Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
9 October 2015
District Man Sentenced to 3 1/2 Years in Prison for Sexually Abusing and Assaulting Former GirlfriendRead the Press Release
WASHINGTON – Nicholas Hagan White, 26, of Washington, D.C., was sentenced today to a prison term of 3 ½ years for sexually assaulting his former girlfriend earlier this year in Northwest Washington, Acting U.S. Attorney Vincent H. Cohen, Jr. announced.
White pled guilty in July 2015, in the Superior Court of the District of Columbia, to one count of third-degree sexual abuse, one count of contempt, and one count of assault. He was sentenced by the Honorable Lynn Leibovitz. Following his prison term, White will be placed on five years of supervised release. He also must register as a sex offender for 10 years.
According to the government’s evidence, White and the victim began dating while in college and moved in together following the victim’s graduation. During the course of their relationship, White physically assaulted the victim on several occasions, with the nature of the domestic violence escalating over time. The victim eventually ended their relationship on March 11, 2015, and began making efforts to move out of the apartment in Northwest Washington. An argument took place two days later on March 13, 2015, that culminated in White physically and sexually assaulting the victim inside the apartment.
On that day, White and the victim were involved in an argument over the use of the victim’s car. During the argument, White kicked the victim twice on her leg, smashed her work laptop across his knees, and took her cell phone and placed it on top of a kitchen cupboard in an attempt to prevent the victim from accessing it. While White was in another room, the victim took the phone and reported the assault to a friend.
White then discovered that the victim had used her phone, at which point he pushed her onto a bed and began striking her in the head and pressing his leg into her knee with such force that the victim’s kneecap slid to the side of her leg. Seeing this, White then grabbed the victim’s kneecap and attempted to place it back into its original position. As the victim lay in the bed, White removed her clothing and raped her. The victim attempted to push him away during the sexual assault but was unsuccessful. She ultimately left the apartment to call the police for help.
During the pendency of this case, White was ordered not to contact the victim in any manner, including through a third party. Despite this judicial order, he directed his father to provide the victim with a “sob story” in the hopes that she would no longer cooperate with the authorities. The defendant’s father sent the victim a text message later that same day, stating that White was, among other things, “frightened,” “alone,” “sad,” and “sorry.” The text message did not dissuade the victim from cooperating in the investigation, and her involvement helped secure the defendant’s guilty plea in this case.
In announcing the sentence, Acting U.S. Attorney Cohen commended the work performed by those who investigated the case from the Metropolitan Police Department’s Second District and Sexual Assault Unit. He also praised those who handled the case for the U.S. Attorney’s Office, including Paralegal Specialists Troy Griffith and Erica Vample; Victim/Witness Advocates Meshall Thomas and Maria Shumar; Criminal Investigator John Marsh, and Legal Intern Emma McArthur. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Danny Nguyen and Natasha Smalky, who investigated and prosecuted the matter.
Crestview Man Sentenced for Producing Child PornographyRead the Press Release
PENSACOLA, FLORIDA –Paul R. Bloom, 32, of Crestview, was sentenced to 30 years in prison today for production and receipt of child pornography. Following his incarceration, he will serve life on supervised release, and he must also register as a sex offender. The sentence was announced by Christopher P. Canova, Acting United States Attorney for the Northern District of Florida.
During his guilty plea on June 23, 2015, Bloom admitted to using a publicly available peer-to-peer file sharing network to receive child pornography. During February and March 2015, undercover law enforcement agents downloaded sexually explicit video files that were traced to Bloom’s residence. Agents executed a federal search warrant at Bloom’s residence and seized multiple pieces of digital media, including laptops and external hard drives. An on-scene forensic review of the digital media revealed large amounts of child pornography. While interviewing Bloom and reviewing the seized evidence, law enforcement agents determined that Bloom produced child pornography in his own home. The child pornography produced by Bloom involved a nine-year-old female. A final forensic review of Bloom’s digital media revealed more than 850 videos and 2,000 images of child pornography that he had received and/or shared over the last few years.
The case was investigated by the United States Immigration and Customs Enforcement Homeland Security Investigations, Pensacola Police Department, Florida Department of Law Enforcement, and the other agencies that are part of the North Florida Internet Crimes Against Children Task Force, whose joint investigation led to the charges in this case. It was prosecuted by Assistant United States Attorney David L. Goldberg.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact: Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Court of Appeals Upholds Conviction of Courtnee Brantley for Misprision Crime Committed Following Police MurdersRead the Press Release
Tampa, FL - United States Attorney A. Lee Bentley, III announces that the United States Court of Appeals for the Eleventh Circuit today affirmed the conviction of Courtnee Brantley of Tampa for misprision of a felony, a crime she committed in the immediate aftermath of her boyfriend Dontae Morris’s murder of Tampa police officers David Curtis and Jeffrey Kocab.
In January 2013, a federal jury in Tampa found Brantley guilty of misprision of a federal felony: Morris’s possession of a firearm by a convicted felon. (A person commits misprision when she knows that someone committed a felony, she fails to notify the authorities about it, and she takes affirmative steps to conceal the felony.) The jury found that Brantley had known that Morris was a convicted felon and that he had possessed the gun that night, that she had not reported the crime to authorities, and that she had taken affirmative steps to conceal Morris’s possession of the firearm from authorities. The evidence at trial showed that Brantley had left the scene immediately after the shootings, had almost immediately begun texting with Morris and pledging her loyalty to him, and had parked her car—backed up against some bushes to conceal the car’s missing license plate—several hundred feet from where she was staying. The district court sentenced her to a year and a day of imprisonment, but allowed her to remain free on bond until the appeal was decided.
On appeal, Brantley argued that she was the victim of selective prosecution, that her prosecution violated her Fifth Amendment rights, and that the evidence was insufficient to support the jury’s guilty verdict. The Court of Appeals rejected all of those arguments. The Court ruled that Brantley had not shown that the decision to prosecute her was based on race or any other arbitrary reason, and the Court further recognized that her prosecution legitimately “publicized the fact that those who conceal evidence about the capital murder of a police officer will be prosecuted and that fact, without question, could have a deterrent effect on others.” The Court also rejected her Fifth Amendment challenge, explaining that “she was not prosecuted for her silence. Rather, she was prosecuted because she knowingly participated in affirmative acts of concealment of Morris’s crime—i.e., (1) hiding herself and the car and (2) calling and texting Morris in an effort to conceal his crime.” Finally, the Court held that the evidence—including Brantley’s text messages and cellphone calls with Morris immediately following the shootings and her decision to conceal the car and herself— provided “sufficient evidence of [her] affirmative acts of concealment to support the jury’s guilty verdict.”
This case was prosecuted in the district court by Assistant United States Attorney Jim Preston. The appeal was handled by Assistant United States Attorney David Rhodes, Chief of the Appellate Division, and Assistant United States Attorney Yvette Rhodes.
Link to 11th Circuit Opinion
Convicted Felon Sentenced to Serve 270 Months in Federal Prison on Drug and Firearms ConvictionsRead the Press Release
FORT WORTH, Texas — A convicted felon who was convicted at trial this summer on drug and firearms offenses was sentenced today by U.S. District Judge John McBryde to serve a total of 270 months in federal prison, announced U.S. Attorney John Parker of the Northern District of Texas.
Martin Jacob Steinberg, 43, was convicted at trial on one count of possession with intent to distribute methamphetamine, one count of possession of a firearm in furtherance of a drug trafficking crime, and one count of being a felon in possession of a firearm.
The government presented evidence at trial that an officer with the Willow Park Police Department found Steinberg behind an office building in Willow Park, Texas, in late January 2015. He was wearing one pistol and carrying another one in his hand. One of his pockets was stuffed with cash and another was stuffed with methamphetamine. Steinberg was also carrying a cooler that contained several pounds of marijuana, three scales, hundreds of dealer baggies, 80 syringes, glass pipes, more than 85 grams of methamphetamine, his mail and his birth certificate. After a brief struggle, Steinberg was handcuffed and taken into custody.
Among Steinberg’s previous convictions is a 2001 drug conviction in U.S. District Court in New Mexico for which he received a 151-month sentence.
The Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, the Willow Park Police Department and the Hudson Oaks Police Department investigated the case. Assistant U.S. Attorney Chris Wolfe and Special Assistant U.S. Attorney Dan Cole prosecuted.
# # #
Cisco Man Sentenced to Two Years in Federal Prison for Possessing Child PornRead the Press Release
LUBBOCK, Texas — A 43-year-old Cisco, Texas, man, Robert Jarold Eckhart, was sentenced this morning by U.S. District Judge Sam R. Cummings two years in federal prison, following his guilty plea in June 2015 to one count of possession of child pornography, announced U.S. Attorney John Parker of the Northern District of Texas.
Eckhart was ordered to report to the designated prison facility on November 13, 2015.
According to documents filed in the case, Eckhart used his Apple iPod 4 to communicate with other persons over the internet and communicate with several persons about adult pornography and child pornography. Eckhart advised that his interests included younger males, and as a result, he received numerous images of minor males engaged in sexually explicit conduct. Between May 2011 and May 2012 Eckhart knowingly possessed his iPod knowing that it contained numerous images of child pornography.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about Internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The FBI investigated the case and Assistant U.S. Attorney Steven M. Sucsy prosecuted.
# # #
Cherry Creek Man Sentenced for Abusive Sexual Contact with a Person Incapable of ConsentingRead the Press Release
United States Attorney Randolph J. Seiler announced that a Cherry Creek, South Dakota, man convicted of Abusive Sexual Contact with a Person Incapable of Consenting was sentenced on October 6, 2015, by U.S. District Judge Roberto A. Lange.
Andre Marshall, age 30, was sentenced to 36 months in custody, followed by 5 years of supervised release, $368.20 in restitution to the victim, and a $100 special assessment to the Federal Crime Victims Fund.
Marshall was indicted by a federal grand jury on February 11, 2015. He pled guilty on June 29, 2015.
The conviction stemmed from an incident on September 29, 2014, when Marshall was at a drinking party in Cherry Creek, and hanging out with the victim. The victim drank to the point of intoxication and went to sleep in the house. Marshall entered the room she was in, approached the sleeping victim, and began to touch her inappropriately. Marshall knew the victim was incapable of participating in, or communicating her unwillingness to engage in, sexual contact at that time.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Marshall was immediately turned over to the custody of the U.S. Marshals Service.
Cedar Rapids Man Pleads Guilty to Distributing Heroin that Caused OverdoseRead the Press Release
A man who injected a woman with heroin that caused her to overdose pled guilty on October 7, 2015, in federal court in Cedar Rapids.
Richard Roberts, age 37, from Cedar Rapids, Iowa, was convicted of distribution of heroin.
In a plea agreement, Roberts admitted that, in August 2015, he injected a woman with heroin, after which the woman lost consciousness. Roberts called 911 to obtain medical assistance for the woman. When paramedics arrived, she was unconscious with labored breathing and a weak pulse. Emergency responders had to revive the woman with Narcan, an opiate antidote. Roberts admitted that, without the medical intervention by emergency responders, the woman had a substantial risk of anoxic brain injury and death.
Sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. Roberts remains in custody of the United States Marshal pending sentencing. Roberts faces a possible maximum sentence of 20 years’ imprisonment, a $1,000,000 fine, $100 in special assessments, and a lifetime of supervised release following any imprisonment.
The case was investigated by the Cedar Rapids Police Department and the Drug Enforcement Administration (DEA) Task Force consisting of the DEA; the Linn County Sheriff's Office; the Cedar Rapids Police Department; the Marion Police Department; the Iowa City Police Department; and the Iowa Division of Narcotics Enforcement. The case is being prosecuted by Assistant United States Attorney Dan Chatham
Court file information available https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 15-CR-79-LRR.
Follow us on Twitter @USAO_NDIA.
Camden Man Sentenced to Four Years for Mail and Tax FraudRead the Press Release
Contact: Donald E. Clark
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Russell W. Brace, a/k/a “Rusty,” 82, of Camden, Maine, was sentenced today in U.S. District Court by Judge George Z. Singal to four years in prison and two years of supervised release for mail and tax fraud. He was also ordered to pay full restitution. He pled guilty on May 29, 2015.
According to court records, between about July 1999 and September 25, 2014, Brace, the president and director of United Mid-Coast Charities, Inc. (“UMCC”), fraudulently obtained $4,646,636.45 by claiming that monies donated to UMCC, would be used for UMCC’s charitable purposes and not diverted for the defendant’s personal expenses or benefit. In fact, Brace diverted the funds into his own accounts and used them for his benefit and to pay personal expenses. To execute the scheme, he used the U.S. Postal Service to mail donation request letters, UMCC brochures, self-mailer remittance envelopes and thank-you letters. The investigation also revealed that he failed to report the money he obtained as income on annual federal tax returns thus failing to pay almost $390,000 in taxes and that he also filed false non-profit income tax returns for UMCC in which he failed to disclose the funds he illegally obtained.
The investigation was conducted by the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation Division.
California Man Charged in Mass Mailing Scam Aimed at Holders of U.S. TrademarksRead the Press Release
A California man was indicted today for his role in a mass mailing scam targeting holders of U.S. trademarks.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Eileen M. Decker of the Central District of California, Inspector in Charge Robert Wemyss of the United States Postal Inspection Service (USPIS) Los Angeles Division, Inspector in Charge David G. Bowers of the USPIS Washington Division and Special Agent in Charge Erick Martinez of the Internal Revenue Service Criminal Investigation (IRS-CI) Los Angeles Field Office made the announcement.
Artashes Darbinyan, 35, of Glendale, California, was charged in the Central District of California with 12 counts of mail fraud and four counts of aggravated identity theft. His arraignment is scheduled for Oct. 19, 2015.
According to the indictment, from September 2013 through September 2015, Darbinyan operated and controlled the Trademark Compliance Center (TCC) (aka Trademark Compliance Office (TCO)), which purported to offer trademark registration and monitoring services. The indictment alleges that, through TCC and TCO, Darbinyan sent mass solicitations to holders of trademarks recently registered with the U.S. Patent and Trademark Office offering, for a fee, to register the holders’ trademarks with U.S. Customs and Border Protection, which uses an Intellectual Property Rights (IPR) recordation database to screen and block imports of infringing products, and to send users of its service regular reports of potentially confusing or infringing marks. According to the indictment, Darbinyan did not intend to, and did not, provide the promised services.
The indictment alleges that, to perpetuate the scheme and to avoid detection Darbinyan used the names of other persons to open accounts for TCC and TCO at “virtual office centers” (i.e., businesses that offered call answering and mail forwarding services) in the Washington, D.C., and Los Angeles areas, and directed employees of the Washington, D.C.-area virtual office centers to forward to the virtual office centers in the Los Angeles area mail addressed to TCC and TCO. According to the allegations in the indictment, these forwarded envelopes contained payments from trademark holders for the aforementioned trademark registration and monitoring services, which Darbinyan retrieved and deposited into bank accounts that he controlled.
The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
The case was investigated by the USPIS and IRS-CI. The case is being prosecuted by Trial Attorney William E. Johnston of the Criminal Division’s Fraud Section.
Darbinyan Indictment
Brighton Man Pleads Guilty to Firearm OffenseRead the Press Release
The United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today that on October 8, 2015, Ryan Richard Duckett, 30, of Brighton, Illinois, pled guilty to the charge of Unlawful Possession of a Firearm by an Unlawful User of a Controlled Substance. The charge carries maximum penalties of ten years in prison, a $250,000 fine, and three years of supervised release. Sentencing is set for January 12, 2016, at the United States District Court in Benton.
Court records indicate that Duckett admitted that on February 6, 2013, in Brighton, Jersey County, he possessed a GP WASR-10/63, 7.62 x 39 mm. caliber semi-automatic rifle during a time he was an unlawful user of controlled substances, namely cocaine and marijuana.
The case was investigated by the Federal Bureau of Investigation and the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney William E. Coonan.
Big Spring Man Sentenced to Five Years in Federal Prison on Child Pornography ConvictionRead the Press Release
LUBBOCK, Texas — Gilberto Ray Hinojos, 23, of Big Spring, Texas, was sentenced this morning by U.S. District Judge Sam R. Cummings to five years in federal prison following his guilty plea in June 2015 to one count of attempted receipt of a visual depiction of a minor engaging in sexually explicit conduct, announced U.S. Attorney John Parker of the Northern District of Texas. Hinojos has been in custody since August, when his pretrial bond was revoked.
According to documents filed in the case, on May 14, 2015, Hinojos responded to an online classified ad posted by the Texas Department of Public Safety identifying themselves as a 13-year-old female. Hinojos attempted to receive sexually explicit images of this person and made further arrangements to meet her at a restaurant on 19th Street in Lubbock. Hinojos arrived at the location and was arrested.
The matter was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The Texas Department of Public Safety and the FBI investigated. Assistant U.S. Attorney Steven M. Sucsy prosecuted the case.
# # #
Bessemer Man Detained at Home for 15 Months, Must Repay $110,295 to Shipping Company for Kickback SchemeRead the Press Release
BIRMINGHAM -- A federal judge last week sentenced a Bessemer man to 15 months of electronically monitored home detention as part of four years' probation for a kickback scheme he ran while working as a freight broker for a Shelby County company, announced U.S. Attorney Joyce White Vance and FBI Special Agent in Charge Roger C. Stanton.
U.S. District Judge Madeline H. Haikala sentenced WILLIAM G. McCULLEY, 31, on one count of wire fraud and ordered him to pay $60,295 in restitution to his former employer, Interstar Transportation Services, plus $50,000 to Auto-Owners Insurance Company, which had paid a related claim from ITS. Judge Haikala also ordered McCulley to forfeit $96,809 to the government as proceeds of illegal activity, and to perform five hours a week of community service during his probation. McCulley pleaded guilty to the wire fraud in June.
ITS is an independent brokerage agency for a Jacksonville, Fla.-based company, Landstar, which operates a fleet of trucks and transportation equipment throughout the United States. McCulley worked as a freight broker for Interstar and was responsible for contracting with various trucking companies across the country.
Between April 2013 and July 2014, McCulley devised a kickback scheme with the owner of an Illinois trucking company, ZDL Express, according to McCulley's guilty plea. To carry out the scheme, ZDL Express inflated its freight costs to Landstar, and McCulley approved the fraudulent charges. McCulley and ZDL's owner split the illegally gained profits after ZDL received payment from Landstar, according to court documents.
McCully committed wire fraud when he faxed Landstar Load Confirmation forms from the ITS corporate office in Shelby County to ZDL Express in Illinois and approved fraudulent charges on the forms, according to his plea.
The FBI investigated the case, which Assistant U.S. Attorney Pat Meadows prosecuted.
Angelina County Man Sentenced for Federal Drug Trafficking ViolationsRead the Press Release
LUFKIN, Texas – A 47-year-old Lufkin, Texas man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Phil Bernard Lewis pleaded guilty on Dec. 17, 2014, to conspiracy to distribute and to possess with intent to distribute cocaine and was sentenced to 300 months in federal prison on Oct. 9, 2015 by U.S. District Judge Michael H. Schneider.
According to information presented in court, from 2011 to October 2014, Lewis conspired with others to distribute more than five kilograms of cocaine from Mexico to customers in the United States, including Lufkin, Texas. Much of the cocaine was converted to crack cocaine. Lewis personally received shipments of cocaine from a supplier on a weekly basis and transported it to Lufkin. Once in Lufkin, Lewis stored the cocaine and crack cocaine at several locations in Lufkin including houses on Dale Street, Booker Street, and East Texas Road, until the drugs were distributed to dealers for trafficking in the area. Lewis was indicted by a federal grand jury on Oct. 1, 2014 and charged with drug trafficking violations.
This case is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) joint investigation, Operation Fowl Play. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
This case was investigated by the U.S. Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, Angelina County Sheriff’s Office, Angelina County Constable Tom Selman, Precinct 1, Nacogdoches County Sheriff’s Office, the Nacogdoches Police Department, and the Lufkin Police Department. This case was prosecuted by Assistant U.S. Attorney Baylor Wortham.
112 Law Enforcement Officers Honored for Their Work on Federal Violent Crime CasesRead the Press Release
Baltimore, Maryland – The Maryland U.S. Attorney’s Office today honored 112 police officers, prosecutors and federal agents for outstanding work that resulted in significant federal violent crime prosecutions. Recipients included police officers from Annapolis, Baltimore City, Baltimore County, Bowie, Howard County, Montgomery County, Prince George’s County, Takoma Park, and Washington, D.C.; prosecutors from Baltimore City, Prince George’s County and the Maryland Attorney General’s Office; and federal agents from ATF, DEA, FBI, HSI and the U.S. Marshals Service.
“This is a particularly good time to thank a police officer, as the exceptional work that most of them do every night and day is too often ignored,” said U.S. Attorney Rod J. Rosenstein. “Local, state and federal police and prosecutors are working together to combat violent crime in Maryland. The hard work of these law enforcement officers and prosecutors led to dozens of convictions of dangerous criminals.”
The honorees participated in the investigation and prosecution of more than 25 violent crime cases involving more than 70 defendants. In addition to investigators, several of the nominees were evidence technicians or computer specialists who collected and analyzed evidence that led to the convictions of these defendants. The defendants included armed robbers, gang members, and drug dealers. A majority of the defendants have previous felony convictions and many are career offenders and/or armed career criminals.
In addition to U.S. Attorney Rod Rosenstein and keynote speaker Interim Baltimore Police Commissioner Kevin Davis, agency representatives who participated in today’s awards ceremony included: Maryland Attorney General Brian E. Frosh; Baltimore City State’s Attorney Marilyn Mosby; ATF Special Agent in Charge William McMullan; FBI Special Agent in Charge Kevin Perkins; DEA Special Agent in Charge Karl C. Colder; ICE Homeland Security Investigations Special Agent in Charge Andre Watson; Deputy U.S. Marshal Pat Monardo; Baltimore County Police Major Evan Cohen; Prince George’s County Police Deputy Chief Hector Velez; Annapolis Police Chief Michael A. Pristoop; Bowie Police Chief John Nesky; and Captain Renato Caldwell, Washington Metropolitan Police Department.
United States Attorney Rod J. Rosenstein commended all the honorees for their work on these violent crime investigations. Mr. Rosenstein thanked the Assistant United States Attorneys who prosecuted the cases and nominated their agents for these awards.
8 October 2015
“Secret Sinkhole” Sellers Guilty of Wire FraudRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury today found Spring Hill residents Glenn and Kathryn Jasen guilty of wire fraud. They each face a maximum penalty of 20 years in federal prison. The sentencing hearings are scheduled for January 11, 2016. They were indicted on July 15, 2015.
According to testimony and evidence presented at trial, in 2009, the Jasens discovered a sinkhole beneath their home in Hernando County and made a claim to Citizens Property Insurance. Citizens offered the Jasens either a check to compensate for their losses or mitigation of the sinkhole. Rather than having Citizens repair the developing sinkhole, the Jasens instead chose to receive a check for $153,745.37. But they kept the money and did not repair the sinkhole. The Jasens then made cosmetic repairs to the house and listed it for sale in 2013, but kept the sinkhole a secret from prospective buyers. In fact, on a required Florida real estate disclosure form, the Jasens denied any knowledge of a prior sinkhole or sinkhole claim. The home was ultimately sold to a family with five children. In March 2015, the family heard what sounded like a car crash in the earth beneath their house. They soon discovered a crack running across the floor of the house, and immediately had to evacuate.
This case was investigated by the Florida Department of Law Enforcement Tampa Bay Regional Operations Center. It is being prosecuted by Assistant United States Attorney Thomas N. Palermo.
Yuba City Woman Sentenced to 2 Years and 9 Months in Prison for Defrauding Payroll Services Company of More Than $500,000Read the Press Release
SACRAMENTO, Calif. — Denise Wasicki, 40, of Yuba City, was sentenced today by Chief U.S. District Judge Morrison C. England Jr. to two years and nine months in prison, to be followed by three years of supervised release, for two counts of mail fraud in a scheme to defraud a payroll staffing company out of more than $500,000, United States Attorney Benjamin B. Wagner announced.
According to court documents, Wasicki had been employed by a staffing and payroll services agency based in Hanover, Maryland to fill a temporary position at a hospital in Yuba City. When she was terminated by the hospital, Wasicki created a fictional company called Healthcare Quality Management Group (HQMG) with a fictional client that was purportedly a medical office in Yuba City. Posing as “Jackie Stemmons,” Wasicki engaged the staffing agency to provide staff for the medical office and gave them an alias she had used in the past, “Denise Erika Moutrey,” as the person who should be hired. Because Wasicki had been employed by the agency previously, posing as Moutrey, they were able to expedite her hiring and ultimately placed her in an office manager position.
Between July 28, 2009, and May 12, 2010, Wasicki sent time cards and requests for expense reimbursements to the agency for herself and for an assistant office manager at the fictional medical office. As part of the scheme, Wasicki sent the agency fraudulent checks to reimburse it for payroll services it provided, all of which were drawn on fictitious accounts and all of which bounced. As a result of her actions, the agency sustained a loss of approximately $400,000 and spent an additional $100,000 investigating the fraud.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant United States Attorney André M. Espinosa is prosecuting the case.
Wasicki is scheduled to self-surrender to begin serving her sentence on January 5, 2016.
York County Men Plead Guilty to Conspiracy and Firearms ChargesRead the Press Release
Contact: Benjamin M. Block
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Robert Pinkham, 20, of Buxton, Maine, pled guilty today in U.S. District Court to conspiracy to possess stolen firearms and possession of stolen firearms. On Monday, October 5, 2015, co-defendants Dale Pinkham Jr., 25, and Raymond Pinkham, 21, pled guilty to conspiracy to possess stolen firearms. In addition, Raymond pled guilty to possessing stolen firearms and Dale Jr. pled guilty to conspiracy to distribute heroin and illegally possessing firearms while a drug user.
According to court records, from around November 2012 until November 2014, Dale Jr. conspired to distribute heroin. On December 6, 2013, a search warrant executed at the Pinkhams’ residence in Buxton resulted in the seizure of about 20 grams of heroin and numerous firearms in Dale Jr.’s bedroom. Dale Jr. was then prohibited from possessing guns due to his illegal drug use. Agents also recovered a stolen firearm from a vehicle operated by Raymond that day. Between about August and November 2014, Dale Jr., Raymond and Robert also conspired to possess and possessed stolen firearms. On October 11, 2014, a search warrant executed at the Pinkhams’ Buxton residence resulted in the seizure of seven stolen firearms from Robert’s bedroom.
The defendants face up to five years in prison on the firearms conspiracy charge and up to 10 years on the firearms possession charges. They also face fines of up to $250,000 on each charge. Dale Jr. faces up to twenty years in prison and a $1,000,000 fine on the drug conspiracy charge. They will be sentenced after the completion of presentence investigation reports by the U.S. Probation Office.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Maine Drug Enforcement Agency; the Maine State Police; and the Office of the Maine Attorney General; with assistance from the Buxton Police Department and Cumberland and York County Sheriff’s Offices.
Woman Pleads Guilty to Committing Perjury Before the Grand JuryRead the Press Release
A woman who lied before the grand jury regarding another person’s possession of firearms pled guilty today in federal court in Cedar Rapids to the crime of perjury.
Danielle Ayers, age 41, from Atkins, Iowa, was convicted of one count of committing perjury before a federal grand jury. At the plea hearing, Ayers admitted she lied under oath in the grand jury. When asked if she had seen another particular person with a firearm in the past five years, she said no. Ayers admitted that was a lie and that she had, in fact, seen that person with a firearm in the last five years.
“Lying to a federal grand jury goes to the heart of the criminal justice system,” said United States Attorney Kevin W. Techau. “We will vigorously prosecute any person we find knowingly lies to the grand jury.”
Sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. Ayers remains subject to home confinement and electronic monitoring pending sentencing. Ayers faces a possible maximum sentence of five years’ imprisonment, a $250,000 fine, $100 in special assessments, and three years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney C.J. Williams and was investigated by the Marion Police Department, the Iowa Division of Criminal Investigation, and the Linn County Sheriff’s Office.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 15-CR-043-LRR.
Follow us on Twitter @USAO_NDIA.
White Sulphur Springs woman pleads guilty to Federal drug chargeRead the Press Release
Beckley, W.Va. – United States Attorney Booth Goodwin announced today that a White Sulphur Springs woman pled guilty to a federal drug charge in federal court in Beckley. Paula Kay Butts, 50, pled guilty to using a communication facililty to facilitate a felony drug offense, admitting that on June 27, 2015, she used a telephone to help set up a drug deal with a confidential informant. Later that day Butts completed the deal, distributing methamphetamine to the informant. When Butts used the telephone, she was in or near White Sulphur Springs.
She faces up to four years in prison and a $250,000 fine when she is sentenced on January 28, 2016. This case was investigated by the Greenbrier Valley Drug and Violent Crime Task Force under the Greenbrier Valley Heroin and Pill Initiative, part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the sale and use of heroin and illicit prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down drug trafficking, eliminating open air drug markets, and curtailing the spread of heroin and other opiate painkillers in communities across the Southern District. Assistant United States Attorney John File is handling the prosecution.
- Follow us on Twitter: SDWVNews
U.S. Attorney's Office Obtains Settlement with Fitzgerald Public Schools Requiring Bus Stop AccessibilityRead the Press Release
The U.S. Attorney's Office for the Eastern District of Michigan has reached a settlement with the Fitzgerald Public Schools in Warren, Michigan, to resolve allegations that it denied services to a parent with a mobility disability when it refused to provide a bus stop that she could access, in violation of the Americans with Disabilities Act (ADA), U.S. Attorney Barbara L. McQuade announced today. “This case is a reminder that school districts are required to make reasonable modifications to ensure equal access for everyone,” U.S. Attorney Barbara McQuade said. “Parents have the right to participate in their children’s education, including taking their children to the bus stop. Schools have a responsibility to take reasonable steps to reduce barriers to full participation.” The settlement resolves a complaint that the Fitzgerald Public Schools failed to accommodate a parent with a disability who uses a wheelchair when the school district refused to modify the location of her children’s bus stop so that she could access the area to ensure that her children arrived at the bus stop and boarded safely. The mother initially requested an accessible bus stop in September 2014 when her youngest child started kindergarten, but the district did not modify the bus stop location until March 2015. Under the settlement, the Fitzgerald Public Schools agreed to update its policies and training materials to ensure compliance with the ADA, pay compensatory damages to the complainant and provide an accessible bus stop so long as the complainant has elementary age children who ride the district’s school buses. Those interested in finding out more about this settlements, the obligations of public entities under the ADA, or filing a complaint may contact the U.S. Attorney’s Office via email at: [email protected], or by calling: 313-226-9151. They may also contact the Justice Department through its toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), access its ADA website at www.ada.gov, or file a complaint by email at [email protected].Two convicted for role in Baltimore to West Virginia heroin trafficking networkRead the Press Release
MARTINSBURG, WEST VIRGINIA – Two individuals were convicted in federal court this week for their role in a multi-state heroin trafficking operation, United States Attorney William J. Ihlenfeld, II, announced.
The defendants convicted this week participated in a drug trafficking scheme in which heroin was transported across state lines from Baltimore, Maryland into West Virginia, Virginia, and Pennsylvania. The operation was disrupted in June 2015 by a 163-count federal indictment encompassing 41 defendants.
Josh Reid, 32, of Martinsburg, was discovered in possession of heroin in Berkeley County, West Virginia in February 2015. He pled guilty to “Aiding and Abetting Possession with Intent to Distribute Heroin.” He faces up to 20 years in prison and a fine of up to $1,000,000.
Cortney Blair Saylor, 29, of Martinsburg, helped to facilitate the sale of heroin in February 2015. She pled guilty to one count of “Use of a Telephone to Facilitate the Distribution of Heroin” for which she faces up to four years in prison and a fine of up to $250,000. She also pled guilty to one count of “Aiding and Abetting Interstate Travel in Aid of Racketeering” for which she faces up to five years in prison and a fine of up to $250,000.
Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendants.
Assistant U.S. Attorneys Anna Krasinski and Paul Camilletti prosecuted the case on behalf of the government. The Eastern Panhandle Drug and Violent Crimes Task Force, a HIDTA-funded initiative, and the Federal Bureau of Investigation led the inquiry.
U.S. Magistrate Judge Robert W. Trumble presided.
Two Monmouth County, New Jersey, Sales Representatives Admit Paying More Than $25,000 in Cash Bribes for Patient ReferralsRead the Press Release
CAMDEN, N.J. – The owners of a marketing and sales company admitted paying thousands of dollars in cash bribes to a New Jersey physician in return for patient referrals to their clients, U.S. Attorney Paul J. Fishman announced.
Daniel Gilman, 62, of Ocean Grove, New Jersey, and Kenneth Robberson, 46, of Wall, New Jersey, pleaded guilty before U.S. District Judge Joseph H. Rodriguez in Camden federal court to separate informations charging them each with one count of conspiracy to pay kickbacks.
According to documents filed in this case and statements made in court:
Gilman and Robberson were principles of Promed Practice Consultants LLC (“Promed”), a company specializing in marketing and sales services for testing laboratories. As identified in the information, “Company 1,” a blood testing laboratory, and “Company 2,” a DNA testing laboratory, were two of Promed’s clients. Gilman and Robberson received monthly commission checks from Company 1 and Company 2 for referrals, which were equal to 10 percent of the reimbursements paid to the companies by various payors, including Medicare.
From March 2014 through May 2015, Gilman and Robberson paid a physician, identified in the information as “CC-1,” thousands of dollars in return for patient lab referrals to Company 1 and Company 2. After receiving the commission checks from Company 1 and Company 2, Gilman and Robberson would identify CC-1’s patient referrals to those companies and pay CC-1 corresponding kickbacks in cash. Altogether, Gilman and Robberson paid CC-1 approximately $25,000 in cash bribes.
Neither Company 1 nor Company 2 had any knowledge of or involvement in the kickback scheme.
The kickback conspiracy charge to which Gilman and Robberson pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing for both defendants is scheduled for Jan. 11, 2016.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel, and the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, with the investigation leading to today’s pleas.
The government is represented by Assistant U.S. Attorney Michael H. Robertson of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark.
U.S. Attorney Paul J. Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $635 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
Defense counsel:
Gilman: Vincent C. Scoca Esq., Bloomfield, New Jersey
Robberson: Edward J. Dimon Esq., Toms River
Two Men Sentenced for Drug-Trafficking ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man and an Independence, Mo., man were sentenced in federal court today for their roles in a drug-trafficking conspiracy that resulted in the shooting deaths of three persons during a home invasion in Independence and the shooting of a 12-year-old boy in the home.
Antonio Cervantes, III, also known as “Taz,” 34, of Independence, and Carlos Zambrano, Jr., also known as “Los,” 29, of Kansas City, Mo., were sentenced in separate appearances before U.S. District Judge Beth Phillips. Cervantes was sentenced to 10 years in federal prison without parole. Zambrano was sentenced to five years in federal prison without parole.
Cervantes and Zambrano both pleaded guilty to their roles in a conspiracy to possess with the intent to distribute methamphetamine.
Cervantes, Zambrano and several co-defendants planned to steal as much as three pounds of methamphetamine by robbing the residence of Martin “Tomas” Dominguez-Gregorio in Independence. During the robbery attempt, in the early morning hours of Nov. 16, 2012, Martin “Tomas” Dominguez-Gregorio, his girlfriend, Maria Guadalupe Hernandez-Corona, and her son, Antonio Hernandez, were killed; Miguel Hernandez, Maria Hernandez’s then-12–year-old son, was wounded.
Cervantes and Zambrano met with co-defendants Kevin M. Finley, also known as “Tubbs,” 36, of Independence, and Raul Soto, also known as “Choch,” 24, of Kansas City, Kan., to plan the robbery on Nov. 15, 2012. Finley and Soto were both in possession of firearms.
Finley and Soto entered a shed behind the house. Finley admitted that they bound and beat two occupants inside the shed. One of those occupants was Antonio Hernandez. Finley and Soto then dragged Antonio Hernandez into the main house. Finley and Soto demanded drugs and money from the occupants, but the victims denied having any drugs or money. Finley and Soto both fired their weapons inside the house. Finley was responsible for the deaths of Dominguez-Gregorio and Hernandez-Corona, who were both killed by the gunfire. Soto was responsible for the death of Antonio Hernandez, who was killed by the gunfire. Miguel Hernandez was wounded as a result of the gunfire.
Following the robbery, a motorcycle and a TV were removed from the residence.
Soto was sentenced on Nov. 18, 2014, to 27 years in federal prison without parole.
Finley pleaded guilty on Sept. 10, 2015, to participating in a conspiracy to distribute methamphetamine and to two counts of using a firearm during and in relation to the drug-trafficking conspiracy, causing the deaths of two persons. Under the terms of his plea agreement, Finley will be sentenced to 27 years in federal prison without parole.
This case is being prosecuted by Assistant U.S. Attorneys Charles E. Ambrose and Patrick C. Edwards. It was investigated by the Independence, Mo., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Kansas City, Mo., Police Department.
Two Colombian Nationals Indicted for Attempting to Sell Fraudulent $1,000,000,000 U.S. Bearer BondRead the Press Release
U.S. Attorney Kenneth A. Polite announced that ALMA DE JESUS MOJICA HERRERA, age 51, and LEONARDO SERRATO POLANIA, age 41, both residents of Bogota, Colombia, were indicted in a four-count Indictment today for attempting to sell a fictitious U.S. Bearer Bond.
Today’s Indictment charges MOJICA HERRERA and SERRATO POLANIA with Conspiracy to Sell a Fictitious Instrument, Conspiracy to Transport a Fictitious Instrument, Attempting to Sell a Fictitious Instrument, and Transporting a Fictitious Instrument.
According to court records, Homeland Security Investigations (“HSI”) received information alleging that MOJICA HERRERA was seeking to sell fictitious obligations in the form of a United States Bearer Bond with a face value of $1,000,000,000.00 U.S. dollars. MOJICA HERRERA made representations that the bond was worth much more than $1,000,000,000.00 due to the accrual of interest. On September 28, 2015, MOJICA HERRERA and SERRATO POLANIA, travelled from Bogota, Columbia and arrived in the United States at the New Orleans International Airport.
On September 29, 2015, MOJICA HERRERA and SERRATO POLANIA met over lunch with an HSI undercover agent (“UA”) to discuss the details of the sale of the U.S. Bearer Bond to the UA for a fee of $1,500,000,000. MOJICA HERRERA and SERRATO POLANIA agreed to meet the UA later that day at a local bank to make the exchange.
During the meeting at the bank, SERRATO POLANIA displayed a United States Bearer Bond valued at $1,000,000,000 and handed the Bearer Bond to the UA. In return for the Bearer Bond, the UA gave MOJICA HERRERA a check in the amount of $750,000,000 payable to “Alma MOJICA” constituting partial payment for the Bearer Bond. MOJICA HERRERA then asked the UA to give her two checks. MOJICA HERRERA requested one check payable to SERRATO POLANIA and a second check payable to MOJICA HERRERA in the amount of her commission. The UA requested that MOJICA HERRERA and SERRATO POLANIA write their names and the amounts they wanted on an envelope. SERRATO POLANIA then wrote his name with the amount of $705,000,000 and MOJICA HERRERA'S name with the amount $45,000,000. The UA then left the bank with the Bearer Bond and MOJICA HERRERA and SERRATO POLANIA were taken into custody by HSI agents.
If convicted, MOJICA HERRERA and SERRATO POLANIA face a maximum term of imprisonment of 5 years as to Counts 1 and 2 and 25 years as to Counts 3 and 4. In addition, they face a fine of $250,000 per count and up to 3 years of supervised release.
U. S. Attorney Polite reiterated that the Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the U.S. Department of Homeland Security-HSI and the U.S. Customs and Border Protection in investigating this matter. The prosecution of this case is being handled by Fraud Unit Chief, Assistant U. S. Attorney Brian M. Klebba.
Three former East Cleveland police officers charged for fabricating evidence, stealing cashRead the Press Release
Three former East Cleveland police officers were charged in federal court for their roles in a conspiracy in which they kept thousands of dollars from alleged drug dealers, much of which was seized through illegal searches and fabricated reports, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
Torris Moore was arrested this morning following the unsealing of a five count federal indictment, which charged Moore with one count each of conspiracy against rights, Hobbs Act conspiracy and false statements to law enforcement and two counts of theft concerning programs receiving federal funds.
At the same time, a criminal information was filed in U.S. District Court. Antonio Malone and Eric Jones were both charged with one count of conspiracy against rights and one count of Hobbs Act conspiracy.
“The three officers charged today – unlike the overwhelming majority of police officers -- did not protect and serve, but rather pillaged and plundered,” Dettelbach said. “They viewed the drug trade as an opportunity to enrich themselves, and lied to the court, their fellow officers and the citizens of East Cleveland to pull off their criminal conspiracy.”
“These three officers acted like cunning criminals rather than honorable public servants that are sworn to protect and serve,” Anthony said. “They will be held accountable for their reprehensible conduct.”
Moore, 42, of South Euclid, was a sergeant at the East Cleveland Police Department, where he supervised the Street Crimes Unit. Malone, 33, of Cleveland, and Jones, 38, of Cleveland Heights, were detectives assigned to the Street Crimes Unit. The unit, including Moore, Malone and Jones, were familiar with several drug traffickers, according to the indictment.
The defendants, between 2012 through June 2014, conspired to unlawfully enter premises and exceed the scope of lawful entry, thereafter conducting unlawful searches and seizures, used their power to seize money and property for themselves under the guise of legitimate search warrants, and created and approved false reports, affidavits and other documents to conceal their illegal searches and seizures, according to the indictment.
These illegal searches took place in East Cleveland but also outside city limits, in various locations throughout Greater Cleveland, according to the indictment.
The conspirators placed false and inaccurate information in police reports, which Moore reviewed, knew was incorrect, but she failed to correct the inaccuracies. This false information was used to obtain search warrants, according to the indictment.
The conspirators seized money and property during these searches, and diverted some of the seized money and property for their own use. Malone provided false information to the Cuyahoga County Prosecutor’s Office about certain investigative techniques in order to conceal their illegal conduct, including attributing information to a confidential informant that did not exist, according to the indictment.
For example, on Sept. 10, 2012, Jones presented an affidavit to an East Cleveland Municipal Judge, which the conspirators knew contained false and misleading statements. The judge, unaware of false information, issued a search warrant for a home on Sheldon Avenue. Moore, Malone, Jones and another officer then executed the search warrant and seized $20,000. On Sept. 11, Moore, Malone and Jones met at a park in East Cleveland and divided a portion of the $20,000, which each officer receiving between $2,000 and $3,000. Jones then authored a report reflecting that they had seized a total of $11,173, according to the indictment.
On June 20, 2013, SCU officers, including Moore, searched a home on East 85th Street. Malone, without a search warrant, forced his way into a room that was secured by a padlock and seized approximately $100,000 in cash. Moore, Malone and Jones removed a portion of the cash before causing the remainder to be secured in the East Cleveland Police Department’s evidence room. Later that day, the three officers met at an East Cleveland park and divided the money, with each receiving about $10,000. Malone later wrote the search resulted in the recovery of $74,670, according to the indictment.
On June 19, 2014, Malone encountered a parked car driven by a known drug trafficker, identified in the indictment only as M.M. Malone arrested M.M., who told the officer he had approximately $11,000 or $12,000 in the car’s glove box. Malone agreed to release M.M. but insisted on towing the car. Malone said: “I looked out for you. You gotta look out for me,” before instructing M.M. to get the cash from the glove box but to leave behind $3,000. Malone removed $3,000 from M.M.’s car but did not list the money when he completed the vehicle’s inventory form, according to the indictment.
This case is being prosecuted by Assistant U.S. Attorneys Antoinette T. Bacon and Edward F. Feran following an investigation by the Federal Bureau of Investigation – Cleveland Division, with assistance from the East Cleveland Police Department and Cuyahoga County Prosecutor’s Office.
If convicted, the defendants’ sentences will be determined by the court after a review of the federal sentencing guidelines and factors unique to the case, including the defendant’s prior criminal record (if any), the defendant’s role in the offense and the characteristics of the violation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Three Japanese Auto Parts Executives Indicted for Bid-Rigging Conspiracy Involving Body Sealing Products Installed in U.S. CarsRead the Press Release
A federal grand jury in Covington, Kentucky, returned an indictment against one former and two current Japanese automotive executives for their alleged participation in a conspiracy to fix prices and rig bids for the sale of automotive body sealing products sold in the United States.
The indictment, filed today in the U.S. District Court of the Eastern District of Kentucky, charges Keiji Kyomoto, Mikio Katsumaru and Yuji Kuroda – all Japanese nationals – with conspiring to rig bids for and fix the prices of body sealing products sold to Honda Motor Company Ltd., Toyota Motor Corp. and certain of their subsidiaries and affiliates for installation in vehicles manufactured and sold in the United States and elsewhere. Automotive body sealing products consist of body-side opening seals, door-side weather-stripping, glass-run channels, trunk lids and other smaller seals, which are installed in automobiles to keep the interior dry from rain and free from wind and exterior noises.
“These executives conspired for years with their competitors to fix the prices of body sealing products sold to Honda and Toyota and installed in U.S. cars,” said Deputy Assistant Attorney General Brent Snyder of the Justice Department’s Antitrust Division. “Today’s indictment is another reminder that antitrust violations are not just corporate offenses but also crimes by individuals. The Antitrust Division will continue to vigorously prosecute executives who orchestrate their companies’ efforts to break the law.”
“The FBI is committed to aggressively investigating individuals who engage in criminal conduct that corrupts the global marketplace,” said Special Agent in Charge Howard S. Marshall of the FBI’s Louisville Division. “We will continue our work with the Department of Justice Antitrust Division to uncover schemes aimed at creating an unfair competitive advantage by way of price fixing, bid rigging or other illegal means.”
The indictment alleges that Kyomoto, Katsumaru and Kuroda participated in the conspiracy from at least as early as September 2003 until at least October 2011. For most of this period, Kyomoto resided in the United States and served as President of an unnamed joint venture with offices in Indiana and Michigan, which manufactured and sold automotive body sealing products.
Katsumaru, who resided in Japan, served in multiple managerial positions during the conspiracy period, including Manager of the Sales and Marketing Division, for an unnamed company based in Hiroshima, Japan, that partially owned the joint venture and also manufactured and sold automotive body sealing products. Kuroda, who resided in Japan, served as a sales branch manager at the same Hiroshima-based company for the entirety of the charged period.
According to the indictment, Kyomoto, Katsumaru and Kuroda each instructed subordinates at their respective companies to communicate with co-conspirators at other companies in order to allocate sales of, rig bids for and fix the prices of automotive body sealing products; were aware that employees under their supervision were engaging in such communications; and condoned such communications. The indictment further alleges that Kyomoto attended meetings in the United States with co-conspirators during which Kyomoto and the co-conspirators reached agreements regarding sales of automotive body sealing products to Honda and Toyota. The indictment also alleges that Katsumaru and Kuroda instructed and encouraged certain employees at their company to destroy evidence of the conspiracy. Each individual faces a maximum penalty to 10 years in prison and a $1 million criminal fine if convicted.
Today’s charge is the result of an ongoing federal antitrust investigation into price fixing, bid rigging and other anticompetitive conduct in the automotive parts industry, which is being conducted by the Antitrust Division’s criminal enforcement sections and the FBI. A total of 58 individuals and 37 companies have been charged and have agreed to pay more than $2.6 billion in criminal fines. This indictment was brought by the Antitrust Division’s Chicago Office and the FBI’s Louisville Field Office, Covington Resident Agency, with the assistance of the FBI’s International Corruption Unit and the U.S. Attorney’s Office of the Eastern District of Kentucky. Anyone with information about anticompetitive conduct in the automotive parts industry should contact the Antitrust Division’s Citizen Complaint Center at 888-647-3258, visit www.justice.gov/atr/contact/newcase.html or call the FBI’s Louisville Field Office at 502-263-6000.
Three Charged in Conspiracy to Distribute Heroin and FentanylRead the Press Release
CONCORD, NEW HAMPSHIRE – Two Manchester, New Hampshire residents and an individual living in Lawrence, Massachusetts were indicted yesterday by a federal grand jury for conspiring to distribute heroin and fentanyl, announced Acting United States Attorney Donald Feith.
Jeannette Hardy, 24, of Manchester, New Hampshire, Zakee Stuart-Holt, 33, of Manchester, New Hampshire and Jose Casellas, 38, of Lawrence, Massachusetts were charged with conspiring to distribute and to possess with the intent to distribute heroin and 400 grams or more of fentanyl during the period from July 2014 through June 2015. Hardy was previously indicted on a charge of possession with intent to distribute a controlled substance. Stuart-Holt was previously charged in a separate indictment with engaging in a controlled substance conspiracy. The new charge replaces those previous charges. The grand jury also charged Zakee Stuart-Holt with money laundering.
Law enforcement agents seized approximately four kilograms of material that has been determined to contain the narcotic drug fentanyl and three other kilograms that is yet to be confirmed as fentanyl. Another approximately 17 kilograms of material was seized from a Lawrence, Massachusetts apartment associated with Jose Casellas, but the precise nature of that material has not yet been determined. Law enforcement also seized approximately $198,000 in cash from an apartment rented by Hardy and Stuart-Holt, approximately $560,000 in cash from a safe deposit box rented by Stuart-Holt, and $12,000 in cash from an apartment associated with Jose Casellas. The grand jury’s indictment includes a notice of forfeiture for this money.
The charges and allegations contained in an indictment are merely accusations. A defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The investigation was conducted by the (1) United States Drug Enforcement Administration; (2) Manchester, New Hampshire Police Department; (3) Andover, Massachusetts Police Department, (4) Lawrence, Massachusetts Police Department, and (5) the Massachusetts State Police. The United States Attorney’s Office for the District of New Hampshire assisted in the investigation and is prosecuting the case.
Thai National Indicted for Marijuana Cultivation in Sierra National ForestRead the Press Release
FRESNO, Calif. — A federal grand jury returned a three-count indictment today against Rich Xiongpao, 42, of Fresno, charging him with conspiring to manufacture marijuana, manufacturing marijuana in connection with a large-scale cultivation operation in a national forest, and depredation of public lands and resources, United States Attorney Benjamin B. Wagner announced.
According to court documents, on September 29, 2015, Xiongpao was arrested after he was observed by U.S. Forest Service agents tending a marijuana site in the Sierra National Forest in Madera County. Agents removed approximately 428 marijuana plants from the site.
According to the criminal complaint filed in this case, the damage to the national forest land and resources caused by the marijuana cultivation operation will exceed $1,000. Throughout the site, multiple species of natural vegetation had been cut to accommodate the cultivation operation. Additionally, in order to water the marijuana cultivation, a water reservoir diverted the flow of pristine spring water from a riparian area to the site. A large amount of trash, numerous containers of chemicals, fertilizers, and unknown substances were found throughout the area.
This case is the product of an investigation by the U.S. Forest Service. Assistant United States Attorney Daniel Griffin is prosecuting the case.
Xiongpao is scheduled to be arraigned on the indictment on October 14, 2015, in federal court in Fresno. If convicted of the drug offenses, Xiongpao faces a minimum statutory penalty of five years and a maximum statutory penalty of 40 years in prison and a $5 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Texas man pleads guilty to transporting a minor to Shreveport for prostitutionRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a man from Texas pleaded guilty to bringing a minor to Shreveport to engage in prostitution.
Larry D. Bluitt, 26, of Dallas, Texas, pleaded guilty before U.S. District Judge Elizabeth E. Foote to one count of transportation of a minor with intent to engage in prostitution. According to evidence presented at the guilty plea, a law enforcement agent working in an undercover capacity responded to an online ad for prostitution on December 17, 2014. The undercover agent arranged to meet an individual at a Shreveport hotel for the purpose of prostitution. Agents observed Bluitt driving a 14-year-old female to the hotel to meet the undercover agent for sex. After he dropped off the juvenile, Bluitt was arrested by members of the FBI Violent Crimes Against Children Task Force. Bluitt admitted he drove the minor female from Dallas to Shreveport for prostitution.
Bluitt faces 10 years to life in prison, five years or life of supervised release, a $250,000 fine, forfeiture of property and mandatory registration as a sex offender. A sentencing date of January 28, 2016 was set.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines 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.
Those concerned may leave tips with the FBI at tips.fbi.gov. Tips may be submitted anonymously. The Shreveport FBI office number is (318) 861-1890.
The FBI-Violent Crimes Against Children Task Force and the Shreveport Police Department conducted the investigation. Assistant U.S. Attorney Seth D. Reeg is prosecuting the case.
Supplier to Drug Traffickers Gets Long Prison TermRead the Press Release
PHILADELPHIA – Arthur Office, 45, of Houston, TX, was sentenced today to 144 months in prison for his role in a drug trafficking conspiracy. Office pleaded guilty on April 1, 2015, to conspiracy to distribute five kilograms or more of cocaine and 280 grams or more of cocaine base.
During an undercover investigation of co-conspirator Omar Vasquez in March of 2008, Vasquez was stopped by police while driving in Lancaster, PA. He and a passenger fled and, with police in pursuit, they began throwing crack cocaine from the windows of their vehicle. Police recovered approximately 128 grams of cocaine from the highway. Agents with Homeland Security Investigations subsequently searched Vasquez’s car and home, recovering more drugs and money, and were able to trace the source of the cocaine to Arthur Office of Houston, Texas.
An investigation revealed that Office had been supplying cocaine to other drug dealers in Chester County since the late 1990s to 2009. For several years, Office regularly flew from Texas to Philadelphia personally carrying several kilograms of cocaine strapped to his body. On two occasions in 2008 and 2009, on his way back to Texas from Philadelphia International Airport, HSI agents seized over $80,000 in U.S. currency from Office.
In addition to the prison term, U.S. District Court Judge Lawrence Stengel ordered 5 years of supervised release, a $100 special assessment, and a fine of $2500.
The case was investigated by Homeland Security Investigations, the Drug Enforcement Administration, the Lancaster Police Department and the Pennsylvania State Police. It was prosecuted by Assistant United States Attorney James R. Pavlock.
St. Croix Man Sentenced to Prison for Possession of Prison ContrabandRead the Press Release
St. Croix, USVI – District Court Chief Judge Wilma A. Lewis on Wednesday sentenced Shevron Percival, 25, of St. Croix, to four months in prison and one year of supervised release for Possession of Prison Contraband, United States Attorney Ronald W. Sharpe announced. Judge Lewis also ordered Percival to pay a $500 fine.
On May 7, 2015, Percival pleaded guilty to one count of Possession of Prison Contraband. As part of his plea, Percival admitted that he possessed a cellular telephone that was found in his basketball shorts while he was an inmate at the Golden Grove Adult Correctional Facility on St. Croix. Cellular telephones are prohibited contraband in correctional facilities because they are known to be used by prisoners to intimidate witnesses, orchestrate narcotics transactions, and facilitate other criminal activity, including murders.
This case was investigated by the Virgin Islands Bureau of Corrections and the United States Drug Enforcement Administration. It was prosecuted by Assistant U.S. Attorney Rami S. Badawy.
Springfield Man Sentenced to Prison for Distributing Crack CocaineRead the Press Release
BOSTON –Dmitri Major, 38, of Springfield, was sentenced today by U.S. District Judge Mark G. Mastroianni to 21 months in prison and five years of supervised release.
In May 2015, Major pleaded guilty to distributing crack cocaine to an undercover law enforcement officer in a parking lot near known drug dealing and street gang territory on Oct. 9 and 17, 2013.
United States Attorney Carmen M. Ortiz and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case was prosecuted by Assistant U.S. Attorney Kevin O’Regan, Chief of Ortiz’s Springfield Branch Office.
South Jersey Man Sentenced to 20 Years in Prison for Distributing Images of Child Sexual AbuseRead the Press Release
CAMDEN, N.J. – A Gloucester County, New Jersey, man was sentenced today to 240 months in prison for distributing images of child sexual abuse over the Internet, U.S. Attorney Paul J. Fishman announced.
Gerrett Conover, 50, of Woolwich Township, New Jersey, previously pleaded guilty before U.S. District Judge Noel L. Hillman to Count Three of the indictment against him, distribution of child pornography. Judge Hillman imposed the sentence today in Camden federal court. Conover has been in custody since his arrest.
According to documents filed in this case and statements made in court:
On Sept. 16, 2012, Conover was intercepted at the United States border on his way from Canada into New York and was found in possession of a laptop containing images of sexually exploited children. Agents obtained a search warrant for Conover’s home in Woolwich Township and seized various computers and other media containing additional images of child sexual abuse. The search also uncovered materials allegedly establishing Conover’s involvement in the Boy Scouts between 1990 and 2000.
At his guilty plea proceeding, Conover admitted that he knowingly distributed images of children engaged in sexually explicit conduct.
In addition to the prison term, Judge Hillman sentenced Conover to lifetime supervised release.
U.S. Attorney Fishman credited special agents of Immigration and Customs Enforcement, Homeland Security Investigations (HSI), under the direction of Acting Special Agent in Charge Kevin Kelly, with the investigation. He also thanked HSI Offices in Boston; Messina, New York; Los Angeles; and San Bernardino, California; as well as Customs and Border Protection in Ogdensburg, New York, for their roles.
The government is represented by Assistant U.S. Attorney Diana Carrig of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel: Jerome Brown Esq., Philadelphia
South Jersey Man Sentenced to 14 Years in Prison for Conspiracy to Traffic Guns from South Carolina to New JerseyRead the Press Release
CAMDEN, N.J. – A Camden man was sentenced today to 168 months in prison for his role in a conspiracy to sell 22 guns without a license, U.S. Attorney Paul J. Fishman announced.
Marcus Rutling, a/k/a “Fresh,” 33, of Camden, and Saluda, South Carolina, previously pleaded guilty before U.S. District Judge Renée Marie Bumb to an information charging him with one count of conspiring to deal firearms without a license and one count of possession of a firearm by a previously convicted felon. Judge Bumb imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Between April 8, 2013, and July 28, 2014, Marcus Rutling and his brother, Joseph Rutling, 24, of Camden, conspired with others to illegally sell firearms without a license, including handguns, shotguns and an assault rifle. They obtained the firearms from pawn shops, gun stores and other sources in South Carolina and brought them to New Jersey, at times using Amtrak trains to transport the guns. Marcus Rutling personally sold or participated in the sale of at least seven firearms, including handguns and shotguns, to a witness cooperating with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Joseph Rutling personally sold or participated in the sale of at least 15 firearms, including handguns, shotguns and an assault rifle, also to an ATF cooperating witness. On at least five occasions, Joseph Rutling sold ammunition with the firearms.
In addition to the prison term, Judge Bumb sentenced Marcus Rutling to three years of supervised release. Joseph Rutling also pleaded guilty to his role in the conspiracy and is scheduled for sentencing on Oct. 30, 2015.
U.S. Attorney Fishman credited special agents of the ATF, under the direction of Special Agent in Charge George P. Belsky, with the investigation leading to today’s sentencing. He also thanked special agents from the Drug Enforcement Administration, under the direction of Special Agent in Charge Carl J. Kotowski, as well as officers from the Winslow Township and Clementon, New Jersey, police departments, for their work in the case.
The government is represented by Assistant U.S. Attorney Matthew T. Smith of the U.S. Attorney’s Office in Camden.
Defense counsel: Justin Loughry Esq., Camden
Shawnee Woman to Serve 24 Months in Prison and Pay over $251,000 in Restitution for Embezzlement from Citizen Potawatomi NationRead the Press Release
Oklahoma City, Oklahoma –KRISTI BIAS, 42, of Shawnee, Oklahoma, was sentenced this week by Chief United States District Judge Vicki Miles-LaGrange to serve 24 months in federal prison for embezzlement from the Citizen Potawatomi Nation, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma. In addition, Chief Judge Miles-LaGrange ordered Bias to pay $251,018.35 in restitution to the tribe.
According to court records and information at court hearings, Bias was employed as the Executive Director of the Citizen Potawatomi Nation’s Community Development Corporation (CDC), which promoted economic development in the Native American community by providing loans and grants to companies owned by or which primarily employed members of federally-recognized Indian tribes. From December of 2010 and September of 2011, Bias was alleged to have caused grants to be issued to false or ineligible entities, falsified supporting documents, and received kickbacks for doing so.
In a related case, THOMAS BIERD, 35, also from Shawnee, was indicted on April 21, 2015, for his role in the embezzlement. Specifically, it was alleged that Bierd controlled an entity that received checks issued from CDC by Bias who, in turn, kicked back a portion of the proceeds to Bias. On September 3, 2015, Bierd pled guilty to embezzlement from the tribe and is currently awaiting sentencing.
Bias was charged by Information on November 7, 2014. Following her 24-month prison term, Bias is ordered to served 3 years of supervised release and pay $251,018.35 in restitution to the tribe.
This case is the result of an investigation conducted by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Tim Ogilvie.
Reference is made to court filings for further information
Seven Taken into Custody for Drug ViolationsRead the Press Release
CONCORD, NEW HAMPSHIRE – Seven individuals were arrested by federal, state and local authorities following a long-term investigation into the trafficking of heroin and oxycodone in the Rochester, New Hampshire area, announced Acting United States Attorney Donald Feith. Those arrested include:
(1) Bruce Campbell, age 60, of Portsmouth, New Hampshire (formerly of Rochester, New Hampshire), was arrested for unlawful distribution of oxycodone, in violation of Title 21, United States Code, 841(a)(1);
(2) Fausto Delacruz, age 35, of Lawrence, Massachusetts, was arrested for engaging in a conspiracy to distribute heroin and oxycodone, in violation of Title 21, United States Code, Sections 846 and 841(a)(1) and for unlawful distribution of heroin and oxycodone, in violation of Title 21, United States Code, 841(a)(1);
(3) Giovanni Rosado, age 32, of Lawrence, Massachusetts, was arrested for engaging in a conspiracy to distribute oxycodone, in violation of Title 21, United States Code, Sections 846 and 841(a)(1);
(4) Michael Bougie, age 41, of Rochester, New Hampshire, was arrested for unlawful distribution of oxycodone, in violation of Title 21, United States Code, 841(a)(1);
(5) Paul Bougie, age 32, of Rochester, New Hampshire, was arrested for engaging in a conspiracy to distribute oxycodone, in violation of Title 21, United States Code, Sections 846 and 841(a)(1) and for unlawful distribution of oxycodone, in violation of Title 21, United States Code, 841(a)(1);
(6) Harold Marte, age 34, of Lawrence, Massachusetts, was arrested for engaging in a conspiracy to distribute oxycodone, in violation of Title 21, United States Code, Sections 846 and 841(a)(1); and
(7) Thomas Davis, age 40, of Somersworth, New Hampshire, was arrested for unlawful distribution of heroin and oxycodone, in violation of Title 21, United States Code, 841(a)(1).
The charges and allegations contained in an indictment are merely accusations. A defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The investigation was conducted by the (1) United States Attorney’s Office for the District of New Hampshire; (2) United States Drug Enforcement Administration’s Portsmouth, New Hampshire Tactical Diversion Squad; (3) Rochester, New Hampshire Police Department; and (4) United States Postal Inspection Service. In addition, the following law enforcement agencies participated in the arrests: (1) United States Marshals Service; (2) New Hampshire State Police; (3) Lawrence, Massachusetts Police Department; and (4) Haverhill, Massachusetts Police Department.
Seven Men Indicted in Heroin Distribution ConspiracyRead the Press Release
An indictment charging seven Detroit-area men with conspiracy to distribute heroin was unsealed this morning, U.S. Attorney Barbara L. McQuade announced today. Joining McQuade in the announcement was David Gelios, Special Agent in Charge, Federal Bureau of Investigation, Joseph Reagan, Special Agent in Charge, Drug Enforcement Administration, Sheriff Michael Bouchard, Oakland County Sheriff’s Office, Chief Corrigan O’Donahue, Royal Oak Police Department and Chief Timothy Collins, Ferndale Police Department. Albert Street, 34, Floyd Shaw, 20, Chris Coleman, 38, Andre Little, 37, Devon Street, 21, James White, 22, and Carlos Cozart, 24, were charged with conspiracy to distribute and to possess with intent to distribute more than 100 grams of heroin. Cozart is from Hamtramck. The other defendants are from Detroit. In addition, Coleman and Shaw were charged with distribution of heroin resulting in serious bodily injury. The victims involved survived the overdoses because they were revived by paramedics. The law defines serious bodily injury as one that involves a substantial risk of death, and carries a mandatory penalty of 20 years’ imprisonment if convicted. Little was also charged with being a convicted felon in possession of a firearm. Since April, federal, state and local agencies, including the Federal Bureau of Investigation, Drug Enforcement Administration, Immigration and Customs Enforcement-Homeland Security Investigations, Oakland County Gang and Violent Crime Task Force, Oakland County Sheriff’s Office, Royal Oak Police Department, Southfield Police Department, Bloomfield Township Police Department, Troy Police Department, Waterford Police Department, Ferndale Police Department, Detroit Police Department and the Michigan State Police, and several other federal, state and local law enforcement agencies, have conducted a rigorous investigation into this heroin drug trafficking organization that has territories in Detroit expanding from Six Mile Road to Eight Mile Road, including the Woodward Corridor, and beyond. This indictment stems from numerous search warrants that were executed on July 21 in Wayne and Oakland counties, in an effort to combat the heroin epidemic. As a result of those search warrants, law enforcement officers seized a substantial quantity of heroin. The investigation and prosecution in this case are part of Project HOPE (Heroin and Opioid Prevention and Enforcement), the U.S. Attorney’s district-wide initiative to combat the epidemic of heroin use and overdoses. “The heroin epidemic that has resulted in so many overdose deaths in our region calls for us to step up enforcement of heroin distribution to save lives,” McQuade said. “We are tackling this problem from all sides – prevention, treatment and enforcement.” Special Agent in Charge Gelios stated, “The levels of cooperation and teamwork demonstrated in this investigation between the FBI and all the agencies are exceptional. The availability of heroin and other deadly drugs are a threat to our communities. Today’s operations demonstrate the commitment of the United Staets Attorney’s Office and the law enforcement community to respond in a coordinated fashion.” Royal Oak Police Chief O’Donahue stated, “These arrests represent the great teamwork of law enforcement agencies on all levels. Heroin use is on the rise and it is a problem that affects every community. All the officers, agents, and deputies involved in this case are to be commended for their work.” “Oakland County has witnessed heroin-related deaths double in recent years. The effect that this illegal drug has had on our communities and families has been devastating,” said Sheriff Michael J. Bouchard. “The cooperation of both local and federal agencies involved in this operation are to be commended for putting away these dangerous criminals. The Sheriff’s Office is dedicated to continuing to combat drug trafficking in Oakland County and we will be relentless in our pursuit.” Ferndale Police Chief Timothy Collins stated, “Ferndale has experienced a large increase in heroin overdoses over the past year, and it has been impacted by the appearance of Fentenyl. I am grateful for the combined response of the local, state and federal partners who came together to help manage this problem in the metro area.” The charges in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty. This investigation was lead by the FBI Oakland County Violent Gang and Violent Crime Task Force in partnership with the Oakland County Narcotics Enforcement Team, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, Detroit Police Department, Royal Oak Police Department, Ferndale Police Department, and the FBI Violent Gang Task Force. The case is being prosecuted by Assistant U.S. Attorneys Patrick E. Corbett and Eric Doeh.Sentencings for October 2 - October 6, 2015Read the Press Release
Charles Magovern, 67, of Boulder, Colorado, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on October 6, 2015, for entry of goods, that is, paleontological specimens, by means of false statements and aiding abetting. He received one year supervised probation and was ordered to pay a $100.00 special assessment. Pursuant to an agreement with the Government, the Defendant returned all fossils under his control. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Jennifer R. Sorrells, 34, of Fair Oaks, California, was sentenced by Federal District Court Judge Alan B. Johnson on October 6, 2015, for conspiracy to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine. Sorrells was arrested in Rawlins, Wyoming. She received 135 months imprisonment, to be followed by five years of supervised release, and was ordered to pay a $500.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.
Fernando Beltran-Mendoza, 50, of Mexico, was sentenced by Federal District Court Judge Alan B. Johnson on October 2, 2015, for illegal re-entry of a previously deported alien into the United States. Beltran-Mendoza was arrested in Cheyenne, Wyoming. He received time served, plus ten days, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Fermin Cortes-Cruz, aka Fernando Cortez-Zarate, 24, of Mexico, was sentenced by Federal District Court Judge Alan B. Johnson on October 2, 2015, for illegal re-entry of a previously deported alien into the United States. Cortes-Cruz was arrested in Sheridan, Wyoming. He received time served, plus ten days, was ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Seiler Nominated by the White House to be U. S. Attorney for the District of South DakotaRead the Press Release
Randolph J. Seiler has received the official nomination by President Barack Obama to be the 41st United States Attorney for the District of South Dakota. Prior to this White House nomination, Seiler has served as the Acting U.S. Attorney since March 12, 2015.
Pursuant to an order signed by U.S. Attorney General Loretta Lynch on October 6, 2015, Seiler was sworn in that same day by U.S. District Judge Roberto A. Lange at a ceremony at the U.S. District Courthouse in Pierre, South Dakota.
“It is with tremendous gratitude and appreciation that I have received the White House nomination to be the 41st U.S. Attorney for the District of South Dakota,” said U.S. Attorney Randy Seiler. “I feel privileged and honored, but it is also an awesome responsibility. The mission of pursuing justice is so incredibly pure, impactful, and fulfilling. I can’t envision a more rewarding line of work, than to help deliver justice on behalf of victims of violent crimes, for citizens suffering civil rights violations, victims of fraud and public corruption, and the myriad of other crimes dealt with in the U. S. Attorney’s Office.
One of the most crucial aspects of this position is the work we do in Indian country. I’ll continue to enhance our outreach and prosecutions on our state’s nine reservations, and strive to give a voice to those who don’t have one. Working with my staff, and shoulder to shoulder with our law enforcement partners, I look forward to this next chapter, and am excited to officially take over the reins of U. S. Attorney.”
Randy Seiler has been with the U.S. Attorney’s Office for 20 years. From November 2009 to March 2015, Seiler served as both the First Assistant United States Attorney and the Tribal Liaison for the District of South Dakota. Prior to serving in those two capacities, Seiler was an Assistant U.S. Attorney, and he spent 14 years prosecuting violent crime offenses in Indian country and other areas throughout the state. The U.S. Attorney’s Office for the District of South Dakota has jurisdiction on nine Indian reservations.
As First Assistant, Seiler was responsible for the day-to-day management and operation of the U.S. Attorney's Office. He was also the supervisor of the U.S. Attorney’s branch office in Pierre, where he was directly involved in prosecutorial matters and decisions.
As Tribal Liaison, he consulted and coordinated with tribal justice officials and leaders, tribal communities, and victim advocates in an effort to address any issues in the prosecution of major crimes in Indian country in South Dakota.
Seiler also served as counsel to the Director in the Executive Office for U.S. Attorneys at the Department of Justice in Washington, D.C., in 2008. He has been an instructor at the National Advocacy Center in Columbia, South Carolina, as well as a presenter at numerous conferences and trainings on various topics including violent crime, sexual assault, domestic violence, and legal issues in the prosecution of crimes in Indian country.
He has received the Attorney General's Award for Fraud Prevention, as well as the Director's Award for Superior Performance in Indian Country.
Prior to joining the U.S. Attorney's Office in 1995, Seiler was in private practice in Mobridge, South Dakota, where he practiced criminal and civil law. He also previously served as Campbell County Deputy States Attorney and Special Judge for the Cheyenne River Sioux Tribe.
As U.S. Attorney, Seiler will continue with the priority areas of the office, and he will maintain the strong commitment to prosecuting Indian country crimes and human trafficking.
Seiler grew up in Herreid, South Dakota, served his country in the U.S. Air Force, which included a year-long tour in Vietnam, and graduated from the University of South Dakota School of Law.
He and his wife, Wanda, live in Fort Pierre, and have four grown children and two grandchildren.
Seiler’s nomination will be sent to the United States Senate for confirmation.
Santa Fe Man Sentenced to Federal Prison for Unlawfully Trafficking “Suboxone”Read the Press Release
ALBUQUERQUE – James Barela, 41, of Santa Fe, N.M., was sentenced today in federal court in Albuquerque, N.M., to a year and a day in prison followed by three years of supervised release for participating in a conspiracy to distribute Buprenorphine, more commonly known as “Suboxone,” in violation of the federal narcotics laws.
Barela was arrested on March 12, 2015, on an indictment charging him and co-defendant Edward Owens, 21, also of Santa Fe, with conspiracy and possession of Suboxone with intent to distribute. According to the indictment, Barela and Owens committed these crimes between Aug. 6, 2014 and Aug. 12, 2014, in Santa Fe County, N.M. During the period charged in the indictment, Owens was employed as a corrections officer at the Santa Fe County Adult Correctional Facility.
On June 10, 2015, Barela pled guilty to Count 1 of the indictment, charging him with participating in a Suboxone trafficking conspiracy. In entering the guilty plea, Barela admitted that from Aug. 4, 2014 through Aug. 12, 2014, while he was incarcerated in a correctional facility in Santa Fe County, he conspired with Owens to distribute Suboxone to inmates in the correctional facility.
Owens has entered a plea of not guilty to the indictment. He is currently scheduled for trial on Dec. 7, 2015. Charges in indictments are merely accusations, and defendants are presumed innocent unless proven guilty.
This case was investigated by the Albuquerque office of the FBI, the Santa Fe County Sheriff’s Office, and the Santa Fe Corrections Department with assistance from the First Judicial District Attorney’s Office.
Assistant U.S. Attorney Shaheen P. Torgoley prosecuted the case pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative is a collaborative effort between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative.
Salinas Residents Charged in Tax and Mortgage Fraud SchemeRead the Press Release
SAN JOSE – A federal grand jury in San Jose indicted Elizabeth Calderon and Esther Sanchez, AKA Trinidad Carrillo, with filing false tax returns, theft of government funds, aggravated identity theft, making false statements to federally insured institution, and conspiracy, announced Acting United States Attorney Brian J. Stretch and Internal Revenue Service, Criminal Investigation, Acting Special Agent in Charge Thomas McMahon.
According to the indictment, beginning on or about November 24, 2010, and continuing to the present, Calderon, 39, a resident of Salinas, Calif., has been a professional tax return preparer. Calderon is charged with willfully assisting in the preparation and presentation of thirteen false U.S. Individual Income Tax Returns, Forms 1040, for other taxpayers. Calderon is also charged with theft of government funds and aggravated identity theft for using someone else’s identification to obtain fraudulent income tax refunds, and with filing false Forms 1040 in her own name for 2010, 2011 and 2012. In addition, Calderon and Sanchez, 54, also a resident of Salinas, are charged with conspiring to submit a loan application to Bank of America that contained false information and was supported by counterfeited documents.
Calderon and Sanchez were arrested in Salinas this morning. They made their initial appearance this afternoon in federal court in San Jose before the Honorable Paul S. Grewal, U.S. Magistrate Judge. Both defendants’ next appearance is scheduled for October 13, 2015 at 9:00 AM before the Honorable Beth Labson Freeman.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendants face a maximum sentence of three years in prison and a fine of $250,000 for each count of filing false tax returns and each count of aiding or advising false tax returns, in violation of 26 U.S.C. §§ 7206(1) and 7206(2). The maximum sentence for theft of government funds, in violation of 18 U.S.C. § 641, is ten years in prison and a fine of $250,000. The maximum penalty for aggravated identity theft, in violation of 18 U.S.C. § 1028A, is two years in prison to run consecutive with the underlying felony and a fine of $250,000. The maximum sentence for making false statements to federally insured institution, in violation of 18 U.S.C. § 1014, is thirty years in prison and a $1,000,000 fine. The maximum penalty for conspiracy, in violation of 18 U.S.C. § 371, is five years in prison and a $250,000 fine. Additional fines, penalties and supervised release also may be ordered. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant United States Attorney Michael G. Pitman is prosecuting the case. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation.
Rolla Man Indicted in Forex Trading ScamRead the Press Release
St. Louis, MO – A federal indictment was returned late yesterday naming DANIEL KEITH STEELE as the defendant in a fraud scheme involving trading in foreign currencies. The indictment alleges that Steele solicited more than $2 million from at least 24 investors who had hoped to realize the extraordinary returns promised by Steele, which were sometimes as high as 28.71% per month.
According to the indictment, however, Steele invested only a fraction of the money he solicited in foreign currency markets. Instead, the indictment alleges, he spent investor funds on himself and his family, including the purchase of two different vehicles at a total cost of nearly $100,000, and repaid some later investors with funds contributed by earlier investors. Steele is also accused of generating false reports for investors that reflected returns that Steele had never achieved, and of creating and providing similar false documents when questioned by investigators.
Steele, Rolla, MO, was indicted by a federal grand jury on one felony count of mail fraud, four felony counts of wire fraud and two felony counts of engaging in unlawful monetary transactions using criminally derived property.
If convicted, each count of mail and wire fraud carries a maximum penalty of 20 years in prison and/or fines of up to $250,000. The two counts of engaging in unlawful monetary transactions each carry a maximum term of imprisonment of 10 years and/or a maximum fine of $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
The case is being investigated by the U.S. Postal Inspection Service. Assistant United States Attorney Richard E. Finneran is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Rochester Man Charged with Possession of A Firearm Linked to Murders at Boys and Girls ClubRead 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 Ramel Robinson, 21, of Rochester, NY, was charged by criminal complaint in connection with unlawful possession of a firearm which was stolen from the residence at 1070 Lake Avenue in Rochester. The charges carry a maximum penalty of 10 years in prison, a fine of $250,000, or both.Assistant U.S. Attorney Douglas E. Gregory, who is handling the case, stated that on July 29, 2015, Robinson unlawfully entered the residence at 1070 Lake Avenue and stole a gun safe that contained three firearms and numerous rounds of ammunition. The firearms included an AK-47, a .40 caliber rifle and a single shot shotgun. The AK-47 was later recovered by police hidden under the front porch of a residence on Clay Avenue. That gun has been linked to the mass shooting at the Boys and Girls Club on August 19, 2015.
The shotgun was later recovered at a residence on Phelps Avenue, leading to the arrest of Joseph Lowry on federal gun charges. The current location of the .40 caliber rifle is unknown. Previously, on September 9, 2015, Robinson was charged by federal authorities for possessing two additional stolen firearms related to a burglary of a residence at 184 Clay Avenue. The defendant is currently in custody on state and federal charges.
Robinson will appear make an initial appearance this morning at 10:30 a.m. before U.S. Magistrate Judge Marian W. Payson.
The criminal complaint is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), under the direction of Special Agent in Charge Delano A. Reid, New York Field Division, the Federal Bureau of Investigation, under the direction of Special Agent in Charge Adam S. Cohen, and the Rochester Police Department, under the direction of Chief Michael Ciminelli.
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.
Plainwell Man, Benjamin Cance, Pleads Guilty to Illegal Arms Exportation, Money LaunderingRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney Pat Miles announced today that Benjamin James Cance pled guilty before U.S. District Judge Robert Holmes Bell to federal charges of international arms trafficking and money laundering. The arms trafficking charge is punishable by imprisonment for up to 20 years; the maximum penalty for money laundering is ten years in prison.
In pretrial filings with the court, the government disclosed that Cance’s illegal dealings with his overseas customers were conducted through illegal internet sites, referred to as the "darknet." He also utilized electronic currencies, such as Bitcoin, to get paid for his services in an effort to hide the nature of his activities.
A plea agreement filed in connection with the hearing disclosed that the government will move to dismiss a third charge, machine gun possession, at sentencing. Judge Bell was advised that Cance has been cooperating with U.S. and international law enforcement agencies against the recipients of many of his shipments in the United Kingdom, Poland and Germany. Judge Bell allowed Cance to remain on bond pending sentencing so this cooperation can continue.
The case was assigned to Timothy VerHey, Assistant U.S. Attorney, for prosecution. Investigation of the case was conducted by the Department of Homeland Security, Immigration and Customs Enforcement, the Internal Revenue Service, the U.S. Postal Inspection Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
END
Philadelphia Man Pleads Guilty to Drug ChargesRead the Press Release
Jackson, Miss - Nathan Burnside, 31, of Philadelphia, Mississippi, pled guilty today before Senior U.S. District Judge David Bramlette III to distributing 28 grams or more of crack cocaine, announced U.S. Attorney Gregory K. Davis and FBI Special Agent in Charge Donald Alway.
Burnside was indicted after an investigation revealed that he was distributing crack cocaine in the Canton and Philadelphia areas.
He will be sentenced by Senior U.S. District Judge David Bramlette III on January 14, 2016 and faces a maximum penalty of 40 years in federal prison and a $5 million fine.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Darren LaMarca.
Pennsylvania Man Sentenced on Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Dale Foley, 48, of Bradford, PA, who was convicted of possession of child pornography, was sentenced to five years in prison and 10 years supervised release by Senior U.S. District Judge William M. Skretny.
Special Assistant U.S. Attorney Carol G. Bridge, who handled the case, stated that on November 30, 2011, a federal search warrant was executed at the defendant’s former residence on South Street in Olean, NY. Foley The defendant was at the residence and admitted to possessing child pornography and using peer to peer software to download the child pornography. A forensic analysis of Foley’s computer recovered 685 image files and 146 video files of child pornography, many of which depicted pre-pubescent children being subjected to violence.
The sentencing is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
Pelahatchie Man Sentenced to Prison for Possesion with Intent to Distribute MethamphetamineRead the Press Release
Jackson, Miss – Michael Antonio Andrews, 36, of Pelahatchie, Mississippi, was sentenced today by U.S. District Judge Carlton W. Reeves to 87 months in federal prison and ordered to pay a $1000.00 fine for possession with the intent to distribute methamphetamine, U.S. Attorney Gregory K. Davis announced.
Andrews pled guilty on July 2, 2015, admitting that he supplied approximately 26 grams of actual methamphetamine to a co-defendant who delivered the methamphetamine to an individual in Crystal Springs, Mississippi.
The case was investigated by the DEA HIDTA Task Force with assistance from the Mississippi Highway Patrol. The case was prosecuted by Assistant U.S. Attorney Jerry L. Rushing.
Orlando Woman Convicted of Bank Fraud and Identity Theft ChargesRead the Press Release
TALLAHASSEE, FLORIDA – Yesterday, a federal trial jury convicted Tanzania Miller, 38, of Orlando, Florida, of conspiracy, four counts of bank fraud, and aggravated identity theft. The verdict was announced by Christopher P. Canova, Acting United States Attorney for the Northern District of Florida.
At trial, the government presented evidence that, between December 2013 and March 2014, Miller conspired with others to steal money from banks by depositing stolen checks and making withdrawals against them. In this scheme, Miller found people willing to sell their Facebook account to her. The Facebook user’s friends were then asked if they wanted to make money by providing a bank account number and a debit card. Stolen, forged checks were then deposited into the Facebook friend’s bank account, followed by quick cash withdrawals or purchases using the debit card. In all, the scheme resulted in more than $55,000 in forged check deposits and $35,000 in withdrawals.
Miller faces a maximum sentence of 30 years in prison for each bank fraud and conspiracy count and a mandatory minimum term of two years in prison for aggravated identity theft. Sentencing has been scheduled for December 18, 2015, at 1:00 p.m. at the United States Courthouse in Tallahassee, Florida. The case was investigated by the United States Secret Service and the Leon County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Jason S. Beaton.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact: Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]Oakland Man Pleads Guilty to Possession of Child PornographyRead the Press Release
Contact: Andrew McCormack
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Daniel Lajoie, Jr., 46, of Oakland, Maine, pleaded guilty today in U.S District Court to possession of child pornography.
According to court records and proceedings, between April 29, 2012 and June 3, 2012, the defendant used a computer and peer-to-peer software to make available for sharing videos of child pornography. A federal agent, acting in an undercover capacity, downloaded seven of those videos and eventually traced the online activity to a computer Lajoie possessed at a residence in Randolph, Maine. Lajoie’s computer was seized and examined and investigators found over 50 images and 110 videos of child pornography.
Lajoie faces up to ten years in prison and a $250,000 fine. 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 Computer Crimes Task Force.
Niagara Falls Woman Sentenced for Stealing Government FundingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Kimberly Nybeck, 45 of Niagara Falls, NY, who was convicted of theft of public money, was sentenced to three years probation with six months home detention by Senior U.S. District Judge William M. Skretny. The defendant was also ordered to pay $36,094 in restitution to the Social Security Administration.Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that from April 2008 to December 2012, the defendant received Supplemental Security Income (SSI) benefits on behalf of a family member. During that time, Nybeck falsified information that was submitted to the Social Security Administration that allowed her to continue to receive the SSI benefits. In total, the defendant fraudulently received $36,094 in benefits that she was not entitled to.
The sentencing is the culmination of an investigation on the part of Special Agents of the Social Security Administration Office of Inspector General, under the direction of Edward J. Ryan, Special Agent in Charge.