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Wednesday 3 June 2015
East Hampton Man Charged with Producing Child PornographyRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the Federal Bureau of Investigation, announced that KEITH HAESSLY, 45, of East Hampton, was arrested today and charged by federal criminal complaint with possession, distribution and production of child pornography.
The criminal complaint alleges that in January 2015, the Federal Bureau of Investigation received information that HAESSLY was distributing images of child pornography over the Internet and had engaged in numerous sexually explicit chats related to the sexual exploitation of young boys. Subsequent investigation revealed that HAESSLY has been posing as a female, using the name “Amy Finch,” and used loop recordings of females to entice boys to engage in sexual activity over webcams through video chat programs such as Skype and Omegle. HAESSLY then made recordings of the boys engaged in sexual activity.
Investigators conducted a court-authorized search of HAESSLY’s residence earlier today and seized a laptop computer. HAESSLY was arrested at his place of work.
Following his arrest, HAESSLY appeared before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven and was ordered detained.
The charge of production of child pornography carries a minimum term of imprisonment of 15 years.
U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Connecticut Child Exploitation Task Force, which includes federal, state and local law enforcement agencies. The case is being prosecuted by Assistant U.S. Attorney Ray Miller.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Doña Ana County Clerk’s Office Employee Arrested on Federal Theft and Identity Fraud ChargesRead the Press Release
ALBUQUERQUE – Maria L. Ceniceros, 42, of Las Cruces, N.M., made her initial appearance in federal court this morning on a criminal complaint charging her and a co-defendant with theft of government property and aggravated identity theft charges. Ceniceros remains in federal custody pending a preliminary hearing and detention hearing which are scheduled for June 5, 2015.
The criminal complaint charges Ceniceros and Armando Gutierrez-Torres, 50, a Mexican national who resides in Delicias, Mexico, with conspiracy to commit theft of government property and aggravated identity theft. The charges in the complaint allegedly arise out of a scheme to steal money from the United States by using the identities of individuals without their knowledge or consent to generate and cash fraudulent federal income tax refund checks. It alleges that Ceniceros and Gutierrez-Torres conspired with each other and others to perpetuate the scheme, and that Ceniceros abused her position as a Document Technician at the Doña Ana County Clerk’s Office to facilitate the scheme.
The criminal complaint alleges that the law enforcement authorities learned of the scheme in mid-May 2015, when Ceniceros allegedly approached a co-worker in the Doña Ana County Clerk’s Office and attempted to solicit his participation in the scheme. The co-worker reported the alleged solicitation to law enforcement authorities and agreed to assist officers in conducting an undercover investigation into Ceniceros and Gutierrez-Torres. During the investigation, Ceniceros allegedly provided three fraudulent federal income tax refund checks to the co-worker so that he could cash the checks with the understanding that the proceeds would be divided between Ceniceros, Gutierrez-Torres and the co-worker. Ceniceros and Gutierrez-Torres were arrested on related state charges on May 29, 2015.
Ceniceros was arrested on the federal charges in the criminal complaint on June 1, 2015. Gutierrez-Torres remains in state custody and will be transferred to federal custody to face the charges in the criminal complaint.
If convicted on the theft of government property charge, Ceniceros and Gutierrez-Torres each face a statutory maximum sentence of ten years in prison. If convicted on the aggravated identity theft charge, each faces a mandatory two-year prison sentence that must be served consecutive to any sentence imposed on the theft of government property charge. Charges in criminal complaints are merely accusations and defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by IRS Criminal Investigation and the Doña Ana County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorney Mark A. Saltman of the U.S. Attorney’s Las Cruces Branch Office.
ceniceros_complaint.pdf (232.2 KB)
Department of Justice Settles Civil Rights Lawsuit Alleging Discriminatory Assistance Animal Policy at Largest Cooperative Development in the United StatesRead the Press Release
Co-op City Agrees to Enhance Accessibility, Pay Civil Penalties and Establish an Aggrieved Persons Fund
The Department of Justice and the Department of Housing and Urban Development (HUD) announced today that the United States has simultaneously filed and settled a civil rights lawsuit against RiverBay Corporation, which manages “Co-op City,” the largest affordable housing cooperative in the United States, alleging that RiverBay failed to provide reasonable accommodations to people who require service or assistance animals. Specifically, the lawsuit alleges that RiverBay maintains and employs an overly burdensome and intrusive policy governing waivers to its no-pets rule, which has deterred and prevented persons with disabilities from obtaining reasonable accommodations, in violation of the federal Fair Housing Act. The consent decree was approved on June 2, 2015, by U.S. District Court Judge Valerie E. Caproni.
“Assistance animals provide vital support and therapeutic benefits for persons with disabilities,” said Principal Deputy Assistant Attorney General Vanita Gupta of the Civil Rights Division. “This significant settlement underscores the department’s commitment to ensuring that housing providers make reasonable accommodations for individuals who rely on assistance animals to use and enjoy their homes.”
“Housing providers must allow for reasonable accommodations to qualified individuals with disabilities, including granting requests to keep assistance or service animals,” said U.S. Attorney Preet Bharara of the Southern District of New York. “Today’s settlement benefits all those who require or may someday require a service or assistance animal, as it ensures that RiverBay will implement a reasonable accommodation policy consistent with the Fair Housing Act and that people who were unlawfully denied full use of their residences will be compensated appropriately. We thank RiverBay for its cooperation in improving housing accessibility for all of its residents and in providing for a more caring and compassionate environment for Bronx residents.”
“Housing providers have a legal obligation to grant people with disabilities the reasonable accommodations they need,” said Assistant Secretary Gustavo Velasquez of HUD. “Thanks to this settlement, RiverBay residents who need assistance animals or other accommodations will now be able to fully enjoy their homes.”
According to the complaint filed in federal court:
RiverBay, located in the Bronx, New York, is the owner and operator of the largest affordable housing cooperative in the United States, with approximately 15,372 residential units and 60,000 residents. RiverBay has used an unlawful policy governing waivers to its no-pets rule to deny accommodation requests of persons with disabilities, and has engaged in a pattern or practice of discrimination toward persons with disabilities who request accommodations to its no-pets rule. Specifically, until December 2011, when RiverBay amended its policy and application governing reasonable accommodations, RiverBay’s application for requesting a reasonable accommodation to its no-pets rule consisted of five forms (including one required to be completed only in blue ink and another required to be typewritten), prohibited certain breeds of dogs, required animals to be neutered or spayed, imposed annual renewal requirements and required the applicant to provide his or her medical records. In December 2011 and again in July 2014, RiverBay amended its reasonable accommodation policy, but left in place many of the provisions in the first policy, including a prohibition against certain breeds of animals, a prohibition which RiverBay could waive based only on an applicant’s “medical need” for that particular breed.
Moreover, between 1995 and 2014, the Secretary of HUD, the New York State Division of Housing and Community Renewal and the New York City Commission on Human Rights received and investigated multiple complaints about RiverBay’s practices concerning reasonable accommodation requests. HUD issued three separate charges of discrimination against RiverBay and participated in two administrative hearings before an administrative law judge (ALJ) concerning RiverBay’s reasonable accommodation policy. In each proceeding, the ALJ determined that RiverBay had violated the FHA. In addition, between January 2005 and November 2011, RiverBay denied 28 out of 42 requests for reasonable accommodations to its no-pets rule; another two individuals did not complete the application process.
Under the consent decree approved today, RiverBay will adopt the reasonable accommodation policy regarding assistance animals that is included in the consent decree.
In addition, RiverBay has agreed to pay a civil penalty of up to $50,000, and to dedicate as much as $600,000 to compensate people who have been harmed by inadequate accessibility at Co-op City.
Under the settlement, a person may be entitled to receive monetary compensation if he or she was a resident of RiverBay, or associated with a resident of RiverBay, and was:
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prevented or discouraged from requesting to keep an assistance animal;
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denied a request to keep an assistance animal; or
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harassed or otherwise interfered with after requesting to keep an assistance animal.
Individuals who wish to make a claim for discrimination concerning Co-op City on the basis of disability, or with any information about persons who may have such a claim, can contact the U.S. Attorney’s Office of the Southern District of New York by phone at (212) 637-2800, by fax at (212) 637-2702, online at www.justice.gov/usao/nys/civilrights or write to:
United States Attorney’s Office, Southern District of New York
Attn: Civil Rights Unit
86 Chambers Street
New York, New York 10007
Individuals with a disability who believe that they are being discriminated against by their housing provider may contact the Fair Housing and Equal Opportunity Office, Department of Housing & Urban Development, 26 Federal Plaza, Room 3532, New York, New York, 10278-0068 and at (800) 496-4294.
This case is being handled by the U.S. Attorney’s Office of the Southern District of New York’s Civil Rights Unit. Assistant U.S. Attorney Ellen Blain of the Southern District of New York is in charge of the case.
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Department of Justice Announces Investigation of the Jefferson County Jail in Birmingham, AlabamaRead the Press Release
The Justice Department announced today that it has opened an investigation of the Jefferson County Jail in Birmingham, Alabama, focusing on the treatment of juveniles. The investigation will assess whether juveniles are detained at the jail in conditions that pose a serious risk of harm to their physical and psychological well-being.
The department has received allegations that juveniles at the jail are regularly housed with adult detainees, have been victims of sexual abuse and have been approached by adult detainees for sexual activity and favors. Additionally, juveniles, including those with diagnosed mental illnesses and intellectual disabilities, allegedly are routinely placed in solitary confinement or lockdown—sometimes for months at a time—with little or no access to the law library, telephone, commissary, educational opportunities and other services.
“Isolation—particularly the prolonged and restrictive lockdown alleged in Jefferson County—can lead to paranoia, anxiety, depression and suicide, and exacerbate pre-existing psychological harms,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “Indeed, the 2012 Report of the Attorney General’s National Task Force on Children Exposed to Violence concluded that ‘[n]owhere is the damaging impact of incarceration on vulnerable children more obvious than when it involves solitary confinement.’"
“Our commitment to finding solutions to problems in Alabama’s troubled jails and prisons is ongoing,” said U.S. Attorney Joyce White Vance for the Northern District of Alabama. “Where possible, the best solution is always a collaborative approach that encourages the state and counties to correct conditions that are constitutionally inadequate. However, we have not hesitated to file suit where necessary.”
The department will conduct the investigation using its authority under the Civil Rights of Institutionalized Persons Act (CRIPA) and the Violent Crime Control and Law Enforcement Act. Under CRIPA, the Attorney General has the authority to investigate violations of the constitutional rights of prisoners in “institutions,” including county jails, where such violations are “pursuant to a pattern or practice of resistance to the full enjoyment of such rights.” The Violent Crime Control and Law Enforcement Act authorizes the Attorney General to bring suit against any governmental entity that has engaged in “a pattern or practice” of depriving juveniles of their rights secured by the Constitution or federal statute. The department has conducted similar investigations in other jurisdictions, including of the Leflore County Juvenile Detention Center in Mississippi, the jails on Rikers Island in New York, the Terrebonne Parish Juvenile Detention Center in Louisiana and the Scioto and Marion Juvenile Correctional Facilities in Ohio.
The Special Litigation Section of the Civil Rights Division is conducting this investigation. Individuals with relevant information are encouraged to contact the department via email at [email protected] or by phone at (855) 258-1432.
Del Rio Texas Mexican Mafia Member Sentenced to 20 Years in Federal PrisonRead the Press Release
In Del Rio yesterday, 45-year old Texas Mexican Mafia (TMM) member Jesus Meza, Jr. (aka “Jesse”) was sentenced to 20 years imprisonment followed by five years of supervised release for violating federal racketeering and drug trafficking statutes announced Acting United States Attorney Richard L. Durbin, Jr., Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, Homeland Security Investigations (HSI) Special Agent in Charge James Spero, Drug Enforcement Administration (DEA) Special Agent in Charge Joseph M. Arabit and Texas Department of Public Safety Director Steven McCraw.
On July 24, 2013, Meza pleaded guilty to one count of conspiracy to violate the Racketeering Influenced Corrupt Organization (RICO) statute and one count of conspiracy to possess with the intent to distribute marijuana. From 2010 until his arrest on September 28, 2012, Meza was responsible for collecting the “dime” or drug tax from drug dealers in Del Rio on behalf of the TMM. In this role, Meza harassed and intimidated individuals into paying funds to the TMM. Additionally, in 2012, Meza and fellow TMM member Daniel Rosario Lara (aka “Diablo”), age 31, were tasked with kidnapping and killing another TMM member who violated TMM rules. However, FBI agents and local law enforcement officers were able to intercept Meza and Lara before the kidnapping and murder occurred.
Other sentences previously handed down to co-defendants for their roles in the criminal enterprise include: Daniel Rosario Lara, 240 months imprisonment; 45-year-old Jose Cardona (aka “Tinga”), 240 months imprisonment; 22-year-old Joel Costilla (aka “Sharky”), 235 months imprisonment; and, 22-year-old Jessica Meza, two years imprisonment. Four remaining co-defendants, who have previously entered guilty pleas and are awaiting sentencing, include: 48-year-old TMM Del Rio leader Roberto Villarreal (aka “Flaco”); 42-year-old Ricardo Zapata (aka “Richie”); 28-year-old Joe Lee Jimenez; and, 23-year-old Ray Rene Salgado. Their sentencings are scheduled for later this year.
This investigation was conducted by the FBI together with HSI, Texas Department of Public Safety--Criminal Investigations Division, and the DEA. The Bureau of Alcohol, Tobacco, Firearms, and Explosives, the U.S. Marshals Service, and U.S. Customs and Border Protection also assisted in the investigation.
Conspiracy, fraud and money laundering charges filed against Holland residentsRead the Press Release
A federal grand jury returned a 58-count second superseding indictment against Mark O. Wittenmyer, 54, of Holland, Ohio; Robert Milam, 65, of League City, Texas; Lonny Remmers, 57, of Corona, California; Mark Aller, 50, of Birmingham, Michigan; and Douglas Boyce, 57, of Maumee, Ohio, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The existing superseding indictment contains multiple charges including conspiracy, wire fraud, money laundering, securities fraud, and access device fraud. The new superseding indictment adds a sixth defendant, Arvel Ray Henderson II, 46, of Holland, Ohio, who is charged along with Wittenmyer with a money-laundering conspiracy. Henderson is also charged with four individual counts of money laundering.
The indictment charges that from in or around January 2003, and continuing through May 2014, Wittenmyer, Milam, Remmers, Aller, Boyce, and others, conspired to solicit and collect investments, expenses, consulting fees, salaries and other payments in connection with investment and financing transactions induced by false and fraudulent pretenses, representations, and promises. The conspirators utilized several business entities to promote and induce investments, including Spring Valley Marketing Group, Community ISP, Momentum Management, OnLetterhead, bSecured Solutions, New Dimension Fund, and RM Capital, according to the indictment.
False statements were made to investors, lenders, and other participants regarding past successes in arranging investments transactions for the purpose of inducing investments. Wittenmyer used the participation, and purported participation, of attorneys and other professionals to confer an aura of legitimacy to potential investors. Wittenmyer often fraudulently requested that investors and lenders advance funds for travel, legal fees, and other various expenses, which the conspirators then used for personal living expenses, according to the indictment.
In addition to each defendant being charged with one count of conspiracy to commit wire fraud, Wittenmyer is charged with eight counts of wire fraud, 32 counts of money laundering, six counts of securities fraud, and two counts of access device fraud. Milam is also charged with two counts of wire fraud and one count of money laundering. Remmers is also charged with two counts of wire fraud. Aller is also charged with three counts of wire fraud and one count of money laundering, and Boyce is charged with one count of money laundering. As indicated, Henderson is charged with one count of conspiracy to launder money, and four separate counts of money laundering.
If convicted, each defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including any prior criminal record, respective roles 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.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation, both of Toledo. The case is being prosecuted by Assistant United States Attorneys Gene Crawford and James V. Moroney.
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.
Coatesville Man Charged with Child ExploitationRead the Press Release
PHILADELPHIA - David Slater, 52, of Coatesville, PA, was charged by information, filed May 29, 2015, with two counts of use of an interstate commerce facility to entice a minor to engage in sexual conduct, announced United States Attorney Zane David Memeger. According to the information, on June 1, 2013 and November 11, 2013, Slater used the internet to entice and coerce persons whom he believed were under the age of 18 to engage in sexual activity.
If convicted the defendant faces a maximum possible sentence of life imprisonment in prison, a $500,000 fine, 5 years up to a lifetime of supervised release, and a $200 special assessment.
The case was investigated by FBI, the Delaware County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Michelle Rotella.
Clay County, Iowa, Man Sentenced to Federal Prison for Methamphetamine ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine was sentenced May 26, 2015, to 11 years in federal prison.
Todd Daugherty, 52, from Spencer, Iowa, received the prison term after a February 19, 2015, guilty plea to conspiracy to distribute methamphetamine.
At the guilty plea, Daugherty admitted his involvement in a conspiracy from about 2013 and continuing through May 2014 that distributed more than 50 grams of actual (pure) methamphetamine in Spencer, Iowa, and the surrounding area. Daugherty would obtain the methamphetamine from Minnesota and later distribute the methamphetamine to multiple customers in Iowa. A traffic stop was conducted of Daugherty in Minnesota in which four ounces of methamphetamine was seized.
Daugherty was sentenced in Sioux City by United States District Court Judge Mark W. Bennett. Daugherty was sentenced to 132 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system. Daugherty is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and investigated by Clay County Sheriff’s Office, Iowa Great Lakes Drug Task Force, Minnesota Bureau of Criminal Apprehension, Iowa Division of Narcotics Enforcement, Iowa Division of Criminal Investigation, and the Minnesota State Patrol.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 14-4067. Follow us on Twitter @USAO_NDIA.
Cedar Rapids Man Sentenced to More than Three Years’ Imprisonment After Unlawfully Applying for Credit in Someone Else’s NameRead the Press Release
A man who unlawfully used another individual’s identity to apply for credit was sentenced to more than three years in federal prison.
Terry L. Gantt, 28, from Cedar Rapids, received the prison term after pleading guilty to wire fraud and identity theft.
At the plea hearing, Gantt admitted that, between November 2012 and February 2013, he knowingly participated in a scheme to defraud by using another identity, including the social security number, to apply for credit in that person’s name.
Gantt was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. He received a sentence of 38 months’ imprisonment. A special assessment of $200 was imposed, and he was ordered to make $2,963.76 in restitution.
The case was prosecuted by Assistant United States Attorney Jacob Schunk and was investigated by the United States Postal Inspection Service and the Cedar Rapids Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 14-CR-142-LRR.
Follow us on Twitter @USAO_NDIA.
Carlsbad Man Pleads Guilty to Violating Federal Narcotics Trafficking and Firearms LawsRead the Press Release
ALBUQUERQUE – Jacob J. Loredo, 29, of Carlsbad, N.M., pled guilty yesterday in federal court in Las Cruces, N.M., to violating federal firearms and drug trafficking laws.
Loredo was arrested on Feb. 19, 2015, and charged in a criminal complaint with conspiracy to possess methamphetamine with intent to distribute in Eddy County, N.M. According to the criminal complaint, on that day, agents with the Pecos Valley Drug Task Force executed a search warrant on Loredo’s residence and vehicle where they seized ammunition, two firearms, $4,955.00 in cash, approximately an ounce of methamphetamine, scales and other drug paraphernalia. According to court documents, at the time, Loredo was prohibited from possessing firearms or ammunition because he previously had been convicted of possession of cocaine, a felony offense.
During yesterday’s proceedings, Loredo pled guilty to a felony information charging him with possession of methamphetamine with intent to distribute and being a felon in possession of a firearm. Loredo admitted that on Feb. 19, 2015, law enforcement officers recovered methamphetamine and two firearms from his residence in Carlsbad.
At sentencing, Loredo faces a statutory minimum of five years and a maximum of 40 years in federal prison followed by not less than four years of supervised release. Under the terms of his plea agreement, Loredo also is required to forfeit the $4,995.00 seized from this residence as well as the firearms and ammunition. Loredo remains detained pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Las Cruces office of the DEA and the Pecos Valley Drug Task Force, and is being prosecuted by Assistant U.S. Attorney Alexander B. Shapiro of the U.S. Attorney’s Las Cruces Branch Office.
The Pecos Valley Drug Task Force is comprised of officers from the Eddy County Sheriff’s Office, Carlsbad Police Department and Artesia Police Department and is part of the HIDTA Region VI Drug Task Force. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
California Man Pleads Guilty to Obtaining a Controlled Substance by Fraud and Billing Medicaid for a Fraudulent PrescriptionRead the Press Release
BOISE - Michael James Lott, 32, of Roseville, California, pleaded guilty on June 3, 2015, to acquiring and obtaining a controlled substance by misrepresentation, fraud, and deception and false statement relating to health care matters, U.S. Attorney Wendy J. Olson announced. Lott was indicted by a federal grand Jury in Boise on January 13, 2015.
At the hearing, Lott admitted that he began altering his legitimate prescriptions to fill them ahead of schedule and then made his own forged prescriptions. On April 28, 2014, Lott filled a fake prescription for Oxycodone and then submitted that forged prescription for payment by Medicaid.
The charge of acquiring and obtaining a controlled substance by misrepresentation, fraud and deception is punishable by up to four years in prison, a maximum fine of $250,000, and up to one year of supervised release. The charge of false statement relating to health care matters is punishable by up to five years in prison, a maximum fine of $250,000, and up to three years of supervised release.
Sentencing is set for August 18, before U.S. District Court Chief Judge B. Lynn Winmill at the federal courthouse in Boise.
The case was investigated by the Drug Enforcement Administration (DEA) led Tactical Diversion Squad which is comprised of law enforcement personnel from the DEA, Ada County Sheriff’s Office, Boise Police Department, Idaho State Police, Meridian Police Department, Nampa Police Department and U.S. Department of Health and Human Services Office of Inspector General.
California Man Pleads Guilty to Obtaining a Controlled Substance by Fraud and Billing Medicaid for a Fraudulent PrescriptionRead the Press Release
BOISE - Michael James Lott, 32, of Roseville, California, pleaded guilty on June 3, 2015, to acquiring and obtaining a controlled substance by misrepresentation, fraud, and deception and false statement relating to health care matters, U.S. Attorney Wendy J. Olson announced. Lott was indicted by a federal grand Jury in Boise on January 13, 2015.
At the hearing, Lott admitted that he began altering his legitimate prescriptions to fill them ahead of schedule and then made his own forged prescriptions. On April 28, 2014, Lott filled a fake prescription for Oxycodone and then submitted that forged prescription for payment by Medicaid.
The charge of acquiring and obtaining a controlled substance by misrepresentation, fraud and deception is punishable by up to four years in prison, a maximum fine of $250,000, and up to one year of supervised release. The charge of false statement relating to health care matters is punishable by up to five years in prison, a maximum fine of $250,000, and up to three years of supervised release.
Sentencing is set for August 18, before U.S. District Court Chief Judge B. Lynn Winmill at the federal courthouse in Boise.
The case was investigated by the Drug Enforcement Administration (DEA) led Tactical Diversion Squad which is comprised of law enforcement personnel from the DEA, Ada County Sheriff’s Office, Boise Police Department, Idaho State Police, Meridian Police Department, Nampa Police Department and U.S. Department of Health and Human Services Office of Inspector General.
Baltimore Man Sentenced to 20 Years in Prison for Armed Robbery of Prescription Drug VanRead the Press Release
Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Stanley Duryea Johnson, age 60, of Baltimore today to 20 years in prison followed by three years of supervised release for robbery and using a gun during the robbery. Judge Garbis also entered an order that Johnson pay restitution of $93,000.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Anne Arundel County Police Chief Tim Altomare; and Baltimore County State’s Attorney Scott Shellenberger.
According to his plea agreement, on June 18, 2013, a driver of a prescription drug van was waiting for a pharmacy to open at a parking lot on Reisterstown Road in Baltimore. The van contained $93,000 worth of pharmaceutical drugs, which the driver planned to deliver at a number of locations that day. Johnson approached the van, ordered the driver to move to the passenger seat, and began driving the van. Johnson eventually left the driver on the side of the road and drove off in the van.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County and Anne Arundel County Police Departments and Baltimore County State’s Attorney=s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg, who prosecuted the case.
Albuquerque Man Sentenced to 97 Months for Conviction on Witness Tampering and Cocaine Trafficking ChargesRead the Press Release
ALBUQUERQUE – George Roybal, 53, of Albuquerque, N.M., was sentenced late yesterday afternoon in federal court to 97 months in prison followed by three years of supervised release for his conviction on witness tampering and cocaine trafficking charges.
George Roybal was one of 19 defendants charged with drug trafficking and money laundering charges in a 60-count indictment that was filed in Dec. 2012. The indictment was superseded twice; first in Feb. 2014, to add a 20th defendant and a witness tampering charge, and again in Sept. 2014, to add another witness tampering charge and a heroin trafficking charge.
The charges filed in the case were the result of a 16-month multi-agency investigation into a drug trafficking organization headed by Christopher Roybal, 35, of Albuquerque, N.M., which was led by the FBI, IRS and Albuquerque Police Department with assistance from the DEA, the HIDTA Region I Narcotic Task Force and the Bernalillo County Sheriff’s Office. The investigation, code-named “Operation Rain Check,” was designated as part of the Organized Crime Drug Enforcement Task Force (“OCDETF”) program. OCDETF is a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.
The original indictment charged Christopher Roybal and ten others, including George Roybal, with conspiracy to distribute large quantities of cocaine in New Mexico between Aug. 2011 and Dec. 2012. It also charged Christopher Roybal and nine others with conspiracy to distribute marijuana between Oct. 2011 and Dec. 2012. Additionally, the indictment included three separate money laundering conspiracies, 22 money laundering offenses, and 18 “telephone counts,” offenses alleging the use of a communications device to facilitate a drug trafficking offense. The indictment was superseded in Feb. 2014, to add a new charge against George Roybal, alleging that he threatened an FBI informant to prevent the informant from testifying at the trial of this case which was then scheduled to begin on May 19, 2014. It was superseded again in Sept. 2014, to add two new charges against defendant Kenneth Ulibarri, 36, of Albuquerque. The new charges alleged that Ulibarri attempted to murder an FBI informant to prevent that informant from testifying at the trial of this case which was then scheduled to begin on Nov. 10, 2014, and with distributing heroin in Bernalillo County, N.M., in May 2014.
On Jan. 14, 2015, George Roybal pled guilty to witness tampering and conspiracy to distribute cocaine. In entering his guilty plea, George Roybal admitted that from Aug. 2011 through Dec. 2012, he conspired with Christopher Roybal and others to distribute cocaine in the Albuquerque area. George Roybal further admitted that on Nov. 13, 2013, he threatened to harm a person who was working with law enforcement.
This case was investigated by the FBI, IRS Criminal Investigation and the Albuquerque Police Department, with assistance from the DEA, the HIDTA Region I Narcotics Task Force and the Bernalillo County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorneys Joel R. Meyers and Shana B. Long. Assistant U.S. Attorney Stephen R. Kotz is responsible for litigating the related civil asset forfeiture actions.
The HIDTA Region I Narcotics Task Force is comprised of the Albuquerque Police Department, Albuquerque office of the DEA, Pojoaque Tribal Police Department, Rio Rancho Police Department, Sandoval County Sheriff’s Office and the Valencia County Sheriff’s Office. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Aiken Man Who Was Subject of Manhunt Sentenced in Federal Child Exploitation CaseRead the Press Release
AUGUSTA, GA: Russell Donald Benjamin, 46, of North Augusta, SC, was sentenced last week by United States District Court Judge J. Randal Hall to 90 months in prison, followed by 25 years of supervised release, for Interstate Travel With Intent to Engage in Illicit Sexual Conduct in violation of 18 U.S.C. §2423(b). Benjamin will be required to register as a sex offender. He pled guilty to the charge in October 2014.
The evidence at Benjamin’s guilty-plea and sentencing hearings showed that, in April 2014, Benjamin posted a message on Craigslist seeking “a daddy’s girl.” Law enforcement officers working with the FBI’s Cyber Crime/Child Exploitation Task Force (CCCX) responded to the message in an undercover capacity, indicating that a minor girl was available for a sexual encounter. Benjamin continued the communications for approximately three to four hours, and ultimately traveled from South Carolina to a location in Richmond County believing that he would be engaging in sexual activity with a young teen. At the time of his arrest, Benjamin possessed condoms and Viagra in a backpack in his truck.
Judge Hall attributed the lengthy sentence in part to Benjamin’s attempted escape and failure to appear just prior to his scheduled guilty-plea hearing. The day he was first expected to appear in court to plead guilty, Benjamin, who had been placed on strict bond conditions pending trial, removed a GPS ankle-monitor from his leg and fled from his home on foot. His disappearance led to a 24-hour manhunt conducted by the U.S. Marshal Service, the FBI, the U.S. Probation Office, the South Carolina Law Enforcement Division (SLED) and the Aiken County Sheriff’s Office, which ended in Benjamin’s arrest on Wednesday morning, October 22, 2014.
The FBI’s CCCX Task Force is made up of agents and investigators with the FBI, Georgia Bureau of Investigation, Richmond County Sheriff’s Office and Columbia County Sheriff’s Office, all of whom were instrumental in this investigation. The case was brought as part of Project Safe Childhood, which is a nationwide U. S. Department of Justice initiative designed to protect children from exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims.
United States Attorney Edward J. Tarver commended the CCCX Task Force and Assistant United States Attorney Nancy Greenwood, for the investigation and prosecution of this case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547
Acting U. S. Attorney Myers and Attorney General Stenehjim Announced "Bakken Organized Crime Strike Force" in Western North DakotaRead the Press Release
BISMARCK, ND – Acting US Attorney Chris Myers and ND Attorney General Wayne Stenehjem held a joint announcement in Bismarck today, to announce the formation of the “Bakken Organized Crime Strike Force.”
The key component of the Strike Force is the focused and coordinated mission of identifying, targeting and dismantling all types of organized crime in the Bakken including human trafficking, drug and weapons trafficking, and white collar crimes. The Strike Force follows the 2013 creation of Project Safe Bakken, a collaborative la enforcement program in North Dakota and Montana that joins federal, state and tribal law enforcement in the fight against criminal activity in the Bakken.
“The Strike Force will have the capability of not only dismantling local criminal organizations in the Bakken, but also to take out the national and international components of these organizations wherever they may be located,” said Acting ND US Attorney Chris Myers. “The strike force will take a regional approach to a regional problem, coordinating with Montana law enforcement. We value the strong partnerships already developed with Montana US Attorney Mike Cotter and Montana Attorney General Tim Fox in this fight,” he continued.
“In response to the serious increase in the level of organized criminal activity in western North Dakota, local, state and federal agencies have allocated resources for critical new law enforcement. All of this makes it possible to send a message that law enforcement is doubly dedicated to bringing lawbreakers to justice. This effort will assure citizens that we will always protect our residents, and tells criminals that they do not want to do business in North Dakota,” said Stenehjem.
Bruce Ohr, director of the US DOJ Organized Crime Drug Enforcement Task Force (OCDETF) program said he “fully supports the efforts being made in North Dakota and Montana to bring law enforcement agencies and prosecutors together to address the crime problems arising from the oil boom in the Bakken.” OCDETF is a nationwide program that funds agents, prosecutors and task forces to identify and dismantle criminal organizations.
Montana US Attorney Cotter said “the Bakken’s criminal impact transcends borders and so should our law enforcement response. The Strike Force is a welcome addition to our existing multi-jurisdictional law enforcement efforts in the region.”
Federal, state and local authorities have mobilized approximately fifty agents and four prosecutors in a concerted effort to attack organized crime. The strike force is comprised of four task forces, each having allocated federal, state and local agents along with a coordinated state-federal prosecutor. The task forces are set up in Bismarck, Dickinson, Minot and Williston, and will coordinate their investigative efforts.
Stenehjem and Myers will hold a joint news conference in Williston this afternoon. The Federal Bureau of Investigation is currently building a new office in Williston with an expected completion date in 2016. Once completed, this office will contain a federally funded Safe Streets task force to enhance the overall Strike Force capabilities.
Tuesday 2 June 2015
York City Man Indicted Federally for Drug TraffickingRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Larry Eugene DeShields, of York, Pennsylvania was arrested on May 27, 2015 on charges of involving illegal drugs.
According to United States Attorney Peter Smith, DeShields, a/k/a “Dunk”, age 41, trafficked in over 500 grams and more of cocaine and marijuana in York, New York, and elsewhere during February 2015. DeShields was indicted on the charges by a federal grand jury in Harrisburg on May 20, 2015. The indictment was made public after DeShields was taken into custody. The government also filed a notice with the court alleging that DeShields was previously convicted for distribution of crack cocaine in 2005, qualifying him for greater penalties if convicted on the new charges.
DeShields appeared in court in Harrisburg before U.S. Magistrate Judge Martin C. Carlson. DeShields was detained.
The new charges stem from the ongoing investigation by the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives into drugs and gang violence in the Southside of York. The case was brought with the assistance of the U.S. Drug Enforcement Administration, the Pennsylvania State Police, Springettsbury Township Police Department, and the York County Drug Task Force.
Indictments and 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 in this case is life imprisonment, 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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Woman sentenced to federal prison for defrauding Hurricane businessRead the Press Release
Huntington, W. Va. - Sandra Ball, 58, of Hurricane, West Virginia, was sentenced yesterday to three years in federal prison for defrauding her employer of nearly $450,000, United States Attorney Booth Goodwin announced. Chief United States District Judge Robert C. Chambers imposed the sentence.
From 2008 through 2013, while working as an auditor for Mountaineer 4x4, Ball made hundreds of Internet transactions in which she used her employer’s checking account to pay for personal items and expenses. She pleaded guilty to two felony counts of wire fraud in March 2015.
In addition to prison time, Ball was ordered to repay more than $445,000 to Mountaineer 4x4, a Hurricane business that deals in accessories for trucks and SUVs.
The case was prosecuted as part of U.S. Attorney Goodwin’s effort to combat employee theft from West Virginia businesses. The Hurricane Police Department and the Federal Bureau of Investigation conducted the investigation. Assistant United States Attorney Erik S. Goes handled the prosecution.
United States Contracting Official Charged with Obstructing a Federal AuditRead the Press Release
BIRMINGHAM – Federal prosecutors today charged a civilian contract officer working with the U.S. Army Contracting Command at Redstone Arsenal with obstructing an audit by the Department of Defense, Office of Inspector General (DODIG), announced U.S. Attorney Joyce White Vance and Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division.
The U.S. Attorney's Office filed a one-count information in U.S. District Court charging TERESA MAYBERRY, 54, of Huntsville, with obstruction of a federal audit. Mayberry created a series of false documents that she provided to DODIG to obstruct its 2012 audit of an Army contract to purchase parts for Russian-made Mi-17 helicopters, according to the charge. Mayberry has entered a plea agreement with the government, also filed today in District Court, in which she acknowledges the charge against her and states her intention to plead guilty.
The Special Inspector General for Afghanistan Reconstruction (SIGAR), the Defense Department's Defense Criminal Investigative Service (DCIS), U.S. Army Criminal Investigation Command (CID), the FBI and the Internal Revenue Service Criminal Investigation Division (IRS-CI) are working jointly in the investigation of fraud and corruption in Mi-17 helicopter contracting.
"Fraud and corruption in military contracting is theft from all of us who pay taxes," Vance said. "It harms our mission overseas and undermines the confidence of the American public, which demands a military procurement system that spends tax dollars wisely and responsibly," she said. "Particularly in light of the move of Army Materiel Command onto Redstone Arsenal, this investigation should serve as a warning for those who seek to defraud the U.S. military and the American public that my office will pursue these crimes aggressively.”
According to the information filed today, in late 2011 and 2012, DODIG was investigating contracts involving overhauls and purchases of spare parts, amounting to more than $8 million, for Russian-made Mi-17 helicopters. It was material to DODIG to determine whether the Army paid a reasonable price for the parts, whether the parts purchased were needed, and whether proper contracting procedures were followed.
Mayberry was involved in implementing the parts contract, which she had signed on behalf of the United States. In the course of the investigation, DODIG several times requested contracting documents from Mayberry related to the decisions to purchase spare parts. On several occasions, Mayberry prepared, and directed her subordinates to prepare, a variety of false and backdated documents that she provided to DODIG in response to its requests, according to the information. As an example, the information charges that Mayberry caused the creation of a backdated document, bearing her signature, which falsely represented that price negotiations had taken place on parts purchases.
The charge carries a maximum penalty of five years imprisonment and a $250,000 fine.
The SIGAR, DCIS, Army CID, FBI and IRS-CI are investigating the case. DOJ Trial Attorney Mark H. Dubester of the Criminal Division’s Fraud Section (on detail from SIGAR), and Assistant U.S. Attorneys Henry Cornelius and Ramona Albin are prosecuting the case.
Two Wilkes-Barre Men Charged with Drug Trafficking and Firearms OffensesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that two Wilkes-Barre men have been indicted by a federal grand jury in Scranton for drug trafficking and firearms offenses.
According to United States Attorney Peter Smith, the indictment charges Larry Hayes, age 28, with possession with intent to distribute heroin, cocaine and marijuana. The indictment also charges Disean Kendricks, age 26, with possession with intent to distribute heroin, possession of firearms in furtherance of a drug trafficking crime, and being a convicted felon in possession of firearms.
The charges stem from an incident in which investigators served a search warrant at a residence located on Sullivan Street in Wilkes-Barre and seized heroin, cocaine and marijuana from a bedroom in which Hayes was sleeping. From another bedroom in which Kendricks was sleeping investigators seized an additional amount of heroin and two firearms.
The investigation was conducted by the Wilkes-Barre Police Department and the Bureau of Alcohol, Tobacco and Firearms (ATF). Prosecution is assigned to Assistant United States Attorney Robert J. O’Hara.
Indictments and 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 20 years of imprisonment, 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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Two Plead Guilty to Selling Membership in Fake Indian TribeRead the Press Release
BROWNSVILLE, Texas – A Brownsville man and woman have entered guilty pleas to selling membership in a non-recognized Indian tribe, announced U.S. Attorney Kenneth Magidson.
Humberto Reveles, 60, and Maria Isabel Lerma, 32, have admitted to selling membership in the Yamassee tribe as part of a scheme to defraud. Reveles was the chief, and later grand chief, of the tribe. He claimed the tribal identification documents that came with membership would allow tribe members to remain in the United States, prevent them from being deported, allow them to travel within and work in the country, despite not having immigration status. Lerma was initially hired as a secretary and assisted Reveles in carrying on the scheme.
Lerma pleaded guilty today before U.S. District Judge Andrew S. Hanen, while Reveles entered his plea before U.S. Magistrate Judge Ronald G. Morgan on March 17, 2015.
Reveles opened an office where he would meet with prospective tribe members, in addition to holding informational meetings. Prospective tribe members would pay Reveles or his employees and were to receive tribal naturalization certificates, tribal identification cards and tribal drivers’ licenses. The documents were to be presented in support of the false immigration claims underlying the scheme. The certificates and cards displayed the words “U.S. Department of State authentication #04010010-1,” even though that number referred to a state of Georgia document and did not refer to the Yamassee tribe.
The Yamassee tribe not a federally-recognized Indian tribe nor recognized by the U.S. Department of State.
Reveles is set for sentencing June 22, 2015, before U.S. District Judge Andrew S. Hanen, while Lerma is set for Sept. 8, 2015. At that time, they face up to 20 years in federal prison and a possible $250,000 fine. They were permitted to remain on bond pending their respective sentencing hearings.
The case was investigated by Homeland Security Investigations and U.S Department of State - Diplomatic Security Service with assistance from Border Patrol, FBI and the Brownsville Police Department. Assistant U.S. Attorney Joseph Leonard is prosecuting the case.
Two New York Doctors Sentenced to Prison for Taking Bribes in Test-Referrals Scheme with New Jersey Clinical LabRead the Press Release
NEWARK, N.J. – Two doctors with a practice in New York were each sentenced today to 20 months in prison for accepting bribes in exchange for test referrals as part of a long-running and elaborate scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, New Jersey, its president and numerous associates, U.S. Attorney Paul J. Fishman announced.
Richard Goldberg, 65, of Weston, Connecticut, and Gary Leeds, 61, of Greenwich, Connecticut, previously pleaded guilty before U.S. District Judge Stanley R. Chesler to one count of accepting bribes. Judge Chesler imposed both sentences today in Newark federal court.
Including Goldberg and Leeds, 38 people – 26 of them doctors – have pleaded guilty in connection with the bribery scheme, which its organizers have admitted involved millions of dollars in bribes and resulted in more than $100 million in payments to BLS from Medicare and various private insurance companies. The investigation has so far recovered more than $11 million to date through forfeiture.
According to documents filed in this and related cases and statements made in court:
Goldberg and Leeds admitted to accepting thousands of dollars per month in cash between September 2010 and April 2013 in return for referring patient blood specimens to BLS. The pair acknowledged they each accepted more than $100,000 in cash from BLS in exchange for referring at least a combined $1.8 million in lab business from their joint practice, Family Medical Group of Manhattan.
In addition to the prison terms, Judge Chesler sentenced Goldberg to serve three years of supervised release and ordered him to pay a $5,000 fine. Leeds was also sentenced to one year of supervised release and ordered to pay a $15,000 fine. Goldberg and Leeds must each forfeit $108,000.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel; the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; IRS–Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; and inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge Maria L. Kelokates, with the ongoing investigation.
The government is represented by Senior Litigation Counsel Andrew Leven; Assistant U.S. Attorney Joseph N. Minish; Jacob T. Elberg, Chief of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark; and Assistant U.S. Attorney Barbara Ward, Chief of the office’s Asset Forfeiture and Money Laundering Unit.
U.S. Attorney Paul J. Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $635 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
Defense counsel:
Goldberg: Aidan P. O’Connor Esq., Hackensack, New Jersey.
Leeds: E. Scott Morvillo Esq., New York
Two Men Sentenced for Armed Bank RobberyRead the Press Release
STATESVILLE, N.C. – Earlier today, U.S. District Judge Richard Voorhees handed down lengthy prison terms to two men involved in a 2013 armed bank robbery, announced Jill Westmoreland Rose, Acting U.S. Attorney for the Western District of North Carolina. Judge Voorhees sentenced Darius Donnell Freeman, 33, of Charlotte to serve 447 months in prison. Freeman’s conspirator, Wincy Joseph, 29, also of Charlotte, was sentenced to 135 months in prison. Judge Voorhees also ordered the defendants to serve five years under court supervision following their release from prison and to pay $5,185.99 as restitution.
In May 2014, a federal jury convicted both men of armed bank robbery and possession of a firearm in furtherance of a crime of violence charges. The jury also found Freeman guilty of carjacking and a second possession of a firearm in furtherance of a crime of violence.
Acting U.S. Attorney Rose is joined in making today’s announcement by John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, Chief Matthew A. Selves of the Troutman Police Department and Chief Rodney D. Monroe of the Charlotte-Mecklenburg Police Department.
According to filed court documents and trial proceedings:
In or about May 20, 2013, at approximately 5:15 a.m. Freeman carjacked a victim at gunpoint at a Circle K gas station located on South Boulevard in Charlotte. Later that morning, Freeman and Joseph used the carjacked vehicle to rob a Bank of America branch in Troutman, N.C. Soon after the bank opened, Freeman entered the bank wearing a black cap, sunglasses, gloves and brandishing a silver handgun. Freeman jumped on the tellers’ counter and demanded cash. Joseph entered the bank behind Freeman, dressed in a black sweatshirt with the hood pulled over his head, sunglasses and gloves, and demanded cash from another bank employee. The defendants then fled the scene with $5,185.99 in cash, driving off in the car Freeman had jacked earlier that day. Law enforcement later found the car abandoned on Interstate-77 in Iredell County. The defendants were identified five days later, following a tip from a concerned citizen. Freeman was arrested on June 6, 2013 and Joseph on June 13, 2013.
The investigation was led by the FBI, the Troutman Police Department and CMPD. Acting U.S. Attorney Rose also thanked the Mooresville Police Department, the Iredell County Sheriff’s Office and the Statesville Police Department for their assistance in the investigation.
The prosecution was handled by Assistant U.S. Attorney Elizabeth Greene and Special Assistant U.S. Attorney Rebecca McNerney.
Two Men Plead Guilty to Burglary of Gloucester Pawn ShopRead the Press Release
NEWPORT NEWS, Va. – Patrick O. Cox, 20, of Heathsville, Va., and Avery Carter, 20, of Chesterfield, Va., plead guilty yesterday to theft of firearms. In addition, Cox pled guilty to being a felon in possession of a firearm.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Charles E. Smith, ATF Special Agent in Charge, made the announcement after the plea was accepted by U.S. District Judge Robert G. Doumar.
Cox and Carter were indicted by a federal grand jury on April 15, 2015. Cox faces a maximum penalty of ten years in prison on each count if convicted. Carter faces a maximum penalty of ten years in prison if convicted. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
According to a statement of facts filed with their plea agreements, at approximately 1:32 a.m. on January 15, 2015, three individuals broke into the Gloucester Pawn Shop. They wore masks and carried tools to break into the firearm display cases. They stole a total of twenty firearms and later admitted to participating in the burglary. Both Cox and Carter will be sentenced on September 15, 2015, in U.S. District Court in Norfolk. A third individual, Donovan Carlos, is proceeding to trial which is currently set for July 7, 2015, in Newport News.
This case was investigated by ATF and the Gloucester Sheriff’s Department. Assistant U.S. Attorney Robert E. Bradenham, II is prosecuting the case on behalf of the United States.
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. 4:15cr20.
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Two Local Men Plead Guilty to Federal Explosives and Weapons ChargesRead the Press Release
St. Louis, MO – This morning in federal district court, defendants OLAJUWON DAVIS and BRANDON ORLANDO BALDWIN pled guilty to planning and conspiring to blow up public buildings and police vehicles during the Ferguson protests, specifically mentioning the St. Louis County Prosecutor and the Ferguson Chief of Police as possible targets. The defendants also pled guilty to conspiring to illegally purchase firearms and distribute them to convicted felons, who were not legally able to purchase or possess firearms.
According to court documents, in August 2014, Olajuwon Davis, a member of the New Black Panther Party, became a frequent protestor in Ferguson, Missouri. During the protests, Davis met a fellow protestor by the name of Brandon Orlando Baldwin, who was employed at Cabela’s Inc. in Hazelwood, Missouri. Cabela’s is a federally licensed firearms dealer. Davis and Baldwin began to discuss how they could help arm some of the individuals taking part in the Ferguson protests. Baldwin volunteered that he could use his position at Cabela’s, and thereafter, Davis related to several people that he could procure firearms for convicted felons through Baldwin at the Cabela’s store. In fact, three such purchases were made: One on October 22, 2014, and two on November 7, 2014.
By early to mid-November, Davis and Baldwin’s talk of procuring guns had radically expanded into acquiring bombs. The discussions included types of bombs, blast radius and cost. Police stations and officers were discussed as likely targets, with specific references made to McCulloch (the St. Louis County Prosecutor) and Jackson (the Ferguson Police Chief). On November 12, 2014, an undercover informant showed the defendants a recording of a controlled explosion that would be produced by the type of pipe bomb the defendants were talking about purchasing. The defendants requested a delivery date of Friday November 21.
On Thursday evening November 19, the arranged sale of three bombs was scheduled for shortly after midnight in the early morning hours of Friday, November 20. The reason for the delay was so that the defendants would be able to withdraw the needed $150 from an ATM machine. The parties then met at a prearranged location in Hazlewood where the exchange of money and the three would-be bombs took place. Immediately upon the exchange taking place, Davis and Baldwin were arrested.
Olajuwon Davis, St. Louis, Missouri, pled guilty to one felony count each of conspiracy to damage or destroy a building, vehicle and other property by use of an explosive; conspiracy to make false written statements in connection with the purchase of firearms and the transfer of firearms to a felon; and two felony counts of aiding and abetting in the making of false written statements in connection with a firearms purchase. He appeared before United States District Judge Henry Autrey.
Brandon Orlando Baldwin, St. Louis, Missouri, pled guilty to one felony count each of conspiracy to damage or destroy a building, vehicle and other property by use of an explosive; conspiracy to make false written statements in connection with the purchase of firearms and the transfer of firearms to a felon; and two felony counts of making false written statements in connection with a firearms purchase. He appeared before United States District Judge Henry Autrey. Sentencing for both defendants has been set for August 31, 2015.
United States Attorney Richard Callahan praised law enforcement for preventing what potentially could have been a major disaster. "The disruption of this plot, coming as it did on the eve of the expected Grand Jury announcement, undoubtedly saved lives. Luckily for all of us, we’ll never know just how many," he said.
If convicted, these charges carry penalties ranging from 5 to 20 years in prison and/or fines up to $250,000.
This case was investigated by the Federal Bureau of Investigation, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Bureau of Alcohol, Tobacco, Firearms & Explosives, St Louis County Police Department and the St Louis Metropolitan Police Department.
Three People Sentenced Prison for Their Roles in $15 Million Mortgage Fraud SchemeRead the Press Release
CAMDEN, N.J. – A brother and sister and one other person were sentenced today for their respective roles in conspiring to defraud financial institutions as part of a $15 million mortgage fraud scam that used phony documents and “straw buyers” to make illegal profits on overbuilt condos, U.S. Attorney Paul J. Fishman announced.
Nancy Wolf-Fels, 58, of Toms River, New Jersey, was sentenced to 42 months in prison; Dwayne Onque, 47, of Belleville, New Jersey, was sentenced to 63 months in prison; and Mashon Onque, 44, of East Orange, New Jersey, as sentenced to 30 months in prison. All three had been convicted in a four-week trial in October 2014 before U.S. District Judge Jerome B. Simandle, who imposed the sentences today in Camden federal court.
The defendants were each convicted of one count of conspiracy to commit wire fraud. Dwayne Onque was also convicted of one count of conspiracy to commit money laundering.
According to the documents filed in this case and the evidence at trial:
The defendants and their conspirators schemed to defraud financial institutions by locating oceanfront condominiums overbuilt by financially distressed developers and negotiating a buyout price with the sellers. They then caused the sales prices for the properties – located in Wildwood Crest and North Wildwood, New Jersey, other locations in New Jersey and in Naples, Florida – to be much higher than the buyout price to ensure large proceeds. Other defendants helped conceal the true sales prices of certain properties through inflated sales contracts and finder’s fee agreements.
From 2007 through mid-2008, Wolf-Fels served as a loan officer at the Forked River Branch of the mortgage company, Mortgage Now. She and her conspirators originated six loan applications for unqualified buyers that contained false and fraudulent information. Working with her conspirators – including one who manufactured fake bank statements, retirement account statements and pay stubs to support the false loan applications – Wolf-Fels assembled the loan applications and sent them to victim financial institutions, which lent the unqualified buyers mortgage funds.
From late 2006 through mid-2007, Dwayne Onque served as a “straw buyer” of five properties in Middletown, New Jersey, and Wildwood, New Jersey. For each of the five properties, he signed false and fraudulent loan applications and closing documents that resulted in the release of more than $2 million of mortgage funds.
During 2006 and 2008, Mashon Onque served as a title agent at Tri-State Title Agency in Montclair, New Jersey. She acted as the closing agent for fraudulent mortgage loans orchestrated by her conspirators, including her brother, Dwayne Onque. The conspirators put together buyers and sellers in real estate transactions, and then filed false and fraudulent loan applications containing inflated income figures for the borrowers. After the mortgage lenders approved the loans, Mashon Onque prepared and signed fraudulent settlement statements that falsely claimed that the borrowers had made down payments to close the loans.
In addition to the prison terms, Judge Simandle sentenced each of the three defendants to three years of supervised release. Restitution will be determined at a hearing on July 9, 2015.
U.S. Attorney Fishman credited special agents of the FBI’s Newark Division, Atlantic City Resident Agency, under the direction of Special Agent in Charge Richard M. Frankel, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, with the investigation leading to today’s convictions.
The government is represented by Assistant U.S. Attorneys Matthew T. Smith and Jacqueline M. Carle of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel:
Wolf-Fels: Paul Urbania Esq., Shrewsbury, N.J.
Dwayne Onque: Peter Levin Esq., Philadelphia
Mashon Onque: Anne Singer Esq., Haddonfield, N.J.
Third Man Pleads Guilty in Counterfeit Currency SchemeRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that Timothy Larry Malden (44, Jacksonville) today pleaded guilty to aiding and abetting the passing of counterfeit Federal Reserve notes. He faces a maximum penalty of 20 years in federal prison. Christopher Jon Kirkland (41) and William Brinkley, Jr. (35), also of Jacksonville, pleaded guilty to the same offenses on June 5, 2014. They each face a maximum penalty of 20 years’ imprisonment. Sentencing dates have not yet been set.
According to the plea agreement, in approximately August 2013, Kirkland began manufacturing counterfeit $20 and $100 Federal Reserve notes. Once he manufactured the notes, Brinkley and Malden drove Kirkland around to various businesses in Florida or Georgia to pass the counterfeit currency. They passed the notes to obtain merchandise and reloadable gift cards. They also returned fraudulently obtained merchandise in order to obtain genuine currency. From approximately August 2013, to December 2013, the three passed or attempted to pass approximately $32,600 in counterfeit currency throughout Florida and Georgia.
This case was investigated by United States Secret Service Jacksonville Field Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein.
Sturgeon Bay Man Sentenced for Receipt of Child PornographyRead the Press Release
First Assistant United States Attorney Gregory J. Haanstad announced that Steven P. Link (47) was sentenced on June 1, 2015, by Chief Judge William C. Griesbach to 90 months imprisonment for the receipt of child pornography in violation of Title 18, United State Code, Section 2252A. Upon his release, Link will be on federal supervised release for 15 years and will have to report as a sex offender.
According to court documents, Sturgeon Bay Police Department officers executed a search warrant at a bookstore named “Untitled and Rare Used Books” that is owned and operated by Mr. Link. They also searched Link’s residence. Law enforcement officers seized numerous computers and media storage devices, searched them, and identified thousands of images and movie files containing child pornography. In particular, law enforcement forensic examiners determined that Link’s external hard drive contained approximately 841 GB of pornography consisting of 37,100 movie/image files (approximately 31,014 image files and the remainder movie files). According to law enforcement officers, at least 800 GB of this total consisted of images of teenage girls engaged in sexually explicit conduct; at least half of that 800 GB total involves minors believed to be between 5 and 16 years of age engaged in various forms of sexually explicit conduct.
In pronouncing sentence, Judge Griesbach noted Link’s extensive collection of child pornography including graphic movie files depicting minors engaged in horrific sexual acts. He also found the case aggravated because Link made secret video recordings of young adult females using the public bathroom at the bookstore while in various stages of undress.
The case was investigated by the Sturgeon Bay Police Department and was prosecuted by Assistant U.S. Attorney William Roach.
First Assistant United States Attorney Gregory J. Haanstad said: “Child pornography offenses exploit and victimize the most vulnerable members of our society. Investigations and prosecutions like this reflect the absolute commitment that the Department of Justice has made to protecting children from abuse and exploitation. The Department often is assisted in these efforts by our local law enforcement partners, and the tireless work of Sturgeon Bay Police Department Sergeant Carl Waterstreet and Officer Chad Mielke, the computer forensic examiner, was integral to the successful investigation and prosecution of this complicated case.”
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St. Croix Man Sentenced for Carjacking-related OffenseRead the Press Release
St. Croix, USVI – Chief District Court Judge Wilma A. Lewis on June 1, 2015 sentenced Abdallah Abdallah, 24, to 84 months in prison for using and carrying a firearm during and in relation to a crime of violence, announced United States Attorney Ronald W. Sharpe, Federal Bureau of Investigation (FBI) Special Agent-in-Charge Luis Fraticelli, and Virgin Islands Police Commissioner Delroy Richards.
Chief Judge Lewis also sentenced Abdallah to three years of supervised release and ordered him to pay a special assessment of $100.
On February 2, 2015, Abdallah pleaded guilty to using and carrying a firearm during and in relation to a crime of violence. According to court records, on or about December 24, 2013 in the Estate Strawberry area of St. Croix, Abdallah intentionally drove a brown Chevy Malibu in front of a red Focus driven by the victim and blocked the victim’s car. The passenger in the front seat of the car driven by Abdallah got out the car, walked towards the red Focus, pointed a gun at the victim’s head and told him to get out of the car. After the victim got out of his car, the individual with the gun got into the victim’s car. Abdallah then drove off, and the individual with the gun followed him in the victim’s car. Abdallah was arrested on December 25, 2013, and he had the victim’s car keys in his possession. The victim’s car was later found behind Abdallah’s residence in Estate LaReine. Abdallah was charged under the aiding and abetting theory. His accomplice, a minor, was charged in the Superior Court.
This case was investigated by the VIPD and FBI. It was prosecuted by Assistant United States Attorney Rhonda Williams-Henry.
South Jersey Woman Admits Role in Conspiracy to Traffic Guns from North Carolina to New JerseyRead the Press Release
CAMDEN, N.J. – A Camden woman today admitted buying five firearms in North Carolina so her cousin could sell them in New Jersey, U.S. Attorney Paul J. Fishman announced.
Johanna Betty Young, 25, pleaded guilty before U.S. District Judge Renée Marie Bumb in Camden federal court to an information charging her with one count of conspiring to deal firearms without a license.
According to documents filed in this case and statements made in court:
In January 2012, Young’s cousin, Wendelle Ford, 41, also of Camden, gave Young money to apply for firearms purchase permits in North Carolina, where Young lived at the time. Young admitted she knew that neither she nor Ford were federally licensed firearms dealers. She also knew that Ford had a prior felony conviction and therefore could not legally purchase or possess firearms.
Once Young obtained the purchase permits, Ford traveled to North Carolina and he and Young visited gun shops. After Ford told her which firearms to buy, Young lied on the purchase paperwork, stating that she was the actual buyer. Young bought five handguns and gave them to Ford knowing that he was going to bring them to New Jersey and sell them. Later, Ford gave Young $200 for each firearm.
The conspiracy charge to which Young pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for Sept. 7, 2015.
The case against Ford is still pending. The charges and allegations against him are merely accusations and he is considered innocent unless and until proven guilty.
U.S. Attorney Fishman credited special agents of the ATF, under the direction of Special Agent in Charge George P. Belsky in Newark, New Jersey, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Howard Wiener of the U.S. Attorney’s Office in Camden.
Defense counsel: Jose Luis Ongay Esq., Camden
Sex Offender Sentenced to Life in Prison for Guilty Plea to Federal Firearms OffenseRead the Press Release
LAS VEGAS, Nev. – A convicted sex offender who was arrested at his home in Las Vegas with a minor boy and also found in possession of a firearm, was sentenced today to life in prison for his guilty plea to a federal firearms offense, announced U.S. Attorney Daniel G. Bogden for the District of Nevada.
William Oliver Smith, 43, most recently a resident of Las Vegas, was sentenced by U.S. District Judge Jennifer A. Dorsey. Smith pleaded guilty in February 2015 to one count of felon in possession of a firearm and stipulated in the plea agreement to the life sentence. There is no parole in the federal system.
“We will continue to use federal gun laws to prosecute repeat offenders and remove them from our community, permanently if necessary” said U.S. Attorney Bogden. “We can all be thankful for the work of our investigators and prosecutors in ensuring community safety and that this defendant will never again harm any more children.”
According to the plea agreement, on May 25, 2013, officers from the Las Vegas Metropolitan Police Department identified Smith as a suspect in the disappearance of a juvenile in Las Vegas. When officers contacted Smith at his residence, he was with a 10-year-old boy, who was not the missing juvenile. Smith was arrested for lewdness with a minor. During a search of the residence, officers recovered a .38 caliber handgun in a drawer next to Smith’s bed.
Smith was previously convicted of sexual assault of a minor and taking indecent liberties with a child in North Carolina, child molestation in San Paulo, Brazil, and attempted sexual assault, in Reno, Nev.
This case was investigated by the Las Vegas Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, as part of the Safe Streets Task Force and Project Safe Neighborhoods program. The case was prosecuted by Assistant U.S. Attorney Phillip N. Smith, Jr.
Serra Nissan Controller Arrested on 16-Count IndictmentRead the Press Release
BIRMINGHAM – Federal agents this morning arrested KIMBERLY H. BRANCH, controller for Serra Nissan, based on a 16-count indictment returned by a federal grand jury last week, announced U.S. Attorney Joyce White Vance, Federal Bureau of Investigation Special Agent in Charge Roger C. Stanton and Internal Revenue Service-Criminal Investigation Special Agent in Charge Veronica Hyman-Pillot.
The indictment against Branch, 34, of Trussville, was unsealed this morning following Branch's arrest at the car dealership. The indictment includes charges of a conspiracy and wire fraud related to a scheme to defraud Nissan North America Inc. between March 2013 and April 2013. According to the charges, Branch and others at Serra Nissan falsely reported cars as having been sold at Serra Nissan in Birmingham in order to obtain additional incentive payments that the dealership did not earn. This process, called “pooling sales,” occurs when a dealer owns or is associated with more than one dealership and combines or attributes sales from one dealership to another in order to meet sales incentives levels that each dealership would not reach on its own.
According to the indictment, Branch is the controller at Serra Nissan and was responsible for instructing another Serra Nissan employee to create false documents to hide the fraud, in the event Nissan North America audited the dealership. The 15 vehicle sales fraudulently reported at Serra Nissan caused Nissan North America to pay the dealership $82,750 in incentives, according to the indictment.
FBI and IRS-CID investigated the case, which Assistant U.S. Attorneys Amanda S. Wick and Jennifer S. Murnahan are prosecuting.
The public is reminded that an indictment contains only charges. A defendant is presumed innocent unless and until proven guilty in court.
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Schuylkill Federal Correctional Institution Inmate Charged with Possession of A WeaponRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that a felony Criminal Indictment was returned by a federal grand jury sitting in Scranton charging federal prison inmate Dwayne Parker, age 30, today.
According to United States Attorney Peter Smith, Parker was charged with allegedly possessing a homemade weapon in April of 2014, while an inmate at the federal prison.
If convicted, Parker could be imprisoned for a maximum sentence of up to 5 years and a fine in the amount of $250,000.
The investigation was conducted by the FBI. The case is assigned to Assistant United States Attorney Todd K. Hinkley.
Indictments and 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 5 years of imprisonment, 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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Schuylkill Federal Correctional Institution Inmate Charged with Possession of A WeaponRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that a felony Criminal Indictment was returned by a federal grand jury sitting in Scranton charging federal prison inmate Dwayne Parker, age 30, today.
According to United States Attorney Peter Smith, Parker was charged with allegedly possessing a homemade weapon in April of 2014, while an inmate at the federal prison.
If convicted, Parker could be imprisoned for a maximum sentence of up to 5 years and a fine in the amount of $250,000.
The investigation was conducted by the FBI. The case is assigned to Assistant United States Attorney Todd K. Hinkley.
Indictments and 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 5 years of imprisonment, 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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Schuylkill Federal Correctional Institution Inmate Charged in the Assault of Corrections OfficerRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced today that a Criminal Indictment was returned by a federal grand jury sitting in Scranton charging federal prison inmate Deshon Thomas, age 40, with allegedly assaulting a federal corrections officer at the Schuylkill Federal Correctional Institution in November 2014, causing bodily injury.
The investigation was conducted by the Federal Bureau of Investigation (FBI). The case is assigned to Assistant United States Attorney Todd K. Hinkley.
Indictments and 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 8 years of imprisonment, a term of supervised release following imprisonment, and a $250,000 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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Saylorsburg Man Sentenced to Prison for Role in Drug Trafficking ConspiracyRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 29-year-old Saylorsburg man was sentenced to 10 months in prison today by U.S. District Court Judge Robert D. Mariani in Scranton, Pennsylvania for conspiring with others to distribute illegal drugs in the Monroe-Berks County area in 2011-2013.
According to United States Attorney Peter Smith, the defendant, Stephen Krpata, previously pleaded guilty to participating in the drug conspiracy that was responsible for distributing cocaine, crack cocaine, heroin, and oxycodone.
Krpata was indicted by a federal grand jury in June 2013, as a result of an investigation by the Drug Enforcement Administration, Homeland Security Investigations, the Pennsylvania State Police, the Pennsylvania Attorney General’s Office, and Berks County Detectives.
Judge Mariani also ordered Krpata to serve three years on supervised release following his prison sentence, and to pay a special assessment of $100.
Assistant U.S. Attorney Francis P. Sempa prosecuted the case.
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Santa Fe Man Pleads Guilty to Federal Oxycodone and Marijuana Trafficking ChargesRead the Press Release
ALBUQUERQUE – Ashraf Nassar, 31, of Santa Fe, N.M., pled guilty today in federal court in Albuquerque, N.M., to participation in conspiracies to distribute Oxycodone and marijuana.
Nassar and co-defendants Phillip Anaya, 38, Daniel Trujillo, 32, Krystal Holmes, 29, and Sarah Romero, 36, are five Santa Fe residents charged in Sept. 2013, with participating in an Oxycodone trafficking ring in a 16-count indictment. The indictment subsequently was superseded in Oct. 2013, to include two additional defendants, Clarence Lee Cline, II, 66, and Mary Ann DeStefano, 53, both also of Santa Fe, and adding five new charges including conspiracy to distribute marijuana, manufacturing marijuana and maintaining a place for the purpose of manufacturing marijuana.
Nassar, Anaya, Trujillo, Holmes and Romero were arrested in Sept. 2013 as part of a multi-agency law enforcement operation that included the execution of search warrants at three residences and a business in Santa Fe. The investigation, “Operation High Desert Bash,” was initiated in Jan. 2013 by the DEA’s Tactical Diversion Squad in Albuquerque, N.M., the Santa Fe Police Department and HIDTA Region III Narcotics Task Force in response to the epidemic increase in prescription drug abuse, addiction and overdose deaths in New Mexico, particularly among teens and young adults.
Operation Desert Bash investigation was designated as part of the Organized Crime Drug Enforcement Task Force (“OCDETF”) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. The investigation primarily targeted a drug trafficking organization unlawfully distributing quantities of Oxycodone in Santa Fe County. Oxycodone is an opioid narcotic pain reliever similar to morphine that is medically prescribed to treat moderate to severe pain and can be habit-forming. Officers seized approximately 7300 mg of Oxycodone during the investigation.
Count 1 of the 21-count superseding indictment charged the Nassar, Anaya, Trujillo, Holmes and Romero with conspiracy to distribute Oxycodone in Santa Fe County between Dec. 2012 and Sept. 2013. Counts 2 through 4 charged Nassar, Anaya and Holmes with substantive Oxycodone distribution offenses, Nassar, Anaya, Trujillo, Holmes and Romero were charged with using telephones to facilitate drug trafficking crimes in Counts 5 through 17. Count 18 charged Nassar, Cline and DeStefano with conspiracy to distribute marijuana. Counts 19 through 21 charged Cline and DeStefano with conspiracy to distribute marijuana, conspiracy to maintain a place for the purpose of manufacturing marijuana and maintaining a place for the purpose of manufacturing marijuana.
During today’s proceedings, Nassar pled guilty to two counts of the superseding indictment; conspiracy to traffic Oxycodone and marijuana. In entering the guilty plea, Nassar admitted that from Dec. 8, 2012 through Sept. 26, 2013, in Santa Fe he received Oxycodone from multiple sources of supply and would in turn provide that Oxycodone to re-distributers and users. Nassar also admitted that from Jan. 2, 2013 through Sept. 23, 2013, he was supplied “high grade” marijuana which he would then redistribute to other lower-level redistributors.
All but one of Nassar’s co-defendants have entered guilty pleas. Anaya pled guilty on Nov. 19, 2014, and was sentenced on April 9, 2015, to 46 months in prison followed by three years of supervised release. Trujillo pled guilty on Jan. 30, 2015, and was sentenced on April 2, 2015, to 18 months in prison followed by three years of supervised release. Romero pled guilty on Oct. 28, 2014, and was sentenced on March 26, 2015, to 18 months in prison followed by three years of supervised release. Holmes pled guilty on May 26, 2015, and DeStefano pled guilty on March 27, 2015, sentencing hearings have yet to be scheduled.
Cline has entered a plea of not guilty and is awaiting trial. Charges in indictments are only accusations. All criminal defendants are presumed innocent unless proven guilty beyond a reasonable doubt.
This case was investigated by the Tactical Diversion Squad of the DEA’s Albuquerque office, the Santa Fe Police Department and the HIDTA Region III Drug Enforcement Task Force, and is being prosecuted by Assistant U.S. Attorneys Shammara H. Henderson and Joel R. Meyers.
DEA’s Tactical Diversion Squads combine DEA resources with those of federal, state and local law enforcement agencies in an innovative effort to investigate, disrupt and dismantle those suspected of violating the Controlled Substances Act or other appropriate federal, state or local statutes pertaining to the diversion of licit pharmaceutical controlled substances or listed chemicals.
The HIDTA Region III Drug Enforcement Task Force is comprised of officers from the New Mexico State Police, Santa Fe Police Department and Santa Fe County Sheriff’s Office. It is part of the High Intensity Drug Trafficking Areas (HIDTA) program which was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
This case is being prosecuted pursuant to the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative. The HOPE Initiative is a collaborative effort between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting members of major heroin and opioid trafficking organizations for investigation and prosecution is a priority of the HOPE Initiative.
Rio Rancho Man Sentenced to Prison for Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Leondro Urioste, 31, of Rio Rancho, N.M., was sentenced today in federal court in Albuquerque, N.M., to five years in prison followed by five years of supervised release for his possession of a firearm in furtherance of a drug trafficking crime conviction.
Urioste was arrested on Dec. 8, 2014, and charged in a criminal complaint with being a felon in possession of a firearm on Oct. 16, 2014, in Bernalillo County, N.M. According to the complaint, deputies of the Bernalillo County Sheriff’s Office recovered approximately 14 grams of methamphetamine, drug paraphernalia, and multiple firearms and rounds of ammunition from Urioste’s vehicle following a routine traffic stop. According to court documents, Urioste was prohibited from possessing firearms or ammunition because he previously had been convicted of attempted forgery.
Urioste was subsequently indicted on Dec. 16, 2014, and charged with being a felon in possession of firearms and ammunition, possession of methamphetamine with intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime. The indictment alleges that the crimes took place on Oct. 16, 2014, in Bernalillo County.
On March 2, 2015, Urioste pled guilty to possessing a firearm in furtherance of a drug trafficking crime. In entering the guilty plea, Urioste admitted that on Oct. 16, 2014, he was stopped by deputies of the Bernalillo County Sheriff’s Office and was found to be in possession of methamphetamine and a handgun. Urioste further admitted that the handgun was hidden in his dashboard, and that he possessed the firearm as a tool and in relation to his illegal drug trafficking.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Bernalillo County Sheriff’s Office. Assistant U.S. Attorney Rumaldo R. Armijo prosecuted the case.
Ringleader of $2.6 Million Tax Refund Check Scam Sentenced to 27 Months in PrisonRead the Press Release
NEWARK, N.J. - The ringleader of a conspiracy that stole $2.6 million in income tax refund checks issued by the United States was sentenced today to 27 months in prison, U.S. Attorney Paul J. Fishman announced.
Raymundo Hernandez, 36, of Bronx, New York, previously pleaded guilty before U.S. District Judge Madeline C. Arleo to an information charging him with conspiracy to steal government funds. Judge Arleo imposed the sentence today in Newark federal court.
According to the documents filed in this case and statements made in court:
Stolen Identity Refund Fraud (SIRF) is a common type of fraud committed against the United States government that results in more than $2 billion in losses annually. SIRF schemes generally share a number of hallmarks. Perpetrators obtain personal identifying information, including Social Security numbers and dates of birth, from unwitting individuals, who often reside in the Commonwealth of Puerto Rico. They complete IRS-1040 tax return forms using the fraudulently obtained information and falsifying wages earned, taxes withheld and other data, always ensuring that fraudulent tax return generates a refund. The perpetrators then direct the U.S. Treasury Department to mail the refund checks to locations they control or can access. In some cases, they bribe mail carriers to remove the refund checks from their mail routes. With the fraudulently obtained refund checks in hand, the perpetrators generate cash proceeds by depositing the checks into bank accounts they control.
Hernandez admitted he knew the checks had been generated by conspirators filing false and fraudulent income tax returns with the IRS in order to obtain refunds to which he was not entitled. He admitted that from November 2010 through October 2012 he recruited and maintained a network of conspirators in the Newark and Bronx areas and distributed fraudulent treasury checks to that network in exchange for payment. Hernandez obtained at least 44 such checks from Luis Pena, 32, of Bronx, who pleaded guilty to his role in the conspiracy in March 2014. Pena had arranged for the fraudulent checks to be sent to a postal route and intercepted by the mail carriers on that route: Gloria Rivera 40, of Bronx, and Lourdes Ortiz, 42, of Bronx, Rivera and Ortiz also entered guilty pleas in March 2014 to their respective roles in the conspiracy.
Hernandez admitted that once he distributed the fraudulent checks, he and his conspirators deposited them into bank accounts, primarily in the names of businesses they controlled and then withdrew large amounts of the proceeds in cash. They used some of the money to purchase cars and gamble at Atlantic City casinos.
The fraudulently cashed checks totaled approximately $2,659,718. Of these deposits, $171,589 was deposited into three bank accounts under Hernandez’ direct control.
In addition to the prison term, Judge Arleo sentenced Hernandez to serve three years of supervised release. Hernandez must pay restitution of $2,659,717.82.
Pena was sentenced to 30 months in prison on Oct. 16, 2014. Rivera was sentenced to six months in prison on Jan. 7, 2015. Ortiz was sentenced to three years of probabtion on Jan. 7, 2015.
U.S. Attorney Fishman credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; postal inspectors of the U. S. Postal Inspection Service, under the direction of Inspector in Charge Maria L. Kelokates; special agents of the U.S. Secret Service, under the direction of Special Agent in Charge Carl Agnelli; and special agents of the U.S. Postal Service - Office of Inspector General, under the direction of Special Agent in Charge Rafael A. Medina, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Sara F. Merin of the U.S. Attorney’s Office General Crimes Unit in Newark.
Defense counsel: Roy Greenman Esq., Union, New Jersey
Pittsburgh Man Charged in Series of Armed RobberiesRead the Press Release
PITTSBURGH – A Pittsburgh resident has been indicted by a federal grand jury in Pittsburgh on charges of violating federal laws concerning robbery, use of a firearm, and firearm possession, United States Attorney David J. Hickton announced today.
The 11-count indictment named George Wilson, III.
According to indictment, Wilson committed a series of armed robberies of businesses throughout the Pittsburgh area from November 2014 through December 2014. During that time Wilson committed armed robberies of three stores called “The Exchange” and during one robbery Wilson discharged a firearm. Wilson also committed armed robberies of two Sunoco stations and one Exxon station. Due to a prior conviction for a felony offense, Wilson is prohibited from possessing firearms.
The law provides for a total sentence of not less than 25 years and up to life 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 offenses and the prior criminal history of the defendant.
Assistant United States Attorney Jonathan B. Ortiz is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Pittsburgh Police Department, the Monroeville Police Department, the Ross Township Police Department, the Penn Hills Police Department and the Wilkins Township Police Department conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Penn Hills Man Sentenced to 10 Years in Prison for Drug and Firearms OffensesRead the Press Release
PITTSBURGH - A Pittsburgh-area resident pleaded guilty to charges of violating federal narcotics and firearms laws, and was subsequently sentenced to 10 years’ imprisonment followed by three years of supervised release, United States Attorney David J. Hickton announced today.
Montay King, a/k/a Tay Loc, 39, pleaded guilty to four counts before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that on or about Dec. 20, 2012, King possessed with the intent to distribute 1,500 stamp bags of heroin weighing 37 grams, 171 grams of cocaine, and five grams of crack cocaine, while simultaneously possessing two assault rifles and a handgun in furtherance of his drug trafficking crimes. The drugs and firearms were found inside King’s 1998 Ford Expedition parked outside of his residence following searches by the Allegheny County Probation Office and the Allegheny County Sheriff’s Office.
Assistant United States Attorney Charles A. Eberle prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Allegheny County Adult Probation Office, and the Allegheny County Sheriff's Office Fugitive Task Force for the investigation leading to the successful prosecution of King. This case was prosecuted under Project Safe Neighborhoods, a collaborative effort by federal, state and local law enforcement agencies, prosecutors and communities to prevent, deter and prosecute gun crime.
Pair Charged in Gun Point Robbery of Grocery StoreRead the Press Release
Davoris Carter and Rodney Williams were charged today by indictment with robbery which interferes with interstate commerce, and using and carrying a firearm during a crime of violence, announced U.S. Attorney Zane David Memeger. The indictment charges that Carter and Williams committed a gun-point robbery of the Garcia Grocery, located at 1327 Dyre Street, in Philadelphia, Pennsylvania, on January 27, 2015. Carter and Williams are also charged with using and carrying firearms during the robbery charged in the indictment.
If convicted of all counts, Carter and Williams each faces a maximum sentence of life imprisonment, with a mandatory seven year minimum sentence, a $500,000 fine, five years supervised release, and a $200 special assessment.
This case has been investigated by the Federal Bureau of Investigation and the Philadelphia Police Department. The case has been assigned to Assistant United States Attorney Thomas M. Zaleski.
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Omaha Plumbing Business Is Sentenced for Davis-Bacon Act ViolationsRead the Press Release
V & V Construction, Inc., d/b/a Vincentini Plumbing, was sentenced in federal court in Omaha, Nebraska, for false statements relating to violations of the Davis-Bacon Act. The Honorable Laurie Smith Camp sentenced the company to a three-year term of probation. The Court imposed a $25,000 fine and ordered restitution in the sum of $138,643.54. V & V Construction was further ordered to cooperate with the United States Department of Labor in a three-year debarment precluding its participation in federal contracts during the three-year ban.
V & V Construction Inc. does business as Vincentini Plumbing. It is a residential and commercial plumbing company located in Omaha, Nebraska. V & V Construction was a sub-contractor for two building projects for the Council Bluffs Public Schools in Council Bluffs, Iowa. The two schools were federally funded projects requiring compliance with the Davis-Bacon Act. V & V Construction was awarded the plumbing and pipe-laying subcontract for both projects.
The Davis-Bacon Act requires that any participant on a qualifying federal contract pay a prevailing wage. Between June 2010 and continuing until July 2011 V & V Construction falsified certified payroll records to the United States Department of Labor stating that they had paid the required prevailing wage. In fact they had paid employees less than the prevailing wage resulting in a $138,643.54 difference between what they certified as wages paid and actual wages paid.
This case was investigated by the United States Department of Labor.
Ohio woman sentenced for defrauding Huntington medical providerRead the Press Release
Huntington, W. Va. - Teresa Lewis, 60, of South Point, Ohio, was sentenced yesterday to a year and a day in federal prison for defrauding the Huntington Retina Center, where she worked, United States Attorney Booth Goodwin announced. Chief United States District Judge Robert C. Chambers imposed the sentence.
From 2012 to 2014, Lewis, working as a billing assistant at the Huntington Retina Center, used her position to gain access to credit cards in the name of the Center and one of its doctors. Lewis used the cards to make more than $52,000 in unauthorized personal purchases. She pleaded guilty in March 2015 to two felony counts of access device fraud.
The Huntington Retina Center provides medical care for vision disorders, eye injuries, and eye diseases. As part of her sentence, Lewis must repay $52,317 to the Center.
The case was prosecuted as part of U.S. Attorney Goodwin’s effort to combat employee theft from West Virginia small businesses. The United States Postal Inspection Service, the Federal Bureau of Investigation, and the Huntington Police Department conducted the investigation. Assistant United States Attorney Erik S. Goes handled the prosecution.
New Jersey Man Sentenced to 30 Months for Role in Illegal Immigration SchemeRead the Press Release
A New Jersey man was sentenced to 30 months in prison for orchestrating an eight-year scheme to falsify employment certifications to facilitate the illegal entry of Indian nationals into the United States and for filing a false tax return.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Paul J. Fishman of the District of New Jersey, Chief Richard Weber of the Internal Revenue Service–Criminal Investigation (IRS-CI) and Director Bill A. Miller of the State Department’s Diplomatic Security Service (DSS) made the announcement.
Sandipkumar Patel, 42, of Edison, New Jersey, was sentenced by U.S. District Court Judge William H. Walls of the District of New Jersey. The court also ordered Patel to pay a fine of $50,000, and restitution in the amount of $423,452 to the IRS.
On Sept. 4, 2014, Patel pleaded guilty to a two-count information charging him with conspiring to defraud the United States and subscribing to a false federal income tax return.
According to court documents filed in connection with his plea, from 2001 until 2009, Patel sponsored the visa applications of Indian nationals by falsely claiming that he would provide employment for them in the United States. Patel falsely certified on the visa applications that he would employ the migrants in various technical fields at several New Jersey companies, thereby facilitating their illegal entry into the United States. Over the course of the scheme, migrants paid Patel tens of thousands of dollars for the false certifications. To disguise the scheme, Patel issued payroll checks and other payroll forms. Patel required the migrants to return the proceeds of the payroll checks to him and to further reimburse him for the payroll tax expenses he incurred. Patel used the fraudulent pay stubs and payroll checks to support false applications to extend the visas, and charged the migrants fees for the visa extensions.
As a result of falsely carrying the migrant employees on his payrolls, Patel overstated his payroll expenses on his federal income tax returns by more than $1.4 million over four years, and thereby underreported his tax obligation by over $400,000 for those years.
This case was investigated by the IRS-CI and DSS. The case is being prosecuted by Senior Trial Attorney Hope S. Olds of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Michael Robertson of the District of New Jersey, with assistance from the Criminal Division’s Asset Forfeiture and Money Laundering Section.
New Britain Bakery Operator Pleads Guilty to Tax FraudRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, and William P. Offord, Special Agent in Charge of IRS Criminal Investigation in New England, announced that MARIAN KOBRYN, 63, of Farmington, waived his right to indictment and pleaded guilty today in New Haven federal court to one count of making a false statement on a federal tax return.
According to court documents and statements made in court, KOBRYN and his wife own and operate Kasia’s Bakery, located on Broad Street in New Britain. Until recently, Kasia’s Bakery routinely operated on a “cash only” basis. During the 2010 through 2013 tax years, KOBRYN diverted a total of $730,860 in cash that the business received, deposited the money into his and his wife’s personal bank accounts, and failed to pay $242,889 in federal taxes on the income.
The investigation revealed that KOBRYN attempted to conceal the diverted cash proceeds by regularly traveling to several branches of Farmington Bank to make cash deposits in amounts under $10,000 in order to evade the bank’s currency transaction reporting requirements.
KOBRYN is scheduled to be sentenced by Senior U.S. District Judge Warren W. Eginton in Bridgeport on August 25, 2015, at which he faces a maximum term of imprisonment of three years and a fine of up to $100,000. KOBRYN also has agreed to pay back taxes and applicable interest and penalties.
This matter has been investigated by the Internal Revenue Service – Criminal Investigation Division, and is being prosecuted by Assistant U.S. Attorney David J. Sheldon.
Navajo Man Sentenced to Prison for Federal Involuntary Manslaughter ConvictionRead the Press Release
ALBUQUERQUE – Berland Thomas, 44, an enrolled member of the Navajo Nation who resides in Mexican Springs, N.M., was sentenced this morning in federal court in Albuquerque, N.M., to 24 months in prison followed by three years of supervised release for his involuntary manslaughter conviction.
Thomas was arrested on June 9, 2014, on a criminal complaint charging him with murder. According to the complaint, Thomas allegedly killed a Navajo man by beating him with his fists during an alcohol-fueled fight. The fight occurred on June 6, 2014, on the Navajo Indian Reservation in McKinley County, N.M. Thomas was subsequently indicted on June 24, 2014, and charged with second degree murder.
On Feb. 20, 2015, Thomas pled guilty to an involuntary manslaughter charge and admitted assaulting the victim by striking, beating and wounding him. Thomas acknowledged that the victim died as a result of injuries suffered during the assault.
This case was investigated by the Gallup office of the FBI and the Crownpoint office of the Navajo Nation Division of Public Safety. Assistant U.S. Attorney Kyle T. Nayback prosecuted the case.
Muskogee Woman Pleads Guilty to Making False StatementRead the Press Release
The United States Attorney’s Office for the Eastern District of Oklahoma, announced that DENISE WOODARD, age 59, of Muskogee, Oklahoma, pled guilty to an Information charging her with MAKING A FALSE STATEMENT, in violation of Title 18, United States Code, Section 1001(a)(2).
The charge arose from an investigation by the Department of Veterans Affairs, Office of Inspector General.
The Information alleged that on or about February 1, 2012, in the Eastern District of Oklahoma, the defendant did knowingly make and cause to be made a materially false, fictitious, and fraudulent statement and representation in a matter within the jurisdiction of the Department of Veteran Affairs, an agency of the United States, in that on a Department of Veteran Affairs form known as "Improved Pension Eligibility Verification Report" DENISE WOODARD stated she was receiving no income, when in truth and fact, as defendant well knew, she was receiving pension benefits from another source.
The Honorable Steven P. Shreder, Magistrate 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 remains on bond pending sentencing.
The statutory range of punishment is up to 5 years imprisonment, a fine of up to $250,000.00 or both.
Assistant United States Attorney Shannon Henson represented the United States.
Morris County, New Jersey, Man Sentenced to Five Years in Prison for Receiving Images of Child Sexual AbuseRead the Press Release
NEWARK, N.J. – A Boonton, New Jersey, man was sentenced today to 60 months in prison for using his home computer to download hundreds of images of child sexual abuse, U.S. Attorney Paul J. Fishman announced.
Lucas J. Reinmann, 36, previously pleaded guilty before U.S. District Judge Susan D. Wigenton to an information charging him with one count of knowingly receiving images of child pornography over the internet. Judge Wigenton imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Reinmann admitted that he downloaded images and videos of child sexual abuse from the internet to his computer using a peer-to-peer file sharing network. He also admitted possessing more than 600 images of child sexual abuse on his computers and USB drives, which were seized from his residence in July 2013.
In addition to the prison term, Judge Wigenton sentenced Reinmann to serve 10 years of supervised release.
U.S. Attorney Fishman credited special agents of Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Newark Division, under the direction of Acting Special Agent in Charge Kevin Kelly; the Morris County Prosecutor’s Office, under the direction of Prosecutor Fredric M. Knapp; and the Boonton Township Police Department, under the direction of Chief Paul C. Fortunato with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Sara F. Merin of the U.S. Attorney’s Office OCDETF Unit in Newark.
Defense counsel: Edward V. Sapone Esq., New York
Member of Decavalcante Crime Family Admits Distributing CocaineRead the Press Release
NEWARK, N.J. – An associate of the DeCavalcante organized crime family of La Cosa Nostra today admitted his role in distributing more than 500 grams of cocaine, U.S. Attorney Paul J. Fishman announced.
Nicholas DeGidio, 37, of Union, New Jersey, pleaded guilty before U.S. District Judge William H. Walls, to an information charging him with one count of distribution of more than 500 grams of cocaine.
According to documents filed in this case and statements made in court:
DeGidio was arrested and charged by complaint in March 2015, along with nine other members of the DeCavalcante crime family. Between December 2014 and March 2015, in conjunction with other family associates, DeGidio sold more than one-half a kilo of cocaine to an undercover FBI agent for at least $78,000.
The drug distribution count to which DeGidio pleaded guilty carries a maximum potential penalty of 40 years in prison and a $5 million fine. Sentencing is scheduled for Sept. 29, 2015.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel in Newark; the N.J. State Commission of Investigation, under the direction of Executive Director Philip James Degnan; the Waterfront Commission of New York Harbor, under the direction of Executive Director Walter M. Arsenault; and the Union County Prosecutor’s Office, under the direction of Acting Union County Prosecutor Grace H. Park.
The government is represented by Senior Litigation Counsel V. Grady O’Malley Sr. and Assistant U.S. Attorney James Donnelly of the U.S. Attorney’s Office’s Organized Crime/Gangs Unit.
Defense counsel: Ted Romankow Esq., Springfield, New Jersey