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25 March 2015
Mifflin County Man Sentenced for Passing Counterfeit MoneyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a Mifflin County man has been sentenced for his involvement in passing counterfeit $100 Federal Reserve notes.
According to U.S. Attorney Peter Smith, Mohammed Abughaniyeh, age 31, resident of Laury’s Station, Pennsylvania, was sentenced by U.S. District Court Judge Yvette Kane to 10 months’ imprisonment. Abughaniyeh previously pleaded guilty to a felony criminal indictment on September 5, 2014, alleging that from October 2013 to November 2013, he passed counterfeit $100 Federal Reserve notes at local businesses and fruit stands generally located in Mifflin County. Abughaniyeh would buy small items to get genuine U.S. currency in exchange.
The case was investigated by U.S. Secret Service, Pennsylvania State Police, Mifflin County Regional Police Department, Sandy Township Police Department, and Logan Township. Prosecution was assigned to Assistant United States Attorney Daryl F. Bloom.
Metro Denver Bank Executive Vice President Indicted for EmbezzlementRead the Press Release
DENVER – Candice L. White, age 42, of Centennial, Colorado, is scheduled to appear before a U.S. Magistrate Judge this afternoon after a federal grand jury in Denver indicted her on charges of embezzlement and willful misapplication of funds by a bank officer or employee, reported the U.S. Attorney’s Office, the Federal Bureau of Investigation (FBI) and the Special Inspector General of Troubled Asset Relief Program (SIGTARP).
According to the indictment, White was a Senior Vice President of Front Range Bank. From July 2009 through March 2011 she allegedly embezzled more than $92,000 from the bank for her own personal use and for the use of others. In addition, White is charged with willfully misapplying additional funds from other client accounts to an escrow account from which White embezzled the majority of the $92,000 in order to conceal and facilitate her ongoing criminal activity.
Because Front Range Bank received TARP funds, the Special Inspector General (SIGTARP) assisted the FBI in the investigation.
White faces 37 felony counts of embezzlement and willful misapplication of funds from a federally insured bank. If convicted on those counts, she faces not more than 30 years in federal prison, and up to a $250,000 per count. She also faces two misdemeanor counts of embezzlement and willful misapplication of funds from a federally insured bank. If convicted on those counts, she faces not more than 1 year in federal prison, and up to a $100,000 fine.
The defendant is being prosecuted by Assistant U.S. Attorney Pegeen Rhyne.
The charges contained in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.Mason City Man Sentenced to Federal Prison for Cerro Gordo County Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine was sentenced March 23, 2015, to more than 21 years in federal prison.
Christopher Lee Evenson, 32, from Mason City, Iowa, received the prison term after a November 14, 2014, guilty plea to conspiracy to distribute methamphetamine and to possession with intent to distribute methamphetamine. Evenson was previously convicted of possession of marijuana with intent to deliver in 2004.
At the guilty plea, Evenson admitted his involvement from January 2014 through August 2014, in a conspiracy that distributed more than 50 grams of actual (pure) methamphetamine. Evenson was found in possession of 109.75 grams of methamphetamine in August 2014, when the vehicle in which he was a passenger was stopped. The methamphetamine was located under the front passenger seat, where Evenson was seated. Evenson admitted to selling approximately a pound of ice methamphetamine.
Evenson was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Evenson was sentenced to 262 months’ imprisonment. A special assessment of $200 was imposed. He must also serve a 10-year term of supervised release after the prison term. There is no parole in the federal system. Evenson is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Jack Lammers and investigated by the North Central Iowa Narcotics Task Force, Cerro Gordo County Sheriff’s Office, Mason City Police Department, Iowa Division of Narcotics Enforcement, and Iowa Division of Criminal Investigation.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 14-3048.
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Lockport Man Sentenced on 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 George Krajas, 46, of Lockport, NY, who was convicted of conspiracy to distribute cocaine, was sentenced to time-served by Senior U.S. District Judge William M. Skretny.Assistant U.S. Frank T. Pimentel, who handled the case, stated that between November 2010 and June 16, 2011, the defendant permitted co-defendant Charles Palmer to use the automotive garage Krajas operated at 2307 Broadway, Cheektowaga, NY to process and distribute cocaine. Krajas also traded cocaine to other co-conspirators in exchange for hydrocodone.
Charles Palmer has been convicted and is scheduled to be sentenced on April 22, 2015 at 10:00 a.m. before Judge Skretny.
The sentencing is the culmination of an investigation by the Federal Bureau of Investigation, Safe Streets Task Force.
Leader of Contraband Cigarettes Trafficking Conspiracy Sentenced in Manhattan Federal Court to 78 Months in PrisonRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that MOHAMMED ALAZZAM was sentenced today in Manhattan federal court to 78 months in prison, and to restitution in the amount of $36,195,000. ALAZZAM was sentenced for organizing and leading a conspiracy to distribute untaxed cigarettes in and around New York City and Westchester County, and bail jumping. The sentence was imposed by the Honorable Loretta A. Preska, United States District Judge.
U.S. Attorney Preet Bharara said: “For years, Mohammed Alazzam ran an underground black market for untaxed cigarettes, costing more than $36 million in tax revenue and netting millions of dollars for himself. His conduct deprived New York’s system for taxing cigarettes – which is designed to protect public health and save lives – of millions of dollars. Today’s sentence requires Alazzam to pay for his greed by forfeiting money and his liberty.”
According to the Indictment, court hearings, and today’s proceedings:
From late 2008 through May 2011, when ALAZZAM and his co-conspirators were arrested in this case, a criminal organization led by ALAZZAM and Yacoub Kanan (the “Alazzam Organization”) ran a black market for untaxed, contraband cigarettes in the New York metropolitan area. The Alazzam Organization obtained its supply of contraband cigarettes from, among other places, the Poospatuck Reservation, in Suffolk County, New York, in quantities ranging from 300 cartons to more than 1,000 cartons at a time, for which no New York State or city taxes were paid. Once obtained, the supply of contraband cigarettes was routinely stored by the Alazzam Organization in private storage facilities, including in Yonkers, New York, and Mt. Vernon, New York. The contraband cigarettes were thereafter distributed from the storage facilities to others by way of the backs of pick-up trucks and other vehicles that traveled to and from the facilities regularly.
ALAZZAM was the leader of the organization. He organized the criminal conspiracy by, among other things, arranging for a regular supply of contraband cigarettes, paying for the supply in amounts of more than $100,000 on a sometimes weekly basis, arranging for and renting storage locations to store the cigarettes, recruiting and instructing members of the conspiracy to transport and sell the contraband cigarettes, and, when those members were arrested, bailing them out and arranging for their representation by counsel.
The Alazzam Organization was responsible for distributing approximately 100 cases of contraband cigarettes per week during the conspiracy, from December 2008 until the arrest of Alazzam and his co-conspirators in May 2011. This resulted in a total estimated tax loss of $36,195,000. The estimated wholesale value of the contraband cigarettes is $26,250,000, and the retail value is far greater. During the conspiracy, ALAZZAM bragged that his personal net profit from the criminal organization was in excess of a million dollars annually.
On May 13, 2011, ALAZZAM and ten co-conspirators were indicted for conspiracy to traffic untaxed cigarettes. While charges in this case were pending and less than two months before the scheduled trial, ALAZZAM, who had been released on conditions of bail, fled to Jordan. He thereby failed to appear for pre-trial conferences and the scheduled trial, which appearances were required as a condition of his release. On September 13, 2013, ALAZZAM voluntarily returned to the U.S. and surrendered to law enforcement officers. ALAZZAM pled guilty in April 2014.
ALAZZAM is the eighth defendant and member of the conspiracy to be sentenced in the case. Yacoub Kanan remains at large, while the other two defendants pled guilty and await sentencing.
In addition to the prison time and restitution, ALAZZAM, 49, of Westchester County, was ordered to forfeit $2,500,000.
Mr. Bharara praised the efforts of the Bureau of Alcohol, Tobacco, Firearms, and Explosives for their investigation in this case.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorneys Benjamin Allee and Rachel Maimin are in charge of the prosecution.
Leader of Contraband Cigarettes Trafficking Conspiracy Sentenced in Manhattan Federal Court to 78 Months in PrisonRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that MOHAMMED ALAZZAM was sentenced today in Manhattan federal court to 78 months in prison, and to restitution in the amount of $36,195,000. ALAZZAM was sentenced for organizing and leading a conspiracy to distribute untaxed cigarettes in and around New York City and Westchester County, and bail jumping. The sentence was imposed by the Honorable Loretta A. Preska, United States District Judge.
U.S. Attorney Preet Bharara said: “For years, Mohammed Alazzam ran an underground black market for untaxed cigarettes, costing more than $36 million in tax revenue and netting millions of dollars for himself. His conduct deprived New York’s system for taxing cigarettes – which is designed to protect public health and save lives – of millions of dollars. Today’s sentence requires Alazzam to pay for his greed by forfeiting money and his liberty.”
According to the Indictment, court hearings, and today’s proceedings:
From late 2008 through May 2011, when ALAZZAM and his co-conspirators were arrested in this case, a criminal organization led by ALAZZAM and Yacoub Kanan (the “Alazzam Organization”) ran a black market for untaxed, contraband cigarettes in the New York metropolitan area. The Alazzam Organization obtained its supply of contraband cigarettes from, among other places, the Poospatuck Reservation, in Suffolk County, New York, in quantities ranging from 300 cartons to more than 1,000 cartons at a time, for which no New York State or city taxes were paid. Once obtained, the supply of contraband cigarettes was routinely stored by the Alazzam Organization in private storage facilities, including in Yonkers, New York, and Mt. Vernon, New York. The contraband cigarettes were thereafter distributed from the storage facilities to others by way of the backs of pick-up trucks and other vehicles that traveled to and from the facilities regularly.
ALAZZAM was the leader of the organization. He organized the criminal conspiracy by, among other things, arranging for a regular supply of contraband cigarettes, paying for the supply in amounts of more than $100,000 on a sometimes weekly basis, arranging for and renting storage locations to store the cigarettes, recruiting and instructing members of the conspiracy to transport and sell the contraband cigarettes, and, when those members were arrested, bailing them out and arranging for their representation by counsel.
The Alazzam Organization was responsible for distributing approximately 100 cases of contraband cigarettes per week during the conspiracy, from December 2008 until the arrest of Alazzam and his co-conspirators in May 2011. This resulted in a total estimated tax loss of $36,195,000. The estimated wholesale value of the contraband cigarettes is $26,250,000, and the retail value is far greater. During the conspiracy, ALAZZAM bragged that his personal net profit from the criminal organization was in excess of a million dollars annually.
On May 13, 2011, ALAZZAM and ten co-conspirators were indicted for conspiracy to traffic untaxed cigarettes. While charges in this case were pending and less than two months before the scheduled trial, ALAZZAM, who had been released on conditions of bail, fled to Jordan. He thereby failed to appear for pre-trial conferences and the scheduled trial, which appearances were required as a condition of his release. On September 13, 2013, ALAZZAM voluntarily returned to the U.S. and surrendered to law enforcement officers. ALAZZAM pled guilty in April 2014.
ALAZZAM is the eighth defendant and member of the conspiracy to be sentenced in the case. Yacoub Kanan remains at large, while the other two defendants pled guilty and await sentencing.
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In addition to the prison time and restitution, ALAZZAM, 49, of Westchester County, was ordered to forfeit $2,500,000.
Mr. Bharara praised the efforts of the Bureau of Alcohol, Tobacco, Firearms, and Explosives for their investigation in this case.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorneys Benjamin Allee and Rachel Maimin are in charge of the prosecution.
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Lafayette man pleads guilty to bomb threat, bank robbery chargesRead the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley announced today that a Lafayette man pleaded guilty to making a bomb threat and attempting to rob a bank.
Devin Haywood, 31, of Lafayette, pleaded guilty before U.S. District Judge Richard T. Haik to one count of using a facility in interstate commerce to willfully make a threat or maliciously convey false information, and one count of attempted bank robbery. According to the indictment, Haywood used a cell phone to make a bomb threat at 5:30 a.m. on July 16, 2014, to a local television station that there was a bomb at Girard Park in Lafayette and on the University of Louisiana at Lafayette campus. While law enforcement agents were investigating the bomb threat, Haywood attempted to rob a bank on Moss Street in Lafayette. Haywood approached two of the bank employees after they had arrived for work at the bank. He appeared to be carrying a gun. The two bank employees fled back to their vehicles and left the scene.
Haywood faces 10 years in prison and three years of supervised release for the bomb threat charge. He faces 20 years in prison and five years of supervised release for the attempted bank robbery charge. Both charges carry a fine of up to $250,000. A sentencing date was not set.
“Actions of this defendant created a very dangerous situation within the city of Lafayette,” Finley stated. “Law enforcement, emergency responders and others were called away from other important work to respond to a fabricated bomb threat so that this individual could attempt to rob a financial institution. He is now facing the consequences of his actions. I want to thank the law enforcement agencies that responded professionally and promptly to this incident.”
The FBI, ATF, U.S. Marshals Service, Louisiana State Police, Lafayette Police Department, Lafayette Parish Sheriff’s Office, and the University of Louisiana at Lafayette Police Department investigated the case. Assistant U.S. Attorney John Luke Walker is prosecuting the case.
Jury Convicts Two St. Croix Men of Murder and Related Firearm OffensesRead the Press Release
St. Croix, USVI B After a two-week trial, on March 24, 2015, a federal jury on St. Croix convicted Elvin Wrensford, 29, and Craig Muller, 30, of first degree murder and related firearm offenses, United States Attorney Ronald W. Sharpe and Virgin Islands Police Commissioner Delroy Richards announced today.
Wrensford was convicted of possession of a firearm in a school zone, using a firearm during a violent crime, possession of a firearm with an obliterated serial number, murder first degree and unauthorized possession of a firearm. Muller was convicted of possession of a firearm in a school zone, murder first degree and unauthorized possession of a firearm. Murder in the first degree carries a mandatory penalty of life in prison without parole. Both defendants were detained pending sentencing. No sentencing date has been set.
Evidence presented at trial established that during the afternoon on May 10, 2012, Wrensford and Muller were in a red truck and got into an alteration with an individual at Ben’s Car Wash. They followed the individual but then left the area and returned later in the red truck, Muller driving. They chased Hendricks, who had left Ben’s Car Wash, and Wrensford fired a gun at him. On May 12, 2012, Hendricks died from the gunshot wounds. Wrensford was linked to the firearm by DNA evidence. An eyewitness identified Wrensford as the shooter and Muller as the driver of the red truck.
This case was investigated by the Virgin Islands Police Department. It was prosecuted by Assistant United States Attorneys Alphonso Andrews, Jr. and Rhonda Williams-Henry.
Jury Convicts Makers of OXYwater for Wire Fraud, Money Laundering and Tax CrimesRead the Press Release
Today, a federal jury convicted a man from Lewis Center, Ohio, and his business partner of Powell, Ohio, of defrauding their company’s investors and diverting investors’ funds for their own personal use. Preston Harrison and his wife, Lovena E. Harrison, 42, were also both convicted of conspiracy to defraud the United States and filing a false income tax return, and Lovena Harrison was convicted of structuring financial transactions to evade currency reporting requirements.
Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division, U.S. Attorney Carter M. Stewart of the Southern District of Ohio, Special Agent in Charge Kathy Enstrom of Internal Revenue Service-Criminal Investigation (IRS-CI) and Special Agent in Charge Angela L. Byers of the FBI’s Cincinnati Field Division announced the verdict reached today, which was returned following a trial that began on March 16 before U.S. District Judge Gregory L. Frost.
According to court testimony, Thomas E. Jackson, 40, of Powell, and Preston J. Harrison, 43, of Lewis Center, operated Westerville, Ohio, based Imperial Integrated Health Research and Development LLC and developed a product called OXYwater, a beverage that promoters claimed was an all-natural, vitamin-enhanced sports drink that contained added oxygen for improved physical performance.
The defendants engaged in a scheme to deceive the investors in their company about the structure, composition, finances, sales and profits of OXYwater in order to make the company appear to be a lucrative and profitable financial investment. Jackson and Harrison produced and sent false and fraudulent documents intended to deceive investors, the ultimate purpose of such false statements being for Jackson and Preston Harrison to obtain money invested in the company. They then misappropriated that money for their own personal use and household expenditures including the purchase of jewelry, a Cadillac Escalade, a BMW, weapons, clothing, home improvements and a swimming pool.
“This case was about the millions of dollars that the defendants stole from investors to fuel their lavish lifestyle,” said Assistant U.S. Attorney Jessica Kim in court.
Jackson and Harrison misappropriated approximately $2 million of the investors’ funds between August 2010 and spring 2013. The defendants’ scheme caused investors to suffer substantial losses when the corporation was forced to declare bankruptcy with no assets. As a result of the defendants’ conduct, investors lost approximately $9 million.
Jackson and Preston Harrison were each convicted of one count of conspiracy to commit wire fraud, for which they face a statutory maximum sentence of 20 years in prison, and one count of conspiracy to commit money laundering, for which they face a statutory maximum sentence of 10 years in prison. Jackson was convicted of eight counts of wire fraud, which carries a statutory maximum sentence of 20 years in prison, and 12 counts of money laundering, which carries a statutory maximum sentence of 10 years in prison. Harrison was convicted of 12 counts of money laundering, for which he faces a statutory maximum sentence of 10 years in prison.
Preston and Lovena Harrison were both convicted of conspiracy to defraud the United States and with filing a false tax return. Preston Harrison misappropriated approximately $1.1 million in 2011 from his company, which he and his wife, Lovena Harrison, placed in an account in the name of her daycare business. They used the money for personal expenses and did not report the money as income on their 2011 income tax return. Lovena Harrison was also convicted of one count of structuring financial transactions to evade currency reporting requirements. Conspiracy to defraud the United States and structuring financial transactions to evade currency reporting requirements are each crimes with a statutory maximum sentence of five years in prison, and filing a false tax return carries a statutory maximum sentence of three years in prison.
Preston Harrison and Jackson also face potential forfeiture of $1.1 million, including two vehicles, eight weapons, cash and the contents of a bank account.
The three defendants were indicted by a grand jury on May 20, 2014.
Acting Assistant Attorney General Ciraolo and U.S. Attorney Stewart commended the cooperative investigation by the IRS-CI and FBI, as well as Assistant U.S. Attorney Jessica Kim and Trial Attorneys Andrew Young and Jason Scheff of the Tax Division, who prosecuted the case.
Jury Convicts Makers of Oxywater for Wire Fraud, Money Laundering, Tax CrimesRead the Press Release
COLUMBUS, Ohio – A federal jury convicted Preston J. Harrison, 43, of Lewis Center, Ohio, and his business partner, Thomas E. Jackson, 40, of Powell, Ohio, of defrauding their company’s investors and diverting investors’ funds for their own personal use. Preston Harrison and his wife, Lovena E. Harrison, 42, were also both convicted of conspiracy to defraud the United States and filing a false income tax return, and Lovena Harrison was convicted of structuring financial transactions to evade currency reporting requirements.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Caroline D. Ciraolo, Acting Assistant Attorney General for the Justice Department’s Tax Division, Kathy Enstrom, Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS-CI), and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI) Cincinnati Field Division, announced the verdict reached today, which was returned following a trial that began on March 16 before U.S. District Judge Gregory L. Frost.
According to court testimony, Jackson and Preston Harrison operated Westerville, Ohio-based Imperial Integrated Health Research and Development, LLC, and developed a product called OXYwater, a beverage that promoters claimed was an all-natural, vitamin-enhanced sports drink that contained added oxygen for improved physical performance.
The defendants engaged in a scheme to deceive the investors in their company about the structure, composition, finances, sales and profits of OXYwater in order to make the company appear to be a lucrative and profitable financial investment. Jackson and Preston Harrison produced and sent false and fraudulent documents intended to deceive investors, the ultimate purpose of such false statements being for Jackson and Preston Harrison to obtain money invested in the company. They then misappropriated that money for their own personal use and household expenditures including the purchase of jewelry, a Cadillac Escalade, a BMW, weapons, clothing, home improvements, and a swimming pool.
“This case was about the millions of dollars that the defendants stole from investors to fuel their lavish lifestyle,” Assistant United States Attorney Jessica Kim told the court.
Jackson and Preston Harrison misappropriated approximately $2 million of the investors’ funds between August 2010 and spring 2013. The defendants’ scheme caused investors to suffer substantial losses when the corporation was forced to declare bankruptcy with no assets. As a result of the defendants’ conduct, investors lost approximately $9 million.
Jackson and Preston Harrison were each convicted of one count of conspiracy to commit wire fraud, which is punishable by up to 20 years in prison, and one count of conspiracy to commit money laundering, which is punishable by up to 10 years in prison. Jackson was convicted of 8 counts of wire fraud, which is punishable by up to 20 years in prison, and 12 counts of money laundering, which is punishable by up to 10 years in prison. Preston Harrison was convicted of 12 counts of money laundering, which is punishable by up to 10 years in prison.
Preston and Lovena Harrison were both convicted of conspiracy to defraud the United States and with filing a false tax return. Preston Harrison misappropriated approximately $1.1 million in 2011 from his company, which he and his wife, Lovena Harrison, placed in an account in the name of her daycare business. They used the money for personal expenses, and did not report the money as income on their 2011 income tax return. Lovena Harrison was also convicted of one count of structuring financial transactions to evade currency reporting requirements. Conspiracy to defraud the United States and structuring financial transactions to evade currency reporting requirements are each crimes punishable up to five years in prison, and filing a false tax return is punishable by up to three years in prison.
Preston Harrison and Jackson also face potential forfeiture of $1.1 million, including two vehicles, eight weapons, cash and the contents of a bank account.
All three were indicted by a grand jury on May 20, 2014.
U.S. Attorney Stewart and Acting Assistant Attorney General Ciraolo commended the cooperative investigation by the IRS-CI and FBI, as well as Assistant United States Attorney Jessica Kim and U.S. Department of Justice Tax Division Trial Attorneys Andrew Young and Jason Scheff, who prosecuted the case.
Imposter Sentenced to Prison for Resume Fraud and Fake BadgesRead the Press Release
Tampa, Florida – U.S. District Judge James D. Whittemore has sentenced Roy Antigua (55, Miami) to one year and one day in federal prison for making a false statement in a matter within the jurisdiction of the federal government and for wrongfully possessing federal government identification badges. The Court also ordered a money judgment in the amount of $114,000, the proceeds of the charged criminal conduct. Antigua pleaded guilty on January 6, 2015.
According to court documents, Antigua submitted employment applications to two home health care agencies in which he fraudulently claimed to have been awarded a Master’s Degree in Social Work from Boston University. He also submitted a fraudulently created diploma with his applications. Antigua was subsequently hired by both agencies that, in reliance on his false statements, billed Medicare for social work services he had performed for Medicare beneficiaries. Medicare will only pay for social work services performed by individuals holding a Master’s Degree in Social Work.
During a search of Antigua’s home on August 1, 2012, law enforcement agents found him to be in wrongful and unauthorized possession of colorable imitations of badges purportedly issued by the Department of Defense, Defense Criminal Investigative Service and the National Aeronautic and Space Administration.
This case was investigated by the U.S. Department of Health and Human Services - Office of Inspector General (OIG), the Department of Homeland Security - OIG, NASA - OIG, the Defense Criminal Investigative Service, the Federal Bureau of Investigation, the Coast Guard Investigative Service, and the New Port Richey Police Department. It was prosecuted by Assistant United States Attorney Bob Mosakowski.
Honduran National Pleads Guilty to Illegal ReentryRead the Press Release
U.S. Attorney Kenneth A. Polite announced that ERIC SAMUEL MOTINO-ALVAREZ, age 26, a citizen of Honduras, pled guilty today to a one-count Indictment for illegal reentry of a removed alien.
According to the Indictment, on or about January 29, 2015, MOTINO-ALVAREZ was found in the United States after having been officially deported and removed on or about October 2, 2009.
MOTINO-ALVAREZ faces a maximum term of imprisonment of two years, a fine of $250,000, one year supervised release after imprisonment, and a $100 special assessment. U.S. District Judge Helen G. Berrigan set sentencing for May 20, 2015.
U.S. Attorney Polite praised the work of the United States Department of Homeland Security, Homeland Security Investigations, in investigating this matter. Assistant United States Attorney Spiro G. Latsis is in charge of the prosecution.
Griffin Men Indicted on Federal Gun Dealing ChargesRead the Press Release
ATLANTA - Rashard Jones, Octavious Hasting, Xzavius Ogletree, Tony Anthony Goodman, David Combs, Demetrice Coggins, and Shedrick Howard have been charged in two separate federal indictments with illegal firearms dealing, possession of firearms by convicted felons, illegal possession of “sawed-off” shotguns and rifles, and distribution of narcotics.
“These indictments, which are the result of an undercover investigation, highlight the commitment of federal and local law enforcement to work together to address the problem of illegal guns and drugs in our communities,” said Acting U.S. Attorney John Horn.
“This enforcement action is the product of collaborative efforts on the part of ATF, the Griffin Police Department, and other local and federal law enforcement partners aimed at eliminating perpetrators of violent crime,” said ATF Special Agent in Charge Carl Walker. “ATF will continue to dedicate our resources in conjunction with other law enforcement agencies to target violent criminal activity within the communities we serve.”
“I am appreciative of the cooperation between the police department and ATF,” said Griffin Police Chief Steve Heaton. “As a result of this investigation, we were able to remove several dangerous people and illegal weapons from our community.”
According to Acting U.S. Attorney Horn, the charges, and other information presented in court: After learning that several Griffin men were allegedly involved in the illegal sales of firearms, ATF and the Griffin Police Department launched an investigation. This investigation led to the identification of two groups of defendants who allegedly were involved in the illegal sales of firearms and narcotics. Each of the defendants is a convicted felon and as a result was prohibited by federal law from possessing a gun, including unregistered “sawed-off” shotguns and rifles, in violation of the National Firearms Act.
Rashard Jones, Octavious Hastings, and Xzavius Ogletree are charged in one indictment with illegal firearms dealing. Defendant Jones allegedly sold guns directly to a confidential informant in addition to serving as a middle man between the confidential informant and Octavious Hastings and Xzavius Ogletree. In total, the defendants allegedly sold and possessed seven different firearms, including five hand guns, an assault rifle, and a shotgun -- many of which had previously been reported stolen. In addition to dealing in firearms, Defendant Jones is charged with distribution of cocaine.
A second indictment charges Tony Goodman, David Combs, Demetrice Coggins, and Shedrick Howard with illegal firearms dealing. Tony Goodman, aided and abetted by Demetrice Coggins, Combs, and Howard, allegedly was involved in the sale of ten different firearms including three “sawed-off” shotguns and a “sawed-off” rifle. Howard allegedly sold nine different firearms including a “sawed-off” shotgun. In total, the defendants allegedly sold and possessed 22 firearms, many of which had previously been reported stolen. Goodman and Howard are also individually charged with the distribution of MDMA.
All of the defendants listed below are from Griffin, Georgia:
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Rashard Jones, a/k/a Bulldog, 26;
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Octavious Hasting, a/k/a Tay Lay, 29;
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Xzavius Ogletree, a/k/a Zay, 35;
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Tony Anthony Goodman, 50;
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David Combs, a/k/a Bishop, 24;
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Demetrice Coggins, a/k/a Meechie, 37;
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Shedrick Howard, a/k/a Petro, 24.
Ogletree, Combs, and Coggins were arraigned before Chief U.S. Magistrate Judge Janet F. King on March 18, 2015. Goodman was arraigned before Judge King on March 20, 2015. After detention hearings, Ogletree, Combs, Coggins, and Goodman were detained pending trial. Jones, Hastings, and Howard are awaiting arraignment. All were indicted by a federal grand jury in two separate indictments on March 4, 2015.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Griffin Police Department.
Assistant United States Attorney Matthew S. Carrico is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Newnan Division is http://www.justice.gov/usao/gan/.
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Grand Jury Indicts Four Individuals on Federal Child Pornography ChargesRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced today that combined federal, state, and local efforts to combat child pornographers has resulted in a federal grand jury returning indictments in four different matters involving federal child pornography offenses. If convicted, each defendant could face significant incarceration, fines, restitution, forfeiture, and supervised release following imprisonment.
The following individuals have been indicted:
PIERRE A. MOOSEBROKER, JR., age 46, of Baton Rouge, Louisiana, is charged with possession of child pornography and forfeiture.
EVERETT EUGENE CARTER, age 56, of Gonzales, Louisiana is charged with transportation of child pornography, possession of child pornography, and forfeiture.
BRANDON L. HUNT, age 26, of Denham Springs, Louisiana is charged with distribution of child pornography, possession of child pornography, and forfeiture.
BRIAN SCHALLER, age 42, of Denham Springs, Louisiana is charged with distribution of child pornography, possession of child pornography, and forfeiture.
U.S. Attorney Green stated: “Today’s indictments reflect the continuing commitment by this office, together with our federal, state, and local partners, to aggressively pursue those who contribute to the sexual exploitation of our children. I commend the excellent work of the federal, state, and local agencies who worked closely together on these important cases.”
“Those who prey on our most vulnerable citizens must recognize that it is our priority to stop them and to eliminate this scourge on our society,” Attorney General Buddy Caldwell said. “Through the collaborative efforts of state, federal and local law enforcement agencies, we are working to bring child predators to justice and make Louisiana safer.”
These matters were investigated by the U.S. Department of Homeland Security, Homeland Security Investigations (HSI), the Federal Bureau of Investigation (FBI), the Cyber Crime Unit and the Criminal Division of the Louisiana Attorney General’s Office, the Baton Rouge Police Department, with assistance from the East Baton Rouge Parish District Attorney’s Office, the Ascension Parish District Attorney’s Office, and the Livingston Parish District Attorney’s Office. These cases are being prosecuted by Assistant United States Attorneys Cam Le and Chris Dippel.
These federal charges are part of Project Safe Childhood, a nationwide initiative by the U.S. Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “Resources” tab for information about Internet safety.
NOTE: An indictment is an accusation by the Grand Jury. The defendants are presumed innocent until and unless adjudicated guilty at trial or through a guilty plea.
Fourth Defendant Pleads Guilty to Second Degree Murder Charge in Case Arising from Kidnapping and Murder of Navajo WomanRead the Press Release
ALBUQUERQUE – Scott Thompson, 28, of Farmington, N.M., pled guilty today to a second degree murder charge arising out of the kidnapping and brutal murder of a 28-year old Navajo woman. Three co-defendants, Justin Benally, 26, of Farmington, N.M., Mariah Benally, 22, and LaSheena Jacquez, 27, both of Kirtland, N.M., entered similar guilty pleas in Oct. and Nov. 2014.
Thompson, Justin Benally, Mariah Benally and Jacquez are four of five individuals, all of whom are enrolled members of the Navajo Nation, who were indicted in Jan. 2014, on criminal charges arising from the kidnapping and murder of the victim on Oct. 23, 2013. The five defendants previously had been arrested in Dec. 2013, on a criminal complaint that was filed after law enforcement authorities received information that the victim, who had been reported as missing in Nov. 2013, had been murdered. The victim’s remains were recovered on Dec. 9, 2013.
In addition to charging Thompson, Justin Benally, Mariah Benally and Jacquez, the four-count indictment also charged Patrick Benally, 26, of Kirtland, N.M., with first degree murder, kidnapping, and conspiracy to kidnap. It also charged Justin Benally, Mariah Benally, Jacquez and Thompson with harboring Patrick Benally to prevent his arrest on a warrant for an unrelated crime. The indictment alleges that the crimes charged occurred on the Navajo Indian Reservation within San Juan County, N.M.
This morning, Thompson pled guilty to a felony information charging him with second degree murder. In entering his guilty plea, Thompson admitted aiding and abetting the victim’s murder by participating in her kidnapping and taking actions that ultimately resulted in the victim’s death. Under the terms of his plea agreement, Thompson will be sentenced to a term of imprisonment within the range of 252 to 360 months (21 to 30 years).
On Nov. 19, 2014, Justin Benally pled guilty to a felony information charging him with second degree murder. In entering his guilty plea, Justin Benally admitted aiding and abetting the victim’s murder by participating in her kidnapping and taking actions that ultimately resulted in the victim’s death. Under the terms of his plea agreement, Justin Benally will be sentenced to a 22-year term of imprisonment.
On Oct. 29, 2014, Mariah Benally also pled guilty to a second degree murder charge. Mariah Benally admitted causing the victim’s death by throwing rocks at her, and aiding and abetting others who also caused the victim’s death. She also admitted throwing rocks at the victim after the victim had been repeatedly stabbed by three of her co-defendants and thrown off a cliff by one of the co-defendants. Mariah Benally also aided her co-defendants in restraining the victim and transporting her to the murder site, and destroying evidence of their crimes.
Jacquez pled guilty to a second degree murder charge on Oct. 16, 2014, and admitted causing the victim’s death on Oct. 23, 2013, by repeatedly stabbing the victim with a knife, throwing rocks at the victim, and aiding and abetting others who also caused the victim’s death. Jacquez also admitted that she destroyed evidence and aided and abetted others in the destruction of evidence in an effort to evade prosecution.
Thompson, Justin Benally, Mariah Benally and Jacquez have been in federal custody since they were arrested and remain detained pending their sentencing hearings, which have yet to be scheduled. Each faces a maximum statutory penalty of life imprisonment.
Patrick Benally has entered a not guilty plea to the indictment and is detained pending trial, which is currently scheduled for May 2015. If convicted of the charges in the indictment, Patrick Benally faces a maximum statutory penalty of life imprisonment. Charges in indictments are merely accusations and defendants are presumed innocent unless convicted in a court of law.
This case was investigated by the Farmington office of the FBI, the Farmington Police Department and the San Juan County Sheriff’s Office. Assistant U.S. Attorneys Niki Tapia-Brito and David Adams are prosecuting the case.
Four Charged Federally with Fourteen Bank Robberies in Three Separate IndictmentsRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that four individuals have been charged by a federal grand jury in Scranton with robbery or attempted robbery of 14 banks in three separate indictments filed late yesterday in the U.S. District Court in Scranton.
According to U.S. Attorney Peter Smith, the robberies, which took place over an eight month period between June 2014 and January 2015 in Luzerne, Lackawanna, Carbon and Schuylkill Counties, were investigated by the Federal Bureau of Investigation (FBI) and the Pennsylvania State Police, with the assistance of the Police Departments of Hazleton, Rush Township, Dickson City, Scranton, Jenkins Township, Plains Township, Ashley, Hanover Township and Wilkes-Barre, as well as the Luzerne and Wyoming County District Attorney’s Offices.
Sean Quinn, Supervisory Senior Resident Agent in the Scranton FBI office, stated “The FBI is committed to protecting the citizens from violent crime such as this scourge of armed bank robberies our area has seen over the past year. We will devote any resources necessary to combat these crimes and the people who would commit them. In these cases, honest citizens got involved to help determine who committed these violent crimes and I thank and commend them.”
The defendants and the charges:
Timothy Fenster, age 29, of Plains, is charged in an indictment with seven bank robberies or attempted bank robberies and one robbery of a store, as follows:
• armed robbery of Community Bank, Church Street, Laceyville, on December 17, 2014; • armed robbery of M&T Bank, Sans Souci Parkway, Hanover Township, on December 22, 2014; • armed robbery of First National Community Bank (FNCB), North River Street, Plains Township, on January 14, 2015; • armed robbery of M&T Bank, Coal Street Branch, Wilkes-Barre, on January 22, 2015; • armed robbery of Community Bank, SR 6, Meshoppen, on January 26, 2015; • armed robbery of Family Dollar, South Main Street, Ashley Borough, on January 28, 2015; • attempted robbery of First Keystone Community Bank, Main Street, Plymouth, on January 29, 2015; • attempted robbery of FNCB, Old Boston Road, Jenkins Township, on January 29, 2015.
The maximum penalty under the federal statute for each armed bank robbery is 25 years’ imprisonment. The attempted bank robberies and the robbery of the store each carry a maximum sentence of 20 years’ imprisonment. Fenster also faces a term of supervised release following imprisonment, and a fine if convicted. He is in custody.
Lee Sokalsky, age 34, of Scranton, is charged in an indictment with six bank robberies or attempted bank robberies, as follows:
• robbery of First National Community Bank, West Broad Street, Hazleton, on June 19, 2014; • robbery of NBT Bank, Main Street, Dickson City, on July 25, 2014; • attempted robbery of FNCB, West Broad Street, Hazleton, on August 26, 2014; • robbery of Mauch Chunk Trust Bank, Claremont Avenue, Tamaqua, on August 26, 2014; • robbery of National Penn Bank, South Hunter Highway, Drums, on September 20, 2014; and
• armed robbery of M&T Bank, Laurel Mall, Hazle Township, on October 10, 2014.The maximum penalty under the federal statute for the armed bank robbery of the M&T Bank is 25 years’ imprisonment. The maximum penalty for each of the other robberies or for attempted bank robbery is 20 years’ imprisonment. Sokalsky faces a term of supervised release following imprisonment, and a fine if convicted. He is in custody.
David Weaver, age 40, and Crystal Serfass, age 30, both of Junedale, Carbon County, are charged in an indictment with conspiring to commit armed bank robbery and armed bank robbery of the Jim Thorpe Neighborhood Bank, Penn Forest Township, on November 18, 2014. Weaver is also charged with use of a firearm and obstruction of justice. Serfass is additionally charged with obstruction of justice, illegal firearms possession, possession of methamphetamine, and making false statements to an FBI agent.
The maximum penalty under the federal statutes underlying the charges filed against Weaver is life imprisonment and, for Serfass, 86 years’ imprisonment. Both face a term of supervised release following imprisonment, and a fine if convicted. Weaver is in custody. FBI Agents arrested Crystal Serfass this afternoon in Junedale on the charges. Serfass will be scheduled to appear for an initial appearance before U.S. Magistrate Judge Karoline Mehalchick in the U.S. District Court in Scranton.
Prosecution of the three cases is assigned to Assistant U.S. Attorney John Gurganus.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Indictment
Indictment
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Former Treasurer Pleads Guilty to Embezzling Nearly $475,000 from Fraternal Order of PoliceRead the Press Release
TULSA, Okla.–Lorna Jean Vanlandingham, the former Treasurer of the Fraternal Order of Police Oklahoma State Lodge and the Tulsa Fraternal Order of Police, pleaded guilty today to embezzling nearly $475,000 from Lodge bank accounts, announced United Sates Attorney Danny C. Williams Sr. for the Northern District of Oklahoma. Sentencing is scheduled on June 22, 2015 before U.S. District Court Chief Judge Gregory K. Frizzell.
Vanlandingham, 71, of Tulsa, was charged in a criminal information with two-counts of wire fraud on February 11, 2015. At the time of the scheme, she was responsible for maintaining the financial books and records of the Fraternal Order of Police Oklahoma State Lodge and the Fraternal Order of Police Oklahoma State Lodge #93 in Tulsa.
According to court documents, from April 6, 2010 to March 11, 2014, Vanlandingham embezzled nearly $68,000 from the Fraternal Order of Police Oklahoma State Lodge by writing fraudulent checks and making unauthorized transfers. Additionally, from January 23, 2013 to April 23, 2014, Vanlandingham embezzled nearly $405,000 from the Fraternal Order of Police Oklahoma Lodge #93. She used the monies for personal expenses.
Vanlandingham faces the statutory maximum penalty of 20 years in prison, plus restitution, for each wire fraud charge.
The case was handled by the Federal Bureau of Investigation; Assistant U.S. Attorney Jeffrey A. Gallant is prosecuting the case.
(U.S. vs. Lorna Jean Vanlandingham)
Former Energy Company Exec Sentenced to Prison for Gas Royalty FraudRead the Press Release
PITTSBURGH - A Beaver County resident has been sentenced in federal court to 30 months incarceration, a $5,000 fine, and a $200 special assessment on his conviction of mail fraud, United States Attorney David J. Hickton announced today.
United States District Judge Davis S. Cercone imposed the sentence on Scott D. Hamilton, aka Art Follage, aka Michael Lewis, 38, of Baden, Pa.
According to the information presented to the court, Hamilton was the Manager for Land Records in the CNX Land Department. One of his responsibilities was to oversee CNX gas and oil lease interests properties that would pay royalties to CNX. CNX owned lease interests in a parcel of land in Christian County, Illinois and lease interests in a land parcel in Fayette County, West Virginia. Using his knowledge of these types of gas and oil lease transfers, and of how CNX functioned internally, Hamilton was able to acquire the royalty payments that should have been paid to CNX for these two parcels. He did this by creating a bogus, shell company named PRH LLC, opening a post office box and a bank account in its name, and filing forged and fabricated assignments that included names of imaginary individuals. The assignments transferred CNX’s rights to the royalties to Hamilton’s shell company. Later in the scheme, Hamilton changed the name of the recipient of the monies from PRH LLC to his wife, Kelly Hamilton. The scheme continued undetected for 30 months until a drilling company that was paying royalties inquired with CNX about contact information for Kelly Hamilton, who appeared of record to be the current owner of the lease interests instead of CNX. After discovery of the fraud, Hamilton attempted to avoid prosecution by offering to re-pay the stolen monies so long as the matter wasn’t reported to authorities. After the matter was investigated and Hamilton pled guilty he did make full restitution of $440,216.35.
Judge Cercone stated that in deciding what sentence to impose he gave Hamilton credit for having repaid all of the stolen money. However, the large sum of money stolen and the need to deter others from similar conduct required a sentence of incarceration, and that a sentence of 30 months was sufficient to reflect the seriousness of the offense, to promote respect for the law and to provide just punishment for the offense.
Assistant United States Attorney Nelson P. Cohen prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the U.S. Postal Inspection Service for the investigation leading to the successful prosecution of Scott D. Hamilton.
Former D.C. Government Official Found Guilty of Fraud Involving $110,000 Grant That Funded a 2009 Inaugural BallRead the Press Release
WASHINGTON – Neil S. Rodgers, a former District of Columbia government official, has been found guilty by a jury of first-degree fraud stemming from his role in channeling $110,000 in youth and drug prevention grant funds that were used to pay for an inaugural ball.
The guilty verdict, which was returned March 16, 2015, by a jury in the U.S. District Court for the District of Columbia, was announced by U.S. Attorney Ronald C. Machen Jr., Andrew G. McCabe, Assistant Director in Charge of the FBI’s Washington Field Office, and Thomas J. Kelly, Special Agent in Charge of the Washington Field Office of the Internal Revenue Service-Criminal Investigation.
The jury later acquitted Rodgers of one federal count of wire fraud and was unable to reach a verdict on one federal count of theft concerning programs receiving federal funds. At a hearing today, the Honorable Senior Judge John D. Bates denied a defense motion to dismiss the guilty verdict and scheduled sentencing for June 16, 2015. The charge of first-degree fraud, a District of Columbia offense, carries a statutory maximum of 10 years in prison.
Rodgers, 62, of Washington, D.C., served as the Committee Director of the Council of the District of Columbia’s Committee on Libraries, Parks, Recreation and Planning. Before becoming Committee Director, Rodgers worked for many years at the District of Columbia Department of Parks and Recreation, serving as Chief of Staff and Acting Director.
Six others have pled guilty to charges in the overall investigation, which focused on activities involving former Council Member Harry L. Thomas, Jr. Thomas pled guilty in January 2012 to charges stemming from a scheme in which he used more than $350,000 in taxpayers’ money that was earmarked for the arts, youth recreation, and summer programs for his own personal benefit, including paying for vehicles, clothing, and trips. He resigned in January 2012 as a condition of his plea agreement and recently completed serving a 38-month prison sentence.
According to the government’s evidence, Rodgers aided Thomas in illegally securing funds for the 51st State Inaugural Ball, held on Jan. 20, 2009, at the Wilson Building.
“Neil Rodgers was convicted of fraud by a D.C. jury for helping Harry Thomas steal money from children to throw a black-tie party in the Wilson Building,” said U.S. Attorney Machen. “This guilty verdict makes Neil Rodgers the seventh and final person to be convicted in connection with Harry Thomas’s crimes. This conviction makes clear that the citizens of the District of Columbia will not tolerate government employees who break the law to facilitate the corrupt dealings of elected officials. Public servants owe it to the taxpayers to stand up against crooked politicians, not to enable them.”
“Public funds intended to improve the lives of District youth were illegally steered to host a party for the 2009 Presidential inauguration,” said Assistant Director in Charge McCabe. “Government officials are properly held to a higher standard of conduct and by undermining these laws they violated the integrity of our government. This verdict is a reminder to government officials that corruption will not be tolerated in our community – no matter the level, the amount, or the individuals involved.”
Thomas directed one of his staffers to plan the ball to celebrate the inauguration of President Obama. The 51st State Inaugural Ball was sponsored by Thomas, other council members and a local chapter of a political organization which was run by Thomas’s staffer who planned the ball. Ticket sales and other contributions failed to raise enough money to pay the expenses associated with the ball. Following the ball, the vendors who provided services for the ball were owed approximately $100,000.
Thomas asked Rodgers to help find funding for the money owed to the vendors. Thomas and Rodgers participated in a scheme to take money that was originally donated by D.C. taxpayers to the Children at Risk and Drug Prevention Fund to pay for the inaugural ball.
After the ball was over, Thomas and Rodgers contacted the president of a public-private partnership that provided grants to children and youth of the district. Thomas and Rodgers falsely stated that the ball had been a youth event. The private-public partnership organization agreed to provide funding for the ball based on these representations. It also agreed to use the Children at Risk and Drug Prevention Fund money to pay for the ball.
The Children at Risk and Drug Prevention Fund consisted of money that had accumulated at the D.C. Department of Parks and Recreation after years of tax donations by D.C. taxpayers. In 2008, the D.C. Council passed legislation that gave responsibility for distributing the money to the community to the public-private partnership organization. At the time of the ball, the money had not yet transferred to the public-private partnership. Rodgers used his influence to finalize the transfer of the money so that it could be used to pay for the inaugural ball.
Rodgers then submitted false paperwork to the public-private partnership that described the inaugural ball as a youth event. Rodgers provided multiple copies of budgets and supporting narratives that misled the public-private partnership and resulted in the issuance of the Children at Risk and Drug Prevention Fund money to pay for the inaugural ball.
In announcing the verdict, U.S. Attorney Machen, Assistant Director in Charge McCabe, and Special Agent in Charge Kelly commended the work of those who investigated the case from the FBI’s Washington Field Office and IRS-CI. They also acknowledged the work of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Tasha Harris, Heather Sales, Jessica Mundi, and Ida Anbarian; Litigation Technology Specialists Joshua Ellen and Ron Royal; and former Assistant U.S. Attorneys Jonathan Haray, Bridget Fitzpatrick, James Smith, and David Johnson. Finally, they expressed appreciation for the work of Assistant U.S. Attorneys Matthew Graves and Michelle Zamarin, who prosecuted the case.
Foli's Place Proprietor Sentenced to Probation with Home Detention for Income Tax EvasionRead the Press Release
PITTSBURGH - A resident of North Braddock, Pa., has been sentenced in federal court to four years probation, including 12 months of home detention, and ordered to perform 200 hours of community service, on his conviction of income tax evasion, United States Attorney David J. Hickton announced today.
Senior United States District Judge Gustave Diamond imposed the sentence on Thomas G. Foglia.
According to information presented to the court, Foglia, the proprietor of Foli’s Place, admitted to keeping two sets of books for the purpose of understating his income on tax returns. This led to a total tax loss, due to false Forms 1040 filed by Foglia for the years 2005 through 2009, of $193,518.00.
Prior to imposing sentence, Judge Diamond stated that a non-jail sentence was appropriate since the tax evasion and defendant’s business were both relatively small, and he had used the latter to raise money for popular causes.
Assistant United States Attorney Leo M. Dillon prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Internal Revenue Service, Criminal Investigation, for the investigation leading to the successful prosecution of Foglia.
Florida Man Admits Conspiring to Sell Firearms Purported to belong to the Family of Saddam HusseinRead the Press Release
NEWARK, N.J. - A Miami, Florida, man today admitted trying to sell seven firearms believed to have belonged to the family of Saddam Hussein, U.S. Attorney Paul J. Fishman announced.
David Philip Ryan, 50, pleaded guilty before U.S. District Judge Katharine S. Hayden to Count One of an indictment charging him with conspiracy to transport stolen firearms.
According to documents filed in this case and statements made in court:
In April 2012, law enforcement received information that valuable firearms allegedly belonging to members of the family of the late Iraqi president Saddam Hussein were available for sale (Hussein Family Firearms). The Hussein Family Firearms were believed to be kept in Florida, and Ryan and others attempted to find a buyer for them. The firearms had been appraised at $250,000 to $350,000. Seven firearms were shipped to New Jersey for viewing by potential buyers.
Federal law enforcement officers seized the following firearms in the course of the investigation:
(1) One Coonan Arms Inc., .357 semi-automatic pistol, nickel finish, made in St. Paul, Minn., with gold inlay and a medallion AQS@ on left side grip (believed to be the initials of Qusay Saddam Hussein al-Tikriti, the second son of former Iraqi President Saddam Hussein);
(2) One Korth, .357 magnum revolver (six shot) stamped AMade in W. Germany Waffenfabrik Koth Ratzeburg/LBG,@ with gold inlay, black finish, wood grips, which displays a drawing of a wild boar;
(3) One Korth, .357 magnum, revolver (six shot) stamped AMade in W. Germany Waffenfabrik Koth Ratzeburg/LBG,@ with gold inlay, black finish, wood grips, which displays a drawing of a moose;
(4) One Chinese State Factories type 64 pistol, .32 caliber semi-auto pistol, black finish, with Yemen flag icon on both sides of grip and Arabic writing on the slide;
(5) Two Cosmi, 12 gauge shotguns, break top, single barrel;
(6) One Llama Semiautomatic .45 ACP pistol with gold leaf and gold inlays, hand engraved, bearing the initials AQ.S.@
The count to which Ryan pleaded guilty carries a maximum penalty of 5 years’ imprisonment and a fine of $250,000. Sentencing is scheduled for June 22, 2015.
Three other individuals, Carlos Quirola-Ordonez, Karlo Sauer and Howard Blumenthal, have pleaded guilty to their roles in this conspiracy. Blumenthal has been sentenced, and Quirola-Ordonez and Sauer are awaiting sentencing.
U.S. Attorney Fishman credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of George P. Belsky; and Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI), Newark Division, under the direction of Acting Special Agent in Charge Kevin Kelly, with the investigation leading to today’s guilty plea.
The case is being prosecuted by Assistant U.S. Attorney Joyce M. Malliet of the National Security Unit in Newark.
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Defense Counsel: Michael V. Gilberti Esq., Florham Park, New Jersey
Ryan, David Indictment
Female Bank Robber Faces Federal ChargeRead the Press Release
LUBBOCK, Texas — Starlene Delacruz, 31, of Lubbock, Texas, has been charged in a federal complaint with robbing the Prosperity Bank on University Avenue in Lubbock on Friday, March 13, 2015, announced John Parker, Acting U.S. Attorney for the Northern District of Texas.
Delacruz, who is in custody, made her initial appearance in federal court this afternoon in Lubbock, before U.S. Magistrate Judge Nancy M. Koenig.
According to the complaint filed, on March 13, 2015, at approximately 10:30 a.m., the Prosperity Bank located at 8232 University Avenue in Lubbock was robbed by a female wearing a white knit shirt, blue jeans and sunglasses. The robber, later identified as Delacruz, approached one of the tellers and placed a straw woven purse on top of the counter. Delacruz then stated, “I don’t want to freak anybody out, but my dad is waiting and if we don’t fill this up with all your money, then there are bombs and this will all blow up.” In response, the teller placed funds from her till into Delacruz’s bag. Delacruz then left the bank.
Following the robbery, an image of the bank robber, taken from video surveillance at the bank, was released to the media. An employee of Damron Motorcycle Company, located on South Loop 289 in Lubbock saw the released image at approximately 4:45 p.m. that afternoon. At approximately 5:05 p.m., a woman entered the dealership, and an employee thought she matched the image of the individual who had robbed the bank that morning. The employee contacted the Lubbock Police Department who dispatched officers to the dealership, where Delacruz was arrested.
A federal complaint is a written statement of the essential facts of the offenses charged, and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. If convicted of this offense, however, Delacruz faces a maximum statutory penalty of not more than 20 years in federal prison, and a $250,000 fine. The U.S. Attorney’s office has 30 days to present the matter to a grand jury for indictment.
The FBI and the Lubbock Police Department are investigating. Assistant U.S. Attorney Jeffrey Haag is in charge of the prosecution.
Federal Jury Finds Husband and Wife Guilty of Operating A Clinic to Defraud MedicareRead the Press Release
Tampa, FL – United States Attorney A. Lee Bentley, III announces that a federal jury has found Miami residents Gladys Fuertes (40) and her husband, Mario Fuertes (38), guilty of conspiracy to commit health care fraud, health care fraud, and obstructing a health care investigation. They are facing a maximum penalty of 10 years in federal prison on the conspiracy count and on each of the 10 health care fraud counts, and up to five years in federal prison on each of the two obstruction counts. Gladys Fuertes was also convicted of four counts of aggravated identity theft and faces a mandatory sentence of two years in prison for those charges. The sentencing hearing has been scheduled for June 23, 2015. Both individuals were indicted on March 13, 2014, and arrested in Miami on March 26, 2014.
According to evidence presented during the seven-day trial, Gladys and Mario Fuertes established and operated a sham clinic, Gables Medical and Therapy Center, for the purpose of committing health care fraud. They employed unlicensed medical professionals and misused the Medicare billing numbers of other medical professionals, without their knowledge, in order to claim that they had rendered medical treatment to Gables patients. The Fuerteses also paid a co-conspirator to recruit Medicare beneficiaries for Gables, and to drive patients to the clinic for basic and sham medical services.
Once recruited, Gladys and Mario Fuertes urged the Gables patients to enroll in Universal’s Medicare Part C and Part D plans. They believed that Universal paid a relatively high percentage of its claims. The Fuerteses fraudulently billed Universal and caused Universal’s Medicare Part C plan to be billed for Gables patients’ supposed treatments. The treatments included expensive HIV-related treatments that patients never actually received. Gladys and Mario Fuertes also billed Universal and caused Universal to be billed for services that required a physician’s presence when no licensed physician was present or rendered the service. The Fuerteses billed Universal in excess of $900,000.
The Fuerteses and their co-conspirators paid the Medicare beneficiaries, who were recruited to come to Gables for their Medicare identification numbers, to allow Gables to bill Universal for services that were never rendered. In addition, Gladys and Mario Fuertes facilitated the provision of fraudulent prescriptions for controlled substances, including oxycodone, to Gables patients. In some cases, the signatures on the prescriptions were forged. The patients who received these oxycodone prescriptions were assisted in filling them by a co-conspirator. The co-conspirator also purchased the pills from some of the patients and sold them on the street. These prescriptions were paid for as part of the beneficiaries’ Medicare Part D benefits.
Once they learned of the federal health care fraud investigation into their actions, the Fuerteses instructed Gables patients to lie to law enforcement agents and otherwise obstruct a federal investigation into health care fraud at the clinic. The Fuerteses also provided altered Medicare billing documentation to federal agents investigating their activities.
This case was investigated by the U.S. Department of Health and Human Services, Office of Inspector General and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Mandy Riedel and Kelley Howard-Allen.
Since its inception in March 2007, the Medicare Strike Force, now operating in nine cities across the country, has charged more than 1,900 defendants who have collectively billed the Medicare Program for more than $6 billion. In addition, the HHS Centers for Medicare and 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: http://www.stopmedicarefraud.gov/.
Federal Jury Convicts Colorado Man for Marijuana ConspiracyRead the Press Release
Jacksonville, Florida – U.S. Attorney A. Lee Bentley, III announces that a federal jury today convicted Gavin Harrill (45, Denver, Colorado) of conspiracy to cultivate and distribute marijuana. He faces a maximum penalty of 20 years’ imprisonment and a $1 million fine. A sentencing date has not yet been set.
According to testimony presented at trial, in late 2010, Harrill sold approximately 900 marijuana plants to a Jacksonville resident for distribution in Jacksonville Beach. The plants, with an approximate value of $1 million, were seized in Colorado grow houses by law enforcement officials prior to being delivered to Florida.
This conspiracy to distribute marijuana involved nine other individuals. They have also been convicted in federal court for their roles in this case. The conspiracy lasted from March 2010 to September 2011, and involved the purchase and transportation of hundreds of pounds of marijuana from California and Colorado to Florida.
This case was investigated by the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Jay Taylor.
Duval County Man Sentenced to Prison for Drug Offense at JAXPORTRead the Press Release
Jacksonville, Florida – Senior U.S. District Judge Harvey E. Schlesinger today sentenced Bobby Lee Smith (48, Jacksonville) to 96 months in federal prison for attempting to possess with intent to distribute cocaine. He pleaded guilty on October 31, 2014.
According to court documents, in 2012, Smith applied for and subsequently received a Transportation Security Administration (TSA) Transportation Worker Identification Credential (TWIC) card. The TWIC card allowed Smith to have unescorted access to various parts of the JAXPORT facility in Jacksonville. It also allowed him to escort individuals on and off JAXPORT.
Between January and early March 2014, a law enforcement officer acting in an undercover capacity (UC) conducted a series of meetings and recorded phone calls with Smith regarding drugs coming through JAXPORT. During these conversations, Smith stated that he could get anything on or off JAXPORT’s Blount Island Terminal.
On March 7, 2014, Smith agreed to meet with the UC’s partner at the Blount Island Terminal. Smith agreed to pick up a package containing five kilograms of cocaine and then deliver it to the UC. Later that day, Smith went to the JAXPORT Blount Island Terminal and, using his TWIC card, proceeded to the area where the UC’s partner was waiting. Smith then met with the UC’s partner and took possession of a package he believed contained the cocaine. Upon exiting the terminal, Smith headed in the opposite direction of the predetermined meeting site with the UC. Smith then examined the contents of the package and wrapped the purported cocaine in a t-shirt. During a subsequent traffic stop by law enforcement, the package of fake cocaine was recovered from the front passenger floorboard where Smith was seated.
This case was investigated by U.S. Immigrationa and Customs Enforcement's Homeland Security Investigations, U.S. Customs and Border Protection Air / Marine Branch, Coast Guard Investigative Service, and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kevin C. Frein.
District Man Sentenced to Four Years in Prison for Robbing Man at Bus StopRead the Press Release
WASHINGTON – Lance Applewhite, 33, of Washington, D.C., was sentenced today to four years of incarceration for robbing a man in broad daylight at a bus stop in Northwest Washington, U.S. Attorney Ronald C. Machen Jr. announced.
Applewhite was found guilty in January 2015 by a jury of a robbery charge, following a trial in the Superior Court of the District of Columbia. The Honorable Zoe Bush sentenced him today to a total of 15 years in prison, but suspended all but four years of that time on the condition that he successfully complete probation. Following his prison term, Applewhite will be placed on three years of supervised release.
According to the government’s evidence, on the afternoon of Sept. 17, 2014, the victim was on his way home from work and was making a purchase of food at a convenience store at 14th Street and Columbia Road NW. The victim had about $200 in cash in his wallet, and Applewhite was standing next to him as he took out money to pay for the purchase and received his change. Applewhite followed the victim out of the store, and went directly to the bus stop where the victim began waiting. At that point, Applewhite took out a knife and threatened to kill the victim if he did not turn over his money and cell phone.
The victim complied, and Applewhite ran away. The victim quickly flagged down a passer-by so that he could call police and report the robbery. Police reviewed surveillance footage from the convenience store, leading to Applewhite’s arrest.
In announcing the sentence, U.S. Attorney Machen commended the work of those who investigated the case from the Metropolitan Police Department. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Michael Marando, who assisted in the investigation; Paralegal Specialist Shirrel Jackson, and Litigation Technology Specialists Anisha Bhatia and Leif Hickling. Finally, he expressed appreciation for the work of Assistant U.S. Attorney Marco A. Palmieri, who investigated and prosecuted the case.
Corrections Officer Sentenced to 18 Months in Prison for Accepting Cash BribesRead the Press Release
TRENTON, N.J. – An Essex County corrections officer was sentenced today to 18 months in prison for his involvement in a scheme to smuggle marijuana, cell phones and tobacco into the Essex County Correctional Facility, a federal pretrial detention facility, in exchange for cash bribe payments, U.S. Attorney Paul J. Fishman announced.
Stephon Solomon, 27, of Irvington, New Jersey, previously pleaded guilty before U.S. District Judge Mary L. Cooper in Trenton federal court to an information charging him with one count of conspiring to commit extortion under color of official right. Judge Cooper imposed the sentence today in Trenton federal court.
According to the documents filed in this and other cases and statements made in court:
On multiple occasions between October 2013 and May 2014, Solomon, a corrections officer at the Essex County Correctional Facility, smuggled contraband – including cell phones, tobacco, and marijuana – to Quasim Nichols, 29, a federal pretrial detainee, in exchange for cash bribes. Darsell Davis, 29, and Dwayne Harper, 30, friends of Nichols, aided in the smuggling scheme by collecting the contraband to be smuggled into the facility. Solomon received the contraband and cash bribes from Davis and then smuggled the contraband to Nichols, who ultimately sold some of the marijuana and cell phones to other inmates. The inmates purchasing marijuana and cell phones from Nichols had their friends and family pay for the items by sending Western Union money transfers to Nichols, who enlisted Davis and others to retrieve those payments for him.
In addition to the prison term, Judge Cooper sentenced Solomon to three years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Richard M. Frankel in Newark, and investigators with the Internal Affairs Division of Essex County Correctional Facility, under the leadership of Warden Roy Hendricks, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Rahul Agarwal of the U.S. Attorney’s Office Special Prosecutions Division and Rob Frazer of the Criminal Division, Organized Crime/Gangs Unit, in Newark.
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Defense counsel: Jason Orlando Esq., Jersey City, N.J.Connecticut Man Sentenced on Gambling ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y. – U.S. Attorney William J. Hochul, Jr. announced today that Mark Ruff, 40, of Connecticut, who was convicted of conducting an illegal gambling business and conspiracy to commit money laundering, was sentenced to nine years n prison and three years supervised release by Chief U.S. District Judge Frank P. Geraci, Jr. Ruff was also ordered to forfeit $230,000.Assistant U.S. Attorney Robert A. Marangola, who is handling the case, stated that Mark Ruff conducted an illegal gambling business with his brother Joseph Ruff, 32, and Paul Borrelli, 67, both of Rochester. The gambling operation involved sports betting through multiple offshore internet gambling websites. Mark Ruff also conspired with Joseph Ruff and others to launder $230,000 in illegal gambling proceeds. Ruff transferred the gambling proceeds from Rochester to an associate in Connecticut to conceal their source by depositing proceeds into a credit line and making subsequent cash withdrawals and writing checks from the credit line for Mark Ruff and Joseph Ruff. Those checks included $40,000 to a local country club for Joseph Ruff which the federal government seized on August 11, 2014.
On June 24, 2014, the defendant was indicted by a federal grand jury along with Joseph Ruff and Paul Borrelli. Joseph Ruff was convicted and is awaiting sentencing on April 15, 2015. The charges against Paul Borrelli are pending. 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 sentencing is the culmination of an investigation conducted by the Organized Crime Drug Enforcement Task Force, which included the Federal Bureau of Investigation, Internal Revenue Service, under the direction of Shantelle P. Kitchen, Special Agent in Charge, New York Field Office, Rochester Police Department, under the direction of Chief Michael Ciminelli, Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Field Division, Greece Police Department, under the direction of Chief Patrick Phelan, the Webster Police Department, under the direction of Chief Gerald Pickering, and Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley.
Colombian National Charged with Smuggling Stolen Firearms from Atlanta to Medellin-Based Drug CartelRead the Press Release
ATLANTA - David Andres Perez-Pelaez, a/k/a Andres Zapata has been arraigned on federal charges of unlawfully exporting firearms and fraudulently shipping firearms to Medellin, Colombia, and possessing and disposing of stolen firearms, including a handgun stolen from the Clayton County Police Department. Perez-Pelaez was indicted by a federal grand jury on March 10, 2015.
“Illegal gun trafficking is a major problem in Georgia, but what makes this case even worse is that the defendant is alleged to have shipped stolen guns to Medellin Cartel members in Colombia,” said Acting U.S. Attorney John Horn. “Colombian cartels don’t need more guns to promote their violent activities, and we at home don’t need a market to reward gun thieves for adding dangerous weapons to the drug trade. This defendant is alleged to have done both.”
“This arrest is a result of the collaborative efforts of ATF and our American and International law enforcement partners to protect communities from violent criminal organizations,” said ATF Special Agent in Charge Carl Walker. “During the course of this two year investigation, we utilized every available resource to eradicate firearms violence which threatens citizens both domestically and internationally.”
“This investigation and the charges being brought are excellent examples of law enforcement agencies working together to target firearms smuggling around the world,” said Douglas Hassebrock, Director of the Department of Commerce's Office of Export Enforcement.
“The illegal export of firearms from the United States to violent criminal organizations creates significant public safety hazards throughout the world,” said Acting Special Agent in Charge Ryan L. Spradlin from ICE Homeland Security Investigations in Atlanta. “With this arrest, American and Colombian law enforcement agencies worked together to identify and seal off an alleged source of weapons for these dangerous criminals.”
According to Acting U.S. Attorney Horn, the charges, and other information presented in court: On March 1, 2013, Colombian Direccion de Antinarcoticos (DIRAN) personnel intercepted a package sent from Marietta, Georgia, destined for Medellin, Colombia, at the El Dorado International Airport in Bogota, Colombia. The package contained three disassembled firearms—two .40 caliber Glock pistols and a 9mm Taurus pistol—as well as five pistol magazines and a variety of ammunition, all concealed inside a piece of equipment. One of the Glock pistols was stamped as property of the Clayton County, Georgia, Police Department, and had been reported stolen. The other Glock pistol, also reported stolen, traced back to a seller and purchaser in Milledgeville, Georgia. The Taurus pistol had been reported stolen from a gun shop in Marietta, Georgia. The firearms and ammunition were not declared on customs or shipping labels, in violation of both U.S. and Colombian law, and the intended recipient was not a licensed firearm dealer.
Subsequent investigation by American and Colombian authorities revealed that the package had been sent, under the alias “Andres Zapata,” by the defendant, David Andres Perez-Pelaez, and was destined for individuals connected to the La Oficina de Envigado drug cartel, operating out of the Colombian cities of Medellin and Envigado. La Oficina de Envigado is known to be involved in international drug trafficking, extortion, and the collection of payments for criminal organizations in Antioquia, Colombia.
The investigation revealed that Perez-Pelaez started smuggling firearms to Colombia in June 2011, and continued through 2013. Perez-Pelaez hid the firearms and ammunition in everyday objects, such as garage door openers, and shipped them—without a truthful declaration of contents—via the freight carriers to Colombia. The defendant initially acquired these firearms from licensed firearms dealers and gun shows, but eventually started buying stolen firearms from the secondary market, so as to avoid detection. The defendant illegally shipped approximately 15 firearms in total, including 5.56 caliber rifles, 9mm and .40 caliber semiautomatic pistols, and other firearms and ammunition. Perez-Pelaez would receive payment from his Colombian buyers via Western Union, and would make up to $3,500 profit per rifle, and up to $2,000 per pistol.
David Andres Perez-Pelaez, a/k/a Andres Zapata, 30, a Colombian national living in Marietta, Georgia, was arraigned before U.S. Magistrate Court Judge Janet F. King on Tuesday, March 24, 2015.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Bureau of Industry and Security’s Office of Export Enforcement, and the Department of Homeland Security, Homeland Security Investigations, with assistance from Colombian authorities, including Direccion de Antinarcoticos, and Unidad Nacional de Fiscalias Contra el Terrorismo.
Assistant United States Attorneys Tracia M. King and John S. Ghose 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/.
Cleveland man sentenced to 15 years in prison for firearms convictionRead the Press Release
A Cleveland man was sentenced to 15 years in federal prison today for illegally having a firearm, said Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, Cleveland Police Chief Calvin D. Williams and ATF Special Agent in Charge Donald Soranno.
Malcolm L. Hoyle, 27, pleaded guilty last year to one count of being a felon in possession of a firearm and ammunition.
Hoyle possessed a .40-caliber pistol and ammunition on July 8, 2014, despite convictions in the Cuyahoga County Court of Common Pleas for involuntary manslaughter (2003), felonious assault (2005), two convictions for trafficking (both 2008) and attempted failure to comply (2009), according to court documents.
“We will continue to prosecute the worst of the worst, violent offenders who are prohibited from having firearms but carry them anyway,” Dettelbach said. “The Cleveland Division of Police and ATF are to be commended for getting a violent criminal off the street.”
“The Cleveland Division of Police in partnership with the U.S. Attorney's Office work diligently to protect the public from violent offenders,” Williams said. “It is imperative that the resulting cases are prosecuted to the fullest, as in this case, where together we will take a career criminal off of our streets for a substantial time.”
“I would like to recognize the dedicated work of the Cleveland Division of Police on this case,” Soranno said. “Cooperation with our law enforcement partners acts as a multiplier in our efforts to remove violent criminals from the streets and make our communities safer.”
This case is being prosecuted by Assistant U.S. Attorney Kelly L. Galvin following an investigation by the Cleveland Division of Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Claycomo Woman Sentenced for $5 Million Mortgage Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Claycomo, Mo., woman who operated a real estate business was sentenced in federal court today for her role in a $5 million mortgage fraud scheme.
Teresa Jean Whitten, 41, of Claycomo, was sentenced by U.S. District Judge Dean Whipple to six years in federal prison without parole. The court also ordered Whitten to pay $1,527,607 in restitution.
On Nov. 21, 2013, Whitten pleaded guilty to wire fraud, money laundering and theft of government money.
Whitten was doing business under the name Leadership to Homeownership. Whitten engaged in a mortgage fraud scheme from early to mid-2007 through Feb. 23, 2009, in which mortgage lenders loaned borrowers approximately $5,088,224. Whitten obtained in excess of $400,000 from the loan proceeds.
Whitten solicited potential buyers by advertisements, flyers, a Web site, and other means, claiming that she had a program through which people could purchase houses without putting money down and could qualify and obtain mortgage loans for which they would not otherwise qualify. Whitten’s scheme relied on false and fraudulent loan applications and supporting documents. The false and fraudulent representations and omissions included borrowers’ income, employment, assets, liabilities and intent to occupy the property as their primary residence.
Loan applications falsely claimed the borrowers were making a down payment and were bringing money to closing, when in fact the funds were supplied by Whitten. As part of the scheme, Whitten gave cash to borrowers so they could obtain cashier’s checks from their banks to take to closings. From the loan proceeds, after closing Whitten received funds both for her fee and reimbursement for the funds she advanced, none of which was disclosed to the lenders.
In addition to the mortgage fraud scheme, Whitten engaged in a Social Security fraud scheme. Whitten received $78,964 in disability insurance benefits and auxiliary payments for her children to which she was not entitled, as well as a $250 Recovery Act payment, for a total of $79,214. Whitten concealed from the Social Security Administration that she was working in real estate, doing business as Leadership to Homeownership and earning income and money as a result of that work. She concealed her income and earnings for the purpose of obtaining federally-funded benefits she knew she was not eligible to receive
This case was prosecuted by Assistant U.S. Attorney Kathleen D. Mahoney. It was investigated by IRS-Criminal Investigation, HUD – Office of Inspector General, the Social Security Administration – Office of Inspector General and the FBI.
Cedar Hill Man Sentenced to 72 Months in Federal Prison on Child Pornography ConvictionRead the Press Release
DALLAS — A 32-year-old Cedar Hill, Texas man, Michael Stratton, who pleaded guilty in June 2014 to an Information charging one count of receipt of child pornography, was sentenced this morning by U.S. District Judge Ed Kinkeade to 72 months in federal prison. The announcement was made today by John Parker, Acting U.S. Attorney for the Northern District of Texas.
Stratton was ordered to surrender to the Bureau of Prisons on April 22, 2015.
According to documents filed in the case, the investigation began in October 2013 while a detective with the Sherman, Texas, Police Department was investigating individuals using a specific file-sharing program and the internet to receive and distribute child pornography. The investigation linked Stratton to a computer that had made available to share images and videos of child pornography. Special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) executed a search warrant at Stratton’s home and seized a laptop computer, camera, hard drives and a thumb drive.
Stratton admitted that he had been using the file-sharing network to view and download images and videos of child pornography since 2009. He further admitted that his collection was mostly of prepubescent children.
An analysis revealed more than 180 videos and 20 images of child pornography on Stratton’s computer, hard drives and thumb drive. Included in the collection were nine videos of sado-masochistic conduct and at least one depicting infants or toddlers.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about Internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
ICE HSI and the Sherman Police Department investigated the case. Assistant U.S. Attorney Camille Sparks prosecuted.
Canadian Antiques Dealer Sentenced to 30 Months in Prison for Smuggling Rhinoceros Horns, Elephant Ivory and CoralRead the Press Release
“Wildlife smuggling is a transnational crime that knows no borders and requires an international response,” said Assistant Attorney General Cruden. “Cooperation between the United States and Canadian law enforcement was crucial to cracking this case. The United States greatly appreciates the assistance of Environment Canada in bringing Guan to justice. International law enforcement collaboration is essential if we are to prevent elephant and rhino species from being extinguished in our own lifetime.”
“Trafficking in rhinoceros horns and elephant ivory poses a literally existential threat to these endangered or vulnerable species, who die a cruel, pointless death due to greed,” said U.S. Attorney Bharara. “These living creatures are not among us as a source of wanton plunder. Without strict enforcement of international agreements and U.S. laws, these extraordinary animals may disappear from the face of the earth. Tony Guan has learned the price of putting profit over the prolonged existence of rhinos and elephants.”
“The illegal trade in rhinoceros horns is the number one threat to many populations of African rhinos, and is driving the species towards extinction,” said U.S. Fish and Wildlife Director Dan Ashe. “The wholesale slaughter of these magnificent animals in the wild is taking place so a few callous individuals can line their own pockets. But global law enforcement cooperation through avenues such as the Fish and Wildlife Service’s Operation Crash is bringing people like Guan to justice, and we thank our Canadian and other international partners for the critical role they play in cases such as this. Together we will end the scourge of rhino horn and other wildlife trafficking.”
“The successful outcome of this investigation, and the ongoing success of Operation Crash, is another example of the strong collaboration that exists between Environment Canada’s Enforcement Branch, the U.S. Fish and Wildlife Service, and our partners in conservation enforcement agencies across Canada and the United States,” said Chief Enforcement Officer Gord Owen of Environment Canada.
Calling it “a very serious offense” Judge Swain said that Guan “helped to feed a hot market for these goods" and further stated that the defendant's conduct “feeds demand for the slaughter of rare and already endangered species.”
According to the indictment, other documents filed in federal court and statements made at various proceedings in this case, including today’s sentencing:
Guan was arrested in March 2014, as part of “Operation Crash,” a nationwide crackdown on the illegal trafficking in rhinoceros horns, for Guan’s role in smuggling and attempting to smuggle rhinoceros horns, as well as items carved from elephant ivory and coral, from auction houses throughout the United States to Canada.
Guan, the president and owner of Bao Antiques in Richmond, British Columbia, was arrested after flying from Vancouver, Canada, to New York City and purchasing two endangered black rhinoceros horns from undercover special agents with the U.S. Fish and Wildlife Service at a storage facility in the Bronx, New York. After purchasing the horns, Guan had the undercover agents drive him and a female accomplice acting as his interpreter to a nearby express mail store where he mailed the horns to an address in Point Roberts, Washington, less than a mile from the Canadian border and 17 miles from his business. Guan falsely labeled the box of black rhinoceros horns as containing “handicrafts.” Guan indicated that he had people who could drive the horns across the border and that he had done so many times before.
At the same time Guan was arrested in the United States, Canadian authorities executed a search warrant at his antique business in Richmond. Canadian law enforcement seized various wildlife objects from the business, nine of which have been positively identified as wildlife objects purchased in the United States via a New York City-based internet auction business. These items, made from elephant ivory and coral, were smuggled out of the Unites States and into Canada without the required declaration or Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) permits. Some were shipped directly to Canada and others were sent, at Guan’s direction, to addresses near the U.S./Canadian border in Point Roberts. Guan also recruited college-age family members and acquaintances to assist him with smuggling the wildlife items. Photos of some of the smuggled wildlife artifacts are enclosed. In addition, during the search of Guan’s business, Canadian law enforcement also discovered illegal narcotics, including approximately 50,000 ecstasy pills.
The rhinoceros is an herbivore species of prehistoric origin and one of the largest remaining mega-fauna on earth. They have no known predators other than humans. All species of rhinoceros are protected under U.S. and international law. Since 1976, trade in rhinoceros horn has been regulated under CITES, a treaty signed by over 170 countries around the world to protect fish, wildlife and plants that are or may become imperiled due to the demands of international markets. Rhinoceros are also protected under the U.S. Endangered Species Act which further regulates trade and transport.
Operation Crash is a continuing investigation by the Department of the Interior’s Fish and Wildlife Service, in coordination with the Department of Justice. A “crash” is the term for a herd of rhinoceros. Operation Crash is an ongoing effort to detect, deter and prosecute those engaged in the illegal killing of rhinoceros and the unlawful trafficking of rhinoceros horns.
The case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorney Janis M. Echenberg of the Southern District of New York and Senior Litigation Counsel Richard A. Udell with the Environmental Crimes Section of the Department of Justice are in charge of the prosecution.
Canadian Antiques Dealer Sentenced in Manhattan Federal Court to 30 Months in Prison for Smuggling Rhinoceros Horns, Elephant Ivory, and CoralRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, John C. Cruden, the Assistant Attorney General for the Environment and Natural Resources Division of the Department of Justice, and Dan Ashe, the U.S. Fish and Wildlife Director, announced that XIAO JU GUAN, a/k/a “Tony Guan,” 39, of Richmond, British Columbia, was sentenced today in Manhattan federal court to 30 months in prison for smuggling rhinoceros horns, elephant ivory, and coral from the United States to Canada. In addition to the prison term, Judge Swain ordered Guan to forfeit wildlife items found during a search of his Canadian antiques business.
Manhattan U.S. Attorney Preet Bharara said: “Trafficking in rhinoceros horns and elephant ivory poses a literally existential threat to these endangered or vulnerable species, who die a cruel, pointless death due to greed. These living creatures are not among us as a source of wanton plunder. Without strict enforcement of international agreements and U.S. laws, these extraordinary animals may disappear from the face of the earth. Tony Guan has learned the price of putting profit over the prolonged existence of rhinos and elephants.”
Assistant Attorney General John C. Cruden said: “Wildlife smuggling is a transnational crime that knows no borders and requires an international response. Cooperation between the United States and Canadian law enforcement was crucial to cracking this case. The United States greatly appreciates the assistance of Environment Canada in bringing Guan to justice. International law enforcement collaboration is essential if we are to prevent elephant and rhino species from being extinguished in our own lifetime.”
U.S. Fish and Wildlife Director Dan Ashe said: “The illegal trade in rhinoceros horn is the number one threat to many populations of African rhinos, and is driving the species towards extinction. The wholesale slaughter of these magnificent animals in the wild is taking place so a few callous individuals can line their own pockets. But global law enforcement cooperation through avenues such as the Fish and Wildlife Service’s Operation Crash is bringing people like Guan to justice, and we thank our Canadian and other international partners for the critical role they play in cases such as this. Together we will end the scourge of rhino horn and other wildlife trafficking.”
“The successful outcome of this investigation, and the ongoing success of Operation Crash, is another example of the strong collaboration that exists between Environment Canada’s Enforcement Branch, the U.S. Fish and Wildlife Service, and our partners in conservation enforcement agencies across Canada and the United States,” said Gord Owen, Chief Enforcement Officer, Environment Canada.
Calling it "a very serious offense," Judge Swain said that Guan "helped to feed a hot market for these goods" and further stated that the defendant's conduct "feeds demand for the slaughter of rare and already endangered species."
According to the Indictment, other documents filed in Manhattan federal court, and statements made at various proceedings in this case, including today’s sentencing:
GUAN was arrested in March 2014 as part of “Operation Crash,” a nationwide crackdown on the illegal trafficking in rhinoceros horns, for GUAN’s role in smuggling and attempting to smuggle rhinoceros horns, as well as items carved from elephant ivory and coral, from auction houses throughout the United States to Canada.
GUAN, the president and owner of Bao Antiques in Richmond, British Columbia, was arrested after flying from Vancouver to New York and purchasing two endangered black rhinoceros horns from undercover special agents with the U.S. Fish and Wildlife Service at a storage facility in the Bronx. After purchasing the horns, GUAN had the undercover agents drive him and a female accomplice acting as his interpreter to a nearby express mail store where he mailed the horns to an address in Point Roberts, Washington, less than a mile from the Canadian border and 17 miles from his business. GUAN falsely labeled the box of black rhinoceros horns as containing “handicrafts.” GUAN indicated that he had people who could drive the horns across the border and that he had done so many times before.
At the same time GUAN was arrested in the United States, Canadian authorities executed a search warrant at his antique business in Richmond, B.C. Canadian law enforcement officers seized various wildlife objects from the business, nine of which have been positively identified as wildlife objects purchased in the U.S. via a Manhattan-based internet auction business. These items, made from elephant ivory and coral, were smuggled out of the U.S. and into Canada without the required declaration or permits under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (“CITES”). Some were shipped directly to Canada and others were sent, at GUAN’s direction, to addresses near the U.S./Canadian border in Point Roberts, Washington. GUAN also recruited college-age family members and acquaintances to assist him with smuggling the wildlife items. Photos of some of the smuggled wildlife artifacts are enclosed. In addition, during the search of GUAN’s business, Canadian law enforcement also discovered illegal narcotics, including approximately 50,000 ecstasy pills.
The rhinoceros is an herbivore species of prehistoric origin and one of the largest remaining mega-fauna on earth. They have no known predators other than humans. All species of rhinoceros are protected under U.S. and international law. Since 1976, trade in rhinoceros horn has been regulated under CITES, a treaty signed by over 170 countries around the world to protect fish, wildlife, and plants that are or may become imperiled due to the demands of international markets. Rhinoceros are also protected under the U.S. Endangered Species Act which further regulates trade and transport.
Operation Crash is a continuing investigation by the Department of the Interior’s Fish and Wildlife Service, in coordination with the Department of Justice. A “crash” is the term for a herd of rhinoceros. Operation Crash is an ongoing effort to detect, deter, and prosecute those engaged in the illegal killing of rhinoceros and the unlawful trafficking of rhinoceros horns.
* * *
Mr. Bharara commended the U.S. Fish and Wildlife Service for its outstanding work in this investigation. He also thanked the Department of Justice’s Environment and Natural Resources Division, and Canada’s Wildlife Enforcement Directorate.
The case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorney Janis M. Echenberg and Senior Litigation Counsel Richard A. Udell with the Environmental Crimes Section of the Department of Justice are in charge of the prosecution.
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Canadian Antiques Dealer Sentenced in Manhattan Federal Court to 30 Months in Prison for Smuggling Rhinoceros Horns, Elephant Ivory, and CoralRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, John C. Cruden, the Assistant Attorney General for the Environment and Natural Resources Division of the Department of Justice, and Dan Ashe, the U.S. Fish and Wildlife Director, announced that XIAO JU GUAN, a/k/a “Tony Guan,” 39, of Richmond, British Columbia, was sentenced today in Manhattan federal court to 30 months in prison for smuggling rhinoceros horns, elephant ivory, and coral from the United States to Canada. In addition to the prison term, Judge Swain ordered Guan to forfeit wildlife items found during a search of his Canadian antiques business.
Manhattan U.S. Attorney Preet Bharara said: “Trafficking in rhinoceros horns and elephant ivory poses a literally existential threat to these endangered or vulnerable species, who die a cruel, pointless death due to greed. These living creatures are not among us as a source of wanton plunder. Without strict enforcement of international agreements and U.S. laws, these extraordinary animals may disappear from the face of the earth. Tony Guan has learned the price of putting profit over the prolonged existence of rhinos and elephants.”
Assistant Attorney General John C. Cruden said: “Wildlife smuggling is a transnational crime that knows no borders and requires an international response. Cooperation between the United States and Canadian law enforcement was crucial to cracking this case. The United States greatly appreciates the assistance of Environment Canada in bringing Guan to justice. International law enforcement collaboration is essential if we are to prevent elephant and rhino species from being extinguished in our own lifetime.”
U.S. Fish and Wildlife Director Dan Ashe said: “The illegal trade in rhinoceros horn is the number one threat to many populations of African rhinos, and is driving the species towards extinction. The wholesale slaughter of these magnificent animals in the wild is taking place so a few callous individuals can line their own pockets. But global law enforcement cooperation through avenues such as the Fish and Wildlife Service’s Operation Crash is bringing people like Guan to justice, and we thank our Canadian and other international partners for the critical role they play in cases such as this. Together we will end the scourge of rhino horn and other wildlife trafficking.”
“The successful outcome of this investigation, and the ongoing success of Operation Crash, is another example of the strong collaboration that exists between Environment Canada’s Enforcement Branch, the U.S. Fish and Wildlife Service, and our partners in conservation enforcement agencies across Canada and the United States,” said Gord Owen, Chief Enforcement Officer, Environment Canada.
Calling it "a very serious offense," Judge Swain said that Guan "helped to feed a hot market for these goods" and further stated that the defendant's conduct "feeds demand for the slaughter of rare and already endangered species."
According to the Indictment, other documents filed in Manhattan federal court, and statements made at various proceedings in this case, including today’s sentencing:
GUAN was arrested in March 2014 as part of “Operation Crash,” a nationwide crackdown on the illegal trafficking in rhinoceros horns, for GUAN’s role in smuggling and attempting to smuggle rhinoceros horns, as well as items carved from elephant ivory and coral, from auction houses throughout the United States to Canada.
GUAN, the president and owner of Bao Antiques in Richmond, British Columbia, was arrested after flying from Vancouver to New York and purchasing two endangered black rhinoceros horns from undercover special agents with the U.S. Fish and Wildlife Service at a storage facility in the Bronx. After purchasing the horns, GUAN had the undercover agents drive him and a female accomplice acting as his interpreter to a nearby express mail store where he mailed the horns to an address in Point Roberts, Washington, less than a mile from the Canadian border and 17 miles from his business. GUAN falsely labeled the box of black rhinoceros horns as containing “handicrafts.” GUAN indicated that he had people who could drive the horns across the border and that he had done so many times before.
At the same time GUAN was arrested in the United States, Canadian authorities executed a search warrant at his antique business in Richmond, B.C. Canadian law enforcement officers seized various wildlife objects from the business, nine of which have been positively identified as wildlife objects purchased in the U.S. via a Manhattan-based internet auction business. These items, made from elephant ivory and coral, were smuggled out of the U.S. and into Canada without the required declaration or permits under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (“CITES”). Some were shipped directly to Canada and others were sent, at GUAN’s direction, to addresses near the U.S./Canadian border in Point Roberts, Washington. GUAN also recruited college-age family members and acquaintances to assist him with smuggling the wildlife items. Photos of some of the smuggled wildlife artifacts are enclosed. In addition, during the search of GUAN’s business, Canadian law enforcement also discovered illegal narcotics, including approximately 50,000 ecstasy pills.
The rhinoceros is an herbivore species of prehistoric origin and one of the largest remaining mega-fauna on earth. They have no known predators other than humans. All species of rhinoceros are protected under U.S. and international law. Since 1976, trade in rhinoceros horn has been regulated under CITES, a treaty signed by over 170 countries around the world to protect fish, wildlife, and plants that are or may become imperiled due to the demands of international markets. Rhinoceros are also protected under the U.S. Endangered Species Act which further regulates trade and transport.
Operation Crash is a continuing investigation by the Department of the Interior’s Fish and Wildlife Service, in coordination with the Department of Justice. A “crash” is the term for a herd of rhinoceros. Operation Crash is an ongoing effort to detect, deter, and prosecute those engaged in the illegal killing of rhinoceros and the unlawful trafficking of rhinoceros horns.
Mr. Bharara commended the U.S. Fish and Wildlife Service for its outstanding work in this investigation. He also thanked the Department of Justice’s Environment and Natural Resources Division, and Canada’s Wildlife Enforcement Directorate.
The case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorney Janis M. Echenberg and Senior Litigation Counsel Richard A. Udell with the Environmental Crimes Section of the Department of Justice are in charge of the prosecution.
California Man Sentenced to Prison for Possessing Methamphetamine and A Gun in Wayne CountyRead the Press Release
Thomas Gregory Lilley, 36, of Fontana, California, was sentenced today in United States District Court in Benton to 14 years in prison for possessing with intent to distribute ½ ounce of highly pure methamphetamine (commonly known as "crystal" or "ice") and possessing a firearm in relation to a drug trafficking crime, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois.
Evidence introduced in support of the guilty plea and sentence showed that in April 2014, Lilley followed his estranged wife from California to Wayne County where she had obtained a restraining order against him. Lilley violated that restraining order on April 23
rd and upon his arrest by the Wayne County Sheriff’s Department he was found to be in possession of ½ ounce of methamphetamine and a loaded 7.65 mm caliber pistol. The methamphetamine was concealed in the wheel well of his car and the firearm was hidden in the vehicle’s air breather. Lilley admitted that he brought the methamphetamine from California intending to sell it to others and that he possessed the firearm for protection. Laboratory tests conducted by the United States Drug Enforcement Administration showed that the methamphetamine was 100% pure.
In addition to the 14 year prison sentence, Lilley was ordered to pay fines and special assessments totaling $400 to the United States, was placed on a 3 year term of supervised release to follow his incarceration, and was ordered to forfeit the firearm to the United States for destruction. Following his sentencing, Lilley was returned to the custody of the United States Marshal, where has been held without bond since his arrest on the federal charges in May, to await designation to a Federal Bureau of Prisons facility.
The case was investigated by the Carmi office of the Southern Illinois Drug Task Force and the Wayne County Sheriff’s Department, with the assistance of the DEA. The case was prosecuted by Assistant United States Attorney James M. Cutchin.
Buffalo Woman Sentenced for Wire FraudRead 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 Destinee McBride, 24, of Buffalo, NY, who was convicted of wire fraud affecting a financial institution, was sentenced to six months home detention and two years supervised release by Senior U.S. District Judge William M. Skretny. The defendant was also ordered to pay restitution totaling $59,077.Assistant U.S. Attorney Trini E. Ross, who is handling the case, stated that the defendant was part of a scheme to defraud the government by obtaining money from the filing of false tax returns. McBride received the proceeds from one of the fraudulent tax returns which was filed with the Internal Revenue Service and for which the refund was placed on a prepaid debit card. The defendant used that card to obtain cash from an ATM and merchandise from private businesses. As a result of the scheme, losses to the Internal Revenue Service totaled $534,782.00.
This case is the culmination of an investigation on the part of the Special Agents of the Internal Revenue Service, Criminal investigation Division under the direction of Special Agent in Charge Shantelle P. Kitchen, and the United States Postal Inspection Service, under the direction of Shelly Binkowski, Inspector in Charge, Boston Division.
Buffalo 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 Renwick Samuel, 50, of Buffalo, NY, pleaded guilty before Senior U.S. District Judge William M. Skretny, to conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, a fine of $10,000,000.00, or both.Assistant U.S. Attorney George C. Burgasser, who is handling the case, stated that between 2006 and December 2012, the defendant conspired with three co-defendants to possess and distribute cocaine in Buffalo. Samuel was arrested in December 2012 along with Angel Gonzalez and Mica Donadelle. Another co-defendant, Kevin Liburd, was arrested in 2014 in the Virgin Islands and extradited to the Western District of New York. Gonzales was convicted and is awaiting sentencing. Charges are pending against Liburd and Donadelle. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the culmination of an investigation on the part of the Safe Streets Task Force of the Federal Bureau of Investigation.
Sentencing is scheduled for July 15, 2015 at 9:00 a.m. before Judge Skretny.
Armed Drug Trafficker Pleads GuiltyRead the Press Release
PROVIDENCE, R.I. – Kevin Bates, 38, of Attleboro, Mass., pleaded guilty in federal court in Providence on Tuesday to being an armed drug trafficker, and faces statutory penalties of up to life in federal prison when he is sentenced in June, announced United States Attorney Peter F. Neronha and Providence Police Chief Colonel Hugh T. Clements, Jr.
Bates was arrested by Providence Police in October 2013, after a routine traffic stop resulted in the discovery of nearly 245 grams of cocaine and a loaded firearm in Bates’ vehicle.
According to court documents, shortly after midnight on October 19, 2013, Providence police, who had increased patrols on the East Side because of a spate of thefts, saw a car slowly circling in the area. The car repeatedly failed to indicate its turns with a turn light or signal. Due to the traffic violations and the late night circling in the residential neighborhood, police stopped the car. As detectives approached the car, Bates appeared startled and nervous. Detectives saw Bates reaching down beneath the driver's seat.
A search of the vehicle resulted in the discovery of a plastic bag containing nearly 245 grams of cocaine, a loaded .380 caliber handgun under the front seat and $2,500 in cash. Bates admitted to police and to the court that the firearm was his, and that he had purchased it for $500 for protection. The firearm had previously been reported stolen.
Bates, who previously was convicted of drug trafficking and firearm charges, pleaded guilty on Tuesday to one count each of possession of cocaine with the intent to distribute, being a felon in possession of a firearm and being in possession of a firearm in furtherance of a drug trafficking crime.
Bates, who faces statutory sentences of up to 30 years in prison for possession of cocaine with the intent to distribute and being a felon in possession of a firearm, and a statutory consecutive sentence of a maximum of life imprisonment with a mandatory minimum term of 5 years imprisonment, is scheduled to be sentenced by U.S. District Court Chief Judge William E. Smith on June 12, 2015.
The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah.
The Bureau of Alcohol, Tobacco, Firearms and Explosives assisted Providence Police in the investigation of this matter.
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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]10th Street Gang Member Sentenced to Life in Prison for Murder, Racketeering and Narcotics TraffickingRead 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 Jonathan Delgado, 26, of Buffalo, NY, who was convicted following a seven week jury trial of Racketeering Influenced Corrupt Organizations conspiracy, was sentenced to life in prison plus five years by U.S. District Judge Richard J. Arcara.According to Assistant U.S. Attorneys Joseph M. Tripi and John M. Alsup, who handled the prosecution of the case, stated that the defendant was a member of the 10th Street Gang which was responsible for multiple acts of violence and the trafficking of various controlled substances on Buffalo’s West Side. Specifically, Delgado, directly or by helping his fellow gang members, participated in the murders of Brandon McDonald and Darinell Young and the attempted murders of 12 others.
The defendant was a member of the 10th Street Gang between 2000 and 2012 and participated in other acts of violence including robbery, burglary, drug distribution and possession of firearms.
Delgado is one of 44 10th Street Gang members and associates charged and convicted in this case.
Today’s convictions are the culmination of an investigation on the part of Special Agents of the FBI Safe Streets Task Force, the New York State Police, under the direction of Major Michael Cerretto, the Buffalo Police Department under the direction of Commissioner Daniel Derenda and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge Delano A. Reid, New York Field Division.
24 March 2015
Woman Sentenced for Preparing False Income Tax ReturnRead the Press Release
HOUSTON – Nina Thompson aka Nina Thompson Price has been ordered to federal prison following her conviction of willfully aiding and assisting in the preparation and presentation of a false U.S. Individual Income Tax Return, announced U.S. Attorney Kenneth Magidson and Special Agent in Charge Lucy Cruz of Internal Revenue Service – Criminal Investigation (IRS-CI). Thompson pleaded guilty Dec. 29, 2014.
Today, U.S. District Judge David Hittner, who accepted the guilty plea, handed Thompson a 24-month sentence to be immediately followed by one year of supervised release. She was further ordered to pay $226,884 in restitution to the IRS.
According to the plea agreement filed in the record of the case, Thompson was in the business of preparing income tax returns and operated under the name N.M. & T. Tax Service located on Bellaire Boulevard in Houston. Thompson admitted she willfully placed numerous false items on her clients’ income tax returns in an attempt to lower their income tax liabilities.
The return she prepared that formed the basis of the charges against her resulted in a tax loss to the United States of $7,428. As part of her plea, she admitted that as a result of her actions, the total relevant conduct for sentencing purposes is $226,884. She has agreed to pay that amount in restitution to the IRS.
Previously released on bond, Thompson was taken into custody following the sentencing today where she will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.IRS-CI investigated. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.
Verdict Against Baltimore Man UpheldRead the Press Release
Contact Person: John Potterfield (803) 929-3000
Columbia, South Carolina---- United States Attorney Bill Nettles stated today that a guilty verdict against Charles Brown, of Baltimore, Maryland was upheld.
Evidence presented at the trial established that the Department of Veteran's Affairs invited bids on a contract which was set aside for Service Disabled Veteran Owned Small Businesses. The defendant, Charles Brown, bid on the contract, asserting that Executive Medical Transport, LLC, a Columbia based company qualified as disabled veteran owned. The evidence produced at trial further established that although a disabled veteran was listed as an owner of the company, that veteran rarely visited the company and did not exercise control over the operations of the company.
On February 11, 2015, Brown was convicted of seven counts of Wire Fraud. Brown moved to have those verdicts set aside. Today, that motion was denied and the verdicts of the jury upheld.
The case was investigated by agents of the Department of Veteran's Affairs Office of Inspector General. Assistant United States Attorney John C. Potterfield of the Columbia office prosecuted the case.#####
U.S. Attorney's Office Joins TwitterRead the Press Release
Tampa, FL - United States Attorney A. Lee Bentley, III announces today that his office has joined Twitter to assist in providing news, announcements, and other information to the public. To follow us on Twitter, go to https://twitter.com/USAO_MDFL, or add our Twitter address, @USAO_MDFL, to the Twitter app on your mobile device. In addition to Twitter, the U.S. Attorney’s Office also maintains a website, which remains the primary source of information for our office.
Two Men Plead Guilty to Bank Robbery in Twin FallsRead the Press Release
BOISE - Juan Loredo, 22, and Shawn Smith,19, both from Salinas, California, pleaded guilty today to bank robbery by use of dangerous weapons and brandishing of firearms during the commission of a felony offense, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, on November 20, 2014, the defendants robbed the First Federal Bank in Twin Falls, Idaho. As the men entered the bank, Loredo brandished a sawed-off shotgun, and Smith brandished a semi-automatic pistol at the tellers and manager. They stole more than $7,000, all of which was recovered by police when the men were arrested after a high-speed vehicle chase, and foot pursuit.
Sentencing is set for June 9, 2015, before U.S. District Judge Edward J. Lodge. The men will continue to be held in custody awaiting their sentences.
The charge of bank robbery by use of a dangerous weapon is punishable by up to 25 years in prison, and a maximum fine of $250,000. In addition to the bank robbery, Juan Loredo faces an additional period of not less than 10 years of incarceration consecutive to any other punishment, and a maximum fine of $250,000 for brandishing the short-barreled shotgun during the crime of violence. Shawn Smith faces an additional period of not less than seven years consecutive to any other punishment for brandishing the pistol during the crime of violence.
“Those who use firearms to commit violent crimes will be vigorously investigated and prosecuted,” said Olson.
The men were apprehended by, and the case was investigated by, the Twin Falls Police Department. The Bureau of Alcohol, Tobacco and Firearms assisted in the investigation and prosecution of these offenses.
Two Brothers Charged in $1 Million Drug-Trafficking ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that two more Kansas City, Mo., men were indicted by a federal grand jury today for their roles in a 15-member conspiracy to distribute more than $1 million worth of cocaine, methamphetamine and marijuana.
Jesse F. Vasquez, 40, and his brother, Jonathan Anthony Vasquez, 34, both of Kansas City, were charged in an eight-count superseding indictment returned by a federal grand jury in Kansas City, Mo.
Today’s indictment replaces a Nov. 18, 2014, indictment and includes the original defendants along with additional charges. Those previously charged are Christopher Brian Padilla, 30, Natalie N. Tinoco, 29, Oswaldo Ulises Lopez, 24, Edward Francis Diaz, Jr., 47, Edward Francis Diaz III, 28, Mary Eloisa Steward, 33, Heriberto Muzquiz III, 43, Nicholas Salinas, 47, and Terry L. Diaz, 50, all of Kansas City, Mo.; Sergio Ibarra-Hernandez, 44, Jose Tereso Salinas-Covarrubias, 46, and Martin Fernando Espinoza-Arevalo, 26, all of whom are citizens of Mexico residing in Kansas City, Mo.; and Adan Rogelio Hernandez-Aceves, also known as Jose Delgado-Hernandez, 44, a citizen of Mexico residing in Kansas City, Kan.
The federal indictment alleges that all of the defendants participated in a conspiracy to distribute cocaine, methamphetamine and marijuana from Jan. 1, 2012, to Nov. 19, 2014. The indictment alleges that conspirators distributed at least 15 kilograms of cocaine, two kilograms of methamphetamine and 1,000 kilograms of marijuana.
As in the original indictment, Padilla also is charged with one count of illegally possessing firearms. Padilla allegedly possessed and used a loaded .357-caliber Glock semi-automatic pistol, a Taurus .38-caliber revolver and a Glock .40-caliber semi-automatic pistol in furtherance of a drug-trafficking crime. Padilla is also charged with selling a Taurus .38-caliber revolver and a Glock .40-caliber semi-automatic pistol to a buyer who was prohibited from possessing a firearm because he was a felon.
Today’s superseding indictment contains several new charges against various defendants.
Salinas and Jonathan Vasquez are charged with possessing cocaine with the intent to distribute. Ibarra-Hernandez and Salinas-Covarrubias are charged with possessing methamphetamine with the intent to distribute.
Ibarra-Hernandez, Salinas-Covarrubias and Jonathan Vasquez are charged with being drug users in possession of firearms and ammunition. The indictment alleges that the three men, who were addicted to marijuana, cocaine, methamphetamine and other controlled substances, were in possession of a Ruger semi-automatic handgun, a Smith and Wesson .357-caliber handgun and ammunition.
Ibarra-Hernandez and Salinas-Covarrubias are charged with being illegal aliens in possession of firearms and ammunition.
Ibarra-Hernandez, Espinoza-Arevalo and Hernandez-Aceves are also charged with illegally reentering the United States after having been deported.
The federal indictment also contains a forfeiture allegation, which would require the defendants to forfeit to the government any property derived from the proceeds of the drug-trafficking conspiracy or used to facilitate the commission of the drug-trafficking conspiracy, including a money judgment of $1,050,000 for which all of the defendants are jointly and severally liable. This sum, in aggregate, allegedly was received in exchange for the unlawful distribution of cocaine, methamphetamine and marijuana, based on a conservative average street price of $32,000 per kilogram of cocaine, $1,000 per ounce of methamphetamine and $500 per pound of marijuana and the total conspiracy distribution of at least 15 kilograms of cocaine, two kilograms of methamphetamine and 1,000 kilograms of marijuana.
The forfeiture allegation would also require the defendants to forfeit two residential properties owned by Salinas, a 2007 Chevrolet Avalanche pick-up owned by Hernandez-Aceves and $59,708 seized by law enforcement officers.
Dickinson cautioned that these charges are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Bruce Rhoades. It was investigated by the Kansas City, Mo., Police Department and the FBI.
Supreme Court Denies Petition in Animal Crush Video Case – Case Returns to Houston Federal CourtRead the Press Release
HOUSTON – The U.S. Supreme Court has denied a petition for a writ of certiorari in the case involving a Texas couple who allegedly created and distributed “animal crush videos,” announced U.S. Attorney Kenneth Magidson. The case will now again be set for trial in federal court in Houston.
A federal grand jury returned an indictment Nov. 28, 2012, against Ashley Nicole Richards, 24, and Brent Justice, 53, both of Houston. They were charged with multiple counts of creating animal crush videos and distribution of those videos among other charges.
A U.S. district judge later dismissed the crush video charges, citing constitutionality issues. The government appealed that decision to the 5th Circuit Court of Appeals in New Orleans which subsequently overturned the decision of the District Court. The defendants then filed a petition for a writ of certiorari to the U.S. Supreme Court challenging the 5th Circuit’s ruling. The U.S. Supreme Court has denied that petition and the case is remanded back to the District Court for prosecution. A new trial date has not yet been set.
The indictment alleges Richards and Justice created and distributed animal crush videos which were obscene in nature. The charges mention eight videos which allegedly involve puppies, chickens and kittens being tortured and killed. The indictment alleges the videos were created at varying times between February 2010 and August 2012.
The term "animal crush video" is defined under federal law as any photograph, motion-picture film, video or digital recording, or electronic image that depicts actual conduct in which one or more living non-human mammals, birds, reptiles or amphibians is intentionally crushed, burned, drowned, suffocated, impaled or otherwise subjected to serious bodily injury, and is obscene.
This is the first known case to be indicted in federal court since the statute was amended in 2010.
If convicted of these charges, Richards and Justice face up to seven years in federal prison on each count. They also face a possible $250,000 fine and at least three years of supervised release following completion of any prison term imposed.
Both have remained in state custody on related animal cruelty charges following their arrests on Aug. 15, 2012.
Oral arguments are available online. The arguments presented in this case before the 5th Circuit Court of Appeals on March 11, 2014, can be heard at http://www.ca5.uscourts.gov/OralArgRecordings/13/_13-20265_3-11-2014.MP3
This case was originally investigated by the Houston Police Department who is working in conjunction with the Houston office of the FBI. The case is being prosecuted by Assistant U.S. Attorney Sherri L. Zack. Trial Attorney John Pellettieri of the Department of Justice’s Criminal Division handled the appeal.
A defendant is presumed innocent unless convicted through due process of law.Stroudsburg Woman Enters Guilty Plea to Federal Charge for Allowing Her Residence to Be Used for Methamphetamine TraffickingRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a Stroudsburg woman pleaded guilty today in Scranton before Senior United States District Judge Edwin M. Kosik, to a charge involving the use of her residence for methamphetamine trafficking.
According to United States Attorney Peter Smith, Jeannine Altemose, age 53, of Stroudsburg, Monroe County, entered a guilty plea to the charge of maintaining drug involved premises. Altemose admitted to allowing a co-defendant to store and distribute methamphetamine from her residence in Stroudsburg in 2013 and 2014.
Altemose was one of seven individuals indicted by a federal grand jury in April 2014, after a several month investigation conducted jointly by the Drug Enforcement Administration, the Pennsylvania State Police and the Stroud Regional Police Department regarding methamphetamine trafficking in Monroe County.
The charges against the remaining defendants are currently pending.
The cases are being prosecuted by Assistant United States Attorney Robert J. O’Hara.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.In this case, the maximum penalty for all charges under the federal statutes is imprisonment for 20 years, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public, and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
St. Croix Man Arrested on Charges of Illegal Receipt of FirearmsRead the Press Release
St. Croix, USVI – Gregory Williams, Jr., 23, of St. Croix, was arrested today and charged in District Court with illegal receipt of firearms, possession of a firearm with an obliterated serial number and unauthorized possession of firearm, announced United States Attorney Ronald W. Sharpe. Williams made his initial appearance before U.S. Magistrate Judge Cannon and was detained pending a detention hearing scheduled for Thursday, March 26, 2015.
Williams was arrested pursuant to a warrant issued after he was indicted by a federal grand jury on Tuesday, March 17, 2015, in three-count indictment.
If convicted of illegal receipt of firearms, Williams faces a maximum of 10 years in prison and a $250,000 fine. If convicted of possession of a firearm with an obliterated serial number, he faces a maximum of five years in prison and a $250,000 fine. If convicted of unauthorized possession of a firearm, he faces a maximum sentence of five years in prison.
The three-count indictment is the result of investigative work by U. S. Customs and Border Protection (CBP), Department of Homeland Security (DHS), United States Postal Inspection Service (USPIS), and the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The case is being prosecuted by Assistant U.S. Attorney Rami S. Badawy.
United States Attorney Sharpe reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty.
Springfield Man Pleads Guilty to Cocaine DistributionRead the Press Release
BOSTON – Stephen Tavernier, 27, of Springfield, pleaded guilty yesterday to conspiracy to possess with intent to distribute and to distribute cocaine, and distribution of cocaine. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for June 29, 2015.
On Aug. 6, 2013, Tavernier sold cocaine to an undercover federal agent on Main Street in Springfield, just yards from the state courthouse. Tavernier also admitted that, during the transaction, he removed a bag of crack cocaine from his mouth and handed it to the agent. The drug purchase was captured on video.
The charge of conspiracy to possess with intent to distribute cocaine provides a sentence of no greater than 20 years in prison, 3-5 years of supervised release, and a fine of $1 million. The charge of distribution of cocaine provides a sentence of no greater than 20 years in prison, 3-5 years of supervised release, and a fine of $1 million. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz and Daniel J. Kumor, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement. The case is being prosecuted by Assistant U.S. Attorney Deepika Bains Shukla of Ortiz’s Springfield Branch Office.
Sioux Falls Man Charged in Dacotah Bank RobberyRead the Press Release
Acting United States Attorney Randolph J. Seiler announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Bank Robbery.
Rickey Daniel Starks, age 45, was indicted on March 17, 2015. He appeared before U.S. Magistrate Judge Veronica L. Duffy on March 18, 2015, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in custody and/or a $250,000 fine, 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
On March 5, 2015, the Sioux Falls Police Department responded to a call that there had been an armed robbery at Dacotah Bank on East 10th Street in Sioux Falls. Information relayed to the officers was that a man walked in the front door of the bank wearing distinctive clothing, a ski mask, and carrying a backpack. He demanded money and waved what appeared to be a gun in the air. Video from the bank’s surveillance cameras confirmed the information the police had received. Portions of the video were released to the local news media and several sources contacted law enforcement to help identify the person.
The charge is merely an accusation and Starks is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Sioux Falls Police Department, South Dakota Highway Patrol, and the Federal Bureau of Investigation. Assistant U.S. Attorney Dennis R. Holmes is prosecuting the case.
Starks was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.