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9 August 2016
Corn Creek Woman Sentenced to 37 Months for Possession with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Randolph J. Seiler announced that a Corn Creek, South Dakota, woman convicted of Possession with Intent to Distribute a Controlled Substance and Aiding and Abetting was sentenced on August 4, 2016, by U.S. District Judge Roberto A. Lange.
Suni Wooden Knife, age 25, was sentenced to 37 months in custody, followed by 3 years of supervised release, a $1,000 fine, and a $100 special assessment to the Federal Crime Victims Fund. Wooden Knife was also ordered to forfeit U.S. currency that was seized by law enforcement in October 2014.
Wooden Knife was indicted for Possession with Intent to Distribute a Controlled Substance by a federal grand jury on March 10, 2015. Wooden Knife pled guilty to a Superseding Indictment charging Possession with Intent to Distribute a Controlled Substance and Aiding and Abetting on February 1, 2016.
The conviction stemmed from an incident that occurred on October 15, 2014, at the Rosebud Casino on the Rosebud Sioux Indian Reservation, when Wooden Knife possessed and aided and abetted Leon Kills In Water in the possession of over 100 grams of methamphetamine, knowing that the methamphetamine was intended for further distribution. Along with the methamphetamine, over $6,000 in cash, believed to be proceeds from drug sales, was seized from Wooden Knife and Kills In Water at the Rosebud Casino.
Leon Kills In Water was previously sentenced on December 7, 2015, to 120 months in custody.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney SaraBeth Donovan prosecuted the case.
Wooden Knife was immediately turned over to the custody of the U.S. Marshals Service.
Charlotte Man Pleads Guilty to Perjury Charge for Lying Under Oath During TrialRead the Press Release
CHARLOTTE, N.C. B Jucorey Deonte Pruitt, aka Corey Deonte Pruitt, 25, of Charlotte, appeared in court today and pleaded guilty to a perjury charge for lying under oath during a federal trial, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina. U.S. Magistrate Judge David S. Cayer presided Pruitt’s plea hearing.
U.S. Attorney Rose is joined in making today’s announcement by Daniel R. Salter, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office; Chief Kerr Putney of the Charlotte Mecklenburg Police Department; Chief J. Bryan Gilliard of the Monroe Police Department; and Sheriff Eddie Cathey of the Union County Sheriff’s Office.
According to filed documents and statements made in court, Pruitt committed perjury during his testimony at the criminal trial of DeMorius Lamar Anderson (3:11-cr-3). Anderson was on trial on multiple federal charges including drug conspiracy, Hobbs Act Robbery and firearm violations. According to court records, Pruitt was a witness for the government and had agreed to testify regarding his knowledge of Anderson’s involvement in the drug conspiracy and other material information against Anderson.
According to court records, on August 9, 2012, while under oath and in an effort to aid Anderson, Pruitt denied knowledge of Anderson’s participation in the drug conspiracy. Pruitt’s assertions under oath were contradictory to prior statements he had made to law enforcement. During his testimony, Pruitt stated that he had previously lied to law enforcement regarding Anderson’s criminal activity, including his role in the drug conspiracy. Court records indicate that later that same evening, on jail house recordings, Pruitt admitted he lied to federal agents at trial. Anderson was eventually convicted by a jury and was sentenced to more than 37 years in prison.
“Pruitt chose to lie on the witness stand to protect one of his criminal associates. Despite Pruitt’s false testimony, the defendant was convicted by a jury and is serving a lengthy prison term. Now it’s Pruitt’s turn to sit in the defendant’s chair for lying under oath,” said U.S. Attorney Rose. “Perjury tarnishes our justice system and jeopardizes the integrity of judicial proceedings. Liars do not belong in the courtroom,” Rose added.
Pruitt is currently in federal custody. The perjury charge carries a maximum prison term of five years and a $250,000 fine. A sentencing date has not been set yet.
The investigation was handled DEA, CMPD, Monroe PD and the Union County Sheriff’s Office. The prosecution is being handled by the Assistant U.S. Attorney Sanjeev Bhasker of the U.S. Attorney’s Office in Charlotte.
Camden, New Jersey, Man Gets More Than 12 Years in Prison for Narcotics Distribution Conspiracy, Firearms PossessionRead the Press Release
CAMDEN, N.J. – A Camden man was sentenced today to 148 months in prison for his role in a large-scale drug trafficking organization that distributed hundreds of grams of cocaine base, cocaine and heroin, U.S. Attorney Paul J. Fishman announced.
Carl Wiles, 26, previously pleaded guilty before U.S. District Judge Robert B. Kugler to a superseding information charging him with one count of conspiracy to distribute and to possess with intent to distribute 28 grams or more of cocaine base, 500 grams or more of cocaine, and 100 grams or more of heroin, as well as one count of being a felon in possession of a firearm. Judge Kugler imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Wiles admitted that from January 2012 through April 2013, he stored, packaged and distributed cocaine and heroin for sale in the area of 8th and Tulip Streets and the Crestbury Apartments. Wiles also admitted that during that time, he and others within the drug trafficking organization sold 2,328 grams of cocaine base, 675 grams of cocaine and 926 grams of heroin.
Wiles – a previously convicted felon – was arrested in April 2013 and found with numerous firearms in his possession, including handguns, assault rifles and a shotgun.
In April 2013, seven members of the drug trafficking organization, including Wiles, were charged by criminal complaint with conspiring to distribute cocaine base, cocaine, and heroin. All of the defendants have pleaded guilty.
In addition to the prison term, Judge Kulgler sentenced Wiles to five years of supervised release.
The government is represented by Special Assistant U.S. Attorney Erin M. Fay and Special Litigation Counsel Jason Richardson.
U.S. Attorney Fishman credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, Philadelphia Division, under the direction of Special Agent in Charge William F. Sweeney Jr.; the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo; the Camden County Police Department, under the direction of Chief Scott Thomson; the N.J. State Police, under the direction of Col. Rick Fuentes; and the Camden Collaborative Crime Commission (“C4”), with the investigation.
He also thanked the Philadelphia Police Department, the N.J. Parole Board, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the N.J. Division of Criminal Justice, the Voorhees Police Department, the Gloucester County Prosecutor’s Office, the Salem County Prosecutor’s Office, the Camden County Sheriff’s Office, the Woodbury Police Department and the Pennsauken Police Department for their roles in the case.
This case was developed through the work of the Camden Collaborative Crime Commission (C-4). Every federal, state and local law enforcement agency and prosecutor’s office responsible for combating drug trafficking, gang activity and violent crime in Camden has come together in one location to share intelligence, develop investigative strategies and support the investigative and prosecutorial efforts of its partners. C-4 has merged the individual missions of the various law enforcement agencies into a single strategic attack on drug trafficking and drug-related violent crime. Such intense coordination greatly enhances the law enforcement community’s ability to correctly identify and successfully prosecute the most dangerous criminals in one of our nation’s most dangerous cities.
Defense counsel: Ed Borden Esq.
Bradford County Men Charged with Stealing and Transporting 48 Firearms and Distributing HeroinRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Jared Miller, age 28, a Sayre, Pennsylvania resident, and Aaron Vanderpool, age 34, a Wysox, Pennsylvania resident, have been charged in separate Criminal Informations with firearms and controlled substance offenses associated with a May 2015 gun store burglary in Bradford County.
According to United States Attorney Peter Smith, Vanderpool stole 48 firearms from Fulmer’s Sporting Goods, a federally licensed firearms dealer in Wysox, Pennsylvania, on or about May 24, 2015. The information also charges Vanderpool with distributing heroin on May 8, 2015.
A separate information filed against Miller charges him with transporting 47 of the stolen firearms from Pennsylvania to New York, between May 26, 2015 and June 15, 2015. The Information also charges Miller with conspiring to distribute and possess with the intent to distribute 400-700 grams of heroin, equivalent to approximately 16,000 to 28,000 doses of heroin, during a three-year period from June 1, 2012 through June 15, 2015.
The government simultaneously filed plea agreements with both Vanderpool and Miller which are subject to approval of the court. A date for their arraignments has not been set.
Miller and Vanderpool were initially charged with and arrested for firearms and heroin offenses in a criminal complaint filed on June 16, 2015. Both men have remained in custody since their arrest.
The matter was investigated by the Bureau of Alcohol Tobacco, Firearms and Explosives and the Pennsylvania State Police. The case is being prosecuted by Assistant United States Attorney Phillip J. Caraballo.
This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district-wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania. Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend and prosecute individuals who commit violent crimes.
This case also was brought as part of a district wide initiative to combat the nationwide epidemic of the use and distribution of heroin. Led by the United States Attorney’s Office, the heroin initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies.
Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalties under federal law for the charges filed against Miller are 50 years of imprisonment, a term of supervised release following imprisonment, and a fine. The heroin conspiracy charge carries a five-year mandatory minimum sentence of imprisonment. The maximum penalties under federal law for the charges filed against Vanderpool are 30 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Blackfoot Woman Pleads Guilty to Theft of Funds from Fort Hall ElementaryRead the Press Release
POCATELLO – Brenda Honena, 52, of Blackfoot, Idaho, pleaded guilty today in United States District Court to the theft of money from the Fort Hall Elementary School in 2012, U.S. Attorney Wendy J. Olson announced. Honena was indicted by the federal grand jury in Pocatello on February 23, 2016.
In 2012, officials in the Blackfoot School District #55 discovered that certain suppliers for fundraisers held at the Fort Hall Elementary School had not been paid. An investigation revealed that $9,463.51 of money from fundraisers held at the school was missing. Honena was then employed as the principal at the school. She initially denied taking the money but in a later interview with special agents from the Federal Bureau of Investigation, she admitted taking the money and being responsible for the missing $9,463.51. Honena admitted she spent the money for her personal use and did so without authorization.
The federal court has jurisdiction over this case because the Blackfoot School District #55 receives federal funding for its operations. The charge of theft from an organization receiving federal funds is punishable by up to ten years in prison, up to three years of supervised release, and a fine of up to $250,000.
Honena is scheduled to be sentenced on November 8, 2016, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello.
The case was investigated by the Federal Bureau of Investigation and the Fort Hall Police Department.
Audubon, N.J., Woman Conspired with Then-Boyfriend to Produce Sexually Explicit Images of Two ChildrenRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, woman today admitted conspiring with her former boyfriend to produce sexually explicit images of two children, U.S. Attorney Paul J. Fishman announced.
Janine Kelley, 35, of Audubon, N.J., pleaded guilty before U.S. District Judge Jerome B. Simandle in Camden federal court to an information charging her with one count of conspiring with her former boyfriend, Alexander Capasso, 42, of Collingswood, New Jersey, to engage in the sexual exploitation of two children by producing sexually explicit images of them.
According to documents filed in this case and statements made in court:
Kelley, a registered nurse, entered into a sexual relationship with Capasso in or about 2011, during which Capasso expressed an interest in engaging in sexual conduct with children. From November 2011 through October 2012 Kelley took, and allowed Capasso to take, recorded images of her engaged in sexually explicit conduct with two children. Kelley also took, or allowed Capasso to take, images of Capasso engaged in sexually explicit conduct with one of the minor children.
The conspiracy count to which Kelly pleaded guilty carries a minimum penalty of 15 years in prison, a maximum penalty of 30 years in prison, and a fine of up to $250,000. Sentencing is scheduled for Nov. 18, 2016.
U.S. Attorney Fishman credited special agents of the FBI’s Philadelphia Division, under the direction of Special Agent in Charge William Sweeney, and the Washington, D.C., Field Office, under the direction of Assistant Director in Charge Paul M. Abbate, with the investigation leading to today’s guilty plea.
Capasso was indicted by a federal grand jury in Camden on July 6, 2016, for allegedly possessing and distributing images of child sex abuse and also for conspiring to sexually exploit two minor children. The charges and allegations contained in that indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
The government is represented by Assistant U.S. Attorney Diana V. Carrig of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel: Christopher O’Malley Esq., Assistant Federal Public Defender, Camden
Atlanta Women Plead Guilty to Possession of Marijuana with Intent to DistributeRead the Press Release
St. Thomas, USVI – Noelle Bishopel, 27, and Sierra Wimberly, 25, each pleaded guilty today in District Court on St. Thomas to one count of possession with intent to distribute marijuana, United States Attorney Ronald W. Sharpe announced.
According to the plea agreement, on April 6, 2016, U.S. Customs and Border Protection inspection officers detected narcotics in checked bags belonging to Wimberly and Bishopel after their arrival at the Cyril E. King Airport on St. Thomas on a Delta Airlines flight from Atlanta, Ga. Both women were taken to secondary inspection, and their checked bags were further examined. CBP officers seized approximately 4.9 kilograms of marijuana from Wimberly’s bag, and 9.45 kilograms of marijuana from Bishopel’s bag.
Wimberly and Bishopel each face a maximum sentence of five years in prison, three years supervised release, and a $250,000 fine. Sentencing is scheduled for December 8, 2016.
This case is being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Everard Potter.
Associate of Decavalcante Crime Family Sentenced to 30 Months in Prison for Distributing CocaineRead the Press Release
NEWARK, N.J. – An associate of the DeCavalcante organized crime family of La Cosa Nostra was sentenced today to 30 months in prison for his role in distributing more than 500 grams of cocaine, U.S. Attorney Paul J. Fishman announced.
Mario Galli, 24, of Toms River, New Jersey, previously pleaded guilty before U.S. District Judge William H. Walls to an information charging him with one count of distribution of more than 500 grams of cocaine.
According to documents filed in this case and statements made in court:
Galli was arrested and charged by complaint in March 2015, along with nine members of the DeCavalcante crime family. He admitted that between Dec. 12, 2014, and March 2015, in conjunction with other family associates, he sold more than one-half a kilo of cocaine to an undercover FBI agent for at least $78,000.
In addition to the prison term, Judge Walls sentenced Galli to three years of supervised release and fined him $1,000.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; the N.J. State Commission of Investigation, under the direction of Acting Executive Director Lee C. Seglem; the Waterfront Commission of New York Harbor, under the direction of Executive Director Walter M. Arsenault; and the Union County Prosecutor’s Office, under the direction of Acting Union County Prosecutor Grace H. Park.
The government is represented by Senior Litigation Counsel V. Grady O’Malley and Assistant U.S. Attorney James Donnelly of the U.S. Attorney’s Office’s Organized Crime/Gangs Unit.
Defense counsel: James N. Butler Jr. Esq., Asbury Park, New Jersey
Alexander Co. Man Sentenced to More Than Seven Years in Prison on Child Pornography ChargesRead the Press Release
STATESVLLE, N.C. – Joshua Lynn Cook, 32, of Hiddenite, N.C. was sentenced yesterday by U.S. District Judge Richard L. Voorhees to 89 months in prison on child pornography charges, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina. Cook was also ordered to serve a lifetime of supervised release and to register as a sex offender.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division and Sheriff Chris Bowman of the Alexander County Sheriff’s Office join U.S. Attorney Rose in making today’s announcement.
According to court documents and information introduced at the sentencing hearing, on April 14, 2014, law enforcement became aware that Cook was downloading and sharing child pornography on the Internet. On the same date, Cook shared child pornography with an undercover agent at least three times using a peer-to-peer network. During subsequent searches, law enforcement seized Cook’s electronic devices, including a computer and a cellphone. Forensic analyses of those devices revealed that Cook possessed more than 6,000 images and 427 videos of child pornography, some of which depicted prepubescent minors engaging in sadistic and masochistic or other violent conduct. Some of the images and videos contained identified victims of 123 different series of child pornography produced in various places, such as Washington, Germany and France.
Cook pleaded guilty in January 2016 to one count of transportation, one count of receipt and one count of possession of child pornography. He is currently in custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
U.S. Attorney Rose thanked the FBI and the Alexander County Sheriff’s Office for their investigation of this case. Assistant U.S. Attorney Cortney Randall of the U.S. Attorney’s Office in Charlotte was in charge of the prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice, aimed at combating the growing online sexual exploitation of children.By combining resources, federal, state and local agencies are better able to locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue those victims.For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov
Albuquerque Woman Pleads Guilty to Federal Drug Trafficking ChargesRead the Press Release
ALBUQUERQUE – Sara Marie Martinez, 36, of Albuquerque, N.M., pleaded guilty today in federal court to an indictment charging her with heroin and methamphetamine trafficking offenses. Martinez entered the guilty plea without the benefit of a plea agreement. Co-defendant Ernest Cordova, 44, also of Albuquerque, previously pled guilty to the indictment in March 2016.
Martinez and Cordova were charged in March 2016 in a three-count indictment with heroin and methamphetamine trafficking offenses. According to the indictment, Cordova conspired to distribute heroin and methamphetamine from Jan. 22, 2016 through Feb. 18, 2016 and Cordova and Martinez possessed heroin and methamphetamine with intent to distribute on Feb. 18, 2016. The indictment alleged that they committed the crimes in Bernalillo County, N.M. The indictment included forfeiture provisions requiring Cordova and Martinez to forfeit $8,840.27 to the United States.
According to court documents, DEA agents observed Cordova engage in several drug deals in the Albuquerque-area between Jan. 22, 2016 and Feb. 18, 2016. During the execution of a search warrant on Cordova’s residence on Feb. 18, 2016, the DEA found 134 grams of heroin and 82 grams of methamphetamine.
At sentencing, Martinez and Cordova each face a statutory minimum of five years and maximum of 40 years in federal prison. Martinez and Cordova remain in custody pending sentencing hearings.
This case was investigated by the Albuquerque office of the DEA and is being prosecuted by Assistant U.S. Attorney Alexander M. Uballez as part of the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative.
The HOPE Initiative was launched in January 2015 by the UNM Health Sciences Center and the U.S. Attorney’s Office in response to the national opioid epidemic, which has had a disproportionately devastating impact on New Mexico. Opioid addiction has taken a toll on public safety, public health and the economic viability of our communities. Working in partnership with the DEA, the Bernalillo County Opioid Accountability Initiative, Healing Addiction in our Community (HAC), the Albuquerque Public Schools and other community stakeholders, HOPE’s principal goals are to protect our communities from the dangers associated with heroin and opioid painkillers and reducing the number of opioid-related deaths in New Mexico.
The HOPE Initiative is comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. HOPE’s law enforcement component is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative. Learn more about the New Mexico HOPE Initiative at http://www.HopeInitiativeNM.org.
17 Defendants Indicted in International Drug Trafficking RingRead 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 a federal grand jury has returned a 30 count indictment charging 17 defendants with multiple narcotics offenses for their role in a drug trafficking organization that utilized contacts and sources of supply from Mexico, California, and elsewhere. This organization trafficked thousands of kilograms of illegal narcotics, including heroin, fentanyl, and cocaine throughout the United States, including Lockport, Niagara Falls, and Buffalo.
“As set forth in the indictment and in Court, this organization represents the largest drug trafficking organization ever dismantled in this District, responsible for distributing tons of heroin, cocaine, fentanyl and marijuana on the streets of Buffalo, Lockport and Niagara Falls,” said U.S. Attorney Hochul. “The organization utilized front companies, deliverymen, and wholesalers to import and distribute the drugs in this area, and bookkeepers and money launderers to conceal the tens of millions of dollars sent from Buffalo back to the suppliers. Some intended user of these illegal drugs will potentially be alive tomorrow, thanks to the work done by law enforcement today.”
DEA Special Agent in Charge James J. Hunt stated, “The Sinaloa Cartel’s reach from Mexico into U.S. Cities is most evident in this investigation. The Gil Organization’s alleged trafficking turned the City of Buffalo into ground zero for fentanyl/heroin trafficking in NY State; fueling drug addiction, overdoses and violent crime. Through an unprecedented collaboration between law enforcement, DEA and our law enforcement partners have successfully dismantled the organization that spanned from Mexico to Buffalo at all levels of operation.”
IRS-Criminal Investigation Special Agent in Charge Shantelle P. Kitchen said, “Tracing the complex flow of proceeds from the sale of illegal drugs is a proven, effective tool in dismantling drug organizations and we are proud that we do it very well. Moreover, the collaboration of skilled financial investigators, drug investigators, and prosecutors provides a formidable adversary in the fight against local, national, and international drug organizations. IRS-Criminal Investigation is pleased to be associated with such partnerships, including this one.”Named in the indictment are:
• Jose Ruben Gil, a/k/a Unc, a/k/a Ruben Gil Campos, a/k/a Mayor of Mexico; • Herman E. Aguirre, a/k/a 007, a/k/a Lucky, a/k/a Primo, a/k/a Freddy; • Sonia Hernandez; • Martha Aguirre; • Juan Alfaro; • Margaret Banuelos, a/k/a Lisa; • Troy R. Gillon; • Darryl J. Williams, a/k/a D; • Trent Adair Hamilton; • Michael Paul Mitchell; • Demetrius Yarborough, a/k/a Tu-Tu; • Rashawn Crule, a/k/a Black, a/k/a Shawn; • Maulana Lucas, a/k/a Big Daddy, a/k/a Shabazz; • Shirley Grigsby
• Ralik Hamilton; • Joseph Thompson, a/k/a Jo-Jo, a/k/a Skools, a/k/a Skoolboy and
• Dion CheathamCharges include engaging in a continuing criminal enterprise; conspiracy to possess with intent to distribute heroin, fentanyl, and cocaine; money laundering conspiracy; possession with intent to distribute, and distribution of crack cocaine, heroin and fentanyl; maintaining a drug-involved premises; felon in possession of firearm and ammunition; possession of a firearm in furtherance of drug trafficking crimes; and obstruction of justice. All 17 defendants face a mandatory minimum sentence of 20 years in prison.
Assistant U.S. Attorneys Meghan A. Tokash and Michael P. Felicetta, who are handling the case, stated that according to the indictment, members of the organization created fictitious “front” companies including Triton Foods, Inc., Kamora Investment Enterprises, Inc. and Fresh Choice Produce, all of which were incorporated in the State of California. Another fictitious company, Corral Seafoods, LLC, registered in the State of New York, was allegedly located in Cheektowaga, New York.
Using these companies, the defendants disguised kilogram quantities of heroin, fentanyl, and cocaine on pallets described on inventory and other documents as containing “Sea Cucumbers.” The pallets bearing the illegal narcotics were secreted in containers sealed with foam or spray insulation to avoid detection by law enforcement.
Members of the organization also utilized numerous bank accounts at a financial institution to conceal and disguise drug proceeds.
During the course of the investigation, law enforcement officers seized over $2,500,000 worth of illegal narcotics, including:
• 52.5 kilograms of cocaine; • 17.5 kilograms of heroin; and
• 8.5 kilograms of fentanylUsing standard dosage amounts, the seized drugs potentially represent over 1,500,000 “hits” of cocaine, and 2,700,000 “hits” of heroin.
The investigation further determined that between June 2013 and September 2015, members of the organization additionally distributed over 5,000 pounds of cocaine, heroin, fentanyl and marijuana in the Western New York area. The indictment alleges that approximately $20,000,000 was sent from Western New York banks to California in a one year period of time. The investigation into remaining members of the Gill/Aquirre drug trafficking organization continues.
The indictment is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero, and the Internal Revenue Service, Criminal Investigation Division, under the direction of Shantelle P. Kitchen.The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
11 Defendants Charged in White Plains Federal Court with Narcotics Trafficking in Rockland CountyRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, Diego Rodriguez, Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), Thomas P. Zugibe, Rockland County District Attorney, Chris Goldrick, Director of the Rockland County Drug Task Force, and Charles Miller, Town of Haverstraw Police Chief, today announced the unsealing of an indictment charging eleven defendants with trafficking in cocaine and crack cocaine in and around Rockland County, New York. Eleven defendants were taken into federal custody today, and will be presented in White Plains federal court this afternoon before U.S. Magistrate Judge Lisa Margaret Smith. This case is assigned to U.S. District Judge Nelson S. Roman. In a related prosecution, New York State has indicted an additional five defendants.
U.S. Attorney Preet Bharara stated: “As alleged, the eleven men charged today were part of a narcotics distribution network that peddled large quantities of powder and crack cocaine all around Rockland County. The residents of our communities are entitled to live and work free from the ills of narcotics trafficking. Our joint effort with the FBI, Rockland County District Attorney’s Office, the Rockland County Drug Task Force and Haverstraw Police Department brings us closer to that goal.”
FBI Assistant Director-in-Charge Diego Rodriguez said: “For over two years, a drug trafficking organization allegedly led by Jemel Goode, trafficked and sold cocaine and crack cocaine in Rockland County. Today, with our partners in the Westchester County Safe Streets Task Force, in coordination with the Rockland County Drug Task Force, we can announce the arrest of 11 members of this organization. We will continue our investigations and work with local partners to clear our communities of violence and drugs.”
Rockland County District Attorney Zugibe stated: “This investigation is another example of local and federal law enforcement working together to reduce drug dealing that too often plagues our community. The charges are the result of hundreds of hours of investigation and surveillance over a 12-month period, led by the Rockland County Drug Task Force. Not only were we able to arrest street dealers, but also the two brothers who were allegedly running the large-scale cocaine distribution network. ‘Operation No Goode’ underscores law enforcement’s collective commitment to ridding our towns and villages of illegal drug activity.”
Rockland County Drug Task Force Director Chris Goldrick said, “The defendants are accused of being part of a sweeping operation dealing in drugs all across Rockland County. These charges are the result of hundreds of hours of investigation and surveillance over a year-long period. Working closely with our partners at the local and federal levels, technology and physical surveillance allowed detectives to uncover the entire operation from the bosses to the street-level couriers. We will continue to work together to keep our residents safe.”
Town of Haverstraw Police Chief Charles Miller stated: “These arrests are the result of a coordinated law enforcement and prosecutorial initiative to rid our community of dangerous drug dealers. The Haverstraw Police Department and our law abiding residents will not tolerate the illegal narcotics trade on our streets. This case clearly demonstrates the success that can be achieved through local and federal law enforcement cooperation.”
As alleged in the Indictment unsealed today in White Plains federal court[1]:
From July 2014, up to and including July 2016, : JEMEL GOODE, a/k/a “J Rock,” BENANCIO CABA, a/k/a “Bennie Caba,” LASEAN GOODE, a/k/a “Bones,” EDWIN HILARIO, ANEUDI JIMENEZ, a/k/a “Fat Bastard,” QUELVIN LOPEZ, NATHANIEL SAUNDERS, SR., NATHANIEL SAUNDERS, JR., a/k/a “Quan,” ALEXANDER SCUDDER, DUANE TAYLOR, a/k/a “Daquan Jenkins,” a/k/a “Antwan Scott,” and SHARRAHN WALTON conspired to sell cocaine and crack cocaine. Specifically, the defendants JEMEL GOODE, LASEAN GOODE CABA, NATHANIEL SAUNDERS, SR., NATHANIEL SAUNDERS, JR., TAYLOR, and WALTON, conspired to sell 280 grams or more of crack cocaine. The defendants CABA, SCUDDER, HILARIO, LOPEZ, and JIMENEZ conspired to sell 500 grams or more of cocaine. During the course of the conspiracy, law enforcement officers observed several defendants participate in the sale of cocaine and crack cocaine to confidential informants working with law enforcement and to an undercover law enforcement officer. Law enforcement officers using court-authorized wiretaps also intercepted numerous communications in which the defendants discussed trafficking cocaine and crack and arranged sales of both narcotics.
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A chart containing the names of the defendants, and the charges and maximum penalties they face, is attached.
The statutory maximum sentences are prescribed by Congress and are provided here for information purposes only, as any sentencings of the defendants would be determined by the respective judges.
Mr. Bharara praised the outstanding investigative work of the FBI, the Rockland County District Attorney’s Office, the Rockland County Drug Task Force, and the Town of Haverstraw Police Department.
These cases are being handled by the Office’s White Plains Division. Assistant United States Attorneys Christopher Clore and Lauren Schorr are in charge of the prosecutions.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
CHARGE
DEFENDANT
AGE
RESIDENCE
MAXIMUM PENALTIES
Narcotics conspiracy – Crack cocaine
(Conspiracy to distribute and possess with intent to distribute crack cocaine, in violation of 21 U.S.C. §§ 846, 841(a)(1) & 841(b)(1)(A))
JEMEL GOODE, a/k/a “J Rock”
34
Congers, New York
Life in prison
Mandatory minimum: 10 years in prison
BENANCIO CABA, a/k/a “Bennie Caba”
27
Haverstraw, New York
LASEAN GOODE, a/k/a “Bones”
31
W. Haverstraw, New York
NATHANIEL SAUNDERS, SR.
44
Haverstraw, New York
NATHANIEL SAUNDERS, JR., a/k/a “Quan,”
22
Haverstraw, New York
DUANE TAYLOR, a/k/a “Daquan Jenkins,” a/k/a “Antwan Scott”
36
Haverstraw, New York
SHARRAHN WALTON
19
Haverstraw, New York
Narcotics conspiracy – Cocaine (Conspiracy to distribute and possess with intent to distribute cocaine, in violation of 21 U.S.C. §§ 846, 841(a)(1) & 841(b)(1)(B))
BENANCIO CABA, a/k/a “Bennie Caba”
27
Haverstraw, New York
Maximum of 40 years in prison
Mandatory minimum: 5 years in prison
ALEXANDER SCUDDER
35
Nyack, New York
EDWIN HILARIO
30
Haverstraw, New York
QUELVIN LOPEZ
32
Haverstraw, New York
ANEUDI JIMENEZ, a/k/a “Fat Bastard”
34
W. Haverstraw, New York
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
8 August 2016
West Texas Woman Sentenced for Identity Theft in East TexasRead the Press Release
BEAUMONT, Texas – A 26-year-old Wimberly, Texas woman has been sentenced to federal prison for identity theft related violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Samantha Kelly Bradshaw pleaded guilty on May 2, 2016 to identity theft by unlawful possession of a means of identification and was sentenced to 24 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to information presented in court, on Jan. 9, 2016, a deputy with the Hardin County Sheriff’s Office was dispatched to the scene of a one-vehicle accident in Kountze, Texas where the vehicle was discovered to have been reported as stolen from Groves, Texas. After the arrest of the driver, further investigation led to a residence on Manor Drive in Kountze where two other persons were arrested for drug offenses and one person was arrested for an outstanding warrant. Bradshaw was located in a bedroom and initially arrested for failing to identify and later falsely identifying herself using an assumed name. A search of the bedroom resulted in the location of over 50 pieces of identifying information including names, dates of birth, Social Security numbers, driver licenses, passports, visas, and bank account information of people from other parts of the state. Two Texas identification cards were also located in the names of another person and Samantha Kelly Bradshaw. The Bradshaw identification card had the photograph cut out and the identification card in the other name was fictitious. A birth certificate and a Social Security card in the other name were also discovered. Additionally, numerous debit cards obtained in various names were located, including some of the fictitious identification card and Samantha Bradshaw. The person whose name was on the fictitious Texas identification card confirmed she was a victim of identity theft.
This case was investigated by the U.S. Department of Homeland Security Investigations and the Hardin County Sheriff’s Office and was prosecuted by Assistant U.S. Attorney Robert L. Rawls.
The Estate of Dr. Kenneth Michael Rice and UMC Physicians Pay a Total of $3,280,000 to Resolve False Claims Act AllegationsRead the Press Release
DALLAS C The Estate of Dr. Kenneth Michael Rice and UMC Physicians (UMCP) have agreed to pay a total of $3,280,000.00 to the United States and the State of Texas to settle allegations that Dr. Rice and UMCP violated the False Claims Act, announced U.S. Attorney John Parker of the Northern District of Texas.
Specifically, the United States alleged that Dr. Rice, by and through UMCP, submitted false claims for payment to Medicaid and Medicare related to in-person evaluation and management services, as well as critical care services. The Estate of Dr. Rice agreed to pay the United States and the State of Texas $2,000,000, collectively, to settle the allegations. UMCP agreed to pay $1,280,000 to settle the matter. Both the Estate of Dr. Rice and UMCP fully cooperated with the investigation and, by settling, did not admit any wrongdoing or liability.
UMCP, a physician practice management group located in Lubbock, Texas, employs healthcare providers for its sole managing member, the Lubbock County Hospital District d/b/a UMC Health System (UMC). UMCP employed Dr. Kenneth Michael Rice as a healthcare provider at UMC from February 12, 1996 through his death on February 4, 2015. The settlement resolves allegations that from January 2008 through February 2015, Dr. Rice, by and through UMCP, billed Medicare and Medicaid for in-person evaluation and management services at the higher physician fee rate, even though the services were often provided by nonphysician providers. Dr. Rice and UMCP are also alleged to have billed normal evaluation and management services to Medicare at the higher critical-care rate. The Estate and UMCP deny the allegations.
“Health care providers, like all those that choose to do business with the government, must turn square corners when billing Medicare and Medicaid for services provided to patients,” U.S. Attorney Parker said. “As this settlement demonstrates, we will continue to work to ensure that providers bill for and are paid for the services they provide – but no more.”
The Texas Medicaid Fraud Control Unit and the Civil Medical Fraud Division of the Office of the Attorney General for the State of Texas participated in the resolution of this matter. The case was handled by Assistant U.S. Attorney Kenneth G. Coffin.
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Texas Man Sentenced to Prison for Role in Stolen Identity Refund Fraud Scheme Involving IRS “Get Transcript” DatabaseRead the Press Release
A Houston, Texas, man was sentenced to more than two years in prison today for his role in a stolen identity refund fraud (SIRF) scheme, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Department of Justice’s Tax Division and U.S. Attorney Kenneth Magidson of the Southern District of Texas.
Denzel Roberts, 24, was sentenced by U.S. District Judge Lynn N. Hughes of the Southern District of Texas to serve 24 months in prison followed by a two year term of supervised release. Judge Hughes ordered Roberts to pay $74,341 in restitution to the Internal Revenue Service (IRS). In May, Roberts pleaded guilty to one count of theft of public money.
“The Justice Department is committed to aggressively prosecuting those who participate in schemes to steal personal information, infiltrate databases and assume identities in an effort to prepare and file fictitious tax returns seeking to line their pockets with fraudulently obtained refunds,” said Principal Deputy Assistant Attorney General Ciraolo. “Individuals like Mr. Roberts, who receive the fraudulent refunds, especially through opening bank accounts in fictitious names, play key roles in these illegal schemes and substantially contribute to the loss to the U.S. Treasury and the damage inflicted on identity theft victims. Working with our law enforcement partners, we will continue to seek lengthy prison terms and substantial monetary penalties for those who engage in this criminal conduct.”
“Today’s sentencing of Denzel Roberts for his role in a stolen identity refund fraud ring emphasizes how seriously IRS-Criminal Investigation (IRS-CI) and our law enforcement partners take the issue of identity theft,” said Chief Richard Weber for IRS-CI. “Mr. Roberts may have thought that he would not get caught while acting as a conduit for ill-gotten gains, but he will now pay the price for stealing funds from the American tax system and honest citizens.”
According to court documents, Roberts participated in a scheme that used stolen personal identification information to file false federal income tax returns for tax year 2014. Participants in the scheme obtained means of identification of actual individuals, including their names and social security numbers, and used this information to access the IRS’s “Get Transcript” database. Using the stolen identities and information obtained from the Get Transcript database, other members of the scheme prepared and filed false tax returns fraudulently requesting refunds. Roberts admitted using a fraudulent passport to open several bank accounts into which the refunds were deposited. Roberts then withdrew the illicit proceeds, retaining a portion of the money as a fee and providing the remainder of the funds to others.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Magidson thanked special agents of IRS-Criminal Investigation and the FBI Houston Area Cyber Crime Task Force, who investigated the case and Trial Attorneys Michael Boteler and Grace Albinson of the Tax Division, who are prosecuting this case with assistance from Assistant U.S. Attorney Jimmy Sledge of the Southern District of Texas.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Stamford Man Pleads Guilty to Capturing and Killing Federally Protected HawksRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and Honora Gordon, Special Agent in Charge of the Northeast Region of the U.S. Fish and Wildlife Service, Office of Law Enforcement, announced that ADAM BOGUSKI, 43, of Stamford, pleaded guilty today in Hartford federal court to one count of conspiracy to take, capture and kill red-tailed hawks and Cooper’s hawks, and two counts of taking, capturing and killing Cooper’s hawks.
According to court documents and statements made in court, red-tailed hawks and Cooper’s hawks are birds of prey, also known as raptors, and consume pigeons as part of their natural diet. These hawks are protected under the federal Migratory Bird Treaty Act.
In pleading guilty, BOGUSKI admitted that he and Thomas Kapusta were racing pigeon enthusiasts who constructed and maintained a pigeon coop at 330 Weed Avenue in Stamford. BOGUSKI and Kapusta kept a large number of racing pigeons at this coop, and regularly let them fly outside the coop for exercise. Because BOGUSKI and Kapusta viewed these hawks as a threat to their pigeons, they systematically captured the hawks in a trap specifically designed to capture birds of prey, shot and killed them in the trap, and disposed of their carcasses. BOGUSKI admitted that he killed Cooper’s hawks on September 27, 2015 and October 17, 2015.
BOGUSKI is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on October 11, 2016. He faces a maximum term of imprisonment of 18 months and a fine of up to $45,000.
On February 17, 2016, Kapusta, of Westbury, N.Y., pleaded guilty to one count of conspiracy to take, capture and kill red-tailed hawks and Cooper’s hawks, and four counts of taking, capturing and killing red-tailed hawks or Cooper’s hawks. He is scheduled to be sentenced on September 12.
This matter has been investigated by the U.S. Fish and Wildlife Service, Office of Law Enforcement and the Division of Refuge Law Enforcement, and the Environmental Conservation Police of the Connecticut Department of Energy and Environmental Protection, with the assistance of the Stamford Police Department. The case is being prosecuted by Assistant U.S. Attorney Hal Chen.
Springfield Man Sentenced to 3 ½ Years in Prison for Advertising ScamRead the Press Release
Springfield, Ill. – A Springfield, Ill., man, Andrew Miles Ross, was sentenced on Friday, Aug. 5, 2016, to serve 42 months (three years, six months) in federal prison and to pay $14,389 in restitution for operating a telemarketing advertising scam. Ross, 33, of the 3100 block of S. Woodward St., was allowed to self-report to begin serving his prison term at a later date, as directed by the federal Bureau of Prisons.
Ross owned and operated a telemarketing company from 2005 to April 2011, that used various names, including A. Ross and Associates and Coast-to-Coast Advertising, LLC, doing business as Nationwide Advertising and Nationwide Marketing. The company sold advertising space on placemats or take-home menus purportedly to be used by popular Mexican restaurants.
On Aug. 25, 2015, Ross pled guilty to the scheme, which grossed an estimated $900,000 from 2005 to April 2011. As a result of the scheme, Ross defrauded an estimated 6,500 small businesses in more than 32 states.
As part of the scheme, advertising space was sold primarily to small businesses located in the vicinity of Mexican restaurants. The telemarketers falsely represented to the businesses that they were employed by or associated with a local Mexican restaurant that was selling ad space on its placemats or take-home menus. Further, the telemarketers falsely represented a one-time annual fee for purchasing an advertisement, although the checking or credit card accounts of the small businesses were routinely debited without the businesses’ authorization or consent on multiple occasions during the year.
The case was prosecuted by Assistant U.S. Attorney Gregory K. Harris. The investigation was conducted by agents of the FBI and the U.S. Postal Inspection Service. The case was referred to the U.S. Attorney’s Office by the Illinois Attorney General’s Office.
South Texas Couple Pleads Guilty to Tax ChargesRead the Press Release
Chiropractor Interfered with IRS Collection Efforts and Retired Firefighter Willfully Failed to File Return
Anna Allen and Martin Armendariz of El Paso, Texas, pleaded guilty today in the U.S. District Court for the Western District of Texas to tax crimes, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division and U.S. Attorney Richard L. Durbin Jr., of the Western District of Texas.
Allen, a practicing chiropractor, and her husband, Armendariz, a retired El Paso firefighter, have not filed federal income tax returns since 2004. Allen pleaded guilty to evading her 2009 individual income taxes. Armendariz pleaded guilty to willfully failing to file a 2009 tax return.
According to the statement of facts accompanying the plea agreements, after the Internal Revenue Service (IRS) levied upon Allen’s bank accounts and accounts payable in order to collect back taxes, Allen sent threatening correspondence to her bank regarding the bank’s responses to the IRS’s levy requests and altered her banking habits to prevent any seizures. Allen also instructed a third party to submit insurance billings on behalf of Allen’s chiropractic business using an Employment Identification Number assigned to another business in order to thwart the IRS’s collection efforts. Armendariz failed to file a tax return for tax year 2009 for himself and his wife, thereby failing to report more than $211,000 in gross income.
U.S. District Judge Kathleen Cardone of the Western District of Texas set sentencing for both defendants on Oct. 13. Allen faces a statutory maximum sentence of five years in prison and a maximum fine of $250,000. Armendariz faces a statutory maximum sentence of one year in prison and a maximum fine of $100,000.
Principal Deputy Assistant Attorney General Ciraolo and U.S. Attorney Durbin commended special agents of IRS-Criminal Investigation, who investigated the case and Trial Attorney Sean Beaty of the Tax Division and Assistant U.S. Attorney Donna Miller of the Western District of Texas, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the Tax division’s website.
Sandwich shop operator sentenced to Federal prison for heroin crimeRead the Press Release
HUNTINGTON, W.Va. – A Milton man who possessed heroin at his Huntington restaurant in 2015 was sentenced today to a year and a day in federal prison, announced United States Attorney Carol Casto. Jumol Wayne Scott, 37, previously pleaded guilty to possession with intent to distribute heroin.
On March 28, 2015, law enforcement executed a search warrant at The Sandwich Joint, which was operated by Scott in Huntington. During the search, agents located Scott in the restaurant and also seized approximately 280 grams of heroin, along with materials used to prepare heroin for distribution. Scott admitted that he distributed heroin to a confidential informant at his restaurant on multiple occasions in 2015 and intended to distribute the heroin seized by agents.
This case was investigated by the Drug Enforcement Administration Task Force. Assistant United States Attorney Joseph F. Adams handled the prosecution. Chief United States District Judge Robert C. Chambers imposed the sentence.
This prosecution is part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Ohio Woman Convicted of Conspiring to Exploit Foreign Workers at Minnesota FarmRead the Press Release
United States Attorney Andrew M. Luger today announced the trial conviction of SANDRA LEE BART, 68, for requiring foreign workers on temporary H-2A work visas to pay illegal fees and kickbacks. BART was found guilty by a jury of conspiring with others to commit fraud.
Co-defendant WILIAN SOCRATE CABRERA pleaded guilty on July 14, 2016, to conspiracy to commit fraud in foreign labor contracting, and co-defendant JOHN JAMES SVIHEL pleaded guilty on June 16, 2016, to conspiracy to commit fraud in foreign labor contracting.
“Today’s verdict should serve as a warning to those who seek to exploit foreign workers through the U.S. guest worker visa programs,” said Assistant United States Attorney Manda Sertich. “We commend the investigating agencies for their collaboration and thank the jury for its service.”
As proven at trial, from 2008 to May of 2015 BART and CABRERA operated an unregistered business called “Labor Listo,” which they used to recruit employers like SVIHEL, who ran Svihel Vegetable Farm in Foley, Minn., to hire seasonal workers from the Dominican Republic on temporary work visas. The visa programs require employers to pay for workers’ housing and travel expenses to and from their home country, and forbid employers from collecting recruitment fees or wage kickbacks. BART and CABRERA violated all of these rules.
As proven at trial, CABRERA charged the workers a one-time recruitment fee of between $420 and $2,385, as well as an annual fee of $374, which he split with BART. The workers were told that if they didn’t pay the fees they would not be allowed to return for the following growing season. BART and CABRERA also collected full reimbursement from the workers for their flights. SVIHEL kept a percentage of the workers’ wages. BART and CABRERA were clearly using the program to profit from the workers. “Costs – pass on to applicant,” was written on a business plan from a 2008 Labor Listo meeting between BART and CABRERA.
As proven at trial, BART and CABRERA recruited SVIHEL in 2010 to hire four Dominican workers using the H-2A visa program, which provides temporary visas to agriculture workers, falsely telling him that a church in the Dominican Republic would pay for workers’ airfares. When the wage Svihel was required to pay the workers was increase from $9.75 per hour to $10.62 per hour in 2011, SVIHEL expressed hesitation in continuing to use the program. BART told SVIHEL that the workers would be willing to pay wage and airfare kickbacks to make up the difference. SVIHEL kept a total of $90,000 in kickbacks and spent it on travel and leisure expenses.
As proven at trial, when BART learned there was an investigation into the working conditions at Svihel Farm, she tried to have CABRERA talk the workers into signing a document retracting any statements they made to the Department of Labor about illegal fees. SVIHEL and BART exchanged a list of workers, labeling the workers “G” for good or “B” for bad, based on which workers they thought had spoken to the Department of Labor. The workers labeled “bad” were sent back to the Dominican Republic first in the 2014 season and were not invited back in 2015.
This case is the result of an investigation conducted by the U.S. Department of State Diplomatic Security Service, U.S. Department of Labor Office of the Inspector General, and the Homeland Security Investigations Document and Benefit Fraud Task Force.
This case is being prosecuted by Assistant United States Attorneys and Manda Sertich and David Maria.
Defendant Information:SANDRA LEE BART, 68
Seven Hills, OhioConvicted: • Conspiracy to commit false swearing in an immigration matter, 1 count
• Conspiracy to commit fraud in foreign labor contracting, 1 count
• Conspiracy to commit wire and mail fraud, 1 count
WILIAN SOCRATE CABRERA, 43
Dominican RepublicConvicted: • Conspiracy to commit fraud in foreign labor contracting, 1 count
JOHN JAMES SVIHEL, 54
Foley, Minn.Convicted: • Conspiracy to commit fraud in foreign labor contracting, 1 count
North-Central Iowa Man Pleads Guilty to Unlawfully Storing Hazardous WasteRead the Press Release
Richard Delp, 62, from Cedar Falls, Iowa, pled guilty August 3, 2016, in federal court in Cedar Rapids, to a charge of unlawfully storing hazardous waste.
Evidence presented at the change of plea hearing revealed Delp, from about January 1, 2004, and continuing to on or about October 23, 2012, knowingly stored, or caused the storage of, hazardous waste by storing drums, tanks, totes, and vats containing corrosive and toxic hazardous waste at his now defunct Cedar Valley Electroplating facility in Cedar Falls, Iowa, without a permit authorizing the storage. Delp continued to unlawfully store the hazardous waste despite being alerted to the problem in 2005 and, again, in 2010 by civil inspections conducted by the United States Environmental Protection Agency (“EPA”). Instead of addressing the problem, he abandoned the hazardous wastes when he closed the business in September 2011. This resulted in the public paying more than $789,138.03 in clean-up costs.
Sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. Delp remains free on bond previously set. Delp faces a possible maximum sentence of 5 years’ imprisonment, a fine of not more than $50,000 for each day of violation, a $100 in special assessments, and up to five years of supervised release following any imprisonment.
The case was investigated by the Environmental Protection Agency Criminal investigation Division and is being prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is CR16-2022.
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North Carolina Man Sentenced on Methamphetamine ChargeRead the Press Release
ROANOKE, VIRGINIA – A North Carolina man, who previously pled guilty to federal drug conspiracy charges, was sentenced today in the United States District Court for the Western District of Virginia in Roanoke, United States Attorney John P. Fishwick Jr. announced.
Bradley Scott Kennedy, 38, of Jonesville, North Carolina, previously pled guilty to one count of conspiring to distribute methamphetamine. Today in District Court, Kennedy was sentenced to 90 months in prison.
“Investigating and prosecuting cases involving methamphetamine trafficking takes the work of multi-agency coalitions working together, on the local, state and federal levels,” United States Attorney Fishwick said today. “While there is still work to be done in the fight against methamphetamine abuse, we are proud to partner with our partners in law enforcement to continue to bring strong cases, like this one, against those who traffic in this deadly substance.”
The investigation of the case was conducted the Virginia State Police, the Wythe County Sheriff’s Office, the Grayson County Sheriff’s Office, the Galax Police Department, the Carroll County Sherriff’s Office, the Pulaski County Sheriff’s Office and the Drug Enforcement Administration. Assistant United States Attorney Ashley B. Neese prosecuted the case for the United States.
Nigerian Pleads Guilty to Bank Fraud ChargeRead the Press Release
ERIE, Pa. - A citizen of Nigeria pleaded guilty in federal court to a charge of bank fraud, United States Attorney David J. Hickton announced today.
Ayisat Enitan Yekinni, 30, pleaded guilty to one charge before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Yekinni, using multiple aliases and corresponding false identification documents, engaged in a scheme to defraud various financial institutions by funneling multiple fraudulently issued or stolen checks through fraudulently opened bank accounts at banks across the United States.
Judge Cercone scheduled sentencing for December 8, 2016. The law provides for a total sentence of 30 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Yekinni.
New York Man Pleads Guilty in Identity Theft SchemeRead the Press Release
ERIE, Pa. – A former resident of Ozone Park, New York pleaded guilty in federal court to charges of conspiracy to commit wire fraud and aggravated identity theft, United States Attorney David J. Hickton announced today.
Abiodun Bakre, 51, pleaded guilty to nine counts before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Bakre opened numerous bank accounts using stolen identities for the purpose of using those bank accounts as repositories for fraudulently obtained federal tax refunds. In the course of the investigation, a search of Bakre’s residence uncovered multiple ledgers containing hundreds of stolen identities and numerous false identification documents which were used in furtherance of the conspiracy.
Judge Cercone scheduled sentencing for December 8, 2016. The law provides for a maximum total sentence of 36 years in prison, a maximum fine of $2,250,000 or twice the amount of loss to the victims, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation conducted the investigation that led to the prosecution of Bakre.
Mount Jackson Man Sentenced on Cocaine ChargeRead the Press Release
HARRISONBURG, VIRGINIA – United States Attorney John P. Fishwick Jr. announced today the sentencing of a Mount Jackson man on a federal cocaine charge.
Victor Enrique Velez-Sellas, 31, of Mount Jackson, Va., who previously pled guilty to one count of conspiring to distribute 500 grams or more of cocaine, was sentenced last week in the United States District court for the Western District of Virginia in Harrisonburg to 66 months in federal prison.
“It is a priority of the United States Attorney’s Office to prosecute those individuals who distribute illegal drugs in our communities,” United States Attorney John P. Fishwick Jr. said today. “Keeping our neighborhoods safe from drug traffickers, while also providing those struggling with addiction the support they need is a priority for Department of Justice.”
According to evidence presented at previous hearings by Assistant United States Attorney Jeb Terrien, between 2013 and February 2015 Velez-Sellas participated in a conspiracy to distribute cocaine and traffic in firearms. The defendant often obtained drugs from sources in Puerto Rico, North Carolina and West Virginia. He then sold the drugs, or provided them on consignment, to other drug dealers located in and around Winchester, Virginia. Additionally, the defendant is known to have sold two additional firearms.
Velez-Sellas was arrested on February 18, 2015 by law enforcement officers on Interstate 81 in Frederick County, Virginia while the defendant was in the process of traveling to make a sale of cocaine. At the time of his arrest, the defendant was in possession of a digital scale, a Ruger P89 9mm pistol and 568.2 grams of cocaine.
The investigation of the case was conducted by the Drug Enforcement Administration and the Northwest Virginia Regional Drug and Gang Task Force. Assistant United States Attorney Jeb Terrien prosecuted for the case for the United States.
Mexican citizen sentenced to 15 months in prison for illegally reentering the countryRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced that a man from Mexico was sentenced last week to 15 months in prison for returning to the United States illegally after being deported.
Elior Daniel Sifuentes, 34, of Monterrey, Nuevo Leon, Mexico, was sentenced Friday by U.S. District Judge Elizabeth E. Foote on one count of aggravated illegal re-entry of a removed alien. According to the April 14, 2016 guilty plea, Bossier City Police arrested Sifuentes on October 26, 2015 for failure to appear for various traffic violations. After his arrest, police discovered that Sifuentes was an illegal alien who had been deported in April of 2009 for a prior felony of illegal use of a weapon in state court and had not received permission to reenter the country.
Homeland Security Investigations-Immigrations and Customs Enforcement and the Bossier City Police Department conducted the investigation. Assistant U.S. Attorney Earl M. Campbell prosecuted the case.
Lewiston Woman Sentenced to Probation for Embezzling Postal FundsRead the Press Release
Contact: Halsey B. Frank
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Jayme L. Temoke, 29, of Lewiston, Maine was sentenced today in U.S. District Court by Judge Jon D. Levy to two years of probation for misappropriation of postal funds. She was also ordered to pay $4,367 in restitution. Temoke pleaded guilty on February 23, 2016.
According to court documents, in June and July 2014, Temoke used her position as postmaster relief for the West Poland post office to embezzle $4,367 in postal funds by cashing money orders and not reporting their sale until she was able to cover the shortage with the proceeds of later embezzled money orders. When confronted, she told investigators that she was a single mother of three children who got into financial difficulty, started taking money intending to pay it back, but was unable to do so.
The investigation was conducted by the U.S. Postal Service, Office of Inspector General.
Kingsmen Motorcycle Club Member Pleads Guilty to Rico ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Emmett Green, 45, of Delevan, N.Y., pleaded guilty to RICO conspiracy before U.S. District Judge Elizabeth A. Wolford. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
“For the first time in this prosecution, a member of the Kingsmen Motorcycle Club has acknowledged that his former group is nothing other than a criminal front, engaging in such crimes as drug distribution, firearms sales, committing violence, and promoting prostitution,” said U.S. Attorney Hochul. “Any member of this or any other criminal organization who engages in similar criminal conduct should expect that they too will be brought to justice in the near future.”
Assistant U.S. Attorney Joseph M. Tripi, who is handling the case, stated that the defendant admitted being a member of the Kingsmen Motorcycle Club (KMC), a criminal organization which engaged in such unlawful purposes as distribution of controlled substances, maintaining premises for use and distribution of controlled substances, possession, use and sale of firearms, sales of untaxed cigarettes, and promoting prostitution. The KMC sought to preserve and protect their power, territory, and reputation through intimidation, violence, threats of violence, assaults, attempted murder and murders, and was involved in placing victims, potential victims, potential witnesses, and others in fear of the enterprise, its members, and associates, through violence and threats of violence.
Green further admitted that the Kingsmen operated by a strict chain of command and, at one point, the defendant was the Regional President of New York State serving under the direction of Kingsmen National President, David Pirk. Green also admitted that the Kingsmen disciplined non-compliant members. On December 2014, the defendant and co-defendant Robert Osborne, Jr., and others, assaulted a former Kingsmen for breaking club rules by punching the victim repeatedly in the body and chest and knocking him to the ground.
Green is one of 17 defendants arrested in this case and the first to be convicted. Other acts of alleged violence by the Kingsmen include the murders of KMC members Paul Maue and Daniel "DJ" Szymanski who were murdered behind the North Tonawanda KMC Chapter clubhouse on September 6, 2014.
The plea is the culmination of the an investigation led by the Federal Bureau of Investigation’s Safe Streets Task Force, under the direction of Special Agent in Charge Adam S. Cohen. Assisting in the investigation: the FBI Knoxville, TN, and Jacksonville, FL Field Offices, Immigration and Customs Enforcement, Homeland Security Investigations, the Erie County Sheriff’s Office, the Buffalo Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New York State Police, the Olean Police Department, the Lancaster Police Department, the Amherst Police Department, the Town of Tonawanda Police Department, the Niagara Frontier Transportation Authority Police, the Cattaraugus County Sheriff’s Department, and the Hamburg Police Department.
Sentencing will be scheduled at a later date before Judge Wolford.
KCK Woman Pleads Guilty in Robbery at Stilwell, Kan., BankRead the Press Release
KANSAS CITY, KAN. - A Kansas City, Kan., woman pleaded guilty Monday to federal charges that she took part in an armed robbery at a Stillwell bank before the robbers led police on a high speed chase with a child in the car, Acting U.S. Attorney Tom Beall said.
Danille Morris, 26, Kansas City, Kan., pleaded guilty to one count of bank robbery, one count of brandishing a firearm during a robbery and one count of unlawful possession of a firearm following a felony conviction. She admitted she cased the bank, provided the getaway car and was in the car when the robbers fled the bank.
Two co-defendants already have entered pleas. Gary Jordan, 39, Kansas City, Kan., pleaded guilty to one count of bank robbery, one count of brandishing a firearm during a robbery and one count of unlawful possession of a firearm following a felony conviction. Co-defendant Jacob L. Smith, 18, Kansas City, Kan., pleaded guilty to one count of bank robbery and one count of brandishing a firearm during a robbery.
In their pleas, Jordan and Smith admitted they were armed with handguns when they entered the First National Bank at 7460 W. 199th Street in Stilwell, Kan. They held tellers at gunpoint before fleeing with cash stuffed in a backpack. Jordan took the wheel of the getaway car.
During the next 25 minutes, the robbers were pursued by the Kansas Highway Patrol, the Leawood Police Department and other law enforcement agencies as they fled across the Kansas/Missouri state line. During the chase, Smith fired at officers six times from the car. After the car overturned on a sharp turn, the defendants were arrested. Throughout the chase, co-defendant Morris and her 19-month-old child were in the car. She was seated in the front passenger seat at the time the vehicle crashed. The child was fastened in a car seat in the back seat.
Morris is set for sentencing Dec. 20. The crimes carry the following penalties: Up to 25 years in federal prison and a fine up to $250,000 for robbery, not less than 10 years and a fine up to $250,000 for discharging firearms in a robbery, and up to 10 years and a fine up to $250,000 for unlawful possession a firearm by a felon.
Beall commended all the agencies that assisted in the investigation including the FBI, the Johnson County Sheriff’s Office, the Kansas Highway Patrol, the Leawood Police Department, the Kansas City, Kan., Police Department and the Kansas City, Mo., Police Department, as well as the prosecutor, Assistant U.S. Attorney Chris Oakley.
Justice Department Reaches Settlement to Resolve Allegations Against HSBC for Illegally Repossessing Servicemembers’ CarsRead the Press Release
The Justice Department announced today that HSBC Finance Corporation, as successor to HSBC Auto Finance Inc., has agreed to pay $434,500 to resolve allegations that it violated the Servicemembers Civil Relief Act (SCRA) by repossessing 75 cars owned by protected servicemembers without obtaining the necessary court orders. The settlement is subject to approval by the U.S. District Court of the Northern District of Illinois.
During the investigation, the department learned that HSBC conducted repossessions without court orders even when it had evidence in its own records suggesting that a borrower could be a protected servicemember. In one such case, HSBC continued with a repossession after learning that an initial attempt was unsuccessful because guards would not allow the “repo truck” to enter a “secured military post” in Indiana, where the car was located.
“HSBC repossessed cars without taking into account their owners’ ongoing service to our country,” said Principal Deputy Associate Attorney General Bill Baer. “This settlement rights this wrong, compensates the affected servicemembers and honors our commitment to making sure military members are treated fairly at all times.”
“Servicemembers should never have to worry that they will lose their cars while they answer our nation’s call to duty,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “HSBC should have heeded these concerns before repossessing vehicles. I commend the company for working cooperatively to reach an appropriate resolution once the department raised the issue.”
The settlement covers repossessions that occurred between 2008 and 2010. HSBC Auto Finance Inc. originated and serviced car loans until 2010, when HSBC sold its car lending operations and assets to Santander Consumer USA Inc. In February 2015, the department entered a settlement with Santander that provides servicemembers with more than $10.5 million in compensation for repossessions that violated the SCRA. As part of the investigation of Santander’s repossession practices, the department learned that HSBC sold to Santander the right to collect debts owed by servicemembers after their cars had been repossessed by HSBC without court orders.
The SCRA protects servicemembers against certain civil proceedings that could affect their legal rights while they are in military service. It requires a court to review and approve any repossession if the servicemember took out the loan and made a payment before entering military service. The court may delay the repossession or require the lender to refund prior payments before repossessing. The court may also appoint an attorney to represent the servicemember, require the lender to post a bond with the court and issue any other orders it deems necessary to protect the servicemember. By failing to obtain court orders before repossessing motor vehicles owned by protected servicemembers, HSBC prevented servicemembers from obtaining a court’s review of whether their repossessions should be delayed or adjusted to account for their military service.
Most of the servicemembers compensated through this settlement received partial compensation through the settlement with Santander, and this agreement requires HSBC to pay $5,500 to each of these servicemembers. HSBC must pay $11,000 to affected servicemembers who did not receive payments from the Santander settlement. HSBC also must repair the credit of all affected servicemembers. An independent settlement administrator will contact servicemembers to be compensated through this settlement in the upcoming months. The independent administrator will locate victims and distribute payments at no cost to the servicemembers.
The department’s enforcement of the SCRA and other fair lending laws is conducted by the Civil Rights Division’s Housing and Civil Enforcement Section. Since 2010, the division has provided over $1.4 billion in monetary relief for individual borrowers and affected communities through its enforcement of the Fair Housing Act, the Equal Credit Opportunity Act and the SCRA.
The SCRA provides protections for active duty servicemembers in areas such as evictions, rental agreements, security deposits, prepaid rent, civil judicial proceedings, installment contracts, credit card interest rates, mortgage interest rates, mortgage foreclosures, automobile leases, life insurance, health insurance and income tax payments. For more information about the department’s SCRA enforcement, please visit www.servicemembers.gov. Servicemembers and their dependents who believe that their rights under SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at legalassistance.law.af.mil/content/locator.php.
HSBC Complaint
HSBC Proposed Consent Order
Jury Convicts Joseph E. Armstrong of Filing A False Tax ReturnRead the Press Release
KNOXVILLE, Tenn. - Following a four-day trial in U.S. District Court, Knoxville, Tenn., on Aug. 8, 2016, a jury convicted Joseph E. Armstrong, 59, of Knoxville, Tenn., of filing a false tax return.
Sentencing is set for 10:00 a.m., on Nov. 30, 2016, in U.S. District Court in Knoxville, Tenn. Armstrong faces a possible sentence of up three years in prison, a term of supervised release of not more than one year, a fine of up to $250,000, a special assessment of $100, and restitution.
According to evidence presented at trial Mr. Armstrong filed his federal income tax returns for the year 2008 and failed to disclose in those returns that he engaged in an investment activity from which he derived over $300,000 in income. Although Armstrong knew that he was required by law to disclose the income of this investment activity, he willfully failed to do so.
Law enforcement agencies participating in the joint investigation which led to indictment and subsequent conviction of Armstrong included the IRS-Criminal Investigation Division and the Federal Bureau of Investigation. Assistant U.S. Attorneys Charles E. Atchley, Jr. and Frank M. Dale, Jr. represented the United States.
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Illinois Woman Pleads Guilty to Stealing Government FundsRead the Press Release
Stolen Federal Tax Refunds Obtained from Fraudulent Income Tax Returns
A River Grove, Illinois, woman pleaded guilty today to stealing more than $93,000 from the United States, announced Principal Deputy Assistant Attorney General Caroline D. Ciraolo, head of the Justice Department’s Tax Division.
According to the plea agreement, Rosa Alverio, 38, admitted that from March 2012 to December 2014, she participated in a scheme to steal money from the United States through the filing of false income tax returns. Alverio deposited into her bank account income tax refunds that she knew were the proceeds of fraudulent tax returns. According to the plea agreement, the fraudulent tax returns were filed in people’s names without their knowledge or consent. Alverio admitted that as part of the scheme she caused 32 fraudulent tax refunds to be deposited into an account that she controlled.
Alverio, along with three codefendants, were charged on June 23, in a 24-count indictment with conspiracy to defraud the Internal Revenue Service (IRS) and theft of public money. Sentencing is scheduled for Nov. 10. Alverio faces a statutory maximum sentence of 10 years in prison, along with a fine of up to $250,000, and three years of supervised release.
Principal Deputy Assistant Attorney General Ciraolo thanked agents of the IRS-Criminal Investigation, who investigated the case and Tax Division Trial Attorneys Ryan R. Raybould and Timothy M. Russo, who are prosecuting the case. Principal Deputy Assistant Attorney General Ciraolo also thanked the U.S. Attorney’s Office for the Northern District of Illinois for their substantial assistance in the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Idaho Man Pleads Guilty to Distribution of Meth Resulting in DeathRead the Press Release
GREAT FALLS – Thomas Joseph Wehner Jr., 40, of Moyie Springs, Idaho, pleaded guilty today to one count of distribution of methamphetamine resulting in death. The charges stemmed from a six-count indictment in February of this year. Wehner appeared before U.S. District Court Judge Brian Morris to enter the guilty plea.
Had the case proceeded to trial, the United States was prepared to prove that on September 22, 2015, deputies in Boundary County, Idaho, responded to a report of a business burglary. The business owner told authorities that chainsaws, gold, numerous firearms, and his truck had been stolen during the preceding night. The business owner told authorities two days later that he had visited Wehner’s home to discuss a business issue and observed a chainsaw he believed to be one of the ones stolen in the partially opened trunk of a car.
On September 30, 2015, Meagher and Broadwater County deputies, along with Montana Highway Patrol Officers, responded to a high speed pursuit between White Sulphur Springs and Townsend. The driver eventually stopped and law enforcement identified the vehicle as belonging to Wehner, although he was not in the vehicle when it was stopped. Through communication with Boundary County deputies, Montana law enforcement determined that the vehicle contained one of the firearms that had been reported stolen, and that Wehner had at one point been in the vehicle.
The morning of October 1, Great Falls police officers were dispatched to a report of a dead male. The deceased victim’s wife told law enforcement that Wehner had shown up at her house the previous evening with several water bottles of what he said was “pure dope.” The defendant and the victim proceeded to drink out of one of the bottles and the victim became agitated and died sometime during the early morning. One of the recovered water bottles was sent to the DEA lab for testing and was determined to contain a half gram of methamphetamine with a purity of 100%. An autopsy revealed that the victim had died after ingesting a lethal amount of methamphetamine.
Almost simultaneously, Judith Basin County deputies responded to a call from a woman in Hobson, Montana. She said that the defendant had shown up at her home that morning driving a rental vehicle. He was behaving erratically and stated that there was a dead body lying on the ground in Great Falls. She later called the authorities again to inform them that Wehner was at a nearby bank. Detectives found him at the bank, and Wehner agreed to accompany them to the police station to be interviewed. In Wehner’s rented vehicle, detectives found hydrocodone pills, a black suitcase with two water bottles and a ziplock bag that contained methamphetamine. Wehner admitted that he had provided the methamphetamine to the victim and had intended to provide him with some of the drug to sell. He also admitted to the Idaho burglary.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Great Falls Police Departments, along with the Drug Enforcement Agency, The Montana Highway Patrol, the Meagher, Broadwater, Judith Basin, and Cascade County Sheriff’s Offices, and the Boundary County, Idaho Sheriff’s Office. The case was prosecuted by Assistant U.S. Attorney Jessica Betley.
Huntington woman and Columbus man plead guilty to Federal heroin chargesRead the Press Release
HUNTINGTON, W.Va. – A Huntington woman and a Columbus man pleaded guilty today to federal drug charges, announced United States Attorney Carol Casto. Rhonda Gail Akers, 52, and Tyshawn Desmeon Davis, 28, each entered guilty pleas to possession with intent to distribute heroin.
On June 29, 2015, law enforcement executed a search warrant at 1751 Buffington Avenue in Huntington after a confidential informant purchased heroin at the residence. Akers and Davis were both located inside the residence during the search. Davis was found in possession of approximately 30 grams of heroin. Agents also seized approximately 35 additional grams of heroin from various locations in the residence. Akers and Davis admitted to law enforcement that they had been involved in distributing heroin from the residence.
Akers and Davis both face up to 20 years in federal prison when they are sentenced on November 7, 2016.
The Huntington FBI Drug Task Force conducted the investigation. Assistant United States Attorney Joseph F. Adams is handling the prosecution. The plea hearings were held before Chief United States District Judge Robert C. Chambers.
This prosecution is part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Huntington man sentenced to four years and nine months in Federal prison for heroin crimeRead the Press Release
HUNTINGTON, W.Va. – A Huntington man who possessed and distributed heroin was sentenced today to four years and nine months in prison for a federal drug charge, announced United States Attorney Carol Casto. Jeremiah Eugene Caldwell, 33, previously pleaded guilty to possession with intent to distribute heroin.
On September 9, 2015, deputies with the Cabell County Sheriff’s Department executed a search warrant at Caldwell’s residence located at 1400 Cedar Crest Drive in Huntington. Deputies recovered approximately 30 grams of heroin, a set of digital scales, and four firearms during the search. Caldwell was present in the residence and was arrested at that time. Caldwell admitted to possessing the drugs and the guns. He further admitted that he had been distributing heroin for a period of approximately six months.
The case was investigated by the Cabell County Sheriff’s Department. Assistant United States Attorney Joseph F. Adams handled the prosecution. Chief United States District Judge Robert C. Chambers imposed the sentence.
This prosecution is part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Heyburn Man Arrested for Drug TraffickingRead the Press Release
POCATELLO – Jesus R. Perez-Martinez, 59, of Heyburn, Idaho, was arrested August 3, 2016, on charges of drug trafficking, U.S. Attorney Wendy J. Olson announced. Perez-Martinez was arraigned on the charges this morning in federal court. A federal indictment was filed in United States District Court on July 26, 2016.
The indictment alleges that three times between June 2015 and February 2016 Perez-Martinez possessed with intent to distribute and did distribute methamphetamine to another person. The indictment also alleges that Perez-Martinez possessed with intent to distribute and did distribute cocaine to another person.
The case is being investigated by the Idaho State Police and the Minidoka-Cassia Counties Drug Task Force.
An indictment is a means of charging a person with criminal activity. It is not evidence. The person is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Healthcare Settlement Announced with Easton HospitalRead the Press Release
PHILADELPHIA - Northampton Hospital Company, LLC d/b/a Easton Hospital (“Easton Hospital”) has agreed to resolve allegations relating to improper billing for inpatient procedures performed at Easton Hospital. Easton Hospital provides inpatient and outpatient healthcare services in Easton, Pennsylvania. The hospital’s services include cardiovascular, orthopedic, oncology, maternal, child health, pediatric, physical therapy rehabilitation, and mental health services. In addition, it offers surgical care, emergency care, occupational and speech therapy, wound healing management, imaging, radiology, home health, hospice, and laboratory services.
According to the United States, from January 1, 2008 through June 27, 2014 Easton Hospital billed inpatient Medicare Part A claims using particular primary diagnosis codes that did not justify admission to an acute care hospital because the codes correspond primarily to long-term, stable conditions. According to the United States, these primary diagnosis codes were used to justify inpatient admissions for routine procedures that should have instead been performed on an outpatient basis. Had these procedures been performed on an outpatient basis, the procedures would have been billed at a lower rate. Easton Hospital has agreed to pay $325,000 to settle the matter.
The matter was investigated by the Department of Health Office of the Inspector General and Human Services and Healthcare Analyst George Niedzwicki of the U.S. Attorney’s Office. The matter was handled by Assistant U.S. Attorney Veronica J. Finkelstein.
The settled civil claims are allegations only. There has been no determination of civil liability, and Easton Hospital denies any such liability.
Fort Hall Man Sentenced for Drug TraffickingRead the Press Release
POCATELLO – Duncan Tendoy, 52, of Fort Hall, Idaho, was sentenced today in United States District Court to 24 months in prison for possession with intent to distribute methamphetamine, U.S. Attorney Wendy J. Olson announced. Chief U.S. District Judge B. Lynn Winmill also ordered Tendoy to serve three years of supervised release. Tendoy pleaded guilty to the charge on April 26, 2016.
On August 9, 2015, an officer with the Fort Hall Police Department was checking a vehicle when he noticed Tendoy leaving the residence of a known drug offender on the Fort Hall Indian Reservation. Officers talked to Tendoy and noticed that he was touching his pockets repeatedly in a suspicious manner. Officers then saw a clear plastic bag in Tendoy’s hand. The bag contained a crystallized substance which Tendoy admitted was methamphetamine. Tendoy admitted that he had just bought the methamphetamine from a person in a nearby residence. He admitted that he possessed the controlled substance intending to later sell and distribute it to someone else. He also admitted that he was in the drug business.
The case was investigated by the Fort Hall Police Department and the Bingham County Sheriff’s Office.
Former President and CEO of Montgomery-Based Steel Company Sentenced to Six Years in Prison for Bankruptcy FraudRead the Press Release
Montgomery, Alabama – Kennon W. Whaley, 51, from Auburn, was sentenced to 72 months in federal prison on August 3, 2016. In May, Whaley was convicted by a federal jury of two counts of concealment of bankruptcy assets while his company, Southeastern Stud & Components, was in Chapter 11 bankruptcy proceedings.
The evidence at trial showed that during the bankruptcy process Whaley redirected a $260,000 insurance payment intended for the company in 2010 to pay off a personal gambling debt. In January of 2010, Mr. Whaley traveled to the Wynn Las Vegas Casino where he incurred a $100,000 gambling debt during a trip of just four days. The evidence also showed that Wynn Las Vegas began to put pressure on Whaley to pay the debt beginning in February of 2010. Casino records from Wynn Las Vegas, and the bank records of the account where the insurance proceeds were deposited, showed that Whaley used the company’s insurance money pay off his gambling debt and to pay himself over $30,000 in cash. None of these transactions were ever disclosed by Whaley to the Bankruptcy Court as required.
The casino records also showed that once his debt was paid off in October of 2010, Whaley made a return trip to Wynn Las Vegas during which he spent over $20,000 at the casino and sent a limousine to pick up his wife at the airport. At that time, Southeastern Stud was still in bankruptcy and approximately 70% of its employees had lost their jobs.
Evidence presented by the U.S. Attorney’s Office at sentencing demonstrated that during the investigation of Whaley’s crimes by the FBI, he obstructed justice by asking his former Chief Financial Officer (CFO) to falsify an affidavit to be submitted to the FBI. The sentencing judge also found that Whaley had directed this same employee to falsify documents that were submitted to the bankruptcy court in order to conceal the diverted insurance proceeds used for his gambling debts.
The case was investigated by the FBI and was prosecuted by Assistant United States Attorneys Brandon Essig and John Geer.
Former Boston Police Officer Charged with Access Device FraudRead the Press Release
BOSTON – A former Boston Police officer pleaded guilty today in connection with purchasing and using gift cards obtained from the return of stolen merchandise.
Eddie Odney, 38, pleaded guilty to one count of access device fraud. U.S. District Court Senior Judge Mark L. Wolf scheduled sentencing for Nov. 3, 2016. Odney has agreed to resign his position as a Boston Police Officer, effective today.
Over the course of over a year and a half, Odney purchased approximately $5,000 worth of gift cards that he believed were obtained from the return of stolen merchandise at stores including T.J. Maxx, Macy’s, and HomeGoods. Odney paid cash for these cards and used them to make over $1,600 in purchases.
The charging statute provides for 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 judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation; and Superintendent Frank Mancini of the Boston Police Department’s Anti-Corruption Division; made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Eugenia M. Carris of Ortiz’s Public Corruption Unit.
Firms That Formerly Owned and Managed Sherman Hills Apartments in Wilkes-Barre Agree to Pay $125,000 to Settle Federal False Claims Act Civil AllegationsRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Sherman Hills Realty LLC and Park Management LLC (collectively referred to as “Sherman Hills Realty”), have agreed to pay $125,000 to resolve allegations that Sherman Hills Realty violated the False Claims Act.
The United States alleges that Sherman Hills Realty failed to provide qualifying tenants with utility reimbursement funds and instead kept the funds. The funds were provided by the United States Department of Housing and Urban Development (HUD) to Sherman Hills Realty to be disbursed to low and no income tenants at the Sherman Hills Apartments in Wilkes-Barre, Pennsylvania.
According to United States Attorney Peter Smith, this settlement agreement resolves allegations that Sherman Hills Realty, which has its headquarters in Brooklyn, New York, was an owner and manager of a multifamily property located at 300 Parkview Circle, Wilkes-Barre, PA (Sherman Hills Apartments) and failed to provide some of the qualifying low and no income tenants at the facility with utility reimbursement funds during the period April 1, 2011 through April 30, 2014.
Pursuant to a Housing Assistance Payments (HAP) contract, Sherman Hills Realty was required to submit to HUD accurate utility reimbursement requests for qualifying low and no income tenants on each of the monthly vouchers submitted to HUD. Pursuant to the HAP contract and HUD policies and regulations, Sherman Hills Realty had an obligation to provide Sherman Hills Apartment tenants with utility assistance payments or credit the funds back to HUD. Sherman Hills Realty was not permitted to retain funds for utility assistance payments if the funds were not provided to the tenants. The purpose of the funds is to assist very low or no income tenants with the provision of basic necessities.
Sherman Hills Apartments was taken over by another company in April 2014.
According to Brad Geary, Special Agent in Charge, U.S. Department of Housing and Urban Development, Office of Inspector General, “This settlement is the latest example of our continued effort to collaborate with the Department of Justice as a means to protect HUD subsidized residents with the greatest financial needs. This agreement could not have occurred without the selfless efforts of prosecutors and investigators, who ensured HUD's program was not compromised at the expense of its tenants."
The case is the result of an investigation by the United States Attorney’s Office for the Middle District of Pennsylvania and the United States Department of Housing and Urban Development, Office of Inspector General. The case was litigated by Assistant United States Attorney Timothy S. Judge.
Tenants and former tenants of Sherman Hills Apartments seeking information concerning utility reimbursement funds that may have been wrongfully withheld by Sherman Hills Realty LLC and/or Park Management LLC should contact the Philadelphia Regional Office of the U.S. Department of Housing and Urban Development, 100 Penn Square East, Philadelphia, PA 19107 at (215) 656-0500.
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Federal Law Enforcement Leaders to Hold Community Open House August 9 and 10 at Boise City LibraryRead the Press Release
BOISE – U.S. Marshal Brian Underwood and U.S. Attorney Wendy Olson will hold two community open house meetings this week at the Boise City Library. Underwood and Olson will be at the Boise City Library, 715 South Capitol Blvd., on Tuesday, August 9 from 1 – 3 p.m. and again on Wednesday, August 10 from 4 – 6 p.m. to meet and visit with persons interested in learning more about federal law enforcement in Idaho.
“We will be available for any question, concern or issue community members would like to talk about,” said Olson. “Frankly, we simply want members of the public, whom we serve, to have a chance to personally visit with their federal law enforcement leaders in Idaho. We recognize that it is not always practical for people to come to our offices.”
“Confidence in government and the enforcement of law is achieved by providing true justice and being sincere in our working relationships with all people,” said Underwood. “In Idaho, the work of our local law enforcement is really amazing to see – and we are proud to work with such great professionals and police leadership. Like our local law enforcement partners, we want to ensure that we are doing our part in community policing and relationship building.”
Underwood and Olson were both appointed to their positions in 2010 by the President. They serve the entire state of Idaho, which is a single federal judicial district.
Federal Jury Convicts Fort Worth Woman Who Ran House Cleaning Service on Forced Labor and Harboring Illegal Alien ChargesRead the Press Release
FORT WORTH, Texas — Following a one-week trial in Fort Worth, Texas, before U.S. District Judge Reed C. O’Connor, a federal jury has convicted Olga Sandra Murra, 64, of Fort Worth, on all four counts of an indictment charging federal felony offenses related to her harboring two women she illegally brought into the U.S. from Mexico and forcing them, with threat of serious harm and physical restraint, to work for her without pay. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.
Specifically, late Friday afternoon, the jury convicted Murra, a/k/a “Olga Sandra Capon-Meneses,” on two counts of forced labor and two counts of harboring an illegal alien. Each forced labor count carries a maximum statutory penalty of 20 years in federal prison and a $250,000 fine. Each harboring count carries a maximum statutory penalty of 10 years in federal prison and a $250,000 fine. Following the verdict, Judge O’Connor remanded Murra into custody. Sentencing is set for November 28, 2016.
The government presented evidence at trial that from her birth in 1952 to 1997, Murra lived in Mexico. In 1997, Murra, her immediate family, and several other individuals she brought with her, including V.R., an adult female in her 30’s, moved to El Paso, Texas, and then later to Fort Worth. In 1998, Murra arranged for I.G., an adult female in her 20’s, to be transported into the U.S. Both V.R. and I.G. are Mexican citizens and both entered and remained in the U.S. illegally.
From September 1997 to April 29, 2011, Murra kept one or both of the women at her various residences in El Paso and Fort Worth and maintained possession of their identification documents.
In both El Paso and Fort Worth, Murra operated a house-cleaning business. She directed both V.R. and I.G. to work for her business, and both cleaned three to four homes per day up to seven days per week. In addition, the women cleaned Murra’s residence and prepared meals for her. Murra, however, did not pay either woman for this work. In fact, Murra required the two women give her all of the money they earned cleaning houses.
Murra represented herself to the women as the voice of God on earth, and required them to listen to religious recordings of Murra reading Bible verses and discussing their meaning while they cleaned homes. She caused both women to believe they would go to hell if they did not obey her. Murra threatened at least one of the women that if she disobeyed her, she would contact immigration and the woman would be buried in a field with other illegal aliens. Murra also struck at least one of the women.
Murra also restricted the women’s freedom within her house, requiring at times they ask for permission to go to the bathroom. Murra also prohibited them from talking to other individuals living at the residence. Generally, the women slept on the floor of a bedroom in the residence, but when she punished them, Murra required them to sleep in the garage, laundry room or backyard and restricted their food to bread and water.
In 2001, Murra provided I.G. with false identification documents and directed I.G. to work at McDonald’s and Walmart, in addition to working for her house-cleaning business. I.G. worked for approximately one year at McDonald’s in 2001 and at Walmart for approximately six months in 2003. Murra required I.G. to give all the checks she received to her, not allowing I.G. to keep any of the money she earned.
The case was investigated by U.S. Immigration and Customs Enforcement Homeland Security Investigations (ICE HSI). Special Assistant U.S. Attorney Michelle Allen-McCoy and Assistant U.S. Attorney Andrew Wirmani are in charge of the prosecution.
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Department of Justice Expands Services for Crime VictimsRead the Press Release
New Federal Rule Helps States Plan for Historic Funding Increases
The Department of Justice today published a final rule expanding the ability of victim serving agencies and organizations across the nation to reach and serve more crime victims at a time of substantial increases in victim assistance funding. Victims of Crime Act (VOCA) funding directed to the states for victim assistance has more than quadrupled in the last two fiscal years.
“Supporting the victims of crime is as essential to the pursuit of justice as making arrests and prosecuting cases,” said Attorney General Loretta E. Lynch. “This new rule significantly expands state and local agencies’ ability to reach survivors of a wide range of crimes, to help them recover from their ordeals, and to empower them to secure a brighter future for themselves and their loved ones. I want to thank Congress for their outstanding commitment to the rights and well-being of victims, and I pledge that the Department of Justice will continue to do everything in our power to promote healing, restore lives, and secure meaningful justice for every American affected by crime.”
Federal funding for state victim assistance programs comes from the Crime Victims Fund, a repository of federal criminal fines, forfeitures and special assessments. This fund does not include tax dollars. The states, in turn, provide sub-grants to local public agencies and community service providers that help individuals, families and communities recover from both the initial trauma and the long-term effects of victimization.
Congress raised the appropriations level of the Crime Victims Fund from $745 million in fiscal year 2014 to more than $2.3 billion in fiscal year 2015, effectively quadrupling the amount available for crime victim assistance programs. Congress raised the cap again to more than $3 billion in fiscal year 2016.
The Victim of Crime Act (VOCA) Formula Victim Assistance Grant Program rule—clarifies and expands support for a continuum of services to crime victims, including:
- comprehensive legal assistance, including victims’ rights enforcement and civil legal assistance related to the victimization;
- transitional housing for victims of domestic violence, human trafficking and other crimes and expanded coverage of relocation expenses;
- forensic interviewing and some medical expenses;
- volunteer trainings, including support for Court Appointed Special Advocates; and
- victim-centered restorative justice.
The rule also emphasizes that programs that serve victims of elder abuse, human trafficking, financial fraud and other crimes are eligible for VOCA funding, and removes language that prevented VOCA funding from supporting services to victims in detention and correctional facilities. The rule defines the statutory term victim of child abuse, to make clear that the term covers a broad array of harm inflicted on children and includes children who witness violence or who are victims of pornography.
The rule, which replaces the VOCA Victim Assistance Final Program Guidelines, is effective today following a 30 day period for public notice and comment after publication in the Federal Register. Recipients of VOCA Assistance grant funds from the Office for Victims of Crime must comply with the rule after the effective date. For more information, click here.
Defendant Pleads Guilty to Involuntary Manslaughter in Shooting Death at Fort RileyRead the Press Release
TOPEKA, KAN. – A 19-year-old defendant pleaded guilty Monday to a charge of involuntary manslaughter in the shooting death of a 16-year-old boy on Fort Riley, Acting U.S. Attorney Tom Beall said.
Juwuan D. Jackson, 19, who lived on the Fort Riley base at the time, pleaded guilty to one count of involuntary manslaughter. He admitted that on Sept. 11, 2015, he handled a firearm in a reckless manner, resulting in the shooting death of 16-year-old Kenyon Givens, Jr., who also lived on Fort Riley.
At Monday’s hearing, prosecutors said when military police responded to the shooting Jackson told them an unknown intruder wearing a mask had forced his way into the home and shot Givens. Paramedics were not allowed to enter and treat Givens until military police had searched the house for an intruder. At the same time, police began searching the neighborhood to find the weapon and the masked shooter.
Investigators eventually learned that Jackson had been playing with a loaded .22 caliber handgun before the shooting. Jackson spun the chamber while holding the trigger. The revolver discharged and a bullet struck Givens in the chest.
Sentencing is set for Jan. 11. Jackson faces a maximum penalty of eight years in federal prison. Beall commended the Army Criminal Investigations Division and the FBI, Special Assistant U.S. Attorney Robin Graham and Assistant U.S. Attorney Tony Mattivi for their work on the case.
Dallas Armed Carjackers Sentenced to Lengthy Federal Prison TermsRead the Press Release
DALLAS — Two Dallas residents who pleaded guilty to federal felony offenses stemming from their armed carjacking of two victims in Dallas in January 2015 have been sentenced to lengthy prison sentences, announced U.S. Attorney John Parker of the Northern District of Texas.
Monica Renee Metcalf, 24, was sentenced today by U.S. District Judge Sam A. Lindsay to serve a total of 176 months in federal prison. She pleaded guilty in November 2015 to one count of carjacking and aiding and abetting and one count of using, carrying, and brandishing a firearm in furtherance of a crime of violence and aiding and abetting.
Her then-boyfriend, co-defendant Felipe Pinon, 28, who pleaded guilty to the same offenses, was sentenced by Judge Lindsay in April 2016 to serve 360 months in federal prison.
According to documents filed in the case, on January 18, 2015, Metcalf approached an individual (Victim 1) at a gas station near the 3300 block of Webb Chapel Extension in Dallas and asked Victim 1 for a ride. Metcalf directed Victim 1 to drive her to an apartment complex across the street, and when they arrived there, Pinon approached the vehicle and spoke with Metcalf. Metcalf then asked Victim 1 to give Pinon a ride as well, but Victim 1 refused. Pinon then brandished a handgun and pointed it at Victim 1 and demanded that Victim 1 give him everything he had. Pinon and Metcalf ordered Victim 1 out of the vehicle and drove away in it.
The next day, Metcalf approached and briefly spoke with an individual (Victim 2) who was seated in his vehicle near the 300 block of S. Seagoville Road in Dallas. As Metcalf walked away from Victim 2, Pinon approached Victim 2. Pinon brandished a handgun and ordered Victim 2 to get out of the vehicle. Then, Pinon, Metcalf, and another individual drove away in Victim 2’s vehicle.
The Dallas Police Department and the Federal Bureau of Investigation conducted the investigation. Deputy Criminal Chief Assistant U.S. Attorney Gary Tromblay and Assistant U.S. Attorney Brian Poe prosecuted the case.
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Craigslist Seller Sentenced for Five Armed RobberiesRead the Press Release
ATLANTA - Lavunte Collins has been sentenced on five counts of armed robbery and one count of brandishing a firearm in furtherance of a crime of violence in connection with his robbery of a string of victims that he lured through Craigslist.
“This case highlights the dangers of meeting strangers for commercial transactions of any kind,” said U.S. Attorney John A. Horn. “The victims only expected to purchase electronic devices, but may now suffer from the trauma of these encounters for years. To avoid becoming a victim of these crimes, we urge members of the public to arrange meetings with online vendors in public places, such as local police departments.”
“Today’s sentence is another reminder that ATF and our law enforcement partners will hold individuals accountable for any criminal behavior, especially that which threatens the safety of innocent civilians,” said ATF Assistant Special Agent in Charge John Schmidt.
According to U.S. Attorney Horn, the charges, and other information presented in court: Between May 6, 2013, and May 20, 2013, Collins robbed five sets of victims of their phones, wallets, and cash after arranging to meet the victims through Craigslist. In each case the victims arranged to meet Collins to buy an iPhone and recounted a similar story to law enforcement. Specifically, they contacted a Craigslist vendor offering iPhones and other devices for sale. The vendor directed the victims to meet at a residence and upon their arrival at the agreed upon location, Collins entered, or attempted to enter, the victims’ car. Collins then robbed the victims at gunpoint and fled on foot.
All five robberies also occurred within a two-mile radius of Collins’ residence in Stone Mountain, Georgia. During one of the incidents, the buyer-victim’s wife and young child were inside the car as the robbery happened, increasing the victims’ trauma.
Lavunte Collins, 23, of Stone Mountain, Georgia, was sentenced by U.S. District Chief Judge Thomas W. Thrash Jr., to 13 years and six months in prison to be followed by five years of supervised release, and ordered him to pay restitution to the victims. The defendant was convicted on these charges on May 25, 2016, after he pleaded guilty. Collins is currently serving a five-year state sentence for an unrelated robbery.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) with the assistance of the DeKalb County Police Department.
Assistant U.S. Attorneys Jessica C. Morris and Kim Dammers prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Charleston man caught with over a kilogram of meth pleads guilty to Federal drug crimeRead the Press Release
HUNTINGTON, W.Va. – A Charleston man caught with a significant amount of methamphetamine pleaded guilty today to a federal drug charge, announced United States Attorney Carol Casto. Craig Jason Hundley, 40, entered his guilty plea to possession with intent to distribute methamphetamine.
Hundley admitted that on April 4, 2016, he was stopped on Interstate 64 in Cabell County by a member of the West Virginia State Police. A K-9 named Feera utilized by the West Virginia State Police performed an exterior sniff of Hundley’s car and indicated that drugs were present. When law enforcement searched the car, they found approximately 1,065 grams of methamphetamine concealed in the trunk.
Hundley faces up to 20 years in federal prison when he is sentenced on November 7, 2016.
The case against Hundley was investigated by the West Virginia State Police and the United States Drug Enforcement Administration. Assistant United States Attorney Timothy D. Boggess is in charge of the prosecution. The plea hearing was held before Chief United States District Judge Robert C. Chambers.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of illegal drugs, including methamphetamine. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down pill trafficking, eliminating open air drug markets, and curtailing the spread of illegal drugs in communities across the Southern District.
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Chambers County Woman Sentenced for Federal Income Tax ViolationsRead the Press Release
BEAUMONT, Texas – A 43-year-old Hankamer, Texas woman has been sentenced to federal prison for income tax violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Holly D. Kirkwood pleaded guilty on Feb. 11, 2016 to filing a false income tax return and was sentenced to 30 months in federal prison today by U.S. District Judge Marcia A. Crone. Kirkwood was also ordered to pay restitution in the amount of $474,532 in back taxes.
According to information presented in court, beginning around January 2008 and continuing to 2011, Kirkwood was the office manager and bookkeeper for Rustbusters, a painting and sandblasting corporation, based in Humble, Texas. As part of her job responsibilities Kirkwood submitted forms to Employers One Source Group (EOSG), an employee staff leasing and payroll company, for reimbursement of expenses incurred by employees of Rustbusters. EOSG prepared and issued reimbursement checks to employees for expenses incurred by the employees of Rustbusters. In 2008, Kirkwood began submitting reimbursement forms to EOSG for the purchase of sand and grit purportedly made by her and used by the company in its operations, when in fact no such purchases had been made. This fraudulent reimbursement scheme continued through early 2011during which she received numerous reimbursement checks totaling $567,332.00 in 2008, $713,474.00 in 2009, and $671,014.00 in 2010. Because of the large increase in Rustbuster’s business during peak oil drilling years the excess reimbursements were not discovered until a forensic audit was conducted by a CPA firm. Kirkwood failed to report on her individual income tax returns for 2008 -2010 the additional unauthorized reimbursements monies received during those years instead reporting only her normal W-2 wages. Her tax returns were prepared in Orange, Texas. The additional tax due and owing is $249,766 in 2009, $219,971 in 2010, and $4,796 in 2011, totaling $474,532.
“The defendant stole hundreds of thousands of dollars from her employer and failed to report the proceeds on her tax return and she is now going to pay the price,” said Rick Goss, Special Agent in Charge, IRS-Criminal Investigation-Houston Field Office. “Even stolen money is taxable and greed of this nature can’t go unpunished.”
This case was investigated by the Internal Revenue Service, Criminal Investigations Division and prosecuted by Assistant U.S. Attorney Robert L. Rawls.
Caddo Parish man sentenced to 65 months in prison for distributing methamphetamineRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a Belcher man was sentenced to five years and five months in prison for distributing methamphetamine in northwest Louisiana.
Norman Phillip Mitchell, 43, of Belcher, La., was sentenced by U.S. District Judge Elizabeth E. Foote on one count of distribution of methamphetamine. He was also sentenced to four years of supervised release. According to the April 14, 2016 guilty plea, during the course of the investigation, methamphetamine was purchased from the defendant in April and May of 2015 in Caddo and Bossier parishes. Approximately 27.4 grams of methamphetamine on April 15, 2015 and 26.5 grams on May 7, 2015 was purchased from Mitchell.
The DEA and the Tri-Parish Drug Task Force conducted the investigation. Assistant U.S. Attorney Brandon B. Brown prosecuted the case.