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25 April 2016
Former Polk Correctional Officer Sentenced for CorruptionRead the Press Release
RALEIGH – The United States Attorney’s Office announced that today in federal court, Chief United States District Judge James C. Dever III sentenced JASON DEAN, 30, of Henderson to 51 months imprisonment, followed by 3 years of supervised release.
DEAN was named in a four-count Indictment filed on August 19, 2015, and he pled guilty to Count 2 relating to his use of his position as a correctional officer at Polk Correctional Institution (Polk) to extort things of value.
In July 2014, the Federal Bureau of Investigation (FBI) in Raleigh initiated an investigation related to the smuggling of contraband into Polk in Butner, by correctional officers. DEAN used his position to obtain property and money from at least three inmates at Polk.
On February 9, 2015, DEAN seized a custom made gold grill (a gold plate shaped in the form of teeth designed to fit over an individual’s natural teeth) from an inmate as contraband. DEAN failed to turn the contraband over to his superiors or file the appropriate forms documenting the seizure. Instead, DEAN secreted the gold grill from the institution. On February 18, 2015, DEAN pawned the grill for $35.
Further investigation revealed that DEAN also provided several inmates with pieces of paper containing his name, address, and phone number in order to facilitate monetary wire transfers. Specifically, DEAN promised to supply the inmates with contraband cigarettes if the inmates wired him money through Western Union. One inmate wired DEAN $175 in February 2015; however, DEAN failed to provide the cigarettes as promised. In March 2015, DEAN resigned from his position at Polk.
Investigation of this case was conducted by the Federal Bureau of Investigation. Assistant United States Attorneys Dennis M. Duffy and Leslie K. Cooley prosecuted the case for the government.
Former Energy Company Employee Pleads Guilty to EmbezzlingRead the Press Release
HOUSTON – A former employee of Southwestern Energy Co. has pleaded guilty to embezzling more than $450,000 from the company, announced U.S. Attorney Kenneth Magidson.
Southwestern Energy Co. employed Kendra Walker, 28, of Houston, in its accounts payable department. Beginning in February 2014, she admitted she abused her position to access the company’s accounts payable system and fraudulently change bank account information for some of its vendors to instead list bank accounts that she controlled. She then caused the company’s accounts payable system to issue payments for invoices that, in reality, the vendors did not submit. Instead, because Walker had changed the vendors’ bank account information, these payments transmitted money into ban2 accounts that she controlled.
From February 2014 to February 2015, Walker embezzled $452,025.56.
She was convicted of four counts of wire fraud, on each for which she faces up to 20 years in federal prison as well as a $250,000 maximum fine or twice the pecuniary gain or loss. She was permitted to remain on bond pending that hearing, set for June 26, 2016.
FBI investigated. Assistant U.S. Attorney Michael Chu is prosecuting the case.
Federal Jury Convicts Oklahoma Man on Narcotics Trafficking Charges in New MexicoRead the Press Release
ALBUQUERQUE – A federal jury sitting in Santa Fe, N.M., returned a verdict Friday afternoon finding Roberto Thomas guilty on narcotics trafficking charges, announced U.S. Attorney Damon P. Martinez and Special Agent in Charge Will R. Glaspy of the DEA’s El Paso Division.
Thomas, 22, of Long Grove, Okla., and three codefendants, Jesus Amaya, 51, and Juan Caballero, 31, both Mexican nationals, and Christian Tovar, 22, of El Paso, Texas, were arrested on May 8, 2013, on methamphetamine trafficking charges. The complaint alleged that the four men conspired to distribute 1.75 kilograms (3.85 pounds) of methamphetamine in Bernalillo County, N.M.
Thomas and his codefendants subsequently were indicted on a methamphetamine conspiracy charge on May 29, 2013. After his three codefendants entered guilty pleas, Thomas was charged in a superseding indictment that was filed on April 12, 2016. According to the superseding indictment, Thomas participated in a methamphetamine trafficking conspiracy from April 30, 2013 through May 8, 2013, and possessed methamphetamine with intent to distribute on May 8, 2013.
Thomas’s trial on the two-count superseding indictment began on April 20, 2016 and concluded late Friday afternoon when the jury returned a verdict finding Thomas guilty on Count 2, charging him with possession of methamphetamine with intent to distribute. The United States dismissed Count 1, the conspiracy count, before the jury began its deliberation.
The evidence at trial established that Thomas and his codefendants were charged as the result of an investigation during which an individual working with the DEA negotiated to buy methamphetamine from Amaya. The DEA arrested Thomas and his codefendants on May 8, 2013, after Thomas and Caballero drove to the prearranged meeting spot in southwest Albuquerque to deliver methamphetamine to Amaya. The DEA found 1.75 kilograms of pure methamphetamine in the vehicle in which Thomas and Caballero were traveling. The investigation revealed that Caballero had obtained the methamphetamine from Tovar, who had transported the drugs from Juarez, Mexico, to Albuquerque.
Thomas was remanded into custody after the jury returned the guilty verdict. He will remain in federal custody pending his sentencing hearing, which has yet to be scheduled. At sentencing, Thomas faces a maximum of 20 years in federal prison.
Thomas’s codefendants previously pleaded guilty to participating in a methamphetamine trafficking conspiracy as follows: Caballero pled guilty on Oct. 10, 2014, and was sentenced on Jan. 6, 2015; Tovar pled guilty on Nov. 12, 2014, and was sentenced on Aug. 19, 2015; and Amaya pled guilty on July 6, 2015 and sentenced on Oct. 29, 2015. Amaya and Caballero will be deported after completing their prison sentences.
This case was investigated by the Albuquerque office of the DEA and is being prosecuted by Assistant U.S. Attorneys Joel R. Meyers and Shaheen P. Torgoley.
Federal Judge Sends Raleigh Identity Thief Back to Prison for 84 MonthsRead the Press Release
Raleigh – The United States Attorney’s Office announced that today in federal court, Chief United States District Judge James C. Dever, III, sentenced MAMADOU JALLOW, 32, of Raleigh, to serve 60 months in prison, followed by 3 years of supervised release, on charges of Aggravated Identity Theft and Conspiracy to Commit Access Device Fraud. The court also revoked JALLOW’s prior term of supervised release and sentenced him to an additional 24 months in prison to run consecutive. The total amount of prison time imposed on the charges and revocation of supervised release amounted to 84 months.
The indictment charged that JALLOW and others engaged in a scheme to acquire, among other things, large quantities of cigarettes in North Carolina and elsewhere using counterfeit gift cards. The gift cards utilized by JALLOW and others in the scheme were counterfeit because the data encoded in the magnetic strip of the cards had been altered to contain credit and debit card numbers that were not encoded upon them at the time they were manufactured. Conspirators acquired stolen credit and debit card data from sources on the internet. JALLOW and others received the stolen credit and debit card data in the form of internet email accounts to which they had access. Conspirators used the stolen credit and debit card data to fraudulently re-encode cards for later use to purchase cigarettes and other items.
The indictment further charged that after acquiring several counterfeit cards, JALLOW, and other conspirators used the cards, and caused the cards to be used, to purchase numerous cartons of cigarettes. The conspirators would generally travel from one store to another in a vehicle during a single trip to acquire a large volume of cigarettes. After acquiring the cigarettes, conspirators would transport them to other states to be resold at a profit.
The scheme was brought to an end in July and August of 2014 when JALLOW was caught attempting to make a purchase using the counterfeit cards. At the time the defendant committed the scheme, he was already serving a term of federal supervised release for a prior conviction for access device fraud in South Carolina.
Investigation of the case was conducted by the United States Secret Service. Assistant United States Attorney William M. Gilmore represented the United States.
Federal Grand Jury Indicts Businessman in More Than $4.6 Million Fraud SchemeRead the Press Release
DALLAS — A federal grand jury in Dallas has indicted Wesley Michael Woodyard, believed to be most recently a resident of Dallas, on wire fraud and related charges stemming from his scheme to defraud Ace European Insurance Company (ACE) of more than $4.6 million from approximately 2002 through 2013, announced U.S. Attorney John Parker of the Northern District of Texas.
Specifically, the indictment charges Woodyard with six counts of wire fraud and four counts of engaging in a monetary transaction with property derived from specified unlawful activity. The indictment was returned last week. A warrant has been issued for Woodyard’s arrest.
According to the indictment, Woodyard, 65, owned and operated Ringler Associates of North Texas, Incorporated (RANT). From approximately 1993 through 2015, RANT contracted with Ringler Insurance Agency to act as its agent to sell annuities provided by insurance underwriters whose products were offered for sale through Ringler Insurance Agency.
Ringler Associates, Incorporated (RAI) acted as a parent company for Ringler Insurance Agency and other subsidiaries conducting insurance business on behalf of RAI.
RANT settled insurance claims primarily by selling structured settlements (through annuities) offered for sale through Ringler Insurance Agency. The beneficiaries of these annuities were frequently victims of long term disability related injuries and/or death related to employment. While a policy beneficiary could choose to take a lump sum payment from the insurance company, usually the beneficiary agreed to be compensated through a structured settlement. The annuity would pay the beneficiary a set amount either monthly, quarterly or annually, for an extended period of time, often for the life of the beneficiary. Annuities usually offered the most cost-effective means for an insurance company to pay out a structured settlement. RANT sold annuities available on the open market through Ringler Insurance Agency
A large insurance company located in London, Ace European (ACE), was part of the Lloyd’s of London Insurance Syndicate (Lloyd’s). ACE used primarily two companies – Roger Rich and Company (Roger Rich) and Vanbreda International - to serve as third-party administrators to adjudicate and administer beneficiary claims against ACE; in turn, Roger Rich and Vanbreda used RANT to arrange for the purchase of several annuities on its behalf. All the beneficiaries of the ACE European insurance policies referenced in this indictment were United Nations employees who were injured or killed in connection with their employment.
Rather than follow normal procedures and instruct Roger Rich and Vanbreda to send funds directly to an insurance company (in this case, MetLife) to purchase the annuity contract for the named beneficiary, the indictment alleges that Woodyard told both Roger Rich and Vanbreda to send the funds directly to him, falsely representing to them that he would use all ACE funds to purchase the annuity policy on the open market. When Woodyard gained unlawful access and control to all ACE funds in this manner, Woodyard was also able to completely bypass the normal role of the insurance company (MetLife). When Woodyard unlawfully removed MetLife from the process, Woodyard also prevented MetLife from properly paying any commissions to the Ringler Insurance Agency. During the course of this scheme, Woodyard fraudulently retained all commissions earned by the Ringler Insurance Agency. During the course of the entire scheme, Woodyard repeatedly stole ACE funds wired from London, totaling approximately $4,674,258.00.
Woodyard, according to the indictment, continued to conceal his theft of ACE funds, by making periodic “lulling payments” to beneficiaries entitled to receive regular annuity payments. Woodyard gave beneficiaries the false impression that the source of the payments was an insurance company. From October 2004 to June 2014, Woodyard made a total of approximately $857,626 in such payments to several beneficiaries in an effort to avoid early detection of his scheme. Woodyard’s net financial gain as a result of his fraud is approximately $3,816,632.00
The indictment alleges that Woodyard used the majority of ACE funds for his own personal financial benefit, including paying for personal living expenses, gambling habits, travel expenses, and the purchase of four vehicles, including three Mercedes Benz and one Corvette, as alleged in Counts seven through ten of the indictment.
An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. However, if convicted, the maximum statutory penalty for each count of wire fraud is 20 years in federal prison and a $250,000 fine. Each count of engaging in a monetary transaction with property derived from specified unlawful activity is 10 years in federal prison and a $250,000 fine. The indictment also includes a forfeiture allegation that would require the defendant, upon conviction, to forfeit the proceeds obtained as a result of the offense. Restitution could also be ordered.
The Federal Bureau of Investigation is in charge of the investigation. Assistant U.S. Attorney David Jarvis is in charge of the prosecution.
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Federal Appellate Court Affirms Convictions and Sentences of Murder-For-Hire ConspiratorsRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that the Third Circuit Court of Appeals today upheld the convictions and lengthy prison sentences of two men who participated in a murder-for-hire scheme in the Scranton area in 2011-2012.
According to United States Attorney Peter Smith, the Court in separate decisions affirmed the convictions and sentences of Gary Williams, age 48, formerly of Scranton, and Edward McLaughlin, age 67, who previously resided in Florida.
The scheme involved McLaughlin soliciting Williams to kill McLaughlin’s ex-wife, and shipping a rifle and bullets from Florida to Scranton for Williams to use to carry out the murder. The plan unraveled when Williams was arrested by Scranton Police in a domestic violence incident in which he used the rifle to assault a woman with whom he resided. Police and FBI agents subsequently found the rifle and other evidence linking Williams and McLaughlin to the murder-for-hire scheme.
Williams was convicted, after a three-day trial in August 2013, of conspiracy to commit a murder-for-hire, possession of a firearm in furtherance of a crime of violence, unlawful receipt of a firearm in interstate commerce, unlawful possession of a firearm as a convicted felon, and attempting to corruptly persuade a witness to influence testimony in an official proceeding.
Senior U.S. District Court Judge A. Richard Caputo sentenced Williams to 35 years in prison.
On appeal, Williams contended that the trial court improperly admitted certain evidence in the case and incorrectly applied the sentencing guidelines. The Court of Appeals rejected those arguments, ruling that the evidence was properly admitted and the applicable sentencing guidelines were accurately calculated.
On the day of his scheduled trial, McLaughlin pleaded guilty to the murder-for-hire conspiracy, carrying and possessing a firearm in connection with a crime of violence, and unlawfully shipping a firearm as a convicted felon. He subsequently attempted to withdraw his guilty plea, but Judge Caputo ruled that the guilty plea was entered knowingly and voluntarily.
Judge Caputo sentenced McLaughlin to 20 years in prison.
On appeal, McLaughlin claimed that the court erred in refusing to allow him to withdraw his guilty plea because his counsel was ineffective and the government induced his plea with a false promise. The Court of Appeals rejected McLaughlin’s claims, ruling that his guilty plea was knowing and voluntary, and that McLaughlin failed to show the existence of any false promise by the government.
Williams and McLaughlin were indicted by a federal grand jury in August 2012, as a result of an investigation by the FBI and Scranton Police.
Assistant U.S. Attorney Francis P. Sempa prosecuted the cases and handled the appeals.
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Events in Los Angeles Mark National Reentry WeekRead the Press Release
LOS ANGELES – As part of the Obama Administration’s commitment to strengthening the criminal justice system, the Department of Justice has designated the week of April 24-30 as National Reentry Week. Attorney General Loretta E. Lynch is holding events this week in several cities to announce new efforts to improve outcomes for justice-involved individuals (see: https://www.justice.gov/reentry). The 94 United States Attorney’s Offices are hosting over 200 events, and Bureau of Prison facilities are holding more than 370 events across the country.
“Too often, justice-involved individuals who have paid their debt to society confront daunting obstacles to good jobs, decent housing, adequate health care, quality education, and even the right to vote,” said Attorney General Lynch. “National Reentry Week highlights the many ways that the Department of Justice – and the entire Obama Administration – is working to tear down the barriers that stand between returning citizens and a meaningful second chance – leading to brighter futures, stronger communities, and a more just and equal nation for all.”
In Los Angeles, there are a series of Reentry Week events, two of which will be open to the media. The public events will include remarks by United States Attorney Eileen M. Decker and Lisa Foster, the Director of the Justice Department’s Office of Access to Justice.
“When people are released from prisons, we need to take steps to ensure they are prepared to reenter society as productive citizens,” said United States Attorney Decker. “For several years, my office has worked with the Court, Pre-Trial Services and the Federal Public Defenders on a sentencing alternative program and a re-entry program. Our work has made a difference in the lives of numerous individuals and the communities in which they now live.”
The Obama Administration has taken major steps to make our criminal justice system fairer, more efficient and more effective at reducing recidivism and helping formerly incarcerated individuals contribute to their communities. Removing barriers to successful reentry helps formerly incarcerated individuals compete for jobs, attain stable housing, and support their families. An important part of that commitment is preparing those who have paid their debt to society for substantive opportunities beyond the prison gates, and addressing collateral consequences to successful reentry that too many returning citizens encounter.
The two public events in Los Angeles took place today:
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This morning, United States Attorney Decker and the Director of the Office of Access to Justice attended a news conference where the U.S. Department of Housing and Urban Development (HUD) and the Justice Department announced a $100,000 award for the Housing Authority of the City of Los Angeles and Public Counsel to address the challenges justice-involved individuals face when trying to find work and a place to call home. Under the Juvenile Reentry Assistance Program (JRAP), funded through DOJ’s Second Chance Act funds, HUD and DOJ are teaming up to help young Americans who’ve paid their debt to society rehabilitate and reintegrate back into their communities (see: http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2016/HUDNo_16-056).
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This afternoon, United States Attorney Decker, Federal Public Defender Hilary Potashner and federal judges spoke at the Conviction and Sentence Alternatives (CASA) Program Graduation Ceremony. CASA is a four-year-old program in the United States District Court in which certain individuals participate in a program of Post-Guilty Plea Diversion as an alternative to conviction or imprisonment. CASA provides those individuals a creative blend of treatment, alternative sanctions and incentives to effectively address offender behavior, rehabilitation and the safety of the community. Eight individuals graduated today.
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Essex County, New Jersey, Man Admits Selling Fake Driver’s Licenses Online, Filing Bogus Tax ReturnsRead the Press Release
NEWARK, N.J. – A Newark, New Jersey, man today admitted selling fake driver’s licenses through an online shop and filing fraudulent tax returns using stolen identity information, U.S. Attorney Paul J. Fishman announced.
Alexis Scott Carthens, 38, pleaded guilty before U.S. District Judge Jose L. Linares to a an information charging him with one count of conspiracy to commit fraud in connection with authentication features and one count of conspiracy to defraud the government with respect to claims.
According to documents filed in this case and statements made in court:
From October 2012 through August 2014, Ricardo Rosario, 33, of Jersey City, New Jersey, with the assistance of Carthens and Abraham Corcino, 34, of Jersey City, sold fake driver’s licenses over the Internet. In connection with their illegal operation, the defendants ran a website that was available at “fakeidstore.co” and “fakedlstore.com.”
A number of the fake driver’s licenses sold by Rosario and other conspirators were used by criminal actors in connection with “cash out” schemes where stolen credit card information, usually obtained through hacking or ATM skimming operations, was encoded on to counterfeit credit cards and used to steal cash from victims’ accounts.
The website sold fake New Jersey, Florida, Illinois, Pennsylvania, Rhode Island, and Wisconsin driver’s licenses, and the website boasted that the licenses had “scannable barcodes” and “real” holographic overlays. The price for each fake driver’s license was approximately $150, but the website offered bulk pricing for orders of 10 or more.
The website allowed its users to pay by bitcoin, a cryptographic-based digital currency, or MoneyPak, a type of prepaid payment card that could be purchased at retail stores. The “FAQ” section of the website indicated that orders would be received approximately one to two days after payment was received and described the website’s policy with respect to returns: “No Refunds. No snitching.”
Rosario created and ran the website. Corcino and Carthens assisted Rosario by creating and mailing the fake driver’s licenses purchased through the website. Corcino also maintained an Instagram account to promote the website.
At today’s plea hearing, Carthens admitted that his role was to create the driver’s licenses and to mail them to the website’s customers. Carthens also admitted that he believed that some of the website’s clients were using the fake driver’s licenses to commit credit card fraud.
Carthens also admitted to his involvement in a separate scheme, spanning from December 2012 through November 2013, to use stolen personally identifiable information to steal tax refund money from the government. At today’s plea hearing, Carthens admitted using information stolen from a medical lab to file false and fraudulent tax returns. Carthens also admitted to working with at least one other conspirator, who assisted Carthens by providing him with email addresses and physical addresses to receive the fraudulently claimed tax refund money.
The count of conspiracy to commit fraud in connection with authentication features carries a maximum potential penalty of 15 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. The count of conspiracy to defraud the government with respect to claims carries a maximum potential penalty of 10 years in prison and $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for Aug. 1, 2016.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark; inspectors of the U.S. Postal Inspection Service, under the direction of Assistant Inspector in Charge James R. Buthorn; and special agents of IRS–Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Andrew S. Pak of the Computer Hacking and Intellectual Property Section of the Economic Crimes Unit and Assistant U.S. Attorney Barbara Ward, Acting Chief of the office’s Asset Forfeiture and Money Laundering Unit.
The charges against Rosario and Corcino are still pending. The charges and allegations against them are merely accusations and the defendants are considered innocent unless and until proven guilty.
Defense counsel: Wanda M. Akin Esq., Newark
Ellington Man Sentenced to 61 Months in Federal Prison for Stealing Firearm, Selling it to Heroin DealerRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JUSTIN ASHLINE, 25, of Ellington, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 61 months of imprisonment, followed by three years of supervised release, for stealing a firearm and selling it to his heroin dealer.
According to court documents and statements made in court, in on May 23, 2014, the ATF, DEA and Hartford Police executed a federal search warrant at the Hartford residence of Roman Pantojas, who was known to be an armed heroin dealer. During the search, officers seized approximately 700 baggies of heroin, two loaded handguns and Pantojas’s cellular telephone.
The investigation revealed that one of the seized firearms, a Ruger .357 caliber revolver, was registered to an individual in Westbrook. In an interview with Connecticut State Police, the firearm owner stated that he had just discovered that the revolver had been stolen from his truck. He also stated ASHLINE had been his employee.
Analysis of the cellular telephone seized from Pantojas revealed approximately 72 incoming and outgoing calls between the phone and a number that was registered to ASHLINE.
In an interview with law enforcement, ASHLINE admitted that he stole the firearm and sold it to Pantojas in exchange for approximately 20 baggies of heroin and between $70 and $100 in cash.
ASHLINE has four prior felony convictions, including one for sale of narcotics and one for first degree larceny. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
ASHLINE was arrested on June 19, 2014. On January 13, 2015, he pleaded guilty to one count of possession of a firearm by a previously convicted felon.
ASHLINE was detained from the date of his arrest until June 2015 when he was released into an inpatient drug treatment program. He was remanded to custody on October 6, 2015, after he tested positive for opiates, was terminated from his drug treatment program and his bond was revoked.
ASHLINE was transferred into state custody where he is serving an unrelated 30-month state sentence, which is scheduled to expire in July 2018. He will serve an additional 13 months of federal imprisonment when he released from state custody.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the Connecticut State Police and the Hartford Police Department. The case is being prosecuted by Assistant U.S. Attorney Robert M. Spector.
Drexel Hill Man Gets 12 Years for Running Identity Theft RingRead the Press Release
PHILADELPHIA - Benjamin Easley, 38, of Drexel Hill, Pennsylvania, was sentenced today to 144 months in prison in connection with a fraud and identity theft ring in which the conspirators stole and attempted to steal approximately $1.1 million from the banks they targeted. Easley pleaded guilty in November 2014 to seven counts of bank fraud, 15 counts of aggravated identity theft and one count of conspiracy. Easley also pleaded guilty to two counts of bank fraud and one count of aggravated identity theft in a separate case against him. The cases were consolidated for sentencing.
Easley obtained the personal and bank account information of victims, recruited people to pose as those victims to make fraudulent withdrawals and wire transfers from the victims’ accounts, and provided false identity documents to use to access the victims’ accounts. In addition to the prison term, U.S. District Court Judge Rufe ordered restitution of $595,289, five years of supervised release, and a $2600 special assessment.
The cases were investigated by the Federal Bureau of Investigation and the United States Secret Service and were prosecuted by Assistant United States Attorneys KT Newton and Michael Lowe.
Dominican Republic National Charged with Alien in Possession of a FirearmRead the Press Release
St. Croix, USVI – Rolando Torres De La Cruz, 25, was arraigned today before U.S. Magistrate Judge Ruth Miller after being charged in an indictment with alien in possession of a firearm, United States Attorney Ronald W. Sharpe announced. De La Cruz was arrested on April 22, 2016, by Special Agents of the U.S. Drug Enforcement Administration (DEA) and officers with the Virgin Islands Police Department (VIPD). Judge Miller ordered the defendant placed on home detention. If convicted, the defendant faces a maximum penalty of ten years in prison, and a $250,000 fine.
According to court records, on February 11, 2015, De La Cruz, who is unlawfully present in the United States from the Dominican Republic, transferred a stolen .22 caliber Ruger Rifle to a second man who in turn sold the firearm.
This case was investigated by the DEA, the Bureau of Alcohol Tobacco, Firearms, and Explosives, and the VIPD. The case is being prosecuted by Assistant U.S. Attorney Christian Stringer.
District Heights Man Sentenced to Five Years in Prison for Involuntary Manslaughter in Fatal Baltimore-Washington Parkway Car CrashRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore J. Chuang sentenced Anthony Lamont Payne, age 27, of District Heights, Maryland, today to five years in prison, followed by three years of supervised release, for involuntary manslaughter in connection with a fatal car crash that occurred on the Baltimore-Washington Parkway on March 20, 2015. A federal jury convicted Payne on January 19, 2016.
“The evidence proved that Anthony Lamont Payne threatened the victim with a gun, then chased his car on the Baltimore-Washington Parkway at speeds of up to 115 miles per hour,” said U.S. Attorney Rod J. Rosenstein. “Payne’s atrocious criminal conduct caused the tragic death of Terrance Terrelle Lagrue, a 19 year old man.”
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Chief of Police Robert D. MacLean of the U.S. Park Police.
According to evidence presented at the four day trial, Payne caused the death of the victim on March 20, 2015, following a high-speed chase on the Baltimore-Washington Parkway. Two eyewitnesses testified that Payne pointed a gun at the victim both before and during the chase on the Parkway. According to trial testimony, the victim’s car was hit by Payne’s vehicle, causing the victim’s vehicle to roll over and burst into flame. Scientific evidence presented at trial from the airbag module in Payne’s vehicle showed that Payne was driving 115 miles per hour at the time of the collision. The victim died at the scene.
Payne has been detained since his arrest on April 28, 2015.
United States Attorney Rod J. Rosenstein praised the U.S. Park Police for its work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Hollis Raphael Weisman and Special Assistant United States Attorney Conor Mulroe, who prosecuted the case.
Department of Justice Announces New Reforms to Strengthen the Federal Bureau of PrisonsRead the Press Release
Attorney General Lynch Releases Roadmap to Reentry: The Justice Department’s Vision to Reduce Recidivism through Federal Reentry Reforms
As part of National Reentry Week, Attorney General Lynch today in Philadelphia announced the “Roadmap to Reentry,” the Department’s comprehensive vision to reduce recidivism through reentry reforms at the Federal Bureau of Prisons (BOP). These efforts will help those who have paid their debt to society prepare for substantive opportunities beyond the prison gates, promote family unity, contribute to the health of our economy, advance public safety and sustain the strength of our communities.
Each year, more than 600,000 citizens return to our neighborhoods after serving time in federal and state prisons. Another 11.4 million individuals cycle through local jails. And nearly one in three Americans of working age have had some sort of encounter with the criminal justice system — mostly for relatively minor, non-violent offenses, and sometimes from decades in the past. The long-term impact of a criminal record prevents many people from obtaining employment, housing, higher education, and credit — and these barriers affect returning individuals even if they have turned their lives around and are unlikely to reoffend.
The principles outlined in the “Roadmap to Reentry” are aligned with the work of the Federal Interagency Reentry Council which has been working since its creation five years ago to reduce recidivism and improve employment, education, housing, health and child welfare outcomes.
PRINCIPLES TO REDUCE RECIDIVISM THROUGH REENTRY REFORMS AT THE FEDERAL BUREAU OF PRISONS
Principle I
Upon incarceration, every inmate should be provided an individualized reentry plan tailored to his or her risk of recidivism and programmatic needs.
The Department is enhancing BOP’s risk and needs assessment tools to inform development of reentry plans tailored to the specific criminogenic needs of each incarcerated individual.
Principle II
While incarcerated, each inmate should be provided education, employment training, life skills, substance abuse, mental health, and other programs that target their criminogenic needs and maximize their likelihood of success upon release.
The Department, through BOP, has launched an effort to assess its education programs, life skills programs, and job skills programs to ensure these programs are evidence-based and targeted to the criminogenic needs of inmates.
Principle III
While incarcerated, each inmate should be provided the resources and opportunity to build and maintain family relationships, strengthening the support system available to them upon release.
The Department is enhancing the number and types of opportunities available for people in federal prisons to strengthen family relationships during their term of incarceration.
Principle IV
During transition back to the community, halfway houses and supervised release programs should ensure individualized continuity of care for returning citizens.
In order to ensure that Residential Reentry Centers (RRC) are fulfilling their vital role in the reentry process, the Department, with assistance from outside consultants, is undertaking a robust evaluation and assessment of the RRC experience to develop a specific plan for implementing improvements to the existing RRC model that will provide residents enhanced reentry support and reduce recidivism.
Principle V
Before leaving custody, every person should be provided comprehensive reentry-related information and access to resources necessary to succeed in the community.
The Department is developing reentry-specific tools and support services to help returning citizens succeed after leaving federal custody.
As part of the national effort to increase awareness about these challenges, the Attorney General also sent a letter to governors with a request to permit citizens returning to their communities to exchange their Bureau of Prisons inmate identification card and authenticated release documentation for state identification, or for these documents to satisfy the primary identification document requirement for state-issued identification. Without government-issued identification, men and women leaving correctional facilities face extreme challenges securing employment and housing, registering for school, opening bank accounts as well as accessing other benefits, such as health care, that are critical to successful reintegration.
Leadership from across the Administration will be traveling around the country to make policy announcements in support of National Reentry Week. They will also be encouraging federal partners and grantees to work closely with stakeholders like federal defenders, legal aid providers and other partners across the country to increase the impact of these efforts. National Reentry Week events are being planned in all 50 states, the District of Columbia, Puerto Rico and the Virgin Islands. U.S. Attorney’s Offices alone are hosting over 200 events and BOP facilities are holding over 370 events.
Additional Resources:
National Reentry Week Webpage
REPORT: Roadmap to Reentry
INFOGRAPHIC: Roadmap to Reentry
FACT SHEET: BOP Reentry
FACT SHEET: Federal Interagency Reentry Council
FACT SHEET: Fair Chance Business Pledge
REPORT: CEA Report
Deming Man Sentenced to Prison for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Flavio Loya Moncada, 53, of Deming, N.M., was sentenced today in federal court in Las Cruces, N.M., to 63 months in prison followed by four years of supervised release for his methamphetamine trafficking conviction.
Moncada was arrested on March 11, 2015, on a criminal complaint charging him with possession of methamphetamine with intent to distribute on March 6, 2015, in Doña Ana County, N.M. The arrest was made after Moncada sold 235.1 grams of methamphetamine to an undercover law enforcement agent.
Moncada was subsequently charged in a four-count indictment with distributing methamphetamine on Jan. 10, 2015, Jan. 30, 2015, Feb. 14, 2015, and March 6, 2015. The crimes charged in the indictment took place in Doña Ana County. The indictment included forfeiture allegations requiring Moncada to forfeit $10,600.00 to the United States.
On Feb. 11, 2016, Moncada pled guilty to the indictment and admitted selling a total of 450.4 grams of pure methamphetamine to an undercover law enforcement agent during four separate drug deals. More specifically, Moncada admitted selling the following quantities of methamphetamine to the undercover agent: 52 grams on Jan. 10, 2015; 92 grams on Jan. 30, 2015; 165 grams on Feb. 14, 2015; and 140 grams on March 6, 2015.
This case was investigated by the Las Cruces office of the FBI and the HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force and was prosecuted by Assistant U.S. Attorney Maria Y. Armijo of the U.S. Attorney’s Las Cruces Branch Office.
The HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force is comprised of officers from the Las Cruces Police Department, the Doña Ana County Sheriff’s Office, the FBI, HSI and the New Mexico State Police. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Convicted Felon from Hickory Hills Sentenced to More Than Six Years in Prison for Illegally Possessing Rifles and a ShotgunRead the Press Release
CHICAGO — A convicted felon from southwest suburban Hickory Hills was sentenced today to more than six years in federal prison for illegally possessing several firearms with obliterated serial numbers.
STEVEN RILEY, 24, sold a 20-gauge shotgun, two rifles and 40 rounds of assorted ammunition to an individual for $2,500 in November 2014. Unbeknownst to Riley, the buyer was a confidential informant who was working at the direction of agents from the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. Riley had previously been convicted of two felonies prior to the gun sale.
Riley pleaded guilty last year to one count of illegal possession of a firearm by a convicted felon. U.S. District Judge Virginia M. Kendall imposed the 75-month sentence in federal court in Chicago.
“Firearms and firearm-related violence have plagued the City of Chicago for years, and continue to do so,” Assistant U.S. Attorney Jordan Palmore argued in the government’s sentencing memorandum. “Conduct like that of the defendant in this case only contributes to this ongoing violence.”
In addition to the shotgun and rifles, Riley admitted in a plea agreement that he sold other firearms and assorted ammunition to the informant from October 2014 to February 2015. These additional sales netted Riley $3,600. In March 2015, agents executing a search warrant at Riley’s home in Hickory Hills discovered two loaded semi-automatic pistols and various ammunition, according to the plea agreement.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and Jeffery Magee, Special Agent in Charge of the Chicago Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives. The Hickory Hills Police Department assisted in the investigation.
The government is represented by Ms. Palmore and Assistant U.S. Attorney Elizabeth Pozolo.
Cocaine Dealer Sentenced to 168 Months in Federal PrisonRead the Press Release
DALLAS — A Dallas man, Alondo Wheeler, a/k/a “Lil Dude,” has been sentenced by U.S. District Judge Sidney A. Fitzwater to serve 168 months in federal prison, following his guilty plea in November 2015 to one count of conspiracy to distribute cocaine, announced U.S. Attorney John Parker of the Northern District of Texas.
Wheeler, 35, was one of 16 defendants arrested in late May 2015 as part of a joint law enforcement operation led by the Dallas Police Department, Dallas County Sheriff’s Office and the Dallas FBI-Violent Gang Safe Streets Task Force, that targeted members of a cocaine and crack cocaine distribution conspiracy, as alleged in an indictment returned by a federal grand jury in Dallas on May 20, 2015.
Twenty-one defendants were charged in that indictment. To date, 12 have pleaded guilty and are awaiting sentencing.
According to documents filed in the case, Wheeler admitted that on several occasions between January 2013 and May 20, 2015, he possessed with the intent to distribute and distributed cocaine base in the Dallas area, working with co-defendants to obtain the crack. In addition, during the conspiracy, Wheeler admitted to possessing with the intent to distribute and/or distributing 106 grams of crack cocaine and 56.7 grams of cocaine.
Assistant U.S. Attorney Phelesa Guy is in charge of the prosecution.
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Co-Owner of Real Estate Investment Firm Sentenced to Prison for Participating in Fraud Scheme that Ended in Massive BankruptcyRead the Press Release
SANTA ANA, California – One of the owners of a now-defunct Southern California real estate investment firm was sentenced today to 30 months in federal prison after pleading guilty to participating in a fraudulent scheme that ended with the bankruptcy of the company and hundreds of investors collectively losing as much as $169 million.
John Packard, 66, of Long Beach, was sentenced by United States District Judge Cormac J. Carney.
Packard’s business partner and co-defendant, San Clemente resident Michael J. Stewart, received a 14-year prison sentence from Judge Carney on February 29. Judge Carney ordered Packard and Stewart to collectively pay $9,234,914 in restitution to 120 victims.
Packard pleaded guilty to one count of mail fraud in 2014, admitting that he and Stewart bilked investors in Pacific Property Assets (PPA), which had offices in Long Beach and Irvine. Packard and Stewart created PPA in 1999 to purchase, renovate, operate and resell or refinance apartment complexes in Southern California and Arizona. Typically, PPA financed property acquisitions through mortgages, and it raised money from private investors to pay for renovations to the properties. After several years, PPA usually refinanced, but sometimes sold, each property.
Although PPA’s apartment rental operations were not profitable, it was able to raise cash through refinancing and selling properties. As real estate values were generally increasing until approximately 2007, the properties were refinanced at ever-higher values, which enabled PPA to use the extra refinancing proceeds to not only pay off the original mortgages, but also to make payments on other loans, make payments to investors, and to pay Stewart and Packard. In its 10 years of operations, PPA acquired more than 100 real estate properties and raised tens of millions of dollars from hundreds of investors.
By the end of 2007, when the real estate market began to decline and credit became scarce, PPA’s business model was no longer feasible. To keep PPA afloat, from early 2008 through April 2009, Stewart and Packard raised more than $34 million dollars from new investors, many of them elderly and retired persons who were investing their retirement funds in the company. For example, one 74-year-old investor testified at Stewart’s trial that in early 2009, shortly after her husband passed away, Stewart’s staff persuaded her to invest virtually all her retirement savings in PPA.
The defendants used those new funds to pay earlier investors, mortgage lenders, other company expenses, and Stewart and Packard themselves – including their annual salaries of $750,000 and hundreds of thousands of dollars in additional compensation. Packard testified at Stewart’s trial that, in 2008, he and Stewart knew that PPA was dependent on these investor loans to make its monthly debt payments and continue operating, and the company was unable to raise money through other means.
In the last investor offering in early 2009 – which PPA called the Opportunity Fund – investors were told that their funds would be used to purchase new real estate properties. In fact, none of the more than $9 million raised as part of this offering was used for that purpose. Instead, the money was used to pay earlier investors and banks, to pay Stewart and Packard, and to pay PPA’s bankruptcy attorney.
“Mr. Packard and Mr. Stewart deliberately and repeatedly misled hundreds of victims who entrusted their retirement funds – and in some cases, their life savings – to PPA, with disastrous results,” said United States Attorney Eileen M. Decker. “These defendants concealed the weak financial condition of the company, which resulted in the victims losing their investments and their ability to retire with confidence.”
PPA and a group of related companies filed for bankruptcy in June 2009. When the bankruptcy was filed, PPA stated that it owed 647 private investors more than $91 million, and it owed banks approximately $100 million. The Chapter 11 trustee appointed in the bankruptcy case later estimated the total investor losses at $169 million, and predicted that investors would receive, at best, “pennies on the dollar” through the bankruptcy process.
The investigation in this case was conducted by the Federal Bureau of Investigation, which received assistance from the United States Trustee’s Office.
Cleveland dentist charged for billing $407,000 for work never done, such as fillings on patients with denturesRead the Press Release
A Cleveland dentist was charged with one count of health care fraud after billing Medicaid for more than $407,000 in work that not authorized or never done, said Carole S. Rendon, Acting U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
Robert Rouzaud, 59, operated Five Points Dental Centre on East 152nd Street. Rouzaud submitted claims on behalf of Medicaid recipients for services that were not pre-authorized, as required, and/or not provided. This took place between 2009 and 2015, according to the criminal information.
For example, Rouzaud billed for an excessive number of fillings on the same teeth, when he had not done fillings, filed claims for fillings on teeth that had been previously extracted, and submitted claims for fillings on patients who had dentures, according to the information.
Rouzaud submitted false claims totaling $407,982 for services he did not provide between 2009 and 2015. He was paid more than $343,000 for these services, according to the information.
If convicted, the defendant’s sentence will be determined by the Court after review of the factors unique to this case, including the defendant’s prior criminal record, his role in the offense and the characteristics of the criminal conduct. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Michael Collyer following an investigation by the FBI, the Department of Health and Human Services -- Office of Inspector General and the Ohio Attorney General's Office.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove the defendant guilty beyond a reasonable doubt.
Cape Coral Man Pleads Guilty to Credit Card Fraud and Aggravated Identity TheftRead the Press Release
Fort Myers, Florida – United States Attorney A. Lee Bentley, III announces that Henry Alberto Fernandez Gomez (30, Cape Coral) today pleaded guilty to access device (credit card) fraud and aggravated identity theft. He faces a maximum penalty of 10 years in federal prison for the access device fraud offense and a mandatory minimum term of 2 years’ imprisonment for the aggravated identity theft offense, to be served consecutive to the fraud sentence. A sentencing date has not yet been set.
According to the plea agreement, between December 2014 and April 2015, Fernandez Gomez used stolen and unauthorized credit card information to make 27 purchases at retail establishments throughout Florida. On one occasion, he used the stolen credit card information to buy furniture for approximately $3,500. Fernandez Gomez also used another person’s means of identification to make a purchase at a liquor store.
This case was investigated by the Federal Bureau of Investigation, the Lee County Sheriff’s Office’s Economic Crimes Unit, and the Cape Coral Police Department. It is being prosecuted by Assistant United States Attorney David G. Lazarus.
California Man Sentenced to Prison for Drug ConspiracyRead the Press Release
Jackson, Miss - Walter Pernillo, 42, of San Bernardino, California, was sentenced on Friday, April 22, 2016, by U.S. District Judge Daniel P. Jordan III, to serve a term of 151 months in federal prison followed by 5 years of supervised release for his role in a conspiracy to possess with intent to distribute more than 50 grams of actual methamphetamine, U.S. Gregory K. Davis announced today.
The indictment in this case was the result of an extensive investigation dubbed Operation Yeti Ice@ which targeted illegal narcotics distribution in central Mississippi. The Drug Enforcement Administration and the Mississippi Bureau of Narcotics led the investigation. Assisting agencies included the Scott County Sheriff’s Office, Leake County Sherriff’s Office, Madison County Sherriff’s Office, United States Postal Service, Internal Revenue Service, Carthage Police Department, , Forest Police Department, Newton County Sherriff’s Office, Lauderdale County Sherriff’s Office, Decatur Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, Richland Police Department, Pearl Police Department, Ridgeland Police Department, Jackson Police Department and the United States Marshal Service.
California Leader of Large-Scale Methamphetamine Trafficking Organization Sentenced to 188 months in Federal PrisonRead the Press Release
BOISE – Francisco Sandoval, 60, of Placentia, California, was sentenced on April 22, 2016, to 188 months in prison for his leadership role in a large-scale methamphetamine trafficking organization, U.S. Attorney Wendy J. Olson announced. Chief United States District Judge B. Lynn Winmill also ordered Sandoval to serve five years of supervised release following his release from prison, and to forfeit $100,000 in drug proceeds. Sandoval pleaded guilty on December 17, 2015.
According to the plea agreement, the defendant conspired with others to distribute methamphetamine from California to Idaho beginning in August 2014. Sandoval was found to be the organizer and leader of the conspiracy. In January 2015, Sandoval made arrangements to send eight pounds of high grade methamphetamine to Idaho. Sandoval sent his then nineteen-year old son, Jorge Sandoval, to Idaho to ensure payment was received and returned to him. Jorge Sandoval and three co-defendants were arrested in Meridian, Idaho, with the shipment of methamphetamine, which was seized by law enforcement.
“Sandoval’s sentence demonstrates that those who supply large quantities of methamphetamine, a highly addictive and dangerous drug, into our communities will be vigorously prosecuted,” said Olson. “We hope this sentence will deter others who choose to profit from peddling this poison in our community. This office will work together with its federal, state and local law enforcement partners to bring drug traffickers to justice.”
This case was investigated by the Drug Enforcement Administration, the Ada County Sheriff’s Office, the Boise Police Department, the Meridian Police Department and the Nampa Police Department, as well as the Organized Crime and Drug Enforcement Task Force (OCDETF), which includes the cooperative law enforcement efforts of the Federal Bureau of Investigation; Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Internal Revenue Service-Criminal Investigation; and U.S. Marshals Service. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
Barnard Savage, Grand Isle Selectman, pleads guilty to drug traffickingRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that today Bernard Savage, 57, plead guilty before Judge William K. Sessions to conspiring to distribute powder cocaine and oxycodone, between 2014 and June 2015. Savage also agreed to pay a forfeiture money judgment of $75,000 on or before August 29, 2016, the current scheduled date for his sentencing. At that time, the Court could sentence Savage up to 20 years in prison and a fine of up to $1,000,000. According to court records, Savage admitted during undercover recordings to dealing powder cocaine, oxycodone and marijuana. Between October 2014 and June 2015, Savage participated in multiple undercover drug sales as part of the charged conspiracy. On three occasions, he sold powder cocaine, and on three occasions he sold oxycodone pills to a confidential informant. All of the sales took place at Savage’s residence at 152 Route 2 in Alburgh, Vermont. Patricia Savage, Bernard Savage’s wife, assisted in several of the undercover deals. At the same hearing today, Ms. Savage pleaded guilty to misdemeanor possession of oxycodone. As part of the written plea agreement, Mr. Savage agreed to the forfeiture of $24,620 in currency seized at the time of search of the Savage residence in July 2015. Ms. Savage agreed not to contest this forfeiture. Mr. Savage agreed to pay an additional $50,280 prior to his sentencing to satisfy the $75,000 forfeiture. In addition, both Savages agreed that, if the money judgment was not paid prior to the sentencing date, they would agree to the forfeiture of their residence. At the time of search, federal agents seized over 100 firearms from the residence. In the past, Mr. Savage had been an licensed firearms dealer, but he no longer had that license in 2015. As part of the plea agreement, the firearms were not returned to the Savages but instead turned over to another licensed firearms dealer for sale. While Mr. Savage faces a maximum sentence of 20 years in jail, the plea agreement does not limit the parties’ arguments at the time of sentencing. At that time, among other things, the Court will consider the advisory sentencing guidelines, and the government has agreed to recommend that Mr. Savage receive credit under the guidelines for acceptance of responsibility if he is honest during the presentence investigation conducted by the United States Probation Office. The government and Ms. Savage agreed that the appropriate sentence in light of her plea was one year of probation. This case was investigated by the United States Drug Enforcement Administration, the Federal Bureau of Investigation, and the Vermont State Police. Mr. Savage is represented by Karen Shingler, Esq., and Ms. Savage is represented by Norman Blais, Esq. The United States is represented by AUSA Wendy Fuller.Bankruptcy Attorney Charged with Embezzling FundsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the Federal Bureau of Investigation, announced that PETER RESSLER, 68, of Woodbridge, was charged today by federal criminal complaint with embezzlement of debtor’s funds. RESSLER was an attorney with a bankruptcy practice based in New Haven.
RESSLER appeared this afternoon before U.S. Magistrate Judge William I. Garfinkel in Bridgeport and was released on a $100,000 bond.
As alleged in the criminal complaint, the U.S. Bankruptcy Court for the District of Connecticut contacted the U.S. Attorney’s Office after it identified criminal conduct by RESSLER in at least two cases involving debtors that were his clients. In one case, the debtor entrusted RESSLER with $450,000, which were proceeds of a legal settlement, to be held by RESSLER’s firm for the benefit of the debtor and its creditors. In a second case, the debtor entrusted RESSLER’s firm with approximately $321,409. In both cases, most of the deposited funds were used by RESSLER for other purposes than on behalf of the relevant clients.
The complaint further alleges that RESSLER is cooperating with the investigation and prosecution of this matter, which includes the investigation of embezzlements from other clients.
RESSLER resigned from the Connecticut bar in March 2016.
The charge of embezzlement of debtor’s funds carries a maximum term of imprisonment of five years.
U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.
Allen County, Kentucky, Farmers Charged with Crop Insurance FraudRead the Press Release
BOWLING GREEN, Ky. – Two Allen County, Kentucky, farmers were charged by federal Informations today with crop insurance fraud announced United States Attorney John E. Kuhn, Jr.
According to the separate federal Informations, David Manion, 53, and Henry Manion, 48, aided and abetted by others, knowingly made false statements and reports on applications for insurance. Both defendants allegedly made false statements for the purpose of influencing the actions (insurance payments) of the Federal Crop Insurance Corporation and Producers Agriculture Insurance Company, a company insured by the Federal Crop Insurance Corporation.
The alleged violations by Henry Manion occurred between August 10, 2009, and February 14, 2012, in the Western District of Kentucky, Allen County, Kentucky, and elsewhere. The alleged violations by David Manion occurred between August 25, 2009, and February 7, 2012, in the Western District of Kentucky, Allen County, Kentucky, and elsewhere.
If convicted at trial, the defendants each face no more than 30 years in prison, a fine of $1,000,000 and a five year period of supervised release.
These cases are being prosecuted by Assistant United States Attorney David Weiser and are being investigated by the United States Department of Agriculture (USDA) Office of Inspector General (OIG).
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The indictment of a person by a Federal Information is an accusation only and that person is presumed innocent until and unless proven guilty.
"Face to Face" Meeting with Returning Citizens as Part of National Reentry WeekRead the Press Release
Flint, MI - The Department of Justice has designated the week of April 24-30, 2016, as National Reentry Week. Supporting successful reentry is an essential part of the Department’s mission to promote public safety – because helping individuals return to productive, law-aiding lives can reduce the rate of recidivism.
In recognition of Reentry Week, the U.S. Attorney's Office, Bureau of Alcohol, Tobacco, Firearms & Explosives, Michigan Department of Corrections and the Genesee County Prosecutor's Office has scheduled a “Face to Face" meeting to take place on April 26, 2016, between law enforcement and parolees. The educational meeting is a collaborative effort designed to prevent recidivism among the offender population.
Face-to-Face provides offenders with information about the consequences of committing new gun crimes, which includes stiff federal sentences with no chance of parole and prisons in distant locations. The program also provides information about opportunities, such as education, job training, drug treatment, and employment from wrap around service organizations.
Each year, more than 13,000 citizens return from prison to their communities in Michigan. Statistics show that about one-third of them will reoffend. Offenders identify joblessness as their biggest barrier to success, and research shows that unemployment and crime go hand-in-hand. Sending returning citizens back to their communities with no ability to get a job is a recipe for recidivism and a costly mistake. Taxpayers pay about $34,000 a year to incarcerate a single prisoner. Rather than watching returning citizens go back to prison through the revolving door, it makes fiscal sense to invest in helping them find jobs.
“We are taking a targeted approach to reducing crime by telling offenders about of the consequences of committing new crimes and about the support services that are available to help them succeed outside of prison,” stated United States Attorney Barbara McQuade.
Media is welcome to attend the meeting which will be held from 2:00 p.m. to 3:00 p.m. in the City Hall Dome, located on the grounds of the City of Flint Municipal Service Campus, 1101 S. Saginaw Street, Flint, MI. Immediately following the meeting U.S. Attorney Barbara McQuade and ATF Special Agent in Charge Robin Shoemaker will hold a media availability. The Dome is located on E. 7th St, just east of S. Saginaw Street. Parking is accessible off 7th street.
For more information, please contact Gina Balaya at (313) 226-9758 or Robert Poikey at (313) 226-9120.
GUIDELINES:
PHOTOGRAPHERS WILL NOT BE ALLOWED TO SHOOT THE FACES OF PAROLEES OR PROBATIONERS, ONLY THE FACES OF LAW ENFORCEMENT OFFICIALS AND THE BACKS OF HEADS OF THE AUDIENCE MEMBERS. REPORTERS MAY CONDUCT INTERVIEWS WITH LAW ENFORCEMENT OFFICIALS ONLY AND WILL NOT IDENTIFY PAROLEES OR PROBATIONERS IN PRINT, INTERNET OR BROADCAST MEDIA.
23 April 2016
Washington Man Indicted for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Randolph J. Seiler announced that a University Place, Washington, man has been indicted by a federal grand jury for Conspiracy to Distribute a Controlled Substance.
Dionisio Munoz-Torres, age 29, was indicted on February 23, 2016. He appeared before U.S. Magistrate Judge Daneta Wollmann on April 4, 2016, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is a minimum of 5 years up to 40 years in custody and/or a $5,000,000 fine, 4 years of supervised release, and $100 to the Federal Crime Victims Fund.
From June 2014 through February 2016, Munoz-Torres conspired and agreed with others to possess and distribute 50 grams or more of methamphetamine within the District of South Dakota.
The charge is merely an accusation and Munoz-Torres is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Unified Narcotics Enforcement Team, United States Postal Inspection Service, United States Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, South Dakota Division of Criminal Investigation, and Rapid City Police Department. Assistant U.S. Attorneys Ted L. McBride and Kathryn N. Rich are prosecuting the case.
Munoz-Torres was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for June 7, 2016.
Two Men Indicted for Several Charges Related to a Robbery and AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that two men from the Pine Ridge reservation have been indicted by a federal grand jury for Robbery, Assault with a Dangerous Weapon, Tampering with a Witness, and Use and Brandishing of a Firearm during the Commission of a Crime of Violence.
Charles Colhoff, a/k/a Charles H. Goings, a/k/a Chuckie Colhoff, age 27 from Pine Ridge, and Jeremy Crow, age 22 from Batesland, were indicted on April 14, 2016. Crow appeared before U.S. Magistrate Judge Daneta Wollmann on March 30, 2016, and pleaded not guilty to the Indictment. Colhoff appeared before U.S. Magistrate Judge Daneta Wollmann on April 15, 2016, and pleaded not guilty.
The maximum penalty upon conviction is up to life in custody and/or a $250,000 fine, 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Colhoff and Crow using a firearm to rob two females at Pine Ridge on June 4, 2015. On June 11, 2015, they again used a firearm to assault and threaten another female at Pine Ridge.
The charges are merely accusations and Colhoff and Crow are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Eric Kelderman is prosecuting the case.
Colhoff and Crow were remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for June 21, 2016.
Two Dupree Men Charged with AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that two Dupree, South Dakota, men have been indicted by a federal grand jury for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury.
Charles Hollow Horn, age 20, and Bradley Speker, age 24, were indicted on April 13, 2016. They appeared before U.S. Magistrate Judge Mark A. Moreno on April 15, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about December 8, 2015, both Hollow Horn and Speker unlawfully assaulted another man with shod feet with the intent to do bodily harm. The assault resulted in serious bodily injury to the victim.
The charge are merely accusations and Hollow Horn and Speker are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Hollow Horn and Speker were released on bond pending trial, which has not been set.
Three Eagle Butte Men Sentenced for Burning Down ChurchRead the Press Release
United States Attorney Randolph J. Seiler announced that three Eagle Butte, South Dakota, men convicted for their roles in burning down a 98-year-old church on the Cheyenne River Indian Reservation were sentenced on April 18, 2016, by U.S. District Judge Roberto A. Lange.
Cody Yellow, age 27, was sentenced to 41 months in custody; Ake Kyle Eagle Hunter, age 29, was sentenced to 35 months in custody; and Robert Grindstone, age 28, was sentenced to 37 months in custody. All three were sentenced to 2 years of supervised release, $3,776.92 restitution to the Cheyenne River Sioux Tribe for the cost of extinguishing the fire, and each is to pay a $100 special assessment to the Federal Crime Victims Fund. Restitution for the destruction of the church structure was left open for an additional 90 days.
Yellow, Eagle Hunter, and Grindstone were indicted for Third Degree Burglary and Arson by a federal grand jury on August 11, 2015. Yellow and Grindstone pled guilty to Arson and Aiding and Abetting. Grindstone pled guilty to Accessory After The Fact.
St. Basil's Church, a/k/a Mossman Church, was built in 1917. It is located on United States Highway 212 near Ridgeview, South Dakota. Locals have maintained the church throughout the years. Mass was held there every Memorial Day weekend, and occasionally weddings and funerals were also held at the church.
On July 19, 2015, Yellow, Eagle Hunter, and Grindstone drove from Eagle Butte to the Mossman Church to visit a friend’s grave at the cemetery near the church. After visiting the grave site, Yellow kicked open the door to the church, and once they were inside, the three men vandalized the church. Grindstone found a can with liquid inside it in a room next to the altar and one of the others suggested burning the church down. Grindstone opened the can and intentionally dropped the metal container, letting the contents spill out. After that, one of the other two men lit the liquid accelerant on fire. The church burned to the ground and was a total loss.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Federal Bureau of Investigation. Assistant U.S. Attorney Jay Miller prosecuted the case.
Yellow, Eagle Hunter, and Grindstone were immediately turned over to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced to 97 Months for Drug OffenseRead the Press Release
United States Attorney Randolph J. Seiler announces that a Sioux Falls, South Dakota, man convicted of Conspiracy to Distribute Methamphetamine and five counts of Distribution of Methamphetamine was sentenced on April 18, 2016, by U.S. District Judge Karen E. Schreier.
Jaime Aroldo Duarte-Lopez, age 24, was sentenced to 97 months in custody, and a $600 special assessment to the Federal Crime Victims Fund.
A superseding indictment was issued against Duarte-Lopez for Conspiracy to Distribute Methamphetamine and five counts Distribution of Methamphetamine by a federal grand jury on December 15, 2015. He was found guilty of all counts after a jury trial on January 22, 2016.
In 2014 and 2015, Duarte-Lopez was involved in a conspiracy to distribute methamphetamine in Sioux Falls. Duarte-Lopez distributed over 175 grams of methamphetamine to a confidential informant working with law enforcement.
This case was investigated by the Drug Enforcement Administration and the Sioux Falls Area Drug Task Force. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
Sioux Falls Man Indicted for Assault with a Dangerous Weapon and Child AbuseRead the Press Release
United States Attorney Randolph J. Seiler announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon, Assault Resulting in Substantial Bodily Injury, and Child Abuse.
Justin Stone Arrow, age 37, was indicted on April 13, 2016. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 19, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction of Assault with a Dangerous Weapon and Child Abuse is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund for each count. The maximum penalty upon conviction of Assault Resulting in Substantial Bodily Injury is up to 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
It is alleged that on or about March 10, 2016, Stone Arrow unlawfully assaulted a person who had not attained the age of 16 years with a dangerous weapon and that said assault resulted in substantial bodily injury to the minor.
The charge is merely an accusation and Stone Arrow is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Carrie G. Sanderson is prosecuting the case.
Stone Arrow was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Rosebud Man Sentenced for Sexual Exploitation of a Child, Distribution of Material Involving the Sexual Exploitation of Minors, and Failure to AppearRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rosebud, South Dakota, man convicted of Sexual Exploitation of a Child, Distribution of Material Involving the Sexual Exploitation of Minors, and Failure to Appear was sentenced on April 19, 2016, by U.S. District Judge Roberto A. Lange.
Neal LaPointe, age 32, was sentenced to 234 months in custody, 8 years of supervised release, a $300 special assessment to the Federal Crime Victims Fund, $528.10 in restitution, and no contact with minors, co-defendants, and victims.
LaPointe was indicted for Sexual Exploitation of a Child and Distribution of Material Involving the Sexual Exploitation of Minors by a federal grand jury on June 12, 2013. An eight-count Superseding Indictment charging seven counts of Sexual Exploitation of a Child and one count of Distribution of Material Involving the Sexual Exploitation of Minors was filed on August 12, 2013. On August 19, 2014, LaPointe was indicted for Failure to Appear by a federal grand jury. He pled guilty to one count each of Sexual Exploitation of a Child, Distribution of Material Involving the Sexual Exploitation of Minors, and Failure to Appear on September 28, 2015.
At earlier times, as well as between March 1, 2012, and April 30, 2013, LaPointe was living in California and, using the guise of various aliases and online identities, including that of a minor female named "Jess Martin", he would use computers, the internet, and the social networking site Facebook to solicit images of minors engaging in explicit sexual conduct, and he would also distribute images of minors engaging in explicit sexual conduct via computer and over the internet. Using the guise of "Jess Martin" LaPointe solicited sexually explicit photographs from a minor who lived on the Rosebud Sioux Indian Reservation. The minor reciprocated and sent LaPointe some explicit pictures of herself. The minor used her computer and a webcam to send the images to LaPointe. Those images were shared with other individuals, and circulated over the internet between the states of South Dakota and California, and elsewhere. LaPointe also solicited other depictions of minors engaging in sexually explicit conduct when he asked for naked photos and photos displaying the genitals.
LaPointe received and distributed numerous images of child pornography and depictions of minors engaging in sexually explicit conduct on different dates. The illegal materials came into LaPointe's possession in California, and he redistributed images, sharing materials with others from South Dakota,including, but not limited to, some other men as well as a minor from the Crow Creek Indian Reservation. LaPointe had reason to know that the child pornography images and depictions of minors engaging in sexually explicit conduct would be produced using material that had been mailed and shipped and transported in interstate and foreign commerce by any means, including by computer or cellular telephone, Facebook, or other online services.
On July 14, 2014, LaPointe, having been charged with the offenses of Sexual Exploitation of a Child and Distribution of Material Involving the Sexual Exploitation of Minors, offenses punishable by imprisonment for a term of more than 15 years, and having been released in connection with the aforementioned criminal charge, did knowingly fail to appear as required before U.S. District Judge Roberto A. Lange. After his initial arrest, he was detained for a period of time. Ultimately, U.S. Magistrate Judge Mark Moreno allowed his release and ordered him to be on electronic monitoring and to live with his father at a ranch on the Rosebud Sioux Indian Reservation. As part of his release, LaPointe signed paperwork indicating he understood that failure to appear could lead to prosecution and that he needed to appear as directed by the Court for all scheduled matters. LaPointe signed a plea agreement agreeing to plead guilty to sexual exploitation and related charges. He was ordered to appear for a change of plea hearing on July 14, 2014, at 10:45 a.m. LaPointe failed to appear at court because he had absconded from his release and electronic monitoring, and his whereabouts were unknown until he was apprehended around February 13, 2015, in Miami, Florida.
This case was investigated by the Federal Bureau of Investigation, South Dakota Division of Criminal Investigation, South Dakota Internet Crimes Against Children Task Force, Sacramento County Sheriff’s Department, Pennington County Sheriff’s Office, Rapid City Police Department, Sioux Falls Police Department, U.S. Marshals Service, and the Rosebud Sioux Tribal Police Department. Assistant U.S. Attorneys Tim Maher and Sarah Collins prosecuted the case.
LaPointe was immediately turned over to the custody of the U.S. Marshals Service.
Rosebud Man Sentenced for Abusive Sexual Contact and AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rosebud, South Dakota, man convicted of Abusive Sexual Contact and Assault Resulting in Substantial Bodily Injury was sentenced on April 18, 2016, by U.S. District Judge Roberto A. Lange.
Benton Brave Hawk, age 25, was sentenced to 15 years in custody, 5 years of supervised release, and a $200 special assessment to the Federal Crime Victims Fund.
Brave Hawk was indicted for Aggravated Sexual Abuse of a Child and Child Abuse by a federal grand jury on August 11, 2015. He pled guilty to a Superseding Information charging Abusive Sexual Contact and Assault Resulting in Substantial Bodily Injury on February 1, 2016.
Between December 1, 2014, and March 28, 2015, Brave Hawk watched two children overnight at their home in Rosebud. Brave Hawk was the only adult present. At some point in the night, Brave Hawk went to the bed where the siblings were sleeping and climbed on top of the female child. Brave Hawk held his hand over the female child’s mouth and proceeded to have abusive sexual contact with the child. The male child awoke to the female child’s crying and grabbing onto his arm. Brave Hawk put money on the bed, and told the female child not to tell anyone.
Between December 1, 2014, and March 28, 2015, while at the same home in Rosebud, Brave Hawk hit the male child across his back and buttocks with a belt. The belt had a metal buckle and the metal buckle made contact with the child's skin. Brave Hawk's willful and reckless actions caused substantial bodily injury to the child.
This case was investigated by Rosebud Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Carrie G. Sanderson prosecuted the case.
Brave Hawk was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced for Stealing FirearmsRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man convicted of Theft of Firearms was sentenced on April 21, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Joshua Clark, age 28, was sentenced to 18 months of imprisonment, followed by 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Clark was charged on August 18, 2015, and pleaded guilty on December 11, 2015. The conviction stems from Clark and another person stealing several firearms from a pawn shop in Rapid City.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Rapid City Police Department, and the Pennington County Sheriff’s Office. Assistant U.S. Attorney Ben Patterson prosecuted the case.
Clark was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced for Possession of Firearm and Ammunition by a Prohibited PersonRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on April 15, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Clayton M. High Wolf, age 53, was sentenced to 92 months’ custody, 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
High Wolf was indicted for the charge on September 23, 2014. High Wolf was convicted of the charge at the conclusion of a federal jury trial in Rapid City in January 2015.
The conviction stems from High Wolf knowingly being in possession of a Smith & Wesson .22 caliber pistol and Remington .22 caliber ammunition when he was stopped by Rapid City police officers on North LaCrosse Street on July 17, 2014. High Wolf previously had been convicted of Conspiracy to Distribute a Controlled Substance in 1996, and of Possession with Intent to Distribute a Controlled Substance in 2008. Based on those felony convictions, High Wolf was prohibited from possessing firearms or ammunition.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives and the Rapid City Police Department. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
High Wolf was immediately detained in the custody of the U.S. Marshals Service.
Rapid City Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on April 15, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Brandon James Noisy Hawk, age 34, was sentenced to time served in custody, 5 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Noisy Hawk was indicted for the charge on June 16, 2015, and pleaded guilty on January 8, 2016.
The charge related to Noisy Hawk failing to register as a convicted sex offender between March 10, 2015, and June 16, 2015.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Rapid City Man Sentenced for ArsonRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man convicted of Arson was sentenced on April 21, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Duane Benson, age 31, was sentenced to 57 months of imprisonment, followed by 5 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Benson was charged on May 19, 2015, and pleaded guilty on December 18, 2015. The conviction stems from Benson intentionally setting fire to a trailer at Belt Village.
This case was investigated by the Bureau of Indian Affairs Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Ben Patterson prosecuted the case.
Benson was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Charged with Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Jeremy Eagle Bear, age 25, was indicted on April 13, 2016. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 15, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, a mandatory minimum of 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between December 15, 2015, and March 28, 2016, Eagle Bear, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of a conviction under federal law, knowingly failed to register and update his registration.
The charge is merely an accusation and Eagle Bear is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Eagle Bear was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Porcupine Man Indicted for Abusive Sexual ContactRead the Press Release
United States Attorney Randolph J. Seiler announced that a Porcupine, South Dakota, man has been indicted by a federal grand jury for Abusive Sexual Contact.
Emerson Severt Spider, 41, of Porcupine, was indicted on March 22, 2016, and appeared before U.S. Magistrate Judge Daneta Wollmann on April 14, 2016. He pleaded not guilty to the Indictment.
The maximum penalty upon conviction is life imprisonment and/or a $250,000 fine, lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Spider engaging in sexual contact with two girls under the age of 12. The charges are merely an accusation and Spider is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Ben Patterson is prosecuting the case.
Spider was detained pending trial. A trial date has not been set.
Pollock Woman Charged with Theft of MailRead the Press Release
United States Attorney Randolph J. Seiler announced that a Pollock, South Dakota, woman has been indicted by a federal grand jury for Theft of Mail.
Elaine Reller, age 55, was indicted on April 18, 2016. She appeared before U.S. Magistrate Judge William D. Gerdes on April 22, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about January 16, 2016, Reller stole, took, and abstracted mail, which belonged to someone else, from an authorized depository at the Pollock Post Office.
The charge is merely an accusation and Reller is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Postal Inspection Service. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Reller was released on bond pending trial, which has not been set.
Mission Man Sentenced to 126 Months for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Randolph J. Seiler announced that a Mission, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on April 18, 2016, by U.S. District Judge Roberto A. Lange.
Jason Willard Menard, age 31, was sentenced to 126 months in custody, 5 years of supervised release, a $1,000 fine, and a $100 special assessment to the Federal Crime Victims Fund.
Menard was indicted by a federal grand jury on May 19, 2015. He pled guilty on February 1, 2016, to distributing 500 grams or more of methamphetamine.
Beginning in at least November of 2013, Menard received and distributed methamphetamine in South Dakota. The individuals who provided Menard with large amounts of methamphetamine knew he intended to engage in further distribution. Menard was a leader in his distribution network and he had numerous other dealers working for him. It was reasonably foreseeable to Menard that more than 500 grams of methamphetamine would be distributed during the course of his conspiracy.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorneys Ted L. McBride and SaraBeth Donovan prosecuted the case.
Menard was immediately turned over to the custody of the U.S. Marshals Service.
Eighth Circuit Court of Appeals Affirms Conviction of Sioux Falls Man for Unlawful Firearm PossessionRead the Press Release
United States Attorney Randolph J. Seiler announces that the Eighth Circuit Court of Appeals has affirmed a Sioux Falls, South Dakota, man’s conviction for being a prohibited person in possession of a firearm.
Cody Michael Smith, age 27, was indicted by a federal grand jury on December 3, 2014, for being a prohibited person in possession of a firearm due to a prior conviction for a misdemeanor crime of domestic violence.
Smith was found in possession of a loaded rifle after Sioux Falls Police Department officers responded to his residence to see if his ex-girlfriend, who had been reported missing from a halfway house, was there. The caller told police that Smith was a drug user who was known to possess weapons. At Smith’s residence, law enforcement decided to make entry once they realized Smith had lied about being the only person present in the home. In his bedroom, officers found Smith holding his ex-girlfriend and a gun on the bed.
Smith pleaded guilty to the charge on December 30, 2014, and was sentenced to 41 months in prison.
On appeal, Smith challenged the officers’ entry into his home. The Eighth Circuit upheld the district court’s determination that the officers’ entry was a proper execution of their community caretaking function.
This case was investigated by the Sioux Falls Police Department and Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Jennifer Mammenga prosecuted the case, and Assistant U.S. Attorney Kevin Koliner argued the case on appeal.
Eagle Butte Man Charged with Sexual AbuseRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Aggravated Sexual Abuse and Sexual Abuse.
Lloyd Red Horse, Jr., age 19, was indicted on April 13, 2016. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 15, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in custody and/or a $250,000 fine, any term of years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about October 7, 2015, Red Horse knowingly engaged in and attempted to engage in a sexual act with a female individual, by the use of force. On that same date, Red Horse knowingly engaged in and attempted to engage in a sexual act with a female individual, when the victim was incapable of appraising the nature of the conduct, and was physically incapable of declining participation and communicating her unwillingness to engage in the sexual act.
The charges are merely accusations and Red Horse is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Red Horse was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Eagle Butte Man Charged with Failure to AppearRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Failure to Appear.
Raymond Uses The Knife III, a/k/a Yamni Uses The Knife III, age 32, was indicted on April 13, 2016. He appeared before U.S. Magistrate Mark A. Moreno on April 19, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is not more than 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about April 5, 2016, Uses The Knife III, having been charged with the federal felony offenses of Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury, failed to appear in U.S. Magistrate Court on April 5, 2016, for a hearing on those charges.
The charge is merely an accusation and Uses The Knife III is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service and the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Uses The Knife III was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Eagle Butte Man Charged with AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury.
Walter Hanson, Jr., age 31, was indicted on April 13, 2016. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 22, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in custody and/or a $500,000 fine, 6 years of supervised release, and $200 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about January 13, 2016, Hanson unlawfully assaulted a human being and said assault resulted in serious bodily injury.
The charges are merely accusations and Hanson is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Hanson was released on bond pending trial, which has been set for June 21, 2016.
Dupree Man Charged with Assault with a Dangerous WeaponRead the Press Release
United States Attorney Randolph J. Seiler announced that a Dupree, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon.
Kelly Gene Clown, age 41, was indicted on March 15, 2016. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 15, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about May 23, 2015, Clown unlawfully assaulted an individual with shod feet, with the intent to do bodily harm to the victim.
The charge is merely an accusation and Clown is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Clown was released on bond pending trial, which has been set for June 7, 2016.
Caifornia Man Indicted for Conspiracy to Distribute MethRead the Press Release
United States Attorney Randolph J. Seiler announced that a San Pablo, California, man has been indicted by a federal grand jury for conspiracy to distribute a controlled substance.
Raymundo Cordova, age 33, was indicted on January 26, 2016. He appeared before U.S. Magistrate Judge Daneta Wollmann on April 4, 2016, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is a minimum of 10 years up to life in custody and/or a $10,000,000 fine, 5 years of supervised release, and $100 to the Federal Crime Victims Fund.
From January 2013 through January 2016, Cordova conspired and agreed with others to possess and distribute 500 grams or more of methamphetamine within the District of South Dakota.
The charge is merely an accusation and Cordova is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Unified Narcotics Enforcement Team, United States Postal Inspection Service, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, South Dakota Division of Criminal Investigation, and the Rapid City Police Department. Assistant U.S. Attorneys Ted L. McBride and Kathryn N. Rich are prosecuting the case.
Cordova was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for June 7, 2016.
22 April 2016
Wisconsin Man Pleads Guilty to Possession and Distribution of Heroin and the Prostitution of a Minor ChildRead the Press Release
FARGO - U. S. Attorney Christopher C. Myers announced that on April 22, 2016, Tyrice Excell Akins, 29, Milwaukee, Wisconsin, pled guilty before U. S. District Judge Ralph R. Erickson to a three-count Indictment charging him with Conspiracy to Commit Sex Trafficking, Transportation of a Minor, and Transportation to Engage in Prostitution. In addition to these charges, Akins also pled guilty to charges of possession and distribution of heroin out of Wisconsin.
The case came to the attention of law enforcement after the North Dakota Highway Patrol pulled over a rental vehicle driven by Kurtis Johnson. Found with Johnson was a woman and a 17-year-old female who Johnson transported from Milwaukee, Wisconsin, to Bismarck, North Dakota, for the purpose of prostitution. A subsequent investigation revealed that Johnson was provided narcotics by Akins in exchange for transporting women and one juvenile to various locations throughout the United States, including Florida, Louisiana, and North Dakota, throughout 2014 and 2015 for the purpose of prostitution.
This case was investigated by the North Dakota Bureau of Criminal Investigations and the Department of Homeland Security - Homeland Security Investigations.
Assistant U. S. Attorney Jennifer Puhl is prosecuting the case.
This case was prosecuted with the assistance of the North Dakota Human Trafficking Task Force (NDHTTF), which includes regional response teams that consists of federal, state, and local law enforcement and victim service providers working together to identify and rescue human trafficking victims as well as investigate and prosecute human trafficking cases. Led by the U.S. Attorney’s Office, BCI, and the North Dakota Counsel on Abused Women Services (CAWS), the NDHTTF is dedicated to addressing the individualized needs of human trafficking victims and the apprehension, investigation, and prosecution of the perpetrators of human trafficking.
The NDHTTF includes representatives from Youthworks, the Children’s Advocacy Center, the Domestic Violence Crisis Center, Lutheran Social Services, the ND Association of Counties, a Force to End hUman Sexual Exploitation (FUSE), a survivor of human trafficking, First Nations Women’s Alliance (FNWA), and the Department of Homeland Security - Homeland Security Investigations (HSI).
Un Presunto Traficante De Drogas Extraditado Desde México Al Distrito Este De CaliforniaRead the Press Release
Sacramento, Calif. – El viernes, 1 de abril de 2016, Álvaro Ríos-Madrid, 57 años de edad, y residente de Guamúchil, Sinaloa, México fue extraditado formalmente a los Estados Unidos por México para enfrentarse a cargos narcóticos federales, anunció el Procurador Federal de los Estados Unidos Benjamín B. Wagner.
El 13 de diciembre de 2012, un gran jurado federal en Sacramento acusó a Ríos-Madrid de un cargo de conspiración para distribuir cocaína y dos cargos por la utilización de teléfonos para facilitar la distribución de narcóticos.
Según documentos del tribunal, el Gobierno alega que Ríos-Madrid exportaba regularmente cantidades grandes de cocaína desde México a los Estados Unidos y que utilizaba organizaciones clandestinas de distribución basadas en los Estados Unidos para mover su cocaína a través de una red nacional de paquetería y mensajería a varios Estados incluyendo Utah, Minnesota, Indiana, Ohio, Massachusetts y California. Se alega que Ríos-Madrid ha podido pasar de contrabando regularmente cantidades en multi-kilogramos a los Estados Unidos a través de varios puertos de entrada incluyendo Nogales, Arizona y San Isidro, California. Los ingresos en efectivo de las ventas de la cocaína de Ríos-Madrid sumaban, por término medio, entre $500.000 dólares y $1.3 millones de dólares cada mes. Se acordaba con operarios dentro de los Estados Unidos para que esos ingresos fueran enviados a Ríos-Madrid en México. Como resultado de una investigación de larga duración, la Administración de Control de Drogas (DEA) y otros organismos estatales y federales incautaron grandes cantidades de cocaína y más de $1 millón de dólares en efectivo.
Este caso es el producto de una investigación llevada a cabo por la Administración de Control de Drogas (DEA); el Servicio del Mariscal de los Estados Unidos, las Investigaciones para la Seguridad Nacional (HSI) de Inmigración y Aduanas de los Estados Unidos (ICE); el Departamento para la Seguridad Nacional; las Patrullas de Aduanas y Fronteras de los Estados Unidos; el Departamento del Sheriff del Condado de Sacramento; el Programa para las Áreas de Tráfico de Drogas de Alta Intensidad (HIDTA) del Valle Central; el Departamento de Policía de Sacramento; el Departamento de Justicia de California (Cal MMET); el Destacamento Especial Anti Narcóticos del Área Metropolitana del Condado de San Joaquín; el Departamento de Policía de Elk Grove; el Departamento del Sheriff del Condado de San Joaquín; el Departamento de Policía de Stockton; el Departamento del Sheriff del Condado de Los Ángeles; el Departamento de Policía de Galt; la Patrulla de Carreteras de California; la Patrulla de Carreteras del Estado de Nevada; la Patrulla de Carreteras de Minnesota; la Patrulla de Carreteras del Estado de Kansas; la Patrulla de Carreteras del Estado de Massachusetts y la Patrulla de Carreteras del Estado de Iowa. La Oficina de Asuntos Internacionales del Departamento de Justicia de los Estados Unidos ha prestado asistencia con la extradición. Los Procuradores Federales Auxiliares Michael M. Beckwith y Paul A. Hemesath están procesando el caso.
Si es encontrado culpable, Ríos-Madrid se enfrentaría a una pena máxima establecida por la ley de 10 años a cadena perpetua en prisión, una multa de $10 millones de dólares y de cinco años a cadena perpetua de libertad supervisada. Si es encontrado culpable de la utilización de un teléfono celular para facilitar una infracción de tráfico de drogas, Ríos-Madrid podría enfrentarse a una pena máxima establecida por la ley de cuatro años en prisión y una multa de $250.000 dólares por cada cargo. Cualquier sentencia, no obstante, sería determinada a discreción del tribunal después de la consideración de cualquier factor aplicable establecido por la ley y las Normas para Sentenciar Federales, que toman en cuenta un número de variables. Los cargos son sólo alegaciones; el demandado es presuntamente inocente hasta y a menos que sea comprobado culpable sin duda razonable.
U.S. Attorney Statement: Reentry Week -- Beyond the Prison GatesRead the Press Release
By Tom Beall, Acting U.S. Attorney for the District of Kansas
Each year, more than 600,000 individuals return to our neighborhoods after serving time in federal and state prisons, and another 11.4 million people cycle through local jails. Nearly a quarter of Americans have had some sort of encounter with the criminal justice system – mostly for relatively minor, non-violent offenses.
In law enforcement, we have a duty to make our criminal justice system fairer, more efficient, and more effective at reducing recidivism and helping formerly incarcerated individuals contribute to their community. That is why I am joining U.S. Attorney General Loretta Lynch in inviting Kansans to observe National Reentry Week during April 24 through April 30.
The U.S. Probation and Pretrial Services offices in Kansas work to assist people who have struggled with the laws and legal system. Any person convicted of a felony understands that nearly every aspect of life will be more difficult than before. Probation officers work with people on probation or supervised release, offering substance abuse treatment, mental health treatment, assistance finding housing or employment or both, educational opportunities or other life-changing programs. For anyone willing to make the effort, probation officers and staff are ready and willing to help. Likewise the federal Bureau of Prisons in Kansas works to provide drug treatment, vocational training and other programs aimed at reducing recidivism.
At the Department of Justice, supporting successful reentry is an essential part of our mission to promote public safety. By helping individuals return to productive, law-abiding lives, we can reduce crime across the country and make our neighborhoods better places to live. I am proud of the strides we have made and I will continue to support and advance reentry programs that promote opportunity and give formerly incarcerated individuals a better chance to rejoin our communities.
Tom Beall is the Acting United States Attorney for the District of Kansas.