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Monday 25 January 2016
Columbus Man Convicted for Attempted Carjacking at GunpointRead the Press Release
Darius Harbin, age 21, of Columbus, Georgia was convicted following a week-long jury trial on January 25, 2016, for attempted carjacking and brandishing a firearm during a crime of violence. Following his conviction for these offences, Mr. Harbin then entered a guilty plea for possession of a firearm by a convicted felon in connection with the same incident. The Honorable Clay D. Land, United States District Court judge for the Middle District of Georgia presided over the trial in Columbus.
On May 24, 2014, after getting off work, the victim pulled into a gas station about 3 a.m. While pumping gas, he was accosted by Mr. Harbin at gunpoint. The victim was instructed to remove his hand from his pocket as well as the gas pump from his vehicle. Mr. Harbin told the victim he would shoot him in the head if he did not comply. The victim managed to wrestle the gun from Mr. Harbin during an almost eight minute struggle which ensued before the police arrived.
Sentencing is scheduled for June 21, 2016 at 3:30 p.m. in Columbus. Mr. Harbin is facing up to life imprisonment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Columbus Police Department. Assistant United States Attorney Crawford Seals is prosecuting the case on behalf of the Government.
Inquiries regarding this case should be directed to Pamela Lightsey, United States Attorney’s Office at (478) 621-2603.
California Man Sentenced to Prison for Money Laundering and Conspiracy to Distribute MethamphetamineRead the Press Release
COUNCIL BLUFFS, IA – On January 19, 2016, Michael Arnold Ramirez, 32, of Los Angeles, California, was sentenced by Senior United States District Court Judge James E. Gritzner to 147 months in prison for conspiring to distribute methamphetamine and money laundering to conceal drug proceeds, announced Acting United States Attorney Kevin E. VanderSchel.
According to Ramirez’s plea agreement, Ramirez was involved in a conspiracy to distribute methamphetamine in the Southern District of Iowa. As part of the conspiracy, in April of 2015, Ramirez traveled from California to Iowa for the purpose of transporting drug proceeds back to California. Ramirez also concealed the drug proceeds in order to disguise the location and source of the proceeds of the drug conspiracy.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Iowa Division of Narcotics Enforcement. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Broward Resident Arrested in Connection with Jamaica Based Lottery ScamRead the Press Release
A Broward County resident was arrested and charged in a criminal complaint in connection with a Jamaica based lottery scam.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Delany De-Leon Colon, Acting Inspector in Charge, U.S. Postal Inspection Service (USPIS), Miami Division, announce the arrest of Delroy Drummond, 25, of Broward County, for his role in a Jamaica based telemarketing fraud scheme. Drummond had his initial appearance today in federal court and his pre-trial detention hearing is scheduled on Thursday, January 28, 2016 at 10:30 a.m. before U.S. Magistrate Judge Lurana S. Snow.
More specifically, the complaint charges Drummond with mail fraud, in violation of Title 18, United States Code, Section 1341, and wire fraud, in violation of Title 18, United States Code, Section 1343. If convicted, Drummond faces a maximum statutory sentence of twenty years in prison.
According to the criminal complaint, beginning in or about April 2015, Drummond’s co-conspirators are alleged to have contacted elderly victims in the United States and falsely informed them that they had won a lottery. According to the complaint, the co-conspirators told victims they had to pay several thousand dollars in taxes and fees in order to collect their purported lottery winnings. The co-conspirators then allegedly instructed the victims on how to send this money, and to whom, including to Drummond.
In September 2013, Drummond was contacted in Miami, Florida, by law enforcement regarding a package, which was sent through the mail, containing money from a victim of this fraud. At that time, Drummond was confronted with the fact that he was participating in a lottery fraud scheme and was warned by law enforcement to stop receiving money from victims of telemarketing fraud.
In April 2015, Drummond obtained money wired to him under a fictitious name from a victim who was falsely told they had won a $2.5 million lottery prize. Drummond, according to the criminal complaint, further used a fraudulent identification in order to receive these funds. Moreover, in May 2015, Drummond obtained money wired to him under a fictitious name from another victim who was falsely informed they had won a lottery prize. After receiving the money, Drummond was approached by a police officer and fled through the inside of the retail store, pushing carts and an individual out of his way. Between April 2015 and December 2015, Drummond received numerous packages containing money via the United States Mail, Federal Express, and United Parcel Service from multiple victims throughout the United States.
Mr. Ferrer commended the investigative efforts of the U.S. Postal Inspection Service, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Marshals Service, Broward Sheriff’s Office Narcotics Interdiction Task Force and the Miami-Dade Police Department Economic Crimes Unit. The case is being prosecuted by Assistant United States Attorney Randy Katz.
A criminal complaint is merely an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
A copy of this press release may be found 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 on http://pacer.flsd.uscourts.gov.
Brooklyn Park Landlord and Property Management Company Agree to Pay Victim for Violating the Fair Housing ActRead the Press Release
United States Attorney Andrew M. Luger today announced that the federal government and a housing discrimination victim have entered into an agreement with a Brooklyn Park landlord and a property management company to settle allegations that they violated the federal Fair Housing Act (“FHA”) by refusing to allow the victim to keep her support animal at Huntington Place Apartments because the support animal was a pit bull. The alleged violations included: requiring the victim to purchase liability insurance for her support animal; requiring the victim to make her support animal wear a vest identifying it as a support animal; demanding excessive medical information; and refusing to renew the victim’s lease based on the breed of her support animal.
Under the terms of the agreement, filed in the form of a consent decree on Friday, January 22, 2016, the defendants, Brooklyn Park 73rd Leased Housing Associates, LLC; Dominium Management Services, LLC; Susan Meyer; and Gina Estrem will pay $35,000 to the housing discrimination victim. The defendants, who are the landlord, management firm, and two employees, were sued by the U.S. Attorney’s Office on May 18, 2015.
Pursuant to the consent decree, the defendants will be enjoined from: refusing to rent or discriminating in the terms, conditions and privileges of a dwelling of because of a person’s disability; refusing to make reasonable accommodations that may be necessary to afford a person with a disability an equal opportunity to use and enjoy a dwelling; and coercing, intimidating or interfering with a person’s use and enjoyment of a dwelling on account of having exercised a right granted by the FHA. In addition, they will adopt a reasonable accommodation policy for Huntington Place Apartments, which specifies that assistance animals are not considered “pets” under Huntington Place Apartment’s policies, and will display fair housing materials and include the words “Equal Housing Opportunity Provider” in advertising materials. Defendants and certain employees and agents will also attend an educational training program regarding the FHA and its disability discrimination provisions.
In its complaint, the federal government alleged that the defendants learned in February 2013 that a tenant had a pit bull in her apartment at Huntington Place Apartments, which included pit bulls in a prohibited breed policy. The victim requested the reasonable accommodation of being allowed to keep her dog, named “King,” as a “support animal” pursuant to the FHA. The defendants required additional medical information and maintained that the victim should get rid of King and replace him with a dog of a different breed. After receiving two letters from a psychologist and one from a social worker that verified the victim’s need to retain King, the defendants threatened eviction. The defendants’ attorney ultimately interviewed the victim’s psychologist in a phone call in which the psychologist reiterated the importance of King and the victim’s relationship with that specific dog to her well-being and recovery.
The defendants subsequently allowed the victim to keep King, but required her to purchase insurance for King, make him wear a vest identifying him as an emotional support animal, keep King leashed at all times and execute an indemnity agreement. The victim complied with the defendants’ requirements, but the defendants still demanded that she leave at the end of her initial lease term only because of the breed of her support animal.
The victim filed a discrimination complaint with the U.S. Department of Housing and Urban Development (“HUD”), alleging housing discrimination based on disability. HUD investigated the complaint and, on April 14, 2015, issued a charge of discrimination against the defendants, alleging they had engaged in discriminatory housing practices based on disability in violation of the FHA. This case arose from that charge.
“The Fair Housing Act requires landlords to make reasonable accommodations for people with disabilities, including allowing support animals that would be prohibited if they were simply pets. When tenants exercise the right to keep support animals, the FHA prohibits landlords from retaliating or discriminating against them,” said Assistant U.S. Attorney Craig Baune, who represented the United States in the matter.
The FHA prohibits discrimination in housing of the basis of race, color, religion, sex, familial status, national origin and disability. Civil Rights enforcement is a priority of the U.S. Department of Justice (“DOJ”), and individuals who believe they have been victims of housing discrimination should call the Housing Discrimination Tip Line (1-800-896-7743), email DOJ at [email protected], or contact HUD at 1-800-669-9777.
The underlying case is United States of America, et al v. Brooklyn Park 73rd Leased Housing Associates, LLC, et al, Civil No. 15-2489 (PJS/SER). Assistant U.S. Attorney Craig Baune represented the United States in this court action. The victim intervened and was represented by Mawerdi Hamid and Lael Robertson of Mid-Minnesota Legal Aid. The claims settled by this agreement are allegations only; there has been no determination of liability.
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Bronx Man Sentenced on Federal Drug Conspiracy ChargeRead the Press Release
Contact: Joel B. Casey
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Anthony Gomez, a/k/a “Tone”, 35, of Bronx, New York, was sentenced at the U.S. District Court in Bangor, Maine to a term of imprisonment of three years and five months and a 3 year term of supervised release for conspiracy to possess with the intent to distribute and distribute oxycodone.
According to court records, between January 2012 and March 2012, Gomez conspired with Maurice McCray and others in Waterville, Maine and surrounding communities to distribute and possess with intent to distribute oxycodone. Gomez was one of McCray’s New York sources of supply for oxycodone. Gomez is the twenty-third person to be convicted and sentenced in the federal investigation into drug distribution in the Waterville, Maine area. He was arrested following an 18 month long fugitive investigation by the U.S. Marshal’s Service.
The case was investigated by the U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency with assistance from the Waterville, Maine Police Department.Boston Mafia Associate Pleads Guilty to Idaho Gun ChargeRead the Press Release
BOISE- Enrico M. Ponzo, a/k/a Jay Shaw, a longtime fugitive from Boston, Massachusetts, who posed as a rancher while living on the run in Marsing, Idaho, pleaded guilty this afternoon in the U.S. District Court in Boise to unlawful possession of firearms, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, Ponzo admitted that on February 8, 2011, he knowingly possessed 33 firearms after having been convicted of felony assault and battery on a public employee.
Ponzo was arrested by the FBI and the U.S. Marshals in Marsing, Idaho, in February 2011, 16 years after he fled Boston. After his arrest in Idaho, he was returned to Boston to face numerous charges. In November 2013, following a seven-week-trial, Ponzo was found guilty of racketeering conspiracy, the 1989 attempted murder of Francis P. Salemme, Sr., and the 1994 attempted murder of Joseph Cirame, both of whom were shot and seriously injured. The jury found Ponzo guilty of murder conspiracy in aid of racketeering, firearm possession in relation to murder conspiracy, conspiracy to distribute more than 500 grams of cocaine, conspiracy to distribute more than 1,000 kilograms of marijuana, conspiracy to use extortionate means to collect a debt, use of extortionate means to collect a debt, unlawful flight to avoid prosecution, money laundering conspiracy, money laundering, and attempted witness tampering. U.S. District Court Judge Nathaniel M. Gorton sentenced Ponzo to 28 years in prison to be followed by three years of supervised release.
Sentencing in the Idaho case is set for April 14, 2016, before Senior U.S. District Judge Edward J. Lodge.
The charge of unlawful possession of firearms is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
The case was investigated by the Treasure Valley Metro Violent Crime Task. The Treasure Valley Metro Violent Crime Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole. The Treasure Valley Metro Violent Crime Task Force assisted the Greater Idaho Fugitive Task Force in apprehending Ponzo. The Greater Idaho Fugitive Task Force is comprised of the U.S. Marshals Service, the Ada and Canyon County Sheriff’s Offices, and the Boise and Nampa City Police Departments.
Bangor Woman Pleads Guilty to Drug Trafficking ConspiracyRead the Press Release
Contact: Chris Ruge
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Tiffany Sutherland, 30, of Bangor, Maine, pleaded guilty today in U.S. District Court to conspiracy to distribute and to possess with intent to distribute heroin, cocaine, and cocaine base.
According to court records, from April to October, 2014, Sutherland conspired with others to receive drugs from out of state and then distribute those drugs in Maine. As part of the conspiracy, Sutherland would locally sell heroin and cocaine base (commonly known as “crack”), and would remit proceeds from those sales to one of her coconspirators.
Sutherland faces between five and 40 years in prison, a $5,000,000 fine, and between four years and a lifetime of supervised release. She will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the Maine Drug Enforcement Agency; the Bangor Police Department; and the Bureau of Alcohol, Tobacco, Firearms & Explosives.
Arizona Woman Pleads Guilty to Federal Heroin Trafficking Charge in New MexicoRead the Press Release
ALBUQUERQUE – Vanessa Guadalupe Munoz-Mungaray, 25, of Tuscon, Ariz., pleaded guilty today to a heroin trafficking charge in federal court in Albuquerque, N.M., under a plea agreement with the U.S. Attorney’s Office.
Munoz-Mungaray was arrested on a criminal complaint charging her with a heroin trafficking offense after the DEA seized approximately 3.55 kilograms (7.37 pounds) of heroin from her during an interdiction investigation at the Greyhound Bus Station in Albuquerque on July 21, 2015. The heroin was contained in eight bundles that were concealed in false compartments inside Munoz-Mungaray’s luggage. Munoz-Mungaray was subsequently indicted on Aug. 11, 2015, and charged with possession of heroin with intent to distribute.
During today’s proceedings, Munoz-Mungaray pled guilty to possession of heroin with intent to distribute and admitted that on July 21, 2015, she possessed 2.99 net kilograms of heroin, which were wrapped in bundles and concealed in false compartments in her luggage while traveling through Albuquerque on the Greyhound Bus. Munoz-Mungaray further admitted that she was paid to transport the narcotics to New York.
This case was investigated by the Albuquerque office of the DEA and is being prosecuted by Assistant U.S. Attorney Kimberly A. Brawley.
This case is being prosecuted pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative is a collaborative effort between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative.
Saturday 23 January 2016
Wounded Knee Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wounded Knee, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on January 20, 2016, by U.S. District Court Judge Roberto Lange.
Berdell Shot, age 32, was sentenced to 15 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Shot was indicted for Failure to Register as a Sex Offender by a federal grand jury on September 9, 2015. He pled guilty on November 17, 2015.
Between June 16, 2015, and August 25, 2015, Shot, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of a conviction under Federal Law, failed to properly register as a sex offender in Pennington County and elsewhere.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Kirk W. Albertson prosecuted the case.
Shot was immediately turned over to the custody of the U.S. Marshals Service.
Wagner Man Indicted for AssaultRead the Press Release
United States Attorney Randolph J. Seiler announced that a Wagner, South Dakota, man has been indicted by a federal grand jury for Assault Resulting in Serious Bodily Injury.
Jarrod W. Zephier, age 37, was indicted on January 12, 2016. He appeared before U.S. Magistrate Judge Veronica L. Duffy on January 15, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge is merely an accusation and Zephier is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Yankton Sioux Tribal Police and the Federal Bureau of Investigation. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Zephier was released on bond pending trial. A trial date has been set for March 22, 2016.
Rapid City Man Sentenced for EscapeRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man convicted of Escape from Custody was sentenced on January 15, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Jon Dillon, age 27, was sentenced to 4 months in custody, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Dillon was charged on August 31, 2015, and pleaded guilty on September 18, 2015.
The conviction stems from Dillon, who was serving part of his sentence on home confinement after a federal conviction in 2013, leaving his residence without permission.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Ben Patterson prosecuted the case.
Dillon was immediately turned over to the custody of the U.S. Marshals Service.
Pine Ridge Men Sentenced for Third Degree BurglaryRead the Press Release
United States Attorney Randolph J. Seiler announced that two Pine Ridge, South Dakota, men convicted of Third Degree Burglary were sentenced on January 19, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Edward Two Hawk, age 22, and Troy Weston, Jr., age 21, were sentenced to time served, two years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund and $4,250 in restitution.
Two Hawk and Weston were charged on April 16, 2013. Two Hawk pleaded guilty on September 18, 2015, and Weston pleaded guilty on September 21, 2015.
The conviction stems from Two Hawk and Weston breaking into a shed at Pine Ridge and stealing several items, including a TV, a DVD player, a refrigerator, movies, heaters, amplifiers, extension cords, a guitar, and a buffalo head.
This case was investigated by the Bureau of Indian Affairs Office of Justice Services. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Pine Ridge Man Sentenced for Abusive Sexual ContactRead the Press Release
United States Attorney Randolph J. Seiler announced that a Pine Ridge, South Dakota, man convicted of Abusive Sexual Contact was sentenced on January 14, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Edwin Grass, Sr., age 30, was sentenced to time served, 5 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Grass was indicted for the charge on January 22, 2014. Grass pleaded guilty on September 11, 2015.
The conviction stems from Grass having unwanted sexual contact with a sleeping female on June 5, 2013, at Pine Ridge.
This case was investigated by the Federal Bureau of Investigation, the Bureau of Indian Affairs Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
North Dakota Woman Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Randolph J. Seiler announced that a Dickinson, North Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on January 8, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Heather Buchanan, age 20, was sentenced to time served, three years of supervised release, and a $100 special assessment to the Federal Criminal Victims Fund.
Buchanan was indicted for conspiracy to distribute methamphetamine by a federal grand jury on November 19, 2014. She pled guilty on August 19, 2015.
On September 22, 2014, Buchanan conspired and agreed with other persons, including co-defendant Susan Land, to intentionally distribute 83 grams of methamphetamine to South Dakota.
This case was investigated by the Unified Narcotics Enforcement Team, United States Department of Drug Enforcement, South Dakota Division of Criminal Investigation, Pennington County Sheriff’s Office, and Rapid City Police Department. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
Mission Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Randolph J. Seiler announced that a Mission, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on January 20, 2016, by U. S. District Judge Roberto Lange.
George Scott, age 30, was sentenced to one year and one day in custody, 5 years supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Scott was indicted for Failure to Register as a Sex Offender by a federal grand jury on September 9, 2015. He pled guilty on November 17, 2015.
Between June 22, 2015, and July 31, 2015, Scott, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of a conviction under Federal Law, failed to properly register as a sex offender in Pennington and Todd County.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Carrie G. Sanderson prosecuted the case.
Scott was immediately turned over to the custody of the U.S. Marshals Service.
Kyle Man Sentenced to 100 Months for Sexual AbuseRead the Press Release
United States Attorney Randolph J. Seiler announced that a Kyle, South Dakota, man convicted of Sexual Abuse was sentenced on January 14, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Cameron Shon One Horn Kills in Water, age 39, was sentenced to 100 months in custody, followed by 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
One Horn Kills in Water was indicted for Sexual Abuse by a federal grand jury on May 19, 2015. He pled guilty on September 11, 2015.
On May 3, 2015, in Kyle, One Horn Kills in Water sexually assaulted an intoxicated female without her consent.
This case was investigated by the Federal Bureau of Investigations. Assistant U.S. Attorney Megan Poppen prosecuted the case.
One Horn Kills in Water was immediately turned over to the custody of the U.S. Marshals Service.
Colorado Man Pleads Not Guilty to Sexual Abuse of a MinorRead the Press Release
United States Attorney Randolph J. Seiler announced that a Denver, Colorado, man has been indicted by a federal grand jury on two counts of Sexual Abuse of a Minor.
Ronlee Philemonof, a/k/a Ronlee Doyle Randall, age 28, was indicted on February 18, 2015. He appeared before U.S. Magistrate Judge Daneta Wollman on January 15, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction on each count is up to 15 years in custody and/or a $250,000 fine, 5 years up to lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to an incident that occurred on May 11, 2013, where Philemonof illegally engaged in sexual acts with a minor.
The charge is merely an accusation and Philemonof is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigations. Assistant U.S. Attorney Megan Poppen is prosecuting the case.
Philemonof was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for March 22, 2016.
Box Elder Woman Sentenced for Possession with Intent to Distribute MethRead the Press Release
United States Attorney Randolph J. Seiler announced that a Box Elder, South Dakota, woman convicted of Possession with Intent to Distribute a Controlled Substance was sentenced on January 15, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Sheila Marie Buchholz, age 45, was sentenced to 51 months in custody, 3 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Buchholz was indicted for possession with intent to distribute methamphetamine by a federal grand jury on November 19, 2014. She pled guilty on September 21, 2015.
On October 22, 2014, law enforcement executed a search warrant on Buchholz’s residence. Law enforcement seized a total of 309 grams of methamphetamine. Buchholz acknowledged the meth was hers.
This case was investigated by the Unified Narcotics Enforcement Team, United States Department of Drug Enforcement, South Dakota Division of Criminal Investigation, Pennington County Sheriff’s Office, and Rapid City Police Department. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
Buchholz was immediately turned over to the custody of the U.S. Marshals Service.
Friday 22 January 2016
Woman Sentenced for Possession with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Deborah R. Gilg announced that on January 22, 2016, Tiara A. Blanco-Liggins, 24, was sentenced to four years and three months, (51 months), in prison for possession with intent to distribute a mixture or substance containing methamphetamine in Lincoln on February 16, 2015. Following the prison term, Blanco-Liggins will serve four years on supervised release.
On February 16, 2015, Lincoln Police officers went to a Lincoln apartment looking for another person who was wanted on an outstanding warrant. Blanco-Liggins allowed the officers to come into the apartment. Officers saw a small amount of marijuana. When asked if there were any other drugs in the apartment, Blanco-Liggins and her co-defendant, Anthony Harris, produced additional marijuana. In the process of showing officers the marijuana, Harris opened a cabinet in which officers also saw a bag containing methamphetamine. A search warrant was obtained for the apartment, and officers found a total of more than 160 grams of a substance containing methamphetamine, approximately two ounces of marijuana, over $1,300 in cash, a handgun, a shotgun, and ammunition.
Harris was sentenced in September of 2015 to 37 months for possession with intent to distribute methamphetamine and a consecutive five years, (60 months), for possession of a firearm in furtherance of a drug-trafficking crime.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Two Northern California Women Charged in Fraudulent Tax Refund SchemeRead the Press Release
SACRAMENTO, Calif. — Denna Chambers, 33, of Woodland, and Starsheka Mixon, 32, of Pinole, have been arrested for a scheme to submit false claims to the government for fraudulent tax refunds, United States Attorney Benjamin B. Wagner announced.
On Thursday, January 14, 2016, a federal grand jury returned a 16-count indictment charging Chambers and Mixon with conspiracy to submit false claims and submitting false, fictitious or fraudulent claims.
According to court documents, between January 2011 and June 2013, Chambers and Mixon obtained the names and personal identifying information of other persons and used this information to file false federal income tax returns. The tax returns included false statements about the taxpayers’ income, dependents, occupations, and entitlement to tax credits. In all, approximately 178 false income tax returns requesting more than $900,000 in fraudulent refunds were submitted as part of this scheme. Mixon is also charged with submitting a false claim for a tax refund in connection with her personal tax return.
This case is the product of an investigation by the IRS Criminal Investigation. Assistant United States Attorney Shelley D. Weger is prosecuting the case.
If convicted of the conspiracy to submit false claims each defendant faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. If convicted of submitting false claims, each defendant faces a maximum statutory penalty of five years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Twin Cities Man Sentenced to 57 Months in Prison for Conspiracy, Fraud, and Illegally Buying and Selling Tobacco ProductsRead the Press Release
United States Attorney Andrew M. Luger and the Minnesota Department of Revenue-Criminal Investigation Division today announced the sentencing of RASHID FEHMI IBRAHIM, 40, for conspiracy, mail fraud and the illegal purchase and transport of tobacco products. The defendant pleaded guilty on June 8, 2015, before Judge Susan R. Nelson in U.S. District Court in St. Paul, Minn., to one count of Conspiracy to Commit Mail Fraud and Wire Fraud, five counts of Mail Fraud, one count of Conspiracy to Ship, Transport, Receive, Possess, Sell, Distribute and Purchase Contraband Smokeless Tobacco, and six counts of Shipment, Transport, Receipt, Possession, Sale, Distribution and Purchase of Contraband Smokeless Tobacco.
According to his guilty plea and documents filed in court, between 2007 and 2011, IBRAHIM purchased approximately $4,300,000 of untaxed Other Tobacco Products (“OTP”) from out-of-state tobacco wholesalers such as ISA Chicago Wholesale, Inc. (“ISA”) and shipped them to Minnesota. The defendant purchased the OTP free of any state taxes and intended to resell it without paying any state taxes in Illinois, Minnesota or elsewhere. IBRAHIM knew he was not a licensed distributor, manufacturer or carrier and, therefore, was unauthorized to purchase, sell, distribute, possess or receive smokeless tobacco products.
According to his guilty plea and documents filed in court, IBRAHIM used various aliases and addresses to conceal his OTP purchases and used private interstate contract carriers to ship the products from the wholesaler to Minnesota where IBRAHIM stored them in rented storage units. After receiving the shipment of OTP, IBRAHIM would illegally resell the products to retail establishments and other OTP traffickers in Minnesota. IBRAHIM purposely evaded the payment of state taxes and is ordered to pay a total of $3,048,109.39 in restitution to the state of Minnesota.
This case is the result of a joint investigation conducted by the Minnesota Department of Revenue-Criminal Investigation Division and the United States Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case was prosecuted by Assistant U.S. Attorney Benjamin Langner.
Defendant Information:
RASHID FEHMI IBRAHIM, 40
San Juan, Puerto Rico.
Convicted:
- Conspiracy to Commit Mail Fraud and Wire Fraud, 1 count
- Mail Fraud, 5 counts
- Conspiracy to Ship, Transport, Receive, Possess, Sell, Distribute and Purchase Contraband Smokeless Tobacco, 1 count
- Shipment, Transport, Receipt, Possession, Sale, Distribution and Purchase of Contraband Smokeless Tobacco, 6 counts
Sentenced:
- 57 months in prison
- 3 years supervised release
- $3,048,109.39 in Restitution
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Tribunal de Nueva Jersey Prohíbe Permanentemente a un Hombre de Florida Preparar Declaraciones De Impuestos Para TercerosRead the Press Release
Un tribunal federal de Nueva Jersey ha prohibido en forma permanente a una preparador de declaraciones de impuestos del Sur de Florida preparar declaraciones de impuestos a la renta federales para terceros, anunció hoy el Departamento de Justicia.
La orden judicial civil también prohíbe a Felix Taveras Santos, individualmente y a través de su empresa Latino Tax LLC, realizar actividades de preparación de declaraciones de impuestos en el futuro. Santos, quien actualmente vive en Doral, Florida, aceptó la presentación del mandamiento judicial; sin embargo, no admitió los alegatos de la demanda civil entablada en su contra.
De acuerdo con la demanda, Santos y su empresa ubicada en Atlantic City, Nueva Jersey, prepararon declaraciones de impuestos falsas e improcedentes durante los períodos de presentación de declaraciones de 2010 a 2014. El Servicio de Impuestos Internos [Internal Revenue Service (IRS)] auditó 43 declaraciones de impuestos federales preparadas por Santos o uno de sus empleados, y las auditorías resultaron en un ajuste del 80 por ciento de dichas declaraciones y un déficit total de impuesto a la renta de alrededor de $100.000, de acuerdo con la demanda. La demanda alegó que Santos y sus empleados infravaloraron las obligaciones tributarias de sus clientes o exageraron sus reembolsos indebidamente al:
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reclamar créditos tributarios para hijos, incluyendo hijos que vivían fuera de los Estados Unidos;
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declarar exenciones por dependientes, por ejemplo, para clientes sin manera de comprobar que mantenían a sus hijos; y
- utilizar categorías incorrectas de declaración del contribuyente, tales como soltero o cabeza de familia para clientes casados.
El mandamiento judicial exige que Santos le entregue a los Estados Unidos una lista de sus clientes desde 2010 y envíe una copia del mandamiento judicial a todos los clientes para los que él y Latino Tax LLC prepararon declaraciones de impuestos a partir de 2010.
El fraude de preparación de declaraciones de impuestos es uno de los Doce ardides tributarios sucios de 2015 del IRS. En su portal en Internet, el IRS incluye algunos consejos para elegir un preparador de declaraciones de impuestos. En la última década, la División de Impuestos ha obtenido mandamientos judiciales contra cientos de preparadores de declaraciones de impuestos inescrupulosos y promotores de ardides tributarios. Hay información disponible sobre estos casos en el portal del Departamento de Justicia. Se puede encontrar aquí una lista de personas prohibidas de preparar declaraciones de impuestos y personas que promovieron ardides tributarios. Si usted cree que alguna de las personas o empresas prohibidas podrían estar violando un mandamiento judicial, por favor comuníquese con la División de Impuestos para brindar información.
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Three Defendants Plead Guilty to Role in Major Heroin Ring with Links to PhiladelphiaRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. - U.S. Attorney William J. Hochul Jr. announced today that Pedro Juan Rivera Reyes, 31, Jean Carlos Alvarez Dejesus, 29, both of Rochester, NY, and Edwin Montanez, 27, of the Bronx, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci to conspiracy to distribute heroin. The charges carry a maximum sentence of 40 years in prison, a fine of $5,000,000, or both.Assistant U.S. Attorney Douglas E. Gregory, who is handling the case, stated that in 2015 the Federal Bureau of Investigation, the Drug Enforcement Administration, and the Rochester Police Department conducted a multi-agency investigation into a significant Philadelphia-based heroin trafficking organization. The organization regularly supplied large quantities of heroin to a Rochester distribution network. The investigation, which included the use of court approved eavesdropping warrants (wiretaps), revealed that members of the Philadelphia organization regularly provided quantities of heroin for re-sale on the streets of Rochester, using several cars that were equipped with hidden compartments. The Philadelphia organization provided heroin that was prepackaged, stamped and ready for immediate distribution once it arrived.
In May 2015, 11 members of the organization were arrested and charged by criminal complaint in connection with the investigation. To date, five defendants have been convicted.
The pleas are the culmination of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen, the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, the Rochester Police Department, under the direction of Chief Michael Ciminelli, the Monroe County District Attorney’s Office, under the direction of Sandra Doorley, the Greater Rochester Area Narcotics Enforcement Team (GRANET), the Monroe County Sheriff’s Department, under the direction of Sheriff Patrick O’Flynn, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Field Division, and the Pennsylvania State Police.
Springfield Area Business Owner, Son Sentenced for $5.5 Million Fraud SchemeRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the owner of several Springfield, Mo., area restaurants and his son were sentenced in federal court today, in two separate but related cases, for their roles in a more than $5.5 million bank fraud scheme.
Bruce Swisshelm, 69, of Battlefield, Mo., and his son, Bruce Swisshelm II, 44, of Springfield, were sentenced in separate appearances before U.S. District Judge Stephen R. Bough. Swisshelm was sentenced to one year and one day in federal prison, and ordered to pay $5,492,853 in restitution. Swisshelm II was sentenced to four weeks in custody and five years of probation and ordered to pay $100,000 in restitution.
Swisshelm was the owner of Horned Frog Deli, Inc., and Swisshelm Properties, Inc. These corporations, which specialized in the restaurant industry, owned and developed commercial properties in Springfield and elsewhere. Swisshelm owned and operated Burger King restaurants, Macaroni Grill restaurants, San Francisco Oven restaurants, McAlister’s Deli restaurants, Ebbett’s Field restaurants and a Fog City Coffee restaurant. Swisshelm II served as the president for Swisshelm Properties.
On July 22, 2015, Swisshelm pleaded guilty to bank fraud and money laundering; Swisshelm II pleaded guilty to misprision of a felony.
Swisshelm admitted that he submitted false financial documents to Great Southern Bank in order to receive four commercial loans, totaling $5,592,583, from February to June 25, 2011. The bank relied on the false information provided within the financial statements submitted by Swisshelm when it approved the commercial loans.
Swisshelm submitted financial statements to the bank that claimed his businesses earned a net income of more than $780,000 in 2010. Tax documents submitted by Swisshelm to the Internal Revenue Service revealed those businesses had losses that exceeded $1.8 million in 2010.
Swisshelm II admitted that he knew about his father’s bank fraud scheme. He was personally involved in the communications with Great Southern Bank, attended meetings at the bank and signed bank documents related to the issuance of the commercial loans. After Great Southern Bank had issued the loans, Swisshelm II was made aware of his father’s fraud scheme. Swisshelm II was made aware that financial statements submitted to the bank by his father were false. Despite possessing this knowledge, Swisshelm failed to notify authorities.
Swisshelm II admitted that he helped conceal his father’s crime after he became aware of the fraud scheme and delayed the fraud being reported to authorities by Great Southern Bank.
These cases were prosecuted by Assistant U.S. Attorney Patrick Carney. They were investigated by the FBI and IRS-Criminal Investigation.
Sixth Conspirator Admits to the Robbery of an Owings Mills Jewelry StoreRead the Press Release
Baltimore, Maryland – Sorhib Omonov, age 27, of Baltimore, Maryland, pleaded guilty today to a robbery conspiracy, in connection with the robbery of a jewelry store.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
According to his plea agreement, Omonov was part of a conspiracy to rob an Owings Mills jewelry store. Specifically, on January 15, 2013, Omonov was present at the home of a co-conspirator while that person and other conspirators prepared for the robbery. Omonov was aware that the plan was to commit the robbery of a jewelry store.
According to court documents, a co-conspirator devised a plan to commit an armed robbery of a jewelry store, and recruited Marat Yelizarov, Igor Yasinov, Peter Magnis, Grigoriy Zilberman and Aleksey Sosonko to participate in the robbery. Prior to the robbery, the conspirators gathered intelligence, including conducting surveillance and attaching a GPS device to the car of an employee of the jewelry store in order to learn the employee’s travel routine and habits. Zilberman also exploited his friendship with the employee to obtain information about the operation of the jewelry store and the habits of the employee.
According to Omonov’s plea agreement, on January 15, 2013, Zilberman enticed the employee to visit his home, in order to alert the other co-conspirators of the employee’s whereabouts. In the early morning hours of January 16, Omonov and Yelizarov drove to Zilberman’s home in order to alert the other conspirators of the employee’s departure. Yelizarov and Omonov followed the employee from Zilberman’s home for a while, and notified the other conspirators of the employee’s location so they could follow the employee. Yelizarov and Omonov continued to drive around the area while Yasinov, Magnis, Sosonko and another co-conspirator driving in a rental car obtained by Yasinov, used a law enforcement-type light bar and a loudspeaker to impersonate a police officer and pull over the employee. Brandishing firearms, Yasinov, Magnis, Sosonko and the other co-conspirator removed the employee from his car, bound and blindfolded the employee, put him into the trunk of his own car, and drove him to a predetermined location. Once at the location, Yasinov, Magnis, Sosonko and the co-conspirator continued to brandish firearms and threatened to kill the employee’s family if he did not comply with their demands or if he reported the incident to police. The employee complied and at approximately 3:52 a.m., Sosonko and a co-conspirator drove the employee’s vehicle from the remote location to the jewelry store. Yasinov and Magnis stayed with the employee.
After the four other conspirators abducted the employee, Omonov and Yelizarov drove to the area of the jewelry store. Yelizarov dropped Omonvo off a few hundred yards from the store to act as a “look-out” and notify the co-conspirators if he saw any signs of law enforcement. Sosonko and the other co-conspirator entered the jewelry store and stole jewelry, stones, and watches, valued at about $500,000, then drove back to the remote location. Omonov was in regular phone contact with three of his co-conspirators, including those who held the employee at gunpoint and those who robbed the jewelry store.
After the robbery, Omonov returned to the home of one of the co-conspirators where he viewed the stolen jewelry along with other co-conspirators. One of the co-conspirators subsequently gave Omonov $1,000 cash, proceeds from the sale of some of the stolen jewelry, for his part in the conspiracy.
Omonov’s sentencing is scheduled for March 25, 2016, at 10:00 a.m. before U.S. District Judge J. Frederick Motz.
Grigoriy (Greg) Zilberman, age 24, of Owings Mills, Maryland, and Peter Aleksandrov Magnis, age 27, of Hydes, Maryland, Igor Yasinov, age 26, of Baltimore, and Marat Yelizarov, age 28, of Pikesville, Maryland and Aleksey Sosonko, age 35, of Owings Mills, previously pleaded guilty to their roles in the robbery conspiracy and are awaiting sentencing.
United States Attorney Rod J. Rosenstein praised the FBI, Baltimore County Police Department, and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Paul E. Budlow and Aaron S. J. Zelinsky, who are prosecuting the case.
Six Defendants Sentenced to Prison for Operating a “Pill Mill” in Lilburn, GeorgiaRead the Press Release
ATLANTA – Larry Webman, Randy Webman, Dara Webman, Dr. George Williams, George Borbas, and Liz Gaitan have been sentenced for illegally selling and distributing prescriptions for opiate-based narcotics and other controlled substances to addicts and drug dealers under the guise of a pain clinic in the Lilburn, Georgia area. The Webman brothers were the pain clinic owners. Dara Webman was an office manager and the daughter of Randy Webman. Dr. George Williams was a physician at the clinic. George Borbas was a patient and recruiter for the clinic. Liz Gaitan was a clinic employee.
“Larry, Randy, and Dara Webman came to Georgia for the sole purpose of profiting from the illicit prescribing of prescription narcotics to addicts and drug dealers, without regard to the safety and well-being of our community,” said U.S. Attorney John Horn. “Once here, they employed the services of an unscrupulous doctor and an employee with no medical training to issue bogus prescriptions for painkillers. The abuse of prescription drugs in Georgia unfortunately has led to record levels of overdoses and addiction as well as a disturbing resurgence in heroin use by people who transition from abusing prescription pain killers to using heroin.”
Daniel R. Salter, the Special Agent in Charge of the DEA Atlanta Field Division, commented, “The success of this investigation illustrates how DEA and the law enforcement community are committed to stopping prescription drug abuse which continues to plague this country. These Pill Mill operators will spend well-deserved time in prison.”
“It is our goal as financial investigators to assist our law enforcement partners in dismantling organizations conspiring to illegally distribute and dispense large amounts of prescription meds without a legitimate medical purpose,” stated Veronica F. Hyman-Pillot, Special Agent in Charge, IRS-Criminal Investigation. “The sentence today does not negate the lives that were potentially ruined due to this scheme. However, it does illustrate that IRS Criminal Investigation, along with our law enforcement partners, are committed to pursuing individuals who violate the public trust and enrich themselves financially at the expense of others.”
“I’m incredibly grateful to our Federal and out of State partners who worked hand in hand with our agency to mitigate a substantial risk to our community. Peace and harmony has been restored to our business corridor where the Pain Clinic once illegally operated. We are grateful that justice has been served and that the illegal dispensing of pain medications have been eradicated from our City. These actions are due to the dedicated work from the Lilburn Police Department, DEA, IRS, NC State Bureau of Investigation, and the U.S. Attorney’s Office for the Northern District of Georgia,” said Lilburn Police Chief Bruce Hedley.
“We will always work with our law enforcement partners to combat the illegal sale and use of prescription pills that continue to harm society,” said B.W. Collier, Director, North Carolina State Bureau of Investigation.
According to U.S. Attorney Horn, the charges and other information presented in court: From approximately February 2012 through January 2013, Larry Webman and Randy Webman operated an illegal enterprise, variously known as Premier Medical Management, Inc.; Premier Pain Management, Inc.; Premier Pain Management; and Premier Pain Management and Physical Therapy, located in Lilburn, Georgia. Dara Webman worked at the clinic as an office manager handing out prescriptions for narcotic opiates to customers in exchange for cash payments ostensibly collected for office visits.
Larry Webman and Randy Webman managed and controlled the clinic. Though neither had any medical training, they often directed the decisions of the clinic’s physician, Dr. George Williams, with respect to prescribing controlled substances. The clinic saw as many as 60 customers a day, each paying between $250 and $350 a visit. These customers almost always left with a prescription for controlled substances, which often included Oxycodone, a highly addictive painkiller. The clinic’s customers regularly traveled long distances to obtain prescriptions for controlled substances. Most hailed from outside the state, including North Carolina, Kentucky, Tennessee, Ohio, South Carolina, and Florida. Dr. George Williams saw a customer only at the initial visit, at which time he conducted a brief examination.
When customers made return visits, they rarely saw the clinic’s physicians, but instead obtained additional prescriptions for controlled substances based solely upon an exam by Liz Gaitan, a clinic employee with no medical authority to do so. On at least one occasion, Dara Webman mailed opiate prescriptions to undercover officers posing as customers.
George Borbas sponsored the visits of numerous customers to the clinic in exchange for receiving a portion of the prescription pills the customers were ultimately prescribed. Almost all customers paid cash. Larry Webman and Randy Webman personally used that money to promote the clinic’s ongoing illegal activity by, for example, purchasing an on-site MRI machine.
United States District Judge Steve C. Jones sentenced the defendants in this case as follows:
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Larry Webman, 68, of Hollywood, Florida, pleaded guilty to drug trafficking conspiracy and engaging in a money laundering conspiracy, and was sentenced to ten years in prison, three years of supervised release, and a $100,000 fine.
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Randy Webman, 62, of Hollywood, Florida, pleaded guilty to drug trafficking conspiracy and engaging in a money laundering conspiracy, and was sentenced to eleven years in prison and three years of supervised release.
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Dr. George Williams, 48, of Duluth, Georgia, pleaded guilty to drug trafficking conspiracy, and was sentenced to seven years in prison, and five years of supervised release.Williams Dr. Williams has also agreed to forfeit his State of Georgia Physician's License
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Dara Webman, 31, of Hollywood, Florida, pleaded guilty to using the mail to illegally distribute drugs, and was sentenced to one year, six months in prison, and one year of supervised release.
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George Borbas, 54, of Raleigh, North Carolina, pleaded guilty to drug trafficking conspiracy, and was sentenced on December 29, 2015, to five years, ten months in prison.
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Liz Gaitan, 29, of Lawrenceville, Georgia, pleaded guilty to wire fraud, and was sentenced to four years in prison, three years of supervised release, and $525 in restitution.
This case was investigated by the Drug Enforcement Administration, Internal Revenue Service Criminal Investigation, the Lilburn Police Department, and the North Carolina State Bureau of Investigation.
Assistant United States Attorneys Laurel R. Boatright, C. Brock Brockington, and Katherine Terry prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.com.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao-ndga.
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Sex Trafficker Who Used Drugs to Control Victims Sentenced to 30 YearsRead the Press Release
ALEXANDRIA, Va. – Robert Everett Bonner, Jr., aka Ace, 34, of Fredericksburg, was sentenced today to 360 months in prison for sex trafficking by force, fraud, and coercion. Bonner was also sentenced to five years of supervised release, ordered to pay $317,750 in restitution to his victims, and ordered to forfeit $400,250.
Bonner pleaded guilty on July 2, 2015. According to court documents, Bonner was a leader of an interstate sex trafficking venture that prostituted over 55 women in at least seven states, and thus is the largest sex trafficking venture ever discovered in the Eastern District of Virginia. Bonner and his co-conspirators recruited victims from Internet websites by calling the victims and promising a better life. For example, he falsely promised various victims that he would permit them to keep a substantial portion of the money that they earned from prostitution.
Bonner specialized in sex trafficking women who had substance abuse issues and he used this to manipulate them. Bonner would sometimes get victims addicted to drugs, such as heroin, and then withhold those drugs until the victims performed commercial sex acts and gave him the proceeds. Bonner often intentionally allowed victims to experience severe symptoms of drug withdrawal as a means of punishing and controlling victims. If the victims balked at his demands, Bonner simply cut off the drug supply, which caused most victims to become compliant.
Bonner’s actions resulted in the death of a 21 year-old victim known as “Laurabeth.” On July 25, 2013, Bonner instructed a co-conspirator to deliver a fentanyl patch to Laurabeth. From this patch, Laurabeth absorbed a lethal dose of Fentanyl. She died in the hotel room from which Bonner was prostituting her.
In addition to using drug addictions to control victims, Bonner also used force and other forms of coercion to maintain control over victims. For example, Bonner often isolated women from their families and from each other to prevent them from leaving and to render them helpless. With his size and demeanor, he also intentionally intimidated victims to ensure that they continued to prostitute and provide their prostitution proceeds to him. On one occasion, Bonner ordered a co-conspirator to beat one victim. He also frequently confiscated victims’ identification documents and victims’ cellular telephones (because they often contained the contact information of victims’ family members who might help them escape). Bonner also had a habit of anally sodomizing victims forcibly as a means of inflicting pain and punishing them.
A co-conspirator, Michael Anthony Randall, also known as “Divine tha Victorious Mack,” previously pleaded guilty and was sentenced to 25 years in prison.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement, Sheriff David P. Decatur of the Stafford County Sheriff’s Office, and Colonel Edwin C. Roessler, Jr., Chief of the Fairfax County Police Department, made the announcement after sentencing by U.S. District Judge Liam O’Grady. Assistant U.S. Attorney Michael J. Frank and Special Assistant U.S. Attorney Kathryn A. Kimball prosecuted the case. The Spotsylvania County Sheriff’s Office, the Henrico County Police, and the Stafford County Commonwealth Attorney’s Office also assisted in the investigation.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:14-CR-425.
Second Canadian Marijuana Trafficker Receives Life SentenceRead the Press Release
SYRACUSE, NEW YORK – Gaetan "Gates" Dinelle, age 42, of Cornwall, Ontario, was sentenced yesterday to life imprisonment for running a drug trafficking organization that made more than $10 million in profits in a single year.
The announcement was made by United States Attorney Richard S. Hartunian and Special Agent in Charge James J. Hunt, New York Division, Drug Enforcement Administration.
Dinelle and co-defendant Michael C. "Mickey" Woods were convicted following a six-day jury trial in July 2015, which was presided over by Senior United States District Judge Norman A. Mordue. Judge Mordue sentenced Woods to life imprisonment on January 14, 2016.
The evidence at trial proved that Dinelle assisted Woods in running a vast international marijuana operation from Cornwall, Ontario, Canada, which operated from about 2005 until 2008. During the trial in federal court in Syracuse, witnesses testified that Woods procured large quantities of marijuana from his sources in Canada, and with Dinelle, arranged for it to be smuggled across the border into the United States. Couriers selected and supervised by Woods and Dinelle delivered the marijuana to buyers throughout the Eastern United States.
The prosecution of Dinelle, which began with an indictment in November 2008, involved the extradition of 15 people from Canada, including Woods and Dinelle, in one of the largest uses of the extradition treaty between the two countries in a single case.
"Gaetan Dinelle supervised a massive drug trafficking organization and, like his boss, Mickey Woods, was sentenced accordingly," stated U.S. Attorney Richard S. Hartunian. "Our resolve to bring cross-border criminals to justice is reflected in this lengthy and successful case, which is the product of great cooperation between agencies on both sides of the border."
DEA Special Agent in Charge James J. Hunt stated, "Two defendants, Mickey Wood and Gaetan Dinelle, were both sentenced to life imprisonment within a week apart. These sentencings are indicative of the successful law enforcement collaboration entailed with the dismantlement of Mickey Woods’ multi-million dollar marijuana trafficking ring that operated on the Northern Border. I commend our Canadian, federal, state and local counterparts who worked on this investigation."
Between 2006 and February 2008, law enforcement officers seized approximately $2 million dollars in currency representing proceeds of marijuana trafficking and approximately 400 kilograms (nearly 1,000 pounds) of marijuana from couriers working for Woods and Dinelle.
Evidence during the trial included law enforcement estimates that the Woods organization distributed more than 22,000 pounds of high-grade marijuana with gross wholesale receipts of approximately $47 million.
This case was investigated primarily by the Drug Enforcement Administration and Homeland Security Investigations, and was prosecuted by Assistant U.S. Attorney Carl G. Eurenius. The Criminal Division’s Office of International Affairs Acting Associate Director, Lisa Roberts, and former International Affairs Specialist Benjamin Kurland provided significant assistance throughout the extradition stage of the prosecution.
Seabrook Woman Sentenced to Home Confinement for Social Security, Food Stamp, and Medicaid FraudRead the Press Release
CONCORD, N.H. – Beverly Eaton, 57, of Seabrook, who pleaded guilty to one count of Social Security Fraud and four counts of Making False Statements on September 28, 2015, was sentenced today to three years of probation, including six months of home confinement, and was ordered to pay $51,189.70 in restitution to the Social Security Administration and $11,235.36 to the New Hampshire Department of Health and Human Services, announced United States Attorney Emily Gray Rice.
Eaton started receiving Food Stamps and Medicaid in 2008, and Social Security disability benefits in February 2009. Eligibility for each of these benefits programs is based, in part, on the applicant having limited income and resources. At the time she applied for benefits and at subsequent reviews to assess continuing eligibility, Eaton failed to disclose that she owned two pieces of real estate, each with an assessed value of over $30,000, and instead, falsely reported that she did not own any real estate. Her ownership of these properties would have rendered her ineligible to receive any Supplemental Security Income benefits, Food Stamps, or Medicaid. Eaton concealed her ownership of these properties from the Social Security Administration and from the New Hampshire Department of Health and Human Services from the time of her applications in 2008 until her fraud was uncovered by an investigation in October 2014. As a result of her concealment and false statements, Eaton received $62,425.06 in disability benefits, Food Stamps, and Medicaid benefits that she would not have received if she had truthfully reported her real estate assets.
The case was investigated by the Social Security Administration’s Office of the Inspector General in conjunction with the New Hampshire Department of Health and Human Services’ Office of Improvement and Integrity, and prosecuted by Special Assistant United States Attorney Karen Burzycki.
Rwandan Refugee Ordered Detained Pending SentencingRead the Press Release
After a detention hearing held yesterday, Ken Ngombwa, 56, from Cedar Rapids, Iowa, was ordered detained pending sentencing.
Last week, Ngombwa was convicted of one count of unlawfully procuring or attempting to procure naturalization or citizenship; one count of procuring citizenship to which he was not entitled; one count of conspiracy to unlawfully procure citizenship; and one count of making a materially false statement to agents of the Department of Homeland Security. The evidence at trial showed Ngombwa knowingly made several material false statements to procure entry into the United States as a refugee from Rwanda in 1998. Notably, Ngombwa falsely claimed to be the brother of a former Prime Minister of Rwanda, who now lives in exile.
Evidence presented at the detention hearing revealed that Ngombwa is currently under indictment in Rwanda for allegedly committing crimes against humanity before he fled the country in 1994. Evidence also showed that he would face sentences of 30 years’ imprisonment and life imprisonment on other prior judgments in Rwanda. Following the presentation of evidence at the detention hearing, Chief United States District Court Judge Linda R. Reade found that Ngombwa had not shown by clear and convincing evidence that he was not a risk of flight. Accordingly, Chief Judge Reade ordered Ngombwa be detained.
The case was originally referred to the Department of Homeland Security in 2011 by the Prosecutor General of Rwanda. A sentencing date will be set after a presentence report is prepared. Ngombwa will remain in the custody of the United States Marshals Service until sentencing. He faces a possible maximum sentence of 30 years’ imprisonment, a $1,000,000 fine, $400 in special assessments, and 12 years of supervised release following any imprisonment. Ngombwa also faces loss of his citizenship in the United States.
The case is being prosecuted by Assistant United States Attorneys Richard L. Murphy and Ravi T. Narayan, and was investigated by Homeland Security Investigations.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 14-CR-00123.
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Rockport Man Gets 30 Years for Producing Child PornographyRead the Press Release
CORPUS CHRISTI, Texas – A 28-year-old Rockport man has been ordered to federal prison following his conviction of sexual exploitation of a child, otherwise known as production of child pornography, announced U.S. Attorney Kenneth Magidson. Calvin Nesmith pleaded guilty Nov. 20, 2015.
Today, Senior U.S. District Judge Janis Graham Jack handed Nesmith a sentence of 360 months in federal prison. At the hearing, additional information was presented including evidence that he possessed more than 3,000 images and more than 360 videos of child pornography. Testimony was also provided that Nesmith requested advice on how to seduce a 14-year-old girl and discussed his desire to sexually abuse an eight-year-old relative. The court also heard about the images on his cell phone, much of which depicted prepubescent girls engaging in sexually explicit conduct with adult men, including bondage with handcuffs, etc. The further heard an impact statement from the victim. Nesmith was also ordered to serve the rest of his life on supervised release, during which time he will have to comply with numerous requirements designed to restrict his access to children and the Internet and will be required to register as a sex offender.
In June 2015, Nesmith was communicating with a person he believed was the mother of two minor female children. In reality, he was actually talking to an undercover Homeland Security Investigations (HSI) agent from Laredo. During the course of the communications, Nesmith made arrangements to meet and engage in sexual activity with the mother’s minor female children.
Nesmith also sent sexually explicit photographs depicting images of child pornography through text messages and emails to the undercover agent. The images were taken of a 14-year-old female while she was sleeping.
He was apprehended as he arrived at the designated meeting place. At the time of his arrest, Nesmith had several electronic devices and condoms with him. A forensic search of those electronic devices led to the discovery of an electronic image depicting Nesmith involved in sexually explicit conduct with a female minor.
Nesmith was arrested on the federal charges in September 2015 and has been in custody since that time where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges were the result of an investigation conducted by Homeland Security Investigations with the assistance of the Corpus Christi Police Department – Internet Crimes Against Children Task Force.
This case, prosecuted by Assistant U.S. Attorney Hugo R. Martinez, 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."
Rochester Man Sentenced for Receiving Stolen GoodsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Igor Kasap, 35, of Rochester, NY, who was convicted of receiving stolen goods, was sentenced to one year probation by U.S. District Court Judge Charles J. Siragusa.Assistant U.S. Attorney Craig R. Gestring, who handled the case, stated that the defendant and co-defendant, Arkadiy Kasap, operated a shipping company located at 500 Trolley Boulevard in Rochester. The shipping company operated under various names including A.S.A.P. Trans, Inc.
In September, 2011, A.S.A.P. Trans was involved in shipping 16 pallets of synthetic jet engine oil from an Exxon-Mobil plant in Edison, New Jersey to a facility in Portland, Oregon. Each pallet contained 40 cases of oil and was valued at $14,000 per pallet. While in transit from New Jersey to Oregon, one of the pallets was stolen and diverted to the defendant’s Trolley Boulevard warehouse.
Kasap and his co-defendant put the pallet of stolen oil online using eBay in an attempt to sell it. However, investigators saw the online posting and set up an undercover operation during which they recovered the stolen oil from the defendants.
Arkadiy Kasap has been convicted and is awaiting sentencing.
The sentencing is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation under, the direction of Special Agent in Charge Adam S. Cohen, Inspectors with the United States Postal Inspection Service, under the direction of Shelly Binkowski, Inspector In Charge of the Boston Division, and Officers and Investigators of the Gates Police Department, under the direction of Chief James VanBrederode.Rochester Man Pleads Guilty to Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Raymond Collazo, 30, of Rochester, NY, pleaded guilty before U.S. District Judge Charles J. Siragusa to possession with intent to distribute 100 grams or more of heroin and possession of a firearm in furtherance of a drug trafficking crime. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, a fine of $5,250,000 or both.Assistant U.S. Attorney Robert A. Marangola, who is handling the case, stated that Collazo led a Rochester-based drug organization which processed, packaged and resold large quantities of crack cocaine and heroin in the City of Rochester. Collazo and co-defendant Luis Abril utilized multiple locations, including 617 Ridgeway Avenue in Rochester to store, process and distribute the narcotics, and armed themselves while doing so.
On April 24, 2014, Collazo, Abril and others were arrested following the execution of multiple search warrants in Rochester, as well as Collazo’s residence in Orlando, Florida. Collazo and Abril were taken into custody at 617 Ridgeway Avenue where officers seized over 12 grams of cocaine packaged for sale, 200 grams of heroin, three loaded handguns, one of which was stolen, dozens of rounds of ammunition, $2,466 in U.S. currency, and paraphernalia for processing, packaging, and distributing cocaine and heroin.
Abril was previously convicted and sentenced to 10 years in prison.
Today’s plea is the culmination of an investigation by the Organized Crime Drug Enforcement Task Force, and included involvement by the part of Rochester Police Department, under the direction of Chief Michael Ciminelli, the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge Delano A. Reid, the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, and the Monroe County District Attorney’s Office, under the direction of Sandra Doorley.
Sentencing is scheduled for April 25th at 2:15 p.m. before Judge Siragusa.
Repeat Bank Robber Who Struck from Coast to Coast Sentenced to 10+ Years in PrisonRead the Press Release
A 57-year-old repeat bank robber was sentenced today in U.S. District Court in Seattle to 127 months in prison and three years of supervised release for multiple bank robberies and the armed robbery of the Nordstrom fine jewelry department, announced U.S. Attorney Annette L. Hayes. WILLIAM MITCHELL was arrested in Grants Pass, Oregon on November 12, 2014, following a string of robberies in Washington State and the robbery of the downtown Nordstrom fine jewelry department on September 11, 2014. At sentencing U.S. District Judge Richard A. Jones said, “In committing these robberies you displayed a callous disregard for the victims and a callous disregard for the consequences of your actions.”
“Seeing a firearm brandished during a bank robbery is a searing experience for anyone who is there,” said United States Attorney Annette L. Hayes. “I commend the FBI and Seattle Police Department for their work on this case that will ensure this defendant will not be able to victimize more bank tellers and patrons for a very long time.”
According to records filed in the case, MITCHELL was identified as a serial bank robbery suspect following the robberies of Homestreet Bank in Seattle (July 28, 2014), Wells Fargo Bank in Seattle (July 29, 2014), Timberland Bank in Olympia (October 30, 2014) and Numerica Federal Credit Union in Spokane (November 7, 2014). Seattle police also used DNA evidence to connect MITCHELL to the armed robbery of the Nordstrom store. DNA evidence also connected MITCHELL to bank robberies in Naples, Florida on April 4, 2014 and in Santa Barbara, California on October 2, 2014. Speaking with investigators following his arrest, MITCHELL admitted he also committed bank robberies in South Burlington, Vermont on July 5, 2014, Ocean Springs Mississippi on May 23, 2014 and Manchester, New Hampshire, on May 30, 2014.
In some of the robberies MITCHELL was armed with a .22 caliber hand gun. In others he was armed with a pellet gun or an airsoft gun – both of which appeared to the victims to be deadly firearms.
MITCHELL has an extensive criminal history in Canada and the U.S. dating back to the early 1980s. In 1990 MITCHELL was sentenced to 207 months in prison for eleven armed bank robberies in Florida, Wisconsin, California and Washington.
The case was investigated by the FBI and the Seattle Police Department. The case was prosecuted by Special Assistant United States Attorney Stephen Hobbs. Mr. Hobbs is a Senior Deputy King County Prosecutor specially designated to prosecute firearms cases in federal court.
Prison Nurse Sentenced for Smuggling Heroin for Federal InmateRead the Press Release
BEAUMONT, Texas – A 44-year-old Beaumont woman has been sentenced for bringing prohibited drugs into a federal prison in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Lakista Lashau Davis pleaded guilty on Aug. 27, 2015, to conspiracy to possess with intent to distribute heroin and was sentenced to 36 months in federal prison on Jan. 21, 2016 by U.S. District Judge Thad Heartfield.
According to information presented in court, from November 2014 to March 2015, Davis, while employed as a contract nurse at the Beaumont Federal Correctional Complex, conspired with an inmate to smuggle heroin into the Beaumont Prison Complex for distribution. Davis agreed to a $5,000 payment in return for smuggling the drugs. Davis was indicted by a federal grand jury on Apr. 2, 2015.
This case was investigated by the Federal Bureau of Prisons, Office of Inspector General and the Drug Enforcement Administration and prosecuted by Assistant U.S. Attorney John Craft.
Pasco Man Sentenced to Five Years in Federal Prison for Distribution of Child PornographyRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Anthony Ryan Jacobs, age 36, of Pasco, Washington, was sentenced today, after having previously pled guilty on October 1, 2015 to Distribution of Child Pornography. United States District Court Judge Stanley A. Bastian sentenced Brown to a five year term of imprisonment, to be followed by a ten year term of court supervision after he is released from Federal prison. In addition, the Judge ordered Jacobs to forfeit to the United States numerous digital items that he used to store and distribute child pornography. Jacobs is now required to register as a sex offender.
According to information disclosed during the court proceedings, Jacobs was using a Peer to Peer file sharing account to share and distribute child pornography images over the Internet. Undercover law enforcement agents located child pornography files Jacobs was making available for download and later obtained a federal search warrant for Jacobs’ residence. On March 12, 2014, United States Secret Service Agents executed a federal search warrant at Jacobs’ residence and seized Jacobs’ digital devices that he used to store and distribute child pornography. A forensic examination of Jacobs’ personal computer revealed child pornography images and videos of child pornography.
Michael C. Ormsby said, “Prosecuting offenders who are distributing child pornography is a priority for the United States Attorney’s Office in the Eastern District of Washington. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes.”
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States 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. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation
cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted by the United States Secret Service. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and Project Safe Childhood Coordinator for the Eastern District of Washington.
Owner and Manager of Three Miami-Area Home Health Agencies Convicted in $57 Million Health Care Fraud SchemeRead the Press Release
The owner and manager of three Miami-area home health agencies was convicted late yesterday for his role in a health care fraud scheme that resulted in the submission of false and fraudulent claims to Medicare.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Division and Special Agent in Charge Shimon Richmond of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.
Khaled Elbeblawy, 39, of Miramar, Florida, was convicted after trial of one count of conspiracy to commit health care fraud and wire fraud and one count of conspiracy to defraud the United States and pay health care kickbacks.
According to evidence presented at trial, Elbeblawy was the manager of Willsand Home Health Agency Inc. and the owner of JEM Home Health Care LLC and Healthy Choice Home Health Services Inc., all of which were home health agencies in Miami-Dade County. The evidence showed that between January 2006 and May 2013, Elbeblawy and his co-conspirators used the three companies to submit approximately $57 million in false and fraudulent claims to Medicare that were based on services that were not medically necessary, were not actually provided and were for patients who were procured through the payment of kickbacks to doctors and patient recruiters.
The evidence introduced at trial showed that Medicare paid approximately $40 million on those claims.
The FBI and HHS-OIG investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office of the Southern District of Florida. Assistant Chief Nicholas Surmacz and Trial Attorney Vasanth Sridharan of the Criminal Division’s Fraud Section are prosecuting the case, and former Trial Attorney Andrew Warren assisted in the prosecution.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,000 defendants who have collectively billed the Medicare program for more than $6 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to www.stopmedicarefraud.gov.
Oroville Man Sentenced to Prison for Smuggling FirearmsRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Tyler Ryan Cuff, age 32, of Oroville, Washington, was sentenced today after having previously pleaded guilty on October 28, 2015 to one count of Dealing in Firearms Without a License. Senior United States District Court Judge Wm. Fremming Nielsen sentenced Cuff to a 30-month term of imprisonment, to be followed by three years of court supervision after he is released from Federal prison. Cuff will serve his sentence concurrently with a sentence he received in Canada for smuggling an AK-47 into that country.
According to information disclosed during the court proceedings, for several years Cuff has been purchasing firearms at gun shows in Washington, smuggling them into Canada, and selling them there. Cuff did not have a federal firearms license. Several of the firearms Cuff sold were subsequently found at crime scenes in Canada.
Michael C. Ormsby stated, “The illegal sale of firearms presents a danger to citizens here in the United States and elsewhere. I commend the Bureau of Alcohol, Tobacco, Firearms, and Explosives for its thorough investigation of this matter. The United States Attorney’s Office for the Eastern District of Washington will aggressively prosecute firearms violations that occur within this District.”
This investigation was conducted by ATF&E. The case was prosecuted by Rudy J. Verschoor, an Assistant United States Attorney for the Eastern District of Washington.
Normandie Casino Operator Agrees to Plead Guilty to Federal Felony Charges of Violating Anti-Money Laundering StatutesRead the Press Release
LOS ANGELES – The operator of the Normandie Casino in Gardena agreed in court papers filed this morning to plead guilty to charges that it violated anti-money laundering provisions of the Bank Secrecy Act. As part of an agreement with federal prosecutors, the casino agreed to pay nearly $2.4 million for failing to report large cash transactions to federal authorities.
In a plea agreement filed this morning in United States District Court, the Normandie Club, the partnership operating the Normandie Casino, agreed to plead guilty to two felony offenses – failing to maintain an effective anti-money laundering program and conspiring to avoid reporting to the government the large cash transactions of some of the casino’s “high-roller” gamblers.
Under federal law – specifically, the Bank Secrecy Act – casinos like the Normandie are required to implement and maintain programs designed to prevent criminals from using the casino to launder the large sums of cash that illegal activity can generate. For example, casinos must record and report to the government the details of transactions involving more than $10,000 by any one gambler in a 24-hour period.
“The United States has an array of anti-money laundering statutes designed to prevent criminals from using the American financial system to launder the large sums of cash generated by illegal activity such as organized crime, drug trafficking and human trafficking,” said United States Attorney Eileen M. Decker. “Casinos that fail to follow these rules are particularly vulnerable to criminals who seek to disguise illegal cash as gambling winnings.”
In the plea agreement, the Normandie admitted that its casino engaged independent gambling “promoters” to locate high-rollers and then steer those gamblers to the casino. As part of the conspiracy, “high-level personnel” at the casino agreed to avoid reporting to the government the large sums of cash certain high-rollers would bring to the casino. According to the plea agreement, the casino avoided reporting transactions related to the high-rollers by submitting Currency Transaction Reports that named the promoter instead of the gambler, by “structuring” transactions so that they appeared to be less than $10,000, or simply by failing to record large transactions.
During one six-week period in 2013, a single high-roller won more than $1 million from another party at the casino, and the casino conspired to conceal the identity of that high-roller.
Under the plea agreement, prosecutors and the Normandie agree that the casino should pay the maximum fine of $500,000 for each of the two counts, which would result in a total fine of $1 million. Additionally, the casino agreed to forfeit to the government $1,383,530, which it admitted receiving in 2013 while failing to file Currency Transactions Reports.
The Normandie also agreed to cooperate in ongoing criminal investigations, and to create, implement, and maintain an effective anti-money laundering program.
The Normandie Club is being arraigned on this case this afternoon. The formal entry of the guilty pleas will take place at a later date.
The investigation into the Normandie was conducted by IRS – Criminal Investigation and the California Department of Justice’s Bureau of Gambling Control.
Noorvik Resident Sentenced to Seven Months in Prison for Burglary of A Post OfficeRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced that Theodore Westlake, 19, of Noorvik, Alaska, was sentenced today by U.S. District Judge Sharon L. Gleason to seven months in prison for his burglary of a United States Post Office in the village of Noorvik. Westlake was also ordered to pay full restitution.
According to Assistant U.S. Attorney Aunnie Steward who prosecuted the case, Westlake and two others, forcibly entered the Noorvik Post Office, rifled mail, and attempted to drill into a safe looking for cash. Westlake’s burglary was interrupted when the Village Public Safety Officer responded to the scene. Over $3,000 in damage was done by the forced entry and attempt to drill into the safe.
The important role the U.S. Post Office plays in a community such as Noorvik was noted by Judge Gleason in her sentencing comments.
“Postal Inspectors worked closely with the U.S. Attorney’s Office and the Alaska State Troopers on this investigation and will continue efforts in support of the Postal Inspection Service mission to vigorously protect the U.S. Mail and U.S. Postal Service employees and customers against all forms of criminal attack and misuse,” said Seattle Division Inspector in Charge, Anthony Galetti of the U.S. Postal Inspection Service.
U.S. Attorney Loeffler commends the United States Postal Inspection Service and the Alaska State Troopers for the investigation of this case.
New York Man Sentenced to 51 Months in Prison for International $200 Million Credit Card Fraud ConspiracyRead the Press Release
TRENTON, N.J. – A New York man was sentenced today to 51 months in prison for his role in one of the largest credit card fraud schemes ever charged by the Justice Department, U.S. Attorney Paul J. Fishman announced.
Shafique Ahmed, 55, of Floral Park, New York, previously pleaded guilty before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court to an information charging conspiracy to commit bank fraud. U.S. District Judge Anne E. Thompson imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:Ahmed and others were originally charged in February 2013 as part of a conspiracy to fabricate more than 7,000 false identities to obtain tens of thousands of credit cards. Members of the conspiracy doctored credit reports to pump up the spending and borrowing power associated with the cards. They then borrowed or spent as much as they could, based on the phony credit history, but did not repay the debts – causing more than $200 million in confirmed losses to businesses and financial institutions.
The scheme involved a three-step process in which the defendants would make up a false identity by creating fraudulent identification documents and a fraudulent credit profile with the major credit bureaus; pump up the credit of the false identity by providing false information about that identity’s creditworthiness to those credit bureaus; finally, run up large loans.
The scope of the criminal fraud enterprise required Ahmed and his conspirators to construct an elaborate network of false identities. Across the country, the conspirators maintained more than 1,800 “drop addresses,” including houses, apartments and post office boxes, which they used as the mailing addresses of the false identities.
Ahmed admitted that he and others helped obtain credit cards in the name of third parties – many of which were fictional – then directed the credit cards to be mailed to addresses controlled by members of the conspiracy. He also admitted they knew the cards would be used fraudulently at businesses.In addition to the prison term, Judge Thompson sentenced Ahmed to five years of supervised release and entered a forfeiture order for $1 million against him.
U.S. Attorney Fishman praised special agents of the FBI’s Cyber Division, under the direction of Special Agent in Charge Richard M. Frankel, for the investigation leading to the guilty pleas, as well as postal inspectors, under the direction of Postal Inspector in Charge Marie L. Kelokates, and special agents of the U.S. Secret Service, Newark Field Office, under the direction of Acting Special Agent in Charge Kenneth Pleasant. He also thanked the U.S. Social Security Administration for its role in the investigation.
The government is represented by Assistant U.S. Attorneys Daniel V. Shapiro and Zach Intrater of the U.S. Attorney’s Office Criminal Division and Barbara Ward of the office’s Asset Forfeiture and Money Laundering Unit in Newark.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.stopfraud.gov.
Defense counsel: Joseph Giaramita Esq., BrooklynNew Orleans Man Sentenced to 20 Years in Interstate Heroin ConspiracyRead the Press Release
U.S. Attorney Kenneth A. Polite announced that STANLEY FULTON, age 40, a resident of New Orleans, was sentenced yesterday for conspiring to distribute more than a kilogram of heroin in the New Orleans area, after previously having been convicted in federal court for conspiracy to distribute heroin.
U.S. District Judge Carl J. Barbier sentenced FULTON to 240 months in prison, 10 years of supervised release following his prison term, and a $100 special assessment.
According to court documents, a series of court-authorized wiretaps on the cell phones of New Orleans area heroin dealers led Drug Enforcement Administration agents to identify co-defendant Fredrick Douglas Brooks III as a Houston-based heroin trafficker who was distributing kilogram quantities of heroin in the New Orleans market through drug and bulk cash couriers. FULTON was one of the New Orleans drug brokers who purchased kilogram and multi-kilogram quantities of heroin from Brooks’ network for further distribution in New Orleans.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration in investigating this matter. Assistant United States Attorney Michael B. Redmann is in charge of the prosecution.
New Orleans Man Pleads Guilty to One Count of Conspiracy to Receive Illegal KickbacksRead the Press Release
U.S. Attorney Kenneth A. Polite announced that CARY PAYTON, age 61, of New Orleans, pled guilty to one count of conspiracy to receive illegal kickbacks.
On March 12, 2015, PAYTON was indicted along with 19 other defendants in a 26-count indictment charging approximately $30,052,295 in Medicare fraud and the BP fraud.
PAYTON was a Licensed Practical Nurse (LPN) at Abide Home Care Services, a home health company operated by owner Lisa Crinel. PAYTON and other LPNs, aides, recruiters and marketers were paid about $150 - $300 for each referral of a Medicare beneficiary to Abide. Abide then fraudulently billed Medicare for medically unnecessary home health services. PAYTON admitted to receiving a $300 payment for his referral of a Medicare beneficiary to Abide.
PAYTON faces a maximum term of imprisonment of five years, a $250,000 fine, and three years of supervised release following imprisonment. U.S. District Judge Susie Morgan set sentencing for April 20, 2016.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant U.S. Attorneys Patrice Harris Sullivan, Sharan Lieberman and Andre Lagarde are in charge of the prosecution.
New Jersey Man Found Guilty of Robbing and Murdering Ossining ResidentRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that ANTHONY GRECCO, a New Jersey resident, was found guilty today of robbing and murdering Ryan Ennis, a resident of Ossining, New York, and of conspiring to distribute marijuana and heroin. Following a nine-day trial before the Honorable Kenneth M. Karas, a jury found that GRECCO traveled on August 26, 2014 from New Jersey to Ossining, where he robbed and murdered Ennis in furtherance of GRECCO’s narcotics trafficking activities.
U.S. Attorney Preet Bharara stated: “Anthony Grecco took a human life, violently murdering Ryan Ennis, for a few thousand dollars. Today, a unanimous jury reached a swift verdict, holding Grecco accountable for his callous crime. I want to thank our local and federal law enforcement partners for making this conviction possible.”
As established by the evidence at trial:
GRECCO was a marijuana dealer based in New Jersey. As of the spring of 2014, one of his customers was Ryan Ennis, 25, who had been purchasing marijuana from GRECCO and reselling it in the area around Ossining, New York. By late summer 2014, GRECCO’s marijuana supply had dried up and he became desperate for cash.
GRECCO set up a meeting with Ennis on the pretense that he would be bringing more marijuana for Ennis. In fact, GRECCO intended to rob Ennis, and kill him if necessary, in order to get money. He wanted that money not only because he was strapped for cash, but because he intended to invest in the heroin business of another drug dealer in New Jersey. In preparation for the meeting with Ennis, GRECCO obtained a knife and stuffed a backpack full of linens so that Ennis would not realize that GRECCO had arrived without any marijuana.
On August 26, 2014, GRECCO drove with two accomplices from New Jersey to an apartment complex in Ossining, where Ennis was waiting alone in his father’s apartment. After arriving in Ossining, while the other two individuals waited outside, GRECCO went into the apartment and robbed Ennis. In the course of the robbery, GRECCO stabbed Ennis repeatedly and slashed his throat, killing him. GRECCO took $8,900 – the cash that Ennis had prepared for the marijuana deal – as well as a cellphone and a hat, from Ennis. After the murder, GRECCO returned to New Jersey, where he showered and threw away the blood-stained clothes that he had been wearing in an attempt to cover his tracks.
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GRECCO was found guilty on all five counts in the Indictment, namely, (1) conspiracy to commit Hobbs Act robbery; (2) Hobbs Act robbery; (3) conspiracy to distribute marijuana; (4) conspiracy to distribute heroin; and (5) Travel Act murder. Sentencing is scheduled for May 25, 2016. GRECCO faces a maximum sentence of life in prison. The statutory maximum penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of GRECCO will be determined by the judge.
U.S. Attorney Bharara praised the outstanding investigative work of the Village of Ossining Police Department and the FBI’s Westchester County Violent Crimes Task Force, which is comprised of investigators from the FBI, the Westchester County Police Department, the Westchester County District Attorney’s Office, the City of Peekskill Police Department, the New York City Police Department, and the City of Yonkers Police Department.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Michael Gerber, Scott Hartman, and George Turner are in charge of the prosecution.
New Jersey Court Permanently Bars South Florida Man from Preparing Tax Returns for OthersRead the Press Release
A federal court in New Jersey has permanently barred a South Florida man from preparing federal income tax returns for others, the Justice Department announced today.
Felix Taveras Santos, of Doral, Florida, is prohibited individually and doing business as Latino Tax LLC, from operating a tax return preparation business in the future, pursuant to the civil injunction order. Santos agreed to the entry of the injunction but did not admit to the allegations in the civil complaint against him.
According to the complaint, Santos and his business, which was located in Atlantic City, New Jersey, prepared false and improper returns during the 2010 through 2014 filing seasons. The Internal Revenue Service (IRS) audited 43 federal tax returns that Santos or one of his employees prepared, and the audits resulted in adjustment of 80 percent of those returns and a total income tax deficiency of approximately $100,000, according to the complaint. The complaint alleged that Santos and his employees understated their customers’ tax liabilities or inflated their refunds by improperly:
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claiming child tax credits, including for children who lived outside of the United States;
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declaring dependency exemptions, for instance, for customers who had no proof that they supported the children; and
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using incorrect filing statuses, such as single or head-of-household for customers who were married.
The injunction order requires Santos to provide the United States with a list of his customers since 2010 and to send a copy of the court’s injunction order to all customers for whom he and Latino Tax LLC prepared returns starting in 2010.
Return preparer fraud is one of the IRS’s Dirty Dozen Tax Scams for 2015. The IRS has some tips on its website for choosing a tax preparer, and has launched a free directory of federal tax preparers. In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers and tax scheme promoters. Information about these cases is available on the Justice Department’s website. A list of persons enjoined from preparing returns and promoting tax schemes can be found here. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
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New Haven Man Pleads Guilty to Federal Firearms OffenseRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that EARL HOBBY, 37, of New Haven, pleaded guilty yesterday in Hartford federal court to count one of possession of ammunition by a convicted felon.
According to court documents and statements made in court, on December 19, 2014, members of the New Haven Police Department responded to a call concerning a person with a firearm at 154 Frank Street in New Haven. HOBBY was arrested in the vicinity and was found to be in possession of two rounds of Winchester .38 Special ammunition. A loaded Ruger .357 revolver also was found in the area.
Prior to December 2014, HOBBY had sustained multiple narcotics convictions and a weapon conviction. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
HOBBY is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson on April 25, 2016, at which time he faces a maximum term of imprisonment of 10 years.
The matter has been investigated by the New Haven Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant U.S. Attorneys Jennifer Laraia and Anthony Kaplan.
New Haven Man Pleads Guilty to Federal Assault in Aid of Racketeering and Crack Distribution OffensesRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that CHRISTOPHER GRAHAM, also known as “Ugg,” 28, of New Haven, pleaded guilty yesterday before Chief U.S. District Judge Janet C. Hall in New Haven to one count of assault in aid of racketeering and one count of possession with the intent to distribute crack cocaine.
On September 30, 2015, a federal grand jury in New Haven returned a 34-count indictment against GRAHAM and five co-defendants charging various racketeering, violent crimes in aid of racketeering, firearms, money laundering and narcotics distribution offenses. The indictment described a criminal enterprise known as the Red Side Guerilla Brims (“RSGB”), a sect of the Bloods street gang that operated in New Haven from 2011 through 2015, which was engaged in narcotics trafficking and related acts of violence, including murder, attempted murder, assaults and armed robberies.
In pleading guilty, GRAHAM admitted that he was a member of the RSGB in 2014. As part of his gang membership, on December 23, 2014, he committed a violent assault of an individual over a .40 caliber pistol that the victim allegedly stole from him. GRAHAM also admitted that he committed the assault along with another RSGB member whom he had called to the scene after realizing the victim had stolen the gun.
GRAHAM further admitted that, on October 10, 2014, he possessed 34 baggies of crack cocaine that he intended to distribute, and on multiple occasions in December 2014, either distributed or possessed with the intent to distribute quantities of crack cocaine.
GRAHAM has been detained since his arrest on October 6, 2015. He is scheduled to be sentenced by Judge Hall on April 15, 2016 and faces a maximum penalty of 20 years of imprisonment and a $250,000 fine on the assault count, and 20 years of imprisonment and a $1 million fine on the drug count.
This ongoing investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the New Haven Police Department, the Connecticut Department of Correction, the Connecticut State Police, the U.S. Drug Enforcement Administration, the Maine Drug Enforcement Agency and the Hamden Police Department. The New Haven State’s Attorney’s Office also provided critical assistance in the investigation.
An instrumental component of the investigation has been the work of the Connecticut State Crime Laboratory in utilizing the National Integrated Ballistic Information Network (NIBIN) to analyze ballistics evidence.
This matter is being prosecuted in the District of Connecticut by Assistant U.S. Attorneys Robert M. Spector and Peter D. Markle. A related case in the District of Maine is being prosecuted by Assistant U.S. Attorney Joel Casey.
Money Transmitter Pleads Guilty to Willful Failure to Maintain Adequate Anti-Money Laundering ProgramRead the Press Release
Assistant U.S. Attorney Daniel C. Silva at (619) 546-9713
NEWS RELEASE SUMMARY – January 22, 2016
SAN DIEGO – San Diego-based money transmitter Baltazar Fitch pleaded guilty today in federal court to failing to maintain an adequate anti-money laundering program at his various money transmitting businesses (“MTBs”). Fitch was the manager, supervisor, and owner of the MTBs.
As defined in the Bank Secrecy Act (the “BSA”), a money transmitting business is an entity that provides various financial services, including but not limited to accepting currency and transmitting the currency by any means. As part of Fitch’s duties as manager, supervisor, and owner of the MTBs, he coordinated the receipt, transmission, and delivery of currency for the MTBs’ customers. He was aware that the BSA, at Title 31, United States Code, Section, 5318(g), required the MTBs to “report any suspicious transaction relevant to a possible violation of law or regulation” (a “5318(g) Report”) with the Department of Treasury.
As detailed in the Plea Agreement entered today in front of U.S. Magistrate Judge Mitchell D. Dembin, the MTBs repeatedly accepted large quantities of cash from Mexican-based currency exchange houses, knowing that the cash transactions were relevant to a possible violation of law or regulation without filing any 5318(g) Reports. Fitch, acting through the MTBs, provided currency exchange and transmission services to clients in Mexico and the U.S. In order to be able to deposit currency into U.S. bank accounts and wire transfer those funds to locations abroad, Fitch partnered with businesses located within the Southern District of California that maintained active bank accounts at various U.S. financial institutions. By utilizing these bank accounts, Fitch knew that the banks falsely believed the cash deposits were revenues/expenses generated from the sale of goods, when, in reality, they were funds transferred on behalf of the MTBs.
Fitch was also aware that the BSA, specifically Title 31, Code of Federal Regulations, Section 1022.210, required each MTB to develop, implement, and maintain an effective anti-money laundering program that: (i) was reasonably designed to prevent the MTBs from being used to facilitate money laundering; (ii) maintained written policies, procedures, and controls governing the verification of customer identification, the filing of reports such as 5318(g) Reports, the creation and retention of records, response to law enforcement requests, and other compliance with BSA requirements; and (iii) the MTBs designated a compliance officer, who was responsible for assuring that the business complied with all BSA requirements. Fitch failed to comply with any of these regulations.
The criminal case is assigned to U.S. District Court Judge Cynthia Bashant (16cr123-BAS). U.S. Magistrate Judge Mitchell D. Dembin allowed Fitch to remain on pretrial release, pursuant to the terms of a bond posted by Fitch.
“When criminal networks attempt to evade U.S. banking regulations by concealing unlawful money transfers with legitimate business transactions, they can expect to quickly find law enforcement on the money trail,” said Dave Shaw, special agent in charge for ICE Homeland Security Investigations in San Diego. “I commend the investigators for their work that not only unraveled a significant financial scheme with cross border ties, but underscores HSI’s commitment to combating financial crime.”
DEFENDANT Case No. 16cr123-BAS
Baltazar Fitch Chula Vista, CA
SUMMARY OF CHARGES
Willful Failure to Maintain Adequate AML Program – Title 31, U.S.C., Section 5322
Maximum penalty: Five years’ imprisonment, $250,000 fine or twice the gross gain resulting from offense, whichever is greatest
AGENCY
Homeland Security Investigations
Drug Enforcement Administration
Members of Counterfeit Currency Conspiracy SentencedRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Sandra Nieves (41, Orlando) to three years and ten months in federal prison for conspiring to pass and possess counterfeit currency. Her co-conspirator, Eileen Santos (51, Orlando), was sentenced to seven months in federal prison for her role in this case. Both women were found guilty by a federal jury on October 28, 2015.
According to evidence presented during trial and sentencing, between December 2011 and January 2012, Nieves, Santos, along with co-conspirators Jorge Ortiz-Pulgarin, Ramon Rodriguez, Carlos Fuentes, and others, traveled from central Florida up the east coast of the United States with approximately $40,000 in counterfeit currency. The group stopped at more than 30 locations to make small purchases. They used counterfeit $100 bills and received genuine U.S. currency as change. Additionally, Nieves made two trips to Colombia to obtain more than $100,000 in counterfeit currency to bring back into the United States.
Five others members of the conspiracy were previously federally charged, convicted, and sentenced for their roles in this case. Fabian Ortiz and Erik Rodriguez were each sentenced to 27 months’ imprisonment; Jorge Ortiz-Pulgarin was sentenced to 21 months in federal prison; Ramon Rodriguez and Carlos Fuentes were sentenced to serve 7 and 6 month sentences, respectively.
This case was investigated by the United States Secret Service. It was prosecuted by Assistant United States Attorneys Embry J. Kidd and Shawn P. Napier.
Member of Minneapolis-Based Gang Sentenced to 10 Years in Prison for Conspiracy to Distribute Crack CocaineRead the Press Release
United States Attorney Andrew M. Luger today announced the sentencing of CARNEL LAVEL HARRISON, a/k/a “Boo Man,” 27, with conspiring to distribute crack cocaine in the Twin Cities and Greater Minnesota. HARRISON pleaded guilty on April 30, 2015. He was sentenced on January 21, 2016 before U.S. District Judge Patrick J. Schiltz in U.S. District Court in Minneapolis, Minn.
Assistant U.S. Attorney David Steinkamp said: “The defendant and other members of his violent street gang sold significant quantities of crack cocaine to the citizens of St. Cloud and Minneapolis. A sentence of 10 years provides deterrence to others who may try to profit from the misery that drug addiction brings, and will also protect the public from an individual with a history of violent crime.”
According to his guilty plea and documents filed in court, between January and December 2014, HARRISON was closely associated with the Minneapolis-based Taliban/Young N Thuggin (YNT) street gangs. Taliban/YNT gang members use hand gestures, social media, and specific language to communicate amongst each other and to convey membership. They claim an area of north Minneapolis as their territory, and other north Minneapolis gangs, including the 19-Dipset and Stick Up Boys, as enemies.
According to his guilty plea and documents filed in court, HARRISON and his co-conspirators made money by trafficking in illegal drugs, among other criminal activity. Members of the Taliban/YNT frequently traveled to St. Cloud and Duluth, Minnesota, and to Fargo, North Dakota, to sell crack. Crack that the Taliban/YNT could sell in Minneapolis for $20 could be sold for $50 in Greater Minnesota and in North Dakota. Similarly, an amount of crack cocaine sold for $150 in the Metro area would sell for between $220 and $250 in Greater Minnesota.
According to his guilty plea and documents filed in court, HARRISON and his co-conspirators would carry guns to protect themselves and their money while trafficking crack cocaine. They also use guns to both protect against attacks by rival gangs and to retaliate violently to threats or assaults by their rivals. Their use of weapons is intended to gain street supremacy and further the gang’s ability to sell illegal drugs.
This case was the result of an investigation conducted by the Safe Streets Task Force, which is comprised of federal and local law enforcement agencies, including, but not limited to, the FBI, Minneapolis Police Department, Minnesota Bureau of Criminal Apprehension and St. Paul Police Department. The St. Cloud Violent Crimes Task Force and the St. Cloud Police Department were a critical part of this investigation.
This case was prosecuted by Assistant U.S. Attorney David Steinkamp.
Defendant Information:
CARNEL LAVEL HARRISON, a/k/a “Boo Man,” 27
Unknown
Convicted:
- Conspiracy to Distribute Crack Cocaine, 1 count
Sentenced:
-
10 years in prison
-
Five years supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600