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15 January 2015
Defendant with Ties to Mexican Cartel Sentenced to 18 Years for Drug ConspiracyRead the Press Release
Savannah, GA: Eric Arrana-Garcia, 39, a citizen of Mexico who previously lived in Blackshear, Georgia, was sentenced last week by United States District Judge William T. Moore, Jr. to 18 years in prison for his role in a meth conspiracy operating in southeast Georgia and elsewhere. Arrana-Garcia is the last defendant to be sentenced as part of “Operation Ice Breaker,” a joint federal and state investigation which targeted a drug trafficking ring with ties to a Mexican drug cartel.
According to evidence presented in court hearings and in court documents, Arrana-Garcia received large quantities of crystalized methamphetamine (also known as “Ice”) from Mexican sources in California, which he transported for distribution throughout southeast Georgia. In addition, Arrana-Garcia had an arsenal of firearms, many of which he used during various drug transactions, sold, or traded for Ice. Arrana-Garcia was identified by coconspirators as a Mexican drug cartel member who could “make undesirables disappear.”
As part of Operation Ice Breaker, large quantities of Ice and multiple firearms were seized. In addition, 6 other defendants were convicted and received lengthy sentences:
- Jorge Ramos, 42, a citizen of Mexico previously living in Savannah, was sentenced to 163 months in prison;
- Mary Riggins, 48, from Blackshear, Georgia, was sentenced to 156 months in prison;
- Vernon Dowlings, 30, from Blackshear, Georgia, was sentenced to 128 months in prison;
- Jacob Lattanzie, 28, from Blackshear, Georgia, was sentenced to 87 months in prison;
- James Yarbrough, 36, from Blackshear, Georgia, was sentenced to 74 months in prison; and,
- Joshua King, 29, from Blackshear, Georgia, was sentenced to 135 months in prison.
Operation Ice Breaker was investigated by Homeland Security Investigations (HSI), ATF, FBI, the Chatham County Counter Narcotics Team (CNT), the Glynn Brunswick Narcotics Enforcement Team (GBNET), the Pierce County Sheriff’s Office, and the Blackshear Police Department. Assistant United States Attorneys E. Gregory Gilluly, Jr. and Tania D. Groover prosecuted the cases on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Computer Analyst Sentenced to Three Years in Prison for Stealing Trade Secrets from Citadel and Previous EmployerRead the Press Release
CHICAGO — A highly-skilled computer science engineer, YIHAO PU, who a prosecutor said “meticulously planned and brazenly executed” stealing sensitive trade secrets from two former employers ― a trading firm in New Jersey and later Citadel, LLC, a Chicago-based financial firm ― was sentenced today to three years in federal prison. Later today, Pu’s colleague, SAHIL UPPAL, who worked with and aided Pu at both firms, was sentenced to three years’ probation for obstruction of justice.
Pu, 27, currently of Waltham, Mass., and also known as “Ben Pu,” was ordered to begin serving his sentence on May 1, and was placed on three years of court supervision following his release from custody. Uppal, 27, of Colts Neck, N.J., and also known as “Sonny Uppal,” was placed on three years’ probation. U.S. District Judge Charles Norgle, who imposed the sentences, also ordered Pu and Uppal each to pay restitution totaling $759,649 to Citadel to cover the cost of its investigation. Both defendants pleaded guilty last August in Federal Court in Chicago.
“Pu committed theft on a grand scale from not one, but two, employers. What Pu stole was a proven money-making system from Company A and valuable trade secrets from Citadel. He stole extremely valuable intellectual property consisting of HFT [high frequency trading] computer code and alpha outputs that generated millions of dollars each year, cost millions of dollars to build, and took teams of professionals years to develop and refine ― all of which generated millions of dollars in profits per year,” Assistant U.S. Attorney Patrick M. Otlewski argued in a sentencing memo.
According to their guilty pleas and court documents, Pu graduated from Cornell University and Uppal graduated from Carnegie Mellon University, and they worked together at Company A in Red Bank, N.J., in 2009 and 2010. By late 2009, they planned to develop trading strategies for themselves and not for the benefit of their employers. In March 2010, the day before Pu resigned from Company A, he accessed the firm’s secure internal computer servers and downloaded thousands of files containing Company A’s trade secrets and copied them onto a personal hard drive.
Pu began working at Citadel in May 2010 as a quantitative financial engineer and his responsibilities included working with analysts and researchers to develop and enhance Citadel’s high frequency trading strategies. As part of his duties, Pu was permitted to use his office computer to access a folder stored on Citadel?s servers that contained information and data related to predictions signals commonly referred to as “alphas,” which are the building blocks of Citadel’s automated electronic trading algorithms and strategies. The alphas use incoming market data and other information to predict the movement of investment instruments and relevant market activity.
Pu bypassed Citadel’s security measures and stole thousands of files that contained Citadels’ alpha outputs. Pu then used those alphas in his own high frequency trading strategy for his own personal investment account in an effort to replicate Citadel’s trading for his own benefit. When Uppal joined Pu at Citadel, they continued their scheme to benefit themselves during the summer of 2011. Uppal transferred to Pu three computer files containing Citadel trade secrets without Citadel’s authorization.
On Aug. 26, 2011, Citadel confronted Pu about suspicious activity on his work computer, and Pu returned home and began destroying evidence. With Uppal’s help, Pu took a half dozen hard drives to a friend’s apartment, and a few days later Pu instructed his friend to get rid of them. The friend discarded six of the hard drives in a sanitary canal in Wilmette, while keeping another one at his apartment. Uppal obstructed justice by helping Pu conceal evidence and Uppal lied when he too was confronted and questioned by Citadel.
Judge Norgle found that the crimes caused a total intended loss of approximately $12.2 million. Citadel brought their investigation to the attention of federal authorities and fully cooperated with the government’s investigation.
The sentence was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois, and Robert J. Holley, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation. The government was represented by Assistant U.S. Attorneys Patrick M. Otlewski and Lindsay C. Jenkins.
Charenton Man Pleads Guilty to Possession with Intent to Distribute MarijuanaRead the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley announced today that a Charenton man pleaded guilty to possessing marijuana with intent to distribute.
Steven Quinn Vilcan, 46 of Charenton, La., pleaded guilty before U.S. District Judge Richard Haik for one count of possession with intent to distribute marijuana. According to the guilty plea, law enforcement agents learned that marijuana was present at Vilcan’s home, which is located on Chitimacha tribal lands in Charenton. The home was searched on July 7, 2014, and 3,232 grams of marijuana were found inside a duffle bag in the closet of a spare bedroom.
Vilcan faces up to five years in prison, two years supervised release, and a $250,000 fine. A sentencing date was not set.
Jurisdiction in Indian Country is based upon the unique sovereign relationship between the federal government and Indian tribes. Congress has criminalized certain acts that take place in Indian Country. The U.S. Attorney’s Office prosecutes all felony and misdemeanor cases arising in Indian Country that are within the jurisdiction of this office.
The FBI and the Chitimacha Tribal Police Department conducted the investigation. Assistant U.S. Attorneys Jamilla A. Bynog and John Luke Walker are prosecuting the case.
Chambersburg Man Indicted for Sex Trafficking of MinorsRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that yesterday a federal grand jury in Harrisburg, returned an indictment against Albert E. Martinez, age 34, a resident of Chambersburg, Pennsylvania. The indictment charges Martinez with sex trafficking of a minor, transportation of an individual to engage in prostitution, and transportation of a minor with the intent to engage in sexual activity.
According to United States Attorney Peter Smith, Martinez allegedly recruited and transported females between the ages of 16 and 18 years old to engage in commercial sex acts in motels in Pennsylvania, Maryland, Virginia, West Virginia, Florida, and Rhode Island. Martinez allegedly rented motel rooms and posted “escort” advertisements and photographs on a website from October 2013 through September 2014.Late yesterday, Martinez was arrested by the FBI and the Chambersburg Police Department. He was arraigned today in Harrisburg before Chief Magistrate Judge Martin C. Carlson and ordered temporarily detained pending his detention hearing.
The maximum sentence for the charge is up to life imprisonment, a mandatory minimum sentence of 10 years’ imprisonment on the offenses involving a minor, and a $250,000 fine.This investigation, which is continuing, is being conducted by the Federal Bureau of Investigation, Chambersburg Police Department, and the Franklin County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Meredith A. Taylor.
Anyone with information regarding this case is to contact the Harrisburg office of the FBI at 717-232-8686.
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."
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.
Cambria County Man Sentenced to Probation with Home Detention for Possessing Weapon with Removed Serial NumberRead the Press Release
JOHNSTOWN, Pa. - A resident of Blandburg, Pa., has been sentenced in federal court to five years probation, the first 12 months of which must be served by conditions of home confinement, on his conviction of unlawful possession of a firearm which had the serial number removed, United States Attorney David J. Hickton announced today.
United States District Judge Kim R. Gibson imposed the sentence on Aaron C. Spanik, 35.
According to information presented to the court, on Nov. 3, 2011, Spanik unlawfully possessed a Kahr Arms pistol which had the manufacturer's serial number removed and which had been shipped in interstate or foreign commerce.
Assistant United States Attorney John J. Valkovci, Jr., prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pennsylvania State Police and the Allegheny Township Police Department for the investigation leading to the successful prosecution of Spanik.
According to Mr. Hickton, Spanik was prosecuted as part of Project Safe Neighborhoods, a collaborative effort by federal, state and local law enforcement agencies, prosecutors, and communities to prevent, deter, and prosecute gun crime.
California Man Pleads Guilty to Heroin TraffickingRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 28-year-old Fresno, California resident pleaded guilty today before U.S. Magistrate Judge Karoline Mehalchick in Scranton, to possessing with intent to distribute more than one kilogram of heroin.
According to United States Attorney Peter Smith, the defendant, Jose Rosario Huizar-Rios, admitted to helping transport 23 kilograms of heroin, with a street value of more than $1 million, from California to the Mt. Pocono area of Monroe County in July 2014.
Huizar-Rios and three others were indicted by a federal grand jury in July 2014, as a result of an investigation by the Drug Enforcement Administration and the Pennsylvania State Police. One of the co-defendants, Livier Cantor-Huizar, previously entered a guilty plea and is awaiting sentencing.
Judge Mehalchick ordered a pre-sentence investigation report to be completed. Huizar-Rios will be sentenced by Senior U.S. District Court Judge Richard P. Conaboy at a future date.
Huizar-Rios faces a mandatory minimum sentence of 10 years in prison and a possible maximum sentence of life in prison. The defendant, who is not a U.S. citizen, also faces possible deportation from the United States.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Butte County Man Pleads Guilty to Drug Trafficking and Being A Felon in Possession of A FirearmRead the Press Release
SACRAMENTO, Calif. — Seth Michael Bertolini, 44, of Chico, pleaded guilty today to one count of being a felon in possession of a firearm and one count of drug trafficking, United States Attorney Benjamin Wagner announced.
This case is the product of an investigation by the Federal Bureau of Investigation, the Chico Police Department, and the Butte County Sheriff’s Office. Assistant U.S. Attorney Michelle Rodriguez is prosecuting the case.
According to court documents, on June 4, 2014, law enforcement officers in Chico stopped Bertolini for driving with his car’s radio system playing too loudly. Bertolini emerged from his car appearing animated and agitated and he initially squared off to fight before turning and fleeing. After a foot pursuit, officers arrested Bertolini and found over 35 grams of packaged heroin on his person and in his car and a fully loaded Smith and Wesson .32 caliber revolver. During a later search of Bertolini's residence, more heroin, trafficking paraphernalia, and another gun were found. Bertolini has suffered multiple prior felony convictions.
Bertolini is scheduled to be sentenced on April 16, 2015, by U.S. District Judge Troy L. Nunley. Bertolini faces a maximum sentence of 10 years in prison for the gun offense and up to 20 years in prison for the drug trafficking offense. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Browning Bank Robber Sentenced to 17 Years in Federal PrisonRead the Press Release
GREAT FALLS—Ronald Joseph Fourhorns, 31, of Browning, Montana, was sentenced today—January 15, 2014—to 210 months in federal prison for robbing the Native American Bank in Browning in March of last year, according to the U.S. Attorney’s Office. Four Horns was also sentenced to three years of supervised release that will be served once he is out of prison, $4,000 in restitution, and a special assessment of $100 by U.S. District Judge Brian Morris during a federal court hearing in Great Falls.
Fourhorns was sentenced following his November 3, 2014, guilty plea to bank robbery. Assistant U.S. Attorney Ryan Weldon told the Court that on March 21, 2014, Fourhorns entered the Native American Bank in Browning, Montana. Fourhorns sat down and waited for a bank teller window to become available. As the lines of the bank tellers opened, Fourhorns went to a window and passed the bank teller a note, which stated: “I have a gun, give me all your money or I’ll start shooting.” Witnesses would have testified, according to AUSA Weldon that Fourhorns had on heavy make-up in an apparent attempt to conceal the tattoos on his face. Some of these tattoos consisted of the words “Crip,” which was on this forehead, “Vicious” on his upper lip and “Indian” on his lower lip. The teller surrendered $4,000 in cash and Fourhorns left the bank. Law enforcement used surrounding video surveillance and an identification of the get-away vehicle to determine that Fourhorns was the bank robber. Weldon also told the Court that witnesses saw Fourhorns near the Native American Bank on the day of the robbery and with a tremendous amount of cash, in the same denominations as that taken from the bank teller, after the robbery.
The statutory maximum for bank robbery is twenty years. The District Court sentenced Fourhorns to 210 months, or 17 years, in federal prison. Because there is no parole in the federal system, Fourhorns will likely be incarcerated for almost all of the 17 year sentence. Fourhorns will have the opportunity to shorten the term of custody by as much as 15 % for good behavior while in prison.
This case was investigated by the Federal Bureau of Investigation and local law enforcement.
Bradford County Man Pleads Guilty to Possessing Child Pornography and Wire FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 68-year-old Sayre, Pennsylvania resident pleaded guilty today before U.S. Magistrate Judge Karoline Mehalchick in Scranton, to possessing child pornography and participating in a wire fraud scheme.
According to United States Attorney Peter Smith, the defendant, Harold Schrader, pleaded guilty to charges filed in November 2014. Schrader admitted that he possessed child pornography on a computer in 2012, and participated in a fraud scheme during 2008-2011. The fraud scheme involved using the internet to solicit overseas loans from others totaling more than $200,000. Those loans were never repaid.
The charges against Schrader resulted from an investigation by the Department of Homeland Security and the Pennsylvania State Police.
Schrader faces up to 30 years in prison and a $1 million fine for wire fraud, and up to 10 years in prison and a $250,000 fine for the child pornography charge. Schrader will be sentenced by Senior U.S. District Court Judge Richard P. Conaboy at a future date.
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."
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Boise Man Pleads Guilty to Internet Sex CrimeRead the Press Release
BOISE - William Bryon Chest, 41, of Boise, Idaho, pleaded guilty today to transfer and attempted transfer of obscene images to minors, U.S. Attorney Wendy J. Olson announced. Sentencing is scheduled for March 26, 2015, before United States District Judge Edward J. Lodge.
According to the plea agreement, in April and May 2014, Chest sent sexually explicit images accompanied by graphic sexual messages to a 13-year-old girl from Oregon. The girl notified the FBI in Portland and an agent took over her identity and continued to communicate with Chest. According to the plea agreement, Chest made similar online advances and sent obscene images to the undercover agent. Chest was arrested at his home in Boise on September 25, 2014, and remains in custody.
The charge of transfer of obscene images to a minor is punishable by up to ten years imprisonment, a fine of up to $250,000.00, and up to three years supervised release.
The case was investigated by the Federal Bureau of Investigation in Portland and Boise, assisted by officers from the Boise Police Department.
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.”
Austin Michael Stallard Sentenced to 121 Months on Drug and Firearm ChargesRead the Press Release
GREENEVILLE, Tenn. – On Jan. 13, 2015, Austin Michael Stallard, 19, of Kingsport, Tenn., was sentenced by the Honorable R. Leon Jordan, U.S. District Court Judge, to serve 121 months in federal prison for his role in an a-PVP (alpha-pyrrolidinopentiophenone) distribution conspiracy centered in and around the Sullivan County, Tenn., area and for possessing hydromorphone and a firearm in furtherance of his drug trafficking. A-PVP is a synthetic drug which is commonly referred to on the street as “gravel.”
According to Stallard’s plea agreement on file with U.S. District Court, in April 2013 he was pulled over for a traffic stop in Kingsport, Tenn. As the officer approached the vehicle, Stallard initially refused to raise his right hand. He later told the arresting officer that he had been manipulating a pistol magazine at the time. A search of the vehicle revealed: a .40 caliber Glock pistol under the driver’s seat; three additional fully loaded .40 caliber Glock pistol magazines in the glove compartment; a total of 58, .45 caliber bullets; a shoulder holster; a gun case; and two boxes of .40 caliber ammunition containing another 19 rounds. Upon being transported and booked into the Kingsport Police Department jail, officers located 60 hydromorphone pills in a black 35mm type container hidden underneath Stallard’s clothing near his buttocks.
In July 2013, Stallard led police officers on a lengthy, high speed car chase through the Eastern District of Tennessee and parts of the Western District of Virginia. During the chase, Stallard struck a concrete retaining wall and at another point, struck a parked car. His vehicle reached at least 85 mph and he tossed various baggies from the window of the vehicle as he led officers on the pursuit. The chase ended when his right front tire exploded, although he continued for a period of time on the wheel’s rim. Stallard told law enforcement officers that he had been trying to get them to chase him all day. A search of the interior of his vehicle revealed a number of different kinds of drugs, including oxycodone, hydromorphone and a-PVP. A stun gun was also located inside the vehicle.
Stallard stipulated in his plea agreement that he conspired to distribute a conservative estimate of 1,200 grams of a-PVP in the Eastern District of Tennessee and elsewhere. He was involved in dealing a-PVP and was indicted with a number of his family members. Stallard’s cousin and father both have been convicted on a-PVP conspiracy charges and are awaiting sentencing. Other family members, Peggy Stallard, 55, and Leslie Stallard, 37, both of Kingsport, Tenn., were previously sentenced to terms of 60 and 72 months in prison respectively.
U.S. Attorney William C. Killian stated, “Gravel” is a very dangerous and harmful substance. We are pleased with these significant sentences and believe that they reflect the seriousness of the crimes committed.”
Law enforcement agencies participating in the investigation which led to the indictment and subsequent conviction and sentencing of Stallard and his co-defendants include the Drug Enforcement Administration, Bureau of Alcohol, Tobacco and Firearms, Department of Homeland Security Investigations, Sullivan County Sheriff’s Office, Kingsport Police Department, Hawkins County Sheriff’s Department, Johnson City Police Department, Greeneville, Tennessee Police Department, Hendersonville, North Carolina Police Department, and Scott County, Virginia Police Department. Assistant U.S. Attorney Wayne Taylor represented the United States.
Attorney General Holder Urges Improved Data Reporting on Both Shootings of Police Officers and Use of Force by the PoliceRead the Press Release
In a speech at a Justice Department ceremony honoring the late Rev. Martin Luther King, Jr., Attorney General Eric Holder said Thursday that the nation must improve police officer safety at the same time that it confronts the sense of mistrust between law enforcement and the communities they serve. As an initial step, the Attorney General called for better reporting of data on both issues, noting that the current level of reporting by localities on both uses of force by police—as well as officer fatalities—was incomplete.
“The troubling reality is that we lack the ability right now to comprehensively track the number of incidents of either uses of force directed at police officers or uses of force by police,” the Attorney General said in his remarks. “This strikes many – including me – as unacceptable. Fixing this is an idea that we should all be able to unite behind.”
Currently, federal authorities publish annual figures on the number of “justifiable homicides” by law enforcement, as well as figures on the number of law enforcement officers killed or assaulted. But since reporting is voluntary, not all police departments participate, causing the figures to be incomplete. In his comments Thursday, the Attorney General urged improving the method for collecting both these sets of data.
“This would represent a commonsense step that would begin to address serious concerns about police officer safety, as well as the need to safeguard civil liberties,” he said.
A complete version of the Attorney General’s remarks, as prepared for delivery, appear below:
“Thank you, Vanita [Gupta], for those kind words – and thank you all for being here. It’s a privilege to welcome such a distinguished crowd to the Great Hall for this important observance and on what will be my last opportunity to share it with you as Attorney General. It’s a pleasure, as always, to join so many valued colleagues and good friends in paying tribute to the enduring legacy of an extraordinary leader; in celebrating the contributions of a singular figure in our nation’s history; and in honoring the memory of a lifelong champion for equality, for peace, and for justice: the Reverend Dr. Martin Luther King, Jr.
“I am glad to share the stage this morning with Dorothy Williams, Richard Toscano, Thomas Wright, and of course Assistant Attorney General Gupta. I’d like to thank every member of the Junior ROTC Color Guard for opening today’s ceremony. I want to extend a special welcome to civil rights activist Dorie Ann Ladner, whom we’re honored to have with us today. And I particularly want to thank all of you for taking time out of your busy schedules to participate in this annual event – on what should have been Dr. King’s 86th birthday – as we join millions of our fellow citizens, throughout the country, in remembering the man who helped to lead a sweeping movement that forever changed the face of America – and inspired people around the world to reach for opportunity and inclusion.
“The remarkable and enduring achievements of the Civil Rights Era – in tearing down segregationist policies, expanding access to the ballot box, and enshrining key protections into law – did nothing less than alter the course of history. The impact of the Movement has been transformative, and its power impossible to measure, over the last five decades. Yet, as we’ve been reminded all too clearly in recent months – despite this once-unimaginable progress – there’s no denying, as we gather for this important commemoration, that a great deal of work remains to be done. Even today, in 2015, our journey is not yet complete. Economic progress remains uneven, educational opportunity is still not uniform, the right to vote is under siege. And we continue to live in a world that’s too often divided – a world riven by misunderstanding and despair. A world beset by momentous challenges, old and new. And a world badly in need of the compassion, the inclusion, and the healing that Dr. King stood for, and worked toward, throughout his too-short 39 years.
“Especially in this time of trial, it is not only fitting – but essential – that we rededicate ourselves to the vision, and the values, that guided Dr. King at every stage of his career. Today – just as they did 50 years ago – these values point us away from tired rhetoric and stale talking points. They move us toward open dialogue and constructive engagement. They impel us to remember the common humanity that Dr. King found in every person he met – in police officers as in protestors; in prisoners as in presidents. And they call us to the service of our fellow citizens, the betterment of our nation, and the protection of all that is exceptional about the country we love. After all, as Dr. King once said, “everybody can be great [. . .] because everybody can serve.”
“I am mindful, as we come together this morning, that there are few who answer this call to greatness more heroically – and fewer still who make more contributions and sacrifices in the name of public service – than those who stand on the front lines of our fight for public safety: America’s brave men and women in law enforcement.
“As the brother of a retired police officer, I know in a personal way that these courageous individuals perform their difficult and dangerous jobs with extraordinary valor, compassion, and honor. They serve as steadfast guardians of our rights and liberties – shouldering tremendous and often-unheralded burdens. They incur significant risks in order to keep the rest of us safe. And they are routinely called upon to make split-second decisions to protect themselves and those around them.
“In short, they are true American heroes – whose patriotism, integrity, and commitment to the highest standards of excellence are simply beyond question. I know this. And I have been troubled and deeply disturbed by recent mischaracterizations of this Administration’s regard for those who wear the badge.
“Over the past six years, our record of support for law enforcement has been both strong and unambiguous. This Justice Department, under my leadership, has taken significant, and in some cases unprecedented, steps to protect and empower our local, state, tribal, and federal law enforcement colleagues. This is simple fact. In 2011, I created an Officer Safety Working Group in response to concerns about officer-directed violence. Through groundbreaking initiatives like VALOR, the Department is providing cutting-edge training to help prevent violence against law enforcement, to improve officer resilience, and to increase survivability during violent encounters. We’re currently funding thorough analysis of 2014 officer fatalities, including ambushes and other incidents, so we can mitigate risks going forward. Under our Bulletproof Vest Partnership Program, we’re helping to provide lifesaving equipment to those who serve on the front lines. And through programs like the Public Safety Officers’ Benefits Program, we’re offering our strongest support to brave officers and their loved ones during the toughest of times.
“As someone who knows firsthand the pride of seeing a family member in uniform – and the anguish that comes with knowing a loved one is in harm’s way, out patrolling the street – my personal support for those who serve has been steadfast throughout my career. I believe that every law enforcement officer is deserving not merely of our utmost respect, but our deepest gratitude. And that’s why last month’s devastating and barbaric attack – which claimed the lives of two of New York’s finest, Officers [Wenjian] Liu and [Rafael] Ramos – was so shocking, and so deplorable.
“These senseless murders were assaults on us all – on our nation, on the rule of law, and on everyone who stands for justice. They serve as tragic reminders of the dangers that all of our police officers regularly face. And they have lent new urgency to our ongoing, national conversation about the need to reduce crime – while at the same time building public trust wherever it has been eroded.
“This afternoon, I’ll be traveling to Philadelphia to convene the latest in a series of roundtable discussions – with law enforcement leaders, elected officials, community members, young people, and civil rights advocates – in order to keep advancing this dialogue. Over the course of my travels throughout the country, I’ve had the chance to discuss these critical issues with Americans of all ages, backgrounds, races, ethnicities, and walks of life – from Atlanta to Cleveland; from Memphis to Chicago.
“I’ve heard from police officers, protesters, faith leaders, and concerned citizens. On many occasions, I have been deeply moved by the stories and perspectives I’ve heard – from parents hoping to secure brighter and safer futures for their children; from passionate young people becoming engaged in our national debate; from police officers valiantly putting their lives on the line to make our neighborhoods just a little bit safer.
“Through all of these interactions, I have been struck not by the differences that have emerged, but by the remarkable commonalities. By the desire for peace, for safety, and for justice that drives everyone who’s engaged in this discussion. And by the shared vision of a better tomorrow, and a more secure and inclusive future, that unites all Americans.
“Let me be clear: none of these goals are in tension. None of our aims are in conflict. And so it is incumbent upon all of us to protect both the safety of our police officers and the rights and wellbeing of all of our citizens.
“We can, and we must, examine new ways to do both. The first step to achieving this is to obtain better, more accurate data on the scope of the challenges we face. For instance, I’ve heard from a number of people who have called on policymakers to ensure better record-keeping on injuries and deaths that occur at the hands of police. I’ve also spoken with law enforcement leaders – including the leadership of the Fraternal Order of Police – who have urged elected officials to consider strategies for collecting better data on officer fatalities. Today, my response to these legitimate concerns is simple: we need to do both.
“This would represent a commonsense step that would begin to address serious concerns about police officer safety, as well as the need to safeguard civil liberties. The troubling reality is that we lack the ability right now to comprehensively track the number of incidents of either uses of force directed at police officers or uses of force by police. There has been some effort to address this in the past – in the 1990s, for example, Congress enacted legislation intended to help the Justice Department collect data on officer-involved shootings. But since the reporting remains optional, and perhaps lacks sufficient incentives, many localities do not provide this data. Likewise, absent a requirement for reporting of injuries and deaths of police officers, many localities fail to report these statistics as well. This strikes many – including me – as unacceptable. Fixing this is an idea that we should all be able to unite behind.
“On a more fundamental level, our shared objectives also require that we work together to confront the mistrust that exists – in some places – between law enforcement officers and the communities they serve. This is why President Obama and I have announced a variety of proposals that will enable us to bridge these divides wherever they are uncovered – from a National Initiative for Building Community Trust and Justice, to new funding for body-worn cameras. In recent weeks, I have also announced improvements to racial profiling guidance that applies to all federal law enforcement agents conducting law enforcement activities. And the President has taken the historic step of convening a new Task Force on 21st Century Policing – which held its first hearing just two days ago, and which – under the leadership of Philadelphia Police Commissioner Charles Ramsey, former Assistant Attorney General Laurie Robinson, and other law enforcement leaders and experts – will provide strong, national direction to the profession as a whole, on a scale not seen since the Johnson Administration.
“I want to emphasize that these reforms are not aimed at individual officers themselves – who perform their jobs with distinction each and every day. Rather, they are intended to strengthen the criminal justice system as a whole, as well as the policies and procedures that shape this system and govern the way it functions. This will improve public confidence – allowing law enforcement to operate with maximum safety, effectiveness, fairness, and legitimacy – in every case and circumstance. And it will help to ensure that our present dialogue can be translated into positive, meaningful action.
“We owe it to our brave law enforcement officers, to peaceful demonstrators – and, especially, to our youngest citizens – to talk forthrightly about the issues we face, no matter how difficult or complex they may be. We owe it to ourselves and our nation to seek areas of consensus, rather than to exploit old divisions and reopen old wounds. Most of all, we owe it to those who, throughout history, have fought, and sacrificed, and given their lives to bring our country to this moment – from Dr. King and the pioneers of the Civil Rights Era, to Officers Ramos and Liu and the colleagues who carry on their work – to lay aside meaningless grievances. To reject political posturing from those who only demonstrate their interest in front of television cameras. And to do everything in our power to confront the challenges of our time – and find a way to move forward – together.
“During my visit to Memphis last month, I had the opportunity to tour the National Civil Rights Museum at the Lorraine Motel, where Dr. King’s room is preserved just as it was on April 4, 1968 – the night he was taken from us by the very same forces of intolerance against which he had stood throughout his life.
“I could not help but think, as I stood on that motel balcony, about this great leader’s unshakeable belief that promoting love – and condemning all forms of violence – is the only way to “cut off the chain of hate.”
“I thought, as well, of the words of my predecessor as Attorney General, Robert Kennedy – who spoke about Dr. King’s legacy, and what he called the “mindless menace of violence,” just one day after Dr. King’s untimely murder. In that emotional speech, then-Senator Kennedy urged a grieving nation to remember that “[t]he victims of . . . violence are black and white, rich and poor, young and old, famous and unknown.” And he reminded us that – no matter where they came from or who they were – in life, all of these victims were “. . . human beings whom other human beings loved and needed.”
“As we gather today, in the shadow of recent acts of senseless violence, I cannot help but reflect on the lives that have been lost over the past few months – in communities where tragic deaths have exposed rifts between citizens and law enforcement; in New York City, where two brave police officers were murdered because of the uniforms they wore; and in Paris, where heinous and cowardly acts of terror shocked the world and targeted the freedoms we all hold dear.
“Unfortunately, none of this is new to us. Senseless violence has coursed through the veins of this world for ages. And we have seen, throughout history, that acts of hatred breed only hatred. We understand that words of division only deepen division. And we know that our most serious and systemic challenges continue to demand the very best of us – just as they did in Dr. King’s time.
“So today, once again, let us not shy away from – but embrace – the noisy discord of honest, frank, and vigorous debate. Never forget – this great nation was born of protest – by residents of this land who took to the streets to demand fairness from those who governed them. Let us never fail to support those who wear the badge, or to work alongside them in building a constructive dialogue – a dialogue founded on our common humanity. Let us act on the crucial recognition that those who serve with honor serve greatly – and they deserve our deepest respect. And let us reject the empty rhetoric of anyone who would engage in cynical attempts to divide and cast blame – choosing instead to affirm once more that Americans from all backgrounds and perspectives must come together to be part of positive change.
“In this great country – a nation of laws and of high ideals – we have always had the power to forge our own future. Dr. King’s example offers inspiring proof of this fact. And that’s why, as our present work unfolds – so long as we continue to rely on the engagement of our citizens, the ongoing commitment of our police officers, and the singular expertise and experience of leaders like you – I believe there is good reason for confidence in where this effort will take us.
“I want to thank you all, once again, for your dedication to this work. Wherever I am and whatever I am doing, I will always be proud to count you as colleagues and partners in the work of making better the nation that we all love.
“Thank you for all that you have done these past six years and for all that you will do in the years ahead. “
Arrest and Indictment of Forty Individuals for Social SecurityRead the Press Release
SAN JUAN, P.R. - On January 12 and 13, 2015 a Federal Grand Jury in the District of Puerto Rico returned 39 separate Indictments charging one doctor, Luis Escabi-Pérez, and 39 other individuals for fraud in the application process for Social Security Administration (SSA) disability insurance benefits in Puerto Rico, announced United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez Vélez.
The SSA is responsible for the implementation of the Disability Insurance Benefits Program. The SSA provides monetary benefits to workers with severe, long-term disabilities, who have worked in SSA covered employment for a required length of time. Spouses and dependent children of disabled workers may also be eligible to receive benefits.
Pursuant to SSA regulations, a claimant must prove to SSA that he or she is disabled by furnishing medical and other evidence with the application. The application and supporting evidence would then be evaluated by SSA to determine the individual’s medical impairments and determine the effect of the impairment on the claimant’s ability to work on a sustained basis.
Defendant Luis Escabi-Pérez, psychiatrist, submitted Psychiatric Medical Reports to the SSA in support of applications for disability insurance benefits submitted by his patients. Escabi-Pérez charged a fee for the medical visits, typically in the amount of $100.00. In addition, the defendant typically charged a fee in the amount of $500.00, for the preparation and submittal of a Psychiatric Medical Report to the SSA. He would at times also charge additional fees of up to $5,000 to backdate medical records in order to create the appearance of a longer history of medical treatment.
For example, on January 15, 2014, Escabi-Pérez submitted a medical report to the SSA suggesting that a patient who was generally in good health, and was not suffering from any physical or mental disabling conditions, was in fact suffering from disabling psychiatric conditions, and that the first medical visit of this patient to him was in April, 2013, when in truth this patient’s first visit was in November of 2013.
The patient initially received $11,242 as a retroactive payment calculated from the date of entitlement through the approval date. Thereafter, the patient received monthly disability insurance benefit payments of approximately $1,536.00. The total amount of benefits paid to the patient from the date of entitlement through the date of this Indictment is approximately $27,096. Escabi-Pérez is also facing one charge of wire fraud. As part of the manner and means of the conspiracy, the doctor submitted via facsimile transmission the psychiatric report to the SSA supporting the existence of the alleged psychiatric conditions suffered by the patient in spite of the fact that these psychiatric conditions were contrived.
Five indictments charge five individuals along with doctor Escabi-Pérez of conspiracy to defraud the United States, wire fraud, theft of government property, concealment of failure to disclose an event to SSA and false statement in determining rights for disability. These defendants, aiding and abetting each other, knowingly and willfully embezzled, stole, and converted to their own use the Social Security Disability Insurance Benefit payments to which the defendants knew that they were not entitled.
Another five defendants filed SSA applications during the year 2011 indicated the defendants were unable to work due to “back problems, cervical conditions, pain, carpal tunnel, arms numbed, legs numbed, depression”, to mention a few. These defendants are charged with theft of government property because they embezzled, stole and converted to their own use or the use of others, Social Security Disability Insurance Benefit payments to which they knew they were not entitled. These defendants are also charged with false statement in determining rights for disability because they lied in the Disability Report (Form SSA-3368). The defendants stated that they stopped working because of their conditions, although the defendants knew that they stopped working because of a release agreement signed with pharmaceutical companies.
A third charge is for concealment or failure to disclose an event to SSA. These defendants intentionally concealed or failed to disclose the fact that their medical conditions had improved.
Twenty-nine defendants are facing two charges: theft of government property and concealment or failure to disclose an event to SSA.
The defendants who illegally received the benefits are: Wilma Bolet, Juana Concepción-Santana, Miriam Cosme-García, Yesenia De Jesús, Ramona García, María García-Reyes, Pedro Laureano-Vàzquez, Juan López-Rivera, Elizabeth Maldonado-Laureano, Fernando Marrero-Padilla, Ernie Martell-Orta, Ángel Montes-Orria, Lourdes Reyes-Medina, Candi, Rojas-Molina, Ángel Romàn-Santana, Miguel Santana-Ríos, José Valle-Oliveras, Edna Vargas-Valdés, Agustín Vàzquez-Izquierdo, Orlando Pérez-Juarbe, Jorge Fraguada-Romero, Elsie Boneta-Romàn, Julio César Álamo-Casiano, Manuel Rivera-Santos, Francisco Declet, Luis Reyes-Serrano, Ismael Alicea-Berdecía, Rosa Espinosa-Gonzàlez, Johany Díaz-Oquendo, Ángel Rivera-Adorno, Myrna Ruiz-Rosso, William Feliciano, Edwin Figueroa, Ana Morales-de Jesús, Rosa Pagàn-Ramos, Alberto Sostre-Cintrón, Constancia Vega-García, Raúl Domínguez and Ana Ruiz-Rivera.
“This case is the result of the continued efforts of the SSA and the FBI. Since August 2013 when 75 individuals were indicted for similar charges, including the current charges, we have filed a total of 115 indictments,” said United States Attorney Rosa Emilia Rodríguez-Vélez. “This is a great example of ongoing efforts by the Government to deter fraud against the social security programs. The Department of Justice is committed to investigate and prosecute those who engage in fraudulent schemes. Hopefully this round of arrests will discourage more people from getting involved in these types of schemes, because the investigation continues”.The Social Security Administration in New York and Baltimore conducted a lengthy analysis of medical source documentation in Social Security’s files, wherein a pattern of fraudulent activity was discovered, initiating a full investigation. What followed was lengthy, intensive, and complex investigative work—interviews, surveillances, and other investigative activity. Special Agent-in-Charge Edward J. Ryan of the Office of the Inspector General, Office of Investigations of the Social Security Administration stated: “This fraud conspiracy scheme involving unscrupulous medical professionals and SSA disability claimants has been exposed and those involved are being brought to justice. It was only after the analysis of medical source documentation in SSA files that SSA, OIG was able to identify the fraudulent pattern. This intensive and complex investigative work with the FBI and PRPD consisted of numerous surveillances and other investigative activities that I cannot detail. This intelligence was also shared with the Health and Human Services OIG for their files. The evidence was provided to the U.S. Attorney’s Office which culminated in the additional arrests this morning. OIG will continue to work with our partners to protect the integrity of the Social Security Trust Fund.”
“This is another Social Security Disability Benefits Fraud case where shameless individuals illegally obtained the benefits provided by the Federal Government. This is not a victimless crime, but rather an outrageous, despicable and reprehensible act that deprives those who truly need assistance. Combating Social Security Disability Benefits Fraud will continue to be a priority for the FBI in Puerto Rico,” said Carlos Cases, Special Agent in Charge of the FBI.
The case was investigated by the Social Security-OIG with the collaboration of the FBI and the Puerto Rico Police Department. The case was indicted by First Assistant U.S. Attorney María Domínguez and Special Assistant United States Attorney Vanessa D. Bonano-Rodríguez.Arizona Woman Sentenced to Federal Prison for Assault Conviction in New MexicoRead the Press Release
ALBUQUERQUE – Maraintoinette Lynn Yazzie, 26, an enrolled member of the Navajo Nation who resides in Lukachukai, Ariz., was sentenced today to 24 months in federal prison followed by three years of supervised release for her assault conviction. Yazzie also was ordered to pay $7,557.00 in restitution to the victim of her crime.
The sentence was imposed based on a guilty plea to an assault with a dangerous weapon charge entered by Yazzie on Sept. 17, 2014.
Yazzie and her brother, Antonio Yazzie, 22, also of Lukachukai, Ariz., were arrested in April 2014, on a criminal complaint charging them with attacking a Navajo man at his home in Tohlakai, N.M., on Feb. 26, 2014. The two subsequently were indicted in May 2014, and charged with one count of assault with a dangerous weapon and two counts of robbery. According to court filings, the siblings assaulted the victim by restraining him and striking him repeatedly in the face and head with a rock and a coffee mug. The two then robbed the victim of cash and his truck.
Antonio Yazzie pled guilty on Sept. 9, 2014, to Count 1 of the indictment charging him with assault with a dangerous weapon. On Dec. 9, 2014, he was sentenced to 24 months in federal prison followed by three years of supervised release.This case was investigated by the Crownpoint office of the Navajo Nation Division of Public Safety and was prosecuted by Assistant U.S. Attorney Paul H. Spiers.
AJC V. Narendra Modi - Order of DismissalRead the Press Release
AJC v. Modi - Order of Dismissal
225th Birthday Celebration United States Attorney’s Office of TennesseeRead the Press Release
KNOXVILLE, Tenn. – On Jan. 15, 2015, the U.S. Attorney’s Office for the Eastern District of Tennessee celebrated the 225th Birthday of the U.S. Attorney’s Office for Tennessee, by holding a reception in the Knoxville headquarters office. Early history of the office dates back to 1790. Tennessee remained a unified district until 1805 when the state was divided into three districts, the Eastern, Middle and Western Districts.
The Judiciary Act of 1789, created the position of the U.S. Attorney. This Act, created by Congress, directed the President of the United States to appoint “a meet person learned in the law to act as an attorney for the United States” in each federal district. The U.S. Attorney was “to prosecute in (each) district all delinquents for crimes and offenses cognizable under the authority of the United States, and all civil actions in which the United States shall be concerned.”
Within a few days of passage of the Judiciary Act, President George Washington appointed thirteen distinguished individuals to fill the offices of U.S. Attorneys in the newly created federal judicial districts. Among those first appointed were John Marshall, U.S. Attorney for Virginia, later the Chief Justice of the U.S. Supreme Court and Christopher Gore of Massachusetts, later governor of that state. Those selected for the Office of U.S. Attorney represented the best from their states.
Many other familiar names have served as U.S. Attorney including two Presidents of the United States. Andrew Jackson was the first U.S. Attorney for the District of Tennessee and Franklin Pierce served the District of New Hampshire.
Presidents from George Washington to Barack Obama have appointed individuals to serve as U.S. Attorney who are committed to honor, courage, and justice. Holding the position reflects the honor of which George Washington spoke two hundred years ago when he wrote to Richard Harrison about accepting the appointment as U.S. Attorney for the District of New York, “The high importance of the judicial system in our national government makes it an indispensable duty to select such characters to fill the several offices in it as would discharge their respective duties in honor to themselves and advantage to their country.”
Currently, there are 94 federal districts with 93 U.S. Attorneys serving in those districts. Caseloads involve issues ranging from the brutal to the compassionate. The U.S. Attorney is the one responsible for translating the concept of justice into the everyday lives of its citizens.
The U.S. Attorney’s Office for the Eastern District of Tennessee is the largest in the state, encompassing 41 of the 95 counties, spanning 420 miles, and serving over 2.6 million people.
Despite the importance of the U.S. Attorney’s offices people may still find themselves asking the question, “What does a U.S. Attorney do?”
The mission of the U.S. Attorney's Office for the Eastern District of Tennessee is to enforce the law and defend the interests of the United States according to the law; to ensure public safety against threats foreign and domestic; to provide federal leadership in preventing and controlling crime; to ensure the fair and impartial administration of justice for the people of East Tennessee; and, to serve as effective financial stewards for the American people, by defending the financial interests of, and collecting debts owed to the United States.
Our office prosecutes those individuals and organizations that violate federal criminal statutes. This includes offenses such as domestic and foreign terrorism; child pornography and exploitation; civil rights violations; bank robbery and other violent crimes; firearms offenses; drug trafficking; health care fraud; immigration violations; public corruption; tax evasion; mail, bank and wire fraud; environmental offenses; and identity theft.
We also represent the United States in civil litigation, affirmative and defensive. As such, we sue individuals or entities who have violated federal civil laws. We also defend the interests of the United States when it, or one of its departments, agencies, or employees is sued, and we defend federal programs and agency actions.
Additionally, we collect monies owed to the United States from forfeiture, restitution, and fines imposed as a part of the judgment in federal cases. We also pursue collection of civil debts owed to the United States, including student, small business, housing, and farm loans. Finally, we represent the interests of federal agencies in bankruptcy court.
In carrying out our mission, the U.S. Attorney’s Office works with a multitude of federal, state, and local agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives, Drug Enforcement Administration, Federal Bureau of Investigation, Department of Homeland Security, Bureau of Immigration and Customs Enforcement, Department of Energy, Internal Revenue Service, U.S. Forest Service, U.S. Park Service, U.S. Marshal’s Service, U.S. Postal Inspection Service, U.S. Secret Service, Tennessee Bureau of Investigation, Tennessee Highway Patrol, Tennessee Methamphetamine Task Force, 15 Tennessee District Attorneys Generals, 11 Tennessee Judicial District Drug Task Forces, 41 County Sheriff’s offices, and 117 Chiefs of Police and their departments.
Current U.S. Attorney William C. “Bill” Killian added, “Throughout history, this office has exhibited Justice through their work, dedication, and accomplishments. Long after I leave this position, this office will continue to exhibit the pride that comes from representing the United States of America. As an attorney, you will have no greater client. Justice is not a nebulous concept. It is applied to the matters and cases every hour of every day by the Assistant U.S. Attorneys and the staff. As so aptly put by Mr. Justice Sutherland in the case of Berger v. United States (1935), ‘The U.S. Attorney is the representative not of an ordinary party to a controversy but of a sovereignty whose obligation to govern impartially is as compelling as its obligation to govern at all; and whose interest therefore in a criminal prosecution is not that it shall win a case but that justice shall be done. As such, he is in a peculiar and very definite sense the servant of the law, the twofold aim of which is that guilt shall not escape nor innocence suffer. She may prosecute with earnestness and vigor – indeed she should do so. But while he may strike hard blows, he is not at liberty to strike foul ones. It is as much her duty to refrain from improper methods calculated to produce a wrongful conviction as it is to use every legitimate means to bring about a just one.’"
14 January 2015
Washington DC Man Sentenced to over 17 Years in Prison for Taking A Nine Year Old Girl to His Government Office to Have SexRead the Press Release
Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Kevin Robinson, age 53, of Washington, D.C., today to 210 months in prison, followed by lifetime supervised release, for transporting a minor to engage in sex. Judge Titus also ordered that, upon his release from prison, Robinson must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Chief of Police Robert D. MacLean of the U.S. Park Police; and Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
According to his plea agreement, on October 18, 2013, Robinson drove a nine year old girl and her parents to their home from a dental appointment, and dropped the parents off. Robinson then drove with the girl and other passengers to his girlfriend’s house, where he dropped off the other passengers. Robinson drove the girl to the Beltsville Agricultural Research Center (BARC) in Greenbelt, Maryland where he worked.
They entered his office and the girl began playing games on Robinson’s computer. Robinson then told the victim to remove her clothes. Robinson licked the victim’s chest and bit her breast, cutting the skin and causing a mark. Robinson attempted to have sex with her and the victim told him to stop. The victim put her clothes back on and they left BARC.
Once in his vehicle, Robinson told the victim to perform oral sex, which she did. Robinson then drove the victim back home. The victim told her parents what happened. The parents called the police. The victim was taken to the hospital. DNA analysis identified Robinson’s saliva on the victim’s breast.
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.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended the U.S. Park Police and HSI Baltimore for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Hollis Weisman, who prosecuted the case.
Vermont U.S. Attorney’s Office Collects over $5 Million in Civil and Criminal Actions for U.S. Taxpayers in Fiscal Year 2014Read the Press Release
Acting U.S. Attorney Eugenia A.P. Cowles announced today that the District of Vermont collected $5,077,760.16 in criminal and civil actions in Fiscal Year 2014. Of this amount, $4,359,364.86 was collected in criminal actions and $718,395.30 was collected in civil actions
Additionally, the District of Vermont worked with other U.S. Attorneys’ offices and components of the Department of Justice to collect an additional $344,820.00 in cases pursued jointly with these offices. Of this amount, $6,770.00 was collected in criminal actions and $338,050.00 was collected in civil actions.
Attorney General Eric Holder announced in November that the Justice Department collected $24.7 billionin civil and criminal actions in the fiscal year ending Sept. 30, 2014. The more than $24 billion in collections in FY 2014 represents nearly eight and a half times the appropriated $2.91 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.“Every day, the Justice Department’s federal prosecutors and trial attorneys work hard to protect our citizens, to safeguard precious taxpayer resources, and to provide a valuable return on investment to the American people,” said Attorney General Holder. “Their diligent efforts are enabling us to achieve justice and recoup losses in virtually every sector of the U.S. economy. And it shows the fruits of the Justice Department’s tireless work in enforcing federal laws; in protecting the American people from violent crime, national security threats, discrimination, exploitation, and abuse; and in holding financial institutions accountable for their roles in causing the 2008 financial crisis.”
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
Additionally, the U.S. Attorney’s Office in the District of Vermont working with partner agencies and divisions, collected $1,020,540.00 in asset forfeiture actions in FY 2014. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
United States Supreme Court Affirms Bank Robber's ConvictionRead the Press Release
CHARLOTTE, N.C. – Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina, announced that the United States Supreme Court affirmed yesterday the conviction of Larry Whitfield, a Charlotte man involved in the 2008 attempted robbery of a credit union in Gastonia, N.C. On November 23, 2009, following a six-day trial, a federal jury convicted Whitfield of attempted robbery of the credit union, conspiracy to possess, carry and use firearms during the attempted credit union robbery, possessing, carrying and using firearms during the attempted credit union robbery and forcing a victim to accompany him while avoiding and attempting to avoid arrest for these offenses, resulting in the death of the victim.
According to court records, Whitfield forced a victim, who died of a heart attack, to accompany him to another room inside her home while he was fleeing from police after the failed bank robbery. In a unanimous opinion, the U.S. Supreme Court found that Whitfield’s actions violated 18 U.S.C. Section 2113(e) (“forced accompaniment statute”), which provides for a sentence ranging from ten years up to life in prison for anyone who “forces any person to accompany him” in the course of committing or fleeing a bank robbery.
According to court records and evidence presented at Whitfield’s trial:
On September 26, 2008, Whitfield and his co-defendant, Quanterrious McCoy, armed with a loaded .357 revolver and an assault rifle, attempted to rob the Fort Financial Credit Union in Gastonia. Court records show that the two robbers fled the scene, switched get-away cars, and were heading toward Charlotte when spotted by law enforcement officers. Officers were in pursuit when the defendants’ vehicle hit another car and became disabled on the shoulder of an I-85 exit ramp.
After crashing, the robbers grabbed their firearms and fled toward a residential neighborhood in the Belmont area, where they got rid of their guns and split up. Whitfield entered the home of a victim and threatened her with a knife as she was coming into the house. The victim fled, and so did Whitfield. Whitfield then entered the house of a second victim, a 79-year-old woman who was home alone. Whitfield forced the victim to move to another room inside her home while Whitfield called a friend for help escaping police. The victim suffered and died from a heart attack during the forced accompaniment.
On November 20, 2012, Judge Conrad re-sentenced Whitfield, after correcting an error in the original sentence, to 264 months in prison for the forced accompaniment conviction, to run concurrently with 240 months in prison for the attempted robbery and conspiracy to carry firearms conviction, and to run consecutively with 60 months of consecutive imprisonment for the carrying firearms conviction, for a total sentence of 27 years in prison.
The United States Supreme Court accepted the case for certiorari review last year to decide whether the forced accompaniment offense required proof of more than minimum movement on the part of the victim. According to the Supreme Court’s website, “the Court receives approximately 10,000 petitions for a writ of certiorari each year. . . . [and] grants and hears oral argument in about 75-80 cases.”
In the Supreme Court’s 9-0 opinion written by Justice Antonin Scalia, the Court noted that the forced accompaniment language of the statue has remained unchanged since Congress passed the statute after a series of bank robberies committed by John Dillenger in the 1930s. The Court rejected Whitfield’s argument that the statute should be read to require a forced movement over more substantial distances than in Whitfield’s case, holding that “a bank robber ‘forces [a] person to accompany him, (for purposes of § 2113(e)), when he forces that person to go somewhere with him, even if the movement occurs entirely within a single building or over a short distance. Defined in this manner, Whitfield forced [the victim] to ‘accompany him.’”
Whitfield’s conspirator, Quanterrious McCoy, pleaded guilty in May 2009 to attempted bank robbery and use and carry of a firearm in relation to a crime of violence. He was sentenced in February 2010 to 84 months in prison.
The FBI investigated the case. The federal prosecution was handled by Assistant U.S. Attorney Thomas A. O’Malley and former Assistant U.S. Attorney Adam C. Morris handled the federal prosecution. Assistant U.S. Attorneys Amy Ray and William Miller handled the appellate portion of the case.
United States Attorney's office announces sentence in Sullivan County trustee fraud caseRead the Press Release
INDIANAPOLIS - Josh J. Minkler, Acting United States Attorney announced today that Frank Mejean, 53, and his wife Antonnette Mejean, 49, both of Carlisle, Indiana were sentenced in federal court today by U.S. District Judge Jane Magnus-Stinson. Frank was sentenced to six months in federal prison and Antonnette received three years of probation after being convicted of wire fraud.
Frank Mejean served as the elected trustee of Jefferson Township, in Sullivan County from 2009 to 2013. Antonnette was employed as the township clerk and township investigator who also was awarded a lawn maintenance contract serving Jefferson Township.
“This is yet another case of public officials serving themselves and not the public by stealing money from the poor and the disabled,” said Minkler. “It is about as low as you can get.”
“In court testimony the government proved that the pair engaged in a scheme to defraud Sullivan County by overpaying their salaries every year as well as overcompensating Antonnette Mejean for the lawn maintenance contract. The two submitted false financial documents to the State Board of Accounts to cover up their improper expenditures. In 2009 and 2010 Frank Mejean’s approved salary was $9,800; he paid himself $23,143 in 2009 and $12,807 in 2010. In 2011 and 2012, Frank Mejean’s approved salary was $10,200, he paid himself $25,578 in 2011 and $12,503 in 2012. Salary overpayments from 2009-2012 totaled approximately $34,033. Total salary overpayments for Antonnette’s salary were approximately $9869.
Antonnette Mejean was given a lawn maintenance contract to cut grass in the township and was overpaid $19,624 from 2009 through 2011.
The pair also wrote several checks from 2009-2012 from the township account to pay for personal and business expenses on Frank Mejean Plumbing, a company owned by the couple. Several checks were written for back taxes owed from the plumbing business, some for equipment for the business and one for a mortgage payment on their home. In total, the Mejeans stole over $124,400 from Sullivan County.
This case is the result of outstanding law enforcement work by the Federal Bureau of Investigation, the Indiana State Board of Accounts, the Indiana State Police and the Internal Revenue Service. All these agencies are partners in the U.S. Attorney’s Public Integrity Working Group which began in 2012, intended to aggressively investigate allegations of fraud, waste and abuse by public officials in Indiana. Anyone with information on public corruption is encouraged to contact the U.S. Attorney’s office at (317)229-2443.
According to Senior Litigation Counsel Bradley Blackington who prosecuted the case for the government, Frank Mejean will serve three years of supervised release after his sentence.
United States Attorney Peter Neronha, Rhode Island Attorney General Peter Kilmartin Cross Designate ProsecutorsRead the Press Release
Rhode Island Attorney General Peter F. Kilmartin and United States Attorney Peter F. Neronha today jointly announced the cross-designation of several senior prosecutors to enhance the prosecution of multi-jurisdictional crime including narcotics, firearms, and human trafficking, as well as public corruption and child pornography.
Cross-designation permits prosecutors to cross-over and prosecute cases either in a state or federal court. Targeted cases are jointly reviewed to determine appropriate charges, appropriate jurisdiction and in which court appropriate penalties are likely to be realized.Senior prosecutors experienced in firearms, narcotics, human trafficking, public corruption and child pornography prosecution have been cross-designated. In the past, prosecutors were cross designated on a case by case basis.
“The Office of Attorney General and the United States Attorney’s Office have long enjoyed a very good working relationship. Both offices recognize that the priority is always to put together the best possible case for successful prosecution, no matter the venue,” said Attorney General Peter Kilmartin. “There are certain crimes such as narcotics and human trafficking that often cross jurisdictional lines. Cross designating multiple individuals in specialized areas of prosecution allows for greater cooperation and efficiencies, from the initiation of a case through to prosecution.”
"The cross-designations of these talented attorneys from both offices will allow us to more effectively pursue justice on behalf of the people of Rhode Island", said United States Attorney Peter F. Neronha. "Today's law enforcement challenges are more complex than ever, and a process by which attorneys from both offices can appear together in either federal or state court will provide an unprecedented level of flexibility in dealing with those challenges. The partnership between the United State Attorney's Office and the Rhode Island Attorney General's Office has always been strong. Today it is even stronger."
Prosecutors from the Office of Attorney General who are cross designated are Assistant Attorneys General J. Patrick Youngs, James Baum, John Corrigan, Daniel Guglielmo, and Mark Trovato and Special Assistant Attorneys General Charles Calenda, Joseph McBurney, and Sara Tindall-Woodman.
Prosecutors from the United States Attorneys’ Office who are cross designated are Assistant United States Attorneys Paul F. Daly, Jr., William J. Ferland, Adi Goldstein, Ly T. Chin and Milind M. Shah.
Contact: 401-709-5357
[email protected]Uniontown Man Accused of Defrauding Investors out of $5.5 MillionRead the Press Release
An eight-count federal indictment has been returned charging a Uniontown man for his role operating a Ponzi scheme in which 19 investors were defrauded out of approximately $5.5 million, law enforcement officials said.
Geoffrey W. Nehrenz, 36, faces one count of securities fraud, three counts of wire fraud, one count of mail fraud, one count of fraud by an investment advisor, and two counts of money laundering.
“This defendant took advantage of people who trusted him and used their hard-earned money to fund his lifestyle,” said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
“Geoffrey Nehrenz callously preyed on the desires of 19 individuals to make wise investments and duped them out of millions,” said Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office. “The FBI will continue to root out fraudsters like Mr. Nehrenz.”
"Promoters of Ponzi schemes prey upon trusting investors and then steal their hard-earned money. Investors should be wary that programs promising unbelievable returns on investments should be looked at carefully,” said Kathy A. Enstrom, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “Remember the old cliché: 'If it's too good to be true, it probably is.’"
Between October 2009 and September 2013, Nehrenz promoted and sold investment contracts to clients through Keystone Capital Management, LLC (“KCM”) an investment adviser company located in Uniontown, which is an Ohio limited liability company registered as an investment adviser firm, but not registered with the Securities and Exchange Commission. Nehrenz was the managing member, president, and chief executive officer of KCM, according to the indictment.
Nehrenz induced 19 clients to invest in Keystone by promoting KCM’s ability to generate positive investment returns in equity markets while mitigating risk. He falsely represented to potential clients that their funds would be pooled, invested during the day in large- and mid-capitalization, publicly traded U.S. securities exclusively, and converted to cash overnight. Rather than investing the funds, Nehrenz used client money to pay his personal expenses, to pay business expenses to promote and prolong his investment scheme, and to make speculative, high-risk trades with domestic and overseas private placement vehicles without his clients’ authority, transactions known as “side pocket investments,” according to the indictment.
Nehrenz induced at least 19 clients to invest approximately $7 million into his hedge fund, resulting in losses to his clients in the amount of approximately $5.5 million.
The indictment was presented by AUSA Christos N. Georgalis after an investigation by agents of the Federal Bureau of Investigation and Internal Revenue Service.
If convicted, the defendant’s sentence will be determined by the court after a review of factors unique to the case, including Defendant’s prior criminal record, if any, Defendant’s role in the offense, and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Two New Bedford Men Plead Guilty to Heroin TraffickingRead the Press Release
BOSTON – Two New Bedford men pleaded yesterday in U.S. District Court in Boston to selling heroin.
Manuel Lopes, a/k/a “Junior” Lopes, 36, and Harry Parsons, 27, pleaded guilty before U.S. District Judge Denise J. Casper. Lopes pleaded guilty to conspiracy to distribute 100 grams or more of heroin, distribution of heroin, and possession with intent to distribute 100 grams or more of heroin. Parsons pleaded guilty to conspiracy to distribute heroin and distribution of heroin. Sentencing is scheduled for April 14 and 15, 2015 for Parsons and Lopes, respectively.
Lopes and Parsons conspired with each other and another individual to sell heroin in New Bedford. In particular, on Feb.15, 2013, Lopes, Parsons, and a co-conspirator sold almost 100 grams of heroin to a cooperating witness. Lopes drove with the cooperating witness to Parson’s home where the heroin sale was completed. Lopes and another individual planned and arranged for the sale of an additional 50 grams of heroin to the cooperating witness that was to take place on Feb. 25, 2013, although the sale was not completed.
On March 1, 2013, agents arrested Lopes and another individual. Pursuant to a search warrant executed at Lopes’ home, agents seized approximately 7,500 packages of heroin, several large packages of marijuana, brass knuckles, and a bullet-proof vest.
At the time of this offense, Lopes was on federal probation from a previous drug and gun trafficking conviction in U.S. District Court in Boston.
For Lopes, the charging statutes provide for a minimum sentence of ten years in prison and a maximum penalty of life in prison; eight years of supervised release, and a maximum fine of $8 million. Pursuant to a written plea agreement, the government and Lopes agreed to recommend to Judge Casper that he serve a sentence of 188 months in prison. For Parsons, the charging statutes provide a sentence of no greater than 30 years in prison, six years of supervised release, and a fine of $2 million. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; and Michael J. Ferguson, Acting Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division, made the announcement today. The case was investigated by a DEA Task Force comprised of agents and officers from the Massachusetts State Police, the New Bedford and Fairhaven Police Departments, the Bristol County Sheriff’s Department, and other federal, state, and local law enforcement agencies. The case is being prosecuted by Assistant U.S. Attorney Christopher Pohl of Ortiz’s Organized Crime Strike Force Unit.
Two Greenbrier County heroin dealers sentencedRead the Press Release
Beckley, W.Va. – United States Attorney Booth Goodwin announced today that two men involved in distributing heroin in Greenbrier County, West Virginia, were sentenced in federal court.
Joshua Osborne, 31, of Lima, Ohio, was sentenced to 36 months in federal prison for traveling in interstate commerce to facilitate an unlawful activity. Osborne pleaded guilty in July 2014, admitting that on Sept. 1, 2013, he traveled from Alderson, West Virginia, to Columbus, Ohio, where he obtained heroin and returned to Alderson. He admitted to placing the heroin into capsules, with the intention to sell them. Osborne also admitted to having made previous trips to Columbus to obtain heroin, and having brought it back to Alderson where he sold it.
Adam Ray Smith, 26, of Ronceverte, West Virginia, was sentenced to 15 months in federal prison for distribution of heroin. Smith pleaded guilty in July 2014, admitting that on Aug. 30, 2013, he sold two packets of heroin to an individual in Ronceverte.
United States District Judge Irene C. Berger imposed the sentences. Assistant United States Attorney John File was in charge of the prosecution for both cases.
This case was prosecuted under the Beckley Pill Initiative as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air markets and curtailing the spread of pills and heroin in communities across the Southern District.
Tujunga, California Man Pleads Guilty to Credit Card Fraud for Installing Skimming Devices in Gas PumpsRead the Press Release
BOISE – Vachik Babayan, 42, of Tujunga, California, pleaded guilty today in federal court to one count of access device fraud for possessing fifteen or more unauthorized credit card account numbers, U.S. Attorney Wendy J. Olson announced. Sentencing is set before U.S. District Judge Edward J. Lodge at the federal courthouse in Boise on April 20, 2015.
As described in the plea agreement, Vachik Babayan travelled to Idaho on two separate occasions for the purpose of installing, and aiding and abetting the installation of, credit card account number skimmers in gas station pumps, in both Caldwell, Idaho and Idaho Falls, Idaho. The skimmers were installed inside the gas pumps. They diverted the electronic communication of credit card information from the normal course of wires and circuits within the pump, and recorded the credit card information, including name and account number, for later retrieval.
On December 24, 2012, Babayan installed a credit card skimmer in a gas station in Caldwell, Idaho. Prior to its discovery by gas station employees, the skimmer collected the account information of approximately 91 account holders who swiped their cards at the targeted pump. The skimmer also captured Babayan’s own credit card information, as he used his card to test the installation. Babayan returned to the same gas station on January 8, 2013, to retrieve the skimmer and the captured account information. However, on December 28, 2012, the gas station discovered the skimmer and turned it over to the Secret Service.
On February 20, 2013, Babayan rented a U-Haul van in Idaho Falls, Idaho. Babayan used this van to block security cameras at gas stations in Idaho Falls while installing credit card skimmers in gas pumps at various Idaho Falls gas stations. On February 21, 2013, a total of seven skimmers were recovered at three gas stations in Idaho Falls. Babayan installed and aided and abetted in the installation of these skimmers. Prior to discovery, these skimmers captured names and account numbers from approximately 66 credit card transactions. One of these captures was Babayan’s account information.
Possession and attempted possession of fifteen or more counterfeit and unauthorized access devices is punishable by a term of imprisonment of up to ten years, a term of supervised release of not more than three years, a maximum fine of $250,000.00, and a special assessment of $100.
"This case demonstrates how vigilant cooperation between federal and local law enforcement, and local businesses, protects Idaho consumers from credit card fraud and other violations of financial security," said Olson.
The case was investigated by the United States Secret Service, the Caldwell Police Department, the Boise Police Department, the Mountain Home Police Department, the Boise County Sheriff’s Office, the Idaho Falls Police Department, and the Glendale California Police Department as part of the Los Angeles Electronic Crimes Task Force.
Topeka Man Indicted in Bank RobberyRead the Press Release
TOPEKA, KAN. – A Topeka man was indicted Wednesday on a federal bank robbery charge, U.S. Attorney Barry Grissom said.
Kirk Mychale Sexton, 26, who is currently in custody, was charged with one count of bank robbery. The indictment alleges that on Jan. 9, 2015, he robbed the Equity Bank at 3825 Southwest 29th Street in Topeka, Kan.
If convicted, he faces a maximum penalty of 20 years in federal prison and a fine up to $250,000. The Topeka Police Department and the FBI investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
OTHER INDICTMENTS
Zennie Lee Vasser, 31, Topeka, Kan., is charged with one count of robbing a commercial business.
The indictment alleges that on June 4, 2014, Vasser robbed the Check Into Cash at 3711 SW Plaza Dr., in Topeka.
If convicted, Vasser faces a maximum penalty of 20 years in federal prison and a fine up to $250,000. The Topeka Police Department and the FBI investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
Carissa A. Nester, 34, Blue Rapids, Kan., is charged with one count of theft of mail by a postal employee.
The indictment alleges the crime occurred from Oct. 24 to Oct. 31, 2014, while she worked for the post office in Marysville, Kan.
If convicted, she faces a maximum penalty of five years in federal prison and a fine up to $250,000. The U.S. Postal Inspection Service investigated. Assistant U.S. Attorney Christine Kenney is prosecuting.
Rodolfo Lopez, 30, Fayetteville, Ark., and Juan R. Torres-Arambula, 25, Louisburg, Kan., are charged with one count of possession with intent to distribute methamphetamine. The crime is alleged to have occurred Jan. 8, 2015, in Shawnee County, Kan.
An affidavit filed in the case alleges the defendants were stopped near Interstate 70 and Tallgrass Road with approximately 35 pounds of methamphetamine.
The Kansas Highway Patrol and the Drug Enforcement Administration investigated. Assistant U.S. Attorney Duston Slinkard is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Tarpon Springs Woman Sentenced to Three Years for Tax EvasionRead the Press Release
Tampa, Florida – U.S. District Judge James D. Whittemore has sentenced Nova A. Montgomery to three years in federal prison for tax evasion and failure to file a tax return. The Court also ordered her to serve a three-year term of supervision following her incarceration, pay a $10,000 fine, and pay $338,308 in restitution to the Internal Revenue Service for taxes owed during the years of the offenses.
A federal jury found Montgomery guilty on October 10, 2014.
According to testimony and evidence presented at trial, Montgomery was self-employed as a distributor for a multi-level marketing company that sold nutritional and other products. Between 2002 and 2012, she received commissions and other income exceeding $2.7 million. Montgomery set up a complex corporate structure that made it appear that virtually none of the income she received from the commissions and sales went to her personally. Further, on February 12, 2009, in the midst of an IRS audit, Montgomery filed false and fraudulent federal income tax returns claiming that she had no income for 2002 through 2006. In addition, she failed to file personal income tax returns for 2008 through 2012.
This case was investigated by the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant United States Attorney Mark E. Bini.
St. Croix Man Pleads Guilty to Possession of Prison ContrabandRead the Press Release
St. Croix, USVI – Paul Girard, 27, pleaded guilty Friday in federal court on St. Croix to Possession of Prison Contraband , United States Attorney Ronald W. Sharpe and Drug Enforcement Administration ( DEA) Special Agent-in-Charge Vito S. Guarino announced.
Girard pleaded guilty to four counts including two counts to possessing cell phones and chargers and one count of possessing a knife and one of possessing a shank or homemade knife.
According to the plea agreement, on November 16, 2012, Virgin Islands Bureau of Corrections officials searched a cell occupied by Girard and another inmate and seized two cell phones and 24 ‘dime’ bags of marijuana. Text messages from one of the cell phones contained Girard’s nickname and phone number. On January 16, 2013, Bureau of Corrections officials searched another cell occupied solely by Girard and seized a knife, a cell phone and 34 dime bags of marijuana from the cell. The phone contained several photos of Girard.
On June 18, 2013, Bureau of Corrections officials searched a third cell occupied solely by Girard and seized a cell phone and a dime bag of marijuana. The seized phone contained several photos of Girard.
On April 7, 2014, pursuant to a federal search warrant, federal agents searched a fourth cell occupied solely by Girard and seized a homemade weapon commonly referred to as a shank, an iPad, and marijuana. The iPad contained a video depicting Girard and others in a Golden Grove prison cell.
AWhile cell phones appear harmless, in prison they pose a real danger. They can be used to conduct drug transactions both in and out of the prison. They can also be used to arrange ‘hits’ on unsuspecting targets including other inmates and persons in the community,@ U.S. Attorney Ronald W. Sharpe said.
Girard faces a maximum sentence of one year incarceration and a fine of $100,000 on the cell phone counts and a maximum sentence of five years of incarceration and a fine of $250,000 on the knife and shank counts. A sentencing date has been set for May 13, 2015.
United States Attorney Sharpe commended the efforts of the DEA and the Virgin Islands Bureau of Corrections who investigated the case and Assistant U.S. Attorneys Rhonda Williams-Henry and Alphonso Andrews who prosecuted it.
Sapulpa Man Sentenced to 17 Years for Possessing and Distributing Child PornographyRead the Press Release
TULSA, Okla.—A Sapulpa man was sentenced to serve 210 months in prison, to be followed by lifetime supervised release, today for possessing and distributing child pornography, United States Attorney Danny C. Williams Sr. for the Northern District of Oklahoma announced. A FBI undercover online operation discovered a total of 290 images and 143 videos of child pornography on the defendant’s computer.
“Child pornography is a heinous crime against children and those who participate in online exploitation will be prosecuted,” said U.S. Attorney Williams. “My office is committed to safeguarding our communities. We will continue to protect the most vulnerable in our community from exploitation and sexual abuse.”
Kevin Leroy Smith, 50, was charged on July 9, 2014, with eight counts of distribution and attempted distribution of child pornography and one count of possession of child pornography. A jury found Smith guilty of all counts on September 16, 2014.
During the investigation, while using an Ares based Peer to Peer program (P2P), the FBI was able to download 14 videos and two images of child pornography from January and February 2014 from another user. The FBI tracked the username to Smith.
In addition to the sentence of incarceration of 210 months, Smith was fined $25,000 and ordered to pay $1,000 in restitution and a $900 special assessment.
United States District Judge John E. Dowdell presided over the sentencing. The case was investigated by the FBI and was prosecuted by Assistant U.S. Attorney Jeffrey Gallant for the Northern District of Oklahoma.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
U.S. v. Kevin Leroy Smith
Roswell Man Pleads Guilty to Federal Methamphetamine Trafficking ChargeRead the Press Release
ALBUQUERQUE – Albert Johnny Mondragon, 38, of Roswell, N.M., pleaded guilty today in federal court in Las Cruces, N.M., to trafficking methamphetamine in Lea County, N.M.
Mondragon was arrested on federal charges in Roswell on May 27, 2014, based on a criminal complaint charging him with possession of methamphetamine with intent to distribute. According to the complaint, Mondragon committed the offense on March 7, 2014, in Hobbs, N.M.
Mondragon subsequently was charged in a two-count indictment with possession of methamphetamine with intent to distribute and being a felon in possession of a firearm. Count 1 of the indictment alleged that on March 7, 2014, Mondragon possessed with intent to distribute methamphetamine in Lea County. Count 2 charged Mondragon with being a felon in possession of a firearm and ammunition.
Today, Mondragon pled guilty to Count 1 of the indictment charging him with possession of methamphetamine with intent to distribute. In entering the guilty plea, Mondragon admitted that he was stopped by officers in Hobbs on March 7, 2014. He further admitted telling the officers that he had approximately half a pound of methamphetamine in the back of his vehicle. When the officers searched the vehicle, they found 222.98 grams of methamphetamine.
At sentencing Mondragon faces a term of imprisonment if not less than five years and not more than 40 years. He remains detained pending a sentencing hearing which has yet to be scheduled.
This case was investigated by the Las Cruces offices of the DEA and the Bureau of Alcohol, Tobacco and Firearms and the Lea County Drug Task Force, with assistance from the 5th Judicial District Attorney’s Office. Assistant U.S. Attorney Terri J. Abernathy of the U.S. Attorney’s Las Cruces Branch Office is prosecuting this case.
The Lea County Drug Task Force is comprised of officers from the Lea County Sheriff’s Office, Hobbs Police Department, Lovington Police Department, Eunice Police Department and the Jal Police Department, and is part of the HIDTA Region VI Drug Task Force. The High Intensity Drug Trafficking Areas (HIDTA) program was created by Congress with the Anti-Drug Abuse Act of 1988. HIDTA is a program of the White House Office of National Drug Control Policy (ONDCP) which provides assistance to federal, state, local and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States and seeks to reduce drug trafficking and production by facilitating coordinated law enforcement activities and information sharing.
Ringleader of Stolen Identity Refund Fraud Scheme Involving Stolen Medicaid Names Found GuiltyRead the Press Release
The mastermind of a more than $700,000 stolen identity tax refund fraud scheme was found guilty by a jury of conspiracy to commit theft of public money, theft of public money and aggravated identity theft, the Department of Justice, the U.S. Attorney’s Office for the Middle District of Alabama and the Internal Revenue Service (IRS) announced today.
Tarrish Tellis, 38, of Montgomery, Alabama, was found guilty after a three-day trial in Montgomery. According to evidence presented at trial, Tellis’ co-conspirator, Nakia Jackson, obtained approximately 700 names, dates of birth and social security numbers from an employee of the Alabama Medicaid State Agency. Jackson provided some of the names to Tellis, who in turn used them to file false tax returns. In exchange, Tellis taught Jackson how to file false tax returns.
According to evidence presented at trial, in order to hide his involvement in the scheme, Tellis orchestrated means in which to conceal the origin of the funds. Tellis recruited several friends and relatives, including Bobby Joe Means, Delancey Tolliver, Glen Powell Jr. and Tracey Montgomery, to open up bank accounts for the purpose of receiving fraudulent tax refunds. When a tax refund was deposited into their bank accounts, Tellis directed them to withdraw the money and provide it to him. He directed more than $300,000 to those accounts. Tellis took additional steps by recruiting a bank teller, Laquanta Clayton, who used her position to open up bank accounts in the name of fictitious individuals and in the name of her daughter’s father. Tellis directed around $200,000 into the accounts that Clayton controlled, which Clayton then withdrew and provided the majority of the money to Tellis. Tellis also took steps to conceal his involvement in the filing of false tax returns, including filing numerous tax returns by accessing a residential wireless router that was not password protected. By doing so, Tellis made it appear that the owner of the residence had filed the returns.
At his April 15 sentencing, Tellis faces a statutory minimum sentence of two years in prison and a statutory maximum sentence of 125 years in prison, plus fines and forfeiture.
On April 25, 2014, Jackson was sentenced to serve 87 months in prison. Clayton was sentenced on Feb. 19, 2014, to serve 21 months in prison. Tolliver was sentenced to serve 15 months in prison, Powell Jr. and Means were each sentenced to serve 12 months and one day in prison and Montgomery was sentenced to serve six months in prison.
The case was investigated by special agents of IRS - Criminal Investigation. Trial Attorneys Gregory P. Bailey, Charles M. Edgar Jr. and Michael C. Boteler of the Justice Department’s Tax Division, with the assistance of Assistant U.S. Attorney Todd Brown for the Middle District of Alabama, prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Portland Gang Associate Sentenced to Ten Years in Prison for Being a Felon in Possession of a FirearmRead the Press Release
The case arose from a Metro Gang Task Force drug investigationPORTLAND, Ore. – January 15, 2015, Clark Allen Bailey, 37, of Portland, Oregon, was sentenced to 120 months in prison after his federal conviction for felon in possession of a firearm. When the defendant is released from prison he will serve an additional three years of supervised release.
The defendant’s conviction stemmed from a Metro Gang Task Force drug investigation which identified the defendant, a local gang associate, to be an active cocaine dealer. On January 31, 2012, law enforcement officers executed a search warrant on the defendant and his residence. Inside the defendant’s residence officers recovered cocaine, scales, drug packaging materials, and a loaded firearm. The firearm, a loaded 9mm Ruger pistol, was found inside a stocking cap concealed between the mattresses in the defendant’s bedroom. The defendant’s fingerprint was found on the gun magazine.
At the time of the crime, the defendant had multiple prior felony convictions for delivery of a controlled substance. The defendant pled guilty to the charge of being a felon in possession of a firearm on September 30, 2014.
“The combination of gangs, drugs and firearms is a lethal mixture that threatens the safety of our community,” stated U. S. Attorney Amanda Marshall. “My office will continue to work with law enforcement to find and prosecute armed criminals."
This case was investigated by the Metro Gang Task Force. The case was prosecuted by Assistant U. S. Attorney Scott Kerin, the Chief of the U.S. Attorney’s Office Drug Unit.
Owner of Hudson County, New Jersey, Contracting Company Admits Rigging Selection Process for Union City ProjectsRead the Press Release
NEWARK, N.J. – The owner of a Guttenberg, New Jersey, contracting company today admitted rigging the selection process for projects run by the Union City Community Development Agency (UCCDA), causing losses of at least $120,000, U.S. Attorney Paul J. Fishman announced.
Leovaldo Fundora, 53, of Guttenberg, pleaded guilty before U.S. District Judge William H. Walls in Newark federal court to an information charging him with one count of embezzling, stealing, purloining, and converting to his own use and the use of another, money from the U.S. Department of Housing and Urban Development (HUD).
According to documents in this case and statements made in court:
The UCCDA receives funding from HUD under a federal block grant that provides money for home improvement, sidewalk replacement and other projects. Between May 2007 and September 2011, Fundora owned Falcon Remodeling Inc., a general contracting company.
Fundora colluded with two UCCDA inspectors and two other contractors to attain HUD grant funds by having the contractors complete phony proposals with prices higher than those submitted by Falcon. Fundora then submitted these phony proposals and Falcon’s proposals to the UCCDA in order to improperly obtain home improvement projects and sidewalk replacement projects.
On two occasions in June 2010, Fundora submitted phony proposals from the other two contractors pricing sidewalk replacement projects at Kerrigan Avenue and 13th St. in Union City for $4,200. As a result, Falcon secured both projects for $3,900.
The charge to which Fundora pleaded guilty carries a maximum potential penalty of 10 years in prison and a $250,000 fine. Sentencing is currently scheduled for April 22, 2015.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford; and special agents of the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, for the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Amy Luria and J Imbert of the U.S. Attorney’s Office Special Prosecutions Division in Newark.
15-013
Defense counsel: Raymond F. Flood Esq., Hackensack, New Jersey
Owner of Bodybuilding Drug Company Pleads Guilty to Selling Misbranded DrugsRead the Press Release
Drugs Sold for Bodybuilding Enhancements Were Not Approved for Human Consumption
Greenbelt, Maryland – Gregory Tamborello, age 65, of Lutz, Florida, pleaded guilty today to selling misbranded drugs, in connection with the sale of bodybuilding drugs to consumers which were not approved by the FDA for human use.The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Antoinette V. Henry of the U.S. Food & Drug Administration, Office of Criminal Investigations.
“We will aggressively pursue those who endanger the public health by distributing unapproved and potentially unsafe drugs,” said Antoinette V. Henry, Special Agent in Charge, FDA’s Office of Criminal Investigations. “We will remain vigilant in protecting the public from the purveyors of these illegal and dangerous products.”
According to his plea agreement, from March to August 2012, Tamborello owned and operated Precision Peptides, located in Lutz, Florida, through which he sold body-enhancing injectable drugs to individuals seeking to enhance their physiques. These drugs were not approved by the FDA for use in humans.
Tamborello sought buyers for his drugs by placing ads in bodybuilding magazines and websites, promoting his business at bodybuilding conferences and by offering drugs for sale on his website. His website displayed numerous disclaimers stating that all products sold were for “research/laboratory use only.” Additionally, prior to purchasing the products from the website, each customer was asked to certify that he or she read the disclaimer that the “chemicals/materials for sale here are . . . not intended for human ingestion.” Yet Tamborello intended that the products be used by consumers for bodybuilding purposes, and knew that consumers were in fact using them for that purpose.
The drugs Tamborello sold included Mechano Growth Factor, Myostatin Propeptide, and T3 (Liothyronine), none of which the FDA has approved for use in humans.
On May 8, 2012, an undercover federal agent ordered drugs from Tamborello’s website. Tamborello shipped two vials of “mechano growth factor,” a vial each of “Myostatin Propeptide,” “Delta Sleep Inducing Peptide,” “T3 (Liothyronine),” “DHEA,” and three vials of “Sildenafil Citrate” to Columbia, Maryland. Tamborello provided no directions for use of the drugs or adequate warnings on the packages.
From March to August 2012, Precision Peptides generated at least $210,000 in revenue.
Tamborello faces a maximum sentence of one year in prison and a $100,000 fine. U.S. District Judge George J. Hazel has scheduled sentencing for April 17, 2015 at 9:30 a.m.
United States Attorney Rod J. Rosenstein commended the FDA Office of Criminal Investigations for its work in the investigation and thanked Assistant U.S. Attorney Kelly O. Hayes, who is prosecuting the case.
Orthodox Jewish Rabbi Admits Conspiring to Travel to New Jersey to Violently Extort Divorce Consent from Reluctant HusbandRead the Press Release
TRENTON, N.J. - An Orthodox Jewish rabbi today admitted conspiring to travel to New Jersey to coerce a Jewish man to give his wife a religious divorce – referred to as a “get” – through threats of violence, U.S. Attorney Paul J. Fishman announced.
Martin Wolmark, 56, pleaded guilty before U.S. District Judge Freda L. Wolfson in Trenton federal court to an information charging him with conspiracy to travel in interstate commerce to commit extortion.
According to documents filed in this case and statements made in court:
On Aug. 7, 2013, Wolmark, an ordained Orthodox Jewish rabbi, spoke with a woman and her brother about obtaining a Jewish divorce from the woman’s recalcitrant husband. A get is a divorce document which, according to Jewish Law, must be presented by a husband to his wife to effect their divorce. Unbeknownst to Wolmark, the woman and the brother were actually undercover FBI agents. During the conversation, which was recorded by law enforcement, Wolmark informed the agents that there were two ways to go about obtaining a get from such a recalcitrant husband, one of which was to “nail him.” Wolmark also told the agents that coercing the husband into giving a get could be expensive. He then recommended that the agents speak with his colleague, Mendel Epstein, who he knew had previously used violence to coerce recalcitrant husbands into giving gets to their wives. Wolmark then initiated a conference call with the agents and Mendel Epstein.
On Aug. 14, 2013, the agents met with Mendel Epstein at his home to discuss the case further. On Oct. 2, 2013, Wolmark convened a rabbinical court (a “beth din”) with Mendel Epstein and Jay Goldstein in his office in Suffern, New York. The purpose of this proceeding was to determine whether there were grounds under Jewish law to coerce the husband into giving the get. The female agent also attended and recorded the meeting. During this meeting, Mendel Epstein discussed openly the plan to kidnap and assault the purported husband in order to obtain the get.
On Oct. 9, 2013, a group of Wolmark’s conspirators – including Jay Goldstein, Moshe Goldstein, Avrohom Goldstein, Simcha Bulmash, Ariel Potash, Binyamin Stimler, and Sholom Shuchat – traveled from New York to a warehouse in Edison, New Jersey, with the intent of forcing the purported husband to give his wife a get by means of violence and threats of violence. Six of these coconspirators previously pleaded guilty to traveling to New Jersey to commit extortion.
The conspiracy count to which Wolmark pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for May 18, 2015.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford in Newark, for the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys R. Joseph Gribko and Sarah Wolfe of the U.S. Attorney’s Office in Trenton.
The pending charges and allegations against related defendants are merely allegations, and they are considered innocent unless and until proven guilty.
15-016
Defense counsel: Benjamin Brafman Esq., New York
Wolmark, Martin Information
Orange Park Man Pleads to Receiving Child Pornography over the InternetRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III announced today that Charles Eugene Mears (56, Orange Park) has pleaded guilty to receiving child pornography over the Internet. He faces a mandatory minimum penalty of five years, up to 20 years, in federal prison and a potential life term of supervision. A sentencing hearing has not yet been set.
According to court documents, a Florida Department of Law Enforcement agent in Jacksonville began an undercover investigation to identify individuals in northeast Florida that had access to and/or were trading images and videos of child pornography over the Internet. The agent identified a computer that was hosting images of child pornography using a peer-to-peer file sharing program, and was able to download several of the files. Further investigation traced the host computer to Mears’s residence.
Agents subsequently executed a federal search warrant at Mears=s residence and seized several computers and other electronic media. Forensic analyses of Mears’s laptop revealed that it contained at least 211 videos depicting child pornography, including at least one video depicting the sexual abuse of a toddler.
This case was investigated by the Florida Department of Law Enforcement, the Federal Bureau of Investigation, and the Clay County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
This is 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, 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.justice.gov/psc.
Oakdale Man Pleads Guilty to Armed Robberies of Three Western Pennsylvania BanksRead the Press Release
PITTSBURGH - On Jan. 13, 2015, a resident of Oakdale, Pa., pleaded guilty in federal court to charges of armed bank robbery and using a firearm during a crime of violence, United States Attorney David J. Hickton announced.
John J. Gibson, 35, pleaded guilty to four counts before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that on Nov. 12, 2013, at approximately 12:25 p.m., Gibson and his co-defendant, Daniel Bose, robbed the Community Bank located at 3241 West Roy Furman Highway, in Rogersville, Pa. Both men displayed firearms during the robbery, and $4,335 was taken. On Nov. 27, 2013, at approximately 12:35 p.m., both men robbed the S&T Bank located at 100 South Fourth Street, in Youngwood, Pa., taking $2,750. Finally, on Feb. 10, 2014, at approximately 1:35 p.m., both defendants robbed the First Federal Savings and Loan Association of Greene County located at 101 Locust Avenue Ext., Mount Morris, Pa. On that occasion, the defendants stole $23,667.
Last year, Daniel Bose pleaded guilty to these crimes as well, and he currently is awaiting sentencing.
Judge Schwab scheduled sentencing for Gibson for May 12, 2015, at 9:30 a.m. The law provides for a total sentence of not less than seven years and up to life in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys Barbara K. Doolittle and Troy Rivetti are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Gibson and Bose.
Newport News Man Pleads Guilty to Receiving Child PornographyRead the Press Release
NEWPORT NEWS, Va. – Isaiah Al’Von Holloman, 21, of Newport News, pleaded guilty today to a charge of receiving child pornography.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:14-cr-68.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; and Michael F. Paul, Acting Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after the plea was accepted by U.S. Magistrate Judge Tommy Miller.
Holloman was indicted by a federal grand jury on Nov. 19, 2014. According to a statement of facts filed with the plea agreement, law enforcement linked certain file-sharing activity online to Holloman’s residence. Law enforcement agents executed a search warrant on Holloman’s home and seized a hard drive that contained more than 600 images of child pornography. Holloman admitted to downloading images of child pornography and to using a peer-to-peer network to share child pornography files. Holloman also admitted that he used false names to set up accounts to obtain child pornography, and that he possessed hundreds of videos containing child pornography.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Lisa R. McKeel is prosecuting the case.New Orleans Woman Pleads Guilty to Role in Illegal Bail Bonds SchemeRead the Press Release
U.S. Attorney Kenneth A. Polite announced that NICOLE CARRIE, age 36, a resident of New Orleans, pled guilty today to a one-count Bill of Information charging her with conspiracy to commit mail fraud.
According to court documents, CARRIE became a licensed bail bondwoman in 2004. CARRIE later permitted her name, license, and contracts with an insurance company to be used to operate an illegal bail bonding business located at 538 S. Broad Street in New Orleans.
U.S. District Judge Stanwood R. Duval, Jr., set sentencing for May 13, 2015. CARRIE faces a maximum sentence of 5 years imprisonment followed by 3 years of supervised release.
U.S. Attorney Polite praised the work of the Federal Bureau of Investigation in investigating this matter, and the assistance of the Metropolitan Crime Commission, the New Orleans Police Department, and the Orleans Parish District Attorney’s Office. Assistant United States Attorneys Michael B. Redmann and Mark A. Miller are in charge of the prosecution.
New Orleans Man Sentenced for Child Pornography ChargesRead the Press Release
U.S. Attorney Kenneth A. Polite announced that JEREMY SHAWN REASON, age 34, of New Orleans, was sentenced today for crimes involving the sexual exploitation of children.
U.S. District Judge Stanwood R. Duval, Jr. sentenced REASON to ten years incarceration, followed by ten years of supervised release and $1,000 in restitution.
According to court documents, REASON knowingly accessed child pornography with the intent to view images depicting the sexual victimization of minors. REASON had been in the custody of the Bureau of Prisons since his previous conviction in 2008 for Possession of Child Pornography. At the time of his arrest in April 2013, REASON was residing at a halfway house.
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."
This case was investigated by special agents from the U. S. Department of Homeland Security, HSI. The prosecution of this case is being handled by Project Safe Childhood Coordinator and Fraud Section Chief, Assistant U. S. Attorney Brian M. Klebba.
New Haven Narcotics Dealer Sentenced to 8 Years in Federal PrisonRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that RICHARD ANDERSON, also known as “Mayut” and “Porter,” 28, of New Haven, was sentenced today by Senior U.S. District Judge Ellen Bree Burns in New Haven to 96 months of imprisonment, followed by five years of supervised release, for distributing narcotics.
According to court documents and statements made in court, this matter stems from “Operation Bloodline,” a joint law enforcement investigation targeting narcotics trafficking and gang violence in the Dwight-Kensington and Fair Haven sections of New Haven. Led by the DEA New Haven Task Force and the New Haven and Hamden Police Departments, the year-long investigation included the use of court-authorized wiretaps on numerous telephones, extensive physical surveillance, controlled purchases of narcotics, execution of search warrants, and seizures of narcotics and firearms. Approximately 100 individuals were convicted of federal charges as a result of the investigation.
On February 6, 2014, a jury found ANDERSON guilty of one count of conspiracy to possess with intent to distribute, and to distribute, 28 grams or more of cocaine base (“crack”).
According to the evidence at trial, ANDERSON conspired with Kevin Wilson, also known as “Nature,” to distribute crack cocaine and heroin, primarily in the Dwight/Chapel area of New Haven. The trial evidence also revealed that ANDERSON supplied crack cocaine on multiple occasions to co-defendant Jesus Morales, also known as “Cano,” in deals that were brokered by Wilson. On several occasions, Anderson was intercepted on a wiretap threatening violence against Morales in an effort to collect a drug debt. At times, ANDERSON also obtained quantities of heroin from Wilson.
ANDERSON’s criminal history includes convictions for robbery and narcotics offenses.
ANDERSON has been detained since his arrest on May 17, 2012.
Wilson and Morales pleaded guilty. On September 26, 2013, Morales was sentenced to 63 months of imprisonment. Wilson awaits sentencing.
This matter was investigated by the Drug Enforcement Administration’s New Haven Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments. The United States Marshals Service, the Connecticut State Police, the Connecticut Department of Correction, Parole and Community Services and the Milford, Hartford, New Britain, North Branford and Stratford Police Departments provided valuable assistance to the investigation.
This case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Marc Silverman.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]New Haven Man Sentenced to 8 Years in Federal Prison for Illegal Gun PossessionRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JAROD BROWN, 44, of New Haven, was sentenced today by Senior U.S. District Judge Warren W. Eginton in Bridgeport to 96 months of imprisonment, followed by three years of supervised release, for possession of a firearm by a previously convicted felon. On November 14, 2013, a jury found BROWN guilty of the offense.
According to evidence introduced at trial, on April 5, 2011, BROWN fled from New Haven Police after a routine traffic stop. BROWN initially rammed a police car and engaged police in a car chase. He then exited the car and engaged police in a foot chase during which he discarded a loaded 9mm pistol in the yard of a residence on Elm Street. BROWN was apprehended and the firearm was recovered.
BROWN’s criminal history includes convictions for larceny, narcotics and firearms offenses. In 1993, BROWN was sentenced in New Haven federal court to 92 months of imprisonment for possession of a firearm by a previously convicted felon.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
BROWN has been detained since his arrest.
This matter was investigated by the New Haven Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Assistant U.S. Attorneys Jonathan Francis and Rahul Kale.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]New Hampshire Corporation Sentenced on Violation of Arms Export Control ActRead the Press Release
CONCORD, NEW HAMPSHIRE – Netria Corporation, of 37 Industrial Drive, Exeter, NH, was sentenced in United States District Court for the District of New Hampshire for violating the Arms Export Control Act (AECA). On May 14, 2014, charges were filed alleging that Netria exported aircraft parts to Malaysia, specifically two Lockheed Martin Fuel Quantity Indicators, without having first obtained a license from the United States Department of State, as required by federal law, announced United States Attorney John P. Kacavas.
Under the (AECA), the President is authorized to control the export of “defense articles.” Items so designated constitute the United States Munitions List (USML). If an article is covered by the U.S. Munitions List, the U.S. Department of State, Directorate of Defense Trade Controls (DDTC) regulates its export. The DDTC develops and updates the regulations, known as the International Traffic in Arms Regulations, or ITAR.
Under the provisions of the AECA, individuals or organizations must register with the DDTC, and apply for an export license to export defense articles. It is a felony to willfully violate the provisions of the AECA. This includes the requirement that those in the business of exporting defense articles, or in the business of brokering activities with respect to exporting defense articles, must register and obtain a license before exporting defense articles.
As a result of an inquiry by Netria to a Department of Homeland Security undercover storefront, agents from Immigration and Customs Enforcement, Homeland Security Investigations (ICE/HIS) and the Defense Criminal Investigative Service (DCIS) in San Diego, CA began an investigation of Netria. Working with ICE agents in New Hampshire, evidence established that Netria had exported aircraft parts listed on the USML without having obtained a license from the U.S. State Department, in violation of the AECA. Court documents in this case disclose that between July 2007 and October 2009, Netria brokered the sale and export of approximately $2 million worth of aerospace parts, and included in those exports, between September 2008 and April 2009, Netria exported “defense articles,” specifically nine shipments of C-130 parts without a requisite State Department License.
“We will hold to account those who circumvent requirements designed to protect our national security,” said HSI Boston Special Agent in Charge Bruce Foucart. “I would like to congratulate the special agents of HSI and our partners with the Defense Criminal Investigative Service, who work tirelessly every day to pursue those who flout our export control laws and attempt to supply anyone with technology that could threaten our national security.”
On September 30, 2014, Netria pled guilty to the federal charges and admitted that it had exported two Lockheed Martin Fuel Quantity Indicators, which were “defense articles,” without having first obtained a license from the United States Department of State, as required by federal law. United States District Court Judge Landya McCafferty sentenced Netria to one year of probation and ordered the forfeiture of $12,560. This case was investigated by Immigration and Customs Enforcement, Homeland Security Investigations and Defense Criminal Investigative Service, and was prosecuted by Assistant U.S. Attorney Arnold H. Huftalen and Julie Edelstein of the United States Department of Justice, Counterespionage Section, National Security Division.
Nassau County Man Pleads Guilty to Transporting Child PornographyRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that Nicholas Mitko Clark (22, Yulee) has pleaded guilty to transporting child pornography. He faces a mandatory minimum sentence of five years, up to 20 years, in federal prison. A sentencing date has not yet been set.
According to the plea agreement, in April 2013, Clark used an instant messaging service to chat with an individual in Canada, with whom he exchanged child pornography. During the chat, Clark requested that the individual send him child pornography and advised that he likes children between the ages of and 8 and 13. After receiving an image depicting a young child, Clark responded that he already had that file and requested another one. Clark and the individual proceeded to exchange additional files of child pornography. Through their investigation, law enforcement agents obtained Clark’s cellphone and recovered several additional images of child pornography.
The case was investigated by the U.S. Immigration and Customs Enforcement's Homeland Security Investigations and the Jacksonville Sheriff's Office, with assistance from the Nassau County Sheriff’s Office. It is being 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.justice.gov/psc.
Monmouth County, N.J., Man Sentenced to 87 Months in Prison for Distributing Images of Child Sexual AbuseRead the Press Release
TRENTON, N.J. - A Wayside, New Jersey, man was sentenced today to 87 months in prison for using a computer in his home to distribute images of child sexual abuse, U.S. Attorney Paul J. Fishman announced.
Nathan Brochstein, 41, previously pleaded guilty before U.S. District Judge Mary L. Cooper to an information charging him with one count of distribution of child pornography. Judge Cooper imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court: Brochstein admitted making images and videos depicting child sexual abuse available online via peer-to-peer file sharing software. He also admitted possessing more than 600 images of child sexual abuse on his computer and external hard drive, which were seized from his residence in November 2012. Brochstein acknowledged that the images and videos of child pornography he distributed portrayed sadistic or masochistic conduct or other depictions of violence and included images of a prepubescent minor.
In addition to the prison term, Judge Cooper sentenced Brochstein to serve five years of supervised release.
U.S. Attorney Fishman credited special agents of Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Newark Division, under the direction of Acting Special Agent in Charge John P. Woods, with the investigation leading to today’s sentencing. He also thanked the Ocean Township Police Department and the Monmouth County Prosecutor’s Office for their assistance.
The government is represented by Assistant U.S. Attorney Cari Fais of the U.S. Attorney’s Office General Crimes Unit in Newark.
15-014Defense counsel: Robert Weir Esq., Red Bank, New Jersey
Missouri Man Sentenced to Nearly Four Years on Interstate Stalking ChargeRead the Press Release
Contact: Darcie N. McElwee
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that
William McBroom-Stees, 43, of Springfield, Missouri was sentenced yesterday in U.S. District
Court by Chief Judge Nancy Torresen to 46 months in prison and three years of supervised release for interstate stalking. McBroom-Stees pleaded guilty to the charge on September 23, 2014.Court records reveal between November 9 and November 21, 2013, McBroom-Stees made threatening telephone calls from Missouri to his ex-girlfriend and mother of his child while she was driving from Illinois to Rockland, Maine, where she was relocating. In the calls and text messages, McBroom-Stees threatened to kill and harm her, her immediate family, and others.
On November 13, McBroom-Stees threatened that if she did not return to Missouri by their child’s birthday, he would “start the worst f***ing bloodbath in America” and dared the police to come after him. That call was recorded by the victim with the help of a Knox County Sheriff’s
Office detective. Phone records revealed McBroom-Stees placed hundreds of calls and sent numerous text messages to the victim, many of which were threatening, causing substantial emotional distress to the victim and her family.
The investigation was conducted by the Knox County Sheriff’s Office, the Rockland
Police Department and the Federal Bureau of Investigation.Michigan Physician Sentenced to 15 Months in Prison for her Role in a $2.1 Million Medicare Fraud SchemeRead the Press Release
A Michigan physician involved in a $2.1 million home health care fraud scheme was sentenced today to 15 months in prison.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Barbara L. McQuade of the Eastern District of Michigan, Special Agent in Charge Paul M. Abbate of the FBI’s Detroit Field Office and Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Office of Investigations Detroit Office made the announcement.
Dr. Paula Williamson, 69, of Redford Township, Michigan, was sentenced by U.S. District Judge Paul D. Borman of the Eastern District of Michigan. In addition to her prison term, Williamson was ordered to pay $1,343,261.61 in restitution.
According to her plea agreement, from August 2009 through October 2012, Williamson conspired with others to commit health care fraud by referring Medicare beneficiaries for home health care services that were medically unnecessary and never provided. Williamson also falsified documents that were used to support false and fraudulent claims to Medicare.
According to her admissions, Williamson signed referrals for a home health care agency known as AMB Healthcare Inc. (AMB), which was located in Farmington Hills, Michigan, and owned by a co-conspirator. AMB needed a physician’s referral to bill Medicare for purported home health care services. Williamson admitted that, at the request of her co-conspirators, including the owner of AMB, she falsified medical documentation and certified Medicare beneficiaries as homebound—a requirement for Medicare reimbursement—when, in fact, she had never examined nor even met the beneficiaries, and they were not homebound. AMB used the falsified documents to support fraudulent claims to Medicare for home health care services that were never rendered and not medically necessary.
Between April 2009 and December 2012, Medicare paid AMB approximately $2.1 million for purported home health care services. Of that amount, approximately $1.3 million was based on Williamson’s false home health referrals.
This case was investigated by the FBI and HHS-OIG, and was brought by the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of Michigan. The case was prosecuted by Trial Attorneys Matthew C. Thuesen and Niall M. O’Donnell of the Criminal Division’s Fraud Section.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,000 defendants who have collectively billed the Medicare program for more than $6 billion. In addition, HHS’s Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, is taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Team (HEAT), go to: www.stopmedicarefraud.gov.
Mexican National Convicted of Transporting Illegal AliensRead the Press Release
LAREDO, Texas – A federal jury has convicted Jaime Gerardo Serrano-Villegas, 28, of Nuevo Laredo, Mexico, of transporting illegal aliens, announced U.S. Attorney Kenneth Magidson. The verdict was returned following a two-day trial and less than two hours of deliberation.
According to testimony, Serrano-Villegas assisted other persons in moving a boat filled with Mexican Nationals across the Rio Grande River, towards Rio Bravo. Witnesses further described Serrano-Villegas acting as a guide and leading a group of six aliens into Rio Bravo. U.S. Border Patrol agents ultimately discovered seven Mexican Nationals who were subsequently detained. Evidence and testimony revealed that Serrano-Villegas admitted to Homeland Security Investigations (HSI) he had acted as a guide in order to make money for his daughter’s dental work.
Serrano-Villegas testified at trial and admitted to illegally entering the United States. However, he denied making any admissions to HSI, acting as a guide or having any involvement in the transportation of undocumented aliens into and through the U.S.
The jury did not believe his claims and found him guilty as charged.
Sentencing will be set at a later date. At that time, Serrano-Villegas faces up to 10 years in federal prison. He will remain in custody pending that hearing.
Homeland Security Investigations conducted the investigation with the assistance of U.S. Border Patrol. Assistant U.S. Attorney Christopher A. dos Santos is prosecutingthe case.
Melrose Man Pleads Guilty to Impersonating FBI AgentRead the Press Release
BOSTON – A Melrose man pleaded guilty in U.S. District Court in Boston on Monday to impersonating a federal agent.
Gjerji Pelushi, a/k/a “George Pelushi,” 28, pleaded guilty on Jan. 12 to two counts of impersonation of an officer of the United States. U.S. District Judge Denise J. Casper scheduled sentencing for April 8, 2015.
In 2014, the FBI received information about Pelushi from two victims who, like Pelushi, are originally from Albania. In separate interviews, both victims told agents that they had each paid thousands of dollars to Pelushi to assist them in obtaining a law enforcement job or in dealing with a law enforcement-related problem. One of the victims had a pending state court case which Pelushi promised to get dismissed. The victims paid for Pelushi’s help because he repeatedly told them he worked for the FBI.
During an undercover operation, agents recorded several telephone calls and meetings between Pelushi and the victims. On the recordings, Pelushi referred to himself as an FBI agent, confirmed he had taken thousands of dollars from both victims, and promised to use his connections as an agent to help them. In one meeting, Pelushi claimed to have patrolled this year’s Boston Marathon in plain clothes while armed and that “the Director” had told him and his fellow agents that if they “tell someone to stop and they reach for the bag, shoot them in the head!”
When Pelushi was arrested in August 2014, agents seized, among other items, a fake Harvard diploma and a private investigator manual. Pelushi ultimately admitted to agents that he had taken money from both victims and that he was not in fact an FBI agent.
The charging statute provides a sentence of no greater than three years in prison, one year of supervised release, and a fine of $250,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz and Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. The case was prosecuted by Assistant U.S. Attorney Christopher Pohl of Ortiz’s Organized Crime Strike Force Unit.
Medford Drug Dealer Sentenced to More Than 12 Years in Federal PrisonRead the Press Release
MEDFORD, Ore. - On Monday, January 12, 2015, Senior U.S. District Judge Owen M. Panner sentenced Steven Allen Longbrake, 28, of Medford, Oregon, to 12 1/2 years in federal prison for possession of methamphetamine with intent to distribute. Longbrake had previously pled guilty to that offense on September 15, 2014. After he completes his prison sentence, Longbrake will be on supervised release for five years.
On October 15, 2013, a Central Point Police Officer stopped a vehicle driven by Longbrake. After developing information that there may be drugs in Longbrake’s vechicle police searched it, and discovered approximately four ounces of methamphetamine on Longbrake’s person and in his car. Police also found digital scales and drug packaging in Longbrake’s backpack, and a trash bag full of marijuana plants in the back of the car.
Longbrake is a Federal Career Offender based upon his prior felony convictions for burglary in the first degree, manufacture of a controlled substance, and delivery of a controlled substance. His criminal history additionally includes previous convictions for assault in the fourth degree, strangulation, escape in the third degree, and possession of a controlled substance.
This case was investigated jointly by the Central Point Police Department and the Drug Enforcement Administration, and was prosecuted by Assistant U.S. Attorney Judith R. Harper.