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Friday 3 April 2015
Gardiner Man Sentenced to over Four Years for Pharmacy RobberyRead the Press Release
Contact: F. Todd Lowell
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Jesse Mansir, 31, of Gardiner, Maine, was sentenced today in U.S. District Court to 51 months in prison and three years of supervised release for pharmacy robbery. He pleaded guilty to the charge on October 28, 2014.
Court records reveal that on August 21, 2014, Mansir entered the Rite Aid Pharmacy in Gardiner, approached the pharmacy counter and handed a threatening note to a pharmacy technician. He told the technician that he had a gun and he concealed one of his hands. The pharmacist gave Mansir two bottles of Oxycodone and he fled.
Law enforcement officers located Mansir with the aid of a police dog and recovered one of the stolen Oxycodone bottles. A Gardiner police officer identified Mansir as the robber after reviewing surveillance video from the pharmacy. Two of the pharmacy employees also identified him as the robber from a photo array.
The investigation was conducted by the Gardiner Police Department, the Maine State Police, the Kennebec County Sheriff’s Office, and the Federal Bureau of Investigation.
Former Senior Living Center Employee Charged with ID Theft and $335,000 FraudRead the Press Release
BIRMINGHAM -- The U.S. Attorney's Office today charged a former Hoover senior living center employee with using the identity of a resident with dementia, without authorization, to steal more than $300,000 from the resident's bank and credit accounts, announced U.S. Attorney Joyce White Vance and U.S. Secret Service Special Agent in Charge Craig Caldwell.
Federal prosecutors charged SHOSTOCKA KEYA WARD, 43, of Vestavia Hills, with bank fraud and aggravated identity theft in an information filed in U.S. District Court. Prosecutors also filed a plea agreement with Ward, in which she acknowledges the charges and agrees that she will plead guilty to one count of bank fraud and one count of aggravated identity theft. She also agrees to pay restitution of $335,214 and to forfeit that same amount to the government as proceeds of illegal activity.
According to Ward's plea agreement, her fraud included writing more than $70,000 in unauthorized checks to herself and using one of the victim's credit cards for expenses including financing her own wedding, applying money to someone's prison account, making car and private school tuition payments, and taking trips to Las Vegas, Chicago, Tunica, Miss., and Gatlinburg, Tenn.
According to the government's charging document and Ward's plea agreement, she worked at Galleria Woods as a resident assistant or a transportation coordinator from about August 2010 to January 2014. In 2011, Ward became acquainted with the victim, a Galleria Woods resident who was 75 years old, had no immediate family, few visitors and an out-of-town family friend who served as her power of attorney, but was not actively involved in her daily care or the management of her daily finances.
Ward began assisting the victim with transportation, errands, bill payments and other financial issues, and gained access to the victim’s purse, mail, financial statements, checkbook, and debit and credit cards, according to the information. Ward maintained her relationship with the victim during her employment at Galleria Woods as the victim’s mental and physical condition declined and she became incapable of managing her financial affairs, according to the charges against Ward.
Between Oct. 11, 2011, and Feb. 13, 2014, Ward carried out a scheme to defraud eCO Credit Union of money in the victim’s account through various means and without the victim’s authorization, according to the information and plea agreement. Ward used the victim’s checks for her own benefit, often forging her signature, and obtained a check/ATM card on the eCO account, according to the charges. Ward used the checks and the debit card to obtain cash and to pay for goods and services worth more than $120,000, according to the information. She also used the victim’s Chase Bank, State Farm Bank and Macy's Department Store credit cards for hundreds of thousands of dollars in personal expenses and purchases, and paid portions of those bills with money from the victim's credit union account to continue the scheme.
The maximum prison penalty for bank fraud is 30 years. The penalty for aggravated identity theft is a mandatory two years in prison, which must be served after completion of any other prison sentence imposed for the crime.
U.S. Secret Service investigated the case, which Assistant U.S. Attorney Erica Williamson Barnes is prosecuting
Former Florence Resident Sentenced for Theft of Government Funds and Identity TheftRead the Press Release
Contact Person: Bill Day (803) 929-3000
Florence, South Carolina ---- United States Attorney Bill Nettles stated today that Don Carlos Gibson, Jr., age 48, of Church Hill, Tennessee and formally of Florence, South Carolina, was sentenced in federal court in Florence for Theft of Government Funds, a violation of 18 U.S.C. § 641, and Identity Theft, a violation of 18 U.S.C § 1028A(a)(1). United States District Judge R. Bryan Harwell of Florence sentenced Gibson to seven years imprisonment to be followed by three years of Supervised Release and also ordered Gibson to pay $811,592.07 in restitution.Evidence presented at the change of plea hearing and sentencing established that Gibson collected disability payments from the Department of Veterans Affairs (VA) and the Social Security Administration (SSA) from 1997 to 2013 by falsely claiming he was unable to work. During the time Gibson claimed to be disabled, he attended golfing school in Myrtle Beach and was the general manager of a country club in North Carolina, a car salesman in North and South Carolina, and the pastor of a church in South Carolina and Oklahoma. Gibson's fraud caused losses of $352,576 to the VA and of $407,184 to the SSA. Gibson also caused losses of $51,832 to an individual he defrauded while working as a pastor in Oklahoma. Gibson also used another person’s identity to purchase automobiles and boats and to obtain loans in South Carolina, Tennessee, Oklahoma and Florida.
The case was investigated by agents of the Office of Inspector General (OIG) Department of Veterans Affairs and OIG Social Security Administration. Assistant United States Attorney William E. Day, II of the Columbia office is prosecuting the case.
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Federal Jury in Del Rio Convicts Texas Syndicate MemberRead the Press Release
In Del Rio yesterday, a federal jury returned guilty verdicts against a Texas Syndicate member for various violations of federal racketeering offenses committed in Uvalde, San Antonio and the surrounding areas announced Acting United States Attorney Richard L. Durbin, Jr., and Special Agent in Charge Christopher Combs of the FBI’s San Antonio Division. The Defendant faces life in prison for each racketeering offense he has been found guilty of committing.
Jurors convicted 39-year-old George “Curious” Sanchez of Uvalde, Texas, of conspiracy to violate the Racketeering Influenced Corrupt Organization (RICO) statute. Evidence presented during the trial revealed that Sanchez is a member of the Texas Syndicate and along with fourteen other members and associates, conspired since 2002 to commit 3 murders, and conspired to distribute controlled substances. He also was found guilty of conspiracy to commit murder in aid of racketeering and murder in aid of racketeering for the murder of Rogelio Mata on October 13, 2002 in Uvalde, Texas. Mr. Mata was murdered for failing to follow the rules of the Texas Syndicate.
According to testimony at trial, the Texas Syndicate is a violent prison gang that has spread its influence into Texas cities and towns. Members of the Texas Syndicate are bound by a set of rules that ensure loyalty and participation in the enterprise’s criminal activities and are subject to strict and harsh discipline, including death, for violating the rules. The rules require that a member continue his participation in the organization even after his release from prison. Membership is for life and the gang comes first above all else, to include family.
On July 1, 2013, in a jury trial in Del Rio, Texas, Sanchez’s co-defendants Raul “Fatboy” Rodriquez of Uvalde, Texas, Mike “Big Mike” Cassiano of Uvalde, Texas and Cristobal “Little Cris” Velasquez of Uvalde, Texas, were convicted of conspiracy to violate the RICO statute. Rodriquez also was convicted of the substantive charge of violent crime in aid of racketeering for the murder of Rogelio Mata in Uvalde, Texas on October 13, 2002. Velasquez was found guilty of conspiracy to commit violent crime in aid of racketeering and the substantive charge of violent crime in aid of racketeering for the murder of Jose Guadalupe de la Garza on December 25, 2005 in Uvalde, Texas. Cassiano also was found guilty of two counts of conspiracy to commit violent crime in aid of racketeering for the murder of Jose Guadalupe de la Garza on December 25, 2005 in Uvalde, Texas, and the November 9, 2009 murder of Jesse James Polanco in Uvalde, Texas. All three are currently awaiting sentencing.
In addition, the following 10 co-defendants are awaiting sentencing after pleading guilty prior to trial for violating the RICO statute: Sotero Rodriguez Martinez (a.k.a. “June”), of Uvalde, Texas; Chuco Mario Martinez (a.k.a. “Mariachi”), of Uvalde, Texas; Jose Andres Torres (a.k.a. “Yogi”), of Uvalde, Texas; Larry Munoz, Jr. (a.k.a. “Little Larry”), of Uvalde, Texas; Brian Esparza (a.k.a. “Tata”), of Uvalde, Texas; Charles Esparza (a.k.a. “Horse”), of Uvalde, Texas; Ervey Sanchez (a.k.a. “Mad Max”), of Uvalde, Texas, Mark Anthony Vela, of Hondo, Texas; Mario Alberto Gonzales (a.k.a. “The Enforcer”), of Hondo, Texas and, Charles Olan Quintanilla, of Hondo, Texas.
The case resulted from a joint investigation by the Federal Bureau of Investigation with the Texas Department of Public Safety--Criminal Investigations Division, San Antonio Police Department, Medina County Sheriff’s Office and the Bandera County Sheriff’s Office. Also assisting in the investigation was the 38th Judicial District Adult Probation Gang Unit, Texas Department of Criminal Justice and the U.S. Bureau of Prisons. The U.S. Marshals Service, U.S. Immigration and Customs Enforcement-Customs and Border Protection and the Uvalde County Sheriff’s Department assisted in making the arrests. The case against Defendant Sanchez was prosecuted by Assistant United States Attorneys Patrick Burke, Ralph Paradiso and Matthew Watters.
Federal Court Sentences Davenport Man for Felon in Possession of a FirearmRead the Press Release
DAVENPORT, IA - On April 3, 2015, Ricardo Torres, age 31, of Davenport, Iowa, was sentenced by United States District Court Chief Judge John A. Jarvey to 30 months in prison, announced United States Attorney Nicholas A. Klinefeldt. Torres was also ordered to serve three years of supervised release following the imprisonment, and to pay $100 towards the Crime Victims Fund.
On March 5, 2014, after having been convicted of a felony, Torres possessed four firearms: a Jiminez Arms, J. A. NINE 9mm handgun; a HWM Windicator .38/.357 caliber revolver; a American Tactical GSG-522, .22 caliber rifle; and a Mossberg, Model 500A 12 gauge shotgun. Torres pleaded guilty on October 29, 2014, to the charge of being a felon in possession of a firearm.
This case was investigated by the Davenport, Iowa, Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Father and Son Plead Guilty in Massive Marijuana Grow Field CaseRead the Press Release
BROWNSVILLE, Texas – Miguel Echevarria-Zuniga, 52, and Miguel Echevarria-Guizar, 22, have entered guilty pleas to manufacturing marijuana, announced U.S. Attorney Kenneth Magidson along with Deputy Special Agent in Charge Mark Dawson of Homeland Security Investigations (HSI).
The charges stem from an August 2014 investigation by HSI which revealed that part of a 40-acre tract of land in a rural area of Willacy County was being used to grow marijuana. Agents discovered more than 9,000 marijuana plants growing in the field.
Agents arrested the Echevarrias, both Mexican citizens, as they attempted to abscond from the area. Fingerprint analysis linked both defendants to items found in the marijuana field. Agents also searched a storage shed which was rented by Echevarria-Zuniga and found sales receipts for items found in the marijuana field.
“Regardless of their role in a drug trafficking organization, this type of criminal activity will not be tolerated,” said Dawson. “HSI will continue to utilize its broad authorities to dismantle criminal organizations who blatantly ignore the laws of this nation.
U.S. District Andrew S. Hanen accepted the pleas today and has set sentencing for July 6, 2015. At that time, they each face a mandatory minimum of 10 years and up to life in federal prison as well as a $10 million fine. Echevarria-Zuniga also pleaded guilty to being an alien found in the United States after having been deported. He faces a maximum of 20 years imprisonment as well as a $250,000 fine for that conviction.
This case was investigated by HSI and prosecuted by Assistant U.S. Attorneys Israel Cano III and David A. Coronado.
El Paso Businessman Sentenced to Federal Prison for Money LaunderingRead the Press Release
In El Paso this week, 54-year-old Eduardo A. Herrera, owner of Best for Less Collision Center in El Paso, was sentenced to ten years in federal prison for his part in a money laundering scheme announced Acting United States Attorney Richard L. Durbin, Jr., and Homeland Security Investigations (HSI) Special Agent in Charge Waldemar Rodriguez in El Paso.
In addition to the prison term, United States District Judge David Briones ordered that Herrera forfeit his business property valued at $411,000.00, and cash seized from four business bank accounts totaling $15,451.05.
Herrera’s sentence also included a $1,000,000 money judgment.
On January 14, 2015, Herrera pleaded guilty to one count of money laundering. According to court documents, an HSI El Paso investigation determined that Herrera used Best for Less Collision Center for transnational drug smuggling and money laundering. Proceeds of cocaine and marijuana smuggled from Mexico and transported to end users in the Jacksonville, Florida area, were sent to El Paso through numerous funnel accounts held in third parties’ names. Best for Less Collision Center withdrew the proceeds and covered deposits into the business' bank accounts with false invoices. More than $2,000,000 has been identified as being funneled through third party accounts.
This case was investigated by special agents with Homeland Security Investigations and the Drug Enforcement Administration along with the El Paso Police Department as part of the El Paso Southwest Border FOCUS Financial Task Force. Assistant United States Attorney Joseph Blackwell prosecuted this case on behalf of the Government
Distributors of Synthetic Cannabinoids Plead Guilty to Federal ChargesRead the Press Release
CONCORD, NEW HAMPSHIRE – Two men who were responsible for distributing large quantities of unlawful synthetic cannabinoid products have entered guilty pleas in federal court, announced United States Attorney John P. Kacavas.
On March 31, 2015, Kyle Hurley (32) pleaded guilty to participation in a conspiracy to distribute, and possess with intent to distribute, controlled substances. He is scheduled to be sentenced on July 14, 2015. He faces a maximum of 20 years in prison.
On February 12, 2015, Robert Costello (71) pleaded guilty to conspiracy to travel in interstate commerce with the intent to commit a drug trafficking crime and to traveling in interstate commerce with the intent to commit a drug trafficking crime. He is scheduled to be sentenced on May 27, 2015. He faces up to five years in prison on each charge.
Hurley and Costello were arrested on March 28, 2014, after they arranged to deliver more than one ton of synthetic cannabinoid products to undercover law enforcement officers. The synthetic cannabinoid products contained AB-FUBINACA, an illegal controlled substance. Hurley and Costello manufactured and distributed synthetic cannabinoids that were sold in packages bearing a variety of brand names, including “Scooby Snax,” “Bizarro,” “Toxic Blue Magic,” and “Caution Platinum.” These products, which were then sold in convenience stores and at other locations, contained chemicals that are unlawful controlled substances.
Undercover law enforcement officers first began purchasing the unlawful products at convenience stores in Hooksett and Londonderry. Thereafter, they were introduced to Costello, who had been providing the products to the convenience stores. The undercover officers then arranged to acquire quantities of synthetic cannabinoids directly from Costello. When the undercover officers expressed an interest in purchasing larger quantities, Costello introduced them to his source of supply, Hurley, who agreed to supply the undercover officers with large quantities of synthetic cannabinoids. After arranging a purchase of approximately 15 kilograms of synthetic cannabinoids from Hurley and Costello on March 18, 2014, the undercover officers then arranged the one-ton transaction, which led to the arrest of Hurley and Costello on March 28, 2014.
Following the arrests, law enforcement officers executed a search warrant at Costello’s residence in Lawrence, Massachusetts. A shed at the residence was being used to package synthetic cannabinoids. Among the items seized were approximately 46 kilograms of packaged synthetic cannabinoids, as well as approximately 24 kilograms of bulk synthetic cannabinoids, empty packages, shipping documents, scales, heat sealers, and flavorings.
A search warrant was executed at a garage on a property in Seabrook, New Hampshire that belonged to a relative of Hurley. Among the items seized were 16 trash bags each containing 15-kilograms of synthetic cannabinoid products, two trash bags containing approximately 100 packages of synthetic cannabinoids, 28 boxes containing empty packages, scales, empty acetone containers, and shipping materials. In total approximately 225 kilograms of bulk synthetic cannabinoids were seized.
A search warrant was also executed at a location in Epping, New Hampshire, where the synthetic cannabinoids were being manufactured. Among the items located were a cement mixer that was used to manufacture the products, approximately 48 empty 5-gallon drums of acetone, empty chemical containers with AB-FUBINACA residue, three garbage bags containing approximately six kilograms of bulk synthetic cannabinoids, thousands of empty synthetic cannabinoid packages, and approximately 27 kilograms of packaged synthetic cannabinoids.
The investigation is ongoing.
The Drug Enforcement Administration’s Tactical Diversion Squad led the investigation in collaboration with the U.S. Postal Inspection Service and Homeland Security Investigations. The investigators also received the invaluable assistance of DEA-NH/HIDTA and DEA’s Air Wing, the New Hampshire and Massachusetts State Police, the U.S. Marshal Service, Portsmouth Police Department, Somersworth Police Department, Kingston, Police Department, the Dover Police Department, and the York and Kittery, Maine Police Departments. It is being prosecuted by Assistant United States Attorney John J. Farley.
Des Moines Woman Convicted on Numerous Counts of Defrauding Federal and State Welfare ProgramsRead the Press Release
DES MOINES, IA – On April 2, 2015, Des Moines resident Julia Nguyen, age 48, also known as Loan Nguyen, was convicted on 22 federal felony counts by a jury in the Southern District of Iowa, announced United States Attorney Nicholas A. Klinefeldt.
Nguyen was convicted of attempted immigration fraud, theft of federal government funds, social security fraud, false use of a social security number belonging to another person, aggravated identity theft, making material false statements to the U.S. Department of Housing and Urban Development (HUD), committing health care fraud in relation to the Iowa Consumer Directed Attendant Care (CDAC) program, and mail fraud in connection with the Iowa food assistance program.
"The defendant defrauded the Supplemental Security Income (SSI) program, the federal subsidized housing program, the state rental rebate, food assistance, and consumer directed attendant care programs, and tried to deceive federal immigration officials," explained U.S. Attorney Nick Klinefeldt. "The integrity of these programs is bolstered by the success of federal and state investigators to put an end to Ms. Nguyen’s pervasive effort to illegally reap welfare benefits from them."
The two immigration fraud charges relate to events in 2007. Nguyen tricked a local doctor into completing false immigration documentation for two Vietnamese nationals who were seeking to become U.S. citizens, but had had difficulty passing the language and civics portion of the naturalization process. Although federal officials rejected the paperwork after it was submitted, Nguyen nevertheless tried to convince federal authorities that the applicants were medically unable to pass the exams, and should be granted exemptions.
The theft of government funds and social security fraud convictions stem from Nguyen’s abuse of the SSI program, which provides financial assistance to handicapped and elderly people. Over several years, Nguyen fraudulently obtained over $59,000 of SSI of numerous persons who had left the country and were no longer eligible to receive program benefits. This undisclosed income made her ineligible for the $33,600 of SSI she received from 2010 through 2013.
Nguyen was also convicted of using the name and social security number of a man who years earlier had returned to Vietnam to fraudulently obtain funds from the State of Iowa. Nguyen submitted claims to the state rental reimbursement program asserting he was renting an apartment in Des Moines, and received over $3,600.
The jury also convicted Nguyen of making false statements to HUD in connection with receiving subsidized housing by concealing from the government her true income and assets.
The health care fraud conviction related to a Medicaid-based program designed to keep elderly or physically disadvantaged people out of nursing homes, called consumer directed attendant care. After Nguyen’s doctor certified Nguyen was ineligible for the program, Nguyen altered the doctor’s form to make it appear she needed such care, and submitted it to the State. Nguyen’s application was approved, and one of Nguyen’s daughters was paid by the State to provide such unnecessary care.
The mail fraud conviction covered Nguyen’s abuse of the food assistance program, which is jointly funded by the U.S. Department of Agriculture and the State of Iowa. After an elderly food assistance recipient left Iowa to return to his home country of Vietnam, Nguyen had his food assistance electronic benefits (EBT) card sent to Nguyen’s post office box, and used it for Nguyen’s own benefit for several years. Nguyen had replacement EBT cards and various notices sent by the State in the original recipient’s name to Nguyen’s post office box. Trial evidence showed Nguyen using the original recipient’s EBT card to conduct a $199 transaction at a local Wal-Mart. The program was defrauded of over $10,000.
The sentencing hearing has been scheduled for July 7, 2015.
The case was investigated by the Social Security Administration-Office of Inspector General; Homeland Security Investigations; U.S. Citizenship and Immigration Services; Iowa Department of Inspections and Appeals; the U.S. Department of Housing and Urban Development-Office of Inspector General, and U.S. Postal Inspection Service. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Any persons aware of any similar fraud can report it to the Homeland Security Investigations hotline, 1-866-347-2423.
Conroe Family Guilty of Disability FraudRead the Press Release
HOUSTON - Ali Irsan, 58, has been convicted of conspiracy to defraud the United States, announced U.S. Attorney Kenneth Magidson. Irsan’s wife - Shmou Ali Alrawabdeh, 38 - and daughter - Nadia Irsan, 31 - have also been convicted by previously entering guilty pleas to making false statements in association with the fraud scheme.
Ali Irsan is a naturalized U.S. Citizen from Jordan and a resident of Conroe. He and members of his family received Supplemental Security Income (SSI), which is needs-based benefit provided by the Social Security Administration (SSA). SSI pays monthly benefits to the disabled, who DO NOT have resources. An individual with resources, excluding a home and a car, is ineligible for SSI.
On or about Sept. 4, 2002, Ali Irsan applied for SSI benefits claiming he had been disabled and unable to work since 1990. However, Irsan failed to report that he maintained a bank account in Jordan with a balance that fluctuated from approximately $4,000 to $16,000. Also, in January 2010, Ali Irsan received a settlement check for $75,000, which he failed to report to the SSA. Shmou and Nadia Irsan falsified documents in order to aid the fraud scheme involving the disability benefits.
The three family members will remain in custody pending their sentencing hearing, which is set for June 2015. At that time each face up to five years in federal prison and a possible $250,000 maximum fine.
The investigation leading to the charges was led by SSA - Office of Inspector General with the assistance of FBI, Houston Police Department and sheriff’s offices in Harris and Montgomery Counties among others. Assistant U.S. Attorney Jim McAlister is prosecuting the case.
Cleveland man sentenced to nearly 13 years in prison for identity theft and tax fraudRead the Press Release
A Cleveland man was sentenced to nearly 13 years in prison for his role in a conspiracy to use false identities, including those of people incarcerated, to file nearly $2 million worth of false tax claims, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Kathy Enstrom, Special Agent in Charge of IRS Criminal Investigation, Cincinnati Field Office.
“This defendant stole identities and ripped off taxpayers,” Dettelbach said.
“This 12-plus year sentence demonstrates our unwavering commitment to protecting the interests of law-abiding taxpayers,” Enstrom said. “We will continue to partner with the U.S. Attorney’s Office and investigate the criminals who engage in such brazen and fraudulent conduct, ensuring that the only citizens who receive tax refunds are those who are entitled to them.”
Kenneth A. White, 48, was sentenced to 155 months in federal prison and ordered to pay $342,365 in restitution after previously pleading guilty to multiple criminal counts.
White recruited people to use as claimants on some false tax returns, often with the promise of substantial refunds. White also obtained names, Social Security numbers and other personal identifiers of other people to use as claimants, including people in prison or jail. In some cases, this was done without the knowledge or consent of these other people, according to court documents.
Gwendolyn N. White, at the direction of Kenneth White and for a fee, prepared and electronically filed 10 false income tax returns for the year 2008 in the name of the claimants. The total amount claimed in the returns was approximately $1,995,687, according court documents.
Gwendolyn N. White, 32, of Cleveland, was previously sentenced to nearly four years in prison for her role in the conspiracy.
This case is being prosecuted by Assistant U.S. Attorney Vasile Katsaros following an investigation by the Internal Revenue Service – Criminal Investigations.
Chicago Prepaid Cellphone Business Owner Pleads Guilty to Filing False Federal Income Tax ReturnsRead the Press Release
CHICAGO — A business owner of Chicago based prepaid phone stores pleaded guilty yesterday to federal income tax fraud, admitting that he filed four false tax returns, resulting in a tax loss to the United States of more than $174,093, beginning in 2009. The defendant, Ken Leon, 47, of Westmont, pleaded guilty to one count of filing a false individual federal income tax return in 2012 at his arraignment in U.S. District Court after he was charged in a single-count information filed late last month. U.S. District Court Judge Sara L. Ellis set sentencing for June 25, 2015.
Leon was the owner of Ezbuyphones, a prepaid phone business with three Chicago stores, which sold cellphones and accessories and prepaid cell phone minutes and provided electronic bill-paying services. Beginning no later than 2009 and continuing through 2012, the defendant received from his business significant income that he failed to report to the Internal Revenue Service. He received income from his business in two ways; he periodically made cash and check deposits from his business into his personal bank accounts and he paid personal expenses from his corporate bank account, such as mortgage payments for his residence and credit card expenditures on travel, clothing, groceries, and restaurants.
In pleading guilty, Leon admitted that he caused a federal tax loss of $174,093 by filing false tax returns for 2009 - 2012. Leon did not provide accurate information to an accountant who prepared his returns. Specifically, he reported that he had earned only slightly more than $110,000 for the year 2012, when, in fact, his wages and compensation totaled approximately $347,546.
Leon faces a maximum sentence of three years in prison and a $250,000 fine, and his plea agreement contemplates an advisory United States Sentencing Guidelines range of 12 to 18 months in prison.
The guilty plea was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois, Robert J. Holley, Special Agent in Charge of the Chicago Division of the Federal Bureau of Investigation, and Stephen Boyd, Special Agent in Charge of the Internal Revenue Service Criminal Investigation Division in Chicago.
Federal tax law requires that U.S. taxpayers pay taxes on all income earned worldwide and to report certain foreign financial accounts.
The government is being represented by Assistant U.S. Attorney William Ridgway.
Plea Agreement
California Technology Company Enters into Non-Prosecution Agreement with U.S.Read the Press Release
HOUSTON – The U.S. Attorney’s Office for the Southern District of Texas (USAO-SDTX) has entered into a Non-Prosecution Agreement (NPA) with Curvature LLC, a California-based technology company, announced U.S. Attorney Kenneth Magidson. As part of the NPA, Curvature has agreed to pay a fine of $2.2 million, enter into a statement of facts, appoint a compliance officer to oversee its procurement activities and continue to enhance its compliance and ethics program.
According to the statement of facts, from approximately 2007 through 2010, Curvature resold new and used computer equipment under the name Network Hardware Resale Inc. (NHR). NHR advertised itself as the largest stocking provider of new and used surplus equipment made by Cisco Systems Inc. (Cisco), another technology company that produced and sold computer equipment including switches and routers.
Cisco sold its products directly to its customers and to its authorized resellers, also known as “Channel Partners,” and in certain limited circumstances, sold products at large discounts pursuant to an agreement known as a Direct Service Agreement (DSA). Under a DSA, the customer or partner was required to provide Cisco with information about the intended use of the products.
As early as 2007, NHR and certain NHR employees knew that Cisco did not condone, and in fact investigated, the sales of Cisco products at DSA prices to users who planned to resell the product and not use it internally. NHR did not, at any time, make any misrepresentations directly to Cisco. However, NHR employees were aware that at least one NHR vendor was submitting purchase orders to Cisco that did not accurately identify the ultimate purchaser of the products and whether the products would be used internally.
In April through December 2010, NHR purchased Cisco products from another company (identified as Company B), which was misrepresenting to Cisco how the products would be used. As a result of these misrepresentations, NHR and Company B obtained substantial discounts on the Cisco products. Company B obtained the products in excess of 86% off list price and then resold many of the products to NHR at approximately 71% off the list price.
Curvature also agreed that in August 2010, after Cisco began investigating the sale of certain products to Company B, Company B offered to provide a sampling of the products back to Cisco to show that they were not being resold. At Company B’s request, NHR shipped some of the products in NHR’s inventory back to Company B so that Company B could provide the products to Cisco in an attempt to demonstrate to Cisco that the products had not been resold.
Under the terms of the NPA, Curvature admitted responsibility for its conduct and agreed to institute remedial measures to prevent any future instances of such conduct, continue to cooperate in the investigation and enhance its compliance and internal controls. In exchange, the USAO-SDTX has agreed that, except for federal criminal tax violations, it will not criminally prosecute Curvature for any of the conduct described in the statement of facts.
The case was investigated by the U.S. Secret Service and the FBI. Assistant U.S. Attorneys Jason Varnado and John Pearson handled the case.
California Man Sentenced in Drug Trafficking and Money Laundering SchemeRead the Press Release
Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced today that a California resident was sentenced in federal court in Anchorage for one count of money laundering.
Ines Gutierrez Gaspar, 52, from Little Rock, California, was sentenced by Senior United States District Court Judge H. Russel Holland, to 21 months in prison for his role in conducting financial transactions in California involving funds which he knew to be the proceeds of drug trafficking in Alaska.
According to Assistant U.S. Attorneys Joseph Bottini and Stephan Collins, Gaspar was part of a drug trafficking and money laundering organization which operated between California and Alaska from 2009 until 2011. Gaspar was originally charged in 2011, along with 14 other co-defendants, in a multi-count indictment charging the defendants with conspiracy, drug trafficking, and money laundering. Eleven of Gaspar’s original codefendants were previously convicted of drug trafficking and money laundering charges, with some of those defendants receiving sentences of 10 to 11 years. Many of the earlier sentenced defendants were Mexican nationals, and several have been deported to Mexico following completion of their prison sentences. Gaspar himself is a Mexican citizen and a lawful permanent resident alien in the United States. He likewise faces deportation to Mexico following service of his prison sentence.
Gaspar remained a fugitive until last October when he was arrested in Fresno, California. He was transported to Alaska last November, and in January of this year Gaspar plead guilty to one count of money laundering for actions in withdrawing funds from a bank account in California which he knew to be the proceeds of drug trafficking in Alaska.
Ms. Loeffler commends the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigations Division, Homeland Security Investigations, and the Anchorage Police Department for the investigation of this case.
Broward Resident Pleads Guilty to Stealing Personally Identifiable Information of Magazine Subscription CustomersRead the Press Release
A Broward resident pled guilty for her participation in an identity theft fraud scheme involving the personally identifiable information (PII) of magazine subscription customers.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, FBI, Miami Field Office, made the announcement.
Eartha Ann Worthy, 29, pled guilty to one count of conspiracy to commit access device fraud and one count of aggravated identity theft.
According to court documents, law enforcement agents executed a search warrant at a residence and found the PII belonging to 36 individuals, including their names, addresses, credit card information, dates of birth or social security numbers, on order sheets (taken from a direct call telemarketing center) related to magazine subscriptions. The owner of the residence explained that Worthy was employed as a supervisor with a company that sells magazine subscriptions and that Worthy was the source of the PII.
Worthy admitted to providing information to the residence’s owner and stated that she knew that the information she was providing was being used for fraudulent purposes. Worthy stated that the residence’s owner used the stolen credit card information to pay bills and make small purchases. Worthy also provided PII to another individual, who was involved in a tax refund fraud scheme.
Sentencing is scheduled for June 11, 2015 at 9:30 a.m. At sentencing, Worthy faces a maximum of five years in prison for the conspiracy charge, and a mandatory term of two years in prison, consecutive to any other term in prison, for the aggravated identity theft charge.
Mr. Ferrer commended the investigative efforts of IRS-CI and the FBI. This case is being prosecuted by Assistant U.S. Attorney Cynthia R. Wood.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Bonne Terre, Missouri, Man Sentenced on Multiple Drug and Weapons ChargesRead the Press Release
St. Louis, MO – MELVIN J. SCHERRER was sentenced to 360 months prison on federal drug and weapons charges involving the distribution and manufacture of large amounts of methamphetamine from October 2010 to September 2013. He appeared today for sentencing before United States District Judge Catherine D. Perry.
The following co-defendants have pled guilty to related charges and have been sentenced:
Jorge Lopez, Corinth, TX, 120 months prison;
Alan D. Adler, Bonne Terre, MO, 57 months prison;
Howard R. Pyatt, a/k/a Bud, Bonne Terre, MO, 30 months prison;
Arvil B. Matthews, Imperial, MO, 96 months prison;
Amber D. Scism, Farmington, MO, 30 months prison;
Terri L. Fox, St. Louis, 70 months prison;
Guillermo Navarro, a/k/a Willie, St. Louis, MO, 96 months prison;
Jerami A. Westenberger, Arnold, MO, 12 months and one day in prison;
Brent T. Bouren, St. Louis, MO, 24 months prison;
Mark E. Abney, Bonne Terre, MO, 18 months prison; and
Jerry L. Addison, St. Louis, MO, 24 months prison.This case is a joint operation of the Federal Bureau of Investigation, the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, the Missouri State Highway Patrol, St. Charles and Jefferson County Sheriff's Offices, the St. Louis Metropolitan Police Department and multiple local law enforcement agencies. Assistant United States Attorney Jeannette Graviss prosecuted the case for the Attorney's Office.
Bangor Man Pleads Guilty to Drug Trafficking and Gun ChargesRead the Press Release
Contact: Chris Ruge
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Terrance Douglas, 35, of Bennettsville, South Carolina and Bangor, Maine, pled guilty today in U.S. District Court to conspiracy to distribute cocaine, cocaine base and heroin; possession with intent to distribute cocaine, cocaine base and heroin; and being a felon in possession of a firearm.
According to court records, from April to October, 2014, Douglas imported the drugs from out of state and then prepared, packaged, and distributed them in the Bangor area. Douglas, who had a previous felony conviction for distributing cocaine base, was also found in possession of a loaded Smith & Wesson .44 magnum pistol at the time of his arrest.
Douglas faces a minimum of 10 years and up to life years in prison, an $8,000,000 fine, and supervised release for life. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by the Maine Drug Enforcement Agency; the Bangor Police Department; and the Bureau of Alcohol, Tobacco, Firearms & Explosives.
Baltimore Cocaine Dealer Sentenced to 10 Years in PrisonRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake, sentenced Tyrone Robert Bailey, age 28, of Baltimore, Maryland, today to 10 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute cocaine.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Commissioner Anthony W. Batts of the Baltimore Police Department; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Baltimore City State’s Attorney Marilyn J. Mosby.
According to his plea agreement, from December 2013 through April 2014, Bailey was a member of a conspiracy to distribute cocaine. As part of the conspiracy, Bailey obtained kilograms of cocaine from a New York supplier. Law enforcement overheard Bailey discussing drug activity over court-ordered wiretaps on a co-conspirator’s phones.
For example on March 10, 2014, Bailey was overheard telling a co-conspirator that he was traveling to New York that day to obtain cocaine. As Bailey returned from New York, Maryland State Police conducted a traffic stop of Bailey’s pick-up truck for speeding. Co-conspirator Lamont Thomas was driving the vehicle and Bailey was the front seat passenger. After a K-9 alerted to the presence of narcotics, law enforcement located an electronically controlled false compartment in the seat back of the rear bench seat. The compartment contained approximately 4.2 kilograms of cocaine. Law enforcement recovered $1,600 in cash and multiple cell phones from Bailey. One of the cell phones was the phone Bailey used to talk to his co-conspirator.
Lamont G. Thomas, age 34, of Baltimore, pleaded guilty to his role in the conspiracy and is scheduled to be sentenced on May 7, 2015, at 9:15 a.m. Bailey and Thomas have been detained since their arrest on March 10, 2014.
United States Attorney Rod J. Rosenstein commended the DEA, Baltimore Police Department, Maryland State Police, and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Christopher J. Romano and Special Assistant U.S. Attorney Christopher Flagg, a cross-designated Baltimore City Assistant State’s Attorney assigned as part of the Baltimore initiative to combat violent crime, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Aurora Felon Sentenced to 108 Months in Federal Prison for Being A Felon in Possession of A Firearm and Possession of A Firearm in Furtherance of A Drug Trafficking CrimeRead the Press Release
DENVER – Dominic Miller, age 26, of Aurora, Colorado, was sentenced this week by Senior U.S. District Court Judge John L. Kane to serve 106 months (nearly 9 years) in federal prison for being a felon in possession of a firearm and for possession of a firearm in furtherance of a drug trafficking crime, U.S. Attorney John Walsh and ATF Special Agent in Charge Luke Franey Announced. Following his prison term, Miller was ordered to serve 5 years on supervised release. The defendant, who appeared at the sentencing hearing in custody, was remanded at its conclusion.
Miller was indicted by a federal grand jury on April 22, 2014. He pled guilty before Judge Kane on January 9, 2015. He was sentenced yesterday, April 2, 2015.
According to court documents, including the stipulated facts contained in the defendant’s plea agreement, on March 6, 2014, Aurora Police Department Gang Intervention officers identified defendant Miller walking near the 2200 block of North Ironton Street in Aurora displaying Eight Tre Gangster tattoos. The officers attempted to make contact with Miller and another male. As the officers stopped their vehicle, getting out to approach the two, the defendant and other male fled. Officers eventually caught Miller and placed him under arrest.
As the officers placed Miller into custody, they observed the handle of a firearm sticking out of the defendant’s right front pants pocket. Officers recovered a HiPoint, .380 caliber pistol. The firearm was loaded with eight rounds of ammunition. It was then determined that the weapon was previously reported stolen by the Grand Island, Nebraska police department. Officers also located two baggies of crack cocaine with a gross weight of 3.3 and 3.7 grams respectively. Miller had a previous conviction in March 2009 of Aggravated Robbery, which was an armed carjacking. Miller was on parole for that conviction at the time of arrest. It was also confirmed that Miller was a gang member, possessing the firearm for protection against other gang members.
“The lengthy prison sentence handed down by Judge Kane demonstrates that cooperation between federal and local law enforcement is an effective means of removing dangerous drug dealers from our streets,” said U.S. Attorney John Walsh. “We will continue to focus on prosecuting the most dangerous felons who possess firearms as part of our effort to make our streets safer.”
“Violent felons who possess firearms pose a danger to the general public and law enforcement officers,” said ATF Denver Special Agent in Charge Luke Franey. “ATF and our partners at the Aurora Police Department will continue to pursue these individuals to keep the public safe.”
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Aurora Police Department.
Miller was prosecuted by Assistant U.S. Attorney Jeremy Sibert.
Thursday 2 April 2015
Woman Who Had More Than 160 Pounds of Marijuana in Rental Car Is Sentenced to 24 Months in Federal Prison on Federal Drug Distribution ConvictionRead the Press Release
LUBBOCK, Texas — A woman who was found to have more than 160 pounds of marijuana in her rental car on Christmas Day 2013, was sentenced today by U.S. District Judge Sam R. Cummings to 24 months in federal prison, announced John Parker, Acting U.S. Attorney for the Northern District of Texas.
Christini Lynn Brashear, 45, of Rocklin, California, pleaded guilty in November 2014 to an indictment charging one count of possession with intent to distribute marijuana. Today, Judge Cummings ordered that she surrender to the Bureau of Prisons on May 8, 2015.
According to documents filed in the case, on December 25, 2013, the Abilene Police Department received multiple calls regarding a small sport utility vehicle that was on Interstate 20 traveling east at approximately five miles per hour. Officers located the vehicle and found it parked on the shoulder of the highway with Brashear asleep at the wheel. Officers called for emergency medical assistance for Brashear and advised her she was being taken to the hospital. She consented to an officer driving her car to the hospital to avoid having it towed, and she admitted using and possessing methamphetamine, which she turned over to the officers.
The officer driving Brashear’s vehicle noticed a strong odor of marijuana coming from inside the vehicle and later confirmed that the smell was coming from several duffle bags in the back that contained approximately 166 pounds of marijuana, individually bagged in one-pound clear plastic bags. The vehicle also contained multiple cell phones, two road atlases, and a note pad with hand-written directions to Houston, Texas. Rental papers for the vehicle show that it was rented to Brashear in Sacramento, California, on December 22, 2013, and it was due back to that location on December 26, 2013.
U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Abilene Police Department investigated. Deputy Criminal Chief Assistant U.S. Attorney Denise Williams prosecuted.
Wisconsin Man Pleads Guilty to Polo Bank RobberyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Lublin, Wisconsin man pleaded guilty in federal court today to robbing a Polo, Mo., bank.
Oran Woodfin, 30, of Lublin, pleaded guilty before U.S. District Judge Dean Whipple to bank robbery.
By pleading guilty today, Woodfin admitted that he stole $7,867 from Bank Northwest, 305 Main St., Polo, on Friday, Jan. 9, 2015.
According to court documents, Woodfin entered the bank, approached a bank teller and ordered her, “Give me your money.” He kept his left hand inside his jacket as though he had a weapon. The teller pleaded with him, “Don’t shoot me,” and placed the cash from her teller drawer on the counter. Woodfin picked up the money and walked out of the bank.
Bank surveillance photos indicated the robber was driving a red Dodge extended cab pickup truck with a black canvas tonto cover in the bed of the truck. A witness to the robbery observed the truck had a broken driver’s side taillight cover although the bulb was still functioning. Photographs of the robber and the pickup truck were disseminated to the media.
On the same day as the robbery, Woodfin checked into the Super 8 Motel in Richmond, Mo. Employees at the motel saw the surveillance photos on a television newscast, thought that Woodfin and his vehicle matched the descriptions from the bank robbery and the photos, and notified the police department.
Richmond police officers arrested Woodfin without incident outside his motel room. Officers executed a search warrant at the motel room and seized $7,145, a new computer, clothes and a container of alcohol. The pickup truck had been reported as stolen out of Clark County, Wisconsin. Woodfin had a warrant for his arrest out of Wisconsin for a probation and parole violation.
Under federal statutes, Woodfin is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney D. Michael Green. It was investigated by the Caldwell County, Mo., Sheriff’s Department, the Polo, Mo., Police Department, the Richmond, Mo., Police Department, the Ray County, Mo., Sheriff’s Department, the Missouri State Highway Patrol and the FBI.
Washington Pa., Man Charged with Stealing Firearms from Route 19 EZ-Cash Pawn ShopRead the Press Release
PITTSBURGH – A resident of Washington, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal laws, United States Attorney David J. Hickton announced today.
The three-count indictment named Joseph Valentino Monroe, 27, as the sole defendant.
According to the indictment presented to the Court, Monroe took eight firearms and approximately $1,230 in cash from Route 19 EZ-Cash LLC on Feb. 28, 2015. Route 19 EZ-Cash LLC is located at 110 Highland Avenue, Washington, Pa., 15301.
“Gun thieves, who rob ATF licensed firearms dealers, and then peddle stolen firearms onto our streets and into the hands of criminals will be aggressively pursued until they are placed in handcuffs. These gun traffickers, driven by greed, or to feed drug habits, set off the sequence of firearms-related violence in our neighborhoods”, said ATF Special Agent in Charge Sam Rabadi. “I commend the doggedness of the assigned ATF agents and investigators who swiftly identified and arrested the alleged gun burglar of the EZ Cash pawn shop. ATF works jointly with our State and local law enforcement partners to fight violent crime and make safer communities.”
The law provides for a minimum sentence of not less than seven years and a maximum of life in prison, a fine of $250,000, 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.
This case is being 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. Assistant United States Attorney Conor Lamb is prosecuting this case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) 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.
Virgin Islands Man Pleads Guilty to Fraud ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. -- U.S. Attorney William J. Hochul, Jr., announced today that Kevin Liburd, 41, of St. Thomas, Virgin Islands, pleaded guilty before Senior U.S. District Judge William M. Skretny to conspiracy to defraud the United States. The charge carries a maximum penalty of five years in prison, a fine of $250,000 or both.Assistant U.S. Attorney George C. Burgasser, who is handling the case, stated that on January 27, 2011, the defendant, along with co-defendants Mica Donadelle and James Phillips, conspired to avoid the detection of $162,300 at the Buffalo Niagara International Airport. Phillips, an airport employee at the time, bypassed screening procedures and stored the money in an airport bathroom which was later picked up by Liburd.
Phillips has been convicted and is awaiting sentencing. Charges are still pending against Donadelle. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the culmination of an investigation on the part of the Safe Streets Task Force of the Federal Bureau of Investigation.
Sentencing is scheduled for July 1, 2015 at 2:00 p.m. before Judge Skretny.
Versailles Business Owner Pleads Guilty to Selling Synthetic MarijuanaRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Versailles, Mo., man pleaded guilty in federal court today to selling $750,000 worth of synthetic marijuana, commonly referred to as K2, at his store in Laurie, Mo.
Scott Wesley Hanson, 49, of Versailles, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth to participating in a conspiracy to introduce, receive, deliver and sell misbranded drugs across state lines and in foreign commerce.
Co-defendants Sharon Elizabeth Harrington, 27, of Bunceton, Mo., and Chadwick James Schlicht, 44, of Osage Beach, Mo., pleaded guilty on Monday, March 30, 2015.
Conspirators imported chemicals from other countries (including China), which carried misleading labeling in order to avoid detection by law enforcement officers. Those chemicals were used to create synthetic marijuana, which was packaged for sale in foil packets that bore the label “not for human consumption,” in an attempt to thwart drug-trafficking laws. The synthetic marijuana, which was falsely referred to as “incense” and “potpourri,” was shipped and sold throughout Missouri and the United States – including to Vedas, a business at 101 N. Main Street in Laurie, Mo., owned and operated by Hanson.
On June 4, 2012, a Morgan County, Mo., sheriff’s deputy, acting in an undercover capacity, entered Veda’s and asked Hanson for something that would not cause him to test positive for an illegal substance as he was on probation and did not want to jeopardize that. Hanson sold a package of “Mr. Happy” to the undercover deputy. The package, which contained synthetic marijuana, was mislabeled and did not contain directions for use.
Based upon the invoices, bank records, and products seized by law enforcement, Hanson purchased approximately $375,000 of synthetic cannabinoid products, which he then sold through his business for approximately $750,000. Hanson admitted that he sold, in aggregate, multiple kilogram quantities of synthetic marijuana products.
Under federal statutes, Hanson is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Stuart J. Zander. It was investigated by the Drug Enforcement Administration, IRS-Criminal Investigation, Homeland Security Investigations, the Columbia, Mo., Police Department, the MUSTANG Task Force, the LANEG Drug Task Force, the Cole County, Mo., Sheriff’s Department, the Morgan County, Mo., Sheriff’s Department, the Camden County, Mo., Sheriff’s Department, the Camdenton, Mo., Police Department, the Missouri State Highway Patrol, the Kirksville, Mo., Police Department, the North Missouri Drug Task Force, the Schuyler County, Mo., Sheriff’s Department, the Edina, Mo., Police Department, the Linn County, Mo., Sheriff’s Department and the Brookfield, Mo., Police Department.
United States Reaches Settlement with Provider of Massive Open Online Courses to Make its Content Accessible to the DisabledRead the Press Release
BOSTON – Carmen M. Ortiz, U.S. Attorney for the District of Massachusetts and Acting Assistant Attorney General Vanita Gupta of the Civil Rights Division, announced today that the Department of Justice has entered into a settlement agreement with edX Inc. to remedy alleged violations of the Americans with Disabilities Act (ADA). The agreement resolves the Department’s allegations that edX’s website, www.edx.org, and its platform for providing massive open online courses (“MOOCs”), were not fully accessible to individuals with disabilities, including individuals who are blind or have low vision, individuals who are deaf or hard of hearing, and individuals who have physical disabilities affecting manual dexterity, in violation of Title III of the ADA. Among other things, the settlement requires edX to provide accurate captioning for the deaf, oral navigation signals for the blind, and programing changes so those with dexterity disabilities can navigate content without struggling with a hand-operated mouse.
“Critical portions of education are moving online, in tandem with the rest of our social experience. This new, educational online world readily can, and should be, built from the outset in a way that does not discriminate against those with disabilities,” said U.S. Attorney Carmen Ortiz. “Access to high quality education is one of the essential pillars of our democracy and to the well-being of our communities. This agreement ensures that those with disabilities will not be left behind.”
“MOOCs have the potential to increase access to high-quality education for people facing income, distance, and other barriers, but only if they are truly open to everyone. This landmark agreement is far-reaching in ensuring that individuals with disabilities will have an equal opportunity to independently and conveniently access quality higher education online” said Acting Assistant Attorney General Gupta. “edX is to be commended for working with the Justice Department to take such steps.”
edX was created by the Massachusetts Institute of Technology and Harvard University in 2012 as a nonprofit platform for select universities to offer MOOCs to the world. The consortium’s 36 charter members include University of California at Berkeley, Georgetown, Dartmouth, Caltech, the Sorbonne, and Peking University, in addition to Harvard and MIT. Today, edX has approximately 60 university and institutional members providing over 450 courses to over 3,000,000 learners. The courses are offered largely for free in subject matters as varied as business, computer sciences, hard sciences, food and nutrition, and social sciences.
Today’s agreement requires edX to make significant modifications to its website, platform, and mobile applications to conform to the Web Content Accessibility Guidelines (WCAG) 2.0 AA, which are industry guidelines for making web content accessible. Under the agreement, edX will also provide guidance and authoring tools to the entities that create and post courses on www.edx.org, many of which are independently covered by the ADA, to assist them in creating accessible course content. Because edX makes its software code freely available, any modifications to that code under this agreement will enable other MOOC providers to enhance the accessibility of their online offerings.
The four-year agreement requires edX to:
- make the edX website, its mobile applications, and learning management system software, through which online courses are offered, fully accessible within 18 months;
- ensure that its content management system, called Studio, which edX makes available to entities creating online courses, permits posting of accessible content;
- make its content management system fully accessible and equipped to create courses that are accessible to learners with disabilities within an additional 18 months;
- provide guidance to course creators at its member universities and other institutions on best practices for making online courses fully accessible;
- appoint a web accessibility coordinator;
- adopt a web accessibility policy;
- solicit feedback from learners on the accessibility of the courses;
- conduct web accessibility training for employees responsible for the website, platform, and mobile applications; and
- retain a consultant to evaluate conformance of the website, platform, and mobile applications.
Title III of the ADA prohibits discrimination on the basis of disability by public accommodations in the full and equal enjoyment of the goods, services, facilities, privileges, advantages, and accommodations of places of public accommodations. Title III of the ADA also requires public accommodations to take necessary steps to ensure individuals with disabilities are not excluded, denied services, segregated, or otherwise treated differently because of the absence of auxiliary aids and services, such as accurate captioning of audible materials and labeling of visual materials. The Justice Department has long considered Title III and its implementing regulation to apply to the online services and communications of public accommodations.
This case was handled by Assistant U.S. Attorney Stephen P. Heymann of Ortiz’s Civil Rights Enforcement Team, and Trial Attorneys Eugenia Esch, William F. Lynch, and Dov Lutzker of the Department of Justice’s Disability Rights Section of the Civil Rights Division.
To find out more about federal disability rights laws, call the Justice Department’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), or access its ADA website at www.ada.gov. ADA complaints, including those involving the inaccessibility of www.edx.org, may be filed by email to [email protected].
Two Queens, New York, Residents Charged with Conspiracy to Use a Weapon of Mass DestructionRead the Press Release
Defendants Allegedly Plotted to Construct an Explosive Device for Use in a Terrorist Attack on U.S. Soil
U.S. Attorney Loretta E. Lynch of the Eastern District of New York, Assistant Attorney General for National Security John P. Carlin, Assistant Director in Charge Diego G. Rodriguez of the FBI’s New York Field Office and Commissioner William J. Bratton of the New York City Police Department (NYPD) announced that earlier today, a criminal complaint was unsealed in federal court in the Eastern District of New York charging Noelle Velentzas and Asia Siddiqui with conspiracy to use weapons of mass destruction against persons or property in the United States. The defendants’ initial appearances are scheduled for this afternoon before U.S. Magistrate Judge Viktor V. Pohorelsky of the Eastern District of New York.
As alleged in the complaint, the defendants have repeatedly expressed their support for violent jihad. For instance, in or about 2009, Siddiqui published a poem in a magazine published by al-Qaeda in the Arabian Peninsula that exhorted readers to wage jihad and declared that there is “[n]o excuse to sit back and wait – for the skies rain martyrdom.” More recently, Velentzas, who has characterized al-Qaeda founder Usama Bin Laden as one of her heroes, declared that she and Siddiqui are “citizens of the Islamic State” – a reference to the foreign terrorist organization that is also known as Islamic State in Iraq and the Levant (ISIL). Less than two weeks ago, Velentzas, asked whether she had heard the news about the recent arrest of a former U.S. airman who had attempted to travel to Syria to wage jihad and stated that she did not understand why people were traveling overseas to engage in jihad when there were more opportunities of “pleasing Allah” in the United States.
Since at least August 2014, the defendants have allegedly plotted to construct an explosive device for use in a terrorist attack on American soil. In their self-proclaimed effort to “make history,” the defendants researched numerous explosive precursors. For instance, they researched and acquired some of the components of a car bomb, like the one used in the 1993 World Trade Center bombing; a fertilizer bomb, like the one used in the 1995 bombing of the federal building in Oklahoma City; and a pressure cooker bomb, like the one used in the 2013 Boston Marathon bombing. The investigation recently revealed that the defendants possessed propane gas tanks together with instructions from an online jihadist publication for transforming propane tanks into explosive devices.
“We are committed to doing everything in our ability to detect, disrupt and deter attacks by homegrown violent extremists,” said U.S. Attorney Lynch. “As alleged, the defendants in this case carefully studied how to construct an explosive device to launch an attack on the homeland. We remain firm in our resolve to hold accountable anyone who would seek to terrorize the American people, whether by traveling abroad to commit attacks overseas or by plotting here at home.” U.S. Attorney Lynch extended her grateful appreciation to the FBI’s Joint Terrorism Task Force, which comprises a large number of federal, state and local agencies from the region, as well as to the NYPD Intelligence Division, for their assistance in the investigation.
“Velentzas and Siddiqui are alleged to have researched how to construct bombs as part of their conspiracy to use a weapon of mass destruction on American soil,” said Assistant Attorney General Carlin. “Identifying and disrupting such threats to public safety, whether at home or abroad, is the number one priority of the National Security Division and our partners in the law enforcement and intelligence communities. I want to thank the agents, analysts and prosecutors who are responsible for today’s charges.”
“The defendants allegedly plotted to wreak terror by creating explosive devices and even researching the pressure cooker bombs used during the Boston Marathon bombing,” said Assistant Director in Charge Rodriguez. “We continue to pursue those who look to commit acts of terror and deter others who think they are beyond the reach of law enforcement. I’d like to thank Commissioner Bratton and the New York City Police Department for their partnership on this case and so many others.”
“These defendants allegedly engaged in sustained efforts to obtain bomb-making instructions and materials, including using instructions provided by al-Qaeda’s online magazine,” said Commissioner Bratton. “The work of the NYPD’s Intelligence Bureau, its undercover Detective, and the seamless collaboration with the Special Agents and Detectives of the Joint Terrorism Task Force and United States Attorney for the Eastern District should serve as a model for early detection and prevention of terrorist plotting.”
If convicted, both defendants face a maximum sentence of life imprisonment. The charges in the complaint are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being prosecuted by Assistant U.S. Attorneys Alexander A. Solomon, Douglas M. Pravda and Jennifer S. Carapiet of the Eastern District of New York, with assistance provided by Trial Attorney Clement McGovern of the Justice Department’s National Security Division.
Velentzas and Siddiqui Complaint
Velentzas Order to Unseal
Two Queens Residents Charged with Conspiracy to Use A Weapon of Mass DestructionRead the Press Release
Earlier today, a criminal complaint was unsealed in federal court in Brooklyn charging Noelle Velentzas and Asia Siddiqui with conspiracy to use a weapon of mass destruction against persons or property in the United States. The defendants’ initial appearances are scheduled for this afternoon before United States Magistrate Judge Viktor V. Pohorelsky at the U.S. Courthouse, 225 Cadman Plaza East, Brooklyn, New York.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; John P. Carlin, Assistant Attorney General for National Security; Diego G. Rodriguez, Assistant Director-in-Charge, Federal Bureau of Investigation (FBI), New York Field Office; and William J. Bratton, Commissioner, New York City Police Department (NYPD).
As alleged in the complaint, the defendants have repeatedly expressed their support for violent jihad. For instance, in or about 2009, Siddiqui wrote a poem in a magazine published by al-Qaeda in the Arabian Peninsula that exhorted readers to wage jihad and declared that there is “[n]o excuse to sit back and wait – for the skies rain martyrdom.” More recently, Velentzas, who has characterized al-Qaeda founder Usama Bin Laden as one of her heroes, declared that she and Siddiqui are “citizens of the Islamic State” – a reference to the foreign terrorist organization that is also known as Islamic State of Iraq and the Levant (ISIL). Less than two weeks ago, Velentzas, asked whether she had heard the news about the recent arrest of a former U.S. airman who had attempted to travel to Syria to wage jihad, stated that she did not understand why people were traveling overseas to engage in jihad when there were more opportunities of “pleasing Allah” in the United States.
Since at least August 2014, the defendants have allegedly plotted to construct an explosive device for use in a terrorist attack on American soil. In their self-proclaimed effort to “make history,” the defendants researched numerous explosive precursors. For instance, they researched and acquired some of the components of a car bomb, like the one used in the 1993 World Trade Center bombing; a fertilizer bomb, like the one used in the 1995 bombing of the federal building in Oklahoma City; and a pressure cooker bomb, like the one used in the 2013 Boston Marathon bombing. The investigation recently revealed that the defendants possessed propane gas tanks together with instructions from an online jihadist publication for transforming propane tanks into explosive devices.
“We are committed to doing everything in our ability to detect, disrupt, and deter attacks by homegrown violent extremists,” stated United States Attorney Lynch. “As alleged, the defendants in this case carefully studied how to construct an explosive device to launch an attack on the homeland. We remain firm in our resolve to hold accountable anyone who would seek to terrorize the American people, whether by traveling abroad to commit attacks overseas or by plotting here at home.” Ms. Lynch extended her grateful appreciation to the FBI’s Joint Terrorism Task Force, which comprises a large number of federal, state, and local agencies from the region, as well as to the NYPD Intelligence Bureau, for their assistance in the investigation.
“Velentzas and Siddiqui are alleged to have researched how to construct bombs as part of their conspiracy to use a weapon of mass destruction on American soil,” said Assistant Attorney General Carlin. “Identifying and disrupting such threats to public safety, whether at home or abroad, is the number one priority of the National Security Division and our partners in the law enforcement and intelligence communities. I want to thank the agents, analysts, and prosecutors who are responsible for today’s charges.”
FBI Assistant Director in Charge Rodriguez stated, “The defendants allegedly plotted to wreak terror by creating explosive devices and even researching the pressure cooker bombs used during the Boston Marathon bombing. We continue to pursue those who look to commit acts of terror and deter others who think they are beyond the reach of law enforcement. I’d like to thank Commissioner Bratton and the New York City Police Department for their partnership on this case and so many others.
“These defendants allegedly engaged in sustained efforts to obtain bomb-making instructions and materials, including using instructions provided by al-Qaeda’s online magazine,” said Police Commissioner Bratton. “The work of the NYPD’s Intelligence Bureau, its undercover Detective, and the seamless collaboration with the Special Agents and Detectives of the Joint Terrorism Task Force and United States Attorney for the Eastern District should serve as a model for early detection and prevention of terrorist plotting.”
If convicted, both defendants face a maximum sentence of life imprisonment. The charges in the complaint are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being prosecuted by the Office’s National Security & Cybercrime Section. Assistant United States Attorneys Alexander A. Solomon, Douglas M. Pravda, and Jennifer S. Carapiet are in charge of the prosecution, with assistance provided by Trial Attorney Clement McGovern of the Justice Department’s Counterterrorism Section.
The Defendants:
NOELLE VELENTZAS
Age: 28
ASIA SIDDIQUI
Age: 31
E.D.N.Y. Docket No. 15-M-303
Two Local Men Indicted on Federal Explosives and Weapons ChargesRead the Press Release
St. Louis, MO – OLAJUWON DAVIS and BRANDON ORLANDO BALDWIN were indicted on charges involving the conspiracy to maliciously damage and destroy, by means of explosives, a building, vehicle and other property and the illegal purchase of firearms at a local Cabela’s store. They were originally indicted in November on one felony count of making false written statements in connection with a firearms purchase. The additional charges in the superseding indictment were returned yesterday, April 1, 2015.
According to the indictment, between September 2014 and November 21, 2014, Davis and Baldwin conspired to obtain what they believed were explosives or bombs. The indictment states that on November 8, 2014, Baldwin stated that he wanted multiple bombs to use against people, buildings, vehicles and property. On November 12, 2014, both Davis and Baldwin viewed a recording of the detonation of an explosive or bomb. On November 18, 2014 Davis paid a deposit and agreed to purchase what he believed were three explosives or bombs. Days later, Davis and Baldwin traveled to a location where Davis took possession of items he believed were explosives or bombs. Both men were then arrested and have been in custody since that time.
Additionally, the indictment charges Davis and Baldwin with conspiring between September 2014, and November 21, 2014, to obtain firearms for other persons by making false and fictitious statements to a licensed firearms dealer, Cabela’s store in Hazelwood, Missouri. Baldwin claimed to be buying firearms for himself when they were really for other persons.
"The arrests last November of these two defendants, who are members of the St. Louis Chapter of the New Black Panther Party, prevented their alleged plot to carry out violent acts during the protests in Ferguson," said Special Agent in Charge William P. Woods of the FBI St. Louis Division.
Olajuwon Davis and Brandon Orlando Baldwin, both of St. Louis, were indicted by a federal grand jury on 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. If convicted, these charges carry penalties ranging from 5 to 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
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.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Two Evansville men charged with gun violationsRead the Press Release
Pair found with semi-automatic weapons to retaliate for an earlier shooting
PRESS RELEASE
Evansville – United States Attorney Josh J. Minkler today announced federal charges against two Evansville men for illegally possessing firearms. Austin Pam, 20, and Dugniqio Forest, 20, were charged by a federal grand jury in Evansville this week.
“My office has no tolerance for individuals who choose to break the law and illegally possess firearms,” said Minkler. “Making our neighborhoods safer by holding criminals accountable is a top priority.”
On January 18, 2015, Pam and Forest were passengers in a vehicle which was stopped by the Evansville Police Department. As EPD officers approached the vehicle, they observed a loaded semiautomatic SKS assault rifle in Pam’s lap and a Tec 9, 9 mm semi-automatic weapon on the floor of the vehicle where Forest was seated.
Law enforcement later learned that Pam and Forest, both alleged members of the “300 Wag Block” criminal street gang, had been at the C.K.Newsome Center, downtown Evansville earlier that day, when a fight broke out. Shots were fired inside the center and all parties fled. Pam and Forest allegedly armed themselves with the assault rifle and Tech 9 weapon to retaliate against rival gang members for the shooting.
Pam has prior felony convictions for possession of a controlled substance and resisting law enforcement. Forest has prior felony convictions for receiving stolen property and possession of cocaine.
This case was the result of an investigation by the Bureau of Alcohol Tobacco, Firearms and Explosives and the Evansville Police Department.
According to Assistant U.S. Attorney Mathew Brookman who is prosecuting this case for the government, both defendants face up to ten years in prison if convicted.
An indictment is only a charge and not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
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Twenty-Four Indicted for Trafficking Methamphetamine through East TexasRead the Press Release
BEAUMONT, Texas – U.S. Attorney John M. Bales announced today the indictment of 24 individuals who operated a major drug distribution ring and were responsible for trafficking methamphetamine to customers across the United States, including in the Eastern District of Texas.
Over the span of the conspiracy, this drug trafficking ring is alleged to have obtained over 150 kilograms of methamphetamine from numerous Mexican sources of supply for redistribution in Houston, Port Arthur, Texas, Southwest Louisiana, and other areas of the United States. During the investigation, officers recovered numerous stolen automobiles and other valuable property, which investigators allege was acquired by members of the drug trafficking ring in exchange for methamphetamine.
On Mar. 5, 2015, a federal grand jury returned a four-count sealed indictment charging 24 individuals with conspiring to possess with intent to distribute methamphetamine, possessing firearms in furtherance of a drug trafficking crime, and using facilities of interstate commerce to facilitate the interstate distribution of illegal narcotics. On Mar. 31, 2015, state and federal investigators began executing arrest warrants and at this time have successfully apprehended 21 defendants including:
- John Nealy Holt, 44, Houston, Texas
- Leslie Dianne Baron, 32, Houston, Texas
- Christopher Dean Inman, 41, Houston, Texas
- Eric Lazaro Castaneda, 38, Houston, Texas
- Carlos Eduvijis Rosales, 38, Houston, Texas
- Travis Alejandro Lyon, 34, Houston, Texas
- Gilbert Gomez, 37, Baytown, Texas
- Joshua Lee Lanman, 38, Jersey Village, Texas
- Albert Cardenas, Jr., 23, Houston, Texas
- Burton Paul Dupuy, 44, Shreveport, Louisiana
- Amado Tobar, 44, Dallas, Texas
- Joseph Louis Henning, 58, Houston, Texas
- Luis Fernando Garcia, 23, Port Arthur, Texas
- Gerardo Chavez, 38, Nederland, Texas
- Michael Broughton, 39, Port Arthur, Texas
- Shawn Key, 37, New Caney, Texas
- Taber Price, 39, Humble, Texas
- Britanny Danielle Beckham, 31, Hearne, Texas
- Ricardo Cortes Lozano, 44, Baytown, Texas
- Pablo Hernandez, 39, Houston, Texas
- Thurman Clevenger, 51, Houston, Texas
The identities of the remaining at-large defendants shall remain under seal until they are apprehended by authorities.
Count One of the March 2015 indictment alleges that from 2011 to March 2015, John Nealy Holt, Leslie Dianne Baron, Christopher Dean Inman, Eric Lazaro Castaneda, Carlos Eduvijis Rosales, Travis Alejandro Lyon, Gilbert Gomez, Joshua Lee Lanman, Albert Cardenas, Jr., Amado Tobar, Joseph Louis Henning, Luis Fernando Garcia, Gerardo Chavez, Michael Broughton, Shawn Dewayne Key, Taber Shawn Price, Britanny Danielle Beckham, Ricardo Cortes Lozano, Pablo Hernandez, and Thurman Lee Clevenger, all conspired to distribute methamphetamine in the Eastern District of Texas and elsewhere.
Counts Two and Three allege that on Sep. 10, 2014, John Nealy Holt, Leslie Dianne Baron, and Joshua Lee Lanman possessed numerous firearms during and in furtherance of the methamphetamine trafficking conspiracy.
Count Four alleges that on Aug. 21, 2014, John Nealy Holt and Burton Paul Dupuy used the mail and other facilities of interstate commerce to facilitate the distribution of methamphetamine.
The defendants all face a maximum sentence ranging from 20 years to life in federal prison if convicted of the methamphetamine conspiracy charge.
This case is the result of an extensive two and a half year joint investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. During the course of this operation, agents have successfully arrested over 38 individuals and have seized multi-kilogram quantities of methamphetamine, kilogram quantities of drug laced hallucinogen “gummy” candies, 22 firearms, over 400 lbs. of ammunition, and recovered 17 stolen automobiles, 5 stolen motorcycles, 2 stolen trailers, and hundreds of antiques.
This investigation was conducted by the U.S. Drug Enforcement Administration Beaumont Resident Office, the Port Arthur Police Department, and the Houston Police Department, with assistance from the Fort Worth, Texas and Shreveport, Louisiana DEA Resident Offices, the Bureau of Alcohol, Tobacco, Firearms and Explosives, Internal Revenue Service-Criminal Investigation, U.S. Immigration and Customs Enforcement/Homeland Security Investigations, U.S. Customs and Border Patrol, U.S. Marshals Service, Texas Department of Public Safety, the Harris, Montgomery, Waller, and Jefferson County (Texas) Sheriff’s Offices, Montgomery County Pct. 4 and Pct. 1 Constable’s Office, and the police departments of Baytown, Humble, Oak Ridge North, Port Neches, and Groves, Texas. This case is being prosecuted by Assistant U.S. Attorney Baylor Wortham.
A grand jury indictment is not evidence of guilt and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Trio Sentenced on Narcotics and Firearms ChargesRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that Bradford Harden, aged 44, Kristopher Carver, aged 27, and Kayla Price, aged 26, were sentenced on March 31, 2015 by the Honorable Clay D. Land, Chief U.S. District Court Judge, in Columbus, Georgia. All three reside in Columbus, Georgia.
Mr. Carver pled guilty on December 8, 2014, to conspiracy to possess with intent to distribute Methamphetamine and possession of a firearm while committing a drug trafficking crime. He received a sentence of 15 years (190 months) in prison.
Ms. Price entered a plea of guilty to possession with intent to distribute Methamphetamine on December 8, 2014. The Court sentenced her to 100 months in prison.
As a part of their plea agreements, Mr. Carver and Ms. Price admitted that on June 6, 2013, members of the Columbus Police Department’s Special Operations Unit received a tip that the pair was selling Methamphetamine from an extended stay hotel room in Columbus. Subsequent surveillance of the hotel revealed Mr. Carver and Ms. Price entering the hotel room carrying a silver and black case. Other individuals were then observed coming to and going from the room after staying for only a short time. One individual was stopped and arrested for possession of Methamphetamine. A search of the hotel room produced 3 firearms, a digital scale, a glass smoking device, numerous cell phones, residual amounts of suspected Methamphetamine and assorted documents containing what appeared to be drug transactions. The silver and black case was found in a vehicle in which Ms. Price attempted to leave the scene. It contained $1000 in cash, an assortment of pills, and approximately 165 grams of suspected Methamphetamine. A test conducted by the Drug Enforcement Administration (DEA) confirmed the substance to be Methamphetamine (a.k.a., “ice”) with a purity of 98.8%. Mr. Harden was arrested during this investigation with 28.5 grams of suspected Methamphetamine in his pocket that was later tested by the DEA laboratory and confirmed to be positive for Methamphetamine with a purity of 95.8%.
Mr. Harden entered a guilty plea on December 8, 2014, to a superseding information alleging possession of Methamphetamine with intent to distribute and possession of a firearm while committing a drug trafficking crime. He was sentenced to serve 130 months in federal prison.
While out on bond for the June 6, 2013, offense detailed above, law enforcement received a tip that Mr. Harden was selling Methamphetamine. Further investigation ultimately developed sufficient probable cause for a search of his residence.
A small amount of Methamphetamine was found on Mr. Harden’s person. The search of the residence discovered a safe that contained 41 grams of suspected Methamphetamine and a pistol. Mr. Harden admitted to owning the safe and its contents. This substance was tested by the DEA lab and confirmed to be positive for Methamphetamine (a.k.a. “ice”) with a purity of 100%.
“Methamphetamine use and distribution continue to plague many areas in the Middle District of Georgia. We will continue to work with our local partners, like the Columbus Police, to stop the supply of this poison into our communities. The dealers will find that there is no real customer base in federal prison,” said U.S. Attorney Michael Moore.
“ATF’s involvement in securing these sentences is a prime example of the successful use of federal laws to confront, engage and eliminate criminal activity,” said ATF Special Agent in Charge Carl Walker. “Criminals must understand that there are serious repercussions for illegal trafficking of narcotics and illegal possession of firearms and that ATF in concert with our Federal and local law enforcement partners will contribute all necessary time and effort to ensure criminals are brought to justice.”
The cases were investigated by the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Columbus Police Department. Assistant United States Attorney Crawford Seals prosecuted the case for the Government.
Questions concerning this case should be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603.
Three Indicted on Firearms ChargesRead the Press Release
FRESNO, Calif. — A federal grand jury has returned separate indictments today against three individuals who have previously been convicted of a felony, charging each with federal firearm offenses, United States Attorney Benjamin B. Wagner announced.
Dionicio Ramirez 28, of Fresno, was charged with one count of being a felon in possession of handgun and one count of being a felon in possession of ammunition. According to court documents, on March 24, 2015, Ramirez shot at an occupied vehicle and then drove away in his truck. When officers stopped Ramirez, he threw a Springfield Armory magazine loaded with 9mm ammunition out of the window, and a loaded 9mm handgun was found inside the truck. A 9mm casing was found at the scene of the shooting.
James Ernest Johnson, 26, of Fresno, was charged with three counts of being a felon in possession of a firearm. According to court documents, on three occasions between June 2014 and March 26, 2015, during traffic stops, police found a loaded firearm and narcotics hidden in a vehicle that Johnson was driving.
Jose Cuellar, 37, of Mexico, was charged with being a felon in possession of a loaded shotgun. According to court documents, on March 23, 2015, Fresno Police Department officers encountered Cuellar and saw the stock of a shotgun sticking out of the waistband of his pants. Cuellar reached for the firearm, and after a struggle, officers gained control of the firearm and arrested him.
These cases are the product of investigations by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the United States Marshal’s Service (USMS), the Fresno Police Department, the California Highway Patrol, and the Fresno County Sheriff’s Office. The cases are part of Project Safe Neighborhoods, which is a joint initiative to combat gang and gun violence. Assistant U.S. Attorney Kimberly Sanchez is prosecuting the cases.
If convicted, Ramirez faces 15 years to life in prison and a $250,000 fine on each count, Johnson faces up to 10 years in prison a $250,000 fine on each of the three counts, and Jose Cuellar faces up to 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of statutory factors and the Federal Sentencing Guidelines. The charges are allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Suspended North Side Pharmacist Pleads Guilty to Trafficking Counterfeit ViagraRead the Press Release
CHICAGO — A suspended Chicago pharmacist today admitted to illegally obtaining counterfeit Viagra and Cialis from China and illegally dispensing the bogus medications at his north side pharmacy. The defendant, MICHAEL MARKIEWICZ, who owns Belmont Pharmacy, 6148 West Belmont, pled guilty to trafficking counterfeit Viagra from his pharmacy between 2010 and 2012. United States District Court Judge John Z. Lee scheduled sentencing for July 8, 2015.
The Illinois Department of Professional Regulation suspended Markiewicz’ pharmacist license and revoked the license of Belmont Pharmacy in November 2012. The store continues operating as a nutrition and herb retailer.
Markiewicz, 38, of Norridge, was charged in April 2013 with eight counts of violating the federal Food, Drug and Cosmetic Act; four counts of trafficking in counterfeit drugs or goods using a counterfeit mark; and three counts of smuggling, in a 15-count indictment. A superseding indictment was returned in March 2015 by a federal grand jury. Defendant Markiewicz pled guilty today to Count One and Count Five of the superseding indictment, trafficking and attempting to traffic in counterfeit Viagra and holding for sale and dispensing counterfeit Viagra.
The plea was announced today by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; John J. Redmond,Special Agent-in-Charge of the Food and Drug Administration’s Office of Criminal Investigations; and Tony Gomez, Inspector-in-Charge of the U.S. Postal Inspection Service in Chicago.
According to the plea agreement, between 2010 and 2012, via the Internet, Markiewicz ordered approximately 1600 counterfeit Viagra and Cialis tablets from China. The customs declaration on each outer packaging stated that it contained a “gift pen,” and the counterfeit drugs were hidden in unlabeled clear plastic baggies underneath the pen in the package. Markiewicz then sold the counterfeit drugs at his pharmacy to customers who had sought to purchase the medications without a prescription.
Trafficking counterfeit drugs carries a maximum penalty of 20 years in prison and a $5 million fine, and violating the federal Food, Drug and Cosmetic Act carries a maximum sentence of three years in prison and a $250,000 fine. The Belmont Pharmacy is subject to forfeiture.
The government is being represented by Assistant U.S. Attorneys Samuel B. Cole and Eric S. Pruitt.
Store Owner Sentenced to Prison for Food Stamp FraudRead the Press Release
PHILADELPHIA - Dewey McNair, 54 of Philadelphia, PA, was sentenced yesterday to 21 months in prison for illegally exchanging food stamp benefits for cash at his West Philadelphia fish store, Bottom of the Sea. Dewey McNair is the owner of Lancaster Avenue Seafood Inc., which operated a seafood store called Bottom of the Sea. McNair has admitted that, over the fourteen month period from October 2011 through November 2012, he paid cash to Supplemental Nutrition Assistance Program benefits ("SNAP") recipients in exchange for benefits, knowing that to do so was illegal..
In addition to the prison term, United States District Judge Berle M. Schiller ordered McNair to pay restitution of $120,000 to the United States Department of Agriculture's Food and Nutrition Services.
The case was investigated by the United States Department of Agriculture Office of Inspector General and prosecuted by Assistant United States Attorney Elizabeth Abrams.
Stockton Man Sentenced to over 7 Years in Prison on Federal Firearm ChargesRead the Press Release
SACRAMENTO, Calif. — Austin Reed, 42, of Stockton, was sentenced today by United States District Judge Morrison C. England Jr. to seven years and eight months in prison for being a felon in possession of a firearm, United States Attorney Benjamin B. Wagner announced.
According to court documents, on November 16, 2012, officers attempted to make contact with Reed in Stockton. Reed ran from the officers and while in flight, threw an assault-style firearm from his person. The officers recovered the firearm, a 9mm pistol, with 25 live rounds in an extended magazine.
“This sentencing demonstrates ATF’s efforts in pursuing convicted felons and seizing firearms, and ultimately preventing impending violent acts from occurring in our neighborhoods,” stated Joseph M. Riehl Special Agent in Charge. “ATF and our partners will not surrender to those who are a threat to our communities and cannot lawfully possess a firearm.”
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms, & Explosives, the Stockton Police Department, and the San Joaquin District Attorney’s Office. Assistant United States Attorney Olusere Olowoyeye prosecuted the case.
Squirrel Hill Man Who Attempted to Obtain A Passport Indicted for Contempt of CourtRead the Press Release
PITTSBURGH - A resident of Allegheny County, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of Contempt of Court, United States Attorney David J. Hickton announced today.
The one-count indictment named Dov Ratchkauskas, 48, as the sole defendant.
In 2011, the Court released the defendant on conditions of bond in connection with a mortgage fraud prosecution. The conditions of release required him to turn in his passport, not obtain another passport, and prohibited him from traveling outside the Western District of Pennsylvania. According to the Indictment, from in and around December of 2014 to in and around February of 2015, Ratchkauskas violated those conditions of his release by travelling outside of the Western District of Pennsylvania and by attempting to obtain a passport.
Under the Federal Sentencing Guidelines, the sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The United States Secret Service and the Criminal Investigation Division of the Internal Revenue Service 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.
Springfield Woman Indicted for Meth after High-Speed Chase in Osage BeachRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., woman was indicted by a federal grand jury today for possessing methamphetamine for distribution, following a high-speed police chase in Osage Beach, Mo.
Stacy Renae Merrell, 28, of Springfield, was charged in an indictment returned by a federal grand jury in Jefferson City, Mo.
Today’s indictment alleges that Merrell was in possession of methamphetamine with the intent to distribute on Feb. 19, 2015. The federal indictment also contains a forfeiture allegation, which would require Merrell to forfeit to the government any property derived from the proceeds of the alleged offense, including $12,557 that was seized by law enforcement officers.
Merrell was arrested on Feb. 19, 2015, when she allegedly refused to stop for an Osage Beach, Mo., police officer. The officer observed Merrell driving a BMW X5 SUV on U.S. Highway 54 near the Grand Glaize Bridge in Osage Beach. The officer activated his emergency lights, but Merrell refused to stop and allegedly led police in a pursuit that exceeded 100 miles per hour. Merrell exited U.S. Highway 54 at the Highway 242 exit in Miller County, Mo., and crashed through a metal gate. Her vehicle went down an embankment and crashed. Merrell ran from the vehicle but fell through a partially frozen pool of water and was completely submerged. Merrell pulled herself out of the water and surrendered to police officers.
During a search of Merrell’s vehicle, officers found a large bundle of $100 bills totaling $10,000 in the glove box and two plastic bags containing a total of 244 grams of methamphetamine on the passenger floor board inside a nylon bag.
Dickinson cautioned that the charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Special Assistant U.S. Attorney Stuart J. Zander. It was investigated by the U.S. Drug Enforcement Administration, the Osage Beach, Mo., Police Department, the Lake Ozark, Mo., Police Department, the Missouri State Highway Patrol and the Mid-Missouri Drug Task Force.
Spencerport Teacher Arrested on Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Charles Kane, 46, of Spencerport, NY, was arrested and charged by criminal complaint with enticement of a minor to engage in sexual activity. The charge carries a mandatory minimum penalty of 10 years, a maximum of life, a $250,000 fine or both.Assistant U.S. Attorney Melissa M. Marangola, who is handling the case, stated that the defendant was arrested today as he attempted to meet with a person he thought was a 14 year old girl. Kane, a middle school teacher in the Rochester area, had in his possession a box of condoms, according to the complaint.
The complaint further indicates that in October 2014, the defendant posted an ad on Craigslist which read “daddy/daughter. Love younger women.” A law enforcement officer, working in an undercover capacity, posed as the father of a young daughter and conversed with Kane online for the next several months.
On January 26, 2015, another undercover officer noticed a sexually explicit ad on Craigslist which was traced back, once again, to the defendant. The officer responded to the ad in the persona of a 14 year old girl. Kane responded “down with it.” The defendant asked the girl where she lived and said he wanted to meet her. The two remained in contact through March of 2015. During online chats, Kane sent the officer photos of himself and repeatedly asked for photos of the 14 year old girl. Also during the chats, the defendant repeatedly discussed engaging in sexually explicit activity with the child and traveling to and meeting with the child for sexual purposes. One message read “I could get a room and I could sneak you there.” Kane acknowledged that he could het in “big trouble” and told the girl “this is between you and me.”
Following repeated requests, the girl agreed to meet the defendant at a theatre in Webster on April 2, 2015.
The criminal complaint is the culmination of an investigation by the New York State Police, under the direction of Major Craig Hanesworth and the Federal Bureau of Investigation Child Exploitation Task Force.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Seven Suspects Arrested in West Tennessee on Federal Drug Trafficking ChargesRead the Press Release
Jackson, TN – A task force made up of special agents with the Drug Enforcement Administration, Federal Bureau of Investigation, U.S. Marshals Service, Department of Homeland Security, Immigration Customs and Enforcement, Bureau of Alcohol, Tobacco, Firearms and Explosives, and state and law enforcement officials with the Tennessee Bureau of Investigation, the Tennessee Highway Patrol, West Tennessee Drug Task Force, Jackson Madison-County Metro-Narcotics, Madison County Sheriff’s Department, and the Jackson Police Department arrested seven people in an early morning round-up today on federal drug trafficking charges.
This morning’s arrests are the result of a year-long investigation in which law enforcement officials have seized kilograms of cocaine and/or crack cocaine.
A federal grand jury in Jackson, TN returned the indictments on March 23, 2015, but they remained under seal until today’s arrests. Each indictment contained counts alleging violations of the Controlled Substances Act.
The suspects arrested during the operation were:
•Omar Ramirez,45, of Madison County
•Lee Patterson, 43, of Madison County
•Patrick Williamson, 40, of Madison County
•Santayan Deon Mayberry, 38, of Madison County
•Sharn Milan, 35, of Madison County (already in federal custody)
•Charles Miller, 40, of Gibson County
•Armondo Orta, 47, of Madison County
The charges in the indictment stem from the defendants’ participation in a conspiracy to distribute and to possess with intent to distribute cocaine and crack cocaine.
Law enforcement officials seized over three kilos of cocaine, six ounces of crack cocaine, over $180,000 in cash and 10 vehicles in this morning’s round-up.
The case was investigated by members of the DEA Jackson Post of Duty, Tennessee Bureau of Investigation, Tennessee Highway Patrol, Jackson Madison County Metro Narcotics Unit, Madison County Sheriff’s Office, Jackson Police Department and the West Tennessee Drug Task Force. The government’s case is being prosecuted by Assistant United States Attorney Beth Boswell.
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The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Serial Bank Robber Sentenced to 10 YearsRead the Press Release
Tampa, Florida – United States District Judge Mary S. Scriven has sentenced Matthew Donald Lynch Maxwell (29, Tampa) to 10 years in federal prison for a series of bank robberies. As part of his sentence, the Court also entered a money judgment in the amount of $123,315, the proceeds of the charged criminal conduct. Maxwell pleaded guilty on December 16, 2014.
According to court documents, beginning on November 2, 2013, and continuing until June 21, 2014, Maxwell robbed 10 federally insured banks in the State of Florida. Throughout the course of the robberies, he stole the banks’ money through force, violence, and by means of intimidation, including restraining bank tellers by duct taping their hands behind their backs, telling bank tellers that he would detonate a bomb if his demands were not met, and pepper spraying a witness who followed him out of a bank. In an effort to evade investigators, Maxwell frequently changed his modus operandi. For example, he used several disguises, including an Albert Einstein Halloween mask and a full body painter’s suit. Maxwell also spoke in different accents when robbing the banks and utilized several different getaway vehicles.
This case was investigated by the Federal Bureau of Investigation, the Sarasota County Sheriff’s Office, the Hillsborough County Sheriff’s Office, the Tampa Police Department, the Clearwater Police Department, and the Pinellas County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Carlton C. Gammons.
Sentencings for March 30 - April 2, 2015Read the Press Release
Camala Peterson, 40, of Torrington, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on April 2, 2015, for conspiracy to distribute 50 grams or more of methamphetamine. Peterson was arrested in Torrington, Wyoming. She received 41 months imprisonment, to be followed by four years of supervised release and was ordered to pay a $300.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.
Shane Martinez, 34, of Lyons, Colorado, was sentenced by Federal District Court Judge Alan B. Johnson on April 1, 2015, for distribution of heroin resulting in death. Martinez was arrested in Weld County, Colorado. He received 96 months imprisonment, to be followed by 10 years of supervised release, and was ordered to pay a $900.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.
Brenda Barnes, 52, of Torrington, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on April 1, 2015, for conspiracy to distribute 50 grams or more of methamphetamine. Barnes was arrested in Cheyenne, Wyoming. She received 41 months imprisonment, to be followed by four years of supervised release and was ordered to pay a $400.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.
Steven Ruth, 39, of Issaquah, Washington, was sentenced by Federal District Court Judge Alan B. Johnson on April 1, 2015, for conspiracy to distribute 50 grams or more of methamphetamine. Ruth was arrested in Gillette, Wyoming. He received 120 months imprisonment, to be followed by five years of supervised release and was ordered to pay a $900.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.
Meredith Fossey, 34, of Green River, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on March 31, 2015, for conspiracy to distribute at least 500 grams of methamphetamine. Fossey was arrested in Rock Springs, Wyoming. She received 121 months of imprisonment, to be followed by five years of supervised release, and was ordered to pay a
$900.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.Tyelure Schroeder, 25, of Lyman, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on March 31, 2015, for possession of child pornography. Schroeder was arrested in Lyman, Wyoming. He received 24 months imprisonment, to be followed by five years of supervised release, and was ordered to pay a $300.00 fine and a $100.00 special assessment. This case was investigated by the Federal Bureau of Investigation and the Wyoming Division of Criminal Investigation Internet Crimes Against Children Task Force.
Emiliano Martinez, 30, of Torrington, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on March 31, 2015, for possession of a short-barreled shotgun not registered in the National Firearms Registration and Transfer Record. Martinez was arrested in Torrington, Wyoming. He received 120 months imprisonment, to be followed by three years of supervised release, and was ordered to pay a $500.00 fine and a $100.00 special assessment. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Robert Lynn Harris, 47, of Gillette, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on March 30, 2015, for possession of child pornography. Harris was arrested in Gillette, Wyoming. He received 120 months imprisonment, to be followed by a lifetime of supervised probation, and was ordered to pay a $900 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation Internet Crimes Against Children Task Force.
Seacoast Man Pleads Guilty to Serial Loan Fraud and Stolen Valor ChargesRead the Press Release
CONCORD, NEW HAMPSHIRE – Christopher Jordan Bailey, 28, of Brentwood pled guilty in United States District Court for the District of New Hampshire to charges of bank fraud, false statements on a loan application and stolen valor, announced United States Attorney John P. Kacavas.
The bank fraud and false loan application charges arose from Bailey’s submissions of false information to a series of nine banks and government agencies to induce them to grant, extend or modify agricultural-related loans. The stolen valor charge arose from false claims Bailey made to the effect that he had served in the U.S. Marine Corps and been awarded a Purple Heart, Silver Star and combat action ribbon, for the purpose of inducing the financial institutions to approve his loan applications.
Bailey faces a maximum term 30 years in prison on each of the bank fraud and false statement charge and 1 year on the stolen valor charge. Sentencing is scheduled for July 28, 2015.
This case was investigated by the Manchester, N.H., Field Office of the U.S. Secret Service and the U.S. Department of Agriculture, Office of Inspector General, with the assistance of the Portsmouth (N.H.) Police Department. The case is being prosecuted by Assistant U.S. Attorney Bill Morse.
Sacramento Man Pleads Guilty to Possession of Child PornographyRead the Press Release
SACRAMENTO, Calif. — Four days before a trial was set to begin, Robert M. Schaefer, 68, of Sacramento, pleaded guilty today to possession of child pornography, United States Attorney Benjamin B. Wagner announced.
According to court documents, from 2001 to 2010, Schaefer uploaded thousands of images of children being sexually exploited, including children under 10, to various file‑sharing websites. He would surf the Internet looking for people seeking particular types of photos, which he would then share from his extensive collection. His computers were seized once by the Sacramento Police Department in 2006, but Schaefer rebuilt his pornography collection and began collecting and sharing the materials again. The FBI seized his computers again on 2010 after the German Federal Police provided a tip that Schaefer had recently been uploading child pornography to a file-sharing site there.
This case is the product of an investigation by the Federal Bureau of Investigation, the Sacramento Internet Crimes against Children Task Force, and the Sacramento Police Department. Assistant United States Attorneys Matthew G. Morris and Brian A. Fogerty are prosecuting the case.
Schaefer is scheduled to be sentenced by Judge Morrison C. England Jr. on June 25, 2015. Schaefer faces a maximum statutory penalty of 10 years in prison and a $250,000 fine on each of the two counts. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about Internet safety education.
Saco Man Sentenced to over a Year in Jail for Money LaunderingRead the Press Release
Contact: Daniel J. Perry
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Michael Paul, Jr., 45, of Saco, Maine, was sentenced on Tuesday in U.S. District Court by Judge George Z. Singal to one year and one day in prison to be followed by three years of supervised release for money laundering conspiracy. He pled guilty to the charge on April 1, 2014.
According to court records and proceedings, from August 2011 through October 2013, David Jones obtained hundreds of pounds of marijuana from an out-of-state source and distributed it in Maine. Paul laundered about $39,000 in drug proceeds belonging to Jones by putting the funds through Paul’s business, Michael Paul Foundations, and by purchasing a truck in Paul’s name using drug proceeds and then transferring the truck to Jones.This case results from a joint investigation conducted by the U.S. Drug Enforcement Administration, the Federal Bureau of Investigation, the Portland Police Department and the ongoing effort of the Organized Crime Drug Enforcement Task Forces (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Penobscot Man Sentenced to 7½ Years for Possessing Child PornographyRead the Press Release
Contact: Andrew McCormack
Assistant United States Attorney
Tel: (207) 945-0373
Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that Kevin Lee Ross, 52, of Penobscot, Maine, was sentenced today in U.S. District Court by Judge John A. Woodcock, Jr. to 7½ years in prison to be followed by five years of supervised release for possessing child pornography. Ross was found guilty after a jury trial on October 21, 2014.
Court proceedings revealed that in July 2011 a search warrant was executed at the defendant’s residence in Penobscot. The defendant was the only person at the residence at that time. Agents found a child pornography video playing on one of the defendant’s computers. A forensic examination of computers seized from the residence revealed thousands of images and hundreds of videos of child pornography.
The investigation was conducted by the U.S. Postal Inspection Service and the Maine State Police Computer Crimes Unit.
Orlando Man Sentenced to 10 Years for Felony Gun PossessionRead the Press Release
Orlando, Florida – Chief U.S. District Judge Anne C. Conway today sentenced Eric Emmanuel Reynolds (31, Orlando) to 10 years in federal prison for being a felon in possession of a firearm. Reynolds pleaded guilty on January 16, 2015.
According to court documents, during an undercover investigation in 2014, Reynolds sold drugs and guns to a confidential informant on three separate occasions. When law enforcement officers executed a search warrant at Reynold’s residence, they discovered several different types of drugs and guns in his possession. At the time of the incident, Reynolds had several previous felony convictions for gun and drug crimes. As such, he was prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation and the Orlando Police Department. It was prosecuted by Assistant United States Attorney Embry J. Kidd.
Odessa Man Sentenced to Ten Years in Federal Prison for Coercion and Enticement of a MinorRead the Press Release
In Midland today, United States District Judge Robert A. Junell sentenced 24–year-old Mitchell Stephen Dailey of Odessa to ten years in federal prison followed by ten years of supervised release for coercion and enticement of a minor announced Acting United States Attorney Richard L. Durbin, Jr.
On January 14, 2015, Dailey pleaded guilty to one count of enticing a minor female to engage in sexual activity. By pleading guilty, Dailey admitted that, as an Odessa Police Department academy recruit, he engaged in sexual activity on four or five occasions in June 2014 with a 15-year-old girl, who was enrolled in the Police Athletic League (PAL) program. PAL is a six-week-long summer camp where police officers oversee, mentor, and instruct sporting events, teamwork and leadership activities for area youth. Dailey further admitted that he sent the child sexually explicit photographs via text message, Kik, Snapchat, and Vine.
Dailey has remained in custody since his arrest on July 8, 2014.
This case was investigated by the Texas Rangers and prosecuted by Assistant United States Attorney Austin Berry.
Ocala Cocaine Trafficker Sentenced to 10 Years for Distributing Cocaine and Money LaunderingRead the Press Release
Ocala, Florida – Senior U.S. District Judge Wm. Terrell Hodges has sentenced James Bryan Swoll, a/k/a “Squid,” (37, Ocala) to 10 years in federal prison for distributing five kilograms or more of cocaine and money laundering. He was also ordered to forfeit $350,000 worth of real property that was traceable to the offenses. Swoll pleaded guilty in November 2014.
According to court documents and evidence presented at the sentencing hearing, Swoll had a long-time source for large quantities of cocaine in South Texas and Matamoros, Mexico. For more than seven years, he obtained cocaine from Rolando Pinon and then redistributed the multi-kilogram amounts to other large-scale drug traffickers in the Ocala area. Pinon employed a series of drivers, including Jose Manuel Tovar, to drive the cocaine from south Texas to Ocala. Swoll received profits of approximately $5,000 per kilogram of cocaine sold. Swoll also distributed six kilograms of cocaine, via a broker, to another large-scale cocaine dealer in the Ocala area and received $211,500 in cash.
Swoll laundered his drug proceeds to purchase a home in the Ocala area. The closing documents revealed that one of Swoll’s associates appeared at the closing and titled the home in his name. Swoll provided the cash for the closing.
Pinon pleaded guilty for his role in this case and was sentenced to 18 years and 6 months in federal prison. He was also ordered to forfeit more than $1.2 million in cash and property. Tovar also pleaded guilty and was sentenced to six years in federal prison.
This case is another prosecution in the Organized Crime Drug Enforcement Task Force (OCDETF) Operation Wind Sock. The case was investigated by the Drug Enforcement Administration and the Internal Revenue Service - Criminal Investigation, with assistance from the Unified Drug Enforcement Strike Team, which is comprised of narcotics agents from the Ocala Police Department and the Marion County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney A. Tysen Duva.
The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation's drug supply.
Nine More Lottery Scam Defendants SentencedRead the Press Release
Contact Person: Eric Klumb (843) 727-4381
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that nine more defendants were sentenced for their roles in a bogus lottery scam that targeted elderly victims around the country, by notifying them that they had won a lottery or sweepstakes, but needed to pay fees or taxes in advance in order to receive their winnings. A total of 18 individuals were indicted in the case; three other defendants had previously been sentenced. United States District Judge R. Bryan Harwell, of Florence, citing the devastating impact on the more than 150 victims of the scam, imposed the following prison terms: Wayne Duffus, 30, of Little River, 156 months; LeGrant Allen, 30, of Charlotte, NC, 15 months; Lorenzo Samuels, 28, of Riverdale, Georgia, 24 months; Denisha Robinson, 27, of Little River, 21 months; Johnte Vereen, 32, of Conway, 19 months; Cameo West, 27, of Little River, 5 months plus 5 months home detention; Jaclyn Freeman, 24, of Little River, 6 months plus 6 months home detention; Kimesha Lewis, 28, of Wilkesboro, NC, 5 months plus 5 months home detention; and Damion McLeish, 34, of North Myrtle Beach, 15 months. Each was ordered to pay restitution in the amount of $839,827.The case was investigated by Special Agents with Homeland Security Investigations (HSI) and Inspectors with the United States Postal Inspection Service (USPIS). Assistant United States Attorneys A. Bradley Parham and Eric Klumb are prosecuting the case.
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New York Doctor Admits Taking Bribes in Test-Referral Scheme with New Jersey Clinical LabRead the Press Release
NEWARK, N.J. – A doctor with a practice in Rockville Centre, New York, today admitted 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.
Brett Halper, 41, of Glen Head, New York, pleaded guilty before U.S. District Judge Stanley R. Chesler in Newark federal court to an information charging him with one count of accepting bribes.
Including Halper, 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 $10.5 million to date through forfeiture.
According to documents filed in this and related cases and statements made in court:
Halper admitted that from January 2011 through April 2013, he accepted bribes in return for referring patient blood specimens to BLS and was often paid in excess of $5,000 per month. Halper’s referrals generated approximately $2,900,000 in lab business for BLS.
The bribery count to which Halper pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for June 30, 2015.
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 Assistant U.S. Attorney Joseph N. Minish, Senior Litigation Counsel Andrew Leven, and Jacob T. Elberg, Chief of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark, as well as Assistant U.S. Attorney Barbara Ward 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: Marc Agnifilo Esq., New York