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22 September 2015
Turn in unused prescription drugs this SaturdayRead the Press Release
This Saturday from 10 a.m. to 2 p.m. local time, come to one of the almost 5,000 collection sites around the nation to return all unwanted, unneeded, or expired prescription drugs for safe and anonymous disposal. This is the U.S. Drug Enforcement Administration’s (DEA’s) 10th National Prescription Drug Take-Back Day in the past five years. Collection sites in every local community, manned by DEA and its local law enforcement and community partners, can be found by going to www.dea.gov or calling 800-882-9539. All states and some territories will be participating Saturday (with the exception of Pennsylvania and Delaware, which held their events earlier in the month).
The National Prescription Drug Take-Back Day addresses vital public safety and health issues. Many Americans are not aware that medicines that languish in home cabinets are highly susceptible to diversion, misuse, and abuse. Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that many abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. In addition, many Americans do not know how to properly dispose of their unused medications, often flushing them down the toilet or throwing them away – posing safety and environmental hazards.
“Our goal is to reduce the risk of addiction and the 46,000 overdose deaths a year that come with prescription drug abuse. Take Back Day is a great opportunity for folks to help reduce the threat,” DEA Acting Administrator Chuck Rosenberg said. "Please clean out your medicine cabinet and make your home safe from drug theft and abuse.”
DEA’s previous nine nationwide Take-Back events collected 4,823,251 pounds—more than 2,411 tons—of drugs.
Tennessee Air National Guard Member Found Guilty in Military Recruiting Scheme TrialRead the Press Release
Aaron Osborne, 53, of Clarksville, was convicted by a federal jury yesterday, after a seven day trial, of carrying out a scheme to defraud a military recruiting program, announced David Rivera, U.S. Attorney for the Middle District of Tennessee. Specifically, Osborne was convicted of aiding and abetting the theft of government funds.
Evidence presented at trial showed that in 2006 the National Guard Bureau implemented a recruiting program called the Guard Recruiter Assistance Program (G-RAP). Under G-RAP, a guard member acting as a Recruiter Assistant (RA) could receive up to $4,000 in incentive payments if the RA’s recruit eventually joined the guard and went to basic training.
During the time the scheme was carried out, Osborne was a full-time recruiter at the 118th Wing and was ineligible to participate in G-RAP. The evidence showed that Osborne routinely referred to RA Max Andolsek, the names of potential recruits who had already contacted the recruiting office where Osborne worked. Rather than process those recruits through the traditional recruiting channel as required, Osborne referred those recruits to Andolsek, in violation of G-RAP policies.
Five of the recruits testified at trial that they had previously met with Osborne and/or contacted his office about joining the Guard, prior to meeting Andolsek. With Osborne’s assistance, Andolsek collected over $9,000 in G-RAP incentive payments as a result of the fraud. The evidence also showed that Osborne received kickbacks from Andolsek totaling approximately $2,100.
Andolsek previously pleaded guilty on March 24, 2014, to conspiracy to commit theft of government property and conspiracy to make false statements. He is scheduled to be sentenced on November 30, 2015.
Osborne will be sentenced by U.S. District Kevin H. Sharp at a later date. He faces a maximum of 10 years in prison. Both Osborne and Andolsek will be required to pay restitution to the Department of Defense.
The case was investigated by the Federal Bureau of Investigation and the Tennessee Bureau of Investigation. It was prosecuted by Assistant U.S. Attorneys Stephanie N. Toussaint and William L. Deneke.
Tampa Auto Dealer Pleads Guilty to Money Laundering ConspiracyRead the Press Release
Tampa, FL – United States Attorney A. Lee Bentley, III announces that Raymond Rodriguez (52, Tampa) has pleaded guilty to money laundering conspiracy. He faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, Rodriguez and his wife owned and operated Rodriguez Auto Wholesale in Tampa. Between 2009 and the end of 2012, Raymond Rodriguez, acting alone and with others, knowingly sold vehicles to individuals who had paid with proceeds from illegal narcotics sales and/or stolen identity refund fraud. Rodriguez, who knew that the funds had been obtained illegally, agreed to disguise the large cash transactions from the government in a number of ways. First, he agreed to accept large cash payments for vehicles without filing Form 8300 with the Internal Revenue Service, as required by law. He also agreed to place vehicles in the names of straw buyers. By doing this, law enforcement and other government agencies would not be aware of the true owners of the cars or the illegal proceeds used to purchase them. Rodriguez also promised purchasers that he would keep a lien on certain vehicles, despite receiving payment in full, so that if those vehicles were seized by law enforcement authorities, he could reclaim the vehicles and return them to the purchaser and/or their family members.
In total, between 2009 and 2013, Rodriguez and his co-conspirators laundered at least $1,751,648 in illegal drug and SIRF proceeds through Rodriguez Auto Wholesale, via the sale of approximately 87 vehicles.
This case was investigated by the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Mandy Riedel.
Syracuse Receives Second Round of Federal Funding for Gun Violence ReductionRead the Press Release
SYRACUSE, NEW YORK – For the second time Syracuse has received a Project Safe Neighborhoods federal grant of nearly $300,000.00 for the continued support of gun violence reduction efforts. A similar grant was received in 2013. The grant funds a coalition of law enforcement agencies and community groups which combine their resources to reduce gun related violence in the City of Syracuse, announced United States Attorney Richard S. Hartunian.
"We are firmly committed to continuing this multi-agency and interdisciplinary effort to reduce death and injury from gun violence in Syracuse. There is no higher priority than combining resources to save the lives of our young people. The second round of funding provided by this grant will allow us to further expand and enhance these vital public safety and community support programs," said U.S. Attorney Hartunian.
"We appreciate the continued support of our partners in "Syracuse Truce." Since 2013 the collaboration between law enforcement and community services have proved to be an effective tool in combating gun and gang violence in city of Syracuse, while allowing a more positive relationship between the police and the community. We look forward to this relationship continuing,"said Syracuse Police Chief Frank Fowler
This latest funding for Syracuse also follows a 2013 federal grant of 1.5 million dollars to support the U.S. Department of Justice’s Comprehensive Gang Model, a program in place in other cities troubled by gang and gun violence.
United States Attorney Hartunian expressed his appreciation to the Syracuse Truce Executive Committee, the Executive Director for the Syracuse Salvation Army, Syracuse Model Neighborhood Facilities, the Mayor’s Office, the Syracuse Police Department, the Onondaga County District Attorney’s Office, The John F. Finn Institute of Public Safety and the Rosamond Gifford Foundation for their efforts in again obtaining this grant, and for their ongoing work combating gun and gang violence.
Under the Department of Justice’s Project Safe Neighborhoods Program, the grant will provide $300,000 to fund "Syracuse Truce," an innovative collaboration between law enforcement and community service agencies to reduce gun crime and gang violence and diminish tension between law enforcement and the community. Starting in the fall of 2014, Syracuse Truce was implemented with the assistance of the Rosamond Gifford Foundation. Since 2001, the Department of Justice’s Project Safe Neighborhoods Program has sought to reduce gun and gang crime in America by forming partnerships to enhance local programs and provide them with additional tools necessary to be successful. In Syracuse, the partnership of law enforcement agencies and community leaders has included establishment of a gang violence task force, collaboration of federal and local officials to review and prepare gun cases for prosecution in the most appropriate forum, federal prosecution of members of 8 gangs in Syracuse since 2003, and education and prevention efforts.
Syracuse Truce involves "focused deterrence" by integrating the community message that gun and gang violence will not be tolerated with offers of assistance to reduce criminal activity. Beginning in August 2015, two new initiatives, Syracuse Save our Youth, which focuses its efforts on neighborhoods in the south side of the City of Syracuse and Cure Violence, which provides street level outreach to potential violent offenders, began operating in coordination with the Syracuse Truce Partnership. In addition to day-to-day enforcement of the criminal law, gun crime committed by one gang member will result in enhanced law enforcement scrutiny of the entire gang. The Syracuse Truce strategies include:
Enhanced Enforcement – Approximately 40 street saturation patrols, warrant details, code enforcement and probation/parole home visits of offenders in the gang’s area will be conducted on the South and West side of the City of Syracuse.
Street Outreach - The Syracuse Model neighborhood Facilities group will communicate with
those most affected by gun violence and help mobilize the affected communities.
Call-In Meetings - High risk offenders (on probation/parole) are mandated and/or invited to attend meetings to hear about the consequences of continued criminal activity which they can relay back to fellow gang members. Options for assistance in changing their lives are provided by social service providers including Syracuse Model Neighborhoods Facilities, CNY Works, Salvation Army, OCC, Jobs Plus!, New Justice Services, Syracuse Trauma Team, Boys and Girls Club, and Center for Community Alternatives.
Community Organizations - Individuals from neighborhood organizations and clergy are invited to call-in meetings to provide a strong message that violence will not be tolerated and assistance will be provided to those who want to change their lives in a positive way.
Evaluation - The John F. Finn Institute of Public Safety conducts process and outcome evaluations of the project. The Finn Institute has been a long time partner in Operation IMPACT (Now G.I.V.E.) and Project Safe Neighborhoods initiatives in Onondaga County.
Smith County Sex Offender Sentenced for Transporting Minors for ProstitutionRead the Press Release
TYLER, Texas – A 33-year-old Tyler, Texas registered sex offender has been sentenced to federal prison for child exploitation violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Anthony Nelson pleaded guilty on Nov. 10, 2014, to transportation of minors and was sentenced to 276 months in federal prison today by U.S. District Judge Michael H. Schneider.
According to information presented in court, in November and December of 2013, Nelson was assisted by others in transporting individuals, including two minors, in interstate commerce with the intent that the individuals engage in prostitution. During the investigation it was also revealed that Nelson was a registered sex offender having served eight years in the Texas Department of Corrections for the 2001 aggravated sexual assault of a minor in Smith County, Texas. Nelson was indicted by a federal grand jury on Mar. 26, 2014, and charged with child exploitation violations.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
“Anthony Nelson is on his way to prison where he will serve a very long sentence of imprisonment,” said U.S. Attorney Bales. “He deserves every day of that lengthy term and I hope that every day he is consumed with guilt and self-recrimination. There is no more important work for the U.S. Attorney’s office than to protect and come to the aid of those who cannot protect themselves. Nelson and his ilk will always be squarely in our sights and for that reason, I commend the work of the prosecution team for putting a stop to Nelson and his outrageous conduct.”
“Our children are our most valuable resource,” said Katrina W. Berger, special agent in charge of HSI Dallas. “As such, our special agents from Homeland Security Investigations operate an active program called Operation Predator to rescue victims, and identify and pursue prosecution against child predators. We routinely work with our law enforcement partners to achieve these goals.”
This case was investigated by Homeland Security Investigations (HSI), Louisiana State Police, Bossier Parish Sheriff’s Office, Shreveport Police Department, Longview Police Department, Smith County Sheriff’s Office, Tyler Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, Drug Enforcement Administration, and the Smith County District Attorney’s Office. This case was prosecuted by Assistant U.S. Attorney Nathaniel C. Kummerfeld.
Six convicted of heroin, cocaine traffickingRead the Press Release
CLARKSBIRG, WEST VIRGINIA – Six individuals were convicted of heroin and cocaine trafficking today in federal court, United States Attorney William J. Ihlenfeld, II, announced.
Larry Dustin Saunders, 40, of Clarksburg, sold heroin in April 2015 near Broadway Playground in Harrison County, West Virginia. He pled guilty today to one count of “Aiding and Abetting the Distribution of Heroin within 1,000 feet of a Protected Location.” He faces between one and forty years in prison and a fine of up to $2,000,000.
Tevin L. White, 24, of Clarksburg sold heroin in January 2015 near a public housing authority facility, known as Locust View Apartments, in Harrison County, West Virginia. He pled guilty today to one count of “Aiding and Abetting the Distribution of Heroin within 1,000 feet of a Protected Location.” He faces between one and forty years in prison and a fine of up to $2,000,000.
Davina Bland, 21, of Clarksburg, sold cocaine near Monticello Avenue Playground in Harrison County, West Virginia. She pled guilty today to one count of “Distribution of Cocaine Base within 1,000 feet of a Protected Location.” She faces between one and forty years in prison and a fine of up to $2,000,000.
Robert Sean Hott, 30, of Fairmont, West Virginia, sold heroin in April 2015 near a public housing authority facility, known as Oakmound Apartments, in Harrison County, West Virginia. He pled guilty today to one count of “Distribution of Heroin within 1,000 Feet of a Protected Location – Aiding and Abetting.” He faces between one and forty years in prison and a fine of up to $2,000,000.
Brian K. Wilson, 30, of Boothsville, West Virginia, allowed his residence to be used to store and distribute heroin. He pled guilty today to one count of “Maintaining Drug-Involved Premises.” He faces up to 20 years in prison and a fine of up to $500,000.
Sabree L. Clevenger, 20, of Salem, West Virginia sold heroin in January 2015 in Harrison County, West Virginia. She pled guilty today to one count of “Distribution of Heroin – Aiding and Abetting.” She faces up to 20 years in prison and a fine of up to $1,000,000.
Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the serious sness of the offenses and the prior criminal history, if any, of the defendants.
Assistant U.S. Attorney Sarah Montoro prosecuted Bland, Assistant U.S. Attorney Stephen Vogrin prosecuted Saunders, Assistant U.S. Attorney Zelda Wesley prosecuted Wilson and Clevenger, and Assistant U.S. Attorney Stephen Warner prosecuted Hott and White on behalf of the government. Former Assistant U.S. Attorney Shawn Morgan also prosecuted each of the defendants on behalf of the government. The Greater Harrison County Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated each of the defendants.
U.S. Magistrate Judge John S. Kaull presided in the Wilson and Clevenger plea hearings. U.S. District Judge Irene M. Keeley presided in the remaining plea hearings.
Seven Arrested in San Antonio on Federal Drug Trafficking and Money Laundering ChargesRead the Press Release
In San Antonio this morning, federal authorities arrested seven individuals indicted for their role in a heroin distribution scheme announced United States Attorney Richard L. Durbin, Jr., Drug Enforcement Administration Special Agent in Charge Joseph M. Arabit, Houston Division, and Internal Revenue Service – Criminal Investigation Special Agent in Charge William Cotter, San Antonio Division.
Arrested this morning without incident include: 51-year-old Salvador Gonzalez; 38-year-old Carlos De La Cruz Perez (aka “Charlie”); 29-year-old Adrian Gonzalez; 25-year-old Hector Mario Ginez; 40-year-old Raul Sanchez (aka “Boom Boom”); 40-year-old Eneveida Margarita Ruvalcaba-Gonzalez; and, 43-year-old Jose Lopez-Grimaldo.
A federal grand jury indictment unsealed today charges the defendants with one count of conspiracy to distribute and possess with intent to distribute more than one kilogram of heroin. Salvador and Adrian Gonzalez are also charged with one count of conspiracy to commit money laundering. The indictment also seeks the criminal forfeiture of 17 properties in San Antonio, Seguin and Floresville, TX, allegedly used by Salvador and Adrian Gonzalez to further their heroin trafficking scheme as well as a $7 million money judgment.
According to the indictment, since January 1998, the defendants have conspired to use their residences and businesses, namely a string of Acapulco Barber Shops, to distribute heroin and launder their drug distribution proceeds. During this investigation, authorities have seized over 15 pounds of heroin, approximately $420,000 in U.S. Currency, 16 firearms and 11 vehicles.
“The arrests made as part of Operation Razor Cut are part of DEA’s continuing efforts to target illicit drug distribution throughout South Texas. Drug trafficking and abuse takes a tremendous toll on our communities as a whole. We will continue to work closely with our federal, state and local law enforcement partners in order to enhance the quality of life for the citizens in this region,” stated DEA Special Agent in Charge Joseph M. Arabit.
“For more than 17 years, these defendants have been responsible for drug trafficking in the San Antonio area,” said William Cotter, IRS CI Special Agent in Charge, San Antonio Field Office. “And like many criminals they tried to hide their ill-gotten gains through legitimate purchases – such as businesses and homes. Fortunately for American taxpayers, IRS Criminal Investigation special agents are uniquely qualified to follow complex financial transactions and uncover the source of the illegal funds.”
All of the defendants remain in federal custody. Upon conviction, the defendants face between ten years and life in federal prison on the drug trafficking conspiracy charge and up to 30 years in federal prison for the money laundering conspiracy charge.
It is important to note that a criminal complaint is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
This case resulted from an investigation conducted by the Drug Enforcement Administration and the Internal Revenue Service–Criminal Investigation together with U.S. Customs and Border Patrol, Terrell Hills Police Department, Seguin Police Department, Bexar County Sheriff’s Office, Bexar County District Attorney’s Office and the San Antonio Police Department. Assistant United States Attorney Joey Contreras is prosecuting this case on behalf of the Government.
Saratoga Attorney and Co-Conspirator Indicted in Alleged Scheme to Defraud InvestorsRead the Press Release
SAN FRANCISCO - A federal grand jury in San Francisco indicted John Jason Gentry Mullins and Bradley Howell in an alleged conspiracy to defraud investors of more than a million dollars, announced Acting United States Attorney Brian J. Stretch and Federal Bureau of Investigation, Special Agent in Charge David J. Johnson.
According to the indictment unsealed earlier today, Mullins, 59, of Saratoga, was an attorney with a San Francisco business address and was admitted to practice in California. Mullins and Howell, 31, of Louisville, Ky, allegedly conspired to defraud investors by convincing them that they could obtain financial instruments, such as bank guarantees and standby letters of credit, in return for small down payments. As part of the scheme, Mullins and Howell allegedly told investors that Mullins, a licensed attorney in California, would serve as an escrow agent in these transactions and that after money was wired to them, the two would obtain the financial instruments. The indictment describes several transactions in which Mullins and Howell allegedly convinced investors to wire hundreds of thousands of dollars to the conspirators for the ostensible purpose of obtaining the instruments. Also according to the indictment, rather than establish the escrow accounts, the defendants used the money for personal expenses; for example, on a least two occasions, Mullins used the money to purchase a condominium. Mullins and Howell were charged with conspiracy to commit wire fraud, in violation of 18 U.S.C. § 1349, and nine counts of wire fraud, in violation of 18 U.S.C. § 1343. In addition, Mullins is charged with two counts of engaging in monetary transactions in property derived from specified unlawful activity, in violation of 18 U.S.C. § 1957.
Mullins made an initial court appearance this morning in San Francisco before United States Magistrate Judge Sallie Kim. He will appear again before Judge Kim for a bond hearing this Thursday, September 24, 2015, at 9:30 a.m., and then before United States District Judge Susan Illston on Friday, October 2, at 11:00 a.m. for further proceedings. Howell made an initial court appearance in Louisville; he will appear in San Francisco before Judge Illston on Friday, October 2, 2015, at 11:00 a.m.
An indictment merely alleges that crimes have been committed and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. The defendants face a maximum term of imprisonment of 20 years if convicted of the conspiracy charge or the wire fraud charges. Mullins also faces a maximum term of 10 years’ imprisonment for each count if convicted of engaging in money transactions in property derived from unlawful activity. Additional terms of supervised release, penalties and restitution may be ordered upon conviction. However, any sentence following conviction 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 Special Assistant U.S. Attorney Daniel P. Talbert with the assistance of Beth Margen and Trina Khadoo. The prosecution is the result of an investigation by the FBI.
Pima Prevention Partnership Receives Nearly $500,000 in Federal Grant Funds to Support Reentry Services to Latino YouthRead the Press Release
PHOENIX – Today, U.S. Attorney John S. Leonardo announced that $483,334 in federal grant funds have been awarded to the Pima Prevention Partnership to support Latino youth who are re-entering their communities. The grant funds were awarded by the Office of Juvenile Justice and Delinquency Prevention (“OJJDP”), which is a component of the Department of Justice’s Office of Justice Programs (“OJP”).
“I am very pleased with this significant grant funding to the Pima Prevention Partnership to provide reentry services to Latino youth to help them transition back into the community from secure confinement, including out-of-home placements. These services are designed to reduce the risk of re-traumatizing young people who have often been the victims of abuse and neglect,” said Leonardo.
Information about OJP and its programs can be found at: http://www.ojp.usdoj.gov.
Information on OJJDP specific: http://www.ojjdp.gov/about/about.html
RELEASE NUMBER: 2015-086_PIMA_PREV_GRANT (2015-CZ-BX-0020)
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Pennsylvania Priest Convicted of Sexually Abusing MinorsRead the Press Release
JOHNSTOWN, Pa. – A priest of the Diocese of Altoona-Johnstown, Pennsylvania, was found guilty after an eight-day jury trial of offenses related to his sexual abuse of three minor boys during trips to Honduras over a five-year period, U.S. Attorney David J. Hickton announced today.
Joseph D. Maurizio Jr., 70, of Central City, Pennsylvania, was convicted of engaging in illicit sexual conduct in foreign places, possession of child pornography and international money laundering. He is scheduled to be sentenced on February 2, 2016, at 10 a.m.
U.S. Attorney Hickton stated, “The jury’s conviction affirms the courage of these victims, the tenacity of the investigators and the resolve of our prosecutors to ensure justice. We remain steadfast in our commitment to protect children from predators here and pursue those who travel beyond our borders to offend. We are especially vigilant where a person uses a position of trust to victimize the most vulnerable among us.”
"What Maurizio did to the children in Honduras while swindling unsuspecting Americans for money to support his pedophilia is atrocious," said John Kelleghan, HSI Philadelphia Special Agent in Charge. "The jury's verdict is testament that society will not tolerate this behavior, and HSI will continue to use its transnational investigative capabilities to bring American child predators to justice -- no matter where they commit their crimes."
“Investigations of this importance are only possible when each individual agency lends their manpower and expertise to the goal of achieving justice,” added Edward M. Wirth, Assistant Special Agent in Charge, IRS - Criminal Investigation. “The Internal Revenue Service, Criminal Investigation will continue to provide the financial expertise in these investigations and will readily assist in the analysis of the financial activities of those who violate the laws of our country.”
According to the evidence introduced at trial, the defendant created a charitable organization, known at the time as Honduras Interfaith Ministries (HIM), which was funded by donations from members of the community, including parishioners of Our Lady Queen of Angels Church in Central City. The evidence showed that HIM became the largest donor to Pro Nino, a non-profit organization that provided shelter and rehabilitative services to poor, abandoned and at risk children residing in a rural town outside of San Pedro Sula, Honduras. The trial evidence further demonstrated that Maurizio often used his position as Pro Nino’s largest donor to gain unfettered access to the boys that lived there.
In addition, the evidence showed that Maurizio used HIM funds to pay for 13 separate trips between the United States and Honduras between 2004 and 2009, during which he sexually abused three minor boys between the ages of 12 and 17. The government presented evidence that, prior to three of these trips, Maurizio transferred $8,000 from accounts located in the Western District of Pennsylvania to accounts and individuals located in Honduras, and that he used these funds to purchase gifts including clothes, shoes and jewelry that he gave to the minor boys in order to gain their trust and to ensure their compliance during the sexual acts he perpetrated against them. The evidence presented at trial also showed that, during his final trip to Honduras, Maurizio paid two minor boys, ages 14 and 15, to engage in sexual acts with him.
In addition, trial evidence showed that, during a search of the rectory of Our Lady Queen of Angels Church, federal investigators recovered digital media depicting the young boys Maurizio sexually abused, and images of minors engaging in sexually explicit conduct.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and Internal Revenue Service’s Criminal Investigation in Pittsburgh. The case is being prosecuted by Trial Attorney Amy E. Larson of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Stephanie Haines of the Western District of Pennsylvania.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Parker Man Sentenced to Nearly 25 Years in Federal Prison for Abusive Sexual Contact with a MinorRead the Press Release
PHOENIX – Today, Sonnett Alexander Williams, 47, a member of the Colorado River Indian Tribes, was sentenced by U.S. District Judge Roslyn O. Silver to 293 months in prison, followed by a term of lifetime supervised release. Williams pleaded guilty on April 7, 2015 to abusive sexual contact with a minor.
Between Aug. 1, 2010 and Aug. 7, 2011, within the Colorado River Indian Tribes Indian Reservation, Williams sexually abused the victim who was under the age of 12 and also a member of the Colorado River Indian Tribes.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Colorado River Indian Tribes Police Department. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-14-0931-PHX-ROS
RELEASE NUMBER: 2015-088_Williams
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
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Owner of Polygraph.com Sentenced to Two Years in Prison for Training Customers to LieRead the Press Release
A former Oklahoma City law enforcement officer and the owner of Polygraph.com has been sentenced to two years in prison for training customers to lie and conceal crimes and other misconduct during polygraph examinations.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Assistant Commissioner Matthew Klein of U.S. Customs and Border Protection’s Office of Internal Affairs and Special Agent in Charge Scott L. Cruse of the FBI’s Oklahoma City Division made the announcement.
Douglas G. Williams, 69, of Norman, Oklahoma, pleaded guilty on May 13, 2015, to two counts of mail fraud and three counts of witness tampering. Chief U.S. District Judge Vicki Miles-LaGrange of the Western District of Oklahoma imposed the sentence.
According to admissions made in connection with his plea, Williams owned and operated Polygraph.com, an Internet-based business through which he trained people how to conceal misconduct and other disqualifying information when submitting to polygraph examinations in connection with federal employment suitability assessments, background investigations, internal agency investigations and other proceedings. In particular, Williams admitted that he trained an individual posing as a federal law enforcement officer to lie and conceal involvement in criminal activity from an internal agency investigation. Williams also admitted to training a second individual, posing as an applicant seeking federal employment, to lie and conceal crimes in a pre-employment polygraph examination. Williams also admitted to instructing the individuals to deny receiving his polygraph training.
The investigation was conducted by U.S. Customs and Border Protection’s Office of Internal Affairs and the FBI’s Oklahoma City Division. The case was prosecuted by Trial Attorneys Heidi Boutros Gesch and Brian K. Kidd of the Criminal Division’s Public Integrity Section.
Ohio man sentenced for heroin, crack cocaine traffickingRead the Press Release
WHEELING, WEST VIRGINIA – Devon J. Ball, 29, of Columbus, Ohio, was sentenced today to 15 months in prison for heroin and crack cocaine trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Throughout October and November 2014, Ball repeatedly conspired with others to possess and distribute heroin and crack cocaine in Marshall County, West Virginia. He pled guilty in May 2015 to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Heroin and Cocaine Base.”
Assistant U.S. Attorney Sarah Montoro prosecuted the case on behalf of the government. The West Virginia State Police investigated.
U.S. District Judge John Preston Bailey presided.
Ohio man sentenced for heroin traffickingRead the Press Release
WHEELING, WEST VIRGINIA – Stephen Mynatt, 32, of Garfield Heights, Ohio, was sentenced today to 57 months in prison for heroin trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Mynatt sold heroin in Marshall County, West Virginia in April 2014. He pled guilty in April 2015 to one count of “Aiding and Abetting the Distribution of Heroin.”
Assistant U.S. Attorney Randy Bernard prosecuted the case on behalf of the government. The Ohio Valley Drug and Violent Crime Task Force, and the Marshall County Drug and Violent Crime Task Force, both HIDTA-funded initiatives, investigated.
Senior U.S. District Judge Frederick P. Stamp presided.
Officer of Country Bancorporation Charged with Stealing more than $800,000 from Banks Controlled by the CompanyRead the Press Release
Heidi Wagler, age 50, from Wayland, Iowa, has been charged with one count of embezzlement by a bank officer. The charge is contained in an Information filed on September 21, 2015, in United States District Court in Cedar Rapids.
The Information alleges that, between June 2004 and October 2013, Wagler, while an officer of the company, caused banks controlled by Country Bancorporation to issue her $864,835 in additional compensation to which she was not entitled.
If convicted, Wagler faces a possible maximum sentence of 30 years’ imprisonment, a fine of up to twice the loss resulting from her offense, a $100 special assessment, and five years of supervised release following any imprisonment. Wagler could also be ordered to pay restitution to any victims.
Wagler’s first appearance in federal court in Cedar Rapids for an arraignment and plea hearing is set for October 6, 2015.
As with any criminal case, a charge is merely an accusation and a defendant is presumed innocent until and unless proven guilty.
The case is being prosecuted by Assistant United States Attorney Anthony Morfitt and was investigated by the FBI and FDIC.
Court file information is available at https://ecf.iand.uscourts.gov/. The case file number is 15-CR-00089.
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North Carolina Landowner Sentenced for Impeding and Obstructing Administration of Internal Revenue CodeRead the Press Release
A Chapel Hill and Durham, North Carolina, millionaire businessman was sentenced to prison yesterday for his involvement in a decades-long scheme to evade paying his federal income taxes, announced Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and U.S. Attorney Ripley Rand of the Middle District of North Carolina.
“The sentence imposed on Mr. Tilley demonstrates the department’s commitment to prosecuting and seeking incarceration of and restitution from those who repeatedly evade their tax obligations and impede and obstruct our nation’s tax laws,” said Acting Assistant Attorney General Ciraolo. “No one is above the law and Mr. Tilley will pay a heavy price for his criminal conduct.”
Thomas Tilley, 80, was sentenced by Chief U.S. District Judge William L. Osteen Jr. of the Middle District of North Carolina to serve 32 months in prison to be followed by one year of supervised release, and ordered to pay $7,676,757 in restitution to the Internal Revenue Service (IRS). At the sentencing hearing, Judge Osteen found that Tilley obstructed justice by providing misleading information to probation and the court after pleading guilty and revoked his acceptance of responsibility credit based on this conduct. Tilley pleaded guilty on Nov. 21, 2014, to one count of corruptly endeavoring to impede and obstruct the administration of the Internal Revenue Code, which carries a statutory maximum sentence of 36 months in prison.
“Individuals like Thomas Tilley, who engage in complex schemes to impede the administration of the tax laws in order to enrich themselves and not pay their fair share, should take notice of today’s sentencing,” said Special Agent in Charge Thomas J. Holloman III of IRS-Criminal Investigation (CI). “If you engage in these type of schemes, IRS-Criminal Investigation will be there for the duration to ensure that you are brought to justice.”
According to court documents, beginning in 1993 and continuing through at least 2010, Tilley sent the IRS fraudulent financial instruments in an attempt to fraudulently discharge his tax debt; used nominee and sham trusts to purchase and sell real estate to conceal his assets; and placed false liens on properties to impede the IRS’ collection of his tax debt. Tilley also failed to file federal and state income tax returns for tax years 1994 through 2013, despite earning substantial income and, in 2009, claiming a net worth as high as $30 million and annual income of $822,000 on a financial statement.
Acting Assistant Attorney General Ciraolo commended special agents of IRS-CI, who investigated the case, and Assistant U.S. Attorney Frank J. Chut of the Middle District of North Carolina and Trial Attorney Todd P. Kostyshak of the Tax Division, who prosecuted the case.
North Carolina Landowner Sentenced for Impeding and Obstructing Administration of Internal Revenue CodeRead the Press Release
WASHINGTON – A Chapel Hill and Durham, North Carolina, millionaire businessman was sentenced to prison yesterday for his involvement in a decades-long scheme to evade paying his federal income taxes, announced Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and U.S. Attorney Ripley Rand of the Middle District of North Carolina.
“The sentence imposed on Mr. Tilley demonstrates the department’s commitment to prosecuting and seeking incarceration of and restitution from those who repeatedly evade their tax obligations and impede and obstruct our nation’s tax laws,” said Acting Assistant Attorney General Ciraolo. “No one is above the law and Mr. Tilley will pay a heavy price for his criminal conduct.”
Thomas Tilley, 80, was sentenced by Chief U.S. District Judge William L. Osteen Jr. of the Middle District of North Carolina to serve 32 months in prison to be followed by one year of supervised release, and ordered to pay $7,676,757 in restitution to the Internal Revenue Service (IRS). At the sentencing hearing, Judge Osteen found that Tilley obstructed justice by providing misleading information to probation and the court after pleading guilty and revoked his acceptance of responsibility credit based on this conduct. Tilley pleaded guilty on Nov. 21, 2014, to one count of corruptly endeavoring to impede and obstruct the administration of the Internal Revenue Code, which carries a statutory maximum sentence of 36 months in prison.
“Individuals like Thomas Tilley, who engage in complex schemes to impede the administration of the tax laws in order to enrich themselves and not pay their fair share, should take notice of today’s sentencing,” said Special Agent in Charge Thomas J. Holloman III of IRS-Criminal Investigation (CI). “If you engage in these type of schemes, IRS-Criminal Investigation will be there for the duration to ensure that you are brought to justice.”
According to court documents, beginning in 1993 and continuing through at least 2010, Tilley sent the IRS fraudulent financial instruments in an attempt to fraudulently discharge his tax debt; used nominee and sham trusts to purchase and sell real estate to conceal his assets; and placed false liens on properties to impede the IRS’ collection of his tax debt. Tilley also failed to file federal and state income tax returns for tax years 1994 through 2013, despite earning substantial income and, in 2009, claiming a net worth as high as $30 million and annual income of $822,000 on a financial statement.
Acting Assistant Attorney General Ciraolo commended special agents of IRS-CI, who investigated the case, and Assistant U.S. Attorney Frank J. Chut of the Middle District of North Carolina and Trial Attorney Todd P. Kostyshak of the Tax Division, who prosecuted the case.
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Norfolk Longshoreman Convicted of Food Stamp FraudRead the Press Release
NORFOLK, Va. – Dwayne Carter, 38, of Norfolk, was sentenced yesterday to 29 months in prison for conspiracy to engage in food stamp benefits fraud. Carter was ordered to pay $1,928,633.10 in restitution to United States Department of Agriculture (USDA) and the Food and Nutrition Service (FNS).
Carter pleaded guilty on April 27, 2015. According to court documents, Carter is the son of James Robert Carter, who was the long-time owner and operator of the Merrimac Market, located on Merrimac Avenue in Norfolk. Merrimac Market, classified by the USDA and FNS as a small grocery store, began participating in the Food Stamp and Supplemental Nutrition Assistance Program (SNAP) in April 1993. From Jan. 1, 2010, to Nov. 7, 2013, the Carters used the Merrimac Market cash register to debit funds from customers who had presented and swiped their EBT card. The person behind the register would then pay the customers half the value of the amount that had been debited in cash. To avoid detection the Carters debited funds off of a card in multiple transactions over a period of minutes, hours or days. The Carters obtained approximately $1,928,663 from the USDA/FNS SNAP Program. James Robert Carter was convicted earlier this year and was sentenced on Jan. 16, 2015, to 30 months in prison and ordered to pay restitution in the amount of $2,275,889.59. The restitution amounts between the Carters are joint and several.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Williams Squires, Jr., U.S. Department of Agriculture, Office of Inspector General, Special Agent in Charge of the Northeast Region; and Thomas Jankowski, Special Agent in Charge, IRS-Criminal Investigation, Washington D.C. Field Office, made the announcement after sentencing by U.S. District Judge Robert G. Doumar, Sr. Assistant U.S. Attorney Stephen W. Haynie prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:15cr17
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New York Man Sentenced to 5 Years in Prison for Operating Investor Fraud SchemeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that CHARLES PRINCIPATO, 53, of Rye, N.Y., was sentenced yesterday by Chief U.S. District Judge Janet C. Hall in New Haven to 60 months of imprisonment, followed by three years of supervised release, for engaging in a scheme to defraud investors of more than $1.3 million.
According to court documents and statements made in court, between approximately January 2011 and February 2014, PRINCIPATO acted as principal of Prince Direct, Inc., an entity that he represented to victim-investors as being in the business of marketing products through advertising such as “infomercials.” PRINCIPATO solicited money from victims, including Connecticut residents, for the stated purpose of funding the business operations of Prince Direct. However, instead of using victims’ money for the stated purposes, PRINCIPATO used it for his own personal expenses, including for vacations and home renovations, and for gambling. Through this scheme, PRINCIPATO defrauded victim-investors of more than $1.3 million.
Chief Judge Hall ordered PRINCIPATO to pay restitution in the amount of $1,809,235, which includes additional monies PRINCIPATO owed to investors.
On June 23, 2014, PRINCIPATO pleaded guilty to one count of wire fraud.
This matter was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Susan L. Wines.
New Hampshire Man Sentenced on Drug ChargesRead the Press Release
CONCORD, N.H. – Ryan Demers, 31, of Brookline, New Hampshire, was sentenced today in the United States District Court for the District of New Hampshire to 57 months imprisonment after pleading guilty to one count of conspiracy to distribute oxycodone and one count of distribution of oxycodone announced Acting United States Attorney Donald Feith. Upon his release, Demers will be placed on three years of supervised release which is monitored by the United States Probation Office.
In the fall of 2013, law enforcement officers began an investigation of several individuals including, Samuel Garcia and Jennifer Nunez, and their involvement in a conspiracy to distribute oxycodone. The investigation ultimately led to a court order authorizing the interception of wire and electronic communications over several cellular telephones used by Garcia and Nunez. Intercepted communications confirmed that several customers regularly ordered significant quantities of oxycodone pills from Garcia and Nunez, which were then sold to other individuals in the Manchester area.
During the intercepted calls, investigators identified several telephone numbers, including a telephone number used by Demers that frequently called the drug sources. The intercepted telephone calls showed that on approximately 24 occasions between July 3, 2014 and August 22, 2014, Demers ordered approximately 1,508 oxycodone pills from Nunez and Garcia. In addition, video evidence established that during several of the above interceptions, Demers arrived at the Nunez/Garcia residence shortly after contacting Nunez or Garcia and ordering a quantity of pills.
Upon his arrest on August 7, 2014, Demers admitted that he had been purchasing oxycodone pills from Garcia, Nunez, and others for approximately two years. Demers stated that he purchased between 100- 200 oxycodone pills every other day consumed 10-15 oxycodone pills a day.
“The illegal use of diverted opiates is a pathway to heroin and fentanyl abuse and presents a danger to the welfare of our communities,” said Acting United States Attorney Donald Feith. “We will work with law enforcement to identify opiate traffickers such as Mr. Demers and bring them to justice. The excellent work of the DEA and the Manchester Police made this case possible.”
The case was investigated by the Manchester Police Department and the Drug Enforcement Administration and is being prosecuted by Assistant U.S. Attorney Debra M. Walsh and Assistant U.S. Attorney John J. Farley.
Muskegon Man Indicted for Drug and Firearms OffensesRead the Press Release
GRAND RAPIDS, MICHIGAN – A federal grand jury indicted Larry Dwayne Diggs, also known as "Montana," of Muskegon, Michigan for three drug and firearm related offenses. Specifically, the grand jury indicted Diggs for being a Felon in Possession of a Firearm and Ammunition, Possessing a Controlled Substance with Intent to Distribute, and Using and Carrying a Firearm During and in Relation to a Drug Trafficking Crime. The grand jury alleges in the indictment that Diggs committed these offenses on or about July 2, 2015. If convicted of these charges, Diggs faces up to life in federal prison.
The charges are the result of a joint investigation by the Muskegon Township Police Department and the Muskegon Major Crimes Initiative Task Force, which includes the Federal Bureau of Investigation (FBI), the Michigan State Police (MSP), and the Muskegon City Police Department. The U.S. Attorney's Office, the Muskegon County Prosecutor's Office, and federal, state, and local law enforcement are working closely together to combat violent crime in the Muskegon area.
The charges in the indictment are only allegations and are not evidence of guilt. The defendant is presumed innocent unless and until proven guilty, and the government has the burden of proving his guilt beyond a reasonable doubt.
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Methamphetamine Trafficker Admits False Accusations and Receives over 14 Years in PrisonRead the Press Release
HONOLULU – Chief United States District Judge Susan Oki Mollway sentenced Malia Arciero, age 34, a Honolulu resident, yesterday to 172 months (14 years, four months) imprisonment for four counts of knowing and intentional distribution of 50 grams or more of methamphetamine. A federal jury found Arciero guilty of those charges on January 8, 2015.
Florence T. Nakakuni, United States Attorney for the District of Hawaii, said that Chief Judge Mollway found that Arciero’s accusations of criminal misconduct against the lead federal criminal investigator in the case during the criminal litigation constituted obstruction of justice and were attempts to manipulate the judicial proceedings toward a disposition favorable to her. On the eve of this sentencing, Arciero filed a sworn declaration that the prior assertions she made about the agent’s misconduct in the criminal litigation were unsubstantiated and without any basis. She also filed a dismissal of a state civil lawsuit against the agent containing similar allegations.
According to the information produced to the court, Arciero was arrested on April 30, 2013, as she was transporting a pound of methamphetamine to a person cooperating with law enforcement. After her arrest, Arciero confessed to transporting the methamphetamine and previously distributing multi-pound quantities of methamphetamine.
The case resulted from an investigation by agents of Immigration and Customs Enforcement’s Homeland Security Investigations. Assistant U.S. Attorney Beverly Wee Sameshima is handling the prosecution, while former Assistant U.S. Attorney Michael Kawahara conducted the prosecution through trial.
Mercer County man pleads guilty to Federal drug chargeRead the Press Release
Bluefield, W.Va. – United States Attorney Booth Goodwin announced that a Bluefield man pled guilty in federal court in Bluefield today to a federal drug charge. Steven Andrew Short, 29, pled guilty to using a communication facility to facilitate a felony, admitting that on April 8, 2015, he used a telephone near Rock, West Virginia, to arrange a drug deal with a confidential informant. Shortly after the phone call, Short sold hydromorphone to the informant. Short admitted that he had sold more than 1800 hydromorphone pills over a period of time. He faces up to four years in prison when he is sentenced on January 26, 2016
This case was investigated by the Southern Regional Violent Drug and Violent Crime Task Force under the Bluefield Pill Initiative, part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District. Assistant United States Attorney John File is handling the prosecution.
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Member of Pima Salt River Tribe Sentenced to Ten Years for Federal Child Sexual Abuse Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Patrick Watuema, 55, an enrolled member of the Pima Salt River Tribe in Ariz., was sentenced this morning in federal court in Albuquerque, N.M., to 120 months in prison followed by 20 years of supervised release for his aggravated child sexual abuse conviction. Watuema will be required to register as a sex offender when he completes his term of incarceration.
Watuema was arrested on May 5, 2014, on a criminal complaint alleging that he engaged in a sexual act with a child who had not attained the age of 12 years. Watuema subsequently was indicted on May 21, 2014, on an aggravated child sexual abuse charge. According to court filings, Watuema sexually assaulted a six-year-old Navajo child on April 30, 2014, in To’hajiilee, N.M., which is located in the Navajo Indian Reservation.
In entering his guilty plea on June 18, 2015, Watuema admitted sexually assaulting the six-year-old child victim on April 30, 2014. He also admitted to having unlawful sexual contact with the child victim on other occasions. Watuema acknowledged that the victim was under the age of 12 years at the time he committed the offense.
This case was investigated by the Albuquerque office of the FBI and the Crownpoint office of Navajo Nation Division of Public Safety with assistance from Albuquerque Sexual Assault Nurse Examiners (SANE) at the University of New Mexico Hospital, and was prosecuted by Assistant U.S. Attorney Elaine Y. Ramirez.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Martinsburg man sentenced to 15 years in prison for cocaine traffickingRead the Press Release
MARTINSBURG, WEST VIRGINIA – Gary Vincent Whorley, 32, of Martinsburg, was sentenced to 188 months in prison for cocaine trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Whorley sold cocaine base near an elementary school in Jefferson County, West Virginia. He pled guilty in June 2015 to one count of “Aiding and Abetting the Distribution of Cocaine Base within 1,000 Feet of a School.” Whorley has multiple previous drug trafficking convictions. As a result, he was classified as a Career Offender and his advisory sentencing guideline range was enhanced pursuant to the Federal Sentencing Guidelines.
One of Whorley’s co-defendants, Dawn Marie Wiley, 26, of Kearneysville, West Virginia, pled guilty to the same offense and was sentenced to 21 months in prison.
Assistant U.S. Attorney Paul Camilletti prosecuted the case on behalf of the government. The Eastern Panhandle Drug and Violent Crime Task Force, a HIDTA-funded initiative, and the Charles Town, West Virginia Police Department investigated.
Chief U.S. District Judge Gina M. Groh presided.
Marshall County, WV woman sentenced for cocaine traffickingRead the Press Release
WHEELING, WEST VIRGINIA – Alicia D. Duerr, 30, of Moundsville, West Virginia, was sentenced today to 37 months in prison for cocaine trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Duerr repeatedly conspired with other individuals to possess and to distribute crack cocaine in Ohio and Marshall Counties in West Virginia. She pled guilty in June 2015 to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Crack Cocaine.”
Assistant U.S. Attorney Robert McWilliams, Jr. prosecuted the case on behalf of the government. The Marshall County Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Frederick P. Stamp presided.
Marshall County woman sentenced for stealing from local non-profitRead the Press Release
WHEELING, WEST VIRGINIA – Richelle D. Blair, 37, of Glen Dale, West Virginia, was sentenced today for embezzling money from a local non-profit organization, United States Attorney William J. Ihlenfeld, II, announced.
Blair was formerly employed by Marshall County Starting Points Center, Inc., a non-profit social services organization in Marshall County, West Virginia. Starting Points receives federal grants from the United States Department of Health and Human Services. Blair repeatedly utilized the organization’s funds to purchase items for her own personal use.
Blair pled guilty in June 2015 to a criminal Information charging her with one count of “Theft from an Organization Receiving Federal Funds.” She was sentenced today to probation for a period of two years and ordered to pay restitution in the amount of $23,000.
Assistant U.S. Attorney Jarod Douglas prosecuted the case on behalf of the government. The Federal Bureau of Investigation led the inquiry.
U.S. District Judge John Preston Bailey presided.
Man Sentenced to Prison for Gainesville Bank RobberyRead the Press Release
GAINESVILLE, FLORIDA – Jack Lee Wright, 53, of Ft. Lauderdale, Florida, was sentenced today to 18 months in prison for knowingly taking U.S. currency by force from a Gainesville bank. The sentence was announced by Christopher P. Canova, Acting United States Attorney for the Northern District of Florida.
During his guilty plea on June 23, 2015, Wright admitted that, on April 25, 2014, he handed a Wells Fargo Bank teller a note listing the monetary denominations he wanted. He told her that she had ten seconds to give him the money, that she should not alert anyone, and that he had a gun in his bag. As a result, the teller gave Wright $2,025. In June 2014, Wright was identified as the perpetrator of a bank robbery in Glenwood Springs, Colorado, through a surveillance video shown on the news. Wright was later located and arrested in Maryland, possessing $10,000 and a suitcase containing clothes worn in other robberies. Officers also found a toy gun under the seat of his truck.
The court ordered that Wright’s sentence be served consecutively to the 48-month federal prison sentence imposed in Colorado.
The charges were the result of an investigation by the Federal Bureau of Investigation, the Gainesville Police Department, and the Thurmont, Maryland Police Department. The case was prosecuted by Assistant United States Attorney Gregory P. McMahon.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern
District of Florida, visit http://www.justice.gov/usao/fln/index.html.
For more information, contact:
Amy Alexander, Public Information Officer
(850) 216-3854, [email protected]
Man Charged in Bank RobberyRead the Press Release
Donald Joseph Brown, 44, previously living in Philadelphia, PA, was charged today by indictment with bank robbery, announced U.S. Attorney Zane David Memeger. The indictment charges that Brown committed a robbery of the TD Bank, located at 3805 Neshaminy Boulevard in Bensalem, Pennsylvania, on August 27, 2015.
If convicted, Brown faces a maximum sentence of 20 years in prison, a $250,000 fine, three years of supervised release, and a $100 special assessment.
This case has been investigated by the Federal Bureau of Investigation and the Bensalem Township Police Department. The case has been assigned to Assistant United States Attorney Thomas M. Zaleski.
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Lowell Man Arrested for $440,000 Embezzlement SchemeRead the Press Release
BOSTON – A Lowell man was arrested yesterday on bank fraud charges in connection with his theft of more than $440,000 from the Spain-based seafood and fish distributor for which he served as the United States representative.
Jorge Manuel Silva, 58, was indicted on 23 counts of bank fraud. He was released on conditions during his initial appearance today before U.S. District Court Magistrate Judge Donald L. Cabell.
The indictment alleges that Silva was an independent contractor for Seaport Fish Co., a corporation established to distribute fish and seafood in the United States by Freiremar Group, headquartered in Spain. Silva was responsible for coordinating sales to Seaport customers, collecting customer payments, and depositing those payments into Seaport’s account at Bank of America. The indictment alleges that, from July 2008 through June 2010, Silva instead diverted more than $903,000 in Seaport customer checks to two accounts he held at Enterprise Bank in Lowell.
On occasion, Silva reimbursed Seaport with checks drawn on his Enterprise accounts several weeks or months after he had deposited the customer checks into those accounts. On other occasions, he used Seaport funds to pay personal expenses and the expenses for his other businesses. In this fashion, Silva diverted about $440,000 of Seaport funds to his own uses.
The charge of bank fraud provides a sentence of no greater than 30 years in prison, five years of supervised release, and a fine of $1 million. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Joseph R. Bonavolonta, Acting Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement. The case is being prosecuted by Assistant U.S. Attorney Sandra S. Bower of Ortiz’s Economic Crimes Unit.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leucadia National Corporation to pay $240,000 Civil Penalty for Violating Antitrust Premerger Notification RequirementsRead the Press Release
The Justice Department’s Antitrust Division, at the request of the Federal Trade Commission, filed a civil antitrust lawsuit today in U.S. District Court in Washington, D.C., against Leucadia National Corporation for violating the premerger notification and waiting period requirements of the Hart-Scott-Rodino (HSR) Act of 1976 when it acquired voting securities of KCG Holdings Inc. in July 2013. At the same time, the department filed a proposed settlement, subject to approval by the court, under which Leucadia has agreed to pay a $240,000 civil penalty to resolve the lawsuit.
The HSR Act of 1976, an amendment to the Clayton Act, imposes notification and waiting period requirements for transactions meeting certain size thresholds so that they can undergo premerger antitrust review. Federal courts can assess civil penalties for premerger notification violations under the HSR Act in lawsuits brought by the Department of Justice. For a party in violation of the HSR Act, the maximum civil penalty is $16,000 per day.
Further details about this matter are described in the FTC’s press release issued today, and in the attached complaint.
Leucadia Complaint (206.18 KB)
Leucadia Stipulation (75.35 KB)
Lehigh Acres Man Sentenced to Federal Prison for Possessing Child PornographyRead the Press Release
Fort Myers, Florida – U.S. District Judge John E. Steele today sentenced George Borroto (23, Lehigh Acres) to four years in federal prison for possessing child pornography. He pleaded guilty on February 25, 2015.
According to court documents, from at least July 8, 2014, through August 25, 2014, Borroto knowingly possessed child pornography. During the execution of a search warrant at his home on August 25, 2014, agents located and seized Borroto’s cellphone. A forensic examination of the phone subsequently revealed 88 images depicting child pornography, along with a messaging app that Borroto’s had downloaded and used for chatting with others and for receiving child pornography.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
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 United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Las Cruces Man Sentenced to Federal Prison for Heroin Trafficking and Firearms ConvictionRead the Press Release
ALBUQUERQUE — Jessie Manuel Pena, 32, of Las Cruces, N.M., was sentenced this morning in federal court in Las Cruces to 77 months in prison followed by three years of supervised release for his conviction on heroin trafficking and firearms charges.
Pena was arrested on April 22, 2015, on a criminal complaint charging him with being a felon in possession of a firearm and possession of heroin. According to the complaint, on July 19, 2013, in Doña Ana County, N.M., law enforcement officers located and arrested Pena on a state warrant for a probation violation and failure to appear. During a search incident to Pena’s arrest, the officers seized a loaded handgun from the waistband of Pena’s pants and approximately 11.4 grams of heroin from a pocket in Pena’s pants.
Pena was subsequently indicted on July 16, 2014, and charged with being a felon in possession of a firearm and ammunition, possession of a firearm and ammunition by a user and addict of a controlled substance, and simple possession of heroin. Pena was prohibited from possessing firearms or ammunition because he previously had been convicted of distribution of marijuana, tampering with evidence, possession of a firearm or destructive device by a felon, possession of a controlled substance, residential burglary and larceny.
On Sept. 3, 2014, Pena pled guilty to the indictment without the benefit of a plea agreement.
This case was investigated by the Las Cruces office of the FBI, the U.S. Marshals Service and the Las Cruces Police Department. Assistant U.S. Attorney Maria Y. Armijo prosecuted this case pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative.
The HOPE Initiative is a collaborative effort between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative.
Justice Department Awards $232,000 to NOPD for Body-Worn Camera ProgramRead the Press Release
U.S. Attorney Kenneth A. Polite announced today that, as part of President Obama’s commitment to building trust and transparency between law enforcement and the communities they serve, the Justice Department has awarded a $232,000 grant to the New Orleans Police Department to expand the use of body-worn cameras and explore their impact.
Attorney General Loretta E. Lynch announced that the Justice Department has awarded grants totaling more than $23.2 million to 73 local and tribal agencies in 32 states. The body-worn camera pilot program announced in May 2015 includes $19.3 million to purchase body-worn cameras, $2 million for training and technical assistance and $1.9 million to examine the impact of their use. The grants, awarded by the department’s Office of Justice Programs (OJP), build on President Obama’s proposal to purchase 50,000 body-worn cameras for law enforcement agencies within three years.
“This vital pilot program is designed to assist local jurisdictions that are interested in exploring and expanding the use of body-worn cameras in order to enhance transparency, accountability and credibility,” said Attorney General Lynch. “The impact of body-worn cameras touches on a range of outcomes that build upon efforts to mend the fabric of trust, respect and common purpose that all communities need to thrive.”
“We thank the DOJ and OJP for this grant award in support of NOPD’s reform efforts. Body-worn cameras are essential to protecting, and building trust between, our law enforcement officers and the public they serve.”
The grants, which require a 50/50 in-kind or cash match, can be used to purchase equipment and require that applicants establish a strong implementation plan and a robust training policy before purchasing cameras. Each agency awarded a grant is responsible for developing a plan for long-term storage, including the cost of storing data.
In addition to funds to help purchase body-worn cameras and train officers in their use, grants under the Bureau of Justice Assistance’s (BJA’s) Smart Policing Initiative will support police departments in Miami, Milwaukee and Phoenix as they examine the impact of body-worn cameras on citizen complaints, internal investigations, privacy, community relationships and cost effectiveness. Each of these three departments will partner with a research institution to gain insight on the merits of deploying body-worn camera programs.
Johns Island Man Sentenced to Ten Years for Viewing Child PornographyRead the Press Release
Contact Person: Dean Secor (843) 727-4381
Columbia, South Carolina---- United States Attorney Bill Nettles stated that Horace Leon Crosby, Jr., age 43, of Johns Island, South Carolina was sentenced in federal court in Charleston, South Carolina, for Accessing with Intent to View Child Pornography, a violation of 18 U.S.C. §§ 2252A(a)(5)(B) and 2252A(b)(2). United States District Judge Richard M. Gergel of Charleston sentenced Crosby to 120 months and Lifetime Supervised Release.
Evidence presented at the change of plea hearing established that the U.S. Immigration and Customs Enforcement Homeland Security Investigations (ICE-HSI), Charleston, South Carolina initiated an investigation into a Peer to Peer (P2P) internet software user utilizing an internet protocol (IP) address located in Johns Island. In April 2013, undercover ICE-HSI agents were able to determine that the P2P user’s shared folder had listed multiple files with titles indicative of child pornography. Further investigation revealed that Crosby was the internet subscriber and P2P user for the IP address.On June 20, 2013, ICE-HSI agents and the Charleston County Sheriff's Office executed a search warrant at Crosby’s residence and his computer was seized. During the execution of the search warrant, Crosby was interviewed and convicted in state court in South Carolina in 1990 and 1996 for Committing Lewd Acts on Minors. Those prior convictions increased the penalties faced by Crosby in this child pornography case. The case was investigated by agents of the Immigration and Customs Enforcement Homeland Security Investigations (ICE-HSI) with the assistance of the Charleston County Sheriff’s Office. Assistant United States Attorney Dean H. Secor of the Charleston office prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information, please visit www.projectsafechildhood.gov. #####Johnny Ray Sammons Sentenced to 393 Months in Prison for Producing and Distributing Child PornographyRead the Press Release
KNOXVILLE, Tenn.- On Sept. 21, 2015, Johnny Ray Sammons, 33, of Gatlinburg, Tenn., was sentenced by the Honorable Thomas A. Varlan, Chief U.S. District Judge, to serve 393 months in prison for producing child pornography and distribution of child pornography. Following his release from prison, Sammons will be supervised by the U.S. Probation Office for a term of 25 years and will be required to register with the sex offender registry in any state in which he resides, works, or attends school.
Sammons pleaded guilty in March 2015 to federal charges stemming from his use of two minor females to make pornographic videos and pictures and his distribution of those depictions to others via the Internet. Undercover investigators with the Knoxville Police Department’s Internet Crimes Against Children Task Force (KPD-ICAC) and U.S. Homeland Security Investigations (HSI) learned that someone in the Gatlinburg area was circulating child pornography from a publicly open wireless router to undercover investigators in Queensland, Australia. KPD-ICAC investigators utilized an undercover persona to contact the suspect and glean more information about the source of the child pornography. During an undercover surveillance in the area of the public wireless router, investigators spotted the victims at a local fast food restaurant. Sammons was identified as the person who was making and distributing the child pornography and arrested.
This investigation was conducted by KPD-ICAC, HSI, and the Gatlinburg Police Department. Assistant U.S. Attorney Matthew Morris represented the United States.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Irish National Extradited to the United States from the United Kingdom for Trafficking of Rhinoceros HornsRead the Press Release
Patrick Sheridan, an Irish national, who was arrested on Jan. 9, 2015, in the United Kingdom pursuant to a request by the United States, was extradited to the United States on Friday and appeared in federal court in Waco, Texas yesterday. The U.S. sought Sheridan’s extradition for his role in trafficking black rhinoceros horns, announced Assistant Attorney General John C. Cruden for the Department of Justice’s Environment and Natural Resources Division.
“This extradition is a significant step forward in our international efforts to address wildlife trafficking and demonstrates that our international partners are also committed to ending this illegal trade in endangered species,” said Assistant Attorney General Cruden. “Rhino horn trafficking is having a devastating effect on the rhino and the allegations facing this individual are just the type of illegal behavior that is fueling an international market for horns. We must stop it in its tracks.”
On May 13, 2014, a federal grand jury in Waco, Texas, returned an indictment that has since been unsealed, charging Patrick Sheridan and a co-defendant with conspiring to traffic in horns from black rhinoceros. In addition to conspiracy, the indictment charges substantive violations of the Lacey Act for wildlife trafficking and making a false wildlife document.
According to the indictment, Sheridan, along with a co-defendant and Michael Slattery Jr., used a “straw buyer” to purchase two black rhinoceros horns from a taxidermist in Texas, which the group then transported to New York, where they sold the horns. In January 2014, Michael Slattery Jr. pleaded guilty and was sentenced 14-months in prison for his role in the conspiracy. In addition to the trafficking, the indictment also charges Sheridan and his co-defendant with making a fictitious and fraudulent bill of sale in connection with the rhinoceros horns, in an attempt to make their illegal purchase of the horns appear legal.
The transport of Sheridan to the Western District of Texas to face these charges concluded the extradition process from the United Kingdom, a process governed by an extradition treaty between the United States and the United Kingdom. Sheridan’s arraignment and detention hearing is scheduled in federal court in Waco on Sept. 24, 2015.
The charges contained in the indictment are merely accusations and the defendants are presumed innocent unless and until proven guilty in a court of law. If convicted of these charges, the defendants each face up to five years in prison on each of the charges, as well as fines up to $250,000.
The case was investigated by agents from U.S. Fish and Wildlife Service Office of Law Enforcement. The case is being prosecuted by Assistant U.S. Attorney Greg Gloff for the Western District of Texas and Trial Attorney Gary N. Donner of the Justice Department’s Environmental Crimes Section, with assistance from the Justice Department’s Office of International Affairs.
Hugo Man Found Guilty of Felon in Possession of ExplosiveRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that KENNETH JAMES HEBERT, a/k/a Keno, age 51, of Hugo, Oklahoma was found guilty, by a federal jury, for being a FELON IN POSSESSION OF EXPLOSIVE, in violation of Title 18, United States Code, Sections 842(i)(1), 844(a)(1) and 2. The jury trial began on Monday, September 21, 2015 and concluded on September 22, 2015 with the guilty verdict.
Evidence at trial proved that in or about January 2014, the exact date being unknown to the Grand Jury, within the Eastern District of Oklahoma, the defendant, having been convicted in the District Court of Choctaw County, Oklahoma, for a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, an explosive, to-wit: ATLAS SF Electric Blasting Caps, which had been shipped and transported in interstate commerce.
The verdict obtained was the result of an investigation by the Hugo Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable James H. Payne, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the trial and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendant was remanded into custody of the United States Marshal Service pending sentencing.
The statutory range of punishment is not more than 10 years imprisonment, up to a $250,000.00 fine or both.
Assistant United States Attorneys Chris Wilson represented the United States.
Hudson County, New Jersey, Check-Casher Admits Failing to File Federally Required Reports for Cash Transactions over $10,000Read the Press Release
NEWARK, N.J. – A Hudson County, New Jersey, man today admitted to failing to file federally required currency transaction reports in connection with his check-cashing business, U.S. Attorney Paul J. Fishman announced.
Louis Sclafane, 83, of Bayonne, pleaded guilty before U.S. District Judge Kevin McNulty in Newark federal court to an information charging him with causing a domestic financial institution to fail to file Currency Transaction Reports (CTR), which are required for U.S. currency transactions in excess of $10,000 conducted by or on behalf of a single person on the same day, totaling $381,595 over a year and a half.
According to documents filed in this case and statements made in court:
Sclafane was the owner and sole proprietor of Advance Financial (AF), a check-cashing establishment located in Bayonne. Sclafane oversaw the day-to-day operations of AF, such as cashing checks for its customers and withdrawing currency from bank accounts associated with AF.
Between Sept. 29, 2010 and April 2012, Sclafane cashed at least 20 checks over $10,000 each without filing CTRs with the U.S. Treasury, despite being required to do so by the Federal Bank Secrecy Act.
The charge of causing a financial institution to fail to file CTRs for the purpose of evading the reporting requirements of the Bank Secrecy Act, to which Sclafane pleaded guilty, carries a maximum potential penalty of 10 years in prison and a maximum fine of $500,000. Sentencing is scheduled for Jan. 6, 2016.
U.S. Attorney Fishman credited special agents of the IRS Criminal Investigations Division, under the direction of Special Agent in Charge Jonathan D. Larsen in Newark; special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel in Newark, and special agents of the U.S. Department of Housing and Urban Development, Office of the Inspector General, under the direction of Special Agent in Charge Christina Scaringi, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jacques S. Pierre of the Special Prosecutions Division and Assistant U.S. Attorney Steven G. Sanders of the Appeals Division.
Defense counsel: Perter Carter Esq., Assistant Federal Public Defender, Newark
Hope Man Sentenced to 70 Months in Prison for Transporting Child PornographyRead the Press Release
Contact: Benjamin M. Block
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Conrad Neal Freeman, 21, of Hope, Maine, was sentenced today in U.S. District Court by Judge Nancy Torresen to 70 months in prison and 7 years of supervised release for transporting child pornography and for possession of child pornography. Abbott pleaded guilty to the charges on May 21, 2015.
According to court records, in January 2014, Freeman engaged in an online chat with an undercover Special Agent with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) in California. In that conversation, Freeman agreed to send the undercover agent images of child pornography in exchange for the opportunity to observe the agent engage in sexual acts with the agent’s purported 11-year-old daughter. Freeman then sent the undercover agent 10 images and 1 video containing child pornography. A search warrant later executed at Freeman’s residence in Hope resulted in the recovery of a laptop containing 65 images and 5 videos containing child pornography.
The investigation was conducted by HSI. The 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 U.S. 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.Former U.S. Army Specialist Sentenced to 30 Months in Prison for Taking Bribes While Deployed in AfghanistanRead the Press Release
A former specialist with the U.S. Army stationed at Forward Operating Base (FOB) Gardez, Afghanistan, was sentenced today to 30 months in prison for accepting a $20,000 bribe from a truck driver in exchange for allowing him to take thousands of gallons of fuel from the base.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Acting U.S. Attorney Brian Stretch of the Northern District of California and U.S. Attorney Michael J. Moore of the Middle District of Georgia made the announcement.
Anthony Don Tran, 28, of Stockton, California, pleaded guilty on June 9, 2015, to bribery of a public official. In addition to imposing the prison term, U.S. District Judge Beth L. Freeman of the Northern District of California ordered Tran to pay $69,000 in restitution and to forfeit $11,437 as well as a vehicle that he purchased with bribe proceeds.
In connection with his guilty plea, Tran admitted that, in exchange for approximately $20,000 in cash, he permitted a local Afghan fuel truck driver to depart FOB Gardez without downloading roughly 12,000 gallons of fuel purchased by the U.S. government and designated for the base. Tran admitted that, on May 21, 2013, after returning to the U.S., he used the cash to purchase a 2010 Dodge Challenger.
Tran also admitted to accepting at least $1,000 in cash from another member of his unit, former U.S. Sergeant Seneca Darnell Hampton, 31, of Columbus, Georgia, in exchange for Tran’s agreement not to report Hampton or former U.S. Sergeant First Class James Edward Norris, 33, of Fort Irwin, California, for also taking cash bribes in exchange for fuel. Both Hampton and Norris previously pleaded guilty to one count of conspiracy to commit bribery of a public official and one count of money laundering. Hampton was sentenced to 24 months in prison, and Norris was sentenced to 51 months in prison. In addition, both Hampton and Norris were ordered to pay restitution and to forfeit vehicles purchased with bribe proceeds.
The case was investigated by the U.S. Army Criminal Investigation Command, the Office of the Special Inspector General for Afghanistan Reconstruction, the Defense Criminal Investigative Service and the Defense Contract Audit Agency’s Investigative Support Division. The case is being prosecuted by Trial Attorneys John Keller and Sean Mulryne of the Criminal Division’s Public Integrity Section and the U.S. Attorney’s Offices of the Northern District of California and Middle District of Georgia.
Former U.S. Army Specialist Sentenced to 30 Months in Prison for Taking Bribes While Deployed in AfghanistanRead the Press Release
WASHINGTON – A former specialist with the U.S. Army stationed at Forward Operating Base (FOB) Gardez, Afghanistan, was sentenced today to 30 months in prison for accepting a $20,000 bribe from a truck driver in exchange for allowing him to take thousands of gallons of fuel from the base.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Acting U.S. Attorney Brian Stretch for the Northern District of California and U.S. Attorney Michael J. Moore of the Middle District of Georgia made the announcement.
Anthony Don Tran, 28, of Stockton, California, pleaded guilty on June 9, 2015, to bribery of a public official. In addition to imposing the prison term, U.S. District Judge Beth L. Freeman of the Northern District of California ordered Tran to pay $69,000 in restitution and to forfeit a vehicle that he purchased with bribe proceeds as well as $11,437.
In connection with his guilty plea, Tran admitted that, in exchange for approximately $20,000 in cash, he permitted a local Afghan fuel truck driver to depart FOB Gardez without downloading roughly 12,000 gallons of fuel purchased by the U.S. government and designated for the base. Tran admitted that, on May 21, 2013, after returning to the U.S., he used the cash to purchase a 2010 Dodge Challenger.
Tran also admitted to accepting at least $1,000 in cash from another member of his unit, former U.S. Sergeant Seneca Darnell Hampton, 31, of Columbus, Georgia, in exchange for Tran’s agreement not to report Hampton or former U.S. Sergeant First Class James Edward Norris, 33, of Fort Irwin, California, for also taking cash bribes in exchange for fuel. Both Hampton and Norris previously pleaded guilty to one count of conspiracy to commit bribery of a public official and one count of money laundering. Hampton was sentenced to 24 months in prison, and Norris was sentenced to 51 months in prison. In addition, both Hampton and Norris were ordered to pay restitution and to forfeit vehicles purchased with bribe proceeds.
The case was investigated by the U.S. Army Criminal Investigation Command, the Office of the Special Inspector General for Afghanistan Reconstruction, the Defense Criminal Investigative Service and the Defense Contract Audit Agency’s Investigative Support Division. The case is being prosecuted by Trial Attorneys John Keller and Sean Mulryne of the Criminal Division’s Public Integrity Section and the U.S. Attorney’s Offices of the Northern District of California and Middle District of Georgia.
Former U.S. Army Specialist Sentenced to 30 Months in Prison for Taking Bribes While Deployed in AfghanistanRead the Press Release
SAN JOSÉ – A former specialist with the U.S. Army stationed at Forward Operating Base (FOB) Gardez, Afghanistan, was sentenced today to 30 months in prison for accepting a $20,000 bribe from a truck driver in exchange for allowing him to take thousands of gallons of fuel from the base announced Acting U.S. Attorney Brian Stretch, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, and U.S. Attorney Michael J. Moore of the Middle District of Georgia.
Anthony Don Tran, 28, of Stockton, California, pleaded guilty on June 9, 2015, to bribery of a public official. The sentence was handed down by U.S. District Judge Beth L. Freeman. Judge Freeman also ordered Tran to pay $69,000 in restitution and to forfeit a vehicle that he purchased with bribe proceeds as well as $11,437.
In connection with his guilty plea, Tran admitted that, in exchange for approximately $20,000 in cash, he permitted a local Afghan fuel truck driver to depart FOB Gardez without downloading roughly 12,000 gallons of fuel purchased by the U.S. government and designated for the base. Tran admitted that, on May 21, 2013, after returning to the U.S., he used the cash to purchase a 2010 Dodge Challenger.
Tran also admitted to accepting at least $1,000 in cash from another member of his unit, former U.S. Sergeant Seneca Darnell Hampton, 31, of Columbus, Georgia, in exchange for Tran’s agreement not to report Hampton or former U.S. Sergeant First Class James Edward Norris, 33, of Fort Irwin, California, for also taking cash bribes in exchange for fuel. Both Hampton and Norris previously pleaded guilty to one count of conspiracy to commit bribery of a public official and one count of money laundering. Hampton was sentenced to 24 months in prison, and Norris was sentenced to 51 months in prison. In addition, both Hampton and Norris were ordered to pay restitution and to forfeit vehicles purchased with bribe proceeds.
The case was investigated by the U.S. Army Criminal Investigation Command, the Office of the Special Inspector General for Afghanistan Reconstruction, the Defense Criminal Investigative Service and the Defense Contract Audit Agency’s Investigative Support Division. The case is being prosecuted by Trial Attorneys John Keller and Sean Mulryne of the Criminal Division’s Public Integrity Section and the U.S. Attorney’s Offices of the Northern District of California and Middle District of Georgia.
Former Owner of Edgewater Medical Center Pleads Guilty to Perjury for Willfully Impeding Efforts to Collect $188 Million in Civil JudgmentsRead the Press Release
CHICAGO — The former owner of Edgewater Medical Center on Chicago’s North Side pleaded guilty today to a federal perjury charge stemming from his efforts to thwart attempts by the U.S. and a creditor to collect more than $188 million in civil judgments.
PETER G. ROGAN admitted that he lied in a federal affidavit when he denied controlling millions of dollars in a trust account in the Bahamas, according to a written plea agreement. Rogan acknowledged that he had control over the money and its distribution to beneficiaries, and that he had established the trust to protect his assets from judgment creditors. Rogan also admitted that he willfully violated several court orders in a bank creditor lawsuit, when he made – and caused his legal counsel to make – false representations to the Court about his control over the offshore trust.
Rogan’s false statements in the affidavit and his willful disobedience of Court orders were intended to prevent the U.S. government and the bank creditor from collecting more than $188 million in combined civil judgments arising from fraud during Rogan’s tenure as CEO of the now-shuttered hospital, according to the plea agreement.
Rogan, 69, formerly of Valparaiso, Ind., pleaded guilty to one count of perjury. Under the terms of the plea agreement, Rogan faces a sentence of 12 to 21 months in prison. U.S. District Judge Harry D. Leinenweber scheduled a sentencing hearing for Oct. 14, 2015, at 9:45 a.m.
Rogan once owned Edgewater Medical Center and later sold it, but he continued to manage the facility through various companies he owned. The hospital, located at 5700 N. Ashland Ave., closed in 2001 amidst a federal criminal investigation that resulted in the healthcare fraud convictions of a Rogan-owned management company, a hospital administrator and several doctors, the latter of whom performed medically unnecessary surgical procedures and treatments on unsuspecting patients.
After a civil trial in 2006, the United States obtained a judgment of $64,259,032 against Rogan for his role in Edgewater’s submission of false claims for reimbursement under the Medicare program. The following year, Dexia Crédit Local, a bank that extended credit financing to the hospital, was awarded a $124 million default judgment in a separate civil fraud suit against Rogan and his companies.
In the course of their respective proceedings against Rogan, the United States and Dexia discovered that Rogan’s Bahamian trust account was being used to hold millions of dollars in secret offshore assets. Rogan had created the trust with the help of FREDERICK M. CUPPY, an Indiana attorney, as well as another attorney described in the indictment and plea agreement as “Florida Lawyer.” Cuppy, formerly of Valparaiso, Ind., and now of Fort Lauderdale, Fla., pleaded guilty to a perjury charge before Judge Leinenweber. He was sentenced in 2013 to one year and a day in prison.
On Dec. 21, 2006, Rogan responded to the government’s collection efforts by filing an affidavit with the Court in which he denied that he exercised control over assets in the trust account. Rogan admitted in the plea agreement that this statement was false and misleading. Rogan also admitted that he willfully and wrongfully violated several court orders in the Dexia litigation, including lying and causing his attorneys to lie to the Court about his control over his offshore trust.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and John A. Brown, Acting Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation.
The government is represented by Assistant United States Attorneys Andrew S. Boutros, Daniel W. Gillogly, Eric S. Pruitt and Joseph A. Stewart.
Plea Agreement
Former Employee of Social Security Administration Sentenced to 21 Months in Federal Prison for Cashing Her Deceased Mother's Social Security ChecksRead the Press Release
CHICAGO —A former employee of the Social Security Administration has been sentenced to 21 months in federal prison for cashing her deceased mother’s Social Security checks for nearly 30 years after her death.
GEORGIA THOMPSON, 68, of Chicago, received $419,644 in fraudulent benefits from 1986 to 2014. Thompson’s mother died on Aug. 3, 1986, but Thompson failed to notify the Social Security Administration, even though Thompson herself was employed by the agency.
Thompson pleaded guilty in June to one count of theft of government funds. On Monday, U.S. District Judge Andrea R. Wood imposed a sentence of 21 months in federal prison. Judge Wood also ordered Thompson to pay $419,644 in restitution.
For the first 21 years after the death of Thompson’s mother, the U.S. Treasury mailed checks to a Post Office Box in Chicago that was controlled by Thompson. Thompson converted the funds to her own use by forging her mother’s signature on the checks.
In approximately October 2007, Thompson used her deceased mother’s personal identifying information to instruct the Social Security Administration to directly deposit the funds into a bank account controlled by Thompson. The U.S. Treasury complied with the instruction and continued to pay the Social Security benefits. It also sent Thompson a one-time stimulus payment of $250 in May 2009.
The Social Security Administration discovered the fraud in 2014 after noticing that Thompson’s deceased mother had not used her Medicare benefits in several years.
The sentence was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; and Tracey Thanos, Special Agent-in-Charge of the Chicago Field Division of the Social Security Administration’s Office of the Inspector General.
The government was represented by Special Assistant U.S. Attorney Jared C. Jodrey.
Federal Court Permanently Bars Wisconsin Tax Return Preparer from Preparing Tax Returns for OthersRead the Press Release
Allegedly Concocted Phony Businesses and Made Other False Claims on Customers’ Returns
A federal court has permanently barred an Appleton, Wisconsin, tax return preparer from preparing federal tax returns for others, the Justice Department announced today.
The civil injunction order prohibits Gerardo Garcia, aka Gerry Garcia, and his firm Garcia Enterprises LLC, from acting as a tax return preparer and from continuing to operate a tax return preparation business. The order was entered by the U.S. District Court for the Eastern District of Wisconsin. Garcia agreed to the entry of the injunction but did not admit to the allegations in the civil complaint against him.
According to the complaint, Garcia prepared false and improper returns during the 2015 filing season, even though the Internal Revenue Service (IRS) had previously assessed $26,000 in penalties against him. The complaint alleged that Garcia prepared tax returns on which he concocted phony businesses for his customers in order to understate his customers’ tax liabilities or inflate their refunds. In addition, as alleged in the complaint, Garcia fabricated business expenses, understated his customers’ business income and claimed other false or improper deductions, credits and filing statuses. In one case, the complaint alleged that Garcia prepared two tax returns for a customer that reported more than $10,000 in losses over two years from a non-existent “aquaculture” business that Garcia asserted his customer owned. The complaint cited several additional examples, including Garcia improperly claiming child tax credits for children, who live outside of the United States; dependency exemptions without proof the customer supported the children; and incorrect filing statuses, such as head-of-household, that resulted in more favorable tax rates.
The injunction order requires Garcia to provide the United States with a list of his customers since 2010 and to send a copy of the court’s injunction order to all customers for whom he prepared returns. The injunction order also requires Garcia to provide a link to the court’s injunction order on any website he maintains and to post a copy in any physical business location in which he receives customers and potential customers for any bookkeeping, payroll or other financial services.
Return preparer fraud is one of the IRS’ Dirty Dozen Tax Scams for 2015. The IRS has some tips on their website for choosing a tax preparer, and has launched a free directory of federal tax preparers. In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers and tax scheme promoters. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Federal Authorities Arrest New Mexico Man Charged with Sex Trafficking of ChildrenRead the Press Release
In El Paso, a federal grand jury has charged a 31-year-old Artesia, NM, man with sex trafficking of children announced United States Attorney Richard L. Durbin, Jr., Federal Bureau of Investigation (FBI) Special Agent in Charge Douglas E. Lindquist, El Paso Division, and Homeland Security Investigations (HSI) Special Agent in Charge Waldemar Rodriguez, El Paso Division.
The federal indictment, returned on September 9, 2015, charges Vernon Dimayuga (aka “Vito”) with three counts of Sex Trafficking of Children. According to the indictment filed in this case, beginning in May 2011 through May 2012, Dimayuga recruited three children under the age of 18 to engage in commercial sex acts.
Federal authorities arrested Dimayuga in Las Cruces, NM, on Friday. The indictment and arrest warrant were unsealed during his initial appearance yesterday in federal court in Las Cruces before U.S. Magistrate Judge Joel M. Carson. He remains in federal custody pending a preliminary and detention hearing scheduled for 9:30am on Thursday before U.S. Magistrate Judge Stephan M. Vidmar in Las Cruces.
“The arrest of Mr. Dimayuga for sex trafficking of minors demonstrates that the FBI and our partners in the Department of Homeland Security, El Paso Police Department, and El Paso County Sheriff's Office will investigate all instances where children in our community are being harmed or exploited,” said FBI Special Agent in Charge Douglas E. Lindquist, El Paso Division.
“HSI special agents are committed to working with our law enforcement partners to ensure those responsible for such heinous acts are justly prosecuted,” Waldemar Rodriguez, Special Agent in Charge of HSI El Paso, said.
Upon conviction, the defendant faces between ten years and life in federal prison.
This case was the result of a joint investigation by the Federal Bureau of Investigation and Homeland Security Investigations as part of the Anti-Trafficking Coordination Team (ACTeam). Assistant United States Attorney Rifian Newaz is prosecuting this case on behalf of the Government.
An indictment is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.
Father and Son Head to Prison in Massive Marijuana Grow Field CaseRead the Press Release
BROWNSVILLE, Texas – Miguel Echevarria-Zuniga, 51, and Miguel Echevarria-Guizar, 22, have been ordered to federal prison following their convictions of manufacturing marijuana, announced U.S. Attorney Kenneth Magidson. The father and son pleaded guilty April 3, 2015.
Today, U.S. District Judge U.S. District Andrew S. Hanen handed Echevarria-Guizar a total of 36 months in federal prison. Echevarria-Zuniga was sentenced last month to serve 42 months for the marijuana charge and for being an alien found in the United States after having been deported. Both men are expected to face deportation proceedings following their release from prison.
The convictions stem from an August 2014 alien smuggling investigation by Homeland Security Investigations (HSI) which revealed that part of a 40-acre tract of land in a rural area of Willacy County was being used to grow marijuana. Agents discovered more than 9,000 marijuana plants growing in the field.
Agents arrested the Echevarrias, both Mexican citizens, as they attempted to abscond from the area. Initially, the Echevarrias denied any involvement with marijuana field and claimed to be part of a group of illegal aliens that were being housed in a different part of the land. However, fingerprint analysis linked both defendants to items found in the marijuana field. Agents also searched a storage shed which was rented by Echevarria-Zuniga and found sales receipts for items found in the marijuana field.
Both men have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
This case was investigated by HSI and prosecuted by Assistant U.S. Attorneys Israel Cano III and David A. Coronado.
El Paso Man Sentenced to 7 Years in Federal Prison for Brokering 25 Kilogram Cocaine DealRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration for New England, announced that ANDREW DURON, also known as “Chavo,” 35, of El Paso, Texas, was sentenced today by U.S. District Judge Jeffrey Alker Meyer in New Haven to 84 months of imprisonment, followed by four years of supervised release, for brokering a 25 kilogram cocaine transaction.
According to court documents and statements made in court, DURON was involved in a cocaine trafficking organization that transported cocaine from Texas to Connecticut. In 2014, the organization attempted to find an additional source of supply for its Hartford area cocaine customers. In July 2014, a DEA confidential source met DURON in North Carolina. During the meeting, DURON told the confidential source that he wanted to purchase up to 50 kilograms of cocaine for $28,000 per kilogram. On August 14, 2014, DURON, the confidential source and an undercover DEA agent met in New Jersey where DURON agreed to purchase 25 kilograms of cocaine. In subsequent conversations with the confidential source, DURON stated that he wanted an extra $1000 per kilogram as a side deal. They agreed on a total price of $725,000 for 25 kilograms of cocaine.
On August 23, 2014, DURON met the undercover DEA agent at a location in Wethersfield. DURON told the undercover agent that his associates were in Connecticut and that DURON and the undercover agent would need to travel to a store parking lot near Bradley International Airport to verify that the money was in place. DURON and the undercover agent then drove in separate vehicles to a store parking lot on Kennedy Road in Windsor. After DURON met two of his associates in the store, one of DURON’s associates met the undercover agent in the parking lot, showed him a duffel bag and said it contained “half” of the money. Shortly thereafter, investigators arrived at the scene and arrested DURON and two of his associates. Investigators also recovered from the vehicle driven by DURON’s associate a duffel bag containing approximately $284,000 in cash, and a loaded .38 caliber revolver.
DURON has been detained since his arrest. On May 20, 2015, he pleaded guilty to one count of conspiracy to possess with intent to distribute five kilograms or more of cocaine.
Eight individuals have been charged at a result of this investigation.
This investigation is being led by the Drug Enforcement Administration’s Hartford Task Force, including personnel from the DEA Hartford Resident Office and the Bristol, Hartford, Manchester, New Britain, Newington, and Wethersfield Police Departments.
The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Eight Members of Violent Detroit Street Gang Charged with Rico and Firearms OffensesRead the Press Release
Eight members of Band Crew, a northwest Detroit street gang, were charged in an indictment unsealed today with various offenses based on their roles in gang-related attempted murders, robberies and shootings. The charges are the result of the Detroit One initiative, a collaborative effort between law enforcement and the community to reduce violent crime in Detroit.
The announcement was made by Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Barbara L. McQuade of the Eastern District of Michigan and Special Agent in Charge Robin Shoemaker of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Detroit Field Division.
According to the indictment, Band Crew was an association comprised of smaller gangs, including Constantly Making Hundreds (CMH), Young N Crispy (YNC), Pushit (or Pusha) Boy Family (PBF), and Family Over Everything Love is Forever (FOE Life). The indictment alleges that Band Crew operated in northwest Detroit, and that members claimed this area as their territory by “tagging” buildings with gang-related graffiti, including markings such as “#22 BandCrew,” “BAND CREW,” “22 BAND CREW,” “YNCMH” and “PBF.” The indictment fuller alleges that Band Crew members and associates worked to defend their territory, to promote and maintain the status and reputation of the gang, and to engage in or threaten violence in retaliation for perceived wrongs.
The indictment charges eight Band Crew members with a variety of crimes including attempted murders, shootings, assaults, home invasions and robberies. Specifically:
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Corey Deandre Mapp, 22, of Detroit, is charged with RICO conspiracy, use and carry of a firearm during and in relation to a crime of violence and assault with a dangerous weapon in aid of racketeering.
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Alexander Teontae Johnson, 20, of Detroit, is charged with RICO conspiracy.
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Leo James Johnson, 20, of Detroit, is charged with RICO conspiracy, assault with a dangerous weapon in aid of racketeering, use and carry of a firearm during and in relation to a crime of violence and possession of a stolen firearm.
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Joseph Hezekiah Ford, 19, of Detroit, is charged with RICO conspiracy.
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Travontae Javon Joseph, 19, of Detroit, is charged with RICO conspiracy, assault with a dangerous weapon in aid of racketeering, use and carry of a firearm during and in relation to a crime of violence and possession of a stolen firearm.
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Jamell Loval Smith, 19, of Detroit, is charged with RICO conspiracy.
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Mario Perkins, 18, of Detroit, is charged with RICO conspiracy, use and carry of a firearm during and in relation to a crime of violence and conspiracy to assault with a dangerous weapon in aid of racketeering.
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Akeem Arteaze Walker, 19, of Detroit, is charged with RICO conspiracy, use and carry of a firearm during and in relation to a crime of violence and assault with a dangerous weapon in aid of racketeering.
All of the defendants are in custody.
The charges and allegations contained in the indictment are merely accusations. The defendants are presumed innocent until and unless proven guilty.
This case is being investigated by the ATF’s CVRP Task Force (Comprehensive Violence Reduction Partnership), which consists of representatives of the ATF, Detroit Police Department, Michigan State Police and Michigan Department of Corrections. The case is being prosecuted by the Criminal Division’s Organized Crime and Gang Section and the U.S. Attorney’s Office of the Eastern District of Michigan.
Band Crew Indictment
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