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20 May 2016
Two More Convicted in Multi-State Heroin RingRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced today that two more defendants have been convicted in Operation Goldy Locks for their roles in a multi-state heroin ring which involved disguising heroin as oxycodone pills in order to maximize profits. Both defendants remain in custody and are scheduled to be sentenced on September 1, 2016. A total of eleven (11) defendants were indicted in this matter. Five (5) defendants have been convicted thus far.
On May 18, 2016, JUSTIN R. SCOTT, age 32, of Baton Rouge, Louisiana, pled guilty before Chief U.S. District Judge Brian A. Jackson to conspiring to distribute and possess with intent to distribute heroin, in violation of Title 21, United States Code, Section 846. Scott admitted that, between January 1, 2014, and February 18, 2015, he conspired with individuals in California and Louisiana to distribute thousands of heroin pills that had been pressed to resemble oxycodone. Once delivered to Baton Rouge from California, the pills were distributed to mid-level drug dealers and ultimately sold to drug abusers in East Baton Rouge and Livingston Parishes. Scott admitted to knowing that the pills contained heroin and that he intended to sell and profit from the sale of significant amounts of heroin.
On May 18, 2016, KEENAN HARRIS, JR., age 36, of Denham Springs, Louisiana, pled guilty before Chief Judge Jackson to distributing heroin, in violation of Title 21, United States Code, Section 841. Specifically, he admitted to re-distributing over 500 heroin pills on October 14, 2014, which he had received from Scott and which had been pressed to resemble oxycodone.
U.S. Attorney Green stated: “This case illustrates one of the many dangers associated with the use of any illegal drugs, namely, the inability of the user to know for sure what is contained in the drugs purchased. This danger can indeed be fatal. I am grateful for the hard work of the DEA, the prosecutor from my office, and the many federal, state, and local law enforcement agencies who collectively pursued this criminal organization.”
Eric L. Watson, the Acting Assistant Special Agent-in-Charge of the New Orleans Field Division of the U.S. Drug Enforcement Administration stated: “By removing these criminals from the streets of Louisiana, they can no longer distribute this toxic poison to our communities. Through remarkable partnerships with state, federal and local law enforcement, we are making major progress in preventing heroin trafficking from taking hold in our communities. This investigation is a compelling example of that success."
This matter was investigated by the U.S. Drug Enforcement Administration’s Tactical Diversion Squad in the Baton Rouge Office and the Internal Revenue Service - Criminal Investigation Division, with assistance from the Louisiana State Police, East Baton Rouge Parish Sheriff’s Office, Iberville Parish Sheriff’s Office, and Baton Rouge Police Department. The case is being prosecuted by Assistant United States Attorney Paul L. Pugliese.
Three MS-13 Members Convicted in RICO ConspiracyRead the Press Release
A federal jury convicted three defendants today of multiple charges related to a racketeering enterprise known as La Mara Salvatrucha, or MS-13.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Rod J. Rosenstein of the District of Maryland, Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore Field Office, Chief Hank Stawinski of the Prince George’s County, Maryland, Police Department, Chief J. Thomas Manger of the Montgomery County, Maryland, Police Department and Prince George’s County State’s Attorney Angela D. Alsobrooks made the announcement.
Jorge Enrique Moreno-Aguilar, aka Flaco and Castigato, 22, of District Heights, Maryland; Juan Alberto Ortiz-Orellana, aka Chele and Furia, 27, also of District Heights; and Minor Perez-Chach, aka Minor Chach-Perez, Little Bad and Bryant Sacarias, 25, of Hyattsville, Maryland, were convicted by a federal jury sitting in the U.S. District Court for the District of Maryland. All three defendants were found guilty of conspiracy to participate in a racketeering enterprise and murder in aid of racketeering. Additionally, Moreno-Aguilar and Ortiz-Orellana were convicted of conspiracy to commit murder in aid of racketeering, and Ortiz-Orellana and Chach-Perez were also convicted on various related firearms charges.
MS-13 is a national and transnational gang composed primarily of immigrants or descendants from El Salvador. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County, Montgomery County and Frederick County, Maryland. MS-13 members are required to commit acts of violence to maintain membership and discipline within the gang. One of the principal rules of MS-13 is that its members must attack and kill rivals, known as “chavalas,” whenever possible.
According to evidence presented at trial, from at least 2009 through October 2014, MS-13 members planned and committed murders, attempted murders, assaults and robberies in Prince George’s, Montgomery and Frederick Counties. Gang members also extorted brothel operators and owners of other illegal businesses and tampered with and retaliated against witnesses, among other crimes. Trial evidence demonstrated that Moreno-Aguilar and Ortiz-Orellana were members and associates of the MS-13 Sailors Locotes Salvatrucha Westside Clique and Perez-Chach was a member of the MS-13 Langley Park Salvatrucha Clique.
Trial evidence demonstrated that on January 2013, Moreno-Aguilar and Ortiz-Orellana targeted an individual associated with the rival 18th Street gang, obtained photographs of the victim and conspired to murder him with other members of MS-13. On March 12, 2013, Moreno-Aguilar and Ortiz-Orellana went to Capitol Heights, Maryland and shot the victim multiple times outside his home, killing him.
According to the trial evidence, in the early morning hours of Feb. 23, 2013, Perez-Chach met a man whom he believed to be a member of MS-13 who had testified against MS-13 members in federal trials. In fact, the victim was not the witness from the previous MS-13 trials, according to trial evidence. Perez-Chach followed the victim to his home in Hyattsville, where he stabbed the victim to death while another member of MS-13 attacked the victim with a machete, trial evidence demonstrated. Evidence presented at trial showed that during his arrest on May 20, 2013, Perez-Chach was found to be in illegal possession of a firearm and ammunition.
In addition to these convictions, 8 of the other 13 defendants charged in this investigation have pleaded guilty to their roles in the racketeering conspiracy.
HSI Baltimore, Prince George’s County Police Department, Montgomery County Police Department, Prince George’s County State’s Attorney’s Office and Montgomery County State’s Attorney’s Office investigated the case. Trial Attorneys Kevin Rosenberg and Catherine K. Dick of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys William D. Moomau and Lindsay Eyler Kaplan are prosecuting the case.
Three MS-13 Members Convicted in Murder ConspiracyRead the Press Release
Greenbelt, Maryland – A federal jury today convicted Jorge Enrique Moreno-Aguilar, aka “Flaco,” and “Castigato,” age 22; Juan Alberto Ortiz-Orellana, aka “Chele” and “Furia,” age 27, both of District Heights, Maryland; and Minor Perez-Chach, aka “Minor Chach-Perez,” “Little Bad” and “Bryant Sacarias,” age 25, of Hyattsville, Maryland, on charges related to a racketeering enterprise known as La Mara Salvatrucha, or MS-13.
The convictions were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Hank Stawinski of the Prince George’s County Police Department; Chief J. Thomas Manger of the Montgomery County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; and Montgomery County State’s Attorney John McCarthy.
All three defendants were found guilty of conspiracy to participate in a racketeering enterprise and murder in aid of racketeering. Moreno-Aguilar and Ortiz-Orellana were each convicted of conspiracy to commit murder in aid of racketeering. Ortiz-Orellana was also convicted of discharge of a firearm during a crime of violence, and murder resulting from the brandishing/discharge of a firearm during a crime of violence. Perez-Chach was also convicted of unlawful possession of a firearm and ammunition by an alien, and unlawful possession of a firearm and ammunition by a felon.
MS-13 is a national and transnational gang composed primarily of immigrants or descendants from El Salvador. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County, Montgomery County, and Frederick County, Maryland. MS-13 members are required to commit acts of violence to maintain membership and discipline within the gang. One of the principal rules of MS-13 is that its members must attack and kill rivals, known as “chavalas,” whenever possible.
According to evidence presented at the three-week trial, from at least 2009 through October 2014, MS-13 members planned and committed murders, attempted murders, assaults, and robberies in Prince George’s, Montgomery, and Frederick Counties. Gang members also extorted brothel operators and owners of other illegal businesses and tampered with and retaliated against witnesses, among other crimes. Moreno-Aguilar and Ortiz-Orellana were members and associates of the MS-13 Sailors Locotes Salvatrucha Westside (SLSW) Clique and Perez-Chach was a member of the MS-13 Langley Park Salvatrucha (LPS) Clique.
In January 2013, defendants Moreno-Aguilar and Ortiz-Orellana targeted an individual associated with the rival 18th Street gang, obtaining photographs of the victim from Facebook and conspiring to murder him with other members of MS-13. On March 12, 2013, Moreno-Aguilar and Ortiz-Orellana went to Capitol Heights, Maryland and Ortiz-Orellana shot the victim multiple times outside his home, killing him.
In the early morning hours of February 23, 2013, Perez-Chach met a man in a restaurant whom he believed to be a member of MS-13 who had previously testified against MS-13 members in federal trials in Greenbelt, Maryland. In fact, the victim was not the witness from the previous MS-13 trials, according to trial evidence. Perez-Chach followed the victim to his home in Hyattsville, Maryland where he stabbed the victim to death while another member of MS-13 attacked the victim with a machete. During his arrest on May 20, 2013, Perez-Chach was found in illegal possession of a firearm and ammunition.
All three defendants face a maximum sentence of life in prison for conspiring to participate in a racketeering enterprise, and a mandatory sentence of life in prison for murder in aid of racketeering. Moreno-Aguilar and Ortiz-Orellana face a maximum of 10 years imprisonment for conspiracy to commit murder in aid of racketeering. Ortiz-Orellana also faces a mandatory sentence of life in prison for murder resulting from the use and discharge of a firearm during a crime of violence; and a minimum of ten years for discharging of a firearm during a crime of violence. Perez-Chach also faces a maximum sentence of 10 years in prison for being a felon in possession of firearm and ammunition, and 10 years for being an alien in possession of firearm or ammunition. Moreno-Aguilar was acquitted of brandishing/discharge of a firearm during a crime of violence, and murder resulting from the brandishing/discharge of a firearm during a crime of violence.
U.S. District Judge Roger W. Titus has scheduled sentencing for all three defendants on October 12, 2016.
In addition to these convictions, 8 of the other 13 defendants charged in this investigation have pleaded guilty to their roles in the racketeering conspiracy.
United States Attorney Rod J. Rosenstein commended HSI Baltimore, Prince George’s County and Montgomery County Police Departments, and Prince George’s and Montgomery Counties State’s Attorney’s Offices for their work in the investigation and proceedings. Mr. Rosenstein thanked Assistant United States Attorneys William D. Moomau and Lindsay Eyler Kaplan as well as Trial Attorneys Kevin Rosenberg and Catherine K. Dick with the Justice Department’s Organized Crime and Gang Section.
Tampa Brothers Convicted in Child Sex Trafficking ConspiracyRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury today found Maurice Williams (25, Temple Terrace) guilty of child sex trafficking and possession of child pornography. He faces a maximum penalty of life in federal prison. A sentencing hearing is scheduled for August 24, 2016. His brother, Antawan Hudson (30, Tampa), pleaded guilty to all charges on the first day of trial and also faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for August 16, 2016. Williams and Hudson were indicted on November 4, 2015.
According to testimony and evidence presented at trial, Williams conspired with Hudson to traffic underage females by fraud, force, and coercion in the commercial sex trade. Williams and Hudson worked together to post online prostitution ads for the victims and then transported the girls throughout central Florida to have sex with customers. After the victims had sex with the customers, Williams and Hudson took some or all of the money and, in exchange, offered the victims drugs, alcohol, and beauty appointments.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorneys Stacie Harris and Daniel George.
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 United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Superseding Indictment Returned Charging Robbery, Murder of a Witness, and ObstructionRead the Press Release
U.S. Attorney Kenneth A. Polite announced that GREGORY DENSON, 53, ESCRELITA CARMOUCHE, 49, and KYRA D. MORRIS-GRIFFITH, 35, all of New Orleans, were charged today in a thirteen-count Seventh Superseding Indictment. DENSON and CARMOUCHE were charged with Conspiracy to violate the Hobbs Act, which prohibits interference with interstate commerce through violence. Defendant DENSON was also charged with various robberies and weapons offenses as well as the murder of an individual to stop that individual from providing information to law enforcement authorities about his (DENSON’S) activities. Defendant, MORRIS-GRIFFITH is charged with obstruction of a federal grand jury investigation.
U.S. Attorney Polite reiterated that the charges in the Seventh Superseding Indictment are merely charges, and that the guilt of the defendants must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation and the New Orleans Police Department in investigating this matter. Assistant United States Attorneys Michael M. Simpson and Michael E. McMahon are in charge of the prosecution.
Storage Facility Manager Sentenced for Drug TraffickingRead the Press Release
PROVIDENCE, R.I. – Kwame Davis, 42, of Pawtucket, a former manager of a storage facility business located in Pawtucket, was sentenced today to 77 months in federal prison for trafficking cocaine and heroin from his office at the storage facility.
At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Davis to serve 4 years supervised release upon completion of his prison term. Davis pleaded guilty in U.S. District Court in Providence on February 10, 2016, to one count each of possession with the intent to distribute cocaine and possession with the intent to distribute heroin.
Davis’ sentence is announced by United States Attorney Peter F. Neronha, Pawtucket Police Chief Paul King, East Providence Police Chief Christopher J. Parella, and Michael J. Ferguson, Special Agent in Charge of DEA in New England.
According to court records and information presented to the court, in June 2015, Pawtucket and East Providence Police detectives, and members of the Rhode Island DEA Drug Task Force, conducted an investigation into Kwame Davis’ drug trafficking activities. On multiple occasions, undercover purchases of drugs were made from Davis while he was in his office at his place of employment.
On June 24, 2015, law enforcement executed a court authorized search of Davis’ office and seized 540 grams of cocaine, 19 grams of heroin, and various items used in the packaging and distribution of drugs.
Davis has been detained since his arrest on June 24, 2015.
The case was prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.
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Contact:
Jim Martin (401) 709-5357
email: [email protected]
on Twitter @USAO_RI
St. Louis Man Pleads Guilty to Failure to Register as A Sex OffenderRead the Press Release
On May 20, 2016, Scott E. Smith, a thirty-one year old St. Louis, MO, man pled guilty in federal district court, in East St. Louis, to Failure to Register as a Sex Offender, the Acting United States Attorney for the Southern District of Illinois, James L. Porter, announced today. Smith is scheduled for sentencing on August 26, 2016, at which time he faces a maximum potential sentence of 10 years in prison and a fine up to $250,000, 5 years to life supervised release after his release from prison, and a mandatory special assessment of $100.
On January 14, 2008, Smith was convicted of Aggravated Criminal Sexual Abuse in Madison County, Illinois, and was required to register as a sex offender. Smith signed a Missouri Sex Offender Registration Form on September 3, 2014, while at the Booneville Correctional Center in Missouri. On June 24, 2015, Waterloo, Illinois police officers received an anonymous tip that Smith was living and working in Waterloo, Illinois. Officers then went to Smith’s place of employment to interview him. Smith admitted he had been working and living in Waterloo, Illinois, since March 2015, without updating his Missouri Sex Offender Registration Form, or registering as a sex offender in the State of Illinois, within three days of arrival.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case was investigated by the United States Marshals Service and is assigned to Assistant United States Attorney Daniel T. Kapsak.
Sheppard Pratt Director and Her Husband Sentenced to Prison in Illegal $2.7 Million Billing SchemeRead the Press Release
Baltimore, Maryland – U.S. District Judge James K. Bredar today sentenced Lyneth Nyabiosi, age 50, to 48 months in prison, and her husband, Willie Evans III, a/k/a “James Davies” and “James Davis,” age 54, both of Bear, Delaware, to 41 months in prison, both followed by three years of supervised release. The defendants had previously pleaded guilty to conspiring to commit mail fraud arising from a scheme to falsely bill Nyabiosi’s employer, Sheppard Pratt Health Systems, for approximately $2.7 million for work purportedly performed by a company that the defendants secretly controlled. Judge Bredar also ordered the defendants to forfeit and pay restitution of $2,742,791, and to forfeit two residences located in Bear and Newark, Delaware and three vehicles.
The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office.
Sheppard Pratt Health System is a private, non-profit health system in Maryland which offers mental health, substance use and special education services. Sheppard Pratt’s main campus is located in Towson, Maryland. From November 2005 to September 2014, Nyabiosi was the director of the Health Information Management Department (HIM Department) of Sheppard Pratt. The department was responsible for maintaining patient medical records. As the director, Nyabsiosi was the highest ranking employee in the HIM Department.
According to their plea agreements, Nyabiosi and Evans controlled and operated an entity named Information Management Solutions Technology (IMST), which was designed to appear as an independent third party contractor, but was in fact created by the defendants to execute the fraud scheme. On March 7, 2007, Nyabiosi, on behalf of Sheppard Pratt, entered into a contract with IMST to manage medical records for Sheppard Pratt. Nyabiosi never informed Sheppard Pratt that she and her husband were affiliated with IMST, in violation of Sheppard Pratt’s conflict of interest policy. To further hide their affiliation with IMST, Evans signed the contract on behalf of IMST as “James Davies,” a purported regional account representative at IMST. Thereafter, Evans continued to represent himself to Sheppard Pratt staff as “James Davis,” an account representative, even though no such person was ever affiliated with IMST.
From 2007 to 2014, the defendants submitted over 180 false invoices requesting that Sheppard Pratt pay IMST for work which was never performed, or for excessively inflated amounts for the work that was actually performed. For example, IMST picked up approximately 2,863 boxes of patient records from Sheppard Pratt for short-term storage, yet the invoices falsely represented that IMST had picked up over 500,000 boxes of patient records. Other invoices and documents provided to Sheppard Pratt falsely represented that IMST had picked up and was storing 20,270 boxes of records from the company Iron Mountain, when in fact, IMST never picked up a single box. And on two separate occasions in 2009, the defendants sent invoices to Sheppard Pratt for purported work on a project to digitize older patient records. The defendants paid a third party company $26,395 to complete the work, but they billed Sheppard Pratt $546,510.
Nyabiosi personally approved all of the false invoices, causing Sheppard Pratt to mail checks to IMST totaling $2,742,791. The defendants deposited the money in their bank account for their personal use.
In September 2014, the law firm representing Sheppard Pratt contacted “James Davis” using IMST contact information provided by the defendants. On September 4, 2014 and September 14, 2014, counsel for Sheppard Pratt met with Evans, who falsely represented himself to be “James Davis” and never revealed himself to be Nyabiosi’s husband. Evans falsely told the law firm that he, “James Davis,” alone owned IMST and was in charge of running the business.
United States Attorney Rod J. Rosenstein praised the FBI for its work in the investigation. Mr. Rosenstein also commended Sheppard Pratt for its internal investigation and for bringing the matter to the attention of law enforcement. Mr. Rosenstein thanked Assistant United States Attorney Rachel M. Yasser, who prosecuted the case.
San Jose Man Convicted on Sex Tourism and Obstruction ChargesRead the Press Release
SAN FRANCISCO – A federal jury convicted Michael Lindsay of traveling with intent to engage in illicit sexual conduct, engaging in illicit sexual conduct in foreign places, attempted witness tampering, and obstruction of justice announced United States Attorney Brian J. Stretch and Homeland Security Investigations (“HSI”) Special Agent in Charge Ryan Spradlin.
In its verdict, handed down late yesterday, the jury found that defendant traveled from San Francisco to Manila, the capital of the Republic of the Philippines, intending to have sex with a minor, and had sex with a minor while there. The jury also found that defendant attempted to tamper with a witness and obstructed justice. The guilty verdict followed a 4-day jury trial before the Honorable Charles R. Breyer, U.S. District Judge.
The evidence at trial established that Lindsay, 56, of San Jose, owned a condominium in the Manila area, and frequently traveled there. During trips in May and August of 2012, Lindsay had sex with a 13-year-old girl. Evidence at trial showed that defendant used instant messaging to communicate with the girl’s mother and arrange meetings for sex. After meetings, defendant paid the girl’s mother. In addition, defendant’s later email communications established that after a federal grand jury charged him, he engaged in attempted witness tampering and obstruction of justice.
On December 13, 2012, a grand jury returned an indictment charging defendant with traveling with intent to engage in illicit sexual conduct in foreign places, in violation of 18 U.S.C. § 2423(b), and one count of engaging in illicit sexual conduct in foreign places, in violation of 18 U.S.C. § 2423(c). On February 9, 2016, a federal grand jury returned a second superseding indictment, adding charges of attempted witness tampering, in violation of 18 U.S.C. § 1512(b), and obstruction of justice, in violation of 18 U.S.C. § 1503.
The investigation began when the HSI received a report in the Philippines that defendant had sex with a minor while in the Philippines, and that he paid the minor’s mother. HSI arrested defendant on November 8, 2012, at San Francisco International Airport, when he attempted to return to the Philippines for another visit.
Assistant U.S. Attorneys Laura Vartain and Katherine Wawryzniak are prosecuting the case with the assistance of Helen Yee, Theresa Benitez, and Patricia Mahoney. This prosecution is the result of HSI investigations in both the Philippines and the United States.
Defendant is currently in custody. Defendant's sentencing hearing is scheduled for August 3, 2012, before Judge Breyer in San Francisco. The maximum statutory penalty for each count in violation of 18 U.S.C. § 2423(b) and 18 U.S.C. § 2423(c) is 30 years, the maximum penalty for attempted witness tampering in violation of 18 U.S.C. § 1512(b) is 20 years, and the maximum penalty for obstruction of justice in violation of 18 U.S.C. § 1503 is 10 years. In addition, the maximum fine is $250,000 for each count, plus restitution. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Rochester Man Pleads Guilty to Crack Cocaine ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Lorenzo Snow, 43, of Rochester, NY, pleaded guilty to conspiracy to distribute crack cocaine before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Frank T. Pimentel, who is handling the case, stated that from December 2011 until February 17, 2012, Snow, who has two prior felony drug convictions, supplied a co-conspirator, Angelina Evans, with crack cocaine. Evans then sold the cocaine out of a residence at 129 Lock Street in Lockport, NY. On numerous occasions in January and February 2012, Evans sold crack supplied by Snow from that location to an individual while being monitored by law enforcement officers. On February 17, 2012, officers executed a search warrant at the residence and found an ounce of powder cocaine, and smaller quantities of crack and marijuana.
Evans previously pleaded guilty to the same offense for her role in the conspiracy and was sentenced in December 2013 to time-served.
The plea is the result of an investigation by the Niagara County Drug Trask Force, under the direction of Niagara County Sheriff James Voutour, and Special Agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Field Division.
Sentencing is scheduled for September 1, 2016, at 1:00 p.m. before Judge Arcara.
Ride or Die Gang Member Sentenced to Life in Prison Following Convictions on RICO, Drugs and Murder ChargesRead the Press Release
U.S. Attorney Kenneth A. Polite announced that SIDNEY PATTERSON, a/k/a “Duda Man” age 24, of New Orleans, was sentenced today after having previously been found guilty of violating the Racketeer Influenced Corrupt Organization Act “RICO,” as well as drug conspiracy, firearms conspiracy and murder charges.
U.S. District Judge Susie Morgan sentenced PATTERSON to serve the remainder of his life in prison.
In August 2015, PATTERSON, DELOYD JONES and BYRON JONES were convicted following an eight-day trial. According to evidence presented at trial, the defendants were members of the “Ride or Die” gang, which they also referred to as “R.O.D.” The Ride or Die gang was initially formed in or about 2007 and continued to exist through in or about 2013. During the course of the federal investigation into the gang, agents learned that the defendants used a house, located at 1632 Mandeville Street, among other locations, as a base of operations to package, sell, and store narcotics, as well as store firearms. The gang controlled the St. Roch neighborhood for its narcotics distribution activities through violence and threats of violence, to include murder, attempted murder, and assaults. The jury found PATTERSON guilty of one murder and two attempted murders.
The defendants were three of twelve defendants charged with conspiring to distribute cocaine base and possess firearms in furtherance of their drug trafficking crimes. DELOYD JONES and BYRON JONES were previously sentenced to life in prison. Prior to trial, nine defendants pled guilty to various charges. ANDREALIE LEWIS was previously sentenced to 48 months incarceration; TYONE BURTON was previously sentenced to 121 months of incarceration; ERVIN SPOONER and PERRY WILSON were each previously sentenced to 108 months of incarceration; TRE CLEMENTS was previously sentenced to 96 months of incarceration; NYSON JONES was previously sentenced to 87 months of incarceration; ROMALIS PARKER was previously sentenced to 70 months of incarceration; TYRONE BURTON and MORRIS SUMMERS were each previously sentenced to 60 months of incarceration.
U.S. Attorney Polite praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives as part of the metro area’s Multi-Agency Gang Unit (MAG) in investigating this matter. As an integral component of NOLA FOR LIFE’s Group Violence Reduction Strategy, the MAG Unit consists of a partnership with New Orleans Police Department (NOPD); Orleans Parish District Attorney’s Office (DA); Orleans Parish Sheriff’s Office (OPSO); Louisiana State Police (LSP); Parole Board of the Louisiana Department of Corrections; United States Attorney’s Office (USAO); Federal Bureau of Investigation (FBI); Drug Enforcement Administration (DEA); United States Marshal’s Service (USMS); and the United States Probation & Parole Office for the Eastern District of Louisiana. Assistant United States Attorneys Nolan D. Paige and Marquest Meeks, along with former Special Assistant United States Attorney Brian Ebarb, who was assigned from the Orleans Parish District Attorney’s Office, were in charge of the prosecution.
Probationer Gets Sentenced to 10 Years in PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Susan C. Bucklew today sentenced Theoridotes Collins (39, Sarasota) to 10 years in federal prison for being a felon in possession of a firearm while on state probation. The Court also ordered him to forfeit a firearm and ammunition seized from his residence. Collins was found guilty in a stipulated bench trial on February 16, 2016.
According to court documents, on April 21, 2015, Collins was convicted of fraudulent use of a credit card and fraudulent use of personal identification arising out of a robbery in front of a Dollar Tree in Bradenton. He later used his victim’s credit/debit card. The Circuit Court sentenced Collins to a one-year term of probation for the credit card fraud charge. At the time of his conviction, Collins had 19 prior convictions, including a home invasion robbery.
After Collins was placed on probation, the Manatee County Sheriff’s Office shared information with the Sarasota Police Department and ATF regarding Collins’s association with individuals suspected of being involved in recent shootings. On June 11, 2015, less than two months after Collins had been placed on state probation, the Florida Department of Corrections, Probation and Parole Field Service Office conducted a probation search of Collins’s residence in Sarasota. After two occupants falsely stated Collins was not at home, law enforcement officers saw him running out his back door into a neighbor’s yard. Collins was taken into custody and returned to the residence. During a search of his bedroom, the probation officers found a 9mm rifle and .40 caliber ammunition hidden between his mattress and a mattress pad. They also located crack cocaine, powder cocaine, baggies, a digital scale, and cash in the bedroom.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program – a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, and Regina Lombardo, Special Agent in Charge, ATF, are coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials including Sarasota Police Chief Bernadette DiPino and Manatee County Sheriff W. Brad Steube. It is also a part of ATF’s Frontline strategy to reduce gun violence in our communities.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Sarasota Police Department, and the Manatee County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Rachel Jones and Simon Gaugush.
Private Violin Teacher Charged in White Plains Federal Court with Transporting, Receiving, and Possessing Child PornographyRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Angel M. Melendez, the Special Agent-in-Charge of the New York Office of the United States Immigration and Customs Enforcement (“ICE”), Homeland Security Investigations (“HSI”), announced today the voluntary surrender of NICHOLAS SZUCS for transporting, receiving, and possessing child pornography. SZUCS, a private violin teacher, surrendered today at the White Plains federal courthouse and was presented before United States Magistrate Judge Judith C. McCarthy.
Manhattan U.S. Attorney Preet Bharara stated: “The allegations in this case are particularly disturbing and sad. A private violin teacher, who works with children, stands accused of allegedly victimizing children. Thanks to the efforts of the Westchester County District Attorney’s Office and Homeland Security Investigations, SZUCS’s alleged illicit conduct was brought to light, and he will now have to answer to these serious charges.”
HSI Special Agent-in-Charge Angel M. Melendez stated: “This music teacher allegedly violated his position of trust and robbed the victims of their innocence. HSI agents will continue to police the cyber space to investigate and bring to justice those individuals who exploit the most vulnerable segment of our society- our children.”
As alleged in the criminal Complaint unsealed today in White Plains federal court[1]:
From at least 2012 to 2015, SZUCS possessed, transported, and received images and videos containing child pornography. According to the Complaint, SZUCS used a peer to peer file sharing network to download child pornography. Searches of an external hard drive and a laptop belonging to SZUCS revealed hundreds of images and videos of child pornography. SZUCS also attempted to have the laptop destroyed before law enforcement could seize it.
SZUCS is charged with one count each of transporting and of receiving child pornography, each of which carries a mandatory minimum sentence of five years in prison and a maximum sentence of 20 years in prison, and one count of possessing child pornography, which carries a maximum sentence of 10 years in prison. Each of the three counts also carries a maximum fine of $250,000 or twice the gross gain or loss from the offense. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Bharara praised the outstanding investigative work of Homeland Security Investigations. He also thanked the Westchester County District Attorney’s Office, including their High Tech Squad, for their assistance in the investigation.
HSI encourages the public to report suspected child predators and any suspicious activity through its toll-free hotline at 1-866-DHS-2ICE. Investigators staff this hotline around the clock. Suspected child sexual exploitation or missing children may also be reported to the National Center for Missing and Exploited Children, an Operation Predator partner, at 1-800-843-5678 or http://www.cybertipline.com.
The case is being handled by the Office’s White Plains Division. Assistant United States Attorney Jennifer Beidel is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
###
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the descriptions of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Physician Assistant Ordered to Pay $77,900, Excluded from Medicare and Medicaid, and Sentenced to Six Months' Home Detention for Accepting $12,600 in Illegal KickbacksRead the Press Release
GRAND RAPIDS, MICHIGAN— U.S. Attorney Patrick Miles announced that Ronald Mingle, age 73, a physician assistant from Alma, Michigan, was sentenced to pay $62,900 in restitution to Medicare and Medicaid, a $15,000 fine, and to serve six months of home detention for accepting $12,600 in illegal kickbacks for referring patients to medical clinics, physical therapy clinics, and a home health care agency. Mingle is the eleventh person, and the fifth physician assistant, convicted of felony charges in connection with a joint federal-state investigation into a kickback scheme initiated by clinic owner Babubhai Rathod. Mingle will also be mandatorily excluded from participating with the Medicare and Medicaid programs for at least five years.
In sentencing Mingle, U.S. District Judge Janet T. Neff stated that accepting kickbacks is "a tremendously serious crime" affecting programs that "successfully meet the needs of low income people for medical services." Judge Neff further noted that when a person "cheats the government, you cheat everyone."
U.S. Attorney Miles emphasized that, "Paying kickbacks for patient referrals distorts the motives of health care professionals. Paying or receiving illegal referral payments can result in felony criminal charges, exponential financial liability, mandatory exclusion from Medicare and Medicaid, as well as professional licensing sanctions."
"Paying kickbacks for the referral of Medicare or Medicaid patients is a serious crime," said Lamont Pugh III, Special Agent in Charge, U.S. Department of Health & Human Services, Office of Inspector General – Chicago Region. "Kickbacks inappropriately influence health care practitioners’ medical decision making process, lead to overutilization and/or up-coding of services, and further increase program costs. The OIG will continue to aggressively pursue kickback allegations to ensure the integrity of the Medicare and Medicaid programs and protect vital taxpayer dollars."
This case was the result of a coordinated effort by the U.S. Attorney’s Office for the Western District of Michigan, the Michigan Attorney General’s Office, the Federal Bureau of Investigation, the U.S. Department of Health and Human Services, Office of Inspector General, and Blue Cross Blue Shield of Michigan. Assistant U.S. Attorneys Raymond E. Beckering III and Adam B. Townshend prosecuted this matter.
END
Parkersburg man pleads guilty to attempted production and possession of child pornographyRead the Press Release
CHARLESTON, W.Va. – A Parkersburg man pleaded guilty today to federal child pornography crimes, announced Acting United States Attorney Carol Casto. Jeremy L. Kelley, 39, entered his guilty plea in federal court in Charleston to attempted production of child pornography videos and images and possession of child pornography.
Kelley admitted that on September 6, 2014, he intentionally placed a Motorola cellphone in a vent located above a shower in a bathroom. Kelley further admitted that he placed the cellphone in the vent so that he could secretly record a minor in the shower. Law enforcement located a removable media device at Kelley’s Parkersburg residence in November 2015, and an analysis of that device revealed over 600 images of child pornography. More than 600 images of child pornography were also located on a Nexus cellphone and a computer used by Kelley at his place of employment in Pleasants County, located in the Northern District of West Virginia. Kelley also admitted to sharing some of the child pornography over the Internet. Kelley’s prosecution was the result of federal, state, and local law enforcement agencies working together in both the Northern and Southern Districts of West Virginia.
“This joint investigation demonstrates the commitment across law enforcement to bringing a child predator to justice,” said Acting United States Attorney Carol Casto. “Without this collaboration, this successful prosecution would not be possible.”
Kelley faces a mandatory prison sentence of 15 years and a maximum fine of $500,000 when he is sentenced on August 25, 2016. Under the terms of the plea agreement, Kelley agreed to pay restitution to the victims and register as a sex offender. Following his release from prison, Kelley will be placed on supervised release for 30 years.
The investigation was conducted by DHS Homeland Security Investigations, the West Virginia State Police, the West Virginia Internet Crimes Against Children Task Force, and the Parkersburg Police Department. Assistant United States Attorneys Lisa G. Johnston and Sarah W. Montoro are in charge of the prosecution. The plea hearing was held before United States District Judge John T. Copenhaver, Jr.
This case is being brought as part of an ongoing initiative of the United States Attorney’s Office to combat child sexual exploitation and abuse in the Southern District of West Virginia.
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Owner of Tax Preparation Business Pleads Guilty to Tax FraudRead the Press Release
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced today that Eyob Tilahun, 30, of St. Louis, MO, formerly the owner of a local tax return preparation business known as "Tax King," pled guilty to a charge of conspiring to submit false claims to the United States Government.
Tilahun owned and operated several Tax King locations in St. Louis, Missouri, and one in East St. Louis, Illinois. In the pleading guilty today, Tilahun admitted that Tax King’s return preparers were trained and instructed to increase their customers’ refunds by falsifying certain information on their tax returns. The false information that was placed on the returns included: (1) false Business Income and Schedules Cs which caused the clients to qualify for larger Earned Income Credits ("EICs"); (2) false wages, which again caused the clients to qualify for larger EICs; (3) false education expenses which enabled the clients to qualify for American opportunity education credits; and (4) false information regarding fuel taxes which qualified the clients for federal fuel tax credits.
Tilahun admitted that he profited from the scheme by charging Tax King’s clients fees which ranged from approximately $400 to $650. The indictment in the case alleges that the return preparers also profited by requesting cash "tips" from the clients that ranged from approximately $100 to $1,000.
"Tilahun and his business, Tax King, caused money to be stolen money from all Americans," Acting United States Attorney Porter stated. "Theft from our citizens, whether done by a gun or a computer, is simply unacceptable. Our office will continue all efforts to bring to justice those who cheat the American public."
"While most return preparers provide excellent service to their clients, a few unscrupulous tax preparers file false and fraudulent returns to defraud the government, the tax-paying public and their own clients," said Karl Stiften, Special Agent in Charge of IRS Criminal Investigation. "Taxpayers should be careful in selecting the tax professional who will prepare their returns."
The sentencing hearing for Tilahun is set for August 26, 2016, at 10:00 a.m. The charge of conspiring to submit false claims carries a maximum sentence of 10 years in federal prison, up to a $250,000 fine, and restitution.
Four other defendants in the case have previously pled guilty. On April 29, 2016, Mason B. Richmond, 31, of St. Louis, MO, and Lakesha R. Wilson, 28, of East St. Louis, IL, both pled guilty in to conspiring to submit false claims and related tax charges. Richmond worked as a return preparer at Tax King location at 900 N. Grand in St. Louis. Wilson worked as a return preparer at the East St. Louis, IL, Tax King. Wilson is scheduled to be sentenced on August 5, 2016, and Richmond’s sentencing is set for August 12, 2015. Tanesa L. Beverly, 32, of Belleville, IL, and Melissa L. Wiley, 34, of Granite City, IL, both pled guilty in May 2015. Both Beverly and Wiley were return preparers at the East St. Louis Tax King. Beverly and Wiley are scheduled to be sentenced on September 9, 2016.
Charges are still pending against two additional return preparers from the East St. Louis location. The trial of Edric A. Russell, 35, and Pierre J. Carter, 33, both of East St. Louis, is scheduled to begin on August 22, 2016, at the Federal Courthouse in East St. Louis. As to those defendants, the public is reminded that they are presumed innocent of the charges until proven guilty beyond a reasonable doubt.
The investigation is being conducted by agents from the Fairview Heights, Illinois, and St. Louis, Missouri Offices of the Internal Revenue Service – Criminal Investigations. The case is being prosecuted by Assistant United States Attorney Scott A. Verseman.
The prosecution of this case is being coordinated with the United States Attorney’s Office for the Eastern District of Missouri. Several of the return preparers from the St. Louis locations of Tax King have been charged in federal court in St. Louis.
Owings Mills Man Sentenced to Prison for the Robbery of an Owings Mills Jewelry Store Including Kidnapping and Brandishing a GunRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Grigoriy (Greg) Zilberman, age 25, of Owings Mills, Maryland, today to three years in prison, followed by five years of supervised release, for conspiracy, kidnapping, and brandishing a firearm in relation to a crime of violence, in connection with the robbery of a jewelry store, including a home invasion robbery, carjacking and kidnapping. Judge Motz also entered an order requiring Zilberman to pay restitution of $500,000.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
According to his plea agreement, Zilberman was part of a conspiracy, led by Stanislav “Steven” Yelizarov, to rob an Owings Mills jewelry store. In the course of the conspiracy, Zilberman participated in an armed home invasion robbery designed to obtain firearms for use in the later robbery of the jewelry store.
Specifically, on July 22, 2012, S. Yelizarov, his brother, MaratYelizarov, Zilberman and Aleksey Sosonko, robbed a home in Reisterstown, Maryland. Zilberman had been a guest in the home on a number of occasions and knew that the residents of the home owned firearms. After conducting surveillance of the home for several days prior to the robbery, at 2:30 a.m. on July 22, 2012, the conspirators, dressed all in black and wearing ski masks and latex gloves, entered the home through the garage door. S. Yelizarov was armed with a handgun when they entered the residence. The other three men grabbed long guns as they entered the home and carried them with them. A resident of the home was asleep when the four robbers entered his bedroom and woke him up, pointing guns at him and shining flashlights in his eyes. S. Yelizarov beat the resident when he tried to resist while M. Yelizarov tied up the resident with a belt and a cord. The robbers ransacked the home for about an hour, looking for firearms and other valuables. After the robbers left, the resident was able to free himself and call police. The resident was taken to the hospital for treatment of his injuries. Among the items stolen from the house were 10 long guns (rifles and shotguns), a crossbow, a laptop computer, and jewelry. Numerous electronic devices including computers and televisions were destroyed during the robbery. The value of the items stolen was approximately $10,000.
S. Yelizarov also devised a plan to commit the jewelry store robbery and recruited Zilberman, Sosonko, M. Yelizarov, Igor Yasinov, Peter Magnis, Sorhib Omonov and others to participate in the robbery. Prior to the robbery, the conspirators gathered intelligence, including conducting surveillance and attaching a GPS device to the car of an employee of the jewelry store in order to learn the employee’s travel routine and habits. Zilberman also exploited his friendship with the employee to obtain information about the operation of the jewelry store and the habits of the employee.
According to their plea agreements, on January 15, 2013, Zilberman enticed the employee to visit his home, in order to alert the other co-conspirators of the employee’s whereabouts. While the employee was at Zilberman’s home, the other conspirators met at S. Yelizarov’s residence to prepare for the kidnapping and robbery, including preparing the firearms and donning masks and gloves. Early in the morning on January 16, 2013, M. Yelizarov and Omonov followed the employee from Zilberman’s home and notified the other conspirators of the employee’s location so they could follow the employee. S. Yelizarov, Sosonko, Yasinov, and Magnis used a law enforcement-type light bar and a loudspeaker to impersonate a police officer and pull over the employee. Brandishing firearms which were supplied by S. Yelizarov, the conspirators removed the employee from his car, bound and blindfolded the employee, put him into the trunk of his own car, and drove him to a predetermined location. Once at the location, Sosonko, Yasinov, Magnis, and S. Yelizarov continued to brandish firearms and threatened to kill the employee’s family if he did not comply with their demands or if he reported the incident to police. The employee complied and at approximately 3:52 a.m., Sosonko and S. Yelizarov drove the employee’s vehicle from the remote location to the jewelry store. Yasinov and Magnis stayed with the employee. M. Yelizarov and Omonov were stationed near the jewelry store to act as look-outs. S. Yelizarov and Sosonko entered the jewelry store and stole jewelry, stones, and watches, valued at about $500,000, then drove back to the remote location. The employee was then placed back into the trunk of his car and driven to another location, where he was left. The employee was able to kick his way out of the trunk through the back seat of his car.
On January 18, 2013, S. Yelizarov sold a portion of the stolen jewelry for approximately $29,000 to an FBI informant. On January 19, 2013, S. Yelizarov traveled to Brooklyn, New York to sell some of the jewelry and stones taken during the robbery, receiving over $100,000. On January 21, 2013, he returned to Maryland and divided the cash proceeds among the members of the conspiracy and others. S. Yelizarov determined how much each participant received based on his perception of the risk and the conduct of each participant.
On January 25, 2013, S. Yelizarov was arrested in Buffalo, New York, on charges of federal misuse of a passport. From January 25 through February 2, 2013, S. Yelizarov placed calls directing M. Yelizarov, Sosonko, and others, to remove from his residence and dispose of evidence related to the jewelry store robbery, including cash from the sale of the jewelry, firearms used during the conspiracy, the law enforcement light bar, the GPS device, a laptop computer, and other evidence of the crimes.
Stanislav “Steven” Yelizarov, age 26, of Pikesville, Maryland, was sentenced to 30 years in prison, after he pleaded guilty to a robbery conspiracy, kidnapping, and brandishing a firearm in relation to a crime of violence. Marat Yelizarov, age 27, of Pikesville, and Aleksey Sosonko, age 35, of Owings Mills, were sentenced to 18 years and 14 years in prison, respectively. Peter Aleksandrov Magnis, age 28, of Hydes, Maryland, and Sorhib Omonov, age 27, of Baltimore, were sentenced to seven years in prison and four years in prison, respectively. Judge Motz also entered an order requiring all of the sentenced defendants to pay restitution of $500,000. Igor Yasinov, age 26, of Baltimore, also pleaded guilty and is awaiting sentencing.
United States Attorney Rod J. Rosenstein praised the FBI, Baltimore County Police Department, and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Paul E. Budlow and Aaron S. J. Zelinsky, who are prosecuting the case.
Oregon Woman Pleads Guilty in $1.2 Million Federal Income Tax Refund Fraud SchemeRead the Press Release
Conspired with Others to Prepare and File at Least 224 False Income Tax Returns
An Oregon woman pleaded guilty today to one count of conspiracy to defraud the government with respect to claims, one count of wire fraud and one count of aggravated identity theft for running a federal income tax refund fraud scheme, announced Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division, U.S. Attorney Billy J. Williams of the District of Oregon and Special Agent in Charge Teri Alexander of the Internal Revenue Service – Criminal Investigation (IRS-CI).
Danyelle Calcagno, 41, admitted to filing at least 224 false federal income tax returns that fraudulently claimed a total of $1,220,246 in tax refunds, generally between $3,500 and $7,000 per return. Calcagno filed the fraudulent tax returns using Internet access at Portland-area hotels to disguise the source of filing. Calcagno filed the false tax returns using the names and social security numbers of other individuals obtained directly and through recruiters, including Latisha L. Simmons, 36, of Phoenix, Arizona.
Calcagno directed the IRS to deposit the income tax refunds into bank accounts and onto stored value debit cards that she could access and control in order to divide the proceeds of the fraud and make it more difficult for law enforcement to identify Calcagno as the filer of the false tax returns. Calcagno received at least $25,000 in fraudulently obtained income tax refunds into her own bank accounts.
Calcagno faces a statutory maximum sentence of 10 years in prison on the conspiracy charge, 20 years in prison on the wire fraud charge and a mandatory term of two years in prison on the aggravated identity theft charge, which will be in addition to any other term of imprisonment she receives. Calcagno also faces financial penalties and a term of supervised release. As part of her plea agreement, Calcagno agreed to pay restitution to the IRS in the amount of $742,754.
In October 2015, Simmons was sentenced to 39 months in prison after pleading guilty to one count of wire fraud, one count of false claims against the government and one count of aggravated identity theft. According to her plea agreement, Simmons filed more than 50 false tax returns with the IRS that fraudulently claimed more than $400,000 in refunds.
Acting Assistant Attorney General Ciraolo, U.S. Attorney Williams and Special Agent in Charge Alexander thanked special agents of IRS-CI, who investigated this case and Trial Attorney Leslie A. Goemaat of the Tax Division and Assistant U.S. Attorney Quinn P. Harrington of the District of Oregon, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Oregon Woman Pleads Guilty in $1.2 Million Federal Income Tax Refund Fraud SchemeRead the Press Release
WASHINGTON – An Oregon woman pleaded guilty today to one count of conspiracy to defraud the government with respect to claims, one count of wire fraud and one count of aggravated identity theft for running a federal income tax refund fraud scheme, announced Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division, U.S. Attorney Billy J. Williams of the District of Oregon and Special Agent in Charge Teri Alexander of the Internal Revenue Service – Criminal Investigation (IRS-CI).
Danyelle Calcagno, 41, admitted to filing at least 224 false federal income tax returns that fraudulently claimed a total of $1,220,246 in tax refunds, generally between $3,500 and $7,000 per return. Calcagno filed the fraudulent tax returns using Internet access at Portland-area hotels to disguise the source of filing. Calcagno filed the false tax returns using the names and social security numbers of other individuals obtained directly and through recruiters, including Latisha L. Simmons, 36, of Phoenix, Arizona.
Calcagno directed the IRS to deposit the income tax refunds into bank accounts and onto stored value debit cards that she could access and control in order to divide the proceeds of the fraud and make it more difficult for law enforcement to identify Calcagno as the filer of the false tax returns. Calcagno received at least $25,000 in fraudulently obtained income tax refunds into her own bank accounts.
Calcagno faces a statutory maximum sentence of 10 years in prison on the conspiracy charge, 20 years in prison on the wire fraud charge and a mandatory term of two years in prison on the aggravated identity theft charge, which will be in addition to any other term of imprisonment she receives. Calcagno also faces financial penalties and a term of supervised release. As part of her plea agreement, Calcagno agreed to pay restitution to the IRS in the amount of $742,754.
In October 2015, Simmons was sentenced to 39 months in prison after pleading guilty to one count of wire fraud, one count of false claims against the government and one count of aggravated identity theft. According to her plea agreement, Simmons filed more than 50 false tax returns with the IRS that fraudulently claimed more than $400,000 in refunds.
Acting Assistant Attorney General Ciraolo, U.S. Attorney Williams and Special Agent in Charge Alexander thanked special agents of IRS-CI, who investigated this case and Trial Attorney Leslie A. Goemaat of the Tax Division and Assistant U.S. Attorney Quinn P. Harrington of the District of Oregon, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Operator of Alleged Cybercrime Marketplace Extradited to the United States to Face ChargesRead the Press Release
On Friday, May 20, 2016, a complaint was unsealed in Brooklyn federal court charging Djevair Ametovski, a Macedonian citizen also known as “codeshop,” “sindrom,” and “sindromx,” with crimes related to his operation of the website Codeshop.su, a website allegedly created for the sole purpose of selling illegally obtained credit and debit card data and personal identification information for financial gain. The charges include aggravated identity theft, access device fraud conspiracy, and wire fraud conspiracy. The defendant is scheduled to be arraigned at 11 a.m. tomorrow, May 21, 2016, before United States Magistrate Judge Roanne L. Mann at the U.S. Courthouse, 225 Cadman Plaza East, Brooklyn, New York.
The charges were announced by Robert L. Capers, United States Attorney for the Eastern District of New York, and David E. Beach, Special Agent in Charge, United States Secret Service, New York Field Office.
“Cybercriminals who create and operate online criminal marketplaces in which innocent victims’ financial and personal information are bought and sold erode consumer trust in modern-day payment systems and cause millions of dollars in losses to financial institutions and unsuspecting individuals. Today marks a major step in bringing the alleged operator of one such criminal marketplace to justice, and should serve as a warning to others who seek to profit from perpetuating these fraudulent schemes,” stated United States Attorney Capers. Mr. Capers cited the extraordinary efforts of the Secret Service, the agency responsible for leading the government’s investigation, and also thanked the Slovenian Ministry of the Interior and Ministry of Justice, for their assistance in the investigation and effecting the defendant’s extradition, the United States Marshals Service, for their assistance in transporting the defendant to the United States, and the U.S. Department of State Regional Security Officers in Slovenia and the Netherlands, for their assistance in facilitating the defendant’s extradition.
“Today’s extradition of alleged cybercriminal Djevair Ametovski from Central Europe is the culmination of a seven-year investigation and demonstrates the relentless pursuit by the Secret Service and its international partners to bring cybercriminals to justice. Multinational cyber investigations require establishing critical partnerships with our international law enforcement partners. The immeasurable assistance provided to our New York Electronic Crimes Task Force by the Slovenian Authorities in this case illustrates that our investigative reach will continue to expand beyond the borders of the United States,” said Special Agent in Charge Beach of the United States Secret Service New York Field Office.
As detailed in the complaint, Ametovski obtained valuable data from hackers, who stole it from financial institutions and other businesses or from individuals using “phishing” tactics.[1] Ametovski then sold the data on his website, a fully indexed and searchable website that allowed users to search through databases of stolen data by bank identification number, financial institution, country, state, and card brand to find the precise data that they wished to buy. Individuals who bought data from the website generally used it to make online purchases and to encode plastic cards with the data and use the cards to withdraw cash at ATMs. Ametovski used a network of online money exchangers and digital currencies to pay the hackers who fed him data and to receive payments from the website users who bought data in order to conceal all participants’ identities, including his own. Over the course of the scheme, Ametovski obtained and sold credit and debit card data for more than 181,000 different cards. In many instances, the data included personal details associated with the account holder, including email address, billing address, phone number, and account holder name. The charged scheme resulted in millions of dollars in financial losses to thousands of victims around the world.
Ametovski was arrested in Ljubljana, Slovenia, on January 22, 2014, and was extradited to the United States today.
The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s National Security & Cybercrime Section. Assistant United States Attorneys Una Dean, Saritha Komatireddy, and Hilary Jager are in charge of the prosecution. Substantial assistance was provided by Marcus Busch of the Justice Department’s Office of International Affairs.
The Defendant:
DJEVAIR AMETOVSKI
Alias: Codeshop, Sindrom, Sindromx
Age: 29
Nationality: Macedonian E.D.N.Y. Docket No. 14 M 058
[1] “Phishing” is a common cyber fraud tactic that involves sending an email to a user falsely claiming to be an established legitimate enterprise in an attempt to scam the user into surrendering private information. In this case, such emails commonly directed users to visit a bogus website where they were asked to update personal information, such as passwords and credit card, social security, and bank account number previously provided to a legitimate organization.
Officials from the U.S., Canada and Mexico Participate in 2016 Trilateral Meeting in Toronto to Discuss Antitrust EnforcementRead the Press Release
The heads of the antitrust agencies of the United States, Canada and Mexico met today in Toronto to discuss their ongoing work to ensure effective antitrust enforcement cooperation in our increasingly interconnected markets.
The meetings were held among Principal Deputy Assistant Attorney General Renata Hesse of the Department of Justice’s Antitrust Division, Chairwoman Edith Ramirez of the Federal Trade Commission, Canadian Commissioner of Competition John Pecman and President Alejandra Palacios Prieto of the Mexican Federal Economic Competition Commission.
The discussions covered a wide range of topics, including recent developments, effective agency litigation, disruptive innovation, cooperation between agencies and technical assistance.
“We are very fortunate to have such strong relationships with our partners in Canada and Mexico,” said Principal Deputy Assistant Attorney General Hesse. “In this increasingly globalized economy, close cooperation with our North American colleagues is important to protecting the competitiveness of our markets. These meetings are a useful part of our ongoing enforcement collaboration, and they provide a great opportunity to discuss our shared competition policy challenges.”
“The antitrust relationship among the United States, Canada and Mexico is one of the most advanced in the world,” said Chairwoman Ramirez. “We work together on cross-border cases to ensure effective and compatible enforcement and on policy matters to promote convergence toward best practices. Our meeting enables us to strengthen our cooperation to enhance competition and benefit our consumers.”
The meetings build on the foundations laid by the 1995 antitrust cooperation agreement between the United States and Canada, the 1999 agreement between the United States and Mexico and the 2001 agreement between Canada and Mexico. The agreements commit the antitrust agencies to cooperate and coordinate with each other to make their antitrust policies and enforcement as consistent and effective as possible.
The four agency heads also spoke at an enforcers’ roundtable at the spring conference of the Canadian Bar Association’s Competition Law Section, which included exchanges among the four agency heads on international cooperation, disruptive innovation and merger remedies.
Methamphetamine Trafficker Sentenced to 12.5 Years in PrisonRead the Press Release
ASHEVILLE, N.C. – Joel Elias Gonzalez, 53, formerly of Franklin, N.C. was sentenced yesterday to 151 months in prison followed by five years of supervised release for trafficking large quantities of crystal methamphetamine, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina. Gonzalez pleaded guilty in February 2016 to one count of distribution of methamphetamine.
U.S. Attorney Rose is joined in making today’s announcement by Daniel R. Salter, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office; C.J. Hyman, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division; Sheriff Robert L. Holland of the Macon County Sheriff’s Office; and Sheriff Chip Hall of the Jackson County Sheriff’s Office.
According to filed court documents and statements made in court, from in or about June of 2015, Gonzalez was responsible for trafficking large amounts of crystal methamphetamine (crystal meth) in the Franklin, N.C. area and the Rabun County, Georgia area. Court records indicate that Gonzalez purchased the crystal meth from a source of supply in and around Atlanta, Georgia. According to court records, Gonzalez and was responsible for trafficking approximately 1.3 kilograms of crystal meth.
Gonzalez is in federal custody and will be transferred to custody of the Bureau of Prisons upon designation of a federal facility. Federal sentences are served without the possibility of parole.
In making today’s announcement, U.S. Attorney Rose noted that multiple agencies worked together to bring this prolific crystal methamphetamine trafficker to justice and thanked the DEA, the ATF, the Macon County Sheriff’s Office, the Jackson County’s Sheriff’s Office for investigating this case.
Assistant United States Attorney Thomas Kent of the U.S. Attorney’s Office in Asheville handled the prosecution.
Maryland Man Pleads Guilty to Conspiracy to Defraud the United StatesRead the Press Release
PITTSBURGH - A Maryland resident pleaded guilty in federal court to a charge of conspiracy to defraud the United States, United States Attorney David J. Hickton announced today.
Simon T. Tusha, 43, of Forest Hill, Maryland pleaded guilty to one count of conspiracy to obstruct and impede the IRS before United States District Judge Terrance F. McVerry.
In connection with the guilty plea, the court was advised that Tusha, who during the relevant time was employed by a large international corporation in order to enter into agreements with data centers in the United Kingdom and the Netherlands, had taken kickback or bribe payments from a company called Trammell-Crow Netherlands (TCN) and from a company called Evolved IT in the United Kingdom. The payments were in connection with favorable treatment and advantageous agreements that TCN and Evolved IT received from Tusha’s employer that they would not have received in the absence of his intervention. The evidence presented to the Court showed that during the time period 2008 through 2010 Tusha received in excess of $2,700,000 in payments that he did not report on his income tax returns, leaving a tax due of more than $960,000.
Judge McVerry scheduled sentencing for Sept. 16, 2016. The law provides for a total sentence of not more than five years in prison, a fine of up to $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
The Internal Revenue Service, Criminal Investigations and the Department of Homeland Security Investigations conducted the investigation that led to the prosecution of Tusha.
Local Physician Pleads Guilty to Health Care FraudRead the Press Release
ROCKFORD — A suspended physician pleaded guilty today in federal court to charges of health care fraud. CHARLES S. DEHANN, 61, of Belvidere, Ill., pleaded guilty before Judge Frederick J. Kapala to two counts of health care fraud in a scheme to defraud Medicare that included overbilling and billing Medicare for treatment of patients that were already deceased.
According to the written plea agreement, DeHaan, during the course of the scheme, was a physician licensed in Illinois, who between January 2009 and January 24, 2014, primarily billed Medicare for in-home patient visits and certifications for patients he deemed homebound. DeHaan admitted in the plea agreement that he knew Medicare authorized payment for home visits and physician services only if those services were actually provided and were medically necessary because of disease, infirmity, or impairment. The plea agreement further states that DeHaan billed Medicare for medical services purportedly provided to patients when he knew he did not provide any reimbursable medical service. This included DeHaan billing Medicare at the highest reimbursement levels for routine, non-complex visits with new and established patients even though DeHaan knew the visit did not qualify for the highest levels of reimbursement, and billing Medicare for patients DeHaan never actually treated. According to the plea agreement, some of the patients DeHaan billed at the highest reimbursement levels but did not actually see were deceased on the date of the alleged visit.
On each count DeHaan faces a maximum potential penalty of up to 10 years in prison, a term of supervised release of up to 3 years following imprisonment, and a fine of up to $250,000, or twice the gross gain or gross loss resulting from that offense, whichever is greater, as well as full restitution. Sentencing for DeHaan is scheduled for Sept. 21, 2016, at 9:30 a.m.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Michael Anderson, Special Agent-in-Charge of the Chicago Office of Federal Bureau of Investigation; and Lamont Pugh, III, Special Agent-in-Charge of the Chicago Regional Office of the U.S. Department of Health and Human Services Office of Inspector General. The Illinois Department of Financial and Professional Regulation assisted in the investigation.
The government is represented by Assistant U.S. Attorneys Scott R. Paccagnini and Talia Bucci.
Plea Agreement
Liverpool Man Pleads Guilty to Child Exploitation ChargesRead the Press Release
SYRACUSE, NEW YORK – Jason Kopp, 40, of Liverpool, New York pled guilty today to all twenty-two counts of an indictment charging him with the exploitation of children as well as the possession and distribution of child pornography, announced United States Attorney Richard S. Hartunian and FBI Resident Agent in Charge Andrew Vale of the FBI Albany Division.
"The sexual abuse of infants and toddlers is conduct at the deepest depths of depravity, and the production of child pornography perpetuates the victimization. Today’s guilty plea highlights the FBI's sustained success identifying and arresting such child sexual predators. We will seek a sentence commensurate with the gravity of these crimes," said U.S. Attorney Hartunian.
"The FBI stands determined with our law enforcement partners to stem the tide of child exploitation," said Special Agent in Charge Andrew W. Vale. "Predators like Mr. Kopp victimize the most innocent among us and he will be held accountable for his heinous and unspeakable crimes."
The investigation began on March 4, 2016 when a Task Force Officer assigned to the Washington, D.C. Metropolitan Police Department-Federal Bureau of Investigation Child Exploitation Task Force (Washington Field Office), acting in an undercover capacity, began texting with Jason Kopp, who was using a screen name of "daymein39" and who also displayed the initials "JK." In texts between the two, Jason Kopp told the undercover officer that he had pictures of a female infant that had been sent to him by a woman acquaintance and distributed images of the infant to the officer. FBI Special Agents, assisted by the New York State Police, arrested Jason Kopp in Liverpool, New York on March 18, 2016.
As part of his guilty plea today Jason Kopp admitted that he and another person conspired to sexually exploit the infant for the purpose of producing visual depictions of the abuse. Kopp also admitted to ten separate events in which he exploited children for the purpose of producing images and videos of the abuse. In addition to the exploitation of the infant, Kopp’s offenses included the exploitation of a male toddler-aged child. He also pled guilty to nine separate counts of distributing the images he and another person produced, and to two counts of possessing child pornography he had downloaded from the Internet.
Sentencing is scheduled for September 14, 2016. For his convictions for Conspiracy to Sexually Exploit a Child (count 1) and Exploitation of a Child (counts 2,3,6,7,8,9,10,11,12, and 13) Kopp faces a mandatory minimum sentence of fifteen (15) years and a maximum sentence of thirty (30) years on each count. For his convictions for Distribution of Child Pornography (counts 14,15,16,17,18,19,20,21and 22) he faces a mandatory minimum sentence of five (5) years, and a maximum of 20 years on each count, and for his convictions for Possession of Child Pornography (counts 27 and 28), he faces a maximum sentence of twenty (20) years imprisonment. Sentences of imprisonment may be concurrent or consecutive at the discretion of the Court. The Court may also impose a fine of up to $250,000 per count, and must impose a term of supervised release of between five (5) years and life. Kopp will also be required to register as a sex offender.
This case is being investigated by the Albany Division of the FBI (Syracuse Resident Agency), the New York State Police and the Metropolitan Police Department-Federal Bureau of Investigation Child Exploitation Task Force (Washington Field Office), and is being prosecuted by Assistant U.S. Attorneys Lisa Fletcher and Robert Levine.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Law Enforcement Officials Among 15 Charged in Drug Trafficking ConspiracyRead the Press Release
HOUSTON – A grand jury sitting in Houston has returned an 11-count indictment against several individuals to include current or former law enforcement officers, in a cocaine trafficking conspiracy, announced U.S. Attorney Kenneth Magidson.
U.S. Border Patrol Agent Daniel Polanco, 34, and Edinburg Police Officer Hector Beltran, 40, both of Edinburg, surrendered to federal authorities today. Former Houston Police Officer Marcos Esteban Carrion, 38, of Sugar Land, was already in custody on unrelated charges and is expected to make an initial appearance in the near future. A summons has also been issued for former Precinct 7 Deputy Constable Juan Ignacio Leal, 36, of Houston, who is expected to appear in Houston federal court May 31.
Also charged are Noe Arnoldo Moczygemba, 42, and Carlos Aaron Oyervides, 41, both of Houston; Angel Alberto Lopez-Rodriguez, 42, a Mexican national residing in Mission; Dimas DeLeon-Rios, 41, a Mexican national of Edinburg; Carmen Meyer, 60, and Maritssa Salinas, 38, both of Mission; Mario Alejandro Solis, 37, a Mexican national residing in San Juan; Martin Peña, 59, a citizen of the Dominican Republic residing in Houston; Ruben Angel Nava-Perez, 29, a Mexican national residing in Katy; and Francisco Arizmendiz-Lugo, 51, and Jesus Alejandro Martinez-Lopez, 37, both of Reynosa, Tamaulipas, Mexico.
Lopez-Rodriguez, DeLeon-Rios, Oyervides, Meyer, Solis, Peña and Nava-Perez are currently in custody and set to make an appearance May 31, 2016, before U.S. Magistrate Judge Dena Palermo in Houston. Moczygemba and Salinas are also expected to be in custody in the near future.
Arizmendiz-Lugo and Martinez-Lopez are considered fugitives and warrants remain outstanding for their arrests. Anyone with information about their whereabouts are asked to contact DEA at 713-693-3000.
The superseding indictment, returned May 18, 2016, charges all 15 with conspiracy to possess with intent to distribute more than five kilograms of cocaine. Each defendant also faces varying numbers of charges of possession with intent to distribute cocaine. Lopez-Rodriguez is charged with one count of possession with the intent to distribute methamphetamine.
Each defendant faces a minimum of 10 years and up to life in federal prison as well as a possible $10 million fine on each count of conviction.
The four-year Organized Crime Drug Task Force Investigation dubbed Operation Blue Shame was investigated by the Drug Enforcement Administration, Homeland Security Investigations and Internal Revenue Service – Criminal Investigations. Assistant U.S. Attorney Anibal J. Alaniz is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless and until convicted through due process of law.
Kalamazoo, Michigan, Man Charged with Multiple Counts of Sex Trafficking and Interstate Transportation for ProstitutionRead the Press Release
David Q. Givhan, 34, of Kalamazoo, Michigan, was charged by grand jury indictment, unsealed late yesterday, with multiple counts of sex trafficking and interstate transportation for prostitution, announced Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division and U.S. Attorney John E. Kuhn Jr. of the Western District of Kentucky.
Givhan was arrested on May 18, 2015, and appeared before Magistrate Judge Colin H. Lindsay of the Western District of Kentucky on May 19, 2016. Givhan is charged with three counts of interstate transportation for prostitution and two counts of sex trafficking an adult by force, fraud or coercion.
According to the indictment, the alleged criminal acts occurred between October 2014 and May 2015, and involved three women over the age of 18. The three women were transported by Givhan from Michigan to Kentucky to engage in prostitution.
The indictment also alleges that Givhan recruited and transported two of the women, knowing and in reckless disregard of the fact that means of force, threats of force, fraud and coercion, would be used to cause them to engage in commercial sex acts.
An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty. If convicted, his maximum sentence for the interstate transportation for prostitution charges is 10 years in prison. For the sex trafficking charges, his maximum sentence is life in prison.
This case is being investigated by the FBI’s Louisville, Kentucky, Division and Louisville Metro Police Department. The case is being prosecuted by Assistant U.S. Attorney Amanda E. Gregory of the Western District of Kentucky and Trial Attorney William Nolan of the Civil Rights Division’s Human Trafficking Prosecution Unit.
Givhan Indictment
Kalamazoo, Michigan, Man Charged with Multiple Counts of Sex Trafficking and Interstate Transportation for ProstitutionRead the Press Release
WASHINGTON – David Q. Givhan, 34, of Kalamazoo, Michigan, was charged by grand jury indictment, unsealed late yesterday, with multiple counts of sex trafficking and interstate transportation for prostitution, announced Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division and U.S. Attorney John E. Kuhn Jr. of the Western District of Kentucky.
Givhan was arrested on May 18, 2015, and appeared before Magistrate Judge Colin H. Lindsay of the Western District of Kentucky on May 19, 2016. Givhan is charged with three counts of interstate transportation for prostitution and two counts of sex trafficking an adult by force, fraud or coercion.
According to the indictment, the alleged criminal acts occurred between October 2014 and May 2015, and involved three women over the age of 18. The three women were transported by Givhan from Michigan to Kentucky to engage in prostitution.
The indictment also alleges that Givhan recruited and transported two of the women, knowing and in reckless disregard of the fact that means of force, threats of force, fraud and coercion, would be used to cause them to engage in commercial sex acts.
An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty. If convicted, his maximum sentence for the interstate transportation for prostitution charges is 10 years in prison. For the sex trafficking charges, his maximum sentence is life in prison.
This case is being investigated by the FBI’s Louisville, Kentucky, Division and Louisville Metro Police Department. The case is being prosecuted by Assistant U.S. Attorney Amanda E. Gregory of the Western District of Kentucky and Trial Attorney William Nolan of the Civil Rights Division’s Human Trafficking Prosecution Unit.
Jury Finds Jackson Man Guilty in Armed Carjacking CaseRead the Press Release
Jackson, Miss - Following a three day trial in United States District Court in Jackson, a jury found Lindsey Johnson, age 28, of Jackson, guilty of armed carjacking, felon in possession of a firearm, and brandishing a firearm during the commission of a felony, announced U.S. Attorney Gregory K. Davis.
The crime took place on August 2, 2015 at the Northwood Village Apartments in Jackson. The victim had been visiting relatives in the apartment complex when Lindsey Johnson approached him with a .38 caliber revolver. Johnson demanded that the victim get out of the car and give him any money that he had on his person. Johnson then left the apartments in the victim’s Lexus automobile and was later spotted by Jackson Police officers. He led JPD officers on a high speed chase through the city of Jackson where they were able to safely apprehend him. JPD officers and federal agents with the bureau of Alcohol, Tobacco, Firearms, and Explosives recovered two weapons from the vehicle.
Johnson will be sentenced by U.S. District Judge William H. Barbour on August 2, 2016 at 9:00 a.m. The maximum penalty for the carjacking offense is 15 years in federal prison and a $250,000 fine. The maximum penalty for the felon in possession of a firearm offense is 10 years in federal prison and a $250,000 fine. The maximum penalty for brandishing a firearm during the commission of a felony is 7 years in federal prison and, under federal law, must run consecutive to the time he will receive on the first two counts.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives along with the Jackson Police Department, and prosecuted by Assistant U.S. Attorney Abe McGlothin, Jr. and Deputy Criminal Chief Darren Lamarca.
Hudson County, New Jersey, Man Sentenced to 30 Years in Prison for Armed Robbery Spree of North Jersey Banks and RestaurantsRead the Press Release
NEWARK, N.J. – A North Bergen, New Jersey, man was sentenced today to 360 months in prison for leading an armed robbery spree of banks and commercial establishments in Bergen and Hudson counties in July 2013, U.S. Attorney Paul J. Fishman announced.
Gary Bohanan, 47, previously pleaded guilty before U.S. District Judge Claire C. Cecchi in July 2014 to a superseding indictment charging him with one count of conspiracy to commit armed bank robberies and Hobbs Act robberies, two counts of armed bank robbery, and two counts of armed Hobbs Act robbery. Judge Cecchi imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
On July 10, 2013, Bohanan and Ramon Lopez, 25, of Union City, New Jersey, donned masks and entered a McDonald’s restaurant in North Bergen. Bohanan brandished a handgun and demanded money from the employees. Bohanan and Lopez then took $1,600 from the cash registers and fled in a car driven by Josephine Chenet, formerly of North Bergen.
On July 18, 2013, Bohanan, Angel Feliu, 22, of North Bergen, Lopez, and Chenet cased Le Chateau restaurant in West New York, New Jersey, for the purpose of robbing it. After waiting for an employee to close the restaurant, Bohanan and the other individuals followed the employee home and robbed her at gunpoint of $6,000 in proceeds from the restaurant.
On July 22, 2013, Bohanan, Feliu, and Chenet robbed the Sovereign Bank (now Santander Bank) in Secaucus, New Jersey. Bohanan and Feliu entered the bank at 10:11 a.m. Both men wore latex gloves and masks. Once inside the Sovereign Bank, Bohanan jumped over the counter and proceeded to empty two drawers of money into a black bag, while pointing a black handgun at the bank tellers. As Bohanan emptied the drawers, Feliu stood guard. Bohanan and Feliu then fled the bank with $21,961 and shared the proceeds of the robbery with Lopez and Chenet.
On July 26, 2013, Bohanan, Feliu, and Chenet robbed the TD Bank in Fairview, New Jersey. Bohanan and Feliu entered the bank at 9:48 a.m. Bohanan and Feliu both wore latex gloves and masks. Feliu, however, was captured by the bank’s video surveillance system before he pulled the mask on. Feliu brandished a knife at employees and customers. Bohanan brandished what appeared to be a black handgun, but was later identified as an air pistol. Bohanan then jumped over the counter and emptied two drawers of money into a black bag, while pointing the air pistol at bank tellers. As Bohanan emptied the drawers, Feliu stood guard and held bystanders back by brandishing the knife.
Bohanan and Feliu fled on foot and were followed by concerned citizens and victims of the bank robbery. Bohanan encountered a white GMC Savana van, pointed the air pistol at the driver and ordered the driver out. Bohanan then attempted to flee the area by driving away in the van, but crashed it into a nearby structure after a short distance, at which point he attempted to flee the area on foot.
Law enforcement and concerned citizens located Bohanan hiding under a truck parked a short distance away. He had with him a black bag containing a black air pistol and money covered with red dye. Feliu separated from Bohanan after the bank robbery and fled in a car driven by Chenet. Shortly thereafter, Feliu exited Chenet’s vehicle and fled on foot into a nearby cemetery where he was located and arrested.
In addition to the prison term, Judge Cecchi sentenced Bohanan to five years of supervised release.
Feliu pleaded guilty in a separate proceeding to one count of conspiracy to commit armed bank robberies and Hobbs Act robberies and two counts of armed bank robbery. Feliu was sentenced in March 2015 to 46 months in prison. Lopez also pleaded guilty in a separate proceeding to one count of conspiracy to commit armed bank robberies and Hobbs Act robberies and two counts of Hobbs Act robberies. Lopez was sentenced in March 2015 to 47 months in prison. Charges that had been pending against Chenet for her role in the robberies were dismissed due to her death on June 22, 2014.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, with the investigation. He also thanked the Fairview, North Bergen, and Secaucus police departments for their contributions to the case.
The government is represented by Assistant U.S. Attorney Francisco J. Navarro of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Michael Pedicini Esq., Chatham, New Jersey
Heroin Trafficking Conspiracy Broken UpRead the Press Release
But Opioid Addiction a Growing Problem Regionally and Nationally
MARQUETTE, MICHIGAN — United States Attorney Patrick A. Miles, Jr., announced the results of a joint investigation by the U.S. Drug Enforcement Administration (DEA), the Michigan State Police and its drug team, the Upper Peninsula Substance Enforcement Team (UPSET), and the Forsyth Township Police Department into heroin trafficking from Detroit to Marquette County from 2012 to 2015.
The investigation led to convictions of the following people:
Lamarol Travron Abram, age 39, of Detroit, Michigan, was sentenced to 170 months in federal prison after being convicted of conspiracy to distribute and possess with intent to distribute heroin and cocaine from 2012 to 2015. Abram’s case was transferred to the Eastern District of Michigan. He was convicted there and sentenced by U.S. District Judge John C. O’Meara in Ann Arbor on March 10, 2016.
Megan Marie Tinney, age 25, of Gwinn, Michigan, was sentenced to 46 months in federal prison after being convicted of the conspiracy charge along with Abram. U.S. District Judge R. Allan Edgar sentenced Tinney in Marquette on May 18, 2016.
Jimmy Wayne McFied, age 33, of Gwinn, Michigan, was sentenced by U.S. District Judge Robert Holmes Bell to 48 months in prison following a conviction for distribution of heroin.
Carlton Murray, Jr., age 37, of Gwinn, Michigan, was sentenced by Judge Edgar to 30 months in federal prison after being convicted of possession of heroin and cocaine with intent to distribute.
Rachel Lynn Hanson, age 32, of Ishpeming, Michigan, was sentenced by Judge Bell to 151 months in federal prison after being convicted of possession of cocaine with intent to distribute.
These convictions do not end the local problem with heroin and prescription opiates. Quite the opposite. The information gathered in this investigation reveals that a significant demand for heroin exists in Marquette County. DEA investigators conservatively estimate, based on information uncovered in the investigation, that Abram sold a minimum of several ounces of heroin per month for more than three years in the local area. It is believed that he could have sold a great deal more.
The Center for Disease Control has described prescription painkiller overdoses as a "public health epidemic." In fact, addiction to opioids (heroin and prescription opiate painkillers) is growing, and annual opioid-related deaths now exceed the number of annual traffic fatalities. A nationwide, county by county depiction of annual death rates from drug poisoning from 1999-2014 by county can be found at http://blogs.cdc.gov/nchs-data-visualization/drug-poisoning-mortality/
Nationally, about 9 people per 100,000 die from opioid abuse annually. That equates to about 78 people per day, and about 28,500 per year. And Michigan is one of the states that his hardest hit by the epidemic. For example, in Michigan, the number of babies treated for neonatal abstinence syndrome (NAS) has doubled in recent years. NAS is a group of problems that occur in a newborn who was exposed to addictive illegal or prescription drugs while in the mother’s womb. Hospitals in the Upper Peninsula had the highest rate of NAS in the state by far, with a rate of 21 cases per 1,000 births in 2014.
Ms. Tinney’s case demonstrates how opiate addiction can impact multiple generations. She began using prescription opiates many years ago and was using these substances daily by the age of 21. Now 25, she has given birth to two children and been unable to hold down any form of employment. She will now be spending the next 3-4 years in prison while someone else raises her children.
Tinney, in contrast to most addicts, however, has a unique opportunity. During her sentencing hearing, Judge Edgar recommended that she participate in the Federal Bureau of Prison’s Residential Drug Abuse Program (RDAP), which is a 9-month program offered to federal inmate with significant drug issues. These inmates reside in a separate unit from general population and devote their full day to programming, work, school and vocational activities. RDAP has been shown to be very successful in preventing recidivism and relapse and is frequently requested by drug-addicted federal convicts.
Through criminal prosecutions, law enforcement works to deter drug trafficking and spread awareness of the dangers posed by illicit drug use. But the U.S. Attorney’s Office’s efforts extend beyond prosecutions. The U.S. Attorney’s Office has offered and will continue to offer presentations on the dangers of opioid addiction, the extent of the drug diversion problem and challenges for law enforcement to audiences that include doctors and medical providers, public radio listeners, local television media affiliates, state and local law enforcement officers, the State Attorney General’s Office and even local elected officials.
To spread awareness of the dangers opioids pose, the Department of Justice has sponsored a 45-minute documentary film entitled "Chasing the Dragon," https://www.fbi.gov/news/stories/2016/february/raising-awareness-of-opioid-addiction/raising-awareness-of-opioid-addiction. The film depicts the harsh reality of opioid addiction and the rapid path to abuse, addiction and too frequently death. It contains frank discussions of the impact of opiates and heroin on the lives of users and their families. The language and the outcomes are not pleasant, but the film can serve as an instructive tool for discussions with parents and students. U.S. Attorney Miles has begun reaching out to school districts in West Michigan to begin a dialogue about how to spread awareness among vulnerable youth of the dangers of opioids. Any school district interested in such a conversation, should contact the U.S. Attorneys Office.
END
Guatemalan National Indicted for Illegal Re-EntryRead the Press Release
U.S. Attorney Kenneth A. Polite announced that JULIO RAYMUNDO-SANTOS, age 41, a citizen of Guatemala, was charged today in a one-count Indictment for illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a).
According to the Indictment, RAYMUNDO-SANTOS reentered the United States after he was previously deported on April 4, 2014. If convicted, RAYMUNDO-SANTOS faces a maximum term of imprisonment of two years, a maximum fine of $250,000, a maximum term of supervised release of one year, and a mandatory $100 special assessment.
U. S. Attorney Polite reiterated that an Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the United States Department of Homeland Security in investigating this matter. Assistant U.S. Attorney Spiro G. Latsis is in charge of the prosecution.
Government Reaches $2.5 Million Settlement in Healthcare Fraud MatterRead the Press Release
SAN JUAN, Puerto Rico – On May 18, 2016, the U.S. Government entered into an out of court settlement agreement with Hospicio La Paz, Inc., in connection with a False Claims Act investigation carried out by the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG) and the U.S. Attorney’s Office, District of Puerto Rico. The investigation uncovered approximately $1,504,509.00 in questionable billings submitted for payment by Hospicio La Paz, Inc. to Medicare Program, Part A, from October 2011, through September 2012.
Under the False Claims Act, Title 31, United States Code, Sections 3729, et seq., the United States can recover up to three times the amount of loss and civil monetary penalties ranging from $5,500.00 to $11,000.00 per false claim. As part of the settlement negotiations, Hospicio La Paz, Inc. paid the United States Government the sum of $2,500,000.00, including excess damages and penalties. Furthermore, Hospicio La Paz will enter into a compliance agreement with HHS-OIG.
The United States Attorney’s Office will continue to investigate healthcare fraud matters, and will aggressively pursue civil and criminal actions against those who attempt to defraud the United States. The matter was prosecuted by Assistant U.S. Attorney Rafael J. López Rivera, Civil Health Care Fraud Coordinator, at the U.S. Attorney’s Office.
Former Talbot County Attorney Sentenced to Prison for Real Estate Investment Fraud Scheme with over $768,000 in LossesRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Aaron G. Seltzer, age 39, of Trappe, Maryland, today to five years in prison, followed by three years of supervised release, for wire fraud in connection with a scheme in which he converted funds intended for real estate investments to his personal use.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office.
According to his plea agreement and court documents, Seltzer was a licensed Maryland attorney who handled real estate transactions and maintained an office in Crofton, Maryland. From January 2008, through 2010, Seltzer offered victims fraudulent investment opportunities then diverted the money intended for the investments for his own benefit. Seltzer obtained a total of $768,242 through seven fraudulent transactions. As part of his plea agreement, Seltzer is required to pay restitution in that amount.
For example, Seltzer offered to sell an investor 45% of an Anne Arundel County real estate company, claiming that he owned 100% of the stock, assets and liabilities of the company, when in fact, he did not. The investor sent a total of $92,000 to Seltzer, which Seltzer used for his own benefit. During the summer of 2009, Seltzer contacted a lawyer in New York and represented that a client of Seltzer’s was seeking a business loan. Seltzer proposed that the loan be secured by a mortgage on three commercial properties located in Virginia, purportedly owned by Seltzer’s client. The New York attorney assembled a group of investors to fund the loan. Seltzer presented the attorney with a fraudulent promissory note, which Seltzer falsely claimed was signed by a representative of his client. Seltzer further falsely represented that he had conducted the closing for the loan and presented the attorney with fabricated closing documents. On behalf of the investors, the attorney wired Seltzer $497,527 to fund the loan, which Seltzer diverted to his own benefit.
Seltzer was investigated by the Maryland Attorney Grievance Commission for his conduct in the scheme and was subsequently disbarred.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein praised HSI Baltimore, and the FBI and for their work in the investigation and recognized the Maryland Attorney Grievance Commission and Bar Counsel Glenn Grossman for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorney Leo J. Wise, who prosecuted the case.
Former Senior Executive from Universal Forest Products Robert Lees Found Guilty by White Plains Federal Jury for Fraudulent Kickback SchemeRead the Press Release
Preet Bharara, United States Attorney for the Southern District of New York, announced today that ROBERT LEES, a former senior executive of Universal Forest Products, Inc. (“UFP”) was convicted a jury of conspiracy, mail fraud, money laundering and making false statements in a loan application following a seven-day trial in White Plains before United States District Judge Kenneth M. Karas.
Manhattan U.S. Attorney Preet Bharara said: “Today, a jury unanimously found that Robert Lees, a senior executive at Universal Forest Products, participated in a kickback scheme that defrauded both HUD and a mortgage lender. This verdict should serve as a warning to other corporate executives tempted by fraud.”
The evidence at trial proved that, in or about 2009, Michael Barnett, a real-estate developer, hired JK Scanlan Company, Inc. (“Scanlan”) to be the general contractor on Vineyard Commons, a senior housing community in Ulster County. In or about 2009, Scanlan entered into falsely inflated contracts with Shawnlee Construction, LLC (“Shawnlee”), a subsidiary of UFP for which LEES had responsibility, to be the subcontractor on Vineyard Commons responsible for framing and rough carpentry.
In or about 2009, a private lender (the “Mortgagor”), agreed to provide financing to Vineyard Commons, which financing would be insured by HUD. The Mortgagor and the borrower agreed that the proceeds would be disbursed incrementally after the borrower submitted draw requests based upon its completion of phases of the project.
On or about January 19, 2009, Shawnlee provided Scanlan a final bid to supply labor and materials for Vineyard Commons. In or about March and April 2009, representatives of UFP – including LEES – Shawnlee, and Scanlan entered into an agreement by which UFP and Shawnlee agreed to provide labor and materials in an amount approximately $865,000 greater than the final bid. LEES and others intended for the approximately $865,000 difference between the final bid and the inflated contract price to be returned to Barnett as a kickback, and further intended that the Mortgagor would unwittingly finance the kickback by disbursing HUD-insured funds on the basis of inflated draw requests.
In or about early 2009, Scanlan’s owner agreed to provide Barnett and Vineyard Commons with a million-dollar loan. In order to obtain this loan, Barnett informally pledged the anticipated $865,000 kickback to Scanlan’s owner as collateral.
In or about June 2009, Barnett needed additional funds in order to secure HUD-insured financing from the Mortgagor. UFP provided a $650,000 letter of credit to the Mortgagor. Barnett informally pledged the anticipated approximately $865,000 kickback to UFP as collateral, even though it was already pledged to Scanlan’s owner.
On or about July 2, 2009, Barnett and others provided HUD with a written estimate of the cost of Shawnlee’s work (the “Final Framing Price”) that exceeded Shawnlee and UFP’s actual price for labor and materials by approximately $865,000.
Beginning in or about July 2009, and continuing until in or about January 2012, Barnett and Scanlan submitted contractor’s requisitions (the “Contractor Requisitions”) on forms provided by HUD to the Mortgagor, which the Mortgagor then sent to HUD. These Contractor Requisitions included a certification by a representative of Scanlan that “all the information stated herein, as well as any information provided in the accompaniment herewith, is true and accurate.” Each of these forms set forth the Final Framing Price as the actual cost of rough carpentry. Each month, the Mortgagor disbursed HUD-insured funds on the basis of the Contractor Requisitions. UFP set aside the “extra” from the Shawnlee/Scanlan contract in an accrual account falsely labeled as a rebate accrual.
In or about January 2010, LEES agreed with Barnett to pay Scanlan’s owner $200,000, which payment they understood would be guaranteed by part of Barnett’s interest in the approximately $865,000 difference between the contract price and the actual price for labor and materials provided by Shawnlee and UFP. Barnett sought this payment, and LEES agreed to make this payment, as a partial payment of Barnett’s obligation to Scanlan’s owner. LEES arranged for UFP to send a $200,000 check to a company controlled by Barnett that was not involved in the development of Vineyard Commons – which would then pass the money on to Scanlan’s owner. On or about January 15, 2010, UFP issued a check for $200,000 to Barnett’s company and mailed it from Michigan to Barnett in Dutchess County, New York.
On or about January 20, 2010, Barnett sent to Scanlan’s owner in Massachusetts a $200,000 check that he drew on the account into which Barnett had deposited the check he received from UFP.
Later in 2010, Barnett sought a five-million-dollar loan from UFP. Among other incentives, Barnett offered to surrender the remainder of his kickback to UFP, allowing UFP to take that money into its own profit. With LEES’s encouragement, UFP issued the loan to Barnett.
The developer of Vineyard Commons defaulted on the loan after the project failed. HUD assumed the loan and sold the project, losing $28 million.
LEES, 62, of Lititz, Pennsylvania, is scheduled to be sentenced by Judge Karas on November 4, 2016. LEES faces a maximum sentence of five years in prison on the conspiracy count, 20 years in prison on the mail fraud count, 30 years in prison for making false statements in a loan application, and 10 years in prison on the money laundering count. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes, as any sentencing of the defendant will be determined by the judge.
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Mr. Bharara praised the investigative work of the HUD-OIG.
The prosecution is being handled by the Office's White Plains Division. Assistant U.S. Attorneys Michael D. Maimin and Won S. Shin are in charge of the prosecution.
Former Miami-Dade Police Department Officer Charged in Illegal Bribery and Kickback SchemeRead the Press Release
Former Miami-Dade Police Department Officer Lazaro Ponce was arrested for his participation in a bribery and kickback scheme, in violation of Title 18, United States Code, Sections 371, 666(a)(1)(B), and 666(a)(2).
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Juan J. Perez, Director, Miami-Dade Police Department (MDPD), made the announcement.
On May 20, 2016, Ponce voluntarily surrendered pursuant to an Information filed by the U.S. Attorney’s Office. In that charging document, Ponce is alleged to have accepted bribes over a one-year period during which he was employed as a uniformed MDPD police officer. In exchange for cash payments from tow truck drivers, Ponce would permit those drivers to circumvent the Miami Dade rotational towing list and illegally solicit business from stranded motorists at MDPD accident scenes. Ponce is also alleged to have provided accident locations to tow truck drivers in exchange for payments and, on at least one occasion, gave his encrypted MDPD radio to some of his non-police coconspirators to help further the scheme.
After his initial appearance before U.S. Magistrate Judge John O’Sullivan, Ponce was released on a $200,000 personal surety bond. The case is presently assigned to United States District Judge Joan Lenard, Case No. 16-CR-20361-Lenard. If Ponce is convicted, he faces a maximum sentence of five years’ imprisonment, a maximum fine of $250,000 and a maximum term of three years’ supervised release.
Mr. Ferrer commended the investigative efforts of the FBI Miami Area Corruption Task Force and the MDPD Internal Affairs Division. This case is being prosecuted by Assistant U.S. Attorney Anthony Lacosta.
An information is merely an allegation and every defendant is presumed innocent until proven guilty.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Erie Resident Admits He Failed to Register as a Sex OffenderRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of failure to register under SORNA, United States Attorney David J. Hickton announced today.
Warren Gannoe, 57, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Gannoe knowingly failed to update his registration as required by the Sex Offender Registration and Notification Act.
Judge Cercone will schedule the sentencing at a later date. The law provides for a total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The United States Marshal’s Service conducted the investigation that led to the prosecution of Gannoe.
Former Employee at a Lubbock Counseling Center is Sentenced on Health Care Fraud ConvictionRead the Press Release
LUBBOCK, Texas — A 36-year-old woman from Lubbock, Texas, Paula McNeal, who pleaded guilty in January 2016 to one count of health care fraud, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 18 months in federal prison and ordered to pay $104,088 in restitution, announced U.S. Attorney John Parker of the Northern District of Texas.
McNeal, aka Paula Quigley and Paula Walker, was ordered to surrender to the Bureau of Prisons on June 24, 2016.
According to documents filed in the case, McNeal worked at New Hope Christian Counseling (NHCC) in Lubbock, and her duties included billing, submitting bills to Medicaid for services provided, receiving and opening mail, posting income, adjustments and receipts to counselors’ accounts, and making bank deposits.
From approximately December 7, 2010, to August 8, 2013, McNeal falsely and fraudulently billed Medicaid for services that were not provided, using the group billing number for NHCC and the individual provider identifier for one of the counselors. As a result, Medicaid mailed approximately $104,088.45 in checks to NHCC to which NHCC was not entitled and which McNeal appropriated for her own personal use.
McNeal submitted bills for extra claims to Medicaid for NHCC existing clients and their siblings. These clients and their siblings received no services from NHCC. McNeal also billed for unserved children whose Medicaid numbers were available to her. She misappropriated more than 100 checks and deposited them into one of three personal bank accounts.
The case was investigated by the Texas Attorney General’s Medicaid Fraud Control Unit.
Assistant U.S. Attorney Paulina Jacobo was in charge of the prosecution.
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Former Carmel investor sentenced in fraud schemeRead the Press Release
Over $300,000 swindled from unsuspecting investors
PRESS RELEASE
Indianapolis – United States Attorney Josh Minkler announced today that a former Carmel investor was sentenced in federal court to 57 months (nearly five years) imprisonment on 15 counts of wire fraud, one count of securities fraud and one count of money laundering. Jaime C. Lopez, 41, currently residing in Wabash Indiana, was sentenced by U. S. District Judge Tanya Walton Pratt. He was convicted in a four-day jury trial in January 2016.
“Stealing from retirement accounts to fund a lavish lifestyle is immoral as well as illegal,” said Minkler. “Mr. Lopez betrayed the trust of family and close friends by his deceitful actions. He will have nearly five years to think about his crimes in federal prison.”
Lopez was a financial advisor who conducted business from his home in Carmel. He created various business names, JCL Interest Plus, JCL Capital Inc. and JCL Directs (JCL Entities) to direct funds from the unsuspecting investors. From January 2010-until June 2012, Lopez convinced investors to transfer their Individual Retirement Accounts to self-directed accounts. Lopez would then transfer the money into JCL Entities under his control.
Lopez solicited hundreds of thousands of dollars telling investors he had reinvested the money by loaning it to outside businesses, purchasing corporate bonds and notes or investing in real estate. Additional funds were used by Lopez to pay interest on promissory notes issued to the investors. Later the investors were issued new promissory notes for a longer term of investment and at a much lower rate of interest. Lopez never invested the money as promised, rather spending the money on the purchase of automobiles, home mortgage payments and home landscaping.
This case was investigated by the Internal Revenue Service-Criminal Investigation and the Indiana Secretary of State, Securities Division.
Special Agent in Charge Stephen Boyd stated, “Today’s sentence sends a clear message that the business practices of Mr. Lopez will not be tolerated and that he will be held accountable. IRS Criminal Investigation and our law enforcement partners will continue to aggressively pursue the illegal business practices of Mr. Lopez and others who defraud and steal from honest, hardworking Americans.”
According to Assistant United States Attorney James M. Warden, who prosecuted this case for the government with Assistant United States Attorney Winfield Ong, Lopez will serve three years of supervised release after his sentence and must make restitution of approximately $300,000 to his victims. He was remanded immediately to the custody of the U.S. Marshal’s Service to begin his sentence.
Former Army Explosives Expert Charged with Unlawful Possession of GrenadesRead the Press Release
KANSAS CITY, KAN. – A former Army explosive ordinance disposal technician was charged in federal court Friday with unlawful possession of grenades, Acting U.S. Attorney Tom Beall said.
John A. Panchalk, 42, Overland Park, Kan., was charged with one count of possessing two M-67 fragmentation grenades that were not registered to him in the National Firearms Registration and Transfer Record.
According to an agent’s affidavit, the investigation began May 19 when police were called to the Parkville Self Storage Facility in Parkville, Mo. They found several trailers and vehicles had been vandalized. In and around one trailer, they found ammunition canisters, rocket fins, blasting caps, C-4 explosive and military grenade simulators. They determined Panchalk was the owner of the trailer.
When investigators contacted Panchalk at home in Overland Park, he was evasive when they asked him about the contents of the trailer. When they executed a search warrant at Panchalk’s home, they found 38 pounds of C-4 explosive, detonation cord, blasting caps, grenade simulators, incendiary devices and the two M-67 fragmentation grenades.
If convicted, he faces a maximum penalty of 10 years and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated with assistance from the FBI, the Parkville, Mo., Police Department and the Overland Park Police Department. Assistant U.S. Attorney Terra Morehead is prosecuting.
Ferndale Man Arrested for Attempted Enticement of a MinorRead the Press Release
A 39- year-old Ferndale, Washington resident was arrested as he approached the U.S./Canadian border this morning as he sought to travel to British Columbia to have sexual contact with a person he believed to be a 12-year-old girl, announced U.S. Attorney Annette L. Hayes. CHRISTOPHER DAVID JOHNSTON was arrested as he attempted to illegally enter Canada. He made his initial appearance in U.S. District Court in Seattle today where he is charged by complaint with Attempted Enticement of a Minor. He will remain in custody pending a detention hearing next week.
According to the criminal complaint, in early May 2016, JOHNSTON began communicating with a person who responded to a personal ad he had placed on Craigslist. The ad said JOHNSTON was seeking a “young lady to spoil.” An undercover agent responded to the ad, indicating that she was not yet 13 years old. Despite knowing that young age, JOHNSTON engaged in increasingly sexualized emails, texts and chats with the agent, ultimately arranging to meet the ‘child’ in Abbotsford, BC for sex. He was arrested in the U.S. as he rode his bicycle as he approached the border near Sumas, Washington. Via text message he told the ‘girl’ that he was planning on crossing the border illegally to meet her in Canada.
Attempted enticement of a minor is punishable by a mandatory minimum ten years to life in prison.
The charges contained in the complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc .
The case is being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI). The case is being prosecuted by Assistant United States Attorney Matthew Hampton.
Federal Indictment Charges Five Luna County Residents with Methamphetamine Trafficking and Money Laundering ChargesRead the Press Release
ALBUQUERQUE – Five residents of Luna County, N.M., are facing federal narcotics trafficking and money laundering charges as the result of a multi-agency investigation led by Homeland Security Investigations (HSI) into methamphetamine trafficking in and around Deming, N.M. The charges were announced by U.S. Attorney Damon P. Martinez, Special Agent in Charge Waldemar Rodriguez of HSI in El Paso, Luna County Sheriff Jonathan Mooradian, Grant County Sheriff Raul Villanueva, Chief Ed Reynolds of the Silver City Police Department and Chief Brandon Gigante of the Deming Police Department.
The charges against the five defendants are the result of a multi-agency investigation led by HSI into a Deming-based methamphetamine trafficking organization allegedly led by Domingo Rodriguez. The investigation was designated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program, a Department of Justice program combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. It included a series of methamphetamine purchases by individuals working under the supervision of law enforcement officers. During the course of the investigation, law enforcement authorities seized and purchased more than two pounds methamphetamine. They also seized more than another pound of methamphetamine during a law enforcement operation yesterday.
The five defendants, Rodriguez, 45, Leslie Frank Williams, 51, Oscar Garcia, 45, and Andy Garcia, 43, all residents of Deming, and Estella Aguilar, 44, of Tucson, Ariz., are charged in a nine-count indictment alleging methamphetamine trafficking and money laundering offenses. Count 1 of the indictment charges all five defendants with participating in a methamphetamine trafficking conspiracy in Luna County between July 2015 and April 2016. Counts 2 through 5 charge Williams with distributing quantities of methamphetamine on four dates between July 2015 and Sept. 2015. Count 6 charges Williams and Rodriguez with distributing methamphetamine in Nov. 2015 and Count 7 charges Williams, Rodriguez and Garcia with distributing methamphetamine in Jan. 2016. Count 8 charges Rodriguez, Oscar Garcia and Aguilar with participating in a money laundering conspiracy and Count 9 charges Rodriguez and Aguilar with a money laundering offense. The indictment includes forfeiture provisions seeking a money judgment of $1,000,000, the sum allegedly derived from the drug trafficking crimes alleged in the indictment.
Williams and Rodriguez were arrested yesterday, and made their initial appearances in federal court in Las Cruces, N.M., this morning. Oscar Garcia is in state custody in Oklahoma and Andy Garcia is in state custody in New Mexico on unrelated charges. Both will be transferred to federal custody to face the charges in the indictment. Aguilar has yet to be arrested and is considered a fugitive.
If convicted on the methamphetamine charges, each of the five defendants faces a statutory mandatory minimum of ten years and a maximum of life in prison. If convicted on the money laundering charges, Rodriguez, Oscar Garcia and Aguilar each face a statutory maximum penalty of 20 years in prison. Charges in indictments and complaints are merely accusations and defendants are presumed innocent unless convicted in a court of law.
This case was investigated by HSI in Deming and Las Cruces, the U.S. Border Patrol in Las Cruces and Deming, Luna County Sheriff’s Office, Grant County Sheriff’s Office, Deming Police Department, Silver City Police Department, New Mexico HIDTA Intelligence Center, the El Paso Intelligence Center, Department of Homeland Security ICE Enforcement Removal Operations and Office of Intelligence and Analysis. Assistant U.S. Attorneys Mark A. Saltman and Dustin Segovia of the U.S. Attorney’s Las Cruces Branch Office are prosecuting the case.
Enfield Restaurant Owner to Serve Time in Federal Prison for Tax EvasionRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that GEORGE CARABASE, 41, of Enfield, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 12 months and one day of imprisonment, followed by one year of supervised release, for tax evasion.
According to court documents and statements made in court, in 2010 and 2011 CARABASE failed to report to the Internal Revenue Service approximately $550,000 in gross receipts generated by Buona Vita Restaurant, a restaurant he operates in Enfield.
During the investigation of this matter, CARABASE admitted to an undercover IRS agent that he understated the restaurant’s gross receipts on his income tax returns and provided false numbers to his accountant.
On February 22, 2016, CARABASE pleaded guilty to two counts of tax evasion, admitting that he evaded payment of a total of $183,282 in income taxes when filing his income tax returns for 2010 and 2011.
To date, CARABASE has paid $60,000 in back taxes. Judge Meyer ordered him to pay an additional $149,926 in back taxes and interest.
This case was investigated by the Internal Revenue Service – Criminal Investigation Division and was prosecuted by Assistant U.S. Attorney Heather Cherry.
Edmond Man Charged with Inducing a Child to Produce Child Pornography—Then Using it to Engage in SextortionRead the Press Release
Oklahoma City, Oklahoma – Carlos Alexander Davila, 23, of Edmond, was charged yesterday with production and possession 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.
According to court records, when Edmond Police Department officers examined Davila’s electronic devices, they found child pornography depicting the Florida girl, as well as other images of child pornography.
If convicted of producing child pornography, Davila faces a minimum of fifteen and a maximum of thirty years in prison, as well as supervised release of five years to life.
This case is being 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.
Please note that an indictment is only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
District Man Sentenced to Seven Years in Prison for Assaulting His Step-DaughterRead the Press Release
WASHINGTON – A 43-year-old man, formerly of Washington, D.C., was sentenced today to seven years in prison on a charge of assault with intent to commit first-degree sexual abuse of his 13-year-old stepdaughter, U.S. Attorney Channing D. Phillips announced.
The man, who is not identified here to protect the privacy of the victim, pled guilty in March 2016, in the Superior Court of the District of Columbia. The plea, which was contingent upon the Court’s approval, called for a seven-year prison sentence. The Honorable Michael Ryan accepted the plea today and sentenced the man accordingly. Following completion of his prison term, the man will be placed on three years of supervised release. He also will be required to register as a sex offender for the rest of his life.
According to the government’s evidence, sometime between May and October of 2015, the victim and her younger sibling would spend weekends at the defendant’s home in Northwest Washington. On one occasion during that time-frame, the defendant told the victim to remove all of her clothes. At that time, he had a belt in his hand and threatened to beat the girl if she did not comply. Out of fear, she complied, whereupon the man sexually assaulted her. The man was arrested on Feb. 6, 2016, after the abuse came to light, and has been in custody ever since.
In announcing the sentence, U.S. Attorney Phillips praised the work of detectives from the Metropolitan Police Department’s Youth Investigations Division, which investigated the case; and of personnel from Safe Shores, who forensically interviewed the victim and her younger sibling. He acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist D’Yvonne Key; Child Forensic Interview Specialist Karen Giannakoulias, and Victim/Witness Advocate Tracey Hawkins. Finally, he commended Assistant U.S. Attorneys Jessica Brooks and Peter V. Taylor, who investigated and prosecuted this case.
Convicted Felon Sentenced for Possessing AmmunitionRead the Press Release
SYRACUSE, NEW YORK – Kawon D. Chavis, 33, of Syracuse, New York was sentenced today to serve thirty (30) months imprisonment followed by three (3) years of supervised release for his possession of ammunition as a convicted felon, announced United States Attorney Richard S. Hartunian.
Chavis was arrested by Syracuse Police on August 22, 2015, for possession of a small amount of heroin. Also located in his clothing were five live rounds of .38 caliber ammunition. Federal and state prosecutors reviewed the case as part of ongoing cooperative efforts to combat firearms violence and determined that the defendant should be prosecuted in United State District Court. Chavis, who had previously been convicted of two prior felony level firearms possession offenses, was arrested and charged federally on September 8, 2015.
This case was investigated by The United States Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and the Syracuse Police Department (SPD) and is being prosecuted by Assistant U.S. Attorney Richard Southwick with assistance provided by the Onondaga County District Attorney’s Office.
Computer Hacker Extradited from FranceRead the Press Release
ATLANTA - Eric Donys Simeu, a/k/a Martell Collins, a citizen of Cameroon, has been arraigned on federal charges of conspiracy, wire fraud, computer fraud and access device fraud. Simeu was indicted by a federal grand jury in Atlanta on September 23, 2014.
“Cybercrime is borderless, but increasingly, so too are our law enforcement capabilities,” said U.S. Attorney John Horn. “With the cooperation of France and our international law enforcement partners, we were able to bring to justice a wanted fugitive who was allegedly committing cyber fraud that affected U.S. companies from the streets of West Africa.”
“Those who target US companies and citizens through cyber attacks and spear phishing emails can no longer be confident they will remain anonymous and be protected by geographic boundaries. The arrest and extradition of Eric Simeu is the result of a multi-national effort led by the FBI, which demonstrates the benefits of global cooperation among international law enforcement and the private sector. This arrest and extradition serves a strong deterrent to those targeting the computer networks of US companies and US citizens. It should also serve as a reminder to the public to be vigilant and aware they are frequently targeted through fraudulent emails seeking to steal their personal information,” said J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office.
According to U.S. Attorney Horn, the charges, and other information presented in court: Eric Simeu is allegedly responsible for a series of “phishing campaigns” which targeted customers of Global Distribution System (“GDS”) companies from approximately July 2011 to September 2014.
A “phishing campaign” is the act of sending targeted emails to individuals for the purpose of acquiring usernames and passwords. The emails masquerade as an official communication from a legitimate company to gain the trust of the recipient and deceive them into providing protected information. GDS companies provide travel booking services to travel agencies and travel-related websites. Airline tickets that are issued from sources other than air carriers themselves are generally processed through a GDS company. Customers of GDS companies, such as representatives from a travel agency or travel-related website, are issued unique login credentials that are utilized to authenticate their identity and facilitate the issuance of airline tickets on GDS servers.
In this instance, Simeu’s alleged phishing campaigns targeted customers of two GDS Companies – one with its principal U.S. operations in Atlanta, Georgia, and another headquartered in Southlake, Texas. Simeu allegedly caused phishing emails to be delivered to customers of these GDS companies for the purpose of obtaining and stealing their unique log-in credentials. Simeu and others allegedly used the stolen log-in credentials to access the servers of the two GDS companies and cause the issuance of fraudulent airline tickets. Simeu and others then allegedly sold these airline tickets to customers, mostly in West Africa, for fractions of the actual cost, or used them for personal travel. The value of the fraudulently issued airline tickets exceeded $2 million.
On September 3, 2014, Simeu was arrested by French law enforcement pursuant to a federal criminal complaint issued out of the Northern District of Georgia. At the time of his arrest, Simeu was traveling from Casablanca, Morocco, to Paris, France, on an alleged fraudulently issued airline ticket in the name of his alias, Martell Collins, utilizing a fraudulent United Kingdom passport under the same name.
Eric Donys Simeu, a/k/a Martell Collins, 32, a citizen of Cameroon, was arraigned before United States Magistrate Judge Russell G. Vineyard. A federal grand jury in the Northern District of Georgia returned an indictment against Simeu on September 23, 2014. Simeu has been in French custody since his arrest in September 2014, pending completion of extradition proceedings.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation and State Department Diplomatic Security Service.
Assistant United States Attorney Steven D Grimberg and Trial Attorney Peter Roman with the U.S. Department of Justice Computer Crime and Intellectual Property Section are prosecuting the case. The Justice Department’s Office of International Affairs also provided valuable assistance.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Cedar Rapids Felon Sentenced to 87 Months’ Imprisonment for Possessing a Firearm and AmmunitionRead the Press Release
A felon was sentenced yesterday to more than seven years in federal prison for possessing a loaded firearm on the streets of Cedar Rapids last fall.
Gregory Ray Nevels, 38, from Cedar Rapids, Iowa, received the prison term after a January 4, 2016 guilty plea to being a felon in possession of a firearm and ammunition. In a plea agreement and at his sentencing, Nevels admitted he was involved in a disturbance in Cedar Rapids, Iowa, on October 24, 2014, that resulted in a 911 call to the police department. Nevels ultimately discarded a loaded firearm near a shed behind a residence on Mount Vernon Road (in Cedar Rapids). Law enforcement officers later recovered the firearm and determined the firearm was stolen.
Nevels was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Nevels was sentenced to 87 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Nevels is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Tim Vavricek and investigated by the FBI’s Safe Streets Task Force and the Cedar Rapids Police Department. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 15-CR-0004-LRR.
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Broward County Resident Sentenced for Illegally Possessing a Firearm and AmmunitionRead the Press Release
A Broward County resident was sentenced today to 72 months’ imprisonment after being convicted at trial of being a felon in possession of a firearm and ammunition.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, Carlos A. Canino, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Division and Scott Israel, Sheriff, Broward Sheriff’s Office (BSO), made the announcement.
Derek Danard Slade, 25, of Hollywood, was sentenced to 72 months in prison, to be followed by 3 years of supervised release, by U.S. District Judge William P. Dimitrouleaus, after a jury convicted the defendant of illegally possessing a firearm and ammunition, in violation of Title 18, United States Code, Section 922(g)(1).
According to evidence presented at trial and during the sentencing hearing, a deputy with the Broward County Sheriff’s Office observed a “hand-to-hand” narcotics transaction take place in a vehicle in the area of Dania Beach. In addition to Slade, the vehicle had three other occupants. After being stopped by law enforcement, Slade refused to show his hands to the deputies and kept them hidden under a hat. The other occupants of the vehicle complied with law enforcement’s directives. Once he finally complied with the deputy’s orders, Slade was handcuffed. After he was handcuffed, Slade broke away from the deputies and fled the scene on foot. Slade was eventually apprehended and deputies located, under the hat in the vehicle, a .380 caliber Beretta firearm, fully loaded with fourteen rounds of .380 caliber ammunition. Slade had a prior felony conviction and had only been out six months when he was arrested on the Federal case.
This case is, in large part, the result of the Violence Reduction Partnership, launched by the U.S. Attorney’s Office. Through this Partnership, the U.S. Attorney’s Office and its federal and local law enforcement allies have sought to dismantle the most violent criminal networks in various neighborhoods, while simultaneously working with community leaders and concerned citizens to mentor at-risk youths, provide jobs and job training to young families, and help probationers and parolees successfully re-enter society.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Baltimore City Police Officer Sentenced to Federal Prison for TheftRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Baltimore City Police officer Maurice Lamar Jeffers, age 47, of Savage, Maryland, today to a year and a day in prison, followed by three years of supervised release, for theft of government property and stealing property as a federal officer. Judge Motz also ordered Jeffers to forfeit $3,000.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Kevin Davis of the Baltimore Police Department; and Maryland U.S. Marshal Johnny Hughes.
“The agents carried out an undercover operation and obtained a video recording of the defendant stealing cash while he believed he was executing a search warrant,” said U.S. Attorney Rod J. Rosenstein. “I want to thank the officers of the Baltimore Police Department and other agencies that assisted in this investigation.”
Jeffers has been a sworn member of the Baltimore Police Department for the last 12 years, and was assigned as a Task Force Officer (TFO) to the U.S. Marshals’ Capital Area Regional Fugitive Task Force (CARFTF). As a TFO, Jeffers received special deputation to execute arrest and search warrants supporting the federal task force. Jeffers was responsible for locating and arresting offenders who had active local and federal arrest warrants and assisting in locating individuals for other jurisdictions and agencies upon request.
According to court documents and information provided to the court at his plea hearing, acting on information provided by a confidential source, law enforcement conducted a covert operation in which Jeffers was recorded stealing approximately $3,000 in cash. The cash belonged to the FBI.
Jeffers was told to secure a location with another investigator so that a local law enforcement agency could later execute a search warrant. Jeffers entered the location and conducted a brief protective sweep with the other investigator. Jeffers then told the other investigator to go tell other CARFTF members that no one was located inside the location. After the other investigator left the room, Jeffers conducted an illegal search and located the cash hidden by law enforcement, which he placed into his pants pockets. Jeffers kept the money for his own personal gain. On May 7, 2015, Jeffers was arrested and searched incident to the arrest. Law enforcement located $220 (eleven $20 bills) on Jeffers that he stole on March 10, 2015.
United States Attorney Rod J. Rosenstein praised the Baltimore FBI Public Corruption Task Force, which includes Agents and law enforcement officers from the FBI, IRS, the Baltimore Police Department, the Prince George’s County Police Department and the U.S. Marshals’ Capital Area Regional Fugitive Task Force, for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Rachel M. Yasser, who prosecuted the case.