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Friday 13 June 2025
Guatemalan National Pleads Guilty to Producing Child PornographyRead the Press Release
OKLAHOMA CITY – GUSTAVO GORDILLO, 42, of Guatemala, has pleaded guilty to production of child pornography, announced U.S. Attorney Robert J. Troester.
On February 20, 2025, a federal Grand Jury returned a four-count Indictment against Gordillo, charging him with production, transportation, distribution, and possession of child pornography. According to an affidavit in a previously filed criminal complaint, in July 2020, investigators with the Oklahoma City Police Department (OCPD) received a cyber tip after files containing child sexual abuse material (CSAM) were uploaded to a Google Photos account. The affidavit alleges that the suspect who uploaded the photos, later determined to be Gordillo, lived in Oklahoma City. OCPD detectives investigated the tip, as well as additional tips from Facebook, and learned that Gordillo had communicated with a child living out of state. The affidavit further alleges Gordillo provided CSAM to and received CSAM from the child. Additional investigation led law enforcement to a residence in the Oklahoma City metro that was connected with Gordillo, and he was arrested by Homeland Security Investigations (HSI) and OCPD on January 29, 2025.
The affidavit further indicates that Gordillo previously entered the United States on a temporary visa, but that visa had expired.
On June 12, 2025, Gordillo pleaded guilty to Count 1 of the Indictment, and admitted he used a child to engage in sexually explicit conduct for the purpose of producing CSAM. At sentencing, Gordillo faces no less than 15 years and up to 30 years in federal prison, and a fine of up to $250,000.
This case is the result of an investigation by HSI and OCPD. Assistant U.S. Attorney Tiffany Edgmon is prosecuting the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Reference is made to public filings for additional information.
Guatemalan National Indicted for Unlawful Reentry into the United StatesRead the Press Release
CONCORD – A Guatemalan national was indicted on the charge of unlawful reentry into the United States, Acting U.S. Attorney Jay McCormack announces.
Jorge Misael Niz, 42, a Guatemalan national unlawfully residing in Salem, was previously deported back to Guatemala on March 30, 2006. He was located in Salem on April 27, 2025. Niz is currently in Immigration and Customs Enforcement custody. He will appear in federal court at a later date.
The charging statute provides a sentence of no greater than two years in prison, up to one year of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Immigration and Customs Enforcement led the investigation. Assistant U.S. Attorney Matthew Vicinanzo is prosecuting the case.
This effort is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Guatemalan National Indicted for Illegal ReentryRead the Press Release
Jacksonville, Florida – United States Attorney Gregory W. Kehoe announces the return of an indictment charging Simon Eladio Gonzalez-Paxtor (56, Guatemala) with illegal reentry. If convicted, Gonzalez-Paxtor faces a maximum penalty of 20 years in federal prison.
According to the indictment, on June 7, 2025, Gonzalez-Paxtor was found to be voluntarily in the United States after having previously been removed from the United States. Gonzalez-Paxtor had not received consent of the Attorney General or the Secretary for the Department of Homeland Security to reapply for admission. In 2006, Gonzalez-Paxtor was convicted of forgery in Missouri and sentenced to two years in prison, prior to his being removed from the United States.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by U.S. Immigration and Customs Enforcement (ICE) Enforcement Removal Operations (ERO). It will be prosecuted by Assistant United States Attorney David B. Mesrobian.
The case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
Georgia Couple Arrested for Stealing More Than $1.7 Million Dollars in COVID Relief FundsRead the Press Release
Tampa, Florida – United States Attorney Gregory W. Kehoe announces the indictment and arrests of Earlisha Louis (44, Newnan, Georgia) and Somoza Louis (44, Newnan, Georgia) for one count of conspiracy to commit wire fraud and four counts of wire fraud related to COVID-19 relief funds. If convicted, each faces up to 30 years in federal prison on each count. Earlisha Louis is also charged with two counts of illegal monetary transactions. Each of those counts carry a maximum penalty of 3 years in federal prison. The indictment also notifies the pair that the United States intends to forfeit a residence and $1,705,553.80, which are alleged to be traceable to the proceeds of the offense.
According to the indictment, between April 2020 and June 2021, Earlisha and Somoza Louis devised a scheme to defraud the Small Business Administration by submitting multiple false and fraudulent Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP) loan applications. These programs were some of the sources of economic relief provided for by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. After receiving one of the loans, Earlisha Louis transferred more than $10,000 of the fraud proceeds between her accounts.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Small Business Administration - Office of Inspector General and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Merrilyn E. Hoenemeyer.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by contacting the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Gary Man Sentenced to 88 Months in PrisonRead the Press Release
SOUTH BEND – Yesterday, Nvaun Lewis, 30 years old, of Gary, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to being a convicted felon in possession of a firearm, announced Acting United States Attorney Tina L. Nommay.
Lewis was sentenced to 88 months in prison followed by 3 years of supervised release.According to documents in the case, police conducted a traffic stop in Michigan City and found Lewis in possession of a loaded pistol with an extended magazine and a “full auto” switch. Lewis had multiple prior felony convictions, including robbery and armed robbery, and as such, is prohibited from possessing the firearm in this case.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the Michigan City Police Department. The case was prosecuted by Assistant United States Attorney Joel Gabrielse.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Freeport, Ill. Man Sentenced to Ten Years in Prison for Distribution of CocaineRead the Press Release
ROCKFORD — A Freeport, Ill. man has been sentenced to ten years in federal prison for knowingly and intentionally distributing cocaine.
PARIS WALKER, 39, pleaded guilty earlier this year to one count of distribution of a controlled substance. U.S. District Judge Iain D. Johnston imposed the sentence during a hearing on Thursday in federal court in Rockford.
Walker admitted that from 2019 to 2022, he knowingly and intentionally distributed cocaine to a confidential informant for the government. Additionally, Walker possessed cocaine on multiple occasions with the intent to distribute it. The total amount of cocaine involved in the offense of conviction and relevant conduct was at least 30.3 grams.
The sentence was announced by Andrew S. Boutros, United States Attorney for the Northern District of Illinois, and Douglas S. DePodesta, Special Agent-in-Charge of the Chicago Field Office of the FBI. The government was represented by Assistant U.S. Attorney Robert S. Ladd.
Fort Myers Man Sentenced to More Than 20 Years for Pizza Shop Armed RobberyRead the Press Release
Fort Myers, Florida – U.S. District Court Judge Thomas Barber has sentenced Shadarien Lamarr Ward (22, Fort Myers) to 22 years in federal prison for robbing a pizza shop at gunpoint near downtown Fort Myers. Ward previously pleaded guilty to interfering with commerce by robbery, brandishing a firearm during a crime of violence, and possessing a firearm as a convicted felon.
According to court documents, on the evening of September 1, 2024, Ward robbed a pizza shop at gunpoint, pistol-whipping an employee in the process. After grabbing the cash register drawer and approximately $700 in cash, Ward fled the area on foot. Though he was hooded and masked during the robbery, he was later identified by law enforcement after an extensive review of surveillance cameras in the area tracked him to a nearby motel.
Ward, a registered sex offender, was wearing a GPS monitor at the time of the robbery as part of his state sex offender probation. Though he had cut off his GPS monitor and absconded from supervision following the robbery, Ward was located and arrested at a North Fort Myers motel soon thereafter.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Myers Police Department. It was prosecuted by Assistant United States Attorney Simon Eth.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Fort Myers Man Sentenced for Conspiring with California Man to Distribute Methamphetamine and Fentanyl Through the U.S. MailRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber today sentenced Durand Dijuon Demetiu Colbert (35, Fort Myers) to 12 years in federal prison for conspiracy with the intent to distribute methamphetamine and fentanyl, possession with intent to distribute fentanyl, and attempted possession with intent to distribute methamphetamine. Colbert pled guilty on September 18, 2024.
According to court documents, Colbert conspired with his co-defendant, Esdras Joel Garcia De La Rosa (28, Los Angeles, CA) to distribute various controlled substances, including methamphetamine and fentanyl. De La Rosa resided in the Los Angeles, California area and supplied Colbert, a Lee County resident, with controlled substances that would later be distributed to others. The controlled substances were sent by De La Rosa to Colbert through the U.S. mail or other packaging carriers.
On November 17, 2023, the Lee County Sheriff’s Office executed a search warrant on Colbert’s Florida residence. At that time, Colbert was in possession of roughly 1,700 fentanyl pills at his residence, which investigators determined had been sent by De La Rosa.
De La Rosa previously pleaded guilty for his role in the case. He was sentenced to nine years in federal prison on April 16, 2025.
This case was investigated by the Lee County Sheriff’s Office, the Drug Enforcement Administration, and the United States Postal Inspection Service. It was prosecuted by Assistant United States Attorney Mark Morgan.
Former OSU employee, 2 vendors plead guilty in financial fraud conspiracyRead the Press Release
COLUMBUS, Ohio – Three men have been convicted of conspiring to commit federal program fraud. A former Ohio State University employee sold surplus university assets for artificially low prices in exchange for kickbacks. He and two of his customers have been charged federally and have pleaded guilty.
According to court documents, from 2009 until 2020, Michael Brammer, 59, of Pataskala, was employed by Ohio State University’s surplus department. As part of Brammer’s duties, he evaluated and classified used surplus university assets like computers.
Brammer falsely classified equipment as recyclable and sold them to two recycling vendors – Abraham Amira, 60, and Robert Howard, 73, both of Columbus – for artificially low prices. In return, Amira and Howard made cash payments directly to Brammer.
In total, Brammer received at least $650,000 in cash from Amira and Howard that would have been revenues to the surplus department.
Throughout the course of the conspiracy, The Ohio State University received more than $10,000 in federal benefits each year through grants.
Amira pleaded guilty today to crimes related to the surplus fraud and to separate COVID-19 related fraud schemes. Amira admitted to fraudulently receiving and spending more than $800,000 from various COVID-19 relief programs. He pleaded guilty today to conspiring to commit federal program fraud and wire fraud.
Brammer and Howard both previously pleaded guilty to conspiring to commit federal program fraud.
Conspiracy to commit federal program fraud is a crime punishable by up to five years in prison. Wire fraud carries a potential maximum penalty of 20 years in prison.
Congress sets minimum and maximum statutory sentences. Sentencing of the defendants will be determined by the Court based on the advisory sentencing guidelines and other statutory factors at a future hearing.
Kelly A. Norris, Acting United States Attorney for the Southern District of Ohio; Elena Iatarola, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; The Ohio State University Police Division Chief Dennis Jeffrey; and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Acting Special Agent in Charge Jared Murphy; announced the guilty pleas. Assistant United States Attorney David J. Twombly is representing the United States in these cases, which were investigated by the FBI’s Southern Ohio Public Corruption Task Force.
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Former New York State Assembly Candidate Charged with Wire FraudRead the Press Release
Earlier today in federal court in Brooklyn, a criminal complaint was unsealed charging Dao Yin, a Queens resident and former 2024 New York State Assembly candidate, with wire fraud in connection with his scheme to defraud New York State’s public campaign finance system by reporting false campaign contributions—including forged signatures of purported contributors—to secure matching funds. Yin was arrested today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Vera M. Scanlon.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Matthew R. Galeotti, Head of the Justice Department’s Criminal Division; Christopher G. Raia, Assistant Director in Charge, New York Field Office (FBI); and Jocelyn E. Strauber, Commissioner, New York City Department of Investigation, announced the charges.
“As alleged, the defendant, a former candidate for public office, submitted forged campaign contribution cards from members of the very community he hoped to represent, to fraudulently obtain thousands of dollars in public matching funds that he was not entitled to receive,” stated United States Attorney Nocella. “Today’s arrest demonstrates that this Office will protect the integrity of elections and pursue candidates for elected office who violate campaign finance laws.”
Mr. Nocella expressed his appreciation to the New York State Public Campaign Finance Board (PCFB) for its assistance.
“Through lies and deceit, the defendant allegedly stole over $160,000 in taxpayer dollars to fund his campaign for elected office,” stated Matthew R. Galeotti, Head of the Department of Justice’s Criminal Division. “Fraud and public corruption threaten the integrity of our elections and will not be tolerated. The Criminal Division remains committed to aggressively prosecuting frauds that undermine U.S. interests and waste public funds.”
“Dao Yin allegedly fabricated support to be unlawfully awarded more than $150,000 to further his election campaign. Yin also allegedly abused his position to defraud a matching funds program that could have been used to support other candidates for state office. The FBI remains committed to investigating any individual who implements deceitful tactics to find a seat in public office,” stated FBI Assistant Director in Charge Raia.
“As charged, this former candidate for the New York State Assembly manipulated the campaign finance system through fraudulent campaign contributions in order to claim matching funds that he was not eligible to receive,” stated DOI Commissioner Strauber. “DOI and our law enforcement partners in the United States Attorney’s Office for the Eastern District of New York and the FBI remain committed to protecting the integrity of the campaign finance system and public dollars.”
The New York State Public Campaign Finance Program
The PCFB oversees and administers the New York State Public Campaign Finance Program (the Program), which provides candidates running for statewide or state legislative office the ability to qualify for and receive public matching funds based on small donations from residents in applicable districts.
To participate in the Program, a candidate must register an authorized committee with the PCFB, be in a covered election for a covered office, meet threshold requirements for the number of matchable contributions received, and total monetary contributions received, and adhere to all other program requirements such as making periodic disclosures to the PCFB. Contributions between $5 and $250 are generally eligible for public matching funds provided they meet certain criteria. For a State Assembly race, the candidate generally must have raised a minimum of $6,000 in matchable contributions and have a minimum of 75 matchable donations. For cash contributions to qualify for matching funds, the candidate’s authorized committee is required to submit contribution cards that, among other information, list each contributor’s name, residential address, and date of contribution. The contribution card also must be signed by the contributor.
The Fraudulent Scheme
As alleged in the complaint, the defendant registered his campaign committee, Dao Yin for New York 2024 (the Committee), with the PCFB so that it could receive funds through the Program. The defendant served as the treasurer of the Committee.
To qualify for public matching funds, the defendant submitted fraudulent contribution cards through the Committee to the PCFB that listed the names and purported to bear the signatures of individuals he falsely claimed had donated to the Committee. By doing so, the defendant obtained approximately $162,800 in public matching funds from the Program.
The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted of all charges, the defendant faces a maximum sentence of 20 years’ imprisonment.
The government’s case is being handled by the Office’s Public Integrity Section and the Public Integrity Section of the Justice Department’s Criminal Division. Assistant United States Attorneys Andrew D. Grubin and Rebecca Schuman, along with Trial Attorney Lina Peng, are in charge of the prosecution with assistance from Paralegal Specialist Daniel Arakawa.
The Defendant:
DAO YIN
Age: 62
Flushing, NYE.D.N.Y. Docket No. 25-MJ-208
yin_complaint_signed.pdfFormer Massachusetts Attorney Pleads Guilty to Tax EvasionRead the Press Release
A Massachusetts man and a former attorney pleaded guilty today to evading his taxes.
The following is according to court documents and statements made in court: until 2020, Paul Anthony Conte, of Upton, Massachusetts, was an attorney and member of the Massachusetts Bar. From approximately January 2003 through at least 2020, through several companies, Conte earned income by offering services as a taxation, investments, and real estate specialist.
Yet, from at least 2016 through 2020, Conte did not file any tax returns either for himself or his companies. Conte also attempted to conceal his income from the IRS by using his business bank accounts to pay for his personal expenses, including purchasing auto parts, guns, jewelry, and powersports vehicles. Conte further concealed his income by transferring funds from his business entities to his wife, and then using his wife’s bank accounts, in which Conte was not a signatory until 2020, to pay his personal expenses.
Conte is scheduled to be sentenced on Oct. 9. He faces a maximum penalty of five years in prison as well as a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney for Criminal Matters Karen E. Kelly of the Justice Department’s Tax Division made the announcement.
IRS Criminal Investigation is investigating the case.
Trial Attorney Catriona Coppler and Assistant Chief Jorge Almonte of the Tax Division are prosecuting the case.
Former Illinois Speaker of the House Michael J. Madigan Sentenced to Seven and a Half Years in Prison After Corruption ConvictionRead the Press Release
CHICAGO — A federal judge in Chicago today sentenced former Speaker of the Illinois House of Representatives MICHAEL J. MADIGAN to seven and a half years in federal prison for using his official position to corruptly solicit and receive personal financial rewards for himself and his associates.
A jury in U.S. District Court in Chicago earlier this year convicted Madigan of conspiracy to commit an offense against the United States; using interstate facilities to promote unlawful activity; wire fraud; and bribery. Evidence at the four-month trial revealed that Madigan, who served as House Speaker and occupied a number of other political roles, conspired with others to cause the utility company Commonwealth Edison to make monetary payments to Madigan’s associates as a reward for their loyalty to Madigan, in return for performing little or no legitimate work for the business. The true nature of the payments was to influence and reward Madigan in connection with specific legislation ComEd sought in the Illinois General Assembly.
Madigan, 83, of Chicago, also schemed with an Alderman of the Chicago City Council to steer legal work to Madigan’s private law firm and Madigan’s son, in exchange for Madigan’s assistance in inducing the Governor of Illinois to appoint the Alderman to a compensated state board position.
After reviewing Madigan’s criminal conduct and finding that Madigan perjured himself repeatedly in his trial testimony, U.S. District Judge John Robert Blakey imposed the seven-and-a-half-year prison sentence and fined Madigan $2.5 million.
The sentence was announced by Andrew S. Boutros, United States Attorney for the Northern District of Illinois, Douglas S. DePodesta, Special Agent-in-Charge of the Chicago Field Office of the FBI, and Ramsey E. Covington, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. The government was represented today by Assistant U.S. Attorneys Sarah Streicker, Diane MacArthur, and Julia Schwartz.
“Corruption at the highest level of the state legislature tears at the fabric of a vital governing body,” said U.S. Attorney Boutros. “It was the grit and determination of our team of prosecutors and law enforcement agents, led by our former colleague, Amarjeet S. Bhachu, who served as the Chief of the U.S. Attorney’s Office’s Public Corruption and Organized Crime Section until earlier this year, that allowed this case to reach a jury and send a clear message that the criminal conduct by former Speaker Madigan was unacceptable. I couldn’t be prouder of the strong commitment of our law enforcement partners at the FBI and IRS Criminal Investigation. Our Office and our partners remain steadfast in our commitment to vigorously prosecute corruption at all levels of government and hold public officials accountable for violating the public trust.”
“Mr. Madigan was elected to serve the people of Illinois, but his actions demonstrated time and time again that his priority was his own personal interests and gain,” said FBI SAC DePodesta. “Thanks to the dedicated investigative and prosecutorial teams, he will now be held accountable for those criminal actions. The FBI remains dedicated to aggressively investigating corruption and fraud to ensure that the public has faith in our democratic institutions and elected leaders who are truly honest and fair.”
“Today’s sentencing marks a pivotal moment in our commitment to uphold the integrity of public service,” said IRS-CI SAC Covington. “Through meticulously tracing the flow of illicit funds tied to legislative influence and no‑show jobs, our team has demonstrated that no individual—regardless of stature or tenure—is beyond the reach of the law. Holding Michael J. Madigan accountable today reinforces the core principle that public trust is sacred, and those who betray it will be brought to justice.”
Former Hedge Fund Manager Arrested for Insider Trading and Obstruction of JusticeRead the Press Release
BOSTON – A former Miami-based hedge fund manager was arrested today in connection with his alleged role in a multi-million-dollar insider trading scheme and obstruction of justice.
Kris Bortnovsky, a/k/a “Kris Bort,” 44, of Bal Harbour Village, Fla., has been charged in a six-count indictment unsealed today. The indictment charges Bortnovsky with two counts of securities fraud; two counts of conspiracy to commit securities fraud; one count of making false statements; and one count of witness intimidation. The defendant was arrested today in the Southern District of Florida and will appear in federal court in Boston at a later date.
According to the indictment, Bortnovsky served as a hedge fund manager and, from at least 2017 through 2019, allegedly conspired with others to trade in the stocks of several publicly traded companies based on material non-public information regarding the earnings results and merger-and-acquisition activity of those companies. It is further alleged that, when interviewed by agents, Bortnovsky made several materially false statements. It is further alleged that, after being charged with securities fraud, and in violation of his pre-trial conditions of release, Bortnovsky intimidated and attempted to intimidate a then-cooperating witness.
Charges against three other defendants who have previously pleaded guilty to their involvement in the insider trading scheme were also unsealed today. A fifth defendant who participated in the scheme previously pleaded guilty and was sentenced to one year in prison. The government’s investigation remains ongoing.
The charge of conspiracy to commit securities fraud in violation of Title 18 provides for a sentence of up to 25 years in prison, five years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of conspiracy to commit securities fraud in violation of Title 15 provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of securities fraud in violation of Title 18 provides for a sentence of up to 25 years in prison, five years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of securities fraud in violation of Title 15 provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $5 million. The charge of making false statements provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of obstruction of justice through witness intimidation provides for a sentence of up to 20 years in prison, with an additional maximum potential 10-year consecutive prison term because the offense was allegedly committed while Bortnovsky was on pre-trial release, as well as three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Leah B. Foley and Kimberly Milka, Acting Special Agent in Charge of the Federal Bureau of Investigation’s Boston Division made the announcement today. The U.S. Securities and Exchange Commission and the Federal Bureau of Investigation, Miami Field Office, provided valuable assistance in this matter. Assistant United States Attorneys Ian J. Stearns and Kaitlin R. O’Donnell of Foley’s Securities, Financial & Cyber Fraud Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Fiscal Manager for the Children’s Advocacy Center of Northeastern Pennsylvania Sentenced for Wire FraudRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Angela Saar, age 51, of Olyphant, Lackawanna County, Pennsylvania, was sentenced on May 29, 2025, to 366 days in prison, followed by 3 years of supervised release, by Senior United States District Judge Malachy E. Mannion for wire fraud related to her on-going theft from the Children’s Advocacy Center of Northeastern Pennsylvania, in Scranton.
According to Acting United States Attorney John C. Gurganus, from November 2018 to June 2022, while employed as the fiscal manager for the Children’s Advocacy Center of Northeastern Pennsylvania (CAC/NEPA), Saar engaged in a scheme to defraud the CAC/NEPA. Formed in 1998, the CAC/NEPA, is a private, non-profit, tax-exempt 501(c)(3), whose mission is to provide excellence in the assessment and treatment of child abuse and neglect. During her tenure as the fiscal manager for the CAC, Saar diverted fraudulent payments of various kinds from CAC/NEPA bank accounts into her own personal bank accounts for her personal benefit. Some of the diverted payments involved fraudulent mileage reimbursements, while others involved Saar inflating her bi-weekly paychecks by thousands of dollars.
The total amount of restitution ordered payable to the CAC/NEPA was $411,940.11. Saar also similarly defrauded a second charitable organization in Lackawanna County for which she paid restitution prior to her sentencing in this matter. Saar has been ordered to surrender herself to the custody of the Bureau of Prisons on or before June 20, 2025.
The case was investigated by the Federal Bureau of Investigation (FBI) – Scranton Resident Office of the Philadelphia Division. Assistant U.S. Attorney Luisa Berti prosecuted the case.
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Former CFO of SF Seafood Wholesaler Convicted for Embezzling over $9 Million from CompanyRead the Press Release
SAN FRANCISCO – A federal jury yesterday convicted Antonietta Nguyen of multiple counts of wire fraud, aiding and abetting wire fraud, conspiracy to commit wire fraud, conspiracy to transport monetary instruments for the purpose of laundering, and tax evasion in connection with a scheme to embezzle millions of dollars from a San Francisco-based seafood company. The jury’s verdict followed a two-week trial before Senior U.S. District Judge Susan Illston.
Nguyen, 57, of Brisbane, was a minority shareholder of ABS Seafood, a private Former CFO Of Sf Seafood Wholesaler Convicted For Embezzling Over $9 Million From Companyseafood wholesaler and importer, and served as the company’s Chief Financial Officer. According to court documents and evidence presented at trial, from January 2014 to around May 2020, Nguyen fraudulently used a company credit card and funds from the company’s bank account to pay for millions of dollars of expenses on her personal credit cards. She also charged personal expenses to her corporate credit card, which were then paid for by the company. Nguyen used the stolen funds to pay for personal travel, purses and other luxury goods from Louis Vuitton, Hermès, Goyard, Chanel, and Neiman Marcus, property taxes for one of her residences, and college tuition fees for a relative. The evidence presented at trial showed that Nguyen misappropriated approximately $2.7 million in company funds over the course of six-and-a-half years.
The jury also found that Nguyen devised an inflated invoice scheme involving family members who operated Pescaderia Pacifica International, Inc., a Filipino seafood exporter that was one of ABS’s top vendors and main source for tuna imported into the United States. Nguyen caused ABS to pay over double the true value of the imported seafood by creating false invoices that Nguyen hid from others at the company. Her family members then split the proceeds, with some of the money being wired back to bank accounts in the United States in the names of Nguyen’s husband and daughters.
The evidence presented at trial also showed that Nguyen evaded personal income taxes that she and her spouse owed for tax years 2018 and 2019 by underreporting the amount of joint taxable income they had for those two years.
“The defendant devised multiple ways to defraud her business partners of several millions of dollars and got away with it for over six years. She exploited her position of trust in order to fund a lavish lifestyle for herself and her family members,” said United States Attorney Craig H. Missakian. “The jury’s verdict today holds the defendant accountable for her long-running fraud scheme.”
“Antonietta Nguyen’s conviction reflects the serious consequences of the scheme she orchestrated to defraud her business partners,” said FBI Special Agent in Charge Sanjay Virmani. “As CFO, she systematically stole millions from her own company to bankroll a lavish lifestyle, betraying the responsibilities of her position. The FBI remains committed to working with our partners to uncover and stop financial crimes, and to ensure those who commit them are held fully accountable.”
“Antonietta Nguyen’s brazen multi-million-dollar embezzlement scheme is a betrayal and breach of trust against her employer and runs afoul of well-established financial law. Her conviction is befitting and a strong deterrent, sending a clear message that white-collar crime has serious consequences.” said IRS Criminal Investigation (IRS-CI) Oakland Field Office Special Agent in Charge Linda Nguyen. “IRS-CI Special Agents are the experts at tracking down ill-gotten gains and bringing financial criminals to justice.”
Nguyen was released on bond. Nguyen’s sentencing hearing is scheduled for October 10, 2025 before Judge Illston. Defendant faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for each count of wire fraud and wire fraud conspiracy, 20 years in prison and a $500,000 fine for the count of conspiracy to transport monetary instruments for the purpose of laundering, and five years in prison and a $100,000 fine for each count of willful tax evasion. Any sentence will be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Sailaja M. Paidipaty and Colin Sampson are prosecuting the case with the assistance of Sara Slattery, Janice Pagsanjan, and Kathy Tat. The prosecution is the result of an investigation by the FBI and IRS-CI.
Federal Law Enforcement Seizes Fentanyl and 25 Firearms from Suburban Chicago Residences and Storage Unit; Two Individuals ArrestedRead the Press Release
CHICAGO — Federal law enforcement this week arrested two individuals after seizing multiple kilograms of fentanyl and approximately 25 firearms from their suburban Chicago residences and storage unit.
A criminal complaint filed today in U.S. District Court in Chicago charges JAMES HOWARD, 32, of Frankfort, Ill., and SHANTEL ROBINSON, 31, of Oak Lawn, Ill., with drug conspiracy. Howard and Robinson were arrested on Thursday. They are scheduled to make initial appearances today in federal court in Chicago.
According to the complaint, law enforcement last week covertly discovered approximately 1.5 kilograms of suspected fentanyl and approximately 850 grams of suspected cocaine from a comforter blanket package that Howard had placed in the common area of Robinson’s apartment complex. A subsequent court-authorized search of Robinson’s apartment revealed that it contained multiple firearms and was being used as a drug laboratory, the complaint states. Law enforcement later conducted court-authorized searches of Howard’s residence and a storage unit Robinson leased in Alsip, Ill., and discovered additional kilograms of suspected narcotics, drug manufacturing paraphernalia, additional firearms, and two packages containing Glock “conversion devices,” which make handguns capable of firing multiple rounds with a single pull of the trigger, the complaint states.
The complaint and arrests were announced by Andrew S. Boutros, United States Attorney for the Northern District of Illinois, and Sheila G. Lyons, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration. Valuable assistance was provided by the Illinois State Police, Will County Sheriff’s Office, Justice, Ill. Police Department, Woodridge, Ill. Police Department, Lake County Sheriff’s Office, Elmhurst, Ill. Police Department, Chicago Police Department, Elgin, Ill. Police Department, Buffalo Grove, Ill. Police Department, Frankfort, Ill. Police Department, and U.S. Customs and Border Protection. The government is represented by Assistant U.S. Attorneys Kurt Siegal and Minje Shin. The officials noted that the investigation remains ongoing.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
The public is reminded that a complaint is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
howard_and_robinson_complaint.pdfFederal Grand Juries in Bowling Green and Paducah Indict 4 Illegal Aliens for Immigration OffensesRead the Press Release
Bowling Green and Paducah, KY – Federal grand juries in Bowling Green and Paducah, Kentucky, returned indictments on June 10 and 11, 2025, charging three individuals with illegal reentry after deportation or removal and one individual with use of a false passport.
U.S. Attorney Kyle G. Bumgarner of the Western District of Kentucky, Special Agent in Charge Rana Saoud of Homeland Security Investigations, Nashville, and Sam Olson, Field Office Director for Enforcement and Removal Operations (ERO) Chicago, U.S. Immigration Customs Enforcement made the announcement.
According to the indictments:
Santiago Tehandon-Paneda, age 45, a citizen of Mexico, was charged in Owensboro, Kentucky, with reentry after deportation or removal and false claim to United States citizenship. On or about May 12, 2025, Tehandon-Paneda was an alien found in United States after having been denied admission, excluded, deported, and removed from the United States on or about May 4, 2007, and August 13, 2012. On or about May 15, 2025, Tehandon-Paneda willfully represented himself to be a citizen of the United States. If convicted, he faces a maximum sentence of 13 years in prison. This case is being investigated by HSI, ICE-ERO.
Feliz Morales-Rangel, age 38, a citizen of Mexico, was charged in Bowling Green with reentry after deportation or removal. On or about March 26, 2025, Morales-Rangel was an alien found in United States after having been denied admission, excluded, deported, and removed from the United States on or about March 20, 2008, and May 1, 2010. If convicted, he faces a maximum sentence of 10 years in prison. This case is being investigated by HSI, ICE-ERO.
Francisco Campos-Guardian, age 32, a citizen of Mexico, was charged in Paducah with reentry after deportation or removal. On or about May 8, 2025, Campos-Guardian was an alien found in the United States after having been denied admission, excluded, deported, and removed from the United States on or about January 7, 2020. If convicted, he faces a maximum sentence of 2 years in prison. This case is being investigated by HSI, ICE-ERO.
Bogdan Drapac, age 41, a citizen of Romania, was charged in Paducah with use of a false passport. On or about May 14, 2025, Drapac willfully and knowingly used and attempted to use a false, forged, and counterfeited Spanish passport; that is, he presented the passport to law enforcement during a traffic stop to conceal his identity. If convicted, he faces a maximum sentence of 10 years in prison. This case is being investigated by HSI, ICE-ERO.
A federal district court judge will determine any sentence after considering the sentencing guidelines and other statutory factors.
There is no parole in the federal system.
Assistant U.S. Attorneys Mark J. Yurchisin II, of the U.S. Attorney’s Bowling Green Branch Office, and Raymond McGee, of the U.S. Attorney’s Paducah Branch Office, are prosecuting the cases.
These cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Ecuadorian man pleads guilty, sentenced for illegal re-entryRead the Press Release
BUFFALO, N.Y.-U.S. Attorney Michael DiGiacomo announced today that Luis Castro Mayancela, 24, a citizen of Ecuador, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to re-entry after prior removal, and was sentenced to time served. Mayancela was then turned over to Immigration and Customs Enforcement.
Assistant U.S. Attorney Sasha Mascarenhas, who handled the case, stated that in April 2019, Mayancela, who had no legal status in the United States, was arrested and detained by United States Border Patrol agents in Palo Pinto County, Texas. In December 2019, he was physically removed from the United States. On March 26, 2025, Mayancela was found in Genesee County. He was a passenger in a vehicle stopped by Department of Homeland Security agents and did not have any documents allowing him to be legally present in the United States.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
The plea and sentencing are the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Erin Keegan, and Immigration and Customs Enforcement, Emergency Removal Operations, under the direction of Acting Field Office Director Steven Kurzdorfer.
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Ecuadorian Citizen Pleads Guilty to Importing Heroin into the United StatesRead the Press Release
Baltimore, Maryland – Today, Fabricio Garces-Bedoya, 53, of Ecuador, pled guilty to importing heroin into the United States. He intended to distribute the heroin in the District of Maryland.
Kelly O. Hayes, U.S. Attorney for the District of Maryland, announced the guilty plea with Special Agent in Charge Michael S. McCarthy, Homeland Security Investigations (HSI) – Baltimore.
According to the plea agreement, Garces-Bedoya served as a foreign source supplier of heroin for a drug trafficking organization (DTO) based and operated in Maryland. While in Ecuador, Garces-Bedoya assisted a DTO courier with breaking down bundles of heroin into smaller packages. The courier then inserted the packages into his/her body and taped other packages to his/her body.
Then the courier boarded a plane ultimately bound for the United States. After deplaning in the United States, the courier came in contact with an U.S. Customs and Border Protection officer and Narcotics K-9. After the K-9 detected the presence of narcotics, law enforcement further inspected the courier, uncovering 584.5 grams of heroin.
Garces-Bedoya faces a maximum of 20 years in federal prison. A federal district court judge determines sentencing after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Hayes commended HSI for its work in the investigation. Ms. Hayes also thanked Assistant U.S. Attorneys Stanton Lawyer and Kenneth Clark who are prosecuting the case.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, visit justice.gov/usao-md and justice.gov/usao-md/community-outreach
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Eastern Shore Man Sentenced to Federal Prison for Possessing with Intent to Distribute CocaineRead the Press Release
Baltimore, Maryland – Today, U.S. District Court Judge Stephanie A. Gallagher sentenced Rydell Washington, 37, of Salisbury, Maryland, to 18 months in federal prison, followed by three years of supervised release, for possessing with the intent to distribute cocaine.
Kelly O. Hayes, U.S. Attorney for the District of Maryland, announced the sentence with Inspector in Charge Damon E. Wood, U.S. Postal Inspection Service (USPIS), and Special Agent in Charge Michael McCarthy, Homeland Security Investigations (HSI) – Baltimore.
According to the guilty plea, on May 6, 2023, USPIS agents identified an inbound parcel, addressed to a residence in Federalsburg, Maryland, that contained suspected controlled substances. On May 9, USPIS obtained a federal warrant for the parcel, opened it, and discovered approximately two kilograms of white powder wrapped in two, roughly equal-sized, brick-shaped packages within the shipping box.
USPIS removed one kilogram of the substance to seize as evidence and repackaged the other to conduct a controlled delivery. Then on May 10, USPIS performed a controlled delivery to the residence. The parcel contained approximately one kilogram of cocaine, a GPS tracker, and a beacon that law enforcement placed in the parcel. Authorities identified Washington as the recipient of the package during the controlled delivery operation. Washington now admits that he knowingly possessed at least 1002.9 grams of cocaine with the intent to distribute.
U.S. Attorney Hayes commended the USPIS and HSI for their work in the investigation. Ms. Hayes also thanked Assistant U.S. Attorneys Alex Kalim and Patrick Rigney who prosecuted the case.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, visit justice.gov/usao-md and justice.gov/usao-md/community-outreach.
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Drug Traffickers Sentenced to Federal Prison for Conspiring to Distribute MethamphetamineRead the Press Release
LAFAYETTE, La. – Two men involved in a drug trafficking conspiracy have been sentenced for their involvement in possessing with intent to distribute methamphetamine, announced Acting United States Attorney Alexander C. Van Hook.
Gilbert Joseph, 36, of Crowley, Louisiana, and Ronaldo Coleman, 38, of Cypress, Texas, were both sentenced by United States District Judge David C. Joseph. Gilbert Joseph was sentenced to 160 months (13 years, 4 months) in prison, and Ronaldo Coleman was sentenced to 120 months (10 years) in prison. Both defendants will serve a term of 5 years of supervised release following their release from prison.
The charges against these defendants were the result of an investigation into information received by deputies with the Acadia Parish Sheriff’s Office in January 2024 about two suspicious packages that had been sent via UPS to an address in Crowley. Law enforcement officers conducted surveillance of the address and observed one of the packages being delivered by a UPS vehicle. Shortly thereafter, Joseph arrived on the scene and received the package. Officers conducted a traffic stop of Joseph, and a search of his vehicle revealed that there was a package with an odor of marijuana emitting from it. A search warrant was obtained for the package, and officers found metal tin cans inside that contained approximately 22 pounds of methamphetamine in them.
Law enforcement agents contacted UPS and determined that the second package bound for the same address in Crowley had been diverted by the intended recipient and was being held. A narcotics canine conducted an open air sniff of the second package that was being held at UPS, and he positively alerted to the presence of controlled substances inside. The package was found to have approximately five kilograms of methamphetamine inside.
Through their investigation, law enforcement agents were able to determine that Joseph and Coleman had exchanged text messages concerning the delivery of the packages to the address in Crowley. Coleman’s text messages confirmed that he was the intended recipient of the second package and had tried to have it rerouted by UPS.
Joseph and Coleman were charged in an indictment and each pleaded guilty to one count of conspiracy to possess with the intent to distribute methamphetamine. Joseph also pleaded guilty to one count of possession of a firearm by a convicted felon.
The case was investigated by the U.S. Drug Enforcement Administration and Acadia Parish Sheriff’s Office and prosecuted by Assistant United States Attorney LaDonte A. Murphy.
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Dominican National Sentenced for Illegal ReentryRead the Press Release
BOSTON – A Dominican man residing in Lawrence was sentenced today in federal court in Boston for unlawfully reentering the United States after deportation.
Elian Ortiz Baez, 25, was sentenced by U.S. District Court Judge Angel Kelley to time served (approximately four months in prison) and three years of supervised release. The defendant is subject to deportation. On June 4, 2025, Ortiz Baez pleaded guilty to one count of unlawful reentry of a deported alien.
Ortiz Baez was deported from the United States on March 15, 2022. Sometime after his removal, Ortiz Baez unlawfully reentered the United States without permission. He was encountered by immigration authorities on or about Feb. 13, 2025.
United States Attorney Leah B. Foley; Patricia H. Hyde, Field Office Director of the U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations in Boston; and Chief Maurice Aguiler of the Lawrence Police Department made the announcement. Assistant U.S. Attorney Suzanne Sullivan Jacobus of the Major Crimes Unit prosecuted the case.
District of Arizona Charges 266 Individuals for Immigration-Related Criminal Conduct this WeekRead the Press Release
PHOENIX, Ariz. – During the week of enforcement operations from June 7, 2025, through June 13, 2025, the U.S. Attorney’s Office for the District of Arizona brought immigration-related criminal charges against 266 individuals. Specifically, the United States filed 108 cases in which aliens illegally re-entered the United States, and the United States also charged 140 aliens for illegally entering the United States. In its ongoing effort to deter unlawful immigration, the United States filed 16 cases against 18 individuals responsible for smuggling illegal aliens into and within the District of Arizona.
These cases were referred or supported by federal law enforcement partners, including Immigration and Customs Enforcement’s Enforcement and Removal Operations (ICE ERO), ICE Homeland Security Investigations (HSI), U.S. Border Patrol, the Drug Enforcement Administration (DEA), the Federal Bureau of Investigation (FBI), the U.S. Marshals Service (USMS), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Recent matters of interest include:
United States v. Fernando Alvin Robles: On June 9, 2025, Fernando Alvin Robles drove a vehicle to the Interstate 19 immigration checkpoint. While Robles was at primary inspection, agents noticed that he was looking around as if he was searching for an exit. Robles then gave the agents consent to search the trunk of his vehicle and was referred to secondary inspection for the search. Robles parked outside of the secondary inspection area, but as agents approached the vehicle to direct him to the designated area, Robles drove off at a high rate of speed. Agents pursued Robles and he eventually came to a stop approximately 9 miles later. During a search of Robles' trunk, agents found a Guatemalan citizen hiding inside who was illegally present in the United States. Robles was charged by criminal complaint with Transportation of Illegal Aliens for Profit and Illegal Re-entry. [Case Number: 25‐MJ‐05230]
United States v. Jesus Maldonado-Cortez, United States v. Jessie Pacheco Jose, and United States v. Miguel Alejandro Abril-Miramon: On June 8, 2025, Border Patrol Agents observed Jesus Maldonado‐Cortez driving on a rural dirt road commonly used by smuggling organizations. Agents initiated a vehicle stop to conduct an immigration inspection, but Maldonado‐Cortez failed to yield. As agents pursued Maldonado‐Cortez, he drove through a barbed wire fence and off the road. Agents continued their pursuit on foot and ran to the vehicle's last location. When they approached the vehicle, they observed that the driver's door was open and there was no one inside. Agents searched the area and apprehended one individual approximately 300 meters from the vehicle, who was determined to be a citizen of Mexico, illegally present in the United States. The next day, agents received information about a group of five suspected illegal aliens in close proximity to the place where the vehicle stopped. Agents responded to the area and apprehended all five subjects, including Maldonado‐Cortez. All five individuals were determined to be citizens of Mexico, illegally present in the United States. Maldonado‐Cortez was charged with Transportation of Illegal Aliens for Profit and Illegal Re‐entry. Two of the other subjects apprehended, Jessie Pacheco Jose and Miguel Alejandro Abril‐Miramon, were charged with Illegal Re‐entry. [Case Numbers: 25‐MJ‐05181; 25‐MJ‐05250; 25‐MJ‐05233]
A criminal complaint is simply a method by which a person is charged with criminal activity and raises no inference of guilt. An individual is presumed innocent until evidence is presented to a jury that establishes guilt beyond a reasonable doubt.
These cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
RELEASE NUMBER: 2025-094_June 13 Immigration Enforcement
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Dayton man charged with immigration fraud for concealing role as perpetrator of Rwandan genocideRead the Press Release
DAYTON, Ohio – An indictment unsealed today charges a Dayton man with lying on his applications for a green card and United States citizenship by concealing his past role as a leader and perpetrator of the genocide in Rwanda in 1994.
According to court documents, Vincent Nzigiyimfura, 65, was a prominent businessman and shop owner in Rwanda in 1994 when the genocide began. He allegedly used his wealth and leadership position in Rwandan society to organize violence against and killings of Tutsis, the minority population persecuted in the genocide.
“The indictment alleges this defendant facilitated the killings of Tutsis during the Rwandan genocide and then lied about it on immigration applications in the United States,” said Acting U.S. Attorney Kelly A. Norris for the Southern District of Ohio. “This egregious conduct will not be tolerated.”
“As alleged, Vincent Nzigiyimfura directed and encouraged murders during the genocide in Rwanda and then lied to U.S. authorities to start a new life in this country,” said Matthew R. Galeotti, Head of the Justice Department’s Criminal Division. “The United States is not safe haven for human rights violators. Those, like the defendant, who commit immigration fraud to hide their violent pasts will be charged and prosecuted to the fullest extent of the law.”
“ICE HSI is committed to pursuing justice for victims of genocide by ensuring that those who committed atrocities in foreign lands cannot hide in Ohio or any other community in the United States,” said ICE HSI Detroit acting Special Agent in Charge Jared Murphey. “No one wants a war criminal as their neighbor and these allegations paint a grim picture of the horror Nzigiyimfura inflicted on the Tutsi people. His indictment and arrest is a step toward justice for those victims.”
As alleged in the indictment, Nzigiyimfura directed groups of armed Hutus – the majority population – to kill Tutsis. He allegedly set up roadblocks during the genocide to detain and kill Tutsis, including a roadblock directly in front of his home, where Tutsis were allegedly killed at his direction. Nzigiyimfura also allegedly participated in killings. According to court filings, the defendant was subsequently convicted in absentia by a Rwandan court for genocide.
Court documents detail that Nzigiyimfura applied for a visa to enter the United States and was granted lawful permanent resident status in 2008. In 2014, he submitted an application for naturalization. Nzigiyimfura allegedly lied to U.S. immigration officials in his immigration applications, including by falsely denying any involvement as a perpetrator of the Rwandan genocide.
Nzigiyimfura was arrested yesterday and is charged with one count of visa fraud and two counts of attempted naturalization fraud. If convicted as charged, he could face up to 30 years in prison.
U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Detroit is investigating this case, with assistance from the interagency Human Rights Violators and War Crimes Center and the Justice Department’s Office of International Affairs.
Assistant U.S. Attorney George Painter of the Southern District of Ohio and Trial Attorney Brian Morgan of the Justice Department’s Human Rights and Special Prosecutions Section (HRSP) are representing the United States in this case.
Members of the public who have information about potential former human rights violators in the United States are urged to contact U.S. law enforcement through the HSI tip line at 1-866-DHS-2-ICE. They can also email [email protected] or complete the online tip form at www.ice.gov/exec/forms/hsi-tips/tips.asp.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Davenport Man Convicted for Fentanyl TraffickingRead the Press Release
Orlando, Florida – United States Attorney Gregory W. Kehoe announces that a federal jury has found Jose David Figueroa Pacheco (33, Davenport) guilty of fentanyl trafficking. Figueroa Pacheco faces a minimum sentence of 5 years, up to 40 years, in federal prison. His sentencing hearing is scheduled for August 27, 2025.
Figueroa Pacheco was indicted on August 7, 2024, along with co-defendant Alberto Ismael Salinas Valencia. Salinas Valencia pleaded guilty on January 23, 2025, and has been sentenced to 15 years in federal prison.
According to testimony and evidence presented at trial, between August 2023 and August 2024, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Orange County Sheriff’s Office conducted a joint investigation to identify firearms and narcotics traffickers in the Orlando area. As part of that investigation, on December 13, 2023, an undercover officer arranged to buy a firearm and fentanyl pills from Salinas Valencia. Salinas Valencia arrived with the firearm at the buy location as a passenger in Figueroa Pacheco’s truck. Figueroa Pacheco then made phone calls to coordinate the delivery of the fentanyl pills, inspected the pills, and facilitated the transaction.
(firearm and fentanyl pills sold during the December 13, 2023 drug transaction)
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Orange County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Richard Varadan and Risha Asokan.
Cryptocurrency Financial Services Firm “Gotbit” and Founder Sentenced for Market Manipulation and Fraud ConspiracyRead the Press Release
BOSTON – Gotbit Consulting LLC (Gotbit), a financial services firm known in the cryptocurrency industry as a “market maker,” was sentenced yesterday in federal court in Boston for criminal charges relating to Gotbit’s fraudulent manipulation of cryptocurrency trading volume on behalf of client cryptocurrency companies.
Aleksei Andriunin, 26, of Russia and Portugal, was sentenced by U.S. District Court Judge Angel Kelley to eight months in prison, to be followed by one year of supervised release. In March 2025, Andriunin pleaded guilty to charges of wire fraud and conspiracy to commit market manipulation and wire fraud. Andriunin was arrested in Portugal on Oct. 8, 2024 and extradited to the United States on Feb. 25, 2025.As part of its criminal resolution, Gotbit was ordered to forfeit a total of approximately $23 million in seized cryptocurrency. The court also sentenced Gotbit to a term of probation for five years, during which time Gotbit shall cease to exist or operate.
Gotbit and Andriunin were indicted by a federal grand jury on the same charges in October 2024. The indictment also charges two of Gotbit’s directors, Fedor Kedrov and Qawi Jalili.Gotbit was a well-known “market maker” in the cryptocurrency industry. Between 2018 and 2024, Gotbit provided market manipulation services to create artificial trading volume for multiple cryptocurrency companies, including companies located in the United States and companies whose cryptocurrencies traded on platforms available to investors located in the United States. Andriunin was Gotbit’s Founder and Chief Executive Officer. In a 2019 interview, Andriunin described how he developed a code to “wash trade” cryptocurrencies to artificially inflate trading volume for the purpose of getting cryptocurrencies listed on CoinMarketCap (a website that published information about “trending” cryptocurrencies) and trading on larger cryptocurrency exchanges. Andriunin and Gotbit’s employees marketed these wash trading tactics to prospective clients and explained how Gotbit used multiple accounts to avoid detection of the wash trades on the public blockchain. Gotbit made wash trades worth millions of dollars on behalf of clients and received tens of millions of dollars in payments from clients.
Gotbit admitted that it engaged in manipulative trades to artificially increase the trading price and volume of tokens for clients that included Robo Inu and Saitama. Leaders of those cryptocurrency companies were charged in separate cases unsealed in October 2024.Gotbit is the third market maker to resolve criminal charges relating to wash trading in the cryptocurrency industry. In October 2024, the founder of MyTrade pleaded guilty in connection with providing an unlawful wash trading service identified through an undercover law enforcement operation. In April 2025, CLS Global FZC LLC was sentenced in connection with offering illegal “volume support” services uncovered by the same operation.
The Securities & Exchange Commission brought a related civil enforcement action against Gotbit alleging violations of the securities laws.
United States Attorney Leah B. Foley and Kimberly Milka, Acting Special Agent in Charge of the Federal Bureau of Investigations, Boston Division made the announcement. Assistant U.S. Attorneys Christopher J. Markham and David M. Holcomb of the Criminal Division prosecuted the case. Assistant U.S. Attorney Carol Head, Chief of the Asset Recovery Unit is handling the forfeiture matter.
Columbia Man Sentenced to 15 Years in Federal Prison for Distribution of Meth, FentanylRead the Press Release
COLUMBIA, S.C. — Cedric Douglas Canzater, 43, of Columbia, has been sentenced to 15 years in federal prison for six counts of drug distributions of methamphetamine or fentanyl.
Evidence obtained in the investigation revealed that on six different occasions, Canzater sold over 550 grams of methamphetamine and 27 grams of fentanyl to a confidential source. Additionally, following an execution of a search warrant at one of the residences associated with his narcotics trafficking, law enforcement recovered firearms and drug trafficking paraphernalia. Canzater has previous federal convictions for being a felon in possession of a firearm and distribution of cocaine.
United States District Judge Cameron McGowan Currie sentenced Canzater to 180 months imprisonment, to be followed by a 10-year term of court-ordered supervision. There is no parole in the federal system.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
This case was investigated by Drug Enforcement Administration, the City of Columbia Police Department, and Richland County Sheriff’s Department. Assistant U.S. Attorney Elle E. Klein is prosecuting the case.
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Coal County Resident Pleads Guilty to Possessing Stolen FirearmRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Treyian Jamal Mason, a/k/a Tray Mason, age 22, of Coalgate, Oklahoma, entered a guilty plea to one count of Possession of a Stolen Firearm, a crime punishable by up to ten years in prison and a $250,000.00 fine.
The Indictment alleged that on February 13, 2025, Mason knowingly possessed, concealed, and disposed of a stolen semi-automatic pistol which he knew or had reasonable cause to believe was stolen.
The charge arose from an investigation by the Coalgate Police Department, the Coal County Sheriff’s Office, the Choctaw Nation Lighthorse Police, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable D. Edward Snow, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report.
A U.S. District Court Judge will determine the sentence to be imposed after considering the U.S. Sentencing Guidelines and other statutory factors.
Mason will remain in the custody of the United States Marshals Service pending sentencing.
Assistant U.S. Attorneys Patrick M. Flanigan and Joshua Satter represented the United States.
Cartel Enforcer Sentenced to 28 Years for Drug Trafficking and ViolenceRead the Press Release
SAN DIEGO – Edgar Herrera Pardo, aka Caiman, an admitted violent cartel enforcer who ordered the killing of a Tijuana police officer, was sentenced in federal court today to 28 years in prison for trafficking large quantities of methamphetamine and heroin into the United States.
Herrera Pardo was indicted in the Southern District of California on April 10, 2019, as a leader of a group known as Los Cabos, which operated in Baja California to secure control of the region for Cártel de Jalisco Nueva Generación, commonly known as CJNG, one of the most violent criminal organizations in the world. Los Cabos employed rampant violence to ensure that CJNG maintained the ability to traffic drugs through Tijuana and into the United States.
President Trump’s Executive Order 14157 designated CJNG as a Foreign Terrorist Organization and the Secretary of State subsequently designated the same on February 20, 2025. Executive Order 14157 recognized that cartels such as CJNG have “engaged in a campaign of violence and terror throughout the Western Hemisphere.” Los Cabos had a direct role in that terror, by abducting and killing enemies of CJNG, and then hanging so called “narco banners” bragging about their violence and warning others who would dare to defy the cartel.
Herrera Pardo’s calling card was violence. According to his plea agreement and the government’s sentencing memo, the defendant admitted that:
- On September 9, 2018, he ordered the murder of a police officer in Tijuana, telling a co-conspirator “I want a dead (body) in the Segunda (street).” He provided the co-conspirator an AR-15 and further assistance.
- On October 5, 2018, Herrera Pardo ordered a co-conspirator to pick up cartel rivals who had provided information about CJNG to law enforcement officials.
- On November 12, 2018, Herrera Pardo told a co-conspirator that he would send a group of enforcers to kidnap and kill rivals.
- On November 20, 2018, Herrera Pardo discussed locating and killing former members of CJNG who had switched allegiances to a rival cartel. In all, investigators intercepted a group chat of Los Cabos – led by Herrera Pardo – wherein they discussed well over 100 murders.
“My Day One pledge in creating our office’s Narcoterrorism Unit was to make this the District where cartel members will receive the full measure of justice,” said U.S. Attorney Adam Gordon. “This cartel sicario ordered brutal killings to instill terror and crush opposition. The cartel he served earned its designation as a foreign terrorist organization for a reason: its reach and ruthlessness rivaled that of any terror group. But today, his reign of terror has come to an end.”
“Today’s sentencing sends a clear message: those who use violence and fear to advance the deadly operations of drug cartels will be held accountable,” said DEA Special Agent in Charge Brian Clark. “Herrera was not just a drug trafficker, he was an enforcer, a key instrument of intimidation and brutality. The DEA remains committed in its mission to dismantle these criminal networks and protect our communities from the violence and addiction they bring.”
This case is being prosecuted by Assistant U.S. Attorney Kyle Martin of the U.S. Attorney’s Office’s Narcoterrorism Unit. The Justice Department’s Office of International Affairs provided critical assistance in securing the arrest and extradition of Herrera Pardo.
DEFENDANT Case Number: Case Number: 19CR1274-BAS
Edgar Herrera Pardo aka Caiman Age: 35 Tijuana, Mexico
SUMMARY OF CHARGES
Conspiracy to Distribute Controlled Substances for Purpose of Unlawful Importation, in violation of Title 21 U.S.C. §§ 959, 960 and 963
Maximum Penalty: Mandatory minimum 10 years and up to life in prison; $10 million fine
Conspiracy to Distribute Controlled Substances, in violation of Title 21 U.S.C. §§ 841(a)(1) and 846
Maximum Penalty: Mandatory minimum 10 years and up to life in prison and $10 million fine
INVESTIGATING AGENCIES
Drug Enforcement Administration
Homeland Security Investigations
United States Marshals Service
Department of Justice, Organized Crime Drug Enforcement Task Force
Department of Justice, Office of Enforcement Operations
Department of Justice, Office of International Affairs
San Diego Sheriff’s Department
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations.
Canadian Man is the Sixth and Final Defendant Sentenced in a Grandparent Scam that Targeted Kentucky Victims and OthersRead the Press Release
Louisville, KY – A Canadian citizen was sentenced to 5 years and 1 month in federal prison for his role in a sweeping “grandparent scam” that targeted victims in Kentucky and across the United States through Canadian-based call centers.
U.S. Attorney Kyle G. Bumgarner of the Western District of Kentucky, Special Agent in Charge Karen Wingerd, Cincinnati Field Office, IRS Criminal Division, and Special Agent in Charge Robert Holman of the United States Secret Service made the announcement.
According to court documents, callers would convince senior victims that their grandchild or other family member had an emergency, usually a car accident, and urgently needed money from the victim. Co-conspirators posing as “couriers” would then collect cash from victims at home and others would launder the criminal proceeds, both through traditional banks and cryptocurrency exchanges. The charged wire fraud conspiracy and money laundering conspiracy spanned from August 2020 to May 2021, and impacted hundreds of victims across the United States—including in Kentucky—who lost over $3 million in total.
Phillipe Gravel-Nadon, 35, a Canadian citizen who was extradited from Colombia to face the federal indictment, was sentenced on June 12, 2025, to 5 years and 1 month in prison, followed by 2 years of supervised release, for wire fraud conspiracy. Gravel-Nadon was considered a “manager or supervisor” within the conspiracy. He was also ordered to pay $963,290 in restitution.
Five other defendants have previously entered guilty pleas and have been sentenced in the case.
Robert Louis Sanchez, 58, of Albuquerque, New Mexico, was sentenced on June 27, 2024, to 1 year and 6 months in prison, followed by 3 years of supervised release, after pleading guilty to wire fraud conspiracy, for his role both as a courier and sometimes as the “safehouse” who would guard cash that was taken from victims.
Jairo Ostia Roberts, 44, who traveled from Panama to the United States to act as a courier in the scheme, was sentenced on March 9, 2023, to 6 months in prison followed by 1 year of supervised release, for wire fraud conspiracy. Roberts was removed to Panama upon his release from U.S. Bureau of Prisons custody.
Panama Abel Diaz Adames, 40, who also traveled from Panama to the United States to act as a courier in the scheme, was sentenced on April 4, 2024, to 1 year and 4 months in prison, followed by 3 years of supervised release, for wire fraud conspiracy.
Christopher Courcoulacos, 47, a Canadian citizen who had been residing in Panama, was considered a “manager or supervisor” within the conspiracy, and was sentenced on November 9, 2023, to 6 years in prison, followed by 3 years of supervised release, for wire fraud conspiracy.
Mark Anthony Phillips, 45, of Ruskin, Florida, was sentenced on May 2, 2024, to 6 years in prison, followed by 3 years of supervised release, after pleading guilty to a money laundering conspiracy charged in the Western District of Kentucky, as well as pleading guilty to five additional money laundering counts, originally charged in the Western District of New York, which were transferred to Kentucky for guilty pleas and sentencing.
“These schemes—designed to take advantage of vulnerable, well-intentioned victims—are becoming increasingly more prevalent across the country. We will do everything in our power to identify the perpetrators of these frauds and hold them to account,” said U.S. Attorney Kyle Bumgarner. “As we do our part to curb these frauds, I would caution the public to be skeptical of any phone call that presents you with an urgent situation that can be remedied by an immediate payment of money. Those requests are generally a fraud, and you should have the courage to hang up the phone when the caller pushes you even harder for money.”
There is no parole in the federal system.
This case was investigated by the IRS-CI and USSS with assistance from the Jefferson County Sheriff’s Office, the Federal Bureau of Investigation, Homeland Security Investigations, and the Treasury Inspector General for Tax Administration.
The Justice Department’s Office of International Affairs and the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS) Judicial Attaché Office in Bogotá provided valuable assistance with securing the arrest and extradition of Gravel-Nadon to the United States.
Assistant U.S. Attorney Corinne E. Keel prosecuted the case.
This case was investigated and prosecuted as part of the National Elder Justice Task Force and the Kentucky Elder Justice Task Force. The Department of Justice’s mission of its Elder Justice Initiative is to support and coordinate the Department’s enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s older adults. Kentucky’s task force is comprised of investigators, prosecutors, and others at the local, state, and federal level with a common objective of protecting seniors across Kentucky.
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California Woman Arraigned on Drug Trafficking ChargesRead the Press Release
St. Thomas, VI – Acting United States Attorney Adam F. Sleeper announced today that Jaclyn Raquel Quiroz, of California, was arraigned on June 9, 2025, in the District Court of the Virgin Islands on drug trafficking and conspiracy charges following an indictment returned by a federal grand jury on May 21, 2025. The indictment charges Quiroz with one count of conspiracy to commit a drug trafficking crime and one count of possession with intent to distribute marijuana.
According to court records, on March 26, 2025, Quiroz arrived at the Cyril E. King airport on board a United Airlines flight. After the flight arrived, the checked baggage was placed into a Customs and Border Patrol (CBP) x-ray machine. CBP officers noticed some anomalies in two suitcases with luggage tags listed under Quiroz’s name. CBP officers identified dense substances inside both suitcases, which they recognized as consistent with the attributes of marijuana. The suitcases were placed on the checked baggage carousel, where they would be retrieved by the owner. CBP officers observing the suitcases witnessed Quiroz retrieve both suitcases from the carousel. CBP officers stopped Quiroz and requested identification, which she provided in the form of a California driver’s license.
Quiroz was then escorted to a secondary inspection area. CBP officers opened the suitcases to further examine them. Inside both suitcases, the officers discovered several black vacuum sealed packages covered by a towel. Upon closer inspection, the packaging was found to contain approximately 20 kilograms of marijuana.
This case was investigated by Homeland Security Investigations and U.S. Customs and Border Patrol. It is being prosecuted by Assistant United States Attorney Denise George.California Man Sentenced for Making Violent Threats Against North CaroliniansRead the Press Release
RALEIGH, N.C. – Kevin Day Dunlow, age 62, of Huntington Beach, California, was sentenced to more than a year in prison, six months of home confinement, and three years of supervised release for two counts of transmitting a threat in interstate commerce.
According to court records and evidence presented in court, between May 1, 2024, and May 16, 2024, Dunlow made numerous threats targeting multiple entities and individuals, including an elected official, members of law enforcement, a church located in northeastern North Carolina, and two synagogues located in Raleigh and Durham.
Specifically, on May 1, 2024, Dunlow called the Wake County Sheriff’s Office dispatch to threaten there was a bomb at the sheriff’s office and told the dispatcher: “were going kill you.” Additionally, on May 10, 2024, Dunlow called a Rabbi just prior to the commencement of evening services and stated: “Jews didn’t deserve to live. Jews didn’t deserve to be on this earth. I’m going to kill the Jews. I’m coming to the Temple to kill all the Jews and the children.”
“Threats of violence against the Jewish community and law enforcement officials are not only despicable, they are also a grave federal crime that we take seriously,” Acting U.S. Attorney Daniel P. Bubar stated. “I commend the FBI’s quick and decisive response to these messages, so that Mr. Dunlow can be held responsible and our community can breathe easier.”
“Kevin Dunlow made violent threats against several groups of people. He targeted law enforcement, elected officials and their families, even local faith leaders, spewing vicious threats over the phone. These people serve our communities in varies ways and should feel safe as they do so,” said James C. Barnacle Jr., the FBI Acting Special Agent in Charge in North Carolina.
Daniel P. Bubar, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Terrence W. Boyle. The Federal Bureau of Investigation’s (FBI) Raleigh-based Joint Terrorism Task Force (JTTF) investigated the case. Assistant U.S. Attorneys Gabriel J. Diaz and Erin Blondel prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:24-CR-00190.
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Bradenton Men Plead Guilty in Drug Trafficking ConspiracyRead the Press Release
Tampa, FL - United States Attorney Gregory W. Kehoe announces that Colin Zirpoli (44, Bradenton) and Tony Marsh (25, Bradenton) have pleaded guilty to conspiracy to possess with intent to distribute methamphetamine. In addition, Zirpoli pleaded guilty to one count of possession with intent to distribute methamphetamine and Marsh pleaded guilty to two counts of the same offense. They each face a minimum penalty of 10 years, up to life, in federal prison. The sentencing dates have not yet been set.
According to court records, in February 2024, Zirpoli sold methamphetamine to an undercover officer. Law enforcement determined Zirpoli’s source of supply was Elizabeth Poff, a co-defendant who previously pleaded guilty. Law enforcement then later determined that Poff’s source of supply was Marsh. Law enforcement continued to investigate the case, leading to four additional arrests in connection with the methamphetamine distribution.
This case is being investigated by the Drug Enforcement Administration, the Sarasota County Sheriff’s Office, and the St. Petersburg Police Department. It is being prosecuted by Assistant United States Attorney Samantha Newman.
Billings woman sentenced to 10 years in prison on drug chargesRead the Press Release
BILLINGS – A Billings woman who facilitated drug trafficking in Billings was sentenced today to 120 months in prison to be followed by 5 years of supervised release, U.S. Attorney Kurt Alme said.
Tashauna Lee Goss, 33, pleaded guilty in December 2024 to one count of possession with the intent to distribute methamphetamine.
Chief U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that in 2023, agents with the DEA investigated a drug trafficking organization based in Billings, Montana that was operating out of Tashauna Goss’ house. Goss was identified as working with Hispanic males trafficking drugs from Washington state.
Agents obtained information from a number of individuals throughout the investigation that Goss allowed these Hispanic males from Washington to use her house as a “stash house.” It was reported these individuals brought to Montana pounds of methamphetamine. Goss sold methamphetamine from these individuals to lower-level dealers in Billings.
Agents conducted a series of controlled buys from various individuals. On November 23, 2023, a controlled source purchased 52 grams of actual methamphetamine from Anthony Enemyhunter, one of Goss’s co-defendants who previously was sentenced to 128 months in prison for his involvement in drug trafficking. Enemyhunter received the meth he sold during the controlled buy from Goss and another co-defendant, Anita Ballesteros, who received a sentence of 96 months in prison in December 2024.
On January 19, 2024, agents executed a search warrant at Goss’ residence. They seized several firearms, a large amount of cash, and some methamphetamine. Two baggies of meth were located in Goss’s bedroom and weighed 2.65 grams and 7.7 grams, respectively.
Text messages retrieved from Ballesteros’s phone indicated Goss was selling methamphetamine in ounce quantities. On December 23, 2023, Goss texted Ballesteros, “I’m taking a break to get the heat off me just not gonna be moving like I was.”
Assistant U.S. Attorney Julie Patten prosecuted the case. The investigation was conducted by the DEA, ATF, State of Montana Division of Criminal Investigation, and the Montana Highway Patrol.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
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Baxter Springs man charged with child pornography possessionRead the Press Release
WICHITA, KAN. – A Kansas man has been charged through criminal complaint in Wichita, Kansas, on allegations related to child sexual abuse materials.
According to court documents, Kenneth Norman Baker, 41, of Baxter Springs is charged with one count of receipt of child pornography, one count of distribution of child pornography, and one count of possession of child pornography.
The Federal Bureau of Investigation (FBI) and the Cherokee County Sheriff's Office are investigating the case.
Assistant U.S. Attorney Jason Hart is prosecuting the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.A complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###Assault and threat to federal agents among 331 cases filed in SDTX in support of Operation Take Back AmericaRead the Press Release
HOUSTON – A total of 332 individuals have been charged in cases filed from June 6-12 in border-security related matters, announced U.S. Attorney Nicholas J. Ganjei.
The cases include 10 that involve human smuggling. A total of 205 people are charged with illegally entering the country, while another 109 face charges of felony reentry after prior removal. Most of those individuals have prior felonies such as narcotics, violent crime, immigration crimes and more. Other relevant cases include those involving other immigration crimes as well as an assault and threat to federal officers.
One of those is Maria Isabel Cruz-Salas, a Mexican national who lives in San Benito. The criminal complaint alleges that while authorities were conducting a lawful immigration enforcement action at a local establishment, they encountered Cruz-Salas. When they attempted to detain Cruz-Salas, she allegedly kicked a federal agent in the face. If convicted, she faces up to eight years in prison.
Another woman facing charges this week is Michelle Lee Varela, who allegedly threatened to shoot a federal agent in the course of his duties. Law enforcement had been requesting information regarding the status of her husband in the United States. She used profanity and threatened to shoot if they tried to take him into custody. The charges allege law enforcement advised her to consider her remarks as she had just threatened a federal agent, but she continued in an elevated voice and a threatening tone.
“The Southern District of Texas takes allegations of threatened violence against law enforcement very seriously,” said Ganjei. “Immigration authorities must be able to carry out their lawful duties free from violence or threats, and those that attempt to obstruct or harm such agents will be held accountable.”
Among those also charged this week are Paulina Lopez-Bello and Juan Eliud Calva-Lopez, both Mexican nationals. According to court documents, authorities discovered fraudulent lawful permanent resident cards and Social Security documents at their residence in South Texas. According to the charges, both individuals used the counterfeit materials to secure employment in the United States. They allegedly paid $300 for the fake identification. If convicted of fraud and misuse of visas, permits and other documents, they face up to 10 years in federal prison and a $250,000 fine.
Roberto Carlos Moncada-Pena, a Mexican national living in Mission, faces charges of human smuggling. The criminal complaint alleges authorities encountered Moncada-Pena during a traffic stop where they discovered three illegal aliens in the vehicle. Upon searching his apartment, law enforcement discovered 10 additional illegal aliens. If convicted, Moncada-Pena faces up to 10 years in federal prison and a maximum $250,000 possible fine.
In addition to the new cases, also announced this week was the sentencing of four Mexican nationals, all of whom have been previously convicted of illegal reentry into the United States, among other crimes. Josue Rodriguez-Rodriguez has been removed 10 times. He now faces another 69-month federal prison sentence.
Jose Manuel Cruz-Diaz, Adrian Villa-Morales and Jose De Jesus Soto-Gonzalez have been removed at least twice before and have various felony convictions such as evading arrest with a motor vehicle, methamphetamine distribution, possession with intent to distribute marijuana and aggravated assault family violence. Sentences in federal court this week ranged from 21-57 months.
Also of note was the sentencing of a Nigerian man who had illegally resided in Houston. Omokehinde Muyiwa Oyegoke-Tewogbade and co-conspirators schemed to steal U.S. mail containing new credit cards and bank statements intended for account holders. They contacted financial institutions to activate the stolen cards, increased credit limits and altered account information. They then used the cards to purchase goods, services, gift cards, cash and merchandise at retail stores. In total, they fraudulently activated at least 120 stolen credit cards, causing an estimated $1 million in losses to Chase Bank. He is expected to face removal proceedings following his imprisonment
These cases were referred or supported by federal law enforcement partners, including Immigration and Customs Enforcement (ICE) - Homeland Security Investigations, ICE - Enforcement and Removal Operations, Border Patrol, Drug Enforcement Administration, FBI, U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives with additional assistance from state and local law enforcement partners.
The cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.
Under current leadership, public safety and a secure border are the top priorities for this district. Enhanced enforcement both at the border and in the interior of the district have yielded aliens engaged in unlawful activity or with serious criminal history, including human trafficking, sexual assault and violence against children.
The U.S. Attorney’s Office for the Southern District of Texas remains one of the busiest in the nation. It represents 43 counties and more than nine million people covering 44,000 square miles. Assistant U.S. Attorneys from all seven divisions including Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo work directly with our law enforcement partners on the federal, state and local levels to prosecute the suspected offenders of these and other federal crimes.
An indictment or criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Asheville Company Agrees to Pay over $2.1 Million to Resolve False Claims Act Allegations Relating to COVID Pandemic Relief LoanRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Russ Ferguson announced today that d&b audiotechnik Corporation (D&B) has agreed to pay $2,130,185.14 to resolve allegations that it violated the False Claims Act by certifying in an application for a Paycheck Protection Program (PPP) loan that it had fewer than 300 employees, when it was a U.S. subsidiary of a German corporation with well over 300 employees. As a result of the misrepresentation, d&b audiotechnik obtained a loan that was forgiven by the United States. d&b audiotechnik has agreed to repay the original loan amount, plus a penalty—ultimately paying twice what was originally borrowed.
Congress created the PPP in March 2020 under the Coronavirus Aid, Relief and Economic Security (CARES) Act. The PPP was administered by the Small Business Administration (SBA) and provided forgivable loans to small businesses struggling to pay employees and other expenses during the COVID-19 pandemic. In December 2020, Congress approved funding for a second round of forgivable PPP loans. When applying for PPP loans, borrowers were required to certify that they were eligible for the requested loans and that the information they provided was true and accurate.
This matter arose from a lawsuit filed under the qui tam or whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The qui tam case is captioned United States ex rel GNGH2 Inc. v. D&B Audiotechnik Corporation, W.D.N.C. Case No. 1:24-cv-246.
The government’s investigation was led by Assistant U.S. Attorney Seth Johnson.
Individuals with information about allegations of fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Arrest Made in D.C. Jail HomicideRead the Press Release
WASHINGTON – Marquise Jones, 26, of the District of Columbia, was arrested Tuesday on charges of second-degree murder while armed with a knife, for the jailhouse death of 29-year-old Carlos Shelley on May 12, 2025. The arrest was announced by U.S. Attorney Jeanine Ferris Pirro and Chief Pamela Smith of the Metropolitan Police Department (MPD).
Jones was presented today before Superior Court Judge Robert Hildum, who ordered Jones held without bond until a July 2, 2025 preliminary hearing before Judge Todd Edelman.
On Monday, May 12, 2025, at approximately 2:30 p.m., First District officers responded to the Central Detention Facility in the 1900 block of D Street, Southeast, for the report of a stabbing. Upon arrival, officers located an adult male, unconscious and not breathing, suffering from life-threatening stab wounds. DC Fire and EMS responded to the scene and after finding no signs consistent with life, the victim was pronounced deceased.
This case is being investigated by the Metropolitan Police Department. It is being prosecuted by Assistant United States Attorney Molly K. Smith.
A criminal charge is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Armed Career Criminal Sentenced to Federal Prison for Possessing A Loaded FirearmRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber today sentenced Mickey Colangelo, Jr. (44, Fort Myers) to 15 years in federal prison for possession of a firearm and ammunition by a convicted felon. The court also ordered Colangelo to forfeit the firearm and ammunition possessed during the commission of the offense. Colangelo pled guilty on February 26, 2025.
According to the plea agreement, on October 30, 2024, Colangelo was stopped by the Lee County Sheriff’s Office as a wanted suspect for a felony offense. In his backpack, deputies located a loaded pistol. Court records confirm that Colangelo had previously been convicted of a felony, which prohibits him from possessing firearms or ammunition under federal law. Colangelo has at least three prior felony convictions that qualify as “violent felonies” under federal law, thus subjecting him to enhanced punishment as an Armed Career Criminal. Colangelo also agreed to forfeit the firearm used in the offense.
This case was investigated by the Lee County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Mark Morgan.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Alameda Man Indicted on Charges Stemming from Theft of $800,000 from Prepaid Debit CardsRead the Press Release
SAN FRANCISCO – A federal grand jury has indicted Nathan Wu-Falkenborg on 15 counts of bank fraud and aggravated identity theft in connection with the alleged theft of funds from prepaid debit cards. Wu-Falkenborg made an initial appearance in federal district court today.
According to the indictment filed June 4, 2025, and unsealed today, Wu-Falkenborg, 49, of Alameda, worked in fraud prevention at a company that administered a prepaid debit card program. Known as Direct Express, the program allowed recipients of federal benefits to access their benefits through a prepaid debit card account. Between September 2021 and March 2022, Wu-Falkenborg allegedly used his access to confidential account information to activate and use numerous Direct Express accounts that had been funded but did not appear to be in use. The indictment describes that Wu-Falkenborg fraudulently obtained approximately $800,000 from these Direct Express accounts by way of several hundred ATM withdrawals around the Bay Area and online transactions.
Wu-Falkenborg is also charged with the unauthorized use of a Direct Express customer’s identity to open various accounts that he used to execute the scheme and unlawfully using debit cards associated with two victim customers.
United States Attorney Craig H. Missakian and FBI Special Agent in Charge Sanjay Virmani made the announcement.
Wu-Falkenborg was released on bond. He is scheduled to appear in district court on July 9, 2025, for a status conference before U.S. District Judge Charles R. Breyer.
Wu-Falkenborg is charged with 12 counts of bank fraud in violation of 18 U.S.C. § 1344(1), (2) and three counts of aggravated identity theft in violation of 18 U.S.C. § 1028A(a)(1). An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendant faces a maximum sentence of 30 years in prison and a fine of $1 million for each bank fraud charge, and a mandatory minimum sentence of two years in prison and a fine of $250,000 for each aggravated identity theft charge. Any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Jared Buszin and Charles Bisesto are prosecuting the case with the assistance of Tina Rosenbaum. The prosecution is the result of an investigation by the FBI.
Afghan National Pleads Guilty to Plotting Election Day Terror Attack in the United StatesRead the Press Release
OKLAHOMA CITY — NASIR AHMAD TAWHEDI, 27, a native and citizen of Afghanistan, pleaded guilty today in federal court in Oklahoma City to two terrorism-related offenses: conspiring and attempting to provide material support and resources to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization, and receiving, attempting to receive, and conspiring to receive firearms and ammunition in furtherance of a federal crime of terrorism.
“By pledging allegiance to ISIS and plotting an attack against innocent Americans on Election Day, this defendant endangered lives and gravely betrayed the nation that gave him refuge,” said Attorney General Pamela Bondi. “Today’s guilty plea guarantees he will be held accountable, stripped of his immigration status, and permanently removed from the United States, and shows the Justice Department has zero tolerance for those who exploit our freedoms to spread violence.”
“The defendant admits he planned and obtained firearms to carry out a violent terror attack on Election Day in 2024, a plot that was detected and disrupted through the good work of the FBI and our partners,” said FBI Director Kash Patel. “Let this serve as notice to anyone who tries to conduct attacks in our homeland for ISIS or any other terror group: we will find you and you’ll face American justice. I want to commend the FBI teams and our partners for their hard work and success in executing the mission.”
“Through incredible law enforcement effort and coordination, a violent terrorist attack on American soil was thwarted, and those responsible are being held accountable,” said United States Attorney Robert J. Troester for the Western District of Oklahoma. “I commend the outstanding work by the FBI, our law enforcement partners, and prosecutors to diligently discover, thoroughly investigate, and completely foil this terror plot. These guilty pleas serve as an emphatic reminder that the Department of Justice and its law enforcement partners will aggressively pursue those who attempt to harm Americans through terrorist acts.”
“Thanks to outstanding work by the Oklahoma City Joint Terrorism Task Force, the defendant’s plan to kill innocent Americans in a terrorist attack on Election Day was stopped,” said Special Agent in Charge Doug Goodwater of the FBI Oklahoma City Field Office. “The FBI is grateful to all who stand beside us in our fight against terrorism. Together, we will continue to safeguard our communities from those who conspire against the United States.”
According to court documents, Tawhedi admitted that between June 2024 and October 2024 he conspired with at least one other individual to purchase two AK-47 rifles, 500 rounds of ammunition, and 10 magazines, with the intent to carry out a mass-casualty attack on or around Election Day, November 5, 2024, on behalf of ISIS. According to a criminal complaint affidavit filed in the case, Tawhedi communicated with an ISIS facilitator about his plan to purchase firearms for use in the terror plot, including asking the individual whether 500 rounds of ammunition would be sufficient.
Tawhedi and his co-conspirator, ABDULLAH HAJI ZADA, were arrested on October 7, 2024, after purchasing the firearms and ammunition from an undercover FBI employee. Zada, 18, pleaded guilty in April 2025 to the firearms offense in connection with his role in the terror plot and is awaiting sentencing. Zada, who was 17 at the time of his arrest, entered his guilty plea as an adult and will be sentenced as an adult.
At sentencing, Tawhedi faces a maximum penalty of up to 20 years in prison for the material support charge and up to 15 years in prison for the firearms charge. Zada faces up to 15 years in federal prison. Upon completion of any sentence, Tawhedi and Zada will be permanently removed from the United States and barred from reentry under stipulated judicial orders of removal to Afghanistan. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Oklahoma City Field Office’s Joint Terrorism Task Force, which includes Homeland Security Investigations, U.S. Immigration and Customs Enforcement, U.S. Citizenship and Immigration Services, U.S. Marshals Service, Oklahoma State Bureau of Investigation, Oklahoma Highway Patrol, the Oklahoma Counter Terrorism Intelligence Center, the Edmond Police Department, the Moore Police Department, the Oklahoma City Police Department, the Oklahoma City Community College Police Department, and the Oklahoma City University Police Department, is investigating the case.
Assistant U.S. Attorneys Jessica L. Perry and Matt Dillon for the Western District of Oklahoma; Assistant U.S. Attorney Everett McMillian, who previously served in the National Security Division’s Counterterrorism Section; and Trial Attorney Jennifer Levy of the Counterterrorism Section are prosecuting the case. Trial Attorney Mark Stoneman of the Money Laundering and Asset Recovery Section, who previously served as an Assistant United States Attorney for the Western District of Oklahoma, also assisted with the prosecution.
Afghan National Pleads Guilty to Plotting Election Day Terror Attack in the United StatesRead the Press Release
Nasir Ahmad Tawhedi, 27, a native and citizen of Afghanistan, pleaded guilty today in federal court in Oklahoma City to two terrorism-related offenses: conspiring and attempting to provide material support and resources to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization, and receiving, attempting to receive, and conspiring to receive firearms and ammunition in furtherance of a federal crime of terrorism.
“By pledging allegiance to ISIS and plotting an attack against innocent Americans on Election Day, this defendant endangered lives and gravely betrayed the nation that gave him refuge,” said Attorney General Pamela Bondi. “Today’s guilty plea guarantees he will be held accountable, stripped of his immigration status, and permanently removed from the United States, and shows the Justice Department has zero tolerance for those who exploit our freedoms to spread violence.”
“The defendant admits he planned and obtained firearms to carry out a violent terror attack on Election Day in 2024, a plot that was detected and disrupted through the good work of the FBI and our partners,” said FBI Director Kash Patel. “Let this serve as notice to anyone who tries to conduct attacks in our homeland for ISIS or any other terror group: we will find you and you’ll face American justice. I want to commend the FBI teams and our partners for their hard work and success in executing the mission.”
“Through incredible law enforcement effort and coordination, a violent terrorist attack on American soil was thwarted, and those responsible are being held accountable,” said U.S. Attorney Robert J. Troester for the Western District of Oklahoma. “I commend the outstanding work by the FBI, our law enforcement partners, and prosecutors to diligently discover, thoroughly investigate, and completely foil this terror plot. These guilty pleas serve as an emphatic reminder that the Department of Justice and its law enforcement partners will aggressively pursue those who attempt to harm Americans through terrorist acts.”
“Thanks to outstanding work by the Oklahoma City Joint Terrorism Task Force, the defendant’s plan to kill innocent Americans in a terrorist attack on Election Day was stopped,” said Special Agent in Charge Doug Goodwater of the FBI Oklahoma City Field Office. “The FBI is grateful to all who stand beside us in our fight against terrorism. Together, we will continue to safeguard our communities from those who conspire against the United States.”
According to court documents, Tawhedi admitted that between June 2024 and October 2024 he conspired with at least one other individual to purchase two AK-47 rifles, 500 rounds of ammunition, and 10 magazines, with the intent to carry out a mass-casualty attack on or around Election Day, Nov. 5, 2024, on behalf of ISIS. According to a criminal complaint affidavit filed in the case, Tawhedi communicated with an ISIS facilitator about his plan to purchase firearms for use in the terror plot, including asking the individual whether 500 rounds of ammunition would be sufficient.
Tawhedi and his co-conspirator, Abdullah Haji Zada, were arrested on Oct. 7, 2024, after purchasing the firearms and ammunition from an undercover FBI employee. Zada, 18, pleaded guilty in April 2025 to the firearms offense in connection with his role in the terror plot and is awaiting sentencing. Zada, who was 17 at the time of his arrest, entered his guilty plea as an adult and will be sentenced as an adult.
At sentencing, Tawhedi faces a maximum penalty 20 years in prison for the material support charge and up to 15 years in prison for the firearms charge. Zada faces up to 15 years in federal prison. Upon completion of any sentence, Tawhedi and Zada will be permanently removed from the United States and barred from reentry under stipulated judicial orders of removal to Afghanistan. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI Oklahoma City Field Office’s Joint Terrorism Task Force, which includes Homeland Security Investigations, U.S. Immigration and Customs Enforcement, U.S. Citizenship and Immigration Services, U.S. Marshals Service, Oklahoma State Bureau of Investigation, the Edmond Police Department, the Moore Police Department, the Oklahoma City Police Department, the Oklahoma City Community College Police Department, and the Oklahoma City University Police Department, is investigating the case.
Assistant U.S. Attorneys Jessica L. Perry and Matt Dillon for the Western District of Oklahoma; Assistant U.S. Attorney Everett McMillian, who previously served in the National Security Division’s Counterterrorism Section; and Trial Attorney Jennifer Levy of the Counterterrorism Section are prosecuting the case. Trial Attorney Mark Stoneman of the Money Laundering and Asset Recovery Section, who previously served as an Assistant U.S. Attorney for the Western District of Oklahoma, also assisted with the prosecution.
Thursday 12 June 2025
Ypsilanti Man Sentenced to over 15 Years in Federal Prison on Child Exploitation ChargesRead the Press Release
DETROIT – Mubasher Riaz, 41, of Ypsilanti, Michigan, was sentenced today to 188 months in prison after having pleaded guilty to charges of coercion and enticement of a minor, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Special Agent in Charge Cheyvoryea Gibson, Federal Bureau of Investigation, Detroit Division.
According to court records, in July 2023, local police in Maumee, Ohio, learned that Riaz was messaging a 13-year-old girl, Minor Victim 1 (MV-1) on Snapchat. Communications between Riaz and MV-1 showed that Riaz had requested and received nude images of the minor and that he attempted to gather information about her home with the intent to meet with her to engage in sexual activity. FBI agents reviewed Riaz’s Snapchat communications and found that Riaz messaged numerous other individuals on Snapchat who identified themselves as minors, some as young as 11 years old. For example, Riaz communicated with Minor Victim 2 (MV-2), who was 13 years old when Riaz contacted her. Riaz drove to MV-2’s foster home and engaged in sexual activity with her in his parked car. Riaz offered MV-1 and MV-2 tobacco and other items in exchange for sex acts. As part of his sentence, Riaz will be required to pay $150,000 in restitution to his minor victims.
“This defendant preyed in the most disgusting ways on vulnerable girls as young as 11 years old. Those are the actions of an evil man. And we will do everything in our power to prosecute fiends who prowl around pursuing our children,” U.S. Attorney Gorgon said.
“The sentencing of Mubasher Riaz sends a powerful and unequivocal message: those who exploit children will be investigated aggressively and held fully accountable under federal law,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI’s Detroit Field Office. “I commend the exceptional efforts of our Ann Arbor Resident Agency and the U.S. Attorney’s Office for the Eastern District of Michigan. Their unwavering dedication to justice was instrumental in securing this conviction. The FBI in Michigan is resolute in its mission to protect children and ensure that anyone who seeks to harm them will face justice.”
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Zachary Zurek.
Wolf Point man pleads guilty to assault on Fort Peck Indian ReservationRead the Press Release
GREAT FALLS - A Wolf Point man accused of stabbing another individual on the Fort Peck Indian Reservation admitted to charges today, U.S. Attorney Kurt Alme said.
The defendant, Andy Kane Follet, 20, pleaded guilty to assault with a dangerous weapon. Follet faces 10 years of imprisonment, a $250,000 fine, and 3 years of supervised release.
Chief U.S. District Judge Brian M. Morris presided and will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing is set for October 22, 2025. Follet was detained pending further proceedings.
The government alleged in court documents that on January 27, 2024, the defendant, Andy Kane Follet, and several friends, including co-defendants and the victim, John Doe, were in a yard in Wolf Point, Montana, playing a game of “slap-boxing.” The fighting escalated and the group broke up – Follet and his co-defendants returned to the Follet home. Shortly after they returned to the home, Doe approached the house demanding to get his phone back. Follet and his co-defendants exited the home and confronted Doe in the driveway.
Several people witnessed the assault. One witness described seeing Follet and co-defendants hitting John Doe. The witness described seeing one person hit Doe with a bat, then the other two started hitting Doe as well, with one of them using a hammer. Another witness went outside after hearing a commotion. He saw Follet and his co-defendants approaching Doe while he backed away. The witness described the three then “jumping” Doe.
One co-defendant hit Doe repeatedly in the head with a hammer. As Doe was trying to get up Follet stabbed Doe in the chest. In an interview with law enforcement, Follet said he thought Doe was wearing enough layers of clothes that he could not be injured by the knife. He also said Doe had cut him with a knife and that if didn’t do anything (after he was stabbed), his whole family would make fun of him. None of the independent witnesses reported Doe having a knife. The only knife found at the scene around Doe’s body was located in Doe’s pocket. A large knife with apparent blood was later located hidden in a hole in a wall of Follet’s home.
Doe died at the scene before law enforcement could arrive. According to an autopsy, Doe died from blunt and sharp force injuries to the head and chest. The stab wound to the chest consisted of a 6-inch penetration that perforated Doe’s sternum, heart, and esophagus.
The U.S. Attorney’s Office prosecuted the case. The FBI, Fort Peck Tribes Department of Law and Justice, Wolf Point Police Department, and State of Montana Division of Criminal Investigation conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
West Columbia Man Indicted for Distributing Child Sexual Abuse MaterialRead the Press Release
COLUMBIA, S.C. — A federal grand jury in Greenville returned a 10-count indictment against Robert John May III, 38, of West Columbia, for distributing child sexual abuse material.*
According to court documents and statements made in court, in April 2024, the National Center for Missing and Exploited Children received a cyber-tip from the social messaging app Kik. Kik flagged several videos from the username “joebidennnn69” as containing child sexual abuse. Investigators connected the account to the home IP address and mobile device of May and identified at least 10 videos depicting child sexual abuse that were shared from the account.
May faces a maximum penalty of 20 years in federal prison with a minimum of five years, a fine of $250,000, and a term of at least five years of supervised release to follow any term of imprisonment.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the U.S. Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
The case was investigated by Homeland Security Investigations. Assistant U.S. Attorneys Scott Matthews and Dean Secor are prosecuting the case with Austin M. Berry of the Department of Justice’s Child Exploitation & Obscenity Section.
All charges in the indictment are merely accusations and defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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* The term “child pornography” is currently used in federal statutes and is defined as any visual depiction of sexually explicit conduct involving a person less than 18 years old. While this phrase still appears in federal law, “child sexual abuse material” is preferred, as it better reflects the abuse that is depicted in the images and videos and the resulting trauma to the child. The Associated Press Stylebook also discourages the use of the phrase “child pornography.”
Washington man sentenced to 14 years in prison for possessing meth, fentanyl and heroinRead the Press Release
GREAT FALLS – A Tacoma, Washington man who possessed and distributed drugs that impacted Butte and the Blackfeet Indian Reservation was sentenced today to 14 years in prison to be followed by 5 years of supervised release, U.S. Attorney Kurt Alme said.
Scott Trent Miller, 42, pleaded guilty in January 2025 to one count of possession with the intent to distribute controlled substances.
Chief U.S. District Judge Brian M. Morris presided.
The government alleged in court documents that on September 11, 2024, law enforcement in Butte was informed by a source that Miller was routinely traveling from Washington to Montana to sell drugs. Law enforcement surveilled Miller at a hotel in Butte. They saw him leave and get into a car with another person. A traffic stop was conducted, and Miller denied a request to search the vehicle. During a pat search of Miller, officers found a marijuana pipe and $1,583 in cash. Drug paraphernalia was also found on the other person in the car.
An officer with a K9 dog was called to the scene and the K9 alerted to the scent of illegal drugs. A search warrant was issued, and officers seized a trash bag containing a large amount of methamphetamine, fentanyl powder, 100 fentanyl pills, and heroin.
Law enforcement reviewed Facebook records for Miller’s account, which showed him messaging individuals for the purpose of distributing drugs.
The U.S. Attorney’s Office prosecuted the case. The investigation was conducted by the DEA, State of Montana Division of Criminal Investigation, and Blackfeet Tribes Department of Law and Justice.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
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United States returns over $680,000 in stolen cryptocurrency using civil asset forfeitureRead the Press Release
ALEXANDRIA, Va. – The United States has recovered and cleared title to over $680,000 worth of stolen cryptocurrency using civil asset forfeiture and is in the process of returning those funds to the victim, a cryptocurrency and blockchain company.
According to court documents, on March 28, 2023, an unidentified person sought to exploit a vulnerability in a cryptocurrency product created by SafeMoon, LLC. SafeMoon used a reserve, called a liquidity pool, to allow trading between different types of cryptocurrency by securing a supply of cryptocurrency assets to ensure sufficient liquidity in the market. This allowed SafeMoon to prevent large fluctuations in the price of SafeMoon’s cryptocurrency. The liquidity pool was secured and managed by a digital program called a “smart contract” that automatically executed when specified conditions occurred. The smart contract was mistakenly programmed, however, so that it could be used by anyone to “burn,” or destroy, tokens from the SafeMoon liquidity pool.
The exploiter’s scheme involved manipulating SafeMoon’s cryptocurrency by initiating a transaction that would burn a large number of SafeMoon tokens simultaneously, resulting in an artificial price spike. Then the exploiter could sell tokens back to the liquidity pool at an artificially inflated price at a loss to SafeMoon.
At the same time, however, an automated cryptocurrency trading program called a “bot” was engaged in “front-running,” which exploits normal delays in the processing of transactions by scanning and simulating pending transactions to determine how profitable they are, then executes profitable trades ahead of the original trader. In this case, the front-running bot caused the exploiter’s transaction to fail and directed the profits from its own trade to an account the bot operator controlled. The cryptocurrency stolen from SafeMoon was worth over $8.5 million on the day it was stolen.
Within a few hours of the attack, the front-running bot operator contacted SafeMoon, claiming to have prevented an attack. While purportedly offering to return the stolen cryptocurrency, the bot operator also threatened to withhold the entirety of the cryptocurrency stolen from SafeMoon if SafeMoon did not allow the operator to keep a percentage. SafeMoon relented and let the bot operator keep 20 percent of the stolen cryptocurrency.
On May 15, 2023, the FBI seized $680,467.92 and 480.996 BNB from accounts at OKX, a cryptocurrency exchange platform, representing approximately half of the 20 percent extorted from SafeMoon. SafeMoon has since filed for bankruptcy, but the funds are being returned to the bankruptcy trustee for SafeMoon.
Neither the original exploiter nor the bot operator has been identified to date and they may be located abroad. Without the possibility of a criminal prosecution, the United States used a civil asset forfeiture action against this stolen cryptocurrency to recover these funds for theft victims. The civil asset forfeiture action afforded all potential claimants an opportunity to contest the forfeiture in court and put the government to its burden of proof.
Erik S. Siebert, U.S. Attorney for the Eastern District of Virginia, and Emily Odom, Acting Special Agent in Charge of the FBI Washington Field Office’s Criminal and Cyber Divisions, made the announcement after the settlement order between the United States and the SafeMoon bankruptcy trustee was issued by U.S. District Judge Patricia T. Giles.
The matter was handled by Assistant U.S. Attorney Kevin Hudson. Assistant U.S. Attorney Jonathan S. Keim and Former Eastern District of Virginia prosecutor Jay V. Prabhu supported the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:24-cv-1065.
Undocumented Immigrant Charged with Illegally Re-Entering United States After Multiple DeportationsRead the Press Release
CHICAGO — An undocumented immigrant residing in northern Illinois has been arrested on a federal immigration charge for allegedly unlawfully re-entering the United States after multiple deportations.
An indictment returned Monday in U.S. District Court in Chicago charges SALVADOR GUERRERO-LOPEZ, also known as “Jovani Hernandez Pina,” 42, with one count of unlawful re-entry after removal. Guerrero-Lopez, a Mexican national residing in Island Lake, Ill., was arrested on May 30, 2025. Arraignment in federal court in Chicago has not yet been scheduled.
Guerrero-Lopez was deported from the United States to Mexico in 2004, 2011, and 2021 after criminal convictions for unlawful sexual intercourse with a minor in California and narcotics distribution in Arkansas, according to the indictment and a criminal complaint previously filed in the case. Most recently, he was taken into federal custody last month after U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Eagle Pass, Texas, requested assistance from law enforcement in the Chicago area to locate and apprehend Guerrero-Lopez, who is under investigation in Texas for suspected criminal offenses, the complaint states.
The unlawful re-entry charge is punishable by up to twenty years in federal prison and a fine of up to $250,000. Defendants convicted of this offense are subject to deportation.
The indictment and arrest were announced by Andrew S. Boutros, United States Attorney for the Northern District of Illinois, and Matthew Scarpino, Special Agent-in-Charge of ICE-HSI in Chicago. Substantial assistance was provided by ICE-HSI in Eagle Pass, Texas. The government is represented by Assistant U.S. Attorney Brian Havey.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
guerrero-lopez_indictment.pdf guerrero-lopez_complaint.pdfUSAID Official and Three Corporate Executives Plead Guilty to Decade-Long Bribery Scheme Involving over $550 Million in Contracts; Two Companies Admit Criminal Liability for Bribery Scheme and Securities FraudRead the Press Release
Four men, including a government contracting officer for the United States Agency for International Development (USAID) and three owners and presidents of companies, have pleaded guilty for their roles in a decade-long bribery scheme involving at least 14 prime contracts worth over $550 million in U.S. taxpayer dollars.
- Roderick Watson, 57, of Woodstock, Maryland, who worked as a USAID contracting officer, pleaded guilty to bribery of a public official;
- Walter Barnes, 46, of Potomac, Maryland, who was the owner and president of PM Consulting Group LLC doing business as Vistant (Vistant), a certified small business under the U.S. Small Business Administration (SBA) 8(a) contracting program, pleaded guilty to conspiracy to commit bribery of a public official and securities fraud;
- Darryl Britt, 64, of Myakka City, Florida, who was the owner and president of Apprio, Inc. (Apprio), a certified small business under the SBA 8(a) contracting program, pleaded guilty to conspiracy to commit bribery of a public official; and
- Paul Young, 62, of Columbia, Maryland, who was the president of a subcontractor to Vistant and Apprio, pleaded guilty to conspiracy to commit bribery of a public official.
In addition, Apprio and Vistant, both of which contracted with USAID, have agreed to admit criminal liability and enter into three-year deferred prosecution agreements (DPAs) in connection with criminal informations filed today in the District of Maryland. As part of these resolutions, both Apprio and Vistant admitted to engaging in a conspiracy to commit bribery of a public official and securities fraud. The DPAs entered into with Apprio and Vistant require each company to, among other obligations, provide ongoing cooperation with and disclosures to the Justice Department, implement a compliance and ethics program, and report to Justice Department regarding remediation and implementation of these compliance measures.
“The defendants sought to enrich themselves at the expense of American taxpayers through bribery and fraud,” said Matthew R. Galeotti, Head of the Justice Department’s Criminal Division. “Their scheme violated the public trust by corrupting the federal government’s procurement process. Anybody who cares about good and effective government should be concerned about the waste, fraud, and abuse in government agencies, including USAID. Those who engage in bribery schemes to exploit the U.S. Small Business Administration’s vital economic programs for small businesses — whether individuals or corporations acting through them — will be held to account.”
“Watson was entrusted to serve the interests of the American people — not his own — and his criminal actions for his own personal gain undermine the integrity of our public institutions,” said U.S. Attorney Kelly O. Hayes for the District of Maryland. “Public trust is a hallmark of our nation’s values, so corruption within a federal government agency is intolerable. This office, along with our law enforcement partners, will continue to pursue and prosecute corruption at every level to ensure accountability and protect public trust.”
“The guilty pleas reflect the FBI’s unwavering commitment to holding accountable all those who abuse the authority and responsibility of public service,” said Assistant Director Joe Perez of the FBI's Criminal Division. “The actions of the defendants in this scheme serve to erode public trust. The FBI is focused on rebuilding this trust and protecting American taxpayers from corruption through investigations such as these.”
“Corruption in government programs will not be tolerated. Watson abused his position of trust for personal gain while federal contractors engaged in a pay-to-play scheme,” said Acting Assistant Inspector General for Investigations Sean Bottary of the USAID Office of Inspector General (USAID-OIG). “USAID-OIG is firmly committed to rooting out fraud and corruption within U.S. foreign assistance programs. Today’s announcement underscores our unwavering focus on exposing criminal activity, including bribery schemes by those entrusted to faithfully award government contracts. We appreciate our longstanding partnership with the Department of Justice in holding accountable those who defraud American taxpayers.”
“Watson exploited his position at USAID to line his pockets with bribes in exchange for more than $550 million in contracts. While he helped three company owners and presidents bypass the fair bidding process, he was showered with cash and lavish gifts,” said Chief Guy Ficco of IRS Criminal Investigation (IRS-CI). “Through its financial crime investigations, IRS-CI works to protect taxpayer dollars and ensure government funds are awarded based on merit — not corruption. In close coordination with our law enforcement partners, IRS-CI helped put an end to their greed and criminal conduct. Now, Watson and his co-conspirators will face justice.”
Overview of Bribery Scheme
According to court documents, beginning in 2013, Watson, while a USAID contracting officer, agreed with Britt to receive bribes in exchange for using Watson’s influence to award contracts to Apprio. As a certified small business under the SBA 8(a) contracting program, which helps socially and economically disadvantaged businesses, Apprio could access lucrative federal contracting opportunities through set-asides and sole-source contracts exclusively available to eligible contractors without a competitive bid process.
Vistant was a subcontractor to Apprio on one of the contracts awarded through Watson’s influence. After Apprio graduated from the SBA 8(a) program and it was no longer eligible to be a prime contractor for new contracts with USAID under this program, the scheme shifted so that Vistant became the prime contractor and Apprio became the subcontractor on USAID contracts awarded through Watson’s influence between 2018 and 2022.
During the scheme, Britt and Barnes paid bribes to Watson that were often concealed by passing them through Young, who was the president of another subcontractor to Apprio and Vistant. Britt and Barnes also regularly funneled bribes to Watson, including cash, laptops, thousands of dollars in tickets to a suite at an NBA game, a country club wedding, downpayments on two residential mortgages, cellular phones, and jobs for relatives. The bribes were also often concealed through electronic bank transfers falsely listing Watson on payroll, incorporated shell companies, and false invoices. Watson is alleged to have received bribes valued at more than approximately $1 million as part of the scheme.
In exchange for the bribe payments, Watson influenced the award of contracts to Apprio and Vistant by manipulating the procurement process at USAID through various means, including recommending their companies to other USAID decisionmakers for non-competitive contract awards, disclosing sensitive procurement information during the competitive bidding process, providing positive performance evaluations to a government agency, and approving decisions on the contracts, such as increased funding and a security clearance.
Apprio and Vistant also agreed to resolve concurrently with the Justice Department in its separate Civil False Claims Act investigations relating to the bribery scheme.
Overview of Vistant Securities Fraud Scheme
According to court documents, in 2022, Barnes and Watson defrauded a licensed small business investment company (SBIC), in furtherance of the bribery scheme, by inducing it into executing a credit agreement with Vistant. Through the credit agreement, Barnes caused Vistant to issue stock warrants that, if exercised, would result in the SBIC having a 40% equity stake in Vistant. The credit agreement also provided for a $14 million loan to Vistant from which Barnes could pay himself a $10 million dividend. Prior to executing the credit agreement, Watson agreed at Barnes’s request to speak with the SBIC about Vistant’s performance as a government contractor on USAID contracts. When speaking with the SBIC, Watson omitted that Barnes had bribed Watson to obtain USAID contracts for years. Watson’s endorsement of Vistant thereafter induced the SBIC to enter into the credit agreement with Barnes.
Overview of Apprio Securities Fraud Scheme
According to court documents, in 2023, Apprio, acting through Britt, engaged in a scheme in which Apprio fraudulently induced a private equity firm, which had an investment pool that was licensed as a SBIC, to purchase from Apprio’s parent company a 20% equity stake in the company for $4 million and simultaneously extend it a $4 million loan secured by shares of Apprio stock. In addition to making false material representations in the stock purchase and loan agreements, Britt intentionally omitted during his negotiations the material fact that he had bribed Watson for years, which was intended to deceive and induce the private equity company into executing the agreements.
Deferred Prosecution Agreements with Apprio and Vistant
The Justice Department reached its resolution with Apprio based on several factors, including Apprio’s credit for clearly accepting responsibility for its criminal conduct, fully cooperating in the investigation and engaging in timely remedial measures. Based on these factors, the criminal penalty calculated under the U.S. Sentencing Guidelines reflects a 10% reduction off the bottom of the applicable Guidelines fine range pursuant to the Criminal Division Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP). According to court documents, Apprio agreed that the appropriate criminal penalty based on the law and facts in its case is $51,673,185; however, Apprio also met its burden of establishing an inability to pay the criminal penalty sought. Based on the Justice Department’s independent analysis, it determined that paying a criminal penalty and civil settlement greater than $500,000 would substantially threaten the continued viability of Apprio. Accordingly, the Justice Department determined that the appropriate resolution of this case is a DPA and a payment of $500,000 in a civil settlement.
Similarly, the Justice Department reached its resolution with Vistant based on a number of factors, including Vistant’s credit for clearly accepting responsibility for its criminal conduct and cooperating with the investigation. Although Vistant’s cooperation was initially delayed and limited, Vistant began to fully cooperate thereafter. Vistant also received credit for engaging in timely remedial measures. Based on these factors, the penalty calculated under the Guidelines reflects a 5% reduction off the bottom of the applicable Guidelines fine range pursuant to the CEP. Vistant agreed that the appropriate criminal penalty based on the law and facts in its case is $86,407,740; however, Vistant also met its burden of establishing an inability to pay the criminal penalty sought. Based on the Justice Department’s independent analysis, it determined that paying a criminal penalty and civil settlement greater than $100,000 would substantially threaten the continued viability of Vistant. Accordingly, the Justice Department determined that the appropriate resolution of this case is a DPA and a payment of $100,000 in a civil settlement.
Watson is scheduled to be sentenced on Oct. 6, and faces a maximum penalty of 15 years in prison. Young is scheduled to be sentenced on Sept. 3 and faces a maximum penalty of five years in prison. Britt is scheduled to be sentenced on July 28 and faces a maximum penalty of five years in prison. Barnes is scheduled to be sentenced on Oct. 14 and faces a maximum penalty of five years in prison.
The FBI, USAID-OIG, and IRS-CI are investigating the cases.
Trial Attorneys Matt Kahn and Brandon Burkart of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Patrick D. Kibbe for the District of Maryland are prosecuting the cases.
USAID Official and Three Corporate Executives Plead Guilty to Decade-Long Bribery Scheme Involving More Than $550 Million in Contracts; Two Companies Admit Criminal Liability for Bribery Scheme and Securities FraudRead the Press Release
Greenbelt, Maryland – Four men, including a government contracting officer for the United States Agency for International Development (USAID), and three owners and presidents of companies, have pleaded guilty for their roles in a decade-long bribery scheme involving at least 14 prime contracts worth more than $550 million in U.S. taxpayer dollars.
Roderick Watson, 57, of Woodstock, Maryland, who worked as a USAID contracting officer, pled guilty to bribery of a public official; Walter Barnes, 46, of Potomac, Maryland, pled guilty to conspiracy to commit bribery of a public official and securities fraud; Darryl Britt, 64, of Myakka City, Florida, pled guilty to conspiracy to commit bribery of a public official; and Paul Young, 62, of Columbia, Maryland, pled guilty to conspiracy to commit bribery of a public official.
In addition, Apprio and Vistant, both of which contracted with USAID, have agreed to admit criminal liability and enter into three-year deferred prosecution agreements (DPAs) in connection with criminal informations filed today in the District of Maryland. As part of these resolutions, both Apprio and Vistant admitted to engaging in a conspiracy to commit bribery of a public official and securities fraud. The DPAs entered into with Apprio and Vistant require each company to, among other obligations, provide ongoing cooperation with and disclosures to the Justice Department, implement a compliance and ethics program, and report to Justice Department regarding remediation and implementation of these compliance measures.
“Watson was entrusted to serve the interests of the American people – not his own – and his criminal actions for his own personal gain undermines the integrity of our public institutions,” said Kelly O. Hayes, U.S. Attorney for the District of Maryland. “Public trust is a hallmark of our nation’s values, so corruption within a federal government agency is intolerable. This office, along with our law-enforcement partners, will continue to pursue and prosecute corruption at every level to ensure accountability and protect public trust.”
“The defendants sought to enrich themselves at the expense of the American taxpayers,” said Matthew R. Galeotti, Head of the Justice Department’s Criminal Division. “Their scheme violated the public trust by undermining the integrity of the Federal government’s procurement process. Anybody that cares about good and effective government should be concerned about the waste, fraud, and abuse in government agencies, including USAID. Those who engage in bribery schemes to exploit the U.S. Small Business Administration’s vital economic programs for small businesses—whether individuals or corporations acting through them—will be held to account.”
"The guilty verdicts reflect the FBI’s unwavering commitment to holding accountable all those who abuse the authority and responsibility of public service,” said Assistant Director Joe Perez of the FBI's Criminal Division. "The actions of the defendants in this scheme serve to erode public trust. The FBI is focused on rebuilding this trust and protecting American taxpayers from corruption through investigations such as these.”
“Corruption in government programs will not be tolerated. Watson abused his position of trust for personal gain while federal contractors engaged in a pay-to-play scheme,” said USAID OIG Acting Assistant Inspector General for Investigations Sean Bottary. “USAID OIG is firmly committed to rooting out fraud and corruption within U.S. foreign assistance programs. Today's announcement underscores our unwavering focus on exposing criminal activity, including bribery schemes by those entrusted to faithfully award government contracts. We appreciate our longstanding partnership with the Department of Justice in holding accountable those who defraud American taxpayers.”
“Watson exploited his position at USAID to line his pockets with bribes in exchange for more than $550 million in contracts. While he helped three company owners and presidents bypass the fair bidding process, he was showered with cash and lavish gifts. Through its financial crime investigations, IRS-CI works to protect taxpayer dollars and ensure government funds are awarded based on merit—not corruption. In close coordination with our law enforcement partners, IRS-CI helped put an end to their greed and criminal conduct. Now, Watson and his co-conspirators will face justice,” said Guy Ficco, Chief, IRS Criminal Investigation.
Overview of Bribery Scheme
According to court documents, beginning in 2013, Watson, while a USAID contracting officer, agreed with Britt to receive bribes in exchange for using Watson’s influence to award contracts to Apprio. As a certified small business under the SBA 8(a) contracting program, which helps socially and economically disadvantaged businesses, Apprio could access lucrative federal contracting opportunities through set-asides and sole-source contracts exclusively available to eligible contractors without a competitive bid process.
Vistant was a subcontractor to Apprio on one of the contracts awarded through Watson’s influence. After Apprio graduated from the SBA 8(a) program and it was no longer eligible to be a prime contractor for new contracts with USAID under this program, the scheme shifted so that Vistant became the prime contractor and Apprio became the subcontractor on USAID contracts awarded through Watson’s influence between 2018 and 2022.
During the scheme, Britt and Barnes paid bribes to Watson that were often concealed by passing them through Young, who was the president of another subcontractor to Apprio and Vistant. Britt and Barnes also regularly funneled bribes to Watson, including cash, laptops, thousands of dollars in tickets to a suite at an NBA game, a country club wedding, downpayments on two residential mortgages, cellular phones, and jobs for relatives. The bribes were also often concealed through electronic bank transfers falsely listing Watson on payroll, incorporated shell companies, and false invoices. Watson is alleged to have received bribes valued at more than approximately $1 million as part of the scheme.
In exchange for the bribe payments, Watson influenced the award of contracts to Apprio and Vistant by manipulating the procurement process at USAID through various means, including recommending their companies to other USAID decisionmakers for non-competitive contract awards, disclosing sensitive procurement information during the competitive bidding process, providing positive performance evaluations to a government agency, and approving decisions on the contracts, such as increased funding and a security clearance.
Apprio and Vistant also agreed to resolve concurrently with the Justice Department in its separate Civil False Claims Act investigations relating to the bribery scheme.
Overview of Vistant Securities Fraud Scheme
According to court documents, in 2022, Barnes and Watson defrauded a licensed small business investment company (SBIC), in furtherance of the bribery scheme, by inducing it into executing a credit agreement with Vistant. Through the credit agreement, Barnes caused Vistant to issue stock warrants that, if exercised, would result in the SBIC having a 40% equity stake in Vistant. The credit agreement also provided for a $14 million loan to Vistant from which Barnes could pay himself a $10 million dividend. Prior to executing the credit agreement, Watson agreed at Barnes’s request to speak with the SBIC about Vistant’s performance as a government contractor on USAID contracts. When speaking with the SBIC, Watson omitted that Barnes had bribed Watson to obtain USAID contracts for years. Watson’s endorsement of Vistant thereafter induced the SBIC to enter into the credit agreement with Barnes.
Overview of Apprio Securities Fraud Scheme
According to court documents, in 2023, Apprio, acting through Britt, engaged in a scheme in which Apprio fraudulently induced a private equity firm, which had an investment pool that was licensed as a SBIC, to purchase from Apprio’s parent company a 20% equity stake in the company for $4 million and simultaneously extend it a $4 million loan secured by shares of Apprio stock. In addition to making false material representations in the stock purchase and loan agreements, Britt intentionally omitted during his negotiations the material fact that he had bribed Watson for years, which was intended to deceive and induce the private equity company into executing the agreements.
Deferred Prosecution Agreements with Apprio and Vistant
The Justice Department reached its resolution with Apprio based on several factors, including Apprio’s credit for clearly accepting responsibility for its criminal conduct, fully cooperating in the investigation and engaging in timely remedial measures. Based on these factors, the criminal penalty calculated under the U.S. Sentencing Guidelines reflects a 10% reduction off the bottom of the applicable Guidelines fine range pursuant to the Criminal Division Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP). According to court documents, Apprio agreed that the appropriate criminal penalty based on the law and facts in its case is $51,673,185; however, Apprio also met its burden of establishing an inability to pay the criminal penalty sought. Based on the Justice Department’s independent analysis, it determined that paying a criminal penalty and civil settlement greater than $500,000 would substantially threaten the continued viability of Apprio. Accordingly, the Justice Department determined that the appropriate resolution of this case is a DPA and a payment of $500,000 in a civil settlement.
Similarly, the Justice Department reached its resolution with Vistant based on a number of factors, including Vistant’s credit for clearly accepting responsibility for its criminal conduct and cooperating with the investigation. Although Vistant’s cooperation was initially delayed and limited, Vistant began to fully cooperate thereafter. Vistant also received credit for engaging in timely remedial measures. Based on these factors, the penalty calculated under the Guidelines reflects a 5% reduction off the bottom of the applicable Guidelines fine range pursuant to the CEP. Vistant agreed that the appropriate criminal penalty based on the law and facts in its case is $86,407,740; however, Vistant also met its burden of establishing an inability to pay the criminal penalty sought. Based on the Justice Department’s independent analysis, it determined that paying a criminal penalty and civil settlement greater than $100,000 would substantially threaten the continued viability of Vistant. Accordingly, the Justice Department determined that the appropriate resolution of this case is a DPA and a payment of $100,000 in a civil settlement.
Watson faces a maximum sentence of 15 years in federal prison. His sentencing is scheduled for Oct. 6. Young faces a maximum sentence of five years in federal prison. His sentencing is scheduled for Sept. 3. Britt faces a maximum sentence of five years in federal prison. His sentencing is scheduled for July 28. Barnes faces a maximum sentence of five years in federal prison. His sentencing is scheduled for Oct. 14.
U.S. Attorney Hayes commended the FBI, USAID OIG, and IRS-CI who are investigating this case.
Ms. Hayes also thanked Assistant U.S. Attorney Patrick D. Kibbe and Trial Attorneys Matt Kahn and Brandon Burkart, Department of Justice, Criminal Division Fraud Section, who are prosecuting the case.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, visit justice.gov/usao-md and justice.gov/usao-md/community-outreach.
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