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12 January 2016
Owner of Bowling Green Market Sentenced to 37 Months in Prison for Weapons ChargesRead the Press Release
BOWLING GREEN, Ky. – The owner of a Bowling Green, Kentucky, market was sentenced today in United States District Court, by United States District Judge Greg N. Stivers, to 37 months in prison and three years of supervised release for multiple weapons charges, announced United States Attorney John E. Kuhn, Jr.
Baraa Fadil Aldabse, 41, of Bowling Green, and owner of Noor Market located on Old Morgantown Road, pleaded guilty in United States District Court on August 25, 2015, to possession of an unregistered short barrel shotgun and possession of firearms (including the short barrel shotgun, an SKS assault rifle, a Rohm .38 caliber revolver, and ammunition), by a person convicted of a misdemeanor crime of domestic violence.
According to the plea agreement, Bowling Green Police received information that Aldabse was selling packages of synthetic marijuana from his business. Based on the information, law enforcement officials obtained and executed a search warrant for the market, where several packages of synthetic marijuana were seized as well as a .38 special caliber revolver. Aldabse admitted to selling synthetic marijuana from his business.
Aldabse gave law enforcement officials permission to search his home on Clearview Avenue and admitted to owning the weapons found there. The weapons found and seized from his home included an SKS rifle located in the closet of the back bedroom as well as a loaded magazine, containing 20 rounds of 7.62 x 39 ammunition lying on top of the rifle. The officers also found a sawed-off shotgun next to the SKS rifle. The Harrington Richardson, Model Topper 158, .16 gauge, single shot shotgun, had a modified barrel length of 9¼ inches and an overall length of 14 inches with no visible serial number. The officers located 20 Remington .16 gauge shotgun shells next to the sawed-off shotgun. Additionally, the officers located a black bag which contained 272 rounds of 7.62 x 39 ammunition. The modified Harrington and Richardson .16 gauge shotgun was not registered to Aldabse in the National Firearm Registration and Transfer Record.
On August 31, 2012, Aldabse was convicted of Assault 4th Degree, Domestic Violence (spouse) Minor Injury (Enhanceable) in Warren District Court Case number 12-M-01797, a misdemeanor crime of domestic violence. He had also previously been convicted of trafficking in synthetic marijuana. He is currently charged in Warren Circuit Court with trafficking in synthetic marijuana (a felony due to the fact that it is his second offense) and possession of drug paraphernalia.
Assistant United States Attorney Jo E. Lawless prosecuted the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation in connection with the Bowling Green Police Department.
Orlando Woman Sentenced to Three Years in Federal Prison for Stolen Identity Refund FraudRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. yesterday sentenced Shantrell Sharae Stephenson to three years in federal prison for stolen identity refund fraud. She was also ordered to pay $92,532 in restitution to the Internal Revenue Service. She pleaded guilty on August 26, 2015.
According to court documents, Lori Ann Dilworth, a contract employee who worked in the inmate records section at the Orange County Jail, stole the personal identification information of 36 inmates and provided that information to Stephenson and others to use to file false tax returns. Another co-conspirator, Richard Damarick Mitchell, served as an intermediary between Dilworth and Stephenson. In total, more than $100,000 in fraudulent tax returns were filed with the IRS as part of the conspiracy.
Mitchell and Dilworth were also prosecuted for their roles in this conspiracy. On October 26, 2015, Mitchell was sentenced to three years and six months in federal prison. Dilworth was sentenced to two years and one month in federal prison on November 2, 2015.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant United States Attorney Roger B. Handberg.
Ocean County, New Jersey, Couple Sentenced for Roles in Conspiracy to Kidnap Jewish Husband, Force Him to Give His Wife Religious DivorceRead the Press Release
TRENTON, N.J. - A husband and wife from Lakewood, New Jersey, were sentenced today for their roles in a conspiracy to kidnap a Jewish man and force him to give his wife a religious divorce, known as a “get,” U.S. Attorney Paul J. Fishman announced.
David Wax, 53, who previously pleaded guilty before U.S. District Judge Freda L. Wolfson to an information charging him with conspiracy to commit kidnapping, was sentenced to 84 months in prison. Judy Wax, 51, who previously pleaded guilty before Judge Wolfson to an information charging her with misprision of a felony, was sentenced to two years of probation. Judge Wolfson imposed both sentences today in Trenton federal court.
According to documents filed in this case and statements made in court:
David Wax admitted that in October 2010, he and his conspirators agreed to force a Jewish man to give his wife a get, a document which, according to Jewish law, must be presented by a husband to his wife to effect their divorce.
David Wax lured the victim from Brooklyn, New York, to Wax’s home in Lakewood on Oct. 17, 2010, under the pretense that the victim would work on Talmudic books that David Wax was publishing. When the victim arrived, he was brought upstairs, blindfolded, handcuffed and bound. The victim was then assaulted by Wax and his conspirators until he provided the get.
Judy Wax admitted that she and her husband later replaced a blood-soaked carpet in their home in order to conceal the kidnapping. She also admitted to knowingly failing to notify the authorities of the kidnapping.
The family of the victim’s wife paid David Wax approximately $100,000 to obtain the forced get. His conspirators received approximately $50,000.
In addition to the prison term, Judge Wolfson sentenced David Wax to two years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel in Newark, with the investigation.
The government is represented by Assistant U.S. Attorneys R. Joseph Gribko and Sarah Wolfe of the U.S. Attorney’s Office in Trenton.
Defense counsel:
David Wax: Mitchell J. Ansell Esq., Ocean, and Edward Dauber Esq., Newark, New Jersey
Judy Wax: Steven Secare Esq., Toms River, New Jersey.
Non-Native Man from Dulce, N.M., Pleads Guilty to Assaulting Native American WomanRead the Press Release
ALBUQUERQUE – Deandre Lamont Brown, 29, a non-Native man who resides in Dulce, N.M., pleaded guilty today in federal court in Albuquerque, N.M., to an assault of an intimate partner charge.
Brown was arrested on April 17, 2015, on an indictment charging him with assaulting an Indian woman and intimate partner by strangling or suffocating on Oct. 3, 2014, in Indian Country in Rio Arriba County, N.M.
During today’s proceedings, Brown pled guilty to the indictment and admitted to assaulting the victim, a Native American woman who was his intimate partner, by strangling and suffocating her. Under the terms of his plea agreement, Brown will be sentenced within the range of 12 to 36 months in federal prison. A sentencing hearing has yet to be scheduled.
This case was investigated by the Jicarilla Apache Tribal Police Department and is being prosecuted by Assistant U.S. Attorney Novaline D. Wilson.
This case was brought as part of the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native American women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
Newport News Men Sentenced for Participation in Scheme to Defraud Hampton Roads Financial InstitutionsRead the Press Release
NEWPORT NEWS, Va. – Preston Frazier, 22, and Keandre Williams, 25, of Newport News, were sentenced today to 64 and 75 months in prison, respectively, for conspiracy to commit bank fraud and aggravated identity theft. They were ordered to pay restitution in the amount of $103,463.11.
Frazier and Williams pleaded guilty on Sept. 28, 2015. According to court documents, beginning in August 2014, Frazier and Williams, along with co-conspirators Shameek Owens, Kendall Anderson, and others, undertook a scheme to defraud financial institutions in Hampton and Newport News, including Wells Fargo, Langley Federal Credit Union, Bayport Credit Union and Navy Federal Credit Union. All four individuals recruited account holders of these financial institutions to provide their debit cards and personal identification numbers (PIN), for a period of time in exchange for monetary payment. Members of the conspiracy would then deposit worthless and stolen checks, and altered money orders into the compromised accounts using various ATM’s located throughout Hampton Roads. Policies of the targeted financial institutions authorized immediate access to funds deposited by check in this manner. Following the deposits, members of the conspiracy would withdraw the maximum allowable amount from the ATM’s during the initial transaction and then conduct additional withdrawals at other ATM’s in order to obtain the maximum daily withdrawal amount. They would also use the compromised debit cards to conduct large purchases at local retailers and later return the items for cash. Frazier and Williams were identified, alone and with others, conducting the fraudulent deposits and withdrawals through video recordings captured by the targeted financial institutions.
Owens pleaded guilty on Oct. 5, 2015, and will be sentenced on Jan. 25, 2016. Anderson pleaded guilty on Oct. 20, 2015, and will be sentenced on Feb. 10, 2016.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, made the announcement after sentencing by U.S. District Judge Mark S. Davis. This investigation was coordinated by the Newport News Financial Crimes Task Force, an interagency partnership between Federal, State and local investigators to investigate and prosecute financial fraud cases in Virginia. The task force is comprised of several agencies, including the United States Postal Inspection Service, the Internal Revenue Service, U.S. State Department, Newport News Police Department, Hampton Police Department and the United States Attorney’s Office. Assistant U.S. Attorneys Kaitlin C. Gratton and Brian J. Samuels 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. 4:15cr43.
Nebraska Woman Sentenced for Bank TheftRead the Press Release
United States Attorney Deborah R. Gilg announced that on January 11, 2016, Chief United States District Court Judge Laurie Smith Camp sentenced Margaret Cherovsky of Wahoo, Nebraska, age 65, to a term of time served and a five (5) year term of supervised release, following her conviction for theft by a bank employee.
Between 1969 and 2014 Cherovsky was an employee of FirstBank of Nebraska, Wahoo branch, within the District of Nebraska. In April, 2014, Cherovsky reported to FirstBank of Nebraska representatives that she had taken cash from FirstBank of Nebraska over the last 20 years. A cash count by a bank employee revealed a shortfall of $323,036.00. Cherovsky immediately repaid $323,036.00 to FirstBank of Nebraska after admitting that she had improperly taken the money.
An investigation revealed that the cash shortfall was the result of Cherovsky depositing "mutilated currency" received by the bank into bank accounts managed or owned by Cherovsky. Cherovsky falsified bank records to conceal the theft. Cherovsky admitted she did not take money from the vault every day but did it "sporadically" to ensure it wasn't discovered.
This case was investigated by the Federal Bureau of Investigation.
Nation’s Largest Nursing Home Therapy Provider, Kindred/Rehabcare, to Pay $125 Million to Resolve False Claims Act AllegationsRead the Press Release
Four Nursing Homes Using Kindred/RehabCare to Pay an Additional $8.225 Million
Contract therapy providers RehabCare Group Inc., RehabCare Group East Inc. and their parent, Kindred Healthcare Inc., have agreed to pay $125 million to resolve a government lawsuit alleging that they violated the False Claims Act by knowingly causing skilled nursing facilities (SNFs) to submit false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary and skilled, or that never occurred, the Department of Justice announced today.
RehabCare Group Inc. and RehabCare Group East Inc. were purchased by the Louisville, Kentucky-based Kindred Healthcare Inc. in 2011 and they now operate under the name RehabCare as a division of Kindred. RehabCare is the largest provider of therapy in the nation, contracting with more than 1,000 SNFs in 44 states to provide rehabilitation therapy to their patients.
“Medicare beneficiaries are entitled to receive care that is dictated by their clinical needs rather than the fiscal interests of healthcare providers,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “All providers, whether contractors or direct billers of taxpayer-funded federal healthcare programs, will be held accountable when their actions cause false claims for unnecessary services.”
The government’s complaint alleged that RehabCare’s policies and practices, including setting unrealistic financial goals and scheduling therapy to achieve the highest reimbursement level regardless of the clinical needs of its patients, resulted in Rehabcare providing unreasonable and unnecessary services to Medicare patients and led its SNF customers to submit artificially and improperly inflated bills to Medicare that included those services. Specifically, the government’s complaint alleged that RehabCare’s schemes included the following:
- Presumptively placing patients in the highest therapy reimbursement level, rather than relying on individualized evaluations to determine the level of care most suitable for each patient’s clinical needs;
- During the period prior to Oct. 1, 2011, boosting the amount of reported therapy during “assessment reference periods,” thereby causing and enabling SNFs to bill for the care of their Medicare patients at the highest therapy reimbursement level, while providing materially less therapy to those same patients outside the assessment reference periods, when the SNFs were not required to report to Medicare the amount of therapy RehabCare was providing to their patients (a practice known as “ramping”);
- Scheduling and reporting the provision of therapy to patients even after the patients’ treating therapists had recommended that they be discharged from therapy;
- Arbitrarily shifting the number of minutes of planned therapy among different therapy disciplines (i.e., physical, occupational and speech therapy) to ensure targeted therapy reimbursement levels were achieved, regardless of the clinical need for the therapy;
- Especially after Oct. 1, 2011 and continuing through Sept. 30, 2013, providing significantly higher amounts of therapy at the very end of a therapy measurement period not due to medical necessity but rather to reach the minimum time threshold for the highest therapy reimbursement level, to enable SNFs to bill for the care of their Medicare patients accordingly, even though the patients were receiving materially less therapy on preceding days;
- Inflating initial reimbursement levels by reporting time spent on initial evaluations as therapy time rather than evaluation time;
- Reporting that skilled therapy had been provided to patients when in fact the patients were asleep or otherwise unable to undergo or benefit from skilled therapy (e.g., when a patient had been transitioned to palliative end-of-life care); and
- Reporting estimated or rounded minutes instead of reporting the actual minutes of therapy provided.
“This False Claim Act settlement addresses allegations that RehabCare and its nursing facility customers engaged in a systematic and broad-ranging scheme to increase profits by delivering, or purporting to deliver, therapy in a manner that was focused on increasing Medicare reimbursement rather than on the clinical needs of patients,” said U.S. Attorney Carmen M. Ortiz for the District of Massachusetts. “The complaint outlines the extent and sophistication of this fraud, and the government’s continuing work to ensure that the provision of care in skilled nursing facilities is based on patients’ clinical needs.”
“Health providers seeking to increase Medicare profits, rather than providing suitable, high-quality care, will be investigated and prosecuted,” said Inspector General Daniel R. Levinson for the U.S. Department of Health and Human Services (HHS). “Under our robust compliance agreement, an outside review organization will scrutinize a random sample of medical records annually to assess the medical necessity and reasonableness of therapy services provided by RehabCare.”
In addition to RehabCare, the Department of Justice also announced settlements today with four SNFs for their role in submitting claims to Medicare that were false because they were based in part on therapy provided by RehabCare that was not reasonable, necessary and skilled, or that did not occur. These settlements include: A $3.9 million settlement with Wingate Healthcare Inc. and 16 of its facilities in Massachusetts and New York; A $2.2 million settlement with THI of Pennsylvania at Broomall LLC and THI of Texas at Fort Worth LLC; A $1.375 million settlement with Essex Group Management and two of its Massachusetts facilities, Brandon Woods of Dartmouth and Blaire House of Milford and a $750,000 settlement with Frederick County, Maryland, which formerly operated the Citizens Care skilled nursing facility. The department had previously reached settlements with a number of other SNFs for similar conduct. See http://www.justice.gov/opa/pr/two-companies-pay-375-million-allegedly-causing-submission-claims-unreasonable-or-unnecessary; http://www.justice.gov/opa/pr/episcopal-ministries-aging-inc-pay-13-million-allegedly-causing-submission-claims; http://www.justice.gov/usao-ma/pr/new-york-catholic-nursing-chain-pay-35-million-resolve-allegations-concerning-claims; http://www.justice.gov/usao-ma/pr/maine-nursing-home-pay-12-million-resolve-allegations-concerning-rehabilitation-therapy.
The settlement with RehabCare resolves allegations originally brought in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act by Janet Halpin, a physical therapist and former rehabilitation manager for RehabCare and Shawn Fahey, an occupational therapist who worked for RehabCare. The act permits private parties to sue on behalf of the government for false claims for government funds and to receive a share of any recovery. The government may intervene and file its own complaint in such a lawsuit, as it has done in this case. The whistleblowers will receive nearly $24 million as their share of the recovery from RehabCare.
The settlements announced today illustrate 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. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, including the conduct described in the United States’ complaint, can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
This matter was handled by the Civil Division’s Commercial Litigation Branch; the U.S. Attorney’s Office for the District of Massachusetts; HHS Office of Inspector General and the FBI.
The case is captioned United States ex rel. Halpin and Fahey v. Kindred Healthcare, Inc., et al., Case No. 1:11cv12139-RGS (D. Mass.).
The claims settled are allegations only, and there has been no determination of liability.
Modesto Man Sentenced to Prison for Stealing More Than $316,000 of Government Property from the Tracy DLA DepotRead the Press Release
SACRAMENTO, Calif. — Eric M. Shaffer, 42, of Modesto, was sentenced today by United States District Judge John A. Mendez to one year and a day in prison for theft of Department of Defense property worth more than $316,000, United States Attorney Benjamin B. Wagner announced.
According to court documents, Shaffer was an employee at the Department of Defense Logistics Agency, San Joaquin Distribution Center, in Tracy, (Tracy DLA Depot). Shaffer regularly had access to new goods delivered by venders that were stored at the Tracy DLA Depot before being shipped to military bases in the Pacific Ocean region and elsewhere.
Between February 2011, and January 2015, Shaffer stole from the Tracy DLA Depot at least 660 items of government property and resold them in approximately 365 transactions, including 325 auctions on a popular online auction website. Shaffer’s scheme generated approximately $238,000 in illicit revenue. The approximate replacement value of the property Shaffer stole and resold exceeded $316,000. In addition to the prison sentence today, Judge Mendez ordered Shaffer to pay $316,557 in restitution.
This case was the product of an investigation by the General Services Administration, Office of Inspector General; the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and the Department of Defense, Defense Criminal Investigative Service. Assistant U.S. Attorney André M. Espinosa prosecuted the case.
Michigan Residents Sentenced to Prison for Mortgage Fraud SchemeRead the Press Release
Recruited Straw Buyers to Purchase Homes and Submit Fraudulent Mortgage Applications
Five residents of the Detroit, Michigan, area were sentenced to prison this week for their roles in a multi-year mortgage fraud conspiracy, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division announced today.
Between January 2006 and December 2008, the perpetrators of the scheme purchased single-family homes in Detroit for approximately $5,000 to $40,000 each and re-sold the homes to third party individuals, referred to as “straw buyers,” that they recruited. The co-conspirators then caused fraudulent mortgage loan applications in the names of the straw buyers to be submitted to financial institutions.
On July 16, 2014, a grand jury returned a superseding indictment charging seven defendants with conspiracy to commit bank fraud, bank fraud, aiding and assisting in the filing of false tax returns and bankruptcy fraud. All of the defendants named in the superseding indictment pleaded guilty to conspiracy to commit bank fraud for their role in the scheme.
On Jan. 11 and 12, U.S. District Judge Bernard A. Friedman of the Eastern District of Michigan announced the following sentences:
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Jason Najor, 39, of West Bloomfield Township, Michigan, was sentenced to 16 months in prison, followed by four years of supervised release, and ordered to pay restitution to the affected financial institutions in the amount of $705,900.
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Jeffrey Najor, 32, of Wixom, Michigan, was sentenced to 24 months in prison, followed by four years of supervised release, and ordered to pay restitution to the affected financial institutions in the amount of $1,707,200.
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Suhail Hallak, 59, of Oak Park, Michigan, was sentenced to 15 months in prison, followed by three years of supervised release, and ordered to pay restitution to the affected financial institutions in the amount of $759,804.
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Joey Murad, 37, of Old Shelby Township, Michigan, was sentenced to 33 months in prison, followed by four years of supervised release, and ordered to pay restitution to the affected financial institutions in the amount of $188,904.
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Al Karana, 46, of Old Sterling Heights, Michigan, was sentenced to one day in jail, followed by three years of supervised release to include one year of home confinement, and ordered to pay restitution to the affected financial institutions in the amount of $204,600.
Two of the defendants named in the superseding indictment were previously sentenced to prison. In January 2015, Wasseem Shamoun, 50, of Northville, Michigan, was sentenced to 15 months in prison and ordered to pay restitution to the in the amount of $394,000, following his plea of guilty to conspiracy to commit bank fraud. In September 2014, Peter Allen, 44, of Southfield, Michigan, was sentenced to 21 months in prison and ordered to pay restitution in the amount of $194,300, for his role in the bank fraud scheme.
In addition to the seven defendants named in the superseding indictment, two other individuals connected to the scheme have pleaded guilty and been sentenced to prison. In September 2015, Mary Ann Paschal, who served as a straw buyer for multiple properties and received substantial fees for her participation, was sentenced to one year and one day in prison and ordered to pay restitution in the amount of $523,750. Also in September 2015, Shawn Alexander Reed, a mortgage broker who assisted in the preparation of false mortgage loan applications, pleaded guilty and was sentenced to 15 months in prison.
Acting Assistant Attorney General Ciraolo thanked special agents of the FBI, Internal Revenue Service-Criminal Investigation and the Drug Enforcement Administration, who investigated the case and Senior Litigation Counsel Corey Smith and Trial Attorney Mark McDonald of the Tax Division, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division website.
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Michigan Man Sentenced on Identity Theft ChargesRead the Press Release
St. Louis, MO – SHAUN VASSER, of Detroit, Michigan, was sentenced to 24 months in prison Monday afternoon for his role in a four-person identity theft ring which was disrupted in St. Louis County this summer. He appeared for sentencing before United States District Judge Henry Autrey.
Vasser had pleaded guilty to aggravated identity theft for his role in a ring that possessed a credit card encoder and names and identities of multiple individuals. The group used the names and information to create counterfeit gift cards and other access devices, which were successfully passed at area stores.
In addition to his prison term, Vasser was ordered to remain on court supervision for one year after his release from prison and further ordered to pay restitution to the credit card companies victimized by his crime. Vasser’s three co-defendants, Jazmine Farmer, Amber Lindsay and Shukree Melton have all also pleaded guilty and await sentencing later this year.
The case was investigated by the St. Louis County Police Department and the St. Louis Office of the U.S. Secret Service. Assistant United States Attorney Tom Albus handled the case for the U.S. Attorney’s Office.
McKees Rocks Man Pleads Guilty in FBI Wiretap Investigation in Drug TraffickingRead the Press Release
PITTSBURGH - A McKees Rocks resident pleaded guilty in federal court to a charge of conspiracy to possess with intent to distribute and distribute 500 grams or more of cocaine, United States Attorney David J. Hickton announced today.
Ellis Harris, 45, pleaded guilty to one count before United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that in 2013, the Federal Bureau of Investigation and other agencies joined forces in a multi-agency wiretap investigation of drug trafficking and violence in the Homewood section of Pittsburgh. The interception of wire and electronic communications began in December 2013 and continued through the end of August 2014. During that timeframe, Ellis Harris was intercepted over the wire conspiring with others to possess with intent to distribute and distribute cocaine, which was shipped from California to the Western District of Pennsylvania through the United States Postal Service or commercial carrier, and heroin, which the conspirators obtained in Cleveland, Ohio, and transported to the Western District of Pennsylvania for further distribution.
Judge Hornak scheduled sentencing for May 16, 2016. The law provides for a minimum sentence of five years in prison, a maximum sentence of 40 years in prison, a fine of not more than $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Pending sentencing, the court continued the defendant’s detention.
Assistant United States Attorney Tonya Sulia Goodman is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Greater Pittsburgh Safe Streets Task Force, Wilkinsburg Police Department, Allegheny County Sheriff’s Office, Pennsylvania Office of the Attorney General, Munhall Police Department, Duquesne Police Department, Monroeville Police Department, Allegheny County Police Department, West Mifflin Police Department, Bellevue Police Department, and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Ellis Harris.
Mark Olson Was Sentenced to 135 Months ImprisonmentRead the Press Release
HAMMOND – United States Attorney for the Northern District of Indiana, David Capp, announced that Mark H. Olson, age 39, of Chesterton, Indiana, was sentenced Monday, January 11, 2016, in federal court by Chief Judge Philip Simon after pleading guilty to one count of distribution of child pornography.
Olson was sentenced to 135 months imprisonment, 10 years supervised release and ordered to pay restitution in the amount of $12,000.
According to documents filed in the case, between May and September of 2013, Olson used his work computer at his place of employment to send and receive child pornography with numerous individuals he met through a foreign website. The images depicted actual minors under the age of eighteen, including prepubescent minors, engaging in sexually explicit conduct.
This case was the result of an investigation by Homeland Security Investigations. The case was handled by Assistant United States Attorney Abizer Zanzi.
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Luzerne County Man Sentenced to 78 Months in Prison for Heroin Trafficking and Illegal ReentryRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that a citizen of the Dominican Republic who reentered the United States after being deported and resided in Luzerne County, was sentenced to 78 months in prison today by Senior U.S. District Court Judge Richard P. Conaboy in Scranton, for distributing large quantities of heroin in the summer of 2014, and illegally reentering the country.
According to United States Attorney Peter Smith, the defendant, Edwin Guerrero-Guerrero, age 35, who resided in Hazleton under a false name and identity, pleaded guilty to the charges on September 15, 2015. Guerrero-Guerrero admitted to distributing and possessing with intent to distribute in excess of 500 grams of heroin, which is the equivalent of approximately 17,000 retail bags of heroin, after he had illegally reentered the United States.
Guerrero-Guerrero was charged in a criminal Information in August 2015, as a result of an investigation by agents of the Federal Bureau of Investigation (FBI), immigration enforcement agents with the Department of Homeland Security, and Scranton Police.
Judge Conaboy also ordered Guerrero-Guerrero to be placed on four years of supervised release following his prison sentence. Guerrero-Guerrero also faces possible deportation.
Assistant U.S. Attorney Francis P. Sempa prosecuted the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the heroin initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies.
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Logan County Home Care Giver Sentenced to 24 Months in Prison for Aggravated Identity TheftRead the Press Release
Ordered to pay $56,543.93 in restitution
BOWLING GREEN, Ky. – A Logan County, Kentucky home care giver was sentenced today in U.S. District Court by U.S. District Judge Greg N. Stivers to 24 months in prison, followed by a one year period of supervised release and ordered to pay restitution in the amount of $56,543.93 for committing identity theft announced United States Attorney John E. Kuhn, Jr.
Crystal Hullett, age 39, of Russellville, pleaded guilty to five counts of aggravated identity theft before District Judge Stivers on September 2, 2015.
According to the plea agreement, Hullett was a home care giver to 92-year-old R.W. between June 2012 and January 2014. During that time, Hullett defrauded R.W. of money and property by making unauthorized purchases of personal items and gift cards at various merchants in Russellville, Kentucky by using R.W.’s debit card. Further, Hullett knowingly possessed and used the name, signature, and debit card of R.W. without lawful authority.
During sentencing, the United States moved for the dismissal of counts 1,2,3,4, and 5 of the indictment and agreed that the sentence of 24 months was appropriate. The restitution order of $56,543.93 was due at sentencing.
This case was prosecuted by Assistant United States Attorney Joshua Judd and was investigated by United States Secret Service, United States Postal Inspection Service and the Russellville Police Department.
Local Dermatologist, Cordova-based Medical Practice to Pay $450,000 for Overbilling MedicareRead the Press Release
Memphis, TN – A doctor and his Cordova-based medical practice will pay $450,000 to the government to resolve allegations that it billed Medicare for unnecessary dermatological surgical procedures and office visits. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the settlement today.
Under federal law, Medicare reimburses medical providers only for procedures that are medically necessary. The United States contends that from 2008 to 2011, Dr. George R. Woodbury and his medical practice, Rheumatology & Dermatology Associates, P.C., billed Medicare for multiple medically unnecessary procedures. Specifically, the complaint alleged that Woodbury billed for tissue rearrangement surgeries; excisions which were larger than actually performed; benign excisions as malignant; overstated repair or closure sizes; and for unnecessary office visits.
In October 2014, the allegations resolved in this settlement were first raised in a lawsuit filed against the defendant under provisions of the False Claims Act. The law provides the United States with a cause of action against any person who knowingly presents or causes to be presented a false or fraudulent claim for payment or approval. Damages for liability under the False Claims Act are up to triple the amount of actual damages suffered by the United States, plus a mandatory civil penalty of $5,500 to $11,000 for each claim.
"Billing Medicare for dermatological surgical procedures that are not necessary or appropriate contributes to the soaring costs of health care and harms patients," said U.S. Attorney Stanton. "Settlements like this protect public funds and safeguard the beneficiaries of federal health care programs."
The investigation was conducted by the United States Department of Health and Human Services – Office of the Inspector General, along with the Federal Bureau of Investigation.
Assistant U.S. Attorneys Stuart J. Canale and David Brackstone represented the United States in this matter.
The claims settled by this agreement are allegations only, and there has been no determination of liability.
Leader of Meth Ring Sentenced to 170 MonthsRead the Press Release
COLUMBUS, Ohio – Simon Velazquez-Gonzalez, 27, formerly of Hilliard, Ohio was sentenced in U.S. District Court to 170 months in prison for his role in trafficking more than nine kilograms of methamphetamine. Agents seized more than 20 pounds of “ice” – a form of methamphetamine of 98 to 100 percent purity – in this case.
Carter M. Stewart, United States Attorney for the Southern District of Ohio and Joseph P. Reagan, Special Agent in Charge, Drug Enforcement Administration (DEA) Detroit Field Division announced the sentence handed down today by U.S. District Judge Gregory L. Frost.
In February and March 2015, through the use of an undercover officer, law enforcement agents made methamphetamine purchases from Velazquez-Gonzalez and his co-conspirators. They discovered a substantial quantity of the drug, over $11,000 in cash and three firearms when executing search warrants at locations used by the narcotics trafficking operation, including at Velazquez-Gonzalez’s residence in Hilliard, Ohio.
Velazquez-Gonzalez pleaded guilty on July 30, 2015 to one count of conspiracy to possess with intent to distribute 500 grams or more of methamphetamine.
A co-conspirator in this case, Marcelino Montoya-Sanchez, remains a fugitive. If you have information regarding his whereabouts, please contact the DEA.
U.S. Attorney Stewart commended the cooperative investigation by the DEA, as well as Assistant United States Attorneys Brian J. Martinez and Michael J. Hunter, who are representing the United States in this case.
Lafayette man sentenced to 10 years in prison for shooting at postal workerRead the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley announced that a Lafayette man was sentenced Monday to 120 months in prison for firing a gun at a postal worker.
David C. Sonnier, 41, of Lafayette, was sentenced by U.S. District Judge Richard T. Haik on one count of discharging a firearm during commission of a crime of violence. He was also sentenced to two years of supervised release and ordered to pay $1,178 restitution. According to the September 16, 2015 guilty plea, Sonnier admitted that on March 27, 2014 he shot a Hi Point 9 mm semi-automatic pistol at the door of the postal worker’s vehicle, which was passing in front of Sonnier’s home. The bullet passed through the driver’s side door and the postal worker’s pant leg before becoming lodged in the opposite side of the vehicle, which caused approximately $1,178 of damage.
The U.S. Postal Inspection Service, the FBI and the Lafayette Police Department investigated the case. Assistant U.S. Attorney Joseph T. Mickel prosecuted the case.
Kansas Couple Sentenced for Fraud on SBA LoansRead the Press Release
KANSAS CITY, KAN. – A Kansas couple was sentenced Monday for fraudulently obtaining loans from the Small Business Administration, U.S. Attorney Barry Grissom said.
Justin Johnson, 40, Wellsville, Kan., was sentenced to six months house arrest, followed by three years supervised release, and restitution of $53,000. His wife, Penny Johnson, 39, Wellsville, Kan., was sentenced to three years on probation and $53,000 restitution.
The defendants pleaded guilty to one count each of making false statements to the Small Business Administration and one count each of money laundering. Justin Johnson owned and operated several construction–related businesses including J-Right, Midland Concrete, A-Vision Landscape, Stucco Masters, Kingdom Homes and Timberview Construction. Penny Johnson was the bookkeeper for her husband’s businesses.
In their pleas, the Johnsons admitted they received a loan through the SBA Express loan program they claimed was for the purchase of equipment. In fact, the loan funds were used to pay off equipment loans and to make payments on construction loans held by Johnson’s various businesses. Loan funds also were used by the Johnsons for their personal use.
Grissom commended the Small Business Administration, the FBI, the Internal Revenue Service and Assistant U.S. Attorney Jabari Wamble for their work on the case.
KC Man Sentenced for Armed Robbery ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for his role in a conspiracy to commit several armed robberies at restaurants in the metropolitan area.
Jeremy Hunter, also known as “Heat,” 25, of Kansas City, was sentenced by U.S. District Judge Beth Phillips to 10 years in federal prison without parole.
On Sept. 1, 2015, Hunter pleaded guilty to participating in a conspiracy to commit armed robbery, to one count of armed robbery and to one count of using a firearm in a crime of violence. Co-defendants Isiah G. Etienne, 20, and and Mikah M. Labayen, 20, both of Blue Springs, and Renargo L. Martin, 46, of Kansas City, Mo., have also pleaded guilty to their roles in the conspiracy and to related charges.
Hunter, Etienne, Labayen and Martin each admitted that he participated in a conspiracy to rob several fast food restaurants in the Kansas City area in the fall of 2014. Etienne and Labayen were employed at a Chipotle restaurant in Blue Springs. Using their knowledge of procedures commonly used by such establishments, conspirators would wait until the end of a business day, and then rob restaurants by waiting until an employee opened a door to take trash out of the premises. They rushed the door to gain access, and then forced the manager or shift supervisor to give them access to the restaurant’s safe. Conspirators threatened restaurant employees with an assault rifle in order to force their cooperation.
Hunter admitted that he participated in one of the robberies, and loaned his assault rifle to co-conspirators to use in several other robberies in exchange for part of the proceeds. Martin admitted that he drove Hunter to the Blue Springs Chipotle on Nov. 16, 2014. Hunter and Martin were given access to that restaurant’s back door by Labayen, an employee of the restaurant. Armed with his assault rifle, Hunter forced the restaurant employees to the ground as he kicked the door into the manager’s office. Once in the manager’s office, Hunter ordered the supervisor to open the safe and put all the money into a green duffle bag.
Etienne admitted that he robbed a Chipotle restaurant in Lee’s Summit, Mo., on Nov. 3, 2014, taking $1,600; a Burger King restaurant in Independence, Mo., on Nov. 10, 2014, taking $914 and again on Nov. 30, 2014, taking $565; and a Chipotle restaurant in Blue Springs on Nov. 16, 2014, taking $6,800. Following these robberies, Etienne and Labayen were captured after an attempted robbery of a motel.
This case is being prosecuted by Assistant U.S. Attorney Patrick Edwards. It was investigated by the Kansas City, Mo., Police Department, the Lee’s Summit, Mo., Police Department, the Blue Springs, Mo., Police Department and the FBI.
Jury Finds Waterloo Man Guilty of Production and Possession of Child PornographyRead 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 jury found Ronald T. Spoor, 54, of Waterloo, NY, guilty of production and possession of child pornography. The charges carry a mandatory minimum sentence of 15 years in prison and a maximum of 30 years.“To learn that one’s child has been victimized by a predator is among the most distressing of life events. On behalf of the entire community, this Office thanks all who testified against the defendant we today convicted,” said U.S. Attorney Hochul. “Our commitment to them is this: at sentencing, we will seek the maximum punishment allowed by law.”
Assistant U.S. Attorneys Bradley E. Tyler and Craig Gestring, who handled the prosecution of the case, stated that in December 2012, the New York State Police were alerted by officials at a school in Seneca County, NY, after minor students indicated they had been abused by Spoor. The defendant was interviewed by investigators and admitted to abusing two victims under the age of 10 years old.
A search warrant was then executed at the defendant’s Waterloo residence. Officers seized computer hard drives, two pinhole cameras, and several flash drives. A forensic examination determined that four of the hard drives and a pinhole camera contained videos and images of child pornography including minor boys who had been videotaped by the defendant without their knowledge. Officers also discovered that the pinhole camera had been installed by the defendant in a bathroom and used by the defendant to record minor children.
The conviction is the culmination of an investigation on the part of the New York State Police, under the direction of Major Craig Hanesworth and Immigration and Customs Enforcement, Homeland security Investigations, under the direction of Special Agent in Charge James C. Spero.
Sentencing is scheduled for May 4, 2016 before Judge Charles J. Siragusa who presided over the trial.
Hagerstown Man Pleads Guilty to Conspiracy to Distribute HeroinRead the Press Release
Baltimore, Maryland – Cory Allen Kline, age 32, of Hagerstown, Maryland pleaded guilty today to conspiracy to distribute 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 Kline’s plea agreement, early on April 13, 2015 Kline and a co-defendant went to a residence in Hagerstown, Maryland with a 19-year old woman from Clear Spring, Maryland. The woman was a recovering heroin addict who had recently been released from jail. While at the residence, Kline and his co-defendant agreed to provide heroin to the woman. After injecting the heroin, the woman became very high. Kline left the residence sometime before 6:00 a.m. The woman left the residence in her car at about 6:15a.m. and 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. Kline admitted that his distribution of heroin resulted in the victim’s death.
Kline faces a maximum sentence of 20 years in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for April 11, 2016 at 3:00 p.m.
United States Attorney Rod J. Rosenstein commended the DEA and the 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.
Gulfport Man Pleads Guilty in Case Involving 52 GunsRead the Press Release
Gulfport, Miss – Octavia Jermaine Winters, 32, of Gulfport, entered a guilty plea before U.S. District Judge Sul Ozerden to theft of firearms from a federal firearms licensee, announced U.S. Attorney Gregory K. Davis. The case involved the theft of 52 firearms from Friendly Pawn and Auto in Saucier Mississippi.
Winters will be sentenced on April 22, 2016, and faces a maximum penalty of 10 years in prison and a $250,000 fine.
This case was investigated by the Bureau of Alcohol Tobacco Firearms and Explosives, the Drug Enforcement Administration and the Harrison County Sheriff’s Department. Assistant United States Attorney Annette Williams is prosecuting the case.
Germantown Felon Sentenced to over 10 Years in Prison for Conspiracy to Distribute Heroin and for the Illegal Possession of a GunRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Jelani Omar Johnson, age 34, of Germantown, Maryland today to six years in prison, followed by five years of supervised release, for conspiracy to possess with intent to distribute heroin. Judge Grimm ordered that this sentence be served consecutive to the 51 month sentence Johnson previously received for being a felon in possession of a gun, which was charged in a separate case.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; and Chief J. Thomas Manger of the Montgomery County Police Department.
According to his plea agreement, from June through August 2013, Johnson conspired with others to distribute heroin in the Germantown area. Johnson had other conspirators drive him to locations in Montgomery County, where he distributed the heroin, charging $100 to $120 per bag. Johnson traveled to Washington, D.C. and to Richmond, Virginia to obtain the heroin. Johnson cut the heroin he obtained with Xanax and other substances to increase the quantity of heroin.
According to documents filed in the case, at least two deaths occurred after individuals ingested heroin that Johnson had distributed. Statements made by Johnson suggest that he was aware that cutting agents he had added to the heroin were causing harm and he didn’t care. During his participation in the drug conspiracy, he possessed with intent to distribute between 80 and 100 grams of heroin.
According to his plea agreement in the gun case, Johnson contacted a Montgomery County Police Department confidential source and discussed obtaining a gun from the source. Johnson admitted that on October 1, 2013, he purchased a 9mm semi-automatic pistol from an undercover Montgomery County Police officer and the source, paying for the gun with cash and approximately one gram of heroin. Johnson had previously been convicted of a felony and was prohibited from possessing a gun.
United States Attorney Rod J. Rosenstein praised the ATF and Montgomery County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Mara Zusman Greenberg, Deborah A. Johnston, and Lindsay Eyler Kaplan, who prosecuted the case.
Fort Worth Men Sentenced to Lengthy Federal Prison Sentences for Role in Methamphetamine Distribution ConspiracyRead the Press Release
FORT WORTH, Texas — Two Fort Worth, Texas, area men were sentenced yesterday by U.S. District Judge Reed C. O’Connor to serve lengthy federal prison sentences for their roles in a methamphetamine distribution conspiracy, announced U.S. Attorney John Parker of the Northern District of Texas.
Matthew Rutledge, 33, was sentenced to 324 months in federal prison, and Joel Prickett, 37, was sentenced to 160 months in federal prison. Each pleaded guilty last year to one count of conspiracy to possess with intent to distribute more than 50 grams of methamphetamine.
According to documents filed in the case, since approximately 2014, Rutledge and Prickett distributed methamphetamine to others. A total of 29 defendants were charged in that case; 28 have been convicted, and most of those have been sentenced.
The Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Texas Department of Public Safety and the Fort Worth Police Department investigated the case. Assistant U.S. Attorney Shawn Smith was in charge of the prosecution.
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Fort Myers Man Sentenced to 5 Years in Prison for Filing False Tax Returns and Aggravated Identity TheftRead the Press Release
Fort Myers, Florida – Senior U.S. District Judge John E. Steele today sentenced Stafford Kelly to five years in federal prison for filing false or fictitious claims with the IRS and aggravated identity theft. The Court also ordered him to pay $98,065 in restitution to the IRS. Kelly pleaded guilty on September 29, 2015.
According to court documents, between February and May 2013, Kelly, working with others, filed approximately 80 false income tax returns requesting $288,021 from the IRS. These returns were filed using stolen identities and personal identifying information belonging to others.
This case was investigated by the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant United States Attorney David G. Lazarus.
Fort Hall Man Sentenced for Assault on an Officer and Illegal Possession of a FirearmRead the Press Release
POCATELLO – Raymond Hye Broncho, 40, of Fort Hall, Idaho, was sentenced today to 108 months in prison for assault on an officer with a dangerous weapon and illegal possession of a firearm by a drug user, U.S. Attorney Wendy J. Olson announced. Senior U.S. District Judge Edward J. Lodge also ordered Broncho to serve three years of supervised release, and to forfeit the guns involved in the incident. Broncho pleaded guilty on October 27, 2015.
According to the plea agreement, on September 20, 2014, Fort Hall Police officers were dispatched to a residence at 144 Lodge Pine on the Fort Hall Indian Reservation for a report of shots being fired. An officer arrived at the residence and found the door open and the house empty. Rifle-type spent shell casings were found near the front door. Additional officers heard yelling outside and saw Broncho holding an assault rifle in front of his body in a tactical position, as though he could raise the barrel and aim and shoot at any moment. The defendant was saying, “They’re in the trees” and “Watch out, they’re going to get me,” as though he saw other persons who weren’t really there. The officer ordered Broncho to drop the rifle multiple times, but Broncho ignored the commands. Eventually, Broncho went back into his house and shut the door.
Other officers assembled in the area and set up a perimeter on the house, surrounding it with officers and trying to negotiate with the defendant. An officer heard Broncho yell that he had a “head shot” on an officer. The officer thought it could have been her so she moved to another location and finally was positioned at the corner of a house near the Broncho residence. While there, five shots rang out and the bullets impacted the ground a few feet from where the officer was standing. Later investigators found that the second officer’s car had been hit by three bullets from the round of five shots.
The Bannock County and Federal Bureau of Investigations Special Weapons and Tactics (SWAT) teams arrived. While three members of the Bannock County SWAT team were positioned to watch the Broncho residence, Broncho began yelling. Then the Bannock County Sheriff’s SWAT team members heard a round fired from a deep-sounding rifle and they saw the round hit right in front of the position of the three officers. Another round was fired which hit the ground five to ten feet in front of the officers’ position.
The defendant surrendered to police later. Police took the defendant’s rifle, a SKS, Norinco assault rifle into custody. Police also found a .22 caliber rifle in the house, which they took into custody.
Broncho admitted that he possessed the firearms while he was an unlawful user of a controlled substance. He admitted to police officers that he had been using methamphetamine just before the shooting incident began and a blood test showed methamphetamine in the defendant’s body.
The case was investigated by the Fort Hall Police Department, the Bannock County Sheriff’s Office, and the Federal Bureau of Investigation.
Former Office Manager Sentenced to 37 Months in Prison for Stealing More Than $253,000 from Her EmployerRead the Press Release
STATESVILLE, N.C. – Angelina Marie Parker, 44, of Lincolnton, N.C., was sentenced on Monday, January 11, 2016, to serve 37 months in prison for stealing more than $253,000 from her former employer, announced Jill Westmoreland Rose, U.S. Attorney for the Western District of North Carolina. In addition to the prison term, U.S. District Judge Richard Voorhees ordered Parker to serve three years of supervised release and to pay $158,134 as restitution.
U.S. Attorney Rose is joined in making today’s announcement by Matthew Quinn, Assistant Special Agent in Charge of the United States Secret Service, Charlotte Field Division.
According to filed court documents and yesterday’s sentencing hearing, Parker was employed as an office manager by Piedmont Urgent Care of North Carolina, Inc. (Piedmont Urgent Care), formerly located in Hickory, N.C. Parker was indicted on 23 counts of uttering forged securities (checks) in 2009. According to court documents and evidence from the sentencing hearing, beginning in 2004, Parker used her position to embezzle over $250,000 from her employer. Court records show that Parker executed the embezzlement scheme by generating unauthorized company checks payable in her name and the name of a relative. According to court records and court proceedings, Parker forged the signatures of the doctors who owned Piedmont Urgent Care, and deposited the checks into her bank account and the bank accounts of relatives. Court records also show that Parker concealed her theft of Piedmont Urgent Care’s money by altering the accounting records in the healthcare company’s computer system. Court records and evidence presented at sentencing indicate that Parker used the money to pay for personal expenses. Parker pleaded guilty in September 2014, to three counts of uttering counterfeit securities, namely the company’s checks, with the intent to deceive the organization.
At the sentencing hearing, the court heard victim testimony regarding the initial discovery of Parker’s embezzlement and the substantial impact Parker’s fraud had on Piedmont Urgent Care, its employees and the company’s owners. Sentencing testimony revealed that the physicians who owned Piedmont Urgent Care first became aware of Parker’s embezzlement in 2009, after switching accounting firms. When the physician’s confronted Parker of the fraud she admitted to stealing money. According to court records, Parker later admitted to another person who worked at Piedmont Urgent Care that she had been stealing as much as $5,000 a month for five years from the company. According to victim testimony during yesterday’s sentencing hearing, Piedmont Urgent Care was unable to recover from the effects of Parker’s embezzlement, and eventually 12 employees lost their jobs when the healthcare company ceased its operations in 2014.
In handing down Parker’s sentence, Judge Voorhees noted the substantial victim impact of Parker’s embezzlement and imposed the highest sentence of imprisonment pursuant to federal Sentencing Guidelines.
Parker will be ordered to report to the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
The investigation was handled by the U.S. Secret Service. In making today’s announcement, U.S. Attorney Jill Westmoreland Rose thanked the North Carolina State Bureau of Investigation for their invaluable assistance in this case.
The prosecution for the government was handled by Assistant United States Attorneys Thomas O’Malley and Tiffany Mallory of the U.S. Attorney’s Office in Charlotte.
Former Las Vegas Metropolitan Police Department Officer Charged with Excessive Use of Force and Obstruction of JusticeRead the Press Release
The Justice Department today announced that a former Las Vegas Metropolitan Police Department Officer, Richard Thomas Scavone, 49, was indicted on charges of violating the civil rights of A.O., an unnamed victim, by using excessive force during an arrest and charges of obstruction of justice for falsifying a report. The indictment was returned by a federal grand jury in the District of Nevada.
According to the indictment, on Jan. 6, 2015, while acting as a police officer, Scavone allegedly assaulted “A.O.” resulting in bodily injury. The indictment alleges that Scavone grabbed the victim around the neck with his hand and threw A.O. to the ground; struck A.O. in the forehead with an open palm; twice slammed A.O.’s head onto the hood of his patrol vehicle; and slammed A.O. into the door of his patrol vehicle. The obstruction charge alleges that on or about Jan. 6, 2015, Scavone knowingly falsified and made false entries in a document with the intent of impeding, obstructing and influencing the investigation and proper administration of a matter within the jurisdiction of the FBI.
If convicted, the defendant faces a maximum sentence of 10 years in prison and a $250,000 fine on the civil rights count, and a maximum sentence of 20 years and a $250,000 fine on the obstruction count.
An indictment is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the FBI’s Las Vegas Division. The case is being prosecuted by Trial Attorney Patricia Sumner of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorneys Nicholas Dickinson and Phillip Smith of the District of Nevada.
Scavone Indictment
Former Corrections Officer Sentenced to Federal Prison for Scheme to Smuggle Drugs into Otero County PrisonRead the Press Release
ALBUQUERQUE – Luis Delgadillo, 39, of El Paso, Texas, was sentenced today in federal court in Las Cruces, N.M., to 40 months in prison followed by three years of supervised release for his participation in a conspiracy to distribute methamphetamine and heroin into the Otero County Prison Facility (OCPF) in Chaparral, N.M. Delgadillo was employed as a corrections officer at the OCPF when he committed the crime for which he was sentenced.
Delgadillo was one of six individuals charged in April 2014, in a criminal complaint with conspiracy to violate the federal narcotics laws by smuggling controlled substances into the OCPF. The other defendants charged with participating in the conspiracy were Anna Lopez, 26, of Albuquerque, N.M., Nancy Salas, 37, of Alamogordo, N.M., and three OCPF inmates, Eric Lovato, 32, of Boles Acres, N.M., and Armando Lopez, 29, and Gary Borja, 28, both of Albuquerque. All six defendants subsequently were indicted on Aug. 20, 2014, and charged with conspiracy to distribute methamphetamine and heroin from Dec. 2013 through April 26, 2014, in Otero County, N.M.
The FBI initiated an investigation into the case in Jan. 2014, after receiving information from the New Mexico Corrections Department showing that Delgadillo was smuggling heroin and methamphetamine into the OCPF. The investigation, which included a review of recorded inmate telephone calls and OCPF surveillance video, physical surveillance and the results of inmate drug testing, identified the six defendants as members of a conspiracy who smuggled narcotics into the OCPF between Jan. 2014 and April 2014.
On Nov. 19, 2014, Delgadillo entered a guilty plea and admitted participating in a conspiracy to smuggle drugs into the OCPF between Dec. 2013 and April 2014. Delgadillo admitted smuggling an ounce of methamphetamine into the OCPF in Dec. 2013; an ounce of heroin in Feb. 2014; and another ounce of heroin in April 2014. He also admitted that on April 26, 2014, he met with Ana Lopez and obtained 25 grams of methamphetamine, 11 grams of heroin and 10 suboxone pills from her. He was arrested before he was able to smuggle the drugs into the OCPF.
Delgadillo’s five co-defendants have entered guilty pleas to the indictment. On June 24, 2015, Lopez was sentenced to 30 months in federal prison followed by two years of supervised release. Sentencing hearings for the four remaining co-defendants have yet to be scheduled.
This case was investigated by the Las Cruces office of the FBI and the New Mexico Corrections Department and is being prosecuted by Assistant U.S. Attorney Mark A. Saltman of the U.S. Attorney’s Las Cruces Branch Office.
This case is being prosecuted pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative is a collaborative effort between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative.
Former Controller at Bowling Green Company Sentenced to 21 Months for Embezzling Nearly $240,000Read the Press Release
BOWLING GREEN, Ky. - The former controller of KY Express, LLC., located in Bowling Green, Kentucky, was sentenced in U.S. District Court today by U.S. District Judge Greg N. Stivers to 21 months in prison, followed by three years of supervised release and ordered to pay restitution in the amount of $238,935.64 announced U.S. Attorney John E. Kuhn, Jr. in custody
Almir Demirovic, 24, of Warren County, Kentucky, pleaded guilty to a nine count federal indictment on August 25, 2015. Demirovic was charged with nine counts of wire fraud related to a scheme to conceal his theft by creating unauthorized automated clearing house payments to himself that appeared similar in amount to other legitimate vendor payments. From January of 2013, until August of 2014, Demirovic admitted to making the unauthorized automated clearing house payments from the bank accounts of his employer, KY Express, LLC, at PNC Bank (payment processing center located in Pittsburgh, Pennsylvania) and BB&T Bank (payment processing center located in Wilson, North Carolina) to his personal bank account.
This case was prosecuted by Assistant United States Attorney Joshua Judd and was investigated by the Federal Bureau of Investigation (FBI).
Federal Grand Jury Charges Man Already Under Indictment with FraudRead the Press Release
PITTSBURGH – A Pittsburgh man has been indicted by a federal grand jury in Pittsburgh on charges of interstate stalking, wire fraud, aggravated identity theft and making false statements, United States Attorney David J. Hickton announced today.
The seven-count superseding indictment named Frederick H. Banks, 48, as the sole defendant.
According to the superseding indictment, Banks harassed an individual through telephone calls and a Craigslist posting. The superseding indictment also alleges that Banks defrauded Forex, a retail foreign exchange company, through a wire fraud and an aggravated identity theft scheme. Finally, the indictment alleges that Banks filed a false habeas corpus petition on behalf of a third party with the federal court.
The law provides for a maximum total sentence of 72 years in prison, a fine of $1,500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the superseding indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
El Paso Man Sentenced to 23 Years in Federal Prison for Production of Child PornographyRead the Press Release
In El Paso, 42–year-old Eric Flores was sentenced to 23 years in federal prison for production of child pornography announced United States Attorney Richard L. Durbin, Jr., and Federal Bureau of Investigation (FBI) Special Agent in Charge Douglas E. Lindquist, El Paso Division.
In addition to the prison term, United States District Judge Philip R. Martinez ordered that Flores be placed on supervised release for life after completing his prison term.
On October 21, 2015, Flores pleaded guilty to one count of production of child pornography. By pleading guilty, Flores admitted that on September 13, 2013, he produced visual depictions of a minor engaged in sexually explicit conduct.
Flores has remained in federal custody since his arrest by FBI agents on May 6, 2015.
“FBI El Paso is committed to serve our community, particularly those who cannot protect themselves, our children,” stated FBI Special Agent in Charge Douglas E. Lindquist.
This case was investigated by the FBI and prosecuted by Assistant U.S. Attorney Rifian Newaz.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the 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 exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Department of Justice Finds Leflore County, Mississippi, Juvenile Detention Center School Violated Individuals with Disabilities Education ActRead the Press Release
The Justice Department’s Civil Rights Division announced today that it has completed its investigation of special education services at the Leflore County, Mississippi, Juvenile Detention Center and found that the state of Mississippi violated the Individuals with Disabilities Education Act (IDEA) at the detention center school.
In the letter of findings sent to Mississippi Governor Phil Bryant and Mississippi Attorney General Jim Hood, the department concluded that the provision of special education services at the Detention Center school violated IDEA in three important respects: failing to identify, locate and evaluate children with disabilities; failing to promptly obtain Individualized Education Programs (IEP) from home schools; and depriving students with disabilities of a free appropriate public education (FAPE).
The Justice Department investigation found that the detention center school has failed to implement appropriate policies and procedures to identify, locate and evaluate children with disabilities for special education services. For instance, the detention center has no intake practices to ask children if they received special education services at their home school. And once children are in the detention center school, there are no procedures to observe and respond to student performance that may indicate a special education need.
According to the department’s investigation, the detention center school does not promptly obtain students’ IEPs when they are identified as requiring special education services upon arrival. As a result, students are denied special education services that they were entitled to because the detention center school’s records retrieval practices are inadequate.
The Justice Department’s investigation also found that the detention center school failed to provide a free appropriate public education for children with disabilities. Contrary to the requirements of the IDEA, the detention center school did not use a child’s IEP to drive instruction and often did not provide education services required in the IEP.
“Students with disabilities do not forfeit their rights to special education services simply because they are accused of or have committed juvenile offenses,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Agencies that are involved in the provision of special education of children in correctional facilities, such as the Mississippi Department of Education, must continue to ensure that students receive special education services even while incarcerated.”
“Incarceration for even a short time is a turbulent time in a child’s life, and appropriate special education services can be a stabilizing factor,” said U.S. Attorney Felicia C. Adams of the Northern District of Mississippi. “The Justice Department looks forward to continued cooperation with Mississippi to resolve these findings under mutually agreeable terms.”
The Justice Department began its comprehensive investigation of the conditions at the detention center in 2009. In March 2011, the department issued a findings letter identifying violations of children’s educational rights, as well as Constitutional violations related to safety and security. In June 2015, the U.S. District Court for the Northern District of Mississippi entered a consent decree between the United States and Leflore County that resolved the United States’ safety and security claims.
The findings letter the Justice Department issued today as to special education is directed to the state of Mississippi because it took over the Leflore County School system in 2013 and is therefore responsible for special education services at the detention center school. The department opened its investigation of Mississippi’s compliance with IDEA in 2014, and received full cooperation in this investigation from Mississippi and the staff at the detention center.
For more information about the Justice Department’s Civil Rights Division, please visit justice.gov/crt.
Leflore County Findings Letter
Darrel Salazar Arrested on Federal Attempted Bank Robbery ChargeRead the Press Release
ALBUQUERQUE – U.S. Attorney Damon P. Martinez, Special Agent in Charge Terry Wade of the FBI’s Albuquerque Division and Chief Gorden E. Eden, Jr., of the Albuquerque Police Department (APD) announced the arrest of Darrel Salazar, 47, of Albuquerque, N.M., on a criminal complaint charging him with attempted bank robbery.
Salazar was arrested this morning by the FBI and made his initial appearance in federal court earlier today. He remains in federal custody pending a preliminary hearing and a detention hearing, both of which are scheduled at 9:30 a.m. tomorrow morning.
According to the criminal complaint, on the afternoon of Jan. 11, 2016, Salazar attempted unsuccessfully to rob the branch of the Bank of America located at 3101 Carlisle Blvd. NE in Albuquerque. The criminal complaint alleges that shortly before 4:00 p.m., Salazar entered the bank where he allegedly passed a note demanding cash to a bank teller and brandished a firearm at the teller in an effort to rob the bank. Salazar allegedly left the bank without obtaining any cash and was apprehended shortly thereafter in the vicinity of a nearby convenience store by APD officers.
According to the criminal complaint, immediately before he was apprehended, Salazar was shot by an APD officer after Salazar allegedly pointed a firearm at APD officers. Thereafter Salazar was admitted to the University of New Mexico Hospital where he was treated for his injuries.
If convicted on the attempted bank robbery charge, Salazar faces up to 20 years in federal prison. Charges in criminal complaints are mere accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the Albuquerque office of the FBI and APD. Assistant U.S. Attorney David M. Walsh is prosecuting the case.
Salazar Complaint
Connecticut Medical Equipment Company Pays $600,000 to Settle False Claims Act AllegationsRead the Press Release
United States Attorney Deirdre M. Daly and Connecticut Attorney General George Jepsen today announced that J&L MEDICAL SERVICES, LLC (“J&L MEDICAL”) has entered into a civil settlement agreement with the federal and state governments in which it will pay $600,000 to resolve allegations that it violated the federal and state False Claims Acts.
J&L MEDICAL is a durable medical equipment company located in Middlebury, Connecticut. As part of its business, J&L MEDICAL provides Continuous Positive Airway Pressure (CPAP) and Bilevel Positive Airway Pressure (BiPAP) devices and accessories to Medicare and Medicaid beneficiaries who have been diagnosed with obstructive sleep apnea.
It is alleged that J&L MEDICAL regularly utilized the services of unlicensed technicians to provide respiratory therapy services to Medicare and Medicaid beneficiaries, including setting up CPAP and BiPAP machines, fitting the patients with the masks used with those machines, and educating the patients about the use of the machines.
Under Connecticut law, the practice of respiratory therapy is a licensed activity. It is alleged that the respiratory therapy services in question could only be legally performed by licensed respiratory therapists.
To resolve the allegations under the federal and state False Claims Acts, J&L MEDICAL has agreed to pay $600,000, which covers conduct occurring from January 1, 2008 through May 15, 2013.
As part of the settlement, J&L MEDICAL also agreed to implement a Compliance Program intended to prevent and/or detect fraud, waste, and abuse in claims submitted by the company to the Connecticut Medicaid program.
A complaint against J&L MEDICAL was filed in the U.S. District Court in Connecticut under the qui tam, or whistleblower, provisions of the both the federal and state False Claims Acts. The relator (whistleblower), John Hart, a former employee of J&L MEDICAL and a licensed respiratory therapist, will receive a share of the proceeds of the settlement in the amount of $102,000.
The whistleblower provisions of both the federal and state False Claims Acts provide that the whistleblower is entitled to receive a percentage of the proceeds of any judgment or settlement recovered by the government.
“Health care providers must utilize properly licensed individuals to treat Medicare and Medicaid patients, and the failure to do will have serious consequences,” stated U.S. Attorney Daly. “The U.S. Attorney’s office is committed to vigorously pursuing health care providers who submit false or fraudulent claims to federal health care programs.”
“My office is committed to protecting Connecticut’s healthcare programs – as well as the taxpayers who fund them – from fraud,” said Attorney General Jepsen. “By bringing state False Claims Act cases such as this, we recover funds obtained through fraud and deter others from attempting similar schemes. I appreciate the continued coordination with our state and federal law enforcement partners to ensure that our most vulnerable citizens and our taxpayer interests are protected.”
This matter was investigated by the Office of Inspector General for the Department of Health and Human Services and the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Richard M. Molot and Auditor Kevin Saunders, and by Assistant Attorney General Robert B. Teitelman, and Forensic Fraud Examiners Larry Marini and David Bouchard, of the Connecticut Office of the Attorney General.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS or the Health Care Fraud Task Force at (203) 777-6311.
Charleston felon sentenced for Federal gun crimeRead the Press Release
CHARLESTON, W.Va. – A Charleston man was sentenced today in federal court to a year and six months in prison for being a felon in possession of a firearm, announced Acting United States Attorney Carol Casto. John Stanley Ford, 25, previously pleaded guilty to the federal gun crime in October of 2015.
Ford admitted that on February 26, 2014, he possessed a Smith & Wesson .40 caliber pistol that he threw in the bushes when officers with the Charleston Police Department approached him. The West Virginia State Police Forensic Laboratory tested the firearm and found Ford’s DNA on the gun. Ford was prohibited under federal law from possessing any firearm because of a 2011 felony conviction in Kanawha County Circuit Court for wanton endangerment.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Charleston Police Department. Assistant United States Attorney Haley Bunn handled the prosecution. The sentence was imposed by United States District Judge John T. Copenhaver, Jr.
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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Cecil County Man Pleads Guilty to Distribution of Child PornographyRead the Press Release
Baltimore, Maryland –James J. Stanley, age 29, of Rising Sun, Maryland, pleaded guilty today to distribution of child pornography. As part of his plea, Stanley also admitted to the attempted sexual exploitation of a minor.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Chief F.D. “Chip” Peterson, Jr. of the Rising Sun Police Department; and Cecil County State’s Attorney Ellis Rollins.
According to his plea agreement, Stanley used a website that hosts anonymous, randomized, one-to-one video and text chat. The website allows users to seek chat partners without creating an account or providing any identifying information, and markets itself as an opportunity for users to “Talk to strangers!” The website allows users to engage in text-based chat sessions with or without accompanying video from the user’s webcam. On October 20, 2014, while Stanley was participating in a video chat session on the website he used his webcam to display an image documenting the sexual abuse of a prepubescent girl, which was stored on his computer or other digital storage media.
Stanley also admitted that prior to January 14, 2015, he placed a digital recording device in a shower that he knew would be used by a minor female (Girl1), with the intent to create video recordings of Girl 1 engaged in sexually explicit conduct. Between November 14, 2014 and January 14, 2015, Stanley saved a video file to his computer that depicted Girl 1 taking a shower. Girl 1’s genital area is not visible in the video. Stanley stated that he used his mobile phone to record Girl 1 showering on approximately 10 occasions, although other videos of Girl 1 were not recovered.
As part of his plea agreement, Stanley must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
Stanley and the government have agreed that if the Court accepts the plea agreement Stanley will be sentenced to between 10 and 20 years in prison, followed by a lifetime of supervised release. U.S. District Judge George L. Russell III has scheduled sentencing for April 8, 2016 at 11:00 a.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended the HSI Baltimore, the Maryland State Police, Rising Sun Police Department, and the Cecil County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorney Zachary A. Myers, who is prosecuting the case.
Caribou Man Pleads Guilty to Bath Salts Distribution ConspiracyRead the Press Release
Contact: Andrew McCormack
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Dustin Giles, 30, of Caribou, Maine, pleaded guilty today in U.S. District Court to conspiracy to possess with intent to distribute and to distribute bath salts.
According to court records, between about January 2012 and June 2014, Giles conspired with others in Aroostook County to obtain bath salts overseas via the internet and distribute it. Specifically, Giles was supplied with bath salts by another member of the conspiracy and distributed it to multiple customers.
The defendant faces up to 20 year in prison and a $1,000,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The case was investigated by the U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency with assistance from the Aroostook County Sheriff’s Department and the U.S. Postal Inspection Service.
Carbondale Man Pleads Guilty to Receiving Child PornographyRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 27-year-old Carbondale man pleaded guilty today before U.S. Magistrate Judge Karoline Mehalchick to using a computer to download child pornography from an internet website.
According to United States Attorney Peter Smith, the defendant, Edward Jeter, admitted to committing the offense between November 2014 and August 2015. Agents found more than 90 videos and more than 2,100 images of child pornography on Jeter’s computer, including images of children between the ages of 3 and 14.
Jeter was charged in a Criminal Information filed in November 2015, as a result of a nationwide investigation by the Federal Bureau of Investigation.
Judge Mehalchick ordered a pre-sentence investigation to be completed. Senior U.S. District Court Judge Richard P. Conaboy will schedule a date for sentence. Jeter faces a mandatory minimum sentence of five years in prison and a potential maximum sentence of 20 years in prison.
Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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.
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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Canadian Youth Soccer Coach Pleads Guilty to Sex Crime for Seeking Sex with Person he Believed was 12-Year-Old GirlRead the Press Release
A 47-year-old man from Surrey, British Columbia pleaded guilty today in U.S. District Court in Seattle to a federal sex crime, announced U.S. Attorney Annette L. Hayes. KULDIP “KELLY” SINGH MAHAL was arrested in February 2015 at a park in Burlington, Washington, where he was expecting to meet a 12-year-old girl whom he believed he had enticed into having sexual contact with him. MAHAL believed he had been corresponding with a 12-year-old girl, but in fact he sent multiple sexually explicit messages and photos to an undercover agent with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI). Under the terms of the plea agreement both sides will recommend a sentence between 78 and 108 months in prison, but U.S. District Judge Robert S. Lasnik is not bound by those recommendations and can impose any sentence up the maximum of 30 years in prison. Sentencing is scheduled for April 1, 2016.
According to the plea agreement and other records filed in the case, MAHAL responded to a posting on the internet in January 2015. MAHAL sent a picture of his arms and upper body, and expressed interest in a sexual relationship. MAHAL continued to communicate with the undercover agent even after the agent claimed she was 12-years-old. In fact MAHAL sent sexually explicit photos of himself and repeatedly requested the “girl” send sexually explicit photos of herself back to him. MAHAL engaged in lengthy sexualized chats via text message with the “girl.” MAHAL crossed the border from Canada into the U.S. at Blaine, Washington and was arrested at the park where he thought he was going to meet the “girl” and have sex.
MAHAL was employed as a facilities manager for a Vancouver, BC tech firm and was a volunteer coach for a U-16 soccer team in British Columbia.
Under the terms of the plea agreement, MAHAL will undergo a psycho-sexual evaluation before sentencing. Based on the results prosecutors could recommend up to lifetime supervision for MAHAL. MAHAL will also be required to register as a sex offender.
The case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) and is being prosecuted by Assistant United States Attorney Kate Vaughan.
Buffalo Man Pleads Guilty to Bank RobberiesRead 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 Kenneth Dykes, 50, of Buffalo, NY, pleaded guilty to bank robbery before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison, a fine of $250,000, or both.Assistant U.S. Attorney Caleb J. Petzoldt, who is handling the case, stated that the defendant robbed three separate locations of M&T Bank: on January 14, 2015 on Seneca Street in Buffalo; on January 15, 2015 on Lake Avenue in Blasdell, NY; and on January 20, 2015 on Niagara Falls Boulevard in Amherst, NY. During each robbery, Dykes verbally demanded money from a teller. On two occasions, the defendant led the teller to believe he had a firearm.
The plea is the culmination of an investigation by the Federal Bureau of Investigation, under the direction of Adam S. Cohen, Special Agent in Charge, the Buffalo Police Department, under the direction of Commissioner Daniel Derenda, the Amherst Police Department, under the direction Chief John Askey and the Village of Blasdell Police Department, under the direction of Officer in Charge Lieutenant Joseph Gramaglia.
Sentencing is scheduled for April 18, 2016, at 12:00 p.m. before Judge Arcara.Buffalo Man Arrested, Charged with Drug OffensesRead 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 Dellsean Hamilton, 26, of Buffalo, NY, was arrested and charged by criminal complaint with possession with intent to distribute, and distribution of, heroin. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.Assistant U.S. Attorney Timothy C. Lynch, who is handling the case, stated that according to the complaint, on March 25, 2015, Cheektowaga Police officers recovered bundles of heroin following a traffic stop of a vehicle that the defendant was riding in. Analysis determined that some of the heroin contained fentanyl.
Subsequent investigation determined that Hamilton was a large volume heroin supplier in Buffalo and the surrounding area. The investigation included multiple undercover purchases from the defendant. On three separate occasions, December 11, 18 and 23, 2015, a confidential source purchased a quantity of heroin from Hamilton. Search warrants executed at residences at 1150 East Lovejoy Street and 2008 Bailey Avenue in Buffalo recovered a firearm and drug packaging materials and a scale.
The defendant made an initial appearance this morning before U.S. Magistrate Judge H. Kenneth Schroeder and was detained.
The criminal complaint is the culmination of an investigation by the Cheektowaga Police Department, under the direction of Chief David Zack, the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard, and the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division.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.
Arizona Man Sentenced to Federal Prison for Violating Federal Narcotics Trafficking Laws in New MexicoRead the Press Release
ALBUQUERQUE – Jorge Antonio Rangel, 36, of Phoenix, Ariz., was sentenced today in federal court in Las Cruces, N.M., to 63 months in prison for his narcotics trafficking conviction. Rangel will be on supervised release for four years following his incarceration.
Rangel was arrested in Nov. 2014, and charged by criminal complaint with possession of heroin and methamphetamine with intent to distribute to Oct. 23, 2014, in Hidalgo County, N.M. According to the complaint, on Oct. 23, 2014, law enforcement officers executed a search warrant on Rangel’s vehicle and seized approximately four pounds of methamphetamine and two ounces of heroin. Rangel was subsequently indicted on the same charges on March 18, 2015.
On June 24, 2015, Rangel pled guilty to a felony information charging him with possession of methamphetamine and heroin with intent to distribute. In entering the guilty plea, Rangel admitted that on Oct. 23, 2014, he was stopped by law enforcement officers for speeding in Lordsburg, N.M., and during a search of his vehicle pursuant to a search warrant, the officers found approximately 4 pounds of methamphetamine and two ounces of heroin. Rangel admitted that he intended to deliver the methamphetamine and heroin to another person.
This case was investigated by Homeland Security Investigations and the Lordsburg Police Department. Assistant U.S. Attorney Anna R. Wright of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
This case is being prosecuted pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative is a collaborative effort between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative.
Ambulance Company Owner Pleads Guilty to Health Care FraudRead the Press Release
CINCINNATI – Terry Johnson, 42, of Hamilton Ohio, pleaded guilty in U.S. District Court to one count of health care fraud and one count of money laundering.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Guy A. Ficco, Acting Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office, Lamont Pugh, Special Agent in Charge, Health and Human Services Office of Inspector General (HHS-OIG) and Ohio Attorney General Mike DeWine announced the plea entered into today before U.S. District Judge Michael R. Barrett.
According to court documents, Johnson is the owner and operator of Community Angels Ambulance Service, LLC, which provided medical transportation to dialysis patients from at least 2007 through 2012. He also operated the ambulance company Starlite Transportation.
For approximately seven years, Johnson fraudulently billed Medicare and Medicaid for ambulance and ambulette transports. Approximately $1.1 million was fraudulently billed to Medicare for Community Angels. The loss to Medicaid from both companies totaled more than $356,000.
“Honest and law abiding citizens are fed up with the likes of those who use deceit and fraud to line their pockets with government program money," said Guy A. Ficco, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. "Those individuals who engage in this type of health care fraud should know they will not go undetected and will be held accountable."
Health care fraud and money laundering are each crimes punishable by up to 10 years in prison.
U.S. Attorney Stewart commended the cooperative investigation by the IRS, HHS-OIG and the Ohio Attorney General’s Medicaid Fraud Unit, as well as Assistant United States Attorney Timothy Mangan, who is representing the United States in this case.
Alameda Real Estate Developer and Its President Plead Guilty to Securities Fraud and Wildlife ViolationsRead the Press Release
OAKLAND- An Alameda County development company, Wildlife Management, LLC, and its President, James Tong, pleaded guilty to crimes related to the illegal submission to the City of Dublin of a forged payment receipt, announced Acting U.S. Attorney Brian J. Stretch and U.S. Fish and Wildlife Service Special Agent in Charge Jill Birchell. The two plea agreements relate to charges that the defendants, after submitting the forged document, illegally caused a residential development site to be graded while sediment flowed off-site into a pond which was habitat for the California Tiger Salamander, a species protected under the Endangered Species Act. If accepted by the court, the plea agreements will result in a global resolution of state and federal criminal charges pending against the defendants that will result in a $1 million payment for restitution and a conservation easement on 107 acres of land in Contra Costa County.
Wildlife Management, LLC, based in Dublin, California, financed and developed residential and commercial real estate projects in the East Bay. Real estate developers like Wildlife Management are required to mitigate for the loss of threatened or endangered species or its habitats when a project impacts a protected species or its habitat. According to the plea agreement, during the development of the Dublin Ranch North real estate project in Dublin, Calif., a person acting on behalf of Wildlife Management submitted to the City of Dublin a forged $3.2 million mitigation receipt from the Ohlone Preserve Conservation Bank with the intent to deceive the City into believing Wildlife Management had purchased mitigation credits when it had not. Wildlife Management pleaded guilty to securities fraud, in violation of 18 U.S.C. § 513(a). In connection with the plea, Wildlife Management would pay $175,000 in restitution to resolve the federal case. The restitution would be paid to the National Fish and Wildlife Foundation, a non-profit organization established by Congress to administer such funds.
Tong, 70, of Pleasanton, Calif., and President of Wildlife Management, pleaded guilty to a criminal violation of the Endangered Species Act. In connection with the plea, Tong admitted he directed the grading activities at Dublin Ranch North without the City’s required mitigation measure and without authorization from wildlife officials. The grading activities caused sediment to run off into a pond on the adjoining property which provided habitat for the California Tiger Salamander. In the federal case, Tong was charged with one count of violating the Endangered Species Act, in violation of 16 U.S.C. §§ 1538(a)(1)(G) and 1540(b)(1). Tong also pleaded nolo contendere to a criminal forgery charge pending against him in state court. To resolve both the federal and state criminal cases, Tong has agreed to pay $350,000 to the Alameda County Fish and Game Commission, $175,000 to the Contra Costa County Fish and Wildlife Propagation Fund, and $300,000 to the California Department Fish and Wildlife. The funds paid to the California Department of Fish and Wildlife would be split equally between the Pollution Account and the Preservation Fund. If the plea agreement is accepted by the court, Tong also will provide a conservation easement on a 107-acre parcel of land in Contra Costa known as the Brown Ranch that provides habitat for endangered species. The value of the easement is estimated to be $3 million and it would prohibit any future owners from developing the property. In addition, Tong put $330,000 into an account to help manage the Brown Ranch.
The guilty pleas were received by United States District Judge Jon S. Tigar on January 8, 2016. Sentencing for Tong and Wildlife Management is scheduled to take place before Judge Tigar in Oakland on March 11, 2016, at 9:30 a.m.
Assistant U.S. Attorney Maureen Bessette is prosecuting the federal case with the assistance of Vanessa Quant. Deputy Attorney General Jason Malinsky prosecuted the state case. The prosecution was the result of an investigation by the California Department of Fish and Wildlife and the U.S. Fish & Wildlife Service.
Acoma Pueblo Man Sentenced to 97 Months for Voluntary Manslaughter ConvictionRead the Press Release
ALBUQUERQUE – Arthur L. Garcia, 24, an enrolled member and resident of Acoma Pueblo, N.M., was sentenced this morning in federal court in Albuquerque, N.M., to 97 months in prison followed by three years of supervised release for his voluntary manslaughter conviction.
Garcia was arrested in May 2014, and charged in a criminal complaint with killing a non-Native man in Indian Country in Cibola County, N.M., on May 8, 2014. The crime occurred during an argument between Garcia and the victim while the two men were drinking alcoholic beverages. The argument escalated into a physical altercation between the two men during which Garcia threw a ten-pound weight at the victim, hitting him in the head. Garcia then got on top of the victim and threw the weight down onto the victim’s face. Garcia was subsequently indicted on a second degree murder charge on May 21, 2014.
On March 27, 2015, Garcia pled guilty to a felony information charging him with voluntary manslaughter. In entering his guilty plea, Garcia admitted that on May 8, 2014, he killed the victim by striking him with a ten pound weight with the intention of causing him to suffer serious bodily injury. Garcia also admitted that his actions resulted in the victim’s death and that he committed the crime on the Acoma Pueblo Indian Reservation.
This case was investigated by the Albuquerque office of the FBI, the Laguna/Acoma Agency of the BIA’s Office of Justice Services and the Pueblo of Acoma Tribal Police Department. Assistant U.S. Attorney Niki Tapia-Brito prosecuted the case.
11 January 2016
Wellington Man Charged with Credit Card FraudRead the Press Release
A Palm Beach County resident is charged with using unauthorized personal identification information to facilitate a credit card fraud scheme.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, and Delany De-Leon Colon, Inspector in Charge, United States Postal Inspection Service, Miami Division, made the announcement.
Kesner Joaseus, 46, of Wellington, FL, was charged by criminal complaint with aggravated identity theft, access device fraud, and bank fraud, in violation of Title 18, United States Code, Sections 1028A, 1029(a)(2) and 1344 (Case No. 15-CR-8006). If convicted, Joaseus faces up to 30 years in prison and up to $1 million in fines on the bank fraud charge, up to 10 years in prison and $250,000 in fines on the access device fraud charge, and two years in prison on the aggravated identity theft charge, to run consecutively to any other sentence imposed.
According to the criminal complaint, Joaseus used the personal identifiers, including the date of birth and Social Security number, of several victims to fraudulently obtain credit cards and then used the unauthorized cards to purchase merchandise and withdraw cash at various locations in Palm Beach County and elsewhere. The unauthorized merchandise purchases included two Mercedes-Benz automobiles. The total fraud loss resulting from the fraudulent scheme is estimated at over $260,000.
Mr. Ferrer commended the investigative efforts of the USPIS. This case is being prosecuted by Assistant U.S. Attorney Lauren Jorgensen.
A complaint is only an accusation and a defendant is presumed innocent until proven guilty.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
WV man convicted of role in animal fighting operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Steven Curtis Jennings, 54, of Kearneysville, West Virginia, was convicted today of unlawful possession of animals for the purpose of engaging in animal fighting, United States Attorney William J. Ihlenfeld, II, announced.
In June 2015, Jennings was discovered in possession of multiple dogs for the purpose of participating in an animal fighting venture. He pled guilty today to one count of “Possession of Animal for Participation in Animal Fighting Venture.” He faces up to five years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Paul Camilletti prosecuted the case on behalf of the government. The Jefferson County, West Virginia Sheriff’s Department investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
United States Citizen Indicted for Supporting and Receiving Military Training from Al ShabaabRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, John P. Carlin, Assistant Attorney General for National Security, Diego Rodriguez, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and William J. Bratton, the Commissioner of the New York City Police Department (“NYPD”), announced today the indictment of MAALIK ALIM JONES based upon his alleged support of al Shabaab, a designated Foreign Terrorist Organization based in Somalia that is allied with al Qaeda. JONES, a United States citizen, was presented before Chief U.S. Magistrate Judge Frank Maas on December 19, 2015, pursuant to a Criminal Complaint. The case is assigned to U.S. District Judge Paul G. Gardephe.
Manhattan U.S. Attorney Preet Bharara said: “As alleged, Maalik Alim Jones traveled to Somalia, received military training from al Shabaab, and took up arms as a terrorist fighter with an organization that has declared the United States a target. Now, as ever, we are determined to protect the people of this country from the murderous designs of terrorist organizations. Having allegedly sworn allegiance to al Shabaab, a terrorist organization bent on destroying America, Maalik Jones will now face American justice in a Manhattan federal court.”
Assistant Attorney General John P. Carlin said: “Maalik Alim Jones was charged with providing material support to al Shabaab and receiving training from the terrorist organization. The National Security Division’s highest priority is counterterrorism and we will continue to hold accountable those who seek to provide material support to terrorists.”
FBI Assistant Director-in-Charge Diego Rodriguez said: “This case highlights the international nature of terrorism and the criminal actions taken in pursuit of attacks against others. As alleged herein, Maalik Alim Jones, from Maryland, joined a terrorist organization in Somalia, traveled from New York to Kenya, through Morocco and the UAE, where he was trained to kill and destroy communities. Recently he was caught trying to get to Yemen. We applaud the thorough investigation by the agents and task force officers on FBI’s JTTF, who were able to identify his activities, stop his plans, and bring him here to face the U.S. justice system.”
Commissioner William J. Bratton said: “As alleged, Jones traveled to Somalia to fight on behalf of al Shabaab, learning to fire an AK-47 and rocket propelled grenade. He then used this training to attack the Kenyan government, fighting on behalf of this terrorist organization. The work by detectives and agents of the New York Joint Terrorism Task Force should be commended, and the prosecutors of the Southern District of New York whose efforts led to this indictment.”
According to the allegations in the Indictment, and the Complaint[1] that was unsealed in Manhattan federal court:
In February 2008, the U.S. Department of State designated al Shabaab as a Foreign Terrorist Organization. Al Shabaab has used violent means to, among other things, destabilize the government of Somalia, quell the Somali population, and force the withdrawal of foreign troops in Somalia. A former leader of al Shabaab, whose exhortations were echoed by the leadership of al Qaeda, called for foreign fighters to join al Shabaab in a “holy war” in Somalia. As a result of al Shabaab’s recruitment efforts, men from other countries – including the U.S. – have traveled to Somalia to engage in violent jihad. Since al Shabaab’s designation as a Foreign Terrorist Organization in February 2008, it has made several public statements demonstrating its intent to harm U.S. interests. In February 2012, the then-Emir of al Shabaab swore allegiance to Ayman al-Zawahiri, the Emir of al Qaeda, stating that al Shabaab “will hereby merge into al Qa’ida.”
Al Shabaab also maintains a specialized fighting force, known as Jaysh Ayman, that is responsible for carrying out commando-style attacks and cross-border raids in which fighters, among other things, travel across the land border between Somalia and Kenya to target individuals and carry out attacks against civilian and military targets in Kenya.
In or about July 2011, JONES traveled via commercial aircraft from New York to Kenya, with stopovers in Morocco and the United Arab Emirates. After arriving in Kenya, JONES traveled by land from Kenya to Somalia, where he trained, worked, and fought with al Shabaab in Somalia. Among other things, JONES received military training at an al Shabaab training camp, where he learned to operate an AK-47 assault rifle and rocket-propelled grenades. JONES also became a member of al Shabaab’s Jaysh Ayman, and participated in combat against soldiers of the Kenyan government on behalf of al Shabaab.
JONES has appeared with other al Shabaab fighters in at least two videos that were recovered from an al Shabaab fighter. In one of the videos, JONES possessed a firearm, and is seen with several al Shabaab fighters who participated in a June 14, 2015, attack on a Kenyan Defense Force base in Lamu County, Kenya, during which two Kenyan soldiers were killed.
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JONES, 31, of Maryland, is charged with five counts: (1) conspiracy to provide material support to al Shabaab; (2) providing, and attempting to provide, material support to al Shabaab; (3) conspiracy to receive military-type training from al Shabaab; (4) receipt of military-type training from al Shabaab; and (5) possessing, carrying, and using firearms during and in relation to a crime of violence. If convicted, JONES faces a maximum sentence of life in prison on the charges. In addition, Count Five carries a mandatory minimum sentence of 30 years in prison. The minimum and maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the Court.
Mr. Bharara praised the investigative work of the FBI’s New York Joint Terrorism Task Force – which principally consists of agents from the FBI and detectives from the New York City Police Department. He also expressed gratitude to the U.S. Department of Justice’s National Security Division and Office of International Affairs, and the U.S. Department of State, for their assistance.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant United States Attorneys Sean S. Buckley and Andrew J. DeFilippis, and National Security Division Trial Attorney Josh Parecki, are in charge of the prosecution.
The charges contained in the Indictment and Complaint are merely accusations and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the texts of the Indictment and the Complaint and the description of the Indictment and Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Un Hombre de Los Angeles Acusado Legalmente de Dirigir una Estafa Multimilloniaria en las Aperturas de Juicios de Rescates Hipotecarios en Visalia y SalinasRead the Press Release
FRESNO, Calif. – Un escrito de acusación se ha abierto hoy, acusando legalmente a un hombre de Los Ángeles de estar involucrado en una trama que estafaba a propietarios de viviendas que se encontraban en procesos de aperturas de juicios hipotecarios, anunció el Procurador de los Estados Unidos Benjamín B. Wagner.
El 31 de diciembre de 2015 un gran jurado federal dictó un escrito de acusación acusando legalmente a Martin Calzada, de 28 años de edad, y residente de Los Ángeles de conspirar a cometer fraude de correo y fraude de correo.
Según documentos del tribunal, entre agosto de 2010 y octubre de 2011, Calzada y otros empleados de la empresa Star Reliable Mortgage, que tenía oficinas en Bakersfield, Visalia y Salinas se dirigían a propietarios de viviendas afligidos con una estafa fraudulenta para “eliminar préstamos.” Star Reliable cobraba a sus clientes de entrada una cuota que oscilaba entre los $2,500 y los $4,500 dólares – como también cuotas mensuales, basándose en la promesa falsa de que los clientes podrían ver sus viviendas liberadas “de toda deuda” como resultado de los servicios prestados de Star Reliable. Para fomentar aún más la estafa, Calzada y otros empleados presentaban documentos fraudulentos en las oficinas de registros de propiedad del condado de parte de los propietarios-clientes en los que se pretendía reemplazar a los administradores legítimos de las propiedades con compañías fiduciarias ficticias asociadas con Calzada y Star Reliable; todo en un intento de “opacar el título” e impedir o atrasar el proceso judicial hipotecario. Además, Calzada y otros empleados que trabajaban bajo su dirección, dijeron a sus clientes que dejaran de pagar sus hipotecas. También expresaron falsamente que cada cliente tenía un millón de dólares en una cuenta del gobierno de los Estados Unidos que podía ser utilizada para terminar de pagar las hipotecas de cada uno de los propietarios.
En lugar de liberar “de toda deuda” sus viviendas, muchos de los clientes de Star Reliable perdieron sus viviendas en juicios hipotecarios. La estafa ocasionó que más de 100 propietarios-clientes pagaran aproximadamente $875, 000 dólares a Star Reliable y que las entidades de crédito perdieran más de $4 millones de dólares. Por lo menos unos $270,000 dólares del dinero pagado a Star Reliable por los propietarios-clientes fueron canalizados de vuelta a Calzada.
Este caso es el producto de una investigación llevada a cabo por la Oficina Federal de Investigaciones (FBI) y la Oficina del Fiscal del Distrito del Condado de Tulare. El Procurador Federal Auxiliar Patrick R. Delahunty está procesando el caso.
Si es declarado culpable, Calzada se enfrentaría a una pena máxima establecida por la ley de 30 años de prisión y una multa de $1 millón de dólares. Sin embargo, cualquier sentencia sería determinada a la discreción del tribunal después de considerar cualquier factor aplicable establecido por la ley y por las Normas para Sentenciar Federales. Los cargos son solo alegaciones; el demandado es presunto inocente hasta y a menos que sea comprobado culpable sin duda razonable.