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19 July 2016
Louisville Dentist Sentenced to 78 Months in Prison for Possession and Attempted Receipt of Child PornographyRead the Press Release
LOUISVILLE, Ky. – A Louisville, Kentucky, dentist was sentenced to 78 months in prison, followed by ten years of supervised release, today in United States District Court by Senior District Judge Charles R. Simpson III, for attempting to receive child pornography and possession of child pornography that had been transported by computer, announced United States Attorney John E. Kuhn, Jr.
Gregory Witte, age 55, was charged in a four count grand jury indictment on July 7, 2015, and pleaded guilty to two of the counts on March 29, 2016. The United States agreed to dismiss the remaining two counts today during sentencing.
According to the plea agreement, using a peer-2-peer program, Kentucky State Police downloaded child pornography on November 5, 2014 and December 11, 2014, from an IP address traced to Greg Witte’s residence in Louisville. On January 7, 2015, a state search warrant was executed on Witte’s residence. At that time, officers observed Witte’s computer actively downloading files from the internet with filenames indicative of child pornography. An onsite preview of Witte’s electronic devices revealed several files of child pornography. A forensic review of Witte’s electronic devices revealed that he possessed 91 image files and 21 video files of child pornography. The forensic review also revealed several search terms indicative of child pornography.
Witte faced a minimum sentence of five years in prison. As part of the plea agreement, Witte forfeited real and personal property used in the commission of the offenses including $40,000 in lieu of real property located on Happiness Way, in Louisville and computer equipment.
Assistant United States Attorney A. Spencer McKiness prosecuted this case. Kentucky State Police and Homeland Security Investigations conducted the investigation.
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This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Local Man Sentenced on Firearms ChargeRead the Press Release
CORPUS CHRISTI, Texas - A local man has been ordered to federal prison following his conviction of being a felon in possession of a firearm, announced U.S. Attorney Kenneth Magidson. A federal jury convicted Eligio San Miguel Mendez, 26, of Corpus Christi, on March 14, 2016.
Today, Senior U.S. District Judge John D. Rainey sentenced Mendez to 84 months imprisonment to be followed by three years of supervised release. At the hearing, the court heard from an agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) who reported that while in custody, Mendez stated he planned to get another gun upon his release. In handing down the sentence, Judge Rainey stated that after hearing the testimony of the agent, he was “very concerned for the lack of respect for law enforcement.”
In February 2015, law enforcement officers executed a search warrant at the Corpus Christi residence of Mendez. During the search, officers discovered a stolen Glock 9mm semi-automatic pistol which was loaded with a 30-round extended magazine and several additional rounds of ammunition. Mendez, who has a previous federal firearms felony conviction, is prohibited from possessing firearms and ammunition.
Mendez was arrested and taken into federal custody in June 2015 as part of Operation Rusty Hook, a coordinated effort by federal, state and local law enforcement to identify violent offenders, stop gun violence and protect the community.
Mendez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
ATF and the Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Lance Watt is prosecuting the case.
Local Business Charged with Dispensing Misbranded DrugsRead the Press Release
Contact Person: Bill Watkins (864) 282-2100, Jennifer Aldrich (803) 929-3000
Columbia, South Carolina -----Acting U.S. Attorney Beth Drake stated today that Neurology Associates of Greenville, South Carolina was charged in a 1-count Information with dispensing misbranded drugs, a violation of Title 21, United States Code, Section 331(c). Neurology Associates faces a maximum fine of $1,000 and a special assessment of $25. The case was investigated by agents of the Federal Bureau of Investigations and the Food and Drug Administration of the Health and Human Services and is assigned to Assistant United States Attorney William J. Watkins, Jr. of the Greenville office for prosecution.
The United States also settled with Neurology Associates of Greenville claims under the civil False Claim Act for $300,000. The False Claim Act allows the government to recover actual damages and penalties of three times the actual damages and up to $11,000 per false claim. This settlement includes repayment of actual damages and penalties.
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Livingston Parish Counterfeiters Sentenced to Federal PrisonRead the Press Release
BATON ROUGE, LA – United States Attorney Walt Green announced that yesterday United States District Judge John W. deGravelles sentenced two Livingston Parish residents to federal prison after being convicted of conspiring to counterfeit currency.
On April 26, 2016, PHILIP SLAY, age 28, of Denham Springs, Louisiana, was sentenced to a 40-month term of imprisonment, followed by a 3-year term of supervised release. On July 13, 2016, BRANDI ROBINSON, age 29, of Livingston, Louisiana, was sentenced to a 15-month term of imprisonment, followed by a 3-year term of supervised release.
U.S. Attorney Green stated: “Counterfeiting is not a victimless crime. My office will continue to work with the U.S. Secret Service and our other federal, state, and local partners to help ensure that we protect citizens and businesses from criminals who circulate counterfeit money in our community.”
Secret Service Agent-In-Charge Luis Velez stated: “The U.S. Secret Service remains committed to suppressing the counterfeiting of U.S. currency and will continue to pursue anyone who violates the faith and trust citizens have in our financial infrastructure”
This matter has been investigated by the United States Secret Service with substantial assistance from the Denham Springs Police Department. It is being prosecuted by Assistant United States Attorney Jessica M.P. Thornhill.
Lincoln Man Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Deborah R. Gilg announced that on July 19, 2016, Zachary Joseph Love, 33, of Lincoln, was sentenced to 12 years in prison, (144 months), upon his conviction for conspiracy to distribute 50 grams or more of a mixture or substance containing methamphetamine between December of 2013 and January of 2015. Information provided to law enforcement indicated that Love was responsible for the distribution of at least 1.5 kilograms (approximately three pounds) of methamphetamine. Following the prison term, Lewis will serve five years on supervised release.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Lancaster Man Charged in Straw Purchase of FirearmRead the Press Release
Defendant Wilson Bonilla Soliveras, 34 years old, of the City of Lancaster, Pennsylvania, was charged today by Indictment with making a false statement to a federal firearms licensee in the acquisition of a semi-automatic pistol for another person, announced United States Attorney Zane David Memeger.
The indictment1 alleges that on March 4, 2016, defendant Soliveras straw purchased a .40 caliber semi-automatic pistol for another person, who was a convicted felon and therefore prohibited from buying firearms. In making the straw purchase, the indictment alleges, Soliveras falsified a record required to be maintained by the federally licensed firearm dealer, falsely certifying, after being warned that doing so was a crime punishable as a felony under federal law, that Soliveras was the actual buyer of the pistol when he knew that he was buying it for the other person. The indictment alleges that on April 1, 2016, the City of Lancaster Police Department recovered the pistol, which was then loaded with one live round of ammunition in the firing chamber and 14 additional live rounds of ammunition in the magazine, from the actual buyer. After the pistol’s seizure, the indictment alleges, defendant Soliveras falsely reported to police that it had previously been stolen from him. If convicted the defendant faces a maximum possible sentence of 5 years’ imprisonment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, the City of Lancaster Police Department, and the Lancaster County District Attorney’s Office and is being prosecuted by Assistant United States Attorney Eric B. Henson.
1An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Koch Industries Executive to Keynote U.S. Attorney’s Fair Chance Hiring ConferenceRead the Press Release
BIRMINGHAM – Mark V. Holden, senior vice president and general counsel of Koch Industries, will be the keynote speaker Wednesday at a conference sponsored by the U.S. Attorney’s Office for the Northern District of Alabama focused on reentry and fair chance employment issues for people returning to society from prison.
Koch Industries is nationally recognized for its leadership and advocacy to remove barriers to employment for people who have had a criminal conviction or arrest. Koch Industries reports that it directly employs 60,000 people nationally, about 2,600 of them in Alabama.
The Alabama Fair Chance Employment Summit is Wednesday from 9 a.m. to 11 a.m. in the Steiner Auditorium at the Birmingham Museum of Art, 2000 Reverend Abraham Woods Jr. Boulevard. Holden is considered a national leader in reentry reform and fair chance employment practices.
“In Alabama and across the country, leaders from the public and private sector are collaborating to break the cycle of crime by promoting employment and community support for those who have committed crimes, served their sentences and paid their debts to society,” Vance said. “Often, collateral consequences that result from an arrest or conviction affect an individual’s ability to find employment long after the completion of any court-imposed sentence. We can prevent crime and make our community safer by making it possible for people to find jobs,” she said. “Mr. Holden’s experience with gainfully employing ex-offenders should provide great insight for our community.”
For more information on the event, contact Jeremy Sherer at (205) 244-2001 or [email protected].
Jury Convicts Jefferson City Man of Illegal FirearmRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Jefferson City, Mo., man has been convicted by a federal jury of illegally possessing a firearm.
Charles Allen Roark, 37, of Jefferson City, was found guilty of being a felon in possession of a firearm by a federal jury in Jefferson City on Monday, July 18, 2016.
Evidence introduced during the trial indicated that Roark was in possession of a Smith and Wesson .40-caliber pistol on July 18, 2015.
On that date, Jefferson City police officers activated their emergency lights to pull over Roark for having expired license plates. Roark, however, refused to stop and continued driving to the 300 block of Washington Street, where he pulled into a parking lot, got out of his vehicle and fled on foot. Officers pursued Roark on foot. During the pursuit, Roark pulled a pistol from his waistband and threw it on the ground. Roark scaled a fence and continued to flee.
An officer was able to grab Roark and take him to the ground. Roark continued to resist, but officers were able to gain control. During the pursuit, one of the officers broke his ankle. Officers found the loaded pistol lying on the ground during a search of the area. Roark was in possession of $20,131, of which $8,151 was recovered from underneath the soles of his shoes.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Roark has prior federal felony convictions for distributing controlled substances and being a felon in possession of a firearm. Roark also has two prior state felony convictions for possession of controlled substances, two prior state felony convictions for assault, and prior state felony convictions for driving while intoxicated and unlawful use of a weapon.
Following the presentation of evidence, the jury in the U.S. District Court in Jefferson City, Mo., deliberated for two hours before returning the guilty verdicts to U.S. District Judge Stephen R. Bough, ending a trial that began the same day.
Under federal statutes, Roark is subject to a sentence of up to 10 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Jim Lynn. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson City, Mo., Police Department.
Jury Convicts Houston Registered Nurse in $8 Million Medicare Fraud SchemeRead the Press Release
A registered nurse was convicted today by a federal jury in the Southern District of Texas for participating in an $8 million Medicare fraud scheme involving fraudulent claims for home-health services.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Kenneth Magidson of the Southern District of Texas, Special Agent in Charge Perrye K. Turner of the FBI’s Houston Field Office, Special Agent in Charge C.J. Porter of the Department of Health and Human Services-Office of the Inspector General (HHS-OIG) Houston Regional Office and the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) made the announcement.
Ann Anyanwu, 53, of Harris County, Texas, was convicted of three counts of a scheme to defraud Medicare following a jury trial before U.S. District Judge Alfred H. Bennett of the Southern District of Texas. Anyanwu is scheduled to be sentenced on Sept. 8, 2016.
According to the evidence presented at trial, from January 2012 through June 2015, Anyanwu and others executed a scheme to submit through Medpsych Home Health Care (Medpsych) approximately $8 million in false and fraudulent claims for home-health services to Medicare. The evidence showed that beneficiaries for whom Medpsych billed Medicare did not receive home-health services, and many did not qualify for home-health services.
In addition, the evidence showed that Anyanwu created false medical records for nursing services – treatment that she never provided – and falsified other records of Medpsych to make it appear as if she provided nursing services when, in fact, she did not.
To date, two others have been charged for their roles in the scheme. Precious Deshield, the former owner, director of nursing and administrator of Medpsych, pleaded guilty to conspiracy to commit healthcare fraud for her role in the scheme. Roland Johnson, the owner and operator of Medpsych, also pleaded guilty to conspiracy to commit healthcare fraud. Deshield and Johnson currently await sentencing before Judge Bennett.
The FBI, HHS-OIG and Texas MFCU investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office of the Southern District of Texas. Trial Attorneys William S.W. Chang and Scott P. Armstrong of the Criminal Division’s Fraud Section are prosecuting the case.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 2,900 defendants who have collectively billed the Medicare program for more than $8.9 billion. In addition, HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, is taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to www.stopmedicarefraud.gov.
Joplin Man Pleads Guilty to Child Sexual ExploitationRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Joplin, Mo., man pleaded guilty in federal court today during the second day of his trial for the sexual exploitation of two child victims.
James Hajny, 51, of Joplin, entered a plea of no contest before U.S. District Judge M. Douglas Harpool to two counts of using minors to produce child pornography, one count of receiving and distributing child pornography over the Internet and one count of possessing child pornography.
His wife, Gina Hajny, 41, of Joplin, pleaded guilty to possessing child pornography and was sentenced on March 1, 2016, to five years in federal prison without parole. Gina Hajny admitted that she occasionally used her husband’s laptop and saw images of child pornography. Gina Hajny admitted that even though she knew the laptop contained images of child pornography, she did not report the matter to law enforcement.
On Jan. 17, 2014, federal law enforcement agents received a CyberTip from the National Center for Missing and Exploited Children regarding an e-mail that contained child pornography. The e-mail included a pornographic image of a 7-year-old victim, identified in the indictment as Jane Doe #2.
On May 14, 2014, federal law enforcement agents received a referral from the Queensland, Australia, Police Service regarding a user – later identified as James Hajny – uploading child pornography to a Russian-hosted Web site that allows users to store and share images. Among the images of child pornography were seven photos of a 9-year-old victim, identified in the indictment as Jane Doe #1. Hajny’s user information for the Web site stated, “I am into younger girls and boys ages 8-13 also into taboo.”
Agents executed a search warrant at Hajny’s residence on May 16, 2014. Gina and James Hajny refused to allow officers to enter, attempting to slam the door shut. Officers were able to push the door open and enter the home. James Hajny was patted down for officer safety and a marijuana pipe was located in his front left pocket. James Hajny was placed under arrest for possession of drug paraphernalia.
Investigators examined a laptop computer seized from the residence and located 124 video files containing child pornography and 2,110 images of child pornography. Investigators also discovered numerous images of child pornography on James Hajny’s cell phone, as well as messages regarding the sexual abuse of children. Investigators also located numerous images containing child pornography of Jane Doe #1, Jane Doe #2, and John Doe (an 11-year-old male victim) on James Hajny’s laptop and cell phone.
Under federal statutes, Hajny is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 30 years in prison, on each of the two child exploitation counts; a mandatory minimum sentence of five years in federal prison without parole, up to 20 years in federal prison, for receiving and distributing child pornography; and a sentence of up to 10 years in federal prison without parole for possessing child pornography. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Ami Harshad Miller and James J. Kelleher. It was investigated by the FBI, Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Southwest Missouri Cyber Crimes Task Force and the Joplin, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Jamestown Man Pleads Guilty to Transmitting Threatening CommunicationRead 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 Michael Bush, 45, of Jamestown, NY, pleaded guilty before Chief U.S. District Court Judge Frank P. Geraci to transmitting communications containing threats to injure the person of another. The charge carries a maximum of five years in prison, a fine of $250,000 or both.
Assistant U.S. Attorney Brendan T. Cullinane, who is handling the case, stated that on January 2, 2015, and again on February 26, 2016, Bush, a former Jamestown Police Officer, posted threats on Topix.com. The posts contained threats against Jamestown area law enforcement officers.
The plea is the culmination of an investigation by the Jamestown Police Department, under the direction of Chief Harry Snellings, and the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen.
Sentencing is scheduled for September 29, 2016, at 2:30 p.m. before Judge Geraci.
Individual Found Guilty by A Jury of Four Carjackings and MurderRead the Press Release
SAN JUAN, P.R. – Today, Carmelo Velázquez-Aponte a.k.a. “Boty,” was found guilty of four carjackings, carrying a firearm during and in relation to a crime of violence (carjacking), and possession of a stolen firearm, announced United States Attorney Rosa Emilia Rodríguez-Vélez. United States Senior Judge Daniel Dominguez presided over the trial.
On July 6, 2011, a federal grand jury returned an indictment charging Velázquez-Aponte with four counts of carjacking, one including the murder of Richardson Mieses-Pimentel, four counts of using and carrying a firearm during and in relation to a crime of violence, and two counts of possession of a stolen firearm.
During the 14-day trial, the government presented pictures and witness’ testimony that narrated the criminal incidents of carjacking and robbery that the defendant perpetrated against innocent victims. According to the testimony on June 18, 2011, the defendant stole the licensed firearm belonging to Richardson Mieses-Pimental and his vehicle, and then executed him. After that event, Velázquez-Aponte committed other carjackings. During his attempt to escape his arrest on June 20, 2011, he also stole a police officer’s gun and shot a Police officer. The defendant also stole a police cruiser and engaged in two other shootouts with police officers, until he was arrested. The defendant fired the stolen weapons at the police officers.
“I commend the victims who came forward in order to seek justice and hope that this conviction will help them find some closure,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “I commend the FBI, the Carolina Municipal Police and the Puerto Rico Police Department for their excellent work in bringing this defendant to justice. We will continue to work diligently to prosecute violent criminals to the fullest extent of the law.”
The case was prosecuted by Assistant United States Attorneys Edward Veronda and Aaron Howell. The defendant faces a maximum penalty of life in prison. The sentencing hearing is scheduled for November 18, 2016 at 10:00 am.
Harford County Cocaine Dealer Sentenced to over 12 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Mardell Abrams, age 35, of Havre de Grace, Maryland, today to 150 months in federal prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine. Judge Russell also ordered Abrams to forfeit $225,460 seized during the investigation.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Harford County Sheriff Jeffrey R. Gahler; Chief Henry Trabert of the Aberdeen Police Department; Bel Air Police Chief Charles Moore; Chief Teresa Walter of the Havre de Grace Police Department; and Harford County State’s Attorney Joseph I. Cassilly.
According to his plea agreement, as part of an investigation into cocaine trafficking, the Harford County Task Force intercepted cellular telephone calls and text messages from members of a drug trafficking organization operating in Harford County. Based on the intercepted calls and texts, Mardell Abrams was identified as a member of the organization, which according to court documents and findings by Judge Russell at today’s hearing, distributed significant amounts of cocaine and heroin.
For example on August 26, 2014, investigators intercepted a series of text messages between Abrams and co-conspirator Eric Maurice Clanton, in which they discussed arranging for a re-supply of cocaine from Philadelphia, Pennsylvania, and using a courier for the organization to make the trip. Abrams and Clanton also discussed which source of supply to use. Investigators determined that Abrams not only financed the purchase of multiple kilograms of cocaine, but also arranged to lease rental vehicles which were used by couriers to transport cocaine from the Philadelphia area to Maryland.
On October 6, 2014, it was learned that Clanton and a courier were again traveling to Philadelphia to meet the same source of supply, in a vehicle leased by Abrams. The vehicle was stopped on its return to Maryland and a search of the vehicle recovered approximately 1.25 kilograms of cocaine. In addition, Abrams was seen traveling to a storage locker in Harford County on multiple occasions. A subsequent search of the storage locker recovered approximately $220,000 in cash, which had been heat-sealed and labelled with numbers, and a kilogram press.
During his participation in the conspiracy, Abrams admitted that he was responsible for the distribution of at least five kilograms of cocaine.
Eric Maurice Clanton, age 36, of Edgewood, Maryland, previously pleaded guilty to his role in the drug distribution conspiracy and was sentenced to 10 years in prison. Donald Lee Cox, age 42, of Aberdeen, Maryland, and Travius Edwin Gregory, age 30, of Edgewood, also pleaded guilty to federal drug charges and were sentenced to two years and five years in federal prison, respectively.
United States Attorney Rod J. Rosenstein praised DEA and the Harford County Task Force, comprised of members of the Harford County Sheriff's Office, Maryland State Police, Aberdeen Police Department, Bel Air Police Department, Havre de Grace Police Department and the Harford County States Attorney’s Office. Mr. Rosenstein thanked Assistant U.S. Attorney Christopher J. Romano, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Franklin County Man Sentenced to 20 Years in Federal Prison for Production of Child PornographyRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Martin Allen Mentzer, age 44, Franklin County, was sentenced to 20 years (240 months) in federal prison by United States District Court Judge Sylvia H. Rambo in Harrisburg for production of child pornography.
According to United States Attorney Peter Smith, a grand jury indicted Mentzer in August 2015 for producing, distributing and possessing child pornography. The production occurred in his home by using a 13 year old boy to engage in sexually explicit conduct for the purpose of producing the visual depictions of the activity. The conduct took place during a period beginning in October 2014.
Additionally, Judge Rambo ordered Mentzer to pay $1,000 restitution and be placed on 15 years supervised release following his imprisonment.
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Daryl F. Bloom.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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Former Kauai Police Department Lieutenant Pleads Guilty to Federal Theft OffenseRead the Press Release
HONOLULU -- Karen M. Kapua, 53, formerly a lieutenant of the Kauai Police Department, pled guilty today in federal court to one count of stealing $25,000 belonging to the County of Kauai. The theft constituted a violation of federal law because the County of Kauai received federal grants of more than $10,000 annually, including grants from the United States Drug Enforcement Administration.
Florence T. Nakakuni, United States Attorney for the District of Hawaii, said that according to information produced to the court, Kapua admitted cashing a $25,000 check on December 5, 2014, made payable to her by the County of Kauai, and earmarked for vice section operations, and converting the money to her own use. Kapua, in her former position as lieutenant in the Kauai Police Department’s vice section, was authorized to request County of Kauai checks to obtain money to make undercover purchases of narcotics.
Kapua was originally charged in a January 2016 indictment with stealing a total of $75,000 from the County of Kauai on three separate dates between December 23, 2013 and December 5, 2014, and with laundering the proceeds of one of the theft offenses by making a $11,457.98 wire transfer to pay off her debts. As part of the plea agreement, Kapua pled guilty to only one offense but agreed that she was responsible for the theft of a total of $75,000.
Kapua will face a term of imprisonment of up to ten years, a fine of $250,000 and restitution when she is sentenced on October 31, 2016 by Chief United States District Judge J. Michael Seabright.
The case was investigated by the Federal Bureau of Investigation, with the assistance of the Kauai Police Department, and is being prosecuted by Assistant U.S. Attorney Larry Tong.
Former Investment Advisor Charged with Securities Fraud for Stealing more than $5 MillionRead the Press Release
United States Attorney Andrew M. Luger announced an information charging BRADLEY SMEGAL, 63, for stealing more than $5.1 million from at least 14 of his investment advisory clients. SMEGAL is charged with two counts of securities fraud.[1]
According to the information and documents filed in court, SMEGAL was a registered broker and investment advisor from 1980 until May 2012 when the Financial Industry Regulatory Authority (FINRA) barred him from the securities industry.
According to the information and documents filed in court, between August 2007 and January 2013, SMEGAL convinced at least 14 investment advisory clients to invest in entities in which SMEGAL had an undisclosed ownership interest or otherwise controlled the investment vehicle. SMEGAL often described the investments as conservative and guaranteed specific rates of return to the clients. SMEGAL did not disclose his personal stake in these investments to his clients.
According to the information and documents filed in court, SMEGAL fraudulently convinced his clients to invest approximately $5.14 million into these entities. He diverted $825,900 of those funds to his personal bank account. As part of an effort to hide this theft, SMEGAL often routed the money through multiple bank accounts before depositing it into his personal account. In order to keep the scheme going, SMEGAL sometimes made Ponzi-type payments to investors.
According to the information and documents filed in court, just prior to being barred by FINRA, in November 2011, Wells Fargo, where SMEGAL had been working, terminated his employment. SMEGAL had not disclosed to his employer that he had a financial interest in all of the entities to which he steered his investment advisory clients. After he was terminated, SMEGAL led certain clients to believe that he was still employed by Wells Fargo.
This case is the result of an investigation conducted by the FBI and the United States Postal Inspection Service.
This case is being prosecuted by Assistant U.S. Attorney David M. Maria.
Defendant Information:
BRADLEY SMEGAL, 63
Bainbridge Island, Wash.
Charges:
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Securities fraud, 2 counts
[1] The charges contained in the information are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
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Former Framingham Housing Authority Employee ChargedRead the Press Release
BOSTON – A Milford woman was charged today in U.S. District Court in Boston in connection with stealing over $70,000 in rent payments owed to the Framingham Housing Authority (FHA).
Rosa A. Famania, 33, was charged in a criminal complaint with one count of theft concerning a program receiving federal funds.
According to the complaint, in February 2010, Famania began working for FHA as an accounting assistant, and resigned from her position in August 2015, shortly after FHA suspended her in connection with an internal investigation into missing rent payments. Famania’s responsibilities at the FHA included collecting cash rent payments from FHA tenants; recording these cash payments in the electronic accounting system; securing the cash in a locked cash box; and, depositing the cash payments into a FHA bank account.
The complaint alleges that, between February 2014 and August 2015, Famania stole approximately 181 cash rental payments totaling $70,649 from FHA and utilized an FHA accounting software program to assist in concealing the theft. It is alleged that Famania came into possession of the rent payments, but did not deposit them into the FHA bank account. Instead, Famania allegedly kept the cash rent payments and adjusted the tenants’ balance downward in the electronic accounting system. Federal agents discovered that approximately $55,100 in cash was deposited into a joint account maintained by Famania and her boyfriend between July 2014 and July 2015, and between February 2014 and July 2014, nineteen U.S. Postal Service money orders totaling $17,900 were deposited into another bank account maintained by Famania.
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 court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; Shelly Binkowski, Special Agent in Charge of the U.S. Postal Investigation Service; Framingham Police Chief Kenneth Ferguson; and Stephen G. Keane, Executive Director of the Framingham Housing Authority, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney William F. Bloomer of Ortiz’s Public Corruption Unit.
The details contained in the complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Employee of Charitable Organization Pleads Guilty to Stealing over $140,000 in FundsRead the Press Release
WASHINGTON- Floyd L. Middleton, 47, of Washington, D.C., pled guilty today to a federal charge stemming from the theft of over $140,000 from a religious charity where he worked in an administrative capacity, announced U.S. Attorney Channing D. Phillips and Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office.
Middleton pled guilty in the U.S. District Court for the District of Columbia to a charge of interstate transportation of stolen property. The charge carries a statutory maximum of 10 years in prison and potential financial penalties. Under federal sentencing guidelines, Middleton faces a likely range of 15 to 21 months in prison and a fine of up to $30,000. The plea agreement also calls for Middleton to pay $142,484 in restitution. The Honorable Christopher R. Cooper scheduled sentencing for Oct. 12, 2016.
According to the government’s evidence, the scheme took place between February 2009 and October 2014, when Middleton was employed by an organization referred to in court documents as “Charity A,” a religious charity. During this period, Middleton embezzled $142,484 in funds through false representations and invoices. For example, he established the property management company that managed the apartment building where he resided in the charity’s computer system as a legitimate vendor. He then submitted false invoices leading to payments to that property management company for his personal benefit. Middleton also made false representations to secure reimbursement for personal funds that he never expended.
In announcing the plea, U.S. Attorney Phillips and Assistant Director in Charge Abbate commended the work of those who investigated the case from the FBI’s Washington Field Office. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Angela Lawrence and Assistant U.S. Attorney Muyiwa Bamiduro, who is prosecuting the matter.
Former Credit Union Employee Admits to Embezzling Nearly $2.5 MillionRead the Press Release
DES MOINES, IA – On July 15, 2016, Linda Lee Clark, 68, of Corydon, Iowa, waived indictment and pleaded guilty to an United States Attorney’s Information to one count of embezzlement by a credit union employee, announced United States Attorney Kevin E. VanderSchel. Clark admitted to embezzling $2,494,809 of funds from the SCICAP Credit Union in Chariton, Iowa, from the time she began working there as a bookkeeper in 1978 until she resigned in August 2015. Clark redirected account holders’ deposits into her own personal account and the accounts of her children; and initiated unauthorized withdrawals of funds from member accounts into her own personal account and the accounts of her children. Clark concealed the embezzlement by maintaining two sets of accounting records on the Credit Union’s data processing system. As a result of Clark’s embezzlement, the Credit Union became insolvent and was forced into liquidation.
Clark faces a potential statutory sentence of up to thirty (30) years in prison, a fine of up to $1,000,000, and a term of up to three (3) years of supervised release to follow any term of imprisonment. As part of the plea agreement, Clark agreed to pay restitution. Sentencing is scheduled for 10:00 a.m. on November 15, 2016, before United States District Court Judge Rebecca Goodgame Ebinger at the United States Courthouse in Des Moines.
Former Bureau of Prisons Employee Sentenced for Sex OffenseRead the Press Release
PHOENIX – On July 18, 2016, James Toadvine, Jr., 50, of Goodyear, Ariz., was sentenced by U.S. District Judge Diane J. Humetewa to 12 months in prison. Toadvine had previously pleaded guilty to abusive sexual contact with an inmate under his supervision.
Toadvine worked as a Recreational Specialist at the Bureau of Prisons’ women’s camp in Phoenix, Ariz. Between January and April, 2015, Toadvine engaged in sexual contact with a female inmate who he supervised at the camp. Judge Humetewa, in imposing the prison term, noted that inmates in a prison setting are a vulnerable population.
The investigation in this case was conducted by the Department of Justice Office of the Inspector General. The prosecution was handled by Gayle L. Helart, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-2:15-cr-01535-DJH-1
RELEASE NUMBER: 2016-055_Toadvine
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Federal Jury Convicts Los Zetas Drug Cartel Sicario and Plaza BossRead the Press Release
In San Antonio today, a federal jury convicted a high ranking member and a sicario for the Los Zetas drug cartel, of conspiring to commit numerous murders and other acts of violence in Northern Mexico in furtherance of a drug distribution operation announced United States Attorney Richard L. Durbin, Jr.; Drug Enforcement Administration (DEA) Special Agent in Charge Joseph M. Arabit, Houston Division; Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden; and, Texas Department of Public Safety Director Steve McCraw.
Following a two-week trial, the jury found 33–year-old Marciano Millan Vasquez (aka “Chano”), guilty on all charges including killing while engaged in drug trafficking; conspiracy to distribute and import marijuana; distribution of controlled substances outside the U.S. intending that they be imported into the U.S.; employing minors in a drug crime; conspiracy to distribute cocaine; conspiracy to distribute methamphetamine; conspiracy to possess firearms in furtherance of a drug trafficking crime; and, making a false statement to a federal official.
Testimony during trial revealed that Vasquez was a member of Los Zetas and served as a sicario until 2013 when he took over control of the Piedras Negras “Plaza,” or drug trafficking corridor, for the Los Zetas led by Miguel Trevino Morales (aka “Z-40”) and his brother, Oscar Omar Trevino Morales (aka “Z-42”). Testimony also revealed that as the “Plaza boss,” Vasquez oversaw the importation and distribution of more than 1,000 kilograms of narcotics (marijuana, cocaine and methamphetamine) into the United States and obtained and distributed firearms amongst Los Zetas members. Furthermore, testimony revealed that Vasquez was responsible for the murders of at least 29 individuals in Northern Mexico between January 2009 and July 2015.
In one incident, testimony revealed that in 2013, Vasquez murdered a young girl by dismembering her with an axe and burning her body in front of her parents while laughing and saying, “so you’ll remember me.” Vasquez then ordered that the mother be killed in similar fashion while forcing the father to watch. Vasquez then ordered that the father be killed. According to testimony, Vasquez did so because he and other Los Zetas wanted the father to suffer. In a prior incident, testimony revealed that Vasquez participated in the massacre of numerous people in Allende, Coahuila, Mexico, at the hands of Los Zetas members in March of 2011.
“The witnesses and victims in the trial of Marciano Millan Vasquez gave testament to the unspeakable savagery and violence of the Los Zetas cartel and Vasquez’s complete disregard for human life,” stated United States Attorney Richard L. Durbin, Jr. “Without mercy or compunction he brutally murdered anyone and everyone as it suited him and his cartel, at times inflicting the cruelest of pain, forcing relatives to watch their loved ones murdered before he turned his blades on them. With this verdict his reign of terror over the drug plaza in Piedras Negras has been judged and has come to a close. This jury has done justice. His just punishment awaits him.”
Vazquez has remained in federal custody since his arrest in San Antonio on July 15, 2015. He faces life in federal prison. Sentencing is scheduled for October 26, 2016, before United States District Judge Xavier Rodriguez in San Antonio.
“Today’s guilty verdict in the Marciano Millan Vasquez case is a significant win for the citizens of south Texas and the multiple law enforcement agencies that conducted this robust investigation. We thank the jury for their service. HSI will continue to work closely with its law enforcement partners to target and investigate violent and dangerous members of transnational criminal organizations in an effort to completely dismantle this criminal element,” said Special Agent in Charge Shane Folden, HSI San Antonio.
“The guilty verdict today sends a strong message that violent drug traffickers who prey on our citizens will be held accountable for the crimes they have committed. DEA along with our Federal, state and local law enforcement partners, will continue to utilize all available resources to ensure that members of violent drug trafficking cartels, such as the Los Zetas, are held responsible for their actions,” said Joseph M. Arabit, Special Agent in Charge of the Drug Enforcement Administration- Houston Division.
This case was investigated by the DEA, HSI, and the Texas Rangers together with the U.S. Marshals Service; U.S. Border Patrol; Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Federal Bureau of Investigation (FBI); U.S. Customs and Border Protection (CBP); HSI Office of the Chief Counsel; Texas Department of Public Safety (DPS); Texas National Guard; Guadalupe County Sheriff’s Office; Maverick County Sheriff’s Office; Maverick County Constable’s Office; and the police departments of Austin, San Antonio, Hollywood Park, Castle Hills, Live Oak, Leon Valley, Eagle Pass, Eagle Pass Independent School District, and Richland (MS).
The Los Zetas is a powerful drug trafficking organization operating out of Mexico, which funnels thousands of kilograms of cocaine, marijuana, methamphetamine, and other narcotics into the United States each year. The Los Zetas are one of the largest drug cartels operating in Mexico today, with their influence stretching from Central America through Mexico and into cities throughout the United States. The organization is based in the city of Nuevo Laredo, Tamaulipas, Mexico, and has control over several other Mexican cities located on the United States-Mexico border, including Ciudad Acuna and Piedras Negras—both located in Coahuila, Mexico. The large-scale drug trafficking of this organization generates multi-million dollar revenues.
The Los Zetas were first established to be the lethal enforcers for another Mexican drug cartel: The Gulf Cartel. The leaders of the Gulf Cartel recruited former members of the Mexican Army Special Forces from the Groupo Aeromovil de Fuerza Especiales (GAFES) in the late 1990s. However, over time the Los Zetas broke away from the Gulf Cartel and began to operate independently. Heriberto Lazcano, aka Z-3, was the leader of the Los Zetas from 2004 until his death on October 7, 2012 in Coahuila, Mexico. After his death, Miguel Angel Trevino Morales, aka Z-40 and his brother Oscar Omar Trevino Morales, aka Z-42 assumed the leadership positions. In April 2009 the President of the United States identified the Los Zetas as a significant foreign narcotics trafficker under the Kingpin Act and the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) designated Z-40 and Z-42 as specially designated narcotics traffickers pursuant to the Kingpin Act in July 2009 and March 2010, respectively.
The Los Zetas are organized in a hierarchical structure with certain groups or cells operating in tiers of command. Its members purchase bulk quantities of narcotics and sell them abroad as well as to other non-Los Zetas drug traffickers operating in Mexico. In addition to those considered actual members of the Los Zetas, any large scale narcotics trafficker operating in a region controlled by the Los Zetas must support and associate with the Los Zetas or risk execution. The Los Zetas not only supplies the drugs (marijuana, cocaine, methamphetamine, etc.) to the traffickers, they charge the traffickers a fee (called the “quota”) for the privilege of operating in Los Zetas territory. That fee includes cash payments as well as firearms and other munitions (ammunition, magazines, etc.). In addition to allowing these traffickers to operate in their territory, the Los Zetas supplies them with real-time intelligence about the movement and location of the Mexican military and law enforcement.
Elmira Woman Charged with Mail FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that Rhonda Britt, 63, of Elmira, NY, was charged by criminal complaint with mail fraud. The charge carries a maximum of 20 years in prison and a fine of $250,000.
Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that according to the complaint, the investigation began in 2015 when elderly victims in California and Hawaii received phone calls from unidentified individuals indicating they won a substantial sum of cash. The victims were advised that in order to collect their prizes that they needed to pay “fees” of many thousands of dollars, and to send the “fees” to Rhonda Britt, in Elmira, NY. The victims sent the “fees” to the defendant through the mail as directed but the promised cash awards were never delivered.
In September 2015, Britt was interview by inspectors with the U.S. Postal Inspection Service and agreed that she would cease sending or receiving money from the scheme. In November 2015, the defendant executed an agreement with the Postal Service to that effect.
In June 2016, inspectors were advised that a Priority Mail envelope had arrived for delivery to Britt. On June 8, 2016, the defendant went to the Elmira Southside Post Office and inquired about the package. Britt later spoke with an inspector acting in an undercover capacity. The defendant advised that she was expecting a check for business purposes and that the check was not for a lottery. The actual sender was an 89-year-old man who had been advised that he won $2,500,000 but in order to receive his prize, he would have to send Rhonda Britt a processing fee.
The investigation is the culmination of an investigation on the part of the United States Postal Service Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski.
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.Edmond Man Pleads Guilty to Coercing a Child to Produce Child PornographyRead the Press Release
Oklahoma City, Oklahoma – Carlos Alexander Davila, 23, of Edmond, pleaded guilty today to production of child pornography, announced Mark A. Yancey, Acting United States Attorney for the Western District of Oklahoma.
According to an affidavit in support of a criminal complaint, Davila contacted a 14-year-old Florida girl in March of 2016 through Facebook, after seeing her post a comment that her friend had committed suicide. They began communicating via Facebook and later by texting and the smartphone application, Kik. It is alleged that Davila told the girl that he was studying to become a psychologist, and he would help her deal with her friend’s suicide. Eventually, the defendant asked the girl for nude photos in exchange for his emotional support. The girl told Davila that she was only 14, but he said it did not matter. The girl eventually sent Davila nude images of herself.
According to court records, the girl reported that Davila became very possessive of her, and when she tried to end their online relationship, he threatened to post online the nude images she had sent him. According to text messages described in court records, the girl begged Davila to delete her images, but he said he would "keep every single pic and video" and would "leak everything" about her "to everyone," especially his "hungry friends in need of fresh meat." Davila allegedly texted her, saying, "The more you ignore me the more I’ll expose you without a care in the world." He allegedly texted her that if she did not respond to him in five minutes, he would post a picture she had sent him—alongside a request that listed her contact information and asked for pictures of men’s penises. Davila allegedly used a phone-number-spoofing app to send the girl text messages to give her the impression that her images had in fact been posted online and that people were contacting her.
On July 13, 2016, Davila was charged in an information with production of child pornography depicting the Florida girl. During the plea hearing today before United States District Judge David L. Russell, Davila admitted he persuaded, induced, and coerced the 14-year-old to produce pornographic images of herself and to text them to him. At sentencing, Davila faces a mandatory minimum of 15 years and up to 30 years in prison. A sentencing hearing will be set by the court in approximately 90 days.
This case was investigated by the Hillsborough County (Florida) Sheriff’s Department and the Edmond Police Department. The case is being prosecuted by Assistant U.S. Attorney Brandon Hale.
Doctor Heads to Prison for Home Health Care FraudRead the Press Release
HOUSTON – A Houston doctor has been ordered to federal prison following his conviction on five counts related to health care fraud, announced U.S. Attorney Kenneth Magidson. A jury deliberated for approximately three hours following a three-day trial before convicting Dr. Warren Dailey, 68, on March 30, 2016, of conspiracy to commit health care fraud, two counts of false statements relating to health care matters, one count of conspiracy to pay and receive health care kickbacks and one count of payment and receipt of health care kickbacks.
Today, U.S. District Judge David Hittner, who presided over the trial, handed Dailey a 63-month sentence. He was further ordered to pay restitution of $913,620. Dailey will also be required to serve a term of three years of supervised release following completion of the prison term.
At trial, the jury heard that from approximately 2009 through 2012, Dailey was a physician specializing in family practice in Houston and defrauded Medicare by authorizing Medicare beneficiaries for home health care when such services were not needed. The evidence at trial demonstrated Dailey conspired with a home health care owner here in Houston and agreed to sign Medicare authorization forms certifying services in exchange for a monthly flat fee from the home health owner. Dailey signed hundreds of authorization forms for beneficiaries that would falsely certify the patients were homebound, that home health was medically necessary and that the beneficiaries were under his care. Medicare paid the home health owner approximately $913,620 for home health services Dailey referred.
Dailey will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are a result of the investigative efforts of the U.S. Department of Health and Human Services -Office of Inspector General, Office of Investigations and the FBI. Special Assistant U.S. Attorney Justin Blan and Assistant U.S. Attorney Tina Ansari prosecuted the case.
Department of Justice Awards over $12 Million to Florida Law Enforcement AgenciesRead the Press Release
U.S. Attorney A. Lee Bentley, III announces today that the Department of Justice's Bureau of Justice Assistance (BJA) has awarded a total of $12,351,298 to the Florida Department of Law Enforcement (FDLE) through the Edward Byrne Justice Assistance Grant (JAG) program. This amount includes $1 million previously announced by Attorney General Loretta Lynch on June 21, 2016, in response to the shootings at the Pulse Nightclub in Orlando. These funds will be used to reimburse state and local governments, and law enforcement agencies, for personnel and overtime costs related to the shootings.
“In the aftermath of the Pulse nightclub tragedy, over 1,500 law enforcement officers worked tirelessly around the clock for weeks, and many are continuing to do so. Our Office owes a great debt to the Orlando Police Department, the Orange County Sheriff’s Office, and the other state and local law enforcement agencies that did much of this important work,” said U.S. Attorney Bentley. “It is appropriate that these funds will be used to offset some of the extraordinary costs incurred by our state and local law enforcement partners.”
The remaining $11,351,298 is the FY 2016 formula JAG grant awarded to the State of Florida. The goal of Florida's JAG program is to enable local governments and state criminal justice agencies to receive the assistance needed to help fund and improve their own programs in an effort to improve law enforcement and criminal justice within their respective communities and jurisdictions. FDLE will use administrative funds for personnel services, including salaries and benefits, travel expenses, supplies, consultants and contracts, equipment, other costs, and indirect costs necessary to administer JAG funds.
Additionally, BJA will award a total $589,686 to both Orange County ($405,024) and the City of Orlando ($184,662) through the JAG program. Orange County will utilize this award to support a variety of law enforcement related initiatives that will enhance essential county services. The City of Orlando will use its funds to purchase new portable radios for the Orlando Police Department's communications system.
The JAG program is the primary provider of federal criminal justice funding to state and local jurisdictions. The program provides states and local governments with critical funding necessary to support a range of program areas, including law enforcement; prosecution and court programs; prevention and education programs; corrections and community corrections; drug treatment and crime victim and witness initiatives; and planning, evaluation, and technology improvement programs.
Information about the Office of Justice Programs can be found at http://www.ojp.usdoj.gov.
Defense Contractor Employee Indicted by Grand Jury for Selling Satellite Secrets to Undercover Agent Posing as a Foreign SpyRead the Press Release
Update:
Today, a federal grand jury in Los Angeles returned a two-count indictment that charges Gregory Allen Justice with economic espionage and violating the Arms Export Control Act for his attempts to sell sensitive satellite information to a person he believed to be a foreign intelligence agent.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Justice is scheduled to be arraigned on the indictment on July 27.
If he is convicted of both counts in the indictment, Justice would face a statutory maximum penalty of 35 years in federal prison.
Original News Release:
Defense Contractor Employee from Culver City Arrested for Selling Satellite Secrets to Undercover Agent Posing as a Foreign Spy
LOS ANGELES – A Culver City man was arrested yesterday on federal charges of economic espionage and violations of the Arms Export Control Act for his attempts to sell sensitive satellite information to a person he believed to be a foreign intelligence agent.
U.S. Attorney Eileen M. Decker of the Central District of California, Assistant Attorney General for National Security John P. Carlin, Assistant Director in Charge Deirdre Fike of the FBI’s Los Angeles Field Office and Special Agent John Rayho of the U.S. Air Force Office of Special Investigations (AFOSI) Detachment Commander at Los Angeles Air Force Base made the announcement.
Gregory Allen Justice, 49, who worked for a cleared defense contractor as an engineer on military and commercial satellites during his alleged crimes, was arrested by FBI special agents and made his initial appearance yesterday afternoon in U.S. District Court for the Central District of California where the judge ordered him detained pending trial.
“Our nation’s security depends on the honesty and integrity of those entrusted with our technological secrets,” said U.S. Attorney Decker. “In this case, the defendant sought to undermine our national security by attempting to sell proprietary and controlled information about satellites to a foreign government’s intelligence service. Fortunately, law enforcement agents were able to timely and effectively intervene to protect this critical technology.”
“Mr. Justice allegedly placed his own interests of greed over our national security by providing information on sensitive U.S. technologies to a person whom he believed was a foreign agent,” said Assistant Attorney General Carlin. “In the wrong hands, this information could be used to harm the United States and its allies. The National Security Division will continue to relentlessly identify, pursue and prosecute offenders that threaten our national security. I would like to thank the FBI and the Air Force Office of Special Investigations for their efforts in protecting our nation’s most sensitive information.”
“The enforcement of U.S. laws that prohibit the acquisition of specified economic information and defense-related items is vital to national security and can prove to be a challenging mission when set against the backdrop of legitimate international trade, vast amounts of which occur every day in the United States,” said Assistant Director in Charge Fike. “The cooperative effort among the FBI and Air Force OSI was critical in bringing this case forward for prosecution by the U.S. Department of Justice.”
“This investigation exemplifies the crucial law enforcement alliance the Air Force Office of Special Investigations enjoys with our DOJ counterparts,” said Special Agent Rayho. “We remain diligent in our mission to protect the vital technologies our national defense forces rely on.”
According to the affidavit in support of the criminal complaint, Justice stole proprietary trade secret materials from his employer and provided them to a person whom he believed to be a representative of a foreign intelligence service, but who was in fact an FBI undercover agent. In addition to their proprietary nature, the documents contained technical data covered by the U.S. Munitions List and therefore controlled for export from the United States under the International Traffic in Arms Regulations, according to the allegations. In exchange for providing these materials, Justice allegedly sought and received cash payments.
A criminal complaint contains allegations that a defendant has committed a crime. The defendant is presumed to be innocent until and unless proven guilty in court.
If convicted, Justice faces a statutory maximum penalty of 15 years in federal prison for the economic espionage charge and a statutory maximum penalty of 20 years in federal prison for violating the Arms Export Control Act. The FBI and AFOSI investigated the case. Attorneys from the U.S. Attorney’s Office of the Central District of California and the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
Cumberland County, New Jersey, Man Sentenced to More Than 10 Years in Prison for Methamphetamine ConspiracyRead the Press Release
CAMDEN, N.J. – A Cumberland County, New Jersey, man was sentenced today to 121 months in prison for his role in a conspiracy to distribute methamphetamine, U.S. Attorney Paul J. Fishman announced.
Alex Rodriguez, 35, of Vineland, New Jersey, was previously convicted on an indictment charging him with one count of conspiracy to possess with intent to distribute more than 500 grams of methamphetamine. Rodriguez was convicted following a two-week trial before U.S. District Judge Robert B. Kugler, who imposed the sentence today in Camden federal court.
According to the documents filed in this case and evidence presented at trial:
Rodriguez conspired to broker a deal in which four pounds of high quality methamphetamine were sold for $100,000 in Millville, New Jersey. On behalf of a co-conspirator, who bought the drugs, Rodriguez cut one pound of the purchased drugs to create four additional, diluted pounds of methamphetamine. Two co-conspirators then traveled to Florida seeking to sell five pounds of the newly constituted methamphetamine, where the DEA apprehended them. Rodriguez, meanwhile, remained in New Jersey with the three remaining pounds of high quality methamphetamine. He was later apprehended following an investigation stemming from the arrest of his co-conspirators in Florida.
In addition to the prison term, Judge Kugler sentenced Rodriguez to five years of supervised release.
U.S. Attorney Fishman credited the Drug Enforcement Administration, Atlantic City office, under the direction of Special Agent in Charge Carl J. Kotowski; the DEA’s Orlando office; and the Cumberland County Prosecutor’s Office, under the direction of Prosecutor Jennifer Webb-McRae, with the investigation leading to today’s sentencing. He also thanked the Florida Highway Patrol and the U.S. Attorney’s Office, Middle District, Florida.
The government is represented by Senior Litigation Counsel V. Grady O’Malley and Assistant U.S. Attorney Bernard J. Cooney of the U.S. Attorney’s Office, Criminal Division.
Defense counsel: Wayne Powell Esq., Cherry Hill, N.J.
Career Offender Sentenced to 15 Years Federal PrisonRead the Press Release
PORTLAND, Ore. –U.S. District Judge Robert E. Jones sentenced Todd Alan Nelson, 51, of Salem, Oregon, on July 12, 2016, to a mandatory minimum of 10 years in prison for possession with the intent to distribute methamphetamine, followed by a consecutive five-year mandatory minimum sentence for possession of a firearm during and in relation to a drug offense, for a total of 15 years in prison. The court also ordered Nelson to serve 10 years of supervised release when released from custody.
In October 2014, DEA agents and detectives with the Salem Police Department identified Nelson as a source of supply for methamphetamine. In December2014, agents obtained search warrants to search Nelson’s car, house and a storage locker located in Keizer, Oregon. Nelson’s car contained over 1,981 grams of methamphetamine, scales, $9,700 in cash, and a 9mm handgun with an obliterated serial number. Inside Nelson’s home they found more methamphetamine, packaging materials, a stolen 9mm Sig Sauer P225, and scales. In the storage locker, agents seized several additional pounds of methamphetamine, packaging materials and a loaded 9mm Czech 75d handgun. In all, agents seized approximately 17 pounds of methamphetamine and three handguns.
Nelson meets the criteria for a career offender under the United States Sentencing Guidelines because he committed new drug trafficking and violent offenses and has two prior drug delivery convictions from 2003 and 2006. At the time of his arrest for the current offense, he was being supervised by the Marion County Circuit Court due to a prior conviction.
The investigation of the case was led by the DEA, through its Salem DEA Drug Task Force, and the Salem Police Department. The case was prosecuted by Assistant U.S. Attorney Kemp Strickland.
Cake Shop Owner Sentenced for Cocaine Conspiracy and Money LaunderingRead the Press Release
NORFOLK, Va. – Vernon Michael Norvell, 43, of Portsmouth was sentenced today to 16 years in prison for cocaine distribution and money laundering. According to the plea agreement, Norvell will pay $690,000 in criminal forfeiture.
Norvell pleaded guilty on April 4. According to court documents, Norvell distributed in excess of 126 pounds (57 kilograms) of cocaine and regularly conducted transactions at his home in the Crystal Lake neighborhood of Portsmouth, at his cake business, “G’s Cake Shop – Cake For All Occasions” in Virginia Beach, and at a Food Lion parking lot off Airline Boulevard, in Portsmouth. One confidential source regularly purchased ounce quantities of cocaine for $1,350 to $1,500 over the course of several years. Another source purchased in excess of five kilograms, often paying $46,000 per kilogram. At times, Norvell was accepting between $60,000 and $70,000 a week for cocaine. On five occasions from October 2014 to July 2015, the DEA, in partnership with the Chesapeake and Portsmouth Police Department, conducted controlled purchases of cocaine and crack from Norvell.
Norvell and his wife, Cheron Johnson, 31, also of Portsmouth, used the proceeds of his cocaine distribution to purchase a home in the Crystal Lake neighborhood of Portsmouth, several automobiles, expensive clothing and other material items. The real estate purchase was one way the couple concealed the cocaine proceeds. While the home appraised for $315,000, they purchased it for $160,000, yet they made over $80,000 in payments before and after the closing, $14,000 of which was in cash.
In addition to the drug and money laundering crimes, according to court documents, from 2012 to 2014, Norvell and Johnson reported a combined adjusted gross income of $157,916, yet during that same period they deposited $926,854, including $338,860 in cash, into nearly a dozen bank accounts, including one off shore account located in Curaҫao. From January 2011 through August 2015 the couple deposited $468,500 in cash into their accounts.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; Karl C. Colder, Special Agent in Charge of Drug Enforcement Administration (DEA) Washington Field Division; and Thomas Jankowski, Special Agent in Charge, Washington D.C. Field Office, IRS-Criminal Investigation, made the announcement after sentencing by U.S. District Chief Judge Rebecca Beach Smith. Special Assistant U.S. Attorney John F. Butler and Assistant U.S. Attorneys Andrew C. Bosse and Joseph E. DePadilla prosecuted the case.
This case is the product of an extensive investigation by the Organized Crime Drug Enforcement Task Force, a focused multi-agency, multi-jurisdictional task force investigating and prosecuting the most significant drug trafficking organizations throughout the United States by leveraging the combined expertise of federal, state and local law enforcement agencies.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:16-cr-49
Buffalo Man Pleads Guilty to Conspiracy to Commit ArsonRead 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 Christopher Gorman, 51, of Buffalo, NY, pleaded guilty conspiracy to damage a building used in an activity affecting interstate commerce by means of fire and an explosive before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison and a fine of $250,000.
Assistant U.S. Attorney Edward H. White, who is handling the case, stated that on the night of June 12, 2014, Gorman had been drinking with Lowell Carey and Ryan Smolinski at Carey’s house. Smolinski was upset that his father was losing his business, Western New York Property Contractors, located at 349 Ontario Street, in Buffalo which he co-owned with another individual. Smolinski asked Carey and Gorman if they would help him burn the building. They agreed and made two Molotov cocktails using beer bottles they had been drinking from and gasoline and a t-shirt as a wick.
Thereafter, in the early morning hours of June 13, 2014, Gorman, Smolinski, and Carey proceeded to Western New York Property Contractors where Carey lit and threw one of the Molotov cocktails onto the roof of the building. Smolinski lit and placed the other Molotov cocktail underneath a garage door on the side of the building with Gorman’s assistance. The outside of the building was burned in the areas where the Molotov cocktails were located resulting in approximately $2,207.89 in damages.
The plea is the culmination of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives under the direction of Special Agent in Charge Delano A. Reid, New York Field Division, and the Buffalo Fire Department under the direction of Commissioner Garnell W. Whitfield, Jr.
Sentencing is scheduled for November 2, 2016 at 1:00 p.m. before Judge Arcara.
Bethlehem Man Charged with Robbery of Check Cashing BusinessRead the Press Release
RAUL RODRIGUEZ, 40 years old of Bethlehem, Pennsylvania, was charged today by Indictment1 with one count of robbery which interferes with interstate commerce, one count of possession of a firearm during a crime of violence, and one count of possession of a firearm by a convicted felon announced United States Attorney Zane David Memeger and Northampton County District Attorney John M. Morganelli. The defendant is alleged to have obstructed, delayed and affected commerce and the movement of articles and commodities in commerce by aiding and abetting the robbery of Envios Giraldo, a check-cashing business located at 331 South New Street in the City of Bethlehem, in the Eastern District of Pennsylvania on November 12, 2014. The defendant and his conspirator possessed a firearm when committing the robbery, and threatened violence against an employee of Envios Giraldo with the firearm, while unlawfully taking $11,140 in United States currency from the business. The defendant is a convicted felon, who is not permitted to possess a firearm in the United States.
If convicted on the robbery which interferes with interstate commerce, defendant Rodriguez faces a maximum possible sentence of 20 years imprisonment, a 3 year mandatory period of supervised release up to a lifetime of supervised released, a $250,000 fine, and a $100 special assessment. If convicted on possession of a firearm during a crime of violence, defendant Rodriguez faces a maximum of life imprisonment with a mandatory minimum 7 years’ imprisonment consecutive to any other sentence imposed, a 5 year period of supervised release, a $250,000 fine, and a $100 special assessment. If convicted on the possession of a firearm by a convicted felon, defendant Rodriguez faces a maximum possible sentence of 10 years imprisonment, a 3 year supervised release, a $250,000 fine, and $100 assessment.
The case was investigated by the Federal Bureau of Investigation, Allentown Division, the Northampton County District Attorney’s Office, and the City of Bethlehem Police Department, and is being prosecuted by Special Assistant United States Attorney Kelly Lewis Fallenstein and Assistant United States Attorney John Gallagher.
1An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Arrest in Sacramento-Area Fentanyl InvestigationRead the Press Release
SACRAMENTO, Calif. — A Sacramento woman was arrested today after a federal grand jury returned a three-count indictment on Thursday, July 14, 2016, charging her with possession with intent to distribute hydrocodone and fentanyl, distribution of hydrocodone and fentanyl, and using a cellphone to facilitate a drug trafficking offense, Acting United States Attorney Phillip A. Talbert and Drug Enforcement Administration Special Agent in Charge John J. Martin announced.
According to the indictment, between June 18, 2015, and March 27, 2016, Mildred Dossman, 50, distributed hydrocodone and fentanyl in Sacramento County. Dossman was arrested at her home today and was arraigned today by U.S. Magistrate Judge Kendall J. Newman.
This case is the product of an investigation by the Drug Enforcement Administration with assistance from the Sacramento County Coroner’s Office, the Sacramento County Sheriff’s Office, the Sacramento Police Department, and the El Dorado County Sheriff’s Office. Assistant United States Attorney Paul Hemesath is prosecuting the case.
If convicted, Dossman faces a maximum statutory penalty of 20 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The investigation continues into fentanyl and hydrocodone distribution in the greater Sacramento Area. The DEA has established a tip line, and callers can remain anonymous. Anyone with information relating to this investigation is encouraged to call the tip line at 530-722-7577.
Arizona Man Who Photographed Sexual Abuse of Young Boys while Working in China Sentenced to 25 Years in Federal PrisonRead the Press Release
LOS ANGELES – An Arizona man who admitted molesting four young boys in China and documenting the abuse with hundreds of photographs and videos has been sentenced to 25 years in federal prison.
Kelly James Morrow, 49, who had been living in China when he was arrested last June and claims a domestic residence in Surprise, Arizona, was sentenced yesterday by United States District Judge S. James Otero.
Morrow pleaded guilty in April to two charges – sexual exploitation of children outside the United States and possession of child pornography.
“This defendant is a sexual predator who not only abused young boys – he also documented his physical and mental abuse by taking thousands of pictures of his victims,” said United States Attorney Eileen M. Decker. “Just as Morrow’s photographs continued to victimize boys that he molested, his massive collection of child pornography victimized every one of the hundreds of child abuse victims depicted in those images.”
Morrow was arrested in June 2015, about a week after arriving at Los Angeles International Airport on a flight from Singapore. A search of his computer equipment and digital media revealed a collection of more than 60,000 images and videos depicting child pornography. In addition to the images Morrow produced in China while working on golf course projects, Morrow admitted in a plea agreement filed in court that he took a nude photograph of a young boy in Lincoln, Nebraska in late 2014.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI). The National Center for Missing and Exploited Children provided the initial lead that led to the investigation.
“This case serves as a strong reminder that any abuse of children by American citizens is a crime that will be prosecuted to the fullest extent of the law,” said Joseph Macias, special agent in charge for HSI Los Angeles. “As this case shows, HSI is using all of its law enforcement authorities to combat this heinous behavior both here and abroad. We owe it to the children who are the victims in these cases, many of whom will bear the emotional scars of this trauma for the rest of their lives.”
The case against Morrow was prosecuted by Assistant United States Attorney Robyn K. Bacon.
Anchorage Woman Sentenced for Role in Drug ConspiracyRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced today that Kasey Jo Martinez, 32, resident of Anchorage, Alaska, was sentenced yesterday by U.S. District Judge Sharon L. Gleason to 40 months in prison, to be followed by a three-year term of supervised release, for money laundering.
According to court documents and arguments made during the sentencing hearing, starting in the summer of 2014, law enforcement began investigating several individuals implicated in the distribution of methamphetamine and heroin throughout Southcentral Alaska. As part of that investigation, law enforcement conducted surveillance at Fashion Nails, a nail salon owned by co-defendant Toa Danh “Tony” Ly. Proceeds from the sale of methamphetamine and heroin were generally deposited into Wells Fargo bank accounts controlled by Ly. These deposits were made by Martinez and others. These deposits were frequently made at Wells Fargo branches in Alaska, and Ly often withdrew the money at branches in the Seattle, Washington area.
On Jan. 14, 2015, searches were done at seven locations connected to Ly’s drug distribution conspiracy. Stopped in a Wells Fargo parking lot was co-conspirator Pao Lee; Martinez was in the vehicle with him. In her possession was $2,000 in drug proceeds that she was planning on depositing into Ly’s bank account.
A review of financial records for one of Ly’s Wells Fargo accounts showed three additional deposits of drug proceeds by Martinez between Dec. 12, 2014, and Jan. 10, 2015, totaling $19,500. In total, Martinez laundered or attempted to launder at least $21,500 in drug proceeds.
Including Martinez, at least seven other individuals have been implicated in this conspiracy. In total, those individuals have deposited more than $350,000 in suspected drug proceeds into accounts controlled by Ly.
Judge Gleason based her sentence in numerous factors, including the nature and circumstances of the defendant’s conduct and the defendant’s history and characteristics. Judge Gleason noted that while Martinez did not personally distribute drugs as part of the conspiracy, her role as a money launderer facilitated the distribution of methamphetamine and heroin in and around Anchorage. “It is hard to separate one from another,” said Judge Gleason. According to Judge Gleason, the defendant’s participation in the conspiracy impacted “mothers, daughters, fathers, and sons in the community” struggling with the issues brought about by illegal drugs.
Other defendants indicted as part of this investigation include:
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Toa Danh “Tony” Ly pleaded guilty to conspiracy to distribute controlled substances and money laundering conspiracy.Judgment and sentencing is set for Dec. 2, 2016.
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Pao Lee pleaded guilty to conspiracy to distribute controlled substances and distribution of controlled substances.Judgment and sentencing is set for Sept. 21, 2016.
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Renee Marie Davis pleaded guilty to conspiracy to distribute controlled substances.On Jan. 19, 2016, the court sentenced her to 72 months in prison.
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Robert Lee Rast pleaded guilty to conspiracy to distribute controlled substances. Judgment and sentencing is set for Nov. 1, 2016.
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Adam Michael Cornelison pleaded guilty to use of a firearm in furtherance of a drug trafficking offense.On Feb. 9, 2016, the court sentenced him to 60 months in prison.
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Murville Lavelle Lampkin and Tracey Elizabeth Trujillo are set for trial starting Oct. 18, 2016.
This case was investigated and prosecuted by the FBI Safe Streets Task Force, and Assistant U.S. Attorney Kyle Reardon.
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Amtrak Supervisors Charged in Connection with Separate Overbilling of Work Hours SchemesRead the Press Release
NEWARK, N.J. – Two Amtrak supervisors were charged today with overbilling Amtrak a combined total of more than 800 overtime hours and more than 60 regular hours they claimed to be working when they were actually not present at Amtrak work sites, causing $92,000 in losses to Amtrak, U.S. Attorney Paul J. Fishman announced.
Richard Vogel, 63, of Edison, New Jersey, and Donald Harper, Sr., 46, of Somerset, New Jersey, were arrested this morning by federal agents and charged in separate criminal complaints with defrauding Amtrak as a result of their fraudulent overbilling of work hours. Both are scheduled to appear this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court.
According to the criminal complaints:
Vogel, who has been employed by Amtrak since January 1977, currently supervises approximately 35 employees in work gangs on the Construction Signals side of the Communications and Signals Department of Amtrak’s New York Division. Between November 2015 and June 2016, Vogel fraudulently billed Amtrak for 41 regular hours and 687.75 overtime hours when he was not actually present at Amtrak work sites, resulting in losses to Amtrak of more than $71,000.
Harper, who has been employed by Amtrak since February 1990, currently supervises approximately 19 employees in a work gang on the Signals side of the Communications and Signals Department of Amtrak’s New York Division. Harper fraudulently billed Amtrak for 27.75 regular hours and 192.25 overtime hours when he was not actually present at Amtrak work sites, between October 2014 and October 2015, resulting in losses to Amtrak of more than $20,000.
Both defendants are facing maximum potential penalties of 10 years in prison each on the fraud offense and theft of funds offense, in addition to fines equal to the greatest of $250,000 per count or twice the gain or loss resulting from the offenses.
U.S. Attorney Fishman credited special agents of Amtrak’s Office of Inspector General, Office of Investigations, Philadelphia office, under the direction of Special Agent in Charge Robert J. Koons, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Mala Ahuja Harker of the U.S. Attorney’s Office Special Prosecutions Division.
The charge and allegations contained in the complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Albuquerque Man Pleads Guilty to Federal Methamphetamine Trafficking and Firearms ChargesRead the Press Release
ALBUQUERQUE – Bart Dutch Marshall, 61, of Albuquerque, N.M., pled guilty today in federal court to methamphetamine trafficking and firearms charges.
Marshall was arrested on March 23, 2015, on an indictment charging him with possession of methamphetamine with intent to distribute and using firearms during and in relation to a drug trafficking crime on April 3, 2014, in Bernalillo County, N.M.
During today’s proceedings, Marshall pled guilty to a felony information of possession of methamphetamine with intent to distribute and possessing firearms during and in relation to a drug trafficking crime. In entering the guilty plea, Marshall admitted that on April 3, 2014, the Albuquerque Police Department executed a search warrant on his residence and found over 80 grams of pure methamphetamine, which he intended to sell to others. Marshall further admitted that he had a number of firearms in his residence which he possessed for his protection as part of the drug trade.
At sentencing, Marshall faces a statutory maximum penalty of 20 years in prison on the methamphetamine trafficking charge. He also faces a statutory mandatory minimum of five years and a maximum of life in federal prison on the firearms charge which must be served consecutive to the sentence imposed on the drug charge. Marshall remains detained pending a sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department. Assistant U.S. Attorney Jacob Wishard is prosecuting the case.
Acoma Pueblo Man Sentenced to Federal Prison for Involuntary Manslaughter ConvictionRead the Press Release
ALBUQUERQUE – Dwight T. Brown, 19, a member and resident of Acoma Pueblo, N.M., was sentenced this morning in federal court in Albuquerque, N.M., to 20 months in prison followed by three years of supervised release for his involuntary manslaughter conviction.
Brown was arrested on April 15, 2015, on a criminal complaint charging him with voluntary manslaughter on April 9, 2015. According to the criminal complaint, Brown ran over and killed a 13-month old Indian child while driving under the influence of alcohol on Acoma Pueblo in Cibola County, N.M.
On Aug. 26, 2015, Brown pled guilty to a felony information charging him with involuntary manslaughter for causing the death of the victim while driving under the influence of alcohol. The guilty plea was entered without the benefit of a plea agreement.
This case was investigated by the Laguna/Acoma Agency of the BIA’s Office of Justice Services and the Acoma Pueblo Tribal Police Department. Assistant U.S. Attorney Niki Tapia-Brito prosecuted the case.
18 July 2016
Westlake man charged with fraudRead the Press Release
A Westlake man was charged with embezzling from his former employer, said Carole S. Rendon, Acting U.S. Attorney for the Northern District of Ohio.
Tarun Gupta, 45, is charged with wire fraud. The criminal information alleges that from on or about May 16, 2012 through on or about December 22, 2014, Gupta stole $382,900 from Charak Center for Health and Wellness, where he had been employed as a the business manager from 2009 through 2013.
The case is being prosecuted by Assistant U.S. Attorney Matthew B. Kall following an investigation by the U.S. Secret Service and the Garfield Heights Police Department.
If convicted, the defendant's sentence will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense, and the characteristics of the violation.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
West Seneca Woman Admits Role in Oversses Investment ScamRead 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 Monica R. Romaszko, 62, of West Seneca, NY, pleaded guilty to conspiring to evade the payment of federal income taxes, before U.S. District Judge Elizabeth A. Wolford. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney Russell T. Ippolito, Jr., who is handling the case, stated that Romaszko conspired with others to funnel funds from an illegal boiler room investment fraud scheme through various bank accounts In Western New York created in the names of fictitious entities. A “boiler room” in an investment fraud scheme is a location where conspirators use mass marketing techniques to contact prospective investors. During the solicitation, conspirators make false representations about investment opportunities in order to obtain money from unsuspecting investors. The boiler room in this case was located in Barcelona, Spain and was operated by Romaszko’s brother, Arnold Wrobel who was convicted and is awaiting sentencing.
The scam conned investors in the United Kingdom and Canada into buying nearly worthless shares of restricted stock at severely inflated prices by telling buyers that they were buying more valuable regular shares of stock. Approximately 250 investors lost more than $2,900,000. The defendant’s conduct resulted in a loss of $193,439 to the Internal Revenue Service in federal income tax revenue. Romaszko is the fourth of 12 defendants in the case to be convicted.
The plea is the result of an investigation on the part of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of James S. Spero, Special Agent in Charge, and the Internal Revenue Service, Criminal Investigations Division, under the direction of Shantelle P. Kitchen, Special Agent in Charge. Sentencing will be scheduled at a later date.Virginia Man Sentenced to 10 Years in Federal Prison for Killing a Climber in National Park in MarylandRead the Press Release
Greenbelt, Maryland - U.S. District Judge Deborah K. Chasanow sentenced David DiPaolo, age 34, of Bristow, Virginia, today to 10 years in prison, followed by three years of supervised release, for voluntary manslaughter in connection with the death of Geoffrey Farrar, in Carderock, a popular rock climbing area within the Chesapeake and Ohio Canal National Historical Park.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Chief of Police Robert MacLean of the U.S. Park Police.
According to DiPaolo’s plea agreement, on December 28, 2013, DiPaolo had an argument with Farrar, age 69, in the parking area at Carderock Recreation Area (Carderock), located in Bethesda, Maryland, within the Chesapeake and Ohio Canal National Historical Park. Immediately following this altercation, Farrar went to the base of the rock climbing area and DiPaolo returned to his parked vehicle. Shortly thereafter, DiPaolo found Farrar and used a claw hammer to hit Farrar multiple times on his head. DiPaolo then fled first from Carderock and subsequently drove to New York State, where he remained until his arrest on January 8, 2014.
Following DiPaolo’s attack, other rock climbers in the area discovered Farrar at the base of the rock face. Farrar was suffering from massive head trauma as a result of the attack, but was still alive. Emergency personnel were called, and Farrar was airlifted to a hospital in Bethesda, Maryland, where he later died of his injuries.
United States Attorney Rod J. Rosenstein praised the U.S. Park Police for its work in the investigation and thanked the New York State Police, U.S. Attorney’s Office for the Northern District of New York, and the U.S. Marshals Service for their assistance. Mr. Rosenstein thanked Assistant United States Attorney Thomas M. Sullivan, who prosecuted the case.
U.S. Attorney’s Office for Northern District of Texas Hosts 19th Annual Drug Education for Youth (DEFY) Summer CampRead the Press Release
DALLAS — The 19th Annual Drug Education for Youth (DEFY) Summer Camp was held last week at the Naval Air Station Joint Reserve Base (NAS JRB) in Fort Worth, Texas, where members of the U.S. Attorney’s Office for the Northern District of Texas (NDTX), members of the military and local law enforcement worked together to host the one-week residential camp for at-risk youth. Today’s announcement was made by U.S. Attorney John Parker of the Northern District of Texas.
U.S. Attorney Parker and Commander Joseph M. Seeburger of NAS JRB presented certificates to the 30 youth who attended this year’s DEFY summer camp at a graduation ceremony held Saturday morning, July 16, 2016, at NAS JRB. Camp attendees included at-risk youth from high crime and low income communities in west Dallas, Grand Prairie and Fort Worth, Texas.
DEFY is a year-long, comprehensive and multi-phase program that is part of the District’s Smart on Crime initiative. A Department of Justice initiative announced in 2013, Smart on Crime acknowledges that while aggressive enforcement of federal criminal statutes remains necessary, federal efforts must also focus on other components of criminal justice, such as crime prevention and reentry.
DEFY begins each year with the week-long, residential summer camp for selected at-risk youth, ages 9-12. At DEFY camp, the youth participate in a curriculum focused on healthy lifestyles to prevent drug abuse and gang involvement and resist negative peer pressure. To reinforce good practices learned at DEFY camp, DEFY continues throughout the year with classroom sessions, educational workshops and continued mentoring designed to provide the youth with additional life skills, training and tools to resist drugs and gangs.
The DEFY program is just another example of the partnerships that community groups and law enforcement undertake to build mutual trust and make our communities a safer place for all of us to live. More information about Smart on Crime may be found here
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Troy Man Sentenced for Health Care FraudRead the Press Release
ALBANY, NEW YORK – Michael VonFricken, age 45, of Troy, New York, was sentenced today to 3 years of probation and 3 months of weekend incarceration at the Rensselaer County Jail for his part in a health care fraud that provided him with $32,732 in cash reimbursements from a local union, announced United States Attorney Richard S. Hartunian.
The sentence was issued by U.S. District Judge Mae A. D’Agostino, and followed Michael VonFricken’s guilty plea, on February 24, 2016, to obtaining false receipts for orthodontic services and submitting them to the health care plan for the Plumbers and Steamfitters, Local Union Number 7.
As part of his sentence, Michael VonFricken must complete 50 hours of community service and pay back the $32,732 that he fraudulently obtained.
Michael VonFricken’s brother, John VonFricken, also of Troy, was sentenced on July 5 for defrauding the same union health plan. John VonFricken also pled guilty in February to fraud, and to obtaining $54,600 in reimbursements for orthodontic work that he did not receive. He also received a sentence of 3 years of probation and 3 months of weekend incarceration. John VonFricken was ordered to repay $54,000 to the union health plan.
This case was investigated by the United States Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, and the Federal Bureau of Investigation, and was prosecuted by Assistant U.S. Attorney Solomon B. Shinerock.
Torrington Woman Pleads Guilty to Health Care Fraud ChargeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that on July 15, PATRICIA LAFAYETTE, 61, of Torrington, waived her right to indictment and pleaded guilty before U.S. District Judge Victor A. Bolden in Bridgeport to one count of health care fraud.
This matter stems from an ongoing health care fraud investigation being conducted by the Office of the Inspector General of the U.S. Department of Health and Human Services, the Medicaid Fraud Control Unit of the Chief State’s Attorney’s Office, and the Connecticut Office of the Attorney General. The investigation identified fraudulent activity in the area of behavioral health services. Through the Medicaid program, the State of Connecticut provides coverage for mental health and counseling services to citizens who cannot otherwise afford health insurance. “Behavioral health” includes a wide variety of health care providers who provide care on an outpatient basis, including psychiatrists, psychologists, licensed clinical social workers, licensed marriage and family therapists, licensed professional counselors, and licensed alcohol and drug counselors.
According to court documents and statements made in court, in March 2011, LAFAYETTE and another individual approached Anne Charlotte Silver, a licensed clinical social worker who owned and operated Silver Counseling Services, LLC, in Canton and Bantam. LAFAYETTE knew that the other individual proposed a scheme to Silver to defraud Medicaid by permitting LAFAYETTE and the other individual to bill Medicaid for psychotherapy services using Silver’s Medicaid provider number. The services were either performed by unlicensed individuals or not performed at all. Under the scheme, Silver kept 25 percent of the proceeds, and paid the remaining 75 percent to LAFAYETTE and the other individual. As part of her plea, LAFAYETTE admitted to defrauding Medicaid of approximately $1.6 million through the scheme.
The charge of health care fraud carries a maximum term of imprisonment of 10 years. A sentencing date has not been scheduled.
On May 2, 2015, Silver pleaded guilty to one count of health care fraud. She awaits sentencing.
This matter is being prosecuted by Assistant U.S. Attorney David J. Sheldon and Auditor Susan Spiegel.
The U.S. Attorney’s Office, Chief State’s Attorney’s Office and Attorney General’s Office meet regularly as part of The Medicaid Fraud Working Group. The Working Group also includes representatives from the Connecticut Department of Social Services; the Connecticut Department of Public Health; the Drug Control Division of the Connecticut Department of Consumer Protection; the Office of the Inspector General of the U.S. Department of Health and Human Services, and the FBI. The Working Group reviews pending issues and cases, identifies trends that might indicate fraudulent activity, and coordinates efforts for maximum results.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS.
Topeka Woman Pleads Guilty to Conspiracy in Interstate Sex Trafficking CaseRead the Press Release
TOPEKA, KAN. - A Topeka woman pleaded guilty Monday to conspiring to operate an interstate sex trafficking business, Acting U.S. Attorney Tom Beall said.
Shannon Nelson, 23, Topeka, Kan., pleaded guilty to one count of conspiracy. In her plea, she admitted conspiring with co-defendants to operate a Topeka-based prostitution business. At times, as many as 20 females were working as prostitutes for the organization. The leader of the organization rented houses where some of the prostitutes were allowed to live. The organization used Web sites, social media and cell phones to advertise sexual services and to keep track of prostitutes.
Nelson admitted she worked for co-defendant Frank Boswell as a commercial sex worker. She became a trusted member of Boswell’s organization and lived in one of Boswell’s houses. She posted advertisements for herself and other women on a Web site offering sexual services. She used cell phones to communicate with Boswell and others in the course of operating the prostitution business.
Federal agents encountered her July 15, 2015, at a Motel 6 in Omaha where she and other women had gone to engage in prostitution.
Sentencing is set for Oct. 24. She faces a penalty of up to five years in federal prison and a fine up to $250,000 on each count.
Co-defendant Frank Boswell, 42, Topeka, Kan., is awaiting trial. Co-defendant Rachel Flenniken, 34, Topeka, Kan., is set for sentencing Oct. 17. Co-defendant Sean P. Hall, 46, Topeka, Kan., is set for sentencing Oct. 3.
Beall commended the Topeka Police Department, Homeland Security Investigations, the FBI and Assistant U.S. Attorney Christine Kenney for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Three Sentenced to Federal Prison for Scheme to Fraudulently Obtain over $1.4 Million in Unemployment BenefitsRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Wilfred Mendez, age 21, of Bronx, New York to 33 months in prison; Ferny Alexander Moreno Puente, age 26, of Gaithersburg, Maryland, to 30 months in prison; and Wilfredo Torres, age 36, of Alexandria, Virginia, to 20 months in prison, for a conspiracy to fraudulently obtain over $1.4 million in unemployment benefits. Judge Hollander also ordered that Mendez, Moreno Puente, and Torres each serve three years of supervised release following their prison sentence, and that they forfeit and pay restitution of: $195,422; $268,911; and $173,185.32, respectively.
The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robin Blake, of the Washington Regional Office, U.S. Department of Labor - Office of Inspector General; and Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division.
According to their plea agreements, from 2012 to 2015, Mendez, Moreno Puente, and Torres, conspired with Diameter Akala and others, to cause the Maryland Department of Labor, Licensing and Regulation (DLLR) and the Pennsylvania Department of Labor and Industry (DLI), which administered the unemployment insurance benefit programs in their respective states, to issue fraudulent unemployment by submitting false applications for monetary benefits.
Members of the conspiracy obtained the personally identifying information (PII) of individuals, including Maryland residents. Akala filed false documentation with DLLR and DLI in the names of fictitious companies, falsely stating that the companies employed and paid wages to actual individuals. In fact, no unemployment insurance taxes were ever paid to DLLR or DLI in the names of the fictitious companies. Akala, electronically and by phone, filed claims in Maryland and Pennsylvania for unemployment benefits in his own name and the names of co-conspirators and others, falsely claiming that they previously worked for the fictitious companies.
Akala and other members of the conspiracy used residential mailing addresses of co-conspirators in Maryland, New York, the District of Columbia, Pennsylvania and Virginia to register and receive correspondence for the fictitious companies, and apply for and receive unemployment benefits in the form of prepaid debit cards. In exchange for the use of their addresses, the co-conspirators received funds obtained through the fraud, typically a fraudulently obtained prepaid debit card. Mendez, Moreno Puente, Torres, his half-brother, Eric Gonzalez, co-conspirators Tawana McClain, Yaw Bempa-Boateng, and Carmen Benitez agreed to have Akala file fraudulent unemployment claims in their names. Mendez, his mother Dulce Oleo, Moreno Puente and Torres also provided the personal identification information and/or addresses of other individuals to file additional false claims in the names of those individuals, and others. The co-conspirators used the fraudulently obtained unemployment benefits prepaid debit cards that were mailed directly to them or provided to them by Akala, at ATMs or stores in order to withdraw and use the funds. Some of the cards were in their names, but some of the cards were in the names of other individuals. Generally, the conspirators kept a portion of the fraudulently obtained funds for themselves and provided the remainder to Akala. The members of the conspiracy regularly contacted DLLR and DLI, falsely representing themselves either to be a representative of one of the fictitious companies or an individual entitled to unemployment benefits. Akala moved between states to retrieve correspondence addressed to fictitious companies and individuals, including prepaid debit cards issued by DLLR and DLI.
During the course of the conspiracy the actual loss was approximately $1,468,463.80 in fraudulently obtained unemployment benefits.
Diameter Akala, age 43, of Silver Spring, Maryland, Washington, D.C. and New York, faces a maximum sentence of 20 years in prison for conspiracy to commit wire fraud and a mandatory minimum of two years in prison, consecutive to any other sentence, for aggravated identity theft. As part of his plea agreement, Akala will also be required to pay restitution and forfeiture in the full amount of the loss, approximately $1,468,463.80. Judge Hollander has scheduled sentencing for Akala on August 4, 2016, at 10:00 a.m.
Judge Hollander previously sentenced co-conspirators: Yaw Bempa-Boateng, age 35, of Silver Spring, Maryland, to 30 months in prison; Carmen Benitez, age 29, of Scranton, Pennsylvania, Dulce Oleo, age 39, of the Bronx, New York, and Tawana McClain, age 51, of Washington, D.C., each to 18 months in prison; and Eric Gonzalez, age 34, of Alexandria, Virginia, to a year and a day in prison.
The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.
Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
United States Attorney Rod J. Rosenstein commended the Department of Labor – OIG and U.S. Postal Inspection Service for their work in the investigation, and praised the Maryland Department of Labor, Licensing and Regulation and the Pennsylvania Department of Labor and Industry for their assistance in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Sean R. Delaney, who is prosecuting the case.
Three Former Employees of Timeshare Consulting Firm Sentenced for Conspiring to Defraud Timeshare OwnersRead the Press Release
CAMDEN, N.J. – Three former employees of The Vacation Ownership Group LLC have been sentenced for their respective roles in conspiring to defraud owners of timeshare properties by offering phony consulting services, U.S. Attorney Paul J. Fishman announced today.
Jeffrey Sawyer, 53, of Mullica Hill, New Jersey, was sentenced to 12 months in prison and three years of supervised release. Aimee Allen, 30, of Myrtle Beach, South Carolina, was sentenced to three years of probation, with eight months of home confinement, 50 hours of community service and ordered to pay restitution of $197,440. Vincent Giordano, 31, was sentenced to four months in prison, four months of home confinement, 200 hours of community service and three years of supervised release.
All three defendants previously pleaded guilty before U.S. District Court Judge Noel L. Hillman in Camden federal court to one count of conspiracy to commit mail and wire fraud. Judge Hillman imposed the sentences on July 15, 2016.
According to documents filed in these cases and statements made in court:
The Vacation Ownership Group, a/k/a VO Group LLC, had offices in Mays Landing and Egg Harbor Township, N.J., and claimed to offer consulting services to owners of timeshares, including cancelling, purchasing and upgrading the timeshares.
Sawyer pretended to be a satisfied VO Group customer to persuade others to send money to the VO Group. He admitted causing more than $70,000 in losses; Allen would call customers and give them the false impression that she was working for a bank or lending institution. Allen then would falsely represent that the VO Group could pay off the customers' timeshares or have their timeshares cancelled. Allen also served as a "reference" for other VO Group employees by posing as a satisfied customer to persuade a new customer to send the VO Group money. After hearing Allen's false representations, some customers sent checks to the VO Group. Allen admitted to causing over $200,000 in losses.
U.S. Attorney Fishman credited special agents from the FBI’s Atlantic City Resident Agency, under the direction of Special Agent in Charge Timothy Gallagher in Newark; and special agents from the Department of Labor, Office of Inspector General, under the direction of Acting Special Agent in Charge Shannon Woolard, New York Region, for their roles in the investigation leading to the guilty pleas. He also thanked the N.J. Department of Labor, Benefit Payment Control Unit, for its assistance.
The government is represented by Assistant U.S. Attorney R. David Walk Jr. of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel:
Sawyer: Mark E. Roddy Esq., Pleasantville, N.J.
Allen: Edward F. Borden Jr. Esq., Cherry Hill, N.J.
Giordano: Paul A. Sarmousakis Esq., Avalon, N.J.
St. Lawrence County Felon Sentenced to 46 Months for Firearm, Ammunition PossessionRead the Press Release
SYRACUSE, NEW YORK – Clayton T. Brothers, age 40, of Russell, New York, was sentenced today to 46 months in prison, to be followed by 3 years of supervised release, for illegally possessing a firearm and more than 1,000 rounds of ammunition.
The announcement was made by United States Attorney Richard S. Hartunian; James Spero, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); New York State Police Superintendent George P. Beach II; and Anthony J. Annucci, Acting Commissioner of the New York State Department of Corrections and Community Supervision.
The sentence, issued by U.S. District Judge Brenda K. Sannes, followed Brothers’s March 25, 2016 guilty plea. He pled guilty to possessing, at his home in St. Lawrence County, a Sig Sauer pistol and more than 1,000 rounds of 5.56 mm caliber NATO Lake City XM855 Grain Steel Penetrator ammunition. Brothers was convicted of robbery in Pennsylvania in 1996. As a felon he could not lawfully possess a firearm or ammunition.
This case was investigated by HSI, the New York State Police and New York State Department of Corrections and Community Supervision, and was prosecuted by Assistant U.S. Attorney Douglas Collyer.
Shon Shoram Sentenced to Four Years Imprisonment for Armed Robbery of Pharmacy in South Burlington, VermontRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Shon Paul Shoram, age 38, of Putney, Vermont, was sentenced on July 18, 2016 in the U.S. District Court in Burlington, Vermont, for armed robbery of a pharmacy in South Burlington, Vermont. Chief Judge Christina Reiss sentenced Shoram to four years of imprisonment followed by the statutory maximum of five years of supervised release.
Shoram committed this crime on May 24, 2015 when he walked into the Kinney Drug store in South Burlington, Vermont, carrying a BB gun that resembled a firearm. Upon entering the store, Shoram encountered two clerks, pointed the gun at them, and ordered them to walk to the back of the store where the pharmacy was located. There, Shoram had the pharmacist provide him with Percocet, Hydrocodone, and other drugs. Subsequently, Shoram directed the store employees to a bathroom at the back of the store, where he instructed the employees to remain until he had made his escape. Shoram then changed his clothes and attempted to leave the area, but law enforcement responded swiftly and arrested Shoram soon thereafter.
The case against Shoram was investigated by the South Burlington Police Department and the Vermont State Police.
The United States was represented in the case by Assistant United States Attorney Kunal Pasricha. Shoram was represented by Assistant Federal Public Defendant Steven L. Barth.
Sanford Man Sentenced More Than 11 Years on Drug Trafficking and Firearms ChargesRead the Press Release
Contact: Benjamin M. Block
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Jesse Roy, 37, of Sanford, Maine, was sentenced today in U.S. District Court by Judge Jon D. Levy to 140 months in prison to be followed by five years of supervised release for conspiracy to distribute heroin and fentanyl and possession of a firearm in furtherance of drug trafficking.
According to court records, from around June 2014 until October 20, 2014, Roy conspired to distribute heroin and fentanyl in the Sanford, Maine area and elsewhere. On October 20, 2014, a search warrant executed at Roy’s residence in Sanford resulted in the seizure of about 94 grams of heroin, $24,500 in U.S. currency, and a Davis Industries, model P380, .380 caliber handgun. Several months after his arrest, Roy sent two letters to his co-defendant setting forth a false narrative regarding the charges they faced in an effort to obstruct the investigation and prosecution.
Roy was sentenced to 80 months in prison for his role in the narcotics distribution conspiracy and an additional five years for the possession of a firearm in furtherance of drug trafficking. Judge Levy enhanced Roy’s sentence because of his attempt to obstruct justice and for acting as a manager or supervisor of the drug distribution conspiracy.
The case was investigated by the U.S. Drug Enforcement Administration and the Sanford Police Department.
Rio Grande Valley Resident Sentenced for Drug ConspiracyRead the Press Release
Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced that Rey Ramirez, 48, was sentenced on July 14, 2016, by United States District Court Judge Nancy J. Rosenstengel to 120 months in federal prison for conspiring to distribute and to possess with the intent to distribute cocaine and marijuana, with five years of supervised release to follow the imprisonment, and a $100 special assessment fee.
Facts revealed in open court at the sentencing and plea hearings established that during the conspiracy, Ramirez arranged the transportation for the delivery of over 2000 pounds of marijuana to Ohio and Georgia. He also agreed to distribute 21 kilograms of cocaine to distributors in Missouri. After considering many factors, such as Ramirez’s age, health, prior criminal record, and involvement and vital role in the conspiracy, Judge Rosenstengel sentenced Ramirez to 120 months, the mandatory minimum sentence required by federal law.
Evidence in support of this prosecution was obtained in an investigation which was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF initiative is designed to bring federal, state, and local law enforcement agencies and resources together to identify, target and dismantle large national and international drug trafficking organizations. Agencies participating in this case include the Drug Enforcement Administration and the Internal Revenue Service, Criminal Investigations. This case was prosecuted by Assistant United States Attorney Monica A. Stump.