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21 September 2016
Member of Grape Street Crips Street Gang Sentenced to Five Years in Prison on Drug Trafficking ChargesRead the Press Release
NEWARK, N.J. – A member of the New Jersey set of the Grape Street Crips gang was sentenced today to 60 months in prison for conspiring to distribute crack-cocaine, U.S. Attorney Paul J. Fishman announced.
Max LaRue, a/k/a “Max,” 27, previously pleaded guilty before U.S. District Judge José Linares Judge Linares to an information charging him with one count of conspiracy to distribute crack-cocaine. Judge Linares imposed the sentence today in Newark federal court.
According to documents filed in these cases and statements made in court:
The Grape Street Crips controlled drug trafficking and other criminal activities in various areas of Newark. LaRue other members of the gang operated a continuing criminal enterprise in the area of 6th Avenue and North 5th Street in Newark. The enterprise allegedly sold crack-cocaine to other distributors of the drug, including other members of the gang. LaRue was a distributor who was a member of the gang and obtained crack-cocaine from the criminal enterprise.
To protect their gang and drug territory, the Grape Street Crips used “community guns” that were easily accessible to gang members. Law enforcement agents seized numerous firearms, including a .410-caliber assault rifle, a .45-caliber Thompson semi-automatic carbine, a 7.62-caliber assault rifle, and numerous semi-automatic handguns.
In addition to the prison term, Judge Linares sentenced LaRue to four years of supervised release.
U.S. Attorney Fishman credited special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Carl J. Kotowski, and special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher, for the investigation leading to the charges. He also thanked prosecutors and detectives of the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Carolyn A. Murray, police officers and detectives of the Newark Police Department, under the direction of Public Safety Director Anthony Ambrose, and the Essex County Sheriff’s Office, under the direction of Armando B. Fontoura, for their work on the investigation.
The government is represented by Assistant U.S. Attorneys Osmar J. Benvenuto and Barry A. Kamar of the Criminal Division in Newark.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF) and the FBI’s Safe Streets Task Force, a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations and those primarily responsible for the nation’s illegal drug supply.
Defense counsel: Michael J. Pappa Esq., Hazlet, New Jersey
Maryland Man Pleads Guilty to Sexually Abusing 12-Year-OldRead the Press Release
WASHINGTON – Enrique Carbajal, 25, of Wheaton, Md., pled guilty today to a charge of first-degree sexual abuse of a child for sexually abusing a 12-year-old girl earlier this year in Northwest Washington, U.S. Attorney Channing Phillips announced.
Carbajal pled guilty in the Superior Court of the District of Columbia before the Honorable José M. Lopez. The plea, which is subject to the Court’s approval, calls for a prison sentence of 90 months. Judge Lopez set a sentencing date for Nov. 29, 2016. In addition to prison time, Carbajal will be required to register as a sex offender for ten years.
According to the government’s evidence, on March 26, 2016, Carbajal contacted the victim’s mother to ask whether he could come to her house in Northwest Washington to have lunch with the child. When the mother told him that the child was not likely to be home, he went there regardless. At about noon that day, the child opened the door and allowed Carbajal to come inside. He then sexually assaulted the child inside of her parent’s bedroom. At the conclusion of the assault, Carbajal took the victim to his apartment in Wheaton.
Once inside the apartment, Carbajal approached his roommate with the victim and described her as “a piece of new meat.” According to the government’s evidence, the roommate then took the victim into a bedroom and sexually assaulted the child. Then, both Carbajal and the roommate took the child to a party in Alexandria, Va., where the roommate once again sexually assaulted the child inside a bedroom.
Both Carbajal and the roommate were arrested in Montgomery County, Md., on June 3, 2016, and have been held in jail during the pendency of their cases. The roommate pled guilty to one count of second-degree rape in the Circuit Court for Montgomery County on Aug. 17, 2016. He will be sentenced on Nov. 21, 2016, before the Honorable Mary McCormick.
In announcing the guilty plea, U.S. Attorney Phillips commended the work performed by those who investigated the case from the FBI's Child Exploitation Task Force, the Metropolitan Police Department’s Youth Division, the Special Victims Investigation Division of the Montgomery County, Md. Department of Police, the Montgomery County State’s Attorney’s Office in Maryland, and the Office of the Commonwealth Attorney in Alexandria, Va. He also acknowledged the work of those who handled the case for the U.S. Attorney’s Office, including Paralegal Specialists Tiffany Jones and Lashaune Briggs, Victim/Witness Advocate Yvonne Bryant, Witness Security Specialist Michael Hailey, and Computer Forensic Examiner John Marsh. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Lindsay Suttenberg and Danny Nguyen, who investigated and prosecuted the matter.
Martinsburg man charged with failing to register as a sex offenderRead the Press Release
MARTINSBURG, WEST VIRGINIA – A federal grand jury returned an indictment charging Dustin Andrew Parsons, 30, of Martinsburg, West Virginia, with failing to register as a sex offender, United States Attorney William J. Ihlenfeld, II, announced.Parsons allegedly traveled in interstate commerce and failed to register and update his registration as a sex offender in Berkeley County, West Virginia. Parsons in required to register under the Sex Offender Registration and Notification Act by reason of a conviction under state law.
He faces up to ten years in prison and a fine up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn M. Adkins is handling the case on behalf of the government. The United States Marshals Service is investigating.An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Marijuana Trafficker Sentenced to 48 Months in Federal PrisonRead the Press Release
AMARILLO, Texas — Marco Saucedo, 45, of Cactus, Texas, was sentenced this afternoon by U.S. District Judge Sidney A. Fitzwater to 48 months in federal prison, following his guilty plea in June 2016 to one count of unlawful use of a communications facility, announced U.S. Attorney John Parker of the Northern District of Texas.
Judge Fitzwater ordered Saucedo to surrender to the Bureau of Prisons on November 1, 2016.
Saucedo’s co-defendant, Guadalupe Reyes, 49, of Etter, Texas, who pleaded guilty in June 2016 to one count of conspiracy to distribute and possess with intent to distribute 1,000 kilograms or more of marijuana, is scheduled to sentenced in mid-November. Reyes faces a statutory penalty of not less than 10 years and up to life in federal prison and a $10 million fine. He remains on bond.
According to documents filed in the case, in November 2014, officers with the Cactus Police Department responded to a weapon being discharged at a residence in Cactus that was owned by Guadalupe Reyes, and they determined that the individual who discharged the firearm was renting the property from Reyes. After obtaining consent to search, officers found more than $130,000 in cash inside the residence, which the resident advised was cash that he, at the direction of Reyes and Saucedo, brought back the previous week from Wichita and Topeka, Kansas.
The resident further disclosed he had been working for Reyes for several months, transporting large amounts of marijuana from Amarillo and Fritch, Texas, to other states, such as Kansas and Ohio. He would also transport large amounts of cash – proceeds from the sale of the marijuana – from those locations to the Cactus area, all at the direction of Reyes and Saucedo, who would pay him a set amount for each of the runs he made.
The resident indicated he had made approximately 10 trips to Wichita, Topeka, and Kansas City, Kansas, as well as to Toledo, Ohio, to deliver marijuana for Reyes, estimating that he had delivered approximately 8,000 pounds of marijuana while employed by Reyes. He further stated that on at least four occasions, he had returned with approximately $400,000 in cash for marijuana he had delivered. He further stated that Reyes instructed him to keep the money at the residence until it was retrieved by other, unnamed individuals. The individual also stated that both Reyes and Saucedo had directed him to only use pre-paid cell phones when communicating with them or the buyers.
In recorded conversations in November 2014, Reyes stated, among other things, that he was worried about law enforcement taking some of his properties. According to Reyes’ plea agreement, he agrees to not contest the forfeiture of several of his real estate holdings in Moore County, including two car lots and several residential properties.
The case was investigated by the Federal Bureau of Investigation, the Texas Department of Public Safety, the Moore County Sheriff’s Office and the Cactus Police Department. Assistant U.S. Attorney Sean Long is in charge of the prosecution.
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Man Who Tried to Meet a 13-Year-Old for Sex at Motel in Fort Worth is Sentenced to 10 Years in Federal Prison for Enticement of a MinorRead the Press Release
FORT WORTH, Texas — A 48-year-old man, most recently from north Texas, Brian Dale Prim, was sentenced yesterday by Senior U.S. District Judge Terry R. Means to 120 months in federal prison, following his guilty plea in May 2016 to an indictment charging one count of enticement of a minor. Today’s announcement was made by U.S. Attorney John Parker of the Northern District of Texas.
According to documents filed in the case, on approximately December 21, 2015, Prim responded to a Craigslist ad entitled, “Need some young company, I’m here?” The ad read, “I’m bored and looking to chill with some cool dude. I’m very young and cool.” At the time, Prim did not know that an officer with the Fort Worth Police Department’s Crimes Against Children Unit was working in an undercover capacity at a motel in Fort Worth and had posted the ad.
Prim responded to the ad and asked the undercover officer, who he thought was a 13-year-old girl, to send him a picture. The undercover officer sent a photo. The conversation between Prim and the undercover officer posing as the 13-year-old continued to become more sexual and Prim provided his phone number to the undercover officer so “she” could text him. Ensuing text messages, sexually graphic in nature, continued, and Prim asked if he could call.
Prim called, and posing as the 13-year-old girl, another Fort Worth police officer answered the phone. Prim and the undercover officer chatted, decided to meet, and Prim described the sexual acts he intended on doing with the 13-year-old. Early on in the text messaging exchange, Prim was told that the 13-year-old girl lived in a Fort Worth motel. Prim requested that the “girl” stay on the phone with him until he pulled in the driveway. While on the phone, Prim stated he was wearing a hoody, gym pants, and a TCU ball cap. Once he arrived at the hotel wearing the described clothing, the undercover officer gave Prim the room number. After Prim parked, he knocked on the motel room door and was arrested.
This year marks the 10th anniversary of the Project Safe Childhood (PSC) initiative. PSC is a department initiative launched in May 2006 to combat the proliferation of technology-facilitated sexual exploitation crimes against children. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC marshals federal, state, tribal and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. Since FY 2011, the Department of Justice has filed 20,260 PSC cases against 19,111 defendants. These cases include prosecutions of child sex trafficking; sexual abuse of a minor or ward; child pornography offenses; obscene visual representation of the sexual abuse of children; selling or buying of children; and many more statutes. To learn more about PSC’s work, please visit: https://www.justice.gov/psc.
The Fort Worth Police Department and the Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Nancy Larson was in charge of the prosecution.
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MEDIA ADVISORY-- U.S. Attorney Damon P. Martinez to Discuss Heroin and Opioid Epidemic During Tomorrow’s KANW Morning Edition BroadcastRead the Press Release
U.S. Attorney’s Participation in Tomorrow’s Broadcast is One of the HOPE Initiative’s National Heroin and Opioid Awareness Week Events
ALBUQUERQUE – The New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative, a partnership between the UNM Health Sciences Center and the U.S. Attorney’s Office, is hosting a series of education events during National Heroin and Opioid Awareness Week, Sept. 19-24, 2016. Tomorrow morning, U.S. Attorney Damon P. Martinez will join KANW General Manager Michael Brasher during KANW’s Morning Edition broadcast to discuss the HOPE’s Initiative’s efforts to combat New Mexico’s heroin and opioid epidemic, and the events hosted by HOPE this week. Discussion details from this event will be posted to the NM HOPE Initiative website and available to the public at www.hopeinitiativenm.org.
WHO:
U.S. Attorney Damon P. Martinez
Michael Brasher, General Manager, KANW
WHAT:
Guest Appearance on KANW’s Morning Edition broadcast to discuss New Mexico’s Heroin and Opioid Epidemic
WHEN:
Thursday, Sept. 22, 2016, 6:00 am to 8:00 am
WHERE:
KANW 89.1FM
The HOPE Initiative was launched in Jan. 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national heroin and 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, Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC) 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 Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
MEDIA ADVISORY- HOPE Initiative Partners Discuss Dangers of Heroin and Opioid Misuse and Abuse with High School Students in AlbuquerqueRead the Press Release
HOPE Initiative’s National Heroin and Opioid Awareness Week Event to be Held on September 22, 2016 at Freedom High School
ALBUQUERQUE – The New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative, a partnership between the UNM Health Sciences Center and the U.S. Attorney’s Office, is hosting a series of education events during National Heroin and Opioid Awareness Week, Sept. 19-24, 2016.
The HOPE Initiative’s Awareness Week events include two education programs at Freedom High School in Albuquerque, N.M., on Sept. 22, 2016. U.S. Attorney Damon P. Martinez, and Brittany Haggard and Jordan Barton, Pharm. D. candidates at the UNM College of Pharmacy who are part of Generation Rx, will discuss the dangers associated with heroin and prescription opioid misuse and abuse with students at Freedom High School. Generation Rx is an educational outreach program of the UNM College of Pharmacy that educates middle school, high school and college students, parents and senior citizens about the dangers of prescription drug misuse. Discussion details from this event will be posted to the NM HOPE Initiative website and available to the public at www.hopeinitiativenm.org.
Freedom High School is part of the Albuquerque Public School system. It was founded in 1970 and established as an alternative school. The school population is small with 160 enrolled. Classes are generally 20 students or less with an emphasis on a strong relationship between advisee and advisor. Freedom High School fosters a “strong sense of community ... from a culture of tolerance and compassion, open communication, and active student engagement and participation.” Freedom High School’s mission is to provide “a small, safe, personalized learning environment where students are supported and challenged.” Its primary goal is to help all students maximize their potential and graduate high school and successfully pursue post high school goals.
WHO:
U.S. Attorney Damon P. Martinez
Brittany Haggard, Pharm. D. Candidate at the UNM College of Pharmacy & Chairperson of Generation Rx
Jordan Barton, Pharm. D. Candidate at the UNM College of Pharmacy & member of Generation Rx
WHAT:
Education programs about the dangers associated with heroin and prescription opioid misuse and abuse with students at Freedom High School
WHEN:
Thursday, Sept. 22, 2016
Programs to begin at 10:30 am and 11:30 am
WHERE:
Freedom High School
5200 Cutler Ave NE
Albuquerque, NM
OPEN PRESS
NOTE: All media must present government-issued photo I.D. (i.e., driver’s license) and valid media credentials. Media may take photographs and video-record as long as the students’ faces are not visible. Media may begin to arrive at 10:15 am. Inquiries regarding logistics should be directed to Alyssa Ferda at 505-224-1480 or [email protected].
The HOPE Initiative was launched in Jan. 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national heroin and 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, Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC) 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 Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
Lusby Man Sentenced to 17 Years in Federal Prison for Production of Child PornographyRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Jose Antonio Jaramillo, age 55, of Lusby, Maryland, today to 17 years in federal prison, followed by 15 years years of supervised release, for production of child pornography. Judge Grimm also ordered that upon his release from prison, Jaramillo must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Special Agent in Charge Clark E. Settles of HSI Washington D.C.; Calvert County Sheriff Mike Evans; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to his plea agreement, from at least December 2014 through July 2015, Jaramillo, posing as a teenaged male named “Tommy James,” “Thomas James Jones,” or “Thomas James,” used email, applications on cellular phones and social media sites to induce, coerce and entice more than five minor female victims between the ages of 13 and 16 to send him sexually explicit images of themselves over the internet.
Jaramillo admitted that, using the “Tommy James” persona, he had or attempted to have sexually explicit conversations with at least 14 minor females and induced at least seven victims to produce sexually explicit images and videos of themselves and transmit those images to Jaramillo.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended HSI Baltimore and Washington, D.C, the Calvert County Sheriff’s Office, and the Maryland State Police Internet Crimes Against Children Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Ray D. McKenzie and Kristi N. O’Malley, who prosecuted the case.
Leader of New Haven Heroin Ring Pleads GuiltyRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that WILSON VASQUEZ, also known as “Will” and “Pancho,” 43, of New Haven, pleaded guilty yesterday before U.S. District Judge Victor A. Bolden in Bridgeport to heading a large heroin distribution ring.
This matter stems from a joint investigation headed by the DEA New Haven Task Force, FBI and New Haven Police Department into the distribution of heroin in New Haven. The investigation, which included the use of court-authorized wiretaps, physical surveillance and controlled purchases of heroin, revealed that VASQUEZ obtained bulk quantities of heroin, processed and packaged the drug with several co-conspirators, and then distributed the drug through a network of street-level distributors operating in the area of Ferry Street, Grand Avenue and Blatchley Avenue in New Haven’s Fair Haven neighborhood.
During the investigation, law enforcement seized approximately 500 grams of raw heroin, three handguns and five vehicles. In addition, bank accounts containing more than $300,000 have been frozen.
Seventeen individuals were charged as a result of this investigation. All 17 have pleaded guilty.
VASQUEZ pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin, an offense that carries a minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years. A sentencing date is not yet scheduled.
VASQUEZ has been detained since his arrest on July 15, 2015.
The DEA New Haven Task Force includes participants from the New Haven, Hamden, West Haven, North Haven, East Haven, Branford, Ansonia, Meriden and Derby Police Departments, and the U.S. Marshals Service.
This case is being prosecuted by Assistant U.S. Attorneys H. Gordon Hall and Patrick Caruso.
KC Man Faces Additional Firearms Charges After Fatal CollisionRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was indicted by a federal grand jury today on additional firearms charges following a three-vehicle collision in which he struck and killed another motorist.
Keith L. Carnes, 27, of Kansas City, was charged in a three-count indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Carnes on Sept. 1, 2016, and includes additional charges. Carnes remains in federal custody without bond.
The federal indictment charges Carnes with being a felon in possession of a firearm and with two counts of being an unlawful drug user in possession of a firearm.
According to the indictment, Carnes was in possession of a Bersa Thunder .380-caliber semi-automatic handgun on Aug. 30, 2016. The indictment also alleges that Carnes was in possession of a Glock .45-caliber pistol on Feb. 10, 2013.
According to an affidavit filed in support of the original criminal complaint, police officers responded to an accident at the intersection of 63rd Street and Prospect Avenue in Kansas City, Mo., at 8:32 p.m. on Aug. 30, 2016. Three vehicles were involved in the accident, including a 2008 Pontiac G6 driven by Carnes. Witnesses told police officers that the Pontiac, which had multiple bullet holes in the driver’s side doors, was traveling southbound on Prospect Avenue at a high rate of speed and failed to stop for the red traffic signal. The Pontiac struck a Dodge Ram, which was westbound on 63rd Street, killing the driver and causing it to strike a Nissan Quest and a pole on the southwest corner of the intersection.
Carnes, who had blood on his t-shirt, told officers, “I have been shot, I know I have been shot,” the affidavit says. Police officers broke a window in the Pontiac so they could reach Carnes and provide medical assistance. Officers saw a bag of suspected marijuana and a Bersa Thunder .380-caliber semi-automatic handgun on the floorboard, according to the affidavit. The handgun had blood on it. Carnes was transported by Emergency Medical Service to an area hospital for treatment. The driver of the Dodge Ram was transported to an area hospital where he was pronounced dead.
Under federal law, it is illegal for anyone who has been convicted of a felony or is an unlawful user of a controlled substance to be in possession of any firearm or ammunition. Carnes has two prior felony convictions for assault.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Trey Alford. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Justice Department Reaches Settlement to Address and Prevent Sexual Assault and Harassment at Wheaton CollegeRead the Press Release
The Justice Department reached a resolution agreement today with Wheaton College in Massachusetts to ensure the college implements a swift and effective response to allegations of sexual assault and harassment involving students.
In August 2015, after receiving a complaint regarding Wheaton’s handling of a report of sexual assault, the department initiated an investigation and compliance review under Title IX of the Education Amendments of 1972, which prohibits sex discrimination in education programs and activities receiving federal financial assistance. The department reviewed Wheaton’s handling of sexual assault and harassment complaints over an approximately three and a half-year period, as well as its policies, grievance procedures, training and student education efforts.
The agreement details specific steps Wheaton will take to:
- revise its policies, procedures and investigative practices to provide a grievance process that ensures prompt and equitable resolution of sexual assault and harassment allegations;
- adequately investigate and respond to allegations of retaliation by students who have alleged sexual harassment or assault;
- take sufficient action to fully eliminate a hostile environment based on sex, prevent its recurrence and remedy its effects; and
- ensure that the individuals designated to coordinate its Title IX efforts receive adequate training and coordinate these efforts effectively.
“We commend Wheaton College and President Hanno for their cooperation in our review as well as their work to foster a safe and healthy campus environment where all students can achieve their full potential,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “This agreement will protect the civil rights of all students and ensure the college uses a prompt, fair and reliable process for responding to allegations of sexual assault. We look forward to continuing our collaborative work.”
The prevention of sex-based discrimination is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division is available at www.justice.gov/crt.
Wheaton Settlement AgreementJefferson County man charged with illegal possession of a firearmRead the Press Release
MARTINSBURG, WEST VIRGINIA – A federal grand jury returned an indictment charging Jeremiah David Wallace, 28, of Ranson, West Virginia with illegal possession of a firearm, United States Attorney William J. Ihlenfeld, II, announced.
In November 2015, Wallace was allegedly found in possession of multiple firearms in Berkeley County, WV. Wallace, having been convicted of a felony in Frederick County, Virginia, is prohibited from possessing firearms.
Wallace was charged with two counts of “Felon in Possession of Firearm.” He faces up to ten years in prison and a fine up to $250,000 for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn M. Adkins is handling the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Ranson Police Department are investigating.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Jefferson City Man Pleads Guilty to Distributing K2Read the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Jefferson City, Mo, man pleaded guilty in federal court today to distributing synthetic cannabinoids, also known as K2, at a Holts Summit, Mo., business.
Billie L. Bruce, 36, of Jefferson City, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth to the charge contained in an April 20, 2016, federal indictment.
By pleading guilty today, Bruce admitted that he sold synthetic cannabinoids to an undercover law enforcement officer on July 16, 2015, while working at S&J Tobacco in Holts Summit. Bruce told officers that he had been employed at the store for three or four months.
Officers executed a search warrant at S&J Tobacco the same day and seized 2,241.5 grams of synthetic cannabinoids and a Hi-Point .40-caliber handgun, which was located next to the cash register.
Under federal statutes, Bruce is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the DEA Task Force – Jefferson City, DEA Sacramento, Calif., DEA Reno, Nev., IRS-Criminal Investigation, the Missouri State Highway Patrol, the MUSTANG Drug Task Force, the Callaway County, Mo., Sheriff’s Department, the Cole County, Mo., Sheriff’s Department, the Jefferson City, Mo., Police Department, the Fulton, Mo., Police Department and the Holts Summit, Mo., Police Department.
Indictment: Tribal Fire Chief Set Grass Fires Department Was Paid to FightRead the Press Release
TOPEKA, KAN. - The former chief of the Kickapoo Tribal Volunteer Fire Department was indicted Wednesday on federal charges of setting fires the tribe was paid to fight, Acting U.S. Attorney Tom Beall said. Also indicted was a former volunteer firefighter.
Stephen D. Ramirez, 26, Horton, Kan., former chief, and Arlene M. Negonsott, 34, Horton, Kan., are charged with four counts of wire fraud. The indictment alleges Ramirez recruited Negonsott, a volunteer firefighter, to set fires on the Kickapoo Reservation from July to November 2015 that the Kickapoo fire department was called to fight.
The Kickapoo Tribe in Kansas contracted with the Bureau of Indian Affairs to provide fire suppression services on the reservation. The contract called for the bureau to pay the tribe $600 for each fire it fought. The indictment alleges the defendants set six fires on the reservation.
If convicted, the defendants face up to 20 years in federal prison and a fine up to $250,000 on each count. The U.S. Department of Interior – Office of Inspector General, the Kickapoo Tribal Police and the FBI investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Honduran National Pleads Guilty to Fraud and Misuse of Entry and Employment DocumentsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that OGER FRANCISCO ISAOLA-PALMA, age 34, a citizen of Honduras, pled guilty today to a one-count Bill of Information charging him with fraud and misuse of entry and employment documents in violation of Title 18, United States Code, Section 1546(a).
According to court records, ISAOLA-PALMA knowingly used, possessed and obtained a social security card using an alias, which he obtained unlawfully and fraudulently, knowing that the information used to obtain that card including correct name and country of origin were false.
ISAOLA-PALMA faces a maximum term of imprisonment of ten years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment. U.S. District Judge Martin L.C. Feldman set sentencing for January 18, 2017.
U.S. Attorney Polite praised the work of the U. S. Department of Homeland Security in investigating this matter. Assistant U. S. Attorney Michael M. Simpson is in charge of the prosecution.
Hancock Woman Pleads Guilty to Bank Embezzlement ChargeRead the Press Release
Contact: F. Todd Lowell
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Jodi L. Webber, 37, of Hancock, Maine, pleaded guilty in U.S. District Court to embezzling bank funds.
According to court documents, in September 2015, Webber was hired by Camden National Bank as a teller at its Bar Harbor (Town Hill), Maine branch. Between November 2015 and February 2016, Webber stole over $83,000 in cash from her teller drawer and concealed it by replacing it with money withdrawn from five customer account. These transactions were not authorized and she forged customer signatures on the withdrawal slips. She typically reversed those withdrawals on the same day that she made them after the bank’s cash audit had been completed. Her embezzlement scheme was discovered when a customer questioned an unauthorized withdrawal from the customer’s account. That inquiry caused the bank to conduct a comprehensive examination of the defendant’s transactions and to contact law enforcement.
Webber faces up to 30 years in prison and a $1,000,000 fine. She will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The case was investigated by the Federal Bureau of Investigation.
Gretna Man Sentenced for Whitney Bank RobberyRead the Press Release
U.S. Attorney Kenneth A. Polite announces that LAVERT LAYMON, age 27, of Gretna, was sentenced today after previously pleading guilty to a one count Indictment charging him with bank robbery.
U.S. District Judge Jay C. Zainey sentenced LAYMON to 33 months imprisonment, to be followed by 3 years of supervised release, and a $100 special assessment. Additionally, LAYMON was ordered to pay $1,721 in restitution to Whitney Bank.
According to court documents, on March 31, 2016, LAYMON committed the robbery of the Whitney Bank branch located at 3740 Elysian Fields. LAYMON pled guilty as charged to the Indictment on June 20, 2016.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation and the New Orleans Police Department in investigating this matter. Assistant United States Attorney Myles Ranier was in charge of the prosecution.
Grand Prairie, Texas Man Found Guilty of Making Bomb ThreatRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that ABDOLMAJID MOVAGHAR, age 40, of Grand Prairie, Texas, was found guilty by a federal judge for USE OF TELEPHONE TO MAKE BOMB THREAT, in violation of Title 18, United States Code, Section 844(e). The trial began with testimony on Wednesday, September 21, 2016 and concluded the same day with the guilty verdict.
Evidence at trial proved that on or about March 10, 2016, in the Eastern District of Oklahoma, the defendant, ABDOLMAJID MOVAGHAR, did, through use of a telephone, make a threat to kill, injure and intimidate any individual and to damage and destroy a building, vehicle, or other real or personal property, by means of fire and explosive, in and affecting interstate commerce.
The investigation revealed that MOVAGHAR, a Naturalized American Citizen, called the Chickasaw Nation Police Department on several occasions, yelling and threatening to “blow them up” if he did not get his car back. The car was impounded after MOVAGHAR was arrested the previous month.
The verdict obtained was the result of an investigation by the Chickasaw Nation Lighthorse Police Department and the Bureau of Indian Affairs.
The Honorable Ronald A. White, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the trial and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendant was remanded into the custody of the United States Marshals Service pending sentencing.
The statutory range of punishment is up to 10 years of imprisonment, up to $250,000.00 or both.
Assistant United States Attorney Edward Snow represented the United States.
Georgia Woman Pleads Guilty to Methamphetamine ChargesRead the Press Release
U.S. Attorney Kenneth A. Polite announced that APRIL NICOLE GRIZZARD, age 32, of Atlanta, pled guilty today to two counts of a Superseding Indictment, which charged her with conspiracy to possess with intent to distribute fifty grams or more of methamphetamine, and possession with intent to distribute fifty grams or more of methamphetamine.
According to court documents, in September of 2014, a woman in Atlanta agreed to deliver one-half pound of methamphetamine to an undercover Drug Enforcement Administration (DEA) Special Agent in Metairie. The woman employed an individual named ALLISON CHRISWELL to deliver the drugs. GRIZZARD, who assisted in obtaining the drugs for delivery, accompanied CHRISWELL to Metairie to deliver the drugs. When GRIZZARD and CHRISWELL arrived in Metairie with the methamphetamine, they were arrested by DEA Agents.
For each count, GRIZZARD faces a minimum term of ten years imprisonment, a maximum of life imprisonment, and a fine of $10,000,000. U.S. District Judge Martin L.C. Feldman set sentenced for January 25, 2017.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration in investigating this matter. Assistant U.S. Attorney Andre’ Jones is in charge of the prosecution.
Fugitive Sentenced in Absentia to More Than Eight Years for Dealing in Synthetic CannabinoidsRead the Press Release
Orlando, FL – U.S. District Judge Paul G. Byron today sentenced Imad Rawhi Al-Qattawi (47, Ramallah, Palestine) in absentia to eight years and one month in federal prison for distributing and possessing with the intent to distribute UR-144, a synthetic cannabinoid. Synthetic cannabinoids are a group of drugs that are often marketed by such names as “K2” and “Spice.” Al-Qattawi pleaded guilty on October 29, 2015, but later failed to appear at his sentencing hearing on January 13, 2016.
According to court documents, Al-Qattawi was a manufacturer and dealer of “Bizarro,” a brand of synthetic cannabinoid containing UR-144. During the investigation, agents purchased more thanb 5 kilograms of “Bizarro” from Al-Qattawi over a series of transactions. When Al-Qattawi was arrested, agents found over 5 additional kilograms of “Bizarro” in his van belonging.
This case was investigated by the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Vincent S. Chiu.
Former School Teacher Sentenced to 15 Years Imprisonment for Transportation of PornographyRead the Press Release
U.S. Attorney Kenneth A. Polite announced that DON FRANCIS, JR., age 46, of Metairie, was sentenced today after previously pleading guilty to crimes involving the sexual exploitation of children.
U.S. District Judge Sarah S. Vance sentenced FRANCIS to serve 15 years imprisonment to be followed by a lifetime term of supervised release. FRANCIS was also ordered to pay restitution in the amount of $8,000 and he will be required to register as a sex offender under the Sex Offender Registration Notification Act.
According to court records, on February 5, 2014, Special Agents with the U.S. Department of Homeland Security-Homeland Security Investigations (“HSI”) assisted the Louisiana Department of Justice and the Jefferson Parish Sheriff’s Office with the execution of a search warrant at FRANCIS’s residence in Metairie. HSI computer forensic agents located 5,378 images and 362 videos depicting the sexual victimization of children (some of whom were infants) on FRANCIS’s computer.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
United States Attorney Polite praised the work of the U. S. Department of Homeland Security-HSI, the Louisiana Department of Justice, and the Jefferson Parish Sheriff’s Office in investigating this matter. Project Safe Childhood Coordinator and Fraud Unit Chief, Assistant U. S. Attorney Brian M. Klebba was in charge of the prosecution.
Former Director of World Ambassadors, LTD Sentenced for Tax EvasionRead the Press Release
CEDAR RAPIDS, IA--A Cedar Rapids man who admitted filing a fraudulent income tax return was sentenced yesterday to 8-months imprisonment.
Jon S. Petersen, 55, from Cedar Rapids, Iowa, received the prison term after a guilty plea to one count of filing a false tax return.
At his guilty plea hearing, Petersen admitted to filing a fraudulent income tax return for calendar year 2013. The return failed to include as income donations he diverted from World Ambassadors into his own personal checking account. In a plea agreement, Petersen admitted he used approximately $114,581 of those funds in 2013 for his own personal use, and such funds constituted taxable income to him. From 2005-2015, Petersen claimed to struggle with a sex addiction. It became costly so Petersen would pay for this addiction through his credit cards, home equity lines of credit, and World Ambassadors donations. World Ambassadors is a nonprofit corporation.
Petersen was sentenced in Cedar Rapids by United States District Court Judge Leonard T. Strand. Petersen will serve three months in Bureau of Prisons custody and five-months home confinement. A special assessment of $100.00 was imposed, and he was ordered to make $79,732.35 in restitution to donors of World Ambassadors. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Petersen was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set.
The case was prosecuted by Assistant United States Attorney Matt Cole and investigated by the Internal Revenue Service. Court file information at: https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 16-CR-39-LTS.
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Five Indicted for Massive Fraud Perpetrated Against Starkey LaboratoriesRead the Press Release
United States Attorney Andrew M. Luger today announced a federal indictment charging JEROME RUZICKA, SCOTT NELSON, LAWRENCE MILLER, JEFFREY TAYLOR, and LAWRENCE HAGEN with conspiring to steal more than $20 million from Eden Prairie-based Starkey Laboratories, Inc. (Starkey) and its principal owner William F. Austin. The defendants are expected to make initial appearances in U.S. District Court in Minneapolis later this week.
“This indictment describes a massive and long running fraud scheme against a corporation by those in positions of trust,” said U.S. Attorney Luger. “The defendants carried out a complex scheme to accomplish a simple goal: to embezzle funds for their own benefit. Our federal law enforcement partners at the FBI, IRS, and U.S. Postal Inspection Service conducted a thorough investigation that exposed the defendants’ greed and abuse of trust.”
“The charges today demonstrate an unrelenting effort by the FBI and our law enforcement partners to bring to justice those who are involved in corporate fraud schemes,” said FBI Special Agent in Charge for the Minneapolis Division Richard T. Thornton. “The FBI will continue to aggressively investigate business executives and others who misuse their positions for personal enrichment.”
“The indictment of these executives alleges the misuse of their positions of trust within their corporations,” said SAC Shea Jones IRS Criminal Investigation of the St. Paul Field Office. “High-ranking corporate officials hold positions of trust not only in their companies but also in the eyes of the public. That trust is broken when such officials abuse their power and commit crimes.”
“Postal Inspectors take very seriously their mission to deter the illegal use of the mail for any criminal activity,” said Postal Inspector in Charge, Craig Goldberg. “We are committed to working together with our law enforcement partners to identify, investigate and bring to justice those who would attempt to mask their criminal activity through the use of the mail.”
According to the indictment, between 2006 and September 2015, the defendants conspired to embezzle and misappropriate money and business opportunities belonging to Starkey and Sonion, a major supplier of hearing aid components to Starkey. The co-conspirators deployed various tactics to steal from Starkey, including controlling a complicated web of sham companies and dummy entities, surreptitiously awarding themselves restricted stock in Starkey’s retail affiliate, and embezzling money from the company by causing payments to be made by Starkey for the benefit of the co-conspirators and others.
According to the indictment, in 2006, RUZICKA and TAYLOR created a sham company called, Archer Consulting. RUZICKA caused Starkey to pay Archer Consulting “commission” payments for purported sales of hearing aid components from Sonion, where TAYLOR served as president. In 2010, RUZICKA and TAYLOR changed the description of the fraudulent payments from “commissions” to “consulting fees.” Thereafter, RUZICKA caused Starkey to begin paying consulting fees to Archer Consulting of $75,000 per month. Between 2006 and 2015, RUZICKA and TAYLOR stole approximately $7,650,000 through their sham company.
According to the indictment, RUZICKA, TAYLOR and HAGEN controlled two dummy entities, Claris Investments and Archer Acoustics. TAYLOR falsely represented to Sonion that these entities were Starkey affiliates, thereby securing Starkey’s discounted pricing on hearing-aid components for Claris and Archer Acoustics. RUZICKA, TAYLOR, and HAGEN, used their entities to purchase the discounted products that they later re-sold to other manufacturers to obtain illicit profits. At times, the illicit profits came in the form of fraudulent commissions and rebates. The defendants obtained at least $600,000 in profits, commissions and rebates by fraudulently leveraging Starkey’s purchasing power for their own benefit.
Another facet of this scheme was related to Starkey’s retail affiliate, Northland US, LLC, which Austin created in 2002. He was the sole owner. The purpose of Northland LLC was to acquire and operate retail hearing aid establishments. In 2006, without Austin’s knowledge, RUZICKA and NELSON surreptitiously transferred Northland LLC’s assets to a new entity they controlled, Northland Hearing Centers, Inc. They forged Austin’s signature to complete the transfer of assets, later awarded themselves restricted stock, and ultimately paid themselves and another individual approximately $15 million in exchange for terminating the restricted stock grants.
According to the indictment, RUZICKA, NELSON and MILLER also abused their positions of authority as Starkey executives to embezzle money and fraudulently obtain benefits from Starkey. RUZICKA awarded himself and other co-conspirators hidden bonuses that were concealed from Austin by falsifying compensation reports.
For example, according to the indictment, in 2014, RUZICKA embezzled $200,000 from Starkey under the guise of “officer’s insurance.” He used those funds to pay his state and federal personal income taxes. RUZICKA also stole a 2011 Jaguar automobile that Starkey purchased for his use at a cost of $119,188.77. Starkey paid the fees, insurance premiums, and other costs associated with the automobile. Nevertheless, in July 2015, RUZICKA transferred ownership of the car from Starkey to himself by signing the title as both representative of the seller and also as the buyer. He did not pay Starkey for the vehicle, nor was it reported as a taxable benefit.
According to the indictment, NELSON used more than $200,000 in Starkey funds to purchase a condominium so that he could carry on a clandestine personal relationship with a Starkey employee. He further stole $225,000 to replenish his personal investment account after he bought a home in Prior Lake, Minn. To conceal this theft, NELSON prepared a phony “promissory note” to disguise this illicit payment as a loan from Starkey. He never reported the “loan” on Starkey’s loan register and has made no payments on the “loan.”
In total, RUZICKA, NELSON, MILLER, TAYLOR and HAGEN are alleged to have conspired to steal more than $20 million from Starkey and Sonion.
When some details of the scheme were discovered in September 2015, RUZICKA, NELSON and MILLER were terminated by Starkey. TAYLOR was also terminated by Sonion when Sonion became aware of the fraud.
This case is the result of an investigation conducted by the FBI, Criminal Investigation Division of the IRS, and the United States Postal Inspection Service.
Assistant U.S. Attorneys Benjamin Langner and Lola Velazquez-Aguilu are prosecuting the case.
Defendant Information:
JEROME C. RUZICKA, 59
Plymouth, Minn.
Charges:
- Conspiracy to commit mail fraud and wire fraud, 1 count
- Mail fraud, 6 counts
- Wire fraud, 16 counts
- Conspiracy to commit money laundering, 2 counts
- Financial transactions involving fraud proceeds, 4 counts
SCOTT A. NELSON, 58
Prior Lake, Minn.
Charges:
- Conspiracy to commit mail fraud and wire fraud, 1 count
- Mail fraud, 2 counts
- Wire fraud, 2 counts
- Financial transactions involving fraud proceeds, 1 count
W. JEFFREY TAYLOR, 55
Cologne, Minn.
Charges:
- Conspiracy to commit mail fraud and wire fraud, 1 count
- Mail fraud, 4 counts
- Wire fraud, 10 counts
- Conspiracy to commit money laundering, 2 counts
- Financial transactions involving fraud proceeds, 4 counts
LAWRENCE W. MILLER, 63
Chanhassen, Minn.
Charges:
- Conspiracy to commit mail fraud and wire fraud, 1 count
- Wire fraud, 4 counts
LAWRENCE T. HAGEN, 63
Minnetonka, Minn.
Charges:
- Conspiracy to commit mail fraud and wire fraud, 1 count
- Wire fraud, 3 counts
- Conspiracy to commit money laundering, 1 count
###
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
The charges contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Five Correction Officers Charged with Federal Crimes in Beating of Inmate at Downstate Correctional Facility and Cover-UpRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), William V. Grady, the District Attorney of Dutchess County, and Anthony J. Annucci, Acting Commissioner of the New York State Department of Corrections and Community Supervision (“DOCCS”), announced today criminal charges against five New York State correction officers relating to the November 12, 2013 beating of Kevin Moore, an inmate at the Downstate Correctional Facility (“Downstate”) in Fishkill, New York, and a conspiracy to cover-up the beating. Two of the correction officers have pled guilty to the charges filed against them.
Three defendants are charged by Indictment: a former Sergeant named KATHY SCOTT, also known as Kathy Todd, and former correction officers GEORGE SANTIAGO JR. and CARSON MORRIS. All three defendants are charged with federal civil rights offenses, including conspiring to deprive the victim of his Constitutional rights and depriving the victim of his Constitutional rights under color of law, as well as two counts of obstructing justice by conspiring to file false reports and filing false reports with DOCCS.
Two defendants, former correction officers DONALD COSMAN and ANDREW LOWERY, are charged by felony Informations. They have both pled guilty to four counts: conspiring to deprive the victim of his Constitutional rights; depriving the victim of his Constitutional rights under color of law; obstructing justice by conspiring to file false reports; and filing false reports.
Manhattan U.S. Attorney Preet Bharara said: “Today’s charges allege a brutal beating and a brazen cover-up by five state correction officers that left Kevin Moore, a 54-year-old inmate, with life-threatening injuries and in the hospital for 17 days. Inmates may be walled off from the public, but they are not walled off from the Constitution. And when correction officers viciously beat an inmate in their charge, then collude among themselves to cover it up – as alleged here – they trample on the Constitution and the very laws they have sworn to uphold.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “What we see in this case is the sheer deprivation of liberty without due process of law. As charged, the defendants were relentless in their approach to admonish Moore for speaking up – brutally beating him with their boots and batons. In an outward symbol of inner immorality, one of the officers allegedly boasted of the group’s illicit conduct by referring to the dreadlocks ripped from Moore’s scalp as souvenirs. This type of behavior is outrageous, and it won’t be tolerated within our criminal justice system.”
Dutchess County District Attorney William V. Grady said: “The Grand Jury indictment and existing pleas in this case would not have happened were it not for the close cooperation and partnership between my Office and United States Attorney Preet Bharara and his staff. I sincerely compliment Mr. Bharara for his willingness to take the lead in this investigation after it became apparent that existing New York State Law would make it extremely difficult, if not impossible, for us to conduct an effective investigation at the State level.”
Department of Corrections and Community Supervision Acting Commissioner Anthony J. Annucci said: “These five individuals not only allegedly broke the trust placed in them by their fellow correction officers – they broke the law as well. DOCCS has zero tolerance for any criminal activity involving staff or inmates within our facilities. This announcement sends a strong message that we will pursue anyone that fails to uphold the integrity and professionalism that we place in our Department. I commend DOCCS Office of Special Investigations, the FBI, and the U.S. Attorney’s Office for their cooperation in bringing these individuals to justice.”
As alleged in the Indictment unsealed today[1], on November 12, 2013, a 54-year-old inmate named Kevin Moore was brutally beaten by a group of Downstate correction officers, causing life-threatening injuries. As a result of the beating, Moore suffered five fractured ribs, a collapsed lung, and several facial fractures. The officers also injured Moore’s back, hands, legs, and feet, and they ripped a clump of dreadlocks from his head. Moore was ultimately hospitalized for approximately 17 days.
At approximately 5:00 p.m. that day, Moore and other Downstate inmates were escorted to the 1-Delta Housing Unit to be confined overnight. Moore and another inmate were instructed to remove their shoelaces because they were going to be confined in Forensic Diagnostic Unit cells, which are designed for inmates with mental health issues. SCOTT, SANTIAGO, MORRIS, COSMAN, LOWERY, and other correction officers were surrounding the inmates when Moore objected to being confined in a mental health cell, saying he had a good lawyer and that he was “a monster.” MORRIS punched Moore and struck him with his correction officer baton. Several of the officers then threw Moore to the floor.
After the officers forced Moore to the ground, the defendants beat Moore for several minutes, striking him dozens of times. Defendant SANTIAGO kicked and punched Moore multiple times, and at one point, reared back and kicked Moore in the face, and then laughed. Defendant MORRIS punched and struck Moore with his knee multiple times while Moore was prone on the floor. Moore’s pants fell down during the beating, and COSMAN and LOWERY punched and kicked him in his exposed groin as he lay on the floor. Both SCOTT and SANTIAGO taunted Moore by saying, “Who’s a monster now?” During the beating, dreadlocks were ripped from Moore’s head and SANTIAGO later retrieved the dreadlocks, saying that he wanted to keep them as a souvenir for his motorcycle.
Sergeant SCOTT was present for and watched over the entire beating without stopping the violence. At one point while Moore was on the floor being beaten, SCOTT grabbed him herself. She also directed that Moore be held in place on the ground, rendering him even more exposed to punches and kicks. While Moore was being beaten, he cried out in pain, begged for the beating to stop, and pleaded with Sergeant SCOTT, “Why, Sarge, why? Make it stop.”
After the beating, the correction officers needed to physically lift Moore from the ground, where he was lying in a pool of his own blood. Moore suffered several fractured ribs, several facial fractures, and a collapsed lung, in addition to other injuries. Instead of being sent to the hospital for treatment, Moore was locked into solitary confinement to suffer in pain overnight.
Soon afterward, defendants SANTIAGO, MORRIS, and COSMAN met to fabricate a story to justify the excessive force used against Moore. Although they knew it was not true, SANTIAGO, MORRIS and COSMAN agreed that COSMAN would pretend to have been injured by Moore at the beginning of the incident, in order to justify the excessive force used against Moore. To substantiate that cover story, SANTIAGO struck COSMAN on the back with a baton, causing marks. SCOTT took photographs of the marks to document the group’s cover story. SCOTT, SANTIAGO, MORRIS, LOWERY, and COSMAN also agreed to make false reports supporting the cover story.
Defendants KATHY SCOTT, GEORGE SANTIAGO JR., and CARSON MORRIS were taken into custody today. SCOTT and SANTIAGO will be presented before United States Magistrate Judge Lisa Margaret Smith today in federal court in White Plains, New York. MORRIS was arrested in Coconut Creek, Florida, and was presented today before a federal judge in Ft. Lauderdale, Florida.
SCOTT, 42, of Saugerties, New York, SANTIAGO, 34, of Fremont Center, New York, and MORRIS, 31, of Coconut Creek, Florida, are each charged with one count of deprivation of rights under color of law, which carries a maximum penalty of 10 years in prison; one count of conspiracy to deprive civil rights, which carries a maximum penalty of 10 years in prison; one count of falsifying documents, which carries a maximum penalty of 20 years in prison; and one count of conspiring to falsify documents, which carries a maximum penalty of five years in prison.
The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by the judge.
Mr. Bharara praised the investigative work of the FBI, the Criminal Investigators at the United States Attorney’s Office, the Dutchess County District Attorney’s Office, and the New York State Department of Corrections and Community Supervision’s Office of Special Investigations.
This case is being handled by the Office’s White Plains Division and the Civil Rights Unit. Assistant U.S. Attorneys Daniel P. Filor and Pierre G. Armand are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and SCOTT, SANTIAGO, and MORRIS are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Federal jury finds Florida man guilty of sexually assaulting Fort Polk officerRead the Press Release
LAKE CHARLES, La. – United States Attorney Stephanie A. Finley announced that a federal jury found a Florida man guilty Tuesday of sexually assaulting a female officer stationed at the Fort Polk Military Base.
Maurice Antuan Speights, 32, of Tallahassee, Fla., was found guilty of one count of sexual abuse. United States District Judge Patricia Minaldi presided over the trial, which started Monday and ended Tuesday with the jury returning the guilty verdict after deliberating for 50 minutes. According to testimony and evidence admitted at trial, the defendant, a civilian, was an acquaintance who was temporarily residing at a relative’s home in Leesville. Speights, the victim and a female friend went out for a night of drinking on October 20, 2013. At trial, the female friend testified about the events of the evening. She stated that the victim was so intoxicated that by the time the three returned to the female friend’s home, the victim passed out. The female friend and Speights had to carry the victim to an upstairs bedroom. An FBI agent testified that during an interview, Speights acknowledged engaging in sexual intercourse with the victim but claimed it was consensual. The victim took the stand during the two-day trial and testified that she had no memory of anything that occurred until she woke up in the middle of the night with the defendant sexually assaulting her.
The case was brought by the U.S. Attorney’s Office because the crime occurred on the Fort Polk Military Base where the United States has exclusive jurisdiction.
Speights faces up to a lifetime in prison, life of supervised release, registration as a sex offender and a $250,000 fine. Sentencing has been set for January 12, 2017.
The U.S. Army Criminal Investigation Command and the FBI conducted the investigation. Assistant U.S. Attorneys John Luke Walker and David C. Joseph are prosecuting the case.
Federal inmate sentenced for weapons violation at FCI BeckleyRead the Press Release
BECKLEY, W.Va. – A prison inmate was sentenced today to a year and three months for possession of a weapon, announced United States Attorney Carol Casto. Elliott Tubbs, Jr., 30, previously pleaded guilty in July 2016 to the federal crime. This new sentence will run consecutively to the sentence of five years that Tubbs is serving for being a felon in possession of a firearm.
Tubbs admitted that on February 20, 2016, while serving time as an inmate at the Federal Correctional Institution at Beckley, a staff member at the prison searched him and found a sharpened wooden object in his sock. The object, a handcrafted weapon, is commonly called a “shank.”
This case was investigated by the Federal Bureau of Prisons. Assistant United States Attorney John File is responsible for the prosecution. United States District Judge Irene C. Berger imposed the sentence.
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Federal Jury Convicts Fort Hall Man of Unlawful Possession of AmmunitionRead the Press Release
POCATELLO - Frank R. Ish, 58, of Fort Hall, Idaho, was convicted yesterday by a federal jury in Pocatello of unlawful possession of ammunition, U.S. Attorney Wendy J. Olson announced. Ish was charged by indictment on January 27, 2015.
According to the evidence presented at trial, on October 15, 2014, Fort Hall Police officers observed a box of 30-06 ammunition in Ish’s vehicle, during an investigation of a disturbance at Ish’s residence. Because Ish had been previously convicted of a felony, he was prohibited from possessing ammunition under federal law.
Sentencing is set for December 14, 2016, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello. Ish faces up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Federal Bureau of Investigation (FBI) and Fort Hall Tribal Police.
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Federal Grand Jury Indicts Baltimore Man for Series of Commercial RobberiesRead the Press Release
Baltimore, Maryland – A federal grand jury charged Sean Hill, age 26, of Baltimore, today to with 11 counts of commercial robbery committed over a three month period. The indictment was returned on September 20, 2016.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Kevin Davis of the Baltimore Police Department; Chief James W. Johnson of the Baltimore County Police Department; and Chief Gary Gardner of the Howard County Police Department.
According to the 11-count indictment, from November 13, 2015 to January 6, 2016, Hill robbed six check cashing stores, three motels, a shoe store, and a garage. Specifically, the indictment alleges that Hill robbed the following Baltimore stores: Dolfield Money Center on Dolfield Avenue; Ace Cash Express stores on Patapsco, Clifton (twice), and Greenmount Avenues; America’s Cash Express on York Road; Payless Shoe Source on Liberty Road; Motel 6 on Whitehead Court; Gwynns Falls Auto on Gwynns Falls Parkway; and the Knights Inn on Security Boulevard. Hill also allegedly robbed the Holiday Inn on Washington Boulevard in Jessup.
If convicted, Hill faces a maximum sentence of 20 years in prison on each of the 11 counts. No court appearance has been scheduled for Hill in U.S. District Court in Baltimore. Hill is currently detained on related state charges.
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.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore City, Baltimore County and Howard County Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney John W. Sippel, Jr., who is prosecuting the case.
Executive Office for Immigration Review Announces New Chief Immigration JudgeRead the Press Release
FALLS CHURCH, Va. – The Executive Office for Immigration Review (EOIR) today announced Attorney General Loretta E. Lynch’s appointment of MaryBeth Keller to the position of chief immigration judge. In this capacity, Judge Keller is responsible for overseeing the administration of EOIR’s 58 immigration courts across the United States.
“After a very careful selection process, I am pleased to announce EOIR’s next chief immigration judge,” said Director Juan P. Osuna. “Judge Keller’s 28 years of experience at EOIR provide her with an in-depth knowledge of the agency’s history and operations, which will greatly assist her in leading our immigration judge corps during this time of tremendous change, challenge, and opportunity for the Nation’s immigration court system.”
Biographical information follows.
MaryBeth Keller, Chief Immigration Judge
Attorney General Loretta E. Lynch appointed MaryBeth Keller as the chief immigration judge in September 2016. Immediately prior to her current position, and beginning in February 2008, Judge Keller served EOIR as the assistant chief immigration judge (ACIJ) for issues of judge conduct and professionalism. She also supervised courts and served as the agency representative and chief negotiator dealing with the National Association of Immigration Judges employee union. Judge Keller received a Bachelor of Arts degree in 1984 from the Catholic University of America and a Juris Doctor in 1987 from the University of Virginia School of Law. From July 2004 to February 2008, Judge Keller served as general counsel at EOIR. During that time, from July 2006 to February 2008, she served as acting ACIJ for Conduct and Professionalism, and from October 2004 to April 2006, she served as acting chief administrative hearing officer. From 1988 to 2004, Judge Keller served as a senior manager and as an attorney at the Board of Immigration Appeals, EOIR. From 1987 to 1988, she served as a judicial law clerk in the 5th Judicial District of Iowa, in Des Moines, Iowa. Judge Keller is a member of the Iowa State Bar.
East Carondelet Man Pleads Guilty to Distribution and Receipt of Child Pornography and Possession of Prepubescent Child PornographyRead the Press Release
Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today that on September 20, 2016, Richard Lee Doerr, III, 29, formerly of East Carondelet, IL, pled guilty to a five-count Superseding Indictment charging him with Distribution of Child Pornography (Count 1), three counts of Receipt of Child Pornography (Counts 2-4), and Possession of Prepubescent Child Pornography (Count 5). On Counts 1-4, Doerr faces a term of imprisonment of not less than five but not more than twenty years, a fine up to $250,000, and a term of supervised release of five years to life. On Count 5, Doerr faces a term of imprisonment of not more than twenty years, a fine up to $250,000, and a term of supervised release of five (5) years to life. Doerr has been detained since his arraignment on February 12, 2016. His sentencing date is January 13, 2017, in East St. Louis, Illinois.
The investigation of Doerr began in December 2013 when the National Center for Missing and Exploited Children received a report from Tumbler regarding an individual who had uploaded images that appeared to be child pornography. Law enforcement eventually tracked the e-mail address associated with the Tumbler account to Doerr. In voluntary statements to investigating law enforcement agents, Doerr admitted to downloading, possessing, and sharing child pornography over the internet. A forensic review of Doerr’s cellular telephone and tablet computer revealed numerous images and video files of child pornography.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case was investigated by the FBI’s Springfield Child Exploitation Task Force. The case is assigned to Assistant United States Attorney Angela Scott.
Dominican Man Pleads Guilty to Illegally Reentering the United States After Having Been Previously DeportedRead the Press Release
CONCORD, NEW HAMPSHIRE –United States Attorney Emily Gray Rice announced today that Filipe Villar-Arias, of the Dominican Republic, has pleaded guilty to reentering the United States after having been deported previously.
Villar-Arias pleaded guilty before United States District Chief Judge Joseph Laplante to an indictment that had been returned by a federal grand jury on July 27, 2016.
According to court filings and statements in court, a New Hampshire State Police Trooper contacted an Immigration and Customs Enforcement (ICE) Deportation Officer for assistance in identifying the defendant who was suspected of having previously obtained a New Hampshire driver’s license by presenting fraudulent identification and who was attempting to renew that license at the Manchester DMV. Records checks ultimately revealed that the defendant had been deported once previously to the Dominican Republic.
Villar-Arias will be sentenced at 10:00 AM on January 3, 2017, and faces likely deportation after serving his sentence.
The case was investigated by the U.S. Department of Homeland Security, Bureau of Immigration and Customs Enforcement. Assistant U.S. Attorney Alfred Rubega is prosecuting this case.
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District Man Pleads Guilty to Attacking Woman at Southeast Washington ParkRead the Press Release
WASHINGTON - Tayshawn Sellers, 18, of Washington, D.C., pled guilty today to a charge of assault with intent to kill while armed for attacking a woman earlier this year at a Southeast Washington park, U.S. Attorney Channing D. Phillips announced.
Sellers pled guilty in the Superior Court for the District of Columbia. The charge carries a statutory maximum of 30 years in prison. Under the court’s voluntary sentencing guidelines, he could face a range of 7 ½ to 15 years in prison; however, the court could impose a sentence outside of that range if it finds a substantial and compelling aggravating or mitigating factor. The Honorable Michael Ryan scheduled sentencing for Nov. 30, 2016.
According to the government’s evidence, on the evening of April 21, 2016, Sellers and his 18-year-old cousin went with the victim to a wooded area behind the baseball field in Benning Park, in the 5100 block of Southern Ave SE. During their encounter with the victim, Sellers and his cousin started to kick, punch, and hit her all over her body. They left her lying naked from the waist down, badly injured, bleeding, and unable to move.
Sellers later returned to the crime scene, where the victim was still lying motionless in the wooded area where he had left her. Sellers repeatedly smashed a glass bottle into the victim’s face as she lay on the ground. When she was found by law enforcement at about 7:30 the next morning, she was naked from the waist down, bleeding, on broken glass. She could not communicate with the officers. She had severe trauma to her head and face, including major swelling and multiple lacerations to her face. She suffered extensive injuries from the defendant’s actions and remains disabled. Sellers was arrested April 22, 2016 and has remained in custody ever since.
In announcing the plea, U.S. Attorney Phillips commended the work of the detectives of the Metropolitan Police Department’s Sexual Assault Unit. He also expressed appreciation to those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Lezlie Richardson, Paralegal Specialists Tierra Nanches and Angelina Slagle, and Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation. Finally, he acknowledged the efforts of Assistant U.S. Attorneys Julianne Johnston, Kenya Davis, and Anwar Graves, who are prosecuting the case.
District Court Awards Civil Penalties and Enters Permanent Injunction Against Former Vice President of Texas Debt Collection Company to Stop Deceptive PracticesRead the Press Release
The U.S. District Court for the Eastern District of Texas entered a stipulated order for permanent injunction and civil penalty judgment against David J. Devany, former vice president of Commercial Recovery Systems Inc. (CRS), of Plano, Texas, to prevent future deceptive and abusive debt collection practices, the Department of Justice announced today.
“Deceptive debt collection practices are an all too common problem,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “We at the Department of Justice will continue to work with the Federal Trade Commission and others to ensure that these practices stop and that those who engage in them are held accountable.”
CRS is a third-party debt collector that primarily collects auto loan and credit card debts on behalf of creditors. On Jan. 21, 2015, the United States filed a complaint against CRS, its president, Timothy Ford, and its former vice president, Devany. The complaint alleges that, in numerous instances, collectors at CRS called consumers and falsely claimed to be attorneys or judicial employees. According to the complaint, collectors also falsely stated that lawsuits had already been filed against consumers and offered to resolve the fictitious lawsuits “out of court.” They left voicemail messages falsely representing that a failure to return the collector’s call would result in a waiver of rights. The government alleges that, in some instances, collectors told consumers that their wages, taxes and 401(K) plans would be garnished if they did not pay. In reality, CRS had neither the intent nor the authority to file lawsuits against the consumers or attempt to have their wages garnished.
Prompted by numerous consumer complaints of deceptive and abusive debt collection practices, the U.S. Federal Trade Commission (FTC) launched an investigation. The complaint was filed in the U.S. District Court for the Eastern District of Texas at the request of the FTC and alleges violation of the Federal Trade Commission Act and the Fair Debt Collection Practices Act. The government sought civil monetary penalties and a permanent injunction to prevent the defendants from further engaging in such violations.
In previous rulings, U.S. District Judge Amos L. Mazzant III for the Eastern District of Texas found that CRS had engaged in numerous, widespread violations of the law and entered a permanent injunction against the company and its president, Ford. U.S. District Judge Mazzant further found Ford liable for civil penalties, to be determined by the court in a later proceeding.
On Sept. 9, the United States and Devany filed a proposed stipulated order for permanent injunction and civil penalty judgment, by which they agreed to resolve the litigation as between those two parties. The stipulated order, entered by the district court, permanently bans Devany from engaging in debt collection and other related activities. It assesses a partially suspended judgment in the amount of $496,000, which approximates Devany’s earnings from 2011 to 2014, during which Devany served as vice-president and numerous violations took place. The stipulated order also assesses an immediate civil penalty payment of $10,000, which is based upon Devany’s current ability to pay. The partial suspension of judgment is to remain in effect as long as Devany abides by the all requirements of the stipulated order.
The government is represented by Trial Attorney Heide L. Herrmann of the Civil Division’s Consumer Protection Branch, with the assistance of Attorneys Anne D. LeJeune and Reid A. Tepfer of the FTC’s Southwest Region.
A complaint is merely a set of allegations that, if the case were to proceed to trial, the government would need to prove by a preponderance of the evidence.
Denver Man Sentenced to 18 Years in Federal Prison for Illegal Possession of a Firearm and Methamphetamine Distribution CrimesRead the Press Release
DENVER – Dillon James Goff, age 32, of Denver, was sentenced late last week by U.S. District Court Judge Philip A. Brimmer to serve 18 years (216 months) in federal prison for firearms violations and methamphetamine trafficking, Acting U.S. Attorney Bob Troyer and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Ken Croke announced. Following his prison sentence, Goff was ordered to serve 5 years on supervised release. The defendant, who appeared at the sentencing hearing in custody, was remanded at its conclusion.
Goff was first charged by Criminal Complaint on September 18, 2015. He was indicted by a federal grand jury in Denver on October 19, 2015. He pled guilty before Judge Brimmer on June 9, 2016 to possession of a firearm by a convicted felon, possession with intent to distribute 50 grams or more of actual methamphetamine, and possession of a firearm in furtherance of a drug trafficking offense. He was sentenced on September 16, 2016.
According to court documents, including the stipulated facts contained in the plea agreement, on September 16, 2015, at noon, Denver Police officer Tony Lopez, Jr. conducted a traffic stop of a vehicle being driven by Goff. Officer Lopez noticed Goff acting suspiciously, and then after learning his name, remembered a fellow detective providing information that Goff is known to traffic drugs and carry firearms. After clearing Goff’s name, a warrant for his arrest came up. As a result, the DPD Officer Lopez took Goff into custody. During the search of the defendant, incident-to-arrest, Officer Lopez found $3,953 in cash and a drug ledger in his pockets.
Because of the condition and location of the vehicle, a Denver Police officer ordered that it be impounded. A lawful search of the vehicle then revealed a .380 caliber pistol under the driver’s seat, a black backpack in the rear seat of the car that contained 1,599 grams of 100 percent pure methamphetamine and a 9 mm pistol. A gray backpack was also located, and it contained another 125.5 grams of 97 percent pure methamphetamine, 84.7 grams of heroin, 10 grams of cocaine, and psilocybin mushrooms. Also, officers found a card/ID printer, another $516 in cash and a ballistic vest, all inside the car. In total, the defendant knowingly possessed at least 500 grams of actual methamphetamine with the intent to distribute. Goff, a convicted felon, also knowingly possessed two firearms, both of which were possessed in furtherance of the drug trafficking crime.
Goff has prior felony convictions, including a 2003 conviction in Jefferson County for distribution of a Schedule II controlled substance. In August 2006 his probation on that charge was revoked, and he served six years in the state Department of Corrections. In November 2006 he was charged in Jefferson County with controlled substance special offender deadly weapon and possession with intent to distribute a Schedule II controlled substance. For those crimes he was sentenced to serve 15 years in the state Department of Corrections, although he only served 10 years after completion of state-run “Boot Camp.”
“Thanks to the outstanding police work of Officer Tony Lopez, Jr., and the Denver Police Department in concert with the ATF, an armed drug dealer will spend his next 18 years in federal prison – and there is no possibility of parole this time,” said Acting U.S. Attorney Bob Troyer.
“Denver is cleaner and safer with an established drug dealer like Goff behind bars for the next 18 years,” said ATF Special Agent in Charge Ken Croke. “This sentence illustrates how the valuable partnership between ATF, Denver PD and the U.S. Attorney’s Office can noticeably improve our community.”
This case was investigated by the ATF and the Denver Police Department as part of Denver’s Crime Gun Intelligence Center.
Denver’s Crime Gun Intelligence Center uses cutting-edge technology and a dedicated investigative team to stop shooters and identify their source of crime guns before they can commit further criminal acts. This is a partnership between ATF, Denver Police Department, Aurora Police Department, Lakewood Police Department, the District Attorney’s Offices for Denver, Arapahoe, Adams and Jefferson Counties, and the U.S. Attorney’s Office for the District of Colorado.
This defendant was prosecuted by Assistant U.S. Attorneys Rebecca Weber and Edwin Garreth Winstead, III.
Denver Gang Member Involved in Car Wash Shooting Sentenced to Federal Prison for Being a Felon in Possession of AmmunitionRead the Press Release
DENVER – Dedric Delaine Mayfield, age 39, of Denver, Colorado, was sentenced yesterday by U.S. District Court Judge Lewis T. Babcock to serve 57 months in federal prison for being a felon in possession of ammunition, Acting U.S. Attorney Bob Troyer and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Ken Croke announced. Following his prison sentence, Mayfield was ordered to serve 3 years on supervised release. The defendant, who appeared at the sentencing hearing in custody, was remanded at its conclusion.
Mayfield was indicted by a federal grand jury on January 25, 2016. He pled guilty before Judge Babcock to being a felon in possession of ammunition on June 28, 2016. He was sentenced yesterday, September 20, 2016.
According to court documents, including the stipulated facts contained in the plea agreement, on September 22, 2015, in the middle of the afternoon, the defendant and his friend were at a carwash near 35th and Downing in Denver, Colorado, washing a Sports Utility Vehicle (SUV). The carwash was next to a gas station and a convenience store. A group of rival gang members arrived at the carwash. The defendant observed them and signaled for his friend to leave the carwash bay and join him in the open parking lot. His friend did and, shortly thereafter, gunfire erupted. Mayfield’s friend exchanged gunfire with the rival gang members and was struck. The defendant and his friend returned to the carwash bay and got inside the SUV. The defendant took the gun from his friend and then fired the gun repeatedly from the carwash bay. Shell casings fell on and near the SUV. The firearm was not recovered. The defendant drove his friend to the general area of the Denver Health Medical Center and left him for people passing by to take inside for medical care. The defendant’s friend died, as did one of the rival gang members. Investigators recovered 9mm shell casings from the area of the carwash by where the defendant fired the gun. The defendant, a convicted felon, was not allowed to possess ammunition.
“Our mission is community safety,” said Acting U.S. Attorney Bob Troyer. “People should be able to go to a carwash in the middle of the day without bullets flying past their heads. If you're pulling that trigger you’re going straight to federal prison, it is that simple.”
“Two young men died senselessly that day, but when I think back to that shooting, I only think that Mayfield and the other gang members had zero regard for the lives of the people with them in that busy carwash,” said ATF Special Agent in Charge Ken Croke. “They were far too busy being offended by people who wear the wrong clothes and hang with the wrong people to be concerned with anyone but themselves. Putting these types of violent criminals behind bars goes to the core mission of ATF, and is the reason we will keep fighting against violent crime with our local partners, like Denver Police Department. No one should be scared of getting shot while peacefully living their lives.”
This case was investigated by the ATF and the Denver Police Department as part of Denver’s Crime Gun Intelligence Center.
Denver’s Crime Gun Intelligence Center uses cutting-edge technology and a dedicated investigative team to stop shooters and identify their source of crime guns before they can commit further criminal acts. This is a partnership between ATF, Denver Police Department, Aurora Police Department, Lakewood Police Department, the District Attorney’s Offices for Denver, Arapahoe, Adams and Jefferson Counties, and the U.S. Attorney’s Office for the District of Colorado.
DEA Announces “360 Degree Strategy” to Address Opiate Epidemic in LouisvilleRead the Press Release
-Program serves as a model for communities struggling to break cycle of drug trafficking, drug abuse and associated violence
LOUISVILLE, Ky. - The United States Drug Enforcement Administration (DEA) today announced Louisville’s selection as the fourth city in America to take part in a comprehensive law enforcement and prevention “360 Degree Strategy” to assist cities dealing with the heroin and prescription drug abuse epidemic. Timothy J. Plancon, Special Agent in Charge of the DEA’s Detroit Field Division, and John E. Kuhn, Jr., United States Attorney for the Western District of Kentucky, announced this strategy today. Joining DEA and the U.S. Attorney’s Office in the announcement were Louisville Mayor Greg Fischer, Louisville Chief of Police Steve Conrad, and Dr. Toni Ganzel, Dean of the UofL School of Medicine, and representatives from the law enforcement, medical, and substance abuse prevention and treatment communities.
DEA’s Plancon said, “We are striving to find innovative strategies to confront the epidemic of heroin and prescription drug addiction in our society. DEA is collaborating with professionals from law enforcement, drug prevention, drug treatment, and the medical community, to attack this problem from a holistic approach.
“The heroin epidemic, ravaging communities across America, brings with it violence, addiction and death,” stated U.S. Attorney Kuhn. “We must do more, and today we announce new initiatives to improve our community education efforts and to get heroin dealers off our streets.”
The DEA 360 Degree Strategy comprises a three-fold approach to fighting drug traffickers and the current opiate abuse epidemic:
- Enforcement – Actions that target drug trafficking organizations supplying opioids to the neighborhoods of Louisville. These efforts will include a strategy to specifically address those traffickers that supply opioids resulting in fatal and non-fatal overdoses.
- Diversion Control – By engaging drug manufacturers, wholesalers, practitioners and pharmacists to increase awareness of the heroin and prescription drug problem and push for responsible prescribing and use of these medications throughout the medical community.
- Community Outreach – By partnering with medical professionals, governmental and community service organizations to proactively educate the public of the dangers of prescription drug and heroin abuse, and to guide individuals to treatment services when needed.
In November 2015, the 360 program was launched in Pittsburgh, Pennsylvania, followed by St. Louis, Missouri, and Milwaukee, Wisconsin, earlier this year. Louisville represents the fourth city nationally to launch this initiative.
“The community outreach portion of this initiative is critical to long term success in reducing drug use and addiction,” Plancon said. “We have to continuing working to find ways to effectively communicate to our community members the risks and dangers of substance abuse to curb the rates of addiction, overdose and death.”
“UofL is instructing its students in treating patients with realistic goals in mind. We are incorporating guidelines from the CDC on opioid prescription into the curriculum and instructing students in principles that will help them as physicians to limit opioid prescribing, limit opioid overuse and lessen the risk of harm from opioid treatment. These steps will help physicians in dealing with both the epidemic of chronic pain and the epidemic of opioid addiction, abuse and death,” stated Dr. Toni Ganzel, Dean of the UofL School of Medicine.
By bringing together experts in substance abuse and prevention, the DEA 360 Strategy aims, in part, to address the opioid and heroin threat posed to the community by focusing on providing resources and programs designed to educate youth and those most influential to youth including; parents, caregivers, and educators to the harms of drug abuse.
Officials will work to form a “Community Alliance” that will comprise key leaders from law enforcement, prevention, treatment, the judicial system, education, business, government, civic organizations, faith communities, media, and social services, to form the foundation of a long-term group that will help carry the prevention and treatment messages throughout metropolitan Louisville.
In December, DEA, the United States Attorney’s Office for the Western District of Kentucky and its partners plan to host a summit to bring community leaders together to look for sustainable, impactful efforts to address drug abuse, addiction, trafficking and the violence that accompanies it.
Plancon stated, “DEA’s 360 Strategy recognizes that we need to utilize every resource possible to reach everyone in our community, and attack the prescription drug and heroin epidemic from all directions.”
Connecticut Man Pleads Guilty to Concealing Income from Undeclared Panamanian Bank AccountRead the Press Release
Defendant to Pay Full Restitution to IRS and Civil Penalty of More Than $850,000
A Weston, Connecticut man, who used a Panamanian bank account to conceal over $1.5 million in income from the sale of duty-free alcohol and tobacco products pleaded guilty today to one count of conspiring to conceal assets and income from the Internal Revenue Service (IRS), announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division and U.S. Attorney Paul J. Fishman for the District of New Jersey.
Saul Hyatt, 53, pleaded guilty today before U.S. District Judge Freda L. Wolfson of the District of New Jersey to an Information charging him with conspiracy to conceal assets in an undeclared bank account held in Panama for his benefit. According to documents filed with the court, Hyatt conspired with another individual in the United States and others to conceal his assets and income derived from the sale of duty-free alcohol and tobacco products. To execute the scheme, Hyatt used a registered Panamanian corporation, Centennial Group, to buy and sell the duty-free products. The alcohol shipped through a customs-bonded warehouse in the Foreign Trade Zone in Fort Lauderdale, Florida. The tobacco products, Chinese-brand cigarettes sold under the names “Chung Hwa” and “Double Happiness,” passed through a customs-bonded warehouse in North Bergen, New Jersey. From 2006 to 2012, Hyatt directed that $1,627,832 in profits from the sale of duty-free alcohol and tobacco products be wired to his undeclared bank account in Panama. Hyatt repatriated money from the Panamanian bank account to buy a Mercedes Benz SL 550R automobile and to pay for $19,000 in interior design goods and services.
U.S. persons are required to report to the IRS on Schedule B of a U.S. Individual Income Tax Return any financial interest in, or signature authority over, a financial account in a foreign country by checking “Yes” or “No” in the appropriate box and identifying the country where the account was maintained. U.S. persons also must report all income earned from foreign financial accounts and, if the accounts have an aggregate value of more than $10,000 at any time during the calendar year, file with the Department of the Treasury a Report of Foreign Bank and Financial Accounts (FBAR).
Hyatt failed to report income earned on his Panamanian account, and failed to file an FBAR for the years at issue. Hyatt admitted that this scheme resulted in a tax loss of $521,986.
“The Department continues to vigorously pursue and prosecute those who conceal their assets and income in offshore accounts in an effort to evade paying their fair share of taxes,” said Principal Deputy Assistant Attorney General Ciraolo. “Nearly eight years after the IRS announced its first offshore voluntary disclosure program, individuals who fail to disclose their interests in foreign accounts and report income earned on these accounts should be well aware that there are significant consequences for this criminal conduct.”
“The Panamanian banking system should not be a haven to hide profits made from United States businesses,” said U.S. Attorney Fishman. “When American taxpayers use foreign bank accounts to hide their assets, we will investigate and prosecute them to the fullest extent of the law.”
“Concealing income and assets offshore is not tax planning,” said Special Agent in Charge Jonathan D. Larsen of IRS-Criminal Investigation, Newark Field Office. “Plain and simple, this is international tax fraud. The facts in this case are clear. Mr. Hyatt earned income through the sale of duty-free alcohol and tobacco products and intentionally had over $1.6 million of profits wired into an undeclared offshore bank account in Panama. Today’s plea shows how determined we are at the IRS and Department of Justice in uncovering this type of international tax fraud and putting a stop to it.”
Judge Wolfson set sentencing for Jan. 6, 2017. Hyatt faces a statutory maximum sentence of five years in prison, as well as a term of supervised release and monetary penalties. Hyatt has agreed to file true and accurate tax returns and to pay the IRS all taxes and penalties owed, in addition to paying an $854,465.50 penalty for failure to disclose his foreign accounts.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Fishman commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Joseph Mack and Tax Division Trial Attorney Michael C. Vasiliadis, who are prosecuting the case.
Connecticut Man Admits Conspiring to Conceal Income in Undeclared Panamanian Bank AccountRead the Press Release
Will Pay $1.3 Million in Penalties, Restitution
TRENTON, N.J. – A Weston, Connecticut, man who used a Panamanian bank account to conceal more than $1.5 million in income from the sale of duty-free alcohol and tobacco products pleaded guilty today to one count of conspiring to conceal assets and income from the IRS, U.S. Attorney Paul J. Fishman and Principal Deputy Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division announced.
Saul Hyatt, 53, pleaded guilty before U.S. District Judge Freda L. Wolfson in Trenton federal court to an information charging him with conspiracy to conceal assets in an undeclared bank account held in Panama for his benefit.
“The Panamanian banking system is not a haven to hide profits made from U.S. businesses,” U.S. Attorney Fishman said. “When U.S. taxpayers use foreign bank accounts to hide their assets, we will investigate and prosecute them to the fullest extent of the law.”
“The Department continues to vigorously pursue and prosecute those who conceal their assets and income in offshore accounts in an effort to evade paying their fair share of taxes,” Principal Deputy Assistant Attorney General Ciraolo said. “Nearly eight years after the IRS announced its first offshore voluntary disclosure program, individuals who fail to disclose their interests in foreign accounts and report income earned on these accounts should be well aware that there are significant consequences for this criminal conduct.”
“Concealing income and assets offshore is not tax planning,” Special Agent in Charge Jonathan D. Larsen of IRS-Criminal Investigation, Newark Field Office, said. “Plain and simple, this is international tax fraud. The facts in this case are clear. Mr. Hyatt earned income through the sale of duty-free alcohol and tobacco products and intentionally had over $1.6 million of profits wired into an undeclared offshore bank account in Panama. Today’s plea shows how determined we are at the IRS and Department of Justice in uncovering this type of international tax fraud and putting a stop to it.”
According to documents filed in this case and statements made in court:
Hyatt conspired with another individual in the United States and others to conceal his assets and income derived from the sale of duty-free alcohol and tobacco products. He used a registered Panamanian corporation, Centennial Group, to buy and sell the duty-free products. The alcohol shipped through a customs-bonded warehouse in the Foreign Trade Zone in Fort Lauderdale, Florida. The tobacco products, Chinese-brand cigarettes sold under the names “Chung Hwa” and “Double Happiness,” passed through a customs-bonded warehouse in North Bergen, New Jersey. From 2006 to 2012, Hyatt directed that $1,627,832 in profits from the sale of duty-free alcohol and tobacco products be wired to his undeclared bank account in Panama. Hyatt repatriated money from the Panamanian bank account to buy a Mercedes Benz SL 550R automobile and to pay for $19,000 in interior design goods and services.
Americans are required to report to the IRS on Schedule B of a U.S. Individual Income Tax Return any financial interest in, or signature authority over, a financial account in a foreign country by identifying the country where the account was maintained. They are also required to report all income earned from foreign financial accounts and, if the accounts have an aggregate value of more than $10,000 at any time during the calendar year, file with the Department of the Treasury a Report of Foreign Bank and Financial Accounts (FBAR).
The count to which Hyatt pleaded guilty carries a maximum potential penalty of five years in prison and a fine of $250,000 or twice his gain from the offense. Because he failed to file an FBAR report, he is obligated to pay $854,466 in penalties for failing to disclose the account and has agreed to file true and accurate tax returns. He must also pay restitution to the IRS of $521,986. Sentencing is scheduled for Jan. 6, 2017.
U.S. Attorney Fishman and Principal Deputy Assistant Attorney General Ciraolo credited special agents with IRS-Criminal Investigation, under the direction of Special Agent in‑Charge Jonathan D. Larsen, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney Joseph Mack, Deputy Chief of the U.S. Attorney’s Healthcare and Government Fraud Unit, and Trial Attorney Michael C. Vasiliadis of the Department of Justice Tax Division.
Defense counsel: Dennis Kainen Esq.
Cleveland man sentenced for distributing heroinRead the Press Release
WHEELING, WEST VIRGINIA – John Johnson, Jr., 39, of Cleveland, Ohio, was sentenced today to 15 months in prison for distribution of heroin, United States Attorney William J. Ihlenfeld, II, announced.
Johnson distributed heroin in October 2015 in Ohio County, West Virginia. pled guilty in July 2016 to one count of “Distribution of Heroin.”
Assistant U.S. Attorney Danaë DeMasi-Lemon prosecuted the case on behalf of the government. The Drug Enforcement Administration and the Ohio Valley Drug and Violent Crime Task Force investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Chicago Man Pleads Guilty to Heroin OffensesRead the Press Release
Lacey Snead, 52, of Chicago, Illinois, pled guilty to distribution of heroin and conspiracy to distribute heroin on September 19, 2016 in U.S. District Court for the Southern District of Illinois.
Snead was indicted on December 16, 2015. He was charged with participating in a heroin deal that occurred on March 5, 2013, and he was further charged with conspiracy to distribute more than 100 grams of heroin for an incident occurring on June 18, 2015. Snead was indicted along with two co-defendants, Alfred Vernon Reeves, Jr. and Ciera McNeal, both residents of East St. Louis, Illinois. Reeves, 41, was also charged with distributing heroin on March 5, 2013, and for participating in a conspiracy to distribute more than a kilogram of heroin over a three-year period of time. McNeal, 27, was charged with conspiracy to distribute more than 100 grams of heroin and also for possessing heroin with the intent to distribute on June 18, 2015.
McNeal pled guilty on January 11, 2016, while Reeves pled guilty on May 6, 2016. Reeves faces up to 20 years in prison for distributing heroin, and he faces a minimum sentence of 10 years to life for conspiracy. McNeal and Snead face a minimum of 5 to 40 years in prison. The United States Sentencing Guidelines must be considered by the Court during sentencing. Reeves will be sentenced on October 7, 2016. McNeil will be sentenced on December 9, 2016. It is anticipated that Snead will be sentenced in March of 2017.
The investigation which resulted in Snead’s arrest and conviction was conducted by the Drug Enforcement Administration. The case was prosecuted by Assistant United States Attorney Steven D. Weinhoeft.Caney Man Sentenced to 24 Months Probation for Methamphetamine PossessionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma, announced that, TIMOTHY DEWAYNE TAYLOR, age 24, of Caney, Oklahoma, was sentenced to 2 years of probation for POSSESSION OF METHAMPHETAMINE, in violation of Title 21, United States Code, Section 844(a).
The Indictment alleged that from on or about December 14, 2015, in the Eastern District of Oklahoma, the defendant did knowingly and intentionally possess methamphetamine, a Schedule II controlled substance. The defendant pled guilty in May, 2016.
The charges arose from an investigation by the McAlester Army Ammunition Plant Police Department and the Federal Bureau of Investigation.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing.
Assistant United States Attorney Timothy Hammer represented the United States.
California Man Indicted for MethRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a California man who tried to pass through Kansas City on a Greyhound bus with more than five pounds of methamphetamine taped to his midsection was indicted by a federal grand jury today.
Felipe Hernandez, 20, of Los Angeles, Calif., was charged with possessing methamphetamine with the intent to distribute in an indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Hernandez on Sept. 8, 2016. Hernandez remains in federal custody without bond.
According to an affidavit filed in support of the original criminal complaint, officers with the MOWIN (Missouri Western Interdiction and Narcotics) Task Force saw Hernandez get off a Greyhound bus originating from Los Angeles at the Greyhound Bus Terminal located at 1101 Troost Ave., Kansas City, Mo., on Sept. 7, 2016. An officer spoke to Hernandez, whom the affidavit says was nervous, would not make eye contact, was not able to stand still, was looking around and offered only short responses to questions.
Hernandez began walking away through the parking lot but was stopped again by officers, who noticed a bulge in his midsection. Officers searched Hernandez and found two long, flat bundles that were wrapped in duct tape and affixed around his midsection. The bundles allegedly contained a total of 5.4 pounds of methamphetamine.
Hernandez told investigators he was delivering the methamphetamine to Boston.
Dickinson cautioned that the charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Emily A. Orsinger. It was investigated by the MOWIN (Missouri Western Interdiction and Narcotics) Task Force, the Drug Enforcement Administration, the Platte County, Mo., Sheriff’s Department and the Kansas City, Mo., Police Department.
Buffalo Man Pleads Guilty to Gun and Drug Charges Involving A HomicideRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Alexander Duarte, 23, of Buffalo, NY, pleaded guilty to discharge of a firearm in furtherance of drug trafficking and conspiracy to distribute heroin before U.S District Judge Lawrence J. Vilardo. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life and a $250,000 fine.
“This case demonstrates yet again the violence frequently associated with the illegal narcotics trade,” said U.S. Attorney Hochul.
Assistant U.S. Attorneys Thomas S. Duszkiewicz and Joel L. Violanti, who are handling the case, stated that in June 2012, Duarte, co-defendant Jose L. Ramirez-Merced and others sold heroin on the West Side of Buffalo. On July 15, 2012, the group planned a home invasion robbery targeting the residence of heroin dealer Jose Rivera. However, the defendants and others invaded the wrong residence and stole cocaine and cash.
As a result, Jose Rivera began making threats against individuals in the group and attempted to kill one of the individuals known as L.B. In response, the group decided to murder Rivera. On July 31, 2012, Duarte and Merced obtained two guns and proceeded to a residence on West Avenue in Buffalo where they opened fire, killing Rivera and wounding a female.
Today’s plea is the result of an investigation by the Federal Bureau of Investigation Safe Streets Task Force, under the direction Special Agent in Charge Adam S. Cohen and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda. The task force includes representatives of the Amherst Police Department; the Buffalo Police Department; U.S. Border Patrol, the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Cheektowaga Police Department; the Erie County Sheriff’s Department; the Hamburg Police Department; the Lancaster Police Department; the Niagara Frontier Transportation Authority Police; the New York State Department of Correctional Services; the New York State Police; and U.S. Immigration and Customs Enforcement, Homeland Security Investigations.
Sentencing is scheduled for January 12, 2017 at 10:00 a.m. before Judge Vilardo. Merced was also convicted and is scheduled to be sentenced on November 7, 2016 before U.S. District Judge Richard J. Arcara.Bloomington Man Sentenced to 33 Years in Prison for Trafficking 12-Year Old and 16-Year-Old Girls for Commercial SexRead the Press Release
United States Attorney for the District of Minnesota Andrew M. Luger today announced the sentencing of LEE ANDREW PAUL, a/k/a “Black,” 36, to 33 years in prison for sex trafficking three victims, two minor girls and one young woman. On March 18, 2015, a superseding indictment charged PAUL with trafficking all three victims. On December 11, 2015, following a five-day trial before U.S. District Judge Ann D. Montgomery, a federal jury convicted PAUL of all charged counts.
“I remain amazed at the courage and fortitude shown by the young victims who stood up to Paul and who took back from him the power he tried to exert over them. Everything about Paul’s conduct belies any notion that he can be trusted to walk the streets ever again. My office is committed to prosecuting human traffickers like Paul and bringing to justice anyone who would exploit and abuse the most vulnerable in our community,” said U.S. Attorney Andrew M. Luger.
“The defendant is a remorseless predator. He is a rapist, an exploiter of women and children, and an unquestionable danger to our society. Every day the defendant is behind bars is a day that our community is safer” said Assistant United States Attorney Melinda A. Williams.
“The buying and selling of children for commercial sex acts is among the most despicable of crimes and Mr. Paul's conviction represents a great victory in taking such criminals off our streets and out of our communities,” said Special Agent in Charge Alex Khu of HSI St. Paul. “HSI has had the honor of working with some of the best law enforcement partners available to see that this criminal spends a long time behind bars.”
As proven at trial, PAUL is a self-proclaimed “pimp.” During Memorial Day weekend of 2013, PAUL sought out a 12-year-old sixth grader to join his sex trafficking “family.” He lured the 12-year-old and a 16-year-old girl to a party at a motel in Rochester, Minn., where he gave them marijuana and alcohol. PAUL announced that he was a pimp and told the young victims they would be working for him. PAUL took the girls to the Twin Cities where they knew no one. PAUL sexually assaulted the 16-year-old victim and brutally raped the 12-year-old.
As proven at trial, while at a motel in Maple Grove, Minn., that same weekend, the 16-year-old victim escaped PAUL and found a police officer and reported what had happened to her. However, PAUL had been tipped off that the 16-year-old victim was trying to find the police and PAUL fled the scene. He then directed another victim, this one 19-years-old, to take the 12-year-old victim to Alexandria, Minn., to “show her the ropes.” The 12-year-old was sold two times that night for sex with men. Law enforcement arrested PAUL on the morning of May 27, 2013, and was in jail pending state charges in Olmsted and Anoka Counties until he made bail on August 26, 2013. PAUL fled in July 2014 on the eve of his Olmsted County trial.
As proven at trial, while on the run, PAUL got rid of his cell phone and shut down his Facebook page to avoid being tracked by law enforcement. He fled first to Chicago, Ill., and then Atlanta, Ga., where he lived under two different assumed identities and used “burner” phones to avoid being tracked by law enforcement. He was arrested on January 14, 2015 by the U.S. Marshals Service and brought back to Minnesota to face federal charges.
This case is the result of an investigation conducted by Homeland Security Investigations, the United States Marshal’s Service, Rochester Police Department, Alexandria Police Department, Douglas County Sheriff’s Office, Anoka County Sheriff’s Office, Pope County Sheriff’s Office, and the Maple Grove Police Department.
This case was prosecuted by U.S. Attorney Andrew M. Luger, Assistant U.S. Attorney Melinda A. Williams, and Special Assistant U.S. Attorney Erin Gustafson. The United States Attorney’s Office thanks the Olmsted County Attorney’s Office for its substantial assistance in the prosecution of this case.
Defendant Information:
LEE ANDREW PAUL, a/k/a “Black,” 36
Bloomington, Minn.
Convicted:
- Sex Trafficking of a Minor by Force, Fraud, and Coercion, 2 counts
- Sex Trafficking by Force, Fraud, and Coercion, 1 count
Sentenced:
- 33 years in prison
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Bergen County, New Jersey, Sentenced to 51 Months in Prison for Multimillion-Dollar Investment Fraud SchemeRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, man was sentenced today to 51 months in prison for conspiring to defraud 15 victims of more than $3 million, U.S. Attorney Paul J. Fishman announced.
Paul Mancuso, 50, of Glen Rock, New Jersey, previously pleaded guilty before U.S. District Judge William J. Martini to one count of conspiracy to commit wire fraud. Judge Martini imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
On Aug. 21, 2014, a federal grand jury in Newark indicted Mancuso on one count of conspiracy to commit wire fraud and five counts of wire fraud. It also charged Pasquale Stiso, 55, of West Harrison, New York, with one count of conspiracy to commit wire fraud and one count of wire fraud.
Since 2009, Mancuso posed as a real estate investor, broker and developer, as well as a “hard money” lender for other investments. Stiso, a disbarred New York attorney, held himself out as an individual working with Mancuso on various investment projects.
Mancuso admitted that he and Stiso fraudulently obtained financing for projects that did not exist or in which they had no actual involvement. Some of the purported projects touted by Mancuso, Stiso, and other conspirators included investments in a phony ticket scam, the development of a pizzeria at a resort in the Bahamas, the development of a casino in Atlantic City, the development of a commercial shopping center, and the “flipping” of a piece of real estate in Matawan.
Victims lost all of their investments in Mancuso’s schemes. Instead of funding the purported projects, Mancuso and Stiso used the money for personal expenses and to finance their involvement in illegal gambling.
In addition to the prison term, Judge Martini sentenced Mancuso to three years of supervised release and ordered him to pay restitution of $3,266,250.
Stiso was tried and convicted of all 10 counts of a superseding indictment charging him with one count of conspiracy to commit wire fraud, six substantive counts of wire fraud, and three counts of money laundering following a seven-day trial before U.S. District Judge William J. Martini. He was sentenced in June 2016 to 43 months in prison.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher; special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, and criminal investigators from the U.S. Attorney’s Office for the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Francisco J. Navarro and Anthony Mahajan of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Stacy Ann Biancamano Esq., Newark
Beatrice Man Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney, Deborah R. Gilg, announced that on September 21, 2016, Creston Lee Christlieb, 30, of Beatrice, was sentenced to 10 years and one month (121 months) in prison for his involvement in a conspiracy to distribute and possess with intent to distribute 500 grams or more of a substance containing methamphetamine between January of 2013 and September of 2015. Information obtained by law enforcement indicated that Christlieb was responsible for the distribution of at least 5 kilograms (11 pounds) of methamphetamine in the Lincoln and Beatrice areas.
Following the prison term, Christlieb will serve five years on supervised release.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Auto Parts Industry Executives Indicted for Obstruction of JusticeRead the Press Release
More Than 100 Charged in Wide-Spread Auto Parts Investigation
A federal grand jury in the U.S. District Court for the Eastern District of Michigan returned an indictment charging one current automotive parts industry executive and one former automotive parts industry executive with conspiring to obstruct a federal investigation. The current executive also was charged with attempted obstruction of justice, the Justice Department announced today.
The indictment, filed today in Detroit, charges Futoshi Higashida and Mikio Katsumaru with conspiring to obstruct a federal investigation. Higashida is also charged with attempted obstruction of justice. During the charged conspiracy, Katsumaru was employed by an automotive parts company in Japan, and Higashida worked there and in Novi, Michigan, as president of that company’s U.S. joint venture with another company.
According to the indictment, the defendants, along with their co-conspirators, conspired from at least as early as June 2008 until at least September 2012 to delete emails and electronic records and to destroy documents referring to communications with competitors. In addition, according to the indictment, Higashida instructed another individual on or about September 25, 2012, to ensure that no phone numbers or call records remained on his cellular telephone and that no data remained on his computer that would reflect competitor communications. The charges contained in the indictment are allegations and not evidence of guilt. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
“Individuals will not escape prosecution by covering up or destroying evidence of their own or their company’s wrong-doing,” said Deputy Assistant Attorney General Brent Snyder of the Justice Department’s Antitrust Division. “Obstructing a federal antitrust investigation – criminal or civil – is a serious criminal violation that the Antitrust Division will vigorously pursue.”
“Federal investigations are serious matters, and we will pursue any individuals who are involved in destroying evidence to keep it from the FBI,” said Howard S. Marshall, Special Agent in Charge of the Louisville office of the FBI. “The FBI is committed to aggressively investigating companies and individuals who engage in criminal conduct that corrupts the global marketplace. We will continue our work with the Department of Justice’s Antitrust Division to uncover schemes aimed at creating an unfair competitive advantage by way of price fixing, bid rigging or other illegal means."
A total of 65 individuals and 46 companies have been charged in the Antitrust Division’s investigations into the automotive parts industry. This indictment was brought by the Antitrust Division’s Chicago Office and the FBI’s Louisville Field Office, Covington Resident Agency, with the assistance of the FBI’s International Corruption Unit and the U.S. Attorney’s Offices for the Eastern District of Michigan and the Eastern District of Kentucky. Anyone with information about anticompetitive conduct in the automotive parts industry should contact the Antitrust Division’s Citizen Complaint Center at 888-647-3258, visit www.justice.gov/atr/contact/newcase.html or contact the FBI’s Louisville Field Office at 502-263-6000.
Higashida Indictment
20 September 2016
“Untapped Workforce” Job Fairs Offer Ex-Offenders a Second ChanceRead the Press Release
CEDAR RAPIDS and SIOUX CITY—Two upcoming job fairs will provide individuals with a criminal record the opportunity to meet with employers willing to give them a second chance. The “Untapped Workforce” job fairs, sponsored by the U.S. Attorney’s Office for the Northern District of Iowa, are free to attend, and will feature employers from multiple industries. Participating employers include employers in the food industry, retail, manufacturing, public sector, staffing agencies and more.
Nearly one out of every four adults in this country has a criminal record. Because of their criminal record, some of these individuals have a difficult time finding employment, making it hard for them to support themselves and their families. Because employment has been shown to dramatically reduce the likelihood that an individual will commit another crime, employment opportunities for these individuals not only helps them reintegrate into society, but also increases community safety and lowers the prison population. Ex-offenders often possess valuable workforce skills and are routinely cited as some of the most loyal and hard-working employees, when given a second chance.
The job fairs are the second phase of an initiative to decrease recidivism through increased employment. This first phase of the initiative featured three employer workshops that were held in Cedar Rapids, Fort Dodge, and Sioux City in late July. During these workshops, hundreds of employers learned about the benefits of hiring individuals with criminal records, and how to mitigate any associated risks.
United States Attorney Kevin W. Techau addressed the importance of this initiative stating, “The public and private sectors across the country and across Iowa are collaborating to help break the cycle of crime by promoting employment opportunities for those who have served their period of incarceration. The Department of Justice supports successful reentry as an essential part of its mission to promote public safety. Public safety is enhanced when we help individuals return to productive, law-abiding lives. That’s a mission we can all get behind.”
The job fairs will be held on Friday, September 23 at the Hotel at Kirkwood Center in Cedar Rapids, and on Monday, September 26 at the Stoney Creek Hotel and Conference Center in Sioux City. Both job fairs will run from 9:30 a.m. through 12:30 p.m. Job seekers do not need to pre-register. There are a limited number of spaces still available for employers. Interested employers should contact Assistant United States Attorney Justin Lightfoot at 319-363-6333, as soon as possible. There is no charge for employers to reserve a booth at the job fair.
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York Man Is Sentenced to 92 Months in Jail for Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG- The United States Attorney’s Office for the Middle District of Pennsylvania announced that a York City man was sentenced today by U.S. District Court Judge Yvette Kane in Harrisburg, for selling drugs and possessing weapons in October 2013.
According to United States Attorney Peter Smith, the defendant, Brandon Dawson, age 31, or York, previously was indicted for drug trafficking and weapons offenses arising from an October 23, 2013, search warrant executed by the York City Police Department at Dawson’s Cottage Place apartment. During the search of the apartment, police recovered heroin, marijuana packaged for sale, drug distribution materials, and a stolen Colt .45 semiautomatic pistol. Dawson entered a guilty plea to drug trafficking and possession of a stolen firearm. Dawson was sentenced by Judge Kane to 92 months in prison for his involvement in this offense.
At the time of the crime, Dawson was being supervised by the United States Probation Office for a previous drug trafficking crime. Because he committed this offense while on supervision, Judge Kane imposed additional punishment on Dawson. She sentenced him to an 24 months in jail, which must be served consecutively to his 92-month sentence.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a districtwide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the heroin initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies.
The case was investigated by the York City Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Assistant U.S. Attorney Michael Consiglio prosecuted this case.
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Worcester Man Sentenced for Child Pornography ChargesRead the Press Release
BOSTON – A Worcester man pleaded guilty and was sentenced yesterday in U.S. District Court in Worcester on child pornography charges.
Jared Bissell, 24, pleaded guilty to receipt and possession of child pornography. U.S. District Court Judge Timothy S. Hillman sentenced Bissell to five years in prison and five years of supervised release.
On July 28, 2014, law enforcement officers executed a federal search warrant at Bissell’s residence in Worcester. Bissell immediately told law enforcement officers that he knew why they were present and that they would find what they were looking for on a computer in his bedroom. An initial forensic review of the computer revealed hundreds of videos and images containing child pornography, some of which involved children as young as three years old. Bissell also gave authorities a recorded confession during which he admitted to seeking out and downloading child pornography from the internet.
United States Attorney Carmen M. Ortiz; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; and Worcester Police Chief Steven M. Sargent, made the announcement. The case was prosecuted by Assistant U.S. Attorney Mark Grady of Ortiz’s Worcester Branch Office.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.