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Tuesday 16 December 2014
Girls Softball Coach Arraigned on Child Pornography ChargesRead the Press Release
ATLANTA - Nicholas Mazza, who worked as a girls softball coach in Cobb County, Ga., has been arraigned on federal charges of distributing and possessing child pornography. Mazza was indicted by a federal grand jury on December 9, 2014.
“The victimization of children is one of the most heinous and despicable crimes imaginable,” said United States Attorney Sally Quillian Yates. “Distributing images of the sexual abuse of children on the Internet only compounds the harm done to the children. We will continue to vigorously pursue and prosecute those persons who collect and trade these images.”
According to United States Attorney Yates, the charges, and other information presented in court: In late October 2014, special agents of the Department of Homeland Security were monitoring a peer-to-peer program to identify individuals who were making child pornography available for others to download onto their computers. A peer-to-peer program allows users to share digital files directly with other persons who use the same program. The agents found that the defendant had child pornography videos available on his computer. After determining that this activity was occurring from his house in Powder Springs, Ga., they obtained a federal search warrant and executed it at the defendant's home on November 6, 2014. They found a computer and hard drive that contained thousands of images and videos of young girls being sexually abused.
Mazza, 66, of Powder Springs, Ga., was arrested on November 7, 2014. Prior to his arrest, he worked as a fast-pitch softball coach at “GeorgiaScout” in Cobb County for girls between the ages of 8 and 17 years. He was arraigned before United States Magistrate Judge Linda T. Walker.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.Assistant United States Attorney Paul R. Jones is prosecuting the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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/.
Gettysburg Attorney Sentenced to 15 Years in Federal Prison for Defrauding Clients of over $6 MillionRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that today in Harrisburg United States District Court Judge John E. Jones III sentenced Wendy Weikal-Beauchat, 46, to 15 years’ imprisonment plus restitution and forfeiture totaling over $12 million for wire fraud and money laundering in connection with the misuse of her clients’ funds.
In sentencing Weikal-Beauchat, Judge Jones stated that she had stolen from clients who were members of the depression and WWII generation and had undermined public trust in lawyers. He dismissed her statement that she had “messed up” by saying that her conduct was essentially stealing from her clients and that her apology, presented in court for the first time today, was “hollow.”
Judge Jones ordered Weikal-Beauchat to be taken into custody by U.S. Marshals to begin serving her sentence immediately after the hearing. The judge found that a sentence above the guideline range was necessary as a just punishment and to deter violations of the public trust. He ordered $6,365,913 in restitution and $6,341,451 in forfeiture. According to the U.S. Attorney’s Office, the restitution amount in this case is higher because it includes expenses incurred by the victims, such as legal fees, above and beyond the proceeds of the crime.
Approximately 30 of Weikal-Beauchat’s former clients and their family members attended the sentencing. Sixteen of them read statements to the court. Most emphasized the mental as well as financial harm inflicted on them and their families by Weikal-Beauchat’s fraud.
Weikal-Beauchat, who has since been disbarred, was an attorney with the Gettysburg firm of Beauchat and Beauchat, concentrating on estate, trust, and long-term care planning. According to the evidence presented by Assistant U.S. Attorney Joseph J. Terz, beginning in 2007, Weikal-Beauchat diverted approximately $6 million from a trust account she maintained for her clients at M&T Bank. Weikal-Beauchat used the crime proceeds to operate her law firm, and for vacations and other personal expenses. She falsely represented she could invest in certificates of deposit with high interest rates as a result of her “special relationship” with M&T Bank. She generated bogus bank CDs and distributed them to her clients to further mislead them.
When several clients and M&T Bank questioned Weikal-Beauchat’s handling of the funds and/or initiated complaints against her, she made false statements, submitted false documents and said that she had hired an accountant to help her respond to the questions about the law firm’s activities. In reality there was no accountant.
The details of the fraud scheme are presented in the government’s sentencing memorandum filed on Nov. 10, 2014, and in Judge Jones’ memorandum and order filed on Dec. 8, 2014.
The investigation was conducted by the Internal Revenue Service, Criminal Investigations, and the FBI’s Harrisburg office. The case was prosecuted by Assistant U.S. Attorney Joseph J. Terz and Special Assistant U.S. Attorney Brian Sinnett of the Adams County District Attorney’s Office, assisted by the U.S. Attorney’s Office Victim Witness Unit.
Weikal-Beauchat was charged in a criminal information filed by the U.S. Attorney’s Office on Nov. 4, 2013. She pleaded guilty on November 15.
Gettysburg Attorney Sentenced to 15 Years in Federal Prison for Defrauding Clients of over $6 MillionRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that today in Harrisburg United States District Court Judge John E. Jones III sentenced Wendy Weikal-Beauchat, age 46, to 15 years’ imprisonment plus restitution and forfeiture totaling over $12 million for wire fraud and money laundering in connection with the misuse of her clients’ funds.
In sentencing Weikal-Beauchat, Judge Jones stated that she had stolen from clients who were members of the depression and WWII generation and had undermined public trust in lawyers. He dismissed her statement that she had “messed up” by saying that her conduct was essentially stealing from her clients and that her apology, presented in court for the first time today, was “hollow.”
Judge Jones ordered Weikal-Beauchat to be taken into custody by U.S. Marshals to begin serving her sentence immediately after the hearing. The Judge found that a sentence above the guideline range was necessary as a just punishment and to deter violations of the public trust. He ordered $6,365,913 in restitution and $6,341,451 in forfeiture. According to the U.S. Attorney’s Office, the restitution amount in this case is higher because it includes expenses incurred by the victims, such as legal fees, above and beyond the proceeds of the crime.
Approximately 30 of Weikal-Beauchat’s former clients and their family members attended the sentencing. Sixteen of them read statements to the Court. Most emphasized the mental, as well as the financial harm inflicted on them and their families by Weikal-Beauchat’s fraud.
Weikal-Beauchat, who has since been disbarred, was an attorney with the Gettysburg firm of Beauchat and Beauchat, concentrating on estate, trust, and long-term care planning. According to the evidence presented by Assistant U.S. Attorney Joseph J. Terz, beginning in 2007, Weikal-Beauchat diverted approximately $6 million from a trust account she maintained for her clients at M&T Bank. Weikal-Beauchat used the crime proceeds to operate her law firm, and for vacations and other personal expenses. She falsely represented she could invest in certificates of deposit with high interest rates as a result of her “special relationship” with M&T Bank. She generated bogus bank CDs and distributed them to her clients to further mislead them.
When several clients and M&T Bank questioned Weikal-Beauchat’s handling of the funds and/or initiated complaints against her, she made false statements, submitted false documents and said that she had hired an accountant to help her respond to the questions about the law firm’s activities. In reality there was no accountant.
The details of the fraud scheme are presented in the Government’s Sentencing Memorandum filed on November 10, 2014 and in Judge Jones’ Memorandum and Order filed on December 8, 2014.
The investigation was conducted by the Internal Revenue Service, Criminal Investigations and the FBI’s Harrisburg office. The case was prosecuted by Assistant U.S. Attorney Joseph J. Terz and Special Assistant U.S. Attorney Brian Sinnett of the Adams County District Attorney’s Office, assisted by the U.S. Attorney’s Office Victim Witness Unit.
Weikal-Beauchat was charged in a criminal information filed by the U.S. Attorney’s Office on November 4, 2013. She pleaded guilty on November 15.
Gautier Man Sentenced to 48 Months in Prison for Firearms Theft ConspiracyRead the Press Release
Gulfport, Miss –Aubrey Knox, 35, of Gautier, was sentenced today to 48 months in federal prison followed by three years of supervised release in a case involving the theft of 46 firearms, including machine guns, from a federal firearms licensee, U. S. Attorney Gregory K. Davis announced today. He was also ordered to pay a $5,000 fine.
Knox entered a guilty plea on September 24, 2014, to conspiracy to commit crimes against the United States for his role in purchasing six of the stolen firearms.
This case was investigated by the Moss Point Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Annette Williams.
Former U.S. Postal Worker and Others Sentenced for Fraudulent Income Tax Refund SchemeRead the Press Release
ATLANTA - Kenneth Campbell, a/k/a “Scrilla,” Corey Thomas, a/k/a “Lil Corey,” Adrian Bridges, Juarez Johnson, Justin Cody, a/k/a “Decatur Slim,” and Aeshia Wilmore have been sentenced for their roles in a $1 million fraudulent income tax refund scheme.
“Identity theft unfortunately has become the crime of choice given the availability or stolen or lost personal information,” said United States Attorney Sally Quillian Yates. “With each offense, an innocent person’s financial livelihood is put at risk. We will continue to investigate and prosecute these crimes and will seek sentences that deter and punish this conduct.”“Identity thieves are becoming more devious, creative, and conniving,” stated Veronica F. Hyman-Pillot, Special Agent in Charge, IRS-Criminal Investigation. "These defendants perpetuated an elaborate scheme driven by insatiable greed and a blatant disregard for the tremendous damage inflicted on innocent victims. These criminals must be and will continue to be pursued in order to obtain justice for the victims as well as justice for our nation.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “The sentencing of these individuals concludes an extensive criminal investigation that now holds those involved with victimizing so many accountable for their actions. The FBI will continue to work with its law enforcement partners in aggressively addressing these fraudulent tax refund schemes that not only victimize the U.S. Government but also those individuals whose identities have been stolen.”
According to Paul Bowman, Area Special Agent in Charge of the United States Postal Service, Office of Inspector General, “Adrian Bridges reflects just a very small percentage of employees who failed to uphold the trust and integrity placed in them. The U.S. Postal Service, Office of Inspector General takes these cases very serious and investigates them to the fullest extent of the law. The general public should be reminded that the majority of postal employees remain committed to exhibiting the highest moral character and trust that our customers expect and deserve.”
According to United States Attorney Yates, the charges and other information presented in court: From as early as July 2012 to October 2013, the defendants participated in a scheme to defraud the United States Department of the Treasury and the Michigan Department of Revenue by filing hundreds of fraudulent income tax returns using stolen identities. This type of scheme is commonly called stolen identity refund fraud. Campbell and Thomas used stolen personal identification information of hundreds of victims, along with fake wage and withholding information, to prepare numerous fraudulent tax returns, claiming over $400,000 in tax refunds. After the refunds were processed, Campbell and Thomas had the refunds applied to blank prepaid debit cards that they later used for their own benefit.
In order to increase the number of fraudulent tax refunds that they could receive at one time, Campbell and Thomas had the prepaid debit cards mailed to different addresses throughout the Atlanta area. Many of these addresses were associated with an apartment complex in Cobb County, Ga., where Bridges served as a mail carrier for the United States Postal Service. Working at the direction of Campbell, Bridges would retrieve the debit cards from the United States mail and deliver them to Campbell.
During the course of the scheme, Campbell recruited Johnson, then an employee of the Fulton County Ga., Superior Court Clerk's Office, to provide him with stolen identity information. In September 2013, Johnson accessed county databases on several occasions to obtain identity information for dozens of people who had been booked into the Fulton County Ga., Jail. Johnson later provided this identity information to Campbell.
Campbell also worked with other individuals to file fraudulent federal and state tax returns, including Justin Cody, a/k/a “Decatur Slim.” In a related case, Cody and his wife, Aeshia Wilmore, were charged for their involvement in a scheme similar to Campbell’s where they claimed over $600,000 in fraudulent tax refunds.
The defendants were convicted and sentenced by United States District Judge Steve C. Jones, as described below:
- Kenneth Campbell, a/k/a “Scrilla,” 31, of Atlanta, Ga., was convicted on charges of conspiracy to commit mail fraud and aggravated identity theft on August 26, 2014, after he pleaded guilty. On November 17, 2014, Campbell was sentenced to serve seven years and three months in federal prison and ordered to pay restitution in the amount of $139,610.
- Corey Thomas, a/k/a “Lil Corey,” 28, of Atlanta, Ga., was convicted on charges of conspiracy to commit mail fraud and aggravated identity theft on August 26, 2014, after he pleaded guilty. On November 20, 2014, Thomas was sentenced to serve five years and one month in federal prison and ordered to pay restitution in the amount of $114,754.
- Adrian Bridges, 43, of Mableton, Ga., was convicted on charges of conspiracy to commit mail fraud and mail theft on August 26, 2014, after he pleaded guilty. On December 16, 2014, Bridges was sentenced to serve four years in federal prison, three years of supervised release, and ordered to pay restitution in the amount of $81,878.
- Juarez Johnson, 30, of Atlanta, Ga., was convicted of identity theft on May 15, 2014, after he pleaded guilty. On July 30, 2014, Johnson was sentenced to serve one year of probation.
- Justin Cody, a/k/a “Decatur Slim,” 33, of Atlanta, Ga., was convicted on charges of theft of government funds and aggravated identity theft on November 22, 2013, after he pleaded guilty. On April 28, 2014, Cody was sentenced to serve seven years and three months in federal prison and ordered to pay restitution in the amount of $150,329.
- Aeshia Wilmore, 26, of Atlanta, Ga., was convicted of theft of government funds on November 22, 2013, after she pleaded guilty. On April 28, 2014, Wilmore was sentenced to serve two years in federal prison and ordered to pay restitution in the amount of $150,329.
This case is being investigated by the Internal Revenue Service Criminal Investigation, the Federal Bureau of Investigation, and the United States Postal Service Office of the Inspector General.
Assistant United States Attorney Nekia S. Hackworth 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/.
Former North Miami Mayor Convicted for her Involvement in a Multi-Million Dollar Mortgage Fraud SchemeRead the Press Release
After a 12-day trial, a federal jury convicted former North Miami Mayor Marie Lucie Tondreau, a/k/a “Lucie Tondreau,” 54, for her recruitment of straw buyers and other conduct in an $8,000,000 mortgage fraud scheme.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Drew J. Breakspear, Commissioner, Florida Office of Financial Regulation, made the announcement.
As shown at trial, between December 2005 and May 2008, co-defendant Karl Oreste, 56, of Miramar, Florida, president of KMC Mortgage Corporation of Florida (KMC Mortgage), a mortgage lending business in North Miami Beach, identified residential properties in South Florida that were for sale. Oreste and Tondreau, who at the time was a community activist, hosted several radio show programs in the South Florida area in which they advertised the services offered by KMC Mortgage. Oreste and Tondreau recruited and paid some of the listeners who responded to those advertisements, as well as other individuals, to pose as borrowers and purchase properties identified by Oreste.
Oreste and co-defendant Okechukwu Josiah Odunna, a/k/a “O.J. Odunna,” 49, of Lauderdale Lakes, Florida, as well as other co-conspirators, prepared or caused to be prepared loan applications on behalf of straw borrowers recruited by Oreste and Tondreau. Odunna was an attorney previously licensed to practice law in Florida, and president of O.J. Odunna, P.A. and Direct Title and Escrow Services (Direct Title). These loan applications included false information relating to employment, wages, assets and intent to make the property being purchased a primary residence. The loan applications and documents were submitted by co-conspirators to various mortgage lenders throughout the United States. Once the loan applications were approved, the lenders wired funds to O.J. Odunna, P.A., Direct Title or other title companies for closing.
In some instances Oreste, Odunna and other co-conspirators created and submitted duplicate HUD-1 Settlement Statement Forms, which grossly inflated the true purchase price of the properties. HUD-1 Settlement Statements also falsely and fraudulently represented to the mortgage lenders that the straw borrowers had met their down payment and cash to close obligations, when, in fact, the straw borrowers had never made any such payments.
At closing, a portion of loan proceeds were disbursed to Oreste through his corporation, JR Investment and Mortgage Corporation, or other bank accounts controlled by him. In some instances, a portion of the loan proceeds was diverted to O.J. Odunna, P.A. or Direct Title accounts. Oreste disbursed some of the proceeds he received to pay Tondreau and other, as well as to pay the straw borrowers. Oreste also transferred a substantial portion of the funds to bank accounts of LTO Investment Corporation, a corporation controlled by Tondreau. Tondreau used funds deposited in LTO Investment Corporation’s bank accounts to make payments on the falsely and fraudulently obtained mortgages in order to maintain the loans, and to conceal and further the fraud. She also used a portion of the funds deposited into LTO Investment Corporation’s bank accounts for her own personal use and benefit. Finally, Tondreau also rented out the properties and collected rent for her own personal use and to further the conspiracy.
As further demonstrated at trial, over the course of the mortgage fraud scheme, Tondreau was involved in obtaining 13 fraudulent loans, for which the lenders have suffered losses in the amount of approximately $8,000,000.00. Tondreau received in excess of $300,000 into a business account controlled by her, and in excess of $100,000 into her personal bank accounts.
“Today’s conviction against Marie Lucie Tondreau is a success in our continuing efforts to fight mortgage fraud that jeopardizes our nation’s financial institutions,” said U.S. Attorney Wifredo A. Ferrer. “Tondreau abused her prominence in the community to perpetrate the $8,000,000 mortgage fraud scheme, which thanks to the efforts of my Office’s prosecutors and federal and state law enforcement we successfully unraveled. We will continue to investigate and prosecute individuals who engage in deceptive and fraudulent behavior, fueled by greed.”
“Marie Lucie Tondreau, a former mayor of North Miami, FL, and her co-conspirators devised a mortgage fraud scheme for their own personal enrichment,” said George L. Piro, SAC Miami. “Their desire to line their pockets with stolen loan proceeds has, instead of making them rich, resulted in an investigation, a trial and ultimately a conviction. Let this be a lesson to would-be mortgage fraudsters. The FBI remains committed to working with our law enforcement partners to root out this type of fraud.”
“Exploiting the trust of Floridians is atrocious,” said OFR Commissioner Drew J. Breakspear. “We thank the FBI and the United States Attorney’s Office of the Southern District of Florida for their hard work, which has led to this positive outcome. The Florida Office of Financial Regulation remains dedicated to thoroughly investigating those who prey upon others for illegal financial gain.”
Tondreau, who was remanded into custody, is scheduled to be sentenced on March 20, 2015, at 8:30 a.m., before U.S. District Judge Robert N. Scola, Jr. She faces a maximum term of 30 years in prison.
Oreste previously pled guilty to conspiracy to commit wire fraud and is scheduled to be sentenced on January 12, 2015, at 8:30 a.m., before Judge Scola.
Mr. Ferrer commended the investigative efforts of the FBI and Florida’s Office of Financial Regulation. The case is being prosecuted by Assistant U.S. Attorneys Lois Foster-Steers and Gera R. Peoples.
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.
Former Mayor of Martin Sentenced to 90 Months for Civil Rights Offenses, Fraud, Vote Buying and Identity TheftRead the Press Release
PIKEVILLE, KY - The former Mayor of Martin, Ky., has been sentenced to 90 months in federal prison for various crimes including civil rights offenses and identity theft.
On Monday, U.S. District Judge Amul Thapar sentenced the former mayor, Ruth Thomasine Robinson, 70, for conspiracy to violate civil rights, conspiracy to defraud the Social Security Administration, federal program fraud, aggravated identity theft and vote buying. Judge Thapar also sentenced Robinson’s husband, James “Red” Robinson, 64, to 40 months in prison for vote buying. Under federal law, the Robinsons must serve at least 85 percent of their respective prison sentences.
Thomasine Robinson was convicted in May of the vote buying and civil rights violations. According to evidence at the trial, Thomasine Robinson and her co-conspirators intimidated poor and disabled citizens in order to gain their votes during Robinson’s 2012 campaign for re-election. For instance, members of the conspiracy directed residents of public housing to vote by absentee ballot under the supervision of Thomasine Robinson or another member of the conspiracy. The conspirators also targeted residents of private housing owned and leased by Thomasine Robinson.
Trial testimony established that the conspirators completed absentee ballots, marking their choice of candidates, and instructing the voters to sign the pre-marked ballots. Voters who complied by voting for Thomasine Robinson received promises of better living arrangements and other considerations. Voters who did not comply faced eviction or the loss of priority for public housing. In addition, the evidence established that the defendants offered to pay several voters to vote for Thomasine Robinson.
Thomasine Robinson was convicted in February of the identity theft and fraud offenses. Evidence at the trial established that from 2006 until January 2013, Ginger Marie Halbert, a co-conspirator, was purportedly working on a volunteer basis with Thomasine Robinson; in reality, Halbert was secretly being paid with federal funds. The funds used to pay Halbert were intended for the Martin Community Center and the Martin Housing Authority. Some of the misdirected money was supposed to fund an after school program for city children. To conceal the scheme, the defendants allegedly arranged for the checks to be made payable to Halbert’s son.
Kerry B. Harvey, U.S. Attorney for the Eastern District of Kentucky; Howard S. Marshall, Special Agent in Charge of the Federal Bureau of Investigation; Guy Fallen, Special Agent in Charge, Social Security Administration, Office of the Investigator General, Office of Investigations; and Jack Conway, Attorney General of Kentucky, jointly made the announcement today.
The investigation was conducted by the Federal Bureau of Investigation, Social Security Administration, and the Kentucky Attorney General’s Office. Assistant U.S. Attorneys Ken Taylor and Andy Boone prosecuted this case on behalf of the federal government.
Former Employee of U.S. Contractor in Afghanistan Indicted for BriberyRead the Press Release
A former employee of a U.S. contractor was indicted today in the Eastern District of Texas for allegedly soliciting and accepting bribes in exchange for his influence in awarding U.S. government-funded contracts in Afghanistan, announced Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney John Malcolm Bales of the Eastern District of Texas.
George E. Green, 57, of Carrollton, Texas, was charged with conspiracy to structure financial transactions to avoid currency transaction reporting requirements, wire fraud and receipt of bribes in connection with a program receiving federal funds.
According to the indictment, Green was the former director of contracts, procurement and grants for International Relief and Development Inc. (IRD), and was part of a cooperative agreement between IRD and the U.S. Agency for International Development (USAID) that sought to promote long-term agricultural development in specific areas in Afghanistan.
The indictment alleges that while working for IRD in Afghanistan, Green solicited and received bribes totaling $66,000 from a representative of an Afghan firm that contracted with IRD. Some of those bribe payments were allegedly wired directly to an Italian automobile dealer for Green’s benefit. After returning to Texas, Green allegedly attempted to conceal the bribe proceeds by engaging in a conspiracy to structure cash deposits into his bank and credit card accounts to avoid mandatory cash reporting requirements. Additionally, even after leaving IRD, Green allegedly continued to solicit bribes from the Afghan firm by falsely claiming that he still had the ability to influence the contracting process.
The charges and allegations contained in the indictment are merely accusations and the defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the Office of Special Inspector General for Afghanistan Reconstruction (SIGAR), FBI and USAID Office of Inspector General. The case is being prosecuted by Trial Attorney Mark H. Dubester on detail to the Criminal Division’s Fraud Section from SIGAR and Assistant U.S. Attorney Kevin McClendon of the Eastern District of Texas.
Former Commander of the Pacific Grove Police Department Pleaded Guilty to Possession of Stolen FirearmsRead the Press Release
SAN JOSE – John Nyunt pleaded guilty in federal court today, to possession of stolen firearms, announced United States Attorney Melinda Haag and FBI Special Agent in Charge David J. Johnson.
Nyunt was a commander at the Pacific Grove Police Department (PGPD) and an instructor at the former police academy at the Monterey Peninsula College (MPC). In pleading guilty, Nyunt admitted to stealing assault rifles, shotguns, and semi-automatic pistols that the MPC was seeking to divest after its decision to close the police academy. The MPC asked Nyunt if the PGPD would accept them as a donation. Knowing that the PGPD did not want the firearms, Nyunt signed a memorandum of understanding with the MPC that falsely stated he was accepting the firearms on PGPD’s behalf, even though he was not authorized to execute such an agreement nor accept the firearms.
After the MPC relinquished possession of the firearms to Nyunt in or about August of 2009, he consigned most of them, including 27 Glock semi-automatic pistols and 5 Smith & Wesson semi-automatic pistols, to a firearms dealer, who over time sold them on Nyunt’s behalf, paying Nyunt the proceeds from those sales minus his commission. Nyunt took back five of the Glocks and personally sold or gave them to other people. In this manner Nyunt maintained possession and control of some or all of the firearms he stole from the MPC until in or about November of 2012, when he had disposed of the last of the guns.
Nyunt, 52, was charged by information on Dec. 11, 2014 with a violation of 18 U.S.C. § 922(j). This is Nyunt’s second pending federal case. Earlier this year, on May 13, 2014, Nyunt pleaded guilty in case no. CR-14-00235-BLF to extortion and wire fraud charges that, like the charges to which he pleaded guilty today, were based on his conduct while commander at the PGPD.
Nyunt’s consolidated sentencing hearing for both cases is scheduled for April 7, 2015, at 9:00 a.m., before the Honorable Beth L. Freeman, United States District Court Judge, in San Jose. The maximum statutory penalty for a violation of 18 U.S.C. § 922(j) is ten years imprisonment and a fine of $250,000, plus restitution. Pursuant to the binding plea agreement, if accepted by the court, the parties have agreed that the defendant should be sentenced to thirty months’ imprisonment, to run concurrent with his sentence in case no. CR-00235-BLF. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Philip A. Guentert is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Elise Etter. The prosecution is the result of an investigation by the FBI.
Former Collateralized Mortgage Obligations Bond Trader Sentenced for Multi-Million Dollar Securities Fraud SchemeRead the Press Release
TRENTON, N.J. – A former collateralized mortgage obligation (CMO) bond trader was sentenced today to 30 months in prison for engaging in a fraudulent trading scheme in which he manipulated the prices of CMOs by millions of dollars over a period of four years, U.S. Attorney Paul J. Fishman announced.
Douglas Green, 50, of Boca Raton, Florida, previously pleaded guilty before U.S. District Judge Freda L. Wolfson to one count of securities fraud. Judge Wolfson imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
From May 2004 through June 2008, Green was a registered representative associated with Crocker Securities, a broker dealer that used the clearing services of Pershing LLC. Pershing, which is based in Jersey City, New Jersey, is one of the largest clearing firms in the United States. As Crocker’s clearing firm, Pershing received payments and securities from Crocker and handled record-keeping for the securities Crocker controlled.
Green traded a Crocker account on behalf of the firm. In June 2004, the account Green managed suffered significant trading losses, which continued to grow during the length of the fraudulent scheme. To conceal the losses, Green entered into fraudulent transactions designed to increase the price of the CMOs to correspond to and cover the increasing losses in the Crocker trading account.
Green admitted that to manipulate the price of the CMO he entered a fraudulent sale into Pershing’s trading system. As the settlement date of the trade approached, Green cancelled the fraudulent sale so it would not actually settle and thereby alert Pershing and the purported purchasers, who were unaware they were identified in the fake transaction.
Green also manipulated the price of the CMOs using a network of bond traders. The traders purchased the CMOs at Green’s direction and immediately sold them back to him at slightly elevated prices. As a result of Green’s fraudulent trading activity, the total price of the CMOs was artificially inflated by millions of dollars. When the scheme collapsed, Pershing lost millions of dollars when it was forced to liquidate the CMO positions in the Crocker account.
In addition to the prison term, Judge Wolfson sentenced Green to three years of supervised release and ordered him to pay $9.2 million in restitution.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent-in-Charge Aaron Ford, for the investigation which led to today’s sentence. He also thanked the Financial Industry Regulatory Authority for its assistance in the investigation.
The government is represented by Assistant U.S. Attorney Paul A. Murphy of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.stopfraud.gov
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Defense counsel: Thomas Fitzpatrick, Esq. – New York, N.Y.
Former Chief Financial Officer for Miss Eaton, Inc. Sentenced for Tax EvasionRead the Press Release
OXFORD, Miss. – Felicia C. Adams, United States Attorney for the Northern District of Mississippi, together with Acting Special Agent in Charge, Jerome R. McDuffie with IRS Criminal Investigation-New Orleans Field Office announce:
William Dewey Harrison of Sun City, Arizona, was sentenced on December 11, 2014 by United States District Court Judge Michael P. Mills, in Oxford, Mississippi, following a guilty plea to one felony count of attempting to evade or defeat income tax in relation to his previous employment as Chief Financial Officer (CFO) of the company formerly known as Miss Eaton, Inc., a furniture manufacturer in Pontotoc, Mississippi.
Harrison was hired by Miss Eaton, Inc. as the CFO in 2000 and worked for the company until 2008. An investigation by the government revealed that over the course of his employment as CFO for the company, Harrison executed a scheme to embezzle funds. Harrison’s illegal scheme resulted in the embezzlement of over $600,000 dollars from the company which he then failed to report as income received, filing false and fraudulent income tax returns for the years 2004-2008. Additionally, Harrison failed in his fiduciary duty as CFO to properly withhold and pay employment taxes on behalf of Miss Eaton’s employees, instead diverting these funds for his own use. Acting Special Agent in Charge, Jerome R. McDuffie, stated, “Evading the assessment and payment of your income taxes is against the law. Mr. Harrison’s decision to break the law has earned him time in federal prison. The Special Agents of IRS-CI stand ready to pursue tax violators and will seek prosecution of these offenses to the fullest extent of the law.”
Judge Mills sentenced Harrison to fifty-one (51) months imprisonment, followed by three (3) years of supervised release and ordered Harrison to pay $2,312,353.69 in restitution to the Department of the Treasury-IRS.
This case was investigated by the Internal Revenue Service Criminal Investigation Division and prosecuted by Assistant U.S. Attorney Chad M. Doleac.
Former Bank Executive Vice President Pleads Guilty to Making False Financial Report to FDIC in Connection with Failure of Freedom State BankRead the Press Release
Oklahoma City, Oklahoma – MARK A. NIXON, 62, from Freedom, Oklahoma, pleaded guilty yesterday to submitting a falsified report of the financial condition of Freedom State Bank to the Federal Deposit Insurance Corporation (“FDIC”), announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma. Nixon’s guilty plea comes approximately six months after the Bank’s failure on June 27, 2014.
Nixon was the former Executive Vice President of The Freedom State Bank, located in Freedom, Oklahoma. During his plea hearing, Nixon admitted to preparing and submitting a Consolidated Report of Condition and Income to the FDIC which falsely stated that The Freedom State Bank possessed $21,950,000.00 in assets, when he in fact knew that the true amount was substantially less.
Nixon was charged on December 4, 2014, with one count of submitting a false statement to the FDIC. In a written plea agreement, Nixon admitted that he was responsible for causing between $1,000,000.00 and $2,500,000.00 in losses to The Freedom State Bank, and agreed that he is subject to a sentencing enhancement for substantially jeopardizing the soundness of a financial institution.
At sentencing, Nixon faces up to five years in prison, followed by three years of supervised release, and a $250,000.00 fine. He will also be ordered to pay restitution to the FDIC in an amount later determined by the court. A sentencing hearing will be set by the court in approximately 90 days.
This case is the result of an investigation by the FDIC Office of Inspector General. It is being prosecuted by Assistant U.S. Attorney Julia E. Barry.
Foreign National Sentenced to Three Years in Prison for Smuggling Undocumented Migrants from Africa into the United StatesRead the Press Release
An Eritrean national, who is also a citizen of the United Kingdom, was sentenced today to three years in prison for smuggling up to 99 undocumented migrants from Eritrea and Ethiopia into the United States.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Ronald C. Machen Jr. of the District of Columbia, and Special Agent in Charge Clark E. Settles of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ (ICE-HSI) Washington, D.C., Field Office made the announcement. U.S. District Judge Reggie B. Walton of the District of Columbia imposed the sentence.
Habtom Merhay, 47, of the United Kingdom, pleaded guilty to human smuggling charges on Sept. 24, 2014. He was originally arrested by Moroccan authorities in August 2013 and extradited to the United States on April 25, 2014. He has been in custody since his arrest.
In his plea agreement, Merhay admitted that from May 2009 to September 2010, he operated a human smuggling scheme from his residence in Dubai. In exchange for fees of up to $14,000, he smuggled undocumented African migrants into the United States by purchasing airline tickets for their travel to South and Central America, and then coordinating with a global network of smugglers to facilitate the migrants’ travel into the United States.
The investigation was pursued under the Extraterritorial Criminal Travel Strike Force (ECT) program, a joint partnership between the Justice Department’s Criminal Division and HSI. The ECT program focuses on human smuggling networks that may present particular national security or public safety risks or present grave humanitarian concerns. ECT has dedicated investigative, intelligence and prosecutorial resources. ECT coordinates with and receives assistance from other U.S. government agencies and foreign law enforcement authorities.
The investigation was led by HSI’s Washington, D.C., Field Office with the support of the Human Smuggling Trafficking Center and the U.S. Customs and Border Protection’s National Targeting Center. The case was prosecuted by Trial Attorney Jay Bauer of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Frederick Yette of the District of Columbia. The extradition was handled by Trial Attorney Dan E. Stigall of the Criminal Division’s Office of International Affairs.
The Department of Justice and HSI expressed their appreciation for the significant assistance provided by the Moroccan Ministry of Justice.
Florida Man Sentenced for Wire FraudRead the Press Release
CONTACT: BARBARA BURNS
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Hector Ortiz, 49, of Altamonte Springs, Florida, who was convicted of committing wire fraud as part of an international commodity deal, was sentenced to 41 months in by U.S. District Judge Frank P. Geraci. The defendant was also ordered to pay restitution in the amount of $852,500.
Assistant U.S. Attorney Bradley E. Tyler, who handled the case, stated that between August 2011 and November 2011, the defendant devised a scheme to defraud Sweeteners Plus, Inc. in Lakeville, NY. Specifically, Ortiz attempted to obtain $7,862,500 from Sweeteners Plus by making multiple false and fraudulent representations in relation to a contract to deliver 12,500 metric tons of refined sugar. The sugar was never delivered, and Ortiz took $852,500 as a commission.
The sentencing is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, and Postal Inspectors with the United States Postal Inspection Service, under the direction of Inspector In Charge Shelley Binkowski.
Florida Man Charged with Marijuana TraffickingRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistELKINS, WEST VIRGINIA – A federal grand jury returned an indictment today charging Arthur Woodrow Pritt, Jr., 37, of Archer, Florida, with marijuana trafficking, United States Attorney William J. Ihlenfeld, II, announced.
Pritt is alleged to have repeatedly sold marijuana in Northern West Virginia from December 2008 through the present. In October 24, 2014 he was discovered in possession of marijuana. He is charged with one count of “Conspiracy to Distribute Marijuana” and one count of “Possession with Intent to Distribute Marijuana.”
Pritt faces up to five years in prison and a fine of up to $250,000 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.
Assistant U.S. Attorney Stephen Warner is prosecuting the case on behalf of the government. The case is being investigated by the Mountain Region Drug and Violent Crimes Task Force, the United States Forest Service, the West Virginia State Police, the Randolph County Sheriff's Office, the U.S. Drug Enforcement Administration, the U.S. Internal Revenue Service, the Harrison County Sheriff's Department, and the U.S. Postal Service.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Ferrelview Man Sentenced to 40 Years for his Role in Nationwide Child Porn RingRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Ferrelview, Mo., man was sentenced in federal court today for using four young victims to produce child pornography as part of a nationwide child pornography ring.
Raymond M. Appling, 32, of Ferrelview, was sentenced by U.S. District Judge Gary A. Fenner to 40 years in federal prison without parole.
On March 4, 2014, Appling pleaded guilty to four counts of producing or attempting to produce child pornography. Appling admitted that he took pornographic photos and video of four child victims, which he shared with others.
FBI agents had identified two suspects in Colorado and in San Diego, Calif., that linked Appling to the child pornography ring. Detectives with the Kansas City, Mo., Police Department executed a search warrant at Appling’s residence on Feb. 8, 2012, and seized computers, computer media and a camera. In an interview with the detectives, Appling identified a third member of the child pornography ring located in Pennsylvania. The other members of the child pornography ring are being prosecuted in those jurisdictions.
Appling admitted that he took a child victim, identified as Jane Doe #1, to visit the San Diego suspect, whom he knew had a sexual attraction to minors. Appling also took pornographic photos of Jane Doe #1 when she was eight years old.
Appling also took photos of a second child victim, identified as Jane Doe #2. Appling took photos of Jane Doe #1 and Jane Doe #2 together in the shower. Jane Doe #2 also told investigators that she had met the San Diego suspect at Appling’s home.
Appling took photos of a third child victim, identified as Jane Doe #3, while she was asleep on his couch. A series of photos depicts Appling moving Jane Doe #3’s clothes so that she is exposed, and Appling touching her.
Appling also produced a movie of a 12-year-old victim, identified as Jane Doe #4, while she was undressing and getting ready to take a shower.
A forensic examination of Appling’s computers, cameras, and computer media determined that an external hard drive had been wiped and reformatted. There was evidence on the external hard drive which indicated that videos with a sexual theme (including child pornography) were once on the hard drive. Evidence indicated that some of the movies that were once on the external hard drive were sent through the use of an encrypted instant messaging program. In addition, a large number of Yahoo! messenger chat fragments were recovered from several log files from Feb. 4, 2011 through July 5, 2011. In many of the chats the participants (including Appling and the other suspects) stated that they were actively engaged in sexual abuse and/or child pornography. There were also several unidentified participants engaged in the online chats.
This case was prosecuted by Assistant U.S. Attorney Teresa Moore. It was investigated by the Kansas City, Mo., Police Department and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Federal Jury Convicts North Huntingdon Man on All Charges in Bankruptcy Fraud TrialRead the Press Release
PITTSBURGH - A Westmoreland County man has been convicted by a federal jury in Pittsburgh on charges of bankruptcy fraud, concealment of assets, and making false statements under oath, United States Attorney David J. Hickton announced today.
Michael J. Free, 62, of North Huntingdon, PA, had been charged in a six-count indictment that was tried to a jury before United States District Court Judge Mark R. Hornak. The jury returned guilty verdicts on all six counts.
According to the evidence presented during the trial, Free filed fraudulent documents during a bankruptcy that he filed in July of 2010. Among the matters for which he was convicted were filing a false Schedule A that failed to identify to the Bankruptcy Court a residence he owned in Fayette County, as well as a false Schedule B that failed to list the majority of the guns that Free had in a large collection of World War II era machine guns and rifles. The jury heard that at one point the Trustee supervising Free’s bankruptcy learned that Free was selling some of his guns through internet advertising. After the Trustee reported this activity to the Court the Bankruptcy Court judge ordered Free to file an accounting with the Court listing all the guns sold and how much he had received for each sale. Free filed yet another false document claiming that nothing had been sold and that there was nothing to account for. The jury also found Free guilty for lying under oath at a meeting of creditors held during the Bankruptcy process.
Judge Hornak did not set a sentencing date but indicated that sentencing would take place in approximately 120 days. The law provides for a maximum total sentence at each of the six counts of conviction of up to five years in prison, and a fine of up to $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Federal Bureau of Investigation conducted the investigation, based on a referral by the Office of the United States Bankruptcy Trustee, leading to the charges in this case.
Federal Grand Jury IndictmentsRead the Press Release
Contact Person: Beth Drake (803) 929-3000
Columbia, South Carolina ----United States Attorney Bill Nettles stated today that a Federal Grand Jury in Columbia, South Carolina, returned Indictment(s) against the following:
Nichols Man indicted for Solicitation to Commit a Hobbs Act Armed Robbery
David Lawrence Wallace, Jr., was charged in a 1-count Indictment with Solicitation to Commit Hobbs Act Armed Robbery, a violation of Title 18, United States Code, Section 373. The maximum penalty Wallace could receive is 10 years imprisonment. The case was investigated by agents of the Federal Bureau of Investigations and is assigned to Special Assistant United States Attorney M. Derrick McClellan of the Florence office for prosecution.
The United States Attorney stated that all charges in these Indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.Doctor Sentenced to 37 Months in Prison for Taking Bribes in Test-Referrals Scheme with New Jersey Clinical LabRead the Press Release
NEWARK, N.J. – A pediatrician with a practice in Staten Island and Brooklyn, New York, was sentenced today to 37 months in prison for accepting bribes in exchange for test referrals as part of a long-running scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, New Jersey, its president and numerous associates, U.S. Attorney Paul J. Fishman announced.
Demetrios Gabriel, 47, of Brooklyn, previously pleaded guilty before U.S. District Judge Stanley R. Chesler to an information charging him with one count of accepting bribes. Judge Chesler imposed the sentence today in Newark federal court.
Including Gabriel, 33 people – 22 of them physicians– have pleaded guilty in connection with the bribery scheme, which its organizers have admitted involved millions of dollars in bribes and resulted in more than $100 million in payments to BLS from Medicare and various private insurance companies.According to documents filed in this and related cases and statements made in court:
Gabriel admitted he accepted bribes in return for referring patient blood specimens to BLS and was paid more than $4,500 per month. Gabriel received a flat fee of $3,000 per month in cash, plus additional cash based on the number of patient blood samples his pediatric practice referred to BLS each month. In addition, Gabriel received $1,500 per month through credit card payments to a restaurant he owns.In addition to the prison term, Judge Chesler sentenced Gabriel to one year of supervised release and fined him $75,000.
The investigation has recovered more than $10.3 million to date through forfeiture.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford; U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Thomas O’Donnell; IRS– Criminal Investigation, under the direction of Acting Special Agent in Charge Jonathan D. Larsen; and inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge Maria L. Kelokates, with the ongoing investigation leading to today’s guilty pleas.
The government is represented by Senior Litigation Counsel Andrew Leven, Assistant U.S. Attorney Joseph Minish, and Jacob T. Elberg, Chief of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark, as well as Assistant U.S. Attorney Barbara Ward of the office’s Asset Forfeiture and Money Laundering Unit.
U.S. Attorney Paul J. Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $620 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
14-445Defense counsel: Joseph Corozzo Esq., New York; Joseph Hayden Esq., Roseland
Department of Justice and City of St. Anthony Village Agree to Resolve Lawsuit over Denial of Permit for Islamic CenterRead the Press Release
St. Anthony Village Agrees in Principle to Allow Abu-Huraira Islamic Center to Worship in St. Anthony Business Center
The United States Attorney for the District of Minnesota Andrew M. Luger and Acting Assistant Attorney General for Civil Rights Vanita Gupta today announced a settlement agreement in principle between the Department of Justice and the City of St. Anthony Village, Minn., resolving allegations that the city violated the Religious Land Use and Institutionalized Persons Act of 2000 (RLUIPA). In June 2012, the City of St. Anthony Village denied Abu-Huraira Islamic Center’s application for a conditional use permit (CUP) to use the basement of the St. Anthony Business Center for religious assembly. The agreement, which must still be approved by the Saint Anthony City Council, the Department of Justice, and a federal district court judge in Minneapolis, will resolve the lawsuit between the United States and the City of St. Anthony Village.
“Four months ago, my office filed a civil rights lawsuit to protect the religious freedoms of the congregants of the Abu-Huraira Islamic Center,” said U.S. Attorney Luger. “We made it clear then that an injustice had been done to these Somali Minnesotans. After lengthy negotiations involving attorneys from my office and the Department of Justice, St. Anthony Village, and Abu-Huraira, we have reached a resolution that respects the Constitution and provides the worship space that Abu-Huraira sought. This agreement would not have been possible without the guiding hand of Magistrate Judge Jeffrey J. Keyes, whose wisdom and hard work brought us to this resolution. Today we all join together to announce with great pride that the Abu-Huraira Islamic Center has a new home in St. Anthony Village.”
“The Department of Justice will remain vigilant to ensure that the freedom to worship is a reality for all,” said Acting Assistant Attorney General Vanita Gupta. “We are pleased that the city worked with us to ensure that the rights of this congregation and others will be protected.” On August 27, 2014, the United States filed a lawsuit to enforce Abu-Huraira Islamic Center’s constitutional rights under RLUIPA and require the City of St. Anthony Village to allow Abu- Huraira’s religious assembly. The United States’ complaint alleged that denial of the permit imposed a substantial burden on Abu-Huraira’s exercise of religious worship. Moreover, the denial unlawfully disfavored a religious use, because the light industrial district where Abu- Huraira’s building is located allowed other, non-religious assemblies.
The United States specifically alleged that the denial of the CUP substantially burdened members of Abu-Huraira in practicing their faith. Abu-Huraira members’ ability to exercise their religion was limited by their worship site options, including, but not limited to, the fact that members in the northern Twin Cities were burdened from praying together based on the length of time to travel to worship centers in south Minneapolis. Moreover, prayer spaces at locations in south Minneapolis were too small to accommodate members, many of whom often prayed in hallways or entryways, and prayer sessions were held in shifts to accommodate crowds.
After conducting a search for adequate prayer space lasting nearly three years, Abu-Huraira entered into a purchase agreement for the St. Anthony Business Center. Abu-Huraira chose the property because it is centrally located, has a basement measuring approximately 11,600 square feet and has ample parking for its congregation. The business center is in St. Anthony’s “light industrial” district, which permitted conditional uses for “assemblies, meeting lodges, and convention halls” at that time.
In February 2012, after consulting St. Anthony Village officials, Abu-Huraira applied for a CUP for assembly. The permit was denied on June 12, 2012, by a St. Anthony Village City Council vote of 4-1.
On December 11, 2014, after a settlement conference lasting nearly twelve hours before Magistrate Judge Jeffrey J. Keyes, the City has agreed, in principle, to create a Planned Use Development (PUD) at the property in question. The PUD will allow Abu-Huraira to use the St. Anthony Business Center for religious worship. The agreed upon language also stipulates that the City of St. Anthony Village will not treat Abu-Huraira or any other religious groups in a discriminatory manner by application of its zoning laws. The agreement also indicates that elected leaders, managers, and certain City employees will participate in educational training about requirements of RLUIPA. The City of St. Anthony Village will also make RLUIPA information available to the public through its website and will report periodically to the Justice Department.
Assistant United States Attorneys for the District of Minnesota, Bahram Samie, Ana Voss, and Gregory Brooker, and attorneys from the Civil Rights Division of the United States Department of Justice, represented the United States in this matter.
RLUIPA, enacted in 2000, contains multiple provisions prohibiting religious discrimination and protecting against unjustified burdens on religion exercise. Persons who believe that they been subjected to religious discrimination in land use or zoning may contact the Housing and Civil Enforcement Section of the Justice Department’s Civil Rights Division at 1-800-896- 7743. More information about RLUIPA, including a report on the first ten years of its enforcement, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php.ST ANTHONY CONSENT ORDER
Curious Goods LLC Co-Conspirators Sentenced for Synthetic Marijuana Sales SchemeRead the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley announced today that Curious Goods LLC and six individuals charged in a synthetic marijuana sales and money laundering scheme operated through the company’s retail stores were sentenced today. United States District Judge Elizabeth E. Foote presided over the hearings.
Curious Goods LLC was ordered to pay a $40,000 fine. The company was also ordered to forfeit $859,989 in illegal proceeds derived from the scheme, as well as two cars and a speed boat. Also sentenced today was one of the company’s owners, Richard Buswell of Lafayette. Buswell was sentenced to 103 months in prison and three years of supervised release. Five other co-conspirators were also sentenced today as follows:
Defendants
Prison term
Supervised release
Fine
Counts
Drew Green
117 months
3 years
$20,000
1
Tommy Malone
117 months
3 years
$20,000
1
Boyd Barrow
70 months
3 years
1
Josh Espinoza
61 months
3 years
1
Daniel Francis
42 months
1 year
2
In September of 2012, Curious Goods LLC and co-conspirators: Alexander Derrick Reece, 42 of Gainesville, Fla.; Drew T. Green, 40 of Roswell, Ga.; Thomas William Malone, Jr., 48 of Roswell, Ga.; Boyd Anthony Barrow, 46 of Canton, Ga.; Joshua Espinoza, 51 of Marietta, Ga.; Richard Joseph Buswell, 46 of Lafayette, La.; Daniel Paul Francis, 44 of Dawsonville, Ga.; and Daniel James Stanford, 57, of Lafayette, La., were charged by a grand jury in a 16-count indictment with conspiracy to distribute synthetic drugs (Count 1), conspiracy to introduce misbranded drugs into interstate commerce (Count 2), conspiracy to commit money laundering, and various money laundering charges (Counts 3 to 16).
At the time of the indictment, Curious Goods LLC was a business based in Lafayette that marketed smoking and other products in stores throughout Acadiana. Curious Goods stores sold a product called “Mr. Miyagi” that was infused with synthetic cannabinoids. Although mislabeled as a potpourri, “Mr. Miyagi” was sold to be smoked for the sole purpose of getting the consumer of the product “high.” The synthetic cannabinoids infused into “Mr. Miyagi” are considered Schedule I controlled dangerous substances under federal law. From March 1, 2011 to December 31, 2011, Curious Goods stores made approximately $5 million from the sale of the illegal “Mr. Miyagi” product.
Barrow and Espinoza controlled and operated Pinnacle Products LLC/Pinnacle Products Group, based in Marietta, Ga. Pinnacle was the manufacturer of the “Mr. Miyagi” products and supplied the products to the local Curious Goods stores. Pinnacle obtained the synthetic cannabinoids used to manufacture “Mr. Miyagi” from NutraGenomics, which was located in an Alpharetta, Ga., and was controlled by co-conspirators Green and Malone. NutraGenomics distributed synthetic cannabinoids throughout the United States.
“This case is a huge victory for the people of Acadiana,” U.S. Attorney Finley stated. “The defendants in this case intentionally sold a dangerous drug that was shamelessly marketed to young people. Too many members of our community were lured into the Curious Goods stores that sold this poison. This case highlights how lucrative this industry is and reveals the lengths that criminals are willing to go to profit while endangering the health and safety of citizens. Dedicated men and women of federal, state and local law enforcement fought to bring these defendants to justice. They are to be commended for years of hard work to get these illegal substances off the streets and hold these criminals accountable. I hope that store owners, franchisees, investors and distributers who want a make a fast buck at the expense of others think twice and understand that we will not hesitate to investigate and prosecute their criminal activity.”
The remaining defendant, Lafayette lawyer Daniel Stanford, is scheduled to be sentenced on January 15, 2014. Stanford was convicted after an eight-day jury trial on August 29, 2014. Read more at: www.justice.gov/usao/law/news/wdla20140829.
The DEA, FBI, IRS, HSI, Louisiana State Police, Lafayette Parish Sheriff’s Office, Iberia Parish Sheriff’s Office, Vermillion Parish Sheriff’s Office and the Lafayette Police Department conducted this investigation. Assistant U.S. Attorneys John Luke Walker, J. Collin Sims, and Robert C. Abendroth prosecuted the case.
Court Enters $360,000 Consent Judgment Against Auto Dealership and Advertising CompanyRead the Press Release
In a stipulated judgment entered by the district court, the Billion Auto Group, which has facilities in Sioux City, Iowa City, and Clive, and an advertising company, Nichols Media, have agreed to a $360,000 judgment to resolve claims that they violated a Federal Trade Commission consent order prohibiting deceptive advertising when marketing the cost of buying or leasing a car.
“If auto dealers make advertising claims in headlines, they can’t take them away in fine print,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. “These actions show there is a financial cost for violating FTC orders.”
“Our office is committed to working with the FTC and the Consumer Protection Branch of the Department of Justice to ensure a fair marketplace for Iowa consumers,” said Kevin W. Techau, United States Attorney for the Northern District of Iowa. “The action taken in this case is an important step to protect Iowans and sends an important message to the marketplace.”
The FTC authorized the Department of Justice to file a complaint against the chain of 20 Billion Auto automobile dealerships in Iowa, Montana, and South Dakota, and an advertising company, Nichols Media, Inc., for violating a 2012 FTC consent order. That order prohibits Billion Auto, and any companies in active participation with it, from misrepresenting material costs and terms of vehicle finance and lease offers. The order also requires specific disclosures, mandated by the Truth in Lending Act and the Consumer Leasing Act.
According to the complaint, Billion’s advertisements violated the 2012 FTC consent order by frequently focusing on only a few attractive terms while hiding others in fine print, through distracting visuals, or with rapid-fire audio delivery. For example, some dealership ads promoted low monthly payments or attractive annual percentage rates and finance periods, while concealing other material items, such as the low payments being for leases, not sales; major limits on who could qualify for discounts; and significant added costs.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 5:14-cv-4118.
Convicted Sex Offender from North Port Sentenced to 14 Years for Transportation of Child PornographyRead the Press Release
Tampa, FL – U.S. District Judge Charlene Edwards Honeywell has sentenced Alexander Vugler (45, North Port) to 14 years in federal prison for transportation of child pornography. He also was ordered to serve a life term of supervision following his release from prison. In addition, the Court forfeited a laptop computer, hard drive, wireless air card, and a cell phone, that had been used to commit the offense. A restitution hearing to determine compensation for the victims will be set for a later date. Vugler pleaded guilty on September 19, 2014.
According to court documents, in May 2009, an undercover FBI agent in San Diego downloaded 188 files depicting child pornography that Vugler had made available on an Internet peer-to-peer file sharing program. At the time, Vugler was on probation for a contact sex offense that had occurred in Broward County. A federal search warrant was executed at Vugler’s North Port residence. Agents seized a laptop computer and a hard drive that contained more than 1,000 images and videos depicting child pornography, as well as file-cleaning software that Vugler had used to destroy evidence of child pornography.
This case was investigated by the Federal Bureau of Investigation and the Charlotte County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Josephine W. Thomas.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Convicted Felon Sentenced to 481 Months in Prison for String of Louisville Area Armed RobberiesRead the Press Release
- Prosecution Part of Project Recoil
LOUISVILLE, Ky. – A Louisville convicted felon was sentenced recently in U.S. District Court by Senior Judge Thomas B. Russell, to 481 months in federal prison, followed by five years of supervised release, for the armed robbery of eleven area convenient stores and fast food restaurants in December, 2012, and January, 2013, announced Acting U.S. Attorney John E. Kuhn, Jr. The charges stemmed from “Project Recoil” – an initiative for more effective prosecution of violent criminals in Louisville that relies upon collaboration among federal, state and local law enforcement and prosecutorial agencies.
Troy Lemont Gaines, age 23 of Louisville, and co-defendant Shaundrell Robinson, age 34 of Louisville, were charged in a 22 count federal indictment on April 2, 2013. The defendants have prior felony convictions and were charged with eleven armed robberies between December 5, 2012 and January 3, 2013 in Metro Louisville and Radcliffe, Kentucky. During one robbery, a shot was fired by Gaines while in a struggle with a customer. Gaines was arrested by Louisville Metro Police (LMPD) on January 5, 2013, immediately after robbing a Speedway gas station located 8325 Preston Highway.
Co-defendant Shaundrell Robinson was previously sentenced on November 11, 2014 by Senior Judge Thomas B. Russell to 216 months in prison followed by a three year period of supervised release.
“We have concluded the prosecution of this terrible frenzy of armed robberies, and the collaboration of our state and local partners has been instrumental in getting this done,” said Acting U.S. Attorney Kuhn. “ ‘Project Recoil’ is proving to be a highly effective tool in dealing with violent crime in our community. Lengthy sentences for violent repeat offenders are one important part of a comprehensive approach to building a safer community, and we value the support of our state and local partners for this program.”
The United States was prepared to present evidence, according to court records, that included: video surveillance of the armed robberies while in progress, a police dash-cam video showing Gaines arrest while still wearing a ski mask, a Lorcin semi-automatic pistol, magazine, five rounds of ammunition removed from the magazine and two shell casings found on the sidewalk outside the China Express restaurant that was held-up on December 19, 2012, an audio clip of Gaines’ statement to LMPD, video still photos signed by Gaines, a black ski mask and a loaded 9mm pistol seized from Gaines at the time of his arrest.
In July 2014, Gaines pleaded guilty to 11 counts of robbery affecting interstate commerce and two counts of brandishing a firearm during a crime of violence. The charged armed robberies included the Super Stop Food Mart, located at 7303 Preston Highway, on December 5, 2012, and on December 14, 2012. The armed robbery of the Meijer store, located at 4600 South Hurstbourne Parkway in Louisville, on December 15, 2012. The armed robbery of JR Liquors 2 store, located at 13018 Dixie Highway, in Louisville, on December 19, 2012. The armed robbery of the Circle P Shell Food Mart, located at 1500 North Dixie Highway in Radcliff, Kentucky, on December 19, 2012. The armed robbery of the China Express restaurant, located at 4946 Poplar Level Road in Louisville, on December 20, 2012. The armed robbery of the Berry Petroleum store, located at 1871 Berry Boulevard in Louisville on December 27, 2012. The armed robbery of Thornton=s store, located at 12412 LaGrange Road in Louisville, on December 31, 2012.The armed robbery of the Speedway store, located at 3030 Taylor Blvd. in Louisville, on December 31, 2012. The armed robbery of White Castle restaurant, located at 2711 Fern Valley Road in Louisville, on January 3, 2013. The armed robbery of Speedway store, located at 8325 Preston Highway in Louisville, on January 5, 2013.
Gaines faced a total minimum sentence of 257 years in prison and up to 5 years of supervised release per charge and a fine of $250,000 per charge.
This case was prosecuted by Assistant United States Attorney Robert Bonar and was investigated by the Louisville Metro Police Robbery Unit.
Connecticut Man Who Violated Federal Food, Drug, and Cosmetic Act Is SentencedRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that WESLEY SKORSKI, 44, of Marlborough, will pay a $1,000 fine for violating the Federal Food, Drug and Cosmetic Act. U.S. Magistrate Judge Donna F. Martinez imposed the sentence today in Hartford federal court.
According to court documents and statements made in court, SKORSKI owned and operated AviaMed, a Wethersfield-based business licensed by the State of Connecticut to engage in the wholesale distribution of medical devices and prescription drugs under the Federal Food, Drug, and Cosmetic Act. As part of the operation of AviaMed, SKORSKI received orders for prescription drugs from physicians and other health care providers.
In 2010 and 2011, SKORSKI entered into agreements with suppliers in the United Kingdom and Canada to receive prescription drugs, including oncology and dermatology drugs, which were commercially manufactured or produced outside the U.S. for distribution in foreign markets. After receiving the drugs from the foreign suppliers, SKORSKI repackaged them and distributed them to health care providers in the U.S. outside Connecticut.
The drugs SKORSKI received from foreign suppliers failed to contain the labeling required by the Food and Drug Administration, and were not approved for sale within the U.S. As a result, the drugs were considered misbranded under the Food, Drug, and Cosmetic Act.
On September 23, 2014, SKORSKI pleaded guilty to a misdemeanor charge of introducing a misbranded drug into interstate commerce, in violation of the Federal Food, Drug, and Cosmetic Act.
This investigation was conducted by special agents from the Food and Drug Administration, Office of Criminal Investigations. The case was prosecuted by Assistant U.S. Attorney David J. Sheldon.
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[email protected]Coldwater Man Guilty of Mail FraudRead the Press Release
OXFORD, Miss. – Felicia C. Adams, United States Attorney for the Northern District of Mississippi, Mississippi State Auditor Stacey Pickering, and Jerome R. McDuffie, Acting Special Agent in Charge, IRS-Criminal Investigation Division, New Orleans Field Office, announce that:
Eric Davis, 54, of Coldwater, Mississippi, was sentenced Thursday by United States District Judge Michael P. Mills in Oxford, Mississippi, to 70 months imprisonment for a mail fraud scheme that employed the personal identification information of state prisoners in Tennessee and Mississippi to file false tax returns. His sentence is consecutive to a State of Mississippi sentence he is currently serving. In addition, Davis was ordered to pay $223,245.19 in restitution to the United States Treasury, 3 years supervised release, and a $100 special assessment.
Davis pled guilty on June 5, 2014 to an indictment charging him with conspiracy to commit mail fraud in violation of 18 U.S.C. §§ 1341 and 1349. “Mr. Davis will have a lengthy prison term to contemplate the consequences of his wrong doing,” said Jerome R. McDuffie, Acting Special Agent in Charge, IRS-Criminal Investigation Division, New Orleans Field Office. “I would additionally warn others who might consider this type of criminal behavior, that IRS-CI will not stand idly by and ignore these attempts to steal taxpayer dollars. We will continue our diligent pursuit to seek prosecution of cases involving identity theft and tax fraud.”
This case was investigated by Special Agents of the IRS Criminal Investigation Division and by Agents of the United States Postal Inspection Service and was prosecuted by Assistant United States Attorney Clay Joyner.
Chinese National Pleads Guilty to Conspiring to Violate Arms Export Control ActRead the Press Release
ALBUQUERQUE – Wentong Cai, 30, a Chinese national in the United States on a student Visa, pleaded guilty this morning to conspiracy to violate the Arms Export Control Act and the International Traffic in Arms Regulations (ITAR) by scheming illegally to export defense articles with military application to the People’s Republic of China. The guilty plea was announced by Damon P. Martinez, U.S. Attorney for the District of New Mexico, and Tom Hernandez, Acting Special Agent in Charge of Homeland Security Investigations (HSI) in El Paso, Texas.
During today’s change of plea hearing, Wentong Cai pled guilty to Count 3 of a superseding indictment charging him and his cousin, Bo Cai, 29, also a Chinese national, with a scheme to illegally export sensors primarily manufactured for sale to the U.S. Department of Defense for use in high-level applications, such as line-of-sight stabilization and precision motion control systems. The Arms Export Control Act and the ITAR prohibit the export of defense-related materials from the United States without obtaining a license or written approval from the U.S. Department of State.
In his plea agreement, Wentong Cai admitted that from March 2012 to Dec. 2013, he conspired illegally to export sensors from the United States to China without first obtaining the required export license. At the time, Wentong Cai was a graduate student at Iowa State University studying microbiology and Bo Cai was employed by a technology company in China. According to the plea agreement, Wentong Cai and Bo Cai embarked on an illegal scheme to smuggle sensors out of the United States to China for one of Bo Cai’s customers despite knowledge that the sensors could not be exported without a license and that the United States did not issue licenses to export the sensors to China. As part of the scheme, Bo Cai enlisted Wentong Cai to acquire the sensors under the ruse that he planned to use the sensors in his research at Iowa State University.
Court filings indicate that the investigation of this case began in Oct. 2013, when an undercover HSI agent responded to Wentong Cai’s overtures. After negotiations by telephone and email, Bo Cai and Wentong Cai traveled to New Mexico in Dec. 2013, where they obtained a sensor from undercover HSI agents and developed a plan for smuggling the sensor out of the United States to China. On Dec. 11, 2013, Bo Cai was arrested at an airport in Los Angeles, Calif., as he was preparing to board a flight to China after the sensor was discovered concealed in a computer speaker in his luggage. Wentong Cai subsequently was arrested on Jan. 22, 2014, in Ames, Iowa.
Wentong Cai is in federal custody and remains detained pending his sentencing hearing, which has yet to be scheduled. Under the terms of his plea agreement, Wentong Cai will be sentenced to 18 months of imprisonment. He will be deported to China after he completes his prison sentence.
Bo Cai pleaded guilty on July 23, 2014, to all three-counts of the superseding indictment charging him with violating the Arms Export Control Act, smuggling, and conspiracy. Bo Cai is in federal custody and remains detained pending his sentencing hearing. He faces a statutory maximum penalty of 20 years in prison on the Arms Export Control Act charge, ten years in prison on the smuggling charge, and five years on the conspiracy charge. Under the terms of his plea agreement, Bo Cai will be deported after completing his prison sentence.
The Albuquerque office of HSI led the investigation of this case with assistance from the U.S. Air Force Office of Special Investigations, the Defense Security Service, HSI in Iowa and Los Angeles, Calif., and the FBI. Iowa State University cooperated throughout with HSI’s investigation. Assistant U.S. Attorneys Dean S. Tuckman and Fred J. Federici of the District of New Mexico are prosecuting the case with assistance from Deputy Chief Deborah Curtis and Trial Attorneys David Recker and Brian Fleming of the Justice Department’s National Security Division, Counterespionage Section, the U.S. Attorney’s Office for the Central District of California and the U.S. Attorney’s Office for the Southern District of Iowa.
California Man Sentenced for Interfering with Flight CrewRead the Press Release
PHILADELPHIA - Robert Coppack, 41, of LaVerne, California, was ordered today to spend five months in community confinement and to pay $53, 354 in restitution for interfering with a flight crew. On May 13, 2014, Coppack intimidated and assaulted flight crew members and flight attendants on a US Airways flight traveling from Philadelphia to London, and interfered with their duties and performance. He pleaded guilty September 17, 2014. In addition to the confinement, U.S. District Court Judge John R. Padova ordered the defendant to refrain from alcohol and illegal controlled substances, submit to testing for alcohol and drug testing, and participate in alcohol and mental health treatment while on supervised release.
The case was investigated by U.S. Immigration and Customs Enforcement Homeland Security Investigations, the Federal Bureau of Investigation, and the Joint Terrorism Task Force, and is being prosecuted by Assistant United States Attorney Sarah L. Grieb.
Caldwell Restaurant Owner and Music Promoter Sentenced for Tax EvasionRead the Press Release
BOISE – Rogelio Contreras Villasenor, 49, of Caldwell, Idaho, was sentenced yesterday to 41 months in prison for conspiracy to attempt to evade and defeat tax, U.S. Attorney Wendy J. Olson announced. United States District Judge Edward J. Lodge also ordered Villasenor to serve three years of supervised release following his prison sentence and pay a $20,000 fine. He pleaded guilty on July 10, 2014. Last week, Villasenor attempted to withdraw his guilty plea. At yesterday’s sentencing hearing, Villasenor testified under oath that his prior attorney failed to advise him of potential defenses. His prior counsel also testified after Judge Lodge waived his attorney-client privilege. His prior counsel advised Judge Lodge that he had informed Villasenor of any and all potential defenses. Judge Lodge denied his motion to withdraw his guilty plea and ruled that the defendant falsely testified under oath. Villasenor’s sentence was enhanced for obstructing justice.
According to court documents, Villasenor, owned and operated Tacos Michoacan for almost two decades. Villasenor admitted that beginning in 2005, and continuing to 2011, he conspired to fail to report $1,176,506.91 in income. At sentencing, Judge Lodge found that Villasenor derived some of his unreported income from illegal outdoor marijuana grows on public lands, methamphetamine, marijuana, and cocaine trafficking. As part of his plea agreement, Villasenor agreed to civilly forfeit real property, bank accounts, and a vehicle. Additionally, Villasenor agreed to a tax assessment of at least $329,421.93 to the Internal Revenue Service.
The case was the result of a joint investigation of the Organized Crime and Drug Enforcement Task Force (OCDETF), led by the Drug Enforcement Administration, in conjunction with, U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Canyon County Narcotics Unit, Meridian Police Department, Ada County Sheriff’s Office, Idaho State Police, and the Mini-Cassia Drug Task Force. Other federal agencies participating in the OCDETF program include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Bureau of Investigation, Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service.
The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
Bureau of Prisons Inmate Pleads Guilty to Assaulting A Correctional OfficerRead the Press Release
SACRAMENTO, Calif. —Cresencio Ochoa-Tovali, 46, of Mexico, pleaded guilty today to assaulting a federal correctional officer, United States Attorney Benjamin B. Wagner announced.
According to court documents, on July 27, 2014, a fight broke out between inmates in the recreational yard at the Federal Bureau of Prisons Correctional Institution in Herlong, California. Ochoa-Tovali, an inmate, was in the recreation yard at that time. A correctional officer entered the yard in an attempt to control the situation and ordered the inmates to sit or crouch on the ground. All inmates complied, including Ochoa-Tovali, who was facing a small group of inmates approximately 10 to 15 yards away. The correctional officer heard Ochoa-Tovali shouting names at the small group of inmates and approached Ochoa-Tovali. Suddenly, Ochoa-Tovali jumped up from his crouching position and struck the officer’s face.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant United States Attorney Christiaan Highsmith is prosecuting the case.
Ochoa-Tovali is scheduled to be sentenced by United States District Judge John A. Mendez on March 24, 2015. Ochoa-Tovali faces a maximum statutory penalty of eight years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Buffalo Man Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that Travis Birdsong, 35, of Buffalo, NY, who was convicted of possession with intent to distribute 28 grams or more of crack cocaine, was sentenced to 60 months by Chief U.S. District Judge William M. Skretny.
Assistant U.S. Attorney George C. Burgasser, who handled the case, stated that on June 5, 2013, Special Agents with the Drug Enforcement Administration searched a vehicle that the defendant was in and seized a quantity of crack cocaine. Also on June 5, law enforcement officers searched the defendant’s residence and seized a quantity of cocaine and scales and packaging materials. In addition, a confidential informant purchased cocaine from Birdsong on two separate occasions.
The sentencing is the culmination of an investigation by the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division.
Buffalo Man Pleads Guilty to Bank RobberyRead the Press Release
CONTACT: BARBARA BURNS
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.--U.S. Attorney William J. Hochul announced today that Ronald McClendon, Jr., 27, of Buffalo, NY, pleaded guilty to bank robbery before Chief U.S. District Judge William M. Skretny. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine, or both.
According to Assistant U.S. Attorney Mary Catherine Baumgarten, on July 5, 2013, McClendon drove Adlyn Marie Echevarria Robles to the M&T Bank at 1580 Hertel Avenue in Buffalo. Robles entered the bank, passed the teller a demand note for money, and threatened that she had a bomb. The teller handed over money to Robles who exited the bank and was driven from the scene by McClendon.
On July 24, 2013, the defendant drove Robles to the M&T Bank at 709 Elmwood Avenue in Buffalo. Again, Robles entered the bank, passed the teller a demand note for money, and threatened that she had a bomb. The teller handed over money to Robles, who exited the bank and was driven from the scene by McClendon.
Robles was convicted of bank robbery and sentenced to 24 months in prison.
The plea is the culmination of an investigation by the Federal bureau of Investigation Safe Streets Task Force.
Ronald McClendon, Jr. is scheduled to be sentenced on April 29, 2014 at 9:00 a.m. before Judge Skretny.
Boise Woman Sentenced to 92 Months in Prison for Drug ChargeRead the Press Release
BOISE – Erica Michelle Luna, 34, of Boise, Idaho, was sentenced to 92 months in prison followed by five years of supervised release for distribution of methamphetamine, U.S. Attorney Wendy J. Olson announced. U.S. Chief District Judge B. Lynn Winmill sentenced Luna at the federal courthouse in Boise. Luna pleaded guilty to the charge on October 2, 2014.
According to information presented in court, Luna sold methamphetamine to an undercover police officer on two occasions in July and August 2013. Luna admitted to selling over 50 grams of methamphetamine to the undercover officer.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Boise Police Department as an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation. OCDETF partners include the Federal Bureau of Investigation; Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Immigration and Customs Enforcement’s (ICE); Homeland Security Investigations (HSI); Internal Revenue Service-Criminal Investigation; and U.S. Marshals Service.
Belstsville Fraudster Sentenced to over 9 years in Prison in Elaborate Scheme to Steal over $1 Million from an Individual’s Bank and Retirement AccountsRead the Press Release
Used Stolen Personal Identifying Information to Pose as the Victim, Change the Victim’s Online Password and Email Address, and Stop Delivery of Mail in Attempt to Avoid Detection
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Alimamy Barrie, age 31, of Beltsville, Maryland, today to 112 months and a day in prison followed by three years of supervised release for wire fraud, aggravated identity theft and committing an offense while on supervised release. Judge Grimm also ordered that Barrie pay $26,500 in restitution.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kathy A. Michalko of the United States Secret Service - Washington Field Office; and Chief Edwin C. Roessler Jr. of the Fairfax County, Virginia, Police Department.
According to evidence presented during the seven day trial, in 2011, Barrie was arrested and charged in federal court in the Eastern District of Virginia with aggravated identity theft. On September 26, 2011, Barrie was placed on pretrial release, and notified by court order of the potential effect of committing an offense while on release. On October 3, 2011, Barrie pled guilty to conspiracy to commit wire and mail fraud, arising from a scheme similar to the one described below in which he defrauded T. Rowe Price and an individual. Barrie remained on release through June 1, 2012, when he reported to the Bureau of Prison. The sentence imposed today is consecutive to the four year sentence imposed in the Eastern District of Virginia.
From January 26 to February 13, 2012, while Barrie was on court supervision and purportedly cooperating with the FBI, Barrie devised a scheme to use the personal identifying information of another individual to fraudulently steal money from the victim’s banking and retirement accounts.
Specifically, in January 2012, Barrie and his associates obtained the victim’s name, date of birth, social security number, mailing address and email address from an individual in New York. The co-conspirator provided Barrie and his associates with numerous “sheets” of potential victims’ identifying information. Barrie and his associates were responsible for researching the victims in order to identify who had money and where that money was held. Once Barrie and his associates found a victim with significant funds, they downloaded the victim’s credit history using the internet. If money was obtained from the victim, each of the participants in the fraud would get a “cut” of the money.
On January 30, 2012, after receiving the identifying information for the victim, Barrie called Fidelity Investments, where the victim maintained a 401(k) retirement account, and posed as the victim. Barrie provided the victim’s personal information and then inquired about the balance of the retirement account. Upon learning that the account had $1,020,160.40, Barrie described the account as a “treasure” and a “paradise.”
During this same call, Barrie, still pretending to be the victim, informed the Fidelity representative that the victim’s account access had been blocked online, and asked for help in resetting the online account access password. The Fidelity representative sent the password reset link to the victim’s legitimate email address, which was the email address associated with the victim’s Fidelity account at the time. Within minutes, Barrie accessed the victim’s email account online.
Approximately 45 minutes later, Barrie created a fraudulent email address, logged onto the victim’s Fidelity account and changed the legitimate email address to the fraudulent one he had created, so that the victim would not receive any email notices from Fidelity regarding withdrawals made to the victim’s account. For the same reason, Barrie also requested the U.S. Postal Service to stop delivery of the victim’s mail.
On February 1, 2012, a co-conspirator opened checking and savings accounts at a JP Morgan Chase Bank branch in New York in the victim’s name using the victim’s personal identifying information. That same day, another associate in Indianapolis, Indiana established an electronic funds transfer link between the victim’s Fidelity retirement account and the fraudulent Chase bank accounts. An unknown associate thereafter requested a transfer of $210,403.61 from the victim’s Fidelity retirement account to one of the Chase bank accounts.
The next day, Barrie or an associate contacted the victim’s place of employment, pretending to be the victim. The caller verified the victim’s full social security number and the last four digits of the victim’s Wells Fargo bank account. The caller purportedly wanted to verify that the victim’s salary was directly deposited to the Wells Fargo account. Barrie thereafter ordered blank checks for three of the victim’s Wells Fargo accounts and had those checks sent to an address in Washington, DC. Three individuals thereafter cashed $26,500 worth of checks drawn on the victim’s Wells Fargo accounts. A fourth individual attempted to cash a $9,500 check, but was not successful. Barrie admitted that he and his associates drew these fraudulent checks in case the electronic transfer did not go through, so that he and his associates would get at least some money from the scheme.
On February 13, 2012, Barrie again called Fidelity posing as the victim, and again stated that online access to his account had been blocked and he needed help resetting his password. Barrie reset the password online. However, the victim had previously contacted Fidelity that day and requested that the electronic transfer be stopped, which Fidelity was able to do.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.United States Attorney Rod J. Rosenstein commended the U.S. Secret Service and Fairfax County, Virginia, Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Kelly O'Connell Hayes and Daniel C. Gardner, who prosecuted the case.
Baltimore Armed Robber Sentenced to 15 Years in Prison for Robbing and Attempting to Rob Three Stores and Two Customers in One DayRead the Press Release
Items From Two Robberies Committed Two Days Earlier Were Also Found in Defendant’s Home
Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Thomas Mims, age 53, of Baltimore, today to 15 years in prison, followed by eight years of supervised release, for robbery and using a firearm during a robbery. Judge Quarles also ordered Mims to pay $400 in restitution.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Baltimore City State’s Attorney Gregg L. Bernstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Commissioner Anthony W. Batts of the Baltimore Police Department.
According to his plea agreement, on February 3, 2014, Mims walked into a Rite-Aid on Belair Road in Baltimore, gestured towards his waistband to suggest that he was armed and demanded money from the cashier. The cashier ran away. After first trying to run after her, Mims ran from the store and drove away.
Later that day, Mims entered a retail store, also on Belair Road, and demanded money from an employee who was holding a cash register drawer at the customer service desk. Mims lifted his shirt to display the butt of a handgun. The employee ran away with the drawer into a back office. Mims then approached a cashier and demanded money from her register. The cashier saw Mims holding the gun in his hand. Mims also demanded that a customer give him her purse. When the customer’s fiancé intervened by pushing Mims away, Mims pointed the gun at the customer and pulled the trigger. The gun did not fire.
Mims left the store and pointed his gun at another customer in the parking lot, demanding her purse. When that customer did not immediately comply, Mims snatched her purse, ran to his vehicle and drove away.
Later that day, Mims entered a store on Erdman Avenue in Baltimore and displayed his gun, demanding money from the cashier. The cashier gave him $400 from the register. Mims demanded more money and when the cashier said there was none, Mims put his finger on the trigger of the gun and told the cashier she better not have lied to him. Mims then fled and drove away.
Witnesses called 911. Baltimore police officers soon located Mims’ vehicle and attempted to perform a traffic stop, but Mims sped off. Police trapped Mims’ vehicle in a cul-de-sac. As officers approached on foot, Mims sped toward them in his car. As a result, one officer shot Mims in the arm. Several minutes later the chase ended and Mims was arrested.
Police executed search warrants for Mims’ house and car. They seized a loaded handgun, two ski masks, and clothing worn by the suspect in a robbery at a Subway restaurant two days earlier on February 1, 2014, along with items stolen from an earlier robbery at Walgreens, also on February 1.
United States Attorney Rod J. Rosenstein commended the Baltimore City State’s Attorney’s Office, FBI and Baltimore Police Department for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant United States Attorney Debra L. Dwyer and Special Assistant United States Attorney Piper F. McKeithen, a cross-designated Baltimore City Assistant State’s Attorney assigned to Exile cases, who prosecuted the case.
Albany Woman Sentenced for Bomb ThreatRead the Press Release
EUGENE, Ore. – Jenelle Robyn Pinkston, age 47, of Albany, Oregon was sentenced today to 37 months in federal prison after earlier pleading guilty to calling in a bomb threat. Chief U.S. District Court Judge Ann Aiken imposed conditions of post-prison supervision requiring Pinkston to undergo mental health treatment.
On April 16, 2013, Pinkston used her cell phone to call in a bomb threat to Waverly Elementary School in Albany. Using a disguised voice, Pinkston said “this building is going to blow up in ten minutes.” School authorities activated the fire alarm and called for emergency responders. Approximately 270 students and staff evacuated the school. After investigating, police determined the threat was a hoax.
On May 23, 2013, Pinkston repeated her threat to Waverly Elementary School and called in another false bomb threat to Periwinkle Elementary School in Albany. As with the initial threat, fire alarms were activated, emergency responders were called to the scene and students and staff were evacuated.
Pinkston later confessed to law enforcement and was arrested.
A representative from the Albany School District wrote a letter to the judge explaining the impact of Pinkston’s crimes, calling the threats “disruptive to education, upsetting to students, alarming to parents, and fear causing to staff.” The fire response cost $1,825, which is the amount Pinkston was ordered to pay back as restitution.
The FBI, Linn County Sheriff’s Office and Albany Police Department conducted the investigation. Assistant U.S. Attorney William “Bud” Fitzgerald prosecuted the case.
Accountant Sentenced for Million Dollar Fraud SchemeRead the Press Release
PHILADELPHIA - Andrew B. Zelenkofske, 54, an accountant, of Chagrin Falls, Ohio, was sentenced today to 36 months in prison for defrauding former clients of over $1 million. Between January 2009 and May 2012, he defrauded three of his victims by soliciting funds from them to invest in a start-up biotechnology company. Instead of investing the victims’ money as he represented, Zelenkofske used the funds to pay his own business expenses in connection with a failing restaurant he owned.
Between April 2011 and July 2012, Zelenkofske defrauded another victim, also a former client, of $237,000 by falsely representing that she owed income taxes when she did not and soliciting from her a loan amount which he knew he could not repay. He also spent this victim’s money to pay expenses related to his restaurant. In 2010 and 2011, Zelenkofske defrauded a group of business associates of at least $137,254 by concealing the payment of a dividend and using the funds belonging to these investors to pay his own business expenditures.
Finally, in November 2013, Zelenkofske attempted to obstruct the administration of the internal revenue laws by falsifying a Release of Levy form which he transmitted to the IRS in connection with the representation of a client.
In addition to the prison term, U.S. District Court Judge Stewart Dalzell ordered $987,050 in restitution, three years of supervised release and a $500 special assessment.
The case was investigated by the Federal Bureau of Investigations, the Internal Revenue Service Criminal Investigations and the Treasury Inspector General for Tax Administration. It was prosecuted by Assistant United States Attorney Terri A. Marinari.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525
Monday 15 December 2014
Woman Pleads Guilty and Sentenced on Charge of Illegal Re-EntryRead 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 Olivia Leigh Suriani, 30, a citizen of Canada, pleaded guilty to illegal re-entry into the United States after deportation before Chief U.S. District Judge William M. Skretny. The defendant was then sentenced to time served by Judge Skretny.
Assistant U.S. Attorney Marie P. Grisanti, who handled the case, stated that on October 2, 2014, Suriani was arrested near Beaver Island State Park after having gained access to the United States by kayak near Buffalo, NY. When questioned by a Border Patrol agent, the defendant admitted to entering the United States illegally on the kayak. She had been previously removed from the United States on January 13, 2014 and returned to Canada after she attempted to enter the U.S. while onboard a cruise ship.
The plea and sentencing are the culmination of an investigation on the part of United States Border Patrol, under the direction of Patrol Agent in Charge Chris Buskey.
Wichita Falls Man Sentenced to 63 Months in Federal Prison for Using Stolen Personal Identity Information and Fabricated Documents to Defraud the IRS of Tax RevenueRead the Press Release
WICHITA FALLS, Texas — A local man was sentenced today to 63 months in federal prison and ordered to pay approximately $114,000 in restitution to the Internal Revenue Service (IRS), for using stolen personal identity information and fabricated documents to defraud the IRS of tax revenue, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Bobby J. Hicks, Jr., who has been in custody since his arrest in June 2014, pleaded guilty in August 2014 to one count of wire fraud. According to information presented in today’s hearing, Hicks is 49-years-old, and according to information presented at his earlier detention hearing, he is most recently a resident of Wichita Falls, Texas.
Hicks ran his scheme, according to the factual resume, from 2009 through approximately mid-February 2011. During that time, according to the document, Hicks submitted 15 fraudulent returns, eleven of which were submitted electronically. The total refund amount claimed in the 15 fraudulent returns was $1,541,424. The total amount of refunds actually issued by the IRS was $198,394.44, of which $114,396.44 was actually transferred.
In one instance, according to the factual resume, in January 2010, Hicks submitted a Form 1040EZ income tax return, claiming a $138,806 refund, in the name of another individual whom Hick had met in 2009 in Wichita Falls and had hired to do day labor. In connection with that labor, the individual had provided Hicks his social security number, but he did not authorize Hicks to use it or to submit a tax return in his name.
It was noted in Hicks’ detention hearing earlier this year, that as part of his scheme, he stole the identities of family members, including the identity of his deceased mother.
The investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney Brandon McCarthy prosecuted.
West Virginia Man Convicted of Unlawful Possession of FirearmRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistMARTINSBURG, WEST VIRGINIA – Robert Jeffery Householder, 46, of Capon Bridge, West Virginia, has been convicted of unlawful possession of a firearm, United States Attorney William J. Ihlenfeld, II, announced.
Householder pled guilty to one count of “Felon in Possession of a Firearm” after being discovered in August 2014 in possession of a .9mm pistol. Householder, who was prohibited from possessing a firearm due to a 2008 conviction for “Drug User in Possession of a Firearm”, faces up to ten years in prison and a fine of up to $250,000.00. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.Assistant United States Attorney Paul Camilletti is prosecuting the case on behalf of the government. The Hampshire County Sheriff’s Office, the West Virginia State Police, and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Waldorf Drug Trafficker Sentenced to over 20 Years in PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced John David White, age 42, of Waldorf, Maryland today to 248 months in prison, followed by four years of supervised release, for conspiracy to possess with intent to distribute cocaine and heroin, possession and attempt to possess with intent to distribute cocaine and heroin, maintaining a drug-involved premises and possession of a firearm in furtherance of a drug trafficking crime.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Colonel Michael Kundrat, Chief of the Maryland Transportation Authority Police; Chief Mark A. Magaw of the Prince George’s County Police Department; Charles County Sheriff Troy Berry; and Chief Mark Fronterotta of the Inglewood, California Police Department.
According to evidence presented at the six-day trial, from at least August 2010 through June 6, 2013, White purchased illegal narcotics in California and shipped the drugs to Maryland for distribution. During this time period, White sent shipments from the East Coast to California via FedEx and private freight carriers. In April 2011, law enforcement intercepted one of the shipments and found $30,000 in vacuum sealed packaging. The evidence further established that from August 2010 through May 2013, White sent 25 shipments, weighing at least 140 pounds each, from California to Maryland, through several private freight carriers.On May 28, 2013, law enforcement intercepted a crate shipment from California to a self-storage facility in Hyattsville, Maryland. Hidden inside a toaster oven within the crate were two bricks of cocaine weighing over two kilograms. The next day, a freight shipping company delivered the crate to the storage unit which was leased to White and a company that he controlled called City Urban. Later that same day, White arrived at the storage facility, unlocked his storage unit, pushed the crate inside and then closed his storage unit. As White attempted to leave the storage facility, he was arrested.
Law enforcement executed a search warrant on May 30, 2013 at White’s storage unit and found several empty crates; packaging material; two digital scales; metal measuring spoons, one of which had heroin residue; and three plastic bags containing approximately 185 grams of heroin. Law enforcement later executed a search at White’s residence on June 6, 2013, and seized $7,967; a .45 caliber pistol; ammunition; drug paraphernalia that contained heroin residue; and numerous cell phones, at least two of which contained text messages, in coded language, regarding the purchase and sale of narcotics.
United States Attorney Rod J. Rosenstein praised the DEA, Maryland Transportation Authority Police, Prince George’s County Police Department, Charles County Sheriff’s Office and Inglewood, California, Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Nicolas Mitchell and Adam Ake, who prosecuted the case.U.S. Attorney Alicia Limtiaco Presents at the University of Guam’s LW390 ClassRead the Press Release
ALICIA A.G. LIMTIACO, U.S. Attorney for the Districts of Guam and the Northern Mariana Islands (NMI) was invited to speak on December 6, 2014. at the University of Guam’s LW390 Class Production regarding Human Trafficking. The LW390 class is the Human Trafficking Conference course that is taken alongside PA390, which is the Special Topics: Human Trafficking class. The conference class is meant give students an experience in presenting in a formal conference setting, as well as to display what they have learned in class. The PA390 course teaches students about Human Trafficking. There were approximately 100 students, professors, and government officers and officials in attendance at the forum.
U.S. Attorney Limtiaco spoke on the topic of “Human Trafficking Red Flags” and “Preventing Human Trafficking in the Pacific Region,” and shared information on the Pacific Regional Response to Combat Human Trafficking Initiative (the “Initiative”), which is a collaborative effort among the U.S. Attorney’s Office for the Districts of Guam and the NMI, the National District Attorneys Association, the Department of State, the Department of the Interior, the Guam Human Trafficking Task Force, the NMI Human Trafficking Intervention Coalition, and other community partners. U.S. Attorney Limtiaco also discussed the intersection and relationship between human trafficking, sexual assault, child abuse and domestic and family violence, and prevention and enforcement efforts in the Pacific region.
The Initiative employs a multidisciplinary model, including participation, coordination, and collaboration among law enforcement, prosecution, victim service providers, social services, medical, mental and public health professionals, faith based organizations, educational institutions, Consulates, and other community stakeholders. The Initiative calls for the establishment and provision of victim services, investigation and prosecution of human trafficking, training opportunities, community outreach/ public awareness and prevention programs, and creation of human trafficking task forces and coalitions in the Pacific region island communities. The Initiatives also provides fundamental training in human trafficking, including victimization, investigation and prosecution, prevention efforts, and other related topics to law enforcement, prosecution, victim service providers, social services, medical, mental and public health professionals, faith based organizations, educational institutions, Consulates, and other community stakeholders in our Pacific region island communities, which is critical to effective prevention and enforcement efforts in the region.
Front Row: Dr. John Rivera, Dean Annette Santos, Lt. Gov. Ray Tenorio,
U.S. Attorney Limtiaco, Shirley Chu, Diana Reyes, Marlene Leon Guerrero,
Natasha Taitague, and James Chin. Back row: Dr. Terry Donaldson,
Dr. Ron McNinch, Dr. Ansito Walter and FBI SSRA Bill Corbett
U.S. Attorney Alicia Limtiaco addressing UOG Students and other attendees.
U.S. Attorney Alicia Limtiaco addressing UOG Students and other attendees.
Two Vonore Residents Plead Guilty to Mail Theft in Tellico VillageRead the Press Release
KNOXVILLE, Tenn. –On Dec. 2, 2014, Sarah Jane Duncan, 38, of Vonore, Tenn., pleaded guilty in U.S. District Court to theft of mail and possessing the identification of another without lawful authority. Amber Dawn Thomas, 33, also of Vonore, Tenn., pleaded guilty to these same charges on Dec. 5, 2014. Both were indicted by a federal grand jury in March 2014.
Sentencing for both Duncan and Thomas has been set for April 1, 2015, in U.S. District Court, Knoxville. Each faces a sentence of up to six months in prison and a fine of up to $250,000.
Facts included in the plea agreement on file with the U.S. District Court show that in December 2013 a resident called the Loudon County Sheriff’s Office to report finding a grocery bag containing mail of multiple residents of Tellico Village. That same day, the sheriff’s department received a report of a small car stopping at all the residence mailboxes in the Tanasi Lagoon area of Tellico Village. Officers spotted the vehicle later that day and observed the driver removing something from a mailbox. Officers stopped the vehicle and identified the driver as Thomas and the passenger as Duncan. A search warrant was obtained, which resulted in the officers finding and recovering stolen mail from inside the vehicle. Both Thomas and Duncan admitted to stealing mail. Additionally, they admitted to placing some of the mail in a grocery bag and throwing it out in Tellico Village as well as dumping other mail at a convenience store. Cash was found in a medical boot worn by Thomas, which she admitted was obtained from the stolen mail. Additionally, checks were found in Thomas’s purse as well as recovered from the police cruiser used to transport Duncan and her to jail.
This case was investigated by the Loudon County Sheriff’s Department and U.S. Postal Inspection Service. Assistant U.S. Attorney Jennifer Kolman represents the United States.
Two Members of Bronx Drug Trafficking Crew Convicted in Manhattan Federal Court for Murders, Drug Trafficking, Firearms Offenses, and Other CrimesRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that ARMANI CUMMINGS, a/k/a “A1,” and JOSE MUNOZ, a/k/a “Rico,” were found guilty on December 12 of murder, drug trafficking, firearms offenses, and other crimes. The jury convicted CUMMINGS and MUNOZ on all 14 counts in the indictment following a four-week trial before U.S. District Judge Victor Marrero.
Manhattan U.S. Attorney Preet Bharara said: “Armani Cummings and Jose Munoz were members of a violent drug trafficking crew who themselves used violence in the extreme. As a unanimous jury found, they murdered three men who were rivals, for control of territory. Thanks to the FBI and the NYPD, Cummings and Munoz will likely never return to any section of the Bronx.”
According to court papers and the evidence admitted at trial:
ARMANI CUMMINGS, 23, and JOSE MUNOZ, 26, were members of a crack cocaine distribution organization operating in the Allerton Avenue section of the Bronx, New York, between 2006 and 2012, responsible for the distribution of crack cocaine. CUMMINGS and MUNOZ carried, possessed, and brandished firearms during the period of the charged narcotics conspiracy in order to protect their narcotics and narcotics proceeds, and to ensure that rival drug dealers did not encroach on their territory.
In or about mid-2009, a dispute over narcotics territory in the Allerton area erupted between a drug crew lead by CUMMINGS, and another drug crew. On January 14, 2010, as a result of this drug dispute, CUMMINGS shot and killed 18-year-old Laquan Jones, a/k/a “Bills.” On June 9, 2010, CUMMINGS, along with a criminal associate, shot and killed 45-year old Carl Copeland, a/k/a “Giovanni.” Jones and Copeland were both members of a rival drug crew, and had taken steps to keep CUMMINGS and CUMMINGS’s associates from selling crack in certain locations in the Allerton area.
MUNOZ, a/k/a “Rico,” who had been selling crack in the Allerton area in 2008, was released from jail in or about 2010, and returned to the Allerton area. MUNOZ joined CUMMINGS’s drug crew, and used violence and threats of violence to ensure that drug dealers from outside of Allerton did not sell crack in the area. In that regard, MUNOZ attacked a number of rival drug dealers in 2010, stole their crack, and warned them not to return. On December 31, 2011, while at a New Year’s Eve party, MUNOZ saw one of his drug rivals, Shameek Young, a/k/a “Boom.” Munoz then fired into a crowd of people, and hit Young in the back four times, killing him.
For their roles in the Allerton Avenue crack cocaine distribution conspiracy, CUMMINGS and MUNOZ were convicted of one count of conspiring to distribute 280 or more grams of crack; and with carrying and possessing guns in connection with, and in furtherance of, the narcotics conspiracy. CUMMINGS was also convicted, in six additional counts, with the narcotics-related murder of Laquan Jones, and of the murder of Carl Copeland. MUNOZ was convicted, on three counts, of the narcotics-related murder of Shameek Young. MUNOZ was also convicted of two counts of robbery, and one count of possessing and brandishing a firearm during, and in relation to, the robbery. CUMMINGS and MUNOZ will be sentenced by Judge Marrero on April 10, 2015. Both face mandatory life sentences.
U.S. Attorney Bharara praised the Federal Bureau of Investigation and the New York City Police Department for their outstanding work in this investigation.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Hadassa Waxman and Michael Gerber are in charge of the prosecution.
Two Kansans Plead Guilty to Operating Multimillion-Dollar Designer Drug BusinessRead the Press Release
KANSAS CITY, KAN. – Two Kansans pleaded guilty Monday to operating a synthetic drug business that generated at least $16 million in sales in less than two years, U.S. Attorney Barry Grissom said.
Tracy Picanso, 58, Olathe, Kan., and Roy Ehrett, 56, Olathe, Kan., each pleaded guilty to one count of conspiracy, one count of producing and selling misbranded drugs, one count of producing and selling counterfeit drugs and one count of conspiracy to launder money.
An indictment unsealed in April alleged Picanso and Ehrett owned an Olathe-based business producing and selling dangerous controlled substances and controlled substance analogues of THC (the active ingredient in marijuana) and methcathinones (stimulants).
They sold products under exotic names including Pump It, Head Trip, Black Arts, Grave Digger, Voodoo Doll and Lights Out. Some of the drugs were manufactured in buckets with drill-powered immersion mixers and tried out on “testers” who helped tweak the recipes by reporting on the drugs’ effects.
The operation stretched from Kansas to Missouri, California, Texas, Georgia and Colorado, involving more than 15 companies with more than 40 financial accounts at more than 10 financial institutions. Businesses owned and operated by the defendants included Retailing Specialists, Innovative Products 4U, The Outer Edge, Lakeridge Holdings, Monster Warehouse, Monster Distribution, Monster, 3P Distribution and Life Source.
Sentencing is set for April 13. Both parties have agreed to recommend a sentence between 7 and 15 years in federal prison.
Grissom commended the Drug Enforcement Administration, the Food and Drug Administration – Office of Criminal Investigations, the Department of Homeland Security, Homeland Security Investigations, Customs and Border Protection, the FBI, the Overland Park Police Department, the Johnson County Sheriff’s Office, the Olathe Police Department, the St. Joseph Police Department and the Buchanan County Drug Strike Force and Assistant U.S. Attorney Tanya Treadway for her work on the case.
Two Indicted on Conspiracy to Violate Immigration StatutesRead the Press Release
HARRISONBURG, VIRGINIA – A pair of individuals who ran a Harrisonburg-area restaurant have been indicted by a federal grand jury in the Western District of Virginia in Harrisonburg on charges related to the inducing and harboring of aliens.
Maria Rosalba Alvarado McTague, [Alvarado], 47, and Felix Adriano Chujoy, 26, both of Harrisonburg, Va., were indicted by a federal grand jury on December 4, 2014. That indictment was unsealed Friday evening following the defendants’ arrests and initial court appearances.
Alvarado and Chujoy have each been charged with one count of conspiracy to violate immigration statutes, two counts of harboring an alien, and two counts of inducing an alien for financial gain. In addition, Alvarado has been charged with one count of visa fraud.
According to the indictment, Alvarado and Chujoy, who are originally from Peru but have since become Naturalized United States Citizens, managed Inca’s Secret, a restaurant in Harrisonburg. Alvarado is accused of making regular trips to Peru, where she attempted to recruit victims to immigrate illegally to the United States for the purpose of working at Inca’s Secret.
The defendants promised to help smuggle the victims into the United States, told victims they would be paid for working at the restaurant and that they would be provided a place to live. In exchange, the victims had to work for Alvarado and Chujoy at Inca’s Secret for six months to work off the “debt” owed for smuggling and housing the victims.
However, once arriving in the United States, the indictment alleges, victims were forced to work 12-hours per day, seven days per week and provide services outside of their work at the restaurant. The victims were paid approximately $450 per month, effectively resulting in an hourly wage of less than $1.50 per hour. Alvarado and Chujoy housed the victims at their home and, according to the indictment, the victims did not feel free to leave. Other documents unsealed at the initial appearance reflect that Alvarado and Chujoy controlled the victims through isolation, threats, and harassment.
In addition, the indictment alleges that when one victim in Peru refused to cross into the United States illegally, Alvarado arranged to have a VISA application submitted to the U.S. Embassy in Peru on behalf of the victim which contained a variety of false and fraudulent information.
The victims were identified by a Good Samaritan who called the National Human Trafficking hotline who passed the tip onto law enforcement. The National Human Trafficking hotline can be reached at 1-888-373-7888.
The Indictment includes six counts. If convicted, the defendants could face ten years in prison and/or a fine of up to $250,000 for each charge.
The investigation of the case was conducted by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Federal Bureau of Investigation and the Commonwealth of Virginia Attorney General’s Office. Assistant United States Attorney Heather Carlton is prosecuting the case for the United States.
A Grand Jury Indictment is only a charge and not evidence of guilt. The defendant is entitled to a fair trial with the burden on the government to prove guilt beyond a reasonable doubt.
Two 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 – Two West Virginia residents were convicted in federal court today for their role in producing methamphetamine, United States Attorney William J. Ihlenfeld, II, announced.
Shawn David White, 32, of Bartow, West Virginia, pled guilty today to one count of “Possession of Material Used in the Manufacture of Methamphetamine - Aiding and Abetting.” He was discovered in August 2012 in possession of eight lithium batteries with one end removed and a plastic soda bottle with a white substance inside. He faces up to ten years in prison and a fine of up to $250,000.00.
Christina Lee Kimble, 31, also of Bartow, West Virginia, pled guilty today to “Possession of Pseudoephedrine to be Used in the Manufacture of Methamphetamine.” In July 2012, she purchased medications containing pseudoephedrine to be used in manufacturing methamphetamine. She faces up to 20 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 defendants.
Assistant U.S. Attorney Stephen Warner is prosecuting the cases on behalf of the government. The cases were investigated by the Mountain Region Drug and Violent Crimes Task Force, the United States Forest Service, the Pocahontas County Sheriff's Office, and the West Virginia State Police.
U.S. Magistrate Judge John S. Kaull presided.
Two Barnstable County Men Arrested on Drug ChargesRead the Press Release
BOSTON – Two Cape Cod men with extensive criminal histories were arrested and charged today with conspiring to violate federal drug laws.
Duane Gomez, a/k/a “Go-Go” or “G,” 39, of Falmouth, and Antone Andrade, a/k/a “Tank,” 34, of Bourne, were charged in criminal complaints with conspiracy to distribute, and to possess with intent to distribute, over 100 grams of heroin. In addition, Andrade is charged with conspiring to distribute cocaine.
As alleged in the complaint, the federal investigation leading to the two arrests began in fall 2013 and involved audio- and video-recorded drug transactions with both Gomez and Andrade. Over the course of the investigation, Gomez and Andrade allegedly sold cocaine and heroin worth thousands of dollars, and stashed drugs and money in locations in Falmouth, Bourne, and Mashpee. One of the heroin samples from Gomez tested positive for traces of fentanyl, a synthetic opiate that has been linked to overdoses when mixed with heroin.
The charging statute provides a sentence of no greater than 40 years in prison, a lifetime of supervised release, and a fine of up to $5 million. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Michael J. Ferguson, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; Michael D. O’Keefe, Cape and Islands District Attorney; Falmouth Police Chief Edward A. Dunne; Bourne Police Chief Dennis R. Woodside; Mashpee Police Chief Rodney Collins; and Barnstable County Sheriff James M. Cummings, made the announcement today. The case was investigated by the DEA Cape Cod Drug Task Force and the Massachusetts State Police Cape Cod Drug Unit. The case is being prosecuted by William F. Bloomer and Brian A. Pérez-Daple of Ortiz’s Major Crimes Unit.
The details contained in the complaint are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Trucker Convicted of Kidnapping and Interstate Domestic ViolenceRead the Press Release
After a week-long trial, a federal jury convicted a trucker and Florida resident of kidnapping and interstate domestic violence. Evidence adduced at trial showed that the defendant held the female victim captive for 10 days and inflicted psychological and physical abuse that included sexual battery. This was the first time an individual was charged with domestic violence in federal court in South Florida under the Interstate Domestic Violence statute.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
According to the evidence presented at trial, on August 21, 2014, the 40-year-old female victim leapt from a window of Timothy John Miers’, 47, 18-wheeler truck cabin and ran into the arms of civilians at a truck stop in Medley, Florida. These civilians, and later police officers, observed that the victim had bruises all over her body, two black eyes and was bleeding from her nose and ear.
The victim recounted to law enforcement the physical and psychological abuse, as well as the sexual battery, that Miers inflicted on her over the course of several days he held her captive. Miers had confined the victim in the cabin of his 18-wheeler truck between August 11, 2014 and August 21, 2014, while he drove from Boston to South Florida. Law enforcement’s entry into the defendant’s iPhone revealed a cache of photographs of the victim bruised and battered, which Miers had taken while the victim was held and terrorized. In addition, Miers had video recorded his sexual assault of the victim and forced her to engage in humiliating and degrading dialogue. During that video, Miers announced his intention to subject her to a life of sexual slavery and daily beatings. Miers stated to the victim that he had beaten and killed other women previously. In fact, that was the case.
At trial, two other women testified that they had been romantically involved with Miers until he became violent and abusive. Miers’ ex-wife testified that he confined, repeatedly beat, raped and degraded her. She also testified that Miers forced her to urinate in a bucket instead of in a toilet and sometimes refused to give her food unless she complied with all of his demands. Miers also threatened to kill his ex-wife and her daughter if she ever tried to escape. The last act of violence that the defendant inflicted on his ex-wife was a punch to the face that resulted in a fractured orbital socket and other injuries. Another former girlfriend was similarly beaten in the face by Miers when she tried to leave his vehicle against his command.
Evidence at trial further revealed that a fourth victim, also an ex-girlfriend, had been confined in a vehicle by Miers. This victim tried to escape by throwing herself from the fast moving vehicle into oncoming traffic. Several bystanders saw what happened and rendered aid while she screamed that Miers was going to kill her.
Although not admitted at trial, court filings reveal that one of Miers’ ex-girlfriends was reported missing after last being seen with him. Public filings detail that the missing woman’s blood was found behind some baseboards in the bathroom of the apartment they shared together. She has never been found and no charges have been filed relating to this woman’s disappearance. If anyone has any information regarding this incident, please call Detective Moises Garcia, Hillsborough County Sheriff’s Office Criminal Investigation Division, Homicide Section, (813) 247-0569.
At sentencing, Miers faces up to life in prison for kidnapping, in violation of Title 18, United States Code, 1201, and faces up to 10 years imprisonment on each count of Interstate Domestic Violence, in violation of Title 18, United States Code, Sections 2261.
U.S. Attorney Ferrer stated, “No human being should have to endure the abuse and terror that these women suffered at the hands of Timothy John Miers. Thanks to the bravery of the victims who testified and the other compelling evidence presented at trial, their captor has been brought to justice. Making full use of our federal laws, we were able to charge the defendant with kidnapping, and for the first time in this District, with federal domestic violence. We will continue to vigorously prosecute such acts of violence.”
“Gaining access to the data on Mr. Miers’ cell phone produced evidence that was an essential part of this investigation,” said George L. Piro, Special Agent in Charge for FBI Miami. “Miers videotaped his sexual assault of a victim and threatened to subject her to a life of sexual slavery and daily beatings. Now convicted of his heinous crimes, he faces the possibility of a long prison sentence.”
Mr. Ferrer commended the FBI for their efforts in the investigation of this case. Mr. Ferrer also thanked the Medley Police Department for their assistance and cooperation in this matter. This case was prosecuted by Assistant U.S. Attorney Michael Gilfarb and Vanessa Johannes.
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.
Trucker Convicted of Kidnapping and Interstate Domestic ViolenceRead the Press Release
After a week-long trial, a federal jury convicted a trucker and Florida resident of kidnapping and interstate domestic violence. Evidence adduced at trial showed that the defendant held the female victim captive for 10 days and inflicted psychological and physical abuse that included sexual battery. This was the first time an individual was charged with domestic violence in federal court in South Florida under the Interstate Domestic Violence statute.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
According to the evidence presented at trial, on August 21, 2014, the 40-year-old female victim leapt from a window of Timothy John Miers’, 47, 18-wheeler truck cabin and ran into the arms of civilians at a truck stop in Medley, Florida. These civilians, and later police officers, observed that the victim had bruises all over her body, two black eyes and was bleeding from her nose and ear.
The victim recounted to law enforcement the physical and psychological abuse, as well as the sexual battery, that Miers inflicted on her over the course of several days he held her captive. Miers had confined the victim in the cabin of his 18-wheeler truck between August 11, 2014 and August 21, 2014, while he drove from Boston to South Florida. Law enforcement’s entry into the defendant’s iPhone revealed a cache of photographs of the victim bruised and battered, which Miers had taken while the victim was held and terrorized. In addition, Miers had video recorded his sexual assault of the victim and forced her to engage in humiliating and degrading dialogue. During that video, Miers announced his intention to subject her to a life of sexual slavery and daily beatings. Miers stated to the victim that he had beaten and killed other women previously. In fact, that was the case.
At trial, two other women testified that they had been romantically involved with Miers until he became violent and abusive. Miers’ ex-wife testified that he confined, repeatedly beat, raped and degraded her. She also testified that Miers forced her to urinate in a bucket instead of in a toilet and sometimes refused to give her food unless she complied with all of his demands. Miers also threatened to kill his ex-wife and her daughter if she ever tried to escape. The last act of violence that the defendant inflicted on his ex-wife was a punch to the face that resulted in a fractured orbital socket and other injuries. Another former girlfriend was similarly beaten in the face by Miers when she tried to leave his vehicle against his command.
Evidence at trial further revealed that a fourth victim, also an ex-girlfriend, had been confined in a vehicle by Miers. This victim tried to escape by throwing herself from the fast moving vehicle into oncoming traffic. Several bystanders saw what happened and rendered aid while she screamed that Miers was going to kill her.
Although not admitted at trial, court filings reveal that one of Miers’ ex-girlfriends was reported missing after last being seen with him. Public filings detail that the missing woman’s blood was found behind some baseboards in the bathroom of the apartment they shared together. She has never been found and no charges have been filed relating to this woman’s disappearance. If anyone has any information regarding this incident, please call Detective Moises Garcia, Hillsborough County Sheriff’s Office Criminal Investigation Division, Homicide Section, (813) 247-0569.
At sentencing, Miers faces up to life in prison for kidnapping, in violation of Title 18, United States Code, 1201, and faces up to 10 years imprisonment on each count of Interstate Domestic Violence, in violation of Title 18, United States Code, Sections 2261.
U.S. Attorney Ferrer stated, “No human being should have to endure the abuse and terror that these women suffered at the hands of Timothy John Miers. Thanks to the bravery of the victims who testified and the other compelling evidence presented at trial, their captor has been brought to justice. Making full use of our federal laws, we were able to charge the defendant with kidnapping, and for the first time in this District, with federal domestic violence. We will continue to vigorously prosecute such acts of violence.”
“Gaining access to the data on Mr. Miers’ cell phone produced evidence that was an essential part of this investigation,” said George L. Piro, Special Agent in Charge for FBI Miami. “Miers videotaped his sexual assault of a victim and threatened to subject her to a life of sexual slavery and daily beatings. Now convicted of his heinous crimes, he faces the possibility of a long prison sentence.”
Mr. Ferrer commended the FBI for their efforts in the investigation of this case. Mr. Ferrer also thanked the Medley Police Department for their assistance and cooperation in this matter. This case was prosecuted by Assistant U.S. Attorney Michael Gilfarb and Vanessa Johannes.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.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 www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.