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12 September 2016
Judge Sentences Pittsburgh Felon to 16 Years in Prison for Illegally Possessing PistolRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 192 months imprisonment, to be followed by five years of supervised release on his conviction of violating federal firearms laws, United States Attorney David J. Hickton announced today.
United States District Judge Mark R. Hornak imposed the sentence on Atiba Warren, 36, of Pittsburgh, Pennsylvania.
According to information presented during the trial of this case, on or about October 23, 2012, Warren, being a convicted felon, illegally possessed a Taurus, model “The Judge”, .45LC/.410 caliber pistol. The firearm’s serial numbers were obliterated at the time Mr. Warren possessed it. Federal law prohibits anyone who has been convicted of a crime punishable by a term of imprisonment exceeding one year to possess a firearm.
Assistant United States Attorney Katherine A. King prosecuted this case on behalf of the government. This case was prosecuted under Project Safe Neighborhoods, a collaborative effort by federal, state and local law enforcement agencies, prosecutors and communities to prevent, deter and prosecute gun crime.
U.S. Attorney Hickton commended the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Pittsburgh Police Department for the investigation leading to the successful prosecution of Warren.
Huntington man and woman plead guilty for roles in drug ringRead the Press Release
HUNTINGTON, W.Va. – A Huntington man and woman who participated in a multistate drug ring pleaded guilty today to federal crimes, announced United States Attorney Carol Casto. Parker Wyatt Mays, 27, entered his guilty plea to conspiracy to distribute marijuana. Tanisha Lynette Wooding, 37, entered her guilty plea to possession with intent to distribute crack.
Mays admitted that from the summer of 2014 to May 2016, he conspired with others to distribute marijuana in the Huntington area. Mays and others regularly acquired large quantities of marijuana from a source in California. The marijuana was transported to Huntington using vehicles and through the mail. Once in Huntington, Mays and others distributed the marijuana to customers and pooled the proceeds to acquire additional marijuana. Mays admitted that the group distributed up to 400 kilograms of marijuana during the conspiracy.
Wooding admitted that she was in possession of crack on May 18, 2016, when agents executed a search warrant at her residence located on the 1800 block of 9th Avenue in Huntington. During the search, Wooding told agents that she had approximately two ounces of crack stored in the residence and then provided the drugs to the agents. Wooding further admitted to conspiring with others to distribute crack in Huntington for approximately one year. During this period, Wooding was regularly provided crack from a source. After Wooding sold the crack, she returned the proceeds to the source and received additional quantities of crack. Wooding also admitted that she was responsible for the distribution of at least 840 grams of crack during the conspiracy.
Wooding faces up to 20 years in federal prison when she is sentenced on January 3, 2017. Mays faces up to 5 years in federal prison when he is sentenced on January 3, 2017.
These prosecutions arose out of a long-term investigation led by the Drug Enforcement Administration, with assistance from the West Virginia State Police, the Putnam County Sheriff’s Department, the Huntington Police Department, the Huntington FBI Drug Task Force, the Ohio Highway Patrol, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Postal Inspection Service, which resulted in charging 12 defendants for offenses related to the distribution of heroin, crack, marijuana and alprazolam in Huntington.
Two defendants have previously pleaded guilty for their roles in this drug ring. Matthew Michael Meadows and Arthur James Canada pleaded guilty to federal drug charges and are scheduled to be sentenced on September 26, 2016. All of the other defendants charged in the prosecution of this drug ring are presumed innocent unless and until proven guilty in a court of law.
Assistant United States Attorney Joseph F. Adams is in charge of the prosecutions. The plea hearings were held before Chief United States District Judge Robert C. Chambers.
These cases are being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Hudson County, New Jersey, Man Sentenced to 22 Years in Prison for Production and Distribution of Child PornographyRead the Press Release
TRENTON, N.J. – A Hudson County, New Jersey, man was sentenced today to 264 months in prison for posing as a teenage boy, and at times a teenage girl, to solicit underage females online to produce images of themselves engaged in sexually explicit conduct, possessing, and distributing those images to others, U.S. Attorney Paul J. Fishman announced.
Erik Vanderbeck, 49, of Bayonne, New Jersey, was previously convicted of two counts of production of child pornography, one count of distribution of child pornography and one count of possession of child pornography. The jury deliberated approximately one hour following a one-week trial before U.S. District Judge Freda L. Wolfson in Trenton federal court. Judge Wolfson imposed the sentence today in Trenton federal court.
According to documents filed in this case and the evidence at trial:
Vanderbeck allegedly met various underage girls in Internet chat rooms while pretending to be a teenage boy, and at times, a teenage girl. Over the course of their correspondence, Vanderbeck would ask them to send him nude images of themselves. Once Vanderbeck received nude images, he would threaten to post the victim’s nude images online unless she sent more. In some cases, Vanderbeck would send nude images that he had received from certain of his victims to other minors to induce them to self-produce child pornography. When one of the victims threatened to report Vanderbeck to the authorities, he replied, “The cops will never catch me.”
Law enforcement officers executed a search warrant at Vanderbeck’s home in Bayonne on July 22, 2014. They recovered computer equipment belonging to Vanderbeck containing images appearing to be of child pornography. Several of his victims said they produced images of child sexual abuse out of fear and in response to his threats.
In addition to the prison term, Judge Wolfson sentenced Vanderbeck to 10 years of supervised release.
U.S. Attorney Fishman credited postal inspectors with the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge James Ball in Newark, and the Bayonne Police Department, under the direction of Chief Drew Niekrasz, with the investigation leading to the today’s sentencing. He also thanked the Missouri Internet Crimes Against Children Task Force for its role in the investigation.
The government is represented by Assistant U.S. Attorneys Danielle Alfonzo Walsman and Danielle Corcione of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Joshua Markowitz Esq., Lawrenceville
Heroin and Opioid Awareness Week September 19-23, 2016Read the Press Release
On Wednesday, September 21, 2016, the United States Attorney’s Office will host a community forum designed to highlight a unique, realistic perspective on the impact of prescription drug and opioid abuse. The event will be held from 6:00-8:00PM, at the Elks Theater, located at 512 6th Street in downtown Rapid City, South Dakota.
The event will feature a screening of “Chasing the Dragon: The Life of an Opiate Addict” - a documentary film collaboratively produced by the Federal Bureau of Investigation and the Drug Enforcement Administration in response to increasing prescription painkiller and opioid drug abuse across the nation. The film, which is designed to better educate students and young adults about the dangers of these drugs and the tragic consequences that often accompany addiction, debuted nationally in February 2016. According to data in the film, nearly 46,000 people die from drug use annually in the United States, and about half of those deaths are related to opiate drug abuse. At least 78 Americans die every day from an opioid overdose – it affects all ages, all socio-economic groups, all over the country, including Rapid City.
The movie screening will begin at 6:00PM on September 21, in the Elk’s main theater. The documentary is approximately one-hour long, and will be followed by an interactive panel discussion with representatives from law enforcement, medical response, and mental health.
- Drug Enforcement Administration
- Pennington County State’s Attorney
- Psychologist/Counselor
- Rapid City Fire Department/EMS
Individuals and community groups are encouraged to attend. The event is free and open to the public.
For further information and resources, visit DEA’s website: https://getsmartaboutdrugs.com
Hartford Man Pleads Guilty to Illegal Gun PossessionRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KUWAN RUSS, 37, of Hartford, pleaded guilty today before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven to possession of a firearm by a convicted felon.
According to court documents and statements made in court, on July 25, 2015, RUSS was stopped by Hartford Police as he operated a vehicle in Hartford. During a pat-down, an officer located a firearm in RUSS’s front right pants pocket. The firearm was a Glock, Model 26, 9 millimeter pistol with a magazine that contained 10 rounds.
Prior to September 2015, RUSS had sustained felony convictions for offenses including robbery in the first degree, criminal attempt to commit assault in the first degree, strangulation in the second degree, and weapons offenses.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
RUSS is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson in Hartford on December 5, 2016, at which time he faces a maximum term of imprisonment of 10 years and a fine of up to $250,000.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hartford Police Department. This case is being prosecuted by Assistant U.S. Attorneys Brian Leaming and Jennifer Laraia.
Halfway Man Sentenced to 15 Years for Meth Conspiracy, FirearmsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Halfway, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute methamphetamine in Greene, Polk, Christian, Jasper, Laclede and Webster counties and for illegally possessing firearms.
Joseph R. Allen, 42, of Halfway, was sentenced by U.S. District Judge M. Douglas Harpool to 15 years in federal prison without parole. Allen also has forfeited a 2005 Mazda 6 and eight firearms, all of which were seized by law enforcement officers and had been used to commit the offenses.
On May 16, 2016, Allen pleaded guilty to participating in a conspiracy to distribute methamphetamine and to possessing firearms in furtherance of a drug-trafficking crime.
Beginning in 2012, the Drug Enforcement Administration, assisted by other agencies, began investigating a large-scale methamphetamine distribution network in southwest Missouri involving several sources of supply both inside and outside of the state. Co-defendant Kenna Harmon, 37, of Republic, Mo., has pleaded guilty to being the leader of the drug-trafficking conspiracy along with her husband, Daniel Harmon. Daniel Harmon was indicted in the Eastern District of Missouri and pleaded guilty to possessing methamphetamine with the intent to distribute and to being a felon in possession of a firearm.
In total, the Harmon drug-trafficking organization was responsible for the distribution of over 45 kilograms of methamphetamine from June 1, 2013, through Nov. 29, 2014. The Harmons obtained pound amounts of methamphetamine from sources in Kansas City and St. Louis, Mo., and in Oklahoma for distribution in the Springfield, Mo., area.
Allen is the brother of Kenna Harmon. Allen admitted that he accompanied Kenna Harmon when she distributed methamphetamine and that he protected the property in Polk County that was used to store methamphetamine. Allen possessed several firearms while providing protection to the property.
On Nov. 28, 2014, federal agents executed a federal search warrant at a property in Halfway. Kenna Harmon owns the property, where she has built two residences – one for herself and one where Allen resided. Inside Allen’s residence, agents discovered five handguns, four of which were located inside Allen’s vehicle in the garage and one on the kitchen table. Agents also discovered three rifles in a spare bedroom.
Agents discovered a false return vent inside the master bedroom, which contained a suitcase. Agents opened the suitcase and discovered inside two bundles, each containing approximately one pound of methamphetamine, a total of 900 grams. Also inside the suitcase, agents discovered approximately four pounds of high-grade marijuana.
This case is being prosecuted by Assistant U.S. Attorneys Randall D. Eggert, Nhan D. Nguyen and Cynthia J. Hyde. It was investigated by the Drug Enforcement Administration, IRS-Criminal Investigation, the Missouri State Highway Patrol, the Springfield, Mo., Police Department and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Four Gang Members Sentenced for 2015 Hampton ShootingRead the Press Release
NEWPORT NEWS, Va. – Raquille Jackson, 22, and Eric Edmunds, II, 20, both of Newport News, were sentenced today to 220 months and 240 months, respectively, on charges of attempted murder in aid of racketeering and discharge of a firearm in commission of a violent crime. Co-defendants, Raiquan Turner, 20, and Quantavius Durham, 19, also of Newport News, were previously sentenced (see chart below).
“Violent gangs have no place in this community,” said Dana J. Boente, U.S. Attorney for the Eastern District of Virginia. “These sentences send a clear message to any other gang members considering committing violent crimes here in the Tidewater: You will be caught and you will be prosecuted. Together with our local law enforcement partners we will continue to aggressively pursue and prosecute these cases at every opportunity.”
According to the statement of facts filed with the plea agreement, the defendants were all members or associates of the 36th Street Bang Squad, a hybrid criminal street gang. On June 5, 2015, the men followed a Hampton Public School bus looking for a rival gang member. After not locating the rival, whom they suspected of killing a 36th Street Bang Squad member a few days earlier, the men returned to their vehicle which was parked at the Sonic Restaurant on Floyd Thompson Boulevard. After entering the vehicle, the men observed rival gang members walking toward the restaurant. As the rivals approached, Jackson and Edmunds opened fire. Edmunds used a firearm provided to him by Durham. Hampton Police quickly stopped the fleeing vehicle only miles from the location. All four defendants were removed from the vehicle. Ballistic tests of the firearms recovered from the vehicle matched casings left at the scene of the shooting, and all four men were positive for gunshot residue.
All four defendants have pleaded guilty and have been sentenced.
Name
Date of Sentencing
Sentence
Raiquan Turner
June 6
240 months
Quantavius Durham
July 19
210 months
Eric Edmunds, II
September 12
240 months
Raquille Jackson
September 12
220 months
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Michael Boxler, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division; and Terry L. Sult, Chief of Hampton Police Division, made the announcement after Edmunds and Jackson were sentenced by U.S. District Judge Robert G. Doumar. Managing Assistant U.S. Attorney Howard Zlotnick and Special Assistant U.S. Attorney Amy E. Cross are prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:15-cr-80.
Former State Assemblyman Tom Calderon Sentenced to Federal Prison for Laundering Bribe Payments Made to His BrotherRead the Press Release
LOS ANGELES – Thomas M. Calderon, a former member of the California State Assembly who became a political consultant, was sentenced this afternoon to one year and one day of incarceration after he pleaded guilty to money laundering for allowing bribe money to be funneled through his firm.
Tom Calderon was sentenced today by United States District Judge Christina A. Snyder, who ordered that the sentence be served half in federal prison and half in home detention. In addition to the period of incarceration, Judge Snyder ordered Tom Calderon to serve 100 hours of community service.
Tom Calderon, 62, of Montebello, pleaded guilty on June 6 to one count of money laundering and admitted that he agreed to conceal bribe payments coming from two undercover FBI agents by having the money go through his political consulting company, the Calderon Group.
The bribes were made to Tom Calderon’s brother, Ronald S. Calderon, who at the time was a California State Senator. Ron Calderon pleaded guilty on June 21 and admitted accepting bribes from the undercover agents and a businessman in exchange for performing official acts as a legislator. Ron Calderon, 59, also of Montebello, is scheduled to be sentenced by Judge Snyder next Monday, although he has asked to continue his sentencing date.
When he pleaded guilty, Tom Calderon specifically admitted that in 2013 he deposited a $30,000 bribe payment from an undercover agent into the Calderon Group’s bank account and then wrote a $9,000 check to Ron Calderon’s daughter.
“Tom Calderon was all too aware of the bribe payments to his brother and that his brother had agreed to a quid pro quo with the undercover agents,” said United States Attorney Eileen M. Decker. “Tom Calderon facilitated these bribe payments by helping to conceal his brother’s corrupt activities from the public.”
“Today's sentencing sends a message to those interested in using access to public office in order to reap personal benefits that they will be held responsible for their actions,” said Deirdre Fike, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “Mr. Calderon used his family ties to benefit personally at the expense of the constituents represented by his brother’s office.”
Tom Calderon and his brother were both indicted by a federal grand jury in 2014. Tom Calderon was charged with conspiring with his brother to commit money laundering and seven substantive counts of money laundering. The money laundering charge that Tom Calderon pleaded guilty to was count 22 in the indictment.
“IRS Criminal Investigation tirelessly untangled the web of illicit transactions that lead to Thomas Calderon being held accountable for his role in this scheme,” stated IRS Criminal Investigation’s Acting Special Agent in Charge, Anthony J. Orlando. “IRS CI remains committed to investigating those who engage in political corruption and tarnish our democratic system.”
The investigation into the Calderons was conducted by the Federal Bureau of Investigation and IRS Criminal Investigation.
This case is being prosecuted by Assistant United States Attorney Mack E. Jenkins of the Public Corruption and Civil Rights Section.
Former Opa Locka City Manager Pleads Guilty to Accepting BribesRead the Press Release
The former Opa Locka City Manager pled guilty this morning to accepting bribes in furtherance of an illegal municipal corruption scheme.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
David Chiverton pled guilty to participating in a conspiracy against the laws of the United States, that is, Federal programs bribery and extortion under color of official right, in connection with his official duties as Opa Locka’s Assistant City Manager, and subsequently as City Manager, in violation of Title 18, United States Code, Section 371.
“In open court today, a former Opa Locka City Manager admitted under oath that he sold away his commitment to fairly administer the city’s services - for a personal profit,” stated U.S. Attorney Wifredo Ferrer. “It is imperative that public officials abide by the rules, policies and legal practices that are in place to prohibit any abuse of the public’s trust. Otherwise, corrupt officials will continue to find themselves the target of law enforcement prosecutions that seek federal penalties for their misconduct.”
“Corrupt officials – either elected or appointed - are on notice; if they breach the public’s trust through stealing or accepting bribes in the course of their official duties, they will be vigorously investigated,” said William J. Maddalena, Assistant Special Agent in Charge, FBI Miami. “The FBI will continue to investigate and hold accountable any public official who utilizes their position for personal again. We encourage anyone who may have information about corruption to come forward and report it. This information is vital to our work.”
According to the court record and statements made in open court, between March 2014 and March 2016, Chiverton agreed with an unnamed Opa Locka elected official (“Public Official A”), former Opa Locka Assistant Public Works Director Gregory Harris, and others, to use their official positions and authority with the City of Opa Locka to solicit, demand, and obtain thousands of dollars in illegal cash payments from businesses and individuals in exchange for taking official actions to assist and benefit those businesses and individuals in their dealings with the City of Opa Locka.
As explained in open court at the guilty plea, Public Official A would direct Chiverton, Harris, and other City of Opa Locka employees to assist the paying businesses and individuals by issuing occupational licenses; waiving, removing, and settling code enforcement matters and liens; initiating, restoring and continuing water service; and assisting with zoning issues. Public Official A would pay Chiverton, and also would tell the paying businesses and individuals to pay Chiverton directly in exchange for these official actions. Chiverton also directly and indirectly solicited and obtained illegal cash payments in exchange for official actions assisting businesses and individuals with the same types of issues as described above.
As admitted in open court at the guilty plea, over the course of a number of months, Chiverton, in conjunction with Public Official A and another co-conspirator, accepted over $5,000 in illegal cash payments from one Opa Locka business owner in connection with the issuance of an occupational license and the resolution of three code enforcement fines and $63,000 in liens that had been placed on the business owner’s property. In addition, Chiverton, at the direction and on behalf of Public Official A, accepted an illegal $2,500 cash payment from another Opa Locka businessman as partial payment for resolving the licensing and zoning issues connected with that individual’s business.
Chiverton is scheduled to be sentenced on November 21, 2016, in front of U.S. District Court Judge Cecilia M. Altonaga. He faces a maximum sentence of 5 years’ imprisonment and 3 years’ supervised release. The court may also impose a maximum fine of $250,000.
Mr. Ferrer commended the investigative efforts of the FBI Miami Area Corruption Task Force. This case is being prosecuted by Senior Litigation Counsel Edward Stamm and Assistant United States Attorney Kimberly Selmore.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Manager at QVC Pleads Guilty to Wire Fraud, Mail Fraud and Money LaunderingRead the Press Release
PHILADELPHIA- Douglas Rae, 59, plead guilty today to wire fraud, mail fraud and money laundering for defrauding his employer, QVC, a television based retail company, announced United States Attorney Zane David Memeger.
Rae, while employed as a manager in the Lighting Department at QVC, concocted multiple schemes to falsely invoice his employer of approximately $1.8 million.
Rae faces a statutory maximum of 130 years’ imprisonment, a fine of $1.75 million, supervised release and a $700 special assessment. The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Denise S. Wolf
Former Judge-Disbarred Lawyer Sentenced to Prison for Federal Fraud ConvictionRead the Press Release
ALBUQUERQUE – A former New Mexico Workers’ Compensation Administrative Law Judge (ALJ) and disbarred lawyer was sentenced to federal prison today for her conviction on Social Security fraud and wire fraud charges, announced U.S. Attorney Damon P. Martinez, Special Agent in Charge Terry Wade of the FBI’s Albuquerque Division, and Special Agent in Charge Robert Feldt of the Social Security Administration, Office of the Inspector General.
Juanita Roibal-Bradley, 61, of Albuquerque, N.M., was sentenced in U.S. District Court to 37 months in prison followed by three years of supervised release for defrauding the Social Security Administration (SSA) of more than $40,000.00 and an estate and its beneficiaries of almost $572,000.00. Roibal-Bradley was ordered to pay $17,863.40 in restitution to the SSA; the amount of restitution Roibal-Bradley will pay to the estate heirs will be determined by the court at a later time. Roibal-Bradley also was ordered to perform 40 hours of community service.
Roibal-Bradley was charged in a 23-count indictment on Sept. 10, 2015, with one count of defrauding the SSA, twelve counts of wire fraud and ten counts of money laundering. According to the indictment, between Sept. 2007 and March 2011, Roibal-Bradley defrauded the SSA of more than $40,000.00 in disability benefits by failing to disclose that she was employed as a mediator and supervising attorney by the New Mexico Workers’ Compensation Administration and thus not entitled to disability benefits. Roibal-Bradley previously had served as an ALJ at the New Mexico Workers’ Compensation Administration from 2003 to 2007.
The indictment’s wire fraud counts alleged that between March 2012 and June 2013, Roibal-Bradley devised and executed a scheme to defraud an estate and its beneficiaries of almost $571,948.98. In furtherance of the scheme, Roibal-Bradley falsely represented herself to be an attorney authorized to practice law and agreed to provide legal services in administering an estate at a time when New Mexico Supreme Court had prohibited her from the private practice of law. The Court subsequently disbarred Roibal-Bradley in March 2014. As part of the scheme, Roibal-Bradley falsely promised to distribute the estate’s funds to its beneficiaries but instead transferred the funds into her personal bank account and used wire transfers to facilitate the transfer of funds. The indictment alleges that, between April 2012 and Aug. 2012, Roibal-Bradley facilitated eleven wire transfers ranging in amounts of $5,000.00 to $389,503.33 from the estate’s bank account to her personal bank account.
The indictment also charged Roibal-Bradley with laundering the proceeds she derived from her wire fraud activity by transferring those assets to others, including members of her family. The indictment alleges that Roibal-Bradley facilitated eleven transfers of proceeds from her wire fraud activities ranging in amounts of $12,000.00 to $131,492.77 between May 2012 and July 2012.
On Feb. 2, 2016, Roibal-Bradley pled guilty to defrauding the SSA and to the twelve wire fraud charges. In her plea agreement, Roibal-Bradley admitted she applied for SSA disability benefit payments in Sept. 2011, and claimed that she had a disability that prevented her from working. The SSA continued to pay Roibal-Bradley disability benefits between March 2008 and March 2011, even though she was working full-time as a mediator and supervising attorney for the New Mexico Workers’ Compensation Administration. In entering her guilty plea, Roibal-Bradley admitted that she failed to notify the SSA that she was capable of full-time gainful employment.
Roibal-Bradley’s plea agreement also details the scheme by which she defrauded an estate and its heirs of almost $572,000.00. In the plea agreement, Roibal-Bradley admitted that she did not tell the administrator of the estate that she was prohibited from engaging in the private practice of law. She also admitted fraudulently transferring $571,948.98 from the estate’s bank accounts into her own bank account between April 2012 and Aug. 2012.
The case was investigated by the Albuquerque office of the FBI and the Social Security Administration’s Office of Inspector General based on a referral from the Disciplinary Board of the New Mexico Supreme Court. Assistant U.S. Attorneys Holland S. Kastrin and Kristopher N. Houghton prosecuted the case.
Former Fugitive Handed Three Life Sentences for Kidnapping and Alien Smuggling, Both Resulting in DeathRead the Press Release
VICTORIA, Texas – A former fugitive who was illegally residing in Houston has been sentenced to life in prison after pleading guilty to engaging in an alien smuggling conspiracy that resulted in two deaths and kidnapping two women, one of whom was killed. One of the life sentences was ordered to run consecutively to the other two life terms imposed.
U.S. Attorney Kenneth Magidson of the Southern District of Texas and Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division made the announcement
Noe Aranda-Soto, aka Diablo, 36, of San Carlos, Michoacan, Mexico, pleaded guilty May 31, 2016, to kidnapping resulting in death, use of a firearm during and in relation to a crime of violence resulting in death and conspiracy to transport aliens for private financial gain resulting in death.
Today, U.S. District Judge John D. Rainey ordered that Aranda-Soto spend the rest of his life in federal prison. More than 20 victims and family members of victims traveled from Mexico and from various places all over the U.S. to attend the sentencing hearing, one of whom was the 18-year-old son of one of a deceased female victim who described the impact of the crime on their family. The woman's father also addressed Aranda-Soto and said, "I pray God forgives you, because we never will."
Fourteen victims addressed the court, most of whom have sustained some type of permanent injuries as a result of the defendant’s criminal conduct. Additionally, family members of two of the three victims who were killed as a result of the offenses also gave emotional testimony describing the impact of the loss of their family member on their family.
Another victim, who was shot three times but survived after jumping out of moving vehicle, was the only eyewitness to one of the brutal crimes and provided powerful testimony. She testified that she and the other woman were making plans to attempt to escape from the defendant the day he forced them into a car at gunpoint. She told the court that the woman's last words were "tell my children I love them with all of my heart.”
After all the victims spoke, Judge Rainey asked the defendant if he wished to make a statement. Aranda-Soto did not apologize nor make any comments to the court or the victims.
In his plea agreement, Aranda-Soto admitted that from 2010 until his arrest in 2012, he led an alien-smuggling and hostage-taking organization that transported aliens from areas near the south-Texas checkpoints to local stash houses in Houston and to points north. On Aug. 1, 2010, his brother was driving a vehicle loaded with illegal aliens when it rolled over near Victoria. One victim died as a result of the accident, while another had been left behind in the brush and died of exposure and dehydration. A third victim was in a coma for nearly a year and now suffers from permanent injuries, according to the plea.
Law enforcement stopped Aranda-Soto a few days later, but he fled. Aranda-Soto admitted he returned to Houston in 2012 and began to hold aliens hostage in Houston-area stash houses. According to admissions made in connection with the plea, Aranda-Soto planned to escape from Houston with two female employees after law enforcement rescued a group of aliens being held hostage and arrested several of Aranda-Soto’s employees in October 2012.
According to the plea agreement, while on Interstate 10 near Katy, Aranda-Soto became agitated and shot both the driver and the other female passenger multiple times. The injured driver jumped from the moving car and survived. Aranda-Soto then purposefully drove the car erratically, causing the other woman to be ejected from the moving vehicle onto the highway where she was subsequently run over by multiple other vehicles and killed, according to admissions in the plea agreement.
Law enforcement arrested Aranda-Soto a week later at yet another stash house, which was full of illegal aliens whom Aranda-Soto and his co-conspirators were holding hostage.
With Aranda-Soto’s plea, all of those charged in relation to the 2010 and 2012 criminal activity have now been convicted.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Border Patrol agents with the South Texas Campaign and South Texas Border Intelligence Center, Houston Police Department, Harris County Sheriff’s Office and the U.S. Marshals Service investigated the case. Assistant U.S. Attorneys Patti Hubert Booth and Casey N. MacDonald are prosecuting the case along with Trial Attorney Jeffrey Zick of the Criminal Division’s Capital Case Section.
Former Fugitive Handed Three Life Sentences for Kidnapping and Alien Smuggling, Both Resulting in DeathRead the Press Release
A former fugitive who was illegally residing in Houston has been sentenced to three terms of life in prison after pleading guilty to engaging in an alien smuggling conspiracy that resulted in two deaths and kidnapping two women, one of whom was killed. One of the life sentences was ordered to run consecutively to the other two life terms imposed.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Kenneth Magidson of the Southern District of Texas made the announcement.
Noe Aranda-Soto, aka Diablo, 36, of San Carlos, Michoacan, Mexico, pleaded guilty on May 31, 2016, to kidnapping resulting in death, use of a firearm during and in relation to a crime of violence resulting in death and conspiracy to transport aliens for private financial gain resulting in death.
Today, U.S. District Judge John D. Rainey of the Southern District of Texas ordered that Aranda-Soto spend the rest of his life in federal prison. More than 20 victims and family members of victims traveled from Mexico and from various places all over the United States to attend the sentencing hearing, one of whom was the 18-year-old son of one of the deceased female victims, who described the impact of the crime on their family. The woman’s father also addressed Aranda-Soto and said, “I pray God forgives you, because we never will.”
Fourteen victims addressed the court, most of whom have sustained some type of permanent injuries as a result of the defendant’s criminal conduct. Additionally, family members of two of the three victims who were killed as a result of the offenses gave emotional testimony describing the impact of the loss on their family.
Another victim, who was shot three times but survived after jumping out of a moving vehicle, was the only eyewitness to one of the brutal crimes and provided powerful testimony. She testified that she and the other woman were making plans to attempt to escape from the defendant the day he forced them into a car at gunpoint, and told the court that the woman’s last words were “tell my children I love them with all of my heart.”
After all of the victims spoke, Judge Rainey asked the defendant if he wished to make a statement. Aranda-Soto did not apologize nor make any comments to the court or the victims.
In his plea agreement, Aranda-Soto admitted that from 2010 until his arrest in 2012, he led an alien-smuggling and hostage-taking organization that transported aliens from areas near the south-Texas checkpoints to local stash houses in Houston and to points north. On Aug. 1, 2010, his brother was driving a vehicle loaded with illegal aliens when it rolled over near Victoria, Texas. One victim died as a result of the accident, while another had been left behind in the brush and died of exposure and dehydration. A third victim was in a coma for nearly a year and now suffers from permanent injuries, according to the plea.
Law enforcement stopped Aranda-Soto a few days later, but he fled. Aranda-Soto admitted that he returned to Houston in 2012 and began to hold aliens hostage in Houston-area stash houses. According to admissions made in connection with the plea, Aranda-Soto planned to escape from Houston with two female employees after law enforcement rescued a group of aliens being held hostage and arrested several of Aranda-Soto’s employees in October 2012.
According to the plea agreement, while fleeing by car on Interstate 10 near Katy, Texas, Aranda-Soto became agitated and shot both the driver and the other female passenger multiple times. The injured driver jumped from the moving car and survived. Aranda-Soto then purposefully drove the car erratically, causing the other woman to be ejected from the moving vehicle onto the highway where she was subsequently run over by multiple other vehicles and killed, according to admissions in the plea agreement.
Law enforcement arrested Aranda-Soto a week later at yet another stash house, which was full of illegal aliens whom Aranda-Soto and his co-conspirators were holding hostage.
With Aranda-Soto’s plea, all of those charged in relation to the 2010 and 2012 criminal activity have now been convicted.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Border Patrol agents with the South Texas Campaign and South Texas Border Intelligence Center, Houston Police Department, Harris County Sheriff’s Office and the U.S. Marshals Service investigated the case. Assistant U.S. Attorneys Patti Hubert Booth and Casey N. MacDonald are prosecuting the case along with Trial Attorney Jeffrey Zick of the Criminal Division’s Capital Case Section.
Former Carlisle CEO and Consultant Pleads Guilty in Fraud Scheme Involving Low-Income Housing DevelopmentsRead the Press Release
Seventh and Final Defendant Pled Guilty to Participating in a $36 Million Fraud Scheme Involving Fourteen Low-Income Housing Developments
The last of seven defendants pled guilty today to participating in a scheme to defraud the United States government of $36 million in funding intended for the construction of low-income housing developments.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Nadine Gurley, Special Agent in Charge, U.S. Department of Housing and Urban Development, Office of Inspector General (HUD-OIG), and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), made the announcement.
“The defendant and his co-conspirators stole $36 million dollars in federal monies that would otherwise have been used to provide affordable housing to hundreds of needy residents throughout the State of Florida,” stated U.S. Attorney Ferrer. “As a result of a steadfast commitment to justice, forged between the U.S. Attorney’s Office and our law enforcement partners, to date we have recovered over $20 million of these stolen funds and will continue to prosecute those who compromise a public service program designed to aid the poor, elderly and homeless.”
“Stealing money from the federal government is not a victimless crime. In this case, 36 million in taxpayer dollars intended for low-income housing developments never reached the needy but instead lined the pockets of Lloyd Boggio and his co-conspirators,” said William J. Maddalena, Assistant Special Agent in Charge, FBI Miami. “The FBI is committed to rooting out this type of fraud and reclaiming money that was dishonestly obtained.”
“These defendants took advantage of a tax credit intended to help Florida residents in need of affordable housing,” stated Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI). “IRS-CI will continue to commit resources to hold individuals accountable who create false tax returns in order to steal from the government.”
Lloyd Boggio, 70, of Coconut Grove, pled guilty before U.S. District Judge Ursula Ungaro to one count of money laundering, in violation of Title 18, United States Code, Section 1957. Boggio is scheduled to be sentenced on December 9, 2016 at 1:30 p.m. before United States Ursula Ungaro. As part of the plea agreement, Boggio agreed to forfeit to the United States approximately $2 million in seven frozen bank accounts. In addition, Boggio agreed to forfeit a multi-million dollar luxury home in Coconut Grove and to the entry of a forfeiture money judgment of $7,174,357. The defendant faces a maximum statutory sentence of 10 years’ imprisonment.
In addition to Boggio, the following individuals were charged criminally and previously pled guilty for their participation in these and other fraudulent schemes to steal funds intended for the construction of low-incomes housing. These individuals are:
- Matthew Greer, 38 of Miami Beach, a former CEO of Carlisle Development Group (“CDG”), a former low-income housing developer in Miami, Florida;
- Michael Runyan, 67 of Lighthouse Point, the CEO of BJ&K Construction, Inc. (“BJ&K Construction”), a general contractor in Fort Lauderdale, Florida;
- Gonzalo DeRamon, 52 of Coral Gables, a co-founder of Biscayne Housing Group (“BHG”), a former low-income housing developer in Miami, Florida;
- Michael Cox, 48 of Miami, a co-founder of BHG;
- Rene Sierra, 58 of Southwest Ranches, a founder of Siltek Affordable Housing LLC, a former general contractor in Planation; and
- Arturo Hevia, 64 of Miramar, a founder of Design Management and Builders Construction, a general contractor in Doral.
According to court records, including the agreed upon factual proffers in support of the defendants’ pleas, from 2006 to 2012, Boggio and Greer served, at alternating times, as the Chief Executive Officer of CDG. During this period, CDG applied for federal tax credits and federal grant monies to build low-income housing developments through a program administered by the Florida Housing Finance Corporation (“FHFC”). To obtain these federal funds, FHFC required developers to submit proposed development costs, including a construction contract signed by the developer and contractor.
The court record, including the defendants’ factual proffers, indicates that Boggio and Greer, of CDG, conspired with Runyan of BJ&K Construction to unjustly enrich themselves by submitting fraudulently inflated low-income housing construction contracts to FHFC’s representatives in order to obtain excess federal tax credits and grant monies to which they were not entitled, and then to use the proceeds for their personal use and benefit. Boggio, Greer, and Runyan caused the submission of fraudulently inflated construction contracts on at least eight different low-income housing developments, which resulted in the allocation of at least $26 million in excess federal tax credits and grant monies. With these excess federal funds, Runyan made kickback payments for the benefit of Boggio and Greer, including an $8.7 million wire transfer to Boggio’s bank account in the name of Caesar and Cleopatra on March 23, 2011.
According to the factual proffers, Boggio and Greer also conspired with Cox and DeRamon of BHG to steal government money intended to build low-income housing developments. BHG employed the same contract inflation scheme of submitting fraudulently inflated contracts to FHFC for the receipt of excess federal tax credits and grant monies on two low-income housing developments jointly developed by CDG and BHG. In or around May 2010, Boggio and Greer agreed with Cox and DeRamon to share approximately $3.7 million in excess government funds for these two joint venture developments.
Court documents further indicate that as a result of the defendants’ fraudulent schemes to inflate low-income housing construction contracts, FHFC allocated more than $36 million in excess tax credits and grant monies for fourteen low-income housing developments. Both during and after construction of the developments, the contractors made periodic kickback payments of the fraudulent contract inflation monies for the benefit of the CDG and BHG principals, including more than $26 million in kickbacks from Runyan for the benefit of Greer and Boggio; more than $6.2 million in kickbacks from Sierra for the benefit of DeRamon, Cox, Greer, and Boggio; and more than $1 million in kickbacks from Hevia for the benefit of DeRamon and Cox.
During the course of this investigation, through seizure warrants and voluntary payments by the defendants, the United States has collected over $20 million in proceeds connected to the thefts of government funds.
Mr. Ferrer thanked the FBI, HUD-OIG, and IRS-CI for their work on this case. This and all related cases are being prosecuted by Assistant U.S. Attorneys Michael R. Sherwin, Michael N. Berger, Karen Rochlin, Evelyn Sheehan, and Eloisa Fernandez.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Fifth and Final Defendant in the Taco John’s Robbery and Shooting Sentenced to Federal PrisonRead the Press Release
FARGO - US Attorney Christopher C. Myers announced that on September 12, 2016, Tommy Trent, 29, Fargo, North Dakota, was sentenced before US District Judge Ralph R. Erickson to serve two (2) years in prison followed by three (3) years of supervised release for Interference with Commerce by Threats or Violence- Hobbs Act Robbery. Judge Erickson also ordered Trent to pay a $100 special assessment to the Crime Victims’ Fund.
On or about September 3, 2015, Trent and other co-conspirators were involved in robbing the Taco John’s restaurant located at 2601 32nd Ave. S., Fargo, as the restaurant was beginning to close. During the robbery co-conspirator Smith fired two shots, with one of the shots hitting an employee in the leg, causing injury that required medical treatment. Trent acted as a getaway driver and a lookout.
The other four men involved in the Taco John’s robbery have already been sentenced:
• Rico Jamal Brown, 27, three (3) years and six (6) months in prison
• Calvin Michael Frederick Brown, 25, five (5) years in prison
• Kadeem Malik Muhammed, 25, seven (7) years in federal prison
• Carl Eugene Smith, 24, twelve (12) years in federal prison
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATFE), as well as the Fargo Police Department.
U. S. Attorney Christopher C. Myers prosecuted the case.
Federal Grand Jury Indicts Three in $6.5 Million Diamond Investment Fraud SchemeRead the Press Release
DALLAS — A federal grand jury in Dallas has indicted three Texas residents on various charges stemming from their involvement in a diamond investment scheme they ran from approximately March 2011 to November 2013, announced U.S. Attorney John Parker of the Northern District of Texas.
Defendants Craig Allen Otteson, 64, of McKinney, Jay Bruce Heimburger, 58, of Dallas, and Christopher Arnold Jiongo, 55, of Houston, surrendered to federal authorities on Friday morning, September 9, 2016, and made their initial appearances that afternoon before U.S. Magistrate Judge David L. Horan. Each was released on bond.
Specifically, the 10-count indictment charges each defendant with one count of conspiracy to commit wire fraud and three counts of wire fraud. In addition, Otteson and Heimburger are each charged with six counts of mail fraud.
According to the indictment, Otteson acted as the Managing Member and Chief Compliance Officer of Stonebridge Advisors, LLC, located on Belt Line road in Dallas. Stonebridge Advisors was involved as the Managing Partner of Worldwide Diamond Ventures, L.P., located at 6029 Belt Line in Dallas, and it acted as the General Partner of Worldwide Diamond. Heimburger acted as a Principal Partner of Worldwide Diamond, and he was also listed as the registered agent and Director of JBH Securities, Inc. located on San Rafael in Dallas. JBH Securities was primarily involved in the business of providing investment advice. Worldwide Diamond was primarily involved in the business of buying and reselling diamonds on the international market. On October 1, 2013, Worldwide Diamond filed for bankruptcy in the Northern District of Texas.
According to the indictment, the defendants initially attempted to raise funds for their new business of purchasing and reselling diamonds by offering the sale of additional limited partnerships, in the minimum amount of $100,000, in Worldwide Diamond, but were unable to raise sufficient capital funds in this manner. Then, in March 2011, defendants attempted to raise additional needed start-up funds by offering “Non-Recourse Promissory Notes” (diamond notes). The defendants hired three outside companies to market and sell the diamond notes to investors in Texas, Pennsylvania and California. Each $50,000 diamond note had a nine-month maturity date and an 8% rate of return.
The indictment alleges that from approximately March 2011 through November 2011, Otteson, Heimburger and Jiongo defrauded their first round of investors when they fraudulently concealed material information from them, including how they used investor funds, and other information, which caused 57 investors to invest a total of $5,141,699 with Worldwide Diamond Ventures.
The indictment further alleges that from February 2012 through May 2013, Otteson and Heimburger defrauded the second round of investors when they fraudulently concealed material information from investors, including how they used investor funds and other information, which caused 20 new investors to invest a total of $1,333,000 with Worldwide Diamond Ventures.
Defendants promised investors that all investor funds would only be used to purchase and resell diamonds. However, as part of the fraudulent scheme, the defendants concealed from investors that defendants used nearly $2.5 million of investor funds to make unauthorized loans to third parties. As a result of the defendants’ investor fraud scheme, these 77 investors sustained a total loss of at least $4,922,811.
An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. However, if convicted, the maximum statutory penalty for each of the counts charged in the indictment is 20 years in federal prison and a $250,000 fine. The indictment also includes a forfeiture allegation that would require the defendants, upon conviction, to forfeit the proceeds obtained as a result of the offense. Restitution could also be ordered.
This case is one of several felony prosecutions of bankruptcy-related crimes generated by the Bankruptcy Fraud Initiative in the Northern District of Texas. Twenty defendants have been charged as part of that initiative; 16 were convicted, one resulted in a mistrial and three are pending trial.
The U.S. Postal Inspection Service is conducting the investigation. Assistant U.S. Attorney David Jarvis is in charge of the prosecution.
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Federal Grand Jury Indicts Ethel Businessman for Investor Fraud Scheme Worth over $3.5 MillionRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced today the unsealing of an Indictment against BRYAN LEE ADDINGTON, age 55, of Ethel, Louisiana. The Indictment charges the defendant with five counts of mail fraud, in violation of Title 18, United States Code, Section 1341, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. The Indictment also includes a forfeiture allegation that will require the defendant to forfeit the proceeds of his fraud if convicted.
The Indictment alleges that the defendant engaged in a scheme to defraud numerous victim investors from January 2010 through at least April 2016. According to the Indictment, the defendant solicited and obtained over $3.5 million from his victims. To induce the victims into investing with him, ADDINGTON falsely represented to his victims that their money would be invested in real estate and land, insurance products, and stock, and would be used to purchase insurance policies. He allegedly represented that such investments were safe and would yield good returns, and that they would, in some cases, bring guaranteed returns. Meanwhile, according to the Indictment, ADDINGTON allegedly hid from his victims that the Financial Industry Regulatory Authority had permanently barred him from acting as a broker or otherwise associating with firms that sell securities to the public.
According to the Indictment, once ADDINGTON was in control of the victim investors’ funds, he diverted a substantial portion of the funds to his own personal use, the use of others, and to make payments to other victim investors. Examples of his personal use including spending at Ruth’s Chris Steak House, Galatoire’s Bistro, Victoria’s Secret, Disney Resort, various casinos, and thousands of dollars in purchases of Louisiana State University athletic tickets.
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigation Division, and the Louisiana Office of Financial Institutions, in coordination with the Louisiana Department of Insurance and Louisiana State Police. It is being prosecuted by Assistant United States Attorneys Ryan Rezaei and Ryan Crosswell.
NOTE: An indictment is an accusation by the Grand Jury. The defendant is presumed innocent until and unless adjudicated guilty at trial or through a guilty plea.
Eufaula Woman Sentenced to 24 Months Probation, $500 Fine for DUIRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that FELICIA ANN BREEDLOVE, age 45, of Eufaula, Oklahoma, was sentenced to 2 years of probation and a $500.00 fine for OPERATING A MOTOR VEHICLE UNDER THE INFLUENCE OF ALCOHOL, a Misdemeanor, in violation of Title 47, Section 11-902(A)(1) of the Oklahoma Statutes, and Title 18, United States Code, Sections 7(3) and 13.
The Information alleged that on or about October 16, 2015, within the Eastern District of Oklahoma the defendant, FELICIA ANN BREEDLOVE, at the McAlester Army Ammunition Plant, at or near the Main Gate on C-Tree Road, on land acquired for the use of the United States and under the exclusive jurisdiction thereof, did drive and operate a silver 2006 Nissan Altima motor vehicle while under the influence of alcohol, as evidenced by a properly administered breath test which measured a .13 breath alcohol content.
The Honorable Steven P. Shreder, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing.
The charges are a result of an investigation by the Department of the Army Civilian Police.
Assistant United States Attorney Timothy Hammer represented the United States.
Eight People Charged in Takedown of Camden Drug Trafficking OrganizationRead the Press Release
CAMDEN, N.J. - Federal and local law enforcement authorities arrested five people this morning and charged three others for their alleged roles in a crack cocaine and heroin trafficking organization operating in Camden, U.S. Attorney Paul J. Fishman announced.
Jason Boyd, 36, Preston Thomas, 30, Julian Dickerson, 24, Derek Stallworth, 20, and Tony Wilson, 24, all of Camden, were arrested today and charged by complaint with drug trafficking conspiracy. They appeared this afternoon before U.S. Magistrate Judge Joel Schneider in Camden federal court and were detained.
Joseph Boyd, 31, of Camden, Jeffrey Whitaker, 32, of Collingswood, New Jersey, and Nafeez Griffin, 30, of Camden – all of whom are presently incarcerated on other charges – were also charged with drug trafficking conspiracy and will have their initial appearances at a later date.
According to the complaints:
The defendants are members of a drug trafficking organization that, from November, 2015 through September 2016, dealt crack cocaine and heroin in and around Camden, with criminal activities concentrated on the 1100 block of Lansdowne Avenue. Joseph Boyd, Jason Boyd, and Thomas are the alleged leaders and managers of the operation. Whitaker, Stallworth, Wilson, Dickerson, and Griffin staffed the block during assigned shifts and distributed drugs to customers who approached on foot and in vehicles.
The arrests and charges are the result of an investigation that began in late 2015 and involved controlled purchases of crack cocaine and heroin and multiple authorized wiretaps of phones used by members of the conspiracy.
The drug trafficking conspiracy count carries a maximum potential penalty of 20 years in prison and a $5 million fine.
U.S. Attorney Fishman credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, South Jersey Resident Agency, under the direction of Special Agent in Charge Michael Harpster; the Camden County Police Department, under the direction of Chief J. Scott Thomson; the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo; and the N.J. State Police, under the direction of Col. Rick Fuentes, with the investigation leading to the charges.
He also thanked the Camden County Sheriff’s Department, the Cherry Hill Police Department, and the U.S. Department of Homeland Security Investigations (HSI) for their assistance.
The government is represented by Assistant U.S. Attorney Gabriel J. Vidoni of the U.S. Attorney’s Office Criminal Division in Camden.
The charges and allegations contained in the complaints are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Durant Man Sentenced to 6 Months Home Detention for Theft of Gaming EstablishmentRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma announced today that CHARLES BLAIR SMALLWOOD, age 24, of Durant, Oklahoma, was sentenced to 6 months of home detention and 4 years of probation for THEFT BY OFFICERS OR EMPLOYEES OF GAMING ESTABLISHMENT ON INDIAN LANDS, in violation of Title 18, United States Code, Sections 2250(a)(1), 2250(a)(2)(B) and 2250(a)(3).
The charge arose from an investigation by the Choctaw Nation Tribal Police and the Federal Bureau of Investigation. The defendant was indicted in March, 2016 and pled guilty in April, 2016.
The Indictment alleged that from in or about December 2014, to on or about August 17, 2015, in the Eastern District of Oklahoma, the defendant, while an employee of the Choctaw Nation Casino and Resort, in Indian Country, did embezzle, abstract, purloin, willfully misapply, and take and carry away with intent to steal any moneys, funds, assets, or other property in excess of $1,000.00 belonging to the Choctaw Nation Casino and Resort, an Indian gaming establishment operated by the Choctaw Nation of Oklahoma pursuant to an ordinance or resolution approved by the National Indian Gaming Commission.
The Honorable James H. Payne, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing.
Assistant United States Attorney Kristin Harrington represented the United States.
Duell Sentenced to 11 Years, 3 Months on Perjury ConvictionsRead the Press Release
ALBANY, NEW YORK – Jennica A. Duell, age 28, of Schenectady, New York, was sentenced today to 135 months in prison for providing false testimony before a grand jury investigating the May 2013 fire that killed three of her children and their father, as well as seriously injured a fourth child.
The announcement was made by U.S. Attorney Richard S. Hartunian and Charlie J. Patterson, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) New York Field Division.
United States Attorney Richard S. Hartunian said: “Jennica Duell’s perjuries were the most reprehensible imaginable – detailed falsehoods about an arson homicide that killed the defendant’s own young children and their father and crippled the federal criminal investigation to hold accountable those responsible. Five times over five weeks, Duell said she was present when the fire was set by her boyfriend, even recounting how she said ‘yes’ when he asked if she wanted to be free before setting the blaze. Eight months later, she testified that her prior statements and testimony were false and said she and her boyfriend were never there. My office and our law enforcement partners remain fully committed to uncovering the truth and securing justice for the victims of this heinous act.”
ATF Acting Special Agent in Charge Charlie J. Patterson said: “On the night of May 2, 2013, David Terry, 32, Layah Terry, 3, Michael Terry, 2, and Donavan Duell, 11 months old, lost their lives. Sa’fyre Terry, then 5, survived through the actions of her father, but suffered severe burns. The children’s mother, the defendant, Jennica Duell, when confronted with the horror of that crime, betrayed them and this community by obstructing and impeding the criminal investigation rather than telling the truth. Sa’fyre will have to live the rest of her life with the injuries of that night; the defendant will only have to live with the repugnance and moral turpitude of her character. While the damage the defendant did to the investigation cannot be understated, her sentencing today, though justly deserved, is only a small victory in light of the greater task at hand. ATF’s goal is, and always will be, the identification, prosecution and conviction of those responsible for the crimes that occurred on that terrible night. The memory of the victims who perished, and the will of Sa’fyre to live, strengthen our resolve to ensure that justice is done.”
As part of her May 16, 2016 guilty plea, Duell admitted that she made irreconcilably contradictory statements under oath before a grand jury conducting an investigation into the May 2, 2013 arson at 438 Hulett Street in Schenectady, New York, which caused the deaths of David Terry and three young children, seriously injured another child, and destroyed the building and the personal property inside. Duell admitted that on May 24, 2013, she testified regarding specific events that allegedly occurred on May 1-2, 2013, and then, on January 31, 2014, gave irreconcilably contradictory testimony about those events.
On May 24, 2013, Duell’s testimony about the events of May 2, 2013 included the following: Sometime after 3 a.m., she, her boyfriend, and two other men traveled from Saratoga Springs to Schenectady so that her boyfriend could confront David Terry, the father of her children. They stopped at a gas station and filled up a gas can. Then they went to the house at 438 Hulett Street, where her boyfriend grabbed the gas can and poured some gas into a water bottle, walked over to the house, and poured gas in the hallway and up the stairs. Duell asked what he was doing, said “don’t do this,” and “my babies are in there,” and her boyfriend said “they are not going to get hurt.” After he lit the fire, Duell “saw the flames” and “wanted to get in there . . . but he wouldn’t let me.” Before her boyfriend poured the gas and set the fire, he said to Duell, “do you want to be free?” Duell said “yes.”
On January 31, 2014, Duell testified that her prior testimony regarding what happened on May 1-2, 2013 was untrue.
Senior U.S. District Judge Gary L. Sharpe also sentenced Duell to a 3-year term of post-imprisonment supervised release and imposed a $300 special assessment.
On March 17, 2016, Judge Sharpe sentenced Edward A. Leon, 44, of St. Johnsville, New York, to 10 years in prison, also for providing perjured testimony to the grand jury investigating the May 2013 fire. Leon was convicted of perjury following a 3-day trial in November 2015.
This case was investigated by the ATF, the Schenectady Police Department, and the Schenectady Fire Department. The case was prosecuted by First Assistant U. S. Attorney Grant C. Jaquith and Assistant United States Attorney Wayne A. Myers.
Further questions or inquiries may be directed to First Assistant U.S. Attorney Jaquith at 518-431-0247.
The ATF notes that there is a reward of up to a total of $40,000 for information leading to the arrest and conviction of the person(s) responsible for the arson that occurred on May 2, 2013 at 438 Hulett Street in Schenectady, resulting in personal injury and death. All information will be treated confidentially and the callers will remain anonymous if requested. Anyone having information is encouraged to call ATF at 1-888-ATF-FIRE (1-888-283-3473), or email [email protected], or contact ATF through its web site at www.atf.gov/contact/atf-tips. Tips may also be submitted to ATF through the “report it” app, available on both Google Play and the Apple App Store, or by visiting www.reportit.com.
District Man Sentenced to 18 Years in Prison for Killing Man in Broad Daylight in Northwest WashingtonRead the Press Release
WASHINGTON – Carlton Hammond, 28, of Washington, D.C., was sentenced today to 18 years in prison on charges stemming from the slaying of a man in a broad daylight attack that took place in Northwest Washington, U.S. Attorney Channing D. Phillips announced.
Hammond was found guilty in May 2016 of second-degree murder while armed and carrying a dangerous weapon. The verdict followed a trial in the Superior Court of the District of Columbia. He was sentenced by the Honorable Michael Ryan. Upon completion of his prison term, Hammond will be placed on five years of supervised release.
According to the government’s evidence, in the late afternoon of Oct. 3, 2014, Hammond was among a group of over 10 men gathered in the 3400 block of 14th Street NW; the group included the victim, Kenneth Young, 35. Hammond and Mr. Young got into a fight at about 5:30 p.m. that ended with the stabbing of Mr. Young. Hammond fled on foot, and Mr. Young collapsed on the sidewalk. He died from his injuries, which included a three-inch deep stab wound to the right center of the chest that pierced his heart. He also sustained several other deep, gaping stab wounds to the left forearm and right shoulder. Later that night, a witness overheard Hammond boasting about the attack. Hammond was arrested Oct. 24, 2014.
In announcing the sentence, U.S. Attorney Phillips commended the work of those who investigated the case from the Metropolitan Police Department (MPD). He acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Information Technology Specialist Leif Hickling; Investigative Analyst Zachary McMenamin; Paralegal Specialist Kendra Johnson, and Victim/Witness Advocate Marcia Rinker. Finally, he commended the work of Assistant U.S. Attorney Michelle Bradford, who secured the indictment in the case, and Assistant U.S. Attorneys Kimberley C. Nielsen and Allessandra Stewart, who prosecuted the case.
Detroit man pleads guilty to federal heroin crimeRead the Press Release
HUNTINGTON, W.Va. – A Detroit man pleaded guilty today to a federal drug crime, announced United States Attorney Carol Casto. Djuan Levell Washington, 28, entered his guilty plea to possession with intent to distribute heroin.
On July 24, 2015, Washington was involved in a traffic stop on the 300 block of 31st Street in Huntington. As the car began to stop, Washington was seen throwing three plastic bags out of the passenger window. A police dashboard camera also recorded Washington throwing the bags out of the car. The bags were recovered and were found to contain 126 individual baggies of heroin. Officers additionally located 10 individually wrapped baggies of crack within the three plastic bags. Washington admitted that he intended to sell the drugs. In a further search of the vehicle, investigating officers discovered a loaded Hi-Point 9 millimeter pistol in a backpack belonging to Washington.
Washington faces up to 20 years in federal prison when he is sentenced on December 19, 2016.
Members of the Huntington Police Department and the Huntington FBI Drug Task Force conducted the investigation. Assistant United States Attorney Gregory McVey is handling the prosecution. The plea hearing was held before Chief United District Judge Robert C. Chambers.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Connecticut Man Pleads Guilty to Federal Charge for Illegally Scaling White House FenceRead the Press Release
WASHINGTON – Joseph A. Caputo, 23, of Stamford, Conn., pled guilty today to a federal charge stemming from an incident on Thanksgiving Day 2015 in which he illegally scaled the White House fence, announced U.S. Attorney Channing D. Phillips and Brian J. Ebert, Special Agent in Charge, Washington Field Office, U.S. Secret Service.
Caputo pled guilty to a charge of entering or remaining in a restricted building or grounds, which carries a statutory maximum of one year in prison, potential financial penalties, and up to a year of supervised release. The Honorable Christopher R. Cooper scheduled sentencing for Dec. 6, 2016. At sentencing, the government has agreed to recommend that the Court impose a period of probation, during which Caputo would be subject to various conditions, including an order to stay away from the District of Columbia and any facilities, sites or people under Secret Service protection, and an agreement to submit to interviews by the Secret Service and undergo a psychiatric evaluation, if requested, by a Secret Service psychologist.
According to the government’s evidence, on Nov. 26, 2015, Thanksgiving Day, an officer with the U.S. Secret Service’s Uniformed Division witnessed Caputo scaling the White House fence at about 2:45 p.m. At the time, Caputo had one leg over the fence and was wearing an American flag around him like a cape. The officer ran towards Caputo, but Caputo made it over the fence and dropped onto the North Lawn of the White House. The officer called over the radio to alert other officers, and members of the Uniformed Division ordered Caputo to stop and get on the ground. Caputo complied with the orders and was immediately taken into custody.
While in custody, Caputo made spontaneous statements to law enforcement, including, “I love my country” and “I knew I would be locked up.”
In announcing the plea, U.S. Attorney Phillips and Special Agent in Charge Ebert commended the work of those who investigated the case from the U.S. Secret Service. They also expressed appreciation for the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Ari B. Redbord and Special Assistant U.S. Attorney Jacqueline Barkett, who are prosecuting the matter.
Chilean Man Sentenced for Illegal Re-EntryRead the Press Release
ALBANY, NEW YORK – Victor Manuel Fuentes-Gomez, age 68, a Chilean citizen, was sentenced today to serve 30 months in prison for illegally re-entering the United States.
The announcement was made by U.S. Attorney Richard S. Hartunian and John C. Pfeifer, U.S. Border Patrol’s Chief Patrol Agent for the Swanton Sector.
In May, Fuentes-Gomez pled guilty to re-entering and being found in the United States after he was previously removed from the country. Fuentes-Gomez was found by the St. Regis Mohawk Tribal Police and Border Patrol agents in Hogansburg, New York, on January 25, 2016. Fuentes-Gomez had previously been deported and removed from the United States to Chile in 1975 and again in 2015.
Following Fuentes-Gomez’s completion of his term of imprisonment, the Department of Homeland Security will process him for removal from the United States.
This case was investigated by the U.S. Border Patrol, with the assistance of the St. Regis Mohawk Tribal Police Department, and was prosecuted by Assistant U.S. Attorney Edward P. Grogan.
Burlington Man with History of Violating Abuse Prevention Orders Sentenced to 25 Months Imprisonment for Federal Firearms ViolationRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Mark Caron, 53, of Burlington, was sentenced to twenty-five months imprisonment by United States District Judge Geoffrey Crawford. The term of imprisonment will be followed by a three-year period of supervised release by the U.S. Probation Office. Caron had previously pled guilty to possessing a firearm after having been convicted of a felony offense, in this case six prior felony offenses. The Indictment charged that three of the defendant’s six prior felony offenses were violations of state abuse prevention orders.
According to court records, on September 7, 2015, Caron stole a handgun from his son in Burlington and then traveled to the Swanton, Vermont residence of a friend of Caron’s ex-girl-friends. Once there, Caron accused the friend of having contact with Caron’s ex-girlfriend. The Government alleged that Caron then threatened to shoot this man while Caron was brandishing a firearm. The Government also alleged that Caron had previously threatened his girlfriend, stating he was going to “bash her head in.”
Caron had previously been sentenced in Superior Court in Franklin County to a 58-day sentence on a plea of guilty to a state charge of Aggravated Assault with a Deadly Weapon relating to the September 7, 2015 assault. In choosing to prosecute the case federally, United States Attorney Eric Miller stated, “Domestic abuse and the illegal possession of firearms are a potentially deadly combination. When convicted felons – particularly those with a proven history of domestic abuse – illegally possess and use guns to threaten others, we will continue to pursue federal charges and enhanced federal penalties to protect Vermont’s communities.”
The United States Attorney’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives have been working closely with the Vermont Attorney General’s Office to better coordinate the combined state and federal response to the particularly dangerous combination of illegal firearm possession and domestic violence.
Vermont’s Attorney General, Bill Sorrell, lauded the state and federal cooperation that led to Mr. Caron’s federal conviction, “It's important that state and federal authorities work together to address domestic violence given the relatively high proportion of homicides in our state that are domestic-violence related. It's also important that we work together to enforce orders of protection, and to ensure those prohibited persons who violate state and federal law by continuing to possess firearms experience serious consequences for their behavior given the documented risk of lethality this poses for domestic violence victims.”
Mickey D. Leadingham, Special Agent in Charge of the ATF’s Boston Field Division, added, "Domestic violence with the threat or use of a firearm is something we take very seriously. We will continue to partner with the U.S. Attorney’s Office and the Vermont Attorney General’s Office to arrest and prosecute the individuals who commit these acts while being prohibited from possessing firearms under federal law."
This case was investigated by the Bureau of Alcohol Tobacco, Firearms and Explosives and the Swanton Police Department. The United States is represented by Joe Perella and Caron is represented by Steven Barth, Esq. of the Federal Public Defender’s Office.
Broward County Resident Convicted at Trial of Stolen Identity Tax Fraud SchemeRead the Press Release
Following a trial before United States District Court Judge William P. Dimitrouleas, a jury convicted a Broward County resident for his participation in a stolen identity tax fraud scheme.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), made the announcement.
Clifford Blain, 28, was convicted of one count of uttering a forged United States Treasury check, in violation of Title 18, United States Code, Section 510(a)(2), one count of bank fraud, in violation of Title 18, United States Code, Section 1344, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. The defendant was remanded into custody following his conviction.
According to evidence presented at trial, Blain deposited a United States Treasury check containing a forged endorsement and signature of another individual into a bank account he controlled. An image of the defendant making the deposit was captured by ATM cameras and introduced during the trial proceedings.
Sentencing is scheduled for November 18, 2016 before Judge William P. Dimitrouleas. At sentencing, Blain faces up to ten years in prison for the uttering a forged Treasury check charge, thirty years in prison for the bank fraud charge, and two years’ imprisonment, consecutive to any other prison term, for the aggravated identity theft charge.
Mr. Ferrer commended the investigative efforts of IRS-CI. The case is being prosecuted by Assistant U.S. Attorney Russell Killinger.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Bronx Man Arrested for Possessing and Distributing Child PornographyRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the arrest of RUDY MENA stemming from his possession and distribution of child pornography. MENA was arrested at his apartment in the Bronx, New York, on September 9, 2016, and was presented today before United States Magistrate Judge James L. Cott in Manhattan federal court.
Manhattan U.S. Attorney Preet Bharara said: “Mena is charged with possessing and distributing child pornography, and in online chats with undercover agents, he allegedly boasted about molesting a young child. Thanks to the dedicated work of law enforcement, Mena is under arrest and can no longer hurt other children.”
FBI Assistant Director-in-Charge William F. Sweeney Jr. said: “There is nothing more disturbing than an offender raping and sexually abusing a young child. I must commend the super-human effort of investigators and prosecutors who are required to view and testify to the content of videos and photos depicting depravity well beyond anything that should exist in our society.”
According to the Complaint[1] filed today in federal court:
Starting in July 2016, an individual who was later identified as MENA communicated through an online messaging application with an undercover detective assigned to the Metropolitan Police Department-FBI (“MPD-FBI”) Child Exploitation Task Force, based in Washington, D.C. (“UC-1”). Through these exchanges, MENA, using the screen name “ragzbagz,” indicated to UC-1 that he was a 23-year-old New Yorker with access to a young child. He allegedly sent UC-1 a video purportedly depicting that young child naked, and informed UC-1 in graphic detail that he had molested the child. MENA also sent UC-1 multiple images of child pornography, including photographs of a prepubescent child’s vagina being touched and penetrated by an adult penis.
On September 9, 2016, MENA communicated online with a New York City-based undercover agent assigned to the FBI’s Crimes Against Children squad (“UC-2”). MENA informed UC-2 that MENA was primarily interested in children aged 4 through 8. MENA also sent UC-2 multiple photographs of an infant, at least one of which was taken from a media device that appeared to have been used by MENA. Later that day, the FBI arrested MENA at his residence in the Bronx, New York.
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MENA, 23, of the Bronx, is charged with one count of possession of child pornography, which carries a maximum sentence of 20 years in prison, and one count of distribution of child pornography, which carries a maximum sentence of 40 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Any individuals who believe they have information concerning MENA that may be relevant to the investigation should contact the FBI at 1-212-384-1000 or https://tips.fbi.gov/.
Mr. Bharara praised the efforts of the MPD and FBI in this investigation. He added that the investigation is continuing.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Jonathan Rebold is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations and every fact described should be treated as an allegation.
Beltsville Man Convicted for Financial Fraud SchemeRead the Press Release
Greenbelt, Maryland – A federal jury today convicted Jemel Maurice Lyles, a/k/a Michael Anderson, Anthony Alva and Tony Alva, age 35, of Beltsville, Maryland, for conspiracy to commit wire fraud, wire fraud and money laundering, arising from a scheme in which he fraudulently received $72,000 from a victim after falsely promising to assist the victim to obtain $1 million in financing for a day care center.
The conviction 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.
According to court documents and evidence presented at his five-day trial, co-conspirator Stephen Courtney Evans introduced Victim 1 to Lyles, whom he identified as “Michael Anderson.” The victim was looking for capital to finance a day care center. Lyles communicated with the victim by email or telephone under the alias of Michael Anderson, the CFO of Capital Group Holdings. Lyles and Evans falsely represented that CGH was a financial services business and for a fee, could obtain a Standby Letter of Credit (SBLC) for the victim. Lyles agreed to sell the victim a $1 million SBLC in exchange for a 7.2% fee of the total amount, or $72,000. According to trial testimony, Lyles falsely represented that the victim could use the SBLC as collateral to obtain a non-recourse loan (a loan that the victim would not be required to pay back) from another financial institution.
The evidence showed that Lyles falsely told the victim that Hampstead Private Finance Group Limited (HPFG) would provide the victim with an $800,000 non-recourse loan, using the $1 million SBLC as collateral. According to witness testimony, Lyles communicated with the victim using a purported HPFG email address, which Lyles created to perpetrate the scheme, and the alias “Tony Alva,” the Chief Financial Officer of Hampstead Private Finance Group, which at that time was a defunct entity. Using the Alva alias, Lyles falsely confirmed to the victim that HPFG would accept the $1 million SBLC, which the victim was to obtain from CGH, as collateral on an $800,000 non-recourse loan.
According to evidence presented at trial, after receiving the victim’s $72,000 fee for the SBLC, Lyles took the money for his personal use, including the purchase of a Land Rover, and payment of past due rent. Lyles (as Anderson) continued to assure the victim that a $1 million SBLC had been purchased and that the transaction was being processed. Lyles (as Anderson) also falsely told the victim that he would return the victim’s $72,000 fee.
Lyles faces a maximum sentence of 20 years in prison and a fine of $250,000 for the conspiracy, and for wire fraud; and a maximum of 10 years in prison for each of the two counts of money laundering. U.S. District Judge Deborah K. Chasanow has scheduled his sentencing for January 23, 2017, at 9:00 a.m.
Co-conspirator Stephen Courtney Evans, age 50, of Manassas, Virginia, previously pleaded guilty to his role in the scheme and is scheduled to be sentenced on November 7, 2016, at 10:00 a.m.
Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Ray D. McKenzie and Thomas M. Sullivan, who are prosecuting the case.
Baton Rouge Resident Convicted of Fraudulent Scheme Throughout 2012 and 2013Read the Press Release
BATON ROUGE, LA - United States Attorney Walt Green of the Middle District of Louisiana announced that RAPHEW T. REED, JR., age 31, of Baton Rouge, Louisiana, has been convicted of false representation of a Social Security number, in violation of Title 42, United States Code, Section 408(a)(7)(B), and wire fraud, in violation of Title 18, United States Code, Section 1343, in connection of a fraudulent scheme he executed throughout 2012 and 2013 in the Baton Rouge area and elsewhere. REED entered his guilty pleas before Judge John W. deGravelles and is now awaiting sentencing. REED faces significant incarceration, fines, restitution, and supervised release following imprisonment, as well as the forfeiture of the proceeds of his criminal activity.
REED was a resident of Baton Rouge, Louisiana, who held himself out as a financial advisor and as someone who could assist individuals and businesses in obtaining credit and financing. However, during his guilty plea hearing, REED admitted that, in May of 2012, he knowingly made false statements to a federally-insured credit union in an attempt to obtain a loan. REED provided the credit union with a false Social Security number and documents that misrepresented his identity, income, and credit score. When that scheme failed, from late 2012 through April 2013, REED executed a scheme to defraud another company, which, on November 27, 2012, wired $125,000 to REED. REED fraudulently diverted the funds to his friends, family members, others to whom he owed money, and to another one of his own bank accounts. When the victim repeatedly asked REED to return the funds, as he had promised he would do, REED falsely represented to the victim that he was in the process of returning the company’s funds. REED knew that he did not have the funds but continued to make false statements to the victim through April of 2013.
U.S. Attorney Green stated: “Con artists undermine the financial security of our community and often leave many victims in their wake. We will continue to vigilantly pursue such criminals with the resources necessary to bring them to justice.”
This ongoing matter is being investigated by the Baton Rouge office of the Federal Bureau of Investigation, with valuable assistance from the Social Security Administration’s Office of Inspector General. The matter is being prosecuted by Assistant United States Attorney Alan A. Stevens, who serves as a deputy chief within the office’s Criminal Division.
Atlantic County, New Jersey, Man Charged with Using Telephone Dating Services to Defraud Multiple Women Across Several StatesRead the Press Release
CAMDEN, N.J. - An Atlantic County man who was previously sentenced for wire fraud was charged today with using telephone dating services to lure and defraud multiple women after he escaped from a halfway house and later, while being on federal supervised release, U.S. Attorney Paul J. Fishman announced.
Patrick Giblin, 52, formerly of Ventnor, New Jersey, is charged by complaint with one count of wire fraud. He made his initial appearance today before U.S. Magistrate Judge Ann Marie Donio in Camden federal court and was detained.
Giblin was previously sentenced in April 2007 to 115 months in federal prison on wire fraud charges related to a similar scheme to defraud women. Giblin was sentenced again on Oct. 2, 2015 to 24 months in prison for violating the terms of his supervised release. He was taken into custody today following the completion of this sentence at FCI-Fairton.
According to the complaint:
Between December 2012 and Dec. 16, 2014, Giblin contacted telephone dating services in an attempt to lure and defraud women by preying on their hope of developing a relationship. Giblin used a series of false representations to convince women on these services to loan him money based on the false promise that he would pay them back.
Giblin posted advertisements and messages on the telephone dating services wherein he falsely claimed, among other things, that he was moving to a victim’s location, that he owned oceanfront property in Atlantic City, and that he worked in the casino business.
Giblin fraudulently told the victims he needed to borrow money for bills, car repairs, moving expenses, and other phony expenditures. He received money from the women via interstate wire services such as Western Union and Moneygram. The complaint – which only includes a sample of the victims involved in the scheme – discusses eight separate victims in five different states and Canada, who lost a total of over $7,000 to Giblin. The investigation remains ongoing.
During the course of the scheme, Giblin, who was on federal supervised release for previously defrauding over 50 women for over $200,000 in losses, unlawfully fled New Jersey for Colonie, New York, where he continued to receive money until his arrest by the U.S. Marshals on Dec. 16, 2014. Giblin has been in federal custody since that time.
Giblin faces a statutory maximum term of imprisonment of 20 years and a $250,000 fine if convicted.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, with the investigation leading to the charges. Fishman also thanked the U.S. Marshals Service, under the direction of U.S. Marshal Juan Mattos in Newark, for its assistance in this case.
The charge and allegations against Giblin are merely accusations, and he is considered innocent unless and until proven guilty.
The government is represented by Deputy Attorney in Charge Matthew J. Skahill and Assistant U.S. Attorney Gabriel J. Vidoni of the U.S. Attorney’s Office in Camden.
Defense counsel: Christopher O’Malley, Esq.Ambulance Company Owner Sentenced in Medicare FraudRead the Press Release
PHILADELPHIA – Zahar “Alex” Tkach of Bensalem, PA, was sentenced today by U.S. District Court Judge Harvey Bartle III to 60 months’ incarceration, 3 years’ supervised release and $1,250,930 in restitution in connection with a scheme to defraud Medicare by charging for unnecessary ambulance services, obstructing two federal audits and laundering criminal proceeds. The scheme ran from approximately June 2008 through April 2012.
As described in the 19-count indictment, Zahar Tkach owned two ambulance companies, NovaCare Ambulance Services, Inc. (also called “Novocare Ambulance”) and Cardiac Care Ambulance, Inc. (“Cardiac Care”), operating primarily in Philadelphia and the surrounding counties. The two ambulance companies shared resources, including employees and patients. Tkach managed both companies’ operations, finances and billings. Tkach transported dialysis patients who needed treatments three times per week, thereby allowing him to bill Medicare extensively for those patients, when the ambulance services were not medically necessary for those patients. He also billed Medicare for paratransit services by falsely claiming that the patients were transported by ambulance. When Medicare audited the 2011 billings of Novocare and Cardiac Care, the defendant obstructed the audits by altering, and directed employees to alter, ambulance transport records and he falsified medical authorization forms, all of which he submitted to the Medicare auditors to support the fraudulent billings.
This case was investigated by the FBI and the Department of Health and Human Services-Office of the Inspector General and prosecuted by Assistant U.S. Attorney Andrea Foulkes.
Albuquerque Man Pleads Guilty to Robbing Two Fast-Food Restaurants and Brandishing a Firearm During the RobberiesRead the Press Release
ALBUQUERQUE – Sheldon Harris, 28, of Albuquerque, N.M., pled guilty today in federal court to violating the Hobbs Act by robbing two Albuquerque-area fast food restaurants and to brandishing a firearm during the robberies.
Harris was arrested on April 20, 2016, on a ten-count indictment charging him with: robbing Albuquerque-area Subway restaurants on Aug. 22, 2015, Sept. 6, 2015, Sept. 8, 2016, Sept. 26, 2015, and Oct. 5, 2015; robbing Albuquerque-area Blake’s Lotaburger restaurants on Oct. 1, 2015, Oct. 5, 2015, Oct. 11, 2015, and Oct. 18, 2015; and brandishing a firearm during a crime of violence from Aug. 22, 2015 through Oct. 18, 2015. According to the indictment, Harris committed the crimes in Bernalillo County, N.M.
During today’s proceedings, Harris pled guilty to Counts 8 and 9 of the indictment, each charging him with violating the Hobbs Act by robbing a business engaged in interstate commerce. He also pled guilty to Count 10, charging him with brandishing a firearm during a crime of violence. In entering the guilty plea, Harris admitted that on Oct. 11, 2015 and Oct. 18, 2015, he robbed Blake’s Lotaburger restaurants at gunpoint. Harris further admitted that when he robbed the Blake’s Lotaburger restaurants as well as several other restaurants in the Albuquerque-area, he used a firearm.
At sentencing, Harris faces a statutory maximum penalty of 20 years in prison on the Hobbs Act robbery charge. He also faces a statutory mandatory minimum sentence of 84 months in prison for brandishing a firearm that must be served consecutive to the sentence imposed on the robbery charge. Harris remains in custody pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Albuquerque office of the FBI and the Albuquerque Police Department. Assistant U.S. Attorney Samuel A. Hurtado is prosecuting the case.
Accountant Sentenced to 36 Months in Prison and Ordered to Pay $2.5 Million in Restitution for Filing False Tax ReturnRead the Press Release
TULSA, OKLA.— Nelson Wade Cagle, 32, of Owasso, was sentenced today to serve 36 months in federal prison for filing a false income tax return in 2013, announced United States Attorney Danny C. Williams Sr. of the Northern District of Oklahoma. In addition to the prison incarceration, United States District Court Chief Judge Gregory K. Frizzell ordered Cagle to pay restitution in the approximate amount of $2 million to CEI Petroleum, LLC, owned by ORCA/CEI Petroleum, and approximately $600,000 to the Internal Revenue Service.
Cagle was charged by Information in April 2016, and pleaded guilty in June 2016.
According to court documents, Cagle admitted that he failed to report the monies and funds that he fraudulently diverted from ORCA/CEI Petroleum, a local petroleum/energy corporation, as income on his 2013 federal tax return. His embezzlement and failure to report it on his income tax return also resulted in his owing the Internal Revenue Service more than $597,000.
The case was a joint investigation by the Internal Revenue Service-Criminal Investigations and the Federal Bureau of Investigation. Assistant United States Attorney Trent Shores prosecuted the case.
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11 September 2016
Van Wert Man Sentenced to 120 Years in Prison for Production of Child PornographyRead the Press Release
DES MOINES, IA – On September 8, 2016, Timothy Ryan Zollman, 31, of Van Wert, Iowa, was sentenced by Senior United States District Court Judge Robert W. Pratt to 120 years in federal prison, followed by a lifetime of supervised release, for committing two counts of production of child pornography, announced United States Attorney Kevin E. VanderSchel.
According to evidence presented at sentencing, Zollman sexually assaulted and exploited ten prepubescent girls and video recorded the assaults. Zollman’s sentence was enhanced because he committed these crimes while he was listed on the Iowa Sex Offender Registry for a prior conviction.
"The evidence in this case showed Timothy Zollman is a dangerous predator," said United States Attorney Kevin E. VanderSchel. "He was brought to justice because one of his victims, a young girl, was brave enough to report his criminal actions. The significant term of incarceration Zollman will serve is appropriate and necessary to protect the public and other potential victims."
This matter was investigated by the Federal Bureau of Investigation, United States Department of Homeland Security – Homeland Security Investigations, United States Marshals Service, Iowa Division of Criminal Investigation Internet Crimes Against Children Task Force, Decatur County Sheriff’s Department, Decatur County Attorney’s Office, Ringgold County Sheriff’s Department, Creston Police Department, Polk County Sheriff’s Office, Minnesota Bureau of Criminal Apprehension, and the South Dakota Department of Criminal Investigation.
The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the United States Department of Justice’s "Project Safe Child" initiative, which was started in 2006 as a nationwide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children.
Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
U.S. Attorney’s Office, Western District of Louisiana, honors the fallen from 9/11Read the Press Release
U.S. Attorney Stephanie Finley stated that: “The Western District of Louisiana remembers all of those who lost their lives on 9/11 and who gave the ultimate sacrifice in service of our country. It has been 15 years since the terror attacks in New York, Washington, D.C., and Pennsylvania, and the tragic loss of life still impacts us today. It never gets easy remembering the fear we felt and the images of destruction that are not common in our country. We also recall the courageous acts of valor from first responders and citizens who gave their all to help those affected by the attacks. We cannot forget the fallen soldiers from the Western District of Louisiana who answered the call to defend this nation. They are in our thoughts every time the Department of Justice works to eliminate threats to national security. No aspect of our work is more important or more urgent. As we reflect on this day, let’s take a moment to remember all of those who have died here and abroad and continue to keep their families in our prayers.”
Below is a list of Louisiana’s Fallen Heroes who served Honorably in Operation Iraqi Freedom and Operating Enduring Freedom. Thank you to all of those who continue to serve!
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Army Sgt. 1st Class Andrew T. Weathers, of DeRidder, La, Marine Lance Cpl. Christopher O. Grant, 20, of Richwood, La., Army Spc. Christopher R. Drake, 20, of Tickfaw, La., Army Chief Warrant Officer Bryan J. Henderson, 27, of Franklin, La., Air Force Tech. Sgt. Larry Bunn, 43, of Bossier City, La., Marine Sgt. Michael J. Guillory, 28, of Pearl River, La., Army Capt. Aaron D. Istre, 37, of Vinton, La., Naval Aircrewman (Helicopter) 1st Class Joseph P. Fitzmorris, 31, of West Monroe, La., Navy Lt. Cmdr. (SEAL) Jonas B. Kelsall, 32, of Shreveport, La., Navy Special Warfare Operator Chief Petty Officer (SEAL) Robert J. Reeves, 32, of Shreveport, La., Army Sgt. Christopher P. Soderlund, 23, of Pineville, La., Army Staff Sgt. Michael J. Garcia, 27, of Bossier City, La., Air Force Tech. Sgt. Daniel L. Douville, 33, of Harvey, La., Marine Cpl. Matthew T. Richard, 21, of Acadia, La., Army Staff Sgt. Quadi S. Hudgins, 26, of New Orleans, Army Spc. Christian J. Romig, 24, of Kenner, La., Marine Lance Cpl. Dakota R. Huse, 19, of Greenwood, La., Army Spc. Steven L. Dupont, 20, of Lafayette, La., Army Spc. Matthew C. Powell, 20, of Slidell, La., Marine Sgt. Joseph A. Bovia, 24, of Kenner, La., Marine Sgt. Joe L. Wrightsman, 23, of Jonesboro, La., Army Sgt. Jordan E. Tuttle, 22, of West Monroe, La., Army Pfc. Bryant J. Haynes, 21, of Epps, La., Army Maj. Ronald W. Culver Jr., 44, of Shreveport, La., Army Sgt. Joshua A. Tomlinson, 24, of Dubberly, La., Army Sgt. Patrick O. Williamson, 24, of Broussard, La., Army Pfc. Brian R. Bates Jr., 20, of Gretna, La., Army Spc. Michael S. Cote Jr., 20, of Denham Springs, La., Army Pfc. Matthew E. Wildes, 18, of Hammond, La., Army Pfc. Jason R. Watson, 19, of Many, La., Army Chief Warrant Officer 4 Milton E. Suggs, 51, of Lockport, La., Air Force Senior Airman Omar J. McKnight, 22, of Marrero, La., Army Sgt. 1st Class David J. Todd Jr., 36, of Marrero, La., Marine Staff Sgt. Danny P. Dupre, 28, of Lockport, La., Army Pfc. Bryan M. Thomas, 22, of Lake Charles, La., Army Sgt. 1st Class David R. Hurst, 31, of Kenner, La., Army Cpl. Justin R. Mixon, 22, of Bogalusa, La., Army Sgt. Joseph A. Richard III, 27, of Lafayette, La., Army Sgt. Terrell W. Gilmore, 38, of Baton Rouge, La., Army Staff Sgt. Michael J. Gabel, 30, of Crowley, La., Army Staff Sgt. Jarred S. Fontenot, 35, of Port Barre, La., Army Pvt. Justin T. Sanders, 22, of Watson, La., Army Spc. Charles E. Leonard Jr., 29, of Monroe, La., Army Sgt. 1st Class John M. Hennen, 26, of Vinton, La., Army Cpl. William J. Crouch, 21, of Zachary, La., Marine Cpl. Willie P. Celestine Jr., 21, of Lafayette, La., Army Pvt. Mark W. Graham, 22, of Lafayette, La., Army Staff Sgt. Ronnie L. Sanders, 26, of Thibodaux, La., Army Spc. Johnathan B. Chism, 22, of Gonzales, La., Army Staff Sgt. Jacob G. McMillan, 25, of Lafayette, La., Marine Lance Cpl. Myles C. Sebastien, 21, of Opelousas, La., Army Spc. Joshua B. Madden, 21, of Sibley, La., Army Sgt. Jay R. Gauthreaux, 26, of Thibodaux, La., Army Pvt. Joshua C. Burrows, 20, of Bossier City, La., Army Cpl. Joseph C. Dumas Jr., 25, of New Orleans, La., Marine Lance Cpl. Jon E. Bowman, 21, of Dubach, La., Marine Lance Cpl. John E. Hale, 20, of Shreveport, La., Army Cpl. Marcus A. Cain, 20, of Crowley, La., Army Sgt. Matthew J. Vosbein, 30, of Metairie, La., Marine Lance Cpl. Donald E. Champlin, 28, of Natchitoches, La., Army Sgt. 1st Class Terry O.P. Wallace, 33, of Winnsboro, La., Corpsman 3rd Class Lee Hamilton Deal, 23, of West Monroe, La., Army Spc. Brandon L. Teeters, 21, of Lafayette, La., Marine Lance Cpl. Derrick J. Cothran, 21, of Avondale, La., Marine Pfc. Chase A. Edwards, 19, of Lake Charles, La., Army Staff Sgt. Bryan A. Lewis, 32, of Bunkie, La., Marine 1st Lt. Brandon R. Dronet, 33, of Erath, La., Marine Lance Cpl. Matthew R. Barnes, 20, of West Monroe, La., Army Spc. William S. Hayes III, 23, of St. Tammany, La., Marine Lance Cpl. Billy D. Brixey Jr., 21, of Ferriday, La., Marine Lance Cpl. Ryan S. McCurdy, 20, of Baton Rouge, La., Army Sgt. Julia V. Atkins, 22, of Bossier City, La., Army Pfc. Benny S. Franklin, 19, of Hammond, La., Army Staff Sgt. Jens E. Schelbert, 31, of New Orleans, La., Army Sgt. Willard T. Partridge, 35, of Ferriday, La., Marine Cpl. David S. Stewart, 24, of Bogalusa, La., Navy Chief Fire Controlman (SEAL) Jacques J. Fontan, 36, of New Orleans, La., Marine Cpl. Chad W. Powell, 22, of West Monroe, La., Army Sgt. David J. Murray, 23, of Clinton, La., Army Sgt. 1st Class Peter J. Hahn, 31, of Kenner, La., Army Sgt. Robin V. Fell, 22, of Shreveport, La., Army Sgt. Bernard L. Sembly II, 25, of Bossier City, La., Army 1st Sgt. Michael J. Bordelon, 37, of Morgan City, La., Marine Cpl. Richard P. Schoener, 21, of Hayes, La., Army Sgt. Maj. Barbaralien Banks, 41, of Harvey, La., Army Sgt. Isiah J. Sinclair, 31, of Natchitoches, La., Army Sgt. Lee M. Godbolt, 23, of New Orleans, La., Army Sgt. Paul M. Heltzel, 39, of Baton Rouge, La., Army Sgt. Nicholas J. Olivier, 26, of Ruston, La., Army Spc. Seth R. Trahan, 20, of Crowley, La., Army Sgt. Rene Knox Jr., 22, of New Orleans, La., Army Spc. Christopher J. Ramsey, 20, of Batchelor, La., Army Spc. Michael S. Evans II, 22, Marrero, La., Army Staff Sgt. Jonathan R. Reed, 25, of Opelousas, La., Army Staff Sgt. William F. Manuel, 34, of Kinder, La., Army Sgt. Robert W. Sweeney III, 22, of Pineville, La., Army Spc. Warren A. Murphy, 29, of Marrero, La., Army Spc. Armand "Luke" Frickey, 20, Houma, La., Army Spc. Huey P.L. Fassbender, 24, of LaPlace, La., Army Spc. Bradley J. Bergeron, 25, of Houma, La., Army Sgt. Christopher J. Babin, 27, of Houma, La., Army Sgt. 1st Class Kurt J. Comeaux, 34, of Raceland, La., Army Sgt. Craig L. Nelson, 21, of Bossier City, La., Army 1st Lt. Christopher W. Barnett, 32, of Baton Rouge, La., Army Pfc. Lionel Ayro, 22, of Jeanerette, La., Marine Sgt. Jeffrey L. Kirk, 24, of Baton Rouge, La., Marine Lance Cpl. Justin D. McLeese, 19, of Covington, La., Marine Pfc. David P. Burridge, 19, of Lafayette, La., Army Spc. Joseph C. Thibodeaux 24, of Lafayette, La., Marine Lance Cpl. Larry L. Wells 22, of Mount Hermon, La., Army Pfc. Torey J. Dantzler 22; of Columbia, La., Army Pfc. Charles C. Persing 20, of Albany, La., Army Spc. Robert L. DuSang 24, of Mandeville, La., Army Spc. Jeremy M. Heines 25, of New Orleans, La., Army Cpl. David M. Fraise 24, of New Orleans, La., Army Staff Sgt. Robert J. Mogensen 26, of Leesville, La., Army Pfc. James P. Lambert 23, of Ascension Parish, La., Army Command Sgt. Maj. Edward C. Barnhill 50, of Shreveport, La., Army Staff Sgt. Toby W. Mallet 26, of Kaplan, La., Army Staff Sgt. Craig Davis 37, of Opelousas, La., Army Pfc. Kristian E. Parker, 23, of Slidell, La., Army Sgt. Taft V. Williams, 29, of New Orleans, La., Army Sgt. Floyd G. Knighten Jr., 55, of Olla, La., Army Spc. Levi B. Kinchen, 21, of Tickfaw, La., and Army Pfc. Wilfred D. Bellard, 20, of Lake Charles, La.
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This year the Department of Justice took part in a series of events marking the 15th anniversary. They started with a ceremony on Friday, September 9, which dedicated of a plaque for the department’s own “Survivor Tree.” The department’s tree was a seedling from the famed the Callery pear tree that once stood on the original World Trade Center Plaza. The collapse of the Twin Towers on September 11, 2001 nearly destroyed it, but the original tree was nursed back to health, and today it stands strong again at the 9/11 Memorial in Manhattan, where it is often adorned with tributes.
Fruit from the World Trade Center Survivor Tree was harvested in the fall of 2011. In the summer of 2013, the students of John Bowne High School in Flushing, Queens, N.Y., took the seedlings and continued to care for them. The 9/11 Memorial graciously donated one of these very special Survivor Tree seedlings to the Department of Justice, which was planted in the U.S. Department of Justice Courtyard in Washington, D.C.
Additionally, the Department of Justice marked the anniversary with U.S. Attorney General Lorretta E. Lynch attending the New York City Fire Department’s 15th Anniversary Memorial Mass at St. Patrick’s Cathedral in New York on Saturday, September 10; the attorney general attending the 9/11 Commemoration Ceremony at the 9/11 Memorial & Museum Plaza in New York today; and the attorney general delivering remarks at the 9/11 Memorial Service at the First Presbyterian Church of Brooklyn, N.Y., today.
The September 11th National Day of Service and Remembrance is also observed today. Since 2002 it has been an effort to inspire charitable service on 9/11 as a tribute to 9/11 victims, survivors and those who lent support in the wake of the terror attacks. Find out more about how to serve at www.serve.gov/site-page/september-11th-national-day-service-and-remembrance.
10 September 2016
Williamson County Woman Sentenced for Federal Drug ViolationRead the Press Release
On September 7, 2016, Natasha C. Mann, 29, of Carterville, was sentenced for her role in a federal drug conspiracy, the United States Attorney for the Southern District of Illinois, Donald S. Boyce, announced today.
Mann, who had previously pled guilty to a one-count indictment charging conspiracy to distribute MDMA, was sentenced to 60 months imprisonment, 3 years supervised release, and was fined $400.00. MDMA is 3,4-Methylenedioxymethamphetamine, a controlled substance which is commonly referred to as ecstasy. Evidence at the plea and sentencing hearings established that, between December 2015, and March 22, 2016, Mann was involved with others in the distribution of approximately 11,971 ecstasy tablets. The offense occurred in Williamson County.
The ongoing investigation is being conducted by the Southern Illinois Enforcement Group, Department of Homeland Security, Drug Enforcement Administration, Marion Police Department, and U.S. Postal Inspection Service. The Illinois State Police and Williamson County States Attorney’s Office assisted in the investigation.
U.S. Attorney Damon P. Martinez Pays Tribute to Alamogordo Police Officer Clint CorvinusRead the Press Release
ALBUQUERQUE – U.S. Attorney Damon P. Martinez paid tribute to Officer Clint Corvinus of the Alamogordo Police Department this morning during the Officer’s public memorial service at the Tays Event Center of the New Mexico State University in Alamogordo, N.M. The U.S. Attorney delivered the following remarks:
“On behalf of the Attorney General of the United States of America, the U.S. Attorney’s Office and the entire federal law enforcement community, I want to express our deepest condolences.
“Today we come together to grieve for Officer Corvinus and, to the extent possible, to comfort his family and loved ones as they struggle to deal with the profound void left by his passing.
“In New Mexico, the law enforcement community knows no divide – state, county, local, tribal and federal – we are all just law enforcement. We all work together and support each other every day. On this day, we all share the sorrow of losing Officer Corvinus.
“With the permission of the family and [Alamogordo Police] Chief [Daron] Syling, I will read a letter of condolence from U.S. Attorney General Loretta Lynch.”
USAG Corvinus Letter
Owner of Tax King Sentenced to PrisonRead the Press Release
Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced today that Eyob Tilahun, 30, of St. Louis, MO, was sentenced to 38 months in federal prison for defrauding the United States Treasury. Tilahun’s conviction and sentence arise from his operation of a fraudulent tax return preparation business known as Tax King, LLC.
Tilahun owned and operated several Tax King facilities located in St. Louis, MO. Tilahun also operated a Tax King located at 212 Collinsville Avenue in East St. Louis. On May 20, 2016, Tilahun pled guilty in Federal Court in East St. Louis to a charge of conspiring to submit false claims for tax refunds. As part of his guilty plea, Tilahun admitted that Tax King’s return preparers were trained and instructed to increase their customers’ refunds by falsifying certain information on their tax returns. The false information that was placed on the returns included: (1) false Business Income and Schedules Cs which caused the clients to qualify for larger Earned Income Credits ("EICs"); (2) false wages, which again caused the clients to qualify for larger EICs; (3) false education expenses which enabled the clients to qualify for American opportunity education credits; and (4) false information regarding fuel taxes which qualified the clients for federal fuel tax credits.
Tilahun admitted that he profited from the scheme by charging Tax King’s clients fees which ranged from approximately $400 to $650. The indictment in the case alleges that the return preparers also profited by requesting cash "tips" from the clients of approximately $100 to $1,000.
In addition to the 38 month prison sentence, Tilahun will be ordered to pay restitution to the United States Treasury. The exact amount of restitution will be determined at a later date, but is expected to exceed $2,000,000.
Two employees of Tax King were also sentenced today. Tanesa L. Beverly, 32, of East St. Louis, IL, and Melissa L. Wiley, 35, of Granite City, IL, were both sentenced to two years of probation. Beverly and Wiley both worked as return preparers at the East St. Louis Tax King for a couple of months during 2013. Both had previously pled guilty to participating in the conspiracy and filing false tax returns. In addition to their probation sentences, Beverly was ordered to pay $8,245 in restitution and Wiley was ordered to pay restitution of $13,401.
In addition to Tilahun, Beverly, and Wiley, four other defendants in the case have previously pled guilty. Those defendants are: Mason B. Richmond, 31, of St. Louis, MO; Lakesha R. Wilson, 28, of East St. Louis, IL; Edric A. Russell, 35, of East St. Louis, IL, and Pierre J. Carter, 34, of East St. Louis, IL. Wilson, Russell, and Carter all worked as return preparers at the East St. Louis Tax King. Richmond worked as a return preparer at a Tax King on North Grand in St. Louis.
Tilahun, Beverly, and Wiley are scheduled to be sentenced on September 9, 2016. Sentencing for Richmond will be October 7, 2016. Russell and Carter will be sentenced on January 27, 2017. Wilson’s sentencing hearing is scheduled for February 3, 2017.
The investigation is being conducted by agents from both the Fairview Heights, Illinois, and St. Louis, Missouri Offices of the Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant United States Attorney Scott A. Verseman. The United States Attorney’s Office for the Eastern District of Missouri has also prosecuted several return preparers who worked at Tax King locations in St. Louis, MO.
9 September 2016
Youngstown man charged with selling heroin that resulted in fatal overdose, as well as firearm and other drug violationsRead the Press Release
A Youngstown man was charged in a with firearms and narcotics violations, including selling heroin that resulted in a fatal overdose, said Carole S. Rendon, U.S. Attorney for the Northern District of Ohio.
Lebron Charles Bunkley, 37, is named in the six-count indictment. The charges include distribution of heroin, cocaine and crack cocaine. The indictment also allegeds that on May 14, 2016 in Youngstown, a person fatally overdosed on heroin sold by Bunkley.
Bunkley is also charged with possessing a Walther, model P22, .22 pistol, an FIE, model Tital, .25 pistol and ammunition on May 18, despite numerous prior felony convictions, including assault, possession with intent to distribute cocaine, possession of a firearm in furtherance of a drug crime and being a felon in possession of a firearms, according to the indictment.
Bunkley is also charged with possessing the above-mentioned firearms and ammunition in furtherance of the aforementioned drug trafficking crimes, according to the indictment.
“This defendant has a long history of crime, which has now expanded to include selling drugs that resulted in the death of another person,” Rendon said.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Mahoning Valley Law Enforcement Task Force, the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Volkswagen Engineer Pleads Guilty for His Role in Conspiracy to Cheat U.S. Emissions TestsRead the Press Release
James Robert Liang, a Volkswagen engineer, pleaded guilty today for his role in a nearly 10-year conspiracy to defraud U.S. regulators and U.S. Volkswagen customers by implementing software specifically designed to cheat U.S. emissions tests in hundreds of thousands of Volkswagen “clean diesel” vehicles, the Justice Department announced today. Liang’s plea agreement provides that he will cooperate with the government in its ongoing investigation.
Liang, 62, of Newbury Park, California, pleaded guilty today to one count of conspiracy to defraud the United States, to commit wire fraud and to violate the Clean Air Act. He was indicted under seal on June 1, 2016, by a federal grand jury, and the indictment was unsealed today. The case has been assigned to U.S. District Judge Sean F. Cox of the Eastern District of Michigan.
According to the plea agreement, from 1983 until May 2008, Liang was an employee of Volkswagen AG (VW), working in its diesel development department in Wolfsburg, Germany. Liang admitted that beginning in about 2006, he and his co-conspirators started to design a new “EA 189” diesel engine for sale in the United States. According to Liang’s admissions, when he and his co-conspirators realized that they could not design a diesel engine that would meet the stricter U.S. emissions standards, they designed and implemented software to recognize whether a vehicle was undergoing standard U.S. emissions testing on a dynamometer or being driven on the road under normal driving conditions (the defeat device), in order to cheat the emissions tests. Liang admitted that he used the defeat device while working on the EA 189 and assisted in making the defeat device work. In May 2008, Liang moved to the United States to assist in the launch of VW’s new “clean diesel” vehicles in the U.S. market, according to the plea agreement. While working at VW’s testing facility in Oxnard, California, he has held the title of Leader of Diesel Competence.
According to the plea agreement, employees of VW and its U.S. subsidiary met with the EPA and the California Air Resources Board (CARB) to seek the certifications required to sell each model year of its vehicles to U.S. customers. Liang admitted that during some of these meetings, which he personally attended, his co-conspirators misrepresented that VW diesel vehicles complied with U.S. emissions standards and hid the existence of the defeat device from U.S. regulators.
As part of the certification process for each new model year, including model years 2009 through 2016, the co-conspirators continued to falsely and fraudulently certify to EPA and CARB that VW diesel vehicles met U.S. emissions standards and complied with the Clean Air Act, according to the plea agreement. Liang admitted that during this time, he and his co-conspirators knew that VW marketed its diesel vehicles to the U.S. public as “clean diesel” and environmentally-friendly, and promoted the increased fuel economy. Liang and his co-conspirators knew that these representations were false and that VW’s diesel vehicles were not “clean,” he admitted.
In connection with pleading guilty, Liang admitted that he helped his co-conspirators continue to lie to the EPA, CARB and VW customers even after the regulatory agencies started raising questions about the vehicles’ on-road performance following an independent study commissioned by the International Council on Clean Transportation, which showed that the diesel vehicles’ emissions on the road were up to 40 times higher than shown on the dynamometer.
The FBI’s Detroit Office and EPA-CID are investigating the case. Deputy Chief Benjamin D. Singer and Trial Attorney Alison L. Anderson of the Criminal Division’s Fraud Section, Trial Attorney Jennifer L. Blackwell of the Environment and Natural Resources Division, and Criminal Division Chief Mark Chutkow and Economic Crimes Unit Chief John K. Neal of the U.S. Attorney’s Office of the Eastern District of Michigan are prosecuting the case.
Volkswagen Engineer Pleads Guilty for His Role in Conspiracy to Cheat U.S. Emissions TestRead the Press Release
James Robert Liang, a Volkswagen engineer, pleaded guilty today for his role in a nearly 10-year conspiracy to defraud U.S. regulators and U.S. Volkswagen customers by implementing software specifically designed to cheat U.S. emissions tests in hundreds of thousands of Volkswagen “clean diesel” vehicles, the Justice Department announced today. Liang’s plea agreement provides that he will cooperate with the government in its ongoing investigation.
Liang, 62, of Newbury Park, California, pleaded guilty today to one count of conspiracy to defraud the United States, to commit wire fraud and to violate the Clean Air Act. He was indicted under seal on June 1, 2016, by a federal grand jury, and the indictment was unsealed today. The case has been assigned to U.S. District Judge Sean F. Cox of the Eastern District of Michigan.
According to the plea agreement, from 1983 until May 2008, Liang was an employee of Volkswagen AG (VW), working in its diesel development department in Wolfsburg, Germany. Liang admitted that beginning in about 2006, he and his co-conspirators started to design a new “EA 189” diesel engine for sale in the United States. According to Liang’s admissions, when he and his co-conspirators realized that they could not design a diesel engine that would meet the stricter U.S. emissions standards, they designed and implemented software to recognize whether a vehicle was undergoing standard U.S. emissions testing on a dynamometer or being driven on the road under normal driving conditions (defeat device), in order to cheat the emissions tests. Liang admitted that he used the defeat device software while working on the EA 189 and assisted in making the defeat device software work. In May 2008, Liang moved to the United States to assist in the launch of VW’s new “clean diesel” vehicles in the U.S. market, according to the plea agreement. While working at VW’s testing facility in Oxnard, California, he has held the title of Leader of Diesel Competence.
According to the plea agreement, employees of VW and its U.S. subsidiaries met with the EPA and the California Air Resources Board (CARB) to seek the certifications required to sell each model year of its vehicles to U.S. customers. Liang admitted that during some of these meetings, which he personally attended, his co-conspirators misrepresented that VW diesel vehicles complied with U.S. emissions standards and hid the existence of the defeat device from U.S. regulators.
As part of the certification process for each new model year, including model years 2009 through 2016, the co-conspirators continued to falsely and fraudulently certify to EPA and CARB that VW diesel vehicles met U.S. emissions standards and complied with the Clean Air Act, according to the plea agreement. Liang admitted that during this time, he and his co-conspirators knew that VW marketed its diesel vehicles to the U.S. public as “clean diesel” and environmentally-friendly, and promoted the increased fuel economy. Liang and his co-conspirators knew that these representations were false and that VW’s diesel vehicles were not “clean,” he admitted.
In connection with pleading guilty, Liang admitted that he and his co-conspirators continued to lie to the EPA, CARB and VW customers even after the regulatory agencies started raising questions about the vehicles’ on-road performance following an independent study commissioned by the International Council on Clean Transportation, which showed that the diesel vehicles’ emissions on the road were up to 40 times higher than shown on the dynamometer.
The FBI’s Detroit Office and EPA-CID’s Chicago Area Office are investigating the case. Deputy Chief Benjamin D. Singer and Trial Attorney Alison L. Anderson of the Criminal Division’s Fraud Section, Trial Attorney Jennifer L. Blackwell of the Environment and Natural Resources Division, and Criminal Division Chief Mark Chutkow and Economic Crimes Unit Chief John K. Neal of the U.S. Attorney’s Office of the Eastern District of Michigan are prosecuting the case.
Two Individuals Plead Guilty to Drug ChargeRead 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 Sarah J. Greene, 38, and Michael C. Mullen, 35, both of Wellsville, NY, pleaded guilty before U.S. District Court Judge Lawrence J. Vilardo to conspiracy to manufacture, possess with intent to distribute, and to distribute, methamphetamine. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Brendan T. Cullinane, who is handling the case, stated that between January 2011 and late 2014, the defendants conspired to manufacture and distribute methamphetamine. Greene and Mullen engaged in the practice of “smurfing” (buying small quantities of) at local pharmacies to get around restrictions on purchasing products containing pseudoephedrine. This is the most important chemical necessary in the process of manufacturing methamphetamine.
The conviction is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Lieutenant Kevin Reyes and Major David Krause, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Division, the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb, the Wellsville Police Department, under the direction of Chief Timothy O’Grady, U.S. Border Patrol, under the direction of Patrol Agent in Charge Steven Oldman, and the New York State Department of Environmental Conservation, under the direction of Captain Frank Lauricella.
Greene is scheduled to be sentenced on December 14, 2016; Mullen will be sentenced on December 19, 2016, both before Judge Vilardo.
Three Lead Defendants in Large Racketeering Case Targeting Crips Gang Plead Guilty to Federal Charges, Including Murder ConspiracyRead the Press Release
LOS ANGELES – With guilty pleas this week by a leader of the Five Deuce Broadway Gangster Crips (BGC), the three lead defendants in the largest racketeering case currently pending in Los Angeles have now pleaded guilty.
Tyrine Martinez, also known as “Lil’ C-Bone,” 36, of Los Angeles, pleaded guilty Wednesday afternoon to racketeering conspiracy, conspiring to commit murder, conspiring to traffic crack cocaine, illegally possessing a firearm and selling crack cocaine near schools.
As a result of guilty pleas before United States District Judge S. James Otero, Martinez faces a potential life sentence and a mandatory minimum term of 15 years in federal prison.
Martinez was among 72 charged in a RICO indictment that targeted BGC, a street gang that claims territory in South Los Angeles and controls drug sales in an area just west of the “Skid Row” district of Los Angeles. The indictment outlined two decades of criminal conduct, including murders, robberies, extortion, illegal firearms possession, witness intimidation and narcotics trafficking.
Over the past several weeks, two other key defendants named in a 213-page RICO indictment have pleaded guilty. Tracy Harris, aka “Woody,” 51, of Inglewood, pleaded guilty on August 5 to racketeering conspiracy, conspiring to sell methamphetamine after having been convicted of a prior drug felony, and selling methamphetamine near schools. And, on July 27, Roosevelt Sumpter, aka “TuTu,” 43, of Los Angeles, pleaded guilty to racketeering conspiracy, conspiring to distribute crack cocaine, illegally possessing a firearm, and selling crack cocaine near schools. Harris and Sumpter also face potential life sentences and mandatory minimum sentences of 13 and 15 years, respectively.
In plea agreements filed in United States District Court, these defendants specifically admitted that:
Martinez and Harris were two of the gang’s supervisors, and Sumpter was a veteran “OG” member;
Martinez was a leader of the “Gremlin Riderz,” which served as the gang’s “hit squad” and whose members bore tattoos from the 1984 movie “Gremlins”;
Martinez conspired with other BGC members to murder a fellow gang member who had provided law enforcement information regarding a 2012 BGC gang shooting that killed an unarmed teenager with no gang affiliation and wounded three others, including a 10-year-old girl;
Martinez directed the group assault of another BGC member who had also provided information to law enforcement regarding a BGC murder (that fellow gang member was also later murdered in a case that remains under investigation);
Martinez “direct[ed] the killing of rivals” and discussed the stabbing of a man by a BGC member in front of the victim’s baby because the man was in BGC territory without permission;
Harris presided over large gang meetings in which he called for enhancing the operations of the gang and increasing punishments for those who violated gang rules; and
Martinez and Sumpter were two of the gang’s “central drug suppliers.”
In addition to the admissions, all three defendants agreed to be banned from living in the BGC territory after they are released from prison and to be subject to expansive search conditions.
Martinez and Harris are scheduled to be sentenced by Judge Otero on December 19. Sumpter is scheduled to be sentenced on November 7.
“These defendants have now pled guilty to orchestrating a campaign of violence and drug trafficking, bringing danger to the local community and to schools,” said United States Attorney Eileen M. Decker. “In addition to committing many acts of violence, this gang preyed upon the marginalized residents of Skid Row with illegal drug sales. Cases like this one targeting the leadership and membership of criminal street gangs show my office’s dedication to ridding neighborhoods of gang activity through partnerships with federal and local law enforcement agencies.”
Seventy-one of the defendants named in the indictment have now appeared in federal court to face charges in the indictment (the final defendant is in state custody), which include conspiracy to violate the federal Racketeer Influenced and Corrupt Organizations Act (RICO), violent crimes in aid of racketeering, a series of robberies that targeted bank customers, weapons offenses, and various drug trafficking charges. Six other top defendants in the case are scheduled to go on trial January 3.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until proven guilty in court.
The investigation into BGC was conducted by agents and officers with the Federal Bureau of Investigation and the Los Angeles Police Department. Considerable assistance was provided during this investigation by the California Department of Corrections and Rehabilitation, the Torrance Police Department, the Buena Park Police Department, the El Segundo Police Department, the San Bernardino Police Department and the Los Angeles City Attorney’s Office.
Operation Gremlin Riderz is a result of a partnership between the FBI and the Los Angeles Police Department under the auspices of the FBI’s Task Force on Violent Crime in the City of Los Angeles. This task force is one of dozens of such partnerships throughout the United States, known as Safe Streets Task Forces, funded for the purpose of assisting local police in identifying and addressing violent crime in America.
This case is being prosecuted by Assistant United States Attorney Mack Jenkins of the Public Corruption and Civil Rights Section, and Assistant United States Attorneys Max Shiner and Wilson Park of the Violent and Organized Crime Section.
Three Convicted of Carjacking a Vehicle Sold on CraigslistRead the Press Release
Montgomery, Alabama – Stanley Jawan Hinton, age 24, Jacinto Taron Robinson, age 26, and Tawanda Aeiah Sears, age 40, all residents of Columbus, Georgia, were convicted of carjacking, announced George L. Beck Jr., U.S. Attorney for the Middle District of Alabama. Hinton and Robinson were also convicted of brandishing a firearm during the crime.
According to evidence produced at trial, in late August 2014 the victim of the carjacking purchased a vehicle from Hinton that was advertised on Craigslist. After buying the car, the victim discovered that there were problems with the title and the rims on the car were rentals. The victim demanded his money back.
On the evening of September 4, 2014, Hinton, Robinson, Sears and an unidentified male met the victim at the Circle K gas station in Opelika, Alabama. The victim was going to return the car and the defendants promised to refund the money.
After arriving at the gas station, the unidentified male got into the purchased car, pointed a pistol at the victim and forced the victim out of the car. The gunman and Robinson then drove away in the victim’s vehicle, and Sears and Hinton drove off in a separate car. The victim ran inside the gas station convenience store and called 911.
During the investigation, Opelika and Columbus, Georgia police and the FBI investigators were able to identify the suspects and learned that the Craigslist advertisement had been posted by Hinton under a false name.
All three defendants are set for sentencing this fall. Hinton and Robinson face a potential sentence of up to 15 years for their carjacking convictions, plus a consecutive, mandatory minimum sentence of 7 years for the brandishing a firearm conviction. Sears faces a sentence of up to 15 years in federal prison for her carjacking conviction.
“These days, you must be careful when buying from or selling to a stranger,” stated U.S. Attorney Beck. “Sadly, everyone cannot be trusted, please be cautious when dealing with people you do not know. However, those that take advantage of these trusting people must be prosecuted, those that use guns to steal must be prosecuted, and we will ask the court to give these criminals a sentence that is commiserate with their threats and/or violence.”
“When transacting business via Craigslist or other similar internet sites, use your common sense,” stated Robert Lasky, FBI Special Agent in Charge, Mobile Field Division. “Consider arranging the actual purchase or exchange of goods at your local police station or in other well-lit, highly visible areas during daylight hours.”
“The Opelika Police Department is most appreciative of the prosecution of this matter by the United States Attorney’s Office,” stated Opelika Police Chief John McEachern. “We are grateful for the working relationship with the U.S. Attorney’s Office and the Safe Streets Task Force and would like to thank the Columbus, Georgia Police Department for their assistance in this case.”
This case was investigated by the Federal Bureau of Investigation (FBI) and the Opelika Police Department, with assistance from the Columbus, Georgia Police Department.
The case was prosecuted by Assistant United States Attorneys John Geer and Brandon Bates.
Texas Men Sentenced for Credit Card FraudRead the Press Release
United States Attorney Deboraha R. Gilg announced that Miguel Alfonso-Rodriguez, 37 years old, Jose Terra-Izquierdo, 22 years old, and Jasiel Gonzalez-Rodriguez, 21 years old, all originally from Cuba and now living in Amarillo, Texas, were each sentenced to 12 months and 1 day imprisonment on September 8, 2016, by the Honorable Senior United States District Court Judge Richard G. Kopf, in Lincoln, each having previously pled guilty to using counterfeit credit cards to obtain gift cards and merchandise from Walmart stores in Lincoln in July and August 2015. Additionally, they were ordered to pay restitution totaling $15,798.71, and they will each be on supervised release for three years following their release from prison.
All three were apprehended at a Lincoln Walmart store on August 6, 2015, while attempting to use counterfeit credit cards to obtain Walmart gift cards. They were found in possession of numerous cards and a device capable of re-encoding credit cards was found in their car. The investigation found that on July 23-25, 2015, Terra-Izquierdo and Alfonso-Rodriguez used 67 re-encoded cards on 134 occasions and obtained $7,859.35 in Walmart gift cards and merchandise. They returned to Lincoln August 5-6, 2015, with Gonzalez-Rodriguez, and used 184 re-encoded cards on 290 occasions and obtained $21,099.44 in Walmart gift cards and merchandise. Walmart was able to reverse some of the charges, resulting in the lower restitution amount.
The case was investigated by the Lincoln Police Department and the Federal Bureau of Investigation.
Texas Man Acquitted of Involuntary ManslaughterRead the Press Release
United States Attorney Randolph J. Seiler announced that a Fort Worth, Texas, man was acquitted of Involuntary Manslaughter as a result of a federal jury trial in Pierre, South Dakota, on September 8, 2016.
Daniel York, age 29, was indicted by a federal grand jury on July 14, 2015.
The charge related to the alleged accident on July 12, 2015, when an adult male was killed in a car crash in Indian country.
The investigation was conducted by the Federal Bureau of Investigation, the Rosebud Sioux Tribe Law Enforcement Services, and the Mellette County Sheriff’s Office. The U.S. Attorney's Office prosecuted the case.
Tax Preparer Pleads Guilty to Tax Fraud, Aggravated Identity TheftRead the Press Release
PROVIDENCE, R.I. – A Cranston, Rhode Island, resident pleaded guilty yesterday to aiding and assisting in the preparation of false tax returns, wire fraud, theft of government funds and aggravated identity theft, announced U.S. Attorney Peter F. Neronha and Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division.
Belkis M. Guzman, 48, a tax return preparer who worked at El Centro Multiservicios LLC in Providence admitted to preparing false individual income tax returns for clients for tax years 2009 through 2011, which included false dependents, exemptions, tax credits, deductions or expenses. She also admitted to depositing more than 100 fraudulently obtained U.S. Treasury checks totaling more than $800,700 into her personal bank account, which were generated by the filing of false tax returns prepared by others. Guzman distributed a portion of these ill-gotten proceeds to others and received a percentage of the negotiated checks as payment for depositing the checks into her account.
U.S. District Judge William E. Smith scheduled sentencing for Dec. 2. Guzman faces a statutory maximum sentence of 20 years in prison for the wire fraud count, 10 years in prison for each count of theft of government funds, three years in prison for each count of assisting in the preparation of false tax returns for clients and a mandatory two years in prison for each count of aggravated identity theft, as well as a period of supervised release and monetary penalties.
U.S. Attorney Neronha and Principal Deputy Assistant Attorney General Ciraolo commended the hard work of special agents of Internal Revenue Service’s Criminal Investigation who conducted the investigation, and Assistant U.S. Attorney Richard W. Rose and Tax Division Trial Attorney Christopher O’Donnell, who are prosecuting this case.
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Tattnall County Man Indicted for Setting Massive Fire That Destroyed Building in Heart of Downtown GlennvilleRead the Press Release
SAVANNAH, GA: Jonathan Shane Culbreth, 20, was charged with arson yesterday by a federal grand jury sitting in Savannah, Georgia. According to the Indictment, Culbreth maliciously damaged and destroyed a building at 102-118 West Barnard Street in Glennville by starting a fire on June 5, 2016. The fire blazed through several downtown businesses and required the efforts of nearly a dozen different agencies to suppress over the course of several hours.
If convicted of arson, Culbreth will face a mandatory minimum sentence of five years in prison, a maximum of 20 years of imprisonment, a $250,000 fine, mandatory restitution, and three years of supervised release. Culbreth is currently being held without bond at the Tattnall County Jail. His initial appearance in federal court has not yet been scheduled.
United States Attorney Edward J. Tarver emphasized that the Indictment against Culbreth is only an accusation and is not evidence of guilt. Culbreth is entitled to a fair trial, during which it will be the Government’s burden to prove his guilt of the charge in the Indictment beyond a reasonable doubt.
The fire was investigated by the ATF, the Georgia State Fire Marshal’s Office, the Tattnall County Fire Department, the Glennville Police Department, the Tattnall County Sheriff’s Office, the Georgia Bureau of Investigation, and the Long County Sheriff’s Office. Assistant United States Attorney Theodore S. Hertzberg is prosecuting the case on behalf of the United States. Any questions should be directed to First Assistant United States Attorney James D. Durham at (912) 201-2547.
Syracuse Man Pleads Guilty to Bank Robbery ChargesRead the Press Release
SYRACUSE, NEW YORK – James Chisholm, 26, of Syracuse, New York, pled guilty yesterday to two counts of bank robbery.
The announcement was made by United States Attorney Richard S. Hartunian and Andrew W. Vale, Special Agent in Charge of the Albany Division of the Federal Bureau of Investigation (FBI).
As part of his guilty plea, Chisholm admitted that on March 12, 2016, and again on March 16, 2016, he entered the Chase Bank branch at 801 James Street in Syracuse, New York, where he passed a note to a teller demanding money, which he received. Chisholm admitted that on March 12, 2016 he took approximately $489 from the bank, and on March 16, 2016, he took approximately $2,753.
On each count of conviction, Chisholm faces up to twenty (20) years in prison, a fine of up to $250,000, and a three (3) year term of supervised release after imprisonment. Sentencing is scheduled for January 9, 2017 before Senior U.S. District Judge Norman A. Mordue. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorney Robert S. Levine.