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Tuesday 21 June 2016
Illinois Couple Sentenced for Multiple Kidnappings and Transporting Minor with Intent to Engage in Sexual ActivityRead the Press Release
Nicole and Calvin Eason were sentenced today to each serve 40 years in prison for kidnapping and transporting a minor with intent to engage in sexual activity.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney James A. Lewis of the Central District of Illinois and Special Agent in Charge Sean Cox of the FBI’s Springfield, Illinois, Division made the announcement.
Nicole Eason, 37, and Calvin Eason, 47, both formerly of Danville and Westville, Illinois, were sentenced by Chief U.S. District Judge James E. Shadid of the Central District of Illinois, who also ordered each to serve a lifetime term of supervised release. On Dec. 18, 2015, a federal jury in Peoria, Illinois, found Nicole Eason guilty of two counts of kidnapping and one count of transportation with intent to engage in criminal sexual activity with a minor. On Nov. 6, 2015, Calvin Eason pleaded guilty to all three counts in the indictment.
Evidence at trial established that in 2006 through 2008, the Easons sought to adopt through an informal process sometimes referred to as private “re-homing,” in which the legal adoptive family can no longer care for a child and transfers the child to another’s custody. In 2007, the Easons communicated with a minor’s parents about rehoming and misrepresented material facts about their background to gain the parents’ trust, including, among other things, that they had a home study “waiver,” which was used to verify the Easons as fit caregivers. Based on these misrepresentations, one of the minor’s parents transported the child across state lines in 2007 to live with the Easons. The minor testified that while in the Easons’ custody for nearly a month, both Nicole and Calvin Eason repeatedly sexually and physically abused her.
Evidence at trial also established that in 2008, the Easons kidnapped a second minor in the same manner, who was with them for a few days. That child and a third identified minor victim testified that the Easons subjected the minors to inappropriate sexual behavior and “grooming” while in their custody. All three minors also testified about the deplorable living conditions in the Eason home.
The FBI’s Springfield Division investigated the case in cooperation with the Vermilion County, Illinois, Sheriff’s Department. Senior Trial Attorney Jennifer Toritto Leonardo of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Elly Peirson of the Central District of Illinois prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Husband, Wife Plead Guilty to Meth ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Clark, Mo., couple have pleaded guilty in federal court to their roles in a conspiracy to distribute methamphetamine in Randolph and Boone Counties, Mo.
Miguel Flores-Ramirez, 33, of Clark, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth today to the charge contained in an Oct. 1, 2014, federal indictment. His wife, Kena Marie Flores-Ramirez, pleaded guilty on May 19, 2016, to her role in the conspiracy.
According to today’s plea agreement, law enforcement officers intercepted phone calls between Miguel Flores-Ramirez and another individual that indicated a shipment of methamphetamine was to be delivered to him in Columbia, Mo. He arranged for Kena Flores-Ramirez and a co-conspirator to pick up a vehicle in which the methamphetamine was hidden and drive the vehicle back to their residence in Clark.
Officers saw Kena Flores-Ramirez leave their residence at 5:21 a.m. on May 23, 2014. She and a co-conspirator drove to a parking lot on Vandiver Drive in Columbia, where they met a car carrier. Her co-conspirator drove out of the parking lot in a maroon 1999 Toyota Tacoma with no registration that had been on the car carrier.
Law enforcement officers made contact with the driver of the car carrier, who stated that he worked for a logistics company from Maryland. He showed the agent a bill of lading for a 1999 Toyota Tacoma that he had just delivered. He stated that he had obtained the vehicle on May 21, 2014, in Denver, Colo., and that it was the last vehicle he picked up before driving to Columbia. He stated that he just delivered the vehicle and was paid a $600 transport fee.
Officers conducted traffic stops of both Kena Flores-Ramirez and her co-conspirator. A narcotics dog alerted to the area of the rear bumper and the passenger side rear wheel well on the exterior of the Toyota Tacoma. They were released, but officers kept the Toyota Tacoma in order to conduct a more thorough search. After they left, officers intercepted a phone call in which Kena Flores-Ramirez called her husband and told him they had been stopped, the truck had been taken, and to clean out the house and dispose of everything. Later that day, officers intercepted a phone call from Miguel Flores-Ramirez to another individual in which he said “they will find something” (the methamphetamine) “if they tear it (the Tacoma) apart.”
Officers searched the Toyota Tacoma and found six large vacuum-sealed bags and four smaller bags of methamphetamine hidden in the gas tank. The large bags weighed approximately one pound each, and the smaller bags approximately a half-pound each, for a total of 3.492 kilograms of pure methamphetamine.
Under federal statutes, both Miguel and Kena Flores-Ramirez are subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Drug Enforcement Administration, the Columbia, Mo., Police Department, the FBI, IRS-Criminal Investigation and the Missouri State Highway Patrol.
Homestead Resident Sentenced for Illegally Trafficking in Marine LifeRead the Press Release
A Homestead resident was sentenced to three years’ probation for illegally trafficking in marine life.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Tracy Dunn, Assistant Director Southeast Region, National Oceanic and Atmospheric Administration (NOAA), Office of Law Enforcement, and Robert C. Hutchinson, Acting Special Agent in Charge, U.S. Immigration and Customs Enforcements Homeland Security Investigations (ICE-HSI), Miami Field Office, announced that Dan Q. Lin, 43, of Homestead, Florida, was sentenced today in Key West to three years’ probation for conspiring to violate the federal Lacey Act by transporting, selling, receiving, acquiring, and purchasing a Florida spiny lobster, in violation of Title 16, United States Code, Sections 3372(a)(2)(A) and 3373(d)(1).
In a previous related matter, Eric Burman, 42, of Boca Raton was convicted of a similar charge and was ordered to serve a three year term of probation and to pay a fine of $250,000 in Case No. 14-10008-CR-KING. According to statements in Court, Burman was President and the sole Director of a Florida corporation with its principal place of business in Pompano Beach, FL. Burman, through the business entity, was engaged in the wholesale commercial seafood industry, including the export of live Florida spiny lobster to the seafood market in China. At the same time, Lin was the Director and owner of a Florida corporation also located in the Pompano Beach area.
According to court documents, both defendants admitted, that during August and September 2010, they purchased spiny lobster from harvesters in Monroe County, Florida without creating and providing to the harvesters and the Florida Fish & Wildlife Conservation Commission, trip tickets reflecting the transaction. Thereafter, Lin caused the lobster to be transported to Burman’s corporate business premises in Pompano Beach for packing and shipping. Burman agreed to allow Lin to package, mark, and ship the spiny lobster under his corporate entity’s name and through his shipping agent. The lobster was transported from Pompano Beach to a commercial airfreight carrier at Miami International Airport and exported to Hong Kong, China. The charge against Lin identified a specific shipping transaction in August 2010 involving approximately 446 kilograms of illegally trafficked spiny lobster.
Mr. Ferrer commended the investigative efforts of NOAA’s Office of Law Enforcement and ICE-HSI, who participated in the development of this case. This case was prosecuted by Assistant U.S. Attorneys Thomas Watts-FitzGerald and Antonia Barnes.
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.
Harper County Cattle Buyer Indicted on Federal Fraud ChargesRead the Press Release
WICHITA, KAN. - A cattle buyer from Harper County was indicted Tuesday on federal fraud charges, Acting U.S. Attorney Tom Beall said.
Randall D. Patterson, 62, Anthony, Kan., is charged with 14 counts of wire fraud. Patterson owned Anthony Livestock Co. (ALC), which was in the business of buying and selling cattle. He was the president of the National Livestock Marketing Association from 2004 to 2006.
The indictment alleges Patterson had an agreement to buy cattle at a “delivered price” from JBS Five Rivers Cattle Feeding. That price included the price paid for the cattle, the cost of freight, health costs for cattle and a commission of 50 cents per hundredweight. Five Rivers would notify Patterson of a maximum delivered price and Patterson would purchase cattle at sales barns in Kansas and Oklahoma. The sales barns would prepare invoices showing the price paid at auction.
The indictment alleges Patterson:
Caused sales barns to issue invoices falsely inflating the prices ALC agreed to pay at auction.
Caused ALC employees to fax invoices to Five Rivers falsely inflating the amount paid for cattle.
Caused at least 14 faxes to be sent to Five Rivers and other cattle feeding companies falsely inflating the amount paid ALC paid for cattle.
If convicted, he faces a maximum penalty of 20 years in federal prison and a fine up to $250,000 on each fraud count. The FBI and the U.S. Department of Agriculture investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
OTHER GRAND JURY INDICTMENTS
Trayvon L. Williams, 21, Wichita, Kan., is charged in a superseding indictment with one count of unlawful possession of a firearm following a felony conviction, one count of unlawful possession of ammunition following a felony conviction, and one misdemeanor count of possession of marijuana. The crimes are alleged to have occurred Dec. 1, 2015 in Wichita, Kan.
If convicted he faces a penalty of up to 10 years in federal prison and a fine up to $250,000 on each of the firearm charges, and up to a year and a fine up to $1,000 on the marijuana charge. The Wichita Police Department investigated. Assistant U.S. Attorney Matt Treaster is prosecuting.
Dat T. Huynh, 26, Wichita, Kan., is charged with one count of unlawful possession of a firearm by a user of controlled substances, one count of unlawful possession of ammunition by a user of controlled substances, one count of unlawful possession of a sawed off shotgun and one misdemeanor count of possession of marijuana. The crimes are alleged to have occurred March 25, 2016, in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000 on the first two firearms charges, a maximum penalty of 10 years and a fine up to $10,000 on the shotgun charge, and a maximum penalty of one year and a fine up to $1,000 on the marijuana charge. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Lanny Welch is prosecuting.
Alexander S. Rivera, 22, Long Beach, Calif., and Destiney L. Metzger, 18, Long Beach, Calif., are charged with one count of possession with intent to distribute methamphetamine and one count of interstate travel in furtherance of drug trafficking. The crimes are alleged to have occurred June 11, 2016, in Sedgwick County, Kan.
If convicted, they face penalty of not less than 10 years and a fine up to $10 million on possession with intent to distribute charge, and a maximum penalty of five years and a fine up to $250,000 on the interstate travel charge. The Drug Enforcement Administration investigated. Assistant U.S. Attorney Lanny Welch is prosecuting.
Kevin M. Jones, 30, Wichita, Kan., and Treasure N. Jones, 28, Wichita, Kan., are charged with three counts of counterfeiting $20 and $50 bills. The crimes are alleged to have occurred April 9 and 10, 2016, in Sedgwick County, Kan.
If convicted, they face a maximum penalty of 20 years in federal prison and a fine up to $250,000 on each count. The Wichita Police Department investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Anthony Grant Oshel, 37, Wichita, Kan., is charged with three counts of counterfeiting $20 bills. The crimes are alleged to have occurred March 24 and 25, 2016, in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of 20 years in federal prison and a fine up to $250,000 on each count. The Wichita Police Department investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Gretna Man Found Guilty of Mail FraudRead the Press Release
U.S. Attorney Kenneth A. Polite announced that MELVIN LEWIS II, age 53, of Gretna, was convicted of thirty (30) counts of mail fraud (18 U.S.C. § 1341) today after a one-day bench trial before United States District Judge Carl J. Barbier.
According court records, during the course of and subsequent to his employment by an off-shore services company located in Harvey, LEWIS devised a scheme to defraud various employees of that company and other public servants and officials. As a part of his mail fraud scheme, LEWIS caused “demand for payment” letters to be mailed to victims. When his demands were ignored, LEWIS filed fraudulent liens against personal real property of the victims and sent additional demands for payment stating that the liens would not be removed until payment was received.
LEWIS faces a maximum penalty, as to each count, of twenty (20) years imprisonment, followed by a three (3) year term of supervised release, and a $250,000 fine. Judge Barbier set sentencing for October 13, 2016.
U.S. Attorney Polite praised the work of the Special Agents of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorneys Gregory M. Kennedy and Jonathan L. Shih were in charge of the prosecution.
Greenbrier County man pleads guilty to Federal oxycodone crimeRead the Press Release
CHARLESTON, W.Va. – A Greenbrier County man pleaded guilty today to a federal drug crime, announced Acting United States Attorney Carol Casto. Edgar Crislip, 48, of Ronceverte, entered his guilty plea to distribution of oxycodone.
Crislip admitted that on November 30, 2015, he distributed oxycodone pills to a confidential informant in Ronceverte. He further admitted that he sold oxycodone pills on three other occasions.
Crislip faces up to 20 years in federal prison when he is sentenced on October 5, 2016.
The Greenbrier Valley Drug and Violent Crime Task Force conducted the investigation. Assistant United States Attorney John File is handling the prosecution. The plea hearing was held before United States District Judge Irene C. Berger.
This case was prosecuted under the Greenbrier Valley Heroin and Pill Initiative, 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 pills and heroin in communities across the Southern District.
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Greenbelt Carjacker Sentenced to over 8 Years in PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Jeffrey Carl Franklin, age 29, of Greenbelt, Maryland, today to 102 months in prison, followed by three years of supervised release, for carjacking and being a felon in possession of a gun.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Director in Charge Paul M. Abbate of the Federal Bureau of Investigation’s Washington Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief J. Thomas Manger of the Montgomery County Police Department; Montgomery County State’s Attorney John McCarthy; Maryland Attorney General Brian E. Frosh; Chief Alan Goldberg of the Takoma Park Police Department; Chief Ronald A. Pavlik, Jr. of the Metro Transit Police Department; Chief Cathy L. Lanier of the Metropolitan Police Department; and Chief Earl L. Cook of the Alexandria (City) Police Department.
According to his plea agreement, on February 8, 2012, Franklin, David Peebles, and another co-conspirator drove to the Manchester Road area of Silver Spring, Maryland, where they spotted an individual parking a 2008 Infiniti. As the individual got out of the vehicle, two of the co-conspirators approached the individual. At gunpoint, the two co-conspirators demanded the keys to the car, took the victim’s keys, and then drove away in the Infiniti.
On March 2, 2012, law enforcement officers executed a search warrant at Franklin’s residence in Greenbelt, Maryland. Officers seized a .380 caliber pistol loaded with six rounds of ammunition in Franklin’s bedroom. Franklin knew that he was prohibited from possessing a firearm or ammunition as a result of a previous felony conviction.
David Nathaniel Peebles, age 32, of Washington, D.C., previously pleaded guilty to his role in the conspiracy and was sentenced to eight years in prison for carjacking and being a felon in possession of a gun. Another member of the conspiracy, Samuel Damien Bynum, age 26, of Washington, D.C., pleaded guilty and was sentenced to 207 months in prison for conspiring to use a gun during carjackings, using a gun during a carjacking, carjacking and being a felon in possession of a gun and ammunition.
United States Attorney Rod J. Rosenstein commended the FBI; the Prince George’s County, Montgomery County, Takoma Park, Metro Transit, Alexandria and Metropolitan Police Departments; the Prince George’s County and Montgomery County State’s Attorney’s Offices; and the Maryland Attorney General’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Thomas M. Sullivan and William D. Moomau, and Special Assistant Matthew L. Paeffgen, who prosecuted the case.
Grants Pass Man Sentenced for Excavation and Removal of Archaeological ResourcesRead the Press Release
MEDFORD, Ore –Ronnie Lester Bishop, 44, of Grants Pass, Oregon, was sentenced today by U.S. District Judge Ann Aiken, in Medford, Oregon to five years of probation for violating the Archeological Resource Protection Act (ARPA). The sentence was imposed based on defendant’s guilty plea entered on February 8, 2016, to a felony charging him with violating ARPA by excavating, removing and damaging an archaeological resource located on federal land. In entering the guilty plea, Bishop admitted that between April 2013 and June 2014, he violated ARPA by digging on federal land managed by BLM and causing damage to a known archaeological resource. Bishop was documented excavating and removing items from the site on at least 21 different days between April 2013 and June of 2014.
While on probation, Bishop will be banned from lands managed by BLM, U.S. Forest Service, National Park Service, Bureau of Indian Affairs and the U.S. Fish & Wildlife Service. Bishop was ordered to pay $ 9,871.49 in restitution for costs associated with restoring the archaeological site he damaged and perform 150 hours of community service. Bishop also forfeited over 700 archaeological items seized from his residence during a search warrant executed in June 2014.
“These archeological resources are of particular significance to the tribal communities, and the looting of these resources has a harmful impact on those communities,” said U.S. Attorney Williams. “We will aggressively pursue those individuals who commit these violations of law.” ARPA protects archaeological resources on public and Indian lands. It provides felony-level penalties for unauthorized excavation, removal, damage, alteration, or defacement of any archaeological resource, which is defined as material remains of past human life or activities that are at least 100 years old. The archaeological resource at which Bishop committed his crime is located on federal land along the Rogue River which has served as several permanent Native American villages for over 8,000 years.
This case was investigated by the Bureau of Land Management, the Grants Pass Police Department, and the Southern Oregon High Tech Crimes Task Force. Assistant U.S. Attorneys Tim Simmons and Judi Harper prosecuted the case.
Georgia Man Pleads Guilty to Wire FraudRead 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 Robert Storey, 44, of Atlanta, Georgia, pleaded guilty before U.S. District Court Judge Richard J. Arcara, to wire fraud. The charge carries a maximum penalty of 20 years in prison and a fine of $250,000.
Assistant U.S. Attorney Russell T. Ippolito, Jr., who is handling the case, stated that the defendant defrauded a film production company located in England in an advance fee scheme which resulted in $300,000 dollars in financial losses. Storey represented to the victim film production company that he and a co-conspirator could obtain a standby letter of credit from banks outside the United States. The defendant assured company representatives that he could monetize the stand by letter of credit which would provide the company with millions of dollars in loans.
As part of the scheme, Storey required the company to provide him with $300,000 which would purportedly cover the costs associated with the financial transaction. The funds were provided but instead of using the money to obtain financing, the defendant and his co-conspirator used the funds for their own purposes.
Storey similarly defrauded two other film production companies. The total loss amount for all three film production companies was $780,000.
Three co-conspirators; Rhett Shepard, Nick Mussolini and Rodney Walker, have been convicted and are awaiting sentencing.
The plea was the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen.
Sentencing is scheduled for September 26, 2016 at 12:30 p.m. before Judge Arcara.
Four charged with illegal reentryRead the Press Release
ELKINS, WEST VIRGINIA – A federal grand jury returned indictments today charging four men found in Morgantown with illegal reentry into the United States, U.S. Attorney William J. Ihlenfeld, II, announced.
Selvin Garcia-Xitumul, 21, originally from Guatemala; Wilson Ariel Garcia-Guzman, 21, originally from Guatemala; Marco May-Cucil, 27, originally from Guatemala; and Javier Vargas-Zaldivar 32, originally from Honduras, were allegedly discovered in May 2016 in Monongalia County, West Virginia after previously having been deported from the country. They are each charged with one count of “Reentry of a Removed Alien.” They each face up to two years in prison and a fine up to $250,000.
Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Sarah W. Montoro is prosecuting the cases on behalf of the government. The United States Department of Homeland Security Immigrations and Customs Enforcement is investigating.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Four Gibson County Men Indicted in Meth Distribution ConspiracyRead the Press Release
Jackson, TN – Four Gibson County residents have been indicted for conspiring to distribute large quantities of highly pure methamphetamine throughout West Tennessee. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee; and Johnie Carter, Special Agent in Charge of the West Tennessee Drug Task Force, announced the indictment today.
The following defendants have been indicted and arrested on a five-count drug conspiracy involving more than 50 grams of meth.
• Lonnie Edward George, 53, of Trenton, Tennessee
• Brian Mayo, 32, of Trenton, Tennessee
• Keith Sims, 44, of Trenton, Tennessee
• Thomas Vinson, 57, of Trenton, Tennessee
According to the indictment, between August 2015 and May 2016, the defendants conspired with each other to distribute and possess with the intent to distribute large quantities of "ice," which is meth with a purity level greater than 80 percent. The defendants also distributed multiple grams of meth.
During the course of the investigation, law enforcement officers seized more than two pounds of ice, two firearms, 14 vehicles, and approximately $15,000 in drug proceeds from the defendants.
All four defendants have been charged with one count of conspiring to distribute 50 grams or more of actual meth (ice); and one count of aiding and abetting each other to distribute, attempt to distribute, possess with the intent to distribute and attempt to possess with the intent to distribute 50 grams or more of meth.
George is charged with an additional count of possession with intent to distribute 50 grams or more of meth.
Mayo is charged with an additional count of possession with intent to distribute five grams or more of meth; and one count of possession of a firearm in furtherance of a drug trafficking crime.
This case is being investigated by the 28th Judicial District Drug Task Force; Tennessee Bureau of Investigation (TBI); Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and Gibson County Sheriff’s Department.
Assistant U.S. Attorney Vic Ivy is prosecuting this case on the government’s behalf.
The charges and allegations in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Former President Pro Tem of Oklahoma Senate Sentenced to Serve 18 Months for BriberyRead the Press Release
Oklahoma City, Oklahoma – This morning, United States District Judge Robin Cauthron sentenced MICHAEL STEVEN MORGAN, 61, of Stillwater, Oklahoma, to serve 18 months in federal prison following his conviction for bribery in 2012, announced Mark A. Yancey, Acting U.S. Attorney for the Western District of Oklahoma.
Morgan was convicted following a jury trial in March of 2012. According to evidence at trial, Morgan, an attorney, accepted payments from a business that owned assisted-living centers, disguised as legal fees, in exchange for favorable treatment in the legislature. Specifically, Morgan took twelve $1,000 bribe payments in 2006 and 2007, disguised as legal fees, from Silver Oak Senior Living Center. Evidence showed that Silver Oak had been at odds with the Oklahoma Department of Health, which was attempting to impose regulations on assisted-living facilities. In exchange for the bribe payments, evidence showed that Morgan authored Senate Bill 738, which became law after modification at the end of the 2007 session and helped Silver Oak by lifting some of its regulatory burdens.
The jury found Morgan not guilty of conspiracy and certain mail fraud counts. The jury could not reach a unanimous verdict on one count of extortion and other mail fraud counts against Morgan. Morgan was originally sentenced in 2013 and, following an appeal, was resentenced today to serve 18 months in federal prison.
This case is the result of an investigation by Federal Bureau of Investigation and was being prosecuted by Assistant U.S. Attorney Scott E. Williams.
Former KC Group Home Operator Sentenced for $400,000 Tax Evasion SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the former operator of several group homes for mentally and physically handicapped residents in Kansas City, Mo., was sentenced in federal court today for a nearly $400,000 scheme to evade paying taxes.
Dedree R. Carlisle, 52, of Kansas City, Mo., was sentenced by U.S. District Judge Dean Whipple to two years in federal prison without parole. The court also ordered Carlisle to pay $397,213 in restitution.
On March 9, 2016, Carlisle pleaded guilty to attempting to evade taxes. Carlisle owned and operated a group home health care business at multiple locations in Kansas City, Mo., from 2005 until her business shut down after her guilty plea. Originally Carlisle’s business was called “Carlisle’s Garden of Peace” but she changed the name in 2009 to “Mracles Residential Care.” Mracles cared for mentally and physically handicapped residents in a group home setting, leasing multiple houses in residential neighborhoods, under contracts with the Missouri Department of Social Services. Mracles had between 12 and 20 employees at its multiple residences.
Carlisle admitted that she engaged in a scheme to defraud the IRS and the state of Missouri for the purpose of evading payment of at least $397,213 in federal and state taxes, penalties and interest, beginning in 2006.
Due to Carlisle’s failure to file returns or pay taxes, according to court documents, the IRS opened a civil investigation of her business, but she continued to miss deadlines and pay over taxes she withheld from her employees. Carlisle made her last voluntary tax payment in September 2009, of $1,000. The IRS issued a levy on her bank account in October 2009, seizing $29,885. Two months later, Carlisle informed the revenue agent that her business was shut down. The agent later learned that Carlisle had registered a new business, Mracles, in her daughter’s name – but except for the new name, the business remained the same. It had the same employees, same group homes, same clients, and Carlisle continued to sign the payroll checks. As with Carlisle’s Garden of Peace, Mracles continued to withhold employee taxes and not pay them over.
Carlisle failed to pay over employment taxes totaling $131,649 for her residential health care facilities from 2008 to 2010. Carlisle withheld state and federal taxes from her employees’ paychecks, and then used that money for her own personal benefit. She also failed to pay over the business portion of the employment taxes. She also failed to pay taxes on her own income – she earned $64,500 in 2009 and $65,000 in 2010 and paid no state or federal income taxes. Additionally, she claimed personal unpaid federal taxes of $28,561 for 2011 - 2012.
According to court documents, Carlisle was repeatedly notified of the amounts of her substantial taxes, penalties and interest due. Carlisle was notified in June 2011 that she was the subject of a criminal investigation. Up until her business shut down after her guilty plea in March 2016, Carlisle continued to withhold employee taxes and spend them for personal use. And she has made no payments on any taxes, personal or employment, during the investigation or after pleading guilty.
Carlisle admitted that she gambled heavily, including at 7th Street Casino in Kansas City, Kan., with funds debited directly from her business accounts. Carlisle used her business accounts as her personal charge accounts. She did not report, on her tax returns, many of these personal expenses as income, including charges for thousands of dollars made on business debit cards from 2006 through 2010 at Kansas City area casinos. Carlisle spent a total of $127,165 at 7th Street Casino from 2008 to 2010. Casino records show that Carlisle had winnings of $320,200 in 2010, $145,200 in 2009 and $29,219 in 2008.
Carlisle also wrote checks to herself from her business bank account in 2010 with references in the memo line to payroll, bonus, draws or advances totaling $65,000.
This case was prosecuted by Assistant U.S. Attorney Kathleen D. Mahoney. It was investigated by IRS-Criminal Investigation and the Missouri Department of Revenue.
Former City Clerk Sentenced to Prison for Stealing More Than $470,000Read the Press Release
A woman who used her position as the city clerk for the City of Garwin to steal more than $470,000 in public funds was sentenced yesterday to 28 months in federal prison.
Anna Leytham from Garwin, Iowa, received the prison term after a guilty plea to theft of public funds.
In a plea agreement, Leytham admitted that she held a position of public trust as the city clerk and that her position of trust contributed significantly to the commission and concealment of her crime. At sentencing, she agreed that she stole more than $470,000 from the city, including $397,601.12 she stole to make payments on her personal credit cards. Leytham also agreed she owes more than $485,000 in restitution, which includes costs the city incurred to conduct the audit that discovered the breadth of her crime.
Leytham was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Leytham was sentenced to 28 months’ imprisonment. A special assessment of $100 was imposed, and she was ordered to make a total of $485,629.01 in restitution to the city and the city’s insurance company. She must also serve term of supervised release after the prison term. There is no parole in the federal system.
“The citizens of Garwin deserve better from their public officials as do all Iowans,” stated United States Attorney Kevin W. Techau. “Betraying the public’s trust and wasting tax dollars is a crime we take very seriously. Those who choose to ignore federal law will be held accountable, just as this sentence holds Ms. Leytham accountable.”
Leytham was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set.
The case was prosecuted by Assistant United States Attorney Jacob A. Schunk and investigated by the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-CR-7.
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Former Chief Financial Officer Sentenced in Manhattan Federal Court for Misappropriating More Than $10 Million from Two Healthcare Services CompaniesRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that STEVEN RAWLINS, a former Chief Financial Officer to two healthcare services companies based outside Nashville, Tennessee, was sentenced to nine years in prison and $10,110,577.09 in forfeiture for engaging in a scheme to defraud that yielded over $10 million in ill-gotten gains. On November 16, 2016, following an 11-day trial conducted before U.S. District Judge Alison J. Nathan, a jury found that RAWLINS, as the acting Chief Financial Officer for both privately-held healthcare companies, abused his authority to withdraw company funds for payment of legitimate business expenses and tax obligations by, among other things, using such funds to pay personal expenses incurred by RAWLINS, his family, and his associates.
Manhattan U.S. Attorney Preet Bharara said: “Steven Rawlins abused his trusted position as CFO with two healthcare companies to steal more than a combined $10 million from them. As was established at trial, Rawlins spent the money he stole lavishly on himself, his family, and his friends, paying for a 12,000-square-foot home, Tiffany jewelry, several sports cars, and luxury suites at sporting events.”
According to the Criminal Information filed on June 16, 2015, other court documents, and the evidence presented at trial:
In or around 2005, RAWLINS was retained as an outside consultant by a private healthcare services company, which is headquartered in Tennessee (“Company-1”), to assist with financing and accounting matters. RAWLINS’s responsibilities included securing financing for Company-1 and facilitating tax payments. During that time period, RAWLINS was retained by another private healthcare services company, which at the time had operations in Florida and New York (“Company-2”), to perform a similar role. As part of his responsibilities, RAWLINS was authorized to bill both Company-1 and Company-2 for legitimate business expenses incurred in connection with his services. By 2009, RAWLINS had been appointed as acting Chief Financial Officer for both companies.
RAWLINS abused his authority to withdraw company funds and ultimately misappropriated more than $10 million, which he used to pay personal expenses incurred by himself, his family, and his associates. For instance, as part of his responsibilities as a consultant to Company-1, RAWLINS represented that he would make the necessary tax payments owed by Company-1 to the State of Tennessee. From 2011 to 2012, RAWLINS withdrew approximately $850,000 from Company-1’s bank accounts, purportedly in order to pay Company-1’s outstanding tax liabilities to Tennessee. In reality, during that time period, Company-1 owed less than $85,000 in applicable Tennessee state taxes; RAWLINS converted the vast majority of the funds to his own use. Moreover, from 2011 to 2013, RAWLINS caused approximately $4 million to be withdrawn from a Company-1 bank account in order to pay bills associated with RAWLINS’s American Express credit card accounts. Those American Express accounts were in turn used to pay for numerous personal expenses incurred by RAWLINS, or those associated with him, including payments to a real estate development company that built RAWLINS a 12,000-square-foot home; payments for luxury suite access for the Tennessee Titans, Nashville Predators, and New York Yankees; payments for Tiffany jewelry; and payments to car dealerships including Ferrari, Porsche, Maserati, and Mercedes.
Evidence at trial established that, as part of the criminal scheme, Rawlins also defrauded or attempted to defraud additional victims, including the founders of a start-up construction firm from whom he obtained $67,000; a restaurant company owner from whom he obtained a $1.3 million loan; and the owner of a factoring company from whom he attempted to obtain a $1.3 million advance. The evidence established that Rawlins used forged and fabricated documents in order to deceive several of his victims.
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RAWLINS, 59, of Brentwood, Tennessee, was sentenced to nine years in prison, $10,110,577.09 in forfeiture, and a $100 special assessment.
Mr. Bharara praised the outstanding investigative work of the Federal Bureau of Investigation.
The charges were brought 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 is 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.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Andrew J. DeFilippis is in charge of the prosecution.
Federal Officials Close Review into the Death of Antonio Zambrano-MontesRead the Press Release
SPOKANE - The United States Attorney’s Office for the Eastern District of Washington announced today that there is insufficient evidence to pursue federal criminal civil rights charges against Pasco Police Officers Adrian Alaniz, Ryan Flanagan, and Adam Wright for the death of Antonio Zambrano-Montes on February 10, 2015.
A team of experienced federal investigators and prosecutors conducted an independent review of the evidence related to the death of Zambrano-Montes. These investigators and prosecutors reviewed witness statements, reports, records, transcripts, medical records, diagrams, photographs, and videos. In addition, they solicited input and followed leads provided by attorneys working for the family of Mr. Zambrano-Montes.
This decision has been communicated to the family of Mr. Zambrano-Montes.
This team considered whether Officers Alaniz, Flanagan, and Wright violated federal law by willfully using unreasonable force against Mr. Zambrano-Montes. Under the law, the use of deadly force is justified when the officer has probable cause to believe that the suspect poses a threat of serious physical harm, either to the officer or to others. Moreover, under the applicable federal criminal civil rights statute, prosecutors must establish, beyond a reasonable doubt, that a law enforcement officer willfully deprived an individual of a constitutional right. To establish willfulness, federal authorities must show that the officer acted with the deliberate and specific intent to do something the law forbids. This is the highest standard of intent imposed by law. Mistake, misperception, negligence, or poor judgment are not sufficient to establish a federal criminal civil rights violation.
Based on a careful and thorough review, the team of experienced federal prosecutors and FBI agents determined that the evidence was insufficient to prove, beyond a reasonable doubt, that Officers Alaniz, Flanagan, and Wright acted with the requisite criminal intent, that is, willfully with a bad purpose to violate the law. There is no reliable testimonial or physical evidence that refutes the accounts provided by the officers that they believed the force they used was necessary to protect themselves and to stop a perceived threat. Accordingly, the federal review of this incident has been closed without prosecution. This decision is limited strictly to an application of the high legal standard required to prosecute the case under the federal civil rights statute; it does not reflect an assessment of any other aspect of the incident that led to Mr. Zambrano-Montes’ death.
In announcing this determination, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, offered his condolences: “Our thoughts remain with Mr. Zambrano-Montes’ family and friends. I cannot fathom how painful their loss has been.” Though USA Ormsby’s office has previously prosecuted cases involving the unlawful use of force by law enforcement officials, he noted that, “These cases are difficult because someone has lost their life. It is very important to consider multiple factors and apply the applicable law in determining whether or not to file criminal charges.” USA Ormsby went on to say, “In this matter, the Tri-Cities/Washington State Patrol Special Investigation Unit conducted a very exhaustive investigation which was reviewed and supplemented by very experienced FBI agents. That work was further reviewed and discussed by me, Assistant United States Attorneys in my office, and experienced litigators in the Civil Rights Division in the Department of Justice. These cases deserve and receive careful review and examination in light of the detailed requirements of the federal law under which they can be prosecuted. After this investigation, examination, and discussion, it was my determination that the filing of criminal charges in this case could not be supported.”
The U.S. Attorney’s Office for the Eastern District of Washington, the Civil Rights Division, and the FBI are committed to investigating allegations of civil rights violations by law enforcement officers and will continue to devote the resources required to ensure that all allegations of serious civil rights violations are fully and completely investigated. The Department will aggressively prosecute criminal civil rights violations whenever there is sufficient evidence to do so.
El Departamento de Justicia Cierra Caso Después de que Reformas del Poder Judicial de Colorado Eliminaran Barreras LingüísticasRead the Press Release
WASHINGTON – El Departamento de Justicia anunció hoy el cierre de su caso relacionado con la provisión de asistencia lingüística a personas con conocimientos limitados del inglés [Limited English Proficiency (LEP)] en el sistema judicial del estado, después de la exitosa implementación de reformas por parte del Poder Judicial de Colorado.
El Departamento de Justicia y el Poder Judicial de Colorado resolvieron con éxito una investigación de una demanda administrativa entablada bajo el Título VI de la Ley de Derechos Civiles de 1964, que prohíbe la discriminación basada en raza, color u origen nacional en programas o actividades con financiamiento federal.
“El Departamento de Justicia seguirá trabajando sin descanso para garantizar la igualdad en el acceso a la justicia para todas las personas, independientemente de su capacidad lingüística,” declaró la Secretaria de Justicia Auxiliar Adjunta Principal Vanita Gupta, Directora de la División de Derechos Civiles del Departamento de Justicia. “Felicitamos al Administrador de Tribunales Estatales Gerald Marroney y su equipo por su dedicación y colaboración para transformar el suministro de servicios de acceso idiomático para el beneficio de todos”.
La demanda alegaba que los tribunales de Colorado exigían que partes civiles LEP llevaran sus propios intérpretes al tribunal. En 2011, el ex-Juez Principal Michael L. Bender y el Administrador de Tribunales Estatales Gerald Marroney firmaron un memorando de acuerdo (en inglés) con el departamento. En dicho momento, el Juez Principal Bender enmendó la Directiva 06-03 del Juez Principal de modo que, con vigencia inmediata, se ordenara la provisión de intérpretes calificados y otros tipos de asistencia lingüística aprobados, sin cargo para personas LEP en todos los procesos, servicios y programas judiciales. Después de negociaciones adicionales, la Oficina de Acceso Idiomático del tribunal emitió un plan estratégico (en inglés) integral en 2012 que definió 35 mejoras necesarias en las políticas, normas, infraestructura y capacitación de los tribunales, como apoyo a la capacidad del sistema judicial de proveer asistencia lingüística oportuna y adecuada en todo el estado.
Anteriormente este año, el Poder Judicial de Colorado completó el trabajo requerido por el plan. También cumplió con éxito las exigencias de monitoreo establecidas en el memorando de acuerdo, incluida la enmienda adicional de la Directiva del Juez Principal (en inglés). Hoy, después de que el sistema judicial completó las condiciones para finalizar el acuerdo, el departamento cerró el caso oficialmente.
El departamento y el Poder Judicial de Colorado han trabajado en conjunto para mejorar las comunicaciones entre usuarios LEP de los tribunales y el personal de los tribunales. Además de adoptar la política integral de acceso idiomático incluida en la Directiva del Juez Principal, los logros del Poder Judicial incluyen:
• Revisión de las normas para someter a prueba, clasificar y sancionar a los intérpretes judiciales, y normas establecidas para promover la contratación de personal de servicio al cliente bilingüe y determinar sus conocimientos de otros idiomas;
• Creación de un centro telefónico estatal centralizado de intérpretes compuesto por intérpretes judiciales certificados, para brindar asistencia de interpretación remota en circunstancias limitadas para asistir a personal de todo el estado en la provisión de asistencia a clientes LEP;
• Creó un comité asesor que incluye a jueces, administradores, intérpretes y abogados que proveen recomendaciones sobre políticas, procedimientos y asuntos relacionados con la implementación;
• Optimización del software utilizado para asignar intérpretes a procesos;
• Tradujo al español cientos de formularios y carteles de tribunales locales y estatales, y este año comenzó las traducciones a otros seis idiomas de uso habitual;
• Diseñó y realizó sesiones de capacitación y diseñó materiales de referencia para jueces, personal e intérpretes y adquirió acceso a módulos de capacitación de personal en Internet;
• Diseñó y distribuyó carteles en diferentes formatos e idiomas, que avisan a visitantes al tribunal de la disponibilidad de servicios lingüísticos sin cargo;
• Comenzó a incluir en alegatos y órdenes de gestión de casos un aviso de la disponibilidad de la asistencia de intérpretes;
• Y, mejoró el sistema de sanción de intérpretes contratados debido a la violación de normas profesionales, y creó un sistema de quejas relacionadas con el acceso idiomático.
Estuvo a cargo del caso el Abogado Principal Paul M. Uyehara de la Sección de Coordinación y Cumplimiento Federal [Federal Coordination and Compliance (FCS)] de la División de Derechos Civiles.
La demanda fue resuelta como parte de la iniciativa de la FCS para asegurar que los tribunales estatales cumplan con las exigencias de acceso idiomático del Título VI. Para asegurar que no se le niegue justicia a ninguna persona LEP por la falta de servicios lingüísticos del tribunal, el equipo judicial de la FCS (en inglés) ofrece orientación sobre políticas y asistencia técnica a sistemas judiciales estatales y realiza acciones de coacción en todo el país.
Para obtener información adicional sobre la FCS y el Título VI, por favor visite https://www.justice.gov/crt/fcs. Para acceder a recursos adicionales relacionados con LEP, visite http://www.lep.gov/index.htm.
East Liverpool man indicted for possessing images of child sexual abuseRead the Press Release
Donald Guthrie, Jr., 56, of East Liverpool, was charged with receiving visual depictions of real minors engaged in sexually explicit conduct and possession of child pornography, said Carole S. Rendon, United States Attorney for the Northern District of Ohio.
Guthrie received numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. This took place between June and August 2014, On November 6, 2015, Guthrie was in possession of a Gateway LX series computer that contained child pornography, according to the indictment.
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 violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant United States Attorney Carol M. Skutnik. The case was investigated by the Department of Homeland Security, Cleveland Office.
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.
Dupree Man Sentenced for Assault Resulting in Serious Bodily InjuryRead the Press Release
United States Attorney Randolph J. Seiler announced that a Dupree, South Dakota, man convicted of Assault Resulting in Serious Bodily Injury was sentenced on June 20, 2016, by U.S. District Judge Roberto A. Lange.
Orville Belt, Jr., age 41, was sentenced to 41 months in custody, 2 years of supervised release, and a special assessment of $100 to the Federal Crime Victims Fund.
Belt was indicted for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury by a federal grand jury on February 17, 2016. He pled guilty to Assault Resulting in Serious Bodily Injury on March 29, 2016.
The conviction stems from an incident that took place on January 1, 2016, at Dupree, when Belt and the victim were drinking together. Belt and the victim were in a relationship. Belt got angry with the victim and pulled the victim’s chair from under her so that she fell to the floor. He then began hitting the victim with his fists multiple times, knocking her unconscious. When she came to, Belt was kicking her multiple times with black combat boots. The victim did not receive medical treatment until two days after the assault, when a neighbor saw her and reported to law enforcement that the victim had been “severely assaulted.” The law enforcement officer who responded to the Belt residence knew the victim, but did not recognize her that day due to the severity of her injuries.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
Belt was immediately turned over to the custody of the U.S. Marshals Service.
Drunk Driver Sentenced to 4 Years in Federal Prison for Involuntary Manslaughter in Fatal Baltimore-Washington Parkway Car CrashRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Charles Jerome Wiggins, age 26, of Cottage City, Maryland, today to four years in prison followed by three years of supervised release for involuntary manslaughter and reckless driving.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Chief of Police Robert D. MacLean of the U.S. Park Police.
According to trial evidence, on December 12, 2013 at 2 a.m., Wiggins was driving a car on the Baltimore-Washington Parkway. His wife, Kiana Wiggins, who had turned 34 that day, was in the front passenger seat, and his sister-in-law, Angel Barbour, age 21, was sitting in the back behind her. His sister-in-law’s boyfriend was also sitting in the back seat. Wiggins rear-ended a pickup truck that was driving in the same direction. The truck went into the woods, and Wiggins’s car flipped over and skidded on its roof more than 200 feet. The two women were killed. Wiggins was found to have a blood alcohol level of .19%.
United States Attorney Rod J. Rosenstein commended the U.S. Park Police for its work in the investigation and thanked Assistant U.S. Attorney Hollis Raphael Weisman and Special Assistant United States Attorney Conor Mulroe, of the U.S. Justice Department, who prosecuted the case.
Drug Dealer Who Fired Shots at Police Officers Pleads GuiltyRead the Press Release
NEWPORT NEWS, Va. – Stefon I. Malone, 25, of Newport News, pleaded guilty today to various drug and gun charges related to his involvement in drug trafficking conspiracy operating in Newport News.
According to the statement of facts filed with the plea agreement, Malone’s role within the conspiracy was to distribute cocaine base and provide security for the drug trafficking operation. From Jan. 1, 2013 through Feb. 28, 2013, Malone distributed cocaine base from a rooming house on Chestnut Avenue.
On Feb. 28, 2013, Malone fired his Glock 9mm pistol at Newport News Police Department officers, who were serving a search warrant at the rooming house, striking one police officer in his ballistic vest and a striking a second police officer’s ballistic shield.Malone was indicted by a federal grand jury on Sep. 10, 2015, and faces a maximum consecutive penalty of 5 to 40 years for the drug conspiracy and 10 years to life in prison for the firearm offense. Malone is to be sentenced on October 19, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Karl C. Colder, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after the plea was accepted by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorney Robert E. Bradenham II is 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-65.
Dominican Man Sentenced After Pleading Guilty to Misrepresenting A Social Security Number and Falsely Claiming to Be A U.S. CitizenRead the Press Release
CONCORD, NEW HAMPSHIRE –United States Attorney Emily Gray Rice announced today that Alberto Martinez, of the Dominican Republic pleaded guilty to a two-count indictment charging him with misrepresenting a social security number and falsely claiming to be a U.S. citizen. He was sentenced to time served.
On November 5, 2015, the defendant attempted to renew a New Hampshire driver’s license that he had acquired under a false identity in which he used a social security number that was not assigned to him. When a New Hampshire State Trooper began questioning him, Martinez claimed to be a United States Citizen born in Puerto Rico. Martinez had completed a license renewal form on which he affirmatively stated that he was a United States Citizen.
Immigration and Customs Enforcement officers arrived to assist the New Hampshire State Police. After the defendant was informed that ICE intended to take his fingerprints for comparison to known fingerprints maintained by ICE, the defendant admitted that his true name was Alberto Martinez, that he is a citizen of the Dominican Republic born in the Dominican Republic in August 1965, and he stated he illegally entered the United States in 2009 by walking across the United States border with Mexico.
ICE officers proceeded to fingerprint the defendant. IAFIS indicated that the fingerprint impressions submitted were an exact match to a defendant with a criminal history in Massachusetts under the false name the defendant had been using.
The case was investigated by the U.S. Department of Homeland Security, Bureau of Immigration and Customs Enforcement and the New Hampshire State Police. Assistant U.S. Attorney Alfred Rubega prosecuted this case.
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District Man Sentenced to 90-Month Prison Term for Assaulting Security Officer After Shoplifting IncidentRead the Press Release
WASHINGTON – Deandre Britton, 27, of Washington, D.C., has been sentenced to a 90-month prison term after earlier pleading guilty to stabbing a security officer after a shoplifting incident in downtown Washington, U.S. Attorney Channing D. Phillips announced.
Britton pled guilty in February 2016, in the Superior Court of the District of Columbia, to a charge of assault with a dangerous weapon. He was sentenced on June 15, 2016, by the Honorable Anita Josey-Herring. Upon completion of his prison term, Britton will be placed on three years of supervised release.
According to the government’s evidence, on Aug. 11, 2015, at approximately 3:10 p.m., Britton entered the Macy’s Department store at Metro Center, in the 1200 block of G Street NW. He placed assorted items of clothing into a bag and walked out without paying. Two security officers tried to stop Britton and retrieve the stolen items. Without provocation, he stabbed one of them in the upper arm and left wrist several times. The stabbing caused nerve damage to the security officer’s arm. Britton fled, and police broadcast a look-out for him. He was arrested later that day after Metro Transit Police stopped him at Union Station.
In announcing the sentence, U.S. Attorney Phillips commended the work of those who investigated the case from the Metro Transit Police Department and the Metropolitan Police Department. He also expressed appreciation for the work of Assistant U.S. Attorney Nurudeen Elias, who investigated and prosecuted the case.
District Man Pleads Guilty to Bank Robbery Charge for June 2015 Hold-Up in Northwest WashingtonRead the Press Release
WASHINGTON - Michael Johnson, 50, of Washington, D.C., has pled guilty to a bank robbery charge involving a hold-up last year in Northwest Washington, announced U.S. Attorney Channing D. Phillips, Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office, and Cathy L. Lanier, Chief of the Metropolitan Police Department (MPD).
Johnson pled guilty to the charge on June 21, 2016, in the U.S. District Court for the District of Columbia. In entering his guilty plea, Johnson also admitted responsibility for an additional bank robbery and an attempted bank robbery. He is to be sentenced on Sept. 20, 2016 by the Honorable Richard J. Leon. He faces a statutory maximum of 25 years in prison and potential financial penalties. Under federal sentencing guidelines, he faces a likely range of 70 to 87 months in prison and a potential fine of $20,000 to $200,000.
Johnson remains held without bond pending sentencing.
According to the government=s evidence, on Saturday, June 6, 2015, at approximately 12:40 p.m., Johnson walked into a Wells Fargo Bank in the 3300 block of 14th Street NW. He approached a bank employee and inquired about opening a joint bank account. When the employee asked about the second party for the joint account, Johnson stated that he was not there to open an account, but there “for the money.” Shortly thereafter, Johnson grabbed the bank employee and forced her to the teller stations with what appeared to be a handgun pointed at her body. He threatened to shoot the employee if the tellers did not give him money. A bank teller gave him $910 from one of the teller drawers. Johnson took the cash and fled the bank.
Within a few minutes of the bank robbery, officers with the Metropolitan Police Department saw Johnson in the 1300 block of Kenyon Street NW, a short distance from the Wells Fargo bank. When they attempted to approach him, he fled. After a brief chase, the officers subdued Johnson and later recovered the stolen money in his pants. After Johnson was placed under arrest, he was interviewed by law enforcement. He admitted to robbing the Wells Fargo bank. He also told law enforcement where he discarded the weapon he had used when he fled from the bank. The weapon, a knife shaped like a gun, was recovered shortly thereafter.
The other crimes took place in the weeks leading up to the Wells Fargo Bank robbery.
On May 15, 2015, at approximately 11:35 a.m., Johnson walked into a Wells Fargo Bank in the 1900 block of Seventh Street NW. He told a bank employee that he was there to open an account. After the employee asked for his identification, Johnson handed her a note demanding money and threatening to hurt the employee. The employee told Johnson that she did not have any money at her desk, but that she would get some cash from the teller. As she stood, she pressed the alarm button under her desk. Johnson told her that he saw her push the button and then left the bank. He was later identified by a witness from surveillance video from the bank.
On May 21, 2015, at about 1:15 p.m., Johnson walked into a Citibank in the 3200 block of 14th Street NW. He approached a teller and handed over a note demanding money. Johnson then said, “Give me the cash right now,” while making a threatening gesture towards a customer in a nearby teller line. The teller gave Johnson $1,745 and he fled from the bank. The note was later processed for fingerprints, and a latent print matching Johnson was recovered.
In announcing the plea, U.S. Attorney Phillips, Assistant Director in Charge Abbate, and Chief Lanier commended the actions of those who worked on the case from the FBI’s Washington Field Office and the Metropolitan Police Department. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Catherine O’Neal and Legal Assistant Peter Gaboton. Finally, they commended the work of Assistant U.S. Attorney Jamila Hodge, who is prosecuting the case.
Department of Justice to Host Public Forums to Hear from Community as Part of Investigation of Chicago Police DepartmentRead the Press Release
CHICAGO — The Civil Rights Division of the United States Department of Justice, along with the United States Attorney’s Office for the Northern District of Illinois, are conducting a civil pattern or practice investigation into the Chicago Police Department. As part of the investigation, officials will be hosting public forums to provide information about the investigative process, and to offer time for community members to share their experiences with policing in Chicago.
The dates and locations of the forums are as follows:
June 22, 6:30 p.m. to 8:30 p.m.
Kennedy King City College (U Building)
740 W. 63rd St., Chicago IL 60621
July 12, 6:30 p.m. to 8:30 p.m.
Truman City College
1145 W. Wilson Ave., Chicago IL 60640
July 14, 6:30 p.m. to 8:30 p.m.
KROC Center Chapel
1250 W. 119th St., Chicago IL 60643
The forums are free of charge and open to the public and the media.
The purpose of the pattern or practice investigation is to determine whether there are systemic violations of the Constitution or federal law by the Chicago Police Department. The investigation is focused on use of force, including racial, ethnic and other disparities in its use of force, as well as police accountability systems, including how internal investigations are conducted, how the police department responds to citizen complaints, and how it handles officer discipline.
Community members who are unable to attend the forums but wish to share information relevant to the investigation are encouraged to contact the Department of Justice by phone: (844) 401-3735 or email: [email protected].
Defendant Convicted at Trial for Drug and Firearm Related Murder in AlbanyRead the Press Release
Late yesterday afternoon, following a one week trial, a federal jury in Brooklyn, New York, returned a guilty verdict against James Cureton for drug and firearm related murder and drug trafficking. The charges arose out of the defendant’s participation in a murder that took place in Albany, New York. When sentenced by United States District Carol B. Amon, the defendant faces a maximum sentence of up to life imprisonment and a mandatory minimum sentence of 20 years on the drug-related count of conviction.
The verdict was announced by Robert L. Capers, United States Attorney for the Eastern District of New York; Diego Rodriguez, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office; and William J. Bratton, Commissioner, New York City Police Department.
“This verdict sends the clear message that drug traffickers who use violence as a tool of their trade will be investigated, apprehended, and held fully accountable for their crimes,” stated United States Attorney Capers. Mr. Capers thanked the Albany Police Department for its assistance in this case.
“The business of drug trafficking and criminal behavior doesn't often end with a healthy retirement in some sunny locale near a beach. In this case, the defendant who chose a life of crime will most likely spend the rest of it in federal prison for murder. The FBI Metro Safe Streets Task Force and our law enforcement partners will not stop going after criminals who make our communities dangerous for those people who choose to abide by the law,” stated FBI Assistant Director-in-Charge Rodriguez.
“For drug traffickers who use violence and murder to further their trade: we will employ every tool to bring justice for your victims. I thank the jury for their time in rendering this verdict,” stated New York Police Commissioner Bratton.
On October 31, 2009, Cureton and a coconspirator killed Raymond Books because he had ceased making payments on a $37,000 drug debt. Cureton drove with his coconspirator to Albany on the day of the murder and brought a spray bottle of cleaning solution to remove any traces of their presence at the crime scene. Before arriving, Cureton also enlisted another individual to get Brooks’s girlfriend out of their Albany apartment, ensuring there would be no witnesses there. Once inside the premises, the coconspirator shot and killed Brooks. Cureton then drove them back to Staten Island.
Later that night, Cureton reached out and began to intimidate potential witnesses who might be able to connect him to the murder. Cureton also continued trafficking narcotics with the coconspirator and their associates for several years after the murder.
The government’s case is being prosecuted by the Office’s Organized Crime and Gangs, and International Narcotics and Money Laundering Sections. Assistant United States Attorneys Alicyn Cooley and Jennifer Carapiet are in charge of the prosecution.
The Defendant:
JAMES CURETON
Age: 43
Staten Island, New YorkE.D.N.Y. Docket No. 16-CR-23 (CBA)
Cleveland Heights man named in 22-count indictment, charged with identity theft and tax violationsRead the Press Release
A 22-count indictment was returned charging a Cleveland Heights man with identity theft and tax violations, said Acting U.S. Attorney Carole S. Rendon and Kathy A Enstrom, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
Darryl E. Farmer, 44, was indicted on one count of conspiracy to defraud, nine counts of false tax claims, eight counts of aiding in the preparation of false tax returns, two counts of wire fraud and two counts of aggravated identity theft.
Farmer held himself out as a neighborhood tax preparer who paid recruiters a “referral fee” to provide him identifications and personal identifiers of others. Farmer used this information to file false tax returns, including claiming tax credits for businesses that did not exist, according to the indictment.
Farmer also opened multiple personal and business bank accounts, which he controlled, in the names of these various people in order to deposit the refunds from the tax returns he filed, according to the information.
Farmer falsely claimed more than $100,000 from the IRS between 2010 and 2012, according to the indictment.
“This defendant stole identities and stole from taxpayers,” Rendon said.
“IRS Criminal Investigation stands ready to investigate anyone who would put a taxpayer at risk for a quick profit,” Enstrom said. "Our special agents use their investigative and financial expertise to detect and hold accountable abusive tax return preparers who falsely tell taxpayers they are eligible for tax credits that they are not entitled to receive."
If convicted, the court will determine the defendants’ sentence after a review of factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum. In most cases, it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Mark Bennett following an investigation by the IRS.
A charge 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.
Cherry Creek Man Sentenced for Assault with a Dangerous WeaponRead the Press Release
United States Attorney Randolph J. Seiler announced that a Cherry Creek, South Dakota, man convicted of Assault with a Dangerous Weapon was sentenced on June 20, 2016, by U.S. District Judge Roberto A. Lange.
Randy Little Shield, age 25, was sentenced to 41 months in custody, 3 years of supervised release, and a special assessment of $100 to the Federal Crime Victims Fund.
Little Shield was indicted by a federal grand jury on January 21, 2016. He pled guilty on April 4, 2016.
The conviction stems from an incident that took place on October 8, 2015, at Cherry Creek, when a verbal exchange between the victim and Little Shield’s girlfriend quickly turned physical. At some point, Little Shield’s girlfriend had the upper hand and was the only one landing any blows. The fight moved around the car from the passenger side to the driver's side. Little Shield ran to his uncle's house and returned with a baseball bat. He took a full swing with the bat and hit the victim in the midsection/ribs with the bat. He then stepped back, took another swing, and hit her in the leg/knee with the bat. A bystander grabbed a board and used it to fend off Little Shield. At that point, the two groups separated and the police were called.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
Little Shield was immediately turned over to the custody of the U.S. Marshals Service.
Career Offender from Las Cruces Sentenced to 35 Years for Conviction on Conspiracy, Explosives and Firearms ChargesRead the Press Release
ALBUQUERQUE – Clifford Raymond Salas, 38, of Las Cruces, N.M., was sentenced today in federal court to 35 years in prison on his conviction on conspiracy, explosives and firearms charges followed by three years of supervised release. Salas also was ordered to pay $111,018.05 in restitution to the victims of his crimes. The sentence was announced by U.S. Attorney Damon P. Martinez, Special Agent in Charge Terry Wade of the Albuquerque Division of the FBI, and Las Cruces Police Chief Jaime Montoya.
U.S. Attorney Martinez said that Salas, whose prior criminal history includes convictions for drug trafficking, attempted assault on an inmate, robbery and being a felon in possession of a firearm, was prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. Because New Mexico’s violent crime rates, on a per capita basis, are amongst the highest in the nation, New Mexico’s law enforcement community is collaborating to target repeat offenders from counties with the highest violent crime rates, including Doña Ana County, N.M., under this initiative.
Salas and co-defendants Conrad Vazquez Salazar (Salazar), 44, and Andres Linares-Baca, 33, both of Las Cruces, and Thomas Vazquez Salazar (Vazquez Salazar), 40, of Odessa, Tex., were charged in a series of complaints and indictments, the first of which was filed in Sept. 2012, with violating the federal conspiracy, explosives and narcotics laws. Salas, Salazar and Vazquez Salazar were charged with conspiracy and explosives charges that arose out of the firebombing of a tattoo parlor in Las Cruces on Aug. 31, 2012.
Vazquez Salazar entered a guilty plea to the conspiracy and explosives charges in Sept. 2013, and was sentenced in March 2016. Linares-Baca pled guilty in Sept. 2013, to heroin trafficking charges and was sentenced in Jan. 2014. Proceedings against Salazar were delayed by competency proceedings, and in Oct. 2014, the court found him incompetent to stand trial and committed him to hospitalization to determine whether he can be restored to competency. Salazar pled guilty on Aug. 17, 2015, to conspiracy and being a felon in possession of a firearm and ammunition and was sentenced in Nov. 2015.
Salas elected to exercise his right to a jury trial, which resulted in a guilty verdict on March 11, 2015, on a superseding indictment charging him with participating in a conspiracy between July 15, 20112 and Aug. 31, 2012, to commit arson by maliciously damaging and destroying the Irish Ink Tattoo, located at 2245 South Main Street in Las Cruces. The indictment also charged Salas with maliciously damaging and destroying the Irish Ink Tattoo on Aug. 31, 2012, by throwing at least one Molotov cocktail into the building, using a destructive device in furtherance of an act of violence; and being a felon in possession of an explosive.
The evidence at trial established that in May 2012, Salazar opened up a tattoo shop in Las Cruces. Shortly thereafter Salazar experienced legal troubles and his business struggled. As a result, two of Salazar’s tattoo artists left with the intention of opening their own tattoo shop, the Irish Ink Tattoo. When Salazar learned of these plans, he threatened to burn down Irish Ink Tattoo. As promised, after the two tattoo artists opened the Irish Ink Tattoo, Salazar arranged for Salas and Vazquez Salazar to throw Molotov cocktails at the Irish Ink Tattoo and burn it down. After midnight and after obtaining the Molotov cocktails from Salazar, Vazquez Salazar drove Salas to the Irish Ink Tattoo. Salas broke a window of the Irish Ink Tattoo with a metal bar and set the building on fire by throwing Molotov cocktails into the building.
This case was investigated by the Las Cruces office of the FBI and the Las Cruces Police Department. Assistant U.S. Attorneys Aaron O. Jordan and Marisa A. Lizarraga prosecuted the case.
Buffalo Man Pleads Guilty to Possession of Child PornographyRead 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 Johannes Hiram, 50, of Buffalo, NY, pleaded guilty to possession of child pornography before U.S. District Judge Lawrence J. Vilardo. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Scott S. Allen, Jr., who is handling the case, stated that on March 14, 2014, law enforcement officers searched the defendant’s residence on Linview Terrace in Buffalo. Officers recovered a Compaq Presario desktop computer and a Hewlett Packard mini laptop. A subsequent forensic examination determined that the devices contained approximately 750 image files and 20 videos containing child pornography. Over 400 of the image files depicted the sexual abuse of children. Some of the images also depicted victims under the age of 12.
After his arrest in March 2014, Hiram pleaded guilty in Erie County Court on May 28, 2014, to sexual contact with an individual less than 11 years old. As a result, Hiram is already a registered sex offender.
Hiram’s sentencing in federal court is scheduled for October 2, 2016 at 10:00 a.m. before Judge Vilardo.
The plea is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Daniel Derenda and the Federal Bureau of Investigation’s Child Exploitation Task Force, under the direction of Special Agent in Charge Adam S. Cohen. The task force includes the Buffalo Police Department, Cheektowaga Police Department, and Niagara County Sherriff’s Office.
Branford Man Sentenced to Prison for Selling Heroin and CrackRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ORETAGUS EADDY, 39, of Branford, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 24 months of imprisonment, followed by three years of supervised release, for selling heroin and crack cocaine.
This matter stems from an investigation headed by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force.
According to court documents and statements made in court, between January 2013 and July 2013, the Task Force made two controlled purchases of heroin and four controlled purchases of crack cocaine from EADDY.
EADDY was arrested on March 3, 2014. On March 7, 2016, he pleaded guilty to one count of possession with intent to distribute and distribution of heroin.
EADDY’s criminal history dates to 1993 and includes a prior federal conviction for distributing heroin, cocaine and crack.
The DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force includes members from the Bridgeport, Stamford, Stratford, Norwalk, Milford and Trumbull Police Departments, and the Connecticut State Police.
This case was prosecuted Assistant U.S. Attorney Michael E. Runowicz.
Arkansas Man Sentenced for Fraud SchemeRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Crawford, Ark., man was sentenced in federal court today for leading a bank fraud conspiracy that used stolen mail and fake identifications to cash nearly $160,000 in fraudulent checks in Webster County, Mo., and elsewhere.
Phillip Daren Shockey, 50, of Crawford, was sentenced by U.S. District Judge M. Douglas Harpool to 11 years and two months in federal prison without parole. The court also ordered Shockey to pay a money judgment of $159,842, which includes $114,127 to 14 banks and credit unions in Missouri.
Shockey, who pleaded guilty on Jan. 14, 2015, admitted that he was the leader of a conspiracy to defraud more than a dozen banks from July 31, 2013, to Feb. 28, 2014, by passing counterfeited and forged checks with fake identification documents. At least 12 co-conspirators stole mail, printed counterfeit checks, passed counterfeit checks with fake identification and opened at least five fictitious businesses for the sole purpose of concealing the deposit and subsequent withdrawal of counterfeit checks.
Shockey recruited co-conspirators to steal mail and act as “check runners” who used false identity documents in order to cash fraudulent checks drawn upon the accounts of bank customers. Shockey possessed computers, printers, scanners, cell phones, thumb drives, stolen mail and software in order to produce fraudulent identification and checks for his co-conspirators. Shockey also used false identifications of the banks’ customers and others in order to pass and attempt to pass fraudulent checks.
Shockey and those working at his direction passed and attempted to pass approximately 51 checks for a loss of at least $159,842.
Co-defendant James Erin Guerin, also known as “Shorty,” 42, of Tulsa, Okla., formerly of Sparta, Mo., pleaded guilty to being an accessory after the fact to aggravated identity theft and awaits sentencing.
Guerin was the owner of Rogersville Septic Services, LLC. Guerin paid Shockey’s $5,000 bond when he was released from custody in Arkansas on July 31, 2013, and Shockey was mandated to live with Guerin in Sparta. Shockey, who had been in federal custody in Arkansas for wire fraud, began to create fictitious financial documents using bank accounts and routing numbers of legitimate customers of Guerin’s plumbing business.
In August and September 2013, Guerin became aware that Shockey had taken the bank account and routing numbers from his plumbing business customers and was using them to produce fictitious financial documents such as bogus checks drawn upon the customers’ bank accounts. After learning of Shockey’s use of his customers’ bank accounts, Guerin continued to provide comfort and assistance to Shockey. Shockey was given sanctuary at Guerin’s residence to continue his illegal operation.
Four co-defendants have pleaded guilty and been sentenced. Michael Anthony Spears, 37, of Fort Smith, Ark., was sentenced to seven years in federal prison without parole. Donald Allen Spears, 35, of Columbia, Mo., was sentenced to two years and three months in federal prison without parole. Amanda Brook Roberts, 31, of Tulsa, was sentenced to three years and one month in federal prison without parole. Laura Goines, 33, of Tulsa, was sentenced to time served.
This case is being prosecuted by Assistant U.S. Attorney Abram McGull, II. It was investigated by the U.S. Secret Service Financial Crimes Task Force, the U.S. Postal Service – Criminal Investigations, the Springfield, Mo., Police Department, the Missouri State Highway Patrol, the Tulsa, Okla., Police Department, the Jasper County, Mo., Sheriff’s Office, the Webster County, Mo., Sheriff’s Office, the Greene County, Mo., Sheriff’s Office, the Columbia, Mo., Police Department, the Blue Springs, Mo., Police Department, the Monett, Mo., Police Department, the Pierce City, Mo., Police Department, the St. Clair County, Mo., Sheriff’s Department, the Rolla, Mo., Police Department and the Catoosa, Okla., Police Department.
Anne Arundel County Man Sentenced to over 8 Years in Federal Prison for Possession of Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Sergei William Noack, age 23, of West River, Maryland, today to 97 months in prison, followed by 25 years of supervised release, for possession of child pornography. Judge Russell also ordered that upon his release from prison Noack must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Anne Arundel County Police Chief Tim Altomare; and Anne Arundel County State’s Attorney Wes Adams.
According to his plea agreement, on May 8, 2015, an Anne Arundel County Police Department investigator received two Cybertips from the National Center for Missing and Exploited Children that had been received from an internet service provider. The tips involved an individual, later determined to be Noack, who had: uploaded to his computer an image depicting two prepubescent male minors engaging in sexually explicit conduct; and, sent a photo of a prepubescent minor to another individual and stated via chat that he was having sexual contact with the minor.
That same day, a search warrant was executed at Noack’s residence. Investigators seized his desktop computer, two external hard drives, and his cell phone. Noack advised law enforcement that he had thousands of images of child pornography on his computer, which he searched for and collected from the internet. Noack admitted that he likes images and videos depicting bondage. Noack admitted that he meets people online in websites and chat rooms, then moves to applications that conceal the identity of the user to trade child pornography files with those people.
A preliminary forensic examination of the seized items revealed at least eight videos and 90 images children engaged is sexually explicit conduct on the desktop computer and external hard drive, including numerous files that portray sadistic or masochistic conduct or other depictions of violence. One of the videos was surreptitiously recorded by Noack and depicted a minor prepubescent male using the bathroom in Noack’s home. Noack also stated that approximately two to three years earlier he was alone with a prepubescent minor who was visiting his home and that he touched the back and stomach of the prepubescent minor. The minor was interviewed in 2015 and stated that Noack would give him a cookie to take off his shirt and then touched him on his bare chest and stomach. The minor stated that Noack attempted to put his hands under the minor’s pants, towards his genitals, but the minor moved away. In 2012, Noack sent frequent text messages to the minor, often declaring his love for the minor.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended the FBI, Anne Arundel County Police Department and Anne Arundel County Police Department for their work in the investigation and recognized Anne Arundel County Assistant State’s Attorney Anastasia Prigge, who handled the state prosecution. Mr. Rosenstein thanked Assistant U.S. Attorney Paul E. Budlow, who prosecuted the federal case.
Anchorage Woman Charged with $239,000 Healthcare FraudRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced today that an Anchorage woman has been charged in a 20-count indictment alleging that she devised a scheme to defraud the state of Alaska Medicaid Program of over $239,000.00.
Mi Ran Yu, 40, of Anchorage was charged with a scheme to defraud by intentionally misrepresenting the health condition of her parents in order for them to receive “personal care assistant” benefits from the state of Alaska Medicaid Program. Personal care assistant benefits are available to those persons who qualify to receive them, such as the disabled elderly and the blind, and are designed to allow a person to receive assistance so that they can remain in their home rather than be placed in a skilled care setting. The indictment alleges that Yu herself received approval to provide personal care assistant services for her parents when she knew that they did not qualify for the Medicaid benefits. The indictment also alleges that through physical surveillance, it was documented that her parents’ health conditions had been greatly exaggerated as they were observed and videotaped riding bicycles, lifting heavy bags of potting soil, and walking significant distances unaided by another person or a device such as a walker or a cane. In addition, it is alleged that the surveillance documented that Yu had billed Medicaid for personal care assistant services which she had not provided to her parents.
According to Assistant U.S. Attorney Joseph Bottini, who presented the case to the grand jury, the law provides for a maximum sentence of 20 years in prison, and a fine of $250,000.00. Restitution is also typically sought in such cases.
The State of Alaska Medicaid Fraud Control Unit and the Federal Bureau of Investigation conducted the investigation leading to the indictment in this case.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
Analogic Subsidiary Agrees to Pay More than $14 Million to Resolve Foreign Bribery ChargesRead the Press Release
A subsidiary of Massachusetts technology company Analogic Corporation entered into a non-prosecution agreement and agreed to pay a $3.4 million penalty today to resolve the government’s investigation into improper payments made in Russia and elsewhere in violation of the Foreign Corrupt Practices Act (FCPA), announced Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Carmen M. Ortiz of the District of Massachusetts.
According to admissions made in the resolution documents, BK Medical ApS, a manufacturer of ultrasound equipment headquartered in Denmark, engaged in a scheme with its distributor in Russia to make improper payments to third parties using fictitious invoices, falsely book those third-party payments and cause Analogic to falsify its books and records. BK Medical admitted that, as part of the scheme, after the terms of a sale had been agreed upon, the distributor requested that BK Medical issue invoices that falsely inflated the sales price on the equipment. The distributor then overpaid BK Medical the inflated amount and BK Medical transferred the excess funds to third parties as directed by the distributor, the company admitted. BK Medical had no legitimate business relationship with those third parties and had not conducted due diligence on them, it admitted. According to admissions in the resolution documents, at least some of these payments ultimately went to doctors employed by Russian state-owned entities. Although the scheme involving its Russian distributor was the most extensive, BK Medical also admitted that it engaged in similar schemes with distributors in five other countries. BK Medical admitted that its conduct – creating and maintaining these fictitious invoices, representing to Analogic that BK Medical was complying with all Analogic accounting policies and signing Sarbanes-Oxley subcertifications – caused Analogic to falsify its books, records and accounts in violation of the FCPA.
As part of the non-prosecution agreement, BK Medical has agreed to pay the criminal penalty, to continue to cooperate with the department and with foreign authorities in any ongoing investigations and prosecutions relating to the conduct, including of individuals, to enhance its compliance program and to periodically report to the department on the implementation of its enhanced compliance program. The department reached this resolution based on a number of factors. Among other factors, BK Medical received credit for its self-disclosure and its remediation, including terminating the officers and employees responsible for the corrupt payments. It received partial credit for cooperation because, as described in the non-prosecution agreement, it did not initially disclose certain relevant facts that it learned in the course of its internal investigation. Otherwise, by the conclusion of the investigation, BK Medical had provided to the department all relevant facts known to it, including information about individuals involved in the FCPA misconduct.
In a related matter, Analogic reached a settlement today with the U.S. Securities and Exchange Commission (SEC) under which it agreed to pay $7,672,651 in disgorgement and $3,810,311 in prejudgment interest.
The FBI’s Boston Field Office investigated the case. Trial Attorney Aisling O’Shea of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Ryan DiSantis of the District of Massachusetts’ Public Corruption Unit prosecuted the case. The SEC provided valuable assistance to the prosecution. The Criminal Division’s Office of International Affairs also provided assistance.
Analogic Subsidiary Agrees to Pay More than $14 Million to Resolve Foreign Bribery ChargesRead the Press Release
BOSTON – A subsidiary of Massachusetts technology company Analogic Corporation entered into a non-prosecution agreement and agreed to pay a $3.4 million penalty today to resolve the government’s investigation into improper payments made in Russia and elsewhere in violation of the Foreign Corrupt Practices Act (FCPA), announced U.S. Attorney Carmen M. Ortiz and Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division.
According to admissions made in the resolution documents, BK Medical ApS, a manufacturer of ultrasound equipment headquartered in Denmark, engaged in a scheme with its distributor in Russia to make improper payments to third parties using fictitious invoices, falsely book those third-party payments and cause Analogic to falsify its books and records. BK Medical admitted that, as part of the scheme, after the terms of a sale had been agreed upon, the distributor requested that BK Medical issue invoices that falsely inflated the sales price on the equipment. The distributor then overpaid BK Medical the inflated amount and BK Medical transferred the excess funds to third parties as directed by the distributor, the company admitted. BK Medical had no legitimate business relationship with those third parties and had not conducted due diligence on them, it admitted. According to admissions in the resolution documents, at least some of these payments ultimately went to doctors employed by Russian state-owned entities. Although the scheme involving its Russian distributor was the most extensive, BK Medical also admitted that it engaged in similar schemes with distributors in five other countries. BK Medical admitted that its conduct – creating and maintaining these fictitious invoices, representing to Analogic that BK Medical was complying with all Analogic accounting policies and signing Sarbanes-Oxley subcertifications – caused Analogic to falsify its books, records and accounts in violation of the FCPA.
As part of the non-prosecution agreement, BK Medical has agreed to pay the criminal penalty, to continue to cooperate with the department and with foreign authorities in any ongoing investigations and prosecutions relating to the conduct, including of individuals, to enhance its compliance program and to periodically report to the department on the implementation of its enhanced compliance program. The department reached this resolution based on a number of factors. Among other factors, BK Medical received credit for its self-disclosure and its remediation, including terminating the officers and employees responsible for the corrupt payments. It received partial credit for cooperation because, as described in the non-prosecution agreement, it did not initially disclose certain relevant facts that it learned in the course of its internal investigation. Otherwise, by the conclusion of the investigation, BK Medical had provided to the department all relevant facts known to it, including information about individuals involved in the FCPA misconduct.
In a related matter, Analogic reached a settlement today with the U.S. Securities and Exchange Commission (SEC) under which it agreed to pay $7,672,651 in disgorgement and $3,810,311 in prejudgment interest.
The FBI’s Boston Field Office investigated the case. Assistant U.S. Attorney Ryan DiSanitis of Ortiz’s Public Corruption unit and Trial Attorney Aisling O’Shea of the Criminal Division’s Fraud Section prosecuted the case. The SEC and the Criminal Division’s Office of International Affairs provided assistance.
Alexandria woman pleads guilty to stealing more than $77,000 in Social Security benefit paymentsRead the Press Release
ALEXANDRIA, La. – United States Attorney Stephanie A. Finley announced that a woman from Alexandria pleaded guilty Monday to stealing more than $77,000 in Social Security benefit payments from her deceased mother’s bank account.
Sherilyn Ann Dowden, 59, of Alexandria, pleaded guilty before U.S. District Judge Dee D. Drell to one count of theft of government property. According to the guilty plea, Dowden stole $77,445 in Social Security benefit payments from July 1, 2009 until March 31, 2015. Dowden wrote checks to herself and family members from an account for her deceased mother that the Social Security Administration (SSA) was depositing money into. The SSA was unaware of Dowden’s mother’s death in June 2009, and Dowden did not inform SSA of it.
Dowden faces up to 10 years in prison, three years of supervised release, a $250,000 fine and restitution. A sentencing date of September 26, 2016 was set.
The SSA Office of Inspector General conducted the investigation. Assistant U.S. Attorney Brandon B. Brown is prosecuting the case.
71-Year-Old Pleads Guilty to Prescription and Heroin Drug Distribution, Witness Tampering, and Health Care FraudRead the Press Release
ROANOKE, VIRGINIA – A Roanoke man, who used a drug rehabilitation program in the Roanoke City jail to obtain sex partners in exchange for drugs, pled guilty yesterday to federal drug distribution, witness tampering, and health care fraud charges, United States Attorney John P. Fishwick, Jr., announced.
Gordon Reaves Parker, 71, of Roanoke, Virginia, waived his right to be indicted and pled guilty yesterday to an Information charging him with one count of conspiracy to distribute controlled substances, one count of tampering with a witness and one count of health care fraud.
“This defendant used a program designed to help those with horrible drug addictions for his own perverse sexual advances,” United States Attorney John P. Fishwick Jr. said today. “These victims, who were incarcerated, entered a rehabilitation program hoping to beat their addiction and better their lives. Upon release, they were fed drugs and taken advantage of by an entitled individual who believed the rules didn’t apply to him. As today’s conviction clearly shows, the rules apply to everyone equally.”
“These heinous acts committed by a soulless predator are the epitome of why law enforcement professionals do what we do: to protect the rights of everyday people,” DEA Washington Field Division Special Agent in Charge (SAC) Karl C. Colder said today. Innocents who are suffering from the ravages of addiction and do not have a voice of their own. Opioid addiction and overdose deaths have become the single greatest danger to the lives and health of our citizens. DEA’s resolve to confront this epidemic and the criminals, like Mr. Parker, who supply it is unwavering. We will hold accountable those who poison communities and destroy lives. The DEA would like to thank the United States Attorney's Office of the Western District of Virginia and the Virginia State Police in our concerted effort to identify and bring this evil and reckless person to justice.”
According to evidence presented at yesterday’s guilty plea hearing by Assistant United States Attorney Jennie L. M. Waering, Parker discovered the Alpha drug rehabilitation program in the Roanoke County Jail as a mechanism for obtaining sex partners in exchange for drugs. Parker initially met victim HW, then 28, when she was residing at the Roanoke Rescue Mission. Parker offered HW drugs in exchange for sex. HW was subsequently arrested and placed in the Roanoke City Jail in the Alpha drug intervention program. Parker kept in touch with HW by phone and put significant amounts of money in HW’s jail account.
Parker admitted yesterday to asking HW to introduce him to other young, good looking, Alpha drug program inmates who might be released from jail before HW. HW introduced Parker to JM, age 20 at the time. JM, in turn, introduced Parker to BH, age 25 at the time. JM and BH talked to Parker extensively on the telephone from jail. Parker put large amounts of money on the jail accounts of JM and BH. JM and BH subsequently introduced Parker to several other Alpha drug program inmates.
Evidence presented yesterday showed that Parker eventually made contact with at least ten women, between the ages of 18-27, many of whom he met while they were in jail in the Alpha drug program. Parker talked extensively to many of the women on the phone in conversations recorded by the jail and put money on their jail accounts. Parker promised these young women a variety of monetary gifts and promised to pay fines, child support and other expenses. Parker discussed sexual activities with them on the phone, describing what they would do together when they were released. When the women were released from jail, these women visited him at his Wipledale Avenue home and at his Rockbridge Court home, where he offered the women drugs (hydromorphone, oxycodone, morphine, oxymorphone, hydrocodone and heroin) and large monetary gifts in exchange for sex. This activity was repeated with more than ten drug addicted or recovering women and the drugs given to the women were obtained from prescriptions written for his disabled wife by a pain management physician.
In addition, Parker admitted yesterday that he asked a medical technician that cared for his wife and was in charge of distributing her pain medication, to lie to the federal grand jury to account for his use of the stockpiled controlled substances that were prescribed to his wife.
The investigation of the case was initiated by the Virginia State Police Bureau of Criminal Investigation and jointly conducted with the Tactical Diversion Squad of the Drug Enforcement Administration. Assistant United States Attorneys Jennie L. M. Waering and Charlene R. Day prosecuted the case for the United States.
Monday 20 June 2016
West Milford Township, New Jersey, Man Sentenced to Five Years in Prison for Receiving Sexually Explicit Images of ChildrenRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man was sentenced today to 60 months in prison for receiving sexually explicit images of children from his computer, U.S. Attorney Paul J. Fishman announced.
Thomas Bachalis, 32, of West Milford Township, New Jersey, pleaded guilty on March 14, 2016, before U.S. District Judge Ester Salas to an information charging him with receipt of child pornography. Judge Salas imposed the sentence today in Newark federal court.
According to the documents filed in this case and statements made in court:
Bachalis previously admitted that in August 2013 he was a member of a publicly available peer-to-peer file sharing network on the internet, which he used to receive images of child sexual abuse.
In addition to the prison term, Judge Salas sentenced Bachalis to five years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the Passaic County Sheriff’s Office, under the direction of Sheriff Richard H. Berdnik; and the West Milford Police Department, under the direction of Chief Timothy Storbeck, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Courtney A. Howard of the U.S. Attorney’s Office Criminal Division in Newark.
Two United States Postal Service Employees and One Contractor ArrestedRead the Press Release
SAN JUAN, Puerto Rico– On June 15, 2016, a Federal grand jury returned three separate indictments charging Travis L. Wilkerson, Jean Ostolaza-Cruz and Rubén Bautista-Alcántara with theft of government property, among other charges, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The United States Postal Service, Office of Inspector General is in charge of the investigation with the collaboration of the Puerto Rico Police Department.
Former USPS employee City Carrier Travis L. Wilkerson was charged with two counts of false statements to the Department of Labor (DOL), Office of Workers Compensation Program (DOL OWCP), two counts of false statements and fraud to obtain federal employees’ compensation, and one count of theft of government property. Travis L. Wilkerson alleged that he suffered an on the job injury on September 27, 2010. After returning to work, on February 22, 2012, Wilkerson alleged that he suffered a recurrence of the 2010 injury. Since February 22, 2012, Wilkerson has been receiving OWCP compensation benefits. On February 1, 2016 and on April 3, 2016, Wilkerson certified in the annual DOL EN-1032 Form that he was not employed, self-employed or involved in a business enterprise. According to the investigation conducted by the United States Postal Service, Office of Inspector General (USPS OIG), while receiving OWCP benefits, Wilkerson has been actively engaged in Wilkerson-Farms, a business that he owns that is dedicated to the sales and distribution of coffee, fruits and vegetables to the United States. The amount of compensation benefits that Wilkerson received illegally is approximately $30,685.00.
USPS Sales and Service/Distribution Associate Jean Ostolaza-Cruz faces charges of theft of government property and theft of USPS property. Jean Ostolaza-Cruz stole money orders and Collect on Delivery (CODs) funds while working at the Sabana Hoyos Post Office and Florida Post Office. Ostolaza-Cruz took money orders that were accountable to him in Sabana Hoyos Post Office and fraudulently imprinted and cashed them at the Florida Post Office. As part of the scheme, Ostolaza-Cruz unlawfully used the personal identifiable information of Sabana Hoyos Post Office customers to cash the money orders for his own use. In addition, Ostolaza-Cruz stole money from the CODs payments made by USPS customers for his personal use. The amount of property stolen by Ostolaza-Cruz is approximately $11, 562.07.
USPS Contractor Rubén Bautista-Alcántara was charged with 33 counts of mail theft and 33 counts of obstruction of correspondence. Since May 2015, USPS OIG received numerous inbound greeting cards that appeared to be previously opened and resealed and that were destined to be processed at San Juan GPO. As part of the investigation, on December 23, 2015, a Puerto Rico Police Department Officer who assisted the USPS OIG, conducted surveillance at the Muñoz Rivera Avenue and Margarita Street in Río Piedras, PR and observed an individual depositing greeting cards, that seemed to be previously opened and resealed. Upon investigation, this subject was later identified as Rubén Bautista-Alcántara, a Contract Mail Handler employed by Cargo Force, Inc., a USPS authorized depository located in Carolina, PR.
These cases are being prosecuted by Special Assistant U.S. Attorney Amanda Soto. Wilkerson and Ostolaza-Cruz are facing up to 10 years in prison for the theft of government property charges. Ostolaza-Cruz is also facing a two-year mandatory sentence for charges of aggravated identity theft. Bautista-Alcántara is facing up to five years in prison for the charges of obstruction of correspondence and mail theft.
Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty. The investigation is ongoing.
Topeka Man Pleads Guilty to Conspiracy in Interstate Sex Trafficking CaseRead the Press Release
TOPEKA, KAN. - A Topeka man pleaded guilty Monday to conspiring to operate an interstate sex trafficking business, Acting U.S. Attorney Tom Beall said.
Sean P. Hall, 46, Topeka, Kan., pleaded guilty to one count of conspiracy. In his plea, he admitted to conspiring with co-defendants to operate a Topeka-based prostitution business. At times, as many as 20 females were working as prostitutes for the organization. The leader of the organization rented houses where some of the prostitutes were allowed to live. The organization used Web sites, social media and cell phones to advertise sexual services and to keep track of prostitutes.
Hall admitted that in 2012 he started working for co-defendant Frank Boswell at Club Magic, a nightclub in Lawrence, Kan. Hall became a trusted employee and learned from Boswell how the prostitution business operated. Hall transported prostitutes to and from meetings with clients. He posted photos of prostitutes on Internet sites advertising their services. He also promoted the business by posting reviews of prostitutes on other Web sites that advertised sexual services.
Sentencing is set for Oct. 3. He faces a penalty of up to five years in federal prison and a fine up to $250,000 on each count.
Co-defendant Frank Boswell, 42, Topeka, Kan., is awaiting trial. Co-defendant Rachel Flenniken, 34, Topeka, Kan., pleaded guilty earlier this month and is set for sentencing Oct. 17.
Beall commended the Topeka Police Department, Homeland Security Investigations, the FBI and Assistant U.S. Attorney Christine Kenney for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Tohono O’odham Man Sentenced to over Eight Years Prison for Assault with a FirearmRead the Press Release
TUCSON, Ariz. – On June 17, 2016, Robert Kenneth Cooley, 46, of South Hickiwan, Ariz., and a member of the Tohono O’odham Indian Nation, was sentenced by U.S. Senior District Judge Frank R. Zapata to serve 99 months in prison for assault with a dangerous weapon and the use of a firearm during a crime of violence. Cooley had previously pleaded guilty to these offenses.
On June 9, 2014, in South Hickiwan, Ariz., on the Tohono O’odham Indian Nation, Cooley, a convicted felon, discharged a handgun outside of his residence. The victim, a neighbor of Cooley, and also a member of the Tohono O’odham Indian Nation, heard the gunshots and went outside to determine what was happening. As the victim walked toward Cooley, Cooley pointed his handgun at the victim’s face and threatened him. The victim feared for his life and immediately returned to his residence where his wife called 911. Cooley was located and arrested three days later.
The investigation in this case was conducted by the Tohono O’odham Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The prosecution was handled by Angela W. Woolridge, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-14-2148-TUC-FRZ
RELEASE NUMBER: 2016-052_Cooley
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Tax Service Worker Sentenced in Federal CourtRead the Press Release
United States Attorney Kenyen R. Brown of the Southern District of Alabama announced that Tamika Woods, 31, of Marion Junction, Alabama was sentenced for her participation in aiding and abetting in the filing of fraudulent tax returns. Court documents reflect that Woods worked for a tax service in the Selma area, and that tax returns were filed reflecting refunds that were not owed. Woods pled guilty to the charge in February of 2016.
United States District Court Judge Kristi K. Dubose imposed a sentence of five years’ probation and ordered restitution due to the Internal Revenue Service in the amount of $49,857. The judge found that Woods could not pay a fine, but she ordered the imposition of $100 as a special mandatory assessment.
The case was investigated by the IRS. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Tax Service Business Owner Sentenced to 4 ½ Years in Prison for Stolen Identity Tax Refund Fraud SchemeRead the Press Release
A tax service business owner was sentenced to 4 ½ years in prison for his participation in a stolen identity tax refund fraud scheme.
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, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Robert C. Hutchinson, Acting Special Agent in Charge, U.S. Immigration and Customs Enforcements Homeland Security Investigations (ICE-HSI), Miami Field Office, made the announcement.
Johny Wolf Jasmin, 32, of Boca Raton, was sentenced to 54 months in prison, followed by three years of supervised release as to Count 1 and one year of supervised release as to Count 10, and was ordered to pay joint and several restitution in the amount of $ 241,429. Jasmin previously pled guilty to one count of conspiracy to defraud the government with respect to claims, in violation of Title 18, United States Code, Section 286, and one count of aggravated identity theft in violation of Title 18, United States Code, Sections 1028A and 2.
According to court documents, Jasmin owned and operated a tax service business called Wolf Vision, Inc. located in Hollywood, Florida. During the course of the investigation, law enforcement learned three separate Electronic Filing Identification Numbers (EFINs) were used to file false and fraudulent tax returns from Jasmin’s business. One of those EFINs was assigned to co-defendant Carneisha Patrice Mitchell, 31, of Miami. Based upon this information, law enforcement executed a search warrant at Jasmin’s business and recovered computers, thumb drives, prepaid debit cards, and numerous documents that contained over 2,100 names, dates of birth, and social security numbers that belonged to living and deceased individuals.
In fact, a review of Jasmin’s personal income tax for the 2014 tax year showed that Jasmin obtained the name, date of birth and social security number of a child who had passed away and later used that information to fraudulently claim the deceased child as one of his dependents.
In addition, law enforcement learned that an IRS treasury tax refund check in the name of a deceased individual was deposited into Mitchell’s personal checking account. Thereafter, Mitchell used the money from the IRS treasury check for her personal use.
As a result of Jasmin and his co-conspirator’s fraudulent conduct, over 220 false and fraudulent federal income tax returns were filed with the IRS using stolen personal identifying information of living and deceased individuals. Further, over $1.5 million in tax refunds were sought from the false and fraudulent income tax returns filed from Jasmin’s tax business.
Co-defendant Mitchell was sentenced to three years of probation, and was ordered to pay restitution in the amount of $ 9,437. The defendant previously pled guilty to one count of theft of government funds, in violation of Title 18, United States Code, Sections 641 and 2.
Mr. Ferrer commended the investigative efforts of FBI, IRS-CI and ICE-HSI. This case is being prosecuted by Assistant U.S. Attorney Maurice A. Johnson.
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
Statement from Head of the Civil Rights Division Vanita Gupta on Mississippi’s Decision to Close Investigation into Murders of James Chaney, Andrew Goodman and Michael SchwernerRead the Press Release
Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division, released the following statement on Mississippi Attorney General Jim Hood’s decision to close the investigation into the murders of James Chaney, Andrew Goodman and Michael Schwerner:
“During ‘Freedom Summer’ in 1964, James Chaney, Andrew Goodman and Michael Schwerner were brutally murdered while working as part of a massive campaign to register African-American voters in Mississippi. Their gruesome deaths shook the nation. The ensuing federal civil rights prosecution, which sought to bring their families a measure of justice, was a proud moment for the Justice Department. In 1967, federal prosecutors from the Civil Rights Division convicted eight defendants for violating the federal criminal civil rights conspiracy statute.
“The Justice Department has investigated this case three times over 50 years and has helped convict nine individuals for their roles in this heinous crime. In 2005, Edgar Ray Killen was convicted by a state jury of three counts of manslaughter based on new information that state and federal prosecutors discovered and pursued in 2000. With the passage of the Emmett Till Unsolved Civil Rights Crime Act in 2008, the department reopened our investigation into the incident again in 2010. The department’s focus during this third investigation honed in on determining whether sufficient admissible evidence existed to support further state prosecution against any surviving person for involvement in the murders.
“Mississippi Attorney General Hood has determined that despite one of the most intensely investigated and documented underlying investigations of any racially-motivated murder during the 1960s, followed by the exhaustive efforts of more recent reinvestigations, the passage of time has simply rendered additional prosecutions impossible. While legal and factual impediments sometimes prevent us from bringing cases we wish that we could, the Civil Rights Division remains dedicated to pursuing racially-motivated crimes wherever the facts allow.
“Chaney, Goodman and Schwerner gave their lives while struggling to advance the cause of civil rights for all. Though the reinvestigation into their heinous deaths has formally closed, we must all honor their legacy by forging ahead and continuing the fight to ensure that the founding promise of America is true for all of its inhabitants.”
St. Thomas Man Arrested for Making Threats in Interstate CommerceRead the Press Release
St. Thomas, USVI – Thomas Troy Bitter, 36, made his initial appearance in District Court today before Magistrate Judge Ruth Miller after his arrest on St. Thomas, Virgin Islands, for using his e-mail account to send threatening communications, United States Attorney Ronald W. Sharpe announced. Magistrate Miller remanded Bitter to the custody of the U.S. Marshals Service pending detention and preliminary hearings scheduled for June 22, 2016.
According to a criminal complaint filed in the District Court, Bitter used his e-mail account to send threatening communications to various law enforcement personnel including a federal law enforcement officer in St. Thomas and a federal judge in California. If convicted, Thomas faces a maximum sentence of five years in prison and a fine of up to $250,000.
This case is being investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Everard E. Potter.
United States Attorney Sharpe reminds the public that a criminal complaint is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
St. Paul Man Pleads Guilty to Naturalization, Tax FraudRead the Press Release
United States Attorney for the District of Minnesota Andrew M. Luger today announced the guilty plea of MUHAMMED FATTY, 41, to multiple charges related to tax refund fraud and fraudulently obtaining U.S. citizenship. On June 15, 2016, FATTY pleaded guilty before Judge Donovan W. Frank to one count of unlawful procurement of naturalization and one count of making false claims in relation to tax refunds.
“Investigating refund fraud is a top priority for IRS Criminal Investigation,” said IRS Criminal Investigation Special Agent in Charge Shea Jones of the St. Paul Field Office. “Filing false tax returns is a serious crime that hurts innocent taxpayers. Law enforcement and the United States Attorney’s Office are serious about investigating these crimes and holding accountable those who defraud the government and taxpayers.”
According to documents filed in court, law enforcement became aware of the defendant’s scheme when U.S. Department of State consular officials identified a visa applicant using the same name as an individual already in the U.S., who had previously naturalized in 2013.
According to the defendant’s guilty plea and documents filed in court, in January 2015, FATTY devised a scheme in which he prepared and electronically filed a false tax return using the name and social security number of another person and knowingly made and presented to the Internal Revenue Service a claim for refund in the amount of $9,332. From 2006 until 2015, the defendant falsely used the name and Social Security number of another person and fraudulently claimed and received tax refunds from the United States in the amount of $46,109. In addition, as of May 2016, under the defendant’s true name and Social Security number, the defendant owed the Internal Revenue Service $7,407 in back taxes and fees.
According to the defendant’s guilty plea and documents filed in court, FATTY attempted to obtain medical assistance by fraudulently using the name and social security number of another person. FATTY has fraudulently received approximately $7,857 in benefits, involving premiums paid by the State of Minnesota.
This guilty plea resulted from an investigation by the U.S. Department of State’s Diplomatic Security Service (DSS), the Internal Revenue Service’s (IRS) Criminal Investigation Division and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
Special Assistant United States Attorney Ryan R. Wood is prosecuting the case.
Defendant Information:
MUHAMMED FATTY, 41
Little Canada, Minn.
Convicted:
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Unlawful procurement of naturalization, 1 count
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Making a false, fictitious or fraudulent claim, 1 count
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
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Springfield Woman Pleads Guilty to Cashing Fraudulent Tax Refund ChecksRead the Press Release
BOSTON – A Springfield woman pleaded guilty on Friday, June 20, 2016, in connection with cashing more than $1.3 million in fraudulent income tax refund checks.
Evelyn A. Manzueta, 52, pleaded guilty to theft of government property. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for Sep.12, 2016.
From January 2012 to May 2013, Manzueta orchestrated the cashing of 236 fraudulent tax refund checks. She cashed nearly $500,000 through her own accounts and enlisted friends and family members to cash the remaining checks through their accounts. The scheme cashed checks totaling $1,377,376.
The U.S. Department of Treasury issued the checks based on tax returns, submitted by unknown individuals, which were later determined to be fraudulent. Although the tax returns used the names and Social Security numbers of real people living in Puerto Rico, their addresses were falsely listed as Massachusetts and New York. The tax returns also contained false employment information. Manzueta, knowing the tax return checks were fraudulent, cashed them through her bank accounts and the accounts of friends and family.
Robert Evans, of Wallkill, New York, Manzueta’s brother-in-law, previously pleaded guilty to cashing $517,714 in the fraudulent checks. He is scheduled to be sentenced on Oct. 12, 2016.
The charging statute provides a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement. The case is being prosecuted by Assistant U.S. Attorney Karen L. Goodwin of Ortiz’s Springfield Branch Office.
Slidell Man Pleads Guilty to Operating National Ponzi SchemeRead the Press Release
U.S. Attorney Kenneth A. Polite announced that JOHN SPOSATO, age 64, of Slidell, pled guilty today to wire fraud for his role in promoting and operating a national Ponzi scheme.
According to court documents, since approximately 2010, SPOSATO was affiliated with, owned, or operated numerous different companies, including Pegasus Investment & Development Corporation, LLC; Pegasus Investments; Oil Eaters, LLC; Organic Miracle Incorporation; S&J Corporate Properties, LLC; Pegasus Demolition & Debris Removal Service, LLC; and Pegasus Truck Lines, Inc. SPOSATO represented to potential investors that the companies were all investment entities that offered participants the chance to invest in various low-risk, high-reward investment vehicles, including international bank instruments, cutting edge oil remediation and recovery products, and real estate transactions. SPOSATO primarily relied upon word-of-mouth and e-mail correspondence, in which he fraudulently represented that he had knowledge and expertise in financial investing, to attract new investors. SPOSATO told investors that the alleged investments were safe, secure, and never at risk.
In fact, SPOSATO did not actually invest the money in any legitimate investment vehicle, instead using it to make retail purchases for himself and his friends for various goods and services, including luxury items such as a new Chevrolet Camaro for one girlfriend and breast augmentation surgery for another girlfriend. In total, between about January 2010, and April 2014, approximately forty-eight (48) individuals invested approximately $811,305 with SPOSATO and his companies.
To perpetuate his scheme, SPOSATO guaranteed extraordinarily high rates of return – rates much higher than market rates – for so called “guaranteed” investments to potential investors, such as a $25,000 investment in “oil-clean remediation work” in the Gulf of Mexico and another $25,000 investment in the purchase of “1,000,000 gallons of EP 55 Bio Fertile” fertilizer. SPOSATO promised that the first investment would result in a profit of $25,000 within approximately two weeks and the second investment would result in a profit of up to $3,000,000 within one year. SPOSATO provided prospective investors false or fraudulent documents to make the investments appear legitimate and to conceal the true nature of the Ponzi scheme. When investors became impatient, SPOSATO used new investor money to pay lulling payments to other investors, which he characterized as partial payments for investments with an overdue return, in an effort to give investors a false sense of security, to deceive investors into believing their money was invested legitimately, and to conceal the true nature of the Ponzi scheme.
SPOSATO faces a maximum term of imprisonment of not more than twenty (20) years, followed by up to three (3) years of supervised release, and a $250,000 fine per count. U.S. District Judge Susie Morgan set sentencing for October 5, 2016.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney Jordan Ginsberg is in charge of the prosecution.
Six Gang Members Convicted of Four Murders and Multiple RobberiesRead the Press Release
NEWPORT NEWS, Va. – Three members of the Newport News street gang “Thug Relations,” were convicted by a federal jury of multiple murders and robberies, in addition to other crimes related to their criminal enterprise.
According to court documents and evidence presented at trial, “Thug Relations” was a criminal organization whose members and associates engaged in acts of violence, including five murders, numerous drug robberies and shootings. The jury convicted the three defendants of racketeering conspiracy with special verdicts on four separate murders; the murder of Aaron Sumler, on July 5, 2007; Lafayette Bailey on Dec. 15, 2009; Lloyd Robinson on Jan. 9, 2010; and Dominque Wharton on March 16, 2010.
The jury returned the verdict of Friday afternoon, also finding the Pridgen brothers guilty of VICAR murders, Hobbs Act robbery violations, felon in possession charges and use of a firearm resulting in murder. One of the felon in possession charges related to the murder of an innocent woman, Gale Perch, who was killed on Nov. 15, 2009, as she was in a car with the intended murder victim.
Name, Age, Hometown
Charges Convicted of
Sentencing Date
Eric Pridgen,
aka “Rabbit”, 33,
Newport News
Racketeering conspiracy, (including the murders of Lafayette Bailey, Lloyd Robinson and Dominque Wharton); multiple robberies; murder in aid of racketeering; use, carry, discharge of firearm resulting in murder, felon in possession of firearm and ammunition, conspiracy to interfere with commerce by robbery, and interference with commerce by robbery.
October 12
Hebert Pridgen, aka “Bok”, 29, Newport News
Racketeering conspiracy, (including the murders of Lafayette Bailey, and Lloyd Robinson, felon in possession of a firearm and ammunition, conspiracy to interfere with commerce by robbery, interference with commerce by robbery, murder in aid of racketeering, and, use, carry and discharge a firearm during a crime of violence resulting in murder.
October 13
Maurice McLain, aka “Mo”, 33, Newport News
Racketeering conspiracy, including the murder of Aaron Sumler.
October 12
Three other defendants, Douglas Ashby, Robbie Bowles and Antonio Johnson were charged in the same indictment, but pleaded guilty prior to trial.
Douglas Ashby, aka “Mance,” aka “Murder Mance,” and aka “Murder,” age 30, of Newport News, pleaded guilty on Nov. 12, 2015, to his participation in the racketeering conspiracy and admitted his involvement in the murders of Aaron Sumler and Lloyd Robinson. On March 16, 2016, he was sentenced to over 34 years in prison.
Robbie Bowles, aka “Rob,” age 31, of Newport News, pleaded guilty on Nov. 16, 2015, to his participation in the racketeering conspiracy and admitted his involvement in the murder of Aaron Sumler. On May 3, 2016, he was sentenced to 25 years in prison.
Antonio Johnson, age 30, of Newport News, pleaded guilty on Feb. 11, 2016, to using, carrying and discharging a firearm during and in relation to a crime of violence resulting in the murder of Lafayette Bailey. On May 11, 2016 he was sentenced to 20 years in prison.
Both Eric and Herbert Pridgen face a mandatory life sentence following their convictions on the murder in aid of racketeering charges. Maurice Mclain faces a maximum penalty of up to life in prison based on the special verdict form returned regarding the murder of Aaron Sumler. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, Leslie R. Caldwell, Assistant Attorney General for the U.S. Department of Justice’s Criminal Division, John S. Adams, Special Agent in Charge of the FBI’s Norfolk Office, and Richard Myers, Chief of Police, Newport News Police Department made the announcement after the verdict was accepted by U.S. District Judge Raymond A. Jackson. Managing Assistant U.S. Attorney Howard J. Zlotnick, Assistant U.S. Attorneys Lisa R. McKeel and Brian J. Samuels, and Special Assistant U.S. Attorney Yvonne L. Garcia of the Criminal Division’s Organized Crime and Gang Section 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. 4:14-cr-59.