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12 November 2015
Baltimore Man Sentenced to 15 Years in Prison for Armed Robbery ConspiracyRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Antwan Travers, age 45, of Baltimore, Maryland, today to 15 years in prison, followed by three years of supervised release for charges arising from his participation in a conspiracy to commit three armed robberies of commercial establishments. Judge Bennett also entered an order requiring Travers to pay restitution of $6,000.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Commissioner Kevin Davis of the Baltimore Police Department; Baltimore County State’s Attorney Scott Shellenberger; and Baltimore City State’s Attorney Marilyn J. Mosby.
According to Travers’ plea agreement, in March 2014, Travers and co-defendant Darryl Green planned to commit an armed robbery at a pharmacy located in the 6600 block of Security Boulevard in Baltimore. According to his plea agreement, on March 19, 2014, Travers drove Green to the store and waited outside as the getaway driver. Green entered the store and asked an employee about medication for pink eye. At the time, the employee was holding her two-month old baby. The employee’s husband was also in the store. Green pointed a long-barreled BB pistol at the employee and her baby and said, “I’m going to kill the baby.” He then ordered the employee to move towards the cash register. The employee and her husband activated a loud panic alarm, and Green fled the store. Travers drove Green away from the pharmacy.
Travers admitted that he and Green attempted to rob a grocery store on March 27, 2014. Travers drove Green to the supermarket. Green entered the store and asked a store employee about purchasing a Keno card. Green then pointed a handgun at the employee and demanded money from the register. Green said, “You better make it quick or I’m going to shoot you.” Travers drove away before Green could escape. Green attempted to run away, but he was quickly caught by members of the Baltimore County Police Department. Officers found the gun that Green had used during the robbery, a loaded .380 caliber handgun with an obliterated serial number, near the location where Green was arrested. Officers also found the stolen money, about $5,000, in a plastic bag.
Travers also admitted that he was the getaway driver in the February 16, 2014 robbery of a store in the 6600 block of Security Boulevard. In that robbery, Travers drove an unknown male to the store. The man brandished a firearm and demanded that the store employee empty the cash register and the safe. The man stole approximately $6,000.
Darryl Green, age 48, of Baltimore, previously pleaded guilty to his role in the robberies and was sentenced on 12 years in prison.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, Baltimore City Police Department and the Baltimore City and Baltimore County State’s Attorney’s Offices for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg and Joshua Ferrentino, who prosecuted the case.
Audubon County Resident Sentenced to 70 Months in Prison for Conspiracy to Distribute MethamphetamineRead the Press Release
COUNCIL BLUFFS, IA- On November 10, 2015, Randy Mark Heinrichs, age 50, of Exira, Iowa, was sentenced by Chief United States District Court Judge John A. Jarvey to 70 months in prison for conspiring to distribute methamphetamine, announced United States Attorney Nicholas A. Klinefeldt. Heinrichs also will be required to serve a three-year term of supervised release following his release from imprisonment.
On August 6, 2015, Heinrichs pleaded guilty to this charge and admitted that he participated in a conspiracy to distribute methamphetamine in the Southern District of Iowa beginning as early as June 2004 and continuing through August 2004. The charge was the result of an investigation by law enforcement of drug trafficking that occurred in both Omaha, Nebraska, and Exira, Iowa.
The investigation was conducted by the Iowa Department of Public Safety, Division of Narcotics Enforcement, and the United States Drug Enforcement Administration. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Attorney Pleads Guilty to Traveling from Oklahoma City to Peru to Engage in Sex with Girl Under 18Read the Press Release
Oklahoma City, Oklahoma – Today, MICHAEL DEAN BILLINGS, 60, an attorney from Oklahoma City, pled guilty to traveling from Oklahoma City to Iquitos, Peru, between January 1, 2011 and February 21, 2013, to engage in illicit sexual conduct with a Peruvian girl under 18 years of age, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma.
Billings was indicted on October 22, 2014. Today, he pled guilty to traveling internationally from Oklahoma City to Iquitos, Peru, from January 1, 2011 through February 21, 2013, to engage in illicit sexual conduct with a Peruvian girl under 18 years of age. Reference is made to the court record for further information.
At sentencing, Billings faces up to 30 years in prison, a $250,000 fine, and registration as a sex offender for life. He was immediately remanded into custody of the United States Marshal pending sentencing. A sentencing hearing will be set by the Court in approximately 90 days.
This case is the result of an investigation by the Federal Bureau of Investigation and the Peruvian National Police. The case is being prosecuted by Assistant U.S. Attorneys Robert Don Gifford, II, and David Petermann.
Another Man Sentenced for Motion Picture Tax Credit ScamRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced that GEORGE M. KOSTUCH, age 46, was sentenced today by U.S. District Judge Shelly D. Dick to serve a 3-year term of probation and ordered to pay $161,850 in restitution to the State of Louisiana.
KOSTUCH previously pled guilty to one count of wire fraud in connection with a scheme to defraud the State of Louisiana’s Motion Picture Industry Development Tax Credit Program (“Tax Credit Program”). KOSTUCH owned and was associated with two film production companies and obtained tax credits for an episodic game show series focused on sports trivia. At his guilty plea, KOSTUCH admitted that, from June 2010 through March 2011, KOSTUCH used his control over companies in the industry to cause fraudulent checks to be issued and delivered, totaling $539,000, for production expenses that had not actually been incurred. These fraudulent checks made it appear as though KOSTUCH and others with whom he was involved incurred $539,000 in eligible production expenses, which ultimately caused the Louisiana Economic Development Office (“LED”) to issue a certified tax credit in the amount of $161,850. KOSTUCH and others received the benefit of the tax credit knowing that it had been obtained through false representations.
This investigation was conducted by the Federal Bureau of Investigation and the Louisiana Inspector General’s Office. The matter is being prosecuted by Assistant United States Attorney Frederick A. Menner, Jr.
Alabama Resident and U.S. Postal Worker Pleads Guilty for Involvement in Stolen Identity Tax Refund Fraud RingRead the Press Release
Stole Identities of Individuals on Her Mail Route for Use in Filing False Tax Returns
An Alabama resident and U.S. Postal Service (USPS) employee pleaded guilty today in the U.S. District Court for the Middle District of Alabama to conspiring to defraud the United States with respect to false claims, aggravated identity theft and embezzling mail, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and U.S. Attorney George L. Beck Jr. of the Middle District of Alabama announced.
According to court documents, between June 2012 and December 2013, Elizabeth Grant, 42, of Seale, Alabama, conspired with others to obtain fraudulent tax refunds by filing false federal income tax returns using stolen identities. For a fee, Grant provided co-conspirators with addresses along her mail delivery route to use in filing false tax returns. Grant then retrieved the fraudulent tax refund checks from the mail and delivered the checks to her co-conspirators. The scheme resulted in the filing of more than 700 false returns claiming more than $1.5 million in refunds.
Several co-conspirators, including Tracy Mitchell and Keshia Lanier, have already pleaded guilty and were sentenced for their roles in this scheme. On August 7, Mitchell was sentenced to 159 months in prison. On September 25, Lanier was sentenced to 180 months in prison.
Grant faces a statutory maximum sentence of 10 years in prison and a $250,000 fine for the conspiracy count and five years in prison and a $250,000 fine for the count of embezzling mail. Grant also faces a mandatory minimum sentence of two years in prison for aggravated identity theft, which is in addition to the sentence she receives for the other counts, as well as a potential $125,000 fine.
Acting Assistant Attorney General Ciraolo and U.S. Attorney Beck Jr. commended special agents of IRS-Criminal Investigation and the USPS Office of the Inspector General, who investigated the case and Trial Attorneys Michael C. Boteler, Gregory Bailey and Robert J. Boudreau of the Tax Division and Assistant U. S. Attorney Jonathan Ross of the Middle District of Alabama, who are prosecuting this case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Alabama Man Sentenced for Possession and Transportation of Stolen FirearmsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that BRITTEN PARSONS, age 22, of Huntsville, Alabama, was sentenced today after having previously pled guilty to conspiracy to possess and transport stolen firearms in interstate commerce and transportation of stolen firearms in interstate commerce.
U.S. District Judge Jane Triche Milazzo sentenced PARSONS to 37 months of incarceration, to be followed by 3 years of supervised release.
According to court documents, in January and February 2013, PARSONS, BRITTANY BAUER and ALEX BRASINGTON transported nine stolen firearms in interstate commerce, from Alabama to Louisiana. The investigation revealed that the firearms had been stolen during residence burglaries in Huntsville, Alabama. On February 14, 2013, agents conducted a search of BAUER’s New Orleans apartment and found five stolen firearms and approximately 1700 rounds of ammunition. Court documents reflect that agents also recovered four stolen firearms and ammunition that PARSONS, BAUER and BRASINGTON sold to individuals in New Orleans. PARSONS had previously been found in possession of a stolen firearm on January 31, 2013.
PARSONS’ co-defendants have previously been sentenced. ALEX BRASINGTON was sentenced to 33 months incarceration and BRITTANY BAUER was sentenced to 6 months incarceration.
U.S. Attorney Polite praised the work of the ATF New Orleans Division Office, New Orleans Police Department, Pearl River (LA) Police Department, Pearl River County (MS) Sheriff’s Office, and Huntsville Police Department in investigating this matter. Assistant United States Attorney Nolan D. Paige was in charge of the prosecution.
Akron man arrested for soliciting the murder of members of the U.S. militaryRead the Press Release
An Akron man was arrested today on federal charges that he solicited the murder of members of the U.S. military.
Terrence J. McNeil, 25, appeared in U.S. District Court in the Northern District of Ohio after being charged with one count of solicitation of a crime of violence.
The charge was announced by Assistant Attorney General John P. Carlin, U.S. Attorney Steven M. Dettelbach of the Northern District of Ohio and Special Agent in Charge Stephen D. Anthony of the FBI’s Cleveland Division.
“According to the allegations in the complaint, Terrence McNeil solicited the murder of members of our military by disseminating ISIL’s violent rhetoric, circulating detailed U.S. military personnel information, and explicitly calling for the killing of American service members in their homes and communities,” said Assistant Attorney General Carlin. “ISIL and its followers continue to use social media in an attempt to incite violence around the world, including in the United States. The National Security Division's highest priority is counterterrorism and we will use all of our tools to disrupt threats and acts of violence against our military members and their families.”
“As this nation honors our veterans, we must make clear that we will not tolerate threats of violence against our service members,” said U.S. Attorney Dettelbach. “This defendant is charged with urging harm to our men and women in uniform and will now answer for those threats.”
“While we aggressively defend First Amendment rights, the individual arrested went far beyond free speech by reposting names and addresses of 100 U.S. service members, all with the intent to have them killed,” said Special Agent in Charge Anthony. “We will remain vigilant in our efforts to stop those who wish to support these despicable acts.”
According to an affidavit filed in the case:
McNeil professed his support on social media on numerous occasions for the Islamic State of Iraq and Levant (ISIL), a designated foreign terrorist organization.
On or about Sept. 24, 2015, using a Tumblr account, McNeil reblogged a file with the banner “Islamic State Hacking Division,” followed by “Target: United States Military” and “Leak: Addresses of 100 U.S. Military Personnel.”
The file type is a .gif file, which allows multiple still images to be looped in one file, with a timed delay between each image. The text of the first file reads “O Brothers in America, know that the jihad against the crusaders is not limited to the lands of the Khilafah, it is a world-wide jihad and their war is not just a war against the Islamic State, it is a war against Islam…Know that it is wajib (translated to “necessary”) for you to kill these kuffar! and now we have made it easy for you by giving you addresses, all you need to do is take the final step, so what are you waiting for? Kill them in their own lands, behead them in their own homes, stab them to death as they walk their streets thinking that they are safe…”
The file then loops several dozen photographs, purportedly of U.S. military personnel, along with their respective name, address and military branch.
The final image looped is a picture of a handgun and a knife with text that reads “…and kill them wherever you find them…”
A charge is not evidence of guilt. It is the government’s burden to prove the case beyond a reasonable doubt, and a defendant is presumed innocent until that time.
The case is being investigated by the FBI’s Joint Terrorism Task Force, which includes local, state and federal agencies from Northeast Ohio. The Cleveland FBI would like to thank the following partners in this investigation: Akron Police Department, University of Akron Police Department, Customs and Border Protection, Greater Cleveland Regional Transit Authority Transit Police, and Immigration and Customs Enforcement - Enforcement and Removal Operations. This case is being prosecuted by U.S. Attorney’s Office of the Northern District of Ohio and the National Security Division’s Counterterrorism Section.
59,000 Elementary, Middle and High School Students Sign Pledge Against Gun ViIolenceRead the Press Release
SAVANNAH, GA – United States Attorney Edward Tarver announced that 59,000 students in Chatham, Richmond, Burke, Columbia, Evans, Liberty and Wilkes Counties joined with students across the nation to take the Student Pledge Against Gun Violence.
Students individually and voluntarily pledged to do their part to stop gun violence. Middle and High school students pledged that they will never take a gun to school, will never resolve a dispute with a gun and will use their influence to prevent friends from using guns to cause harm to others. Elementary students made a simpler commitment, pledging to not touch a gun, if they see one, to assume that any gun they see might be loaded and to make smart choices to keep themselves safe.
The Student Pledge Against Gun Violence is a national initiative that honors the role that young people, through their own decisions, can play in reducing gun violence. Held in conjunction with the Day of National Concern about Young People and Gun Violence, the initiative provides a means for teachers and community leaders to speak to young people about gun violence. Over 10 million students nationwide have signed the pledge since its inception in 1996.
In addition to providing the pledges to school leaders and students in the 43 counties that make up Georgia’s Southern District, the U.S. Attorney’s Office coordinated with community leaders and local, state and federal law enforcement agencies to provide speakers at several school assemblies to talk to students about what they can do to reduce gun violence in their communities.
U.S. Attorney Tarver stated, “I am extremely pleased to have received such an outstanding response from our schools and community leaders. To have 59,000 students engage in the conversation about gun violence will surely make an impact on the safety of our schools and communities. I would like to acknowledge each of the superintendents, members of the board of education, volunteer speakers and school program coordinators for their critical role in carrying out this initiative. This was truly a community effort, and one that I believe achieved great success.”
The U.S. Attorney’s Office for the Southern District of Georgia plans to continue the initiative on an annual basis with the goal of obtaining participation by every school in each of the District’s 43 counties.
If you would like more information on The Student Pledge Against Gun Violence, please contact Nic Roberts at [email protected] or 912-652-4422.
33 Individuals Charged with Drug Trafficking in the Municipality of CayeyRead the Press Release
SAN JUAN, Puerto Rico – On November 9, 2015, a federal grand jury in the District of Puerto Rico returned a six-count indictment against 33 defendants charged with conspiracy to possess with intent to distribute, and distribution of, controlled substances, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Immigration and Customs Enforcement- Homeland Security Investigations (ICE-HSI) and the Puerto Rico Police Department (PRPD), Guayama Strike Force, are in charge of the investigation.
The indictment alleges that beginning in 2008, the organization distributed heroin, crack, cocaine, marihuana, Oxycodone (commonly known as Percocet), and Alprazolam (commonly known as Xanax) within 1,000 feet of a real property comprising Luis Muñoz Morales and Brisas de Cayey Public Housing Projects, San Tomás and Canteras Wards, and other areas nearby and within the Municipality of Cayey, Puerto Rico, all for financial gain and profit.
The 33 defendants are: Edgardo Ramos-Vicente, aka “Galdo;” Jean Carlos Ramos-Vicente, aka “Masimbo;” Ángel M. Meléndez-Mercado, aka “Cachete;” Héctor Luis Malavé-Guzmán, aka “Flaco;” Jean Carlos Vázquez, aka “Yankee;” Ismael Rivera-Torres, aka “Momo;” Carlos J. Ríos-Santos, aka “Charlie Ceja;” Carlos Salvania-Bonilla, aka “Charlito;” Erick X. Vázquez-Vicente, aka “Erick Chino;” Jayson Vázquez-Vicente, aka “Simbad;” Francisco Xavier Vázquez-Alvarado, aka “Guacharito;” Oscar Luis Mendoza-Flroes, aka “Luiggi;” Brian González, aka “Tetin;” John C. Suárez-Martínez, aka “Jota;” Pedro L. Kuilan-Álvarez, aka “Café;” Victor J. Veguilla-Martínez, aka “Javier El Gordo;” Victor M. Rodríguez-Ayala, aka “Matatán;” Christian Reyes-Llera, aka “Finqui;” Juan C. Muller-Vázquez, aka “Muller;” Jonathan Alvarado-Vega, aka “Transfor;” Gerardo Bonilla-Suárez, aka “El Vizco;” José D. Suárez-Martínez, aka “Spider;” Humberto Rivera-López, aka “Chono;” Joseph Díaz-Morales; Christian Rivera-Rivera, aka “Alfalfa;” Gerome Malavé-Guzmán, aka “7 Pisos;” Luis A. López-Torres, aka “Pinguita;” Arnaldo Lleras-Corredor, aka “Chata;” Edgardo Ramos-meléndez, aka “Galdito;” Yeexsaira Malavé-Rodríguez, aka La China;” Louis A. Pabón-Meléndez, aka “Chava;” and Mercedes Vega-Vázquez, aka “Cede & Chichi.”
The 33 co-conspirators acted in different roles in order to further the goals of the conspiracy, to wit: leader, managers/drug owners, enforcers, runners, drug processors, sellers, and lookouts. Thirty-one of the defendants are facing one count of possession of firearms of different brands and calibers, including fully automatic weapons, in furtherance of drug trafficking crimes.
The indictment alleges that, as part of the manner and means of the conspiracy, some of the defendants and their co-conspirators would use social media to post pictures of co-conspirators in possession of firearms, to promote their drug trafficking activities, and to threaten witnesses. The defendants would take pictures of themselves with cellular phones, in possession of firearms and the drugs that they distributed.
Assistant U.S. Attorney César Rivera-Giraud is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years, and up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
11 Individuals, Including A Nurse Practitioner, Indicted on Charges of Illegally Selling FentanylRead 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 a federal grand jury has returned a 21 count indictment charging 11 defendants with conspiracy to distribute and obtain through fraud controlled substances. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.Under indictment are:
• Jennifer Courton, 28, of Buffalo, NY
• Calvin Elston, Jr., 38, of Buffalo, NY
• Brandon M. Coburn, 32, of West Seneca, NY
• John Davis, 42, of Buffalo, NY
• Rodney Courton, 46, of Buffalo, NY
• Jessica Howard, 23, of Buffalo, NY
• Samuel Nappo, 36, of Buffalo, NY
• Tashaira Vazquez, 29, of Buffalo, NY
• Terrance Williams, 44, of Buffalo, NY
• Johanna Sanchez Rodriquez, 40, Buffalo, NY
• Louis Diaz, 49, of Buffalo, NYSome of the defendants are also charged with obtaining controlled substances through fraud, distribution of fentanyl, oxymorphone, and oxycodone, and maintaining a premises for the distribution of drugs.
“Both the country and this area are in the midst of an epidemic related to the use and abuse of opiate-based drugs,” said U.S. Attorney Hochul. “While this scourge will only end with the continuing assistance of the public, law enforcement stands ready to do its part through the vigorous enforcement of the laws. As this case demonstrates, a person’s status as a licensed medical prescriber will not protect them from prosecution where the situation warrants.”
Assistant U.S. Attorney Caleb J. Petzoldt, who is handling the case, stated that according to the indictment, between December 2013 and April 2015, Coburn, a licensed nurse practitioner, provided fraudulent Fentanyl prescriptions to the defendants. As a nurse practitioner, Coburn can legally prescribe controlled substances. These prescriptions however were filled by the defendants and sold on the street in the Buffalo area and were not used for a legitimate medical purposes. In some instances, they paid other individuals $50 to fill the prescriptions for them.Coburn, who is not currently employed as a nurse practitioner in the Western District of New York, previously surrendered his medical license in the State of Arizona for improper professional practice and misconduct.
10 of the defendants have been arraigned before U.S. Magistrate Judge Jeremiah J. McCarthy. Defendants Williams and Rodney Courton are being held pending detentions hearings. Jennifer Courton will be arraigned at a later date.
The complaint is the result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent in Charge, 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.
10th Street Gang Member Sentenced for RacketeeringRead 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 Sam Thurmond, 27, of Buffalo, N.Y., who was convicted of Racketeering Influenced Corrupt Organizations Conspiracy (RICO Conspiracy), was sentenced to 210 months in prison by U.S. District Court Judge Richard J. Arcara.“This case – which includes the murder of two innocent civilians - is a perfect example of why our Office continues to target violent street gangs,” U.S. Attorney Hochul stated. “With the continuing assistance of the public, there is no doubt we can one day rid this area of these predators.”
Assistant U.S. Attorney Joseph M. Tripi, who handling the case, stated that between 2000 and 2011, Thurmond was a member of the 10th Street Gang. As a part of his involvement in the gang, the defendant participated in the murders of Brandon MacDonald and Darinell Young who were shot and killed on April 17, 2006.On April 16, 2006, rival 7th Street Gang members were believed to have shot a 10th Street Gang member. In response, Thurmond and other 10th Street Gang members planned to retaliate. On April 17, the defendant and others obtained firearms including several shotguns, a .22 caliber rifle, a .44 caliber handgun, and a .380 caliber handgun. The defendant and other 10th Street Gang members and associates then went to the area around 155 Pennsylvania Street where they believed rival 7th Street Gang members involved in the shooting were located. The 10th Street Gang members and associates, including Thurmond, began shooting at the individuals sitting on the porch, and standing near 155 Pennsylvania Street. Brandon MacDonald and Darinell Young, who were not members of the 7th Street Gang, were both shot, and both died as a result of injuries sustained during the shooting.
Thurmond is one of 44 10th Street Gang members or associate convicted in connection with the investigation.
The sentencing is the culmination of an investigation on the part of Investigators of the New York State Police under the direction of Major Michael Cerretto, the Buffalo Police Department under the direction of Commission Daniel Derenda, and Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen.
11 November 2015
Man Sentenced to 19 Years for Armed Robbery of Hampton Service CenterRead the Press Release
Gregory J. Haanstad, Acting United States Attorney for the Eastern District of Wisconsin, announced today that Michael Anglin (age 25) of Milwaukee, Wisconsin, was sentenced by the Honorable Judge Charles N. Clevert to 230 months’ imprisonment for his involvement in the December 9, 2013, robbery of the Hampton Service Center in Milwaukee, Wisconsin. The robbery was committed by three masked men, two of whom were armed with a 9mm handgun and an assault rifle.
Following a trial in April, a jury found Michael Anglin guilty of conspiracy to commit Hobbs robbery, armed Hobbs robbery, discharging a firearm during a crime of violence, and illegal possession of a firearm and ammunition. During the robbery, Michael Anglin pistol whipped and shot an employee of the Hampton Service Center, causing life-threatening and permanent injuries. Two other individuals have been charged with committing this robbery, one of whom has plead guilty and is awaiting sentencing, and another who intends to proceed to trial in December.
According to Acting United States Attorney Gregory J. Haanstad: “The United States Attorney’s Office is committed to addressing violent crime in this district and will continue to prosecute and seek substantial prison sentences for those who use firearms in the commission of crimes.”
Haanstad also emphasized that “the successful prosecution of this important case was the result of a collaborative law enforcement effort by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Bureau of Investigation, and the Milwaukee Police Department.”
Assistant United States Attorneys Kelly B. Watzka and Jonathan H. Koenig prosecuted this case.
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Jackson Resident Pleads Guilty to Possession of Firearm by a Convicted FelonRead the Press Release
Jackson, Miss. – Antoine Johnson, 26, of Jackson, pled guilty before U.S. District Judge Carlton W. Reeves to possession of a firearm after having previously been convicted of a felony, U.S. Attorney Gregory K. Davis announced today.
On August 9, 2015, the Jackson Police Department responded to a report of a disturbance. Officers located Johnson near the intersection of First Avenue and Broad Street. He was ordered to the ground by the officers and a pistol was found in his right front pocket. Johnson’s previous felony conviction was in Madison County Circuit Court for business burglary.
Johnson will be sentenced on February 2, 2016, by U.S. District Judge Carlton W. Reeves. He faces a maximum sentence of 10 years in prison and a $250,000 fine.
This case is a result of the Jackson Violent Crime Initiative, a joint initiative between federal, state and local law enforcement agencies working together to reduce violent crime in the city of Jackson and to remove violent offenders from the streets of this community. Violent Crime Initiative partners include the Jackson Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Federal Bureau of Investigations (FBI), Drug Enforcement Administration (DEA), U.S. Marshals Service, Homeland Security Investigations, U.S. Postal Inspection Service, and U.S. Secret Service.
This case was investigated by the Bureau of ATF and the Jackson Police Department. It was prosecuted by Assistant U.S. Attorney Patrick Lemon.
10 November 2015
Williamson County Man Pleads Guilty to Methamphetamine OffensesRead the Press Release
On November 5, 2015, Jeremey A. Phillips, a/k/a "Jeremy Phillips," 28, of Marion, pled guilty to a two-count indictment charging conspiracy to manufacture methamphetamine and possession of pseudoephedrine knowing that it would be used to manufacture methamphetamine, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
The offenses occurred between 2012 and February 2015, in Williamson, Jackson, and Jefferson Counties. Evidence at the plea hearing established that Phillips was involved with others in obtaining pseudoephedrine and manufacturing methamphetamine. Phillips is currently being held without bond pending a March 8, 2016, sentencing hearing. At that time, Phillips faces up to 20 years in federal prison, to be followed by 3 years’ supervised release, and a $1,000,000 fine.
The ongoing investigation is being conducted by the Southern Illinois Enforcement Group and Marion Police Department.
The case is assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Wheeling man sentenced for cocaine traffickingRead the Press Release
WHEELING, WEST VIRGINIA – Cornelius Johnson, Jr., 38, of Wheeling, was sentenced today to 46 months in prison for cocaine trafficking, United States Attorney William J. Ihlenfeld, II, announced today.
Johnson repeatedly sold crack cocaine throughout 2014 in Ohio County, West Virginia. Specifically, he sold cocaine on multiple occasions near Wilson Playground in Wheeling. He pled guilty in June 2015 to:
• Four counts of “Use of a Telephone to Facilitate the Distribution of Cocaine Base,”
• Four counts of “Distribution of Cocaine Base within 1,000 Feet of a Protected Location,”
• One count of “Maintaining a Drug Involved Premises,” and
• One count of “Felon in Possession of a Firearm.”Assistant U.S. Attorney Stephen Vogrin prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Ohio Valley Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Westbrook Man Pleads Guilty to Bath Salt Distribution and Obstruction of JusticeRead the Press Release
Contact: David B. Joyce
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Christopher Coombs, 43, of Westbrook, Maine, pleaded guilty today in U.S. District Court to possession with intent to distribute alpha-PHP (a bath salt) and obstruction of justice.
According to court records, on October 31, 2015, law enforcement officers conducted a controlled delivery of about 500 grams of alpha-PVP to Coombs at his residence in Westbrook. This package originated from China and was intercepted by customs officials in New York. After Coombs accepted the package, he was arrested. Following his arrest, he directed his wife to delete certain emails that were relevant to the investigation.
At the plea hearing, Coombs also admitted to a violation of his supervised release. Coombs was on supervision from a 2008 conviction for conspiracy to distribute cocaine base.
Coombs faces up to 20 years in prison and a $1,000,000 fine on the drug charge; up to 20 years and a $250,000 fine on the obstruction charge; and up to three years for violating supervised release. He will be sentenced after completion of a presentence investigation report by the U.S. Probation Office.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Westbrook Police Department, and the U.S. Postal Service.
Violent Gang Member Sentenced to 28 Years in Federal Prison for Racketeering Murder in San JoseRead the Press Release
SAN JOSE – Jose Farias Barajas, a/k/a "Bear," was sentenced today to 28 years in federal prison for his part in a racketeering conspiracy and other crimes announced Acting United States Attorney Brian J. Stretch and Federal Bureau of Investigation Special Agent in Charge David J. Johnson. The sentence follows a guilty plea in which Barajas acknowledged his guilt relating to several gang-related crimes including robbery, narcotics trafficking, and murder.
Barajas, 25, of San Jose, is a member of the Varrio Colonias Trece (Colonias), a Sureño street gang in San Jose. According to court records, members of the Colonias gang are allied with members of another Sureño gang in San Jose, Varrio Tamilee Gangsters (“VTG”). On March 20, 2014, Barajas pleaded guilty to conspiracy to commit murder, possession and use of a firearm during and in relation to a crime of violence, use of a firearm in furtherance of a crime of violence resulting in murder, and distribution of methamphetamine. As part of his plea agreement, Barajas acknowledged his participation in Colonias/VTG gang activity including attacks on members of rival Norteño gangs.
Also as part of his plea agreement, Barajas acknowledged the facts underlying the killing on August 13, 2012, of an innocent victim. Barajas and a codefendant, Victor Manuel Rodriguez, a/k/a “Silencer,” were in a car “hunting” for rival Norteño gang members. The codefendants were retaliating because someone had spray painted graffiti in the Colonias/VTG Gang’s territory. According to court documents:
In carrying out this RICO conspiracy, in August 2013, defendant Barajas drove co-defendant Rodriguez around hunting for rival Norteños who had been spray painting their gang graffiti on the defendants’ gang’s turf. Barajas knew that Rodriguez was armed with a .38 caliber revolver. Upon seeing [the victim], the defendants thought he was a Norteño and Rodriguez directed Barajas to make a U-turn, which he did. Barajas then stopped the car right in front of [the victim’s] driveway, and Rodriguez exited the car, pulled out the .38 caliber revolver that he had been carrying on his person, and shot [the victim] once in the head at close range. After shooting the victim in the head, Rodriguez reentered Barajas’s car and laughed about the shooting.
The victim died two days later. The investigation revealed that he was not in fact a Norteño gang member. The victim had just arrived home with his girlfriend from the veterinarian where they had taken their sick dog.
The Honorable Edward J. Davila, United States District Judge, handed down the sentence. Rodriguez was previously sentenced to 38 years in prison. Both defendants have been in custody since their arrest on October 3, 2012.
Assistant U.S. Attorneys Stephen Meyer and Daniel Kaleba prosecuted the case with the assistance of paralegal Nina Burney. The prosecution is the result of an investigation by the Federal Bureau of Investigation and the San Jose Police Department.
Vermont Man Pleads Guilty to Drug and Gun ChargesRead the Press Release
CONCORD, N.H. – Robert Orth, 30, of South Ryegate, Vermont, pleaded guilty today in the United States District Court for the District of New Hampshire to one count of possessing more than 100 grams of heroin with the intent to distribute it, one count of possessing a firearm in furtherance of his drug trafficking activities, and one count of possessing a firearm as a previously convicted felon, announced Acting United States Attorney Donald Feith.
On May 29, 2014, during a motor vehicle stop in Nashua, New Hampshire, Nashua police officers recovered more than 200 grams of heroin and a loaded handgun in a jacket belonging to Orth, already a convicted felon. During a subsequent interview, Orth admitted that the heroin and the handgun belonged to him.
“Our office is committed to investigate and prosecute those individuals who traffic in heroin,” stated Acting United States Attorney Donald Feith. “Individuals who choose to profit from trafficking heroin can expect to serve significant sentences in federal prison upon conviction. The ten-year sentence in this case insures that the public will be protected from Mr. Orth’s drug trafficking for the next decade.
Orth is scheduled for sentencing on February 16, 2016. Orth is facing a maximum statutory sentence of life in prison and criminal fines of up to $5,000,000. Under the terms of a plea agreement resolving the case, which the court reserved accepting until the sentencing date, Orth will serve a sentence of ten years in federal prison.
This prosecution arose from an investigation conducted by several officers and detectives of the Nashua, New Hampshire Police Department, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, New Hampshire. The case is being prosecuted by Assistant United States Attorneys Nick Abramson and Seth Aframe.
Vacaville Man Pleads Guilty to Defrauding California Air National Guard of Approximately $200,000 in Leave and False Expenses SchemeRead the Press Release
SACRAMENTO, Calif. — Thomas Venable, 46, of Vacaville, pleaded guilty today to theft concerning programs receiving federal funds in connection with his operation of a sustained leave and false expenses scheme while he was a Major in the California Air National Guard, United States Attorney Benjamin B. Wagner announced.
According to court documents, between April 2008 and April 2010, Venable obtained nearly $195,528 from the California Air National Guard (CA ANG) in wages, benefits, and expense reimbursements to which he was not entitled. Venable was assigned to a detail with the California Emergency Management Authority (Cal-EMA) that was available only to active duty CA ANG members. At the same time, Venable was frequently deployed for training and duty with the U.S. Air Force, and he was employed full time by the University of California-San Francisco Police Department (UCSF-PD). While deployed on federal duty or while working for the UCSF-PD between April 2008 and April 2010, Venable intentionally failed to use required military or other leave and collected double compensation from the federal government and the state of California. During the same period, Venable also filed at least 19 false travel and expense reimbursement claims that were unrelated to his CA ANG work but that were paid as though they were legitimate.
Venable also admitted that, for more than a year, he concealed from his direct supervisors at the CA ANG that he had joined the Texas Air National Guard in February 2009, resulting in Venable’s discharge from the CA ANG and his ineligibility for employment with Cal-EMA. In doing so, Venable affirmatively misrepresented his duty status to CA ANG staff.
This case is the product of an investigation by the United States Department of Defense, Defense Criminal Investigative Service, and the California Highway Patrol, Office of Internal Affairs. Assistant United States Attorney André M. Espinosa is prosecuting the case.
Venable is scheduled to be sentenced by U.S. District Judge John A. Mendez on February 16, 2016. Venable faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
United States Settles Pregnancy Discrimination Action Against Triborough Bridge and Tunnel AuthorityRead the Press Release
Robert L. Capers, United States Attorney for the Eastern District of New York, today announced the filing of a Complaint and Settlement Agreement in United States v. Triborough Bridge and Tunnel Authority a/k/a MTA Bridges and Tunnels, Civil Action No. CV-15-6417 to settle violations of Title VII of the Civil Rights Act of 1964 ("Title VII").
In its Complaint, the United States alleges that the Triborough Bridge and Tunnel Authority ("TBTA") routinely required pregnant Bridge and Tunnel Operating Force Officers, whose duties include protecting the safety and security of many of the major bridges and tunnels in the New York City area, to surrender their guns and work in less than full duty status regardless of their physical condition or ability to perform the requirements of the job. In one case, Officer Lori Ann DiPalo, then early in her pregnancy, provided a written opinion from her personal physician certifying that she could perform the full range of her duties. Nonetheless, without examining her, the TBTA determined that simply because DiPalo was pregnant, she could not perform her full duties or safeguard a firearm. The TBTA stripped DiPalo of her firearm privileges and forced her to choose between toll booth duty or disability leave for the remainder of her pregnancy.
Under the terms of the settlement, the TBTA will revise its EEO policy to reflect Title VII’s requirements, as well as create a new policy addressing fitness for duty status and workplace accommodations for Bridge and Tunnel Officers. The TBTA will also train all its employees on Title VII and the protection that Title VII affords pregnant employees. The TBTA will pay Officer DiPalo $100,000 in damages and $106,500 in damages collectively to a group of twelve other officers affected by the TBTA’s discriminatory practice.
"Title VII prohibits discrimination against pregnant employees" stated U.S. Attorney Capers. "This Settlement Agreement ensures that pregnant Bridge and Tunnel Operating Force Officers able to perform their duties will not be forced to accept lesser roles simply because they are pregnant."
The United States’ claims were litigated by Assistant United States Attorney Kelly Horan Florio. The United States Equal Employment Opportunity Commission also participated in the settlement process.
Una Pareja Sentenciada a Prisión por Fraude HipotecarioRead the Press Release
FRESNO, California – Dos residentes de Bakersfield fueron sentenciados el martes por el Juez Superior del Distrito de los Estados Unidos Anthony W. Ishii por sus implicaciones en una trama de fraude hipotecario en Bakersfield, anunció el Procurador de los Estados Unidos Benjamín B. Wagner.
Lucía Yolanda Chávez, de 37 años de edad, fue sentenciada a cuatro años de prisión por conspiración a cometer fraude bancario, fraude por correo y fraude por cable además de ser ordenada a pagar 1.8 millones de dólares en restitución. Joseph Chávez, de 41 años de edad, fue sentenciado a tres años de prisión por conspiración a cometer fraude bancario, fraude por correo y fraude por cable y fue ordenado a pagar 1.44 millones de dólares en restitución. Lucía Chávez también fue ordenada a desposeerse de los intereses de aproximadamente 110,000 de dólares incautados de una cuenta bancaria y a pagar una cantidad de dinero personal establecida por decisión judicial de 1.6 millones dólares de lo embargado. Joseph Chávez fue ordenado a pagar lo establecido por decisión judicial en 3 millones de dólares de dinero personal de lo embargado.
Según documentos del tribunal, los demandados conspiraron junto con otros colaboradores también demandados para usar ¨compradores de paja¨ para comprar propiedades residenciales en Bakersfield construidas por la empresa constructora Pershing Partners LLC (Pershing Partners) perteneciente a Lucía Chávez y por la empresa constructora Jara Brothers Investments (JBI) perteneciente a los co-demandados Eliseo Jara y Sergio Jara. Los conspiradores pagaban a los compradores de paja para comprar las propiedades de Pershing Partners y JBI y financiaban las compras con préstamos que obtenían de entidades de crédito para los compradores de paja basándose en solicitudes de préstamo falsas y fraudulentas. Para llevar a cabo la conspiración, los conspiradores usaron la empresa Paragon Home Mortgage para obtener y gestionar los préstamos. Lucía Chávez también había sido empleada por Paragon Home Mortgage desde aproximadamente agosto del 2006, y adquirió titularidad de Paragon Home Mortgage de los co-demandados Eliseo Jara Jr. y Sergio Jara en el 2007. Joseph Chávez fue empleado por Paragon Home Mortgage aproximadamente desde junio del 2006 a octubre del 2007 donde trabajaba como agente de préstamos y gerente de la oficina. Joseph Chávez y Lucía Chávez se declararon culpables el 10 de abril del 2015.
Las solicitudes de préstamo en las que figuran los nombres de los compradores de paja contenían declaraciones falsas por parte de estos mismos en relación a sus empleos, sus ingresos, sus bienes, sus intenciones de habitar las propiedades como residencias personales y el origen de los recursos de la cuota inicial para la compra de las propiedades. Los conspiradores ocultaban a las entidades de crédito que las mismas empresas constructoras proporcionaban los fondos para algunas de las cuotas iniciales de los compradores de paja. Los conspiradores también sometían documentación falsa a las entidades de crédito tales como los estados de cuentas falsas y alteradas que pretendían mostrar que los compradores de paja tenían saldos altos en las cuentas de banco, comprobaciones falsas de los fondos bancarios de los compradores de paja, comprobaciones falsas de alquileres que pretendían proceder de los dueños de las viviendas que alquilaban, comprobantes de pago falsos y comprobaciones de empleo falsas.
El caso es el producto de una investigación llevada a cabo por el Servicio de Recaudación de Impuestos - Investigaciones Criminales (IRS-CI) y la Oficina Federal de Investigación (FBI). Los Procuradores Auxiliares de los Estados Unidos Kirk E. Sherriff y Henry Z. Carbajal III procesaron el caso.
El 13 de octubre del 2015 los co-demandados Eliseo Jara y Sergio Jara fueron condenados a seis años y medio a la prisión cada uno y la co-demandada Melissa Jara fue condenada a cinco años de Libertad bajo Supervisión. El co-demandado Antonio Pérez-Marcial fue condenado el 12 de mayo del 2014 a tres años y 10 meses a la prisión y la co-demandada Arlene Jeanette Mojardín fue condenada el 18 de mayo del 2015 a dos años y medio a la prisión por sus implicaciones en la conspiración. La co-demandada Candace Gonzales se declaró culpable, con antelación, de la conspiración para cometer fraude bancario, fraude por correo y fraude por cable y la fecha de su audiencia para dictar la condena queda fijada para el 26 de octubre del 2015. El co-demandado Ricardo Salinas se declaró culpable, con antelación, de fraude bancario y su audiencia también queda fijada para el 26 de octubre del 2015.
U.S. Attorney’s Office recognizes Western District of Louisiana VeteransRead the Press Release
SHREVEPORT/LAFAYETTE/ALEXANDRIA/LAKE CHARLES/MONROE, La.: United States Attorney Stephanie A. Finley announced that the U.S. Attorney’s Office will honor the men and women of the Western District of Louisiana and their family members who have served in the U.S. Armed Forces with a video presentation.
The presentation features employees from the U.S. Attorney’s offices, courthouse employees and their family members in all five divisions of the District, Shreveport, Lafayette, Alexandria, Lake Charles and Monroe. The video will be available for public viewing from November 10th to November 20th in the lobby of the U.S. federal courthouses in Shreveport and Lafayette. There will be an honor board in all five courthouses.
“There is never enough that we can say or do that adequately thanks the men and women who have heeded the call to serve,” Finley stated. “This presentation is just a small way to honor them. As a member of the U.S. Air Force, I am aware of how special and significant it is to have these veterans in our communities and how important it is for us to recognize their service. We owe them a debt of gratitude for their unwavering willingness to put service before self and safeguard our freedoms. This Veterans Day, I hope everyone remembers those who continue to serve. We salute them and celebrate their service to this Great Nation!”
Western District of Louisiana employees being honored for their service are:
United States Army - Aaron J. Broussard, F. Michael Campbell, U.S. District Judge Dee D. Drell, Robert W. Gillespie Jr., U.S. District Judge Richard T. Haik, David C. Joseph, Deborah Ritchey Mahony, C. Vincent Mangum, Joseph T. Mickel, Howard C. Parker, Edward Prokopf, Victor Sheppard, U.S. District Judge Tom Stagg (deceased), Fifth Circuit Chief Judge Carl E. Stewart, Chris Turner and U.S. District Judge Donald E. Walter.
United States Navy - Joseph G. Jarzabek, Daniel J. McCoy and Ryan Turner.
United States Coast Guard - Dennis K. Austin and U.S. Magistrate Judge Patrick Hanna.
United States Marin Corps - Angelo Iorio.
United Stated Air Force - Mitzie Cochrane, U.S. Attorney Stephanie A. Finley, Samuel W. Glass Sr., John S. Odom Jr., F. Michael O’Mara, Ryan Peck, Charlene Pullum, U.S. District Judge James T. Trimble Jr. and U.S. Marshal Henry L. Whitehorn Sr.
Immediate family members of the personnel in the Western District of Louisiana U.S. Attorney’s Office and U.S. District Court System being honored for their service are:
United States Army - Gerald Champagne, Steven L. Dupont, Doyce Ray Hebert, Eric Iorio, Shelton Julian, Joseph LeJeune, David A. McBride, Joseph R. Nolan, Michael E. Schaff and Barney W. Skipper.
United States Navy - Kyle Alwert, Thomas P. Cagney, David Cochrane, Leon Gordon Jones and John L. Witt.
United States Air Force - John T. Julian and Alan Williams.
United States Marine Corps - Stephen Box.
Of those listed above, two have received Purple Hearts and other medals for their actions during various wars. Shelton Julian, the grandfather of Assistant U.S. Attorney Karen King, served in the U.S. Army during World War II. He was assigned to the 92nd Infantry, Buffalo Division. During his service, he received the Purple Heart and one Oak Leaf Cluster. United States District Court Judge Tom Stagg served in the U.S. Army during WWII in Europe from 1944-1946. During his service, he received the Combat Infantry Badge, the Bronze Star for Valor, the Bronze Star for Meritorious Service and two Purple Hearts. Judge Stagg died on June 23, 2015. Steven Dupont, son of FDA Investigator Charles Dupont, served in the U.S. Army from 2008 until 2010 and was stationed at Headquarters and Headquarters Company, 3d Squadron, 2d Stryker Cavalry Regiment at Rose Barracks in Vilseck, Germany. He was assigned to Ghostrider Company as a Forward Observer during Operation Enduring Freedom in Afghanistan. Dupont was killed in action on October 24, 2010, in Rangrizan, Afghanistan. Specialist Dupont was awarded the Bronze Star, the Purple Heart, the NATO Medal and the Combat Action Badge, posthumously. While on active duty, he received the National Defense Service Medal, Afghanistan Campaign Medal, Global War on Terrorism Service Medal, Army Service Ribbon and the Overseas Service Ribbon.
The Purple Heart is given to military members who are wounded or killed in action. The Bronze Star of Valor is awarded for acts of heroism, acts of merit or meritorious service in a combat zone and is the fourth-highest combat decoration awarded to military members. The Oak Leaf Cluster denotes subsequent decorations and awards.
Information about the location of the five federal courthouses within the Western District can be found at the following link: http://www.justice.gov/usao-wdla/contact-us.
Two More New Haven Hotels Agree to Comply with Americans with Disabilities ActRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that two New Haven Hotels, the Omni Hotel at Yale and Village Suites (formerly Premiere Hotel and Suites), have entered into settlement agreements with the U.S. Attorney’s Office as a result of an ongoing review to determine if certain New Haven-area hotels are being operated in compliance with the Americans with Disabilities Act (ADA).
Under federal law, private entities that own or operate “places of public accommodation,” which includes hotels, are prohibited from discriminating on the basis of disability. The ADA authorizes the U.S. Department of Justice to investigate complaints and to undertake periodic reviews to determine compliance by covered entities. The Justice Department is also authorized to commence a civil lawsuit in federal court in any case that involves a pattern or practice of discrimination or that raises issues of general public importance, and to seek injunctive relief, monetary damages, and civil penalties.
As part of a compliance review survey, 12 randomly-selected New Haven area hotels were asked to complete and return a survey form. Onsite inspections to confirm survey responses were then conducted and each hotel was reviewed for its compliance with federal law. Six of the surveyed hotels were found to have ADA violations. The government has been working with the owners and operators of each hotel found in violation in an effort to secure voluntary compliance. Previously, three of the six hotels found in violation, the La Quinta Inn and Suites, Courtyard Marriott and New Haven Hotel, entered into settlement agreements with the government. The government continues to work with the remaining hotel to secure a voluntary compliance agreement and address existing ADA violations.
The hotel survey was conducted in accordance with the Justice Department’s statutory responsibility to review compliance with federal law, and not in response to any specific complaint against any of the hotels within the scope of the review. Any member of the public who wishes to file a complaint alleging that a hotel or any other place of public accommodation within the District of Connecticut is not accessible to persons with disabilities may contact the U.S. Attorney’s Office at 203-821-3700.
Additional information about the ADA can be found at www.ada.gov, or by calling the Department’s toll-free information line at (800) 514-0301 and (800) 514-0383 (TDD). More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
This matter was handled by Assistant U.S. Attorneys David Nelson, Vanessa Avery, and Ndidi N. Moses, in coordination with the Disability Rights Section of the U.S. Department of Justice Civil Rights Division.
Two Miami Residents Plead Guilty for Involvement in Stolen Identity Tax Refund Fraud RingRead the Press Release
Defendants Stole Identities of Prisoners and Deceased Individuals
Two Miami residents pleaded guilty for their role in a stolen identity tax refund fraud conspiracy, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and U.S. Attorney Wifredo Ferrer of the Southern District of Florida announced today.
Jim Joseph and Roland Alexis pleaded guilty to one count of a multi-object conspiracy to defraud the Internal Revenue Service (IRS), commit wire fraud and commit aggravated identity theft and one count of aggravated identity theft. Joseph pleaded guilty on Nov. 9 and Alexis pleaded guilty Nov. 5. According to court documents, between 2007 and July 2014, Joseph, Alexis and others conspired to defraud the United States by filing false federal income tax returns using stolen identities. Joseph and Alexis obtained the personal identification information of actual individuals, some deceased, including names, social security numbers, addresses and dates of birth, without the individuals’ authorization. The stolen personal identification information belonged to prisoners and deceased individuals. Joseph, Alexis and others recruited knowing co-conspirators and unknowing victims to put Electronic Filing Identification Numbers (EFINs) in their names through which fraudulent income tax returns would be filed.
In late 2009, Alexis formed Worldwide Income Tax Multi-Services LLC and North Miami Income Tax Services. The companies were created with the intended purpose of filing fraudulent tax returns using stolen identities. Worldwide Income Tax Multi-Services was located in Miramar, Florida, and listed Alexis as President and Joseph as Vice-President. North Miami Income Tax Services was set up in Miami and listed Alexis as Registered Agent. Joseph, Alexis and others then used the stolen identities and EFINs to electronically file more than 860 fraudulent tax returns. Alexis’s conduct resulted in a tax loss of $1.8 million and Joseph’s conduct resulted in a tax loss of $1.2 million.
Both individuals face a statutory maximum sentence of five years in prison and three years of supervised release for the conspiracy charge and a statutory mandatory sentence of two years in prison and one year of supervised release for the aggravated identity theft charge. Joseph and Alexis must serve the two-year sentence for aggravated identity theft in addition to any sentence the court imposes on the conspiracy charge. Both charges carry a statutory maximum fine of $250,000.
Acting Assistant Attorney General Ciraolo and U.S. Attorney Ferrer commended special agents of the IRS-Criminal Investigation and Homeland Security Investigations, who investigated the case, and Assistant Chief Gregory E. Tortella of the Tax Division and Assistant U.S. Attorney Neil Karadbil of the Southern District of Florida, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Two Convicted for Participating in A $95 Million International Market Manipulation SchemeRead the Press Release
BROOKLYN, NY – Late yesterday, defendants Gary Kershner, an Arizona business owner, and Songkram Roy Sahachaisere, a California stock promoter, were convicted by a federal jury in Brooklyn on all counts for their role in a $95 million international market manipulation scheme. The jury’s verdict followed a five week trial before United States District Judge Eric N. Vitaliano. The defendants were convicted of conspiracy to commit securities fraud, conspiracy to commit wire fraud, two counts of securities fraud, four counts of wire fraud, and two counts of making false statements to federal agents. Kershner and Sahachaisere are the eighth and ninth defendants convicted in this case.
The guilty verdicts were announced by Robert L. Capers, United States Attorney for the Eastern District of New York, and Diego Rodriguez, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI).
“Through lies and deceit, the defendants took advantage of the investing public and sold them worthless stock of shell companies that were propped up by false press releases. We and our partners in law enforcement are committed to rooting out fraud in the financial markets,” stated United States Attorney Capers. Mr. Capers extended his appreciation to the FBI, which led the government’s investigation, and thanked the Internal Revenue Service, Criminal Investigation, New York; Homeland Security Investigations, Department of Homeland Security, Buffalo; Treasury Inspector General for Tax Administration; the Royal Canadian Mounted Police; and law enforcement authorities in England, Thailand, and China for their assistance in this case.
The evidence at trial established that Kershner and Sahachaisere, together with others, engaged in an international “pump and dump” operation, fraudulently inflating the share price of worthless penny stocks, and then dumping billions of shares on unsuspecting victim investors across the globe. Kershner was responsible for drafting the false press releases and Sahachaisere was responsible for promoting the worthless companies based on the false press releases.
When sentenced by United States District Judge Eric N. Vitaliano, Kershner and Sahachaisere face a sentence of up to 20 years in prison.
This prosecution was the result of efforts by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ Offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory, and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state, and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions, and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, visit http://www.StopFraud.gov.
The government’s case is being prosecuted by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Christopher A. Ott, Tyler Smith, and Mark Bini are in charge of the prosecution, with assistance provided by Assistant United States Attorney Melanie Hendry of the Office’s Civil Division, which is responsible for the forfeiture of assets.
The Defendants:
Gary Kershner
Age: 75
Tucson, ArizonaSONGKRAM ROY SAHACHAISERE
Age: 45
Newport Beach, CaliforniaE.D.N.Y. Docket No. 13-CR-452 (S-2) (ENV)
Two California Residents Convicted in $819,000 Insider Trading SchemeRead the Press Release
SAN FRANCISCO – Today, Christian Keller and John Gray each pleaded guilty to one count of conspiracy and one count of securities fraud, announced Acting United States Attorney Brian J. Stretch and Federal Bureau of Investigation Special Agent in Charge David J. Johnson. The guilty pleas stem from an insider trading scheme involving material, non-public, inside information from Rovi Corporation, and one other publicly-traded company, that generated illegal profits in excess of $819,000.
Keller, 41, of Los Altos, and Gray, 39, of Irvine, were charged by information filed September 2, 2015, with participating in an insider trading scheme. According to the information, Keller provided Gray with material, non-public, inside information between 2009 and 2012. Prior to 2012, Keller worked at a public company, the name of which was not disclosed in the information, where Keller had access to material, non-public, confidential information, which Keller provided to Gray and which Gray used to execute securities transactions.
In early 2012, Keller was employed by Rovi Corporation, in Santa Clara, Calif., as a Vice President of Corporate Finance and Investor Relations. Keller provided Gray with material, non-public, confidential information relating to the performance and revenue estimates of Rovi Corporation. Gray, and others, then executed a series of securities transactions using the inside information, sometimes in the brokerage accounts of third persons to conceal the scheme. From the illegal trading profits, Gray paid Keller a total of approximately $46,000 in cash. Each defendant was changed with one count of conspiracy, in violation of 18 U.S.C. § 371, one count of securities fraud, in violation of 15 U.S.C. §§ 78j(b) and 78ff, and related regulations, and aiding and abetting securities fraud, in violation of 18 U.S.C. § 2.
Both defendants currently are released from custody pending sentencing. Keller is scheduled to appear for sentencing on April 19, 2015, before the Honorable Jeffrey S. White, District Judge. Gray’s sentencing, also before Judge White, is scheduled for April 5, 2015.
The maximum statutory penalty for conspiracy in violation of 18 U.S.C. § 371 is 5 years in prison and a fine of not more than $250,000, or twice the gross gain or twice the gross loss, whichever is greater. The maximum statutory penalty for securities fraud in violation of 15 U.S.C. §§ 78j(b) and 78ff is 20 years in prison and a fine of not more than $5 million. However, any sentence following convictions for these offenses would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Adam A. Reeves is prosecuting the case with the assistance of Beth Margen and Bridget Kilkenny. The prosecution is the result of an investigation by the FBI.
Trucking Company Employee Charged with Stealing U.S. MailRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a Luzerne County man has been charged with stealing mail from multiple United States Post Offices.
According to United States Attorney Peter Smith, Steven Dubravski, Sr., age 55, of Lattimer Mines, Pennsylvania, is charged with theft of mail in a Criminal Information filed today in the United States District Court in Scranton. Dubravski was employed by a trucking company and was responsible for picking up and delivering mail for United States Post Offices in Luzerne County. It is alleged that Dubravski stole cash and other items of value from inside multiple mail items intended for delivery to postal customers. The amount of loss is approximately $2,800. The thefts are alleged to have occurred from March 2013 through March 2014. Dubravski was fired by his employer after the company learned what had happened.
The government has filed a plea agreement with the defendant which is subject to the approval of the Court.
No date has been scheduled as yet for a hearing in the case.
The case was investigated by the United States Postal Service, Office of Inspector General. The defendant is being prosecuted by Assistant United States Attorney Michelle Olshefski.
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 guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing guidelines.
Theft of mail is punishable by up to 5 years’ imprisonment and a $250,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Tres Hombres Sentenciados Hoy Por Tráfico de Droga en el Condado de KernRead the Press Release
FRESNO, California – Hoy, el Juez del Distrito de los Estados Unidos Lawrence J. O´Neill dictó sentencia a tres demandados en dos casos por traficar con metanfetamina, anunció el Procurador de los Estados Unidos Benjamín B. Wagner.
En el primer caso, José Mojarro Cruz, alias Shyboy, de 28 años de edad, y residente de Bakersfield fue condenado a 15 años y nueve meses a la prisión por conspirar para distribuir y poseer con intento de distribuir metanfetamina y heroína. Se declaró culpable de los hechos el 21 de abril del 2015. El co-demandado Arnoldo Delgado García (Delgado), alias Fabricio Rene Delgado-Perea, de 35 años de edad, y ciudadano de México fue condenado a 11 años y cuatro meses a la prisión. El 11 de mayo del 2015 se declaró culpable de conspirar para distribuir y poseer con intento de distribuir metanfetamina y heroína.
Según documentos del tribunal, los demandados distribuían, regularmente, metanfetamina y heroína a varios comerciantes de droga y consumidores del Condado de Kern desde mayo del 2013 hasta enero del 2014. Los demandados reconocieron haber distribuido entre 15 y 45 kilos de metanfetamina y más de 1.000 gramos de heroína. El co-demandado Erik Gesus Rivera, de 28 años de edad, y residente de Bakersfield se declaró culpable de posesión con intento de distribuir metanfetamina, y el 21 de septiembre del 2015 fue condenado a dos años de prisión.
Este caso fue el producto de una investigación por el Destacamento Especial para la Lucha Contra las Drogas y el Crimen Organizado (Organized Crime Drug Enforcement Task Force u OCDETF) a través de las Aplicaciones de Ley de Inmigración y Aduanas de los Estados Unidos (U.S. Immigration and Customs Enforcement o ICE), las Investigaciones de la Seguridad de la Patria (Homeland Security Investigations o HSI), la Agencia Antidrogas de Estados Unidos (Drug Enforcement Administration o DEA), la Oficina del Sheriff del Condado de Kern y el Destacamento Especial para las Áreas de Tráfico de Droga de Alta Intensidad del Tri-Condado del Sur (Southern Tri-County High Intensity Drug Trafficking Area Task Force o HIDTA). El Procurador Auxiliar de los Estados Unidos Brian K. Delaney procesó el caso.
Caso nº 1:14-cr-048 LJO
En el segundo caso, el Juez O´Neill, condenó a Juan Lascano Jr., de 32 años de edad, y residente de Bakersfield, a 10 años de prisión. El 27 de julio del 2015, Lascano se declaró culpable de distribución de metanfetamina.
Según documentos del tribunal, Lascano y sus co-demandados conspiraron para distribuir metanfetamina en cantidades de una libra por el área de Bakersfield. El 21 de septiembre del 2015, el co-demandado Guillermo Magallanes, de 36 años de edad, y residente de Bakersfield, se declaró culpable de conspiración para distribuir metanfetamina y el co-demandado Pascual Gonzales Magallanes, de 44 años de edad, y residente de Bakersfield, se declaró culpable de distribución de metanfetamina.
La audiencia para dictar sentencia de los dos co-demandados está programada para el 14 de diciembre del 2015. Guillermo Magallanes se enfrenta a una pena máxima establecida por la ley de cadena perpetua y una multa de 5 millones de dólares, y Pascual Gonzales Magallanes se enfrenta a una pena máxima establecida por la ley de 40 años en prisión y una multa de 2 millones de dólares. El tribunal, no obstante, se reserva la decisión sobre las sentencias propiamente dichas hasta que todos los factores aplicables establecidos por la ley y por las Directrices Federales para Dictar Sentencia sean consideradas, tomando en cuenta un número determinado de variables.
Además de los cargos criminales, los Estados Unidos está pidiendo la incautación de 31,242 de dólares, un Lexus IS250 F Sport del 2014, y un Acura TL sedán del 2012, efectos de la actividad del tráfico ilegal de droga.
Este caso es el producto del Destacamento Especial de Lucha Contra las Drogas y el Crimen Organizado (Organized Crime Drug Enforcement Task Force u OCDETF) a través de la Agencia Antidrogas de Estados Unidos (Drug Enforcement Administration o DEA), la Oficina Federal de Investigación (FBI), la Oficina del Sheriff del Condado de Kern y el Departamento de Policía de Bakersfield. El Procurador Auxiliar de los Estados Unidos Brian K. Delaney está procesando el caso. 1:15
Tortola Man Indicted on Bulk Cash Smuggling ChargeRead the Press Release
St. Thomas, USVI – A federal grand jury returned a one-count indictment on November 5, 2015, charging Kevin Henley, 21, of Tortola, British Virgin Islands, with Bulk Cash Smuggling, United States Attorney Ronald W. Sharpe announced today.
Henley was arrested on October 7, 2015, and was released on home confinement with electronic monitoring after posting a $25,000.00 cash bond pending trial. His arraignment and advice of rights on the indictment are scheduled to occur on November 12, 2015.
According to the indictment and court documents, agents of the Department of Homeland Security Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI), were conducting surveillance in Red Hook, St. Thomas, when they observed Henley load several packages on his British registered vessel docked at the American Yacht Harbor. Henley departed the American Yacht Harbor, but his vessel soon stalled, and he was escorted back to the ferry dock by a passenger ferry. As Henley approached the dock, he grabbed a black duffle bag from his vessel and attempted to flee the dock without the other packages and without securing the vessel. Henley was immediately apprehended by HSI agents. Upon inspection of Henley’s duffle bag, agents found approximately $256,386.00 cash in U.S. Currency. Henley was arrested and charged with failure to declare his currency before departing the United States Virgin Islands.
United States Attorney Sharpe reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty. This case is being investigated by HSI, and is being prosecuted by Assistant United States Attorney Delia L. Smith.
Three sentenced in methamphetamine trafficking operationRead the Press Release
WHEELING, WEST VIRGINIA – Garland Samuel Butler, 51, Samuel Scott Butler, 24, and Kate Lynn Baker, 21, all of Saint Marys, West Virginia, were sentenced in federal court this week for their role in a methamphetamine trafficking operation, United States Attorney William J. Ihlenfeld, II, announced.
The defendants sentenced this week were among six individuals charged in a 19-count federal indictment in June 2015 stemming from a methamphetamine trafficking operation in Pleasants County, West Virginia. They were each discovered in possession of pseudoephedrine, an ingredient commonly used to manufacture methamphetamine. They each pled guilty in August 2015 to one count of “Possession of Material Used in the Manufacture of Methamphetamine.”
Samuel Butler was sentenced to 24 months in prison. Garland Butler and Kate Lynn Baker were each sentenced to probation for a term of two years.Assistant U.S. Attorney Shawn Adkins prosecuted the case on behalf of the government. The West Virginia State Police and the Pleasant’s County Sheriff’s Department investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Three convicted in Baltimore to West Virginia heroin trafficking operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Three individuals were convicted in federal court today for their role in a multi-state heroin trafficking operation, United States Attorney William J. Ihlenfeld, II, announced.
The defendants convicted today conspired with an extensive group of individuals to participate in drug trafficking scheme in which heroin was transported across state lines from Baltimore, Maryland into locations in West Virginia, Virginia, and Pennsylvania. The operation was disrupted in June 2015 by a 163-count federal indictment encompassing 41 defendants.
Jeffrey David Murphy, 34, of Martinsburg, pled guilty today to:
• One count of “Aiding and Abetting Possession with Intent to Distribute Heroin” for which he faces up to 20 years in prison and a fine of up to $1,000,000, • One count of “Aiding and Abetting Interstate Travel in Aid of Racketeering” for which he faces up to five years in prison and a fine of up to $250,000, and
• One count of “Use of a Telephone to Facilitate the Distribution of Heroin” for which he faces up to four years in prison and a fine of up to $250,000.Veronica Thomas, 24, of Chambersburg, Pennsylvania, pled guilty today to one count of “Conspiracy to Distribute Heroin.” She faces up to 20 years in prison and a fine of up to $1,000,000.
Cameron Stinebaugh, 28, of Berkeley Springs, West Virginia, pled guilty today to one count of “Aiding and Abetting Interstate Travel in Aid of Racketeering.” 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 defendants.
Assistant U.S. Attorneys Anna Krasinski and Paul Camilletti prosecuted the case on behalf of the government. The Eastern Panhandle Drug and Violent Crimes Task Force, a HIDTA-funded initiative, and the Federal Bureau of Investigation led the inquiry.
U.S. Magistrate Judge Robert W. Trumble presided.
Three Long Island Men Plead Guilty in White Plains Federal Court in Connection with Sullivan County ArsonRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that NICHOLAS MOTTA and DOMINIC MOTTA pled guilty today in White Plains federal court to attempted mail fraud in connection with a scheme to obtain insurance proceeds by committing arson. Previously, on October 23, 2015, a third defendant, ANTHONY PERSO, pled guilty to attempted mail fraud in connection with the same arson and insurance fraud scheme. All defendants pled guilty before the U.S. District Judge Nelson S. Román. The MOTTAS are scheduled to be sentenced on February 11, 2016; PERSO is scheduled to be sentenced on January 29, 2016.
According to the allegations contained in the indictment and information adduced during the Court proceedings:
In the early morning hours of February 10, 2010, during an extraordinary blizzard, a shuttered bar in Swan Lake, New York, formerly known as Kilcoin’s, was set ablaze and destroyed. PERSO was among the individuals who set the fire. NICHOLAS and DOMINIC MOTTA owned the bar, and arranged the arson by having others, including PERSO, travel to Sullivan County to set the bar afire, in order to make a claim to recover proceeds from the insurance company. In pursuing the insurance claim, DOMINIC MOTTA deceived the insurance company about the fire in order to attempt to obtain more than $100,000 in insurance proceeds. The insurance company, however, detected the arson, and ultimately denied DOMINIC MOTTA’s claim when MOTTA repeatedly failed to respond to requests by the insurance company that he answer questions about the fire under oath.
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DOMINIC MOTTA, 59, and NICHOLAS MOTTA, 43, both of Islandia, New York, and PERSO, 32, of Medford, New York, each pled guilty to one count of attempted mail fraud. The offense carries a maximum penalty of 20 years in prison. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Bharara praised the outstanding investigative work of the Federal Bureau of Investigation, the Suffolk County District Attorney’s Office, the Suffolk County Police Department, and the Sullivan County Sheriff’s Office.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Benjamin Allee and George Turner are in charge of the prosecution.
Three Charged with Hacking into E*Trade and Scottrade in Massive Data Breach and Identity Theft SchemeRead the Press Release
ATLANTA – Three individuals were charged in an indictment unsealed today with an international scheme to hack into E*TRADE Financial Services Corporation and Scottrade Financial Services, Inc. to steal sensitive personal identifying information from millions of customers and build their own securities brokerage using the companies’ proprietary databases.
“The massive scale of these data breaches is staggering. But the methods and goals of this scheme are all too familiar and highlight the critical threat that cyber-crime poses to our nation’s economic security,” said U.S. Attorney John Horn. “The indictment alleges that the defendants launched sophisticated cyber-attacks against financial institutions and stole personal identifying information of millions of customers. The charges announced today send a clear message that international borders will not impede our efforts to prosecute cyber-criminals who seek to breach our computer networks.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated, “This investigation, and the charges announced today, clearly illustrates that the FBI and its partners will not tolerate attacks of any kind on our nation’s financial infrastructure, and will continue to pursue those responsible as part of our collective effort to protect our citizens’ personal information. While corporations that hold our citizens’ data continue to be the targets of the evolving cyber threat, they are also the key to defeating it. This investigation is a prime example of how collaborative efforts between the public and private sector lead to tangible results in the fight against digital crimes.”
According to the indictment unsealed today: Between November 2012 and August 2014, Gery Shalon, a/k/a/ Garri Shalelashvili, Joshua Samuel Aaron, and an unidentified third hacker conspired to hack into the computer networks of financial institutions and media companies to steal customer data. In online chats, Shalon and the hacker discussed their plan to use the stolen customer contact information to build their own brokerage database for marketing stocks to potential investors, boasted about their early success in “cold-calling” investors, and expressed hope that a bank would pay to acquire their database.
The indictment alleges that Shalon directed the hacker to breach companies with large customer databases of investors, including E*TRADE and Scottrade, and the hacker infiltrated their networks using sophisticated hacking techniques. In late November 2013 and early December 2013, the hacker breached Scottrade’s network and E*TRADE’s network using overseas servers provided by Shalon. After gaining a foothold in both networks, the hacker asked Shalon for the login credentials of a customer account at both companies in order to locate their customer databases. In response, Aaron provided Shalon with login credentials that Aaron wrongfully obtained from a United States victim, including the victim’s username and password, and Shalon sent the information to the hacker.
The indictment alleges that, using the victim’s login credentials, the hacker located E*TRADE’s and Scottrade’s customer databases. Shalon and the hacker discussed the personal identifying information information visible in the databases, and at Shalon’s direction, the hacker exported stolen customer data, including names, residential addresses, phone numbers, and email addresses, to an overseas server provided by Shalon.
In total, the defendants compromised customer databases containing the personal information of more than 10 million customers of E*TRADE and Scottrade alone.
A federal grand jury in Atlanta, Ga., returned a 10-count sealed indictment against Shalon, Aaron, and the third hacker on October 27, 2015. The indictment was unsealed today. The indictment charges them with one count of conspiracy to commit wire fraud, three counts of wire fraud, one count of conspiracy to commit computer fraud, two counts of computer fraud, and three counts of aggravated identity theft. Shalon, 31, a resident of Israel, was arrested by Israeli law enforcement in Savyon, Israel on July 21, 2015, and remains in custody in Israel, where extradition proceedings are pending. Aaron, 31, a United States citizen and resident of Israel, is not in custody.
Members of the public are reminded that the indictment contains only allegations. A defendant is presumed innocent of the charges, and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation with valuable assistance provided by the New York Field Office of the United States Secret Service. E*TRADE and Scottrade cooperated fully in the investigation. Foreign law enforcement partners also made significant contributions to the investigation, including the exceptional support and cooperation provided by the National Cyber Unit of the Israel Police. Valuable assistance also was provided by the Criminal Division’s Office of International Affairs and the U.S. Attorney’s Office for the Southern District of New York.
Assistant United States Attorney Nathan P. Kitchens is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Texas Woman Pleads Guilty in Credit Card Fraud SchemeRead the Press Release
BOISE – Brooke Ashley Darby, 29, of Fort Worth, Texas, pleaded guilty today to one count of wire fraud and one count of aggravated identity theft for her role in a credit card fraud scheme that targeted local retailers in June 2015, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, Darby traveled to the District of Idaho, along with her co-defendant, for the purpose of making fraudulent purchases of gift cards and merchandise from retail stores, using stolen credit card numbers encoded onto stock gift cards. Darby admitted to obtaining the stock gift cards encoded with unauthorized credit card numbers, and making purchases at retail stores on June 23 and June 24, 2015. In all, Darby admitted that, together, she and her co-defendant purchased approximately $13,095.90 in gift cards and merchandise with the fraudulently encoded gift cards. Upon her arrest, Darby and her co-defendant were found in possession of approximately 250 gift cards encoded with unauthorized credit card numbers. As part of her plea, Darby also agreed to forfeit a sum of money equivalent to the proceeds in gift cards and merchandise obtained by virtue of the charged offenses.
Wire Fraud is punishable by up to 20 years imprisonment, a $250,000 fine, a term of supervised release of not more than three years, and a $100 special assessment. Aggravated identity theft is punishable by a mandatory minimum term of imprisonment of two years, a term of supervised release of not more than one year, a maximum fine of $250,000, and a special assessment of $100. Sentencing is set for January 25, 2016, before Chief U.S. District Judge B. Lynn Winmill.
The case was investigated by the United States Secret Service and the Boise Police Department.
Texas Man Charged with Wire Fraud and Money LaunderingRead 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 Bradley Boyd, 43, of Rhome, Texas, was charged by criminal complaint with wire fraud and money laundering. The charges carry a maximum penalty of 20 years in prison and a $500,000 fine.Assistant U.S. Attorney John J. Field, who is handling the case, stated that according to the complaint, Boyd was president of River Cities Sawing (RCS), a concrete business involved in highway infrastructure projects. RCS entered into a factoring arrangement with a New York financing company, Durham Funding.
Boyd caused RCS to prepare and submit to Durham Funding approximately 60 fraudulent invoices totaling $1,500,000. Based on the fraudulent invoices, the financing company sent RCS approximately $970,000 between March 1, 2011 and July 1, 2011. The defendant used the money to make payments on loans, pay RCS expenses and pay personal expenses.
Boyd made an initial appearance today before U.S. Magistrate Judge Marian W. Payson and was released on conditions. He is due back in court on February 3, 2016, at 9:00 am.
The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen and Internal Revenue Service, Criminal Investigation Division, under the direction of Shantelle P. Kitchen, Special Agent in Charge.
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.
Texas Fugitive Sentenced to Prison for Aggravated Identity Theft and Manufacturing Counterfeit Federal Reserve NotesRead the Press Release
Jacksonville, Florida – Senior United States District Judge Henry Lee Adams today sentenced John Thomas Humphreys (46, Texas) to four years and six months in federal prison for manufacturing counterfeit Federal Reserve notes and for false representation of a Social Security number. As part of the sentence, the Court also ordered Humphreys to pay restitution to the businesses that he had defrauded.
According to the plea agreement, on February 2, 2015, the Green Cove Springs Police Department received information that two individuals, later identified as Humphreys and Joe Eugene Loving, were manufacturing counterfeit Federal Reserve notes in their hotel room at the Astoria Hotel in Clay County. The two men had active arrest warrants for parole violations in Texas and were subsequently arrested at the hotel by the Clay County Sheriff’s Office. Deputies found Loving in possession of a counterfeit $100 bill following his arrest.
During an interview with law enforcement, Humphreys and Loving stated that they had been involved in a drug deal in Texas in December 2014 and had been on the run ever since. They estimated printing and passing at least $10,000 in counterfeit currency. In addition, they printed counterfeit checks using the identities of others.
During a subsequent search of the hotel room, agents located a box of personal identification information and financial documents belonging to other individuals, a printer/scanner/copier with counterfeit checks lying on top of it, counterfeit currency, and various computer media that had been used to manufacture the counterfeit currency.
On September 11, 2015, Loving pleaded guilty to manufacturing counterfeit Federal Reserve notes, false representation of a Social Security number, and aggravated identity theft. His sentencing hearing is scheduled for December 1, 2015.
A third individual, Paul Corbin Pennington, Jr., was also charged in this case for passing counterfeit currency. Pennington, a maintenance worker at the Astoria Hotel, loaned Loving and Humphreys his computer. Loving and Humphreys then used the computer to print counterfeit checks. Pennington confessed to law enforcement that he had passed counterfeit currency in Clay County. On October 13, 2015, Pennington was sentenced to 141 days in federal prison and was ordered to pay restitution to the businesses that he had defrauded.
This case was investigated by the Green Cove Springs Police Department, the Clay County Sheriff’s Office, and the United States Secret Service - Jacksonville Field Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein.
Taos Pueblo Man Sentenced to Prison for Federal Involuntary Manslaughter ConvictionRead the Press Release
ALBUQUERQUE—Keith E. Lucero, 27, a member and resident of Taos Pueblo, N.M., was sentenced this morning in federal court in Santa Fe, N.M., to 37 months in federal prison followed by three years of supervised release for his conviction on involuntary manslaughter and assault resulting in serious bodily injury charges.
Lucero was arrested on July 28, 2014, on an indictment charging him with killing an Indian man and assaulting another Indian man, causing him to suffer serious bodily injury on March 2, 2014. The indictment alleged that Lucero committed these crimes while driving under the influence of alcohol in Indian Country in Taos County, N.M.
According to court filings, Lucero killed a Taos Pueblo man who was in Lucero’s vehicle during a crash in El Prado, N.M., while Lucero was under the influence of alcohol. Another Taos Pueblo man who was also a passenger in the vehicle sustained serious bodily injuries as a result of the crash.
On June 3, 2015, Lucero pled guilty to the indictment without the benefit of a plea agreement.
This case was investigated by the Northern Pueblos Agency of the BIA’s Office of Justice Services and the Taos Pueblo Department of Public Safety. Assistant U.S. Attorney Elaine Y. Ramirez prosecuted the case.
Suitland Woman Pleads Sentenced to Prison for Stealing over $115,000 in Social Security Retirement BenefitsRead the Press Release
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Theresa Darlene Snead, age 56, of Suitland, Maryland today to 18 months in prison, followed by three years of supervised release, for theft of government property in connection with a scheme to steal over $115,000 in social security benefits. Judge Chasanow also entered an order requiring Snead to pay restitution of $115,388.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Michael McGill of the Social Security Administration - Office of Inspector General, Philadelphia Field Division.
According to Snead’s plea agreement, between May 1986 and her death on January 10, 2003, Individual A received monthly retirement benefits from the Social Security Administration (SSA). At the time of her death, Individual A was living with Snead. Individual A’s death was not reported to SSA. Between January 2003 and March 2014, when the benefits were terminated, SSA continued to mail Individual A’s monthly benefits check to Snead’s address in Suitland.
Snead admitted that after Individual A’s death she cashed the SSA checks at a local liquor store, using an identification card bearing Individual A’s name, but Snead’s photograph. Snead signed the back of each check in Individual A’s name. SSA paid a total of $115,388 in retirement benefits after Individual A’s death. Snead admitted that she knew she was not entitled to these benefits.
United States Attorney Rod J. Rosenstein commended the SSA Office of Inspector General for its work in the investigation. Mr. Rosenstein thanked Special Assistant U.S. Attorney Lauren Perry and Assistant U. S. Attorney Lindsay Eyler Kaplan, who prosecuted the case.
St. Thomas Man Indicted on Bulk Cash Smuggling ChargeRead the Press Release
St. Thomas, USVI – A federal grand jury returned a one-count indictment on November 5, 2015, charging Kevin Greaves, 43, of St. Thomas, with Bulk Cash Smuggling, United States Attorney Ronald W. Sharpe announced today.
Greaves was arrested on August 22, 2015, and was released on home confinement with electronic monitoring after posting a $25,000.00 cash bond pending trial. His arraignment and advice of rights on the indictment are scheduled to occur on November 12, 2015.
According to the indictment and court documents, Department of Homeland Security Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI) agents were conducting surveillance in the East End area of St. John when they observed Greaves approach a vessel that had signaled its arrival from Tortola, BVI, to Greaves at an area overlooking Haulover Bay, St. John. Greaves traveled from the lookout area to Haulover Bay, met with the occupants of the vessel, then departed after a brief encounter. HSI agents followed Greaves to the Pine Peace area where they stopped him and questioned him about his travels. Greaves told agents that he went to Haulover Bay to discuss a welding job with a mechanic. Agents conducted a search of Greaves’ vehicle and found two duffle bags containing $118,000.00 cash in U.S. currency. Greaves was arrested and charged with failure to declare the currency after it arrived in the United States Virgin Islands from a place outside the United States.
United States Attorney Sharpe reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty. This case is being investigated by HSI, and is being prosecuted by Assistant United States Attorney Delia L. Smith.
St. Louis Company Charged with OSHA Violation that Caused Worker's DeathRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Pacific, Mo., company was charged in federal court today with violating an OSHA regulation and causing the death of a Raymore, Mo., ironworker.
DNRB, Inc., doing business as Fastrack Erectors, located in Pacific, was charged in an information filed in the U.S. District Court in Kansas City, Mo.
In July 2014, Fastrack was a subcontractor in the construction of a 300,000-square-foot distribution warehouse located in Kansas City, Mo. Fastrack is an American Institute of Steel Construction-certified steel erection company that specializes in structural steel, miscellaneous steel, pre-engineered metal buildings, ornamental metal handrail, and precast installation. Fastrack supplied on-site supervisors (who are based in the St. Louis, Mo., area) while the ironworkers were hired from the union local in Kansas City, Mo.
On July 24, 2014, two Fastrack ironworker employees were receiving a bundle of roof decking sheet metal and setting it on top of the building’s bar joists. The employees’ task required them to guide the decking bundle to land it. Each decking bundle was 26 feet long by 36 inches wide. The employees accessed the top of the building from a scissor lift and walked approximately 15 feet along a joist without wearing any fall protection. They walked on trusses that were nine inches wide, or bar joists which were five inches wide. Other ironworkers secured the decking to the trusses with screws and welds. These workers did not use fall protection.
Eric Roach, 22, one of the employees landing the decking, fell approximately 30 feet to the ground and was transported to a local hospital where he died the following day.
Fastrack was a subcontractor to ARCO National Construction-KC, Inc. According to court documents, the contract between ARCO and Fastrack required that Fastrack “personnel who are working or present at heights in excess of 6 feet shall be provided, by (Fastrack) adequate fall protection.” Fastrack allegedly failed to enforce the use of fall protection.
According to the information filed today, no fall protection equipment was provided by the company. Both working foremen on the site were told, or questioned, about the lack of fall protection equipment, the information says, and were in a position to personally observe employees failing to use fall protection equipment. At least one of the foremen allegedly was working on the decking in the immediate area of the employees; he failed to wear fall protection himself and failed to enforce the use of fall protection by the employees.
Federal statutes require that each employee engaged in a steel erection activity who is on a walking/working surface with an unprotected side or edge more than 15 feet above a lower level shall be protected from fall hazards by guardrail systems, safety net systems, personal fall arrest systems, positioning device systems or fall restraint systems.
Dickinson cautioned that the charge contained in this information is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by the Occupational Safety and Health Administration and the Department of Labor – Office of Solicitor.
St. Croix Woman Sentenced to 18 Months in Prison for Manufacture of MarijuanaRead the Press Release
St. Croix, USVI – District Court Chief Judge Wilma A. Lewis on November 6, 2015, sentenced
Gail Leung, 57, to 18 months in prison for manufacture of marijuana, United States Attorney Ronald W. Sharpe announced today.Judge Lewis also ordered Leung to serve two years of supervised release, and pay a $100 special assessment and $5,000 fine.
On June 11, 2015, Leung pleaded guilty to manufacture of marijuana. As part of her plea, she agreed to pay a forfeiture money judgment in the amount of $3,000. According to court documents, Leung knowingly and intentionally grew marijuana plants on her property in Estate Mount Pleasant, St. Croix. On May 28, 2014, the U.S. Drug Enforcement Administration (DEA) removed a total of 200 marijuana plants from the property.
This case was investigated by the DEA. It was prosecuted by Assistant United States Attorney Rhonda Williams-Henry.
Seven Defendants Convicted for Their Roles in $33 Million Tax Refund SchemeRead the Press Release
FRESNO, Calif. — After a three-and-a-half week trial, a federal jury in Fresno has found four defendants guilty of participating in a tax refund scheme claiming more than $33 million in federal tax refunds, United States Attorney Benjamin B. Wagner announced.
Fresno residents Gaylene Lynette Bolanos,58; and Leroy Donovan Combs, 74; Madera County resident Charles Wayne Uptergrove, 57; and Ladonna Lee Moon, 55, of Texas, were convicted of submitting false claims against the United States. Bolanos was also found guilty of conspiracy to defraud. The jury was unable to reach a verdict as to Rodney Edwin Moon, of Texas.
Prior to trial, co-defendants James Karam Schwartz, 60, and Louie Calles, 65, pleaded guilty to submitting false claims against the United States. Another co-defendant, Oswald Georgner, 66, of Fresno, pleaded guilty to the conspiracy to defraud. Each of the defendants is awaiting sentencing.
According to court documents and testimony at trial, between August 2008 and October 16, 2008, Bolanos and Georgner conspired to submit false claims for income tax refunds. Bolanos and Georgner worked with others, including Combs, Uptergrove, Calles, Schwartz, and Ladonna Lee Moon to submit false tax returns in an attempt to eliminate their debts and receive sizable tax refunds by submitting their tax returns with false claims of interest income and withholding citing IRS Form 1099-OID.
As part of the scheme, the defendants submitted false tax returns to the IRS seeking more than $33 million in fraudulent tax refunds. As a result of these fraudulent tax refund claims, the IRS issued approximately $400,000 in fraudulent refunds. The tax returns were fraudulent because the defendants listed their debts, bills, and other non-income items as interest income. The defendants then claimed that almost all of that interest income had been withheld and paid to the IRS, even though none of the purported interest income was ever withheld. Based on the reported withholdings, the defendants claimed they were owed millions of dollars in refunds by the IRS.
“These defendants went well beyond cheating on their taxes to avoid paying their fair share,” said U.S. Attorney Wagner. “They sought to steal millions in taxpayer funds meant to provide services for us all. We are pleased by the jury’s verdict and we will continue our efforts to bring to justice those who would plunder the public fisc.”
“Plain and simple, this was fraud,” said Acting Special Agent in Charge Thomas McMahon, IRS Criminal Investigation. “Today’s conviction should send a clear message that those involved in these schemes will not go undetected. It is more important than ever that the American people feel confident that everyone is playing by the rules and paying the taxes they owe.”
This case is the product of an investigation by the Internal Revenue Service‑Criminal Investigation. Assistant United States Attorneys Grant B. Rabenn and Henry Z. Carbajal III are prosecuting the case with assistance from Trial Attorney Karen J. Sharp, of the Department of Justice, Antitrust Division.
The four defendants convicted at trial are scheduled to be sentenced my United States District Judge Anthony W. Ishii on March 7, 2016. They face a maximum statutory penalty of five years in prison on each false claims charge. Bolanos and Georgner face a maximum statutory penalty of 10 years in prison for the conspiracy charge. The actual sentences, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sentenciado un Antiguo Residente De Roseville por Estafa de Modificaciones de Préstamos y Rescates de Embargos Inmobiliarios Orientada a la Comunidad de Habla HispanaRead the Press Release
SACRAMENTO, California – Martin Wayne Flanders, de 51 años de edad, y antiguo residente de Roseville, fue sentenciado hoy por el Juez del Distrito de los Estados Unidos Troy L. Nunley a seis años y cinco meses de prisión por una trama que se dirigía a propietarios de viviendas que se encontraban en dificultades económicas, anunció el Procurador de los Estados Unidos Benjamín B. Wagner.
En febrero del 2015, Flanders y su esposa Ligia Sandoval Spafford (Sandoval), de 48 años de edad, y residente de Roseville, se declararon culpables de fraude por correo en su participación en la trama fraudulenta.
Según documentos del tribunal, entre los años 2008 y 2010, Flanders cobró tarifas por adelantado a sus clientes por un número de servicios financieros que incluían modificaciones de préstamos, revisiones de préstamos hipotecarios, recuperación de crédito, liberación de deuda, peticiones de bancarrota y un programa para vender casas a “inversionistas” que las alquilaban con la opción a compra. Flanders y Sandoval comerciaban estos servicios con aquellos propietarios de viviendas que se encontraban en dificultades económicas, y en particular con énfasis a personas de habla hispana. Durante un programa de radio que se emitía dos veces por semana en la zona del “Bay Area” por Radio Luz, una emisora de radio Cristiana en español, Sandoval promovía los servicios que ella y Flanders ofrecían. Flanders también hacía publicidad en Univisión, un canal de televisión en español, y revistas en español. Cerca de un 98 por ciento de los clientes de los demandados eran de descendencia hispana; algunos hablaban nada o poco inglés. Sandoval habla español, pero Flanders no lo habla.
Tanto Flanders como Sandoval dieron testimonios falsos a los inversores sobre el éxito de los planes que se ofrecían o, en el caso, de las devoluciones que estaban disponibles si los planes no prosperaban. En el intento de retrasar el proceso de embargo de las viviendas, Flanders y Sandoval se servían de ofertas ficticias llamadas “ofertas fantasma” para comprar las viviendas de las víctimas a precio reducido, un proceso llamado “short sale,” como también de fingidas peticiones de bancarrota que eran rápidamente desestimadas por el tribunal de bancarrotas llamadas “bancarrotas de esqueleto.” Al menos, entre 25 a 30 individuos pagaron por los servicios que nunca recibieron o no recibieron las devoluciones cuando los planes no cumplieron con lo prometido. Como mínimo, las pérdidas totales para las víctimas fueron de $125,000 dólares. Algunos propietarios que no pudieron recibir subsidios fueron embargados por sus entidades de credito.
“Al dirigirse a personas en situaciones de dificultades económicas y con un dominio limitado del inglés, Flanders buscaba enriquecerse estando sobre las espaldas de aquellos que menos podían permitírselo,” declaró el Procurador de los Estados Unidos Wagner. “Estamos agradecidos de la sentencia impuesta por el tribunal, y continuaremos a enfocar nuestros esfuerzos en el procesamiento de tramas depredadoras y fraudulentas.”
Este caso es un producto de una investigación por la Oficina Federal de Investigación (FBI). Los Procuradores Auxiliares de los Estados Unidos Todd A. Pickles y Shelley Weger están procesando el caso.
Flanders está en detención desde su arresto en octubre del 2012. Sandoval está actualmente en libertad. Sandoval está programada para ser sentenciada por el Juez Nunley el 3 de marzo del 2016. Ella se enfrenta a una pena máxima establecida por la ley de 20 años en prisión y una multa de $250,000 dólares. El tribunal, no obstante, se reserva la decisión sobre la sentencia, propiamente dicha, y hasta que todos los factores aplicables establecidos por la ley y por las Directrices Federales para Dictar Sentencia sean considerados, tomando en cuenta un número determinado de variables.
Seminole Man Pleads Guilty to Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that BRANDON LEE DEATHERAGE, age 40, of Seminole, Oklahoma, pled guilty to DRUG CONSPIRACY, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(A), punishable by not less than 10 years or more than life imprisonment, up to a $10,000,000.00 fine or both.
The Indictment alleged that beginning in or about April 2015, the exact date being unknown to the Grand Jury, and continuing until on or about September 2015, within the Eastern District of Oklahoma and elsewhere, the defendant did knowingly and intentionally combine, conspire, confederate and agree together, and with others known and unknown to the Grand Jury, to commit offenses against the United States, to possess with intent to distribute and to distribute 500 grams or more of a mixture or substance containing a detectable amount of Methamphetamine, a Schedule II Controlled Substance.
The charges arose from an investigation by the McAlester Police Department, District 18 District Attorney’s Drug Task Force, Seminole Nation Lighthorse Police, Oklahoma Highway Patrol, Seminole County Sheriff’s Office, Seminole Police Department, Oklahoma Bureau of Narcotics, United States Marshal Service and the Drug Enforcement Administration.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the guilty plea and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendant will remain in the custody of the United States Marshal Service pending sentencing.
Assistant United States Attorney Shannon Henson represented the United States.
Rockport Man Convicted for Producing Child PornographyRead the Press Release
CORPUS CHRISTI, Texas – Calvin Nesmith, 28, of Rockport, has entered a guilty plea to sexual exploitation of a child, otherwise known as production of child pornography, announced U.S. Attorney Kenneth Magidson.
In June 2015, Nesmith was communicating with a person he believed was the mother of two minor female children. In reality, he was actually talking to an undercover Homeland Security Investigations (HSI) agent from Laredo. During the course of the communications, Nesmith made arrangements to meet and engage in sexual activity with the mother’s minor female children.
Nesmith also sent sexually explicit photographs depicting images of child pornography through text messages and emails to the undercover agent. The images were taken of a 14-year-old female while she was sleeping.
He was apprehended as he arrived at the designated meeting place. At the time of his arrest, Nesmith had several electronic devices and condoms with him. A forensic search of those electronic devices led to the discovery of an electronic image depicting Nesmith involved in sexually explicit conduct with a female minor.
Senior U.S. District Judge Janis Graham Jack accepted the guilty plea today and set sentencing for Jan. 21, 2016, at which time Nesmith faces a minimum of 15 and up to 30 years in federal prison. Upon completion of any prison term imposed, Nesmith also faces a maximum of life on supervised release during which time the court can impose a number of special conditions designed to protect children and prohibit the use of the Internet.
Nesmith was arrested on the federal charges in September 2015 and has been in custody since that time where he will remain pending his sentencing hearing.
The charges were the result of an investigation conducted by Homeland Security Investigations with the assistance of the Corpus Christi Police Department – Internet Crimes Against Children Task Force.
This case, prosecuted by Assistant U.S. Attorney Hugo R. Martinez, was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Roaming Shores man faces additional drug and firearms chargesRead the Press Release
A federal grand jury sitting returned a six-count superseding indictment charging a Roaming Shores man with distribution of heroin, distribution of crack cocaine, possessing a firearm during a drug trafficking crime, and being a felon in possession of firearms and ammunition, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio.
James E. Brooks, 40, remains detained in federal custody.
Brooks knowingly and intentionally distributed crack cocaine on August 12, 2015, on August 13, 2015, and on August 17, 2015. He also distributed heroin on August 17, 2015, according to the indictment.
Brooks possessed a firearm during the August 17, 2015, drug trafficking crime. The indictment also alleges that on August 20, 2015, Brooks possessed a Walther, model P22, .22 Caliber Pistol; a Winchester, model 50, 12 gauge shotgun; and a Winchester, model 120, 12 gauge shotgun. Brooks was forbidden from possessing firearms because of previous felony convictions including drug abuse, burglary, aggravated robbery with a firearm specification, felonious assault, escape, and felonious assault with a firearm specification, all in the Trumbull County Court of Common Pleas.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Jason M. Katz following an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ashtabula County Sheriff’s Office, the Warren Police Department, the Ohio State Highway Patrol, Ohio BCI&I and the TAG Law Enforcement Task Force.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Richland County Man Sentenced to 30 years Following TrialRead the Press Release
Contact Person: William Witherspoon (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that Harold Hall, Jr., age 34, of Richland County, South Carolina was sentenced today in federal court in Columbia, South Carolina, for being a felon in possession of a firearm, a violation of 18 U.S.C. § 922(g)(1), possession with the intent to distribute marijuana, a violation of 21 U.S.C. § 841(a)(1), and possession of a firearm in furtherance of a drug trafficking crime, a violation of 18 U.S.C. § 924(c). United States District Judge Joseph F. Anderson, Jr. of Columbia sentenced Hall to a total of 360 months (30 years) on all three counts. In addition, Hall must serve 3 years of supervised release following his incarceration.
Evidence presented at the trial established that on June 25, 2012, the Richland County Sheriff’s Department with the use of a confidential informant made a purchase of marijuana from the home where Hall lived. Following this purchase, the police obtained a search warrant for the home. During the execution of the warrant, the police found more than 10 pounds of marijuana, 3 firearms and over $1,000.00. The police also found documentation that tied Hall to the residence. Hall and a relative were arrested a short distance from the home. During the trial, Hall’s relative testified that all of the marijuana, firearms and cash belonged to him and that Hall had nothing to do with the marijuana and firearms. The jury found the testimony of the relative incredible and convicted Hall on all counts. The case was investigated by agents of the Federal Bureau of Investigations and Richland County Sheriff's Department Narcotics Unit. Assistant United States Attorney William K. Witherspoon and Benjamin Garner of the Columbia office prosecuted the case. #####Perry County Resident Sentenced on Methamphetamine OffenseRead the Press Release
On November 4, 2015, Herman E. Sims, Jr., 35, of Pinckneyville, was sentenced in United States District Court, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
Sims, who had previously pled guilty to one count of conspiracy to manufacture methamphetamine, was sentenced to 84 months in federal prison, to be followed by 3 years’ supervised release, and fined $600. Evidence at the plea and sentencing hearings established that Sims was involved with others in the manufacture of methamphetamine. Sims stole anhydrous ammonia and manufactured methamphetamine with others. At sentencing, the district judge found that Sims’s relevant conduct included 360 grams of methamphetamine. The offense occurred between 2012 and December 2014, in Perry, Jackson, and Randolph Franklin Counties. Co-defendant Jamie Trzinski was previously sentenced to 57 months in prison for her role in the methamphetamine conspiracy. Three other co-defendants have pled guilty and are awaiting sentencing.
The ongoing investigation is being conducted by the Perry County Sheriff’s Office, Jackson County Sheriff’s Office, Perry County Drug Task Force, Murphysboro Police Department, Randolph County Sheriff’s Office, and DuQuoin Police Department. The Pinckneyville Police Department and Illinois State Police Methamphetamine Response Team assisted in the investigation.
The case is assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Palm Coast Man Sentenced to Federal Prison for Failing to Register as A Sex OffenderRead the Press Release
Jacksonville, Florida – United States District Judge Marcia Morales Howard has sentenced Stephen Paul Cotton (43, Palm Coast) to 23 months in federal prison for failing to register as sex offender after traveling from Florida to North Carolina. He was also ordered to register as a sex offender and to serve a five-year term of supervised release. Cotton has been in the custody since his arrest in Suwanee, Georgia on April 11, 2015.
According to court documents, in January 1999, Cotton was convicted of committing a lewd and lascivious act on a child in Manatee County. Subsequent to his conviction, and between 2004 and 2012, he registered as a sex offender with Florida authorities as required. However, between July 2, 2012, and April 11, 2015, Cotton traveled from Florida to Virginia, North Carolina, Tennessee, and Georgia, but failed to register as a sex offender as required by the Sex Offender Registration and Notification Act.
The Sex Offender Registration and Notification Act is part of the Adam Walsh Child Protection and Safety Act of 2006. The Adam Walsh Act provides for the use of federal law enforcement resources, including the United States Marshals Service, to assist state and local authorities in locating and apprehending non-compliant sex offenders. This case was investigated by the United States Marshals Service, the Suwanee (Georgia) Police Department, the Flagler County Sheriff’s Office, and the Florida Department of Law Enforcement. It was prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case 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 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.
Omaha Woman Sentenced for Conspiracy to Distribute OxycodoneRead the Press Release
United States Attorney Deborah R. Gilg announced that Christina Hingorani, 30, of Omaha, Nebraska, was sentenced on November 10, 2015, by United States District Senior Judge Joseph F. Bataillon. This case involved a conspiracy to distribute and possess with intent to distribute oxycodone in Omaha. The defendant was sentenced to time served, a three year term of supervised release, and a $100 special assessment.
This case was investigated by the Drug Enforcement Administration.