the Lakewood City Attorney’s Office, in Lakewood, Colo. Judge Gardzelewski is a member of Colorado Bar.
Njeri B. Maldonado, Immigration Judge, Stewart Immigration Court
Attorney General Loretta E. Lynch appointed Njeri B. Maldonado to begin hearing cases in September 2016. Judge Maldonado earned a Bachelor of Arts degree in 2001 from Xavier University of Louisiana and a Juris Doctor in 2005 from the Loyola University School of Law. From 2009 to September 2016, Judge Maldonado served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Atlanta. From 2012 through 2013, she served as a special assistant U.S. attorney for the U.S. Attorney’s Office, Northern District of Georgia, Department of Justice, in Atlanta. From 2005 through 2008, she served an associate attorney for Blue Williams LLP, in Metairie, La. Judge Maldonado is a member of the Louisiana State Bar.
Nancy J. Paul, Immigration Judge, Omaha Immigration Court
Attorney General Loretta E. Lynch appointed Nancy J. Paul to begin hearing cases in September 2016. Judge Paul earned a Bachelor of Science degree in 1985 from the University of Nebraska and a Juris Doctor in 1988 from the Creighton University School of Law. From 2010 to September 2016, she served as a board member and treasurer for the Great Plains Colon Cancer Task Force, in Omaha, Neb. From 2008 through 2010, she served as a military commission judge for the Office of the Military Commissions, in Guantanamo Bay, Cuba. From 2003 through 2010, she served as a military judge for the U.S. Air Force (USAF), at Offutt Air Force Base, Neb., and Travis Air Base, Calif. From 2003 through 2010, she also served as an adjunct instructor for the Air Force Judge Advocate General’s School. From 2000 through 2003, she served as the chief of Operations and International Law, USAF, at Davis-Monthan Air Force Base, Ariz. From 1997 through 2000, she served as a deputy and acting staff judge advocate for the USAF at Hurlburt Field, Fla. From 1994 through 1997, she served as the chief of the Adverse Actions Division, USAF, at Hickam Air Force Base, Hawaii. From 1993 through 1994, she served as a deputy staff judge advocate for the USAF, at Plattsburgh Air Force Base, N.Y. From 1992 through 1993, she served as area defense counsel for the USAF, at Offutt Air Force Base. From 1988 through 1992, she served as the chief of Military Justice and General Law at Offutt Air Force Base. Judge Paul is a member of the Nebraska State Bar.
Robin Kandell Paulino, Immigration Judge, San Francisco Immigration Court
Attorney General Loretta E. Lynch appointed Robin Kandell Paulino to begin hearing cases in September 2016. Judge Paulino earned a Bachelor of Arts degree in 1991 from the University of Arizona and a Juris Doctor in 1995 from the University of San Diego School of Law. From 2007 to September 2016, she served as a senior attorney and assistant general counsel for Legal & Corporate Affairs, Microsoft Corporation. From 1998 through 2007, she served as a senior associate and managing attorney for Fragomen, Del Rey, Bernsen & Loewy, in Santa Clara, Calif. From 1996 through 1998, she served as an associate attorney for Korenberg, Abramowitz & Feldun, in Calif. Previously, she served as an associate attorney for Swanson & Swanson, in Los Angeles. Judge Paulino is a member of the State Bar of California.
Jennifer I. Peyton, Immigration Judge, Chicago Immigration Court
Attorney General Loretta E. Lynch appointed Jennifer I. Peyton to begin hearing cases in September 2016. Judge Peyton earned a Bachelor of Arts degree in 1994 from Trinity College and a Juris Doctor in 1998 from the Case Western Reserve University School of Law. From April 2016 to September 2016, she was in private practice as a partner at Brown LLC. From 2003 to April 2016, she was in private practice as managing partner of Jennifer I. Peyton, Attorney at Law LLC, in Cleveland. In 2013, she joined the faculty of the Cleveland State University Cleveland-Marshall College of Law, where she served as an adjunct clinical professor, and in 2006 she joined the faculty of the Case Western University School of Law, where she served as an adjunct professor. Judge Peyton is a member of the Ohio State Bar.
G. William Riggs, Immigration Judge, Miami Immigration Court
Attorney General Loretta E. Lynch appointed G. William Riggs to begin hearing cases in September 2016. Judge Riggs earned a Bachelor of Applied Arts degree in 1985 from Florida Atlantic University, a Juris Doctor in 1990 from Nova Southeastern University, and a Master of Laws degree in 2002 from the U.S. Army Judge Advocate General’s School. From 2008 to September 2016, he served in various capacities for the U.S. Marine Corps (USMC) at Camp Lejeune, N.C., including as deputy assistant chief of staff for Force Preservation, staff judge advocate, and circuit military judge for the Eastern Judicial Circuit. From 2008 through 2009, he served as a senior rule of law advisor and deputy rule of law team leader for the Provincial Reconstruction Team, USMC, at Camp Ramadi, Iraq. From 2004 through 2008, he served as a staff judge advocate for the USMC Forces Central Command, at MacDill Air Force Base, Fla. From 2002 through 2004, he served as the head of the Operational Law Branch, Navy International and Operational Law, Department of the Navy, at the Pentagon. Prior to 2002, he served in various legal positions for the USMC, including as a staff judge advocate, deputy staff judge advocate, assistant staff judge advocate, prosecutor, defense counsel, and legal assistance attorney. From 1994 through 1996, he was in private practice at G. William Riggs PA, in West Palm Beach, Fla. Judge Riggs is a member of the Florida Bar.
Walter Hammele Ruehle, Immigration Judge, Buffalo Immigration Court
Attorney General Loretta E. Lynch appointed Walter Hammele Ruehle to begin hearing cases in September 2016. Judge Ruehle earned a Bachelor of Arts degree in 1976 from the State University of New York at Oneonta and a Juris Doctor in 1979 from the Union University Albany Law School. From 1993 to September 2016, he served in various capacities for the Legal Aid Society, including as an attorney, director of the Immigration Program, and director of the Upstate New York Immigration Law Project. From 1991 through 1993, he served as an associate attorney for the Law Offices of James J. Piampino, in Rochester, N.Y. From 1990 through 1991, he served as a staff and directing attorney for the Neighborhood Legal Services, in Hartford, Conn. From 1979 through 1990, he served in various capacities for the Farmworker Legal Services of N.Y., including as a staff attorney, supervising and managing attorney, litigation director, and legal consultant. In 2012 and 2013, he also served as an adjunct professor at the Cornell Law School. Judge Ruehle is a member of the Connecticut Bar and the New York State Bar.
Ian Robert Simons, Immigration Judge, Adelanto Immigration Court
Attorney General Loretta E. Lynch appointed Ian Robert Simons to begin hearing cases in September 2016. Judge Simons earned a Bachelor of Arts degree in 1998 from Michigan State University and a Juris Doctor in 2001 from the Michigan State University College of Law. From 2009 to September 2016, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Detroit. From 2011 through 2013, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, District of Arizona, Department of Justice, in Phoenix. From 2001 through 2009, he served as an assistant prosecutor for the Oakland County Prosecutor’s Office, in Pontiac, Mich. Judge Simons is a member of the State Bar of Michigan.
Mario J. Sturla, Immigration Judge, Boston Immigration Court
Attorney General Loretta E. Lynch appointed Mario J. Sturla to begin hearing cases in September 2016. Judge Sturla earned a Bachelor of Arts degree in 2003 from Brown University and Juris Doctor in 2006 from the Yeshiva University Benjamin N. Cardozo School of Law. From 2015 to September 2016, he served as a deputy chief counsel, and previously from 2008 through 2015 as an assistant chief counsel, for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Boston. From 2007 through 2008, he served as a staff attorney for the Office of Legal Affairs, U.S. Court of Appeals for the Second Circuit, in New York City. From 2006 through 2007, he served as a judicial law clerk for the New York City Immigration Court, Executive Office for Immigration Review, Department of Justice, entering on duty through the Attorney General’s Honors Program. Judge Sturla is a member of the Massachusetts Bar.
P. Michael Truman, Immigration Judge, Salt Lake City Immigration Court
Attorney General Loretta E. Lynch appointed P. Michael Truman to begin hearing cases in September 2016. Judge Truman earned a Bachelor of Arts degree in 2001 from Brigham Young University and a Juris Doctor in 2004 from the S.J. Quinney College of Law, University of Utah. From 2011 to September 2016, he served as an assistant chief counsel for the Office of the Chief Counsel, Immigration and Customs Enforcement, Department of Homeland Security, in Denver. From 2005 through 2011, he served as a trial attorney for the Office of Immigration Litigation, Department of Justice. From 2004 through 2005, he served as a law clerk for Justice Michael J. Wilkins, Utah Supreme Court. Judge Truman is a member of the Utah State Bar.
Elizabeth L. Young, Immigration Judge, San Francisco Immigration Court
Attorney General Loretta E. Lynch appointed Elizabeth L. Young to begin hearing cases in September 2016. Judge Young earned a Bachelor of Arts degree in 1999 from Hendrix College and a Juris Doctor in 2004 from The George Washington University School of Law. From 2011 to September 2016, she served as an associate professor of law, and previously from 2008 through 2011 as an assistant professor of law, for the University of Arkansas School of Law. From 2007 through 2008, she served as a visiting professor at The George Washington University School of Law. From 2004 through 2007, she served as an attorney advisor for the San Francisco Immigration Court, Executive Office for Immigration Review, Department of Justice. Judge Young is a member of the Arkansas Bar, the State Bar of California, and the Virginia State Bar.
Richard Zanfardino, Immigration Judge, Portland Immigration Court
Attorney General Loretta E. Lynch appointed Richard Zanfardino to begin hearing cases in September 2016. Judge Zanfardino earned both a Bachelor of Arts degree in 1989 and a Bachelor of Arts degree in 1990 from North Carolina State University, and a Juris Doctor in 1996 from the Columbus School of Law, Catholic University of America. From 2006 to September 2016, he served as a trial attorney for the Office of Immigration Litigation, Department of Justice (DOJ). From 1997 through 2006, he served as an attorney advisor for the Board of Immigration Appeals, Executive Office for Immigration Review, DOJ. From 2003 through 2004, he served as a special assistant U.S. attorney for the U.S. Attorney’s Office, DOJ, in Washington, D.C. Judge Zanfardino is a member of the District of Columbia Bar.
Eagle Butte Man Indicted for Assaulting Intimate PartnerRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon, Assault by Strangulation and Suffocation, and Assault Resulting in Substantial Bodily Injury to an Intimate Partner.
Delano White Eagle, age 46, was indicted on September 20, 2016. He appeared before U.S. Magistrate Judge Mark Moreno on September 22, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The indictment alleges that on August 24, 2016, near Dupree, South Dakota, White Eagle unlawfully assaulted the victim, his intimate partner and dating partner, with a knife, resulting in substantial bodily injury. The Indictment further alleges that on that same date, White Eagle unlawfully attempted to strangle or suffocate the victim.
The charges are merely an accusation and White Eagle is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
White Eagle was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Department of Justice Awards over $20 Million to Law Enforcement Body-Worn Camera ProgramsRead the Press Release
Attorney General Loretta E. Lynch today announced awards totaling over $20 million to 106 state, city, tribal and municipal law enforcement agencies to establish and enhance law enforcement body-worn camera programs across the United States.
The awards, funded under the Office of Justice Programs’ Bureau of Justice Assistance’s (BJA) Fiscal Year 2016 Body-Worn Camera Policy and Implementation Program, will help law enforcement organizations implement body-worn camera policies, practices and evaluation methods to make a positive impact on the quality of policing in individual communities. Under this grant announcement, BJA awarded more than $16 million to state, local, and tribal law enforcement agencies, as well as a $3 million supplemental award to continue support for body-worn camera training and technical assistance. An additional $474,000 was awarded earlier this year under the 2016 Small Agency Body-Worn Camera Policy and Implementation Program.
“As we strive to support local leaders and law enforcement officials in their work to protect their communities, we are mindful that effective public safety requires more than arrests and prosecutions,” said Attorney General Lynch. “It also requires winning – and keeping – the trust and confidence of the citizens we serve. These grants will help more than 100 law enforcement agencies promote transparency and ensure accountability, clearing the way for the closer cooperation between residents and officers that is so vital to public safety.”
BJA expects award recipients to create programs that will be integrated as part of individual jurisdictions’ holistic problem-solving and community-engagement strategies.
The Body Worn Camera program was launched last year in response to a recommendation by the President’s Task Force on 21st Century Policing that law enforcement agencies use technology to strengthen relations with communities. BJA convened a Body-Worn Camera Expert Panel that identified issues and considerations confronting communities considering adoption of body camera technology. Initial research has shown that law enforcement use of body-worn camera programs improve law enforcement’s interaction with the public.
Today’s awardees include law enforcement agencies located in the following 32 states and Puerto Rico: Alabama, Arkansas, Arizona, Florida, California, Colorado, Delaware, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maryland, Michigan, Minnesota, Montana, New Jersey, New York, Nevada, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Virginia, Wisconsin, and Wyoming. Tribal awardees include: Pokagon Band of Potawatomi Indians, the Little Traverse Bay Bands of Odawa Indians and the Nottawaseppi Huron Band of the Potawatomi.
For additional information about this grant program, visit http://go.usa.gov/xKpJH.
Department of Justice Awards over $20 Million to Law Enforcement Body-Worn Camera ProgramsRead the Press Release
NEWARK, N.J. – New Jersey U.S. Attorney Paul J. Fishman and Attorney General Loretta E. Lynch today announced awards totaling over $20 million to 106 state, city, tribal and municipal law enforcement agencies to establish and enhance law enforcement body-worn camera programs across the United States. Four New Jersey municipalities – Newark, Camden, Haledon and Evesham – and the N.J. State Police are among the recipients.
The awards, funded under the Office of Justice Programs’ Bureau of Justice Assistance’s (BJA) Fiscal Year 2016 Body-Worn Camera Policy and Implementation Program, will help law enforcement organizations implement body-worn camera policies, practices and evaluation methods to make a positive impact on the quality of policing in individual communities. Under this grant announcement, BJA awarded more than $16 million to state, local, and tribal law enforcement agencies, as well as a $3 million supplemental award to continue support for body-worn camera training and technical assistance. An additional $474,000 was awarded earlier this year under the 2016 Small Agency Body-Worn Camera Policy and Implementation Program.
“These federal grants will enable Newark, Camden, Haledon, Evesham and the New Jersey State Police to provide body-worn cameras for their officers and develop comprehensive policies for their use,” U.S Attorney Fishman said. “The information these cameras capture will be a valuable new resource for more effective policing that also respects the rights of citizens.”
“As we strive to support local leaders and law enforcement officials in their work to protect their communities, we are mindful that effective public safety requires more than arrests and prosecutions,” Attorney General Lynch said. “It also requires winning – and keeping – the trust and confidence of the citizens we serve. These grants will help more than 100 law enforcement agencies promote transparency and ensure accountability, clearing the way for the closer cooperation between residents and officers that is so vital to public safety.”
BJA expects award recipients to create programs that will be integrated as part of individual jurisdictions’ holistic problem-solving and community-engagement strategies.
The Body Worn Camera program was launched last year in response to a recommendation by the President’s Task Force on 21st Century Policing that law enforcement agencies use technology to strengthen relations with communities. BJA convened a Body-Worn Camera Expert Panel that identified issues and considerations confronting communities considering adoption of body camera technology. Initial research has shown that law enforcement use of body-worn camera programs improve law enforcement’s interaction with the public.
The New Jersey awards are as follows:
- N.J. State Police – $575,361
- Newark Police Department – $372,500
- Camden County Police Department– $118,500
- Evesham Township Police Department – $144,000
- Borough of Haledon Police Department – $17,920
In addition to the New Jersey recipients, today’s awardees include law enforcement agencies located in the following 31 states and Puerto Rico: Alabama, Arkansas, Arizona, Florida, California, Colorado, Delaware, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maryland, Michigan, Minnesota, Montana, New York, Nevada, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Virginia, Wisconsin, and Wyoming. Tribal awardees include: Pokagon Band of Potawatomi Indians, the Little Traverse Bay Bands of Odawa Indians and the Nottawaseppi Huron Band of the Potawatomi.
For additional information about this grant program, visit: http://go.usa.gov/xKpJH
Corpus Christi Man Heads to Federal Prison After Kidnapping ChildRead the Press Release
CORPUS CHRISTI, Texas – A 21-year-old local man has been ordered to federal prison for kidnapping a six-year-old girl from her Corpus Christi home and planning to take her to Arizona, announced U.S. Attorney Kenneth Magidson. Austin Carlin, of Corpus Christi, pleaded guilty June 9, 2016.
Today, U.S. District Judge Nelva Gonzales Ramos handed Carlin a 262-month-term of imprisonment to be immediately followed by 10 years of supervised release. The court took into consideration a victim letter read in court by the mother of the girl Carlin kidnapped, in which she described the impact the crime has had on the child. Carlin will also be required to register as a sex offender.
Carlin abducted the young child from her residence in the early morning hours of Feb. 22, 2015. Carlin stole a vehicle and drove out of Corpus Christi with the child. The Corpus Christi Police Department (CCPD) immediately disseminated an Amber Alert in pursuit of Carlin and the child. As part of the alert, a Child Abduction Response Team was deployed with the assistance of FBI.
State troopers pulled Carlin over as he drove on Interstate 10 approximately 350 miles west of San Antonio. He was arrested and authorities were able to successfully recover the child and return her to her family. Carlin admitted that his destination was Arizona.
Carlin has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of the investigative efforts of the FBI, CCPD and the Texas Department of Public Safety. Assistant U.S. Attorney Hugo R. Martinez and Brittany Jensen are prosecuting the case.
Cleveland man sentenced to 14 years in prison for trafficking three teen girlsRead the Press Release
A Cleveland man was sentenced to 14 years in prison for trafficking three teenaged girls, said Carole S. Rendon, U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
Ronnie Pratt, 22, trafficked three underage girls. He did this by taking photos of his girls and posting the photos on www.backpage.com. Pratt handled all text communications with potential customers and transported the girls to “dates.” He usually kept about half the money they were paid for commercial sex acts, according to court documents.
One of the girls was 13 when she began working for Pratt. He had a gun that he used to intimidate at least one of the girls, according to court documents.
The conduct took place between July and November 2015.
“This defendant made his living taking advantage of runaways,” Rendon said. “He pushed girls as young as 13 into events that will take them a lifetime to overcome. His sentence, at the highest end of the applicable sentencing guidelines range, appropriately reflects the incredible damage he has done and the just punishment for his crimes.”
"While Mr. Pratt will serve 14 years for his crimes, his young victims will be affected for a lifetime," Anthony said. "Law enforcement will continue to assist victims of human trafficking in obtaining the support they need and ensuring individuals like Pratt are brought to justice."
This case is being prosecuted by Assistant U.S. Attorneys Bridget M. Brennan and Carmen Henderson following an investigation by the Federal Bureau of Investigation.
Cleveland man sentenced for cocaine distributionRead the Press Release
WHEELING, WEST VIRGINIA – Donny Deshawn Parker, 25, of Cleveland, Ohio, was sentenced in federal court today to 27 months in prison for selling crack cocaine in Moundsville, West Virginia, United States Attorney William J. Ihlenfeld, II, announced.
Parker distributed cocaine HCL in April 2014 in Marshall County, West Virginia. He pled guilty in July 2016 to one count of “Distribution of Cocaine Base.”
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Marshall County Drug and Violent Crime Task Force investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
California Man Sentenced to 30 Years for Conspiring to Join ISIL and Engaging in FraudRead the Press Release
WASHINGTON – Nader Elhuzayel, 25, of Anaheim, California, was sentenced to 30 years in prison with a lifetime of supervised release for conspiring and attempting to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization, and other federal offenses.
Assistant Attorney General John P. Carlin and U.S. Attorney Eileen M. Decker for the Central District of California made the announcement after Elhuzayel was sentenced by U.S. District Judge David O. Carter.
“Nader Elhuzayel was arrested while attempting to travel overseas to join ISIL. With this sentence, he is being held accountable for conspiring and attempting to provide material support to the designated terrorist organization, and other federal offenses,” said Assistant Attorney General Carlin. “The National Security Division’s highest priority is countering terrorist threats, and we will continue to work to stem the flow of foreign fighters abroad and bring to justice those who attempt to provide material support to designated foreign terrorist organizations.”
On June 21, 2016, a federal jury convicted Elhuzayel and co-defendant Muhanad Badawi, 24, also of Anaheim, of conspiring to provide material support to ISIL. Elhuzayel was also found guilty of attempting to provide material support and Badawi was found guilty of aiding and abetting the attempt to provide material support to ISIL. In addition to the terrorism-related counts, Elhuzayel was found guilty of 26 counts of bank fraud and Badawi was found guilty of one count of federal financial aid fraud. Judge Carter is scheduled to sentence defendant Badawi on October 17.
“Today’s sentence reflects the gravity of the defendant’s plan to betray his country and join a terrorist organization dedicated to the murder of innocent individuals,” said United States Attorney Eileen M. Decker. “As this case shows, the ability of individuals with the desire to support ISIL to use the Internet and social media to conspire with each other poses a grave threat to our national security. So-called ‘foreign fighters’ like this defendant pose a serious danger both overseas and here at home. There can be no doubt that law enforcement’s disruption of their plans saved lives, both in the United States and abroad.”
The evidence at trial showed Badawi and Elhuzayel used social media to discuss ISIL and terrorist attacks, expressed a desire to die as martyrs, and made arrangements for Elhuzayel to travel abroad to join ISIL. In recorded conversations, Badawi and Elhuzayel discussed how “it would be a blessing to fight for the cause of Allah, and to die in the battlefield,” and they referred to ISIL as “we.”
Badawi also had a Facebook account where he made posts that supported ISIL and violence aimed at non-Muslims, and indicated that he intended to join the terrorist organization. Elhuzayel used social media to communicate with ISIL supporters and operatives, to disseminate pro-ISIL information and to assist ISIL supporters by distributing social media information to those whose accounts had been suspended. Elhuzayel also maintained a Facebook account with the ISIL flag as his profile picture. He used the account to ask Allah to grant him martyrdom and success in leaving U.S. to fight for his cause and to ask Allah to “destroy your enemies and give the Islamic state victory.”
According to the trial exhibits, on Oct. 21, 2014, Badawi made a video of Elhuzayel swearing allegiance to the leader of ISIL, Abu Bakr al-Baghdadi. In the video, Elhuzayel pledged to travel to join ISIL to be a fighter for the terrorist organization.
Evidence at trial also showed that on May 3, 2015, the day of the attack in Garland, Texas, Elhuzayel received social media communications from Elton Simpson, one of the perpetrators of the attack, and that Elhuzayel wrote to Simpson “I love you for the sake of Allah brother may Allah grant you Jannat al ferdaus [the highest level of Paradise reserved for martyrs].”
In addition, Elhuzayel received and disseminated social media communications from ISIL operative Abu Hussain al Britani, also known as Junaid Hussain, including communications trumpeting the Garland, Texas, shootings. On May 7, 2015, four days after the Garland shootings, Elhuzayel and Badawi made travel arrangements and purchased Elhuzayel’s plane ticket to join ISIL.
Both Elhuzayel and Badawi were arrested on May 21, 2015, as Elhuzayel attempted to board a plane at Los Angeles International Airport to travel to Turkey to join ISIL. Badawi had purchased a one-way ticket on Turkish Airlines for Elhuzayel to travel to Israel, with a layover in Istanbul. In an interview with the FBI, Elhuzayel admitted that he intended to deplane in Turkey and seek contacts to facilitate joining ISIL.
Elhuzayel was also convicted of obtaining cash through a scheme to defraud three different banks by depositing stolen checks into his personal checking accounts and then withdrawing cash at branch offices and ATMs in Orange County. The money generated from the bank fraud was intended to finance his travel to Syria to join ISIL. Both men have been held in federal custody without bond since their arrests.
Badawi is scheduled to be sentenced on October 17 at which time he will face a statutory maximum sentence of 35 years in federal prison.
The investigation in this case was conducted by the FBI’s Joint Terrorism Task Force in Orange County, which includes the following agencies: the Anaheim Police Department, the California Highway Patrol, the Orange County Sheriff’s Department, the Orange County Intelligence Assessment Center, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the U.S. Secret Service, IRS – Criminal Investigation, the City of Orange Police Department, the Irvine Police Department, the Naval Criminal Investigative Service, the Orange County Regional Computer Forensics Laboratory, the U.S Attorney’s Office, and the FBI. The Department of Education’s Office of Inspector General provided significant assistance in the investigation and at trial.
The case was prosecuted by Assistant U.S. Attorneys Judith A. Heinz, Deirdre Z. Eliot and Julius J. Nam of the Central District of California, with substantial assistance from Trial Attorney Michael Dittoe of the National Security Division’s Counterterrorism Section.
Bronx Tax Preparer Found Guilty of Participation in Scheme to Steal Millions Using Fraudulent Tax ReturnsRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Shantelle P. Kitchen, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced that ELIANA SARMIENTO, a former tax preparer at K&S Tax Solution, Inc. (“K&S”), was found guilty last Friday of multiple charges in connection with her participation in schemes to file fraudulent tax returns, in order to receive tax refunds in the form of checks and wire transfers. Together with her co-workers at K&S, SARMIENTO stole more than $19 million in tax refunds by submitting false tax returns using stolen identities, largely stolen from residents of Puerto Rico. To date, 14 employees and associates of K&S, in addition to SARMIENTO, have been convicted in connection with this scheme. SARMIENTO was convicted after a two-week jury trial before U.S. District Judge Kimba Wood.
According to the allegations contained in the Indictment as well as the evidence presented during trial:
Since January 2010, SARMIENTO, along with her co-conspirators, perpetrated a large-scale scheme to defraud the Internal Revenue Service (“IRS”) through the filing of fraudulent tax returns, so as to receive tax refunds in the form of checks and wire transfers. Specifically, SARMIENTO obtained stolen identities in part through one co-conspirator, based in Puerto Rico, who stole the identities of patients of a medical clinic in Ponce, Puerto Rico. She then obtained electronic filing identification numbers (“EFINs”), which are used for the purpose of filing hundreds of electronic tax returns, under the names of the victims of the defendants’ identity theft scheme. SARMIENTO and her co-conspirators used those EFINs to file tax returns bearing the names and Social Security Numbers (“SSNs) of additional identity theft victims. Additionally, SARMIENTO and other employees of K&S used the stolen identities of children as false “dependents” on the tax returns of certain K&S clients.
In these ways, SARMIENTO and others at K&S obtained millions of dollars from the U.S. Treasury. To date, and based on a subset of EFINs associated with SARMIENTO and her co-conspirators at K&S, the IRS has identified $281,348,627 in attempted fraudulent returns and $19,799,175 in Treasury funds successfully stolen by SARMIENTO and her criminal associates.
* * *
SARMIENTO, 32, of Passaic, New Jersey, was found guilty of two counts of theft of public funds, each carrying a maximum sentence of 10 years in prison; two counts of conspiring to steal public funds, each carrying a maximum sentence of five years in prison; and two counts of aggravated identity theft, each carrying a mandatory sentence of two years in prison. The statutory maximum and minimum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Bharara praised the IRS-CI for its work in the investigation and expressed his appreciation to the United States Secret Service for its assistance.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Eun Young Choi and Andrew C. Adams are in charge of the prosecution.
Bronx Man Pleads Guilty to Sexual Exploitation of A ChildRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that KELVIN ACOSTA pled guilty today to one count of sexual exploitation of a child. ACOSTA, who was arrested on March 29, 2016, entered his plea before United States District Judge Paul A. Crotty, and was remanded into federal custody.
U.S. Attorney Preet Bharara said: “Kelvin Acosta preyed on vulnerable teenagers in a cruel way, contacting them on Facebook, hacking into their accounts and threatening to publish sensitive images and videos of them unless they created and sent to him child pornography. He has now pled guilty and will face a substantial term of imprisonment. Together with our partners at the FBI and the NYPD, we are committed to protecting children from those, like Acosta, who seek to exploit, extort, or entice them.”
According to the Complaint, Indictment, and other documents filed in the case, as well as statements made during the plea proceedings:
From December 2013 through November 2015, KELVIN ACOSTA committed “sextortion” by hacking into email accounts belonging to teenage girls and extorting them into producing child pornography for him. ACOSTA did so by messaging the girls on Facebook and tricking them into revealing personal information that he then exploited to hack their email accounts. ACOSTA then told his minor victims that he had hacked their email accounts and found compromising material (sex videos and/or nude photographs), which he threatened to send their families, friends, and schools – unless they created child pornography for him via video chat and/or paid him money.
ACOSTA, 27, of the Bronx, New York, pled guilty to one count of sexual exploitation of a child, which carries a mandatory minimum sentence of 15 years in prison and a maximum sentence of 30 years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as the defendant’s sentence will be determined by the judge. ACOSTA is scheduled to be sentenced by Judge Crotty on January 10, 2017, at 11 a.m.
Any individuals who believe they have information concerning exploitation of children may contact the Federal Bureau of Investigation at 1-212-384-1000 or https://tips.fbi.gov/.
Mr. Bharara praised the investigative work of the FBI and the NYPD, and thanked the Brooklyn District Attorney’s Office for its valuable cooperation in this matter.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Michael D. Neff is in charge of the prosecution.
Bradenton Pastor Sentenced to Three Years for Wire Fraud in Connection with Three Lee County Fraudulent MortgagesRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell today sentenced Nelson Cristiano Machado, Jr. (50, Bradenton) to three years in federal prison for wire fraud. A federal jury found him guilty on June 24, 2016.
According to evidence presented at trial, Machado knowingly participated in a scheme to defraud mortgage lenders. He entered into a sales contract for the purchase of two residences in Cape Coral, one for $509,900, and another for $249,900. In his loan applications, Machado falsely represented his employment, the balance of his bank account, and that each of the homes would be his primary residence. He also failed to disclose to his second mortgage lender that he had already obtained a first mortgage in the amount of $343,000 and a second mortgage in the amount of $147,000. Machado also failed to disclose the purchase of another residence located in Fort Myers for which he had obtained a mortgage in the amount of $189,050. Relying upon Machado’s false representations, the mortgage lenders approved his loan applications and wired the funds to the designated title agencies for closings.
This case was investigated by the Federal Bureau of Investigation and the Florida Department of Law Enforcement. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
Attorney General Loretta E. Lynch and Secretary of the Interior Sally Jewell Announce Settlements of Tribal Trust Accounting and Management LawsuitsRead the Press Release
Attorney General Loretta E. Lynch and Secretary of the Interior Sally Jewell today announced that, as a result of an initiative begun in the summer of this year, the United States has reached settlement with 17 additional tribal governments who alleged that the Department of the Interior and the Department of the Treasury had mismanaged monetary assets and natural resources held in trust by the United States for the benefit of the tribes. With these resolutions, the Obama Administration will have settled the vast majority of the outstanding claims, some dating back more than a century, with more than 100 tribes and totaling over $3.3 billion.
“These historical grievances were a barrier to our shared progress toward a brighter future,” said Attorney General Lynch. “With today’s announcement, those barriers have been removed and decades of contention have been ended honorably and fairly. These settlements reflect the shared vision, the mutual respect and the enduring partnership that we hope to achieve between tribes and the federal government and I look forward to all that we will achieve together in the days to come.”
“Settling these long-standing disputes reflects the Obama Administration’s continued commitment to reconciliation and empowerment for Indian Country,” said Secretary Jewell. “As we turn the page on past challenges in our government-to-government relationship with tribes, we’re moving forward with tribal governments to ensure proper management of tribal trust assets. I commend the Department of Justice, our Interior Solicitors, tribal leaders and other key officials for recognizing the importance of communication and mutual respect, opening a new era of trust between the United States Government and tribal governments.”
In April 2012, the Justice and Interior Departments announced more than $1 billion in settlements with 41 federally-recognized tribes for similar claims, the result of nearly two years of negotiations, between 2009 and the 2012 announcement, the Departments of Justice and of the Interior had settled with six other tribes. Since April 2012, the United States has reached settlement for claims of 57 additional tribes – including 17 reached after negotiations this summer and early fall - for an additional $1.9 billion, following through on its commitment to bring to an end, honorably and fairly, this protracted litigation that has burdened both the plaintiffs and the United States.
Ending these long-running disputes about the United States’ management of trust funds and non-monetary trust resources will allow the United States and the tribes to move beyond the distrust exacerbated by years of litigation. These settlement agreements represent a significant milestone in the improvement of the United States’ relationship with Indian tribes.
The Department of the Interior manages almost 56 million acres of trust lands for federally-recognized tribes and more than 100,000 leases on those lands for various uses, including housing, timber harvesting, farming, grazing, oil and gas extraction, business leasing, rights-of-way and easements. Interior also manages about 2,500 tribal trust accounts for more than 250 tribes.
Under the negotiated settlement agreements, litigation will end regarding the Department of the Interior’s accounting and management of the tribes’ trust accounts, trust lands and other natural resources. With monies from the congressionally-appropriated Judgment Fund, which is used to pay settlements or final judgments against the government, the United States will compensate the tribes for their breach of trust claims and the tribes will waive, release and dismiss their claims with prejudice. The parties have agreed to information-sharing procedures that will strengthen the management of trust assets and improve communications between the settling tribes and the Department of the Interior. The settlement agreements also include dispute resolution provisions to reduce the likelihood of future litigation.
Attorney General Loretta E. Lynch Announces More Than $107 Million to Improve Public Safety, Victim Services for American Indians and Alaska NativesRead the Press Release
The Department of Justice today announced more than $107 million in grants to American Indian and Alaska Native communities to improve public safety help victims and strengthen tribal institutions. The announcement was made at the Eighth Annual White House Tribal Nations Conference, taking place today and tomorrow. This amount includes 236 grants under the department’s Coordinated Tribal Assistance Solicitation (CTAS), totaling more than $102 million, to 131 American Indian tribes, Alaska Native villages, tribal consortia and tribal designees. In addition, the Office on Violence Against Women (OVW) announced seven awards worth more than $2 million to help tribes develop plans for implementing changes in their criminal justice systems necessary to exercise their jurisdiction over domestic violence crimes as outlined in the Violence Against Women Reauthorization Act of 2013.
Also included in the awards announced today are six awards totaling more than $3 million in juvenile justice grants to support the American Indian/Alaska Native Defending Childhood Policy Initiative and a National Institute of Justice grant to study sex trafficking in Indian country.
“These vital grants support everything from hiring law enforcement officers to empowering native youth, giving tribes the resources they need to meet the particular challenges facing their communities,” said Attorney General Loretta E. Lynch. “We are also proud to continue support for those tribes exercising greater authority over crimes of domestic violence under the VAWA 2013 tribal provisions, the direct result of a proposal by this Justice Department and written into law by Congress that is today making communities safer and stronger.”
CTAS provides a single application for tribal-specific grant programs. The department developed CTAS to streamline support provided through its Office of Community Oriented Policing Services, Office of Justice Programs and OVW and awarded the first round of consolidated grants in September 2010.
Since then, under CTAS, more than 1,600 grants totaling more than $726 million have been provided to enhance law enforcement practices, victim services and sustain crime prevention and intervention efforts in nine purpose areas: public safety and community policing; justice systems planning; alcohol and substance abuse; corrections and correctional alternatives; children’s justice act partnerships; services for victims of crime; violence against women; juvenile justice; and tribal youth programs.
American Indians and Alaska Natives experience disproportionate rates of violence and victimization and often encounter significant obstacles to accessing culturally relevant services. CTAS funding helps tribes to develop and strengthen tribal justice systems’ response to crime, while significantly increasing programs and services available to them.
A listing of today’s CTAS awards can be found here. A fact sheet on CTAS is available at www.justice.gov/tribal/grants.
Today’s announcement is part of the Justice Department’s ongoing initiative to increase engagement, coordination and action on public safety in American Indian and Alaska Native communities.
Read more about the special domestic violence jurisdiction provisions in VAWA 2013: www.justice.gov/tribal/violence-against-women-act-vawa-reauthorization-2013-0
Anchorage Insurance Sales Woman Arrested on Charges of Bank Fraud and Aggravated Identity TheftRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced that an Anchorage woman has been taken into custody today on charges of two counts of Bank Fraud and two counts of Aggravated Identity Theft.
Kara Hayden, Jr., 50, of Anchorage, is charged in a four-count indictment with a scheme to obtain money from banks through fraudulent pretenses using personal information of former insurance clients to obtain credit cards.
According to Assistant U.S. Attorney Aunnie Steward, who presented the case against Kara Hayden to the grand jury, from at least October 2014 to December 2015, Hayden applied for seventeen credit cards using the names, social security numbers, and dates of birth of nine different victims without their knowledge or authorization. Hayden successfully obtained two credit cards before the investigation of this case interrupted her scheme. The two credit cards were obtained using the personal identifying information of three of her former insurance clients. Hayden obtained approximately $14,500 in cash and retail goods prior to the discovery of her scheme.
The law provides for a maximum sentence of 30 years’ incarceration and a $1 million fine or both.
Under federal sentencing statutes, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
“Postal Inspectors worked closely with the U.S. Attorney’s Office and the Alaska State Troopers on this investigation,” said Seattle Division Inspector in Charge Anthony Galetti of the U.S. Postal Inspection Service. “We take identity theft and the violation of customers’ trust very seriously and will continue to vigorously protect the U.S. Mail and customers against all forms of criminal attack and misuse.”
The U.S. Postal Inspection Service, assisted by the Alaska State Troopers, conducted the investigation leading to the indictment in the case.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilty beyond a reasonable doubt.
Alien Smuggler who Crashed into Kingsville NAS Ordered to PrisonRead the Press Release
CORPUS CHRISTI, Texas – An alien smuggler has been sentenced for his involvement in a single vehicle accident that occurred in Kleberg County, announced U.S. Attorney Kenneth Magidson. Mario Rodriguez-Gomez, 25, a Mexican National who was illegally residing in Houston, pleaded guilty June 14, 2016, to conspiracy to transport illegal aliens causing serious bodily injury.
Today, U.S. District Judge Nelva Gonzalez Ramos ordered Rodriguez-Gomez to serve 46 months imprisonment. As a Mexican National, he is expected to face deportation proceedings following his release from prison.
The conviction stems from a May 14, 2016, single vehicle accident in Kleberg County that resulted in numerous injuries, including a passenger being ejected from the vehicle. All of the vehicle’s occupants were determined to be undocumented aliens from Mexico, Honduras, El Salvador and Guatemala.
On that date, Rodriguez-Gomez attempted to flee from law enforcement officers at a high rate of speed. His vehicle hit the activated security barrier gate at the entrance to Naval Air Station – Kingsville. After the collision, Rodriguez-Gomez attempted to abscond into the Naval Base. A total of 15 individuals were apprehended.
In federal custody since his arrest, Rodriguez-Gomez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s - Homeland Security Investigations conducted the investigation along with Border Patrol and U.S. Navy Military Police.
Assistant U.S. Attorney Lance Watt prosecuted the case.
Albuquerque Man Pleads Guilty to Federal Drug Trafficking ChargesRead the Press Release
Defendant was One of the 104 Individuals Federally Charged as a Result of ATF-Led Investigation Pursued In Support of Federal “Worst of the Worst” Anti-Violence Initiative
ALBUQUERQUE – Timothy Dilley, 34, of Albuquerque, N.M., pled guilty today in federal court to heroin and methamphetamine trafficking charges.
Dilley was arrested during of an ATF-led investigation that resulted in the filing of 58 federal indictments and one federal criminal complaint charging 104 Bernalillo County residents with federal firearms and narcotics trafficking offenses. The investigation began in mid-April 2016, when ATF personnel from throughout the country joined forces with federal, state, county and local law enforcement agencies in New Mexico to combat the high rate of violent crime in the Albuquerque metropolitan area. The investigators utilized a number of investigative techniques, including undercover operations, historical investigation and targeting of multi-convicted felons in possession of firearms.
The investigation was undertaken in support of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies collaborate with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution primarily based on their prior criminal convictions with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Dilley and his co-defendant, Jonathan Aragon, 37, also of Albuquerque were arrested in July 2016, based on an indictment alleging that they participated in a drug trafficking conspiracy, and distributed methamphetamine and distribution of heroin in June 2016, in Bernalillo County, N.M. The indictment included forfeiture provisions requiring Dilley and Aragon to pay $1,400 to the United States.
During today’s change of plea hearing, Dilley pled guilty to distributing heroin and methamphetamine on June 15, 2016. In entering the guilty plea, Dilley admitted selling heroin and methamphetamine to an undercover ATF agent.
At sentencing, Dilley faces a maximum penalty of 20 years in federal prison. Dilley remains in federal custody pending a sentencing hearing, which has yet to be scheduled.
To date, three of the 104 defendants charges as a result of the ATF investigation have entered guilty pleas. The remaining defendants, including Dilley’s co-defendant, have entered not guilty pleas. Charges in indictments are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
The case against Dilley was investigated by the Albuquerque offices of ATF and DEA and is being prosecuted by Assistant U.S. Attorney Paul H. Spiers.
In addition to being prosecuted under the federal “worst of the worst” initiative, this case also is being prosecuted as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
25 September 2016
McLaughlin Man Sentenced for Simple AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that a McLaughlin, South Dakota, man convicted of Simple Assault was sentenced on September 20, 2016, by U.S. Magistrate Judge William D. Gerdes.
Sheldon Crow Ghost, age 34, was sentenced to 6 months in custody, and a $10 special assessment to the Federal Crime Victims Fund.
Crow Ghost pled guilty to a Superseding Information, filed on August 10, 2016.
The conviction stemmed from an incident on the morning of November 12, 2015, when the Bureau of Indian Affairs Law Enforcement responded to a reported domestic assault.
The officer was met at the door by the female victim who stated her boyfriend, Crow Ghost, had earlier in the morning repeatedly put up his fist in a manner which indicated he was going to strike her, but did not. The victim informed the officer that the previous night, Crow Ghost had also slapped her several times and had attempted to punch her in the face, but she had managed to get her forearm up and block his punches. The officer was able to observe a slight redness to her face.
This case was investigated by the Bureau of Indian Affairs Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Crow Ghost is to self-report to the custody of the U.S. Marshals Service on or before October 4, 2016.
24 September 2016
Utah Business Owner Convicted of Dealing in Firearms without a License and Filing False Tax ReturnsRead the Press Release
SALT LAKE CITY – A Salt Lake County, Utah, man was convicted Friday by a federal jury of one count of dealing in firearms without a license and five counts of filing false tax returns, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney John W. Huber for the District of Utah.
“Individuals such as Mr. Webber, who view themselves above the law and engage in criminal conduct to line their own pockets with funds that belong to the U.S. Treasury, will be held to account for their crimes and face severe consequences, including prosecution and incarceration,” said Principal Deputy Assistant Attorney General Ciraolo. “The Tax Division thanks its colleagues in the District of Utah and other federal agencies for their continued efforts to ensure that everyone pays their fair share.”
“This defendant repeatedly purchased firearms for resale without a federal firearms license and substantially under reported the gross receipts of the sales on his taxes,” said U.S. Attorney Huber. “Around 2,000 firearms were involved in this conduct. Evidence at trial showed that Mr. Webber claimed a mere fraction of his gross receipts on his tax forms over a four-year period.”
Pursuant to an agreement reached with the United States in 2007, Adam Michael Webber, was barred from applying for a federal firearms license or engaging in the business of dealing firearms. According to the evidence presented at trial, between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business that operated originally as a sole proprietorship and later as an S corporation. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence. Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70-pound silver bar, silver coins and firearms were found at Webber’s residence during the execution of a search warrant.
From 2007 through 2010, Webber earned more than $10 million in gross receipts from his illegal firearms business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.
Sentencing is set for Dec. 1. Webber faces a statutory maximum sentence of up to five years in prison for dealing in firearms without a license and up to three years in prison for each count of filing a false tax return, as well as a period of supervised release and monetary penalties.
“The laws regulating the buying and selling of firearms exist to prevent criminals and other prohibited people from illegally accessing firearms,” said Ken Croke, Special Agent in Charge of the ATF’s Denver Field Office. “By circumventing these laws, Webber knowingly and intentionally put people’s lives at risk.”
“Mr. Webber's crimes were not victimless,” said Special Agent in Charge Tara Sullivan of the Internal Revenue Service-Criminal Investigation (IRS-CI) Field Office in Las Vegas, Nevada. “Reporting inaccurate information on your taxes cheats the government and is unfair to honest taxpayers. Mr. Webber decided that he was above the law and IRS CI holds all offenders accountable.”
“Illegal firearms dealers can create public safety and national security vulnerabilities by potentially arming criminals and terrorists without a traceable paper trail, while also hurting the image and business reputation of licensed law-abiding firearms dealers,” said Special Agent in Charge David A. Thompson of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ (HSI) Denver office. “Frequently, such successful criminal cases are identified, investigated and presented for prosecution by combining the law enforcement resources and authorities of multiple agencies. Our HSI special agents routinely work cooperatively with other law enforcement partners to shut down these criminal operations that pose a public safety risk to our communities.”
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Huber commended the special agents of ATF, IRS-CI and HSI, who conducted the investigation and Assistant U.S. Attorneys Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office in the District of Utah and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.
Department of Justice Releases Strategy Memo to Address Prescription Opioid and Heroin EpidemicRead the Press Release
Attorney General Lynch Announces Support, Calls on Governors to Strengthen PDMP Efforts
As part of the Obama Administration’s commitment to address the rising public health challenges caused by the national prescription opioids and heroin epidemic, Attorney General Loretta E. Lynch issued a memo this week announcing the department’s three-part prevention, enforcement and treatment strategy. The memo lays out action items, institutionalizes best practices, and builds on existing efforts by U.S. Attorney’s Offices, the Drug Enforcement Administration and other Department of Justice components.
Additionally, Attorney General Lynch sent a letter to Governors calling on them to strengthen the effectiveness of Prescription Drug Monitoring Programs (PDMPs) and to improve data sharing of vital information from doctors and pharmacists about patient prescriptions—both within states and among neighboring states. To further this effort, the department also announced an $8.8 million grant to 20 states to help reduce prescription drug abuse, misuse and diversion. The awards, funded under the Bureau of Justice Assistance (BJA)’s Harold Rogers Prescription Drug Monitoring Program FY 2016 Competitive Grant Program, enable awardees to create, implement and enhance PDMPs.
A fact sheet of the strategy memo is outlined below.
FACT SHEET ON THE DEPARTMENT OF JUSTICE STRATEGY MEMO TO ADDRESS PRESCRIPTION OPIOID ABUSE AND HEROIN EPIDEMIC THROUGH PREVENTION, ENFORCEMENT, AND TREATMENT
The heroin and prescription opioid epidemic is one of the most urgent law enforcement and public health challenges facing our country. The Department of Health and Human Services recently announced that 3.8 million people ages 12 and older are currently misusing prescription pain relievers in our country. In 2014, more than sixty percent of the 47,000 drug overdose deaths in America involved opioids, reflecting a dramatic increase over the past two decades.
The Department of Justice memo to federal prosecutors identifies some of the key action items that the department is taking now or will take in the near future to combat the prescription opioid and heroin epidemic as part of the Obama Administration’s overall strategy to address the opioid epidemic. While the epidemic is a national problem, the department has and will continue to tailor efforts to the needs of each region, implemented by those who know their communities best.
PREVENTION
Action Items: Strengthen Prescription Drug Monitoring Programs (PDMPs)
- The Bureau of Justice Assistance (BJA) will prioritize requests for Harold Rogers PDMP Grant Program funding that involve the development and implementation of information exchanges between state PDMPs (or between PDMPs and other data sharing partners).
- BJA will develop and promote the use of “report cards” and other reports to alert prescribers about potentially inappropriate prescribing practices and encourage use of the PDMP.
- The Office of Justice Programs (OJP) will study the need for the creation of new grant programs or the modification of existing programs to promote formulation of timely, cleaned, de-identified PDMP information and other public data sets that are fully accessible by public health and law enforcement officials.
Action Items: Ensure Safe Drug Disposal
- The Drug Enforcement Administration (DEA) will expand efforts to develop community coalitions to help prevent the diversion of unused prescription opioids from homes.
- The DEA will work with federal, state, local and tribal law enforcement and public health officials to develop “mobile” pick-up programs, which will be designed to make take-back options available to rural and underserved communities through coordinated regional efforts.
- The DEA will expand efforts to engage retail pharmacies seeking to establish permanent collection receptacles.
Action Items: Prevent Overdose Deaths with Naloxone
- BJA will promote the use of its “Law Enforcement Naloxone Toolkit” by all state, local and tribal law enforcement agencies throughout the country that do not already have a naloxone program.
- OJP will develop plans for continuing to expand access to naloxone and for enhancing information sharing regarding the effectiveness of naloxone programs.
ENFORCEMENT
Action Items: Investigate and Prosecute High-Impact Cases
- Directing the department’s resources towards the greatest threats, including but not limited to individuals and institutions responsible for the trafficking of heroin and fentanyl, those who improperly prescribe or divert opioids and those who use violence to further drug-trafficking activities.
Action Items: Enhance Regulatory Enforcement
- The DEA will develop metrics for measuring the effectiveness of its expanded regulatory efforts and use these metrics to refine its regulatory efforts.
- The DEA will expand engagement with the registrant community, especially manufacturers, doctors and pharmacists who handle opioid analgesics.
Action Items: Encourage Information Sharing
- The DEA and the Organized Crime Drug Enforcement Task Force (OCDETF) will partner with federal, state, local and tribal law enforcement and public health partners to better facilitate information sharing through the use of investigative de-confliction tools, including the DEA Analysis and Response Tracking System (DARTS) and the De-confliction and Information Coordination Effort (DICE), as well as other information coordination systems, in coordination with DEA’s Special Operations Division, the OCDETF Fusion Center and the El Paso Intelligence Center (EPIC), with the goal of sharing de-identified, real-time data between public health and public safety, when feasible, to reach maximum harm reduction in communities.
- The Community Oriented Policing Services (COPS) Office will require its grant recipients to share with the OCDETF Fusion Center relevant law enforcement information collected as a result of such funding.
- The DEA will expand its Drug/Heroin Data Capture project, a three-part data collection and sharing initiative, based at EPIC.
- The DEA will convene pathologist, toxicologists, medical examiners and state officials to better understand the challenges faced by overburdened state systems as those resource capabilities inform investigative and prosecutorial resource decisions and to assist those systems when possible.
Fund Enforcement-Related Research
- The National Institute of Justice (NIJ) will expand its study of the forensic analysis of evidence from medico-legal death investigations and law enforcement seizures, to develop profiles for fentanyl and other controlled substances to inform trend analysis and provide tactical intelligence.
- NIJ will conduct research on drug intelligence and community surveillance, which are crucial to understanding drug markets and use trends, identifying drug deterrent and interdiction opportunities and pursuing organized crime targets.
TREATMENT
Share Best Practices for Early Intervention
- BJA and COPS will highlight and promote successful models where law enforcement is assisting individuals who have overdosed by directing them to treatment programs, as well as connecting individuals who voluntarily seek help from law enforcement to treatment.
Support Medication-Assisted Treatment (MAT)
- In the near term, subject to funding, the department will support medication-assisted treatment by taking the following step: the Bureau of Prison (BOP) will commit to implementing a nationwide plan to expand medication-assisted treatment to all Residential Reentry Centers.
Promote Treatment Options Throughout the Criminal Justice System
In the near term, the department will support criminal justice system treatment models by taking the following steps:
- The National Institute of Corrections will draft and release a document for state, local and tribal correctional agencies compiling research and best practices for residential substance abuse treatment programs.
- BJA will draft and publicly release a document that highlights promising initiatives in communities throughout the United States that address the treatment needs of individuals with opioid use disorders who enter the criminal justice system.
To combat the opioid epidemic, the department’s components must work together and with other federal, state, local and tribal agencies to seek a comprehensive solution. The strategy outlined in the U.S. Attorney memo, expressed in the Attorney General’s letter to Governors and made possible through grants like BJA’s Harold Rogers Prescription Drug Monitoring Program FY 2016 Competitive Grant Program, embraces an approach that focuses on prevention, enforcement and treatment, and identifies next steps that are immediately actionable.
For more on opioid week, please visit: https://www.justice.gov/opioidawareness/heroin-opioid-awareness-week.
23 September 2016
“YGz” Gang Member Pleads Guilty to Bronx Murder and Other Crimes in Connection with Racketeering ConspiracyRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that ANTHONY SCOTT, a/k/a “Tyson,” pled guilty today to involvement in a racketeering conspiracy in connection with his membership in the “Young Gunnaz” (“YGz”), a violent street gang that operated in and around several housing developments in the New York City Police Department’s 40th Precinct in the South Bronx. As part of his guilty plea, SCOTT admitted to his participation in two acts of violence in the 40th Precinct: (a) the murder of Darrel Ledgister on or about June 27, 2009, in which SCOTT shot and killed Ledgister during the course of an attempted robbery, and (b) aiding and abetting the aggravated assault of a rival gang associate on or about June 22, 2014, by helping another YGz member shoot the rival gang associate in the foot. SCOTT faces a maximum term of life in prison, and will be sentenced before United States District Judge Valerie E. Caproni later this year. The Ledgister murder is one of several previously unsolved 40th Precinct murders charged in this case.
U.S. Attorney Preet Bharara said: “Anthony Scott has admitted to his role in the murder of a 21-year-old man and a second gang-related shooting. Gang violence threatens the safety and security of all New Yorkers, and we will continue to work with our law enforcement partners to prevent it and to bring those who commit it to justice.”
According to the Indictment and other documents filed in the case, as well as statements made during the plea proceedings:
SCOTT was a member of the Bronx-based street gang known as the YGz and committed acts of violence with other gang members to further the interests of the gang. From at least 2005 to August 2016, members and associates of the YGz enriched themselves by selling drugs, such as “crack” cocaine, heroin, and marijuana, and committed acts of violence, including murder and attempted murder, against various people, including rival gang members, rival drug traffickers, and innocent bystanders. As part of this enterprise, members and associates of the YGz killed and attempted to kill other individuals.
As part of his involvement in the YGz gang, SCOTT participated in two shootings. First, on or about June 27, 2009, SCOTT attempted to commit a gunpoint robbery of the passenger of a vehicle parked on 140th Street near Willis Avenue in the South Bronx, in the vicinity of YGz-controlled territory in the Mott Haven Houses. During the course of the attempted robbery, SCOTT shot and killed Darrel Ledgister, the 21-year-old driver of the vehicle. Second, on or about June 22, 2014, SCOTT aided and abetted the commission of an aggravated assault of a rival gang associate in which one of SCOTT’s fellow gang members shot the rival gang associate in the foot in the vicinity of the Mott Haven Houses.
SCOTT was arrested in this case as a result of a multi-year investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), the Drug Enforcement Administration (“DEA”), and the New York City Police Department (“NYPD”) into gang violence in and around the 40th Precinct. In July 2014, SCOTT was initially arrested in the vicinity of the Mott Haven Houses for possession of a firearm following a felony conviction, and was prosecuted by this Office for that firearm offense, convicted, and sentenced to 30 months in prison. In December 2015, while SCOTT was in federal prison serving that sentence, SCOTT and more than 20 other members and associates of the YGz gang were charged with racketeering conspiracy, and some were charged with murders, attempted murders, narcotics trafficking, and firearms offenses. The racketeering indictment in this case was subsequently superseded twice, in June 2016 and August 2016, to charge more than 10 additional defendants, two additional murders, and other offenses. The controlling Indictment now charges various YGz members with four previously unsolved 40th Precinct murders: the June 27, 2009, murder of Darrel Ledgister; the January 24, 2011, murder of Dykeem Etheridge; the December 22, 2011, murder of Taisheem Ferguson; and the April 16, 2012, murder of Moises Lora.
* * *
Mr. Bharara praised the outstanding work of the ATF, the DEA, and the NYPD in the investigation of this case. He also thanked the Bronx County District Attorney’s Office for their support in this case.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Samson Enzer, James McDonald, Andrew Adams, and Dina McLeod are in charge of the prosecution.
Utah Business Owner Convicted of Dealing in Firearms without a License and Filing False Tax ReturnsRead the Press Release
Convicted of Illegally Selling Firearms and Underreporting More than $10 Million in Gross Receipts
A Salt Lake County, Utah man was convicted today by a federal jury of one count of dealing in firearms without a license and five counts of filing false tax returns, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division, and U.S. Attorney John W. Huber for the District of Utah.
“Individuals such as Mr. Webber, who view themselves above the law and engage in criminal conduct to line their own pockets with funds that belong to the U.S. Treasury, will be held to account for their crimes and face severe consequences, including prosecution and incarceration,” said Principal Deputy Assistant Attorney General Ciraolo. “The Tax Division thanks its colleagues in the District of Utah and other federal agencies for their continued efforts to ensure that everyone pays their fair share.”
Pursuant to an agreement reached with the United States in 2007, Adam Michael Webber, was barred from applying for a federal firearms license or engaging in the business of dealing firearms. According to the evidence presented at trial, between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business that operated originally as a sole proprietorship and later as an S corporation. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence. Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70 pound silver bar, silver coins and firearms were found at Webber’s residence during the execution of a search warrant.
From 2007 through 2010, Webber earned more than $10 million in gross receipts from his illegal firearms business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.
Sentencing is set for Dec. 1. Webber faces a statutory maximum sentence of up to five years in prison for dealing in firearms without a license and up to three years in prison for each count of filing a false tax return, as well as a period of supervised release and monetary penalties.
“This defendant repeatedly purchased firearms for resale without a federal firearms license and substantially under reported the gross receipts of the sales on his taxes,” said U.S. Attorney Huber. “Around 2,000 firearms were involved in this conduct. Evidence at trial showed that Mr. Webber claimed a mere fraction of his gross receipts on his tax forms over a four-year period.”
“The laws regulating the buying and selling of firearms exist to prevent criminals and other prohibited people from illegally accessing firearms,” said ATF Special Agent in Charge Ken Croke. “By circumventing these laws, Webber knowingly and intentionally put people’s lives at risk.”
“Illegal firearms dealers can create public safety and national security vulnerabilities by potentially arming criminals and terrorists without a traceable paper trail, while also hurting the image and business reputation of licensed law-abiding firearms dealers,” said Special Agent in Charge David A. Thompson of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ (HSI) Denver office. “Frequently, such successful criminal cases are identified, investigated and presented for prosecution by combining the law enforcement resources and authorities of multiple agencies. Our HSI special agents routinely work cooperatively with other law enforcement partners to shut down these criminal operations that pose a public safety risk to our communities.”
“Mr. Webber's crimes were not victimless,” said Special Agent in Charge Tara Sullivan of the Internal Revenue Service-Criminal Investigation (IRS-CI) Field Office in Las Vegas, Nevada. “Reporting inaccurate information on your taxes cheats the government and is unfair to honest taxpayers. Mr. Webber decided that he was above the law and IRS CI holds all offenders accountable.”
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Huber commended the special agents of ATF, IRS-CI and HSI, who conducted the investigation and Assistant U.S. Attorneys Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office in the District of Utah and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Two Men Sentenced to Prison Terms for Broad Daylight Murder in Southeast WashingtonRead the Press Release
WASHINGTON- Markell Alston, 23, and Darryl Malloy, 21, both formerly of Washington, D.C., were sentenced today to prison terms for the broad daylight slaying of a man in Southeast Washington, announced U.S. Attorney Channing D. Phillips and Peter Newsham, Interim Chief of the Metropolitan Police Department (MPD).
Both men pled guilty in June 2016, in the Superior Court of the District of Columbia, to second-degree murder while armed in the death of Kevin Owens. Each also pled guilty in separate cases to assault with a dangerous weapon. They were each sentenced by the Honorable Robert E. Morin to a total of 26 years in prison. Following their prison terms, each man will be placed on five years of supervised release.
According to the government’s evidence, Alston and Malloy were good friends who lived in the Woodland Terrace area of Southeast Washington. Mr. Owens, 22, was from the Congress Park area of Southeast Washington. In December 2014 and January 2015, Alston was angry that Mr. Owens had started dating the mother of two of Alston’s children.
On Jan. 19, 2015, Martin Luther King Jr. Day, at about 2 p.m., Mr. Owens parked his car in the 3400 block of 13th Place SE, in the Congress Park area. While Mr. Owens was sitting in the driver’s seat of his car, Alston and Malloy approached the vehicle from behind. Both defendants were armed, and both fired multiple shots at Mr. Owens. They then ran away. Mr. Owens, who was struck by seven bullets, was found on the street near the driver’s side of his car. The shooting was captured by a high-definition surveillance video camera installed in the area by the Metropolitan Police Department.
In a separate case, Alston pled guilty to assaulting another inmate while he was in custody at the D.C. Jail in a noontime incident on Nov. 18, 2015. According to the government’s evidence, he and another inmate stabbed the victim with sharp objects. A corrections officer ran over and halted the attack. The victim was taken to a hospital and treated for 23 stab wounds, including on his head, neck, back, and arms.
Malloy pled guilty to accosting a contractor who was installing safety lights on the afternoon of Sept. 15, 2014, on the roofs of buildings in the Woodland Terrace area. While the contractor was on a ladder, Malloy approached him, pulled a gun from his waistband, and yelled that he did not want the lights installed.
Alston’s sentence includes 26 years for the murder and three years for the assault, to run concurrently. Malloy’s sentence includes 23 years for the murder and three years for the assault he committed, to run consecutively.
In announcing the sentences, U.S. Attorney Phillips and Interim Chief Newsham commended the work of the Metropolitan Police Department, which investigated the murder case. They also expressed appreciation for the assistance provided by the District of Columbia Department of Corrections, the District of Columbia Department of Forensic Sciences, the FBI, and Bode Cellmark Forensics. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Zekiah Wright, former Paralegal Specialist Karen Hansen, Investigative Analyst Zachary McMenamin, Criminal Investigators John Marsh and Durand Odom, Victim/Witness Advocate Marcia Rinker, Supervisor Security Specialist Michael Hailey, and Victim/Witness Security Specialists M. Laverne Forrest and Tanya Via. Finally, they commended the efforts of Assistant U.S. Attorneys Natalia Medina, Jeffrey Nestler, Lindsey Merikas, and Dineen Baker, who investigated and secured indictments in the various cases.
Two Jackson Residents Sentenced to Prison for Use of a Firearm During a Drug Trafficking OffenseRead the Press Release
Jackson, Miss - Anthony Watson, 26, and Joshua Martin, 25, both of Jackson, were sentenced on September 22, 2016 by U.S. District Judge Carlton Reeves for using a firearm during a drug trafficking offense, announced U.S. Attorney Gregory K. Davis and Special Agent in Charge Constance Hester Davis with the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Watson was sentenced to 300 months in prison followed by five years of supervised release and Martin was sentenced to 336 months in prison followed by 5 years of supervised release. The defendants were also ordered to $14,438.28 in restitution and a $1,500.00 fine. The two men previously pled guilty to an Information charging them with the use of a firearm during a drug trafficking offense.
Watson and Martin admitted to killing Sharod Vaughn, 22, of Jackson, during the early morning hours of August 13, 2013, at 2034 Wisteria Drive in Jackson, Mississippi. Vaughn died of multiple gunshot wounds from the SKS rifle and .45 caliber pistol used by the defendants. The defendants were meeting with Vaughn to exchange the firearms for marijuana when the shooting occurred.
The investigation was led by Special Agent Ray Connor, Bureau of Alcohol, Tobacco, Firearms, and Explosives with the assistance of the Jackson Police Department. Contributing to the investigation were the Hinds County Sheriff’s Office and the Mississippi Department of Corrections. Assistant United States Attorneys Mary Helen Wall and Pat Lemon prosecuted the case.
Two Defendants Facing Federal Indictments for Aggravated Identity Theft in Connection with Separate SchemesRead the Press Release
Greenbelt, Maryland – Two defendants have been arrested on federal indictments charging them with aggravated identity theft and related counts arising from separate fraud schemes. Michelle Renee Marshall, age 46, of Washington, D.C., was arrested on Monday September 19, 2016, and to had her initial appearance today. She will have a detention hearing in U.S. District Court in Greenbelt at 3:00 p.m. today before U.S. Magistrate Judge Thomas DiGirolamo. Carlton W. Stuart, age 59, of Bowie, Maryland, was arrested and had his initial appearance on Friday, September 16, 2016. Stuart was released under the supervision of U.S. Pretrial Services. The indictments were returned in August and unsealed upon the defendants’ appearance in U.S. District Court in Maryland.
The indictments were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Drew Grimm of the U.S. Office of Personnel Management - Office of Inspector General.
Marshall’s indictment alleges that between April and September 2014, Marshall represented to two victims that she would assist them in preparing and filing their federal income tax returns with the IRS. According to the indictment, Marshall obtained the victims’ PII, which she used to prepare and file their tax returns, with the tax refunds supposedly directed to the victims’ bank accounts. However, the victims never received any tax refunds. The indictment alleges that the tax returns directed the over $17,000 in tax refunds owed to the victims into bank accounts controlled by Marshall, not into the victims’ bank accounts.
According to Stuart’s indictment, he did not notify the U.S. Office of Personnel Management (OPM) of Victim A’s death on June 4, 2012. As a result, between July 2012 and March 2016, OPM continued to make monthly federal retirement and survivor annuity payments to Victim A, totaling $142,490.90. The indictment alleges that Stuart repeatedly forged Victim A’s signature on U.S. Treasury checks mailed to the victim as part of the retirement annuity, depositing the forged checks into the victim’s bank account. Further, the indictment alleges that Stuart repeatedly forged Victim A’s signature on checks drawn from the victim’s bank account and made payable to Stuart.
If convicted, the defendants face a mandatory minimum of two years in prison, consecutive to any other sentence imposed, for aggravated identity theft. In addition, Marshall faces a maximum sentence of 20 years in prison for wire fraud; and Stuart faces a maximum of 10 years in prison for theft of government property.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.
Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
United States Attorney Rod J. Rosenstein commended OPM – OIG for its investigation of Stuart and IRS-CI for its investigation of Marshall. Mr. Rosenstein thanked Assistant U.S. Attorney Leah J. Bressack, who is prosecuting both cases, and Assistant U.S. Attorney Erin Pulice who is also prosecuting Marshall.