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14 January 2015
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.
McMechen roofing contractor convicted of fraudRead the Press Release
WHEELING, WEST VIRGINIA – Roofing and general contractor Stephen J. Gretchen, 44, of McMechen, West Virginia, was convicted today of failing to report cash payments to his employees and fraudulently collecting insurance benefits for staged damage to his vehicle, United States Attorney William J. Ihlenfeld, II, announced.
Gretchen admitted today that he knowingly underreported the wages, tips, and other compensation that he paid to his employees. He paid certain employees in cash “off the books.” He filed quarterly tax returns which failed to report these cash payments and failed to withhold certain tax amounts on behalf of his employees. In the second quarter of 2011, Gretchen reported that he paid no wages, tips, or other compensation to his employees. In fact, he had paid approximately $22,880.00 to his employees.
Gretchen owned a 2011 Coachman Freedom Express camping trailer. He admitted today that he paid one of his employees to deliberately and repeatedly crash a dump truck into the trailer, causing damage that totally destroyed the camping trailer for insurance purposes. Gretchen filed a claim with his insurance company, but falsely reported that the damage was caused by a hit-and-run accident. The insurance company sent Gretchen a check for $27,776.85 via FedEx in June 2012.
Gretchen pled guilty today to:
- One count of “Filing a False Form 941, Employees’ Quarterly Federal Tax Return” for which he faces up to three years in prison and a fine of up to $250,000.00, and
- One count of “Mail Fraud” for which he faces up to 20 years in prison and a fine of up to $250,000.00.
“Employers, such as Gretchen, that do not pay employment taxes to the government are not only stealing from the American taxpayers, but could be impacting the future benefits their employees are entitled to for their hard work” stated Thomas J. Kelly, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation, Washington, D.C. Field Office. “Honest, hardworking citizens should be assured that business owners who are not paying their fair share of taxes will be prosecuted.”
Assistant U.S. Attorney Robert McWilliams is prosecuting the case on behalf of the government. The Internal Revenue Service-Criminal Investigation, the United States Postal Inspection Service, and the West Virginia Offices of the Insurance Commissioner, Fraud Investigation Unit are investigating.
U.S. Magistrate Judge James E. Seibert presided.
Manhattan U.S. Attorney Announces Proposed Settlement Agreement in Landmark Civil RICO ActionRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that the United States Attorney’s Office and the International Brotherhood of Teamsters (the “IBT” or the “Union”) have entered into a settlement agreement (the “proposed agreement”) that, if approved by the Court, would replace the Consent Decree currently governing the Union’s affairs. The Consent Decree has been in place since March 1989, following the Government’s filing of a landmark civil lawsuit under the Racketeer Influenced and Corrupt Organizations (“RICO”) Act designed to rid the Union of the corrupting influence of organized crime and put in place an electoral system that would foster democracy within the Union.
Manhattan U.S. Attorney Preet Bharara said: “The proposed settlement agreement seeks to strike the appropriate balance, recognizing the significant progress that has been made in ridding the International Brotherhood of Teamsters of the influence of organized crime and corruption, while providing an avenue for the Union to demonstrate its ability to preserve these gains through its own independent disciplinary and electoral systems. We recognize that, although substantially diminished, the threat posed to the IBT by organized crime and other corrupting influences persists, and the proposed agreement provides for a continuing monitoring role for the Government. We should also recognize, however, that reaching this juncture is a great tribute to the success of the Consent Decree in forging meaningful and positive change in the IBT.”
Among other features, the Consent Decree permanently enjoined all IBT members, officers, employees, and agents from committing acts of racketeering activity or knowingly associating with various organized crime groups or persons otherwise enjoined from participating in union affairs; provided for “one-member, one-vote” direct elections of IBT International Officers, subject to independent oversight; and established a Court-appointed, three-member Independent Review Board (“IRB”) to investigate and prosecute wrongdoing and oversee the IBT’s implementation of disciplinary or trusteeship charges.
The proposed settlement agreement was submitted today to United States District Chief Judge Loretta A. Preska for her approval. The terms of the proposed agreement seek to ensure that the progress made under the Consent Decree’s disciplinary and electoral reform provisions will be preserved while reducing the Government’s oversight role over time. Among other things, the proposed agreement retains the permanent injunction feature of the Consent Decree, enjoining IBT members, officers, employees and agents from engaging in racketeering or knowingly associating with organized crime groups or persons otherwise banned from Union affairs. With regard to its elections, the Union also has agreed to permanently retain the structural reforms of the Consent Decree, including, without limitation, the one-Teamster, one vote direct elections of IBT International Officers, and to the appointment of an independent election supervisor to oversee those elections. During these elections, the Union will fund the direct mailing of candidate campaign materials to Union members. Further, with regard to the IBT’s disciplinary system, the IRB will be phased out during a five-year transition period, and the Union will establish its own independent disciplinary enforcement mechanism through the appointment of disciplinary officers approved by the Government. Following the transition period, the Government may apply to the Court for further equitable relief upon showing that either the IBT’s electoral or disciplinary systems are functioning ineffectively or that there exists systemic corruption or organized crime influence in the Union. Under the terms of the proposed agreement, the Court retains jurisdiction to ensure that the agreement is enforced.
The proposed agreement has been filed with the Court today as part of the parties’ joint motion requesting that the Court approve the agreement, following a three-week comment period and judicial hearing.
Any written comments that interested persons wish to provide for the Court’s consideration must be received no later than 5:00 p.m. on February 4, 2015. Comments may be sent via email to [email protected], or by first class mail or overnight delivery to:
United States Attorney’s Office, Southern District of New York
AUSA Tara M. La Morte
86 Chambers Street, 3d Floor
New York, New York 10007
A hearing in this matter is scheduled for February 11, 2015, at 11:00 a.m., at 500 Pearl Street, Courtroom 12A, New York, New York 10007.
The proposed settlement agreement and the parties’ joint motion requesting that the Court approve the agreement can be found on the website of the United States Attorney for the Southern District of New York at http://www.justice.gov/usao/nys, and via a link from www.teamster.org.
Assistant United States Attorneys Neil Corwin, Tara M. La Morte, and Jaimie Nawaday are currently in charge of the case.
U.S. v. Teamsters Settlement Agreement
U.S. v. IBT Order regarding comments and hearing
Luzerne County Woman Pleads Guilty to Participating in Heroin Trafficking ConspiracyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a Plymouth woman pleaded guilty today before Senior U.S. District Court Judge James M. Munley to conspiracy to distribute heroin in the Luzerne County area.
According to United States Attorney Peter Smith, the defendant, Megan Fox, age 28, admitted to participating in the drug trafficking conspiracy responsible for distributing large quantities of heroin during February through October 2014.
Fox was indicted along with five other defendants in October 2014, as a result of an investigation by The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Kingston Police, Plymouth Police, Wilkes-Barre Police, Edwardsville Police, and the Luzerne County District Attorney’s Office.
Judge Munley scheduled sentencing for April 21, 2015. Fox faces up to 20 years in prison and a $1 million fine.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa and Luzerne County Assistant District Attorney Jill Matthews who is assigned to this case as a Special Assistant U.S. Attorney.
Lincoln Parish Man Sentenced to 57 Months in Prison for Possession with Intent to Distribute MethRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a Ruston man was sentenced to 57 months in prison for bringing methamphetamine into Louisiana for sale.
Gale Allen Schoonover, 55, of Ruston, La., was sentenced by U.S. District Judge Elizabeth E. Foote for one count of possession with intent to distribute methamphetamine. He was also sentenced to three years of supervised release. According to evidence presented at the August 19, 2014 guilty plea, Schoonover was arrested on March 14, 2014 after returning from Dallas, where he had obtained methamphetamine that he intended to sell in Lincoln Parish. Law enforcement agents received information that the defendant was transporting methamphetamine for sale and monitored his whereabouts until the arrest. Schoonover possessed a total of 105.62 grams of pure methamphetamine as well as 1.735 kilograms of marijuana.
The DEA and the Lincoln Parish Narcotics Enforcement Team conducted the investigation. Assistant U.S. Attorney Allison D. Bushnell prosecuted the case.
Leader of Major Heroin Trafficking Ring Operating Out of Albuquerque’s Northeast Heights Sentenced to Twenty Years in Federal PrisonRead the Press Release
Bustamante-Conchas Also Ordered to Pay $100,000.00 Fine
ALBUQUERQUE – U.S. Attorney Damon P. Martinez and Special Agent in Charge Will R. Glaspy of the DEA’s El Paso Field Division announced that Miguel Bustamante-Conchas, 39, was sentenced late yesterday afternoon to 20 years in federal prison for his heroin trafficking conviction. He also was ordered to pay a $100,000.00 fine. Bustamante-Conchas is a legal permanent resident from Mexico who resides in Albuquerque, N.M.; he will be deported after completing his prison sentence.
“New Mexico’s opioid addiction and overdose death rates have been at or near the top of the national scale for years,” said U.S. Attorney Damon P. Martinez. “Under our recently announced HOPE Initiative, we will take on this epidemic by focusing our investigative and prosecutorial resources on significant heroin traffickers while supporting expanded treatment options for those struggling with the disease of addiction.”
“The sentencing of Miguel Bustamante-Conchas exemplifies DEA’s relentless commitment to keep dangerous drugs and those who traffic them off of our streets. DEA continues to focus on the drug trafficking organizations that spread this kind of poison in central and northern New Mexico,” said DEA Special Agent in Charge Will Glaspy. “Let this not only be an example, but also a warning to those who think they can go unnoticed. One day we will knock on your door and you too will face the same fate as Bustamante-Conchas.”
Bustamante-Conchas was one of seven men arrested in June 2013 on federal narcotics trafficking charges as a result of a 15-month multi-agency investigation targeting heroin traffickers operating out of Albuquerque’s Northeast Heights, an area that has experienced a growing, wide-spread heroin abuse problem among teens and young adults in recent years. More than 25 pounds of heroin were seized during the course of the investigation.
Two indictments were filed as a result of the investigation. Bustamante-Conchas and four other men were charged in one indictment while two others were charged in a second indictment. The other six defendants entered guilty pleas to heroin trafficking charges while Bustamante-Conchas elected to proceed to trial on a three-count superseding indictment charging him with (1) conspiracy to distribute large quantities of heroin in Bernalillo County, N.M., from Oct. 2012 to June 2013; (2) aiding and abetting the possession of heroin with intent to distribute; and (3) aiding and abetting the use of a firearm in relation to a drug trafficking crime.
Trial of the case began on July 30, 2014. On Aug. 4, 2014, the court dismissed the firearms charge at the conclusion of the United States’ case and submitted the two heroin trafficking charges to the jury. The jury returned a verdict of guilty on the two heroin trafficking charges on Aug. 6, 2014.
The evidence at trial established that Bustamante-Conchas played a leadership role in a major heroin trafficking organization by managing the acquisition, storage and distribution of kilograms of heroin and overseeing the collection of cash proceeds from the sale of heroin. Evidence of Bustamante-Conchas role in the drug trafficking organization was secured from wiretaps on telephones used by his subordinates, evidence seized during a law enforcement operation on June 14, 2013, and evidence seized on June 19, 2013. Evidence obtained on June 14, 2013, included three pounds of heroin, drug ledgers, numerous cellphones and narcotics paraphernalia, which were seized at the residences maintained as stash houses by Bustamante-Conchas and his co-conspirators. An additional 22 pounds of heroin were seized on June 19, 2013 from another of the organization’s stash houses.
Three of Bustamante-Conchas’ four co-defendants pled guilty to participating in a heroin trafficking conspiracy and are serving federal prison sentences. Baltazar Granados, 38, pled guilty on June 17, 2014, and was sentenced to 80 months in prison on Nov. 20, 2014. Ramon Cabrales-Guerra, 23, pled guilty on June 23, 2014, and was sentenced to 46 months in prison on Oct. 10, 2014. Angel Miramontes-Cruz, 23, pled guilty on May 29, 2014, and was sentenced on Oct. 10, 2014, to 24 months in federal prison. All three men are Mexican nationals illegally present in the United States and will be deported after completing their prison sentences.
The fourth co-defendant, Ruben Garcia Miranda, 53, an Albuquerque resident, pled guilty on June 12, 2014, to using a communications device to facilitate a drug trafficking crime. He is scheduled to be sentenced on Jan. 22, 2015.
Joel Nunez-Haros, 43, and Pablo Arturo Felix-Sicairos, 21, also were arrested in June 2013, and charged in a separate indictment with possession of heroin with intent to distribute. Both men pled guilty to the indictment in late June 2014. Nunez-Haros was sentenced to 57 months in prison on Nov. 20, 2014, and Felix-Sicairos was sentenced to 44 months in prison on Oct. 10, 2014. Both men are Mexican nationals illegally present in the United States and will be deported after completing their prison sentences.
These cases were investigated by the Albuquerque office of the DEA, the Albuquerque Police Department and the Bernalillo County Sheriff’s Office and were prosecuted by Assistant U.S. Attorneys Sean J. Sullivan, Nicholas J. Ganjei and Paul Mysliwiec.
The investigation resulting in these cases, which was code-named “Balloon Fiesta” in reference to the multi-colored balloons that heroin often is packaged in for retail distribution, was designated as part of the Organized Crime Drug Enforcement Task Force (“OCDETF”) program. OCDETF is a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.
The New Mexico Heroin and Opioid Prevention and Education (HOPE) Initiative is a collaboration between the U.S. Attorney’s Office and the University of New Mexico Health Sciences Center that is partnering with the Bernalillo County Opioid Accountability Initiative with the overriding goal of reducing the number of opioid-related deaths in the District of New Mexico. The HOPE Initiative comprised of five components: (1) prevention and education; (2) treatment; (3) law enforcement; (4) reentry; and (5) strategic planning. The law enforcement component of the HOPE Initiative is led by the Organized Crime Section of the U.S. Attorney’s Office and the DEA in conjunction with their federal, state, local and tribal law enforcement partners. Targeting major heroin traffickers like Bustamante-Conchas for investigation and prosecution is a priority of the HOPE Initiative.
Leader of Baltimore Area Drug Trafficking Organization Sentenced to 14 Years in PrisonRead the Press Release
Obtained Kilograms of Cocaine from Arizona and Texas
Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Shawn Malone, age 32, of Baltimore, today to 14 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; and Commissioner Anthony W. Batts of the Baltimore Police Department.
According to Malone’s plea agreement, beginning in at least 2010 and continuing until June of 2013, Malone, conspired with Travis Gaines, Antoine Bolden, Karl McDonald and others, (collectively the Malone Drug Trafficking Organization (DTO)) to obtain cocaine from sources of supply in Arizona and Texas and distribute the cocaine in the Baltimore area. Malone would have couriers flown or driven to the border to take possession of the cocaine and the couriers would either drive or take commercial buses back to Baltimore with the cocaine. Once in Baltimore, the cocaine would be distributed to wholesale customers, some of whom would convert the cocaine to crack cocaine for street level distribution. After the cocaine was sold, Malone used some of the same couriers to transport the money to pay for the drugs back to the sources of supply.During the Spring of 2013, the DEA intercepted telephone calls and text messages of members of the Malone DTO. During the investigation, law enforcement was able to interdict, in Frederick, Maryland, approximately 1.5 kilograms of cocaine from a courier as she traveled from Arizona to Baltimore by commercial bus. On June 6, 2013, law enforcement executed search warrants at locations in the Baltimore metropolitan area and recovered approximately 250 grams of cocaine, as well as packaged crack cocaine, from the main stash house of the organization.
Malone and other members of this DTO used the proceeds from the cocaine trafficking activities to purchase houses in the Baltimore area. Malone used additional drug proceeds to rehabilitate these houses, and either rent and/or sell the houses in an effort to launder the drug proceeds.
As a result of his participation in the drug conspiracy Malone was responsible for the distribution of between 50 and 150 kilograms of cocaine.Co-conspirators, Travis Gaines, age 34, Karl McDonald, age 30, and Antoine Bolden, age 37, all of Baltimore, pleaded guilty to their roles in the conspiracy and were sentenced to 130 months, 151 months and 84 months in prison, respectively.
United States Attorney Rod J. Rosenstein praised the DEA and Baltimore Police Department for their work in the investigation and thanked Assistant U.S. Attorney James T. Wallner, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Las Vegas Lawyer/Former U.S. Attorney Sentenced to Prison for Failing to File Tax ReturnsRead the Press Release
LAS VEGAS, Nev. – A Las Vegas lawyer who served as the U.S. Attorney for Nevada during the 1970’s, was sentenced today to 18 months in prison, one year of supervised release, and ordered to pay approximately $290,000 in restitution to the IRS for failing to file individual and corporate income tax returns from 2006 to 2010, announced U.S. Attorney Daniel G. Bogden for the District of Nevada.
Lawrence J. Semenza, II, 72, pleaded guilty in August 2014 to three misdemeanor counts of willful failure to file a tax return, and was sentenced by U.S. District Judge James C. Mahan. Semenza must report to federal prison by April 17, 2015.
“The consequences of failing to file your tax returns can be very serious,” said U.S. Attorney Bogden. “At the end of the day, you are better off filing your return than facing penalties such as wage garnishments, asset seizures, prosecution, and, as in this case, prison time.”
The case was investigated by IRS Criminal Investigation and prosecuted by Assistant U.S. Attorneys Eric Johnson and Nicholas D. Dickinson.
“It is especially egregious that a former federal prosecutor should try to skirt his own tax obligations,” said John Collins, Special Agent in Charge of IRS Criminal Investigation for Nevada. “American taxpayers have a right to expect that everyone will be held to the same standard of tax compliance. No one, regardless of current or former position, is above the law.”
According to the guilty plea agreement, Semenza operated his law practice in Las Vegas as a subchapter C personal service corporation. For the years 2006 through 2010, Semenza individually had taxable income of approximately $655,000, and the corporation had taxable income of approximately $345,000, but Semenza failed to file individual or corporate income tax returns for those years, and failed to pay the tax due and owing to the IRS, totaling about $290,000.Jacksonville Would-Be Terrorist Sentenced to 20 YearsRead the Press Release
Assistant Attorney General for National Security John P. Carlin, U.S Attorney A. Lee Bentley III for the Middle District of Florida and Special Agent in Charge Michelle S. Klimt of the FBI Jacksonville Division announced that Shelton Thomas Bell, 21, of Jacksonville, Florida, was sentenced to 20 years in federal prison for conspiring and attempting to provide material support to terrorists. U.S. District Judge Timothy J. Corrigan also ordered Bell to a lifetime of supervision following his release from prison. Bell pleaded guilty on March 19, 2014.
"We must be vigilant in investigating and prosecuting United States citizens who seek to travel overseas to assist terrorists," said U.S. Attorney Bentley. "Not only do these individuals present an obvious threat abroad, they could also return to the United States after being radicalized and trained in the use of firearms, explosives, and weapons of mass destruction. Cases such as these remain a top priority for the United States Attorney’s Office and the Department of Justice."
"With our local, state and federal agencies working together through the JTTF, we’re able to detect, deter and defend our nation from these types of threats," said Special Agent in Charge Klimt. "We’re strongest working together and this is a perfect example of success through collaboration."
According to court documents, beginning in May 2012 and continuing through at least July 18, 2012, Bell conspired to train and prepare as a combatant for overseas violent jihad, then travel from Jacksonville to the Middle East for the ultimate purpose of providing the skills to terrorists, including members of Ansar al-Sharia in Yemen. Once overseas, the plan included receiving further training and deadly weapons from Ansar al-Sharia, and then engaging in violent jihad against, and killing, others in Yemen and elsewhere.
In May 2012, Bell recruited a juvenile for the purpose of engaging in violent jihad and inspired him with the teachings of an Al Qaida spokesperson, Anwar al-Awlaki. Bell suggested traveling to Yemen to fight because of al-Awlaki's teachings - that all young people should travel to Yemen to “take up the fight.” Bell and the juvenile subsequently agreed to travel to Israel and then make Hajj. As part of the plan, the conspirators told others, including their parents, that they were traveling overseas to make Hajj, to study, and to get an education. By July 2012, the conspirators began taking actions to train for their unlawful activities by conducting mental training that included watching al-Awlaki videos and looking at images of dead Muslims.
Another part of the training took place on July 4, 2012, when Bell conducted a late-night “jihadi training mission” that involved the destruction of religious statues in a multi-denominational cemetery located in Jacksonville. In preparation for the mission, he dressed in all black clothing, wore tactical gloves, a mask, and wrapped his shoes in black duct tape to avoid leaving footprints. Bell brought a loaded 9 mm pistol with him on the mission to use “in case any kuffar want to cause any trouble.” Other training sessions conducted by Bell included a homemade firing range and impromptu battlefield lessons intended for recording and uploading to the Internet, to be used in the recruitment of others in the “the actions of jihad.” At the conclusion of one training session, Bell placed an American flag on a machete, burned it, and commented that the flag was “burning to the ground by the mujahidin’s hands.” To recruit other youth to travel and join in armed conflict, Bell and the juvenile also planned to take footage of their participation in armed conflict in the Middle East, once they made it there and began fighting.
On Sep. 25, 2012, Bell and the juvenile left Jacksonville and flew to New York, Poland, and Tel Aviv, Israel, where they were detained by Israeli officials and deported to Poland. From there, Bell and the juvenile traveled to Jordan to stay with the juvenile's relatives. While in Jordan, Bell and the juvenile contacted another person to assist in their plan of joining up with Ansar al-Sharia. Bell and the juvenile also bought airline tickets to Oman, believing they would fly to Oman and walk across the border to Yemen and join the armed conflict there. During their overseas travel, Bell and the juvenile took steps to avoid detection by law enforcement.
Ultimately, Bell and the juvenile were deported from Jordan to the United States on Nov. 21, 2012.
This case was investigated by the FBI's Jacksonville Joint Terrorism Task Force (JTTF). The JTTF is a multi-agency task force comprised of full-time personnel from the FBI, U.S. Coast Guard Investigative Service, U.S. Customs and Border Protection, U.S. Immigration and Customs Enforcement's Homeland Security Investigations, the Jacksonville Sheriff's Office, Florida Highway Patrol, the Florida Department of Law Enforcement, and the Naval Criminal Investigative Service. It was prosecuted by Trial Attorney Mara M. Kohn from the Department of Justice National Security Division’s Counter Terrorism Section and Assistant U.S. Attorney Mac D. Heavener III.
Jacksonville Would-Be Terrorist Sentenced to 20 YearsRead the Press Release
Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan today sentenced Shelton Thomas Bell (21, Jacksonville) to 20 years in federal prison for conspiring and attempting to provide material support to terrorists. The Court also ordered him to serve a lifetime of supervision following his release from prison. Bell pleaded guilty on March 19, 2014.
According to court documents, beginning in May 2012 and continuing through at least July 18, 2012, Bell conspired to train and prepare as a combatant for overseas violent jihad, then travel from Jacksonville to the Middle East for the ultimate purpose of providing the skills to terrorists, including members of Ansar al-Sharia in Yemen. Once overseas, the plan included receiving further training and deadly weapons from Ansar al-Sharia, and then engaging in violent jihad against, and killing, others in Yemen and elsewhere.
In May 2012, Bell recruited a juvenile for the purpose of engaging in violent jihad and inspired him with the teachings of an Al Qaida spokesperson, Anwar al-Awlaki. Bell suggested traveling to Yemen to fight because of al-Awlaki's teachings - that all young people should travel to Yemen to “take up the fight.” Bell and the juvenile subsequently agreed to travel to Israel and then make Hajj. As part of the plan, the conspirators told others, including their parents, that they were traveling overseas to make Hajj, to study, and to get an education. By July 2012, the conspirators began taking actions to train for their unlawful activities by conducting mental training that included watching al-Awlaki videos and looking at images of dead Muslims.
Another part of the training took place on July 4, 2012, when Bell conducted a late-night “jihadi training mission” that involved the destruction of religious statues in a multi-denominational cemetery located in Jacksonville. In preparation for the mission, he dressed in all black clothing, wore tactical gloves, a mask, and wrapped his shoes in black duct tape to avoid leaving footprints. Bell brought a loaded 9 mm pistol with him on the mission to use “in case any kuffar want to cause any trouble.” Other training sessions conducted by Bell included a homemade firing range and impromptu battlefield lessons intended for recording and uploading to the Internet, to be used in the recruitment of others in the “the actions of jihad.” At the conclusion of one training session, Bell placed an American flag on a machete, burned it, and commented that the flag was “burning to the ground by the mujahidin’s hands.” To recruit other youth to travel and join in armed conflict, Bell and the juvenile also planned to take footage of their participation in armed conflict in the Middle East, once they made it there and began fighting.
On September 25, 2012, Bell and the juvenile left Jacksonville and flew to New York, Poland, and Tel Aviv, Israel, where they were detained by Israeli officials and deported to Poland. From there, Bell and the juvenile traveled to Jordan to stay with the juvenile's relatives. While in Jordan, Bell and the juvenile contacted another person to assist in their plan of joining up with Ansar al-Sharia. Bell and the juvenile also bought airline tickets to Oman, believing they would fly to Oman and walk across the border to Yemen and join the armed conflict there. During their overseas travel, Bell and the juvenile took steps to avoid detection by law enforcement.
Ultimately, Bell and the juvenile were deported from Jordan to the United States on November 21, 2012.
In commenting on this case, United States Attorney A. Lee Bentley, III, stated, “We must be vigilant in investigating and prosecuting United States citizens who seek to travel overseas to assist terrorists. Not only do these individuals present an obvious threat abroad, they could also return to the United States after being radicalized and trained in the use of firearms, explosives, and weapons of mass destruction. Cases such as these remain a top priority for the United States Attorney’s Office and the Department of Justice.”"With our local, state and federal agencies working together through the JTTF, we’re able to detect, deter and defend our nation from these types of threats,” said Michelle S. Klimt, Special Agent in Charge – FBI Jacksonville Division. “We’re strongest working together and this is a perfect example of success through collaboration."
This case was investigated by the FBI's Jacksonville Joint Terrorism Task Force (JTTF). The JTTF is a multi-agency task force comprised of full-time personnel from the FBI, U.S. Coast Guard Investigative Service, U.S. Customs and Border Protection, U.S. Immigration and Customs Enforcement's Homeland Security Investigations, the Jacksonville Sheriff's Office, Florida Highway Patrol, the Florida Department of Law Enforcement, and the Naval Criminal Investigative Service. It was prosecuted by Assistant United States Attorney Mac D. Heavener, III and Trial Attorney Mara M. Kohn from the Department of Justice National Security Division’s Counter Terrorism Section.
Indiana, Pa., Woman Conspired to Distribute HeroinRead the Press Release
JOHNSTOWN, Pa. - A resident of Indiana, Pa., pleaded guilty in federal court to a charge of conspiracy to distribute heroin, United States Attorney David J. Hickton announced today.
Tiffany N. White, 26, pleaded guilty to one count before United States District Judge Kim R. Gibson.
In connection with the guilty plea, the court was advised that from April 2012 to March 8, 2013, White conspired with her co-defendants to possess and distribute 100 grams or more of heroin.
Judge Gibson scheduled sentencing for May 12, 2015, at 11 a.m. The law provides for a total sentence of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force conducted the investigation that led to the prosecution of White.
Honduran National Sentenced for Unlawful Transfer of Identification DocumentRead the Press Release
U.S. Attorney Kenneth A. Polite announced that CONCEPCION DIAZ, a/k/a “Conchi,” a citizen of Honduras, was sentenced today after previously pleading guilty to a one-count Indictment for the unlawful transfer of identification document.
U.S. District Judge Jane Triche Milazzo sentenced DIAZ to 8 months imprisonment followed by one year of supervised release, and a $100 special assessment.
According to court documents, on or about January 22, 2014, DIAZ transferred, without lawful authority, a means of identification of another person, to wit, a Social Security card, with the intent to commit, or to aid or abet, or in connection with, unlawful activity that constitutes social security fraud.
U.S. Attorney Polite praised the work of the Department of Homeland Security Investigations and Immigration and Customs Enforcement Agencies in investigating this matter. Assistant United States Attorney Irene González is in charge of the prosecution.
Group of Five Admit their Roles in Large-Scale Stolen Identity Refund Fraud SchemeRead the Press Release
NEWARK, N.J. – Five people involved in an extensive scheme to obtain millions of dollars through fraudulently obtained tax refund checks issued by the U.S. Treasury pleaded guilty today in Newark federal court, U.S. Attorney Paul J. Fishman announced.
Julio C. Concepcion 49, of Passaic, New Jersey, pleaded guilty before U.S. District Judge Kevin McNulty to an information charging him with one count of conspiracy to steal government funds and one count of theft of government funds. Concepcion also pleaded guilty to separate information charging him with one count of conspiracy to commit wire fraud in connection with his involvement in a separate mortgage fraud scheme.
Concepcion’s two sons, Angel Concepcion-Vasquez, 30, and Julio Concepcion-Vasquez, 32, and two other defendants, Jose Zapata, 67, and Romy Quezada, 24, all of Passaic, also pleaded guilty to one count each of conspiracy to steal government funds.
Concerning the Stolen Identity Refund Fraud (SIRF) scheme, according to documents filed in this case and statements made in court:
Members of the conspiracy, from at least October 2009 through May 2013, obtained the personal identifying information, including the names and Social Security numbers, of other individuals, including residents of Puerto Rico. Conspirators filed with the IRS false and fraudulent income tax returns using the stolen identity information, which generated income tax refund checks to which the members of the conspiracy were not entitled. The funds from these refund checks were then routinely transferred between bank accounts controlled by members of the conspiracy. The SIRF scheme resulted in more than $2.5 million in losses to the U.S. Treasury.
Julio C. Concepcion admitted to obtaining these fraudulent refund checks and recruiting others to open bank accounts and deposit the checks, sometimes providing them with false identification in order to do so. Angel Concepcion-Vasquez, Julio Concepcion-Vasquez, Quezada and Zapata each admitted to opening bank accounts into which these fraudulently obtained refund checks were deposited.
Concerning the mortgage fraud information, according to filed documents and statement made in court:
From January 2008 through March 2010, Concepcion conspired with others to commit wire fraud, specifically mortgage fraud. Once a conspirator purchased properties in New Jersey. Concepcion and others caused people to purchase the homes and receive mortgages for the homes either by using false identification documents or without the intent to live in the homes or pay off the mortgages.
Concepcion and others were able to cause parties to issue mortgages for the properties in reliance on fraudulent documents and material misrepresentations. The Federal Housing Administration (FHA) insured some of these mortgages.
As a result of these actions, the FHA and parties who approved the mortgages have lost more than $2.5 million.
The conspiracy to steal government funds charge is punishable by a maximum penalty of five years in prison. The theft of government funds charge is punishable by a maximum potential penalty of 10 years in prison. The conspiracy to commit wire fraud charge is punishable by a maximum penalty of 20 years in prison. All charges are also punishable by a fine of up to $250,000, or twice the gain or loss caused by the offense. Sentencings for all defendants are scheduled for May 7, 2015.
U.S. Attorney Fishman credited special agents of the IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Jonathan D. Larsen; postal inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge Maria L. Kelokates; 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; special agents of the U.S. Secret Service, under the direction of Assistant Special Agent in Charge Carl Agnelli; and the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes, with the investigations leading to today’s pleas.
The government is represented by Assistant U.S. Attorneys Andrew Kogan of the Economic Crimes Unit and Cari Fais and Melissa Wangenheim of the General Crimes Unit.
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Defense counsel: Julio Cesar Concepcion: Genesis Peduto Esq. North Bergen, N.J.
Julio Concepcion-Vasquez: David Fromkin Esq., Wallington, N.J.
Angel Concepcion-Vasquez: Anthony Fusco Jr. Esq., Passaic, N.J.
Romy Quezada: Stephen Dratch Esq., Livingston, N.J.
Jose Zapata: Elizabeth Smith Esq., Mendham, N.J.Four Indicted on Charges of Violating Federal Drug, Fraud and Money Laundering LawsRead the Press Release
PITTSBURGH - Three residents of India and one resident of Morocco have been charged in a second superseding indictment by a federal grand jury in Pittsburgh on charges of violating federal prescription drug, narcotic, fraud and money laundering laws, United States Attorney David J. Hickton announced today.
The 24-count second superseding indictment named Javed Sunesra, 37, Zuned Sunesra, 35, and Bismilla Sunesra, 60, all of Mumbai, India, and Samir Taslimant, 37, of Casablanca, Morocco.
According to the second superseding indictment, from November 2005 to April 2014, defendants Javed Sunesra, Zuned Sunesra, Bismilla Sunesra and Samir Taslimant, operated pharmacy websites based out of India called emedoutlet.com, shopeastwest.com, and superdrugsaver.com, amongst others. From these websites, the Sunesras, aided and abetted by others, including Taslimant, who ran an affiliate website called iwantmeds.com, conspired to distribute unapproved and misbranded prescription drugs into the United States without a prescription. These prescription drugs included “standard” prescription drugs such as Viagra and Accutane, as well as Schedule IV and V controlled substances such as Soma and Darvocet.
In addition, the Sunesras, acting together with co-defendant Taimur Khan, who has already pled guilty and is due to be sentenced, deceived customers of emedoutlet.com by claiming that the drugs sold were FDA approved and were similar to drugs sold in the United States when in fact that was not true. Further, Khan and the Sunesras set up a fake “gift card” company called “mygiftcard.biz” to process credit cards for customers. The purpose of this fake company was to convince credit card processors that emedoutlet.com and its affiliate websites were selling gift cards instead of illegal medications. Defendants Samir Taslimant, Javed Sunesra, and Zuned Sunesra are alleged to have laundered the money by funneling the proceeds of these drug sales from the United States to Canada, and then on to bank accounts in the Republic of Mauritius, Dubai, and Morocco.
The law provides for a maximum total sentence of 20 years in prison, a fine of $250,000 or twice the pecuniary gain of the defendants, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Defendant Zuned Sunesra is currently being held without bond, while the government is commencing extradition proceedings against the remaining defendants.
Assistant United States Attorneys Eric S. Rosen and Conor Lamb are prosecuting this case on behalf of the government.
The Food and Drug Administration and the Internal Revenue Service – Criminal Investigation conducted the investigation leading to the second superseding indictment in this case. A second superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Washington County Police Chief Resentenced to 7 Years and 3 MonthsRead the Press Release
PITTSBURGH- A former resident of Washington, Pa., has been sentenced in federal court to 87 months imprisonment, 3 years supervised release and no fine or restitution on his conviction of Hobbs Act violations, United States Attorney David J. Hickton announced today.
United States District Judge Joy Flowers Conti imposed the sentence on Donald Abraham Solomon, 59.
According to information presented to the court, Solomon was the Chief of Police of East Washington Borough, Pa. He received payments from a purported drug dealer, who was an undercover FBI agent, to protect drug shipments and to purchase law enforcement restricted police equipment.
Assistant United States Attorneys Robert S. Cessar and Lee J. Karl prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Solomon.
Former Philadelphia Traffic Court Judge Sentenced to 20 Month Prison TermRead the Press Release
PHILADELPHIA – Michael Lowry, 59, of Philadelphia, PA, was sentenced today to 20 months in prison for lying to a grand jury in connection with a ticket fixing scheme at the former Philadelphia Traffic Court. Lowry was a sitting traffic court judge at the time. In addition to the prison term, U.S. District Court Judge Lawrence Stengel ordered one year of supervised release and ordered Lowry to perform 100 hours of community service.
Lowry and co-defendants Robert Mulgrew and Thomasine Tynes were convicted at trial, on July 23, 2014, of committing perjury before a federal grand jury.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Denise Wolf and Anthony Wzorek.
Former Machesney Park Man Pleads Guilty to Concealment of Assets from A Bankruptcy TrusteeRead the Press Release
ROCKFORD — A former Machesney Park, Ill. man pleaded guilty today before U.S. District Judge Frederick J. Kapala to the concealment of assets from a Bankruptcy Trustee. ROBERT J. YONKEE, JR., 55, now of Lake Geneva, Wis., filed a Chapter 7 Bankruptcy Petition on Sept. 15, 2008, and by signing a Declaration verified his Petition, all his Schedules, and a Statement of Financial Affairs under penalty of perjury. According to the written plea agreement, from Sept. 15, 2008 through at least May 8, 2009, Yonkee fraudulently concealed property from the bankruptcy trustee, including his ownership interest in: a business that sold auto parts, automobiles, and motorcycles; the United States Super Truck Racing Series; Bobby Yonkee Racing; as well as other inventory, merchandise, capital, vehicles, and motorcycles.
Yonkee faces a maximum penalty of 5 years’ imprisonment, and a fine of up to $250,000, or twice the gross gain or gross loss resulting from that offense, whichever is greater. The judge may also impose a sentence of probation of one to five years, and a term of supervised release of up to three years. The actual sentence will be determined by the United States District Court, guided by the Sentencing Guidelines. Sentencing for Yonkee is set for April 2, 2015, at 2:30 p.m.
The guilty plea 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 Federal Bureau of Investigation.
The government is being represented by Assistant U.S. Attorney Michael D. Love.
Plea Agreement
Former Honolulu Police Officer Sentenced to Prison for Extortion Scheme Against Local BusinessRead the Press Release
HONOLULU – United States District Judge Derrick K. Watson today sentenced Roddy Takao Tsunezumi, age 38, a former Honolulu Police Department (HPD) officer, to 33 months in prison. Tsunezumi pled guilty in July 2014 to interfering with commerce by threats in an extortion scheme aimed at a local Honolulu business.
Florence T. Nakakuni, U.S. Attorney for the District of Hawaii, said that according to information produced to the court, Tsunezumi joined with codefendant Jeremy Javillo to extort $15,000 from a local Honolulu business by attempting to convince the owners that they would be kidnapped and/or robbed if they did not hire a protection business offered by Javillo. The owners of the business had reported an apparent legitimate threat they received to Tsunezuni in his role as an HPD officer. Instead of properly investigating or referring the threat through normal police channels, Tsunezumi arranged for one of the owners to meet with his associate, Javillo, who Tsunezumi told them could arrange protection for them. In order to coerce the owners to employ this protection service, a series of threatening text messages were then sent anonymously to the business owners.
Javillo, who also pled guilty, is expected to be sentenced tomorrow by Judge Watson.
This case was investigated by the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Ken Sorenson.
Former Buffalo Police Officer Sentenced for Operating A Large Scale Marijuana Grow OperationRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Jorge Melendez, 44, of Buffalo, NY, who was convicted of conspiracy to manufacture more than 100 marijuana plants, was sentenced to 60 months in prison by Chief U.S. District Judge William Skretny. The defendant was also ordered to pay a money judgement totalling $300,000, and forfeit a Suburban vehicle, a Harley Davidson motorcycle, a 36 foot speed boat, and seven firearms.
“For all those who take an oath to uphold the law, there is nothing more egregious than to flout that sacred promise and become a criminal,” said U.S. Attorney Hochul. “This defendant – while wearing the uniform of a police officer – served as a drug dealer for two years. The defendant’s actions have now cost him his liberty and property. They have not, however, reduced the high regard we have for those officers who continue to perform an outstanding job keeping all of us safe.”
Assistant U.S. Attorney Joseph M. Tripi, who handled the case, stated that on May 31, 2012, Melendez, along with co-defendants Jason Elardo and Robert Osika, were arrested after a long term investigation into a large scale marijuana grow operation at three locations. Specifically, Melendez and Elardo maintained a marijuana grow operation at a warehouse located at 2157 South Park Ave. in Buffalo. During the course of an investigation into the cultivation and distribution of marijuana, law enforcement officers installed hidden surveillance equipment on the second floor of the South Park Ave. warehouse where a grow operation was located. A review of surveillance video showed Melendez and Elardo tending to over 100 marijuana plants.
Prior to installing cameras inside the warehouse, officers monitored the outside of the building, also using surveillance cameras. Melendez was observed arriving in a Buffalo Police patrol car, while on duty, and entering and exiting the location. The defendant worked in the Buffalo Police Department's "D" District, however the warehouse is located in the "A" District.
The outside surveillance cameras also observed Elardo entering the warehouse on a daily basis to tend to the marijuana grow operation. In addition, officers obtained credit card information indicating that Elardo purchased equipment used to sustain an indoor, hydroponic marijuana grow operation. The equipment included a dehumidifier and filters.
At one point during the investigation, officers observed a police badge and credentials belonging to Melendez inside the warehouse. Melendez claimed to have previously lost the badge and identification.
On May 31, 2012, two additional locations were found to contain grow operations. A warehouse located at 1372 Clinton Street in Buffalo and a residence located at 76 West Woodside, both owned by Jason and third co-defendant Gale Elardo, were found to contain a marijuana grow operation. The residence also was found to contain marijuana packaged for sale and two firearms.
Defendants Osika and Gale Elardo have been convicted and are awaiting sentenced. Jason Elardo is deceased.
The sentencing is the culmination of an investigation on the part of Investigators of the New York State Police, under the direction of Major Michael Cerretto, the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent in Charge, New York Field Division, Special Agents of the Federal Bureau of Investigation, and the Buffalo Police Department under the direction of Commission Daniel Derenda.