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Tuesday 23 December 2014
Fort Campbell, Kentucky, Resident Charged with Felony Murder Resulting from Child AbuseRead the Press Release
PADUCAH, Ky. – A Fort Campbell, Kentucky, woman remains in federal custody today charged with felony murder related to the death of an infant, announced Acting U.S. Attorney John E. Kuhn, Jr.
Sheilla E. Linares, was indicted by a federal grand jury on December 18, 2014. Linares was specifically charged with unlawfully killing an infant, T.R.C., Jr., committed in the perpetration of child abuse.
The incident occurred December 3, 2013, in the Linares home on the Fort Campbell military base. Linares was providing child care for T.R.C., Jr., who died four days later on December 7, 2013.
The Federal Bureau of Investigation arrested Linares on Friday, December 19, 2014, and her arraignment was held the same day before United States Magistrate Judge Lanny King. A detention hearing was held today before Judge King and was continued without a decision on bond. Until further order of the court, Linares will remain in the custody of the United States Marshals Service.
If convicted at trial, Linares faces a sentence of life in prison and a $250,000 fine.
This case is being prosecuted by Assistant United States Attorney Jo E. Lawless and is being investigated by the Federal Bureau of Investigation with assistance from the United States Army Criminal Investigation Division, and the Clarksville Tennessee Police Department.
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The indictment of a person by a Grand Jury is an accusation only and that person is presumed innocent until and unless proven guilty.
Former Talbot County Attorney Pleads Guilty to Real Estate Investment Fraud Scheme Wwth over $768,000 in LossesRead the Press Release
Baltimore, Maryland –Aaron G. Seltzer, age 38, of Trappe, Maryland, pleaded guilty today to wire fraud in connection with a scheme in which he converted funds intended for real estate investments to his personal use.The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.
According to his plea agreement and court documents, Seltzer was a licensed Maryland attorney who handled real estate transactions and maintained an office in Crofton, Maryland. From January 2008, through 2010, Seltzer offered victims fraudulent investment opportunities then diverted the money intended for the investments for his own benefit. Seltzer obtained a total of $768,242 through seven fraudulent transactions. As part of his plea agreement, Seltzer is required to pay restitution in that amount.
For example, Seltzer offered to sell an investor 45% of an Anne Arundel County real estate company, claiming that he owned 100% of the stock, assets and liabilities of the company, when in fact, he did not. The investor sent a total of $92,000 to Seltzer, which Seltzer used for his own benefit. During the summer of 2009, Seltzer contacted a lawyer in New York and represented that a client of Seltzer’s was seeking a business loan. Seltzer proposed that the loan be secured by a mortgage on three commercial properties located in Virginia, purportedly owned by Seltzer’s client. The New York attorney assembled a group of investors to fund the loan. Seltzer presented the attorney with a fraudulent promissory note, which Seltzer falsely claimed was signed by a representative of his client. Seltzer further falsely represented that he had conducted the closing for the loan and presented the attorney with fabricated closing documents. On behalf of the investors, the attorney wired Seltzer $497,527 to fund the loan, which Seltzer diverted to his own benefit.
Seltzer was investigated by the Maryland Attorney Grievance Commission for his conduct in the scheme and was subsequently disbarred.
Seltzer faces a maximum sentence of 20 years in prison for wire fraud. U.S. District Judge J. Frederick Motz has scheduled Seltzer’s sentencing for April 10, 2015, at 10:00 a.m.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein praised HSI Baltimore, and the FBI and for their work in the investigation and recognized the Maryland Attorney Grievance Commission and Bar Counsel Glenn Grossman for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorney Leo J. Wise, who is prosecuting the case.
Former FBI Special Agent Pleads Guilty to Bribery SchemeRead the Press Release
A former FBI special agent pleaded guilty today to bribery charges, admitting that he provided internal law enforcement documents and other confidential information about a prominent citizen of Bangladesh for use by a political rival in exchange for cash.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Preet Bharara of the Southern District of New York and Justice Department Inspector General Michael E. Horowitz made the announcement.
“Robert Lustyik discarded the FBI’s principles of ‘fidelity, bravery, and integrity,’ and sold his badge to the highest bidder,” said Assistant Attorney General Caldwell. “Greed has no place in public service or law enforcement. The Department of Justice will root out corruption wherever it takes hold, and hold accountable those who abuse the public’s trust for personal gain.”
“Robert Lustyik today admitted to conducting a bribery scheme in which, for his own personal gain, he secretly sold information and documents to which he had access as an FBI agent,” said U.S. Attorney Bharara. “Lustyik betrayed our system of justice: he breached not only the law, but also his sworn oath, and the great trust and confidence placed in him by citizens and colleagues. For his criminal conduct he now faces, as he must, serious, commensurate penalties.”
“The Department of Justice Office of the Inspector General is committed to working with our law enforcement partners to identify, investigate, and bring to justice all DOJ employees who engage misconduct,” said Inspector General Horowitz.
Robert Lustyik, 52, of Westchester County, New York, pleaded guilty to all five counts in the indictment against him, including conspiracy to engage in a bribery scheme, soliciting bribes by a public official, conspiracy to defraud the citizens of the United States and the FBI, theft of government property, and unauthorized disclosure of a Suspicious Activity Report. Lustyik is scheduled to be sentenced by U.S. District Court Judge Vincent L. Briccetti of the Southern District of New York on April 30, 2015.
According to the complaint, indictment, court hearings, and today’s plea proceeding, Lustyik was an FBI special agent who worked on the counterintelligence squad in the White Plains Resident Agency. Johannes Thaler was Lustyik’s friend, and Rizve Ahmed, aka, “Caesar,” was an acquaintance of Thaler. From September 2011 through March 2012, Lustyik, Thaler and Ahmed engaged in a bribery scheme. As part of the scheme, Lustyik and Thaler solicited payments from Ahmed, in exchange for Lustyik’s agreement to provide internal, confidential documents and other confidential information to which Lustyik had access by virtue of his position as an FBI special agent. The documents and information pertained to a prominent citizen of Bangladesh (Individual 1), who Ahmed perceived as a political rival. Ahmed sought, among other things, to obtain information about Individual 1, to locate and harm Individual 1 and others associated with Individual 1.
As part of the scheme, Lustyik and Thaler exchanged text messages, including messages about how to pressure Ahmed to pay them additional money in exchange for confidential information. For example, in text messages, Lustyik told Thaler, “we need to push [Ahmed] for this meeting and get that 40 gs quick . . . . I will talk us into getting the cash . . . . I will work my magic . . . . We r sooooooo close.” Thaler responded, “I know. It’s all right there in front of us. Pretty soon we’ll be having lunch in our oceanfront restaurant . . . .”
As another example, in late January 2012, Lustyik, upon learning that Ahmed was considering using a different source to obtain confidential information about Individual 1, sent a text message to Thaler stating, “I want to kill C . . . . I hung my ass out the window n we got nothing? . . . . Tell [Ahmed], I’ve got [Individual 1’s] number and I’m pissed. . . . I will put a wire on n get [Ahmed and his associates] to admit they want [a Bangladeshi political figure] offed n we sell it to Individual 1].” Lustyik further stated, “So bottom line. I need ten gs asap. We gotta squeeze C.”
Thaler and Ahmed previously pleaded guilty to bribery and conspiracy to commit fraud, and are scheduled to be sentenced on Jan. 23, 2015.
The case was investigated by the Department of Justice Office of the Inspector General, and prosecuted by Trial Attorney Emily Rae Woods of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Benjamin Allee of the Southern District of New York.
Former Daycare Provider Arrested for Making False Statements During Child Exploitation InvestigationRead the Press Release
BOSTON - A Worcester woman was charged in federal court in Worcester today with lying to federal agents investigating child exploitation offenses which occurred at her home daycare.
Donna Belanger, 49, was charged with making false statements to the FBI about her son’s prior sexual assaults against children and about whether her son had been allowed unsupervised contact with the children in her home daycare center.
According to the criminal complaint affidavit, in February of this year FBI and Worcester Police executed a federal search warrant at the home of Donna Belanger, in connection with the arrest of her son, Brian Belanger, on charges of producing child pornography. During the execution of that warrant, the FBI interviewed Donna Belanger about her knowledge of her son’s prior sexual assaults against children and whether her son had been allowed unsupervised contact with the children in her home day care.
While Donna admitted that her daycare had been shut down in June 2012 after an investigation of claims that her son Brian had sexually assaulted a child attending the daycare, Donna allegedly denied any other knowledge of her son sexually assaulting a child. It further alleges that Donna repeatedly denied that Brian had ever been allowed unsupervised contact with the children in her day care.
According to the affidavit, a subsequent investigation, including interviews of Brian and other witnesses, revealed that Donna knew that her son Brian had previously sexually assaulted a six-year-old neighbor in 2005 and that she had allowed her son to have unsupervised access to the children in her home daycare.
According to the affidavit, Brian Belanger has admitted to sexually assaulting multiple children, both male and female, who had attended his mother’s home daycare center.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274.
The charging statute provides for a sentence of no more than eight years in prison, to be followed by three years of supervised release and a $250,000 fine. Actual sentences for federal crimes are typically less than the statutory maximum penalties. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.United States Attorney Carmen M. Ortiz; Vincent Lisi, Special Agent in Charge of the Federal Bureau of Investigation’s Boston Field Division; and Chief Gary J. Gemme of the Worcester Police Department; made the announcement today. The case is being prosecuted by Mark J. Grady and Karin M. Bell of Ortiz’s Worcester Branch Office.
The details contained in the complaint and its supporting affidavit are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Former Chatham County Deputy Sheriff Pleads Guilty to Federal Charge of Producing Child PornographyRead the Press Release
Savannah, GA: Richard Adam Hall, 52, a former Chatham County Deputy Sheriff from Savannah, Georgia, pled guilty yesterday before United States District Court Judge William T. Moore, Jr. to producing child pornography. Yesterday’s plea resolves federal charges brought against Hall, which alleged that Hall coerced a minor to engage in sexually explicit conduct for the purpose of producing child pornography.
According to evidence presented at the guilty plea hearing, Hall’s residence was searched by law enforcement officials as part of an investigation into allegations that, while he was a deputy sheriff, Hall had had molested a child. During the search of Hall’s residence, law enforcement officials recovered numerous sexually explicit photographs of a juvenile male. Further investigation revealed that the minor depicted in the photographs traveled with Hall to Tennessee and Florida, where the minor was molested by Hall on multiple occasions. The sexually explicit photographs of the minor were taken by Hall when the victim was approximately 12 years old.
As a result of his plea to a federal charge, Hall faces a statutory penalty of not less than 15 years nor more than 30 years in a federal prison; a fine up to $250,000; and 5 years of supervised release. United States Attorney Edward Tarver noted that there is no parole in the federal system. Hall’s sentencing will be scheduled upon the completion of a presentence investigation conducted by the United States Probation Office.
Earlier this year, a Chatham County grand jury indicted Hall on 25 counts of child molestation and related offenses. State charges against Hall remain pending.
The federal charges against Hall arose out of a joint investigation by Homeland Security Investigations, the Chatham County District Attorney’s Office, the Chatham County Sheriff’s Office, and the Savannah-Chatham Metropolitan Police Department. Assistant United States Attorneys Brian T. Rafferty and Daniel R. Crumby are prosecuting the case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Former Buffalo Man Pleads Guilty to Bank Robbery and Witness TamperingRead 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 Clifford B. Smith, 34, formerly of Buffalo, pleaded guilty before U.S. District Court Chief Judge William M. Skretny, to bank robbery and tampering with a witness. The charges carry a maximum sentence of 25 years in prison and a fine of $250,000.Assistant U.S. Attorney Marie P. Grisanti, who is handling the case, stated that between September 2011 and November 2011, Smith robbed four HSBC Bank locations throughout the City of Buffalo. On each occasion, the defendant presented the teller with a note and threatened a gun. During the last robbery, Smith brandished a gun and robbed three tellers.
One of the HSBC branches was robbed twice within two weeks and one of the tellers recognized Smith from the earlier robbery. In both robberies, the defendant wore disguises including large glasses. Smith also tampered with a witness by contacting a person from prison and encouraging her to lie to and say that she was with Smith when the robberies occurred. The defendant later sent the woman a letter providing her with some of the dates that he wanted her to use for his failed alibi.
The investigation is the culmination of an investigation on the part of the Buffalo Office of the Federal Bureau of Investigation, the Buffalo Police Department, under the direction of Commissioner Daniel Derenda, and the Philadelphia Office of the FBI, under the direction of Special Agent in Charge Edward J. Hanko.
Sentencing is scheduled for May 6, 2015, at 9:00 a.m. before Judge Skretny.
Fairmont, WV 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 – Timothy, Wayne Ferrell, Jr., 33, of Fairmont, West Virginia, was convicted today in federal court for his role in manufacturing methamphetamine, United States Attorney William J. Ihlenfeld, II, announced.
Ferrell was discovered in May 2014 in possession of medication pseudoephedrine, a common ingredient in methamphetamine. He was also discovered in September 2014 in unlawful possession of a rifle.
Ferrell pled guilty today to one count of “Possession of Pseudoephedrine to be used in the Manufacture of Methamphetamine, for which he faces up to 20 years in prison and a fine of up to $250,000.00. He also pled guilty to one count of “Possession of Firearm by Unlawful User/Drug Addict to Controlled Substance,” for which he faces up to ten years in prison and 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 defendant.
Assistant U.S. Attorney Shawn Morgan is prosecuting the case on behalf of the government. The Three Rivers Drug and Violent Crime Task Force is leading the investigation.
U.S. Magistrate Judge John S. Kaull presided.
FCI Hazelton Inmate Sentenced for Assaulting, Injuring Correctional OfficerRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistCLARKSBURG, WEST VIRGINIA – Carlos Lupercio, a 30-year-old inmate at the Federal Correctional Institution at Hazelton, was convicted and sentenced today for assaulting a correctional officer, United States Attorney William J. Ihlenfeld, II, announced.
In July 2014, another FCI Hazelton inmate was involved in a dispute with a correctional officer. Lupercio joined in the dispute, striking the officer in the head and torso and jumping on his back. He pled guilty today to one count of “Assault of a Correctional Officer Resulting in Injury.” He was sentenced to an additional 24 months in prison.
Assistant U.S. Attorney Andrew Cogar iprosecuted the case on behalf of the government. The Federal Bureau of Prisons and the Special Investigative Services Unit at FCI Hazelton led the investigation.
U.S. District Judge Irene M. Keeley presided.
Dubque Man Again Sentenced to 30 Years in Federal Prison for Distributing Heroin Resulting in Overdose DeathRead the Press Release
A man whose conviction for distributing heroin to a person who died of a heroin overdose was overturned earlier this year was sentenced yesterday in federal court to serve 30 years in prison.
Alvin Stanley Briggs, Jr., age 51, from Dubuque, Iowa, received the prison term after a October 30, 2014, guilty plea to distribution of heroin resulting in death. Briggs initially pled guilty to the charge in June 2013, and was sentenced to 30 years’ imprisonment in September 2013. His conviction was overturned after the United States Supreme Court ruled in Burrage v. United States that individuals could not be convicted of distributing drugs where death resulted unless the government proved the drugs were the “but for” cause of the death. During his initial plea, Briggs had admitted only that the drugs were a contributing factor in the death of S.R. At the plea hearing in October he admitted that S.R. would have lived but for using the heroin distributed by Briggs.
Briggs was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Briggs was sentenced to 360 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
Briggs is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Dan Chatham and was investigated by the Platteville, Wisconsin, Police Department, and the Dubuque, Iowa, Drug Task Force.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 2:13-CR-01004-LRR.
Dominican Man Arrested on Conspiracy ChargesRead the Press Release
BOSTON – An illegal alien residing in Chelsea was arrested last night on a complaint charging conspiracy to fraudulently issue identification documents.
Edwin Amaurys Parra Suarez (Parra), 37, was arrested in connection with a scheme to produce false identification documents. The complaint affidavit alleges that from December 2012 through January 2013, Parra bribed an employee of the Revere office of the Massachusetts Registry of Motor Vehicles (RMV) in connection with a scheme to issue Massachusetts driver’s licenses to individuals who were not eligible to obtain such documentation.
According to the affidavit, Parra conspired with a RMV clerk to produce at least 29 Massachusetts drivers’ licenses for individuals who are not entitled to them. Parra allegedly paid the clerk between $100 and $1,000 in cash for each of the fraudulent licenses.
This arrest is the most recent development in investigations involving identity theft and public corruption relating to the Massachusetts Registry of Motor Vehicles.
A probable cause hearing will be held on Jan. 7, 2015 at 2:15. The charging statutes provide for a sentence of no more than five years in prison, three years of supervised release and a $250,000 fine. Actual sentences for federal crimes are typically less than the statutory maximum penalties. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Bruce M. Foucart, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Boston; Colonel Timothy P. Alben, Superintendent of the Massachusetts States Police; David W. Hall, Special Agent in Charge of the U.S. Department of State, Bureau of Diplomatic Security, Boston Field Office; and Cheryl Garcia, Acting Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, New York Regional Office, made the announcement today. The case is being prosecuted by Eugenia M. Carris of Ortiz’s Public Corruption Unit.
District Woman Found Guilty of Federal Charges for Illegally Collecting Unemployment BenefitsDefendant Submitted Claims While Working at A Government AgencyRead the Press Release
WASHINGTON – Brianna Meadows, 32, of Washington, D.C., has been found guilty by a jury of federal charges stemming from a scheme to defraud the District of Columbia Department of Employment Services of more than $14,000 in unemployment benefits, announced U.S. Attorney Ronald C. Machen Jr. and Andrew G. McCabe, Assistant Director in Charge of the FBI’s Washington Field Office.
Meadows was found guilty on Dec. 22, 2014 of four counts of wire fraud, one count of theft of government funds, and one count of first-degree theft. The verdict followed a trial in the U.S. District Court for the District of Columbia. The Honorable Amy Berman Jackson scheduled sentencing for March 11, 2015.
The government’s evidence at trial established that Meadows submitted 49 false claims to the District of Columbia Department of Employment Services from May 2009 through April 2010, indicating that she was unemployed, when, in fact, she was working full time for a private contractor doing work at a government agency in Maryland. She submitted more than two dozen of those claims from a computer terminal at the agency, the evidence showed.
In announcing the verdict, U.S. Attorney Machen and Assistant Director in Charge McCabe commended the work of those who investigated the case from the FBI’s Washington Field Office. They expressed appreciation for the assistance provided by the District of Columbia Department of Employment Services. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Donna Galindo and Lesley Slade; Information Technology Specialist Jeanie Latimore-Brown, and Assistant U.S. Attorney Jelahn Stewart, who assisted in the investigation. Finally, they commended the work of Assistant U.S. Attorneys Seth B. Waxman and Mervin A. Bourne, Jr., who prosecuted the case.
14-286Detroit Man Indicted on Robbery ChargesRead the Press Release
A Detroit man was indicted today for his role in the armed robbery of a pharmacy in Detroit, United States Attorney Barbara L. McQuade announced today.
McQuade was joined in the announcement by Special Agent in Charge Paul M. Abbate, Federal Bureau of Investigation, Detroit Division.
Kavin Stinson, 19, was charged with robbery and with using a firearm during a crime of violence.
The investigation determined that on August 22, 2014, three men armed with handguns entered the Rite Aid store at 1900 East Eight Mile Road in Detroit at approximately 3:00 p.m. The men stole liquor and threatened the Rite Aid employees, forcing some at gunpoint to the back of the store to open a safe. The robbers also forced employees to open cash registers and give them money. One of the assailants pistol-whipped a male and a female employee as they were handing over money.
Johnny Johnson was indicted in September by a federal grand jury for his role in the robbery. Additional investigation by the FBI led to the identification of Kavin Stinson as the second suspect. The third suspect remains at large.
If convicted, Johnny Johnson and Kavin Stinson will face a minimum of seven years in prison with the possibility of 27 years in prison for their participation in the crimes.
“We take armed robberies very seriously because armed robbers put residents at risk and create fear in our neighborhoods,” McQuade said. “We hope that criminals will take note that committing crimes with guns will bring charges with severe consequences.”
“Mr. Stinson and the other perpetrators in this case are alleged to have violently robbed a neighborhood pharmacy at gunpoint,” stated Paul M. Abbate, Special Agent in Charge of the FBI Detroit Field Office. “Gun-related violence injects fear into the lives of law abiding citizens and wreaks havoc upon our communities. The FBI, along with its local, state and federal partners, remains committed to rooting out these violent offenders and maintaining the safety of our neighborhoods.”
The cooperative efforts of the Detroit Police Department and the Federal Bureau of Investigation's Violent Crime Task Force resulted in the charges against these two defendants.
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.
Colorado Springs Man Arrested After Posting Internet Threat to Kill Police Officers in ColoradoRead the Press Release
UPDATE: December 29, 2014
DENVER – Jeremiah M. Perez, age 33, of Colorado Springs, Colorado, appeared this afternoon before U.S. Magistrate Judge Boyd N. Boland for a preliminary hearing and a detention hearing. Perez through his attorney waived his right to a preliminary hearing (a probable cause finding hearing). During the detention hearing, the government asked that Perez be held without bond based on an argument that he was a danger to the community. After hearing prosecution and defense arguments, Magistrate Judge Boland ordered Perez released on a $25,000 unsecured bond to a halfway house, when bed space becomes available. Magistrate Judge Boland also ordered Perez not to have any contact with computers. Perez was also ordered to follow the standard conditions of release, which include no access to firearms and no possession or use of marijuana.
Click here to access the Complaint and Affidavit in the Perez case
DENVER – Jeremiah M. Perez, age 33, of Colorado Springs, Colorado, was arrested yesterday without incident for posting online threats advocating the killing of police officers and retired police officers in Colorado, United States Attorney John Walsh and FBI Denver Division Special Agent in Charge Thomas Ravenelle announced. Perez made his initial appearance before U.S. Magistrate Judge Kristen L. Mix this afternoon, where he was advised of his rights, as well as the charges pending against him. Perez will be held in custody pending a detention hearing and preliminary hearing scheduled for Monday, December 29, 2014 at 1:30 p.m.
On December 17, 2014, Google urgently contacted the FBI San Francisco Office to report what they perceived as a threat, which consisted of a comment posted in association with a YouTube video. The FBI San Francisco Office immediately initiated an investigation into the threat, posted by user name “Vets Hunting Cops,” which was focused on killing police officers, and ultimately learned that the posting came from an IP address in Colorado. The FBI in Colorado was notified and continued the investigation, which revealed that the IP address was assigned to Century Link and resolved at a specific address in Colorado Springs. The FBI and Colorado Springs Police Department then began surveillance of those who lived at that address.
The following day the FBI and Colorado Springs Police Department served a federal search warrant on Perez’s address. The threat Perez allegedly posted stated, in part: “SINCE DARREN WILSON our group has killed 6 retired sheriffs and cops......because of this event we will hunt two more in colorado this week.....for every innocent citizen that cops kill WE, VETERANS WILL KILL RETIRED HELPLESS COPS.” The threat further said, “COPS ARE THE REAL ENEMIES OF FREEDOM LOVING AMERICANS and TIME TO STRIKE BACK IN ALL OUT WAR IS NOW.”
On December 22, 2014, the FBI contacted Perez. At that time they determined that he knew that law enforcement officers would see the post and his intent was for them to be fearful after reading it. He was then arrested. A forensic examination of Perez’s computer confirmed that the posting in question, along with other postings, came from his device.
“If you threaten to kill – or incite others to kill – police officers, you will get some very serious attention from this office, the FBI, and other appropriate authorities,” said U.S. Attorney John Walsh.
“Those who threaten the lives of law enforcement officers through interstate communications will be fully investigated by the FBI and our partners,” said FBI Denver Special Agent in Charge Thomas Ravenelle. “The perceived anonymity of the Internet will not serve as a shield for espousing violence in violation of federal law. In conducting this investigation, we would like to thank the Colorado Springs Police Department and the U.S. Attorney’s Office for their invaluable assistance.”
If convicted, Perez faces up to 5 years in federal prison, and not more than a $250,000 fine, for transmitting a threat in interstate and foreign commerce.
This case was investigated by the Federal Bureau of Investigation (FBI) in Colorado Springs, Denver, and San Francisco, with support from the Colorado Springs Police Department.
The defendant is being prosecuted by Assistant U.S. Attorney Judith Smith.
A Criminal Complaint is a probable cause charging document. Anyone accused of committing a federal felony offense has a Constitutional right to be indicted by a federal grand jury.
The charges contained in the Complaint are allegations, and the defendant is presumed innocent unless and until proven guilty.
Canisteo Man Sentenced on Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that David Jackson, 41, of Canisteo, N.Y., who was convicted of conspiracy to import alpha-PVP, a synthetic narcotic, was sentenced to 27 months in prison by U.S. District Judge Richard J. Arcara.Assistant U.S Attorney Mary Catherine Baumgarten, who handled the case, stated that between September 2013, and January 16, 2014, the defendant, along with co-defendants Erin Dwyer and Richard Dwyer, conspired to import the synthetic narcotics from China using the Internet. The packages were then delivered to Richard Dwyer via the United States Postal Service.
Richard Dwyer was sentenced to 33 months in prison. Erin Dwyer has been convicted and will be sentenced on January 29, 2015.
The sentencing is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero, and the United States Postal Inspection Service, under the direction of Special Agent in Charge Shelly Binkowski.
Candy Store Owner to Federal Prison for Selling CrackRead the Press Release
A man who sold crack cocaine out of his Dubuque, Iowa candy store was sentenced today to just under 6 years in federal prison.
Dwayne Howard, 36, from Dubuque, received the prison term after an October 6, 2014 guilty plea to one count of distribution of crack cocaine near a playground.
In a plea agreement, Howard admitted he sold crack cocaine to an undercover police officer on multiple occasions in January and February 2014. All but one of the sales took place inside his business, “Wayne’s Candy.” According to information disclosed at the sentencing hearing, the candy store was located at 1965 Central Avenue in Dubuque. While Howard maintained the candy store also served a legitimate function, he admitted that he used drug money to fund the business and used his store inventory to facilitate his drug sales. For instance, during two of the undercover purchases, Howard told the undercover officer to take items from the shelf in order to make the transaction look “legit.” Investigators noticed that the business did not maintain normal business hours, and bank records showed that the business carried a $5.00 bank account balance. During a search of the business, investigators discovered little to no money in the cash register. The candy store was located within 1,000 feet of two separate playgrounds.
Howard was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Howard was sentenced to 71 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 6-year term of supervised release after the prison term. There is no parole in the federal system.
Howard is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Justin Lightfoot and investigated by the Iowa Division of Narcotics Enforcement (DNE) and the Dubuque Drug Task Force, which is comprised of representatives from the Dubuque Police Department and the Dubuque County Sheriff’s Office.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/ login.pl. The case file number is 14-CR-1013.
Canadian Man Pleads Guilty in A Smuggling Attempt at the BorderRead 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 Tonin Ndoja, 50, a citizen of Canada, pleaded guilty to making a false statement to a U.S. Customs and Border Protection Officer involving his attempt to smuggle aliens into the United States before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of five years in prison and a $250,000 fine.Assistant U.S Attorney Scott S. Allen, Jr., who is handling the case, stated that on November 12, 2014, Ndoja attempted to enter the United States from Canada at the Peace Bridge. The defendant, a Free and Secure Trade (FAST) card holder and member of the trusted traveler program, was driving a tractor trailer carrying rolled steel. During a secondary inspection, officers with Customs and Border Protection discovered defendants Bardok and Kleda Tusha, both citizens of Albania, hidden inside the cab of the tractor trailer under a blanket.
“This shows the continuing need for vigilance in protecting our nation's borders,” said U.S. Attorney Hochul. “As this case demonstrates, law enforcement is well prepared to protect our country-even where the defendant is anything but trustworthy.”
Defendants Bardok and Kleda Tusha pleaded guilty to a misdemeanor charge of illegal entry and were sentenced to time served.
The case is the result of an investigation by Customs and Border Protection, under the direction of Director of Field Operations Randy Howe.
Sentencing is scheduled for March 30, 2015 at 1:00 p.m. before Judge Arcara.
Buffalo Woman Pleads Guilty to Violating Supervised ReleaseRead 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 Latisha Siplin, 32, of Buffalo, NY, pleaded guilty before U.S. District Court Chief Judge William M. Skretny to violating terms of her supervised release. The charge carries a maximum sentence of three years in prison.Assistant U.S. Attorney Marie P. Grisanti, who handled the case, stated that Siplin was previously convicted of bank fraud and sentenced to eight months in prison. Following her release, the defendant violated conditions of supervised release by testing positive for drugs.
The investigation is the culmination of an investigation on the part of officers of United States Probation Service, under the direction of Chief Anthony SanGiacomo.
Sentencing is scheduled for December 30, 2014, at 9:00 a.m. before Judge Skretny.
Brooklyn Tax Return Preparer Indicted for Preparing Six Years of False Tax ReturnsRead the Press Release
A Brooklyn, New York, tax preparer was indicted by a federal grand jury in the Eastern District of New York and charged with 30 counts of aiding in the preparation of false income tax returns, the Justice Department and Internal Revenue Service (IRS) announced following her Dec. 22 arrest and the unsealing of the indictment.
Awilda Rosario owned and operated a Brooklyn-based tax preparation business called Edujas Multiservices Corporation, according to the indictment. The indictment charges that Rosario prepared false individual income tax returns for taxpayer-clients for at least six years, spanning tax years 2008 through 2013. Rosario allegedly attached false schedules that reported business losses the taxpayers did not incur and attached schedules that reported inflated or fictitious deductions. Rosario also attached forms claiming fictitious education and fuel tax credits that the taxpayers were not entitled to receive.
The indictment further alleges that after the IRS revoked the electronic filing number for Edujas Multiservices Corporation, Rosario obtained at least two different e-file provider numbers and continued to prepare and submit false tax returns for her clients, listing a different paid tax return preparer and tax preparer firm to conceal her involvement.
If convicted, Rosario faces a statutory maximum sentence of three years in prison and a fine of up to $250,000 for each count.
The case was investigated by special agents of IRS-Criminal Investigation. Assistant Chief Jorge Almonte and Trial Attorney Shawn T. Noud of the Justice Department’s Tax Division are prosecuting the case.
An indictment merely alleges that crimes have been committed, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Bridgeport, WV Doctor Convicted in Painkiller Distribution NetworkRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistCLARKSBURG, WEST VIRGINIA – Dr. Edita Milan, 75, of Fairmont, West Virginia, was convicted today in federal court on charges that she unlawfully distributed prescription painkillers through her Bridgeport, West Virginia medical practice, United States Attorney William J. Ihlenfeld, II, announced.
“Today’s hearing is the end game for Dr. Milan, who let her greed overcome her morals and common sense and whose prescribing practices led to multiple overdose deaths,” said Ihlenfeld. “The U.S. Attorney’s Office remains committed to working with our state and local partners to ensure that pharmaceutical drugs are being used for legitimate medical needs, and I commend the Greater Harrison County Drug & Violent Crimes Task Force for helping to bring this doctor to justice. I’m hopeful that prosecutions like this one will lead to a reduction in prescription drug overdoses in North Central West Virginia.”
The prescribing practices of Dr. Milan first came under suspicion through various citizen complaints. An investigation revealed that Dr. Milan repeatedly prescribed excessive amounts of prescription painkillers outside the course of professional conduct for no legitimate medical reason.
Dr. Milan pled no contest to the following charges:• One count of “Maintaining a Drug Involved Premises,” for which she faces up to 20 years in prison and a fine of up to $200,000.00.
• One count of “Distribution of Schedule III and IV Substances.” She faces up to ten years in prison and a fine of up to $500,000.00 on the Schedule III charge and up to five years in prison and fine of up to $250,000.00 on the Schedule IV charge.
• One count of “Distribution of Schedule II and IV Substances.” She faces up to 20 years in prison and a fine of up to $1,000,000.00 on the Schedule II charge and up to five years in prison and a fine of up to $250,000.00 on the Schedule IV charge.
• Two counts of “Distribution of Schedule II Controlled Substances.” She faces up to 20 years in prison and a fine of up to $1,000,000.00 on each count.Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Dr. Milan’s plea of no contest, which has the same legal effect as a guilty plea, was accepted over the objection of the government.
Assistant U.S. Attorneys John Parr, Andrew Cogar, and Sarah Montoro prosecuted the case on behalf of the government. The U.S. Drug Enforcement Administration and the Greater Harrison County Drug and Violent Crime Task Force, a HIDTA-funded initiative, are leading the investigation.
U.S. District Judge Irene M. Keeley presided.
Benwood, WV Man Convicted of Heroin, Cocaine TraffickingRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistWHEELING, WEST VIRGINIA – Howard Dabrawsky, II, 43, of Benwood, West Vrigina, was convicted today in federal court for his role in an Ohio to West Virginia heroin and cocaine trafficking operation, United States Attorney William J. Ihlenfeld, II, announced.
An investigation by the Ohio Valley Drug and Violent Crime Task Force and the Marshall County Drug and Violent Crime Task Force, both HIDTA-funded initiatives, revealed that Dabrawsky participated in a drug distribution network that transported heroin, cocaine base, and cocaine from Cleveland, Ohio to Wheeling, West Virginia for distribution throughout the Northern District of West Virginia. Specifically, Dabrawsky acted as a driver during multiple heroin sales in early 2014.
Dabrawsky pled guilty today to one count of conspiring to distribute Schedule I and Schedule II controlled substances, including heroin, cocaine base, and cocaine. He faces up to 20 years in prison and a fine of up to $1,000,000.00. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Randy Bernard is prosecuting the case on behalf of the government.
Senior U.S. District Judge Frederick P. Stamp presided.
Baltimore Man Pleads Guilty to Receipt of Child PornographyRead the Press Release
Also Admits Facilitating a 16 Year Old Girl to Engage in Prostitution
Baltimore, Maryland –Richard Ho Lee, age 32, of Baltimore, pleaded guilty today to receipt of child pornography.The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Commissioner Anthony W. Batts of the Baltimore Police Department; and Baltimore City State’s Attorney Gregg L. Bernstein .
According to Lee’s plea agreement, on five occasions in September and October of 2011, while Lee and the victim were in Baltimore, Lee purchased sex from T.F. At the time, T.F. was representing to patrons that she was 19 when, in fact, she was 16. On October 31, 2011, Lee paid for a bus ticket for T.F. to travel to Panama City, Florida, where Lee met her. Lee took the victim to a condo he had rented in Panama City. Upon arriving in Panama City, T.F. told Lee that she was only 16 years old. According to the statement of facts, Lee continued to have sex with T.F., and encouraged her to engage in prostitution. From about December 22, 2011 to January 4, 2012, Lee placed at least 15 advertisements for the victim in the “escorts” and “body rubs” sections of an adult website. Lee used his personal credit card to pay for the advertisements. Lee took provocative photographs of T.F. in lingerie and underwear that he had purchased for her and attached some of the photos to the advertisements. Lee rented a second condominium where T.F. had sex with customers and agreed to provide Lee with a percentage of her earnings.
On January 9, 2012, Lee purchased a bus ticket for T.F., which she used to travel from Florida back to Maryland. In January 2012, Lee produced a counterfeit North Dakota state driver’s license for T.F., which indicated that she was 22 years old. In May 2012, Lee took provocative photographs of T.F. inside his residence in Baltimore.
In June 2012, federal agents recovered Lee’s laptop computers and an external hard drive which contained over 600 images of child pornography, including images that depicted minors that are less than twelve years old and portrayed sadistic and masochistic conduct. Further, the laptop contained templates designed to be used for the production of counterfeit state driver’s licenses.
As part of his plea agreement, Lee 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).
Lee and the government have agreed that if the Court accepts the plea agreement Lee will be sentenced to between five and 11 years in prison, followed by supervised release of between five and 11 years. As part of his plea agreement, Lee is required to forfeit property that was used or intended to be used to commit or to promote the commission of the offenses to which Lee has pleaded guilty. The property to be forfeited includes Lee’s home in the 600 block of South Wolf Street in Baltimore, two laptop computers and an external hard drive. District Judge J. Frederick Motz has scheduled sentencing for March 20, 2015, at 11:00 a.m.
The case was investigated by the FBI-led Maryland Child Exploitation Task Force (MCETF), created in 2010 to combat child prostitution, with members from10 state and federal law enforcement agencies. The Task Force coordinates with the National Center for Missing and Exploited Children and the Maryland State Police Child Recovery Unit to identify missing children being advertised online for prostitution.
MCETF partners with the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, Baltimore City Police Department and the Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Mark W. Crooks, who is prosecuting the case.
Baltimore Man Pleads Guilty to Fraud Scheme with Losses of more than $600,000Read the Press Release
Baltimore, Maryland – Curlee Smittie, age 42, of Baltimore, pleaded guilty today to wire fraud in connection with a scheme to defraud his bank and an automobile auction house of more than $600,000.The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.
According to Smittie’s plea agreement, from April 2008 until January 2009, Smittie engaged in a scheme to fraudulently obtain checks from an automobile auction company, by buying cars he already owned, using the company’s short-term credit program.
The company operates auction houses for automobile dealers at locations throughout the United States. Automobile dealers must be registered with the company to buy or sell automobiles at its locations. An individual who wishes to sell an automobile must list the car for sale under the name of a registered automobile dealer. Smittie was registered as a buyer and seller under the company name Smittie Auto Brokers.
For buyers with an established track record of timely payment, which included Smittie Auto Brokers and Curlee Smittie, the company extended short term credit for purchases. Under this arrangement, the company issued a check for the proceeds of the automobile sale to the seller of the automobile on the day of sale. The buyer was allowed to take the automobile, with the promise to pay the purchase price to the auction company within two weeks.
Smittie admitted that to perpetrate the scheme, he would list an automobile that he already owned for sale under the name of another registered automobile dealer. Smittie then purchased the automobile in his own name or the name of Smittie Auto Brokers, using the auction company’s short term credit program. This created the appearance of an arm’s length transaction, when in fact, Smittie was merely “selling” the car to himself using the company’s money.
As the person who had listed the car for auction, Smittie accepted the seller proceeds check from the company, which was made out in the name of the automobile dealer that Smittie had used to list the automobile for auction. Smittie deposited those checks into his business checking account, held in the name of Smittie Enterprises, Inc. When the time came for Smittie to repay the short term loan from the auction company, Smittie sold another car to himself in the same manner, and used the seller proceeds to pay the previous debt.
As a result of the scheme, from April 2008 until January 2009, Smittie received a total of $2,126,997.50 in seller checks from the auction company and deposited them into the Smittie Enterprises account.
In January 2009, employees at the auction company learned of Smittie’s scheme and ordered its bank to stop payment on all checks to sellers from whom Smittie had purchased automobiles. Once all of the checks that had been recently deposited into the Smittie Enterprises checking account were reversed, the bank was left with a loss of $166,500.16 because the balance in the Smittie Enterprises account was not sufficient to cover the reversed checks.
When the auction company discovered Smittie’s scheme, Smittie owed the company a total of $702,956.28 for automobiles that he had purchased using the company’s short term credit. The company was able to recover $236,606.20 by repossessing some of the automobiles Smittie had purchased, but was left with a loss of $466,350.08.
Smittie and the government have agreed that if the Court accepts the plea agreement Smittie will be sentenced to 18 months in prison. As part of his plea agreement, Smittie will also be required to pay restitution of $632,850.24. Chief U.S. District Judge Catherine C. Blake has scheduled sentencing for March 27, 2015 at 2:00 p.m.
United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Jefferson M. Gray, who is prosecuting the case.
Baggage Handler at Hartsfield-Jackson Airport Arrested for Smuggling Guns into Airport by Evading SecurityRead the Press Release
ATLANTA - Eugene Harvey, a baggage handler at Hartsfield-Jackson International Airport, has been arrested on a federal complaint charging him with trafficking in firearms and entering the secure areas of the airport in violation of security requirements.
“The complaint alleges that Harvey repeatedly evaded airport security with bags of firearms, some of which were loaded,” said United States Attorney Sally Quillian Yates. “He then passed the guns off to an accomplice who transported them as carry-on luggage to New York, where they were illegally sold.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “The FBI has dedicated significant investigative resources at our nation’s airports to not only address those special jurisdiction cases involving air travel itself, but also to provide assistance to those agencies responsible for the security of those airports and all that travel through them. This case represents a serious security breach at Atlanta's Hartsfield Jackson airport and the FBI's Atlanta Field Office continues to work with its various law enforcement partners in addressing this breach and preventing future ones.”
According to United States Attorney Yates, the charges, and other information presented in court: On at least five occasions in 2014, Harvey, a baggage handler for Delta Air Lines, worked with another former Delta employee to smuggle firearms through airport-controlled security checkpoints for Delta employees, and thus he was not required to go through the screening performed for passengers by TSA. Once through the airport-controlled security checkpoints, the firearms were carried in carry-on baggage into the passenger cabins of aircraft. Each time, Harvey’s accomplice flew to New York with the guns, where they were illegally sold.
The federal investigation into Harvey began when the New York Police Department and the Kings County District Attorney’s Office notified the FBI that a then-unidentified individual was helping a gun-trafficker move guns illegally from Georgia into New York. By that time, the New York Police Department had identified and arrested the New York seller of the illegal firearms, and was investigating how the guns were being smuggled into New York. Since January 2014, Harvey’s accomplice has trafficked approximately 129 firearms between Georgia and New York. The last shipment on December 10, 2014, contained 18 firearms, 7 of which were loaded.
Upon learning of the information, Delta Air Lines worked closely with law enforcement to identify Harvey and immediately terminated him.
Eugene Harvey, 31, of College Park, Ga., made his initial appearance Monday before Linda T. Walker, United States Magistrate Judge. Harvey was arrested Saturday on federal charges of trafficking in firearms and entering the secure areas of the airport in violation of security requirements. He was released on bond.
Members of the public are reminded that the criminal complaint only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation, the U.S. Federal Air Marshal Service, and the Transportation Security Administration.
Assistant United States Attorney L. Skye Davis is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Monday 22 December 2014
- “Shrek” Receives Significant Sentence in Operation El Patron
XTO Energy Inc. to Restore Areas Damaged by Natural Gas Extraction ActivitiesRead the Press Release
The Department of Justice and the U.S. Environmental Protection Agency announced today that XTO Energy Inc. (XTO), a subsidiary of ExxonMobil and the nation’s largest holder of natural gas reserves, will spend an estimated $3 million to restore eight sites damaged by unauthorized discharges of fill material into streams and wetlands in connection with hydraulic fracturing operations. XTO will also implement a comprehensive plan to comply with federal and state water protection laws at the company’s oil and gas extraction facilities in West Virginia that use horizontal drilling methods.
“The extraction of domestic energy resources is vitally important, and so it is equally important that companies ensure that all such activities comply with the nation’s environmental laws,” said Acting Assistant Attorney General Sam Hirsch for the Justice Department’s Environment and Natural Resources Division. “This settlement will resolve allegations that XTO’s illegal discharges of fill materials damaged streams and wetlands, by requiring the company to pay a penalty, restore the damaged resources where possible and take other mitigation and compliance measures.”
The company will pay a civil penalty of $2.3 million for violations of Section 404 of the Clean Water Act and West Virginia law. Section 404 of the Clean Water Act prohibits the filling or damming of wetlands, rivers, streams, and other waters of the United States without a permit from the U.S. Army Corps of Engineers (Corps). The Clean Water Act requires a company to obtain a permit prior to discharging dredge or fill material into wetlands, rivers, streams, and other waters of the United States.
The settlement also resolves alleged violations of state law asserted by WVDEP. The state of West Virginia is a co-plaintiff in the settlement and will receive half of the $2.3 million civil penalty.
“American communities expect EPA and our state partners to make sure energy development is done responsibly,” said Assistant Administrator Cynthia Giles of EPA’s Office of Enforcement and Compliance Assurance. “This case will help to protect clean water in West Virginia, and support a level playing field for energy developers that play by the rules.”
The federal government and the West Virginia Department of Environmental Protection (WVDEP) allege that the company impacted streams and discharged sand, dirt, rocks and other fill material into streams and wetlands without a federal permit in order to construct well pads, road crossings, freshwater pits, and other facilities related to natural gas extraction. The alleged violations being resolved by today’s settlement occurred at eight sites located in the West Virginia Counties of Harrison, Marion and Upshur. The federal government and WVDEP allege that the violations impacted more than 5,300 linear feet of stream, and 3.38 acres of wetlands.
The settlement requires that the company fully restore the wetlands and streams wherever feasible, monitor the restored sites to assure the success of the restoration, and implement a comprehensive compliance program to ensure future compliance with the Clean Water Act and applicable state law.
EPA discovered some of the violations through information provided by the state and through routine joint inspections conducted with the Corps, who actively supported the EPA and the Justice Department in this case. In addition, the company voluntarily disclosed potential violations at five of the sites following an internal audit. Beginning in 2011, EPA issued administrative compliance orders for violations at all eight sites. Since that time, the company has been working with EPA to correct the violations and restore those sites in full compliance with EPA’s orders.
In July 2013, the United States concluded a settlement with XTO to resolve an alleged violation of the Clean Water Act related to the discharge of wastewater from XTO’s Penn Township, Lycoming County, Pennsylvania, facility used for the storage of wastewater generated by hydraulic fracturing operations.
Filling wetlands illegally and damming streams can result in serious environmental consequences. Streams, rivers, and wetlands benefit the environment by reducing flood risks, filtering pollutants, recharging groundwater and drinking water supplies, and providing food and habitat for aquatic species. Any person, firm or agency planning to work in, or discharge dredged or fill material into waters of the U.S., including wetlands, must first obtain a permit from the Corps. Compliance with the Corps’ permit process and regulations helps to ensure that enforcement actions like this one do not occur. For more information about the permitting process under Section 404 of the Clean Water Act, contact: [email protected].
XTO engages in the exploration and production of natural gas in the Appalachian Basin. The company has Marcellus Shale holdings in Pennsylvania, New York, Ohio and West Virginia.
The consent decree, lodged today in the Northern District of West Virginia, is subject to a 30-day public comment period and court approval. The consent decree is available for review at www.justice.gov/enrd/Consent_Decrees.html.
Wilson Cooperators Receive Home Confinement, Probation, and Community ServiceRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ----United States Attorney Bill Nettles stated today that Cassandra Kendall Wilson, age 66, of Woodruff, South Carolina, and Timothy L. Wilson, age 60, of Martin, Tennessee, were sentenced today in federal court in Greenville for their involvement in a conspiracy to obstruct justice, a violation of Title 18, United States Code, Section 371. United States District Judge J. Michelle Childs of Greenville imposed a period of 9 months of home confinement, 1 year of probation, a community service requirement (200 hours for Timothy and 225 hours for Cassandra), and a curfew on both defendants. In passing sentence, Judge Childs granted a motion from the Government to depart downward because of substantial assistance in the prosecution and investigation of Ronnie Gene Wilson.
Evidence presented at the change of plea hearing established that in late 2011 and early 2012, agents with Secret Service and state law enforcement officers began to investigate Atlantic Bullion and Coin and Ronnie Gene Wilson. It was discovered that Wilson operated what is generally described as a “Ponzi scheme.” In April 2012, Wilson confessed to operating the Ponzi.
On April 27, 2012, the United States District Court—with the consent of Wilson and the Government—appointed a Federal Receiver. The Court’s Order directed the Receiver to take immediate possession of all property, assets and estates owned, controlled, used, or in the possession of Wilson.
During the course of the investigation, the Secret Service talked with Wilson on multiple occasions. On or about September 20, 2012, agents interviewed Wilson about possible hidden assets and cash. Wilson was adamant that there were no hidden assets or cash. He stated that he had turned everything over to the Government.
On November 13, 2012 the District Court ordered Wilson to pay approximately $57 million in restitution to the 798 victims of the Ponzi Scheme. He was sentenced to 235 months in prison.
In April 2014, the Government recovered approximately $164,300. This money had been hidden in an ammunition can. Ron Wilson gave this money to Timothy L. Wilson member to keep for Ron Wilson so he would have something if he was ever released from the Bureau of Prisons.
The evening before Ron Wilson was sentenced in November 2012, evidence established that Ron Wilson visited the hotel room of Timothy L. Wilson in Greenville and gave him $7000 in cash in an envelope.
In March 2014, Secret Service and the Receiver recovered another ammunition can of money ($172,859). Ron Wilson had given this canister to Cassandra K. Wilson prior to his sentencing hearing.
The case was investigated by agents of the United States Secret Service. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.Waterbury Man Sentenced to 42 Months in Federal Prison for Illegal Gun PossessionRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that CHRISTOPHER BRYAN COLEMAN, 25, of Waterbury, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 42 months of imprisonment, followed by two years of supervised release, for illegally possessing a firearm.
According to court documents and statements made in court, on April 22, 2014, officers from the Waterbury Police Department responded to a complaint of a disturbance at 1298 N. Main Street in Waterbury. There, the complainant told police that her car had broken down and, while she was awaiting assistance, a male had attempted to gain entry to her vehicle. As one of the officers drove up to the male, who was later identified as COLEMAN, the officer observed COLEMAN remove a firearm from his waist area and throw it over a chain link fence. Officers then recovered an RG14 .22 caliber revolver with an obliterated serial number, loaded with six rounds, three of which were live and three of which were expended.
Prior to that date, COLEMAN had been convicted of sale of controlled substance, escape in the first degree, and possession of a controlled substance with intent to distribute.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
COLEMAN has been detained since his arrest on April 22. On September 23, he pleaded guilty to one count of possession of a firearm by a previously convicted felon.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Waterbury Police Department. The case was prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.
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[email protected]Venango County Man Sentenced for Safe Drinking Water Act ViolationsRead the Press Release
ERIE, Pa. - A resident of Pleasantville, Pennsylvania, has been sentenced in federal court to 6 months in jail, 12 months home detention, 3 years supervised release and ordered to make restitution in the amount of $236,524.73 on his conviction of making false statements in matters relevant to permits issued under the Safe Drinking Water Act, United States Attorney David J. Hickton announced today.
United States District Judge David S. Cercone imposed the sentence on Ronald A. Wright, 45.
According to information presented to the court, between in and around September 2009, to in and around April 2011, Wright falsified certificates of well plugging, falsely claiming that he had properly plugged abandoned oil wells, when he had not properly done so. These forms were relied upon by the EPA in regard to permits issued for Class II injection wells. These injection wells were to be used for the injection of oil production brine fluid and for the enhanced recovery process of oil extraction. The approval process for these injection wells required all abandoned wells within a quarter mile of the injection well site to have first been properly plugged. On January 12, 2012, inspectors with the Environmental Protection Agency (EPA), were on site to conduct a mechanical integrity test of the injection well when it was discovered that injected fluid had entered the bottom of an abandoned well because it had not been properly plugged to the bottom. According to the information presented in court, further investigation revealed that many of the wells that were plugged by Wright were not plugged as he claimed in the certificates of well plugging. In some instances, the certificates of well plugging falsely claimed that wells were properly plugged at depths greater than 2,000 feet when, in fact, the wells were only plugged at depths of less than 1,000 feet. According to the information presented in court, the discovery of Wright’s falsification of the plugging reports has required the re-inspection, and likely re-drilling and re-plugging, of 95 wells.
“EPA’s mission of protecting human health and the environment is dependent, in large part, on the veracity of the information it receives,” said David G. McLeod, Jr., Special Agent in Charge of EPA’s criminal enforcement program in the Middle Atlantic States. “Today’s sentencing should send a strong message that EPA and its partners will hold those accountable, who knowingly submit false reports and undermine our efforts to protect human health and the environment.”
Assistant United States Attorney Marshall J. Piccinini prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Environmental Protection Agency – Criminal Investigation Division, the Pennsylvania Office of Attorney General – Environmental Crimes Section, and the U.S. Forest Service – Law Enforcement and Investigations for the investigation leading to the successful prosecution of Wright.
United States Files Suit Against Omnicare Inc. for Accepting Kickbacks from Drug Manufacturer to Promote an Anti-Epileptic Drug in Nursing HomesRead the Press Release
The United States has filed a civil False Claims Act complaint against Omnicare Inc. alleging that it solicited and received millions of dollars in kickbacks from pharmaceutical manufacturer Abbott Laboratories, the Justice Department announced today. Omnicare is the nation’s largest provider of pharmaceuticals and pharmacy consulting services to nursing homes. Federal regulations designed to protect nursing home residents from unnecessary drugs require nursing homes to retain consulting pharmacists such as those provided by Omnicare to ensure that residents’ drug prescriptions are appropriate.
In its complaint, the United States alleges that Omnicare solicited and received kickbacks from Abbott in exchange for purchasing and recommending the prescription drug Depakote for controlling behavioral disturbances exhibited by dementia patients residing in nursing homes serviced by Omnicare. According to the complaint, Omnicare’s pharmacists reviewed nursing home patients’ charts at least monthly and made recommendations to physicians on what drugs should be prescribed for those patients. The government alleges that Omnicare touted its influence over physicians in nursing homes in order to secure kickbacks from pharmaceutical companies such as Abbott.
“Elderly nursing home residents suffering from dementia are among our nation’s most vulnerable patient populations, and they depend on the independent judgment of healthcare professionals for their daily care,” said Acting Assistant Attorney General Joyce R. Branda for the Justice Department’s Civil Division. “Kickbacks to consulting pharmacists compromise their independence and undermine their role in protecting nursing home residents from the use of unnecessary drugs.”
The United States alleges that Omnicare disguised the kickbacks it received from Abbott in a variety of ways. Abbott allegedly made payments to Omnicare described as “grants” and “educational funding,” even though their true purpose was to induce Omnicare to recommend Depakote. For example, according to the complaint, Omnicare solicited substantial contributions from Abbott and other pharmaceutical manufacturers to its “Re*View” program. Although Omnicare claimed that Re*View was a “health management” and “educational” program, the complaint alleges that it was simply a means by which Omnicare solicited kickbacks from pharmaceutical manufacturers in exchange for increasing the utilization of their drugs on elderly nursing home residents. In internal documents, Omnicare allegedly referred to Re*View as its “one extra script per patient” program. The complaint also alleges that Omnicare entered into agreements with Abbott by which Omnicare was entitled to increasing levels of rebates from Abbott based on the number of nursing home residents serviced and the amount of Depakote prescribed per resident. Finally, the complaint alleges that Abbott funded Omnicare management meetings on Amelia Island, Florida, offered tickets to sporting events to Omnicare management, and made other payments to local Omnicare pharmacies.
“Although the United States Attorney’s Office for the Western District of Virginia is small, we will not waver in our pursuit of the largest corporations, like Omnicare and Abbott, who illegally raid the coffers of Medicaid, Medicare, and other healthcare benefit programs,” said Acting U.S. Attorney Anthony P. Giorno for the Western District of Virginia.
“Kickback allegations place elderly nursing home residents at risk that treatment decisions are influenced by improper financial incentives,” said Special Agent in Charge Nicholas DiGiulio for the Department of Health and Human Services’ Office of Inspector General (HHS-OIG) region including Virginia. “We will continually guard government health programs and taxpayers from companies more intent on their bottom lines than on patient care.”
In May 2012, the United States, numerous individual states, and Abbott entered into a $1.5 billion global civil and criminal resolution that, among other things, resolved Abbott’s civil liability under the False Claims Act for paying kickbacks to nursing home pharmacies.
The United States filed its complaint against Omnicare in two consolidated whistleblower lawsuits filed under the False Claims Act in the Western District of Virginia. The whistleblower provisions of the False Claims Act authorize private parties to sue for fraud on behalf of the United States and share in any recovery. The United States is entitled to intervene and take over such lawsuits, as it has done here.
This case illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by the Attorney General and the Secretary of Health and Human Services. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $23.2 billion through False Claims Act cases, with more than $14.9 billion of that amount recovered in cases involving fraud against federal health care programs.
This investigation was jointly handled by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Western District of Virginia, HHS-OIG, the Office of the Attorney General for the Commonwealth of Virginia and the National Association of Medicaid Fraud Control Units.
The cases are captioned United States ex rel. Spetter v. Abbott Labs., et al., Case No. 10-cv-00006 (W.D. Va.) and United States ex rel. McCoyd v. Abbott Labs., et al., Case No. 07-cv-00081 (W.D. Va.). The claims asserted in the government’s complaint are allegations only and there has been no determination of liability.
United States Attorney’s Office Announces Child Exploitation Charges Against United Kingdom ManRead the Press Release
Extradited from UK and brought to Indianapolis to faces charges
INDIANAPOLIS – Josh Minkler, Acting United States Attorney, announced today that Domminich Shaw 35, London, England, has been extradited from the United Kingdom to face formal charges involving child pornography.
“Mr. Shaw has been exploiting American children from nearly 4000 miles away for several years,” said Minkler. “His crimes have been stopped and his accountability to the American people begins today.”
Shaw became a target for law enforcement officials from the United States and Europe in 2011. It is alleged that Shaw sexually exploited children and conspired to distribute child pornography from computers near West London. Much of his pornography collection involved very young children, most under the age of five.
He was indicted in the Southern District of Indiana in February 2011, and arrested by UK law enforcement officials at that time. He has been in custody ever since. He was extradited by UK officials and arrived in Indianapolis escorted by local FBI agents early Saturday morning, December 20, 2014. He had his initial appearance before a magistrate judge today and was ordered detained until trial. No trial date has been set.
Several of Shaw’s co-defendants have been convicted in US courts and are now serving decades in federal prison. Shaw has been formally charged with conspiracy to distribute and receive child pornography, conspiracy to commit sexual exploitation of children, distribution of child pornography and sexual exploitation of children.
The investigation is the result of significant efforts of the Federal Bureau of Investigation, with assistance from the Indiana State Police, Kokomo Police Department and Brownsburg Police Department.
FBI Special Agent in Charge W. Jay Abbott stated "this case is an excellent example of the collaborative efforts of law enforcement officers around the world working together to ensure individuals that victimize children are held accountable.”
This case was brought as part of Project Safe Childhood, a larger nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.
Led nationally by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
According to CEOS trial attorney Michael Grant and Senior Litigation Counsel Steve DeBrota who are prosecuting this case for the government, Shaw could face a lifetime in prison if convicted.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
United States Attorney Announces Federal Civil Rights Review of the Dontre Hamilton MatterRead the Press Release
This morning, the Milwaukee County District Attorney announced his decision, based on his review of the relevant facts and the applicable state law, not to initiate criminal charges against Milwaukee Police Officer Christopher Manney in connection with the death of Mr. Dontre Hamilton in Milwaukee, Wisconsin, on April 30, 2014.
The United States Department of Justice will undertake a federal review of this case to determine if, under federal civil rights law, there is a basis, both legal and factual, upon which a federal civil rights prosecution may be premised. This review will be conducted by the Federal Bureau of Investigation, the Office of the United States Attorney for the Eastern District of Wisconsin, and the Civil Rights Division.
Twelve Former Puerto Rico Police Officers Sentenced to Prison for Running Criminal Organization Out of Police DepartmentRead the Press Release
Twelve former Puerto Rico police officers have been sentenced for using their law enforcement affiliation and equipment to commit robbery and extortion, and to sell illegal narcotics and manipulate court records.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Rosa Emilia Rodríguez-Vélez of the District of Puerto Rico and Special Agent in Charge Carlos Cases of the FBI’s San Juan Division made the announcement.
The following 12 defendants have been sentenced:
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Osvaldo Vazquez-Ruiz was sentenced to 138 months in prison.Vazquez-Ruiz pleaded guilty on Aug. 21, 2014, to conspiracy to violate the Racketeer Influenced and Corrupt Organizations Act (RICO) and carrying a firearm during and in relation to a crime of violence.
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Orlando Sierra-Pereira was sentenced to 157 months in prison.Sierra-Pereira pleaded guilty on Aug. 21, 2014, to conspiracy to violate RICO and carrying a firearm during and in relation to a crime of violence.
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Danny Nieves-Rivera was sentenced to 157 months in prison.Nieves-Rivera pleaded guilty on Aug. 21, 2014, to conspiracy to violate RICO and carrying a firearm during and in relation to a crime of violence.
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Roberto Ortiz-Cintron was sentenced to 154 months in prison.Ortiz-Cintron pleaded guilty on Aug. 21, 2014, to conspiracy to violate RICO and carrying a firearm during and in relation to a crime of violence.
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Yovanny Crespo-Candelaria was sentenced to 70 months in prison.Crespo-Candelaria pleaded guilty on Aug. 21, 2014, to conspiracy to violate RICO.
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Nadab Arroyo-Rosa was sentenced to 78 months in prison.Arroyo-Rosa pleaded guilty on Aug. 21, 2014, to conspiracy to violate RICO.
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Jose Flores-Villalongo was sentenced to 78 months in prison.Flores-Villalongo pleaded guilty on Aug. 21, 2014, to conspiracy to violate RICO.
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Eduardo Montañez-Perez was sentenced to 63 months in prison.Montañez-Perez pleaded guilty on Aug. 15, 2014, to conspiracy to violate RICO.
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Carlos Candelario-Santiago was sentenced to 63 months in prison.Candelario-Santiago pleaded guilty on Aug. 15, 2014, to conspiracy to violate RICO.
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Ruben Casiano-Pietri was sentenced to 78 months in prison.Casiano-Pietri pleaded guilty on Aug. 21, 2014, to attempted Hobbs Act robbery.
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Ricardo Rivera-Rodriguez was sentenced to 33 months in prison.Rivera-Rodriguez pleaded guilty on Aug. 25, 2014, to attempted Hobbs Act extortion under color of official right.
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Christian Valles-Collazo was sentenced to 78 months in prison.Valles-Collazo pleaded guilty on Aug. 21, 2014, to attempted Hobbs Act robbery.
All 12 of the above defendants were sentenced by Senior U.S. District Judge Daniel R. Dominguez of the District of Puerto Rico, and the remaining four defendants convicted in this case are scheduled to be sentenced in January 2015. At the time of the crimes, Flores-Villalongo and Candelario-Santiago were sergeants with the Police of Puerto Rico; the others were police officers.
The officers convicted of the RICO conspiracy admitted to being members of a criminal organization that sought to enrich its members through a pattern of illegal conduct. Over the course of the conspiracy, the officers worked together to conduct traffic stops and enter homes or buildings used by persons suspected of being engaged in criminal activity to steal money, property and narcotics. The officers also planted evidence to make false arrests, and then extorted money in exchange for their victims’ release from custody. In exchange for bribe payments, the officers gave false testimony, manipulated court records and failed to appear in court when required so that cases would be dismissed. Additionally, the officers sold and distributed wholesale quantities of narcotics.
As just a few examples of their criminal conduct, in April 2012, Vazquez-Ruiz and Sierra-Pereira conducted a traffic stop in their capacity as police officers and stole approximately $22,000 they believed to be illegal drug proceeds. Vazquez-Ruiz later attempted to extort approximately $8,000 from an individual he believed to be a drug dealer’s accomplice in exchange for promising to release an alleged prisoner.
Further, in November 2012, Sierra-Pereira, Nieves-Rivera, Ortiz-Cintron and Valles-Collazo illegally entered an apartment and stole approximately $30,000, which they believed was illegal lottery proceeds.
The defendants frequently shared the proceeds they illegally obtained and used their power, authority and official positions as police officers to promote and protect their illegal activity. Among other things, the defendants used their police firearms, badges, patrol cars, tools, uniforms and other equipment to commit the crimes and concealed their illegal activity with fraudulently obtained court documents and falsified police paperwork to make it appear that they were engaged in legitimate police work.
The case was investigated by the FBI’s San Juan Division. The case is being prosecuted by Trial Attorneys Brian K. Kidd, Emily Rae Woods and Menaka Kalaskar of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Mariana E. Bauzá of the District of Puerto Rico.
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Tennessee Federal Court Bars Owners of Memphis-Area Tax Return Preparation Stores from Preparing Returns for OthersRead the Press Release
A federal court in Memphis, Tennessee, permanently barred three individuals from preparing tax returns for others and owning or operating a tax return preparation business, the Justice Department announced today.
The civil injunction order, to which the defendants Shandon Allen, Tabitha Tunstall, and Shewanda Hamilton agreed, was signed by U.S. District Judge S. Thomas Anderson of the U.S. District Court for the Western District of Tennessee.
The United States brought the civil injunction suit in October 2014, alleging that the defendants and their employees prepare fraudulent tax returns that cause their customers to incorrectly report their federal tax liabilities and underpay their taxes. According to the complaint, the defendants and their employees prepare federal tax returns on which they falsely claim the Earned Income Tax Credit, improper filing status, and bogus education credits. Additionally, the defendants and their employees allegedly improperly prepare tax returns using paystubs rather than W-2 forms, fabricate bogus W-2 forms and file tax returns without some customers’ consent while charging deceptive and unconscionable fees, according to the suit.
The complaint alleged that the defendants were former managers of Mo’ Money Taxes, but began doing business as Southern King Taxes in 2012. The United States previously obtained an injunction permanently barring the owners of Mo’ Money Taxes, Markey Granberry and Derrick Robinson, as well as a former Mo’ Money manager, Eumora Reese, from preparing tax returns for others and owning or operating a tax return preparation business. The complaint alleged that Allen, Tunstall, and Hamilton continue to prepare tax returns in the same fraudulent manner as alleged in the complaint against the owners of Mo’ Money Taxes.
Return preparer fraud is one of the IRS’s Dirty Dozen Tax Scams for 2014. The IRS has some tips on their website for choosing a tax preparer. In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Springfield Landlord Convicted of Fraud and Forgery ChargesRead the Press Release
SPRINGFIELD - A Springfield landlord was convicted in federal court today of fraud and related charged in connection with fires at two of his Springfield properties.
Wilkenson Knaggs, 43, was convicted by a jury following a five-day trial of three counts of mail fraud, two counts of negotiating checks with forged endorsements, and two counts of spending the mail fraud proceeds. U.S. District Judge Mark Mastroianni scheduled sentencing for March 20, 2015.
Following a Nov. 16, 2008 fire at 376-378 Franklin Street in Springfield, Knaggs submitted a fraudulent contract for rehabilitating the three-family house in order to obtain a payout on his homeowner’s policy. He also forged the endorsement of the City of Springfield on a second check, cashing the check at a Boston check cashing company, and using the proceeds to buy a two-family house at 99 Central Street. In addition, Knaggs recorded the title to 99 Central Street in the name of a relative and used the relative to make a claim on the insurance policy after a March 7, 2010, fire at the Central Street property.
The charging statutes provide for a sentence of no more than 20 years in prison, three years of supervised release and a $250,000 fine on each mail fraud count with lower maximum sentences on the other charges. Actual sentences for federal crimes are typically less than the statutory maximum penalties. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; Shelley Binkowski , Postal Inspector in Charge, United States Postal Inspection Service; and Vincent Lisi, Special Agent in Charge of the Federal Bureau of Investigation’s Boston Field Division made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Karen Goodwin and Deepika Shukla of Ortiz’s Springfield Branch Office.
South Jersey Man Sentenced to Six Hours in Jail for Shooting Four Species of Protected Hawks in his Residential NeighborhoodRead the Press Release
NEWARK, N.J. - A Somers Point, New Jersey, man was sentenced today to six hours in jail for killing, or attempting to kill, four different species of hawks protected by federal law, U.S. Attorney Paul J. Fishman announced.
Robert Losasso, 70, previously pleaded guilty before U.S. Magistrate Judge Steven C. Mannion to six counts of violating the Migratory Bird Treaty act for shooting the birds from his home. Judge Mannion imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Losasso admitted that he fatally shot or attempted to shoot red-tailed, sharp-shinned, red-shouldered and Cooper’s hawks on several occasions. These species are among the tens of thousands of birds of prey that migrate every year from Canada along the Atlantic Flyway through New Jersey. Losasso also admitted that he didn’t have any permit to shoot the birds.
The Migratory Bird Treaty Act is a statute that was enacted in 1918 and implements in the United States protections afforded migratory birds under several international conventions to which the United States is a party. Breeding populations of red-shouldered hawks are listed as endangered on the State of New Jersey’s Endangered and Threatened Wildlife list. Sharp-shinned hawks and populations of Cooper’s hawks also have special protections under New Jersey state law.
In addition to the incarceration, which will be served Jan. 5, 2015, Judge Mannion sentenced Losasso to 18 months of supervised release, during which time he may not possess any firearms. He must also pay a total of $4,350 in restitution to four wildlife rehabilitation facilities and perform 60 hours of community service at a wildlife facility.
In his plea agreement, Losasso must also pay more than $4,000 in restitution to the wildlife rehabilitation centers that incurred losses treating or euthanizing hawks injured as a result of his conduct.
U.S. Attorney Fishman credited special agents of U.S. Fish and Wildlife Service, Office of Law Enforcement, under the direction of Resident Agent in Charge Carmine Sabia, with the investigation leading to today’s sentencing. He also thanked the N.J. Division of Fish and Wildlife, Bureau of Law Enforcement, and the Somers Point Police Department for their roles in the case.
The government is represented by Assistant U.S. Attorney Kathleen P. O’Leary of the U.S. Attorney's Office Health Care and Government Fraud Unit in Newark.
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Defense counsel: Linda Foster Esq., Assistant Federal Public Defender, NewarkScranton Woman Sentenced to Five Years Imprisonment for Trafficking HeroinRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced that Siquana Wallace, age 39, Scranton, was sentenced on December 18, 2014 in federal court in Scranton on a charge of trafficking in excess of 100 grams of heroin.
United States District Court Judge Robert D. Mariani sentenced Wallace to 60 months imprisonment followed by eight years of supervised release. Wallace was charged in an indictment filed on October 16, 2012. She pleaded guilty on May 29, 2013 to conspiring to distribute in excess of 100 grams of heroin, a Schedule I controlled substance, from September 2011 through May 2012.
This case was part of an investigation of a conspiracy to distribute heroin between New York and Scranton and Wilkes-Barre by the Drug Enforcement Agency, the Lackawanna County District Attorney’s Office – Detective Division, the Pennsylvania State Police, as well as both the Scranton and Wilkes-Barre Police Departments. Assistant United States Attorney Michelle Olshefski prosecuted the case.
Retired Myrtle Beach Fireman Sentenced as a Sex OffenderRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ----United States Attorney Bill Nettles stated that Webster Douglas Williams, III, age 56, of Myrtle Beach, South Carolina was sentenced in federal court in Florence, South Carolina, for Sexual Exploitation of a Minor, a violation of 18 U.S.C. § 2251(a) and (e), Travel With Intent to Engage in Illicit Sexual Conduct, a violation of 18 U.S.C. § 2423(b), and Possession of Child Pornography, a violation of 18 U.S.C. § 2252A(a)(5)(B). United States District Judge R. Bryan Harwell of Florence sentenced Williams to 327 months imprisonment to be followed by Supervised Release for life during which Williams is required to register as a Sex Offender, attend Sexual Offender Treatment and submit to polygraph examinations. Williams was also ordered to pay restitution of $487,350.00 to his victims.
Evidence presented at the change of plea hearing established that Williams was employed by the Myrtle Beach Fire Department before he retired. Williams produced child pornography for six years by filming his activities with the children he was molesting. He also took children to Florida in 2009 and engaged in sexual activities with one of the children. When Williams’ house was searched by the Horry County Police Department in November 2011 more than 1 million images of child pornography were found in the form of pictures and videos on computers and elsewhere. Hidden cameras, computers, and other material used by Williams in producing and collecting the child pornography were also found and seized.
The case was investigated by agents of the Horry County Police Department and the Federal Bureau of Investigation. Assistant United States Attorney William E. Day II of the Columbia office prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.Porcupine Man Sentenced for Voluntary ManslaughterRead the Press Release
United States Attorney Brendan V. Johnson announced that a Porcupine, South Dakota, man convicted of Voluntary Manslaughter was sentenced on December 17, 2014, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Lawrence Red Shirt, age 28, was sentenced to 72 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
The conviction stems from Red Shirt using a sharp object to stab his father at least four times in the upper left arm and shoulder area at Rockyford, South Dakota, on November 8, 2013. The stab wounds inflicted on the victim were fatal.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Red Shirt was immediately turned over to the custody of the U.S. Marshals Service.
Pennsylvania Realtor Sentenced for Defrauding ClientsRead the Press Release
PHILADELPHIA - Joseph N. Reilly, 69, of Philadelphia, PA, was sentenced today to 26 months in prison for with mail fraud in connection with a million dollar fraud scheme. According to the information, Reilly, who owned Joseph N. Reilly Real Estate, Inc., diverted more than $1 million in client funds to himself, between January 2009 and April 2011, defrauding approximately 50 clients. He pleaded guilty on May 29, 2014.
Reilly, through his company, acted as a property manager for his clients, collecting rent and utilities payments for owners. He also paid utility and real estate tax bills. Reilly mailed monthly statements to tenants and property owners. Reilly sent at least one statement to a property owner indicating that the balance in the owner’s account was $490,565.58 when, in fact, the balance was $86.80.
In addition to the prison term, U.S. District Court Judge L. Felipe Restrepo ordered restitution of $668,856, two years of supervised release, and a $100 special assessment.
The case was investigated by the U.S. Postal Inspection Service and is being prosecuted by Assistant United States Attorney Judy G. Smith.
Pembroke Pines Resident Sentenced to 87 Months in Identity Theft Tax Refund Fraud SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Kelly R. Jackson, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and J. Scott Dennis, Chief, North Miami Beach Police Department, announce that Jude Estama, 42 of Pembroke Pines, Florida, was sentenced to 87 months in prison, followed by 3 years of supervised release, and was ordered to pay $759,992 in restitution.
Estama previously pled guilty to one count of wire fraud, in violation of Title 18, United States Code, Section 1343, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A.
According to court documents, from January 2008 through August 2012, Estama engaged in an identity theft tax refund fraud scheme. In furtherance of the scheme, the defendant opened and controlled bank accounts at various banks in his own name and in the name of two corporations that listed him as president. Estama caused fraudulent individual income tax returns to be filed with the IRS using the identity information primarily of high school students and deceased persons. The defendant caused over $700,000 in refund monies to be direct deposited to the bank accounts he controlled, and he withdrew money from these refunds for his own personal use and benefit.
Mr. Ferrer commended the investigative efforts of IRS-CI. The case was prosecuted by Assistant U.S. Attorney Michael N. Berger.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Owner of Financial Services Company Sentenced to Four Years for Securities and Tax Fraud SchemesRead the Press Release
BOSTON – The former owner of a Lawrence-based financial services company was sentenced today for defrauding investors, filing false tax returns on behalf of certain clients, and filing his own false tax returns.
Robert Burton, 37, the former Managing Director of Pinnacle Financial Consulting LLC, Pinnacle Strategic Investments LLC, and the Pinnacle Asset and Capital Management Group LLC, was sentenced by U.S. District Court Senior Judge Mark L. Wolf to four years in prison, three years of supervised release, and ordered to pay $159,500 in restitution to the fraud victims, as well as $271,640 to the Internal Revenue Service. In August 2014, he pleaded guilty to three counts of securities fraud, two counts of procuring false tax returns, and three counts of subscribing false tax returns.
Burton acted as an investment advisor to at least some of his clients and promised to invest their money in various securities, including stocks, mutual funds, and in a debt portfolio allegedly managed by Pinnacle. In some instances, he promised to return the principal invested within approximately 30 days, along with an interest payment equal to 100% of the amount invested. Burton did not invest the money as promised, did not make the promised payments and, in some instances, provided investors with checks that ultimately bounced.
Through Pinnacle, Burton also provided tax preparation services and, in at least two instances, prepared, and filed, false tax returns on behalf of his clients. Finally, although Burton derived substantial income through the operation of Pinnacle, he failed to identify that income on his own tax returns and admitted to filing false tax returns for the 2008 through 2011 tax years.
United States Attorney Carmen M. Ortiz; Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and William P. Offord, Special Agent in Charge of the U.S. Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. The Massachusetts Attorney General’s Office, which has a civil case pending against Burton, cooperated with the investigation. The case was prosecuted by Assistant U.S. Attorney Sarah E. Walters, Chief of Ortiz’s Economic Crimes Unit.###
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.
Organizer of $9 Million Health Care Scam Set for Arraignment TodayRead the Press Release
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USDOJ: US Attorney's Office - CENTRAL DISTRICT OF CALIFORNIA - 165Covina Hospice Sought Millions for ‘Treating’ Patients who were not Terminally Ill
LOS ANGELES – A Placentia woman already serving a prison sentence for defrauding Medi-Cal is expected to be arraigned this afternoon on new federal charges related to her operation of a hospice that submitted millions of dollars in fraudulent bills to Medicare and Medi-Cal for purportedly providing end-of-life care to patients who were, in fact, not dying.
Priscilla Villabroza, 68, has been transferred from a federal prison in Victorville and is expected to be arraigned on a 25-count indictment this afternoon in United States District Court in Los Angeles.
Villabroza is one of six defendants charged in relation to the scheme allegedly run out of the Covina-based California Hospice Care, which Villabroza purchased in late 2007 while under investigation in the earlier case that later sent her to prison for 4½ years.
Between March 2009 and June 2013, California Hospice submitted nearly $9 million in fraudulent bills to Medicare and Medi-Cal for hospice-related services, and the public health programs paid nearly $7.5 million.
According to the indictment, the fraud at California Hospice involved Villabroza and her daughter paying patient recruiters known as “marketers” or “cappers” to bring in Medicare and Medi-Cal beneficiaries. As part of the scheme, registered nurses at the facility performed “assessments” to determine whether the beneficiary was terminally ill and, regardless of the outcome, two doctors at the hospice certified that the beneficiary was terminally ill – even though the vast majority of them were not dying. Personnel at California Hospice allegedly altered medical records in response to Medicare audits to make the beneficiaries appear sicker. In the end, Medicare and Medi-Cal paid millions of dollars for medically unnecessary hospice-related services.
On December 17, the other five defendants were taken into custody and were arraigned on the indictment. They are:
Villabroza’s daughter, Sharon Patrow, 43, of Placentia, who appeared to own California Hospice and who operated the facility with her mother;
Dr. Sri Wijegoonaratna, 60, of Anaheim Hills, a physician who worked at the hospice and allegedly recruited patients;
Dr. Boyoa Huang, 41, of Pasadena, another doctor at California Hospice;
Nancy Briones, 74, of Mira Loma, a registered nurse who also allegedly recruited patients to be “treated” at California Hospice; and
Roseilyn Montana, 52, of San Bernardino, who recruited patients.
All five of the defendants arraigned last week pleaded not guilty, were released on bond and were ordered to stand trial before United States District Judge S. James Otero on February 10.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty.
All six defendants are charged in 13 counts of health care fraud, an offense that carries a statutory maximum sentence of 10 years in prison for each count.
Villabroza and Patrow are each charged with 12 counts of money laundering, each one of which carries a potential sentence of 20 years in prison.
Villabroza is currently in federal prison serving a 54-month term after being convicted of running a health care fraud scheme involving unlicensed nurses (see:
http://www.justice.gov/usao/cac/Pressroom/pr2009/082.html).The investigation into California Hospice was conducted by the United States Department of Health and Human Services, Office of Inspector General, the Federal Bureau of Investigation, the California Bureau of Medi-Cal Fraud & Elder Abuse, and IRS – Criminal Investigation.
Release No. 14-165
Omaha Man Sentenced to Ten Years for Child PornographyRead the Press Release
United States Attorney Deborah R. Gilg announced that on December 19, 2014, United States District Court Judge Joseph F. Bataillon sentenced Mark A. Swift of Omaha, Nebraska, to ten years of imprisonment. There is no parole in the federal prison system. After his release from prison Swift will begin a 10 year term of supervised release.
On March 7, 2014 members of the Douglas County Sheriff’s Office and the FBI Cyber Crimes Task Force served a search warrant looking for child pornography at Swift’s residence in South Omaha. Swift was in possession of seventy-five (75) videos of children, many prepubescent, engaged in sexually explicit conduct. Swift, a registered sex offender, was previously convicted in Florida for Lascivious Battery of a Child Over 12 years of age.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Old Forge Pharmacist Sentenced to 15 Months Imprisonment in Health Care Fraud CaseRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced that an Old Forge pharmacist who previously plead guilty to health care fraud was sentenced on December 18, 2014 in federal court in Scranton.
United States District Court Judge Malachy E. Mannion sentenced Peter J. Capitano, age 58, to 15 months imprisonment followed by a 3-year term of supervised release. Capitano was also ordered to pay restitution in the amount of $166,287.03 to Blue Cross of Northeastern Pennsylvania and Medicaid.
According to United States Attorney Peter J. Smith, a criminal information was filed in January 2014 charging Capitano with engaging in a scheme to defraud Blue Cross of Northeastern Pennsylvania and Medicaid from 2007 through August 2013. The scheme involved submitting claims or causing claims to be submitted to those health benefit providers for drugs allegedly prescribed when the prescriptions did not exist and for drugs not actually dispensed.
The charges stemmed from an investigation initiated in February of 2011 by the Federal Bureau of Investigation and the Department of Health and Human Services, Office of Inspector General.
Assistant United States Attorney Michelle Olshefski prosecuted the case.
Oglala Sioux Tribal Advocate Found Guilty of Conspiracy and Possession with Intent to Distribute CocaineRead the Press Release
United States Attorney Brendan V. Johnson announced that Susan Schrader, age 53, of Pine Ridge, South Dakota, was found guilty of Conspiracy to Distribute and Possession with Intent to Distribute a Controlled Substance following a federal jury trial in Rapid City, South Dakota. The jury returned their verdict on December 18, 2014.
The charge carries a maximum penalty of up to 20 years in custody and/or a $1,000,000 fine, at least 3 years up to life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
For close to 15 years, Schrader made her living as a leading tribal advocate working in the Oglala Sioux Tribe court system. Schrader was charged with conspiracy and possession with intent to distribute cocaine, primarily on the Pine Ridge Reservation, beginning as early as 2005 and continuing up to May 20, 2014, the date of her Indictment. In addition to evidence showing she was a virtual clearinghouse for the distribution of cocaine in Pine Ridge Village, there was testimony from several witnesses that Schrader would on occasion accept cocaine as payment for her advocacy services.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, the Federal Bureau of Investigation, the Bureau of Indian Affairs Office of Justice Services, the South Dakota Division of Criminal Investigation, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
A presentence investigation was ordered and a sentencing date was set for March 20, 2015. The defendant was remanded to the custody of the U.S. Marshals Service.
Norcross Clinic Owner Sentenced for Healthcare FraudRead the Press Release
ATLANTA - Shinkweon Park has been sentenced for conspiring to commit healthcare fraud by submitting false claims for doctor visits, acupuncture, and physical therapy to Medicare and Blue Cross Blue Shield.
“Park cheated our healthcare system by filing over $2 million in fraudulent claims, diverting precious healthcare resources,” said United States Attorney Sally Quillian Yates. “He is now being held accountable for his crimes.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “This case not only provides an example of the problems facing the health care industry by those who engage in such extensive schemes to defraud that industry, but also the government’s efforts to eradicate the fraud that is putting such a strain on this industry. The FBI continues to work with its corporate healthcare partners such as Blue Cross Blue Shield, as well as its law enforcement partners, including the U.S. Health and Human Services Office of Inspector General, in stemming the tide on such damaging healthcare fraud cases that divert programs and services away from those who truly need them.”
“Shin Park used his position to take advantage of the Medicare program by submitting fraudulent claims for services he never rendered for hundreds of Medicare beneficiaries who placed their trust in him to do the right thing,” said Special Agent in Charge Derrick L. Jackson of the U.S. Department of Health and Human Services, Office of Inspector General, Atlanta Regional Office. “Today’s sentence demonstrates that HHS OIG is committed to combatting fraud and protecting America’s most vulnerable citizens, and shows how quickly justice can be achieved when we work closely with our fellow federal law enforcement partners and civilian counterparts.”
According to United States Attorney Yates, the charges and other information presented in court: From November 2009 through May 2012, Park owned and operated the LOMA Clinic in Norcross, Ga. Beginning in April 2010, the clinic began submitting false claims to Medicare in three ways. First, Park, a licensed acupuncturist, submitted claims for acupuncture treatments, which were not reimbursable by Medicare under any circumstances. Second, LOMA billed for massage and physical therapy services that were not performed by licensed physical therapists or physical therapy assistants, as required by Medicare. Third, LOMA billed Medicare for office visits purportedly performed by a medical doctor. In fact, the doctor hired by LOMA to serve as medical director of the clinic never examined or treated patients. However, all of LOMA’s claims were submitted using his unique provider code. Similar false claims were made to Blue Cross Blue Shield.
Over two years, LOMA submitted over $1.6 million in false claims to Medicare, along with an additional $475,000 in false BCBS claims. Based upon the claims, Medicare paid LOMA over $969,000, and LOMA received over $210,000 from BCBS.
Park, 43, of Suwanee, Ga., was sentenced by United States District Judge Thomas W. Thrash, Jr., to two years, nine months in prison, to be followed by three years of supervised release, and ordered to pay restitution in the amount of $1,190,166.31. Park was convicted on these charges on January 6, 2014, after he pleaded guilty to one count of conspiracy to commit healthcare fraud.
This case was investigated by the Federal Bureau of Investigation and the United States Department of Health and Human Services, Office of the Inspector General.
Assistant United States Attorney Shanya J. Dingle prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Muskogee Man Pleads Guilty to Firearm PossessionRead the Press Release
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced today that HANK JOSHUA BELL, age 34, of Muskogee, Oklahoma, pled guilty to Felon in Possession of a Firearm, in violation of Title 18, United States Code, Section 922(g)(1).
Charges arose from an investigation by the Muskogee Police Department and the Federal Bureau of Investigation. The defendant was indicted in November, 2014.
The Indictment alleged that on or about October 8, 2014, within the Eastern District of Oklahoma, the defendant, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce, firearms, which had been shipped and transported in interstate commerce.
The Honorable Steven P. Shreder, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the guilty plea and ordered the completion of a presentence report. Sentencing will be scheduled following its completion. The defendant will remain in the custody of the United States Marshal Service pending sentencing.
The statutory range of punishment is not more than 10 years imprisonment and/or up to a $250,000 fine.
Assistant United States Attorney Kyle Waters represented the United States.
Morris County, New Jersey, Man Sentenced to 141 Months for Armed Bank RobberyRead the Press Release
NEWARK, N.J. – A Randolph, New Jersey, man was sentenced to 141 months in prison for robbing a bank at gunpoint, U.S. Attorney Paul J. Fishman announced today.
Rahman Fulton, 35, was previously convicted by a federal jury of one count of bank robbery and one count of using a firearm in furtherance of the bank robbery. Fulton was convicted after a two-week trial before U.S. District Judge Stanley R. Chester, who imposed the sentence today in Newark federal court.
According to documents filed in this case and the evidence at trial:
Fulton was charged with robbing the PNC bank in Randolph May 25, 2012. Fulton entered the bank wearing a black cloth mask covering his head and face and holding a handgun. He demanded and received money from a bank teller. The bank teller slipped a GPS tracking device into the money she handed over to Fulton. The GPS data placed the tracking device in Fulton’s bedroom minutes after the robbery. He later lied to the police about his whereabouts during the robbery and made other incriminating statements to his girlfriend and girlfriend’s sister, including a call just 10 minutes after the robbery to someone that worked across the street from the bank asking them if they had heard about the robbery.
In addition to the prison term, Judge Chester sentenced Fulton to serve three years of supervised release.
U.S. Attorney Paul J. Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford, with the investigation leading to the charge. He also thanked the Randolph Township Police Department and Morris County Prosecutor’s Office for their contributions to the case.
The government is represented by Assistant U.S. Attorneys Daniel V. Shapiro and Elizabeth Harris of the U.S. Attorney's Office General Crimes Unit in Newark.14-456
Defense counsel: Carol Gillen Esq. and K. Anthony Thomas Esq., Assistant Federal Public Defenders, NewarkMan Sentenced to 63 Months in Prison for Possessing Cocaine with Intent to DistributeRead the Press Release
St. Croix, USVI – On Friday December 19, 2014, Chief District Court Judge Wilma A. Lewis sentenced Miguel Angel Pascual-Pichardo, 37, to 63 months in prison for possession of cocaine with intent to distribute, United States Attorney Ronald W. Sharpe announced today. Chief Judge Lewis also sentenced Pascual-Pichardo to serve four years of supervised release and pay a $100 special assessment.
Court records show that on January 9, 2014, police lawfully searched the vehicle that Pascual-Pichardo was driving and found several duffle bags containing 228 kilos of cocaine. On January 27, 2014, Pascual-Pichardo pleaded guilty. At the conclusion of Friday’s sentencing hearing, he was remanded to the custody of the U.S. Marshals Service.
The case was investigated by U.S. Immigration and Customs Enforcement's Homeland Security Investigations with assistance from the U.S. Drug Enforcement Administration and the Virgin Islands Police Department. The case was prosecuted by Assistant U.S. Attorney Rhonda Williams-Henry.
Look-Out in Armed Pizza Store Robbery Sentenced to 9 Years in PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Duane Thomas Mobley, age 40, of Upper Marlboro, Maryland, today to nine years in prison, followed by three years of supervised release, for conspiring to rob a business and brandishing a firearm during a crime of violence, in connection with the May 22, 2013 armed robbery of a pizza restaurant.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; Chief Mark A. Magaw of the Prince George’s County Police Department; and Prince George’s County State’s Attorney Angela D. Alsobrooks.
According to Mobley’s plea agreement, he conspired with Keith Dana Steedley, Jr. to rob a pizza restaurant in Largo, Maryland. Steedley went into the restaurant brandishing a shotgun, while Mobley stayed by the front door. Steedley pointed the shotgun at several employees and demanded money. Steedley took five dollars from a store employee and the cash register money drawer, which contained $90. Steedley and Mobley got into a vehicle and fled. Witnesses called 911 and provided a description of the getaway vehicle.
While responding to the 911 calls, a Prince George’s County Police Department (PGPD) officer saw a vehicle matching the description of the getaway car a few blocks from the restaurant. The officer saw the vehicle turn onto a dead end street and followed. As the officer turned into the street, he saw Steedley bail out of the passenger side of the vehicle and run into a wooded area. A K-9 search was conducted and Steedley was found hiding in the woods. A search of the area recovered forty-eight one dollar bills. Victims brought to the scene identified Steedley as the person who robbed them. A subsequent search of the vehicle recovered the shotgun used in the robbery, a starter’s pistol on the passenger floorboard, a money drawer from a cash register, and cash and receipts from the pizza restaurant. The vehicle was registered to Mobley.
The next morning a woman called 911 when she saw a man coming down the street shouting for help. The woman stated that the man – later identified as Mobley – was “taped up.” In an interview with PGPD officers, Mobley falsely claimed that he had been carjacked and kidnapped the night before and gave a written statement to police recounting his purported kidnapping. During the investigation of Mobley’s kidnapping, PGPD officers realized that Mobley was the registered owner of the vehicle used in the pizza restaurant robbery. After being questioned by police, Mobley admitted that he had been involved in the robbery and that his claim of being carjacked and kidnapped was false.
Telephone records also show several calls between Mobley and Steedley shortly before the robbery.
Keith Dana Steedley, Jr., age 29, of Germantown, Maryland, pleaded guilty to his role in the conspiracy and was sentenced to 11 years in prison.
United States Attorney Rod J. Rosenstein commended the ATF, Prince George’s County Police Department and Prince George’s County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Thomas M. Sullivan, who prosecuted the case.