Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Friday 8 August 2014
Central Falls Resident on Probation for Robbery Ordered Detained in Federal Custody for Allegedly Trafficking Crack CocaineRead the Press Release
PROVIDENCE, R.I. – A joint investigation by ATF agents and Central Falls Police has resulted in the arrest and detention of a Central Falls resident for allegedly trafficking crack cocaine and the seizure of more than 128 grams of crack cocaine, announced United States Attorney Peter F. Neronha, Daniel J. Kumor, Special Agent in Charge of the Boston Field Divisionof ATF, and Central Falls Police Chief Colonel James J. Mendonca.
Richard Palmisano, 39, was ordered detained by U.S. District Court Magistrate Judge Patricia A. Sullivan on Thursday on charges of possession of 28 grams or more of crack cocaine and possession of 28 grams or more of crack cocaine with the intent to distribute. According to information presented to the court, at the time of his arrest Palmisano was serving a term of probation on sentences imposed previously in Rhode Island state court on convictions of first and second degree robbery.According to an affidavit in support of a criminal complaint filed with the court, an investigation by ATF agents and Central Falls Police into Palmisano’s alleged drug trafficking activities allegedly included five separate purchases of crack cocaine between April 24 and July 18, 2014, from Palmisano of between 7.45 grams and more than 31grams of crack cocaine for between $400 and $1,700.
According to the affidavit, it is alleged that the undercover ATF agent continued to communicate with Palmisano, and on July 22, 2014, the agent received a text message allegedly from Palmisano which stated, “Yo let me know if u need something?” The agent subsequently arranged a purchase of 31 grams of crack cocaine, which was to have occurred yesterday.
According to information presented to the court, ATF agents and Central Falls Police arrested Palmisano on Thursday as he arrived for a scheduled appointment in Pawtucket. A court authorized search of Palmisano’s Central Falls residence on Thursday by ATF agents and Central Falls Police, with the assistance of Rhode Island State Police and Providence Police, resulted in the seizure of the 31 grams of crack cocaine that was to have allegedly been sold to the undercover agent.
The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah
###
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Canal Fulton Man Charged for Drug ConspiracyRead the Press Release
A one-count criminal information was filed charging Brent A. Horvath, 25, of Canal Fulton, Ohio, with conspiracy to distribute and possess with the intent to distribute marijuana, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The information alleges that from in or about the winter of 2011 through February 2014, Horvath and others conspired to distribute and possess with the intent to distribute more than 50 kilograms of marijuana.
If convicted, a defendant’s sentence will be determined by the Court after review of factors unique to this case, including a defendant’s prior criminal record, if any, a 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 investigation preceding the information was conducted by the Drug Enforcement Administration. The case is being prosecuted by Assistant United States Attorney Samuel A. Yannucci.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
CEO of Broker-Dealer Charged in Manhattan Federal Court with Obstructing Regulatory Examination by Producing False Invoices to SEC Exam Team, and with Making False Statements and False Filings Related to Net CapitalRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, Philip R. Bartlett, Inspector in Charge of the United States Postal Inspection Service (“USPIS”), and George Venizelos, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced that CHARLES J. MOORE was arrested this morning and charged with obstructing a regulatory examination and making false statements and false filings. As alleged, MOORE repeatedly caused the broker-dealer firm Crucible Capital Group, Inc. (“Crucible”), which he controlled, to report its net capital above the threshold mandated by Securities and Exchange Commission (“SEC”) regulations, when, in fact, the firm had a net capital deficiency. MOORE is also alleged to have supported these false filings by directing a Crucible employee to falsify invoices received from vendors by removing references to past-due balances, and deliver the falsified invoices to SEC employees conducting a regulatory examination of Crucible. MOORE was arrested this morning at Crucible’s offices at 27 Whitehall Street in Manhattan, and will be presented before U.S. Magistrate Judge Sarah Netburn this afternoon.
Manhattan U.S. Attorney Preet Bharara said: “The SEC is entitled to the truth when it examines the books and records of institutions as it seeks to protect investors and our markets. Broker-dealers, from large institutions to boutique firms, have a duty to make accurate financial reports. As the charges set forth, Charles Moore attempted to blow smoke in the eyes of the SEC, which was also an attempt to deceive his clients, and such charges come with appropriately hefty maximum sentences.”
USPIS Inspector in Charge Philip R. Bartlett said: “The idea that Mr. Moore allegedly concocted a scheme to provide false documentation to a government agency and believe it would go unnoticed is a crime of great arrogance. Postal Inspectors along with their law enforcement partners have no tolerance for anyone who breaks the law.”
FBI Assistant Director-in-Charge George Venizelos said: “As alleged, Moore deliberately tried to hide debts on required SEC reports for almost eight months and then when the SEC was looking into it, he further tried to hide his lies and actions by directing employees to create falsified invoices and use personal email accounts to cover his trail. Lies and cover-ups are not an acceptable way for a chief executive officer to act. The FBI will continue to investigate this type of illegal conduct and prosecute those who violate our laws.”
According to the Complaint unsealed today:
MOORE was at all relevant times the Chief Executive Officer of Crucible, an SEC-registered broker-dealer that maintained no customer securities trading accounts, but held itself out as a “boutique” investment bank helping small businesses to raise capital and financing. Crucible used its status as an SEC-registered broker-dealer to solicit business.
MOORE was also at all relevant times the CEO of an affiliated company, Angelic Holdings LLC (“Angelic”), which was not registered with the SEC and conducted “due diligence” for Crucible-related business. Crucible and Angelic shared employees and office space. They also shared expenses, under an agreement that had Crucible paying Angelic a monthly fee and Angelic paying vendors of certain specified services on behalf of both Angelic and Crucible.
As an SEC-registered broker-dealer that maintained no customer accounts, Crucible was required to maintain net capital of at least $5,000 at all times. It was also required to file monthly “FOCUS” reports with the SEC reporting its net capital. Finally, Crucible was required to preserve and archive its business-related emails for review by the SEC upon request.
From in or about February 2013 through in or about September 2013, MOORE caused Crucible to file false FOCUS reports that failed to account for certain large debts. These debts, although nominally owed by Angelic, were required by SEC regulation and guidance to have been incorporated into Crucible’s net capital computation. Had they been so incorporated, Crucible would have been required to report a net capital deficiency throughout much of 2013.
In the fall of 2013, the SEC opened a regulatory examination of Crucible to explore, among other things, the accuracy of Crucible’s net capital reporting. As part of that examination, the SEC requested all 2013 invoices to Angelic for Crucible-related expenses.
MOORE, responding to this request, caused a Crucible employee to create falsified invoices to deliver to the SEC. Specifically, he directed the employee to take original invoices that had been sent to Crucible personnel, and create versions of those invoices that omitted references to large, unpaid debts appearing on the originals. MOORE then caused the employee to hand the falsified invoices to the SEC.
Finally, throughout 2013, MOORE tried to hide the truth about Crucible’s net capital and its outstanding debts by directing – in flagrant breach of regulatory requirements and his own firm’s compliance policy – that all correspondence with professionals involved in Crucible’s and Angelic’s finances take place not over Crucible’s business email accounts but instead over MOORE’s own and his employees’ personal email accounts. Many of the original invoices that MOORE directed his employee to falsify before furnishing to the SEC in the fall of 2013 had, at MOORE’s instruction, been sent by the vendor to a Gmail account belonging to a Crucible employee.
MOORE, 62, is charged with obstructing a regulatory examination, making false statements, and falsifying and failing to keep required books and records of a broker-dealer. The obstruction and falsifying records counts each carry a maximum sentence of 20 years in prison. The false statement charge carries a maximum sentence of five years in prison.
Mr. Bharara praised the investigative work of the USPIS and the FBI and thanked the SEC, which has filed civil charges in a separate action.
This case is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Sarah E. McCallum and Andrew B. Bauer are in charge of the prosecution.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. v. Charles Moore Complaint
Bridgeport Police Officer Charged with Federal Civil Rights ViolationRead the Press Release
Follow @USAO_CT
Deirdre M, Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury sitting in New Haven has returned an indictment charging Bridgeport Police officer CLIVE HIGGINS with violating an individual’s civil rights by using unreasonable force during the course of an arrest.
The indictment was returned yesterday. HIGGINS, 48, is expected to appear today at 2:30 p.m. before U.S. Magistrate Judge Joan G. Margolis in New Haven.
As alleged in the indictment, HIGGINS has been an officer with the Bridgeport Police Department since 2002. On May 20, 2011, two other Bridgeport Police officers engaged in a pursuit of a van driven by an individual who was suspected of having a firearm. During the vehicle pursuit, HIGGINS heard radio transmissions indicating the pursuing officers were seeking back-up. As the pursuit approached Beardsley Park and the sector HIGGINS was assigned, HIGGINS responded. The vehicle pursuit ended in an open field in Beardsley Park prior to HIGGINS’s arrival. The individual fled from the van and was pursued a short distance by the two officers. One of the officers deployed his department-issued Taser and effectively incapacitated the individual. HIGGINS then arrived at the scene, exited his police cruiser, approached the individual who was lying prone on the ground, and kicked him in the head and neck area.
If convicted, HIGGINS faces a maximum term of imprisonment of 10 years and a fine of up to $250,000.
This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorneys Anastasia E. King and David E. Novick.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Bowie Man Sentenced for Attempting to Obtain over $500,000 in Fraudulent Car Loans from Credit UnionsRead the Press Release
Recruited At Least Nine Others to Submit the Fraudulent Loan Applications
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Duane Akuffo, age 28, of Bowie, Maryland, today to two years in prison for bank fraud, in connection with a scheme to obtain more than $500,000 in fraudulent car loans from credit unions. Judge Blake also entered an order that Akuffo forfeit $357,356.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.
According to his plea agreement, from June 2010 to August 2012, Akuffo presented automobile loan applications to credit unions which falsely represented that the automobile which the applicant was purchasing was a luxury automobile, and contained false information about the applicants’ income and employment. Akuffo also submitted fraudulent pay stubs, “Used Vehicle Buyers Orders,” and verifications of insurance. Akuffo submitted numerous applications in his own name, but he also recruited at least nine others to submit the loan applications. At least 17 loan applications were submitted, seeking a total of $534,276.
Relying on the materially false representations, the credit unions issued loans totaling $357,356 to the applicants. Once these funds were disbursed to the applicant, a portion of the loan proceeds was given to Akuffo and others involved in scheme. The applicant often made several payments on the purported automobile loan in order to make the loan appear legitimate. Eventually, the applicant would default on the loan, causing a loss to the credit union.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein praised the FBI for its work in the investigation and thanked Assistant United States Attorney David I. Sharfstein, who prosecuted the case.
Bel Air Heroin Dealer Sentenced to 12 Years in PrisonRead the Press Release
Planned to Distribute Heroin in Harford County
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Darryl Malloy, age 32, of Bel Air, Maryland today to 12 years in prison, followed by four years of supervised release, for possession with intent to distribute 100 grams or more of heroin. Judge Hollander ordered that Malloy’s federal sentence is to be concurrent to the 20 year sentence, all but eight years suspended, that he is currently serving on unrelated state charges.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; and the members of the Harford County Narcotics Task Force: Harford County Sheriff L. Jesse Bane, Colonel Marcus L. Brown, Superintendent of the Maryland State Police, Chief Henry Trabert of the Aberdeen Police Department, Bel Air Police Chief Leo Matrangola, Chief Teresa Walter of the Havre de Grace Police Department, and Harford County State’s Attorney Joseph I. Cassilly.
According to Malloy’s plea agreement, on November 15, 2013, Malloy purchased more than 100 grams of heroin in Towson, Maryland, and transported it to a motel in Edgewood, Maryland, where Malloy was staying. Malloy admitted that he intended to divide the heroin into smaller quantities and package it for distribution.
United States Attorney Rod J. Rosenstein praised the DEA and Harford County Narcotics Task Force for their work in the investigation and thanked Assistant U.S. Attorneys Leo J. Wise and Brooke Carey, who prosecuted the case.Another Pill-Mill Doctors Sentenced to over A Decade in Federal PrisonRead the Press Release
In total, 10 defendants sentenced and $2 million forfeited relating
to the prosecution of a phony pain clinic in Garden City, GeorgiaSAVANNAH, GA – DR. NAJAM AZMAT, 57, of Waycross, Georgia, was sentenced in the United States District Court on August 6, 2014 to serve 11 years and 1 month in prison. On January 17, 2014, a federal jury found AZMAT guilty of numerous offenses related to his role in a pill mill clinic that operated in Garden City, Georgia in 2011. The offenses of which AZMAT was found guilty included conspiracy to dispense oxycodone and other drugs without legitimate medical purpose, 49 counts of dispensing without legitimate medical purpose, and conspiracy to launder money. United States District Court Judge William T. Moore, Jr. presided over AZMAT’s five-day jury trial and imposed his sentence.
According to evidence presented at the trial, AZMAT worked at East Health Center from February 21 to March 18, 2011. During that time, AZMAT wrote prescriptions for 196 patients, 96% of whom received prescriptions for oxycodone, a powerful and highly addictive pain killer. Nearly two-thirds of the patients seen by AZMAT traveled long distances to receive their prescriptions, often coming from Kentucky, Ohio, and Florida. Patients typically paid $300 to be seen by AZMAT or one of the other doctors who worked at East Health Center following AZMAT’s departure on March 18, 2011. During the trial, patients testified that they were addicted to oxycodone and learned of the clinic through aggressive marketing techniques conducted by the clinic organizers at rival pill-mill clinics in Florida. AZMAT was paid $2,000 per day, typically in cash, at the end of each day he worked.
AZMAT was indicted with five co-defendants, each of whom was recently sentenced to terms of imprisonment by Judge Moore on the dates indicated:
Sean Michael Clark, 34, Boca Raton, Florida (Conspiracy) 40 months on August 1;
Adelaida M. Lizama, 28, Boca Raton, Florida (Conspiracy) 18 months on August 4;
Daniel John Wise, 35, West Palm Beach, Florida (Conspiracy) 42 months on July 30;
Candace A. Carreras, 27, Boca Raton, Florida (Conspiracy) 24 months on August 4;
Shelly Lynn Morford, 32, Fort Lauderdale, Florida (Misprision of Felony) 13 months on July 9.In addition to the defendants named in the indictment, other targets of the investigation previously pleaded guilty to offenses related to the phony pain clinic operation have also been sentenced by Judge Moore:
Adelard LeFrancois III, 44, Boca Raton, Florida (Conspiracy) 54 months on July 30;
Francis J. Barbuscia, 38, Plantation, Florida, (Conspiracy) 42 months on July 30;
Konstantinos Afthinos, 34, Lake Worth, Florida (Misprision of Felony) 15 months on August 1;
Dr. Kenneth Gossett, 53, Rome, Georgia, (Conspiracy) 42 months on August 1.Nuvest LLC, a Florida corporation which financed the startup costs for East Health Center, pleaded guilty to maintaining drug-involved premises. The corporation, which provided the funds used to launch and operate the clinic, admitted that the clinic was opened for the purpose of dispensing oxycodone, hydrocodone, and other drugs without legitimate medical purpose. As part of a plea agreement, the corporation forfeited the sum of $2 million, representing proceeds of unlawful activity laundered by the corporation.
Eight of the other nine defendants, who either organized or worked for the clinic, had never had any medical education, training, or experience aside from having been associated with earlier pill-mill operations in South Florida. The organizers decided to open the clinic in Garden City because of changes in Florida law which restricted non-medical doctors from owning pain clinics. None had any connection to the State of Georgia before opening the clinic.
United States Attorney Edward Tarver said, “The United States Attorney’s Office, in partnership with federal, state, and local investigative agencies, will continue to aggressively prosecute the participants in illegitimate pain clinics. These pill-mills prey upon their so-called ‘patients’ by draining them of time and assets, fueling their drug addictions, and depriving them of legitimate medical treatment. As we have demonstrated through numerous prosecutions in the last 2 years, our intention is to shut down these pill mills, prosecute the participants, and forfeit their illegal proceeds. I trust a strong message of warning has been sent to anyone considering such unlawful ventures in the Southern District of Georgia.”
The investigation of East Health Center resulted from a joint investigation by the Drug Enforcement Administration (DEA), Georgia Bureau of Investigation (GBI), Chatham Savannah Counter Narcotics Team (CNT), the Internal Revenue Service (IRS), and the United States Marshals Service.
Harry S. Sommers, the Special Agent in Charge of the DEA’s Atlanta Field Division stated, “The dispensing of addictive prescription pain medication under the guise of a doctor’s care is not about the good of the community or an individual’s specific health needs; in this case, it was about the greed of a physician who oversaw the operations of this pill mill. DEA and its law enforcement partners will continue to expend their time, energy, and resources in an effort to stem the tide against the growing prescription drug abuse problem.”
“The resolution of the Azmat case is a good example of the positive results that occur when state and federal agencies combine efforts in addressing the illegal distribution of narcotics,” said Scott Whitley, Special Agent in Charge of the GBI Southeastern Regional Drug Enforcement Office. “The abuse of prescription narcotics is a critical issue which the GBI remains committed to addressing in various ways. These include the investigation of rogue medical offices which exist for the sole purpose of the illegal distribution of controlled narcotics.”
Chatham Savannah Counter Narcotics Team Director Dwane E. Ragan noted, “The investigation and prosecution of the East Health Center is a classic example of local, state, and federal agencies working together to dismantle an organization who preyed upon the weakness and addictions of many of our citizens. The successful prosecution of this case eliminated a notorious pill mill from our community.”
“Those individuals who line their pockets with money gained through preying on so-called patients will not go undetected and will be held accountable,” stated Special Agent in Charge, Veronica F. Hyman-Pillot. “The Azmat sentence is a vital element in maintaining public confidence that these individuals and others who commit similar crimes will be held accountable.”
Assistant United States Attorneys Karl Knoche, Greg Gilluly, and Jeffrey Buerstatte prosecuted the case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Activity for August 8, 2014Read the Press Release
Northern Arapaho Man Sentenced For Assault with a Dangerous Weapon with Intent to do Bodily Harm
United States Attorney Christopher A. Crofts announced today that on August 6, 2014, Matthew Lawrence Antelope, a 30-year-old enrolled Northern Arapaho man from Ethete, Wyoming, appeared in Federal District Court in Casper, Wyoming for sentencing before United States District Judge Scott W. Skavdahl on the charge of Assault with a Dangerous Weapon with Intent to do Bodily Harm, in violation of 18 U.S.C. '' 113(a)(3) and 1153. Antelope received 51 months imprisonment, to be followed by three years of supervised release, and was ordered to pay a $100.00 special assessment and restitution in the amount of $1,994.00. The charge stemmed from a stabbing incident which occurred on January 28, 2014, on the Wind River Indian Reservation. The case was investigated by the Federal Bureau of Investigation with substantial assistance from the Bureau of Indian Affairs.
Northern Arapaho Man Sentenced For Assault with a Dangerous Weapon with Intent to do Bodily Harm
United States Attorney Christopher A. Crofts announced today that on August 6, 2014, Dustin James Friday, a 24-year-old enrolled Northern Arapaho man, appeared in Federal District Court in Casper, Wyoming for sentencing before United States District Judge Scott W. Skavdahl on the charge of Assault with a Dangerous Weapon with Intent to do Bodily Harm, in violation of 18 U.S.C. '' 113(a)(3) and 1153. Friday received 15 months imprisonment, to be followed by two years of supervised release, and was ordered to pay a $100.00 special assessment. The charge stemmed from a strangulation assault which occurred on January 14, 2014, on the Wind River Indian Reservation. The case was investigated by the Federal Bureau of Investigation with substantial assistance from the Bureau of Indian Affairs.
ATF Arrests Seven Talladega County Residents on Gun or Drug Charges Nine Talladega County Residents Indicted for Drugs or Guns in JulyRead the Press Release
BIRMINGHAM -- Federal agents today arrested seven people in Talladega County on drug and gun charges, announced U.S. Attorney Joyce White Vance and Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Jeffrey L. Fulton.
The seven arrested today are among nine defendants from the east-central Alabama county charged with firearms or drug distribution offenses in eight separate July indictments. The two men who were already in custody are CHANCY BERRY TEMPLE, 28, of Talladega, and CHRISTOPHER MURRAY, 30, of Childersburg. Both are charged as convicted felons in possession of a firearm.
The seven arrested today and their charges are:
• MAREAO CITRON SEARS, 24, of Sylacauga, conspiracy to distribute narcotics.
• JERMAINE MORRIS, 41, of Sylacauga, conspiracy to distribute narcotics and convicted felon in possession of a firearm.
• TERRELL ALPHONSO MCELRATH, 29, of Sylacauga, felon in possession of a firearm.
• JULIAN ARTHUR HARRIS, 25, of Talladega, felon in possession of a firearm.
• JUSTIN KIRKLAND, 24, Sylacauga, possession with intent to distribute crack cocaine, and carrying a firearm during a drug-trafficking offense.
• TRAVIS LEVERT CHATMAN, 35, of Talladega, felon in possession of a firearm.
• MELTRONE SHUNTANG SEARS, 31, of Sylacauga, distribution of narcotics.
Morris and Mareao Sears are charged in the same indictment with conspiracy to distribute crack cocaine in Talladega County.
The maximum penalty for conspiracy to distribute narcotics is 20 years in prison and a $5 million fine. The maximum penalty for being a convicted felon in possession of a firearm is 10 years in prison and a $250,000 fine.
The maximum penalty for possession with intent to distribute crack cocaine is 20 years in prison and a $1 million fine. Carrying a firearm in relation to a drug-trafficking offense carries a sentence of at least five years in prison, consecutive to any other sentence imposed for the crime, and a possible $250,000 fine.
Illegal distribution of narcotics carries a maximum penalty of 20 years in prison and $1 million fine.
ATF, the Drug Enforcement Administration and the Talladega County Drug Task Force investigated the cases, which the U.S. Attorney's Office for the Northern District of Alabama is prosecuting.
The public is reminded that an indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.32 WIC Participants Convicted for Selling Their WIC Vouchers for CashRead the Press Release
SAVANNAH, GA – 32 participants in the Georgia Women, Infant, and Children (“WIC”) Program pled guilty and were sentenced this week before United States Magistrate Judge James E. Graham for their roles in selling their WIC vouchers and the vouchers of their minor children for cash.
According to evidence presented during the guilty plea and sentencing hearings held earlier this week in Statesboro, Georgia, the WIC program is a federally funded program that provides healthy foods for low-income pregnant and postpartum women, and to infants and children up to age 5. Participants of the program receive food vouchers from local health clinics. These vouchers are designed to provide nutritious food to help the mothers and children who are deemed nutritionally at risk. In this case, the defendants sold their WIC vouchers and those of their minor children for cash to individuals working for Super Kids Variety, a phony grocery store formerly located on Victory Drive in Savannah. Workers for Super Kids Variety would pay pennies on the dollar for WIC vouchers; the vouchers would then be submitted to the U. S. Department of Agriculture for the full amount as if the healthy foods had been provided to the WIC participants. From July 2011 through December 2012, Super Kids Variety redeemed $2.6 million in WIC vouchers. During that same time period, the 4 WIC-eligible Wal-Marts located in the Savannah area redeemed only $1.4 million.
The 32 WIC participants were indicted in June of this year, following a 2-year investigation. Also in June, 54 defendants, including those who worked for Super Kids Variety, were indicted for allegedly opening numerous phony grocery stores across Georgia and defrauding the WIC and Food Stamp programs of over $19 million. This case is still pending.
United States Attorney Edward Tarver said, “Federal food programs are paid for by federal taxpayers and are designed to help those in need. These defendants chose to help themselves and to literally take food from the mouths of children. Buyers and sellers of WIC vouchers and food stamps beware; you will face federal criminal charges and pay the price for your crimes.”
Georgia Department of Public Health Commissioner Brenda Fitzgerald, M.D. stated, “The Georgia Department of Public Health (DPH) supports this U. S. Attorney’s ongoing work to eliminate WIC fraud wherever it happens. The progress prosecutors are making is a clear indication that, together, our partnership is working for Georgia. The convictions handed down should serve as a clear warning to anyone looking to defraud Georgia’s WIC program that fraud doesn’t pay. Criminals will be caught and prosecuted.”
Sentences for the 32 convicted WIC participants, all residents of Savannah, ranged from probation, to house arrest, to prison. All of the defendants were ordered to perform community service and to pay the full amount of restitution for the WIC vouchers they unlawfully sold. These 32 defendants alone were responsible for unlawfully selling over $100,000 in WIC vouchers. The convicted WIC participants included:
Chiquita Armstead, 40
Yontalay Bennett, 28
Precious Bevins, 24
Shanika Blige, 23
Deanna Boles, 23
Candace Bostick, 23
Danitra Bostick, 26
Tia Bowers, 25
Tonya Clark, 41
Jocelyn Easterling, 49
Deonka Ellison, 24
Ebony Ellison, 27
Joanne Ferguson, 43
Tameshia Jackson, 24
Koneisha Jenkins, 26
Latisha Jones, 30
Jameise’ Mayberry, 23
Quinta Meggett-Mike, 37
Ebony Roberson, 26
Shakiela Roberts, 28
Jasmine Sammuel, 24
Deanna Scott, 25
Whitney Stokes, 25
Regina Styles, 22
Hope Taylor, 33
Ebonilaestei Tremble, 34
Linda Walker, 22
Tiera Walthour, 23
Alexis Washington, 26
Rhonda Washington, 32
Amber Wilson, 23
Ke’airra Young, 24The cases were investigated by the United States Department of Agriculture, Office of Inspector General, the Georgia Department of Public Health, Office of Inspector General, the FBI, and other law enforcement agencies. Assistant United States Attorney E. Gregory Gilluly and First Assistant United States Attorney James D. Durham prosecuted the cases on behalf of the United States.
Thursday 7 August 2014
Wyatt Detention Facility Detainee Sentenced to 2 Years in Prison for Possession of Makeshift WeaponRead the Press Release
PROVIDENCE, R.I. – Ernesto Monell, 36, formerly of Taunton, Mass., was sentenced on Wednesday to 24 months in federal prison, having been convicted by a federal court jury in Providence on May 20, 2014, of being in possession of contraband - a makeshift weapon, while incarcerated at the Donald W. Wyatt Detention Facility in Central Falls, R.I., announced United States Attorney Peter F. Neronha and United States Marshal Jamie A. Hainsworth.
The sentence was imposed by United States District Court Chief Judge William E. Smith.
According to the government’s evidence presented to the jury, on August 16, 2013, correctional officers at the Wyatt Detention Facility observed a disturbance involving numerous detainees. Monell was observed attacking two or more detainees using a homemade weapon/shank. The disturbance, which was recorded on the facility’s video surveillance system, shows Monell holding an object in his hand and swinging his arm in a stabbing type motion.
According to the government’s evidence, the correctional staff brought the situation under control by using chemical spray, and noted that Monell suffered injuries to his hand consistent with holding a makeshift type weapon. A search was undertaken and a makeshift weapon/shank was recovered from a second tier waste can. A correctional officer who first observed the disturbance break out identified the item as the weapon Monell was using to carry out his assaults.
Detainees who were seen on the video being struck by Monell were examined and found to have puncture and scratch like injuries consistent with having been inflicted by the shank.
Four days after being convicted in U.S. District Court in Providence for being in possession of contraband - a makeshift weapon, Monell was sentenced in U.S. District Court in Boston to 262 months in prison for being a felon in possession of a firearm and possession of cocaine base with the intent to distribute. In that case, Monell was arrested by Fall River Police on February 16, 2012, after a court authorized search of his residence resulted in the seizure of, among other things, a loaded firearm, a shotgun and a substantial amount of crack cocaine. When police arrived at Monell’s residence to execute a court authorized search warrant they found Monell’s apartment door barricaded. Police forced their way in and came upon Monell, who was holding a loaded pistol. He was apprehended without further incident.
The case in federal court in Providence was prosecuted by Assistant U.S. Attorney William J. Ferland.
The matter was investigated by the Wyatt Detention Center Investigative Unit, with the assistance of the United States Marshals Service.
###
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Wounded Knee Man Sentenced for LarcenyRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wounded Knee, South Dakota, man convicted of Larceny was sentenced on July 30, 2014, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Eugene Hunts Horses, Jr., a/k/a Eugene Hunts Horse, age 43, was sentenced to 1 year of probation, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund and restitution in the amount of $2,200.
Hunts Horses was indicted for Larceny by a federal grand jury on February 19, 2014. He pled guilty on March 28, 2014.
The conviction stemmed from Hunts Horses and another man shooting a pregnant cow and killing it on February 9, 2013, near Manderson.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Webb City Man Pleads Guilty to Failed Attempt to Receive Tornado BenefitsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Webb City, Mo., man pleaded guilty in federal court today to making false statements to the Federal Emergency Management Agency (FEMA) in a failed attempt to fraudulently receive federal disaster benefits following the tornado that struck the city of Joplin, Mo., on May 22, 2011, killing 158 people and causing more than $2.9 billion in damage.
Russell Lamar Green, 35, of Webb City, pleaded guilty before U.S. Magistrate Judge David P. Rush to one count of making false statements to FEMA.
By pleading guilty today, Green admitted that he claimed on a July 5, 2011, FEMA application for disaster assistance that his primary residence in Joplin had been damaged by the tornado. When he met with a FEMA-contracted inspector to discuss his claim, Green also claimed that he lost a television, radio, portable space heater, microwave, humidifier, electric fan and clothing as a result of the tornado.
However, Green admitted today that he was not living at the apartment at the time of the tornado. Green’s girlfriend had rented the apartment prior to the Joplin tornado, but she moved out before the tornado struck. There was no financial loss to FEMA, because Green’s fraud was detected before the false claim was paid.
Under federal statutes, Green is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Steven M. Mohlhenrich. It was investigated by the U.S. Department of Homeland Security – Office of Inspector General, the FBI and the Joplin, Mo., Police Department.
Disaster Fraud Hotline
Anyone with information about disaster fraud related to the Joplin tornado should call the National Center for Disaster Fraud hotline at 866-720-5721, the Joplin Police Department at 417-623-3131, or the FBI’s Joplin office at 417-206-5700.
Waterbury Man Charged with Illegal Gun PossessionRead the Press Release
Follow @USAO_CT
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that a federal grand jury sitting in New Haven returned an indictment today charging CHRISTOPHER BYAN COLEMAN, 25, of Waterbury, with possession of a firearm by a convicted felon.
As alleged in the complaint that was previously filed in this case, on April 22, 2014, officers from the Waterbury Police Department responded to a complaint of a disturbance at 1298 N. Main Street in Waterbury. There, the complainant told police that her car had broken down and, while she was awaiting assistance, a male had attempted to gain entry to her vehicle. As one of the officers drove up to the male, who was later identified as COLEMAN, the officer observed COLEMAN remove a firearm from his waist area and throw it over a chain link fence. Officers then recovered an RG14 .22 caliber revolver with an obliterated serial number, loaded with six rounds, three of which were live and three of which were expended.
Prior to that date, it is alleged that COLEMAN had sustained felony convictions. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
If convicted, COLEMAN faces a maximum term of imprisonment of 10 years and a fine of up to $250,000 in fines. He has been detained since his arrest on April 22.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Waterbury Police Department. This case is being prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Washington Men Convicted of Meth OffensesRead the Press Release
The United States Attorney's Office announced that on August 6, 2014, a federal jury found Hector Magallon-Lopez, a 25-year-old resident of Toppenish Valley, Washington, and Cristobal Sanchez-Chavez, a 36-year-old resident of Union Gap, Washington, guilty of conspiracy to possess with intent to distribute methamphetamine. Magallon-Lopez was found guilty of an additional count of possession with intent to distribute methamphetamine. Both defendants are being detained pending their sentencing, which has not yet been set by the court.
During the trial, the Government, represented by Assistant United States Attorneys Brendan McCarthy and Tara Elliot, presented evidence that on September 26 and 27, 2012, members of the St. Louis Drug Enforcement Agency (DEA) contacted members of DEA Billings regarding the drug trafficking activities of an organization out of Washington which was trafficking methamphetamine to St. Louis, Missouri. The St. Louis DEA intercepted several phone calls indicating that a Juan Sanchez-Hernandez and a Hector Magallon-Lopez were going to be transporting a large amount of methamphetamine from Washington to Minnesota.
On September 28, 2012, members of the Billings DEA and the Missouri River Drug Task Force (MRDTF) conducted surveillance near Three Forks and identified a vehicle occupied by two Hispanic males. A Montana Highway Patrolman initiated a traffic stop on the vehicle, which was registered to Magallon-Lopez at an address in Toppenish, Washington. The vehicle matched a description of a vehicle that was described on the wire. A wire allows law enforcement, with court approval, to intercept to telephone communications. The location of the vehicle was tracked by pinging the cell phone number from the wire.
During the stop, the Patrolman spoke with Magallon-Lopez, who stated that he was travelling from Washington to Minnesota to find work at a restaurant. Agents then requested a drug sniffing canine to inspect the vehicle. The first canine identified the odor of narcotics, and the car was brought to the Sweet Grass Sheriff's Office to conduct a search. However, agents learned that the canine's certification had lapsed. Therefore, agents requested a second canine to conduct a search. The second canine also indicated to the presence of narcotics in the vehicle.
Agents then applied for and were granted a search warrant to search the vehicle. During the search, agents recovered bags of methamphetamine hidden under the trunk area of the vehicle. The methamphetamine was later sent to the DEA Laboratory and the report indicates that there was approximately 975 grams of pure methamphetamine.
The case was investigated by the Drug Enforcement Administration.
Washington County Couple Sentenced to Federal Prison for Two YearsRead the Press Release
United States Attorney James L. Santelle of the Eastern Distirct of Wisconsin announced that Michael Stolp (age; 44) and Judith Stolp (age: 44) both of West Bend were sentenced to two years in federal prison by District Court Judge Charles N. Clevert for their roles in a conspiracy to illegally distribute Oxycodone.
The investigation revealed that Michael Stolp and Judith Stolp illegally sold up to 400 - 500 pills of Oxycodone a month to an individual, for a profit, and the pills would then be resold to others. The Oxycodone pills were obtained as a result of their illegal misuse of a valid prescription Michael Stolp had received for Oxycodone due to a back injury. Oxycodone is a Schedule II controlled substance.
The investigation was conducted by Drug Enforcement Administration and the Washington County Drug Enforcement Group. The case was prosecuted by Assistant United States Attorney Karine Moreno-Taxman.
Washington County Couple Sentenced to Federal Prison for Two YearsRead the Press Release
United States Attorney James L. Santelle of the Eastern Distirct of Wisconsin announced that Michael Stolp (age; 44) and Judith Stolp (age: 44) both of West Bend were sentenced to two years in federal prison by District Court Judge Charles N. Clevert for their roles in a conspiracy to illegally distribute Oxycodone.
The investigation revealed that Michael Stolp and Judith Stolp illegally sold up to 400 - 500 pills of Oxycodone a month to an individual, for a profit, and the pills would then be resold to others. The Oxycodone pills were obtained as a result of their illegal misuse of a valid prescription Michael Stolp had received for Oxycodone due to a back injury. Oxycodone is a Schedule II controlled substance.
The investigation was conducted by Drug Enforcement Administration and the Washington County Drug Enforcement Group. The case was prosecuted by Assistant United States Attorney Karine Moreno-Taxman.
Wagner Woman Sentenced to 151 Months for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wagner, South Dakota, woman convicted of Conspiracy to Distribute Methamphetamine was sentenced on July 28, 2014, by U.S. District Judge Karen E. Schreier.
Brandy Angela Waetermans, age 31, was sentenced to 151 months in custody, three years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Waetermans was indicted for Conspiracy to Distribute Methamphetamine by a federal grand jury on December 3, 2013. She pled guilty to the offense on April 29, 2014.
In 2013, Waetermans was involved in a conspiracy to distribute methamphetamine on the Yankton Sioux Reservation. Waetermans sold methamphetamine to a confidential source, and after her arrest admitted to playing a significant role in the conspiracy.
This case was investigated by the Federal Bureau of Investigation, South Dakota Division of Criminal Investigation, Bureau of Indian Affairs, and the Charles Mix County Sheriff’s Office. Special Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
Waetermans was remanded to the custody of the U.S. Marshals Service.
Virginia Resident Pleads Guilty to Failing to Pay Employment TaxesRead the Press Release
Nureni Abayomi Baruwa, a resident of Alexandria, Virginia, pleaded guilty to employment tax fraud today, the Justice Department and Internal Revenue Service (IRS) announced.
According to the plea agreement and statement of facts, Baruwa operated a car detailing business called NAB International Group of Companies Inc. This business was incorporated by Baruwa in 1993 in the commonwealth of Virginia and he served as the president. Baruwa was in charge of withholding employment taxes from his employees’ wages, paying over the withheld amount to the IRS and reporting these amounts to the IRS by filing quarterly employment tax returns.
According to court documents, in all but three quarters, beginning with the first quarter of 2003 through the last quarter of 2010, Baruwa failed to timely collect, account for and pay the IRS the taxes withheld from his employees’ paychecks, as well as the employer’s portion of the employment taxes. Furthermore, in all but five quarters during the same period, Baruwa failed to file NAB’s quarterly employment tax returns with the IRS in a timely manner. Additionally, since at least 2006, Baruwa has failed to file an individual income tax return in a timely manner, despite the fact that he was legally required to do so annually. According to court documents, the tax loss is between $200,000 and $400,000, which will be determined by the court at Baruwa’s Oct. 24 sentencing.
This case was investigated by special agents of IRS-Criminal Investigation and is being prosecuted by Assistant Chief Caryn Finley of the department’s Tax Division and Assistant U.S. Attorney Uzo Asonye for the Eastern District of Virginia.
Additional information about the Tax Division and its enforcement efforts may be found on the division website .
Virginia Resident Pleads Guilty to Failing to Pay Employment TaxesRead the Press Release
WASHINGTON – Nureni Abayomi Baruwa, a resident of Alexandria, Virginia, pleaded guilty to employment tax fraud today, the Justice Department and Internal Revenue Service (IRS) announced.
According to the plea agreement and statement of facts, Baruwa operated a car detailing business called NAB International Group of Companies Inc. This business was incorporated by Baruwa in 1993 in the commonwealth of Virginia and he served as the president. Baruwa was in charge of withholding employment taxes from his employees’ wages, paying over the withheld amount to the IRS and reporting these amounts to the IRS by filing quarterly employment tax returns.
According to court documents, in all but three quarters, beginning with the first quarter of 2003 through the last quarter of 2010, Baruwa failed to timely collect, account for and pay the IRS the taxes withheld from his employees’ paychecks, as well as the employer’s portion of the employment taxes. Furthermore, in all but five quarters during the same period, Baruwa failed to file NAB’s quarterly employment tax returns with the IRS in a timely manner. Additionally, since at least 2006, Baruwa has failed to file an individual income tax return in a timely manner, despite the fact that he was legally required to do so annually. According to court documents, the tax loss is between $200,000 and $400,000, which will be determined by the court at Baruwa’s Oct. 24 sentencing.
This case was investigated by special agents of IRS-Criminal Investigation and is being prosecuted by Assistant Chief Caryn Finley of the department’s Tax Division and Assistant U.S. Attorney Uzo Asonye for the Eastern District of Virginia.
Additional information about the Tax Division and its enforcement efforts may be found on the division website.
Vallejo Man Indicted on Firearms ChargesRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned an indictment today, charging Tiandre Cook, 24, of Vallejo, with being a felon in possession of a firearm, United States Attorney Benjamin B. Wagner announced.
According to court documents, Cook was arrested on July 12, 2014, and was found to be in possession of a Glock .357-caliber pistol, which had a round chambered and a 22 round high capacity magazine inserted. Cook is a previously convicted felon. He has been in custody since his arrest. His is scheduled to be arraigned on August 15, 2014 before Magistrate Judge Edmund F. Brennan.
This case is the product of an investigation by the FBI and the Vallejo Police Department. Assistant United States Attorney Olusere Olowoyeye is prosecuting the cases.
If convicted, Cook faces a maximum statutory sentence of 10 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Vagos Outlaw Motorcycle Gang Investigation Leads to Four Drug Trafficking IndictmentsRead the Press Release
SACRAMENTO, Calif. — Members and associates of the Vagos Outlaw Motorcycle Gang have been indicted today for drug trafficking offenses in an ongoing FBI probe, United States Attorney Benjamin B. Wagner announced.
The first indictment charges James Cline, 43, of Rio Linda; Leonard Walter, 37, of Sacramento; Michael Wright, 45, of Sacramento, with conspiracy to distribute and possess with intent to distribute methamphetamine and distribution of methamphetamine.
Three separate indictments charge Sacramento residents Richard Cardenas, 49; Quentin Stallings, 35; and David Homan, 50, with distribution of methamphetamine.
According to court documents, this investigation targeted three Sacramento-area chapters of the Vagos Outlaw Motorcycle Gang (OMG). The Vagos are a motorcycle club that began in the late 1960s in California that has since evolved into one of the largest OMGs in the Western United States. They have nearly 600 members in 24 chapters located in Arizona, California, Hawaii, Nevada, Oregon, and Utah. They also have chapters in Mexico. The gang uses an organized hierarchy that includes a national president, vice president, sergeant at arms, secretary, and treasurer. The regional chapters also have the same structure in place as the national chapter. The chapters report to the national leadership and have mandated meetings and events and monthly dues.
This investigation confirmed that the Sacramento-area Vagos are involved in illegal activities. Such activities include distributing methamphetamine, purchasing illegal weapons, and handling stolen motorcycles. During this investigation, FBI used confidential sources and undercover agents to make multiple purchases of methamphetamine from Vagos members and their associates in the Sacramento area. The FBI investigation is ongoing even after this initial phase of charges.
This case was the product of an investigation by the FBI, California Department of Corrections and Rehabilitation, the West Sacramento Police Department, Placer County Sheriff’s Office, and the Sacramento Police Department. Assistant United States Attorney Jason Hitt is prosecuting the case.
Defendants Cline, Walter, Wright, and Cardenas were each ordered detained during earlier court hearings. Defendants Stallings and Homan are considered fugitives.
If convicted, Cline, Walter, and Wright face a mandatory minimum of 10 years in prison and a maximum statutory penalty of life in prison and a $10 million fine. If convicted, Cardenas, Stallings, and Homan each face a mandatory minimum of five years in prison and a maximum of 40 years in prison with a fine of up to $5 million. 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; each defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
U.S. Postal Service Supervisor, Brother, Admit Trafficking CocaineRead the Press Release
Follow @USAO_CT
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that EDWARD HOGAN, 38, and his brother, JUSTIN HOGAN, 34, both of Waterbury, pleaded guilty today to federal narcotics trafficking and mail theft charges.
This matter stems from a federal investigation into the use of the mails to transport narcotics from Puerto Rico to the greater Waterbury area.
According to court documents and statements made in court, EDWARD HOGAN was employed by the U.S. Postal Service as a supervisor of customer service assigned to the Plaza Station Post Office in Waterbury. Beginning in approximately January 2012, HOGAN used his position with the U.S. Postal Service to remove parcels containing cocaine and marijuana from the mail stream. EDWARD and JUSTIN HOGAN then distributed the drugs to third parties for profit.
On November 9, 2013, law enforcement surveilled EDWARD HOGAN as he intercepted a package containing approximately two kilograms of cocaine that was delivered to the Waterbury Main Post Office on Grand Street. He then transported the parcel to his residence. JUSTIN HOGAN arrived at the residence a short time later and opened the package in EDWARD HOGAN’s presence.
EDWARD HOGAN pleaded guilty before Senior U.S. District Judge Ellen Bree Burns in New Haven to one count of conspiracy to possess with intent to distribute 500 grams or more of cocaine, and one count of embezzlement of mail by a U.S. Postal Employee. JUSTIN HOGAN pleaded guilty before U.S. District Judge Vanessa L. Bryant in Hartford to one count of conspiracy to possess with intent to distribute 500 grams or more of cocaine, and one count of receipt of stolen mail matter. The defendants face a maximum term of imprisonment of 25 years when they are sentenced.
EDWARD HOGAN has also agreed to forfeit $22,364 in cash that was seized at the time of his arrest.
This case is being investigated by the Federal Bureau of Investigation, the U.S. Postal Inspection Service and the U.S. Postal Service – Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Christopher M. Mattei.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]U.S. Forfeits over $480 Million Stolen by Former Nigerian Dictator in Largest Forfeiture Ever Obtained Through a Kleptocracy ActionRead the Press Release
The Department of Justice has forfeited more than $480 million in corruption proceeds hidden in bank accounts around the world by former Nigerian dictator Sani Abacha and his co-conspirators.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and Assistant Director in Charge Valerie Parlave of the FBI’s Washington Field Office made the announcement after a judgment was entered on Aug. 6, 2014, by U.S. District Judge John D. Bates of the District of Columbia.
“Rather than serve his county, General Abacha used his public office in Nigeria to loot millions of dollars, engaging in brazen acts of kleptocracy,” said Assistant Attorney General Caldwell. “With this judgment, we have forfeited $480 million in corruption proceeds that can be used for the benefit of the Nigerian people. Through the Kleptocracy Asset Recovery Initiative, the Department of Justice’s Criminal Division denies kleptocrats like Abacha the fruits of their crimes, and protects the U.S. financial system from money laundering. In coordination with our partners in Jersey, France and the United Kingdom, we are helping to end this chapter of corruption and flagrant abuse of office.”
“We remain steadfast in protecting the U.S. banking system from becoming a tool for dictators to hide their criminal proceeds,” said Assistant Director in Charge Parlave. “This court order bolsters the FBI’s ability to combat international corruption and money laundering by seizing the assets of those involved. I want to thank the special agents, financial analysts and prosecutors whose hard work over the years resulted in today’s announcement.”
The forfeited assets represent the proceeds of corruption during and after the military regime of General Abacha, who assumed the office of the president of the Federal Republic of Nigeria through a military coup on Nov. 17, 1993, and held that position until his death on June 8, 1998. The complaint alleges that General Abacha, his son Mohammed Sani Abacha, their associate Abubakar Atiku Bagudu and others embezzled, misappropriated and extorted billions of dollars from the government of Nigeria and others, then laundered their criminal proceeds through U.S. financial institutions and the purchase of bonds backed by the United States.
The judgment is the result of a civil forfeiture complaint the department filed in November 2013 against more than $625 million in the largest kleptocracy forfeiture action brought in the department’s history. The forfeiture judgment includes approximately $303 million in two bank accounts in the Bailiwick of Jersey, $144 million in two bank accounts in France, and three bank accounts in the United Kingdom and Ireland with an expected value of at least $27 million. The ultimate disposition of the funds will follow the execution of the judgment in each of these jurisdictions. Claims to an additional approximately $148 million in four investment portfolios in the United Kingdom are pending.
As alleged in the complaint, General Abacha and others systematically embezzled billions of dollars in public funds from the Central Bank of Nigeria on the false pretense that the funds were necessary for national security. The conspirators withdrew the funds in cash and then moved the money overseas through U.S. financial institutions. General Abacha and his finance minister also allegedly caused the government of Nigeria to purchase Nigerian government bonds at vastly inflated prices from a company controlled by Bagudu and Mohammed Abacha, generating an illegal windfall of more than $282 million. In addition, General Abacha and his associates allegedly extorted more than $11 million from a French company and its Nigerian affiliate in connection with payments on government contracts. Funds involved in each of these schemes were allegedly laundered through the United States.
This case was brought under the Kleptocracy Asset Recovery Initiative by a team of dedicated prosecutors in the Criminal Division’s Asset Forfeiture and Money Laundering Section, working in partnership with federal law enforcement agencies to forfeit the proceeds of foreign official corruption and, where appropriate, to use those recovered assets to benefit the people harmed by these acts of corruption and abuse of office. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States should contact federal law enforcement or send an email to [email protected].
The investigation was conducted by the FBI. The case is being prosecuted by Trial Attorney Elizabeth Aloi and Assistant Deputy Chief Daniel Claman of the Criminal Division’s Asset Forfeiture and Money Laundering Section, with substantial support from the Criminal Division’s Office of International Affairs. The department appreciates the extensive assistance provided by the governments of Jersey, France and the United Kingdom in this investigation.
U.S. Department of Transportation and Ferndale Construction Firm Settle Dispute of False Claims over Minority Owned SubcontractorRead the Press Release
IMCO General Construction (IMCO), a heavy construction company located in Ferndale, Washington, settled claims this week with the U.S. Department of Transportation (USDOT) that it submitted false claims related to its Disadvantaged Business Enterprise (DBE) program. IMCO denies any wrongdoing in connection with the $200,000 settlement.
According to the settlement document, the government alleged that while working on the federally-funded Horton Road Project, widening a stretch of Washington State Highway 539 north of Bellingham, IMCO falsely claimed that a DBE completed certain work, when, in fact, the work was done by a non-DBE. IMCO claimed the work was completed by Aleut, a federally certified DBE company. In fact the work was completed by BBK Trucking, a company that is not certified as a DBE.
“Disadvantaged Business Enterprise (DBE) fraud harms the integrity of the DBE program and law-abiding contractors by defeating efforts to ensure a level playing field in which all firms can compete fairly for contracts,” said William Swallow, regional Special Agent-in-Charge of the U.S. Department of Transportation (DOT) Office of Inspector General. “Our agents will continue to work with the Secretary of Transportation and other Federal, State, and local law enforcement and prosecutorial colleagues to expose and shut down DBE fraud schemes that adversely affect public trust and DOT-assisted highway programs.”
In 1980, the USDOT issued regulations in connection with a program to increase the participation of minority and disadvantaged business enterprises (“DBEs”) in federally funded public construction contracts (the “DBE Program”). Pursuant to those regulations, recipients of United States Department of Transportation (“USDOT”) construction grants are required to establish a DBE program that, among other things, (1) establishes goals for the percentage of a construction project’s work that should be awarded to DBEs (“DBE goals”); and (2) requires general contractors on construction projects to make good faith efforts to meet the relevant DBE goals.
The case was investigated by the Department of Transportation Office of Inspector General. The case was prosecuted by Assistant United States Attorney Kayla C. Stahman
U.S. Attorney Luger: St. Paul Man Sentenced for Producing Child PornographyRead the Press Release
United States Attorney Andrew M. Luger announced the sentencing last week of DOUGLAS LUKE ROBINETTE, 27, to 360 months in federal prison. ROBINETTE was indicted on April 9, 2013, and pleaded guilty to one count of Production of Child Pornography on November 8, 2013. He was sentenced on July 28, 2014, by United States District Court Chief Judge Michael J. Davis.
“Distributing child pornography re-victimizes the children in these cases,” said Assistant U.S. Attorney Lola Velazquez-Aguilu. “The defendant in this case sexually assaulted a young boy, digitally recorded the assaults, and emailed the images, virtually guaranteeing that they will forever exist in cyberspace. We hope that this sentence sends a strong message to others who trade in images of sexual violence against children.”
According to documents filed in court, ROBINETTE was convicted on November 11, 2010, of First Degree Criminal Sexual Conduct in Kanabec County, Minnesota. He was sentenced to a 144-month state prison sentence. After ROBINETTE’S conviction in Kanabec County, the United States Attorney’s Office investigated and prosecuted the defendant for the production of child pornography.
According to his guilty plea in federal court, ROBINETTE induced a developmentally delayed boy to engage in sexually explicit conduct, which the defendant recorded on his cell phone. ROBINETTE further admitted to engaging in sexual contact with the boy on several occasions, and producing and distributing images of the sexual contact.
The case was brought as part of Project Safe Childhood (“PSC”), 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 U.S. Attorney offices and the Justice Department’s Criminal Division, Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children and identify and rescue victims. For more information about PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab “resources.”
This case was prosecuted by Assistant U.S. Attorney Lola Velazquez-Aguilu.
U.S. Attorney Luger thanked the Kanabec County Sheriff’s Office, the Minnesota Bureau of Criminal Apprehension, and the Minnesota Child Exploitation Task Force, which is sponsored by the Federal Bureau of Investigation.
Defendant Information:
DOUGLAS LUKE ROBINETTE, D.O.B. 5/5/1986
St. Paul, MN
Convicted:
• Production of Child Pornography, Felony
Sentenced:
• 360 Months in Custody of the Bureau of Prisons
• Supervised Release for a term of lifeTwo Inmates Sentenced for Rioting in A Federal PrisonRead the Press Release
Jackson, Miss – Two inmates at the Adams County Correctional Facility were sentenced in federal court today by Senior U.S. District Judge David Bramlette III for rioting at the prison on May 20, 2012, announced U.S. Attorney Gregory K. Davis and Acting FBI Special Agent in Charge Johnnie Sharp.
Carlos Flores, 42, was sentenced to 74 months in prison and Yoany Oriel Serrano-Bejarano, 29, was sentenced to 72 months in prison. They were both ordered to pay restitution in the amount of $1,382,313.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Patrick Lemon.If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Two Buffalo Women Plead Guilty to Identity TheftRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that two Buffalo, Mo., women have pleaded guilty in federal court to stealing the identities of 20 victims to obtain unauthorized credit cards in the victims’ names.
Kelly Marie Lockhart, also known as Kelly Marie Wilson, 35, of Buffalo, waived her right to a grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush to a federal information that charges her with one count of aggravated identity theft. In a separate but related case, Stacy R. Rosa, also known as Stacy R. Webbe, 40, of Buffalo, waived her right to a grand jury and pleaded guilty on Wednesday, Aug. 6, 2014, to a federal information that charges her with one count of aggravated identity theft.
Lockhart and Rosa admitted that they aided and abetted one another to obtain unauthorized credit cards by stealing the identity information of approximately 20 victims between April 12, 2012, and Jan. 17, 2014. They used the credit cards to make approximately $60,655 in purchases.
Lockhart and Rosa used stolen personally identifying information (including individuals’ names, dates of birth, Social Security numbers, driver’s license numbers and bank account information) to gain access to the identity theft victims’ bank and credit card accounts via telephone and the Internet, and to open new credit card accounts. Lockhart and Rosa obtained unauthorized credit cards issued in the victims’ names, and utilized those cards to purchase merchandise and gift cards and to obtain cash advances.
The plea agreements each cite a specific example in which they impersonated a North Carolina victim during a telephone call and obtained a secondary credit card in the name of Kelly Wilson (Lockhart’s alias). On April 22, 2013, Lockhart used the unauthorized credit card in Bolivar, Mo., to obtain a $3,600 cash advance. On April 30, 2013, Rosa used the unauthorized credit card to pay $96 for her visit to a hair salon in Buffalo.
Under federal statutes, Lockhart and Rosa are each subject to a mandatory minimum sentence of two years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
These cases are being prosecuted by Assistant U.S. Attorney Steven M. Mohlhenrich. They were investigated by the U.S. Secret Service, the U.S. Postal Inspection Service, the Buffalo, Mo., Police Department and the Bolivar, Mo., Police Department.Tuolumne County Man Indicted for Starting Rim FireRead the Press Release
FRESNO, Calif. — A federal grand jury returned a four-count indictment today, charging Keith Matthew Emerald, 32, of Columbia, with starting a fire that eventually burned more than 250,000 acres, including large areas in the Stanislaus National Forest and Yosemite National Park, United States Attorney Benjamin B. Wagner and U.S. Forest Service Pacific Southwest Regional Forester Randy Moore announced. The Rim Fire, which burned for nine weeks, was the largest fire in the Sierra Nevada Mountains in recorded history.
The indictment charges that on August 17, 2013, Emerald kindled a fire in the Stanislaus National Forest and allowed the fire to spread beyond his control. At the time of the fire, temporary fire restrictions were in place that prohibited fires. In addition, Emerald is charged with lying to a federal agent when he told them that he did not set the fire.
According to court documents, Emerald was rescued by helicopter from the extremely remote Clavey River Canyon area of the Stanislaus National Forest near the origin of the Rim Fire about an hour after the fire was reported. Emerald was carrying bow hunting equipment with him and advised authorities that he had been on a solo hunting trip.
U.S. Attorney Wagner stated: “The Rim Fire was one of the largest in California history and caused tremendous economic and environmental harm. While those harms cannot be undone, today we have brought criminal charges relating to the cause of that fire. I want to commend the Forest Service agents for their diligent and extensive investigation.”
“The impacts of the Rim Fire on our public lands will continue for years to come,” said U.S. Forest Service Pacific Southwest Regional Forester Randy Moore. “This devastating fire caused risk to firefighters, citizens and private property, and over 125 million dollars were spent in fire suppression costs on this beautiful and popular landscape. We’re still dealing with hazardous trees and erosion.”
“The cooperative work of the criminal investigators from the U.S. Forest Service, Tuolumne County District Attorney's Office, and prosecutors from the U.S. Attorney's Office that lead to the indictment is commendable,” said Scott Harris, U.S. Forest Service special agent in charge of the Pacific Southwest Region. “Through this investigative partnership and support from the community, we have discovered the origin, cause and identified a suspect for the massive Rim Fire.”
This case is the product of an investigation by the U.S. Forest Service with assistance from the Tuolumne County District Attorney’s Office. Assistant United States Attorneys Kevin P. Rooney and Melanie L. Alsworth are prosecuting the case.
Emerald is expected to appear soon in federal court in Fresno. If convicted of setting timber afire or false statements to a government agency, Emerald faces a maximum statutory penalty of five years in prison and a $250,000 fine for each count. Leaving a fire unattended and violating a fire restriction order each carry a maximum penalty of six months in prison and a $5,000 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Thirty-Five Defendants Facing State or Federal Drug Charges for Allegedly Selling Heroin and Crack Cocaine on City’s West SideRead the Press Release
CHICAGO — The alleged patriarch of a Gangster Disciples street gang faction that operates in the two square blocks surrounding the 4500 block of West Jackson Boulevard on the city’s west side was arrested today and charged, together with 34 other defendants, with possessing and distributing heroin and crack cocaine at two open air drug spots. JOHNNY HERNDON allegedly supplied and directed a drug trafficking organization that sold heroin, crack, and other narcotics since the early 1990s, and used the proceeds to accumulate more than 30 real estate properties, mostly multi-unit rentals, valued at more than $1.6 million, over the last two decades.
In addition to Herndon, also known as “Goo,” Chicago police officers and ATF and IRS agents began arresting 20 federal and 15 state defendants early this morning. Three firearms, approximately $10,000, and more than a half-kilogram of heroin were seized this morning during the arrests. Another 13 firearms and hundreds of grams of heroin, crack cocaine, cocaine, and marijuana were seized during the investigation. Police and federal agents also executed 10 search warrants at several defendants’ residences and alleged stash houses.
Herndon’s drug territory is particularly lucrative due to the heavy traffic of drug customers and proximity to the Eisenhower Expressway, and his organization used violence, guns, and threats to control and protect this territory, according to federal charges unsealed today.
In two instances during the investigation, in March and June of this year, CHRISTOPHER HARRIS, allegedly the day-to-day manager of Herndon’s organization who was also arrested today, was intercepted in recorded conversations directing that guns be brought to him. The second instance occurred on June 7 when law enforcement believes that Harris allegedly was looking for guns and mobilizing the Herndon organization to respond immediately after the shooting death that night of a Gangster Disciples member in the 4400 block of West Jackson. Law enforcement quickly located Harris before there was any retaliation, and he was charged federally today with being a felon-in-possession of a firearm for allegedly possessing a .357 caliber revolver that night.
Controlling two “drug spots” ― in the 300 block of South Kilbourn Avenue and the 4400 block of West Congress Avenue ― Herndon’s organization allegedly sold 540 quarter-gram rocks of crack cocaine daily for $10 each, or 135 grams of crack for $5,400 a day on average. The retail side of the organization alone sold more than four kilograms of crack and generated approximately $162,000 in revenue in an average 30-day month, the charges allege.
Since 1993, Herndon, 55, who lives in a converted three-flat in the 4500 block of West Jackson, allegedly spent more than $1 million to purchase 31 properties in Chicago and the area, including Gary, Ind.. The properties were purchased with drug proceeds and proceeds from the sale of other appreciated properties that were purchased with drug proceeds that were then re3 invested to purchase additional properties. All of the properties were purchased outright, with no mortgage, and many have been rehabbed. The rental properties, including some Section 8 subsidized units, generate more than $20,000 a month in rental receipts for Herndon, the charges allege.
The federal defendants were charged with various narcotics offenses in an 11-count criminal complaint that was filed yesterday in U.S. District Court and unsealed following the arrests. The federal defendants began appearing this morning before U.S. Magistrate Judge Michael Mason in U.S. District Court. The state defendants were charged with possession or delivery of a controlled substance in separate complaints and will appear later in state court.
“Today’s takedown is another step in law enforcement’s Job One, and that is to build upon our decades’ long effort to wipe out drug gangs and gang factions that unfairly impact certain Chicago neighborhoods and make life dangerous for many fellow citizens,” said Zachary T. Fardon, United States Attorney for the Northern District of Illinois. “The U.S. Attorney’s Office remains committed to working with Cook County and our local and federal partners to fight gangs and violent crime until those neighborhoods are safe,” he added.
Mr. Fardon and Ms. Alvarez announced the charges with Garry F. McCarthy, Superintendent of the Chicago Police Department; Carl J. Vasilko, Special Agent-in-Charge of the Chicago Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives; and James C. Lee, Special Agent-in-Charge of the Internal Revenue Service Criminal Investigation Division. The investigation was conducted through the U.S. Organized Crime Drug Enforcement Task Force (OCDETF), and the Chicago High Intensity Drug Trafficking Task Force (HIDTA) assisted in the investigation.
“Today’s action is a vivid display of the partnership between ATF and CPD and our commitment to eradicating violent drug and gun crimes in Chicago. As a result of our efforts, we have disrupted a violent drug trafficking organization on Chicago’s west side in a very short period of time,” Mr. Vasilko said.
“This investigation is a powerful and perfect testament of the good that can come when our agencies work together,” said Superintendent McCarthy. “I am extremely proud of not only our officers, but all the law enforcement personnel who contributed to bringing these alleged gang members to justice and making our streets a safer place.”
According to a 178-page affidavit in support of the federal arrests and search warrants, the investigation, which included extensive wiretaps, use of confidential sources, and surveillance, revealed that Herndon supplied crack cocaine to Harris, 34. If Herndon did not have crack, Harris obtained powder cocaine from other alleged suppliers, including EDUARDO ZAMUDIO, 27, and ROBERT RUSSELL, 48, and then converted it into crack. Harris, in turn, supplied the crack to JONATHAN GREEN, 27; FABIAN REDMOND, 28; JONATHAN O’LEARY, 30; and ANTWAION EDWARDS, 39, who allegedly were the drug spot managers. The managers oversaw the spot workers, including MARCUS LONGSTREET, 29; MANUEL MEEKS, 41; CAUIRENCE HERNDON, 34; DESHAWN RICHARDSON, 21; ANDREW JONES, 31; and PATRICIA NEAL, 35.
Johnny Herndon and other leaders of his organization also allegedly sold wholesale quantities of heroin and crack to other Gangster Disciples members, including KESHAW EUELL, 40, who controlled drug spots in the blocks surrounding their area. ROBERT SMITH, 59, was allegedly Herndon’s lead wholesale distributor of crack, selling up to several hundred grams at a time to various wholesale customers in Chicago and Indiana, including DARRYL JONES, 48; MILDRED SMITH, 59; and HARRY SMITH, 30. Another defendant, DARVEN MARION, 46, allegedly a Black Soul street gang member who had a close relationship with Herndon and Harris, was another wholesale supplier to Robert Smith.
Twelve federal defendants ― Johnny Herndon, Harris, Green, Redmond, O’Leary, Edwards, Longstreet, Meeks, Cauirence Herndon, Richardson, Jones, and Neal ― were charged with conspiracy to possess and distribute crack cocaine. If convicted, they each face a mandatory minimum sentence of 10 years in prison and a maximum of life imprisonment and a $10 million fine.
Harris alone faces an additional maximum sentence of 10 years in prison on the felon-inpossession charge. The remaining federal defendants were charged with various drug distribution counts that carry maximum penalties of either 20 years in prison and a $1 million fine, or a mandatory minimum of five years and a maximum of 40 years and a $5 million fine.
The state defendants are: JOSE ESCALARA, 43; LANORIS HOLMAN, 48; DERRICK HUGHES, 53, of Bellwood; ARTURO LARA, 54, of Schaumburg; SAMMIE LOCKHART, 58; PAMERA LONG, 42; CHARLES MARKESE, 57; RUSSELL MORAVEC, 49; DEANGELO PERCY, 34; EARL SMITH, 28; SHAWN SMITH, 46; SHAUNTAH LANGFORD, 32; GENE McCAULLEY, 34; JERROLD SANDERS, 44; and MICHEAL STOKES, 29, all of Chicago unless otherwise noted.
Assistant United States Attorneys Christopher Grohman and Rajnath Laud are representing the government in the federal cases. Assistant State’s Attorney Rita O’Connor is handling the state cases.
The public is reminded that complaints contain only charges and are not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Complaint
Seventh Defendant Indicted in Border Patrol Agent Brian Terry Murder CaseRead the Press Release
Rosario Rafael Burboa-Alvarez was indicted by a federal grand jury in Tucson yesterday, becoming the seventh man charged in connection with the murder of U.S. Border Patrol Agent Brian Terry, announced Attorney General Eric Holder and U.S. Attorney Laura E. Duffy of the Southern District of California.
“When Border Patrol Agent Brian Terry lost his life in the line of duty, in 2010, our nation incurred a tremendous debt to this American hero – and his family – that we can never fully repay. But with these charges, we are taking another important step to keep our commitment to bring those responsible for his murder to justice,” said Attorney General Eric Holder. “We will continue to be aggressive in our pursuit of anyone – anywhere – who commits an act of violence against an American law enforcement official. And we will do everything in our power to ensure that they will face justice in an American courtroom. This is our solemn obligation.”
Agent Terry was fatally shot on Dec. 14, 2010, when he and other Border Patrol agents encountered armed robbers in a rural area north of Nogales, Arizona. Of the defendants charged so far, two have pleaded guilty, three are awaiting trial and two are fugitives.
Burboa-Alvarez, 30, is described in the indictment as the recruiter who assembled the crew of armed robbers to travel from Mexico to the United States and forcibly take marijuana from smugglers through threats or actual violence.
The crew members were identified in the indictment as Manuel Osorio Arellanes, Jesus Rosario Favela-Astorga, Ivan Soto-Barraza, Heraclio Osorio-Arellanes, Lionel Portillo-Meza and Rito Osorio-Arellanes.
The indictment charges Burboa-Alvarez and others with first degree murder, second degree murder, conspiracy to interfere with commerce by robbery and attempted interference with commerce by robbery. Other crew members are also charged with use and carrying a firearm during a crime of violence and assault on a federal officer. In addition to the murder of Agent Terry, the indictment alleges that the defendants assaulted Border Patrol Agents William Castano, Gabriel Fragoza, and Timothy Keller, who were with Agent Terry during the firefight.
Burboa-Alvarez was already in custody in Tucson for immigration-related crimes. He is scheduled to be arraigned in federal court in Tucson at 1:45 p.m. today before U.S. Magistrate Judge Bernardo P. Velasco.
Portillo-Meza was captured in Mexico in September 2012 and extradited to the U.S. on June 17, 2014. Soto-Barraza was captured in Mexico in September 2013 and was extradited to the U.S. on July 31, 2014. Favela-Astorga and Osorio-Arellanes are fugitives.
Another defendant, Manuel Osorio-Arellanes, pleaded guilty to first degree murder and was sentenced to 30 years in prison in February 2014. Another defendant, Rito Osorio-Arellanes, who was in custody at the time of Agent Terry’s murder, pleaded guilty to conspiracy to interfere with commerce by robbery and was sentenced to eight years in prison in January 2013.
This case is being prosecuted in federal court in Tucson by attorneys from the Southern District of California. They are Special Assistant United States Attorneys Todd W. Robinson, David D. Leshner and Fred Sheppard. The U.S. Attorney’s Office for the District of Arizona is recused. This case is being investigated by the FBI. The Justice Department’s Office of International Affairs provided assistance with the extraditions.
The public is reminded that an indictment is a formal charging document and defendants are presumed innocent until the government meets its burden in court of proving guilt beyond a reasonable doubt.
Seventh Defendant Indicted in Border Patrol Agent Brian Terry Murder CaseRead the Press Release
SAN DIEGO, CA – Rosario Rafael Burboa-Alvarez was indicted by a federal grand jury in Tucson yesterday, becoming the seventh man charged in connection with the murder of U.S. Border Patrol Agent Brian Terry.
Agent Terry was fatally shot on Dec. 14, 2010, when he and other Border Patrol agents encountered armed robbers in a rural area north of Nogales, Arizona. Of the defendants charged so far, two have pleaded guilty, three are awaiting trial and two are fugitives.
Burboa-Alvarez was already in custody in Tucson for immigration-related crimes. He is scheduled to be arraigned in federal court in Tucson at 1:45 p.m. today before U.S. Magistrate Judge Bernardo P. Velasco.
Burboa-Alvarez, 30, is described in the indictment as the recruiter who assembled the crew of armed robbers to travel from Mexico to the United States and forcibly take marijuana from smugglers through threats or actual violence.
The crew members were identified in the indictment as Manuel Osorio Arellanes, Jesus Rosario Favela-Astorga, Ivan Soto-Barraza, Heraclio Osorio-Arellanes, Lionel Portillo-Meza and Rito Osorio-Arellanes.
The indictment charges Burboa-Alvarez and others with first degree murder, second degree murder, conspiracy to interfere with commerce by robbery and attempted interference with commerce by robbery. Other crew members are also charged with use and carrying a firearm during a crime of violence and assault on a federal officer. In addition to the murder of Agent Terry, the indictment alleges that the defendants assaulted Border Patrol Agents William Castano, Gabriel Fragoza, and Timothy Keller, who were with Agent Terry during the firefight.
Portillo-Meza was captured in Mexico in September 2012 and extradited to the U.S. on June 17, 2014. Soto-Barraza was captured in Mexico in September 2013 and was extradited to the U.S. on July 31, 2014. Favela-Astorga and Osorio-Arellanes are fugitives.
Another defendant, Manuel Osorio-Arellanes, pleaded guilty to first degree murder and was sentenced to 30 years in prison in February 2014. Another defendant, Rito Osorio-Arellanes, who was in custody at the time of Agent Terry’s murder, pleaded guilty to conspiracy to interfere with commerce by robbery and was sentenced to eight years in prison in January 2013.
This case is being prosecuted in federal court in Tucson by attorneys from the Southern District of California. They are Special Assistant United States Attorneys Todd W. Robinson, David D. Leshner and Fred Sheppard. The U.S. Attorney’s Office for the District of Arizona is recused. This case is being investigated by the FBI. The Justice Department’s Office of International Affairs provided assistance with the extraditions.
The public is reminded that an indictment is a formal charging document and defendants are presumed innocent until the government meets its burden in court of proving guilt beyond a reasonable doubt.
Sentencing for August 1 - 5, 2014Read the Press Release
Jasmine Bradley, 28, of Orlando, Florida, was sentenced by Federal District Court Judge Alan B. Johnson on August 5, 2014, on one count of use of unauthorized access devices to obtain $1,000 or more and aiding and abetting and on three counts of aggravated identity theft and aiding and abetting. Bradley was arrested in Green River, Wyoming. She received 46 months of imprisonment, to be followed by three years of supervised release, and was ordered to pay a $400.00 special assessment and $235,903.59 restitution, joint and several with co-defendants. This case was investigated by the U.S. Secret Service.
Mindy Nichole Lawrence, 35, of Utah, was sentenced by Chief Federal District Court Judge Nancy D. Freudenthal on August 5, 2014, for bank robbery and aiding and abetting. Lawrence was arrested in Casper, Wyoming. She received 87 months imprisonment, to be followed by three years of supervised release, and was ordered to pay a $100.00 special assessment and restitution in the amount of $32,896.06. This case was investigated by the Casper Police Department and the Federal Bureau of Investigation.
Maurice W. Bright, Jr., 28, of Orlando, Florida, was sentence by Federal District Court Judge Alan B. Johnson on August 5, 2014, on one count of use of unauthorized access devices to obtain $1,000 or more and aiding and abetting and one count of possession of fifteen or more unauthorized access devices and aiding and abetting. Bright was arrested in Green River, Wyoming. He received 33 months imprisonment, to be followed by three years of supervised release, and was ordered to pay a $200.00 special assessment and restitution in the amount of $95,118.44, joint and several with co-defendants. This case was investigated by the U.S. Secret Service.
Matthew Anderson, 30, of Cheyenne, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on August 1, 2014, on one count of passing counterfeit obligations of the United States and one count of passing counterfeit obligations of the United States and aiding and abetting. Anderson was arrested in Cheyenne, Wyoming. He received 30 months imprisonment, to be followed by three years of supervised release, and was ordered to pay a $200.00 special assessment and restitution in the amount of $850.00. This case was investigated by the U.S. Secret Service.
Rochester Man Sentenced on Bank and Loan Fraud ChargesRead the Press Release
ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Michael C. Kaufman, of Pittsford, N.Y., who was convicted following a federal jury trial of conspiracy to commit bank and loan fraud, as well as bank and loan fraud, was sentenced to a 12 months in prison and ordered to pay restitution in the amount of $1,360,893.72 by U.S. District Judge Frank P. Geraci.
Assistant U.S. Attorneys Craig R. Gestring and Bradley E. Tyler, who handled the trial of the case, stated that between 2002 and June 2008, the defendant, and his son Richard Kaufman, directed the Controller of American Industrial Sales, d/b/a RAK Industries, to provide false financial statements to Key Bank, and to the company’s outside accounting firm. The false financial statements significantly overvalued the accounts receivable and inventory, which were the two assets that Key Bank relied upon as collateral for a total loan credit of $2,000,000.
The loan proceeds were used by the defendants to fund their personal lifestyles including expensive homes, generous salaries and country club memberships. After the defendants defaulted on the Key Bank loan in the summer of 2007, they converted to their personal use approximately $53,000 of accounts receivable proceeds that were the property of Key Bank. As a result of the fraud scheme, Key Bank suffered an immediate loss of over $1.5 million.
Richard Kaufman was also convicted at trial and sentenced to 46 months in prison.
The sentencing is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, and Postal Inspectors with the United States Postal Inspection Service under the direction of Shelly A. Binkowski, Postal Inspector in Charge, Boston Division..
Rochester Man Arrested and Charged with Robbing the Same Bank Three TimesRead the Press Release
ROCHESTER N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Edward Brown, 51, of Rochester, N.Y., was arrested and charged by a criminal complaint with bank robbery. The charge carries a maximum sentence of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Melissa M. Marangola, who is handling the case, stated that according to the complaint, the defendant entered the Citizens Bank at 40 Franklin Street in Rochester on June 25, 2014 and told the teller “I got a gun in my waist, I don’t want anybody to get hurt. Give me money in small bills.” The teller gave Brown a specific amount of money.
The complaint further states that on July 31, 2014, the defendant entered the same Citizens Bank, approached a teller and said “Give me money in small bills.” The teller again gave Brown a specific amount of money.
The defendant entered the Franklin Street branch a third time on August 4, 2014. On that date, Brown told the teller “I have a gun and I’ll use it.” Once again, the teller gave Brown a specific amount of money.
The defendant made an initial appearance this morning before U.S. Magistrate Judge Marian W. Payson and is being held without bail. Brown is due back in court on August 27, 2014 at 9:00 a.m.
The criminal complaint is the culmination of an investigation on the part of the Rochester Police Department’s Major Crimes and Tactical Units, under the direction of Chief Michael Ciminelli, the Federal Bureau of Investigation, and the NYS Department of Corrections and Community Service under the direction of Acting Commissioner Anthony J. Annucci.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.Rochester Man Arrested Second Time in Two Days for Threatening to Kill the President, Governor, and Lt. GovernorRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Brandon Correa, 30, of Rochester, N.Y., was arrested on new charges of making a direct threat to kill the President of the United States, Barack Obama. The defendant is also accused of making new online threats to kill New York Governor Andrew Cuomo and New York Lieutenant Governor Robert Duffy. Each count is punishable by five years in prison and a $250,000 fine.
Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that according to a criminal complaint, the defendant, who was indicted on August 5, 2014 on similar charges, was on Twitter and Facebook within the last 48 hours posting new threats. Some of the new postings included photographs of President Obama, Governor Cuomo, and Lt. Governor Duffy and the text “…you three get ready to die”.
The defendant appeared before U.S. Magistrate Judge Marian W. Payson this afternoon and was detained. Correa is due back in court on August 11, 2014 at 3:00 p.m. before Judge Payson.
The complaint is the culmination of an investigation on the part of Special Agents of the United States Secret Service, under the direction of Special Agent in Charge, Tracy Gast, and Investigators from the New York State Police, Protective Services Unit, under the direction of Major Stephen Nevins.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.Providence Felon Sentenced to 46 Months in Federal Prison on Gun ChargeRead the Press Release
PROVIDENCE, R.I. – Lazar Hazard, 31, of Providence, was sentenced today to 46 months in federal prison for being a convicted felon in possession of a firearm, announced United States Attorney Peter F. Neronha and Providence Police Chief Colonel Hugh T. Clements, Jr.
At sentencing, U.S. District Court Judge Mary M. Lisi also ordered Hazard to serve three years supervised release upon completion of his prison term. Hazard pleaded guilty in May 2014, as charged in a one-count indictment, to being a felon in possession of a firearm.According to information presented to the court, in January 2014, members of the Providence Police Department Narcotics and Organized Crime Bureau received information about an individual dealing drugs in the north end of the city. On January 27, while conducting surveillance of the area, detectives watched as Hazard drove up and met up with a person driving a separate vehicle and allegedly provided the person with a small quantity of drugs in exchange for cash. Detectives continued to follow Hazard and watched as he picked-up another person already known to the police. Detectives stopped Hazard’s vehicle and placed him in custody.
According to information presented to the court, detectives obtained a court authorized search warrant for Hazard’s residence. A search of the residence resulted in the seizure of .10 mm Glock Pistol with three magazines of ammunition, as well as various items used in the packaging and distribution of drugs, and $510 in cash. Hazard admitted to detectives that the firearm was his and that he obtained it for protection.
Hazard had previously been convicted in Rhode Island state court of a crime punishable by more than one year imprisonment.
The case was prosecuted by Assistant U.S. Attorney Richard W. Rose.
Agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives assisted Providence Police in this matter.
This case was brought as part of the Rhode Island Urban Violent Crime Initiative. The Rhode Island Urban Violent Crime Initiative is a local, state and federal law enforcement collaboration to proactively identify, investigate and prosecute individuals responsible for crimes of violence in urban neighborhoods.###
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Prominent Wine Dealer Rudy Kurniawan Sentenced in Manhattan Federal Court to 10 Years in Prison for Selling Millions of Dollars of Counterfeit WineRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that prominent wine dealer RUDY KURNIAWAN was sentenced today to 10 years in prison for carrying out an elaborate scheme in which he manufactured and sold counterfeit bottles of purportedly rare and expensive wine for millions of dollars, and for fraudulently obtaining a $3 million loan from a financing company. KURNIAWAN was found guilty in December 2013 following a one-week jury trial before U.S. District Judge Richard Berman, who also imposed today’s sentence.
Manhattan U.S. Attorney Preet Bharara said: “Rudy Kurniawan planned and executed an intricate counterfeit wine scheme, mixing cheaper, more common wines, bottling the mixture into old bottles with fake labels, and then fraudulently selling those bottles for millions of dollars. Now, Kurniawan will trade his life of luxury for time behind bars.”
According to the evidence presented at trial, documents filed in Manhattan federal court, and statements made at today’s sentencing proceeding:
The Counterfeit Wine Scheme
KURNIAWAN had been a collector of fine and rare wines, and rose to become one of the most prominent and prolific dealers in the United States of purportedly rare and expensive wine. From 2004 through 2012, he engaged in a systematic scheme to defraud wine collectors and others by selling and attempting to sell numerous counterfeit bottles of purportedly rare and expensive wine. KURNIAWAN manufactured counterfeit bottles of rare and vintage wine at his home in Arcadia, California, operating what was, in effect, a counterfeit wine laboratory.
KURNIAWAN mixed and blended lower-priced wines so that they would mimic the taste and character of rare and far more expensive wines. He then poured his creations into empty bottles of rare and expensive wines that he obtained from various sources and created a finished product by sealing the bottles with corks and outfitting the bottles with counterfeit wine labels he created. KURNIAWAN then sold and attempted to sell these counterfeit bottles of wine at auctions and in direct sales to wealthy wine collectors. KURNIAWAN earned millions of dollars through the sale of these counterfeit bottles of wine.
The Scheme to Defraud a Lender
KURNIAWAN also devised and carried out a scheme to fraudulently obtain a $3 million loan from a financing company located in New York City that specialized in extending loans that are secured by valuable collectibles, such as art and wine. KURNIAWAN obtained the loan by providing false information to, and concealing material information from, the financing company, including falsely omitting approximately $7.4 million in outstanding loans, falsely representing his annual expenses, and falsely representing that he was a permanent resident of the United States when he had no legal immigration status in the United States and had, in fact, been ordered by an immigration court to leave the country years earlier.
In addition to the prison sentence, KURNIAWAN, 37, of Arcadia, California, was ordered to forfeit $20 million and to pay restitution to his victims of $28,405,502.5.
Mr. Bharara praised the outstanding work of the FBI’s Art Crime Team and its New York and Los Angeles field offices.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorney Stanley J. Okula, Jr. is in charge of the prosecution. Assistant U.S. Attorney Andrew Adams is handling the forfeiture aspects of the prosecution.
U.S. v. Rudy Kurniawan indictment
Porcupine Man Sentenced for Abusive Sexual ContactRead the Press Release
United States Attorney Brendan V. Johnson announced that a Porcupine, South Dakota, man convicted of Abusive Sexual Contact was sentenced on July 29, 2014, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Jaron Thunder Hawk, age 21, was sentenced to 96 months in custody, 6 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Thunder Hawk was indicted for three charges of Aggravated Sexual Abuse by a federal grand jury on January 22, 2014. He pled guilty to the charge of Abusive Sexual Contact on April 3, 2014.
The conviction stems from Thunder Hawk having abusive sexual contact with young female relatives between January and August 2013 near Porcupine.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Thunder Hawk was immediately turned over to the custody of the U.S. Marshals Service.
Placement Agent Charged with Bribery in CalPERS Corruption ConspiracyRead the Press Release
SAN FRANCISCO – A federal grand jury earlier today indicted Alfred J. Villalobos, of Reno, Nev., on charges of conspiracy to commit corruption offenses and to defraud the United States, engaging in a scheme to conceal material facts from the United States, and conspiracy to commit mail fraud and wire fraud, announced U.S. Attorney Melinda Haag, U.S. Postal Inspection Service, Inspector in Charge Rafael E. Nunez, FBI Special Agent in Charge David J. Johnson, and U.S. Secret Service Special Agent in Charge Andrew Adelmann.
This indictment adds corruption allegations to, and supersedes, an earlier indictment returned in March 2013.
According to the superseding indictment, Villalobos conspired with Fred Buenrostro, the former Chief Executive Officer (“CEO”) of the California Public Employee Retirement System (“CalPERS”) in connection with a $3 billion investment by CalPERS into funds managed by Apollo Global Management (“Apollo”), a private equity firm based in New York City. Villalobos, through his financial services firm, ARVCO Capital Research LLC (“ARVCO”), acted as the placement agent through which Apollo secured the investments by CalPERS.
The superseding indictment alleges that no later than 2005, Villalobos began giving Buenrostro secret benefits for the purpose of influencing and rewarding him in the exercise of his powers and duties as CEO concerning CalPERS’ financial transactions, investment operations, and internal deliberations, for the benefit of Villalobos. The benefits from Villalobos included payments of approximately $250,000, as well as gifts, domestic and international travel, meals, entertainment, payment for Buenrostro’s wedding, and his subsequent employment at ARVCO after he left CalPERS in May of 2008. In exchange, Buenrostro provided Villalobos with access to CalPERS’ confidential information relating to investments and other proprietary matters and attempted to influence the CalPERS investment staff and CalPERS Board, as directed by Villalobos.
In 2007, Apollo told ARVCO that it required signed Investor Disclosure letters from CalPERS prior to paying ARVCO any fees for its efforts in securing CalPERS’ investments into Apollo-managed funds. After CalPERS’ legal and investment offices declined to sign the first Investor Disclosure letter documenting ARVCO’s relationship with Apollo, Villalobos and Buenrostro conspired to create a series of fraudulent Investor Disclosure letters that were transmitted to Apollo. Apollo paid ARVCO a total of approximately $14 million dollars in fees after receiving the fraudulent letters.
The superseding indictment further alleges that when civil and later criminal investigations were opened into the operations of ARVCO and its role as a placement agent in connection with CalPERS’ investments in Apollo-managed funds, Villalobos and Buenrostro agreed on a false version of facts and subsequently made misrepresentations to, and concealed information from, the SEC, the USPIS, and the FBI, about their financial relationship and the authenticity of the Investor Disclosure letters.
On July 11, 2014, Buenrostro was charged by superseding information with a single count of conspiracy in violation of Title 18, United States Code, Section 371, and pleaded guilty before the Honorable Charles Breyer, United States District Court Judge, to that charge in an agreement with the government that included his promise to cooperate in future investigations. Both defendants are currently released on bond. The arraignment for Villalobos on the superseding indictment is not yet scheduled. However, a status hearing is scheduled before Judge Breyer for Aug. 8, 2014, at 9:00 a.m.
The maximum statutory penalty for conspiracy to defraud the United States, and for a scheme to conceal material facts from the United States, is five years of imprisonment, $250,000 fine or twice the amount of gain or loss, whichever is greater, three years of supervised release, and a $100 special assessment. The maximum statutory penalty for conspiracy to commit mail fraud and wire fraud is 20 years imprisonment, $250,000 fine or twice the amount of gain or loss, whichever is greater, three years of supervised release, and a $100 special assessment. Restitution may also be ordered as to each of the three counts. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Timothy J. Lucey and Philip A. Guentert are the Assistant United States Attorneys who are prosecuting the case with the assistance of Laurie Worthen and Beth Margen. The prosecution is the result of an investigation by the U.S. Postal Inspection Service and the FBI, with substantial assistance from the Los Angeles Regional Office of the SEC as well as the U.S. Secret Service.
Please note, an Indictment contains only allegations and, as with all defendants, Alfred J. Villalobos must be presumed innocent unless and until proven guilty.
(Villalobos superseding indictment )
Pittsburgh-area Man Admits Selling Party Drugs at Music Festivals and ConcertsRead the Press Release
PITTSBURGH – William Krszal, a resident of Allegheny County, was convicted of conspiring to distribute a mixture of methamphetamine and 3,4-methylenedioxymethamphetamine, sometimes referred to as “molly”, United States Attorney David J. Hickton announced today.
Krszal, 23, pled guilty before United States District Judge David S. Cercone. Judge Cercone scheduled sentencing to occur on Dec. 18, 2014, at 11 a.m.
In support of the guilty plea, the Court was informed that Krszal agreed with his supplier to distribute the mixture of methamphetamine and molly in the Pittsburgh area, including at various concerts or music festivals.
The law provides for a maximum total sentence of up to 20 years in prison and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense 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 Federal Bureau of Investigation and the Pennsylvania Attorney General’s Office led the multi-agency investigation of this case that also included the Federal Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Moon Township Police Department, the North Fayette Police Department, the Pittsburgh Bureau of Police, the Allegheny County Sheriff’s Office, the Pennsylvania State Police, the McKees Rocks Police Department, the Cranberry Township Police Department, the McKeesport Police Department, and the Wilkinsburg Police Department.
Philadelphia Man Pleads Guilty to Heroin Trafficking ConspiracyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 31-year-old Philadelphia man pleaded guilty today in Scranton before U.S. District Court Judge Malachy E. Mannion to participating in a conspiracy that distributed heroin during November 2013 to January 2014.
According to United States Attorney Peter J. Smith, the defendant, Luis Morales, admitted that he conspired with others, including Eudy Gonzalez, then an inmate at the Pennsylvania State Correctional Institution at SCI Waymart, to distribute and possess the heroin in Northeastern Pennsylvania.
Morales was indicted by a federal grand jury in March 2014, as a result of an investigation by special agents and task force officers of the Federal Bureau of Investigation and Scranton Police.
Morales faces a possible maximum sentence of 20 years in prison and a fine up to $1 million. Judge Mannion ordered a pre-sentence investigation to be completed prior to sentencing.
Two of Morales’ co-defendants, Linda Reyes and Eudy Gonzalez, previously pleaded guilty and are awaiting sentencing.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
North Dakota Man Sentenced for Abusive Sexual Contact of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Fort Yates, North Dakota, man convicted of Abusive Sexual Contact of a Minor was sentenced on July 28, 2014, by U.S. District Judge Charles B. Kornmann.
Cecil White Bull, age 41, was sentenced to 20 years in custody, 10 years of supervised release, a $15,000 fine, and a $300 special assessment to the Federal Crime Victims Fund.
White Bull was indicted by a federal grand jury on July 17, 2013. He pled guilty on April 22, 2014.
The conviction stems from incidents which occurred between November 1, 2009, and October 31, 2011, when White Bull, while residing at his mother’s house in Bullhead, sexually abused his nieces and nephew, while he helped care for all three victims.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
White Bull was immediately turned over to the custody of the U.S. Marshals Service.
New Jersey Man Sentenced for Conspiracy to Commit Mail FraudRead the Press Release
Jackson, Miss. - James Lewis Johnson, 61, of New Jersey, was sentenced today by Senior U.S. District Judge William H. Barbour, Jr. to 86 months in federal prison followed by three years of supervised release for conspiracy to commit mail fraud, announced U.S. Attorney Gregory K. Davis and Postal Inspector in Charge Robert Wemyss. Johnson was also ordered to pay restitution in the amount of $107,926.43.
Johnson pled guilty on May 21, 2014 to his involvement in a Nigerian run fraudulent scheme involving Craigslist postings. The scheme involved the mailing and shipping of hundreds of USPS Express mail parcels containing counterfeit postage, USPS money orders and cashier checks. Mr. Johnson printed the counterfeit postage, money orders and checks, mailed them, received money from the victims and forwarded the money to the primary operators in Nigeria via Western Union. The investigation revealed over 590 wire transactions and over 100 mailings in furtherance of the scheme to defraud, with a total victim financial loss of more than $534,600.
"The Postal Service will continue to identify and pursue dishonest mailers who deliberately avoid proper payment of postage. When unscrupulous people use the mail to defraud, Postal Inspectors will not hesitate to ensure they are brought to justice," said Inspector in Charge Robert Wemyss. "Unfortunately, in these challenging economic times, the Postal Inspection Service has no shortage of fraud schemes to investigate."
This case was investigated by the United States Postal Inspection Service and the Meridian Police Department.If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Mission Man Sentenced for Misprision of A FelonyRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of Misprision of a Felony was sentenced on July 28, 2014, by U.S. District Judge Roberto A. Lange.
Tyler Red Eagle, age 22, was sentenced to 10 months in custody, 1 year of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Red Eagle was indicted for First Degree Burglary, Assault with a Dangerous Weapon, and Assault Resulting in Serious Bodily Injury by a federal grand jury on March 11, 2014. He pled guilty to Misprision of a Felony on May 13, 2014.
The conviction stems from an incident that took place on July 2, 2013, when Red Eagle’s co-defendants broke into the victim’s home and struck the victim repeatedly with their hands and objects. Red Eagle was present when the assault occurred. After the assault, Red Eagle concealed the assault from tribal and federal law enforcement officers.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorneys Marie H. Ruettgers and Tim Maher prosecuted the case.
Red Eagle was immediately turned over to the custody of the U.S. Marshals Service.
Mission Man Sentenced for Assault Resulting in Serious Bodily InjuryRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of Assault Resulting in Serious Bodily Injury was sentenced on July 28, 2014, by U.S. Magistrate Judge Mark A. Moreno.
Marlow Poor Thunder, age 19, was sentenced to 47 months in custody, 2 year of supervised release, $1,135.80 in restitution, and a $100 special assessment to the Federal Crime Victims Fund.
Poor Thunder was indicted for First Degree Burglary, Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury by a federal grand jury on March 11, 2014. He pled guilty to Assault Resulting in Serious Bodily Injury on May 12, 2014.
The conviction stems from an incident that took place on July 2, 2013, when Poor Thunder assaulted the victim while he was asleep, hitting him with a bat while others assaulted the victim with their fists and a cane. As a result of Poor Thunder’s actions, the victim suffered a large laceration to his scalp that required staples to repair.
This case was investigated by Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorneys Marie H. Ruettgers and Tim Maher prosecuted the case.
Poor Thunder was immediately turned over to the custody of the U.S. Marshals Service.
Miramar Resident Sentenced for Filing A False Tax ReturnRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that U.S. District Judge James I. Cohn sentenced Erica Jacovia Bryant, 33, of Miramar, to 27 months in prison, to be followed by three years of supervised release, and ordered her to pay $89,190.27 in restitution to the IRS. Bryant was convicted after a two day jury trial on charges of filing a false claim, in violation of Title 18, United States Code, Section 287.
According to the indictment and evidence introduced in court, Bryant filed a false 2011 tax return that fraudulently sought a $110,859.00 tax refund. Based upon this fraudulent return and the information contained therein, Bryant ultimately obtained a $100,653.22 tax refund from the IRS which was later utilized to purchase a 2013 Lincoln MKZ, which was later seized by the IRS for forfeiture.
Mr. Ferrer commended the investigative efforts of IRS-CI. This case is being handled by Assistant U.S. Attorney Marc Anton.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Milwaukee Woman Sentenced to 2 ½ Years in Prison for Filing False Federal Tax Returns and Food Stamp FraudRead the Press Release
James L. Santelle, the United States Attorney for the Eastern District of Wisconsin, announced that on July 31, 2014, Tiffiny Leanna Harden (age: 30) of Menomonee Falls was sentenced before Judge Rudolph T. Randa on charges of filing false claims against the United States, mail fraud, and food stamp fraud. Harden was sentenced to thirty months in federal prison and was given three years supervised release. Harden was also ordered to pay $120,525 in restitution, requiring Harden to pay $120,125 to the Internal Revenue Service and $400 to the U.S. Department of Agriculture, Supplemental Nutrition Assistance Program.
Harden pleaded guilty to the federal charges on April 11, 2014. Records filed in court indicate that
Harden fraudulently filed a total of at least 35 tax returns for the 2011 tax year seeking total refunds of at least $229,522. Of the $229,522 in refunds that was attempted to be received by Harden, she obtained $120,125 in tax refunds that were deposited into her bank’s accounts.Court documents indicate that Harden sought tax refunds by claiming false incomes, false education credits and/or claiming false dependents for the taxpayers. Several of the taxpayers told law enforcement officials that they did not know Harden and did not know how she got their information. Others stated that Harden had offered to help them fill out their returns and they provided her with their identifying information, but never heard back from her. Many of the victims indicated that Harden had offered to fill out their tax returns for them, but the victims never provided Harden with the information regarding the employer, educational status, or the dependents listed in the returns using their identities. At least two taxpayers did not know that they were claimed as dependents. Harden used the United States mail to receive and send false information to the IRS.
In addition, during the time she was receiving the tax refunds, she also committed food stamp fraud. In order to receive this federal benefit, she claimed in her Food Share application to be homeless during that period and failed to disclose the fact that she had received over $100,000 from the fraudulent tax return scheme during the months of February and March 2012.
This case was jointly investigated by the Internal Revenue Service Criminal Investigative, the United States Postal Inspection Service and the United States Department of Agriculture. The case was prosecuted by Assistant U.S. Attorney Karine Moreno-Taxman.
Merrimack Man Sentenced on Child Pornography OffenseRead the Press Release
CONCORD, NEW HAMPSHIRE – Keith Burns, 41, of Merrimack, was sentenced in United States District Court for the District of New Hampshire to 15 years in prison after pleading guilty to one count of attempted receipt of child pornography, announced United States Attorney John P. Kacavas.
The investigation began in March of 2013 when investigators in Jackson County, Oregon, received information from the parents of a 13-year-old girl that a man was communicating with her online and pressuring her to take pornographic images of herself. The local authorities then contacted the FBI. A subsequent investigation led to the identification and arrest of Keith Burns of Merrimack. Burns was previously convicted of sexually assaulting a minor and is required by New Hampshire law to register with the state’s sex offender registry list.United States Attorney Kacavas said, “Identifying, finding, and prosecuting predators like the defendant has been, and will continue to be, among the highest priorities of my office.”
The charge was the result of an investigation by the Federal Bureau of Investigation, the Merrimack Police Department and the Jackson County, Oregon, Sherriff’s Department and the New Hampshire Internet Crimes Against Children Task Force. This case was prosecuted by Assistant United States Attorney Helen White Fitzgibbon.
This case is being prosecuted under Project Safe Childhood, a nationwide initiative by the U.S. 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 (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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.Marinette Woman Sentenced for Heroin CrimeRead the Press Release
United States Attorney James L. Santelle, of the Eastern District of Wisconsin, announced that yesterday, Andrea Paris (neé Addington) (age: 30) of Marinette, Wisconsin, was sentenced to 18 months in federal prison by Chief United States District Judge William C. Griesbach. The prison sentence is to be followed by 12 months of supervised release.
Paris had previously entered a guilty plea to a charge of using a communication facility (i.e., a telephone) to facilitate the distribution of heroin. According to the plea agreements and other documents filed with the court, Paris worked in concert with seven other co-defendants to facilitate the movement and delivery of heroin to the Marinette, Wisconsin, and Menominee, Michigan areas after obtaining the drug from a supplier in Chicago. Those records also indicate that Paris established initial contact with the supplier and introduced the others to the heroin source.
The court noted Paris’ manipulative nature, the devastating effect that heroin addiction has had in northeast Wisconsin, and her role involving others in the collective effort to bring large quantities of heroin to the Marinette/Menominee region.
The case was investigated by Special Agents from the Wisconsin Department of Justice, Department of Criminal Investigation, the U.S. Drug Enforcement Administration, the Marinette Police Department, Marinette Sheriff’s Office, Menominee (Michigan) Police Department, Menominee (Michigan) Sheriff’s Office, Wisconsin HIDTA Task Force, Chicago HIDTA Task Force, Chicago Police Department, Northeast Wisconsin Tri-County Drug Enforcement Group, and the Manitowoc County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Daniel R. Humble.