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22 October 2015
Former Executive Director of Jersey City Child Development Centers in Jersey City Charged with Stealing at Least $200,000Read the Press Release
NEWARK, N.J. - The former executive director of the Jersey City Child Development Centers Inc. (JCCDC) in Jersey City, New Jersey, was charged today with stealing more than $200,000 from the organization, U.S. Attorney Paul J. Fishman announced.
Robert E. Mays, 38, of Jersey City, New Jersey, was arrested this morning by federal agents and charged by complaint with one count of embezzlement and theft from JCCDC, an organization which provided early childhood development services and education to under-privileged children in Jersey City. Mays appeared this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court.
According to documents filed in this case and statements made in court:
Mays was the executive director of JCCDC from Sept. 10, 2013, to May 21, 2014. JCCDC received $8,020,919 in funds from the Administration for Children and Families (ACF), a division of the U.S. Department of Health and Human Services (HHS), for the benefit of the children who attended the child development programs that were managed by JCCDC. Mays was not authorized to expend JCCDC funds solely for his personal benefit. He allegedly engaged in a scheme to steal and take by fraud more than $200,000 from JCCDC principally by: (1) unilaterally increasing his annual salary from $96,500 to $155,000 without authorization from JCCDC, after two months of his employment with JCCDC; and (2) withdrawing funds from JCCDC bank accounts for his personal benefit without authorization from JCCDC. Mays allegedly took JCCDC funds intended to benefit children to purchase, among other things, a 2007 Maserati Quattroporte and a fur coat worth thousands of dollars.
The embezzlement count with which Mays is charged carries a maximum potential penalty of 10 years in prison and a fine of $250,000, or twice the gross gain or loss resulting from the scheme, as well as mandatory restitution in the full amount of the loss to JCCDC.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel, and special agents of the Office of the Inspector General, U.S. Department of Health and Human Services, under the direction of Scott J. Lampert, with the investigation leading to today’s arrest. He also thanked the Hudson County Prosecutor’s Office, under the direction of Prosecutor Esther Suarez, for its assistance in the investigation.
The government is represented by Assistant U.S. Attorneys José R. Almonte and Mala Ahuja Harker of the U.S. Attorney’s Office’s Special Prosecutions Division.
The charge and allegations contained in the complaint are merely accusations and the defendant is considered innocent unless and until proven guilty.
Defense counsel: Alexander W. Booth Jr., Union City, New Jersey
Former Amarillo Resident Indicted on Sex Trafficking and Obscenity ChargesRead the Press Release
AMARILLO, Texas — Xzavion Dayshaun Ragsdale, a/k/a “Yung Billy,” 19, was charged in a federal indictment that was just unsealed with two counts of attempted sex trafficking of a child and one count of attempted transfer of obscene material to a child. The announcement was made today by U.S. Attorney John Parker of the Northern District of Texas.
Ragsdale, formerly of Amarillo, Texas, and most recently Dallas, made his initial appearance in federal court late yesterday before U.S. Magistrate Judge Clinton E. Averitte, who ordered Ragsdale to remain in federal custody, pending a detention hearing set for Monday.
Count one of the indictment alleges that on December 31, 2014, Ragsdale attempted to recruit an individual, “J.B.,” knowing that “J.B.” was under 18 years of age and would be caused to engage in a commercial sex act.
Count two of the indictment alleges that on March 30, 2015, Ragsdale attempted to recruit another individual, “A.M.,” knowing that “A.M.” was under 18 years of age and would be caused to engage in a commercial sex act.
Count three of the indictment alleges that on March 30, 2015, Ragsdale used a cell phone and the Internet to transfer obscene matter to another individual who was under 16 years of age.
A federal indictment is an accusation by a grand jury. A defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, the statutory penalty, per count, for attempted sex trafficking of a child is not less than 10 years or life in federal prison and a $250,000 fine. The maximum statutory penalty for attempted transfer of obscene material to a minor is 10 years in federal prison and a $250,000 fine.
The Amarillo Police Department and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated. Assistant U.S. Attorney Joshua Frausto is in charge of the prosecution.
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Florida Residents Sentenced to Prison in Drug Conspiracy CaseRead the Press Release
Gulfport, Miss – Herman McGee, Jr., 27, and Michael Lamar Ricks, 27, cousins from Jacksonville, Florida, were sentenced on October 20, 2015 by U.S. District Judge Sul Ozerden, in a case involving conspiracy to possess with intent to distribute over 500 grams of cocaine and conspiracy to possess a firearm in furtherance of drug trafficking, U.S. Attorney Gregory K. Davis announced.
McGee was sentenced to 168 months in federal prison followed by five years of post-release supervision and an $8,000 fine, for conspiracy to possess with intent to distribute cocaine and conspiracy to possess firearms in furtherance of drug trafficking.
Ricks was sentenced to 112 months in federal prison followed by five years of post-release supervision and an $8,000 fine for conspiracy to possess with intent to distribute cocaine.
This case was investigated by the Harrison County Sheriff’s Department and the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Annette Williams.
Five Assistant U.S. Attorneys from Los Angeles Receive Attorney General Awards for Work on Two Massive Fraud CasesRead the Press Release
LOS ANGELES – Five assistant United States attorneys have received Attorney General Awards for their extraordinary work on cases involving historic settlements with a credit ratings agency and one of the nation’s largest banks.
The five prosecutors were honored yesterday at a ceremony in Washington, D.C. attended by the honorees, their families and United States Attorney Eileen M. Decker.
Assistant U. S. Attorney George S. Cardona and former Assistant U.S. Attorney Anoiel Khorshid were among 11 attorneys and investigators who received the Attorney General’s Award for Distinguished Service for their work on the investigation into Standard & Poor’s Ratings Services, which earlier this year paid a $1.375 billion settlement, the largest penalty of its type ever paid by a credit rating agency.
AUSAs Cardona and Khorshid played key roles in the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) investigation and litigation against S&P for its issuance of fraudulently inflated ratings of Residential Mortgage Backed Securities (RMBS) and Collateralized Debt Obligations in the run-up to the 2007 through 2008 financial crisis (see: http://go.usa.gov/3SJCJ).
As part of the federal investigation and litigation with S&P, which was coordinated with related civil actions by 19 states and the District of Columbia, S&P admitted it ignored senior analysts within the company who complained it had given top ratings to financial products that were failing to perform as expected and it had declined to downgrade underperforming assets because it was worried that doing so would hurt the company’s business. While this strategy helped S&P avoid disappointing its clients, it did major harm to investors, including federally insured financial institutions that suffered losses exceeding $20 billion and to the larger economy, contributing to the worst financial crisis since the Great Depression.
Assistant U.S. Attorneys Evan J. Davis, Leon W. Weidman and Brent A. Whittlesey received the Attorney General’s Award for Distinguished Service for being part of the team that obtained an historic $16.65 billion settlement with Bank of America for fraud in the origination and securitization of residential mortgages.
AUSAs Davis, Weidman and Whittlesey were among 13 attorneys and auditors recognized for their important roles on one team that investigated the entire platform of RMBS offered for sale in 2006 through 2008 by Merrill Lynch, Bank of America and Countrywide. The teams pursued extensive and detailed fact investigations, developed and adapted innovative legal theories under FIRREA and prepared comprehensive civil complaints seeking billions of dollars in penalties.
The exhaustive efforts and perseverance of these teams advanced the core mission of the department by holding Bank of America accountable for its fraudulent conduct that contributed to the financial crisis, as well as providing substantial compensation for entities supported by American taxpayers and critical assistance to homeowners and neighborhoods impacted by the mortgage meltdown (see: http://go.usa.gov/3SJyj).
“These outstanding prosecutors represent the very best qualities of our office –ethics, integrity and professionalism – and they displayed incredible dedication in tackling two of the most complicated and largest cases ever handled by the Department of Justice,” said United States Attorney Eileen M. Decker. “I am extremely proud of the work done by these attorneys, who are a testament to fine work done by everyone in the Department.”
Attorney General Loretta Lynch recognized 279 Justice Department employees and 33 individuals with Attorney General Awards at a ceremony in Washington. These annual awards recognize department employees and other individuals for their dedication to carrying out the Department of Justice’s mission.
“The individuals being honored today stand out within a department that holds all of its employees and partners to an extremely high standard of excellence,” said Attorney General Lynch. “They have put in long hours, made immense sacrifices, and, in some cases, placed themselves in harm’s way. They have taken on issues that once seemed intractable, and made progress on problems that once seemed impossible. And their outstanding work is an inspiration to public servants everywhere.”
Final Two Defendants Convicted in "Operation Yeti Ice"Read the Press Release
Jackson, Miss – On Wednesday October 21, 2015, after a three day jury trial, Christopher Raynard Kidd, 27, of San Bernardino, California, was found guilty of conspiracy to distribute 50 grams of more of actual methamphetamine and distribution of 50 grams or more of actual methamphetamine, announced U.S. Attorney Gregory K. Davis and DEA Special Agent in Charge Keith Brown. He will be sentenced by Judge Daniel P. Jordan III on January 19, 2015 at 10:00 a.m. and faces a maximum sentence of life in prison and a $10 million fine on each count.
Another defendant in this case, Rodney Gerald Henderson, 70, of California and Mississippi, pled guilty on October 19, 2015, to conspiracy to distribute 50 grams or more of actual methamphetamine. He will be sentenced by U.S. District Judge Jordan on January 7, 2016 at 9:00 a.m. He faces a maximum sentence of life in prison and a $10 million fine.
Kidd and Henderson were indicted on August 19, 2014. On that day three separate indictments were unsealed charging twenty (20) defendants. The indictments were the result of “Operation Yeti Ice”, an extensive Organized Crime Drug Enforcement Task Force (OCDETF) investigation, which began as an operation targeting illegal narcotics distribution in central Mississippi. The drug network involved the distribution of over 100 Kilograms of Methamphetamine and encompassed the states of California and Mississippi.
Operation Yeti Ice was an OCDETF operation led by the Drug Enforcement Administration and the Mississippi Bureau of Narcotics with assistance from the U.S. Marshal Service, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Postal Service, Internal Revenue Service Criminal Investigation, Scott County Sheriff’s Office, Leake County Sherriff’s Office, Madison County Sherriff’s Office, Carthage Police Department, Forest Police Department, Newton County Sherriff’s Office, Lauderdale County Sherriff’s Office, Decatur Police Department, Richland Police Department, Pearl Police Department, Ridgeland Police Department, and the Jackson Police Department. Assistant U.S. Attorney Erin Chalk prosecuted the case.
The OCDETF program is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.Fifteen Individuals Indicted in Stolen Property Fraud RingRead the Press Release
On Tuesday, October 20, 2015, a federal grand jury in East St. Louis, IL, returned a 17 count indictment charging 15 individuals, including a Madison, IL, business owner, with numerous charges arising from a stolen property fraud ring, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced.
The indictment alleges that the leader of this fraud ring, Jason J. Parmeley, 42, formerly of O’Fallon, MO, conducted this fraud scheme from Mexico. According to the indictment, Parmeley used the internet to obtain credit account numbers that individuals and businesses had with retail stores, such as Home Depot, Lowes, Menards, and rental stores, such as SunBelt Rentals. Using this information, Parmeley placed orders with the stores in the names of, and under the credit accounts of, the individuals and businesses. The items Parmeley ordered frequently consisted of appliances, expensive tools, and construction equipment. The indictment charges that, after he placed the orders, Parmeley dispatched drivers to go to the stores and pick up the items. The items were then sold at prices substantially below retail. The profits were then wire transferred to Parmeley in Mexico.
"Essentially, we allege that Parmeley and his gang committed identity theft, not only stealing the electronic identity of individuals, but also stealing the electronic identity of businesses. I urge anyone who thinks that they might have been affected by this scheme to report their case to my office." said United States Attorney Wigginton.
The retail and rental stores victimized by this scheme were located in various parts of the United States, including Arizona, California, Colorado, Connecticut, Georgia, Illinois, Indiana, Iowa, Michigan, Missouri, Oklahoma, and Virginia. Some of the victimized stores were located within the Southern District of Illinois, including stores in Collinsville, Granite City, and O’Fallon, IL.
The indictment also charges that James D. Litchfield, 58, owner of Big Jim’s Autorama in Madison, IL, purchased many items which he knew had been obtained by fraud. These items were delivered to Litchfield at Big Jim’s Autorama. The indictment further alleges that Litchfield provided two trucks that were used by his co-conspirators to pick up fraudulently ordered items.
The other defendants charged in the indictment are: Angel Speed, 25, formerly of O’Fallon, MO, Sean A. Shields, 47, of Ozark, MO, Shannan Flora, 41, of Vienna, IL, Alice J. Hembree, 43, of O’Fallon, MO, Tony G. Robertson, 43, of O’Fallon, MO, Steven J. Belcher, 44, of Wentzville, MO, Jesse S. Urias, 36, of Los Angeles, CA, Ryan P. Litchfield, 37, of O’Fallon, MO, Rigoberto Gutierrez, 26, of Compton, CA, Russell J. Witt, 33, of New Baltimore, MI, Bryce E. Atkinson, 21, of Lake Saint Louis, MO, Nicholas A. Brockman, 20, of Wentzville, MO, and Benedict G. Pellerito, 55, of Troy, MO.
Both James D. Litchfield and Ryan P. Litchfield were arrested yesterday. Their trial date has been set for December 21, 2015.
In late August of this year, Mexican Immigration Authorities deported Parmeley from Mexico. Parmeley is currently in federal custody in Alabama on an unrelated bank fraud charge. The remaining defendants are expected to appear for arraignment within the next two weeks.
The charges contained in the indictment include conspiracy to commit wire fraud, conspiracy to transport property obtained by fraud in interstate commerce, wire fraud, interstate transportation of property obtained by fraud, possession of property obtained by fraud, money laundering, and aggravated identity theft. The indictment also seeks forfeiture of the proceeds of the fraud scheme.
The investigation is being conducted by agents from the St. Louis Division of the Federal Bureau of Investigation ("FBI"). The FBI has received substantial assistance from many state and local police departments in numerous jurisdictions, including the Metro East Auto Theft Task Force. The case is being prosecuted by Assistant United States Attorney Scott A. Verseman.
An indictment is a formal charge against a defendant. Under the law, that charge is merely an accusation and the defendant is presumed innocent unless proven guilty.
Feds Seize Another Super Tunnel; Yields 22 Arrests and 12 Tons of Marijuana so FarRead the Press Release
Assistant U. S. Attorney David Finn (619) 546-7342
NEWS RELEASE SUMMARY – October 22, 2015
SAN DIEGO – Federal officials seized control of a sophisticated cross-border super tunnel last night following a six-month undercover investigation that resulted in the arrests of 22 people in San Diego and Tijuana and the confiscation of 12 tons of marijuana.
The tunnel, approximately eight football fields in length, stretches from a warehouse in Tijuana to the Otay Center Warehouse, located at 2587 Otay Center Drive in San Diego. The passageway is believed to be equipped with lighting, electricity and a rail system and is one of the largest tunnels uncovered along the southern border in recent years.
Isaias Enriquez-Acosta and Isidro Silva-Acosta were arrested and charged in federal complaints this morning with unlawful conspiracy to import a controlled substance and conspiracy to use border tunnels and passages. They are scheduled to make their first court appearances at 2 p.m. today before U.S. Magistrate Judge David Bartick.
Mexican officials reported 16 arrests and the seizure of 10 tons of marijuana at the Tijuana tunnel entrance; San Diego County Sheriff’s officials arrested four people in connection with tunnel activity. Federal authorities here have seized almost 2 tons of marijuana and counting - they were still bringing bundles out of the tunnel today.
The newly-completed tunnel was discovered as a result of a six-month investigation by the Tunnel Task Force, which includes agents from Homeland Security Investigations, the Drug Enforcement Administration and U.S. Border Patrol. The Task Force began the investigation in May of 2015 with the introduction of an undercover agent to Enriquez-Acosta, according to the complaint. The agent offered to help transport and store drugs for the defendants, the complaint said. The undercover agent also helped transport buckets filled with dirt away from the tunnel warehouse, the complaint said.
The enforcement action that led to the shuttering of the tunnel last night was triggered by a meeting at a San Diego restaurant between the undercover agent and the defendants yesterday. At that meeting, the defendants and the undercover agent discussed the logistics for moving loads of marijuana from the tunnel warehouse to another warehouse, the complaint said. This was an indication that a load was about to be moved through the tunnel from Mexico to the U.S. Officials believe this was the first time the tunnel was used to move a significant quantity of drugs.
Silva was taken into custody Wednesday about 5:30 p.m. as about 30 agents from Homeland Security Investigations’ Special Response Team moved to take down the tunnel; Enriquez was arrested at a nearby hotel. In the front room of the Otay Center Warehouse, agents found a hole in the floor about 3-feet in diameter which led to a shaft descending approximately 32 feet down into the ground. The shaft connected to an underground tunnel leading towards the U.S.-Mexico border. Agents saw plastic-wrapped marijuana bundles stacked inside the tunnel.
“We see a super tunnel open for business once every year or so,” said U.S. Attorney Laura Duffy. “Just when traffickers think they’re ready to move, we put them out of business. We continue to make good on our promise to relentlessly pursue and shut down any tunnel as soon as it opens.”
"Federal agents on the San Diego Tunnel Task Force have once again taken down a sophisticated cross border drug smuggling tunnel that was fully operational under the San Diego-Tijuana border,” said Dave Shaw, special agent in charge for ICE Homeland Security Investigations in San Diego. “The success of this investigation is yet another example of our commitment to secure the border while combating the increasingly dangerous underground smuggling activity.”
The marijuana seized in connection with the tunnel has an estimated street value of nearly $6 million. The tunnel dismantled Wednesday is the 10th large-scale drug smuggling tunnel discovered in the San Diego area since 2006. In the last five years, federal authorities have detected more than 75 cross-border smuggling tunnels, most of them in California and Arizona.
DEFENDANT Case Number: 15MJ3133
Isaias Enriquez-Acosta Age: 53 Tijuana, Mexico
Isidro Silva-Acosta Age: 27 Tijuana, Mexico
SUMMARY OF CHARGES
Conspiracy – Unlawful Importation of a Controlled Substance, in violation of Title 21, United States Code, Sections 952, 960 and 963
Maximum penalty: Life in prison
Conspiracy – Border Tunnels and Passages, in violation of 18 United States Code, Section 555(d)
Maximum Penalty: Life in prison
AGENCIES
Tunnel Task Force, including agents from Homeland Security Investigations, Drug Enforcement Administration and U.S. Border Patrol
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Federal Indictment Charges Two Washington, DC Residents with Sex Trafficking of a MinorRead the Press Release
Greenbelt, Maryland – A federal grand jury indicted Charleston Harris, a/k/a “Giovanni,” and “Leon Baye,”, age 36, and Phoebe Omwega, a/k/a “Star,” and “Sparkles,” age 27 both of Washington, D.C. on charges of conspiracy, sex trafficking of a minor, and attempted sex trafficking of a minor. The indictment was returned on October 19, 2015 and unsealed today upon the arrests of the defendants.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; and Chief Mark A. Magaw of the Prince George’s County Police Department.
According to the three count indictment, from October 2012 through June 2015, Harris and Omwega conspired to recruit minor females and adult females, to engage in commercial sex acts. Harris and Omwega benefited financially from the proceeds generated by prostitution, including prostitution services provided minor females.
The indictment alleges that Harris and Omwega created and posted advertisements on Internet websites that advertised adult females and minor females, for prostitution using fake names, false ages, and pictures of females different from the actual females being advertised. Harris and Omwega facilitated prostitution by directing and managing multiple adult females and minor females to engage in prostitution and collected prostitution proceeds directly from the females. Harris allegedly used violence and threats of violence to coerce adult females and minor females into complying with Harris’s directions and rules, including that the females could not contact family members or other individuals outside Harris’s organization. The indictment alleges that Harris physically assaulted a minor female victim in December 2012 for violating his rules.
According to the indictment, Harris and Omwega arranged and paid for hotel rooms in which adult females and minor females, engaged in prostitution and transported the females, including minor females, to hotels and other locations in Maryland, Florida, and the District of Columbia to engage in prostitution. Between 2013 and 2014, Harris used email accounts to recruit, direct, and communicate with females working for him. On June 15, 2015, Harris attempted to recruit a minor female to work for him as a prostitute.
Harris and Omwega each face a mandatory minimum sentence of 15 years and up to life in prison for conspiracy to engage in sex trafficking of a minor; and a mandatory minimum of 10 years in prison and up to life in prison for sex trafficking of a minor. Harris also faces a mandatory minimum of 10 years in prison and up to life in prison for attempted sex trafficking of a minor. An initial appearance was held for Harris and Omwega today before U.S. Magistrate Judge Jillyn K. Schulze in U.S. District Court in Greenbelt. Omwega and Harris were detained pending detention hearings scheduled for October 23, 2015 at 3:00 p.m. and October 26, 2015 at 2:00 p.m., respectively.
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.
The case was investigated by the FBI-led Maryland Child Exploitation Task Force (MCETF), created in 2010 to combat child prostitution, with members from10 state and federal law enforcement agencies. The Task Force coordinates with the National Center for Missing and Exploited Children and the Maryland State Police Child Recovery Unit to identify missing children being advertised online for prostitution.
MCETF partners with the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
United States Attorney Rod J. Rosenstein commended the FBI and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Daniel C. Gardner, who is prosecuting the case.
Fairfax Man Sentenced to Prison for Possessing Firearms as a FelonRead the Press Release
A man who possessed six firearms after having been convicted of a felony offense was sentenced Tuesday, October 20, 2015, to two years in federal prison.
Dustin Kirkpatrick, age 35, from Fairfax, Iowa, received the prison term after an April 24, 2015, guilty plea to being a felon in possession of firearms.
In a plea agreement, Kirkpatrick admitted that he was convicted in 2010 of the felony offense of Interference With Official Acts Involving a Dangerous Weapon. At sentencing, evidence was presented that this conviction arose when Linn County Deputy Sheriffs attempted to take him into custody for purposes of a mental health commitment. When the deputies told Kirkpatrick what they were doing, he pulled a 9mm handgun from his pocket. Deputies were able to wrestle Kirkpatrick to the ground and disarm him without anyone being shot.
In the plea agreement, Kirkpatrick further admitted that on June 30, 2014, his father turned in to the Linn County Sheriff’s Office three handguns and three shotguns he possessed. Later that same day, Kirkpatrick’s father called the Linn County Sheriff’s Office to report that his son had threatened a neighbor with a knife and when he (father) had intervened, Kirkpatrick then turned on him. Linn County Sheriff deputies responded to the Kirkpatrick’s house with a tactical team and found him locked in a bedroom. Kirkpatrick refused orders to open the door and surrender, so deputies forced the door open. Kirkpatrick faced the deputies with a long-bladed knife in one hand and a hatchet in the other with arms raised above his head. He refused to drop the weapons in response to orders to do so. Deputies were able to take Kirkpatrick into custody only after using a Taser on him.
At the sentencing hearing, Kirkpatrick moved for a reduced sentence, citing his mental health history of schizophrenia and depression. Kirkpatrick argued that he was suffering from delusions at the time he confronted the deputies, and further incarceration would not help him. The Court denied Kirkpatrick’s request, concluding that he posed a serious danger to the community because he was non-compliant in taking his medications, personally did not believe his mental health diagnosis, and had a history of violence and firearms.
Kirkpatrick was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Kirkpatrick was sentenced to 24 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Kirkpatrick is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney C.J. Williams and investigated by the Linn County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 14-CR-0084-LRR.
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Evergreen Business Owner Pleads Guilty to Filing False Income Tax ReturnRead the Press Release
DENVER – John Michael Askins, age 61, of Evergreen, Colorado, pled guilty yesterday before U.S. District Court Judge Christine M. Arguello to filing a false income tax return, United States Attorney John Walsh, IRS Criminal Investigation Acting Special Agent in Charge Steven Osborne announced. Judge Arguello is scheduled to sentence Askins on January 21, 2016. Askins was indicted by a federal grand jury in Denver on July 7, 2015.
According to the indictment and plea agreement, Askins owns three Service Master carpet cleaning franchises in the Denver area. In October 2011, the Internal Revenue Service, Criminal Investigation (IRS-CI) received a referral from the Small Business/Self Employed Section of the IRS regarding Askins. The referral arose as a result of an audit of the defendant’s 2007 through 2009 personal tax returns.
The returns in question were prepared by a CPA based upon profit and loss statements for Service Master businesses, mortgage interest statements, and information about rental property owned by Askins. Askins reviewed the prepared returns and on more than one occasion told the CPA that the return at issue was not correct because he did not make that much net income and the CPA made the changes requested. Askins failed to file an income return for 2010 even after the CPA attempted to contact Askins several times.
An IRS-CI Special Agent employed a bank deposit analysis of the Service Master business bank accounts and determined that Askins underreported his income by $33,762 for 2007, $127,472 for 2008, and $153,577 for 2009 which resulted in a tax loss of $9,453, $35,692, and $43,001, respectively. As for the failure to file for the year 2010, Askins gross receipts for this year amounted to $213,041. However, Askins did not provide any books or records regarding 2010 business transactions, deductions, or expenses; therefore, using the applicable tax rate of 20%, the government asserts that the tax loss for the failure to file for 2010 was $42,608. The total tax loss for all four counts charged in the Indictment is $130,755.
Askins pled to one count of filing a false income tax return, which carries a penalty of not more than 3 years in federal prison, and a fine of up to $250,000.
This case was investigated by Internal Revenue Service – Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Martha A. Paluch.
El Departamento de Justicia Resuelve Reclamación de Discriminación Relacionada a la Inmigración Contra las Escuelas Públicas del Condado de Miami-DadeRead the Press Release
WASHINGTON – El Departamento de Justicia anunció hoy que llegó a un acuerdo con las Escuelas Públicas del Condado de Miami-Dade (MDCPS por sus siglas en inglés) resolviendo unas reclamaciones que MDCPS discriminó a sus empleados debido a su ciudadanía en violación de la Ley de Inmigración y Nacionalidad (INA por sus siglas en inglés).
La investigación del departamento, realizada por la Oficina del Consejero Especial para Prácticas Injustas en el Empleo Relacionadas a Inmigración (OSC por sus siglas en inglés) de la División de Derechos Civiles, encontró que MDCPS obligó a inmigrantes, pero no a ciudadanos estadounidenses similarmente situados, a presentar documentos específicos para comprobar su elegibilidad para trabajar. La disposición antidiscriminatoria de la INA prohíbe a los empleadores hacer exigencias documentales específicas basadas en la ciudadanía u origen nacional cuando verifican la autorización de trabajar de un empleado.
“Los empleadores tienen que asegurarse de que su personal de recursos humanos entienda las prácticas propias de contratación,” dijo Vanita Gupta, la Subprocuradora Prinicpal General y Directora de la División de Derechos Civiles del Departamento de Justicia. “Promoviendo el cumplimiento con la ley es importante para asegurar que los trabajadores no sean excluidos debido a tratamiento discriminatorio.”
Bajo el acuerdo, MDCPS pagará una penalidad civil de $90,000 a los Estados Unidos y establecerá un fondo de $125,000 para indemnizar a los individuos quienes perdieron sueldos debido a las prácticas de la compañía. Entre otras cosas, el acuerdo también requiere que la compañía realice monitoreo de cumplimiento por tres años, permita a OSC a entrenar a los estudiantes de MDCPS sobre los derechos del trabajador, y entrene sus empleados de recursos humanos sobre la provicíon antidiscriminatoria de la INA.
OSC es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. Entre otras cosas, la ley prohíbe la discriminación por causa de ciudadanía y origen nacional en la contratación, despido o reclutamiento o referencia por honorario; prácticas documentales injustas, represalias; e intimidación. La Abogada Litigante Liza Zamd de la División de Derechos Civiles trató este asunto.
Para más información sobre las protecciones contra la discriminación en el empleo bajo las leyes de inmigración, llame a la línea directa para trabajadores al 1-800-255-7688 (1-800-237-2515, TTY para las personas con deficiencias auditivas); llame a la línea directa para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para las personas con deficiencias auditivas); inscríbase a un webinario gratis al www.justice.gov/crt/about/osc/webinars.php, correo electrónico [email protected]; o visite la página web de OSC en www.justice.gov/crt/about/osc.
Los solicitantes o empleados quienes creen que fueron sujetos a diferentes requisitos documentales basados en su ciudadanía, estado migratorio u origen nacional; o discriminación basada en su ciudadanía, estado migratorio u origen nacional en su contratación, despido o reclutamiento o referencia por honorario deben de contactar a la línea directa de OSC para trabajadores para asistencia.
District Man Pleads Guilty to Improper Touching of 16-Year-Old GirlRead the Press Release
WASHINGTON – James Leroy Burney, 32, of Washington, D.C., has pled guilty to one count of sexual abuse of a minor, stemming from his fondling of a 16-year-old girl while she slept at her mother’s home, U.S. Attorney Channing D. Phillips announced today.
Burney pled guilty on Oct. 21, 2015, in the Superior Court of the District of Columbia. He is to be sentenced on Dec. 18, 2015 by the Honorable Rhonda Reid Winston. He faces a statutory maximum sentence of seven-and-a-half years in prison.
According to the government’s evidence, on Aug. 13, 2015, the girl was spending the night with her mother, who she was visiting in Southeast Washington. Twice during the night, Burney slipped into a bedroom and fondled the girl. The Metropolitan Police Department got a warrant for Burney’s arrest, and arrested him on Sept. 16, 2015.
In announcing the plea, U.S. Attorney Phillips praised the work of MPD’s Youth Services Division, which investigated the case. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists D’Yvonne Key and Joyce Arthur; Victim/Witness Advocate Veronica Vaughan; and La June Thames and Katina Adams-Washington, both of the Victim Witness Assistance Unit. Finally, U.S. Attorney Phillips commended Assistant U.S. Attorney Peter V. Taylor, who investigated and prosecuted this case.
Detroit man sentenced for oxycodone traffickingRead the Press Release
CLARKSBURG, WEST VIRGINIA – Markus Deanthony Franklin, 22, of Detroit, Michigan, was sentenced today to 51 months in prison for prescription painkiller trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Franklin, also known as “Diego,” sold oxycodone in Monongalia County, West Virginia in September 2014. He pled guilty in June 2015 to one count of “Aiding and Abetting Distribution of Oxycodone.”
Assistant U.S. Attorney Zelda Wesley prosecuted the case on behalf of the government. The Mon Metro Drug and Violent Crime Task Force investigated.
U.S. District Judge Irene M. Keeley presided.
Dayton Man Sentenced to 73 Months in Prison for Illegally Possessing FirearmsRead the Press Release
DAYTON – Travis Matthews, 28, of Dayton was sentenced here today to 73 months in prison for possession of a firearm after having been previously been convicted of a felony offense.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Joseph P. Reagan, Special Agent in Charge, Drug Enforcement Administration (DEA) Detroit Field Division, and Dayton Police Chief Richard Biehl, announced the sentenced imposed today by United States District Judge Walter H. Rice.
Matthews pleaded guilty in July 2015 after being charged in a one-count bill of information with possessing a Cobra .380 caliber pistol. Matthews was on parole in 2013 for prior drug convictions, when adult parole authorities searched his home and discovered a total of four weapons, three of which were stolen. With three prior felony convictions, including two for possession of cocaine in 2006 and 2009 and one for trafficking heroin in 2009, Matthews is prohibited from possessing firearms.
Matthews was ordered to serve three years on supervised release following his prison term.
“Matthews poses a risk to the safety of the community because of his continuing criminal conduct,” said U.S. Attorney Carter Stewart. “Such lack of respect for the law requires deterrence in the form of a lengthy prison sentence.”
U.S. Attorney Stewart commended the investigation of this case by DEA agents, Dayton Police investigators, and Ohio Adult Parole Authority officers, and Assistant United States Attorney Andrew Hunt, who prosecuted the case.
Davon Lymon, Alleged Shooter of APD Officer, Charged with Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – This morning the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) filed a criminal complaint charging Albuquerque resident Davon Lymon, 34, with a violation of the federal firearms laws. The federal charge against Lymon was announced by U.S. Attorney Damon P. Martinez, Special Agent in Charge Thomas G. Atteberry of the Phoenix Field Division of ATF, Chief Gorden Eden, Jr., of the Albuquerque Police Department (APD), Special Agent in Charge Carol K.O. Lee of the Albuquerque Division of the FBI, U.S. Marshal Conrad E. Candelaria, New Mexico State Police Chief Pete N. Kassetas, Bernalillo County Sheriff Manuel Gonzales, III, Chief Michael Geier of the Rio Rancho Police Department, and Chief Jimmy Glascock of the New Mexico Transportation Police Division.
The federal charge against Lymon, 34, a resident of Albuquerque, N.M., arises out of a traffic stop by an APD officer on the evening of Oct. 21, 2015, in southeast Albuquerque, during which Lymon allegedly fired six rounds at the APD officer as the officer attempted to handcuff Lymon. Several rounds struck the APD officer, including one that struck the officer in the face near the chin. The APD officer was transported to a local hospital for treatment where he remains in critical condition.
According to the criminal complaint, on Oct. 21, 2015, the APD officer executed a traffic stop on a motorcycle being operated by Lymon which allegedly bore a stolen license plate. As the APD officer approached Lymon and the motorcycle, he spoke to Lymon who allegedly failed to comply with the officer’s orders. The complaint alleges that, when the APD officer attempted to detain and handcuff Lymon, Lymon drew a firearm and shot the officer. Lymon then fled from the scene; he was arrested last night when law enforcement officers and canines found him hiding in a shed with a handcuff still attached to one of his wrists. Lymon was transported to a local hospital where he is being treated for injuries sustained as a result of the canine apprehension. He will be taken into federal custody upon discharge from the hospital.
During last night’s investigation, law enforcement officers recovered six cartridges in the area in which the APD officer was shot. They also recovered a semiautomatic pistol from a vacant lot in the area Lymon allegedly fled towards as he left the scene of the shooting.
Lymon was prohibited from possessing either firearms or ammunition on Oct. 21, 2015, because he previously has been convicted of felony offenses in two state court cases. Lymon’s crimes of conviction include voluntary manslaughter, aggravated battery with a deadly weapon resulting in great bodily harm, fraud and forgery.
If convicted of the crime charged in the criminal complaint, Lymon faces a statutory maximum penalty of ten years in federal prison. Charges in criminal complaints are merely accusations. All criminal defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
This case was investigated by the Albuquerque office of ATF, APD, the Albuquerque office of the FBI, the U.S. Marshals Service, the New Mexico State Police, the Bernalillo County Sheriff’s Office, the Rio Rancho Police Department and the New Mexico Transportation Police Division. Assistant U.S. Attorney Jacob A. Wishard is prosecuting the case.
This case is being prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible. Because New Mexico’s violent crime rates, on a per capita basis, are amongst the highest in the nation, New Mexico’s law enforcement community is collaborating to target repeat offenders from counties with the highest violent crime rates, including Bernalillo County, under this initiative.
lymon_complaint.pdf (199.69 KB)
Darien Spa Owner Pleads Guilty to Filing False Tax ReturnsRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and William P. Offord, Special Agent in Charge of IRS Criminal Investigation in New England, announced that NUSRAT RIZVI, 75, of Norwalk, waived his right to indictment and pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to one count of filing a false tax return.
According to court documents and statements made in court, from 2008 to 2010, RIZVI failed to report to the Internal Revenue Service approximately $144,776 in income from Lanphier Day Spa, Inc., a spa he operated with his wife in Darien.
In pleading guilty, RIZVI admitted that he took a portion of the cash received by the business, deposited the cash into his personal bank accounts and failed to report the income to his tax return preparer for the 2008 through 2010 tax years.
Judge Meyer scheduled sentencing for January 14, 2016, at which time RIZVI faces a maximum term of imprisonment of three years and a fine of up to $250,000. As part of his guilty plea, RIZVI has agreed to pay $50,485 in back taxes, as well as $37,862 in penalties.
This case was investigated by the Internal Revenue Service – Criminal Investigation Division, and is being prosecuted by Assistant U.S. Attorney Anastasia E. King.
Anchorage Man Sentenced to 108 Months for Role in Drug Trafficking ConspiracyRead the Press Release
Anchorage, Alaska-U.S. Attorney Karen L. Loeffler announced today that an Anchorage man, Timothy George Alex, has been sentenced by United States District Judge Sharon Gleason to serve 108 months in prison for his role in a conspiracy to sell large quantities of cocaine and heroin. Upon being released from prison, Alex will be on supervised release for five years.
Timothy George Alex, 52, of Anchorage, Alaska, previously pled guilty to conspiring with others to distribute both cocaine and heroin. As part of his plea, Alex admitted that he worked with his co-conspirators to sell both cocaine and heroin for profit.
According to Assistant U.S. Attorney Stephanie C. Courter, who prosecuted the case, Alex and his partner sold cocaine and heroin on behalf of a local Anchorage drug supplier. They routinely acquired the drugs from their supplier “on credit” and then later repaid their source using cash earned from the sale of the drugs. During the course of the conspiracy, Alex was linked to the sale of approximately four kilograms of cocaine and nearly a kilogram of heroin.
Alex was also linked to large amounts of cash earned from the sale of drugs – more than $80,000 in total – that he either paid or attempted to pay back to his drug supplier. During the pendency of the investigation, law enforcement seized these funds, and, as part of his guilty plea, Alex agreed to forfeit them to the United States.
During the sentencing hearing, Judge Gleason noted that Alex’s drug trafficking involved a significant quantity of cocaine as well as a sizeable amount of heroin. She also found it troubling that Alex had engaged in this drug trafficking conspiracy just months after being released from custody for a previous drug trafficking crime. In announcing the sentence, Judge Gleason specifically focused on the need to promote respect for the law and the need to protect the community.
Alex’s sentencing is related to a string of indictments returned in late 2014 and early 2015 as part of ongoing efforts to dismantle and prosecute several large scale drug trafficking rings with ties to Alaska, California, Texas, Arizona, and Mexico. An Anchorage drug distributor, Daniel Harris, was sentenced in July 2015 to serve 135 months in prison for related drug, guns, and money laundering crimes. A Texas man, Jose Ramon Canales, was previously sentenced to serve 70 months in prison for his efforts to launder drug proceeds out of the United States and into Mexico. Canales’ co-defendant, Genaro Gutierrez-Reyes, was sentenced to 18 months for his participation in the international scheme. Several other defendants are set to be sentenced in the coming months for their roles in trafficking heroin, cocaine, and methamphetamine to Alaska and then transporting the cash proceeds of their trafficking activities back to Mexico.
This and the related cases were investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF). In announcing the sentence, U.S. Attorney Loeffler praised the work of the law enforcement agencies involved, including the Drug Enforcement Administration (DEA), the Internal Revenue Service Criminal Investigation (IRS-CI), the Federal Bureau of Investigation (FBI), the U.S. Postal Inspection Service (USPIS), U.S. Immigration and Customs Enforcement (ICE), which oversees Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Anchorage Police Department (APD), the Alaska State Troopers (AST), and the Anchorage Airport Police Department. Additional assistance was provided by the U.S. Attorney’s Offices for the Western District of Texas, the Eastern and Central Districts of California, and the District of Arizona, as well as federal agents in all three states.
Alabama Man Sentenced for Stolen Identity Refund FraudRead the Press Release
A Montgomery County, Alabama, resident was sentenced to prison today for his involvement in a stolen identity tax refund fraud (SIRF) scheme, Acting Assistant Attorney Caroline D. Ciraolo of the Justice Department’s Tax Division and U.S. Attorney George L. Beck Jr. of the Middle District of Alabama announced today.
Jerome Marcel Newton was sentenced to serve 48 months in prison to be followed by three years of supervised release and was ordered to pay $147,102 in restitution to the Internal Revenue Service (IRS).
Newton previously pleaded guilty to one count of mail fraud and one count of aggravated identity theft. According to the superseding indictment and the plea agreement, Newton obtained the personal identifying information of others in various ways, including by using other individuals to collect identities or recruit people to provide their identities. Although Newton resided in Alabama, a number of the identities belonged to people living in Pittsburgh. Newton also obtained the identity information of prison inmates. Newton used the identities he obtained to file fraudulent tax returns, directing the refunds claimed on those returns into bank accounts or onto prepaid debit cards. Some of the prepaid debit cards were then mailed to addresses within the Middle District of Alabama.
Acting Assistant Attorney General Ciraolo and U.S. Attorney Beck Jr. commended special agents of the IRS-Criminal Investigation and officers of the Sheriff’s Office for Douglas County, Georgia, who investigated the case, as well as Trial Attorneys Jason H. Poole and Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Jonathan S. Ross of the Middle District of Alabama, who are prosecuting the case.
Additional information about the Department’s Tax Division and its enforcement efforts may be found at www.justice.gov/tax.
21 October 2015
United States Attorney Davis Announces Student Pledge Against Gun ViolenceRead the Press Release
Jackson, Miss – U.S. Attorney Gregory K. Davis announced today that members of the U.S. Attorney’s Office for the Southern District of Mississippi and their law enforcement partners met with students at Whitten Preparatory Middle School as part of his office’s first annual Student Pledge Against Gun Violence.
Today, middle school students took a voluntary pledge, administered by Hinds County Circuit Court Judge Tomie Green, promising that they will never take a gun to school, will never resolve a dispute with a gun, and will use their influence to prevent friends from using guns to resolve disputes.
The Student Pledge Against Gun Violence is a national initiative that honors the role that young people, through their own decisions, can play in reducing gun violence. Held in conjunction with the Day of National Concern about Young People and Gun Violence, the initiative provides a means for teachers and community leaders to speak to young people about gun violence. Over 10 million students nationwide have taken the pledge since its inception in 1996.
"Our office is pleased to take part in this important national initiative aimed at starting conversations among students, teachers and parents about the dangers of guns and the importance of making the right decisions," said U.S. Attorney Gregory K. Davis.
In addition to providing the pledges to school leaders and students in the 45 counties that make up Mississippi’s Southern District, the U.S. Attorney’s Office will also coordinate with community leaders and law enforcement agencies to provide speakers at several schools to talk to students about what they can do to reduce gun violence in their communities.
If your school is interested in participating in the Student Pledge Against Gun Violence, please contact Sheila Wilbanks at [email protected].
United Blood Nation Gang Associate Pleads Guilty to Racketeering Conspiracy and Murder in Aid of RacketeeringRead the Press Release
CHARLOTE, N.C. – Briana Shakeyah Johnson, 19, of Concord, N.C., appeared before U.S. Magistrate Judge David C. Keesler today and pleaded guilty to conspiracy to participate in racketeering activity (RICO) and murder in aid of racketeering charges, for her involvement in the murders of Douglas and Deborah London, announced U.S. Attorney Jill Westmoreland Rose of the Western District of North Carolina.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division; Chief Kerr Putney of the Charlotte-Mecklenburg Police Department; and Sheriff Bruce Bryant of the York County Sheriff’s Office in South Carolina join U.S. Attorney Rose in making today’s announcement.
This is the sixth defendant this week pleading guilty to charges stemming from this investigation. Five other members of the United Blood Nation (UBN or Bloods) pleaded guilty on Tuesday, October 20, 2015 for their involvement in the conspiracy and murders. Ibn Rashaan Kornegay, Rahkeem Lee McDonald, Daquan Lamar Everett, Centrilia Shardon Leach and David Lee Fudge, pleaded guilty to RICO conspiracy. Fudge and McDonald also pleaded guilty to murder in aid of racketeering, for the murders of Douglas and Deborah London. Fudge also pleaded guilty to Hobbs Act Robbery for his role in the May 2014 armed robbery of the Pineville area mattress store owned by the Londons.
Federal charges against the remaining six gang members, Jamell Lamon Cureton, Nana Yaw Adoma, Randall Avery Hankins, Malcolm Jarrel Hartley, Nehemijel Maurice Houston and Ahkeem Tahja McDonald, are still pending.
According to filed court documents and court proceedings, Johnson, a/k/a “Breezy B” a/k/a “Breezy V,” was an associate of gang members of the Charlotte-area Valentine Blood set of the UBN. Court documents show that Johnson met Hartley in April 2014 and became his girlfriend. According to court documents, on or about May 25, 2014, Cureton, Adoma and Fudge robbed “The Mattress Warehouse,” store owned by the Londons. The three were later charged in connection with that robbery. According to court records, Cureton and other gang members discussed that Douglas London was the only eye witness that could identify Cureton and that he needed to be eliminated. As an associate of the Bloods, Johnson was present at gang meetings during which the murder of the Londons was discussed and planned.
In court documents filed with the plea agreement, Johnson admitted she agreed to drive Hartley to South Carolina to murder the Londons. Johnson also admitted that on October 23, 2014, she drove Hartley to the London’s residence in Lake Wylie, S.C., and that she waited in the car while Hartley shot both victims. According to court records, Johnson then drove Hartley back to Charlotte, first stopping at Rahkeem McDonald’s house to dispose of the gun. The two of them then returned to Hartley’s apartment where they met with other gang members. According to filed documents, while at the apartment, Hartley described the victims’ murders and the group celebrated. Hartley was ultimately “ranked up” within the gang for murdering the Londons.
Johnson is currently in federal custody. Her sentencing date has not been scheduled yet. The RICO conspiracy charge carries a maximum penalty of life in prison. The maximum penalty for murder in aid of racketeering is death or life in prison.
Charges against the remaining six gang members are still pending. Cureton, Adoma, Hankins, Hartley, Houston and Ahkeem Tahja McDonald are changed with RICO conspiracy. Cureton, Hankins and Hartley are also charged with two counts of murder in aid of racketeering and two counts of use or carry of a firearm during and in relation to a crime of violence and possession of a firearm in furtherance of a crime of violence resulting in death, for the murders of the Londons. Hartley faces two additional charges of possession of a firearm by a felon. Cureton and Adoma are also charged with Hobbs Act Robbery, assault with a dangerous weapon in aid of racketeering activity, and use or carry a firearm in relation to a crime of violence and possession of a firearm in furtherance of a crime of violence for their involvement in the mattress store robbery. Cureton and Ahkeem McDonald are also facing charges of murder in aid of racketeering and use or carry of a firearm during and in relation to a crime of violence and possession of a firearm in furtherance of a crime of violence resulting in death, in connection with the August 2013 murder of Kwamne Donqurius Clyburn, who was allegedly murdered for falsely claiming to be a member of the Bloods.
The FBI, CMPD and the York County Sheriff’s Office investigated the case.Assistant U.S. Attorneys Elizabeth Greene and Don Gast are in charge of the prosecution.
U.S. Attorney Polite Announces Increased Federal Prosecution of Gun OffensesRead the Press Release
U.S. Attorney Kenneth A. Polite announced today that his Office is leading an initiative to increase federal illegal gun prosecutions in the area. In conjunction with ATF and NOPD, the Office is enhancing federal prosecution of the following offenses:
- Convicted felons in possession of firearms;
- Individuals subject to domestic violence orders who are in possession of firearms; and
- Individuals who possess illegal firearms in or near elementary and secondary schools.
Individuals prosecuted for these offenses will face significant jail time. Further, as these are violent offenses, there is a presumption against bail in most cases.
USA Polite stated, "This initiative will bring needed federal resources to those areas of New Orleans and our region where we see the highest levels of gun violence on a day-to-day basis. In particular, this effort will increase our attention on domestic violence, which is one of the root causes of the violence on our streets and has been the underlying reason for nearly a quarter of New Orleans homicides this year."
In addition, U.S. Attorney Polite announced that his Office is spearheading a public service campaign to educate residents about this firearms initiative. (See attached). USA Polite added, "Victims of gun violence need to know that the federal government is committed to fighting violent crime throughout our region. Just as importantly, perpetrators of this violence are on notice: there will be no revolving door for violent offenders, going in and out of the criminal justice system. Instead, one gun conviction will land you in federal prison for a long time."
Two Oklahoma City Men Plead Guilty to Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that BRANDON MICHAEL JONES, age 37 and PHILLIP EARL AMEY, a/k/a Crazy, age 34, both of Oklahoma City, Oklahoma, pled guilty to DRUG CONSPIRACY, in violation of Title 21, United States Code, Sections 841(a)(l) and 841(b)(l)(A), punishable by not less than 10 years or more than Life imprisonment, up to a $20,000,000.00 fine or both.
The Indictment alleged that beginning in or about July 2014, the exact date being unknown to the Grand Jury, and continuing until on or about April 7, 2015, within the Eastern District of Oklahoma and elsewhere, the defendants, BRANDON MICHAEL JONES and PHILLIP EARL AMEY, a/k/a Crazy, did knowingly and intentionally conspire, confederate and agree together and with David Dean Cagle, Gilbert Espinoza, a/k/a Snow, Jonathan Miranda, Jessica Suzanne Felix, a/k/a Sarah, and others, to possess with intent to distribute and to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The charges arose from an investigation by the Oklahoma City Police Department, Oklahoma Highway Patrol, McAlester Police Department, Checotah Police Department, McIntosh County Sheriff’s Department, District 18 District Attorney’s Drug Task Force, Bureau of Indian Affairs, United States Marshal Service, Bureau of Alcohol, Tobacco and Firearms, Federal Bureau of Investigation and the Drug Enforcement Administration.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the guilty pleas and ordered the completion of presentence reports. Sentencing hearings will be scheduled following their completions. The defendants will remain in the custody of the United States Marshal Service pending sentencing.
Assistant United States Attorney Shannon Henson represented the United States.
Two Individuals in Southern District of Florida Receive Attorney General AwardsRead the Press Release
Attorney General Loretta Lynch recognized 279 Justice Department employees and 33 individuals, including two people in the Southern District of Florida, with Attorney General Awards at a ceremony today in Washington DC. These annual awards recognize department employees and other individuals for their dedication to carrying out the Department of Justice’s mission.
“The individuals being honored today stand out within a department that holds all of its employees and partners to an extremely high standard of excellence,” said Attorney General Lynch. “They have put in long hours, made immense sacrifices, and, in some cases, placed themselves in harm’s way. They have taken on issues that once seemed intractable, and made progress on problems that once seemed impossible. And their outstanding work is an inspiration to public servants everywhere.”
“I commend the tireless efforts of Assistant United States Attorneys Marie Villafaña and E.J. Yera to combat fraud and obtain significant financial recoveries on behalf of the defrauded companies,” said U.S. Attorney Wifredo A. Ferrer for the Southern District of Florida. “I am incredibly proud of the outstanding work done by our colleagues at the U.S. Attorney’s Office.”
In the Southern District of Florida, Assistant United States Attorneys (AUSAs) A. Marie Villafaña and Evelio J. (EJ) Yera were recognized with the Attorney General’s Award for Fraud Prevention. The Attorney General’s Award for Fraud Prevention recognizes the exceptional dedication and effort to prevent, investigate, and prosecute fraud, white collar crimes, and official corruption. The award was presented to AUSAs Villafaña and Yera for their integral roles in Operation Sledgehammer, a six-part operation directed at staged auto accidents and chiropractic clinic fraud. Starting with Operation Sledgehammer I in June 2011 and including the defendants charged in Operation Sledgehammer VI, 105 defendants have been charged for their participation in this automobile insurance fraud scheme. Of those 105 defendants, 57 have been charged federally by the U.S. Attorney's Office, and 51 were convicted either by guilty plea or after trial, including 6 chiropractors, and 15 other licensed healthcare professionals, resulting in court-ordered restitution of more than $10 million to the defrauded insurance companies. Forty-eight defendants have been charged by the Palm Beach County State Attorney's Office.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Two Assistant United States Attorneys Receive the Attorney General's Award for Distinguished ServiceRead the Press Release
CHARLOTTE, N.C. – Attorney General Loretta Lynch presented 279 Justice Department employees and 33 individuals, including two Assistant United States Attorneys in the Western District of North Carolina, with Attorney General Awards at a ceremony held today in Washington, D.C. These annual awards recognize department employees and other individuals for their dedication to carrying out the Department of Justice’s mission.
“The individuals being honored today stand out within a department that holds all of its employees and partners to an extremely high standard of excellence,” said Attorney General Lynch. “They have put in long hours, made immense sacrifices, and, in some cases, placed themselves in harm’s way. They have taken on issues that once seemed intractable, and made progress on problems that once seemed impossible. And their outstanding work is an inspiration to public servants everywhere.”
The Attorney General’s Award for Distinguished Service is the Justice Department’s second-highest award for employee performance. The recipients of this award exemplify the highest commitment to the department’s mission. Twelve Distinguished Service Awards were presented this year to individuals or teams of people. Two of those recipients are Assistant United States Attorneys (AUSAs) in the Western District of North Carolina, Mark T. Odulio and Daniel S. Ryan.
“Today, Mr. Odulio and Mr. Ryan were recognized for their exemplary work in advancing the critical mission of the Justice Department.This prestigious award symbolizes their skills as lawyers and their dedication as public servants to the pursuit of justice.Their work exemplifies our ongoing commitment to uphold the rule of law and to deliver justice to the people in our district,” said U.S. Attorney Rose.
Mr. Odulio and Mr. Ryan received the award for their exceptional service and outstanding legal work in connection with the Department of Justice’s record breaking $16.65 billion settlement with Bank of America (the Bank), concerning the Bank’s origination and securitization of residential mortgages.AUSAs Odulio and Ryan spearheaded the Western District’s investigation of the Bank as part of the broader efforts of the Attorney General’s Residential Mortgage Backed Securities (RMBS) Working Group. Mr. Odulio and Mr. Ryan worked with other U.S. Attorney’s Offices, Justice Department components and state officials across the United States to complete the investigation of the Bank’s fraudulent conduct which resulted in investors suffering millions of dollars in losses.The dedicated efforts of Mr. Odulio, Mr. Ryan and the RMBS Working Group ensured that Bank of America was held accountable for its fraudulent conduct, substantial compensation was provided for federal entities supported by American taxpayers, and impacted homeowners received much-needed financial relief.
AUSAs Odulio and Ryan handle complex financial fraud matters investigated and litigated in the Western District.In that capacity, Mr. Odulio and Mr. Ryan develop leads, direct investigations, and prosecute cases in federal court on behalf of the United States, both civilly and criminally.In performing their duties, AUSAs Odulio and Ryan work closely with federal and state law enforcement partners and numerous regulatory and administrative agencies.
Mr. Odulio received both his undergraduate and JD degrees from the University of Maryland.
Mr. Ryan received his undergraduate degree from the University of Notre Dame and his JD from Harvard School of Law.
In making today’s announcement, U.S. Attorney Rose thanked Mr. Odulio and Mr. Ryan for their tireless dedication to fulfilling the Justice Department’s mission and noted that it is an honor and a privilege to recognize them both for their accomplishments and public service.
Three Sentenced for Making False ClaimsRead the Press Release
Jackson, Miss - Kimberly Givens, Nathaniel Cooper, and Latorra Gross were sentenced by U.S. District Judge Carlton W. Reeves for their roles in a conspiracy to obtain fraudulent tax refunds after falsely claiming the First-Time Homebuyer Tax Credit, announced U.S. Attorney Gregory K. Davis and Special Agent in Charge Jerome R. McDuffie with IRS – Criminal Investigation.
Kimberly Givens, 43, of Sandhill, was sentenced to 26 months in federal prison followed by three years of supervised release for conspiracy to make a false claim. She was also ordered to pay $47,625.22 in restitution.
Nathaniel Cooper, 30, of Morton, was sentenced to 22 months in federal prison for making a false claim. His federal sentence will run concurrently with his state prison sentence. He was ordered by Judge Reeves to three years of supervised release to run consecutively to his supervision term in the state system. He was also ordered to pay restitution in the amount of $8,749.77.
Latorra Gross, 30, of Sandhill, was ordered to serve a three year term of probation for making a false claim. She was also ordered to pay a $1,000 fine.
During the course of the scheme, Givens and her co-conspirators filed the false tax returns after obtaining identity information from third parties under false pretenses and creating false documents to support the information contained on the returns. For the tax year 2008 alone, Givens filed over 200 fraudulent tax returns and obtained hundreds of thousands of dollars in fraudulent tax refunds. Those refunds were directed to a bank account which Givens controlled. As a part of the investigation, the government seized and forfeited $184,694.83.
"The filing of false tax returns and the abuse of the First-Time Homebuyer Tax Credit program are serious crimes. It is critically important that taxpayers who play by the rules do not end up paying for refunds to people who commit fraud and blatantly lie on the forms submitted to the IRS," stated Jerome R. McDuffie, Special Agent in Charge, IRS – Criminal Investigation. "Givens and her co-conspirators have been brought to justice for their actions. Today is a win for the law abiding taxpayers whose interests we have sworn to protect."
U.S. Attorney Davis praised the efforts of the special agents with IRS-Criminal Investigation who investigated the case and Assistant U.S. Attorney John Dowdy, who prosecuted the case.
Three Keeseville Residents Indicted on Methamphetamine ChargesRead the Press Release
PLATTSBURGH, NEW YORK – Three Keeseville residents have been indicted on charges related to the manufacture and distribution of methamphetamine and the possession of pseudoephedrine for use in the manufacture of methamphetamine, announced United States Attorney Richard S. Hartunian, Special Agent in Charge James J. Hunt, New York Division, Drug Enforcement Administration, and New York State Police Superintendent Joseph A. D’Amico.
The four-count indictment alleges that Michael Lecuyer, 37, of Keeseville; Anita Lecuyer, 36, of Keeseville; and Keith Wolfe, 46, of Keeseville, conspired to manufacture, possess with intent to distribute, and to distribute methamphetamine. The indictment also charges each defendant with possession and distribution of a listed chemical, specifically pseudoephedrine, knowing and having reasonable cause to believe it would be used to manufacture methamphetamine.
The defendants were arraigned on October 13 and released pending trial, which is scheduled for December 14, 2015, in Syracuse before United States District Judge Brenda K. Sannes.
If convicted on the conspiracy charge, the maximum penalties each defendant faces are a term imprisonment of 20 years, a $1,000,000 fine, and lifetime supervised release. If convicted of possession and distribution of a listed chemical, the maximum penalties each defendant faces are a term of imprisonment of 20 years; a $250,000 fine; and 3 years of supervised release.
The charges in the indictment are merely accusations. Each defendant is presumed innocent until proven guilty.
This case is being investigated by the Drug Enforcement Administration, the New York State Police, the High Intensity Drug Trafficking Areas Program of New York and New Jersey, the Plattsburgh Police Department, the Clinton County District Attorney’s Office, and the Essex County District Attorney’s Office. Assistant United States Attorney Katherine Kopita is prosecuting the case.
Three Individuals in District of New Jersey Receive Attorney General AwardsRead the Press Release
NEWARK, N.J. – Attorney General Loretta Lynch recognized 279 Justice Department employees and 33 individuals, including three people in the District of New Jersey, with Attorney General Awards at a ceremony today in Washington, D.C. These annual awards recognize department employees and other individuals for their dedication to carrying out the Department of Justice’s mission.
“The individuals being honored today stand out within a department that holds all of its employees and partners to an extremely high standard of excellence,” said Attorney General Lynch. “They have put in long hours, made immense sacrifices, and, in some cases, placed themselves in harm’s way. They have taken on issues that once seemed intractable, and made progress on problems that once seemed impossible. And their outstanding work is an inspiration to public servants everywhere.”
In the District of New Jersey, the following individuals were recognized for the following award: Assistant U.S. Attorneys Leticia Vandehaar and David Feder and Auditor Barbara Radey received the Attorney General’s Award for Distinguished Service in connection with their work on the Department of Justice’s historic settlement with Bank of America regarding fraud in the sale of residential mortgage backed securities (RMBS) by BofA subsidiary Merrill Lynch.
“Merrill Lynch continued to buy and package mortgage loans in the run-up to the financial crisis, selling them off in securities, knowing full well that a substantial number of those loans were defective,” U.S. Attorney Paul J. Fishman said. “The tireless work of Leticia, David and Barbara as part of the RMBS Working Group led to a record-breaking settlement, which included the resolution of our office’s imminent multibillion-dollar suit.”
As part of the RMBS Working Group, AUSAs Vandehaar and Feder, with the assistance of Radey, conducted a Financial Institutions Reform, Recovery and Enforcement Act (FIRREA) investigation into misrepresentations made by Merrill Lynch to investors in 72 RMBS throughout 2006 and 2007. The investigation revealed that Merrill Lynch regularly told investors the loans it was securitizing were made to borrowers who were likely and able to repay their debts. Merrill Lynch made these representations even though it knew, based on the due diligence it had performed on samples of the loans, that a significant number of those loans had material underwriting and compliance defects – including as many as 55 percent in a single pool. Merrill Lynch rarely reviewed the unsampled loans to ensure that the defects observed in the samples were not present throughout the remainder of the pools. Merrill Lynch also disregarded its own due diligence and securitized loans that the due diligence vendors had identified as defective.
As a result of the District of New Jersey’s investigation of Merrill Lynch and other investigations conducted by Working Group members across the country, BofA agreed in August 2014 to a $16.65 billion global settlement – at that time, the largest civil settlement with a single entity in American history – to resolve federal and state claims against BofA and its former and current subsidiaries, including Merrill Lynch and Countrywide Financial Corporation. As part of this global resolution, the bank agreed to pay a $5 billion penalty – the largest FIRREA penalty ever – and provide billions of dollars of relief to struggling homeowners.
Vandehaar, Feder, and Radey share this award with the other Working Group members who investigated cases resolved by the global settlement with BofA, as well as those who investigated cases resolved in a similar settlement between the Department of Justice and Citibank.
Three Indicted on Heroin Trafficking ChargesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that federal grand jury in Harrisburg has indicted three men on multiple charges involving the unlawful distribution of heroin and marijuana, and criminal conspiracy.
According to United States Attorney Peter Smith, Robert Wolf, 23, Everett, PA, Senad Agu, 27, Philadelphia, and Sayeh Gondeh, 26, Bensalem, were charged in a three count indictment. Agu and Gondeh were charged in one count with unlawfully possessing at least 100 grams of heroin with the intent to distribute. All three men were charged in the other two counts with distributing and conspiring with each other to distribute at least 50 kilograms of marijuana since at least September 2013.
The case was investigated by the Harrisburg Resident Office of the Drug Enforcement Administration, the Pennsylvania State Police, the Franklin County Drug Task Force, and the Fulton County Drug Task Force. Prosecution of the case has been assigned to Assistant United States Attorney William A. Behe.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law on the heroin charge is 40 years of imprisonment with a mandatory minimum 5 year term of imprisonment, a term of supervised release following imprisonment, and a fine. The marijuana counts are punishable by a maximum of 20 years imprisonment. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Sussex County, New Jersey, Man Charged with Distributing Images of Child Sexual AbuseRead the Press Release
NEWARK, N.J. – A Hardyston, New Jersey, man was charged today with exchanging images of child sexual abuse with an offender living in Maryland, U.S. Attorney Paul J. Fishman announced.
Marshall M. Cohen, 48, is charged by complaint with one count of distributing images of child sexual abuse. He appeared this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court and remains in federal custody.
According to the complaint:
In December 2014, a law enforcement investigation revealed than an individual living in Maryland (the “Maryland Offender”) produced images of child sexual abuse depicting a two-year old girl to whom he was believed to have had access. The Maryland Offender disseminated the images to Cohen in exchange for other images of child sexual abuse in Cohen’s possession. Today, law enforcement officers executed a search warrant at Cohen’s Hardyston address where he allegedly admitted receiving and sending images of child sexual abuse.
The child pornography distribution charge carries a maximum potential penalty of 20 years in prison and a $250,000 fine.
U.S. Attorney Fishman credited special agents with the FBI, under the direction of Special Agent in Charge Richard M. Frankel in Newark, as well as the New Jersey Regional Computer Forensics Laboratory, the Sussex County Prosecutor’s Office and the Hardyston Police Department with the investigation leading to the charge.
The government is represented by Assistant U.S. Attorney Bernard J. Cooney of the U.S. Attorney’s Office Criminal Division in Newark.
Stratton Man Convicted of Producing Child PornographyRead the Press Release
United States Attorney Deborah R. Gilg announced that Anthony James "AJ" Horton, 46, formerly of Stratton, Nebraska, was sentenced on October 21, 2015, in Lincoln, Nebraska, to 28 years in prison by United States Senior District Judge Richard G. Kopf, for production of child pornography. After serving his prison sentence Horton will also be required to serve 10 years on supervised release and continue to register as a sex offender. Horton had been previously convicted of sexual assault of a child in Colorado in 1995 and was already required to register as a sex offender. The sentence handed down today will run concurrently with any future state prison sentence imposed upon Horton by the District Court of Hitchcock County for state charges to which Horton has pleaded guilty, including an unrelated sexual assault in Hitchcock County. In addition to the prison term, the Court ordered the forfeiture to the United States of 25 items of computer and surveillance equipment used by Horton in the commission of the illegal activity.
In October, 2014, based on numerous reports of sexual assaults and illegal drug activity, investigators executed a search warrant at Horton's residence in Stratton, Hitchcock County, Nebraska. During the execution of that search warrant, various items of computer and camera equipment were located. A later forensic examination of that equipment revealed numerous videos of sexually explicit conduct that Horton had produced of himself and a minor victim. Horton pleaded guilty to manufacturing child pornography between April 1, 2013 and September 1, 2013 in the District of Nebraska.
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 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 was investigated by the Nebraska State Patrol and the CODE Drug Task Force.
Statements of Manhattan U.S. Attorney Preet Bharara and Head of the Civil Rights Division Vanita Gupta on Court Approval of the Settlement in Nunez V. City of New YorkRead the Press Release
Manhattan U.S. Attorney Preet Bharara issued the following statement today in connection with the approval of the settlement agreement among the parties in Nunez v. City of New York:
“Today, the Court approved the landmark Rikers Island agreement. With the agreement now formally in place, the City can move quickly toward long overdue reforms at Rikers Island. This agreement establishes a detailed and comprehensive framework to reduce violence in the jails and to keep inmates and correction officers safe. For too long, a culture of violence has prevailed at Rikers Island, denying those within its walls the protections of the Constitution, rights to which all in this country, including prison inmates, are entitled. Through this agreement, we will remain vigilant in ensuring that reform at Rikers Island is enduring and enforceable.”
Principal Deputy Assistant Attorney General Vanita Gupta, Head of the Civil Rights Division, issued the following statement today:
“The Rikers Island agreement approved by the Court today should serve as a model for the country. DOJ's Civil Rights Division is committed to protecting youth from unconstitutional conditions of confinement, in both the juvenile and criminal justice systems, and this agreement furthers that commitment. Given the history of operations and the culture of excessive use of force at Rikers Island that we found, the remedies in the agreement approved today in court are not only appropriate, but essential to ensuring we can provide key protections for the complicated, and often underserved, population of youth in the criminal justice system.”
Sovereign Citizens Sentenced to Prison for Debt Elimination SchemeRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Jeffrey Scott Green, age 53, and Lisa Flaugher-Green, age 52, both of Easley, were sentenced today in federal court in Greenville, for a conspiracy to defraud, a violation of Title 18, United States Code, Section 1349. Senior United States District Judge Henry M. Herlong, Jr., of Greenville sentenced Jeffrey Scott Green to 30 months in prison and Lisa Flaugher-Green to 27 months in prison.
Evidence presented at the change of plea hearing established that this was an Electronic Funds Transfer (“EFT”) debt elimination case. Various branches of the Sovereign Citizen movement, which denies the jurisdiction and authority of the federal government, teach that they can discharge debts by presenting a check written off a closed account. The debtor writes on the check “EFT only for discharge of debt.” On the back he writes “authorized representative without recourse.” Sovereign-Citizen groups falsely teach that if the creditor accepts the instrument then the debt is discharged even though no money ever changes hands. The Defendants were part of a group that endorsed the use of EFT instruments.
It was a part of the scheme and artifice to defraud that Jeffrey Scott Green and Lisa Flaugher-Green wrote checks on closed accounts and noted on the checks “EFT only for discharge of debt.” They then would mail these bogus “EFT instruments” and accompanying documents to creditors in an effort to trick the creditors into issuing documents noting that the debt was paid in full. Once the creditor discovered the scam, Defendants would refuse further payment on the grounds of a discharge procured by “EFT instruments.” Agents estimate that the Defendants attempted to eliminate over half a million dollars in debt using the scheme.
The case was investigated by agents of the Federal Bureau of Investigation, the Spartanburg County Sheriff’s Office, and the Greenville County Sheriff’s Office. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.
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Slidell Woman Pleads Guilty to Lying to Federal AgentsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that TRACY C. HARTMAN, 49, of Slidell, pled guilty today to a one-count Bill of Information charging her with lying to federal agents.
According to court records, on January 4, 2006, HARTMAN and her husband were approved for a Small Business Administration (SBA) Disaster loan in the amount of $182,700, resulting from Hurricane Katrina damages.
TRACY HARTMAN and her husband defaulted on the SBA disaster loan. As a result of the loan default, in or about June 2010, the SBA began garnishment proceedings for Mr. Hartman’s payroll checks from St. Bernard Parish. In or about December 2011, the SBA stopped receiving the HARTMAN’s garnishment payments from St. Bernard Parish. A letter, purporting to be from the SBA, was received by St. Bernard Parish claiming the debt had been paid and to stop the garnishment. The letter was a forgery and was not prepared by the SBA. On or about April 20, 2012, HARTMAN made a false statement to federal authorities that she did not know the origin of the fraudulent letter which was hand delivered to the St. Bernard Parish government by her husband on or about November 29, 2011. After further investigation, it was determined that HARTMAN composed the letter.
HARTMAN faces a possible maximum sentence of five years imprisonment, and/or a fine of $250,000 and up to three years of supervised release. U.S. District Judge Martin L.C. Feldman set sentencing for February 24, 2016.
U.S. Attorney Polite praised the work of the Small Business Administration, Office of Inspector General in investigating this matter. Assistant United States Attorney Carter K. D. Guice, Jr. of the Fraud Unit is in charge of the prosecution.
Schools Observe a "Day of National Concern” Addressing Young People and ViolenceRead the Press Release
CEDAR RAPIDS, IOWA – Approximately 16,000 local students joined students from around the country this week in pledging to do their part to end gun violence. The United States Attorney’s Office for the Northern District of Iowa, the Cedar Rapids and Marion Police Departments, and the Linn County Sheriff’s Office are partnering with local school districts to promote discussion of the impact of violence on youth in observance of the 19th annual Day of National Concern. Each of the 17 middle and high schools in the Cedar Rapids, College Community, Marion Independent, and Linn-Mar School Districts participated.
More than 10 million young people have participated in this anti-violence campaign since it was initiated in 1996 through a Presidential Proclamation and unanimous United States Senate Resolution. The cornerstone of the initiative is the signing of a pledge in which students promise to never use a gun or violence to settle a personal dispute and to use their influence to keep their friends from doing the same. Nationwide, the pledge is often combined with school assemblies, homeroom activities, guest speakers, rallies, essay and poetry contests, displays of art work publicizing the toll of gun violence, and the beginning of many conversations about gun violence between students and adults.
Locally, each school planned activities that best fit the needs of the individual school, often involving student groups in planning the events. Some examples of the activities in which students took part include:
- Washington High School students were addressed by a former student who was disabled as a result of gun violence.
- Metro High School students read a gun violence statistic over the intercom during announcements and were asked to write essays about “the rest of their lives,” for famous figures who had their lives cut short by gun violence, imagining what they could have accomplished.
- Jefferson High School hosted a student-moderated panel, during which students engaged in a Q&A discussion including: U.S. Attorney Techau, Assistant U.S. Attorney Deegan, Cedar Rapids Police Chief Jerman, Linn County Sheriff Gardner, Linn County Attorney Vander Sanden, FBI Special Agent Reinwart, CEO of Horizons Mr. Cassell, and Jefferson High School Principal McDonnell.
- Marion High School hosted an informal “Lunch with the U.S. Attorney and Marion Police Chief” where they engaged in a casual discussion with students regarding the issue of gun violence and what students could do to make a difference.
- Vernon Middle School students received a presentation from an Assistant U.S. Attorney then signed the pledge on an enlarge pledge poster which will be prominently displayed in the school.
- Prairie Point Middle School and Ninth Grade Academy filmed a web-video in which the U.S. Attorney and Cedar Rapids Police Chief discussed the issue of youth and violence with the Student Council President.
- Prairie High School students developed awareness posters to hang around the school and approximately 50 students engaged in a conversation with an Assistant United States Attorney.
- Several middle schools in the Cedar Rapids and Linn-Mar districts broadened the message to focus on violence in general, and combined the pledge’s anti-violence message with anti-bullying and conflict-resolution speakers and lessons.
Several Assistant United States Attorneys and other local law enforcement officials attended and spoke at many of these events. Students were also offered the chance to participate in the Day of National Concern and Student Pledge Against Gun Violence by tweeting at #GunPledgeCR.
Kevin W. Techau, U.S. Attorney for the Northern District of Iowa stated, “I commend all of the Cedar Rapids and Marion area students for taking the positive step of saying no to guns in schools. The NO Gun pledge and the discussion it generated in our area schools will have a positive impact in our community. We were proud to partner with Cedar Rapids and Marion Police Departments, Linn County Sheriff’s Office and the Cedar Rapids, Marion, Prairie, and Linn-Mar schools in the first ever Iowa observation of the Day of National Concern.”
Coordinator for the Student Pledge Against Gun Violence, Assistant U.S. Attorney Justin Lightfoot, joins students at Vernon Middle School before they sign the pledge.
Students at Prairie High School sign the pledge.
Follow us on Twitter @USAO_NDIA.
San Francisco Man Sentenced for Distribution of Child PornographyRead the Press Release
U.S. Attorney Kenneth A. Polite announced that GEOFFREY WALKER, age 66, of San Francisco, was sentenced today for crimes involving the sexual exploitation of children.
U.S. District Judge Susie Morgan sentenced WALKER to 72 months imprisonment followed by 10 years of federal supervised release as a result of his guilty plea on May 7, 2015, to distribution of materials involving the sexual exploitation of minors. In addition, WALKER is required to register as a sex offender under the Sex Offender Registration and Notification Act.
According to court documents, as a result of an undercover operation by federal law enforcement agents with the U.S. Department of Homeland Security, Homeland Security Investigations (“HSI”) into the sexual exploitation of children and the distribution of child pornography in the Eastern District of Louisiana, it was determined that WALKER was utilizing his email account to distribute child pornography from California to Louisiana. On September 5, 2014, a federal search warrant was executed at WALKER’s residence in California and HSI agents seized his computer pursuant to the search warrant. WALKER was taken into federal custody at the time of the execution of the search warrant. HSI agents established that on eleven different occasions, WALKER emailed sexually explicit images of minors to an undercover HSI agent located in New Orleans, Louisiana. A subsequent computer forensic search of WALKER’s computer by HSI yielded over 9,000 images and over 1,000 videos depicting minors engaging in sexually explicit activity.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
U.S. Attorney Kenneth Polite, Jr. praised the work of the U. S. Department of Homeland Security, HSI in investigating this matter. Project Safe Childhood Coordinator and Fraud Section Chief, Assistant U.S. Attorney Brian M. Klebba was in charge of the prosecution.
Ride or Die Gang Associate Sentenced on Drug ViolationsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that ANDREALIE LEWIS, age 36, a resident of New Orleans, was sentenced today after having previously pled guilty to federal drug violations.
U.S. District Court Judge Susie Morgan sentenced LEWIS to 48 months of incarceration, to be followed by 3 years of supervised release.
LEWIS was one of twelve defendants charged with conspiring to distribute cocaine base in the St. Roch neighborhood. In addition, all twelve defendants were charged with conspiring to possess firearms in furtherance of their drug trafficking crimes. Three defendants were also charged with conspiring to violate the Racketeer Influenced Corrupt Organization Act, as well as substantive acts of violence.
To date, eight defendants charged in this case have pled guilty to various charges. The following co-defendants are currently pending several sentencing hearings over the next two months: ERVIN SPOONER, a/k/a “Nerky,” age 27; ROMALIS PARKER, a/k/a “Ro Ro,” age 22, NYSON JONES, a/k/a “Nycie,” age 31, TRE CLEMENTS, age 24, MORRIS SUMMERS, age 25, TYONE BURTON, a/k/a “Peanut,” age 22, TYRONE BURTON, a/k/a “Man Man,” age 21; and PERRY WILSON, a/k/a “Yummy,” age 24. Three defendants were convicted following trial and pending sentencing as well: DELOYD JONES, a/k/a “Puggy,” age 23; BYRON JONES, a/k/a/ “Big Baby,” age 25; SIDNEY PATTERSON, a/k/a “Duda Man,” age 24.
According to court documents, LEWIS and her co-defendants were members and associates of the “Ride or Die” gang, which they also referred to as “R.O.D.” The Ride or Die gang was initially formed in or about 2007 and continued to exist through in or about 2013. During the course of the federal investigation into the gang, agents learned that LEWIS and her co-defendants used a house, located at 1632 Mandeville Street, among other locations, as a base of operations to package, sell, and store narcotics, as well as store firearms.
U.S. Attorney Polite praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives as part of the metro area’s Multi-Agency Gang Unit (MAG) in investigating this matter. As an integral component of NOLA FOR LIFE’s Group Violence Reduction Strategy, the
MAG Unit consists of a partnership with New Orleans Police Department (NOPD); Orleans Parish District Attorney’s Office (DA); Orleans Parish Sheriff’s Office (OPSO); Louisiana State Police (LSP); Parole Board of the Louisiana Department of Corrections; United States Attorney’s Office (USAO); Federal Bureau of Investigation (FBI); Drug Enforcement Administration (DEA); United States Marshal’s Service (USMS); and the United States Probation & Parole Office for the Eastern District of Louisiana. Assistant United States Attorneys Nolan D. Paige, Marquest Meeks and Special Assistant United States Attorney Brian Ebarb were in charge of the prosecution.
Raleigh Man Charged with the Manufacturing of Child Pornography Sentenced to 210 MonthsRead the Press Release
ELIZABETH CITY – United States Attorney Thomas G. Walker announced that in federal court today United States District Judge Terrance W. Boyle sentenced WILLIAM TOWNER AKERS, 46 of Raleigh, North Carolina, to 210 months followed by lifetime supervision and a $20,000 fine.
On July 15, 2015, AKERS pled guilty to one count of manufacturing child pornography, in violation of Title 18, United States Code, Section 2251(a)and (d).
According to the investigation, On January 5, 2014, a state search warrant was executed at Bailey Joe and Elizabeth Mills’ residence and several laptop computers, external hard drives and cellphones were seized. A subsequent computer forensics examination of the seized items located several homemade videos taken by the Mills. The Mills have previously pled guilty and been sentenced for Manufacturing Child Pornography. The videos show AKERS sexually molesting an eight year old female in August 2013. On March 10, 2015, a federal complaint charging “John Doe aka Peter Gilbert” with conspiracy to manufacture Child Pornography was obtained. AKERS was later identified as the perpetrator and arrested on March 12, 2015 after several tipline callers identified him. AKERS was the IT manager for a company located in Raleigh.
The criminal investigation of this case was conducted by the United States Immigration and Customs Enforcement’s Homeland Security Investigations – Raleigh, the Harnett County Sheriff’s Office, and the Raleigh Police Department. Assistant United States Attorney Ethan A. Ontjes is handling the prosecution on behalf of the Eastern District of North Carolina.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
Polo Woman Indicted for Embezzling More Than $59,000 from First State BankRead the Press Release
ROCKFORD — A Polo, Ill. woman was charged yesterday by a federal grand jury for embezzling funds. KAYLA BERGSTROM, 46, of Polo, Ill., was First Vice-President of First State Bank, with branches located in Polo and Shannon, Ill. As alleged in the indictment, as Vice-President, Bergstrom had the highest security level assigned in the bank’s software program which controlled all customer bank accounts, the bank’s general ledger accounts, adding new accounts, and the maintenance of all bank accounts. Bergstrom’s responsibilities included reconciling all of the bank’s correspondent accounts including the bank’s correspondent account with US Bank. The indictment alleges that between Feb. 23, 2010 and Feb. 3, 2014, Bergstrom embezzled money from First State Bank by creating cash advance tickets for the bank’s correspondent account at US Bank and crediting the amounts of cash advance tickets to her personal account and the business account for her husband’s automobile repair business. According to the indictment, Bergstrom concealed her embezzlement by changing the balances on the bank’s US Bank account statements by manually cutting and pasting false account balances on the statements.
Embezzlement carries a maximum potential penalty of up to 30 years in prison, up to 5 years of supervised release following imprisonment, and a fine of up to $1,000,000. Bergstrom has since repaid the funds to First State Bank. If convicted, the court must impose a reasonable sentence under federal sentencing statutes and the advisory United States Sentencing Guidelines. Bergstrom will be arraigned before United States Magistrate Judge Iain D. Johnston on Oct. 22, 2015, at 11:00 a.m. in U.S. District Court in Rockford.
The public is reminded that an indictment is only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
The indictment was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Michael J. Anderson, Special Agent-in-Charge of the Chicago Office of Federal Bureau of Investigation; and Joseph Moriarty, Special Agent in Charge for the Chicago Regional Office, Federal Deposit Insurance Corporation - Office of Inspector General.
The government is represented by Assistant U.S. Attorney Joseph C. Pedersen.
Indictment
Polk County Man Pleads Guilty in “G-RAP” Military Recruitment ConspiracyRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Frank Gonzalez-Santiago (52, Polk County) has pleaded guilty to conspiracy to steal government funds. He faces up to five years in federal prison. A sentencing date has not yet been set.
According to court documents, in 2005, the Department of Defense contracted with a private company to operate the Guard Recruiting Assistance Program (“G-RAP”) to help in the recruitment and enlistment of members of the armed services. Under this program, G-RAP Recruitment Assistants (“RAs”) were paid to identify and solicit individuals to join the armed services, and were paid only after one of their recruits joined the armed services. Program rules prohibited professional military recruiters from being paid for any part of a recruitment that a G-RAP RA had initiated. During the course of the conspiracy, Gonzalez-Santiago was a professional Army National Guard recruiter. He conspired with G-RAP RAs who falsely claimed to have recruited enlistees when, in reality, Gonzalez-Santiago had recruited them into the military. The conspirators did so in order to share their G-RAP payments with recruiters such as Gonzalez-Santiago.
This case was investigated by the U.S. Army-Criminal Investigation Division. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.
Plummer Man Admits AssaultRead the Press Release
COEUR D'ALENE - Ramon L. Garcia, 31, of Plummer, Idaho, pleaded guilty on October 20, 2015, to assault, U.S. Attorney Wendy J. Olson announced. Garcia was charged by the United States Attorney’s Office on September 9, 2015.
According to the plea agreement, Garcia admitted that on June 20, 2014, he was at a party in Plummer, Idaho, when he pointed a gun at another individual.
The charge of assault is punishable by up to six months in jail and a maximum fine of $5,000.
Sentencing is set for January 20, 2016, before U.S. Magistrate Judge Candy W. Dale at the federal courthouse in Coeur d’Alene.
The case was investigated by the Coeur d’Alene Tribal Police and the Federal Bureau of Investigation.
Pleasants County man convicted of manufacturing methamphetamineRead the Press Release
WHEELING, WEST VIRGINIA – Donald William Butler, 56, of Saint Marys, West Virginia, was convicted in federal court today for his role in a methamphetamine manufacturing operation based in Pleasants County, West Virginia, United States Attorney William J. Ihlenfeld, II, announced.
Butler, also known as “Amos,” was among six individuals charged in a 19-count federal indictment in June 2015. He was discovered in Pleasants County in possession of materials commonly utilized to manufacture methamphetamine. Those materials included lye drain opener, hydrogen peroxide, fuel additive, matches, and pseudoephedrine packages.
Butler pled guilty today to one count of “Possession of Material Used in the Manufacturing of Methamphetamine – Aiding and Abetting.” He faces up to 10 years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn Adkins prosecuted the case on behalf of the government. The West Virginia State Police and the Pleasants Count Sheriff’s Department investigated.
Senior U.S. District Judge Frederick P. Stamp presided.
Philadelphia Man Pleads Guilty to Federal Drug Charges in ErieRead the Press Release
ERIE, Pa. - A former resident of Philadelphia, Pennsylvania, pleaded guilty in federal court to a charge of violating federal drug laws, United States Attorney David J. Hickton announced today.
Reinaldo Rosario Febus, 51, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Febus conspired with two co-defendants to distribute and possess with intent to distribute five hundred grams or more of cocaine. According to information presented in court, in March 2014, investigators seized packaging material from a kilogram of cocaine in the vicinity of a location on Huron Street, Erie, Pennsylvania. On March 20, 2014, investigators seized two ounces of cocaine after it had been sold by one of Febus’ co-conspirators.
Judge Cercone scheduled sentencing for March 7, 2016 at 12:45 p.m. The law provides for a total sentence of 40 years in prison, a fine of $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, if any, of the defendant.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
The EAGLE Task Force, which is comprised of members of the Federal Bureau of Investigation, the Pennsylvania Attorney General’s Office, Bureau of Narcotics Investigation and the Erie Police Department conducted the investigation that led to the prosecution of Febus.
Peabody Man Pleads Guilty to Trafficking Heroin and FentanylRead the Press Release
BOSTON – Jorge Delgado, a/k/a Antonio Martinez, a/k/a Elisaul Martinez Santana, 28, pleaded guilty to one count of conspiracy to distribute heroin and fentanyl and three counts of distribution of heroin. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Jan. 13, 2016.
Delgado was the leader of a drug ring responsible for distributing heroin and fentanyl in the Salem and Peabody area. Delgado received orders for heroin from customers via cellphone and often sent couriers, two of whom were charged as co-defendants, to distribute drugs for him. Delgado’s drug ring not only distributed heroin but also distributed fentanyl in place of heroin on numerous occasions.
Delgado’s co-defendants, Juanel Pena and Thomas Martinez-Ortiz, previously pleaded guilty. This case was brought as part of the federal response to the growing opioid abuse epidemic in Massachusetts and other New England states. A recent surge in overdose deaths has been attributed in part to the addition of Fentanyl to heroin, creating a toxic mixture substantially more potent, and more dangerous, than heroin alone.
The charging statute provides a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release and a fine of $1 million. 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; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Chief Mary Butler of the Salem Police Department; and Chief Thomas M. Griffin of the Peabody Police Department, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Young Paik.
Oklahoma City Convenience Store Owner Convicted of Defrauding Food Stamp ProgramRead the Press Release
Oklahoma City, Oklahoma –Last Friday, SRINADHA RAVI DIRISINA, 35, of Oklahoma City, was convicted by a jury of stealing money from the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program, which is administered by the United States Department of Agriculture (USDA).
The SNAP program was established to provide food to low-income individuals through approved retail food stores. The Oklahoma Department of Human Services (ODHS) determines whether individuals are eligible to receive benefits. Retail stores apply for USDA authorization to accept SNAP benefits as payment for eligible food items, and the stores certify they understand that trading cash for food stamp benefits violates the program regulations. Since February of 2008, ODHS has given electronic benefit transfer cards (a debit-type card known as Access Oklahoma cards) to SNAP recipients instead of paper food stamps.
Dirisina was the owner/operator of Welcome Mart located at 1100 W. Reno Ave., in Oklahoma City, and was authorized by USDA on February 14, 2014, to be a qualified retail store to accept SNAP benefits. Evidence at trial showed that Dirisina and his employees, at his direction, exchanged SNAP benefits for cash on a discount basis of fifty cents on the dollar, meaning that for every dollar the store received from the USDA, the SNAP recipient received only 50 cents in cash. Evidence showed that Dirisina defrauded the SNAP program out of $147,603.31.
Dirisina was indicted by a federal grand jury on July 22, 2015, and was charged by a Superseding Indictment on September 1, 2015. A jury convicted Dirisina on Count 1 of the Superseding Indictment, alleging stealing from the SNAP Program. Dirisina was found not guilty of Counts 2, 3, and 4, which charged him with witness tampering. A sentencing hearing will be set in approximately 90 days.
This case was investigated by the United States Department of Agriculture Office of Inspector General and the Oklahoma Department of Human Services Office of Inspector General. The case was prosecuted by Assistant U.S. Attorneys Amanda Maxfield Green and Matthew P. Anderson.
Nineteen Atlanta Residents Convicted of Operating a Ring to Cash Stolen U.S. Treasury Checks and Commit Identity TheftRead the Press Release
ATLANTA – Nineteen defendants have been convicted in a large, stolen U.S. Treasury check and identity theft ring, with the final defendants convicted by a jury trial which concluded on Friday October 16, 2015. The defendants ran an elaborate scheme in which they stole checks, manufactured fake state driver’s licenses to use for identity theft and check cashing, and opened credit card accounts in the names of unsuspecting victims.
“Fraud and identity theft crimes are a serious and growing problem in our community,” said U.S. Attorney John Horn. “Thieves who commit these crimes prey upon unsuspecting victims, steal their money, and compromise the victims’ livelihoods, sometimes causing lasting financial charges for them and their families.”
“The convictions in this case were the result of an extensive joint investigation involving many local, state and other federal agencies, who, along with persistent federal prosecutors, clearly saw a mandate to disrupt this organized group’s repeated victimization of the U.S. government. The FBI is pleased with the role that it played in bringing this investigation forward for prosecution and it thanks those many dedicated law enforcement officers and prosecutors for staying the course on such a lengthy and complex case,” said J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office.
According to U.S. Attorney Horn and information presented in court: From approximately June 2012 until September 2014, the defendants worked together to obtain and cash United States Treasury checks stolen from the U.S. Mail. The checks were originally issued to people entitled to the federal funds, including taxpayers receiving refunds, retired federal employees receiving pension benefits, military families, and Social Security beneficiaries receiving Social Security and disability payments.
The defendants played different roles in the scheme: Defendants Erica Willis, Dexter Willis, and Antonio Slatton sold stolen checks to other defendants. Check purchasers, including Hussain Abdullah, Asad Abdullah, Hudhayfah Abdullah and Hafid Abdur-Rabbani, were frequent customers of the check sellers and purchased checks by either paying 25% of the check’s face value or splitting the proceeds from the check in half with the supplier. After purchasing the stolen checks, the defendants would pay identification manufacturers like Ibrahim Abdur-Rabbani and Khalil Majeed to make fake Georgia driver’s licenses matching the names and addresses of the victims, but containing photos of “check runners.” In exchange for a fee, the “ check runners” would use the fake driver’s licenses to cash the stolen checks at retail locations throughout the Atlanta, Georgia, metropolitan area, such as Wal-Mart and Publix.
As part of the investigation, FBI and other law enforcement agents worked with a confidential informant, which put them in a position to recover the stolen checks and false identifications. The government reimbursed the stores that cashed the stolen checks for the losses they incurred.
In a separate credit card fraud scheme, defendants Asad Abdullah, Mikal Majeed, and Billie Cosby, obtained and used counterfeit identification documents to pose as real Sam’s Club members. After presenting the fraudulent documents at various Sam’s Club locations in Georgia, Tennessee, and Alabama, the defendants obtained replacement store credit cards in the names of the victims, which the defendants then used to buy gift cards, gas, groceries, and other items at various Sam’s Club and Wal-Mart locations.
Across the two schemes, the defendants defrauded the federal government, Wal‑Mart, and Sam’s Club of approximately $350,000.
The defendants are as follows:
- Asad Abdullah, 37, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, aggravated identity theft and conspiracy to commit credit card fraud.
- Erica Willis, 36, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Hussain Abdullah, 34, of Atlanta, Georgia, was convicted ofconspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Hudhayfah Abdullah, 32, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Hafid Abdur-Rabbani, 37, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Ibrahim Abdur-Rabbani, 33, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Khalil Majeed, 35, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Ali Al-Amin, 36, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds, theft of government funds, and aggravated identity theft.
- Zakariyah Abdullah, 35, of Atlanta, Georgia, was convicted of aggravated identity theft and using a passport belonging to another.
- Sayeed Valdez, 38, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- Antonio Slaton, 37, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- Cory Howell, 43, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- Damion Davis, 31, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- Dexter Willis, 36, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- JoAnn Drigo, 37, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- Muhajid Ahmad, 33, of Atlanta, Georgia, was convicted of conspiracy to commit theft of government funds.
- Billee Cosby, 34, of Atlanta, Georgia, was convicted of conspiracy to commit credit card fraud.
- Mikal Majeed, 33, of Atlanta, Georgia, was convicted of aggravated identity theft.
- Jasmine Proctor, 20, of Atlanta, Georgia, was convicted of interfering with the U.S. Mail.
Sentencing for the defendants has not yet been scheduled.
This case was investigated by the Federal Bureau of Investigation. Assistance in this case was provided by the following federal agencies: Federal Air Marshal Service; United States Customs and Border Protection; Bureau of Alcohol, Tobacco, Firearms, and Explosives; IRS-Criminal Investigations; United States Secret Service; United States Postal Service; and the Department of Homeland Security. The following state and local agencies also assisted: Georgia Bureau of Investigation; Georgia Office of Consumer Protection; Georgia Department of Corrections; Atlanta Police Department; Woodstock Police Department; Fulton County Sheriff’s Office; Henry County Police Department; Gwinnett County Police Department; Dunwoody Police Department; Brookhaven Police Department; Sandy Springs Police Department; DeKalb County Police Department, and Chamblee Police Department.
Assistant U.S. Attorneys Nekia Hackworth and Kim S. Dammers, along with DOJ Trial Attorney Hans Miller are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Niagara County Man Arrested, Charged with Threatening the PresidentRead 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 Jared Brown, 18, of Niagara County, NY, was arrested and charged by criminal complaint with threatening the President of the United States. The charge carries a maximum penalty of five years in prison.Assistant U.S. Attorney Paul J. Campana, who is handling the case, stated that according to the complaint, on September 6, 2015, the defendant called the Lockport City Police Department through the 911 Emergency Call Center and made oral threats over the telephone. During this call, Brown stated to an employee that he would kill President Obama. The complaint further alleges that when a Secret Service Agent asked the hypothetical question what Brown would do if the President walked into the interview room, Brown said he would shoot him.
The defendant made an initial appearance today before U.S. Magistrate Judge H. Kenneth Schroeder. He is being held and is due back in court on October 22, 2015 at 2:30 p.m.
The criminal complaint is the result of an investigation by the United States Secret Service, under the direction of Special Agent in Charge C. Todd Laster.
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.
New Orleans Man Sentenced for Arson and Insurance FraudRead the Press Release
U.S. Attorney Kenneth A. Polite announced that ALBERT BROWN, age 46, a resident of New Orleans, was sentenced today after having previously pled guilty to multiple criminal counts for his involvement in a 2007 scheme commit insurance fraud by arson.
U.S. District Court Judge Susie Morgan sentenced BROWN to 60 months of incarceration, to be followed by 5 years of supervised release.
According to court documents, BROWN and others attempted in 2007 to defraud one of his accomplices’ homeowner’s fire insurance company and BROWN’s rental fire insurance company by engaging in sham lease and filing inflated claims for property allegedly burned in the fire.
BROWN’s co-defendants have previously been sentenced. DON ANDREWS was sentenced to 20 years incarceration; ANTHONY THOMAS was sentencing to 17 years incarceration; and, ANTHONY HARRIS was sentenced to 10 years incarceration.
U.S. Attorney Polite praised the work of the ATF New Orleans Division Office, and arson investigators of the New Orleans Fire Department. Assistant United States Attorney Nolan D. Paige and Special Assistant United States Attorney Tony Sanders, who is a Special Assistant United States Attorney and currently the Chief of Administration at the St. Tammany Parish District Attorney’s Office, were in charge of the prosecution.
McAlester Man Pleads Guilty to Methamphetamine ManufacturingRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that JEREMY DAVID STARR, age 39, of McAlester, Oklahoma, pled guilty to MANUFACTURE OF METHAMPHETAMINE, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B), punishable by up to 40 years, up to a $5,000,000.00 fine or both.
The Indictment alleged that on or about June 21, 2015, in the Eastern District of Oklahoma, the defendant, JEREMY DAVID STARR, did knowingly and intentionally manufacture 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The charges arose from an investigation by the McAlester Police Department and the Pittsburg County Sheriff’s Department.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the guilty plea and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendant will remain in the custody of the United States Marshal Service pending sentencing.
Assistant United States Attorney Chris Wilson represented the United States.
Massachusetts Probation Officer Pleads Guilty to Making False StatementRead the Press Release
BOSTON – A long-serving Massachusetts Department of Probation officer pleaded guilty yesterday to making a false statement to the FBI in connection with an investigation the FBI was conducting into allegations by probationers that he was engaging in a deprivation of their rights under color of law.
Lawrence Plumer, 46, of Brockton, pleaded guilty to one count of making a false statement to the FBI. It was alleged at the plea hearing that Plumer mistreated two female probationers by, among other things, showing them pornography videos and making suggestive comments. When confront with the allegations by the FBI, Plumber falsely denied them. U.S. District Court Judge Richard G. Stearns scheduled sentencing for Jan. 13, 2016. Pursuant to the plea agreement, Plumer will resign from his position as a Massachusetts Probation Officer at Suffolk Superior Court where he has worked since 2000.
The charging statute provides a sentence of no greater than five 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 and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The U.S. Attorney’s Office also wishes to acknowledge the cooperation of the Massachusetts Attorney General’s Office. The case is being prosecuted by Assistant U.S. Attorney Robert A. Fisher of Ortiz’s Public Corruption Unit & Special Prosecutions Unit.
Married Couple, Son, and Accomplice Indicted for Defrauding MedicareRead the Press Release
Jackson, TN – The February 2015 indictment of a married couple and their accomplice, charging them with defrauding Medicare, has been superseded to add the couple’s son as a fourth defendant. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the superseding indictment today.
In addition to Calvin Bailey, Sandra Bailey, and Cindy Mallard, Bryan Bailey has also been charged in a superseding indictment alleging a conspiracy to commit health care fraud and to pay illegal kickbacks in connection with health care services. Bryan Bailey has also been charged with wire fraud.
According to the superseding indictment, Sandra Bailey and Calvin Bailey sold durable medical equipment including power wheelchairs and back braces. From November 2009 to September 2011, they were both employed at Jaspan Medical Systems, a durable medical equipment company with an office in Jackson, Tennessee. Durable medical equipment is designed for repeated use and medical purpose.
The Baileys’ co-defendant, Mallard, also worked as a salesperson for Jaspan from June 2011 to September 2012. Prior to that, Mallard was employed as an office manager at Medina Family Medical Clinic from November 2009 until June 2011.
Bryan Bailey, Sandra Bailey and Calvin Bailey’s son, was the operations manager at Jaspan from December 2009 to July 2013.
From at least November 2009 to April 2013, all four defendants were members of a conspiracy to defraud Medicare, a federal health care benefit program, of thousands and also pay illegal kickbacks to health care providers and patient-referral sources.
Earlier this year, three of the defendants — Calvin Bailey, Sandra Bailey, and Mallard — were indicted for conspiracy to commit health care fraud and to pay illegal kickbacks in connection with health care services. Sandra Bailey was also indicted on multiple counts of health care fraud and paying illegal kickbacks to health care providers and patient-referral sources.
Sandra Bailey and Mallard each worked for several years in health care businesses in the Jackson, Tennessee area. Calvin Bailey was employed as the principal at Medina Elementary School in Medina, Tennessee, and was also employed by various medical equipment supply companies.
According to the superseding indictment, Sandra Bailey paid illegal kickbacks to referral sources to identify Medicare card-holders. Sandra Bailey marketed power wheelchairs and back braces to the Medicare card-holders. Commissions for sales of wheelchairs to the Medicare card-holders identified by the referral sources were distributed among the four defendants, as well as to Bryan Bailey’s wife and Mallard’s husband and daughter.
In addition to the illegal kickback payments to referral sources, Sandra Bailey also paid kickbacks to some health care providers who performed — or were supposed to have performed — face-to-face evaluations of card-holders to qualify them for power wheelchairs. Mallard, who was the office manager at Medina Family Medical Clinic, assisted Sandra Bailey by visiting card-holders with her. Mallard also filled out forms that were supposed to be completed during a face-to-face evaluation of a patient by a physician or other qualified health care provider. Mallard then assisted Sandra Bailey in getting those forms signed by providers who were supposed to have conducted face-to-face evaluations of the card-holders. Mallard also received kickback payments on behalf of one of the health care providers who signed the forms.
All four defendants face up to five years imprisonment and fines of up to $250,000 on the conspiracy charge.
Sandra Bailey also faces up to 10 years and a fine of up to $250,000 on each of eight counts of health care fraud.
Sandra Bailey faces up to five years and a fine of up to $250,000 on each of nine counts of paying illegal kickbacks.
In addition to the conspiracy charge, Bryan Bailey faces up to 20 years and a fine of up to $250,000 for wire fraud.
This investigation is being conducted by the Department of Health and Human Services - Office of the Inspector General, the Federal Bureau of Investigation, and the Tennessee Bureau of Investigation.
The case is being prosecuted by Assistant U.S. Attorney John Fabian on the government’s behalf.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.