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Friday 21 November 2014
Monroe Man Sentenced to 10 years for Firearm and Drug ConvictionsRead the Press Release
Contact: Andrew McCormack
Assistant United States Attorney
Tel: (207) 945-0373Bangor, Maine: United States Attorney Thomas E. Delahanty II announced that James
F. Ford, 59, of Monroe, was sentenced in U.S. District Court by Chief Judge John A.
Woodcock, Jr. to 10 years in prison, to be followed by 8 years of supervised release for
conspiracy to manufacture marijuana, manufacturing marijuana, maintaining a drug involved
premises, and being a felon in possession of a firearm. Ford was found guilty after a jury trial on
November 21, 2013.Court proceedings revealed that in November 2011 a search warrant was executed at the
defendant’s home in Monroe where agents found a large and sophisticated indoor marijuana
growing operation and two rifles. Trial evidence revealed that the defendant and other family
members conspired to grow hundreds of marijuana plants at the residence. The defendant, a
convicted felon, also illegally possessed the two rifles found at the residence.The investigation was conducted by the Maine Drug Enforcement Agency, the Bureau of
Alcohol Tobacco and Firearms, the Waldo County Sheriff’s Office and the Maine State Police.Mission Man Sentenced for Assaulting A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of Assaulting, Resisting, Opposing, and Impeding a Federal Officer was sentenced on November 17, 2014, by U.S. District Judge Roberto A. Lange.
Logan Lafferty, age 28, was sentenced to time served, 18 months of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Lafferty was indicted by a federal grand jury on April 22, 2014, and pled guilty to the charge on August 28, 2014.
The conviction arose from a March 8, 2014, incident when a Rosebud Sioux Tribe Law Enforcement Services (RSTLES) Officer attempted to stop Lafferty’s vehicle for speeding. Lafferty refused to stop, resulting in a long pursuit that included speeds of over 110 miles per hour and involved several RSTLES Officers. When one of the officers attempted to pull alongside Lafferty to stop his vehicle, Lafferty swerved into the officer’s path and obstructed the officer from passing him safely. Lafferty used his vehicle as a dangerous weapon to assault, resist, oppose, and impede the officer.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Tim Maher.
Mission Man Sentenced for Assaulting A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of Assaulting, Resisting, Opposing, and Impeding a Federal Officer was sentenced on November 17, 2014, by U.S. District Judge Roberto A. Lange.
Logan Lafferty, age 28, was sentenced to time served, 18 months of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Lafferty was indicted by a federal grand jury on April 22, 2014, and pled guilty to the charge on August 28, 2014.
The conviction arose from a March 8, 2014, incident when a Rosebud Sioux Tribe Law Enforcement Services (RSTLES) Officer attempted to stop Lafferty’s vehicle for speeding. Lafferty refused to stop, resulting in a long pursuit that included speeds of over 110 miles per hour and involved several RSTLES Officers. When one of the officers attempted to pull alongside Lafferty to stop his vehicle, Lafferty swerved into the officer’s path and obstructed the officer from passing him safely. Lafferty used his vehicle as a dangerous weapon to assault, resist, oppose, and impede the officer.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Tim Maher.
Mission Man Pleads Guilty to Assault Resulting in Serious Bodily InjuryRead the Press Release
United States Attorney Brendan V. Johnson announced that Vernon Robert Schmidt, Jr., a/k/a Sonny Bob Schmidt, age 29, of Mission, South Dakota, appeared before U.S. District Judge Roberto A. Lange on November 17, 2014, and pled guilty to Assault Resulting in Serious Bodily Injury.
The maximum penalty upon conviction is 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and a $100 assessment to the Federal Crime Victims Fund.
The charge stems from a May 26, 2014, incident in Mission, when Schmidt pointed a pistol at the victim during an argument. Schmidt was brandishing the weapon when it discharged and went off. A slug from the weapon hit the victim in the chest and neck area, causing the victim serious bodily injury.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case is being prosecuted by Assistant U.S. Attorney Tim Maher.
A presentence investigation was ordered, and a sentencing date was set for February 2, 2015.
Schmidt was remanded to the custody of the U.S. Marshals Service pending sentencing.
Minnesota Sex Offender Pleads Guilty to Traveling to Tampa to Engage in Sexual Activity with A MinorRead the Press Release
Tampa, FL – United States Attorney A. Lee Bentley, III announces that Matthew William McLean (25, Minneapolis) pleaded guilty yesterday to attempted transportation of a minor with the intent to engage in criminal sexual activity and committing a felony sex offense by a registered sex offender. He faces a mandatory minimum term of 20 years, up to a maximum penalty of life in federal prison. A sentencing date has not yet been set.
McLean was indicted on September 10, 2014.
According to the plea agreement, McLean, a registered sex offender from Minnesota, traveled to Tampa to meet a 14-year-old female with whom he was communicating over the Internet. McLean picked the minor up from her house, brought her to the Greyhound bus station, and purchased two bus tickets to Brownsville, Texas. Upon discovering that the minor was missing, her family contacted law enforcement who determined that McLean and the minor were on a Greyhound bus that had stopped in Tallahassee. Law enforcement officers recovered the minor victim and arrested McLean. McLean and the minor admitted that they had engaged in sex acts on the bus while traveling from Tampa to Tallahassee.
This case was investigated by the Hillsborough County Sheriff’s Office, the Tallahassee Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Stacie B. Harris.
It was another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
- Mexican National Gets Nine Years for Marijuana Conviction and Related Assault of Federal Officer
Meridian Woman Sentenced for Bank RobberyRead the Press Release
COEUR D'ALENE - Jennifer Lillian Balfe, 19, of Meridian, Idaho, was sentenced yesterday to 27 months in prison for bank robbery, U.S. Attorney Wendy J. Olson announced. Balfe was indicted by a federal grand jury in Coeur d'Alene on May 20, 2014.
U.S. District Judge Edward J. Lodge also ordered the defendant serve three years of supervised release and to pay restitution to the three banks she robbed with her accomplice, Ricky Allen Fisher. Balfe drove the get- away vehicle during a robbery of the U.S. Bank in Cottonwood, Idaho and two banks in Ontario, Oregon.
The case was investigated by the Cottonwood Police Department, Lewiston Police Department, Idaho County Sheriff’s Office, Nez Perce County Sheriff’s Office, and the Federal Bureau of Investigation (FBI).
Meriden Man Who Stole Social Security Disability Benefits, Filed False Tax Returns, Is SentencedRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JOSEPH LUCA, 68, of Meriden, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to four years of probation, the first six months of which LUCA must spend in home confinement with electronic monitoring, for stealing Social Security benefits and filing false tax returns. LUCA also was ordered to perform 80 hours of community service.
According to court documents and statements made in court, in April 1993, LUCA applied for Social Security Disability Insurance (“SSDI”) claiming that he was disabled and unable to work. From January 2002 through April 2011, LUCA regularly reported to the Social Security Administration, under the penalty of perjury, that he remained unable to work and he reported no earned income. In fact, during this time, LUCA earned more than $1,000 per month from his work as a hairdresser at a beauty salon he owned and operated. LUCA was not entitled to SSDI payments during this entire period because his earnings exceeded the SSA monthly substantial gainful activity limit.
An undercover investigation revealed that LUCA typically opened his beauty salon in the morning from Tuesday to Saturday each week, cut and styled his clients’ hair throughout the day in exchange for payment, and then locked up the salon at night. Throughout the day, he stood while he worked without the assistance of a cane or similar device, and also carried and lifted items using his body and arms. During the investigation, LUCA told an undercover agent who was posing as a client that he had been styling hair for 45 years.
Based on LUCA’s false representations that he was disabled, unable to work, and reported no income, the Social Security Administration paid him, as well as his children as auxiliary beneficiaries, a total of $122,332 that he and his children were not entitled to receive.
In May 2011, the Social Security Administration terminated LUCA’s SSDI benefit payments.
LUCA also willfully signed and filed federal tax returns for the 2006 through 2009 tax years that failed to report a total of more $675,000 in additional taxable income. On each of these four tax returns, LUCA reported a loss and no tax due. The investigation determined that LUCA did not report his receipt of income from various sources, including rental real estate, work as a private investigator, interest on bank accounts, SSDI payments he was not entitled to receive, and capital gains on rental properties.
On his 2006 federal tax return alone, LUCA failed to report approximately $299,674 in additional income, with a tax due in the amount of $36,687.
Judge Shea ordered LUCA to pay $122,332 in restitution to the Social Security Administration, and $64,093 in back taxes, plus penalties and interest.
On July 11, 2014, LUCA waived his right to indictment and pleaded guilty to one count of stealing government money and one count of filing a false federal tax return.
This matter was investigated by the Internal Revenue Service – Criminal Investigation Division, and the Social Security Administration, Office of Inspector General – Office of Investigations. The case was prosecuted by Assistant U.S. Attorney Peter S. Jongbloed.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Massachusetts Dentist Pleads Guilty to Tax EvasionRead the Press Release
A Douglas, Massachusetts, dentist pleaded guilty to tax evasion in the U.S. District Court for the District of Massachusetts, announced the Department of Justice.
George Fenzell was indicted in February 2014 by a federal grand jury in Boston on multiple counts of tax evasion and one count of corruptly endeavoring to obstruct the Internal Revenue Service (IRS). He pleaded Friday before U.S. District Judge Timothy S. Hillman and faces a statutory maximum sentence of five years in prison and a $250,000 fine for tax evasion at his Feb. 18 sentencing.
According to the indictment, from 1999 through 2012, Fenzell engaged in conduct intended to obstruct the IRS from computing, assessing and collecting his income taxes. He failed to file timely tax returns with the IRS and tried to conceal income he earned from his dental practice. Fenzell’s dental offices are located in Shrewsbury, Massachusetts, and Brookline, New Hampshire. The indictment alleges that Fenzell used nominee entities, including River Valley Dental and Brookline Dental Associates Trust, to divert and conceal his dental business receipts and assets. He also allegedly used multiple bank accounts in three separate states, including commingled bank accounts maintained by third parties, to conceal his ownership of his income and assets. It is further alleged that Fenzell used nominee trustees to make it appear as if other individuals owned and controlled his assets and income. Fenzell titled and registered a Lincoln Navigator and Ducati motorcycle with a nominee entity, Smiling Trust. According to the indictment, Fenzell falsified his 2006 and 2007 tax returns that were filed late in 2009, and made extensive use of cash in order to conceal his fraud from the IRS.
The indictment further alleges that in 2007, in response to a Massachusetts Department of Revenue investigation and collection action, Fenzell filed his delinquent federal tax returns for 2000 through 2005. In those returns, Fenzell admitted that he owed federal income taxes for these years in the amount of approximately $129,841, which he failed to pay. Rather than pay these taxes and additional IRS interest and penalties, between 2007 and 2012, Fenzell allegedly sought to evade IRS collection efforts by making his business receipts payable to nominee entities and used nominee bank accounts in Florida and Rhode Island to divert and hide his income and assets. During the same period, Fenzell also failed to file his tax returns for 2008 through 2011.
This case was investigated by special agents of the IRS-Criminal Investigation. It is being prosecuted by Assistant Chief John N. Kane Jr. and Trial Attorney Thomas Koelbl of the Justice Department’s Tax Division.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website. Additional information about tax fraud schemes to watch out for may be found on the IRS-Criminal Investigation website.
Luzerne County Residents Arrested for Distribution of "Bath Salts", Alpha-PVPRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced today the unsealing of an indictment of seven Luzerne County residents on charges relating to the unlawful distribution of bath salts.
According to United States Attorney Peter Smith, the following persons were taken into custody:
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- David Folweiler, 27 of West Pittston
- Alan Folweiler, 21 of West Pittston
- John Pearce, 29 of West Pittston
- Frank Xavier Brennan, 33 of Kingston
- Maura Kathio, 25 of Yatesville
- Tiffany Pradel, 30 of Pittston Township
- Marguerita Ann Davis, 59 of Pittston
The defendants were indicted by a federal grand jury in Scranton in August 2014 for their alleged participation in a bath salts trafficking and distribution ring led by Todd Morgans. Morgans was arrested in July 2013, pled guilty and was sentenced to 135 months in federal prison in September 2014. The indictment was sealed pending the arrest of the defendants.
David Folweiler, Alan Folweiler, Mauro Kathio, and Margherita Davis were arrested on November 12, 2014, and subsequently appeared before Magistrate Judge Thomas M. Blewitt David Folweiler was ordered detained pending trial. The others were released on bail with conditions.
John Pearce and Tiffany Pradel were arrested on November 14, 2014. They appeared before Magistrate Judge Thomas M. Blewitt on November 17, 2014. Pearce and Pradel were ordered detained pending trial.
Frank Xavier Brennan surrendered to agents today and appeared before Magistrate Judge Thomas M. Blewitt. Brennan was released on bail pending trial.
The maximum sentence for the offense is imprisonment for 20 years, a fine of $1,000,000 and supervised release for a period of at least 3 years.
This case was the result of a joint investigation between the Department of Homeland Security (DHS), Homeland Security Investigations (HSI), the Pennsylvania State Police, The United States Postal Inspection Service and the West Pittston, Jenkins Township, and the Pittston City Police Departments.
Bath salts are synthetic drugs which are analogues of controlled substances prohibited under federal statutes. A controlled substance analogue is a drug which has not been scheduled under The Controlled Substances Act but has a similar chemical structure and a similar stimulant or hallucinogenic effect on a person’s central nervous system. Such controlled substance analogues are treated as if the substance were the scheduled drug for prosecution and sentencing purposes.
Prosecution is assigned to Assistant United States Attorney Francis P. Sempa.
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Lower Brule Man Sentenced for Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man convicted of Sexual Abuse of a Minor was sentenced on November 17, 2014, by U.S. District Judge Roberto A. Lange.
Daniel Berry, age 25, was sentenced to 22 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Berry also needs to register as a sex offender.
Berry was indicted by a federal grand jury on April 15, 2014. He pled guilty on September 11, 2014.
The conviction stems from an incident that happened between January 1, 2012, and January 31, 2012, when Berry, who was having a party at his house, had sexual intercourse with an underage female victim.
This case was investigated by the Bureau of Indian Affair, Lower Brule Agency. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Berry was immediately turned over to the custody of the U.S. Marshals Service.
Lower Brule Man Charged with Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Johnny Lunderman, age 31, was indicted on November 13, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on November 18, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, at least 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
Lunderman was previously convicted of a sex offense that required him to register as a sex offender, and he signed paperwork acknowledging that requirement. The Indictment alleges that between October 7, 2014, and October 17, 2014, Lunderman moved and failed to change and update his sex offender registration as required by law.
The charge is merely an accusation and Lunderman is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Tim Maher is prosecuting the case.
Lunderman was remanded to the custody of the U.S. Marshals Service pending trial. No trial date has been set.
Lower Brule Man Charged with AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man has been indicted by a federal grand jury for Assault by Strangulation and Suffocation, and Assault Resulting in Substantial Bodily Injury to an Intimate Partner.
Cameron LaRoche, age 37, was indicted on November 13, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on November 18, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and up to $200 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about August 21, 2014, LaRoche unlawfully assaulted his intimate partner by strangling and suffocating her, as well as committed a domestic assault on her, which resulted in substantial bodily injury.
The charges are merely accusations and LaRoche is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
LaRoche was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Letter Carrier Sentenced to 15 Years in Prison for Plotting Robbery of Fellow Postal WorkerRead the Press Release
ATLANTA - LaTonya Evans, a former United Stated Postal Service employee, has been sentenced to federal prison for participating in a conspiracy that culminated in the robbery and shooting of a postal truck driver on December 20, 2013, in Conley, Ga.
“By providing her co-defendants with inside information, Evans enabled a robbery that nearly killed her co-worker,” said United States Attorney Sally Quillian Yates. “Evans used her knowledge of the Postal Service for personal gain and violated the trust of the public and her fellow postal workers.”
“The safety and security of Postal Service employees is core to the mission of the Postal Inspection Service. Postal Inspectors are committed to bringing to justice those who commit violent crimes against postal employees.” said Thomas Noyes, Postal Inspector in Charge of the Charlotte Division.
According to United States Attorney Yates, the indictment, and other information presented in court: LaTonya Evans helped develop a scheme, with co-defendants Kendrick Watkins and Charles Jackson, to rob a postal truck driver. During phones calls and face-to-face meetings, Evans provided Watkins and Jackson with non-public information that enabled them to commit the robbery. On December 20, 2013, during a routine pick-up in Conley, Ga., Jackson and Watkins approached the postal truck they had targeted and demanded keys from the driver. When the victim did not immediately comply, Jackson shot the victim through the torso, nearly taking his life. The robbers bound the victim’s feet and took his cell phone so that he could not run or call for help. Jackson and Watkins drove away with the stolen truck, and all its contents, and met with Evans later that same evening to discuss the robbery. The victim struggled to reach the nearest road where he eventually flagged down a passerby for help, after waiting almost 45 minutes.
LaTonya Evans, 44, of Jackson, Ga., was sentenced by U.S. District Judge Thomas W. Thrash, Jr., to 15 years and eight months in prison, followed by three years of supervised release. Evans was convicted on September 9, 2014, after pleading guilty to conspiring to interfere with commerce by robbery.
Co-defendants Kendrick Watkins, 39, of Rex, Ga., and Charles Jackson, 55, of Griffin, Ga., were convicted on August 13, 2014, and August 5, 2014, respectively, after both men pleaded guilty to armed postal robbery and discharge of a firearm during a crime of violence. Watkins and Jackson will be sentenced on January 7, 2015. They both face a maximum sentence of life imprisonment.
This case was investigated by the United States Postal Inspection Service.
Assistant United States Attorneys Mary Kruger, John Ghose and Angela Garland prosecuted this case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Lake Charles Mechanic Sentenced to 24 Months in Federal Prison on Obscenity ConvictionRead the Press Release
LUBBOCK, Texas — A former mechanic from Lake Charles, Louisiana, Nicholas W. Schofield, 26, was sentenced today by U.S. District Judge Sam R. Cummings to 24 months in federal prison, following his guilty plea in July 2014 to one count of attempted transfer of obscene material to a minor, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Judge Cummings ordered Schofield, who has been on bond, to surrender to the Bureau of Prisons on January 25, 2015.
According to documents filed in the case, in November 2013, a minor female, “Jane Doe,” from San Angelo, Texas, began texting with a person she did not know, who purported to be an 18-year-old mechanic from Louisiana named “Nick.” In fact, Nick was defendant Schofield. They engaged in numerous texting communications until February 2014, when Jane Doe’s communications were assumed by an undercover special agent with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
In the course of his communications with the undercover agent, Schofield sent various sexually explicit images and videos, all the while believing he was communicating with 15-year-old Jane Doe. According to the factual resume filed, the video Schofield sent to the minor is obscene, in that it appeals to a prurient interest in sex, depicts a sexually explicit act and is patently offensive and, taken as a whole, lacks serious literary, artistic, political or scientific value.
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.”
ICE HSI and the San Angelo Police Department, Special Operations Section, investigated. Assistant U.S. Attorney Steven M. Sucsy prosecuted.
Lafayette Man Sentenced to 200 Months in Prison for Possession of Cocaine with Intent to DistributeRead the Press Release
LAKE CHARLES, La. –United States Attorney Stephanie A. Finley announced that a Lafayette man was sentenced Thursday, to 200 months in prison and five years of supervised release for possession of cocaine.
Calvin James Catalon Jr., 35, of Lafayette, La., was sentenced Thursday by U.S. District Judge Patricia Minaldi on one count of possession of cocaine with intent to distribute. According to evidence presented at the May 22, 2014 guilty plea, a Lake Charles police officer stopped Catalon’s vehicle for a traffic violation on January 17, 2014 on I-10. After the officer conducted a search of the vehicle, the officer found a bag containing white powder which was tested at a DEA laboratory in Dallas and identified as cocaine. The net weight of the illegal substance was approximately 991.8 grams.
“Because of the work of an alert police officer, a large shipment of cocaine was taken off the streets,” Finley stated. “Our goal is to keep communities safe and free of these dangerous substances. We will continue to vigorously prosecute these cases.”
The FBI, DEA, Lake Charles Police Department, Calcasieu Parish Sheriff’s Office, and the Calcasieu Anti-Drug Team conducted the investigation. Assistant U.S. Attorney Joseph T. Mickel prosecuted the case.
Kootenai Tribal Member Sentenced for Unlawful Possession of A FirearmRead the Press Release
COEUR D'ALENE - William Gene Andrews, 54, of Bonners Ferry, Idaho, was sentenced yesterday in United States District Court to 21 months in prison followed by three years of supervised release, U.S. Attorney Wendy J. Olson announced. Andrews pleaded guilty to the charge on August 14, 2014.
According to court documents, William Gene Andrews admitted that he possessed a handgun after he had previously been convicted of a felony offense. The handgun was found in Andrews’ bedroom during the execution of a search warrant on June 9, 2014.
The case was investigated by Kootenai Tribal Police Officers and the Federal Bureau of Investigation (FBI).
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Jamaican National Convicted Following Jury TrialRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5877
FAX: (716) 551-3051ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that a federal jury in Rochester has convicted Carl Spencer, 63, a Jamaican national, of illegal re-entry and aggravated identity theft. The convictions came after a three day jury trial.
The immigration charge carries a sentence of up to two years in prison. The aggravated identity theft charge carries a mandatory two year sentence which must be served consecutively to any sentence imposed for the immigration charge.
Assistant U.S. Attorney John J. Field, who handled the prosecution of the case, stated that Spencer was previously departed and removed in 2006. On November 9, 2012, the defendant was found by agents with Immigration and Customs Enforcement. When stopped by agents, Spencer presented a fake Georgia driver’s license in the name of Clyde Crenshaw, a United States citizen and resident of the NYC area.
The verdict is the culmination of an investigation on the part of Special Agents of the Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
Sentencing is scheduled for January 20, 2015, at 11:00 a.m. before U.S. District Judge David G. Larimer, who presided over the trial of the case.
Jacksonville Man Sentenced to Ten Years in Federal Prison for Receiving Child Pornography over the InternetRead the Press Release
Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan today sentenced Daniel Robert Gardner (21, Jacksonville) to 10 years in federal prison for receiving child pornography over the Internet. The Court also ordered him to serve a 10-year term of supervision and to register as a sex offender upon his release from prison. Gardner pleaded guilty on July 28, 2014.
According to court documents, forensic analyses of Gardner’s computer yielded approximately 2,000 images and 56 videos depicting child pornography. Law enforcement officers also recovered evidence that Gardner had shared his collection of child pornography and had chatted about the images with others.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kelly S. Karase.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov. For more information about internet safety education, please visit www.projectsafechildhood.gov and click on the tab "other resources."
Jackson County Property Owner Pleads Guilty to Clean Water Act ViolationRead the Press Release
TOPEKA, KAN. – A man who owns property in Jackson County, Kan., pleaded guilty Friday to violating the federal Clean Water Act, U.S. Attorney Barry Grissom said.
Rodney Heinen, 38, Dawson, Neb., pleaded guilty to one count of discharging pollutants into a stream without a permit. In his plea, he admitted he caused earthen fill and wood debris to be placed in streams flowing through properties he owns in Jackson County.
A regulatory specialist with the Corps of Engineers discovered the violations on one of Heinen’s properties on Feb. 2, 2012. Heinen refused to allow the Corps of Engineers access to the property to make an environmental assessment. The violation affected several unnamed tributaries to Straight Creek, which drains into the Delaware River, which is classified as a Traditionally Navigable Water.
In 2013, the Corps of Engineers found a similar violation on another property in Jackson County owned by Heinen. The violation affected two unnamed tributaries to North Cedar Creek, which drains into the Delaware River.
Sentencing is set for Feb. 6. The government is recommending a sentence of five years supervised probation and a fine between $20,000 and $150,000. The Environmental Protection Agency investigated. Assistant U.S. Attorney Rich Hathaway is prosecuting.
Investment Advisor Pleads Guilty to Defrauding Client of More Than $800,000Read the Press Release
COEUR D'ALENE - JoAnn Jackson, 63, of Coeur d'Alene, Idaho, pleaded guilty yesterday to two counts of wire fraud for misappropriating more than $800,000 from a client’s account, U.S. Attorney Wendy J. Olson announced. Jackson, an investment advisor, was indicted by a federal grand Jury in Coeur d'Alene on August 19, 2014.
According to the plea agreement, Jackson admitted that in 1994, she became a licensed stock broker in Idaho. Early in her career, Jackson came into contact with the victim, who eventually put all of her investment accounts under Jackson’s care. Jackson developed a scheme to misappropriate the victim’s money by transferring the funds from the victim’s account into other accounts, eventually obtaining the benefit of the money. Jackson has agreed to make restitution in the amount of $811,084.32.
The charge of wire fraud is punishable by up to 20 years in prison, a maximum fine of $250,000.00 or twice the value of the money stolen, and up to three years of supervised release.
Sentencing is set for February 3, 2015, before U.S. District Judge Edward J. Lodge at the federal courthouse in Coeur d'Alene.
The case was investigated by Federal Bureau of Investigation (FBI).
Today's announcement is part of efforts underway by President Obama's Financial Fraud Enforcement Task Force (FFETF), which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
Insurance Agency Owner Arrested, Charged with Defrauding Multiple Victims of $1.5 MillionRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that EARL O’GARRO, JR., 31, of Marlborough, was arrested today on an indictment alleging that he defrauded multiple victims of a total of approximately $1.5 million. Yesterday, a federal grand jury in New Haven returned the indictment, which charges O’GARRO with one count of wire fraud.
O’GARRO appeared today before U.S. Magistrate Judge Donna F. Martinez in Hartford and entered a plea of not guilty. He was released on a $500,000 bond.
According to the indictment, O’GARRO was the President, Chief Executive Officer and an owner of Hartford-based Hybrid Insurance Agency, LLC, doing business as Hybrid Insurance Group (“Hybrid”), an insurance brokerage specializing in placing wholesale and specialty line insurance products. In January 2012, O’GARRO, on behalf of Hybrid, submitted an application to the State of Connecticut Department of Economic and Community Development (“DECD”) pursuant to the Small Business Express loan and grant program. The purpose of the application was to secure a Small Business Express loan in the amount of $100,000 and a Small Business Express grant in the amount of $26,320. It is alleged that O’GARRO provided false and misleading information concerning Hybrid’s financial condition on the application. In particular, O’GARRO falsely inflated the value of Hybrid’s cash assets in order to increase the likelihood that his application would be approved for the amount of funds he sought. Based in part on the false statements contained in O’GARRO’s application and a subsequent formal agreement, DECD approved Hybrid’s Small Business Express application and awarded Hybrid a Small Business Express loan in the amount of $100,000 and $26,320 matching grant.
The indictment further alleges that, in July 2013, O’GARRO sent a series of electronic communications to a company that administers the payment of premiums on behalf of insured entities (“Victim 1”). In the communications, O’GARRO falsely claimed that he was an officer and underwriter for an insurance company (“Insurance Company 1”) with authority to direct Victim 1 to release premium payments. Acting in his assumed capacity, O’GARRO directed Victim 1 to remit to Hybrid premium payments for policies associated with four corporate entities purportedly insured by Insurance Company 1. Three of the four companies, Blaque Rock Capital LLP d/b/a Us Restaurant, Marlbro’s Restaurant Group LLP d/b/a Us Restaurant, and Epplied Staffing Solutions LLC, were registered with the Connecticut Secretary of State and associated with O’GARRO. The fourth company, D&D Moving Company, was not registered with the Connecticut Secretary of State, but was utilized by O’GARRO as a repository for fraudulently obtained funds. In fact, Insurance Company 1 had not issued any policies for any of these entities. In response to the fraudulent communications created by O’GARRO, Victim 1 remitted approximately $691,266.75 to Hybrid, which O’GARRO then converted to his own use.
Hybrid was a wholesale broker for certain insurance policies held by the City of Hartford. The indictment further alleges that, in July 2013, O’GARRO directed the city to transfer $868,244 to Hybrid. Of that sum, $441,900 constituted a premium payment to an insurance company offering excess liability insurance policies and $228,097 constituted a premium payment to a second insurer. O’GARRO did not remit either of the premium payments, and instead converted the money to his own use. O’GARRO subsequently advised the city that the premium payments had been remitted to the insurers.
If convicted of wire fraud, O’GARRO faces a maximum term of imprisonment of 20 years.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
U.S. Attorney Daly stated that the investigation is ongoing.
This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Christopher M. Mattei.
The case has been assigned to U.S. District Judge Alvin W. Thompson in Hartford.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Indictment: Keebler Employees Filed False Reports to Receive Unemployment BenefitsRead the Press Release
KANSAS CITY, KAN. – Federal indictments were returned Thursday charging that eight people who worked for Keebler Company in Kansas City, Kan., fraudulently received unemployment benefits, U.S. Attorney Barry Grissom.
In September, similar indictments were filed against 16 people who worked for Keebler.
The new indictments allege that while working for Keebler each of the defendants received unemployment benefits by submitting false reports to the Kansas Department of Labor.
Defendants, who are charged in separate indictments with one count each of theft of government funds and one count of bank fraud, include the following:
Anthony Quiroga, Jr., 48, Shawnee, Kan., who is alleged to have fraudulently received $13,105.
Brian Parker, 51, Grandview, Mo., who is alleged to have fraudulently received $19,966.
Darren Coby, 52, Kansas City, Kan., who is alleged to have fraudulently received $10,824.
Darren Lewis, 46, Kansas City, Mo., who is alleged to have fraudulently received $11,100.
Jerry Jenkins, 51, Linwood, Kan., who is alleged to have fraudulently received $10,738.
Keith Holmes, 43, Kansas City, Mo., who is alleged to have fraudulently received $17,325.
Tammye Hill, 46, Kansas City, Mo., who is alleged to have fraudulently received $10,439.
Terry Richardson, 39, Kansas City, Mo., who is alleged to have received $10,682.If convicted, they face a maximum penalty of 10 years in federal prison and a fine up to $250,000 on the theft of government funds, and a maximum penalty of 30 years and a fine up to $1 million on the bank fraud charge. The Kansas Department of Labor and the U.S. Department of Labor - Office of Inspector General investigated. Assistant U.S. Attorney Chris Oakley is prosecuting.
OTHER INDICTMENTS
Enrique Torres-Sanchez, 36, who is not a citizen of the United States, is charged with unlawfully re-entering the United States after being convicted of an aggravated felony and deported. He was found Oct. 30, 2014, in Wyandotte County, Kan.
If convicted, he faces a maximum penalty of 20 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Trent Krug is prosecuting.
Sajjad S. Chaudhry, 46; Saima Sajjad, 38; and Brian D. Parker, 47, are charged in a superseding indictment with conspiracy to commit food stamp fraud, food stamp fraud counts and wire fraud counts. Chaudhry also is charged with aggravated identity theft counts. The crimes are alleged to have occurred from May 2011 to March 2014 at the KC Gas Mart, 2859 State Avenue, Kansas City, Kan. Chaudhry and his wife, Saima Sajjad, operated and managed the store.
The indictment alleges the defendants took part in fraudulent transactions in which employees of the store gave food stamp recipients cash instead of authorized food items at a rate of about 50 cents on the dollar.
Upon conviction, the crimes carry the following penalties:
Conspiracy: A maximum penalty of five years and a fine up to $250,000.
Food stamp fraud: A maximum penalty of five years and a fine up to $250,000.
Wire fraud: A maximum penalty of 20 years and a fine up to $250,000.
Aggravated identity theft: A mandatory two years consecutive to other imprisonment and a fine up to $250,000.The U.S. Department of Agriculture - Office of Inspector General investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.
Dan Kelly, 45, Wichita, Kan., is charged with two counts of possession with intent to distribute methamphetamine. The crimes are alleged to have occurred in September and November 2014 in Sedgwick County, Kan.
If convicted, he faces a penalty of not less than 10 years and a fine up to $4 million on one count, and a penalty of not less than 5 years and a fine up to $2 million on the other count. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Michelle Jacobs is prosecuting.
Christopher S. Kemp, 31, is charged with escaping from a federal halfway house in Leavenworth, Kan., on Nov. 14, 2014.
If convicted, he faces a maximum penalty of 5 years and a fine up to $250,000. The U.S. Marshals Service investigated. Assistant U.S. Attorney Chris Oakley is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.Hurst, Texas, Man Charged with Federal Child Pornography OffenseRead the Press Release
FORT WORTH, Texas — A Hurst, Texas, man is in federal custody, charged in a federal criminal complaint with transporting and shipping child pornography, announced U.S. Attorney Sarah R. Saldana.
Randy Way Wesson, 28, made his initial appearance before U.S. Magistrate Judge Jeffrey L. Cureton in federal court in Fort Worth today, and he was ordered detained, pending a detention and preliminary hearing set for Tuesday, November 25, 2014, at 11:00 a.m. before Judge Cureton.
According to the complaint filed in the matter, the investigation began when a detective with the Hurst Police Department received information form the Dallas Police Department’s Internet Crimes Against Children (ICAC) unit regarding a Cybertip received from the National Center for Missing and Exploited Children (NCMEC). That referral indicated that a particular Instagram member had uploaded an image of child pornography through their server on June 7, 2014. The investigation revealed that Wesson was the owner of that account.
Officers with the Hurst Police Department executed a state search warrant at Wesson’s home on November 18, 2014, in an effort to search for and seize evidence of child pornography. Wesson was present during the search. A preliminary examination of Wesson’s desktop computer revealed numerous images of child pornography.
Anyone who may have been victimized related to this case should contact the toll-free tip line to Homeland Security Investigations (HSI) at 1-866-347-2423.
A federal complaint is a written statement of the essential facts of the offenses charged and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The statutory penalty for the offense as charged is not less than five or more than 20 years in federal prison, a $250,000 fine and a lifetime of supervised release.
The matter 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.”
U.S. Immigration and Customs Enforcement’s (ICE) HSI and the Hurst Police Department are investigating. Assistant U.S. Attorney A. Saleem is in charge of the prosecution.
- Houston Man Charged with Robbing BBVA Compass Bank at Galleria Mall
Honduran Man Sentenced in Federal Court for Illegal Reentry into United StatesRead the Press Release
Illegal Immigrant was Deported After Felony Drug Conviction
CHARLESTON, W. Va. - United States Attorney Booth Goodwin announced that Jorge Leonardo Reyes-Figueroa, 26, from Honduras was sentenced today in federal court in Charleston to two and a half years in prison for illegal reentry into the United States following deportation. He also faces administrative deportation after being released from prison.In 2010, Reyes-Figueroa, an illegal immigrant from Honduras, was convicted in Adams County, Colorado of a felony drug offense involving heroin distribution. Following the criminal conviction, Reyes-Figueroa was deported to Honduras. Sometime thereafter, Reyes-Figueroa illegally reentered the United States. In May of 2014, officers with the West Virginia State Police found Reyes-Figueroa living in Ripley, West Virginia.
The West Virginia State Police and the United States Department of Homeland Security conducted theinvestigation. Assistant United States Attorney Erik S. Goes is prosecuting the matter on behalf of the United States of America.
Hacker Sentened to Jail in Sandwich Shop SchemeRead the Press Release
BOSTON – A California man was sentenced today for remotely hacking into the computerized cash registers of a number of Subway restaurants and fraudulently obtaining more than $40,000 in gift cards.
Shahin Abdollahi, aka Sean Holdt, 46, of Lake Elsinore, Calif., was sentenced by U.S. District Judge Richard G. Stearns to serve 18 months in prison, two years of supervised release, and ordered to pay $43,712 in restitution to Subway. In May 2014, Abdollahi pleaded guilty to one count of conspiracy to commit computer intrusion and wire fraud and one count of wire fraud. Abdollahi’s co-conspirator, Jeffrey Wilkinson, 37, of Rialto, Calif., was sentenced to six months in prison in May 2014.
Abdollahi owned Subway franchises in Southern California from 2005 to 2008 and later operated a California company called POS Doctor, which sold and installed point-of-sale (POS) computer systems to Subway restaurant franchises around the country. POS systems are a type of computerized checkout register that allows merchants to manage customer purchases made by credit, debit and gift cards.
Beginning in 2011, Abdollahi and Wilkinson conspired to remotely hack into POS systems in Subway restaurant franchises around the country. Members of the conspiracy hacked into at least 13 Subway POS systems that Abdollahi sold through his company and fraudulently added at least $40,000 in value to Subway gift cards. Abdollahi and Wilkinson used the fraudulent gift cards to make purchases at Subway, and Wilkinson also sold fraudulent gift cards to others using eBay and Craigslist.
United States Attorney Carmen M. Ortiz of the District of Massachusetts, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, and Resident Agent in Charge Holly Fraumeni of the United States Secret Service in Manchester, New Hampshire, made the announcement. The case was prosecuted by Assistant U.S. Attorney Adam J. Bookbinder, the chief of Ortiz’s Cybercrime Unit and Senior Trial Attorney Mona Sedky, with the Department of Justice’s Computer Crime & Intellectual Property Section.
Greece Man Sentenced for Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Gordon Link, 78, of Greece, NY, who was convicted of attempted possession of child pornography, was sentenced to 24 months in prison and 10 years supervised release by U.S. District Court Judge Elizabeth A. Wolford.Assistant U.S. Attorney Craig R. Gestring, who handled the case, stated that in October 2013, a Rochester mother texted a photograph of her 10 year old daughter to a friend via her cellular phone. The photograph depicted the young child, fully clothed, seated at a table with a doll at her birthday party. However, the woman mistakenly sent the child’s photograph to the wrong cell phone number, the number belonging to the defendant.
Link immediately sent several sexually suggestive texts back to the woman about the child’s image. The woman became concerned and contacted the police, who in turn, contacted the FBI Child Exploitation Task Force for assistance. A task force officer assigned to the unit assumed the child’s identity online, claiming to be 15 years old, and engaged in chats with the defendant. During several sessions, the defendant solicited the girl to send him sexually explicit photographs of her body. Link also engaged in sexually explicit chats with the girl and tried to meet her in person. Federal agents executed a search warrant at the defendant’s home and seized the cell phone Link used to communicate with the child.
At sentencing, Judge Wolford said that the defendant knew exactly what he was doing when he engaged in sexually explicit chats with the child. In concluding her remarks, Judge Wolford told the defendant “you are in fact a predator.” Link was immediately detained following sentencing and was remanded to the Custody of the United States Marshal’s Service.
The sentencing is the culmination of an investigation on the part of Officers of the Greece Police Department, under the direction of Chief Patrick Phelan; Officers of the Rochester Police Department, under the direction of Chief Michael Ciminelli; and Special Agents of the Federal Bureau of Investigation, Child Exploitation Task Force.
Government Intervenes in Lawsuit against Donald C. Proctor, Jr., M.D. Alleging Unnecessary Mohs Surgeries and Related ProceduresRead the Press Release
The United States has intervened in a whistleblower lawsuit against Donald C. Proctor, Jr., M.D., an otolaryngologist practicing in Vero Beach, Florida, and Grove Place Surgery Center, LLC, an ambulatory surgical center managed by Dr. Proctor, that is located in Vero Beach, Florida.
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Derrick L. Jackson, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), made the announcement.
According to the allegations made in the lawsuit:
Dr. Proctor billed Medicare for Mohs surgeries and related reconstructions that he either did not perform or were medically unnecessary. Dr. Proctor would routinely see patients who had been referred to him with a confirmed skin cancer lesion and inform them that they had additional lesions requiring Mohs surgery, even though the additional lesions had not been confirmed through a biopsy as cancerous or simply did not exist.
Mohs surgery is a specialized surgical procedure for removing certain types of skin cancers in specific areas of the body, including the face. The surgery is performed in stages in which the surgeon removes a single layer of tissue and then, after a microscopic evaluation of the excised tumor, performs additional stages, if necessary, until all of the cancer is removed. To increase his Medicare reimbursement, Dr. Proctor would perform three to four stages, or more, of Mohs surgery in the vast majority of surgeries he performed, even though that is far outside the norm and was often not necessary.
Additionally, it is alleged that Dr. Proctor defrauded Medicare by billing for unnecessary or nonexistent reconstructions, called adjacent tissue transfers, to close up surgical defects allegedly left by the Mohs surgeries.
Adjacent tissue transfers are complicated and often time-consuming procedures sometimes performed by physicians to close a defect resulting from the removal of a lesion on a patient’s skin. The lawsuit alleges that Dr. Proctor billed for these procedures in connection with virtually every Mohs surgery he claimed to have performed, even though in most cases they were not medically necessary or not performed at all.
“Physicians who perform unnecessary procedures, or bill for procedures they did not perform, put their own financial self-interest over their duty to their patients and raise the cost of health care for all of us, as patients and taxpayers,” said U.S. Attorney Ferrer. “We will not relent in our efforts to combat this type of fraud and abuse that plagues the Medicare program and threatens its financial stability.”
“Physicians who try to enrich themselves by performing medically unnecessary surgeries can cause their patients very serious health issues, waste millions in taxpayer dollars each year, and undercut the public’s trust in the medical profession,” said Derrick L. Jackson, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General. “The Office of Inspector General will continue to protect beneficiaries and hold health care providers accountable for such outrageous behavior.”
The case is captioned United States ex rel. Becker & Wildes v. Donald C. Proctor, Jr., M.D. et al., No. 11-14214-Civ-Martinez (S.D. Fla.), and was filed by Ferdinand F. Becker, M.D., a facial plastic surgeon and former Mohs surgeon who referred patients to Dr. Proctor, and Linda Wildes, who was employed as Dr. Proctor’s histology technician for over eight years. They filed the case under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the federal government and receive a share of any recovery. The Act also authorizes the federal government to intervene in and assume primary responsibility for litigating a filed lawsuit, as the government has done in this case.
The claims asserted against Dr. Proctor and Grove Place Surgery Center are allegations only, and there has been no determination of liability.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Gitter Done Store Owners Sentenced to 9 Years and 7 Years in Prison for Selling Synthetic CannabinoidsRead the Press Release
TULSA, Okla. — Two convenience store owners were sentenced today for conspiring to distribute and distributing more than 127 kilograms of synthetic cannabinoids, which were marketed by names such as Diablo, Joker, Kush, and Scooby Snax, announced Danny C. Williams Sr., United States Attorney for the Northern District of Oklahoma.
United States District Court Judge Claire V. Eagan sentenced Iqbal Makkar, 37, of Bentonville, Arkansas, to 97 months, and Gaurav Sehgal, 37, of Grove, Oklahoma, to 84 months in prison. Following a five day trial, a federal jury convicted the defendants of conspiracy to distribute controlled drug analogues, possession of Schedule 1 controlled substance analogue with intent to distribute, maintaining drug-involved premises, and money laundering. A federal grand jury charged the defendants on November 11, 2013.
From November 2011 to January 2013, Makkar and Sehgal operated the “Gitter Done Station” convenience store in Grove, Oklahoma, for the purpose of storing and distributing the controlled substance analogue known as XLR11. The charges included depositing funds from the illegal sales and distributions of controlled substance analogues into a checking account at the Corner Stone Bank in Southwest, Missouri.
XLR11 is a synthetic substance typically sprayed on inert plant material. XLR11 has similar or greater pharmacological effects as THC, a psychoactive ingredient in marijuana. Some side effects of XLR11 include paranoia, elevated heart rates, seizures, nausea, and panic attacks. The use of XLR11 and other synthetic cannabinoids has resulted in emergency room visits, impaired driving, and suicide attempts.
As part of the sentencing, U.S. District Court Judge Eagan entered an order forfeiting the interest of the defendants in two convenience stores valued at over $1,000,000, two residences and four other real properties valued at $1,754,535, proceeds of financial accounts and seized currency totaling over $721,000 and a Range Rover vehicle. Judge Eagan also entered a joint and several criminal forfeiture money judgment against defendants in the amount of $2,584,981.
In addition, the defendants were ordered to pay more than $6,000 in restitution to a victim who was hospitalized as a result of smoking synthetic cannabinoid bought at the convenience store.
The case was investigated by the Oklahoma District 13 Drug Task Force, Drug Enforcement Administration, and the Internal Revenue Service. Assistant U.S. Attorneys Clinton Johnson, Trent Shores, Shannon Cozzoni, and Catherine Depew prosecuted on behalf of the United States.
The Controlled Substances Act was amended in 1986 and provides for controlled substance analogues, to the extent that they are intended for human consumption, to be treated as Schedule I controlled substances for the purposes of criminal prosecution.
U.S. v. Makkar and Sehgal
Four Litchfield County Residents Charged and Arrested for String of Fraud SchemesRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and William P. Offord, Special Agent in Charge of IRS Criminal Investigation in New England, today announced that a federal grand jury in New Haven returned a seven-count indictment yesterday charging RYAN GEDDES, 41, of Litchfield, JASON CALABRESE, 43, of Watertown, RICHARD GEDDES, 41, of Bethlehem, and DUSTIN WHITTEN, 31, of Thomaston, with multiple conspiracies involving bank fraud, mail and wire fraud, bankruptcy fraud and obstruction of justice. The charges stem from an alleged series of fraudulent real estate and insurance transactions, and an alleged arson of a vacation home.
The four defendants were arrested this morning. They appeared before U.S. Magistrate Judge Joan G. Margolis in New Haven and were released on bonds of varying amounts.
According to the indictment, by 2005, RYAN GEDDES had incurred several debts, including a business debt of more than $490,000 for which he was being sued. GEDDES and the other defendants then commenced a series of schemes to conceal GEDDES’s assets from creditors and to defraud various banks and insurance companies.
The indictment alleges that from 2005 through 2007, GEDDES, CALABRESE, and others prepared a series of three false mortgage loan and mortgage refinancing applications with respect to properties located at 27 Palmer Road in Morris and 669 Goshen Road in Torrington. The first transaction sought to conceal GEDDES’s ownership of the 27 Palmer Road property. The indictment further alleges that when GEDDES and others learned in 2010 of the federal investigation, they created a false, backdated document and gave it to the investigating agents in an effort to portray the first 27 Palmer Road mortgage transaction as legitimate. The indictment charges GEDDES and CALABRESE with one count of conspiracy to commit bank fraud, and GEDDES with one count of conspiracy to obstruct justice related to this scheme.
The indictment also alleges that GEDDES and others conducted a straw sale of another GEDDES property in 2010 from which they obtained title insurance after conducting a fraudulent title search. Because the search deliberately omitted to list almost a million dollars of liens against the property, the conspirators intended to plan an event that would trigger a new title search, resulting in discovery of the omitted liens, the filing of a title insurance claim, and a nearly million dollar insurance payout to the straw owner for the fraudulently omitted liens. For this scheme, GEDDES is charged with one count of conspiracy to commit mail and wire fraud.
The indictment further alleges that RYAN GEDDES and his brother, RICHARD GEDDES, conspired to commit bankruptcy fraud in 2010, based on the paper transfer of a home owned by RYAN GEDDES to RICHARD GEDDES, soon followed by RYAN GEDDES’s filing a bankruptcy petition in which he claimed not to own any real property. RYAN GEDDES also is charged with bankruptcy false statements for those acts.
Finally, RYAN GEDDES and WHITTEN are charged with conspiracy to commit mail and wire fraud, based on the paper transfer to WHITTEN of a New York vacation home property owned by GEDDES, the procurement of an insurance policy on the home in WHITTEN’s name, and the alleged arson of the home, followed by WHITTEN’s filing an insurance claim of more than $600,000 on the destroyed home.
If convicted, RYAN GEDDES faces a maximum term of imprisonment of 90 years, CALABRESE faces a maximum term of imprisonment of 30 years, RICHARD GEDDES faces a maximum term of imprisonment of five years, and WHITTEN faces a maximum term of imprisonment of 20 years.
U.S. Attorney Daly stressed that an indictment is only a charge and is not evidence of guilt. Charges are only allegations and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorneys Henry Kopel and Michael Gustafson.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Four in Metroplex Indicted for Stealing Social Security Benefits Belonging to Deceased IndividualsRead the Press Release
DALLAS — A federal grand jury returned four unrelated indictments this week, each charging an individual from the Dallas-Fort Worth metroplex with a federal felony offense stemming from their theft of Social Security benefits, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Each of the below-listed defendants is charged with at least one count of theft of government funds. Each was arrested, appeared before a U.S. Magistrate Judge, and was released on bond.
Robert Scoggins, 57, of Carrollton, Texas, is alleged to have stolen approximately $47,548 in Social Security benefits paid to his deceased wife, to which he knew he was not entitled.
James Glen Williams, 47, of Dallas, Texas, is alleged to have stolen approximately $77,886 in Retirement Insurance benefits paid to his deceased mother, to which he knew he was not entitled.
Latasha Smith, a/k/a Latasha Matthews, 34, of Arlington, Texas, is alleged to have stolen approximately $49,065 in Retirement Insurance benefits paid to her deceased father and $84,029 in Veterans’ Affairs benefits paid to her deceased mother, to which she knew she was not entitled.
Roy Dan Ramos, 41, of Grand Prairie, Texas, is alleged to have stolen more than $1,000 in Retirement Insurance benefits paid to his deceased grandmother, to which he knew he was not entitled. He is also charged with concealing that information in a 2011 bankruptcy filing.
A federal indictment is an accusation by a grand jury and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, however, the maximum statutory penalty for the offense of theft of government funds is 10 years in federal prison and a $250,000 fine. The maximum statutory penalty for making a false statement in a bankruptcy filing is five years in federal prison and a $250,000 fine.
The investigation is being conducted by the Social Security Administration’s Office of the Inspector General, with assistance from the Department of Veterans’ Affairs Office of Inspector General. Special Assistant U.S. Attorney Nicole Dana is prosecuting.
Former Williamsport Resident Indicted for Health Care FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a Beverly Hannibal, age 48, formerly of Williamsport, but now lives in Lancaster, was indicted by a federal grand jury in Williamsport on November 13, 2014 for health care fraud in connection with a Medicaid program.
According to United States Attorney Peter Smith, the indictment alleges that Hannibal fraudulently obtained $22,448 from the Pennsylvania Medicaid Home and Community Based Services Attendant Care Program, a federally funded health care benefit program.
According to the indictment, Hannibal submitted false and fraudulent applications identifying her nephew and, later in the scheme, a friend of hers, as direct care workers providing personal assistance to her. Although they performed no work, Hannibal allegedly prepared false timesheets reporting hours purportedly worked by them, forged signatures on the timesheets, and then submitted them for payment. The indictment alleges that Hannibal received reimbursement checks and had her nephew cash some of them and give her the proceeds, and that she also forged signatures on the checks and transacted them.
The indictment was sealed until today pending the defendant being taken into custody. Hannibal appeared yesterday before Chief Magistrate Judge Martin C. Carlson. Hannibal was released on bail. Trial is scheduled for January 5, 2015 before United States District Court Judge Matthew W. Brann in Williamsport.
If convicted of the health care fraud charge, Hannibal, faces a maximum penalty of 10 years in prison, a fine of $250,000 million, and a supervised release term of three years.The case was investigated by the Office of Inspector General, U.S. Department of Health and Human Services and the Federal Bureau of Investigation. Prosecution has been assigned to Assistant United States Attorney George J. Rocktashel.
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.
Former U.S. Navy Nuclear Systems Administrator Sentenced to 2 Years for Hacking the U.S. Navy and National Geospatial-Intelligence Agency Computer SystemsRead the Press Release
TULSA, Okla. — The second leader of the computer hacking group Team Digi7al was sentenced today for hacking the United States Navy, the National Geospatial-Intelligence Agency, and over 50 public and private computer systems, announced Danny C. Williams, U.S. Attorney for the Northern District of Oklahoma.
Nicholas Paul Knight, 27, of Chantilly, Virginia, was sentenced by U.S. District Judge James H. Payne to 24 months in prison. At the time of the hacking attacks Knight was a U.S. Navy Nuclear Systems Administrator aboard the USS Harry S. Truman. Knight pleaded guilty to the single-count information on May 5, 2014. Co-defendant Daniel Krueger, 20, of Dix, Illinois, was sentenced to two-years in prison on October 22, 2014.
“Computer hacking presents a significant risk to national security. As a service member in the United States Navy, the defendant knowingly breached his oath of enlistment and became an insider threat,” said U.S. Attorney Williams. “We will continue to work with our law enforcement partners to find cyber-criminals and prosecute them to the full extent of the law.”
According to court documents, in June 2012, the Naval Criminal Investigative Service (NCIS) detected a breach of the U.S. Navy’s Smart Web Move database, which stored personal records, including Social Security numbers, names, and dates of birth, for approximately 222,000 service members. The servers that stored these records were located in Tulsa. At the time of the hacking attacks, Knight, Krueger, and other Team Digi7al conspirators posted links to the stolen information on Team Digi7al’s Twitter account to make the private information available to the public.
In early 2013, Knight was administratively separated from the U.S. Navy after he was caught hacking into a computer system while aboard the USS Harry S. Truman during a sting operation conducted by the NCIS.
The case was investigated by the NCIS Atlantic Cyber Operations office in Norfolk, Virginia, with the cooperation and assistance of the DCIS Cyber Field Office, and other federal, state, and local agencies. Assistant U.S. Attorney Joel-lyn A. McCormick and Gary L. Davis II prosecuted on behalf of the United States.
Former Subway Franchise Owner Sentenced to 18 Months in Prison for Gift Card Hacking Scheme at Subway RestaurantsRead the Press Release
A California man was sentenced to serve 18 months in prison with two years supervised release, and ordered to pay $34,712 in restitution, today for remotely hacking into the computerized cash registers of Subway restaurants and fraudulently obtaining more than $40,000 in gift cards.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Carmen M. Ortiz of the District of Massachusetts and Resident Agent in Charge Holly Fraumeni of the U.S. Secret Service in Manchester, New Hampshire, made the announcement. U.S. District Judge Richard G. Stearns of the District of Massachusetts imposed the sentence.
Shahin Abdollahi, aka Sean Holdt, 46, of Lake Elsinore, California, pleaded guilty on May 14, 2014, to one count of conspiracy to commit computer intrusion and wire fraud and one count of wire fraud.
In connection with his guilty plea, Abdollahi admitted that he owned Subway franchises in Southern California, and later operated a California company called “POS Doctor,” which sold and installed point-of-sale (POS) computer systems to Subway franchises around the country. POS systems are a type of computerized checkout register that allow merchants to manage customer purchases made by credit, debit and gift cards.
Abdollahi further acknowledged that, beginning in 2011, he and Jeffrey Wilkinson conspired to remotely hack into the POS systems he installed in Subway franchises around the country. Members of the conspiracy hacked into at least 13 Subway POS systems and fraudulently added at least $40,000 to Subway gift cards. Abdollahi acknowledged that he and Wilkinson used the fraudulent gift cards to make purchases at Subway, and Wilkinson also sold fraudulent gift cards on eBay and Craigslist.
Wilkinson, 37, of Rialto, California, also pleaded guilty for his role in the scheme, and was sentenced to six months in prison on May 28, 2014.
This case was investigated by the U.S. Secret Service, and is being prosecuted by Senior Trial Attorney Mona Sedky of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Adam J. Bookbinder of the District of Massachusetts.
Former South Plainfield, N.J., Police Captain Sentenced to 20 Years in Prison for Sexually Exploiting A MinorRead the Press Release
TRENTON, N.J. – A former South Plainfield police captain was sentenced today to 20 years in prison for exploiting a minor girl by enticing her to live-stream sexually explicit acts via the Internet in exchange for payment, U.S. Attorney Paul J. Fishman announced.
Michael Grennier, 52, of South Plainfield, New Jersey, previously pleaded guilty before U.S. District Judge Freda L. Wolfson to an information charging him with one count of production of child pornography. Grennier was charged by complaint on Feb. 19, 2013, and has been in custody since that date. Judge Wolfson imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
On Feb. 14, 2013, Grennier enticed a girl to perform sexually explicit acts and stream images of herself over the Internet while he watched remotely from his home computer. During the webcam session, Grennier exchanged text messages with the minor in which he directed her actions. Grennier admitted during his guilty plea proceeding that he promised to buy his victim clothing in exchange for her performance.
At the time of his arrest, Grennier was working for a private computer forensics firm. Prior to his retirement, he was a computer forensics specialist for the South Plainfield Police Department.
In addition to the prison term, Judge Wolfson sentenced Grennier to serve lifetime supervised release. Restitution will be determined at a later date. Grennier will also be required to register as a sex offender.
U.S. Attorney Fishman credited special agents of the FBI’s Child Exploitation Task Force, under the direction of Special Agent in Charge Aaron T. Ford, for the investigation leading to today’s plea. He also thanked the South Plainfield Police Department, under the direction of Chief of Police James Parker, and the Middlesex County Prosecutor’s Office, under the direction of Acting Prosecutor Andrew Carey, for their assistance with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Fabiana Pierre-Louis of the U.S. Attorney’s Office Criminal Division in Trenton and Harvey Bartle, the Attorney-in-Charge of the U.S. Attorney’s Trenton Office.
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Defense counsel: Frank Arleo Esq., West Orange, N.J.
Former Pennsylvania Department of General Services Worker Charged with TheftRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Michael A. Gantz, age 43, of Marietta, Pennsylvania, was charged in a criminal Information with theft concerning programs receiving federal funds. If convicted of the offense, Gantz faces up to ten years’ imprisonment and $250,000 in fines, as well as restitution. A plea agreement was also filed whereby Mr. Gantz has indicated he will enter a guilty plea to the charge when he appears in federal court for his arraignment.
According to United States Attorney Peter Smith, Gantz was employed by the Pennsylvania Department of General Services until July 2014 and was an acquisition officer in the surplus property warehouse. In that position, Gantz had access to surplus military equipment which the federal government had provided the Pennsylvania Department of General Services for distribution to state and local law enforcement officers. The Information alleges that Gantz stole 610 U.S. Military combat helmets between July 2009 and January 2010 which were valued in excess of $5,000.
The case was investigated by the U.S. Department of Defense, Defense Criminal Investigation Service and the Defense Logistics Agency, Office of Inspector General. It is assigned to Senior Litigation Counsel Bruce Brandler for prosecution.
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.
In this case, the maximum penalty under the federal statute is ten years imprisonment, a term of supervised release following imprisonment, and a $250,000 fine, as well as restituition. 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.
Former Newark City Hall Employee Pleads Guilty to Producing Fraudulent Birth CertificatesRead the Press Release
NEWARK, N.J. – A former Newark City Hall employee today admitted producing fraudulent New Jersey birth certificates, U.S. Attorney Paul J. Fishman announced.
Cory Cooke, 45, of Newark, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to an information charging him with one count of producing false identification documents.
According to documents filed in this case and statements made in court:
Cooke was previously employed by the City of Newark at its Office of Vital Statistics and was responsible for issuing official New Jersey birth certificates. From August 2013 to October 2013, Cooke produced four fraudulent New Jersey birth certificates using four different individuals’ personal identifying information, which Cooke had acquired from a conspirator. After producing the fraudulent New Jersey birth certificates, Cooke gave the documents to his conspirator, who subsequently sold them.
The count of producing false identification documents to which Cooke pleaded guilty carries a maximum potential penalty of 15 years in prison and a $250,000 fine. Sentencing is scheduled for Feb. 23, 2015.
U.S. Attorney Fishman credited special agents of the U.S. Department of Homeland Security, Immigration and Customs Enforcement, Homeland Security Investigations (ICE HSI), under the direction of Acting Special Agent in Charge John P. Woods in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney J. Jamari Buxton of the U.S. Attorney’s Office Criminal Division in Newark.
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Defense counsel: Stephen N. Dratch Esq., Livingston, N.J.
Cooke, Cory Information
Former Lewiston City Councilman Sentenced on Federal Child Pornography ChargeRead the Press Release
COEUR D'ALENE - Matthew P. Carlson, 31, of Orofino, Idaho, was sentenced yesterday to 36 months in prison, followed by ten years supervised release for possession of sexually explicit images of minors, U.S. Attorney Wendy J. Olson announced. Carlson pleaded guilty to the charge on August 19, 2014.
According to statements made in court and court documents, Canadian authorities and U.S. Postal Inspection Services investigators discovered that Carlson, a former Lewiston City Councilman and Idaho prison guard, made 35 purchases of DVDs containing sexually explicit images of minors and child erotica from a Canadian company. The DVDs were sent to Carlson through the U.S. Mail over a period of several years.
In April 2013, a federal search warrant was served at Carlson’s residence in Orofino. According to statements made in Court, Carlson told investigators at the time of the search that they would find at least 3,000 images of nude boys on his computer. A forensic review of Carlson’s computers revealed at least that many images. A report from the National Center for Missing and Exploited Children found that Carlson’s child pornography collection contained images of at least 66 children that have been identified during prior nationwide investigations. Carlson was taken into custody to begin his sentence immediately.
The case was investigated through the collaborative effort of the U.S. Postal Inspection Service, Federal Bureau of Investigation, and Orofino Police Department. These agencies participate in the Idaho Internet Crimes Against Children (ICAC) Task Force, a statewide coalition of local, state and federal law enforcement and prosecution agencies, focused on apprehending and prosecuting individuals who use the Internet to criminally exploit children. For more information about the Idaho ICAC Task Force and a list of all the participating agencies, visit www.icacidaho.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Former Jarrell Police Chief Sentenced to Federal PrisonRead the Press Release
In Austin today, 52-year-old former Jarrell (TX) Police Chief Andres Tomas Gutierrez was sentenced to 54 months in federal prison followed by three years of supervised release for a wire fraud/theft of honest services scheme announced United States Attorney Robert Pitman; Homeland Security Investigations (HSI) Special Agent In Charge Janice Ayala in San Antonio; Department of Homeland Security Office of Inspector General–Investigations Special Agent In Charge J. Kirk Beauchamp in Houston; and Federal Bureau of Investigation Special Agent In Charge Christopher Combs, San Antonio Division.
On February 7, 2014, Gutierrez pleaded guilty to the wire fraud/theft of honest services charge. By pleading guilty, Gutierrez admitted that from the Fall of 2011 to November 2013, he devised a scheme to defraud and deprive the citizens of Jarrell of their right to his honest services through bribery and concealment of information. Gutierrez solicited and accepted cash bribes—between $10,000 and $40,000—from several undocumented aliens in return for requesting and obtaining for the aliens limited immigration benefits that the U.S. government intended and designed for law enforcement purposes. Gutierrez falsely represented to the U.S. government that the undocumented aliens were assisting the Jarrell Police Department with ongoing investigations into narcotics trafficking and human trafficking.
According to court records, individuals unconnected to the City of Jarrell and its Police Department introduced Gutierrez to undocumented aliens who had money to pay for immigration benefits. Gutierrez or the individuals who made the introductions, or both, then met with the aliens and explained the benefits they could receive if they paid certain amounts of money. They lied to the aliens, telling them that the Jarrell Police Department would receive the money and use it to pay for law enforcement operations. They also told the aliens that they would provide information or assistance to the Jarrell Police Department, for use in criminal investigations, in return for the immigration benefits. That was also a lie. Gutierrez never asked the aliens to provide assistance or information in connection with criminal investigations. What Gutierrez asked for and received from the aliens was money.
Furthermore, with the help of the individuals who introduced him to the aliens, Gutierrez simply sold the aliens the benefits. After an alien paid his or her money, Gutierrez would submit to the U.S. government an application for the alien to receive what is known as a Significant Public Benefit Parole, which is a type of immigration status that federal immigration laws make available to aliens who actually assist federal, state and local law enforcement agencies. The Paroles authorize an alien to reside and work in the United States for up to a year, and they can be renewed. The applications that Gutierrez submitted said the aliens were providing assistance with ongoing criminal investigations by the Jarrell Police Department, which was false. Also, Gutierrez never disclosed to the United States government that he was selling the Paroles.
“The sentencing of Andres Gutierrez, the former Jarrell Police Chief, is the culmination of a long-term investigation into corruption and the violation of public trust,” said Special Agent in Charge Janice Ayala of Homeland Security Investigations (HSI) in San Antonio. “This case illustrates the ability of federal law enforcement agencies to leverage resources and work together to achieve justice.”
“Acts of corruption within law enforcement threaten our nation’s system of justice and undermine the honest and hardworking law enforcement personnel who consistently strive to keep that system the best in the world. The Department of Homeland Security will not tolerate corruption, and we will aggressively pursue those who choose to break the law,” stated DHS OIG SAC J. Kirk Beauchamp.
“The FBI will continue to utilize all resources to investigate those who have taken an oath to serve and protect our communities and use their position as a public servant to shield their criminal activities and violate the trust of those they serve,” stated FBI Special Agent in Charge Christopher Combs.
This investigation was conducted by agents with Homeland Security Investigations, Department of Homeland Security Office of Inspector General--Investigations and the Federal Bureau of Investigation. Assistant United States Attorneys Alan M. Buie and Gregg N. Sofer prosecuted this case on behalf of the Government.
Former Foxboro Man Sentenced for Multi-Million Dollar Mortgage FraudRead the Press Release
BOSTON – A former Foxboro man was sentenced yesterday for mortgage fraud in connection with the purchases of residential properties.
Christopher A. Chasse, 45, was sentenced by U.S. District Judge George A. O’Toole, Jr. to eight years in prison and three years of supervised release. In August 2014, Chasse pleaded guilty to 10 counts of wire fraud in connection with a mortgage fraud scheme.
From June to September 2006, Chasse fraudulently caused mortgage lenders to finance $5.25 million for his purchases of residential properties in the greater Boston area. Chasse submitted false loan applications containing bogus information about his employment, income, assets, closing costs and related matters. Chasse created false identification documents, phony income tax returns and other IRS forms, fictitious employment records and bogus bank account statements, all to support false loan applications to 11 lenders. Chasse also recruited other buyers for fraudulent mortgage loans. All of the properties went almost immediately into foreclosure for lack of payments, and the lenders suffered more than $4 million in losses.
United States Attorney Carmen M. Ortiz; Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Bruce Foucart, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. The case was prosecuted by Victor A. Wild of Ortiz’s Economic Crimes Unit and Carlos A. López of Ortiz’s Drug Task Force.
Today’s action is part of the ongoing efforts of President Obama’s Financial Fraud Enforcement Task Force’s Securities and Commodities Fraud Working Group. The interagency FFETF was created 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.
Former Executive at North Canton Company Sentenced to more than Two Years in Prison for Violating Campaign Finance LawsRead the Press Release
The former chief financial officer at a North Canton company was sentenced to more than two years in prison for violating campaign finance laws and conspiring to obstruct justice, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office.
Michael Giorgio, 63, of Cuyahoga Falls, was sentenced to 27 months in prison. He pleaded guilty earler this year to seven counts: one count of conspiracy to violate the campaign finance laws, two counts of substantive campaign finance violations, three counts of causing the campaigns to make false statements in their FEC reports, and one count of conspiracy to obstruct justice..
Giorgio admitted that while he worked at Suarez Corp., he and others funneled almost $200,000 in conduit contributions to U.S. House adn Senate campaigns in the 2012 election. Court documents detial 18 contributions, all made in March 2011, to a 2012 House campaign. It also details 20 contributions, all but one made in May 2011, to a 2012 Senate campaign.
Giorgio also admitted to obstructing justice. He did this by causing another executive at Suarez Corp. to create and distribute documents entitled “Advance on Profit Sharing” for all but one Suarez Corp. employee or contractor who has been reimbursed for campaign contributions. Those documents were intended to create the impression that the reimbursement payments that Suarez Corp. previously made to the conduit contributors were actually “advances” that all along were meant to be repaid to the company by the employees and contractors. They did this after newspaper reports detailed the suspicious contribution, according to court documents.
This case is the result of an investigation by the FBI-Canton Resident Agency. It is being prosecuted by Assistant United States Attorneys Carole S. Rendon and Rebecca Lutzko.
Former Executive Director of Virgin Islands Legislature Convicted of Bribery and ExtortionRead the Press Release
After a three-day trial, a federal jury found the former executive director of the Legislature of the Virgin Islands guilty of accepting bribes and extortion in the awarding of contracts with the Legislature.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Ronald W. Sharpe of the District of the Virgin Islands, and Special Agent in Charge Carlos Cases of the FBI’s San Juan Field Office made the announcement.
Louis “Lolo” Willis, 56, of St. Thomas, Virgin Islands, was convicted of two counts of federal programs bribery and two counts of extortion under color of official right. U.S. District Judge Curtis V. Gomez of the District of the Virgin Islands set the sentencing hearing for Feb. 13, 2015.
According to evidence presented at trial, Willis was the executive director of the Legislature between 2009 and 2012. His responsibilities included oversight of the major renovation of the Legislature building and awarding and entering into government contracts in connection with the project. Willis was also responsible for authorizing payment to the contractors for their work. Evidence presented at trial demonstrated that Willis accepted bribes, including $13,000 in cash and checks, from contractors in exchange for using his official position to secure more than $350,000 in contracting work for the contractors and to ensure they received payment upon completion.
This case was investigated by the FBI-San Juan Field Office’s St. Thomas Resident Agency, the Internal Revenue Service, Criminal Investigation, and the Office of the Virgin Islands Inspector General. The case is being prosecuted by Trial Attorneys Peter Mason and Justin Weitz of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Delia Smith of the District of the Virgin Islands. Former Trial Attorneys Tracee Plowell and Jennifer Blackwell and former Assistant U.S. Attorney Kim Lindquist assisted in the investigation of the case.
Former Choctaw Nation Executive Director of Construction Found Guilty of Conspiracy to Commit Bribery, Theft of Federal Funds by Tribal Officer and Money LaunderingRead the Press Release
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that JASON BRETT MERIDA, age 42, of Rattan, Oklahoma was found guilty by a federal jury on Thursday, November 20, 2014 of six counts of a seven-count indictment.
The defendant was indicted in February, 2014 and charged with Conspiracy To Commit Theft Or Bribery Of Programs Receiving Federal Funds, in violation of Title 18, United States Code, Section 371; 2 Counts of Theft By An Employee Or Officer Of A Tribal Government Receiving Federal Funds, in violation of Title 18, United States Code, Sections 666(a)(1)(A) and 2; Conspiracy to Commit Money Laundering, in violation of Title 18, United States Code, Section 1957 and 2 Counts of Tax Fraud, in violation of Title 18, United States Code, Section 7206(1).
The defendant was acquitted on one count of conspiracy to commit money laundering.
The trial began with testimony on October 29, 2014 and concluded with closing arguments and jury deliberations on Thursday, November 20, 2014.
Testimony at the trial established that MERIDA, the former Executive Director of Construction for the Choctaw Nation of Oklahoma, conspired to corruptly demand, solicit and receive cash, trips, a Cadillac Escalade, plumbing fixtures, cattle guards, and other things of value in excess of the $5,000 from subcontractors performing work on Choctaw Nation construction projects. The testimony also revealed MERIDA, in concert with others, submitted and approved false invoices from subcontractors allowing him to steal, embezzle and fraudulently convert in excess of $500,000 in funds from the Choctaw Nation of Oklahoma which were used to purchase items for MERIDA and others. The items included firearms, hunting equipment, hunting trips and furniture. MERIDA also willfully failed to report the proceeds of the fraud on his federal income taxes in 2009 and 2010.
The charges resulted from an investigation by the Federal Bureau of Investigation and Internal Revenue Service, Criminal Investigations.
United States Attorney Mark Green stated, “Greed can be a terrible vice! In this case, Jason Merida and his co-conspirators placed their personal gain above the interests of the Choctaw Nation and its members. This verdict is a prime example of justice served when officials abuse a public trust.”
“Last night’s guilty verdict is loud and clear: bribery, conspiracy, money laundering and tax fraud are not acceptable business practices to gain contracts with the Choctaw Nation of Oklahoma,” said R. Damon Rowe, Special Agent in Charge for Dallas Field Office of IRS Criminal Investigation. He continued, “IRS will use every means available to identify and investigate those individuals who utilize illegal means to gain lucrative contracts to the detriment of the Choctaw Nation and to the American taxpayer.”
James Finch, Special Agent in Charge of the Federal Bureau of Investigation added, “The conviction of Jason Merida should serve as a reminder for all public officials to honor their respective offices. Corrupt public officials mar the trust which must exist between citizenry and government, and rob the public of the expectation that public officials will exercise good stewardship of their trust. The FBI and its investigative partners will continue to pursue and bring to justice all who soil their office."
The Honorable James H. Payne, District Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the trial and ordered the completion of a presentence investigation report. The defendant was released while awaiting sentencing.
First Assistant United States Attorney Douglas A. Horn and Assistant United States Attorney Chris Wilson represented the United States.
Former Bookkeeper at Saint Gabriel the Archangel Church and School Pleads Guilty to Embezzling FundsRead the Press Release
– Agreed to restitution in the amount of $83,191 to the Louisville Parish
LOUISVILLE, Ky. – The former bookkeeper at Saint Gabriel the Archangel Church and School pleaded guilty today before U.S. Magistrate Judge James D. Moyer, to embezzling $83,191 in funds from the Louisville parish by means of wire fraud announced David J. Hale, United States Attorney for the Western District of Kentucky.
Tammy Goodlett, 48, of Louisville, admitted in U.S. District Court to devising a scheme to defraud Saint Gabriel. According to the single count indictment, Goodlett committed wire fraud when, as bookkeeper, she exceeded her authorized access by transferring funds from Saint Gabriel’s bank account to her own bank accounts, made unauthorized credit card expenditures, and manipulated financial records to make unpaid debts appear paid. The fraud to obtain funds and services to which she was not entitled began on or about August 13, 2010, and continued to on or about August 6, 2013. Specifically, Goodlett used Saint Gabriel’s credit card for personal expenses, such as concert tickets, without authorization. Also, Goodlett admitted to manipulating Saint Gabriel’s financial records to make it appear that she had paid her daughter’s school tuition at Saint Gabriel when she had not made the payments.
Goodlett has agreed to pay restitution to the victim, Saint Gabriel the Archangel Church and School in the amount of $83,191.
If convicted at trial, Goodlett faced a sentence of no more than 20 years in prison, a fine of no more than $250,000 and a three year period of supervised release. Goodlett is scheduled for sentencing in Louisville on February 27, 2015, at 1 pm before Senior District Judge John G. Heyburn II.
This case is being prosecuted by Assistant United States Attorney Stephanie Zimdahl and is being investigated by the United States Secret Service and the Louisville Metro Police Department.
Fentanyl Trafficker Sentenced to Seven Years Federal PrisonRead the Press Release
PROVIDENCE, R.I. – Victor Sena, 36, of Cranston, was sentenced in U.S. District Court in Providence today to 84 months in federal prison for possession of fentanyl with the intent to distribute. Sena was arrested in March 2014, after law enforcement seized more than 90 grams of fentanyl found stashed inside a container of rice in the kitchen of Sena’s residence.
At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Sena to serve 3 years supervised release following completion of his prison term. Sena pleaded guilty on August 28, 2014, to one count of possession with the intent to distribute fentanyl.
Sena’s sentence is announced by U.S. Attorney Peter F. Neronha; Michael Ferguson, Acting Special Agent in Charge of the DEA’s New England field division; Cranston Police Chief Colonel Michael J. Winquist; East Providence Police Chief Christopher J. Parella; and Woonsocket Police Chief Thomas S. Carey.
“For a drug dealer like the defendant here, there is only one reason to possess such a large amount of fentanyl: to “supercharge” heroin that he is distributing on neighborhood streets," said United States Attorney Peter F. Neronha. " As we have seen far too often this year, such conduct can lead to deadly results, when heroin users overdose on a potent heroin/fentanyl mix. Drug dealing is bad enough. Selling drug mixtures to unwitting addicts that can lead to overdose and even death is even worse. Such conduct deserves the kind of harsh punishment the defendant received today.”
According to information presented to the court, in March 2014, the DEA, in collaboration with the Cranston, East Providence and Woonsocket Police Departments, conducted an investigation into the distribution of heroin and fentanyl in Rhode Island by Sena. Information developed during the investigation led law enforcement to obtain a court authorized search warrant for Sena’s residence.
A search of Sena’s residence on March 25, 2014, resulted in the discovery of four plastic bags each containing 10 grams of fentanyl and a fifth bag with 53 grams of fentanyl, all stashed inside a container of rice. Agents and officers also discovered and seized several items used in the packaging and distribution of fentanyl.
Sena has been detained in federal custody since his arrest on March 25, 2014.
The case was prosecuted by Assistant U.S. Pamela E. Chin.###
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Federal Prisoner in Fairbanks Indicted for Soliciting the Murder of Federal OfficersRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a Fairbanks man who is currently in federal custody at the Fairbanks Correctional Center awaiting sentencing on a number of felony charges has been indicted by a federal grand jury for soliciting the murder of federal officers. The one count indictment alleges that between September 8, 2014 and November 6, 2014, Guy Christopher Mannino, 56, of Fairbanks, solicited another person to commit the murder of multiple unnamed federal officers.
Mannino has been in custody at the Fairbanks Correctional Center since October 2013, following his indictment by a federal grand jury in August 2013, for a number of felony charges related to the unlawful possession and transfer of prohibited weapons, including a machinegun and silencers. Mannino plead guilty in March 2014, to three felony firearms charges for unlawfully possessing and transferring a machinegun equipped with a silencer, as well as an additional felony count of concealing assets from the federal bankruptcy court and creditors in a bankruptcy action which had been filed by Mannino in 2011. He has been in custody awaiting sentencing on those charges, with his sentencing presently scheduled for December 1, 2014.
Assistant U.S. Attorney Joseph Bottini, who presented the case to the grand jury, indicated that the law provides for a sentence of up to 20 years, as well as a fine of $250,000 and up to five years of supervised release following service of a prison sentence for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
The Federal Bureau of Investigation, the United States Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Alaska State Troopers conducted the investigation leading to the indictment in this case.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.Federal Jury Convicts U.S. Army Officer in Connection with Sex Trafficking of Minors SchemeRead the Press Release
In San Antonio today, a federal jury convicted 41-year-old U.S. Army Lieutenant Colonel Raymond Valas of sex trafficking of a minor announced United States Attorney Robert Pitman, Special Agent in Charge Christopher Combs of the FBI’s San Antonio Division and Texas Attorney General Greg Abbott.
The jury found that Valas, a U.S. Army War College fellow at Syracuse University and a member of the New Hampshire National Guard, solicited a minor using the internet for the purpose of engaging in commercial sex. Further, jurors found that Valas knowingly had sex with that minor female in a San Antonio hotel on two occasions in August 2013 while on temporary duty.
Valas faces between ten years and life in federal prison when he is sentenced on February 27, 2015. Following the reading of the verdict, on the motion of the Government, Chief U.S. District Judge Fred Biery remanded Valas into federal custody.
All three of Valas’ co-defendants have been convicted of sex trafficking of minors as a result of this investigation. San Antonio residents Marcus Deshawn Wright, age 38, Malcolm Deandre Copeland, age 22, and Amber Doak, age 20, await sentencing on February 27, 2015.
This case was investigated by the Federal Bureau of Investigation (FBI) together with the San Antonio Police Department. Assistant United States Attorney Bettina Richardson and Special Assistant United States Attorney Geoff Barr from the Texas Attorney General’s Office are prosecuting this case on behalf of the Government.
Federal Grand Jury Indicts Members of Violent South Dallas DTO on Conspiracy, Drug Trafficking, Firearm, Kidnapping, Witness Intimidation/Tampering and Destruction of RecordsRead the Press Release
DALLAS — An 10-count indictment was returned by a federal grand jury in Dallas this week that charges 11 men and women from the Dallas area with various conspiracy, drug trafficking, kidnapping, firearm, witness intimidation/tampering, and records destruction charges stemming from their involvement in a violent drug trafficking operation (DTO) that operated out of the Pleasant Grove area of South Dallas and the Dallas County Jail. The announcement was made today by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Defendants charged and in custody are:
• Patrick D. Lenard, 33, of Pleasant Grove, South Dallas. For significant periods since November 26, 2012, Lenard was incarcerated at Dallas County Jail.
• Juaquai Gregg, of Dallas. Between approximately November 12, 2012, and March 31, 2014, Gregg was incarcerated at Dallas County Jail.
• Joshua Smart, 26, of Dallas. Between approximately December 3, 2012, to November 4, 2014, Smart was incarcerated at Dallas County Jail.
• Shuntocqua Shine, 33, of Dallas. Between approximately November 13, 2012, to November 20, 2012, Shine was incarcerated at Dallas County Jail. She also managed and operated the Groveside Tobacco Gallery on N. Jim Miller Road in Dallas.
• Brandon Florence, a/k/a “Beetlejuice,” 30, of Dallas
• Lashundra Rogers, 35, of Mesquite, Texas. She was one of Lenard’s girlfriends.
• Selena Ball, 29, of Desoto, Texas. From September 23, 2013, to May 27, 2013, Ball worked as an Electronic Monitoring Officer for the Dallas County Community Supervision and Corrections Department, and was assigned to monitor Lenard. She was also one of Lenard’s girlfriends.
• Rory Minafee, 26, of Dallas
• Bonner Ray Tutson, 50, of Dallas
Two additional defendants, Rodney Wynn, 34, of Kaufman, Texas, and Christina Staton, 38, of Dallas, are also charged in the indictment. Wynn was added to the State of Texas’s most wanted list in September 2014 and remains a fugitive. Staton, who, according to the indictment is referred to by the derogatory term “Fatass,” is also a fugitive.
The indictment alleges that Lenard conspired with his 10 codefendants, and others, to run the DTO from approximately July 12, 2012, to November 4, 2014. The DTO trafficked in large quantities of cocaine, heroin and marijuana. In furtherance of its drug-trafficking activities, the Lenard DTO also engaged in violent acts, including kidnapping, assault, beatings, and torture, towards, and of, individuals whom Lenard believed had defied or crossed the Lenard DTO, including his own family members. In addition, the indictment alleges the Lenard DTO intimidated and bribed individuals whom the DTO believed might assist law enforcement in investigating and prosecuting it. The Lenard DTO also took actions to subvert and manipulate state investigative and legal proceedings against the organization.
Count one of the indictment alleges that in November 2012, Lenard, Wynn, Gregg, Smart and Shine conspired to kidnap, and kidnapped, “Victim A.” They captured and assaulted Victim A at gunpoint. Once captured, they took Victim A to an apartment where Victim A was beaten and tortured in an effort to locate cash and other things of value they believed Victim A had taken from the Lenard DTO. Lenard had offered Shine $10,000 to locate Victim A. If convicted on this count, each faces a maximum statutory penalty of life in federal prison and a $250,000 fine.
Count two of the indictment charges Lenard, Wynn, Gregg, Smart and Shine with using, carrying, and brandishing a firearm during or in relation to the kidnapping. If convicted on this count, each faces a statutory penalty of not less than seven years in federal prison and a $250,000 fine.
Count three of the indictment charges Lenard, Wynn, Gregg, Smart and Shine with kidnapping Victim A. If convicted on this count, each faces a maximum statutory penalty of life in federal prison and a $250,000 fine.
Count four of the indictment charges all 11 defendants with conspiracy to possess with intent to distribute five kilograms or more of cocaine, one kilogram or more of heroin, and marijuana. It alleges that from July 12, 2012, to November 4, 2014, the Lenard DTO maintained stash houses for illegal narcotics, negotiated and discussed drug transactions over their cell phones and from phones maintained at the Dallas County Jail; used violence and threats of violence to enforce the Lenard DTO’s goals; recruited and convinced individuals who were responsible for reporting illegal activities to alter, modify, and fail to report those activities; and obstructed or attempted to obstruct the investigation and prosecution of members of the Lenard DTO.
Lenard admitted in a state court proceeding that he and Ball were engaged in a romantic relationship despite her position and the clear conflict. Lenard convinced her to alter, modify, or fail to report violations of Lenard’s conditions of release. Ball purposefully failed to report violations of those conditions by Lenard, who had violated them by approaching, confronting, and attempting to intimidate coconspirators and witnesses to the above-mentioned kidnapping.
If convicted on this count, each faces a statutory penalty of not less than 10 years and up to life in federal prison and a millions in fines.
Count five of the indictment charges Lenard, Florence, Staton, Rogers and Ball with conspiring to intimidate, threaten, corruptly persuade, and engage in misleading conduct toward Victim A to ignore a federal grand jury subpoena and by intimidating Victim A with regard to Victim A’s cooperation with law enforcement. If convicted on this count, each faces a maximum statutory penalty of 20 years in federal prison and a $250,000 fine.
Count six of the indictment charges Lenard, Florence, Staton, Rogers and Ball with conspiring to tamper with a witness, victim or informant by intimidation, threats, corrupt persuasion or misleading conduct. They attempted to convince Victim A to ignore a federal grand jury subpoena and paid money to Victim A to leave the State of Texas. If convicted on this count, each faces a maximum statutory penalty of 20 years in federal prison and a $250,000 fine.
Count seven of the indictment charges Ball with destruction, alteration or falsification of records. It alleges that she knowingly altered, destroyed, concealed, covered up, falsified or made a false entry in electronic monitoring records with the intent to impede, obstruct and influence an investigation. If convicted on this count, Ball faces a maximum statutory penalty of 20 years in federal prison and a $250,000 fine.
Count eight charges Minafee with one count of possession of cocaine with intent to distribute. If convicted on this count, Minafee faces a maximum statutory penalty of 20 years in federal prison and a $1 million fine.
Count nine charges Minafee with possessing a firearm in furtherance of a drug trafficking crime. If convicted on this count, Minafee faces a maximum statutory penalty of five years in federal prison and a $250,000 fine.
Count ten charges Tutson with possession of marijuana with intent to distribute. If convicted on this count, Tutson faces a maximum statutory penalty of 20 years in federal prison and a $1 million fine.
A federal indictment is an accusation by a grand jury. A defendant is entitled to the presumption of innocence unless proven guilty.
The ongoing investigation is being led by the Texas Department of Public Safety (DPS), the Drug Enforcement Administration, the FBI and the Dallas Police Department.
Assistant U.S. Attorneys Errin Martin and P. J. Meitl are prosecuting.
Federal Charges Filed Against Three Men for Jewelry Store Robbery Last WeekRead the Press Release
LAS VEGAS, Nev. – Three local men have been charged with robbing a jewelry store in Las Vegas last week of approximately $700,000 worth of merchandise, announced U.S. Attorney Daniel G. Bogden for the District of Nevada.
Theren Phillip Frazier, 27, Phillip Allerson Vaughn, 25, and Eric Jamar Goodall, 29, of North Las Vegas, are charged in a criminal complaint with one count of interference with commerce by robbery. They made an initial court appearance yesterday before U.S. Magistrate Judge Cam Ferenbach. Frazier and Vaughn were detained pending a preliminary hearing, and Goodall was temporarily detained pending a hearing on Monday. If convicted, they face up to 20 years in prison and a $250,000 fine.
“Our U.S. Attorney’s Office has made the prosecution of violent retail robbery and theft cases a priority,” said U.S. Attorney Bogden. “We have been working with our local police departments and federal partners to identify these violent crime cases with interstate nexus for federal prosecutions. The persons committing these crimes are typically repeat offenders who are unlawfully carrying and using firearms in furtherance of their crimes and are violating federal laws.”
The complaint alleges that at about 2:00 p.m. on Nov. 10, Goodall, who was brandishing a semiautomatic pistol, and Vaughn entered a jewelry store located just off the Las Vegas Strip, and told victims to get down on the floor while they demanded jewelry and robbed the display cases of several hundred items of jewelry. Vaughn and Goodall loaded the jewelry into a backpack and left the store with about $700,000 worth of merchandise. They were observed fleeing in a small white sedan driven by Frazier. Las Vegas Metropolitan Police Department (LVMPD) officers followed the white car to a warehouse about a mile north, where Goodall and Vaughn jumped from the vehicle while it was still moving, and were apprehended. Officers found the white vehicle badly damaged in a nearby casino valet area, and recovered from it a semiautomatic pistol and all of the jewelry from the robbery. Frazier was arrested three days later by an FBI-led Criminal Apprehension Team task force.
The case is being investigated by the FBI and LVMPD, and is being prosecuted by Assistant U.S. Attorneys Kathryn C. Newman and Daniel Cowhig.
The public is reminded that a criminal complaint contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.