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Wednesday 7 January 2015
Former Juneau Carpenters Union Official SentencedRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a former union financial secretary was sentenced in federal court in Juneau for embezzling funds from Carpenters Local Union 2247.
Jonathan H. Smith, 42, of Juneau, was sentenced by United States District Court Judge Timothy M. Burgess to five years of probation with the condition that he serve four months in community confinement, perform 250 hours of community work service and pay full restitution of $41,770.47.
Assistant U.S. Attorney Kevin Feldis, who prosecuted the case, stated that between June 2006 and May 2012, Smith held the elected position of Financial Secretary for Carpenters Local Union 2247 (LU 2247) in Juneau, which is a labor union representing approximately 150 members. As Financial Secretary, Smith was an officer of LU 2247, and responsible for making deposits in the union bank account, paying bills, co-signing checks and managing the day-to-day business of the union. This was an elected unpaid position. During this time period, Smith was also employed by the Alaska Regional Council of Carpenters as Business Agent from 2004 until 2012, earning an annual salary ranging from $66,000 to $93,000.
Beginning in approximately April 2007, and continuing until May 2012, Smith improperly used the union’s ATM/debit card and the union checkbook to steal money from LU 2247. Smith used the ATM/debit card and union checks to make cash withdrawals and to use union money to pay for personal expenditures including personal travel, meals at restaurants, purchasing alcohol, eating and drinking at bars and to buy consumer goods throughout Alaska and elsewhere in the country.
Smith also withdrew thousands of dollars in union funds from the union’s First National Bank of Alaska account that he used to gamble at several casinos in Las Vegas and Washington State. He was not authorized to make any of these non-union purchases and cash withdrawals. In total, Smith knowingly and willfully embezzled, stole and illegally converted union funds to his own personal use in the amount of $41,770.47.
Judge Burgess noted that Smith had abused a position of trust, and that his sentence should deter others from engaging in similar crimes.This case was investigated by the U.S. Department of Labor, Office of Labor Management Standards.
Former Jetblue Employee Sentenced for Smuggling Contraband Through Security at LoganRead the Press Release
BOSTON – A former JetBlue Airways employee was sentenced today for smuggling thousands of dollars of what he believed to be drug money past security checkpoints at Logan International Airport.
Rupert Crossley, 26, of Lynn, was sentenced by 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. In October 2014, Crossley waived indictment and pleaded guilty to a four-count Information charging conspiracy to commit money laundering, conspiracy to defraud the United States, and two counts of illegally entering an airport area with intent to commit a felony.
In August 2012 and March 2013, a federal undercover operation revealed that Crossley used airport security credentials to evade TSA security and smuggle $85,000, which was represented to be drug proceeds, from non-secure airport areas such as curbside passenger drop-off/pick-up or public restrooms near baggage claim to secure areas of the airport such as passenger departure gates. In return, Crossley received a total of $4,000 as compensation from a cooperating witness involved in the investigation.
Four 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 on money laundering conspiracy, conspiracy to defraud the United States, money laundering, and illegally entering an airport area with intent to commit a felony.
Co-defendant Anthony Trotman pleaded guilty in October 2014 to a five-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. Trotman is scheduled to be sentenced on Jan. 29, 2015 before U.S. District Court Judge Dennis Saylor.
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. Lpez of Ortiz’s Organized Crime Drug Enforcement Task Force Unit and Dustin Chao of Ortiz’s Public Corruption Unit.
Former Irondequoit Man Sentenced for Production of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Michael D. Schluter, 46, formerly of Irondequoit, N.Y., who was convicted after a jury trial of production of child pornography, possession of child pornography, and transporting a minor across state lines with the intent to engage in illegal sexual activity, was sentenced to 262 months in prison and 15 years supervised release by U.S. District Judge Frank P. Geraci, Jr.
“The actions committed by this defendant were heinous and as a result, he will spend the next 21 years behind bars,” said U.S. Attorney Hochul. “In his attempts to negatively impact the innocence and life of a child forever, the defendant was only successful in losing his freedom for a very long period of time.”
Assistant U.S. Attorneys Tiffany H. Lee and Craig R. Gestring, who handled the prosecution of the case, stated that in January 2009, a minor reported that she had been sexually abused by the defendant. In July 2008 Schluter took photographs of the minor in sexually explicit poses. Further, in 2007, the defendant transported the minor to Massachusetts and Vermont in 2007 for the purpose of raping the minor.
The sentencing is the culmination of an investigation on the part of Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero and the Irondequoit Police Department, under the direction of Chief Richard V. Tantalo.
Former HUD Employee Sentenced to 26 Months in Prison for Theft of over $843,000 of Government MoneyRead the Press Release
Brian E. Thompson, 54, a former loan guarantee specialist for the U.S. Department of Housing and Urban Development, was sentenced today to serve 26 months in prison for a scheme in which he stole over $843,000 of government money.
The sentencing was announced by U.S. Attorney Ronald C. Machen Jr. of the District of Columbia, Inspector in Charge Gary R. Barksdale of the Washington Division of the U.S. Postal Inspection Service, and Special Agent in Charge Cary A. Rubenstein of the Mid-Atlantic Region of the Office of the Inspector General of the U.S. Department of Housing and Urban Development (HUD-OIG).
Thompson, of Washington, D.C., pleaded guilty in October 2014 in the U.S. District Court for the District of Columbia to one count of wire fraud. He was sentenced by the Honorable Senior Judge Paul L. Friedman. Upon completion of his prison term, Thompson will be placed on three years of supervised release. He also must pay $843,400 in restitution to the federal government. Finally, he is subject to a forfeiture money judgment in the amount of $645,700, in addition to over $150,000 previously seized from his financial accounts.
According to a statement of offense, signed by the defendant as well as the government, Thompson carried out his scheme from May 2013 until March 2014, while he was working for HUD’s Office of Loan Guarantee for Native American programs. This office handles the reselling of properties that have been acquired by HUD after borrowers defaulted on their HUD-guaranteed mortgages. Thompson was a loan guarantee specialist. His duties included selling these HUD real estate owned properties for the best possible price in order to reimburse the government for the payments made to the mortgage lender for the insured loan. He advised supervisors of the progress of reselling properties, and he also coordinated with the title and escrow agents at settlements.
From June 2013 until March 2014, Thompson sold parcels of such real estate properties on behalf of HUD. For five of those parcels, he made materially false misrepresentations to third parties and diverted over $843,000 of the sales proceeds to bank accounts under his control. In order to conceal these thefts from HUD, Thompson used and submitted fictitious settlement statements that falsely listed the buyer, and/or the contract sales prices, and/or the seller proceeds.
“Brian Thompson will be a federal inmate because of his crooked dealings,” said U.S. Attorney Machen. “He ripped off the taxpayer and harmed the integrity of program designed to help underprivileged Native American homeowners. Public service is a calling, not a get-rich-quick opportunity. I want to thank the other public servants at the Office of Native American Programs who came forward and raised concerns about Thompson’s conduct.”
“As today’s sentence demonstrates, those who attempt to defraud the U.S. government will be held accountable,” said Postal Inspector in Charge Barksdale. “Postal Inspectors applaud the efforts of its law enforcement partners at HUD-OIG. Our combined efforts brought the individual responsible for this crime, which involved the U.S. mail system, to justice.”
“The United States Department of Housing and Urban Development, Office of the Inspector General is tasked with investigating allegations of waste, fraud, and abuse in HUD-sponsored programs,” said Special Agent in Charge Rubenstein. “When we learn of HUD employees who engage in fraud, and in this instance elect to enrich themselves at the expense of a HUD program designed to ensure that Native Americans are provided the American dream of home ownership, we vigorously investigate these allegations in order to bring the employees to justice and remove them from current and future employment with HUD and the federal government. We wish to thank our law enforcement partners at the U.S. Postal Inspection Service and United States Attorney’s Office for their steadfast efforts, hard work and dedication. This was a truly collaborative effort that led to the sentencing today.”
In announcing the sentence, U.S. Attorney Machen, Inspector in Charge Barksdale, and Special Agent in Charge Rubenstein commended the work of those who investigated the case from the U.S. Postal Inspection Service and HUD’s Office of the Inspector General. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Kristy Penny, the Asset Forfeiture Section’s staff, and Assistant U.S. Attorneys Diane Lucas and Virginia Cheatham.
Former HUD Employee Sentenced to 26 Months in Prison for Theft of over $843,000 of Government MoneyDefendant Sold HUD Properties, Kept A Portion of the Proceeds for HimselfRead the Press Release
WASHINGTON – Brian E. Thompson, 54, a former loan guarantee specialist for the U.S. Department of Housing and Urban Development, was sentenced today to 26 months in prison for a scheme in which he stole over $843,000 of government money.
The sentencing was announced by U.S. Attorney Ronald C. Machen Jr., Gary R. Barksdale, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, and Cary A. Rubenstein, Special Agent in Charge of the Mid-Atlantic Region of the Office of the Inspector General of the U.S. Department of Housing and Urban Development (HUD-OIG).
Thompson, of Washington, D.C., pled guilty in October 2014 in the U.S. District Court for the District of Columbia to one count of wire fraud. He was sentenced by the Honorable Senior Judge Paul L. Friedman. Upon completion of his prison term, Thompson will be placed on three years of supervised release. He also must pay $843,400 in restitution to the federal government. Finally, he is subject to a forfeiture money judgment in the amount of $645,700, in addition to over $150,000 previously seized from his financial accounts.
According to a statement of offense, signed by the defendant as well as the government, Thompson carried out his scheme from May 2013 until March 2014, while he was working for HUD’s Office of Loan Guarantee for Native American programs. This Office handles the reselling of properties that have been acquired by HUD after borrowers defaulted on their HUD-guaranteed mortgages. Thompson was a loan guarantee specialist. His duties included selling these HUD real estate owned properties for the best possible price in order to reimburse the government for the payments made to the mortgage lender for the insured loan. He advised supervisors of the progress of reselling properties, and he also coordinated with the title and escrow agents at settlements.
From June 2013 until March 2014, Thompson sold parcels of such real estate properties on behalf of HUD. For five of those parcels, he made materially false misrepresentations to third parties and diverted $843,000 of the sales proceeds to bank accounts under his control. In order to conceal these thefts from HUD, Thompson used and submitted fictitious settlement statements that falsely listed the buyer, and/or the contract sales prices, and/or the seller proceeds.
“Brian Thompson will be a federal inmate because of his crooked dealings,” said U.S. Attorney Machen. “He ripped off the taxpayer and harmed the integrity of program designed to help underprivileged Native American homeowners. Public service is a calling, not a get-rich-quick opportunity. I want to thank the other public servants at the Office of Native American Programs who came forward and raised concerns about Thompson’s conduct.”
“As today’s sentence demonstrates, those who attempt to defraud the U.S. government will be held accountable,” said Postal Inspector in Charge Barksdale. “Postal Inspectors applaud the efforts of its law enforcement partners at HUD-OIG. Our combined efforts brought the individual responsible for this crime, which involved the U.S. mail system, to justice.”
“The United States Department of Housing and Urban Development, Office of the Inspector General is tasked with investigating allegations of waste, fraud, and abuse in HUD-sponsored programs,” said Special Agent in Charge Rubenstein. “When we learn of HUD employees who engage in fraud, and in this instance elect to enrich themselves at the expense of a HUD program designed to ensure that Native Americans are provided the American dream of home ownership, we vigorously investigate these allegations in order to bring the employees to justice and remove them from current and future employment with HUD and the Federal Government. We wish to thank our law enforcement partners at the U.S. Postal Inspection Service and United States Attorney’s Office for their steadfast efforts, hard work and dedication. This was a truly collaborative effort that led to the sentencing today.”
In announcing the sentence, U.S. Attorney Machen, Inspector in Charge Barksdale, and Special Agent in Charge Rubenstein commended the work of those who investigated the case from the U.S. Postal Inspection Service and HUD’s Office of the Inspector General. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Kristy Penny, the Asset Forfeiture and Money Laundering Section’s staff, and Assistant U.S. Attorneys Diane Lucas and Virginia Cheatham.
15-006Former Florida Man Sentenced to 20 Years in Prison for Murder-for-hire Conspiracy and Related Firearms OffensesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a former resident of Cape Coral, Florida, was sentenced today to 20 years in prison by Senior U.S. District Court Judge A. Richard Caputo for conspiring with a Scranton man to commit a murder-for-hire and committing two related firearms offenses.
According to United States Attorney Peter Smith, the defendant, Edward McLaughlin, age 65, previously admitted to conspiring with Gary Williams to murder McLaughlin’s ex-wife. McLaughlin admitted to offering Williams a job with a company in Florida if he would carry-out the murder, and Williams agreed to do so.
The conspiracy began when McLaughlin and Williams were cell mates in the Pike County Prison in June 2011, and continued through June 2012. During that time period, McLaughlin shipped a German Mauser rifle and ammunition from Florida to Williams in Scranton, Pennsylvania, to be used to carry-out the murder. McLaughlin and Williams also used the mail and telephones in planning and attempting to carry-out the murder.
McLaughlin pleaded guilty to three crimes related to the interstate murder-for-hire scheme: conspiracy to use interstate facilities to commit a murder-for-hire; carrying and possessing a firearm in relation to and in furtherance of a crime of violence; and unlawfully shipping a firearm and ammunition in interstate commerce as a convicted felon.
The charges against McLaughlin resulted from an investigation by the Federal Bureau of Investigation and the Scranton Police Department.
Judge Caputo also ordered McLaughlin to serve three years on supervised release following his prison sentence, pay a special assessment of $300, and pay $2200 in restitution.
Gary Williams, McLaughlin’s co-defendant, was previously convicted by a jury of five counts related to the murder-for-hire scheme and was sentenced to 35 years in prison.
Assistant U.S. Attorney Francis P. Sempa prosecuted the case.
****Former Cook County Sheriff’s Deputy Sentenced to 1 Year in Prison for Using Excessive Force Against Detainee in MaywoodRead the Press Release
CHICAGO — A former Cook County sheriff’s deputy was sentenced today to one year in federal prison for violating the civil rights of a man who was being held in the county’s detention lockup facility in Maywood in 2010. The defendant, RAFAEL MUNOZ, pleaded guilty in September to using unreasonable force.
“What happened here was extremely serious,” U.S. Magistrate Judge Maria Valdez said in imposing the sentence in U.S. District Court. Munoz was ordered to begin serving his sentence on Feb. 6 and was placed on supervised release for one year following his prison term.
In pleading guilty, Munoz, 39, of Chicago, admitted that he grabbed and forcibly pulled the chain that connected a pretrial detainee’s ankle shackles to each other, causing the victim to flip forward and hit his head and face on the concrete floor. As a result of using excessive force, the victim suffered injuries, including a broken nose, a broken tooth, swelling, bruising, and bleeding from cuts to his lip and nose.
Munoz became a sheriff’s deputy in August 2006 and resigned in 2013. As part of his plea agreement, Munoz agreed not to seek or accept any future law enforcement employment or any position that would require or permit him to supervise or care for detainees or prisoners.
According to court records, the victim, identified as M.O., was arrested on July 8, 2010, and transported to the Maywood lockup, where he was detained in a holding cell. In that cell, M.O. was restrained with his hands handcuffed behind his back and his legs in ankle shackles. Shortly after 2 a.m. on July 8, 2010, Munoz entered the cell in response to M.O.’s request to loosen his handcuffs. Munoz ordered M.O. to turn around and face the wall and M.O. complied with Munoz’s instructions such that M.O.’s back and handcuffs faced Munoz while M.O. faced the rear of the cell. Throughout Munoz’s interaction with M.O., the victim complied with Munoz’s orders and did not pose a threat to Munoz, any other person, or himself.
After forcing the victim to fall by pulling his ankle chain, Munoz admitted that he attempted to cover up his use of excessive force by completing three false law enforcement reports. In each of those documents, Munoz reported that he entered the cell and “grabbed [M.O.’s] handcuffs to loosen at which time [M.O.] rolled onto the cell floor,” which Munoz knew was false.
The sentence was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Acting Assistant Attorney General Vanita Gupta of the Justice Department’s Civil Rights Division; and Robert J. Holley, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation.
The government is being represented by Assistant U.S. Attorneys Andrianna Kastanek and Nathalina Hudson and DOJ Trial Attorney Ali Ahmad.
Former Clinic Owner Sentenced to 2.5 Years in Prison for $3.4 Million Medicaid Fraud SchemeRead the Press Release
Defendant Spent Stolen Funds on Luxury Vehicles and Jewelry
CHARLOTTE, N.C. – Ronnie Lorenzo Robinson, 37, of Charlotte, was sentenced today to 30 months in prison for his role in a $3.4 million Medicaid fraud scheme involving sham mental and behavioral health services, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. Chief U.S. District Judge Frank D. Whitney also ordered Robinson to serve three years under court supervision and to pay $3,153,074 in restitution to Medicaid.
U.S. Attorney Tompkins is joined in making today’s announcement by John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division and Attorney General Roy Cooper, who oversees the North Carolina Medicaid Investigations Division (MID).
According to filed court documents and today’s sentencing hearing, from in 2007 to 2011, Robinson engaged in a scheme to defraud Medicaid of at least $3.4 million in fraudulent reimbursement claims submitted to Medicaid. Court records show that Robinson owned and operated Peaceful Alternative Resources, Inc. (PAR), a purported non-profit Medicaid-approved company providing mental health and mentoring services with offices in Charlotte, Mooresville and Greensboro, N.C. Robinson and PAR defrauded Medicaid by submitting false reimbursements to the government program for bogus mental health services. Contrary to the submitted claims, the claimed services were either provided by unlicensed, non-Medicaid approved individuals, or were never provided at all.
According to filed documents, Robinson submitted the fraudulent reimbursement claims using the Medicaid provider numbers of at least three licensed clinicians who had performed some work for PAR. Court records indicate that these clinicians never provided the claimed services and were not aware that Robinson was submitting the false claims using their provider numbers. Court documents also indicate that Robinson obtained Medicaid beneficiary information from other organizations and used that information to submit claims for the made-up services. According to court documents, that Robinson submitted claims to Medicaid totaling approximately $3.4 million and received approximately $3.1 million in payments. Robinson pleaded guilty in January 2014 to two counts of health care fraud.
Over the course of the investigation, law enforcement seized a 2004 Land Rover Range Rover HSE, a 2007 Chevrolet Suburban, a 2007 Mercedes S550 and a 1 5/8 carat oval ladies diamond ring, purchased with money fraudulently obtained from Medicaid. Agents also seized a classic 1972 Chevrolet Chevelle-Malibu, a 2006 Chrysler 300 and approximately $660,000 in funds in connection with the fraud.
Robinson will report to the Federal Bureau of Prisons to begin serving his sentence upon designation of a federal facility. All federal sentences are served without the possibility of parole.
Two social workers, formerly employed by the Mecklenburg County Department of Social Services (DSS), who provided Robinson the Medicaid beneficiary information of DSS clients, have already pleaded guilty to health care fraud charges. Ieshia Hicks Watkins pleaded guilty in October 2014 to one count of health care fraud conspiracy and one count of receiving illegal kickbacks. Ryce Edward Hatchett pleaded guilty on Tuesday, January 6, 2015, to one count of receiving illegal kickbacks. Both defendants await sentencing.
The investigation into Robinson was handled by the FBI and MID. The prosecution was handled by Assistant U.S. Attorney Kelli Ferry of the U.S. Attorney’s Office in Charlotte.
The investigation and charges are the work of the Western District’s joint Health Care Fraud Task Force. The Task Force is multi-agency team of experienced federal and state investigators, working in conjunction with criminal and civil Assistant United States Attorneys, dedicated to identifying and prosecuting those who defraud the health care system, and reducing the potential for health care fraud in the future. The Task Force focuses on the coordination of cases, information sharing, identification of trends in health care fraud throughout the region, staffing of all whistle blower complaints, and the creation of investigative teams so that individual agencies may focus their unique areas of expertise on investigations. The Task Force builds upon existing partnerships between the agencies and its work reflects a heightened effort to reduce fraud and recover taxpayer dollars.
If you suspect Medicare fraud please report it by phone at 1-800-447-8477 (1-800-HHS-TIPS), or E-Mail at [email protected]. To report Medicaid fraud in North Carolina, call the North Carolina Medicaid Investigations Division at 919-881-2320.
Former Chickasaw Country Club Clerk Admits to Stealing $736,000Read the Press Release
Memphis, TN – Edward L. Stanton III, United States Attorney for the Western District of Tennessee, announced today that Sue M. Winfrey, age 58, of Memphis, TN, entered a plea of guilty yesterday to defrauding Chickasaw Country Club of approximately $736,000.
Winfrey was indicted by a federal grand jury in October 2014. According to the seven-count indictment, between 2003 and August 2013, Winfrey, a former payroll clerk at Chickasaw Country Club, submitted fraudulent payroll data to Chickasaw’s payroll processor, Paychex of New York. The indictment alleged that as a result of the submission of the fraudulent payroll data, Winfrey unlawfully received approximately $736,000, which was deposited electronically into bank accounts she maintained at Bank of America.
“This case underscores our unwavering commitment to bring to justice those who steal from others and brazenly line their pockets by committing white collar crimes,” said U.S. Stanton. “When employees such as Sue Winfrey fraudulently divert funds from employers, the United States Attorney’s Office will work with law enforcement partners to ensure those individuals are held accountable and prosecuted to the full extent of the law.”
Winfrey faces a maximum penalty of 20 years in prison and a fine of up to $250,000. Sentencing is currently set for April 1, 2015 at 9:30 a.m. before United States District Judge John T. Fowlkes.
This investigation was conducted by the United States Secret Service. This case is being prosecuted for the government by Assistant United States Attorney Carroll L. Andre III.
Spanish Version
Floridian Charged with Narcotics PossessionRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Tyrone Dixon, 34, of Florida, appeared yesterday in United States District Court in Burlington following his arrest for possession of a controlled substance with intent to distribute. U.S. Magistrate Judge John M. Conroy released Dixon on conditions pending his next court hearing.
According to court records, in the early morning of January 5, a Customs and Border Protection Officer stationed at the Derby Line Port of Entry noticed a vehicle making an illegal U-turn in between the ports of entry for the United States and Canada. The car had traveled north towards the port of exit in the United States but turned back before attempting entry into Canada. After Customs and Border Protection Officers inspected the vehicle and conducted preliminary interviews with driver Tyrone Dixon and passenger Emily Lasell of Vermont, Special Agents from Homeland Security Investigations arrived on the scene to assist with the investigation. While Special Agents from Homeland Security interviewed the driver and the passenger, Customs and Border Protection Officers conducted a thorough search of the vehicle. From the vehicle, a Customs and Border Protection Officer recovered a green and black bag containing approximately five syringes that appeared to have been used, approximately twenty-five used or torn white packages consistent with the packaging commonly seen in the heroin trade, and a hollowed-out loaf of bread concealing approximately 84 grams of a substance that was field tested with presumptively positive results for crack cocaine. From inside the passenger’s bra, a Customs and Border Protection Officer recovered two small packages commonly known as “tickets” of heroin.
The United States Attorney emphasizes that the charge against Dixon is merely an accusation and that the defendant is presumed innocent unless and until he is proven guilty.
If convicted, Dixon faces up to twenty years of imprisonment and a fine of up to $1,000,000. The actual sentence would be determined with reference to federal sentencing guidelines.
Dixon is represented by Assistant Federal Public Defender Barclay Johnson. The prosecutor is Assistant U.S. Attorney Abigail Averbach.
Five Men Plead Guilty to Passing Counterfeit United States Currency to Individuals Selling Items on CraigslistRead the Press Release
Memphis, TN – Deandre Wright, 24, Demetrius James, 20, Keartic Threatt, 20, Tauris White, 20, and Travis Raggs, 19, have pleaded guilty to conspiracy to manufacture and pass counterfeit United States currency to individuals selling items on Craigslist, announced Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee.
According to the indictment and statements made in open court, beginning in early 2014, Wright and James began manufacturing counterfeit federal reserve notes. Once the notes were made, Wright, James, Threatt, White and Raggs began targeting individuals selling items on Craigslist. The group specifically targeted individuals selling PlayStations, Xboxes, and cell phones. An individual selling his or her item would be contacted by one of the defendants, and a meeting location would be arranged where the merchandise would be exchanged for the currency. Once the parties met at the designated location and the exchange was made, the victim would quickly learn that the currency was counterfeit. The defendants would display a show of force and then quickly flee the location. The PlayStations and Xboxes were being sold for between $200 and $400.
Based on the investigation, approximately 50 victims were defrauded by the group. The victims included several teenagers and adults, and many lived in Shelby County and surrounding communities.
The defendants face a maximum penalty of up to 20 years in prison and a fine of up to $250,000.
This investigation was conducted by the United States Secret Service and Special Agent Michael Riddle. The Secret Service is asking victims to contact their office if they were victims of this scheme. This case is being prosecuted for the government by Assistant United States Attorney Kevin P. Whitmore.
Spanish Version
Federal Jury in New Mexico Convicts Arkansas Woman on Methamphetamine and Cocaine Trafficking ChargesRead the Press Release
ALBUQUERQUE – Earlier this afternoon a federal jury sitting in Albuquerque, N.M., found Shelia Villegas, 47, of Manila, Ark., guilty on methamphetamine and cocaine trafficking charges after a two-day trial. The guilty verdict was announced by U.S. Attorney Damon P. Martinez, Acting Special Agent in Charge Tom Hernandez of Homeland Security Investigations (HSI) in El Paso, Texas, and Chief Gorden Eden of the Albuquerque Police Department (APD).
Villegas was arrested on April 29, 2014, on a criminal complaint alleging methamphetamine and cocaine trafficking charges. She subsequently was indicted in a two-count indictment charging her with possession of methamphetamine with intent to distribute and possession of cocaine with intent to distribute. The indictment alleged that Villegas committed the two offenses on April 29, 2014, in Bernalillo County, N.M.
Trial of this case began on Jan. 6, 2015 and concluded this afternoon when the jury returned a guilty verdict on both counts of the indictment. The evidence at trial established that on April 29, 2014, an APD officer conducted a routine traffic stop of Villegas for failure to maintain a single lane. After issuing a citation to Villegas, the officer asked and received Villegas’ consent to a search of her vehicle. The officer then deployed a narcotics canine on the vehicle. After the canine alerted and thus indicated the presence of drugs, the officer and HSI agents searched Villegas’ vehicle and found 19 bundles, 18 of which contained an aggregate of 20 pounds of methamphetamine and one which contained more than 700 grams of cocaine.
The evidence at trial included the APD officer’s recording of his encounter with Villegas. In addition, an HSI agent testified that Villegas made a post-arrest statement in which she acknowledge that she was transporting drugs from Calif. to Ark. in exchange for $10,000.00 plus $500 in travel expenses.
The jury deliberated approximately two hours before returning its guilty verdict.
Villegas was remanded into federal custody after the jury returned its guilty verdict. She will remain in custody pending her sentencing hearing, which has yet to be scheduled. At sentencing, Villegas faces a maximum statutory penalty of life imprisonment.
This case was investigated by the Albuquerque office of HSI and APD and is being prosecuted by Assistant U.S. Attorneys Paul Mysliwiec and Nicholas Jon Ganjei.FBI Arrests Defendants Charged with Trafficking Heroin and Other Drugs in Jefferson CountyRead the Press Release
FBI agents today arrested five of six Jefferson County, Alabama, men indicted by a federal grand jury in November on charges they operated an illegal organization trafficking heroin, cocaine, prescription painkillers and other drugs in the western part of the county. The sixth defendant already was in custody in Jefferson County on state charges related to the drug-trafficking organization.
U.S. Attorney Joyce White Vance, FBI Acting Special Agent in Charge Robert E. Haley III, Jefferson County Sheriff Mike Hale, Hueytown Police Chief Chuck Hagler and Special Agent in Charge Veronica Hyman-Pillot of the Internal Revenue Service Criminal Investigation Division announced today's arrests.
The November indictment charges Ladaryl Keith "Eric" Spriggs, 30, Michael "Mike" Watson Jr., 28, Boris Bernard "Buck" Edwards, 45, and Marquis Rashad "Bobo" Abernathy, 23, all of Brighton, Alabama, as well as Damien Jamaar "Two for 15" Scott, 29, of Bessemer, Alabama, and Antione Rashun "Twan" Bell, 29, of Birmingham, Alabama, with conspiring to distribute heroin, cocaine, marijuana, oxycodone, codeine, hydrocodone, suboxone and alprazolam between August 2013 and Nov. 17, 2014.
Arrested today were Spriggs, Watson, Abernathy, Edwards and Bell. Scott was already in custody.
"The indictment and arrests of these defendants reflects my office's commitment to work with law enforcement to battle the country's epidemic problem of heroin and opioid painkiller abuse on the supply side," said U.S. Attorney Vance. "There have been at least 123 heroin overdose deaths in Jefferson County, alone, in 2014. As a community, we must wage battle on many fronts, including seeking more education and awareness about opiate abuse and more addiction treatment options."
“This investigation shows the FBI’s resolve to target organizations that are bringing heroin and other dangerous drugs into the Birmingham area," said FBI Acting Special Agent in Charge Haley. "Today, along with our law enforcement partners, we were able to remove dangerous people from the streets and take another step toward making our community safer.”
"The drug trade is a deadly business and none more deadly than heroin," said Sheriff Hale. "This investigation and subsequent number of arrests will certainly have a positive impact in our area, as these are major players in this deadly game. Lives will be saved because of it. I want to thank United States Attorney Joyce Vance and her team, along with all of the federal and local enforcement partners for their commitment to this initiative. We are a powerful force working together and we are committed to continuing this fight.”
"The heroin problem is a metro-wide epidemic that needs a cooperative response from law enforcement, on all levels, across the area," said Police Chief Hagler. "The leadership shown by the U.S. Attorney’s Office on this issue has been both welcomed and effective. I’m sure I speak for all my fellow police chiefs when I say we appreciate Joyce Vance’s efforts in helping to spearhead a multi-agency law enforcement strategy to deal with this threat to all our communities."
According to the indictment, Spriggs, Watson and Abernathy are charged with trafficking more than 1,000 grams of heroin as part of the conspiracy, and Scott's, Bell's and Edwards' participation in the conspiracy involved more than 100 grams of heroin.
Count 2 of the indictment charges Spriggs and Watson with possessing and intending to distribute heroin and oxycodone from a Fairfield, Alabama, house located within 1,000 feet of a public school, Fairfield High School, on July 17.
Count 3 charges Spriggs, Scott and Watson with possessing and intending to distribute heroin on August 8.
The remaining 11 counts variously charge all defendants, except Scott, with using a telephone to facilitate a drug-trafficking crime.
The indictment seeks a forfeiture judgment of at least $1 million from the defendants as proceeds of illegal activity.
The maximum penalty for conspiracy to distribute drugs illegally is 20 years in prison and a $1 million fine. Conspiracy to distribute more than 1,000 grams of heroin carries a penalty of 10 years to life in prison and a $10 million fine, and conspiracy to distribute 100 grams or more of heroin carries a penalty of five to 40 years in prison and a $5 million fine.
The maximum penalty for possessing with intent to distribute heroin or oxycodone is 20 years in prison and a $1 million fine. The maximum penalty doubles for distribution within 1,000 feet of a school.
The maximum penalty for using a telephone to facilitate a drug-trafficking crime is four years in prison and a $250,000 fine.
The FBI's Safe Streets Task Force investigated the case, in conjunction with the Jefferson County Sheriff's Office, Hueytown Police and IRS-CID. Assistant U.S. Attorney Gregory R. Dimler is prosecuting the case.
The public is reminded that an indictment contains only charges. Defendants are presumed innocent unless and until proven guilty.
FBI Arrests Defendants Charged with Trafficking Heroin, Other Drugs in Jefferson CountyRead the Press Release
BIRMINGHAM -- FBI agents today arrested five of six Jefferson County men indicted by a federal grand jury in November on charges they operated an illegal organization trafficking heroin, cocaine, prescription painkillers and other drugs in the western part of the county. The sixth defendant already was in custody in Jefferson County on state charges related to the drug-trafficking organization.U.S. Attorney Joyce White Vance, FBI Acting Special Agent in Charge Robert E. Haley III, Jefferson County Sheriff Mike Hale, Hueytown Police Chief Chuck Hagler and Internal Revenue Service, Criminal Investigation Division, Special Agent in Charge Veronica Hyman-Pillot announced today's arrests.
The November indictment charges LADARYL KEITH "Eric" SPRIGGS, 30, MICHAEL "Mike" WATSON JR., 28, BORIS BERNARD "Buck" EDWARDS, 45, and MARQUIS RASHAD "Bobo" ABERNATHY, 23, all of Brighton, DAMIEN JAMAAR "Two for 15" SCOTT, 29, of Bessemer, and ANTIONE RASHUN "Twan" BELL, 29, of Birmingham, with conspiring to distribute heroin, cocaine, marijuana, oxycodone, codeine, hydrocodone, suboxone and alprazolam between August 2013 and Nov. 17, 2014.
Arrested today were Spriggs, Watson, Abernathy, Edwards and Bell. Scott was already in custody.
"The indictment and arrests of these defendants reflects my office's commitment to work with law enforcement to battle the country's epidemic problem of heroin and opioid painkiller abuse on the supply side," Vance said. "There were at least 123 heroin overdose deaths in Jefferson County, alone, in 2014," she said. "As a community, we must wage battle on many fronts, including seeking more education and awareness about opiate abuse and more addiction treatment options.""This investigation shows the FBI's resolve to target organizations that are bringing heroin and other dangerous drugs into the Birmingham area," Haley said. "Today, along with our law enforcement partners, we were able to remove dangerous people from the streets and take another step toward making our community safer."
"The drug trade is a deadly business and none more deadly than heroin," Hale said. "This investigation and subsequent number of arrests will certainly have a positive impact in our area, as these are major players in this deadly game. Lives will be saved because of it. I want to thank United States Attorney Joyce Vance and her team, along with all of the federal and local enforcement partners for their commitment to this initiative. We are a powerful force working together and we are committed to continuing this fight," he said."The heroin problem is a metro-wide epidemic that needs a cooperative response from law enforcement, on all levels, across the area," Hagler said. "The leadership shown by the U.S. Attorney's Office on this issue has been both welcomed and effective. I'm sure I speak for all my fellow police chiefs when I say we appreciate Joyce Vance's efforts in helping to spearhead a multi-agency law enforcement strategy to deal with this threat to all our communities."
According to the indictment, Spriggs, Watson and Abernathy are charged with trafficking more than 1,000 grams of heroin as part of the conspiracy, and Scott's, Bell's and Edwards' participation in the conspiracy involved more than 100 grams of heroin.
Count 2 of the indictment charges Spriggs and Watson with possessing and intending to distribute heroin and oxycodone from a Fairfield house located within 1,000 feet of a public school, Fairfield High School, on July 17.
Count 3 charges Spriggs, Scott and Watson with possessing and intending to distribute heroin on Aug. 8.
The remaining 11 counts variously charge all defendants, except Scott, with using a telephone to facilitate a drug-trafficking crime.
The indictment seeks a forfeiture judgment of at least $1 million from the defendants as proceeds of illegal activity.
The maximum penalty for conspiracy to distribute drugs illegally is 20 years in prison and a $1 million fine. Conspiracy to distribute more than 1,000 grams of heroin carries a penalty of 10 years to life in prison and a $10 million fine, and conspiracy to distribute 100 grams or more of heroin carries a penalty of five to 40 years in prison and a $5 million fine.
The maximum penalty for possessing with intent to distribute heroin or oxycodone is 20 years in prison and a $1 million fine. The maximum penalty doubles for distribution within 1,000 feet of a school.
The maximum penalty for using a telephone to facilitate a drug-trafficking crime is four years in prison and a $250,000 fine.
The FBI's Safe Streets Task Force investigated the case, in conjunction with the Jefferson County Sheriff's Office, Hueytown Police and IRS-CID. Assistant U.S. Attorney Gregory R. Dimler is prosecuting the case.The public is reminded that an indictment contains only charges. Defendants are presumed innocent unless and until proven guilty.
Ex Secretaria De Chickasaw Country Club Admite Haberse Robado $736,000Read the Press Release
Memphis, TN - Edward L. Stanton III, fiscal federal para el Distrito Oeste de Tennessee, ha anunciado hoy que Sue M. Winfrey, de 58 años de edad, de Memphis, TN, se declaró ayer culpable de estafar a Chickasaw Country Club de aproximadamente $736,000 dólares.
Winfrey fue acusada por un gran jurado federal en octubre de 2014. Según las acusaciones de siete cargos, entre 2003 y agosto de 2013, Winfrey, una ex empleada de nómina en Chickasaw Country Club, presentó datos fraudulentos en la nómina al procesar la nómina de Chickasaw, Paychex de Nueva York. La acusación alega que, como resultado de la presentación de datos fraudulentos en el pago de la nómina, ilegalmente Winfrey recibió aproximadamente $736,000, que fue depositado electrónicamente en cuentas bancarias que mantiene en el Banco de América.
"Este caso pone de manifiesto nuestro firme compromiso de llevar a la justicia a los que le roban a otros y descaradamente llenan sus bolsillos cometiendo delitos de cuello blanco", dijo el Stanton. "Cuando los empleados como Sue Winfrey fraudulentamente desvían fondos de los empleadores, la Oficina del Fiscal de los Estados Unidos trabajarà con los socios encargados de hacer cumplir la ley para garantizarle a los individuos que tienen que rendir cuentas y ser procesados con todo el rigor de la ley."
Winfrey se enfrenta a una pena màxima de 20 años de prisión y una multa de hasta $250,000. La sentencia està programada actualmente para 01 de abril 2015 a las 9:30 am ante el Juez de Distrito de los Estados Unidos John T. Fowlkes.
Esta investigación fue realizada por el Servicio Secreto de los Estados Unidos. Este caso està siendo procesado por el gobierno ante el Fiscal Federal Auxiliar Carroll L. Andre III.
Version en Inglés
Eufaula Man Sentenced to 25 Months for CounterfeitingRead the Press Release
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced today that RICKY ELLIS LAMB, age 33, of Eufaula, Oklahoma, was sentenced to 25 months imprisonment, followed by supervised release for Possession and Uttering a Counterfeit Security, in violation of Title 18, United States Code, Section 513(a).
Charges arose from an investigation by the United States Secret Service. The defendant was indicted in June, 2014 and pled guilty in September, 2014.
The Indictment alleged that on or about June 20, 2012 in the Eastern District of Oklahoma, RICKY ELLIS LAMB, defendant herein, knowingly possessed, uttered and caused to be uttered counterfeit securities, to wit: Counterfeit check # 6410 on a closed account, made payable to Staples in the amount of $665.58, and drawn on Weokie Credit Union, an organization which operates in interstate commerce, with intent to deceive another.
The Honorable Ronald A. White, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing. The defendant will remain in the custody of the United States Marshal Service pending transportation to the designated federal facility at which he will serve his nonparolable sentence.
Assistant United States Attorney Melody Noble Nelson represented the United States.
Duquesne Heights Man Sentenced to Prison for Possessing Child PornographyRead the Press Release
PITTSBURGH – An Allegheny County resident has been sentenced in federal court to 32 months of imprisonment, to be followed by 10 years of supervised release, on his conviction of possession of material depicting the sexual exploitation of a minor, United States Attorney David J. Hickton announced today.
United States District Judge Terrence F. McVerry imposed the sentence on Michael Powers, 66, of Pittsburgh, Pa.
According to information presented to the court, on or about June 21, 2013, Powers knowingly possessed videos and images in computer graphic files, the production of which involved the use of minors engaging in sexually explicit conduct.
Assistant United States Attorney Jessica Lieber Smolar prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Federal Bureau of Investigation and the City of Pittsburgh Police Department for the investigation leading to the successful prosecution of Powers.
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.justice.gov/psc.
Dundalk Man Sentenced to 10 Years in Prison for Possession of Child PornographyRead the Press Release
Previously Convicted for Possession of Child Pornography in Anne Arundel County
Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Donald P. Blair, age 56, of Dundalk, Maryland, today to 10 years in prison followed by 10 years of supervised release for possession of child pornography. Judge Quarles ordered that upon his release from prison, Blair must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).The sentence 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); Colonel Marcus L. Brown, Superintendent of the Maryland State Police; and Baltimore County State’s Attorney Scott Shellenberger.
According to Blair’s plea agreement, in 2013, HSI New Orleans was investigating an email account that was sending and receiving child pornography. The investigation revealed that Donald Blair was sharing child pornography with the individual whose email account was being investigated. On July 8, 2013, a search warrant was executed at Blair’s home and law enforcement seized two hard drives and several flash drives, all of which contained images depicting minors engaged in sexually explicit conduct. In addition, Blair knowingly possessed 288 images of minors engaged in sexually explicit conduct on a desktop computer. In 2006, Blair was convicted for possession of child pornography in Anne Arundel County.
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.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended the HSI Baltimore, Maryland State Police and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the case.
Dona County Men Plead Guilty to Federal Methamphetamine Trafficking ChargesRead the Press Release
ALBUQUERQUE – Derek Cruz Rubalcava, 24, of Anthony, N.M., and Mark Jessie Rodriguez, 24, of Las Cruces, N.M., entered a guilty plea yesterday afternoon in Las Cruces federal court to methamphetamine trafficking charges. The guilty pleas were entered into pursuant to plea agreements with the U.S. Attorney’s Office.
Rubalcava and Rodriguez were arrested on a criminal complaint on July 25, 2014, in Doña Ana County, N.M. The two men subsequently were indicted on methamphetamine trafficking charges in a four-count indictment filed in Nov. 2014.
Count 1 of the indictment charged Rubalcava and Rodriguez with conspiracy to distribute methamphetamine in July 2014. Count 2 charged Rubalcava with distributing methamphetamine on July 24, 2014. Counts 3 and 4 each charged Rubalcava with possessing methamphetamine with intent to distribute on July 25, 2014. According to the indictment, the two men committed these crimes in Doña Ana County, N.M.During yesterday’s proceedings, Rubalcava pled guilty to a felony information charging him with possession of methamphetamine with intent to distribute. In entering his guilty plea, Rubalcava admitted selling approximately six ounces of methamphetamine to an undercover FBI agent for $4,600.00 on July 24, 2014. Rubalcava also admitted negotiating the sale of approximately eight ounces of methamphetamine to the same FBI agent for $6,400.00. He was arrested before the transaction was completed. At the time of his arrest, Rubalcava was in possession of a portion of the methamphetamine that he intended to sell to the FBI agent and the rest of the methamphetamine was seized from his residence pursuant to a search warrant.
Rodriguez also entered a guilty plea to a felony information charging him with possession of methamphetamine with intent to distribute. In his plea agreement, Rodriguez admitted supplying the methamphetamine that Rubalcava sold to the undercover agent on July 24, 2014. He also admitted supplying the methamphetamine seized from Rubalcava and from Rubalcava’s residence on July 25, 2014.
At sentencing, Rubalcava and Rodriguez each face a mandatory minimum of five years and a maximum of 40 years in federal prison followed by not less than four years of supervised release. The two men are in federal custody pending sentencing hearings which have yet to be scheduled.
This case was investigated by the Las Cruces office of the FBI and the Las Cruces/Doña Ana County Metro Narcotics Agency. The case is being prosecuted by Assistant U.S. Attorney Amanda Gould of the U.S. Attorney’s Las Cruces Branch Office.
District Man Pleads Guilty to Numerous Charges for Attacking Woman in Her HomeDefendant Forced Way into Apartment, Stabbed Victim, and Attempted to Rape HerRead the Press Release
WASHINGTON – Demarco Myles, 21, of Washington, D.C., pled guilty today to numerous charges, including assault with intent to kill while armed, attempted first-degree sexual abuse while armed, and mayhem while armed, stemming from an attack in 2012 in which he forced his way into a woman’s apartment, U.S. Attorney Ronald C. Machen Jr. announced.
Myles pled guilty to a total of 10 charges in the Superior Court of the District of Columbia. For one of the 10 offenses – attempted first-degree sexual abuse while armed - he entered what is known as an Alford plea. Under such a plea, the defendant does not admit the allegations, but agrees that the government has enough evidence to secure a conviction. He is to be sentenced on all 10 of the charges on April 24, 2015 by the Honorable Rhonda Reid Winston. He faces a statutory maximum sentence of 67½ years in prison.
According to the government’s evidence, in the early afternoon hours of Oct. 26, 2012, Myles gained entry to a secured apartment building in Northeast Washington. Once inside, he was able to take the elevator by riding with a tenant, who had a card-key to the elevator.
After getting off the elevator, Myles began knocking on doors. When he got to the victim’s apartment, she opened her door a crack to see who was knocking. Myles forced his way inside, knocking her to the floor. She began screaming, and Myles brandished a knife, held it to her throat, and ordered her to stop or he would kill her. He then forced the victim into her bathroom, where he attempted to rape her at knifepoint. Before he could, however, the victim fled into her bedroom and tried to shut herself inside a walk-in closet. Myles overpowered her, forcing his way into the closet, where he began stabbing, kicking and punching the victim.
By the time he finished, Myles had stabbed the victim more than 20 times, including in both eyes, her face and neck, and on her arms and legs. Myles left her lying on her floor, bleeding and unconscious, with life-threatening wounds. He then stole items from her apartment and left.
The victim, remarkably, regained consciousness, crawled across her floor to her phone and was able to call 911. The police and ambulance crew were able to get to the victim before she bled to death. She spent the next several weeks in a hospital, undergoing several surgeries, but survived. As a result of the wounds that Myles inflicted, the victim has had to undergo months of physical therapy and still suffers some limitations.
After the attack, the Metropolitan Police Department (MPD) posted footage from the apartment building’s security camera, trying to determine who committed this attack. Following up on investigative leads, MPD secured a search warrant for Myles’s home, where they recovered items that he stole from the victim’s apartment, as well as a pair of his pants that were covered in blood. DNA testing established that the blood on his pants belonged to the victim.
Myles has been in custody since his arrest on Nov. 3, 2012.
In announcing today’s plea, U.S. Attorney Machen praised the work of members of MPD’s Sexual Assault Unit, Criminal Investigations Unit, and Fifth District. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Jason Manuel, D’Yvonne Key and Joyce Arthur; Victim/Witness Advocate Melissa Milam; La June Thames and Katina Adams-Washington, of the Victim/Witness Assistance Unit; Information Technology Specialist Jeanie Latimore-Brown; Intelligence Specialist Sharon Johnson, and Criminal Investigators Steve Cohen and Durand Odom. He also commended the work of Assistant U.S. Attorneys Elizabeth Trosman, Chrisellen Kolb, and Elizabeth Danello of the Appellate Section, for assistance on legal issues, and Assistant U.S. Attorney Colleen Kennedy, for assistance on mental health-related issues. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Andrea Hertzfeld, John L. Hill and Peter V. Taylor, who investigated and prosecuted this case.
15-007Detroit man pleads guilty to heroin distributionRead the Press Release
Charleston, W.Va. – United States Attorney Booth Goodwin announced today that Terrell Montaie, 31, of Detroit, pleaded guilty to distribution of heroin, in a hearing before United States District Court Judge Thomas Johnston in Charleston.
Montaie admitted that on March 19, 2014, he sold a quantity of heroin to a Kanawha County Sheriff’s Department confidential informant in exchange for $80. The transaction occurred at a residents on Kay Lane in Charleston where Montaie was staying. He further admitted to possessing a handgun and additional heroin at the time of his arrest on March 26, 2014.
Montaie faces up to 20 years in federal prison and a fine of $1,000,000. He is scheduled to be sentenced on April 8, 2015.
The case was investigated by the Kanawha County Sheriff’s Department. Assistant United States Attorney John Frail handled the prosecution of this case.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of heroin and prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District.
Denver Man Sentenced for Conspiracy to Defraud the U.S. for Running an Illegal Gambling BusinessRead the Press Release
DENVER – Kerwin Dale Sande, age 60, of Denver, Colorado, was sentenced earlier this week by U.S. District Court Judge Raymond P. Moore to serve 15 months in federal prison for Conspiring to Own and Operate an Illegal Gambling Business and money laundering, the U.S. Attorney’s Office, Federal Bureau of Investigation, Colorado Bureau of Investigation and the IRS-Criminal Investigation announced. Following his prison sentence, Sande was ordered to serve 3 years on supervised release. As part of resolving his case, Sande agreed to the forfeiture of $2.0 million in cash and assets. Judge Moore ordered the defendant to report to a Bureau of Prisons facility once one is designated.
According to the Information and plea agreement, starting in the summer of 2006 and continuing through October of 2013, Sande operated a gambling business. He operated his business out of his home; he maintained his primary residence in the Denver Metropolitan area while also living at times in a secondary residence in Scottsdale, Arizona. He recruited, entertained and interacted with bettors at exclusive golf and country clubs; he maintained over a half-dozen memberships in such private clubs in various states including Colorado, Arizona, Oklahoma and California. His business focused primarily on sports bookmaking which included wagers on a variety of sporting events to include major league baseball games and golf, as well as professional and collegiate football, basketball and hockey.
Sande would assign a given bettor a credit limit within which the bettor was authorized to place bets and accepted bets through various means including on the telephone, through at least 5 or more "bet-takers", and over the internet using an off-shore internet betting website which he controlled (www.playfastsports.com). The website was housed and maintained through computer servers registered in Costa Rica.
Sande collected gambler's debts in a variety of ways including taking cash payments directly from bettors at golf clubs, private parties or other public locations. He also accepted checks from bettors which would commonly be made out to his company, KDS Enterprises., Inc., as well as collecting wire transfers. On occasions he received payment in the form of valuable coins, and, on one occasion, he accepted a motorcycle, in place of monetary payment. He paid bettors their winnings in cash but occasionally he would write checks and he would sometimes send cash payments directly to bettors using federal express in which he would conceal the cash in the sealed pages of a magazine. Sande drove and owned several high-end sports and luxury cars, a number of which contained built-in, hidden lock boxes which he utilized to transport and transfer large sums of bulk currency for his unlawful gambling operation.
“Defendant’s elaborate and extensive gambling enterprise was completely outside the law,” said U.S. Attorney John Walsh. “The sentence in this case is a warning and a reminder that unlicensed gambling – including sports bookmaking -- is a serious crime.”
“Yesterday’s sentencing is indicative of the success that can be attained when agencies combine resources to investigate illegal gambling operations,” said FBI Special Agent in Charge Thomas Ravenelle. “It takes joint investigations such as this one, which combined our state and federal resources, to investigate criminal organizations of this nature. The FBI is committed to continue working with our law enforcement partners and prosecutors to investigate and prosecute alleged organized criminal activity.”
“The scope of this illegal gambling and money laundering operation wasn’t isolated to Colorado; rather, this activity reached an international level and impacted numerous lives over a seven-year period,” said CBI Director Ron Sloan. “However, the dedication and investigative tenacity demonstrated by CBI agents and our local and federal partners ensured Mr. Sande will be held accountable for his actions.”
“IRS Criminal Investigation is experienced in unraveling complex financial transactions and money laundering schemes where individuals attempt to conceal the true source of their money," stated Stephen Boyd, Special Agent in Charge, IRS Criminal Investigation, Denver Field Office. “This sentence should serve as a deterrent to those who might contemplate similar fraudulent actions.”
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation with assistance from the Colorado Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Tim R. Neff.
Dallas Man Known as Baja Bandit Sentenced to 35 Years in Federal Prison for Committing Armed Robberies of Local Insurance BusinessesRead the Press Release
DALLAS — A Dallas man, who admitted committing the armed robberies of insurance companies in Dallas last year, received a lengthy federal prison sentence today, announced John Parker, Acting U.S. Attorney for the Northern District of Texas.
Michael Dewayne Cleveland, 31, was sentenced this morning by U.S. District Judge Ed Kinkeade to 420 months (35 years) in federal prison. Cleveland pleaded guilty in June 2014 to four of seven counts charged in an indictment returned by a federal grand jury in Dallas in December 2013. Specifically, Cleveland pleaded guilty to two count of interference with commerce by robbery and two counts of carrying or possessing a firearm during and in relation to a crime of violence.
According to plea documents filed in the case, Cleveland admitted entering a Baja Insurance company office in Dallas on September 3, 2013, approaching an employee with a gun drawn and demanding money. He admitted stating, “Tell me where it’s at or I’m gonna kill you.” The employee, in fear for her life, pointed to a desk drawer. Cleveland, later dubbed the “Baja Bandit,” took the money from the drawer and left the location.
Cleveland also admitted entering a State Farm Insurance company office in Dallas on September 18, 2013, pulling out a gun, pointing it at employees and demanding money. Two employees, in fear for their lives, complied with Cleveland’s demands. Cleveland took money and credit cards from the business and fled.
Baja Insurance lost money as a direct result of the robbery, temporarily closed its office and lost several employees who feared for their safety. The State Farm office also lost money as a direct result of the robbery, temporarily closed its office and the branch made less in overall monthly proceeds. The robberies had a direct effect on both company’s revenue and commerce.
The FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Dallas Police Department investigated the case. Assistant U.S. Attorney Taly Haffar prosecuted.
Conspirator Sentenced to over 2 Years in Prison in Residential Mortgage Fraud SchemeRead the Press Release
Conspirators Used Other Individuals’ Identities, False Income and Credit Information to Induce Lenders to Provide Home Mortgage Loans
Greenbelt, Maryland – U.S. District Judge George Jerrod Hazel sentenced Annika Boas, age 37, of Mount Rainier, Maryland, today to 27 months in prison followed by five years of supervised release for conspiracy, wire fraud and making a false statement on a loan application, arising from a residential mortgage fraud scheme.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Cary A. Rubenstein of the Housing and Urban Development Office of Inspector General - Office of Investigations; Deputy Inspector General for Investigations Rene Febles of the Federal Housing Finance Agency Office of Inspector General; Special Agent in Charge Kathy Michalko of the United States Secret Service – Washington Field Office; John L. Phillips, Assistant Inspector General for Investigations, U.S. Department of the Treasury - Office of Inspector General; and Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
According to the evidence presented at her four day trial, from March 2007 to November 2008, Boas conspired with real estate agent Edgar Tibakweitira, Ayoub Luziga with whom Boas was in a relationship, and others to fraudulently obtain residential mortgage loans by making false statements during the loan application and approval process. The conspirators used stolen or false identity information, false documents – including W-2 forms, earnings and banks statements – and false credit information to induce lenders to provide mortgage loans to straw purchasers, such as Boas and others recruited by Luziga and Tibakweitira. As part of the scheme, Tibakweitira inflated the sales price of the property by creating false documents for repairs and renovations that were never made. After the settlement, the conspirators divided up the cash received for the purported repairs.
Witnesses testified that the conspirators obtained the identity information of a least four individuals without their knowledge. Boas and other conspirators assumed the identities of these individuals and acted as straw buyers to obtain the loans used to purchase the properties. The evidence showed that Boas assumed the identity of one of the victims using a fraudulent North Carolina driver’s license with the victim’s name but Boas’ photo, to pose as the victim at the settlement for two properties.
As a result of the conspiracy, Boas caused $511,147.06 in losses to federally-insured financial institutions.
Co-conspirators Edgar Tibakweitira, a/k/a “Edgar Julian,” “Charles Edgar Tibakweitira,” and “Edgar Gaudious Tibakweitira,” age 46, of Severn, Maryland and Ayoub Luziga, age 35, of Bowie, Maryland, have pleaded guilty to their roles in the scheme. Luziga was sentenced to 21 months in prison and ordered to pay restitution of $999,762. Tibakweitira awaits sentencing.
Five other conspirators have also pleaded guilty to their roles in the scheme, including: Tibakweitira’s wife Flavia Makundi, age 42, of Severn; Mokorya Cosmas Wambura, age 41, of Takoma Park, Maryland; Raymond Abraham, age 47, of Silver Spring, Maryland; Cane Mwihava and Abdallah Suleiman Kitwara, both age 43, of Bowie. Wambura was sentenced to five years in prison and ordered to pay restitution of $434,867.65. Abraham was sentenced to 33 months in prison and ordered to pay restitution of $999,762. Kitwara was sentenced to 15 months and ordered to pay restitution of $290,954. Makundi was sentenced to time served. Mwihava is scheduled to be sentenced on March 23, 2015.
The Maryland Mortgage Fraud Task Force was established to unify the agencies that regulate and investigate mortgage fraud and promote the early detection, identification, prevention and prosecution of mortgage fraud schemes. This case, as well as other cases brought by members of the Task Force, demonstrates the commitment of law enforcement agencies to protect consumers from fraud and promote the integrity of the credit markets. Information about mortgage fraud prosecutions is available http://www.justice.gov/usao/md/priorities_financialfraud.html.
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 HUD-OIG, FHFA-OIG, Treasury OIG, U.S. Secret Service and HSI Baltimore for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Kristi N. O’Malley and Special Assistant U.S. Attorney Kevin Di Gregory, Investigative Counsel for the Federal Housing Finance Agency Inspector General, who prosecuted the case.
Collinsville Housewife Indicted for Triple Bank BurglaryRead the Press Release
Follow @SDILNewsA United States Grand Jury sitting in Benton returned an indictment against Easter Jimison, 37, of Collinsville, Illinois, charging her with three counts of Bank Burglary, Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today.
The offenses charged in the indictment allege that on November 7, 2014, Easter Jimison entered First Collinsville Bank in Caseyville, Illinois, and handed the teller a note which read “put the money in a bag. Act normal. Don’t look around.” The bank teller placed stacks of bills on the counter until Jimison said “that’s enough,” then she put the money inside of her coat and walked out the front door of the bank. As a result, the FCB Caseyville Branch suffered a loss of $4,621. On December 5, 2014, Jimison is charged with walking into the Bank of Edwardsville in Swansea, Illinois, and displaying a demand note to a bank teller which read “give me the money, this is not a joke.” The bank teller promptly gathered the money from her drawer and placed it on the counter. Jimison then stated that she was unable to go through with the robbery and began to apologize and make excuses stating that she needed the money for rent. On December 10, 2014, Jimison is alleged to have arrived at First Collinsville Bank in Maryville, Illinois in Madison County where she unfolded a note to the teller which stated “act normal” and “withdrawal.” The bank teller promptly complied with the demand note and handed Jimison $1,144.00. Jimison then left the bank taking the money and the demand note with her.
If convicted, Jimison faces a term in prison of up to 20 years on each count of Bank Burglary, and a $250,000 fine. The case was investigated by the Federal Bureau of Investigations, Caseyville Police Department, Maryville Police Department, with assistance from the Swansea Police Department. The case is being prosecuted by Special Assistant United States Attorney Michael Hallock.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
Clearwater Man Sentenced to More Than Nineteen Years in Federal Prison for Sex Trafficking a ChildRead the Press Release
Tampa, FL – United States District Judge Susan C. Bucklew today sentenced Gerald Eugene Mayham (41, Clearwater) to 19 years and 7 months in federal prison for sex trafficking a child. The Court also ordered him to serve a 10-year term of supervision upon his release and to register as a sex offender.
According to court documents, in June and July 2013, Mayham conspired with Joel Raymond Nauta to cause a 16-year-old girl to engage in prostitution. Mayham, who knew that the victim was a minor, arranged the sex acts by soliciting men at various locations in Clearwater and Dunedin. To get the victim to comply with the scheme, Mayham threatened her and provided her with drugs. Mayham received the money from the sex acts, some of which he used to purchase drugs.
On April 29, 2014, Nauta pleaded guilty to his role in the conspiracy. He is scheduled to be sentenced on February 4, 2015.
This case was investigated by the Federal Bureau of Investigation, the Clearwater Police Department, the Pinellas County Sheriff’s Office, and the Largo Police Department. It is being prosecuted by Assistant United States Attorneys Joseph W. Swanson and Simon A. Gaugush.
It is another case 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 United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to 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.projectsafechildhood.gov.
Cinco Hombres Se Declararon Culpables De Pagar Con Monedas De Estados Unidos Falsas A Personas Que Venden Articulos En CraigslistRead the Press Release
Memphis, TN - Deandre Wright, 24, Demetrius James, 20, Keartic Threatt, 20, Tauris White, 20, y Travis Raggs, 19, se declararon culpables de conspiración por fabricar y pasar moneda de Estados Unidos falsificadas a personas que venden artículos en Craigslist, anunciaron Edward L. Stanton III, Fiscal Federal para el Distrito Oeste de Tennessee.
Según las acusaciones y las declaraciones hechas en audiencia pública, a partir de principios de 2014, Wright y James comenzaron a fabricar billetes de la reserva federal falsificados. Una vez que se hacían los billetes, Wright, James, Threatt, White y Raggs comenzaron a atacar a las personas que venden artículos en Craigslist. El grupo dirigido específicamente a los individuos a vender PlayStations, consolas Xbox y teléfonos celulares. Una persona que vende su artículo sería contactado por uno de los acusados y un lugar de reunión estaría dispuesto donde se intercambia la mercancía por el dinero. Una vez que las partes se reúnen en el lugar designado y el intercambio se hace, la víctima notarà ràpidamente que el dinero era falso. Los acusados podrían mostrar una demostración de fuerza y luego huir ràpidamente del lugar. Los PlayStations y consolas Xbox se vendían por entre $200 y $400.
Basada en la investigación, aproximadamente 50 víctimas fueron defraudados por el grupo. Entre las víctimas había varios adolescentes y adultos, y muchos vivían en el condado de Shelby y las comunidades circundantes.
Los acusados se enfrentan a una pena màxima de hasta 20 años de prisión y una multa de hasta $250,000.
Esta investigación fue realizada por el Servicio Secreto de los Estados Unidos y el agente especial Michael Riddle. El Servicio Secreto està pidiendo a las víctimas que se contacten con su oficina si fueran víctimas de este esquema. Este caso està siendo procesado por el gobierno por el Fiscal Federal Auxiliar Kevin P. Whitmore.
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Calhoun City, MS, Man Sentenced to 84 Months for Methamphetamine DistributionRead the Press Release
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that BRANDON JEVAR PITTMAN, 32, of Calhoun City, Mississippi, was sentenced to 84 months imprisonment, followed by 4 years of supervised release for Possession with Intent to Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B) and Title 18, United States Code, Section 2.
The charge arose from an investigation by the Oklahoma Highway Patrol and the Drug Enforcement Administration. The defendant was indicted in June 2014 and pled guilty in August 2014.
The Indictment alleged that on or about March 6, 2014, within the Eastern District of Oklahoma, the defendant did knowingly possess with the intent to distribute 50 grams or more of a mixture or substance containing a detectable amount of Methamphetamine, a Schedule II Controlled Substance.
The Honorable James H. Payne, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing. The defendant will remaining in custody of the United States Marshal Service pending transportation to the designated federal facility at which time he will serve his sentence.
Assistant United States Attorney Kyle Waters represented the United States.
Buffalo Man Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Anthony Drayton, Jr., 38, of Buffalo, NY, who was convicted of possession with intent to distribute and distribution of crack cocaine, was sentenced to 108 months in prison by Chief U.S. District Judge William M. Skretny.Assistant U.S. Thomas S. Duszkiewicz, who handled the case, stated that between December 2010 and June 21, 2011, the defendant traveled from buffalo to Olean, NY to sell quantities of crack cocaine. On June 9 and June 21, 2011, Drayton sold crack cocaine to undercover police officers.
The sentencing is the culmination of an investigation by the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division, the Southern Tier Regional Drug Task Force, and the New York State Police, under the direction of Major Michael Cerretto.
Buffalo Man Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Rudell Jackson, 26, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute and to distribute 28 grams or more of crack cocaine, was sentenced to 60 months in prison by Chief U.S. District Judge William M. Skretny. The defendant was also ordered to pay restitution totaling $1,600.Assistant U.S. George C. Burgasser, who handled the case, stated that between August 2012 and March 27, 2013, the defendant conspired with others to distribute crack cocaine in the City of Buffalo. Jackson met his co-conspirators at various locations including the Big Bosch Food Market at Jefferson and Carlton Streets and the McDonald’s Restaurant at Bailey Avenue and Genesee Street. In addition, the defendant sold crack cocaine to an undercover officer on four occasions in September and October of 2012.
The sentencing is the culmination of an investigation by the Federal Bureau of Investigation, Safe Streets Task Force and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
Browning Man Sentenced to Prison for StrangulationRead the Press Release
(GREAT FALLS) A Browning man has been sentenced to prison following a guilty verdict in a September 2014 trial. Jordan James Lamott was sentenced to 32 months in prison followed by 3 years supervised release for strangling his girlfriend. This is the first case in the District of Montana that a defendant has been convicted at trial for strangulation in federal court since the inception of the statute. It is also one of the first such cases in the entire country.
On March 7, 2013, President Obama signed into law the reauthorization of the Violence Against Women Act (VAWA). This law contains provisions that significantly improve the safety of Native women and that importantly allow federal and tribal law enforcement agencies to hold more perpetrators of domestic violence accountable for their crimes. Many of these critical provisions were drawn from the U.S. Department of Justice’s July 2011 proposal for new Federal legislation to combat violence against native women.
The tribal provisions in VAWA address three significant legal gaps by: (1) recognizing certain tribes’ power to exercise concurrent criminal jurisdiction over domestic violence cases, regardless of whether the defendant is Indian or non-Indian; (2) clarifying that tribal courts have full civil jurisdiction to enforce protection orders involving any person, Indian or non-Indian; and (3) creating new federal statutes to address crimes of violence, such as strangulation, committed against a spouse or intimate partner and providing more robust federal sentences for certain acts of domestic violence in Indian country.
These steps have been taken, at least in part, because a recent Center for Disease Control and Prevention survey found that 46% of Native American women have experienced rape, physical violence, or stalking by an intimate partner in their lifetime.
Lamott was indicted on July of 2014 by a federal grand jury. At trial, Assistant U.S. Attorney Ryan G. Weldon presented evidence that Lamott’s girlfriend wore a skirt to impress him. Lamott became angry, and he strangled his girlfriend three times. The final time, Lamott’s girlfriend lost consciousness. In the morning, Lamott requested that his girlfriend have sex with him, and when she refused, he kicked her out of the house. When arriving at the hospital a few hours later, Lamott’s girlfriend explained that she had been strangled. Medical professionals testified that the bruising around the neck of Lamott’s girlfriend was consistent with strangulation.
Lamott was interviewed by federal agents. He claimed that he remembered everything on the night of the assault. When confronted with evidence that his girlfriend had strangulation marks on her neck, Lamott ultimately admitted that it was “possible” that he strangled his girlfriend.
U.S. Attorney Mike Cotter said the trial in this case represents the office’s dedication to working with reservations to ensure that Native American women and families are protected from domestic violence. “The strangulation statute and VAWA offers the U.S. Attorney’s Office a critical weapon to ensuring that domestic violence is dealt with swiftly and with harsh consequences. Victims of one episode of strangulation are six times more likely to be a victim of attempted homicide by the same partner. These same victims are seven times more likely to actually die at the hands of their loved ones. It is this type of violence that tears apart families, damages children, and can have lethal consequences. The ability to proceed to trial on strangulation cases has proven effective, and we are proud to be one of the first districts to ensure this statute is vigorously enforced.”
The investigation was conducted by the Bureau of Indian Affairs.Brookfield Man Indicted for Child PornographyRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Trenton, Mo., man was indicted by a federal grand jury today for attempting to produce child pornography.
Edward Allen Stieber, 46, of Brookfield, Mo., formerly of Trenton, was charged in a two-count indictment returned by a federal grand jury in Kansas City, Mo.
Today’s indictment alleges that Stieber attempted to use a minor, identified as “Jane Doe,” to produce child pornography on separate occasions between January 2009 and January 2011.
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 Assistant U.S. Attorney Teresa A. Moore. It was investigated by the Wyoming Internet Crimes Against Children Task Force and U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Project Safe Childhood
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." . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Bloomfield Man Sentenced to 4 Years in Federal Prison for Role in Three Armed Bank RobberiesRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that MICHAEL MORRIS, 60, of Bloomfield, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 48 months of imprisonment, followed by three years of supervised release, for committing violent bank robberies in Southbury, Cromwell and Wallingford.
According to court documents and statements made in court, MORRIS, Leroy McCoy and Keith Sutherland conspired to commit the armed robberies of the Naugatuck Savings Bank in Southbury on April 20, 2011, the Webster Bank in Cromwell on October 7, 2011, and the Connex Credit Union in Wallingford on April 19, 2012.
Prior to each robbery, Sutherland, with the knowledge of MORRIS and McCoy, stole a minivan in the New Haven area. Upon arriving at each victim bank, MORRIS, McCoy and two other individuals, wearing masks and armed with handguns, burst into the bank and ordered employees and customers to the ground. They then forced a bank employee to open the vault, stuffed money taken from the vault and teller drawers into duffle bags, exited the bank fled in the stolen vehicle.
A total of approximately $230,000 was taken during the three robberies.
MORRIS has been detained since his arrest on October 4, 2013. On September 24, 2014, he pleaded guilty to one count of conspiracy to commit armed bank robbery.
McCoy and Sutherland also pleaded guilty. On December 10, 2014, McCoy was sentenced to 54 months of imprisonment. Sutherland awaits sentencing.
This ongoing investigation is being conducted by the FBI, the Connecticut State Police, and the Cromwell, Wallingford, Fairfield and Orange Police Departments. The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
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[email protected]Bloods Gang Leader Sentenced in Howard County Racketeering ConspiracyRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Ryan Gladden, a/k/a "Fats," age 27, today to 92 months in prison followed by three years of supervised release for conspiring to participate in a racketeering conspiracy, in connection with the Bloods gang operating primarily out of Howard County, Maryland.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William P. McMullan of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Howard County Police Chief Gary L. Gardner; Baltimore Police Commissioner Anthony W. Batts; and Howard County State’s Attorney Dario Broccolino.
The defendant was identified as a member of the Bloods as the result of a long term investigation conducted by ATF and the Howard County Police Department. The Bloods, a national criminal street gang with members operating in and around Howard County, Maryland, committed violent acts within the gang to maintain discipline, and against rival gangs.According to his plea agreement, Gladden was a resident of Wilkes Barre, Pennsylvania who played football on a semi-professional team in Scranton, Pennsylvania. He formerly resided in Baltimore City and Randallstown, Maryland. Gladden has been a member of the Bloods gang since 2006. He became a leader of the “Swann” set, a sub-group of the Bloods, and knew of violent crimes committed, or being planned by gang members, using guns and other dangerous weapons. He was also involved in drug trafficking in Pennsylvania, including marijuana and prescription pain pills.
To date, 19 defendants have pleaded guilty to their roles in the racketeering and drug conspiracies. Michael Dominique Johnson, a/k/a "Ace", age 20, of Columbia, Maryland was sentenced to 205 months in prison, after admitting that he committed at least three armed robberies of individuals in which drugs, cash and/or other items were stolen; assaulted others; and sold crack cocaine, oxycodone and other drugs. Johnson also prostituted females, including a minor.
Kenneth Ragan-Armstrong, a/k/a "Keezy," age 23, of Savage and Laurel, Maryland, was sentenced to 193 months in prison after admitting that he founded “Cut Throat Committee,” or “CTC,” a gang whose members are associated with and/or members of the Bloods gang. Ragan-Armstrong committed at least two armed robberies of individuals in which drugs, cash and/or other items were stolen. During one of the robberies, a home invasion in Laurel, Maryland, he pistol whipped the victim on the head resulting in serious bodily injury. Ragan-Armstrong regularly sold drugs, primarily marijuana. During his two day sentencing hearing, witnesses also testified about Ragan-Armstrong’s participation in a sexual assault that occurred in December 2010 at an apartment in Catonsville, Maryland. The Court credited the evidence of the sexual assault when it imposed Ragan-Armstrong’s sentence.
Anthony Preston, a/k/a “40,” or “Tone,” age 27, of Laurel, Maryland, admitted to directing or participating in at least 4 assaults, including an April 20, 2013 assault of a former gang member with a knife and mace in a convenience store. Preston is seen on the store’s surveillance video hitting the girlfriend of the gang member in her face and attempting to spray her with mace. Bystanders, including a young child, were injured by the mace. Preston was later overheard by law enforcement admitting to the assault and stating that if he’d had his gun, he would have killed the man. Preston also was a leader in drug trafficking, selling drugs, including crack cocaine and oxycodone, as early as 2007. Preston, who was previously convicted of armed robbery and attempted armed robbery, has agreed to be sentenced to 20 years in prison at his sentencing scheduled on February 6, 2015.
Giovanni Wright, a/k/a "G," age 22, of Elkridge, Maryland, admitted that he and a co-defendant robbed a rival gang member at gunpoint. In January 2013, Wright fired a gun at a victim’s residence as he and another co-defendant drove by in a truck. Two bystanders were outside and their car was damaged in the shooting. Wright also sold firearms with and to fellow gang members who were prohibited from possessing the firearms. Wright has agreed to be sentenced to 18 years in prison at his sentencing scheduled for January 16, 2015.
Rouchell Chesson, a/k/a “Black,” age 31, of Washington, D.C., was sentenced on December 12, 2014 to 10 years in prison. , Chesson was a leader in the “Tree Top Piru” or “TTP” set of the Bloods gang who directed and participated in, or had knowledge of, robberies committed by fellow gang members, sold guns, and dealt heroin and prescription pills, to and with fellow gang members.Mr. Rosenstein commended the ATF, Howard County Police Department, Baltimore Police Department and Howard County State’s Attorney’s Office for their work in this investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorneys Rachel M. Yasser and Sandra Wilkinson, who prosecuted the case.
Bank Supervisor Sentenced to Prison for EmbezzlementRead the Press Release
The U.S. Attorney’s Office for the Middle District of Pennsylvania announced that Shelly Ann Kocher, 42, Lehighton, Pennsylvania was sentenced today by U.S. District Court Judge Richard P. Conaboy to 27 months imprisonment, ordered to pay $444,570.22 in restitution and serve three years supervised release for embezzling approximately $376,924.16 from customers’ accounts while she worked as a customer service supervisor at Jim Thorpe National Bank in Jim Thorpe, Pennsylvania. Kocher was ordered to surrender to the Bureau of Prisons on February 11, 2015 to commence serving her sentence.
According to U.S. Attorney Peter Smith, Kocher was employed by Jim Thorpe National Bank from 1999 until May 2013. Kocher embezzled the funds by making unauthorized withdrawals from customers’ CD and savings accounts between 2002 and 2013. Upon discovery of the activity, the bank reimbursed the victims for their losses.
The case was investigated by the Scranton office of the FBI and was prosecuted by Bruce Brandler, Chief of the Criminal Division.
Atlanta Man Pleads Guilty to Bank Fraud and Identity Theft ChargesRead the Press Release
RICHMOND, Va. – Damion Latoras Foster, 33, of Atlanta, Georgia, pleaded guilty today to charges of Conspiring to Commit Bank Fraud and Aggravated Identity Theft.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; Gary Barksdale, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; and Douglas F. Mease, Special Agent in Charge of the United States Secret Service’s Richmond Field Office, made the announcement after the plea was accepted by U.S. District Judge John A. Gibney.Foster was indicted by a federal grand jury on October 7, 2014. He faces a maximum penalty of 32 years in prison when he is sentenced on April 21, 2015. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:14-cr-28.
In a statement of facts filed with the plea agreement, Foster admitted that he was part of a group that stole business checks from commercial mailboxes and used them to make counterfeit checks. The group then recruited people from areas where the homeless or unemployed would congregate to cash the counterfeit checks. The check-cashers received a small sum of cash for cashing counterfeit checks made payable to them. The remaining proceeds went to the recruiters. Foster’s fingerprints were found on a laptop computer, stolen checks, and other items shipped from a Richmond FedEx store on February 6, 2014, the date co-defendants Brandon Jermaine Johnson and Devante Carson were arrested. Forensic analysis of the laptop computer revealed digital images of counterfeit checks created using stolen business checks as exemplars. Foster’s fingerprints were also found on counterfeit checks passed in Kansas City, Missouri and Sioux Falls, South Dakota. He was arrested at a hotel in Jacksonville, Florida on September 16, 2014, and found in possession of a computer, scanner, printer, check stock, and business checks apparently stolen from the U.S. Mail.
Five other co-defendants in this case pleaded guilty and have been sentenced to terms of incarceration as follows: Brandon Jermaine Johnson, 96 months, Jeffrey Keith Barnes, II, 7 ½ months; Devante Carson, 33 months; Christopher Eugene Pope, 15 months; and Kevin Lavon Smith, 9 months. Another co-defendant, Rasheeda McConnell, was convicted by a jury and sentenced to serve 60 months.
This case was part of Operation Homeless, a nationwide initiative being conducted by the U.S. Postal Inspection Service and U.S. Attorney’s Offices to aggressively prosecute groups that recruit the homeless and indigent to cash counterfeit checks. It was investigated by the United States Postal Inspection Service, United States Secret Service, Chesterfield County Police Department, and Henrico County Police Department as members of the Metro-Richmond Identity Theft Task Force. Prosecutions for the Task Force are handled by the United States Attorney’s Office and the Office of the Attorney General for the Commonwealth of Virginia. Virginia Assistant Attorney General and Special Assistant U.S. Attorney Charles A. Quagliato and Assistant U.S. Attorney Michael C. Moore are prosecuting the case on behalf of the United States.ANSUN BIOPHARMA to Pay More Than $2 Million for Overbilling the U.S.Read the Press Release
Local Biotech Company Doctored Timesheets on NIH ContractsUnited States Attorney for the Southern District of California Laura E. Duffy announced that a local biopharmaceutical company, Ansun Biopharma, Inc., entered into criminal and civil settlements with the Department of Justice that will require it to make approximately $2 million in payments to the United States. These settlements resolve a criminal and related civil investigation against Ansun for submitting false and fraudulent claims on grants and a contract with the National Institutes of Health (“NIH”).
Ansun Biopharma, Inc., formerly known as NexBio, Inc., is a biotechnology company headquartered in San Diego, California, that, from 2004 through 2011, had received several research grants and a contract from the NIH. Among these were a grant award for “Broad-Spectrum Therapeutics for Influenza,” a grant award for “Development of Fludase as an Anti-Influenza Agent,” and, in September 2006, a $50 million contract to develop a drug to combat influenza (the “Fludase Contract”). Fludase was an experimental antiviral drug for the treatment of influenza.
According to the settlements, Ansun’s former Chief Executive Officer, Mang Yu, directed its then-Vice President of Finance and Administration (who was responsible for the accounting department) Dongmei Wang, to fabricate timesheets for company employees to maximize billing on the NIH grants and the Fludase Contract.
The company admitted that in 2009, it created a time-keeping policy that required employees to accurately record the number of hours devoted to certain projects, including projects covered under the Fludase Contract and other NIH-funded grants. The policy also required employees to accurately record the number of hours attributed to overheard, General &Administrative, and other labor categories. Despite these time-keeping requirements instituted by NexBio, Yu directed accounting personnel to maximize reimbursements from NIH, regardless of the actual number of employee hours spent on the Fludase Contract or the other NIH-funded grants. In particular, Yu directed Wang to bill employee hours to the Fludase Contract, even if the project the employee was working on did not fall within the scope of the Fludase Contract.
The company also acknowledged that Yu informed Wang that NexBio should use the money authorized by the Fludase Contract whenever possible, in case NIH terminated the Fludase Contract before NexBio had used all the allotted funds. In addition, Yu told Wang to extend the funding available on the NIH grants for as long as possible because he needed access to the money from the grants to manage cash flow problems at the company.
To comply with Yu’s orders, Wang corrupted the integrity of the employee time-keeping system by fabricating timesheets for certain employees, altering the number of hours entered on certain timesheets and moving employee hours from one labor category to another, and from non-government projects to either the Fludase Contract or one of the NIH grants. The purpose and effect of these alterations was to obtain money from NIH, even if the work was not covered under the terms of the Fludase Contract or NIH grants.
For this conduct, occurring from the 2004 to 2011, a criminal information was filed today charging Ansun with a violation of Title 18, United States Code, Section 1031, executing a scheme to defraud the United States in a contract valued more than $1 million. As part of its settlement, Ansun has agreed to pay the NIH $1,654,600.00.
Separately, Ansun entered into a settlement agreement with the United States to resolve civil allegations that it violated the False Claims Act by submitting invoices that falsely stated the number and category of hours worked by employees in connection with several research grants and a contract funded by NIH. The fabricated invoices resulted in the submission of false claims from September 1, 2006, through June 30, 2011. Ansun agreed to settle the civil matter with a payment of $495,000 to the United States. The False Claims Act is the government’s primary civil remedy to redress false claims for government funds under government contracts and research grants.
Wang was previously charged and pled guilty to executing a scheme to defraud the United States in a contract valued more than $1 million, in violation of Title 18, United States Code, Section 1031. After Wang complied with the terms of a deferral agreement, that charge was dismissed in December 2014.
Yu was previously charged and pled guilty to interfering with officers of the Department of Health and Human Services, in violation of Title 42, Section 262(c), (e), and (f), and was sentenced to one year of probation in August 2014.
DEFENDANTS Case Number: 15CR0024-DMS ANSUN BIOPHARMA, INC. San Diego, CA Case Number: 14CR2352-AJB MANG YU Age 58 Rancho Santa Fe, CA Case Number: 13CR2056-MMA DONG MEI WANG Age 49 San Diego, CA CHARGESExecuting a Scheme to Defraud the United States, in violation of 18 U.S.C. § 1031.
Maximum Penalties for a corporation: 5 years’ probation, $5,000,000 fine or twice the gross gain or gross loss resulting from the offense, $400 special assessment, restitution.Interference with Officers of United States Department of Health and Human Services, in violation of 42 U.S.C. § 262
INVESTIGATING AGENCIES
Maximum Penalties: 1 year imprisonment, $100,000 fine, $25 special assessment, 5 years’ probation.Department of Health and Human Services, Office of the Inspector General
Federal Bureau of Investigation72 Year-old Defendant Sentenced to Prison for Fraud Scheme and Attempt to Hack into Bank’s Computer SystemRead the Press Release
TUCSON, Ariz. – On Jan. 5, 2015, U.S. District Court Judge James A. Soto sentenced Howard Dennis Barnes, age 72, to 72 months in federal prison. Barnes had previously pleaded guilty to charges of mail fraud and attempted fraud in connection with computers, both felonies.As part of his scheme, Barnes offered real property that he did not own for sale over the internet using Craigslist. In exchange for payment from an unsuspecting buyer, Barnes would impersonate the real owner of the property, forge a deed purporting to transfer the property to the buyer, and mail the fraudulent deed to the buyer. Barnes also forged a will that purported to transfer one of his victim’s estates to others who were not the valid heirs.
Barnes also attempted to steal confidential financial information from an entity that he believed was a bank. Barnes provided an undercover agent, posing as a bank employee, a thumb drive that contained a secret computer program or a Trojan that Barnes believed would be capable of allowing him to gain unauthorized access to the account holders of the bank’s computer system. Barnes admitted he committed such act so he could unlawfully obtain money from the bank’s customers without their knowledge.
The investigation in this case was conducted by the United States Secret Service, United States Postal Inspection Service, Bureau of Alcohol Tobacco, Firearms, and Explosives, and the Tucson Police Department. The prosecution was handled by the U.S. Attorney’s Office, District of Arizona, Tucson.
CASE NUMBER: CR-13-567-TUC-JAS (DTF)
RELEASE NUMBER: 2015-003_BarnesFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.***Media Advisory***Read the Press Release
ALBUQUERQUE – U.S. Attorney Damon P. Martinez and Chancellor Paul B. Roth, M.D., M.S., of the UNM Health Sciences Center will join Bernalillo County Commissioner Maggie Hart Stebbins to announce a new collaborative effort, the New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative, that will partner with the Bernalillo County’s Opioid Abuse Accountability Initiative to address New Mexico’s opioid crisis. The announcement will be made during Bernalillo County’s Second Opioid Abuse Accountability Summit on Thursday, Jan. 8, 2015.
WHO: U.S. Attorney Damon P. Martinez for the District of New Mexico Chancellor Paul B. Roth, M.D., M.S., UNM Health Sciences Center Bernalillo County Commissioner Maggie Hart Stebbins
WHAT: Announcement of partnership between HOPE Initiative and Bernalillo County Opioid Abuse Accountability Initiative
WHEN: Thursday, Jan. 8, 2015 from 8:00 a.m. to 5:00 p.m.
Commissioner Hart Stebbins to speak at 8:00 a.m.
U.S. Attorney Martinez and Chancellor Roth to speak at 9:15 a.m.
WHERE: Bernalillo County’s Second Opioid Abuse Accountability Summit
CNM Workforce Training Center
5600 Eagle Rock Ave. NE
Albuquerque, NM
OPEN PRESSNOTE: U.S. Attorney Martinez and Chancellor Roth will be available for interviews after the announcement. Reporters interested in interviewing the U.S. Attorney should contact Alyssa Ferda at (505) 224-1480 or (505) 366-1463. Reporters interested in interviewing Chancellor Roth should contact John Arnold at (505) 690-1680. Press inquiries regarding logistics also should be directed to Ms. Ferda.
Tuesday 6 January 2015
Youngstown Man Charged with Child ExploitationRead the Press Release
Stephen Fleischer, 29, of Youngstown, was charged last week with sexual exploitation of a child, transferring obscenity to a minor and transportation of a minor, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The Indictment charges that on or about April 1, 2014, through on or about May 30, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Fleischer attempted to persuade, induce, entice and coerce a minor, that is, a 14-year-old girl to engage in sexually explicit conduct, for the purpose of producing a visual depiction of such conduct, knowing and having reason to know that such visual depiction would be transported, using any means or facility of interstate and foreign commerce, and in and affecting interstate and foreign commerce.
The indictment also charges that on or about April 1, 2014, through on or about May 30, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Fleischer used a facility and means of interstate and foreign commerce, that is, a device connected to the Internet, to knowingly transfer obscene matter, that is, a visual depiction of his erect penis, to an individual who he knew had not attained the age of 16 years, that is, a fourteen 14-year-old girl.
The indictment also charges that on three separate occasions from on or about May 1, 2014, through on or about July 26, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Fleischer knowingly transported an individual who had not attained the age of 18 years, that is a 14 year-old girl, in interstate commerce from the State of Pennsylvania to the State of Ohio, with the intent that such 14 year-old girl engage in sexual activity for which Fleischer could be charged with a criminal offense.
If convicted, the sentence in this case will be determined by the court after consideration of the Federal Sentencing Guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant United States Attorney Michael A. Sullivan. The case was investigated by the Youngstown office of the Federal Bureau of Investigation and the Austintown Police Department.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Used Motor Vehicle Dealers Indicted for Odometer Tampering and Money LaunderingRead the Press Release
A Queens, New York, man and his Israeli brother were charged in indictments unsealed today in federal courts in Philadelphia and Brooklyn, New York, with offenses related to a long-running odometer tampering and money laundering scheme, the Justice Department and the U.S. Attorney’s Office for the Eastern District of New York announced.
Chaim Gali aka Mike Gali and John Triculy, 40, of Queens Village, New York, and Shmuel Gali aka Sam Gali, 42, of Israel, are charged in a 15-count indictment in the Eastern District of Pennsylvania (EDPA) with conspiracy, securities fraud and false odometer statements. The Galis are also charged in a related two-count indictment in the Eastern District of New York (EDNY) with mail and wire fraud conspiracy, and money laundering conspiracy. If convicted of the charges in the EDPA indictment, the defendants face a statutory maximum of five years in prison on the conspiracy charge; a statutory maximum of 10 years in prison for each securities fraud charge and up to three years in prison for each false odometer statement charge. If convicted of the charges in the EDNY indictment, they face a statutory maximum of 20 years in prison for each of the charges.
“Mileage is one of the most important factors in a consumer’s decision to purchase a used car,” said Acting Assistant Attorney General Joyce R. Branda for the Justice Department’s Civil Division. “Misrepresenting the mileage on a used car fraudulently induces a consumer to pay more money for less value, and it hides necessary information that will affect how a consumer maintains and repairs that vehicle.”
The indictments allege that the Galis devised a scheme to defraud buyers of used motor vehicles by misrepresenting the mileage of approximately 690 vehicles they sold beginning as early as 2006 and through at least 2011. The indictments charge that the Galis used fictitious dealer names to purchase high-mileage, used motor vehicles from a national vehicle leasing company. The defendants are charged with conspiring to alter the odometers in these vehicles, which they purchased in Florida, Maryland, Missouri and elsewhere, to reflect false lower mileages. The indictments allege that the Galis then fraudulently altered the motor vehicle titles to reflect the false lower mileages and as a result, the commonwealth of Pennsylvania issued motor vehicle titles reflecting the altered mileages.
The defendants subsequently sold the vehicles at wholesale automobile auctions in Pennsylvania and New Jersey using various dealerships, including Chase Auto Center and Conestoga City Autos. At the auctions, the Galis provided the buyers with Pennsylvania vehicle titles bearing the false lower mileages. The EDPA indictment alleges that in some instances, the title indicated mileage more than 100,000 miles less than the true mileage of the vehicle and as a result, the defendants received inflated sales prices for the vehicles they sold.
The defendants deposited the proceeds of the sales of the rolled-back vehicles into various bank accounts, mainly in Brooklyn. Among other things, the defendants then used this money to purchase additional used vehicles and continue their fraud scheme.
“As alleged, the defendants created an elaborate odometer tampering and money laundering scheme to con would-be buyers into purchasing used cars at inflated prices,” said U.S. Attorney Loretta E. Lynch for the EDNY. “They then used the proceeds of their crimes to continue their fraud against additional unsuspecting consumers. This case demonstrates our commitment to protect consumers from fraud.”
Acting Assistant Attorney General Branda and U.S. Attorney Lynch commended the investigative efforts of the Internal Revenue Service-Criminal Investigation and the U.S. Department of Transportation National Highway Traffic Safety Administration’s (NHTSA) Office of Odometer Fraud Investigation.
Chaim Gali was arrested today in New York. Shmuel Gali is in Israel and the government will seek his extradition.
The case is being prosecuted by Trial Attorney Kathryn Drenning and Senior Litigation Counsel Linda I. Marks of the Civil Division’s Consumer Protection Branch, and Assistant U.S. Attorney Catherine M. Mirabile of the Eastern District of New York.
NHTSA has established a special hotline to handle odometer fraud complaints. Individuals who have information relating to odometer tampering should call (800) 424-9393 or (202) 366-4761.
An update on the status of the case is available on the Consumer Protection Branch’s website. More information on odometer fraud is available on NHTSA’s website, and tips on detecting and avoiding odometer fraud are also available on the NHTSA website.
The charges in the indictments are merely allegations, and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Used Motor Vehicle Dealers Indicted for Odometer Tampering and Money LaunderingRead the Press Release
A Queens, New York, man and his Israeli brother were charged in indictments unsealed today in federal courts in Philadelphia and Brooklyn, New York, with offenses related to a long-running odometer tampering and money laundering scheme, the Justice Department and the U.S. Attorney’s Office for the Eastern District of New York announced.
Chaim Gali aka Mike Gali and John Triculy, 40, of Queens Village, New York, and Shmuel Gali aka Sam Gali, 42, of Israel, are charged in a 15-count indictment in the Eastern District of Pennsylvania (EDPA) with conspiracy, securities fraud and false odometer statements. The Galis are also charged in a related two-count indictment in the Eastern District of New York (EDNY) with mail and wire fraud conspiracy, and money laundering conspiracy. If convicted of the charges in the EDPA indictment, the defendants face a statutory maximum of five years in prison on the conspiracy charge; a statutory maximum of 10 years in prison for each securities fraud charge and up to three years in prison for each false odometer statement charge. If convicted of the charges in the EDNY indictment, they face a statutory maximum of 20 years in prison for each of the charges.
“Mileage is one of the most important factors in a consumer’s decision to purchase a used car,” said Acting Assistant Attorney General Joyce R. Branda for the Justice Department’s Civil Division. “Misrepresenting the mileage on a used car fraudulently induces a consumer to pay more money for less value, and it hides necessary information that will affect how a consumer maintains and repairs that vehicle.”
“As alleged, the defendants created an elaborate odometer tampering and money laundering scheme to con would-be buyers into purchasing used cars at inflated prices,” said U.S. Attorney Loretta E. Lynch for the EDNY. “They then used the proceeds of their crimes to continue their fraud against additional unsuspecting consumers. This case demonstrates our commitment to protect consumers from fraud.”
The indictments allege that the Galis devised a scheme to defraud buyers of used motor vehicles by misrepresenting the mileage of approximately 690 vehicles they sold beginning as early as 2006 and through at least 2011. The indictments charge that the Galis used fictitious dealer names to purchase high-mileage, used motor vehicles from a national vehicle leasing company. The defendants are charged with conspiring to alter the odometers in these vehicles, which they purchased in Florida, Maryland, Missouri and elsewhere, to reflect false lower mileages. The indictments allege that the Galis then fraudulently altered the motor vehicle titles to reflect the false lower mileages and as a result, the commonwealth of Pennsylvania issued motor vehicle titles reflecting the altered mileages.
The defendants subsequently sold the vehicles at wholesale automobile auctions in Pennsylvania and New Jersey using various dealerships, including Chase Auto Center and Conestoga City Autos. At the auctions, the Galis provided the buyers with Pennsylvania vehicle titles bearing the false lower mileages. The EDPA indictment alleges that in some instances, the title indicated mileage more than 100,000 miles less than the true mileage of the vehicle and as a result, the defendants received inflated sales prices for the vehicles they sold.
The defendants deposited the proceeds of the sales of the rolled-back vehicles into various bank accounts, mainly in Brooklyn. Among other things, the defendants then used this money to purchase additional used vehicles and continue their fraud scheme.
Acting Assistant Attorney General Branda and U.S. Attorney Lynch commended the investigative efforts of the Internal Revenue Service-Criminal Investigation and the U.S. Department of Transportation National Highway Traffic Safety Administration’s (NHTSA) Office of Odometer Fraud Investigation.
Chaim Gali was arrested today in New York, and his arraignment is scheduled for 2:00 pm this afternoon before U.S. Magistrate Judge Robert M. Levy at the federal courthouse in Brooklyn. Shmuel Gali is in Israel and the government will seek his extradition.
The case is being prosecuted by Trial Attorney Kathryn Drenning and Senior Litigation Counsel Linda I. Marks of the Civil Division’s Consumer Protection Branch, and Assistant U.S. Attorney Catherine M. Mirabile of the Eastern District of New York.
NHTSA has established a special hotline to handle odometer fraud complaints. Individuals who have information relating to odometer tampering should call (800) 424-9393 or (202) 366-4761.
An update on the status of the case is available on the Consumer Protection Branch’s website. More information on odometer fraud is available on NHTSA’s website, and tips on detecting and avoiding odometer fraud are also available on the NHTSA website.
The charges in the indictments are merely allegations, and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
United States Settles False Claims Act Allegations Against ImporterRead the Press Release
SAN FRANCISCO – Green Bag Co., Inc., an importer of reusable shopping bags located in San Francisco has agreed to pay $500,000 to settle allegations that it violated the civil False Claims Act by underpaying customs duties it owed, announced United States Attorney Melinda Haag and Brian J. Humphrey, U.S. Customs and Border Protection Director of Field Operations, San Francisco.
The United States alleges that, from July 2007 through October 2009, Green Bag underpaid customs duties on goods imported into the United States from China. Green Bag allegedly used two sets of invoices for each shipment: one true invoice that Green Bag paid, and a second invoice falsely stating a lower cost. The false invoices were allegedly used to calculate the customs duties that Green Bag paid on the imported goods, resulting in substantial underpayments.
“Companies that import goods into the United States must disclose the true costs of imports and pay all customs duties owed,” said U.S. Attorney Haag. “This office has a responsibility to make sure the system is fair to those companies that play by the rules and we will not hesitate to take action against those who so brazenly cheat. I commend the work of the Department of Homeland Security Office of Inspector General and the U.S. Customs and Border Protection.”
“U.S. Customs and Border Protection has direct responsibility for enhancing U.S. economic competitiveness by enforcing U.S trade laws on foreign manufactured goods entering our country. The men and women of CBP have an essential role in protecting American economic security while fostering legitimate trade and travel. Attempting to avoid Customs Duty brings serious consequences,” said Director of Field Operations Humphrey.
The settlement resolves a whistleblower lawsuit filed in the United States District Court for the Northern District of California. An executive who formerly worked at Green Bag filed the case pursuant to the qui tam provisions of the False Claims Act. Under those provisions, private citizens, known as “relators,” may file lawsuits on behalf of the United States and receive a portion of the proceeds of a settlement or judgment. The relator will receive $100,000 as his share of the government’s recovery.
Assistant U.S. Attorney Sara Winslow handled the matter on behalf of the U.S. Attorney’s Office for the Northern District of California, with assistance from Financial Fraud Investigator Michael Zehr and Legal Assistant Kathy Terry. The matter was investigated by the DHS Office of Inspector General.
U.S. Navy Commander Pleads Guilty in International Bribery ScandalRead the Press Release
Second U.S. Navy Officer Indicted on Related Bribery Charges
A commander in the U.S. Navy pleaded guilty to federal bribery charges today, admitting that he provided a government contractor with classified ship schedules and other internal U.S. Navy information in exchange for cash, travel and entertainment expenses, as well as the services of prostitutes. A second U.S. Navy officer was also indicted today on related bribery charges by a federal grand jury in the Southern District of California.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Laura E. Duffy of the Southern District of California, Director Andrew L. Traver of the Naval Criminal Investigative Service (NCIS) and Deputy Inspector General of Investigations James B. Burch of the Department of Defense, Defense Criminal Investigative Service (DCIS) made the announcement.
“Commander Sanchez sold out his command and country for cash bribes, luxury hotel rooms, and the services of prostitutes,” said Assistant Attorney General Caldwell. “After today’s guilty plea, instead of free stays at the Shangri-La hotel, Sanchez is facing many nights in federal prison. The Department of Justice’s Criminal Division is committed to prosecuting those who abuse positions of public trust for personal enrichment at the expense of national security and the American taxpayers.”
“During the course of the investigation into this criminal enterprise, investigators have compiled voluminous evidence identifying multiple persons of interest, generating numerous leads, and establishing and corroborating connections,” said Director Traver. “NCIS and our law enforcement partners are committed to seeing this massive fraud and bribery investigation through to its conclusion, so that those responsible are held accountable.”
“This outcome yet again sends the message that corruption will be vigorously investigated and prosecuted,” said Deputy Inspector General of Investigations Burch. “This is an unfortunate example of dishonorable Naval officers who recklessly risked the safety of our troops by trading classified information for cash, extravagant gifts and prostitutes. Cases such as these are not motivated by need or other difficult personal circumstances; they are the product of simple greed. This investigation should serve as a warning that those who compromise the integrity of the United States will face their day of reckoning. DCIS and our law enforcement partners will pursue these crimes relentlessly.”
Jose Luis Sanchez, 42, an active duty U.S. Navy Officer stationed in San Diego, California, is one of seven defendants charged – and the fifth to plead guilty – in the corruption probe involving Glenn Defense Marine Asia (GDMA), a defense contractor based in Singapore that serviced U.S. Navy ships and submarines throughout the Pacific. Sanchez pleaded guilty to bribery and bribery conspiracy before U.S. Magistrate Judge David H. Bartick of the Southern District of California. A sentencing hearing was scheduled for March 27, 2015, before U.S. District Judge Janis L. Sammartino.
According to his plea agreement, from April 2008 to April 2013, Sanchez held various logistical positions with the U.S. Navy’s Seventh Fleet in Asia. Sanchez admitted that, beginning in September 2009, he entered into a bribery scheme with Leonard Glenn Francis, the CEO of GDMA, in which Sanchez provided classified U.S. Navy ship schedules and other sensitive U.S. Navy information to Francis and used his position and influence within the U.S. Navy to benefit GDMA. In return, Francis gave him things of value such as cash, travel and entertainment expenses, and the services of prostitutes. Sanchez admitted that this bribery scheme continued until September 2013. Francis was charged in a complaint unsealed on Nov. 6, 2013, with conspiring to commit bribery; that charge remains pending.
In his plea agreement, Sanchez admitted to seven specific instances in which he provided Francis with classified U.S. Navy ship and submarine schedules. He also admitted using his position and influence with the U.S. Navy to benefit GDMA and Francis on various occasions. Further, Sanchez admitted that he tipped Francis off about investigations into GDMA overbillings and briefed Francis on internal U.S. Navy deliberations.
Sanchez further admitted that, in exchange for this information, Francis provided him with cash, entertainment and stays at high-end hotels. For example, in May 2012, Francis paid for Sanchez to stay five nights at the Shangri-La, a luxury hotel in Singapore, and, two months later, Francis paid for Sanchez’s travel from Asia to the United States, at a cost of over $7,500. Additionally, Francis arranged and paid for the services of prostitutes for Sanchez while Sanchez was in Singapore and elsewhere in Asia.
In addition to Sanchez, two other U.S. Navy officials – former NCIS Special Agent John Beliveau and Petty Officer First Class Dan Layug – have pleaded guilty in connection with this investigation.Two former GDMA executives, Alex Wisidagama and Edmond Aruffo, have likewise pleaded guilty.
Also today, an indictment was returned against U.S. Navy Captain-Select Michael Vannak Khem Misiewicz, 47, of San Diego, California, charging him with a bribery conspiracy and seven counts of bribery. According to allegations in the indictment, from at least as early as July 2011 until September 2013, Misiewicz provided classified U.S. Navy ship schedules and other sensitive U.S. Navy information to Francis and used his position and influence within the U.S. Navy to benefit GDMA. In return Francis allegedly gave him things of value such as cash, travel and entertainment expenses, and the services of prostitutes.
The charges contained in a criminal complaint and indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
The ongoing investigation is being conducted by NCIS, DCIS and the Defense Contract Audit Agency. The case is being prosecuted by Director of Procurement Fraud Catherine Votaw and Trial Attorney Brian R. Young of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Mark W. Pletcher and Robert S. Huie of the Southern District of California.
Those with information relating to fraud, corruption or waste in government contracting should contact the NCIS anonymous tip line at www.ncis.navy.mil or the DOD Hotline at www.dodig.mil/hotline, or call (800) 424-9098.
U.S. Attorney's Office Collects a Third of a Billion Dollars in 2014Read the Press Release
U.S. Attorney Steven M. Dettelbach announced that the Northern District of Ohio collected a record $356.7 million in Fiscal Year 2014 from criminal and civil actions handled exclusively or substantially by the United States Attorney’s Office for the Northern District of Ohio, more than 20 times the office’s annual budget.
The office’s total overall budget for the fiscal year was about $16.6 million.
Additionally, the office took in about $11.4 million in civil and criminal forfeitures.
“The work of this office and our partners not only recovers hundreds of millions of taxpayer dollars – it helps make crime victims whole, it punishes those who lie and cheat to enrich themselves and it hits criminals and scammers where it can hurt the most, right in the wallet,” Dettelbach said. “It is worth noting that the money collected by this office last year was 20 times more than our annual budget.”
Attorney General Eric Holder said: “Every day, the Justice Department’s federal prosecutors and trial attorneys work hard to protect our citizens, to safeguard precious taxpayer resources, and to provide a valuable return on investment to the American people. Their diligent efforts are enabling us to achieve justice and recoup losses in virtually every sector of the U.S. economy. And it shows the fruits of the Justice Department’s tireless work in enforcing federal laws; in protecting the American people from violent crime, national security threats, discrimination, exploitation, and abuse; and in holding financial institutions accountable for their roles in causing the 2008 financial crisis.”
The money collected is used to compensate crime victims, is distributed to state and local law enforcement partners who participate in investigations and is returned to federal agencies for losses sustained by their programs, including the Medicare and Medicaid programs, and to the general treasury. Among the largest collections this year:
U.S. Bank: U.S. Bank paid $200 million to resolve civil allegations that it violated the False Claims Act by knowingly originating and underwriting mortgage loans insured by the Federal Housing Administration (FHA) that did not meet applicable requirements. As part of the settlement, U.S. Bank admitted that, from 2006 through 2011, it repeatedly certified for FHA insurance mortgage loans that did not meet U.S. Department of Housing and Urban Development underwriting requirements. U.S. Bank also admitted that its quality control program did not meet FHA requirements, and as a result, it failed to identify deficiencies in many of the loans it had certified for FHA insurance, failed to self-report many deficient loans to HUD, and failed to take corrective action required under the program. U.S. Bank further acknowledged that its conduct caused FHA to insure thousands of loans that were not eligible for insurance and that the FHA suffered substantial losses when it later paid insurance claims on those loans.
United States v. Diebold Inc.: Diebold Inc., the Ohio-based provider of integrated self-service delivery and security systems, including automated teller machines, paid a $25.2 million criminal penalty to resolve allegations that it violated the Foreign Corrupt Practices Act by bribing government officials in China and Indonesia and falsifying records in Russia in order to obtain and retain contracts to provide ATMs to state-owned and private banks in those countries.
United States, ex. rel. Gale v. Omnicare Inc.: Omnicare Inc., the nation’s largest provider of pharmaceuticals and pharmacy services to nursing homes, paid $124 million for allegedly offering improper financial incentives to skilled nursing facilities in return for their continued selection of Omnicare to supply drugs to elderly Medicare and Medicaid beneficiaries. Approximately $116 million of the settlement resolved allegations in a lawsuit brought under the whistleblower provisions of the False Claims Act that Omnicare submitted false claims by entering into below-cost contracts to supply prescription medication and other pharmaceutical drugs to skilled nursing facilities and their resident patients to induce the facilities to select Omnicare as their pharmacy provider.
Attorney General Holder announced that across the country, the Justice Department collected $24.7 billion in civil and criminal actions in the fiscal year 2014. The more than $24 billion in collections in FY 2014 represents nearly eight and a half times the appropriated $2.91 billion budget for the 94 U.S. Attorneys’ offices and the main litigating divisions of the Justice Department combined in that same period.The amount is more than three times the $8 billion collected in FY 2013. The largest civil collections were from affirmative civil enforcement cases, many of which were brought under the whistleblower provisions of the False Claims Act, in which the United States recovered government money lost to fraud or other misconduct or collected from individuals and/or corporations for violations of federal health, safety, civil rights, tax, or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Department of Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
The U.S. Attorneys’ Offices, along with the Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the Department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.Below is a complete breakdown of collections in the Northern District of Ohio over the past decade:
2013: $23.9 million
2012: $79.7 million
2011: $48.6 million
2010: $42 million
2009: $17.7 million
2008: $36.7 million
2007: $63.5 million
2006: $80 million
2005: $51.4 million
2004: $22.3 million
Two indicted on child pornography chargesRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistCLARKSBURG, WEST VIRGINIA – A federal grand jury indicted two West Virginia residents today on child pornography charges, United States Attorney William J. Ihlenfeld, II, announced.
Terry V. Austin, Sr., 50, of Grafton, West Virginia, was allegedly discovered in possession of multiple images and videos of child pornography during a West Virginia State Police investigation. He is charged with one count of “Receipt and Distribution of Child Pornography,” for which he faces between five and twenty years in prison and a fine of up to $250,000.00. He is further charged with one count of “Possession of Child Pornography,” for which he faces up to ten years in prison and a fine of up to $250,000.00.
Additionally, convicted sex offender Daniel Frohnhofer, 43, of Morgantown, West Virginia, was allegedly discovered in possession of child pornography and a firearm during an investigation by the West Virginia State Police Internet Crimes Against Children Task Force and the Bureau of Alcohol, Tobacco, Firearms and Explosives. He is charged with one count of “Possession of Child Pornography,” for which he faces up to 20 years in prison and a fine of up to $250,000.00. He is further charged with one count of “Felon in Possession of a Firearm,” for which he faces up to ten years in prison and a fine of up to $250,000.00.
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 defendants.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.Two Fairmont, WV residents convicted for role in manufacturing methamphetamineRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistCLARKSBURG, WEST VIRGINIA – Daniel Carl Ash, 32, and Amanda Isolde Eiseman, 25, both of Fairmont, West Virginia, were convicted in federal court for their role in manufacturing methamphetamine, United States Attorney William J. Ihlenfeld, II, announced today.
An investigation by the Three Rivers Drug Task Force revealed that Eiseman and Ash both repeatedly purchased pseudoephedrine, commonly used in the production of methamphetamine, throughout 2014.
Ash and Eiseman both pled guilty to one count of “Possession of Pseudoephedrine to be used in the Manufacture of Methamphetamine.” They each face up to 20 years in prison and a fine of up to $250,000.00.
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 defendants.
Assistant U.S. Attorney Shawn Morgan is prosecuting the cases on behalf of the government.
U.S. Magistrate Judge John S. Kaull presided .Texas Man Indicted on Child Pornography ChargesRead the Press Release
Samuel E. Condo, Jr., 32, of Arlington, Texas, was charged last week with enticement, distributing and transporting visual depictions of minors engaged in sexually explicit conduct, transferring obscenity to a minor and travel with intent to engage in illicit sexual conduct, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The indictment charges that from on or about October 20, 2014, through on or about October 24, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Condo knowingly used facilities and means of interstate and foreign commerce, that is, a cell phone and a computer connected to the Internet, to attempt to persuade, induce, entice and coerce an individual who had not attained the age of 18 years, that is, a 13-year-old girl to engage in illegal sexual activity with him.
The indictment also charges that on or about October 21, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Condo knowingly distributed in interstate and foreign commerce, numerous computer files, which files contained visual depictions of real minors engaged in sexually explicit conduct.
The indictment also charges that on or about October 22, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Condo used a facility and means of interstate and foreign commerce, that is, a device connected to the Internet, to knowingly transfer obscene matter, that is, a video file containing a visual depiction of himself masturbating, to an individual who he believed had not attained the age of 16 years, that is, a law enforcement officer posing as a 13-year-old girl.
The indictment also charges that on or about October 24, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Condo knowingly transported, using any means of interstate and foreign commerce and in and affecting interstate and foreign commerce, numerous computer files, which files contained visual depictions of real minors engaged in sexually explicit conduct. The indictment also charges that on or about October 24, 2014, in the Northern District of Ohio, Eastern Division, and elsewhere, Condo knowingly traveled in interstate commerce, from the State of Texas to the State of Ohio, for the purpose of engaging in illicit sexual conduct with another person, that is, a 13-year-old girl.
If convicted, the sentence in this case will be determined by the court after consideration of the Federal Sentencing Guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant United States Attorney Michael A. Sullivan. The case was investigated by the Ohio Internet Crimes Against Children Task Force and the United States Secret Service.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Texans Sentenced for Kidnapping Arkansas ManRead the Press Release
MONROE, La. – United States Attorney Stephanie A. Finley announced that two Texans were sentenced on Monday to 150 months in prison for kidnapping an Arkansas man and lying to FBI special agents.
Aldo Cantu, 21, and Anthony Segura, 22, both of Lufkin, Texas, were sentenced by U.S. District Judge Robert G. James for one count of kidnapping and one count of lying to an FBI special agent. They were also sentenced to five years of supervised release.
According to evidence presented at the guilty plea hearings, the victim was taken by the defendants with the intent to drive him to Texas at gunpoint from his home in Pine Bluff, Ark., on November 16, 2014. The defendants drove the victim to a motel room in Pine Bluff. Thereafter, Cantu and Segura placed the victim in a car. The victim escaped and reported his kidnapping when the car stopped at a service station in Lake Providence, La. East Carroll Parish Sheriff’s deputies responded. Cantu and Segura were arrested and two firearms used during the kidnapping were seized. Each defendant was interviewed by FBI special agents and lied by saying they had not traveled to Arkansas that night and did not participate in the kidnapping.
“These defendants put the life of the victim in danger and lied to federal agents about their involvement,” Finley stated. “Taking someone against their will at gunpoint is a crime that is prosecutable and has serious consequences. We will continue to prosecute those who ignore the rights of others and lie to agents who are trying to enforce the law. ”
The FBI conducted this investigation with the assistance from the East Carroll Parish Sheriff’s Office. Assistant U.S. Attorney Robert W. Gillespie Jr. prosecuted the case as part of Project Safe Neighborhoods, a nationwide Department of Justice initiative designed to reduce firearm crimes by removing dangerous and persistent felons from the community and promote firearm safety.
Tallhassee Man Charged with using a Minor to Produce Child PornographyRead the Press Release
TALLAHASSEE, FLORIDA – On January 6, 2015, a federal grand jury returned an indictment against Jonathan Harry Lee Williams of Tallahassee, Florida, charging him with using a minor to produce child pornography and possession of child pornography. Williams, a Leon County School District employee, who worked in the office at Ruediger Elementary School, was arrested on December 11, 2014, after agents with the Federal Bureau of Investigation executed a search warrant at his residence. The indictment was announced today by Pamela C. Marsh, United States Attorney for the Northern District of Florida.
The indictment alleges that between April 1 and December 10, 2014, Williams knowingly used a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction. The indictment also alleges that on or about December 11, 2014, Williams knowingly possessed material that contained images of child pornography.
The indictment results from an investigation by the Federal Bureau of Investigation. The case will be prosecuted by Assistant United States Attorney Jason Beaton.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial in a court of law.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. The office strives to protect and serve the citizens of the Northern District of Florida through the ethical, vigorous, and impartial enforcement of the laws of the United States, to defend the national security, to improve the safety and quality of life in our communities through the protection of civil rights, and to protect the public funds and financial assets of the United States. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.