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8 March 2016
Four sentenced for drug trafficking offensesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Four individuals were sentenced today in federal court in Clarksburg for drug trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Daleron K. Stewart, 26, of Pittsburgh, Pennsylvania, and Darrell Jeffery Mar, 21, of Verona, Pennsylvania, conspired to possess and sell heroin in Harrison and Monongalia Counties throughout 2014. They each pled guilty in November 2015 to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Heroin.” Stewart was sentenced today to 30 months in prison and Mar was sentenced today to 21 months in prison.
Miranda D. Swiger, 21, of Longwood, Florida, was discovered in possession of heroin in January 2015 in Taylor County, West Virginia. She pled guilty in November 2015 to one count of “Possession with Intent to Distribute Heroin – Aiding and Abetting.” She was sentenced today to 24 months in prison.James Michael Conley, 38, of Clarksburg, sold morphine in September 2014 near Pierpont Community and Technical College in Harrison County, West Virginia. He pled guilty in November 2015 to one count of “Distribution of Morphine within 1,000 feet of a Protected Location.” He was sentenced today to 14 months in prison.
Assistant U.S. Attorneys Shawn Adkins and Stephen Warner prosecuted Conley, Assistant U.S. Attorney Zelda Wesley and former Assistant U.S. Attorney Shawn Morgan prosecuted Swiger, and Assistant U.S. Attorney Andrew Cogar prosecuted Mar and Stewart on behalf of the government. The Greater Harrison County Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated each of the defendants.
U.S. District Judge Irene M. Keeley presided.
Four Sentenced to Prison for Their Involvement in Methamphetamine Trafficking Ring Operating in Henderson County AreaRead the Press Release
ASHEVILLE, N.C. – U.S. District Judge Max O. Cogburn, Jr. today sentenced four men to prison terms ranging from 63 months to 39 months for their involvement in a methamphetamine trafficking ring operating in the Henderson county area, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina.
U.S. Attorney Rose is joined in making today’s announcement by Daniel R. Salter, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office and Sheriff Charles S. McDonald of the Henderson County Sheriff’s Office.
Judge Cogburn sentenced Nahuan Solano, 27, of Hendersonville, N.C. to 63 months in prison followed by five years of supervised release; Eric Lee Garber, 41, of Saluda, N.C. to 60 months in prison followed by four years of supervised release; Benjamin Nelson, 31, of Hendersonville, to 57 months in prison followed by five years of supervised release; and Allan Collado-Raudez, 23, of Asheville, N.C. to 39 months in prison followed by four years of supervised release. They each pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute methamphetamine.
According to filed court documents and today’s sentencing hearing, from about May 2014 to May 2015, the four men were involved in a drug trafficking conspiracy, responsible for distributing significant quantities of methamphetamine in Henderson county and surrounding areas. According to court records, Maria Del Ruiz-Zazueta was the leader of the drug ring and was assisted by her daughter, Stephanie Alvarenga, in supplying the methamphetamine to their co-conspirators. Solano was a methamphetamine trafficker and acted as a runner for Ruiz-Zazueta and Alvarenga. According to court records, the ring’s customers included area methamphetamine traffickers Garber and Nelson. Ruiz-Zazueta and other members of the ring utilized Antonio Barbosa as an alternate source of supply, who was assisted by Collado-Raudez.
Court records show that, on or about May 4, 2015, law enforcement in Oklahoma conducted a traffic stop of the vehicle in which Alvarenga was a passenger. According to court records, Alvarenga and the driver of the vehicle were headed from California to North Carolina, to meet Alvarenga’s mother. During the traffic stop, law enforcement seized nearly 10 pounds of methamphetamine from a backpack located in the trunk of the car.
The four men sentenced today are in federal custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
Four others, Maria Del Ruiz-Zazueta, Stephanie Alvarenga, Daniel Alfaro, and Antonio Barbosa have also entered guilty pleas for their involvement in the drug conspiracy and are currently awaiting sentencing.
Two more conspirators, Wade Henderson and Edwardo Lopez are currently charged with one count of conspiracy to distribute and to possess with intent to distribute methamphetamine and one count of possession with intent to distribute methamphetamine.
The investigation was handled by the DEA and the Henderson County Sheriff’s Office. Assistant U.S. Attorney Thomas Kent of the U.S. Attorney’s office in Asheville is in charge of the prosecution.
Former Topeka Store Clerk Sentenced in Armed Robbery of ATM AttendantRead the Press Release
TOPEKA, KAN. – A former Topeka store clerk was sentenced Tuesday to 24 months in federal prison for helping to plan an armed robbery of a man whose job was to stock ATMs with cash, U.S. Attorney Barry Grissom said.
Ahmad Salim Salti, 21, Topeka, Kan., pleaded guilty to one count of conspiracy to commit robbery. In his plea, he admitted the crime occurred while he was a clerk at the Low Cost Plus convenience store at 3101 S.E. 6th in Topeka. On Sept. 16, 2014, Topeka police were called when a masked gunman brandishing a firearm entered the store just as the victim was beginning to fill an ATM. The gunman – later identified as Pattrick J. Towner, assaulted the victim and took the money. He also took the keys to the victim’s van and escaped in the vehicle.
Investigators learned that Salti had helped to plan the robbery. Salti gave Towner the date and time the victim would come to fill the ATM.
Co-defendant Pattrick J. Towner has pleaded guilty and is awaiting sentencing.
Grissom commended the Topeka Police Department, the FBI and Assistant U.S. Attorney Jared Maag for their work on the case.
Former Office Manager of Louisville, Kentucky, Company Sentenced to 18 Months for Embezzling $800,000Read the Press Release
LOUISVILLE, Ky. – The former officer manager of a Louisville, Kentucky, company was sentenced yesterday in United States District Court, by District Judge Greg N. Stivers, to 18 months in prison, without the opportunity of parole, for embezzling $800,000 announced United States Attorney John E. Kuhn, Jr.
Paige L. Talley, 55, of Louisville, pleaded guilty to a single charge of wire fraud on November 24, 2015. Talley admitted to submitting fraudulent travel reimbursement requests and payroll “miscellaneous adjustments” while employed as human resources and office manager at Luvata Electrofin, Inc. (LEI).
Testimony during sentencing supported statements made by Talley that she suffered from being a battered wife of an alcoholic and from a gambling addiction.
According to the plea agreement, between January 2009 and March 2014, Talley submitted fraudulent reimbursement requests for bogus travel expenses to LEI, resulting in excessive reimbursements.
Further between March 2013 and March 2014, Tally entered and submitted fraudulent “miscellaneous adjustments” to LEI payroll checks resulting in payroll overpayments.
Talley paid $20,000 in restitution today during sentencing and was ordered by Judge Stivers to pay the full restitution order of $800,000.
This case was prosecuted by Assistant United States Attorney David Weiser and was investigated by the United States Secret Service and the Louisville Metro Police Department.
Former Landover Company Employee Admits to Fraudulently Obtaining Business Expenses for Fictitious Client DevelopmentRead the Press Release
Greenbelt, Maryland – James Charlton Davis, III, age 57, of Anderson, South Carolina, pleaded guilty today to wire fraud arising from an elaborate scheme to defraud his employer of at least $240,000.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office.
According to his plea agreement, from May 7, 2012 to March 13, 2013, Davis was the director of the electrical division for a small company in Landover, Maryland that provided construction and preconstruction services to federal agencies. When applying for his job, Davis falsely represented that he had earned a Ph.D. from the Massachusetts Institute of Technology (MIT), when in fact Davis had not attended MIT. Part of his duties as director was to develop new business for the company.
Davis falsely told company executives that he knew executives at several corporate entities, and that he was pursuing contracts with these corporate entities. Davis created and falsely registered online domain names that closely resembled legitimate domain names associated with several of these corporate entities. Davis used these falsely-registered domains to send emails to himself and others at his employer to legitimize the fictional contracts he claimed to obtain on his employer’s behalf. Davis also assumed the identity of an individual who investigation revealed was a contractor with a technology company. Davis had previous interactions with this individual during his previous employment.
In July 2012, Davis told his employer that he had procured contracts with the technology company, headquartered in San Jose, California, to construct cell towers in Alpharetta, Georgia. Davis communicated with himself via email using the stolen identity of the individual, in connection with fictitious contracts with the tech company, and with other corporate entities for supposed upgrades to their data centers. Davis represented that he was working with this individual to perform these contracts. For several of the contracts, Davis sent communications to himself and/or others at his employer, or caused others at his employer’s company to send emails to various personas he had created—some of whom appear to refer to actual employees of the corporate entities with whom Davis claimed to be negotiating contracts.
Related to his supposed efforts to obtain and perform contracts with these corporate entities, Davis traveled extensively and incurred bills for expensive dinners and accommodations. Davis sought and obtained reimbursement from his employer for travel, meals, equipment and labor costs. In fact, however, Davis did not pursue any legitimate business and did not have interactions with any of these corporate entities on behalf of his employer.
Because of Davis’s fraudulent emails, his employer believed that demand for its services had grown exponentially. As a result, his employer stopped pursuing additional contracts, sought larger lines of credit and hired additional personnel.
In March of 2013, his employer learned of the fraud scheme when none of the invoices being submitted to these corporate “clients” - the fictional contacts at these companies - were being paid. Davis’s employer started contacting these “clients” independently, and they all confirmed that they had no business dealings with Davis’s employer or with Davis.
Davis has agreed to forfeit and pay restitution of $240,000, the minimum amount of loss to his employer company.
Davis and the government have agreed that if the Court accepts the plea agreement, Davis will be sentenced to between 57 months and seven years in prison. U.S. District Judge Theodore D. Chuang has scheduled sentencing for June 2, 2016 at 2:00 p.m.
Today’s announcement is part of the efforts undertaken in connection with the President’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. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation and thanked Assistant U.S. Attorneys Thomas M. Sullivan and Ray D. McKenzie, who are prosecuting the case.
Former Investment Adviser at Global Bank Sentenced in Manhattan Federal Court to 5 Years in Prison for $20 Millon Scheme to Defraud ClientsRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that MICHAEL OPPENHEIM was sentenced today to five years in prison and over $20 million in forfeiture for using his position as an investment adviser at JP Morgan Chase & Co. (“JPMC”) to defraud multiple JPMC clients out of millions of dollars over the course of seven years. Among other false and misleading statements, OPPENHEIM lied to his clients by claiming to have invested their money in low-risk municipal bonds and sending them doctored account statements purportedly reflecting those investments and profits earned. In reality, OPPENHEIM used the clients’ money for his own personal benefit and, in certain circumstances, to pay back other clients. OPPENHEIM pled guilty in November 2015 before United States District Judge Analisa Torres, who imposed today’s sentence.
Manhattan U.S. Attorney Preet Bharara said: “Michael Oppenheim’s clients placed not just their money but their trust in their financial adviser, only to have Oppenheim use their investments as his cash cow – to the tune of more than $20 million. Thanks to the FBI’s investigation, Oppenheim’s business of siphoning his clients’ money is over.”
According to the Complaint, the Information, and other statements made in open court:
From at least March 2008 to March 2015, OPPENHEIM, a former investment adviser at JPMC, a global financial institution based in New York City, violated the trust of his clients by converting to his own use and benefit at least $20 million belonging to at least eight clients whose investment advisory accounts at JPMC he purported to manage. OPPENHEIM did not invest these clients’ money in low-risk municipal bonds at JPMC as promised. Instead, after taking a client’s money, OPPENHEIM, without the client’s knowledge, used the client’s money to obtain cashiers’ checks purporting to be remitted by the clients. OPPENHEIM then deposited the cashiers’ checks in at least three online brokerage accounts OPPENHEIM controlled at financial institutions other than JPMC. OPPENHEIM used clients’ funds for his own personal use, including on-line trading in accounts he controlled, and to pay for personal expenses such as gambling and trading debts, a home loan, and credit card bills, including for luxury clothing and travel.
In an effort to cover up his fraudulent scheme, OPPENHEIM provided some clients with fraudulent bank account statements. The purported bank account statements reflected bonds held by other clients of JPMC, but OPPENHEIM caused his clients’ names to appear on the statements in order to give the false impression that OPPENHEIM had purchased bonds on behalf of those clients, as he had promised. In a further effort to conceal his fraud, on several occasions, and without his clients’ consent or authority, OPPENHEIM withdrew funds from one client and deposited those funds into the account of another client.
OPPENHEIM continued the fraud until he was terminated by JPMC in March 2015.
* * *
In addition to the prison sentence, OPPENHEIM, 49, of Livingston, New Jersey, was sentenced to three years of supervised release, and ordered to forfeit $20,185,225 to the United States. In connection with his plea agreement, OPPENHEIM also agreed to pay restitution of more than $27 million to the victims of his crime. A final restitution order will be submitted to the court by June 6, 2016.
The U.S. Securities and Exchange Commission (“SEC”) has pending civil charges against OPPENHEIM in a separate action.
Mr. Bharara praised the work of the FBI, and thanked the SEC and FINRA for their assistance.
The charges were brought in connection with the President’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 is 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. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit and the Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Janis Echenberg and Brooke Cucinella are in charge of the prosecution.
Former East Windsor Resident Pleads Guilty to Federal Explosives OffenseRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PAUL GOTTA, 58, pleaded guilty today in Hartford federal court to one count of knowingly and willfully distributing an explosive material to an individual who was under 21 years of age.
According to court documents and statements made in court, in November 2012, GOTTA aided an individual who was 17 years old in the purchase of thousands of rounds of handgun ammunition. In addition, on two occasions in December 2012, GOTTA purchased two pounds of explosives powder at Riverview Gun Sales in East Windsor and distributed it to the same juvenile.
At time of the offense, GOTTA was a Catholic priest residing at the rectory of St. Philip Church in East Windsor.
On January 30, 2014, a grand jury in Hartford returned a six-count indictment charging GOTTA with aiding and abetting the unlawful transport of a firearm in interstate commerce, aiding and abetting the possession of a handgun by a juvenile, aiding and abetting the possession of ammunition by a juvenile, distribution of explosive material to an individual under the age of 21, aiding and abetting the attempted manufacture of a pipe bomb, and obstruction of justice.
GOTTA pleaded guilty to Count Four of the indictment.
GOTTA is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on May 19, 2016, at which time he faces a maximum term of imprisonment of 10 years and a fine of up to $250,000.
GOTTA was arrested on July 19, 2013, and is released on bond.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the East Windsor Police Department, and is being prosecuted by Assistant U.S. Attorney Robert M. Spector.
Former CEO of Wellcity, Inc. Pleads Guilty to Defrauding InvestorsRead the Press Release
George David George, 61, of Franklin, Tenn., pleaded guilty today in connection with a multimillion dollar investment scheme, announced David Rivera, U.S. Attorney for the Middle District of Tennessee. In a hearing before U.S. District Court Chief Judge Kevin H. Sharp, George pleaded guilty to securities fraud, mail fraud, wire fraud and money laundering.
“This defendant cheated dozens of investors out of millions of dollars based on lies and deception,” said U.S. Attorney David Rivera. “This office will continue to target fraudulent investment scams and to prosecute those who defraud investors for their own personal gain.”
During today’s hearing, George acknowledged being the founder and CEO of WellCity, Inc., a company based in Brentwood, Tenn. that operated a social network devoted to wellness. George admitted that he solicited millions of dollars from WellCity investors by making misrepresentations regarding the revenue and assets of WellCity, misrepresentations regarding collateral to secure investors’ loans, and misrepresentations regarding the status of a supposed initial public offering. George also admitted that he falsely promised investors that their investments were guaranteed and involved no risk. George further acknowledged that he continued to offer supposed shares in WellCity stock even after the Tennessee Securities Division of the Department of Commerce and Insurance issued a Cease & Desist Order prohibiting him from doing so.
George also admitted using funds that had been provided by investors for his personal use, including depositing funds with Gold Strike casino and making massive cash withdrawals.
“The nation's economy is increasingly dependent on the success and integrity of the securities and commodities markets, and financial investors should not have to fear being deceived in an already risk-filled industry,” said A Todd McCall, Special Agent in Charge of the Memphis Division of the Federal Bureau of Investigation. “This plea sends the message that the FBI and its partners will diligently investigate criminal activity involving the deception of investors or the manipulation of financial markets.”
"Investment fraud is like a 'house of cards.' The underlying structure will eventually fall apart and leaves many investors in financial ruin," said Tracey D. Montaño, Special Agent in Charge of the IRS-Criminal Investigation, Nashville Field Office. "IRS-Criminal Investigation is committed to investigating this type of fraud in an effort to protect the financial well-being of the American public. We will continue to work with our law enforcement partners to bring this investigation to a thorough and complete conclusion."
George faces up to 20 years in prison on each fraud count and up to 10 years on the money laundering count. He also faces a criminal fine of up to $5,000,000 and forfeiture of criminal proceeds, and he will be ordered to pay more than $2.3 million in restitution to his victims. George will be sentenced by Chief Judge Sharp on June 10, 2016. His sentence will be imposed by the Court after consideration of the U.S. Sentencing Guidelines and applicable federal statutes.
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service - Criminal Investigation, and the United States Postal Inspection Service, and the Williamson County Sheriff’s Department, with assistance from the Tennessee Department of Commerce and Insurance. The case is being prosecuted by Assistant U.S. Attorney William F. Abely.
Former Airline Employee Sentenced in Logan Airport StingRead the Press Release
BOSTON – A former Delta Airlines employee was sentenced today for smuggling thousands of dollars of what he believed to be drug money past security checkpoints at Boston’s Logan International Airport.
Dino Dunkley, 29, of Mattapan, was sentenced today by U.S. District Court Senior Judge Rya W. Zobel to two years in prison, two years of supervised release and ordered to pay a fine of $3,000. Dunkley previously pleaded guilty to conspiracy to defraud the United States and two counts of illegally entering an airport area with intent to commit a felony.
A federal undercover operation was initiated at Logan Airport in August 2012, after federal agents discovered lapses in airport security and the potential for airline employees to smuggle contraband around the employee security system. Dunkley was one of five individuals identified as a potential smuggler.
On two occasions between October 2012 and December 2012, Dunkley used airport security credentials to evade Transportation Security Administration checkpoints and smuggled $100,000, which was represented to be drug proceeds, from a non-secure airport area to the secured passenger departure area of Logan. Dunkley was paid $3,000 as compensation from a cooperating witness. Unbeknownst to Dunkley, the cash smuggling plan was part of an undercover sting operation.
Four other airport workers, all former JetBlue Airways employees, identified in the investigation were previously sentenced for similar offenses. In January 2015, Rupert Crossley was sentenced to two years in prison and Anthony Trotman was sentenced to 14 months in prison. Eric Vick was sentenced in May 2015 to 18 months in prison. Alvin Leacock was sentenced in December 2015 to 18 months in prison.
U.S. Attorney Carmen M. Ortiz; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; Bob Allison, Federal Security Director of the Transportation Security Administration; Dwain Troutt, Special Agent in Charge of the Federal Air Marshal Service; and Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police, made the announcement today. The U.S. Attorney’s Office would also like to acknowledge the assistance and cooperation of the Massachusetts Port Authority, JetBlue Airways Corporate Security and Delta Airlines. The case was prosecuted by Assistant U.S. Attorneys Carlos A. López, Maxim Grinberg, and Dustin Chao of Ortiz’s Criminal Division.
Five Individuals Indicted in March Grand JuryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office announced today the results of the March 2016 Federal Grand Jury.
“The following named individuals have been charged with a federal crime or crimes by the return of an indictment by the Grand Jury. A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt. United States Sentencing Guidelines may be considered, upon conviction, by the sentencing court. Federal prison sentences are non-parolable.”
CHARLES ALBERT GRINDLE, age 42, of Muskogee, Oklahoma
Failure To Register As Sex Offender
The Indictment alleges that from in or October 2014 to on or about January 26, 2016, in the Eastern District of Oklahoma, and elsewhere, CHARLES ALBERT GRINDLE, defendant herein, an individual required to register as a sex offender under the Sex Offender Registration and Notification Act, after having received a felony conviction from the State of Texas on or about August 25, 1997, for the felony offense of Aggravated Sexual Assault to a Child, traveled in interstate commerce and knowingly failed to register and update his registration as required by the Sex Offender Registration and Notification Act.
The charge arose from an investigation by the United States Marshals Service. The charge is in violation of Title 18, United States Code, Sections 2250(a)(1), 2250(a)(2)(B) and 2250(a)(3), punishable not more than 10 years imprisonment; up to a $250,000.00 fine or both.
Assistant United States Attorney Edward Snow
CHARLES BLAIR SMALLWOOD, age 24, of Durant, Oklahoma
Theft By Officers Or Employees Of Gaming Establishment On Indian Lands
The Indictment alleges that from in or about December 2014, to on or about August 17, 2015, in the Eastern District of Oklahoma, CHARLES BLAIR SMALLWOOD, defendant herein, while an employee of the Choctaw Nation Casino and Resort, in Indian Country did embezzle, abstract, purloin, willfully misapply, and take and carry away with intent to steal any moneys, funds, assets, or other property in excess of $1,000.00 belonging to the Choctaw Nation Casino and Resort, an Indian gaming establishment operated by the Choctaw Nation of Oklahoma pursuant to an ordinance or resolution approved by the National Indian Gaming Commission.
The charges arose from an investigation by the Choctaw Nation Tribal Police and the Federal Bureau of Investigation. The charge is in violation of Title 18, United States Code, Section 1168(b), punishable by not more than 20 years imprisonment; up to a $1,000,000.00 fine or both.
Assistant United States Attorney Kristin Harrington
JADE LaRUE OBREGON, age 38, of Sallisaw, Oklahoma
Wire Fraud
Mail Fraud
Theft Of Federal Program FundsThe Indictment alleges that on or about December 29, 2010, through January 28, 2013, in the Eastern District of Oklahoma, JADE LaRUE OBREGON, defendant herein, knowingly, and with the intent to defraud, devised and executed a scheme to defraud Sequoyah Memorial Hospital by ordering excess Durable Medical Equipment, including diabetic test strips, and selling the same to outside customers without Sequoyah Memorial Hospital’s approval and did so with a PayPal debit card that was ordered on May 12, 2012, by the defendant, through the mail and directed the card to be delivered to her address. The Indictment further alleges that on or about January 1, 2012, and continuing through December 31, 2013, in the Eastern District of Oklahoma and elsewhere, the defendant, being an agent of Sequoyah Memorial Hospital, said organization receiving in the one year period beginning January 1, 2012, benefits in excess of $10,000 from federal health care programs, embezzled, stole, obtained by fraud, and knowingly converted to the use of a person not the rightful owner, property worth at least $5,000 and owned by such organization, that is diabetic test strips.
The charges arose from an investigation by the Federal Bureau of Investigation. The charges are in violation of Title 18, United States Code, Section 1343, punishable by up to 20 years imprisonment, up to a $250,000.00 fine or both; Title 18, United States Code, Section 666(a)(1)(A), punishable by up to 10 years imprisonment, up to a $250,000.00 fine or both and Title 18, United States Code, Section 1341, punishable by up to 20 years imprisonment, up to $250,000.00 fine or both.
Assistant United States Attorney Melody Nelson
CHARLES RAY BENEFIELD, age 32, of Muskogee, Oklahoma
Felon In Possession Of Firearm
Felon In Possession Of AmmunitionThe Indictment alleges that on or about December 30, 2015, within the Eastern District of Oklahoma, the defendant, CHARLES RAY BENEFIELD, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, a firearm and ammunition, which had been shipped and transported in interstate commerce.
The charge arose from an investigation by the Federal Bureau of Investigation, Violent Crime Task Force. The charge is in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, up to a $250,000.00 fine or both.
Assistant United States Attorney Tim Hammer
EDWARD ROBERT SALDANA II, age 29, of Muldrow, Oklahoma
Felon In Possession Of Firearm
Possession Of Methamphetamine And Oxycodone With Intent To Distribute
Possession Of Firearm In Furtherence Of A Drug Trafficking CrimeThe Superseding Indictment alleges that on or about December 10, 2015 and January 5, 2016, within the Eastern District of Oklahoma, the defendant, EDWARD ROBERT SALDANA II, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, firearms, which had been shipped and transported in interstate commerce. The Indictment further alleges that on or about December 10, 2015, in the Eastern District of Oklahoma, the defendant, did knowingly and intentionally possess with intent to distribute a mixture or substance containing a detectable amount of methamphetamine and a mixture or substance containing a detectable amount of Oxycodone, Schedule II controlled substances and did so while possessing a firearm. It’s further alleged that on or about January 5, 2016, in the Eastern District of Oklahoma, the defendant knowingly and intentionally possess with intent to distribute five (5) grams or more of methamphetamine (actual), a Schedule II controlled substance.
The charges arose from an investigation by the Sallisaw Police Department, the Sequoyah County Sheriff’s Department and the Drug Enforcement Administration. The charges are in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, up to a $250,000.00 fine or both; Title 21, United States Code, Sections 841(a)(1), 841(b)(1)(C) and 841(b)(1)(B)(viii), punishable by not less than 5 years or more than 40 years imprisonment, a fine of up to $5,000,000.00 or both and Title 18, United States Code, Section 924(c), punishable by not less than 25 years imprisonment, to be served consecutively, up to a $250,000.00 fine or both.
Assistant United States Attorney Dean Burris
Federal Jury Convicts Crosby County Man on Firearms OffenseRead the Press Release
LUBBOCK, Texas — Following a day and a half trial before Senior U.S. District Judge Sam R. Cummings, a federal jury has convicted Shannon Dale Smith, of Crosbyton, Texas, on a federal firearm offense related to his attempt to extort more than $500,000 from a Crosby County man, announced U.S. Attorney John Parker of the Northern District of Texas.
Smith, 46, pleaded guilty in January 2015 to one count of interstate communications with the intent to extort. He faces a maximum statutory penalty of 20 years in federal prison and a $250,000 fine on the extortion conviction. Today, he was convicted of one count of possessing firearms in furtherance of a crime of violence, for which he faces a minimum mandatory penalty of five years in federal prison, a statutory maximum of life in prison and a $250,000 fine. A sentencing date was not set; Smith has been in custody since his arrest on October 29, 2015.
The government presented evidence during trial that on October 29, 2015, Smith possessed three firearms − a Glock .40 caliber semi-automatic pistol, a Rock River Arms .223 caliber semi-automatic rifle, and a Ruger .22 caliber rifle − in furtherance of transmitting communications to Crosbyton resident, Nathan Royce Boardman, threatening to kidnap and injure Boardman, his wife, his daughters, and his granddaughters.
The government presented evidence that Smith was carrying the Glock, .40 caliber pistol when he went to the drop location to see if Boardman had paid the extortion money. The government also presented evidence that Smith had the .223 caliber semi-automatic rifle and the .22 caliber rifle in his pickup truck as part of hunting ruse in case he was stopped by law enforcement.
According to plea documents filed in the case, on Tuesday morning, October 27, 2015, Smith called Boardman and left a message on his answering machine that said: “We are watching you, there is a note on your north door.”
Boardman found the note that stated: “Follow these Instructions and no one will get Hurt. We Have a man watching your daughter. We Have a man watching your Granddaughter. We Have a man watching you and your wife. We are monitering [sic] your home and cell phone. If you call the police, we will know and someone will be taken from you. If you choose not to participate, someone will be taken from you. You have till Thursday at 9pm to put $525,000 in cash and or gold coins in a bag, duffel style. we [sic] will call you with further instructions. We are watching you. Do what you’re told and no one will be Hurt”.
On the morning of October 29, Boardman received another phone call from Smith in which Smith advised him that he had 14 hours left to get the money or else he would see what Boardman’s granddaughter looked like naked and correctly identified Boardman’s granddaughter by her first name. That evening, Smith called and left a message advising they’d better answer the phone or if they didn’t, it would be the last thing they would remember.
At approximately 6:44 p.m. that evening, Smith called Boardman and provided instructions to drop the extortion money. A short time later, Smith called Boardman again to confirm he had the correct instructions and advised Boardman if “we get a GPS tracker or a dye pack, there’ll be hell to pay.”
At approximately 8:55 p.m., that evening, law enforcement officers departed Boardman’s residence using Boardman’s vehicle and proceeded to the location Smith provided and threw a duffel bag in the weeds next to the boiler, as instructed. Law enforcement officers returned to Boardman’s residence in Boardman’s vehicle. Law enforcement identified a 2011 white GMC pickup truck in the area of the drop location, and they identified the two individuals in the truck as Smith and his minor son. At the time of his arrest, Smith had a semi-automatic pistol on his person.
The FBI, Texas Rangers, Texas Department of Public Safety, Criminal Investigations Division, Crosby County Sheriff’s Office, and Crosbyton Police Department investigated the case. Assistant U.S. Attorney Jeffrey Haag is in charge of the prosecution.
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Federal Grand Jury in Greenville Returns IndictmentsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
United States Attorney Bill Nettles stated today that a Federal Grand Jury in Greenville, South Carolina, returned Indictment(s) against the following:
Spartanburg Resident Charged with Wire Fraud
Claus C. Foerster, age 55, of Spartanburg, South Carolina, was charged in a 5-count indictment with wire fraud, a violation of Title 18, United States Code, Section 1343. The maximum penalty Foerster could receive for each count is 20 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the United States Secret Service and is assigned to Assistant United States Attorney David C. Stephens of the Greenville office for prosecution.Greenville Resident Indicted for Fraud by Producing Counterfeit Access Devices
Thomas Geter, age 41, of Greenville, South Carolina, was charged in a 1-count indictment with Access Device Fraud, a violation of Title 18, United States Code, Section 1029(a)(4). The maximum penalty Geter could receive is 15 years imprisonment and a maximum fine of $250,000. The case was investigated by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) special agents and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.Belton Resident Indicted for Possession of Child Pornography
Kenneth Allen McCall, age 28, of Belton, South Carolina, was charged in a 1-count indictment with possession of child pornography, a violation of Title 18, United States Code, Section 2252A(a)(5)(B). The maximum penalty McCall could receive is 20 years imprisonment and a maximum fine of $250,000. The case was investigated by agents of the United States Probation Office and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution. This case is being brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Fayetteville Man Sentenced to 8 Years for Unlawful Possession of FirearmRead the Press Release
RALEIGH – The United States Attorney’s Office for the Eastern District of North Carolina announced that in federal court today Chief United States District Judge James C. Dever, III, sentenced TIRREIL MARIO MAYNOR, 33, of Fayetteville, North Carolina, to 96 months’ imprisonment followed by 3 years’ supervised release.
On July 21, 2015, a Federal Grand Jury returned a Criminal Indictment charging MAYNOR with unlawful possession of a firearm by a convicted felon. On October 29, 2015, MAYNOR pled guilty to the charge.
According to the investigation, on September 26, 2014, the Cumberland County Sheriff’s Office was dispatched to a residence on Ireland Drive regarding the discharge of a firearm and a robbery. The investigation revealed that MAYNOR, a convicted felon, discharged a firearm inside the residence and stole a television from the residence. Earlier in the evening, MAYNOR fired a gun at another location and threatened to kill several individuals. MAYNOR fled the Ireland Drive residence and proceeded to drive down Ireland Drive and shot the back window out of the vehicle in front of him. On September 29, 2014, MAYNOR was arrested and found in possession of a loaded .25 caliber semi-automatic pistol. Ballistics linked the firearm to the various shootings that took place on September 26, 2014.
The criminal investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Cumberland County Sheriff’s Office, and the Fayetteville Police Department. Assistant United States Attorney Jane J. Jackson handled the prosecution on behalf of the Eastern District of North Carolina.
FIFA Match Agent Pleads Guilty to Corruption ChargesRead the Press Release
Earlier today in federal court in Brooklyn, Miguel Trujillo, a FIFA match agent and soccer consultant, pleaded guilty to one count of money laundering conspiracy and two counts of wire fraud conspiracy in connection with his participation in multiple schemes to bribe soccer officials. Trujillo also pleaded guilty to one count of filing a false tax return under penalty of perjury and agreed to forfeit $495,000. Today’s plea proceeding took place before United States District Judge Raymond J. Dearie.
The guilty plea was announced by Robert L. Capers, United States Attorney for the Eastern District of New York; Diego G. Rodriguez, Assistant Director-in-Charge, FBI, New York Field Office; and Acting Special Agent in Charge Anthony J. Orlando, IRS Criminal Investigation, Los Angeles Field Office.
As alleged in the criminal information to which he pleaded guilty, Trujillo, a citizen of Colombia and a U.S. legal permanent resident, was a Florida-based soccer consultant and a match agent licensed by FIFA to negotiate and arrange soccer matches between FIFA member associations. Starting in approximately 2008 and acting variously on behalf of multiple sports marketing companies and his own soccer business, Trujillo paid hundreds of thousands of dollars in bribes to high-ranking officials of FIFA, CONCACAF, and four soccer federations in Central America and the Caribbean in furtherance of multiple schemes involving media and marketing contracts and international friendly matches.
The guilty plea announced today is part of an investigation into corruption in international soccer being led by the U.S. Attorney’s Office for the Eastern District of New York, the FBI New York Field Office, and the IRS-CI Los Angeles Field Office. The prosecutors in Brooklyn are receiving considerable assistance from attorneys in various parts of the Justice Department’s Criminal Division in Washington, D.C., including the Office of International Affairs, the Organized Crime and Gang Section, the Asset Forfeiture and Money Laundering Section, and the Fraud Section, as well as from INTERPOL Washington.
Assistant U.S. Attorneys Evan M. Norris, Amanda Hector, Paul Tuchmann, Nadia Shihata, Keith D. Edelman, and Brian D. Morris of the Eastern District of New York are in charge of today’s prosecution.
The government’s investigation is ongoing.
The Defendant:
MIGUEL TRUJILLO
Age: 65
Nationality: ColombiaE.D.N.Y. Docket No. 16 CR 108
Deported Jamaican Charged with Illegally Re-entering United StatesRead the Press Release
PITTSBURGH – An individual found by the U.S. Marshals, with assistance from the Homeland Security Investigations and Immigration and Customs Enforcement, has been indicted by a federal grand jury in Pittsburgh on charges of Illegal Re-Entry into the United States after Deportation, United States Attorney David J. Hickton announced today.
The one-count indictment named Dwayne Lawrence Facey, aka Dwayne Brown; Kimarley Williams; Damien Weatherspoon; Dameon Weatherspoon; Euvin Hunter; Roy Facey; “Euvin,” 40, formerly of Jamaica.
According to the indictment, Facey, an alien, who was removed from the United States by U.S. Immigration and Customs Enforcement on Sept. 22, 2000, and again on Sept. 21, 2006, was found on Aug. 5, 2015, by law enforcement authorities in Pittsburgh, Pa.
The law provides for a maximum total sentence of two years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Shardul S. Desai is prosecuting this case on behalf of the government.
The Homeland Security Investigations, Immigration and Customs Enforcement, and U.S. Marshals Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Deming Resident Sentenced to Ten Years in Federal Prison for Kidnapping and Firearms ConvictionRead the Press Release
ALBUQUERQUE – This morning a U.S. District Court Judge sitting in Las Cruces, N.M., sentenced Jessie Hopper, Jr., 31, of Deming, N.M., to120 months in prison for his conviction on conspiracy, kidnapping and firearms charges. He will be on supervised release for three years after completing his prison sentence.
His co-defendants Jessie Hopper, Sr., 55, and Polly Hopper, 62, of Deming, N.M., previously were sentenced in Oct. 2015, to lengthy prison terms for their convictions on conspiracy, kidnapping and firearms charges. Hopper, Sr. was sentenced to 366 months (30.5 years) in prison followed by five years of supervised release, while Polly Hopper, was sentenced to 292 months (24.3 years) in prison followed by five years of supervised release.
The sentences imposed on the Hoppers were announced by U.S. Attorney Damon P. Martinez, 6th Judicial District Attorney Francesca Martinez-Estevez, Special Agent Terry Wade of the Albuquerque Division of the FBI, Special Agent in Charge Thomas G. Atteberry of the Phoenix Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, New Mexico State Police Chief Pete Kassetas and Luna County Sheriff Jonathon Mooradian.
The three Hoppers were arrested in June 2014, on a federal criminal complaint charging them with kidnapping and firearms charges. They subsequently were charged with conspiracy and kidnapping in a six-count indictment filed in May. 2014. The indictment also charged Hopper, Sr., and Hopper Jr., with brandishing a firearm in relation to a crime of violence, being felons in possession of firearms, and unlawfully possessing a sawed-off shotgun. Hopper, Jr., entered a guilty plea to the five charges against him on Nov. 21, 2014.
Hopper, Sr., and Polly Hopper elected to go to trial, and on Feb. 27, 2015, a federal jury returned a verdict finding the two guilty on all charges against them after a five-day trial. The evidence at trial established that Hopper, Jr., and Hopper, Sr., kidnapped the victim in Hot Springs, Ark., on May 8, 2014, with the assistance of Polly Hopper. Hopper, Jr., handcuffed the victim and a firearm was brandished at the victim to force her to comply with Hopper, Jr.’s demands, including a demand that she telephone family members to assure them that she was voluntarily leaving Arkansas with Hopper, Jr. On May 8 and 9, 2014, the defendants drove the victim from Arkansas to the defendants’ residence in Deming, where Hopper, Jr., and Hopper Sr., sexually assaulted the victim several times.
The three defendants initially were arrested by the New Mexico State Police on state charges on May 10, 2014. They remained in state custody until they were transferred to federal custody on May 16, 2014, to face the charges in this federal case. The state charges, which were filed by the 6th Judicial District Attorney’s Office for the State of New Mexico, were dismissed in favor of federal prosecution.
This case was investigated by the Las Cruces office of the FBI, the Las Cruces office of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New Mexico State Police and the Luna County Sheriff’s Office, with assistance from the 6th Judicial District Attorney’s Office for the State of New Mexico. The FBI in Little Rock, Ark., the Garland County (Arkansas) Sheriff’s Office, and the U.S. Attorney’s Office for the Western District of Arkansas also assisted in the investigation. The case was prosecuted by Assistant U.S. Attorneys Randy M. Castellano and Maria Y. Armijo of the U.S. Attorney’s Las Cruces Branch Office.
The Hoppers were prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders based primarily on their criminal histories for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. Because New Mexico’s violent crime rates, on a per capita basis, are amongst the highest in the nation, New Mexico’s law enforcement community is collaborating to target repeat offenders from counties with the highest violent crime rates, including Luna County under this initiative.
Colorado Man Charged with Enticement of a MinorRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a federal grand jury in New Haven returned an indictment today charging NATHANIEL SMITH, 29, of Aurora, Colo., with one count of enticement of a minor.
The indictment alleges that in January 2016, SMITH used a cell phone and Internet-based messaging and video chatting services to entice a minor to engage in sexual activity.
SMITH has been detained in state custody since January 25, 2016, when he was arrested on related state charges in New London.
If convicted of enticement of a minor, SMITH faces a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation, the New London Police Department and the Connecticut State Police. The case is being prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
Cincinnati Man Pleads Guilty to Illegally Importing Drugs into U.S.Read the Press Release
ABINGDON, VIRGINIA – United States Attorney John P. Fishwick Jr. announced today the guilty plea of an Ohio man to conspiracy charges for illegally importing prescription drugs into the United States.
Michael Louis, 60, of Cincinnati, Ohio, waived his right to be indicted and pled guilty yesterday in the United States District Court for the Western District of Virginia in Abingdon to one count of conspiring to illegally import prescription drugs into the United States and to illegally distribute tramadol.
“We are glad to work with our partners at the Food and Drug Administration to ensure the quality and authenticity of the drugs coming into our country,” United States Attorney John P. Fishwick Jr. said today. “It is important for consumers in this country to know that what they are consuming is safe and approved.”
United States District Judge James P. Jones scheduled a sentencing hearing for June 6, 2016, at 2:30 p.m. in Abingdon.
The investigation of the case was conducted by the U.S. Food and Drug Administration’s Office of Criminal Investigations. Assistant United States Attorney Randy Ramseyer prosecuted the case for the United States.
Chazy Man Pleads Guilty to Making Threats on FacebookRead the Press Release
ALBANY, NEW YORK – Brock Brian Beeman, age 23, of Chazy, New York, pled guilty today to making interstate threats to injure or kill a Plattsburgh-area man.
The announcement was made by United States Attorney Richard S. Hartunian and James C. Spero, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations.
In March 2015, Beeman sent threatening communications to a Plattsburgh-area man, by text message and through Facebook. Beeman continued sending these communications even after his victim said he would notify law enforcement if Beeman did not stop.
Beeman faces up to 5 years in prison, a fine of up to $250,000, a term of post-imprisonment supervised release of up to 3 years, and possible restitution to the victim, when he is sentenced on July 13, 2016 by United States District Judge Thomas J. McAvoy. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by Homeland Security Investigations and is being prosecuted by Assistant U.S. Attorney Elizabeth Horsman.
Career Offender from Las Cruces Sentenced to Almost Eleven Years for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Jennifer Sanders, 43, of Las Cruces, N.M, was sentenced today in federal court in Las Cruces, N.M., to 130 months in prison followed by five years of supervised release for her conviction on methamphetamine trafficking charges. The sentence was announced by U.S. Attorney Damon P. Martinez, Special Agent in Charge Terry Wade of the FBI’s Albuquerque Division, and Lt. Bobby Holden, Commander of the HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force.
In announcing the sentence, U.S. Attorney Damon P. Martinez said that Sanders, a career offender whose criminal history includes three prior drug trafficking convictions, was prosecuted under a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders primarily based on their prior criminal convictions for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. Because New Mexico’s violent crime rate, on a per capita basis, is one of the highest in the nation, New Mexico’s law enforcement community is collaborating to target repeat offenders from counties with the highest violent crime rates, including Doña Ana County, N.M., under this initiative.
Sanders and her co-defendants, Jose Luis Niño, 41, and Aubrey Savage, 36, of Las Cruces, and Matthew Maley, 48, and Candice Marie Carpenter, 36, of Tucson, Ariz., were charged in a 14-count superseding indictment filed in March 2014. The superseding indictment charged Maley, Sanders and Savage with participating in a conspiracy to distribute methamphetamine in Doña Ana County from June 2013 through Aug. 2013, and Maley, Niño and Carpenter with conspiracy to distribute methamphetamine in Doña Ana County in Dec. 2013. The superseding indictment also charged the defendants with various substantive methamphetamine trafficking offenses, and Maley and Niño were charged with being felons in possession of firearms and ammunition.
Four of the defendants, including Sanders, entered guilty pleas to various counts of the superseding indictment while Maley elected to exercise his right to a jury trial. On Sept. 25, 2014, a jury returned a verdict of guilty against Maley on four methamphetamine trafficking charges and a firearms charge.
The prosecution of the case revealed that Maley was the head of a drug trafficking organization that distributed significant quantities of methamphetamine in New Mexico and Arizona. During July and Aug. 2013, undercover officers made several controlled purchases of methamphetamine from Maley, Sanders and Savage, including the purchase of a pound of methamphetamine on Aug. 21, 2013. From Oct. through Dec. 2013, an informant purchased methamphetamine from Niño, who obtained the methamphetamine from Maley, and on Dec. 4, 2013, officers seized approximately 274 grams of methamphetamine when they executed a search warrant at Niño’s residence in Las Cruces.
On July 18, 2014, Sanders pled guilty to conspiracy and seven counts of distribution of methamphetamine.
Maley was sentenced on Jan. 20, 2016, and was sentenced to 262 months (almost 22 years) in prison followed by ten years of supervised release for his conviction on methamphetamine trafficking and firearms charges.
On June 11, 2014, Savage pled guilty to a conspiracy count, and was sentenced on Feb. 25, 2015, to 60 months in federal prison followed by four years of supervised release.
On July 16, 2014, Niño pled guilty to conspiracy, possession of methamphetamine with intent to distribute, and felon in possession of ammunition. At sentencing, Niño faces a mandatory minimum of ten years in prison and a maximum of life in prison. His sentencing hearing has not yet been scheduled.
On Sept. 18, 2014, Carpenter pled guilty to conspiracy to distribute methamphetamine and distribution of methamphetamine.
This case was investigated by the Las Cruces office of the FBI and HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force, and is being prosecuted by Assistant U.S. Attorney Maria Y. Armijo of the U.S. Attorney’s Las Cruces Branch Office.
The HIDTA Regional Interagency Drug Task Force/Metro Narcotics Task Force is comprised of officers from the Las Cruces Police Department, the Doña Ana County Sheriff’s Office, the FBI, HSI and the New Mexico State Police. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Buffalo Man Pleads Guilty to Marijuana ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Keith Goss, 47, of Buffalo, NY, pleaded guilty to attempted possession with intent to distribute 100 kilograms or more of marijuana before U.S. District Judge Richard J. Arcara. The charges carry a minimum penalty of five years in prison, a maximum of 40 and a $5,000,000 fine.
Assistant U.S. Attorney Thomas S. Duszkiewicz, who is handling the case, stated that on June 12, 2013, the defendant attempted to take possession of a crate which was to be delivered to an address on Fillmore Avenue in Buffalo after being shipped from Tucson, Arizona. The crate contained 315 pounds of marijuana valued in excess of $250,000. Law enforcement officers intercepted the crate of marijuana before it was delivered to the Fillmore Avenue address where the defendant was awaiting its arrival with his two sons. Goss had asked his sons, who were not aware of its contents, to pick up the package.
The plea is the culmination of an investigation on the part of Special Agents of the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent in Charge, New York Field Division and the Tonawanda Police Department, under the direction of Jerome C. Uschold III, with the assistance of the DEA Office in Nogales, Arizona.
Sentencing is scheduled for June 13, 2016 at 1:00 p.m. before Judge Arcara.
Brother and Sister Plead Guilty to Rico ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Dewayne Gray, 31, aka Whip, and Erika Gray, 34, aka Tek, both of Buffalo, NY, pleaded guilty before U.S. District Judge Richard J. Arcara, to RICO conspiracy. In addition, Erika Gray pleaded guilty to conspiracy to possess with intent to distribute crack cocaine. Dewayne Gray faces a maximum penalty of life in prison and a $2,500,000 fine. Erika faces a mandatory minimum penalty of 10 years in prison, a maximum of life and an $8,000,000 fine.
“This represents yet another instance where this office used racketeering charges to completely decimate a violent street gang,” said U.S. Attorney Hochul. “This office will continue to target such gangs until they are a thing of the past.”
Assistant U.S. Attorneys Thomas S. Duszkiewicz and Joel L. Violanti, who are handling the case, stated that between 2009 and January 23, 2012, Dewayne Gray was the leader of the LRGP gang, which operates primarily in the area of Lombard, Rother, Playter and Gibson Streets in the City of Buffalo. It is alleged to be an organization engaged in violent criminal activity, including the distribution of cocaine and crack cocaine and the use of firearms. Erika Gray was an associate of the gang.
As leader of the LRGP Gang, Dewayne Gray organized and managed gang members, and the narcotics distribution and sales. Dewayne Gray maintained 42 Memorial Drive and 29 Meyers Street in Buffalo for the purpose of manufacturing and distributing crack cocaine.
As an LRGP associate, Erika Gray participated in the distribution and crack cocaine and the racketeering activities of the gang. She was arrested in 2012 and released from custody but continued to distribute crack cocaine with other gang members out of residences on Houghton and Warren Avenues in Buffalo.
The plea is the result of an investigation by the Federal Bureau of Investigation Safe Streets Task Force, 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 Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Field Office and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
Erika Gray is scheduled to be sentenced on June 15, 2016 at 12:30 p.m. Dewayne Gray will be sentenced on July 18, 2016 at 12:30 p.m., both before Judge Arcara.
Bristol Man Indicted on Federal Tax ChargesRead the Press Release
ABINGDON, VIRGINIA – A federal grand jury sitting in the United States District Court for the Western District of Virginia in Roanoke has charged a Bristol, Virginia man with a variety of federal tax charges, United States Attorney John P. Fishwick Jr. announced today.
In an indictment returned under seal on March 3, 2016 and unsealed today following the defendant’s initial court appearance in District Court, the grand jury has charged Charles Doughty Sewell, 65, of Bristol, Va., with one count of impending or impairing the due administration of the Internal Revenue Service and four counts of tax perjury.
According to the indictment, Sewell resided in Bristol, Virginia, earned income and was provided W-2 forms by his employer. On January 2, 2010, a Final Judgment of Permanent Injunction against Sewell was entered in the United States District Court for the Western District of Virginia in Abingdon. The judgment was entered as a result of a stipulation between Sewell and the United States and permanently enjoined the defendant from engaging in any activity subject to penalty under the Internal Revenue Code and any conduct that interferes with the administration and enforcement of the internal revenue law.
The indictment alleges that between July 2010 and February 2015, Sewell did impede the due administration of the Internal Revenue Code by filing false tax returns and engaging in conduct, the likely effect of which was to mislead and to conceal income from the Internal Revenue Service.
The investigation of the case was conducted by the Internal Revenue Service. Assistant United States Attorney C. Patrick Hogeboom III will prosecute the case for the United States.
Blue Springs Man Sentenced for Amassing Thousands of Child Porn ImagesRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Blue Springs, Mo., man was sentenced in federal court today for downloading thousands of images and videos of child pornography, which he made available to share over the Internet.
Randall R. Brooks, 58, of Blue Springs, was sentenced by U.S. District Judge Dean Whipple to five years in federal prison without parole.
On Oct. 19, 2015, Brooks pleaded guilty to distributing child pornography over the Internet.
An FBI task force officer was conducting an investigation in January 2014 into computers that had been identified as possibly sharing images of child pornography through a peer-to-peer file-sharing network. The officer downloaded multiple videos of child pornography from Brooks’s computer. Officers executed a search warrant at Brooks’s residence on March 14, 2014, and seized a desktop computer, a laptop computer and five hard drives.
Brooks admitted to investigators that he searched for and downloaded images of child pornography over the Internet. He also admitted that his computer shared those images through a peer-to-peer file-sharing network.
Examiners found approximately 1,324 photos and 387 videos that contained child pornography on Brooks’s computer. A recurring theme in many of the images and videos in his collection was the graphic depiction of the rape and sodomy of prepubescent boys and girls, some as young as toddlers, by adult men. Images found in Brooks’s collection also included adults engaging in sexual acts with physically restrained prepubescent minors as well as depictions of minors engaging in bestiality.
According to court documents, Brooks also engaged in online fantasy chats with what appeared to be minor children or adults posing as minor children.
This case was prosecuted by Assistant U.S. Attorney David Luna. It was investigated by the FBI Cyber Crimes Task Force and the Blue Springs, Mo., Police Department.
Bessemer Grocer Pleads Guilty to $5 million Food Stamp Fraud, Tax Evasion, Money Laundering and Currency StructuringRead the Press Release
BIRMINGHAM – A Bessemer grocery store owner pleaded guilty today in federal court to defrauding the food stamp program of more than $5 million, structuring cash transactions and laundering money to hide the illegal profit, and evading federal income taxes, announced U.S. Attorney Joyce White Vance, IRS Criminal Investigation Special Agent in Charge Veronica Hyman-Pillot and U.S. Department of Agriculture Office of Inspector General, Investigations, Special Agent in Charge Karen Citizen-Wilcox.
HASAN F. AHMED, 50, owner and operator of Associated Discount Foods on Ninth Street South in Bessemer, pleaded guilty before U.S. District Judge R. David Proctor to one count each of food stamp fraud, tax evasion and structuring currency transactions and four counts of money laundering. As part of his plea, Ahmed agreed to forfeit $5.2 million to the government as proceeds of his illegal activity, including his interest in $375,027 which the government already has seized from the grocery store and four bank accounts. Ahmed’s sentencing date has not been set.
“The SNAP program provides assistance for those who need help to feed themselves or their families. It is not an open pocketbook for criminals to abuse in order to selfishly enrich themselves,” Vance said. “This was not a victimless crime. Instead of fulfilling his obligations, Mr. Ahmed used his position to defraud $5 million from a taxpayer-funded program.”
“Hasan Ahmed made an illegal profit by taking advantage of a benefit program,” Hyman-Pillot said. “His actions were a direct misuse of tax dollars. IRS Criminal Investigation and our law enforcement partners will work aggressively to uncover similar schemes and return the illicit proceeds back to the United States Government.”
“Ahmed’s plea should serve as a warning to all stores that participate in the Supplemental Nutrition Assistance Program as vendors that fraud and trafficking of EBT benefits, which is purchasing those benefits for cash, will be vigorously investigated and prosecuted by the USDA-Office of Inspector General, the U.S. Attorney’s Office, and all of its federal, state and local partners that have a stake in ensuring that fraud is eliminated from taxpayer-funded programs,” Citizen-Wilcox said.
Associated Discount Foods is a mid-sized neighborhood grocery store that was authorized by the USDA to accept SNAP food stamp benefits.
From January 2007 through December 2010, the store’s average monthly SNAP redemptions were $4,196, increasing to $17,457 in January 2011, according to Ahmed’s plea agreement with the government. By April 2011, the store’s monthly SNAP redemptions surpassed the average monthly redemptions of five other medium-sized grocery stores within a 14-mile area, according to the plea agreement.
“Based on ADF’s total SNAP redemptions and comparison analysis, the defendant acquired an estimated $5,243,866.49 in SNAP benefits from July 2011 through June 2014 in a way that was contrary to law,” the plea agreement states. Ahmed’s redemptions rose dramatically because he illegally swapped food stamps for cash, at less than the stamps’ face value, and allowed customers to purchase ineligible items with food stamp benefits at inflated rates, according to the document.
Ahmed evaded taxes on the illegal income when he filed a federal income tax return for the 2013 tax year claiming total income of $24,728 when his actual income was $210,927, according to his plea.
Ahmed’s plea agreement outlines his money laundering and illegal currency structuring as follows:
Ahmed controlled a BB&T checking account opened in the name of a relative, identified in court documents as R.N. Between June 2013 and June 2014, in four separate transactions, he deposited $58,100 in proceeds of his food stamp fraud into R.N.’s account. Ahmed moved money into R.N.’s account from his grocery store’s business accounts, where SNAP benefits were electronically deposited, to conceal or disguise that the money was the product of his food stamp fraud.
Ahmed illegally structured financial transactions in an Associated Discount Foods business account at BB&T, making two withdrawals of $10,000 and 36 withdrawals ranging from $9,200 to $9,900, for a total of $362,900, between January and May of 2013. After a bank teller informed Ahmed that transactions over $10,000 had to be reported, he made no further currency transactions over that amount.
Financial institutions are required by law to report currency transactions above $10,000 to the U.S. Department of Treasury. “The defendant engaged in these transactions to evade the reporting requirement” on the 38 withdrawals, according to Ahmed’s guilty plea.
The maximum penalty for both food stamp fraud and tax evasion is five years in prison and a $250,000 fine. The maximum penalty for money laundering is 20 years in prison and a $500,000 fine or twice the value of the property involved in the transaction, whichever is greater. The maximum penalty for currency structuring is 10 years in prison and a $500,000 fine.
IRS-CI and USDA-OIG investigated the case, which Assistant U.S. Attorneys Erica Williamson Barnes and Daniel Fortune are prosecuting.
Bergen County, New Jersey, Doctor Charged with Taking BribesRead the Press Release
NEWARK, N.J. – A family doctor practicing in Bergen County, New Jersey, was charged today with accepting bribes in exchange for test referrals as part of a long-running and elaborate scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, New Jersey, its president and numerous associates, U.S. Attorney Paul J. Fishman announced.
Bernard Greenspan, 78, of Saddlebrook, New Jersey, was indicted by a federal grand jury in Newark. The 10-count indictment charges Greenspan with one count of conspiring to commit violations of the Anti-Kickback Statute, the Federal Travel Act and wire fraud; three substantive violations of the Anti-Kickback Statute; three substantive violations of the Federal Travel Act; and three substantive violations of wire fraud. Greenspan will be arraigned at a later date.
“The charges contained in the indictment allege an extremely lucrative pattern of soliciting and accepting illegal payments for referrals to a specific testing lab,” said U.S. Attorney Fishman. “This indictment is part of our continued commitment to prosecute those physicians who sought to enrich themselves through their involvement in the BLS bribery scheme.”
“The FBI, in conjunction with our law enforcement partners, the U.S. Department of Health and Human Services’ Office of Inspector General, the Internal Revenue Service, and the U.S. Postal Inspection Service, will continue to investigate allegations of fraud and kickback schemes that undermine the integrity of our health care system," stated Acting Special Agent in Charge Andrew Campi. "We urge anyone aware of this type of illegal activity to contact the FBI.”
“This indictment is another reminder that kickbacks in connection with federal health care programs are illegal and unacceptable,” said Scott J. Lampert, Special Agent in Charge, Office of Inspector General, U.S. Department of Health and Human Services. “Taking such payments subverts the notion that patients should come before profits.”
To date, 39 people – 26 of them doctors – have pleaded guilty in connection with the bribery scheme, which its organizers have admitted involved millions of dollars in bribes and resulted in more than $100 million in payments to BLS from Medicare and various private insurance companies. It is believed to be the largest number of medical professionals ever prosecuted in a bribery case. The investigation has recovered more than $11.5 million through forfeiture.
According to the indictment:
Between March 2006 and April 2013, Greenspan received approximately $200,000 in bribes from BLS employees and associates. Greenspan periodically solicited, and received from the BLS employees and associates, monthly bribe payments in the form of sham rental, service agreement, and consultant payments. Greenspan solicited and received other bribes, including payment for holiday parties for Greenspan and his office staff. BLS hired – at Greenspan’s specific request – a patient of Greenspan’s with whom he was having a sexual relationship. Greenspan’s referrals generated approximately $3 million in lab business for BLS.
Greenspan is the second physician to be indicted in connection with the BLS bribery scheme. Brett Ostrager was indicted on Aug. 11, 2015, and pleaded guilty on Dec. 22, 2015, after his motion to dismiss the indictment was denied by Judge Chesler. He is awaiting sentencing.
Each of the Anti-Kickback and Federal Travel Act counts carries a maximum potential sentence of five years in prison; each of the wire fraud counts carries a maximum potential penalty of 20 years in prison. All of the counts carry a maximum $250,000 fine, or twice the gross gain or loss from the offense.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Acting Special Agent in Charge Andrew Campi; inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge Maria L. Kelokates; IRS–Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; and HHS-OIG Special Agent in Charge Lampert.
The government is represented by Assistant U.S. Attorneys Joseph N. Minish and Danielle Alfonzo Walsman, and Jacob T. Elberg, Chief of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark, as well as Assistant U.S. Attorney Barbara Ward, Acting Chief of the office’s Asset Forfeiture and Money Laundering Unit.
U.S. Attorney Paul J. Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $1.29 billion in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
Defense counsel: Damian Conforti Esq., Newark, NJ
Behr Iron & Steel Inc. Pleads Guilty to OSHA Violation Causing Death of EmployeeRead the Press Release
ROCKFORD — A Rockford-based company pleaded guilty today before U.S. Magistrate Judge Iain D. Johnston to willfully violating Occupational Safety and Health Administration regulations, resulting in the death of an employee at the company’s facility in South Beloit, Ill.
BEHR IRON & STEEL INC., a high volume ferrous and nonferrous scrap processor, admitted in a plea agreement that on March 10, 2014, the company failed to provide lockout/tagout protection and confined space protection as required under OSHA regulations for the company’s employees who were cleaning a shredder discharge pit. The company admitted that those violations caused the death of an employee who got caught in a moving, unguarded conveyor belt.
The Company faces a maximum sentence of 5 years’ probation, a maximum fine of $500,000, and restitution to the victim employee in an amount determined by the Court. Sentencing is scheduled for July 12, 2016, at 1:30 p.m.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and Ken Nishiyama Atha, Regional Administrator of OSHA in Chicago.
“Justice cannot restore life to the victim whose body was crushed because Behr Iron and Steel failed to provide protection from dangerous machinery on the job,” said Mr. Atha. “Safety training at the plant was woefully insufficient. Behr must be held responsible by the courts for ignoring safety standards and failing in its obligation to protect its workers on the job.”
Behr’s South Beloit facility recycles metals contained in such things as automobiles and refrigerators. According to the plea agreement, OSHA regulations require employers to adopt safety procedures to ensure that dangerous machines are properly shut off and unable to start up again prior to the completion of maintenance or servicing work. The safety procedures include placing a lock on the power source of the machine and a tag on the lock warning that the machine cannot be operated until the warning is removed, and identifying the employee who has the key to the lock. OSHA also promulgated regulations that address the need to protect employees from entering a confined space without safety precautions.
Metals shredded through a shredding machine in Behr’s South Beloit facility fall onto a conveyor belt located about ten feet underground in a shredder discharge pit, which was approximately six feet long and six feet wide. The shredded materials were then moved by a conveyor belt out of the discharge pit and through a sorting process. Some of the shredded metals fall onto the ground of the discharge pit near the conveyor belt. One or two Behr employees working on the shredding machine were required to clean the discharge pit on a daily basis. The employees shoveled shredded materials from the floor of the discharge pit onto the running conveyor belt.
On March 10, 2014, a Behr employee was cleaning the discharge pit when the employee’s arm was caught by the unguarded conveyor belt. The employee was pulled into the machinery and killed.
Behr admitted that there was no lock or operable emergency shut off switch in the discharge pit for the conveyor belt, and the conveyor belt did not have guards designed to protect employees. Behr also admitted that employees in the discharge pit were not adequately trained to use the shredder or the conveyor belt, and that the company had not developed and implemented confined space protection for employees entering the discharge pit.
The government is represented by Assistant U.S. Attorney Scott R. Paccagnini.
Plea Agreement
Bar Owner Convicted of Tax EvasionRead the Press Release
A bar owner who admitted to filing false tax returns pled guilty today in federal court in Cedar Rapids.
Bradley Tischer, age 51, from Atkins, IA, was convicted of one Count of Tax Evasion.
At the plea hearing, Tischer admitted in a plea agreement that he evaded taxes from 2009-2013, knowing the returns were false as to his reportable income.
Tischer owned and operated three bars and grills known as Brogan’s, Miguel’s and Bobby T’s. He also had a corporation known as JGT, Inc., which were used to operate Miguel’s and Bobby T’s. Tischer underpaid his taxes from 2009-2013 in the amount of approximately $357,172. Each tax return contained a written declaration that it was signed under the penalty of perjury. Tischer knew he had not reported funds taken from Brogan’s and JGT, Inc. which were used for his own benefit.
Sentencing will be set after a presentence report is prepared. Tischer was released pending sentencing. Tischer faces a maximum penalty of not more than 5 years imprisonment without the possibility of parole; a fine of not more than $100,000; a mandatory assessment of $100; costs of prosecution; and a term of supervised release of up to one year.
The case is being prosecuted by Assistant United States Attorney Matthew J. Cole and was investigated by Internal Revenue Service-Criminal Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 16-cr-16.
Follow us on Twitter @USAO_NDIA.
Austin Lawyer Sentenced in Relation to “Butch” Ballow Case and Stock Sale SchemeRead the Press Release
HOUSTON – Patrick Lanier, 67, of Austin, has been ordered to federal prison following his convictions on 16 counts to include one count of harboring and concealing Harris “Butch” Ballow from arrest, announced United States Attorney Kenneth Magidson. A jury convicted Lanier Feb. 27, 2014, of conspiracy to commit wire fraud arising from a stock sale scheme, 13 counts of wire fraud, one count of harboring and concealing Ballow from arrest and one count of assisting a federal offender.
At a hearing that concluded last night, U.S. District Judge Lee Rosenthal, who presided over the trial, handed Lanier a total sentence of 17 years in federal prison and further ordered him to pay $37 million in restitution. At the hearing, the judge noted the large number of victims - more than 500 - and acknowledged that one victim reported her husband committed suicide as a result of this offense. Previously released on bond, the court ordered he be immediately taken into custody following the hearing.
Lanier is an Austin attorney who represented Ballow during proceedings before the Securities and Exchange Commission (SEC) in 2004 and also during the criminal case that led to Ballow becoming a fugitive. While a fugitive, Ballow controlled a corporation used to bilk hundreds of investors, many of whom lived in Canada, out of millions of dollars. Lanier served as a lawyer for that corporation.
Evidence demonstrated at the 13-day trial, proved Lanier assisted Ballow in selling shares of stock in public companies acquired and controlled by Ballow while he was a fugitive from justice. Assisted by Lanier, Ballow and co-conspirators sold stock to unsuspecting investors by hiding Ballow’s true identity, disseminating false and misleading information to increase and maintain the value of stock, failing to fulfill promises to remove restrictions which prevented investors from selling the stock and selling land and ownership interests in a real estate development that never materialized.
Ballow was a fugitive from justice in the United States for more than five years. He was indicted in federal court in Houston in 2003 for fraud and money laundering which centered on misrepresentations made in connection with the purchase and sale of stock. Ballow pleaded guilty before U.S. District Judge David Hittner to money laundering in November 2003 and faced a maximum of 10 years imprisonment. At the time, Ballow, who had been in custody without bond for approximately a year, agreed to cooperate with an SEC investigation and was released on a $100,000 bond pending his sentencing. On Dec. 16, 2004, the day of sentencing, Ballow failed to appear and a warrant was soon issued for his arrest. Ballow was arrested by Mexican authorities on July 13, 2010, in Nuevo Vallarta, Mexico, and extradited by Mexico to the United States on April 8, 2011. He was later sentenced to 10 years for money laundering and ordered to pay $10 million in restitution.
According to evidence presented in Lanier’s trial, Ballow lived under the names John Gel, Tom Brown and Marty Twinley during his time as a fugitive and also acquired a British passport in the name of Melvyn John Gelsthorpe. Ballow used these names to take control of publicly-traded corporations, including E-SOL International Corp., Medra Corp., Deep Earth Resources Inc. and Aztec Technology Partners Inc. (now known as Ultimate Lifestyles Corporation) and sold the stock to investors without revealing his true identity, his use of multiple names, his past convictions for fraud and money laundering and his status as fugitive from justice in the United States. After Ballow fled, Lanier traveled to Mexico to meet him and provided legal work for Ballow under his various false names to consummate Ballow’s fraudulent transactions to bilk investors.
Christopher Harless, 62, of Georgetown, pleaded guilty to one count of conspiracy to commit wire fraud and was sentenced on Nov. 24, 2015, to 20 years in prison. Also on that date, Sikiru Olubunmi Bonojo, 45, a citizen of Nigeria residing in Houston, received a 63-month sentence for laundering proceeds of the fraud scheme. Clarence Hudgens, 59, of Lebanon, Oregon, and James David Wright, 60, of Corinth, both pleaded guilty to the wire fraud conspiracy and are scheduled to be sentenced by Judge Rosenthal on May 5, 2016, while Ruben Garza Perez, 55, a dual U.S.-Mexican citizen formerly of Houston, pleaded guilty to the same charge and is set for sentencing before U.S. District Judge Ewing Werlein Jr. on Aug. 12, 2016. Jeffrey Janssen Anuth, 57, is in custody in Mexico, while the other alleged co-conspirators are considered fugitives.
Ballow, 73, is currently serving his previously-imposed 10-year sentence, but faces additional charges in the form of an 87-count indictment pending before Judge Werlein. He is presumed innocent on that matter unless and until convicted through due process of law.
The case was jointly investigated by the United States Marshals Service and the FBI with substantial assistance of Internal Revenue Service - Criminal Investigation and the U.S. Postal Inspection Service. Valuable assistance was also provided by the Royal Canadian Mounted Police. Assistant U.S. Attorneys John R. Lewis and Belinda Beek are prosecuting the cases.
Attorney General Lynch Discusses Department's Efforts to Protect Consumers from Unsafe Dietary SupplementsRead the Press Release
As part of National Consumer Protection Week, Attorney General Loretta E. Lynch recorded a video to talk about the department’s work protecting the health and safety of consumers from unsafe dietary supplements.
“At the Department of Justice, we are committed to working with our partners across the federal government to protect the health and safety of all Americans,” said Attorney General Lynch. “Recently, we announced a nationwide operation targeting unlawful dietary supplements. We are bringing civil and criminal cases against more than 100 makers and marketers of supplements who were violating federal law by misrepresenting ingredients; by making unsupported health claims; or even by lacing products with undeclared substances.”
The complete text of the Attorney General’s video message is below:
“Hello. As part of National Consumer Protection Week, I want to take a moment to talk to you about dietary supplements, which are used by millions of Americans every day. What many Americans don’t know is that dietary supplements are not subject to testing by the Food and Drug Administration before they reach store shelves – meaning that every day, millions of Americans are ingesting substances whose safety and efficacy are not guaranteed.
“Some of these supplements are simply a waste of money, promising results they can’t deliver or advertising ingredients that they don’t contain. And too often, these supplements don’t just abuse consumer trust – they also endanger public health. Some contain harmful ingredients, causing consumers to fall ill. Others falsely claim to cure illness and disease, leading patients to use them as a substitute for the proven therapies they need. But whether these supplements are deceptive or dangerous, the fact remains that too many companies are making a profit by misleading – and in some cases harming – American consumers.
“At the Department of Justice, we are committed to working with our partners across the federal government to protect the health and safety of all Americans. Recently, we announced a nationwide operation targeting unlawful dietary supplements. We are bringing civil and criminal cases against more than 100 makers and marketers of supplements who were violating federal law by misrepresenting ingredients; by making unsupported health claims; or even by lacing products with undeclared substances.
“In one case, for example, the Justice Department brought criminal charges against high-ranking executives at USPlabs, a company that sold workout and weight loss supplements. As we alleged, they claimed that their products were made from natural plant extracts, when in fact, they were made from untested synthetic chemicals from China. In several cases, consumers suffered severe liver damage. And although the company was allegedly aware of the risks their product posed, they continued to sell it to consumers, compromising the health and well-being of thousands of Americans.
“The Justice Department is determined to hold bad actors in the dietary supplement industry accountable for their actions. But consumers need to do their part to protect themselves. I urge consumers to be cautious when choosing to take dietary supplements. Visit the FDA and the Federal Trade Commission websites, where you can find useful information about dietary supplements. Use tools developed by the Department of Defense and the U.S. Anti-Doping Agency, including a smartphone app, to help you make informed choices. And above all, if you are considering taking a dietary supplement, talk to a doctor first. Should you and your health care provider decide that dietary supplements are right for you, know that the Department of Justice is working tirelessly to ensure that the products you choose are safely manufactured, accurately labeled, and honestly marketed – because the American people deserve nothing less.”
The full video of the Attorney General’s message is available at https://www.justice.gov/opa/video/national-consumer-protection-week.
For more information about the department’s Consumer Protection Branch, visit http://www.justice.gov/civil/consumer-protection-branch.
Albuquerque Man Sentenced to Federal Prison for Serving as “Lookout” During Armed Robbery of Albuquerque Walmart StoreRead the Press Release
ALBUQUERQUE – Reyes Lujan, 27, of Albuquerque, N.M., was sentenced today in federal court to 71 months in prison for violating the Hobbs Act, by participating in the armed robbery of a Walmart Store in Albuquerque on Oct. 29, 2014. Reyes Lujan will be on supervised release for three years following his incarceration.
Reyes Lujan was arrested on Feb. 9, 2015, on an indictment charging him and five co-defendants with Hobbs Act and firearms charges. Count 1 of the indictment charged Reyes Lujan and five other Albuquerque residents, Raymond Castillo, 26, Daniel Maestas, 35, Johnny Ramirez, 30, Frank Gallegos, 30, and Henry Lujan, 22, with conspiracy to violate the Hobbs Act. Count 2 charged the six men with violating the Hobbs Act by robbing a Wal-Mart Store in Bernalillo County, N.M., that was engaged in interstate commerce on Oct. 29, 2014. Count 3 charged Castillo with brandishing a firearm during the robbery of the Wal-Mart store, and Count 4 charges Maestas with using and carrying a firearm during the robbery. Count 5 charged Ramirez, Gallegos, Reyes Lujan and Henry Lujan with aiding and abetting the use of firearms during the robbery.
The indictment was superseded in May 2015, by adding a new defendant, Reynaldo Marquez, 25, of Albuquerque, and two new counts. The new Count 6 charged Castillo and Marquez with interfering with interstate commerce by robbing a 7-11 convenience store located in Bernalillo County on Dec. 7, 2014. The new Count 7 charged Marquez with discharging a firearm during that robbery.
On Oct. 19, 2015, Reyes Lujan entered a guilty plea to Count 2 of the superseding indictment charging a violation of the Hobbs Act. According to the plea agreement, Reyes Lujan and his co-defendants jointly planned the Oct. 29, 2014, robbery of the Walmart Store located at 400 Eubank NE in Albuquerque. Reyes Lujan, who was not armed, was dropped off outside of the store to act as a “lookout” while two of his co-defendants went inside the Walmart Store and stole a rolling safe.
Reyes Lujan’s six co-defendants have entered pleas of not guilty to the superseding indictment. Charges in indictments are merely accusations, and all criminal defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
The United States has agreed to separate trials for Counts 1 through 5 of the superseding indictment, which arise out of the alleged robbery of the Walmart Store, and Counts 6 and 7, which arise out of the alleged robbery of the 7-11 convenience store.
If convicted on Counts 1 and 2, the conspiracy charge and the first Hobbs Act charge, the defendants each face a statutory maximum penalty of 20 years in prison. On conviction, Counts 4 and 5, using and carrying a firearm during a crime of violence or aiding and abetting the use of a firearm, each carries a mandatory five-year prison sentence which must be served consecutive to any sentence imposed on the conspiracy and Hobbs Act charges. If Castillo is found to be a career offender and is convicted after trial on Count 3 of the superseding indictment, he faces an enhanced sentence of prison term of 360 months to life imprisonment.
Castillo and Marquez each face a statutory maximum penalty of 20 years if convicted on Count 6 of the superseding indictment. If convicted of discharging a firearm as charged in Count 7, Marquez faces a mandatory minimum of ten years in prison which must be served consecutive to any sentence imposed on him for a conviction on Count 6.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department. Assistant U.S. Attorneys Norman Cairns and Samuel A. Hurtado are prosecuting this case.
This case is being prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. In recognition that New Mexico’s violent crime rates, on a per capita basis, are amongst the highest in the nation, New Mexico’s law enforcement community has come together to is collaborating the initiative is significantly exceed the national average.
40 Individuals Charged with Drug Trafficking ConspiracyRead the Press Release
SAN JUAN, Puerto Rico – Today federal authorities arrested 34 members of a drug trafficking organization which operated in the Santiago Iglesias Public Housing Project, in the municipality of Ponce, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Federal Bureau of Investigation (FBI) and the Police of Puerto Rico Ponce Strike Force are in charge of the investigation.
On March 3, 2016, a federal grand jury in the District of Puerto Rico returned a six-count indictment against 40 defendants charged with conspiracy to possess with intent to distribute controlled substances, aiding and abetting in the possession /distribution of heroin, cocaine base, cocaine and marijuana, and conspiracy to possess firearm in furtherance of a drug trafficking crime.
The indictment charges 40 individuals for their participation in a conspiracy to knowingly and intentionally possess with intent to distribute cocaine base (crack), heroin, cocaine and marihuana all within 1,000 feet of the real property comprising the Santiago Iglesias Public Housing Project, a housing facility owned by a public housing authority, and other areas nearby and within the Municipality of Ponce, Puerto Rico.
During the span of the conspiracy, in order to be able to operate a drug point at Santiago Iglesias Public Housing Project, “rent” would be paid to the leaders of the drug trafficking organization and their family members. As part of the manner and means of the conspiracy, control of the drug points at Santiago Iglesias was obtained and maintained by the use of force, violence, and intimidation. The drug points operated twenty-four (24) hours a day, in 2 shifts per day.
The indictment also alleges that the co-conspirators had many roles in order to further the goals of the conspiracy. Narcotics belonging to members of the Santiago Iglesias drug trafficking organization were being sold in other areas of Ponce, including but not limited to the Aristides Chavier Public Housing Project, the Gandara Public Housing Project, and the Portugues Public Housing Project. As part of the conspiracy, armed individuals would get paid by the drug trafficking organization to provide security at the Santiago Iglesias Public Housing Project. Members of the drug trafficking organization would forcibly evict individuals from their apartments if they were perceived to be cooperators or if they were unwilling to abide by the rules set by the organization.
The defendants are: Goodwin Vargas-Gonzalez, Robert J. Guzman-Cruz, Miguel A. Rosario-Lugo, Gabriel Confesor Martinez-Cruz, Steven J. Ayala-Martinez, Geraldo Rivera-Lugo, Steven Echevarria-Medina, Jonathan Rodriguez, Christopher Jusino Rodriguez, Juan Gabriel Vega-Madera, Santiago Delgado-Marquez, Pedro L. Lugo-Santiago, Jan C. Camacho-Perez, Hector Montes-Rodriguez, Leonel Sujeil Quiñones-Cruz, Gerardo Rivera-Feliciano, Jose E. Moreau-Rosado, Alexander Ramirez-León, Josue Jorge Rodriguez, Luis A. Rivera-Quiñones, Anthony Zorilla-Figueroa, Angel G. Delgado-Velazquez, Alcides Yamsell-Garcia, Kenneth Mayol-Torres, Francisco Ortiz-Torres, Hector Cintrón- Rodriguez, Eddie J. Vidal-Moran, Luis A. Rivera-Class, Athos Vega-Vidal, Dimari Cardona-Antonetti, Ismael Aponte-Santos, Reynaldo Colon-Natal, Richard Ortiz-Nieves, Luz Maria Santiago, Natasha Colon-Natal, Jose A. Nieves-Echevarria, Yoshua D. Roman-Quiñones, Arquelio Gonzalez-Negron, Jose I. Aponte-Santos, Carlos J. Santiago-Rivera. The defendants are facing a forfeiture allegation of ten million dollars.
“Today’s arrests demonstrate our commitment to dismantle drug trafficking organizations whose members are affecting the quality of life of the law abiding citizens in our public housing projects,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “Federal and state law enforcement agencies will continue their hard work to maintain the peace in our neighborhoods.”
“This case involved the long-term victimization of entire communities, who were forced to live in fear due to the nearly incomprehensible level of violence and narcotics trafficking taking place around them. Sadly, housing projects that were designed to provide affordable living have instead become a breeding ground for violent gangs and criminal enterprises. The hearts of everyone in the FBI go out to those families who were denied their basic rights to a safe environment in which to raise children, enjoy retirement, or even to walk safely through the streets of their neighborhoods. As demonstrated today, the law enforcement community will continue to make a priority of targeting for federal investigation those individuals who join together to pray on the innocent,” said Douglas A. Leff, Special Agent in Charge, Federal Bureau of Investigation.
Assistant U.S. Attorney Teresa Zapata-Valladares is in charge of the prosecution of the case. If convicted, the defendants face a minimum sentence of 10 years, and up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
7 March 2016
Yakima Man Sentenced to 5 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 Charles Jacob Jarvis, aka Jake Jarvis, age 29, of Yakima , Washington, was sentenced on March 3, 2016 for Distribution of Child Pornography. Senior United States District Judge Lonny R. Suko sentenced Jarvis to a five-year term of imprisonment, to be followed by a 20-year term of court supervision after he is released from Federal prison. Jarvis will also be required to register as a sex offender.
According to information disclosed during the court proceedings, Jarvis used an Internet file sharing account and e-mail accounts to share and distribute child pornography over the Internet. In March of 2015, U.S. Postal Inspectors determined that Jarvis was obtaining child pornography by U.S. mail. On March 4, 2015, Jarvis was contacted at his place of employment at a day care center in Yakima, Washington. Federal search warrants were obtained to search Jarvis’ personal computers, electronic devices, and e-mails. Forensic examinations revealed that he had used his personal devices and e-mail accounts to store and distribute child pornography that he had obtained over the Internet.
Michael C. Ormsby said, “The United States Attorney’s Office for the Eastern District of Washington takes seriously crimes involving exploitation of children, including child pornography crimes. 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 U.S. Postal Inspection Service and the Washington State Internet Crimes Against Children Task Force. The case was prosecuted by Ian L. Garriques, an Assistant United States Attorney for the Eastern District of Washington.
Virginia Man Pleads Guilty to Federal Charges for Role in Massive Identity Theft and Tax Fraud SchemeRead the Press Release
Worked With Others to Seek Over $1.5 Million in Fraudulent Refunds
A federal district court judge accepted a Virginia man’s plea of guilty today for his involvement in a far-reaching stolen identity refund fraud scheme in which he conspired with others to seek over $1.5 million in income tax refunds through the filing of fraudulent federal income tax returns, announced Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division, U.S. Attorney Channing D. Phillips of the District of Columbia, Special Agent in Charge Thomas Jankowski of the Internal Revenue Service-Criminal Investigation (IRS-CI), Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service’s Washington Division and Assistant Inspector General for Investigations John L. Phillips of the U.S. Department of the Treasury.
Bradley King, 35, of Fredericksburg, Virginia, is among approximately 19 participants in this scheme who have pleaded guilty to charges in the U.S. District Court for the District of Columbia. According to court documents, the overall case involves the filing of at least 12,000 fraudulent federal income tax returns that sought refunds of at least $42 million. King pleaded guilty to one count of conspiracy to defraud the United States with respect to claims, one count of theft of public money and one count of aiding and abetting in fraud and related activity in connection with identification documents.
The charges carry a total statutory maximum prison term of 35 years. As part of the plea agreement, King agreed to pay $493,436 in restitution to the IRS. King also is subject to a forfeiture money judgment in the amount of $5,400. Sentencing is set for May 18 before U.S. District Judge Ellen S. Huvelle.
According to the government’s evidence, King participated in a massive and sophisticated stolen identity refund fraud scheme that involved an extensive network of more than 130 people, many of whom were receiving public assistance. The refunds were sought for tax years 2005 through 2013, often in the names of individuals whose identities had been stolen, including the elderly, residents of assisted living facilities, drug addicts and incarcerated prisoners. Returns were also filed in the names of and refunds were issued to, people who were willing participants in the scheme. The refunds listed more than 400 “taxpayer” addresses located in the District of Columbia, Maryland and Virginia.
According to documents filed with the court, King’s involvement in the scheme began in 2008 and continued through July 2015. Initially, he permitted co-conspirators to use his name, social security number and residential address for the creation and submission of fraudulent income tax returns. From March 2010 through July 2015, he recruited others to provide him with means of identification for use in preparing and filing fraudulent returns. He also recruited others to permit the use of their residential addresses on fraudulent returns that he prepared and filed. King split the proceeds of the fraudulently obtained U.S. Treasury checks with his co-conspirators. In addition, he and others used bank accounts for the negotiation of refund checks that were issued in the names of other persons. Finally, according to the court documents, King sold fraudulently obtained refund checks to another individual in June 2015.
Taking together the losses generated by the use of residential addresses and bank accounts under his control, including checks associated with his co-conspirators, King was responsible for the filing of approximately 444 fraudulent returns that sought more than $1.5 million in tax refunds. King’s actions led to a total actual loss of approximately $493,436 to the U.S. Treasury, based on the negotiation of 153 U.S. Treasury checks listing addresses under his control and/or negotiated by his recruits.
In announcing the plea, Acting Assistant Attorney General Ciraolo, U.S. Attorney Phillips, Special Agent in Charge Jankowski, Inspector in Charge Kelokates and Assistant Inspector General Phillips commended those who investigated the case. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office of the District of Columbia, including former Assistant U.S. Attorney Sherri L. Schornstein and Paralegal Specialists Donna Galindo and Julie Dailey. Finally, they expressed appreciation for the work of Assistant U.S. Attorney Ellen Chubin Epstein of the District of Columbia’s Fraud and Public Corruption Section and Trial Attorneys Jeffrey B. Bender and Thomas F. Koelbl and former Trial Attorney Jessica Moran of the Tax Division, who prosecuted the case.
Virginia Man Pleads Guilty to Federal Charges for Role in Massive Identity Theft and Tax Fraud SchemeRead the Press Release
WASHINGTON – A federal district court judge accepted a Virginia man’s guilty plea today for his involvement in a far-reaching stolen identity refund fraud scheme in which he worked with others to seek over $1.5 million in income tax refunds through the filing of fraudulent federal income tax returns, announced U.S. Attorney Channing D. Phillips of the District of Columbia, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division, Special Agent in Charge Thomas Jankowski of the Internal Revenue Service-Criminal Investigation (IRS-CI), Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service, Washington Division and Assistant Inspector General for Investigations John L. Phillips of the U.S. Department of the Treasury.
Bradley King, 35, of Fredericksburg, Va., is among approximately 19 participants in this scheme who have pleaded guilty to charges in the U.S. District Court for the District of Columbia. According to court documents, the overall case involves the filing of at least 12,000 fraudulent federal income tax returns that sought refunds of at least $42 million. King pleaded guilty to one count of conspiracy to defraud the United States with respect to claims, one count of theft of public money, and one count of aiding and abetting in fraud and related activity in connection with identification documents.
The charges carry statutory maximum prison terms of 10 years, 10 years, and 15 years, respectively, as well as potential financial penalties. As part of the plea agreement, King agreed to pay $493,436 in restitution to the IRS. King also is subject to a forfeiture money judgment in the amount of $5,400. King is to be sentenced on May 18, 2016, by U.S. District Judge Ellen S. Huvelle.
According to the government’s evidence, King participated in a massive and sophisticated stolen identity refund fraud scheme that involved an extensive network of more than 130 people, many of whom were receiving public assistance. The refunds were sought for tax years 2005 through 2013, often in the names of people whose identities had been stolen, including the elderly, residents of assisted living facilities, drug addicts and incarcerated prisoners. Returns were also filed in the names of, and refunds were issued to, people who were willing participants in the scheme. The refunds listed more than 400 “taxpayer” addresses located in the District of Columbia, Maryland and Virginia.
According to documents filed with the court, King’s involvement in the scheme began in 2008 and continued through July 2015. Initially, he permitted co-conspirators to use his name, Social Security number, and residential address for the creation and submission of fraudulent income tax returns. From March 2010 through July 2015, he recruited others to provide him with means of identification for use in preparing and filing fraudulent returns. He also recruited others to permit the use of their residential addresses on fraudulent returns that he prepared and filed. King split the proceeds of the fraudulently obtained U.S. Treasury checks with his co-conspirators. In addition, he and others used bank accounts for the negotiation of refund checks that were issued in the names of other persons. Finally, according to the court documents, he sold fraudulently obtained refund checks to another individual in June 2015.
Taking together the losses generated by the use of residential addresses and bank accounts under his control, including checks associated with his co-conspirators, King was responsible for the filing of approximately 444 fraudulent returns that sought more than $1.5 million. These actions led to a total actual loss of approximately $493,436 to the U.S. Treasury, based on the negotiation of a total of 153 U.S. Treasury checks listing addresses under his control and/or negotiated by his recruits.
In announcing the plea, U.S. Attorney Phillips, Acting Assistant Attorney General Ciraolo, Special Agent in Charge Jankowski, Inspector in Charge Kelokates and Assistant Inspector General Phillips commended those who investigated the case. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office of the District of Columbia, including former Assistant U.S. Attorney Sherri L. Schornstein and Paralegal Specialists Donna Galindo and Julie Dailey. Finally, they expressed appreciation for the work of Assistant U.S. Attorney Ellen Chubin Epstein of the District of Columbia’s Fraud and Public Corruption Section and Trial Attorneys Jeffrey B. Bender and Thomas F. Koelbl and former Trial Attorney Jessica Moran of the Tax Division, who prosecuted the case.
USAO, Mad Dads, P.S. 69--Houghton AcademyRead the Press Release
BUFFALO, N.Y. –U.S. Attorney William J. Hochul, Jr. will serve as judge for the P.S. 69-Houghton Academy Moot Court. The moot court is part of a pilot program involving the United States Attorney’s Office and MAD DADS.
Once a week, approximately 30 students in grades 6, 7 and 8 have been learning about the basics of the legal system and what potential careers are available in the legal and law enforcement fields from members of the U.S. Attorney’s Office in partnership with MAD DADS.
During the moot court, the students will serve on the prosecution and defense teams and the jury as one student faces a charge of “shoplifting.”
Media is welcome to attend the moot court which gets underway at 10:00 a.m. TOMORROW at P.S. 69-Houghton Academy, 1725 Clinton Street, Buffalo 14206.
Two sent to prison for stealing government assistanceRead the Press Release
A Cleveland woman was sentenced to prison for collecting her deceased mother’s Supplmental Security Income benefits for more than 30 years, said Acting U.S. Attorney Carole S. Rendon.
Barbara J. Clark, 63, was sentenced to six months of incarceration and ordered to pay $188,973 in restitution to the Social Security Administration.
Clark pleaded guilty last year to a one-count information for theft of public money. Clark began stealing her mother’s SSI benefits after she died in June 1983, and she continued to withdraw money from their shared account until she was caught in August 2014. The Social Security Administration discovered Clark’s mother’s death through the Medicare Non-Utilization Project, according to court documents.
In an unrelated case, Kathryn Pulley, 60, of Garfield Heights, was sentenced to eight months in prison for stealing more than $58,000 in SSI benefits.
Pulley pleaded guilty last year to a one-count information for theft of public money. She concealed her marriage and cohabitation with her husband from the Social Security Administration in order to receive benefits to which she was not entitled. From June 2007, and continuing until April 2015, she fraudulently received $58,033, which she was ordered to repay in restitution.
Both cases were prosecuted by Special Assistant U.S. Attorney Lisa J. Sanniti following investigations by the Social Security Administration Office of Inspector General.
Two White Sulphur Springs men appear in Federal court on drug chargesRead the Press Release
BECKLEY, W.Va. – Two White Sulphur Springs men appeared today in federal court in Beckley on drug charges, announced Acting United States Attorney Carol Casto.
Darin Timothy Hoke, 21, was sentenced to three years and five months in federal prison for distribution of oxymorphone. Hoke previously pleaded guilty in November 2015 to the federal drug charge. He admitted that on July 28, 2015, he distributed an oxymorphone pill in White Sulphur Springs to a confidential informant working with law enforcement. Hoke also admitted that as part of his drug dealing he had distributed over 600 oxymorphone pills and 120 packets of heroin.
In a separate prosecution, Wilbur Arnold, Jr., 50, pleaded guilty to possession with intent to distribute cocaine. Arnold admitted that on July 22, 2015, law enforcement authorities seized cocaine from his home that he intended to distribute. He faces up to 20 years in federal prison and a $1 million fine when he is sentenced on June 8, 2016.
The case against Hoke was investigated by the Greenbrier Valley Drug and Violent Crime Task Force. The Greenbrier County Sheriff’s Department and the Greenbrier Valley Drug and Violent Crime Task Force investigated the Arnold case. Assistant United States Attorney John File handled the prosecutions. The defendants appeared before United States District Judge Irene C. Berger.
These cases were prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat illegal drugs in our communities, including the illicit sale and misuse of prescription drugs and heroin. The United States Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
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Tehachapi Doctor Sentenced to 6 Months in Prison for Defrauding Patients and Insurers by Implanting Unapproved IUDsRead the Press Release
FRESNO, Calif. — Dr. Paul S. Singh, 55, of Tehachapi, was sentenced today to six months in prison, to be followed by one year of home detention by United States District Judge Anthony W. Ishii, for a scheme to defraud patients and their insurers by implanting and billing for unapproved intrauterine devices (IUDs), United States Attorney Benjamin B. Wagner announced. A restitution hearing is set for May 9, 2016, at 10:00 a.m.
Singh, a medical doctor licensed to practice in California, had an office in Tehachapi. He provided obstetric and gynecological services to women, including providing forms of birth control. One form of birth control he provided were IUDs, which the Food and Drug Administration (FDA) regulates. The FDA has approved only one IUD that uses copper as its active ingredient, the ParaGard T-380A, which was sold only by its manufacturer and not available on third-party websites. Doctors who implant a non-FDA-approved copper IUD risk a patient’s safety. Such a device can result in an increased risk of pelvic inflammatory disease, ectopic pregnancy, hysterectomy, and other serious complications.
According to court documents, Singh bought unapproved IUDs on the Internet and implanted them in his patients. Rather than inform his patients or their insurers of using non-FDA approved IUDs, however, he fraudulently billed his patients and their insurers as if he had implanted FDA-approved IUDs, all without the permission or consent of his patients. Singh profited from the implanting unapproved IUDs by billing his patients and their insurers for the higher cost of approved IUDs, which was false and fraudulent.
According to court documents, Singh was sent multiple bulletins and newsletters warning against the use of unapproved IUDs. He was also warned that products sold by online pharmacies were not identical to the ParaGard T-380A and had not been approved as safe and effective by the FDA. In spite of the warnings, Singh purchased unapproved IUDs from online retailers and implanted them in numerous patients without their consent, between April 2008 and June 2012.
In August 2010, agents from the FDA confronted Singh about his history of implanting unapproved IUDs. During the meeting, Singh agreed to stop implanting them in his patients. In 2012, agents searched Singh’s office and learned that he had continued to implant unapproved IUDs in his patients.
According to the plea agreement, many of Singh’s patients later complained to him and other doctors about medical complications they associated with Singh’s insertion of the IUD. In multiple instances, Singh responded to such complaints by re-inserting the IUD rather than removing it. Some patients ultimately had to switch doctors in order to have the IUD removed.
U.S. Attorney Wagner stated: “Singh’s scheme risked the health of his patients and defrauded health care providers to benefit his bottom line. The investigation and prosecution of health care fraud is a priority for my office, particularly where that fraud endangers innocent patients.”
“Medical doctors have a special responsibility to make the best choices for their patients. When they ignore that responsibility and use unapproved medical devices, they put patients’ safety and health at risk,” said Special Agent in Charge Lisa L. Malinowski, FDA Office of Criminal Investigations’ Los Angeles Field Office. “Our office will continue its work to ensure that doctors and other healthcare professionals understand the consequences of using medical products that have not been approved by the FDA.”
This case was the product of an investigation by the Food and Drug Administration, Office of Criminal Investigations. Assistant United States Attorneys Patrick R. Delahunty and Kirk E. Sherriff prosecuted the case.
Supreme Court Rejects Apple's Request to Review E-Books Antitrust Conspiracy FindingsRead the Press Release
The U.S. Supreme Court today denied Apple’s petition for certiorari in United States v. Apple Inc., making final lower court decisions that Apple orchestrated a price-fixing conspiracy with five major e-book publishers and substantially raised e-book prices.
The Supreme Court’s action triggers Apple’s obligation to pay $400 million to e-book purchasers under Apple’s July 2014 agreement to settle damages actions brought by the attorneys general of 33 states and territories and a private class of e-book purchasers. Most e-book purchasers will receive reimbursement for the higher prices Apple’s conduct caused them to pay through automatic credits at their e-book retailers. They will be able to apply these credits to future purchases. With the $166 million previously paid by the conspiring publishers to settle claims against them, Apple’s payment will bring to $566 million the amount repaid to e-book purchasers overcharged as a result of Apple’s and the publishers’ illegal conspiracy.
“Apple’s liability for knowingly conspiring with book publishers to raise the prices of e-books is settled once and for all,” said Assistant Attorney General Bill Baer of the Justice Department’s Antitrust Division. “And consumers will be made whole. The outstanding work of the Department of Justice team – working with our steadfast state attorney general partners – exposed this cynical misconduct by Apple and its book publisher co-conspirators and ensured that justice was done.”
On April 11, 2012, the department filed its civil antitrust lawsuit challenging Apple’s orchestration of a price-fixing conspiracy with five e-book publishers: Hachette Book Group (USA), HarperCollins Publishers L.L.C., Holtzbrinck Publishers LLC (which does business as Macmillan), Penguin Group (USA) Inc. and Simon & Schuster Inc. The lawsuit, brought in the U.S. District Court for the Southern District of New York, alleged that Apple and the defendant publishers conspired to fix prices and end e-book retailers’ freedom to compete on price, and that they succeeded in substantially increasing the prices that consumers paid for e-books. The department reached settlements with the defendant publishers before trial and, along with the plaintiff states, proceeded to trial against Apple before U.S. District Judge Denise L. Cote of the Southern District of New York on June 3, 2013. Judge Cote issued her opinion and order on July 10, 2013, finding Apple liable for orchestrating a conspiracy with the publishers. On June 30, 2015, the U.S. Court of Appeals for the Second Circuit affirmed Judge Cote’s decision.
St. Louis Woman Sentenced for Structuring Financial TransactionsRead the Press Release
A St. Louis woman, who pled guilty to Structuring Financial Transactions, was sentenced to probation for a period of two years and fined $20,000 on March 4, 2016, the Acting United States Attorney for the Southern District of Illinois, James L. Porter, announced today.
Kyong Suk Kipilla, 58, of St. Louis, Missouri, received a sentence of two years’ probation and a $20,000 fine for Structuring Financial Transactions. The judge ordered Kipilla to serve the first six months of probation confined to her home, monitored by an ankle bracelet. The charges arose from Kipilla’s deposits of proceeds from her prostitution business, the Pink Spa, located in Centreville, Illinois. Federal law requires financial institutions to report currency transactions (such as currency deposits) greater than $10,000 to the IRS. Federal law also prohibits a person from structuring currency transactions for the purpose of evading this reporting requirement. Kipilla engaged in structuring bank deposits in amounts less than $10,000 so as to avoid the reporting requirements. Kipilla was also ordered to pay a $200 special assessment. Kipilla pleaded guilty to the charges on September 3, 2015.
Kipilla is a citizen of South Korea who is present in the United States as a lawful permanent resident.
The case was investigated by members of the Department of Homeland Security, the Internal Revenue Service, and the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Stephen B. Clark.
Santa Fe Man Pleads Guilty to Armed Bank Robbery ChargeRead the Press Release
ALBUQUERQUE – Jacob P. Wheeler, 25, of Santa Fe, N.M., pleaded guilty today in federal court in Albuquerque, N.M., to an armed bank robbery charge under a plea agreement with the U.S. Attorney’s Office.
Wheeler was arrested on May 26, 2015, on a criminal complaint charging him with robbing the Century Bank located at 498 N. Guadalupe St. in Santa Fe, on May 15, 2015. The complaint alleged that Wheeler robbed the bank by pointing a gun at the bank teller, demanding money, and climbing up onto the teller’s counter to grab money from a cash drawer.
Wheeler became the target of investigation later that day after the FBI received a tip identifying Wheeler as the bank robber.Wheeler was subsequently indicted on June 24, 2015, and charged with armed bank robbery of the Century Bank located at 498 N. Guadalupe St. in Santa Fe County, N.M., on May 15, 2015.
During today’s plea hearing, Wheeler pled guilty to the indictment and admitted that on May 15, 2015, he robbed the Century Bank in Santa Fe through force, violence and intimidation. At sentencing, Wheeler faces a maximum penalty of 25 years in federal prison followed by up to five years of supervised release. Wheeler remains in custody pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Albuquerque office of the FBI and the Santa Fe Police Department and is being prosecuted by Assistant U.S. Attorney Norman Cairns.
Rochester Woman Sentenced in Sex Trafficking CaseRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. — U.S. Attorney William J. Hochul, Jr. announced today that Jennifer Miller, 28, of Rochester, NY, who was convicted of conspiracy to commit sex trafficking of a minor was sentenced to 70 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Tiffany H. Lee, who handled the case, stated that in April 2013, Miller and another co-conspirator transported a minor to New Jersey and Pennsylvania in order for the minor to engage in commercial sex acts. The defendant used Backpage.com to post ads for the minor. Miller also transported the minor to Pennsylvania another time knowing that the minor would be engaging in commercial sex acts.
Miller was arrested in April 2014 along with Jodia Campbell and Laree Greggs. Charges are pending against defendants Campbell and Greggs. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Jodia Campbell and Laree Greggs have been convicted and are awaiting sentencing.
The sentencing is the culmination of an investigation on the part of the Federal Bureau of Investigation's Child Exploitation Task Force, which includes the Rochester Police Department, under the direction of Chief Michael Ciminelli, the Monroe County Sheriff’s Office, under the direction of Chief Patrick O’Flynn, and Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen.
Roanoke Woman Pleads Guilty to Heroin ChargeRead the Press Release
ROANOKE, VIRGINIA – United States Attorney John P. Fishwick Jr. announced today the guilty plea of a Roanoke woman on charges that she conspired with others to distribute heroin.
Camilla Bridget Ward, 25, of Roanoke, Va., pled guilty last week in the United States District Court for the Western District of Virginia in Roanoke to one count of conspiracy to distribute heroin.
“The use of heroin has destroyed communities throughout the Western District of Virginia,” United States Attorney John P. Fishwick said today. “The number of overdose deaths has risen in the past few years to epidemic levels. We will work with our law enforcement partners to continue to be vigilant in doing what we can to take those who distribute this substance off the streets and provide support to those seeking help for their addiction.”
The investigation of the case was conducted by the Drug Enforcement Administration, the Roanoke City Police Department and officials with the Baltimore/Washington HIDTA. Assistant United States Attorney Andrew Bassford prosecuted the case for the United States.
Roanoke Man Pleads Guilty to Federal Gun ChargeRead the Press Release
ROANOKE, VIRGINIA – United States Attorney John P. Fishwick Jr. announced today the guilty plea of a Roanoke man to a federal gun charge.
Clifton Deron Campbell, 38, of Roanoke, Va., pled guilty today in the United States District Court for the Western District of Virginia in Roanoke to one count of being a previously convicted felon illegally in possession of a firearm. At the time of sentencing, if it is determined that Campbell is to be considered an armed career criminal, he will face a mandatory minimum sentence of 180 months in federal prison.
“We will continue to work with our local, state and federal law enforcement partners to get illegal guns off the streets of our communities,” United States Attorney John P. Fishwick Jr. said today. “We know a key in keeping our communities safe is keeping illegal guns out of the hands of those who mean harm.”
The investigation of the case was conducted by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Roanoke City Police Department. Assistant United States Attorney Donald R. Wolthuis prosecuted the case for the United States.
Roanoke Man Pleads Guilty to Federal Firearm ChargeRead the Press Release
ROANOKE, VIRGINIA – United States Attorney John P. Fishwick Jr. announced today the guilty plea of a Roanoke man to a federal firearms charge.
Pierce Yarnell Brown, 38, of Roanoke, Va., pled guilty last week in the United States District Court for the Western District of Virginia in Roanoke to one count of being a previously convicted felon illegally in possession of a firearm.
“The key to keeping the public safe it to take guns out of the hands of prohibited users like Mr. Brown,” United States Attorney John P. Fishwick Jr. said today. “We will continue to work to get illegal guns out of the communities of the Western District of Virginia.”
The investigation of the case was conducted by the Roanoke City Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Andrew Bassford prosecuted the case for the United States.
Registered Sex Offender from Bay Area Found Guilty of Traveling to Cambodia to have Illicit Sexual Conduct with Young GirlsRead the Press Release
LOS ANGELES – A Bay Area man was found guilty this afternoon of travelling to Cambodia to have illicit sexual conduct with young girls.
Ronald Gerard Boyajian, 55, who resided in Menlo Park and previously spent time on the Palos Verdes peninsula, was found guilty of three child exploitation crimes.
Concluding a six-week trial, a federal court jury found Boyajian guilty of travel with intent to engage in illicit sexual conduct, engaging in illicit sexual conduct with a minor in foreign places, and committing these offenses while being required to register as a sex offender.
United States District Judge Christina A. Snyder is scheduled to sentence Boyajian on June 13, at which time he will face a statutory maximum sentence of 30 years in federal prison for each of the two travel offenses and a mandatory consecutive 10-year term for committing these offenses while being required by California law to register as a sex offender. Because two of his convictions carry potential sentence-doubling provisions, Boyajian’s total sentencing exposure is 130 years in federal custody.
Boyajian was arrested by the Cambodian National Police (CNP) in February 2009, while he was on his 35th trip to Asia over a nine-year period. Boyajian began traveling to Cambodia shortly after completing his parole following convictions for illegal sex with a minor and oral sex with a minor in 1994.
“The evidence presented at trial showed that Boyajian thought that he could molest and intimidate his young victims with impunity because he was in a foreign country, but he could not have been more mistaken,” said United States Attorney Eileen M. Decker. “Protecting children from sexual exploitation is one of our top priorities, and we will pursue pedophiles across the globe if necessary. I also salute the courage of his victims who were willing to come to the United States to be witnesses at the trial and testify against him.”
Federal prosecutors presented evidence that Boyajian sexually assaulted four victims, girls who were between 8 and 11 years old when Boyajian attacked them. One victim, who was approximately 8 when she was molested, testified at trial that “he was abusive, he was cruel, he treated me like I wasn’t even human.”
Boyajian paid pimps and sometimes relatives from impoverished families to have access to his victims, which he preferred to weigh less than 70 pounds. While the attacks took place in the village of Svay Pak – which is known as Kilo 11 because it is located 11 kilometers outside of Phnom Penh – the victims were Vietnamese immigrants who lived in the poor community. A CNP anti-human trafficking officer testified at trial that Svay Pak was well known as a place where foreigners went to have sexual contact with females, often young girls. Boyajian went to Svay Pak to have “unlimited access to young girls for sex,” prosecutors said in court.
“For the young victims robbed of their childhood and innocence by this defendant, justice has been a long time coming, but they can take consolation knowing he will now be made to pay for his crimes,” said Joseph Macias, special agent in charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Los Angeles. “I applaud the efforts by the HSI special agents here and overseas, who, along with the federal prosecutors, have fought tirelessly to vindicate the rights of these child victims. Today’s verdict should send a clear and resounding message that traveling overseas to exploit children will not go unnoticed or unpunished.”
Boyajian’s conviction follows convictions and lengthy sentences imposed on other sex tourists who were prosecuted in Los Angeles, including Michael Joseph Pepe, who was sentenced to 210 years in federal prison after being convicted of abusing seven victims in Cambodia (see: http://go.usa.gov/cfqmh), and Stanley Dan Reczko, who received a mandatory life-without-parole sentence for producing child pornography with a minor victim in the Philippines (see: http://go.usa.gov/cfqyG).
The case against Boyajian is the result of an investigation by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Los Angeles and HSI’s Attaché Offices in Bangkok, Phnom Penh and Ho Chi Minh, with the assistance of the United States Embassy in Phnom Penh.
Rapid City Man Indicted for Two Counts of Assaulting a Federal OfficerRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for two counts of Assaulting, Resisting, Opposing and Impeding a Federal Officer.
Alvin Chambers, age 36, was indicted on February 23, 2016. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 29, 2016, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund for each count. Restitution may also be ordered.
It is alleged that on February 19, 2016, in Pierre, South Dakota, Alvin Chambers used a vehicle to forcibly assault a Deputy U.S. Marshal and a Pierre Police Officer.
The charge is merely an accusation and Chambers is presumed innocent until and unless proven guilty.
The investigation is being conducted by numerous agencies including the Federal Bureau of Investigation, the U.S. Marshals Service, the S.D. Division of Criminal Investigation and the Pierre Police Department. Assistant U.S. Attorney Sarah Collins is prosecuting the case.
Chambers was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Rapid City Couple Plead Not Guilty to Drug ConspiracyRead the Press Release
United States Attorney Randolph J. Seiler announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Conspiracy to Distribute a Controlled Substance, Discharging a Firearm during a Drug Trafficking Offense, and Possession of Firearm by a Prohibited Person. A Rapid City woman was also indicted for Conspiracy to Distribute a Controlled Substance.
Nomar Ucha, age 26, and Jenna Holzer, age 31, were indicted on February 23, 2016. Ucha and Holzer appeared before U.S. Magistrate Judge Daneta Wollmann on February 26, 2016, and pleaded not guilty to the Indictment.
The penalty upon conviction for Ucha is at least 10 years and up to life in custody and/or a $250,000 fine, and 5 years of supervised release. The penalty upon conviction for Holzer is at least 5 years, but no more than 40 years, in custody and/or a $250,000 fine. Restitution may also be ordered for both of them.
The charges relate to Ucha and Holzer conspiring to distribute 50 grams or more of methamphetamine between November 1, 2015, and February 23, 2016, in South Dakota. Ucha also discharged a .45 caliber pistol in Rapid City on December 4, 2015, and then was found with pistols, a revolver, and a rifle in his possession on December 15, 2015.
The charges are merely accusations and Ucha and Holzer are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Unified Narcotics Enforcement Team, U.S. Drug Enforcement Administration, South Dakota Division of Criminal Investigation, Rapid City Police Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.
Ucha and Holzer were remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for May 3, 2016.
Passaic County, New Jersey, Man Admits Role in $1.3 Million ‘Shotgun’ Loan SchemeRead the Press Release
NEWARK, N.J. – A self-employed loan broker today admitted using bogus documents and simultaneous applications at multiple banks to fraudulently obtain home equity lines of credit, resulting in losses of $1.3 million, U.S. Attorney Paul J. Fishman announced.
Sung Ho Mo, a/k/a “Douglas Mo,” 53, of Totowa, New Jersey, pleaded guilty before U.S. District Judge Katharine S. Hayden to an information charging him with conspiracy to commit bank fraud. He was previously arrested on Aug. 4, 2015 and released on bail.
According to documents filed in this case and statements made in court:
Mo was the primary owner and operator of “Douglas Mo Mortgage,” a mortgage brokerage business in New Jersey. From 2005 through January 2014, Mo conspired with others, including a tax preparer, to fraudulently obtain home equity lines of credit and first mortgages.
As part of the scheme, Mo fraudulently obtained multiple home equity lines of credit from multiple banks, using his primary and secondary residences in Totowa as collateral for the loans. To trick the banks into issuing the lines of credit, Mo first engaged in a practice that he described as “shotgun loans,” in which he applied for several home equity lines of credit with multiple banks at the same time. By engaging in this practice, Mo thwarted the banks’ efforts to learn of security interests held by other banks on his homes.
Second, Mo falsely inflated his income by paying a tax preparer to produce false documents, including bogus W-2 forms, federal income tax returns and paystubs. Mo then submitted the fraudulent documents to the banks in support of his loan applications. After receiving home equity lines of credit, Mo used the proceeds for his own benefit and then defaulted on the loans. In addition, Mo obtained first mortgages for his clients using the same fraudulent scheme.
At sentencing, Mo faces a maximum potential penalty of 30 years in prison, a $1 million fine, and will be ordered to pay restitution. Sentencing is scheduled for June 13, 2016.
U.S. Attorney Fishman praised agents of the FBI, under the direction of Acting Special Agent in Charge Andrew Campi in Newark, for the investigation leading to today’s plea.
The government is represented by Assistant U.S. Attorney Anthony Moscato of the New Jersey U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Assistant Federal Public Defender Kevin F. Carlucci Esq., Newark