Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
23 April 2015
Wyoming Man Sentenced for Assaulting A Federal OfficerRead the Press Release
U.S. Attorney for the District of Wyoming Christopher A. Crofts announced today that on April 23, 2015, Jakota Allen Wolfname, a 24 year old Northern Arapaho Tribal Member, was sentenced for forcibly resisting and interfering with a federal officer in connection with an incident on February 10, 2014, involving the Defendant assaulting a Bureau of Indian Affairs Officer while the officer was attempting to lawfully arrest the Defendant, and having physical contact with the officer during the assault. Wolfname was sentenced by U.S. District Judge Scott Skavdahl to 24 months imprisonment, three years of supervised release, no fine and a $100.00 special assessment. Wolfname was also ordered to pay $819.00 in restitution for some of the officer’s medical costs associated with the injuries he sustained during the assault. This case was investigated by the Federal Bureau of Investigation with the assistance of the Bureau of Indian Affairs.
West Haven Man Admits to Bribing Former Executive of the West Haven Housing AuthorityRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that CEASAR ANQUILLARE, 87, of West Haven, waived his right to indictment and pleaded guilty yesterday before U.S. District Judge Michael P. Shea in Hartford to paying nearly $300,000 in bribes to the former Executive Director of the West Haven Housing Authority in exchange for government contracts and business.
According to court documents and statements made in court, Michael Siwek was the executive director of the West Haven Housing Authority (“WHHA”), an agency that received federal funding. As parties of his duties, Siwek had substantial discretion over awarding WHHA business and contracts. From about February of 2007 through February of 2012, Siwek knowingly received bribes from individuals, including ANQUILLARE, in order to award them business with WHHA and the entities that the housing authority controlled. SIWEK received approximately $1.5 million in bribes, with about $290,000 coming from ANQUILLARE in connection with accounting services that ANQUILLARE’s firm provided to the WHHA.
ANQUILLARE pleaded guilty to one count of conspiracy to commit bribery in connection with a program receiving federal funds, which carries a maximum term of imprisonment of five years. Judge Shea has scheduled sentencing for July 15, 2015. As part of his plea, ANQUILLARE has agreed to restitution in the amount of $ 291,033.91.
On September 4, 2014, Siwek pleaded guilty to related charges and awaits sentencing.
U.S. Attorney Daly stated that the investigation is ongoing.
This matter is being investigated by the U.S. Department of Housing and Urban Development – Office of Inspector General, the Federal Bureau of Investigation, and Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Sarah Karwan.
Wapato Man Who Instigated Drive by Shooting Sentenced to 10 Years ImprisonmentRead the Press Release
Spokane – Today, Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Adan Roberto Cortes, age 22, was sentenced to 10 years imprisonment for his involvement in a gang related drive by shooting. United States District Judge Salvador Mendoza, Jr., sentenced the Defendant to 10 years imprisonment, to be followed by 3 years of court supervision upon release from Federal prison.
According to information disclosed during the court proceedings, sometime in early 2014, unknown persons fired gun shots at the residence of Adan Roberto Cortes ("Cortes.") On March 21, 2014, Cortes and three other individuals engaged in target shooting. The men consumed a great deal of alcohol and ingested marijuana. Cortes wanted to seek revenge for the prior shooting. The four men decided to look for Sureno gang members. The four men wanted to prove their loyalty to the Norteno street gang. Cortes was armed with a .22 caliber pistol and a 9 millimeter pistol. The four men entered the Yakama Nation and drove around a residential housing area looking for a 14 year old rival gang member. At approximately 5:00 p.m., the men spotted someone whom they believed to be a rival gang member. Cortes provided the .22 caliber firearm to an accomplice. The Defendant encouraged his accomplice to fire several shots. The shooter fired eight rounds and mistakenly hit a young child who was playing outside. As they sped away, the Defendant and others began yelling gang slurs. A neighbor observed the shooting and immediately contacted the police. A short time later, police observed the suspect vehicle and all four men were arrested.
Michael C. Ormsby said, "Gang related violence will not be tolerated in the Eastern District of Washington. The United States Attorney’s Office is dedicated to seeking lengthy prison sentences for anyone involved in such horrific acts of violence."
The investigation was conducted by the Federal Bureau of Investigation, the Yakama Nation Tribal Police Department, the Yakima County Sheriff’s Office, and the Washington State Patrol. The case was prosecuted by Assistant United States Attorney Tom Hanlon, United States Attorney’s Office Eastern District of Washington.
United States Files Lawsuit Alleging that Quicken Loans Improperly Originated and Underwrote Federal Housing Administration-Insured Mortgage LoansRead the Press Release
The United States has filed a complaint in the U.S. District Court for the District of Columbia against Quicken Loans Inc. under the False Claims Act for improperly originating and underwriting mortgages insured by the Federal Housing Administration (FHA), the Justice Department announced today. Quicken is a mortgage lender headquartered in Detroit.
“Those who do business with the United States must act in good faith, including lenders that participate in the FHA mortgage insurance program,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer of the Justice Department’s Civil Division. “To protect the housing market and the FHA fund, we will continue to hold responsible lenders that knowingly violate the rules.”
Quicken participated in the FHA insurance program as a direct endorsement lender (DEL). As a DEL, Quicken had the authority to originate, underwrite and certify mortgages for FHA insurance. If a DEL such as Quicken approves a mortgage loan for FHA insurance and the loan later defaults, the holder of the loan may submit an insurance claim to the U.S. Department of Housing and Urban Development (HUD), FHA’s parent agency, for the losses resulting from the defaulted loan. Under the DEL program, neither the FHA nor HUD reviews the underwriting of a loan before it is endorsed for FHA insurance. HUD therefore relies on DELs to follow program rules designed to ensure that they are properly underwriting and certifying mortgages for FHA insurance. And, to that end, a DEL must certify that every loan endorsed for FHA insurance is underwritten according to the applicable FHA standards.
The government’s complaint alleges that, from September 2007 through December 2011, Quicken knowingly submitted, or caused the submission of, claims for hundreds of improperly underwritten FHA-insured loans. The complaint further alleges that Quicken instituted and encouraged an underwriting process that led to employees disregarding FHA rules and falsely certifying compliance with underwriting requirements in order to reap the profits from FHA-insured mortgages. For example, Quicken allegedly had a “value appeal” process where, when Quicken received an appraised value for a home that was too low to approve a loan, Quicken often requested a specific inflated value from the appraiser with no justification for the increase– even though such a practice was prohibited by the applicable FHA requirements. Quicken also allegedly granted “management exceptions” whereby managers would allow underwriters to break an FHA rule in order to approve a loan.
The government’s complaint alleges that Quicken’s senior management was aware of these and other problems. The complaint alleges that Quicken’s Divisional Vice President for Underwriting, the second most senior executive in Quicken’s Operations Department, wrote in an email discussing the value appeal process that “I don’t think the media and any other mortgage company (FNMA, FHA, FMLC) would like the fact we have a team who is responsible to push back on appraisers questioning their appraised values.” In another email, the same Divisional Vice President for Underwriting wrote to a group of Quicken executives stating that 40 percent of the management exceptions on FHA’s early payment defaults should not have been granted, adding: “we make some really dumb decisions when it comes to client service exceptions. Example, purchase loan we pulled new credit and the client stopped paying on almost everything and the scores fell by 100 points, we [still] closed it.” In yet another email discussing an FHA loan, the Operations Director, a senior level executive, explained that the loan was approved based on “bastard income,” which he described as “trying to put some kind of income together that is plausible to the investor even though we know its creation comes from something evil and horrible.”
The government’s complaint alleges that as a result of Quicken’s knowingly deficient mortgage underwriting practices, HUD has already paid millions of dollars of insurance claims on loans improperly underwritten by Quicken, and that there are many additional loans improperly underwritten by Quicken that have become at least 60 days delinquent that could result in further insurance claims on HUD. For example, the government’s complaint identifies a borrower whose bank account statement showed overdrafts in multiple months and during the loan application process requested a refund of the $400 mortgage application fee so that the borrower would be able to feed the borrower's family. Nevertheless, Quicken allegedly approved the loan. The borrower made only five payments before becoming delinquent and as a result, HUD ultimately paid an FHA insurance claim of $93,955.19. In another example, the complaint identifies a loan where the borrower was cashing out equity through a cash-out refinance. Allegedly, Quicken originally received an appraised value of $180,000, but because the borrower wanted to receive more cash, Quicken requested the appraiser to inflate the value by $5,000. The appraiser allegedly provided Quicken’s requested value of $185,000 even though the only difference between the two appraisals was the appraised value – the comparable sales analysis, and even the date of the appraiser’s signature, remained the same. Quicken allegedly used the inflated appraisal value to approve the loan. The borrower was delinquent on his first payment and as a result, HUD ultimately paid an FHA insurance claim of $204,208.
The complaint further alleges that Quicken failed to implement an adequate quality control program to identify deficient loans, and that Quicken failed to report to HUD the loans it did identify. In particular, according to the government's complaint, despite its obligation to report to HUD all materially deficient loans, during the period from September 2007 to December 2011, Quicken concealed its deficient underwriting practices and failed to report a single underwriting deficiency to the agency.
“As the complaint alleges, Quicken violated HUD’s quality standards when obtaining HUD insurance for mortgage loans,” said U.S. Attorney John Walsh of the District of Colorado, whose office helped to lead the investigation. “Quicken issued hundreds of defective mortgage loans, and left HUD – and the taxpayer – to pay for the loans that defaulted. Quicken’s alleged fraudulent conduct affected communities nationwide. This case is the latest step in our commitment to hold accountable mortgage lenders who profit by taking advantage of HUD insurance and issuing defective loans that do not meet HUD’s standards.”
“Quicken needs to be held accountable for violations of HUD requirements in the origination of FHA loans, as alleged in the complaint,” said HUD General Counsel Helen R. Kanovsky. “HUD will continue to take action to protect the FHA and American homebuyers.”
“The complaint alleges that Quicken approved loans that should not have been approved and submitted them for FHA insurance,” said HUD Inspector General David A. Montoya. “The alleged cost to the FHA insurance fund was millions of dollars and hopefully this serves as reinforcement to Quicken that doing the wrong thing really never is worth it.”
The investigation of this matter was a coordinated effort among HUD-Office of Inspector General, HUD, the U.S. Attorney’s Office of the District of Colorado and the Civil Division’s Commercial Litigation Branch.
The action is captioned United States v. Quicken Loans, Inc. (D.D.C.). The claims asserted in the complaint are allegations only and there has been no determination of liability.
Two Northern California Real Estate Investors Agree to Plead Guilty to Bid Rigging and Fraud Conspiracies at Public Foreclosure AuctionsRead the Press Release
Two Northern California real estate investors have agreed to plead guilty for their role in bid rigging and fraud conspiracies at public real estate foreclosure auctions in Northern California, the Department of Justice announced.
Felony charges were filed today in U.S. District Court of the Northern District of California in Oakland against real estate investors Mark Roemer and Bradley Roemer. To date, 54 individuals have pleaded guilty or agreed to plead guilty to criminal charges as a result of the department’s ongoing antitrust investigations into bid rigging and fraud at public foreclosure auctions in Northern California. In addition, 20 other real estate investors have been charged in five multi-count indictments for their roles in bid rigging and fraud schemes at foreclosure auctions in Alameda, Contra Costa, San Mateo and San Francisco counties.
“Cynical investors who rig real estate foreclosure auctions will be held accountable for their crimes,” said Assistant Attorney General Bill Baer of the Department of Justice’s Antitrust Division. “Winning auctions through fraud injures consumers and mortgage lenders by circumventing the competitive process that the antitrust laws are intended to protect.”
According to court documents, beginning as early as December 2009 and continuing until about November 2010, the defendants conspired with others not to bid against one another, and instead to designate a winning bidder to obtain selected properties at public real estate foreclosure auctions in Alameda County. Both defendants were also charged with conspiring to use the mail to carry out a scheme to fraudulently acquire title to selected Alameda County properties sold at public auctions, to make and receive payoffs, and to divert money to co-conspirators that would have otherwise gone to mortgage holders and other beneficiaries by holding second, private auctions open only to members of the conspiracy. Selected properties were then awarded to the conspirators who submitted the highest bids in the second, private auctions. The private auctions often took place at or near the courthouse steps where the public auctions were held.
“These charges demonstrate our continued commitment to investigate and prosecute individuals and organizations responsible for the corruption of the public foreclosure auction process,” said Special Agent in Charge David J. Johnson of the FBI’s San Francisco Field Office. “The FBI is committed to working these important cases and remains unwavering in our dedication to bringing the members of these illegal conspiracies to justice.”
Each violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for the Sherman Act charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than $1 million. A count of conspiracy to commit mail fraud carries a maximum sentence of 30 years in prison and a $1 million fine. The government can also seek to forfeit the proceeds earned from participating in the conspiracy to commit mail fraud.
Today’s charges are the latest filed by the department in its ongoing investigation into bid rigging and fraud at public real estate foreclosure auctions in San Francisco, San Mateo, Contra Costa and Alameda counties in California. These investigations are being conducted by the Antitrust Division’s San Francisco Office and the FBI’s San Francisco Office. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact the Antitrust Division’s San Francisco Office at 415-934-5300, or call the FBI tip line at 415-553-7400.
The charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants, including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.StopFraud.gov.
Roemer, Mark - Information
Roemer, Bradley - Information
**The fraud charge(s) referenced in this press release were subsequently dismissed on the government’s motion.**
Two Men Sentenced to Combined Total of over 25 Years for Unrelated Drug Trafficking ChargesRead the Press Release
Texarkana, Arkansas - Conner Eldridge, United States Attorney for the Western District of Arkansas, announced that Christian Archer and Brandon L. Waller were sentenced today to a combined total of over 25 years in federal prison for unrelated drug trafficking charges. Archer, age 30, of Hope, Arkansas, was sentenced to 188 months in prison followed by five years of supervised release on one count of the Use and Carrying of a Firearm During a Drug Trafficking Crime; Waller, age 27, of Wake Village, Texas, was sentenced to 120 months in prison followed by five years of supervised release on one count of Possession with Intent to Distribute More than 280 grams of Cocaine Base, commonly known as “Crack Cocaine”. The Honorable Harry F. Barnes presided over Archer’s sentencing hearing, while the Honorable Susan O. Hickey presided over Waller’s, both in the United States District Court in Texarkana.
U.S. Attorney Eldridge commented, “The fact that both of these defendants have previous felony convictions, and that one of them is a “career offender”, shows a blatant disrespect for the law. These two cases exemplify the threat of violence that drug trafficking poses in our communities; one defendant fired shots into a home, while the other led an officer on a high speed chase, each situation placing innocent lives at risk. Our office remains dedicated to working with our law enforcement partners to identify and aggressively prosecute those who commit these crimes.”
Christian Archer: According to court records, investigators with the Hempstead County Sheriff’s Department were contacted by witnesses on September 26, 2013, regarding a shooting that had taken place on that date. The witnesses stated that prior to the shooting they had purchased methamphetamine from Christian Archer. After a dispute over the price of methamphetamine, Archer and two other co-conspirators threatened the witnesses with a firearm, and fired several rounds at them, resulting in multiple bullets striking the witnesses’ residence. On that same date, based on evidence recovered at the scene and statements of witnesses, investigators obtained a court-ordered search warrant for Archer’s residence in Hope, Arkansas. During the execution of the search warrant at Archer’s home, investigators located a set of digital scales on the kitchen counter, two bags of methamphetamine, and a 9mm semi-automatic pistol. Archer was arrested on March 6, 2014, and pleaded guilty to the charge on July 25, 2014. At sentencing, it was determined that Archer is a Career Offender.
Brandon Waller: According to court records, Troopers with the Arkansas State Police were conducting a sobriety check point in Hempstead County, Arkansas, on September 26, 2013. While operating the check point, an Arkansas State Trooper observed a vehicle heading east-bound on the highway that was traveling partially in the ditch. Based on his observation of traffic violations, the Trooper attempted to stop the vehicle, but the vehicle made a U-Turn in the highway and fled west-bound. The Trooper initiated pursuit of the vehicle, activating his emergency lights and sirens, but the vehicle continued to flee at speeds of up to 99 miles per hour. During the chase, the pursuing Trooper observed a white plastic bag thrown from the passenger window of the vehicle. The location of the bag was radioed in, and the bag, which contained a large quantity of crack cocaine, was recovered near the highway. Officers were ultimately able to stop the vehicle, identify the driver as Brandon Waller, and take Waller into custody. Subsequent to his arrest and after being advised of his Miranda rights, Waller provided a statement to investigators in which he admitted to possessing the crack cocaine recovered from the bag, and throwing it from the vehicle during the pursuit. Waller further stated that he was taking the crack cocaine to Magnolia, Arkansas. Waller was arrested on September 26, 2013, and pleaded guilty to the charge on December 1, 2014.
These cases were investigated by the FBI, the South Central Drug Task Force, the Hempstead County Sheriff’s Office and the Arkansas State Police. Assistant United States Attorneys Matt Quinn and Jonathan Ross prosecuted the cases for the United States.
* * * E N D * * *
Related court documents may be found on the Public Access to Electronic Records website @ www.pacer.gov
Two Arrested for Possession with Intent to Distribute CocaineRead the Press Release
St. Thomas, USVI- Hugo Enrique Ogando, 37, and Miguel de los Santos, 37, were arrested Wednesday on a criminal complaint charging them with one count of possession with intent to distribute narcotics, United States Attorney Ronald W. Sharpe announced today. Ogando and de los Santos made their initial appearance today before Senior District Court Judge Raymond L. Finch. A detention hearing is set for Monday.
According to the complaint, the men were found in possession of approximately four kilograms of a substance that tested positive for cocaine. Possession with the intent to distribute cocaine carries a sentence of not less than five years in prison and up to a maximum of 40 years.
United States Attorney Sharpe reminds the public that a complaint is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
The case is being investigated by the U.S. Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
Two Arizona Men and a Mexican National Sentenced in New Mexico for Marijuana Trafficking and Firearms ConvictionsRead the Press Release
ALBUQUERQUE – Two Arizona men and a Mexican national illegally in the United States were sentenced today in federal court in Las Cruces, N.M., for violating the federal narcotics and firearms laws.
Jonathan Gordon Marsh, 28, of Gilbert, Ariz., and Jason Daniel Smith, 27, of Apache Junction, Ariz., were sentenced based on their guilty pleas to marijuana trafficking and firearms charges. Marsh was sentenced to 61 months in prison followed by two years of supervised release, and Smith was sentenced to 68 months in prison followed by two years of supervised release. Hector Severiano-Borja, 24, of Cuauhtemoc, Mexico, was sentenced to 57 months in federal prison for his conviction on marijuana trafficking charges and his illegal re-entry into the United States. He will be deported following his prison sentence.
Marsh, Smith, and Severiano-Borja were charged on March 17, 2014, in a criminal complaint with conspiracy to possess marijuana with intent to distribute. Court records reflect that during a routine traffic stop on March 14, 2014, the Lordsburg Police Department and U.S. Border Patrol agents recovered approximately 95 pounds of marijuana and three firearms from the vehicle driven by Marsh and in which Smith and Severiano-Borja were passengers. The complaint alleged that Marsh and Smith had been hired by an individual in Mesa, Ariz., to pick up Severiano-Borja and the marijuana from milepost 33 on Interstate 10 in Hidalgo County, N.M.
Marsh and Severiano-Borja were subsequently charged on June 18, 2014, in a five-count indictment. The two men were charged with conspiracy to distribute marijuana. The indictment also charged Marsh with possession of marijuana with intent to distribute; carrying a firearm in relation to a drug trafficking crime; and transporting an illegal alien, and Severiano-Borja with illegal re-entry into the United States.
Severiano- Borja entered a guilty plea in July 2014, to the conspiracy and the unlawful reentry charges in the indictment without the benefit of a plea agreement. Marsh pled guilty on Sept. 3, 2014, to a felony information charging him with a marijuana trafficking conspiracy and carrying a firearm during and in relation to a drug trafficking crime. In entering the guilty plea, Marsh admitted that on March 14, 2014, Smith and he entered into an agreement with others to transport bundles of marijuana with the help of Severiano-Borja who had carried the marijuana from Mexico into the United States. He also admitted carrying a firearm for protection.
Smith pled guilty in a separate case on June 17, 2014, to a felony information charging him with conspiracy to possess marijuana with intent to distribute and carrying a firearm during and in relation to a drug trafficking crime. He admitted conspiring with Smith on March 14, 2014, to transport marijuana from Mexico to the United States, with the help of Severiano-Borja. Smith also admitted the he carried a firearm for protection.
This case was investigated by the Deming office of Homeland Security Investigations, the U.S. Border Patrol and the Lordsburg Police Department, and was prosecuted by Assistant U.S. Attorney Brock Taylor of the U.S. Attorney’s Las Cruces Branch Office.
Thomas Hoey, Jr., Sentenced in Manhattan Federal Court to 151 Months in Prison for Large-Scale Drug Distribution and Obstruction of JusticeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and James Hunt, Special Agent in Charge of the New York Division of the Drug Enforcement Administration (“DEA”), announced that THOMAS HOEY, JR., who led a large-scale cocaine distribution conspiracy for over five years, which led to the death of another person, and who engaged in a long-term scheme to obstruct the investigation into his crimes, was sentenced today in Manhattan federal court to 151 months in prison. HOEY was indicted on December 20, 2013, and pled guilty on August 14, 2014, to charges of conspiring to distribute narcotics, conspiring to suborn perjury, and obstruction of justice. U.S. District Judge P. Kevin Castel imposed today’s sentence.
Manhattan U.S. Attorney Preet Bharara stated: “Thomas Hoey not only showed complete indifference to the life-threatening situation he himself created by providing cocaine to Kim Calo, he interfered with efforts to get her medical attention. He also waged an ongoing campaign, beginning immediately upon Ms. Calo’s collapse, to destroy evidence, lie to investigators, and obstruct a grand jury investigation by pressuring a witness to perjure herself. The sentence he has received reflects the callousness of his crimes.”
According to the Indictment, statements made during other public proceedings including today’s sentencing, and other court documents:
Between at least 2005 and 2010, HOEY conspired with others to distribute large quantities of cocaine, in social settings, in exchange for various social and sexual favors.
On January 10, 2009, Nicole Zobkiw went to a hotel room at the Kitano Hotel in midtown Manhattan with Kim Calo and HOEY. HOEY provided cocaine to both women and shortly thereafter Ms. Calo collapsed. HOEY then obstructed all efforts by Ms. Zobkiw and the staff of the hotel to get medical assistance for Ms. Calo, who subsequently died of from the combined effects of the cocaine and alcohol she ingested. HOEY also instructed his driver, Alejandro Noriega, to remove the cocaine and all evidence of cocaine use from the hotel room. HOEY then made numerous false statements to the police investigating Ms. Calo’s death about what had occurred in the hotel room that night.
On April 6, 2011, Ms. Zobkiw was subpoenaed before a federal grand jury in the Southern District of New York investigating the circumstances surrounding the death of Kim Calo. Ms. Zobkiw informed the defendant of the grand jury subpoena and asked him to provide her with a lawyer. The lawyer provided to her by HOEY was Barry Balaban. At HOEY’s direction, Balaban instructed and pressured Ms. Zobkiw to lie to the grand jury.
Ms. Zobkiw appeared before the federal grand jury on April 6, 2011, and gave false testimony about numerous matters material to the grand jury’s investigation by, among other things, denying that HOEY had provided Ms. Calo cocaine that night.
One month after lying to the grand jury, Ms. Zobkiw was brought by HOEY, under false pretenses, to an abandoned warehouse in Long Island. Inside the warehouse, Ms. Zobkiw was pressured by others working for HOEY to sign a document that essentially restated her perjurious grand jury testimony. The plan was to send this document to the United States Attorney’s Office for the Southern District of New York in an attempt to prevent criminal charges from being brought against HOEY.
HOEY pled guilty to one count of conspiring to distribute narcotics, one count of conspiring to suborn perjury, and one count of obstruction of justice. In addition to a prison term of 151 months, HOEY was sentenced to three years of supervised release, was ordered to pay a fine of $ $250,000, and was ordered to pay a $300 special assessment fee.
On February 6, 2012, following a jury trial, Ms. Zobkiw was convicted by a jury of two counts of perjury, and one count of obstruction of justice, all related to her false grand jury testimony on April 6, 2011. Ms. Zobkiw passed away before sentencing.
On April 22, 2014, following a guilty plea, Balaban was convicted of one count of conspiring to suborn perjury, and sentenced to 48 months in prison.
On December 18, 2014, following a guilty plea, Noriega was convicted of one count of misprision of a felony, and sentenced to 45 days in prison.
The arrest was the result of a long-term investigation by the DEA’s New York Organized Crime Drug Enforcement Strike Force, which comprises agents and officers of the DEA, the New York City Police Department, Immigration and Customs Enforcement – Homeland Security Investigations (HSI), the New York State Police, the U. S. Internal Revenue Service Criminal Investigation Division, the Federal Bureau of Investigation, U.S. Secret Service, the U.S. Marshal Service, New York National Guard, the New York Department of Taxation and Finance, the Rockland County Sheriff’s Office, the Clarkstown Police Department, Port Washington Police Department and New York State Department of Corrections and Community Supervision.
Mr. Bharara praised the outstanding work of the DEA agents who investigated this case. Mr. Bharara also expressed his gratitude to the New York City Police Department and the New York County District Attorney’s Office for their assistance.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Margaret Garnett and Ian McGinley are in charge of the prosecution.
Takoma Park Man Sentenced to Three Years in Prison for Pair of Burglaries in Northwest WashingtonRead the Press Release
WASHINGTON – Ramone Laird, 21, of Takoma Park, Md., has been sentenced to a three-year prison term for a pair of burglaries, carried out while he was on probation for a prior conviction in Maryland, Acting U.S. Attorney Vincent H. Cohen, Jr. announced today
Laird pled guilty in January 2015, in the Superior Court of the District of Columbia, to two counts of second-degree burglary. He was sentenced on April 22, 2015, by the Honorable Anita Josey-Herring. Upon completion of his prison term, Laird will be placed on three years of supervised release and required to pay restitution to the victims in the amount of $7,284.
According to the government’s evidence, Laird committed two separate burglaries in Northwest Washington on Sept. 18, 2014. Laird, with two accomplices, broke into an apartment in the 2900 block of Adams Mill Road NW with a crowbar, stole electronics, cash, and clothing, and in the process ransacked the apartment and damaged the front door. After leaving the location, Laird, with his accomplices, broke into another apartment that same day in the 1800 block of Columbia Road NW, and again stole items from inside, ransacked the apartment, and damaged the front door. In response to a 911 call, officers from the Metropolitan Police Department (MPD) apprehended Laird running from the residence with the stolen property from the second burglary in his possession. The police recovered surveillance video showing Laird at both apartment complexes prior to the burglaries taking place.
At the time of his arrest, Laird was on probation following a 2013 theft conviction in Maryland.
In announcing the sentence, Acting U.S. Attorney Cohen commended the work of the Metropolitan Police Department’s Third District. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Allison Daniels and Assistant U.S. Attorneys Christopher Macchiaroli and David Misler, of the Felony Major Crimes Trial Section, who prosecuted the matter.
Stockton Man Sentenced to over 11 Years in Prison for Methamphetamine Trafficking ConspiracyRead the Press Release
SACRAMENTO, Calif. — Robert Anthony Guerena, 21, of Stockton, was sentenced today by United States District Judge Morrison C. England Jr. to 11 years and three months in prison for conspiring to distribute and to possess with intent to distribute methamphetamine, and possession with intent to distribute methamphetamine, United States Attorney Benjamin B. Wagner announced.
According to court documents, between August and September 2013, Guerena and co-defendant Robert Vargas met with an undercover agent on four separate occasions to conduct methamphetamine transactions. Each of these meetings occurred in a Walmart parking lot in Stockton, and with each subsequent meeting, the amount of methamphetamine provided by the defendants to the undercover officer agent increased. Over the course of the transactions, Guerena boasted that he had access to pound quantities of methamphetamine. On September 19, 2013, the defendants arrived at the Walmart parking lot intending to provide the undercover agent with two pounds of methamphetamine. Before the transaction was completed, both defendants were arrested. In all, the defendants provided the undercover agent with approximately 1.2 kilograms of pure methamphetamine.
Vargas is scheduled to be sentenced on May 14, 2015.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Stockton Police Department, and the San Joaquin Sheriff’s Office. Assistant United States Attorney Olusere Olowoyeye is prosecuting the case.
Docket #: 2:13-cr-326 MCE
Statement by the Attorney General on the Senate Confirmation of Loretta LynchRead the Press Release
Attorney General Eric Holder released the following statement on the Senate confirmation of Loretta Lynch:
“Loretta Lynch is a gifted attorney, a consummate professional, and a dedicated public servant. I am pleased that the United States Senate has recognized her clear qualifications and the need for her confirmation as Attorney General of the United States.
“At every stage of her career, Loretta has earned the trust and high regard of allies and adversaries alike, both in Washington and throughout the country. She is respected by law enforcement officers, civil rights leaders, and criminal justice officials of all political stripes. In every case and every circumstance, she has demonstrated an unfailing commitment to the rule of law and a steadfast fidelity to the pursuit to justice.
“I have known and worked closely with Loretta for many years, and I know that she will continue the vital work that this Administration has set in motion and leave her own innovative mark on the Department in which we have both been privileged to serve. I am confident that Loretta will be an outstanding Attorney General, a dedicated guardian of the Constitution, and a devoted champion of all those whom the law protects and empowers. I congratulate her on her confirmation, and I look forward to all that the Department of Justice will do and achieve under her exemplary leadership
St. Croix Man Sentenced to 30 Months in Federal PrisonRead the Press Release
St. Croix, USVI – Senior District Court Judge Raymond L. Finch on Wednesday sentenced Kirk T. Jordan, 39, to 30 months in prison for his conviction for felon in possession of a firearm, announced United States Attorney Ronald W. Sharpe, Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent-in-Charge Hugo J. Barrera, and Virgin Islands Police Commissioner Delroy Richards.
The Court also sentenced Jordan to three years of supervised release, and ordered him to pay a $100.00 special assessment.
Jordan pleaded guilty on February 10, 2015 to the felon in possession of a firearm charge. According to the plea agreement filed with the Court, on November 25, 2013, while police were investigating a shooting incident in which Jordan was a suspect, police asked him for the second firearm involved in the incident. Jordan told police that he threw the firearm away, and asked for an attorney. Subsequently, he made a telephone call, then notified the police that he had called his girlfriend, told her where to find the firearm, and asked her to bring it. Upon the girlfriend’s arrival, the police retrieved a Glock 9mm model 19 from the trunk of the girlfriend’s vehicle. At the time of the firearm seizure, Jordan was a convicted felon.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Virgin Islands Police Department. It was prosecuted by Assistant United States Attorney Rhonda Williams-Henry.
Spokane Man Sentenced to Thirty Months’ Prison and Five Years’ Court Supervision for Bank and Wire Fraud ConspiracyRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Ashley Bonair Chambers, age 58, of Spokane, Washington, was sentenced after having been convicted after a four-day jury trial in December 2014 of one count of conspiracy to commit bank fraud and wire fraud affecting a financial institution, seven counts of wire fraud, and one count of wire fraud affecting a financial institution. United States District Court Chief Judge Rosanna Malouf Peterson sentenced Chambers to a 30-month term of imprisonment and a 5-year term of court supervision following release from federal prison. The Court also ordered Chambers to pay $379,143 in restitution to the financial institution victims. The Court ordered Chambers to report immediately to the U.S. Marshal Service to be taken into custody at the conclusion of the sentencing hearing.
According to information disclosed during court proceedings, Ashley Bonair Chambers conspired with another individual in a loan "kiting" scheme by fraudulently obtaining several share secured loans and a construction loan from financial institutions. Chambers and a conspirator submitted several loan applications to financial institutions that were materially false and fraudulent because the applications reported inflated amounts of monthly income. Chambers and his conspirator used some of the loan proceeds as collateral to obtain additional loans. Chambers and his conspirator also submitted an application in the conspirator’s name that contained materially false information to obtain an $880,000 construction loan. Chambers and his conspirator intended to use the ill-gotten proceeds to build a house with a helipad in Nine Mile Falls, Washington. According to information disclosed during court proceedings, the construction loan application was false because it reported the conspirator’s monthly income as $48,000 when the conspirator’s monthly income was approximately $1,500. As part of the scheme, Chambers and his conspirator fabricated and submitted a bogus $185,000 document entitled "Earnest Money Payment Receipt Balloon Payment." By doing so, Chambers and his conspirator misled the financial institution into believing they had invested $185,000 into the home construction project. Among other things, Chambers and his conspirator used a portion of the loan proceeds to purchase a bobcat tractor and a truck. Chambers and his conspirator ultimately obtained approximately $379,143 from the financial institutions as a result of the fraudulent scheme.
Michael C. Ormsby said, "The sentence imposed in this case reflects the seriousness of ‘white collar’ crime and that those accused of defrauding banks will be fairly and justly held accountable for their criminal conduct. This case is yet another example of the commitment of the United States Attorney’s Office to prosecute aggressively fraud cases in the Eastern District of Washington. The U.S. Small Business Administration Office of Inspector General’s Criminal Investigation Division is commended for its tireless efforts in thoroughly investigating this case."
"When borrowers submit false information, the underwriting process is defeated and the taxpayers bear the loss," said Inspector General Peggy E. Gustafson of the Small Business Administration. "I want to thank the U.S. Attorney's Office for its dedicated leadership and professionalism in pursuit of justice served today."
The investigation was conducted by the Office of the Inspector General’s Criminal Investigation Division of the United States Small Business Administration. The case was prosecuted by George J.C. Jacobs, III, an Assistant United States Attorney for the Eastern District of Washington.
Sixteen Defendants Indicted in Stolen U.S. Treasury Check RingRead the Press Release
ATLANTA – Sixteen defendants have been indicted for stealing over $10 million in U.S. Treasury checks from the mail and then cashing them at Walmart, Kroger, and other businesses using fake identifications. The defendants were indicted by a federal grand jury on March 11, 2015.
“Georgia has the unfortunate distinction of being one of the worst states in the nation for stolen U.S. Treasury checks,” said Acting U.S. Attorney John Horn. “This crime affects thousands of victims – including senior citizens, the disabled, and veterans – who go to their mailbox looking for a needed check only to discover that it has been stolen by criminals and identity thieves. These sixteen defendants are charged with stealing over $10 million in U.S. Treasury checks in Georgia and traveling around the country to cash them.”
“Check fraud is one of the largest challenges facing financial institutions and businesses today. The United States Secret Service will continue to collaborate with its law enforcement partners to target and arrest individuals who steal from unsuspecting victims,” said Reginald G. Moore, Special Agent in Charge of the United States Secret Service, Atlanta Field Office.
“The U.S. Postal Inspection Service is committed to protecting the U.S. Mail and taking an aggressive stance on those who violate federal statutes that protect the American Public. We value the investigative efforts with our federal partners and thank the U.S. Attorney's Office for continuing to protect innocent victims.” said Thomas Noyes, Inspector in Charge of the Charlotte Division.
“Social Security payments are a lifeline for many Americans. We are pleased with the aggressive action by the U.S. Attorney’s Office and our law enforcement partners that resulted in these indictments,” said Special Agent in Charge Thomas Caul, SSA/Office of the Inspector General.
According to Acting U.S. Attorney Horn, the charges, and other information presented in court: Maurice Shuler and Milton Minter are alleged to have received stolen U.S. Treasury checks that were taken from the mail before reaching their intended recipients. The stolen checks included tax refund, Social Security, and Veteran Benefits checks. After receiving the checks, Shuler and Minter provided them to a network of check cashers, including 14 of the defendants charged here, who negotiated the stolen checks, mainly at Walmart and Kroger stores. The defendants used fake driver’s licenses to pose as the check payees and forged the payees’ signatures on the back of the checks. They also used other individuals’ Social Security numbers to cash the checks. In an effort to avoid detection, the defendants traveled to different states, including Alabama, Mississippi, Illinois, Michigan, Minnesota, Kentucky, Iowa, Louisiana, and Tennessee, to cash the stolen checks. The defendants are charged with cashing thousands of stolen U.S. Treasury checks worth over $10 million.
The indictment charges the following individuals with conspiracy, theft of U.S. money, and aggravated identity theft:
- Maurice Shuler, a/k/a Fred, 25, of Atlanta, Georgia,
- Gino Shuler, 27, of Atlanta, Georgia,
- Chucky Ransom, 41, of Decatur, Georgia,
- Sepater Ransom, 27, of Atlanta, Georgia,
- Damontra Ransom, a/k/a Pop, 20, of Atlanta, Georgia,
- Milton Minter, a/k/a White Boi, 31, of Riverdale, Georgia,
- Brian K. Hightower, a/k/a Big, 33, of Stockbridge, Georgia,
- Angela L. Williams, 40, of Stockbridge, Georgia,
- Charles E. Bolton, Jr., a/k/a Lightpole Jones, 26, of College Park, Georgia,
- Mariah C. Clark, 24, of Loganville, Georgia,
- Lovely Richardson, 27, of Fairburn, Georgia,
- Osiris O. Hernandez, 23, of Atlanta, Georgia,
- Kimbela Jordan, 19, of Atlanta, Georgia,
- Raymon D. Gales, 26, of Atlanta, Georgia,
- Jeremy Arnold, 28, of Riverdale, Georgia, and
- Rodrekus R. Harris, 26, of Blakely, Georgia.
The 83-count indictment was unsealed and the defendants were arraigned before U.S. Magistrate Judge Russell G. Vineyard.
Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated by the United States Secret Service; United States Postal Inspection Service; Social Security Administration, Office of Inspector General; and Department of Justice Office of the Inspector General.
Assistant United States Attorneys Stephen H. McClain and Chris Bly are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Sissonville man pleads guilty to federal drug chargeRead the Press Release
CHARLESTON, W.Va. – A Sissonville, West Virginia man pleaded guilty today to a federal drug charge, announced U.S. Attorney Booth Goodwin. Jamie Ray Green, 32, pleaded guilty in federal court in Charleston to using a phone to facilitate drug trafficking. Green admitted that on February 10, 2015, he received a phone call from a confidential informant (CI) who wanted to buy methamphetamine from him. During the call, Green instructed the CI to meet him near the Crossings Mall in Elkview, W.Va. After the call, Green travelled to the arranged spot, and sold methamphetamine to the CI.
Green faces up to four years of imprisonment when he is sentenced on July 7, 2015.
The investigation was conducted by the Metropolitan Drug Enforcement Network Team. Assistant United States Attorney Haley Bunn is in charge of the prosecution.
Sentencings for April 21 - April 22, 2015Read the Press Release
Jason Butler, 40, of Torrington, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on April 22, 2015, for conspiracy to distribute 50 grams or more of methamphetamine, and marijuana. Butler was arrested in Weston County, Wyoming. He received 60 months imprisonment, to be followed by four years of supervised release, and was ordered to pay a $200.00 fine and a $100.00 special assessment. This case was investigated by the Wyoming Division of Criminal Investigation.
Elizabeth Martinez, 29, of Modesto, California, was sentenced by Federal District Court Judge Scott W. Skavdahl on April 21, 2015, for wire fraud. Martinez used her position as a clerk/cashier at Hoy’s Drug in Cheyenne, Wyoming. She used Hoy’s business account to show fraudulent “returns of merchandise” when there were no such returns, and Martinez was simply placing credits to various credit cards she had, or skimming cash from the registers. Martinez was arrested in Sacramento, California. She received one year, plus one day and was ordered to pay a $100.00 special assessment and restitution in the amount of $142,733.12. Martinez will be placed on three years of supervised release after serving her sentence. This case was investigated by the U.S. Secret Service, with the assistance of the Cheyenne Police Department.
Baldomero Juarez Guevarra, 26, of Zacatecas, Mexico, was sentenced by Federal District Court Judge Scott W. Skavdahl on April 21, 2015, on one count of possession with intent to distribute methamphetamine; one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine; and one count of illegal re-entry of a previously deported alien into the United States. Guevarra was arrested in Yellowstone National Park, Wyoming. He received 84 months imprisonment, to be followed by four years of supervised release. Guevarra was also ordered to pay a $100.00 special assessment, and is subject to deportation upon release from custody. This case was investigated by the National Park Service with the assistance of the U.S. Drug Enforcement Administration.
Santa Fe Man Sentenced to Prison for Violating Federal Tax LawsRead the Press Release
ALBUQUERQUE – Andre Lewis, 34, of Santa Fe, N.M., was sentenced this morning in federal court to 30 months in prison followed by three years of supervised release for his conviction on federal tax offenses. Lewis also was ordered to pay $118,470.76, less any money already repaid by other tax payers, in restitution to the IRS. The sentence was announced by U.S. Attorney Damon P. Martinez and Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of IRS Criminal Investigation.
Lewis was arrested on May 8, 2014, on an eleven-count indictment. Count 1 of the indictment charged Lewis with conspiracy to defraud the IRS, and Count 2 charged him with making a materially false statement to a federal officer. Counts 3 through 11 charged Lewis with preparing and aiding and abetting the preparation and filing of false tax returns. Lewis committed the offenses between Feb. 2009 and Aug. 2009 in Bernalillo, County, N.M.
According to the indictment, from Feb. to July 2009, Lewis conspired with others to defraud the IRS by preparing and filing fraudulent claims for tax refunds. Lewis and his co-conspirators perpetuated the scheme by obtaining the names, identifiers and W-2 Forms for federal taxpayers, and using that information to electronically file federal income tax returns included either false claims for the First Time Home Buyer Credit or false withholding information. Lewis and his conspirators thus obtained tax refunds to which they were not entitled from the IRS.
On Dec. 18, 2014, Lewis entered guilty pleas to Counts 1 and 3 of the indictment charging him with conspiracy and aiding and abetting the preparation of a false and fraudulent tax return. In his plea agreement, Lewis admitted filing a false tax return in Feb. 2009, by which he fraudulently obtained $16,024.14 from the IRS by misrepresenting his tax withholdings. Lewis also admitted that in 2009 he was involved in filing at least ten false tax returns and fraudulently receiving refunds based on those returns. In his plea agreement, Lewis admitted defrauding the IRS of an aggregate of $118,470.76 through this unlawful scheme.
This case was investigated by IRS Criminal Investigation in Albuquerque and was prosecuted by Assistant U.S. Attorney Sean J. Sullivan.
San Diego Man Arrested and Charged with Making False Statements in an International Terrorism InvestigationRead the Press Release
Mohamad Saeed Kodaimati (Saeed), 24, of San Diego, was arrested and charged in a federal criminal complaint with two counts of making false statements involving international terrorism matters, announced Assistant Attorney General for National Security John P. Carlin, U.S. Attorney Laura E. Duffy of the Southern District of California and Special Agent in Charge Eric S. Birnbaum of the FBI’s San Diego Field Office.
A criminal complaint was filed today in the U.S. District Court of the Southern District of California, charging Saeed with two counts of providing false statements involving international terrorism. In summary, the criminal complaint alleges that during interviews with agents from the FBI and the Department of State’s Diplomatic Security Service (DSS), that occurred in March 2015 at the U.S. Embassy in Ankara, Turkey, Saeed made material false statements about his recent activities and associations in Syria.
According to the complaint, Saeed falsely claimed that he had never been involved in any fighting, that he had never fired his weapon at anyone, that he did not know anyone who was a member of ISIL, that he had never told anyone else that he was involved with Al-Nusrah and that he had never worked or volunteered at a Sharia court. Evidence gathered during the investigation contradicts these and other statements Saeed made to the interviewing agents.
According to the criminal complaint, Saeed was born in Syria and became a naturalized U.S. citizen in September 2008. In December 2012, Saeed travelled from San Diego to Istanbul and was in Syria and Turkey until his return to the United States.
In March 2015, Saeed returned to the United States and was interviewed by U.S. Customs and Border Protection agents and the FBI. Saeed was arrested by FBI agents and members of the San Diego Joint Terrorism Task Force (JTTF) in Rancho Bernardo, California, without incident on April 22, 2015. Saeed is scheduled to make his initial appearance before U.S. Magistrate Judge Karen Crawford of the Southern District of California at 2 p.m. PDT on Thursday, April 23, 2015. The charges in this matter are the result of an investigation conducted by the FBI’s San Diego JTTF, with assistance provided by the FBI’s JTTF in Charlotte, North Carolina.
An arrest itself is not evidence that the defendant committed crimes charged. The defendant is presumed innocent until the government meets its burden in court of proving guilt beyond a reasonable doubt.
Kodaimati Criminal Complaint
San Diego Man Arrested and Charged with Making False Statements in an International Terrorism InvestigationRead the Press Release
SAN DIEGO – Mohamad Saeed Kodaimati of San Diego was arrested and charged in a federal criminal complaint with two counts of making false statements involving international terrorism matters, announced U.S. Attorney Laura E. Duffy of the Southern District of California, Special Agent in Charge Eric S. Birnbaum of the FBI’s San Diego Field Office and Assistant Attorney General for National Security John P. Carlin.
A criminal complaint was filed today in the U.S. District Court of the Southern District of California charging Saeed with two counts of providing false statements involving international terrorism. In summary, the criminal complaint alleges that during interviews with agents from the FBI and the Department of State’s Diplomatic Security Service (DSS) which occurred in March 2015 at the U.S. Embassy in Ankara, Turkey, Saeed made material false statements about his recent activities and associations in Syria.
According to the complaint, Saeed falsely claimed that he had never been involved in any fighting, that he had never fired his weapon at anyone, that he did not know anyone who was a member of ISIL, that he had never told anyone else that he was involved with Al-Nusrah, and that he had never worked or volunteered at a Sharia court. Evidence gathered during the investigation contradicts these and other statements Saeed made to the interviewing agents.
According to the criminal complaint, Saeed was born in Syria and became a naturalized U.S. citizen in September 2008. In December 2012, Saeed travelled from San Diego to Istanbul and was in Syria and Turkey until his return to the United States.
In March 2015, Saeed returned to the United States and was interviewed by U.S. Customs and Border Protection agents and the FBI. Saeed was arrested by FBI agents and members of the San Diego Joint Terrorism Task Force (JTTF) in Rancho Bernardo, California, without incident on April 22, 2015. Saeed is scheduled to make his initial appearance before U.S. Magistrate Judge Karen Crawford on Thursday, April 23, 2015 at 2 p.m.
The charges in this matter are the result of an investigation conducted by the FBI’s San Diego Joint Terrorism Task Force, with assistance provided by the FBI’s JTTF in Charlotte, North Carolina.
DEFENDANT Mohamad Saeed Kodaimati Age: 24 San Diego, California CHARGESFalse Statements Involving International Terrorism, in violation 18 U.S.C. 1001(a)(2)
INVESTIGATING AGENCIES
Maximum penalty eight years in prison per count, $250,000 fineFederal Bureau of Investigation
San Diego Joint Terrorism Task Force
Homeland Security Investigations*An arrest itself is not evidence that the defendant committed crimes charged. The defendant is presumed innocent until the government meets its burden in court of proving guilt beyond a reasonable doubt.
San Diego Man Arrested and Charged with Making False Statements in an International Terrorism InvestigationRead the Press Release
SAN DIEGO – Mohamad Saeed Kodaimati of San Diego was arrested and charged in a federal criminal complaint with two counts of making false statements involving international terrorism matters, announced U.S. Attorney Laura E. Duffy of the Southern District of California, Special Agent in Charge Eric S. Birnbaum of the FBI’s San Diego Field Office and Assistant Attorney General for National Security John P. Carlin.
A criminal complaint was filed today in the U.S. District Court of the Southern District of California charging Saeed with two counts of providing false statements involving international terrorism. In summary, the criminal complaint alleges that during interviews with agents from the FBI and the Department of State’s Diplomatic Security Service (DSS) which occurred in March 2015 at the U.S. Embassy in Ankara, Turkey, Saeed made material false statements about his recent activities and associations in Syria.
According to the complaint, Saeed falsely claimed that he had never been involved in any fighting, that he had never fired his weapon at anyone, that he did not know anyone who was a member of ISIL, that he had never told anyone else that he was involved with Al-Nusrah, and that he had never worked or volunteered at a Sharia court. Evidence gathered during the investigation contradicts these and other statements Saeed made to the interviewing agents.
According to the criminal complaint, Saeed was born in Syria and became a naturalized U.S. citizen in September 2008. In December 2012, Saeed travelled from San Diego to Istanbul and was in Syria and Turkey until his return to the United States.
In March 2015, Saeed returned to the United States and was interviewed by U.S. Customs and Border Protection agents and the FBI. Saeed was arrested by FBI agents and members of the San Diego Joint Terrorism Task Force (JTTF) in Rancho Bernardo, California, without incident on April 22, 2015. Saeed is scheduled to make his initial appearance before U.S. Magistrate Judge Karen Crawford on Thursday, April 23, 2015 at 2 p.m.
The charges in this matter are the result of an investigation conducted by the FBI’s San Diego Joint Terrorism Task Force, with assistance provided by the FBI’s JTTF in Charlotte, North Carolina.
DEFENDANT Mohamad Saeed Kodaimati Age: 24 San Diego, California CHARGESFalse Statements Involving International Terrorism, in violation 18 U.S.C. 1001(a)(2)
INVESTIGATING AGENCIES
Maximum penalty eight years in prison per count, $250,000 fineFederal Bureau of Investigation
San Diego Joint Terrorism Task Force
Homeland Security Investigations*An arrest itself is not evidence that the defendant committed crimes charged. The defendant is presumed innocent until the government meets its burden in court of proving guilt beyond a reasonable doubt.
San Antonio Woman Sentenced to Federal Prison for Scheme to Collect Thousands of Dollars in Unemployment BenefitsRead the Press Release
Today in San Antonio, Andrea Nicole Brooks, age 30, was sentenced to 121 months in federal prison for a scheme to fraudulently collect unemployment benefits announced Acting United States Attorney Richard L. Durbin, Jr.
In addition to the prison term, United States District Judge Orlando Garcia ordered that Brooks pay $361,597 restitution to the Texas Workforce Commission and be placed on supervised release for a period of three years after completing her prison term.
On November 22, 2013, Brooks pleaded guilty to one count of mail fraud and one count of aggravated identity theft. According to court records, the defendant was employed as a Transplant Assistant III at Methodist Specialty and Transplant Hospital in San Antonio from January 2012 through November 2012. By pleading guilty, Brooks admitted that from March 2012 to December 2012, she obtained personal identification information, including Social Security Numbers and dates of birth, of hospital patients. She then used that information to fraudulently obtain unemployment benefits from the Texas Workforce Commission. Brooks also admitted that she received money from others for providing them with the stolen patient information so that they, too, could use it to illegally collect unemployment benefits.
“This was an egregious breach of trust, exploiting personal information of patients for financial gain. This case should send the clear message that those entrusted with patient information will be held fully accountable for misusing it for personal gain,” stated Acting United States Attorney Richard L. Durbin, Jr.
The case was investigated by the Department of Labor – Office of Inspector General and the United States Postal Inspection Service. Assistant U.S. Attorney Tom Moore prosecuted this case on behalf of the Government.
San Antonio Woman Pleads Guilty to Fraudulently Obtaining HydrocodoneRead the Press Release
In Waco, 41-year-old Calista Angelique Amani of San Antonio faces up to four years in federal prison after pleading guilty this afternoon to fraudulently obtaining Hydrocodone, announced Acting United States Attorney Richard L. Durbin, Jr.
Appearing before United States District Judge Walter Smith, Sr., Amani pleaded guilty to one count of obtaining a controlled substance by fraudulent means. By pleading guilty, Amani admitted that from March 2013 through April 2014, she saw 36 different medical practitioners in various cities and obtained 40 overlapping prescriptions for Hydrocodone. Those prescriptions were filled at 15 different pharmacies located in Killeen, Harker Heights and Copperas Cove, as well as other pharmacies located in various counties, including Bexar and Williamson. Amani also admitted that she obtained these proscriptions through fraud, misrepresentation and deception by providing different two different names and three different dates of birth.
Amani has remained in federal custody since her arrest on February 23, 2015. Sentencing is scheduled for June 17, 2015, before Judge Smith in Waco.
This case resulted from an investigation by the Texas Department of Public Safety Criminal Investigations Division. This case is being prosecuted by Assistant United States Attorney Mary Kucera.
Sallisaw Man Pleads Guilty to Firearm PossessionRead the Press Release
MUSKOGEE, OKLAHOMA - The United States Attorney’s Office for the Eastern District of Oklahoma, announced today that CLINTON JAMES JONES, age 34, of Sallisaw, Oklahoma, pled guilty to FELON IN POSSESSION OF FIREARM AND AMMUNITION, in violation of Title 18, United States Code, Section 922(g)(1), punishable by not more than 10 years imprisonment, a fine of up to $250,000.00 or both.
The charge arose from an investigation by the Sallisaw Police Department and the Drug Enforcement Administration.
The Indictment alleges that on or about March 14, 2015, within the Eastern District of Oklahoma, the defendant CLINTON JAMES JONES, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, a firearm and ammunition.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the guilty plea and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendant will remain in the custody of the United States Marshal Service pending sentencing.
Assistant United States Attorney Chris Wilson represented the United States.
Rochester Man Sentenced in Large Scale Marijuana ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney William J. Hochul Jr. announced today that Luis Marrero, 32, of Rochester, NY, who was convicted of conspiracy to distribute marijuana, was sentenced to 36 months in prison by U.S. District Judge Charles J. Siragusa.
Assistant U.S. Attorney Douglas E. Gregory, who handled the case, stated that Marrero and six co-defendants were arrested in January 2013. Between 2007 and 2013, the defendant and others obtained and distribute more than 100 kilograms of marijuana, the majority of which was obtained from identified sources located on the Akwesasne Mohawk Indian Reservation in the Northern District of New York. On several occasions, the defendant personally traveled to the Akwesasne Mohawk Indian Reservation in order to obtain marijuana which was later sold in the Rochester area. Marrero is the fourth person to be sentenced in this conspiracy.
The sentencing is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of James J. Hunt, New York Field Office, along with officers and investigators with the Rochester Police Department, under the direction of Chief Michael Ciminelli, the Greater Rochester Area Narcotics Enforcement Team (GRANET), and the New York State Police under the direction of Major Craig Hanesworth.
Redding Man Sentenced to 8 Years in Prison for Interstate Trafficking of Marijuana and Money LaunderingRead the Press Release
SACRAMENTO, Calif. — Glen Edward Meyers, 57, of Shasta Lake, was sentenced on Wednesday by United States District Judge Kimberly J. Mueller to eight years in prison for conspiring to distribute marijuana and conspiracy to launder money, United States Attorney Benjamin B. Wagner announced.
According to court documents, Meyers conspired with others to manufacture and distribute marijuana that had been grown in California and shipped to Pennsylvania for sale. When Meyers was arrested in Shasta Lake in September 2013, federal agents discovered numerous guns at his house, approximately 20 pounds of processed marijuana packaged for resale, as well as cash, heat sealers, and other indicia of drug trafficking. At the time, there were three minor children living in the home. As part of the investigation, agents also discovered a warehouse at another location, which contained approximately 490 plants in various stages of growth.
The government ultimately seized and forfeited approximately $1 million in drug proceeds from various bank accounts and other assets that Meyers controlled.
This case was the product of an investigation by the Internal Revenue Service – Criminal Investigation, and the Sacramento Valley Financial Crimes Task Force, with assistance from the Pennsylvania State Police, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Drug Enforcement Administration, and the Pennsylvania, Washington County Drug Task Force. Assistant United States Attorney Michele Beckwith, Michael D. McCoy, and Kevin Khasigian prosecuted the case.
Ransomville Man Pleads Guilty to Drug ChargesRead 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 Timothy S. Woodean, 52, of Ransomville, NY, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, 100 kilograms or more of marijuana, before U.S. District Judge Richard J. Arcara. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years, and a $2,000,000 fine.Assistant U.S. Attorney Edward H. White, who is handling the case, stated that, between 2002 and April 2010, the defendant conspired with Edward C. Lynch, Bonnie R. Gordon, David G. Davis, and others to possess and distribute 100 kilograms or more of marijuana. Woodean and others arranged for bulk quantities of marijuana to be smuggled from Canada into the United States, often times using spare tires stuffed with marijuana. The vehicle used in the smuggling would then be driven to one of several locations in Niagara County, where the tire would be taken apart and the marijuana recovered for further distribution to suppliers, including Davis. Davis and other suppliers purchased multiple kilogram quantities of the marijuana that had been smuggled into the United States and then sold the marijuana to other customers. Similarly, money was pooled by and between the defendant, Lynch, and others, which was secreted and transported to Canada from the United States for payment for the bulk quantities of marijuana referenced above.
Defendants Lynch and Gordon have been convicted and are awaiting sentencing. Charges are pending against Davis. 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 result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Acting Special Agent in Charge J. Michael Kennedy.
Sentencing is scheduled for July 31, 2015, before Judge Arcara.
Purported Investment Adviser Pleads Guilty in Manhattan Federal CourtRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that STEVEN WESSEL, a/k/a “Wes Wessels,” pled guilty today in Manhattan federal court to securities fraud, wire fraud, and aggravated identity theft. Specifically, WESSEL admitted engaging in a scheme to defraud two investors and unlawfully using the identity of another person in furtherance of that scheme. WESSEL was arrested June 24, 2014, and pled guilty to a three-count Indictment before U.S. Magistrate Judge Ronald L. Ellis.
Manhattan U.S. Attorney Preet Bharara said: “Steven Wessel sold himself to his clients as a savvy investment adviser. But instead, he gave them nothing but lies and false promises. Wessel developed an elaborate scheme to defraud his investors, which included faking his identity and creating false investment statements. With today’s guilty plea, Wessel’s days of deception are over.”
According to the allegations contained in the Indictment, the underlying criminal Complaint unsealed on June 24, 2014, and statements made during court proceedings:
From June 2013 through April 2014, WESSEL ran a fraudulent investment scheme. WESSEL, who claimed to be the Chairman and Executive Managing Member of Steeplechase USA, LLC (“Steeplechase USA”), located in New York, New York, represented to an investor (“Investor A”) that Steeplechase USA was in the business of trading securities. WESSEL personally solicited $200,000 from Investor A on the understanding that the funds would be solely invested in securities.
Contrary to WESSEL’s promise to invest Investor A’s funds in securities, WESSEL used all of Investor A’s money for his own personal benefit, including for cash withdrawals and personal expenses, including the payment of $25,000 toward a restitution obligation from a prior judgment of conviction. WESSEL did not tell Investor A about this misappropriation. Instead, WESSEL falsely represented to Investor A that his $200,000 investment had gained tens of thousands of dollars and that Steeplechase USA’s portfolio had gained approximately 167 percent in 2013. Furthermore, in connection with this fraudulent scheme, WESSEL sent Investor A multiple emails that purported to come from Steeplechase USA’s accountant (“Accountant 1”). In those emails, WESSEL, pretending to be Accountant 1 without Accountant 1’s knowledge or permission, made multiple false statements concerning Investor A’s investment with Steeplechase USA.
When Investor A requested to withdraw his funds from Steeplechase USA, WESSEL solicited a $550,000 loan from a second investor (“Investor B”). WESSEL falsely represented that he would use Investor B’s money to provide financing for a commercial real estate project. To induce Investor B to lend him money, WESSEL, among other things, created and sent a fabricated email to Investor B. The fabricated email purported to be from a bank and made it appear as if the real estate project was legitimate.
Contrary to WESSEL’s promise to Investor B, WESSEL used all of Investor B’s money for his own benefit, including to pay $251,000 to Investor A – money that, according to WESSEL, represented Investor A’s initial $200,000 investment and $51,000 in fictitious trading profits.
WESSEL, 57, of New York, New York, pled guilty to one count of securities fraud, one count of wire fraud and one count of aggravated identity theft. The securities fraud count carries a maximum sentence of 20 years in prison and a maximum fine of $5 million, or twice the gross gain or loss from the offense. The wire fraud count carries a maximum sentence of 20 years in prison and a maximum fine of $250,000, or twice the gross gain or loss from the offense. The aggravated identity theft count carries a mandatory sentence of two years in prison, which must be served consecutively to the sentence imposed for the wire fraud count. The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Bharara praised the work of the Criminal Investigators of the United States Attorney’s Office, who investigated this case.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Damian Williams is in charge of the prosecution. Assistant U.S. Attorney Andrew Adams of the Office’s Money Laundering and Asset Forfeiture Unit is responsible for the forfeiture of assets.
Prison Tax Fraud Ringleader Pleads Guilty to Filing False Claims for Federal Tax ReturnsRead the Press Release
SACRAMENTO, Calif. — Edwin Ludwig IV, 34, currently an inmate in an Oklahoma state prison, pleaded guilty on Wednesday to one count of conspiracy to defraud the United States and two counts of filing false claims for federal tax refunds, United States Attorney Benjamin Wagner announced.
According to court documents, beginning in March 2011, Ludwig and three fellow inmates in the California Correctional Center in Susanville obtained personal identification information of other inmates at the correctional center. Ludwig then provided the information to co-defendants on the outside who prepared and filed false income tax returns with the Internal Revenue Service, claiming refunds to which the inmates were not entitled. False tax returns also were filed in some of the defendants’ own names. The defendants caused the false refund checks to be deposited to various bank accounts they controlled. According to the indictment, the investigation into the conspiracy began on January 11, 2012, when a correctional officer found some records behind Ludwig’s personal locker.
According to court documents, the refunds were used for personal expenditures, and included the purchase of prepaid debit cards, and adding money to inmates’ commissary accounts. In all, the conspiracy resulted in at least 247 false claims for income tax returns in tax years 2008 through 2011. Although the IRS stopped some of the refunds, approximately 138 fraudulent refunds totaling approximately $219,984 were issued.
This case is the product of an investigation by the Internal Revenue Service, Criminal Investigation, the Federal Bureau of Investigation, and the Investigative Service Unit at the California Correctional Center. Assistant United States Attorney Sherry D. Hartel Haus is prosecuting the case.
Ludwig is scheduled to be sentenced by Judge Kimberly J. Mueller on July 8, 2015. On the conspiracy count, he faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. He faces additional a maximum sentence of five years in prison and a $250,000 fine on each false claims count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Docket #: 2:14-cr-043 KJM
Prior Sex Offender Arrested in Ohio on Federal Child Pornography Charges Filed in New MexicoRead the Press Release
ALBUQUERQUE – Michael Glover, 35, of Canton, Ohio, was arrested yesterday in Ohio on an indictment alleging child pornography charges that was filed on April 14, 2015, by a federal grand jury sitting in Albuquerque, N.M. Glover made his initial appearance on the indictment yesterday afternoon in the U.S. District Court in the Northern District of Ohio. During those proceedings, the court ordered the U.S. Marshals Service to transport Glover to the U.S. District Court for the District of New Mexico in Albuquerque, N.M., so he may face the charges against him.
The six-count indictment charges Glover, a former Albuquerque resident, with three counts of distribution of visual depictions of minors engaged in sexually explicit conduct and three counts of possession of visual depictions of minors engaged in sexually explicit conduct. The three distribution counts allege that Glover distributed child pornography in Bernalillo County, N.M., on May 27, 2013, Aug. 11, 2013, and Aug. 12, 2013. The three possession counts allege that Glover possessed child pornography in Bernalillo County during three periods in 2013: from May 24, 2013 to Aug. 19, 2013; from July 18, 2013 to Aug. 19, 2013; and from July 21, 2013 to Aug. 19, 2013. The indictment includes forfeiture provisions that seek forfeiture of Glover’s laptop computer and computer media.
The penalty upon conviction on each of the three distribution counts is a mandatory minimum of 15 years and a maximum of 40 years in federal prison. The penalty upon conviction on each of the three possession counts is a mandatory minimum of ten years and a maximum of 20 years in federal prison. Glover faces these enhanced penalties because of his status as a prior felon convicted on sex-related charges. Charges in indictments are merely accusations and criminal defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the Albuquerque office of Homeland Security Investigations, the New Mexico Office of the Attorney General, the Bernalillo County Sheriff’s Office and the New Mexico Internet Crimes Against Children (ICAC) Task Force. Assistant U.S. Attorney Shammara H. Henderson is prosecuting the case.
The case is brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
The case also was brought as a part of the New Mexico ICAC Task Force’s mission, which is to locate, track, and capture Internet child sexual predators and Internet child pornographers in New Mexico. There are 80 federal, state and local law enforcement agencies associated with the New Mexico ICAC Task Force, which is funded by a grant administered by the New Mexico Office of the Attorney General. Anyone with information relating to suspected child predators and suspected child abuse is encouraged to contact federal or local law enforcement.
Prior Felon from Albuquerque Sentenced to 103 Months in Prison for Violating Federal Firearms LawsRead the Press Release
ALBUQUERQUE – Nicholas Richard Blume, 37, of Albuquerque, N.M., was sentenced this afternoon in federal court to 103 months in federal prison followed by three years of supervised release for being a felon in possession of a firearm and ammunition.
Blume was prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Blume was arrested in Feb. 2014, on a criminal complaint alleging that he unlawfully possessed a firearm and ammunition on Feb. 10, 2014, in Bernalillo County, N.M. Blume subsequently was indicted on that same charge on March 11, 2014. According to court filings, Blume was prohibited from possessing firearms and ammunition in Feb. 2014, because he previously had been convicted of receiving and transferring a stolen motor vehicle, aggravated battery with a deadly weapon causing great bodily harm, extortion, possession of an imitation controlled substance, possession of a methamphetamine and robbery.
On Sept. 24, 2014, Blume admitted to the possession of a semiautomatic handgun with a high capacity magazine and ammunition on Feb. 12, 2014. Blume acknowledged that he was prohibited from possessing the firearm and ammunition because he was a convicted felon.
This case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department with assistance from the 2nd Judicial District Attorney’s Office. Assistant U.S. Attorney Louis E. Valencia prosecuted the case.
Pittsburg Residents Charged with Using Stolen Identities to File False Tax ReturnsRead the Press Release
OAKLAND –A federal grand jury indicted Michael Johnson and Nicole Berry with conspiracy to file false claims, filing false claims, theft of public money, wire fraud, aggravated identity theft, and effecting fraudulent transactions with access devices, announced United States Attorney Melinda Haag and Internal Revenue Service, Criminal Investigation, Special Agent in Charge José M. Martinez.
According to the indictment, between February 2012 and May 2012, Johnson and Berry, both from Pittsburg, California, conspired to defraud the IRS by filing or helping others file false claims with the IRS requesting refunds in the names of others. As part of the scheme, the defendants and their co-conspirators obtained income tax returns, names, and identities of individual taxpayers from client tax files that were stolen during a 2011 burglary of a tax preparation business whose initials are CTS. Johnson and Berry prepared or assisted others in preparing fraudulent 2011 federal income tax returns in the names of CTS’ clients by copying certain information reported on the income tax returns stolen from CTS, including names and social security numbers. The defendants electronically filed or assisted in filing false federal income tax returns with the IRS using the identities stolen from CTS. Additionally, as part of the scheme, Johnson and Berry, and their co-conspirators requested that the IRS transmit the fraudulent refunds to accounts linked to prepaid debit cards.
Johnson was arrested on April 21, 2015, and made his initial appearance in federal court in Oakland on April 22, 2015. He was released on a $100,000 unsecured bond. His next scheduled appearance is on May 11, 2015, before the Honorable Haywood S. Gilliam, Jr., U.S. District Judge. Berry is currently in custody in Placer County on unrelated charges.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendants face the following maximum sentences: 5 years in prison and a $250,000 fine for each count of filing false claims, in violation of 18 U.S.C. § 287; 10 years in prison and a fine of $250,000 for conspiracy to file false claims, in violation of 18 U.S.C. § 286, and for each count of theft of public money, in violation of 18 U.S.C. § 641; 15 years in prison and a fine of $250,000 for each count of effecting fraudulent transactions with access device, in violation of 18 U.S.C. § 1029(a)(5); 20 years in prison and a $250,000 fine for each count of wire fraud, in violation of 18 U.S.C. § 1343; and 2 years in prison, consecutive to underlying felony, and a fine of $250,000 for aggravated identity theft, in violation of 18 U.S.C. § 1028A. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Thomas Newman and Jose A. Olivera are prosecuting the case. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation, with the assistance of the Antioch and Pittsburg Police Departments.
Philadelphia Woman Indicted on Charges She Tried to Assist and Join ISILRead the Press Release
PHILADELPHIA – Keonna Thomas, a/k/a “Fatayat Al Khilafah,” a/k/a “YoungLioness,” 30, of Philadelphia, was charged today by indictment with knowingly and intentionally attempting to provide material support and resources, including herself as personnel, to a foreign terrorist organization, to wit: the Islamic State of Iraq and the Levant, announced United States Attorney Zane David Memeger and FBI Special Agent-in-Charge Edward Hanko. Thomas was arrested on April 3, 2015 on a criminal complaint.
If convicted, the defendant faces a maximum possible sentence of 15 years in prison.
The case was investigated by the FBI’s Joint Terrorism Task Force and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney Jennifer Arbittier Williams and Trial Attorney Paul Casey of the Counterterrorism Section in the Justice Department’s National Security Division.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Palm Beach County Couple Sentenced to Prison for Bankruptcy FraudRead the Press Release
A Palm Beach County couple was sentenced by Senior U.S. District Judge Kenneth L. Ryskamp in West Palm Beach for their participation in a bankruptcy fraud scheme.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
Husband and wife Dr. Richard S. Krugman, 61, and Tamara B. Giordano, 54, each previously pled guilty to one count of bankruptcy fraud, in violation of Title 18, United States Code, Section 152. Krugman and Giordano were each sentenced to one year and one day in prison and ordered to pay restitution in the amount of $27,294.35.
According to court documents and information presented during the sentencing hearing, Krugman and Giordano were the owners of a multi-million dollar health care company that took a downturn in 2006. On August 27, 2008, the two filed a joint personal bankruptcy petition in United States Bankruptcy Court in Palm Beach County, Florida before Judge Erik P. Kimball. Upon filing for bankruptcy, Krugman and Giordano were required, and knew that they were required, to report all assets in which they had any interest. At the time of filing, the defendants claimed they owed almost $3 million to creditors and had available assets worth less than $13,000.
An investigation revealed that Krugman and Giordano knowingly and fraudulently concealed and caused to be concealed property belonging to their bankruptcy estate. Specifically, Krugman and Giordano admitted concealing jewelry and other valuables, including a women’s gold and diamond Rolex watch, a gold ring with two carats of diamonds, diamond earrings, Royal Dalton china, Waterford crystal, silver, and two George Rodrigue “Blue Dog” lithographs, signed and numbered.
U.S. Attorney Wifredo A. Ferrer stated, “Criminal bankruptcy fraud can pose a threat to the economy and those who honestly abide by the bankruptcy laws. Those who hide their assets from the bankruptcy court to enrich themselves should know they may be prosecuted and imprisoned for their misdeeds.”
Mr. Ferrer commended the investigative efforts of the FBI. This case is being prosecuted by Assistant U.S. Attorney Carolyn Bell.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.justice.gov/usao-sdfl. 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.
Pearl Resident Sentenced to Prison on Drug ChargesRead the Press Release
Natchez, Miss - William Charles Carroll, a/k/a CC, 40, of Pearl, was sentenced on April 22, 2015 by U.S. District Judge David C. Bramlette III to 121 months in prison for possession with intent to distribute more than 50 grams of methamphetamine; and 60 months in prison for use of a firearm in relation to a drug trafficking offense, announced U.S. Attorney Gregory K. Davis. The sentences will run consecutively for a total of 181 months in prison.
Carroll pled guilty to the charges on January 8, 2015 before U.S. District Judge David C. Bramlette III.
This case was investigated by the Drug Enforcement Administration HIDTA and the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Hinds County Sheriff’s Department, Mississippi Highway Patrol, Warren County Sheriff’s Department and the Pearl Police Department. It was prosecuted by Assistant U.S. Attorney Erin Chalk.
Owner of R.I. Employment Agencies to Plead Guilty in Federal Court to Fraudulently Collecting Temporary Disability Insurance and Unemployment BenefitsRead the Press Release
PROVIDENCE, R.I. – According to documents filed in U.S. District Court in Providence on Wednesday, Paul Spremulli, 54, of Coventry, R.I., the owner and president of PKS Associates and Temp Depot, temporary employment agencies located in Cranston, is expected to plead guilty to a charge of wire fraud, admitting that he fraudulently applied for and collected approximately $63,789 in Temporary Disability Insurance (TDI) and Unemployment Insurance benefits from the Rhode Island Department of Labor and Training.
United States Attorney Peter F. Neronha and Cheryl Garcia, Special Agent in Charge of the New York Region of the Department of Labor - Office of Labor Racketeering and Fraud Investigations announced today that an investigation by the United States Attorney’s Office and the United States Department of Labor determined that at various times between February 2008 and May 2013, Paul Spremulli allegedly falsely claimed that he had either become incapacitated and was unable to work or that he had been laid off from his own businesses in order to collect TDI benefits and Unemployment Insurance benefits from the State of Rhode Island.
It is alleged in an Information filed with the court that from February 11, 2008 through early September 2008, and again from February 19, 2013 through early May 2013, while working full-time for PKS Associates and Temp Depot, Spremulli fraudulently claimed to the Rhode Island Department of Labor and Training that he was incapacitated and was unable to work. It is alleged that he collected TDI payments totaling $31,245 to which he was not entitled.
Additionally, it is alleged in court documents that from November 19, 2009 through early December 2010, Spremulli fraudulently claimed he had been laid off from PKS Associates and Temp Depot, and that he collected $32,994 in Unemployment Insurance benefits to which he was not entitled because he was working full-time.
The case is being prosecuted by Assistant U.S. Attorney Dulce Donovan.
Wire fraud is punishable by a statutory penalty of up to 20 years in federal prison and a fine of up to $250,000.
Additionally, according to a Plea Agreement filed in this matter, Spremulli is required to pay full restitution in the amount of $63,789 to the State of Rhode Island prior to or on the date of sentencing.
The Rhode Island Department of Labor and Training Fraud Unit, which first discovered the alleged scheme by Spremulli to defraud the state agency, assisted the United States Attorney’s Office and the United States Department of Labor in the investigation of this matter.
An Information is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
###
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Organizer of Gun Sales Given Maximum Sentence for Trafficking in Stolen FirearmsRead the Press Release
Firearms were stolen during the course of numerous burglaries throughout Hampton Roads and Northeastern North Carolina
NORFOLK, Va. – Direll Lamar Jackson, 30, of Suffolk, Virginia, was sentenced today to 240 months in prison, the maximum sentence, followed by 3 years of supervised release for possessing and concealing stolen firearms and being a felon in possession of firearms.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Charles E. Smith, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Washington Field Division; and Karl C. Colder, Special Agent in Charge for Drug Enforcement Administration’s Washington Division Office made the announcement after the sentencing by U.S. District Judge Arenda Wright Allen.
Jackson pled guilty to possessing and concealing stolen firearms and being a felon in possession of firearms on January 20, 2015.
According to a statement of facts filed with the plea agreement, in the autumn of 2014 Jackson was part of a conspiracy that was breaking into homes and cars in the area and stealing property, including firearms. Soon after the burglaries, the conspirators would sell the stolen guns. Jackson was the one responsible for reaching out to potential buyers, negotiating prices, and arranging the sales. One of the potential buyers Jackson contacted was a confidential informant, who turned the information over to the DEA and ATF. During the course of the investigation, DEA and ATF used an informant to purchase a total of nineteen firearms from Jackson and his co-conspirators. On November 17, 2014, DEA and ATF executed a search warrant at the property where the gun transactions had been occurring and recovered a total of over twenty additional firearms. The investigation has revealed that Jackson and his co-conspirators possessed at least forty-six firearms, thirty-nine of which have been confirmed to be stolen from numerous break-ins in Hampton Roads and Northeastern North Carolina. The losses to the victims from the larcenies and burglaries in this case exceed $70,000. Jackson has been ordered to make full restitution as part of his sentence.
Co-defendants Lamonte Rashawn Willis and Travis Travel Scott will both be sentenced on May 14, 2015. Both co-defendants face a maximum penalty of 20 years in prison when sentenced.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Drug Enforcement Administration. The burglaries were investigated by the City of Suffolk Police, Isle of Wight County Sheriff’s Office, Surry County Sheriff’s Office, and Gates County Sheriff’s Office. Assistant U.S. Attorney Kevin Hudson is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:14-cr-178.
Northern California Developer and Escrow Agent Indicted in Multimillion Dollar Commercial Loan FraudRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a 21-count indictment today against Abolghasseni “Abe” Alizadeh, 56, of Granite Bay, and Mary Sue Weaver, 62, of Roseville, charging them with various counts of mail, wire and bank fraud in connection with schemes to defraud lenders in large commercial real estate transactions between mid-2004 and April 2008, United States Attorney Benjamin B. Wagner announced.
According to court documents, Alizadeh, a property developer, was formerly the principal partner in Kobra Properties, a company that owned numerous commercial real estate properties in Northern California. Alizadeh also owned dozens of Jack in the Box, TGI Fridays, Sonic Burger, Qudoba Mexican Grills and other restaurants in the region. Although his assets at one point had an estimated value of $1 billion, Kobra and several other entities controlled by Alizadeh filed for bankruptcy in 2008. Weaver was an escrow officer with Placer Title Company. The indictment alleges that she and Alizadeh engaged in a scheme to get loans at inflated amounts on commercial and residential real estate. To carry out the scheme, Alizadeh allegedly would submit false information, including altered purchase contracts for million-dollar property purchases, to federally insured banks in order to make it appear that Alizadeh was purchasing the properties for a greater amount than the actual purchase price. According to court documents, Weaver assisted the fraud scheme in various ways including by taking the money belonging to other Placer County clients and temporarily moving the funds into accounts controlled by Alizadeh.
“Over the last five years, we have prosecuted over 300 mortgage fraud defendants,” said U.S. Attorney Wagner. “Although we are seven years removed from the financial crisis, the statute of limitations has not run on many offenses from that period. We will continue to investigate and to hold accountable those whose conduct defrauded others and helped precipitate a financial crisis that did so much harm to homeowners, investors and the financial system.”
Wade V. Walters, Special Agent-in-Charge for of the FDIC Office of Inspector General’s Office of Investigations stated: “The Federal Deposit Insurance Corporation (FDIC) Office of Inspector General is pleased to join the U.S. Attorney’s Office and our law enforcement colleagues in bringing about this indictment. Our office is particularly concerned about conduct that could affect the safety and soundness of FDIC-insured institutions. We are committed in our efforts to help ensure integrity in the financial services industry.”
This case is the product of an investigation by the Federal Bureau of Investigation, the Internal Revenue Service—Criminal Investigation, and the Federal Deposit Insurance Corporation Office of Inspector General. Assistant United States Attorneys Michael D. Anderson and Heiko P. Coppola are prosecuting the case.
If convicted, Alizadeh and Weaver face a maximum statutory penalty of 30 years in prison and a $1 million fine for each count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are each presumed innocent until and unless proven guilty beyond a reasonable doubt.
Docket #: 2:15-cr-087-KJM
North Carolina Man Charged in Child Exploitation CaseRead the Press Release
PHILADELPHIA - Ivan Zubiaga, 51, of Waxhaw, NC, was charged today by indictment with one count of transporting images of minors engaging in sexually explicit conduct and one count of possession of images of minors engaging in sexually explicit conduct, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of 40 years in prison, with a mandatory minimum sentence of five years, a mandatory minimum term of five years of supervised release up to a lifetime of supervised release, a $500,000 dollar fine, and a $200 special assessment.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by Homeland Security Investigations, with assistance from Customs and Border Protection, and is being prosecuted by Assistant United States Attorney Michael L. Levy.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Newington Woman Sentenced to Two and a Half Years in Prison for Participating in Extensive Mortgage Fraud SchemeRead the Press Release
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MALGORZATA KARAS-GOLKA, also known as “Margaret,” 46, of Newington, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 30 months of imprisonment, followed by five years of supervised release, for her role in an extensive mortgage fraud conspiracy. She was also ordered to pay $166,500 in restitution.
According to court documents and statements made in court, from approximately June 2005 to July 2010, KARAS-GOLKA, Filippos Milios, and others conspired to defraud banks and mortgage lenders in obtaining dozens of mortgages for the sale of properties owned by Milios, KARAS-GOLKA and others. The conspiracy involved the use of straw borrowers, false mortgage applications, false HUD-1 forms and fraudulent down payments in connection with the purchase of nearly 50 houses primarily located in Hartford, New Haven and Middlesex counties.
As part of the scheme, Milios purchased properties, either in his own name, in a limited liability corporation in which he had an interest, or with KARAS-GOLKA. Unbeknownst to the lenders who extended mortgages to the borrowers, KARAS-GOLKA submitted fraudulent documents in connection with the loan applications, including false HUD-1 forms, employment verification letters, and rental verification letters.
Many of the properties involved in the scheme ended up in foreclosure and lenders lost a total of approximately $5.6 million.
KARAS-GOLKA directly participated in nine fraudulent real estate transactions over a two-year period. She falsely acted as a borrower, seller, landlord, and employer.
On November 5, 2014, KARAS-GOLKA pleaded guilty to one count of bank fraud.
Former attorney Gabriel Serrano, who performed many of the real estate closings as part of the conspiracy, and Carmelinda Marotta, who helped flip and sell some properties, previously entered guilty pleas for their participation in the mortgage fraud scheme. Both await sentencing.
This matter was investigated by the U.S. Department of Housing and Urban Development – Office of Inspector General, the Internal Revenue Service – Criminal Investigation Division, the Federal Bureau of Investigation, and the United States Postal Inspection Service. The case was prosecuted by Assistant U.S. Attorneys David T. Huang and William J. Nardini.
New York City Man Charged in Manhattan Federal Court in Connection with Threats Made to A New York SchoolRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Diego Rodriguez, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced that DANIEL GRUBER was arrested yesterday on stalking charges related to threats he allegedly made to a New York school and its leadership.
According to the allegations in the Complaint unsealed today in Manhattan federal court:
During March and April 2015, DANIEL GRUBER made a series of harassing internet posts, emails, and telephone calls to various individuals associated with the school. The internet posts were made using different aliases on Google Plus, a social media platform, and became increasingly violent and threatening during the days and weeks before GRUBER’s arrest. In one of these posts, for example, GRUBER, using the alias “Daniel Wintour,” threatened to “burn [the school] to the ground.” In another post, GRUBER, using the same alias, stated that he had prayed and “intend[ed] to destroy the school.” These posts were public.
In addition to threatening the school, GRUBER also threatened multiple individuals affiliated with the school’s leadership. GRUBER told one victim, for example, that he “shoot[s] to kill,” and, on multiple occasions, warned the victim to watch for “the red dot” on his forehead. Other posts referenced and made threats to the victim’s business and family.
GRUBER, 36, was taken into federal custody yesterday in New York, New York. He is charged with one count of stalking. In connection with this charge, GRUBER faces a maximum sentence of five years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Bharara praised the investigative work of the FBI in this matter. He also thanked the New York City Police Department for its assistance with this investigation.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Robert Allen is in charge of the prosecution.
The charges and allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Nevada Man Pleads Guilty to Wire Fraud Charge for Operating A Ponzi Scheme Involving E-mini S&P Futures and Lying to the SECRead the Press Release
LOS ANGELES – The architect of a fraudulent investment scheme pleaded guilty today to federal wire fraud and false statement charges related to a Ponzi scheme that bilked victims out of millions of dollars.
Gordon Driver, 58, of Henderson, Nevada, pleaded guilty to the two felony counts before United States District Judge John A. Kronstadt.
In a plea agreement filed in United States District Court, Driver falsely told victims that he was producing profits of 1 percent to 5 percent a week through a commodity futures trading program involving E-mini S&P 500 futures contracts. Driver also told victims that he had never sustained a monthly net loss as a result of his trading.
In reality, his trading activity was overwhelmingly unprofitable, causing him to lose nearly almost all the money that he used to trade commodities.
Investigators believe that Driver took in at least $15 million and that investors – including several Southland residents and people in Canada – collectively lost at least $9 million as a result of the scheme.
Driver solicited investments through Nevada-based companies with names like Axcess Automation LLC, which was under investigation by the Securities and Exchange Commission in 2009 when Driver testified under oath. During this testimony, which was given under penalty of perjury, Driver said that he did not have a monthly negative return during the second half of 2007 – a statement that was false and which forms the basis of the second charge to which he pleaded guilty.
As a result of today’s guilty pleas, Driver faces a statutory maximum sentence of 25 years in federal prison when he is sentenced by Judge Kronstadt.
The criminal case against Driver is the result of a joint investigation by the Federal Bureau of Investigation and the United States Postal Inspection Service, both of which received assistance from the Commodities Futures Trading Commission, the SEC, the Attorney General of Ontario (Canada), and the Ontario Securities Commission.
Release No. 15-035
National Crime Victims' Rights Week “Engaging Communities. Empowering Victims”Read the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
BUFFALO--U.S. Attorney William J. Hochul, Jr. commemorated National Crime Victims' Rights Week by hosting a Victims' Rights awards ceremony today. National Crime Victims' Week is held each year to celebrate landmark federal legislation that was enacted 27 years ago on behalf of victims of crime.In 2004, Congress passed the Crime Victims’ Rights Act (CVRA). The CVRA grants victims in federal criminal proceedings certain enforceable rights, including the right to be reasonably heard at public court proceedings and to receive full and timely restitution as provided by law.
During the ceremony, U.S. Attorney William J. Hochul, Jr. presented awards in recognition of National Crime Victims' Week. This year's award recipients are:
Assistant United States Attorney - Mary C. Baumgarten was honored for her exceptional work in obtaining restitution on behalf of victims.
Federal Law Enforcement Agent - United States Immigration and Customs Enforcement Special Agents Patricia Calleri and Peter Uzarowski were honored for their tireless efforts on behalf of victims of human trafficking.
Local Law Enforcement - Buffalo Police Detectives Brian Ross and Mary Evans were honored for their efforts on behalf of victims on gang violence.
Victim Advocate - David Kagle, Esq., Legal Assistance of WNY, was honored for his efforts to promote the positive possibilities of “whistleblower” actions.
United States Attorney’s Office Support Staff - Ann Morrow was honored for her aggressive efforts to obtain restitution on behalf of victims.
The ceremony, which was organized by Victim Witness Coordinator Sharon Knope, was attended by numerous friends, colleagues, and family members of the award recipients. A special award was presented to a victim of crime for her courage and dedication to the criminal justice system.
"This Office is please to celebrate the tremendous dedication of those who work incredibly hard on behalf of victims of crime,” said U.S. Attorney Hochul. “An event such as this provides the opportunity to reflect that without the efforts of law enforcement, violent predators would pursue the most vulnerable without fear of consequence. At the same time, we recognize the great strength and courage of victims willing to assist law enforcement and see that justice is done.”
Millersville Man Sentenced to 16 Years in Prison for the Armed Robberies of Cell Phone StoresRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake sentenced Parris Benjamin Chisholm, age 24, of Millersville, Maryland, today to 16 years in prison, followed by three years of supervised release, for armed robbery and brandishing a firearm during a crime of violence, related to the robberies of cell phone stores.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Anne Arundel County Police Chief Tim Altomare; Chief J. Thomas Manger of the Montgomery County Police Department; and Chief Mark A. Magaw of the Prince George’s County Police Department.
According to his plea agreement, from January 29, 2013 through his arrest on March 26, 2013, Chisholm participated in the armed robberies of five cell phone stores in Anne Arundel, Baltimore and Montgomery Counties, along with co-defendants Donald Scott Deans, and Tyran Antwain Lane.
Specifically, Chisholm, his co-defendants, and others, planned and organized the theft of cash, credit cards, cell phones, portable electronic communications devices, and tablet computers from businesses, their employees and customers. Chisholm and his co-defendants then sold the stolen property for cash. According to his plea agreement and other court documents Chisholm or his co-defendants used and brandished a gun to intimidate the employees during the robberies. In at least three of the armed robberies the defendants used duct tape to restrain employees and trash bags to carry the stolen items. The defendants used Chisholm’s car to travel to and from the robberies and to transport the stolen property and guns used during the robberies. Cell phone records show that Chisholm, his co-defendants and others involved in the robberies and/or the sale of the stolen items communicated by cell phone calls and text messages before and after the robberies.
Chisholm was arrested on March 26, 2013, after the burglary of a cell phone store in the 7700 block of Belair Road in Baltimore County. Chisholm used a rock to break a window in the front of the store and stole four cell phones. Police pulled him over while he was driving his car. Law enforcement recovered new and used rolls of duct tape, clothing, and hats similar to those described by robbery victims from the car. The stolen cell phones were also recovered from the car. Video from the victim store recorded Chisholm as he committed the robbery.
Donald Scott Deans, age 23, of Largo, Maryland; and Tyran Antwain Lane, age 23, of New Carrollton, Maryland, previously pleaded guilty to their participation in the robberies. Deans is scheduled to be sentenced on April 24, 2015, at 9:15 a.m., and Lane is scheduled to be sentenced on July 31, 2015 at 11:30 a.m.
United States Attorney Rod J. Rosenstein praised the FBI, Anne Arundel County, Montgomery County, and Prince George’s County Police Departments, for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney John F. Purcell, Jr., who is prosecuting the case.
Midland Man Sentenced to Federal Prison for Possessing Child PornRead the Press Release
Today in Midland, U.S. District Judge Robert A. Junell sentenced 29–year-old Matthew Lee Weidner to 121 months in federal prison followed by ten years of supervised release for possessing child pornography announced Acting United States Attorney Richard L. Durbin, Jr., and Texas Attorney General Ken Paxton.
According to court records, in March 2014, an investigator with the Texas Attorney General’s Office discovered more than a dozen videos containing child pornography available for download off the internet. After downloading several of the files, investigators were able to identify the defendant’s residence and executed a search warrant at that location on May 8, 2014. During the search, authorities seized a computer belonging to the defendant. A subsequent forensics examination of the defendant’s computer revealed the presence of more than 600 images depicting child pornography produced by the defendant.
On January 12, 2015, Weidner pleaded guilty to possessing child pornography. As part of the plea agreement, Weidner admitted to inappropriately touching several different children over the course of his lifetime, in addition to the possession of child pornography.
The case was investigated by the Texas Attorney General’s Office Cyber Crimes Unit and prosecuted by Assistant U.S. Attorney Austin Berry.
Michael Smith Sentenced for Tax Evasion and Structuring Financial TransactionsRead the Press Release
SOUTH BEND – United States Attorney for the Northern District of Indiana, David Capp, announced that Michael Smith, of Mishawaka, Indiana, was sentenced today for tax evasion and structuring financial transactions.
Smith, age 60, was sentenced to 27 months imprisonment and will be required to pay restitution in the amount $429,795 to the Internal Revenue Service. In addition Smith will forfeit $656,019 cash to the United States. Smith pleaded guilty on 12/11/2014 to 1 count of tax evasion and 1 count of structuring financial transactions.
According to documents in the case, from 2008-2012, Smith, the owner of a heating/cooling business in Mishawaka, evaded over $400,000 in taxes during a five year period by failing to report business income on his tax returns. He also structured multiple cash transactions to avoid bank reporting requirements.
IRS Criminal Investigation Special Agent in Charge Stephen Boyd stated: "Honest, hardworking Americans are the victims and pay the price when others commit tax evasion. As a result of his crime Mr. Smith will pay a significant price and time in prison by attempting to hide income from the IRS."
This case was the result of an investigation by the Internal Revenue Service Criminal Investigation Division and prosecuted by the Assistant United States Attorney Jesse M. Barrett.
Miami-Dade County Resident Pleads Guilty in Identity Theft Tax Fraud SchemeRead the Press Release
A Miami-Dade County resident pled guilty for his participation in an identity theft tax fraud scheme.
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 Steve Steinberg, Chief, Aventura Police Department, made the announcement.
Patrick Exilhome, 23, of Miami-Dade County, pled guilty to one count possession of fifteen or more unauthorized access devices and one count of aggravated identity theft.
According to court documents, law enforcement responded to a hotel and observed four individuals, including Exilhome, smoking marijuana. The individuals were asked to leave the hotel. Before departing, a female from the group asked to retrieve her purse from a hotel room. Officers accompanied the female to the hotel room and discovered, in plain view, a computer, pieces of paper containing names, dates of birth and social security numbers or personal identification information (“PII”), and debit cards in other peoples’ names.
Officers obtained a search warrant for the hotel room and seized the computer, approximately 131 forms of PII and 16 credit/debit cards in other peoples’ names. A forensic analysis of the computer revealed thirty “recently used” websites for tax filings and access to debit/credit cards. PII belonging to individuals, other than the defendant, had been saved to the websites. Latent print analysis revealed that Exilhome’s prints were on the computer and pieces of paper that contained PII.
Exilhome is scheduled to be sentenced by U.S. District Court Judge Kathleen M. Williams on July 16, 2015 at 10:30 a.m. At sentencing, Exilhome faces a maximum of ten years in prison for the access devices 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 Aventura Police Department. This case is being prosecuted by Assistant U.S. Attorney Brooke C. Watson.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.justice.gov/usao-sdfl. 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.
Maryland Man Pleads Guilty to Voluntary Manslaughter in Traffic Fatality in Downtown WashingtonRead the Press Release
WASHINGTON – James B. Chandler, Jr, 33, of Silver Spring, Md., pled guilty today to voluntary manslaughter and driving under the influence of PCP, stemming from a recent traffic fatality in Washington, D.C., Acting U.S. Attorney Vincent H. Cohen, Jr. announced.
Chandler pled guilty in the Superior Court of the District of Columbia, in an Alford plea. Under such a plea, the defendant does not admit the allegations but agrees that the government has enough evidence to secure a conviction; Chandler entered an Alford plea because of his intoxication by PCP at the time of the crash and his inability to recollect events. The Honorable Robert E. Morin scheduled sentencing for July 17, 2015. Chandler faces a statutory maximum of 30 years in prison for the voluntary manslaughter charge. He has been in custody since his arrest.
According to the government’s evidence, on Monday, Feb. 23, 2015, at about 4:50 p.m., during downtown Washington’s rush hour, Chandler drove his SUV at a high rate of speed west on H Street NW, between 2nd and 4th Streets, striking two other vehicles without stopping. As Chandler approached the intersection with 4th Street NW, he crossed over into H Street’s eastbound lanes. Chandler crossed 4th Street and struck the southeast curb of the corner of 4th and H Streets, mounted the sidewalk and struck the retaining wall of the Government Accountability Office (GAO) building. By crashing into the wall, Chandler caused his SUV to flip and roll several times along the south sidewalk of the 400 block of H Street, striking and killing Philip D. Snodgrass, 27, who had been walking on the sidewalk.
The District of Columbia Fire and Emergency Medical Services Department and the Metropolitan Police Department (MPD) arrived on the scene and removed Chandler from the wreck. Chandler admitted to a paramedic that he had smoked a PCP-laced cigarette that day.
Surveillance video, which captured footage of the crash, was examined and it was estimated that Chandler was driving at a speed approaching 60 mph in the 25 mph zone. The video, as well as examination of the crash scene, also indicated that Chandler never attempted to apply his brakes or take any action to avoid the crash.
Mr. Snodgrass was taken to the Washington Hospital Center, where he was pronounced dead. Chandler was taken to Howard University Hospital for treatment. While at the hospital, Chandler was examined by an officer with the MPD’s Driver Impairment Unit, who determined that Chandler was under the influence of a narcotic. Also while at the hospital, Chandler’s blood was drawn, which later tested positive for PCP.
In announcing the plea, Acting U.S. Attorney Cohen praised those who investigated the case for the Metropolitan Police Department, including members of the Major Crash Investigations Unit, the Driver Impairment Unit and the First District. He also expressed appreciation for those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Sandra Lane and Victim/Witness Advocate Jennifer Clark. Finally, he commended the work of Assistant U.S. Attorney Edward A. O’Connell, who is prosecuting the matter.
Man Sentenced for Strangling Two Different Women on Indian ReservationRead the Press Release
A 38-year-old resident of Farwell, Michigan, was sentenced today to 37 months in prison for strangulation of a dating or intimate partner for separate assaults he committed against two different girlfriends, announced U.S. Attorney Barbara L. McQuade.
United States District Judge Thomas L. Ludington also imposed two years of supervised release on Rodney Kenneth House who pled guilty on January 16, 2015.
The evidence established that in early 2014, House threw around one victim, punched her, kicked her, and strangled her to the point she thought she was going to die. The evidence also established that in late 2013, House strangled the other victim multiple times to the point that she thought she was going to pass out. Both incident happened on the Isabella Reservation.
The case was investigated by the Saginaw Chippewa Tribal Police. The case was prosecuted by Assistant United States Attorney Roy Kranz.
Louisiana Doctor Pleads Guilty to Health Care Fraud Charges for Writing False Home Health Certifications in $56 Million Fraud SchemeRead the Press Release
A Louisiana doctor pleaded guilty to federal health care fraud charges today, admitting that he wrote false home health care certifications that were used in a multi-million dollar Medicare fraud scheme.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Kenneth A. Polite of the Eastern District of Louisiana, Special Agent in Charge Michael Anderson of the FBI’s New Orleans Field Office, Special Agent in Charge Mike Fields of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Dallas Regional Office and Louisiana Attorney General James D. “Buddy” Caldwell made the announcement.
Winston Murray, M.D., 62, of Hammond, Louisiana, pleaded guilty before Chief U.S. District Judge Sarah S. Vance of the Eastern District of Louisiana to all three charges against him, including one count of conspiracy to commit health care fraud and two counts of health care fraud. He is scheduled to be sentenced on Aug. 12, 2015. Murray is the ninth defendant to plead guilty in this case. The trial for the remaining four defendants is scheduled to begin on May 6, 2015.
At his plea hearing, Murray admitted that he operated a clinic in Hammond, Louisiana, from which he wrote home health care referrals for Medicare beneficiaries he knew were not confined to their homes. Murray further admitted that his referrals were used by home health companies Interlink Health Care Services Inc. (Interlink) and Lakeland Health Care Services Inc. (Lakeland), among others, to fraudulently bill Medicare for home health services supposedly rendered to hundreds of Medicare beneficiaries living in and around Hammond and New Orleans.
Medicare records reveal that Murray’s certifications were used by Interlink and Lakeland to bill Medicare for more than $2.2 million in home health services that were not medically needed or were not provided. From 2007 through 2014, these companies and other companies involved in this scheme submitted more than $56 million in claims to Medicare, a vast majority of which were fraudulent. Medicare paid approximately $50.7 million on these claims.
This case was investigated by the FBI, HHS-OIG and the Louisiana Attorney General’s Medicaid Fraud Control Unit, and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of Louisiana. This case was prosecuted by Trial Attorneys William Kanellis and Antonio Pozos and Assistant Chief Ben Curtis of the Criminal Division’s Fraud Section.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,100 defendants who have collectively billed the Medicare program for more than $6.5 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Team (HEAT), go to: www.stopmedicarefraud.gov.