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Wednesday 9 September 2015
Guilty Plea in Case of Disabled Adults Held Captive in Subhuman ConditionsRead the Press Release
PHILADELPHIA - Linda Weston, 55, of Philadelphia, PA, pleaded guilty today to all charges in a racketeering and hate crimes case that involved holding disabled adults captive in locked closets, basements, and attics in Philadelphia’s Tacony section and in other states. Weston pleaded guilty to racketeering conspiracy, kidnapping resulting in the death of the victim, forced human labor, involuntary servitude, multiple counts of murder in aid of racketeering, hate crime, violent crime in aid of racketeering, sex trafficking, kidnapping, theft of government funds, wire fraud, mail fraud, use of a firearm in furtherance of a violent crime, and false statements. U.S. District Court Judge Cynthia M. Rufe scheduled a sentencing hearing for November 5, 2015. Weston has agreed to a sentence of life plus 80 years in prison, restitution, fines, supervised release, and special assessments.
From approximately 2001 through October 2011, Linda Weston and her co-conspirators lured mentally handicapped individuals into locations rented by Weston, Jean McIntosh, Eddie Wright and others in Philadelphia, Pennsylvania, Killeen, Texas, Norfolk, Virginia, and West Palm Beach, Florida. The group targeted mentally challenged individuals who were estranged from their families. Once Linda Weston convinced them to move in, she became their representative payee with Social Security and began to receive their disability benefits and in some instances, their state benefits. On one occasion, Weston and one of her co-defendants took the social security and identification documents from a victim by force and then used the funds for her own and Weston Family purposes.
Weston, Jean McIntosh, Eddie Wright and others confined their victims to locked rooms, basements, closets, attics, and apartments. While confined, the captives were often isolated, in the dark, and sedated with drugs placed in their food and drink by Weston and other defendants. When the individuals tried to escape, stole food, or otherwise protested their treatment, Weston and others punished them by slapping, punching, kicking, stabbing, burning and hitting them with closed hands, belts, sticks, bats, and hammers or other objects, including the butt of a pistol. Some victims endured the abuse for years, until October 15, 2011, when Philadelphia Police officers rescued them from the sub-basement of an apartment building in the city's Tacony section. The enterprise victimized six disabled adults and four children.
In April 2005, Weston and a co-defendant targeted victim D.S. They brought D.S. to a home at 2211 Glenview Avenue, in Philadelphia. D.S. was kept in the basement with the other victims, fed a substandard diet, and not allowed to use the bathroom. On June 26, 2005, D.S. was found dead in the basement. Weston ordered other members of the household to move D.S.'s body to a different location before calling law enforcement.
In 2008, victim M.L. was living with the family. M.L. was beaten when she tried to escape or when she begged for food and never received medical attention for any of her injuries. After Weston moved the enterprise to Virginia in 2008, Weston confined M.L. inside a kitchen cabinet and an attic for several months. M.L. subsequently died of bacterial meningitis and starvation in November of 2008. Weston ordered other members of the household to move M.L.'s body to a bedroom and stage the scene before calling law enforcement. The next day the family left for Philadelphia.
Weston’s daughter, Jean McIntosh, and co-defendant Eddie Wright have already pleaded guilty. Co-defendants Gregory Thomas, Sr., and Nicklaus Woodard are awaiting trial.
The case was investigated by the FBI, the Social Security Administration Office of Inspector General, IRS Criminal Investigations, the Philadelphia Police Department, and the Philadelphia District Attorney’s Office with assistance from the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ West Palm Beach Field Office. It is being prosecuted by Assistant United States Attorneys Richard P. Barrett and Faithe Moore Taylor.
Gangster Disciples Member Receives 120 Months in Federal PrisonRead the Press Release
Memphis, TN – A 22-year-old member of the Gangster Disciples has been sentenced to 10 years in federal prison for felony possession of a firearm. The sentencing was announced today by Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee.
Gregory Shaw a.k.a. Violent is part of a Ripley, TN-based subset of the Gangster Disciples, one of the nation’s largest gangs. According to the indictment, on November 4th, 2014, Shaw knowingly possessed a Smith & Wesson .380 caliber pistol. He was a felon at the time.
According to information presented at the sentencing hearing, Shaw, along with several other members of the criminal street gang, robbed five individuals in the Highland Street Apartments Complex at gunpoint. Shaw struck two of the individuals in the head with a pistol. The perpetrators reportedly yelled out phrases symbolizing their allegiance to the Gangster Disciples during the crime.
An anonymous individual alerted the Ripley Police Department of a commotion involving individuals with handguns, according to court information. When officers arrived on the scene, they saw several males running from the back of the apartment complex. Law enforcement was able to locate and apprehend Shaw shortly after the crime behind a nearby residence. A loaded Smith & Wesson .380 caliber pistol and one of the victims’ wallets were in his possession. The gun had been stolen during a residential burglary in May 2013.
Last week, Judge John T. Fowlkes Jr. sentenced Shaw to the statutory maximum of 120 months imprisonment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives; Tennessee Bureau of Investigation; Ripley Police Department; and 25th Judicial District Attorney General’s Office.
The case was prosecuted by Special Assistant U.S. Attorney Samuel Stringfellow on the government’s behalf.
Four Individuals Plead Guilty to Wire Fraud ConspiracyRead the Press Release
SAN JUAN, P.R. – Today, defendants Joel Díaz Rosario, Mitza Vázquez Meléndez, Marielexy Cestary Roland, and Carlos Calderón Díaz pled guilty before United States Magistrate Judge Bruce J. McGiverin to charges of conspiracy to commit wire fraud and wire fraud, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. On March 25, 2015, a Federal grand jury returned a twenty-three count indictment charging these individuals. The United States Secret Service and the Puerto Rico Police Department were in charge of the investigation.
Beginning in or about June 2008, and continuing to in or about October 2011, the defendants knowingly and willfully conspired or engaged in a scheme to defraud AMGEN to obtain money and property by means of materially false and fraudulent pretenses, representations and promises. The purpose of this scheme was for the defendants to divert AMGEN monies to their pockets using AMGEN’s American Express corporate accounts by making it appear that the transactions were valid purchases to approved vendors when, in fact, they were not. In order to execute the scheme, defendants caused to be transmitted by means of wire communications in interstate commerce numerous fictitious charges for various amounts using AMGEN’s American Express accounts to “approved vendors.”
Defendants admitted that the charges were not actual valid purchases to AMGEN vendors. Rather, this was simply a fictitious method by which to transfer AMGEN monies to defendants for their own pecuniary profit and gain. AMGEN suffered losses totaling over $1.3 million because of this fraudulent scheme.
AMGEN is a multinational company with a manufacturing plant in Juncos, Puerto Rico, which develops biopharmaceutical products. AMGEN’s servers are located in California, Nevada, Rhode Island, Washington, and Colorado. As part of its business, AMGEN issued certain employees American Express credit cards to be used only for official purchases on behalf of AMGEN. Defendant admits that all purchases made using these cards were routed through American Express’ servers in Phoenix, Arizona.
“Some of the defendants had the duty and responsibility to ensure that AMGEN’s facility was able to properly operate twenty four hours a day, seven days a week; but instead, they misused their positions of trust within the company to commit fraud to enrich themselves illegally,” stated Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. “AMGEN suffered a loss of over $1.3 million as a result of the scheme; those responsible for this loss were held accountable for their corrupt actions.”
The case was investigated by the United States Secret Service with the collaboration of the Puerto Rico Police Department, and prosecuted by Assistant United States Attorney Luke Cass.
Four Executives Sentenced in Manhattan Federal Court for Their Roles in Multimillion-Dollar Corporate Accounting FraudRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that STEVEN KAITZ, LATCHMEE MAHATO, a/k/a “Robbie,” and JONATHAN WHEELER, the three owners and principals of Projuban, LLC, d/b/a G3K Displays, Inc., and related entities (“G3K”) – a New Jersey-based company that provided in-store displays for retailers – and ZACHARY KAITZ, an executive at G3K, were sentenced in Manhattan federal court for their roles in an elaborate scheme to defraud G3K’s lenders and customers out of millions of dollars. U.S. District Judge Jed S. Rakoff sentenced STEVEN KAITZ yesterday to 40 months in prison. Today, Judge Rakoff sentenced MAHATO to 24 months in prison; WHEELER to 21 months in prison; and ZACHARY KAITZ to four months in prison. STEVEN KAITZ, MAHATO, WHEELER, and ZACHARY KAITZ, and Kathleen Smith, the fifth defendant charged in this case, each pled guilty earlier this year before Judge Rakoff.
Manhattan U.S. Attorney Preet Bharara said: “This case highlights the lengths people will go to steal money and cover their tracks. These defendants covered much of the fraud playbook, from creating phony purchase orders and invoices to using fake email customer accounts to inflate company revenues, and then used the ill-gotten gains to pay for homes, luxury cars, and private school tuition.”
According to the Indictment and statements made during the proceedings in this case:
STEVEN KAITZ, LATCHMEE MAHATO, and JONATHAN WHEELER were the three owners and principals of G3K, a company that manufactured and designed displays for retailers around the world, including major retailers of sports apparel and footwear. ZACHARY KAITZ served as G3K’s vice president of creative services.
From 2012 to May 2014, in order to trick various lenders, including Veritas Financial Partners, LLC, and MVC Capital, Inc., into lending at least $18.6 million to G3K, STEVEN KAITZ, MAHATO, WHEELER, and others engaged in a scheme to falsely inflate G3K’s revenue and accounts receivable, and as part of the scheme, made and caused to be made materially false and misleading statements about G3K’s financial condition. To create the false impression of sales, the defendants created phony documents, including fake and falsely inflated purchase orders purporting to reflect sales to G3K’s customers. STEVEN KAITZ, MAHATO, WHEELER, and Kathleen Smith also tricked certain of the company’s customers, including Foot Locker, Inc., Smith’s employer, into paying falsely inflated invoices from G3K.
The defendants took elaborate steps to keep the scheme afloat and prevent G3K’s lenders and outside auditors from discovering the fraud. For example, STEVEN KAITZ, MAHATO, and WHEELER were involved in the creation of fake email accounts purporting to belong to fictitious employees of Foot Locker and Adidas, G3K’s two largest customers. STEVEN KAITZ, MAHATO, and WHEELER operated these fake email accounts themselves, pretending to be employees of those customers, and then used those fake email accounts to “verify” false information about G3K’s financial condition, including its sales and accounts receivable, to G3K’s lenders and outside auditors. STEVEN KAITZ, MAHATO, and WHEELER also utilized shell companies to engage in “round-trip” transactions to create the false appearance that customers were paying G3K’s phony outstanding receivables, thereby allowing G3K to continue to borrow from its lenders. ZACHARY KAITZ, who was skilled in graphic design, helped carry out the fraud by creating fraudulent documentation, such as fake invoices, purchase orders, and bills of lading, to support the false representations to the lenders about G3K’s business.
STEVEN KAITZ, MAHATO, and WHEELER further misappropriated approximately $2.8 million of the loan proceeds for their own personal use, to pay for homes and luxury cars, private school tuition, and personal credit card bills, as well as kickbacks to Smith.
As of May 2014, when G3K’s lenders terminated their lending relationships with the company after discovering the fraud, G3K had approximately $18.6 million in loans outstanding.
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In addition to their prison terms, STEVEN KAITZ, 56, of Jersey City, New Jersey, was ordered to forfeit $1,382,427 and pay $18,687,518 in restitution; LATCHMEE MAHATO, a/k/a “Robbie,” 50, of Jamaica, Queens, was ordered to forfeit $2,215,417 and pay $18,687,518 in restitution; JONATHAN WHEELER, 46, of Southport, Connecticut, was ordered to forfeit $957,435 and pay $18,687,518 in restitution; and ZACHARY KAITZ, 32, of Brooklyn, New York, was ordered to forfeit $100,000 and pay $18,687,518 in restitution.
Kathleen Smith, 50, of South Plainfield, New Jersey, is scheduled to be sentenced before Judge Rakoff on October 16, 2015.
Mr. Bharara praised the investigative work of the Federal Bureau of Investigation.
The case is being prosecuted by the Office’s Complex Frauds & Cybercrime Unit. Assistant U.S. Attorney Joshua A. Naftalis is in charge of the prosecution. Assistant U.S. Attorney Edward B. Diskant of the Money Laundering & Asset Forfeiture Unit is responsible for the forfeiture aspects of the prosecution.
Former Roxse Homes Workers Charged with Taking BribesRead the Press Release
BOSTON – Two former Roxse Homes employees were arrested today on charges that they conspired to rent apartments at the housing development in Roxbury to individuals who were not qualified for those apartments, in exchange for cash bribes.
Mathis Lemons, 41, of Brockton, and Ismael Morales, 35, of Jamaica Plain, were indicted on one count of conspiracy and seven counts of bribery.
The Indictment alleges that Lemons was the assistant property manager and that Morales was a maintenance technician for Roxse Homes, a subsidized housing development on Tremont Street in Roxbury. At Roxse Homes, eligible low-income families and individuals can obtain rental housing for a subsidized rate with Section 8 housing benefits from the U.S. Department of Housing and Urban Development. In 2014, there was a shortage of federally subsidized Section 8 housing in Massachusetts, and Roxse Homes maintained a long waitlist of applicants desiring apartments in the complex. The Roxse Homes waitlist had been closed to external applicants since 2009.
The Indictment alleges that, between approximately September 2014 and February 2015, Lemons and Morales conspired to rent apartments to individuals who were not eligible for subsidized Roxse Homes apartments because they were not on the waitlist. Morales solicited and accepted money from individuals, and in return provided them with blank rental applications. Morales also instructed some of the individuals not to date their applications, or to date their applications in 2006 or 2009, when in fact the applications were completed in 2014. Lemons then added the unqualified individuals to the Roxse Homes computerized waitlist, and falsely wrote that their application dates were 2006 or 2009.
The charge of conspiracy provides a sentence of no greater than five years in prison, three years of supervised release, and a fine of $250,000. The charge of bribery provides a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of the Inspector General, New York Regional Office; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston; Glenn A. Cunha, Inspector General of Massachusetts; and Boston Police Commissioner William B. Evans, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Kristina E. Barclay of Ortiz’s Public Corruption Unit.
The details contained in the Indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Minnesota Real Estate Developer Sentenced to 78 Months in Prison and $1.5 Million Special Assessment for Tax Evasion, Mail and Wire FraudRead the Press Release
United States Attorney Andrew M. Luger today announced the sentencing of BARTOLOMEA JOSEPH MONTANARI, 57, formerly of Bayport, Minn., to 78 months of imprisonment for tax evasion and fraud.
On May 21, 2014, MONTANARI was indicted with one count of Evasion of Payment of Taxes, one count of Mail Fraud, and one count of Wire Fraud. On November 25, 2014, following a 6-day trial, a federal jury found MONTANARI guilty on all counts. On September 9, 2015, U.S. District Judge Ann D. Montgomery sentenced MONTANARI to 78 months, or 6 ½ years, of imprisonment. Judge Montgomery further ordered MONTANARI to pay mandatory restitution of $100,000 and, additionally, to pay more than $1.5 million as a special assessment for the taxes, interest, and penalties owed.
The evidence presented at trial proved that from 2009 until January 2012, MONTANARI willfully evaded the payment of employment and excise taxes owed by him and the three businesses he controlled: St. Croix Development, Emlyn Coal Processing, and Montie’s Resources. One of the ways MONTANARI avoided paying taxes was by transferring over $1.1 million into a bank account in the name of Bella Luca Properties LLC (“Bella Luca”), a shell company with no legitimate business purpose but used by MONTANARI to pay personal expenses. MONTANARI evaded payment of more than $700,000 in taxes and to the federal government.
In December 2009, when the IRS attempted to collect taxes and TFRPs, MONTANARI filed a fraudulent financial statement making numerous misrepresentations to the IRS to avoid paying the taxes he owed. For example, he failed to disclose multiple personal vehicles that he owned and he denied the existence of the Bella Luca bank account, which he was using to receive monthly compensation of $50,000 from two of his companies. MONTANARI also falsely claimed to be living in Bayport, Minnesota, when, in truth, he had already moved into a $1.4 million house he was purchasing in Knoxville, Tennessee.
In addition, as part of a fraud scheme, MONTANARI lied about the sale price of a Caterpillar bulldozer that he needed to purchase for one of his companies. MONTANARI submitted a falsified invoice to the dozer financing company, which issued a check for the dozer for $100,000 more than the true purchase price. MONTANARI kept the extra $100,000 and used it as a down payment for his house in Tennessee.
“Business owners have a responsibility to pay excise taxes, and turn over their employees’ employment taxes withheld from their paychecks, to the Internal Revenue Service,” said Special Agent in Charge Shea Jones of the IRS Criminal Investigation. “This sentence should send a clear message; schemes to evade the payment of taxes are a violation of the Federal Tax Laws and the consequences of such schemes can and will result in significant jail time.”
“Montanari not only evaded payment of taxes and defrauded his business partner, but he repeatedly lied to IRS investigators, pleading poor while living an extravagant lifestyle,” said Assistant United States Attorney Melinda A. Williams. “Today’s sentence sends a strong message to those who would try to cheat the government that this behavior will not be tolerated.”
In sentencing MONTANARI, Judge Montgomery noted that the defendant used the money he stole to finance an “incredibly flamboyant lifestyle,” that this was “not a single error of judgment,” and that MONTANARI had “many chances” to correct his behavior, but did not. Therefore, Judge Montgomery said she focused her sentence on “what will get the message across.”
This case is the result of an investigation by the Internal Revenue Service-Criminal Investigation Division, the U.S. Postal Inspection Service, and the Minnesota Financial Crimes Task Force.
Assistant U.S. Attorney Melinda A. Williams prosecuted this case.
Defendant Information:
BARTOLOMEA JOSEPH MONTANARI, 57
Knoxville, Tenn.
Convicted:
- Evasion of Payment of Taxes, 1 count
- Mail Fraud, 1 count
- Wire Fraud, 1 count
Sentenced:
- 78 months in federal prison
- $1.5 million special assessment
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Former Federal Correctional Officer Pleads Guilty to Accepting Bribes for Smuggling ContrabandRead the Press Release
Ocala, Florida – United States Attorney A. Lee Bentley, III announces that Robert Lawrence Brown (32, Clermont) has pleaded guilty to accepting a bribe as a public official. He faces a maximum penalty of 15 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, beginning in January 2015, Brown used his position as a Correctional Officer at the Coleman Federal Correctional Complex to smuggle contraband to inmates in exchange for monetary payments. On June 18, 2015, federal agents monitored a meeting between Brown and a cooperating witness. During that meeting, Brown accepted $2,600 for items that he had already smuggled into the prison. When confronted by investigators, Brown admitted that he had illegally negotiated $7,100 in cash payments in return for smuggling cellphones, prescription pills, tobacco, and other items to federal inmates.
This case was investigated by the Department of Justice Office of the Inspector General and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
Former Cook County Sheriff's Police Officer Pleads Guilty to Robbing Drug Dealers While on DutyRead the Press Release
CHICAGO — A former police officer in the Cook County Sheriff’s Department pleaded guilty in federal court today to robbing drug dealers of cocaine, marijuana and contraband cigarettes during home invasions and while on duty.
In a written plea agreement, ROBERT VAUGHAN admitted that he robbed eight drug dealers from 2011 to 2013, earning a total profit of $300,000. Vaughan said he conducted the robberies with two other law enforcement officers, and the trio shared in the profits, according to the plea agreement. The robberies were carried out in Chicago, Cicero, Plainfield, Lyons, Melrose Park and Forest Park.
Vaughan, 44, of Frankfort, pleaded guilty to one count of robbery. He faces a maximum sentence of 20 years in prison, plus a maximum fine of $250,000 or twice the gross gain or gross loss resulting from the offense, whichever is greater. U.S. District Judge Samuel Der-Yeghiayan scheduled a sentencing hearing for February 3, 2016, at 10:00 a.m.
According to the plea agreement, Vaughan was assigned to the High Intensity Drug Trafficking Area (HIDTA) team, a joint federal, state, and local initiative to combat the trafficking of illegal narcotics. Vaughan admitted using his position as a police officer to orchestrate deals with drug traffickers for marijuana, cocaine and contraband cigarettes. Immediately after the transactions, Vaughan would arrest and handcuff the individuals – but then keep the narcotics for himself and release the dealers without charges. Vaughan later sold the narcotics to other dealers in exchange for cash.
Vaughan also admitted robbing individuals and homes of marijuana based on information he had learned from confidential informants. He was arrested on Nov. 3, 2014, after he and another law enforcement officer robbed 70 pounds of marijuana from an individual whom they believed was a drug courier. In reality, the individual was an undercover federal agent, according to the plea agreement.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and John A. Brown, Acting Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation.
The government is represented by Assistant United States Attorney Sunil Harjani.
Plea Agreement
FnD Gang Members Plead Guilty to Racketeering and Narcotics Charges, Including Mother’s Day ShootingRead the Press Release
U.S. Attorney Kenneth A. Polite announced that AKEIN SCOTT, a/k/a “Keemy,” age 22; SHAWN SCOTT, a/k/a “Shizzle,” age 26; and STANLEY SCOTT, a/k/a “Stizzle,” age 23, all pled guilty today in the racketeering conspiracy case involving the Frenchmen/Derbigny gang, or “FnD.”
AKEIN SCOTT pled guilty to eight counts of the Third Superseding Indictment and admitted guilt to the Mother’s Day shooting, which the Indictment alleged was a shooting that was committed in furtherance of the drug trafficking conspiracy and the RICO conspiracy. Additionally, AKEIN SCOTT pled guilty to conspiracy to distribute one kilogram or more of heroin and 280 grams or more of crack cocaine, conspiracy to possess firearms in furtherance of a drug trafficking conspiracy, and four counts of Violent Crimes in Aid of Racketeering Assault with Dangerous Weapons.
SHAWN SCOTT pled guilty to five counts of the Third Superseding Indictment and also admitted guilt to the Mother’s Day shooting that was committed in furtherance of the drug trafficking conspiracy and the RICO conspiracy. Additionally, SHAWN SCOTT pled guilty to conspiracy to distribute one kilogram or more of heroin and 280 grams or more of crack cocaine, conspiracy to possess firearms in furtherance of a drug trafficking conspiracy, Violent Crimes in Aid of Racketeering Assault with Dangerous Weapons.
STANLEY SCOTT pled guilty to six counts of the Third Superseding Indictment and admitted to committing a shooting on March 22, 2012, in furtherance of the drug trafficking conspiracy and the RICO conspiracy. STANLEY SCOTT also pled guilty to conspiracy to distribute one kilogram or more of heroin and 280 grams or more of crack cocaine, conspiracy to possess firearms in furtherance of a drug trafficking conspiracy, and two counts of Violent Crimes in Aid of Racketeering Assault with Dangerous Weapons.
Each defendant faces at least 20 years in prison, with a maximum sentence of life imprisonment. The drug trafficking conspiracy count carries a mandatory minimum sentence of 10 years in prison. Further, for having committed a shooting in furtherance of the drug trafficking conspiracy, each defendant faces an additional mandatory minimum sentence of 10 years imprisonment, which must be served consecutively to any other sentence. Lastly, the firearms conspiracy and RICO conspiracy counts carry maximum sentences of 20 years and life imprisonment, respectively. U.S. District Judge Ivan L.R. Lemelle set sentencing for January 6, 2016.
According to court documents, the FnD gang was an enterprise engaged in racketeering under federal law. AKEIN SCOTT, SHAWN SCOTT, and STANLEY SCOTT, as members of this gang, conspired to commit numerous overt acts in furtherance of the gang’s activities. These acts included the distribution of illegal narcotics, such as heroin and crack cocaine, as well as crimes of violence, including several shootings. The factual basis, signed by all three defendants, details evidence of drug dealing and shootings that occurred over the course of nearly seven years from 2006 through 2013. FnD members sold heroin, crack cocaine, marijuana, and other illegal drugs near the intersection of Frenchmen and North Derbigny Streets in New Orleans. FnD members often sold drugs in the Frenchmen Meat Market, a convenience store located at the corner of Frenchmen and North Derbigny Streets. FnD members used intimidation, violence, and threats of violence to maintain the gang’s control over turf that extended from Elysian Fields Avenue, North Johnson Street, the I-10 Interstate Highway, St. Anthony Street, and North Claiborne Avenue.
Four other defendants previously pled guilty in the course of this prosecution. CRYSTAL SCOTT, RICHMOND SMITH, and GRALEN BENSON pled to gun and drug-related charges. The grand jury subsequently returned a superseding Indictment charging the remaining defendants with Racketeer Influenced and Corrupt Organizations (RICO) conspiracy, among other charges. Defendant JEREMIAH JACKSON pled guilty to RICO conspiracy as well as gun and drug-related charges on May 13, 2015. Defendant BRIAN BENSON pled guilty to RICO conspiracy and narcotics conspiracy on August 7, 2015.
With today’s plea, the sole remaining defendant in this case is TRAVIS SCOTT, who is alleged to be the leader of the FnD gang. TRAVIS SCOTT is scheduled for trial on October 19, 2015, before U.S. District Judge Ivan L.R. Lemelle.
The Indictment is a product of an ongoing investigation into the violent acts in furtherance of the drug trafficking by the FnD gang. It represents the continued coordinated effort of the federal and state law enforcement authorities within the Multi-Agency Gang (“MAG”), including the United States Attorney’s Office, the Orleans Parish District Attorney’s Office, Special Agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), and officers of the New Orleans Police Department. Federal and local authorities also utilized tips through the Crimestoppers Program in the successful investigation of these crimes.
Assistant United States Attorney Matthew Payne and Special Assistant United States Attorney Brian Ebarb, who is assigned from the Orleans Parish District Attorney’s Office, are in charge of the prosecution.
Florida Man Sentenced to 30 Months in Prison for Interstate Travel in Aid of an Unlawful ActivityRead the Press Release
Gulfport, Miss. – Inocensio Villarreal, 40, of Lantana, Florida, was sentenced today by Chief U. S. District Judge Louis Guirola to 30 months in federal prison followed by three years of supervised release for interstate travel in aid of an unlawful activity, announced U.S. Attorney Gregory K. Davis. Villarreal was also ordered to pay a $4,000.00 fine.
On June 26, 2013, Villarreal, a U.S. citizen, was stopped by law enforcement officers on I-10 in Jackson County, Mississippi. A search of his van produced wrapped bundles of U.S. currency totaling $414,450. The investigation revealed that Villarreal traveled in interstate commerce through Texas, Georgia, and Mississippi, knowingly engaging in acts to promote and carry on an unlawful activity; that is, the transporting of currency, or bulk cash smuggling, in furtherance of the business of a drug trafficking organization.
This case was investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorneys Andrea Jones and Stan Harris.
Firearms Trafficker Sentenced to 60 Months in Federal Prison on Firearms Conviction Stemming from Unlawful Manufacture of FirearmsRead the Press Release
DALLAS — A firearms trafficker, who pleaded guilty earlier this year to one count of aiding and abetting the unlawful manufacturing of firearms, was sentenced today by U.S. District Judge Barbara M. G. Lynn, announced U.S. Attorney John Parker of the Northern District of Texas.
Jose Maria Deleon, 57, of Camp Wood, Texas, was sentenced to 60 months in federal prison. He has been in custody since October 2014 on a related federal criminal complaint. Camp Wood is located in southwestern Real County
According to the factual resume filed in the case, between December 2010 and May 2011, Deleon entered into a criminal venture with others to manufacture firearms without a license and then sell those firearms to others. Specifically, Deleon purchased a number of AR-15 and AK firearm receivers that needed to be manufactured to become fully functional firearms suitable for resale. Deleon then communicated with two individuals whom he met at a gun show in North Texas, and he offered to pay them if they manufactured his firearms receivers into fully functional firearms. These two individuals agreed to do so, for varying prices depending on the type of firearm, although neither one had an ATF license to engage in the business of manufacturing firearms. On multiple occasions, however, Deleon paid these individuals to manufacture firearms. Deleon also purchased firearms from them.
Ultimately, Deleon sold the firearms to other individuals who, according to the criminal complaint, took them across the Mexican border. Deleon was involved in trafficking more than 600 firearms, 50 of which have been recovered, to date, in Mexico.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Assistant U.S. Attorney Cara Pierce prosecuted.
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Federal Jury Convicts Juan Alberto Robles Zavala for Attempting to Entice A Child Under the Age of 18 for Sex Using A Facility or Means of Interstate CommerceRead the Press Release
KNOXVILLE, Tenn. - Following a three day trial in U.S. District Court a jury convicted Juan Alberto Robles Zavala, a Mexico Nationalist working in Chattanooga, Tenn., of attempting to entice a child under the age of 18 for sex using a facility or means of interstate commerce.
Sentencing is set for 2:00 p.m., Jan. 20, 2016, in U.S. District Court in Knoxville, Tennessee. Zavala faces a mandatory minimum sentence of 10 years up to life in prison.
Evidence presented at trial showed that law enforcement placed a female profile on an adult sex website “looking for right Dom needing a teacher for Taboo” for herself and her younger version. Zavala replied to the profile and learned that the younger version was a 12-year-old child. Over a four month period of time he emailed who he believed to be a mother and 12-year-old daughter with explicit details of his intent and desires to have sex with the child. Zavala was arrested when he arrived at the meeting location with condoms and a sexual aid.
Law enforcement agencies participating in the joint investigation which led to indictment and subsequent conviction of Zavala included Knoxville Police Department, Internet Crimes Against Children (ICAC) Task Force, Blount County Sheriff’s Department, Homeland Security Investigations. Assistant U.S. Attorney Jennifer Kolman represented the United States at trial.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Federal Grand Jury IndictmentsRead the Press Release
Contact Person: Nancy Wicker (803) 929-3000
Columbia, South Carolina----United States Attorney Bill Nettles stated today that a Federal Grand Jury in Charleston, South Carolina, returned Indictment(s) against the following:
Bluffton Man Indicted for Illegal Reentry of an Alien
Arturo Luis Hernandez Hernandez, age 34, of Bluffton, was charged in a one-count Indictment with Illegal Reentry of an Alien, in violation of Title 8, United States Code, Section 1326(a). The maximum penalty Hernandez could receive is 2 years imprisonment and a $250,000 fine. The case was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) and is assigned to Assistant United States Attorney Dean H. Secor of the Charleston office for prosecution.North Charleston Man Charged with Production and Possession of Child Pornography and Felon in Possession of a Firearm
Albert Taylor, age 51, of North Charleston, was charged in a three-count Indictment with Production of Child Pornography, Possession of Child Pornography, and Felon in Possession of a Firearm, in violation of Title 18, United States Code, Sections 2251(a), 2252A(a)(5)(B), and 922(g)(1) respectively. Taylor could receive a mandatory minimum sentence of 15 years imprisonment and a maximum of 30 years imprisonment and a $250,000 fine for the Production of Child Pornography count, a maximum sentence of 20 years imprisonment and a $250,000 fine for the Possession of Child Pornography count, and a mandatory minimum sentence of 15 years imprisonment and a maximum of Life imprisonment and a $250,000 fine for the Felon in Possession of a Weapon count. The case was investigated by agents of U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) and is assigned to Assistant United States Attorney Rhett DeHart of the Charleston office for prosecution.Mr. Nettles stated that the charges in this Indictment are merely accusations and that the defendants are presumed innocent until and unless proven guilty.
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Essex County, New Jersey, Man Sentenced to 30 Years in Prison for Recording His Sexual Abuse of A GirlRead the Press Release
NEWARK, N.J. – A Newark man was sentenced to 360 months in prison today for inducing a girl to engage in sexually explicit conduct while he took pictures and video, U.S. Attorney Paul J. Fishman announced.
Pedro Rios, 59, previously pleaded guilty before U.S. District Judge Stanley R. Chesler to Counts One through Five and Count Seven of a superseding indictment charging him with sexual exploitation of a child and possession of child pornography. Judge Chesler imposed the sentence today in Newark federal court.
According to documents filed in the case and statements made in court:
Rios admitted that on five separate dates between March 4, 2008 and Nov. 8, 2011, he induced a girl under the age of 12 to engage in sexually explicit conduct for the purpose of taking pictures and videos of the child’s genitals and the sexually explicit conduct. Rios’s also admitted that he possessed images of child sexual abuse on Feb. 5, 2013. Several of the videos charged in the superseding indictment depict Rios’s abuse of the child victim in the cab of a tractor trailer truck.
In addition to the prison term, Judge Chesler sentenced Rios to a lifetime of supervised release.
U.S. Attorney Fishman credited special agents of the FBI Newark Division’s Child Exploitation Task Force, under the direction of Special Agent in Charge Richard M. Frankel; the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Carolyn A. Murray; and the N.J. Regional Computer Forensics Laboratory with the investigation leading to today’s sentencing.
The government is represented by Assistant United States Attorneys Danielle Alfonzo Walsman and Jonathan W. Romankow of the U.S. Attorney’s Office’s Criminal Division in Newark.
Defense counsel: Brian J. Neary Esq., Hackensack, New Jersey
Employee of New Jersey-Based Trucking Company Charged with Stealing More Than $1 Million from Her EmployerRead the Press Release
NEWARK, N.J. – An employee of a New Jersey based-trucking company was arrested today and charged with swindling her employer out of more than $1 million by issuing company checks for her own benefit, U.S. Attorney Paul J. Fishman announced.
Tracey Perrigan, 53, of Sparta, Tennessee, is charged by complaint with two counts of wire fraud. FBI agents arrested Perrigan this afternoon at her place of employment in Branchburg, New Jersey. She appeared late this afternoon before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.
According to the complaint:
Perrigan was an employee of a company identified in the complaint as “Company A,” the corporate parent of several subsidiary trucking, rigging, and transportation companies. Company A was headquartered in Oceanside, New York, and had a Branchburg facility. From September 2012 through August 2015, Perrigan allegedly orchestrated a check scheme through which she diverted funds from her employer to Southern Cross Transport Tow and Recovery (“Southern Cross”), a Tennessee corporation owned and operated by Perrigan and her husband.
Company A used the “Comchek” system, which enables clients to authorize and monitor fuel and repair expenditures by drivers in remote locations. As part of her employment duties, Perrigan was responsible for authorizing Comcheks drawn on Company A’s bank account. Before a Comchek can be presented for payment, the user must obtain a 23-digit code that authorizes the expenditure. The first five digits of the code are the unique number assigned to each Comchek customer.
According to the complaint, Perrigan allegedly issued Comcheks with Company A codes directly to Southern Cross. The Comcheks appeared legitimate and were accepted for payment because Perrigan used her position with Company A to generate seemingly valid Company A codes. As a result, Perrigan and Southern Cross received more than $1.2 million in Company A funds even though Company A has no actual business with Southern Cross.
Each wire fraud count is punishable by a maximum potential penalty of 30 years in prison and $1 million fine.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel in Newark, for the investigation leading to today’s arrest.
The government is represented by Assistant U.S. Attorney David W. Feder of the U.S. Attorney’s Office Criminal Division in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Employee Leasing Company Owners Arrested on Tax Fraud ChargesRead the Press Release
PHILADELPHIA - Moni Son and Sreang Po, both 60, both naturalized U.S. citizens living in Philadelphia, were charged by indictment, unsealed today, with conspiracy to defraud the United States and failure to collect and pay over employment taxes, announced United States Attorney Zane David Memeger.
From 2007 through 2008, Son and Po were corporate officers of Asian American Labor Connection, an employee leasing corporation located in Philadelphia from 2007 through 2008. As corporate officers of Asian American Labor Connection, Son and Po were required to collect and remit, on a quarterly basis, Federal Insurance Contribution Act (FICA) taxes to the Internal Revenue Service arising from the wages that they paid their employees.
According to the indictment, during the period of March 31, 2007 through December 31, 2007, Asian American Labor Connection had taxable wages of $760,728.73, but only reported $88,288.00 as taxable wages. During the period of March 31, 2008 through December 31, 2008, according to the indictment, Asian American Labor Connection had taxable wages of $751,438.43, but only reported $91,647.43 as taxable wages to the IRS.
If convicted the defendants face a maximum possible sentence of 10 years in prision, a fine of $ 500,000, a special assessment of $200, and three years of supervised release.
The case was investigated by IRS Criminal Investigations and is being prosecuted by Assistant United States Attorney Floyd J. Miller.
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
East St. Louis Man Pleads Guilty to Drug Trafficking, Firearms Offenses, and Obstruction of JusticeRead the Press Release
On September 8, 2015, Ayiko L. Paulette, 40, of East St. Louis, Illinois, pled guilty to a superseding indictment charging him with Conspiracy to Distribute Controlled Substances, Maintaining a Drug-Involved Premises, being a Felon in Possession of Firearms, Distribution of Cocaine, Interstate Travel In Support of Racketeering, and Conspiracy to Obstruct Justice, Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today.
Sentencing in the matter is set for January 13, 2016, at 1:30 p.m. before United States District Judge Nancy J. Rosenstengel. At sentencing, Paulette faces a minimum of 20 years in federal prison, to a maximum of Life in prison, a fine of up to $10,000,000, at least 10 years’ supervised release, and a $100 special assessment per count.
Evidence in support of this prosecution was obtained in an investigation which was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF initiative is designed to bring federal, state, and local law enforcement agencies and resources together to identify, target and dismantle large national and international drug trafficking organizations. Agencies participating in this case include the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Drug Enforcement Administration, the Internal Revenue Service, Criminal Investigations, the United States Marshals Service, the Illinois State Police, and the East St. Louis Police Department. This case is being prosecuted by Assistant United States Attorney Donald S. Boyce.
Delmont Man Admits Participating in Drug Trafficking ConspiracyRead the Press Release
PITTSBURGH - A Westmoreland County resident pleaded guilty in federal court to a charge of conspiracy to possess with intent to distribute and distribute 500 grams or more of cocaine, United States Attorney David J. Hickton announced today.
Tieriq Pinnix, 21, of Delmont, Pa., pleaded guilty to one count before United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that in 2013, the Federal Bureau of Investigation and other agencies joined forces in a multi-agency wiretap investigation of drug trafficking and violence in the Homewood section of Pittsburgh. The interception of wire and electronic communications began in December 2013 and continued through the end of August 2014. During that timeframe, Tieriq Pinnix was intercepted over the wire conspiring with others, including his father, Cecil Pinnix, to possess with intent to distribute and distribute cocaine, which was shipped from California to the Western District of Pennsylvania through the United States Postal Service or commercial carrier.
Judge Hornak scheduled sentencing for January 22, 2016. The law provides for a minimum sentence of five years in prison, a maximum sentence of 40 years in prison, a fine of not more than $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Pending sentencing, the court continued the defendant on home detention with electronic monitoring.
Assistant United States Attorney Tonya Sulia Goodman is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Greater Pittsburgh Safe Street Task Force, Wilkinsburg Police Department, Allegheny County Sheriff’s Office, Pennsylvania Office of the Attorney General, Munhall Police Department, Duquesne Police Department, Monroeville Police Department, Allegheny County Police Department, West Mifflin Police Department, Bellevue Police Department, and the Pittsburgh Police Department conducted the investigation that led to the prosecution of Tieriq Pinnix.
Defendants in Wentzville Pawn Store Burglary SentencedRead the Press Release
St. Louis, MO – KEENAN THOMAS and BRANDON FOSTER were sentenced to 188 months and 144 months, respectively, on charges involving their participation in the October 16, 2014, theft of firearms from Allstar Pawn in Wentzville, Missouri.
According to statements made in court, Brandon Foster, Keenan Thomas and Eugene Davis broke into Allstar Pawn at 4:15 a.m. October 16th and stole 33 firearms -- 27 handguns and 6 rifles. On October 17, 2014, ATF attempted to arrest Foster and Thomas using three vehicles. Rather than backing out, Thomas drove forward on the grass, turning right in an attempt to elude the agents. He struck one of the ATF vehicles and then proceeded to back up almost striking an agent. After one shot was fired by an agent, Thomas stopped his car. Upon their arrest, agents recovered a Springfield Armory 9mm pistol equipped with an extended 33-round magazine on the floorboard directly under Foster. Foster admits the theft and possession of the 33 firearms from All Star and the purchasing of the ammunition and magazine from Cabela’s.
Thomas and Foster, St. Louis City, previously pled guilty and appeared Wednesday for sentencing before United States District Judge Catherine D. Perry.
Eugene Davis, St. Louis City, has also pled guilty to related charges and awaits sentencing.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives. Assistant United States Attorney Tom Mehan is handling the case for the U.S. Attorney’s Office.
Defendants Arrested with Guns in Baltimore City Face Federal Charges in 14 Separate CasesRead the Press Release
Baltimore, Maryland – Fourteen defendants arrested with illegal guns in Baltimore this summer will now face federal charges as a result of an alliance between local and federal officials. The defendants were transferred from state custody to federal court. All are charged with being a felon in possession of a gun and face a maximum sentence of 10 years in federal prison.
“These federal indictments serve to put gun-toting criminals on notice that federal prosecutions await them if they choose to arm themselves with a firearm,” said Baltimore Police Department Interim Commissioner Kevin Davis. “We will continue to work collaboratively to identify and prosecute those who choose to continuously violate the law while we are working to make this city safe.”
“This demonstrates the important collaboration we have with our federal partners and sends a strong message to those repeat violent offenders that we will not let them get away with possessing guns in our City,” stated State’s Attorney Marilyn Mosby.
“ATF will continue to prioritize our efforts in combatting violent crime and targeting violent offenders in order to keep our communities safe,” said Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division. “Let it be clear - anyone who makes the decision to illegally carry a gun on the streets of Baltimore should be prepared to be face the consequences that accompany federal prosecution.”
“Police and prosecutors are working to identify armed criminals who deserve to be prosecuted in federal court,” said U.S. Attorney Rod J. Rosenstein.
Under an initiative by the Baltimore City Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Baltimore City State’s Attorney’s Office and the United States Attorney’s Office, prosecutors and police review cases of defendants arrested for firearms violations and evaluate whether the case should be considered for federal prosecution. Prosecutors evaluate each defendant’s criminal record, the circumstances of the arrest and other relevant information.
The following defendants, all of Baltimore, have been charged with being a felon in possession of a gun:
Devonte Boone, age 27;
Derek Anthony Davis, age 31;
Marcus Davis, age 34;
Anthony Evans, age 23;
Dion Green, age 46;
Gary Hall, age 20;
Paul Jones, age 42;
Jemal Kimball, age 30;
James Kingsborough, age 24;
Bernard Lawson, age 29;
Larry Matthews, age 34;
Daniel McKenzie, age 26;
Alfred Patterson, age 50; and
Charles Quailes, age 38.Paul Jones is also charged with possession with intent to distribute a controlled substance, and faces a maximum sentence of 20 years. Charles Quailes is also charged with possession of an unregistered weapon and faces a maximum sentence of 10 years.
Any previously convicted criminal who possesses a gun faces a sentence of up to ten years in federal prison, even if the criminal did not use the gun. There is no probation or parole in the federal criminal justice system.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein praised ATF, Baltimore Police Department and Baltimore State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorneys Michael Hanlon, Seema Mittal, Clinton J. Fuchs, Patricia C. McLane, Bonnie S. Greenberg and Aaron S. J. Zelinsky, and Special Assistant U.S. Attorney Matthew Hoff, a cross-designated Baltimore City Assistant State’s Attorney, and Special Assistant U.S. Attorney Shelly S. Glenn, who are prosecuting the cases.
Defendant Charged in Federal Court for Possessing Medication Stolen from a CVS Pharmacy During the Baltimore RiotsRead the Press Release
Baltimore, Maryland – A criminal complaint has been filed charging Rashad Robertson, age 25, of Baltimore, with possession of Alprazolam, a prescription drug stolen during the looting on April 27, 2015 from the CVS Pharmacy located at 2509 Pennsylvania Avenue in Baltimore (CVS Pharmacy). The complaint was filed on August 31, 2015 and unsealed today.
The complaint was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division.
“Federal law enforcement agencies are working closely with local police and prosecutors to investigate crimes committed during the Baltimore riots,” said U.S. Attorney Rod Rosenstein.
On April 27, 2015, the CVS Pharmacy was looted and burned. According to the affidavit in support of the complaint, on June 17, 2015, during the investigation of the pharmacy robbery, Baltimore police officers followed an individual, not Robertson, who was suspected of having a handgun, to a home in the 2400 block of Francis Street. They subsequently recovered a BB gun replica in the backyard.
The affidavit further alleges that the owner of the residence consented to a search. During an initial sweep of the dwelling, various prescription medications were located in plain view from the upstairs landing on a dresser in a rear bedroom. Many of the medications had “Return to stock vial” printed on the bottles with no prescribed recipient and “XXXX” appearing where a name would normally be provided. The bottles had “CVS Pharmacy” labels affixed to them. The residence is located approximately one block east from the CVS Pharmacy.
According to the affidavit, the owner advised that Robertson resided in the bedroom of the home that contained the medications. Robertson was also present during the search. When questioned, Robertson allegedly told investigators that the medications came from the April riots, and that an associate brought the medications to his house after the riots and put them on his dresser.
The affidavit alleges that further investigation revealed that the prescription bottles had been filled at the CVS Pharmacy. One of the bottles contained 60 pills of Alprazolam. DEA agents obtained video from the CVS Pharmacy. The video allegedly depicted an individual, identified as Robertson, in the pharmacy going through shelves where narcotics are located. Robertson allegedly can be seen taking unknown pill bottles.
Robertson faces a maximum sentence of one year and a $1,000 fine. Robertson had his initial appearance today and was detained pending a detention hearing scheduled for Friday, September 11, 2015, at 2:30 p.m. before U.S. Magistrate Judge Beth P. Gesner.
A federal grand jury returned an indictment on July 16, 2015 charging Raymon Carter, age 24, of Baltimore, with committing arson on April 27, 2015 of the same CVS Pharmacy. Carter has pleaded not guilty.
A criminal complaint and indictment are not a finding of guilt. An individual charged by criminal complaint or indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein praised the DEA, Baltimore Police Department and ATF for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Seema Mittal, who is prosecuting the case.
Dallas County Men Receive Long Federal Prison Sentences for Committing 2014 Armed Robbery of Subway Restaurant in Richardson, TexasRead the Press Release
DALLAS — Two men who admitted committing the armed robbery of a Subway restaurant in Richardson, Texas, last year, have been sentenced to lengthy federal prison terms, announced U.S. Attorney John Parker of the Northern District of Texas.
Today, Antonio Demond Douglas, 25, of Richardson, was sentenced by U.S. District Judge Barbara M. G. Lynn to serve a total of 125 months in federal prison. A few weeks ago, co-defendant Allen Leon Pleasant, 26, of Dallas, was sentenced to serve a total of 117 months in federal prison. Each pleaded guilty to one count of interference with commerce by robbery and one count of possessing, using and brandishing a firearm in furtherance of a crime of violence.
According to documents filed in the case, at approximately 7:00 p.m., on June 24, 2014, Douglas and Pleasant entered the Subway restaurant at 212 East Spring Valley Road in Richardson with the specific intent to commit robbery. Once inside, Douglas and Pleasant produced firearms, pointed them at a Subway employee and demanded money from the register. The employee, in fear for his life, removed cash from the register and placed it in a plastic bag Douglas provided.
During the course of the robbery, Douglas and Pleasant also robbed three customers inside the restaurant, taking personal items and money, and then they ran from the store. In a subsequent vehicular chase with law enforcement, Douglas and Pleasant operated their vehicle in a manner that created a substantial risk of death or serious bodily injury to other motorists.
The Richardson Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Assistant U.S. Attorney Keith Robinson prosecuted.
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Convicted felon pleads guilty to drug distribution and possession of a firearmRead the Press Release
CHARLESTON, W.Va. – United States Attorney Booth Goodwin announced today that James Miller Johnson, III, 27, of Parkersburg, West Virginia pleaded guilty to a federal drug charge and being a felon in possession of a firearm. Johnson admitted that on August 14, 2014, he sold cocaine base and heroin to a confidential informant working with law enforcement. The drug sale took place in Parkersburg. When Johnson was arrested on the drug charge on November 19, 2014, he had a gun. Johnson was prohibited from possessing a firearm because of a prior felony drug conviction in 2009 from Ohio. Under federal law, a convicted felon is prohibited from possessing any firearm.
Johnson faces up to 30 years in prison and a $1,250,000 fine when sentenced on December 9, 2015.
The Parkersburg Narcotics Task Force and Vienna Police Department conducted the investigation. Assistant United States Attorney Timothy D. Boggess is in charge of the prosecution.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Convicted Felon Sentenced to 96 Months in Federal PrisonRead the Press Release
DALLAS — Tevin Rashad Wright, a 27-year-old Grand Prairie, Texas, man with three prior felony convictions, has been sentenced to 96 months in federal prison, by U.S. District Judge Ed Kinkeade, following his guilty plea in May 2015 to one count of being a felon in possession of a firearm. U.S. Attorney John Parker of the Northern District of Texas made the announcement this afternoon.
The day after an August 2014 burglary of a residence in Grand Prairie, Texas, during which several firearms were stolen, the Grand Prairie Police Department’s investigation resulted in the arrest of Wright for the offense. Prior to the date of the robbery, Wright had been convicted of three felony offenses since 2008, all involving cocaine, in Dallas and Tarrant counties.
This case was prosecuted as part of the Project Safe Neighborhood initiative, aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Northern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
The Grand Prairie Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Assistant U.S. Attorney Keith Robinson prosecuted.
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Convicted Felon Sentenced for Illegal Possession of GunsRead the Press Release
United States Attorney Kenyen R. Brown of the Southern District of Alabama announced that Tommy Ladon Burt, 41, of Evergreen, was sentenced today in federal court on a single charge of being a convicted felon in possession of a firearm. Burt pled guilty to the charge in April of this year.
United States District Court Judge William H. Steele imposed a sentence of 21 months imprisonment, and he ordered that Burt undergo drug and mental health treatment while in custody. He also ordered that Burt receive drug and mental health treatment as conditions of his supervised release term of three years, which will commence when he is released from his prison sentence. No fine was imposed in the case.
The case was investigated by the Conecuh County Sheriff’s Office, the Alabama Law Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Cleveland man faces drug and firearm chargesRead the Press Release
A federal grand jury returned a five-count indictment charging Kevin G. Collins, 33, of Cleveland, with violations of the federal narcotics and firearm laws, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio.
Count 1 of the indictment charges the defendant with conspiracy to possess with the intent to distribute marijuana. Count 2 of the indictment charges the defendant with carrying a firearm during and in relation to a drug trafficking crime. Counts 3 through 5 of the indictment charge the defendant with using the U.S. Mail to assist in the marijuana conspiracy.
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, if any, the Defendant’s role in the offenses and the unique characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The case is being prosecuted by Assistant U.S. Attorneys Daniel J. Riedl and Matthew B. Kall. The investigation was conducted by the United States Postal Inspection Service, Cleveland, Ohio.
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.
Cincinnati Area Residents Charged in Puerto Rican ID Theft RingRead the Press Release
CINCINNATI – A federal grand jury has charged nine individuals in an indictment related to the trafficking of real, Puerto Rican identities in the Cincinnati area. Defendants were arrested in Cincinnati and in Puerto Rico today.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Kathy A. Enstrom, Special Agent in Charge, Internal Revenue Service Criminal Investigation, Cincinnati Field Office, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Division, Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service (USPIS), Marlon Miller, Special Agent in Charge, Homeland Security Investigations (HSI), and Elias Papoulias, Resident Agent in Charge, Social Security Administration Office of Inspector General announced the indictment and arrests.
The indictment alleges that the defendants are linked in a vast document trafficking organization, wherein defendants obtained birth certificates and Social Security cards in the names of real individuals from Puerto Rico, shipped those document sets to Southern Ohio and then sold the document sets in the Cincinnati area. The defendants allegedly sold the document sets for $900-$1200 each.
The defendants include:
- Cipriano Diaz, 38, of Cincinnati
- Ramon E. Fuentes Morillo, 49, of Puerto Rico
- Oris Mercedes Baez Ramirez, 49, of Hamilton
- Jorge Roblero, 34, of Cincinnati
- Kathya Roblero, 50, of Cincinnati
- Chilango Zuniga, 40, of Hamilton
- Esmeralda Hernandez Cervantes, 36, of Cincinnati
- Susana Angiolina Urena, 44, of Hamilton
- Fernano Evelio Velasquez-Morales, 31, of Cincinnati
Each of the defendants was charged with conspiracy to commit wire and mail fraud, a crime punishable by up to 20 years in prison. The indictment also includes 29 counts of aggravated identity theft, a crime punishable by a mandatory two years imprisonment for each count, and two counts of money laundering, which each carry a maximum sentence of 20 years in prison.
U.S. Attorney Stewart commended the investigation of this case by law enforcement, and Assistant U.S. Attorney Jessica W. Knight and Cincinnati Branch Chief Emily N. Glatfelter, who are prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
Centralia Man Sentenced on Gun, Drug ChargesRead the Press Release
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today that Craig Allen Heitkamp, 51, Centralia, Illinois, was sentenced on Friday, September 4, 2015, on Possession of Pseudoephedrine with the Intent to Manufacture Methamphetamine and Unlawful User of a Controlled Substance in Possession of Firearms charges to 87 months in federal prison, to be followed by 12 months of supervised release, a $500 fine and a $200 special assessment. Heitkamp was also ordered to forfeit certain firearms.
Court documents establish that from approximately May 2010, through and including June 4, 2014, Heitkamp manufactured methamphetamine in Centralia, Illinois, using pseudoephedrine pills he obtained from various people or merchants. In exchange for the pseudoephedrine pills others obtained for him, Heitkamp traded cash or methamphetamine he manufactured. Heitkamp was a methamphetamine user who also possessed handguns in violation of federal law.
Information leading to the charges against Heitkamp was obtained in an investigation conducted by the FBI, the Marion County Sheriff’s Office, and the Clinton County Sheriff’s Department, assisted by the Illinois State Police Methamphetamine Response Team, the Centralia Police Department, Jefferson County Sheriff’s Department and the Mt. Vernon Police Department. The case is being handled by Assistant United States Attorney Kit Morrissey.
California Man Sentenced to 13 Years for Multi-Million Dollar Fraud Scheme in KentuckyRead the Press Release
FRANKFORT - Yesterday, a federal judge sentenced a California man to 13 years in federal prison for his role in an oil investment scheme in Kentucky that defrauded over 200 investors, nationwide, out of more than $3,000,000.
U.S. District Judge Gregory Van Tatenhove sentenced Henry Irving Ramer, 76, for mail fraud, securities fraud, and conspiracy to launder money. Under federal law, Ramer must serve at least 85 percent of his prison sentence. Upon his release, he will be under the supervision of the U.S. Probation Office for 3 additional years.
Ramer was convicted by a jury in May of this year. According to the evidence at trial, Ramer and others raised money from investors by making misrepresentations and failing to disclose material facts about the oil well investments in Barren, Monroe, and Cumberland Counties. Ramer’s role was as a salesman and manager of two Los Angeles-based telemarketing sales operations. In 2013 and 2014, he and his team cold-called potential investors around the country and fraudulently convinced many of them to invest. Ramer also created false offering memorandums and a promotional video. Every one of the investors lost all or nearly all of their investment.
In January 2015, John Westine, another leader of the scheme, was convicted of mail fraud, securities fraud, and money laundering conspiracy after a two-week jury trial. He is scheduled for sentencing on September 18. Another co-defendant, Mark Cornell, has pleaded guilty and is also set for sentencing later this month. A fourth defendant, Westine’s half-brother Michael Hicks, was sentenced in July to three years in prison for his role.
Kerry B. Harvey, U.S. Attorney for the Eastern District of Kentucky; Dugan Wong, Inspector in Charge of the U.S. Postal Inspection Service; and Charles Vice, Commissioner of the Kentucky Department of Financial Institutions, jointly made the announcement.
The investigation started when investors submitted complaints to the Kentucky Department of Financial Institutions, Division of Securities. The investigation was conducted by the U.S. Postal Inspection Service, including Postal Inspector Roberta Bottoms, and the Kentucky Department of Financial Institutions, Division of Securities.
Assistant U.S. Attorneys Ken Taylor and Neeraj Gupta prosecuted these cases on behalf of the federal government.
Buffalo Woman Sentenced on Tax Fraud ChargeRead 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 Malisha Mobley, 30, of Buffalo, NY, who was convicted of conspiracy to defraud the government in the filing of false tax returns, was sentenced to three years probation to include six months home detention by U.S. District Judge Richard J Arcara. The defendant has also been ordered to pay restitution totaling $33,016.00 to the Internal Revenue Service and $4,177.00 to the New York State Department of Taxation and Finance.Assistant U.S. Attorney Trini E. Ross, who handled the case, stated that the defendant obtained fraudulent W-2 forms from James Chatmon and used the forms to file false tax returns for tax years 2011, 2012 and 2014. As a result the defendant obtained tax refunds which she was not entitled to receive.
In addition, Mobley recruited two other individuals to file false tax returns by providing them with the fraudulent W-2 forms obtained from James Chatmon. Those individuals used the forms to file false tax returns for tax year 2012. As a result of the defendant’s actions, losses to the Internal Revenue Service and New York State Department of Taxation and Finance totaled $37,193.00.
James Chatmon was convicted and will be sentenced on October 7, 2015 at 12:00 p.m. by Judge Arcara.
The sentencing is the result of an investigation by Special Agents of the Internal Revenue Service, Criminal Investigation Division under the direction of Special Agent-In-Charge Shantelle P. Kitchen.
Buffalo Man Pleads Guilty to Lying AboutRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Damon Hunter, 25, of Buffalo, NY, pleaded guilty to false declarations before grand jury, before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of five years in prison and a $250,000 fine. The prison sentence may be imposed consecutively to a seven-year New York State term of incarceration that Hunter is currently serving for firearm possession.
Assistant U.S. Attorney Wei Xiang, who is handling the case, stated that the case involved two shootings on the East Side of Buffalo, the murder of Schuele Boys Gang associate Walter Davison on August 26, 2012, and the murder of Quincy Balance and attempted murder of the defendant on August 30, 2012. It is alleged that members of the Schuele Boys Gang believed that Balance and Hunter were involved in the murder of Walter Davison and as a result committed their own fatal and near fatal violence four days later.
During the federal grand jury investigation that has resulted in the indictments of 28 Schuele Boys Gang members and associates, Hunter was subpoenaed to testify about the August 30 shooting. Despite the murder of his friend and his own personal involvement as a victim in the event, Hunter lied about his knowledge of the shooter.
Despite Hunter’s actions, the grand jury eventually indicted Roderick Arrington for the August 30, 2012, shooting.
The plea is the culmination of an investigation on the part of the FBI's Safe Streets Task Force which includes representatives of the Amherst Police Department; the Buffalo Police Department; U.S. Border Patrol, the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Cheektowaga Police Department; the Erie County Sheriff’s Department; the Hamburg Police Department; the Lancaster Police Department; the Niagara Frontier Transportation Authority Police; the New York State Department of Correctional Services; the New York State Police; and U.S. Immigration and Customs Enforcement, Homeland Security Investigations.
Sentencing is scheduled for December 21, 2015 at 12:30 p.m. before Judge Arcara.
Bucks County Man Sentenced for Distribution of Child PornographyRead the Press Release
PHILADELPHIA - William Kinsley, 67, of Langhorne, PA, was sentenced today to 135 months in prison for distribution of child pornography. Kinsley, a retired Lieutenant with the Philadelphia Fire Department, used the screen name “fire,” to troll the Internet for child pornography and re-distribute some of the illegal child pornography that he found. He pleaded guilty on February 17, 2015.
Kinsley possessed a ThinkPad and two computers. A forensic examination of the three devices revealed 344 images of child pornography in unallocated space and one 23 minute long child pornography video in a temporary file in the AOL directory. Among the child pornography images on Kinsley’s computer were many for which the National Center for Missing and Exploited Children can establish the victim was a real child. Included among these are the 23 minute video and many still images.
In addition to the prison term, U.S. District Court Judge Stewart Dalzell ordered 10 years of supervised release, a $10,000 fine, restitution of $25,000, and a $100 special assessment.
The case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Paul G. Shapiro.
Boston Woman Sentenced to Federal Prison for Role in New Hampshire Credit Card FraudRead the Press Release
CONCORD, N.H. – Acting United States Attorney Donald Feith announced that today Laura A. Minot was sentenced to twenty-five months in federal prison after she had pleaded guilty to one count of Conspiracy to Commit Access Device (Credit Card) Fraud and one count of Aggravated Identity Theft. Minot’s guilty pleas arose from her role in a fraudulent credit card scheme. Minot, age 52, resides in the Mattapan neighborhood of Boston, Massachusetts.
During her prior plea hearing, Minot admitted that on April 16, 2014, she conspired with others to purchase gift cards and high value merchandise at retail box stores in New Hampshire and Massachusetts using retail credit card accounts and lines of credit that she and/or co-conspirators opened in the names of other actual persons without their authorization or knowledge. Minot further admitted that she and co-conspirators opened the credit card accounts and lines of credit using misappropriated personal identifying information and false identification cards. Minot also admitted to wearing a disguise to facilitate some of the illegal transactions.
United States District Judge Paul J. Barbadoro sentenced Minot to twenty-four months incarceration on the Aggravated Identity Theft count and one consecutive month on the Conspiracy to Commit Access Device (Credit Card) Fraud. In addition to the terms of imprisonment, Judge Barbadoro sentenced Minot to a term of supervised release of three years and ordered her to pay restitution to the victims of her fraud. While on supervised release, Minot will have to abide by rules established by the court, including paying restitution. If she fails to do so, she could be required to serve more time in prison.
The investigation of Minot’s offenses was conducted and coordinated by the Boston office of the U.S. Secret Service and the Medway (Mass.) and Cambridge (Mass.) Police Departments. The Massachusetts State Police and local police departments in Acton, Ayer, Bedford, Boston, Brookline, Cohasset, Dover, Groton, Lincoln, Littleton, Medfield, Medford, Norton, Plymouth, Reading, Sudbury, Sutton, Tewksbury, Tyngsboro, Watertown, Wayland, Wellesley, Weston and Westwood, Massachusetts, and Hollis, New Hampshire, also assisted in the investigation. The case was prosecuted by Assistant U.S. Attorney Bill Morse.
Birmingham Woman Sentenced for Stealing Grandmother's Social Security Benefits for 21 YearsRead the Press Release
BIRMINGHAM -- A federal judge today sentenced a Birmingham woman to six months in prison and six months home detention for stealing Social Security benefits intended for her grandmother for more than 21 years after her grandmother died, announced U.S. Attorney Joyce White Vance and Social Security Administration Office of Inspector General Resident Agent in Charge Marvin Mauldin.
U.S. District Judge Sharon Lovelace Blackburn ordered WENDI D. BALDWIN, 47, to forfeit $30,934 to the government as proceeds of illegal activity and to pay that same amount in restitution to the Social Security Administration. Baldwin stole more than $155,000 in benefits, but the statute of limitations on the theft charge restricted the government to recovering only five years' worth of benefits. Baldwin pleaded guilty in February to one count of theft of government property.
According to Baldwin's plea agreement with the government, she stole the SS Retirement, Survivors and Disability Insurance benefits between January 1992 and July 2013, following her grandmother's death in December 1991. The benefits were being deposited directly into a bank account Baldwin held jointly with her grandmother. Baldwin failed to notify the Social Security Administration when her grandmother died and converted the benefits to her personal use, according to Baldwin's plea.
The SSA discovered the theft of funds in 2013 after several failed attempts to contact Baldwin's grandmother.
The SSA-OIG investigated the case, which Assistant U.S. Attorney Xavier O. Carter Sr. is prosecuting.
Bergen County, New Jersey, Man Admits He Conspired to Provide Material Support to ISILRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, man admitted today that he conspired to provide material support to the Islamic State of Iraq and the Levant (ISIL), a designated foreign terrorist organization, U.S. Attorney Paul J. Fishman, Assistant Attorney General for National Security John P. Carlin, and Special Agent in Charge Richard M. Frankel of the FBI’s Newark Division announced.
Samuel Rahamin Topaz, 21, of Fort Lee, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to an information charging him with one count of conspiring with others to provide services and personnel to ISIL. He remains detained without bail.
“The crimes Samuel Topaz admitted today threatened the safety of Americans here and abroad,” U.S. Attorney Fishman said. “Our efforts to cut off the flow of fighters and resources to known terrorist organizations will not stop with his guilty plea. We have charges pending against his conspirators and remain vigilant against these terrorist operations.”
“Samuel Rahamin Topaz conspired to provide material support to ISIL and sought to travel overseas with others to fight on behalf of the designated foreign terrorist organization,” Assistant Attorney General Carlin said. “Counterterrorism is the National Security Division’s highest priority, and we remain committed to stemming the flow of foreign fighters abroad and bringing to justice those who attempt to provide material support to terrorists.”
“Samuel Topaz admitted to conspiring to provide material support to the Islamic State of Iraq and the Levant (ISIL) today in the U.S. District Court of New Jersey,” Special Agent in Charge Frankel said. “Now Topaz will face up to 20 years in prison rather than take up arms overseas. Disrupting recruitment efforts by terrorist organizations and preventing acts of terror remains the FBI’s number one priority, and due to the unflagging efforts of the Newark FBI’s Joint Terrorism Task Force this threat was eliminated. I ask the citizens of New Jersey to remain vigilant and contact the FBI if they see or hear something suspicious.”
According to documents filed in this and related cases and statements made in court:
Topaz admitted that prior to his arrest by the FBI Joint Terrorism Task Force on June 17, 2015, he planned to travel overseas to join ISIL and had saved up money for that purpose. Topaz discussed plans to join ISIL with Nader Saadeh, Alaa Saadeh, and Munther Omar Saleh, and admitted that at various times each of them indicated that they wanted to join ISIL. Topaz also admitted they all watched ISIL-related videos, some of which depicted the execution of non-Muslims and individuals regarded as apostates from Islam.
On May 5, 2015, Nader Saadeh departed the United States with plans to travel overseas to join ISIL as part of the conspiracy, according to Topaz’s statements in court today. Topaz further admitted that he and others planned to travel overseas separately, meet up with Nader Saadeh, and then travel together to join ISIL. After Nader Saadeh left the United States, Topaz met with Munther Omar Saleh and contacted Alaa Saadeh to discuss those plans.
Topaz admitted knowing that ISIL was a designated terrorist organization and was taking over territory overseas, expelling non-Muslims from their homes, and executing individuals who did not obey ISIL’s commands.
The count of conspiracy to provide material support to a designated foreign terrorist organization carries a maximum potential penalty of 20 years in prison and a fine of $250,000. Sentencing is scheduled for Nov. 18, 2015.
Topaz’ alleged conspirators are being prosecuted and are currently in federal custody. Nader Saadeh and Alaa Saadeh have been charged in separate criminal complaints brought by the U.S. Attorney’s Office for the District of New Jersey with conspiring to provide material support to ISIL, among other charges. Munther Omar Saleh has been indicted on terrorism-related charges brought by the U.S. Attorney’s Office for the Eastern District of New York. The charges and allegations against them are merely accusations, and they are presumed innocent unless and until proven guilty.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Frankel in Newark, and the JTTF, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys L. Judson Welle, Dennis C. Carletta, and Francisco J. Navarro of the U.S. Attorney’s Office National Security Unit in Newark, with assistance the assistance of Trial Attorney Robert Sander of the National Security Division’s Counterterrorism Section.
Defense counsel: Ian J. Hirsch Esq., Hackensack, New Jersey
Bend Area Plumber Pleads Guilty to Filing False Federal Tax Returns and Omitting $1.6 Million in IncomeRead the Press Release
EUGENE, Ore. –Yesterday, Gary L. Ford, 55, of Bend, Oregon, pled guilty to willfully filing a false federal income tax return. As part of his plea agreement, Ford, the owner and operator of Summit Plumbing in Bend, Oregon, admitted that he failed to report more than $1.6 million of income on his federal tax returns for tax years 2006 through 2009. Ford also admitted that he was responsible for all of his plumbing business’s and his personal financial record keeping, including accounting, sales, and invoicing, and that he prepared the federal income tax returns and related schedules.
Sentencing is set for January 5, 2016, at 10 a.m. before Chief U.S. District Judge Ann Aiken. The maximum penalty for filing a false return is three years in prison and a $100,000 fine.
This case was investigated by IRS Criminal Investigations and is being prosecuted by Assistant U.S. Attorney Scott E. Bradford.
Baltimore Man Guilty of Child Exploitation Charges in East TexasRead the Press Release
BEAUMONT, Texas — A 36-year-old Baltimore, MD man has pleaded guilty to child exploitation charges in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Ian Christian Anderson pleaded guilty to enticement of a minor today before U.S. Magistrate Judge Zack Hawthorne.
According to information presented in court, in January 2015, Anderson began an on-line relationship with a 14-year-old girl in the Eastern District of Texas. After several weeks of communicating with the victim, Anderson traveled from his home near Baltimore, Md., to the victim's hometown in Texas, on two separate occasions in February and March 2015. On both trips Anderson engaged in sexual relations with the 14-year-old that constituted felony sexual assault under the laws of the State of Texas. Anderson also used his cellular telephone to send sexually explicit text messages to the victim in which he attempted to persuade her to engage in future similar sexual relations. Anderson was indicted by a federal grand jury on May 7, 2015.
Anderson faces a minimum of 10 years and up to life in federal prison at sentencing. A sentencing date has not been set.
This case is being prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case is being investigated by the Federal Bureau of Investigation, the Lumberton Police Department and the Hardin County Sheriff’s Office. This case is being prosecuted by Assistant U.S. Attorney Joseph R. Batte.
Arkansas Man Pleads Guilty to Armed Robberies of Bank, 11 Other Businesses in Five StatesRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Bella Vista, Ark., man pleaded guilty in federal court today to a series of a dozen armed robberies at a Missouri bank and 11 other businesses across five states during the summer of 2013.
Timothy Patrick Hoyt, 45, of Bella Vista, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth to the charges contained in a federal indictment in the Western District of Missouri, as well as the charges contained in four separate cases in four different federal districts in Kansas, South Dakota, Nebraska and Oklahoma, all of which have been transferred to the Western District of Missouri.
By pleading guilty today, Hoyt admitted that he used what appeared to be a handgun (but which later was identified as a .177-caliber pellet or BB gun) to rob a bank in Missouri and 10 other businesses, including eight fast food restaurants, across five states between June 26 and Aug. 6, 2013.
Hoyt pleaded guilty to all four counts of the indictment filed in the Western District of Missouri. Hoyt stole $5,123 from Alliant Bank, 118 Main St., Blackwater, Mo., on June 26, 2013, with what appeared to be a handgun. Hoyt also used what appeared to be a handgun to rob the Subway restaurant at 330 N. Massey Blvd., Nixa, Mo., on July 12, 2013; the Subway restaurant at 1820 W. 32nd St., Joplin, Mo., on July 14, 2013; and the Sally Beauty Supply Store at 2007-C W. Foxwood Dr., Raymore, Mo., on Aug. 6, 2013.
Hoyt also pleaded guilty to using what appeared to be a handgun to rob the Subway restaurant at 715 N. G Street, Wellington, Kan., on July 17, 2013; the Domino’s Pizza Restaurant at 1108 S. Minnesota Ave., Sioux Falls, S. D., on July 19, 2013; the Subway restaurant at 1116 E. 10th St., Sioux Falls on July 20, 2013; the Godfather’s Pizza restaurant at 15234 W. Maple Rd., Omaha, Neb., on July 23, 2013; and the Arby’s restaurant at 6919 S. Lewis Ave., Tulsa, Okla., on July 27, 2013.
In addition to those robberies with which Hoyt has been charged, he also admitted that he used what appeared to be a handgun to rob the Papa Murphy’s Pizza restaurant at 302 W. 28th St., Sioux City, Iowa, on July 21, 2013; the Payless ShoeSource store at 7714 State Ave., Kansas City, Kan., on July 26, 2013; and the Papa Murphy’s Pizza restaurant at 3418 8th St. S.W., Altoona, Iowa, on Aug. 7, 2013.
Hoyt was arrested after robbing the Papa Murphy’s Pizza restaurant in Altoona. According to today’s plea agreement, he told law enforcement officers that he shoplifted the pellet gun from a Walmart store near Blackwater before using it to rob Alliant Bank.
Under federal statutes, Hoyt is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution for each of the robberies. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by FBI; the Cooper County, Mo., Sheriff’s Department; the Altoona, Iowa, Police Department; the Nixa, Mo., Police Department; the Joplin, Mo., Police Department; the Raymore, Mo., Police Department; the Wellington, Kan., Police Department; the Sioux Falls, S.D., Police Department; the Sioux City, Iowa, Police Department; the Omaha, Neb., Police Department; the Kansas City, Kan., Police Department; and the Tulsa, Okla., Police Department.
Ambulance Company Owner Charged in Medicare Fraud SchemeRead the Press Release
PHILADELPHIA – Zahar Tkach, also known as Alex Tkach, of Bensalem, PA, was charged by indictment, unsealed today, in a scheme to defraud Medicare of approximately $1.25 million by charging for unnecessary ambulance services, announced by United States Attorney Zane David Memeger. Tkach is charged with health care fraud, obstruction of a federal audit and laundering criminal proceeds.
Tkach owned NovaCare Ambulance Services, Inc. (also called “Novocare Ambulance”) and Cardiac Care Ambulance, Inc. (“Cardiac Care”), operating primarily in Philadelphia and the surrounding counties. According to the indictment, between June 2008 and April 2012, Tkach recruited and transported dialysis patients who needed treatments three times per week, thereby allowing him to bill Medicare extensively for those patients, when the ambulance services were not medically necessary for those patients. When Medicare audited the 2011 billings of Novocare and Cardiac Care, the defendant is alleged to have obstructed the audits by altering, and directed employees to alter, ambulance transport records and he falsified medical authorization forms, all of which he submitted to the Medicare auditors to support the fraudulent billings.
According to the indictment, the two ambulance companies shared resources, including employees and patients. Tkach managed both companies’ operations, finances and billings. The defendant also is alleged to have laundered the fraud proceeds in financial transactions of $10,000 or more.
Tkach was charged with 15 counts of health care fraud, two counts of obstructing a federal audit, and two counts of laundering monetary transactions over $10,000. If convicted, he faces up to 10 years in prison for each count of health care fraud; up to five years in prison for each count of obstruction of a federal audit; and 10 years in prison for money laundering. The defendant also faces a possible fine of $250,000 per count.
This case was investigated by the FBI and the Department of Health and Human Services-Office of the Inspector General. It is being prosecuted by Assistant U.S. Attorney Andrea Foulkes.
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Albuquerque Man Sentenced to 133 Months in Prison for Federal Drug Trafficking and Firearms ChargesRead the Press Release
ALBUQUERQUE – Jean Claud Mills, 32, of Albuquerque, N.M., was sentenced today in federal court to 133 months in prison followed by three years of supervised release for his conviction on methamphetamine trafficking and firearms charges.
Mills was arrested on May 16, 2014, on a criminal complaint charging him with possession of methamphetamine with intent to distribute and using and carrying a firearm in furtherance of a drug trafficking crime. Mills subsequently was indicted on June 11, 2014, and charged with (1) possession of methamphetamine with intent to distribute, (2) being a felon in possession of firearms and ammunition, and (3) using and carrying a firearm in relation to a drug trafficking crime. Court records reflect that in May 2014, Mills was prohibited from possessing firearms and ammunition because he previously had been convicted of felony offenses including possession of narcotics with intent to distribute and conspiracy to tamper with evidence.
According to the criminal complaint, on May 15, 2014, Mills attempted to sell a pound of methamphetamine to undercover detectives of the Albuquerque Police Department (APD) for $13,000.00. The APD detectives recovered a handgun and two magazines of ammunition from an open glove compartment in Mills’ vehicle.
On March 31, 2015, Mills pled guilty to Counts 1 and 2 of the indictment. Mills admitted that on May 15, 2014, he sold a pound of methamphetamine to two men for $13,000.00, and was arrested by law enforcement officers before he got into his vehicle to leave. Mills further admitted that on that day he possessed a firearm even though he was a convicted felon and was on probation.
This case was investigated by the Border Enforcement Security Task Force of the Albuquerque office of Homeland Security Investigations (HSI) and APD. Assistant U.S. Attorney Presiliano Torrez prosecuted the case.
Tuesday 8 September 2015
Zuni Pueblo Man Sentenced for Sexually Abusing a ChildRead the Press Release
ALBUQUERQUE – Vernon Niiha, 54, a member of Zuni Pueblo who resides in Blackrock, N.M., was sentenced this morning in Albuquerque, N.M., to 36 months in prison followed by three years of supervised release for his abusive sexual contact conviction. Niiha will also be required to register as a sex offender.
Niiha was arrested in Aug. 2013, on an indictment charging him with sexually abusing a child under the age of 12 years. According to the indictment, Niiha committed the crime at some time between March 2002 and March 2003, in Zuni Pueblo in McKinley County, N.M.
On Feb. 25, 2015, Niiha entered a guilty plea to a felony information charging him with abusive sexual contact, and admitted sexually abusing the victim.
This case was investigated by the Albuquerque office of the FBI and Zuni Pueblo Tribal Police Department, and was prosecuted by Assistant U.S. Attorney Kyle T. Nayback.
The case was filed as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
West Suburban Doctor Pleads Guilty to Causing $4 Million Loss to Medicare by Falsely Approving Unnecessary TreatmentRead the Press Release
CHICAGO — A west suburban physician pleaded guilty in federal court today to a charge that he fraudulently certified Medicare patients as confined to the home, allowing healthcare agencies to bill Medicare for unnecessary in-home treatment.
As an employee and part-owner of Bloomingdale-based Home Care Physicians Inc., DR. ARTHUR DAVIDA received referrals from home-health agencies asking him to certify the patients as confined to the home. Although he knew that at least 20 percent of the patients were not confined to the home, Davida nonetheless provided the certification – allowing the agencies to bill Medicare for treatment that Davida knew was not medically necessary, according to a written plea agreement. Davida provided the certifications because he feared that, if he didn’t, the home-health agencies would stop sending him the referrals, the plea agreement states.
Davida, 62, of Bloomingdale, pleaded guilty to a health care fraud charge contained in a criminal information. He faces a maximum sentence of ten years in prison when U.S. District Judge John J. Tharp Jr. sentences him on December 16, 2015, at 1:30 p.m.
Per Medicare’s rules, patients need to be certified as confined to the home before Medicare will pay for the specialized nursing care available to such individuals. A physician’s certification is provided on a patient’s plan of care, which is typically prepared by the home-health agencies that perform the service. According to the plea agreement, Davida began working at Home Care Physicians in 2009, and started conducting in-home visits in 2010. From 2010 and continuing through August 2013, Davida certified numerous patients as confined to the home and needing skilled nursing services, when, in fact, they were able to leave their homes and did not need such services, according to the plea agreement.
The certifications caused the home-health agencies to submit claims to Medicare for payment of bills pertaining to medically unnecessary services, the plea agreement states. Home-health agencies were paid more than $20 million by Medicare based on orders signed by Davida. Given his admission that 20 percent of these patients were not confined to the home, Davida acknowledged in the plea agreement that he caused losses of at least $4 million to the Medicare program.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; John A. Brown, Acting Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; and Lamont Pugh III, Special Agent-in-Charge of the Chicago Region of the U.S. Department of Health and Human Services Office of Inspector General.
The investigation was carried out by the Medicare Fraud Strike Force, which consists of agents from the Federal Bureau of Investigation and the U.S. Department of Health and Human Services, and prosecutors from the U.S. Attorney’s Office and the Justice Department’s Fraud Section. The strike force is part of the Health Care Fraud Prevention & Enforcement Action Team (HEAT), a joint initiative between the Department of Justice and HHS to prevent fraud and to enforce anti-fraud laws around the country.
The government is represented by Assistant United States Attorney Stephen Chahn Lee.
To report health care fraud or to learn more about the Health Care Fraud Prevention & Enforcement Action Team (HEAT), logon to: StopMedicareFraud.gov.
Plea Agreement
Watertown Man to Serve Prison Time for Role in Bank Fraud SchemeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JASON CALABRESE, 44, of Watertown, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to six months of imprisonment, followed by three months of home confinement and two years of supervised release, for his involvement in a series of fraudulent mortgage loan applications. CALABRESE also was ordered to pay a $3,000 fine and $400,585 in restitution.
According to court documents and statements made in court, in November 2005, CALABRESE’s co-conspirator, Thomas Provenzano, obtained a $923,200 loan to purchase a lakefront home located at 27 Palmer Road in Morris for more than $1.1 million, despite lacking the income to pay off the mortgage. The 27 Palmer Road property was owned by an entity controlled by Ryan Geddes, another co-conspirator. To finance the purchase, Provenzano applied for a mortgage through CALABRESE, who was a mortgage broker. The mortgage loan application contained statements that CALABRESE knew were false, namely, that Provenzano had worked for the past four years as the “General Manager” for a Geddes-owned construction company, and that Provenzano’s income from the listed job was $20,000 per month, or $240,000 per year. In fact, Provenzano’s income was substantially less than that amount. CALABRESE submitted the false loan application to a lender, which issued a $923,000 mortgage. At the closing, CALABRESE’s mortgage company was paid a $32,312 broker’s fee.
In November 2006, Provenzano applied for a new mortgage through CALABRESE to refinance the November 2005 mortgage for the 27 Palmer Road property. The mortgage refinancing application also contained statements that CALABRESE knew were false, namely, that Provenzano had worked for the past five years at Geddes’s construction company, and that Provenzano’s income from the listed job was $28,000 per month, or $336,000 per year. CALABRESE submitted the false loan application to a federally-insured lender, which issued a $936,000 mortgage. At the closing, CALABRESE’s mortgage company was paid an $18,720 broker’s fee.
The 2005 loan application had stated that Provenzano would reside in the 27 Palmer Road property as an owner-occupant. In fact, Geddes and his family continued to reside in the property. For a few years, Geddes paid Provenzano “rent,” which Provenzano used to cover the mortgage payments. But when Geddes moved out of the 27 Palmer Road property, he stopped forwarding payments to Provenzano, who stopped paying the mortgage. Accordingly the 27 Palmer Road property went into foreclosure.
On May 5, 2015, CALABRESE pleaded guilty to one count of conspiracy to commit bank fraud.
Provenzano and Geddes previously pleaded guilty. On December 1, 2014, Provenzano was sentenced to 18 months of imprisonment. Geddes awaits sentencing.
This matter is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorneys Henry Kopel and Michael Gustafson.
Virginia Man Charged with Traveling to PA for Sex with a MinorRead the Press Release
ERIE, Pa. - A former resident of Ashland, Virginia, has been indicted by a federal grand jury in Erie on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney David J. Hickton announced today.
The three-count indictment named Kerry Eccles, 60, as the sole defendant.
According to the indictment presented to the court, Eccles traveled to Erie from Virginia for the purpose of engaging in sexual conduct with a minor. While in Erie, Eccles took sexually explicit photos of a ten year old victim.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The law provides for a maximum total sentence of 90 years in prison, a fine of $750,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Pennsylvania State Police and the Erie County Detectives conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Utah Man Sentenced for Fraudulently Concealing and Transferring Assets in BankruptcyRead the Press Release
BOISE – Farrell Larson, 67, of Meadow, Utah, was sentenced today to five years of probation and 100 hours of community service for fraudulent transfer and concealment of assets in a bankruptcy, U.S. Attorney Wendy J. Olson announced. Senior U.S. District Judge Edward J. Lodge also ordered Larson to pay restitution in the amount of $47,000.
According to the plea agreement, Larson was the president and co-owner of Select Onion and Larson Land Company, LLC, which operated an onion farm and onion processing plant in Ontario, Oregon. Larson Land Company merged with Select Onion and filed Chapter 11 bankruptcy in the District of Idaho in 2012, with Larson signing as debtor. On April 19, 2012, the Honorable Terry L. Myers, Chief Bankruptcy Judge for the District of Idaho, held that Larson could not utilize cash collateral of Larson Land Company or Select Onion. In his plea agreement, Larson admitted that on April 20 and 23, 2012, he caused a total of $56,000 in cash to be withdrawn from Select Onion bank accounts. The cash represented assets obtained by Select Onion after the filing of bankruptcy. The withdrawals and subsequent transfer of the money was done without the knowledge or authorization of the bankruptcy court or trustee. In his plea agreement, Larson admitted to knowingly concealing assets from the trustee, his creditors, and the bankruptcy court with the intent to defraud.
The case was investigated by the Special Inspector General for the Troubled Asset Relief Program, the Internal Revenue Service, the Office of Inspector General for the Federal Deposit Insurance Corporation, and the Federal Bureau of Investigation.
Two convicted of cocaine traffickingRead the Press Release
ELKINS, WEST VIRGINIA – Eulogio Rodriguez-Fernandez, 58, of Martinsburg, West Virginia, and Santos Macedoni Barragan, 31, of Moorefield, West Virginia, were convicted of cocaine trafficking today in federal court, United States Attorney William J. Ihlenfeld, II, announced.
Barragan sold cocaine near an elementary and secondary school in Hardy County, West Virginia. He pled guilty today to one count of “Distribution of Cocaine within 1,000 Feet of a School.” He faces between one and forty years in prison and a fine of up to $2,000,000.
Rodriguez-Fernandez was discovered in possession of cocaine in Hardy County, West Virginia. He pled guilty today to one count of “Possession with Intent to Distribute Cocaine.” He faces up to 20 years in prison and a fine of up to $1,000,000.
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. Attorney Stephen Warner prosecuted the case on behalf of the government. The Eastern Panhandle Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge John S. Kaull presided.
Two Florida Residents Sentenced to Prison for Posession of Counterfeit Access Devices with Intent to DefraudRead the Press Release
Jackson, Miss – Fedric Amos Remy, 28, and Geovanni Corrado Davis, 30, both of Kissimmee, Florida, were sentenced today by U.S. District Judge William H. Barbour, Jr., to 21 months in prison followed by three years of supervised release for knowingly possessing 15 or more counterfeit access devices with the intent to defraud, announced U.S. Attorney Gregory Davis.
As the result of an investigation pursuant to a traffic stop conducted by Madison Police Department on January 28, 2015, Remy and Davis were found to be in possession of more than 30 counterfeit credit cards and multiple forms of false identification. Remy and Davis were indicted by a federal grand jury and pled guilty on June 30, 2015.
This case was investigated by the U.S. Secret Service and the Madison Police Department. It was prosecuted by Assistant U.S. Attorney Chris Wansley.
Tax Charges Filed Against Former Traffic Court JudgeRead the Press Release
PHILADELPHIA - Michael Sullivan, 51, of Philadelphia, was charged in a criminal information, filed today, with one count of failure to report and pay payroll taxes, announced United States Attorney Zane David Memeger. The charges relate to Sullivan’s failure to report and pay payroll taxes for employees of the Fireside Tavern, South Marshall Street, Philadelphia. Sullivan was an owner and operator of the Tavern. Sullivan was a judge for the former Philadelphia Traffic Court.
If convicted, Sullivan faces a maximum possible sentence of one year imprisonment, one year supervised release, a $25,000 fine, and a $25 special assessment.
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service is being prosecuted by Assistant United States Attorney Paul L. Gray.
An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
Second Marion man indicted for selling heroin and fentanyl that resulted in overdose deathRead the Press Release
Another Marion man was indicted for the sale of heroin and fentanyl that resulted in an overdose death, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, and U.S. Drug Enforcement Administration’s Special Agent in Charge Joseph P. Reagan.
Rashawn D. Thomas was charged with the distribution of heroin and fentanyl that resulted in the death of Christopher Wolford.
Eric L. Creagh, 32, was previously indicted on multiple counts related to the distribution of drugs and Wolford’s death. Thomas and Creagh are accused of selling heroin and fentanyl on May 22 that resulted in the death of Christopher Wolford.
“This defendant is charged with selling the blue-drop heroin that caused so many overdoses, heartache and even death,” Dettelbach said. “The DEA is to be commended for working with the local police to protect the citizens of Marion. This case should serve as yet another reminder that heroin and fentanyl should be avoided. Trying heroin is not only a mistake -- it may be the last mistake a person ever makes.”
Reagan said: “We have made it a priority to investigate the distribution of narcotics that result in death. Today’s charges send a strong message to all narcotic traffickers that they will face real consequences, for the harm that they inflict on the user and society. The level of cooperation by all of the law enforcement agencies in this investigation has been extraordinary and serves as a model for the future.”
This case is being prosecuted by Assistant U.S. Attorneys Michael Freeman and Thomas Weldon following an investigation by the Drug Enforcement Administration, MARMET, the Marion Police Department, the Marion County Sheriff's Office and the Ohio Bureau of Criminal Investigation.
If convicted, the defendants’ sentences will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
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.
Schuele Boys Gang Associate Pleads Guilty to Drug ChargeRead 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 Tyrell Skipper, 25, of Buffalo, pleaded guilty to conspiracy to distribute cocaine before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison, and a $1,000,000 fine.
Assistant U.S. Attorney George C. Burgasser, who is handling the case, stated that between June 2013 and July 23, 2014, Skipper conspired with co-defendants Michael Robertson, Antwan Steward, and others to distribute cocaine in the City of Buffalo. In addition, the defendant maintained a premises at 2 Cleveland Drive in Buffalo for the purpose of distributing cocaine. During the course of the conspiracy, Skipper was in possession of a firearm.
The Schuele Boys Gang, which operated in the Schuele Street area of the East Side of Buffalo, is believed to be responsible for multiple acts of violence and the distribution of illegal narcotics including cocaine, crack cocaine and marijuana.
Skipper is one of 28 Schuele Boys Gang members and associates arrested in this case. To date, 12 of the defendants have been convicted.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the culmination of an investigation on the part of the FBI's Safe Streets Task Force which includes representatives of the Amherst Police Department; the Buffalo Police Department; U.S. Border Patrol, the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Cheektowaga Police Department; the Erie County Sheriff’s Department; the Hamburg Police Department; the Lancaster Police Department; the Niagara Frontier Transportation Authority Police; the New York State Department of Correctional Services; the New York State Police; and U.S. Immigration and Customs Enforcement, Homeland Security Investigations. Additional assistance was provided by the Drug Enforcement Administration; U.S. Customs and Border Protection, the United States Marshal Service, the Lackawanna Police Department, and the Niagara County Sheriff’s Department.Skipper will be sentenced on December 18, 2015 at 1:00 p.m. before Judge Arcara.