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2 September 2014
Restaurant Robber Exiled to over Five Years in PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Linwood Drake McKoy, age 45, of Baltimore, Maryland, today to 66 months in prison followed by three years of supervised release for robbing a restaurant.The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Commissioner Anthony W. Batts of the Baltimore Police Department; and Baltimore City State’s Attorney Gregg L. Bernstein.
According to his plea agreement, on November 5, 2013, McKoy entered the Prime Chicken and Fish restaurant on Edmondson Avenue in Baltimore and asked to buy a cup of ice. When the victim opened the register, McKoy placed a handgun to the victim’s head and demanded money. McKoy took $700 from the register and fled.
The victim identified McKoy from a photo array and McKoy was arrested on November 14, 2013. McKoy said he used a BB gun during the robbery, but the BB gun was not recovered.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Special Assistant United States Attorney Matthew K. Hoff, a cross-designated Baltimore City Assistant State’s Attorney assigned as part of the Baltimore initiative to combat violent crime, who prosecuted the case.
Rapid City Man Charged with EscapeRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Escape from Custody.
Benjamin Kitteaux, age 28, was indicted on August 26, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on August 27, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and a $100 assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Kitteaux escaping from the Community Alternatives of the Black Hills in August 2014,where he was serving the remainder of a federal sentence.
The charge is merely an accusation and Kitteaux is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Ben Patterson is prosecuting the case. Kitteaux was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Prominent Businessman for Private Consulting Group Pleads Guilty to Wire Fraud and Money LaunderingRead the Press Release
Elderly victim bilked for $1.1 million in schemePORTLAND, ORE. – Robert L. Keys, 65, an Oregon resident, pled guilty today to two counts of wire fraud, two counts of money laundering, and one count of bankruptcy fraud, based on an indictment returned by a grand jury on June 27,2012, against him and two co-defendants.
Keys was a prominent businessman who ran a company called Private Consulting Group, which at one time, had assets of $400 million and managed investments for high net worth individuals from around the country.The maximum sentence for the two counts of wire fraud is 20 years per count and a fine of $250,000. The money laundering charges carry a 10-year sentence per count, and the bankruptcy fraud charge has a five-year term of prison. Pursuant to a plea agreement entered into with the government, the government will be recommending a sentence of 70 months and a money judgment and order of restitution of $1.1 million. Sentencing is scheduled to take place on January 20, 2015.
At the change of plea hearing, the government contended that in 2008, as Keys’ business ventures were failing, he turned to one of his long-term clients, a widow in her mid-80s, and persuaded her to loan $1.1 million to co-defendant William Kearney, a Florida businessman who died recently. The indictment alleges, and the government stated at the September 2 hearing, that Keys lied to his client about the terms of the loan, such as the existence of treasury bonds as collateral for the loan and failed to disclose important facts to her in order to fraudulently obtain the money for his benefit and that of the late co-defendant, Kearney. This transaction resulted in the two wire fraud counts to which Keys pled guilty.
During the plea hearing, the government stated that Keys failed to disclose he was receiving over $100,000 in kickbacks as part of the scheme to defraud his long-time client. Those kickbacks were wired to him by co-defendant Kearney the day after he persuaded his client to loan Kearney the $1.1 million. The kickbacks form the basis of the two money laundering charges.
In 2010 Keys, along with his wife, filed for bankruptcy. The indictment charges Keys with fraudulently attempting to discharge $148 million in debt by lying to the Bankruptcy Court, concealing assets and income, and filing false documents the Court. Brenda Carper, 63, his long-time bookkeeper, was also charged with bankruptcy fraud. She previously pled guilty to one count of lying to the bankruptcy court and is scheduled to be sentenced on October 22, 2014.
Keys also pled guilty to one count of lying to the Bankruptcy Court regarding a company that he had transferred to Mrs. Carper but which he continued to control for his personal benefit.This case was investigated by the Internal Revenue Service, Criminal Investigation, and the United States Trustees’ Office. The case is being prosecuted by Assistant United States Attorney and Senior Litigation Counsel Allan M. Garten.
Pierre Man Sentenced for Conspiracy to Distribute A Controlled Substance Near A SchoolRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pierre, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance Near a School was sentenced on August 28, 2014, by U.S. District Judge Roberto A. Lange.
Juan Howell, age 29, was sentenced to 33 months in custody, 4 years of supervised release, a $1,000 fine, and a $100 special assessment to the Federal Crime Victims Fund.
Howell was indicted for Conspiracy to Distribute a Controlled Substance Near a School and Distribution of a Controlled Substance Near a School by a federal grand jury on December 10, 2013. He pled guilty to Conspiracy to Distribute a Controlled Substance Near a School on May 12, 2014.
The conviction arose from an incident that occurred on January 1, 2012, when Howell knowingly and intentionally combined, conspired, confederated and agreed with others known and unknown to distribute marijuana, a Schedule I controlled substance, within 1,000 feet of an elementary school.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Jay Miller prosecuted the case.
Howell was immediately turned over to the custody of the U.S. Marshals Service to begin serving his sentence.
News Conference Regarding Criminal Charges in Death of Cross Lanes TeenagerRead the Press Release
2:30 p.m. today, W. Kent Carper Justice and Public Safety Complex
CHARLESTON, W.Va. – United States Attorney Booth Goodwin and other law enforcement officials, including officials with the FBI and the Kanawha County Sheriff’s Department, will hold a news conference at 2:30 p.m. on the first floor of the W. Kent Carper Justice and Public Safety Complex, located at 301 Virginia Street, East, in Charleston. The news conference will address criminal charges against Ernest Michael Roach in the death of a Cross Lanes teenager whose body was found in Meigs County, Ohio, on Saturday. Roach faces a murder charge in Ohio, as well as a federal charge of interstate travel with intent to engage in illicit sexual conduct. The federal charge is pending in federal court in Charleston. Roach will make an initial appearance in the federal case at 2:00 p.m. today, at the Robert C. Byrd United States Courthouse, 300 Virginia Street, East, in Charleston. The 2:30 p.m. news conference will take place across the street at the Carper Complex.
Mission Man Sentenced for Burglary of Post OfficeRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of Burglary of a Post Office was sentenced on August 28, 2014, by U.S. District Judge Roberto A. Lange.
Jesse Robinson, age 27, was sentenced to 6 months in custody, 2 years of supervised release to include 6 months of home confinement, $888.96 in restitution, and a $100 special assessment to the Federal Crime Victims Fund.
Robinson was indicted for Burglary of a Post Office and Theft of Mail by a federal grand jury on August 21, 2013. He pled guilty to Burglary of a Post Office on May 27, 2014.
The conviction arose from an incident that occurred in June 2013 when Robinson used a crowbar to pry open a window on the front of the U.S. Post Office in Mission. Once he was inside, Robinson took four first class COD envelopes addressed to other individuals that contained mail-ordered prescription medication.
This case was investigated by the U.S. Post Office and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
Robinson will report to the U.S. Marshals Service on September 2, 2014, to begin serving his sentence.
Michigan Woman Pleads Guilty to Federal Heroin ChargeRead the Press Release
HUNTINGTON, W.Va. – A Michigan woman who rented a Huntington apartment as part of a heroin conspiracy pleaded guilty today to a federal drug charge, announced U.S. Attorney Booth Goodwin. Lakeisha Sherell Williams, 31, entered a guilty plea to maintaining a residence for the purpose of distributing heroin. Williams pleaded guilty in a hearing conducted by Chief United States District Judge Robert C. Chambers.
Beginning in early August 2013, Williams rented an upstairs apartment located at 2504 1/2 Adams Avenue in West Huntington. Williams subsequently allowed multiple individuals to stay at the apartment, where they would store, prepare, and distribute heroin that was transported from Detroit to Huntington. Williams also assisted in transporting heroin and United States currency to and from Detroit on multiple occasions.
Williams faces up to 20 years in federal prison when she is sentenced on December 1, 2014.
The FBI Huntington Violent Crimes and Drug Task Force conducted the investigation. Assistant United States Attorney Joseph F. Adams is in charge of the prosecution.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Mexican Drug Trafficker Sentenced to 21 Years in PrisonRead the Press Release
CHARLOTTE, N.C. – Carlos Edgar Sandoval-Uriel, 31, of Mexico, was sentenced today by Chief District Judge Frank D. Whitney to serve 252 months in prison, for his role as the leader of the Charlotte cell of an international drug trafficking and money laundering conspiracy, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. Judge Whitney also sentenced Sandoval-Uriel to five years of supervised release.
U.S. Attorney Tompkins is joined in making today’s announcement by Ryan L. Spradlin, Acting Special Agent in Charge of ICE/Homeland Security Investigations (HSI) in Atlanta and the Carolinas; Chief Rodney Monroe of the Charlotte-Mecklenburg Police Department, Chief Cleveland Spruill of the Huntersville Police Department; and Chief Bence Hoyle of the Cornelius Police Department.
According to filed documents and court proceedings, Sandoval-Uriel was the leader of the Charlotte cell of a transnational drug trafficking organization that shipped marijuana across the United States-Mexico border. Court records indicate that Sandoval-Uriel’s cell operated in and around Charlotte from 2008 to April 2012, and was responsible for trafficking over a ton of marijuana to the area. Court records show that on April 2, 2012, the drug organization transported into the United States 3,168 pounds of marijuana with an estimated value of more than $2.5 million. The marijuana was hidden inside industrial-sized metal farming equipment.
According to court records, on April 9, 2012, law enforcement agents conducted a controlled delivery of the marijuana to the organization’s initial staging location in Charlotte. On April 17, 2012, law enforcement in Charlotte arrested members of the local drug cell and executed search warrants at homes suspected to be involved in the conspiracy. While executing a search warrant at a local stash house, law enforcement recovered two kilograms of cocaine and a handgun. At Sandoval-Uriel’s house, law enforcement found $192,730 in cash, an automatic money counter, a computer with ledgers of prior drug-related transactions, and bank slips for deposits of drug proceeds that conspirators made on Sandoval-Uriel’s behalf. Sandoval-Uriel pleaded guilty in November 2013 to one count of conspiracy to distribute and to possess with intent to distribute marijuana, and one count of money laundering conspiracy.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF) that has resulted in the conviction of 12 defendants on marijuana trafficking and money laundering charges. OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
In addition to Sandoval-Uriel, the following convictions stem from this investigation:
• Jose Luis Sandoval-Godoy - 168 months in prison, followed by five years of supervised release.
• Victor Aurelio Guerra - 151 months in prison, followed by five years of supervised release.
• Andres G. Herbas - 121 months in prison, followed by five years of supervised release.
• Guillermo Garza-Sanchez - 121 months in prison, followed by five years of supervised release.
• Paul Isaac Ayala, Jr. - 70 months in prison, followed by two years of supervised release.
• Cesar Garcia: 57 months in prison, followed by two years of supervised release.
• Jose Alejandro Segovia - 57 months in prison, followed by five years of supervised release.
• Ricardo Munoz-Contreras - 57 months in prison, followed by two years of supervised release.
• Jose Zenteno - 30 months in prison, followed by three years supervised release.
• Carla Georgina Moscoso Romay - two years of probation (including with 6 months home detention) and a $3,000 fine.
• Rigoberto Pacheco-Carrillo - time-served sentence, followed by one year of supervised release.Sandoval-Uriel has been in custody since April 17, 2012. He will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. Federal sentences are served without the possibility of parole.
The investigation was led by HSI, CMPD, Huntersville PD, and Cornelius PD, with assistance from the Pineville Police Department, North Carolina State Bureau of Investigation, North Carolina Alcohol Law Enforcement, North Carolina Highway Patrol, Concord Police Department, Gastonia Police Department, Rowan County Sheriff’s Office, and Iredell County Sheriff’s Office.
The prosecution for the government was handled by Assistant U.S. Attorney Steven R. Kaufman of the U.S. Attorney’s Office in Charlotte.
Mercer County Man Sentenced to Nine Years in Prison for Possessing Child PornographyRead the Press Release
BLUEFIELD, W.Va. – A 54-year old Mercer County man, David A. Punturi, was sentenced today to nine years in federal prison followed by 20 years of supervised release for possessing child pornography, U.S. Attorney Booth Goodwin announced. Punturi must also pay $2,500 in restitution to victims. Today’s sentence was handed down by Senior United States District Judge David A. Faber in Bluefield.
Punturi previously admitted that on August 14, 2013, he possessed over 600 images of prepubescent minors engaged in sexual acts. The images were located on his personal computer at his Bluefield residence. The investigation revealed that Punturi was using two peer-to-peer file sharing programs to share child pornography via the Internet.
The West Virginia Internet Crimes Against Children Task Force and the Mercer County Sheriff’s Department conducted the investigation. Assistant United States Attorney Lisa G. Johnston was in charge of the prosecution.
This case is being brought as part of U.S. Attorney Goodwin’s ongoing initiative to combat child sexual exploitation and abuse in the Southern District of West Virginia.
Member of Hartford Drug Trafficking Ring Sentenced to 5 Years in Federal PrisonRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that NATIVIDAD MENDEZ, also known as “Coca,” 38, of New Britain, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 60 months of imprisonment, followed by three years of supervised release, for her role in a Hartford-based narcotics trafficking ring.
According to court documents and statements made in court, this matter stems from a joint law enforcement investigation headed by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force and the Hartford Police Department into gang-related narcotics trafficking in Hartford’s South End. The investigation specifically targeted a heroin and cocaine trafficking organization headed by Angel Rosa, also known as “Little” and “Daddy,” and his cousin, Angel Rosa, also known as “Mo Betta” and “Fab.” Little supervised the drug trafficking ring, which included several other family members, through fear and intimidation. Mo Betta managed the daily operations of the organization, facilitated the delivery and transportation of large quantities of heroin, and supervised numerous drug sellers who distributed heroin and other narcotics in the Zion Street area. At times, Little and Mo Betta used, or threatened to use, violence to ensure the success of the organization.
MENDEZ, who is Little’s long-time girlfriend, sold cocaine out of the Silver Dollar Restaurant on Zion Street, delivered cocaine and heroin to various locations, and stored drugs and drug proceeds at her and Little’s New Britain residence. She also acted as a go between with her brother, Luis Mendez, who supplied heroin to the drug trafficking organization. In addition, she was fully aware that her and Little’s teenage son, Angel Rosa, also known as “Bebo,” was selling drugs for the organization while still attending high school.
As a result of this investigation, 21 individuals were charged with various federal offenses, and law enforcement officers seized narcotics, one firearm, approximately $230,000 in cash, eight vehicles and jewelry.
On April 11, 2013, a search of MENDEZ’s and Rosa’s residence revealed more than 500 grams of cocaine packaged for distribution, approximately 24 grams of crack cocaine, and $205,240 in cash. The couple has forfeited the cash, as well as a 2006 Porsche Cayenne, a 2007 Lexus GS350 and a 2007 Acura RL.
On December 16, 2013, MENDEZ pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, heroin.
Angel Rosa aka “Little” and Angel Rosa aka “Mo Betta” each pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin. On May 15, 2014, “Little” was sentenced to 235 months of imprisonment, and on April 29, 2014, “Mo Betta” was sentenced to 165 months of imprisonment. Luis Mendez and Angel Rosa, aka “Bebo,” also pleaded guilty and are serving prison terms of 96 months and 66 months, respectively.
This matter was investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, which includes members of the Connecticut State Police, Hartford Police Department, East Hartford Police Department, Connecticut Department of Correction and Connecticut National Guard. The Connecticut State Police’s Emergency Services Unit, Hartford Police Department’s Emergency Response Team, Capital Region Emergency Response Team, Drug Enforcement Administration, Homeland Security Investigations and the New Britain, East Hartford, Wethersfield and Manchester Police Departments have provided valuable assistance to the investigation.
The case is being prosecuted by Assistant U.S. Attorneys Brian Leaming and Patrick Caruso.PUBLIC AFFAIRS CONTACT:
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(203) 821-3722 [email protected]Medicaid Provider Pleads to Federal Fraud ChargesRead the Press Release
GREENSBORO, N.C. – A Timberlake, North Carolina, woman pleaded guilty to health care fraud and money laundering, announced United States Attorney Ripley Rand of the Middle District of North Carolina.
Tracie Yvette Clay, 46, of Timberlake, North Carolina, pleaded guilty in federal court in Greensboro before Chief United States District Court Judge William L. Osteen, Jr., to felony charges of health care fraud and money laundering.
Clay operated a mental health business called NC Behavioral Health and Counseling Services, Inc., which allegedly provided mental health assessments and treatment to Medicaid clients. The business had offices in both Durham and Fayetteville, North Carolina. Documents filed at the time of the guilty plea indicated that Clay used the Medicaid identification numbers of individuals who did not know Clay or anything about her company and did not know how Clay obtained their Medicaid identification numbers. Court documents indicate that the loss to the Medicaid program as a result of Clay’s fraud is approximately $1,000,000 (one million dollars).
The defendant faces a maximum penalty of ten years confinement. The plea agreement requires Clay to make restitution to the Medicaid program. Sentencing will occur in Greensboro on December 11, 2014.
The case was investigated by the Medicaid Investigations Division of the North Carolina Attorney General’s Office and agents with IRS - Criminal Investigation Division. The case is being prosecuted by Assistant United States Attorney Robert M. Hamilton and Special Assistant United States Attorneys Michael Heavner and Daniel Spillman of the Medicaid Investigations Division of the North Carolina Attorney General’s Office.
Maryland MS-13 Member Pleads Guilty in<br /> Violent Racketeering ConspiracyRead the Press Release
A Maryland MS-13 gang member pleaded guilty today to conspiracy to participate in a racketeering enterprise known as the La Mara Salvatrucha, or MS-13, and acknowledged his involvement in attempted murder and extortion in furtherance of MS-13.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Rod J. Rosenstein of the District of Maryland, Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement ’s (ICE) Homeland Security Investigations (HSI), Chief Mark A. Magaw of the Prince George’s County Police Department, Prince George’s County State’s Attorney Angela D. Alsobrooks, Chief J. Thomas Manger of the Montgomery County Police Department, Chief Alan Goldberg of the Takoma Park Police Department, and Montgomery County State’s Attorney John McCarthy made the announcement.
Roni Arriola-Palma, 24, of Greenbelt, Maryland, pleaded guilty before U.S. District Judge Roger W. Titus. Sentencing is scheduled for March 9, 2015.
According to the statement of facts filed with Arriola-Palma’s plea agreement, MS-13 is a national and international gang composed primarily of immigrants or descendants from El Salvador. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County and Montgomery County, Maryland. MS-13 members are required to commit acts of violence both to maintain membership and discipline within the gang and against rival gangs.
The statement of facts states that from 2009 until at least 2012, Arriola-Palma was a member and leader of the Peajes Locos Salvatrucha clique of MS-13. Arriola Palma and other MS-13 members in the Peajes clique and other MS-13 cliques committed crimes to further the interests of the gang, including murder, assault, robbery, extortion by threat of violence, obstruction of justice, witness tampering and witness retaliation.
Arriola-Palma admitted that from January 2010 through at least May 2011, he attended MS-13 leadership meetings in Maryland as the representative and leader of the Peajes clique.
According to the plea agreement, on Jan. 13, 2011, Arriola-Palma attended a Peajes clique meeting with other MS-13 members near the Greenbelt Metro Station. Another MS-13 member spoke at the meeting, criticizing members of the clique for not committing enough violent crimes on behalf of MS-13 and encouraging clique members to find rival gang members and commit acts of violence against them.
Arriola-Palma admitted that after the meeting ended, he drove other MS-13 members in a minivan. Near the Fort Totten Metro Station, they saw a person who they believed was an associate of a rival gang. MS-13 members attacked the victim and dragged him back into the minivan, where they continued to assault him. After later stopping and departing the minivan, Arriola-Palma and other MS-13 members forcefully stripped the victim of all clothing and stabbed him. After the assault, two MS-13 members dragged the victim into the woods and one of the gang members strangled the victim with his belt. When they returned from the woods, they informed the other members that the victim was dead. Arriola-Palma then drove the group of MS-13 members away from the scene. The victim, however, survived the attack.
From March to November 2011, members of the Peajes clique threatened to place a “greenlight,” or order to kill, on a former MS-13 associate unless he paid them a weekly or bi-weekly “rent” or “tax,” which gang members collected from the victim. Arriola-Palma admitted that he accepted payments that he knew were proceeds from the extortion scheme from two other MS-13 members.
This case was investigated by HSI Baltimore, the Prince George’s County and Montgomery County Police Departments, the Prince George’s County State’s Attorney’s Office, the Takoma Park Police Department and the Montgomery County State’s Attorney’s Office, with assistance from the Prince George’s County Sheriff’s Office, HSI Baltimore’s Operation Community Shield Task Force and the Maryland Department of Corrections Intelligence Unit. The case is being prosecuted by Trial Attorney Kevin L. Rosenberg of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney William D. Moomau of the District of Maryland.Maryland MS-13 Member Pleads Guilty in Violent Racketeering ConspiracyRead the Press Release
Admitted his Participation in an Attempted Murder and Extortion
Greenbelt, Maryland – Roni Arriola-Palma, age 24, of Hyattsville, Maryland, pleaded guilty today to conspiracy to participate in a racketeering enterprise known as the La Mara Salvatrucha, or MS-13, including an attempted murder and extortion.The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Mark A. Magaw of the Prince George’s County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief J. Thomas Manger of the Montgomery County Police Department; Chief Alan Goldberg of the Takoma Park Police Department; and Montgomery County State’s Attorney John McCarthy.
MS-13 is a national and international gang composed primarily of immigrants or descendants from El Salvador. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County and Montgomery County, Maryland. MS-13 members are required to commit acts of violence both to maintain membership and discipline within the gang and against rival gangs.
According to the statement of facts filed with his plea agreement, from 2009 until at least 2012, Arriola-Palma was a member and leader of the Peajes Locos Salvatrucha clique of MS-13. Arriola Palma and MS-13 members in the Peajes clique and other MS-13 cliques committed crimes to further the interests of the gang, including murder, assault, robbery, extortion by threat of violence, obstruction of justice, witness tampering and witness retaliation.
Arriola-Palma admitted that from January 2010 through at least May 2011, he attended MS-13 leadership meetings in Maryland as the representative and leader of the Peajes clique.
According to the plea agreement, on January 13, 2011, Arriola-Palma attended a Peajes clique meeting with other MS-13 members near the Greenbelt Metro Station. Another MS-13 member spoke at the meeting, criticizing members of the clique for not committing enough violent crimes on behalf of MS-13, and encouraging clique members to find rival gang members and commit acts of violence against them.
Arriola-Palma admitted that after the meeting ended, he drove other MS-13 members in a mini-van. Near the Fort Totten Metro Station, they saw a person they believed was an associate of a rival gang. MS-13 members attacked the victim and dragged him back into the mini-van, where they continued to assault him. Arriola-Palma drove the mini-van around Hyattsville, eventually parking near a dead end in the vicinity of Chillum Manor Road. After Arriola-Palma stopped the mini-van, MS-13 members kicked, stabbed and choked the victim. Since the victim was wearing heavy winter clothing, Arriola-Palma and other MS-13 members forcefully stripped the victim of all clothing, in order to stab the victim. After the assault, two MS-13 members dragged the victim into the woods, where one of the gang members strangled the victim with his belt. When they returned from the woods, they informed the other members that the victim was dead. Arriola-Palma then drove the group of MS-13 members away from the scene. The victim survived the attack.
From March to November, 2011, members of the Peajes clique threatened to kill a fellow MS-13 gang member unless he paid them a weekly or bi-weekly “rent” or “tax,” which gang members collected from the victim. Arriola-Palma admitted that he accepted payments that he knew were proceeds from the extortion scheme from two other MS-13 members.
Arriola-Palma faces a maximum sentence of life in prison. U.S. District Judge Roger W. Titus has scheduled sentencing for March 9, 2015, at 10:00 a.m.
United States Attorney Rod J. Rosenstein commended HSI Baltimore, the Prince George’s County and Montgomery County Police Departments, the Prince George’s County State’s Attorney’s Office, the Takoma Park Police Department and the Montgomery County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein also recognized the Prince George’s County Sheriff’s Office, HSI Baltimore’s Operation Community Shield Task Force and the Maryland Department of Corrections Intelligence Unit for their assistance. Mr. Rosenstein thanked Assistant United States Attorney William D. Moomau and Kevin L. Rosenberg, a Trial Attorney with the Justice Department Criminal Division’s Organized Crime and Gang Section, who are prosecuting this case.
Man Sentenced for 1998 MurderRead the Press Release
ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Pablo Plaza, born in 1976, who was convicted of the murder of Francisco Santos on the Seneca Indian Reservation in Erie County, N.Y., in October 1998, was sentenced to 25 years in prison by U.S. District Judge Frank P. Geraci. The defendant was also convicted of conspiring with others to traffic drugs in the Rochester area, including cocaine, cocaine base, heroin and marijuana during the period from approximately 1993 to March 2011.
Assistant U.S. Attorney Everardo Rodriguez, who is handling the case, stated that Francisco Santos was a member of the drug distribution conspiracy and was believed to have stolen drugs and money from other members of the conspiracy. In retaliation for the theft, Plaza and other members of the conspiracy assaulted Santos, while another member slashed Santos across the side of the head with a knife. Sometime after the beating, the co-conspirator who slashed Santos on the head was arrested for the assault.
To further retaliate for the original theft and to prevent Santos from testifying against the co-conspirator on the assault charge, Plaza and a group of other co-conspirators found Santos and drove him to the Seneca Indian Reservation. They took the back roads rather than the Thruway. Once at the reservation, they took Santos down a dirt path behind some trees and stabbed him to death and buried him in a shallow grave. Plaza admitted to having personally stabbed Santos and to having observed other co-conspirators also stabbing him.
The pending indictment charges four other codefendants with the murder of Francisco Santos (James Kendrick, Pablo Plaza, born in 1972 (Plaza’s older brother with the same name), Janine Plaza Pierce (the mother of Kendrick and the older Plaza) and Angelo Cruz). The pending indictment also charges Kendrick with another murder of Ryan Cooper. The trial of these remaining defendants is expected to take place early next year. 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.
The sentencing is the result of a joint investigation on the part of Federal Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division, under the direction of Acting Special Agent in Charge James S. Higgins, the Rochester Police Department, Violent Crime Team/Firearms Suppression Unit, under the direction of Chief Michael Ciminelli, Numerous federal, state and local law enforcement agencies also assisted in the investigation, including the New York State Police, under the direction of Major Scott Crosier; the Erie County Sheriff=s Department, under the direction of Sheriff Timothy B. Howard; the Federal Bureau of Investigation; the United States Drug Enforcement Agency, under the direction of Acting Special Agent in Charge James J. Hunt, New York Field Division; and the Schenectady County District Attorney=s Office, under the Direction of District Attorney Robert M. Carney.Los Zetas, Efrain Grimaldo, Cartel Member Sentenced to over 33 Years in Prison on Federal Drug ChargesRead the Press Release
U.S. Attorney Kenneth Polite announced that EFRAIN GRIMALDO, a resident of Mexico, was sentenced today by U.S. District Chief Judge Sarah S. Vance to serve 405 months in prison for his role in a large-scale drug conspiracy.
On February 26, 2014, GRIMALDO was convicted by a federal jury for conspiracy to possess and distribute 5 kilograms or more of cocaine. GRIMALDO’s organization was responsible for distributing hundreds of kilograms of cocaine throughout the United States, to include Jackson, Mississippi; Pensacola, Florida; New York City, New York; Detroit, Michigan; Baltimore, Maryland, Dover, Delaware; and Houma, Louisiana. During sentencing Judge Vance found that GRIMALDO was a member of the Los Zetas Cartel. Further, she held that GRIMALDO was responsible for the importation of 1,640 kilograms of cocaine during the conspiracy. The investigation revealed that the conspirators supplied cocaine to the “Up Da Bayou Boyz” (UBB), a violent street gang that operated in Houma, Louisiana.
Co-defendant SERGIO GRIMALDO has recently been extradited from Mexico on these same charges and is scheduled for trial on December 15, 2014. Co-defendant SABINO DUARTE has pled guilty and is awaiting sentencing.
“Efrain Grimaldo was responsible for importing massive quantities of cocaine into the United States, including communities here in Southeast Louisiana,” stated U.S. Attorney Polite. “As a member of the Los Zetas cartel, one of the most notorious criminal enterprises in Mexico or the United States, Grimaldo endangered the lives of innocent people on both sides of the border. As a result of today’s sentencing, he will spend over 33 years in federal prison as punishment for his crimes.”
“The Los Zetas Drug Cartel, of which Efrain Grimaldo is a member, is responsible for death and suffering from the cities and towns of Mexico, across the U.S. border, and into our communities in Louisiana,” stated Raymond Keith Brown, Special Agent in Charge of the Drug Enforcement Administration. “DEA and the law enforcement community are committed to ending the destruction brought on by these international drug cartels. The sentence handed down to Efrain Grimaldo is another step forward in our efforts to stop the flow of drugs into our country and city, and to halting the spread of drug abuse and violence.”
Assisting the DEA New Orleans in this investigation include the DEA Houston, High Intensity Drug Trafficking Area Task Force (HIDTA); FBI New Orleans; FBI Houston, Terrebonne Parish Sheriff’s Office; the Houma Police Department; the Lafourche Parish Sheriff’s Office; and the Louisiana State Police Troop “C” Narcotics.
The case was prosecuted by Assistant United States Attorneys John F. Murphy and Theodore R. Carter, III.
Justice Department Settles Immigration-Related Employment Discrimination Claim Against a Restaurant Management CompanyRead the Press Release
The Justice Department announced today that it reached an agreement with Culinaire International, a catering and restaurant management company headquartered in Houston, Texas, resolving a claim that Culinaire engaged in citizenship discrimination during the employment eligibility reverification process in violation of the Immigration and Nationality Act (INA).
The Justice Department’s investigation found that Culinaire required lawful permanent resident employees to produce a new Permanent Resident Card when their prior card expired, even though the Form I-9 and E-Verify rules prohibit this practice. Lawful permanent residents have permanent work authorization in the United States, even after their permanent resident cards expire. The INA’s anti-discrimination provision prohibits employers from placing additional documentary burdens on work-authorized employees during the employment eligibility verification process based on their citizenship status.
“Employers cannot discriminate against workers by requiring them to produce more documents than necessary in the employment eligibility verification and reverification processes,” said Acting Assistant Attorney General Molly Moran for the Civil Rights Division. “The department applauds Culinaire’s willingness to resolve this matter expeditiously and its commitment to changing its past documentary practices.”
Under the settlement agreement, Culinaire will pay $20,460 in civil penalties to the United States; undergo training on the anti-discrimination provision of the INA; establish a $40,000 back pay fund to compensate potential economic victims; revise its employment eligibility reverification policies; and be subject to monitoring of its employment eligibility verification practices for 20 months.
The Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) within the Justice Department is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing or recruitment or referral for a fee, unfair documentary practices, retaliation and intimidation.
For more information about protections against employment discrimination under immigration laws, call OSC’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call OSC’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar at www.justice.gov/crt/about/osc/webinars.php , email [email protected] ; or visit OSC’s website at www.justice.gov/crt/about/osc .
Applicants or employees who believe they were subjected to different documentary requirements based on their citizenship status, immigration status, or national origin, or discrimination based on their citizenship status, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee should contact OSC’s worker hotline for assistance.
Identity Theft Ring Leader Sentenced to Long Prison TermRead the Press Release
PHILADELPHIA - Evens Claude, 38, of Philadelphia, PA, was sentenced on Friday, August 29, 2014, to 232 months in prison for aggravated identity theft, bank fraud, access device fraud, counterfeit currency fraud, and conspiracy. U.S. District Court Judge Jan E. DuBois also ordered Claude to pay $609,210 in restitution. Claude represented himself at sentencing.
Between 2008 and October 3, 2011, Claude organized and ran two identity theft and counterfeit currency rings which looted the credit and bank accounts of 48 individual victims and caused losses of over $609,210 to 26 corporate victims. Claude fraudulently created and looted credit and bank accounts in victims’ names, adding the names of his criminal associates (“runners”) as authorized users on the credit accounts to buy construction materials and appliances which Claude would sell or use to fix up his properties and to withdraw money from victims’ bank accounts. Claude also used his runners to pass high-quality counterfeit currency to buy expensive goods from large stores like Home Depot or Lowe’s with fake $100 bills and to return the goods to another store branch for genuine currency. In 2011, while on supervised release in another counterfeit currency case, Claude partnered with his brother John “Mo” Claude to commit identity theft. Mo Claude was murdered in June 2011 by one of their runners in a payment dispute over the criminal proceeds. Claude used his criminal proceeds to purchase real estate, a Maserati, a BMW, a Ferrari, and to rent a luxury apartment from which he continued to engage in identity theft following his brother’s death. Claude’s long criminal history since 1993 included drug distribution, counterfeit currency fraud, and illegal re-entry after deportation.
The case was investigated by the United States Secret Service and was prosecuted by Assistant United States Attorneys Andrea Foulkes, Christopher Diviny and Mark Dubnoff.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Huntington Man Sentenced for Illegal Firearm PossessionRead the Press Release
Huntington, W.Va. – United States Attorney Booth Goodwin announced that John Clark Schlotter, 30, of Huntington, and originally from Weirton, West Virginia, was sentenced today to 36 months’ probation and six months of weekend confinement for unlawfully possessing a firearm while a drug addict. Chief United States District Judge Robert C. Chambers imposed today’s sentence, which follows Schlotter’s May 2014 guilty plea.
In January of 2014, Schlotter possessed two stolen guns at his home on First Avenue Rear in Huntington. Schlotter was holding the guns for a known heroin dealer who had received them in payment of a heroin debt. Schlotter was holding the guns for the heroin dealer in exchange for heroin for Schlotter’s personal use.Chief Judge Robert C. Chambers set the sentencing for September 2, 2014.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Houston Lake Man Sentenced for Child PornRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Houston Lake, Mo., man was sentenced in federal court today for possessing child pornography.
Carlos J. Scott, 47, of Houston Lake, was sentenced by U.S. District Judge Dean Whipple to five years in federal prison without parole.
On Jan. 29, 2014, Scott pleaded guilty to possessing child pornography.
The investigation began when the victim, identified as “Jane Doe,” reported past sexual molestation by Scott to the Kansas City, Mo., Police Department on Sept. 4, 2011. In a later interview, Jane Doe stated that Scott sexually molested her from the time she was six years old until the age of 12. Jane Doe also stated that Scott left pornography open on the computer and that he had photographs of his penis on the computer, which he would leave in places he knew she would access while using the computer. She also reported that Scott regularly exposed himself to her.
A 12-year-old cousin of the child victim was also interviewed. She repeated Jane Doe’s statements about pornography being left open on Scott’s computer.
Law enforcement officers executed a search warrant at Scott’s residence and seized his laptop computer. They also seized a desktop computer from the home of Scott’s parents, where he had lived during most of the time that the sexual abuse of Jane Doe occurred. Scott had used the computer while living with his parents.
Among the files found on Scott’s computer were images of possible child pornography and erotica as well as multiple photos of young girls playing. Detectives showed Jane Doe several of the photographs; she became emotional and identified herself in the series of photographs. Child pornography and erotica also were located on the parent’s computer. According to today’s plea agreement, there were between 10 and 150 images of child pornography.
This case was prosecuted by Assistant U.S. Attorney Teresa A. Moore. It was investigated by the Kansas City, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Highland Park School Board MemberPleads Guilty to Conversion of School FundsAnd Filing False Income Tax ReturnRead the Press Release
Robert Davis, 34, of Highland Park, Michigan, a member and former President of the Highland Park School Board, pleaded guilty today to unlawful conversion of funds belonging to the Highland Park School District and to filing a false federal income tax return, United States Attorney Barbara McQuade announced.
The guilty plea was entered before Senior United States District Judge Arthur J. Tarnow.
McQuade was joined in the announcement by Paul Abbate, Special Agent in Charge of the Federal Bureau of Investigation, and Jarod Koopman, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation.
Information provided to the court at the guilty plea proceeding showed that from 2007 through 2010 Davis used his authority as a member of the school board to cause the school district to issue checks to companies controlled by associates of Davis – Company Z and Company D. Those companies then, at Davis’s direction, issued checks totaling almost $200,000 to another entity, controlled by Davis himself: Citizens United to Save Highland Park Schools. Davis then used those funds for his own personal purposes. Thus, through this scheme, he unlawfully converted the funds. In addition, Davis knowingly and intentionally failed to report the income he received on his federal income tax returns.
United States Attorney McQuade stated, “"Any betrayal of the public trust is deplorable, but stealing from schools is the most reprehensible kind of corruption because it robs children of their education."
“As a public official, Mr. Davis used Highland Park school funds for his personal enrichment. He not only violated the law, he betrayed the public trust. This case sends a clear message that the Internal Revenue Service – Criminal Investigation will continue to work with its law enforcement partners to investigate those who destroy that confidence and hold them accountable for their actions,” said Acting Special Agent in Charge Jarod Koopman.
Under the terms of a plea agreement, Davis is subject to up to 24 months imprisonment, as well as up to a $500,000 fine and full restitution as determined by the court. Sentencing is scheduled for December 9, 2014, at 2:00 p.m.
The case was investigated by the FBI and IRS CI. The case was prosecuted by Assistant United States Attorneys Sheldon N. Light and Dawn N. Ison, and former AUSA Pamela Thompson.Four Family Members Charged in Multistate Conspiracy to Sell Counterfeit Erectile-Dysfunction DrugsRead the Press Release
FRESNO, Calif. — Four family members have been charged with conspiring to traffic in counterfeit erectile dysfunction drugs, United States Attorney Benjamin B. Wagner announced.
On August 28, 2014, a federal grand jury in Fresno returned an indictment charging Holly Gitmed, 38, of Riverbank in Stanislaus County, her ex-husband John Gitmed, 52, of Los Angeles; his daughter Felicia Gitmed, 23, of Los Angeles; and his nephew Anthony Pollino Jr., 36, of Los Angeles, with a conspiracy to traffic in counterfeit goods and commit mail fraud and with trafficking in counterfeit goods.
According to court documents, between February 9, 2012, and February 27, 2014, the defendants ran a business called the “California Confidence Company” that bought counterfeit copies of the erectile-dysfunction drugs Viagra®, Cialis®, and Levitra®, along with genuine looking packaging from foreign suppliers and middlemen, including suppliers based in China. They posted online advertisements and sold the counterfeit drugs to consumers throughout California, in the Las Vegas area, and in other states. The defendants advertised the sale of “genuine” erectile dysfunction drugs, and sold the drugs in person or shipped them to customers who responded to the advertisements.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant United States Attorney Michael G. Tierney is prosecuting the case.
If convicted, the defendants each face a maximum statutory penalty of 10 years in prison and a $2 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory sentencing factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Pediatric Oncology Resident Sentenced for Child Pornography DistributionRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that David H. Scanlan III, formerly of Harrisburg and currently of Bentonville, Virginia, and a former pediatric oncology resident at Penn State Hershey Medical Center, was sentenced to five years in federal prison for distribution of child pornography. The sentence was imposed by U.S. District Judge John E. Jones III in Harrisburg. Following his prison term, Scanlan will be on supervised release, for 20 years. He was also ordered to pay restitution in the amount of $20,000.
According to U.S. Attorney Peter Smith, due to concern about Scanlan’s access to minor children through his job, the Government agreed that it would recommend the statutory mandatory minimum five-year prison sentence if Scanlan would submit to a polygraph examination on the issue of contact with minors, and was found by the examiner to be not deceptive. Scanlan underwent that polygraph examination and was found to be not deceptive. The Government emphasized that the recommendation was based on the facts and circumstances of this particular case.
Based on the plea agreement and information submitted by Scanlan’s attorney at the sentencing hearing, Judge Jones found that the sentence called for under the advisory guideline range was not necessary in this case, adopted the recommendation of the Government and remanded Scanlan to the custody of the United States Marshals Service to begin serving his sentence immediately. The investigation was conducted by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI). The case was prosecuted by Assistant U.S. Attorney James Clancy.
Former Owner of Penn Hills Lodge Sentenced for Filing False Pension DocumentsRead the Press Release
The United States Attorney's Office for the Middle District Pennsylvania announced today Charles A. Poalillo, Jr., age 81, of Monroe County, Pennsylvania, was sentenced in U.S. District Court in Scranton to 3 years’ probation for filing false documents related to Penn Hills Lodge pension funds.
According to United States Attorney Peter Smith, Poalillo was the former owner of Penn Hills Lodge, Inc., a Pocono honeymoon resort located in Analomink, Pennsylvania. While he operated Penn Hills Lodge and related businesses, Poalillo borrowed approximately $1 million from two pension funds. In September 2013, he entered a guilty plea before U.S. District Court Judge Edwin J. Kosik to falsely reporting the security of these assets to the United States Department of Labor. Pursuant to a guilty plea agreement filed with the information, Poalillo agreed to attempt to make full restitution by the time of sentencing.
At today’s sentencing, attorneys for Poalillo reported to the court that his personal and business assets had been liquidated and the assets are being transferred to the United States Clerk of Court’s office for restitution to the victims. Judge Kosik cited the full restitution as well as the defendant’s health conditions as factors warranting a probationary sentence.
The United States Department of Labor’s Employee Benefits Security Administration and the Department of Labor’s Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, conducted the investigation. The Monroe County District Attorney’s Office initiated the investigation and assisted the federal authorities. Prosecution is assigned to Assistant United States Attorney Michael A. Consiglio.
Former Bank Employee of U.S. Bank Pleads Guilty to Bank FraudRead the Press Release
Follow @SDILNewsCynthia L. Palmer, 45, of Alton, Illinois, entered a plea of guilty to bank fraud in a scheme to defraud and embezzle from U.S. Bank, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Palmer faces a prison sentence of up to 30 years, a fine of up to $1,000,000, and up to 5 years’ supervised release after serving her sentence and mandatory restitution. Sentencing has been scheduled for December 15, 2014.
As part of the plea, Palmer was employed by U.S. Bank at the Bethalto Airport Branch in Bethalto, Illinois, as a Universal Banker. Palmer admitted she made unauthorized debits on customer’s accounts. Palmer principally targeted older individuals to take unauthorized activity on their accounts with customers' ages ranging from 65 to 96. Palmer was terminated by U.S. Bank effective December 12, 2013. Palmer caused a direct loss of $105,827.62.
The successful prosecution is the result of an investigation conducted by the U.S. Secret Service with the assistance of U.S. Bank. The case is being prosecuted by Assistant United States Attorney Norman R. Smith.
Federal Grand Jury Hands up Two-Count Indictment Charging Buffalo Man with MurderRead the Press Release
BUFFALO, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that the grand jury handed up a two-count indictment charging Tre Smitherman, 21, of Buffalo with committing a murder in aid of a racketeering enterprise and possessing and using a firearm in furtherance of this murder.
According to Assistant United States Attorney Anthony M. Bruce and Special Assistant United States Attorney Paul Parisi, who are handling the case, Smitherman is accused of shooting Charles Myles-Jones to death during the early evening hours of November 29, 2010, while Myles Jones was working at the Super-Stop Food Mart at the Corner of Kensington and Thatcher Avenues. According to the indictment, Smitherman, who was only 17-1/2 at the time of the alleged homicide, murdered Myles-Jones to prove himself in order to gain entry into the Bailey Boys, a criminal gang that sold crack cocaine and other controlled substances, committed robberies and engaged in acts of violence in an area of the city bounded roughly Winspear Avenue, the Kensington Expressway, Eggert Road and Main Street. Smitherman, who had originally been charged under rarely used federal juvenile statutes, had his prosecution transferred to adult status by order of Chief United States District Judge William M. Skretny.
Mr. Bruce stated that the government will now move to join Smitheman’s indictment with the indictment pending against 10 other alleged members of the Bailey Boys so that the cases can be tried together.
Smitherman faces up to life in prison and a $250,000 fine on each of the two counts upon conviction. He is in custody and will be arraigned by Magistrate Judge Jeremiah J. McCarthy Tuesday, September 2.
The case was investigated by the Federal Bureau of Investigation and Detectives of the Buffalo Police Department under the direction .Commissioner Daniel. Derenda and will be tried by Assistant United States Attorney Anthony M. Bruce and Special Assistant United States Attorney Paul Parisi.
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.Essex County, N.J., Man Charged in Armed Robberies of New Jersey HotelsRead the Press Release
NEWARK, N.J. – An Orange, New Jersey, man was taken into federal custody today and is expected to make his initial court appearance this afternoon for allegedly committing six armed robberies of New Jersey hotels, U.S. Attorney Paul J. Fishman announced.
Tremone Burnett, 42, is charged by complaint with six counts of committing a Hobbs Act robbery and one count of using a firearm during a crime of violence. He was previously charged with related offenses by the Essex County Prosecutor’s Office and has been in state custody. Burnett is expected to appear this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court.
According to the complaint unsealed today:
From May 9, 2014, through June 19, 2014, Burnett robbed at least six New Jersey hotels at gunpoint: in Carteret, Lebanon, Newark, Rockaway, and Secaucus. In each of the robberies, Burnett pointed a handgun at a hotel employee and, in some instances, tied the victim’s hands and feet. During the course of the robberies, Burnett also variously stole uncashed employee checks, safe deposit boxes, an ATM, and a personal credit card in addition to cash.
The Hobbs Act charges each carry a maximum penalty of 20 years in prison. The charge of brandishing a firearm during a crime of violence carries a maximum penalty of life in prison and a mandatory minimum sentence of seven years in prison, which must run consecutively to any other prison term. Each count also carries a maximum fine of $250,000, or twice the gross gain or loss from the offense.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford in Newark, with the investigation leading to today’s charges, along with the Essex County Prosecutor’s Office and Newark Police Department. He also credited the Carteret, Edison, Lebanon, Rockaway, Parsippany, Weehawken and Woodbridge Township police departments in New Jersey; and the Clarkstown and Ramapo police departments in New York – along with the New Jersey State Police and the Bergen County, Hunterdon County, Middlesex County, and Morris County Prosecutors’ Offices for their work on this case.
The government is represented by Assistant U.S. Attorney Barry A. Kamar of the U.S. Attorney’s Office General Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations and the defendant is considered innocent unless and until proven guilty.
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Defense counsel: Assistant Federal Public Defender Chester Keller Esq., Newark
Burnett, Tremone ComplaintEagle Butte Man Sentenced for Aggravated Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that an Eagle Butte, South Dakota, man convicted of Aggravated Sexual Abuse of a Minor was sentenced on August 28, 2014, by U.S. District Judge Roberto A. Lange.
Kendahl Clown, age 21, was sentenced to 18 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Clown was indicted for Aggravated Sexual Abuse of a Minor by a federal grand jury on March 11, 2014. He pled guilty on May 12, 2014.
The conviction arose from an incident that occurred during the summer of 2013 when Clown, who was 20 at the time, and the victim, who was 15, engaged in a sexual act. At the time of the sexual act, Clown knew that the victim was under the age of 16 and was more than 4 years younger than he was.
The Federal Bureau of Investigation and the Cheyenne River Sioux Tribe Law Enforcement Division investigated this case. Assistant U.S. Attorney Mikal Hanson prosecuted the case.
Clown was immediately turned over to the custody of the U.S. Marshals Service to begin serving his sentence.
Eagle Butte Man Sentenced for Aggravated Sexual Abuse of A ChildRead the Press Release
United States Attorney Brendan V. Johnson announced that an Eagle Butte, South Dakota, man convicted of Aggravated Sexual Abuse of a Child was sentenced on August 28, 2014, by U.S. District Judge Roberto A. Lange.
Justin Robert LeBeau, age 41, was sentenced to 42 months in custody, 2 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
LeBeau was indicted for Aggravated Sexual Abuse of a Child by a federal grand jury on September 17, 2013. He pled guilty on March 24, 2014.
LeBeau’s conviction is the result of incidents that occurred near Ridgeview between January 19, 1995, and January 18, 1996, when LeBeau knowingly engaged in a sexual act with the victim, who was under the age of 12.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Division. Assistant U.S. Attorney Mikal Hanson prosecuted the case.
LeBeau was immediately turned over to the custody of the U.S. Marshals Service to begin serving his sentence.
District Man Sentenced to 15 Years in Prison for Prostituting and Sexually Abusing 15-Year-Old Victim-Defendant Lured Teenager from Seattle to Work as Prostitute-Read the Press Release
WASHINGTON – Jason Whren, 33, of Washington, D.C., was sentenced today to 15 years in prison for sexually abusing and prostituting a 15-year-old girl, U.S. Attorney Ronald C. Machen Jr. announced.
Whren pled guilty in March 2014, in the Superior Court of the District of Columbia, to charges of first-degree sexual abuse of a child and pandering of a minor. He was sentenced by the Honorable Lynn Leibovitz. Upon completion of his prison term, Whren must register for 10 years as a sex offender.
According to the government’s evidence, Whren contacted the victim on Facebook and began to develop a relationship with her over the telephone and Internet. After sending the victim numerous text messages that contained sexually explicit pictures of himself, Whren was able to entice the victim to travel from Seattle to Washington, D.C. in December 2012.
Upon her arrival in Washington, D.C., Whren immediately engaged in intercourse and other sexual activities with the victim. He then began prostituting the teenager, forcing her to walk the streets to find clients, as well as compelling her to respond to illicit Internet advertisements that he posted. The activities took place between Dec. 1, 2012 and Dec. 5, 2012 in Northeast Washington. Whren’s crimes were ultimately discovered by undercover officers conducting an operation to locate child prostitutes in the District of Columbia.
In announcing the sentence, U.S. Attorney Machen commended the work performed by those who investigated the case from the Metropolitan Police Department’s Narcotics and Special Investigation Division, Human Trafficking Unit. He also praised those who handled the case for the U.S. Attorney’s Office, including Paralegal Specialist D’Yvonne Key, and Assistant U.S. Attorneys Danny Nguyen, Mervin A. Bourne, Jr., and Ari Redbord, who investigated and prosecuted the matter.
14-192Detroit Man Pleads Guilty to Heroin DistributionRead the Press Release
HUNTINGTON, W.Va. – Bashiri Deon McDaniel, also known as “Chevy”, age 36, of Detroit, Michigan, pleaded guilty today to distributing heroin. McDaniel admitted that on December 22, 2011, he sold heroin to what proved to be a confidential informant working with the West Virginia State Police. The transaction occurred at a residence in Point Pleasant, Mason County, West Virginia. As part of his plea, McDaniel further admitted that between the winter of 2011 and March of 2013, he conspired with others to distribute between 400 and 700 grams of heroin originating out of Detroit to various individuals in Mason County and in Gallipolis, Ohio. McDaniel faces up to 20 years’ imprisonment and a $1 million fine when he is sentenced on December 1, 2014.
Chief United States District Judge Robert C. Chambers conducted today’s plea hearing.
The successful investigation was the result of the cooperative efforts of the West Virginia State Police and the United States Drug Enforcement Administration.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Convenience Store Robber Sentenced to over 9 Years in PrisonRead the Press Release
Committed 14 Convenience Store Robberies in Less Than 2 Months
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Omar Hance, age 33, of Baltimore, today to 110 months in prison, followed by three years of supervised release, for a series of commercial robberies. Judge Hollander also ordered Hance to pay $4,310 in restitution.On August 26, 2014, Judge Hollander sentenced Darrell Blackwell, age 27, of Columbia, Maryland, to 42 months in prison, followed by three years of supervised release, for being the get-away driver in two of the robberies.
The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Baltimore City State’s Attorney Gregg L. Bernstein; Baltimore Police Commissioner Anthony W. Batts; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
According to Hance’s plea agreement, between December 23, 2012 and February 7, 2013, Hance and a co-conspirator, Willie Vinson, robbed 14 convenience stores. In each robbery, Hance or Vinson used what appeared to be a black handgun, but was later determined to be a BB gun, to commit the robbery, taking money and store products by the use or threatened use of force against employees and customers of the store.
For example, on February 7, 2013, Darrell Blackwell drove Hance and Vinson to a 7-Eleven on West 33rd Street in Baltimore. Blackwell parked a short distance away and remained in the vehicle while Hance and Vinson, wearing masks, went into the store. Hance pointed what appeared to be a black semi-automatic handgun at the cashier and demanded money. The cashier turned over $200 in cash and $300 worth of cigarettes. Approximately five minutes later, after Blackwell had driven Hance and Vinson to the Royal Farms store on West 41st Street in Baltimore, they entered the store, while Blackwell again remained in the vehicle. Hance and Vinson announced the robbery and the customers left the store. Hance ordered the store employee to open the cash register, pulled out the black handgun and placed it on the counter, telling Vinson to take the gun. Hance then removed cartons of cigarettes, placing them in a large bag, while Vinson emptied the cash from the register. The two then left the store and sped away in the vehicle being driven by Blackwell.
Witnesses identified the vehicle, which was located by the police aviation unit. Other police units followed the vehicle and saw at least one item thrown from the vehicle. The vehicle eventually stopped at a garage at the Greater Baltimore Medical Center and Blackwell, Hance and Vinson ran away. All three were caught a short time later. Hance and Vinson were wearing the same clothing and fit the physical description of the robbers seen in the surveillance video from the stores. The gun was recovered from the road along the route of the robbers and was determined to be a BB gun.
Vinson previously pleaded guilty to his role in the robberies in Baltimore County Circuit Court and was sentenced to 10 years in prison.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department, Baltimore County Police Department and the Baltimore City and Baltimore County State’s Attorney’s Offices for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant United States Attorneys Bonnie S. Greenberg and Scott A. Lemmon, who prosecuted the case.
Chris Brown Pleads Guilty to Assault Charge in Physical Altercation Outside Downtown Washington Hotel-Singer’s Bodyguard Earlier Found Guilty in Case-Read the Press Release
WASHINGTON – Chris Brown, 25, pled guilty today to a misdemeanor charge of simple assault stemming from an incident that took place last year outside a hotel in downtown Washington, U.S. Attorney Ronald C. Machen Jr. announced.
Brown appeared in the Superior Court of the District of Columbia and entered the guilty plea before the Honorable Senior Judge A. Franklin Burgess, Jr.
A second defendant, Christopher Hollosy, 36, was found guilty in April 2014 of simple assault following a trial before the Honorable Senior Judge Patricia A. Wynn, also in the Superior Court of the District of Columbia. Hollosy, of Glendale, Calif., is awaiting sentencing.
“As Chris Brown himself has now finally acknowledged, he punched a man in the face without provocation in the District of Columbia,” said U.S. Attorney Machen. “No matter your status or celebrity, you will be held accountable for such conduct in our city.”
According to a proffer of facts submitted as part of the plea, signed by the defendant as well as the government, the assault took place at about 2:25 a.m. on Oct. 27, 2013, near the front of the W Hotel, in the 500 block of 15th Street NW. The victim, a 20-year-old man, was standing with two female friends near the front of the hotel when Brown exited one of the entrances. The two women approached Brown, and asked him if they could take a picture with him. Brown agreed to the request, and one of the women handed Hollosy a cellphone to take the picture.
While the women were posing for the photo, the victim attempted to take a picture with the group. A verbal altercation ensued, and Brown punched the victim in the face with a closed fist. As stated in the proffer of facts, Brown’s actions were not justified by self-defense. At no point did Brown observe the victim act as the initial aggressor against anyone on the scene.
The charge of simple assault carries a statutory maximum of 180 days in jail and a fine of up to $1,000. Under the plea agreement, the U.S. Attorney’s Office agreed not to seek additional jail time for this offense. The office took into account the fact that Brown accepted responsibility for his criminal conduct and that he served about 80 days of incarceration for a probation violation in California related to his arrest in this case, as well as the views of the victim. Brown remains on probation in California until early 2015.
Judge Burgess agreed with the government’s recommendation and sentenced Brown to time served. He also ordered Brown to pay $150 in court costs.
In announcing the plea, U.S. Attorney Machen commended the work of those who investigated the case for the Metropolitan Police Department (MPD). He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Kalisha Johnson-Clark and Lynette Briggs; Litigation Technology Specialists Aneela Bhatia, Anisha Bhatia, William Henderson, and Paul Howell; Criminal Investigator Melissa Matthews, and Assistant U.S. Attorneys Elizabeth Trosman, Chrisellen Kolb, and John Mannarino, of the Appellate Section.
Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Kendra Briggs and Kevin Andrew Chambers, who prosecuted the case.
14-191Charles City Man Sentenced to More Than Five Years in Prison for Being A Felon in Possession of Stolen FirarmsRead the Press Release
A man who was caught with four stolen firearms after a high speed chase through three counties was sentenced today to more than five years in federal prison.
Franklin Foster, age 22, from Charles City, Iowa, received the prison term after a June 11, 2014, guilty plea to being a felon in possession of firearms.
At the sentencing hearing, the record showed that, on April 12, 2014, defendant fled from officers who were trying to stop him for driving with a suspended driver’s license. Defendant fled from the officers at a high rate of speed, eventually traveling through three counties. During the chase, Foster ran stop signs, drove through ditches, drove the wrong way on streets, drove through residential neighborhoods, and reached speeds in excess of 95 miles an hour. During the chase, Foster made phone calls to authorities, threatening to shoot officers. When officers were finally successful in deflating the tires of Foster’s vehicle with stop sticks, defendant engaged in a stand-off with officers, during which time he displayed firearms. Officers eventually succeeded in persuading Foster to drop the weapons and surrender. Foster was convicted in 2012 of the felony offense of Theft 2nd Degree in the Iowa District Court for Floyd County.
Foster was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Foster was sentenced to seventy-one months’ imprisonment. A special assessment of $100 was imposed. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system. Foster is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney C.J. Williams and investigated by ATF, the Charles City Police Department, the Floyd County Sheriff’s Office, and the Iowa State Patrol.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 14-CR-2021.
Buffalo Man Pleads Guilty to Perjury in Bailey Boys InvestigationRead the Press Release
BUFFALO, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Michael Acoff, 24, of Buffalo, N.Y., pleaded guilty to perjury for lying to the grand jury in the connection with the Baily Boys investigation, before Chief U.S. District Judge William M. Skretny. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney Anthony M. Bruce and Special Assistant U.S. Attorney Paul Parisi, who are handling the case, stated that Acoff told a federal grand jury that he had firsthand knowledge of the January 19, 2011 murder of Harold McCain. The defendant told the grand jury that he received a telephone call from McCain’s alleged killer following the murder asking the defendant to pick him up. Acoff further claimed that he did in fact pick up the alleged killer who then provided the defendant with details of the murder. According to the Indictment, Acoff never received a call from the alleged killer, did not pick him up and did not have conversations regarding the murder of Harold McCain.
Assistant U.S. Attorney Bruce and Special Assistant U.S. Attorney Parisi note that this case is unique because the defendant took actions in an attempt to become a witness in a murder case.
Bailey Boys Gang member Tyrone Brown was indicted, along with six other members and associates, on August 1, 2012. The indictment alleged that Brown murdered Harold McCain in January 2011.
The indictment is the result of an ongoing investigation on the part of the United States Attorney’s Office in close cooperation with the Erie County District Attorney’s Office, under the direction of District Attorney Frank A. Sedita, III, the Buffalo Police Department, under the direction of Commissioner Daniel Derenda, the Federal Bureau of Investigation’s Safe Streets Task Force, the Erie County Sheriff’s Office, under the direction of Sheriff Timothy B. Howard, and the Amherst Police Department, under the direction of Chief John Askey.
Sentencing is scheduled for December 22, 2014 at 10:00 a.m. before Judge Skretny.Buffalo Man Pleads Guilty to Drug ChargesRead the Press Release
BUFFALO, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Jordan Warunek, 22, of Lancaster, N.Y., pleaded guilty to conspiracy to possess with intent to distribute and to distribute fentanyl and was sentenced to two years probation by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Mary Catherine Baumgarten, who is handling the case, stated that between September, 2012 and December 2012, the defendant conspired with others to distribute fentanyl, oxymorphone, and oxycodone, Schedule II controlled substances. During the conspiracy, Warunek purchased 100 mcg fentanyl patches from co-defendant Barbara Moran, which he then sold to an undercover officer on November 30 and December 3, 2012. In addition, the defendant purchased oxymorphone and oxycodone from Barbara Moran. Warunek sold the oxymorphone to an undercover officer on September 20, 2012 and the oxycodone to an undercover officer on December 9, 2012.
The plea and sentencing are the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Division and the Cheektowaga Police Department, under the direction of Chief David Zach.
Barbara Moran, Mary Moran and Gregory Pendziwiatr have all been convicted of similar charges and are awaiting sentencing.Bethel Park Man Pleads Guilty in Mortgage Fraud SchemeRead the Press Release
PITTSBURGH – The founder of a mortgage brokerage firm pleaded guilty in federal court to a charge of conspiracy to commit wire fraud and bank fraud, United States Attorney David J. Hickton announced today.
Richard Stromberg, 49, of Bethel Park, Pa., pleaded guilty before Senior United States District Judge Donetta Ambrose.
In connection with the guilty plea, the court was advised that Stromberg has been in the mortgage broker business since the 1990s. He worked first at a company called Century Three Home Equity and then opened his own business, which was called Great American Equity Mortgage. From in and around August of 2002, and continuing until in and around June of 2008, Stromberg knowingly conspired with various other individuals associated with Great American Equity Mortgage, many of whom were former employees of Century Three Home Equity, to defraud lenders. The conspiracy involved the submission to lenders of loan applications that contained material misrepresentations about the borrower’s financial condition, such as inflating the borrower’s income and assets, and appraisals that overstated the values of the properties serving as collateral for the loans. Stromberg and others also submitted false supporting documentation for the misrepresentations contained in the applications.
Judge Ambrose scheduled sentencing for Jan. 12, 2015. The law provides for a total sentence of 30 years in prison, a fine of $1,000,000, or both, but the plea agreement calls for a five-year term of imprisonment. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Mortgage Fraud Task Force conducted the investigation that led to the prosecution of Stromberg. The Mortgage Fraud Task Force is comprised of investigators from federal, state and local law enforcement agencies and others involved in the mortgage industry. Federal law enforcement agencies participating in the Mortgage Task Force include the Federal Bureau of Investigation; the Internal Revenue Service, Criminal Investigation; the United States Department of Housing and Urban Development, Office of Inspector General; the United States Postal Inspection Service; and the United States Secret Service. Other Mortgage Fraud Task Force members include the Allegheny County Sheriff's Office; the Pennsylvania Attorney General's Office, Bureau of Consumer Protection; the Pennsylvania Department of Banking; the Pennsylvania Department of State, Bureau of Enforcement and Investigation; and the United States Trustee's Office.
Belleville, N.J., Man Admits Role in $15 Million Mortgage Fraud SchemeRead the Press Release
CAMDEN, N.J. – An Essex County, New Jersey, man today admitted conspiring to defraud financial institutions as part of a $15 million mortgage fraud scheme that used phony documents and “straw buyers” to make illegal profits on overbuilt condos, U.S. Attorney Paul J. Fishman announced.
Larry Fullenwider, 63, of Belleville, New Jersey, pleaded guilty before U.S. District Judge Jerome B. Simandle in Camden federal court to a second superseding indictment charging him with one count of conspiracy to commit wire fraud. Using the alias “Stanley Hyde," Fullenwider admitted purchasing four condominiums in North Wildwood, New Jersey, after presenting a false identification and using fake documents to support fraudulent loan applications.
According to the documents filed in this case and statements made in court: Fullenwider was among 11 defendants charged in July 2012 with conspiracy to commit wire fraud and conspiracy to commit money laundering. Two additional defendants, Nicholas Tarsia, 65, of Totowa, New Jersey, and Mashon Onque, 43, of East Orange, New Jersey, were charged in November 2013 with conspiracy to commit wire fraud. Tarsia was also charged with one count of conspiracy to commit money laundering.
Fullenwider’s conspirators, including Timothy Ricks, 46, of East Orange, and Kinard Henson of Ventres, Alabama, who both pleaded guilty before Judge Simandle – Ricks in February 2013 and Henson in February 2014 – located oceanfront condominiums overbuilt by financially distressed developers and negotiated a buyout price with the sellers. They then caused the sales prices for the properties – located in Wildwood Crest and North Wildwood, New Jersey, other locations in New Jersey and in Naples, Florida – to be much higher than the buyout price to ensure large proceeds. Other defendants helped conceal the true sales prices of certain properties through inflated sales contracts and sale and finder’s fee agreements.
Fullenwider served as a “straw buyer” and purchased four North Wildwood properties at the inflated rates in late January and early February of 2007. Fullenwider used the alias “Stanley Hyde” and a false Social Security number to purchase the properties. In order to qualify for mortgage loans, Fullenwider and his conspirators created false documents, such as fake W-2 forms, pay stubs, bank statements and investment statements, to make him (and other straw buyers) appear more creditworthy.
Fullenwider and his conspirators caused fraudulent mortgage loan applications in his name, including the supporting documents, to be submitted to mortgage brokers that the brokers knew were false. Once the loans were approved and the mortgage lenders sent the loan proceeds in connection with real estate closings, Fullenwider received a portion of the proceeds from his conspirators after they had funds wired or checks deposited into various accounts they controlled. Fullenwider’s conspirators also distributed a portion of the proceeds to other members of the conspiracy for their respective roles.
The wire fraud conspiracy charge is punishable by a maximum potential penalty of 30 years in prison and a $1 million fine. Sentencing is scheduled for Jan. 20, 2015.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford in Newark; and IRS–Criminal Investigation, under the direction of Acting Special Agent in Charge Jonathan D. Larsen in Newark, for the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Matthew T. Smith and Jacqueline M. Carle of the U.S. Attorney’s Office Criminal Division in Camden.
14-301Defense counsel: Brian O’Malley Esq., Haddon Heights, N.J.
Fullenwider, Larry Superseding Indictment
Baton Rouge Businessman Pleads Guilty to Environmental Crime and Obstruction of JusticeRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced the conviction of another defendant in connection with a wide ranging investigation into corruption and fraud involving compliance with federal environmental laws.
Earlier today, ROGER J. DIES, age 55, of Zachary, Louisiana, pled guilty before U.S. District Judge Shelly D. Dick to failing to report third party wastewater discharges in violation of the Clean Water Act, in violation of Title 33, United States Code, Section 1319(c)(2)(A), and obstruction of justice, in violation of Title 18, United States Code, Sections 1503 and 2. DIES also admitted to the forfeiture allegations contained in the Indictment, which was previously returned by a federal grand jury in December of 2013. DIES faces a maximum sentence up to 13 years in prison and substantial fines.
According to the written plea agreement entered into between DIES and the United States, DIES owned and operated Baton Rouge Tank Wash (BRTW), a business focused on washing the interior of tanks that hauled chemical and food-grade loads aboard trucks. BRTW was permitted to discharge wastewater resulting from the tank washes into the municipal sewer system, subject to certain requirements and limitations. From in or about March of 2009, however, through September of 2012, DIES failed to notify DPW that he had begun discharging third party wastewater, despite knowing that notification was required by his permit. DIES also failed to submit monthly and daily logs reflecting all wastewater discharged from the facility. DIES was asked about the nature of his business, on numerous occasions, and he routinely misled and/or made false representations, intended to conceal the fact that BRTW was accepting substantial quantities of third party wastewater. Then, in late 2012, as a federal grand jury investigation into the matter was underway, DIES provided the grand jury with false documents that had been created with the goal of disguising BRTW’s third party wastewater business. As the investigation continued, in February of 2013, DIES provided the grand jury with false testimony in which he represented that he had produced all documents that were responsive to the subpoenas, when, in fact, he knew that numerous responsive documents had not been produced.
U.S. Attorney Green stated, “This office is committed to investigating and prosecuting criminal violations of the federal environmental laws. Such laws are in place to protect health and promote safety across our region, and compliance with the laws should not be disregarded as an administrative burden or tossed aside in an effort to maximize profit. We will continue to work with our law enforcement partners to identify and prosecute fraudulent conduct, including in this important area of the law.”
“EPA and its regulatory partners depend on accurate self-reporting to help ensure compliance with the Clean Water Act,” said Ivan Vikin, Special Agent-in-Charge of EPA’s criminal enforcement program in Louisiana. “Despite orders to stop, the defendant continued his illegal actions and falsified reports to cover his tracks. This case demonstrates that those who knowingly put public health at risk can expect to face the consequences in court.”
“The individual charged in this case avoided paying over $24,000 in sewer user fees by under reporting the amount of pollutants discharged to the city’s sewage collection system,” said Louisiana Department of Environmental Quality Secretary Peggy Hatch. “We take issue with any individual or business who side-steps compliance by under reporting in the name of profit. We will continue to work with our federal partners to ensure compliance and keep the playing field level for the people and businesses out there who willing to doing it right.”
This ongoing operation is being conducted by the United States Attorney’s Office, the Criminal Investigation Division of the U.S. Environmental Protection Agency, and the Criminal Investigation Division of the Louisiana Department of Environmental Quality. The matter is being prosecuted by Assistant United States Attorneys Corey R. Amundson, who serves as Chief of the Criminal Division, and Alan A. Stevens, who serves as a Deputy Chief.
Antelope Valley Man Sentenced to Nearly 21 Years in Federal Prison for Producing Child Pornography Related to Molestation of RelativeRead the Press Release
LOS ANGELES – An Antelope Valley man who admitted that he used his camera phone to make videos while he molested a 3-month-old relative was sentenced this afternoon to 250 months in federal prison.
Robert Dale Schrader, 34, of Littlerock, was sentenced by United States District Judge Gary A. Feess, who also ordered that Schrader, once released from prison, will be on supervised release for the rest of his life.
At today’s sentencing hearing, Schrader told Judge Feess there was a connection between looking at online child pornography and his actually molesting children. Schrader described how viewing child pornography created for him a link between children and sexual desire, ultimately leading him to molest children and produce child pornography.
According to court documents, authorities began investigating Schrader early this year after he communicated via email with an undercover law enforcement officer based in England. In those emails, Schrader sent sexually explicit images of an infant, and data embedded in those images led authorities to Schrader’s Littlerock home.
On January 29, investigators executed a federal search warrant at Schrader’s residence, where they rescued the infant who had been molested. Authorities discovered approximately 200 child pornography images and videos depicting the baby.
During the investigation, authorities uncovered evidence that Schrader also molested at least two other victims, a 12-year-old girl and a 9-year-old boy. Schrader currently faces additional charges that have been filed by the Los Angeles County District Attorney’s Office.
Schrader “repeatedly sexually abused his three-month-old [relative],” federal prosecutors wrote in a sentencing memorandum filed with the court. “He found online communities of like-minded individuals and bragged to them about his exploits with children, sharing his photographic trophies with them in hopes of obtaining similar child pornography in exchange. In this way, defendant emboldened and encouraged other individuals to also molest children, and also produce child pornography.”
The case against Schrader is the result of an investigation by the Child Exploitation Investigations Group, a task force based in Long Beach and spearheaded by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). Other agencies actively involved in the group include the Los Angeles Police Department, the FBI and the Los Angeles County Department of Children and Family Services (DCFS).Release No. 14-111
1 September 2014
United States Attorney Edward L. Stanton III Announces over $1 Million in Department of Justice Grants to Local Authorities to Protect Sexual Assault Victims and Fight Gang and Gun ViolenceRead the Press Release
Memphis, TN – Edward L. Stanton III, United States Attorney for the Western District of Tennessee, announced that the City of Memphis has been awarded two Department of Justice grants, together totaling over $1 million, that will help enforce protection orders and protect victims of sexual assault and domestic violence, as well as reduce gang and gun violence. The two grants are a Grant to Encourage Arrest Policies and Enforcement of Protection Orders in the amount of $900,000, and a Project Safe Neighborhoods Grant in the amount of $148,885.
The Grants to Encourage Arrest Policies and Enforcement of Protection Orders are intended to enhance partnerships between criminal justice agencies, victim services providers, and community organizations. The Department of Justice’s Office on Violence Against Women awards these grants, which enhance victim safety and offender accountability in cases of domestic violence, dating violence, sexual assault and stalking by encouraging jurisdictions to implement pro-arrest policies as an effective intervention.
The City of Memphis, in collaboration with the Shelby County Rape Crisis Center, will use the $900,000 grant to improve post-testing requirements for victim notifications, investigations, and prosecution of increased sexual assault cases resulting from the processing of the backlog of sexual assault kits.
The Project Safe Neighborhoods (PSN) Program is a nationwide commitment to reduce gun violence and violent crime. The goal of PSN is to take a hard line against gun criminals and gangs through every available means in an effort to make our streets and communities safer. The PSN task force, which is comprised of federal, state, and local law enforcement and other community members, implements gang violence and gun crime enforcement through tactical intelligence gathering, more aggressive prosecutions, training, deterring juveniles away from the criminal justice system, and developing and promoting meaningful community outreach efforts.
The DOJ Bureau of Justice Assistance’s grant of $148,885 will help PSN and the City of Memphis expand its data analysis and tracking capabilities, in order to ensure more efficient and targeted law enforcement efforts against gang and gun violence.
“Events of recent weeks have served as a tragic reminder of the need to protect victims of domestic violence and hold accountable those who commit violent crimes,” said United States Attorney Edward L. Stanton III. “The new $900,000 grant from the DOJ Office on Violence Against Women will help local authorities process the backlog in sexual assault kits and prosecute those who commit such heinous acts to the fullest extent the law allows. And the Project Safe Neighborhoods grant will bolster our ongoing efforts to track down and bring to justice those who illegally possess and use firearms. Together, these grants total over a million dollars, and they underscore the Department of Justice’s commitment to keeping our citizens safe and protecting victims – especially victims of domestic violence.”
29 August 2014
Yakima Couple Sentenced to Six Months Home Confinement and Three Years’ Court Supervision for Tax CrimesRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Karen L. Kivett, age 61, was sentenced for the crime of filing a false claim for income tax refund, and her husband, William E. Kivett, Jr., age 66, was sentenced for the crime of failing to file an income tax return. Both individuals are residents of Yakima, Washington. Senior United States District Court Judge Fred Van Sickle sentenced Karen and William Kivett to six months of home confinement, to be followed by a 3 year term of court supervision.
According to information disclosed during court proceedings, Karen L. Kivett became involved in a tax fraud scheme, known as the Form 1099-OID “redemption” scheme, after attending a conference. The scheme misuses IRS Forms 1099-OID, which are a type of information return used to report income from certain investments, to claim fictitious income and withholdings which are used to support false claims for tax refunds. On March 17, 2009, Karen Kivett filed a 2007 joint U.S. Individual Income Tax Return (Form 1040) containing a false claim for income tax refund of $436,942. The false refund claim was based on inflated income tax withholdings reported on fabricated Forms 1099-OID and fraudulent taxable interest. The IRS did not pay the false claim.
According to information disclosed during court proceedings, William E. Kivett, Jr. willfully failed to file an income tax return for the 2008 year reporting gross income he and his wife earned. In 2008, William E. Kivett, Jr. earned $40,759 in wages while employed as an investigative analyst for the U.S. Department of Homeland Security Immigration and Customs Enforcement. In that year, his wife earned $35,068 in commissions selling health care products for a multi-level marketing company. William Kivett also failed to timely file income tax returns for the years 2006, 2007, 2009, 2010 and 2011, reporting his wages from Department of Homeland Security. According to information disclosed during court proceedings, William Kivett is retired from the Department of Homeland Security.
Michael C. Ormsby, U.S. Attorney for the Eastern District of Washington, said, "The privilege of living well in the United States carries certain burdens, one of which is the voluntary payment of taxes. The system only works when everyone truthfully reports their income, pays their fair share of taxes, and does not make false claims for tax refunds."
The investigation was conducted by the Internal Revenue Service, Criminal Investigation. The case was prosecuted by George J.C. Jacobs, III, an Assistant United States Attorney for the Eastern District of Washington.
13-CR-02093-FVS
Woman Pleads Guilty to Conspiracy to Defraud IRS by Filing False Income Tax ReturnsRead the Press Release
BUFFALO, N.Y. – U.S. Attorney William J. Hochul, Jr., announced today that Dominique Taylor, 29, of Buffalo, New York, pleaded guilty to conspiracy to defraud the IRS before Chief U.S. District Judge William M. Skretny. The charge carries a maximum sentence of 10 years in prison, a $250,000 fine, or both.
Assistant U.S. Attorney Trini E. Ross, who is handling the case, stated that the defendant conspired with others and submitted false claims for income tax refunds. Blank W-2 forms were obtained from local business establishments for use in committing this fraud. Taylor also had others obtain legitimate W-2 forms from actual employers and then altered said W-2s to create new W-2s by changing income and withholding information so as to maximize the refund to be obtained. In working with others, a portion of the refund received would go to the defendant.
The conviction is the result of an investigation on the part of Special Agents of the Internal Revenue Service, Criminal Investigation Division under the direction of Special Agent-In-Charge Toni M. Weirauch.
Sentencing is scheduled for December 4, 2014, before Chief Judge William M. Skretny.Week in Review – South BendRead the Press Release
South Bend, Indiana — The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS
- Santiago Rosario Ortiz-Ruvalcaba, 19, of South Bend, Indiana pled guilty to the felony offense of knowingly receiving a firearm in and effecting interstate or foreign commerce. This charge was filed as a result of an investigation by Bureau of Alcohol, Tobacco, Firearms and Explosives. Sentencing has been set for 12/4/2014. This case is being prosecuted by Assistant United States Attorney Frank Schaffer.
- John D. Burke, Jr., 33, of Mishawaka, Indiana pled guilty to the felony offense of possession of child pornography. The magistrate judge is recommending that the district court accept the tendered guilty plea. Parties have 14 days in which to object to the magistrate judge’s recommendation. This charge was filed as a result of an investigation by Federal Bureau of Investigation. Sentencing has been set for 12/4/2014. This case is being prosecuted by Assistant United States Attorney John Maciejczyk.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS
- Matthew Mobley, 26, of South Bend, Indiana was sentenced to 57 months imprisonment with 3 years supervised release after pleading guilty to the felony offense of knowingly and intentionally distributing crack. According to documents filed in this case, in May 2013, Mobley sold crack to an undercover source. This case was the result of an investigation by the Drug Enforcement Administration. This case was prosecuted by Assistant United States Attorney Frank Schaffer.
- Jorge Campos, 41, of Goshen, IN was sentenced to 24 months imprisonment with 3 years supervised release after pleading guilty to the felony offense of conspiracy to distribute cocaine. According to documents filed in this case, from September 2013 up to and including October 2013, Campos was involved in the distribution of cocaine in the Northern District of Indiana. On several occasions, Campos delivered cocaine to an undercover source. This case was the result of an investigation by the Drug Enforcement Administration. This case was prosecuted by Assistant United States Attorney Frank Schaffer.
Week in Review – HammondRead the Press Release
Hammond, Indiana — The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS
- Ola Mohammad, 33, of Bridgeview, Illinois pled guilty to the felony offense of knowingly and willfully conspiring to defraud the United States Department of Agriculture’s (USDA) benefit program and defrauding the USDA benefit program through wire fraud. These charges were filed as a result of an investigation by Federal Bureau of Investigation. Sentencing has been set for 11/20/2014. This case is being prosecuted by Assistant United States Attorney Diane Berkowitz.
- Piljo Piljagic, 31, of Chicago, Illinois, pled guilty to the felony offense of illegal entry to United States. This charge was filed as a result of an investigation by Homeland Security. Sentencing has been set for 11/12/2014. This case is being prosecuted by Assistant United States Attorney Randy Stewart.
- Tomika Yates, 40, of Grand Prairie, Texas, pled guilty to the felony offense of
conspiracy to defraud the United States and aiding & abetting. This charge was filed as a result of an investigation by the United States Postal Service. Sentencing has been set for 11/14/2014. This case is being prosecuted by Assistant United States Attorney Toi Houston.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITION
- Alanden O. Johnson, 44 years old, of Gary, Indiana, was sentenced to a 41 month term of imprisonment, followed by a three years term of supervised release, on her guilty plea to the felony offense of conspiracy to distribute marijuana. According to documents filed in this case, between 2006 and 2008 in and around Gary, Indiana, Johnson was part of a drug distribution network. This case was the result of an investigation by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Internal Revenue Service. This case was prosecuted by Assistant United States Attorney Jacqueline Jacobs.
Week in Review – Fort WayneRead the Press Release
Fort Wayne, Indiana — The United States Attorney’s Office announced the following activity in Federal Court:
PLEA
- Julian Zamora, 41, of Defiance, Ohio pled guilty to the felony offense of distributing 100 grams or more of a mixture or substance containing a detectable amount of heroin. The magistrate judge is recommending that the district court accept the tendered guilty plea. Parties have 14 days in which to object to the magistrate judge’s recommendation. This charge was filed as a result of an investigation by Drug Enforcement Administration and the Fort Wayne Police Department. Sentencing will be set by separate order by the district court. This case is being prosecuted by Assistant United States Attorney Anthony W. Geller.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
Vancouver, Washington Gang Member Sentenced to 5 Years in Prison for Illegal Gun PossessionRead the Press Release
A 23-year-old Vancouver, Washington gang leader was sentenced today to five years in prison for being a felon in possession of a firearm, announced U.S. Attorney Jenny A. Durkan. CARLOS CARMONA-GONZALEZ was convicted Wednesday, February 12, 2014, following a two day jury trial. At the sentencing hearing U.S. District Judge Ronald B. Leighton noted that gangs are a serious problem that operate on fear and paralyze communities. The judge imposed three years of supervised release following prison.
In July 2013, CARMONA-GONZALEZ was seen by three police officers and one civilian eyewitness placing a rifle wrapped in a jacket in his friend’s car. The car was later stopped by police and officers recovered the pink rifle that had been wrapped in a jacket. The rifle had been stolen from a garage. CARMONA-GONZALEZ is a prominent member of the Surenos gang in the Southwest Washington region. CARMONA-GONZALEZ is prohibited from possessing firearms because he has four previous felony convictions, including possession of MDMA (Clark County 2011), attempted assault (Clark County 2009), Escape (Clark County 2008) and assault (Clark County 2008).
CARMONA-GONZALEZ was investigated by the Longview Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives (BATF) with assistance from the Vancouver Police Department. The case was prosecuted by Assistant United States Attorneys Roscoe Jones and Jill Otake.Two California Men Sentenced in Federal Court for Conspiracy to Traffic in Methamphetamine, Using the U.S. MailsRead the Press Release
TO FACILIATE DRUG TRAFFICKING AND MONEY LAUNDERING
CONCORD, NEW HAMPSHIRE – Michael Collins, 38, of Bellflower, California, Keith Cotlage, 45, of Pasadena, California were sentenced in United states District Court for the District of New Hampshire to 18 months and 60 months respectively for conspiracy to possess with the intent to distribute methamphetamine, conspiracy to use the U.S. Mails to facilitate drug trafficking offenses, and conspiracy to commit money laundering, announced United States Attorney John P. Kacavas.
As part of their plea agreements, the defendants admitted that beginning in 2007, Cotlage shipped quantities of methamphetamine secured inside of U.S. Postal “Express Mail” packages from California to Collins, who at the time resided in New Hampshire. Upon receiving the packages, Collins distributed a portion of the methamphetamine to others and kept a portion for his own personal use. Upon generating proceeds from the sale of the methamphetamine, Collins’ sent additional funds to Cotlage via Green Dot prepaid debit cards. Cotlage then used a Green Dot card linked to Collins’ Green Dot account to withdraw the funds in California after which he purchased additional quantities of methamphetamine which he again shipped to Collins. Collins also transferred money to Cotlage via Western Union.
In March of 2008, law enforcement intercepted an “Express Mail” package sent from Cotlage to Collins which was found to contain approximately 28 grams of methamphetamine. During an undercover operation, the package was subsequently delivered to Collins while he was at work at a construction site in Bethlehem. Immediately upon observing Collins take possession of the package, law enforcement attempted to arrest Collins; however he fled and was arrested after a brief foot pursuit.
Law enforcement subsequently determined through U.S. Postal “Express Mail” shipping labels and Green Dot records that from July, 2007 to March, 2008, Collins and Cotlage conspired to ship approximately ten additional packages containing methamphetamine.
Collins was also sentenced to three years of supervised release while Cotlage was sentenced to a four years of supervised release which they will begin after they are released from prison. During the period of supervised release, the defendants’ behaviors will be monitored by the United States Probation Office. If the defendants violate the terms and conditions of their release, they could be sent back to prison.
The pleas were the result of an investigation conducted by the United States Drug Enforcement Administration Resident Offices in New Hampshire, the United States Postal Inspection Service, the Internal Revenue Service – Criminal Investigation, and the Bethlehem and Lancaster Police Departments. The case was prosecuted by Assistant United States Attorney Jennifer Cole Davis.
Transport Company Executive Indicted on Federal Fraud ChargesRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces the return by a grand jury of an indictment charging Karl Stehlin (59, Tampa) with conspiracy to commit wire fraud and wire fraud. If convicted, he faces a maximum penalty of twenty years in federal prison on each count. The indictment also notifies Stehlin that the United States intends to forfeit $2,000,000, which is alleged to be traceable proceeds of the charged criminal conduct.
According to the indictment, from August 2008 through September 2009, Stehlin conspired to defraud a Minnesota factoring firm. “Factoring” is a financial transaction in which a business sells its accounts receivable (invoices) to a third party (the factor) at a discount. The factor advances a percentage of the face amount of the invoice to the business and collects the full amount from the customer in due course. The factor then pays the balance to the business, minus the factor’s commission and other fees.
In this case, the indictment alleges that the conspirators caused two trucking companies, JK Transport Express Inc. and JK Express Transport Inc., and a warehouse company, JK Transport Distribution and Warehouse, LLC, to enter into factoring agreements with Transportation Funding Group, Inc., (TFG). The conspirators fraudulently represented to TFG that the trucking companies and warehouse company were doing business with several clients, when in fact the clients were fictitious. The conspirators allegedly created false and fraudulent invoices and bills of lading supposedly for services performed by the trucking and warehouse companies for the fictitious clients. In addition, they opened UPS store postal boxes and virtual offices and took other steps to make their activities appear real. The indictment further alleges that the conspirators used proceeds they received from later fraudulent invoices to repay earlier ones, thereby creating the illusion that the trucking and warehouse companies were providing services to the fictitious companies. As a result of the fraud, the factoring firm (TFG) suffered substantial losses.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney Robert A. Mosakowski.
St. Petersburg Landlord Pleads Guilty to EPA Lead Paint Disclosure OffenseRead the Press Release
Tampa, FL – United States Attorney A. Lee Bentley, III announces that Michael Moshe Shimshoni (56, Tierra Verde) pleaded guilty today to failing to provide a federally approved lead-based paint hazard brochure to a tenant. Shimshoni faces a maximum penalty of one year in federal prison and a $25,000 fine for each day of the violation. As part of a plea agreement, Shimshoni also agreed to pay restitution to the Environmental Protection Agency (“EPA”) by no later than the time of sentencing, in the amount of $50,000, for costs incurred by the EPA to remove and replace lead-contaminated soil at 1075 17th Avenue North, St. Petersburg, Florida. A sentencing date has been scheduled for November 7, 2014.
According to the plea agreement, Shimshoni served as a property manager and lessor of commercial and residential properties through Pinellas Properties, Inc., and Affordable Realty and Property Management, Inc., among other entities. As part of this business, he leased various rental units located at 1075 17th Avenue North in St. Petersburg. The property and rental units qualified as “target housing” under the Toxic Substances Control Act, the Lead Hazard Reduction Act, and related federal laws and regulations.
Federal law and regulations require lessors to provide a prospective tenant of target housing, before a tenant is obligated under any lease, with:
- A Lead Warning Statement with the following language: Housing built before 1978 may contain lead-based paint. Lead from paint, paint chips, and dust can pose health hazards if not managed properly. Lead exposure is especially harmful to young children and pregnant women. Before renting pre-1978 housing, lessors must disclose the presence of lead-based paint and/or lead based paint hazards in the dwelling. Lessees must also receive a federally approved pamphlet on lead poisoning prevention;
- A statement by the landlord disclosing the presence of any known lead-based paint and/or lead-based paint hazards in the target housing or indicating no knowledge of the presence of lead-based paint and/or lead-based hazards;
- A list of records or reports of lead-based paint and/or lead-based paint hazards or an indication that no records or reports are available; and
- A statement by the tenant affirming the receipt of a lead hazard information pamphlet approved by the EPA alertingtenants of the dangers of lead paint and measures to reduce the risk of lead-based hazards.
On or about April 1, 2009, Shimshoni knowingly and willfully failed, and caused the failure to provide a tenant at 1075 17th Avenue North, with a federally approved lead-based paint hazard brochure such as the EPA pamphlet entitled “Protect Your Family From Lead In Your Home.”
"The dangers associated with lead paint are well established and every person deserves to know whether his or her residence is contaminated. The defendant's disregard for his tenants' health cannot - and will not - be tolerated," said Maureen O'Mara, Special Agent in Charge of EPA's criminal enforcement program in Florida.
This case was investigated by EPA Criminal Investigations Division. It is being prosecuted by Assistant United States Attorney Matthew J. Mueller.
Spearfish Woman Indicted for Unlawfully Receiving Social Security PaymentsRead the Press Release
United States Attorney Brendan V. Johnson announced that a Spearfish, South Dakota, woman has been indicted by a federal grand jury for Supplemental Security Income Benefits Fraud and False Statement.
Linda Lee Anderson, age 66, was indicted on August 26, 2014. She appeared before U.S. Magistrate Judge Veronica L. Duffy on August 27, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and $200 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Anderson fraudulently receiving Social Security Supplemental Security Income payments between 2010 and 2012 by making false statements to the Social Security Administration.
The charges are merely accusations and Anderson is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Department of Social Security, Office of the Inspector General. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.
Anderson was released on bond pending trial. A trial date has been set for November 4, 2014.