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13 August 2015
Bryson City Man Sentenced for Poaching over 500 Ginseng RootsRead the Press Release
ASHEVILLE, N.C. – U.S. Magistrate Judge Dennis L. Howell sentenced Billy Joe Hurley, 47, of Bryson City, N.C. for illegally possessing ginseng, announced Jill Westmoreland Rose, Acting U.S. Attorney for the Western District of North Carolina. Hurley was convicted at trial on Wednesday, August 12, 2015, and was ordered today to serve six months in jail for the illegal possession or harvesting of American ginseng from the Great Smoky Mountains National Park.
Joe Pond, Acting Chief Ranger of the Great Smoky Mountains National Park and Cassius Cash, Superintendent of the Great Smoky Mountains National Park join Acting U.S. Attorney Rose in making today’s announcement.
“The illegal harvesting of American Ginseng poses a threat to this precious national resource and it is a crime our office takes very seriously,” said Acting U.S. Attorney Rose. “We will continue to work closely with the Rangers of the Great Smoky Mountains National Park to protect wild ginseng from extinction and to prosecute those who profit from the illegal harvesting of ginseng roots.”
According to Acting Chief Ranger Pond, “Ginseng is a threatened natural resource, protected by law within Park boundaries. Unfortunately, Rangers are finding that poached ginseng roots seized during criminal investigations are younger than in years past, as older roots become much harder to find. This is not good for the viability of the plant. Rangers work extremely hard to thwart the efforts of those who steal from public lands and we hope that this case serves as a deterrent for anyone considering this activity.”
According to filed court documents and court proceedings, on June 28, 2015, in Swain County, Hurley Illegally possessed more than 500 American Ginseng roots he had illegally dug from areas in the Great Smoky Mountains National Park. Court records show that Hurley had filled a backpack with the roots and attempted to hide it behind a guardrail beside a hiking trail.
According to court records, in August 2014, Hurley was sentenced to five months and fifteen days in jail for the illegal possession or harvesting of American ginseng from the Great Smoky Mountains National Park. Today’s conviction marks Hurley’s fifth such conviction. Staff of the National Park Service replanted the recovered viable roots but estimate that at best, 50% of the replanted roots are likely to survive.
At Hurley’s 2014 sentencing hearing, a National Park Service botanist testified that the American ginseng species is under severe pressure from poachers in the Great Smoky Mountains National Park and may not be sustainable if it continues to be harvested illegally. During that same hearing, a special agent with of the U.S. Fish and Wildlife Service also testified that financial gain is likely to continue to drive poachers and that fresh ginseng can bring up to $200 per pound on the black market.
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American ginseng is a native plant in the Smoky Mountains. These wild roots are also a highly prized tonic, particularly in Asian markets. Dried ginseng roots are used in medicines, teas, and other health products. American ginseng was recently placed in North Carolina’s Watch Category 5B, which includes generally widespread species that are in commercial demand and are often collected and sold in high volume. This category was created to bring attention to the issue, since such high volume collection is unsustainable in the long run.
Ginseng harvest in the park has always been illegal. It is legal to harvest ginseng outside the park on private lands or with a permit in certain Forest Service areas during the harvesting season. Park scientists have realized these slow-growing native plants could disappear because harvesting means taking the entire ginseng root. Each year law enforcement rangers seize between 500 and 1000 illegally poached ginseng roots. Over the years, park biologists have marked and replanted over 15,000 roots seized by law enforcement. Monitoring indicates that many of these roots have survived and are again thriving in these mountains.
The U.S. Attorney’s Office and the National Park Service remind the public that gathering ginseng on federal lands, such as the Great Smoky Mountains National Park, is a federal crime. The Smokies are the largest fully protected reserve known for wild ginseng. This plant was formerly abundant throughout the eastern mountains, but due to overharvesting, populations have been significantly reduced to isolated patches. The roots poached in this park are usually young, between the ages of 5 and 10 years, and have not yet reached their full reproductive capacity. In time, the park’s populations might recover if poaching ceases.
Hurley has been in custody since July 2015.
The investigation of the case was handled by Park Rangers of the Great Smoky Mountains National Park. The U.S. Attorney’s Office in Asheville handled the prosecution.
To report illegal harvesting activities of American ginseng within the Smokies, please call the Law Enforcement Desk of the Great Smoky Mountains National Park at 1-865-436-1230.
Boynton Charged with Conspiring to help Former DeKalb County Commissioner Elaine Boyer Steal County MoneyRead the Press Release
ATLANTA - Marion Rooks Boynton has been arraigned after being indicted by a federal grand jury for conspiring with former DeKalb County Commissioner Elaine Boyer and her husband John Boyer to steal over $85,000 from DeKalb County.
“Boynton allegedly conspired with Elaine and John Boyer to steal taxpayer money from DeKalb County,” said U.S. Attorney John Horn. “The trio diverted thousands of dollars in county funds to their own personal bank accounts by exploiting former DeKalb County Commissioner Boyer’s position.”
“Elected officials who violate the public trust remain a priority investigative matter for the FBI but those who entice or assist those public officials as they engage in their corrupt criminal conduct are equally subject to federal investigation and prosecution. The FBI asks that anyone with information regarding such activities to contact their nearest FBI field office,” said J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office.
According to U.S. Attorney Horn, the charges, and other information presented in court: In DeKalb County, Georgia, the Board of Commissioners serves as the legislative branch of the DeKalb County Government. The Board of Commissioners is comprised of seven part-time commissioners, who are elected to serve four-year terms. Each of the seven Commissioners is responsible for the management of their respective offices, which includes controlling the offices’ budget and hiring staff members, contractors, and consultants. In recent years, the operating budget for a Commissioner’s office has been approximately $250,000 per year. The Commissioners may use their budget only for county-related business.
In 1992, Elaine Boyer began serving as the Commissioner of District 1, which served citizens in north DeKalb County, including in Brookhaven, Dunwoody, Tucker, and Smoke Rise, Georgia.
In 2009, Elaine Boyer and her husband John Boyer began experiencing financial difficulties. As a result, they became involved in an unlawful kickback scheme to obtain money from the DeKalb County government. In particular, in or about September 2009, Elaine Boyer, as the Commissioner of District 1, hired long-time, family friend Rooks Boynton as a purported political advisor, allegedly to assist her with government consulting.
As part of the scheme, false invoices were submitted to Elaine Boyer’s office for services supposedly rendered by Boynton. In fact, Boynton performed no services for DeKalb County government, Elaine Boyer’s Office, or the citizens of DeKalb County.
Elaine Boyer used the false invoices as a basis to authorize payments to Boynton. From September 2009 to November 2011, based on requisition requests from Elaine Boyer’s Office, DeKalb County issued approximately 35 checks to Boynton for consulting services that were never performed. In total, DeKalb County paid Boynton more than $85,000.
Boynton then deposited a portion of the money that he received from DeKalb County into a bank account used by the Boyers. Specifically, after being paid by DeKalb County, Boynton funneled approximately $60,000 of funds from DeKalb County into a personal bank account used by the Boyers. Boynton kept and spent the rest of the approximately $25,000 that he received from DeKalb County – despite not performing any services for DeKalb County.
In August 2014, Elaine Boyer, 59, of Stone Mountain, Georgia, resigned mid-term as the Commissioner of District 1. The day after resigning, Boyer was charged with conspiring to commit wire and mail fraud. On March 20, 2015, Boyer was sentenced to 14 months in prison and ordered to pay approximately $87,000 in restitution after pleading guilty.
On February 24, 2015, John Boyer, 63, of Stone Mountain, Georgia, pleaded guilty to conspiring to commit mail fraud. Boyer is scheduled to be sentenced on August 19, 2015.
On August 11, 2015, the Grand Jury returned an Indictment against Marion Rooks Boynton, 73, of Saint Simons Island, Georgia, on charges of conspiracy and substantive federal program theft.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation.
Assistant United States Attorney Jeffrey W. Davis is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Billings Man Sentenced to Nine Years in Prison for Taking Guns from Sidney StoreRead the Press Release
BILLINGS – A federal judge sentenced William Jess Foust, 50, of Billings, Montana, to nine years in prison today for being a felon in possession of firearms. Federal District Court Judge Susan P. Watters also sentenced Foust to three years of supervised release. The sentence follows Foust’s March 26, 2015, guilty plea to being a felon in possession of firearms.
Assistant United States Attorney Paulette Stewart stated in court documents that on August 30, 2014, a store in Sidney, Montana, was burglarized and 13 firearms were taken, including several pistols, rifles and shotguns. The store is a licensed firearms dealer and the firearms taken were part of the store’s inventory. The investigation revealed that Foust had taken and possessed the firearms and that he had been convicted of a felony crime in California, which prohibited him from possessing firearms.
Assistant U.S. Attorney Paulette Stewart prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Sidney Police Department. Foust will have to serve at least 85% of his sentence before being released from federal prison.
Berlin Man Facing Federal Indictment for Armed Bank Robbery Carjacking, and Brandishing a FirearmRead the Press Release
Baltimore, Maryland – A federal grand jury today indicted Jeff V. Hare, age 53, of Berlin, Maryland, on charges of armed bank robbery, carjacking and brandishing a firearm during a crime of violence.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; Worcester County Sheriff Reggie T. Mason, Sr.; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Worcester County State’s Attorney Beau Oglesby.
According to the three-count indictment, on March 13, 2015, Hare entered the BB&T branch located at 11000 block of Racetrack Road in Berlin, wearing a ski mask and brandishing a handgun.
Hare told the bank tellers present in the bank’s lobby that he had a gun and he was robbing the bank, demanding that the tellers give him only fifty and one hundred dollar bills, and that they not give him any dye packs. Hare moved through the lobby from employee to employee pointing the handgun at the employees and demanding money. Hare also demanded each teller give him their car keys and purse, but each teller told Hare they did not have them available. Hare stole approximately $2,850 in cash from the bank.
The indictment alleges that after robbing the tellers in the lobby, Hare found a bank employee who had locked herself in a back room of the bank. Hare forced open the locked door, pointed his handgun at the employee and demanded her car keys and her purse. The employee gave Hare her purse, which contained cash and personal effects, and the keys to her car, a 2007 Kia Spectra, which was parked in the bank’s parking lot. Hare exited the bank and fled in the stolen 2007 Kia Spectra, which he abandoned at a nearby business.
Hare faces a maximum sentence of 25 years in prison for armed bank robbery; a maximum of 15 years in prison for carjacking; and a mandatory minimum of seven years and up to life in prison for brandishing a firearm during a crime of violence. An initial appearance has not yet been scheduled for U.S. District Court in Baltimore. Hare remains detained on related state charges.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein praised the FBI, Worcester County Sheriff’s Office, Maryland State Police and the Worcester County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant United States Attorney Zachary A. Myers, who is prosecuting the case.
Armed Career Criminal Sentenced to 15 Years for Possession of A FirearmRead the Press Release
Tampa, Florida – U.S. District Judge Elizabeth A. Kovachevich has sentenced Justin Robinson (33, Tampa) to 15 years in federal prison for being a felon in possession of a firearm. He pleaded guilty on October 21, 2014.
According to court documents, at approximately 3:45 AM on April 28, 2014, a Hillsborough County Sheriff’s Office deputy saw Robinson hiding behind a van outside an apartment complex in Tampa. Robinson told the deputy that he was in the area to visit a friend, but residents of the apartment he claimed to be visiting later said that they did not know Robinson. The deputy found a loaded .9 mm firearm on the ground where Robinson had been hiding, and ordered Robinson to put his hands behind his back. Robinson fled, but was apprehended after a short foot chase. Law enforcement officials later determined that the firearm had been stolen during a residential burglary.
Robinson was previously convicted of several felonies, including three drug trafficking offenses, and is therefore prohibited from possessing a firearm or ammunition under federal law. As such, he qualified for an enhanced penalty under the Armed Career Criminal statute.
This case was investigated by the Hillsborough County Sheriff’s Office, the Tampa Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorneys Natalie Hirt Adams and Megan Kistler.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, along with Regina Lombardo, Special Agent in Charge, ATF, are coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. It is also a part of ATF’s Frontline Strategy on reducing violent crime in communities.
Albuquerque Man Pleads Guilty to Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Joseph Wallace Apodaca, 39, of Albuquerque, N.M., pleaded guilty today in federal court to being a felon in possession of firearms and ammunition.
Apodaca was arrested on August 21, 2014, on an indictment charging him with being a felon in possession of firearms and ammunition on May 14, 2014, in Bernalillo County, N.M. The indictment was superseded on Jan. 21, 2015. Apodaca was prohibited at the time from being in possession of firearms and ammunition because he had previously been convicted of aggravated burglary, conspiracy to commit aggravated burglary, tampering with evidence and residential burglary.
During today’s proceedings, Apodaca pled guilty to the superseding indictment and admitted that on May 14, 2014, he was approached by Albuquerque Police Department (APD) officers as he was exiting his vehicle, where APD officers viewed a handgun in his vehicle. Apodaca further admitted that he told officers he was a convicted felon in possession of a handgun.
At sentencing, Apodaca faces a maximum of ten years in prison followed by not more than three years of supervised release. He remains detained pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department. Assistant U.S. Attorney Norman Cairns is prosecuting this case.
Albanian National Sentenced to 16 Years for Attempting to Support TerrorismRead the Press Release
Agron Hasbajrami, 31, an Albanian citizen and resident of Brooklyn, New York, was sentenced to 16 years in prison for attempting and conspiring to provide material support to terrorists. Pursuant to the terms of his plea agreement, Hasbajrami will be removed from the United States at the conclusion of his sentence. The sentencing proceeding was held before U.S. District Judge John Gleeson of the Eastern District of New York.
Assistant Attorney General for National Security John P. Carlin, Acting U.S. Attorney Kelly T. Currie of the Eastern District of New York, Assistant Director in Charge Diego G. Rodriguez of the FBI New York Field Office and Commissioner William J. Bratton of the New York City Police Department (NYPD) made the announcement.
As stated during the guilty plea and sentencing proceedings, and according to court filings, in September 2011, Hasbajrami attempted to travel to the Federally Administered Tribal Areas of Pakistan (the FATA) for the purpose of joining a radical jihadist insurgent group. In addition, he sent over $1,000 in multiple wire transfers abroad to support terrorist activities in Pakistan and Afghanistan. In pursuing his goal of fighting jihad, the defendant exchanged email messages with an individual in Pakistan who said he was a member of an armed group that had murdered American soldiers and kidnapped Westerners. In one email message, Hasbajrami stated that it was difficult to ask for money from fellow Muslims because they became apprehensive “when they hear it is for jihad.” In another email, he stated that he wished to travel overseas, using jihadist rhetoric to describe his desire to die as a martyr.
On Sept. 5, 2011, Hasbajrami purchased a one-way airline ticket to travel to Turkey the following day. Based on Hasbajrami’s email communications, he intended to travel from Turkey to the FATA to join a jihadist group. On Sept. 6, 2011, the defendant was arrested at John F. Kennedy International Airport. At the time of his arrest, he was carrying a tent, boots and cold weather gear. A search of the defendant’s residence revealed, among other items, a note reading “Do not wait for invasion, the time is martyrdom time.”
“This case, like many others before it, has shown that the application of lawful surveillance can allow the United States government to detect and neutralize a terrorist in the United States,” said Acting U.S. Attorney Currie. “The sentence imposed today leaves no question as to the defendant’s role in a very serious offense and helps ensure that he will no longer pose a threat to the United States and our allies.”
“Hasbajrami is yet another individual in the U.S. who was inspired to commit acts of violence in the name of jihad,” said Assistant Director in Charge Rodriguez. “He used technology to propagate terrorist messages and create a plan to attack U.S. interests. Due to the excellent collaboration and work of all our law enforcement partners on the Joint Terrorism Task Force, we stopped his travel abroad to fight with a foreign terrorist organization. These threats remain among the highest priorities for the FBI and the Intelligence Community as a whole. Through his guilty plea and today’s sentence, once completed, he will no longer be able to remain in the U.S. while trying to harm us.”
“The sentence imposed today sends a clear message: members of Manhattan-based Joint Terrorism Task Force will work tirelessly to uncover and stop any efforts to provide material support to organizations built to kill Americans,” said Commissioner Bratton.
Assistant Attorney General Carlin joined Acting U.S. Attorney Currie in thanking the federal, state and local law enforcement agencies who participate in the FBI’s Joint Terrorism Task Force in New York.
The case was prosecuted by Assistant U.S. Attorneys Seth D. DuCharme, Saritha Komatireddy, Peter Baldwin and Matthew Amatruda of the Eastern District of New York, and Trial Attorney Danya Atiyeh of the National Security Division’s Counterterrorism Section.
Albanian National Sentenced to 16 Years’ Imprisonment for Attempting to Support TerrorismRead the Press Release
Earlier today, at the United States District Court for the Eastern District of New York in Brooklyn, Agron Hasbajrami, an Albanian citizen and resident of Brooklyn, was sentenced to 16 years in prison based on his June 2015 guilty plea to attempting and conspiring to provide material support to terrorists. Pursuant to the terms of his plea agreement, Hasbajrami will be removed from the United States at the conclusion of his sentence. The sentencing proceeding was held before United States District Judge John Gleeson.
The sentence was announced by Acting U.S. Attorney Kelly T. Currie of the Eastern District of New York, Assistant Attorney General for National Security John P. Carlin, Assistant Director-in-Charge Diego G. Rodriguez of the FBI’s New York Field Office, and Commissioner William J. Bratton of the New York City Police Department.
As stated during the guilty plea and sentencing proceedings, and according to court filings, in September 2011, Hasbajrami attempted to travel to the Federally Administered Tribal Areas of Pakistan (the FATA) for the purpose of joining a radical jihadist insurgent group. In addition, he sent over $1,000 in multiple wire transfers abroad to support terrorist activities in Pakistan and Afghanistan. In pursuing his goal of fighting jihad, the defendant exchanged email messages with an individual in Pakistan who said he was a member of an armed group that had murdered American soldiers and kidnapped Westerners. In one email message, Hasbajrami stated that it was difficult to ask for money from fellow Muslims because they became apprehensive “when they hear it is for jihad.” In another email, he stated that he wished to travel overseas, using jihadist rhetoric to describe his desire to die as a martyr.
On September 5, 2011, Hasbajrami purchased a one-way airline ticket to travel to Turkey the following day. Based on Hasbajrami’s email communications, he intended to travel from Turkey to the FATA to join a jihadist group. On September 6, 2011, Hasbajrami was arrested at John F. Kennedy International Airport. At the time of his arrest, he was carrying a tent, boots, and cold weather gear. A search of the defendant’s residence revealed, among other items, a note reading “Do not wait for invasion, the time is martyrdom time.”
“This case, like many others before it, has shown that the application of lawful surveillance can allow the United States government to detect and neutralize a terrorist in the United States,” said Acting U.S. Attorney Currie. “The sentence imposed today leaves no question as to the defendant’s role in a very serious offense and helps ensure that he will no longer pose a threat to the United States and our allies.”
“Hasbajrami is yet another individual in the U.S. who was inspired to commit acts of violence in the name of jihad. He used technology to propagate terrorist messages and create a plan to attack U.S. interests. Due to the excellent collaboration and work of all our law enforcement partners on the Joint Terrorism Task Force, we stopped his travel abroad to fight with a foreign terrorist organization. These threats remain among the highest priorities for the FBI and the Intelligence Community as a whole. Through his guilty plea and today’s sentence, once completed, he will no longer be able to remain in the U.S. while trying to harm us,” stated FBI Assistant Director-in-Charge Rodriguez.
“The sentence imposed today sends a clear message: members of Manhattan-based Joint Terrorism Task Force will work tirelessly to uncover and stop any efforts to provide material support to organizations built to kill Americans,” said Police Commissioner Bratton.
Assistant Attorney General Carlin joined Acting U.S. Attorney Currie in thanking the federal, state, and local law enforcement agencies who participate in the FBI’s Joint Terrorism Task Force in New York.
The government’s case was prosecuted by the office’s National Security & Cybercrime Section. Assistant U.S. Attorneys Seth D. DuCharme, Saritha Komatireddy, Peter Baldwin, and Matthew Amatruda of the Eastern District of New York, and Trial Attorney Danya Atiyeh of the National Security Division’s Counterterrorism Section, are in charge of the prosecution.
The Defendant
AGRON HASBAJRAMI
Age: 31
Docket No.: 11 CR 623 (S2) (JG)
12 August 2015
Youngstown man faces cocaine chargeRead the Press Release
A federal grand jury returned a one-count indictment charging Juan Jose Rojas Pena, 20, of Youngstown, with attempting to possess with the intent to distribute cocaine, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio.
The indictment alleges that on or about July 13, 2015, Rojas Pena knowingly and intentionally attempted to possess with the intent to distribute more than 500 grams of cocaine.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Drug Enforcement Administration and the U.S. Postal Service. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Youngstown man charged with operating crack house on Parkcliffe AvenueRead the Press Release
A federal grand jury returned a two-count indictment charging Christopher A. Brown, 35, of Youngstown, with maintaining a residence for the purpose of distributing crack cocaine and with possessing with the intent to distribute crack cocaine and heroin, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio.
Count 1 of the indictment alleges that in or about June 2015, Brown knowingly and intentionally maintained a place on Parkcliffe Avenue in Youngstown, for the purpose of distributing crack cocaine.
Count 2 of the indictment alleges that on or about June 10, 2015, Brown knowingly and intentionally possessed with the intent to distribute more than 28 grams of crack cocaine and heroin.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Drug Enforcement Administration and the Youngstown Police Department, Vice Squad. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
Winter Harbor Woman Pleads Guilty to Theft of Money from the Postal ServiceRead the Press Release
Contact: Chris Ruge
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Sandra Melnick, 52, of Winter Harbor, Maine, pled guilty yesterday in U.S. District Court to theft of more than $1,600 worth of public money.
According to court records, from about May 19 to September 12, 2014, while serving as a Postmaster Relief at the Sullivan, Maine Post Office, Melnick issued a series of money orders without reporting the sale or tendering the money to the Postal Service. Many of these money orders were cashed by recipients before the defendant reported them as sold. When Postal Service investigators audited Melnick’s accounts, there were still three previously-cashed money orders outstanding.
Melnick faces up to 10 years in prison, a $250,000 fine, and three years of supervised release. She will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the U.S. Postal Service, Office of the Inspector General.
U.S. Citizen Sentenced in Connection with Costa Rica-Based Business Opportunity Fraud VenturesRead the Press Release
A U.S. citizen charged in connection with the operation of a series of fraudulent business opportunities based in Costa Rica was sentenced to prison today in Miami, the Justice Department announced.
John White, aka Gregory Garrett, was sentenced by U.S. District Court Judge Patricia A. Seitz of the Southern District of Florida to serve 70 months in prison and five years of supervised release. White was also ordered to pay $6,412,006.19 in restitution. White is one of 12 defendants charged in connection with a series of business opportunity fraud ventures that operated in Costa Rica. Nine of those other defendants have been convicted in the United States with sentences ranging from three to 16 years in prison and the two remaining defendants are not yet in the custody of the United States.
“The defendants in this scheme promised victims the American dream while knowing they in fact were being ripped off,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “We will continue to prosecute those who would deprive Americans of their savings just so they can make a quick buck.”
White was indicted by a federal grand jury in Miami on Nov. 29, 2011, arrested in Costa Rica in 2012, extradited to the United States in 2015 and pleaded guilty on April 29, 2015, to one count of conspiracy to commit mail and wire fraud in connection with the business opportunity scheme.
As part of his guilty plea, White admitted that from 2005 to 2008, he and his co-conspirators fraudulently induced individuals in the United States to buy business opportunities in USA Beverages Inc., Twin Peaks Gourmet Coffee Inc., Cards-R-Us Inc., Premier Cards Inc. and The Coffee Man Inc. White and his co-conspirators claimed that these opportunities would allow purchasers to sell coffee or greeting cards from display racks located at other retail establishments. The business opportunities cost thousands of dollars each, with most purchasers paying at least $10,000. Each company operated for several months and after one company closed, the next opened.
White admitted that the conspiracy used various means to make it appear to potential purchasers that the businesses were located entirely in the United States. The companies used bank accounts, office space and other services in the Southern District of Florida and elsewhere. In reality, White and his co-conspirators operated out of call centers in Costa Rica.
White admitted that he and his co-conspirators made numerous false statements to potential purchasers of the business opportunities, including that purchasers likely would earn substantial profits; that prior purchasers of the business opportunities were earning substantial profits; that purchasers would sell a guaranteed minimum amount of merchandise, such as greeting cards and beverages; and that the business opportunity worked with locators familiar with the potential purchaser’s area who would secure or had already secured high-traffic locations for the potential purchaser’s merchandise stands. Potential purchasers also were falsely told that the profits of the companies were based in part on the profits of the business opportunity purchasers, thus creating the false impression that the companies had a stake in the purchasers’ success and in finding good locations.
As alleged in the indictment against White and others, the companies employed various types of sales representatives, including fronters, closers and references. A fronter spoke to potential purchasers when the prospective purchasers initially contacted the company in response to an advertisement. A closer subsequently spoke to potential purchasers to close deals and references spoke to potential purchasers about the financial success they had purportedly experienced since purchasing one of the business opportunities. The companies also employed locators, who were typically characterized by the sales representatives as third parties who worked with the companies to find high-traffic locations for the prospective purchaser’s merchandise display racks. White admitted that he worked as a fronter and reference using aliases.
“This international and domestic investigation shows the Postal Inspection Service’s resolve to protect Americans from business opportunity scams,” said Postal Inspector in Charge Ronald Verrochio of the U.S. Postal Inspection Service (USPIS) Miami Division.
Principal Deputy Assistant Attorney General Mizer commended the investigative efforts of USPIS. The case is being prosecuted by Trial Attorney Alan Phelps of the Civil Division’s Consumer Protection Branch.
Two charged with stealing mailRead the Press Release
A federal grand jury returned a one-count indictment charging Edward L. Dugan, 46, of Reynoldsburg, and Tonya Sue Carpenter, 41, of Athens, for stealing outgoing mail from residential mailboxes, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio.
The indictment alleges that Dugan and Carpenter stole mail from residential mailboxes on several occasions for about month.
Assistant United States Attorney Karrie D. Howard is prosecuting the case, following an investigation by the the U.S. Postal Service's Office of Inspector General.
If convicted, the court will determine the defendants’ sentence after a review of factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum. In most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Two Men Sentenced to Prison for Producing Child Pornography in Separate CasesRead the Press Release
STATESVILLE, N.C. – A Lincoln County man was sentenced today in U.S. District Court in Statesville to 180 months in federal prison for producing child pornography, announced Acting U.S. Attorney Jill Westmoreland Rose of the Western District of North Carolina. U.S. District Judge Richard L. Voorhees also ordered Antony Alexander Gonzalez Solorzano, 28, of Lincolnton, N.C. to serve a lifetime of supervised release and to register as a sex offender.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division joins Acting U.S. Attorney Rose in making today’s announcement.
According to the criminal indictment, from January to March 2013, Solorzano did employ, use, persuade, induce, entice, and coerce a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct. Court records show that Solorzano possessed both images and videos of the underage victim which he kept stored on his computer. According to court records and today’s sentencing hearing, law enforcement became aware of Solorzano’s conduct while investigating him for sharing files containing child pornography over the Internet.
Solorzano pleaded guilty to the one count of production of child pornography in June 2014. He has been in federal custody since November 2013. Upon designation of a federal facility, he will be transferred to the custody of the Federal Bureau of Prisons. Federal sentences are served without the possibility of parole.
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Judge Voorhees also sentenced a Mooresville man to 15 years in prison for producing and possessing child pornography, and ordered him to serve a lifetime of supervised release and to register as a sex offender. According to court documents, evidence presented at trial and statements made in court, James Douglas Brown, 54, had sexually abused a minor female repeatedly between May 2009 and January 2011. Court records show that Brown filmed and photographed some of the sexual abuse of the minor victim. In May 2014, a federal jury convicted Brown of eight counts of production and one count of possession of child pornography. He has been in federal custody since November 2013. Brown’s case was investigated by the FBI and the Iredell County Sheriff’s Office.
Assistant U.S. Attorney Cortney Randall of the U.S. Attorney’s Office in Charlotte handled the prosecution of both cases.
These cases were brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Two Individuals Indicted in August 2015 Federal Grand JuryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office announced today the results of the August 2015 Federal Grand Jury.
“The following named individuals have been charged with a federal crime or crimes by the return of an indictment by the Grand Jury. A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt. United States Sentencing Guidelines may be considered, upon conviction, by the sentencing court. Federal prison sentences are non-parolable.”
PAUL DANIEL MORRISON, age 55, of Poteau, Oklahoma
Theft Of Government Funds
Forfeiture AllegationThe Indictment alleges that beginning in or about December, 2011, and continuing until on or about July 9, 2013, within the Eastern District of Oklahoma, defendant PAUL DANIEL MORRISON, did willfully and knowingly steal and purloin money of the Department of Veterans Affairs, a department or agency of the United States, namely, Department of Veterans Affairs Monthly Non-Service Connected Pension Benefits payments to which he knew he was not entitled, having a value in excess of $1,000.00.
The charge arose from an investigation by the Department of Veterans Affairs, Office of Inspector General. The charge is in violation of Title 18, United States Code, Section 641, punishable by not more than 10 years imprisonment, up to a $250,000.00 fine or both.
Assistant United States Attorney Rob Wallace
WILLIAM JAMES SMITH, Jr., age 34, of Okay, Oklahoma a/k/a "Jimmy"
Felon In Possession Of Firearm & Ammunition
Forfeiture AllegationThe Indictment alleges that on or about February 26, 2015, within the Eastern District of Oklahoma, the defendant, WILLIAM JAMES SMITH, Jr., a/k/a Jimmy, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, a firearm and ammunition.
The charge arose from an investigation by the Muskogee Police Department, the United States Marshal Service and the Bureau of Alcohol, Tobacco and Firearms. The charge is in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, up to a $250,000.00 fine or both.
Assistant United States Attorney Dean Burris
Two Charged in Child Exploitation CaseRead the Press Release
GAINESVILLE, FLORIDA – A federal grand jury returned an indictment charging Michael Alexander Hayes and Ranell Carter Jr., both 24, of Gainesville, Florida, with sex trafficking of a minor. Carter was arraigned today in the U.S. District Court in Gainesville, and Hayes was arraigned on August 6, 2015. The indictment was announced by Pamela C. Marsh, United States Attorney for the Northern District of Florida.
The indictment alleges that, between May and June 2015, Hayes and Carter knowingly enticed a person less than 18 years of age to engage in a commercial sex act. Carter was charged in a separate indictment in June 2015 with sex trafficking of a minor. The trial is scheduled for September 22, 2015.
This case resulted from investigations by the Federal Bureau of Investigation, Florida Department of Law Enforcement, Gainesville Police Department, Alachua County Sheriff’s Office, and the North Florida Internet Crimes Against Children Task Force. It is being prosecuted by Assistant United States Attorney Frank Williams.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
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]
Three sentenced for manufacturing methamphetamineRead the Press Release
CLARKSBURG, WEST VIRGINIA – Brittany Thompson, 26, John Robert Morris, 33, both of Fairmont, West Virginia, and Raymond Leonard, 33, of Burton, West Virginia, were sentenced in federal court today for their role in manufacturing methamphetamine, United States Attorney William J. Ihlenfeld, II, announced.
Thompson and Leonard manufactured methamphetamine in Marion County, West Virginia in October 2014. They each pled guilty in April 2015 to one count of “Aiding and Abetting the Possession of Material used in the Manufacturing of Methamphetamine.” Thompson was sentenced today to twelve months and one day in prison. Leonard was sentenced today to 77 months in prison.
Morris was discovered in May 2014 in possession of medication containing pseudoephedrine, an ingredient commonly used to manufacture methamphetamine. He pled guilty in April 2015 to one count of “Possession of Pseudoephedrine to be used in the Manufacture of Methamphetamine.” He was sentenced today to 30 months in prison.
Assistant U.S. Attorney Shawn Morgan prosecuted the cases on behalf of the government. The Three Rivers Drug Task Force investigated.
U.S. District Judge Irene M. Keeley presided.
Three Tampa Residents Pled Guilty for Their Involvement in a Conspiracy to Import a Synthetic Cannabinoid, XLR-11, a/k/a "Spice", and Drug ParaphernaliaRead the Press Release
This week three Tampa residents pleaded guilty to their involvement in a conspiracy to import a synthetic cannabinoid, XLR-11, a/k/a “Spice,” and paraphernalia to the United States from China, before United States Chief Magistrate Judge Frank J. Lynch, Jr., in Ft. Pierce, Florida.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, Alysa D. Erichs, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI), A.D. Wright, Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), Miami Field Division, and Ronald J. Verrochio, Inspector in Charge, U.S. Postal Inspection Service (USPIS), Miami Division, made the announcement.
On Tuesday, August 11, 2015, Ahmed Yehia Khalifa, 28, and Ahmed Maher Elhelw, 25, both from Tampa, pleaded guilty to conspiracy to import a Schedule 1 controlled substance (XLR-11) and conspiracy to manufacture, possess with intent to manufacture and distribute a Schedule 1 controlled substance (XLR-11). The defendants agreed to the forfeiture of assets totaling $472,780.00. Each offense carries a maximum penalty of 20 years in prison.
On Wednesday, August 12, 2015, Tanjina Islam Piya, 24, of Tampa, pleaded guilty to conspiracy to import drug paraphernalia. The defendant also agreed to the forfeiture of assets totaling $157,158.80 and real property in St. Petersberg, Florida. The offense carries a maximum penalty of 3 years in prison.
A fourth co-defendant, Saiful Hossain, is scheduled for trial August 24, 2015, in Ft. Pierce, Florida, before U.S. District Court Judge Donald M. Middlebrooks. Hossain is presumed innocent of the charges contained in the indictment until proven guilty beyond a reasonable doubt.
According to court records, HSI, along with other law enforcement agencies, in the Southern and Middle Districts of Florida, have been investigating individuals who are importing illegal “smokable synthetic cannabinoids” (“SSC”) containing Schedule I controlled substances and drug paraphernalia.
On November 7, 2014, HSI agents arrested Elhelw in Vero Beach and recovered a three (3) kilogram package of the controlled substance XLR-11, a chemical used in the manufacture of SSC. Further investigation revealed that as a result of the conspiracy, at least seven (7) parcels, containing 3 kilograms each of XLR-11, were imported into the Southern District of Florida, with a street value of approximately $5,460,000.00.
On May 19, 2015, federal search warrants were executed at various locations, including residences, a storage facility, and safe deposit boxes. At the home shared by Hossain and Piya, agents recovered documentary evidence of the importation of “Spice” and drug paraphernalia. After having received consent from Hossain, law enforcement searched a storage facility and found drug paraphernalia and approximately 6.27 pounds of green leafy product (containing a mixture of Schedule I controlled substances XLR-11 and PB-22 and 5-fluoro AB-PINACA, an analogue intended for human consumption). Agents seized ledgers listing “Spice” brands and amounts, as well as jars, containing a mixture of containing 5-fluoro ABICA, an analogue intended for human consumption, from Khalifa’s residence. At the homes of Piya/Hossain, Elhelw and Khalifa, agents also seized money.
On June 12, 2015, HSI agents executed a federal search warrant at a residence connected to Khalifa and Hossain. Therein, agents seized numerous kilograms of leafy product, containing a mixture of XLR-11 and PB-22; bottles of FUB-PB-22, an analogue intended for human consumption; and drug paraphernalia. The investigation revealed that the controlled substances had been shipped from China.
The court records further allege that SSC products, commonly known as “Spice,” are a mixture of an organic “carrier” medium, such as the herb-like substance damiana leaf and/or marshmallow leaf, which is then typically sprayed or mixed with a synthetic cannabinoid chemical compound which mimics the pharmacological effect of a Schedule I or II controlled substance. This organic “carrier” is then commonly sprayed with a tobacco flavoring such as strawberry, blueberry, or pineapple, in order to mask the harsh chemical taste upon ingestion. Currently, there are hundreds of synthetic cannabinoid compounds.
Mr. Ferrer commended the investigative efforts of HSI, DEA, USPIS, United States Customs and Border Protection, Hillsborough County Sheriff’s Office, Tampa Police Department, and the Indian River County Sheriff’s Office. This case is being prosecuted by Assistant U.S. Attorneys Carmen Lineberger and Antonia Barnes.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Three Plead Guilty to Tax FraudRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that three co-defendants pleaded guilty in federal court this week to aiding and abetting a fraudulent tax return preparation scheme that claimed nearly $340,000 in fraudulent income tax refunds.
Jeannette R. Dunn, 48, of Huntsville, Ark., formerly of Springfield, Mo., pleaded guilty today before U.S. Magistrate Judge David P. Rush to two counts of making false claims.
Co-defendant Asia Michelle Couchman, 26, of Oak Grove, Mo., pleaded guilty to one count of making false claims on Tuesday, Aug. 11, 2015. Co-defendant Delbert L. Allen, 37, of Pleasant Hope, Mo., formerly of Springfield, pleaded guilty to two counts of making false claims on Monday, Aug. 10, 2015.
Co-defendant Cherie Christine Dupuis, 43, of Springfield, pleaded guilty on July 21, 2015, to leading the fraudulent tax return preparation conspiracy. Dupuis admitted that she and co-conspirators defrauded the government by filing false claims for income tax refunds from February 2009 to March 2012. In the false and fraudulent federal income tax returns they prepared and filed, conspirators claimed refunds from the IRS totaling approximately $340,630, of which approximately $336,839 was false. Over the course of the scheme, the total actual tax loss to the IRS was $284,169.
Dupuis and other conspirators recruited individuals, such as Dunn, Couchman and Allen, to assist in filing fraudulent returns, and obtained their identifying information (including their names and Social Security numbers). They used that information to file federal income tax returns that included fictitious employment information and reported wages that had not been earned and employment taxes that had not been withheld. Conspirators shared employer information for the purpose of creating fictitious W-2 forms. They also shared dependent information to enable them to falsely claim dependents on their returns.
Dupuis admitted that she filed fraudulent federal income tax returns in her own name and for at least 19 other individuals. Dupuis would usually split the fraudulent refunds with her co-conspirators. The total amount of the false claims Dupuis personally prepared and/or filed was approximately $298,708, with approximately $256,281 being paid on these false claims and a loss to the government of approximately $213,711.
Dunn admitted that she aided and abetted Dupuis, and was aided and abetted by Dupuis, in filing false federal income tax returns in 2011 and 2012. Both returns listed wages that Dunn had not received and claimed refunds to which Dunn knew she was not entitled. The total loss to the government was $11,184.
Couchman admitted that she aided and abetted Dupuis, and was aided and abetted by Dupuis, in filing a false tax return in 2011. That tax return listed wages that Couchman had not received and claimed a refund to which she was not entitled. After receiving a $9,717 refund, Couchman gave Dupuis approximately $3,000 from the proceeds.
Allen admitted that he aided and abetted Dupuis, and was aided and abetted by Dupuis, in filing false federal income tax returns in 2011 and 2012. Both returns listed wages that Allen had not received and claimed refunds to which Allen knew he was not entitled. In both years, Allen’s fraudulent refunds were applied to a non-IRS related debt of Allen’s, resulting in a total loss to the government of $14,623.
Under federal statutes, Dunn, Allen and Dupuis are each subject to a sentence of up to 10 years in federal prison without parole, plus a fine up to $500,000 and an order of restitution. Couchman is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Steven M. Mohlhenrich. It was investigated by IRS-Criminal Investigation.
Terrorist Sentenced to 22 Years for Providing Material Support to al-Qaeda in the Arabian PeninsulaRead the Press Release
Lawal Olaniyi Babafemi, 35, a Nigerian citizen, was sentenced today to 22 years in prison for conspiring to provide and providing material support to a designated foreign terrorist organization, al-Qaeda in the Arabian Peninsula (AQAP). The sentence was imposed by the U.S. District Judge John Gleeson of the Eastern District of New York.
Assistant Attorney General for National Security John P. Carlin, Acting U.S. Attorney Kelly T. Currie of the Eastern District of New York, Assistant Director in Charge Diego G. Rodriguez of the FBI New York Field Office and Commissioner William J. Bratton of the New York City Police Department (NYPD) made the announcement.
Babafemi pleaded guilty to providing and conspiring to provide material support to AQAP on April 29, 2014. According to previous court filings, between approximately January 2010 and August 2011, the defendant traveled twice from Nigeria to Yemen to meet and train with leaders of AQAP, the Yemen-based branch of al-Qaeda that has been linked to a number of plots targeting the U.S. homeland over the past decade. AQAP leaders trained Babafemi in the use of weapons, including AK-47 assault rifles, and taught him the importance of AQAP’s English-language media operations to its mission of inspiring “lone-wolf” style attacks abroad in the name of AQAP. Babafemi assisted in AQAP’s English-language media operations, which include the publication of the online Inspire Magazine, and worked closely with Samir Khan, the founder of Inspire and a U.S. citizen. Babafemi’s photograph, alongside Khan and other AQAP members, each holding an AK-47, was published in Issue 5 of Inspire; he also wrote rap lyrics on behalf of the group, hoping to extend its appeal to young Westerners. At the direction of the now-deceased senior AQAP leader Anwar al-Aulaqi, AQAP provided Babafemi with the equivalent of almost $9,000 in cash to recruit other English-speakers from Nigeria to join the terrorist organization. Babafemi attempted to recruit other Nigerians to join AQAP, but was arrested before he could complete that mission and conduct further activities on behalf of the organization.
“With this sentence, Lawal Olaniyi Babafemi is being held accountable for conspiring with members of al-Qaeda in the Arabian Peninsula and providing material support to the foreign terrorist organization,” said Assistant Attorney General Carlin. “Babafemi travelled to Yemen to receive weapons training and to learn how to contribute to AQAP’s English-language media operation, in addition to receiving money to recruit others to join AQAP’s ranks. Counterterrorism is the National Security Division’s highest priority and we will continue our efforts to detect, deter and hold accountable those who provide material support to designated foreign terrorist organizations.”
“The defendant traveled to Yemen twice to seek out and commit himself to the radical terrorist organization AQAP and its goal of causing mass devastation in the West,” said Acting U.S. Attorney Currie. “He undertook his journey soon after his fellow countryman’s notorious, albeit failed, attempt on behalf of AQAP to detonate a bomb concealed in his underwear in U.S. airspace. Babafemi received weapons training and worked with AQAP’s English-language media organization to recruit Westerners to its murderous mission. The investigation, prosecution, and conviction of Babafemi exemplifies the tireless efforts of the FBI’s Joint Terrorism Task Forces in New York and San Diego to identify and bring to justice those intent on joining and supporting violent terrorist organizations around the globe. This case is especially important as it relates to efforts to prosecute individuals who both engage in physical violence themselves and who create and disseminate violent terrorist propaganda worldwide in an effort to convince others to do so.”
The case is being prosecuted by Assistant U.S. Attorneys Zainab Ahmad and Hilary Jager of the Eastern District of New York, with assistance from Trial Attorney Annamartine Salick of the Justice Department’s Counterterrorism Section.
Terrorist Sentenced to 22 Years for Providing Material Support to Al-Qaeda in the Arabian PeninsulaRead the Press Release
WASHINGTON –Lawal Olaniyi Babafemi, 35, a Nigerian citizen, was sentenced today to 22 years in prison following his guilty plea to conspiring to provide and providing material support to a designated foreign terrorist organization, al-Qaeda in the Arabian Peninsula (AQAP). The sentence was imposed by the U.S. District Judge John Gleeson of the Eastern District of New York.
The charges were announced by Assistant Attorney General for National Security John P. Carlin, Acting U.S. Attorney Kelly T. Currie of the Eastern District of New York, Assistant Director in Charge Diego G. Rodriguez of the FBI New York Field Office and Commissioner William J. Bratton of the New York City Police Department (NYPD).
According to previous court filings, between approximately January 2010 and August 2011, the defendant traveled twice from Nigeria to Yemen to meet and train with leaders of AQAP, the Yemen-based branch of al-Qaeda that has been linked to a number of plots targeting the U.S. homeland over the past decade. AQAP leaders trained Babafemi in the use of weapons, including AK-47 assault rifles, and taught him the importance of AQAP’s English-language media operations to its mission of inspiring “lone-wolf” style attacks abroad in the name of AQAP. Babafemi assisted in AQAP’s English-language media operations, which include the publication of the online Inspire Magazine, and worked closely with Samir Khan, the founder of Inspire and a U.S. citizen. Babafemi’s photograph, alongside Khan and other AQAP members, each holding an AK-47, was published in Issue 5 of Inspire; he also wrote rap lyrics on behalf of the group, hoping to extend its appeal to young Westerners. At the direction of the now-deceased senior AQAP leader Anwar al-Aulaqi, AQAP provided Babafemi with the equivalent of almost $9,000 in cash to recruit other English-speakers from Nigeria to join the terrorist organization. Babafemi attempted to recruit other Nigerians to join AQAP, but was arrested before he could complete that mission and conduct further activities on behalf of the organization.
“With this sentence, Lawal Olaniyi Babafemi is being held accountable for conspiring with members of al-Qaeda in the Arabian Peninsula and providing material support to the foreign terrorist organization,” said Assistant Attorney General Carlin. “Babafemi travelled to Yemen to receive weapons training and to learn how to contribute to AQAP’s English-language media operation, in addition to receiving money to recruit others to join AQAP’s ranks. Counterterrorism is the National Security Division’s highest priority and we will continue our efforts to detect, deter, and hold accountable those who provide material support to designated foreign terrorist organizations.”
“The defendant traveled to Yemen twice to seek out and commit himself to the radical terrorist organization AQAP and its goal of causing mass devastation in the West,” stated Acting United States Attorney Currie. “He undertook his journey soon after his fellow countryman’s notorious, albeit failed, attempt on behalf of AQAP to detonate a bomb concealed in his underwear in U.S. airspace. Babafemi received weapons training and worked with AQAP’s English-language media organization to recruit Westerners to its murderous mission. The investigation, prosecution, and conviction of Babafemi exemplifies the tireless efforts of the FBI’s Joint Terrorism Task Forces in New York and San Diego to identify and bring to justice those intent on joining and supporting violent terrorist organizations around the globe. This case is especially important as it relates to efforts to prosecute individuals who both engage in physical violence themselves and who create and disseminate violent terrorist propaganda worldwide in an effort to convince others to do so.”
The case is being prosecuted by Assistant U.S. Attorneys Zainab Ahmad and Hilary Jager of the Eastern District of New York, with assistance from Trial Attorney Annamartine Salick of the Justice Department’s Counterterrorism Section.
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Temple, TX Aryan Brotherhood Associate Sentenced to 20 Years in Federal Prison for Her Role in Methamphetamine Distribution OperationRead the Press Release
In Waco, a federal district judge sentenced 35–year-old Temple, TX, resident and Aryan Brotherhood (AB) associate Amanda Petrie to 20 years in federal prison for her role in a methamphetamine distribution conspiracy announced United States Attorney Richard L. Durbin, Jr., Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division, and Drug Enforcement Administration Special Agent in Charge Joseph M. Arabit, Houston Division.
This afternoon, United States District Judge Walter S. Smith sentenced Petrie to 15 years imprisonment for conspiracy to possess with intent to distribute methamphetamine and five years in federal prison for possession of a firearm during a drug trafficking crime. Judge Smith also ordered Petrie to pay a $1,000 fine.
“These sentences resulted from unprecedented collaboration of federal, state, and local law enforcement targeting a large-scale prison gang involved in violent organized crime over three counties in Central Texas,” said FBI Special Agent in Charge Christopher Combs. “This effort not only exemplifies our commitment to prevent gang violence and criminal activity from poisoning our communities, but it also sends a clear message that we will relentlessly pursue and prosecute the leaders and members of these violent criminal enterprises regardless of where they lay their heads.”
“Operation ‘La Flama Blanca’ has inflicted a debilitating blow to the network of shadow and often violent facilitators of the Aryan Brotherhood of Texas,” said Joseph M. Arabit, Special Agent in Charge of the Drug Enforcement Administration--Houston Field Division. “This operation highlights a deliberate and strategic effort to cut off and shut down the supply of methamphetamine trafficked by the Aryan Brotherhood and the corresponding impact that this horrific drug inflicts on our communities.”
To date, 30 individuals have been sentenced in connection with this investigation to imprisonment ranging from 21 months to 35 years in federal prison. Sentencing for 41-year-old Sylvia O’Neal of Temple, is scheduled to be sentenced on August 5, 2015. Colby Warren, age 40, of Gatesville, is scheduled to be sentenced on September 9, 2015.
During this 10-month-long operation, investigators conducted several controlled methamphetamine purchases. To date, authorities have seized approximately nine pounds of “crystal” methamphetamine, 15 firearms, over $9,000 in U.S. Currency and other assets in connection with this investigation.
Derrick Cooper (aka “Red”), age 35, of Temple, and Chris Voerhis (aka “Lurch”), age 50, of Moffat, TX, were also charged by federal grand jury indictment as a result of this investigation. Both remain in federal custody awaiting jury selection and trial scheduled for September 21, 2015, before Judge Smith. Cooper and Voerhis are charged with one count of conspiracy to distribute between 50 grams and 500 grams of methamphetamine and face between five and 40 years imprisonment upon conviction.
This case is the result of a joint investigation conducted by the Federal Bureau of Investigation and the Drug Enforcement Administration together with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Temple Police Department, Texas Department of Public Safety, Texas Department of Criminal Justice-Office of Inspector General, McLennan County Sheriff’s Office, Coryell County Sheriff’s Office, Bell County Sheriff’s Office, Gatesville Police Department, Lampasas Police Department, Killeen Police Department, Austin Police Department and the United States Marshals Service. Assistant United States Attorneys Mark Frazier and Stephanie Smith-Burris are prosecuting this case on behalf of the Government.
St. Joseph Truck Driver, Sex Offender Sentenced to 20 Years in Prison for Transporting a Minor for ProstitutionRead the Press Release
KANSAS CITY, Mo. B Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a St. Joseph, Mo., commercial truck driver who is a registered sex offender was sentenced in federal court today for transporting a minor across state lines for prostitution.
Tony Eugene Wardlow, 56, of St. Joseph, was sentenced by U.S. District Judge Dean Whipple to 20 years and 10 months in federal prison without parole.
Wardlow was convicted at trial on Dec. 17, 2014, of transporting a minor across state lines for prostitution. Wardlow also pleaded guilty on Feb. 14, 2014, to interstate transportation for prostitution.
Wardlow was self-employed as a commercial truck driver, doing business as Prideco, LLC. Wardlow is a registered sex offender who was convicted in 1997 in Nodaway County, Mo., of sexual abuse, endangering the welfare of a child and sexual misconduct (involving two separate child victims). Wardlow also has prior felony convictions for being a felon in possession of firearms and possessing methamphetamine.
Evidence submitted during the trial indicated that Wardlow paid the minor victim for sex on multiple occasions while she was working as a prostitute on Independence Avenue in Kansas City, Mo. She was under 18 years of age at this time. Wardlow took her out of town in his truck on several occasions, including a trip to Texas in September 2011. During the trip, Wardlow engaged in prostitution activity with the minor victim multiple times, both in Wardlow’s truck and in hotels.
The minor victim testified at trial that Wardlow threatened her with violence. There was evidence presented at trial that Wardlow made threats towards this victim should she ever contact law enforcement.
This case was prosecuted by Assistant U.S. Attorneys Patrick Daly and David Luna. It was investigated by the FBI, the Prairie Village, Kan., Police Department, the Kansas City, Mo., Police Department, the U.S. Department of Transportation, the Missouri State Highway Patrol and the Overland Park, Kan., Police Department in conjunction with the Human Trafficking Rescue Project.
Six Defendants Charged in Extensive Tax Refund and Identity Theft Fraud Scheme Involving Thousands of Individuals’ Personal Identifying InformationRead the Press Release
Six defendants were indicted on charges stemming from their participation in an extensive tax refund and identity theft fraud scheme involving thousands of individuals’ personal identifying information (PII).
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Alysa D. Erichs, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI), Ronald J. Verrochio, Inspector in Charge, U.S. Postal Inspection Service (USPIS), Miami Division, Rafiq Ahmad, Special Agent in Charge, United States Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations Miami Office (DOL-OIG), Hugo J. Barrera, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Ray Black, Chief, City of Miramar Police Department, Steve Steinberg, Chief, Aventura Police Department, J. Scott Dennis, Chief, North Miami Beach Police Department (NMBPD), and Franklin Adderley, Chief, Fort Lauderdale Police Department, made the announcement.
Harlan Decoste, a/k/a “Money King,” a/k/a “Moneyking_111,” 26, Frances Jeudy, a/k/a "Money Makin Rab," a/k/a "Brizzleon111," 26, Kerby Luma, a/k/a "Money Makin Kerb," 26, Frantz Decoste, a/k/a "Gripe_111," 20, all of Miramar, and Andy Cherrelus, a/k/a "Risktakers111," 24 of Miami, were charged with one count of conspiracy to defraud the government with respect to claims, in violation of Title 18, United States Code, Section 286, one count of conspiracy to possess fifteen or more unauthorized access devices, in violation of Title 18, United States Code, Section 1029(b)(2), one count of possession of fifteen or more unauthorized access devices, in violation of Title 18, United States Code, Section 1029(a)(3), and seven counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). Jeudy and Decoste were each also charged with five counts of possession of stolen mail, in violation of Title 18, United States Code, Section 1708. Chad Davis, a/k/a "Chadillac," a/k/a "Chadillac 305," 29, of Miami, was charged with one count of conspiracy to possess unauthorized access devices, in violation of Title 18, United States Code, Section 1029(b)(2), and one count of possession of fifteen or more unauthorized access devices, in violation of Title 18, United States Code, Section 1029(a)(3).
According to allegations contained in the indictment, the defendants obtained personal identifying information (“PII”), including the names, dates of birth, and Social Security numbers of thousands of individuals, and used this PII to file fraudulent federal income tax returns with the IRS. The defendants provided payment instructions on the tax returns directing the IRS to transfer the tax refunds to various accounts in other persons' names that the defendants and their co-conspirators controlled. The defendants then allegedly withdrew the unlawfully obtained tax proceeds for their personal use and to further the fraud scheme. Court documents further allege that Jeudy and Decoste also unlawfully possessed five United States Treasury checks that had been stolen out of the mail.
If convicted, the defendants each face a maximum of ten years imprisonment for each of the conspiracy to defraud the government and access device charges, a maximum of five years imprisonment for the conspiracy to possess access devices, a maximum of five years imprisonment for possession of stolen mail, and a mandatory term of two years’ imprisonment, consecutive to any other prison term, for the aggravated identity theft charges.
U.S. Attorney Wifredo A. Ferrer stated, “Our efforts continue to identify and prosecute those who unlawfully access, possess, use and/or disseminate personal identifying information. We will not tolerate offenders who target hard earned monies of private citizens. The dedicated efforts of our federal, state and local law enforcement partners make these prosecutions possible.”
IRS-CI Special Agent in Charge Kelly R. Jackson stated, “Stealing identities and filing false tax returns is a serious crime that will not be tolerated. These investigations remain a top priority for IRS Criminal Investigation. We will continue to hold accountable those who steal and use other peoples’ identities to commit tax fraud and other offenses.”
"This investigation serves as a clear warning to individuals that steal the identities of innocent taxpayers and use the information for personal profit, that they will be aggressively pursued, investigated and prosecuted," said Alysa D. Erichs, Special Agent in Charge for HSI Miami.
"South Florida law enforcement partners continue to work together to stop these criminals from committing identity theft and tax fraud," said Ronald Verrochio, Inspector in Charge, USPIS, Miami Division. "We have proven that together we can make a huge impact in the fight against identity theft and tax fraud."
“Unfortunately, this is another example of the growing wave of stolen identity tax fraud,” said George L. Piro, Special Agent in Charge of FBI Miami Division. “The FBI and our partners continue to actively target these fraudsters who seek illicit gains by victimizing hard-working taxpayers.”
Mr. Ferrer commended the investigative efforts of the IRS-CI, ICE-HSI, USPIS, DOL-OIG, ATF, FBI Miami Cyber Task Force, NMBPD, as well as the Miramar, Aventura, and Fort Lauderdale Police Departments. Mr. Ferrer thanked the Miami-Dade Police Department and the Georgia State Patrol, and the United States Attorney’s Office for the Northern District of Georgia, for their assistance in this matter. The case was initially handled by Assistant United States Attorney Gera R. Peoples and is currently being prosecuted by Assistant United States Attorney Brooke C. Watson.
An indictment is merely an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Selma Business and Businessmen Charged in Illegal Sweepstakes OperationRead the Press Release
GREENVILLE - United States Attorney Thomas G. Walker announces that a federal grand jury in Greenville returned a 22 count Second superseding Indictment (hereinafter “superseding Indictment”) (attached) on Thursday, August 6, 2015.
The superseding Indictment charged David Ricky Godwin (Godwin Sr.), 68, David Ricky Godwin Jr. (Godwin Jr.), 44, and RGB, Inc., now known as Regional Amusements, Inc. with Conspiracy to Conduct an Illegal Gambling Business, 18 U.S.C. § 371 (Count 1), Conducting an Illegal Gambling Business, 18 U.S.C. § 1955 (Count 2), two counts of Engaging in Gambling Device Business without Registering, 15 U.S.C. § 1173(a), 1176 (Counts 3-4), four counts of Failing to Maintain a Record of Gambling Devices, 15 U.S.C. § 1173(c), (d), 1176 (Counts 5-8), and thirteen counts of Possession of Unmarked Gambling Devices, 15 U.S.C. § 1173(e), 1176 (Counts 9-21). The superseding Indictment also charged Godwin Sr. with Possession of a Firearm by a Convicted Felon, 18 U.S.C. § 922(g) (Count 22).
If convicted of counts 1 and 2 (Conspiracy and Conducting an Unlawful Gambling Business), Godwin Sr. and Godwin Jr. face a maximum imprisonment of 5 years for each count. If convicted of Counts 3 through 21 (violations of the Gambling Devices Act of 1962), they face a maximum of two years imprisonment for each count. For counts 1 through 21, they face a maximum fine of $250,000 for each count or twice gross gain, whichever is greater. For Count 22, Godwin Sr. faces a maximum term of imprisonment of 10 years and a maximum fine of $250,000. For Counts 1 through 21, RGB, Inc. faces a maximum fine of $500,000 for each count or twice gross gain. The superseding Indictment also seeks forfeiture of proceeds traceable to conducting an illegal gambling business and Conspiracy to do so in violation of Counts 1-2. It also seeks forfeiture of the gambling devices seized during the investigation and forfeiture of the Mossberg model 500A 12 gauge shotgun allegedly involved in the violation of 18 U.S.C. § 922(g).
The charges and allegations contained in the superseding Indictment are merely accusations. The defendants are considered innocent unless and until proven guilty in a court of law.
The case is being investigated by North Carolina Alcohol Law Enforcement (ALE), the Internal Revenue Service - Criminal Investigation (IRS-CI), the Federal Bureau of Investigation (FBI), and the United States Marshal’s Service (USMS).
Scituate Resident Pleads Guilty to Defrauding Social Security AdministrationRead the Press Release
PROVIDENCE, R.I. – Luke Clarke, 72, of Hope, R.I., pleaded guilty in federal court in Providence today to fraudulently collecting more than $250,000 in social security benefits in his deceased mother’s name, announced United States Attorney Peter F. Neronha and Scott E. Antolik, Special Agent in Charge of the Boston Field Office of the Social Security Administration, Office of Inspector General/Office of Investigations.
Clarke admitted to the court that the Social Security Administration was never notified of his mother’s death in January 1998, and that he continued to collect his mother’s retirement benefits in the amount of $1,517 per month until October 2014. The monthly benefit was direct deposited into a bank account he shared with his mother. Clarke admitted to fraudulently collecting $257,959.
Appearing before U.S. District Court Judge John J. McConnell, Jr., Clarke pleaded guilty to one count of theft of government funds. Clarke is scheduled to be sentenced on November 12, 2015.
The matter was investigated by the Social Security Administration, Office of Inspector General/Office of Investigations.
The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.
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Contact:
Jim Martin (401) 709-5357
email: [email protected]
on Twitter @USAO_RI
Schenectady Man Sentenced in Fraud SchemeRead the Press Release
ALBANY, NEW YORK – Frederick Hollingshed, a/k/a Franklin Hollingshed, 48, of Schenectady, was sentenced today to 57 months imprisonment for his role in a fraud scheme where he obtained at least $70,000 from people who believed they were purchasing used vehicles advertised over the internet, announced United States Attorney Richard S. Hartunian, United States Secret Service Resident Agent in Charge William Leege, Social Security Administration Office of the Inspector General New York Field Division Special Agent in Charge Edward J. Ryan, and United States Postal Inspection Service Boston Division Inspector in Charge Shelly Binkowski. The sentence followed Hollingshed’s January 5, 2015 guilty plea to eight counts of wire fraud, one count of possession with the intent to use five or more identification documents, and one count of misuse of a Social Security number. The sentence was imposed by Chief United States District Judge Gary L. Sharpe.
In connection with his guilty plea, Hollingshed admitted that he used bank accounts and corporate entities that he controlled to receive money from people who falsely believed they were sending money to purchase used motorcycles, all-terrain vehicles, utility vehicles, trucks, and automobiles. He also admitted that he knowingly possessed seven Social Security cards with the intent to use them unlawfully, and that he knowingly presented a false Social Security number for the purpose of opening a bank account used in the scheme. As part of his sentence, Hollingshed was ordered to pay $70,500.80 in restitution to victims who wired funds to the accounts he controlled.
The prosecution resulted from a joint investigation by the United States Secret Service, United States Social Security Administration, United States Postal Inspection Service, and the Schenectady Police Department. The case was prosecuted by Assistant United States Attorney Sean O’Dowd.
San Angelo Man Pleads Guilty to Federal Child Pornography Offense Involving Prepubescent Child PornographyRead the Press Release
LUBBOCK, Texas — Justin Benedict Morales, 40, of San Angelo, Texas, appeared today before U.S. Magistrate Judge Nancy M. Koenig and pleaded guilty to one count of transportation of child pornography, announced John R. Parker, U.S. Attorney for the Northern District of Texas.
Morales, who remains in custody, faces a statutory penalty of not less than five years nor more than 20 years in federal prison and a $250,000 fine. A sentencing date was not set.
According to plea documents filed in the case, in November 2014, Morales used the Internet to send at least eight images of prepubescent child pornography via the online instant messaging client, Yahoo Messenger. Morales used several Yahoo IDs to transport and trade images and videos of child pornography. His laptop computer and hard disk drive were seized when special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) executed a search warrant at his residence in May 2015.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
ICE HSI, the Texas Attorney General’s Internet Crimes Against Children (ICAC) Task Force, and the San Angelo Police Department are investigating. Assistant U.S. Attorney Steven M. Sucsy is in charge of the prosecution.
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Rockford Man Arrested for Illegaly Possessing A FirearmRead the Press Release
ROCKFORD — A Rockford man was arrested today for illegally possessing a firearm. CLIFFORD HORTON, 27, of Rockford, Ill., was charged yesterday by a federal grand jury in Rockford for possessing a .380 caliber pistol as a convicted felon. Horton is scheduled to be arraigned today at 1:00 p.m. before U.S. Magistrate Judge Iain D. Johnston in federal court in Rockford.
The charge of being a felon in possession of a firearm carries a maximum penalty of up to 10 years in federal prison and a fine of up to $250,000. If convicted, the court must impose a reasonable sentence under federal sentencing statutes and the advisory United States Sentencing Guidelines.
The public is reminded that an indictment contains only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
The arrest was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Jeffery Magee, Special Agent-in-Charge of the Chicago Field Division of the Bureau of Alcohol, Tobacco, Firearms & Explosives; Gary Caruana, Winnebago County Sheriff; and, Chet Epperson, Rockford Police Chief.
The government is represented by Assistant U.S. Attorney Scott R. Paccagnini.
Indictment
Rochester Man Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Jaime Fontanez, 46, of Rochester, NY, who was convicted of conspiracy to possess with intent to distribute 500 grams or more of cocaine, was sentenced to 63 months in prisonby U.S. District Judge Elizabeth A. Wolford.Assistant U.S. Attorney Robert A. Marangola, who handled the case, stated that on February 3, 2014, U.S. Postal Inspectors searched a suspicious parcel shipped from Puerto Rico to 72 Jewel Street in Rochester. Inspectors found three kilograms of cocaine concealed in aluminum cans containing sliced papayas. The next day, a court-ordered transmitter was placed on the parcel and a U.S. Postal employee, assisted by Drug Enforcement Administration agents and Rochester Police Department officers, delivered the package to 72 Jewel Street.
The defendant arrived at 72 Jewel Street and sent his nephew, Daniel Acevedo, 33, inside to collect the package. Shortly after Acevedo entered the residence, officers raided the residence and arrested Acevedo and Fontanez.
Acevedo was convicted and sentenced to 37 months in prison.
The sentencing is the culmination of an investigation on the part of the Rochester Police Department, under the direction of Chief Michael Ciminelli, the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski, and the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division.Rochester Man Sentenced for Possession of Counterfit MoneyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Terrance Williams, 25, of Rochester, NY, who was convicted of possession of counterfeit money, was 45 days and three years probation by U.S. District Court Judge David G. Larimer.Assistant U.S. Melissa M. Marangola, who handled the case, stated that on March 1, 2015, law enforcement officers responded to 453 Hollenbeck Street in Rochester to investigate a possible burglary in progress. As officers approached the defendant, they learned he had an outstanding warrant on an unrelated matter. Williams was arrested and taken to the Monroe County Jail. While there, officers removed $1,140.00 in counterfeit United States currency the defendant. The money was then examined by Secret Service agents who determined it was counterfeit.
The sentencing is the culmination of an investigation on the part of the Secret Service, under the direction of C. Todd Laster.
Plantation Resident Pled Guilty in Identity Theft Tax Fraud SchemeRead the Press Release
A Broward County resident pled guilty in an identity theft fraud scheme involving 734 unauthorized tax returns.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), made the announcement.
Keyiona Marvette Wright, 27, of Plantation, Florida, pled guilty to one count of conspiracy to commit wire fraud, in violation of Title 18, United States Code, Section 1349, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. The defendant faces a maximum statutory sentence of twenty years in prison for the conspiracy charge, and a mandatory term of two years in prison, consecutive to any other term of imprisonment, for the aggravated identity theft charge.
According to court documents, from March 25, 2014 to May 6, 2015, forty-six federal tax returns were filed with the IRS claiming refunds of $135,196 from an IP address in Plantation. From September 16, 2014 to May 5, 2015, at least 688 rejected federal tax returns, claiming refunds of $733,276, were electronically transmitted to the IRS from this same IP address. Agents confirmed that the IP address was assigned to an apartment rented by Wright.
Based on this information, agents executed a search warrant at Wright’s residence and found four notebooks containing PII, two computers (one of which had numerous Social Security numbers and other personal identification information (PII) displayed on the screen), a bag and suitcase each containing thousands of PII in paper form, multiple pre-paid/value cards and gift cards, hundreds of documents containing PII (including Department of Labor applications), and papers containing PII scattered throughout the apartment. A forensic analysis revealed that the documents, computers, and debit/credit cards seized from Wright’s residence contained identifying or account information for over 14,000 individuals.
Court documents also indicate that agents found a laptop computer outside Wright’s apartment that contained a video depicting the defendant counting money.
Mr. Ferrer commended the investigative efforts of the IRS-CI. This case is being prosecuted by Assistant U.S. Attorney Cynthia Wood.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Penn National Horse Trainer Indicted on Wire Fraud ChargesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a grand jury in Harrisburg has indicted a local thoroughbred horse trainer on charges of wire fraud and conspiracy.
According to United States Attorney Peter Smith, Murray L. Rojas, age 49, of Grantville, Pennsylvania was charged in a five count indictment with wire fraud and conspiracy for conduct related to 11 races in which she had horses entered at Penn National Race Course in early 2013.
The indictment alleges that Rojas directed and conspired with unnamed and unindicted coconspirator veterinarian(s) to administer substances to horses on the day the horses were entered to race, in violation of the Pennsylvania law and racing rules and regulations prohibiting the administering of those substances.
The indictment further alleges that steps were taken to conceal this conduct by the backdating of invoices for the sale and administration of drugs to the horses on race day, as well as submitting fraudulent veterinarian treatment reports to the Pennsylvania Racing Commission. The purse money for the races is funded by the interstate electronic transfer of funds and the transmission of these funds that are used to pay successful owners/trainers is essential to the alleged scheme to defraud.
The indictment also alleges that Rojas obtained winnings totaling $52,360 from the 11 races in which it is alleged she directed the administration of prohibited substances to her horses.
The case was investigated by the by the Harrisburg Office of the Federal Bureau of Investigation and Pennsylvania Department of Agriculture’s Horse Racing Commission. Prosecution is assigned to Assistant United States Attorney William A. Behe.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is 20 years of imprisonment on each count, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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PSP Fingerprint Expert Identifies Child Porn Producer by Analyzing Ridges in PhotoRead the Press Release
PITTSBURGH – A Beaver County resident pleaded guilty in federal court to a charge of production of material depicting the sexual exploitation of a minor, United States Attorney David J. Hickton announced today.
Tyler Seevers, 25, formerly of Aliquippa, Pennsylvania, pleaded guilty before United States District Judge Donetta W. Ambrose.
In connection with the guilty plea, the court was advised that on July 20 and 21, 2014, Seevers produced sexually explicit photographs of a female child, three years of age, using an iPod Touch. The iPod Touch was turned over to law enforcement by the victim’s mother who had discovered the photographs of her daughter. Forensic analysis of the contents of the iPod Touch revealed images of both the 3-year-old and her older sister. One such sexually exploitive photograph depicted the ridges of the photographer’s fingertips. A fingerprint analyst with the Pennsylvania State Police was able to identify Seevers’ hand as that depicted in the photograph.
Judge Ambrose scheduled sentencing for Dec. 2, 2015, at 11 a.m. The law provides for a maximum total sentence of not less than 15 years, nor more than 30 years in prison, a fine of $250,000.00 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Seevers will remain in custody pending the sentencing proceeding.
Assistant United States Attorney Carolyn J. Bloch is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, The Pennsylvania State Police, and the Hopewell Township Police Department conducted the investigation that led to the prosecution of Tyler Seevers.
Owner of nonprofit charged with bank fraudRead the Press Release
A federal grand jury returned a one-count indictment charging Andre J. Grier, 41, of Cleveland, for presenting stolen checks to a local bank and receiving money under false pretenses, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Grier presented seven stolen checks totaling more than $62,000 a local bank to be cashed, misrepresenting that his nonprofit organization, Hood 2 Hood, Inc., earned them through various false business ventures. This took place between December 2014 and January 2015, according to the indictment.
Assistant United States Attorney Karrie D. Howard is prosecuting the case, following an investigation by the U.S. Postal Service’s Office of Inspector General.
If convicted, the court will determine the defendant’s sentence after a review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum. In most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Owner of District Heights Shipping Company Sentenced to Prison for Attempting to Illegally Export Arms to Lebanon and SmugglingRead the Press Release
Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Sam Rafic Ghanem, age 45, of Springfield, Virginia, today to 18 months in prison followed by three years of supervised release for attempting to illegally export firearms parts and accessories to Lebanon, and for smuggling goods from the United States. Judge Titus also ordered Ghanem to pay a fine of $70,734.24.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Scott Hinckley of the Federal Bureau of Investigation; and Special Agent in Charge Clark E. Settles of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Ghanem, a naturalized U.S. citizen born in Lebanon, owned and operated Washington Movers International, also known as Washington Movers, Inc., a freight forwarding business located in District Heights, Maryland.
According to evidence presented at his five day trial, beginning October 3, 2013, Ghanem sought to export guns and accessories to Lebanon through his shipping company that were provided to him by an FBI source. Ghanem knew that the weapons and accessories were designated as defense articles and required an export license, which Ghanem never sought or obtained. In addition, those items were prohibited from export to Lebanon. Specifically, Ghanem attempted to export seven 9mm semi-automatic pistols; three .40 caliber semi-automatic pistols; 10 AR-15 .223 caliber semi-automatic rifles; and 18 advanced combat optic gun sights.
According to trial evidence, on November 21, 2013, Ghanem told the source to pay him $3,000 for the cost of purchasing salvaged vehicles which would be used to export the firearms and accessories. Ghanem texted the source his bank account number and at the direction of law enforcement, the source deposited $3,000 into Ghanem’s account. Ghanem purchased the salvaged vehicles and arranged for them to be cut up. Ghanem concealed the weapons and other items within the doors and cut-up parts of the salvaged vehicles, which were then loaded into a shipping container. Ghanem advised the source that the shipping container would be loaded with the remaining car parts and transported to the Port of Baltimore for shipment to Lebanon on December 23, 2013. Ghanem was subsequently arrested.
United States Attorney Rod J. Rosenstein commended the FBI and Homeland Security Investigations Washington, D.C., for their work in the investigation and thanked U.S. Customs and Border Protection for its assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Christine Manuelian and Joseph R. Baldwin, who prosecuted the case.
Owner of Yountville Art Gallery Pleads Guilty to Conspiracy to Traffick Protected WildlifeRead the Press Release
SAN FRANCISCO- Michael Polenske pleaded guilty in federal court in San Francisco yesterday to wildlife trafficking and conspiracy, announced United States Attorney Melinda Haag and U.S. Department of Commerce, National Oceanic and Atmospheric Administration Special Agent in Charge William Giles.
Polenske, 53, of Napa, is the owner of Ma(i)sonry Napa Valley, a fine art and antique gallery as well as a wine tasting collective in Yountville, Calif. In pleading guilty today, Polenske admitted conspiring in 2007 through 2011 to sell wildlife that he knew or should have known was possessed, transported, and sold in violation of federal laws. Specifically, he pleaded guilty to trafficking a sea turtle shell protected by the Endangered Species Act in September 2011. He also admitted selling and purchasing for sale other sea turtle shells, whale bones, orca jaws, and a seal head. Polenske further admitted importing the wildlife items into the United States from European vendors using false labels, with the assistance of international shipping company Hedley’s Humpers, Ltd. Trafficking these items violated the Endangered Species Act, the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), and the Marine Mammal Protection Act. The United States charged Polenske by Information on August 10, 2015, with one count of conspiracy to traffic and smuggle wildlife, in violation of 18 U.S.C. § 371, and one count of wildlife trafficking, in violation of 16 U.S.C. §§ 3372(a)(1) and 3373(d)(2).
Hedley’s Humpers, Ltd. pleaded guilty on March 31, 2015, to wildlife smuggling based on false labeling in connection with Polenske’s imports. On July 7, 2015, the corporation was sentenced to three years’ probation and was ordered to pay $100,000 in fines and community service payments.
Sentencing for Polenske is scheduled for November 13, 2015, at 10:30 a.m., before the Honorable Joseph C. Spero, U.S. Magistrate Judge, in San Francisco. The plea agreement specifies that Polenske will pay $63,231.68 in fines but does not resolve the amount of time, if any, Polenske will serve in prison. The maximum statutory prison term for violations of 16 U.S.C. §§ 3372(a)(1) and 3373(d)(2) and 18 U.S.C. § 371 is one year imprisonment. Polenske’s sentence also will include a special assessment and, if imprisonment is ordered, a term of supervised release. However, any sentence will 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.
Assistant U.S. Attorney Hartley M.K. West is prosecuting the case with the assistance of Rosario Calderon. The prosecution is the result of an investigation by the U.S. Department of Commerce, National Oceanic and Atmospheric Administration, and the U.S. Homeland Security Investigations Border Enforcement Security Task Force.
Oswego Hospital and Physician Combine to Pay over $1.5 Million to Resolve Billing Improprieties Self-Disclosed by the HospitalRead the Press Release
SYRACUSE, NEW YORK – Oswego Hospital (“Oswego”), a 164-bed acute care community hospital located in Oswego, New York will pay $1,456,457.33 to resolve False Claims Act liability stemming from healthcare billing improprieties that the hospital selfdisclosed to the federal government, announced United States Attorney Richard S. Hartunian. Dr. Vilas Patil, a physician formerly working as an independent contractor with Oswego, has paid $204,365.97 to resolve False Claims Act liability in connection with a related investigation. Under the settlements, the United States will receive $1,026,790.89, and the State of New York, which also participated in the investigation, will receive $429,666.44.
During the course of an internal review, Oswego identified a number of billing improprieties in its Behavioral Health Services Department. Specifically, Oswego identified claims that were paid by federal and state payors where the supporting medical record documentation: (1) was not created or could not be located; (2) contained incorrect service dates; (3) were simply verbatim treatment notes from prior appointments with patients; and/or (4) failed to include time-related information required for certain time-based billing codes. Oswego promptly took corrective steps to remedy the problems and brought its findings to the government’s attention. Due in large part to Oswego’s decision to self-disclose these issues and its cooperation throughout the government’s investigation, Oswego was required to pay far less than the treble damages and penalties that the United States is authorized to seek under the False Claims Act. Furthermore, the Department of Health and Human Services’ Office of Inspector General (HHS-OIG) decided that Oswego would not have to enter into a corporate integrity agreement or adopt other compliance measures.
United States Attorney Hartunian said: “Our office is committed to ensuring that federal health care programs and their beneficiaries receive the services for which the government pays. The settlements in this investigation demonstrate how voluntary self-disclosures benefit both the integrity of the health care programs and the providers who discover and report improper billing in their organizations. Oswego should be commended for the manner in which it handled the disclosure and investigation.”
“Medicaid serves many New Yorkers’ essential health care needs and I will continue to work with partners in government to protect this important program,” said Attorney General Eric Schneiderman. “This settlement illustrates the importance of hospitals being mindful of billing requirements for government-sponsored healthcare. Through its cooperation with the investigation and return of Medicaid funds, Oswego Hospital demonstrated its accountability and commitment to abide by government healthcare rules and regulations and uphold the highest standards of integrity.”
The United States encourages all health care providers to self-disclose any known violations that have resulted in the submission of improper claims to federal health care programs. The investigation and settlements were the result of coordinated effort among the United States Attorney’s Office for the Northern District of New York, on behalf of HHS-OIG, the Defense Criminal Investigative Service, and the New York State Attorney General (Medicaid Fraud Control Unit). Locally, the United States was represented by Assistant United States Attorney Michael D. Gadarian.
Orono Man Pleads Guilty to Bank and Wire Fraud Conspiracy ChargesRead the Press Release
Contact: Chris Ruge
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Jason Robinson, 29, of Orono, Maine, pled guilty yesterday in U.S. District Court to bank and wire fraud conspiracy charges.
According to court records, from about February 2014 to May 2015, Robinson conspired with others to steal merchandise from Walmart, Hannaford, and other stores in Maine, and sell it on eBay; to return stolen merchandise to Lowe’s and Home Depot in return for store credit; and to defraud federally insured financial institutions by depositing worthless checks and withdrawing the money before those checks bounced.
Robinson faces up to 30 years in prison, a $1,000,000 fine, and five years of supervised release on the bank fraud conspiracy, and up to 20 years in prison, a $250,000 fine and three years of supervised release on the wire fraud conspiracies. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Maine State Police, the Bangor Police Department, and the Penobscot Sheriff’s Office.
Olmsted Township woman charged with embezzling from labor unionRead the Press Release
A two-count criminal indictment was filed charging an Olmsted Township woman with embezzling approximately $13,906 from Pipe Fitter Local Union No. 120, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Heather Banhidy, 50, formerly worked for Local 120 as a clerical employee. In that capacity, she embezzled funds from approximately December 2011 through September 2013. Banhidy also caused the falsification, concealment, withholding and destruction of union dues receipts and records of payments received by Local 120 as part of her embezzlement scheme, according to the indictment.
If convicted, the defendants’ sentences will be determined by the Court after review of the factors unique to this case, including the defendants’ prior criminal records, the defendants’ roles in the offense and the characteristics of the criminal conduct. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Om Kakani, following an investigation by the agents of the Department of Labor, Office of Labor-Management Standards.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove the defendant guilty beyond a reasonable doubt.
Newport News Man Sentenced to 10 Years in Child Pornography CaseRead the Press Release
NEWPORT NEWS, Va. – Eric Thomas Boettcher, 58, of Newport News, was sentenced today to 120 months in prison, followed by 20 years of supervised release for receipt of child pornography.
Boettcher pleaded guilty on April 16, 2015. According to court documents, federal agents were able to determine that someone using a particular internet protocol address was sharing child pornography files. That online activity was then linked to Boettcher’s residence. Agents executed a search warrant on Boettcher’s home in Newport News, Virginia on Oct. 17, 2014. Agents seized numerous electronic devices found in the home. A forensic exam of the devices revealed over 150,000 images of child pornography, including video depicting actual and simulated sadistic or masochistic abuse by an adult male with a minor male child and oral-genital sexual intercourse by an adult male with a minor male child.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and John S. Adams, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Mark S. Davis.
This case was investigated by the FBI’s Norfolk Field Office. Assistant U.S. Attorney Lisa R. McKeel is prosecuting 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. 4:15-cr-8.
Newport Man Jailed for 16 Months on Weapons ConvictionRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Derick Niles, age 37, was sentenced yesterday in United States District Court in Burlington to 16 months in prison, followed by three years of Supervised Release, on his conviction for being a drug user in possession of a firearm.
Niles’s federal conviction arose from his September 25, 2013, confrontation with various law enforcement agencies from the roof of his Newport, Vermont, garage, armed with a rifle. Niles also had ordered his teenage son into the woods with another loaded rifle to maintain a second firing position. The stand-off lasted about five hours. Niles pleaded guilty to the federal firearms charge, and admitted being a drug user, early this year.
At the August 11, 2015, sentencing hearing before U.S. District Court Chief Judge Christina Reiss, the Court rejected Mr. Niles’ argument that his actions could be partially excused by his drug use at the time of the confrontation, adding that the volatile situation could have led to someone being shot. Niles has multiple prior misdemeanor convictions for various crimes during 1995-2014.
Niles has been in the custody of the U.S. Marshal’s Service since June of 2015. The case was investigated by the Bureau of Alcohol, Tobacco, and Firearms, and the Newport Police Department. Niles was represented by Assistant Federal Defender Steven Barth. The United States was represented by Assistant U.S. Attorney William Darrow.
New York Man Charged with Disorderly Conduct in Federal CourthouseRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that disorderly conduct charges have been filed in Scranton against a Binghamton, New York man resulting from his alleged actions occurring at the conclusion of a detention hearing. The criminal information charges that Karl E. Kelly, age 35, engaged in threatening and tumultuous behavior, and used obscene language within the William J. Nealon Federal Building and United States Courthouse in Scranton.
According to United States Attorney Peter Smith, Kelly attended the detention hearing of a friend who was charged with allegedly committing an armed bank robbery. At the conclusion of the hearing on June 25, 2015, Senior United States District Judge James M. Munley ordered the defendant in that case detained pending trial. As Kelly was leaving the courtroom, he allegedly used obscene language and made a threatening comment about a third person.
The investigation was conducted by the Federal Bureau of Investigation and prosecution is assigned to Assistant U.S. Attorney John Gurganus.
Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law is 90 days imprisonment and a $300 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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New Orleans Man Pleads Guilty to Interstate Transportation of Stolen VanRead the Press Release
U.S. Attorney Kenneth A. Polite announced that FRANK MIKE, JR., age 46, of New Orleans, pled guilty as charged today to an Indictment charging interstate transportation of a stolen 2010 Dodge Caravan van from Louisiana to Georgia.
According to court records, on February 19, 2014, family members reported to the St. John the Baptist Parish Sheriff’s Department that Kenneth and Lakeitha Joseph of Reserve, were missing. A relative also indicated that she loaned her 2010 Dodge Grand Caravan to the Josephs but that the van had not been returned. On February 27, 2014, the missing 2010 Dodge Grand Caravan was recovered by the Fulton County Police Department in College Park, Georgia, at an apartment complex. Investigators discovered that van had been parked at the Travelodge Hotel located in College Park. On February 21, 2014, video surveillance at the Travelodge showed MIKE driving the van into the hotel parking lot.
In March 2014, the bodies of Kenneth and Lakeitha Joseph were found in the Intercostal Waterway in New Orleans East. The New Orleans Parish Coroner determined that their deaths resulted from drowning. Later forensic testing revealed that blood samples taken from the stolen van matched the DNA of both victims.
U.S. District Judge Sarah S. Vance scheduled sentencing for December 16, 2015. MIKE faces a maximum sentence of 10 years in prison.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation, the Drug Enforcement Administration, the New Orleans Police Department, the St. John the Baptist Parish Sheriff’s Office, the Fulton County Police Department, the Orleans Parish District Attorney’s Office, and the St. John the Baptist Parish District Attorney’s Office in investigating this matter. Assistant United States Attorney Michael B. Redmann is in charge of the prosecution.
Navajo Man Pleads Guilty to Federal Involuntary Manslaughter ChargesRead the Press Release
ALBUQUERQUE—Farrell Bowman, 28, an enrolled member of the Navajo Nation who resides in Fruitland, N.M., pleaded guilty this morning in Albuquerque, N.M., to involuntary manslaughter charges under a plea agreement with the U.S. Attorney’s Office. Under the terms of the plea agreement, Bowman will be sentenced to 74 months in prison followed by a term of supervised release to be determined by the court.
Bowman was arrested in Jan. 2015, on a criminal complaint charging him with involuntary manslaughter. According to the complaint, Bowman killed two Native American men with his vehicle when he crashed into their vehicle head on while he was driving under the influence of alcohol. The crash occurred on July 3, 2014, in a location within the Navajo Indian Reservation in San Juan County, N.M. Bowman was subsequently indicted on the same charges on Jan. 21, 2015.
During today’s plea hearing, Bowman pled guilty to the indictment and admitted killing the victims by driving recklessly while under the influence of alcohol which rendered him incapable of exercising clear judgment and a steady hand in operating a vehicle. Bowman acknowledged that he operated the vehicle without using due caution and with a reckless disregard that imperiled the lives of others.
Bowman has been in custody since his arrest and remains detained pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Shiprock office of the Navajo Nation Division of Public Safety and the San Juan County Sheriff’s Office. Assistant U.S. Attorney Raquel Ruiz-Velez is prosecuting this case.
Muskogee Man Pleads Guilty to Wire Fraud, Tax Fraud and Failure to Pay $500,000 in TaxesRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that DAVID ALLEN EDWARDS, age 69, of Muskogee, Oklahoma, pled guilty to an Information charging him with WIRE FRAUD, in violation of Title 18, United States Code, Section 1343; TAX FRAUD, in violation of Title 26, United States Code, Section 7206(1) and FAILURE TO ACCOUNT FOR AND PAY EMPLOYMENT TAXES OWED, in violation of Title 26, United States Code, Section 7202.
The charges arose from an investigation by the Muskogee Police Department, the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division.
The Information filed on July 6, 2015, alleged that on or about January 9, 2014, within the Eastern District of Oklahoma and elsewhere, the defendant devised and intended to devise a scheme and artifice to defraud Children's Clinic, PLLC to obtain money and property in the amount of $403,307.09 by means of materially false and fraudulent pretenses, representations and promises.
Further investigation revealed that on or about June 2, 2011, the defendant willfully made and subscribed a false 2010 Form 1040, U.S. Individual Income Tax Return, which contained and was verified by a written declaration that it was made under the penalties of perjury, and which he did not believe to be true and correct as to every material matter, in that he knowingly reported a false Adjusted Gross Income by failing to report $116,610.00 in additional income that was fraudulently obtained from Children’s Clinic, PLLC.
Agents also discovered that Office Medic, Inc., which is owned and operated by the defendant, withheld payroll taxes from its employees' paychecks, including federal income taxes, Medicare and social security taxes but failed to send $534,342.09 in withholdings to the Internal Revenue Service.
The Honorable Frank H. Seay, Senior District Judge in the United States District Court for the Eastern District of Oklahoma, accepted the defendant’s guilty plea, and ordered the completion of a presentence report. Sentencing will be scheduled upon its completion. The defendant will remain on bond pending sentencing.
The statutory range of punishment is up to 20 years imprisonment, a fine of up to $250,000.00 or both.
First Assistant United States Attorney Doug Horn represented the United States.
Monongalia County man convicted of possession of child pornographyRead the Press Release
CLARKSBURG, WEST VIRGINIA – Daniel Frohnhofer, 44, of Morgantown, West Virginia, was convicted today of possession of child pornography, United States Attorney William J. Ihlenfeld, II, announced.
Frohnhofer was previously convicted of “Criminal Sexual Penetration” in 1996 in New Mexico, “Felony Menacing – Real/Simulated Weapon” in 2008 in Colorado, “Failure to Comply with Sex Offender Registration Requirements” in 2008 in Texas, and “False Imprisonment” in 2009 in New Mexico.
Through an investigation by the West Virginia State Police Internet Crimes Against Children Unit, Frohnhofer was discovered in possession of various images of child pornography. He pled guilty today to one count of “Possession of Child Pornography.” He faces up to 20 years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn Morgan prosecuted the case on behalf of the government.
U.S. District Judge Irene M. Keeley presided.
Members of the Jamal Dean Getaway Team SentencedRead the Press Release
Members of the Jamal Dean Getaway Team (made up of Jamal Dean’s friends, family, and fellow gang members) were sentenced today in federal court for their roles in obstructing a joint state-federal investigation and search for Jamal Dean in April and May of 2013.
Lee Dean, age 55 (Jamal Dean’s father), Kimberly Smith, age 50 (Jamal Dean’s aunt), all of Sioux City, Iowa and Ingmar Hernandez, age 26 (an F-13 gang member), of South Sioux City, Nebraska, received the sentences after guilty pleas to conspiring to defraud the United States by interfering with the federal investigation of and search for Jamal Dean. Steffen Dean, age 53 (Jamal Dean’s cousin) received his sentence after his guilty plea to knowingly making a false statement to a federal law enforcement officer.
Evidence at the Jamal Dean sentencing, and from the change of plea and sentencing hearings of the Getaway Team, revealed the following:
On April 15, 2013, Jamal Dean, Levon Dean (Jamal Dean’s brother and fellow gang member) and Sarah Berg traveled from South Sioux City, Nebraska, to Sioux City, Iowa where they beat and robbed at gun point a small-time drug-dealer, inside a room at a Sioux City motel. They left with the drug-dealer’s car, methamphetamine, cash and other items.
On April 24, 2013, Jamal and Levon Dean again traveled from Nebraska to Iowa and beat and robbed at gun point a larger drug-dealer, inside his Sioux City, Iowa, home, and left with the drug-dealer’s two cars, methamphetamine, cash and other items. After this attack, the assailants retreated to Nebraska taking one of the stolen cars and a female victim against her will with them.
On April 29, 2013, Jamal Dean, in an attempt to escape being arrested for these crimes, fired eight rounds at Sioux City, Iowa, Police Officer Kevin McCormick, striking him once in the head with a bullet. Jamal Dean, with the help of a getaway team, avoided arrest until May 5, 2013, when he was arrested by officers of the Texas Department of Public Safety just 70 miles from Mexico in a car heading south.
Moments after he shot Officer McCormick, Jamal Dean called Ingmar Hernandez (an F-13 gang member) and Lee Dean (Jamal Dean’s father) and requested help.
Lee Dean answered Jamal Dean’s call first. Lee Dean picked up Jamal Dean from the backyard of a home on West Second Street in Sioux City, Iowa, which was approximately four blocks from the scene of the shooting. While Lee Dean and Jamal were in the same vehicle, Lee Dean’s cousin, Steffen Dean, called Lee Dean and told him that Jamal Dean had just committed a serious crime and that Lee Dean should bring Jamal to Steffen Dean’s home, which he shared with Kimberly Smith.
Once at the Dean-Smith residence, Lee Dean, Steffen Dean and Kimberly Smith became fully aware of the fact that Jamal had shot a Sioux City police officer and that Jamal Dean was being sought by Deputy United States Marshals.
Jamal Dean called Ingmar Hernandez and requested a ride to South Sioux City, Nebraska. Ingmar Hernandez asked Monica Rocha-Contreras (a Facebook friend of both Hernandez and Jamal Dean) to help him pick up a “friend” (that is, Jamal Dean) in Sioux City, Iowa. She agreed. At around 10:00 p.m. on April 29, 2013, Ingmar Hernandez and Monica Rocha-Contreras picked up Jamal Dean at Steffen Dean’s, and transported him through Sioux City, Iowa to South Sioux City, Nebraska. Monica Rocha-Contreras dropped Jamal Dean and Ingmar Hernandez off in the area of Ingmar Hernandez’s home. Hernandez and Dean then walked to Ingmar Hernandez’s home, which had already been searched by law enforcement, and Hernandez hid Jamal Dean in the basement overnight. Hernandez also provided methamphetamine to and smoked methamphetamine with Jamal Dean.
On April 30, 2013, Evette Morris-Hernandez (the highest ranking female member of F-13 at the time) and Ingmar Hernandez arranged for the transportation of Jamal Dean from Ingmar Hernandez’s home to Anna Baker’s home on the Winnebago Reservation in Winnebago, Nebraska. Evette Morris-Hernandez and Esteban Hernandez (her husband at the time) transported Jamal Dean to Anna Baker’s home and, together, they hid Jamal Dean at the residence for the next three or four days.
While Jamal Dean hid at Anna Baker’s residence, Anna Baker, Evette Morris-Hernandez, Esteban Hernandez, Ingmar Hernandez, and Jamal Dean discussed the shooting, the joint state and federal investigation, and what Jamal Dean’s next step should be. On or about May 2, 2013, the confederates arranged for the transportation of Jamal Dean from Anna Baker’s home to the Palmer House Motel on Gordon Drive in Sioux City, Iowa. The Palmer House was selected because the conspirators believed that the hotel did not have extensive video surveillance. Evette Morris Hernandez and Esteban Hernandez provided Jamal Dean with an iPod with texting capability for use in keeping touch with other members of the conspiracy.
From about May 3, 2013, to about May 5, 2013, Evette Morris-Hernandez and Esteban Hernandez transported Jamal Dean to Texas. On May 5, 2013, a Texas state trooper stopped a 1999 Dodge Durango sport utility vehicle within 70 miles of Mexico, with Evette Morris-Hernandez, Esteban Hernandez, Jamal Dean, and two children inside the vehicle.
The obstructive conduct continued after Jamal Dean’s capture. Anna Baker, Lee Dean, Steffen Dean, Kimberly Smith, Monica Rocha-Contreras and Evette Morris-Hernandez all made material false statements to federal authorities. Similarly, Anna Baker and Monica Rocha-Contreras deleted the contents of their mobile phones and Esteban Hernandez deleted the contents of an iPod he and Evette Morris-Hernandez had lent Jamal Dean during the conspiracy.
Lee Dean, Steffen Dean, Kimberly Smith, and Ingmar Hernandez, were sentenced today in Sioux City by United States District Court Judge Mark W. Bennett. Lee Dean was sentenced to three years of probation with the condition that he serve fifteen consecutive weekends in jail. A special assessment of $100 was imposed.
Steffen Dean was sentenced to 1 year probation. A special assessment of $100 was imposed.
Kimberly Smith was sentenced to eight months’ imprisonment. She must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Evette Morris Hernandez sentencing hearing was continued and will be set for a later date.
Ingmar Hernandez was sentenced to 33 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Esteban Hernandez is scheduled to be sentenced on for September 14, 2015 at 1:30 p.m. in Sioux City by United States District Court Judge Mark W. Bennett.
Anna Baker was sentenced on June 22, 2015 in Sioux City by United States Magistrate Judge Leonard Strand. Anna Baker was sentenced to 4 months’ imprisonment and fined $25. A special assessment of $100 was imposed. She must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Monica Rocha-Contreras was sentenced on a related state offense on March 17, 2015, in Iowa State Court. Monica Rocha-Contreras was sentenced to 15 days in the Woodbury County Jail, fined a suspended fine of $625.00. She must also serve a one-year term of supervised release (with conditions).
“Battling violent crime is a top priority of this office and the Department of Justice,” said Mr. Techau. “These convictions send a firm message to anyone that would help a violent fugitive avoid justice. We will continue to stand shoulder-to-shoulder with our law enforcement partners at the federal, state and local levels to help ensure the safety and security of our communities.”
Chief Doug Young from the Sioux City Police Department said, “This case would not have been successful without the inter-agency cooperation of the United States Marshal’s Service, the Bureau of Alcohol Tobacco and Firearms, the Iowa State Division of Criminal Investigations and Intel Office, and our local city and county law enforcement from Iowa and Nebraska. The Sioux City Police Department would like to especially commend and send our gratitude to the United States Attorney’s Office for undertaking the prosecution of these individuals who harbored and assisted Jamal Dean in his attempted flight from justice. The collaboration and cooperation of all participating agencies is a true testament to the underlying spirit that defines Siouxland.”
Deputy United States Marshal Chad McCormick said, “This case is a perfect example of how cooperation between local, state and federal authorities resulted in the arrest of a serious threat to the public. The prosecution of those who assisted Jamal Dean sends a strong message that if someone assists a fugitive, they are likely to be prosecuted”.
Ingmar Hernandez is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted as a part of Project Safe Neighborhoods, a cooperative local, state, and federal program aimed at the enhanced prosecution of gun crimes. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Homeland Security Investigations; the United States Marshal’s Service; the Iowa Department of Public Safety; the Nebraska Department of Public Safety; the Texas Department of Public Safety, the Iowa Department of Transportation, the Tri-State Drug Task Force, the Woodbury County, Iowa Sheriff’s Office; the Dakota County, Nebraska Sheriff’s Office; the Sioux City, Iowa Police Department, the South Sioux City, Nebraska Police Department; and the Woodbury County Attorney’s Office. The case was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information is available at https://ecf.iand.uscourts.gov. The case file number is 14-4088.
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Martinsburg couple convicted of fabricating death to desert from U.S. Coast GuardRead the Press Release
MARTINSBURG, WEST VIRGINIA – Larry C. Shelby, 34, and his wife Karen Shelby, 34, of Martinsburg, was convicted today of misleading the U.S. Coast Guard, United States Attorney William J. Ihlenfeld, II, announced.
Larry Shelby, a non-commissioned officer in the U.S. Coast Guard, conspired with his wife, Karen Shelby to fabricate his own death in an effort to desert from the Coast Guard. Larry Shelby abandoned his vehicle, wrote suicide notes, concealed his identity and isolated himself in a remote West Virginia cabin in an effort to falsify his own death.
Karen Shelby represented to authorities that Larry Shelby was missing and that she was unaware his location or whether he was alive. These misrepresentations caused the U.S. Coast Guard to expend in excess of $100,000.00 in a search for Larry Shelby. In February 2014, Larry Shelby returned from the remote cabin to reside in his Martinsburg residence in secret until June.
Larry Shelby pled guilty today to one count of “Hoax Causing U.S. Coast Guard to Render Unnecessary Aid” and “Conspiracy to Violate Laws.” He faces up to six years in prison and a fine of up to $250,000. Karen Shelby pled guilty today to one count of “Making a False Statement.” She faces up to five years in prison and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendants.
Assistant U.S. Attorney Paul Camilletti prosecuted the case on behalf of the government.
The matter was investigated by the Coast Guard Investigative Service. The Coast Guard’s search for Larry Shelby was supported by the Maryland State Police, the National Park Service, the Berkeley County, West Virginia Sheriff’s Office, the Harpers Ferry, West Virginia Police Department, the Martinsburg, West Virginia Police Department, Chesapeake Search & Rescue K-9, and Mid-Atlantic D.O.G.S, Inc.
U.S. Magistrate Judge Robert W. Trumble presided.
Mansfield man charged with bank robberyRead the Press Release
A federal grand jury returned a two-count indictment charging Scott D. Tesca, 39, of Mansfield, with armed bank robbery, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio.
The indictment alleges in Count 1 that on December 15, 2014, Scott Tesca and others robbed the Richland Bank located at 460 West Cook Road, Mansfield, Ohio. Count 2 alleges that on January 15, 2015, Scott Tesca and others robbed the Chase Bank located at 1094 Lexington Avenue, Mansfield, Ohio.
If convicted, a defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal records, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigation preceding the indictment was conducted by the Federal Bureau of Investigation’s Mansfield Office. The case is being prosecuted by Assistant United States Attorney Linda H. Barr.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.