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Wednesday 23 July 2025
Former daycare director sentenced in large-scale cocaine trafficking conspiracyRead the Press Release
LAREDO, Texas – A 34-year-old resident of Laredo has been sentenced for conspiracy to possess with intent to distribute 500 grams or more of cocaine, announced U.S. Attorney Nicholas J. Ganjei.
Cynthia Elizabeth Arellano pleaded guilty Aug. 13, 2024.
U.S. District Judge Keith P. Ellison has now imposed a 45-month-term of imprisonment to be immediately followed by four years of supervised release. At the hearing, the court heard how Arellano used her home, where her husband and three-year old daughter also resided, as a stash house for approximately 245 kilograms of cocaine and $428,411.00 in drug proceeds.
“Drugs and violence often go together, so the idea of using your home where your three-year-old daughter lives, as a stash house, is incredibly dangerous and irresponsible,” said Ganjei. “The amount of money and drugs at her home demonstrates that the defendant was a trusted member of the conspiracy, and that kind of trust only comes from a long history of repeated transactions. She knew exactly what she was getting into, and, by extension, what she was getting her family into.”
In April 2024, Cristian Jareth Flores arranged the sale of one kilogram of cocaine for $14,000. During the undercover operation, Juan Antonio Ochoa-Saucedo then delivered the drugs at a local retail establishment.
The investigation revealed Ochoa-Saucedo picked up the brick of cocaine from Arellano at her residence and that he had done so on previous occasions.
Law enforcement executed a search warrant at Arellano’s home where they discovered two money counters and drug ledgers revealing extensive cocaine trafficking involving hundreds of thousands of dollars in proceeds.
At the time of her plea, she admitted she committed the crime because she needed money.
Flores and Ochoa-Saucedo also pleaded guilty for their roles and were sentenced to 36 and 57 months in prison.
Arellano was permitted to remain bond and surrender to a Federal Bureau of Prisons facility at a later date.
Drug Enforcement Administration conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) operation with the assistance of Laredo Police Department. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
Assistant U.S. Attorney Leslie Ann Cortez is prosecuting the case.
Former New Jersey Resident Pleads Guilty to Wire Fraud and Conspiracy to Commit Wire Fraud for Telemarketing Scheme Targeting Timeshare Owners over the Age of 55Read the Press Release
CAMDEN, N.J. – A former New Jersey resident recently pled guilty to wire fraud and conspiracy to commit wire fraud for his participation in a telemarketing scheme to defraud timeshare owners over the age of 55 from 2016 to 2020, U.S. Attorney Alina Habba announced today.
James Toner, a/k/a “Jason Turner,” a/k/a “James Turner,” a/k/a “Jason Thomas,” 43, of Lake Mary, Florida pleaded guilty today, before the Hon. Karen M. Williams, U.S. District Judge, Camden, to Counts One and Two of a 13-count Indictment, charging conspiracy to commit wire fraud in connection with telemarketing that targeted or victimized timeshare owners over the age of 55 (Count One) and wire fraud in connection with telemarketing that targeted or victimized timeshare owners over the age of 55 (Count Two). Toner’s sentencing is scheduled for December 2, 2025.
Toner was previously charged by indictment along with William O’Hanlon, a/k/a “Patrick Burns,” a/k/a “William Burns,” 61, Karen Stefanowski, 63, and William Chiusano, Jr., then-48, of Laguna Niguel, California. Chiusano is now deceased, and charges against him have been dismissed. O’Hanlon and Stefanowski previously pleaded guilty before Judge Williams to their roles in fraudulent telemarketing schemes from 2016 to 2023 on May 9, 2025 and April 30, 2025, respectively.
In addition, Alex Klemash, 32, of Williamstown, New Jersey, Michael Lambe, 45, of Mullica Hill, New Jersey, and La’Tresa Jackson, 59, of Lindenwold, New Jersey, previously pleaded guilty before Judge Williams on March 8, 9, and 13, 2023, respectively, to related Informations charging them with conspiracy to commit wire fraud in connection with the 2016 to 2020 telemarketing scheme.
Accordingly, all living defendants charged for their roles in the telemarketing scheme from 2016 to 2020 have now pleaded guilty. The sentencings for the defendants are currently scheduled as follows:
La’Tresa JacksonSeptember 25, 2025Alex KlemashSeptember 23, 2025Michael LambeSeptember 30, 2025William O’HanlonSeptember 24, 2025Karen StefanowskiSeptember 4, 2025James TonerDecember 2, 2025According to documents filed in this case and statements made in court:
The wire fraud conspiracy and wire fraud charge to which Toner pleaded guilty arise out of his participation in a timeshare fraud scheme operated through businesses WILLIAMS ANDREWS BURNS LLC, RESORT BNB, INC., and WILLIAMS & BURNS, INC. (collectively referred to as “WAB”). As part of his plea agreement, Toner admitted that he was a manager and supervisor at WAB.
From in or about October 2016 through in or about October 2020, Toner and additional co-conspirators (collectively referred to as “Conspirators”), engaged in a scheme to financially enrich themselves by selling fraudulent services to timeshare owners offered through WAB, including offering to rent and/or buy the owners’ timeshares under false and fraudulent pretenses or representations, and offering to recover monies timeshare owners had previously paid in connection with other scams. The Conspirators obtained lists of timeshare owners and their contact information, and cold-called them to pitch their various services in return for upfront fees.
The Conspirators made numerous false and misleading statements to the timeshare owners, including falsely stating that the timeshare owners had “bonus” timeshare weeks which WAB would rent for them in return for an upfront fee, and falsely guaranteeing thousands of dollars in rental income for the timeshare owners. Once the timeshare owners had signed up and paid their fees for the phony rentals services, the Conspirators also generally pitched collections/recovery services, offering to obtain refunds of monies previously paid by the timeshare owners in other fraudulent scams, in return for fees. Again, the Conspirators made numerous false and misleading statements in many instances to both timeshare owners and the banks that issues their credit cards. One of the fraudulent pitches used by the Conspirators was to falsely claim that the timeshare owner had been identified as a victim of timeshare fraud and was entitled to monies that were held by a government entity, often referred to as the attorney general’s office or the FTC (Federal Trade Commission), and that WAB would obtain those monies for the timeshare owner in return for the payment of an upfront fee. The Conspirators also offered additional fraudulent services to timeshare owners, including occasionally offering timeshare buyouts/take-overs.
Toner agreed to make restitution for any proven losses to victims of WAB.
Each count of conspiracy to commit wire fraud and wire fraud is punishable by a maximum of 30 years in prison, including an enhancement of 10 years in prison for committing such fraud via telemarketing that targeted persons over the age of 55 or victimized 10 or more persons over the age of 55. The sentences on each count may run consecutively. Each offense also carries a potential fine of the greater of $250,000,or twice the gross gain or loss from the offense, and the defendant may be sentenced to a term of supervised release after any term of imprisonment imposed.
U.S. Attorney Habba credited agents of the FBI’s Philadelphia Division, South Jersey Resident Agency, under the direction of Special Agent in Charge Wayne A. Jacobs; special agents of the IRS Criminal Investigations, Newark Field Office, under the direction of Special Agent in Charge Jenifer Piovesan; and special agents of the Social Security Administration, Office of the Inspector General, under the direction of Special Agent in Charge, Cooperative Disability Investigations – Eastern Region, Conor Washington, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorneys Elisa T. Wiygul and Diana Vondra Carrig of the U.S. Attorney’s Office in Camden.
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Defense Counsel:
Lee Vartan, Esquire and Melissa Wernick, Esquire for William O’Hanlon
Zach Intrater, Esquire for Karen Stefanowski
Megan Davies, Esquire for James Toner
Michael Baldassare, Esquire for La’Tresa Jackson
Perry DeMarco, Sr., Esquire for Alex Klemash
Ira M. Slovin, Esquire for Michael Lambe
toner.indictment.pdfFormer FAA Employee Pleads Guilty to Stealing Deceased Mother’s BenefitsRead the Press Release
KANSAS CITY, Mo. – A Blue Springs, Mo., man pleaded guilty to one count of mail fraud for stealing his mother’s Social Security Disability (SSDI) benefits since 2019.
Afshin Setoodeh, 62, became the representative payee for his mother’s SSDI benefits in 2018. In this role, Setoodeh was responsible for appropriately using these benefits for the care of his mother. After she returned to her home country of Iran in 2019, Setoodeh did not notify the Social Security Administration (SSA) that she had left the country as required, nor did he notify SSA when his mother passed away in 2022. Even after her death, Setoodeh continued to assert to SSA that his mother was alive and that he was spending the benefits appropriately. Setoodeh withdrew the benefits from his mother’s checking account which totaled approximately $55,000 from 2019 through 2024. Setoodeh also used his mother’s identity to open several credit cards both prior to and after her death.
Setoodeh committed this crime while employed as a civil engineer with the Federal Aviation Administration in Kansas City.
Under federal statutes, Setoodeh is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Amanda K. Hanson. It was investigated by the Social Security Administration’s Office of the Inspector General and the Department of Transportation’s Office of Inspector General.
Former Chinatown Walgreens Manager Sentenced to 147 Months in a Series of Inside-Job RobberiesRead the Press Release
WASHINGTON – Michael Robinson, 35, of the District of Columbia, was sentenced today in U.S. District Court to 147 months in prison, for his role in seven inside-job robberies of a Walgreens drug store in the District’s Chinatown neighborhood, announced U.S. Attorney Jeanine Ferris Pirro.
Robinson pleaded guilty on March 11, 2025, to conspiracy to interfere with interstate commerce by robbery (Hobbs Act robbery) and to using, carrying, possessing, and brandishing a firearm during a crime of violence and aiding and abetting. In addition to the 147-month prison term, the Honorable Jia M. Cobb ordered Williams to serve five years of supervised release and to pay $7,245.75 in restitution.
Joining in the announcement was FBI Assistant Director in Charge Steven J. Jensen of the Washington Field Office.
Sentencing is pending for co-defendants Kamanye Williams, Gianni Robinson, and London Teeter, the last of whom was also a former Walgreen’s store manager.
According to court documents, the four co-conspirators devised a scheme to carry out armed robberies of the Chinatown Walgreens store nearly once a month, beginning in July 2023, when either Michael Robinson or Teeter were working. As a store managers, Michael Robinson and Teeter knew the timing of cash transfers within the business. The co-conspirators would also relay information to each other on how many armed security guards were present in the Chinatown Walgreens and how much cash was in the manager’s office at any given time.
When Michael Robinson was on duty, he gave inside information to his nephew, Gianni Robinson, who then relayed it to Williams so that Williams could more easily rob the store.
The robberies occurred on July 18, 2023, Aug. 2, 2023, Sept. 2, 2023, Nov. 10, 2023, Dec. 4, 2023, Jan. 9, 2024, and Feb. 11, 2024. In their plea agreements, the co-defendants admitted that they stole and split at least $28,983.
In each robbery, Williams entered the Chinatown Walgreens wearing clothing selected to disguise his identity. Williams brandished a firearm at employees of the Walgreens, and at Special Police Officers assigned to guard the store, and then demanded business proceeds located in the Manager’s Office. Williams forced employees into the manager’s office or accessed the manager’s office using a code provided by Michael Robinson or Teeter. Williams then robbed the employees and fled through a rear exit.
Michael Robinson and Teeter took turns pretending to be the “victim” manager on duty, knowing that the robberies would be captured on internal surveillance.
Michael Robinson later admitted that he and Teeter reviewed internal surveillance footage of a robbery, and discussed how to make future robberies look more authentic. Michael Robinson asked Williams to assault him during the robberies to make it look more real.
In response to the robberies, the Chinatown Walgreens hired armed Special Police Officers to protect the business. Undeterred, the co-conspirators continued the robberies and Williams escalated to stealing the firearms from the Special Police Officers.
This case was investigated by the FBI’s Violent Crimes Task Force with assistance from the Metropolitan Police Department (MPD). It is being prosecuted by Assistant U.S. Attorney Sarah Martin with assistance from former Assistant U.S. Attorney Justin Song and former Special Assistant U.S. Attorney Monica Svetoslavov.
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Florida Man Sentenced for Decades-Long Scheme to Defraud the IRSRead the Press Release
Defendant Hid Millions in Swiss Accounts and Lied to the IRS During AuditMIAMI – A Miami man was sentenced yesterday to 60 months in prison for conspiring to defraud the United States by concealing millions of dollars in assets and income in undisclosed Swiss bank accounts and claiming to the IRS that those assets were not his and instead belonged to foreign nationals.
The following is according to court documents and statements made in court: between 1985 and 2020, Dan Rotta, a dual Brazilian and U.S. citizen, hid more than $20 million in assets in dozens of secret Swiss accounts at five different Swiss banks, including UBS, Credit Suisse, Bank Bonhôte, and Bank Julius Baer. The accounts were held in his own name, in the names of sham structures, and, in one instance, a pseudonym. Over the years, Rotta earned tens of millions of dollars of income from these assets that he did not report on his tax returns and used to fund his lavish lifestyle. He caused a substantial tax loss to the IRS.
Rotta employed increasingly elaborate schemes to keep his accounts hidden. Over the years, he kept his accounts open, in part, by falsely representing that he was not a U.S. citizen, leveraging his Brazilian citizenship to claim he was a Brazilian citizen residing in Brazil.
Starting in 2008, after it was reported publicly that UBS and its bankers were under criminal investigation for helping U.S. taxpayers evade their taxes, Rotta closed his UBS account and moved his funds to Credit Suisse and Bank Bonhôte.
In 2011, after the IRS obtained records related to one of Rotta’s Swiss accounts, he nominally changed the documentation of his accounts at Credit Suisse and Bank Bonhôte to make it appear that his co-conspirator, a Brazilian national and resident, owned the assets in the accounts. Despite the change, Rotta continued to control the assets and transferred millions of dollars out of those accounts for his use.
Shortly after Rotta changed the account documentation, the IRS audited him. During the audit, Rotta falsely denied that he owned the assets in the foreign financial accounts and, instead, claimed that the millions of dollars he withdrew from the accounts were non-taxable loans from foreign nationals. Rotta provided the IRS with fake promissory notes and false affidavits from the foreign nationals to corroborate his claims. During the audit, Rotta continued to use the funds in his foreign accounts to fund his lifestyle in the United States, but to conceal his use of the funds from the IRS, he often routed transfers from his foreign accounts through nominee accounts and attorney trust fund accounts in the United States.
The IRS did not believe Rotta’s story and assessed millions of dollars of additional taxes as well as penalties and interest against him. Rotta sought to reverse the assessments by filing a false petition in U.S. Tax Court. In that petition, Rotta, through his attorney, falsely denied having any foreign accounts and attached fictitious loan documents. Furthermore, the nominee account owners traveled to the United States to retell the false loan story to IRS attorneys.
In 2017, after Rotta presented the false evidence that the purported loans had been repaid, the IRS reversed the deficiencies and agreed that he owed no additional tax. Unbeknownst to the IRS, however, the “loan repayments” were fake: the funds that Rotta purportedly repaid went back into accounts that he controlled shortly after the IRS dismissed the suit. Also, as part of the conspiracy, Rotta had his U.S.-based attorneys create sham trust structures that he used to transfer his assets to the United States without alerting the IRS. On paper, it appeared that Rotta’s co-conspirator funded the trusts for Rotta’s benefit. In reality, Rotta funded the trusts with transfers from his Swiss accounts.
In 2019, Rotta became aware that the IRS would receive additional account records from Switzerland that contradicted the false claims that he had previously made. In an attempt to avoid criminal liability, Rotta applied to participate in the IRS’s voluntary disclosure practice. Under that practice, taxpayers who failed to comply with their tax and reporting obligations could make timely, accurate, and complete disclosures of their conduct, which might offer a path to resolve their non-compliance and limit their criminal exposure. Rotta made false statements in his submission, including falsely claiming that the assets in the Swiss accounts mostly belonged to others, and that any funds provided to him were non-taxable gifts. Rotta also falsely claimed that the nominee account owner gifted Rotta money because that nominee had no children to benefit from the funds. In fact, that nominee had two children.
In addition to his prison sentence, U.S. District Judge Rodney Smith for the Southern District of Florida ordered Rotta to serve three years of supervised release. The court will determine restitution at a later date.
U.S. Attorney Hayden O’Byrne for the Southern District of Florida, Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division, and Executive Special Agent in Charge Kareem Carter of IRS Criminal Investigation (IRS-CI) Washington, D.C. Field Office made the announcement.
Special Agents from IRS-CI’s International Tax & Financial Crimes specialty group, a team based out of Washington, D.C., and dedicated to uncovering international tax crimes, investigated the case.
Senior Litigation Counsel Christopher J. Clark for the Southern District of Florida, Senior Litigation Counsels Sean Beaty and Mark Daly, and Trial Attorney William Montague, as well as former Trial Attorney Patrick Elwell of the Tax Division, prosecuted the case.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls.
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 at http://pacer.flsd.uscourts.gov, under case number 24-cr-20113.
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Florida Man Sentenced for Decades-Long Scheme to Defraud the IRSRead the Press Release
A Miami man was sentenced today to 60 months in prison for conspiring to defraud the United States by concealing millions of dollars in assets and income in undisclosed Swiss bank accounts and claiming to the IRS that those assets were not his and instead belonged to foreign nationals.
The following is according to court documents and statements made in court: between 1985 and 2020, Dan Rotta, a dual Brazilian and U.S. citizen, hid more than $20 million in assets in dozens of secret Swiss accounts at five different Swiss banks, including UBS, Credit Suisse, Bank Bonhôte, and Bank Julius Baer. The accounts were held in his own name, in the names of sham structures, and, in one instance, a pseudonym. Over the years, Rotta earned tens of millions of dollars of income from these assets that he did not report on his tax returns and used to fund his lavish lifestyle. He caused a substantial tax loss to the IRS.
Rotta employed increasingly elaborate schemes to keep his accounts hidden. Over the years, he kept his accounts open, in part, by falsely representing that he was not a U.S. citizen, leveraging his Brazilian citizenship to claim he was a Brazilian citizen residing in Brazil.
Starting in 2008, after it was reported publicly that UBS and its bankers were under criminal investigation for helping U.S. taxpayers evade their taxes, Rotta closed his UBS account and moved his funds to Credit Suisse and Bank Bonhôte.
In 2011, after the IRS obtained records related to one of Rotta’s Swiss accounts, he nominally changed the documentation of his accounts at Credit Suisse and Bank Bonhôte to make it appear that his co-conspirator, a Brazilian national and resident, owned the assets in the accounts. Despite the change, Rotta continued to control the assets and transferred millions of dollars out of those accounts for his use.
Shortly after Rotta changed the account documentation, the IRS audited him. During the audit, Rotta falsely denied that he owned the assets in the foreign financial accounts and, instead, claimed that the millions of dollars he withdrew from the accounts were non-taxable loans from foreign nationals. Rotta provided the IRS with fake promissory notes and false affidavits from the foreign nationals to corroborate his claims. During the audit, Rotta continued to use the funds in his foreign accounts to fund his lifestyle in the United States, but to conceal his use of the funds from the IRS, he often routed transfers from his foreign accounts through nominee accounts and attorney trust fund accounts in the United States.
The IRS did not believe Rotta’s story and assessed millions of dollars of additional taxes as well as penalties and interest against him. Rotta sought to reverse the assessments by filing a false petition in U.S. Tax Court. In that petition, Rotta, through his attorney, falsely denied having any foreign accounts and attached fictitious loan documents. Furthermore, the nominee account owners traveled to the United States to retell the false loan story to IRS attorneys.
In 2017, after Rotta presented the false evidence that the purported loans had been repaid, the IRS reversed the deficiencies and agreed that he owed no additional tax. Unbeknownst to the IRS, however, the “loan repayments” were fake: the funds that Rotta purportedly repaid went back into accounts that he controlled shortly after the IRS dismissed the suit. Also, as part of the conspiracy, Rotta had his U.S.-based attorneys create sham trust structures that he used to transfer his assets to the United States without alerting the IRS. On paper, it appeared that Rotta’s co-conspirator funded the trusts for Rotta’s benefit. In reality, Rotta funded the trusts with transfers from his Swiss accounts.
In 2019, Rotta became aware that the IRS would receive additional account records from Switzerland that contradicted the false claims that he had previously made. In an attempt to avoid criminal liability, Rotta applied to participate in the IRS’s voluntary disclosure practice. Under that practice, taxpayers who failed to comply with their tax and reporting obligations could make timely, accurate, and complete disclosures of their conduct, which might offer a path to resolve their non-compliance and limit their criminal exposure. Rotta made false statements in his submission, including falsely claiming that the assets in the Swiss accounts mostly belonged to others, and that any funds provided to him were non-taxable gifts. Rotta also falsely claimed that the nominee account owner gifted Rotta money because that nominee had no children to benefit from the funds. In fact, that nominee had two children.
In addition to his prison sentence, U.S. District Judge Rodney Smith for the Southern District of Florida ordered Rotta to serve three years of supervised release. The court will determine restitution at a later date.
Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division, U.S. Attorney Hayden O’Byrne for the Southern District of Florida, and Executive Special Agent in Charge Kareem Carter of IRS Criminal Investigation (IRS-CI) Washington, D.C. Field Office made the announcement.
Special Agents from IRS-CI’s International Tax & Financial Crimes specialty group, a team based out of Washington, D.C., and dedicated to uncovering international tax crimes, investigated the case.
Senior Litigation Counsels Sean Beaty and Mark Daly, Trial Attorney William Montague, and former Trial Attorney Patrick Elwell of the Tax Division, as well as Senior Litigation Counsel Christopher J. Clark for the Southern District of Florida, prosecuted the case.
Fleming Island Felon Sentenced to Six Years in Prison for Illegally Possessing A FirearmRead the Press Release
Jacksonville, Florida – U.S. District Judge Harvey E. Schlesinger has sentenced Jason Stewart Karst II (37, Fleming Island) to six years in federal prison for possessing a firearm as a convicted felon. Karst entered a guilty plea in March 2025.
According to court documents, in April 2024, agents with the Bureau of Alcohol, Tobacco, Firearms, and Explosives received a complaint from a local shooting range that Karst and another individual had been shooting fully automatic firearms at the range. Surveillance video from the range showed Karst firing a fully automatic gun as well as a separate gun that was equipped with a silencer. Agents obtained a search warrant for a home owned by Karst and executed the warrant on May 1, 2024. During the search, agents found five silencers, a privately manufactured firearm that was equipped with a machinegun conversion device, and a pistol that was also equipped with a machinegun conversion device inside a large safe. The guns matched the appearance of the ones used by Karst at the shooting range. In addition, while agents were executing the search warrant, Karst drove up to the house. During a search of Karst’s car, officers with the Jacksonville Sheriff’s Office found a white powdery substance, over 20 grams of marijuana, a scale, a pistol without a serial number, and keys to the safe.
Karst was previously convicted of multiple felonies, including two convictions for possession of marijuana with the intent to sell or deliver, possession of a controlled substance with the intent to sell or deliver, attempted use of a minor to deliver a controlled substance, and possession of a firearm by a convicted felon. Therefore, he is prohibited from possessing firearms or ammunition under federal law. Additionally, contrary to federal law, the machinegun conversion devices and silencers were not registered in the National Firearms Registration and Transfer Record—a database maintained by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Clay County Sheriff’s Office, and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Elisibeth Adams.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Federal Jury Convicts a Texas Man of Sexually Assaulting a Female Passenger Onboard a Commercial Airline FlightRead the Press Release
Salt Lake City, Utah – A federal jury in Salt Lake City returned a guilty verdict today against a Texas man after he grabbed and groped a female passenger multiple times without her consent while onboard a late-night flight from Chicago to Salt Lake City.
Robert Sutherland MacLean, aka “Bobby,” 59, of Frisco, Texas, was charged by indictment on April 18, 2023, with abusive sexual contact in the special aircraft of the United States.
According to court documents and evidence presented at trial, on March 1, 2022, while in flight, MacLean made calculated and sexually laced statements to a stranger seated next to him while he sexually assaulted her multiple times in the first-class cabin.
“Mr. MacLean unlawfully and illegally imposed his will upon another person— sexually assaulting her over and over again on that late night flight,” said prosecuting attorney Bryan N. Reeves of the U.S. Attorney’s Office, during the trial.
MacLean’s sentencing hearing is scheduled for October 1, 2025 at 10:00 a.m. before Senior U.S. District Court Judge Dale A. Kimball at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
Acting United States Attorney Felice John Viti of the District of Utah made the announcement.The case is being investigated by the FBI Salt Lake City Field Office and assisted by the Salt Lake City Police Department.
Assistant United States Attorneys Michael P. Kennedy and Bryan N. Reeves of the U.S. Attorney’s Office for the District of Utah are prosecuting the case.
Federal Jury Convicts Honduran National for Alien Smuggling in Del RioRead the Press Release
DEL RIO, Texas – A federal jury in Del Rio convicted a Honduran national this week on charges of alien smuggling.
According to court documents and evidence presented at trial, in October 2024, Jerson Alberto Rivera-Kelly, 37, who was then in the United States as a lawful permanent resident was observed by a U.S. Border Patrol (USBP) agent driving an SUV south on Highway 2083 near Comstock, approximately 20 miles from the U.S. border with Mexico. Other USBP agents in the area at that time were searching for a group of five suspected illegal aliens. Rivera-Kelly was pulled over and five occupants were found in the vehicle. All of the occupants were attempting to conceal themselves inside his vehicle. The five individuals were determined to be illegal aliens.
Rivera-Kelly was indicted in November 2024 for one count of conspiracy to transport aliens and one count of illegal alien transportation for profit. The federal jury convicted him on both counts on July 21, 2025. Both charges carry penalties of up to 10 years in federal prison, up to three years of supervised release, and a maximum $250,000 fine in addition to any restitution ordered.
U.S. Attorney Justin R. Simmons for the Western District of Texas made the announcement.
USBP investigated the case.
Assistant U.S. Attorneys Tyler Fleming and Ashley Ellis-Dotson are prosecuting the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and other transnational criminal organizations, and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Project Safe Neighborhoods.
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Federal Jury Convicts Panama City Felon of Drug Trafficking and Illegal Firearms ChargesRead the Press Release
PENSACOLA, FLORIDA – Jarrel Daniel Rivaz, 35, of Panama City, was found guilty by a federal jury of possession with intent to distribute 500 grams or more of cocaine and marijuana, possession of a firearm in furtherance of drug trafficking, and possession of a firearm and ammunition by a convicted felon on Tuesday morning, July 22, 2025. The verdict was announced by John P. Heekin, United States Attorney for the Northern District of Florida.
U.S. Attorney Heekin said: “Fulfilling the promise of President Donald J. Trump and Attorney General Pam Bondi to Take Back America from violent criminals and drug traffickers requires close collaboration between our federal, state, and local law enforcement partners like we saw in this case. I am deeply appreciative of the outstanding work of the Bay County Sheriff’s Office and the ATF to get this criminal off our streets, and my office will continue to aggressively prosecute these cases to keep our communities safe from the predations of drug traffickers like this defendant.”
Evidence admitted at trial established that on December 21, 2023, during a search warrant executed at the defendant’s house in Panama City, law enforcement found and seized over 900 grams of cocaine, a large quantity of marijuana, two firearms, and ammunition. One of the firearms was found loaded in a locked shed in the same bag as some of the marijuana. Rivaz had previously been convicted of a felony drug trafficking offense in New York under the name “Gerald Walker.”
Sentencing is scheduled for October 16, 2025, at 10 a.m. in Pensacola before United States District Judge T. Kent Wetherell II. Rivaz faces a minimum mandatory term of 10 years’ imprisonment and a maximum possible sentence of life.
The verdict was the result of a joint investigation by the Bay County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant United States Attorneys Ward Narramore and Alicia Forbes.
This case is part of Operation Take Back America (https://www.justice.gov/dag/media/1393746/dl?inline ) a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
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. 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.
Federal Charges Filed Against Pensacola Man for Armed Drug TraffickingRead the Press Release
PENSACOLA, FLORIDA – Carlton Shoemaker, 51, of Pensacola, Florida, has been indicted in federal court for three counts of possessing with the intent to distribute controlled substances, one count of possession of a firearm in furtherance of a drug trafficking offense, and one count of possession of a firearm by a convicted felon. John P. Heekin, United States Attorney for the Northern District of Florida announced the charge.
Shoemaker appeared before United States Magistrate Judge Zachary C. Bolitho at the United States Courthouse in Pensacola, Florida on July 22, 2025.
If convicted on all counts, Shoemaker faces up to life imprisonment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Florida Department of Law Enforcement. The case is being prosecuted by Assistant United States Attorney Jessica S. Etherton.
An indictment is merely an allegation by a grand jury 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.
This case is part of Operation Take Back America (https://www.justice.gov/dag/media/1393746/dl?inline ) a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
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. 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.
Dominican National Sentenced to Nine Months in Prison for Illegally Reentering the United States After DeportationRead the Press Release
PHILADELPHIA – United States Attorney David Metcalf announced that Ramon Ramirez-Frias, aka “Willy Ramirez-Frias” and “Mollo,” 40, a Dominican national illegally residing in Philadelphia, Pennsylvania, was sentenced today by United States District Judge Kai N. Scott to nine months in prison for illegally reentering the United States after prior deportation. Upon the completion of his sentence, he again will be removed from the country.
In April 2004, following his arrest by U.S. Border Patrol in Puerto Rico, Ramirez-Frias was processed for voluntary removal from the United States. The defendant later illegally reentered the country, and was arrested by FBI Philadelphia in April of 2022 on federal drug charges. Ramirez-Frias pleaded guilty in February 2023 to one count of conspiracy to distribute heroin and two counts of possession with intent to distribute heroin and was removed from the U.S. in November 2023, pursuant to an immigration judge’s order.
Earlier this year, Immigration and Customs Enforcement (ICE) and the FBI received information that Ramirez-Frias had returned to the U.S. illegally and was living in Philadelphia. He was located and arrested in February, indicted in March, and pleaded guilty to illegal reentry in April.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhoods (PSN).
The case was investigated by ICE Enforcement and Removal Operations and the FBI and is being prosecuted by Assistant United States Attorney S. Chandler Harris.
Domestic trafficker imprisoned for possessing over 2,000 counterfeit pillsRead the Press Release
LAREDO, Texas – A 41-year-old resident of Lake Charles, Louisiana, has been sentenced for conspiring to possess with intent to distribute more than 40 grams of fentanyl, announced U.S. Attorney Nicholas J. Ganjei.
Walter Wellington Somers pleaded guilty April 2, 2024.
U.S. District Judge Keith P. Ellison has now ordered Somers to serve 60 months in federal prison to be immediately followed by four years of supervised release. At the hearing, the court heard how Somers had travelled from Louisiana and was planning to return to sell the fentanyl pills for a greater profit and that he has had numerous prior convictions and contacts with law enforcement.
“All too often, we hear tragic stories about someone’s young son or daughter dying after taking a single pill laced with fentanyl, and it's people like this defendant who put that one lethal dose in their hand,” said Ganjei. “The seizure of Mr. Somers’ deadly wares kept these pills from hitting the streets and undoubtedly saved many lives. The Department of Justice wishes to thank the staff at the Embassy Suites for their quick thinking in recognizing the drugs and alerting authorities. This is an example of community action leading to a great result.”
“DEA’s diligent investigative efforts helped save countless lives,” said Drug Enforcement Administration (DEA) Acting Special Agent in Charge William Kimbell of the Houston Division. Only two milligrams of fentanyl is considered a potentially lethal dose, and Somers had thousands of fake fentanyl pills that could have devastated the Laredo community. DEA is unwavering in its commitment to eradicate these dangerous drugs from our neighborhoods and bring those responsible for dealing these deadly drugs to justice.”
On Dec. 23, 2023, law enforcement responded to a call from the Embassy Suites Hotel in Laredo. Hotel staff found what they believed to be drugs in one of the rooms while trying to clean it.
Law enforcement arrived on scene and observed Somers attempting to get back into the room. He claimed he was only there to pay for a television he had broken.
Authorities conducted a search of the hotel room and discovered a silver zipper bag containing several clear plastic bags with a large number of small blue circular pills. They were imprinted with an “M-30” logo. Law enforcement confirmed Somers had been staying in the room and checked out earlier in the day before returning to the hotel.
A laboratory analysis later determined there were a total of 2,319 blue pills which contained fentanyl. The investigation revealed the source of supply was from Sinaloa, Mexico.
The investigation revealed Somers had traveled from Louisiana to meet a friend in South Texas. In phone messages between the two, they discussed collecting money and acquiring narcotics. In one audio message, the individual told Somers if he sent $700 or $800 that evening, someone would front them 3,000 pills.
The friend also sent Somers a video of him holding three bags of blue M-30 pills that were identical in size, shape and packaging to the pills seized Dec. 23, 2023.
Somers will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.
DEA and Laredo Police Department conducted the investigation. Assistant U.S. Attorneys Steven Chamberlin and Brittany Jensen prosecuted the case.
This case is being prosecuted as part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF is the largest anti-crime task force in the country. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
More information on the dangers of fentanyl can be found on the DEA’s website. #OnePillCanKill
Delco Woman Pleads Guilty to Carjacking a Family, Shooting at One of the Victims, and Fleeing in SUV with Their Infant Son in the BackseatRead the Press Release
PHILADELPHIA – United States Attorney David Metcalf announced that Phillis Fugah, 24, of Upper Darby, Pennsylvania, entered a plea of guilty today before United States District Judge Timothy J. Savage on one count of carjacking, and one count of using, carrying, and discharging a firearm during and in relation to a crime of violence, in connection with an August 29, 2024, carjacking and shooting in Upper Darby.
The defendant was charged by indictment in November of last year.
As detailed in court filings and admitted to by the defendant, she and a male subject rushed a Honda Pilot parked on the 7100 block of West Chester Pike, where a man sat in the backseat with his two young children, awaiting his wife’s return. The male subject fled the scene after opening the passenger side door.
Fugah pulled open the front driver’s-side door, got behind the wheel, aimed a gun at the man, and demanded money. The man’s five-year-old son jumped out of the open front passenger door onto the sidewalk. The man got out of the rear driver’s side door and told Fugah that his infant child was still in the vehicle, as he tried to open the front driver’s side door. Fugah resisted and struggled with the man over the door.
The defendant raised her gun and shot at the male victim, with the bullet partially shattering the driver’s side window and hitting the man’s baseball cap, narrowly missing his head. A piece of the bullet struck the window of an occupied SEPTA bus across the street, passing over the heads of several passengers. Fugah then fled in the Honda Pilot, which was soon located a short distance away with the infant inside and unharmed.
The defendant is scheduled to be sentenced on November 4 and faces a mandatory minimum sentence of 10 years’ imprisonment and a maximum possible sentence of life in prison.
This case was investigated by FBI Philadelphia’s Newtown Square Resident Agency and the Upper Darby Township Police Department and is being prosecuted by Special Assistant United States Attorneys Brian Doherty and Sandra Urban.
Defendant Convicted and Sentenced in Long-Term Methamphetamine Trafficking Investigation in Washington CountyRead the Press Release
PENSACOLA, FLORIDA – A federal judge sentenced Brandon Taylor, 42, to 180-months in federal prison after having previously pleaded guilty to conspiracy to distribute methamphetamine and distribution of methamphetamine. The sentence was announced by John P. Heekin, United States Attorney for the Northern District of Florida.
United States Attorney Heekin said: “Distribution of methamphetamine and other drugs in the smaller towns and rural areas of northwest Florida have a devastating effect on the citizens of those communities. My office is committed to working with our local and state partners, and the federal law enforcement agencies, to aggressively target and prosecute those who distribute these deadly drugs in our district.”
“The hard work and determination of the law enforcement agencies involved ultimately led to the arrest of Taylor and identified several additional drug suppliers in surrounding states,” said Drug Enforcement Administration Miami Field Division Special Agent in Charge Deanne L. Reuter. “Methamphetamine is a dangerous drug that can destroy families and communities. The surrounding areas will be safer and healthier with this drug trafficker off the streets.”
“I really appreciate the invaluable assistance provided by our federal partners in the prosecution of Brandon Taylor. Several families, not only in our county but in the surrounding counties, have been affected by Taylor’s unnecessary distribution of methamphetamine,” stated Sheriff Crews, Washington County Sheriff’s Office.
Court documents reflect that from 2019 through 2022, Taylor received large quantities of methamphetamine from a source in Georgia and distributed those drugs to dealers and users in Washington County and Bay County. He used a courier provided by his source in Georgia or recruited subordinate drug dealers and users from the area to travel and pick up the drugs for him. He paid them in methamphetamine. This same investigation led to the prosecution and conviction of four other Washington County residents in 2023, who were customers of Taylor. The investigation led to the seizure of several kilograms of methamphetamine, and the identification of illegal drug sources in Florida, Alabama, and Georgia.
This case resulted from a joint investigation by the Drug Enforcement Administration, the Washington County Sheriff’s Office, the Chipley Police Department, the Bay County Sheriff’s Office, and the Florida Department of Law Enforcement. Assistant United States Attorney Walter Narramore prosecuted the case.
This case is part of Operation Take Back America (https://www.justice.gov/dag/media/1393746/dl?inline) a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
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. 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.
Covington Man Sentenced to 10 Years for Possession of Child PornographyRead the Press Release
Memphis, TN – Austin Lineback, 59, has been sentenced to 10 years in federal prison for possession of child pornography. Interim U.S. Attorney Joseph C. Murphy, Jr. for the Western District of Tennessee announced the sentence today.
According to information presented in court, Tipton County Sheriff’s Office detectives executed a search warrant of Lineback’s home on January 30, 2023, where he resided alone. As a result of the search, detectives recovered multiple electronic storage devices. A forensic examination revealed images of child sexual abuse material. Following a two-day trial in January 2025, a federal jury found Lineback guilty on the one-count indictment.
On July 18, 2025, Lineback was sentenced to 10 years' imprisonment and lifetime supervised release. There is no parole in the federal system.
This case is part of Project Safe Childhood, which is a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children and to identify and rescue child victims of sexual exploitation.
For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The case was investigated by detectives with the Tipton County Sheriff’s Office and agents with the FBI’s Violent Crimes Against Children Task Force.
Assistant United States Attorneys Lynn Crum, Eileen Kuo, and Lauren Delery prosecuted this case on the government’s behalf.
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For more information, please contact the Media Relations Team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Construction Company President Charged with $5 Million Payroll Tax and Wire Fraud SchemesRead the Press Release
United States Attorney for the Southern District of New York, Jay Clayton, and Special Agent in Charge of the New York Field Office of Internal Revenue Service-Criminal Investigation (“IRS-CI”), Harry T. Chavis, Jr., announced the unsealing of a 14-count Complaint charging NIGEL KENNETH JOSEPH with failing to pay years of employee payroll taxes, scheming to defraud a construction contractor of millions of dollars, and aggravated identify theft. JOSEPH was arrested and presented yesterday before U.S. Magistrate Judge Ona T. Wang.
“As alleged, Nigel Joseph didn’t just shortchange his workers—he lied about it, falsified records, and pocketed the money for himself,” said U.S. Attorney Jay Clayton. “Then he allegedly defrauded the public by ducking millions in taxes. That’s not entrepreneurship that fuels growth—it’s fraud that erodes trust.”
“When a person purportedly leases luxury vehicles, buys NBA tickets and travels to tropical islands instead of paying payroll taxes for his employees, it is the American people who are victimized,” said IRS-CI Special Agent in Charge Harry T. Chavis, Jr. “There is no turning a blind eye to this egregious fraud, and our CI agents work relentlessly to follow the money and bring those who think they can evade payroll taxes and falsify records to justice.”
According to the allegations in the Complaint:[[1]]
JOSEPH founded BWK, a masonry subcontractor registered in the Bronx, New York, in 2019. Between 2019 and 2021, BWK earned at least $10 million performing construction across New York, New Jersey, and Connecticut. Despite these earnings, JOSEPH willfully refused to collect payroll taxes from his employees and refused to pay taxes he owed as an employer. According to an IRS-CI analysis of financial records, JOSEPH failed to pay at least approximately $2.9 million on behalf of his employees and at least approximately $750,000 he owed as an employer. Rather than pay taxes, JOSEPH used BWK funds to finance his own lifestyle—including by transferring tens of thousands of dollars to his wife; making personal rental payments; purchasing courtside NBA tickets and a Rolex; leasing a BMW 3-Series, a Mercedes GLE, and a BMW 5-Series; and traveling to the Dominican Republic and Jamaica.
According to interviews with employees and business partners, JOSEPH said, in sum and substance, that he did not want to file taxes and sometimes refused to speak to an accountant because he did not want to talk about how much he owed to the Government. An employee said that JOSEPH chose to not collect or file taxes because the IRS was, JOSEPH said in sum and substance, not paying attention during the COVID-19 pandemic.
Moreover, because JOSEPH knew that payroll taxes had not been properly withheld by BWK, JOSEPH also directed the production of falsified certified payroll documents in order to obtain approximately $1.96 million in payments pursuant to at least two construction contracts. According to documents reviewed and interviews conducted by IRS-CI, JOSEPH conspired with others to produce falsified documents listing the names, hours worked, wages, and tax withholdings for at least approximately 10 employees between in or about October 2021 and June 2022 in order to obtain payment for performing masonry work as part of two elementary school construction projects on Long Island.
In order to falsify payroll documents as part of the scheme, on or about November 17, 2021, JOSEPH texted an employee instructions to “Put [an employee], [another employee], yourself and one other laborer” as employees on a construction site where the employee—who performed only payroll functions for BWK—in fact never worked. In a text message he sent on or about November 8, 2021, JOSEPH directed an employee to identify JOSEPH as a “foreman”; JOSEPH’s wife as a “laborer”; and two other employees as “laborers.” In fact, JOSEPH was not a foreman; his wife was not a laborer; and neither of the other two employees were laborers, either.
In a text message sent on or about February 3, 2022, JOSEPH expressed concern that the falsified certifications would be uncovered, writing in response to a warning from an employee that “[w]e have big problems . . . [w]ith the taxes,” that, “Damn . . . I’m thinking I should not have put everyone working 35 hours every week.” On or about March 28, 2022, JOSEPH directed an employee in text messages that “this is going to be the last month that we do this with [the] accountant . . . [a]nd then you and I gonna do it ourselves,” adding that he would “fake it until we make it.”
* * *
JOSEPH, 45, of Bergenfield, New Jersey, is charged with 11 counts of failure to account for and pay over payroll taxes, each of which carries a maximum sentence of five years in prison; one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years in prison; and one count of aggravated identity theft, which carries a mandatory sentence of two years in prison.
The mandatory and maximum potential sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Mr. Clayton praised the outstanding investigative work of IRS–CI.
This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorney Ryan T. Nees is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
u.s._v._joseph_complaint.pdf
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Conspiracy Ringleader of $78 million Diverted Prescription Drug Operation Sentenced to Fourteen Years in PrisonRead the Press Release
MIAMI – Stephen Costa, 40, was sentenced to fourteen years in prison after pleading guilty to his leadership role in a conspiracy that distributed thousands of bottles of diverted pharmaceutical drugs, many intended for HIV and cancer patients, into the legitimate supply chain around the United States.
According to court documents, Costa was the architect of a scheme, which resulted in the prosecution of 20 defendants in a series of superseding indictments issued between 2019 and 2024. The conspiracy originated in early 2013, when Costa began acquiring licensed pharmaceutical wholesale companies using the names of recruited associates, and established new corporations to distribute the drugs he acquired. Several of Costa’s accomplices were individuals he had previously conspired with in a similar scheme based in New York and others he had known from other businesses or high school.
Once Costa had control of these companies, he purchased diverted drugs from suppliers he had worked with before and directed his co-conspirators on how to price, market, sell, and distribute the drugs. These diverted drugs were ultimately funneled to legitimate pharmacies around the country.
Costa continued to expand the Miami-based conspiracy even after his conviction in the New York scheme. Before reporting to prison to serve his sentence, Costa facilitated the introduction of his primary supplier of diverted pharmaceuticals to a co-conspirator to perpetuate the operation during his imprisonment. Costa received several payments from the proceeds of his co-conspirator’s continuing operation.
In total, approximately $78 million worth of diverted drugs were sold to unsuspecting patients, believing their medications had been shipped directly from legitimate manufacturers—not purchased on the streets and repackaged under false labeling. The criminal operation was shut down in May 2019 through a joint effort by the Food and Drug Administration, Office of Criminal Investigations (FDA-OCI), and FBI Miami.
U.S. Attorney Hayden P. O’Byrne for the Southern District of Florida, Special Agent in Charge Brett D. Skiles of FBI Miami, and Acting Special Agent in Charge Maximillian Pagano of the FDA-OCI Miami Field Office made the announcement.
Assistant U.S. Attorney Frank Tamen prosecuted the case.
Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls.
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 at http://pacer.flsd.uscourts.gov, under case number 19-cr-20674.
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Colorado man sentenced to 30 years in prison on drug chargesRead the Press Release
BILLINGS – A Greely, Colorado drug trafficker who led law enforcement on a high-speed pursuit was sentenced today to 360 months in prison to be followed by 5 years of supervised release, U.S. Attorney Kurt Alme said.
In October 2024, a federal jury in Billings found Moises Zamora, 40, guilty of possession with intent to distribute methamphetamine. Zamora has a prior federal conviction in Montana for possession with intent to distribute methamphetamine and he received a sentence of imprisonment in that case of ten years. See US v. Zamora, CR 21-78-GF-BMM.
U.S. District Judge Susan P. Watters presided over this matter.
The government alleged in court documents and at trial that on November 11, 2022, a Yellowstone County Sheriff’s deputy pulled into a convenience store parking lot in Billings and noticed a car parked in an obscure manner, away from the pumps or store entrances. As the deputy drove toward the car, he saw the driver, later identified as Zamora, point toward his patrol vehicle and then slouch in the seat. The deputy found Zamora's behavior suspicious and pulled behind the vehicle to investigate. Zamora reversed his car and drove away. The deputy activated his lights and siren, but Zamora continued driving, and a high-speed pursuit began. The chase lasted almost 10 minutes and involved speeds reaching 80 mph, with Zamora driving recklessly and entering the lane of oncoming traffic. Zamora finally stopped when he came to a dead end and was arrested.
The deputy observed two blue “M30” pills, later confirmed to be fentanyl, in the backseat. Law enforcement determined Zamora had a warrant for his arrest and was booked into the Yellowstone County Detention Center. Law enforcement served a search warrant on Zamora’s car and located approximately six pounds of meth, two fentanyl pills, three cell phones, and drug paraphernalia. Six pounds of meth is the equivalent of approximately 21,744 doses.
Assistant U.S. Attorney Colin Rubich prosecuted the case. The Yellowstone County Sheriff’s Office, Eastern Montana High Intensity Drug Trafficking Area Task Force and FBI conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn.
Colorado Man Pleads Guilty to Sexually Exploiting a Minor and Possessing Child Sexual Abuse MaterialRead the Press Release
A Colorado man pleaded guilty today to sexually exploiting a minor and possessing child sexual abuse material (CSAM).
According to court documents, Wesley Chambers, 34, of Fort Collins, sexually abused a minor for years and recorded the abuse. Law enforcement found more than 200 sexually explicit videos and photographs of the minor on Chambers’ cell phone, and more than 20,000 photographs and 2,500 videos of the sexual abuse and exploitation of other minors.
Chambers pleaded guilty to two counts of sexually exploiting a child and one count of possessing material depicting the sexual exploitation of minors. As part of his plea agreement, the defendant also admitted to accessing child pornography on the dark web, including “hurtcore” sites. He is scheduled to be sentenced on Oct. 22 and faces a mandatory minimum penalty of 15 years in prison and a maximum penalty of 70 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department’s Criminal Division, U.S. Attorney Peter McNeilly for the District of Colorado, Assistant Director Jose A. Perez of the FBI Criminal Investigative Division, and Special Agent in Charge Mark Michalek of the FBI Denver Field Office made the announcement.
The FBI’s Child Exploitation Operational Unit and the FBI Denver Field Office investigated the case.
Trial Attorney Rachel L. Rothberg of the Justice Department’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Alecia L. Riewerts for the District of Colorado are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and 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, visit www.justice.gov/psc.
Colorado Man Pleads Guilty to Sexually Exploiting a Minor and Possessing Child Sexual Abuse MaterialRead the Press Release
A Colorado man pleaded guilty today to sexually exploiting a minor and possessing child sexual abuse material (CSAM).
According to court documents, Wesley Chambers, 34, of Fort Collins, sexually abused a minor for years and recorded the abuse. Law enforcement found more than 200 sexually explicit videos and photographs of the minor on Chambers’ cell phone, and more than 20,000 photographs and 2,500 videos of the sexual abuse and exploitation of other minors.
Chambers pleaded guilty to two counts of sexually exploiting a child and one count of possessing material depicting the sexual exploitation of minors. As part of his plea agreement, the defendant also admitted to accessing child pornography on the dark web, including “hurtcore” sites. He is scheduled to be sentenced on Oct. 22 and faces a mandatory minimum penalty of 15 years in prison and a maximum penalty of 70 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Assistant Attorney General Matthew R. Galeotti of the Justice Department’s Criminal Division, U.S. Attorney Peter McNeilly for the District of Colorado, Assistant Director Jose A. Perez of the FBI Criminal Investigative Division, and Special Agent in Charge Mark Michalek of the FBI Denver Field Office made the announcement.
The FBI’s Child Exploitation Operational Unit and the FBI Denver Field Office investigated the case.
Trial Attorney Rachel L. Rothberg of the Justice Department’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Alecia L. Riewerts for the District of Colorado are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and 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, visit www.justice.gov/psc.
Chicago Man Sentenced to Nearly Two Years in Prison for Violating Conditions of Court-Supervised Release Following ImprisonmentRead the Press Release
CHICAGO — A Chicago man has been sentenced to nearly two years in federal prison for violating the conditions of court-supervised release following his imprisonment for a firearms offense.
KEESHON SAMSON, 31, was released from federal prison in 2023 after being convicted of illegally possessing a loaded semiautomatic handgun on Chicago’s South Side. The gun had been reported stolen in a burglary of a licensed firearms dealer. Samson remained under court-supervised release for three years following imprisonment.
In February 2025, Samson was accused of breaking windows out of an acquaintance’s house and threatening the physical safety of an Illinois Department of Children and Family Services (DCFS) investigator in a series of harassing telephone calls from a masked phone number.
On July 2, 2025, U.S. District Judge John Robert Blakey found that Samson threatened the DCFS investigator and thus violated the supervised release conditions, one of which prohibited him from committing a federal, state, or local crime while under supervision. Judge Blakey sentenced Samson to 21 months in federal prison.
The sentence was announced by Andrew S. Boutros, United States Attorney for the Northern District of Illinois, and Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives. The government was represented by Assistant U.S. Attorney Jeffrey Snell.
“In our federal system of justice, supervised release is a critically important part of the sentencing process,” said U.S. Attorney Boutros. “It is designed to help offenders transition back into society while also ensuring public safety. When a defendant on supervised release chooses to violate clear conditions designed to protect the community, my Office will not hesitate to prosecute the violation and hold the defendant accountable.”
“The defendant’s conduct while on supervised release demonstrated a reckless disregard for the law, the safety of others, and the Court’s orders,” said ATF SAC Amon. “This sentence sends a clear message that violations of Court-imposed conditions of release will not be tolerated.”
Charleston Man Pleads Guilty to EscapeRead the Press Release
CHARLESTON, W.Va. – Ronald Edward Tinsley, 52, of Charleston, pleaded guilty today to escape after failing to return to a federal reentry facility.
According to court documents and statements made in court, on March 19, 2025, Tinsley failed to return from an approved work pass to Dismas Charities Inc., a Bureau of Prisons residential reentry facility in St. Albans. Law enforcement officers arrested Tinsley on the resulting warrant on May 13, 2025.
Tinsley was confined at Dismas Charities as a result of his conviction for possession of a stolen firearm in United States District Court for the Southern District of West Virginia on October 18, 2021.
Tinsley is scheduled to be sentenced on October 27, 2025, and faces a maximum penalty of five years in prison.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the United States Marshals Service
.
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Jennifer D. Gordon is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:25-cr-88.
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Career Offender Sentenced to 175 Months in Federal Prison for Drug and Firearms OffenseRead the Press Release
HOT SPRINGS – A Pearcy man was sentenced yesterday to a total of 175 months in prison on one count of Possession with Intent to Distribute Methamphetamine, one count of being a Felon in Possession of a Firearm, as well as violations of his term of supervised release from a previous conviction. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearing in the United States District Court in Hot Springs.
According to court documents, on July 22, 2024, a Trooper with the Arkansas State Police attempted to make a traffic stop on Michael Fryar in Garland County. After the Trooper initiated his lights, Fryar fled in his vehicle and a pursuit ensued. After a short pursuit Fryar abandoned the vehicle and fled on foot into a wooded area. The Trooper pursued on foot and had to deploy his taser to get Fryar apprehended. At the time of the offense, Fryar was in possession of a loaded firearm with a round in the chamber and a distribution amount of methamphetamine. Fryar has an extensive criminal history and was on federal supervised release at the time of the offense.
The Arkansas State Police, 18th East Drug Task Force, Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney David Harris prosecuted the case for the United States.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov.Convicted Felon Charged with Possession of a FirearmRead the Press Release
PENSACOLA, FLORIDA – Jason Wayne Coleman, 41, of Pensacola, Florida, has been indicted in federal court for two counts of possession of a firearm by a convicted felon. John P. Heekin, United States Attorney for the Northern District of Florida, announced the charges.
Coleman appeared before United States Magistrate Judge Zachary C. Bolitho at the United States Courthouse in Pensacola, Florida on July 22, 2025.
Coleman faces a maximum of 15 years’ imprisonment for each count.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Escambia County Sheriff’s Office are investigating the case. Assistant United States Attorney Jessica S. Etherton is prosecuting the case.
An indictment is merely an allegation by a grand jury 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.
This case is part of Operation Take Back America (https://www.justice.gov/dag/media/1393746/dl?inline ) a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
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. 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.
Brevard County Man Sentenced to 15 Years in Federal Prison for Distributing Drugs While on Supervised ReleaseRead the Press Release
Orlando, Florida – Senior U.S. District Judge Roy B. Dalton, Jr. has sentenced Maurice Devantay Kimbrough (31, Cocoa) to 15 years in federal prison for distribution of controlled substances and violations of supervised release. Kimbrough pleaded guilty on April 21, 2025.
According to court documents, between October and December 2024, Kimbrough sold fentanyl, methamphetamine, and cocaine to a confidential source and undercover agent. During his arrest, Kimbrough was in possession of additional drugs. In total, Kimbrough was responsible for distributing and possessing nearly 1.5 kilograms of pure methamphetamine, over 80 grams of fentanyl, and over 10 grams of cocaine. At the time of this drug activity, Kimbrough was serving a four-year term of supervised release due to convictions for previous federal drug offenses.
This case was investigated by the Drug Enforcement Administration and the Brevard County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Megan Testerman.
Bloomfield Man Pleads Guilty to Sexual AbuseRead the Press Release
ALBUQUERQUE – A Bloomfield man faces up to life in prison after admitting in federal court to sexually abusing an incapacitated victim.
According to court records, between February 26 and February 27 of 2016, Donovan Pete, 44, an enrolled member of the Navajo Nation, engaged in and attempted to engage in a sexual act with an incapacitated victim.
Pete pleaded guilty to one count of sexual abuse. At sentencing, Pete faces up to life in prison. Upon his release from prison, Pete will be subject to not less than five years and up to life of supervised release and must register as a sex offender.
U.S. Attorney Ryan Ellison and Philip Russell, Acting Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Farmington Resident Agency of the Federal Bureau of Investigation’s Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and Navajo Department of Criminal Investigations. Assistant United States Attorney Brittany DuChaussee is prosecuting the case.
View the Plea Agreement (Pete).pdfBirmingham Man Sentenced to 36 Years in Prison on Gun and Drug ChargesRead the Press Release
BIRMINGHAM, Ala. – A federal judge has sentenced a Birmingham man for possessing a machine gun in furtherance of a drug trafficking crime and drug trafficking, announced U.S. Attorney Prim F. Escalona.
U.S. District Court Judge Madeline H. Haikala sentenced Frederick Leonard Temple, Jr., also known as “Cutt” and “Cutthroat,” 35, to 432 months in prison. In February, Temple was convicted by a jury of possession of a machine gun, two counts of distribution of fentanyl, possession with intent to distribute methamphetamine and fentanyl, and possession of a machine gun in furtherance of a drug-trafficking crime.
“This sentence sends a clear message that violent, criminal conduct like Defendant Temple’s will not be tolerated,” said U.S. Attorney Escalona. “I commend our law enforcement partners and prosecutors for their unwavering commitment to ensuring Temple was brought to justice.”
“Today’s sentencing illustrates the continuous commitment that the ATF shares with our state, local, and federal law-enforcement partners to combat the illegal possession of firearms, fight violent crime, and remove narcotics from the streets,” said ATF Special Acting Agent in Charge Jason Stankiewicz. “We will continue to utilize all of our resources in an effort to maintain public safety in the communities that we serve.”
According to evidence presented at trial, Temple distributed fentanyl on two separate occasions. On January 26, 2022, members of the Shelby County Drug Enforcement Task Force and officers from the Birmingham Police Department executed a search warrant at Temple’s residence. During the search, officers found drugs and firearms in a rear bedroom where an infant was located. The search of the residence resulted in the seizure of 14 firearms, including a Glock 9 mm pistol equipped with a machine gun-conversion device commonly referred to as a “Glock switch,” several high-capacity firearm magazines, including 100- and 50-round drum magazines, and a large amount of various ammunition, as well as fentanyl, methamphetamine, six digital scales of various sizes, and other drug paraphernalia.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case along with the Shelby County Sheriff’s Office and Birmingham Police Department. Assistant U.S. Attorneys Kristy M. Peoples and Alan Kirk prosecuted the case.
Billings man sentenced to 7 months in prison for passport fraudRead the Press Release
BILLINGS – An illegal alien who lived in Billings and assumed the identity of a U.S. citizen was sentenced today to approximately 7 months in prison to be followed by 3 years of supervised release, U.S. Attorney Kurt Alme said.
Diego Xiap, 48, pleaded guilty in January 2025 to one count of making a false statement in a passport application.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that on February 3, 2021, Xiap, claiming to be John Doe 1, submitted Form DS-11, Application for a U.S. Passport at the post office in Billings. For proof of identity, Xiap used a Montana driver license number that belonged to John Doe 1, issued May 8, 2020, which was set to expire on November 9, 2027. For proof of citizenship, Xiap submitted a birth certificate filed on November 9, 1976, and issued on May 1, 2003.
Xiap’s application was deemed suspicious and eventually referred to a Diplomatic Security Service (DSS) Special Agent for investigation. The Agent quickly determined that Xiap, who appeared to have been living under John Doe 1’s identity for approximately 30 years, was not actually John Doe 1. The real John Doe 1 was born in Puerto Rico and has lived there his entire life. There are photos of Doe 1 in government records in Puerto Rico and he bears no resemblance to Xiap. Another DSS agent in Puerto Rico talked to John Doe 1’s brother and showed him photos of Doe 1 and Xiap. Doe 1’s brother immediately identified Doe 1 and said he had no idea who Xiap was. Further investigation revealed an Oregon Work ID card issued in the 1990s that was used by Xiap, but bearing the name of yet another different person, John Doe 2.
On April 24, 2024, the DSS agent tracked down Xiap in Billings. Initially, Xiap fled from his job when the agent showed up, but the agent was able to find him at home. Xiap gave a statement insisting he was really John Doe 1 but had no knowledge of any of his relatives or history in Puerto Rico. Xiap then told the agent he might tell the real story but needed to speak to an attorney first. The interview was terminated.
Assistant U.S. Attorney Colin Rubich prosecuted the case. The investigation was conducted by the Diplomatic Security Service.
Billings man sentenced to 14 years in prison on drug and gun chargesRead the Press Release
BILLINGS – A Billings man who distributed drugs in the Billings area was sentenced today to 168 months in prison to be followed by 4 years of supervised release, U.S. Attorney Kurt Alme said.
Tirrell Lewis, 45, pleaded guilty in February 2025 to one count of possession with intent to distribute controlled substances and one count of prohibited person in possession of a firearm and ammunition.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that on November 3, 2023, law enforcement officers received a call that there were two gunshots in the vicinity of a residential address and the caller saw a gray Mustang leave the area very quickly. Officers spoke to the Lewis’s girlfriend on scene, and she said the sounds were fireworks. She also said she and Lewis were in a relationship and he had not been present at her residence. She allowed officers to look in her backyard where they found two spent rifle casings.
The caller told police Lewis had been at the residence and he and his girlfriend were arguing before the two gunshots and then the caller saw Lewis leave in the gray Mustang.
Later that evening officers located the Mustang. They attempted to stop the vehicle, but it fled a short distance before stopping in front of Lewis’s girlfriend’s residence. Lewis got out of the car and fled on foot behind the residence. He circled the house and ran right into an officer who then arrested him. When Lewis was taken into custody, he was found to have $6,216.18 on his person.
On November 13, 2023, a search warrant was executed on the Mustang. Inside were 4 firearms, 91 rounds of assorted ammunition, 7 ounces of fentanyl, and 9 ounces of methamphetamine. The drugs were located in a backpack in the trunk. The fentanyl was in 3 bags inside. One contained 50 pills, one contained 1,003, and one contained 814. The methamphetamine was in two zip lock baggies next to a scale and 23 clean baggies. There was a paystub for Lewis and one of the handguns under the backpack.
Lewis is prohibited from possessing firearms due to a previous federal conviction.
Assistant U.S. Attorney Thomas Godfrey prosecuted the case. The investigation was conducted by the Billings Police Department, ATF, and DEA.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn.
Badger, Iowa, Man Pleads Guilty to Possessing Child PornographyRead the Press Release
Kenneth Brown, 60, from Badger, Iowa, was convicted of one count of possession of child pornography, on July 22, 2025, in Sioux City federal court.
At the plea hearing, Brown admitted that from early May 2023, through April 3, 2024, he received and possessed child pornography. A CyberTip to law enforcement revealed 32 files of child pornography had been uploaded to the internet from Brown’s cell phone. During a forensic examination of Brown’s phone, 27 videos and 28 images of child pornography were found, some containing materials depicting sadistic and masochistic conduct as well as prepubescent children and toddlers.
Sentencing before United States District Court Judge Leonard T. Strand will be set after a presentence report is prepared. Brown remains in custody of the United States Marshal pending sentencing. Brown faces a possible maximum sentence of 20 years’ imprisonment, a $250,000 fine, and at least five years of supervised release following any imprisonment. There is no parole in the federal system.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The case was investigated by the Webster County Sheriff’s Office and is being prosecuted by Assistant United States Attorney Kraig R. Hamit.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 25-3013.
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Augusta Man Sentenced to 8 Years in Prison for Livestreaming Child Sexual Abuse MaterialRead the Press Release
BANGOR, Maine: An Augusta man was sentenced today in U.S. District Court in Bangor for distributing and possessing child sexual abuse material.
U.S. District Court Judge Stacy D. Neumann sentenced Nathaniel Gagne, 37, to 8 years in prison and 10 years of supervised release. He was also ordered to pay $23,000 in restitution.
According to court records, in April 2023, investigators from Homeland Security Investigations (HSI) and the Augusta Police Department began investigating the possible livestreaming of child sexual abuse material. The National Center for Missing and Exploited Children (NCMEC) had notified the Maine State Police Computer Crimes Unit (MSP CCU) that it had received a report through its CyberTipline that an Omegle user, later identified as Gagne, had uploaded a video file containing suspected child sexual abuse material. Omegle is an anonymous chat site where users are matched at random within topics and can communicate by text or video. The file reported by Omegle contained four images of a three- to four-year-old child being sexually abused.
During the execution of a search warrant at his Augusta home, Gagne admitted to viewing child sexual abuse material and sharing it on Omegle. Investigators seized two cell phones and an SD card during the investigation, recovering hundreds of images and videos.
HSI investigated the case with assistance from MSP CCU and the Augusta Police Department.
To report an incident involving the possession, distribution, receipt or production of child pornography: Child sexual abuse material – referred to in legal terms as "child pornography" – captures the sexual abuse and exploitation of children. These images document victims’ exploitation and abuse, and they suffer revictimization every time the images are viewed. In 2023, the National Center for Missing & Exploited Children received 36 million reports of the possession, manufacture, or distribution of child sexual abuse materials. To file a report with NCMEC, go to https://report.cybertip.org or call 1-800-843-5678. If you are in Maine and you or someone you know has been sexually assaulted or abused, you can get help by calling the free, private 24-hour statewide sexual assault helpline at 1-800-871-7741.
Project Safe Childhood: 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 U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, 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, visit https://www.justice.gov/usao-me/psc.
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Arizona Man Pleads Guilty to Sexual AbuseRead the Press Release
ALBUQUERQUE – A Phoenix man faces up to life in prison after admitting in federal court to sexually abusing a minor.
According to court records, in 2019, Jeremy Blueeyes, 26, an enrolled member of the Navajo Nation, engaged in sexual contact with a minor who had not yet attained the age of 12.
Blueeyes pleaded guilty to one count of abusive sexual contact of a minor. At sentencing, Blueeyes faces up to life in prison. Upon his release from prison, Blueeyes will be subject to not less than five years and up to life of supervised release and must register as a sex offender.
U.S. Attorney Ryan Ellison and Philip Russell, Acting Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and Navajo Nation Department of Criminal Investigations. Assistant U.S. Attorney Nicholas J. Marshall is prosecuting the case.
Ansonia Man Pleads Guilty to Fentanyl Trafficking Charge, Faces at Least 10 Years in Federal PrisonRead the Press Release
David X. Sullivan, United States Attorney for the District of Connecticut, announced that DAQWON GRAHAM, also known as “Seagull” and “Energy,” 31, of Ansonia, pleaded guilty today before U.S. District Judge Vernon D. Oliver in Hartford to a fentanyl trafficking offense.
According to court documents and statements made in court, the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force and Stamford Police Department identified Graham as a large-scale fentanyl distributor in and around Fairfield County. Investigators also connected Graham’s drug trafficking activities to an overdose death of a male victim in Branford in March 2023, and an overdose death of a female victim in Shelton in October 2024. In January and February 2025, investigators made multiple controlled purchases of fentanyl from Graham.
On February 26, 2025, Graham was arrested on High Ridge Road in Stamford. He possessed more than 400 grams of fentanyl at the time of his arrest.
Graham pleaded guilty to possession with intent to distribute 400 grams or more of fentanyl, an offense that carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life. Judge Oliver scheduled sentencing for October 16.
Graham has been detained since his arrest.
This matter has been investigated the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force. The Task Force includes personnel from the DEA Bridgeport Resident Office, the Connecticut State Police, and the Bridgeport, Danbury, Norwalk, Stamford, and Stratford Police Departments. The case is being prosecuted by Assistant U.S. Attorney Lauren C. Clark.
Alien Sentenced for False Representation of a Social Security Number and Illegal Re-entryRead the Press Release
United States Attorney Lesley A. Woods announced that Gregorio Pablo-Lares, age 38, a citizen of Guatemala who resided in West Point, Nebraska, was sentenced on July 18, 2025, in federal court in Omaha, Nebraska for false representation of a social security number with intent to deceive and reentry of a removed alien. Chief United States District Court Judge Robert F. Rossiter, Jr. sentenced Pablo-Lares to eight months’ imprisonment on each count, to be served concurrently. There is no parole in the federal system. After Pablo-Lares’s release from prison, he will begin a one-year term of supervised release.
To obtain employment at a business in Nebraska, Pablo-Lares used the name, date of birth and Social Security Number (SSN) of another person. As proof of identity, Pablo-Lares provided to the employer a phony state ID card and a phony Social Security Card. The Social Security Administration verified that the SSN Pablo-Lares used belongs to a real person. An order to remove Pablo-Lares from the United States was issued in 2018, and he had been removed from the United States to Guatemala on three occasions in 2018 and 2019. He thereafter re-entered the United States but did not obtain consent from the appropriate authority to re-apply for admission.
This case was investigated by Homeland Security Investigations.
63 months for leader of years-long human smuggling conspiracy operating across southern U.S.Read the Press Release
LAREDO, Texas – A 21-year-old Laredo resident has been sentenced to federal prison for exploiting social media, inclement weather and the Covid-19 pandemic to carry out a multi-year conspiracy to smuggle illegal aliens into the country, announced U.S. Attorney Nicholas J. Ganjei.
Juan Francisco Reyna, 21, pleaded guilty Jan. 8 to conspiring to transport and harbor illegal aliens within the United States.
U.S. District Judge Keith Ellison has now ordered Reyna to serve 63 months in federal prison to be immediately followed by one year of supervised release. The court held him responsible for more than 100 aliens and further imposed enhancements for unaccompanied minors, reckless endangerment and being a leader/organizer in the conspiracy.
“Over the past six months, the Department of Justice has made securing our national border the number one priority, and the Southern District is putting that promise into action,” said Ganjei. “Human smugglers may have had an easy time over the past few years, but those days are over. If you engage in these crimes, if you break our nation’s immigration laws, you will be caught and you will be punished. Simple as that.”
The investigation revealed Reyna had been involved in human smuggling for at least five years. Between 2019 and 2023, he was repeatedly caught attempting to move individuals through the I-35 Border Patrol (BP) checkpoint north of Laredo. Reyna was also linked to the operation of multiple stash houses in the Laredo area and one his family operated in San Antonio.
Reyna had recruited and paid others to harbor and transport aliens across the United States, including cities in Oklahoma, Arkansas, Georgia and Florida. He also hired co-conspirators to collect and return bulk cash proceeds after the individuals reached their final destinations.
Evidence on his cellphone contained information on dozens of illegal aliens, including photos, names, identifying details and countries of origin. Several were minors between the ages of 14 and 17. He had been coordinating transportation with co-conspirators in Mexico, moving aliens using tractor -trailers, box trucks, trains and even horse trailers.
Reyna had also used Facebook to coordinate smuggling operations for the organization, relying on the platform to recruit, manage and communicate with co-conspirators. He routinely paid “scout” drivers to monitor the I-35 checkpoint, report on traffic and weather conditions and recommend the safest lanes to use. Messages revealed Reyna deliberately scheduled smuggling runs during fog, storms, rain and cold temperatures to reduce the likelihood of detection.
During the COVID-19 pandemic, Reyna and co-conspirators advised drivers to claim they were enroute to medical appointments to expedite passage through checkpoints. He also designed walking routes through remote brush areas to bypass the checkpoints entirely. Load drivers were instructed to drop off individuals before the checkpoint, forcing them to walk four to five hours before being picked up on the other side.
The San Antonio stash house linked to Reyna had harbored more than 30 illegal aliens awaiting transport. In April 2023, law enforcement apprehended multiple illegal aliens at the location and seized over $56,000 in U.S. currency, 69,000 in Mexican pesos and ammunition.
He was ultimately arrested Nov. 7, 2024, after he had personally picked up suspected aliens at a warehouse in north Laredo. Authorities attempted to pull him over, but he soon led them on a nearly four-minute pursuit, recklessly weaving through traffic before stopping the vehicle, attempting to escape and ordering the passengers to flee on foot. Law enforcement apprehended him and five others, including an unaccompanied minor. All five were illegally present in the United States.
He has been and will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement – Homeland Security Investigations, BP, Texas Department of Public Safety, Drug Enforcement Administration, Customs and Border Protection, Department of Defense Border Mission, Webb County Precinct 2 Constable’s Office and police departments in Laredo and San Antonio conducted the joint investigation.
The case is the result of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation and coordinated efforts of Joint Task Force Alpha (JTFA).
OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach.
JTFA is a partnership with Department of Homeland Security. The Attorney General elevated and expanded it with a mandate to target cartels and transnational criminal organizations to eliminate human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, Honduras, Panama and Colombia that impact public safety and the security of our borders. JTFA currently comprises detailees from U.S. Attorneys’ Offices along the southwest border, including the Southern District of California, Districts of Arizona and New Mexico and Western and Southern Districts of Texas. Dedicated support is provided by the Justice Department’s Criminal Division, led by the Human Rights and Special Prosecutions Section and supported by the Money Laundering and Asset Recovery Section, Office of Enforcement Operations and the Office of International Affairs, among others. JTFA also relies on substantial law enforcement investment from DHS, FBI, DEA and other partners. To date, JTFA’s work has resulted in more than 390 domestic and international arrests of leaders, organizers and significant facilitators of alien smuggling, more than 350 U.S. convictions, more than 300 significant jail sentences imposed and forfeitures of substantial assets.
This case is also part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s OCDETF and Project Safe Neighborhood.
Assistant U.S. Attorney Jennifer Day prosecuted the case.
Tuesday 22 July 2025
‘We knocked her out with some gummies:’ trafficker sent to prison for conspiring to smuggle toddler from MexicoRead the Press Release
LAREDO, Texas – A 23-year-old Laredo woman has been ordered to prison for her role in an unaccompanied minor smuggling ring, announced U.S. Attorney Nicholas J. Ganjei.
Vanessa Valadez pleaded guilty Sept. 20, 2024, admitting she smuggled a child into the United States for financial gain.
U.S. District Judge Keith P. Ellison has now ordered her to serve 18 months in federal prison to be immediately followed by three years of supervised release.
“Those that choose to engage in the human trafficking business are not good people. They aren’t motivated by altruism or sympathy. They are paid to traffic in human beings, and they treat people they smuggle as nothing more than cargo,” said Ganjei. “The Southern District of Texas will not rest until all such smuggling rings—particularly those that deal in children—are completely eradicated.”
“The sentencing of this individual underscores the serious consequences for those who exploit and endanger vulnerable populations, especially children,” said Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) San Antonio Special Agent in Charge Craig S. Larrabee. “Drugging children to facilitate human smuggling is not only criminal it’s inhumane. HSI is committed to identifying and dismantling the criminal networks behind these horrific acts and ensuring those responsible are brought to justice.”
From August to September 2023, Valadez and other family members operated a child smuggling ring working to bring young illegal minors from Nuevo Laredo, Mexico, into the United States. All the children were under the age of five.
On the night of Sept. 19, 2023, members of the smuggling ring retrieved a young girl from a stash house which the organization members operated. The co-conspirators smuggled the girl across the border and delivered her to Valadez in downtown Laredo. Co-conspirators then took the child further into the United States and delivered her to unknown people.
Two days later, the ring attempted to transport another young girl. However, law enforcement intercepted them following a routine border inspection at the Juarez Lincoln Bridge in Laredo. To carry out their scheme, co-conspirators had sedated the girl with melatonin gummies and used an unlawfully obtained birth certificate to deceive authorities into believing the girl was a family member.
The investigation revealed the smuggling ring had attempted to similarly transport at least four girls into the United States, three of whom remain unidentified and their whereabouts are unknown. Members of the smuggling ring obtained birth certificates of U.S. citizen children to pose as a family unit at ports of entry to the United States. At times, organization members used melatonin gummies to sedate at least one child to ensure a successful smuggling attempt.
One text message uncovered in the investigation showed an image depicting an unconscious child and a caption, “La noquiamos con unas gomitas,” translated in English as “we knocked her out with some gummies.”
Co-conspirators Ana Laura Bryand, 47, Dallas; her niece Kayla Marie Bryand, 20, Jose Eduardo Bryand, 43, and Nancy Guadalupe Bryand, 44, all of Laredo; and Lizeth Esmeralda Bryand Arredondo, 32, Mexico, previously pleaded guilty and have all already been sentenced to federal prison.
ICE-HSI conducted the investigation with Customs and Border Protection’s Office of Field Operations and assistance from Border Patrol, Laredo Police Department, Department of Health and Human Services - Office of the Inspector General and FBI. Assistant U.S. Attorney Michael Makens and former Special Assistant U.S. Attorney Terence A. Check Jr. prosecuted the case.
Zuni Man Charged in Unprovoked Stabbing That Left Victim Seriously InjuredRead the Press Release
ALBUQUERQUE – A Zuni man has been charged in federal court for allegedly stabbing another man without provocation, causing serious injuries.
According to court documents, on the night of June 16, 2025, Adrian Cheama, 36, an enrolled member of the Zuni Pueblo, allegedly approached the victim while he was walking with a friend along a residential street in Zuni, New Mexico. Without provocation, Cheama stabbed the victim in the abdomen with a weapon described as either a circular metal pole or a knife, then walked away laughing. The victim sustained serious injuries as a result.
Multiple witnesses placed Cheama at the scene and described him carrying a backpack and a baton-like object before and during the attack. The investigation revealed that Cheama had previously made statements suggesting he was looking for the victim.
Cheama is charged with assault resulting in serious bodily injury and assault with a dangerous weapon. He will remain in custody pending trial, which has not yet been scheduled. If convicted of the current charges, Cheama faces up to 10 years in prison.
U.S. Attorney Ryan Ellison and Philip Russell, Acting Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Gallup Resident Agency of the Federal Bureau of Investigation’s Albuquerque Field Office investigated this case with assistance from the Zuni Police Department. Assistant U.S. Attorney Aaron Jordan is prosecuting the case.
A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Woman Who Distributed Fentanyl Resulting in Death Sentenced to Fourteen Years in Federal PrisonRead the Press Release
A woman who sold fentanyl in Dubuque, Iowa, was sentenced today to fourteen years in federal prison. Jessica Lee Erickson, age 44, from Daytona Beach, Florida, received the prison term after a January 2, 2025 guilty plea to one count of distribution of a controlled substance resulting in death.
Starting in or about May 2024, Erickson began providing a mixture or substance containing fentanyl to the victim. On June 15, 2024, Erickson distributed a mixture or substance containing fentanyl to the victim at a home in Dubuque, Iowa. On that same day, the victim used the fentanyl that had been provided by Erickson and died.
Erickson was sentenced in Cedar Rapids by United States District Court Chief Judge C.J. Williams. Erickson was sentenced to 168 months’ imprisonment. She must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system. Erickson is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Nicole L. Nagin, and it was investigated by the Dubuque Drug Task Force.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 24-CR- 01033.
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Wetzel County Man Admits to Child Pornography ChargeRead the Press Release
WHEELING, WEST VIRGINIA – Robert Lee Lemasters, 61, of Paden City, West Virginia, has admitted to the possession of child pornography.
According to court documents and police records, law enforcement received a tip that Lemasters had child pornography on his cell phone. A search of Lemasters’ phone uncovered hundreds of images and videos depicting children in sexual situations.
Lemasters faces up to 20 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorney Jennifer Conklin is prosecuting the case on behalf of the government.
The Federal Bureau of Investigation and the United States Probation Office investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Washington Hunting Guide and Outfitting Company Enter Guilty Pleas to Lacey Act CrimeRead the Press Release
Branden Trager of Brush Prairie, Washington, and his guiding company Mayhem Services LLC pleaded guilty yesterday in federal court in Tacoma to violating the Lacey Act.
In pleading guilty, Trager admitted he and Mayhem Services violated the Migratory Bird Treaty Act (MBTA) during a January 2023 hunting trip in western Washington and then transported the taken birds in violation of the Lacey Act. Enacted 125 years ago, the Lacey Act protects the nations wildlife resources by prohibiting wildlife violations that cross state or international borders. Trager also acknowledged that in 2022 he brought hunters into British Columbia, Canada, where he guided waterfowl hunting trips targeting the harlequin duck. He could not operate as a hunting guide under Canadian law.
The harlequin duck (Histrionicus histrionicus) is a small sea duck with a habitat ranging from Alaska to California. Hunters prize the harlequin as a trophy and as part of a challenge to hunt 41 North American waterfowl species. Washington closed harlequin hunting for the 2022-2023 season, but limited hunting remained open in British Columbia.
According to plea agreements filed in court, the recommended fines are $100,000 for Trager and $75,000 for Mayhem Services. The parties also agreed to recommend that the court order the defendants to make a public statement expressing contrition and emphasizing the importance of hunting, guiding, and wildlife regulations. Sentencing is scheduled for Oct. 16.
According to a Joint Factual Statement filed in court, the MBTA prohibits, among other things, taking migratory birds using a motor vehicle; taking migratory birds by using a vehicle to concentrate, drive, or rally them; taking migratory birds in excess of daily bag limits; taking or crippling a migratory bird and not make reasonable efforts to retrieve it; and transporting taken migratory birds belonging to another individual without tagging them. Taking includes pursuing, hunting, shooting, wounding, killing, trapping, capturing, or collecting.
The Lacey Act is the nation’s oldest wildlife trafficking law. It prohibits, among other things, transporting wildlife that had been illegally taken under federal, state, tribal or foreign law. The MBTA is a U.S. law that implemented treaties with Canada and other nations to ensure sustainable populations of migratory birds.
Acting Assistant Attorney General Adam Gustafson of the Justice Department’s Environment and Natural Resources Division made the announcement.
The U.S. Fish and Wildlife Service Office of Law Enforcement led the investigation along with Homeland Security Investigations, British Columbia Conservation Officer Service, and the Washington Department of Fish & Wildlife.
Senior Trial Attorney Ryan Connors and Trial Attorney Sarah Brown of the Justice Department’s Environmental Crimes Section prosecuted the case with assistance from the U.S. Attorney’s Office for the Western District of Washington.
Harlequin duck in Oregon. Photo credit Peter Pearsall, U.S. Fish and Wildlife Service. Reference photo only.Utah Man Pleads Guilty in Making Threats Against Palestinian Rights OrganizationRead the Press Release
WASHINGTON – Kevin Brent Buchanan, 63, of Tooele, Utah, pleaded guilty yesterday in the District of Columbia in connection with threatening violence against the employees of a D.C.-based Palestinian rights organization, announced U.S. Attorney Jeanine Ferris Pirro.
Buchanan pleaded guilty to a one-count information charging him with transmitting in interstate commerce a communication containing a threat to injure the person of another. U.S. District Court Judge Colleen Kollar-Kotelly scheduled a sentencing hearing for November 18, 2025. Buchanan faces a maximum of five years in prison and a fine of up to $250,000.
Joining in the announcement were Assistant Attorney General Harmeet Dhillon of the Justice Department’s Civil Rights Division and FBI Assistant Director in Charge Steven J. Jensen of the Washington Field Office.
According to court documents, between Oct. 31, 2023, and Nov. 2, 2023, Buchanan used his cell phone to call and leave five voice mail messages for members of the organization. In his November 2 message, Buchanan stated in part: “Your families are going to be followed and watched;” “You don’t even belong in America;” “I hope every Muslim in the United States [expletive] croaks;” and “You are all going to [expletive] die, you pieces of [expletive] traitors.”
Buchanan admitted that he intentionally targeted the organization because its staff and members are Palestinian, and because the organization advocates on behalf of Palestinians.
The FBI Washington Field Office investigated the case. Valuable assistance was provided by FBI Salt Lake City and the United States Attorney's Office for the District of Utah. Prosecuting the case are Assistant U.S. Attorneys Timothy Visser and Joshua Gold for the District of Columbia and Trial Attorney Sanjay Patel of the Department of Justice Civil Rights Division’s Criminal Section.
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United States Unseals Civil Action Filed Against Approximately $2M in Digital Currency Involved in Hamas FundraisingRead the Press Release
The Justice Department and the U.S. Attorney’s Office for the District of Columbia today announced the unsealing of a civil forfeiture action against approximately $2 million dollars in digital currency connected with Buy Cash Money and Money Transfer Company (BuyCash), a Gaza-based money transfer business that was involved in financially supporting Hamas – a designated Foreign Terrorist Organization (FTO) – as well as its agents and collaborators.
“Terrorist organizations like Hamas and their affiliates rely on shadowy financial networks to fund their deadly operations,” said Attorney General Pamela Bondi. “By seizing millions in cryptocurrency, the Justice Department is aggressively dismantling the financial infrastructure of terrorism and refusing to allow our digital currency platforms to become safe havens for terrorist financing.”
“It is essential to disrupt the flow of money to terrorist organizations like Hamas which enables their lethal activities,” said FBI Director Kash Patel. “Our message is that terrorists cannot hide behind digital currency to bankroll their operations. The FBI and our partners will continue our efforts to cut off the flow of money and - most importantly - stop the violence committed by Hamas and their affiliates.”
“The forfeiture action executed today is an example of how diligently our office works to prevent any actions from taking place that support foreign terrorist organizations,” said U.S. Attorney Jeanine Ferris Pirro for the District of Columbia. “Our partnership with other law enforcement agencies strengthens us to uphold the safety of the American people from entities that threaten the security of our citizens.”
“The forfeiture action unsealed today demonstrates that no matter what lengths terrorism financers take to obscure their illegal transactions, the FBI will aggressively disrupt the transmission of illicit proceeds intended to support designated terrorist organizations like Hamas,” said Assistant Director in Charge Steven J. Jensen of the FBI Washington Field Office.
BuyCash, and one of its owners, Ahmed M. M. Alaqad, have been suspected of supporting various terrorist organizations including Hamas, ISIS, Al-Qaida affiliates and others. After the October 2023 attacks on Israel, BuyCash and Alaqad were designated as having materially supported Hamas under Executive Order 13224 by the U.S. Department of Treasury Office of Foreign Asset Control (OFAC). Since 2017, BuyCash and Alaqad have supported several foreign terrorist organizations. In 2017, BuyCash was used for the procurement of large quantities of online infrastructure on behalf of ISIS. In September 2019, BuyCash was used to receive funds from a known Al-Qaida affiliate. In 2019, law enforcement identified various instances where BuyCash, with the direct support of Alaqad, directly aided in the transfer of fiat currency to known individuals and entities in support of Hamas. In June 2021, Israel’s National Bureau for Counter Terrorist Financing seized various digital currency accounts connected to Hamas and the Izz-al-Din Qassam Brigades, including one involving BuyCash.
The complaint describes a detailed scheme whereby users utilized BuyCash to fund accounts at Binance and to fund unhosted wallet addresses containing USDT (or Tether) to obfuscate their financial support of international terrorist organizations, including Hamas. Before and after the October 2023 attacks, one account was reported to have received at least $4 million to support Hamas.
The government’s forfeiture action targets funds previously seized via Tether and Binance connected to BuyCash and removed approximately $2 million dollars from streams of funds supporting international terrorism.
A civil forfeiture complaint contains mere allegations. The burden to prove forfeitability in a civil forfeiture proceeding is upon the government.
The FBI Washington D.C. Field Office is investigating the case. The Department of Justice would like to acknowledge Tether for its assistance in effectuating the transfer of these assets.
Assistant U.S. Attorneys Rajbir S. Datta and Thomas Saunders for the District of Columbia are prosecuting the case with assistance from Trial Attorney Allison Ickovic of the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS) and Deputy Chief Alicia Cook of the National Security Division. Critical assistance was provided by Paralegal Specialists Brian Rickers, Gina Torres, and the Department of Justice’s Office of International Affairs.
United States Reaches $501,556 Civil Settlement Resolving Allegations of False Claims to Federal Health Care ProgramsRead the Press Release
ST. LOUIS – Acting U.S. Attorney Matthew T. Drake on Tuesday announced that the U.S. Attorney’s Office for the Eastern District of Missouri and a Missouri psychiatrist have reached a $501,556 civil settlement that will resolve False Claims Act (FCA) allegations.
The settlement resolves allegations that from Jan. 1, 2019, through May 31, 2024, Dr. Mohd Azfar Malik falsely indicated to both Medicare and Missouri Medicaid that he provided face-to-face psychotherapy to patients, including by submitting false claims for payment when he was out of town and for services that were provided by other practitioners. Dr. Malik was part-owner of Behavioral Health Services, LLC which owned and operated Psych Care Consultants in St. Louis, Missouri.
The settlement consists of $250,778 in restitution, which is doubled under the FCA.
The civil settlement contains no admission of liability. In April of 2025, Dr. Malik pleaded guilty to making false statement in federal health care related matters and admitted submitting claims for payment to Medicare, Medicaid and private health insurers in which he falsely claimed to have performed in-person services when he was out of Missouri or out of the country. He is scheduled to be sentenced on August 11.“Holding health care professionals accountable for submitting false claims for financial gain is crucial for maintaining public trust and ensuring that critical resources are appropriately utilized,” said Linda T. Hanley, Special Agent in Charge with the United States Department of Health and Human Services Office of Inspector General (HHS-OIG). “HHS-OIG, the U.S. Attorney’s Office, and our law enforcement partners will continue to collaborate our efforts to protect the integrity of the Medicare and Medicaid programs.”
This civil settlement was a result of the combined work of the U.S. Attorney’s Office for the Eastern District of Missouri, HHS/OIG Office of Investigations, the Missouri Attorney General’s Medicaid Fraud Control Unit, and the Federal Bureau of Investigation.U.S. commences civil action to forfeit $7.1 million in cryptocurrency tied to oil and gas storage fraud schemeRead the Press Release
Seattle – The U.S. Attorney’s Office, Western District of Washington today filed a civil action seeking the forfeiture of cryptocurrency valued at approximately $7.1 million seized in the investigation of an oil and gas related investment fraud scheme, announced Acting U.S. Attorney Teal Luthy Miller. The funds, part of some $97 million taken in by the coconspirators between June 2022 and July 2024, was seized by Homeland Security Investigations in December 2024.
“The co-schemers in this fraud moved their ill-gotten gain through various cryptocurrency accounts to try to launder the money stolen from victims,” said Acting U.S. Attorney Miller. “Federal investigators and prosecutors in our office moved as quickly as possible to trace and seize the cryptocurrency so that some of the losses can be returned to victims.”
According to the forfeiture filing and other records in the case, from at least August 2022 through August 2024, the co-schemers convinced victims to send money to what was represented as escrow accounts to purchase oil tank storage in either Rotterdam, Netherlands, or Houston. The schemers indicated that the investors could make significant profits by renting the oil tank storage they obtained to others. The victims sent money to accounts linked to these entities: Sea Forest International LLC; Apex Oil and Gas Trading LLC; Navigator Energy Logistics LLC; Terminal Energy International Escrow Service LLC; Energo Horizons Logistics (EA) LLC; Legacy Energy Logistics Transport Group LLC; Green Tree Gateway LLC. However once victims sent their money, they were not sent any further information on their investment and co-schemers simply stopped responding.
Newcastle, Washington resident Geoffrey K. Auyeung, 47, was indicted in August 2024 as the coconspirator in the U.S. who is charged with receiving much of the fraud proceeds generated by the fraud scheme. The money was quickly moved to one or more of at least 81 different accounts at financial institutions, moved offshore, or moved to one or more of at least 19 different cryptocurrency accounts, where it was used for the purchase of cryptocurrencies, including Bitcoin, Tether, USD Coin, and Ethereum. Much of the cryptocurrency was further transferred to accounts at the cryptocurrency exchange Binance.
According to the forfeiture filing, the cryptocurrency accounts that were seized were linked to individuals in Russia and Nigeria. Some of the cryptocurrency purchased with victims’ funds was also sent to cryptocurrency exchanges in Russia and Nigeria, at least one of which is alleged to have facilitated money laundering for transnational criminal organizations – including terrorist organizations and organizations that violate international trade sanctions.
At the time of Auyeung’s arrest and indictment, some $2.3 million was seized from his bank accounts. The $7.1 million in cryptocurrency the government is seeking to forfeit is in addition to the $2.3 million.
Should the court approve the forfeiture the money will be distributed to victims in the case. Currently. Investigators have identified dozens of victims who were defrauded out of approximately $17.9 million. Investigators believe those numbers will continue to grow as more victims are identified and verified.
The case is being investigated by HSI.
The case is being prosecuted by Assistant United States Attorneys Jehiel Baer and Yunah Chung.
U.S. Files Forfeiture Action Against $2 Million in Digital Currency Involved in Hamas FundraisingRead the Press Release
WASHINGTON -- The Justice Department and the U.S. Attorney’s Office for the District of Columbia today announced the unsealing of a civil forfeiture action against approximately $2 million in digital currency connected to Buy Cash Money and Money Transfer Company, a Gaza-based money transfer business that was involved in financially supporting Hamas, a designated foreign terrorist organization (FTO), as well as its agents and collaborators.
The forfeiture action was announced by U.S. Attorney Jeanine Ferris Pirro, Attorney General Pamela Bondi, and FBI Assistant Director in Charge Steven J. Jensen of the Washington Field Office.
“The forfeiture actions executed today is an example of how diligently our office works to prevent any actions from taking place that support foreign terrorist organizations,” said U.S. Attorney Pirro. “Our partnership with other law enforcement agencies strengthens us to uphold the safety of the American people from entities that threaten the security of our citizens.”
“Terrorist organizations like Hamas and their affiliates rely on shadowy financial networks to fund their deadly operations,” said Attorney General Bondi. “By seizing millions in cryptocurrency, the Justice Department is aggressively dismantling the financial infrastructure of terrorism and refusing to allow our digital currency platforms to become safe havens for terrorist financing.”
“It is essential to disrupt the flow of money to terrorist organizations like Hamas which enables their lethal activities,” said FBI Director Kash Patel. “Our message is that terrorists cannot hide behind digital currency to bankroll their operations. The FBI and our partners will continue our efforts to cut off the flow of money and - most importantly - stop the violence committed by Hamas and their affiliates.”
“This forfeiture action demonstrates that no matter what lengths terrorism financers take to obscure their illegal transactions, the FBI will aggressively disrupt the transmission of illicit proceeds intended to support designated terrorist organizations like Hamas," said the FBI’s Jensen.
BuyCash, and one of its owners, Ahmed M. M. Alaqad, have been suspected of supporting various terrorist organizations including Hamas, ISIS, Al-Qaida affiliates and others. After the October 7, 2023, attacks, BuyCash and Alaqad were designated as having materially supported Hamas, by the Office of Foreign Asset Control under Executive Order 13224.
Since 2017, BuyCash and Alaqad have supported various foreign terrorist organizations. In 2017, BuyCash was used for the procurement of large quantities of online infrastructure on behalf of ISIS. In September 2019, BuyCash was used to receive funds from a known Al-Qaida affiliate. In 2019, law enforcement identified various instances where BuyCash, with the direct support of Alaqad, directly aided in the transfer of fiat currency to known individuals and entities in support of Hamas. In June 2021, Israel’s National Bureau for Counter Terrorist Financing seized various digital currency accounts connected to Hamas and the Izz-al-Din Qassam Brigades including one involving BuyCash.
The complaint describes a scheme in which various users across the world used BuyCash to fund accounts at Binance and to fund unhosted wallet addresses containing USDT (or Tether) to obfuscate their financial support of various international terrorist organizations including Hamas. Before and after the October 2023 attacks, one account was reported to have received at least $4 million to support Hamas.
The government’s forfeiture action targets funds previously seized via Tether and Binance connected to BuyCash and removed approximately $2 million dollars from streams of funds supporting international terrorism.
The civil forfeiture complaint is merely a set of allegations. It is the government’s burden to prove forfeitability in a civil forfeiture proceeding.
The FBI Washington D.C. Field Office is investigating the case. The Department of Justice would like to acknowledge Tether for its assistance in effectuating the transfer of these assets.
This case is being prosecuted by Assistant U.S. Attorneys Rajbir S. Datta and Thomas N. Saunders with assistance from Trial Attorney Allison Ickovic of the Money Laundering and Asset Recovery Section and Deputy Chief Alicia Cook of the National Security Division. Critical assistance was provided by Paralegal Specialists Brian Rickers, Gina Torres, and the Department of Justice’s Office of International Affairs.
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U.S. Attorney's Office Forfeited and Returned More Than $37 Million to Crime VictimsRead the Press Release
LAS VEGAS – United States Attorney Sigal Chattah for the District of Nevada announced today that, from October 1, 2024, to July 16, 2025, more than $37 million was forfeited through asset forfeiture actions and returned to victims of crime. Funds forfeited and deposited into the Department of Justice Assets Forfeiture Fund may be used to compensate victims and restore losses caused by criminal conduct.
A total of $37,236,606.37 was forfeited and of this amount:
- In December 2024, a victim received $3,443,286.03.
- In April 2025, the Small Business Administration received $531,308.46 of the fraudulently obtained Paycheck Protection Program (PPP) loans.
- In May 2025, the Small Business Administration received $1,068,123.94 of the fraudulently obtained PPP loans.
- In July 2025, a victim received $32,193,787.94.
“The Asset Forfeiture and Financial Litigation Units of the U.S. Attorney’s Office, in coordination with our law enforcement partners and the Department of Justice’s Money Laundering and Asset Recovery Section, worked diligently to forfeit these funds and return them to victims,” said U.S. Attorney Chattah. “Our office remains committed to holding offenders financially accountable and to restoring victims. I commend the exceptional efforts of our Asset Forfeiture Unit and professional staff in pursuing justice and upholding the rule of law.”
“The successful return of these funds is due to the coordinated efforts of the FBI, local law enforcement, and the US Attorney's office,” said Special Agent in Charge Amir Ehsaei for the FBI Las Vegas Division. “This serves as an important reminder of our unwavering commitment to pursuing justice for victims and their families. Forfeiting ill-gotten gains removes financial resources from criminals and serves as a powerful tool to restore victims. It is highly recommended to report scams and frauds promptly.”
“IRS Criminal Investigation’s Phoenix Field Office is proud to see our special agents’ hard work result in the recovery of millions in stolen COVID relief funds and real, tangible justice for victims of other financial crimes,” said Special Agent in Charge Carissa Messick, IRS Criminal Investigation (IRS-CI) Phoenix Field Office. “Financial crime can be devastating to victims. That’s why it’s crucial for our agency to continue uncovering such crimes through the leveraging of our financial expertise and investigative techniques. IRS-CI exists to protect American taxpayers and ensure the integrity of our tax system, and these figures today are just a portion of the amazing results we are seeing throughout the nation.”
The PPP is one of two programs that was developed through the Coronavirus Aid, Relief, and Economic Security (CARES) Act. PPP provides funding to businesses through loans for payroll costs, interest on mortgages, rent and utilities. PPP allows the interest and principal on loans to be forgiven if the business spends proceeds on certain expense items within a designated time and uses a certain percentage of the loan on payroll expenses.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice's National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form.
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Timothy VerHey Appointed United States Attorney for the Western District of MichiganRead the Press Release
He was appointed by Attorney General Pam Bondi and sworn in on July 21, 2025
GRAND RAPIDS, MICHIGAN − The United States Attorney’s Office for the Western District of Michigan announced today that Timothy VerHey has been appointed to serve as the United States Attorney for the Western District of Michigan. On July 21, 2025, United States Attorney General Pam Bondi appointed VerHey to serve as Interim United States Attorney. He was formally sworn in by Chief United States District Court Judge Hala Y. Jarbou.
As U.S. Attorney, VerHey will serve as the chief federal law enforcement officer representing the United States in all federal criminal and civil litigation in the Western District of Michigan. The district encompasses 1.6 million people and covers the western half of the lower peninsula and all the upper peninsula of the State. He leads a staff of approximately 70 prosecutors, civil litigators and support staff.
VerHey has been a federal prosecutor in Grand Rapids for nearly 35 years, where he has prosecuted all manner of crimes ranging from international fraud, domestic terrorism, capital murder, drug offenses, child sex offenses and violent crime. After graduating with honors from the University of Notre Dame Law School, he clerked for the Honorable Harry W. Wellford, U.S. Court of Appeals for the Sixth Circuit. After two years as an attorney at the Grand Rapids law firm Warner, Norcross & Judd, VerHey joined the U.S. Attorney’s Office in 1990. The Justice Department has recognized him more than once for superior performance as a prosecutor, and he is frequently asked to train the nation’s federal prosecutors in trial skills.
VerHey said, “I am honored that Attorney General Bondi has asked me to serve as the U.S. Attorney for this district. The people of West Michigan expect that I and the members of this office will apply federal law in a fair and effective manner, and that is exactly what we will do.”
Three Syracuse Men Plead Guilty to Possessing and Selling FirearmsRead the Press Release
UTICA, NEW YORK –Erik Burch, age 30, Khalid Richardson, age 30, and Lamar Stanford, age 33, each of Syracuse, have each pled guilty for their respective roles in a firearms trafficking operation. Burch pled guilty last week to the unlawful sale of a firearm to a prohibited person; Richardson pled guilty to possession of a firearm by a prohibited person on June 4, 2025; and Stanford pled guilty to possession of a firearm by a prohibited person on April 30, 2025. Acting United States Attorney John A. Sarcone III and Bryan Miller, Special Agent in Charge of the New York Field Division of the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), made the announcement.
Richardson admitted that he sold firearms to an individual whom he knew to be a felon on four separate occasions in 2022. He further admitted that he obtained firearms on two of those occasions from his co-defendants, Stanford and Burch. Stanford and Burch each admitted to possessing firearms on the dates of the firearm sales that they engaged in with Richardson. Stanford and Burch were each prohibited from possessing firearms based on prior felony convictions.
Acting United States Attorney John Sarcone stated, “If you sell firearms to felons, be ready to spend a long time in federal prison. We will not tolerate felons buying, selling, or possessing firearms in the Northern District of New York. We will use all of the tools at our disposal to make sure these people are prosecuted to the fullest extent of the law.”
ATF Special Agent in Charge Bryan Miller stated: “This case underscores the serious threat that illegal firearms trafficking pose to our communities. These defendants — including two convicted felons — were involved in trafficking firearms, a crime that puts lives at risk and undermines the safety of our communities. Thanks to the diligent work of ATF NY Syracuse, in coordination with the Syracuse Police Department and the U.S. Attorney’s Office for the Northern District of New York, we were able to disrupt this operation and hold these individuals accountable. We remain committed to working alongside our law enforcement partners to stem schemes that fuel violent crime.”The charges filed against Burch, Richardson, and Stanford carry a maximum term of 15 years in prison, a maximum fine of $250,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statutes the defendant is convicted of violating, the U.S. Sentencing Guidelines, and other factors. Burch is scheduled to be sentenced on November 12, 2025; Richardson is scheduled to be sentenced on October 15, 2025; and Stanford is scheduled to be sentenced on August 27, 2025. The defendants will appear for sentencing before Senior United States District Judge David N. Hurd.
ATF investigated the case with assistance from the Syracuse Police Department’s Intelligence Unit. Assistant U.S. Attorney Jessica N. Carbone is prosecuting the case as part of Project Safe Neighborhoods.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn.
Three Phoenix-Area Men Sentenced to Prison for Telemarketing Fraud SchemeRead the Press Release
PHOENIX, Ariz. – Brian Hopkins, 62, of Chandler, Arizona, was sentenced on July 16, by Senior United States District Court Judge David G. Campbell to 21 months in prison and ordered to pay more than $1.8 million in restitution. Hopkins previously pleaded guilty to mail fraud, conspiring to defraud the United States, and false statement on a tax return. Hopkins is the third co-conspirator to be sentenced in connection with a telemarketing fraud scheme that stole millions of dollars from more than a thousand victims across the country.
Two of Hopkins’ co-conspirators were also sentenced over the last year. Richard Kuhlmann, Jr., 58, of Tempe, Arizona, was sentenced on May 30, 2025, by United States District Court Judge Susan M. Brnovich, to 42 months in prison and ordered to pay $2,140,231 in restitution. Kuhlmann previously pleaded guilty to conspiring to defraud the United States, mail fraud, and transactional money laundering.
David Bartlett, 54, of Scottsdale, Arizona, was sentenced on November 24, 2024, by United States District Court Judge Michael T. Liburdi to 24 months in prison and ordered to pay more than $500,000 in restitution. Barlettt previously pleaded guilty to Mail Fraud.
Kuhlmann and Hopkins owned and operated an Arizona-based telemarketing company that went by various names, including GTT Financial. GTT Financial called potential customers, offering to help reduce their credit card interest rates. Individuals who used GTT Financial’s services to successfully lower their interest rates were then targeted by the fraud scheme. GTT Financial employees, including Bartlett, told victim-customers they could purchase a “sales lead” for $1 and that each “sales lead” represented another potential customer for GTT Financial’s credit card debt service. Victim-customers were promised a portion of any fees paid to GTT from each sales lead and told they would receive a significant return on their investment.
In reality, there was no “sales lead” investment opportunity and money from the victim-customers went to the co-conspirators and other employees of GTT Financial. In total, between 2014 and 2019, the co-conspirators raised more than $10 million for the fictious “sales lead” investment from more than a thousand victim-customers across the United States.
The IRS Criminal Investigation Phoenix Field Office conducted the investigation in this case. Assistant U.S. Attorneys Raymond Woo and Matthew Doyle, District of Arizona, handled the prosecution.
CASE NUMBERS: CR-22-00221-PHX-DGC; CR-22-00276-PHX-SMB; CR-22-00562-PHX-MTL
RELEASE NUMBER: 2025-125_Hopkins# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.