Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Friday 12 February 2016
U.S. Attorney Alicia Limtiaco Guest Speaker at PATA MeetingRead the Press Release
ALICIA A.G. LIMTIACO, United States Attorney for the Districts of Guam and the Northern Mariana Islands (NMI), was invited to be the guest speaker at the Pacific Asia Travel Association (PATA) meeting, which was held on December 2, 2015, at the office of the Guam Visitors Bureau. U.S. Attorney Limtiaco presented information to the PATA membership about our Pacific Regional Response to Combat Human Trafficking Initiative, how human trafficking relates to the visitor and tourism industry, and what the tourism industry can do to prevent human trafficking and identify and support victims of trafficking.
The Pacific Regional Response to Combat Human Trafficking Initiative (the “Initiative”), which is a collaborative effort of the U.S. Attorney’s Office for the Districts of Guam and the NMI; the U.S. Department of State, Office to Monitor and Combat Trafficking in Persons; the U.S. Department of Labor; the U.S. Department of Interior, Office of Insular Affairs; the Guam HTTF; the NMI HTIC; and other community partners. U.S. Attorney Limtiaco also elaborated on the intersection and relationship between human trafficking, sexual assault, child abuse and domestic and family violence, and prevention and enforcement efforts in the Pacific region.
The Initiative employs a multidisciplinary model, including participation, coordination, and collaboration among law enforcement, prosecution, victim service providers, social services, medical, mental and public health professionals, faith based organizations, educational institutions, Consulates, and other community stakeholders. The Initiative calls for the establishment and provision of victim services, investigation and prosecution of human trafficking, training opportunities, community outreach/ public awareness and prevention programs, and creation of human trafficking task forces and coalitions in the Pacific region island communities. The Initiative also provides fundamental training in human trafficking, including victimization, investigation and prosecution, prevention efforts, and other related topics to law enforcement, prosecution, victim service providers, social services, medical, mental and public health professionals, faith based organizations, educational institutions, Consulates, and other community stakeholders in our Pacific region island communities, which is critical to effective prevention and enforcement efforts in the region.
As taken from their website, PATA was founded in 1951, and “is a not-for profit association that is internationally acclaimed for acting as a catalyst for the responsible development of travel and tourism to, from and within the Asia Pacific region. Its member organizations comprise of 88 government, state and city tourism bodies, nearly 22 international airlines, airports and cruise lines, 62 educational institutions, and hundreds of travel industry companies in Asia Pacific and beyond. Thousands of travel professionals belong to 43 active PATA chapters worldwide.”
Monty McDowell, Member, PATA Board of Directors/Assistant Secretary Education Committee Co-Chair, U.S. Attorney Alicia Limtiaco and Pilar Laguana, President of PATATwo More Defendants Charged in Interstate Armed Jewelry Robbery CaseRead the Press Release
PANAMA CITY, FLORIDA – Larry Bernard Gilmore, 43, and Michael Bernard Gilmore, 46, both of Atlanta, GA, were charged by criminal complaint on Thursday with conspiracy to interfere with commerce by threats or violence. The criminal complaint was announced by Christopher P. Canova, Acting United States Attorney for the Northern District of Florida.
The charging documents allege that the Gilmores conspired with Abigail Lee Kemp, 24, of Smyrna, GA, and Lewis Jones III, 35, of Atlanta, GA, to commit armed robberies of six jewelry stores in Panama City Beach, Florida; Woodstock and Dawsonville, Georgia; Bluffton, South Carolina; Sevierville, Tennessee; and Mebane, North Carolina. It is further alleged that, in each robbery, the robber brandished a firearm and ordered the employees to the back of the store where they were forced to lie face down on the ground with their hands zip tied behind their backs. Hundreds of thousands of dollars-worth of jewelry was then removed from the jewelry display cases.
The punishment for the alleged crime is a maximum of 20 years in prison. The initial appearance is expected to take place at 3:30 p.m. today in Judge Vineyard’s courtroom in the Northern District of Georgia in Atlanta. Future court appearances will take place in the U.S. District Court in Panama City, Florida, in the Northern District of Florida, on a date to be determined.
This case resulted from an investigation by the Federal Bureau of Investigation. Assistant United States Attorney Kathryn D. Risinger is prosecuting the case.
A criminal complaint is merely an allegation that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Two Judges, Three Trials, Four GuiltyRead the Press Release
LAREDO, Texas – After a busy week in Laredo federal court, a total of four people residing in varying Texas communities have been found guilty as charged, announced U.S. Attorney Kenneth Magidson. A mother and daughter and another man were convicted in cocaine conspiracies before U.S. District Judge Marina Garcia Marmolejo, while a truck driver was convicted of alien smuggling before U.S. District Judge Diana Saldana.
Feather J. Saldana, 65, and her daughter Shawna P. Johnson, 41, both of Gatesville, were convicted late yesterday after a day and a half trial. According to witnesses, the women drove to a Laredo port of entry on Dec. 5, 2014, in Johnson’s vehicle which was loaded with 38 kilograms of cocaine in the gas tank and center console areas. Saldana and Johnson initially denied any involvement in the importation of cocaine, continued to do so at trial and further denied any involvement in a known drug smuggling organization. However, several witnesses testified otherwise, claiming that Johnson had made several successful narcotics crossings in the past and that Saldana was being trained for an upcoming solo crossing.
The jury deliberated for approximately an hour before finding the mother and daughter guilty of conspiring to import and importing cocaine as charged.
In a separate trial that commenced immediately prior, a jury also found Enrique Fernando Salazar-Valencia, 51, guilty of conspiring to import cocaine. During that two-day trial, the jury heard that
a commercial bus registered to Salazar-Valencia, of Austin, attempted to enter a Laredo port of entry on Sept. 7, 2015. The bus was found to contain 51 kilograms of cocaine in a hidden compartment at the back of the bus. Salazar-Valencia also denied any involvement in the importation of cocaine. However, witnesses at trial testified that he was in fact a recruiter for a drug smuggling organization and was also responsible for the organization’s use of commercial buses in narcotics smuggling.
The jury deliberated for two hours before convicting him.
All of these defendants face a face a mandatory minimum of 10 years and up to life in prison. They all have been and will remain in custody pending their sentencing hearings.
Both cases were the result of the investigative efforts of Homeland Security Investigations with the assistance of Customs and Border Protection. Assistant U.S. Attorney (AUSA) Christopher A. dos Santos and Special AUSA Lisa Ezra prosecuted both of these cases.
In another Laredo courtroom, a federal jury convicted Jorge Miguel Pedro-Fernandez, 26, of Houston, on three counts related to alien smuggling. Pedro-Fernandez attempted to smuggle aliens concealed in his tractor past the U.S. Border Patrol checkpoint on Interstate 35 on Nov. 24, 2015. At that time, a Border Patrol canine alerted to the defendant’s tractor. A subsequent search uncovered six undocumented aliens hiding in the cab of the tractor. The jury heard that Pedro-Fernandez had initially given a statement admitting he had agreed to smuggle the aliens past the checkpoint.
At trial, the jury also heard from two of the illegal aliens that Pedro-Fernandez attempted to drive them past the checkpoint. One them also noted that the defendant had told him where to hide.
However, Pedro-Fernandez testified and claimed the aliens had snuck on his tractor without his knowledge. He also denied ever confessing that he knowingly transported aliens. Upon cross-examination, the government demonstrated numerous inconsistencies in the defendant’s story.
After approximately two hours of deliberation, the jury convicted Pedro-Fernandez of conspiracy to smuggle aliens and two counts of smuggling aliens.
U.S. District Judge Diana Saldana will set sentencing at a later date, at which time the defendant faces up to 10 years in prison and a $250,000 fine. He was taken into custody immediately after the verdict where he will remain pending that hearing.
Homeland Security Investigations also investigated this case along with Border Patrol. Assistant U.S. Attorneys Alfredo De La Rosa and Jorge Vela are prosecuting.
Two Columbia Men Sentenced for Distributing Crack CocaineRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that two Columbia, Mo., men were sentenced in federal court today in separate and unrelated cases related to distributing crack cocaine.
USA v. Jennings
Robert Jennings, 52, of Columbia, was sentenced by U.S. District Judge Stephen R. Bough to five years in federal prison without parole. The court also ordered Jennings to forfeit $4,626 to the government, which was the proceeds of illegal drug trafficking.
On Oct. 20, 2015, Jennings pleaded guilty to participating in a conspiracy to distribute crack cocaine and to being a felon in possession of a firearm. His co-defendant, Brittany Michelle Doxley, 29, of Columbia, also has pleaded guilty to her role in the drug-trafficking conspiracy and was sentenced on Aug. 12, 2015, to five years in federal prison without parole.
Jennings admitted that he conspired with Doxley to distribute crack cocaine from their shared residence from March 21 to July 11, 2013. Jennings, while on probation for an earlier state drug-trafficking conviction, was involved in several drug transactions with a law enforcement informant. The informant told investigators that Jennings was distributing approximately 2.5 ounces of crack cocaine every couple of days. In violation of his parole, Jennings repeatedly traveled to New Orleans to acquire some of the crack cocaine involved in this case.
On July 11, 2013, law enforcement officers executed a search warrant at the residence shared by Jennings and Doxley. Officers seized 83.23 grams of crack cocaine, $4,616 and a Kel-Tec 9mm semi-automatic pistol that belonged to Jennings.
Under federal law, it is illegal for anyone who has been convicted of a felony to possess a firearm or ammunition. Jennings has a prior felony conviction for drug trafficking.
This case was prosecuted by Assistant U.S. Attorney Anthony P. Gonzalez. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Columbia, Mo., Police Department and the Boone County, Mo., Sheriff’s Department.
USA v. Carter
Branon Jay Carter, also known as “Ball,” 31, of Columbia, was sentenced by U.S. District Judge Stephen R. Bough to five years in federal prison without parole.
On Sept. 8, 2015, Carter pleaded guilty to participating in a conspiracy to distribute crack cocaine.
From February through April 2012, Carter sold cocaine and crack cocaine to a Missouri State Highway Patrol trooper, working as an undercover officer and utilizing the assistance of a confidential informant, on several occasions. On April 16, 2012, for example, Carter sold the undercover officer 28.5 grams of crack cocaine for $1,250. Four buys of crack cocaine were made, which totaled 32.85 grams. Four purchases of cocaine powder were also made, which totaled 32.94 grams.
This case was prosecuted by Assistant U.S. Attorney Jim Lynn. It was investigated by the Drug Enforcement Administration, the Columbia, Mo., Police Department and the Missouri State Highway Patrol.
Three Individuals, Including Madison Business Owner, Plead Guilty to Participating in Stolen Property RingRead the Press Release
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced that three individuals pled guilty this morning in Federal Court in Southern Illinois to charges arising from their participation in a large stolen property ring. The individuals who pled guilty this morning are James D. Litchfield, 58, owner of Big Jim’s Autorama in Madison, IL, his brother, Ryan P. Litchfield, 37, of O’Fallon, MO, and Benedict G. Pellerito, 55, of Troy, MO.
Evidence revealed in Court showed that the leader of this stolen property fraud ring, Jason J. Parmeley, 42, formerly of O’Fallon, MO, conducted the scheme from Mexico. According to the indictment, Parmeley used the internet to obtain credit account numbers that individuals and businesses had with retail stores, such as Home Depot, Lowe’s, Menard’s, and rental stores, such as SunBelt Rentals. Using this information, Parmeley placed orders with the stores in the names of, and under the credit accounts, of the individuals and businesses. The items Parmeley ordered frequently consisted of appliances, expensive tools, and construction equipment. The indictment charges that, after he placed the orders, Parmeley dispatched drivers to go to the stores and pick up the items. According to the indictment, the items were then sold at prices substantially below retail. The profits were then wire transferred to Parmeley in Mexico.
During the plea hearing today, James D. Litchfield admitted that he received numerous truckloads of items which he knew had been obtained by fraud. This fraudulently obtained property included construction equipment, such as Skid Steer Loaders, appliances, such as washing machines, dryers, and refrigerators, as well as assorted other merchandise, including paint, flooring, and siding. These items were delivered to Big Jim’s Autorama in Madison, IL. James Litchfield admitted that he kept some of these items for his own personal use, but sold other items at prices far below their retail value. James Litchfield also admitted that he provided two trucks that were used by the co-conspirators to pick up fraudulently ordered items. Finally, James Litchfield admitted that he engaged in money laundering by wire transferring payments for the merchandise to Parmeley in Mexico under fake names.
During his plea hearing, Ryan P. Litchfield admitted that he received approximately 20 to 25 truckloads of property and merchandise that had been obtained by fraud. Ryan Litchfield sold the majority of that merchandise to his friends and business associates. On occasion, Ryan Litchfield sold the items by placing advertisements on websites such as Craig’s List. Ryan Litchfield sold these items for substantially less than their retail value. He also admitted that he occasionally allowed Parmeley to store items that had been obtained by fraud at his house and that he rented storage lockers that were used to store property obtained by fraud.
Benedict G. Pellerito admitted that he worked as a driver for the conspiracy on at least 12 occasions. Pellerito acknowledged that he picked up fraudulently ordered merchandise at various retail stores in Illinois, Missouri, and Kansas, and then delivered those items to Parmeley’s customers. Pellerito also admitted that he engaged in money laundering by wire transferring money to Parmeley in Mexico under fake names.
In late August of this year, Mexican Immigration Authorities deported Parmeley from Mexico. Parmeley is currently in federal custody in Alabama on an unrelated bank fraud charge. It is expected that he will be transferred to the Southern District of Illinois in the near future to stand trial on the charges in this indictment. As to Parmeley, please remember that he is presumed innocent until proven guilty beyond a reasonable doubt.
The sentencing hearings for James Litchfield and Ryan Litchfield will be conducted on June 7, 2016 at 10:30 a.m. and 1:30 p.m., respectively; the sentencing hearing for Benedict Pellerito will be conducted on June 14, 2016, at 9:30 a.m. at the Federal Courthouse in Benton, IL. The trial of the remaining defendants is scheduled for April 18, 2016.
The charges contained in the indictment include conspiracy to commit wire fraud, conspiracy to transport property obtained by fraud in interstate commerce, wire fraud, interstate transportation of property obtained by fraud, possession of property obtained by fraud, money laundering, and aggravated identity theft. The indictment also seeks forfeiture of the proceeds of the fraud scheme.
The investigation is being conducted by agents from the St. Louis Division of the Federal Bureau of Investigation ("FBI"). The FBI has received substantial assistance from many state and local police departments in numerous jurisdictions, including the Metro East Auto Theft Task Force. The case is being prosecuted by Assistant United States Attorneys Scott A. Verseman and Jonathan Drucker.
Tampa Man Pleads Guilty to Credit Card FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. -- U.S. Attorney William J. Hochul Jr. announced today that Jose Valdivia Quinones, 41, a Cuban National of Tampa, Florida, who was convicted of bank fraud, was sentenced to 10 months in prison by U.S. District Judge Richard J. Arcara. The defendant was also ordered to pay $1,642.51 in restitution.Assistant U.S. Attorney Russell T. Ippolito, Jr., who handled the case, stated that Quinones fraudulently obtained the credit/debit card numbers of actual people and then encoded counterfeit cards with the information illegally obtained. The defendant then used the counterfeit cards to purchase merchandise at Tops Markets stores in the Towns of Hamburg and East Aurora.
Quinones was arrested along with five other defendants, Eduardo Quinones Hernandez, Yasser Carrillo Chartrand, Yaily Santurio Milian, Claudia Diaz Diaz, and Misael Toledo Rios. Hernandez, Milian, Diaz and Rios have all been convicted; charges are still pending against Chartrand. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The sentencing is the culmination of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero, the U.S. Secret Service, under the direction of C. Todd Laster, and the New York State Police, under the direction of Major Steven Nigrelli.
Tallahassee Man Sentenced to Ten Years in Prison for Firearm PossessionRead the Press Release
TALLAHASSEE, FLORIDA – Isaac Dillard Wilson, 35, of Tallahassee, was sentenced to 120 months in federal prison today for possession of a firearm by a convicted felon. The sentence was structured so that 84 months (seven years) would run consecutively to state prison sentences, which Wilson is already serving, and the remainder would run concurrently with the state sentences. Wilson pled guilty to this charge last November, reserving the right to appeal the denial of his motion to suppress evidence, according to Christopher P. Canova, Acting United States Attorney for the Northern District of Florida.
Court records showed that the Tallahassee Police Department (TPD) stopped Wilson for speeding at about 10:30 p.m. on July 19, 2013. After a police canine alerted to the presence of odors associated with narcotics, Wilson’s rental vehicle was searched. TPD recovered a stolen and loaded 9 millimeter pistol from the front console, and a loaded SKS assault rifle, from the trunk. A small amount of marijuana and Wilson’s personal items were found in the vehicle as well. Wilson had paid $850 cash to rent the vehicle twelve hours earlier. He was the sole occupant of the vehicle.
At the time of arrest, Wilson was on probation from a 2008 conviction for fleeing or attempting to elude. That probation was revoked and a fifteen-year state prison sentence was imposed in January 2014. In July 2015, Wilson was convicted of attempted felony murder, based upon a shooting during a 2008 robbery, and received a life sentence. The federal sentence runs partially consecutive to these sentences.
Acting United States Attorney Canova praised the work of the Tallahassee Police Department, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the State Attorney’s Office for the Second Judicial Circuit, whose joint investigation led to the convictions in this case. This case was prosecuted by Assistant United States Attorney Michael T. Simpson.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]St. Thomas Man Pleads Guilty to Bribing Public OfficialRead the Press Release
St. Thomas, USVI –On Friday, February 12, 2016, Miguel Rodriguez Ramirez, 45, pleaded guilty in District Court to bribery of a public official, United States Attorney Ronald W. Sharpe announced.
According to the plea agreement filed with the court, between July 2015 and December 2015, Ramirez bribed an undercover public official by paying the undercover public official to smuggle illegal aliens into the United States. Ramirez paid the undercover public official a total of $12,080 to shepherd the illegal aliens through customs at the Cyril E. King Airport. District Judge Curtis V. Gomez continued Ramirez’s status in official detention. A sentencing date has been set for June 16, 2016.
Ramirez faces a maximum of 15 years in prison and a $250,000 fine.
The case is the result of investigative work by Customs and Border Protection Office of Internal Affairs, the U.S. Immigration and Customs Enforcement Office of Professional Responsibility and Immigration and Customs Enforcement’s Homeland Security Investigations. The case is being prosecuted by Assistant U.S. Attorney Sigrid Tejo-Sprotte.
St. Croix Man Sentenced for Murder and Related Firearm OffensesRead the Press Release
St. Croix, USVI – Chief District Court Judge Wilma A. Lewis on February 11, 2016, sentenced Craig Muller, 31, to 5 years in federal prison for a possession of a firearm in a school zone, United States Attorney Ronald W. Sharpe announced. Additionally, the court imposed a sentence of life in prison without parole for first degree murder and 20 years in prison on a local firearms offense to be served after the federal sentences. Chief Judge Lewis also sentenced Muller to a 1-year term of supervised release, pay a fine of $25,000, pay $6,360 in restitution, and pay a special assessment of $25.
After a two-week trial, on March 24, 2015, a federal jury on St. Croix convicted Muller and co-defendant, Elvin Wrensford. Evidence presented at trial established that during the afternoon on May 10, 2012, the defendants argued with a male individual at Ben’s Car Wash in Estate Princesse. The defendants left and later returned to the car wash in a red truck. A second male, Gilbert Hendricks, Jr., walked out of the car wash, observed the defendants in the truck and began running. The defendants chased Hendricks while in the truck and Wrensford began firing at him as Muller drove. Hendricks fell to the ground and Wrensford continued to shoot at him. Hendricks died as a result of the gunshot wounds. On May 16, 2012, law enforcement stopped Muller at the San Juan International Airport in Puerto Rico on his way to New York. He voluntarily returned to St. Croix and was arrested. Through eyewitness testimony, the government established that Muller was the driver of the red truck.
This case was investigated by the Virgin Islands Police Department. It was prosecuted by Assistant United States Attorneys Alphonso Andrews, Jr., and Rhonda Williams-Henry.
St. Croix Man Sentenced for Possession of Prison ContrabandRead the Press Release
St. Croix, USVI – Senior District Court Judge Raymond L. Finch on February 11, 2016, sentenced Delroy Woods, 25, of St. Croix, to 21 months of imprisonment for possession of prison contraband, United States Attorney Ronald W. Sharpe announced. Judge Finch also ordered Woods to serve two years of supervised release, pay a $250 fine and pay a $100 mandatory assessment.
On October 9, 2015, Woods pleaded guilty to one count of possession of prison contraband. As part of his plea, Woods admitted that on May 7, 2013, while he was an inmate at the Golden Grove Adult Correctional Facility, he possessed a shank or homemade knife which was hidden in the head of his mattress inside his cell.
The case was investigated by the Virgin Islands Bureau of Corrections and the U.S. Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney Rami S.Badawy.
South Dallas DTO Member Sentenced to 30 Years in Federal Prison on Drug Distribution Conspiracy and Kidnapping ConvictionsRead the Press Release
DALLAS — Patrick D. Lenard, 34, of Pleasant Grove, South Dallas, was sentenced this afternoon by U.S. District Judge Jane J. Boyle to 30 years in federal prison following his guilty plea last year to one count of conspiracy to possess with intent to distribute cocaine, heroin and marijuana and one count of kidnapping, announced U.S. Attorney John Parker of the Northern District of Texas.
A federal grand jury indicted Lenard and ten others in November 2014 on various conspiracy, drug trafficking, kidnapping, firearm, witness intimidation/tampering, and records destruction charges stemming from their involvement in a violent drug trafficking organization (DTO) that operated out of both the Pleasant Grove area of South Dallas and the Dallas County Jail. All eleven defendants have been convicted, and all but two have been sentenced.
In November 2015, co-defendant Selena Ball, 30, of Desoto, Texas, was sentenced to 97 months in federal prison following her guilty plea to one count of conspiracy to possess with the intent to distribute cocaine. She worked for the Dallas County Probation Department, and part of her job involved monitoring inmates, including Lenard, with whom she had a romantic relationship despite her position and the clear conflict the relationship created. Because of that relationship, Ball changed or purposefully failed to report violations of Lenard’s conditions of release.
At various times between November 2012 and November 2014, Lenard conducted and managed drug-trafficking activities from his Dallas County Jail cell. He used jail phones to call co-conspirators and on several of those phone calls, Lenard instructed another co-conspirator to conference in a third co-conspirator so that Lenard could give instructions or obtain information from that individual related to Lenard’s drug-trafficking activities. On one occasion, in August 2014, Lenard engaged in a phone conversation with Ball, another co-conspirator, and an unindicted co-conspirator, about illegal narcotics transactions, including one planned for that day, and money obtained from these transactions. These conversations included discussions regarding approximately $66,000 obtained from these transactions.
Lenard also admitted to his role in a brutal kidnapping in which Lenard and co-conspirators carjacked and kidnapped a victim in broad daylight at a gas station on Stemmons Freeway in Dallas. They ran over the victim twice, taking him by force and at gunpoint, carried him to another location where he was then beaten and tortured, as Lenard and his crew sought to locate drug money they believed the victim had stolen. Several surveillance cameras recorded the kidnapping.
The Texas Department of Public Safety (DPS), the Drug Enforcement Administration, the FBI and the Dallas Police Department led the investigation.
Deputy Criminal Chief Assistant U.S. Attorney Rick Calvert and Assistant U.S. Attorneys Errin Martin and P. J. Meitl prosecuted the case.
# # #
Sedalia Man Sentenced for Distributing MethRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Sedalia, Mo., man was sentenced in federal court today for distributing methamphetamine.
Arnulfo Alejandro Lopez, 36, of Sedalia, was sentenced by U.S. District Judge Stephen R. Bough to seven years in federal prison without parole.
On Oct. 6, 2015, Lopez pleaded guilty to distributing methamphetamine.
On Sept. 26, 2014, Lopez sold one ounce of methamphetamine for $1,200 to a confidential informant who was working with an undercover Missouri State Highway Patrol trooper. The informant told law enforcement officers that Lopez, who was on probation for a state drug trafficking conviction, was selling methamphetamine on a regular basis. The informant called Lopez and asked to purchase methamphetamine for a good friend. The informant and the undercover officer then met Lopez at a hotel parking lot in Sedalia for the transaction.
The confidential informant told officers that, during a three-month period earlier that year, s/he had purchased 1 to 2 ounces of methamphetamine two or three times a week from Lopez. The informant also told investigators that s/he had seen two firearms in Lopez’s possession.
Lopez had two addresses in Sedalia – one residence where he lived with his wife and children, and another residence where he stored drugs and a firearm. The informant told officers that s/he had purchased 3.5 grams of methamphetamine from Lopez a week prior, and at that time had seen bricks of marijuana in the stash house.
Lopez was indicted by a federal grand jury on June 10, 2015.
On June 11, 2015, officers saw Lopez leave his stash house and travel to a hotel. They arrested him at the hotel on a federal arrest warrant. Inside Lopez’s car, officers found a .22-caliber revolver, approximately 5.4 pounds of marijuana, and $4,459. Officers executed a search warrant at the stash house and found more drugs; specifically, six bags containing methamphetamine in various amounts (10.2 grams, 26 grams, .25 grams, .8 grams, 1.4 grams and 3.5 grams). They also recovered a bag containing 11.2 grams of cocaine, two digital scales, a .22-caliber Marlin rifle, ammunition and $720.
Based on the amount of drugs seized, and the informant’s statements regarding the amounts of methamphetamine s/he had purchased, Lopez is accountable for at least 24 ounces of methamphetamine. An additional 4.2 ounces of methamphetamine can be included by converting the amount of cash seized to methamphetamine, so Lopez is responsible for a total of 28.2 ounces of methamphetamine.
This case was prosecuted by Assistant U.S. Attorney Anthony P. Gonzalez. It was investigated by the Missouri State Highway Patrol and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Schuele Boys Gang Associate Pleads Guilty to Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. — U.S. Attorney William J. Hochul, Jr. announced today that Eric Sears, 48, of Buffalo, pleaded guilty to conspiracy to distribute cocaine before U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney George C. Burgasser, who is handling the case, stated that between June 2013 and July 2014, Sears conspired with other Schuele Boys associates and gang members including Michael Robertson to distribute cocaine in the City of Buffalo.
The Schuele Boys Gang, which operated in the Schuele Street area of the East Side of Buffalo, is believed to be responsible for multiple acts of violence and the distribution of illegal narcotics including cocaine, crack cocaine and marijuana.
Sears is one of 28 Schuele Boys Gang members, associates and other individuals arrested in this case. To date, 18 of the defendants have been convicted. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Today’s sentenced and plea are the culmination of an investigation on the part of the FBI's Safe Streets Task Force which includes representatives of the Amherst Police Department; the Buffalo Police Department; U.S. Border Patrol, the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Cheektowaga Police Department; the Erie County Sheriff’s Department; the Hamburg Police Department; the Lancaster Police Department; the Niagara Frontier Transportation Authority Police; the New York State Department of Correctional Services; the New York State Police; and U.S. Immigration and Customs Enforcement, Homeland Security Investigations. Additional assistance was provided by the Drug Enforcement Administration; U.S. Customs and Border Protection, the United States Marshal Service, the Lackawanna Police Department, and the Niagara County Sheriff’s Department.
Sears will be sentenced on May 18, 2016 at 10:00 a.m. before Judge Arcara.
Savannah-Chatham Reentry Council to Host Discussion withRead the Press Release
SAVANNAH, GA – The Savannah-Chatham Reentry Council, in collaboration with the Savannah Area Chamber of Commerce, Dismas Charities Inc. and the United States Attorney’s Office for the Southern District of Georgia are hosting a conference for local business leaders. The discussions will educate attendees on the incentives, strategies and solutions surrounding the employment of returning citizens (individuals recently released from incarceration). The conference will feature remarks from state, local and federal government officials, employers, and community leaders. A Q&A session will follow the presentations.
Event: Savannah-Chatham Reentry Council Conference
Date/Time: February 17, 2016
9 a.m. – 12:30 p.m.
Location: Savannah Civic Center
3rd Floor Ballroom
301 W. Oglethorpe Ave.
Savannah, GA 31401
Participants: Mayor Eddie DeLoach
District Attorney Meg Heap
U.S. Attorney Edward J. Tarver
Bill Hubbard, Savannah Area Chamber of Commerce President
Van Johnson, Alderman
Miscellaneous: Press should arrive by 8:30 a.m.
San Angelo Man Sentenced to 10 years in Federal Prison for Transporting Child PornographyRead the Press Release
LUBBOCK, Texas — Robert Mark Haugland, II, 25, of San Angelo, Texas, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 10 years in federal prison, following his guilty plea in October 2015 to one count of transportation of child pornography. Today’s announcement was made by U.S. Attorney John Parker of the Northern District of Texas.
Judge Cummings remanded Haugland into custody at the conclusion of the sentencing hearing. Haugland had been on bond since his initial appearance on the charges in August 2015.
According to documents filed in his case, in approximately 2014, Haugland began using Kik, a social networking application, to communicate with various persons about child pornography and to transport and receive images of child pornography.
One such transaction occurred on July 9, 2014, when Haugland used his cell phone and Kik to send an image of prepubescent child pornography to another person.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Tom Green County Sheriff’s Office investigated the case. Assistant U.S. Attorney Steven M. Sucsy was in charge of the prosecution.
# # #
Repeat Bank Robber Sentenced to Seven Years in PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz, sentenced Tony Linn Smith, age 56, of Silver Spring, Maryland, today to seven years in prison, followed by three years of supervised release, immediately after Smith entered his guilty plea to bank robbery. Judge Motz also entered a forfeiture order requiring Smith to pay a money judgment in the amount of $4,775.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Chief J. Thomas Manger of the Montgomery County Police Department; and Captain Paul “Joey” Kifer, Acting Chief of the Hagerstown Police Department.
According to his plea agreement, Smith committed three bank robberies between July 17 and July 25, 2015. In each robbery Smith entered the bank, presented the teller with a note demanding money and stating that he had a gun. Specifically, Smith robbed the M&T Bank on North Potomac Street in Hagerstown, Maryland on July 17th; the Sun Trust Bank located at 8700 Georgia Avenue in Silver Spring, Maryland on July 23rd; and the M&T Bank at 51 W. Edmonston Drive in Rockville, Maryland on July 25th. Smith stole a total of $5,100 from the three robberies.
In December 2001, Smith pleaded guilty to bank robbery and was sentenced to five years in prison, followed by three years of supervised release. After serving his prison term in federal custody, Smith served approximately eight years in state custody in connection with a Virginia bank robbery. Smith was released from state custody on June 30, 2014 and was required to be on federal supervised release until June 29, 2017. As a result, Smith was on supervised release at the time of the bank robberies described above.
United States Attorney Rod J. Rosenstein praised the FBI, Montgomery County Police Department, and Hagerstown Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Nicolas A. Mitchell, who prosecuted the case.
Philadelphia Attorney Indicted for Conspiring to Launder Drug Proceeds Involving a Major Drug Distribution OrganizationRead the Press Release
Greenbelt, Maryland – Philadelphia attorney James Michael Farrell, age 63, of Wenonah, New Jersey, had his initial appearance and arraignment today in U.S. District Court in Greenbelt, Maryland, on charges related to his activities on behalf of members of an extensive drug trafficking operation. Mr. Farrell pleaded not guilty to the charges and was released under the supervision of U.S. Pretrial Services. On October 26, 2015, a federal grand jury returned a sealed indictment charging Farrell with conspiracy, money laundering, tampering with an official proceeding, and witness tampering. The indictment was unsealed on January 28, 2016.
The initial appearance and indictment were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Chief J. Thomas Manger of the Montgomery County Police Department; Interim Chief Henry P. Stawinski of the Prince George’s County Police Department; Chief James W. Johnson of the Baltimore County Police Department; and Commissioner Kevin Davis of the Baltimore Police Department.
According to the 12-count indictment, Farrell was admitted to practice law in Pennsylvania and New Jersey, and maintained a law office in Philadelphia, Pennsylvania. Matthew Nicka, his wife Gretchen Peterson, David D’Amico, and others were part of an extensive drug trafficking operation which was discovered by the DEA when they executed a search warrant at a residence in the 3500 block of Hickory Avenue in Baltimore on March 18, 2009. The residence was a center of operation for the group. Agents seized more than 80 pounds of marijuana, $20,000 in cash, 31 cell phones, documents regarding a plane purchased for $450,000, and tally sheets showing over $14.5 million in marijuana sales, among other items.
The indictment alleges that beginning in 2009 and continuing through at least April 2013, Farrell conspired with Nicka, D’Amico, Peterson and others to conduct financial transactions using the proceeds of the Nicka Organization in order to conceal the source, location, ownership and control of the drug proceeds. Specifically, the indictment alleges that the drug conspirators would deliver funds, usually in the form of cash to Farrell. Farrell deposited some of the cash into his commercial bank accounts, recording the deposits as payments in the names of individuals who had not retained Farrell as their attorney. In addition, Farrell wrote checks and disbursed cash to pay for the legal representation of grand jury witnesses or individuals charged or under investigation in Maryland in connection with the activities of the Nicka Organization, including legal representation by two Baltimore area attorneys. According to the indictment, Farrell also used drug proceeds to obtain money orders and deposit them into the inmate accounts of incarcerated individuals with knowledge of the drug conspiracy. Farrell and his co-conspirators structured financial transactions to evade IRS filing requirements for transactions involving $10,000 or more in cash, thereby further concealing from the government large cash transactions by members of the Nicka Organization and it suppliers and customers.
The indictment further alleges that in February 2011, Farrell met with a drug dealer to discuss filing a claim with the DEA to seek the return of certain property DEA had seized from the drug dealer. Farrell allegedly advised that individual not to disclose to DEA who had given the drug dealer the property. On February 28, 2011, Farrell caused affidavits in support of the forfeiture of the property to be filed with DEA that contained the purported notarized signature of the drug dealer, when in fact the drug dealer had not appeared before the notary public.
On July 11, 2012, Farrell allegedly met with another drug dealer, knowing that person was represented by other counsel, and agreed to contact the Nicka Organization to obtain funds to assist with the drug dealer’s legal expenses. Farrell directed the drug dealer to meet with federal law enforcement officers and federal prosecutors, but to only tell them what they already knew, rather than sharing all the information the drug dealer knew about the drug and money laundering conspiracy charged in the Nicka indictment. On July 31, 2011, Farrell again met with the drug dealer and allegedly paid him $19,800 in cash.
If convicted, Farrell faces a maximum sentence of 20 years in prison for conspiracy to engage in money laundering and each of six counts of money laundering; a maximum of 20 years in prison for each of three counts of tampering with an official proceeding; and a maximum of 20 years in prison for each of two counts of tampering with a witness.
David D’Amico, age 49, of Baltimore, Matthew Nicka, age 43, of Baltimore and his wife, Gretchen Peterson, age 34, of Kennett Square, Pennsylvania, pleaded guilty on January13, 2016, to conspiracy to distribute at least 1,000 kilograms of marijuana and conspiracy to commit money laundering. D’Amico, Nicka and Peterson had been fugitives since the indictment was returned in December 2010. Nicka and Peterson were arrested in Canada in early August 2013, and D’Amico was extradited from Colombia, South America. U.S. District Judge Roger W. Titus has scheduled sentencing for D’Amico and Peterson on May 2, 2016, and for Nicka on May 9, 2016.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein praised the DEA, IRS-CI, and the Montgomery County, Prince George’s County, Baltimore County and Baltimore City Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Deborah A. Johnston, who is prosecuting this Organized Crime Drug Enforcement Task Force case.
Orathay Sims Sentenced to 210 Months for Methamphetamine DistributionRead the Press Release
SOUTH BEND – United States Attorney for the Northern District of Indiana, David Capp, announced that Orathay Sims, 31, of Logansport, Indiana was sentenced on February 11, 2016, before Judge Jon E. DeGuilio, for distribution of methamphetamine.
Sims was sentenced to 210 months imprisonment and 4 years of supervised release.
According to documents in the case, on June 2015 Sims entered a plea of guilty for distribution of methamphetamine weighing in excess of 50 grams in Cass County Indiana.
This case was prosecuted as a result of an investigation by the Drug Enforcement Administration. This case was prosecuted by Assistant United States Attorney Frank E. Schaffer.
# # #
Oneida County Woman Charged with Federal Disability FraudRead the Press Release
SYRACUSE, NEW YORK – Lynn M. Allen, 47, of Marcy, New York, appeared today in federal court in Syracuse on charges stemming from a scheme to defraud the United States Postal Service and the U.S. Department of Labor of more than $94,000 in federal disability compensation payments, announced United States Attorney Richard S. Hartunian and Eileen Neff, Special Agent in Charge, United States Postal Service Office of Inspector General (USPS OIG), Northeast Area Field Office.
Allen was arrested earlier today in Utica, New York, while at work at the New York State Workers’ Compensation Board. Following her court appearance before United States Magistrate Judge David E. Peebles, she was released pending trial.
The five-count indictment charges Allen with wire fraud, theft of government money, federal employees’ compensation fraud and includes a forfeiture allegation seeking a money judgment in the amount of $94,253.95. The indictment alleges that Allen received federal disability benefits after claiming that she injured her shoulder, back, and neck while working for the Postal Service. According to the indictment, Allen supported her disability claim by reporting that her injuries prevented her from grasping objects or reaching above the shoulder and that she could not engage in any repetitive reaching, bending, stooping, or movements of the wrists and elbows. The indictment further alleges that Allen continued to certify that she was disabled and unable to work for the Postal Service while playing in several recreational softball leagues in Rome, New York, and that in one instance, she played in a competitive softball game hours after claiming that she could not reach above her shoulder at all. If convicted, Allen faces up to 20 years in prison and a maximum fine of $250,000. Sentences are imposed by a judge based upon the particular statute the defendant is charged with violating, the United States Sentencing Guidelines and other factors.
The charges in the indictment are merely accusations. The defendant is presumed innocent until proven guilty. This case is being investigated by USPS OIG and is being prosecuted by Assistant U.S. Attorney Michael F. Perry.
Omaha Man Sentenced to 5 Years in Prison for Receiving Child PornographyRead the Press Release
Jason M. Wilds, 34, was sentenced in federal court in Omaha, Nebraska, for receiving child pornography. The Honorable Joseph F. Bataillon, Senior United States District Court Judge sentenced Wilds to a five year term of imprisonment. There is no parole in the federal prison system. After his release from prison, Wilds will begin a 10 year term of supervised release and will be required to register as a sex offender. Wilds was also ordered to pay restitution totaling $10,000 to four victims whose images were among those in Wilds’ collection.
Investigators with the FBI Cyber Crimes Task Force were conducting undercover investigations looking for individuals sharing child pornography. Three videos of child pornography, each involving children as young as 3 and no older than 8 involved in sexual acts with adults, were found to be available for sharing on Wilds’ computer.
On March 20, 2013, a federal search warrant was executed at Wilds’ apartment. A video of child pornography was found on his cell phone. A search of his computer revealed more than 300 images of child pornography and four videos that had recently been deleted.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Novi Restaurant Owner Arrested for Harboring Undocumented Immigrants following Deaths of WorkersRead the Press Release
The owner of a Novi, Michigan, restaurant was taken into custody after a criminal complaint was filed in federal court charging him with harboring undocumented immigrants, announced United States Attorney Barbara L. McQuade.
McQuade was joined in the announcement by Special Agent in Charge Marlon Miller, U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) and Chief David Molloy, Novi Police Department.
Roger Tam, 55, and his wife, Ada Lei, 48, of Novi were charged in the complaint.
The arrest is the latest development in an ongoing probe by the Novi Police Department and HSI with assistance from ICE’s Enforcement and Removal Operations (ERO), U.S. Customs and Border Protection’s Border Patrol and the Oakland County Sherriff’s Office.
An investigation was launched after HSI special agents and officers with the Novi Police executed federal and state search warrants at the Novi residence, where five Mexican nationals died as a result of a Jan. 31 fire. Department of Homeland Security databases revealed that all five men were illegally present in the United States and had entered in the last six months.
The criminal complaint alleges that Tam hired five Mexican nationals to work at Kim’s Garden in Novi. The Mexican nationals were provided housing in the Novi home owned by Tam and Lei, and were transported to and from the restaurant, as a condition of their employment. The criminal complaint further alleges Tam told a Novi detective at the scene of the fire that the deceased individuals were employees at Kim’s Garden whom he paid in cash and allowed to reside in the home’s basement, where smoke detectors had been disabled.
“I am proud of the efforts and professionalism of our investigative team who worked selflessly with our federal partners in bringing this case to fruition,” said David Molloy, City of Novi’s public safety director and chief of police. “What warranted this investigation was senseless on so many counts; from the tragic loss of five lives to the skirting of our nation’s immigration system. In all my years of law enforcement, I have never witnessed such blatant disregard for respect of human life. As the health, safety and welfare of Novi residents and businesses is our main concern, activities such as this will not be tolerated and will be prosecuted to the full extent the law.”
"My immediate sense is that this extremely tragic loss of life could have been avoided," said Marlon Miller, special agent in charge of HSI Detroit. "HSI is committed to aggressively investigating those who harbor undocumented immigrants and place personal profit ahead of public safety. HSI simply will not turn a blind eye to employers who shirk their responsibility to maintain a legal workforce."
“This case is a sobering reminder of the dangers employers create when they harbor undocumented immigrants,” McQuade said. “In order to obtain a competitive advantage by paying lower wages and evading taxes, some employers will subject undocumented workers to poor living conditions and even dangerous situations.”
According to the complaint, employment and financial records for Kim’s Garden revealed no indication that the five individuals were legally employed at the restaurant.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty.
If found guilty, Tam and Lei face up to 10 years in prison and a $250,000 fine.
New York Man Pleads Guilty to Pharmacy RobberyRead the Press Release
Contact: Michael J. Conley
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Scott McMahon, 32, of Orchard Park, New York, pled guilty today in U.S. District Court before Judge Jon D. Levy to pharmacy robbery.
According to court records and evidence introduced at the plea hearing, on September 10, 2014, McMahon entered the Rite Aid pharmacy located at 461 Main Street in Saco and approached the pharmacy counter. Upon arriving at the counter, McMahon told a Rite Aid pharmacy employee, “I’m watching you” and then handed the employee a note which read, “Give me oxycontin. If you don’t it will get ugly.” The employee then placed OxyContin pills into a plastic bag and handed the bag to McMahon, who fled the store.
McMahon faces up to 20 years in prison and a $250,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the Saco Police Department.
New Jersey Stock Promoter Identified in Undercover Operation Sentenced to PrisonRead the Press Release
BOSTON – A New Jersey stock promoter was sentenced today in U.S. District Court in Boston for his involvement in a scheme to artificially manipulate the stock price of Massachusetts-based company, Amogear Inc.
Michael Affa, 36, of Toms River, NJ, was sentenced by U.S. District Court Judge William G. Young to 33 months in prison and ordered to pay a fine of $1 million. In September 2015, Affa pleaded guilty to conspiracy, securities fraud, and wire fraud.
In 2013 and 2014, a federal undercover operation monitored in real-time, Affa’s participation in the scheme to manipulate the stock price of Amogear. In February 2014, the SEC suspended trading in the securities of Amogear as the attempted manipulation of its stock was underway. Prior to the suspension, Affa and his co-conspirators, who were all stock promoters, carried out a scheme to create a false appearance of an active market in the stock, including a false media campaign designed to increase the price of the stock, knowing that Amogear was a shell company without any real operations. Affa and his co-conspirators planned to sell the stock into the market at artificially inflated prices from which they would profit. What Affa did not know was that Amogear was controlled by the FBI and used to obtain evidence of their attempt to manipulate the market.
The case arises from a multi-year investigation focusing on preventing fraud in the microcap stock markets. Microcap companies are small, publicly-traded companies whose stock often trades at pennies per share. Fraud in the microcap stock markets is of increasing concern to regulators as such markets have proven to be fertile grounds for fraud and abuse. This is, in part, because accurate information about microcap stocks may be difficult for the average investor to find, since many microcap companies do not file financial reports with the SEC.
United States Attorney Carmen M. Ortiz and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case was prosecuted by Assistant U.S. Attorney Vassili Thomadakis of Ortiz’s Criminal Division and Special Assistant U.S. Attorneys Eric Forni and Andrew Palid of the Securities and Exchange Commission.
New Jersey Doctor, Two Companies Agree to Pay $5.25 Million for Allegedly Submitting Bogus Claims to Federal Health Care ProgramsRead the Press Release
NEWARK, N.J. – Dr. Labib E. Riachi, 47, of Westfield, New Jersey, and two companies that he owns and operates, Riachi, Inc. and Center for Advanced Pelvic Surgery, LLC, both based in Westfield, have agreed to pay $5.25 million to resolve allegations that they falsely billed federal health care programs for tests that were never provided, among other claims, U.S. Attorney Paul J. Fishman announced today.
The settlement resolves allegations that the defendants routinely billed Medicare and Medicaid for anorectal manometry, an invasive diagnostic test, and electromyography, another diagnostic test, even though most of the tests were never performed. In addition, the settlement resolves claims that the defendants submitted claims to Medicare for physical therapy services that should not have been paid because they were not performed by a qualified therapist.
The allegations resolved by today’s settlement were raised in a civil lawsuit that the government filed on Feb. 10, 2016, in Newark federal court charging the defendants with violating the False Claims Act, among other illegal conduct.
U.S. Attorney Fishman credited special agents of the U.S. Department of Health and Human Services, Office of the Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, and the FBI, under the direction of Acting Special Agent in Charge Andrew Campi in Newark, with the investigation leading to the settlement.
The government is represented by Assistant U.S. Attorneys Bernard J. Cooney and Lucy Muzzy of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark.
U.S. Attorney Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $645 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
The claims settled by this agreement are allegations only, and there has been no determination of liability. The case is captioned United States v. Riachi, et al. (D.N.J.).
Defense counsel: Bruce Levy Esq. and Larry Lustberg Esq., Newark
Matthew McCray Indicted for Possession and Production of Child PornographyRead the Press Release
SOUTH BEND – United States Attorney for the Northern District of Indiana, David Capp, announced that Matthew McCray, 36, of South Bend, Indiana was indicted on February 10, 2016 with 4 counts of producing and 1 count of possession of child pornography.
According to documents in the case, McCray is accused of using a minor, Jane Doe, to produce child pornography on four occasions from October 25, 2013 to January 28, 2016, and with possession of child pornography on January 28, 2016. McCray is currently being held without bond.
This case was prosecuted as a result of an investigation by the Federal Bureau of Investigation and St. Joseph County Sheriff’s Department. This case will be prosecuted by Assistant United States Attorney John Maciejczyk.
The United States Attorney's Office emphasized that an Indictment is merely an allegation and that all persons charged are presumed innocent until and unless proven guilty in court.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
# # #
Maryland Man Sentenced to 28 Months in Prison for Traveling to Engage in Illicit Sexual Conduct with a MinorRead the Press Release
WASHINGTON – Ravi Singit, 41, of Rockville, Md., has been sentenced to 28 months in prison after earlier pleading guilty to a charge of traveling interstate to engage in illicit sexual conduct with a minor, announced U.S. Attorney Channing D. Phillips, Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office, and Cathy L. Lanier, Chief of the Metropolitan Police Department (MPD).
Singit pled guilty in November 2015 in the U.S. District Court for the District of Columbia. He was sentenced on Feb. 11, 2016, by the Honorable Senior Judge John D. Bates. Following his prison term, he will be placed on five years of supervised release. He also will be required to register as a sex offender for a minimum of 15 years upon his release from prison.
According to the government's evidence, on Aug. 26, 2015, Singit contacted an undercover officer with the FBI's Child Exploitation Task Force, who had posted an ad on a social network site. Over the next several days, Singit engaged in e-mail, phone, and text message conversations with the undercover officer, whom the defendant believed had access to a purported under-age girl. During this period of time, Singit arranged with the undercover officer to meet for the purpose of engaging in sexual acts with the child.
On Aug. 31, 2015, Singit traveled from Maryland to a pre-arranged meeting place in Washington, D.C. When he arrived at the meeting place, he was arrested.
This case was brought as part of the Department of Justice's Project Safe Childhood initiative and investigated by the FBI's Child Exploitation Task Force, which includes members of the FBI's Washington Field Office and MPD. In February 2006, the Attorney General created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov
In announcing the sentence, U.S. Attorney Phillips, Assistant Director in Charge Abbate, and Chief Lanier praised the work of the MPD Detectives and Special Agents of the FBI Child Exploitation Task Force. They also commended the efforts Assistant U.S. Attorney Cassidy Kesler Pinegar, who prosecuted the case.
Manhattan U.S. Attorney Files Civil Rights Suit and Enters Settlement with Developer to Enhance Accessibility at More Than 2,500 Rental ApartmentsRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that it has settled a federal civil rights lawsuit against GLENWOOD MANAGEMENT CORPORATION (“GLENWOOD”) and GLENWOOD’S affiliate, LIBERTY STREET REALTY, LLC, by consent decree. Under the settlement, GLENWOOD agrees to make retrofits at three residential rental complexes in Manhattan – Liberty Plaza, Hawthorne Park, and The Sage – to make them more accessible to individuals with disabilities. GLENWOOD further agrees to inspect six other residential rental complexes in Manhattan and, where necessary, make retrofits at those buildings as well. Additionally, GLENWOOD must establish procedures to ensure that its ongoing and future development projects will comply with the accessibility requirements of the federal Fair Housing Act (“FHA”). Finally, GLENWOOD agrees to provide up to $900,000 to compensate aggrieved persons and pay a civil penalty of $50,000. The consent decree was approved yesterday by U.S. District Judge J. Paul Oetken.
Manhattan U.S. Attorney Preet Bharara said: “This is the tenth lawsuit that this Office has brought to ensure that the promise of the Fair Housing Act – that newly built residential buildings are accessible to people with disabilities – is being fulfilled in New York City. This settlement shows our enforcement efforts have motivated major developers like Glenwood to embrace their obligations under the law by making retrofits in thousands of apartments, compensating aggrieved parties, and establishing procedures to ensure accessibility at ongoing and future development projects.”
The FHA’s accessible design and construction provisions require new multifamily housing complexes constructed after January 1993 to have basic features accessible to persons with disabilities. According to the allegations in the Complaint, Liberty Plaza, a 287-unit rental complex located in Manhattan, was designed and constructed with numerous inaccessible features, including excessively high thresholds interfering with accessible routes into and within individual units, insufficient spaces in bathrooms and kitchens for people in wheelchairs, and bathroom configurations preventing installation of grab bars. These inaccessible conditions at Liberty Plaza were first brought to the attention of the United States by testing performed by the Fair Housing Justice Center.
Under the settlement, GLENWOOD agrees to make extensive retrofits at Liberty Plaza and to commit to make retrofits at two other rental complexes that have been inspected, The Hawthorne and The Sage, to make them accessible. GLENWOOD also agrees to arrange for inspection at its six other rental complexes in Manhattan and, where necessary, to make retrofits at those properties as well. Together, the nine buildings covered by the consent decree contain more than 2,500 rental apartments.
The settlement also requires GLENWOOD to establish procedures to ensure FHA compliance at its ongoing and future development projects. These include retaining an FHA compliance consultant to ensure each residential building developed by GLENWOOD will, as constructed, comply with the FHA’s accessibility requirements. The FHA consultant also will conduct a site visit to identify non-compliant conditions and recommend appropriate solutions prior to the completion of construction. In addition, GLENWOOD agrees to institute policies and training to ensure that its own employees and agents will comply with the FHA’s accessibility requirements.
Finally, the settlement requires GLENWOOD to provide up to $900,000 in funds to compensate aggrieved persons. GLENWOOD also agrees to pay a civil penalty of $50,000.
The government’s lawsuit also asserted claims against the architect of Liberty Plaza, STEPHEN B. JACOBS GROUP, PC. The United States is currently engaged in negotiations with that architect regarding a potential settlement.
Aggrieved individuals may be entitled to monetary compensation from the fund created through today’s settlement. Aggrieved individuals may include those who were:
-
Injured by a lack of accessible features at Liberty Plaza or the other properties constructed by GLENWOOD;
-
Discouraged from living at Liberty Plaza or the other properties constructed by GLENWOOD because of the lack of accessible features;
-
Required to pay to have an apartment at Liberty Plaza or the other properties constructed by GLENWOOD made accessible;
-
Prevented from having visitors because of a lack of accessible features at Liberty Plaza or the other properties constructed by GLENWOOD; or
-
Otherwise injured or discriminated against on the basis of disability as a result of the design or construction of Liberty Plaza or the other properties constructed by GLENWOOD.
People who may be entitled to compensation should file a claim by contacting the Civil Rights Complaint Line at (212) 637-0840, using the Civil Rights Complaint Form available on the United States Attorney’s Office’s website http://www.justice.gov/usao/nys/civilrights.html, or by sending a written claim to:
U.S. Attorney’s Office, Southern District of New York
86 Chambers Street, 3rd Floor
New York, New York 10007
Attention: Chief, Civil Rights Unit
The case is being handled by the Office’s Civil Rights Unit. Assistant U.S. Attorneys Li Yu, Jessica Jean Hu, and Jacob Lillywhite are in charge of the case.
-
Law Enforcement Sensitive Training Conducted by IRS-Criminal Investigation in the Districts of Guam and the NMIRead the Press Release
Alicia A.G. Limtiaco, United States Attorney for the Districts of Guam and the Northern Mariana Islands (NMI), announced that the U.S. Attorney’s Office sponsored law enforcement sensitive training on Guam on February 3, 2016, and in Saipan, Northern Mariana Islands, on February 5, 2016. The presenters at the training were Teri Alexander, Special Agent in Charge, IRS-Criminal Investigation (IRS-CI); Jean Song, IRS Attorney; Ryan Thompson, Special Agent from the Seattle IRS Office; IRS-CI Special Agents Todd Peterson and Sith Khamvongsa from the Guam IRS Office; and Guam Department of Revenue and Taxation (DRT) Special Agents Carolyn Aguon Rivera and Jerome Aguon.
The law enforcement sensitive training topics included an Overview of IRS-CI; Money Laundering; Bank Secrecy Act; Financial Crimes (Ponzi Schemes, Bank Fraud, Investment Fraud); Mirror System of Taxation; Tax Crimes (Dual Filers, Identity Theft, Law Enforcement Assistance Program, Employment Tax, FBAR); and case studies. The Special Agents from DRT provided an overview of the DRT Criminal Investigation Branch (CIB), DRT and Identity Theft, and DRT and Dual Filer Issues.
The trainings in Guam and the NMI were attended by over 80 law enforcement officers. The IRS-CI trainers also presented at the U.S. District Conference held on February 4, 2016 in Guam, and the U.S. District Conference held on February 6, 2016 in Saipan, NMI.
Photos taken at both training events.
Participants at the law enforcement sensitive training in Guam IRS-CI Special Agent in Charge Teri Alexander, U.S. Attorney Alicia Limtiaco and Special Agent Carolyn Aguon from the Department of Revenue and Taxation in Guam at a media event in Guam Participants at the law enforcement sensitive training in Saipan, NMI Presenters from the IRS-CI pictured here with U.S. Attorney Alicia Limtiaco in the center Participants at the law enforcement sensitive training in Saipan, NMI U.S. Attorney Alicia Limtiaco and IRS-CI Special Agent in Charge Teri Alexander at a media event in Saipan, NMIKearney Credit Union Robbery Suspect SentencedRead the Press Release
United States Attorney Deborah R. Gilg announced the sentencing of one of the men responsible for the October 17, 2014, robbery of the Kearney Eaton Employees Credit Union. On Friday, February 12, 2016, Senior United States District Judge Richard G. Kopf sentenced Patrick Wigley to the custody of the Bureau of Prisons for 212 months (17.6 years) for his involvement in the robbery. On January 5, 2016, Judge Kopf sentenced a co-defendant, Thomas Dunlap, to the Bureau of Prisons for 136 months (11.3 years) for his involvement in the robbery. As part of the sentences, Dunlap and Wigley were also ordered to pay restitution of $122,891.15.
On October 17, 2014, Dunlap and Wigley, dressed in work clothes and wearing white hard hats, entered the Kearney Eaton Employees Credit Union. Dunlap brandished what employees believed to be a small caliber revolver, and Dunlap and Wigley jumped over the teller counter, gathered the credit union employees into an interior office, had them lay face down on the floor and bound their hands with zip ties. Dunlap and Wigley then emptied one teller’s drawer and took the money from the drawer, together with money from the vault, totaling $122,891.15 and left the premises.
A third co-defendant, Clifton Hudson, is awaiting trial.
This case was investigated by the Kearney Police Department, Buffalo County Sheriff’s Office, the Nebraska State Patrol and the Federal Bureau of Investigation.
Jury Convicts Former IRS Revenue Agent of Accepting BribeRead the Press Release
A former Internal Revenue Service Revenue Agent was convicted today in U.S. District Court in Seattle of two felony counts related to receipt of a bribe, announced U.S. Attorney Annette L. Hayes. PAUL G. HURLEY, 43, of Seattle, was convicted following a two day trial. The jury deliberated for three days in reaching its verdict. U.S. District Judge John C. Coughenour scheduled sentencing for May 13, 2016.
According to testimony at trial and records filed in the case, in the summer of 2015 HURLEY was randomly assigned to audit the corporate taxes of Have a Heart Compassion Care, Inc., a medical marijuana dispensary. In a meeting at one of the dispensary locations, HURLEY presented the owner of the dispensary with the findings of the audit. HURLEY indicated to the business owner that he had ‘saved the owner millions’ during the audit and that he lived paycheck to paycheck. HURLEY asked the business owner for $20,000. The business owner and his attorney reported the bribe request to the FBI. Working with law enforcement, the business owner met twice with HURLEY and in recorded conversations delivered cash in marked bills. Some of this cash was seized from HURLEY at the time of his arrest following the second meeting with the business owner.
At the trial, prosecutors noted that HURLEY had written on the audit paperwork that the business owner had no money to pay on his tax bill following the audit, even as HURLEY sought $20,000 to personally benefit from his work as a public employee. “This is a case about what he didn’t do,” prosecutors told the jury, noting that HURLEY had failed to fulfill his duties as a revenue agent during the audit.
HURLEY had been a revenue agent with the IRS since 2009. Receiving a Bribe by a Public Official is punishable by up to 15 years imprisonment and a $250,000 fine.
The case was investigated by the FBI and by the Treasury Inspector General for Tax Administration (“TIGTA”).
The case was prosecuted by Assistant United States Attorneys Justin W. Arnold and Francis Franze-Nakamura. Press contact for the U.S. Attorney’s Office is Public Affairs Officer Emily Langlie at (206) 553-4110 or [email protected].
Jefferson County Woman Pleads Guilty to $133,000 Theft at Fort DrumRead the Press Release
SYRACUSE, NEW YORK – Nancy E. Campany, 69, of Carthage, New York, pled guilty today in federal court in Syracuse to the theft of more than $133,000 related to contracts she held with the Army & Air Force Exchange Service ("AAFES"), announced United States Attorney Richard S. Hartunian and Craig W. Rupert, Special Agent in Charge, Defense Criminal Investigative Service ("DCIS"), Northeast Field Office, U.S. Department of Defense, Office of Inspector General.
Campany operated an alteration and dry cleaning business known as "Nancy’s Alteration" at Fort Drum, New York, between 2005 and 2011. Her contract with AAFES required payment to AAFES of approximately 23% of the gross sales and receipts generated by "Nancy’s Alteration." Over a nearly six-year period, Campany intentionally failed to record hundreds of thousands of dollars in sales by instructing her employees to process credit card transactions without ringing them through the cash register in order to conceal them from AAFES. Campany then created and submitted false and fraudulent reports to AAFES regarding her gross sales and gross receipts, thereby concealing what she owed under her contracts. In doing so, Campany defrauded AAFES out of $133,769.64 in fees. As part of her guilty plea, Campany agreed to make full restitution to AAFES.
Nancy E. Campany will be sentenced on June 17, 2016 in federal court in Syracuse by Chief District Judge Glenn T. Suddaby. She faces a maximum sentence of up to ten years in prison and a fine of up to $250,000. Sentences are imposed by a judge based upon the particular statute the defendant is charged with violating, the United States Sentencing Guidelines and other factors.
This case was investigated by DCIS, AAFES Loss Prevention, and the AAFES Business Law Division, Office of the General Counsel, and it is being prosecuted by Assistant U.S. Attorney Michael F. Perry.
Jacksonville Man Sentenced to 20 Years for Transporting and Possessing Child PornographyRead the Press Release
Tampa, Florida – U.S. District Judge Susan Bucklew has sentenced James Dale Little (43, Jacksonville) to 20 years in federal prison for transporting and possessing child pornography. The Court also ordered him to serve a life term of supervision and to register as a sex offender upon his release. A federal jury found him guilty on October 21, 2015.
According to evidence presented during the three-day trial, law enforcement officers identified Little while investigating another individual with whom Little had been trading child pornography via email. The agents discovered that Little had received and sent images of prepubescent minors engaging in sexually explicit conduct and materials portraying children engaged in sadistic conduct and violence.
Little had a prior conviction in 1996 for injury to a child in Galveston, Texas. Evidence at sentencing showed that this prior conviction involved Little’s molestation and sexual abuse of a 4-year-old child.
"Protecting our children from these heinous crimes is one of the top priorities of Homeland Security Investigations," said Susan L. McCormick, special agent in charge of HSI Tampa. “This sentencing is one more step in making our communities safer.”
The case was investigated by the U.S. Immigration and Customs Enforcement's Homeland Security Investigations. It was prosecuted by Assistant United States Attorneys Kelly S. Karase and Gregory Nolan.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Hot Springs Man Sentenced for Firearm OffenseRead the Press Release
United States Attorney Randolph J. Seiler announced that a Hot Springs, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on February 11, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Curtis Bennett, age 55, was sentenced to 1 day in custody, 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Bennett was charged on July 21, 2015, and pleaded guilty on October 16, 2015.
The conviction stems from Bennett, a previously convicted felon, knowingly and unlawfully being in possession of a Smith & Wesson, model 10, .38 caliber revolver.
This case was investigated by the Bureau of Alcohol, Tobacco, Explosives, and Firearms and the Rapid City Police Department. Assistant U.S. Attorney Ben Patterson prosecuted the case.
Hilo Man Convicted of Disobeying Park RangerRead the Press Release
HONOLULU – After a two-day bench trial in United States District Court, United States Magistrate Judge Richard L. Puglisi found Travis R. Sanders, age 36, of Hilo, guilty on February 10, 2016, of violating a lawful order of a United States Park Ranger and sentenced him to pay a $1,000 fine. The trial was held in Hilo, on the island of Hawaii.
Florence T. Nakakuni, Untied States Attorney for the District of Hawaii, said that Sanders was convicted of disobeying a lawful order of a government employee, a Class B misdemeanor, while Sanders was in Hawaii Volcanoes National Park on the island of Hawaii during the evening of April 25, 2015. According to the evidence presented at trial, Sanders was flying a drone over a crowd gathered to view the Halema’uma’u crater. It is unlawful to fly a drone in a national park. A United States Park Ranger identified himself as a law enforcement officer and ordered Sanders to bring down the drone. Sanders initially refused, then eventually landed the drone. After Sanders refused to identify himself upon request of the Ranger, the Ranger attempted to place Sanders in custody and Sanders fled. The Ranger ordered Sanders to stop, which Sanders refused to do. The Ranger then used his taser to apprehend Sanders and took him into custody.
Magistrate Judge Puglisi found that Sanders heard and understood the Ranger’s order to stop; that the order was lawful; and that Sanders willfully disobeyed the order. Magistrate Judge Puglisi further found that the Ranger’s conduct, including deploying the taser, was "entirely justified." Sanders was not convicted of two other counts related to disobeying the orders to land the drone and to identify himself because he eventually complied with those orders. In addition to having to pay the fine, Sanders is banned from the Park for one year.
The National Park Service conducted the investigation which resulted in the charges in the case. Assistant U.S. Attorney Marc Wallenstein handled the prosecution.
Hannahville Man, Errol Martin Sagataw, Sentenced for Assault of Girlfriend That Resulted in Serious Bodily InjuryRead the Press Release
MARQUETTE, MICHIGAN — Errol Martin Sagataw, 60, of Wilson, Michigan, was sentenced in U.S. District Court to 12 months’ and one day of imprisonment for assault resulting in serious bodily injury, U.S. Attorney Patrick A. Miles, Jr., announced today. In addition, Chief U.S. District Judge Robert J. Jonker sentenced Sagataw to serve 2 years of supervised release following the completion of his term of incarceration.
On February 16, 2015, Sagataw assaulted his girlfriend at his home on the Hannahville Indian reservation after the victim rebuffed his sexual advances. Sagataw repeatedly punched the victim which caused extensive bruising and a fractured nose. Sagataw was indicted by a federal grand jury and pled guilty on October 28, 2015, to assault resulting in serious bodily injury.
The Hannahville Indian Community Tribal Police and the Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Hannah N. Bobee prosecuted the case.
END
Georgia Residents Charged in Interstate Armed Jewelry Robbery CaseRead the Press Release
Larry Bernard Gilmore, 43, and Michael Bernard Gilmore, 46, both of Atlanta, Georgia, were charged by criminal complaint on Thursday with conspiracy to interfere with commerce by threats or violence. The criminal complaint was announced by Acting U.S. Attorney Christopher P. Canova for the Northern District of Florida.
The charging documents allege that Larry and Michael Gilmore conspired with Abigail Lee Kemp, 24, of Smyrna, Georgia, and Lewis Jones III, 35, of Atlanta, to commit armed robberies of six jewelry stores in Panama City Beach, Florida; Woodstock and Dawsonville, Georgia; Bluffton, South Carolina; Sevierville, Tennessee; and Mebane, North Carolina. It is further alleged that, in each robbery, the robber brandished a firearm and ordered the employees to the back of the store where they were forced to lie face down on the ground with their hands zip tied behind their backs. Hundreds of thousands of dollars-worth of jewelry was then removed from the jewelry display cases.
The punishment for the alleged crime is a maximum of 20 years in prison. The initial appearance is expected to take place today with the Honorable Russell G. Vineyard for the Northern District of Georgia in Atlanta. Future court appearances will take place in the U.S. District Court in Panama City, Florida, in the Northern District of Florida, on a date to be determined.
This case resulted from an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Kathryn D. Risinger is prosecuting the case.
A criminal complaint is merely an allegation that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The U.S. Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights and to protect the public funds and financial assets of the United States. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former Soldier Guilty of Illegal Export of Defense Article and Violating the Arms Export Control ActRead the Press Release
Sold and shipped defense articles including night vision goggles, scopes and tubes through eBay accounts to buyers in the United Kingdom, Poland, and Japan
LOUISVILLE, Ky. – A Former United States Army Soldier, who served in that capacity in Iraq and elsewhere, pleaded guilty today, in United States District Court, to violating the Arms Export Control Act (AECA) and to the Illegal Export of Defense Article, announced United States Attorney John E. Kuhn, Jr.
Defendant Hunter Perry, age 33, of Louisville, Kentucky participated in a conspiracy to sell and export defense articles on the United States Munitions List (USML) to individuals located outside the United States. Specifically, beginning no later than May 2008, and continuing through September 2012, in Jefferson County, Kentucky, in Texas, and elsewhere, Perry and others, falsified customs documents to export night vision goggles, scopes, and tubes, to individuals outside of the United States. Perry was charged by federal information on December 30, 2015.
Further, in order to accomplish the conspiracy, Perry falsified shipping documents to state that he was exporting equipment other than defense articles in order to escape detection of his shipments by the United States. Payments for the equipment were made through PayPal accounts associated with eBay and through bank wire transfers.
According to court records, Perry communicated with email and agreed to ship items and did ship items, without obtaining an export license issued by the Department of State, Directorate of Defense Trade Controls (DDTC), to persons at addresses in the United Kingdom, Poland, and Japan.
Perry further pleaded guilty to four counts of violating the Illegal Export of Defense Article. On April 6, 2011, in Jefferson County, Perry exported a defense article, a D-760 night vision scope, to the United Kingdom, which was a defense article on the USML, without having first obtained from the Department of State a license for such export or written authorization for such export. Perry violated the Illegal Export of Defense Article again on January 12, 2012, when he shipped, from Jefferson County, a defense article, a PAS-23 mini-thermal scope, and on February 28, 2012, exported from the Jefferson County, to the United Kingdom, a defense article, that is a PVS-15 night vision binocular, and again on August 1, 2012, Perry shipped, from Jefferson County, a defense article, a PAS-13 thermal scope to the United Kingdom.
Perry faced a combined sentence of no more than 83 years in prison, a term of supervised release and a fine of no more than $4,250,000.
Perry is scheduled for sentencing before Senior Judge Russell, in Louisville, on May 18, 2016.
This case is being prosecuted by Assistant United States Attorney Bryan Calhoun and was investigated by Federal Bureau of Investigation and the Defense Criminal Investigative Service.
Former Soldier Guilty of Illegal Export of Defense Article and Violating the Arms Export Control ActRead the Press Release
LOUISVILLE, Ky. – A Former United States Army Soldier, who served in that capacity in Iraq and elsewhere, pleaded guilty today, in United States District Court, to violating the Arms Export Control Act (AECA) and to the Illegal Export of Defense Article, announced United States Attorney John E. Kuhn, Jr.
Defendant Hunter Perry, age 33, of Louisville, Kentucky participated in a conspiracy to sell and export defense articles on the United States Munitions List (USML) to individuals located outside the United States. Specifically, beginning no later than May 2008, and continuing through September 2012, in Jefferson County, Kentucky, in Texas, and elsewhere, Perry and others, falsified customs documents to export night vision goggles, scopes, and tubes, to individuals outside of the United States. Perry was charged by federal information on December 30, 2015.
Further, in order to accomplish the conspiracy, Perry falsified shipping documents to state that he was exporting equipment other than defense articles in order to escape detection of his shipments by the United States. Payments for the equipment were made through PayPal accounts associated with eBay and through bank wire transfers.
According to court records, Perry communicated with email and agreed to ship items and did ship items, without obtaining an export license issued by the Department of State, Directorate of Defense Trade Controls (DDTC), to persons at addresses in the United Kingdom, Poland, and Japan.
Perry further pleaded guilty to four counts of violating the Illegal Export of Defense Article. On April 6, 2011, in Jefferson County, Perry exported a defense article, a D-760 night vision scope, to the United Kingdom, which was a defense article on the USML, without having first obtained from the Department of State a license for such export or written authorization for such export. Perry violated the Illegal Export of Defense Article again on January 12, 2012, when he shipped, from Jefferson County, a defense article, a PAS-23 mini-thermal scope, and on February 28, 2012, exported from the Jefferson County, to the United Kingdom, a defense article, that is a PVS-15 night vision binocular, and again on August 1, 2012, Perry shipped, from Jefferson County, a defense article, a PAS-13 thermal scope to the United Kingdom.
This case is being prosecuted by Assistant United States Attorney Bryan Calhoun and was investigated by Federal Bureau of Investigation and the Defense Criminal Investigative Service.
Former President of the Broward Teachers Union Pleads Guilty to Defrauding the Broward County School Board and the Broward Teachers UnionRead the Press Release
On Friday, February 12, 2016, Patrick Santeramo, 68, of Dania Beach, Florida appeared in court in Fort Lauderdale, before U.S. District Court Judge William J. Zloch, and pleaded guilty to one count of mail fraud.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, and Rafiq Ahmad, Special Agent in Charge, Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations (DOL-OIG), made the announcement.
According to court documents, Santeramo was the president of the Broward Teachers Union (BTU) from 2001 to 2011, and served as vice president of the BTU prior to that. The BTU and the School Board of Broward County negotiated a collective bargaining agreement in which the School Board of Broward County agreed to provide an annual payment of $80,000 to the BTU for the BTU’s Accountability Program, which was administered by the BTU.
The collective bargaining agreement required that all of the money provided by the School Board of Broward County for the Accountability Program be used to further the program’s goals “in such areas as training, release time for teachers working on accountability projects, guest speakers, etc.” The collective bargaining agreement also required the BTU to keep a written record of expenditures charged to the Accountability Program, and to make this information available to the School Board of Broward County.
Each year, defendant Santeramo would send a letter to the School Board of Broward County to explain how the money dedicated to the Accountability Program had been used during the previous school year. Subsequently, he would also send a letter to the School Board of Broward County requesting the next payment of $80,000 for the Accountability Program for the upcoming school year. As a result of the letters from Santeramo explaining the use of the funds that the School Board of Broward County provided for the Accountability Program, the School Board of Broward County would mail a check for $80,000 to the BTU.
After the BTU received the $80,000 payment from the School Board of Broward County, Santeramo authorized payments from the Accountability Program account for himself and three other employees of the BTU to which they were not entitled. In letters from Santeramo to the School Board of Broward County, Santeramo omitted that payments from the Accountability Program account had been made to him and the other employees. Consequently, Santeramo was responsible for the misappropriating more than $93,000 during the fraudulent scheme.
Sentencing is scheduled for April 22, 2016 at 11:00 a.m. before Judge Zloch.
Mr. Ferrer commended the investigative efforts of the Department of Labor, Office of Inspector General, Miami Field Office. The case is being prosecuted by Assistant U.S. Attorneys Miesha Darrough and Harry C. Wallace, Jr.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Pike County Surgeon Charged with Evading Tax Payments and Submitting False Documents to the IRSRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Dr. Robert Gorrell, who formerly worked for Wayne Memorial Hospital in Honesdale, Pennsylvania, was charged with evading payment of his income taxes, and with filing a false document with the Internal Revenue Service (IRS). The indictment was returned by a federal grand jury in Scranton on December 8, 2015, but remained sealed until Dr. Gorrell was found and arrested in Texas on February 11, 2016.
According to United States Attorney Peter Smith, the indictment charges Gorrell, age 65, with engaging in a years-long pattern of activities to avoid paying over $148,000 in tax deficiencies. The grand jury charged Gorrell with, among other things, causing his tax preparer to file Form 1040 tax returns and Form 433-A collection statements that falsely claimed Gorrell paid for his own medical malpractice insurance. Gorrell also allegedly lied to IRS agents and submitted forged documentation to the IRS in support of his claims. The activities occurred between October 2006 and April 2012.
The indictment also charges Gorrell with causing his tax preparer to file a Form 433-A collection statement with the IRS that falsely claimed he paid for his own medical malpractice insurance, failed to report the extent of his bank accounts, and failed to report his ownership of a Porsche Cayenne.
The investigation was conducted by the IRS, Criminal Investigations. The case is being prosecuted by Assistant United States Attorney Phillip J. Caraballo.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is five years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
# # #
Former High School Assistant Track Coach Pleads Guilty to Sexually Abusing Seven StudentsRead the Press Release
WASHINGTON - Charles Young, 35, of Washington D.C., pled guilty today to sexually abusing seven different male students at Dunbar Senior High School, announced U.S. Attorney Channing D. Phillips and Cathy L. Lanier, Chief of the Metropolitan Police Department (MPD). The abuse occurred between January 2013 and May 2014, during which time the defendant worked at Dunbar as a business manager and assistant track coach.
Young pled guilty in the Superior Court of the District of Columbia to seven felony counts of sexual abuse, including first-degree child sexual abuse with aggravating circumstances, attempted first-degree sexual abuse of a minor, and multiple counts of attempted second-degree sexual abuse of a minor. Each of the seven counts concerns a different victim. Upon release, Young will be required to register as a sexual offender for the remainder of his life. The Honorable Robert E. Morin has scheduled a sentencing hearing to take place on April 22, 2016.
According to the government’s evidence, from 2012 to 2014, Young was employed as Dunbar’s business manager and was responsible for managing the school’s finances. Although he did not teach any classes, he served as a senior class advisor, designed and distributed Dunbar school apparel, volunteered as an assistant boys’ track coach, and held other responsibilities that regularly put him in contact with students.
Between January 2013 and May 2014, Young sexually abused seven male students, all between the ages of 14 and 17 years old. All the incidents occurred on the Dunbar campus, which is located in the 100 block of N Street NW. In one incident that occurred in the fall of 2013, a 15-year-old came to Young’s office to borrow a shirt to wear at basketball practice. Young led the boy into a closet next to his office that contained Dunbar apparel, closed the door, and eventually began performing oral sex on the student. In another incident that occurred in February or March 2013, a 17-year-old came to Young’s office to pay school fees. Once alone with the student, Young had him lift his shirt and pull down his pants and underwear purportedly so that he could show the student, who was an athlete, muscle groups he needed to strengthen. Young had the student pull down his pants and underwear, began touching the student’s penis with his hand, and pressed his mouth to the student’s penis.
On multiple occasions, Young used his position as a track coach to sexually abuse his juvenile victims. In one incident in November 2013, Young brought a 16-year-old to an empty bathroom after track practice, purportedly to provide him some additional one-on-one coaching. Inside the bathroom, he began touching the student on his stomach, pointing out muscle groups the defendant claimed needed work. Young gradually began lowering the student’s shorts before grabbing the boy’s penis and attempting to pull it out of his pants. In a separate incident that occurred in January or February of 2014, Young called a 14-year-old to his office to try on the new track team uniforms. After the student disrobed, Young began touching the student’s abdomen, pointing out exercises he could do to deepen his abdominal muscles. Young began touching the student near his groin and began pulling the student’s underwear down, exposing his penis. He then touched the boy’s penis with his hand.
The defendant would also voice concerns about student hygiene as a ploy to sexually abuse them. On multiple occasions, Young, while alone with a male student, would claim that the student smelled bad, apply hand sanitizer or lotion to his hand, and begin rubbing the boy’s abdomen, claiming that he was getting rid of the smell. Young would then attempt to reach into the boy’s pants and touch his penis.
The abuse came to light in November 2014 when one of the students reported to Dunbar administrators that the defendant had sexually abused him. That student’s disclosure triggered an investigation that ultimately uncovered seven different students whom Young had sexually abused over the span of just three school semesters. Young has been in custody since his arrest in November 2014.
In announcing the plea, U.S. Attorney Phillips and Chief Lanier commended the work performed by detectives from the Metropolitan Police Department’s Youth and Family Services Division. They also recognized the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Tracey Hawkins, Victim/Witness Services Coordinator Katina Adams-Washington, Litigation Technical Specialist Jeanie Latimore-Brown, Paralegal Specialist D’Yvonne Key, Criminal Investigators John Marsh and Mark Fitzgerald, former Legal Interns Stephanie Dinan and Emma MacArthur, and Assistant U.S. Attorneys Chrisellen Kolb and Sarah McClellan. Finally, they commended the work of Assistant U.S. Attorney Jodi Lazarus, who conducted much of the investigation, and Assistant U.S. Attorneys Jason Park and Julianne Johnston, who are prosecuting the case.
Former Harford Resident Sentenced to More Than 10 Years in Prison for Sex Trafficking of MinorsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that WELLINGTON BROWN, also known as “Jamal,” 26, a Jamaican citizen formerly residing in Hartford, was sentenced yesterday by U.S. District Judge Janet Bond Arterton in New Haven to 126 months of imprisonment, followed by 10 years of supervised release, for sex trafficking of minors.
According to court documents and statements made in court, between June 2013 and February 2014, BROWN, with the assistance of Sheena Dume, used various manipulative tactics to recruit five different minor victims to engage in prostitution. BROWN drove expensive vehicles and displayed jewelry and cash to his victims, and lured them with the prospect of making significant amounts of money. BROWN recruited some victims with the fictitious prospect of a modeling career.
BROWN took pictures of the minor victims and used them to advertise prostitution services on websites such as backpage.com. BROWN and Dume covered the expenses of the prostitution operation, such as renting hotel rooms, providing transportation and condoms, and buying food for the victims. At times, BROWN also provided marijuana to the minor victims.
The investigation revealed that the victims engaged in prostitution at various hotels in Stratford and Milford. The victims provided BROWN with tens of thousands of dollars they earned through prostitution and received only a small portion of the money they made.
“This defendant recruited and manipulated vulnerable young girls luring them into the cruel world of sex trafficking,” said U.S. Attorney Daly. “He exploited these girls for months, having them commit sex acts for money, and keeping most all of the profits for himself. Prosecuting these offenses is a top priority for our office and the Department of Justice. Those who sexually exploit minors will be held accountable in federal court and sentenced to significant time in prison. We thank the FBI, the Milford and Stratford Police Departments, and the Connecticut State Police for their diligent work in this investigation. We will continue to work closely with our law enforcement partners to rescue girls and young women from brutal environments and to prosecute those who are responsible for and profit from this reprehensible conduct.”
BROWN and Dume were arrested in Maryland on July 30, 2014. On March 26, 2015, BROWN pleaded guilty to one count of conspiracy to commit sex trafficking of a minor, and five counts of sex trafficking of a minor. He has been detained since his arrest.
BROWN faces immigration proceedings after he serves his prison term.
On February 18, 2015, Dume pleaded guilty to the same six offenses. She awaits sentencing.
This matter was investigated by the Federal Bureau of Investigation, aided by the Milford Police Department, the Stratford Police Department and the Connecticut State Police. U.S. Attorney Daly also recognized the significant assistance provided by the Connecticut Department of Children and Families, particularly its Human Anti-Trafficking Response Team (“HART”).
This case is being prosecuted by AUSAs David Novick and Marc Silverman.
U.S. Attorney Daly encouraged trafficking victims, and anyone who comes in contact with potential victims of trafficking, to call the National Human Trafficking Resource Center Hotline at 888-373-7888. The hotline is run by the Polaris Project under a federal grant. Hotline operators are trained to identify potential trafficking situations, and will immediately refer tips to law enforcement. Individuals also can send an email to [email protected].
Trafficking victims also are encouraged to send a text message to “BEFREE” to receive an immediate response and help from the National Human Trafficking Resource Center.
Former Florida State University Finance Professor Sentenced to Prison for EmbezzlementRead the Press Release
TALLAHASSEE, FLORIDA – Today, former Florida State University (FSU) Assistant Professor of Finance, James S. Doran PhD, 40, of Boulder, Colorado, was sentenced to 13 months in prison and a $15,000 fine for embezzlement concerning a program receiving federal funds. The sentence was announced by Christopher P. Canova, Acting United States Attorney for the Northern District of Florida.
At trial, the government presented evidence that, between May 2010 and March 2011, Doran, while employed at FSU’s College of Business, intentionally embezzled money from the Student Investment Fund Inc. (SIF). The SIF was developed to give business students practice in conducting stock purchases and managing an investment portfolio. Doran, who oversaw the SIF as a faculty advisor, made a series of transfers totaling more than $650,000 from the SIF to his own personal investment account. He also used $10,000 in SIF monies to pay for a performance evaluation of his personal investment fund. Doran returned the monies after an audit disclosed his illegal transfers. Doran was convicted on November 19, 2015.
The case was investigated by the United States Secret Service, the FSU Police Department, and the FSU Office of Inspector General Services. It was prosecuted by Assistant United States Attorneys Gary K. Milligan and Jason R. Coody.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Former Augusta Fire Chief of Fire Prevention Bureau Convicted of Seven Counts of ExtortionRead the Press Release
Augusta, Ga: Yesterday, Jason Baron Beard, the former Fire Chief of the Fire Prevention Bureau, a division of the Augusta Fire Department, was convicted by a federal jury on six counts of extortion under color of official right and one count of attempted extortion under color of official right. United States District Court Judge J. Randal Hall presided over Beard’s four-day jury trial.
According to the evidence presented at trial, Beard extorted cash payments from two nightclubs in exchange for not assigning fire marshals to work “specials” and enforce the clubs’ occupancy limits. Beard would collect his payments from the clubs’ managers on the Saturday following the first Friday of each month, a date when restaurants, bars, and nightclubs in Augusta would hold special events and promotions to draw the largest crowds. Even when the nightclubs’ managers told Beard that the clubs were well over the occupancy limits, Beard continued to collect cash payments without ever even issuing a warning. So long as the clubs’ managers continued to pay Beard, he never assigned a fire marshal to that location. As a result, Beard knowingly allowed these nightclubs to operate in a dangerous and overcrowded manner on regular occasion and ignored a threat to the public’s safety.
United States Attorney Edward J. Tarver stated, “Acting as Fire Chief was not Mr. Beard’s job; it was the citizen’s job that he was hired to perform. He had no right to sell the public’s trust for his personal profit. The United States Attorney’s Office will continue to fight public corruption to help ensure the public’s safety.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated “public corruption remains the FBI’s number one criminal investigative program priority because of the vast damage that it can cause within government and to the public’s trust in its government. The investigation and resulting federal conviction of former Augusta Fire Chief Beard illustrates the FBI’s commitment to following up on allegations in these matters, developing facts, and presenting them for prosecution.”
Mr. Tarver commended the hard work and dedication of the FBI, which investigated the case. Special Agent Charles E. McKee led the FBI’s investigation.
Assistant United States Attorneys C. Troy Clark and Frederick W. Kramer prosecuted the case on behalf of the United States. Any questions should be directed to Mr. James D. Durham at (912) 341-7842.
Florida Man Pleads Guilty to Hate Crime for Threatening to Firebomb Two Mosques and Shoot WorshippersRead the Press Release
The Justice Department announced today that Martin Alan Schnitzler, 43, pleaded guilty to a hate crime in the Middle District of Florida for calling two mosques located in Pinellas County, Florida, and threatening to firebomb the mosques and shoot their congregants.
Schnitzler pleaded guilty to obstructing persons in the free exercise of religious beliefs for making the violent threats. As part of his plea, he admitted that on Nov. 13, 2015, he intentionally obstructed members of the Islamic Society of St. Petersburg, Florida, and the Islamic Society of Pinellas County from practicing their religion when he left voicemail messages threatening the safety of the mosques’ congregants. Schnitzler admitted that his threats were prompted by the terrorist attacks in Paris. Among other things, Schnitzler also admitted that in one of the voicemails he threatened to “personally have a militia” report to one of the mosques and “firebomb you, shoot whoever is there on sight in the head. I don’t care if they’re [expletive] two years old or a hundred.”
As a result of the above threats, both mosques requested increased law-enforcement presence at their locations and took extra safety precautions for congregants.
“Our Constitution and laws guarantee all people – regardless of where they worship – the right to live free from violence and discrimination,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Criminal threats of violence against people or places of worship have no place in our society, and as proven today, the Department of Justice will continue to vigorously prosecute those who commit religion-based hate crimes.”
“The right to worship as one chooses, free from threats and intimidation, is one of the core principles upon which our great nation was founded,” said U.S. Attorney A. Lee Bentley III of the Middle District of Florida. “The U.S. Attorney’s Office is committed to taking whatever action is necessary to vindicate this important First Amendment right.”
Sentencing for the defendant will be scheduled at a later date. Schnitzler faces a maximum sentence of 20 years in federal prison.
The FBI is investigating the case with the assistance of the St. Petersburg Police Department. Assistant U.S. Attorneys Daniel George and Daniel Irick of the Middle District of Florida and Trial Attorney Gabriel Davis of the Civil Rights Division’s Criminal Section are prosecuting the case.
Schnitzler Plea Agreement
Florida Man Pleads Guilty to Hate Crime for Threatening to Firebomb Two Mosques and Shoot WorshippersRead the Press Release
Tampa, FL – United States Attorney A. Lee Bentley, III announced today that Martin Alan Schnitzler, 43, pleaded guilty to a hate crime in the Middle District of Florida for calling two mosques located in Pinellas County, Florida, and threatening to firebomb the mosques and shoot their congregants.
Schnitzler pleaded guilty to obstructing persons in the free exercise of religious beliefs for making the violent threats. As part of his plea, he admitted that on Nov. 13, 2015, he intentionally obstructed members of the Islamic Society of St. Petersburg, Florida, and the Islamic Society of Pinellas County from practicing their religion when he left voicemail messages threatening the safety of the mosques’ congregants. Schnitzler admitted that his threats were prompted by the terrorist attacks in Paris. Among other things, Schnitzler also admitted that in one of the voicemails he threatened to “personally have a militia” report to one of the mosques and “firebomb you, shoot whoever is there on sight in the head. I don’t care if they’re [expletive] two years old or a hundred.”
As a result of the above threats, both mosques requested increased law-enforcement presence at their locations and took extra safety precautions for congregants.
“Our Constitution and laws guarantee all people – regardless of where they worship – the right to live free from violence and discrimination,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Criminal threats of violence against people or places of worship have no place in our society, and as proven today, the Department of Justice will continue to vigorously prosecute those who commit religion-based hate crimes.”
“The right to worship as one chooses, free from threats and intimidation, is one of the core principles upon which our great nation was founded,” said U.S. Attorney A. Lee Bentley III of the Middle District of Florida. “The U.S. Attorney’s Office is committed to taking whatever action is necessary to vindicate this important First Amendment right.”
Sentencing for the defendant will be scheduled at a later date. Schnitzler faces a maximum sentence of 20 years in federal prison.
The FBI is investigating the case with the assistance of the St. Petersburg Police Department. Assistant U.S. Attorneys Daniel George and Daniel Irick of the Middle District of Florida and Trial Attorney Gabriel Davis of the Civil Rights Division’s Criminal Section are prosecuting the case.
District Man Sentenced to 17 Years in Prison for Armed Carjacking and Other ChargesRead the Press Release
WASHINGTON – Cephus Hollis, 18, of Washington, D.C., was sentenced today to 17 years in prison on numerous charges stemming from two violent carjackings in Northeast Washington within a four-day period, U.S. Attorney Channing D. Phillips announced.
Hollis was found guilty by a jury in November 2015 of a total of 15 charges, including assault with intent to kill while armed, armed carjacking, and aggravated assault of a senior citizen while armed. The verdicts followed a trial in the Superior Court of the District of Columbia. He was sentenced by the Honorable Lynn Leibovitz. Following completion of his prison term, Hollis is to be placed on five years of supervised release.
According to the evidence presented at trial, Hollis and a co-conspirator went out on the evening of Sept. 7, 2014 to steal cars in the Riggs Park neighborhood of Northeast Washington and surrounding areas. After stealing their first car that night, they used it to drive around and steal or attempt to steal numerous other cars.
In the early morning hours of Sept. 8, 2014, Hollis and the co-conspirator saw a 62-year-old man delivering copies of the Washington Post, and followed him as he did this for several stops. At one stop, in the 5800 block of Eastern Avenue NE, the newspaper delivery man got out of his car to throw a paper onto the doorstep. Hollis then got into the front seat. Hollis assumed the victim had left the keys in the ignition. The victim had not, and when he returned to the car, Hollis confronted him and demanded the keys. When the victim would not surrender the keys, Hollis punched and kicked him, and the co-conspirator joined in. They beat the victim until they broke his wrist, dislocated his shoulder, broke the orbital bones around his eye, and caused other injuries. Then, after they beat him, they took the cars he was using to make the deliveries. A few days later, that car ran out of gas and was abandoned in the middle of the street. Fingerprints recovered from it matched the defendant and the co-conspirator.
Four days later on Sept. 12, 2014, at about 5 p.m., Hollis ordered Chinese food to be delivered to his own house in the 400 block of Oneida Street NE. When the delivery driver arrived, he parked in front of the house and called Hollis, who acknowledged ordering the food. As the driver walked up to Hollis’s porch, Hollis came out of the house. Without saying anything, Hollis stabbed the driver in the head. The driver fell to the ground and Hollis kept stabbing him. The driver somehow broke free and fled to his car. He locked the door, hoping the car would keep him safe. But as he looked out the car window, he saw that Hollis had his car keys and was walking towards the car. Using the electronic key fob, Hollis unlocked the car. The driver locked the car again, smearing his own blood over the controls as he did so. Hollis, however, kept coming and unlocked the car again, got inside, and resumed stabbing the driver.
The driver got out of the car. Hollis got out, too, ran around the car, and stabbed the driver again. In total, the driver was stabbed at least seven times, including to the head, face, chest, hands, and arms. In addition to his numerous lacerations and puncture wounds, the victim sustained a partially collapsed lung. Hollis then fled in the delivery driver’s car, which was recovered the next day. DNA evidence tying Hollis to the crime was recovered from inside the car. A phone later recovered from Hollis’s pocket was shown to have placed the call ordering the food, and received the call from the delivery driver when he arrived with the food.
Hollis has been in custody in this case since his arrest in May 2015. At sentencing, prosecutors sought a significant period of incarceration, noting the gruesome nature of the attacks and pointing out that Hollis has shown no remorse for his actions.
In announcing the sentence, U.S. Attorney Phillips commended the work of the detectives of the Fourth Police District of the Metropolitan Police Department and the Special Agents from the FBI Washington Field Office’s Violent Crime Task Force. He also expressed appreciation to those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Tiffany Fogle and Benjamin Kagan-Guthrie; Lead Paralegal Specialist Kwasi Fields; Paralegal Supervisors Darline Douglas and Anthony Griffith; Victim/Witness Services Coordinator Katina Adams-Washington; Victim/Witness Advocate Diana Lim; Intelligence Analysts Shannon Alexis and Sharon Johnson; Information Technology Specialists Aneela Bhatia, Anisha Bhatia, Paul Howell, Claudia Gutierrez, Jeanie Latimore-Brown, William Henderson, and Leif Hickling; Criminal Investigators Nelson Rhone and Chris Brophy; Elizabeth Trosman, Chief of the Appellate Division; Assistant U.S. Attorneys Stephen Rickard and John Mannarino of the Appellate Division; and Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation. Finally, he praised the efforts of Assistant U.S. Attorneys Christopher Bruckmann and Katherine Earnest, who investigated and prosecuted the case.
District Man Pleads Guilty to Sexually Assaulting Woman in 2002 Attack in Northwest WashingtonRead the Press Release
WASHINGTON – Jeremiah Juwley, 30, formerly of Washington, D.C., pled guilty today to sexually assaulting a woman in 2002, U.S. Attorney Channing D. Phillips announced.
Juwley pled guilty in the Superior Court of the District of Columbia to attempted first-degree sexual abuse. The plea, which is subject to the Court’s approval, calls for a sentence of 16 years in prison. The Honorable José M. López scheduled sentencing for April 8, 2016. Upon his release from prison, Juwley is to be required to register as a sex offender for the rest of his life.
According to the government’s evidence, in the early morning hours of Sept. 14, 2002, the victim, then 22, was walking alone to a friend's home on the 1100 block of Columbia Road NW after leaving a nightclub. While in route, Juwley, a stranger to her, began walking behind her. To evade him, she walked to an outdoor stairwell that was somewhat secluded.
Juwley continued to pursue her. When he caught up to her, he grabbed her around the waist. The victim screamed. Juwley told her to shut up and knocked her face down onto the ground. She continued to scream, turning her face towards the apartment building so someone could hear her. The defendant continued to strike her in the face and started banging her head on the ground, eventually knocking her unconscious. Juwley then attempted to sexually assault her.
The victim reported the assault to the Metropolitan Police Department (MPD) and was taken to Howard University Hospital, where she was treated for injuries and swabbed for DNA. The case was cold until April 2014, when the defendant was identified as a suspect through the Combined DNA Index System (CODIS), a web of state and national databases containing DNA profiles from convicted offenders and crime scenes that is used as an investigative tool. Juwley’s DNA was in the system as a result of a 2011 conviction in a carjacking case; he was sentenced to a seven-year prison term in that case. Juwley’s DNA profile matched the DNA left behind by the assailant in 2002. Juwley was arrested in December 2015.
In announcing the plea, U.S. Attorney Phillips commended the work of detectives from the MPD’s Sexual Assault Unit, the Third Police District, and officers from the Forensic Science Division. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Lezlie Richardson; Paralegal Specialists Jason Manuel, Tiffany Jones, and Tierra Naches, and Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation. Finally, he expressed appreciation for the work of former Assistant U.S. Attorney Jeff Cook and Assistant U.S. Attorneys Kenya Davis and Nicholas Miranda, who investigated and prosecuted the case.
District Court Enters Permanent Injunction Against Maine-Based Seafood Company and Its Owner to Prevent Distribution of Adulterated ProductsRead the Press Release
The U.S. District Court for the District of Maine entered a consent decree of permanent injunction against Hancock, Maine-based Mill Stream Corporation (doing business as Sullivan Harbor Farm) and its owner, Ira J. (Joel) Frantzman, to prevent the distribution of adulterated seafood products, the Department of Justice announced today.
The department filed a complaint in the U.S. District Court for the District of Maine at the request of the U.S. Food and Drug Administration (FDA), alleging that the defendants’ seafood products are adulterated in that they have been prepared, packed, or held under insanitary conditions whereby the products may have become contaminated with filth or have been rendered injurious to health.
“The failure to plan for and control the presence of bacteria and neurotoxins commonly found in seafood-processing facilities can pose a significant risk to the public health,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “The Department of Justice will continue to work aggressively with FDA to prevent the distribution of adulterated food.”
The complaint alleges that the defendants prepare, process, pack, hold, and distribute refrigerated, vacuum-packed, ready-to-eat, cold and hot smoked fish or fishery products, such as smoked salmon, trout and char, for distribution to cities across the country, including Boston, Massachusetts, and Washington, D.C. The complaint also alleges that Frantzman is Mill Stream’s owner and has the authority and responsibility to prevent and correct the violations of federal law at the company.
In conjunction with the filing of the complaint, the defendants agreed to settle the case and be bound by a consent decree of permanent injunction that requires the defendants to cease all manufacturing operations and provides that, in order for defendants to resume distributing their products, FDA first must determine that the defendants’ manufacturing practices comply with the federal Food, Drug and Cosmetic Act (FDCA).
According to the complaint, an FDA inspection of defendants’ facility in March and April 2015 identified significant, recurring violations of seafood Hazard Analysis and Critical Control Point (HACCP) regulations and current Good Manufacturing Practices (cGMP) requirements. As alleged in the complaint, the HACCP violations included inadequate plans to control risks of Clostridium botulinum (C. bot), which produces a potent neurotoxin that can cause botulism. Though the incidence of botulism is rare, its effect can be severe. Botulism can cause paralysis or death if not promptly treated.
The complaint also alleges that FDA documented insanitary conditions at the defendants’ facility in violation of cGMP requirements. FDA investigators observed, among other things, rodent excreta pellets too numerous to count in the area of the facility where smoker trays are cleaned, apparent black mold and water staining on the doorframe of the walk-in freezer where fish is stored, an open rack of salmon stored beneath a pipe with frozen condensate build-up, and water splashing from the processing floor onto a cutting board and into bins where fish is stored.
Additionally alleged in the complaint, FDA’s testing of samples collected from the defendants’ facility during a December 2011 inspection revealed Listeria monocytogenes (L. mono) in the facility’s environment and on a fish-skinning machine. As noted in the complaint, as a result of that finding, FDA issued to defendants an Administrative Detention Order and defendants subsequently had the affected products destroyed and recalled. L. mono is the bacterium that causes listeriosis, a disease commonly contracted by eating food contaminated with L. mono. Listeriosis can be serious, even fatal, for vulnerable groups such as newborns and those with impaired immune systems. The most serious forms of listeriosis can result in meningitis and septicemia. Pregnant women may contract flu-like symptoms from listeriosis, and complications from the disease can result in miscarriage or septicemia in the newborn.
The complaint alleges that, for more than a decade, FDA repeatedly warned the defendants about HACCP and cGMP violations at the defendants’ facility. The complaint also alleges that FDA communicated these warnings through regulatory meetings, teleconferences, an Administrative Detention Order, Lists of Inspectional Observations and a Warning Letter. Yet, the complaint alleges, FDA continued to observe HACCP and cGMP violations at the defendants’ facility.
The government is represented by Trial Attorney Thomas E. Ross of the Civil Division’s Consumer Protection Branch and Andrew K. Lizotte of the U.S. Attorney’s Office for the District of Maine, with the assistance of Associate Chief Counsel Yen Hoang of the Department of Health and Human Services’ Office of General Counsel – Food and Drug Division.
Disbarred Somerset Attorney Convicted of FraudRead the Press Release
BOSTON – A disbarred Somerset attorney was convicted by a federal jury yesterday on fraud charges arising out of his promotion of investments in a Fall River-based company.
John Silvia, 66, purportedly the “Managing Member” of Richardson Consulting, LLC, was convicted following an eight-day trial of eight counts of securities fraud.
Silvia purported to sell ownership interests in Advanced Space Monitor (ASM) that he was not entitled to sell. In furtherance of his fraud, Silvia created and used a fake “Subscription Agreement” that purportedly gave him the right to receive and sell shares in ASM when, in reality, he did not have the right to do so. The government presented evidence that Silvia cut and pasted the signature of ASM’s founder on the document purporting to give Silvia ownership interest in the company. Silvia defrauded multiple investors out of more than $300,000 based on false representations about his ability to sell the shares. Many of his victims were his friends and family members. Silvia, who was licensed to practice law in Massachusetts in 1975, has been disbarred since 2003.
The charge of securities fraud provides a sentence of no greater than 20 years in prison, three years of supervised release, a fine of $5 million, or twice the gross loss to the victims, and restitution. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Seven additional counts of mail and wire fraud are still pending against Silvia based on fraud he is alleged to have perpetrated against additional victims. U.S. District Court Judge George A. O’Toole, Jr., who had severed the counts for a separate trial, scheduled a status conference for March 14, 2016. Silvia was acquitted at trial this week on two counts of wire fraud.
United States Attorney Carmen M. Ortiz and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The Massachusetts Securities Division, which filed an administrative action charging Silvia with violation of Massachusetts securities laws, referred this case to the U.S. Attorney’s Office and cooperated with the criminal investigation. The case is being prosecuted by Assistant U.S. Attorney Neil Gallagher of Ortiz’s Economic Crimes Unit and Eric Forni of the Securities and Exchange Commission who was appointed as a Special Assistant U.S. Attorney.