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12 November 2014
Armenian Power Leader Sentenced to 32 Years in Prison for Racketeering, Extortion and FraudRead the Press Release
A leader of the Armenian Power gang, who was convicted at trial of 57 counts for his role in a racketeering conspiracy that included extortion, bank fraud, and a sophisticated credit and debit card skimming scheme, was sentenced today to 32 years in prison.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and Acting U.S. Attorney Stephanie Yonekura of the Central District of California made the announcement.
Mher Darbinyan, aka “Hollywood Mike” and “Capone,” 39, of Valencia, California, was sentenced by U.S. District Judge R. Gary Klausner of the Central District of California.
According to the evidence presented at trial, Darbinyan was a leader of Armenian Power, a gang responsible for extortion, firearms offenses, fraud, and identity theft throughout the Los Angeles-area. Among other activities, Darbinyan operated a sophisticated bank fraud scheme that used middlemen and runners to deposit and cash hundreds of thousands of dollars in fraudulent checks drawn on the accounts of elderly bank customers and businesses. Separately, Darbinyan also organized and operated a sophisticated debit card skimming operation targeting customers of 99 Cents Only Stores across Southern California. This expansive scheme involved the installation and use of skimmers to steal thousands of customers’ debit card numbers and PIN codes.
Evidence at trial also showed that Darbinyan conspired to extort money from a member of the Armenian community by threatening violence against the victim and his family members. On two separate occasions, Darbinyan also possessed firearms and ammunition after having previously been convicted of felony grand theft for his role in a 2004 debit card fraud scheme.
Darbinyan was among 90 individuals charged in 2011 in two indictments targeting Armenian Power. To date, 87 individuals have been convicted. Two defendants are fugitives, and prosecutors dismissed charges against one defendant.
According to evidence presented during the Armenian Power trials, the Armenian Power street gang formed in the East Hollywood district of Los Angeles in the 1980s. The gang’s membership consisted primarily of individuals of Armenian descent, as well as of other countries within the former Soviet bloc. Armenian Power has been designated under California state law as a criminal street gang and is believed to have more than 250 documented members, as well as hundreds of associates. According to evidence presented during the Armenian Power trials, Armenian Power members and associates regularly carry out violent criminal acts, including murders, attempted murders, kidnappings, robberies, extortions, and witness intimidation to enrich its members and associates and preserve and enhance the power of the criminal enterprise.
The trial evidence also showed that Armenian Power leaders worked closely with powerful organized crime figures in Russia and Armenia, known as “thieves-in-law,” and members of the Mexican Mafia prison gang to commit criminal activities in the Los Angeles area and elsewhere.
These cases were investigated by the Eurasian Organized Crime Task Force, which is comprised of the FBI, Glendale Police Department, Los Angeles Police Department, Burbank Police Department, Los Angeles Sheriff’s Department, Internal Revenue Service – Criminal Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and U.S. Secret Service. The Huntington Beach Police Department and Beverly Hills Police Department provided assistance.
The cases are being prosecuted by Trial Attorney Andrew Creighton of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Elizabeth Yang of the Central District of California.
Arizona Man, Vittorio Francesco Gonzalez-castillo, Pleads Guilty for Conspiracy to Produce Child PornographyRead the Press Release
U.S. Attorney Kenneth A. Polite announced that VITTORIO FRANCESCO GONZALEZ-CASTILLO, age 26, a resident of Tucson, Arizona, pled guilty today in the District of Arizona after being indicted in the Eastern District of Louisiana for Conspiracy to Produce Child Pornography. In addition, GONZALEZ-CASTILLO was previously indicted in the District of Arizona for Distribution, Possession, and Knowing Access of Child Pornography.
GONZALEZ-CASTILLO was permitted to plead guilty in federal court in Arizona to the Louisiana charges pursuant to Rule 20 of the Federal Rules of Criminal Procedure. GONZALEZ-CASTILLO also pled guilty to distributing child pornography arising from the Arizona indictment.
As a result of a nationwide child exploitation investigation, special agents with the New Orleans Office of the United States Department of Homeland Security, Homeland Security Investigations (“HSI”) determined that GONZALEZ-CASTILLO was responsible for producing videos depicting the sexual exploitation of children. According to court documents, beginning in 2012, and continuing until January 2013, GONZALEZ-CASTILLO conspired with Jonathan Johnson, the administrator of a multi-national child pornography website, to create and post videos depicting the sexual exploitation of children on the Internet.
Conspiracy to produce child pornography carries a mandatory minimum sentence of 15 years and a maximum sentence of 30 years. Similarly, distribution of child pornography carries a mandatory minimum sentence of 5 years and a maximum of 20 years. However, GONZALEZ-CASTILLO has agreed to serve a total of 30 years imprisonment pursuant to his plea on both counts. GONZALEZ-CASTILLO will have to register as a sex offender and will be placed on supervised release for a term of not less than 5 years and up to life once released from prison.
Sentencing is scheduled for January 26, 2015 before a U.S. District Court Judge in Tucson, Arizona.
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.projectsafechildhood.gov.
U.S. Attorney Polite praised the work of the Homeland Security Investigations in investigating this matter. Project Safe Childhood Coordinator and Fraud Section Chief, Assistant U. S. Attorney Brian M. Klebba is in charge of this prosecution. Assistant U.S. Attorney Carin C. Duryee of the U.S. Attorney’s Office for the District of Arizona handled the plea proceeding in Tucson, Arizona.
11 November 2014
San Fernando Valley Pastor Sentenced to over 10 Years in Prison for Running $7 Million Ponzi That Targeted Spanish-Speaking InvestorsRead the Press Release
LOS ANGELES – A Chatsworth man has been sentenced to 121 months in federal prison for running an investment scheme that lured more than 82 victims into investing approximately $7 million.
Luis Alonso Serna, 61, a pastor at Zion Living Word Christian Center (formerly Amistad Cristiana) in San Fernando who operated a foreign currency investment company called Architects of the Future Investments, was sentenced Monday by United States District Judge Beverly Reid O’Connell.
Serna, who pleaded guilty in August to a wire fraud charge, was also ordered to pay $4.6 million in restitution, which represents to amount of losses suffered by his victims.
“This case involves an egregious fraud that targeted the non-wealthy victims who believed in the defendant because he was a pastor,” prosecutors wrote in a sentencing memorandum filed with the court. “The effects of this crime on the victims are truly devastating in every way.”
According to court documents, Serna solicited loans from individuals by telling them that the money would be invested in foreign currency and that their investments would generate annual returns as high as 20 percent. Serna admitted in his plea agreement that he invested only a small portion of the loan proceeds in foreign currency or anything else that could possibly sustain the returns he promised his victims. Serna was in fact running a Ponzi scheme in which he used money from new investors to pay off and placate people who had previously given him money.
“In short, [Serna] has caused not only financial loss, but the loss of homes, the loss of ability to pay for education for children, the need to declare bankruptcy, psychological damage, physical affliction, and endless suffering,” according to the sentencing memo, which contained numerous statements from victims who suffered adverse effects when they lost their money.
This case was investigated by the United States Postal Inspection Service and the Federal Bureau of Investigation.
Release No. 14-149
Baltazar Camacho Sentenced to 470 Months in Prison for Cocaine ConspiracyRead the Press Release
KNOXVILLE, Tenn. - On Nov 4, 2014, Baltazar Camacho, 27, of Michoacàn, Mexico, was sentenced to serve 470 months in prison by the Honorable Thomas A. Varlan, Chief U.S. District Judge. The sentence was the result of a guilty plea by Camacho on the morning of trial in April 2014 to a federal grand jury indictment charging him with conspiracy to distribute cocaine and crack cocaine, and conspiracy to commit money laundering.
Following a day-and-a-half of testimony from five witnesses, Judge Varlan found that Camacho personally distributed between 150 kilograms and 450 kilograms of cocaine, at a minimum; Camacho was aware at least half of that amount would be converted into crack cocaine and sold; Camacho was an organizer or leader of an extensive criminal activity; and Camacho was armed with a firearm while he participated in the conspiracies.
The indictment and subsequent convictions of Camacho and 15 others were the result of an 18-month investigation conducted by the Federal Bureau of Investigation, Drug Enforcement Administration, Roane County Sheriff’s Office, Harriman Police Department, Oak Ridge Police Department, Knoxville Police Department, Knox County Sheriff’s Office, Clinton Police Department, and Loudon County Sheriff’s Office. Assistant U.S. Attorney Tracy L. Stone represented the United States.
U.S. Attorney William C. “Bill” Killian remarked, “Even in a time of intensifying drug activities and fewer law enforcement resources, we will continue to pursue all those who flood our streets with illegal drugs, and particularly those who lead large conspiracies such as these. That effort will never stop.”
Attorney General Holder Statement on the Passing of Civil Rights Leader John DoarRead the Press Release
Attorney General Eric Holder released the following statement Tuesday on the passing of civil rights leader John Doar:
"John Doar was a giant in the history of the Civil Rights movement, a courageous advocate for those who suffered discrimination, and a true champion of justice and equality over the course of many decades devoted to improving the country he loved so dearly.
"From Selma, to Montgomery, to the campus of Ole Miss, he stood with pioneers, rode with Freedom Riders, and marched with those who called for nothing more – and nothing less – than the rights which were theirs under the Constitution. At a time when America's cities rioted – and Mississippi burned – he was never far from the front lines of this momentous struggle, leading efforts to overturn an unjust status quo and striving to achieve justice for civil rights workers who were senselessly murdered.
"Brave but unassuming, passionate but unbiased, he repeatedly risked his life to preserve the rule of law and stand up for that which was right. He was one of the greatest leaders the Justice Department's Civil Rights Division has ever known. And during a period of great national turmoil and transformative change, alongside countless other leaders and seemingly-ordinary citizens, he helped usher in a brighter dawn, and build a better future, for everyone in this country.
"I have always regarded John Doar as a personal hero and an embodiment of what it means to be a public servant. In so many ways, he defined what is best about the Department he served so faithfully during one of its golden eras – proving every day, by word and by deed, that the law can be a strong, deft instrument of lasting, positive change.
"I was deeply saddened to learn of John Doar's passing, and I join President Obama and others throughout the nation in extending my deep condolences to his family and friends. Although he will be sorely missed, we vow today that his vital work will go on – and his contributions, and shining example, will not merely endure; they will continue to push us forward."
10 November 2014
Wisconsin Man Sentenced for Sex TraffickingRead the Press Release
United States Attorney Brendan V. Johnson announced that a Milwaukee, Wisconsin, man convicted of Transportation for Prostitution was sentenced on November 3, 2014, by U.S. District Judge Karen E. Schreier.
Thomas Alexander Roberts, age 34, was sentenced to 63 months in custody, to be followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Roberts was also ordered to forfeit four cell phones, a laptop computer, and $1,100 in cash seized when he was arrested.
Roberts was indicted for Transportation for Prostitution, Inducing Travel to Engage in Prostitution, and Sex Trafficking by a federal grand jury on December 3, 2013. He pled guilty on August 14, 2014, to the charge of Transportation for Prostitution.
In November of 2013, Roberts transported an adult female from Milwaukee, Wisconsin, to Sioux Falls, with the intention of having the female engage in prostitution. After arriving in Sioux Falls, Roberts rented a hotel room and placed advertisements containing sexually suggestive photographs of females on Backpage.com. As a result of those advertisements, the female engaged in commercial sex acts in the Sioux Falls area. Roberts physically abused the woman, and had a criminal history of dealing drugs and abusing a child.
This case was investigated by the Sioux Falls Police Department and the Federal Bureau of Investigation. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Roberts was immediately turned over to the custody of the U.S. Marshals Service.
Wakpala Man Sentenced for Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wakpala, South Dakota, man convicted of Sexual Abuse of a Minor was sentenced on November 3, 2014, by U.S. District Judge Charles B. Kornmann.
Fabian Rodriguez, age 23, was sentenced to 30 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Rodriguez was indicted by a federal grand jury on March 18, 2014. He pled guilty on July 28, 2014.
The conviction stems from an incident occurring between January 21, 2014, and February 21, 2014, when Rodriguez knowingly engaged in a sexual act with a female victim who was at least four years younger than Rodriguez and had not yet attained the age of 16 years.
This case was investigated by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Rodriguez was immediately turned over to the custody of the U.S. Marshals Service.
Wakpala Man Sentenced for Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wakpala, South Dakota, man convicted of Sexual Abuse of a Minor was sentenced on November 3, 2014, by U.S. District Judge Charles B. Kornmann.
Fabian Rodriguez, age 23, was sentenced to 30 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Rodriguez was indicted by a federal grand jury on March 18, 2014. He pled guilty on July 28, 2014.
The conviction stems from an incident occurring between January 21, 2014, and February 21, 2014, when Rodriguez knowingly engaged in a sexual act with a female victim who was at least four years younger than Rodriguez and had not yet attained the age of 16 years.
This case was investigated by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case. Rodriguez was immediately turned over to the custody of the U.S. Marshals Service.
Wakpala Man Sentenced for Felon in Possession of A FirearmRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wakpala, South Dakota, man convicted of being a Felon in Possession of a Firearm was sentenced on November 3, 2014, by U.S. District Judge Charles B. Kornmann.
Ronald Moran, age 37, was sentenced to 3 years of probation, 8 months of home confinement, 40 hours of community service, and a $100 special assessment to the Federal Crime Victims Fund.
Moran was indicted by a federal grand jury on May 13, 2014. He pled guilty on August 4, 2014.
The conviction stems from an incident on January 9, 2014, when a Corson County deputy advised Bureau of Indian Affair (BIA) officers that there was a vehicle pursuit in progress. The pursuit began in Mobridge and was headed towards the Standing Rock Indian Reservation. The vehicle, traveling at a speed of at least 90 mph, crossed over to the reservation and came to a stop in the driveway of a private residence in Wakpala. Upon stopping the vehicle, law enforcement conducted a felony traffic stop, made contact with the driver, who identified himself as Ronald Moran, Sr., and informed the officers that the reason he fled was because he thought he had a warrant in Brown County for a bad check. Moran further admitted to not stopping for a red light, running two stop signs, and stated he had exceeded 65 or 70 mph during his flight from law enforcement. The officers noticed a shotgun and a rifle strapped to the headliner of the vehicle. It was ultimately determined that the firearms belonged to Moran’s boss, but because Moran was a convicted felon, he was prohibited from having firearms in his possession. Moran admitted he knew the firearms were in the vehicle and that he could not be around firearms due to his felony conviction.
This case was investigated by the BIA, Standing Rock Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
UW-Oshkosh Student Charged in Federal Court with Possession of RicinRead the Press Release
United States Attorney James L. Santelle announced today that Kyle Allen Smith (Age: 21) of Oshkosh has been arrested on a criminal complaint and charged with possession of ricin in violation of Title 18, United States Code, Section 175(b). If found guilty of the offense Smith faces up to 10 years in prison, a $250,000 fine, or both.
According to the criminal complaint Smith approached two UW- Oshkosh professors. On one occasion Smith inquired about oil and protein extraction from seeds, and subsequently he discussed with a second professor the extracting of ribosomal inhibiting protein. The complaint also alleges Smith used his desktop computer to research ricin.
The substance that Smith produced tested positive for the toxin ricin. The case was investigated by the Oshkosh Police Department and the Federal Bureau of Investigations. The case is being prosecuted by Assistant United States Attorney Paul L. Kanter.
A criminal complaint is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
U.S. Attorney's Office Recognizes Western District of Louisiana VeteransRead the Press Release
SHREVEPORT/LAFAYETTE/ALEXANDRIA/LAKE CHARLES/MONROE, La.: United States Attorney Stephanie A. Finley announced that the U. S. Attorney’s Office will honor the men and women of the Western District of Louisiana and their family members who have served in the United States Armed Forces with a video presentation.
The presentation features employees from the U.S. Attorney’s Offices in Shreveport and Lafayette, Federal Courthouse employees in Shreveport, Lafayette, Alexandria, Lake Charles and Monroe, and family members. The video will be available for public viewing from November 10th to November 14th in the lobby of the United States Federal Courthouses in Shreveport and Lafayette.
“This video presentation is just a small way that we can honor our veterans,” Finley stated. “As a member of the United States Air Force, I am very aware of how lucky we are to have these veterans in our communities and how important it is for us to recognize their service. We owe a debt of gratitude to all of the men and women who serve and give their lives to safeguard our freedoms.”
Western District of Louisiana employees being honored for their service are:
United States Army – Aaron Broussard, Mike Campbell, U.S. District Judge Dee D. Drell, Robert Gillespie, David Joseph, Vincent Mangum, Joseph Mickel, Howard Parker, Edward Prokopf, Victor Sheppard, U.S. District Judge Tom Stagg, Fifth Circuit Judge Carl Stewart, Christ Turner, and U.S. District Judge Donald Walter.
United States Navy – Joseph Jarzabek, Daniel McCoy, and Ryan Turner.
United States Coast Guard – Dennis K. Austin and U.S. Magistrate Judge Patrick Hanna.
United States Marin Corps – Angelo Iorio.
United Stated Air Force – Mitzie Cochrane, U.S. Attorney Stephanie A. Finley, Samuel Glass, Michael O’Mara, Ryan Peck, Walter Sittig, U.S. District Judge James T. Trimble, Jr., and U.S. Marshal Henry L. Whitehorn, Sr.
Immediate family members of the personnel in the Western District of Louisiana U.S. Attorney’s Office and U.S. District Court System being honored for their service are:
United States Army – Gerald Champagne, Steven L. Dupont, Doyce Ray Hebert, Eric Iorio, Shelton Julian, Joseph LeJeune, David A. McBride, and Michael E. Schaff.
United States Navy – Kyle Alwert, David Cochrane, and Leon Gordon Jones.
United States Air Force – John T. Julian and Alan Williams.
United States Marine Corps – Stephen Box
Of those listed above, three have received Purple Hearts and other medals for their actions during various wars. Shelton Julian, the grandfather of Assistant U.S. Attorney Karen King, served in the U.S. Army during World War II. He was assigned to the 92nd Infantry, Buffalo Division. During his service, he received the Purple Heart and one Oak Leaf Cluster. United States District Court Judge Tom Stagg served in the U.S. Army during WWII in Europe from 1944-1946. During his service, he received the Combat Infantry Badge, the Bronze Star for Valor, the Bronze Star for Meritorious Service, and two Purple Hearts. Steven Dupont, son of FDA Investigator Charles Dupont, served in the United States Army from 2008 until 2010 and was stationed at Headquarters and Headquarters Company, 3d Squadron, 2d Stryker Cavalry Regiment at Rose Barracks in Vilseck, Germany. He was assigned to Ghostrider Company as a Forward Observer during Operation Enduring Freedom in Afghanistan. Dupont was killed in action on October 24, 2010, in Rangrizan, Afghanistan. Specialist Dupont was awarded the Bronze Star, the Purple Heart, the NATO Medal and the Combat Action Badge, posthumously. While on active duty, he received the National Defense Service Medal, Afghanistan Campaign Medal, Global War on Terrorism Service Medal, Army Service Ribbon, and the Overseas Service Ribbon.
The Purple Heart is given to military members who are wounded or killed in action. The Bronze Star of Valor is awarded for acts of heroism, acts of merit or meritorious service in a combat zone and is the fourth-highest combat decoration awarded to military members. The Oak Leaf Cluster denotes subsequent decorations and awards.
The U.S. Federal Courthouse in Shreveport is located at 300 Fannin Street, and U.S. Federal Courthouse in Lafayette is located at 800 Lafayette Street. For more information, call 337-262-6618.
In addition, in recognition of Veteran’s Day, United States Attorney Finley and staff members also visited Overton Brooks Veterans Affairs Medical Center in Shreveport on November 7, 2014. Overton Brooks hosted a series of events that included a visit by the United States Marine Corps, a burger burn by Eighth Air Force, Barksdale Air Force Base, a visit from the Shreveport-Bossier Mavericks basketball team, and a dedication of three memorial benches from Hillcrest Funeral Home and Centuries Memorial Funeral Home.
The U.S. Attorney’s Office also attended an event hosted by the Paul and Lulu Hilliard University Art Museum in Lafayette on Sunday, November 9, 2014, which featured WWII veteran Paul Hilliard. The local museum partnered with the National WWII Museum to present a discussion about WWII events. Mr. Hilliard shared stories of his WWII experience; the museum currently has on exhibit photographs from World War II. To learn more, visit www.hilliardmuseum.org or call (337) 482-2278.
Trio Charged in $1.5 Million Disability Benefits Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — Three former Oakland residents have been arraigned in Sacramento on charges of using stolen identities to defraud the State of California of disability insurance benefits, United States Attorney Benjamin B. Wagner announced.
Jermila McCoy, 32, and Zeffrey Cain, 38, were arraigned today, and Timnesha Wilson, 21, was arraigned on Wednesday, November 5, 2014. All three defendants entered pleas of not guilty. McCoy remains in custody, and both Cain and Wilson were released on bond. Their next court date is December 18, 2014, at 9:00 a.m. before United States District Judge Morrison C. England Jr.
According to the indictment returned by a federal grand jury in Sacramento on October 23, 2014, the defendants used stolen identities of individuals throughout California to file for disability benefits with the California Employment Development Department (EDD). The defendants then caused those disability benefits claims to be certified using the stolen identities of doctors throughout the State of California. Many of the doctors whose identities were used do not certify any disability claims as part of their practice. For example, one such doctor works at a state prison and only treats inmates as part of her practice. After a claim was filed and certified, the defendants received the fraudulent disability benefits at addresses they controlled. Over 250 stolen identities were used and over $1.5 million in fraudulent benefits was received.
This case is the product of an investigation by the United States Postal Inspection Service, the United States Marshals Service, and the California Employment Development Department, Criminal Investigations. Assistant United States Attorney Jared C. Dolan is prosecuting the case.
If convicted, each defendant faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Sylvania Man Indicted on Child Pornography ChargesRead the Press Release
A two-count indictment was unsealed charging Thomas W. Michaelis, age 69, of Sylvania, Ohio, with receipt/distribution of child pornography and possession/access intent to view child pornography, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Michaelis received and distributed the images between April and May. He possessed and accessed with intent to view one or more web sites which contained depictions of minors engaged in sexually explicit conduct between January and May, according to the indictment.
If convicted, the defendant’s sentence will be determined by the court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the 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.
The investigating agencies in this case are the United States Secret Service and the Sylvania Police Department. The case is being handled by Assistant United States Attorney Alissa M. Sterling
An indictment is only a charge and is not evidence of guilt. The Defendant is entitled to a fair trial in which it will be the government’s burden to prove his guilt beyond a reasonable doubt.
Steuben County Woman Sentenced for Kidnapping Woman and 6-Month Old ChildRead the Press Release
Rochester, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Billie Jo Ribble, 36, of Bath, NY, who was convicted of kidnapping a mother and her six-month old child and transporting them from Pennsylvania to New York, was sentenced to 20 years in prison by U.S. District Judge David G. Larimer.
“Today’s sentencing provides a fitting punishment for a defendant who jeopardized the lives of two kidnaping victims, including an infant,” said U.S. Attorney Hochul. “All law enforcement officers in two states who worked on this case are to be commended for bringing this to a rapid and successful conclusion.”
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that the defendant abducted of a mother and her six month-old child in Pennsylvania on March 1, 2013. At that time, Ribble was wanted by the Steuben County Sheriff's Office on charges of Burglary in the First Degree and Grand Larceny in the Third Degree, in relation to a residential burglary that occurred in October 2012. On March 1, 2013, investigators from the Steuben County Sheriff's Office and Pennsylvania State Police located and arrested Ribble in Mansfield, Pennsylvania. After being remanded to the Tioga County Jail in Pennsylvania, the defendant, who was pregnant, was taken to the hospital in Wellsboro, Pennsylvania, for treatment in the maternity ward. While there, Ribble became violent, assaulted a Tioga County Corrections Officer who was assigned to guard her, and escaped the hospital by jumping out a third-story window.
Later on March 1, 2013, a woman and her six month-old daughter were asleep in the basement bedroom of a residence in Wellsboro, Pennsylvania. At 11:30 p.m., the woman was awakened by Ribble, who was standing over her daughter's crib holding a large butcher's knife. The defendant picked up the child, while still holding the knife, and threatened to kill the woman, her child, and herself if the woman did not take Ribble where she wanted to go. Thereafter, the woman got into the driver's seat of her car and the defendant got into the front passenger seat, still holding the woman's daughter and the butcher's knife. At the direction of Ribble, the woman drove from Pennsylvania to an exit off Route 15 in Lindley, New York, where the defendant was dropped off. The woman then drove to a gas station in Pennsylvania and called the police.
After urgent investigation by the Steuben County Sheriff's Office and the New York State Police, Ribble was located at her boyfriend's residence in Corning, NY. Ribble initially barricaded herself in the attic, but eventually surrendered to authorities without incident.
The sentencing is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, the Steuben County Sheriff's Office, under the direction of Sheriff David Cole, the New York State Police, under the direction of Major Scott Crosier, the Pennsylvania State Police, under the direction of Commissioner Frank Noonan, and the Wellsboro (Pennsylvania) Police Department, under the direction of Chief Jim Bodine.Sioux Falls Man Charged with Fraud and Money LaunderingRead the Press Release
United States Attorney Brendan V. Johnson announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Wire Fraud and Money Laundering.
Randall William McKee, age 57, was indicted on November 4, 2014, for 14 counts of Wire Fraud and 9 counts of Money Laundering. He appeared before U.S. Magistrate Judge Veronica L. Duffy on November 6, 2014, and pled not guilty to the Indictment.
The wire fraud counts have a maximum penalty upon conviction of up to 20 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. The money laundering counts have a maximum penalty upon conviction of up to 20 years in custody and/or a $500,000 fine or twice the value of the property involved in the transactions (whichever is greater), 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered on all counts.
McKee served as trustee for a fund set up to provide for the needs of a disabled person. He is alleged to have written checks from that fund to a business he controlled, and then moved those funds to his own personal bank accounts. McKee is also alleged to have defrauded investors in a real estate scheme by soliciting investment funds and then using those funds for his own purposes. The activity occurred while McKee was a resident of Rapid City, South Dakota.
The charges are merely accusations and McKee is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Ann M. Hoffman is prosecuting the case.
McKee was released on bond pending trial. A trial date has been set for January 13, 2015.
Shreveport Man Sentenced to 18 Months in Prison for Role in LSU Health Sciences Center Bribery SchemeRead the Press Release
SHREVEPORT, La. –United StatesAttorney Stephanie A. Finley announced today that a former staff member at Louisiana State University Health Sciences Center (LSUHSC) was sentenced today to 18 months in prison for mail fraud in connection with a bribery scheme involving a laboratory supply company owner.
Anthony Roggero, 69, of Shreveport, was sentenced by U.S. District Court Judge S. Maurice Hicks Jr. for one count of mail fraud. He was also sentenced to three years of supervised release and ordered to pay $200,000 to LSUHSC payable jointly and severally with his co-conspirators. According to evidence presented at the guilty plea hearings, Roggero, who was the LSUHSC’s Human Leukocyte Antigen (HLA) laboratory assistant director and had purchasing authority to buy up to $5,000 for reagents and supplies. LSUHSC’s HLA laboratory played a critical support role for solid organ and bone marrow transplants, performing cross matching and tissue typing analyses. Unknown to LSUHSC, Roggero conspired with Sangre Biologicals owner, Rita M. Myler, to buy products from her company from at least June 2001 to July 2008. Sangre Biologicals received more than $540,000 from LSUHSC during the course of the scheme. In return for doing business with Sangre Biologicals, Myler mailed cash kickbacks, of which Roggero deposited approximately $117,000 in cash to his account at a credit union.
Myler, Roggero’s co-conspirator, pleaded guilty to one count of mail fraud on October 7, 2014. A sentencing date of January 26, 2015 was set.
The FBI conducted the investigation. Assistant U.S. Attorney Cytheria D. Jernigan is prosecuting the case.
Real Estate Developer Sentenced for Orchestrating $50 Million Securities Fraud SchemeRead the Press Release
SAN DIEGO – Commercial real estate developer and mortgage broker Bradley Holcom was sentenced to 10 years in prison today for his role in a $50 million securities fraud scheme.
Holcom, 57, pleaded guilty in July before U.S. District Judge Cathy Ann Bencivengo to committing wire fraud in connection with the sale of approximately $50 million worth of promissory notes which he sold to more than 150 investors located throughout the United States.
At the sentencing hearing today, elderly investors who had lost millions of dollars asked the judge to impose the maximum sentence. The investors – some tearful, some angry, all financially and emotionally debilitated – told the court of the devastating impact of losing their life’s savings at retirement age with no ability to recover.
“My retirement funds for my golden years are gone,” one of the victims said during the hearing. “He could’ve pointed a gun to my head or held a knife to my chest, and he couldn’t have hurt me more.”
According to court documents, Holcom solicited investors to provide funds for the development of raw land for commercial and residential purposes through an investment program he operated called the Trust Deed Investment Program. Holcom admitted that he falsely told investors who purchased notes through the Trust Deed Investment Program that they would receive a lien on a specific piece of property he was developing and that the lien would be in first position.
However, as Holcom further admitted, he never provided investors with a lien in the property he was purportedly developing and instead conveyed to investors a lesser interest that did not allow them to directly foreclose on the property to protect their investment. In addition, Holcom admitted that while he promised investors that their purported lien would be in first position, he subsequently solicited investments for properties that he knew were already encumbered by first position liens.
According to court documents, Holcom also sold properties that were supposedly serving as the security for investors without informing them that the property they had financed for development was gone. Holcom admitted that in 2008 and 2009, even though his financial condition had seriously deteriorated, he continued to solicit investors for new funds by making misrepresentations about his true financial condition and the manner in which he was using investor money. As a result of the scheme, Holcom admitted that his conduct caused approximately $50 million in losses.
Holcom was also sentenced to three years of supervised release and ordered to pay restitution to his victims, with the final amount of restitution to be determined at a hearing on January 9, 2015. Holcom was ordered to begin serving his sentence on January 12, 2015.
This case was investigated by the FBI’s Phoenix Division – Yuma Resident Agency. The case is being prosecuted by Trial Attorney Henry P. Van Dyck and Deputy Chief Daniel Braun of the Criminal Division’s Fraud Section, and by Assistant United States Attorney Mark Pletcher of the United States Attorney’s Office for the Southern District of California. The Department recognizes the substantial assistance of the U.S. Securities and Exchange Commission.
DEFENDANT Case Number: 13-cr-1723 Bradley Holcom Age: 57 Canby, Oregon CHARGESWire fraud, in violation of 18 U.S.C. § 1343.
INVESTIGATING AGENCY
Maximum Penalties: 20 years in prison, $250,000 fine or twice the gain or loss from the offense.Federal Bureau of Investigation
Rapid City Man Indicted on Child Pornography ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Distribution of Child Pornography and Possession of Child Pornography.
Gary Asmus, age 41, was indicted on October 21, 2014. He appeared before U.S. Magistrate Judge Veronica Duffy on November 5, 2014, and pleaded not guilty to the Indictment.
The penalty upon conviction is a mandatory minimum of 5 years’ imprisonment up to 20 years’ imprisonment and/or a $250,000 fine, lifetime supervised release, and a $100 assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment charges that between December 2013 and March 2014, at Rapid City, Asmus knowingly distributed and possessed computers files containing images of child pornography.
The charges are merely accusations and Asmus is presumed innocent until and unless proven guilty.
The investigation was conducted by the South Dakota Internet Crimes Against Children Task Force. Assistant U.S. Attorney Sarah B. Collins is prosecuting the case.
Asmus was released pending trial. A trial date has not been set.
Postal Employee Convicted of Seven-Year Disability ScamRead the Press Release
Investigation Exposed Woman Who Fraudulently Collected $250,000 in Federal Benefits; Received Food Stamps While Taking Postal Disability Payments
Baltimore, Maryland – Colette Lee, age 49, of Baltimore, pleaded guilty today to making false statements to obtain federal employee compensation benefits.The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Paul Bowman of the U.S. Postal Service, Office of Inspector General; John L. Phillips, Assistant Inspector General for Investigations, U.S. Department of the Treasury - Office of Inspector General; and Inspector General William E. Johnson, Jr. of the Maryland Department of Human Resources.
“Taxpayers foot the bill for phony disability claims by government workers,” said U.S. Attorney Rod J. Rosenstein. “Postal employee Colette Lee filed a fraudulent disability claim in 2007 and kept the scam going for seven years until she was caught. This case is an insult to taxpayers and honest government employees.”
According to her plea agreement, from 2003 to 2014, Lee worked for the U.S. Postal Service as a letter carrier and then became a mail handler.In May 2007, February 2008, August 2009 and October 2009, Lee submitted claims for disability for a work-related injury under the Federal Employees’ Compensation Act (FECA). Lee failed to disclose relevant parts of her medical history on her medical history questionnaire submitted on June 19, 2003 at the start of her Postal Service employment, including that: she had an active injury claim; had been previously treated in the emergency room; had been in physical therapy programs; and had CT scans. Lee also failed to disclose to medical professionals who evaluated her injury and potential treatment and assessed her possible return to work that Lee had a prior medical history that included injuries from at least four motor vehicle accidents that pre-dated her claims for FECA benefits. Lee was also involved in a motor vehicle accident not related to her Postal Service employment in September 2009, after she submitted claims for FECA benefits.
From May 17, 2007 through January 24, 2014, Lee received wage payments and FECA benefits for her alleged work-related injuries.
On August 23, 2012, Lee was interviewed regarding her claimed physical limitations and capability to return to work. Lee denied that she had any injuries prior to working for the Postal Service; stated that she had only been in one vehicle accident; stated she could not open her car door with her right hand; claimed that she drove her vehicle with her left hand while keeping her right hand down, needed to take breaks every 20 to 25 minutes, and could not use both hands to turn the steering wheel; advised that she could not grasp items with her right hand and had to ask people for assistance when shopping; and stated that she could not play with her son.
Surveillance conducted from December 2010 to February 4, 2014 showed Lee engaging in activities inconsistent with what she reported during the August interview. Agents observed Lee opening and unlocking her car door with her right hand, driving her vehicle at times with only her right hand, driving long periods without breaks, using her right hand to lift herself into a van, using both hands to maneuver the steering wheel, grasping items with her right hand, talking on her cell phone with her right hand, shopping by herself while grabbing items and unloading items without any assistance, and playing with children while running, walking, lifting, bending, and riding a bike. Insurance records also showed that Lee had prior injuries from motor vehicle accidents that she did not report during the August 23, 2012 interview.
Additionally, Lee admitted that she applied for food stamp benefits, which are funded by the Department of Agriculture, in 2010, 2011 and 2012, without disclosing that she was receiving FECA benefits.
Lee has agreed to pay restitution of $244,912.65, the loss suffered by the Postal Service and the Department of Agriculture from May 2007 through January 2014 by Lee’s false statements. Lee faces a maximum sentence of five years in prison. U.S. District Judge Marvin J. Garbis scheduled sentencing for February 2, 2015 at 10:00 a.m.
United States Attorney Rod J. Rosenstein praised the U.S. Postal Service Inspector General’s Office, U.S. Department of the Treasury Inspector General’s Office; and Maryland Department of Human Resources Inspector General’s Office for their work in the investigation. Mr. Rosenstein commended the National Insurance Crime Bureau for their assistance in the investigation, and thanked Assistant U.S. Attorney Ayn B. Ducao, who is prosecuting the case.Pierre Woman Charged with Theft, Misuse of Benefits and False StatementRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pierre, South Dakota, woman has been indicted by a federal grand jury for Theft of Government Funds, Misuse of Benefits by a Representative Payee, and False Statement.
Bobbie Jo Ziegler, a/k/a Bobbie Jo McGhee, age 41, was indicted by a federal grand jury on October 15, 2014. She appeared before U.S. Magistrate Judge Mark A. Moreno on October 28, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges stem from an allegation that between November 2012 and March 2013, in Hughes County, Ziegler embezzled, stole, purloined or knowingly converted to her own use Title II funds from the Social Security Administration to which she was not entitled. Ziegler is also alleged to have made materially false, fictitious, and fraudulent statements and representations in an application to become a benefit payee for the victim.
The charges are merely an accusation and Ziegler is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Office of the Inspector General for the Social Security Administration. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Ziegler was released on bond pending trial. A trial date has not been set.
Pennsylvania Sex Offender Sentenced for Failure to Update RegistrationRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistWHEELING, WEST VIRGINIA – Pennsylvania sex offender Charles Lundis, 64, was sentenced today to 15 months in prison for failure to update his sex offender registration when he relocated to Weirton, West Virginia, United States Attorney William J. Ihlenfeld, II, announced today.
Lundis was convicted of “Rape” in Pennsylvania in September 1990. As a result, he is required to register as a sex offender. An investigation by the United States Marshals Service and the West Virginia State Police revealed that Lundis failed to register with the West Virginia Sex Offender Registry when he moved from Pennsylvania to Weirton in September 2013.
Lundis pled guilty in August 2014 to one count of “Failure to Register and Update Registration as a Sex Offender – SORNA.”
Assistant U.S. Attorney Steve Vogrin prosecuted the case on behalf of the government.
Senior U.S. District Judge Frederick P. Stamp presided.
Ohio Man Sentenced for Heroin DistributionRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Tara Tighe, Public Affairs SpecialistWHEELING, WEST VIRGINIA – Lionel Hollingsworth, 25, of Marietta, Ohio, was sentenced today to 23 months in prison for heroin distribution, United States Attorney William J. Ihlenfeld, II, announced today.
An investigation by the Marshall County Drug and Violent Crime Task Force, a HIDTA-funded initiative, revealed that Hollingsworth sold heroin in November 2013 near Moundsville, West Virginia. He pled guilty in August 2014 to one count of “Distribution of Heroin.”
Assistant U.S. Attorney Randy Bernard prosecuted the case on behalf of the government.
Senior U.S. District Judge Frederick P. Stamp presided.
Oglala Man Pleads Not Guilty to Aggravated Sexual AbuseRead the Press Release
United States Attorney Brendan V. Johnson announced that an Oglala, South Dakota, man has been indicted by a federal grand jury for Aggravated Sexual Abuse.
Darrell Chase In Winter, Jr., age 22, was indicted on June 17, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on November 5, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is life imprisonment and/or a $250,000 fine, lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge stems from Chase In Winter knowingly engaging in a sexual act with a young female in May 2014 at Oglala.
The charge is merely an accusation and Chase In Winter is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.
Chase In Winter was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for January 13, 2015.
Oahu Men Charged with Operating Gambling BusinessRead the Press Release
HONOLULU – Three Oahu residents made their initial appearance before Magistrate Judge Richard L. Puglisi today after being charged in a criminal complaint with conducting an illegal gambling business from approximately January to the present. Delvin Phuong Pham, age 48, Ken Truong, age 33, and Cam Lam, age 38, had been arrested on November 7, and were released on unsecured bonds by Judge Puglisi pending their preliminary hearing on November 24.
Florence T. Nakakuni, Untied States Attorney for the District of Hawaii, said that according to allegations contained in the affidavit in support of the criminal complaint filed in court, Pham and Truong received proceeds from the operation of an illegal gambling business on Smith Street in downtown Honolulu, which contained approximately seven illegal gambling machines.
The affidavit further alleges that Pham opened a room where illegal baccarat betting occurred on Pauahi Street in downtown Honolulu on October 7, 2014. The affidavit recounts that the Smith Street location made a profit of approximately $109,000 from July 7 through September 22, 2014, and the baccarat room made a profit of $28,000 in ten days. The affidavit also alleges that Pham, in an effort to have police stay away from and protect gambling establishments, paid two Honolulu Police Department officers a total of $3,600, plus an additional $4,000 for an expected return of gambling machines seized by HPD from his establishments. The two HPD officers only pretended to assist Pham and were actually furthering the criminal investigation.
If indicted and convicted, each defendant faces up to five years in prison and a fine of up to $250,000. The charge in the complaint, as well as the information in the complaint affidavit, are merely accusations, and each defendant is presumed innocent until proven guilty.
The case resulted from an investigation by Homeland Security Investigations and the Honolulu Police Department. The case is being prosecuted by Assistant U.S. Attorney Chris A. Thomas.
Navajo, N.M., Man Pleads Guilty to Assaulting Intimate PartnerRead the Press Release
Defendant Prosecuted as Part of Federal Initiative to Address the Epidemic Incidence of Violence Against Native Women
ALBUQUERQUE – Harold Anthony Nez, 36, an enrolled member of the Navajo Nation who resides in Navajo, N.M., pleaded guilty today to a federal assault charge. Under the terms of his plea agreement, Nez will be sentenced to 15 month in federal prison followed by a term of supervised release to be determined by the court.
Nez was arrested on Feb. 20, 2014, on a criminal complaint alleging that he assaulted his intimate partner, a Navajo woman, on Jan. 16, 2014, by driving into her with a vehicle and pinning her left leg against a fence. The assault occurred in Navajo in McKinley County, N.M. Nez subsequently was indicted and charged with assault with a dangerous vehicle and assault resulting in serious bodily injury.
Today Nez pled guilty to an assault resulting in serious bodily injury charge. In his plea agreement, Nez admitted assaulting his intimate partner by hitting her with a vehicle. Nez admitted that as a result of the assault, the victim suffered extreme physical pain and severe bruising to the leg that required medical attention.
Nez has been in federal custody since his arrest. He remains detained pending sentencing, which has yet to be scheduled.
This case was investigated by the Window Rock, Arizona office, of the Navajo Nation Division of Public Safety and was prosecuted by Assistant U.S. Attorney David Adams.
The case was brought pursuant to the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
Naturalized U.S. Citizen Convicted on Immigration Fraud for Failing to Disclose Terrorism ConvictionRead the Press Release
A naturalized U.S. citizen was convicted of immigration fraud today for failing to disclose that she had been convicted of participating in a terrorist bombing, U.S. Attorney Barbara L. McQuade announced today.
Joining McQuade in the announcement was Marlon Miller, Special Agent in Charge of Immigration and Customs Enforcement, Homeland Security Investigations.
Convicted was Rasmieh Yousef Odeh, 67, a Chicago-area resident. The five-day trial was conducted before U.S. District Judge Gershwin Drain.
Odeh was found guilty of procuring her U.S. citizenship unlawfully. According to the indictment, Odeh was convicted in Israel for her role in the 1969 bombings of a supermarket and the British Consulate in Jerusalem, which were carried out on behalf of the Popular Front for the Liberation of Palestine ("PFLP"), a designated terrorist organization. Odeh and others placed multiple bombs at the British Consulate and in a supermarket. One of the bombs placed at the supermarket detonated, killing two and injuring others. A bomb placed at the Consulate caused structural damage to the facility. Odeh was sentenced by Israeli military authorities to life imprisonment, but was released after ten years as part of a prisoner exchange, and she then returned to the West Bank.
The evidence presented at trial established that in 1995, Odeh immigrated to the United States and was naturalized as a citizen in 2004. In her immigration documents filed in the United States, Odeh failed to disclose her arrest, conviction and imprisonment overseas, which were material facts for the U.S. government in determining whether to grant her citizenship.
“Today’s guilty verdict further emphasizes that the United States will never be a safe haven for individuals seeking to distance themselves from their pasts, no matter how distant that past might be,” said Marlon Miller, special agent in charge for HSI Detroit. “When individuals lie on immigration documents, the system is severely undermined and the security of our nation is put at risk.”
"An individual convicted of a terrorist bombing would not be admitted to the United States if that information was known at the time of arrival," McQuade said. "Upon discovery that someone convicted of a terrorist attack is in the United States illegally, we will seek to use our criminal justice system to remove that individual."Odeh faces a maximum sentence of 10 years in federal prison and will be stripped of her United States citizenship. A sentencing date has been set for March 10, 2015 at 11 am. Judge Drain remanded Odeh to the custody of the United States Marshals pending her sentencing.
This case was investigated by special agents of Immigration and Customs Enforcement, Homeland Security Investigations and prosecuted by Assistant U.S. Attorney Jonathan Tukel and Special Assistant U.S. Attorney Mark Jebson.Natchitoches Man Sentenced to 70 Months in Prison for Role in Illegal Drug ConspiracyRead the Press Release
SHREVEPORT, La. – United States Attorney Stephanie A. Finley announced today that a Natchitoches man was sentenced to 70 months in prison for conspiring to sell cocaine and methamphetamine.
James R. Smith Jr., 39, of Natchitoches, La., was sentenced by U.S. District Judge Donald Walter for one count of conspiracy to distribute cocaine and methamphetamine. He was also sentenced to three years of supervised release. According to evidence presented at the May 16, 2014 guilty plea, Smith conspired with others from 2010 to 2013 to distribute and possess powder cocaine and methamphetamine in Caddo Parish, Bossier Parish, Vernon Parish and Houston, Texas. Authorities recorded Smith selling another man 1 pound of methamphetamine.
Smith was arrested as part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation called Operation Styrofoam Cookies. The DEA participated in this OCDETF investigation.
The OCDETF program is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
Assistant U.S. Attorney James G. Cowles prosecuted the case.
Missouri Tax Preparer Sentenced on Federal Tax Fraud ChargesRead the Press Release
KANSAS CITY, KAN. - A Missouri tax preparer was sentenced Monday to 51 months in federal prison for preparing false income tax returns resulting in a total tax loss of more than $316,000, U.S. Attorney Barry Grissom said today.
Cynthia M. Raymond, Jackson, Mo., pleaded guilty to five counts of filing false tax returns and one count of aggravated identity theft. In her plea, she admitted submitting approximately 98 false tax returns under the names of 36 clients for the tax years 2007 through 2010. Her clients were not aware that she prepared returns including false deductions for business losses, charitable contributions, unreimbursed business expenses, medical expenses and false tax credits including education and residential energy credits.
She filed the returns electronically and provided her clients with different tax returns than she filed with the IRS. She routinely directed the Internal Revenue Service to deposit part of the refund to her clients’ accounts and to deposit the rest of the refund into her personal account.
Grissom commended IRS-Criminal Investigation and Assistant U.S. Attorney Chris Oakley for their work on the case.Mission Man Sentenced for Criminal ContemptRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of Criminal Contempt was sentenced on October 28, 2014, by U.S. District Judge Roberto A. Lange.
Michael Swalley, age 22, was sentenced to 5 days in custody with credit for time served, and a $10 special assessment to the Federal Crime Victims Fund.
Swalley was indicted for Criminal Contempt by a federal grand jury on July 15, 2014. He pled guilty to the Indictment on July 22, 2014.
The conviction stems from an incident on July 15, 2014, when Swalley failed to comply with a command and subpoena issued by the United States District Court requiring him to appear at a court hearing.
T his case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Tim Maher prosecuted the case.
Swalley was released from custody.
Minneapolis Man Charged with Threatening Federal InvestigatorRead the Press Release
United States Attorney Andrew M. Luger and Federal Bureau of Investigation Special Agent in Charge for the Minneapolis Division Richard T. Thornton today announced charges filed against MOHAMED ALI OMAR, 21, for knowingly and intentionally threatening a Special Agent of the Federal Bureau of Investigation (FBI) during a routine interview. The defendant made an initial appearance this afternoon before Magistrate Judge Steven E. Rau in United States District Court in St. Paul, Minn. His next court appearance is expected on Friday, November 14, 2014 in United States District Court in St. Paul, Minn.
“The safety and security of FBI employees is of paramount concern to the organization,” said FBI Special Agent in Charge Thornton. “The FBI will aggressively address all actual or implied threats to its employees.”
“Those who threaten violence against federal agents are committing a crime,” said U.S. Attorney Luger. “Any person has the right not to talk to law enforcement officers. But it is a crime to threaten violence against a federal law enforcement agent. This Office will do everything in our power to ensure the continued safety of federal agents.”
According to the complaint and documents filed in court, on November 6, 2014, two FBI Agents and a language interpreter went to OMAR’S house in South Minneapolis to interview a member of his family about the possible commission of an unrelated crime. When the agents and interpreter arrived outside of the house, OMAR opened the door and directed obscene language toward the FBI agents, threatened to “put down” the interpreter, and told the agents that “he had a permit to carry, and that if they came back, he would get them.” OMAR also told that agents that they “knew his history.” Taken in combination with the defendant’s history, the FBI agents understood him to mean that he would shoot at them if they returned to his house.
This case is the result of an investigation conducted by the FBI.
Defendant Information: MOHAMED ALI OMAR, 21
Minneapolis, Minn.
Charges: • Knowingly and intentionally threatening a federal officer, 1 count###
The charges contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Minneapolis Man Charged with Threatening Federal InvestigatorRead the Press Release
United States Attorney Andrew M. Luger and Federal Bureau of Investigation Special Agent-in- Charge for the Minneapolis Division Richard T. Thornton today announced charges filed against MOHAMED ALI OMAR, 21, for knowingly and intentionally threatening a Special Agent of the Federal Bureau of Investigation (FBI) during a routine interview. The defendant made an initial appearance this afternoon before Magistrate Judge Steven E. Rau in United States District Court in St. Paul, Minn. His next court appearance is expected on Friday, November 14, 2014 in United States District Court in St. Paul, Minn.
“The safety and security of FBI employees is of paramount concern to the organization,” said FBI Special Agent-in-Charge Thornton. “The FBI will aggressively address all actual or implied threats to its employees.”
“Those who threaten violence against federal agents are committing a crime,” said U.S. Attorney Luger. “Any person has the right not to talk to law enforcement officers. But it is a crime to threaten violence against a federal law enforcement agent. This Office will do everything in our power to ensure the continued safety of federal agents.”
According to the complaint and documents filed in court, on November 6, 2014, two FBI Agents and a language interpreter went to OMAR’S house in South Minneapolis to interview a member of his family about the possible commission of an unrelated crime. When the agents and interpreter arrived outside of the house, OMAR opened the door and directed obscene language toward the FBI agents, threatened to “put down” the interpreter, and told the agents that “he had a permit to carry, and that if they came back, he would get them.” OMAR also told that agents that they “knew his history.” Taken in combination with the defendant’s history, the FBI agents understood him to mean that he would shoot at them if they returned to his house.
This case is the result of an investigation conducted by the FBI.
Defendant Information:
MOHAMED ALI OMAR, 21
Minneapolis, Minn.
Charges:• Knowingly and intentionally threatening a federal officer, 1 count
###
Mercer County Man Sentenced for Possessing Videos Showing Sexual Exploitation of GirlsRead the Press Release
PITTSBURGH -A Mercer County resident has been sentenced in federal court to one day in the custody of the United States Marshal’s Service, followed by 12 years supervised release, the first 14 months of which is to be served in home confinement, with electronic monitoring, on his conviction of possession of material depicting the sexual exploitation of a minor, United States Attorney David J. Hickton announced today.
United States District Judge Mark R. Hornak imposed the sentence on Joseph L. Bryer, 53, of Grove City, Pa.
According to information presented to the court, Bryer possessed in excess of 10 videos in computer graphics files, which depicted prepubescent minors engaging in sexually explicit conduct. The videos were downloaded and shared using peer-to-peer software installed on Bryer’s computer. The videos included those depicting prepubescent females engaging in sexual intercourse with adult males.
Prior to imposing sentence, Judge Hornak granted the defendant’s request to depart from the Sentencing Guidelines applicable to the case, that is 63-78 months imprisonment, due to the defendant’s very low I.Q.
Assistant United States Attorney Carolyn J. Bloch prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended Homeland Security Investigations - Immigration and Customs Enforcement and the United States Secret Service for the investigation leading to the successful prosecution of Bryer.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Sentenced for Illegally Reentering the United StatesRead the Press Release
CHARLESTON, W. Va. - United States Attorney Booth Goodwin announced that Felipe Vargas-Briones, 28, was sentenced to twelve months and one day in prison for the federal offense of reentering the United States after previous deportation to Mexico. He also faces administrative deportation from the United States at the conclusion of his sentence.
Vargas-Briones was convicted in July of 2008 for being an illegal immigrant in possession of a firearm. Following the conviction, he was deported to Mexico and prohibited from returning to the United States. During a routine traffic stop in May of 2014, West Virginia State Police found Vargas-Briones near Chelyan, West Virginia. The West Virginia State Police and the United States Department of Homeland Security conducted the investigation. Assistant United States Attorney Erik S. Goes prosecuted the matter on behalf of the United States of America. The Honorable John T. Copenhaver, Jr. presided over the sentencing.
Man Pleads Guilty to Possessing Numerous Unauthorized Access Devices to Obtain MerchandiseRead the Press Release
BUFFALO, N.Y.–U.S. Attorney William J. Hochul, Jr. announced today that Luis Alcalar Vasquez, a/k/a Noberto DeRivas, a/k/a Abraham Rivas-Rios, 43, of Texas and Mexico, pleaded guilty before U.S. District Court Judge Richard J. Arcara to possession of 15 or more unauthorized access devices. The charge carries a maximum sentence of 10 years in prison and a fine of $250,000.
Assistant U.S. Attorney Marie P. Grisanti, who is handling the case, stated that between November 2012 and March 2013, the defendant obtained high-end merchandise at various Home Depot stores in Illinois, Indiana, Ohio and New York by scanning bar codes for lower ticketed items at self check-out stations. Vasquez scanned the bar codes for the lower cost items but took the more expensive items out of the stores. For example, the defendant scanned the bar code for a sink priced at $59.95 but actually left the store with a sink costing $444.79. Vazquez then returned the higher ticketed merchandise to another Home Depot location in exchange for stored value cards.
By early March, 2013, Home Depot became aware that the “ticket-switch” and refund transactions were being executed at stores in Western New York. On March 7, 2013, at stores in West Seneca, Buffalo, and Cheektowaga, sinks costing $444.79 were exchanged for stored value cards in that amount.
Later on March 7, at Home Depot’s store in Lockport, the defendant tried to use a California driver’s license bearing his picture but a different name, in order to return merchandise valued at $700.55. However, Home Depot personnel stopped the transaction and called Niagara County Sheriff’s Office deputies to the Lockport store, where they took the defendant into custody. Niagara County Sheriff’s Office investigators found Vasquez had 20 false California drivers licenses in three different names but all bearing the defendant’s picture, and 17 Home Depot stored value cards worth approximately $5,910. Two cell phones with bar codes taped to their backs were found on the defendant.
The total value of the merchandise the defendant obtained from The Home Depot stores was $77,577.90.
The plea is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation and investigators of the Niagara County Sheriff’s Department, under the direction of Niagara County Sheriff James Voutour.
Sentencing is scheduled for March 4, at 12:30 p.m. before Judge Arcara.Leon and Duell Charged with Perjury in Schenectady Arson Homicide CaseRead the Press Release
ALBANY, NEW YORK – Edward A. Leon and Jennica Duell have been arrested and charged, in separate indictments, with making false declarations before a federal grand jury, announced United States Attorney Richard S. Hartunian and Acting Special Agent in Charge James S. Higgins of the Bureau of Alcohol, Tobacco, Firearms & Explosives. The indictments allege that the false declarations were made in testimony before a grand jury conducting an investigation into the fire on or about May 2, 2013 at 438 Hulett Street in Schenectady, New York that caused the deaths of David Terry and three young children, seriously injured another child, and destroyed the building and the personal property inside.
The indictment charging Duell alleges that she testified under oath before the federal grand jury on or about May 24, 2013 and on or about January 31, 2014 and knowingly made material declarations on each date which were irreconcilably contradictory and inconsistent to the degree that one of them was necessarily false. The indictment alleges that Duell’s testimony in May of 2013 included declarations about how the fire at 438 Hulett Street was started, and by whom, and how: 1) A man said that he could make it so Duell and him could be together forever; 2) She, the man, and others had traveled from Saratoga Springs to Schenectady, talking about how she was tired of being controlled by David Terry, a face to face confrontation was necessary, and she said to do it and get it over with; 3) They stopped to get gas along the way; 4) A man poured gas in the hallway and then lit the stairs by using a lighter and a cloth with gas on it; 5) She spoke about her babies and he said they would get out and not get hurt; 6) Before lighting the fire, he asked Duell if she wanted to be free, and she said she did; 7) She saw the flames and wanted to get in there, but he wouldn’t let her; and 8) He said her story should be that they were in Saratoga the whole night. The indictment further alleges that Duell’s testimony in January of 2014 included declarations that the May 2013 declarations were untrue, and that she and the others had stayed in Saratoga Springs the entire night of the fire, never traveling to Schenectady.
The indictment of Leon charges two counts of making false declarations before the grand jury in sworn testimony on November 22, 2013. Count One alleges that Leon testified falsely regarding his travel on May 2, 2013, alleging that he falsely testified that he had driven straight from the Cumberland Farms in Palatine Bridge to work in Amsterdam, New York, but that he had actually driven first to Schenectady, was there driving on Hamilton Street near its intersection with Hulett Street at about 4:19 a.m, and was in the area of 438 Hulett Street at the time of the fire. Count Two alleges that Leon testified falsely in denying that he had used a particular telephone to send text messages to David Terry, some of which were threatening, from April 25 – 29, 2013.
Leon, 42, of St. Johnsville, New York, and Duell, 26, of Schenectady, New York, both appeared today before U.S. Magistrate Judge Christian F. Hummel in U.S. District Court in Albany, New York. Leon waived a detention hearing and was detained pending trial or a later hearing request. Duell was detained pending a hearing scheduled for Wednesday, November 12, 2014 at 2:00 p.m. The indictments are merely accusations and the defendants are presumed innocent unless and until proven guilty in a court of law. If convicted, Duell faces a maximum sentence of imprisonment for five years, a $250,000 fine, and a term of supervised release of up to three years. Since Leon is charged with two counts, if convicted, he faces an aggregate maximum sentence of imprisonment for ten years, a $500,000 fine, and a term of supervised release up to five years.
United States Attorney Hartunian stated: “The constitutional requirement of indictment by a grand jury depends on the truthful testimony of witnesses. Perjury undermines the integrity of our judicial system and is particularly insidious when the underlying offense is one that resulted in the killing of a father and three young children and horrible injuries to a fourth child. This indictment alleges conduct designed to impede the investigation, but we remain resolute in our commitment to continuing the investigation until justice is done.”
The charges today resulted from an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms & Explosives of the U.S. Department of Justice, the Schenectady Police Department, and the Schenectady Fire Department. The case is being prosecuted by First Assistant U. S. Attorney Grant C. Jaquith and Assistant United States AttorneyWayne A. Myers.
Further questions or inquiries may be directed to First Assistant U.S. Attorney Jaquith at 518-431-0247.
Las Vegas Attorney Sentenced to 9 Years in Prison for Child Exploitation Offenses in BakersfieldRead the Press Release
FRESNO, Calif. — United States District Judge Lawrence J. O’Neill sentenced Charles Max Pollock, 43, of Las Vegas, to nine years in prison, to be followed by 20 years of supervised release, for travel in interstate commerce with the intent to engage in criminal sexual activity, United States Attorney Benjamin B. Wagner announced.
Pollock’s sentencing followed his guilty plea, which entered on August 27, 2014. According to court documents, Pollock used an alias and posed as a photographer to contact an adult female who had posted an advertisement on Craigslist in Bakersfield seeking a modeling opportunity. The ad noted that her minor son had experience as a model. Pollock traveled from Las Vegas to Bakersfield, rented a hotel room, and took sexually explicit images of the minor. Pollock returned to Las Vegas and continued to communicate with the minor and his mother. Pollock arranged to meet the minor and the minor’s girlfriend at a different hotel in Bakersfield on August 15, 2013. He encouraged the minors to engage in sexually explicit conduct for purposes of taking photographs of the minors. Pollock paid the minors for each of the “photo shoots” and encouraged them not to tell anyone about the conduct.
Pollock is an attorney who has been licensed to practice law in Nevada and California. He has been in custody since September 20, 2013, when he was arrested on state charges for a separate offense in Las Vegas. Pollock has also previously pleaded guilty to those state charges, and he will be sentenced by the state court in Nevada now that his federal court proceedings are completed.
This case was the product of an investigation by the FBI and the Bakersfield Police Department. Assistant United States Attorney David Gappa prosecuted the case.
This case has been brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
L. Brian Whitfield, Former Managing Partner of Sommet Group, Convicted by Federal Jury in $15 Million Fraud SchemeRead the Press Release
L. Brian Whitfield, 49, formerly of Franklin, Tennessee, was convicted by a federal jury on Friday, after an eight-day trial, of 14 fraud-related counts, announced David Rivera, United States Attorney for the Middle District of Tennessee. The jury found Whitfield guilty of conspiracy, wire fraud, theft from an employee benefit program, filing a false tax return, and money laundering.
“Having your corporate name in lights will not insulate its principles from federal prosecution if, through fraud, you steal the health insurance, retirement, and tax contributions of companies and citizens of the Middle District,” stated United States Attorney David Rivera. “This type of corporate fraud will not be viewed as the cost of doing business by the United States Attorney’s Office and its law enforcement partners.”
The evidence during the trial before U.S. District Court Judge Todd J. Campbell established that Whitfield controlled the finances and funds of the Sommet Group LLC, a payroll processing company that operated in Franklin, Tennessee. From 2008 until 2010, Whitfield diverted millions of dollars of client funds that had been earmarked to fund client employee retirement accounts, to pay health claims, and to pay taxes. Instead of using these client funds in the manner in which Sommet had contracted, Whitfield diverted millions of dollars to prop up affiliated companies that he controlled and spent millions of dollars to acquire the naming rights of Nashville’s professional hockey arena, which came to be known as the Sommet Center. Whitfield also diverted client money to pay for personal expenses, including purchasing a $430,000 houseboat, a $99,000 ski boat, luxury clothing and the construction of a $150,000 pool in his backyard.
As a result of Whitfield’s fraud, retirement funds were not fully deposited into the accounts of employees whose paychecks were processed by Sommet, medical and prescription drug claims by employees were not fully paid, and taxes owed by clients to federal, state, and local governments went unpaid.
The evidence at trial also proved that Whitfield vastly underreported wages and taxes on Sommet’s quarterly employer tax returns that he personally prepared and filed. Across six quarters from 2008 – 2010, Sommet paid more than $83 million in wages to its employees and the employees of its clients, but Whitfield reported less than $4 million in wages to the IRS, resulting in an underpayment of more than $20 million in taxes.
“Having your corporate name in lights will not insulate you from federal prosecution if, through fraud, you steal the health insurance, 401 K retirement, and tax contributions of companies and citizens of the Middle District,” stated United States Attorney David Rivera. “This type of corporate fraud will not be viewed as the cost of doing business by the United States Attorney’s Office and its law enforcement partners.”
Whitfield will be sentenced by Judge Campbell on January 26, 2015. Whitfield faces up to 20 years in prison on each of three counts of wire fraud, up to 10 years in prison on each of four counts of money laundering, up to 5 years in prison on a conspiracy count and on each of three counts of theft from an employee benefit plan, and up to 3 years in prison on each of four counts of filing a false federal tax return. He also faces fines and will be ordered to pay restitution to his victims. In addition, the jury specified that Whitfield should forfeit $1.8M of proceeds from his offenses.In July 2013, D. Edwin Todd, a part owner of Sommet, and Marsha Whitfield, Sommet’s Vice President of Payroll, each pleaded guilty to one count of conspiracy for their roles in the scheme orchestrated by Brian Whitfield. Both Todd and Marsha Whitfield are awaiting sentencing.
This case was investigated by agents with the Internal Revenue Service Criminal Investigation, the Federal Bureau of Investigation and the Department of Labor, Employee Benefits Security Administration. The case was prosecuted by Assistant U.S. Attorneys William F. Abely, Kathryn Ward Booth, Sandra G. Moses, and Stephanie N. Toussaint.
Inmate Sentenced for Assaulting Corrections OfficersRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced today that Maurice Weaver, age 38, a federal inmate, was sentenced by United States District Court Judge Matthew W. Brann to 24 months imprisonment and three years’ supervised release. His sentence is to run consecutive to any other sentence being served by Weaver.
According to United States Attorney Peter Smith, Weaver was charged in an indictment on September 11, 2013 with assaulting the Warden and Associate Warden at the Allenwood Penitentiary in January 2012. After these assaults, Weaver was transferred to the Lewisburg Penitentiary where he assaulted a corrections officer from that institution. The injuries to the three officers were not life threatening.
The case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Eric Pfisterer.
Indiana Man Pleads Guilty to Receipt of Child PornRead the Press Release
NORFOLK, Va. – Douglas Lawrence True, 23, of Clarksville, IN, pleaded guilty today to receiving child pornography.
Dana J. Boente, United States Attorney for the Eastern District of Virginia and Charles May, Executive Assistant Director for Naval Criminal Investigative Service Atlantic Operations, made the announcement after True’s guilty plea was accepted by United States District Judge Mark S. Davis of the Eastern District of Virginia.
According to a statement of facts filed with the plea agreement, True was an active duty sailor who was viewing child pornography aboard a ship’s computer. Based upon this activity, the command seized and searched his cellphone. Agents learned that True was communicating with many different minors and enticing them to send explicit photos of themselves to him. In one example, True convinced his co-defendant Rebecca Gibbs to photograph herself performing sex acts on a 1 year old child and to send True the pictures.
A Norfolk federal grand jury indicted True and Gibbs on June 19, 2014 on three counts relating to child pornography. True is scheduled to be sentenced on February 20, 2015 and faces 20 years in prison. Rebecca Gibbs pleaded guilty to production of child pornography on September 30, 2014 and as a result of her guilty plea, she faces a mandatory minimum sentence of 15 years of incarceration when she is sentenced on January 5, 2015.
This case was investigated by Naval Criminal Investigative Service. Assistant United States Attorney Joseph L. Kosky is prosecuting the case on behalf of the United States.
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. 2:14-cr-97.
Inclusion and the Justice System:Why Jury Diversity MattersRead the Press Release
In a continued effort to raise awareness on the importance of jury service, Chief Judge Gerald E. Rosen, U.S. District Court for the Eastern District of Michigan, U.S. Attorney Barbara L. McQuade, Chief Federal Defender Miriam L. Siefer, State Representative Rashida Tlaib and Detroit City Council Member Raquel Castaneda-Lopezannounced today a community forum that will focus on the racial and ethnic diversity of juries and the importance of jury service.
The public forum, titled "Inclusion and the Justice System: Why Jury Diversity Matters" will take place Wednesday, November 12, 2014, from 6:00 to 7:30 p.m. at Community Health and Social Services (“CHASS”), 5635 W. Fort Street, Detroit, Michigan.
The purpose of the forum is to educate citizens about the challenges and strategies in the Eastern District of Michigan to seat juries that represent the broad spectrum of citizens of the district and the importance of jury service. Because racial and ethnic minorities have been historically under-represented as jurors in trials held in federal court in southeast Michigan, Chief Judge Rosen formed a committee, led by Judge Denise Page Hood and Judge Victoria A. Roberts, to explore new ways to increase minority participation. The committee=s work has been memorialized in a report, which includes recommendations to achieve a more diverse pool of jurors.
"We appreciate the work the court has done on this issue,@ McQuade said. ADiverse representation on juries is important to public confidence in the criminal justice system."
The forum panel will be moderated by Council Member Raquel Castaneda-Lopez, and will feature Chief Judge Rosen and Judge Denise Page Hood, as well as U.S. Attorney McQuade, and Deputy Federal Defender Rafael Villarruel. The session will include a period for questions and answers from the public.
For a copy of the committee=s report, please visit www.mied.uscourts.gov.Hermosa Man Convicted of Filing False Claims to Receive Grant MoneyRead the Press Release
United States Attorney Brendan V. Johnson announced that Scott Thompson, age 49, of Hermosa, South Dakota, was found guilty of two counts of False Claims, two counts of False Document Submitted to a Department or Agency of the United States, two counts of Fraud by Wire, and one count of Receiving Stolen Government Money as a result of a federal jury trial in Rapid City, South Dakota. The verdict was returned on October 30, 2014.
The charge of Fraud by Wire carries a maximum penalty of 20 years in custody and/or a $250,000 fine, 3 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Each charge of False Claims, False Document Submitted to a Department or Agency of the United States, and Receiving Stolen Government Money carry a maximum penalty of 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
The conviction stems from Thompson falsifying information on multiple grant applications between June 2009 and January 2010, in order to obtain $100,000 in award money from the National Science Foundation.
This case was investigated by the National Science Foundation Office of Inspector General. Assistant U.S. Attorneys Sarah Collins and Eric Kelderman prosecuted the case.
A presentence investigation was ordered and a sentencing date was set for February 2, 2015.
Greenville Men Sentenced for Robbery of Family Dollar StoreRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court today, Chief United States District Judge James C. Dever, III sentenced JUSTIN COLLINS MITCHELL, 3O,of Greenville, North Carolina, to 78 months in prison and 3 years of supervised released for aiding and abetting the robbery of a business engaged in interstate commerce. MITCHELL previously pled guilty to this charge on August, 4, 2014. Chief Judge Dever previously sentenced MITCHELL’S codefendants, CHRISTOPHER MICHAEL HARDY, 26,and MELVIN TERRELL TURNER, 24,both of Greenville, North Carolina.
On October 15, 2014, HARDY received a 30 month prison sentence for the robbery charge and an 84 month prison sentence to run consecutively for the charge of using, carrying and brandishing a firearm during and in relation to a crime of violence for total sentence of 114 months. Once HARDY is released from the Bureau of Prisons, he will be supervised for a term of 5 years.
On September 18, 2014, TURNER received a 21 month prison sentence for aiding and abetting the robbery and will be supervised for a period of 3 years upon his release from the Bureau of Prisons.
On February 20, 2013, at 9:55 pm, two masked men, including HARDY, robbed a Family Dollar Store on Memorial Drive in Greenville, N.C. of $2,299.73. HARDY possessed a semi-automatic handgun and pointed it at an assistant manager. HARDY and the second masked man ordered the assistant manager to open the store’s register and safe. The investigation revealed that MITCHELL and HARDY solicited TURNER, an employee of the store, to assist in the robbery. TURNER provided information to MITCHELL and HARDY that they used to plan and execute the robbery. There was insufficient evidence to charge the second masked man.
The investigation of this case was conducted by the Federal Bureau of Investigation and the Greenville Police Department. The federal prosecution was handled by Special Assistant United States Attorney Glenn Perry. Mr. Perry is a prosecutor with the Pitt County District Attorney’s Office. Pitt County District Attorney Kimberly Robb has assigned Mr. Perry to the United States Attorney’s Office to prosecute federal Organized Crime Drug Enforcement Task Force criminal matters. Mr. Perry’s assignment to the United States Attorney’s Office has been made possible by grants funded by the Governor’s Crime Commission.
Fort Thompson Man Sentenced for Domestic Assault by A Habitual OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that a Fort Thompson, South Dakota, man convicted of Domestic Assault by a Habitual Offender was sentenced on November 3, 2014, by U.S. District Judge Roberto A. Lange.
Gary Walking Bull, age 37, was sentenced to 30 months in custody, 2 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Walking Bull was indicted by a federal grand jury on April 22, 2014. He pled guilty on July 14, 2014.
The conviction stems from an incident on March 21, 2014, when Walking Bull and the victim were at Walking Bull’s grandmother’s house in Fort Thompson. While inside the house, Walking Bull assaulted the victim by punching her in the face and body. She was treated at the Chamberlain hospital, where it was determined she had an orbital fracture and three fractures to her nose that would require surgery to repair. At the time of this assault, Walking Bull had two prior convictions for Domestic Abuse in Crow Creek Sioux Tribal Court.
This case was investigated by Bureau of Indian Affairs, Crow Creek Agency. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Walking Bull was immediately turned over to the custody of the U.S. Marshals Service.
- Former Matamoros Mayor Indicted
Former Jefferson Parish Sheriff's Deputy Sentenced to 92 Years in Prison for Civil Rights, Bank Fraud and Aggravated Identity Theft ViolationsRead the Press Release
Former Officer Stole Victim’s Debit Card and Other Items after Responding to Car Accident
Former Jefferson Parish Sheriff’s Deputy Mark Hebert, 49, was sentenced to serve 92 years in prison for a series of offenses Hebert committed while he was a sheriff’s deputy. The sentence was announced by Acting Assistant Attorney General Vanita Gupta for the Civil Rights Division; U.S. Attorney Kenneth A. Polite Jr. for the Eastern District of Louisiana; Special Agent in Charge Michael J. Anderson of the FBI New Orleans Field Office; and Sheriff Newell Normand from the Jefferson Parish Sheriff’s Office.
U.S. District Judge Jane Triche Milazzo issued the sentence today, also ordering Hebert to pay $13,215.22 in restitution between the bank and estate of the victim. Additionally, Judge Milazzo imposed a term of five years of supervised release following the term of imprisonment. During the five year term the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of his supervised release.
According to court documents, Hebert was sentenced for crimes that started with an incident on Aug. 2, 2007, when Hebert, in his capacity as a Jefferson Parish Sheriff’s Deputy, responded to an automobile accident involving Albert Bloch and stole Bloch’s debit card and other items. Thereafter, between Aug. 2 and Nov. 21, 2007, Hebert engaged in a scheme to defraud J.P. Morgan Chase Bank N.A. (Chase Bank) by using Bloch’s debit card to make unauthorized purchases of merchandise, and to withdraw funds from Bloch’s Chase Bank account via ATM. After Bloch filed a dispute with the bank and the bank cancelled the debit card, Hebert continued his scheme to defraud by negotiating and attempting to negotiate forged checks drawn from Bloch’s account. Hebert then obtained a replacement debit card that the bank sent to Bloch’s address, and used that card to make further unauthorized transactions at Chase Bank ATMs.
During the course of the 2007 scheme to defraud, Bloch disappeared and has never been found. After a four-day evidentiary hearing in July 2014, Judge Milazzo found by clear and convincing evidence that Hebert was responsible for the death and disappearance of Bloch. The court announced that it considered this finding in issuing Hebert sentence.
“Former Deputy Hebert used his position as a law enforcement officer to in callous scheme to exploit and defraud the victim,” said Acting Assistant Attorney General Gupta. “The Civil Rights Division, with the help of its federal and local law enforcement partners, will continue to vigorously prosecute cases such as these, where members of law enforcement egregiously violate their oaths in order to deprive individuals of their civil rights.”
“Today’s sentencing is the result of the successful collaboration of local and state law enforcement agencies in our continued fight to eradicate corruption in our community,” said U.S. Attorney Polite. “The U.S. Attorney’s Office and its law enforcement partners are delivering the same message in a unified voice: we will not tolerate abuse of power and official position. If you violate the public trust in Southeast Louisiana, you will be held accountable.”
“Rigorous investigation of such criminal betrayals of oaths of office, as in the Hebert case, will continue to be a top priority for the FBI and its law enforcement partners, and will further cement our already very strong relationship with the Jefferson Parish Sheriff's Office,” said Special Agent in Charge Anderson.
“I am satisfied with today’s sentencing of former Deputy Hebert,” said Jefferson Parish Sheriff Normand. “In as much as I am disappointed in the actions of former Deputy Hebert, I am very pleased that my investigators were instrumental in developing the investigation with the U.S. Attorney’s Office and the FBI. This activity will not be tolerated in my department.”
The investigation of this matter was conducted by the Jefferson Parish Sheriff’s Office Detective’s Bureau and the FBI. The case is being prosecuted by Assistant U.S. Attorney Steve Parker, Assistant U.S. Attorney Tony Sanders, and Civil Rights Division Trial Attorney Shan Patel.
Former College Student Sentenced to One Year in PrisonRead the Press Release
For Unregistered Possession of Ricin
-Toxin Found Last Winter in His Dorm Room-WASHINGTON – Daniel Milzman, 20, was sentenced today to one year and one day in prison on a federal offense stemming from the discovery of a plastic bag of lethal ricin in a dormitory room where he was staying while he was a student at Georgetown University.
The sentencing was announced by U.S. Attorney Ronald C. Machen Jr. and Andrew G. McCabe, Assistant Director in Charge of the FBI’s Washington Field Office.
Milzman, of Bethesda, Md., pled guilty in September 2014 in the U.S. District Court for the District of Columbia to a charge of unregistered possession of a biological agent or toxin. He was sentenced by the Honorable Ketanji Brown Jackson. The plea agreement, which was contingent upon the Court’s approval, called for a prison sentence falling somewhere within the range of a year and a day to two years of incarceration.
Following the prison term, Milzman will be placed on three years of supervised release. Judge Jackson ordered that Milzman complete 400 hours of community service during that time, to be focused on tutoring underprivileged students in math and physics. She also required him to participate in a mental health program.
According to a statement of offense submitted to the Court at the time of the plea, when law enforcement discovered Milzman’s ricin during the early morning of March 18, 2014, he was a student at Georgetown and shared a dormitory room in McCarthy Hall with a roommate.
Prior to law enforcement’s recovery of Milzman’s ricin, on the night of March 17, 2014, Milzman contacted a friend, a student Resident Advisor, and asked whether they could meet; subsequently, the two met in the friend’s dormitory room. When meeting with his friend, Milzman asked if they could have a “confidential” conversation. The Resident Advisor agreed.
During their conversation, Milzman produced a double-wrapped plastic bag containing an off-white powdery substance from his backpack and tossed it on the floor. He told the Resident Advisor that the bag contained ricin, and said that he had made the substance over a period of four days, while on a school break.
The Resident Advisor directly asked Milzman if he intended to use the ricin on another undergraduate student with whom the defendant had a previous personal relationship. Milzman simply shrugged. After Milzman left his friend’s dormitory room, law enforcement officials were notified of the possible presence of ricin in Milzman’s room.
In response to receiving information regarding the possible presence of ricin in Milzman’s dormitory room, on March 18, 2014, at about 2:30 a.m., members of the District of Columbia Department of Fire and Emergency Medical Services and law enforcement officers went to Milzman’s room.
Milzman was taken to a lobby on the first floor of the dormitory, where he voluntarily spoke with law enforcement officers. He admitted that he had made ricin and said that he had placed it in a plastic bag inside his desk. A small plastic bag containing a powdery substance was located in Milzman’s desk drawer, exactly where Milzman had said it would be. When speaking with law enforcement, Milzman claimed that he intended to use the ricin on himself.
During the investigation, law enforcement confirmed that between Feb. 13 and Feb. 19, 2014, Milzman used key words when searching the Internet that are associated with ricin. Law enforcement also confirmed that from Jan. 1, 2014, through March 18, 2014, Milzman watched various episodes of the television show, “Breaking Bad;” in approximately 13 of the episodes, ricin was used as a weapon to injure or kill someone.”
According to calculations discussed in the Textbook of Military Medicine, Medical Aspects of Chemical and Biological Warfare, a publication of the U.S. Army, and in light of the tests performed on the ricin in this case, the ricin toxin produced by Milzman could have been lethal to an average person weighing 220 pounds, if either inhaled or injected.
Milzman has been in custody since his arrest last March. He will receive credit for his time served as part of the sentence.
In announcing the sentence, U.S. Attorney Machen and Assistant Director in Charge McCabe commended the work of those who investigated the case from the FBI’s Washington Field Office. They also expressed appreciation for the assistance that was provided by the Metropolitan Police Department (MPD), the District of Columbia Department of Fire and Emergency Medical Services, the District of Columbia Department of Forensic Sciences; the Georgetown University Police Department; and the U.S. Department of Homeland Security’s National Bioforensic Analysis Center. They acknowledged the work of those who handled the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney David Mudd; Paralegal Specialist Rayneisha Booth; Legal Assistant Donice Adams, and former Summer Law Clerks Ryan Sellinger and Samantha Goldberg-Seder.
Finally, they commended the work of Assistant U.S. Attorneys Maia L. Miller and Frederick W. Yette, of the National Security Section, who prosecuted the matter.
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Forestville Man Pleads Guilty to Impersonating a Federal OfficerRead the Press Release
Attempted to Perform a Traffic Stop and Called Police When the Driver Ran Away
Greenbelt, Maryland – Joseph Lewis, age 53, of Forestville, Maryland pleaded guilty today to impersonating a federal officer.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Chief of Police Robert D. MacLean of the U.S. Park Police; and Special Agent in Charge Darrell Gilliard of the Naval Criminal Investigative Service, Washington Field Office.
According to his plea agreement, on December 19, 2012, Lewis made a 911 call to request help after he had attempted to initiate a traffic stop on Suitland Parkway, and the driver had run away. Lewis identified himself as an off duty Department of Defense (DOD) Police officer to the U.S. Park Police dispatcher. When Park Police officers arrived at the scene, Lewis displayed DOD police credentials and had a police badge hanging on a chain around his neck. Lewis also had a semi-automatic handgun in a holster on his waist and handcuffs. Lewis was operating a brown Chevrolet Suburban with law enforcement registration, which was equipped with flashing red and blue lights on the front, sides and rear of the vehicle.In fact, Lewis was not a DOD police officer and was not authorized to carry police credentials, a police badge or a firearm. The Suburban was Lewis’ personal vehicle. A search warrant executed at Lewis’ home on January 9, 2013, recovered numerous items of police gear, including three handguns, ammunition, handcuffs, mace, batons, stun guns, DOD police officer credentials and law enforcement officer badges and patches.
Lewis faces a maximum sentence of three years in prison. U.S. District Judge Paul W. Grimm has scheduled sentencing for February 13, 2015, at 9:00 a.m.
United States Attorney Rod J. Rosenstein praised the U.S. Park Police and Naval Criminal Investigative Service for their work in the investigation, and thanked Assistant U.S. Attorney Deborah A. Johnston, who is prosecuting the case.Felon Charged with Federal Drug and Gun Law ViolationsRead the Press Release
PITTSBURGH – Romulus Bryant has been indicted by a federal grand jury in Pittsburgh for heroin and marijuana trafficking and manufacturing, as well as for possessing over 200 rounds of ammunition after several felony convictions, United States Attorney David J. Hickton announced today.
The indictment, returned on Oct. 28 and unsealed today, charges Bryant, 34, of Pittsburgh, with possessing heroin and marijuana with intent to distribute, and with manufacturing marijuana, on Jan. 10, 2014. The indictment also charges Bryant with possessing over 200 rounds of ammunition after having been convicted of committing 10 felony drug trafficking crimes in seven separate cases in the Allegheny County Court of Common Pleas.
The law provides for a maximum total sentence of at least 15 years and up to life in prison and a fine of up to $3,250,000. 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.
Assistant United States Attorney Craig W. Haller is prosecuting this case on behalf of the United States.
The Drug Enforcement Administration and the Pittsburgh Bureau of Police conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Federal Prosecutors Charge Former Winston County Deputy with Extorting Manufacture of MethamphetamineRead the Press Release
BIRMINGHAM -- Federal prosecutors today charged a former Winston County sheriff's deputy with using his police authority to extort a woman to cook methamphetamine, and with causing her to manufacture and distribute the drug at the home where she lived with a minor child, announced U.S. Attorney Joyce White Vance and FBI Special Agent in Charge Richard D. Schwein Jr.The U.S. Attorney's Office charged GRADY KEITH CONCORD, 42, of Lynn, with one count of extortion under color of official right, one count of manufacturing methamphetamine and one count of manufacturing and distributing methamphetamine on premises where children are present or reside. Concord has agreed to plead guilty to the charges. Prosecutors filed the three-count information and Concord's plea agreement in U.S. District Court.
According to those documents, Concord was a deputy with the Winston County Sheriff's Office in July 2013 when he approached a woman who lived in the town of Nauvoo and pressured her to manufacture methamphetamine for him. Concord was a methamphetamine user and arranged to supply the woman with pseudoephedrine, a necessary ingredient of the illegal drug, in exchange for a portion of the finished product.
Concord disputes the woman's claim that he threatened her with an arrest warrant unless she agreed to the arrangement, but he concedes that because he was a sheriff's deputy, she may have felt that she "had no choice but to accept his offer," his plea agreement states.
On several occasions between July 2013 through June 2014, Concord delivered pseudoephedrine to the woman's home, where she manufactured the methamphetamine, and where he picked up the illegal drug, according to his plea agreement. Concord obtained decongestant pills containing pseudoephedrine from the sheriff's office evidence room, and he and his wife both bought the pills, the plea agreement states.
Concord knew the woman had two sons who lived with her, and that one of them was a minor, according to the plea agreement.
He faces a maximum penalty of 20 years in prison and a $250,000 fine on the extortion count and a maximum penalty of 20 years in prison and a $1 million fine on the count of manufacturing methamphetamine. Any sentence imposed for the manufacture of methamphetamine where minors reside or are present must be served consecutively to any other sentence imposed. The maximum penalty for that count is 20 years in prison and a $2 million fine.
As part of Concord's plea agreement, he must surrender all law enforcement certifications and not seek future employment in law enforcement or custodial oversight, including as a correctional or probation officer or bail bondsman.
The FBI, State Bureau of Investigation, agents of the Lauderdale County Drug Task Force assigned to the FBI's Safe Streets Task Force, and the Winston/Marion County District Attorney's Office, in cooperation of the Winston County Sheriff's Office and the Lynn Police Department investigated the case. Assistant U.S. Attorney Tamarra Matthews Johnson is prosecuting the case.
Fayetteville Man Who Threatened Wife Sentenced to 84 Months for Possession of A Fiream by A FelonRead the Press Release
RALEIGH – United States Attorney Thomas G. Walker announced that today in federal court, Chief United States District Judge James C. Dever III sentenced GLENN SYLVESTER JACKSON , 29, of Fayetteville to 84 months imprisonment, followed by 3 years of supervised release.
JACKSON was named in a one count Indictment filed on September 17, 2013, charging him with Possession of a Firearm by a Felon. On June 17, 2014, JACKSON pled guilty to the charge.
According to the investigation, on April 12, 2013, deputies with the Cumberland County Sheriff’s Office (CCSO) in Fayetteville, North Carolina, responded to a report of a domestic disturbance in a vehicle. Specifically, JACKSON and his wife were engaged in a verbal argument when JACKSON retrieved a loaded firearm and placed it against his wife’s head before ultimately exiting and punching the vehicle. When approached by CCSO deputies, JACKSON ran from the officers prior to being apprehended. A search of the defendant revealed a loaded firearm. JACKSON is a felon who is prohibited from possessing firearms.
This case was part of the Project Safe Neighborhoods (PSN) initiative which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.
Investigation of this case was conducted by the Cumberland County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). Assistant United States Attorney S. Katherine Burnette prosecuted the case for the government.