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Monday 24 August 2015
Mescalero Apache Woman Sentenced for Federal Assault Conviction Arising out of Drive-By ShootingRead the Press Release
ALBUQUERQUE – Julianna Rosynelle Venego, 29, a member of the Mescalero Apache Nation who resides in Mescalero, N.M., was sentenced this morning in federal court in Las Cruces, N.M., for her assault conviction. Venego was sentenced to 21 months in prison followed by three years of supervised release.
Venego was arrested on July 11, 2013, on a criminal complaint alleging that she drove a vehicle while a defendant in a separate case, Rufus Juan Lester, 23, also a member of the Mescalero Apache Nation, fired multiple shots at a residence located on the Mescalero Apache Reservation in the early hours of Nov. 24, 2012. Venego was subsequently indicted on Oct. 16, 2013, and charged with two-counts of assault with a dangerous weapon with intent to do bodily harm.
Venego pled guilty to the indictment on July 8, 2014. In entering the guilty plea, Venego admitted that on Nov. 24, 2012, she drove Lester past a residence in Mescalero where Lester used two rifles to shoot at a residence which at the time was occupied by two adults and six children.
Lester was indicted in a separate case and charged with eight counts of assault with a dangerous weapon and one count of discharging firearms during and in relation to crimes of violence. On May 16, 2014, Lester pled guilty to the eight counts in the indictment charging him with assault with a dangerous weapon. Lester admitted riding in the passenger seat of the vehicle while Venego drove past a residence in Mescalero. As the vehicle went past the residence, Lester used two rifles to shoot at the residence which was occupied by two adults and six children at the time of the shooting, and that he assaulted each of the occupants when he shot at the residence. Lester was sentenced on Nov. 20, 2014, to 66 months in prison followed by three years of supervised release.
This case was investigated by the Mescalero Agency of the BIA’s Office of Justice Services and was prosecuted by Assistant U.S. Attorney Aaron O. Jordan of the U.S. Attorney’s Las Cruces Branch Office.
Man Who Put Gun to Girlfriend’s Head Pleads Guilty to Federal Firearm ChargeRead the Press Release
WICHITA, KAN. - A Wichita man who was arrested after putting a gun to his girlfriend’s head pleaded guilty Monday to a federal firearm charge, U.S. Attorney Barry Grissom said.
Teagan C. Gulley, 35, Wichita, Kan., pleaded guilty to one count of unlawful possession of a firearm following a felony conviction. In his plea, he admitted that Wichita police officers responding to a report of domestic violence saw him pointing a gun at his girlfriend. He was arrested and officers seized a .45 caliber handgun. He was a previously convicted felon at the time and he was prohibited by federal law from possessing a firearm.
Sentencing is set for Nov. 9. Both parties have agreed to recommend a sentence of 77 months in federal prison.
Grissom commended the Wichita Police Department and Assistant U.S. Attorney Matt Treaster for their work on the case.
Man Sentenced to Time Served for Re-Entering the United States from Guatemala and Use of a False Social Security NumberRead the Press Release
A man who illegally re-entered the country and then used a false social security number to obtain employment was sentenced on August 20, 2015, to time served.
Elmer Gomez-Ordonez, age 36, from Guatemala, received the prison term after a June 25, 2015, guilty plea to one count of illegal re-entry of a removed alien and one count of use of a false social security number.
At the guilty plea, Gomez-Ordonez admitted he illegally re-entered the United States after being deported on March 9, 2012, and that he had used a false social security number to obtain employment in Wright County. In April of 2015, Immigration and Customs Enforcement (ICE) agents learned that Gomez-Ordonez had been arrested and charged with OWI in Wright County, Iowa, on March 20, 2015. Immigration records reflected Gomez-Ordonez was a citizen of Guatemala and had previously been removed from the country in 2012. Agents discovered Gomez-Ordonez was employed in Eagle Grove, Iowa, under a different name. Records obtained at his place of employment reflected he had used a false social security number to obtain employment.
Gomez-Ordonez was sentenced in Sioux City by United States District Court Judge Mark W. Bennett. Gomez-Ordonez was sentenced to time served. He must serve a 1-year term of supervised release.
The case was prosecuted by Assistant United States Attorney Kevin C. Fletcher and investigated by Immigration and Customs Enforcement (ICE).
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 15-CR-3023.
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Man Sentenced to Three Months Prison for Illegally Re-Entering the United States from MexicoRead the Press Release
A man who illegally re-entered the country was sentenced on August 20, 2015, to three months in federal prison.
Jose Colis-Salas, age 28, from Mexico, received the prison term after a June 26, 2015, guilty plea to one count of illegal re-entry of a removed alien.
At the guilty plea, Colis-Salas admitted he illegally re-entered the United States after being deported on April 5, 2013. Colis-Salas came to the attention of Immigration and Customs Enforcement (ICE) officials on April 10, 2015, when he was arrested in Clay County, Iowa for failure to appear on charges of identity theft and tampering with records.
Colis-Salas was sentenced in Sioux City by United States District Court Judge Mark W. Bennett. Colis-Salas was sentenced to three months imprisonment. He must serve a 1-year term of supervised release. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Kevin C. Fletcher and investigated by Immigration and Customs Enforcement (ICE) and the Enforcement and Removal Office of the Immigration and Customs Enforcement Bureau.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 15-CR-4040.
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Man Pleads Guilty to Shooting Federal AgentRead the Press Release
Contact Person: Stacey Haynes (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that James William Lewis, a/k/a “Jessie,” a/k/a “Phoenix,” age 32, of Kings Mountain, North Carolina pled guilty today in federal court. Lewis plead guilty to a 2nd/subsequent offense of use/possession/discharge of a firearm during a crime of violence, to wit: assault on a federal agent, in violation of Title 18, United States Code, Sections 924(c)(1)(A)(iii) and 924(c)(1)(C). Senior United States District Judge Joseph F. Anderson, Jr. accepted the plea and will impose a sentence after he has reviewed the presentence report, which will be prepared by the U.S. Probation Office.
Evidence presented at the change of plea hearing established that during the early morning hours of January 7, 2014, deputized task force agents with the Federal Bureau of Investigation’s (FBI) Charlotte Safe Streets Task Force/Violent Crime Apprehension Team were in Fort Mill, South Carolina searching for Lewis, who was wanted for an armed robbery of a Jack-in-the-Box restaurant in North Carolina. Agents, in police attire and accompanied by York County Sheriff’s Department officers in marked units, approached the residence of Lewis’ girlfriend, Kirstie Elaine Philome Barratt, age 22, in an attempt to determine if Lewis was in the residence. After approximately 15 minutes of the agents knocking on the door and announcing their presence with a loud speaker, Barratt came to the door. Barratt, who was advised by agents that it was a crime to make a false statement to federal agents, told the agents that Lewis was not in the home, that she had not seen him for two (2) months because they had broken up, and that the only other persons in the residence were her parents. Barratt gave the agents consent to search the residence. Upon completing a sweep of the residence, agents located Barratt’s parents asleep in one upstairs bedroom and noticed the door shut to another upstairs bedroom. Agents could hear a dog barking in that other upstairs bedroom, so they asked Barratt to secure the dog so they could search the bedroom. Barratt went into the bedroom and came out with the dog. Agents then went into the bedroom and found Lewis crouched in the corner with his weapon drawn. Gunfire ensued and an FBI task force agent, as well as Lewis, was shot. Both Barratt and Lewis were taken into custody. Barratt later advised agents that she knew Lewis was in the residence, that she thought he was going to hide in the attic, and that when she entered the bedroom to retrieve the dog, she saw him in the corner with the gun, but did not tell the agents before allowing them to enter the bedroom.
On October 22, 2014, Barratt plead guilty to making a false statement to a federal agent, in violation of Title 18, United States Code, Section 1001. At Barratt’s sentencing, the court granted the government’s motion for an upward departure from the federal guidelines sentencing range of 0 to 6 months, noting that this was a “rare” case and that Barratt “knowingly placed a law enforcement officer’s life in jeopardy” by her false statement. Barratt was sentenced to 24 months (2 years) imprisonment, to be followed by 3 years of supervised release. Barratt is currently in the Federal Bureau of Prisons. Barratt also may face deportation as a result of her conviction.
Mr. Nettles stated that Lewis faces a statutory mandatory minimum 25 years imprisonment consecutive to any other term of imprisonment, a fine of $250,000, and a term of supervised release of up to 5 years following the term of imprisonment. In July 2015, Lewis was sentenced to 108 months (9 years) in federal court in the Western District of North Carolina for the December 2013, robbery of the Jack-in-the-Box restaurant and possession of a firearm during that crime of violence, to wit: robbery. Lewis also has prior North Carolina state convictions for possession of cocaine (1999) and larceny of a motor vehicle (2000).
The case was investigated by the FBI, the York County Sheriff’s Department, and the South Carolina Law Enforcement Division (SLED), and was prosecuted as part of the joint federal, state and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Assistant United States Attorney Stacey D. Haynes of the Columbia office handled the case.
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Kern County Man Pleads Guilty to Tax Fraud SchemeRead the Press Release
FRESNO, Calif. — Ramon Gomez Garcia, 44, of Arvin, pleaded guilty today to conspiracy to defraud the United States in connection with a scheme to submit hundreds of false federal tax returns in the names of third parties, United States Attorney Benjamin B. Wagner announced. His co-conspirator, Ramon Duran Gallardo, 56, of Planada, pleaded guilty to the same offense on August 12, 2015.
According to court documents, Garcia and Gallardo agreed with others to defraud the United States Internal Revenue Service (IRS) by submitting false federal income tax returns in the names of third parties. The conspirators submitted the returns with false IRS Form W-2s showing fraudulent wages and withholdings. On the basis of these false tax returns and W-2s, the conspirators fraudulently claimed tax refunds in the names of the purported taxpayers. The conspirators caused over 500 false tax returns to be filed, and Garcia and Gallardo each admitted to causing over $100,000 in false claims to the IRS.
This case was the product of an investigation by Internal Revenue Service – Criminal Investigation. Assistant United States Attorneys Megan A. S. Richards and Kirk Sherriff are prosecuting the case.
Garcia is scheduled to be sentenced on November 23, 2015, and Gallardo is scheduled to be sentenced on November 16, 2015, by United States District Judge Lawrence J. O'Neill. Garcia and Gallardo face a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Justice Department Settles Immigration-Related Discrimination Claim Against Nebraska-Based Meat Packing CompanyRead the Press Release
The Justice Department announced today that it reached a settlement with Nebraska Beef Ltd., a meat packing company headquartered in Omaha, Nebraska. The settlement resolves an investigation by the Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) into whether the company was engaging in employment discrimination in violation of the Immigration and Nationality Act (INA). In particular, OSC investigated whether the company was requiring non-U.S. citizen employees, because of their citizenship status, to present proof of their immigration status for the employment eligibility verification process.
The department’s investigation found that the company required non-U.S. citizens, but not similarly-situated U.S. citizens, to present specific documentary proof of their immigration status to verify their employment eligibility. The INA’s anti-discrimination provision prohibits employers from making documentary demands based on citizenship or national origin when verifying an employee’s authorization to work.
“The department is committed to ensuring that individuals who are authorized to work in the United States can support their families and contribute to our country’s economic growth without facing unnecessary and discriminatory barriers to employment,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “We will vigorously enforce the law to remove such barriers where we find them, and ensure that affected individuals have a means of seeking relief.”
Under the settlement agreement, Nebraska Beef Ltd. will pay a $200,000 civil penalty to the United States and will establish an uncapped back pay fund to compensate individuals who lost wages because of the company’s practices. The settlement also requires the company to undergo compliance monitoring for two years, train its employees on the anti-discrimination provision of the INA, and to review and revise its office policies. For more information on the back pay fund or to make a claim for lost wages, please call 202-616-2603 or email [email protected].
OSC is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing or recruitment or referral for a fee; unfair documentary practices; retaliation; and intimidation. Trial Attorneys Katherine E. Lamm and Silvia Dominguez-Reese of the Civil Rights Division investigated this matter.
For more information about protections against employment discrimination under immigration laws, call OSC’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call OSC’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar at www.justice.gov/crt/about/osc/webinars.php, email [email protected]; or visit OSC’s website at www.justice.gov/crt/about/osc.
Applicants or employees who believe they were subjected to different documentary requirements based on their citizenship status, immigration status or national origin; or discrimination based on their citizenship status, immigration status or national origin in hiring, firing, or recruitment or referral for a fee should contact OSC’s worker hotline for assistance.
Nebraska Beef Settlement Agreement (720.79 KB)
Hurricane man sentenced to federal prison for obstruction of justiceRead the Press Release
HUNTINGTON, W.Va. – A Hurricane man who threw guns from his car during a traffic stop on I-64 was sentenced today to five years in federal prison, announced United States Attorney Booth Goodwin. John Anthony Roberts, 47, plead guilty May of 2015 in federal court in Huntington to obstruction of justice.
On July 20, 2014, Roberts was traveling on I-64 in Barboursville when a West Virginia State Trooper attempted to stop of his vehicle. Roberts refused to stop and attempted to evade the Trooper. While fleeing from the Trooper, Roberts threw two guns from his moving vehicle. During his guilty plea, Roberts admitted that he threw the guns from his car in an attempt to hide them because he was aware that he was prohibited under federal law from possessing a firearm.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and West Virginia State Police conducted the investigation. Assistant United States Attorney Joseph F. Adams handled the prosecution.
This case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by working with existing local programs that target gun crime.
Huntington woman pleads guilty to federal firearm chargeRead the Press Release
HUNTINGTON, W.Va. – A Huntington woman who brought a concealed weapon into the federal building in Huntington pleaded guilty today in federal court, announced United States Attorney Booth Goodwin. Whitney H. Borders, 29, entered a guilty plea before Chief Judge Robert C. Chambers to unlawful possession of a firearm by a convicted felon.
On May 28, 2015, Borders entered the federal courthouse and approached the security post to be screened for entry into the building. While Borders was being screened, security officers found a .22 caliber pistol in a purse Borders was carrying. Borders was prohibited from possessing a firearm based on a previous felony conviction in Cabell County.
Borders faces up to 10 years in federal prison, and is scheduled to be sentenced on November 23, 2015.
The United States Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant United States Attorney Joseph F. Adams is responsible for the prosecution.
This case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by working with existing local programs that target gun crime.
Huntington man sentenced in federal court for distributing heroinRead the Press Release
HUNTINGTON, W.Va. – A Huntington man who sold heroin to a confidential informant on multiple occasions in 2014 was sentenced today to one year in federal prison, announced United States Attorney Booth Goodwin. Tayvon Mykal Gaulds, 21, previously pleaded guilty in federal court in Huntington in May of 2015 to distributing heroin.
On November 12, 2014, Gaulds arranged to sell heroin to a confidential informant working at the direction of the Huntington FBI Drug Task Force. Gaulds met the informant in the 1800 block of 9 1/2 Alley in Huntington and sold the informant approximately 5 grams of heroin in exchange for $650. Gaulds also distributed heroin to the informant on two other occasions in Huntington.
The Huntington FBI Drug Task Force conducted the investigation. Assistant United States Attorney Joseph F. Adams handled the prosecution.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Fresno Man Sentenced to over 11 Years in Prison for Sex Trafficking of a MinorRead the Press Release
FRESNO, Calif. — Javier Solis, 29, of Fresno, was sentenced today by United States District Judge Anthony W. Ishii to 11 years and nine months in prison for sex trafficking of a minor, United States Attorney Benjamin B. Wagner announced. On August 17, 2015, co‑defendant Michael Anthony Andrade, 34, was sentenced to 12 years and seven months in prison.
According to court documents, Andrade and Solis forced two girls, ages 15 and 17, perform sex acts for money first in Fresno and then in San Luis Obispo. In addition, the 15‑year-old girl was taken to a tattoo parlor in Fresno where the defendants’ nicknames were tattooed on her, one name on each shoulder.
Court documents further reflect the 17-year-old, a runaway, spoke with Fresno Police officers on October 24, 2013, after her mother brought her home from San Luis Obispo. While being interviewed, she told officers about the 15-year-old who was still in San Luis Obispo under the control of the defendants as well as the motel where she was staying. In response, the San Luis Obispo Police Department was contacted, and officers were able to successfully remove her from that location.
“The public should be outraged that men like Solis and Andrade market and 'rent' teens to others for profit and to the detriment of their young victims,” said Supervisory Special Agent Robert Guyton form the Fresno resident agency of the FBI's Sacramento field office. “We are thankful for our collaborative relationship with the Fresno Police Department and other law enforcement partners. Working together, we can recover victims and ensure their exploiters face justice.”
San Luis Obispo County District Attorney Dan Dow, who prosecuted the case before it was filed in federal court, commented: “Collaboration, such as occurred here between federal, state, and local agencies, is the key to stopping human trafficking networks. We are pleased with the guilty pleas and the message that this tough sentence sends to anyone involved in sex trafficking of minors. We will continue to be vigilant to seek out and take down the perpetrators of human trafficking by using the collaboration of our anti-human trafficking task force.”
This case was the product of an investigation by the Federal Bureau of Investigation, the Fresno Police Department, the San Luis Obispo Police Department and the San Luis Obispo District Attorney’s Office. Assistant United States Attorneys Michael Frye and Mia Giacomazzi prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about Internet safety education.
Four Eufaula and Checotah Individuals Plead Guilty to Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced today that KERENSA KAELENE MARA, age 38, JAMES WESTLEY RADFORD, age 28, MARQUIS WAYNE BRANDT a/k/a Mark Brandt, age 40, all of Eufaula, Oklahoma and REBEL LYNN CRABTREE, age 47, of Checotah, Oklahoma, pled guilty to Drug Conspiracy, in violation of Title 21, United States Code, Section 846.
Charges arose from an investigation by the Navarro County Sheriff’s Department in Texas, the District 18 District Attorney’s Drug Task Force, the Drug Enforcement Administration and the United States Department of Veterans Affairs, Office of Inspector General. The defendants were indicted in July 2015.
The Indictment alleged that beginning in or about October 2014 and continuing to in or about January 2015, in the Eastern District of Oklahoma and elsewhere, the defendants knowingly and intentionally agreed together, with each other, and with other persons known and unknown to the Grand Jury, to illegally obtain Schedule II and IV controlled substances by means of presenting fraudulent prescriptions to pharmacies and conspired to possess with intent to distribute and distribute Schedule II and IV controlled substances.
As part of the conspiracy the defendants would obtain stolen prescription pads, legitimate DEA numbers and copies of doctor’s signatures from the Jack C. Montgomery Veterans Affairs Medical Center, for the purpose of forging prescriptions of controlled substances. The defendants would recruit people to present those forged prescriptions on their behalf in return for pay and then distribute the fraudulently obtained illegal drugs or trade illegal drugs for other drugs.
MARA and CRABTREE both are former employees at the Jack C. Montgomery Veterans Affairs Medical Center, in Muskogee.
The Honorable Steven P. Shreder, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the guilty pleas and ordered the completion of presentence reports. Sentencing hearings will be scheduled following their completions.
The statutory range of punishment is up to 20 years imprisonment, up to a $1,000,000 fine or both.
First Assistant United States Attorney Doug Horn represented the United States.
Four Additional Defendants Sentenced on a-PVP (a.k.a. “Gravel”or “Flakka”) Conspiracy ChargesRead the Press Release
GREENEVILLE, Tenn. – Ronnie Lee Shelton, 43, and Brenda Lee Bolton, 46, both of Greeneville, Tenn., Eric Matthew Vance, 33, of Blountville, Tenn., and Geri Kim Ward, 33, of Church Hill, Tenn., were sentenced between August 18 and August 20, 2015, by the Honorable R. Leon Jordan, U.S. District Court Judge, to federal prison terms of 235 months, 95 months, 135 months and 78 months respectively. These sentences were a result of their roles in an extensive a-PVP (alpha-pyrrolidinopentiophenone) distribution conspiracy centered in northeast Tennessee, southwest Virginia and western North Carolina. Both Shelton and Vance were also convicted for possessing a firearm in furtherance of their a-PVP trafficking.
A-PVP is a synthetic drug, primarily ordered from China, which is commonly referred to on the street as “gravel” or “flakka.” Common effects on users include: extreme paranoia; hallucinations; elevated blood pressure; extremely high body temperature; excited delirium; staying awake for days; hostility and having exceptional strength without apparent fatigue. These are many of the characteristics of the drug that make it very dangerous for the user but also for law enforcement responding to people who are high on it. A-PVP has been referred to by users of the substance as “meth on steroids.”
According to the plea agreements signed and filed with the district court clerk’s office, the combined aggregate total of a-PVP stipulated to by Shelton, Bolton, Vance and Ward was approximately 37,000 grams. Shelton admitted to being accountable for 20,000 grams of that total. Shelton was initially arrested in Pigeon Forge, Tenn., in January 2014, in a vehicle that contained approximately 530 grams of a-PVP and a loaded .40 caliber handgun. A few months later, in early May 2014, he escaped from the Greene County Jail. In numerous jail recorded conversations, Shelton conspired with several other people to plan the escape and admitted that he wanted to escape because he was facing a long sentence on federal gravel charges.
Vance was arrested in March 2014 after a hit and run incident in Unicoi County, Tenn. A subsequent search of Vance revealed a loaded .380 handgun and 11 baggies containing approximately 50 grams of a-PVP. Each was baggie was individually wrapped and had the names of individuals, dates and weights on them. Shelton, Bolton, Vance and Ward all made repeated trips to North Carolina to obtain a-PVP and transported it back to the Eastern District of Tennessee for resale.
Others who have been previously sentenced in this a-PVP trafficking investigation include Richard McNeal Hillman, Austin Michael Stallard, Johnny Michael Stallard, Desera Jade Allen, Phillip Wayne Mullins, Johnny White, Michael Ray Mangum and Evelyn Vickers, who were sentenced to serve 188 months, 121 months, 180 months, 151 months, 151 months, 120 months, 120 months and 110 months in federal prison respectively.
Law enforcement agencies participating in this investigation include the Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; Homeland Security Investigations, Sullivan County Sheriff’s Office, Kingsport Police Department, Hawkins County Sheriff’s Department, Johnson City Police Department, Greeneville, Tennessee Police Department, Hendersonville, North Carolina Police Department, and Scott County, Virginia Sheriff’s Office, all of which provided invaluable assistance during the course of the investigation. Assistant U.S. Attorney Wayne Taylor represented the United States.
Law enforcement investigations have revealed that A-PVP began to appear in the Eastern District of Tennessee as early as 2012 and federal, state and local law enforcement immediately joined forces to combat this growing problem. Studies have shown that it is one of the most dangerous and addictive drugs available anywhere. The seriousness of these offenses is further aggravated by the propensity of many individuals involved in the sale of a-PVP to carry and use firearms.
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Former USAF Captain Sentenced for Violating Restrictions on Post-Government Employment and Making a False Statement to Federal AuthoritiesRead the Press Release
SIOUX CITY, IOWA - A former Captain in the United States Air Force (USAF) who served in 2010 as a U.S. military contracting officer representative in Afghanistan, was sentenced last Thursday in United States District Court in Sioux City, Iowa, after having earlier pleaded guilty to violating restrictions on post-government employment and making a false statement to law enforcement agents, announced Assistant Attorney General Leslie R. Caldwell of the Criminal Division and U.S. Attorney Kevin W. Techau of the Northern District of Iowa.
Adam J.J. Pudenz, 35, of Carroll, Iowa, was sentenced by Senior United States District Court Judge Mark W. Bennett to serve two concurrent three-year terms of probation. Pudenz pleaded guilty on March 10, 2015, to a two-count criminal information that charged him with willfully violating federal conflict-of-interest laws stemming from his post-government employment with an Afghan clothing manufacturer in Kabul, Afghanistan. In addition, Pudenz pled guilty to making a false statement to federal law enforcement agents.
According to the criminal information, the plea agreement, exhibits, and other documents filed in the case, in 2010, Pudenz, then a USAF Captain, was stationed at Camp Eggers, near Kabul, Afghanistan, where he spent a year overseeing major U.S. government contracts, all held by a single Afghan company, for the provision of clothing and footwear to the Afghan National Security Forces (ANSF). Pudenz also served on a source selection team for another major boot supply contract.
Prior to departing Afghanistan in December 2010, Pudenz began negotiating for future employment with the same Afghan company that held the contracts he administered – a fact he later denied when interviewed by U.S. law enforcement agents. Prior to his discharge in January 2011, Pudenz received from the military a legal opinion that specifically prohibited him from working for the company that held the contracts he administered in Afghanistan. Pudenz immediately disregarded this legal advice and signed an agreement with that company, returning to Afghanistan in March 2011. From then until November 2011, Pudenz repeatedly lobbied U.S. government officials in person and via email on behalf of his Afghan employer. His lobbying efforts were directly tied to the same contracts he administered as a USAF officer the year before, and in many case, Pudenz was lobbying U.S. officials in the same office in which he had worked. In return, Pudenz was scheduled to receive $500,000 per year from his Afghan employer, of which $250,000 was paid up front in March 2011.
To cover his violation of federal law, Pudenz repeatedly told U.S. government contracting officials that he had been given “safe harbor” to represent his Afghan employer, and on several occasions gained entry to U.S. military compounds by lying to guards, telling them he was still in the U.S. military and that he still worked as a U.S. contracting official.
At the sentencing hearing, Pudenz admitted to the court that “without a doubt” he broke the law, and stated “I ignored the [legal] advice when I saw it.” Further, “I should not have engaged on both sides of the contract as the JAG told me.” And, “I should have found a way to take my ego out of this.”
The court found that his series of deceptions was a “substantially” aggravating factor. However, on the whole, given his military service and the letters received from numerous friends and family members, the court found Pudenz was not likely to reoffend and sentenced him to serve terms of probation.
As part of his plea agreement with the United States, Pudenz will forfeit his home in Carroll, Iowa, purchased with his ill-gotten gains. He also will forfeit three Afghan still rugs.
This case was investigated by the Defense Criminal Investigative Service, Air Force Office of Special Investigation, Army Criminal Investigation Command, Special Inspector General for Afghanistan Reconstruction, and the FBI. The case was prosecuted by Trial Attorney Wade Weems of the Criminal Division’s Fraud Section and Assistant United States Attorney Richard L. Murphy of the Northern District of Iowa.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 15-CR-3008.
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Former Springfield Man Pleads Guilty to Tax EvasionRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Springfield, Mo., man who was a fugitive from justice in Mexico for nearly seven years pleaded guilty in federal court today to tax evasion.
Scott Christopher Lucas, also known as Scott C. Bogan, 57, formerly of Springfield, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charge contained in a Dec. 17, 2008, federal indictment. Lucas was arrested in Colorado in April 2015 and remains in federal custody without bond.
Lucas was employed by Wyndham Vacation Ownership, Inc. (doing business as Fairfield Resorts) as a time-share salesman in Branson, Mo., from 2002 to 2005. During those four years, according to today’s plea agreement, Lucas earned a gross income of $811,367 in wages and a total taxable income of $719,505, for a total tax due and owing of $142,418.
According to court documents, Lucas fled to Mexico when he learned of the federal grand jury investigation. The United States obtained a “Red Notice” – an international wanted persons alert – by the International Criminal Police Organization (INTERPOL). For several years, efforts to locate Lucas within Mexico or obtain the active assistance of the Mexican authorities remained unsuccessful. A U.S. Marshal’s Service task force officer traced Lucas’s whereabouts to Playa del Carman, Mexico, in February 2015.
On April 29, 2015, Lucas was arrested at the Denver International Airport, in Denver, Colo., when he returned to the United States to seek medical treatment. Because of Lucas’s health concerns, his appearance in federal court was delayed.
By pleading guilty today, Lucas admitted that he failed to file income tax returns from 2002 through 2005. Throughout his employment with Wyndham, Lucas used the name Scott Christopher Lucas, when his legal surname, and the surname he used in his dealings with the IRS, was Bogan. To avoid having income taxes withheld from his pay, Lucas filed IRS forms in which he claimed exemption from the withholding of income taxes.
Lucas also admitted that he titled a 1998 Hummer H-1 vehicle, purchased in 2003, in another person’s name, in an attempt to conceal his ownership of the vehicle from the IRS. Lucas also left the title and registration to a houseboat he purchased in February 2006 in the name of the previous owner, instead of registering the houseboat in his own name as required by law, in an attempt to conceal his ownership of the houseboat from the IRS.
Lucas used a false Social Security number throughout the application and loan documents in connection with his purchase of a $275,000 Springfield residence in February 2004. This represented an attempt by Lucas to conceal his ownership of the residence from the IRS.
In pleading guilty to Count One of the indictment, charging him with income tax evasion for the 2002 tax year, Lucas admitted that he received a total income of approximately $244,974 in 2002, of which approximately $233,274 was taxable income. Lucas also admitted that he owed an income tax of approximately $65,701.
Lucas will be required to pay $125,241 in restitution for the total remaining balance of unpaid taxes, plus interest, from 2002 through 2005. Lucas also will be required to pay $41,368 in restitution to the state of Missouri for state taxes evaded.
Under federal statutes, Lucas is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Steven M. Mohlhenrich. It was investigated by IRS-Criminal Investigation.
Former Seacy Police Chief Pleads Guilty to Possession of HydrocodoneRead the Press Release
LITTLE ROCK—Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas, and Grover Crossland, Resident Agent in Charge for the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), announced today that former Searcy Police Chief Jeremy Clark pled guilty to an Information charging him with a violation of federal controlled substance law.
Clark, 36, of Searcy, pled guilty to a one-count misdemeanor Information charging him with possession of Hydrocodone, a controlled substance, in violation of Title 21, United States Code, Section 844(a). The case number is 4:15-cr-0214 DPM. Clark pled guilty and was sentenced Monday before United States Magistrate Judge Joe J. Volpe.
According to the facts stated in open court, Clark admitted that in August 2014 he obtained a quantity of Hydrocodone from at least one other person who was not authorized to distribute a controlled substance. Judge Volpe then sentenced Clark to one year of probation, to include drug counseling and random drug tests, and a $1,000 fine.
On March 3, 2015, law enforcement agents executed a search warrant on Clark’s home. That afternoon, Clark resigned as Searcy Police Chief. As part of the plea agreement, Clark agreed to surrender his law enforcement certification to the Arkansas Commission on Law Enforcement Standards and Training and subsequently not apply for, request, receive, or maintain any law enforcement certification or commission. In addition, Clark agreed that he will neither seek nor accept employment as a law enforcement officer with any Federal, state or local agency; to include paid, part-time, elected, or volunteer appointments.
This investigation was conducted by the ATF and prosecuted by Assistant United States Attorney Chris Givens.
Former Saltwater Disposal Well Operator Indicted in North Dakota on Multiple Felony ChargesRead the Press Release
Jason A. Halek, 41, of Southlake, Texas, was indicted in federal court in Bismarck, North Dakota, on 13 felony charges stemming from the operation of a saltwater disposal well near Dickinson, in Stark County, North Dakota, the Justice Department announced.
Halek was charged with one count of conspiracy to violate the Safe Drinking Water Act and defraud the United States. He was also charged with four counts of violating the Safe Drinking Water Act, four counts of making false statements and four counts of obstructing grand jury proceedings.
The well, named the Halek 5-22, received “produced water” constituting “brine and other wastes” commonly and generically referred to as “saltwater.” “Saltwater” in this context covers a wide array of drilling waste fluids, including hydraulic fracturing fluid, which is water combined with chemical additives such as biocides, polymers and “weak acids.” The Environmental Protection Agency (EPA) has stressed that this water is often saltier than seawater and can “contain toxic metals and radioactive substances.”
Previously, on Sept. 26, 2014, Nathan Garber pleaded guilty to multiple felony counts relating to the well.
“Our nation’s energy independence and security is enhanced by the safe, responsible, and lawful extraction of domestic energy, but it is undermined when laws are abused in a race to profit,” said Assistant Attorney General John C. Cruden for the Justice Department’s Environment and Natural Resources Division. “The American people expect nothing less than legal behavior from those involved in oil and gas development and the Justice Department will vigorously prosecute those who do not honor this obligation.”
“Oil and gas production must be safe and legal every step of the way, including the treatment and disposal of drilling byproducts,” said Assistant Administrator Cynthia Giles for EPA’s Office of Enforcement and Compliance Assurance. “People who deliberately violate rules that protect drinking water from contamination put communities at risk. These charges show that EPA takes this very seriously and will hold violators accountable.”
According to the indictment, Halek conspired with others, including Garber, in a number of coordinated and illegal acts, including injecting saltwater into the well without first having the state of North Dakota witness a test of the well’s integrity and continuing to inject saltwater after failing a Feb. 2, 2012 pressure test. Halek is also charged under the Safe Drinking Water Act with injecting fluids down the “annulus” or “backside” of the well in violation of the well’s permit which required that fluids be injected through the tubing.
Further, Halek is charged with telling Garber to move a device called a “packer” up the wellbore in violation of the well’s permit, without first getting approval from the state. Then, Garber allegedly gave false information to a state inspector regarding the depth of the packer.
Halek is charged with making multiple false statements to the state of North Dakota, including false statements about the depth of the packer. In addition, Halek is charged with obstructing and impeding a grand jury investigation into the matter, by withholding responsive documents and making false statements.
The case was investigated by EPA’s Criminal Investigation Division. Significant cooperation was provided by the North Dakota Industrial Commission. The case is being prosecuted by the U.S. Attorney’s Office for the District of North Dakota and the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division.
An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until and unless proven guilty.
Former President of Bay Area Home Builder Pleads Guilty to Mortgage Fraud ConspiracyRead the Press Release
Ayman Shahid Admits to Participation in Builder Bailout Scheme to Inflate Home Prices during Peak of Mortgage Crisis
Ayman Shahid, 39, of Danville, California, the former president of Discovery Sales Inc. (DSI), pleaded guilty in federal court in Oakland, California, to conspiracy to commit bank fraud announced U.S. Attorney Melinda Haag for the Northern District of California, Special Agent in Charge David J. Johnson of the FBI’s San Francisco Division, Acting Special Agent in Charge Thomas McMahon of the Internal Revenue Service-Criminal Investigation (IRS-CI) and Special Agent in Charge Leslie DeMarco for the Federal Housing Finance Agency’s Office of Inspector General (FHFA-OIG). Shahid is the most recent and highest placed individual charged by the U.S. Attorney’s Office of the Northern District of California as a result of a wide-ranging investigation by the FBI into mortgage fraud in connection with the sale of homes by DSI and its affiliates.
Shahid was the president of DSI, which was the sales arm of affiliated residential construction companies, including Discovery Home Builders and Albert D. Seeno Construction Co. According to Shahid’s plea agreement that was unsealed today, DSI was created to sell new homes built by Discovery Builders Inc. (DBI), Albert D. Seeno Construction Co. Inc. (AD Seeno) and other entities affiliated with Albert Seeno III and the Seeno family. The homes were built in developments throughout the East Bay Area, including in Contra Costa and Alameda Counties.
In connection with his plea agreement, Shahid admitted that he conspired with others to fraudulently cause bank underwriters to approve mortgage loans for unqualified buyers during the height of the financial crisis. From 2006 to 2008, when Shahid was DSI’s vice president, buyers with little or no money of their own were induced to purchase homes at prices that were inflated through the use of financial incentives. The buyers were not required to possess or post any of their own money when buying a home; DSI, the builders and their affiliates provided money to buyers to make down payments. Further, DSI inflated the sale price of the new homes by offering significant cash and other incentives to new home buyers. The primary purpose of the price inflation was to support a large line of credit maintained by the builders; the new homes and the property on which the homes would be built collateralized the line of credit.
Shahid’s plea agreement explained that it was important to the scheme to maintain inflated property values because if the home and property values dropped, the value of the collateral would drop and the line of credit would be put at risk. Specifically, the line of credit could be reduced or terminated, or additional collateral would be required to secure the line of credit. This is what has become known as a “builder bailout” scheme.
Shahid’s plea agreement also explains that DSI made loans that were secured by homes that were in some cases worth less than the loan amount and that DSI did not make an effort to determine the true value of these homes. Shahid admitted he and others took steps to ensure information that would reflect poorly on the value of the homes was kept out of bank loan files. Specifically, Shahid ensured the details of the incentives that were being given to specific buyers would not appear in the bank loan files because the loan-to-value ratio would not support the requested loan on the inflated sales price of the home. If the incentives appeared in the bank loan files, Shahid explained, the loan underwriters would likely reject the loans. Accordingly, Shahid instructed DSI employees not to inform appraisers of the incentives being given to buyers.
Over 325 Seeno and Discovery homes during the period of 2006 to 2008 involved the use of incentives, amounting to sales in excess of $200 million. Shahid agreed that the losses that resulted from foreclosures or short sales on these homes were approximately $75 million; Fannie Mae and Freddie Mac, which purchased mortgage loans used to pay for Seeno and Discovery Homes, lost almost $3.5 million.
Shahid was charged in April 2014 with one count of bank fraud conspiracy and 17 individual counts of bank fraud. Pursuant to the plea agreement, he pleaded guilty to the lead conspiracy count, which encompassed the conduct alleged in the remaining counts.
“Shahid and his coconspirators were responsible for saddling the banking system with dozens of fraudulent mortgage loans without regard for the damage those loans would cause to individual home buyers, downstream investors, and, ultimately, the U.S. economy as a whole,” said U.S. Attorney Haag. “Shahid fraudulently inflated the price of homes purchased by individuals who were unable to pay their mortgages in the long run. By doing this to serve their own narrow economic interests, Shahid, and actors like him, contributed to the housing bubble.”
“The actions of Ayman Shahid, certain sales managers and others directly contributed to one of the most significant housing and financial crises of recent memory,” said Special Agent in Charge Johnson. “While this case was extremely complex, the FBI and Department of Justice built this case, brick by brick, from low-level employees all the way up to the president of the company. We will continue to pursue executives and corporations who fraudulently took advantage of the country's financial turmoil for their own corporate gain.”
“Shahid participated in a fraudulent scheme involving over $230 million in mortgage loans, many of which ultimately defaulted, to the detriment of Fannie Mae, Freddie Mac and the American taxpayers,” said Special Agent in Charge DeMarco. “We are proud to support our law enforcement partners in investigating and prosecuting this case.”
Carey Hendrickson and Jason Sterlino, sales managers for Seeno properties, were previously charged. Former Bank of America loan officer Jennifer Xiao, Homecomings Financial underwriter Tony Phan and independent brokers Sharon Wang, Heather Yin, Miguel Arenas, George Zevada and Chang Park were also charged as participants in the scheme. All of these defendants have pleaded guilty pursuant to cooperation agreements with the government, except Xiao, who is a fugitive.
Because Shahid is cooperating with the ongoing FBI investigation, a sentencing date has not yet been scheduled. Shahid is next scheduled to appear in court for a status hearing on Dec. 10, 2015, at 3:00 p.m. PST before U.S. District Judge Yvonne Gonzalez-Rogers of the Northern District of California. The maximum penalty for conspiracy to commit bank fraud is 30 years in prison, a fine of $1 million or twice the gain or loss and restitution to be decided by the court. However, any sentence would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence.
The case is being prosecuted by the U.S. Attorney’s Office in San Francisco’s Special Prosecutions Unit. The prosecution is the result of an investigation by the FBI, with assistance from IRS-CI and FHFA-OIG.
Former President of Bay Area Home Builder Pleads Guilty to Mortgage Fraud ConspiracyRead the Press Release
SAN FRANCISCO – Ayman Shahid, the former president of Discovery Sales, Inc. (DSI), pleaded guilty in federal court in Oakland to conspiracy to commit bank fraud announced U.S. Attorney Melinda Haag, Federal Bureau of Investigation Special Agent in Charge David J. Johnson, Internal Revenue Service Criminal Investigation Acting Special Agent in Charge (IRS-CI) Thomas McMahon, and Federal Housing Finance Agency Office of Inspector General (FHFA-OIG) Special Agent in Charge Leslie DeMarco. Shahid is the most recent and highest placed individual charged by the Northern District of California U.S. Attorney’s Office as a result of a wide-ranging investigation by the FBI into mortgage fraud in connection with the sale of homes by DSI and its affiliates.
Shahid, 39, of Danville, Calif., was the president of DSI, which was the sales arm of affiliated residential construction companies, including Discovery Home Builders and Albert D. Seeno Construction Co. According to Shahid’s plea agreement unsealed today, DSI was created to sell new homes built by Discovery Builders, Inc. (“DBI”), Albert D. Seeno Construction Co., Inc. (“AD Seeno”), and other entities affiliated with Albert Seeno III and the Seeno family. The homes were built in developments throughout the East Bay Area, including in Contra Costa and Alameda Counties.
In connection with his plea agreement, Shahid admitted he conspired with others to fraudulently cause bank underwriters to approve mortgage loans for unqualified buyers during the height of the financial crisis. From 2006 to 2008, when Shahid was DSI’s vice president, buyers with little or no money of their own were induced to purchase homes at prices that were inflated through the use of financial incentives. The buyers were not required to possess or post any of their own money when buying a home; DSI, the builders, and their affiliates provided money to buyers to make down payments. Further, DSI inflated the sale price of the new homes by offering significant cash and other incentives to new home buyers. The primary purpose of the price inflation was to support a large line of credit maintained by the builders; the new homes and the property on which the homes would be built collateralized the line of credit.
Shahid’s plea agreement explained that it was important to the scheme to maintain inflated property values because if the home and property values dropped, the value of the collateral would drop and the line of credit would be put at risk. Specifically, the line of credit could be reduced or terminated, or additional collateral would be required to secure the line of credit. This is what has become known as a “builder bailout” scheme.
Shahid’s plea agreement explains that DSI made loans that were secured by homes that were in some cases worth less than the loan amount and that DSI did not make an effort to determine the true value of these homes. Shahid admitted he and others took steps to ensure information that would reflect poorly on the value of the homes was kept out of bank loan files. Specifically, Shahid ensured the details of the incentives that were being given to specific buyers would not appear in the bank loan files because the loan-to-value ratio would not support the requested loan on the inflated sales price of the home. If the incentives appeared in the bank loan files, Shahid explained, the loan underwriters would likely reject the loans. Accordingly, Shahid instructed DSI employees not to inform appraisers of the incentives being given to buyers.
Over 325 Seeno and Discovery homes sold during the period 2006 – 2008 involved the use of incentives, amounting to sales in excess of $200 million. Shahid agreed that the losses that resulted from foreclosures or short sales on these homes were approximately $75 million; Fannie Mae and Freddie Mac, which purchased mortgage loans used to pay for Seeno and Discovery Homes, lost almost $3.5 million.
Shahid was charged in April 2014 with one count of bank fraud conspiracy, in violation of 18 U.S.C. § 1349 and 17 individual counts of bank fraud, in violation of 18 U.S.C. § 1344. Pursuant to the plea agreement, he pleaded guilty to the lead conspiracy count, a violation of 18 U.S.C. §§ 1344 and 1349, which encompassed the conduct alleged in the remaining counts.
Shahid and his coconspirators were responsible for saddling the banking system with dozens of fraudulent mortgage loans without regard for the damage those loans would cause to individual home buyers, downstream investors, and, ultimately, the U.S. economy as a whole,” commented U.S. Attorney Melinda Haag. “Shahid fraudulently inflated the price of homes purchased by individuals who were unable to pay their mortgages in the long run. By doing this to serve their own narrow economic interests, Shahid, and actors like him, contributed to the housing bubble.”
FBI Special Agent in Charge David J. Johnson said, “The actions of Ayman Shahid, certain sales managers and others directly contributed to one of the most significant housing and financial crises of recent memory. While this case was extremely complex, the FBI and Department of Justice built this case, brick by brick, from low-level employees all the way up to the president of the company. We will continue to pursue executives and corporations who fraudulently took advantage of the country's financial turmoil for their own corporate gain.”
Special Agent in Charge Leslie DeMarco stated, “Shahid participated in a fraudulent scheme involving over $200 million in mortgage loans, many of which ultimately defaulted, to the detriment of Fannie Mae, Freddie Mac and the American taxpayers. We are proud to support our law enforcement partners in investigating and prosecuting this case.”
Sales managers for Seeno properties who have been previously charged are Carey Hendrickson and Jason Sterlino. Former Bank of America loan officer Jennifer Xiao, Homecomings Financial underwriter Tony Phan, and independent brokers Sharon Wang, Heather Yin, Miguel Arenas, George Zevada, and Chang Park were also charged as participants in the scheme. All of these defendants have pleaded guilty pursuant to cooperation agreements with the government, except Xiao who is a fugitive.
Because Shahid is cooperating with the on-going FBI investigation, a sentencing date has not yet been scheduled. Shahid is next scheduled to appear in court for a status hearing on December 10, 2015, at 3:00 pm before Judge Yvonne Gonzalez-Rogers. The maximum penalty for conspiracy to commit bank fraud is 30 years in prison, a fine of $1,000,000 or twice the gain or loss, and restitution to be decided by the court. However, any sentence would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The case is being prosecuted by the Special Prosecutions Unit of the United States Attorney’s office in San Francisco. The prosecution is the result of an investigation by the FBI, with assistance from IRS-CI and FHFA-OIG.
Former Pastor of Louisville Parish Charged with Viewing Child Pornography over the InternetRead the Press Release
LOUISVILLE, Ky. – The former pastor of a Louisville, Kentucky parish was charged by criminal complaint with knowingly accessing material with intent to view images of child pornography during 2015, on two computers located in the office and rectory of St. Margaret Mary Parish, located at 7813 Shelbyville, Road in Louisville, announced United States Attorney John E. Kuhn, Jr.
Stephen Pohl, age 57, of Louisville, was charged by criminal complaint on August 21, 2015. The complaint, affidavit and warrant were unsealed this morning by United States Magistrate Judge Dave Whalin. Pohl is scheduled for an Initial Appearance on the charge today, before U.S. Magistrate Judge Anthony Porcelli, at 2:00 p.m., in United States District Court located in Tampa, Florida.
Law enforcement executed two federal search warrants on August 12, 2015, in the work and living areas used by Pohl in the parish office and rectory. Subsequently, a warrant for Pohl’s arrest was issued Friday, August 21, 2015. FBI Tampa Division, Pinellas Resident Agency and the Pinellas County Sheriff’s Office arrested Pohl in Indian Rocks Beach, Florida, Friday evening, August 21, 2015. Pohl was then held at the Pinellas County Jail until his transfer to the United States Marshal’s custody today.
The specific charge is knowingly accessing with intent to view material that contained an image of child pornography that had been transported using any means or facility of interstate commerce and foreign commerce by any means including by computer.
If convicted, Pohl faces maximum potential penalties of 10 years in prison, a $250,000.00 fine and at least five years of Supervised Release.
This case is being prosecuted by Assistant United States Attorney Jo E. Lawless and is being investigated by the Federal Bureau of Investigation’s Child Exploitation Task Force and the Louisville Metro Police Department’s Crimes Against Children Unit.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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The charging of a person by a Criminal Complaint is an accusation only and that person is presumed innocent until and unless proven guilty.
Florida Man Sentenced for Fraud Scheme Against M&T BankRead 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 Frank Garcia, 54, of Florida, who was convicted of fraud affecting a financial institution, was sentenced to 87 months in prison by U.S. District Judge Richard J. Arcara. The defendant was also ordered to pay restitution totaling $10,609,903.92 of which approximately $2,500,000 million will be paid to M&T Bank.Assistant U.S. Attorney Trini E. Ross, who is handling the case, stated that the defendant is the former owner of Federal Guaranty Mortgage Company in the State of Florida. Garcia recruited “straw buyers” to obtain mortgages from M&T Bank and other financial institutions then misrepresented their assets and liabilities, failed to record the liens on the properties in the county clerk=s office and failed to pay off pre-existing liens on the properties when they were transferred from one owner to another.
Furthermore, the defendant directed employees of Federal Guaranty Mortgage Company to prepare loan packages for borrowers. The employees were then directed to sign the documents acting as the loan officer. The loan documents were then sent to the investor financial institutions, including M&T Bank. The loan proceeds for the fraudulent loans were subsequently wired into the account of a company associated with Federal Guaranty Mortgage Company.
Ignacio Huergo, 44, of Florida, an employee of Federal Guaranty Mortgage Company, was convicted of concealing massive financial institution fraud and sentenced to two years probation with six months to be served on home confinement. He was also ordered to pay restitution in the amount of $736,254.25 to M&T Bank.
The sentencing is the culmination of an investigation on the part of Special Agents of the Agency Federal Bureau of Investigation.Five Defendants Pay over $8 Million to Resolve Civil Fraud Allegations That They Billed Medicare and Medicaid for Unlicensed and Unnecessary Inpatient Detoxification ServicesRead the Press Release
Kelly T. Currie, Acting United States Attorney for the Eastern District of New York, and Scott J. Lampert, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General’s New York Region (HHS-OIG), today announced that three New York hospitals, Benedictine Hospital, Columbia Memorial Hospital, and St. Joseph’s Medical Center, together with SpecialCare Hospital Management Corporation (SpecialCare), a Missouri-based company, and SpecialCare’s chief executive officer, Robert McNutt, had agreed to pay over $8 million to resolve claims that they had defrauded the Medicare and Medicaid programs in connection with detoxification treatment provided to patients at the hospitals.
The settlements resolved claims brought jointly by the United States and the New York State Attorney General’s Medicaid Fraud Control Unit that the defendants operated inpatient drug and alcohol detoxification programs under the name "New Vision" without having received licenses from the New York State Office of Alcoholism and Substance Abuse Services. Because the programs were unlicensed, the hospitals were not entitled to bill Medicare and Medicaid for treatment provided to patients. The government also alleged that two of the hospitals, Columbia Memorial and St. Joseph’s, paid SpecialCare for patient referrals in violation of federal and state anti-kickback statutes. Additionally, the government claimed that services provided to New Vision patients were not medically necessary. The period covered by the government’s allegations spanned 2002-2006.
The government=s claims arose from an investigation of allegations made in suits filed by private individuals pursuant to the False Claims Act, 31 U.S.C. '' 3729-33, United States ex rel. Mathew I. Gelfand, M.D. v. SpecialCare Hospital Management Corp., et al., Civil Action
No. 02-CV-6079, and United States ex rel. Montaperto v. New Parkway Hospital, et al., Civil Action No. 05-CV-491. United States District Judge Leonard D. Wexler presided over the two cases and approved each of the settlements announced today, including the settlement with St. Joseph’s Hospital which was entered on August 14, 2015. Under the terms of their agreement with the government, SpecialCare and McNutt agreed to pay $6 million and to be enjoined from doing business with any Medicaid or Medicare provider in New York State for five-years. SpecialCare and McNutt also entered into a Corporate Integrity Agreement with the United States Office of Inspector General of the Department of Health and Human Services. Pursuant to separate agreements, Benedictine Hospital paid $880,000; St. Joseph’s Medical Center paid $600,000, and Columbia Memorial Hospital paid $650,000. These settlements bring the total recovery from the government’s investigation into SpecialCare and hospitals with New Vision programs to over $25 million. Previously, New York Downtown Hospital and Our Lady of Mercy Medical paid $13.4 million and $4.5 million, respectively, to resolve the government’s civil fraud claims.
“Health care providers must understand that they cannot bill Medicare or Medicaid for unlicensed or otherwise unauthorized care. These practices are not only fraudulent, but inflate the cost of health care in general," stated Acting United States Attorney Currie. “Those who defraud and jeopardize the nation=s vital, federally-funded health care programs will be held fully accountable." Mr. Currie thanked New York State Attorney General Eric Schneiderman and his staff, including Acting Director of the New York Medicaid Fraud Control Unit Amy Held and Principal Auditor Investigator Margaret McArdle, for their partnership in investigating the case.
“Health care providers will be held accountable for the quality of care they deliver and the manner in which that care is provided,” said HHS-OIG Special Agent in Charge Lampert. “This settlement is another example of HHS-OIG’s commitment to protecting the federally funded health care programs intended for our most vulnerable individuals.”
The United States’ investigation was handled by Assistant U.S. Attorney Richard K. Hayes, with assistance from Affirmative Civil Enforcement Auditor Emily Rosenthal.
Final Defendant Sentenced in Savannah Drug Trafficking CaseRead the Press Release
SAVANNAH, GA - Telly Savalas Riley, a/k/a KoJak, 39, from Crescent, Georgia was sentenced last week by United States District Judge William T. Moore, Jr. to 146 months in prison for his role in a large-scale drug trafficking organization. Defendant Riley was the last of 22 defendants sentenced for running a drug-trafficking organization that operated out of Savannah, Atlanta, South Carolina and elsewhere.
The two-year investigation of this case was conducted by the Organized Crime Drug Enforcement Task Force (OCDETF) and involved the use of court-authorized wiretaps, undercover purchases of cocaine and search warrants. Agents with the DEA, Chatham County-Narcotics Team (CNT), Beaufort County South Carolina Sheriff’s Department, and the South Carolina Law Enforcement Division worked the joint investigation. During the investigation, agents seized cocaine with an estimated street value of $1.5 million, marijuana with an estimated street value of $50,000, over $300,000 in cash and numerous automobiles. Additionally, agents seized 10 firearms from convicted felons.
The 21 other defendants convicted in this case included:
Grilly Holloway, Jr, a/k/a “Cheese,” a/k/a “Grill Cheese,” of Savannah, Georgia, was sentenced to 121 months incarceration;
Rashawn Ahamd Stewart, a/k/a “Black,” a/k/a “Magic,” a/k/a “Black Magic,” a/k/a “Smokey,” a/k/a “Spot,” of Savannah, Georgia, was sentenced to 128 months of incarceration;
Steven Patrick McCoy, a/k/a “Patche,” a/k/a “Scratch,” a/k/a “Lil Pat,” a/k/a “Project,” of Savannah, Georgia, was sentenced to 121 months of incarceration;
Jack Lee Brown, a/k/a “Smooth,” of Savannah, Georgia, was sentenced to 112 months of incarceration;
Anthony Dether Aaron, a/k/a “The Tire Doctor,” a/k/a “Joe Jizzle,” a/k/a “Jizzleasy,” of Savannah, Georgia, was sentenced to 120 months of incarceration;
Leonard Anthony Kennedy, a/k/a “Jamal Harris,” a/k/a “Bernard Anthony Gramm,” of Savannah, Georgia, was sentenced to 127 months of incarceration;
Jarvis King, a/k/a “Jeezy,” a/k/a “Anthony Jarvis King,” a/k/a “Anthony Heyward,” a/k/a “Timothy Monroe Hughes, a/k/a “Ghost,” of South Carolina, was sentenced to 57 months of incarceration;
Chad F. McCoy, a/k/a “Feezy,” of Atlanta, Georgia, was sentenced to 46 months of incarceration;
Michael J. Singleton, a/k/a “Cheese,” of Savannah, Georgia, was sentenced to 92 months of incarceration;
Dyshawn J. Beasley, a/k/a “Aubrey Beasley,” of Savannah, Georgia, was sentenced to 40 months incarceration;
Leroy Chisolm, a/k/a “Fats,” of Savannah, Georgia, was sentenced to 151 months incarceration;
Ron B. Allen, a/k/a “Ron Low,” of Savannah, Georgia, was sentenced to 51 months incarceration;
Ricardo J. Crawford, a/k/a “Rico,” of Savannah, Georgia, was sentenced to 12 months incarceration;
Jawyanna P. Pringle, a/k/a “Jiggie,” of Savannah, Georgia, was sentenced to 78 months incarceration;
Joseph Medlock, a/k/a “Poochie Medlock,” of South Carolina, was sentenced to 77 months incarceration;
Michael L. Bostic, a/k/a “Mike B,” of Savannah, Georgia, was sentenced to 48 months of incarceration;
Edward L. Williams, of Crescent, Georgia, was sentenced to 9 months of incarceration;
George Moran, of Crescent, Georgia, was sentenced to 52 months of incarceration;
Willie Jones, of Savannah, Georgia, was sentenced to 151 months of incarceration;
James Wright, of Savannah, Georgia, was sentenced to 71 months of incarceration; and,
Earnest Edwards, of Savannah, Georgia, was sentenced to 160 months of incarceration.
The case was prosecuted by Assistant United States Attorneys Greg Gilluly, Jr. and Karl Knoche. The lead investigators in this case were DEA Special Agent Michael Sarhatt and CNT Agent David Arbizo.
Federal Court Sentences Benton Harbor Heroin Trafficker, Joseph Jackson, to 204 Months in PrisonRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney Patrick Miles announced today that Joseph Jackson, aka “Jo Jo,” the lead defendant of a nine defendant heroin distribution conspiracy centered in Benton Harbor, Michigan, was sentenced to 204 months (17 years) in prison. All nine defendants have been charged, convicted and sentenced in the Federal District Court for the Western District of Michigan. The Honorable Gordon J. Quist sentenced Jackson to also serve ten years of supervised release following his return to society from prison. Judge Quist noted that Jackson was “a major supplier of heroin in Benton Harbor,” and lamented the severe effect heroin was having in Michigan and throughout the country. “Heroin leads to death,” Judge Quist said.
U.S. Attorney Miles announced the sentence as the result of a joint investigation led by the Drug Enforcement Administration, Federal Bureau of Investigation, and Berrien County Sheriff’s Department. The investigation initially focused on two of the alleged conspiracy members and ultimately resulted in the charging of nine conspirators and the seizure of approximately 100 grams of heroin, several medical-grade fentanyl patches, a small amount of crack cocaine, and approximately $27,000 in alleged drug proceeds.
According to a 100-page affidavit filed in support of the federal arrests and search warrants in the case, the investigation revealed that Jackson lead a drug trafficking organization responsible for distributing between 50 and 65 grams of heroin per week in Benton Harbor from 2013 to the date of his arrest. Jackson, 44, of Benton Harbor, also known as “Jo Jo,” assigned responsibility for heroin acquisition and distribution to other individuals. As relayed in the complaint, Jackson acquired his heroin in Chicago, and then recruited others to transport it to Benton Harbor for him. Once in Benton Harbor, Jackson tasked others with the heroin’s storage and further distribution.
All nine defendants now have been sentenced. On June 11, 2015, the District Court sentenced Jacoby Ervin to 132 months’ imprisonment, Javel McElrath to 110 months’ imprisonment, and Antwon Peterson to 27 months’ imprisonment. On July 14, 2015, the Court sentenced Omar Osorio to 21 months’ imprisonment. On August 20, 2015, the Court sentenced Willie Tibbs Jackson to 54 months’ imprisonment, Johnny Green to 7 months’ imprisonment, followed by 5 months’ home confinement, Kyeisha Bennett, a courier for Jackson, to 1 day in custody and 2 years’ supervised release, and Tanisha Swift, another courier, to 68 days’ time served, to be followed by 4 months’ home confinement.
“This investigation is a prime example of the benefits of coordinated law enforcement efforts to root out organized drug trafficking in our district. The extraordinary cooperation among the DEA, FBI, Berrien County Sheriff’s Department, Berrien County Prosecuting Attorney’s office and Michigan State Police made these charges possible,” said U.S. Attorney Miles. “Heroin remains a plague upon our society. My office will continue to seek appropriate penalties for those who would profit from it,” he said.
U.S. Attorney Miles announced these sentences with Joseph P. Reagan, Special Agent in Charge of DEA’s Detroit Field Division of the Drug Enforcement Administration; and Paul M. Abbate, Special Agent in Charge of the FBI Detroit Field Office, Paul Bailey, Sheriff of Berrien County, and Michael J. Sepic, Berrien County Prosecuting Attorney.
Assistant U.S. Attorney Stephen P. Baker represented the United States in the case.
END
Fake Hospice Nurse Sentenced to 48 Months in Federal PrisonRead the Press Release
DALLAS — A Dallas woman who stole the identity of a registered nurse and used that identity to work at several Dallas-Fort Worth (DFW) area hospice companies, where she saw and purportedly treated 243 hospice patients, was sentenced this morning, announced U.S. Attorney John Parker of the Northern District of Texas.
Jada Necole Antoine, 34, was sentenced by U.S. District Judge David C. Godbey to 48 months in federal prison and ordered to pay $233,000.00 in restitution following her guilty plea in December 2014 to one count of fraud in connection with means of identification. She has been in custody since her arrest in July 2014 on a related criminal complaint filed in May 2014.
According to documents filed in the case, Antoine, who was not licensed as a physician, registered nurse, or other health care provider, stole a registered nurse’s driver’s license and social security card, and used that victim’s driver’s license, social security number, and other means of identification to obtain employment at eight different hospice companies in the DFW area, including Heart to Heart Hospice of Texas, Odyssey Healthcare GP, LLC, Community Hospice of Texas, Elysian Hospice, Hospice Pharmacy Solutions, New Century Hospice, Keystone Custom Care Hospice, and Silverado Senior Living Hospice.
Having fraudulently obtained employment as a registered nurse at Heart to Heart and Odyssey, Antoine had direct responsibility for patient care. She submitted documents to Heart to Heart and Odyssey that falsely indicated that care was provided to patients under her supervision by a registered nurse, namely the registered nurse whose identification she had stolen.
Antoine’s false statements, theft of the victim’s identity, and other fraudulent activity caused Heart to Heart, Odyssey and other hospice agencies to submit false claims for, and obtain reimbursement from, Medicare and Medicaid for hospice services provided to Medicare beneficiaries and Medicaid clients. From approximately January 2009 through April 20, 2012, approximately $800,000 in hospice claims were submitted to Medicare for services purportedly performed by Antoine while she was impersonating the victim registered nurse.
In its motion for upward departure and/or variance, which the Court granted in part, the government noted that Antoine victimized 243 hospice patients by depriving them of legitimate healthcare from a properly licensed individual. Records indicate Antoine treated patients who were mentally ill, comatose, asleep, and otherwise unresponsive to sound and touch, and in those instances, she made her own assessments of the patient’s pain and comfort levels, digestive function, and breathing. She was also involved in admitting patients onto hospice care where the focus changes from curative treatment to end-of-life palliative treatment. Antoine also victimized patients by violating their privacy in that the patients routinely revealed parts of their bodies to her for examination that they most likely would not have revealed had they known the truth about her lack of qualifications. She violated patients’ privacy by gaining access to patient charts and speaking with nursing home staff and patients’ family members. She further violated their privacy by gaining access to the patients’ detailed demographic information, which, according to the government’s motion, is particularly troublesome given her history of identity theft crimes.
Antoine received approximately $107,000 in compensation from the hospice agencies where she worked.
The FBI, Department of Health and Human Services Office of Inspector General, and the Texas Attorney General’s Medicaid Fraud Control Unit investigated. Assistant U.S. Attorney Douglas Brasher prosecuted.
# # #
El Departamento De Justicia Resuelve Una Denuncia De Discriminación Relacionada Con La Inmigración Contra Una Empresa De Embalaje De Carne Basada En NebraskaRead the Press Release
El Departamento de Justicia anunció hoy que ha llegado a un acuerdo con Nebraska Beef Ltd, una empresa de embalaje de carne con sede en Omaha, Nebraska. El acuerdo resolvió la investigación liderada por la Oficina del Consejero Especial para Prácticas Injustas en el Empleo Relacionadas a Inmigración (OSC, por sus siglas en inglés) para determinar si la compañía tenía prácticas laborales discriminatorias, en violación de la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés). En concreto, la OSC investigó si la empresa requería que sus empleados no ciudadanos estadounidenses, debido a sus estatus de ciudadanía, presentaran pruebas de su estatus migratorio para el proceso de verificación de su autorización para trabajar.
La investigación del departamento encontró que la empresa requirió únicamente a los que no eran ciudadanos estadounidenses –y no a sus homólogos que sí lo eran– que presentaran pruebas documentales específicas de sus estatus migratorio para verificar su autorización para trabajar. La disposición antidiscriminatoria de la INA prohíbe que los empleadores pidan documentos por motivos de ciudadanía o país de origen al verificar si un empleado cuenta con autorización para trabajar.
“El departamento se compromete a asegurar que los individuos que están autorizados para trabajar en los Estados Unidos puedan apoyar a sus familias y contribuir al crecimiento económico de nuestro país sin tener que enfrentarse a barreras innecesarias y discriminatorias al empleo,” declaró la Subprocuradora General Interina, Vanita Gupta, la cabeza de la División de Derechos Civiles. “Aplicaremos la Ley activamente para derrumbar tales barreras donde las hallemos y garantizar que los individuos afectados tengan una vía para buscar la rectificación de estas conductas.”
Conforme al acuerdo, Nebraska Beef Ltd, pagará una multa civil a los Estados Unidos que asciende a 200.000 $ y establecerá un fondo ilimitado de pagos retroactivos para indemnizar a los individuos en cuestión por concepto de los salarios que no percibieron debido a las prácticas de la empresa. Asimismo, el acuerdo requiere que la compañía se someta al control de conformidad durante dos años, capacite a sus empleados acerca de la disposición antidiscriminatoria de la INA y repase y revise sus políticas de oficina. Para más información sobre el fondo de pagos retroactivos o para presentar una reclamación por sueldos no percibidos, favor de llamar al 202-616-2603 o mandar un correo electrónico al [email protected].
La OSC tiene la responsabilidad de aplicar la disposición antidiscriminatoria de la INA. Entre otras cosas, la ley prohíbe la discriminación por motivos de estatus de ciudadanía o país de origen en la contratación, el despido o el reclutamiento o la referencia por comisión prácticas documentales injustas; las represalias o la intimidación. El caso lo investigaron las Abogadas Litigantes de la OSC de la División de Derechos Civiles, Katherine E. Lamm y Silvia Dominguez-Reese.
Para más información sobre protecciones contra la discriminación en el empleo bajo las leyes migratorias, llame a la línea directa de la OSC para trabajadores al 1-800-255-7688 (1‑800-237-2515, TTY para las personas con discapacidades auditivas); llame a la línea directa de la OSC para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para las personas con discapacidades auditivas); matricúlese para una conferencia en línea gratuita en www.justice.gov/crt/about/osc/webinars.php; mande un correo electrónico a [email protected] o visite la página web de la OSC en www.justice.gov/crt/about/osc.
Los postulantes o empleados que creen haber sido víctimas de discriminación por motivos de su ciudadanía, estatus migratorio o país de origen en la contratación, el despido o el reclutamiento o la referencia por comisión deberán llamar a la línea directa para trabajadores mencionada arriba y serán atendidos.
Nebraska Beef Settlement Agreement (720.79 KB)
Deming Man Sentenced to Five Years for Federal Methamphetamine Trafficking ConvictionRead the Press Release
ALBUQUERQUE – Anthony Perez, 41, of Deming, N.M., was sentenced this morning in federal court in Las Cruces, N.M., to 60months in prison followed by four years of supervised release for his methamphetamine trafficking conviction.
Perez was arrested on Feb. 20, 2014, on a two-count indictment charging him and co-defendants Rebecca Torres, 41, Matthew Peña, 30, both of Deming, N.M., and Robert Snow, now deceased, with distributing methamphetamine. Count 1 of the indictment charged Peña and Torres with distributing methamphetamine in Doña Ana County, N.M., on June 18, 2013, and Count 2 charged Peña, Snow and Perez with distribution of methamphetamine in Luna County, N.M., on July 3, 2013.
Perez and Peña both pled guilty to the indictment on May 14, 2014, without the benefit of plea agreements. Peña was sentenced on March 3, 2015, to 120 months in federal prison followed by five years of supervised release. Torres entered a guilty plea on April 18, 2014, and was sentenced on Aug. 28, 2014, to 10 months in federal prison.
This case was investigated by the Las Cruces office of the FBI and the New Mexico HIDTA Regional Interagency Drug Task Force (RIDTF)/Metro Narcotics Task Force. Assistant U.S. Attorneys Maria Y. Armijo and Anna R. Wright of the U.S. Attorney’s Las Cruces Branch Office prosecuted the case.
The HIDTA Metro Narcotics Task Force is comprised of officers from the Las Cruces Police Department and the Doña Ana County Sheriff’s Office. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
DOJ Files Settlement on Behalf of Federal Trade Commission Concerning Third Point's Violation of Premerger Notification RequirementsRead the Press Release
The Justice Department’s Antitrust Division, at the request of the Federal Trade Commission (FTC), filed a civil antitrust lawsuit today in U.S. District Court of the District of Columbia against Third Point LLC and three Third Point funds. At the same time, the department filed a proposed settlement that, if approved by the court, will settle the charges. Further details about this matter are described in the FTC’s press release issued today, and in the attached complaint and Competitive Impact Statement.
As required by the Tunney Act, the proposed settlement, along with the Competitive Impact Statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement during a 60-day comment period to Daniel P. Ducore, Special Attorney, United States, c/o Federal Trade Commission, 600 Pennsylvania Avenue, NW, Washington, DC 20580. At the conclusion of the 60-day comment period, the U.S. District Court of the District of Columbia may approve the proposed settlement upon finding that it is in the public interest.
Chicopee Man Charged with Receiving Child PornographyRead the Press Release
BOSTON – Victor Stepus, 47, of Chicopee, was charged on Friday, Aug. 21, 2015 in U.S. District Court in Springfield with one count of receipt of material involving the sexual exploitation of children.
On the morning of Aug. 21, 2015, federal agents executed a search warrant at Stepus’s residence where they seized a personal computer that contained over 8,000 images and 33 videos of child pornography. These included images that depicted the sexual abuse, including bondage, of girls as young as eight years old.
During an interview with federal agents, Stepus stated that for the past several years he used his home computer to access and download child pornography two to three times per week while his wife was at work. Stepus admitted that he is sexually attracted to 12 to 15 year old girls.
The charging statute provides a minimum mandatory sentence of five years and no greater than 20 years in prison, a minimum of five years and up to a lifetime of supervised release, and a fine of $250,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz and Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. The case is being prosecuted by Assistant U.S. Attorney Steven H. Breslow of Ortiz's Springfield Branch Office.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
The details contained in the charging document are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.
Chicago Woman Indicted for Stealing Identities of Nursing-Home Residents and Using Their Names to Claim Refunds from Fraudulent Tax ReturnsRead the Press Release
CHICAGO —A Chicago woman sought federal tax refunds through a series of fraudulent returns she filed in the names of other people, including a number of nursing-home residents who had no knowledge that their personal information was being used, according to a federal indictment announced today.
SHANTELL WINTERS, 28, prepared and electronically filed a dozen individual federal income tax returns that were made out in the names of actual persons whose identities she had acquired, according to the 16-count indictment. The returns claimed false amounts of income, deductions and losses, including phony wages, withholdings and education credits, the indictment states.
The scam lasted from late 2009 or early 2010 until the middle of 2012, according to the indictment, which was returned Thursday in federal court in Chicago.
Winters was charged with 12 counts of wire fraud, one count of filing a false claim against the United States, and three counts of identity fraud. An arraignment has been scheduled for Aug. 27, 2015, at 1:30 p.m. before U.S. District Judge Matthew F. Kennelly.
According to the indictment, some of the individuals knowingly allowed Winters to use their information to file returns and claim refunds in their names. However, several others - including certain residents of a nursing home facility - had no knowledge that their identities had been used in the scheme, according to the indictment. In addition to the personal information of the individuals, the indictment states that Winters also used the electronic identification numbers of corporate entities to create fraudulent W-2 Forms that purportedly had been issued by those businesses.
The indictment was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and Stephen Boyd, Special Agent in Charge of the Internal Revenue Service Criminal Investigation in Chicago.
Each wire fraud count carries a maximum sentence of 20 years in prison. The count of filing a false claim carries a maximum sentence of five years in prison, a $250,000 fine, and mandatory restitution. Each count of identity fraud is punishable by 5 years in prison. If convicted, the court must impose a reasonable sentence under federal sentencing statutes and the advisory United States Sentencing Guidelines.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
The government is being represented by Assistant U.S. Attorney Daniel W. Gillogly.
Indictment
Catholic Priest who Sexually Assaulted Female Passenger on Cross-Country Flight Sentenced to Federal PrisonRead the Press Release
LOS ANGELES – A Catholic priest who touched a woman’s breast, inner thigh and groin on an overnight cross-country airplane flight was sentenced today to one year – a term that will include six months in federal prison and six months of home confinement.
Marcelo De Jesumaria, 46, formerly of Lake Arrowhead and who currently resides in the high desert community of Valyermo, was sentenced this morning by United States District Judge Beverly Reid O’Connell.
Judge O’Connell, who also ordered the defendant to register as a sex offender, noted the “devastatingly negative impact” the crime had on the victim.
De Jesumaria was found guilty in May by a federal jury of abusive sexual contact, a federal felony offense that carries a statutory maximum sentence of two years in prison.
The evidence at trial showed that De Jesumaria was on a US Airways flight from Philadelphia to Los Angeles on August 17, 2014 when he moved to the last row of the aircraft after asking a flight attendant if could “sit next to his wife.” De Jesumaria took the middle seat, between a male in the window seat and the victim in the aisle seat. The victim slept through much of the flight, but she was awakened when she felt De Jesumaria’s hand on the top of her left leg near her groin, and then she felt him wrap his arm around her body and grab her breast. For a period of time, De Jesumaria had a tight grip on the woman, but when the grip relaxed, she got up and went to the bathroom. The victim used a call button to summon a flight attendant and reported that De Jesumaria had been touching her inappropriately.
The flight crew reseated De Jesumaria in the front of the plane in a seat between two male passengers, according to the testimony at trial. The captain of the airplane requested law enforcement meet the plane after it landed at Los Angeles International Airport. FBI agents subsequently interviewed De Jesumaria, who admitted that he enjoyed “cozy flights” with women.
The victim spoke at today’s sentencing hearing and described the “fear, frustration and anxiety” that the crime has caused. She said she is reminded of the “ordeal” every day, in part because she must regularly travel on airplanes for her job.
In papers filed in relation to today’s sentencing, prosecutors wrote that De Jesumaria’s “testimony at trial provided numerous bizarre explanations for his conduct and blamed the victim.” They wrote that De Jesumaria testified that he considered his touching of the victim was “consensual because she did not reject his touches and he interpreted her silence, because she was asleep, as ‘coyness.’”
The case against De Jesumaria was investigated by the Federal Bureau of Investigation.
Baltimore Man Exiled to 182 Years in Prison for Armed RobberiesRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Paul Chance, age 28, of Baltimore, today to 182 years in prison for conspiring to commit robbery, three counts of robbery, four counts of possessing and brandishing a firearm in furtherance of robbery, and being a felon in possession of a firearm. Judge Russell also entered an order that Chance pay restitution of $19,011.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Baltimore County State’s Attorney Scott Shellenberger; Interim Commissioner Kevin Davis of the Baltimore Police Department; Baltimore City State’s Attorney Marilyn Mosby; Anne Arundel County Police Chief Tim Altomare; and Anne Arundel County State’s Attorney Wes Adams.
“Paul Chance will spend the rest of his life in federal prison, and many other Baltimore criminals who are caught with a gun will join him,” said U.S. Attorney Rod J. Rosenstein. “The defendant’s first adult conviction was for armed robbery at age 18, and he only stopped committing armed robberies when he was behind bars.”
According to evidence presented during his six day trial, on March 29, 2013, Chance and co-defendant Sharmaine Diggs brandished semi-automatic handguns at the owner of the Ashland Café on York Road in Cockeysville, Maryland. They forced the owner inside his business and bound his hands with duct tape. They threatened to shoot him if he did not provide money, and pistol-whipped him. The defendants took $4,000 and a .45 caliber weapon that was in the kitchen safe, and another $15,000 from a downstairs safe. The robbers then forced the owner into the walk-in freezer, and left.
According to trial testimony, Chance, armed with a firearm, also robbed the following businesses: Pizza Hut on Annapolis Road in Severn, Maryland on April 7, 2013; the Hobbit Liquor Store on Bowleys Lane in Baltimore on April 26, 2013; and attempted to rob the Olive Garden on Perry Hall Boulevard in Baltimore on April 29, 2013. The jury also found that on April 19, 2013, Chance possessed a semi-automatic rifle and a pump action shotgun. Because of a prior felony conviction, Chance was prohibited from possessing a firearm.
Sharmaine Christopher Diggs, age 35, of Baltimore, previously pleaded guilty to his participation in the March 29, 2013 robbery, as well as an additional, subsequent attempt to rob the same cafe. Judge Russell sentenced Diggs to 20 years in prison and entered an order that Diggs pay restitution of $19,000.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore City, Baltimore County and Anne Arundel County Police Departments and Baltimore City, Baltimore County and Anne Arundel County State’s Attorney’s Offices for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Bonnie S. Greenberg and Patricia C. McLane, who prosecuted the case.
Another Man Pleads Guilty in FBI Investigation into Drug Dealing and Violence in HomewoodRead the Press Release
PITTSBURGH – An Allegheny County resident pleaded guilty in federal court to a charge of conspiracy to possess with intent to distribute and distribute a quantity of cocaine, United States Attorney David J. Hickton announced today.
Damian Petty, 52, of Verona, Pa., pleaded guilty to one count before United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that in 2013, the Federal Bureau of Investigation and other agencies joined forces in a multi-agency wiretap investigation of drug trafficking and violence in the Homewood section of Pittsburgh. The interception of wire and electronic communications began in December 2013 and continued through the end of August 2014. During that timeframe, Damian Petty was intercepted over the wire conspiring with others to possess with intent to distribute and distribute cocaine, which was shipped from California to the Western District of Pennsylvania through the United States Postal Service or commercial carrier.
Judge Hornak scheduled sentencing for Dec. 16, 2015. The law provides for a maximum sentence of 20 years in prison, a fine of not more than $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued the defendant’s detention.
Assistant United States Attorney Tonya Sulia Goodman is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Greater Pittsburgh Safe Street Task Force, Wilkinsburg Police Department, Allegheny County Sheriff’s Office, Pennsylvania Office of the Attorney General, Munhall Police Department, Duquesne Police Department, Monroeville Police Department, Allegheny County Police Department, West Mifflin Police Department, Bellevue Police Department, and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Damian Petty.
Friday 21 August 2015
Wethersfield Woman Admits Stealing $1.7 Million from Computer Software CompanyRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PENNY ROY, 44, of Wethersfield, pleaded guilty today before U.S. Magistrate Judge Joan G. Margolis in New Haven to tax and wire fraud charges stemming from her theft of nearly $1.7 million from a Connecticut-based computer software company.
According to court documents and statements made in court, ROY used her position as the software company’s payroll manager to insert her own bank account information into the profiles of other employees. She then processed fraudulent expense reimbursements and payroll payments in the other employees’ names, with the payments flowing into her own bank account. ROY was fired after the company discovered fake expense reimbursements she had processed in her own name. In all, ROY stole almost $1.7 million. To hide her theft, ROY failed to declare the stolen money on her tax returns, depriving the Internal Revenue Service of just under $500,000 in tax revenues.
ROY is scheduled to be sentenced by Senior U.S. District Judge Warren W. Eginton in Bridgeport on November 17, 2015, at which time she faces a maximum term of imprisonment of 23 years.
This matter is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Avi M. Perry.
Violent Felon Sentenced to Serve 32 Years in Federal Prison for Carjacking School Bus DriverRead the Press Release
BATON ROUGE, LA –United States Attorney Walt Green announced today that United States District Judge Shelly Dick sentenced JOCK R. JONES, 38, formerly of Baton Rouge, Louisiana, for carjacking an East Baton Rouge Parish School System school bus driver, using a firearm in furtherance of the carjacking, and being a felon in possession of a firearm.
On July 24, 2014, JONES was indicted by a federal grand jury and charged with one count of possession of a firearm by a convicted felon in violation of Title 18, United States Code, Section 922(g)(1), carjacking in violation of Title 18, United States Code, Section 2119(1), and using and carrying a firearm during a crime of violence in violation of Title 18, United States Code, Section 924(c)(1)(A)(ii).
On February 2, 2015, JONES entered a plea of guilty to Count One of the Indictment, which charged him with possession of a firearm by a convicted felon. JONES proceeded to trial before Judge Dick on the remaining two counts. After receiving all of the evidence presented by both parties, the Court found the defendant guilty of Counts Two and Three.
At trial, the evidence showed that, on the morning of April 14, 2014, JONES attacked an East Baton Rouge Parish School System bus driver outside her home and, at gunpoint, forced the woman to drive her school bus from her home to another location. While forcing the woman onto the bus, JONES pointed his gun at the woman’s two children and threatened to kill them if they called the police.
At today’s sentencing, JONES was sentenced to a term of 10 years imprisonment as a result of his conviction for possession of a firearm by a convicted felon and an additional 15 years for his carjacking conviction, each of which will be followed by a mandatory, consecutive sentence of 7 years for using a firearm during the commission of a crime of violence. In all, JONES was sentenced to serve a total of 384 months in the custody of Bureau of Prisons. JONES was also sentenced to pay $540 restitution to the victim of the carjacking, a $300 special assessment, and to forfeit all property involved or used in the commission of the crimes.
U.S. Attorney Green stated: “This defendant, and other violent felons, undermine the safety of our communities and must be held accountable. Today’s sentence does just that. Our communities are now safer without this defendant on the streets. I greatly appreciate the work of the prosecutors, the ATF, and the Baton Rouge Police Department on this important matter.”
This matter was handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the Baton Rouge Police Department. The case is being prosecuted by Assistant United States Attorneys Rene I. Salomon and Jessica M.P. Thornhill.
Upstate New York Man Convicted for his Role in Attempting to Develop Lethal Radiation DeviceRead the Press Release
Jury Finds Glendon Scott Crawford Guilty on All Counts Following a Five-Day Trial
A jury convicted Glendon Scott Crawford, 51, of Galway, New York, today after a five-day trial on all charges relating to his efforts to build a weapon of mass destruction.
Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Richard S. Hartunian of the Northern District of New York and Special Agent in Charge Andrew W. Vale of the FBI’s Albany, New York, Division made the announcement.
Crawford was convicted of attempting to produce and use a radiological dispersal device and conspiring to use a weapon of mass destruction, which carries a maximum sentence of life in prison. Crawford was also convicted of distributing information relating to weapons of mass destruction, which carries a maximum sentence of 20 years in prison. He also faces a $2 million fine on the attempting to produce and use a radiological dispersal device charge, and a fine of $250,000 on the other two charges.
Sentencing is scheduled for Dec. 15, 2015, before Chief U.S. District Judge Gary L. Sharpe of the Northern District of New York.
Crawford is the first person to be found guilty of attempting to construct a radiological dispersal device, a statute Congress passed in 2004.
“Glendon Scott Crawford, a self-professed member of the Ku Klux Klan, was convicted of offenses relating to his deadly plan to use a radiological dispersal device to target unsuspecting Muslim Americans with lethal doses of radiation,” said Assistant Attorney General Carlin. “The National Security Division’s highest priority is counterterrorism, and we will continue to pursue justice against those who seek to perpetrate attacks on American soil.”
“Crawford is a terrorist motivated by bigotry and hate who would have used a weapon of mass destruction to kill innocent Muslim members of our community were it not for the good judgment of citizens who quickly alerted law enforcement to his diabolical plan and the outstanding work of the Albany FBI Joint Terrorism Task Force,” said U.S. Attorney Hartunian. “This case illustrates how we must remain vigilant to protect our community from would-be terrorists.”
“Today’s verdict is a testament to the tremendous efforts of our Joint Terrorism Task Force in uncovering Crawford’s plot and the dedication of the U.S. Attorney’s Office in bringing justice to an individual who sought to inflict terror and harm on our innocent citizens,” said Special Agent in Charge Vale. “This verdict is a victory for us all, but we must continue to remain observant; it is only with the assistance of our community members and law enforcement partners that we can be successful in thwarting these violent plots.”
In April 2012, the FBI received information that Crawford, who was employed as an industrial mechanic with General Electric in Schenectady, New York, had approached local Jewish organizations seeking people who might help him develop technology to be used against people whom he perceived to be enemies of Israel. During a 14-month investigation, the Albany FBI Joint Terrorism Task Force learned that Crawford was attempting to solicit funds to purchase, and then weaponize, a commercially available X-ray machine so that it could be used to injure or kill others by exposing them to lethal doses of radiation.
During the investigation, Crawford, with help from co-conspirator Eric J. Feight, took steps to design, acquire the parts for, build and test a remote initiation device that could have activated the radiation machine, and acquired the X-ray machine that he planned to modify into a weapon of mass destruction. The X-ray device that he planned to use had been modified so that Crawford could not have used it to hurt anyone.
Feight pleaded guilty on Jan. 22, 2014, to providing material support to terrorists. He is scheduled to be sentenced on Sept. 17, 2015, by Chief Judge Sharpe and faces up to 15 years of imprisonment.
Crawford, a self-professed member of the Ku Klux Klan, wanted to use the device against Muslims, and he scouted mosques in Albany and Schenectady and an Islamic community center and school in Schenectady as possible targets. Crawford also suggested the New York governor’s mansion as a potential target.
With undercover agents, Crawford discussed placing the radiological device within a van or truck, parking the vehicle near the entrance to the target location, and then remotely activating the device so that it would direct lethal doses of radiation at people coming in and out of the target location.
A central feature of Crawford’s completed X-ray device was that its targets would be exposed to dangerous and lethal doses of X-ray radiation without being aware of the exposure, the harmful effects of which would likely not be immediately apparent.
This case was investigated by the Albany FBI Joint Terrorism Task Force. This case is being prosecuted by Assistant U.S. Attorneys Stephen Green and Richard Belliss of the Northern District of New York, and Trial Attorney Joseph Kaster of the National Security Division’s Counterterrorism Section. The Justice Department’s Criminal Division also provided assistance.
Upstate New York Man Convicted for His Role in Attempting to Acquire A Lethal Radiation DeviceRead the Press Release
ALBANY, NEW YORK – A jury convicted Glendon Scott Crawford, 51, of Galway, New York, today after a 5-day trial on all charges relating to his efforts to acquire a weapon of mass destruction, announced United States Attorney Richard S. Hartunian of the Northern District of New York, Assistant Attorney General for National Security John P. Carlin, and Special Agent in Charge Andrew W. Vale of the Federal Bureau of Investigation, Albany Division.
Crawford was convicted of attempting to acquire and use a radiological dispersal device (count 1), conspiring to use a weapon of mass destruction (count 2), and distributing information relating to weapons of mass destruction (count 3). He faces at least 25 years of imprisonment on count 1, up to life on counts 1 and 2, and up to 20 years of imprisonment on count 3. He also faces a $2 million fine on count 1 and a fine of $250,000 on both counts 2 and 3.
Crawford is scheduled to be sentenced on December 15 at 9 a.m. by the Honorable Gary L. Sharpe, Chief United States District Judge for the Northern District of New York.
Crawford is the first person to be found guilty of attempting to acquire a radiological dispersal device, a statute Congress passed in 2004.
"Glendon Scott Crawford is a terrorist who would have used a weapon of mass destruction to kill innocent members of our Muslim community were it not for the good judgment of citizens who quickly alerted law enforcement to his diabolical plan and the outstanding work of the Albany FBI Joint Terrorism Task Force," said United States Attorney Richard S. Hartunian. "This case illustrates how vigilance, the shared values of Americans of all faiths, and vigorous investigation can defeat dehumanizing bigotry and hatred."
"Glendon Scott Crawford, a self-professed member of the Ku Klux Klan, was convicted of offenses relating to his deadly plan to use a radiological dispersal device to target unsuspecting Muslim Americans with lethal doses of radiation," said Assistant Attorney General Carlin. "The National Security Division’s highest priority is counterterrorism, and we will continue to pursue justice against those who seek to perpetrate attacks on American soil."
"Today’s verdict is a testament to the tremendous efforts of our Joint Terrorism Task Force in uncovering Crawford’s plot and the dedication of the U.S. Attorney’s Office in bringing justice to an individual who sought to inflict terror and harm on our innocent citizens," said Special
Agent in Charge Andrew W. Vale. "This verdict is a victory for us all, but we must continue to remain observant; it is only with the assistance of our community members and law enforcement partners that we can be successful in thwarting these violent plots."
In April 2012, the FBI received information that Crawford, who was employed as an industrial mechanic with General Electric in Schenectady, New York, had approached local Jewish organizations seeking people who might help him acquire a radiation-emitting device to be used against people whom he perceived to be enemies of Israel. During a 14-month investigation, the Albany FBI Joint Terrorism Task Force learned that Crawford was attempting to solicit funds to purchase, and then weaponize, a commercially-available industrial-grade X-ray device so that it could be used to injure or kill others by exposing them to lethal doses of radiation.
During the investigation, Crawford, with help from accomplice Eric J. Feight, took steps to design, acquire the parts for, build and test a remote initiation device that could have activated the radiation machine, and acquired (from an undercover FBI Agent) the X-ray device that he planned to modify into a weapon of mass destruction. The X-ray device that he planned to use had been modified so that Crawford could not have used it to hurt anyone.
Feight pleaded guilty on January 22, 2014 to providing material support to terrorists. He is scheduled to be sentenced on September 17, 2015 by Chief Judge Sharpe, and faces up to 15 years of imprisonment.
Crawford, a self-professed member of the Ku Klux Klan, wanted to use the device against Muslims, and he scouted mosques in Albany and Schenectady and an Islamic community center and school in Schenectady as possible targets. Crawford also suggested the Governor’s Mansion as a potential target.
With undercover agents, Crawford discussed placing the radiological device within a van or truck, parking the vehicle near the entrance to the target location, and then remotely activating the device so that it would direct lethal doses of radiation at people coming in and out of the target location.
A central feature of Crawford’s completed X-ray device was that its targets would be exposed to dangerous and lethal doses of X-ray radiation without being aware of the exposure, the harmful effects of which would likely not be immediately apparent.
This case was investigated by the Albany FBI Joint Terrorism Task Force, which includes FBI Special Agents as well as members of the New York State Police, U.S. Department of Homeland Security, Albany Police Department, Troy Police Department, and New York City Police Department.
This case is being prosecuted by Assistant United States Attorneys Stephen Green and Richard Belliss of the Northern District of New York, who represented the United States during the trial, and Counterterrorism Section Trial Attorney Joseph Kaster with support from the National Security Division and Criminal Division at the U.S. Department of Justice in Washington.
Two Mississippi Businessmen Charged with Bribery of Former Corrections CommissionerRead the Press Release
Jackson, Miss – Irb Benjamin, 69, of Madison, and Sam Waggoner, 61, of Carthage, were charged today with paying bribes and kickbacks to former Mississippi Department of Corrections Commissioner (MDOC) Christopher B. Epps in exchange for receiving contracts involving the MDOC and its operations, announced Acting United States Attorney Harold Brittain, FBI Special Agent in Charge (SAC) Donald Alway, IRS-Criminal Investigation Special Agent in Charge Jerome McDuffie, U.S. Postal Inspector Robert Wemyss, and Mississippi State Auditor Stacey Pickering.
Benjamin was charged in a three count indictment returned by a federal grand jury with conspiracy to commit honest services wire fraud and with two counts of bribery. According to the indictment returned against Benjamin, from some time in 2010 until September, 2014, Benjamin gave Epps bribes and kickbacks in exchange for Epps awarding or directing the awarding of MDOC contracts or work to Benjamin’s company, Mississippi Correctional Management (MCM), to provide alcohol and drug treatment services to inmates at MDOC work centers in Alcorn and Simpson Counties. MCM was paid about $774,000.00 as a result of those contracts.
The indictment alleges that Benjamin paid Epps for Epps’ help in getting MCM consulting contracts with Alcorn, Washington and Chickasaw Counties. Those contracts involved Benjamin providing consulting services during the construction and the subsequent operation of three regional corrections facilities. Benjamin purportedly provided consulting services to assist the regional corrections facilities in obtaining and maintaining accreditation by the American Correctional Association. The contract with Alcorn County paid MCM about $399,260.00; the contract with Washington County paid MCM about $245,080.00; and, the contract with Chickasaw County paid MCM about $217,900.00.
The indictment also alleges that Benjamin paid Epps monthly kickbacks from the consultant fees Benjamin received from Carter Gobal Lee Facility Management (CGL), after CGL obtained a contract in 2014 to provide maintenance services to MDOC facilities. Epps used his influence over CGL to get Benjamin the job as a consultant for CGL. The value of the CGL contract was $4,800,000.
Waggoner was charged by Criminal Information with one count of bribery related to his payments of bribes and kickbacks to Epps from sometime in 2012 until at least August 26, 2014. According to the Criminal Information, Waggoner was a consultant for Global Tel-Link (GTL), which provided telephone services at MDOC facilities. The Criminal Information cites two specific instances in 2014 where Waggoner paid Epps kickbacks from money Waggoner received from GTL as a consultant.
Harold Brittain, Acting U.S. Attorney in this case, stated: "The abuse of power and position by public officials has plagued our state for many years. Our tolerance for public corruption is zero. We will hold accountable under the law everyone who bears the responsibility of public service and sells the trust that has been bestowed upon them. We will not tolerate such fraud and abuses by public officials that have cost our citizens so dearly."
In commenting on this case, FBI SAC Donald Alway applauded the investigators and prosecutors, whose hard work and determined efforts revealed these additional participants in this conspiracy of public corruption, and led to the charges announced today. He added, “Our society will not tolerate bribery, kickbacks, or other ‘under-the-table’ deals. This is not just another cost of doing business with government. The FBI, working alongside its law enforcement partners, will use every appropriate tool and available resource to find, stop, and punish those who conspire to betray the public trust in order to enrich themselves.”
“Postal Inspectors bring to a task force unique skills for hunting down suspected fraud through the U.S. Mail,” said U.S. Postal Inspector in Charge Adrian Gonzalez. “Postal Inspectors steadfastly work with our partners and defend the nation’s mail system in hopes that criminals abusing the American public’s trust are brought to justice.”
Special Agent Jerome R. McDuffie, IRS – Criminal Investigation, stated: “This is a very important investigation to the state of Mississippi and all individuals who rely on the trust they instill in their public officials, whether elected or appointed. The extent to which Christopher Epps has damaged that trust will require as much effort to rebuild as it did to uncover. The Special Agents of IRS – Criminal Investigation remain committed to working with our law enforcement partners in uncovering public corruption at even the highest levels of government, as well holding accountable those individuals involved.”
“We will continue to fight public corruption in Mississippi and work with our partners,” said State Auditor Pickering. “Our agents and this team are working daily to identify and bring charges against all individuals associated with the Mississippi Department of Corrections case. I’d like to thank the U.S. Attorney’s Office, FBI, IRS, and the U.S. Postal Service for a joint effort in this ongoing case."
Both defendants are scheduled to make their initial appearances before U.S. Magistrate Judge F. Keith Ball on Friday, August 21, 2015, at 1:30 p.m. Waggoner faces a maximum penalty of 10 years in prison and a $250,000.00 fine, as well as forfeiture of the proceeds he obtained as a result of the illegal conduct. Benjamin faces a maximum penalty of 20 years in prison and a $250,000.00 fine for the conspiracy count, and a maximum of 10 years in prison and a $250,000.00 fine for each of the bribery counts. Benjamin also faces the forfeiture of his ill-gotten gains.
This case was investigated by the Federal Bureau of Investigation, U.S. Postal Inspection Service, Mississippi State Auditor’s Office and IRS Criminal Investigation. It is being prosecuted by Deputy Criminal Chief Darren LaMarca, Assistant United States Attorney Scott Gilbert, and financial analyst Kim Mitchell.Two Area Men Sentenced in Separate, but Similar Child Pornography CasesRead the Press Release
LAREDO, Texas – Two men who were residing in Laredo have been ordered to federal prison for possessing child pornography, announced U.S. Attorney Kenneth Magidson along with Special Agent in Charge James Spero of Homeland Security Investigations (HSI) and Webb County Sheriff Martin Cuellar.
Edmundo Cardenas, 23, a legal permanent resident, and Mexican national Luis Pena-Rios, 45, both resided in Laredo. Cardenas pleaded guilty May 6, 2015, while Pena-Rios entered his plea in August 2014.
Today, Senior U.S. District Judge George P. Kazen sentenced Cardenas to 40 months in federal prison, while Pena-Rios was ordered to serve a 84-month-term. Both men will also be required to register as a sex offender and are expected to face deportation proceedings following their release from federal prison.
“Our goal is to continue keeping a watchful eye on those that prey on our children,” said Cuellar. “These child predators will be caught and brought to justice.”
Pena-Rios and Cardenas were charged in separate, but similar cases. In January 2014, an investigator with the Webb County Sheriff’s Office (WCSO) conducted an undercover online operation trying to identify IP addresses sharing child pornography a peer-to-peer network. That investigation led to the discovery of two IP addresses which appeared to be sharing files of known child pornography. One was linked to Cardenas and his family, while the other was found to belong to a business address.
In March 2014, HSI agents executed a federal search warrant for the residential address associated with the first IP address. Four individuals were present at the residence and were interviewed by authorities, one of whom was Cardenas. He first denied any possession of child pornography, but soon recanted and admitted he began downloading child pornography several years ago. HSI agents seized electronics devices from Cardenas to include two laptops and a thumb drive. Forensic examination ultimately led to the discovery of a total of 41 video files on the laptops and several additional videos on a thumb drive, all containing child pornography.
In the latter case, HSI agents identified the business associated with the IP address suspected of sharing the pornographic images and executed a search warrant. There, agents interviewed the owner who reported that computers at the business had restricted Internet service because he did not want employees using it for personal purposes during business hours. However, he told agents that he and his brother, Pena-Rios, both used the Internet at the business. Agents then interviewed Pena-Rios who soon admitted to having downloaded child pornography from the Internet using the business laptop and then transferring the videos to his personal computer using thumb drives. Forensic examination revealed several still images and videos consistent with child pornography.
"By participating in these types of investigations, HSI special agents are helping to take child predators off the Internet, out of our communities and put them behind bars,” said Spero. “This sentence sends a clear message that there are serious consequences for those who exploit children in anyway. Targeting crimes of this nature is a high priority for HSI. We will continue to dedicate resources and work with our law enforcement partners to identify and bring to justice these individuals.”
Pena-Rios and Cardenas are in custody where they will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The arrests of Pena-Rios and Cardenas were a result of Operation Child Guardian, which was launched by the WCSO in 2009. The success of these investigations have put dozens of suspected child predators behind bars.
The prosecution is being brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Assistant U.S. Attorney Sonah Lee is prosecuting both cases.
Three Indicted for Supplying Unqualified Armed Guards to IRS Facilities in FresnoRead the Press Release
FRESNO, Calif. — A federal grand jury returned a 42-count indictment on Thursday against Scott L. Carlton, 46, of Visalia; Robert J. Bejarano, 46, of Kingsburg; and Matthew L. Cocola, 44, of Fresno, charging each defendant with conspiracy to defraud the government with respect to claims and false statements, United States Attorney Benjamin B. Wagner announced.
According to court documents, the IRS’s Fresno campus serves as national center for processing federal tax returns. Carlton and Bejarano were employees of E&A Protective Services, which had the government contract to supply 24-hour-a-day armed security guards to the IRS’s Fresno campus. Cocola was a certified firearms instructor doing business as Security Solutions of California & The Praetorian Diversified Institute in Clovis. When it became apparent that many of the guards could not achieve the firearms shooting score required under the contract, the indictment alleges that Carlton, Bejarano and Cocola conspired to falsify scores and supply unqualified guards to the IRS facilities. Over a three-year period, E&A was paid over $2 million on fraudulent invoices submitted to the IRS for security guards who were not qualified to work under that contract.
This case is the product of an investigation by the Treasury Inspector General for Tax Administration (TIGTA). Assistant United States Attorney Mark J. McKeon is prosecuting the case.
If convicted, each defendant faces a maximum statutory penalty of 10 years in prison and a $250,000 fine for conspiracy defraud the government with respect to claims, and five years in prison and a $250,000 fine on each count of false statements. 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; each defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Three Family Members in A Wheeling Chiropractic Group Indicted for Phony Billing and Unnecessary Treatment in $10.8 Million Fraud SchemeRead the Press Release
CHICAGO — A Wheeling chiropractor and his brother and father have been charged in a federal indictment with scheming to bill insurance carriers for treatment that was medically unnecessary or never performed.
DR. VLADIMIR GORDIN JR., along with his father, VLADIMIR GORDIN SR., and his brother, ALEXSANDER GORDIN, operated Gordin Medical Center S.C., a chiropractic group located at 350 E. Dundee Road in Wheeling. The trio used the company to falsely bill for medical services that weren’t provided, and fabricated their patients’ medical records to cover up the scam, according to the 21-count indictment returned yesterday in federal court in Chicago.
In some cases, patients knew of the overbilling and were incentivized to participate by having their deductibles met at no cost to them or by sharing in a portion of the overbilling proceeds via checks provided to them by the Gordins, according to the indictment. Over a six-year period, the Gordins’ scheme bilked insurance carriers out of more than $10.8 million, the indictment states.
Vladimir Gordin Jr., 45, of Northbrook, and Vladimir Gordin Sr., 68, of Riverwoods, are each charged with 18 counts of health care fraud and three counts of aggravated identity theft. Alexsander Gordin, 32, of Northbrook, is charged with 14 counts of health care fraud.
Two other defendants are also charged in the indictment: ALINA LEVIT, also known as “Alona” or “Aloyna,” who worked for Gordin Medical Center as the office manager; and MICHELLE KOBRAN, who owned and operated Ultrasound Mobile Service Ltd., in Vernon Hills.
Levit, 45, of Vernon Hills, assisted the Gordins with falsifying medical records and creating phony “sign in” sheets, which falsely represented that patients were physically present and received certain health-care services on a given day, when, in fact, no such treatment was rendered, according to the indictment. Levit is charged with 14 counts of health care fraud.
Kobran, 67, of Vernon Hills, billed insurance companies for medically unnecessary ultrasounds that were performed on patients referred to her company by the Gordins, according to the indictment. Kobran then kicked back a portion of the insurance proceeds to the Gordins, the indictment states. Kobran is charged with four counts of health care fraud.
From 2006 through approximately November 2012, Gordin Medical Center and Ultrasound Mobile Service submitted bills totaling $28,775,000, causing the carriers to pay $10,847,000, the indictment states.
All five defendants will be arraigned on future dates to be set in U.S. District Court in Chicago.
The indictment was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; John A. Brown, Acting Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; James Vanderberg, Special Agent-in-Charge of the U.S. Department of Labor’s Office of Inspector General in Chicago; and Antonio Gómez, Inspector in Charge of the U.S. Postal Inspection Service in Chicago.
The health care fraud counts carry a maximum penalty of ten years in prison and a $250,000 fine, while the aggravated identity theft counts are punishable by a maximum sentence of 20 years’ imprisonment and a statutory mandatory minimum sentence of two years, plus a $250,000 fine. If convicted, restitution is mandatory and the court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
The government is being represented by Assistant U.S. Attorney Heather McShain.
To report health care fraud, logon to: StopMedicareFraud.gov.
Indictment
Stockton Man Charged with Fraud in Auto Engine ScamRead the Press Release
SACRAMENTO, Calif. — Stockton resident John Steven Keplinger, 56, was charged today with five counts of mail fraud in connection with an auto parts scam, United States Attorney Benjamin B. Wagner announced.
According to court documents, from 2010 to 2014, Keplinger carried out a fraud scheme by purporting to sell used auto engines from Japan, but failing to provide customers what he promised. Over 300 paying customers across 44 states and the District of Columbia were defrauded. Keplinger used three companies and websites to carry out the fraud scheme: Rising Sun Engines Inc. (www.risingsunengines.com), Shop 4 Engines LP (shop‑4‑engines.com), and Your Parts Manager (yourpartsmanager.com). Most of the time, Keplinger’s customers paid by check sent via UPS. After Keplinger accepted payment, he either sent no engine at all or sent the customer a defective engine obtained in the United States, often from a junkyard. United States Customs and Border Protection records indicate that Keplinger had stopped importing engines in 2007. The total estimated loss from Keplinger’s fraud is approximately $470,000.
This case is the product of an investigation by the Federal Bureau of Investigation and the United States Postal Inspection Service, with assistance from the San Joaquin County District Attorney’s Office and the California Bureau of Automotive Repair. Assistant United States Attorney Christopher S. Hales is prosecuting the case.
Keplinger is currently in state custody in San Joaquin County.
If convicted, Keplinger faces a maximum statutory penalty of 20 years in prison and a $250,000 fine on each count. 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.
St. Thomas Man Sentenced to 51 months in PrisonRead the Press Release
St. Thomas, USVI - District Court Judge Curtis V. Gomez today sentenced Daniel Reyes Hurtado, 37, of St Thomas, to 51 months in prison and 10 years of supervised release for possessing child pornography, United States Attorney Ronald W. Sharpe announced. Judge Gomez also ordered Hurtado to register as a sex offender and pay a special assessment of $100.
According to court records, Hurtado used his laptop computer to download in excess of 600 child pornography images from a peer-to-peer sharing network.
Suspected child exploitation or missing children cases may be reported to the National Center for Missing and Exploited Children via its toll-free, 24-hour hotline at 202-514-5678, or U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) at (340) 693-2250.
This case was investigated by HSI and prosecuted by Assistant U.S Attorney Everard E. Potter.
St. Thomas Man Pleads Guilty to Possession of Firearm by Convicted FelonRead the Press Release
St. Thomas, USVI – On Friday, August 21, 2015, Dwayne Fahie, 26, pleaded guilty in District Court on St. Thomas to Possession of a Firearm by a Convicted Felon, United States Attorney Ronald W. Sharpe announced. Sentencing is scheduled for December 18, 2015.
According to the plea agreement filed with the court, on April 24, 2015, Virgin Islands Police Department (VIPD) Officers conducted a traffic stop for illegal tint on a vehicle in which Fahie was the passenger. After observing furtive movements, Fahie was directed out of the car and fled the scene. After running from VIPD officers Fahie fell, exposing the handle of a firearm. VIPD officers recovered the firearm. Fahie was a convicted felon and not authorized to possess a firearm. He faces a maximum sentence of 10 years in prison and a $250,000 fine.
This case is the result of a joint investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the VIPD. It is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
St. Croix Man Sentenced to One Year in Prison for Firearm ConvictionRead the Press Release
St. Croix, USVI – Chief District Court Judge Wilma A. Lewis on Wednesday sentenced Gregory Williams, Jr., 24, of St. Croix, to 12 months in prison for Illegally Receiving a Firearm, United States Attorney Ronald W. Sharpe announced. Judge Lewis also sentenced Williams to one year of supervised release and ordered him to pay a $1,000 fine.
In April of this year, Williams pleaded guilty to Illegal Receipt of Firearms. As part of his plea, Williams admitted that in January 2015, he picked up a package at the post office that had been sent from Florida knowing it contained an illegal firearm. The package contained a .40 caliber Smith and Wesson pistol with an obliterated serial number. Williams, a resident of St. Croix, is not a licensed importer, dealer, or collector of firearms.
The case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the United States Postal Inspection Service, and was prosecuted by Assistant U.S. Attorney Rami S. Badawy.
St. Croix Man Pleads Guilty to Robbery and Gun ChargeRead the Press Release
PRESS RELEASE
FOR IMMEDIATE RELEASE
Wednesday, August 19, 2015
St. Croix Man Pleads Guilty to Robbery and Gun Charge
St. Croix, USVI – On Tuesday, August 18, 2015, Edigberto Diaz, 46, pleaded guilty in District Court on St. Croix to Interference with Commerce by Robbery and Using and Carrying a Firearm during and in Relation to a Crime of Violence, United States Attorney Ronald W. Sharpe announced.
According to the plea agreement filed with the court, on June 21, 2014, Diaz and an accomplice entered Quality Foods in Estate Castle Coakley armed with handguns. Diaz and the accomplice entered into an office area, pointed their handguns at two individuals and demanded that they open the safe. Diaz and his accomplice removed $24,289.17 in cash and checks that were in deposit bags inside the safe. They also took cellular telephones, a music player, laptop computer, checkbook and backpacks from the victims. Subsequently, police arrived at the scene of the crime and arrested Diaz, who was carrying a Smith and Wesson .40 caliber semiautomatic handgun with an obliterated serial number containing 14 rounds of ammunition.
Diaz faces a maximum sentence of 20 years in prison and a $250,000.00 fine for the robbery charge and a mandatory seven years and $250,000.00 fine for the gun charge. A sentencing date has been set for December 17, 2015.
This case was investigated by the Virgin Islands Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant U.S. Attorney Rhonda Williams-Henry.
St. Croix Man Pleads Guilty to Cocaine Distribution and Related ChargesRead the Press Release
St. Croix, USVI – On Wednesday, August 19, 2015, Dwayne Friday, 37, pleaded guilty in District Court on St. Croix to Distribution of Cocaine, Possession of Cocaine with Intent to Distribute and Carrying a Firearm During a Drug Trafficking Crime, United States Attorney Ronald W. Sharpe announced.
According to the plea agreement filed with the court, on November 19, 2014, Friday sold five baggies of cocaine to an undercover U.S. Drug Enforcement Administration (DEA) agent on the Christiansted Boardwalk. In addition, on March 14, 2015, police responded to a citizen complaint that a male individual pointed a gun at another person on the Christiansted Boardwalk. Officers responded and approached the individual, later identified as Friday, who told police that he had a gun on him to protect himself and people on the boardwalk as he was doing security. After Friday admitted that he did not have a license to carry the gun, the officers seized the gun. A subsequent search of Friday yielded 26 dime bags of white powdery substance, 13 artist cups of marijuana, 23 dime bags of marijuana and $373 in cash. Field tests determined that the white powdery substance was cocaine. Friday faces a maximum sentence of 20 years in prison and a $1 million fine on the drug charges and a mandatory consecutive sentence of five years and a $250,000fine on the gun charge.
This case was investigated by the Virgin Islands Police Department and the DEA. It is being prosecuted by Assistant U.S. Attorney Alphonso Andrews.
St. Croix Man Arrested on Firearm Possession and Related ChargeRead the Press Release
St. Croix, USVI –Shawki Thomas, 25, was arrested today and charged by criminal complaint with Possession of a Firearm with an Obliterated Serial Number and Unlawful Mailing of a Firearm, United States Attorney Ronald W. Sharpe announced. After his arrest, Thomas made his initial appearance in District Court before U.S. Magistrate Judge George W. Cannon. Judge Cannon ordered Thomas to remain in custody pending a detention hearing Friday.
If convicted of Possession of a Firearm with an Obliterated Serial Number, Thomas faces a maximum sentence of five years in prison. If convicted of Unlawful Mailing of a Firearm, Thomas faces a maximum sentence of two years in prison.
United States Attorney Sharpe reminds the public that a criminal complaint is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
The case is being investigated by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HIS) and the U.S. Postal Inspection Service. It is being prosecuted by Assistant U.S. Attorney Christian Stringer.
Sandia Corporation Agrees to Pay $4.7 Million to Resolve Allegations Related to Lobbying ActivitiesRead the Press Release
The Justice Department announced today that Sandia Corporation has agreed to pay $4,790,042 to resolve allegations that Sandia violated the Byrd Amendment and the False Claims Act by using federal funds for activities related to lobbying Congress and federal agencies to obtain a renewal of its Management and Operating (M&O) Contract with the Department of Energy’s (DOE’s) National Nuclear Security Administration (NNSA) to operate the Sandia National Laboratories (SNL). Sandia is headquartered in Albuquerque, New Mexico, and is a wholly-owned subsidiary of Lockheed Martin Corporation (LMC).
“The money allocated by Congress for the Sandia National Laboratories is designed to fund the important mission carried out by our national laboratories, not to lobby Congress for more funding,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “This resolution demonstrates that the Justice Department will work to ensure that public funds are used for the important purposes for which they are intended.”
Between 1993 and the present, NNSA contracted with Sandia to manage and operate the SNL, a government-owned, contractor-operated laboratory that is part of the NNSA’s nuclear weapons complex, with its main facilities located in Albuquerque and Livermore, California. Between 2008 and 2012, Sandia allegedly used federal funds to support activities to lobby Congress and other federal officials to receive a non-competitive extension of the M&O Contract in violation of a federal law known as the Byrd Amendment, which prohibits the use of federal funds for lobbying.
“Using public funds to lobby for a non-competitive extension of a contract is simply unacceptable,” said Inspector General Gregory H. Friedman of the DOE. “I salute the work of the Department of Justice in pursuing this matter and the work of the Office of Inspector General professionals who were responsible for gathering the facts that served as the basis for the settlement.”
This case was handled by the Civil Division’s Commercial Litigation Branch with investigative assistance provided by the DOE’s Office of Inspector General.
The claims resolved by this settlement are allegations only; there has been no admission of liability.
San Antonio Man Sentenced to Federal Prison for Preparing Fraudulent Income Tax ReturnsRead the Press Release
In San Antonio today, 57-year-old Sampson Delton Cotten was sentenced to 18 months in federal prison and ordered to pay $ 111,676.00 restitution to the federal government for his scheme to prepare and file fraudulent Income Tax returns announced United States Attorney Richard L. Durbin, Jr., and Internal Revenue Service-Criminal Investigation Special Agent in Charge William Cotter.
On May 14, 2015, Cotten pleaded guilty to one count of preparing fraudulent income tax returns. By pleading guilty, Cotten admitted that in April 2008, he prepared and filed a false tax return whereby he claimed the named taxpayer had incurred a business loss in the amount of $43,100.00 when, in fact, the individual did not have any such business or incurred any loss.
IRS-Criminal Investigation Special Agent in Charge William Cotter said, “While a majority of return preparers provide reputable service to their clients, a few unscrupulous tax preparers file false and fraudulent returns to defraud the government and their own clients. IRS special agents use their investigative and financial expertise to detect and hold accountable abusive tax return preparers, such as Mr. Cotten, who falsify exemptions and business income or losses in their elaborate schemes to defraud the U.S. taxpayer. This sentence serves as a reminder that all tax professionals have to respect the law and protect the interests of their clients and the taxpaying public.”
This case was investigated by special agents with the Internal Revenue Service-Criminal Investigation. Assistant United States Attorney William R. Harris prosecuted this case on behalf of the Government.