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Friday 30 January 2015
Supplier of Anchorage and Missouri Drug Conspiracies Pleads Guilty to Drug and Money Laundering ConspiracyRead the Press Release
Anchorage, Alaska-U.S. Attorney Karen L. Loeffler announced today that the lead defendant of a drug conspiracy involving nine individuals pled guilty in federal court today. Six of the eight other co-conspirators have previously pled guilty to federal drug charges or been sentenced for their roles in the conspiracy.
Steven N. Taylor, a/k/a "Louis V," a/k/a "Nicky," 43, of Seattle, Washington, pled guilty today in U.S. District Court in Anchorage to Counts 1 and 2 of an Indictment charging a drug and money laundering conspiracy. Taylor admitted that he imported between 15 and 50 kilograms of cocaine to Alaska between 2009 and 2014. In a plea agreement filed with the court, Taylor admitted that he would send parcels of cocaine to Alaska from Washington. In addition, he agreed that he would use bank accounts in other names to launder the proceeds of drug trafficking. Taylor also agreed to plead guilty to a separate but related drug conspiracy indictment currently pending in the Eastern District of Missouri.
Chief U.S. District Court Judge Ralph R. Beistline scheduled Taylor’s sentencing for April 27, 2015. Taylor has been in federal custody since his arrest in Seattle, Washington, in August 2012.
According to the court documents, Taylor, a Washington State resident, was a long-time supplier of cocaine to Alaska. He was previously convicted by the U.S. District Court in the Western District of Washington for Drug Conspiracy in November 1997.
Taylor was indicted along with eight other members of the conspiracy who were located in Anchorage, Fairbanks, Seattle, Washington, and Florida. James Brown, Sr., a/k/a "Unc," of Seattle, was sentenced to 56 months imprisonment on August 11, 2014; Leonard Charles, of Seattle, was sentenced to 60 months imprisonment on April 14, 2014; Gabrielle Haynes, of Fairbanks, was sentenced to 18 months imprisonment on April 11, 2014; and Joseph Irving, of Seattle, was sentenced to 21 months imprisonment on April 2, 2014.
Shawn Cloyd, a/k/a "CC," a/k/a, "Rider," and Timothy Northcutt, a/k/a "OG," a/k/a, "Butch," both from Anchorage, have plead guilty to Drug Conspiracy and currently await sentencing. Joshua Haynes, a/k/a "Lil J," of Fairbanks and Florida, is scheduled to plead guilty to Drug Conspiracy on February 4, 2015.
Etienne Devoe, a/k/a "Tien," a/k/a "Tin," of Fairbanks, is scheduled to go to trial in Anchorage on March 23, 2015.
Taylor faces a maximum sentence of life imprisonment for the drug conspiracy.
Ms. Loeffler commended the Drug Enforcement Administration, the Federal Bureau of Investigation, the United States Postal Service, the Internal Revenue Service Criminal Investigation Division, and the Anchorage Police Department for the investigation leading to the successful prosecution of Mr. Taylor.
Supplier of Anchorage and Missouri Drug Conspiracies Pleads Guilty to Drug and Money Laundering ConspiracyRead the Press Release
Anchorage, Alaska-U.S. Attorney Karen L. Loeffler announced today that the lead defendant of a drug conspiracy involving nine individuals pled guilty in federal court today. Six of the eight other co-conspirators have previously pled guilty to federal drug charges or been sentenced for their roles in the conspiracy.
Steven N. Taylor, a/k/a "Louis V," a/k/a "Nicky," 43, of Seattle, Washington, pled guilty today in U.S. District Court in Anchorage to Counts 1 and 2 of an Indictment charging a drug and money laundering conspiracy. Taylor admitted that he imported between 15 and 50 kilograms of cocaine to Alaska between 2009 and 2014. In a plea agreement filed with the court, Taylor admitted that he would send parcels of cocaine to Alaska from Washington. In addition, he agreed that he would use bank accounts in other names to launder the proceeds of drug trafficking. Taylor also agreed to plead guilty to a separate but related drug conspiracy indictment currently pending in the Eastern District of Missouri.
Chief U.S. District Court Judge Ralph R. Beistline scheduled Taylor’s sentencing for April 27, 2015. Taylor has been in federal custody since his arrest in Seattle, Washington, in August 2012.
According to the court documents, Taylor, a Washington State resident, was a long-time supplier of cocaine to Alaska. He was previously convicted by the U.S. District Court in the Western District of Washington for Drug Conspiracy in November 1997.
Taylor was indicted along with eight other members of the conspiracy who were located in Anchorage, Fairbanks, Seattle, Washington, and Florida. James Brown, Sr., a/k/a "Unc," of Seattle, was sentenced to 56 months imprisonment on August 11, 2014; Leonard Charles, of Seattle, was sentenced to 60 months imprisonment on April 14, 2014; Gabrielle Haynes, of Fairbanks, was sentenced to 18 months imprisonment on April 11, 2014; and Joseph Irving, of Seattle, was sentenced to 21 months imprisonment on April 2, 2014.
Shawn Cloyd, a/k/a "CC," a/k/a, "Rider," and Timothy Northcutt, a/k/a "OG," a/k/a, "Butch," both from Anchorage, have plead guilty to Drug Conspiracy and currently await sentencing. Joshua Haynes, a/k/a "Lil J," of Fairbanks and Florida, is scheduled to plead guilty to Drug Conspiracy on February 4, 2015.
Etienne Devoe, a/k/a "Tien," a/k/a "Tin," of Fairbanks, is scheduled to go to trial in Anchorage on March 23, 2015.
Taylor faces a maximum sentence of life imprisonment for the drug conspiracy.
Ms. Loeffler commended the Drug Enforcement Administration, the Federal Bureau of Investigation, the United States Postal Service, the Internal Revenue Service Criminal Investigation Division, and the Anchorage Police Department for the investigation leading to the successful prosecution of Mr. Taylor.
St. Lucie County Resident Sentenced in Identity Theft SchemeRead the Press Release
A St. Lucie County resident was sentenced to 70 months in prison, followed by three years of supervised release.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Ken J. Mascara, Sheriff, St. Lucie County Sheriff’s Office, made the announcement.
Patrick J. Ward previously pled guilty to one count of possessing fifteen or more access devices and one count of aggravated identity theft.
According to court documents, during a search warrant of Ward’s residence, law enforcement recovered two notebooks, 4 apartment applications, 55 Lexis automobile printouts, and 43 printouts of inmate information from the Florida Department of Corrections that contained a total of 572 other individuals’ names and social security numbers. Ward purchased the notebooks for $200, and obtained the Lexis customer information printouts from an employee who worked at Lexis on US l in Fort Pierce. Ward paid the Lexis employee about $80 worth of oxycodone pills for the printouts that she accessed and printed from a work computer located at her office.
According to court documents, a cell mate of Ward’s was interested in buying any social security numbers that Ward could come across to be used to prepare false tax returns. Ward admitted that he bought all the notebooks and papers to resell for profit.
Mr. Ferrer commended the investigative efforts of IRS-CI and the St. Lucie County Sheriff’s Office. The case was prosecuted by Assistant U.S. Attorney Courtney L. Coker.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Silk Road Drug Vendor Pleads Guilty to Drug Trafficking ChargesRead the Press Release
Baltimore, Maryland – David Lawrence Handel, age 26, of Columbus, Ohio pleaded guilty yesterday to drug trafficking charges in connection with the sale of drugs via Silk Road, an online, international marketplace for users to buy and sell controlled substances, false identifications and other contraband over the Internet.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Acting Postal Inspector in Charge David M. McGinnis of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; and Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
According to his plea agreement, Handel contacted buyers of methylone, and other synthetic drugs via Silk Road. Handel accepted payment electronically through Silk Road and shipped drugs via the U.S. Postal Service to customers in Maryland, throughout the United States and in foreign countries.
In 2012, federal agents in Maryland assigned to an Organized Crime Drug Enforcement Task Force made several undercover purchases of drugs, including methylone, from Handel. Handel shipped the methylone to Maryland.
On August 21, 2012, U.S. Customs and Border Protection intercepted a package of synthetic drugs coming from China and addressed to Handel in Columbus, Ohio. Handel picked up the package of synthetic drugs the next day from his local post office. Federal agents arrested Handel after leaving the post office with the drugs. Handel also had a Glock firearm strapped to his ankle. Another firearm was seized from his car. Agents recovered additional drugs, including over 600 grams of methylone from Handel’s apartment, and three more firearms.
At the time of his arrest, Handel confessed to being a longstanding drug trafficker on the Silk Road website. He admitted to buying the drugs from a supplier in China, and having them shipped to him via U.S. mail. Handel admitted to spending $4,800 on his most recent shipment from China.
Handel faces a maximum sentence of 20 years in prison for conspiring to traffic drugs; and a minimum of five years and a maximum of life in prison for using and carrying a firearm in relation to drug trafficking. Chief U.S. District Judge Catherine C. Blake scheduled sentencing for May 15, 2015 at 12:00 p.m.
In a similar case, on September 5, 2014 Chief Judge Blake sentenced a former drug vendor on the Silk Road website, Jacob Theodore George IV, age 33, of Edgewood, Maryland, to six years in prison for conspiracy to distribute and possess with intent to distribute drugs, including heroin.
United States Attorney Rod J. Rosenstein praised HSI Baltimore, DEA, U.S. Postal Inspection Service, U.S. Secret Service and IRS-Criminal Investigation for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Sandra Wilkinson, who is prosecuting this Organized Crime Drug Enforcement Task Force case.
Shreveport Man Sentenced to 30 Years in Prison for Receiving Child PornographyRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a Shreveport man was sentenced to 360 months in prison for receiving child pornography.
Aaron Wikkerink, 44, was sentenced by U.S. District Judge S. Maurice Hicks Jr. on one count of receiving child pornography. He was also sentenced to serve five years of supervised release and is required to register as a sex offender. According to evidence presented at the October 1, 2014, guilty plea, Wikkerink admitted to downloading child pornography online from April 7, 2012 until April 24, 2012. Law enforcement agents executed a search warrant at Wikkerink’s residence and found child pornography on several electronic storage devices depicting prepubescent children in sexually explicit situations. Wikkerink was previously convicted of child molestation.
“This office is dedicated to the protection of children,” Finley stated. “We have and will continue to make the prosecution of child exploitation and child pornography cases a priority. Those who hide behind technology to conduct these heinous acts should know that the internet is not a safe haven for their crimes. I want to thank our federal, state, and local partners who work so diligently to investigate and uncover these threats to children.”
United Stated Department of Homeland Security (Shreveport) and the Louisiana Attorney General’s Office investigated the case. Assistant U.S. Attorney Earl M. Campbell prosecuted the case.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ 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 exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit www.projectsafechildhood.gov.
The U.S. Attorney’s Office and the U.S. Department of Homeland Security/Homeland Security Investigations/Immigration & Customs Enforcement (ICE) encourages the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) DHS-2ICE. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online at www.ice.gov/exec/forms/hsi-tips/tips.asp.Shreveport Fire Department Dispatcher Sentenced to 25 Months in Prison for Child Pornography PossessionRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a dispatcher with the Shreveport Fire Department was sentenced to 25 months in prison for possessing child pornography.
Shreveport Fire Department Dispatcher Stephen St. John, 46, of Shreveport, was sentenced by U.S. District Judge Elizabeth E. Foote on one count of possession of child pornography. He was also sentenced to five years of supervised release. According to evidence presented at the September 18, 2014, guilty plea, law enforcement agents discovered that St. John was a member of a secret internet file posting board that distributed child pornography. His home was searched on September 5, 2013 and several computers, external hard drives, memory cards, DVDs and diskettes were seized. An examination of the seized items revealed pubescent and prepubescent males engaged in explicit sexual activity.
The U.S. Postal Inspection Service, Homeland Security Investigations, U.S. Marshals Service and the Louisiana State Police investigated the case. Assistant U.S. Attorney Cytheria D. Jernigan prosecuted the case.This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ 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 exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The U.S. Attorney’s Office and the U.S. Department of Homeland Security/Homeland Security Investigations/Immigration & Customs Enforcement (ICE) encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) DHS-2ICE. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online at www.ice.gov/exec/forms/hsi-tips/tips.asp. Tips may be reported anonymously
Ship Operator Admits to Covering up the Deliberate Discharge of Oil and Ordered to Pay $1.8 MillionRead the Press Release
Baltimore, Maryland – The Hachiuma Steamship Co., LTD pleaded guilty today to violating the Act to Prevent Pollution from Ships (APPS), arising from the failure to maintain an accurate oil record book concerning the illegal disposal of oil residue and bilge water overboard the cargo vessel M/V Selene Leader. Chief U.S. District Judge Catherine C. Blake sentenced Hachiuma Steamship today to pay $1.8 million, and placed it on probation for three years during which it is to develop an environmental compliance program.
The plea and sentence were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division John C. Cruden; and Coast Guard Captain Kevin Kiefer, Captain of the Port of Baltimore.
“The Coast Guard is trying to send a message to the maritime industry that environmental compliance is not optional and that deliberate violators will be apprehended. The sentence fits the crime because it includes a requirement that these defendants develop and implement a comprehensive environmental compliance program that will be ensured by outside auditors. Companies that get caught can expect a much closer look,” said Coast Guard Captain Kevin Kiefer, Captain of the Port of Baltimore.
The M/V Selene Leader was operated by Hachiuma Steamship Co, LTD, a Japanese company, between August 2013 and the end of January 2014. The M/V Selene Leader transported vehicles to and from ports in the United States, including the Port of Baltimore. Noly Torato Vidad was the chief engineer, and Ireneo Tomo Tuale was the first engineer on board the vessel.
According to the plea agreement, in January 2014, engine room crew members of the vessel under the supervision of Vidad and Tuale transferred oily wastes between oil tanks on board the ship using rubber hoses and then illegally bypassed pollution control equipment and discharged the oily wastes overboard into the ocean. Before such waste can be discharged into the sea, the law requires that it must first pass through an oil water separator, and the operation must be recorded in the vessel’s oil record book for inspection by the U.S. Coast Guard.
The M/V Selene Leader arrived in Baltimore on January 29, 2014 with an oil record book that failed to include entries reflecting the discharge of oily water and oily waste directly into the ocean. The Coast Guard boarded the ship for inspection the next day. During the inspection, Mr. Vidad tried to hide the illegal discharges of oil by falsifying the oil record book, destroying documents, lying to Coast Guard investigators, and instructing subordinate crew members to lie to the Coast Guard.
Of the total $1.8 million penalty paid at today’s sentencing, $450,000 was made payable to the National Fish and Wildlife Foundation to fund projects benefitting the Chesapeake Bay, and
$250,000 was awarded to a whistleblower on board the M/V Selene Leader who alerted the Coast Guard about the illegal activities on board the vessel, provided a video showing the illegal transfers of oily wastes and assisted in the Coast Guard’s investigation of the case.
Noly Torato Vidad, age 47, and Ireneo Tomo Tuale, age 63, both of the Philippines, previously pleaded guilty to their participation in the scheme and are scheduled to be sentenced in federal court in Baltimore on February 20 and March 3, 2015, respectively.
United States Attorney Rod J. Rosenstein and Assistant Attorney General John C. Cruden praised the Coast Guard Investigative Service for its work in the investigation and thanked Special Assistant U.S. Attorney David P. Kehoe, of the Environmental Crimes Section of the U.S. Department of Justice, and Assistant United States Attorney P. Michael Cunningham, who prosecuted the case.
Second California Woman Pleads Guilty to Wire Fraud and Aggravated Identity Theft for Retail Fraud SchemeRead the Press Release
BOISE – Rocio Contreras-Loya, 40, of Sante Fe Springs, California, 31, pleaded guilty today in United States District Court to one count of wire fraud and one count of aggravated identity theft, U.S. Attorney Wendy J. Olson announced. Sentencing is set for April 27, 2015, before Chief U.S. District Judge B. Lynn Winmill.
Contreras-Loya was indicted, along with Arleen Cifuentes, 31, of Riverside, California, and Ivan Fonseca, 30, of Richmond, California in September 2014, for wire fraud, aggravated identity theft, and possession of fifteen or more unauthorized access devices. According to the plea agreement, Contreras-Loya engaged in a retail scheme between July 2013 and July 2014, whereby she defrauded retail stores by applying for, and obtaining, credit accounts in the identities of unknowing third party victims. Contreras-Loya then used the credit accounts to fraudulently purchase merchandise and gift cards. Contreras-Loya admitted she received, from co-defendant Cifuentes, victim identification information and false California Driver's Licenses in the victims' names, containing Contreras-Loya's photo. Contreras-Loya admitted that she and her co-defendants executed the scheme on at least fifteen occasions in the District of Idaho. Cifuentes and Contreras-Loya were arrested shortly after executing the scheme at the Boise Town Square Mall.
Wire Fraud is punishable by up to 20 years imprisonment, a $250,000 fine, a term of supervised release of not more than three years, and a $100 special assessment. Aggravated Identity Theft is punishable by a mandatory minimum term of imprisonment of two years, a term of supervised release of not more than one year, a maximum fine of $250,000, and a special assessment of $100. As part of her plea, Contreras-Loya also agreed to forfeit $26,777.13 in cash proceeds of the charged offenses.
Co-defendant Arleen Cifuentes pled guilty to one count of Wire Fraud and one count of Aggravated Identity Theft on January 27, 2015. Her sentencing is also scheduled for April 27th before Chief U.S. District Judge B. Lynn Winmill. Co-defendant Ivan Fonseca remains a fugitive.
The case was investigated by the United States Secret Service and the Boise Police Department.
Rockford Man Sentenced to 62 Months in Federal Prison for Bank RobberyRead the Press Release
ROCKFORD — A Rockford man was sentenced today in federal court for bank robbery. PEDRO J. CORDERO, 52, of Rockford, Ill., was sentenced by U.S. District Judge Frederick J. Kapala to 62 months in federal prison, to be followed by 3 years of supervised release, for the robbery of BMO Harris Bank, N.A., 2510 S. Alpine Rd., Rockford, Ill., on July 12, 2014. Cordero was also ordered to pay restitution to the bank.
Cordero pleaded guilty to the charge on Oct. 3, 2014. According to the written plea agreement, on July 12, 2014, Cordero, wearing an inside out San Antonio Spurs baseball cap and carrying a white and blue Kane County Cougars umbrella, robbed BMO Harris Bank. The next day, Cordero was stopped by the Rockford Police for a traffic violation. In his car, Cordero possessed the San Antonio Spurs baseball hat he had worn and the blue and white Kane County Cougars umbrella that he had carried the previous day during the BMO Harris Bank robbery, as well as $10,000 in U.S. currency from the bank robbery.
In addition, Cordero admitted in the plea agreement to robbing the U.S. Bank located at 1107 East State St., Rockford, Ill., on May 8, 2014, and the Associated Bank located at 4400 Center Terrace, Rockford, Ill., on June 2, 2014. The court ordered that Cordero pay full restitution to those banks as well.
The sentencing was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Robert J. Holley, Special Agent-in-Charge of the Chicago Office of Federal Bureau of Investigation; and Chet Epperson, Chief of the Rockford Police Department.
The government was represented by Assistant U.S. Attorney Scott R. Paccagnini.
Rochester Man Indicted for Producing False Military Id Cards and Making False StatementsRead 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 a federal grand jury has returned an indictment charging Mark Allen Kelly, 54 of Rochester, NY, with producing false military ID cards and making false statements to federal agents. Each charge carries a penalty of up to five years in prison and a $250,000 fine.Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that according to the indictment, Kelly misrepresented himself to his employer and the community as being an Officer in the United States Navy. The defendant regularly wore full dress naval uniforms at Veterans events. This included a memorial for a fallen Marine killed in Afghanistan where Kelly presented a flag to the Marine’s parents. When questioned, the defendant supported his false claims by presenting an authentic looking, but fraudulently made, military ID card.
The defendant’s conduct came to the attention of the Naval Criminal Investigative Service (NCIS) who began a criminal investigation. During the investigation, Kelly was interviewed by NCIS Agents and made several false material statements. Investigators also recovered several false military ID cards in various stages of production from the defendant’s place of employment.
The defendant will be arraigned before U.S. Magistrate Judge Jonathan W. Feldman on February 5, 2015 at 9:30 a.m.
The indictment is the culmination of an investigation by Special Agents of the Naval Criminal Investigative Service, under the direction of Special Agent in Charge Leo Lamont, NCIS Northeast Field Office.
The fact that the defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Rhode Island Resident Sentenced to 1o Years in Prison on Firearms, Drug ChargesRead the Press Release
PROVIDENCE, R.I. – Philip DeBartolo, 30, of Scituate, was sentenced today to 120 months in federal prison for being a felon in possession of 12 firearms, and manufacturing and distributing marijuana, announced United States Attorney Peter F. Neronha and Daniel J. Kumor, Special Agent in Charge of the Boston Field Divisionof the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
At sentencing, U.S. District Court Chief Judge William E. Smith also ordered DeBartolo to serve 4 years of supervised release upon completion of his prison term. DeBartolo pleaded guilty on October 3, 2014 to four counts of being a felon in possession of a firearm (involving a total of 12 firearms), one count of possession of a firearm with an obliterated serial number, one count of manufacture of marijuana, one count of manufacture of marijuana near a school, and four counts of marijuana distribution.
No plea agreement was filed in this matter.
According to court documents, on numerous occasions beginning in August 2013, an undercover ATF agent communicated with and met with DeBartolo to purchase three firearms, including a sawed-off shotgun, for between $300 and $400 dollars. In addition, on several occasions, DeBartolo sold the agent plastic bags containing approximately one ounce of marijuana, each for between $200 and $225 dollars. DeBartolo thought he was selling the guns to a gang member for use in gang violence.
On January 15, 2014, ATF agents, with the assistance of Scituate Police and DEA agents, executed a court authorized search of DeBartolo’s residence and seized six semi-automatic pistols, five of which had high capacity magazines, three revolvers, and a substantial amount of ammunition. Many of the items were located hidden beneath the floor boards of a second floor storage room. Agents and officers also seized 31 marijuana plants from the basement of the residence.
According to court records and information presented to the court, DeBartolo was convicted in Rhode Island state court in 2005 on felony assault, drive-by shooting and firearm charges.
United States Attorney Peter F. Neronha commented: “The defendant here is a dangerous man involved in an extremely dangerous business. No stranger to committing acts of violence with illegal firearms himself, he was willing to sell guns to anyone willing to pay – including those whom he knew were likely to use those guns in violence against others. Money, not lives, is what mattered to this defendant. Ten years in a federal prison is plenty of time to reflect on that choice of priorities.”
“Today’s sentencing demonstrates ATF’s commitment to targeting prohibited individuals from possessing and trafficking in firearms,” said Daniel J. Kumor, ATF Special Agent in Charge of the Boston Field Division. “ATF will continue to collaborate with our law enforcement partners to eliminate these types of crimes and remove firearms from illegal commerce.”
The use of the defendant’s residence for criminal conduct made the residence subject to forfeiture to the United States. The United States Attorney is pursuing the defendant’s residence in civil forfeiture proceedings. Additionally, all of the guns and associated magazines and ammunition seized in this case have been forfeited to the Government.
The case was prosecuted by Assistant U.S. Attorney Milind M. Shah.
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
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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]Project Manager Pleads Guilty to Lying to Inspectors Regarding Asbestos Removal from Former Federal BuildingRead the Press Release
Contact Person: Winston David Holiday, Jr (803) 929-3000
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Albert Dickson, age 61, of Red Bank, New Jersey, has entered a guilty plea in federal court in Charleston, to Making a False Statement Under the Clean Water Act, a violation of 33 U.S.C. § 1319(c)(4). United States District Judge Patrick Michael Duffy of Charleston accepted the guilty plea and will sentence Dickson at a later date.
Evidence presented at the change of plea hearing established that Albert Dickson was the project manager overseeing renovations of the L. Mendel River Federal Building in Charleston in the spring and early summer of 2011. SC DHEC inspectors visited the site in June and noticed asbestos violations, including sweeping asbestos-containing materials down open drains. When questioned, Dickson indicated that a filtration system had been in place at the time of the inspections. Evidence indicated that it had not been installed until after June 6, 2011, when the violations were observed.
Mr. Nettles stated the maximum penalty for Making a False Statement Under the Clean Water Act is imprisonment for 2 years and/or a fine of $10,000.
United States Attorney Bill Nettles stated, “I am particularly pleased that we held accountable an individual who valued this particular project above the health and safety of the citizens of Charleston. We hope this guilty plea serves as a reminder that, where environmental violations are found, they will be punished.”
The case was investigated by agents of the United States Environmental Protection Agency and the South Carolina Department of Health and Environmental Control. Assistant United States Attorney Winston David Holliday, Jr. of the Columbia office is prosecuting the case.
#####Professional Cattle Thief Pleads Not GuiltyRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Jason Amidon, 27, of Coudersport, Pennsylvania, was arraigned yesterday in United States District Court in Burlington, and pleaded not guilty to charges that he knowingly offered as payment for 53 Vermont cows a counterfeit certified check in the amount of $100,000, and unlawfully transported those cows from Lyndonville, Vermont, to auction in Greencastle, Pennsylvania. U.S. Magistrate Judge John M. Conroy ordered the defendant detained pending trial, which has not been scheduled.
On January 15, 2015, a federal grand jury in Burlington returned a two count indictment accusing Amidon of uttering a counterfeit check and unlawfully transporting 53 stolen cows across state lines. According to the complaint filed earlier in the case, on January 1, 2015, Amidon and his father traveled to a Lyndonville farm and presented a counterfeit check to the Vermont farmer, as payment for 53 Belted Galloway cattle, a heritage pedigree breed of cattle. Amidon represented the $100,000 to be an initial payment, with the $20,000 balance to be paid to the farmer at a later date. Amidon’s father then drove the cows to auction in Pennsylvania.
According to documents filed in court yesterday, this is Amidon’s fourth cattle fraud case. Two previous Pennsylvania state cases that resulted in misdemeanor convictions concerned similar cattle frauds, and at the time of the instant offense, the defendant was facing state charges in Pennsylvania that involved the fraudulent promise of cattle for $135,000, which Amidon unlawfully pocketed.
The United States Attorney emphasizes that the charges in the indictment are merely accusations and that the defendant is presumed innocent unless and until he is proven guilty. If convicted on the charges in the instant indictment, Amidon faces up to ten years of imprisonment and a fine of up to $250,000. The actual sentence would be determined with reference to federal sentencing guidelines.
This case is being investigated by the Vermont State Police in cooperation with the Federal Bureau of Investigation. Pennsylvania State Police were also instrumental in the investigation and arrest in Coudersport, Pennsylvania.
Amidon is represented by Assistant Federal Public Defender Elizabeth Quinn. The prosecutor is Assistant U.S. Attorney Abigail Averbach.
Previously Convicted Bank Robber Exiled to over 9 Years in Prison for Committing 3 Bank RobberiesRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake sentenced Robert Rednowers, age 44, of Baltimore, today to 114 months in prison followed by three years of supervised release for bank robbery.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
According to Rednowers’ plea agreement, he committed three bank robberies between November 21 and December 4, 2013. In each robbery, Rednowers provided a note to the teller stating the he had a gun and threatening to shoot if the teller did not provide the money he demanded.
Specifically, Rednowers robbed the Suntrust Bank in Parkville, Maryland, on November 21, 2013, stealing $1,810; and robbed the M&T Bank on East Joppa Road on November 26, 2014 stealing $3,645 and again on December 4, 2013, stealing $4,150. The surveillance photos from each robbery clearly depict Rednowers.
Rednowers was previously convicted on federal bank robbery charges in 2001.
United States Attorney Rod J. Rosenstein commended the FBI and Baltimore County Police Department and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg, who prosecuted the case.
Pharmacist Sentenced to 78 Months in Prison for Attempting to Weaponize Deadly Toxins and Possessing Narcotics Manufacturing EquipmentRead the Press Release
TRENTON, N.J. – A licensed pharmacist was sentenced today to 78 months in prison for attempting to weaponize the lethal toxins ricin and abrin and for possessing a prohibited flask intending to use it to manufacture illegal narcotics, New Jersey U.S. Attorney Paul J. Fishman announced.
Jordan S. Gonzalez, 34, of New York, formerly of Jersey City, New Jersey, previously pleaded guilty before U.S. District Judge Mary L. Cooper to an information charging him with the offenses.
“The sentence imposed today on Jordan Gonzalez is an appropriate response to his efforts to manufacture and deploy toxins as deadly weapons,” U.S. Attorney Fishman said. “He was preparing for a violent confrontation that fortunately never occurred because the excellent response by our law enforcement partners stopped him before anyone was hurt.”“Jordan Gonzalez had in his possession the ingredients and equipment necessary to manufacture dangerous biological toxins and explosives, as well as, a cache of weapons and ammunition,” FBI Acting Special Agent in Charge Eric Welling said. “Due to the tireless efforts of the FBI Joint Terrorism Task Force and the Drug Enforcement Administration, the imminent threat posed by Gonzalez did not become a reality. Prevention is the FBI’s priority, so I would like to remind the citizens of New Jersey to remain vigilant and contact the FBI or their nearest law enforcement department if they see or hear anything suspicious.”
“Mr. Gonzalez’ sentencing sends a clear message that attempting to produce weapons of mass destruction cannot be tolerated,” Carl J. Kotowski, Special Agent in Charge of the Drug Enforcement Administration’s New Jersey Division, said. “The dedicated men and women of DEA will continue to work tirelessly to keep criminals such as Mr. Gonzalez from being a threat to society.”
According documents filed in this case and statements made in court:
From Sept. 18, 2011, through March 19, 2013, Gonzalez purchased thousands of seeds containing ricin and abrin, and materials to extract and administer those toxins to others, including filtering equipment, respirators and glass vials. Even small doses of ricin and abrin are lethal to humans if ingested, inhaled or injected – causing death within 36 to 72 hours from the time of exposure. There are no known antidotes.
Gonzalez also obtained conventional weapons, such as crossbows, spraying devices, and other items to deliver the toxins. He admitted he attempted to make these toxins in preparation for future confrontations with others. Gonzalez also obtained firearms, body armor, and precursor materials for the manufacture of military-grade explosives and improvised explosive devices. Gonzalez made the purchases through an online marketplace through which third-party vendors in the United States and abroad sell products to members of the public. Gonzalez learned how to extract toxins from the seeds and about methods to administer them to other persons from manuals he acquired. He also acquired manuals for making improvised explosive devices and synthesizing explosive compounds.
On Nov. 8, 2013, while living in Manhattan, Gonzalez purchased one kilogram of sodium azide, a toxic, gas-forming compound that can explode at high temperatures and is lethal if ingested or absorbed through the skin. Law enforcement officers intercepted the delivery during the investigation.
On Nov. 14, 2013, Gonzalez was arrested in Jersey City and search warrants were executed at three locations he used: apartments in Manhattan and Jersey City and a storage unit in Jersey City. Collectively, material collected through the searches included thousands of seeds containing ricin and abrin; explosive precursor chemicals; manuals related to toxins, explosives and improvised explosive devices; approximately 1,000 rounds of ammunition, handguns, components for assault rifles, and high-capacity magazines; a bulletproof vest; and books and documents related to the collapse of social order and techniques for surviving in a lawless environment.
Gonzalez also acquired manuals for synthesizing controlled substances, including methylenedioxyamphetamine (MDA) and methylenedioxymethamphetamine (MDMA), also known as “ecstasy.” He bought and had delivered to the Jersey City apartment a three-neck round-bottom flask, gel capsules and an encapsulating machine, as well as precursor chemicals used in the manufacture of MDA and MDMA. Possession of that type of flask is prohibited if intended for use in the manufacturing of controlled substances.
In addition to the prison term, Judge Cooper sentenced Gonzalez to five years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Acting Special Agent in Charge Welling in Newark, and the DEA, under the direction of Special Agent in Charge Kotowski in New Jersey, with the investigation leading to today’s sentencing. He also thanked members of FBI Newark’s Joint Terrorism Task Force; FBI’s New York Office and Weapons of Mass Destruction Directorate and Laboratory Division; DEA’s New York Division; and the New Jersey Office of Homeland Security and Preparedness for their work on the case; as well as the police and fire departments of Jersey City and the City of New York, as well as the New Jersey State Police for their assistance.
The government is represented by Assistant United States Attorneys L. Judson Welle and Francisco J. Navarro of the U.S. Attorney’s Office National Security Unit in Newark. Valuable support was provided by attorneys of the Department of Justice’s National Security Division – Counterterrorism Section.
15-040Defense counsel: Steven Ross Esq., New York
Gonzalez, Jordan Sentencing Slides
Pharmacist Sentenced to 78 Months in Prison for Attempting to Weaponize Deadly Toxins and Possessing Narcotics Manufacturing EquipmentRead the Press Release
A licensed pharmacist was sentenced today to 78 months in prison for attempting to weaponize the lethal toxins ricin and abrin and for possessing a prohibited flask intending to use it to manufacture illegal narcotics, U.S. Attorney Paul J. Fishman for the District of New Jersey announced.
Jordan Gonzalez, 34, of New York, formerly of Jersey City, New Jersey, previously pleaded guilty before U.S. District Judge Mary L. Cooper to an information charging him with the offenses.
“The sentence imposed today on Jordan Gonzalez is an appropriate response to his efforts to manufacture and deploy toxins as deadly weapons,” said U.S. Attorney Fishman. “He was preparing for a violent confrontation that fortunately never occurred because the excellent response by our law enforcement partners stopped him before anyone was hurt.”
“Jordan Gonzalez had in his possession the ingredients and equipment necessary to manufacture dangerous biological toxins and explosives, as well as, a cache of weapons and ammunition,” FBI Acting Special Agent in Charge Eric Welling said. “Due to the tireless efforts of the FBI Joint Terrorism Task Force and the Drug Enforcement Administration, the imminent threat posed by Gonzalez did not become a reality. Prevention is the FBI’s priority, so I would like to remind the citizens of New Jersey to remain vigilant and contact the FBI or their nearest law enforcement department if they see or hear anything suspicious.”
“Mr. Gonzalez’ sentencing sends a clear message that attempting to produce weapons of mass destruction cannot be tolerated,” said Special Agent in Charge Carl J. Kotowski of the Drug Enforcement Administration’s (DEA) New Jersey Division. “The dedicated men and women of DEA will continue to work tirelessly to keep criminals such as Mr. Gonzalez from being a threat to society.”
According documents filed in this case and statements made in court:
From Sept. 18, 2011 through March 19, 2013, Gonzalez purchased thousands of seeds containing ricin and abrin and materials to extract and administer those toxins to others, including filtering equipment, respirators and glass vials. Even small doses of ricin and abrin are lethal to humans if ingested, inhaled or injected – causing death within 36 to 72 hours from the time of exposure. There are no known antidotes.
Gonzalez also obtained conventional weapons, such as crossbows, spraying devices and other items to deliver the toxins. He admitted he attempted to make these toxins in preparation for future confrontations with others. Gonzalez also obtained firearms, body armor and precursor materials for the manufacture of military-grade explosives and improvised explosive devices. Gonzalez made the purchases through an online marketplace through which third-party vendors in the United States and abroad sell products to members of the public. Gonzalez learned how to extract toxins from the seeds and about methods to administer them to other persons from manuals he acquired. He also acquired manuals for making improvised explosive devices and synthesizing explosive compounds.
On Nov. 8, 2013, while living in Manhattan, Gonzalez purchased one kilogram of sodium azide, a toxic, gas-forming compound that can explode at high temperatures and is lethal if ingested or absorbed through the skin. Law enforcement officers intercepted the delivery during the investigation.
On Nov. 14, 2013, Gonzalez was arrested in Jersey City and search warrants were executed at three locations he used: apartments in Manhattan, Jersey City and a storage unit in Jersey City. Collectively, material collected through the searches included thousands of seeds containing ricin and abrin, explosive precursor chemicals, manuals related to toxins, explosives and improvised explosive devices, approximately 1,000 rounds of ammunition, handguns, components for assault rifles, high-capacity magazines, a bulletproof vest, and books and documents related to the collapse of social order and techniques for surviving in a lawless environment.
Gonzalez also acquired manuals for synthesizing controlled substances, including methylenedioxyamphetamine (MDA) and methylenedioxymethamphetamine (MDMA), aka ecstasy. He bought and had delivered to the Jersey City apartment a three-neck round-bottom flask, gel capsules and an encapsulating machine, as well as precursor chemicals used in the manufacture of MDA and MDMA. Possession of that type of flask is prohibited if intended for use in the manufacturing of controlled substances.
In addition to the prison term, U.S. District Judge Cooper sentenced Gonzalez to five years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI under the direction of Special Agent in Charge Ford in Newark, New Jersey, and the DEA under the direction of Special Agent in Charge Kotowski in New Jersey with the investigation leading to today’s sentencing. He also thanked members of FBI Newark’s Joint Terrorism Task Force, FBI’s New York Office and Weapons of Mass Destruction Directorate Laboratory Division, DEA’s New York Division, the New Jersey Office of Homeland Security and Preparedness for their work on the case, the police and fire departments of Jersey City and the city of New York and the New Jersey State Police for their assistance.
The government is represented by Assistant U.S. Attorneys L. Judson Welle and Francisco J. Navarro of the U.S. Attorney’s Office National Security Unit in Newark. Valuable support was provided by attorneys of the Department of Justice’s National Security Division – Counterterrorism Section.
Oregon Man Sentenced for Attempted Transfer of Obscene Material to a MinorRead the Press Release
BOISE - Scott L. Austin, 52, of Portland, Oregon, was sentenced today by visiting Senior District Judge Justin L. Quackenbush to 12 months and one day in prison followed by three years of supervised release for to attempted transfer of obscene material to a minor, U.S. Attorney Wendy J. Olson announced. He pleaded guilty on October 28, 2014.
According to the plea agreement, Austin admitted that on various occasions between the summer of 2011, and October 2013, he engaged in sexually explicit chats with an undercover police officer and a person he believed was the officer’s minor child. Austin admitted that on August 9, 2011, while chatting online with the supposed minor, whom he had been told was 13 years old, in a chat room titled “Incest,” he sent three sexually explicit images accompanied by contemporaneous sexually explicit chats directed at the minor. The images he sent appeared to be minor females engaging in sexually explicit conduct, although the identity and ages of the persons depicted could not be determined. In August and September of 2013, Austin emailed the detective in his undercover capacity and said he was going to be in Boise and asked to meet with him and his daughter.
Austin showed up at the predetermined location on October 11, 2013. A detective and a young female police officer waited at the location. Austin drove by several times and sent a text message, “got spooked,” and asked, “Are you a cop?” Austin requested that the two individuals kiss as he drove by so he could see them. Then, Austin stopped and had a brief conversation with the undercover detectives. He said that he was curious and that he may not have enough time tonight, and he wanted to see about meeting tomorrow.
Austin also told the male undercover officer that, “I would feel comfortable if she would just like flash me,” suggesting that the female show her breasts. Austin then said, “Maybe we should try to get together tomorrow.” The detective asked him if he had a hotel room, or where they would go and Austin said he could get a hotel room. He further stated, “I have been kind of curious; I just don’t know if I want to cross that line. So I am just nervous about it.” Austin also said he wanted to see the female clearer to determine if she was the same person he had seen in photos (the undercover detective had previously sent G-rated images of the female detective to Austin, claiming she was his “daughter”), and asked the detectives to turn their dome light on so he could see her. He then said he wanted to go, and drove away.
The case was investigated by the Boise Police Department, which is a member of the Idaho Internet Crimes Against Children (ICAC) Task Force, a statewide coalition of local, state and federal law enforcement and prosecution agencies, focused on apprehending and prosecuting individuals who use the Internet to criminally exploit children. For more information about the Idaho ICAC Task Force and a list of all the participating agencies, visit www.icactaskforce.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006, by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Ocean Shipping Executive Pleads Guilty to Price Fixing on Ocean Shipping Services for Cars and TrucksRead the Press Release
An executive of Japan-based Kawasaki Kisen Kaisha Ltd. (K-Line) pleaded guilty today and was sentenced to 18 months in a U.S. prison for his involvement in a conspiracy to fix prices, allocate customers and rig bids of international ocean shipping services for roll-on, roll-off cargo, such as cars and trucks, to and from the United States and elsewhere, the Department of Justice announced today.
According to the one-count felony charge filed today in U.S. District Court for the District of Maryland in Baltimore, Hiroshige Tanioka, who was at various times an assistant manager, team leader and general manager in K-Line’s car carrier division, conspired to allocate customers and routes, rig bids and fix prices for the sale of international ocean shipments of roll-on, roll-off cargo to and from the United States and elsewhere, including the Port of Baltimore. Tanioka participated in the conspiracy from at least as early as April 1998 until at least April 2012.
Roll-on, roll-off cargo is non-containerized cargo that can be both rolled onto and off of an ocean-going vessel. Examples of this cargo include new and used cars and trucks and construction and agricultural equipment.
"For more than a decade this conspiracy has raised the cost of importing cars and trucks into the United States,” said Assistant Attorney General Bill Baer for the Department of Justice’s Antitrust Division. “Today’s sentencing is a first step in our continuing efforts to ensure that the executives responsible for this misconduct are held accountable.”
Today’s sentence was the first to be imposed against an individual in the division’s ocean shipping investigation. Previously, three corporations have agreed to plead guilty and to pay criminal fines totaling more than $136 million, including Tanioka’s employer K-Line, which was sentenced to pay a criminal fine of $67.7 million in November 2014.
Pursuant to the plea agreement, which was accepted by the court today, Tanioka was sentenced to serve an 18-month prison term and pay a $20,000 criminal fine for his participation in the conspiracy. In addition, Tanioka has agreed to assist the department in its ongoing investigation into the ocean shipping industry.
Tanioka was charged with a violation of the Sherman Act, which carries a maximum sentence of 10 years in prison and a $1 million criminal fine for an individual. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
Today’s plea agreement is the result of an ongoing federal antitrust investigation into price fixing, bid rigging and other anticompetitive conduct in the international roll-on, roll-off ocean shipping industry, which is being conducted by the Antitrust Division’s Washington Criminal I Section and the FBI’s Baltimore Field Office, along with assistance from the U.S. Customs and Border Protection Office of Internal Affairs, Washington Field Office/Special Investigations Unit. Anyone with information in connection with this investigation is urged to call the Antitrust Division’s Washington Criminal I Section at 202-307-6694, visit www.justice.gov/atr/contact/newcase.html or call the FBI’s Baltimore Field Office at 410-265-8080.
Nine Individuals Indicted for the Murder of an Officer and Employee of the United StatesRead the Press Release
On Jan. 28, 2015, a federal grand jury in the District of Puerto Rico returned a six-count indictment charging nine individuals for the murder of Lieutenant Osvaldo Albarati-Casanas, a correctional officer of the Federal Bureau of Prisons, U.S. Attorney Rosa Emilia Rodríguez Vélez for the District of Puerto Rico announced.
The indictment charges that, on or about Feb. 26, 2013, in the District of Puerto Rico, Oscar Martínez-Hernández aka “Cali,” Ángel D. Ramos-Cruz aka “Api,” Miguel Díaz-Rivera aka “Bolo,” Juan Quiñones-Meléndez aka “El Manco,” Orlando Mojica-Rodríguez aka “Yogui,” Jayson Rodríguez-González aka “Gonzo,” Carlos Rosado-Rosado aka “Cano,” Alexander Rosario de León aka “Coquí,” and Jancarlos Velázquez-Vázquez aka “Jan,” the defendants herein, together with other persons known and unknown to the grand jury, aiding and abetting each other, did with premeditation and malice aforethought unlawfully kill Lieutenant Albarati-Casanas, an officer and employee of the United States, while he was engaged in and on account of the performance of his official duties.
Counts one and two are charges related to the murder of Lieutenant Albarati-Casanas. Counts three and four are charges related to the murder for hire of Lieutenant Albarati-Casanas. Finally, counts five and six are charges related to the firearms used in the commission of the violent felonies, murder and murder for hire.
Count two of the indictment sets forth the participation of the nine defendants in the conspiracy to commit murder. The purpose and object of the conspiracy was that the defendants would carry out the murder of Lieutenant Albarati-Casanas, thereby eliminating him as a correctional officer at the Metropolitan Detention Center and as a means of ensuring that the officer would no longer exercise his substantial investigative authority against the defendants and be unable to conduct seizures of contraband, including cellular phones, which were forbidden at the detention facility.
According to the indictment, defendants Martínez-Hernández, Ramos-Cruz and Díaz-Rivera solicited another person(s) and financed the plan to murder Lieutenant Albarati-Casanas. Defendants Quiñones-Meléndez and Mojica-Rodríguez provided a vehicle, four Glock .40 fully automatic pistols and a cellular phone to defendants Rodríguez-González, Rosado-Rosado and Rosario de León to murder Lieutenant Albarati-Casanas. Defendant Velázquez-Vázquez served as driver to Mojica-Rodríguez and participated in the plan to murder the victim.
“Throughout his law enforcement career, Lieutenant Albarati’s service was both selfless and courageous,” said U.S. Attorney Rodríguez-Vélez. “With this action, we continue our work to hold accountable those who carried out this reprehensible and senseless act. And in all that we do, the Department of Justice will continue to honor Lieutenant Albarati’s sacrifice, to safeguard the community he served, and to protect the values and principles he defended all his life.”
“In February 2013, Lieutenant Osvaldo Albarati’s life was spontaneously and brutally robbed from him, his family and friends, his partners, and the good people across the Federal Bureau of Prisons,” said Special Agent in Charge Carlos Cases of the FBI. “It is my sincerest hope that, while it took some time, the tireless and selfless effort of the men and women who worked to solve this case brings justice and closure to Albarati’s family. The FBI has always been and will continue to be relentless in the pursuit of justice.”
The murder of government employees and officials is a crime punishable by death or imprisonment for any terms of years or for life. Murder for hire is a crime punishable by death or imprisonment for any terms of years or for life. Possession of a firearm in furtherance of an attempted crime of violence is a crime punishable by a minimum penalty of 10 years and a maximum penalty of death or imprisonment for any term of years or for life.
Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
The case was investigated by the FBI with the collaboration of the Puerto Rico Police Department. The case is being prosecuted by Assistant U.S. Attorney Julia Díaz-Rex for the District of Puerto Rico and Trial Attorney Julie Mosley from the Justice Department’s Criminal Division Capital Crimes Unit.
Newark, New Jersey, Man Sentenced to 20 Years in Prison for Robbing Stores in Essex and Hudson CountiesRead the Press Release
TRENTON, N.J. - A man who robbed 11 stores in Newark, Harrison and Jersey City between September 2012 and April 2013 was sentenced today to 240 months in prison, U.S. Attorney Paul J. Fishman announced.
Christopher Mojica, 24, previously pleaded guilty before U.S. District Judge Joel A. Pisano to an information charging him with one count of Hobbs Act conspiracy, one count of Hobbs Act robbery and one count of discharging a firearm in furtherance of a crime of violence. Judge Pisano imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
Mojica conspired with others to rob commercial establishments as follows:
New Barbershop
Newark
September 14, 2012
Newark
September 2012
Amcare Pharmacy
Newark
November 13, 2012
Summer Pharmacy
Newark
December 11, 2012
Community Health Pharmacy
Newark
January 19, 2013
Delson Jewelry
Newark
February 8, 2013
Pharmacy Plus
Harrison
February 21, 2013
Forest Hill Pharmacy
Newark
April 4, 2013
Montgomery Pharmacy
Jersey City
April 15, 2013
Harris Pharmacy
Newark
April 16, 2013
Delta Gas Station
Newark
April 19, 2013
Mojica and his conspirators robbed each of these establishments at gunpoint, stealing cash, oxycodone pills, jewelry and other items. During the Delta Gas Station robbery on April 19, 2013, Mojica robbed the gas station attendant at gunpoint while a conspirator served as the “lookout.” Mojica fired a .45 caliber semi-automatic handgun as he fled the scene.
In addition to the prison term, Judge Pisano sentenced Mojica to five years of supervised release. Restitution will be determined at a later date.
U.S. Attorney Fishman credited special agents with the FBI, under the direction of FBI Acting Special Agent in Charge Eric Welling in Newark, with the investigation leading to today’s sentencing. He also thanked the Newark, Harrison and Jersey City police departments, along with the Essex County and Hudson County prosecutor’s offices for their work on this case.
The government is represented by Assistant U.S. Attorney Dara Aquila Govan of the Organized Crime/Gangs Unit in Newark.
15-039
Defense counsel: Paulette Pitt Esq., Woodbridge, New Jersey
New Orleans Man Indicted for Violations of the Federal Controlled Substances ActRead the Press Release
U.S. Attorney Kenneth A. Polite announced that RASHAD LEWIS, age 37, a resident of New Orleans, was charged today in a one-count Indictment for violations of the Federal Controlled Substances Act.
According to the Indictment, LEWIS possessed with the intent to distribute and distributed a mixture or substance containing a detectable amount of cocaine base.
If convicted, LEWIS faces up to twenty years imprisonment, a fine of up to $1,000,000, and at least three years of supervised release following any term of imprisonment.
U. S. Attorney Polite reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration in investigating this matter. Assistant United States Attorney David Haller is in charge of the prosecution.
National Slavery and Human Traffic Prevention Month: US Attorney and Iowa DOT CollaborationRead the Press Release
Contact: Steve Young
The United States Attorney for the Northern District of Iowa and Iowa’s Motor Vehicle Enforcement (MVE) joined forces at the Flying J Travel Plaza and Road Ranger Truck Stop in Evansdale, Iowa, over the lunch hour on January 30, 2015, to bring awareness to the multi-million dollar criminal enterprise of human trafficking.
President Barack Obama proclaimed January as National Slavery and Human Trafficking Prevention Month. In his proclamation, he expressed we all should be working together to combat human trafficking, prosecute the perpetrators, and help victims recover and rebuild their lives. President Obama stated, “We stand with the survivors, advocates, and organizations dedicated to building a world where our people and our children are not for sale.”
US Attorney Kevin W. Techau joined forces with MVE Chief David Lorenzen, at the two truck stops near Waterloo, Iowa, to address the national criminal enterprise of human trafficking, a term for modern-day slavery. Techau noted, “Human trafficking is a scourge that threatens lives across the globe. It happens every minute of every day. Traffickers recruit out of our schools, online, in shopping malls, as well as the streets and other locations.” He further noted, “These victims are often women and girls pressed into prostitution, but they are also men, women, and children who are ordered to work in restaurants, massage parlors, and private homes for no pay under deplorable conditions. These vulnerable victims need to be identified and rescued.”
United States Attorneys’ Offices across the country, in partnership with the DOJ’s Human Trafficking Prevention Unit and Child Exploitation and Obscenity Division, have played a significant role in prosecuting human traffickers. Over 800 cases between fiscal years 2009-2014 were prosecuted for labor and sex trafficking crimes.
In 2009, Truckers Against Trafficking (or TAT), a nonprofit organization, was created as a way to bring education, awareness and empowerment to truck drivers across the nation to spot and report signs of human trafficking. Truck drivers are often in areas where trafficking can occur. Being able to spot the signs and knowing how to report suspicious behavior can go a long way in fighting this crime. TAT Executive Director, Kendis Paris endorses Iowa’s collaborative approach. “Bringing law enforcement and key industry stakeholders together to further awareness and combat trafficking is what our organization is all about,” Ms. Paris notes that Iowa has set the standard for the rest of the nation with its proactive approach.
Chief Lorenzen serves on TAT’s national board and has been active in addressing this issue within the state. “It was common sense that thrust Iowa into becoming active in fighting this hideous criminal nightmare. Our officers take this initiative seriously and interact with trucker drivers and concerned citizens daily.”
He highlighted the department’s numerous initiatives that serve as a model around the nation, stressing, “A conversation about fighting human trafficking occurs with every truck driver his 130 officers encounter.” He noted that Iowa’s model includes the distribution of wallet cards and window clings to drivers following each encounter with department officers. Educational materials are available at rest stops and weigh stations. TAT’s logo and national hotline number is prominently displayed on the department’s website. Additionally, last year training for enforcement agencies along the Interstate 80 and 35 corridors was held. Chief Lorenzen also mentioned that his department has a strong working relationship with the Iowa Motor Truck Association and various motor carriers centering on this initiative.
Techau and Lorenzen pledged to keep this issue on the front burner as they continue their collaborative relationship to educate, investigate, prosecute, and help victims rebuild their lives.
The Truckers Against Trafficking website is a good resource to inform truck drivers and other travelers on the issues involved.
Visit TAT’s website at: https://www.truckersagainsttrafficking.orgFor more information in this issue you may visit either PSA link below:
https://www.youtube.com/watch?v=LREG8RYUeFU
https://www.youtube.com/watch?v=x32XMAutyyw
Morgantown man convicted of cocaine traffickingRead the Press Release
CLARKSBURG, WEST VIRGINIA – Andre J. Anderson, 34, of Morgantown, West Virginia, was convicted in federal court today of cocaine trafficking, United States Attorney William J. Ihlenfeld, II, announced.
An investigation by the Mon Valley Drug and Violent Crime Task Force revealed that Anderson sold nearly 500 grams of cocaine in Morgantown, West Virginia. He pled guilty today to one count of “Distribution of Cocaine.” He faces up to 20 years in prison and a fine of up to $1,000,000.00. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney John Parr is prosecuting the case on behalf of the government.
U.S. District Judge Irene M. Keeley presided.
Miller Man Indicted for Shooting at AirplaneRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Miller, Mo., man has been indicted by a federal grand jury for shooting at an airplane.
David Leroy Dickenson, 38, of Miller, was charged in an indictment returned under seal by a federal grand jury in Springfield, Mo., on Jan. 20, 2015. That indictment was unsealed and made public following Dickenson’s arrest and initial court appearance. Dickenson remains in federal custody pending the court’s ruling on a detention motion.
The federal indictment alleges that Dickenson attempted to set fire to, damage, destroy, disable and wreck a 1997 S2R 510 Thrush aircraft on Dec. 3, 2014. Dickenson allegedly shot a firearm at an aircraft engaged in crop dusting then attempted to dispose of the firearm to prevent its discovery by law enforcement.
Dickinson cautioned that the charges contained in this indictment 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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the FBI.
Many Resident Sentenced to 10 Years in Prison for Felon in Possession of a FirearmRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a Many resident was sentenced to 120 months in prison for possessing a shotgun and ammunition after being convicted of multiple felonies.
Jerry Kenneth Thompson Jr., 45, of Many, La., was sentenced by U.S. District Judge Elizabeth E. Foote on one count of possessing a firearm and ammunition after a felony conviction. He was also sentenced to serve three years of supervised release after he completes his prison term.
According to evidence presented at the September 25, 2014, guilty plea, Louisiana Department of Wildlife and Fisheries (LDWF) agents discovered Thompson on December 31, 2013, in possession of a 12-gauge shotgun and ammunition while hunting on private property without permission and using a stolen deer stand. Thompson admitted to LDWF agents that he had prior felony convictions and knew he could not possess a firearm. Further investigation confirmed that Thompson had 26 convictions. Seven of the felony convictions were in California and included two convictions for grand theft, possession of marijuana with intent to sell, second degree burglary of a vehicle, possession with intent to sell a controlled substance with a gang affiliation enhancement, transportation of a controlled substance, and possession for sale of cocaine base. Thompson also had a prior felony conviction in Sabine Parish for simple burglary.
This case is part of Project Safe Neighborhoods, which is a Department of Justice initiative designed to reduce firearm crimes by removing dangerous and persistent felons from the community and promote firearm safety.
The ATF and the Louisiana Department of Wildlife and Fisheries investigated the case. Assistant U.S. Attorney Robert W. Gillespie Jr. prosecuted the case.
Mandeville Man Charged with Embelzzling $2.8 Million from EmployerRead the Press Release
U.S. Attorney Kenneth A. Polite announced that MICHAEL SAPERA, a resident of Mandeville, Louisiana, was charged today in a four-count Bill of Information with bank fraud, aggravated identity theft, and wire fraud in violation of Title 18, United States Code, Sections 1344, 1028A, and 1343. SAPERA committed these violations when he embezzled approximately $2.8 million from his employer over a 19-year period.
According to court documents, SAPERA, a Certified Public Accountant (“CPA”), was employed at Company “A,” a retail clothing business headquartered in New Orleans, beginning in 1990. SAPERA most recently functioned as the Chief Financial Officer (“CFO”) and Director of Information Technology for Company “A.” As the CFO of Company “A,” SAPERA had access to all corporate bank accounts as well as access to the corporate PayPal account.
First, beginning in July 1996, and continuing through April 2014, SAPERA stole approximately $2,192,500 in corporate checks belonging to Company “A.” SAPERA forged the signature of his employer on approximately 430 stolen corporate checks which SAPERA then endorsed to himself. SAPERA then deposited the stolen checks into his personal bank account.
Next, beginning on July 15, 2011, and continuing to August 18, 2014, SAPERA transferred corporate funds from Company “A’s” bank account to SAPERA’s personal account without authorization, consent, or knowledge by the owners of Company “A.” In total, SAPERA initiated and caused 45 wire transfers from Company “A’s” bank account to his personal bank account totaling $582,080.
Finally, beginning on June 16, 2014, and continuing to October 1, 2014, SAPERA transferred $35,000 in corporate funds from Company “A’s” PayPal account to SAPERA’s personal PayPal account without authorization, consent, or knowledge by the owners of Company “A.” SAPERA then transferred the money into his personal bank account.
In all, SAPERA’S criminal conduct resulted in an illegal gain to him in the amount of $2,809,580, and caused his employer/victim, Company “A,” to incur a total loss for restitution purposes of approximately $2,847,752.
U.S. Attorney Polite reiterated that a Bill of Information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Kenneth A. Polite praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney Matt Coman is in charge of the prosecution.
Mississippi Man Pleads Guilty to Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss –Otis McGee, 31, of Choctaw, Mississippi, pled guilty on January 29, 2015, before U.S. District Judge Henry T. Wingate, to one count of possession of a firearm by a convicted felon, U.S. Attorney Gregory K. Davis announced today. The crime occurred on the Tribal lands of the Mississippi Band of Choctaw Indians. McGee will be sentenced on April 26, 2015 and faces a maximum penalty of ten years in prison and a $250,000 fine.
The case was investigated by the Mississippi Band of Choctaw Indians Police Department, the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Patrick Lemon is prosecuting the case.
Los Angeles Pharmaceutical Company Barred from Distributing Unapproved Prebiotic Feminine Health Care ProductsRead the Press Release
The Department of Justice today announced the entry of a consent decree of permanent injunction involving pharmaceutical company, Laclede Inc. and its president, Michael A. Pellico, concerning the distribution of unapproved over-the-counter vaginal drug products made by the company.
The consent decree, approved by U.S. District Judge Percy Anderson for the Central District of California on Jan. 29, permanently enjoins Laclede and Pellico from interstate distribution of unapproved drug products sold under the name Luvena Prebiotic unless and until these products receive approval by the U.S. Food and Drug Administration (FDA). The drug products include: Luvena Prebiotic Vaginal Moisturizer & Lubricant; Luvena Prebiotic Feminine Wipes; Luvena Prebiotic Enhanced Personal Lubricant; and Luvena Prebiotic Daily Therapeutic Wash.
Among other things, the decree also authorizes the FDA to order Laclede and Pellico to stop manufacturing products or to recall distributed products should the FDA determine that there is a violation of the terms of the decree.
Moreover, for the next five years, Laclede must notify the FDA before the company markets any new Luvena product or modify product labeling, and the company may not legally market such products until the FDA tells the company it may do so.
“We are pleased that the court has approved the consent decree,” said Acting Assistant Attorney General Joyce R. Branda for the Justice Department’s Civil Division. “The department will continue to partner with the FDA to vigorously enforce laws that protect women and other consumers against companies that make unapproved claims about health care products that are sold over the counter, as was the case with Laclede’s Luvena Prebiotic products.”
The consent decree resolves a lawsuit brought by the department in June 2014. According to the allegations in the complaint, the sale and distribution of the Luvena Prebiotic products, which were manufactured by Laclede at its Rancho Dominguez, California, facility, violated various provisions of the Federal Food, Drug, and Cosmetic Act.
The act generally prohibits the distribution in interstate commerce of any drug for which the FDA has not given the required premarket approval. Moreover, the act prohibits the distribution of drugs that are misbranded, including drugs that fail to comply with FDA labeling regulations for over the counter drugs.
The complaint alleged that since 2010, Laclede had sold one or more of the Luvena Prebiotic products without the required FDA approval. The complaint also alleged that Laclede and Pellico ignored repeated FDA warnings that the company must obtain FDA approval before distributing one or more of the Luvena Prebiotic products in interstate commerce.
Furthermore, the complaint alleged that the company had made unapproved claims on its websites, Facebook page and Twitter feed that the Luvena Prebiotic products balanced vaginal bacterial flora and/or treated or prevented vaginal infections. For instance, according to examples described in the government’s complaint, Laclede made numerous unapproved claims on its product labels or on the company’s websites, Facebook page or Twitter feed that its Laclede Prebiotic products would “rebalance” vaginal bacterial flora, correct pH and reduce or minimize vaginal infections.
For instance, the company’s Twitter feed posted: “If your vagina pH isn’t slightly acidic, correct it with Luvena Prebiotics and rebalance the flora for fewer infections.”
Moreover, Laclede’s Facebook page posted: “Yes, Luvena Prebiotics absolutely do help dryness, but their enzymes help with pH also . . . If you have frequent vaginal infections, use Luvena Prebiotics every two weeks — see if it stops your infections.”
The lawsuit was filed by the Civil Division’s Consumer Protection Branch in Washington, D.C., and was handled by Trial Attorney David A. Frank. Assistance for the lawsuit was provided by Yen P. Hoang of the FDA’s Office of Chief Counsel in Silver Spring, Maryland.
Lee County Attorney Pleads Guilty to Federal Felony ChargeRead the Press Release
ABINGDON, VIRGINIA – A Lee County, Virginia, attorney, who failed to take appropriate action after learning his assistant was stealing money from the accounts of an elderly woman for whom he was appointed conservator of accounts, pled guilty today in the United States District Court for the Western District of Virginia in Abingdon.
Joseph W. Rasnic, age 62, of Jonesville, Virginia, waived his right to be indicted and pled guilty this afternoon to a one count Information charging him with misprision of felony.
“Mr. Rasnic failed to protect the assets of an elderly woman for whom he had been appointed conservator of accounts and instead protected the criminal activity of his assistant,” Acting United States Attorney Anthony P. Giorno said today. “This is certainly a sad day for everyone involved in this case, including Mr. Rasnic and his family. Nevertheless, we will vigorously prosecute attorneys and others who fail to ensure that money entrusted to them is protected.”
According to evidence presented by Assistant United States Attorney Randy Ramseyer, Rasnic operated a law office in Jonesville, Virginia, where Mandie Marie Bishop worked as his secretary and assistant. Rasnic admitted today he became aware Bishop was committing bank fraud by forging signatures to facilitate her theft of money from various bank accounts held by an elderly woman for whom Rasnic had been appointed conservator of accounts. Bishop obtained funds by forging Rasnic’s signature on checks.
Rasnic admitted after becoming aware of Bishop’s thefts he failed to remove her access to the accounts, which allowed her to continue stealing from the victim. In addition, Rasnic withheld information from law enforcement about Bishop’s behavior and actively sought to hide the extent of her criminal activity.
When questioned by agents of the United States Secret Service, Rasnic failed to disclose his knowledge of the full extent of Bishop’s criminal activity and lied about the nature of his personal relationship with Bishop.
In July 2014, Rasnic resigned and was removed as the conservator of the victim’s accounts. Between May 2013 and August 2014, Rasnic paid back $104,990 into the victim’s accounts. As part of the plea agreement, Rasnic was required to pay back all of the money taken by Bishop as well as his guardian and conservator fees and unnecessary expenses caused by the mismanagement of the victim’s accounts. The total amount required to be repaid, including the amount already paid, was $183,726. Rasnic submitted the remaining $78,736 today. Accordingly, the victim will receive full restitution.
Rasnic was released on a $10,000 unsecured bond. At sentencing, scheduled for May 28, 2015, he faces a maximum possible penalty of up to three years in prison and a fine of up to $250,000. Mandie Marie Bishop previously pled guilty to bank fraud charges and, in December 2014, was sentenced to 24 months of federal incarceration. There is no parole in the federal system.
The investigation of the case was conducted by the United States Secret Service. Assistant United States Attorney Randy Ramseyer is prosecuting the case for the United States.
Lake Charles Tax Preparer Pleads Guilty to Making False Tax ReturnRead the Press Release
LAKE CHARLES, La. – United States Attorney Stephanie A. Finley announced that the owner of a Lake Charles tax preparation business pleaded guilty Thursday to underreporting income on his tax returns over a three-year period.
Randall Joseph Carrier Jr., 41, of Cypress, Texas, pleaded guilty before U.S. District Judge Patricia Minaldi on one count of making and subscribing a false tax return. According to the guilty plea, Carrier, who owns and operates Taxx Enterprises Inc. of Lake Charles, failed to report approximately $189,961 of income on his 2007, 2008 and 2009 tax returns, which resulted in an estimated loss of $66,366 to the IRS. The majority of missing income came from customer tax preparation fees that Carrier did not report.
“Tax preparers are not above the law,” Finley stated. “When they use their businesses to take advantage of the system and avoid paying taxes, they will be prosecuted and held accountable. “Preparing false tax returns is a serious crime. My office stands ready to assist the IRS in investigating these cases.”
“We are pleased with the guilty plea entered today by Mr. Carrier,” stated Acting Special Agent in Charge of IRS Criminal Investigation Jerome R. McDuffie. “The tax system is built on the premise that taxpayers file accurate and timely tax returns. Mr. Carrier was in the business of preparing tax returns for others and willfully failed to report a significant amount of his own income. To ensure confidence in our tax system, special agents of IRS Criminal Investigation are committed to the aggressive pursuit and prosecution of individuals who intentionally violate the nation's laws.”
Carrier faces up to three years in prison, one year of supervised release, a $100,000 fine and restitution. A sentencing date of April 30, 2015 was set.The IRS investigated the case. Assistant U.S. Attorneys Howard C. Parker and Robert E. Moore are prosecuting the case.
Justice Department Reaches Agreement with Nueces County, Texas, to Improve Accessibility of Services and ProgramsRead the Press Release
The Department of Justice announced today an agreement with Nueces County, Texas, to resolve issues of accessible entry inside buildings that offer county services and programs, in violation of the Americans with Disabilities Act (ADA). This year marks the 25th anniversary of the ADA, which the Civil Rights Division plays a critical role in enforcing. In honor of the anniversary, each month the Department of Justice will spotlight efforts that are opening gateways to full participation and opportunity for people with disabilities.
Nueces County and the U.S. Department of Justice reached an agreement under Project Civic Access (PCA), the department’s wide-ranging initiative to ensure that cities, towns and counties throughout the country comply with the ADA. One of the hallmarks of the agreement is the requirement that the county will assess all existing web content and online services for conformance with industry guidelines—the Web Content Accessibility Guidelines (WCAG) 2.0—for making web content accessible.
The agreement with Nueces County will allow people with disabilities, like Marshall Burns, who was invited to present at the Coastal Bend Hurricane Conference in Nueces County. Unfortunately, when Burns tried to register online for the conference, he wasn’t able to do so because he is blind. The forms on the county website were incompatible with the software program that reads text out loud to him. Experiences like this, however, will become a thing of the past over the next three years thanks to the PCA agreement. You can learn more about Burns’ story by checking out the Justice Department blog where we will highlight each month different ways the ADA benefits people with disabilities.
Under the agreement announced today, Nueces County, Texas, will also ensure that people with disabilities—especially people who use wheelchairs and other mobility devices—can get inside buildings that offer county services and programs. That means the county will renovate everything from entrances, service areas and counters, restrooms, and parking so that people with disabilities can get into county buildings and use services and programs the county offers. Sidewalks and curb cuts all over the county will also be targeted—another change that promises to significantly improve life for people with disabilities in Nueces County.
“Over the past 15 years, nearly 220 communities have signed agreements with the Department of Justice to ensure that their citizens with disabilities enjoy the same services, programs and activities that all others enjoy,” said Acting Assistant Attorney General Vanita Gupta for the Civil Rights Division. “Participation in and enjoyment of the benefits of the services, programs and activities provided by local government is a fundamental civil right and the ADA is shaping the way local municipalities deliver their services to people with disabilities.”
For more information about the ADA, today’s agreement, the Project Civic Access initiative, individuals may access the ADA Web page at http://www.ada.gov/civicac.htm or call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TTY).
Identity Thief Sentenced to More Than Ten Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Charlene Edwards Honeywell has sentenced Cordell Jones to ten years and one month in federal prison for conspiracy to commit wire fraud. As part of his sentence, the Court also entered a money judgment in the amount of $1,469,435, the proceeds of the charged criminal conduct. Jones pleaded guilty on November 5, 2014.
According to court documents, Jones conspired with several others to defraud the IRS by filing false and fraudulent income tax returns using the names and Social Security numbers of unwitting individuals. Jones obtained the personal identifying information from a relative who had stolen the data from a financial institution where she worked. The conspirators filed 526 fraudulent returns claiming $5,063,954 in refunds and succeeded in obtaining more than $1.4 million from the IRS.
This case was investigated by the Internal Revenue Service – Criminal Investigation and the United States Postal Inspection Service. It was prosecuted by Assistant United States Attorney Bob Mosakowski.
Harvey Woman Charged with Conspiracy to Steal Housing FundsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that TRENISE DEBOUE MURPHY, age 52, of New Orleans, was charged in a one-count Bill of Information with conspiracy to commit theft of government funds.
According to the Bill of Information, MURPHY submitted an application to receive housing assistance from the Jefferson Parish Housing Authority (“JPHA”) through the Housing Choice Voucher Program (“HCVP”). MURPHY listed her family composition as she, her son, and her daughter. The defendant did not include her husband, who owned the residence in which they lived, in her family composition. As a result of that representation, as well as yearly recertification paperwork she filed that indicated that she was unmarried and that hid the fact that her “landlord” was actually her husband, the JPHA provided housing assistance on behalf of MURPHY between September 2003 and September 2012 in the amount of approximately $68,593.
If convicted, MUPRHY faces a maximum term of imprisonment of 5 years, followed by up to 3 years of supervised release, and a $250,000 fine.
United States Attorney Polite reiterated that the Bill of Information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Polite praised the work of the U.S. Department of Housing and Urban Development – Office of the Inspector General in investigating this matter. Assistant United States Attorney Jordan Ginsberg is in charge of the prosecution.
Gagliano and Gullo Plead Guilty to Federal Firearm ViolationsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that JOSEPH F. GAGLIANO, age 55, and DOMINICK GULLO, age 72, both from Metairie, pled guilty today to federal firearm charges.
GAGLIANO pleaded guilty to being a convicted felon in possession of a loaded, Ruger model, .22 caliber scope-mounted rifle. GAGLIANO and GULLO both pleaded guilty to being in possession of an unregistered silencer that fit the .22 caliber rifle. The rifle and silencer, along with other evidence, was recovered from an older model Ford van occupied by both GAGLIANO and GULLO. A Jefferson Parish Sheriff’s Deputy stopped the van on May 7, 2014, after learning the van had a stolen license plate affixed to it. Subsequent investigation by agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives along with Jefferson Parish Sheriff’s detectives revealed modifications to the van were made at GAGLIANO’s instruction.
GAGLIANO faces a maximum of 10 years imprisonment, followed by up to three years supervised release, and a maximum fine of $250,000 for being a convicted felon in possession of the rifle. GAGLIANO and GULLO each face a maximum of 10 years imprisonment, followed by up to three years supervised release, and a maximum fine of $10,000 for being in possession of the unregistered silencer. There is also a mandatory $100.00 special assessment for each count associated with this guilty plea.
U.S. Attorney Polite praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson Parish Sheriff’s Office for their work investigating this matter. Assistant United States Attorneys William J. Quinlan, Jr. and Elizabeth Privitera are in charge of the prosecution.
Fortuna Resident Indicted for Loan Fraud and Identity TheftRead the Press Release
SAN FRANCISCO – A federal indictment charging Delores Reeves with three counts of mail fraud and two counts of aggravated identity theft was unsealed this afternoon in federal court, announced United States Attorney Melinda Haag and FBI Special Agent in Charge David J. Johnson.
Reeves, 59, was indicted by a federal grand jury on January 27, 2015. According to the Indictment, Reeves operated iServe Residential Lending, LLC. Through this business and in her personal capacity, Reeves acted as a broker for “hard money” real estate loans, where she would purportedly match borrowers who needed cash loans with lenders who wanted to invest in loans secured by real estate. The Indictment alleges that Reeves defrauded one of her lenders by falsely soliciting three loans that Reeves represented would go to three borrowers and would be secured by real property owned by those borrowers. According to the Indictment, those borrowers knew nothing of the loans, and Reeves used their personal information without their consent to create fraudulent loan documents that she sent to the lender to make the transaction appear legitimate. After the lender paid Reeves the money for the loans, Reeves fraudulently retained the money for herself.
Reeves was arrested and made her initial appearances in federal court today in Eureka before the Honorable Nandor J. Vadas, U.S. Magistrate Judge, where she was released on bond. Bail was set at $50,000. Reeves is next scheduled to appear before the Honorable Joseph C. Spero, U.S. Magistrate Judge, at 9:30 am on February 4, 2015, for identification of counsel.
The maximum statutory penalty for each count of mail fraud, in violation of Title 18, United States Code, Sections 1341, is 20 years’ imprisonment and a fine of $250,000 or twice the gross gain or loss from the offense, plus restitution. The statutory penalty for each count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A, is a mandatory minimum of 2 years’ imprisonment, and a fine of $250,000 or twice the gross gain or loss from the offense. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Benjamin Kingsley is the Assistant U.S. Attorney who is prosecuting the case, with the assistance of Jessica Meegan. The prosecution is the result of an investigation by the FBI.
Please note, an indictment contains only allegations against an individual and, as with all defendants, Reeves must be presumed innocent unless and until proven guilty.
Former University School of Jackson Employee Sentenced to 12 Months and One Day in Federal Prison for Wire and Tax FraudRead the Press Release
Jackson, Tenn. – Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced today that Jessica Nicole Pinkerton, 33, of Humboldt, Tennessee, was sentenced this afternoon by Chief U.S. District Judge J. Daniel Breen to serve 12 months and one day in federal prison, followed by two years of supervised release. She was also ordered to pay restitution of $749,543.70 to the University School of Jackson and the Internal Revenue Service. There is no parole in the federal prison system.
“The United States Attorney’s Office is committed to prosecuting white collar crime such as wire fraud and false statements on tax returns,” stated United States Attorney Edward L. Stanton, III. “When employees put into motion fraudulent schemes to illegally divert funds and place those funds in accounts for their own selfish gain, our office will make sure that these individuals are held accountable for their actions and vigorously prosecuted to the fullest extent of the law.”
According to the criminal information and statements made during the sentencing hearing, Pinkerton was employed as a financial services manager at the University School of Jackson (USJ) from 2008 to 2014. Beginning in late 2009 through early 2014, Pinkerton, in her capacity as financial services manager, initiated Automatic Clearing House (ACH) transfers of USJ funds into her personal bank account. Pinkerton also filed a 2013 IRS form 1040, stating that her earned income was $29,321 when it actually was $195,689.71. Pinkerton pled guilty to wire and tax fraud on July 23, 2014.
This case was investigated by the Federal Bureau of Investigation – Jackson Resident Agency and the Internal Revenue Service – Criminal Investigation Division. Assistant United States Attorney Victor L. Ivy prosecuted this case on behalf of the government.
Spanish Version
Former Owner of Shooting Range Pleads GuiltyRead the Press Release
RENO, Nev. – A man who held a federal firearms dealer’s license and owned an indoor shooting range in Reno, Nev., has pleaded guilty to charges that he unlawfully sold multiple firearms, including guns with obliterated serial numbers and machine guns, to undercover ATF agents at his business in April and May 2014, announced U.S. Attorney Daniel G. Bogden for the District of Nevada and ATF Special Agent in Charge Joseph M. Riehl.
James David Harwin, 59, of Reno, pleaded guilty on Thursday, Jan. 29, before U.S. District Judge Miranda M. Du to one count of transfer of a firearm in violation of the National Firearms Act. Harwin is scheduled to be sentenced on May 4, 2015, at 1:30 p.m., and he faces up to 10 years in prison and a fine of up to $250,000.
“Federally licensed firearms dealers are entrusted to uphold federal laws pertaining to the importation, manufacture and sales of firearms,” said U.S. Attorney Bogden. “We will be especially vigilant in our investigations and prosecutions of firearm dealers who consciously choose to violate these laws.”
“A licensed federal firearms dealer who intentionally circumvents the law and commits federal firearm violations will be held accountable,” said ATF Special Agent in Charge Riehl. “This is a serious crime and it is critical for FFL’s to comply with federal regulations to ensure the safety of our communities.”
According to the plea agreement, Harwin and Safe Shot LLC possessed a federal firearms license (FFL) to manufacture and sell firearms. Safe Shot LLC did business as the Safe Shot Indoor Shooting Range, located at 9425 Double R Boulevard in Reno. On or about April 17, 2014, Harwin unlawfully sold four handguns to two undercover ATF agents who told Harwin they were residents of Sacramento, Calif. One of the handguns had an obliterated serial number. On May 2, 2014, Harwin sold a machine gun with an obliterated serial number to the undercover ATF agents, and on May 29, 2014, Harwin unlawfully sold a Street Sweeper shotgun and three machine guns to the undercover agents. Harwin removed the serial numbers on one of the machine guns in the presence of the undercover agents.
This case was investigated by ATF and is being prosecuted by Assistant U.S. Attorney Megan Rachow.
Former Loan Officer Pleads Guilty to Fraud ChargesRead the Press Release
St. Louis, MO – JOSEPH BROGAN pled guilty to multiple fraud charges related to a scheme involving applications for home loans.
According to statements made in court during the guilty plea, Joseph Brogan was employed as a loan officer for USA Mortgage Inc., where he handled both conventional mortgages and FHA loans. Michael Wallis owned and operated a company known as Missouri Builders and Home Remodeling (Missouri Builders), which performed interior construction and remodeling work on houses. Bogan, Wallis and others conspired to obtain loan funds by making false and fraudulent representations on home loan documents, including misrepresenting the source of down payments and misrepresenting remodeling expenses on HUD-1 forms and related loan documents. Brogan admitted that on at least one occasion, he provided $8,000 in funds toward a down payment while knowing that loan forms and supporting documents falsely represented that the funds came from the nominal purchaser or a relative of the nominal purchaser. Wallis’ company, Missouri Builders, received disbursements of loan funds based on the false HUD-1 forms and based on false invoices for remodeling expenses. Wallis then paid Brogan from the illegally obtained loan funds. Over the course of the conspiracy, Brogan received approximately $94,948 in payments from Wallis.
Brogan, St. Louis, Missouri, pled guilty to one felony count of conspiracy to commit bank fraud and two felony counts of bank fraud before U.S. District Judge Audrey G. Fleissig. Sentencing has been set for May 14, 2015.
He now faces a penalty range of up to 30 years in prison and/or fines up to $1 million. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
Michael Wallis previously pled guilty to related charges and is awaiting sentencing.
This case was investigated by the Department of Housing and Urban Development-Office of Inspector General, the Federal Housing Finance Agency-Office of Inspector General, the Postal Inspection Service and the Federal Bureau of Investigation. Assistant United States Attorney Reginald Harris is handling the case for the U.S. Attorney’s Office.
Former Liberty Reserve IT Manager Sentenced to 36 Months in PrisonRead the Press Release
The former information technology manager for Liberty Reserve, a company that operated one of the world’s most widely used digital currency services, was sentenced today to 36 months in prison for conspiring to operate an unlicensed money transmitting business.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Preet Bharara of the Southern District of New York made the announcement.
Maxim Chukharev, 28, of San José, Costa Rica, pleaded guilty in September 2014 before U.S. District Judge Denise L. Cote, who also imposed today’s sentence.
According to allegations contained in the indictment and statements made in related court proceedings, Chukharev was an associate of Liberty Reserve founder Arthur Budovsky and served as Liberty Reserve’s information technology manager in Costa Rica. In that role, Chukharev was principally responsible, along with co-defendant Mark Marmilev, formerly Liberty Reserve’s chief technology officer, for maintaining Liberty Reserve’s technological infrastructure.
According to allegations in the indictment and statements made in related court proceedings, Liberty Reserve was incorporated in Costa Rica in 2006 and billed itself as the Internet’s “largest payment processor and money transfer system.” Liberty Reserve was created, structured and operated to help users conduct illegal transactions anonymously and launder the proceeds of their crimes, and it emerged as one of the principal money transfer agents used by cybercriminals around the world to distribute, store and launder the proceeds of illegal activity. Liberty Reserve was used extensively for illegal purposes, functioning as the bank of choice for the criminal underworld because it provided an infrastructure that enabled cybercriminals around the world to conduct anonymous and untraceable financial transactions.
According to court records, before being shut down by the government in May 2013, Liberty Reserve had more than one million users worldwide, including more than 200,000 users in the United States, who conducted approximately 55 million transactions through its system totaling more than $6 billion in funds. These funds encompassed suspected proceeds of credit card fraud, identity theft, investment fraud, computer hacking, child pornography, narcotics trafficking and other crimes.
Chukharev, Marmilev and Budovsky were among seven individuals charged in the indictment, which was unsealed on May 28, 2013. Three co-defendants—Marmilev, Vladimir Kats and Azzeddine El Amine—previously pleaded guilty. Marmilev was sentenced to five years in prison in December 2014; Kats and El Amine await sentencing. The indictment also charged Liberty Reserve with conspiracy to commit money laundering and operation of an unlicensed money transmitting business, and the charges remain pending.
The charges contained in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
This case is being investigated by the U.S. Secret Service, the Internal Revenue Service-Criminal Investigation and the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, with assistance from the Secret Service’s New York Electronic Crimes Task Force. The Judicial Investigation Organization in Costa Rica, the National High Tech Crime Unit in the Netherlands, the Financial and Economic Crime Unit of the Spanish National Police, the Cyber Crime Unit at the Swedish National Bureau of Investigation and the Swiss Federal Prosecutor’s Office also provided assistance.
This case is being prosecuted jointly by the Criminal Division’s Asset Forfeiture and Money Laundering Section (AFMLS) and the U.S. Attorney’s Office’s Complex Frauds Unit and Asset Forfeiture Unit in the Southern District of New York, with assistance from the Criminal Division’s Office of International Affairs and Computer Crime and Intellectual Property Section.
Trial Attorney Kevin Mosley of AFMLS and Assistant U.S. Attorneys Serrin Turner, Andrew Goldstein and Christine Magdo of the Southern District of New York are in charge of the prosecution, and Assistant U.S. Attorney Christine Magdo is in charge of the forfeiture aspects of the case.
Former Liberty Reserve IT Manager Sentenced in Manhattan Federal Court to Three Years in PrisonRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Leslie R. Caldwell, Assistant Attorney General for the Justice Department’s Criminal Division, announced that MAXIM CHUKHAREV was sentenced today to three years in prison for conspiring to operate an unlicensed money transmitting business in connection with his work for Liberty Reserve, a company that operated one of the world’s most widely used digital currency services. CHUKHAREV was primarily responsible for maintaining Liberty Reserve’s technological infrastructure and for implementing systems designed to create the false appearance that Liberty Reserve had an effective anti-money laundering program. CHUKHAREV pled guilty in September 2014 before U.S. District Judge Denise L. Cote, who also imposed today’s sentence.
Manhattan U.S. Attorney Preet Bharara said: “Maxim Chukharev provided essential assistance to a criminal enterprise that he knew was operating as an unlicensed money transmitting business. By evading U.S. licensing requirements, Liberty Reserve allowed cybercriminals to move money anonymously around the world. Whenever cybercriminals, including those who intentionally encrypt and cloak criminal cyber activity, are found within the reach of justice, they will be held accountable for their actions.”
According to allegations contained in the Indictment filed against Liberty Reserve, CHUKHAREV and six other individual defendants, and statements made in other documents filed in Manhattan federal court and related court proceedings:
Liberty Reserve was incorporated in Costa Rica in 2006 and billed itself as the Internet’s “largest payment processor and money transfer system.” Liberty Reserve was created, structured, and operated to help users conduct illegal transactions anonymously and launder the proceeds of their crimes. It emerged as one of the principal money transfer agents used by cybercriminals around the world to distribute, store, and launder the proceeds of their illegal activity. Liberty Reserve was used extensively for illegal purposes, functioning as the bank of choice for the criminal underworld because it provided an infrastructure that enabled cybercriminals around the world to conduct anonymous and untraceable financial transactions.
Before being shut down by the U.S. government in May 2013, Liberty Reserve had more than five million user accounts worldwide, including more than 600,000 accounts associated with users in the United States, and processed tens of millions of transactions through its system, totaling more than $16 billion in funds. These funds encompassed suspected proceeds of credit card fraud, identity theft, investment fraud, computer hacking, child pornography, narcotics trafficking, and other crimes.
CHUKHAREV began doing work for Liberty Reserve in 2009, and was hired as an employee in January 2010. At first, CHUKHAREV reported directly to Mark Marmilev, Liberty Reserve’s chief technology officer. As time went on, CHUKHAREV took on greater responsibility, including the creation and implementation of a system designed to hide information about Liberty Reserve’s users and the sources of its business from the company’s Costa Rican regulatory agency. By design, the system provided mostly “fake” statistics about Liberty Reserve’s business to the agency, in order to give the appearance that Liberty Reserve had an effective anti-money laundering program. Beginning in January 2012, CHUKHAREV took over many of Marmilev’s responsibilities in the day-to-day management of Liberty Reserve’s technical operations, including the maintenance and operation of its website. CHUKHAREV worked for Liberty Reserve for years despite knowing that the business was not licensed as a money transmitting business under United States law. The fact that Liberty Reserve had not registered as a money transmitting business under U.S. law was a vital component of its success as a system used to launder funds derived from or intended to promote criminal activity.
CHUKHAREV, 28, is a citizen of Russia and resident of Costa Rica.
Mr. Bharara praised the outstanding work of the United States Secret Service, the Internal Revenue Service - Criminal Investigation, and the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, which worked together in this case as part of the Global Illicit Financial Team. Mr. Bharara also thanked the United States Secret Service’s New York Electronic Crimes Task Force for their extraordinary assistance with the investigation. Additionally, Mr. Bharara specially thanked all the international law enforcement agencies that assisted in the investigation, in particular, the Judicial Investigation Organization in Costa Rica, the National High Tech Crime Unit in the Netherlands, the Spanish National Police, Financial and Economic Crime Unit, the Cyber Crime Unit at the Swedish National Bureau of Investigation, and the Swiss Federal Prosecutor’s Office.
This case is being prosecuted jointly with the Department of Justice’s Asset Forfeiture and Money Laundering Section (“AFMLS”), which is overseen by Assistant Attorney General Leslie R. Caldwell. Mr. Bharara thanked AFMLS for its partnership and also thanked the Department of Justice’s Office of International Affairs and Computer Crime and Intellectual Property Section for their support.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit and Money Laundering and Asset Forfeiture Unit. Assistant United States Attorneys Serrin Turner, Andrew Goldstein, and Christine Magdo of the Southern District of New York and Trial Attorney Kevin Mosley of AFMLS are in charge of the prosecution, and Assistant United States Attorney Christine Magdo is in charge of the forfeiture aspects of the case.
The charges contained in the Indictment against certain of CHUKHAREV’s co-defendants remain pending and, as to those defendants, are merely accusations. Those defendants are presumed innocent unless and until they are proven guilty.
Former Jetblue Employee Sentenced for Smuggling Contraband Through Security at LoganRead the Press Release
BOSTON – A former JetBlue Airways employee was sentenced yesterday for smuggling thousands of dollars of what he believed to be drug money past security checkpoints at Logan International Airport.
Anthony Trotman, 24, of Boston, was sentenced by U.S. District Court Judge F. Dennis Saylor to 14 months in prison, one year of supervised release, and ordered to pay $3,000 in criminal forfeiture. In October 2014, Trotman waived indictment and pleaded guilty to a five-count Information charging conspiracy to commit money laundering, conspiracy to defraud the United States, and three counts of illegally entering an airport area with intent to commit a felony.
A federal undercover operation revealed that on three occasions from July 2013 through February 2014, Trotman used airport security credentials to evade TSA security and smuggled $125,000, which was represented to be drug proceeds, from non-secure airport. In return, Trotman received a total of $3,000 as compensation from a cooperating witness involved in the investigation.
Co-defendant Rupert Crossley pleaded guilty in October 2014 to a four-count Information charging money laundering conspiracy, conspiracy to defraud the United States, and three counts of illegally entering an airport area with intent to commit a felony. Crossley was sentenced on Jan. 7, 2015, before U.S. District Court Judge William G. Young to two years in prison, one year of supervised release, and ordered to pay $4,000 in criminal forfeiture.
Three additional co-defendants are alleged to have also used their airport credentials to evade security as part of the scheme. Alvin Leacock, Eric Vick and Dino Dunkley were indicted in September 2014 for a money laundering conspiracy, conspiracy to defraud the United States, money laundering, and illegally entering an airport area with intent to commit a felony.
United States Attorney Carmen M. Ortiz and Bruce M. Foucart, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. The case was investigated with the assistance of Bob Allison, Federal Security Director, Transportation Security Administration; Dwain Troutt, Special Agent in Charge, Federal Air Marshal Service; and Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police. The U.S. Attorney’s Office would also like to acknowledge the assistance and cooperation of the Massachusetts Port Authority, JetBlue Airways Corporate Security and Delta Airlines. The case was prosecuted by Assistant U.S. Attorneys Carlos A. López of Ortiz’s Organized Crime Drug Enforcement Task Force Unit and Dustin Chao of Ortiz’s Public Corruption Unit.
Former Credit Union Employee Charged with Embezzlement and Money LaunderingRead the Press Release
Orlando, Florida – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Male Yahaira Rivera (35, Orlando) with sixteen counts of embezzlement from a federally insured credit union and one count of money laundering. If convicted, she faces a maximum penalty of 30 years in federal prison for each embezzlement count and up to 10 years’ imprisonment for money laundering.
According to the indictment, Rivera was an employee of Fairwinds Credit Union. Between October 2010 and August 2011 she allegedly stole $258,000 from the credit union. Funds were taken on sixteen separate occasions in amounts ranging from $2,000 to $40,000. Rivera used more than $44,000 as a partial payment for a Porsche.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the United States Secret Service. It is being prosecuted by Assistant United States Attorney Roger B. Handberg.
Former Bank Vice President to Serve Two Years in Prison for Receiving Kickback, Filing False Tax ReturnsRead the Press Release
Urbana, Ill. – A former vice-president of the State Bank of Herscher, David Rabideau, was sentenced today to 24 months in federal prison for receiving a $75,000 kickback for procuring a real estate loan and for two counts of filing false tax returns. U.S. Senior District Judge Harold A. Baker ordered that Rabideau, 44, of Clifton, Ill., be taken immediately into custody by the U.S. Marshals Service for transport to the Federal Bureau of Prisons. Rabideau was also ordered to remain on supervised release for three years following his release from prison, and to pay restitution to the State Bank of Herscher in the amount of $100,000, and restitution to the IRS in the amount of $36,585 for unpaid income taxes.
Rabideau pled guilty to the offenses on Aug. 11, 2014, and had remained on bond pending sentencing. According to court documents, Rabideau had served as a branch manager, vice president, and secretary of the board of directors for the State Bank of Herscher in Kankakee, Ill. Rabideau also served as one of the bank’s primary loan officers. During court hearings, Rabideau admitted that in 2007, he served as the loan officer for a $500,000 bank loan to a customer to finance the purchase of real estate. Rabideau did not disclose his financial interest in this loan; that he was going to receive a $75,000 kickback from the customer. Following the real estate closing, Rabideau gave the customer a cashier’s check for $75,000 from the State Bank of Herscher, and told him to deposit it into the customer’s bank account. Rabideau also instructed the customer to write a check in the amount of $75,000, as a “finder’s fee” to Rabideau in connection with the real estate transaction. The same day, the customer wrote Rabideau a $75,000 check drawn on the customer’s business account.
Rabideau further admitted that for tax years 2006 and 2007, he failed to report various income he received. As a result of the understated gross income, Rabideau failed to pay at least $36,585 in income tax due to the government. Income Rabideau failed to report on his 2006 tax return included $16,572 he received as a “silent partner” in a real estate transaction, falsely claimed to be for the “sale of cow,” and a “finder’s fee” of $15,000 from a real estate agent, with the false statement "sale of tractor, antiques, etc.” in the check’s memo line. Rabideau admitted he failed to report additional income on his 2007 tax return, including $9,500 in capital gains from selling shares of Hershare Financial Corporation, the holding company for the State Bank of Herscher, in addition to the $75,000 kickback.
The Federal Deposit Insurance Corporation (FDIC) Office of Inspector General and the Internal Revenue Service, Criminal Investigation Division, investigated the case. Assistant U.S. Attorney Eugene L. Miller prosecuted the case.
# # # #Financial Advisor Pleads Guilty to Securities FraudRead the Press Release
Baltimore, Maryland - Jagveer Singh, age 55, of Clarksville, Maryland, pleaded guilty today to charges of securities fraud.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Acting Postal Inspector in Charge David M. McGinnis of the U.S. Postal Inspection Service - Washington Division.
Singh was an investment advisor who provided investment advice and services to clients in Maryland through two companies he owned, A&S Financial Services, Inc. and later, Synergia Capital Management, LLC. A&S provided financial planning, investment advice and tax services to affluent investors and small businesses. Synergia provided consulting and advisory services in the areas of financial planning, investment advice and business development and management. Both companies were located in Clarksville.
Singh has a Ph.D. in molecular biology, an MBA degree from The Johns Hopkins University, and worked as a licensed stockbroker from 2000 to 2002 at a large financial investment company.
Singh pleaded guilty to the one count indictment which charges that from January 2008 to June 2010, Singh altered a client’s monthly statements from an on-line brokerage firm that executes purchases and sales of securities, before providing those statements to the client, in order to conceal investment losses. Singh increased the market value shown on the monthly statement for numerous securities. In all, Singh altered over 24 monthly statements to hide between $224,747.34 and $53,186.76 in losses in any given month. In addition, during the time when Singh was altering his client’s monthly statements, the account suffered a total loss of about $310,310.70. During this time, Singh obtained $14,382.52 in commissions from the client.
The government seeks forfeiture of $14,382.52, and restitution to Singh’s former client of $310,310.70.
Singh faces a maximum sentence of 25 years in prison followed by three years of supervised release and a fine of $250,000. U.S. District Judge George L. Russell III has scheduled sentencing for Singh on May 21, 2015 at 9:30 a.m.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein praised the U.S. Postal Inspection Service - Washington Division for its work in the investigation and thanked Assistant United States Attorney Leo J. Wise, who is prosecuting the case.
Ex Empleada De La Escuela De La Universidad De Jackson Condenado A 12 Meses Y Un Dia De Prision Federal Por Transferencia Electronica Ilegal Y Fraude A Los ImpuestosRead the Press Release
Jackson, Tenn. - Edward L. Stanton III, Fiscal Federal para el Distrito Oeste de Tennessee, ha anunciado hoy que Jessica Nicole Pinkerton, de 33 años, de Humboldt, Tennessee, fue sentenciada esta tarde por el Jefe Federal de Distrito, Juez J. Daniel Breen para servir 12 meses y un día en una prisión federal, seguido de dos años de libertad supervisada. También se le ordenó pagar una indemnización de $ 749,543.70 a la Escuela Universitaria de Jackson y el Servicio de Impuestos Internos. No hay libertad condicional en el sistema federal de prisiones.
"La Oficina del Fiscal de los Estados Unidos està comprometido a perseguir la delincuencia de cuello blanco como el fraude electrónico y declaraciones falsas en las declaraciones de impuestos", dijo el fiscal federal Edward L. Stanton, III. "Cuando los empleados ponen en marcha planes fraudulentos de desviar ilegalmente fondos y poner los fondos en cuentas para su propio beneficio egoístamente, nuestra oficina se asegurarà de que estos individuos sean responsables de sus actos y procesados con vigor en toda la extensión de la ley."
De acuerdo con la información y las declaraciones hechas durante la audiencia de sentencia penal, Pinkerton fue contratado como gerente de servicios financieros en la Escuela Universitaria de Jackson (USJ) de 2008 a 2014. A partir de finales de 2009 hasta principios de 2014, Pinkerton, en su calidad de gerente de servicios financieros, inició las transferencias de la red electrónica para las transacciones financieras, por sus siglas en inglés (ACH), las transferencias de fondos USJ a su cuenta bancaria personal. Pinkerton también presentó un formulario 1040 del IRS para el año 2013, afirmando que su ingreso salarial era de $29,321, cuando en realidad fue de $195,689.71. Pinkerton se declaró culpable de transferencia electrónica y cometer fraude en los impuestos el 23 de julio de 2014.
Este caso fue investigado por la Oficina Federal de Investigaciones - Agencia Residentes de Jackson y el Servicio de Impuestos Internos - División de Investigación Criminal. Fiscal Federal Auxiliar Victor L. Ivy que procesó este caso en nombre del gobierno.
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Easton Woman Sentenced for Fraud SchemeRead the Press Release
Felicia Anne Straub, 42, of Easton, Pennsylvania, was sentenced today to six years in prison for three counts of wire fraud, one count of aggravated identity theft, and one count of tax evasion. Between September 5, 2006 and December 26, 2010, Straub was the office manager of Financial Adjuster’s, Inc. She embezzled FAI funds of at least $459,332 and used the money to pay for personal purchases of goods and services and to pay her husband’s personal credit card bills.
In addition to the prison term, U.S. District Court Judge Edward G. Smith ordered restitution in the amount of $459,332, three years of supervised release, and a $500 special assessment.
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigations, the Lehigh County District Attorney’s Office, and the Whitehall Township Police Department, and is being prosecuted by Assistant United States Attorney Kishan Nair.
Defendant Sentenced on Federal Firearm ChargeRead the Press Release
United States Attorney Kenyen R. Brown of the Southern District of Alabama announces that Charlie Lewis Davis of Mobile was sentenced, following an October 2014 guilty plea to a charge of being a prohibited person in possession of a firearm. Davis was previously convicted in Baldwin County of Manslaughter and Possession of Marijuana, First Degree in 2005. By virtue of these convictions, Davis is prohibited from possessing firearms or ammunition.
On March 23, 2013, the Mobile County Sheriff’s Narcotics Unit executed a search warrant at a residence on Dalton Drive, Eight Mile, Alabama. The residents signed
Miranda waivers and spoke with law enforcement. A K-9 alerted for drugs throughout the residence and on the vehicles outside. The female resident provided keys for all the vehicles outside. In one of those vehicles Deputies encountered Davis reclined in the front passenger seat. Davis was ordered out of the vehicle and patted down for weapons. A plastic bag of marijuana was found in his right front pants pocket. Davis told Deputies he had a weapon in the car. A Mossberg .22 caliber bolt action rifle was in the backseat; and, a Beretta 9mm pistol was under the passenger seat.
Possession of a firearm or ammunition by a previously convicted felon is a violation of Title 18, United States Code Section 922(g)(1). Senior United States District Court Judge Charles R. Butler varied from the applicable advisory sentencing guideline range, and imposed a 12 month sentence of imprisonment, to be followed by 3 years supervised release.
This case was referred for prosecution by Corporal Lorne Watts of the Mobile County Sheriff’s Office, who is assigned as a Task Force Officer with the Bureau of Alcohol, Tobacco, Firearms & Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Alabama.
Defendant Arrested in Business Loan Fraud CaseRead the Press Release
LAS VEGAS, Nev. – A Las Vegas man has been arrested on wire fraud charges for taking hundreds of thousands in fees from persons who thought the payments would help them obtain loans for various business ventures, announced U.S. Attorney Daniel G. Bogden for the District of Nevada and Laura A. Bucheit, Special Agent in Charge of the FBI for Nevada.
Ronald Gene Morgan, 60, was arrested by FBI agents in Las Vegas on Jan. 29. He is charged in a criminal indictment with 13 counts of wire fraud and criminal forfeiture. Morgan appeared before U.S. Magistrate Judge Cam Ferenbach on Jan. 29, and pleaded not guilty to the charges. At a detention hearing today, Morgan was released on a personal recognizance bond pending a March 30 trial date.
“We have been working diligently with our federal, state and local investigative partners to catch and prosecute persons who are committing advance fee fraud crimes,” said U.S. Attorney Bogden. “The persons who commit these offenses portray themselves as legitimate business persons, when in reality they are nothing more than con artists.”
According to the indictment, from about March 2009 to April 2011, Morgan resided in Las Vegas and operated an Illinois-incorporated company, Argent Asset Management, and a Florida-incorporated company, Argent securities (Argent). Morgan allegedly used numerous means, including the mail, internet, and telephone to advertise a fraudulent bond-offering program. Morgan promised persons that for an advance fee, he would provide them with business loans by using Argent’s assets to acquire bank bonds at a discount. Morgan told the victims that he would then re-sell the bonds at face value to an investor, generating hundreds of millions of dollars that would be available in funding to them for their various business ventures. As part of the scheme, Morgan required advance fees from victims in amounts as high as $780,000, and told victims that the fees would be held in escrow; would be refunded if loans were not obtained; and would be used solely for purposes relating to obtaining the loan. Morgan knew Argent had no assets and acquired no bonds. Morgan converted the fees he received from the victims to personal uses such as travel and entertainment, and also used them to promote and conceal the scheme to defraud. Morgan continued to solicit and accept victims’ fees while knowingly providing false excuses for funding delays when he knew he had converted victim fees to his own personal use, causing losses to victims of more than 3 million dollars.
If convicted, Morgan faces a maximum of 20 years in prison and a $250,000 fine on all counts.
The case is being investigated by the FBI, and prosecuted by Assistant U.S. Attorney Christina M. Brown.
This prosecution is part of efforts underway by President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets and recover proceeds for victims of financial crimes. For more information about the task force visit: www.stopfraud.com.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Davenport Man Sentenced for Federal Heroin ConspiracyRead the Press Release
DAVENPORT, IA – On January 30, 2015, Curtis Anthony Newman, Sr., age 54, of Davenport, Iowa, was sentenced by United States District Judge John A. Jarvey to 96 months in prison for conspiracy to distribute at least one kilogram of heroin, announced United States Attorney Nicholas A. Klinefeldt. Newman was also ordered to serve five years of supervised release following the imprisonment and to pay $100 towards the Crime Victims Fund.
Beginning in approximately March 2010, and continuing until about September 22, 2012, Newman conspired with other persons to distribute heroin. Specifically, on multiple occasions during the above-mentioned time period co-conspirator Lennon Hunter, Jr. obtained heroin (ranging in weight from approximately one ounce to one-half kilogram) in Los Angeles, California. The heroin was then usually sent via parcel carrier to the Quad Cities area or provided to another co-conspirator who utilized rail and bus carriers to transport the heroin to the Quad Cities. Once in the Quad Cities, the heroin was delivered to Newman in Davenport, Iowa, for Newman’s further distribution. The total quantity of heroin distributed by Newman exceeded one kilogram.
Co-conspirator Lennon Hunter, Jr. was also charged in the Southern District of Iowa with conspiracy to distribute at least one kilogram of heroin, and Hunter, Jr. was previously sentenced by Judge Stephanie M. Rose to 120 months in prison and five years of supervised release following the imprisonment.
This case was investigated by the United States Drug Enforcement Agency - Quad Cities Metropolitan Enforcement Group, and the case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Dallas, Texas, Man Sentenced to 188 Months in Federal Prison for Transporting and Shipping Child PornographyRead the Press Release
DALLAS — An Dallas, Texas, man was sentenced this morning by U.S. District Judge Sidney A. Fitzwater to 188 months in federal prison and a lifetime of supervised release on a child pornography conviction, announced Acting U.S. Attorney John R. Parker of the Northern District of Texas.
Timothy Bullard, 35, pleaded guilty in August 2014 to one count of transporting and shipping child pornography.
According to documents filed in the case, on November 1, 2013 FBI agents executed a search warrant at Bullard’s home, they seized computers and computer-related items.
Bullard admitted he possessed well over 600 images and possibly 500 videos of child pornography all of which were available for trading. Bullard admits to using the internet and other computer software to share and make files containing child pornography available to other users. He indicated that he had been downloading child pornography since he was sixteen years old.
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.”
The Federal Bureau of Investigations investigated. Assistant U.S. Attorney Lisa Miller prosecuted.