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Wednesday 2 September 2015
Local Physician and 18 Others Charged in Federal Prescription Drug Distribution IndictmentRead the Press Release
LITTLE ROCK—Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas, and Joseph Shepard, Assistant Special Agent in Charge of the Little Rock District Office of the Drug Enforcement Administration (DEA), announced Wednesday the return of a federal Indictment charging a Little Rock physician and 18 others as part of a continuing DEA national initiative to target illegal pharmaceutical drug activity.
The Indictment, returned by a federal grand jury on Wednesday, charges Dr. Richard Johns, 49, of Little Rock, and 18 others in a conspiracy to distribute oxycodone. The conspiracy operated in Lonoke, White, and Pulaski Counties. Dr. Johns was charged in Lonoke County on May 18, 2015 with similar offenses.
On May 18, 2015, the Lonoke County Sheriff’s Office took Dr. Johns into custody charging him with 187 counts of Fraudulent Practices, a class C state felony. This investigation first began November 2014 when detectives responded to an overdose death of an individual in Cabot. The Sheriff’s Office solicited the assistance of the DEA, and the agencies began a joint investigation into the doctor and the suspected criminal enterprise headed by Dr. Johns. The investigation determined that 187 fraudulent prescriptions had been filled and distributed since July 2014 within the illicit market in Lonoke County alone. The prescriptions totaled approximately 16,830 oxycodone pills with a street value of $505,000.
During the course of the ongoing investigation, DEA determined that Dr. Johns was part of a distribution network spanning other counties in which he would write oxycodone prescriptions in individuals’ names, selling them for $500 each. Co-conspirators would bring names and dates of birth to Dr. Johns with the intent of buying a prescription for oxycodone. Dr. Johns would issue the prescription without examining the individual, and in many cases, without ever having met the individual. Prescriptions were filled at local pharmacies, and the oxycodone tablets sold in the community for $30 each. Several co-conspirators acknowledged purchasing such fraudulent prescriptions from Dr. Johns since 2011.
"As alleged in the indictment, the doctor writing these fraudulent prescriptions is no different than a common, street-level drug dealer on the street, and should be treated as such," Thyer said. "As a society we have granted certain health care professionals the right to prescribe and use highly addictive drugs to treat their patients. When that right is abused, we will aggressively pursue those health care professionals as the criminals that they are. I am pleased that this doctor and his network have been stopped, and this office will continue to target the doctors, pharmacists, and other health-care providers who illegally allow these dangerous and highly addictive drugs to end up on our streets."
In January 2014, as part of a national effort, the DEA New Orleans Field Division, which includes the DEA Little Rock office, launched an aggressive campaign that targeted the largest sources of illegally diverted pharmaceuticals in Arkansas, Louisiana, Mississippi, and Alabama. This effort, dubbed Operation Pilluted, involved the extensive investigation of rogue practitioners, pharmacists, and other DEA Registrants, as well as the aggressive pursuit of more traditional criminal organizations involved in the distribution of pharmaceuticals. Under the auspices of Operation Pilluted, concerted efforts were initiated to heighten community awareness concerning the perils of prescription drug diversion and the strategic implementation/strengthening of associated diverted pharmaceutical laws.
In May 2015, DEA, as part of Operation Pilluted, announced the return of two Indictments charging 46 defendants, including physicians, pharmacists, and nurses, with the illicit distribution of pharmaceuticals in the Central Arkansas area. In total, Operation Pilluted in the Eastern District of Arkansas has led to six federal Indictments charging 113 defendants, including five doctors.
"Prescription drug abuse is an extremely serious problem, not just in Arkansas, but nationwide," Shepard said. "DEA and our law enforcement partners will continue to investigate professionals in the medical field who operate as drug peddlers. Those persons who disregard their ethical and legal obligations while dispensing pharmaceuticals will be forced to bear the consequences of their actions."
The case against Dr. Johns was investigated by the DEA—Little Rock Diversion Squad, along with the Federal Bureau of Investigation, Arkansas State Police, Central Arkansas Drug Task Force, Lonoke County Sheriff’s Office, White County Sheriff’s Office, and Little Rock Tactical Diversion Squad composed of officers from the Conway Police Department, Beebe Police Department, Little Rock Police Department, Pine Bluff Police Department, Jefferson County Sheriff’s Office, and the Benton Police. Also involved in the investigation were the United States Marshals Service, Little Rock Police Department, and the Saline County Sheriff’s Office.
An indictment contains only allegations. A defendant is presumed innocent unless and until proven guilty.
Defendants, United States v. Richard Duane Johns, et al.:
Conspiracy to Distribute Schedule II controlled substances
RICHARD DUANE JOHNS, 49, Little Rock
DAVID LARUE SCROGGINS, 56, Cabot
MARISSA DONANN SCROGGINS, 29, Cabot
CHRISTOPHER DAVID SCROGGINS, 36, Cabot
DONNA MICHELLE CEARNS, 28 Cabot
VANESSA E. BYRD, 29, Ward
RANDY JAMES BYRD, 28, Ward
JAMES JASON WASHAM, 38, Scott
JERRI D. WASHAM, 33, Scott
CHRISTINE MARIE ZEMAN, 46, Lonoke
MEGAN BROOKE MCCONNELL, 25, Judsonia
GREGORY CHASE MCCONNELL, 24, Judsonia
ARON SCOT COCHRAN, 26, Searcy
SCOTTY WAYNE FERREN, JR., 25, Searcy
JASON RAY BEAUDRY, 29, Searcy
DUSTIN R. BULLOCK, 27, Searcy
CHARLES LESTER MASON, 69, Searcy
JOSHUA DAVID RINGER, 29, Searcy
JAMES VERNON SPIKER, JR., 28, Judsonia
STATUTORY SENTENCES
Conspiracy to Possess with Intent to Distribute Oxycodone, a Schedule II controlled substance, is punishable by not more than 20 years’ incarceration in the Bureau of Prisons with a possible fine of up to $1,000,000, and not less than 3 years supervised release.
Possession with Intent to Distribute and Distribution of Oxycodone, a Schedule II controlled substance, is punishable by not more than 20 years’ incarceration in the Bureau of Prisons with a possible fine of up to $1,000,000, and not less than 3 years supervised release.
Lexington, Kentucky, Woman and Clarksville, Tennessee, Man Charged with Sex Trafficking of A Louisville, Kentucky, MinorRead the Press Release
LOUISVILLE, Ky. – A Lexington, Kentucky, woman and Clarksville, Tennessee man were charged by a federal grand jury today with a single count of sex trafficking a 15-year-old female, announced United States Attorney John E. Kuhn, Jr.
Crystal L. Bradshaw, a/k/a Crystal Thurman, age 41, and Ralph W. Goodwin, age 65, face no less than 10 years in prison and no more than a life sentence, a $250,000 fine, and no less than five years and up to a lifetime of supervised release.
Goodwin was initially charged in a separate, sealed criminal complaint on August 23, 2015. The case was unsealed during the initial appearance and detention hearing before U.S. Magistrate Judge Dave Whalin on Monday, August 31, 2015.
According to the affidavit attached to the criminal complaint, on August 7, 2015, a 15-year-old female was approached by Crystal Bradshaw, in a Louisville park. Bradshaw took the minor female to a Marriott Hotel in Louisville to engage in sexual contact with Ralph Goodwin, in exchange for a monetary payment. According to the affidavit, Bradshaw received a payment of $700 from Goodwin, but the minor was not paid. Further, after two days, Goodwin drove the minor to his home in Clarksville, Tennessee. Eventually, the minor contacted a friend on Goodwin’s computer. The friend contacted the minor’s mother, which resulted in the Montgomery County, TN Sheriff’s Office discovering the minor at Goodwin’s Clarksville home.
Goodwin is scheduled for arraignment on September 29, 2015 at 9:30am in Louisville.
This case is being prosecuted by Assistant United States Attorney Amanda Gregory and is being investigated by the Federal Bureau of Investigation (FBI).
The indictment of a person by a Grand Jury is an accusation only and that person is presumed innocent until and unless proven guilty.
Laredo Resident Sentenced in Alien Smuggling caseRead the Press Release
LAREDO, Texas – A 34-year-old Laredoan has been ordered to federal prison following his conviction of alien smuggling, announced U.S. Attorney Kenneth Magidson. Jose Alfredo Lopez pleaded guilty Oct. 6, 2014.
Today, Senior U.S. District Judge George P. Kazen sentenced Lopez to 50 months, to be followed by three years of supervised release.
In June 2014, Lopez picked up three Honduran nationals who had just crossed the Rio Grande River into the United States and offered to help them. Lopez, who already has an extensive criminal history including a prior conviction for alien smuggling, then took the aliens to his apartment where he demanded money before letting them go. When the money was not immediately forthcoming, Lopez told one of the aliens that she had to pay with either money or her body and attempted to sexually assault her several times.
At the sentencing, Lopez admitted he had harbored illegal aliens for profit, but denied the attempted sexual assault. The alien who had been the target of the attempted sexual assault testified about the incidents, with specific details about the various threats he had made towards the aliens.
The case was investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorney Sonah Lee.
Lackawanna Man Indicted on Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that a federal grand jury has returned an indictment charging Justin Vazquez, 29, of Lackawanna, NY, with being a felon in possession of a firearm. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Edward H. White, who is handling the case, stated that according to the indictment, on January 29, 2015, Buffalo Police officers responded to a domestic incident call at 209 Madison in Buffalo, NY. Vazquez was at the residence of his mother and was threatening to shoot her and two others, including a child, with a loaded firearm in his possession.
Officers apprehended Vazquez in the kitchen. The mother told police that Vazquez’s gun was located in the back bedroom. A search recovered a loaded Smith & Wesson AR-15 rifle. The defendant was previously convicted on a state charge of Aggravated Criminal Contempt and therefore is not allowed to legally possess a firearm.
The defendant will be arraigned on September 3, 2015 before the U.S. Magistrate Judge H. Kenneth Schroeder, Jr.
The indictment is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms & Explosives, under the direction of Delano A. Reid, Special Agent in Charge.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Lackawanna Man Indicted on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that a federal grand jury has returned a three-count indictment charging Jerry Rolon-Alvarez, 36, of Lackawanna, NY, with possession of cocaine and heroin with intent to distribute and maintaining a drug involved premises. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Edward H. White, who is handling the case, stated that according to the indictment and a previously filed complaint, in November 2014, a confidential source made a controlled purchase of heroin from Rolon-Alvarez. Prior to the controlled purchase, the defendant was observed departing 47 Colton Avenue in Lackawanna, and immediately after the controlled purchase, Rolon-Alvarez was observed returning to the Colton Avenue residence.
On November 29, 2014, members of the Lackawanna and Buffalo Police Departments executed a search warrant at 47 Colton Avenue and found Rolon-Alvarez on a bed in the living room. During the search of a cabinet in the kitchen, officers found a large plastic bag containing suspected cocaine, and two plastic wraps containing suspected heroin. There was also a digital scale with heroin residue and a box containing green glassine envelopes located in Rolon-Alvarez’s jacket. Additionally, $2,280 in U.S. currency was seized from the defendant’s pocket. Rolon-Alvarez was arrested by the Lackawanna Police Department.
The defendant will be arraigned on September 3, 2015 before U.S. Magistrate Judge H. Kenneth Schroeder.The indictment is the result of an investigation by the Federal Bureau of Investigation, the Buffalo Police Department, under the direction of Commissioner Daniel Derenda, and the Lackawanna Police Department, under the direction of Chief James L. Michel.
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.
Justice Department Announces $8.5 Million in Grants to Reduce Sexual Assault, Domestic Violence, Dating Violence and Stalking on College CampusesRead the Press Release
The Justice Department's Office on Violence Against Women (OVW) today announced 27 awards totaling $8.5 million to enhance victim services and develop programs to prevent, investigate and respond to sexual assault, domestic violence, dating violence and stalking on campus. The awards are made with funds from the Grants to Reduce Sexual Assault, Domestic Violence, Dating Violence, and Stalking on Campus Program (campus program).
The campus program supports institutions of higher education in developing comprehensive coordinated campus and community-based approaches to prevent and respond to sexual assault, domestic violence, dating violence and stalking. Recipients are required to conduct mandatory prevention and education programming for all incoming students and to train campus law enforcement and all members of campus disciplinary boards to respond effectively to sexual assault, domestic violence, dating violence and stalking. Campuses can use funds to develop and adopt policies and protocols that prioritize victim safety and hold offenders accountable.
“We know that victims who receive comprehensive advocacy and services are more likely to achieve their goals of safety, autonomy and healing,” said Principal Deputy Director Bea Hanson of the Office on Violence Against Women. “Coordination between on-and-off campus victim services organizations and the local criminal justice system is critical to providing holistic support and services that victims need and ensuring that perpetrators are held accountable.”
For more information about the Campus Program, visit www.justice.gov/ovw/responding-campus-sexual-assault.
The Fiscal Year 2015 grant recipients are:
Humboldt State University, Arcata, California; Shasta-Tehama-Trinity Joint Community College, Redding, California; Asnuntuck Community College, Enfield, Conn Florida Agricultural and Mechanical University, Tallahassee, Florida; Daytona State College, Daytona Beach, Florida.; Valencia College, Orlando, Florida.; Indian Hills Community College, Ottumwa, Iowa; Saint Joseph’s College, Rensselaer, Indiana; Washburn University of Topeka, Topeka, Kansas; Salam State University, Salem, Massachusetts; Bates College, Lewiston, Maine; Avila University, Kansas City, Missouri; Mississippi Valley State University, Itta Bena, Mississippi; Salish Kootenai College, Pablo, Montana; Mars Hill University, Mars Hill, North Carolina; University of North Carolina at Chapel Hill, Chapel Hill, North Carolina; Passaic County Community College, Paterson, New Jersey; The College of New Jersey, Ewing, New Jersey.; University of Nevada at Reno, Reno, Neveda; Juniata College, Huntingdon, Pennsylvania.; Cabrini College, Radnor, Pennsylvania.; Messiah College, Mechanicsburg, Pennsylvania.; University of Puerto Rico at Carolina, Carolina, Puerto Rico; Augustana College (recently renamed Augustana University), Sioux Falls, South Dakota; University of Tennessee, Knoxville, Tennessee; University of Texas at El Paso, El Paso, Texas; Edmonds Community College, Lynnwood, Washington.
About the Office on Violence Against Women
Created in 1995, the Office on Violence Against Women provides federal leadership in developing the Nation’s capacity to reduce violence against women through the implementation of the Violence Against Women Act (VAWA) and subsequent legislation. OVW administers financial and technical assistance to communities across the country that are developing programs, policies and practices aimed at ending domestic violence, dating violence, sexual assault and stalking. To learn more, visit www.justice.gov/ovw.
Indictment Charges Chicago New Birth Christian Center Pastor and Others with Defrauding Summer Food ProgramRead the Press Release
Springfield, Ill. – The grand jury today returned an indictment that charges the founding pastor of the New Birth Christian Center, Chicago, and four associates with embezzling approximately $450,000, more than one-half of the funding received to operate the 2010 Summer Food Service Program. Those charged are: Robbie Wilkerson, 47, founding pastor; his wife, Tasha, 42, both of Oak Park, Ill., Anthony Hall, 53, a NBCC pastor, of Downers Grove, Ill., and Richard Shumate, 50, program operations manager for the 2010 program, and his wife Evelyn Shumate, 47, who worked as an assistant for the program, of Romeoville, Ill.
The defendants are charged with defrauding the program that provides nutritious meals to low-income children during the summer months when schools are not in session. In Illinois, the State Board of Education (ISBE) administers funding for the Summer Food Service Program which is provided by the Food and Nutrition Service, an agency of the U.S. Department of Agriculture.
According to the indictment, the New Birth Christian Center was one of the largest recipients of Summer Program funds in Illinois. In 2010, Robbie Wilkerson, on behalf of NBCC, submitted a total operational budget of $446,440 to the ISBE representing that NBCC would administer the summer program at 34 sites in the Chicago area. The defendants allegedly submitted approximately $714,000 in false and fraudulent claims to ISBE, more than $250,000 above the budgeted amount. Claims submitted represented that approximately 267,000 meals were served to low-income children, when in fact, fewer than 100,000 meals were actually served, and as much as $450,000 was used for the defendants’ personal use.
The indictment alleges that Robbie and Tasha Wilkerson embezzled more than $100,000, including more than $60,000 in direct payments to himself and his wife, at the same time his wife was paid as an employee of Youth Outreach Services, Chicago, as a prevention coordinator. In addition, more than $10,000 was given to relatives; $20,000 in cash and other withdrawals from NBCC’s bank account; $46,000 to purchase real estate in Chicago; and, $37,109 to purchase a residence in Memphis Tenn., for Robbie Wilkerson’s parents.
Hall allegedly embezzled approximately $50,000 for his and his spouse’s use. Richard and Evelyn Shumate allegedly embezzled $98,000 for personal use, including approximately $28,695 to purchase a 2011 Hyundai Sonata.
U.S. Department of Agriculture, Office of Inspector General, Special Agent-in-Charge Anthony V. Mohatt said, “The Summer Food Service Program was created to ensure that low-income children continue to receive nutritious meals when school is not in session. Those who are involved in fraud and abuse of SFSP and other USDA programs will be aggressively pursued by our office. The USDA Office of Inspector General will continue to dedicate resources in order to protect the integrity of the SFSP and other USDA programs and to pursue prosecution of those who commit fraud.”
Assistant U.S. Attorney Timothy A. Bass is prosecuting the case on behalf of the U.S. Attorney’s Office for the Central District of Illinois. The charges are the result of investigation by the U.S. Department of Agriculture, Office of Inspector General. The Illinois State Board of Education also assisted in the investigation.
Specifically, the defendants are charged as follows: Robbie Wilkerson: wire fraud (two counts), theft of government funds (one count), money laundering (one count); Tasha Wilkerson: wire fraud (two counts), theft of government funds (one count); Anthony Hall: wire fraud (two counts), theft of government funds (one count); Richard and Evelyn Shumate: wire fraud (two counts), theft of government funds (one count.)
The U.S. Clerk of the Court will schedule dates for arraignment for the defendants in federal court in Springfield.
If convicted, the statutory penalty for the offense of wire fraud is up to 20 years in prison and fines of up to $250,000. For theft of government funds, the statutory penalty is up to 10 years in prison and fines of up to $250,000. The penalty for money laundering is up to 10 years in prison and fines of $250,000 or twice the value of money laundered.
The indictment seeks forfeiture of any property derived from proceeds of the violations and a money judgment in the amount of at least $400,000, the amount of the net proceeds allegedly obtained as a result of the offenses.
Members of the public are reminded that an indictment is merely an accusation; each defendant is presumed innocent unless proven guilty.
Honduran National Sentenced for Illegal ReentryRead the Press Release
U.S. Attorney Kenneth A. Polite announced that OSCAR EDUARDO PENA-TABORA, age 39, a citizen of Honduras, was sentenced today after previously pleading guilty to a one-count Bill of Information for illegal reentry of a removed alien.
U.S. District Judge Martin L.C. Feldman sentenced PENA-TABORA to time served (5 months) imprisonment followed by 1 year of supervised release, and a $100 special assessment. PENA-TABORA will be surrendered to the custody of the U.S. Immigration & Customs Enforcement for removal proceedings.
According to court documents, on or about March 8, 2015, PENA-TABORA was found in the United States after having been officially deported and removed on or about August 2, 2002.
U.S. Attorney Polite praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement in investigating this matter. Assistant United States Attorney Irene González was in charge of the prosecution.
Four Defendants Charged in White Plains Federal Court in Connection with Heist of over $1 Million Worth of Computers Bound for Public High School StudentsRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, Diego Rodriguez, the Assistant Director-in-Charge of the New York Field Division of the Federal Bureau of Investigation (“FBI”), and Daniel McMahon, the Chief of the Yorktown Police Department, today announced the unsealing of a Complaint charging four defendants with participating in a scheme to steal, transport, and sell a shipment of approximately 1,200 computers, valued at over $1 million, that were bound for two public high schools in New Jersey. All four defendants were arrested this morning and will be presented in White Plains federal court today before U.S. Magistrate Judge Lisa Margaret Smith.
As alleged in the Complaint[1] unsealed today in White Plains federal court:
On or about January 15, 2014, ANTON SALJANIN, a driver for a shipping company, drove a truck from Yorktown Heights, New York, to a technology company located in Massachusetts to pick up a shipment of approximately 1,200 Apple MacBook Air computers. ANTON SALJANIN brought his brother, GJON SALJANIN, with him. The computers were being shipped to two public high schools located in New Jersey, and were valued at over $1 million.
The next morning, ANTON SALJANIN reported to the Yorktown Police Department that the truck had been stolen from a parking lot located in Yorktown Heights. Later that day, ANTON SALJANIN reported to Yorktown Police that he had been driving around looking for the truck when he happened to spot it from the highway in a parking lot in Danbury, Connecticut. The truck would not have been visible in the Danbury parking lot to a driver passing by on the highway. Furthermore, historical cell site data for ANTON SALJANIN’s cellphone contradicts his claims about the route he took to look for the truck.
Yorktown Police detectives examined the truck and found that a window had been broken. The detectives found broken glass on the scene in the Danbury parking lot but found no broken glass on the scene in the Yorktown Heights parking lot, suggesting that the window had been broken at the Danbury parking lot rather than at the Yorktown Heights parking lot.
During interviews with the Yorktown Police, ANTON SALJANIN and GJON SALJANIN claimed that on the night of January 15, 2014, they drove directly from a convenience store outside of Yorktown Heights to the Yorktown Heights parking lot. Security camera footage from various locations in Yorktown Heights shows that a truck matching the description of the truck driven by the SALJANIN brothers departed from their claimed route, and instead traveled in the direction of the residence of UJKA VULAJ, a long-time friend of ANTON SALJANIN. The video surveillance footage also shows that the duration of the detour corresponds to the approximate length of time it would have taken to drive to VULAJ’s residence, unload the computers from the truck, and return to the route to the Yorktown Heights parking lot.
From in or about January 2014 through at least in or about April 2014, VULAJ and a co-worker, CARLOS CACERES, sold at least dozens of Apple MacBook Air computers. They sold the computers, which had a retail value of approximately $1,000, for far below the market price. VULAJ and CACERES charged $500 to $800 in cash for each computer, and handed over each computer in plain brown cardboard packaging.
Count One of the Complaint charges all four defendants, ANTON SALJANIN, a/k/a “Tony,” GJON SALJANIN, UJKA VULAJ, a/k/a “Tito,” and CARLOS CACERES, with conspiring to commit theft from an interstate shipment, interstate transportation of stolen property, and receipt, possession, and sale of stolen property. Count Two of the Complaint charges ANTON SALJANIN, GJON SALJANIN, and VULAJ with stealing property with a value of at least $1,000 from an interstate shipment, and aiding and abetting such theft. Count Three of the Complaint charges ANTON SALJANIN, GJON SALJANIN, and VULAJ with transporting in interstate commerce stolen property with a value of at least $5,000, and aiding and abetting such transport. Count Four of the Complaint charges VULAJ and CACERES with receiving, possessing, and selling stolen property with a value of at least $5,000, and aiding and abetting such receipt, possession, and sale.
Charts containing the charges against the defendants and the maximum penalties they face, as well as the defendants’ ages and residences, are attached. The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by the judge.
Mr. Bharara praised the outstanding investigative work of the FBI, the Yorktown Police Department, the Westchester County Police Department, and the New York City Police Department. Mr. Bharara also thanked the Bronx County District Attorney’s Office for its ongoing assistance in the case.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorneys Won Shin, Benjamin Allee, and Scott Hartman are in charge of the prosecutions.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
COUNT
CHARGE
DEFENDANTS
MAXIMUM PENALTIES
1
Conspiracy
18 U.S.C. § 371
ANTON SALJANIN,
a/k/a “Tony,”
GJON SALJANIN,
UJKA VULAJ,
a/k/a “Tito,” and
CARLOS CACERESFive years in prison
2
Theft from an interstate shipment
18 U.S.C. § 659
ANTON SALJANIN,
a/k/a “Tony,”
GJON SALJANIN, and
UJKA VULAJ,
a/k/a “Tito”10 years in prison
3
Interstate transportation of stolen property
18 U.S.C. § 2314
ANTON SALJANIN,
a/k/a “Tony,”
GJON SALJANIN, and
UJKA VULAJ,
a/k/a “Tito”10 years in prison
4
Receipt, possession, and sale of stolen property
18 U.S.C. § 2315
UJKA VULAJ,
a/k/a “Tito,” and
CARLOS CACERES10 years in prison
DEFENDANT
AGE
RESIDENCE
ANTON SALJANIN,
a/k/a “Tony”43
Yorktown Heights, NY
GJON SALJANIN
40
Yorktown Heights, NY
UJKA VULAJ,
a/k/a “Tito”54
Yorktown Heights, NY
CARLOS CACERES
37
Bronx, NY
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Former Scranton Businessman Convicted for Failing to Surrender and on Firearm ChargesRead the Press Release
WILKES-BARRE - The United States Attorney’s Office for the Middle District of Pennsylvania announced that a federal jury in Wilkes-Barre found Joseph P. Donahue, age 60, guilty of knowingly failing to surrender for service of a federal sentence pursuant to a court order, being a felon in possession of a firearm, being a fugitive from justice in possession of a firearm, and possession of a stolen firearm after a seven-day trial. The case was tried before United States District Court Judge E. Richard Caputo. Sentencing is scheduled for December 7, 2015.
According to United States Attorney Peter Smith, Donahue was previously convicted in March 2010 of sixteen felony counts including bank fraud, money laundering, false statements and credit card fraud after a two week trial. On December 2, 2010, United States District Court Judge James M. Munley sentenced Donahue to 121 months’ incarceration and ordered Donahue to surrender himself to begin serving that sentence on January 4, 2011. Donahue failed to report to a previously designated federal facility and a warrant for his arrest was issued. He was apprehended on January 20, 2011 by United States Marshals in Los Cruces, New Mexico while operating under an assumed identity. He possessed a firearm at the time of his arrest.
Donahue testified at trial. Donahue’s defense, in part, was that he failed to surrender to begin serving his sentence because he feared that he was being unfairly prosecuted by the government and he denied any knowledge concerning the firearm. The jury received the case Tuesday afternoon, September 1, 2015 and returned a verdict of guilty on all counts after deliberating approximately 3 hours.
The evidence at the 2010 trial proved that Donahue enlisted and recruited shareholders, investors and partners in various businesses that the defendant owned and controlled, offering them, in exchange for their paying a share of the operating expenses, a share in the profits of the particular business. With the knowledge of his partners, Donahue obtained credit cards from various financial institutions, putting the credit cards in the names of the investors, for the purpose of paying for the operating expenses of a particular corporation that the defendant owned and controlled.
Unbeknownst to the investors, however, Donahue obtained additional credit cards and loans from financial institutions in their names by obtaining on-line credit card applications and by forging their names on the applications, identifying corporations unknown to the partners. Donahue then use these fraudulently-acquired credit cards to incur expenses to which the investors had not consented and for which they would be liable. By forging the investors= names to loan applications, Donahue also committed bank fraud and money laundering.
Donahue was also previously convicted after a 1989 federal trial of conspiracy and failure to comply with monetary instrument reporting requirements. That trial involved evidence that Donahue conspired with drug trafficker Frederick “Rik” Luytjes to smuggle millions of dollars out of the United States while avoiding monetary reporting requirements and tax consequences for Luytjes. United States District Court Judge Richard P. Conaboy sentenced Donahue to a two year term of imprisonment for those crimes.
The investigation was a collaborative effort between the United States Marshals Service and the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorneys Todd K. Hinkley and Michelle L. Olshefski.
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Former Fresno Bank Manager and Her Boyfriend Arrested, Charged with Bank FraudRead the Press Release
FRESNO, Calif. — Former bank manager Sylvia Ochoa, 33, and Shanne Leavell, 23, both of Orange Cove, were arrested today for an embezzlement scheme that defrauded the Bank of America of over $600,000, United States Attorney Benjamin B. Wagner announced.
A federal grand jury returned a six-count indictment on August 27, 2015, against them, charging Ochoa with conspiracy to commit bank fraud, bank fraud, and embezzlement by a bank manager, and charging Leavell with conspiracy to commit bank fraud and bank fraud.
According to court documents, Ochoa was the branch manager at Bank of America on East Tulare Street in Fresno. Between March 2013 and October 2013, Ochoa and Leavell conspired to defraud the bank. Contrary to the bank requirements, Ochoa prevented other bank employees from counting the cash in the vault. She entered the vault after hours and removed cash to spend on personal expenses. Ochoa also made fraudulent credits and transfers into accounts over which she controlled at Bank of America, including two accounts she opened in the name of her boyfriend, Leavell. Ochoa and Leavell then withdrew and spent the money Ochoa stole from the vault and fraudulently deposited into Leavell’s accounts on personal expenses and items, including the purchase of a truck, gambling at casinos, and buying expensive hand bags. In total, Ochoa and Leavell defrauded and embezzled from Bank of America over $600,000.
This case is the product of an investigation by the Federal Bureau of Investigation and the Fresno Police Department. Assistant United States Attorney Mia A. Giacomazzi is prosecuting the case.
If convicted, Ochoa and Leavell face a maximum statutory penalty of 30 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Federal Official Sentenced to 21 Months in Prison for Self-Dealing Federal Grants to New Jersey UniversitiesRead the Press Release
TRENTON, N.J. – The former assistant division administrator of the Federal Highway Administration (FHWA), New Jersey Division, was sentenced today to 21 months in prison for using a straw company to fraudulently obtain grant funds, U.S. Attorney Paul J. Fishman announced.
Lawrence F. Cullari Jr., 43, of Tinton Falls, New Jersey, previously pleaded guilty before U.S. District Judge Peter G. Sheridan to an information charging him with one count of mail fraud. Judge Sheridan imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
Cullari was the assistant division administrator at the FHWA’s New Jersey Division from 2010 through July 2013 and was able to influence the allocation of U.S. Department of Transportation funding. He also operated a private consulting and engineering company called Dencore Consulting, which was owned by his ex-wife. His former father-in-law owned and operated “Company 1,” an engineering company located in Middletown, New Jersey, that provided mechanical, plumbing and electrical designs for commercial and residential projects.
Cullari admitted that in 2006, he and his father-in-law agreed to use Company 1 as a straw contractor to get FHWA-funded work for Dencore Consulting from Rutgers University’s Center for Advanced Infrastructure and Transportation (Rutgers CAIT) and the N.J. Institute of Technology (NJIT). From May 2006 through June 2013, Cullari prepared bids and work proposals for Company 1 to sign and submit to Rutgers CAIT and NJIT. When Rutgers CAIT or NJIT awarded the projects to Company 1, Cullari arranged for the completion of engineering reports and invoices that fraudulently stated that Company 1 completed the work. After Rutgers CAIT or NJIT paid Company 1, its owner kept a small portion of the payment and wrote a check to Dencore Consulting for the remaining balance.
In addition to the prison term, Judge Sheridan sentenced Cullari to three years of supervised release and fined him $20,000.
U.S. Attorney Fishman credited special agents of the U.S. Department of Transportation, Office of the Inspector General, under the direction of Regional Special Agent in Charge Douglas Shoemaker, and the N.J. Department of Transportation, Office of the Inspector General, for the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Scott B. McBride, Deputy Chief of the U.S. Attorney’s Office’s Economic Crimes Unit.
Defense counsel: Bradley L. Henry Esq., New York
Former East Hartford Resident Charged with Robbing More Than $20K from USPS Employee in HartfordRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and Shelly A. Binkowski, Inspector in Charge for the Boston Division of the United States Postal Inspection Service, today announced that a federal grand jury in Hartford returned an indictment yesterday charging DION EDWARD THOMPSON, 37, formerly of East Hartford, with committing an assault and robbery of a U.S. Postal Service employee in Hartford in September 2014.
On September 9, 2014, two masked men, one of whom brandished what appeared to be a firearm, robbed a U.S. Postal Service employee of U.S. Postal Service funds at the Barry Square Post Office, located at 645 Maple Avenue in Hartford. The robbery occurred as the employee was loading the Post Office’s daily proceeds into a postal vehicle, which was parked at the loading dock. Approximately $21,817 in cash, checks and money orders was stolen during the robbery.
The indictment charges THOMPSON with one count of robbery of a postal employee and one count of theft of government property. Each charge carries a maximum term of imprisonment of 10 years.
U.S. Attorney Daly stressed that an indictment is only a charge and is not evidence of guilt. Charges are only allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter has been assigned to U.S. District Judge Robert N. Chatigny in Hartford.
THOMPSON is incarcerated in Colorado on unrelated charges. His arraignment in the District of Connecticut is not yet scheduled.
This ongoing investigation is being conducted by the U.S. Postal Inspection Service with the assistance of the Hartford Police Department and the Colorado Springs Police Department. The case is being prosecuted by Assistant U.S. Attorneys Deborah R. Slater and Douglas P. Morabito.
Former Bradenton Housing Authority Executive Director Sentenced to Prison for Theft of Federal FundsRead the Press Release
Tampa, Florida – U.S. District Judge Susan C. Bucklew today sentenced Wenston DeSue (44, Bradenton) to 12 months and 1 day in federal prison for theft of federal funds. As part of his sentence, the Court entered a forfeiture money judgment in the amount of $276,300.03, the proceeds of DeSue’s theft, and also ordered him to pay the same amount in restitution to the U.S. Department of Housing and Urban Development (“HUD”).
DeSue pleaded guilty on May 28, 2015.
According to court documents, from January 1, 2006, until September 19, 2013, DeSue was employed as the Executive Director of the Bradenton Housing Authority (“BHA”), a local housing authority that receives federal funds from HUD.
An investigation by the HUD - Office of Inspector General and the Federal Bureau of Investigation revealed that between September 2010 and September 2013, DeSue was significantly absent from the BHA on a routine basis, engaged in non-BHA activities during work hours, and failed to take annual or sick leave for those absences. Despite being absent from the BHA much of the time, he accepted his regular salary. In total, DeSue stole and knowingly converted to his own use $276,300.03 from the BHA in salary, bonuses, and cash-outs of unused leave.
In addition, DeSue spent personal time with BHA Project Director, Stephany West, with whom he was romantically involved. On numerous occasions, the two spent personal time together during the workday when they should have been working or on some form of leave. West previously pleaded guilty to theft of federal funds and has a sentencing hearing set for September 9, 2015. In total, West stole and knowingly converted to her own use $104,550.75 from the BHA in salary, bonuses, and cash-outs of unused leave.
This case was investigated by the Office of Inspector General for the U.S. Department of Housing and Urban Development, the Federal Bureau of Investigation, the Florida Department of Law Enforcement, and the Bradenton Police Department. It was prosecuted by Assistant United States Attorneys Jennifer L. Peresie and Simon A. Gaugush.
Federal Jury Convicts Windermere Man of Stealing over $2 Million from A Former NBA Basketball PlayerRead the Press Release
Orlando, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury today found John A. White (40, Windermere) guilty of 11 counts of wire fraud and 4 counts of filing a false tax-related document. He faces a maximum penalty of 20 years in federal prison for each wire fraud count and up to 3 years’ imprisonment for each false document charge. White’s sentencing hearing is scheduled for November 19, 2015. He was indicted on April 9, 2015.
According to the evidence presented at trial, from 2006 through 2012, White was employed as the personal assistant to NBA basketball player Gilbert J. Arenas, who has since retired from professional basketball. During calendar years 2008 through 2011, White stole approximately $2,188,170 from Arenas by making unauthorized online banking money transfers from one of Arenas’s bank accounts into three different bank accounts that White controlled. White spent these funds on his own personal expenses, including mortgage payments for his home in Windermere, and the purchase of a Ferrari and a Range Rover. White also filed false joint income tax returns with the Internal Revenue Service for each of these years. In these tax returns, he and his wife never reported more than $60,000 in gross income, when in fact their joint income was significantly greater due to the money White stole from Arenas.
This case was investigated by the Internal Revenue Service - Criminal Investigation, with assistance from the United States Secret Service. It is being prosecuted by Assistant United States Attorney Andrew C. Searle.
Federal Grand Jury Indicts Amarillo Man on Felony Tax OffensesRead the Press Release
AMARILLO, Texas — A federal grand jury returned an indictment last week charging Randy L. Edwards with three counts of making and subscribing a false return, statement, or other document, announced U.S. Attorney John Parker of the Northern District of Texas.
Today, Edwards made his initial appearance in federal court in Amarillo before U.S. Magistrate Judge Clinton E. Averitte.
The indictment alleges that Edwards, a resident of Amarillo, did willfully make, subscribe, and file tax year 2007, 2008 and 2009 Individual Income Tax Returns that failed to report his true income for each tax year.
In the return for tax year 2007, Edwards stated that tax year 2007 gross receipts income, specifically Schedule C, Line 1, was $702,104, when he well knew, that he failed to report all of his business gross receipts for that year totaling approximately $801,155.
In the return for tax year 2008, Edwards stated that tax year 2008 gross receipts income, specifically Schedule C, Line 1, was $835,604, when he well knew, that he failed to report all of his business gross receipts for that year totaling approximately $1,208,878.
In the return for tax year 2009, Edwards stated that tax year 2009 gross receipts income, specifically Schedule C, Line 1, was $728,861, when he well knew, that he failed to report all of his business gross receipts for that tax year totaling approximately $1,135,859.
A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. Upon conviction, however, the maximum statutory penalty for each count is three years in federal prison and a $250,000 fine.
Internal Revenue Service Criminal Investigation is conducting the investigation. Assistant U.S. Attorney Tim Hammer is prosecuting the case.
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Federal Corrections Officer Arrested for Making False Statements to InvestigatorsRead the Press Release
Ocala, Florida – United States Attorney A. Lee Bentley, III announces the arrest of Rashan L. Gibson (28, Clermont) on a criminal complaint charging him with four counts of making false statements to federal investigators. He faces up to five years in federal prison for each offense. Gibson was released on a $25,000 bond pending resolution of the matter.
According to court documents, federal investigators were contacted by an inmate at the Coleman Federal Correctional Complex in Sumter County who claimed that Gibson, a federal corrections officer, had smuggled cigarettes into the facility in exchange for a $500 bribe. Investigators subsequently monitored an audio and video-recorded meeting between Gibson and the inmate in May 2015. During that meeting, Gibson and the inmate discussed the previous transaction, as well as a future $5,000 payment for other contraband that Gibson would smuggle into the prison. The inmate also provided Gibson with the name of a contact who could deliver the payment to him.
On August 6, 2015, investigators confronted Gibson about the smuggling operation. During the meeting, Gibson denied smuggling contraband into the prison. He also claimed that that he had never met with the inmate, had never discussed a bribery payment, and had never received the name of a person who would pay him money on the inmate’s behalf. Based upon the evidence obtained during the investigation, all of these statements were false.
A criminal complaint is merely an allegation that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the Department of Justice - Office of the Inspector General, and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
Eight Indicted in Fraud Case that Alleges $50 Million in Bogus Claims for Student Substance Abuse CounselingRead the Press Release
LOS ANGELES – Eight people have been indicted for allegedly participating in a scheme that submitted more than $50 million in fraudulent bills to a California state program for alcohol and drug treatment services for high school and middle school students that, in many instances, were not provided or were provided to students who did not have substance abuse problems.
Six of the defendants who worked at the Long Beach-based Atlantic Health Services (formerly known as Atlantic Recovery Services, or ARS) were arrested this morning by federal authorities.
The indictment, which charges the defendants with health care fraud and aggravated identity theft, alleges that ARS received more than $46 million from California’s Drug Medi-Cal program after ARS submitted false and fraudulent claims for group and individual substance abuse counseling services.
“The defendants named in the indictment are accused of exploiting a program that was set up to help a particularly vulnerable population – young people who are confronting drug and alcohol abuse,” said United States Attorney Eileen M. Decker. “According to the indictment, ARS and its employees engaged in a long-running fraud scheme to steal tens of millions of dollars from a program with limited resources that was designed to help underprivileged youth in recovery. In the process, the defendants and ARS branded many innocent young people as substance abusers and addicts in order to boost enrollment numbers and billings.”
The defendants named in the indictment are:
- Lori Renee Miller, 54, of Lakewood, the program manager at ARS who supervised substance abuse recovery managers and counselors;
- Nguyet Galaz, 41, of Montclair, who oversaw services provided at approximately 11 schools in Los Angeles County;
- Angela Frances Micklo, 56, of Palmdale, who managed counselors at approximately nine schools in Los Angeles County, including several in the Antelope Valley;
- Maribel Navarro, 48, of Pico Rivera, who managed counselors at approximately 10 schools in Los Angeles County;
- Carrenda Jeffery, 64, of the Mid-City District of Los Angeles, who managed counselors at approximately three schools;
- LaLonnie Egans, 57, of Bellflower, who managed counselors at three schools;
- Tina Lynn St. Julian, 51, of Compton, who worked as a counselor at two schools; and
- Shyrie Womack, 33, Egans’ daughter, also of Bellflower, who worked as a counselor at three schools.
Galaz and Micklo are expected to self-surrender in the coming weeks. The six other defendants were taken into custody without incident this morning and are scheduled to be arraigned on the indictment this afternoon in United States District Court.
Today’s arrests are the result of a 40-count indictment that was returned by a federal grand jury on August 26 and unsealed this morning.
The eight defendants are all former employees of ARS, which received contracts to provide substance abuse treatment services through the Drug Medi-Cal program to students in schools in Los Angeles County. The schools included various sites operated by Soledad Enrichment Action, and public schools in Montebello, Bell Gardens, Lakewood, and the Antelope Valley.
ARS allegedly submitted bogus claims for payment to the Drug Medi-Cal program for a decade, according to the indictment. ARS shut down in April 2013, when California suspended payments to the company.
According to the indictment, the claims submitted to the Drug Medi-Cal program were false and fraudulent for a number of reasons, including:
- ARS billed for services provided to students who did not have substance abuse disorders or addictions and therefore did not qualify to receive Drug Medi-Cal services;
- ARS billed for counseling sessions that were not conducted at all;
- ARS billed for counseling services that were not conducted in accordance with Drug Medi-Cal regulations regarding length, number of students, content and setting;
- ARS personnel falsified documents, including treatment plans, group counseling sign-in sheets, progress notes and update logs (which listed the dates and times of counseling sessions); and
- ARS personnel forged student signatures on documents.
“For counselors and supervisors to risk stigmatizing students as substance abusers, as alleged in this case, just to enrich themselves at taxpayer expense is outrageous,” said Special Agent in Charge Christian Schrank, U.S. Department of Health and Human Services, Office of the Inspector General. “This decade-long conspiracy to defraud Medi-Cal while disregarding the true health care needs of children will not be tolerated.”
Previously, 11 other defendants pleaded guilty to health care fraud charges stemming from the ARS scheme. Those defendants are former ARS managers Cathy Fernandez, 53, of Downey; Erin Hoover, 37, of Long Beach; Elizabeth Black, 51, of Long Beach; Helsa Casillas, 44, of El Sereno; and Sandra Lopez, 41, of Huntington Park; and former ARS counselors Tamara Diaz, 45 of East Los Angeles; Margarita Lopez, 40, of Paramount; Irma Talavera, 27, of Paramount; Laura Vasquez, 52, of Pico Rivera; Cindy Leticia Ortiz, 29, of Norwalk; and Arthur Dominguez, 63, of Glendale.
Another defendant – Dr. Leland Whitson, 75, of Redondo Beach, the former Medical/Clinical Director of ARS – previously pleaded guilty to making a false statement affecting a health care program.
The dozen defendants who have already pleaded guilty are pending sentencing by United States District Judge Philip S. Gutierrez.
Each of the eight defendants named in the indictment unsealed today potentially faces decades in federal prison if convicted. For example, if convicted, Miller faces a statutory maximum sentence of 324 years in federal prison.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty in court.
The cases against the 20 defendants are the result of an investigation by the U.S. Department of Health and Human Services, Office of Inspector General; the California Department of Justice, Bureau of Medi-Cal Fraud and Elder Abuse; and IRS - Criminal Investigation.
Eight Indicted in Fraud Case That Alleges $50 Million in Bogus Claims for Student Substance Abuse CounselingRead the Press Release
Six Linked to Long Beach Treatment Program Taken into Custody Today
Eight people have been indicted for allegedly participating in a scheme that submitted more than $50 million in fraudulent bills to a California state program for alcohol and drug treatment services for high school and middle school students that, in many instances, were not provided or were provided to students who did not have substance abuse problems.
Six of the defendants who worked at the Long Beach-based Atlantic Health Services, formerly known as Atlantic Recovery Services (ARS), were arrested this morning by federal authorities.
The indictment, which charges the defendants with health care fraud and aggravated identity theft, alleges that ARS received more than $46 million from California’s Drug Medi-Cal program after ARS submitted false and fraudulent claims for group and individual substance abuse counseling services.
“The defendants named in the indictment are accused of exploiting a program that was set up to help a particularly vulnerable population – young people who are confronting drug and alcohol abuse,” said U.S. Attorney Eileen M. Decker for the Central District of California. “According to the indictment, ARS and its employees engaged in a long-running fraud scheme to steal tens of millions of dollars from a program with limited resources that was designed to help underprivileged youth in recovery. In the process, the defendants and ARS branded many innocent young people as substance abusers and addicts in order to boost enrollment numbers and billings.”
The defendants named in the indictment are:
- Lori Renee Miller, 54, of Lakewood, California, the program manager at ARS who supervised substance abuse recovery managers and counselors;
- Nguyet Galaz, 41, of Montclair, California, who oversaw services provided at approximately 11 schools in Los Angeles County;
- Angela Frances Micklo, 56, of Palmdale, California, who managed counselors at approximately nine schools in Los Angeles County, including several in the Antelope Valley;
- Maribel Navarro, 48, of Pico Rivera, California, who managed counselors at approximately ten schools in Los Angeles County;
- Carrenda Jeffery, 64, of the Mid-City District of Los Angeles, who managed counselors at approximately three schools;
- LaLonnie Egans, 57, of Bellflower, California, who managed counselors at three schools;
- Tina Lynn St. Julian, 51, of Compton, California, who worked as a counselor at two schools; and
- Shyrie Womack, 33, Egans’ daughter, also of Bellflower, who worked as a counselor at three schools.
Galaz and Micklo are expected to self-surrender in the coming weeks. The six other defendants were taken into custody without incident this morning and are scheduled to be arraigned on the indictment this afternoon in U.S. District Court.
Today’s arrests are the result of a 40-count indictment that was returned by a federal grand jury on August 26 and unsealed this morning.
The eight defendants are all former employees of ARS, which received contracts to provide substance abuse treatment services through the Drug Medi-Cal program to students in schools in Los Angeles County. The schools included various sites operated by Soledad Enrichment Action and public schools in Montebello, California, Bell Gardens,
Californina, Lakewood, and the Antelope Valley.ARS allegedly submitted bogus claims for payment to the Drug Medi-Cal program for a decade, according to the indictment. ARS shut down in April 2013, when California suspended payments to the company.
According to the indictment, the claims submitted to the Drug Medi-Cal program were false and fraudulent for a number of reasons, including:
- ARS billed for services provided to students who did not have substance abuse disorders or addictions and therefore did not qualify to receive Drug Medi-Cal services;
- ARS billed for counseling sessions that were not conducted at all;
- ARS billed for counseling services that were not conducted in accordance with Drug Medi-Cal regulations regarding length, number of students, content and setting;
- ARS personnel falsified documents, including treatment plans, group counseling sign-in sheets, progress notes and update logs (which listed the dates and times of counseling sessions); and
- ARS personnel forged student signatures on documents.
“For counselors and supervisors to risk stigmatizing students as substance abusers, as alleged in this case, just to enrich themselves at taxpayer expense is outrageous,” said Special Agent in Charge Christian Schrank for the Office of the Inspector General of the Department of Health and Human Services. “This decade-long conspiracy to defraud Medi-Cal while disregarding the true health care needs of children will not be tolerated.”
Previously, 11 other defendants pleaded guilty to health care fraud charges stemming from the ARS scheme. Those defendants are former ARS managers Cathy Fernandez, 53, of Downey, California; Erin Hoover, 37, of Long Beach, California; Elizabeth Black, 51, of Long Beach; Helsa Casillas, 44, of El Sereno, California; and Sandra Lopez, 41, of Huntington Park, California; and former ARS counselors Tamara Diaz, 45 of East Los Angeles, California; Margarita Lopez, 40, of Paramount, California; Irma Talavera, 27, of Paramount; Laura Vasquez, 52, of Pico Rivera; Cindy Leticia Ortiz, 29, of Norwalk, California; and Arthur Dominguez, 63, of Glendale, California.
Another defendant, Dr. Leland Whitson, 75, of Redondo Beach, California, the former Medical/Clinical Director of ARS, previously pleaded guilty to making a false statement affecting a health care program.
The dozen defendants who have already pleaded guilty are pending sentencing by U.S. District Judge Philip S. Gutierrez.
Each of the eight defendants named in the indictment unsealed today potentially faces decades in federal prison if convicted. For example, if convicted, Miller faces a statutory maximum sentence of 324 years in federal prison.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty in court.
The cases against the 20 defendants are the result of an investigation by the Office of Inspector General of the Department of Health and Human Services; the California Department of Justice, Bureau of Medi-Cal Fraud and Elder Abuse; and IRS - Criminal Investigation.
- Lori Renee Miller, 54, of Lakewood, California, the program manager at ARS who supervised substance abuse recovery managers and counselors;
Decatur Physician Charged with Illegal Distribution of HydrocodoneRead the Press Release
Springfield, Ill. – Jim Lewis, U.S. Attorney for the Central District of Illinois, announced that a federal grand jury in Springfield returned an indictment today that charges Sukhwinder Multani, 41, of the 3700 block of N. Ashley Court, Decatur, Ill., with illegal distribution of hydrocodone.
The indictment alleges that on three occasions, between April 2014 and August 2014, Multani prescribed hydrocodone, which was then a Schedule III controlled substance, outside the course of professional medical practice and for no legitimate medical purpose. At the time of the alleged offenses, Multani was an authorized Drug Enforcement Administration registrant, engaged in private practice as Universal Walk-In Urgent Care, located at 3767 E. US Route 36, Decatur, Ill.
The classification for hydrocodone has since been changed by the DEA to Schedule II.
According to public documents filed by the Illinois Department of Financial and Professional Regulation, Division of Professional Regulation, in September 2014, Multani’s licenses were ordered suspended.
If convicted, the statutory maximum penalty for each count of distribution of a controlled substance is 10 years in prison, and a fine of up to $500,000.
The case is being prosecuted by Assistant U.S. Attorney Elly M. Peirson. The charges are the result of an investigation by the Drug Enforcement Administration.
The U.S. Clerk of the Court will issue a summons and date for Multani to appear for arraignment.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
Decatur Man Charged with Child Pornography OffensesRead the Press Release
Springfield, Ill. – Jim Lewis, U.S. Attorney for the Central District of Illinois, announced today that a federal grand jury in Springfield has returned an indictment charging Niles C. Wray, 34, of the 1600 block of North Foster Avenue, Decatur, Ill., with distribution and possession of child pornography and access of a website with intent to view child pornography.
The indictment alleges that in December 2014, Wray distributed and possessed images of minors engaged in sexually explicit conduct. The indictment further alleges that in February 2015 Wray accessed a website with intent to view child pornography, including visual depictions of minors engaging in sexually explicit conduct. The indictment also seeks forfeiture of computers and related materials allegedly used to commit or promote the offenses.
If convicted, the statutory penalty for the count of distribution of child pornography is a mandatory minimum of five years in prison to 20 years in prison and a term of supervised release of up to life following any term of imprisonment. For the possession of child pornography charge, the penalty is a maximum of 20 years in prison, and for the access with intent to view child pornography charges, the penalty also is a maximum of 20 years in prison.
Wray was arrested on Aug. 20, 2015, and charged by criminal complaint with access with intent to view child pornography. During a court appearance on Aug. 25, 2015, before U.S. Magistrate Judge Eric I. Long, in Urbana, Wray was ordered released on bond.
The case is being prosecuted by Assistant U.S. Attorney Katherine Boyle. The charges are the result of an investigation by the Federal Bureau of Investigation.
Members of the public are reminded that an indictment is merely an accusation; each defendant is presumed innocent unless proven guilty.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys= Offices and the Criminal Division=s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Courier for the Jenifer Drug Trafficking Organization Sentenced to 12 Years in PrisonRead the Press Release
Baltimore, Maryland – On September 1, 2015, U.S. District Judge Richard D. Bennett sentenced Brooke Renee Lunn, a/k/a “Brooke Thomas,” and “Brooke Renee,” age 48, of Baltimore, Maryland, to 12 years in prison followed by five years of supervised release for conspiracy to distribute and possession with intent to distribute five kilograms or more of cocaine, in connection with his participation in the Jenifer drug trafficking organization (Jenifer DTO).
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Interim Commissioner Kevin Davis of the Baltimore Police Department; and Chief James W. Johnson of the Baltimore County Police Department.
“This drug organization is a prime example of the complexities that DEA faces with today’s drug traffickers” stated Assistant Special Agent in Charge Don A. Hibbert. “DEA deals with professional couriers, whose only job is to transport drugs and money without being detected by law enforcement. This was accomplished in this case by sophisticated electronic traps, or hidden compartments, in the courier vehicles which resulted in more than 750 kilograms of cocaine being shipped from Houston for distribution in Baltimore. The destruction of this organization is a testament to the hard work and tenacity of the Special Agents and investigators that lived and breathed this case for 18 months.”
According to court documents and information provided at her plea and sentencing hearings, from September 2012 to October 2014, Lunn was the courier for the Jenifer DTO operating courier vehicles between Baltimore and Houston, Texas. The Jenifer DTO obtained its cocaine from suppliers in or around Houston, and transported money hidden in secret compartments in “courier vehicles” from Baltimore to Houston. The cocaine was then transported from Houston to Baltimore in the secret compartments in the courier vehicles. On September 27, 2012, Lunn was operating a courier vehicle near Houston when the vehicle was stopped by the Texas State Police. John Moore was a passenger in the vehicle. Lunn consented to a search of the vehicle and law enforcement recovered approximately 30 kilograms of cocaine that were located in hidden compartments in the vehicle. Both Lunn and Moore were arrested and charged by Texas authorities. After being released on bond, Lunn and Moore returned to Maryland. Subsequently, on October 20, 2012, Moore suffered a fatal gunshot wound to the back of the head. Law enforcement agents believe that Moore’s homicide was the direct result of the cocaine seizure.
After Lunn and Moore’s arrest in Texas in September 2012, the Jenifer DTO began using car-carriers to transport its courier vehicles loaded with cocaine. In July 2013, a Jenifer DTO courier vehicle, loaded on a car-carrier, was intercepted in Arkansas. Law enforcement recovered approximately 23 kilograms of cocaine hidden in a secret compartment in the courier vehicle. After that seizure, the Jenifer DTO returned to its previous method of using Lunn to drive the courier vehicles between Baltimore and Houston transporting cash and/or cocaine.
Between August 2013 and October 2014, Lunn made approximately 30 trips to Houston, Texas, on behalf of the Jenifer DTO, to deliver money and return to Baltimore with kilogram-quantity loads of cocaine, concealed in secret compartments in the Jenifer DTO’s courier vehicles. All of the cocaine deliveries were made by Lunn for the Jenifer DTO while she was awaiting trial for the 30-kilogram seizure of cocaine in Texas.
During the early morning hours on October 9, 2014, Lunn arrived in Baltimore after departing Houston, Texas, operating one of the Jenifer DTO’s courier vehicles containing hidden compartments. Later that day, law enforcement agents executed a search and seizure warrant on the courier vehicle operated by Lunn, and approximately 27 kilograms of cocaine were seized from inside of the hidden compartments contained within the courier vehicle.
Lunn admitted that she was a member and co-conspirator of the Jenifer DTO, which was responsible for trafficking no less than 750 kilograms of cocaine from Houston to Baltimore from August 2013 to October 2014.
Co-conspirators Thomas Simmons, age 48 of Hampton, Virginia, William Hegie, age 54, Kermit Clark, age 44, and Elroy Johnson, age 49, all of Baltimore, previously pleaded guilty to their participation in the conspiracy and were each sentenced to 10 years in prison.
United States Attorney Rod J. Rosenstein praised the DEA, IRS Criminal Investigation and Baltimore City and County Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney John W. Sippel, Jr., who prosecuted the case, and expressed his appreciation to the United States Attorney’s Offices for the Southern District of Texas and the Southern District of New York for their assistance in this Organized Crime Drug Enforcement Task Force case.
Centralia Woman Sentenced on Drug CaseRead the Press Release
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today that Jennifer Ann Keller, 34, of Centralia, Illinois, was sentenced on September 1, 2015, to 70 months in federal prison, to be followed by 4 years of supervised release, a $300 fine and a $300 special assessment. Sentencing followed a guilty plea in May 2014 to charges relating to the production and distribution of methamphetamine. Specifically, Keller was sentenced for Conspiracy to Manufacture and Distribute Methamphetamine from October 2013 through May 2014 in St. Clair, Clinton, and Marion Counties (Count 1); Manufacture of Methamphetamine from February 21, 2014, through February 26, 2014, in St. Clair County (Count 2); and Possession of a Listed Chemical (Pseudoephedrine) Knowing It Would Be Used to Manufacture Methamphetamine on March 6, 2014, in Clinton County (Count 5). Four co-defendants have pleaded guilty to charges arising out of the same indictment. Two have previously been sentenced and two are awaiting sentencing.
Information leading to the charges against Keller was obtained in an investigation conducted by the FBI, the Marion County Sheriff’s Office, and the Clinton County Sheriff’s Department, assisted by the Illinois State Police Methamphetamine Response Team. The case is being handled by Assistant United States Attorney Kit Morrissey.
California Man Admits Shipping One Kilogram of Cocaine to New Jersey Drug Trafficking OrganizationRead the Press Release
TRENTON, N.J. – A California man today admitted shipping large quantities of cocaine from California to a drug trafficking organization that operated in Ocean and Monmouth Counties and elsewhere in New Jersey, U.S. Attorney Paul J. Fishman announced.
Marlon Ramos, 31, of Redlands, California, pleaded guilty before U.S. District Judge Peter G. Sheridan in Trenton federal court to an information charging him with one count of conspiracy to distribute heroin and cocaine.
In March 2014, 21 other alleged members of the drug trafficking organization to which Ramos supplied narcotics were charged by criminal complaint with conspiring to distribute heroin. The complaint referred to the drug trafficking organization as the “Britt-Young DTO,” after its leaders, Robert Britt, a/k/a “True,” and Rufus Young, a/k/a “Equan,” a/k/a “E-Money,” a/k/a “Kintock.” Of those 21 individuals, 18 have pleaded guilty.
According to documents filed in this case and statements made in court:
Between November 2013 and March 2014, Ramos conspired with others, including Thomas Shannon, a/k/a “Cuzzo,” 36, of Jersey City, New Jersey, one of the Britt-Young DTO’s primary heroin suppliers, to ship large quantities of heroin and cocaine from California to New Jersey. Afterwards, New Jersey conspirators re-packaged the narcotics for distribution to others, including members of the Britt-Young DTO, and deposited cash into bank accounts provided by the California suppliers. Ramos admitted today that he used a bank account in his own name to receive payments. He also admitted shipping at least one kilogram of cocaine as part of the conspiracy.
The conspiracy charge to which Ramos pleaded guilty carries a maximum potential penalty of 40 years in prison and a $5 million fine. Sentencing is scheduled for Dec. 17, 2015.
On June 5, 2015, Shannon was charged by indictment with narcotics distribution, illegal possession and use of firearms, and transacting in criminal proceeds. The charges against him are merely accusations and he is considered innocent unless and until proven guilty.
U.S. Attorney Fishman credited special agents of the FBI, Red Bank Resident Agency, under the direction of Special Agent in Charge Richard M. Frankel, with the investigation leading to today’s plea.
The government is represented by Assistant U.S. Attorney Nicholas Grippo of the U.S. Attorney’s Office Criminal Division in Newark.
Defense Counsel: David Bahuriak Esq., Philadelphia
Cahokia Man Sentenced to Prison for Being A Felon in Possession of A FirearmRead the Press Release
A Cahokia man, Jeremy L. Harris, 25, of Cahokia, Illinois, convicted of being a felon in possession of a firearm in violation of federal law, was sentenced to 46 months in federal prison, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Harris was also sentenced to 3 years supervised release to follow imprisonment, a $300 fine and a $100 special assessment. Harris pleaded guilty to the charge on May 15, 2015. Harris has been in custody since his arrest on December 24, 2014. According to court documents, a federal search warrant was obtained for Harris’s cellular telephone. The search revealed an image of Harris holding a rifle while carrying two pistols in his waistband. The image was taken in an East St. Louis residence between April 2014 and June 9, 2014. On June 9, 2014, the rifle was seized by law enforcement during the execution of a federal search warrant at the East St. Louis residence.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was handled by Assistant United States Attorney Kit Morrissey.
Buffalo Man Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. ‐‐ U.S. Attorney William J. Hochul, Jr., announced today that Angel Gonzalez, 39, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute and to distribute 500 grams or more of cocaine, was sentenced to time served (29 months) by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney George C. Burgasser, who handled the case, stated that between 2006 and December 2010, the defendant conspired with two co‐defendants to possess and distribute cocaine in Buffalo. The defendants stored cocaine and the proceeds of drug sales at Gonzalez’s residence on Auburn Avenue in Buffalo. The defendant was paid for allowing the money and drugs to be stored at his residence.
The defendant was arrested in December 2012 along with Renwick Samuel, Mica Donadelle, Kevin Liburd, and James Phillips. All defendants have been convicted.
The sentencing is the culmination of an investigation on the part of the Federal Bureau of Investigation's Safe Streets Task Force which includes representatives of the Amherst Police Department; the Buffalo Police Department; U.S. Border Patrol, the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Cheektowaga Police Department; the Erie County Sheriff’s Department; the Hamburg Police Department; the Lancaster Police Department; the Niagara Frontier Transportation Authority Police; the New York State Department of Correctional Services; the New York State Police; and U.S. Immigration and Customs Enforcement, Homeland Security Investigations.
Bridgeport Man Pleads Guilty to Possession of a Firearm by a Convicted FelonRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that JESUS QUESADA, 24, of Bridgeport, pleaded guilty yesterday in Hartford federal court to one count of unlawful possession of a firearm by a convicted felon.
According to court documents and statements made in court, on April 10, 2015, law enforcement executed a search warrant at an apartment on Glendale Avenue in Bridgeport and seized a .40 caliber semi-automatic handgun that was found on top of the refrigerator. The gun contained a magazine that was loaded with eight rounds of ammunition. QUESADA, a previously convicted felon, subsequently admitted that he was holding the gun for his “uncle,” who was not a blood relative.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
QUESADA is scheduled to be sentenced by U.S. District Judge Robert N. Chatigny on November 6, 2015, at which time he faces a maximum term of imprisonment of 10 years.
This matter is being investigated by the Bridgeport High Intensity Drug Trafficking Area Task Force composed of members of the Drug Enforcement Administration, the Milford Police Department, the Stratford Police Department, the Stamford Police Department, the Norwalk Police Department, and the Connecticut State Police. The case is being prosecuted by Assistant U.S. Attorney Jennifer Laraia.
Branchland man pleads guilty to trafficking drugs from Florida to West VirginiaRead the Press Release
Charleston, W.Va. – United States Attorney Booth Goodwin announced that William Harrison Meade, 47, of Branchland, West Virginia, plead guilty in federal court in Charleston today to conspiring to distribute oxycodone. During his plea hearing, Meade admitted that from January of 2010 through January 11, 2011, he conspired with individuals in Florida and Lincoln County, West Virginia, to distribute oxycodone, also known as “Roxycodone.” Meade also admitted that he laundered the proceeds of the drug sales through a bank account controlled by his associate in West Virginia for withdrawal in Florida in an effort to conceal the source of the cash, the source of the pills, and the location of the drug proceeds.
Meade admitted that beginning in January of 2010 and continuing until January of 2011, Lester Taylor acquired oxycodone pills in Florida and used various methods, including shipment via common carrier and personal trips to West Virginia to deliver the oxycodone pills to Lincoln County for distribution by Meade. After Meade sold the oxycodone pills, he deposited the drug proceeds into bank accounts in Barboursville and Huntington. Following the deposits in West Virginia, Taylor or others acting on his behalf withdrew the money in Florida.
From May 17, 2010 through January 8, 2011, Taylor sent 15 priority overnight packages containing oxycodone pills to Meade at his home in Branchland. Law enforcement intercepted the last package on January 8, 2011, which contained 1000 30 mg oxycodone pills.
From October 13, 2010 through December 3, 2010, Meade deposited $149,500.00 in drug proceeds into Taylor’s Fifth Third Bank account at the Huntington, West Virginia branch.
Meade faces up to 20 years imprisonment when he is sentenced on January 20, 2016.
Lester Taylor previously entered a guilty plea to conspiracy to distribute oxycodone and conspiracy to money launder and faces up to 40 years imprisonment when he is sentenced on October 19, 2015.
The West Virginia State Police, the IRS-CID, and the Metropolitan Drug Enforcement Network Team were in charge of the investigation. Assistant United States Attorney Monica D. Coleman is handling the prosecution.
These cases were prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Blaine Man Pleads Guilty to Transporting Child PornographyRead the Press Release
Contact: Chris Ruge
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Robert Kinney, Jr., 41, of Blaine, Maine, pled guilty today in U.S. District Court to transporting child pornography.
According to court records, on about August 20 and 21, 2014, Kinney emailed at least nine videos and 15 images of child pornography as he traded with others over the internet. The defendant’s trade in child pornography supported, and was supported by, his personal collection of images and videos depicting the sexual exploitation of young children.
Kinney faces between five and 20 years in prison, a $250,000 fine and between five years and a lifetime of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Maine State Police.
Belleville Resident Guilty of Unlawful Possession of A FirearmRead the Press Release
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today that on September 2, 2015, Jared L. Seats, 25, Belleville, IL, pled guilty to an Indictment charging him with the Unlawful Possession of a Firearm by a Previously Convicted Felon. Seats faces a term of imprisonment of not more than ten years, a fine up to $250,000, or both, and a term of supervised release of not more than three years. Seats also agreed to the forfeiture of the firearm he illegally possessed. Seats’ sentencing is scheduled for November 13, 2015, in East St. Louis, Illinois. Seats has been detained since his bond was revoked on August 24, 2015.
The charge arose when two individuals saw Seats with a firearm at his residence on January 31, 2015, and contacted the Belleville Police Department. During a search of the Seats’ residence that same day, officers recovered a Ruger, 22 caliber rifle from the residence, which Seats admitted that he possessed. Seats has a 2011 conviction for Unlawful Possession with Intent to Deliver Cannabis in St. Clair County, Illinois, and is thus prohibited from possessing a firearm by federal law.
The case was investigated by the Belleville Police Department and the Federal Bureau of Investigation. The case is assigned to Assistant United States Attorney Angela Scott.
Barberton man guilty of lying on immigration forms regarding murder of Croatian coupleRead the Press Release
An Ohio man pleaded guilty to lying on his immigration documents by failing to disclose his role in the ethnically motivated murder of a Croatian couple during the war in the former Yugoslavia, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, and Marlon Miller, Special Agent in Charge of HSI Detroit, which covers Michigan and Ohio.
Slobodan Mutic, 52, of Barberton, pleaded guilty to one count of knowingly and willingly possessing a U.S. Immigration and Naturalization Form I-94, knowing it to be forged, counterfeited, altered, falsely made or to be have been procured by means of a false claim or statement.
"This nation is a haven for refugees, not human rights criminals,” Dettelbach said. “This defendant lied his way into this nation and he will be punished. And we also hope that he is held to account for any of his actions once he is returned to his home country to face justice."
"The investigation, prosecution, and ultimate removal of individuals like Mutic are paramount to the mission of Homeland Security Investigations and to the safety our communities,” Miller said. “Individuals like Mutic should realize that the United States is not a safe haven for people who have committed horrendous war crimes back in their home countries.”
Mutic possessed a Form I-94 in 2012 that he fraudulently procured. Mutic, on or about August 2001,falsely claimed “no” when filling out immigration forms that asked if he had ever “been arrested, cited, charged, indicted, fined or imprisoned for breaking any law or ordinance…” and again when asked if he had “ever engaged in any genocide, otherwise ordered, incited, assisted or otherwise participated in the killing of any person because of race, religion, nationality ethnic origin or political opinion,” according to court documents.
Those answers were false. Mutic was arrested, detained for a month and questioned by local law enforcement about the murder of Stjepan and Paula Cindric. The answers also contradicted statements he made during a January 8, 1992 interview that were memorialized in an affidavit that Mutic signed, according to court documents.
In that affidavit, Mutic admitted to his participation in the murder of the Cindric family along with accomplice Dragan Perencevic. Mutic and Perencevic targeted the Cindrics because of their ethnicity, according to court documents.
Mutic is scheduled to be sentenced January 6, 2016. He will be subject to stipulated removal from the U.S. to Croatia upon completion of his sentence.
This case is being prosecuted by Assistant U.S. Attorneys Karrie Howard and Matthew J. Cronin following an investigation by Homeland Security Investigations.
Bangor Resident Pleads Guilty to Crack Distribution ConspiracyRead the Press Release
Contact: Joel B. Casey
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that David Chaisson, 23, of Bangor pleaded guilty today in U.S. District Court to conspiracy to possess with the intent to distribute and to distribute 280 grams of a mixture or substance containing cocaine base, commonly referred to as “crack.”
According to court records, between January 2010 and August 2013, the defendant sold crack in Penobscot County and elsewhere. He sold half-gram bags for $50 and gram bags for $100. He transferred the proceeds of the sales to his source of supply in the New Haven, Connecticut area and got cash and crack in exchange. The crack was transported from Connecticut to the Bangor area by other conspirators.
The defendant faces up to twenty years in prison and a $1,000,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. He is one of eleven defendants charged in the indictment.
The case was investigated by the Maine Drug Enforcement Agency and the Bureau of Alcohol, Tobacco, Firearms and Explosives (New Haven Office).
Allegheny County Man Sentenced for Possessing Child PornographyRead the Press Release
PITTSBURGH - A resident of Crescent, Pennsylvania, has been sentenced in federal court to imprisonment for a term of 12 months and one day followed by 12 years of Supervised Release on his conviction of possession of material depicting the sexual exploitation of a minor and further must register as a convicted sex offender, United States Attorney David J. Hickton announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Mark A. Chasey, 50, Crescent, Pa.
According to information presented to the court, Chasey knowingly possessed videos and images in computer graphic files, the production of which involved the use of minors engaging in sexually explicit conduct, some of whom had not yet attained 12 years of age.
Assistant United States Attorney Shaun E. Sweeney prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Homeland Security Investigations for the investigation leading to the successful prosecution of Chasey.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Alabama Real Estate Investor Admits to Bid Rigging and Mail Fraud Conspiracies Involving Foreclosed HomesRead the Press Release
A southern Alabama business man has pleaded guilty for his role in conspiracies to rig bids and commit mail fraud at public real estate foreclosure auctions in southern Alabama.
Michael P. Barbour admitted to conspiring to fraudulently acquire title to foreclosed properties at artificially low prices by agreeing with others not to bid against each other at public foreclosure auctions in southern Alabama.
“Including this defendant, 11 individuals have been convicted for conspiring to corrupt the public foreclosure auction process in Alabama,” said Assistant Attorney General Bill Baer of the Justice Department’s Antitrust Division. “Together with our partners at the FBI, we will continue to obtain justice for the homeowners and banks victimized by these crimes.”
“When individuals knowingly defraud homeowners and financial institutions, the FBI is committed to holding them accountable in accordance with the law,” said Special Agent in Charge Robert F. Lasky of the FBI’s Mobile Division. “We will continue working with our law enforcement partners to identify and stop those who line their own pockets at the expense of others."
According to documents filed with the court, from 2003 until 2010, Barbour conspired with other potential bidders for foreclosed properties to designate one person to bid at certain public foreclosure auctions. Once the designated bidder won the property at the public auction, the conspirators held a secret, second auction open only to members of the conspiracy where they paid each other off. As a result of these crimes, homeowners and banks received less than competitive prices for the properties.
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for a Sherman Act charge may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than the statutory maximum fine. A count of conspiracy to commit mail fraud carries a maximum penalty of 20 years in prison and a fine in an amount equal to the greatest of $250,000, twice the gross gain the conspirators derived from the crime or twice the gross loss caused to the victims of the crime by the conspirators.
The investigation into fraud and bid rigging in the Alabama real estate foreclosure industry is being conducted by the Washington Criminal II Section of the Antitrust Division and the FBI’s Mobile Field Office, with the assistance of the U.S. Attorney’s Office of the Southern District of Alabama. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact the Washington Criminal II Section of the Antitrust Division at 202-598-4000, call the Antitrust Division’s Citizen Complaint Center at 1-888-647-3258 or visit www.justice.gov/atr/contact/newcase.htm.
The charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.
Acoma Pueblo Man Sentenced to Federal Prison for Child Sexual Abuse ConvictionRead the Press Release
ALBUQUERQUE – Michael Paul Cerno, 38, a member and resident of Acoma Pueblo, N.M., was sentenced this morning in federal court in Santa Fe, N.M., to 65 months in prison followed by five years of supervised release for his child sexual abuse conviction. Cerno will be required to register as a sex offender after completing his prison sentence.
Cerno was arrested on Aug. 22, 2014, on a criminal complaint charging him with sexually abusing a 14-year-old Acoma Pueblo girl in July 2011. According to the complaint, Cerno got the victim intoxicated before violating her. Federal law enforcement authorities initiated the investigation leading to Cerno’s arrest in March 2014.
Cerno was indicted in June 2014, charged with sexually abusing the victim in July 2011 in Acoma Pueblo in Cibola County, N.M. He pled guilty to the indictment on Nov. 19, 2014, and admitted sexually assaulting the victim in July 2011 at a time when the victim was physically incapable of declining to engage in a sexual act because she was intoxicated.
This case was investigated by the Albuquerque office of the FBI, the Laguna/Acoma Agency of the BIA’s Office of Justice Services, and the Acoma Pueblo Tribal Police Department.
The case was prosecuted by Assistant U.S. Attorney David Adams as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Tuesday 1 September 2015
Woman, Man Charged in Bank RobberiesRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a homeless woman and the man who served as her getaway driver have been charged in federal court with robbing two Kansas City metro area banks and a Webb City, Mo., bank this summer.
Sheryl A. Stewart, 31, and Richard Zane Holliday, neither of whom have a known address, have been charged in separate criminal complaints. Holliday was charged today in a three-count criminal complaint filed in the U.S. District Court in Kansas City, Mo. Stewart was charged in a two-count criminal complaint on Aug. 26, 2015. Stewart and Holliday remain in federal custody pending their detention hearings.
The criminal complaints allege that Stewart and Holliday stole $2,212 from Equity Bank, 6209 N.W. 63rd Terr., Kansas City, Mo., on June 24, 2015. According to affidavits submitted in support of the federal criminal complaints, Stewart allegedly walked up to a teller and handed her a handwritten note that read, “This is the robbery. Give me all the money. I am armed.” The teller gave her money from her drawer, the affidavit says, and Stewart left the bank.
The criminal complaints also allege that Stewart and Holliday stole $1,190 from Blue Ridge Bank and Trust, 621 N.W. Duncan Rd., Blue Springs, Mo., on July 8, 2015. According to affidavits, Stewart held up a piece of paper so a teller could read a note that said, in part, “keep smiling,” instructed the teller not to pull any alarms, and mentioned that Stewart was armed. The teller handed Stewart cash from her drawer, the affidavits say, and Stewart left the bank.
Holliday is also charged with stealing $5,090 from Pinnacle Bank, 1010 S. Madison in Webb City, Mo., on July 14, 2015. According to the affidavit, a woman used a note to rob the bank. When the bank teller handed her the money, the robber walked quickly out the front door of the bank and got into a silver/gray-colored four-door Cadillac sedan (no license plate) with tinted windows parked north of the bank and backed up to the front sidewalk curb. The Cadillac, allegedly driven by Holliday, pulled away and went northbound out of sight.
Based upon witness account and surveillance photos, the affidavits say, Holliday’s silver 2007 Cadillac was believed to have been involved in all three bank robberies.
Multiple crime stopper tips were received by law enforcement, which identified Stewart as the bank robber.
On Aug. 30, 2015, Stewart and Holliday were arrested in Cass County, Mo., after a tip was called in to the Cass County Sheriff’s Department regarding a sighting of Stewart and Holliday. Stewart and Holliday had entered a residence of an associate where deputies were alerted to their location. Holliday resisted arrest on outstanding warrants out of Oklahoma, and struck one of the deputies in the face. As a result of that injury, the deputy received multiple stitches. Holliday was confronted by another deputy and taken into custody.
Dickinson cautioned that the charges contained in this complaint are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Christina Y. Tabor. It was investigated by the Kansas City, Mo., Police Department and the FBI.
Vallejo Man Pleads Guilty to Possessing Credit Card Making Equipment and Aggravated Identity TheftRead the Press Release
SACRAMENTO, Calif. — Gurpinder Sandhu, 47, of Vallejo, pleaded guilty today to possession of credit card making equipment and aggravated identity theft, United States Attorney Benjamin B. Wagner announced.
According to court documents, between July 2013 and September 2014 Sandhu and Simone Aguilar, 42, of Vallejo, used stolen identification information to manufacture credit cards and IDs. They used the stolen IDs and credit cards to obtain goods and credit from car dealerships and retail stores. Sandhu fraudulently obtained a 2014 Nissan Rogue, a 2014 Dodge Challenger a 2014 Harley Davidson motorcycle, a 2013 Yamaha motorcycle, a 2010 Chevrolet Corvette, a 2013 Dodge Challenger and a 2013 Dodge Charger.
According to the plea agreement, , law enforcement agents found many counterfeit items in Sandhu’s residence, including credit cards and California driver’s licenses. Agents also found equipment used to manufacture these counterfeit items such as an embossing machine, cameras, printers, scanners, material and chemicals used to produce identification cards, state seals, and a blue backdrop on the wall to imitate a California Department of Motor Vehicles ID photo background. Agents also found documents containing the names of real people, such as rental agreements, Comcast bills and sales receipts. Based on the fraudulent documents found in the residence, at least 50 victims have been identified.
“Identity theft poses a significant vulnerability and often wreaks havoc on the lives of innocent victims,” said Tatum King, acting special agent in charge for HSI San Francisco. “Today’s guilty plea sends a clear message that HSI and our law enforcement partners will work tirelessly to identify those responsible for such schemes and hold them accountable for the harm they cause.”
This case is the product of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the California Highway Patrol. Special Assistant United States Attorney Josh F. Sigal is prosecuting the case.
Sandhu is in federal custody. He is scheduled to be sentenced by U.S. District Judge John A. Mendez on December 8, 2015. Sandhu faces a maximum statutory penalty of 15 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Aguilar is charged with conspiracy, possession of counterfeit credit cards, possession of credit card making equipment, passing fraudulent checks, and aggravated identity theft. She remains in custody with a status conference set for October 27, 2015. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
United States Settles Mineral Trespass Claims Against SWN Production (Arkansas), LLC F/K/A Seeco, Inc.Read the Press Release
LITTLE ROCK—Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas announced today that SWN Production (Arkansas), LLC f/k/a SEECO, Inc., of Texas (collectively "SEECO") has agreed to pay the United States $950,000 to resolve civil claims against SEECO related to mineral trespass. According to the executed agreement, SEECO must remit full payment within 45 days.
The Southeastern States Field Office of the Bureau of Land Management (BLM) routinely reviews data regarding existing natural gas wells to assess whether the wells are impacting federally owned minerals. In July 2009, BLM developed information indicating a natural gas well operated by SEECO drilled into unleased federally owned minerals located in Conway and Van Buren Counties, Arkansas.
A joint investigation by the United States Department of the Interior Office of the Inspector General and the BLM Special Investigations Group confirmed that SEECO spud (began drilling) the Salinas, Reyes 09-15 #2-20H ("Salinas") well on January 4, 2008, in Conway County, and began production on April 8, 2008. Accordingly, from January 4, 2008, to December 3, 2009, the United States contends that SEECO trespassed into federal minerals for the purpose of obtaining minerals for private gain from the Salinas well. Furthermore, SEECO spud the Griggs 11-15 1-26H ("Griggs") well on November 3, 2009, in Van Buren County, and production began on the Griggs well February 6, 2010. The United States contends that from November 3, 2009, to April 21, 2010, SEECO trespassed into federal minerals for the purpose of obtaining minerals for private gain from the Griggs well.
SEECO produced and sold federally owned natural gas from the wells valued at $950,000. SECCO has fully cooperated with the United States in its civil investigation of this incident.
"This office is committed to protecting and preserving the sanctity of the United States’ natural resources and deterring future violations," Thyer said.
"This civil settlement should remind the oil and gas industry that the Department of the Interior is monitoring federally owned mineral interests, and that the Department of Justice will hold companies responsible if they trespass," Matthew Elliott, Assistant Inspector General for Investigations, Office of Inspector General, U.S. Department of the Interior, said. "I would also like to thank BLM’s Special Investigations Group for referring this matter to us and assisting in our investigation, and Assistant United States Attorney Shannon Smith for her dedicated work to bring this matter to fruition."
The investigation was led by Special Agent, Richard Larrabee, United States Department of the Interior Office of Inspector General, Energy Investigations Unit. Assistant United States Attorney Shannon S. Smith handled the matter for the United States.
Two Minnesota-Based Tax Return Preparers Convicted of Conspiracy, Preparing False Returns and Aggravated Identity TheftRead the Press Release
After a five-day trial in Minneapolis, a federal jury convicted two Brooklyn Center-based tax return preparers of conspiracy to defraud the United States, tax crimes and aggravated identity theft, announced Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
The jury convicted Ishmael Kosh, a resident of Philadelphia, of one count of conspiracy to defraud the United States and eight counts of aiding and assisting in the preparation of false federal income tax returns. The jury convicted Amadou Sangaray, a resident of New York City, of one count of conspiracy to defraud the United States, four counts of aggravated identity theft and eight counts of aiding and assisting in the preparation of false federal income tax returns.
The defendants were charged in a second superseding indictment with alleged co-conspirators Chatonda Khofi, David Mwangi and Francis Saygbay for their involvement in Primetime Tax Services Inc., (Primetime) a tax preparation business with three locations in the Minneapolis area. All five defendants were charged in a conspiracy to defraud the United States by preparing fraudulent individual federal income tax returns for customers of Primetime for tax years 2006, 2007 and 2008. According to court documents, during these years, the defendants and others filed more than 2,000 federal tax returns through Primetime.
“Today’s verdicts send a clear message that individuals who hold themselves out as tax return preparers, and then prepare and file false returns to steal from the U.S. Treasury, will be prosecuted and will face substantial incarceration and monetary penalties,” stated Acting Assistant Attorney General Ciraolo. “The department, working with the Internal Revenue Service and its other law enforcement partners, is committed to holding these fraudulent return preparers, and those who participate in their illegal enterprises, accountable for their criminal conduct.”
Evidence introduced at trial established that in late 2006, defendants Kosh, Sangaray and Khofi set up a Primetime storefront in Brooklyn Center, where they prepared false tax returns that reported false dependents using stolen identities, fake business income and losses, inflated deductions, and inflated credits and false filing status, all to inflate customers’ tax refunds. The defendants directed the Internal Revenue Service (IRS) to send their customers’ refunds to Primetime and then withdrew the return preparation fees from the refund. When a customer came to the office to retrieve their refund check or debit card, the defendants sometimes escorted that customer to a check-cashing location or an ATM and demanded an additional cash fee.
After the guilty verdicts, the court determined that Sangaray was a flight risk and he was detained pending sentencing. The defendants’ sentencings are scheduled for Jan. 5, 2016. At sentencing, the defendants face a statutory maximum sentence of five years in prison for conspiracy, a statutory maximum sentence three years in prison for each count of aiding and assisting in the preparation of false tax returns, and a mandatory minimum sentence of two years in prison for aiding aggravated identity theft. They also face substantial financial penalties and restitution.
“The Internal Revenue Service works very hard to stop these fraudulent refund and identity theft schemes,” said Special Agent in Charge Shea Jones of IRS-Criminal Investigation. “The fraudulent actions of these tax return preparers have caused undue harm to their clients and to the American taxpayers.”
In November 2014, Mwangi pleaded guilty to conspiracy to defraud the United States and Khofi pleaded guilty to conspiracy and aggravated identity theft. In 2013, Stephanie Robinson, a defendant in a related case who worked at Primetime, pleaded guilty to filing her own false return and aiding and assisting the preparation of a false return. Saygbay is set for trial on Nov. 2.
Acting Assistant Attorney General Ciraolo commended the special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Dennis R. Kihm, Thomas W. Flynn and Ryan R. Raybould and Paralegal Saundra Burgess of the Tax Division, who are prosecuting the case. Ciraolo also thanked the U.S. Attorney’s Office of the District of Minnesota for their substantial assistance.
Two from Sumter Indicted for Tax FraudRead the Press Release
Contact Person: Beth Drake (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles announced today an indictment charging Crystal A. Blakely, 26, and Hercules E. Baker, 27, both of Sumter, South Carolina, with their roles in a scheme to defraud the United States by claiming false and fraudulent federal tax refunds.
The indictment alleges that both defendants conspired to defraud the United States Department of Treasury between January 2012 and April 2014 by submitting federal income tax returns to the Internal Revenue Service that claimed false tax refunds, in violation of Title 18, United States Code, Section 286. Blakely is also charged with three counts of wire fraud, in violation of Title 18, United States Code, Section 1343, and two counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. The maximum penalty each could receive is ten years’ imprisonment for the conspiracy count, twenty years’ imprisonment for the wire fraud counts, and two years’ consecutive imprisonment for the aggravated identity theft counts.
The indictment is the result of an investigation conducted by the Internal Revenue Service. Assistant United States Attorney Ben Garner of the Columbia office is prosecuting the case.
Mr. Nettles states that the charges in this Indictment are merely accusations and the defendants are presumed innocent until and unless proven guilty.
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Truck Driver Admits Ripping Off Social Security Disability ProgramRead the Press Release
PITTSBURGH – An Armstrong County truck driver pleaded guilty in federal court to a charge of theft of government property, United States Attorney David J. Hickton announced today.
Billy Joe Toy, 44, of Worthington, Pennsylvania, pleaded guilty to one count before United States District Judge Terrence F. McVerry.
In connection with the guilty plea, the court was advised that Toy received Social Security disability insurance benefit payments based on his alleged inability to engage in any substantial gainful activity, and thereby caused $55,012 in disability payments to be paid on behalf of his minor child. At the same time, he was employed as a truck driver, and had his wages paid to his wife’s business in order to conceal their payment.
Judge McVerry scheduled sentencing for Dec. 11, 2015 at 10 a.m. The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued defendant’s release on bond.
Assistant United States Attorney Leo M. Dillon is prosecuting this case on behalf of the government.
The Social Security Administration, Office of Inspector General, conducted the investigation that led to the prosecution of Billy Joe Toy.
Three Inmates among Four Charged in Fraud SchemeRead the Press Release
JOHNSTOWN, Pa. – Three federal prison inmates and a resident of Toledo, Ohio, have been indicted by a federal grand jury in Johnstown on charges of credit/debit card fraud and identity theft, United States Attorney David J. Hickton announced today.
The two-count indictment named Jermain R. Stevenson, 25, Antuane Hamilton, 42, and Herbie A. Matthews, 42, all inmates at various federal correctional institutions, and Selina Mack, 21, of Toledo, Ohio.
According to the indictment, from Dec. 23, 2013, to March 30, 2014, Stevenson, Hamilton, Matthews and Mack used debit and credit card information to obtain more than $1,000, knowing that the debit cards and credit cards belong to other persons.
The law provides for a maximum total sentence for each defendant of 12 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Statement by U.S. Attorney’s Office Regarding Fatal Shooting of Artesia Man During Federal Arrest OperationRead the Press Release
ALBUQUERQUE – An Artesia, N.M., man was shot and killed early this morning during a federal arrest operation. The man, Michael Todd Evans, 47, was fatally shot after he opened fire on officers who went to his residence to execute a warrant authorizing his arrest. An ATF Special Agent sustained a non-lethal injury when he was shot by Evans. In accordance with normal procedures, the circumstances surrounding the shooting are being reviewed. No further information will be made available at this time.
Shreveport man sentenced to more than 7 years in prison for possessing an assault rifle after felony convictionsRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced that a Shreveport man was sentenced Monday to 86 months in prison for possessing an assault rifle and ammunition after being convicted of multiple felonies.
Cori Yarborough, 41, of Shreveport, was sentenced by U.S. District Judge Elizabeth E. Foote on one count of possession of a firearm by a convicted felon. He was also sentenced to three years of supervised release. According to the September 25, 2014 guilty plea, Shreveport Police responded to a complaint on May 3, 2014 that someone was driving in a van with an assault rifle. Police stopped Yarborough’s vehicle and found a Colt rifle, model M4, .223 caliber, and ammunition. After examining the rifle, police found that it had been reported stolen. Yarborough has multiple felonies including simple robbery in 1992, aggravated battery in 1997, and attempted burglary of an inhabited dwelling in 2012.
This case is part of Project Safe Neighborhoods, which is a Department of Justice initiative designed to reduce firearm crimes by removing dangerous and persistent felons from the community and promote firearm safety.
The ATF and Shreveport Police Department conducted the investigation. Assistant U.S. Attorney James G. Cowles Jr. prosecuted the case.
San Juan Municipal Police Officer Under Federal CustodyRead the Press Release
SAN JUAN, P.R. – United States Magistrate Judge Bruce J. McGiverin authorized a criminal complaint charging San Juan Municipal police officer Luz Zoraida Rojas-Delgado with one count of human smuggling, announced United States Attorney Rosa Emilia Rodríguez-Vélez. Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI) is in charge of the investigation.
According to the information contained in the affidavit submitted in support of the criminal complaint, on August 24, 2015, Rojas-Delgado established communication with a Source of Information requesting assistance to smuggle a friend from Antigua to Puerto Rico. Rojas-Delgado had previously engaged in communications with other people in an attempt to make a deal for the venture but did not agree with the price of $3,000 established by the alleged smuggler.
The investigation conducted by the ICE-HSI revealed that on August 25, 2015, Rojas-Delgado agreed with an undercover agent, who she believed was a smuggler, to bring her Dominican friend from Antigua for $2,800. On August 28, 2015, the defendant met with the undercover agent and after paying $1,800 for the smuggling, she was arrested.
The investigation also revealed that Rojas-Delgado stated that she was working on building a case against transporters to later turn it over to pertinent agencies. HSI special agents were able to confirm with the San Juan Municipal Police that Rojas-Delgado was not working on any authorized operation at the time of her arrest.
The case is being prosecuted by Assistant United States Attorney Seth Erbe. If convicted defendant faces a maximum penalty of ten years in prison. A criminal complaint contains only charges and is not evidence of guilt. A defendant is presumed to be innocent unless and until proven guilty.
Rochester Man Sentenced for Enticing, Threatening MinorRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Johnnie Jones, 32, of Rochester, NY, who was convicted of online enticement of a minor, was sentenced to 151 months in prison, to be followed by lifetime supervised release by U.S. District Court Judge Charles J. Siragusa. The defendant was also ordered to forfeit all the digital media used in the commission of the crime.Assistant U.S. Attorney Craig R. Gestring, who handled the case, stated that Jones is a Level III Sex Offender as a result of a 2005 Rape conviction in State Court. In 2014, the defendant met and communicated with a minor by mobile telephone and digital tablet using several texting applications. The defendant repeatedly sent the child sexually explicit messages over a period of several weeks and attempted to entice the child into having sex with him. Jones eventually met the child in person and did have sex with her on multiple occasions inside his home. The defendant was convicted of Rape, 3rd Degree, in Monroe County Court for having sex with the child and is
awaiting sentencing in that matter in State Court.When the child tried to stop having contact with Jones, he threatened to kill her, her mother sister. The defendant also said he would “shoot up” the victims’ school.
Until his arrest, Jones lived directly across the street from the George Mather Forbes Elementary School, despite being a registered sex offender.
The case was initially investigated by Officers and Investigators from the Rochester Police Department who in turn, contacted the FBI Child Exploitation Task Force for assistance.
The sentencing is the culmination of an investigation on the part of Officers of the Rochester Police Department, under the direction of Chief Michael Ciminelli and Special Agents of the Federal Bureau of Investigation, Child Exploitation Task Force which also includes the Monroe County Sheriff’s Office and U.S. Immigration and Customs Enforcement-Homeland Security Investigations.
Reinbeck Man Charged with Receipt and Possession of Child PornographyRead the Press Release
Michael Cottrell, age 43, of Reinbeck, Iowa, has been charged with one count of receipt of child pornography and one count of possession of child pornography. The charges are contained in an Indictment unsealed on August 27, 2015, in United States District Court in Cedar Rapids.
The Indictment alleges that, between 2012 and 2014, Cottrell received and possessed child pornography.
If convicted, Cottrell faces a mandatory minimum sentence of five years’ imprisonment and a possible maximum sentence of forty years’ imprisonment, a $500,000 fine, a $200 special assessment, and at least five years and up to life on supervised release following any imprisonment.
Cottrell appeared for a detention hearing on August 31, 2015, in federal court in Cedar Rapids and was released on bond. Cottrell’s next appearance for trial is set for October 26, 2015.
As with any criminal case, a charge is merely an accusation and a defendant is presumed innocent until and unless proven guilty.
This case is being prosecuted by Assistant United States Attorney Mark Tremmel and was investigated by the Iowa Division of Criminal Investigation, the Grundy County Sheriff’s Office, and the Cedar Rapids Police Department.
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.”
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 15-82.
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Racketeering indictment returned against former WV Division of Highways officialRead the Press Release
CLARKSBURG, WEST VIRGINIA – A federal grand jury returned a racketeering indictment today against the former director of the West Virginia Division of Highway’s Equipment Division, United States Attorney William J. Ihlenfeld, II, announced.
Robert Glen Andrew, II, of Bridgeport, West Virginia, has been charged in a 29-count indictment which alleges violations of the Racketeer Influenced and Corrupt Organizations Act. Andrew is alleged to have used his position to create a culture of corruption within the Division of Highways, and to have used the Division of Highways as a vehicle to engage in racketeering activity.Andrew allegedly abused his position of trust in order to use state resources, including employees and equipment, to engage in political activity on state time. He is also alleged to have engaged in bid-rigging by creating non-competitive bid specifications that favored particular vendors and that did not seek to obtain the best value for the State of West Virginia. Andrew is also alleged to have violated, and to have directed others to violate, the statutes and regulations which govern the use and disposition of federal excess property. Andrew is also accused of having tampered with a witness and with documents.
Ohio corporation Mo-Trim, Inc., a business engaged in the building of large commercial mowers, was named in the indictment along with Andrew. Mo-Trim is a vendor which held a mower parts contract with the Division of Highways and which is alleged to have been involved in the preparation of non-competitive bid specifications which did not seek to obtain the best value for the State of West Virginia but instead specifically benefitted Mo-Trim.
Both Andrew and Mo-Trim, Inc. are charged with seven counts of “Wire Fraud,” and one count of “Racketeer Influenced and Corrupt Organizations Act Conspiracy.” Andrew, age 77, is further charged with eight counts of “Mail Fraud,” seven counts of “Causing Theft of Government Property,” four counts of “Wire Fraud,” one count of “Document Tampering,” and one count of “Witness Tampering."
Assistant U.S. Attorneys Jarod Douglas and Sarah Montoro, along with Special Assistant U.S. Attorney John Parr, are prosecuting the case on behalf of the government. The West Virginia State Police, the West Virginia Commission on Special Investigations, the General Services Administration Office of Inspector General, the Federal Bureau of Investigation, and the Internal Revenue Service – Criminal Investigation conducted the inquiry.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Priest Pleads Guilty to Stealing Money from His Former ParishRead the Press Release
Edward Belczak, 70, the former priest of St. Thomas More Church in Troy, Michigan, pleaded guilty today to mail fraud, U.S. Attorney Barbara L. McQuade announced. McQuade was joined in the announcement by Special Agent in Charge Paul M. Abbate, Federal Bureau of Investigation, Detroit Division. Belczak pleaded guilty to devising and executing a scheme to steal $572,775.82 from St. Thomas More Church over several years, and then creating yearly false financial reports that were mailed to the Archdiocese of Detroit that concealed his theft of the money for his own benefit. Belczak admitted that in March 2005, he used $109,570.80 from St. Thomas More’s bank account to pay the down payment on a Florida condominium. According to court records, in April and May 2006, Belczak diverted two checks totaling $420,200 payable to St. Thomas More from the estate of a deceased parishioner. To conceal his illegal conduct, Belczak opened a business bank account in the name of “St. Thomas More c/o Edward Belczak” and deposited both checks into that account. From May 2008 through May 2012, a St. Thomas More parishioner donated money each year to the church, totaling $43,000, for the needs of the church. Each year, Belczak deposited the check made payable to St. Thomas More into the business bank account in the name of “St. Thomas More c/o Edward Belczak.” Belczak entered into a plea agreement that calls for a sentence of between 33 and 41 months in custody. Belczak has agreed to pay restitution to St. Thomas More Church in the amount of $572,775.82. A sentencing hearing was set for December 1, 2015. “Fraud cases typically involve people using lies to steal money, but in a case involving a member of the clergy, the fraud also includes a serious betrayal of trust,” McQuade said. “In this case, Father Belczak abused the sacred trust his parishioners placed in him so that he could enrich himself.” This case was investigated by special agents of the Federal Bureau of Investigation and the Troy Police Department and prosecuted by Assistant U.S. Attorneys Frances Lee Carlson and Adriana Dydell.Ovid Man Arrested on Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Christopher Everhardt, 31, of Ovid, NY, was arrested and charged by criminal complaint with receiving and possessing child pornography. The charges carry a minimum penalty of five years in prison and a maximum penalty of 20 years.Assistant U.S. Attorney John J. Field, who is handling the case, stated that according to the complaint, over a period of at least two years, Everhardt downloaded and offered to trade multiple files containing photographs and videos of child pornography, some involving children as young as five years old.
The defendant made an initial appearance today before U.S. Magistrate Judge Marian W. Payson and is being held. Everhardt is due back in court on September 3, 2015, at 9:00 a.m.
The criminal complaint is the result of/culmination of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Acting Special Agent in Charge J. Michael Kennedy.
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.