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15 January 2016
Marion Inmate Pleads Guilty to EscapeRead the Press Release
Jeffery Eugene Roetzel, 30, an inmate at the Federal Prison Camp at Marion, Illinois, pled guilty on Thursday, January 14, 2016, in United States District Court in Benton to an indictment charging him with escaping from that facility, announced James L. Porter, Acting United States Attorney for the Southern District of Illinois. The indictment, returned by a Federal Grand Jury on December 8, 2015, alleged that the escape occurred on November 8th. Roetzel was taken into custody in Poplar Bluff, Missouri, on November 11th. At the time of the escape, Roetzel was serving a 70 month sentence imposed in 2012 in the Western District of Michigan for numerous federal firearms offenses.
Sentencing was set for April 20, 2016, at 10:00 a.m. at the United States Courthouse in Benton. At that time, Roetzel faces up to an additional 5 years in federal prison, a $250,000 fine, and 3 years of supervised release following his incarceration.
Roetzel was returned to the custody of the Federal Bureau of Prisons to await sentencing on the escape charge.
The case was investigated by the United States Marshals Service and is being prosecuted by Assistant United States Attorney James M. Cutchin.
Manchester Man Pleads Guilty to Child Pornography PossessionRead the Press Release
CONCORD, NEW HAMPSHIRE - Warren Robinson, 57, of Manchester, New Hampshire, pled guilty in the United States District Court for the District of New Hampshire to possessing child pornography, announced United States Attorney Emily Gray Rice.
In February 2014, the New Hampshire Crimes Against Children Task Force and the Concord Police Department developed information that images of child pornography were being shared from Robinson’s residence in Manchester, New Hampshire. A search warrant was obtained and executed at that residence in June 2014, resulting in the seizure of a computer belonging to Robinson which contained dozens of videos depicting young children engaged in sexually explicit conduct.
Robinson is scheduled for sentencing in May 2016, and faces a maximum prison term of 10 years, to be followed by a term of at least 5 years of supervised release and a fine of up to $250,000.
The case was investigated by the New Hampshire Crimes Against Children Task Force in conjunction Homeland Security Investigations Manchester, and the police departments of Concord, Manchester, Raymond, and Bedford, New Hampshire. The case is being prosecuted by Assistant United States Attorney Nick Abramson.
In February 2006, the Department of Justice introduced 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 about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Man Accused in Drive-By Shooting of Toddler Sentenced to Federal Prison for Illegal Gun PossessionRead the Press Release
A Seattle man who has been charged in connection with the drive-by shooting death of a Kent, Washington toddler was sentenced today in U.S. District Court in Seattle for a separate crime involving the illegal possession of a firearm, announced U.S. Attorney Annette L. Hayes. DEMARTRAE LESHAWN KIME, 24, was sentenced to 46 months in prison and three years of supervised release for being a convicted felon in possession of a firearm in Seattle on October 25, 2014. At sentencing U.S. District Judge Robert S. Lasnik told the defendant, “I take this case very seriously because you armed yourself and had drugs in the car.”
“This case exemplifies the need to keep firearms out of the hands of convicted felons,” said U.S. Attorney Annette L. Hayes. “This defendant used a gun to threaten people who simply walked past his car at a gas station. I commend the witness who not only alerted police, but helped identify this defendant so he could be held accountable.”
According to records filed in the case, KIME was pulling his car into a gas station at 700 12th Avenue in Seattle as three people were leaving the parking lot to get into a ride share vehicle. KIME rolled down his window, pointed a black handgun at the three and told them “Don’t come up on my car like that homey.” After getting into the ride share car, one of the victims called 9-1-1, and described KIME and his car. Seattle police responded and took KIME into custody while he was pumping gas into his car. One of the victims left the concert he was attending in downtown Seattle to return to the scene and identify KIME as the person who pointed the gun at him. At the time of his arrest KIME had a dozen small packages of cocaine in his pocket. After getting a search warrant, police located a Taurus .45 caliber pistol in the glove compartment of the car that matched the description provided by the victims.
KIME is prohibited from possessing firearms because of his convictions for Theft (2013), Assault (2012) and robbery (2010).
After his October 2014 arrest, KIME was released pending state charges. He failed to appear and was later charged with armed robbery in Oregon. KIME was charged in federal court on June 8, 2015 and was taken in to federal custody in the Western District of Washington on June 12, 2015.
Last month, the King County Prosecutor’s Office filed a second degree murder charge, two counts of assault and one count of unlawful possession of a firearm against KIME in connection with the April 16, 2015 drive by shooting death of one-year-old Malijha Grant. The child was in the back seat of her mother’s car when a gunman in a dark colored sedan opened fire on Lake Fenwick road in Kent.
Following today’s sentencing, KIME will be transferred to state custody on the King County charges. KIME also faces an armed robbery charge in the District of Oregon.
The case was investigated by the Seattle Police Department with assistance from the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and is being prosecuted by Special Assistant United States Attorney Stephen Hobbs. Mr. Hobbs is a Senior Deputy King County Prosecutor specially designated to prosecute gun crimes in federal court.
Lorain man sentenced to eight years in prison for child pornographyRead the Press Release
James J. Paterson, 49, of Lorain, was sentenced to more than eight years in prison for receiving and possessing visual depictions of minors engaged in sexually explicit conduct, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI's Cleveland Office.
Paterson knowingly received, using any means and facility of interstate and foreign commerce, numerous computer files, which files contained visual depictions of real minors engaged in sexually explicit conduct, and which files had been shipped and transported in and affecting interstate and foreign commerce. This took place between September 10, 2010, through on or about November 17, 2014. Paterson possessed two computers that contained child pornography on March 30, 2014, according to court documents.
This case is being prosecuted by Assistant United States Attorney Michael A. Sullivan. The case was investigated by the Elyria Office of the Federal Bureau of Investigation.
Leader of D.C. Metro Area Cocaine Conspiracy SentencedRead the Press Release
ALEXANDRIA, Va. – Jorge Enrique Mendez-Limon, 34, of Berwyn Heights, Maryland, was sentenced today to 180 months in prison for leading a multi-state cocaine distribution conspiracy. Mendez-Limon was also ordered to forfeit $540,000.
According to court documents, Mendez-Limon ran an organization that imported multiple kilograms of cocaine from Mexico for distribution to customers primarily located in Maryland and Virginia. Mendez-Limon utilized a stash house in Maryland to store and prepare cocaine, and to store drug proceeds. A handgun with an obliterated serial number was seized from the stash house in June 2015.
Name
Age
Hometown
Sentencing Details
Jorge Enrique Mendez-Limon
34
Berwyn Heights, Maryland
Sentenced to 180 months today.
Roberto Carlos Esparza-Suarez
26
Dale City
Sentenced to 120 months on Dec. 18, 2015.
Marco Valdez-Hernandez
35
Denver, Colorado
Sentenced to 120 months on Dec. 18, 2015.
Lisette Natalie Cordova
24
Dale City
Sentenced to 24 months today.
Jose Komairo Hernandez-Lopez
34
Woodbridge
Sentenced to 14 months on Dec. 11, 2015.
Joaquin Santana Rivera Mejia
37
Unknown
Sentencing scheduled for Feb. 19, 2016.
Laura Shepherd
38
Berwyn Heights, Maryland
Sentenced to 30 months on Jan. 8, 2016.
Alexander Lorenzo
33
Hyattsville, Maryland
Sentencing scheduled for Jan. 22, 2016.
Christopher Flores
36
Gaithersburg, Maryland
Sentencing scheduled for March 4, 2016.
Josue Emmanuel Rivera-Lemus
32
Riverdale, Maryland
Sentencing scheduled for Jan. 22, 2016.
Fredy Armando Pereira
36
Adelphi, Maryland
Sentenced to 48 months on Dec. 4, 2015.
Jeovany Francisco Andrade
29
Rockville, Maryland
Sentenced to 40 months on Dec. 17, 2015.
Luis Manuel Villa Castelan
34
Bronx, New York
Sentenced to 84 months on Dec. 17, 2015.
Juan Delao
41
Triangle
Sentencing scheduled for Feb. 19, 2016.
This case arose out of a year-long investigation led by a task force of federal and local law enforcement officers into connected cocaine distribution networks in Virginia and Maryland. The defendants represent various components in a criminal enterprise responsible for obtaining and distributing cocaine throughout the Washington, D.C. metropolitan area. The defendants include alleged street level dealers with ties to the transnational 18th Street gang. During the course of arrests in June 2015, agents recovered multiple firearms, distribution quantities of cocaine, and over $45,000 in U.S. currency.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; Clark E. Settles, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Washington, D.C. Field Office; and Stephan M. Hudson, Chief of Prince William County Police, made the announcement after sentencing by U.S. District Judge Gerald Bruce Lee. Special Assistant U.S. Attorneys Jennifer Clarke and Andrea Duvall prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-183.
Kentwood Resident and Tax Return Preparer, Gregory Claxton, Pleads Guilty to Evading Payment of Income TaxesRead the Press Release
GRAND RAPIDS, MICHIGAN — Kentwood resident Gregory Claxton, pled guilty in the courtroom of U.S. Magistrate Judge Ray Kent to willfully evading the payment of $148,779 in federal income taxes for the calendar years 2006 through 2012. The indictment alleged he hid his assets from the IRS by placing money and property in the names of others. Claxton faces up to five years in prison, up to $250,000 in fines and must pay over $200,000 in restitution, counting interest.
According to court records, Claxton was a certified public accountant until approximately 2000 and still operates a business in which he prepares tax returns for his clients. Claxton admitted he intentionally deposited the proceeds of his tax preparation business into bank accounts in the name of his wife to avoid the appearance of having the ability to pay his income taxes. Claxton also admitted that, just two days prior to meeting with the IRS to discuss his ability to pay his outstanding tax bill, he transferred the deed of his house to a trust in his wife’s name in an effort to thwart IRS collection efforts.
"With the tax filing season quickly approaching, it is important for people to have confidence that when they pay their taxes, they know their neighbors, co-workers and tax return preparers are doing the same," said Jarod J. Koopman, Special Agent in Charge, IRS – Criminal Investigation.
This case was investigated by Special Agents of Internal Revenue Service Criminal Investigation and prosecuted by Assistant U.S. Attorney Sally J. Berens.
END
Justice Department Files Proposed Settlement of Fair Housing Act Lawsuit Against Landlord for Housing Discrimination Based on DisabilityRead the Press Release
The Justice Department filed a proposed settlement of a lawsuit alleging that a Waunakee, Wisconsin, landlord and apartment complex owner violated the Fair Housing Act by discriminating against two residents of Applewood Apartments based on disability.
“Persons with disabilities, like all Americans, have the right to live in housing free of discrimination and harassment from both landlords and tenants,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “The Civil Rights Division remains committed to enforcing the Fair Housing Act and ensuring that all individuals are able to enjoy the rights it guarantees.”
“The Fair Housing Act prohibits discrimination on many bases, including disability,” said U.S. Attorney John W. Vaudreuil of the Western District of Wisconsin. “Persons living with disabilities have an equal right to protection under the Act and we will enforce the Act when such offensive conduct interferes with their rights to use and enjoyment of their home.”
“No family should have to endure degrading insults and comments in the place they call home,” said Gustavo Velasquez, HUD’s Assistant Secretary for Fair Housing and Equal Opportunity. “Today’s settlement reflects HUD and the Justice Department’s ongoing commitment to taking appropriate action against individuals who violate the housing rights of persons with disabilities.”
The lawsuit, filed today along with a proposed settlement in the U.S. District Court of the Western District of Wisconsin, alleges that defendants Applewood of Cross Plains LLC (ACP) and William Ranguette discriminated against two residents of Applewood Apartments, a mother and daughter living together, and denied them rights by refusing to renew the residents’ lease because of their disabilities; demanding that they develop a “plan” to deal with the daughter’s purported disability-related behavior (she is a person with Down Syndrome); and pressuring them to move.
Furthermore, the United States alleges that all defendants, which include the residential apartment manager of the building, discriminated against the two residents by failing to take prompt action to correct and end disability-related harassment by other tenants. From the moment the residents moved into the building, other tenants made such statements as calling the daughter “mentally retarded,” and stating “You don’t belong here. . . you belong in an institution.” Complaints to the landlord and building manager, including that other tenants continued with offensive comments, followed them around the building, and interfered with their use of the premises, went unaddressed.
Under the terms of the settlement, which is subject to approval by the U.S. District Court, defendants will pay the complainants $40,000 in damages. Although denying the allegations, defendants ACP and Ranguette have also agreed to maintain non-discrimination housing policies, advertise that they are equal opportunity housing providers and attend fair housing training.
Fighting housing discrimination is a top priority of the Justice Department. The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex familial status, national origin and disability. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt. Individuals who believe that they have been victims of housing discrimination can call the Housing Discrimination Tip Line at 1-800-896-7743, e-mail the Justice Department at [email protected] or contact the Department of Housing and Urban Development at 1-800-669-9777.
This case was handled by the Civil Rights Division’s Housing and Civil Enforcement Section and Assistant U.S. Attorney Leslie Herje of the Western District of Wisconsin.
Applewood Complaint
Applewood Consent Decree
Applewood Joint Motion to Enter Consent Decree
Jackson Man Sentenced to Prison for Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss. - Maurice King, 29, of Jackson, was sentenced on January 14, 2016, by Senior U.S. District Judge David C. Bramlette III, to 51 months in federal prison followed by three years of supervised release for possession of a firearm by a convicted felon, U.S. Attorney Gregory K. Davis announced today.
King was indicted as a result of the Jackson Violent Crime Initiative - a joint initiative between federal, state and local law enforcement agencies who are working together to reduce violent crime in the city of Jackson and to remove violent offenders from the streets of this community. The Initiative is an ongoing operation aimed at making the streets of Jackson and the surrounding communities safe for all citizens. Jackson Violent Crime Initiative partners include the Jackson Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Federal Bureau of Investigations (FBI), Drug Enforcement Administration (DEA), U.S. Marshals Service, Homeland Security Investigations, U.S. Postal Inspection Service, and U.S. Secret Service.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the Jackson Police Department and the Ridgeland Police Department. Assistant U.S. Attorney Erin Chalk prosecuted the case.
Irondequoit Man Indicted, Charged with Sexually Exploiting 15 Year OldRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. – U.S. Attorney William J. Hochul Jr. announced today that a federal grand jury has returned a three count indictment charging Jose Alvarado, 27, of Irondequoit, NY, with coercing a minor to engage in unlawful sexual activity, receipt of child pornography and possession of child pornography. The charges carry a minimum penalty of 10 years in prison, a maximum of life, and a$250,000 fine.Assistant U.S. Attorney John J. Field, who is handling the case, stated that according to the indictment, Alvarado, then 26 years old, used his iPhone and other digital devices to coerce and entice a 15 year old female that he knew into having sex with him on multiple occasions. The defendant convinced his victim to take graphic photos of herself and send them to him using a texting application. Alvarado then sought to the control the girl through “sextortion” – that is, by threatening to expose the sexually-explicit pictures of her – and other means.
The defendant was arraigned today before U.S. Magistrate Judge Jonathan W. Feldman and is being held pending a bail hearing on January 21, 2016, at 9:30 a.m..
The indictment is the result of an investigation by the Federal Bureau of Investigation’s Child Exploitation Task Force, under the direction of Special Agent in Adam S. Cohen, the Irondequoit Police Department, under the direction of Chief Richard V. Tantalo, and the New York State Police, Troop E, under the direction of Major Craig Hanesworth. The task force includes the Monroe County Sheriff’s Office, the Rochester Police Department, and U.S. Immigration and Customs Enforcement-Homeland Security Investigations.
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.
Inmate Sentenced to Serve an Additional 77 Months in Federal Prison for Mailing Threat Letter to Federal JudgeRead the Press Release
LUBBOCK, Texas — An inmate in state custody on unrelated offenses, Dillon Alex Steele, was sentenced today by Senior U.S. District Judge Sam R. Cummings to serve an additional 77- month sentence in federal prison for mailing a threatening letter to a federal judge last year, announced U.S. Attorney John Parker of the Northern District of Texas.
Steele, 31, pleaded guilty in September 2015 to one count of mailing threatening communications.
According to the factual resume filed in the case, on April 11, 2014, an employee in the Amarillo, Texas, office of U.S. District Judge Mary Lou Robinson received a letter from Steele that was addressed to Judge Robinson and postmarked the previous day. In the letter, the writer stated, in part, “…I’m gonna kill everyone at the courthouse, and the federal building, I’m gonna blow everything up sky high, may-be after nothing but death and destruction someone will listen then!”
Steele admitted he wrote the letter but that he did not intend to carry out his threats, but just call Judge Robinson’s attention to perceived civil rights violations at the Potter County Jail. Steele’s DNA and fingerprints were on the letter and envelope.
The FBI investigated. Assistant U.S. Attorney Jeffrey Haag prosecuted.
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Information: Federal Court ArraignmentsRead the Press Release
The United States Attorney’s Office announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Lynch in Missoula, on January 15, 2016 and entering pleas of Not Guilty were:
- JAMES ANTHONY LOVENGUTH, a 38-year-old resident of Havre, appeared on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute methamphetamine, illegal receipt of a firearm by a person under Information, and possession of a firearm by a prohibited person. If convicted of the most serious charges contained in the indictment, LOVENGUTH faces 40 years in prison, $5,000,000 in fines and 4 years supervised release. The case was investigated by the Drug Enforcement Administration. PACER Case Reference. 16-01
- TANDA AURORA TROUT, a 36-year-old resident of Havre, appeared on charges of conspiracy to possess with intent to distribute methamphetamine, and possession with intent to distribute methamphetamine. If convicted of the most serious charges contained in the indictment, LOVENGUTH faces 20 years in prison, $1,000,000 in fines and 3 years supervised release. The case was investigated by the Drug Enforcement Administration. PACER Case Reference. 16-01
Appearing before U.S. Magistrate Johnston in Great Falls, on January 13, 2016 and entering pleas of Not Guilty were:
- HARLAN JEROME DEAN MAD PLUME, a 19-year-old resident of Browning, appeared on charges of assault resulting in serious bodily injury. If convicted of the charge contained in the indictment, MAD PLUME faces 10 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Indian Affairs. PACER Case Reference. 16-03
Appearing before U.S. Magistrate Lynch in Missoula, on January 13, 2016 and entering pleas of Not Guilty were:
- OCTAVIO GUADALOPE GARCIA-MORALES, a 29-year-old resident of Mexico, appeared on charges of conspiracy to distribute controlled substances, possession with intent to distribute methamphetamine, and distribution of heroin. If convicted of the most serious charges contained in the indictment, GARCIA-MORALES faces life in prison, $10,000,000 in fines and 5 years supervised release. The case was investigated by the Northwest Montana Drug Task Force. PACER Case Reference. 16-05
Appearing before U.S. Magistrate Lynch in Missoula on January 12, 2016 and entering pleas of Not Guilty were:
- GEORGE LESLIE MANLOVE, a 58-year-old resident of Eagle, Idaho, appeared on charges of conspiracy, wire fraud, bank fraud, false statement to federal insured bank, bankruptcy fraud, and money laundering. If convicted of the most serious charges contained in the indictment, MANLOVE faces 30 years in prison, $1,000,000 in fines and 5 years supervised release. The case was investigated by the Federal Bureau of Investigation, U.S. Department of Labor and the Internal Revenue Service. PACER Case Reference. 16-40
- PAUL LYN NISBET, a 46-year-old resident of Missoula, appeared on charges of conspiracy to commit wire fraud. If convicted of the most serious charge contained in the indictment, NISBET faces 5 years in prison, $250,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation, U.S. Department of Labor and the Internal Revenue Service. PACER Case Reference. 15-43
Appearing before U.S. Magistrate Ostby in Billings, on January 12, 2016 and entering pleas of Not Guilty were:
- CHARITY LEIGH MENDONSA, a 39-year-old resident of Cathedral City, California, appeared on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute methamphetamine, and distribution of methamphetamine. If convicted of the most serious charges contained in the indictment, MENDONSA faces life in prison, $10,000,000 in fines and 5 years supervised release. The case was investigated by the Montana Division of Criminal Investigation and the Drug Enforcement Administration. PACER Case Reference. 15-147
- JOSEPH EMMANUEL SOBECK, a 43-year-old resident of Ashland, appeared on charges of possession of a firearm not registered in National Firearms Registration and Transfer Record, and felon in possession of a firearm. If convicted of the most serious charges contained in the indictment, SOBECK faces 10 years in prison, $10,000,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. PACER Case Reference. 15-153
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Indictment Unsealed in Cocaine Trafficking ConspiracyRead the Press Release
U.S. Attorney Kenneth A. Polite announced today’s unsealing of a two-count Indictment charging CRAIG JAMES, age 37, of Houston, LAZANDY DANIELS, age 39, and LEON JACKSON, JR., age 41, both of New Orleans, with conspiracy to distribute 5 kilograms or more of a mixture or substance containing cocaine hydrochloride (“powder cocaine”) and 28 grams or more of a mixture or substance containing cocaine base (“crack cocaine”). JAMES and DANIELS are also charged with possessing with intent to distribute 28 grams or more of a mixture or substance containing cocaine base.
If found guilty of the lead conspiracy charge, each defendant faces a mandatory minimum of ten years of imprisonment, a maximum life sentence, a $10,000,000 fine, and at least five years of supervised release.
U. S. Attorney Polite reiterated that the indictment is merely a charge and that the guilt of the defendants must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration (DEA) and the New Orleans Police Department (NOPD) in investigating this matter. Assistant United States Attorney Brandon S. Long is in charge of the prosecution.
Hartford Man Sentenced to 5 Years Prison for Gang-Related Narcotics TraffickingRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that KYRIN-ROBERT JACKSON, also known as “Ky,” 25, of Hartford, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in New Haven to 60 months of imprisonment, followed by four years of supervised release, for gang-related narcotics trafficking.
According to court documents and statements made in court, this matter stems from a year-long joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force into narcotics trafficking by members and associates of WestHell street gang, and gang-related violent activity. The investigation, which included the use of court-authorized wiretaps, controlled purchases of narcotics and physical surveillance, identified Melkuan Scott, also known as “Young God,” “Mel,” “Young” and “YG,” as the leader of the West Hell street gang who, along with JACKSON and other associates, distributed crack cocaine in the Westland Street area of Hartford.
JACKSON has been detained since his arrest on April 15, 2014. On April 15, 2015, he pleaded guilty to one count of conspiracy to distribute 28 grams or more of cocaine base (“crack”).
Twenty-five individuals were charged as a result of the investigation. One defendant was convicted after trial and 23 defendants pleaded guilty to various offenses. One defendant was shot and killed while his case was pending. Scott pleaded guilty and awaits sentencing.
JACKSON previously served approximately 71 months in state prison for assaulting police officers and larceny. On June 5, 2008, Hartford Police detectives received a report of a car that was involved in a robbery in Bloomfield. After spotting the car at a location on Bellevue Street, JACKSON, who attempted to flee, repeatedly drove the vehicle at officers at a high rate of speed and smashed two police vehicles. Three detectives were taken to the hospital as a result of the incident.
This matter has been investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, Drug Enforcement Administration, U.S. Marshals Service and Internal Revenue Service – Criminal Investigation Division. The FBI Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The Hartford Police Department’s Vice and Narcotics Squad, Major Crimes Unit and Shooting Task Force are providing valuable assistance to the investigation, and the Capitol Region Emergency Response Team (CREST) assisted with the arrest of certain defendants.
The case is being prosecuted by Assistant U.S. Attorneys John H. Durham and Peter S. Jongbloed.
Harrisburg Businessman Pleads Guilty to Federal Tax FraudRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Paul Biko, age 65, pleaded guilty yesterday to federal tax fraud before Chief United States District Court Judge Christopher C. Conner in Harrisburg.
According to United States Attorney Peter Smith, in 2008, Biko was the owner of three Harrisburg businesses: Clearview of Harrisburg, Clearview Landscaping and Clearview Builders. As owner, Biko controlled the financial affairs of the three companies including all business bank accounts. For the fourth quarter of 2008, Biko’s companies withheld employment taxes from employees but failed to pay to the IRS the federal income taxes and Federal Insurance Contributions Act (FICA) taxes due to the United States. The government’s estimate of the loss is approximately $674,969.
Biko is scheduled to be sentenced in April 2016.
Biko was charged in an indictment in April 2014. Charges are still pending against Maura Mia Whetsel, age 31, of Harrisburg, the firms’ former Director of Finance and bookkeeper.
The investigation was conducted by the Internal Revenue Service Criminal Investigations. Prosecution was handled by Assistant United States Attorney Joseph J. Terz.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is 5 years of imprisonment, a term of supervised release following imprisonment, and a $10,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.]
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Hagerstown Woman Pleads Guilty to Heroin DistributionRead the Press Release
Baltimore, Maryland – Erica Buffolino, age 25, of Hagerstown, Maryland pleaded guilty today to conspiracy to distribute heroin and to distribution of heroin.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Washington County Sheriff Douglas Mullendore; and Acting Hagerstown Police Chief Paul Kifer.
According to Buffolino’s plea agreement, early on April 13, 2015 Buffolino met a 19-year old Clear Spring, Maryland, woman (the victim) at Buffolino’s mother’s residence in Hagerstown. Buffolino was a long-time heroin addict and the victim was a recovering heroin addict who had recently been released from jail. While at the residence, the victim asked Buffolino to give her heroin. Buffolino initially refused, but sometime after 1:30 a.m., she agreed to share her “morning stash” of heroin with the victim, who injected the heroin and became high.
Buffolino later called co-defendant Cory Kline to obtain more heroin. Cory Kline and another co-defendant arrived at the residence sometime after 3:00 a.m. and the victim purchased half a gram of heroin to repay Buffolino for the “morning stash” of heroin that she had shared earlier. According to Buffolino, the victim again asked for some of the heroin and Buffolino initially resisted. Eventually, Buffolino relented and provided some heroin to the victim. After injecting the heroin, the victim became very high and reported feeling ill and wanting to lie down. The victim fell asleep in Buffolino’s bed, but Buffolino woke her up when she noticed the victim was having difficulty breathing. Kline left the residence sometime before 6:00 a.m. Buffolino and the victim got into an argument and the victim left the residence in her car at about 6:15 a.m. The victim spoke to another individual on her cell phone from that time until approximately 7:06 a.m. on April 13. According to this individual, the victim stated she was very high and did not feel right, and the individual could hear the victim throwing up. The victim reported driving to a convenience store parking lot, and then to a nearby church. Toward the end of the call, the victim began nodding off and then stopped speaking. The victim’s body was discovered the following day in her car in a church parking lot in Hagerstown. The medical examiner reported that the cause of death was heroin intoxication. There were no drugs or drug paraphernalia found inside the vehicle, nor does the victim’s cell phone reflect any completed calls or outgoing messages after 7:06 a.m. on April 13.
Buffolino faces a maximum sentence of 20 years in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for March 22, 2016 at 3:00 p.m.
Cory Allen Kline, age 32, of Hagerstown, Maryland, previously pleaded guilty to conspiracy to distribute heroin and is scheduled to be sentenced on April 11, 2016, at 3:00 p.m.
United States Attorney Rod J. Rosenstein commended the DEA and Washington County Narcotics Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Christina Hoffman and Robert R. Harding, who are prosecuting the case.
Former Memphis Pastor Sentenced to 85 Months for Receiving Child PornographyRead the Press Release
Memphis, TN – A former Memphis pastor has been sentenced to 85 months for knowingly receiving sexual images of a minor. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentencing today.
According to information presented in court, between March and April 2015, Demarcus Smith, 32, asked a teenage boy to send him sexually explicit images of himself via the Facebook Messenger app. Smith, a former pastor and minister, also had sexually explicit conversations with the victim through Facebook Messenger.
In August 2015, Smith was indicted on charges in relation to child pornography. He pled guilty to one count of receipt of child pornography in October 2015.
On Friday, January 15, 2016, Smith was sentenced by U.S. District Judge Sheryl H. Lipman to 85 months imprisonment.
The case was investigated by the Memphis Child Exploitation Task Force. The collective is comprised of the Federal Bureau of Investigation; Homeland Security Investigations; Shelby County Sheriff's Department; Memphis Police Department; U.S. Postal Investigation Service; U.S. Marshals Service; and the United States Secret Service.
Assistant U.S. Attorney Debra Ireland prosecuted this case on the government’s behalf.
Anyone who has information on the exploitation of minors is asked to contact the Memphis Child Exploitation Task Force at 901.747.4300.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the
Criminal Division's Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."
Former El Dorado Hills Man Pleads Guilty in Scheme That Misappropriated Millions of DollarsRead the Press Release
SACRAMENTO, Calif. — Gregory J. Chmielewski, 46, of West Bend, Wisconsin, pleaded guilty today to two counts of mail fraud for a scheme where he transferred business funds to his own personal use, United States Attorney Benjamin B. Wagner announced.
According to his plea agreement, Chmielewski set up a professional employer organization called Independent Management Resources (IMR). He solicited an Indian tribe to partner with him and provide employee insurance coverage and other employee services at a reduced cost. Chmielewski marketed the insurance coverage to California employers as a low-cost alternative workers’ compensation coverage. Because of the low rates, Chmielewski was successful in obtaining employer clients. Chmielewski then began diverting and misappropriating millions of dollars from IMR accounts for his personal use. Eventually, the company experienced serious cash flow problems and was forced to cease operations, leaving approximately 117 injured workers with approximately $1.8 million in unpaid claims.
This case is the product of an investigation by the United States Postal Inspection Service, the Internal Revenue Service, Criminal Investigation, and the California Department of Insurance. Assistant U.S. Attorneys Heiko P. Coppola and Andre’ Espinosa are prosecuting the case.
Chmielewski is scheduled to be sentenced on April 1, 2016, by U.S. District Judge Garland E. Burrell Jr. Chmielewski faces a maximum statutory penalty of 20 years in prison and a $250,000 fine or up to twice the gain or loss from the offense. The actual sentence will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Denver Massage Parlor Owner Pleads GuiltyRead the Press Release
DENVER – Jung Yoon Choi, age 55, formerly of Aurora, Colorado, pled guilty yesterday before U.S. District Court Judge Robert E. Blackburn to obstructing and impairing the laws of Internal Revenue Service, United States Attorney John Walsh and IRS Criminal Investigation Special Agent in Charge Stephen Boyd announced. Judge Blackburn is scheduled to sentence Choi on April 21, 2016. Choi agreed to be charged by an Information, waiving her Constitutional right to be indicted by a federal grand jury.
According to the information and plea agreement, from January 1, 2009, through December 31, 2010, Choi owned and operated three massage parlors in the Denver Metropolitan area, specifically; Ivy Spa located at 2260 S. Quebec Way, Denver, CO (during 2009); New Image Spa located at 17783 Cottonwood Drive, Parker, CO (during 2010); and Blue Pine Spa located at 6212 East Pine Lane, Douglas County, CO (during 2010).
Choi typically staffed each of her spas with an on-site manager and a number of workers who provided services to customers. The primary service provided by her workers was giving massages. Each of the spas typically had a fee schedule according to which customers paid a door fee ordinarily ranging from $40 to $50, depending on the amount of time requested (30 to 60 minutes were the norm). In addition, customers at the various spas often paid an additional fee which was characterized as a “tip” in many instances for “extra services” provided by Choi’s workers. At times, the “extra services” consisted of prostitution services in violation of Colorado Revised Statute, 18-7-201. Specifically, the workers would engage in sexual acts with customers in exchange for money. Choi was aware that such illicit activity was occurring at times in each of her spas and that business income was being generated from such activity. Choi regularly advertised for her spas using Westword newspaper and Sowet.com. Choi paid the owner of Sowet.com a monthly fee to post favorable reviews on his website touting her various businesses and the women who worked there.
Choi generated substantial income from each of her spas for tax years 2009 to 2010. However, she failed to file personal income tax returns for 2009 and 2010, and thus she did not report her business income for either year and she did not pay any taxes to the IRS. In addition to not filing tax returns and not paying taxes, Choi further impeded the IRS’s collection of taxes by several means, including: using nominees on bank accounts so as to conceal her business income; conducting cash and business transactions using nominees; conducting financial transactions in amounts that were less than $10,000 so as not to trigger the filing of currency transaction reports; and hiding and storing income in the form of cash hoards at various locations.
IRS Special Agents conducted a financial analysis of the Ivy Spa bank account for 2009 and the account showed deposits totaling $118,418. The vast majority of such deposits, $106,322, came from credit card payments from customers at Ivy Spa. The $118,418 in funds deposited into this account represented gross income generated by Choi for tax year 2009.
Choi also utilized nominees to conduct financial transactions in bank accounts for New Image Spa and Blue Pine Spa in 2010. Choi received substantial business income from New Image and Blue Pine Spa throughout 2010 in the form of cash and credit card deposits which she concealed. She regularly took a portion of her cash earnings and secreted the funds in cash hoards at various locations. Particularly, on December 17, 2010, pursuant to a federal search warrant, IRS Special Agents seized approximately $118,575, in cash from a locker at the U-Store-It. In total, Special Agents seized $219,388 in cash from Choi or her associates in late 2010. Such funds represented gross, business income which Choi generated during 2010.
Choi agrees to the forfeiture of $118,575.00 seized on December 17, 2010. The forfeiture of Choi’s assets, including the $118,575.00 identified above, shall not be treated as satisfaction of any fine, restitution, cost of imprisonment, or any other penalty the court may impose.
Choi pled to one count of obstructing and impairing IRS laws which carries a penalty of not more than 3 years in federal prison, and a fine of up to $250,000 per count.
This case was investigated by Internal Revenue Service – Criminal Investigation with assistance from the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Tim R. Neff.
Former Controller Sentenced to Prison for Embezzling over $208,000 from Non-Profit Health Care EmployerRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced today that U.S. District Court Judge John W. deGravelles sentenced TRAVIS TEMPLET, age 36, of Gonzales, Louisiana, to twelve (12) months in federal prison as a result of his scheme to defraud his non-profit health care employer, Elder Outreach. TEMPLET was ordered to pay restitution of $208,307.59 to the victim and to serve a three (3) year term of supervised release after his release from imprisonment. TEMPLET was also ordered to forfeit all property traceable to the gross proceeds of the scheme.
On July 1, 2015, TEMPLET pled guilty to wire fraud, in violation of Title 18, United States Code, Section 1343. TEMPLET was the Controller at Elder Outreach, a non-profit health care organization, which manages nursing homes and rehabilitation centers in Louisiana and Arkansas. Between December of 2011 and October of 2014, TEMPLET engaged in a scheme to defraud his employer using material false pretenses and wire communications to execute his scheme. The scheme involved TEMPLET modifying the coding on fraudulently issued checks in Elder Outreach’s software program, writing checks to himself, and altering the company’s accounting records and software applications to conceal his actions. As TEMPLET obtained the checks, he would deposit the funds into one of his personal accounts. Throughout the scheme, TEMPLET created and generated more than sixty-seven (67) checks and fraudulently obtained approximately $208,307.59.
U.S. Attorney Walt Green stated, “My office will continue to make fraud and embezzlement prosecutions a high priority, as we work to hold corrupt insiders such as this defendant accountable. The defendant’s actions in this case were particularly egregious in that he not only betrayed the trust placed in him by his employer, but also took advantage of a non-profit health care organization, which managed elder care facilities.”
This matter was prosecuted by Assistant United States Attorney Jessica M.P. Thornhill. The matter was investigated by the United States Secret Service and the East Baton Rouge Parish Sheriff’s Office.
Former Austin Resident Sentenced to Federal Prison in Connection with an Estimated $1.4 Million Ponzi SchemeRead the Press Release
In Austin today, Rose Marie O’Reilly, 63, of La Grange, TX, was sentenced to 48 months in federal prison for her role in an estimated $1.4 Million Ponzi scheme announced United States Attorney Richard L. Durbin, Jr., Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division, Internal Revenue Service-Criminal Investigation Special Agent in Charge William Cotter, and Texas State Securities Board Commissioner John Morgan.
In addition to the prison term, United States District Judge Sam Sparks ordered that O’Reilly pay $1,463,128.50 restitution and to be placed on supervised release for a period of three years after completing her prison term.
“O'Reilly ran a classic con with a dazzling twist--offering the allure of collectible silver antiques and pink diamonds. Like all Ponzi schemes, at its core was a simple scheme to defraud investors and use their money for her own gain,” said United States Attorney Richard L. Durbin, Jr.
On September 23, 2015, O’Reilly pleaded guilty to one count of money laundering. By pleading guilty, O’Reilly admitted that from August 2007 to August 2012, she stole money from investors through an antiques and jewelry acquisition scheme and engaged in monetary transactions with criminally derived property. According to court documents, O’Reilly convinced investors that various antiques and jewelry items purchased with their investment funds could be resold for profit. Some of the antiques and jewelry pieces in her scheme included the Spratling Silver Banquet Set purportedly commissioned by deceased Country and Western singer Marty Robbins. O’Reilly convinced investors that once the “lost” pieces were reunited with the set, they could then sell the complete collection for the anticipated price of $21 million. O’Reilly also convinced investors that she could acquire, and then resell for profit, an assortment of pink diamond jewelry formerly owned by alleged New Orleans mob boss Carlos Macello.
“The FBI will continue to vigorously pursue scam artists, like the defendant, who convince others to entrust them with their hard-earned money, but instead use that money for personal gain,” said FBI Special Agent in Charge Christopher Combs. “This sentence ensures that Mrs. O’Reilly is punished and sends the strong message that investment schemes don’t pay.”
“The role of IRS Criminal Investigation becomes even more important in Ponzi scheme investigations such as this due to the complex financial transactions that must be unraveled. Honest and law abiding citizens are fed up with greedy individuals, such as Ms. O’Reilly, who abuse the trust they are granted and use deceit and fraud to line their pockets with other people’s money,” said IRS Criminal Investigation Special Agent in Charge William Cotter. “Today’s sentencing demonstrates the serious consequences of financial crimes such as this and the collective focus of IRS-CI and our partners to holding the perpetrators of such nefarious investment schemes accountable for their actions.”
This case is the result of a joint investigation conducted by the FBI, IRS-Criminal Investigation, and the Texas State Securities Board. Assistant United States Attorney Sharon Pierce prosecuted this case on behalf of the Government.
Five charged with trafficking heroin and crack cocaine in Youngstown; indictment includes specification for fatal overdose last yearRead the Press Release
A federal grand jury returned a 100-count indictment charging five Youngstown men with distributing heroin and crack cocaine, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
The indictment includes a sentencing enhancement charging that one of the defendants, Shayne Mascarella, distributed heroin that directly resulted in the July 19, 2015 death in Youngstown of a person identified in the indictment as L.Z.
Indicted are: William Williams, 33; Derrick Brown, 35; Shayne Mascarella, 22; Tyrell Hollis, 22, and Emmanuel Bunkley, 35.
“This group spread misery throughout the Mahoning Valley in the name of profit,” Dettelbach said. “They destroyed families and one of them is charged with supplying the heroin that killed someone last year. We will continue to do all we can to curtail Ohio’s opioid epidemic, including vigorous criminal prosecutions.”
“These individuals are responsible for bringing large quantities of illegal and deadly drugs to the streets of Youngstown,” Anthony said. “The collaborative effort between law enforcement agencies throughout this two-year investigation has been exceptional and we will continue to work together to make our cities safer.”
The indictment alleges the five men knowingly conspired to possess with the intent to distribute and to distribute heroin and cocaine base (crack cocaine) between July 2013 and July 23, 2015.
Williams supplied heroin and crack cocaine to Brown, Mascarella, Hollis, Bunkley and others for distribution in the Youngstown area. It was further part of the conspiracy that Brown supplied heroin and crack cocaine to Mascarella for distribution in the Youngstown area, according to the indictment.
On or about July 19, 2015, Mascarella distributed heroin to a person which resulted in a drug overdose and the victim’s death, according to the indictment.
It was further part of the conspiracy that cellular telephones, code words and phrases were used by the co-conspirators to facilitate their drug trafficking activities.
If convicted, the defendants’ sentences will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The case is being prosecuted by Assistant United States Attorneys Jason M. Katz and David M. Toepfer. The investigation preceding the indictment was conducted by the Federal Bureau of Investigation, Mahoning Valley Violent Crimes Task Force, which includes officers from the Boardman Police Department and Mahoning County Sheriff's Office.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Federal designation brings new resources to Jefferson CountyRead the Press Release
JEFFERSON COUNTY, WEST VIRGINIA – The addition of Jefferson County, West Virginia to a federal anti-drug trafficking program will bolster efforts to loosen the grip of addiction in the Eastern Panhandle, United States Attorney William J. Ihlenfeld, II, announced.
Yesterday, Jefferson County was designated as a High Intensity Drug Trafficking Area (HIDTA). The HIDTA program, administered by the White House Office of National Drug Control Policy, brings additional federal resources to regions of the United States that have been particularly impacted by drug trafficking and substance abuse, such as the Eastern Panhandle. The program is designed to spark enhanced intelligence sharing, communication, and cooperation among federal, state, and local law enforcement agencies in order to reduce the influence of illegal drugs in regional communities.
Jefferson County will join Berkeley County as part of the Washington/Baltimore HIDTA, which also serves Washington, D.C., Maryland, and Virginia, and is a leader in innovative, rapid data collection and analysis. The intelligence resources provided will allow law enforcement in Jefferson County to take a data-driven approach to the dismantling of large-scale drug trafficking organizations.
“Jefferson County sits right in the middle of a major corridor for the transportation of drugs to the East Coast,” said U.S. Attorney Ihlenfeld. “Because of its proximity to large metropolitan areas and interstate highways, and because of various economic factors, it has become an extension of the Baltimore drug market. The HIDTA designation will help us to push back against drug traffickers and make our community a safer place to live and raise a family.”
“This is good news for Jefferson County,” noted Jefferson County Sheriff Pete Dougherty. “Becoming a HIDTA county brings a variety of important resources to our area that will help us to stop drugs from coming into our county, aid us in arresting drug traffickers, and improve the availability of treatment resources for those addicted to drugs. The new designation will allow us to take a more comprehensive approach with an increased focus on the underlying causes of illegal drug use. I am particularly excited to add an additional resource that allows us to better protect local residents.”
The HIDTA program was first established in 1988 through the Anti-Drug Abuse Act. Today, the White House Office of National Drug Control Policy operates 28 HIDTAs throughout the United States, encompassing approximately 60% of the country’s population. Individuals interested in learning more about the program are encouraged to visit the Office of National Drug Control Policy website at www.whitehouse.gov/ondcp.
Federal Jury Convicts Former Houston Police Officer of ConspiracyRead the Press Release
U.S. Attorney Kenneth A. Polite announced that a federal jury has convicted former Houston Police Officer NOE JUAREZ, age 47, of conspiracy to distribute five kilograms or more of cocaine hydrochloride and conspiracy to possess firearms in furtherance of a drug trafficking offense.
According to evidence presented at trial, Juarez, a veteran Houston Police officer, became involved with an international drug conspiracy that reached into the Eastern District of Louisiana. The conspiracy, spearheaded by brothers Efrain and Sergio Grimaldo, distributed thousands of kilograms of cocaine throughout the United States. The drugs were supplied to the conspiracy by the Los Zetas drug cartel. Juarez played a pivotal role by providing law enforcement sensitive information, including running license plates and sharing police tactics and activities with conspirators. Juarez further supplied vehicles, body armor, and semi-automatic handguns and assault rifles to the conspirators, some of which ended up among senior cartel leaders in Mexico.
The conspiracy to distribute cocaine conviction carries a sentence of ten years to life imprisonment, followed by a minimum of five years of supervised release, and up to a $10,000,000 fine. The conspiracy to possess firearms in furtherance of a drug trafficking offense carries a maximum penalty of twenty years imprisonment, followed by a maximum of three years of supervised release, and a $250,000 fine. U.S. District Judge Sarah S. Vance set sentencing on April 20, 2016.
“A once proud member of the Houston Police Department, Noe Juarez breached his oath to protect and serve by providing weapons and other resources to known violent drug traffickers,” stated U.S. Attorney Polite. “This conspiracy’s conduct resulted in drugs and firearms ending up on the streets of Houma, Louisiana. Today’s guilty verdict ensures that Juarez will now face a lengthy jail sentence for his crimes. In addition, this prosecution reaffirms our commitment to fighting violence and corruption in Southeast Louisiana.”
“Law enforcement officers take an oath to work for the public good. The crimes committed by Noe Juarez are a slap in the face to the vast majority of law enforcement across the globe who are dedicated to taking down violent drug trafficking organizations. Those who commit such crimes are not worthy to stand among the ranks of the good men and women who wear their badges with pride in order to protect the citizens of this great country,” said DEA Special Agent in Charge Keith Brown.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration (“DEA”) offices in New Orleans and Houston, the Federal Bureau of Investigation (“FBI”) in Houston, and the Houston Police Department Internal Affairs Division in investigating this matter and thanked the U.S. Attorney’s Office for the Southern District of Texas for their assistance. Agents who assisted in the prosecution team included case agents William Johnson, DEA, and Jose Garcia, FBI, with assistance from agents and officers from DEA, Homeland Security Investigations (“HSI”), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), and the Houston Police Department Internal Affairs Proactive Unit. Assistant United States Attorneys John F. Murphy, Theodore Carter, and James Baehr were in charge of the prosecution.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
TULSA, Okla.— The results of the January 2016 Federal Grand Jury were announced today by Danny C. Williams Sr., United States Attorney for the Northern District of Oklahoma.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged federal crimes which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
John Eldridge Cone. Felon in Possession of a Firearm and Ammunition, Possession of Controlled Substances with Intent to Distribute, and Carrying a Firearm During and in Relation to a Drug Trafficking Crime. Cone, 42, of Tulsa, is charged with possession of a 9mm semi-automatic pistol and ammunition after prior felony convictions. In addition, Cone is charged with possession with intent to distribute methamphetamine, cocaine, oxycodone, and ectasy, and is charged with carrying a firearm during and in relation to a drug trafficking crime. If convicted, the statutory maximum penalty is 10 years in prison and a fine of $250,000 for felon in possession of a firearm and ammunition charge; not more than 20 years in prison and a $1,000,000 fine for possession of controlled substances with intent to distribute; and a minimum of 25 years up to life in prison, and a $250,000 fine for carrying a firearm during and in relation to a drug trafficking crime. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigating agency.
Ivan Chavez Hondal. Drug Conspiracy, Possession of Methamphetamine with Intent to Distribute, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime. Hondal, 29, of Tulsa, is charged with conspiring to possess and distribute methamphetamine, cocaine, and heroin. Hondal also faces a charge for possession of firearms in furtherance of a drug trafficking crime. If convicted, Hondal will face the statutory minimum penalty of 10 years and up to life in prison and a $10,000,000 fine. In addition, he will forfeit $61,900 in drug proceeds, and a vehicle and firearm used to commit the drug and firearm offenses. The Drug Enforcement Administration is the investigating agency.
Christopher Anthony Smith. Bank Fraud, Possession of Stolen Mail, and Destruction of Letter Boxes. Smith, 29, of Tulsa, is charged with bank fraud, two counts of possession of stolen mail, and two counts of destruction of letter boxes. On November 19, 2015, Smith allegedly presented to the Bank of Oklahoma a fraudulently altered check made payable to himself which had been stolen from a Post Office letter box which had been broken into and burglarized. Smith is also accused of being in possession of stolen mail from the burglarized letter boxes and breaking into and destroying the mail letter boxes. If convicted, the statutory maximum penalty is 30 years in prison and a $1,000,000 fine for bank fraud; maximum penalty of five years in prison and $250,000 fine for possession of stolen mail; and maximum penalty of three years in prison and a $250,000 fine for destruction of letter boxes. The United States Postal Inspection Service and the Tulsa Police Department have jointly investigated this case.
Jairon Vasquez-Macario. Reentry of Removed Alien. Vasquez-Macario, 26, is charged with having returned to the United States unlawfully after being deported in January 2014 near Harlingen, Texas. If convicted, the statutory maximum penalty is 20 years in prison and a $250,000 fine. United States Immigration and Customs Enforcement is the investigating agency.
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FCI-Greenville Inmate Sentenced for Possession of ContrabandRead the Press Release
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced today that on January 14, 2016, Gregory Mason, 27, was sentenced for Possession of Contraband by a Federal Inmate. Mason was an inmate at the Federal Correctional Institution located in Greenville, Illinois, commonly known as FCI-Greenville, at the time the offense was committed. Mason was sentenced to a term of 8 months, which must be served in addition to his current sentence, fined $100, and ordered to pay a $100 special assessment. Mason has been held without bond since his arraignment on August 13, 2015.
The charge arose when, on December 20, 2014, an officer monitoring the visiting room at FCI-Greenville observed Mason acting suspiciously. Mason was immediately placed in a dry cell after his visit ended so that his bowel movements could be monitored. On December 22, 2014, Mason defecated out four balloons that contained marijuana.
The case was investigated by the Bureau of Prisons’ Special Investigation Section. The case was assigned to Assistant United States Attorney Angela Scott.
Escambia and Santa Rosa Counties Join Federal Program to Reduce Drug TraffickingRead the Press Release
PENSACOLA, FLORIDA – The Office of National Drug Control Policy (ONDCP) has announced that Escambia and Santa Rosa Counties in Northwest Florida have been added as members of the Gulf Coast High Intensity Drug Trafficking Area (HIDTA) program. The Gulf Coast HIDTA, which includes counties and parishes in Alabama, Arkansas, Louisiana, Tennessee, and Mississippi, is one of 28 nationwide drug enforcement initiatives aimed at reducing violent crime and drug trafficking. Both counties border existing Gulf Coast HIDTA designated counties in Alabama and have a direct nexus to multiple Gulf Coast HIDTA initiatives.
In 2014, law enforcement agencies in Northwest Florida began the application process to become a member of the Gulf Coast HIDTA due to drug trafficking routes running through Escambia and Santa Rosa Counties via Interstate 10 and U.S. Highway 98. A threat assessment conducted as part of this request confirmed that not only do many ongoing investigations in Gulf Coast HIDTA counties have a connection to the Pensacola area, but numerous Escambia and Santa Rosa County investigations also have ties to other agencies that are part of the Gulf Coast HIDTA. Additionally, Escambia County has experienced drug-related shootings, and arrests in those violent incidents frequently are linked to the local illicit drug market.
The following coalition of federal, state, and local Northwest Florida law enforcement agencies petitioned the Office of National Drug Control Policy to designate Escambia and Santa Rosa County as part of the Gulf Coast HIDTA:
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United States Attorney’s Office, Northern District of Florida
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Drug Enforcement Administration
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Escambia County Sheriff’s Office
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Santa Rosa County Sheriff’s Office
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Pensacola Police Department
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Gulf Breeze Police Department
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Federal Bureau of Investigation
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Florida Department of Law Enforcement
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State Attorney’s Office, First Judicial Circuit
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Bureau of Alcohol, Tobacco, Firearms and Explosives
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Florida Office of the Attorney General
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Florida Highway Patrol
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Homeland Security Investigations
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Internal Revenue Service
“Due to collaboration and hard work of our law enforcement partners, Northwest Florida will receive additional resources and support in addressing drug-related crimes,” said Acting United States Attorney Christopher P. Canova. “The enhanced communication between the local agencies in our district with the other HIDTA initiatives across the nation will also better enable law enforcement personnel to disrupt and dismantle drug trafficking organizations that serve as the source and supply of dangerous drugs into the community.”
“The DEA Miami Field Division is happy to have Escambia and Santa Rosa Counties join the HIDTA program,” said DEA Special Agent in Charge Adolphus P. Wright. “Their inclusion will greatly contribute to the HIDTA mission of combatting drug trafficking in the Gulf Coast area.”
“Due to recent changes at the U.S. Attorney's Office and local DEA office, we will be joining the Gulf Coast HIDTA. We are encouraged that positive changes are on the horizon,” said Sheriff David Morgan of the Escambia County Sheriff’s Office.
“I'm glad we are in this partnership, and I know the community will benefit from it,” said Pensacola Police Chief David Alexander III.
“The Santa Rosa County Sheriff’s Office is proud to now be a member of the HIDTA task force, and we look forward to working with the partner agencies in an effort to disrupt criminal activity in our area,” said Chief Deputy Bob Johnson of the Santa Rosa County Sheriff’s Office.
The High Intensity Drug Trafficking Areas (HIDTA) program, created by Congress with the Anti-Drug Abuse Act of 1988, 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. The purpose of the program is to reduce drug trafficking and production in the United States. For more information about the HIDTA program, visit the Office of National Drug Control Policy website. The ONDCP release can be found at: https://www.whitehouse.gov//the-press-office/2016/01/15/white-house-drug-policy-director-announces-designation-14-counties-high
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact: Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]-
Eighth Circuit Court of Appeals Affirms Conviction for Assault of an Oglala Sioux Department of Public Safety OfficerRead the Press Release
United States Attorney Randolph J. Seiler announces that the Eighth Circuit Court of Appeals has affirmed the district court in appeal no. 14-3888, United States of America, appellee, v. Justin Janis, appellant.
Janis was convicted in federal district court in Rapid City of assault of a federal officer of the Oglala Sioux Tribe (OST) Department of Public Safety. Janis appealed his conviction, arguing that the district court should not have ruled that Oglala Sioux Tribe public safety officers are federal officers, and that it should not have instructed his jury that the officer Janis assaulted was a federal officer at the time of the assault.
In today’s published opinion, the federal court of appeals held that there was overwhelming evidence that the victim OST officer was a federal officer. In addition, prior to trial, Janis had agreed in writing that the OST officer was a federal officer, and that stipulation was entered into evidence as an exhibit for the jury.
Janis was sentenced to four months in prison and two years of supervised release. Assistant U.S. Attorney Kathryn Rich prosecuted the case at trial, and Assistant U.S. Attorney Eric Kelderman handled the appeal for the government.
Easton Woman Admits Stealing More Than $250,000 from Greenwich EmployerRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that DAWN MININBERG, 47, of Easton, waived her right to indictment and pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to one count of wire fraud stemming from her theft of more than $250,000 from her employer.
According to court documents and statements made in court, MININBERG worked for a company located in Greenwich. MININBERG provided financial services to the company and was issued an American Express corporate credit card for business purposes. As part of her duties, she prepared expense reports justifying the charges to all of the corporate credit cards, including her own.
In pleading guilty, MININBERG admitted that she charged more than $250,000 in personal expenses to her corporate credit card for clothing and other items purchased at high-end stores, theater tickets, children’s parties and lessons, charitable donations, vacations and the purchase of an $11,000 jungle gym.
MININBERG used her position to hide her expenditure of these corporate funds for personal items, categorizing them as office supplies, meals, meetings or lodging.
Judge Underhill scheduled sentencing for April 8, 2016, at which time MININBERG faces a maximum term of imprisonment of 20 years.
This matter is being investigated by the Connecticut Financial Crimes Task Force, the United States Secret Service and the Greenwich Police Department. The case is being prosecuted by Assistant U.S. Attorney Ray Miller.
East Moline Man Sentenced to Prison for Making False StatementsRead the Press Release
DAVENPORT, IA – On January 14, 2016, De’Andre Lee Hodges, 22, of East Moline, Illinois, was sentenced by Senior United States District Court Judge James E. Gritzner to two (2) 10 month prison terms for making false statements during the purchases of firearms, announced Acting United States Attorney Kevin E. VanderSchel. The two 10 month prison terms were ordered to be served concurrently. Hodges was ordered to serve three years of supervised release following his prison term and to pay $200 to the Crime Victims’ Fund. Hodges was also ordered to forfeit the Smith and Wesson 9mm pistol, Smith and Wesson .40-caliber semiautomatic pistol, American Tactical Import .22 Rifle, and ammunition involved in the offenses.
Hodges pleaded guilty to two counts of making false statements during the purchase of a firearm on September 16, 2015. According to the plea agreement, on August 15, 2014, Hodges purchased a Smith and Wesson 9mm handgun from a licensed gun dealer in Davenport and filled out the required Form 4473. All licensed dealers are required to obtain and retain the address of the purchaser of a firearm. This information is collected on the Form 4473 and required to be kept by the dealer.
On April 7, 2015, Hodges purchased two more guns from the same licensed gun dealer, a Smith and Wesson .40-caliber pistol, an American Tactical Import .22 Rifle, and ammunition. Hodges again filled out the required Form 4473.
Hodges reported to police on April 15, 2015, that two handguns were stolen from his garage. During the investigation, Hodges was interviewed and admitted he lived in Illinois – not Davenport – as he reported during his gun purchases on the Forms 4473.
This matter was investigated by the Davenport Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the Project Safe Neighborhood initiative.
Dorchester Man Sentenced to 15 Years for Sex TraffickingRead the Press Release
BOSTON – A Dorchester man was sentenced today in U.S. District Court in Boston in connection with his participation in a long-running sex trafficking conspiracy.
Corey Norris, a/k/a “Case,” a/k/a “Jacorey Johnson,” 26, of Dorchester, was sentenced today by U.S. District Court Judge Denise J. Casper to 15 years in prison and five years of supervised release. In September 2015, Norris pleaded guilty to one count each of conspiracy to sex traffic minors by force, fraud and coercion; sex trafficking and attempted sex trafficking of a minor; sex trafficking and attempted sex trafficking by force, fraud, and coercion; transportation of a minor to engage in criminal sexual activity; and conspiracy to transport a minor to engage in criminal sexual activity.
Norris’s conspiracy charge was based on his long relationship with co-defendant Raymond Jeffreys, 27, of Dorchester, Jamaica Plain, and Portland, Maine. Norris, Jeffreys, and others engaged in a long-running cross-country sex trafficking conspiracy from approximately August 2008 to May 2014 in Massachusetts, Maine, New Hampshire, Vermont, Rhode Island, Connecticut, Pennsylvania, New Jersey, New York, Maryland, Nevada, Georgia, Florida, and California. Norris was charged for both his involvement in the conspiracy, and for specific counts involving the sex trafficking of two 17-year-old girls. One of the girls was trafficked in the fall of 2011 in Massachusetts, Maine, Nevada, and California. The other girl was trafficked in Massachusetts and Rhode Island the following year.
During today’s sentencing hearing, U.S. District Judge Denise J. Casper described Norris’s crimes as “horrific,” noting that the victims were “targeted specifically because of their vulnerability.” Judge Casper also noted that the fact that “prostitution still finds paying customers” did not change the fact that the women who engaged in the sex acts were actual victims.
United States Attorney Carmen M. Ortiz, Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston and Boston Police Commissioner William Evans, made the announcement today. Also assisting in the case were: Shawn Meehan, Resident Agent in Charge of the HSI Portland Office; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Aaron Steps, Supervisory Senior Resident Agent in Charge of the FBI Maine Office; the Suffolk County District Attorney’s Office; Cumberland County (Maine) District Attorney’s Office; the United States Attorney’s Office for the District of Maine; the Massachusetts State Police; the Portland (Maine), Old Town (Maine), Braintree, and South Portland (Maine) Police Departments; the Maine Drug Enforcement Agency; and the Cumberland County Sheriff’s Office. This case is being prosecuted by Assistant U.S. Attorneys Amy Harman Burkart and David J. D’Addio of Ortiz’s Civil Rights Enforcement Team and Special Assistant U.S. Attorney David S. Bradley of the Suffolk County District Attorney’s Office.
Dominican Man Sentenced for Misrepresentation of Social Security NumberRead the Press Release
CONCORD, NEW HAMPSHIRE – United States Attorney Emily Gray Rice announced today that Richard Arias-Aquasvivas, of the Dominican Republic, was sentenced to time served since his arrest on July 15, 2015, after pleading guilty to misrepresentation of a social security number.
Arias-Aquasvivas was apprehended at the New Hampshire Division of Motor Vehicles (DMV) in Nashua, New Hampshire, where he was attempting to obtain a New Hampshire driver’s license using false identity information, including a social security number not assigned to him. Officers of the United States Immigration and Customs Enforcement and Removal Operations (ICE-ERO) responded to a request by the New Hampshire State Police to assist in determining the defendant’s true identity. When confronted by the agents, Arias-Aquasvivas insisted his last name was Medina Torres and that he was born in Puerto Rico. An attempt to identify Arias-Aquasvivas through mobile fingerprint identification failed because Arias-Aquasvivas’ fingertips had been mutilated.
ICE-ERO agents interview the person who had driven Arias-Aquasvivas to the DMV office and that person identified the defendant as Richard Aquasvivas. ICE-ERO agents ran a records check on that name and obtained a photograph of Richard Aquasvivas that matched the photograph of the defendant. ICE-ERO records identified the defendant’s as a national of the Dominican Republic who was illegally in the United States. When the defendant was confronted with this information, he admitted his true identity.
Arias-Aquasvivas pled guilty to the charge on September 29, 2015.
The case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement and Removal Operations, and by the New Hampshire State Police. This case was prosecuted by Assistant U.S. Attorney Alfred Rubega.
District of Columbia Man Sentenced to 18 Months in Prison for Role in Massive Identity Theft and Tax Fraud SchemeRead the Press Release
Worked With Others to Obtain More Than $315,000 in Fraudulent Refunds
A resident of the District of Columbia was sentenced today to 18 months in prison for his involvement in a far-reaching stolen identity refund fraud scheme in which he worked with others to obtain over $315,000 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, Washington Division and Assistant Inspector General for Investigations John L. Phillips of the U.S. Department of the Treasury.
Ezekiel Raspberry, 39, is among approximately 16 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. Raspberry pleaded guilty on Nov. 10, 2015, to conspiracy to defraud the United States with respect to claims. Following his prison term, Raspberry will be placed on three years of supervised release. During that time, he must perform 100 hours of community service. In addition, U.S. District Judge Ellen S. Huvelle of the District of Columbia ordered Raspberry to pay $315,076 in restitution to the IRS.
According to the government’s evidence, Raspberry 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 2012, often in the names of people, whose identities had been stolen, including the elderly, people in assisted living facilities, drug addicts and incarcerated prisoners. In other cases, the refunds were sent 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, from September 2008 through November 2010, Raspberry and others conspired to defraud the IRS of approximately $315,076 through the filing of 145 fraudulent federal income tax returns. Raspberry received refund checks from a co-conspirator and deposited them into his bank account. He would then withdraw the funds and provide them to the co-conspirator, keeping a portion of the proceeds for himself.
The refund checks were generated by filing false federal income tax returns that included Schedules C or C-EZ that falsely claimed that each “taxpayer” operated a business, such as “barber” or “childcare,” as a sole proprietorship. The returns falsely stated that the “taxpayer” had gross receipts and two or more dependent children, when, in fact, the “taxpayer” was either a victim of identity theft, was misled into providing his or her identifying information, or was a willing participant in the scheme. The businesses listed on the Schedules C and C-EZ were entirely fictitious.
In a related case this week, Rashida King, 41, of Savannah, Georgia, pleaded guilty on Jan. 14 to conspiracy to defraud the United States with respect to claims. According to court documents, King deposited at least 33 fraudulently obtained U.S. Treasury checks into her back account. A sentencing date has not yet been set.
In announcing the sentence, 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.
District Man Sentenced to 18 Months in Prison for Role in Massive Identity Theft and Tax Fraud SchemeRead the Press Release
WASHINGTON – A resident of the District of Columbia was sentenced today to 18 months in prison for his involvement in a far-reaching stolen identity refund fraud scheme in which he worked with others to obtain over $315,000 in income tax refunds through the filing of fraudulent federal income tax returns, announced U.S. Attorney Channing D. Phillips, 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.
Ezekiel Raspberry, 39, is among approximately 16 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. Raspberry pleaded guilty on Nov. 10, 2015, to conspiracy to defraud the United States with respect to claims. Following his prison term, Raspberry will be placed on three years of supervised release. During that time, he must perform 100 hours of community service. In addition, U.S. District Judge Ellen S. Huvelle of the District of Columbia ordered Raspberry to pay $315,076 in restitution to the IRS.
According to the government’s evidence, Raspberry 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 2012, often in the names of people, whose identities had been stolen, including the elderly, people in assisted living facilities, drug addicts and incarcerated prisoners. In other cases, the refunds were sent 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, from September 2008 through November 2010, Raspberry and others conspired to defraud the IRS of approximately $315,076 through the filing of 145 fraudulent federal income tax returns. Raspberry received refund checks from a co-conspirator and deposited them into his bank account. He would then withdraw the funds and provide them to the co-conspirator, keeping a portion of the proceeds for himself.
The refund checks were generated by filing false federal income tax returns that included Schedules C or C-EZ that falsely claimed that each “taxpayer” operated a business, such as “barber” or “childcare,” as a sole proprietorship. The returns falsely stated that the “taxpayer” had gross receipts and two or more dependent children, when, in fact, the “taxpayer” was either a victim of identity theft, was misled into providing his or her identifying information, or was a willing participant in the scheme. The businesses listed on the Schedules C and C-EZ were entirely fictitious.
In a related case this week, Rashida King, 41, of Savannah, Georgia, pleaded guilty on Jan. 14 to conspiracy to defraud the United States with respect to claims. According to court documents, King deposited at least 33 fraudulently obtained U.S. Treasury checks into her bank account. A sentencing date has not yet been set.
In announcing the sentence, U.S. Attorney Phillips, Acting Assistant Attorney General Ciraolo, Special Agent in Charge Jankowski, Inspector in Charge Kelokates, and Assistant Inspector General for Investigations 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.
Deming Man Pleads Guilty to Violating the Archeological Resource Protection ActRead the Press Release
ALBUQUERQUE – Michael Quarrel, 81, of Deming, N.M., pleaded guilty today in federal court in Las Cruces, N.M., to violating the Archeological Resource Protection Act (ARPA). The guilty plea was announced by U.S. Attorney Damon P. Martinez and Special Agent in Charge Clark Beene of the U.S. Bureau of Land Management (BLM), Region 5 of Office of Law Enforcement and Security.
During today’s change of plea hearing, Quarrel pled guilty to a felony information charging him with violating ARPA on Sept. 30, 2013, by excavating, removing and damaging an archaeologic resource located on federal lands in Luna County, N.M. In entering the guilty plea, Quarrel admitted that on Sept. 30, 2013, he violated ARPA by digging on federal land managed by BLM and removing several pieces of broken Mimbres pottery, thus causing damage to the archaeological resource.
ARPA protects archaeological resources on public and Indian lands. It provides felony-level penalties for unauthorized excavation, removal, damage, alteration, or defacement of any archaeological resource, which is defined as material remains of past human life or activities that at least 100 years old. The archaeological resource at which Quarrel committed his crime, which is known as the Indian Wells site and is located on federal land near the Cedar Mountains in Luna County, contains remains of a Mimbres Mogollon prehistoric habitation site.
Under the terms of his plea agreement, Quarrel will be sentenced to two years of probation and will be required to pay $4,250.00 in restitution to cover the cost of damages he caused to the archaeological resource. Quarrel also will be banned from BLM lands for a period of two-years. A sentencing hearing for Quarrel has yet to be scheduled.
“Those who remove or damage artifacts on public or tribal lands take something from all of us. These treasures are the heritage of all Americans, and in many cases, the objects are sacred to Native Americans,” said U.S. Attorney Damon P. Martinez. “The idea that you can take whatever you want from public lands is wrong.”
“The successful prosecution of this case is attributed to the cooperation between BLM and the Luna County Sheriff’s Office along with the United States Attorney’s Office District of New Mexico. All violations of the Archeological Resources Protection Act on public lands administered by BLM will be investigated aggressively,” said BLM Special Agent in Charge Clark Beene.
This case was investigated by the Las Cruces Field Office of the BLM and the Luna County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorney Anna R. Wright of the U.S. Attorney’s Las Cruces Branch Office.
David Eisenhart Pleads Not Guilty to Embezzlement and False Statement ChargesRead the Press Release
The United States Attorney for the District of Vermont announced that David Eisenhart, 43, of Barre, pleaded not guilty today in United States District Court in Burlington to federal fraud charges. United States Magistrate Judge John M. Conroy released Eisenhart on conditions pending trial, which has not been scheduled.
On December 16, 2015, a federal grand jury in Rutland returned a three-count indictment charging Eisenhart with wire fraud and making false statements in loan applications. According to the indictment, between 2011 and March 31, 2015, Eisenhart was employed as the business manager of Wilkins Harley-Davidson, a motorcycle dealership in Barre. Eisenhart handled all paperwork relating to motorcycle sales. He prepared bills of sale, and collected cash, check and credit card deposits from customers buying bikes. According to the indictment, starting in about 2013 and continuing up through March 2015, Eisenhart embezzled more than $15,500 in cash deposits made by Wilkins customers. He then attempted to conceal the thefts by not reporting or underreporting the amount of the deposit in Wilkins' accounting system, and falsifying the dealership copy of the bill of sale to understate the amount of the deposit.
The indictment further alleges that Eisenhart made false statements to the New England Federal Credit Union in connection with his purchases of an SUV and a motorcycle. According to the indictment, in October 2013, Eisenhart bought a used Cadillac Escalade for $47,095. Two months later, he refinanced the purchase through NEFCU and obtained a loan for almost $59,000. He obtained this loan by submitting to NEFCU a falsified invoice which purported to show the purchase price of the Escalade had been $58,777 rather than $47,095. In May 2015, although NEFCU had a lien on the vehicle, Eisenhart sold the Escalade for $26,000 and pocketed all of the proceeds. According to the indictment, Eisenhart obtained a clean replacement title for the Escalade under false pretenses, by submitting to Vermont Department of Motor Vehicles a forged document purportedly showing NEFCU had released its lien on the SUV.
Finally, the indictment accuses Eisenhart of fraudulently inducing NEFCU to loan him nearly $12,000 to refinance the purchase of a used BMW motorcycle. Eisenhart had bought the bike for $8000 in July 2014. The next month, he obtained a loan for almost $12,000 from NEFCU. In connection with this refinancing, Eisenhart allegedly submitted to NEFCU a falsified bill of sale which asserted the purchase price was $11,983.
The United States Attorney emphasizes that the charges in the indictment are merely accusations and that the defendant is presumed innocent unless and until he is proven guilty.
If convicted, Eisenhart faces up to 30 years of imprisonment and a fine of up to $1,000,000. The actual sentence would be determined with reference to federal sentencing guidelines.
This case was investigated by the Barre Police Department and the Vermont Department of Motor Vehicles.Eisenhart is represented by Mark Kaplan. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Davenport Man Sentenced to Prison for Felon in Possession of a Firearm ChargeRead the Press Release
DAVENPORT, IA – On January 14, 2016, Leonard Fisher, Jr., 25, of Davenport, Iowa, was sentenced by Senior United States District Court Judge James E. Gritzner to 100 months in prison for a felon in possession of a firearm charge, announced Acting United States Attorney Kevin E. VanderSchel. Fisher was ordered to serve three years of supervised release following his prison term and to pay $100 towards the Crime Victims’ Fund. Fisher was also ordered to forfeit the Lorcin .380 caliber pistol involved in the offense.
Fisher pleaded guilty to the felon in possession of a firearm charge on September 25, 2015. According to the plea agreement, on November 29, 2014, Davenport Police officers were dispatched to a dance club for a gun shots fired call. Upon arrival, officers saw a car speed out of a nearby alley and officers followed the car to Genesis East Hospital. Leonard Fisher, Jr. was identified as the front seat passenger in the car, and he told officers the backseat passenger had been shot. While the officers were assisting the gunshot victim, they saw a gun in the passenger backseat map pocket. A loaded Lorcin .380 caliber handgun with an obliterated serial number, two bags of marijuana, and a scale were found during a search of the car. Cell phones from Fisher and the driver of the car were searched, and a video on one of the phones showed Fisher with a gun in his pocket. The gun found in the car was identified as the gun Fisher possessed in the video.
Prior to November 2014, Fisher was convicted of three felony offenses; two in 2008 and the most recent in 2011.
This matter was investigated by the Davenport Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the Project Safe Neighborhood initiative.
Crockett County, Texas, Man Sentenced to 210 Months in Federal Prison for Producing Child PornographyRead the Press Release
LUBBOCK, Texas — Felipe Martinez Ramirez, 48, of Ozona, Texas, was sentenced today by Senior U.S. District Judge Sam R. Cummings to 210 months in federal prison, following his guilty plea in September 2015 to one count of producing child pornography, announced U.S. Attorney John Parker of the Northern District of Texas.
According to plea documents filed in the case, Ramirez enticed a minor female to engage in sexually explicit conduct with him at a residence in Ozona, and he used a cell phone to record that conduct reflected in a bathroom mirror.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Crockett County Sheriff’s Office investigated. Assistant U.S. Attorney Steven M. Sucsy was in charge of the prosecution.
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Convicted sex offender pleads guilty to transporting minor victims to engage in illicit sexual conductRead the Press Release
WHEELING, WEST VIRGINIA – Convicted sex offender Kevin J. Wick, 43, of Wheeling, pled guilty in federal court today to traveling across state lines to engage in illicit sexual conduct with multiple minor victims, United States Attorney William J. Ihlenfeld, II, announced.
Wick repeatedly traveled across state lines from West Virginia to Ohio throughout late 2014 and early 2015 for the purpose of engaging in unlawful sexual conduct with five minor victims all under the age of 12. On at least one occasion, Wick allegedly transported minor victims across states lines from Ohio to an apartment in West Virginia where he engaged in illicit sexual conduct with the victims.Wick pled guilty today to a criminal Information charging him with five separate counts of “Transportation of a Minor with Intent to Engage in Criminal Sexual Activity.” Subject to final approval by the court, Wick will be sentenced to 312 months in prison followed by supervised release for the remainder of his lifetime.
In June 2008, Wick was convicted of “Attempted Involuntary Deviate Sexual Intercourse” and “Indecent Assault” in the Court of Common Pleas of Westmoreland County, Pennsylvania. As a result of that conviction, Wick is required to register as a sex offender and is listed as a “Sexually Violent Predator.”
Assistant U.S. Attorney Stephen Vogrin prosecuted the case on behalf of the government. The Wheeling Police Department, the West Virginia State Police, the Federal Bureau of Investigation, the Northern District of West Virginia Violent Crimes Against Children Task Force, the Martins Ferry, Ohio Police Department, and the Belmont County, Ohio Sheriff’s Department led the investigation.
U.S. Magistrate Judge James E. Seibert presided.
Chicago Man Sentenced on Williamson County Drug ConspiracyRead the Press Release
On January 14, 2016, David T. Walls, Jr., a/k/a "Gun," 36, of Chicago, IL, was sentenced for a federal drug offense, Acting United States Attorney for the Southern District of Illinois James L. Porter announced today.
Walls, who had previously pled guilty to an indictment charging conspiracy to distribute crack cocaine and heroin, was sentenced to 140 months in federal prison, to be followed by 8 years of supervised release, and fined $850.00. Evidence at the plea and sentencing hearings established that Walls was involved with others in the distribution of heroin and crack cocaine in Williamson County. Walls and others were transporting the drugs from northern Illinois for distribution in Southern Illinois. At sentencing, the district court found that Walls was responsible for the distribution of more than 427 grams of heroin and 714 grams of crack cocaine. Walls received a sentencing enhancement because the group sometimes possessed firearms during the drug offense. The offense occurred between 2012 and October 2014. The investigation was conducted by the Southern Illinois Enforcement. The Drug Enforcement Administration and Williamson County State’s Attorney’s Office assisted in the investigation.
The case was assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Carrier Mills Man Pleads Guilty to Possessing Methamphetamine for Distribution in Saline CountyRead the Press Release
David E. Garris II, 36, of Carrier Mills, Illinois, pled guilty on Thursday, January 14, 2016, in United States District Court in Benton to an indictment charging him with one count of possessing with intent to distribute methamphetamine, announced James L. Porter, Acting United States Attorney for the Southern District of Illinois. The indictment, returned by a Federal Grand Jury on June 2, 2015, alleged that the offense occurred on March 21st in Saline County. The charges stemmed from a traffic stop conducted by the Illinois State Police Department during which Garris was found to be in possession of approximately 41 grams of methamphetamine and $4,180.23 in cash.
Sentencing was set for April 27, 2016, at 10:00 a.m. at the United States Courthouse in Benton. At that time, Garris faces up to 20 years in federal prison, a $1 million fine, and 3 years to life on supervised release following his incarceration.
Garris has been held without bond in the custody of the United States Marshal since his appearance on the federal charges in June. He was returned to the custody of the Marshal to await sentencing.
The case was investigated by the Carmi office of the Southern Illinois Drug Task Force and the Illinois State Police. The case is being prosecuted by Assistant United States Attorney James M. Cutchin.
California Man Pleads Guilty to Conspiring to Violate U.S. Sanctions Against SyriaRead the Press Release
ALEXANDRIA, Va. – Amin al-Baroudi, 50, a Syrian-born naturalized U.S. citizen formerly of Irvine, California, pleaded guilty today to charges of conspiring to export U.S.-origin goods from the United States to Syria in violation of sanctions imposed on Syria by the U.S. government.
In a statement of facts filed with the plea agreement, Baroudi admitted that from at least December 2011 through March 2013, he and his co-conspirators exported U.S. tactical equipment to Syria for the purpose of supplying and arming Ahrar al-Sham and other insurgent groups in Syria whose stated goal is to overthrow the Assad government and install an Islamic state in Syria. Ahrar al-Sham frequently fights alongside Jabhat al-Nusrah, which has been designated by the United States as a Foreign Terrorist Organization and operates as al-Qaeda’s official branch in Syria.
According to court documents, Baroudi and his co-conspirators purchased tens of thousands of dollars of goods from companies and vendors in the United States, consisting largely of tactical equipment such as sniper rifle scopes, night vision rifle scopes, night vision goggles, laser bore sighters, speed loaders, and bullet proof vests. Baroudi and his co-conspirators traveled with the goods aboard commercial flights to Turkey and then transported the goods into Syria or provided them to others for transport. Baroudi made two such trips in February and March of 2013.
Baroudi was indicted by a federal grand jury on April 9, 2015. He faces a maximum penalty of 20 years in prison when sentenced on May 6, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Paul M. Abbate, Assistant Director in Charge of the FBI’s Washington Field Office; David Bowdich, Assistant Director in Charge of the FBI’s Los Angeles Field Office; and Douglas Hassebrock, Director of the U.S. Department of Commerce’s Office of Export Enforcement, made the announcement after the plea was accepted by U.S. District Judge Liam O’Grady.
Assistant U.S. Attorney Julia K. Martinez is prosecuting the case. The FBI’s Washington and Los Angeles Field Offices and the U.S. Department of Commerce’s Office of Export Enforcement are investigating the case. The DHS’s Homeland Security Investigations, California Highway Patrol, the Irvine Police Department, the Orange County Sheriff’s Department, and the Regional Computer Forensics Laboratory in Orange County, California, have provided significant assistance.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:15-cr-102.
California Man Pleads Guilty to Conspiring to Violate U.S. Sanctions Against SyriaRead the Press Release
Amin al-Baroudi, 50, a Syrian-born naturalized U.S. citizen formerly of Irvine, California, pleaded guilty today to charges of conspiring to export U.S.-origin goods from the United States to Syria in violation of sanctions imposed on Syria by the U.S. government. The guilty plea was accepted by U.S. District Judge Liam O’Grady of the Eastern District of Virginia.
The guilty plea was announced by Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Dana J. Boente of the Eastern District of Virginia, Assistant Director in Charge Paul M. Abbate of the FBI’s Washington Field Office, Assistant Director in Charge David Bowdich of the FBI’s Los Angeles Division and Director Douglas Hassebrock of the U.S. Department of Commerce’s Office of Export Enforcement.
In a statement of facts filed with the plea agreement, Baroudi admitted that from at least December 2011 through March 2013, he and his co-conspirators exported U.S. tactical equipment to Syria for the purpose of supplying and arming Ahrar al-Sham and other insurgent groups in Syria whose stated goal is to overthrow the Assad government and install an Islamic state. Ahrar al-Sham frequently fights alongside Jabhat al-Nusrah, which has been designated by the U.S. State Department as a foreign terrorist organization and operates as al-Qaeda’s official branch in Syria.
According to court documents, Baroudi and his co-conspirators purchased tens of thousands of dollars of goods from companies and vendors in the United States, consisting largely of tactical equipment such as sniper rifle scopes, night vision rifle scopes, night vision goggles, laser bore sighters, speed loaders and bullet proof vests. Baroudi and his co-conspirators traveled with the goods aboard commercial flights to Turkey and then transported the goods into Syria or provided them to others for transport. Baroudi made two such trips in February and March of 2013.
Baroudi was indicted by a federal grand jury on April 9, 2015. He faces a maximum sentence of 20 years in prison when sentenced on May 6, 2016. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors.
The case is being investigated by the FBI’s Washington Field Office, FBI’s Los Angeles Division and the U.S. Department of Commerce’s Office of Export Enforcement. Immigration and Customs Enforcement’s Homeland Security Investigations; California Highway Patrol; the Irvine, California, Police Department; the Orange County, California, Sheriff’s Department; and the Regional Computer Forensics Laboratory in Orange County provided significant assistance.
The case is being prosecuted by Assistant U.S. Attorney Julia K. Martinez of the Eastern District of Virginia and Trial Attorneys Christian Ford and Robert Wallace of the National Security Division’s Counterintelligence and Export Control Section.
Baroudi Statement of Facts
California Hospital to Pay More Than $3.2 Million to Settle Allegations That It Violated the Physician Self-Referral LawRead the Press Release
Tri-City Medical Center, a hospital located in Oceanside, California, has agreed to pay $3,278,464 to resolve allegations that it violated the Stark Law and the False Claims Act by maintaining financial arrangements with community-based physicians and physician groups that violated the Medicare program’s prohibition on financial relationships between hospitals and referring physicians, the Justice Department announced today.
The Stark Law generally forbids a hospital from billing Medicare for certain services referred by physicians who have a financial relationship with the hospital unless that relationship falls within an enumerated exception. The exceptions generally require, among other things, that the financial arrangements do not exceed fair market value, do not take into account the volume or value of any referrals and are commercially reasonable. In addition, arrangements with physicians who are not hospital employees must be set out in writing and satisfy a number of other requirements.
“The settlement of this matter reflects not only our commitment to protect the integrity of the healthcare system through enforcement of the Stark Law, but also our willingness to work with providers who disclose their own misconduct,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division.
The settlement announced today resolves allegations that Tri-City Medical Center maintained 97 financial arrangements with physicians and physician groups that did not comply with the Stark Law. The hospital identified five arrangements with its former chief of staff from 2008 until 2011 that, in the aggregate, appeared not to be commercially reasonable or for fair market value. The hospital also identified 92 financial arrangements with community-based physicians and practice groups that did not satisfy an exception to the Stark Law from 2009 until 2010 because, among other things, the written agreements were expired, missing signatures or could not be located.
“Patient referrals should be based on a physician’s medical judgment and a patient’s medical needs, not on a physician’s financial interests or a hospital’s business goals,” said U. S. Attorney Laura E. Duffy of the Southern District of California. “This settlement reinforces that hospitals will face consequences when they enter into financial arrangements with physicians that do not comply with the law. We will continue to hold health care providers accountable when they shirk their legal responsibilities to the detriment of tax payer-funded health care programs.”
“Together with our law enforcement partners, our agency’s investigators and attorneys will continue to work with health care providers who use the self-disclosure protocol to resolve their billing misconduct,” said Special Agent in Charge Chris Schrank of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Los Angeles region.”
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by the Attorney General and the Secretary of Health and Human Services. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $27.1 billion through False Claims Act cases, with more than $17.1 billion of that amount recovered in cases involving fraud against federal health care programs.
This matter was handled by the U.S. Attorney’s Office of the Southern District of California, the Civil Division’s Commercial Litigation Branch and HHS-OIG. The claims settled by this agreement are allegations only, and there has been no determination of liability.
Budget Finance Company investigation transferred to Southern Ohio U.S. AttorneyRead the Press Release
WHEELING, WEST VIRGINIA – The handling of the Budget Finance Company investigation has been transferred to the United States Attorney’s Office for the Southern District of Ohio.
According to federal officials, the transfer of the matter became necessary after the inquiry revealed that potential victims in the matter include Department of Justice employees who work or reside in the Northern District of West Virginia. As a result, the Executive Office for United States Attorneys determined that the case should be handled by the U.S. Attorney’s Office in Columbus instead of federal prosecutors in West Virginia. The investigating agencies and the venue will remain the same.
All potential victims were notified of the transfer earlier this week and were encouraged to call (614) 469-5715 with any questions.
Box Elder Woman Sentenced for Falsifying Tax ReturnRead the Press Release
United States Attorney Randolph J. Seiler announced that a Box Elder, South Dakota, woman convicted of Making and Subscribing a False Tax Return was sentenced on January 14, 2016, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Anne Beatty-Waters, age 33, was sentenced to 5 years of probation, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund and $14,792 in restitution to the Internal Revenue Service.
Beatty-Waters was charged on September 17, 2015, and pleaded guilty on October 2, 2015.
The conviction stems from Beatty-Waters falsely subscribing to her 2013 tax return by underreporting her income tax liability.
This case was investigated by the Internal Revenue Service Criminal Investigation and the Federal Bureau of Investigation. Supervisory Assistant U.S. Attorney Gregg S. Peterman prosecuted the case.
Atlanta Man Sentenced for Stolen Treasury Check SchemeRead the Press Release
ATLANTA - Marvious D. Hester has been sentenced to four years and nine months in federal prison for theft of government funds and aggravated identity theft. The defendant was purchasing U.S Treasury checks which had been stolen in the metropolitan Atlanta, Georgia, area and elsewhere.
“Hester and his co-conspirator deposited over $750,000 in stolen U.S. Treasury checks,” said U.S. Attorney John Horn. “Money that rightfully belonged to honest taxpayers and Social Security beneficiaries. Unfortunately, Treasury Check schemes like this are becoming more and more common in Atlanta.”
“This sentencing again emphasizes that the Internal Revenue Service and U.S. Attorney’s office will continue their aggressive pursuit of those who use fraudulent methods in an attempt to steal from the American public,” stated Veronica F. Hyman-Pillot, Special Agent in Charge, IRS-Criminal Investigation. “This sentence is a message to others that such greed based criminal behavior as seen in this case comes with a cost.”
Thomas Noyes II, U.S. Postal Inspector in Charge of the Charlotte Division stated, “This is a textbook example of solid investigative work and cooperation on everyone’s part. We are proud to have prevented further victimization by these individuals, who could have caused even more considerable financial damage to law abiding taxpayers.”
According to U.S. Attorney Horn, the charges and other information presented in court: In approximately 2011, Hester met Rasheda Thomas, who operated a tax preparation business which she used to file fraudulent tax returns. Hester convinced Thomas to abandon her tax preparation business and, instead, use her business bank account to deposit stolen U.S. Treasury checks which Hester was able to obtain.
Together, Hester and Thomas deposited over $750,000 in stolen U.S. Treasury checks into various J.P. Morgan Chase bank accounts. On December 10, 2013, Thomas was charged in a federal indictment with theft of government funds and aggravated identity theft. She pleaded guilty on April 28, 2014, and provided information that incriminated Hester. Hester was indicted on the same charges on May 5, 2015 and pleaded guilty on September 30, 2015.
Marvious D. Hester, 35, of Atlanta, Georgia, has been sentenced was sentenced by U.S. District Judge Orinda D. Evans to four years, nine months in prison to be followed by three years of supervised release, and ordered to pay restitution in the amount of $752,744.19. Hester was convicted on these charges on September 30, 2015, after he pleaded guilty.
Rasheda D. Thomas was sentenced on July 28, 2014 to four years, nine months in federal prison, followed by three years supervised release, and ordered to pay $686,886.53 in restitution. Thomas was convicted on these charges on April 28, 2014, after she pleaded guilty.
This case was investigated by the Internal Revenue Service Criminal Investigation, Social Security Administration - Office of the Inspector General, and United States Postal Inspection Service.
Special Assistant United States Attorney Diane C. Schulman and Assistant United States Attorney Steven D. Grimberg prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Armed Home Invader Sentenced on Robbery ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Clarence Lambert, 23, of Brooklyn, NY, who was convicted of conspiracy to commit Hobbs Act robbery and use and brandishing of a firearm during a crime of violence, was sentenced to 25 years in prison by U.S. District Judge Elizabeth A. Wolford.“Throughout our country’s history, the sanctity of the home and the safety and privacy it provides has been guarded and defended,” said U.S. Attorney Hochul. “This defendant, and others, violated this most fundamental of American values, while victimizing those who lived within. Today’s sentence sends a strong message that such conduct will not be tolerated and, if repeated by others in the future, will bring swift and substantial punishment.”
Assistant U.S. Attorney Robert A. Marangola, who handled the case, stated that the defendant participated in two armed, home invasion robberies. Lambert and co-defendants Earl McCoy and Matthew Nix believed two victims living at a residence on Hayward Avenue in Rochester were involved in the unlawful possession and distribution of controlled substances, including marijuana and cocaine. As a result, the three conspired to rob the victims in their residence at gunpoint. On September 15, 2014, Lambert and Earl McCoy broke into the residence, brandished firearms, and demanded money and drugs from two victims. Lambert and Earl McCoy restrained the victims at gunpoint, searched the residence, and threatened to kill the victims if they called the police. After finding no money or drugs, the defendant and Earl McCoy fled the residence after taking a cell phone belonging to one of the victims.
On October 7, 2014, Lambert, and co-defendants Earl McCoy, Matthew Nix, Jessica Moscicki, Gary Lambert, and Jecovious Barnes, went to 49 Polo Place in Rochester to rob a third victim of jewelry, watches, and cash. Moscicki backed a vehicle into the driveway and waited while the defendant, Jecovious Barnes, and Gary Lambert, who were armed with weapons, including a firearm, broke into the residence. Inside the residence, Clarence Lambert beat the third victim and his wife with a firearm while demanding money, jewelry, and watches. The defendant and his accomplices left with approximately $20,000 in United States currency, five loose diamonds, and approximately 20 to 40 luxury watches.
Jessica Moscicki then drove the defendant, Gary Lambert and Jecovious Barnes from the robbery to meet Earl McCoy and Matthew Nix at the home of Nix’s mother on Electric Avenue in Rochester. Earl McCoy and Matthew Nix were given the proceeds of the robbery. Matthew Nix then divided some of the proceeds of the robbery, including luxury watches and cash, among the co-conspirators. Matthew Nix maintained possession of the remaining cash, jewelry, and watches stolen from 49 Polo Place.On October 14, 2014, Clarence Lambert and Jessica Moscicki entered Rochester Pawn Brokers on State Street in Rochester to provide one of the stolen watches to owner Samuel, Cruz, Jr. As Cruz examined the watch in a back office, law enforcement officers arrived to take the defendant into custody. Clarence Lambert fled on foot but was taken into custody while hiding inside a garage on Frankfurt Street in Rochester.
Jessica Moscicki, Jecovious Barnes, and Gary Lambert, have been convicted and are in custody awaiting sentencing.
Earl McCoy was arrested November 8, 2014 in North Charleston, South Carolina. He is charged with Hobbs Act conspiracy, Hobbs Act robbery, Attempted Hobbs Act robbery, and three counts of use of a firearm during and in relation to a crime of violence. Charges are pending. 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.
Matthew Nix was arrested on May 18, 2015 in Rochester in connection with a separate heroin trafficking investigation. Nix, who is in custody, is also charged with Hobbs Act conspiracy, Hobbs Act robbery, being a felon in possession of a firearm, narcotics conspiracy and use of a firearm during and in relation to a crime of violence and a drug trafficking crime in connection with this case. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The sentencing is the culmination of an investigation on the part of the Greece Police Department, under the direction of Chief Patrick Phelan, Special Agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Delano A. Reid, Special Agent in Charge, New York Field Division, the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen, the New York State Police, under the direction of Major Craig Hanesworth, and the Rochester Police Department under the direction of Chief Michael Ciminelli.
14 January 2016
Williamson man sentenced for Federal gun crimeRead the Press Release
CHARLESTON, W.Va. – Acting United States Attorney Carol Casto announced that a Williamson man was sentenced today in federal court in to two and a half years in prison for being a prohibited person in possession of a firearm. Lance Leonard Ward, 25, previously pleaded guilty in September of 2015 to the federal gun crime.
Ward admitted that on April 21, 2015, he possessed an Armscor Firestorm FSR .38 caliber revolver. In 2011, Ward was convicted in Mingo County Magistrate Court of a misdemeanor crime of domestic violence. As a result of that conviction, he was prohibited from possessing any firearm under federal law.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Williamson Police Department. The prosecution is being handled by Assistant United States Attorney Monica D. Coleman. United States District Judge Thomas E. Johnston imposed the sentence.
This case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking existing local programs targeting gun crime.
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West Seneca Man Pleads Guilty to Money Laundering ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Benjamin Golembiewski, 28, of West Seneca, N.Y., who was convicted of money laundering conspiracy, was sentenced to 37 months in prison by U.S. District Judge Richard J. Arcara.Assistant U.S. Attorney Frank T. Pimentel, who handled the case, stated that on August 22, 2014, the defendant shipped a package containing $77,000 in United States currency, which was marijuana sale proceeds, to a co-conspirator in Carlsbad, California.
On September 26, 2014, Drug Enforcement Administration agents executed a search warrant at Golembiewski’s residence, which was in Buffalo at the time, and seized $224,123 in United States currency, three firearms and ammunition, and a 65-inch television.
The defendant was arrested along with co-defendants James Parish and Justin Stevens. Parish and Stevens have been convicted and are awaiting sentencing.
The sentencing is the result 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 Niagara Frontier Transportation Authority Police, under the direction of Chief George W. Gast.West County Doctor Pleads Guilty to Distributing Mexican Human Growth Hormone Drugs to Local PatientsRead the Press Release
St. Louis, MO – DR. MICHAEL "TED" MIMLITZ pled guilty to distributing misbranded Human Growth Hormone (“HGH”) to local patients at his St. Louis County medical clinic between March 2014 and June 2015.
According to court documents, under federal law, doctors can lawfully prescribe HGH for several narrow medical uses, for example to patients with wasting diseases associated with AIDS or Prader-Willi syndrome. Under federal law, HGH cannot be prescribed to help patients with body-building, anti-aging or weight loss treatments. Dr. Mimlitz was employed at a medical clinic in St. Louis County that specialized in treating men who were experiencing a lack of energy, decreases in strength or endurance or decreased athletic ability.
Mimlitz, St. Louis County, Missouri, pled guilty before United States District Judge Catherine D. Perry to one felony count of distributing misbranded drugs into interstate commerce. Sentencing has been set for April 21, 2016.
He now faces a maximum penalty of three years in prison and/or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement, Homeland Security Investigations and the Office of Criminal Investigation for the U.S. Food and Drug Administration.