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Wednesday 3 December 2014
Hualapai Man Sentenced to 7 Years in Federal Prison for AssaultRead the Press Release
PHOENIX – Having previously pleaded guilty to assault resulting in serious bodily injury, DeAngelo Logen Walema, 23, of Peach Springs, Ariz. was sentenced on Dec. 1, 2014 by U.S. District Judge Steven P. Loganto 84 months in prison, followed by three years of supervised release.
According to court documents, on July 7, 2013, Walema was at the home of the victim, his former girlfriend, when he became enraged and struck the victim multiple times with his fists causing her to sustain serious bodily injury. The assault occurred in the presence of two minor children. Both, the victim and Walema are members of the Hualapai Indian Tribe.
The investigation in this case was conducted by the Hualapai Nation Police Department. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-14-8217-PCT-SPL
RELEASE NUMBER: 2014-070_WalemaFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Home Care Employee Indicted on Fraud ChargesRead the Press Release
St. Louis, MO –ABSALOM CARLISLE, formerly of St. Louis, was arrested late yesterday on a federal indictment alleging mail fraud and aggravated identity theft in connection with the care of an elderly Clayton man between 2010 and 2013.
According to the indictment, Carlisle arranged to care for the elderly victim, who is now deceased, through a health services company he owned. Soon after beginning to care for the victim, Carlisle added a second American Express card to the victim’s account and began making personal charges. From time to time, Carlisle would steal funds from the victim’s bank accounts to pay down his American Express bills. In all, Carlisle stole more than $50,000 from the victim. Carlisle’s malfeasance was discovered by the victim’s children after his death.
If convicted, mail fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000 and each count of aggravated identity theft carries a penalty of two years and /or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Postal Inspection Service. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney's Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.Hartford Man Sentenced to 71 Months in Federal Prison for Possessing Heroin, FirearmsRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that JOSHUA SAEZ, 24, of Hartford, was sentenced yesterday by U.S. District Judge Stefan R. Underhill in Bridgeport to 71 months of imprisonment, followed by four years of supervised release, for possessing heroin, which he stole from a drug dealer, and two handguns.
According to court documents and statements made in court, in January 2013, the DEA’s Hartford Task Force began an investigation into the narcotics distribution activities of Luis Fernandez of East Hartford. The investigation, which included the use of court-authorized wiretaps and controlled purchases of narcotics, revealed that Fernandez’s family members and associates in southern California shipped heroin, cocaine and marijuana to Fernandez at various addresses in the Hartford area. Fernandez, who also was supplied with narcotics from individuals in New York, sold the drugs locally to other dealers and customers.
During the course of the investigation, SAEZ and Eric Colon made arrangements to obtain approximately 140 grams of heroin from co-defendant Jose Rivera-Baron. While under law enforcement surveillance, Rivera-Baron met with Colon and SAEZ in the parking lot of a restaurant on Franklin Avenue in Hartford. Following the meeting, Colon drove away at high rate of speed. Investigators believed that Rivera-Baron had been robbed and pursued Colon’s car. SAEZ exited the car and was taken into custody. A search of his person revealed two handguns and 138.1 grams of heroin.
The investigation revealed that SAEZ and Colon had stolen the heroin from Rivera-Baron.
The quantity of heroin that SAEZ possessed would have produced nearly 7000 individual dosage bags and had a street value of approximately $35,000.
Prior to August 2013, SAEZ had been convicted of a felony assault charge. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
SAEZ has been detained since his arrest. On September 9, 2014, he pleaded guilty to one count of unlawful possession of a firearm by a convicted felon and one count of possession with intent to distribute 100 grams or more of heroin.
More than 20 individuals have been charged with narcotics distribution and related offenses as a result of this investigation. Fernandez, Colon and Rivera-Baron have pleaded guilty and await sentencing.
This investigation has been led by the Drug Enforcement Administration’s Hartford Task Force, including personnel from the DEA Hartford Resident Office and the Bristol, Hartford, Manchester, New Britain, Newington, and Wethersfield Police Departments. Agencies assisting the investigation include the DEA in New Haven, Bridgeport, Los Angeles and Panama, Federal Bureau of Investigation, U.S. Marshals Service, U.S. Department of Homeland Security, U.S. Postal Inspection Service, Connecticut State Police, State of Connecticut Office of Adult Probation, and the Hartford, East Hartford and New Britain Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Gabriel J. Vidoni.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Gregg County Businesses Busted in Synthetic Drug OperationRead the Press Release
Department of Justice
Office of Public AffairsLONGVIEW, Texas – U.S. Attorney John M. Bales announced today that three individuals have been arrested following a lengthy investigation into a synthetic drug operation in the Eastern District of Texas.
On Dec. 3, 2014, a combined task force of federal, state and local law enforcement executed federal arrest warrants and search warrants in Longview, Texas as a result of an investigation by the Drug Enforcement Administration (DEA) Tyler Task Force. In April 2014, law enforcement agencies, initiated an Organized Crime Drug Enforcement Task Force (OCDETF) investigation into a synthetic marijuana trafficking organization based in the East Texas area. This investigation involved extensive surveillance and controlled purchases of controlled substances, controlled substance analogues, and drug paraphernalia. To date, law enforcement officials have seized several products containing illegal synthetic drugs.
The operation resulted in the arrest of Jeremy Chad Tidwell, 39, of Gilmer, Texas, his wife, Shanna Peek Tidwell, 36, of Gilmer, and Jeremy’s brother, Brian Tidwell 42, of Arlington, Texas. Four retail stores, all located in Longview, were searched as part of the law enforcement operation. Approximately $1 million cash and two vehicles were seized, as well as synthetic drugs during the operation.
The defendants were indicted by a federal grand jury on Nov. 12, 2014 and charged with two counts of conspiracy to distribute and possess with intent to distribute synthetic drugs containing Schedule I controlled substances and controlled substance analogues, one count of conspiracy to offer for sale misbranded or altered drugs, one count of conspiracy to sell drug paraphernalia, and one count of conspiracy to money launder. The defendants appeared before U.S. Magistrate Judge John D. Love today for an initial appearance.
If convicted, the defendants each face up to 20 years in federal prison.“Today’s enforcement operations are indicative of the DEA’s commitment to rid East Texas communities of dangerous and unpredictable substances such as K2, also known as Spice (synthetic cannabinoids), that were being distributed by an organization that generated tremendous illicit profits from sales to multiple users,” said the DEA Dallas Division’s Special Agent in Charge Daniel R. Salter. “Citizens in East Texas can rest assured that the DEA and our law enforcement partners are determined to ensure that Gregg County and the surrounding communities remain a safe place to live. The success of this intensive and thorough investigation is an outstanding example of cooperative law enforcement efforts and determination.”
The DEA Task Force in Tyler includes officers from the Gregg County Sheriff’s Office, Henderson County Sheriff’s Office, Henderson Police Department, Kilgore Police Department, Smith County Sheriff’s Office, and Upshur County Sheriff’s Office, as well as DEA Special Agents.
Other agencies assisting in the joint investigative effort included the U.S. Attorney’s Office - Eastern District of Texas, DEA Tyler Task Force, Gregg County Sheriff’s Office, Gregg County Organized Drug Enforcement Unit (CODE), Longview Police Department, Upshur County Sheriff’s Office, Kilgore Police Department, Lakeport Police Department, Gladewater Police Department, Arkansas Attorney General’s Office, and the U.S. Marshals ServiceAn indictment or arrest is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Gloucester County, New Jersey, Man Sentenced to Four Years in Prison for Conspiring to Distribute OxycodoneRead the Press Release
CAMDEN, N.J. – A Gloucester County, New Jersey, man was sentenced today to 48 months in prison for conspiring to distribute 5,000 oxycodone pills, U.S. Attorney Paul J. Fishman announced.
Kristopher Williams, 29, of Glassboro, New Jersey, previously pleaded guilty before U.S. District Judge Noel H. Hillman to an information charging him with conspiracy to distribute and possess with intent to distribute oxycodone. Judge Hillman imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Williams admitted that he and his conspirator, Corey Glenn, sought to obtain 5,000 oxycodone 30 milligram tablets in exchange for $30,000 in April 2012. Glenn previously pleaded guilty to the conspiracy charge and was sentenced on August 18, 2014, to 132 months’ in prison, followed by four years’ supervised release.
In addition to the prison term, Judge Hillman sentenced Williams to three years of supervised release.
U.S. Attorney Fishman credited special agents of the DEA, under the direction of Special Agent in Charge Carl J. Kotowski in Newark, with the investigation leading to today’s sentencing.The government is represented by Attorney in Charge R. Stephen Stigall of the U.S. Attorney’s Office Criminal Division in Camden.
14-423
Defense counsel: Nino V. Tinari Esq. Philadelphia
Glen Dale, WV Man Charged with Oxycodone TraffickingRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistWHEELING, WEST VIRGINIA – Jacob Kessler, 25, of Glen Dale, West Virginia, was arrested today after a federal grand jury returned a nine-count indictment charging him with oxycodone trafficking, United States Attorney William J. Ihlenfeld, II announced today.
An investigation by the Ohio Valley Drug and Violent Crime Task Force, a HIDTA-funded initiative, revealed that Kessler repeatedly sold oxycodone throughout 2013. In February 2013, he was discovered selling painkillers near West Virginia Northern Community College. At least once, Kessler traveled between Bellaire, Ohio and Wheeling, West Virginia to distribute oxycodone.
Kessler is charged with:
• One count of “Interstate Travel in Aid of Racketeering.” He faces up to five years in prison and a fine of up to $250,000.00.
• Four counts of “Use of a Telephone Facility to Facilitate the Distribution of Oxycodone.” He faces up to four years in prison and a fine of up to $250,000.00 on each count.
• Three counts of “Distribution of Oxycodone.” He faces up to twenty years in prison and a fine of up to $1,000,000.00 on each count.
• One count of “Distribution of Oxycodone within 1,000 feet of a Protected Location.” He faces up to forty years in prison and a fine of up to $2,000,000.00.Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Randy Bernard is prosecuting the case on behalf of the government.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Frisco Man Pleads Guilty to Attempted Enticement of A MinorRead the Press Release
DALLAS, Texas — Matthew Jarmon, 24, of Frisco, Texas, pleaded guilty today before U.S. Magistrate Judge Paul D. Stickney to one count of attempted enticement of a minor, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Jarmon faces a statutory penalty of not less than ten years and a maximum term of life in federal prison, up to a $250,000 fine, and up to a lifetime of supervised release. Sentencing is scheduled for March 9, 2015.
According to the factual resume filed in the case, in June 2014, Jarmon used his computer to engage in a number of sexually explicit “chat” conversations with a minor under the age of 17 years old. Jarmon made plans to meet the minor and to engage in sexual activity. Upon arriving at the pre-arranged location on June 18, 2014 Jarmon was arrested by law enforcement.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The case was investigated by the Garland Police Department and the United States Secret Service. Assistant U.S. Attorney Camille Sparks is prosecuting.
Former Orleans Criminal District Court Employee Pleads Guilty to Role in Bail Bonds FraudRead the Press Release
U.S. Attorney Kenneth A. Polite announced that PATRICIA TATE, age 50, of New Orleans, pled guilty today to a one-count Bill of Information charging conspiracy to commit honest services mail fraud.
According to court documents, TATE accepted cash payments to facilitate an illegal bail bonding business located at 538 S. Broad Street in New Orleans. TATE’s activities included accessing official-use criminal justice records, delivering pre-certified bail bonds to the bail business, and other activities to assist the business outside the scope of her official duties.
U.S. District Judge Helen G. Berrigan scheduled sentencing for March 11, 2015. TATE faces a maximum sentence of five years imprisonment and three years of supervised release.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation, with assistance from the Metropolitan Crime Commission, the New Orleans Police Department, and the Orleans Parish District Attorney’s Office in investigating this matter. Assistant United States Attorneys Michael B. Redmann and Mark A. Miller are in charge of the prosecution.
Former New Jersey Chiropractor Sentenced to Prison for FraudRead the Press Release
A man formerly of Neptune, New Jersey, was sentenced today in the U.S. District Court for the District of New Jersey to serve 54 months in prison to be followed by five years of supervised release, the Justice Department and the Internal Revenue Service (IRS) announced.
In February 2014, a jury convicted David Moleski, a pilot and former chiropractor, of 14 counts of mail fraud, one count of wire fraud, one count of corruptly endeavoring to obstruct and impede Internal Revenue laws and three counts of submitting false claims for tax refunds. Moleski was sentenced by U.S. District Judge Freda L. Wolfson, who also ordered that Moleski pay a $10,000 fine and, as a condition of release, $48,199 in restitution.
According to the evidence presented in court, Moleski submitted three false tax returns in 2009 for tax years 2006 through 2008 that collectively requested more than $1.3 million in income tax refunds to which he was not entitled. Prior to filing these returns, Moleski failed to file tax returns from 1999 through 2005, even though he was legally required to file. When the IRS assessed taxes for those years and began collecting, Moleski obstructed the collection efforts and demanded that a third-party financial institution not comply with an IRS levy. In addition, Moleski attempted to pay credit card bills and other debts with fake financial instruments that claimed to draw on an account at the U.S. Treasury that did not actually exist. For instance, Moleski sent a fake financial instrument for $500,000 in alleged payment of a mortgage debt.
The case was investigated by special agents of IRS-Criminal Investigation. Trial Attorneys Tino M. Lisella and Yael T. Epstein of the Tax Division prosecuted the case, with the assistance of the U.S. Attorney’s Office for the District of New Jersey.
Former New Britain Resident Pleads Guilty to Violating Federal Sex Offender Registration and Notification ActRead the Press Release
Follow @USAO_CTDeirdre M. Daly, United States Attorney for the District of Connecticut, today announced that CHRISTOPHER T. AGRITELLY, 30, formerly of New Britain, Conn., and Tempe, Ariz., pleaded guilty yesterday in Hartford federal court to failing to register as a sex offender.
The Sex Offender Registration and Notification Act (“SORNA”), which was passed by Congress in 2006 as part of the Adam Walsh Act, provides a comprehensive set of minimum standards for sex offender registration and notification in the United States and seeks to strengthen the nationwide network of sex offender registration and notification programs. In part, SORNA requires registered sex offenders to register and keep their registration current in each jurisdiction in which they reside, work, or go to school.
According to court documents and statements made in court, in September 2007, AGRITELLY was convicted in Connecticut Superior Court in New Britain of first degree sexual abuse and was sentenced to a term of incarceration of 15 years, execution suspended, seven years to serve, followed by 15 years of probation and mandatory lifetime sex offender registration. When he was released from prison in February 2013, AGRITELLY was informed of his registration obligations under SORNA.
AGRITELLY initially complied with Connecticut Sex Offender Registry requirements while he resided in New Britain after his release from prison. However, in August 2013, he failed to respond to an address verification request and a subsequent Notice of Violation sent by the Sex Offender Registry Unit.
AGRITELLY also failed to report to his state probation officer and the state obtained an arrest warrant for him for a violation of the terms and conditions of his probation.
On January 29, 2014, AGRITELLY was arrested by law enforcement in Tempe, Ariz., pursuant to the probation violation warrant issued in Connecticut. He never registered as a sex offender in Arizona.
AGRITELLY has been detained since his arrest. He is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson on February 27, 2014, at which time he faces a maximum term of imprisonment of 10 years.
This matter was investigated by the U.S. Marshals Service and is being prosecuted by Assistant U.S. Attorney Deborah R. Slater.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Former Logan County assessor pleads guilty to Federal Banking Law violationRead the Press Release
Charleston, W.Va. – United States Attorney Booth Goodwin announced that Russell R. Grimmett, also known as Rick Grimmett, 51, of Man, West Virginia, pled guilty today to violating federal banking laws. Grimmett is the former Logan County Assessor.
Banks are required by federal law to report all cash transactions in excess of $10,000. Grimmett admitted that he and an associate withdrew cash from the Logan Bank and Trust in Man, West Virginia in amounts less than $10,000 to prevent triggering the reporting requirement. This practice, known as “structuring,” is a federal crime. He further admitted that between early 2009 through December 2012, he and his associate structured more than $366,000 in cash from various banks.
As part of his plea agreement, Mr. Grimmett agreed to resign his position as Assessor. He also agreed to forfeit $150,000.
Grimmett faces up to five years of imprisonment and a fine of up to $250,000 when he is sentenced on March 11, 2015.
Today’s charge stems from an investigation conducted by the FBI, IRS Criminal Investigation, United States Postal Inspection Service, and the West Virginia State Police. Assistant United States Attorney Meredith George Thomas is handling the prosecution.
Former KC Attorney Sentenced for Money Laundering, took $800,000 from ClientsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Kansas City, Mo., attorney was sentenced in federal court today for money laundering.
James C. Wirken, 70, of Kansas City, was sentenced by U.S. District Judge Fernando J. Gaitan to one year and one month in federal prison without parole. The court also ordered Wirken to pay a fine of $4,000.
Wirken was a lawyer and principal at The Wirken Law Group until he surrendered his law license in 2012 and was disbarred by the Missouri Supreme Court. On May 12, 2014, Wirken pleaded guilty to one count of money laundering.
Wirken admitted that he withdrew money from his law firm’s trust account, which was being held for the benefit of a client, and deposited the funds into his law firm’s operating account. Wirken wrote six checks between December 2009 and Jan. 13, 2010, totaling $116,730. Wirken then used the funds for his personal benefit. All of the transactions were conducted without the client’s consent.
According to court documents, Wirken’s law firm was engaged in a long-term, unethical, unsustainable Ponzi-type business model that spanned over many years. As early as 2007, Wirken began improperly borrowing substantial amounts of money from clients, and then he refused to pay his clients back. Wirken borrowed over $800,000 from at least seven clients from 2007 to 2012, according to court documents.
For example, court documents cite one instance when Wirken borrowed $100,000 from a client and refused to make payments on the loan even when his client was diagnosed with cancer and needed money to pay for the treatments. Wirken’s client later died from the disease.
This case was prosecuted by Assistant U.S. Attorney Roseann A. Ketchmark. It was investigated by IRS-Criminal Investigation.Former Head of Anti-Poverty Agency Sentenced to Prison for Accepting BribesRead the Press Release
The former head of a Cleveland-area anti-poverty agency was sentence to 30 months in prison for accepting more than $23,000 in cash, home renovations and other things of value in exchange for steering work to specific contractors, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office, and Lamont Pugh III, Special Agent in Charge, U.S. Department of Health & Human Services, Office of Inspector General – Chicago Region.
Jacqueline K. Middleton, 69, of Shaker Heights, pleaded guilty earlier this year to two counts of honest services fraud, one count of bribery in federally funded programs and one count of Hobbs Act Conspiracy.
“Middleton violated the trust of taxpayers and the people she had pledged to serve,” said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
“Middleton padded her pocket with monies for federally funded contracts she awarded,” Anthony said. “Law enforcement will continue to root out individuals illegally capitalizing on their trusted position. ”
“Ms. Middleton held a position of trust and was expected to be a good steward in her utilization of taxpayer funds. She chose otherwise and was held accountable for her actions” Pugh said. “The OIG will continue to investigate allegations involving the misuse or misappropriation taxpayer funds in concert with our law enforcement and prosecutorial partners to ensure that those who breech the public’s trust are held accountable.”
Middleton served as president and chief executive officer of the Council of Economic Opportunities of Greater Cleveland. The CEOGC was organized with the purpose of serving low-income people of Cuyahoga County and Greater Cleveland. The CEOGC administered several federal, state and local programs designed to address the needs of low-income individuals, including Head Start, the Community Services Block Grant program and the Home Energy Assistance program.
From 2008 through around August 7, 2012, Middleton used her official position to enrich herself by soliciting and accepting gifts, payments and other things of value from contractors who did business with CEOGC. These gifts and payments were made in exchange for favorable action from Middleton for the payors and their companies, according to the information.
Middleton solicited and accepted gifts, payments and other things of value totaling more than $12,017 from a person identified as Contractor No. 1 and totaling approximately $11,200 from a person identified as Contractor No. 2. The things of value included kickbacks from CEOGC payments, home renovation work and payments to vendors for related supplies on her behalf, according to the information.
Middleton provided official favorable action Company No. 1 and Contractor No. 2 as requested and as opportunities arose. That included authorizing CEOGC contracts which retained Contractor No. 2 for consulting services and which retained Company No. 1 for work including parking lot renovations, classroom remodeling and flooring remodeling at various sites and offices administered by CEOGC, according to the information.
The case is being prosecuted by Assistant U.S. Attorney Michael L. Collyer following an investigation by the Federal Bureau of Investigation and the Department of Health and Human Services—Office of Inspector General.
Former Elementary School Principal Convicted of Attempting to Entice A MinorRead the Press Release
ATLANTA - John Harold McGill, the former principal of Mt. Carmel Elementary School in Douglas County, Ga., has been convicted after a jury trial, of using emails and text messages to attempt to entice a minor to engage in unlawful sexual activity.
“The idea that an elementary school principal would attempt to have sex with a thirteen-year-old girl is disgraceful,” said United States Attorney Sally Quillian Yates. “McGill violated a public trust and all sense of common decency, and a jury has held him criminally responsible.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “The FBI’s Violent Crimes Against Children program, along with the FBI Atlanta based Metro Atlanta Child Exploitation (MATCH) Task Force, remains ever vigilant for individuals such as Mr. McGill, who not only represent a threat to our children, but who are also in a position of trust over those very children. The conviction by jury trial of Mr. McGill, a former elementary school principal, on federal charges of attempting to entice a minor child for sex removes a very real and serious threat from our community. The FBI and its MATCH Task Force will continue to work with its area law enforcement partners as it maintains it’s much needed vigilance in protecting our children from those who would exploit them.”
According to United States Attorney Yates, the charges, and evidence presented in court: On Saturday, March 1, 2014, McGill responded to an Internet advertisement named “casual encounters” purportedly posted by a mother who was seeking a man to introduce her thirteen-year-old daughter to sexual intercourse. McGill communicated with who he thought was the girl’s mother by email and texts throughout the evening and into early Sunday morning, March 2, 2014. With his wife out of town at a conference, McGill put his children to bed, and then drove more than 50 miles from Douglasville, Ga., to Lithonia, Ga. He arrived at the “mother’s” house at 1:45 a.m., with a condom in his pants pocket. However, the “mother” was an FBI Task Force Officer, and McGill was arrested.
McGill, 57, of Douglasville, Ga., was the principal of Mt. Carmel Elementary School in Douglas County, Ga., until he was arrested on March 2, 2014. He was convicted after a two-day trial. Federal District Judge William S. Duffey, Jr., remanded McGill into custody and set sentencing at 9:30 a.m. on February 6, 2015.This case was investigated by the Federal Bureau of Investigation, the Georgia Bureau of Investigation, the Cobb County Police Department, and the DeKalb County District Attorney’s Office.
Assistant United States Attorney William G. Traynor prosecuted the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Five Northern California Real Estate Investors Indicted for Bid Rigging and Fraud at Public Foreclosure AuctionsRead the Press Release
A federal grand jury in San Francisco returned a nine-count indictment against five real estate investors for their role in bid rigging and fraud at foreclosure auctions in Northern California, the Department of Justice announced.
The indictment, filed today in U.S. District Court for the Northern District of California in Oakland, California, charges Northern California real estate investors John Michael Galloway, Nicholas Diaz, Glenn Guillory, Thomas Joyce and Charles Rock with participating in a conspiracy to rig bids and a scheme to defraud mortgage holders and others. The indictment alleges that the defendants agreed not to compete at public foreclosure auctions in Contra Costa County, California, and diverted money to themselves and others that should have gone to mortgage holders and other beneficiaries.
To date, 50 individuals have pleaded guilty or agreed to plead guilty to criminal charges as a result of the department’s ongoing antitrust investigations into bid rigging and fraud at public foreclosure auctions in Northern California. In addition, 21 real estate investors have been charged in five multi-count indictments for their roles in bid rigging and fraud schemes at foreclosure auctions in Alameda, Contra Costa and San Francisco counties.
“The Antitrust Division will continue to cooperate with its law enforcement partners to bring to justice those who undermine the competitive market for foreclosed properties,” said Brent Snyder, Deputy Assistant Attorney General for the Antitrust Division’s criminal enforcement program. “Public auctions are meant for the public, not for an elite group conspiring together for their own profit.”
The indictments allege, among other things, that as early as June 2008 until about January 2011, the defendants conspired to rig bids to obtain numerous properties sold at foreclosure auctions in Contra Costa County, negotiated payoffs for agreeing not to compete, held second, private auctions known as “rounds,” concealed those rounds and payoffs, and, in the process, defrauded mortgage holders and other beneficiaries.
“These charges demonstrate our continued commitment to investigate and prosecute individuals and organizations responsible for the corruption of the public foreclosure auction process,” said David J. Johnson, FBI Special Agent in Charge of the San Francisco Field Office. “The FBI is committed to work these important cases and remains unwavering in our dedication to bring the members of these illegal conspiracies to justice.”
Each violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. Each count of mail fraud carries a maximum sentence of 20 years in prison and a $1 million fine. The government can also seek to forfeit the proceeds earned from participating in the mail fraud schemes. The maximum fine for the Sherman Act charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than $1 million.
Today’s charges are the latest filed by the department in its ongoing investigation into bid rigging and fraud at public real estate foreclosure auctions in San Francisco, San Mateo, Contra Costa and Alameda counties, California. These investigations are being conducted by the Antitrust Division’s San Francisco Office and the FBI’s San Francisco Office. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact the Antitrust Division’s San Francisco Office at 415-934-5300, or call the FBI tip line at 415-553-7400.
The charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.StopFraud.gov.
First Defendant Sentenced in Traffic Court Ticket Fixing SchemeRead the Press Release
PHILADELPHIA – Robert Mulgrew, 57, of Philadelphia, PA, was sentenced today to 18 months in prison for lying about ticket fixing at Philadelphia’s former Traffic Court. A federal jury, on July 23, 2014, found Mulgrew, a former traffic court judge, guilty of committing perjury before the federal grand jury investigating the case.
Mulgrew was already serving a 30 month prison sentence for defrauding the Pennsylvania Department of Community and Economic Development (“DCED”). Mulgrew pleaded guilty in that case on September 19, 2013 to filing a false tax return, mail fraud and conspiracy to commit mail fraud and was sentenced August 6, 2014. U.S. District Court Judge Lawrence Stengel ordered today’s sentence to run consecutive to the previous prison term.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Denise S. Wolf and Anthony J. Wzorek.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
TULSA, Okla. — The results of the December 2014 Federal Grand Jury were announced today by Danny C. Williams Sr., United States Attorney for the Northern District of Oklahoma.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged federal crimes which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Mahcoe Jamar Knapper. Embezzle, Steal, Purloin and Knowingly Convert Public Monies. Knapper, 35, of Tulsa, is charged with stealing and converting to his own use money in excess of $1,000 belonging to the U.S. Department of Veterans Affairs from January 2012 to August 2012. If convicted, the statutory maximum penalty is not more than 10 years in prison and a $250,000 fine. The Department of Veterans Affairs-Office of Inspector General is the investigating agency.
Pablo Antonio Lopez-Acosta. Reentry of Removed Aliens. Lopez-Acosta, 30, was arrested and is charged with having returned to the United States unlawfully after being deported in August 2012 near Hidalgo, Texas. If convicted, the statutory maximum penalty is 20 years in prison and a $250,000 fine. The U.S. Immigration Customs Enforcement is the investigating agency.
Cesar Zuniga-Acosta. Reentry of Removed Aliens. Zuniga-Acosta, 20, was arrested and is charged with having returned to the United States unlawfully after being deported in June 2013 near Del Rio, Texas. If convicted, the statutory maximum penalty is 20 years in prison and a $250,000 fine. The U.S. Immigration Customs Enforcement is the investigating agency.
Essex County, New Jersey, Lawyer Admits Smuggling Marijuana into Federal Pretrial Detention FacilityRead the Press Release
TRENTON, N.J. – An attorney from Maplewood, New Jersey, today admitted his involvement in a scheme to smuggle contraband, including marijuana and tobacco, into the Essex County Jail, a federal pretrial detention facility, U.S. Attorney Paul J. Fishman announced.
Brian Kapalin, 67, pleaded guilty before U.S. District Judge Mary L. Cooper to an information charging him with one count of conspiring to smuggle contraband into a federal detention facility.
According to the documents filed in this case and other cases and statements made in court:
From September 2013 to May 2014, Kapalin accepted packages of contraband containing marijuana and tobacco from Vladimir Sauzereseteo, 40, of East Orange, New Jersey. In exchange for cash payments from Sauzereseteo, Kapalin agreed to smuggle the contraband to federal pretrial detainees at the Essex County Jail, including Sauzereseteo’s brother, Muhammad Subpunallah, 32.
In January 2014 Subpunallah gave Kapalin $500 to deliver a package of marijuana to another inmate. Kapalin met with the inmate at the jail’s attorney conference room and gave him the contraband. Kapalin admitted delivering multiple packages of marijuana to a third inmate at the Essex County Jail between August 2013 and May 2014 in return for $500 per package.
The conspiracy charge to which Kapalin pleaded guilty carries a maximum penalty of five years in prison and a maximum fine of $250,000. Sentencing is scheduled for March 18, 2015.
Sauzereseteo previously pleaded guilty to one count of conspiring to smuggle contraband into a federal detention facility and is scheduled to be sentenced on Dec. 4, 2014. Charges against Subpunallah are still pending and he is considered innocent unless and until proven guilty.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford in Newark, and investigators with the Internal Affairs Division of Essex County Jail, under the leadership of Warden Roy Hendricks, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Rahul Agarwal of the U.S. Attorney’s Office Special Prosecutions Division and Rob Frazer of the Criminal Division, Organized Crime/Gangs Unit, in Newark.
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Defense counsel: Michael Pedicini Esq., Chatham, New JerseyKapalin, Brian Information
Eight United States Postal Workers Arrested on Long Island for Mail Theft and Marijuana Distribution ConspiracyRead the Press Release
Eight United States Postal Service employees at the Logistical and Distribution Priority Mail Processing Center in Bethpage, Long Island (“Bethpage L&DC”) were arrested last night and charged with theft of mail and conspiracy to distribute and possess with intent to distribute more than 129 pounds of marijuana over a six-month period. The criminal complaint was unsealed today in federal court in Central Islip charging Kempleton Nash, Jr., Eugene Williams, Timothy Marshall, Jerrod Rollerson, Tanicha Grenald-Allen, Sherwin Parkes, Lloyd Johnson and Jose Hurtado. The defendants are scheduled to appear this afternoon before United States Magistrate Judge Gary Brown at the United States Courthouse, 100 Federal Plaza, Central Islip, New York.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York, Rafael Medina, Special Agent-in-Charge, United States Postal Service, Office of Inspector General, and James J. Hunt, Special Agent-in-Charge, Drug Enforcement Administration, New York. The investigation was conducted by the USPS-OIG and the DEA’s Long Island District Office Task Force, which is comprised of agents and officers from the DEA, the Nassau County District Attorney’s Office, the Suffolk County District Attorney’s Office, the Suffolk County Sheriff’s Office and the Hempstead Police Department.
As detailed in the criminal complaint, U.S. Priority Mail shipping is increasingly becoming a method of transporting and delivering controlled substances across the United States. In this case, rather than alerting law enforcement agents to the presence of suspicious packages, the defendants allegedly stole the parcels from the processing line and placed them in a corridor outside the Bethpage L&DC accessed by a fire exit door whose alarm had been disabled. The defendants then retrieved the parcels from the corridor and carried the packages out of the building through the lobby of the adjacent business park. The defendants were also observed removing parcels from the processing line, and then attaching new labels re-directing delivery to alternative addresses. After “overlabeling” the parcels, the defendants allegedly reinserted the parcels into the normal line for delivery to the new destination. Between September and November, federal agents obtained search warrants for 12 of the “overlabeled” parcels, which resulted in the seizure of some 129 pounds of marijuana, with an estimated street value ranging from $100,000 to $930,000.
“Abusing their positions of trust as postal employees, the defendants allegedly stole hundreds of packages to further their drug dealing efforts,” stated United States Attorney Lynch. “We and our partners in law enforcement are committed to ensuring that government employees act with the degree of integrity that the public expects and deserves.” Ms. Lynch also thanked the United States Postal Inspection Service, the New York State Police and the Suffolk County Police Department for their assistance in the investigation.
“The conduct alleged in the criminal complaint is beyond disgraceful and our office will continue to tirelessly investigate those postal service employees who violate the public’s trust,” stated USPS-OIG Special Agent-in-Charge Medina. “The dedicated work of the hundreds of thousands of postal service employees should never be overshadowed by those who compromise their integrity for personal gain.”
“By allegedly targeting and stealing suspiciously shaped priority packages sent from the West Coast to further their drug trafficking network, the defendants became targets of investigation themselves. Not only did the defendants allegedly abuse their positions as Postal Service employees, but in doing so they endangered the security of the postal service facility and their coworkers,” stated DEA Special Agent-in-Charge Hunt. “I applaud the work of the USPS-OIG and the federal, state and local law enforcement partners who worked on this investigation.”
The charges in the complaint are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being prosecuted by Assistant United States Attorney Charles N. Rose.
The Defendants:
KEMPLETON NASH, JR.
Age: 29
Cambria Heights, New York
EUGENE WILLIAMS
Age: 37
Brentwood, New York
TIMOTHY MARSHALL
Age: 28
Far Rockaway, New York
JERROD ROLLERSON
Age: 25
Hempstead, New York
TANICHA GRENALD-ALLEN
Age: 36
Brooklyn, New York
SHERWIN PARKES
Age: 36
Brooklyn, New York
LLOYD JOHNSON
Age: 34
St. Albans, New York
JOSE HURTADO
Age: 43
North Bellmore, New York
E.D.N.Y. Docket No. 14-MJ-1014
Eastern District of North Carolina U.S. Attorney’s Office Collects 12,075,779.92 in Civil and Criminal Actions for U.S. Taxpayers in Fiscal Year 2014Read the Press Release
RALEIGH – United States Attorney Thomas G. Walker announced today that the Eastern District of North Carolina collected $12,075,779.92 in criminal and civil actions in Fiscal Year 2014. Of this amount, $7,766,083.07 was collected in criminal actions and $4,309,696.85 was collected in civil actions.
Additionally, the Eastern District worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $6,085,249.57 in cases pursued jointly with these offices. Of this amount, $4,942.19 was collected in criminal actions and $6,080,307.38 was collected in civil actions.
Attorney General Eric Holder announced on November 19, 2014 that the Justice Department collected $24.7 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2014. The more than $24 billion in collections in FY 2014 represents nearly eight and a half times the appropriated $2.91 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.
“Every day, the Justice Department’s prosecutors and trial attorneys work hard to protect our citizens, to safeguard precious taxpayer resources, and to provide a valuable return on investment to the American people,” said Attorney General Eric Holder. “Their diligent efforts are enabling us to achieve justice and recoup losses in virtually every sector of the U.S. economy. And as a result, I can report today that – during Fiscal Year 2014 – the Justice Department collected a total of $24.7 billion in civil and criminal actions.”
“The United States Attorney’s Office has made the efficient and effective collection of restitution on behalf of victims of crime a top priority”, stated Mr. Walker. “Collection of restitution on behalf of the United States is essential during the current budgetary restraints.”
During the past fiscal year the Eastern District of North Carolina has returned millions of dollars to victims of crime. In one such case, due to fraudulent billing practices of the defendant in USA v. Johnson-Hunter, a total restitution of $452,039.00 was returned to Medicare and Medicaid. Recovering monies stolen from programs such as Medicare and Medicaid helps ensure that the programs are available when needed. The office was also successful in recovering $217,823.72 in back child support payments from an NBA pension account in the USA v. Williams case.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
Additionally, the U.S. Attorney’s office in the Eastern District of North Carolina, working with partner agencies and divisions, collected $2,380,412 in asset forfeiture actions in FY 2014. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
Dunkirk Man Sentenced on Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that Christopher Marcinkowski, 28, of Dunkirk, N.Y., who was convicted of possession with intent to distribute cocaine and possession of a firearm in furtherance of drug trafficking, was sentenced to 78 months in jail, by Chief U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Timothy C. Lynch, who handled the case, stated that on February 9, 2012, Dunkirk Police and New York State Parole executed a search warrant at 531 Columbus Avenue, Dunkirk, NY, the residence of the Marcinkowski and Jessica Mann. Just prior to the execution of the warrant, officers observed the defendant toss a sawed-off shotgun from a second story window. Officers later found a marijuana grow operation in the residence, as well as quantity of cocaine and drug packaging materials.
Jessica Mann was convicted of maintaining a drug-involved premises and was sentenced to time served and three years supervised release.
The sentencing is the culmination of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Acting Special Agent in Charge James S. Higgins, and the New York State Division of Parole, under the direction of Acting Commissioner Anthony J. Annucci, and the Dunkirk Police Department, under the direction of Chief David C. Ortolano.
District Man Found Guilty of Murder and Other Charges in 2000 Slaying of Government Witness-Victim Was Kidnapped and Executed-Read the Press Release
WASHINGTON – Anthony Gray, 36, has been found guilty by a jury of charges stemming from the July 2000 murder of a government witness, announced U.S. Attorney Ronald C. Machen Jr., Cathy L. Lanier, Chief of the Metropolitan Police Department (MPD), and Robert D. MacLean, Acting Chief of the United States Park Police.
Gray, of Washington, D.C., was found guilty on Dec. 2, 2014, of first-degree premeditated murder while armed, kidnapping, and felony murder while armed, as well as the aggravating circumstances that the murder was committed during the course of a kidnapping and was committed because the victim was a government witness. The verdict followed a trial in the Superior Court of the District of Columbia. Gray is scheduled to be sentenced on Feb. 6, 2015 before the Honorable Rhonda Reid-Winston.
According to the government’s evidence, Gray was part of a violent crew that operated in the Alabama Avenue SE area, known as “Simple City,” in the mid to late 1990s-2000s. The crew focused on selling drugs, committing violent crimes, and intimidating witnesses. Gray played an active role in the crew and committed a number of crimes on its behalf.
Specifically, in 1999, a murder was committed by two crew members in the area of Texas Avenue SE. Robert McManus, 20, was a reluctant witness to this murder. On July 5, 2000, as trial was approaching for the two crew members, Anthony Gray and another crew member kidnapped Mr. McManus from his bicycle for the purpose of preventing him from testifying at the trial. After kidnapping Mr. McManus, Gray and the other crew member drove him to the 4800 block of E Street SE, marched Mr. McManus into the woods, and shot him one time in the head. The following day, Mr. McManus’s body was recovered in a wooded area, executed.
Two other members of the crew pled guilty in recent weeks to charges stemming from other murders. Cedrick Shuler, 38, and Keith Fogle, 42, both formerly of Washington, D.C., pled guilty to charges on Nov. 6, 2014, as they were about to stand trial along with Gray.
Shuler pled guilty to one count of second-degree murder while armed for the March 1999 murder of Edward Gray and one count of voluntary manslaughter while armed for the February 1999 murder of Kelvin Howard. Fogle pled guilty to one count of voluntary manslaughter while armed for his role in the slaying of Mr. Gray. (Edward and Anthony Gray are not related).
According to the government’s evidence, Mr. Howard, 18, was not part of the feud involving rival crews. He was fatally shot as he was parked at a stop sign in his Chevrolet Tahoe. His car then crashed into a wooded area near 51st and C Streets SE. The jury acquitted Anthony Gray of charges related to Mr. Howard’s murder.
Like Mr. Howard, Edward Gray, 29, was an innocent victim of retaliatory violence by Shuler, who this time acted along with Fogle. Mr. Gray and his fiancé were attacked by gunfire at 8:45 p.m. on March 22, 1999, as they were in their Chevrolet Tahoe truck in the 4800 block of Alabama Avenue SE. According to the government’s evidence, because the Tahoe was moving so slowly, and circling the area, Shuler and Fogle mistakenly believed the occupants were members of a rival gang. They opened fire, killing Mr. Gray. The fiancé was not injured.
In announcing the verdict, U.S. Attorney Machen, Chief Lanier, and Acting Chief MacLean commended the work of those who investigated the case from the Metropolitan Police Department and the U.S. Park Police. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including former Assistant U.S. Attorney Amanda Haines, who indicted the matter; Lead Paralegal Specialist Phil Aronson; Supervisory Paralegal Specialist Sharon Newman; Paralegal Specialists Meridith McGarrity, Fern Rhedrick, and Vanessa Trent-Valentine; Intelligence Analyst Zachary McMenamin; Supervisory Witness Security Specialist Michael Hailey; Witness Security Specialists Debra Cannon and Wanda Queen, and Information Technology Specialist Leif Hickling.
Finally, they expressed appreciation for the work of Assistant U.S. Attorneys Laura R. Bach and Shana L. Fulton, who tried the case.
14-266Dave Conner, Assistant U.S. Attorney and Career Prosecutor, Dies Peacefully at Home After 15-Year Fight with CancerRead the Press Release
Please click here for a photo of Assistant U.S. Attorney Dave Conner
DENVER -- It is with profound sadness that U.S. Attorney John Walsh announces that Assistant U.S. Attorney Dave Conner passed away yesterday following a prolonged illness. Dave passed away peacefully at his home yesterday afternoon, after battling cancer for over fifteen years. Dave worked up until the day of his death.
"Dave Conner was no ordinary prosecutor. Over thirty-two years of service in the state and federal courts, he dedicated his heart and soul to the pursuit of justice,” said U.S. Attorney John Walsh. “Dave’s skill, integrity and fierce commitment to fairness made him a legend among prosecutors, law enforcement and defense attorneys alike. He was a living, breathing model that prosecutors should aspire to, and a teacher of generations of young prosecutors, in both word and deed. We will miss Dave terribly, but the chords sounded by his memory will forever link our hearts to him and to what he stood for.”
Dave started his career as a prosecutor working as a Deputy District Attorney in Denver in March of 1982. While in the Denver DA’s Office, Dave was promoted to Chief Deputy District Attorney. He then left the Denver District Attorney’s Office to become an Assistant U.S. Attorney in 1988. He left the U.S. Attorney’s Office in 1996 to work as a Federal Public Defender, and four years later returned to the U.S. Attorney's Office, where he served in the Major Crimes Section in charge of violent crimes, including bank robberies. Dave worked closely with a variety of federal, state and local law enforcement agencies, including the FBI led Rocky Mountain Safe Streets Task Force. There he worked with both Special Agents from the FBI and state and local police officers assigned to the task force.
Dave obtained his Bachelor’s Degree with honors from Dartmouth College. Following his undergraduate study, Dave attended the University of Denver College of Law, where he earned his law degree, again with honors. Dave started his career as a newspaper reporter in Kirksville, Missouri. He clerked at the Missouri Attorney General’s Office and was an associate at Davis, Graham & Stubbs prior to his government service.
Dave was active in the Smoky Hill United Methodist Church. He was an avid student of history, especially American history, Abraham Lincoln and the West. Dave had a near photographic memory. He could quote from many closing arguments that he had seen even when the prosecutor who tried the case could barely recall the case. His memory of court cases, biblical passages and the lines of old Western movies served him well in the courtroom and were always entertaining to his colleagues. Dave was an icon in the prosecution community. He was always a fierce advocate for justice and for all of his friends and family.
As a Deputy and Chief Deputy District Attorney in Denver, Dave prosecuted a number of high profile cases, including the Masonic Temple arson as well as the Michael Alexis homicide. As an Assistant U.S. Attorney, Dave prosecuted Forest Service employee Terry Barton, who was responsible for starting the Hayman Fire, one of the largest wildland fires in Colorado history. He also prosecuted individuals who kidnapped an executive of a bank in La Junta in an attempt to take all of the bank's money in the vault. The lead defendant in that case received a prison sentence of over 1,000 years.
Dave leaves behind his wife, Teri Dahn, a son, Gavin Conner, who serves as a Denver firefighter, and a daughter, Ashton Conner, who works at Kaplan University in Southern California.
Service information is pending.
Crab Orchard Man Sentenced 66 Months for Illegally Possessing over 100 Firearms and Stealing Thousands from Social SecurityRead the Press Release
LEXINGTON, KY - Kerry B. Harvey, U.S. Attorney for the Eastern District of Kentucky; Stuart L. Lowrey, Special Agent in Charge for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Tom Caul, Special Agent in Charge for the Social Security Administration (SSA), Office of the Inspector General; and Rodney Brewer, Kentucky State Police Commissioner, jointly announced today that a Lincoln County man has been sentenced to 66 months in federal prison, for illegally possessing more than 100 firearms and defrauding the Social Security Administration out of thousands of dollars.
U.S. District Judge Danny C. Reeves sentenced 46 year-old David Brummett, on Wednesday, November 26, for being a felon in possession of firearms and defrauding the SSA. Under federal law, Brummett must serve at least 85 percent of his prison sentence.
According to the plea agreement, in May 2013, Kentucky State Police (KSP) detectives searched Brummett’s home, pursuant to a warrant, and discovered 140 firearms. Because Brummett has a prior felony conviction, he is prohibited from possessing firearms. Brummett admitted he knew it was unlawful for him to possess firearms.
Additionally, Brummett, who had been receiving Social Security disability benefits, admitted that he intentionally failed to report some of his money and assets to the SSA so he could continue receiving financial assistance. According to court records, Brummett obtained $70,000 from SSA that he was not entitled to receive.
The investigation was conducted by ATF, KSP and the SSA. Assistant U.S. Attorney Hydee Hawkins prosecuted this case on behalf of the federal government.
Covington Man Pleads Guilty to Lacey Act ViolationRead the Press Release
U.S. Attorney Kenneth A. Polite announced that LAWRENCE TREIGLE, age 33, of Covington, pleaded guilty today to a one-count Superseding Bill of Information charging him with conspiring to smuggle turtles out of the United States and to violation of the Lacey Act.
According to the Superseding Bill of Information, TREIGLE was part of a group of individuals involved in capturing North American Wood turtles from the wild in Pennsylvania, shipping the turtles by mail though the United States, and then illegally exporting the turtles to Hong Kong.
TREIGLE faces a maximum term of five years in prison, a fine of $250,000, and three years of supervised release following any term of imprisonment. U.S. District Judge Helen G. Berrigan scheduled sentencing for March 11, 2015.
U.S. Attorney Polite praised the work of the U.S. Fish and Wildlife Service, Homeland Security Investigations, and the United States Postal Inspection Service in investigating this matter. Assistant United States Attorney David Haller is in charge of the prosecution.
Couple Sentenced in Mortgage Fraud SchemeRead the Press Release
LAS VEGAS, Nev. – A Katy, Texas couple who owned two mortgage service businesses in Henderson, Nev., have been sentenced to prison for their roles in a mortgage fraud scheme that caused over $30 million in losses to federally insured financial institutions, announced U.S. Attorney Daniel G. Bogden for the District of Nevada.
Derrick Phelps, 46, former owner of Investors Realty and Enterprise Mortgage Services, was sentenced to 70 months in prison, and his wife, Cynthia Phelps, 44, was sentenced to four years in prison. Both defendants were also ordered to serve five years of supervise release and to pay approximately $31 million in restitution. They were sentenced by U.S. District Judge James C. Mahan on Tuesday, Dec. 2, and were permitted to self-report to federal prison by March 6, 2015. They pleaded guilty in April to one count of conspiracy to commit bank fraud, mail fraud and wire fraud and seven counts of bank fraud.
“Hundreds of mortgage industry employees and business owners have been convicted of fraud and sentenced to prison for defrauding the financial institutions during the housing boom in southern Nevada,” said U.S. Attorney Bogden. “We are continuing to work with our local, state and federal law enforcement partners to pursue all sorts of financial fraud cases that impact the entire community.”According to their plea agreements, from about January 2003 to November 2006, the defendants devised a scheme to defraud federally insured financial institutions through the use of false mortgage applications. The defendants solicited buyers with good credit ratings to purchase homes in the Las Vegas area and made offers to purchase the homes above the sellers’ asking prices. In some instances, the defendants caused buyers to purchase multiple houses at or about the same time, so that the purchases would not show up on their credit report and the lenders would not be aware of the other purchases. The defendants then caused false information to be placed in the buyer’s mortgage loan applications pertaining to things such as income and intent to occupy the home. Once the loans were approved, the defendants caused the sellers to agree that part of the excess funds be redirected to the buyers under the pretense of making upgrades and repairs to the properties. The defendants intentionally concealed from the financial institutions that buyers were receiving part of the loan disbursements for their own use and benefit. The defendants defaulted on the mortgage loans which caused the properties to go into foreclosure. Using this scheme, the defendants purchased approximately 233 properties and caused losses to the financial institutions greater than $30 million
Three co-defendants charged in the scheme, Linda Mack, Tai Keyster, and Darryl Reese, are scheduled to go to trial on March 15, 2015.
The case is being investigated by the United States Postal Inspection Service, and is being prosecuted by Assistant U.S. Attorney Sarah E. Griswold.
This prosecution is part of efforts underway by President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets and recover proceeds for victims of financial crimes. For more information about the task force visit: www.stopfraud.com.
Chief Officer of Engineering Firm Sentenced for Attempted Illegal Shipment to IranRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that today in Harrisburg, United States District Court Judge Yvette Kane sentenced Hetran Inc. and its Chief Executive Officer, Helmut Oertmann for their involvement in a conspiracy to evade export reporting requirements and with attempting to smuggle to Iran a lathe machine in violation of U.S. export regulations. Oertmann received a sentence of 12 months probation. Hetran, an engineering and manufacturing plant in Orwigsburg, Schuylkill County, Pennsylvania, was also sentenced by Judge Kane, who adopted the penalty imposed by the U.S. Department of Commerce of $337,500 cash and $500,000, which was suspended. The fine made both Oertmann and Hetran jointly liable for payment.
According to U.S. Attorney Peter Smith, Hetran manufactured a horizontal lathe, also described as a bar peeling machine (“peeler”), valued at more than $800,000 and weighing in excess of 50,000 pounds. The machine is used in the production of high grade steel or Abright steel@, a product used, among other things, in the manufacture of automobile and aircraft parts.
In June 2009, Hetran was contacted by representatives of FIMCO, an Iranian company with offices in Iran and the United Arab Emirates, and Crescent International, an affiliated company based in Dubai. FIMCO wanted to purchase the peeler. During negotiations, it became apparent that the peeler was intended for shipment to Iran. American companies are prohibited from shipping “dual use” items (such as the peeler) to Iran without first obtaining a license from the U.S. government. Aware that it was unlikely that such a license would be granted, Hetran, Helmut Oertmann and other co-conspirators agreed to falsely state on the shipping documents that the end-user of the peeler was Crescent International in Dubai.
On June 17, 2012, Hetrancaused the peeling machine to be shipped to Dubai, fraudulently listing Crescent International as the end-user, knowing that the shipment was ultimately being sent to Iran in violation of federal law.
U.S. authorities halted the shipment and prevented the machine from being delivered to Iran. Oertmann, Hetran, three Iranians and two Iranian corporations were indicted by a federal grand jury in Harrisburg in December 2012. Oertmann and Hetran pled guilty earlier this year.
The case was investigated by the Office of Export Enforcement of the U.S. Department of Commerce. The case was prosecuted by Assistant U.S. Attorney Christy Fawcett and Senior Litigation Counsel Gordon Zubrod and was overseen by the National Security Division of the U.S. Department of Justice.
Charleston heroin dealer sentenced in federal court in CharlestonRead the Press Release
Sentencing Judge Sends a Message With Imposition of 100 Month Sentence
CHARLESTON, W.Va. – United States Attorney Booth Goodwin announced that Jonathan Kennedy, 34, of Charleston, West Virginia was sentenced today in federal court to more than eight years in federal prison for selling heroin and crack cocaine in Charleston. In July of 2014, Kennedy pled guilty to two drug felonies – one related to his travel between Detroit, Michigan and Charleston, West Virginia, to aid in the sale of heroin, and the second for using a cell phone to sell crack cocaine -- both in Charleston.
The sentencing court expressed that by imposing a 100 month sentence, he hoped to send a message to Kennedy and others regarding the trade of heroin and pills in this district.
This case was investigated by the Charleston Police Department. This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill and heroin trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District.
California Woman Pleads Guilty to Heroin TraffickingRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 38-year-old Fresno, California resident pleaded guilty today before U.S. Magistrate Judge Karoline Mehalchick in Wilkes-Barre, to possession with intent to distribute more than one kilogram of heroin.
According to United States Attorney Peter Smith, the defendant, Livier Cantor-Huizar, admitted to transporting 23 kilograms of heroin, with a street value of more than $1 million, from California to the Mt. Pocono area of Monroe County in July 2014.
Cantor-Huizar and three other suspects were indicted by a federal grand jury in July 2014, as a result of an investigation by the Drug Enforcement Administration and the Pennsylvania State Police.
Judge Mehalchick ordered a pre-sentence investigation report to be completed. Cantor-Huizar will be sentenced by Senior U.S. District Court Judge Richard P. Conaboy at a future date.
Cantor-Huizar faces a mandatory minimum sentence of 10 years in prison and a possible maximum sentence of life in prison.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
California Man Found Guilty of Methamphetamine Conspiracy and Firearm ChargesRead the Press Release
Follow @SDILNewsA California man, Willie Gonzalez, a/k/a “Bullet,” 31, was found guilty by a jury sitting in federal court in East St. Louis of participating in a large methamphetamine distribution organization, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Gonzalez was found guilty of Conspiracy to Distribute and Possess with the Intent to Distribute Methamphetamine, Possession with Intent to Distribute Methamphetamine, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
Gonzalez is scheduled to be sentenced on March 27, 2015, in United States District Court in East St. Louis. He faces a potential sentence of twenty-five years to life in prison, a fine of up to $20,000,000, at least 10 years of supervised release, and a $100 special assessment per count of conviction.
Evidence in support of this prosecution was obtained in an investigation which was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF initiative is designed to bring federal, state, and local law enforcement agencies and resources together to identify, target and dismantle large national and international drug trafficking organizations. Agencies participating in this case include the Drug Enforcement Administration (DEA), Internal Revenue Service, Criminal Investigations, Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and U.S. Marshal Service. This case was prosecuted by Assistant United States Attorney Donald S. Boyce.
Byron Center Man Sentenced to 30 Years for Ponzi SchemeRead the Press Release
GRAND RAPIDS, MICHIGAN – The U.S Attorney’s Office announced that David W. McQueen, age 44, of Byron Center, Michigan, was sentenced today to 30 years in prison and ordered to pay 32,036,997.63 in restitution to his victims and $926,787.00 in restitution to the IRS. McQueen was convicted on May 9, 2014 after a six-week jury trial of six counts of mail fraud, six counts of money laundering, and three tax counts stemming from a massive Ponzi scheme that spanned three years. He was acquitted of one fraud count and two money laundering counts. The scheme affected more than 800 families, and preyed upon unsophisticated, often elderly investors.
The evidence at trial showed that, as with many investment frauds, McQueen likely did not set out to create a criminal enterprise that would result in a financial tragedy for his investors. In 2006, McQueen, who made an adequate living in sales, used borrowed funds to invest in a company called Multiple Return Transactions (“MRT”). MRT was owned and operated by Jim Clements. Clements promised returns of 10% per month or higher to McQueen. After a few months of making such returns, McQueen decided to capitalize on his apparent investment success and invited others to invest through him. McQueen created a company called Accelerated Income Group (“AIG”), through which he promised returns as high as 5-6% to investors. In addition, McQueen recruited insurance agents to sell his investments to their clients. For a short time, AIG was very successful (at least on paper). McQueen used MRT’s promised returns of 10%, to make AIG’s promised returns of 5%. McQueen could meet his 5% obligations to his investors and then keep 5% for himself.
In mid-2007, MRT stopped making payments and meeting redemption requests. MRT was merely a Ponzi scheme, and their money was gone and would never be recovered. Instead of notifying AIG investors that MRT had failed, however, McQueen continued to tell investors that their money was safe and growing. Without MRT making its monthly payments, McQueen and AIG could not meet their 5% monthly obligations to investors based on investment earnings. Instead, McQueen used the only funds he had available to make promised interest payments – money from new investors.
Instead of shutting down AIG, or at least notifying his investors of MRT’s cessation of interest payments, McQueen falsely touted his investment success and raised millions of dollars of additional money. In addition to AIG, McQueen created three other funds, International Opportunity Consultants (“IOC”), Diversified Liquid Asset Holdings (“DLAH”), and Diversified Global Finance (“DGF”), that were nothing more than sham corporations designed to raise millions of dollars from investors. McQueen commingled the investor money between his various and purportedly distinct funds and used it to make bogus interest payments and redemption requests to investors, pay commissions to agents that sold the funds on McQueen’s behalf, or simply spend the money. Despite knowing that he had absolutely no revenue coming in, McQueen took $100,000 of investor money per month tax free for his own personal use and enjoyment.
Recognizing that his scheme would collapse without actual investment success, McQueen placed approximately 30% of the investor funds in a series of highly speculative investments or scams. Unsurprisingly, this effort did not generate significant returns, and many lost all of the funds invested. To perpetuate his fraud, McQueen sent out monthly or quarterly account statements communicating to investors that their investments were safe and growing. Investors relied on those account statements and believed they accurately depicted the balance in their accounts. McQueen promised investors that they could liquidate their accounts at any time, but most did not because they believed that their account statements were accurate and that they had made a solid investment. In July and August 2009, McQueen sent out his final account statements showing that investors had tens of millions of dollars safe and growing in their “separate accounts.” Those statements concealed the truth – that McQueen had nearly run out of money.
On August 24, 2009, the IRS and FBI executed search and seizure warrants signed by Magistrate Judge Hugh W. Brenneman. The government seized approximately $430,000 from McQueen’s accounts. Unbeknownst to the government, McQueen later brought the remaining investor funds (approximately $440,000) back from an account located in New Zealand and used it for personal expenses and to make some last ditch investments, which failed.
McQueen was remanded to the custody of the U.S. Marshals Service after the jury rendered a guilty verdict and has been in the custody of the U.S. Marshals Service awaiting sentencing.
“The extent of this fraud scheme, perpetrated on unsophisticated investors, is staggering. The victims, many elderly, have lost their livelihoods and retirement savings; depriving them of the future they had worked hard to secure. Determined to protect potential victims from these scams, IRS-Criminal Investigation will continue to pursue financial predators like David McQueen and Trent Francke,” said IRS Special Agent in Charge Jarod Koopman.
“David McQueen, Trent Francke, and others swindled an extraordinary amount of money from many innocent investors while perpetrating this criminal fraud scheme,” stated Paul M. Abbate, Special Agent in Charge of the FBI Detroit Field Office. “While McQueen and others paid themselves millions from investor funds, their victims, many of whom were elderly and retired, lost everything—their savings, their homes and livelihoods. This investigation, trial, convictions, and prison sentences all reflect the resolve of the FBI, IRS-Criminal Investigation and the U.S. Attorney’s Office to bring justice to bear upon those who would steal from trusting investors and undermine our financial systems.”
This case was investigated by the IRS and FBI and prosecuted by Assistant U.S. Attorneys Matthew G. Borgula, Sally J. Berens, Joel Fauson, and Heath Lynch and Securities and Exchange Commission Trial Attorney Timothy Leiman.
END
Bridgeport Man Who Trafficked Firearms Pleads GuiltyRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that TYQUAN PORTER, also known as “T.Y.,” 27, of Bridgeport, pleaded guilty today in New Haven federal court to one count of possession of a firearm by a convicted felon.
This matter stems from “Operation Samson,” a multi-layered initiative headed by the ATF and the Bridgeport and New Haven Police Departments that targeted violent criminals, illegal firearm possession and firearm trafficking. In the spring of 2014, approximately 40 ATF special agents and personnel from Connecticut and across the country were deployed with New Haven and Bridgeport Police to conduct numerous covert operations.
According to court documents and statements made in court, in April 2014, PORTER sold a .40 caliber rifle, a .380 caliber pistol with a high capacity magazine, and a 7.62x39 mm caliber rifle to an undercover ATF officer. PORTER also provided a loaded .38 caliber revolver with an obliterated serial number and a faulty trigger mechanism to the undercover ATF officer to repair.
PORTER was previously convicted in state court of a felony narcotics offense. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
PORTER is scheduled to be sentenced by U.S. District Judge Janet Bond Arterton on March 2, 2015, at which time he faces a maximum term of imprisonment of 10 years.
PORTER was arrested on May 12, 2014, and is currently released on a $150,000 bond.
This case is being prosecuted by Assistant U.S. Attorney Rahul Kale.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
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[email protected]Boone County heroin dealer sentenced by federal court to eight yearsRead the Press Release
CHARLESTON, W.Va. – United States Attorney Booth Goodwin announced that Leonard Dillon, 58, of Bim, Boone County, West Virginia was sentenced in federal court in Charleston today to eight years in federal prison for distributing heroin in Boone County. Dillon previously pleaded guilty in August of 2014.
On March 21, 2013, Dillon sold heroin to a confidential informant working with law enforcement. On four other occasions in March and April of 2013, Dillon sold heroin and oxycodone to the same confidential informant.
The investigation was conducted by the United States Drug Enforcement Administration and the Boone County Sheriff’s Office. Assistant United States Attorney Jennifer Rada Herrald handled the prosecution.
The case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The United States Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin.
Bogalusa Man Sentenced for Drug ViolationsRead the Press Release
U.S. Attorney Kenneth A. Polite announced that DONNIE PITTMAN, age 52, of Bogalusa, was sentenced yesterday, having previously pled guilty to conspiracy to distribute and conspiracy to possess with intent to distribute cocaine hydrochloride and cocaine base and misprision of a felony.
U.S. District Judge Jay C. Zainey sentenced PITTMAN to 36 months incarceration and three years of supervised release.
On February 6, 2014, PITTMAN was one of 15 defendants charged in an 8-count indictment. According to court documents, the indictment was based on court-authorized wiretaps that recorded conversations between STEVEN HAYNES, who has pleaded guilty in this case, and the defendant, concerning the distribution of powder cocaine that was later converted to crack and sold in Washington and Tangipahoa Parishes.
U.S. Attorney Polite praised the work of the Drug Enforcement Administration, the Louisiana State Police, and Washington Parish Sherriff’s Office in investigating this matter. Assistant United States Attorney Michael E. McMahon is in charge of the prosecution.
Baltimore Man who Robbed Eight 7-Eleven Stores Sentenced to 20 Years in PrisonRead the Press Release
Robbed Eight 7-Eleven Stores in 18 Days
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Bryant Smith, age 26, of Baltimore, to 20 years in prison, followed by three years of supervised release, for robbery and using a gun in furtherance of the robbery.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Baltimore City State’s Attorney Gregg L. Bernstein; Baltimore Police Commissioner Anthony W. Batts; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
According to his plea agreement, from December 1 to 18, 2013, Smith and co-defendant John Robinson robbed eight 7-Eleven Stores using a loaded revolver. The stores were located in Baltimore on Boston Street, Holabird Avenue, West 33rd Street, Belair Road, Reisterstown Road, Harford Road, Frederick Road and Pulaski Highway. In each of the robberies, Robinson wore a mask and pointed the gun at the store employee, demanding money. Robinson or Smith, who was also masked, would take other items as well, such as cigarettes and lottery scratch-off tickets. On some occasions, Smith and/or Robinson would order the store employee to lie on the floor.
Co-defendant John Robinson, age 34, of Baltimore, was sentenced to 20 years in prison on August 1, 2014, on the same charges.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department; Baltimore City State’s Attorney’s Office, Baltimore County Police Department and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Bonnie S. Greenberg, who prosecuted the case.
Asbestos Removal Trainer Pleads Guilty to Sale of False CertificatesRead the Press Release
SAN DIEGO - United States Attorney Laura E. Duffy announced that Lachelle Rene Thrower pled guilty today to falsifying federal asbestos training certificates, admitting that over a four-year period she falsely certified over a hundred workers as being trained and qualified to safely remove asbestos.
According to court documents, Thrower was employed by an approved provider of asbestos removal training. Any student seeking to be accredited to remove asbestos was required to complete four, eight-hour days of training, and to pass a written examination. Thrower admitted that between May 14, 2010, and August 5, 2014, she falsely certified 100-150 training certificates for asbestos workers who did not actually attend the training courses or take the necessary exam. Thrower kept the money paid by the non-attending trainees, and falsified the certificates by using an electronic signature of the authorized trainer. Her false certifications caused her employer to falsely report to the EPA-delegated agency (Cal/OSHA) that certain individuals had attended the asbestos training and passed the exam. Thrower also admitted that when trainees did actually attend classes and paid in cash, defendant would keep this cash herself instead of providing it to her employer. All told, Thrower caused a financial loss to her employer of between $10,000 and $30,000.
Training for asbestos abatement professionals is required under the Asbestos Hazard Emergency Response Act of 1986 (AHERA), as well as the Toxic Substances Control Act (TSCA). Section 206(a) of TSCA prohibits any person from removing asbestos from schools and commercial buildings unless that person has been trained under an EPA-approved program, or a State program accredited by the EPA that has been found to be at least as stringent as the model program developed by the EPA. The EPA has accredited the asbestos training program of the State of California, administered by the Occupational Safety and Health Administration of the State (Cal/OSHA).
“Unsafe disposal of asbestos endangers human health. To ensure compliance with environmental laws and regulations, government agencies need accurate and truthful information,” said Jay M. Green, Special Agent in Charge of EPA's criminal enforcement program in California. “Workers and the public are at risk when proper asbestos remediation training is not conducted, while people like the defendant fraudulently and cynically line their pockets. Fortunately, Thrower’s employer has cooperated with investigators and has identified the falsified certificates for Cal/OSHA. Today’s guilty plea demonstrates, however, that those who try to make money by breaking the law will be prosecuted.”
FBI Special Agent in Charge, Eric S. Birnbaum, commented, “Because Ms. Thrower's employer expeditiously reported her criminal conduct to the FBI and the Cal OSHA, law enforcement was able to swiftly identify and prevent improperly credentialed asbestos workers from any asbestos removal employment. The FBI and our law enforcement partners will aggressively pursue those who jeopardize the public's health while satisfying their own greed.”
Thrower is scheduled to appear before United States District Court Judge Marilyn L. Huff on February 17, 2015, at 8:30 a.m. for sentencing.
DEFENDANTS Case Number: 14-CR-3485-H Lachele Rene Thrower Age: 44 San Diego, California CHARGESFalse Statements: Title 18, United States Code, Section 1001.
Maximum Penalty: 5 years in custody, the greater of a $250,000 fine or twice the illegal gain or loss, and a $100 penalty assessment.
INVESTIGATING AGENCYEnvironmental Protection Agency, Criminal Investigations Division
Federal Bureau of InvestigationArdmore/Davis Man Sentenced to 24 Months, $14 Million Restitution for Bank FraudRead the Press Release
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that W.A. MOORE, JR., a/k/a "Dub" Moore, age 75, of Ardmore, Oklahoma, formerly of Davis, Oklahoma, was sentenced to 24 months imprisonment for Bank Fraud, in violation of Title 18, United States Code, Section 1344. The defendant was also ordered to pay $14,698,660.98 in restitution.
The charge arose from an investigation by the United States Department of Agriculture and the Federal Bureau of Investigation.
MOORE pled guilty in February, 2014 to an Information alleging that from on or about October 1, 2009 and continuing through March, 31, 2011, in the Eastern District of Oklahoma, Defendant, W.A. MOORE, JR., a/k/a "Dub" Moore, devised a scheme and artifice to defraud First National Bank of Davis, a bank whose deposits were insured by the Federal Deposit Insurance Corporation, to wit: the defendant knowingly and fraudulently approved nominee loans for the benefit of bank customers in order to avoid the bank's legal lending limit.
The Honorable Ronald A. White, District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the sentencing. The defendant was ordered to report to the Bureau of Prisons on January 14, 2015.
Assistant United States Attorneys Melody Nelson and Tom Wright represented the United States.
Albuquerque Businessman Indicted on Federal Tax ChargesRead the Press Release
Owner of Sneakerz, Inc., an Albuquerque Sports Bar and Restaurant,
Charged with Evading Taxes and Filing False Tax ReturnsALBUQUERQUE – James E. Coleman, Jr., the president and owner of Sneakerz, Inc., a corporation that operates “Sneakerz Sports Bar” in Albuquerque, N.M., was arrested yesterday on federal tax charges, announced U.S. Attorney Damon P. Martinez and Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of IRS Criminal Investigation.
Coleman, 57, of Albuquerque, N.M., made his initial appearance in federal court this morning on a four-count indictment alleging tax evasion and subscribing false tax returns charges. Coleman remains in custody pending his arraignment on the indictment and a detention hearing which have yet to be scheduled.
Counts 1 and 2 of the indictment allege that Coleman evaded approximately $166,320.00 in federal taxes owed by his corporation to the United States in calendar years 2008 and 2009 by filing false tax returns that underrepresented his corporation’s taxable income. More specifically, Count 1 alleges that Coleman evaded approximately $90,661.00 in federal taxes by falsely claiming that his corporation had $621,064 in taxable income in calendar year 2008 despite knowing that the corporation had $886,128 in taxable income for that year. Count 2 alleges that Coleman evaded approximately $75,659.00 in federal taxes by falsely claiming that his corporation had $731,581.00 in taxable income in calendar year 2009 despite knowing that the corporation had $932,235.00 in taxable income for that year.
Counts 3 and 4 allege that Coleman subscribed filed individual tax returns for calendar years 2008 and 2009 that were materially false. Each of the charges alleges that Coleman’s tax returns falsely reported that Coleman received no dividend income and no business income during those two calendar years.
If convicted, Coleman faces a maximum statutory penalty of five years in federal prison on each of Counts 1 and 2, the tax evasion charges. Coleman faces a maximum statutory penalty of three years in federal prison if convicted on Counts 3 and 4, the subscribing false tax returns charges. Charges in indictments are merely accusations. Defendants are presumed innocent unless found guilty in a court of law.
This case was investigated by the Albuquerque office of IRS Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Jeremy Peña.
30-Year Prison Term for Turlock Sex OffenderRead the Press Release
FRESNO, Calif. — Chief United States District Judge Morrison C. England Jr. sentenced Jeffrey Randall Metcalfe, 47, of Turlock, to 30 years in prison, to be followed by a lifetime term of supervised release, for receiving and distributing child pornography, United States Attorney Benjamin B. Wagner announced.
According to court documents, agents received information that Metcalfe had used an Internet connection to create at least 17 accounts on a photo-sharing website. Metcalfe had posted numerous images to the site and made comments about his interest in child pornography. When a search warrant was executed at his residence on December 19, 2013, investigators found a computer that contained a screen saver with images of children being sexually exploited as well as thousands of printed and digital images of child pornography. Metcalfe admitted in a plea agreement that between January 2012 and December 1, 2013, he knowingly used a computer and the Internet to receive and distribute images of child pornography. He also admitted that on January 24, 2000, he had suffered a previous conviction in federal court in Fresno for possession of child pornography. He has been detained as a danger to the community and flight risk since his initial appearance in federal court on December 23, 2013.
“Tragically, this case is not unusual — it’s all too common for defendants in child sexual exploitation cases to reoffend,” said Michael J. Toms, the acting assistant special agent in charge who oversees HSI Fresno. “That’s why HSI and its law enforcement partners must remain vigilant. It’s the only way to protect our youth and ensure that individuals, like this defendant, are held accountable for their crimes.”
In sentencing, Judge England referenced the “extremely serious nature of the offense” and that this sentence was necessary to address the defendant’s “level of participation in the process” of the sexual exploitation of minors.
This case was the product of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), with assistance from the Turlock Police Department. Assistant U.S. Attorney David Gappa prosecuted the case.
It was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. Click on the “resources” tab for information about Internet safety education.
Tuesday 2 December 2014
U.S. Trustee Program Announces Successful Conclusion of Settlement with Citigroup Inc. to Protect Consumers’ Personal Information in Bankruptcy CasesRead the Press Release
Independent Auditor Finds Citigroup Properly Redacted
WASHINGTON – The U.S. Trustee Program (USTP) announced today that the independent auditor appointed under a nationwide settlement between the USTP and Citigroup Inc. (Citi) to protect the personal information of nearly 150,000 consumers in 85 jurisdictions has filed his final report, bringing the settlement to a successful conclusion.
Personal Information of Nearly 150,000 ConsumersUnder the settlement, Citi agreed to redact proofs of claim filed in bankruptcy cases nationwide in which the personal information of consumer debtors and third parties, including Social Security numbers and birthdates, had not been properly redacted by Citi as required by the bankruptcy rules. Also under the settlement, Citi agreed to notify all affected consumers and offer them one year of free credit monitoring and to change its internal practices and procedures so the redaction error does not recur. The settlement called for the appointment of a privacy expert to serve as independent auditor to review and certify the accuracy of the remediation process.
“It is important for creditors and other parties who file documents in consumer bankruptcy cases to understand their legal duty to protect certain personal information, and to take corrective action when they have not done so,” stated Executive Office for U.S. Trustees Director Cliff White. “This settlement helps to ensure that a bankruptcy filing does not make a consumer’s privacy protected information vulnerable to misuse by wrongdoers.”
Settlement Resolved U.S. Trustee’s Objection
The settlement resolved the U.S. Trustee’s objection to a motion filed by Citi admitting that personal information that should have been redacted under bankruptcy court rules had not been properly redacted when Citi’s subsidiaries filed bankruptcy proofs of claim seeking payment of amounts allegedly owed by debtors. The U.S. Trustee had objected to Citi’s motion because it did not provide public notice of the nationwide scope of the breach or mandate a verifiable solution to correct the problem and prevent its recurrence. The settlement between the U.S. Trustee and Citi was approved by the U.S. Bankruptcy Court for the Southern District of New York on March 13, 2012.
During the verification process mandated by the settlement, Citi discovered additional improperly redacted proofs of claim. Consequently, Citi prepared a plan of corrective action to include the redaction of approximately 50,000 additional bankruptcy filings. The U.S. Trustee also expanded the auditor’s duties to include a review and certification of Citi’s redaction policies and procedures to safeguard consumers and prevent recurrence of the redaction error.In his report filed with the bankruptcy court on December 1, 2014, independent auditor Eric Dieterich of Sunera LLC concluded that Citi satisfied the requirements of the settlement and related corrective action plans. The auditor also concluded that, as required by the settlement, Citi instituted policies and procedures for future filings that are reasonably calculated to prevent recurrence of the redaction error.
The auditor’s final report is filed in In re Matter of Citi Replacement Filings, No. 11-00405 (Bankr. S.D.N.Y.).
The USTP is the component of the Department of Justice that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws.
Contact:Jane Limprecht, Public Information Officer
Executive Office for U.S. Trustees
(202) 305-7411- Two South Texas Men Arrested for Conspiracy to Traffic Marijuana and Money Laundering
Two Sentenced on Firearms ChargesRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistMARTINSBURG, WEST VIRGINIA – Two West Virginia residents were sentenced in federal court on firearms charges, United States Attorney William J. Ihlenfeld, II, announced today.
Shaquille Montel Robinson, 23, of Ranson, West Virginia, was sentenced to 37 months in prison for unlawful possession of a firearm. Robinson was previously convicted in October 2012 of the felony offenses of “Wanton Endangerment” and “Unlawful Assault” in the Circuit Court of Jefferson County, West Virginia. As a result of that conviction, he was prohibited from possessing a firearm. During a March 2014 investigation by the Ranson Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives, Robinson was discovered in possession of a 9mm pistol and ten rounds of 9mm ammunition. He pled guilty in August 2014 to one count of "Felon in Possession of /Firearm and Ammunition."
Jeff Chaney, 36, of Romney, West Virginia, was sentenced to twelve months and one day in prison. An investigation by the Hampshire County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives revealed that Chaney knowingly sold three rifles to a convicted felon while operating an antiques and collectibles store without a Federal Firearms License. He pled guilty in August 2014 to one count of "Sale and Transfer of Firearm to a Prohibited Person - Aiding and Abetting."
Assistant U.S. Attorney Jarod Douglas prosecuted Robinson and Assistant U.S. Attorney Paul Camilletti prosecuted Chaney on behalf of the government.
U.S. District Judge Gina M. Groh presided.
Two Sentenced for Cocaine TraffickingRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistMARTINSBURG, WEST VIRGINIA – A Maryland man and a Martinsburg, West Virginia resident were sentenced for cocaine trafficking, United States Attorney William J. Ihlenfeld, II, announced today.
Patrice Dominique Stephens, 34, of Westernport, Maryland, was sentenced to 60 months in prison for selling cocaine near Keyser, West Virginia. He pled guilty in August 2014 to one count of "Distribution of Cocaine” following an investigation by the Potomac Highlands Drug and Violent Crime Task Force.
Walter Evans, 43, of Martinsburg, West Virginia, was sentenced to twelve months in prison after he was discovered in possession of crack cocaine in October 2012 near Berkeley County, West Virginia. He pled guilty in August 2014 to one count of "Possession with Intent to Distribute Cocaine Base" following an investigation by the West Virginia State Police and the U.S. Drug Enforcement Administration.
Assistant U.S. Attorney Jarod Douglas prosecuted Stephens and Assistant U.S. Attorney Paul Camilletti prosecuted Evans on behalf of the government.
U.S. District Judge Gina M. Groh presided.Two Men Admit Participation in Check Fraud RingRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that two men involved in a check fraud ring have pleaded guilty in Hartford federal court. BENJII CARR, also known as Rodrick Lawon Davis, 39, of New Haven and North Carolina, pleaded guilty today to one count of conspiracy to commit bank fraud. LANGSTON XAVIER NEAL, 37, of Charlotte, North Carolina, pleaded guilty to the same charge yesterday.
According to court documents and statements made in court, between July 2010 and May 2011, CARR, NEAL and Brandon Key Bentley obtained stolen checks, recruited “runners” who cashed the checks, and altered the checks to list the runners as the lawful payees. The three individuals drove the runners to several Connecticut bank branches and directed them to enter the banks and cash the checks. The runners were paid a small part of the cash proceeds. Through this scheme, 39 checks totaling $114,102.34 were altered and presented to banks, and 37 of those checks totaling $104,070.94 were cashed by the banks.
On September 9, 2014, Bentley, 31, of New Haven, also pleaded guilty to one count of conspiracy to commit bank fraud.
CARR, NEAL and Bentley are scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant in February 2015. Each defendant faces a maximum term of imprisonment of 30 years and a fine of up to $1 million.
This matter has been investigated by the U.S. Postal Inspection Service, along with the Connecticut Financial Fraud Task Force and the Branford, Madison, Middlebury, Milford, New Britain, New Haven, New Milford, North Branford, Waterbury, Woodbridge and Southbury Police Departments. U.S Attorney Daly also acknowledged the cooperation and assistance of the State’s Attorney’s Offices for the Judicial Districts of New Haven, Waterbury, Fairfield and Tolland. The case is being prosecuted by Assistant U.S. Attorney Henry K. Kopel.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Two Members of Laguna Pueblo Sentenced for Convictions Arising Out of Drive-By Shooting of Acoma Pueblo HomeRead the Press Release
ALBUQUERQUE – Two members of Laguna Pueblo were sentenced this morning in federal court for assault convictions arising out of the drive-by shooting of an Acoma Pueblo home. Preston Chino, 22, and Cameron Joseph Kasero, 21, were each sentenced to 96 months in federal prison followed by three years of supervised release.
Chino and Kasero, together with co-defendants Andrea Carrillo, 22, and Joseph Edward Lucero, 25, were indicted on assault and firearms offenses in July 2013. The indictment alleged that the quartet assaulted two men and a woman on Dec. 9, 2012, by discharging firearms at a residence located in Acoma Pueblo in Cibola County, N.M.
Chino entered a guilty plea on Aug. 27, 2014, to an assault charge, and admitted aiding Kasero and Lucero in assaulting the three victims by providing them with shotguns and ammunition. He also admitted driving his co-defendants to the victims’ Acoma Pueblo home where they discharged the shotguns multiple times in the direction of the residence.
Kasero entered a guilty plea to an assault charge on Sept. 2, 2014. During his plea hearing, Kasero admitted assaulting the victims by discharging a shotgun at a residence while it was occupied by the victims.Carrillo also pled guilty to an assault charge on Sept. 2, 2014, and admitted aiding the assault on the victims by providing her co-defendants with directions to the residence with the understanding that her co-defendants intended to commit an assault at that location. Carrillo is scheduled for sentencing on Jan. 20, 2015, when she faces a statutory maximum penalty of ten years in prison.
Lucero entered a guilty plea to an assault charge on Sept. 9, 2014, and admitted repeatedly discharging a weapon at the victims’ residence. Under the terms of his plea agreement, Lucero will be sentenced to a prison term within the range of 72 to 96 months. Lucero’s sentencing hearing is scheduled for Dec. 9, 2014.This case was investigated by the Albuquerque office of the FBI, the Laguna/Acoma Agency of the BIA’s Office of Justice Services, the Acoma Pueblo Tribal Police and the Pueblo of Laguna Tribal Police Department. Assistant U.S. Attorney Kyle T. Nayback is prosecuting the case.
Two Hagerstown, Maryland Men Sentenced for Heroin TraffickingRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistMARTINSBURG, WEST VIRGINIA – Delano Alan Butler, 34, and his father, Alan Ira Butler, 58, both of Hagerstown, Maryland, were sentenced for selling heroin near Martinsburg, West Virginia, United States Attorney William J. Ihlenfeld, II, announced today.
Delano Butler was sentenced to 100 months in prison. He pled guilty in August 2014 to one count of "Distribution of Heroin.” Alan Butler, was sentenced to 37 months in prison. He pled guilty in August 2014 to one count of "Aiding and Abetting Distribution of Heroin." The Washington County/Drug Enforcement Administration Hagerstown, Maryland Task Force and the Eastern Panhandle Drug and Violent Crime Task Force, a HIDTA-funded initiative, investigated.
In another matter, Dennis Dwayne Butts, 38, of Martinsburg, West Virginia, was sentenced to 24 months in prison for selling heroin. He pled guilty in September 2014 to one count of "Distribution of Heroin."
Assistant U.S. Attorney Jarod Douglas prosecuted Delano and Alan Butler and Assistant U.S. Attorney Paul Camilletti prosecuted Butts on behalf of the government.
U.S. District Judge Gina M. Groh presided.
Three Plead Guilty in Gambling Case and Forfeit $20 MillionRead the Press Release
Contact Person: Bill Watkins (864) 282-2100
Columbia, South Carolina ---- United States Attorney Bill Nettles stated today that Bobby Mosley, Sr., age 63, of Townville, South Carolina; J. Michael Caldwell, age 42, of Williamston, South Carolina; and Frontier Software Systems, LLC, pled guilty today in federal court in Greenville. Mosley pled guilty to operating an illegal gambling business in violation of 18 U.S.C. § 1995; Caldwell pled guilty to serving as an accessory after the fact to transportation of gambling machines in interstate commerce in violation of 18 U.S.C. § 3; and Frontier Software Systems, LLC, pled guilty to a money laundering conspiracy in violation of 18 U.S.C. § 1956(h). United States District Judge Bruce Howe Hendricks of Greenville accepted the guilty pleas from all three defendants and entered an order of forfeiture whereby the defendants agree to forfeit $20 million to the United States that was derived from criminal activities.
According to the plea agreements and other documents filed in the case, in addition to the three convictions and $20 million forfeiture, the gambling business must move its headquarters out of the District of South Carolina and is banned from engaging in software design, development, or shipment of gambling machines or software in or from the District of South Carolina. The plea agreements recommend probationary sentences for the Defendants and the dismissal of the remaining corporate defendants.
The evidence presented at the change of plea hearing established that Bobby Mosley, Sr. owned a gambling business that was headquartered in Piedmont, South Carolina. In October 2013, federal search and seizure warrants were executed where agents seized several hundred gambling machines and other evidence. South Carolina Code Section 12-12-2710 prohibits the possession of gambling machines in the state of South Carolina. Three hundred and sixteen of the machines seized were “old-fashioned” or “stand-alone” video-poker-type gambling machines. The machines are constructed so that a customer inserted cash directly into the machine, chose the amount of the bet, and watched the electronic simulation of slot machine reels. Once the customer finished playing, and, if the customer won, the machine printed a slip of paper that the customer took to the cashier. The cashier paid the customer in cash. Mosley’s gambling business then split its winnings with the gambling parlor where the machine was operated. Caldwell assisted Mosley in moving these illegal machines in interstate commerce.
Frontier Software Systems, LLC, and others combined to conduct a series of financial and monetary transactions involving the proceeds from the illegal gambling business. Operators of gambling establishments that used Frontier’s software would pay a percentage of the operational net revenue from the gambling activity. Frontier would then use this money to further the gambling business by purchasing, for example, gambling equipment and/or cabinetry through vendors.
The case was investigated by agents of the United States Secret Service, Internal Revenue Service, and various state and local law enforcement agencies. Assistant United States Attorney Bill Watkins and Max Cauthen of the Greenville office handled the case.Three Plead Guilty to Drug, Gun ChargesRead the Press Release
CHARLOTTESVILLE, VIRGINIA – The first three of nine defendants charged with federal drug distribution conspiracy charges pled guilty today in the United States District Court for the Western District of Virginia in Charlottesville.
James Alexander Clore, 23, of Culpeper, Va., Renee Harris, 43, of Charlottesville, Va. and Marcus Lee Strother, 23, of Culpeper, Va., were indicted in August 2014, along with six other individuals, on charges related to a conspiracy to distribute cocaine and heroin.
“Mr. Clore, an armed drug dealer, along with Ms. Harris and Mr. Strother, imported and sold large amounts of crack cocaine and heroin, endangering the health and safety of our community,” United States Attorney Timothy J. Heaphy said today. “Because of the effective work of a multi-agency team of investigators, their illegal business has been dismantled and our safety enhanced.”
Today in District court, Clore pled guilty to one count of conspiring to distribute and possess with the intent to distribute 280 grams or more of crack cocaine, one count of conspiring to distribute and possess with the intent to distribute heroin and one count of possessing and using firearm in furtherance of a drug trafficking crime.
Also today in District Court, Strother pled guilty to one count of conspiring to distribute and possess with the intent to distribute crack cocaine, one count of conspiring to distribute and possess with the intent to distribute heroin. Harris pled guilty to a lesser offense of conspiring to distribute and possess with the intent to distribute crack cocaine.
According to a statement of facts proffered today in court by the United States, during the summer of 2013, several individuals living in the Culpeper area organized and established themselves along with individuals from Charlottesville for the purpose of selling crack cocaine, heroin and firearms. The group came to the attention of law enforcement in late 2013 and was known informally as “Culpeper & Associates.” Clore has been identified by law enforcement as the “second in charge” and “right hand man” in Culpeper and Associates.
In December 2013, law enforcement believes a rival group, known informally as “South First Street,” stole a gun from a vehicle owned by a member of Culpeper and Associates. The suspected robbery set off a series of four different shootings between the two groups during the months of December 2013, February 2014, April 2014 and May 2014. Due to the threat to public safety, the Jefferson Area Drug Enforcement Task Force (JADE), the Federal Bureau of Investigation and the Drug Enforcement Administration immediately began an investigation into the activities of each group.
The investigation established that beginning in January 1, 2013, members of Culpeper and Associates were involved in the trafficking of narcotics and firearms, multiple shootings and the establishment and maintenance of a drug involved premises at 366 Riverside Avenue, an apartment within the City of Charlottesville and within 1,000 feet of Riverview Park.
At sentencing, Clore faces a maximum possible penalty of up to life in prison and/or a fine of up to $10 million on the cocaine conspiracy charge and a maximum possible penalty of up to 20 years in prison and/or a fine of up to $1 million on the heroin conspiracy charge. Clore also faces a mandatory five years in prison on the gun charge. Harris and Strother each face up to 20 years in prison and/or a fine of up to $1 million on the cocaine conspiracy charge. Strother also faces up to 20 years in prison and/or a fine of up to $1 million on the heroin conspiracy charge.
The investigation of the case was conducted by the Jefferson Area Drug Enforcement Task Force, the Charlottesville Police Department, the Albemarle County Police Department, the Federal Bureau of Investigation, the Drug Enforcement Administration, the Culpeper Police Department and the Commonwealths Attorney’s Offices for the City of Charlottesville and the County of Albemarle. Special Assistant United States Attorneys Joseph Platania and Assistant United States Attorney Ronald Huber, with the assistance of third-year University of Virginia Law student Sarah Brigham, are prosecuting the case for the United States.
The Executive Office for Immigration Review Announces New Administrative Law JudgeRead the Press Release
FALLS CHURCH, Va. - The Executive Office for Immigration Review (EOIR) today announced the appointment of Stacy Stiffel Paddack as an administrative law judge (ALJ). ALJs at EOIR hear immigration-related employment cases in the Office of the Chief Administrative Hearing Officer (OCAHO), and do not hear removal cases in the immigration courts.
“We are excited to have Administrative Law Judge Paddack join our team and fill this critical position,” said Chief Administrative Hearing Officer Robin M. Stutman. “Her arrival will increase OCAHO's capacity to adjudicate employer sanctions and anti-discrimination cases, thereby expediting the recovery of worksite enforcement fines and remediation of illegal immigration-related employment discrimination.”
Biographical information follows.
Stacy Stiffel Paddack, Administrative Law Judge
Stacy Stiffel Paddack was appointed as an administrative law judge (ALJ) for the Office of the Chief Administrative Hearing Officer (OCAHO), Executive Office for Immigration Review (EOIR), in December 2014. Judge Paddack received her bachelor of arts degree in 1989 from the University of Texas at Austin, a master of arts degree in 1994 from the School of International Service at American University, and a juris doctorate in 1997 from American University's Washington College of Law. From 2010 to 2014, Judge Paddack served as an ALJ for the Office of Disability Adjudication and Review, Social Security Administration, in Tallahassee, Fla., where she became the acting chief ALJ. From 2003 to 2010, she served as a senior litigation counsel in the Office of Immigration Litigation, Civil Division, Department of Justice. From 1998 to 2003, Judge Paddack served as an attorney advisor for EOIR's Board of Immigration Appeals and OCAHO, entering on duty through the Attorney General's Honors Program. Prior to 2003, Judge Paddack also served as an adjunct instructor in the Legal Rhetoric Program at American University's Washington College of Law. Judge Paddack is a member of the Maryland State Bar.
- EOIR -
The Executive Office for Immigration Review (EOIR) is an agency within the Department of Justice. Under delegated authority from the Attorney General, immigration judges and the Board of Immigration Appeals interpret and adjudicate immigration cases according to United States immigration laws. EOIR’s immigration judges conduct administrative court proceedings in immigration courts located throughout the nation. They determine whether foreign-born individuals—whom the Department of Homeland Security charges with violating immigration law—should be ordered removed from the United States or should be granted relief from removal and be permitted to remain in this country. The Board of Immigration Appeals primarily reviews appeals of decisions by immigration judges. EOIR’s Office of the Chief Administrative Hearing Officer adjudicates immigration-related employment cases. EOIR is committed to ensuring fairness in all of the cases it adjudicates.
Tampa Man Pleads Guilty During Jury Selection in Stolen Identity Refund CaseRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces that James Lee Cobb, III has pleaded guilty to conspiracy to commit mail and wire fraud, five counts of wire fraud, five counts of aggravated identity theft, and one count of being a felon in possession of a firearm as an Armed Career Criminal. Cobb faces a maximum penalty of up to 20 years in federal prison for each of the conspiracy and wire fraud charges, 2 years for each aggravated identity theft charge, and a minimum mandatory of 15 years, up to life, in federal prison on the firearm charge. Sentencing is scheduled for February 27, 2015.
According to court testimony, Cobb conspired with others to use more than 7,000 stolen names, dates of birth, and Social Security numbers to file false tax returns and open pre-paid debit cards. He also obtained “burner” phones using stolen identities. From an unknown date in 2011, and continuing through November 2013, Cobb and his co-conspirators filed false tax returns claiming approximately $3 million in refunds.
During the execution of a search warrant at Cobb’s residence, law enforcement officers recovered lists and medical records containing the personal identifying information of more than 7,000 victims. Many of the victims had their identities stolen from healthcare facilities, including from the James A. Haley VA hospital; the Florida Hospital (formerly known as University Community Hospital); ambulance services in Virginia, Georgia, and Texas; a local medical billing company; and court records. In addition, a number of deceased victims’ names were obtained from a genealogy website.
Officers also found two guns in the residence – a loaded handgun and an AR-15-style rifle with a fully-loaded 30-round magazine. At the time of this offense, Cobb was on supervised release from a prior federal firearm conviction.
This case was investigated by the Tampa Police Department, the Internal Revenue Service - Criminal Investigation, the U.S. Department of Veterans Affairs’ Office of Inspector General, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and members of the Tampa Bay Identity Theft Alliance, including the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Thomas N. Palermo and U.S Department of Justice Trial Attorney Timothy P. Loper of the Criminal Division’s Fraud Section.