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Monday 9 June 2014
Rosebud Man Sentenced for Assaulting A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota, man charged with Assaulting, Resisting, Opposing, and Impeding a Federal Officer pled guilty to and was sentenced on June 4, 2014, by U.S. Magistrate Judge Mark A. Moreno.
Jeremy Waln, age 33, was sentenced to 4 months in custody and a $25.00 special assessment to the Federal Crime Victims Fund.
The conviction stems from an incident that took place on February 14, 2013, when Waln was being investigated for assaulting an individual. Waln was detained and placed in a squad car. While talking to witnesses of the alleged assault, the officer noticed that Waln was kicking the windows in the squad car. Waln’s legs were shackled and he was taken to the Rosebud Jail for booking, where he was uncooperative and spit in the officer’s face.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Tim Maher.
Waln was ordered to self-report to the custody of the U.S. Marshals Service on June 20, 2014.
Pierre Man Sentenced for Distribution of MethamphetamineRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pierre, South Dakota, man convicted of Distribution of a Controlled Substance was sentenced on May 29, 2014, by U.S. District Judge Roberto A. Lange.
Edwin Clayton Cook, Jr., age 38, was sentenced to 12 months and 1 day in custody, 3 years of supervised release, a $1,000 fine, and a $100 special assessment to the Federal Crime Victims Fund. He is also to pay $798.45 for electronic monitoring.
Cook was indicted by a federal grand jury on November 14, 2013. He pled guilty to the Indictment on March 10, 2014.
The conviction arose from an incident that occurred on June 12, 2013, when Cook arranged a meet with an undercover agent and sold the agent 13.0 grams of methamphetamine for $1,000.00.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Jay Miller prosecuted the case.
Cook will report to the U.S. Marshals Service on June 13, 2014, to begin serving his sentence.
Owner of New York Construction Companies Pleads Guilty to Tax FraudRead the Press Release
Eric Anderson, of Dix Hills, New York, pleaded guilty today in the U.S. District Court for the Eastern District of New York to the willful failure to collect and pay over employment taxes, the Justice Department and Internal Revenue Service (IRS) announced.
According to court documents, Anderson owned three construction companies located in Dix Hills: Anderson Framing, Anderson Enterprise and Anderson Trim Specialty. Anderson corruptly endeavored to obstruct the IRS between 2006 and 2008 by using a check cashing service to cash over $10.5 million of gross receipts checks paid to his construction companies. He concealed his check cashing activities from his tax return preparer so that the income was not included on the companies’ tax returns. Anderson paid his employees in cash while failing to collect and pay over employment taxes to the IRS. He also diverted cash receipts earned by his companies for his own personal use. Finally, after learning of the criminal investigation, Anderson shredded business records and lied to IRS investigators about his use of the check cashing service. The estimated tax loss resulting from Anderson’s activities is between $1 and $2.5 million.
Anderson faces a statutory potential maximum sentence of five years in prison and a potential fine of up to $250,000. U.S. District Judge Arthur Spatt set sentencing for Sept. 19, 2014.
The case was investigated by IRS-Criminal Investigation and is being prosecuted by Trial Attorneys Mark Kotila and Jeffrey Bender of the Justice Department’s Tax Division.
Owner of United Credit Recovery Charged in $76 Million SchemeRead the Press Release
Orlando, FL – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Leonard G. Potillo, III (48, Longwood) with 7 counts of wire fraud, 10 counts of bribery of a bank official, and 16 counts of money laundering. If convicted, Potillo faces a maximum penalty of 20 years in federal prison for each wire fraud charge, up to 30 years in prison for each bribery charge and up to 10 years in federal prison on each of the money laundering charges. The indictment also notifies Potillo that the United States intends to forfeit the following assets which are alleged to be traceable to proceeds of the offenses: bank accounts totaling approximately $3.9 million in deposits; a 2008 Maserati; a 2007 Ferrari; a 2014 Jaguar; a 2010 Aston Martin; two vehicles located in Scotland; three residences located in Florida, one residence in Montreal, Canada and a residence in Littlejohn, Edinburgh, Scotland. The United States is also seeking a money judgment in the amount of at least $76 million, the proceeds of the charged criminal conduct.
Potillo was arrested at his residence this morning and will make his initial appearance before United States Magistrate Judge David Baker at 3:00 p.m. today, in Orlando.
According to the indictment, Potillo is the manager/owner of United Credit Recovery, LLC (UCR). UCR purchased charged-off consumer overdraft debt from financial institutions for the purposes of collecting debt and selling the debt to third-parties, at a profit. UCR advertised on its website that it purchased in excess of $10 billion of overdraft debts from financial institutions such as U.S. Bank, N.A. and Wells Fargo, N.A, among others. When purchasing debt portfolios from U.S. Bank, Potillo allegedly bribed a U.S. Bank officer with more than $1 million for inside information relating to the bank’s auction of overdraft debt portfolios. The indictment further alleges that after purchasing debt portfolios from financial institutions, UCR re-sold them to third-party debt purchasers. When selling its debt portfolios, UCR misrepresented the quality of the debt to the third-party debt purchasers as premium quality debt, when in fact it was lower quality debt. UCR also sold the debt portfolios with fictitious “Affidavits of Correctness/Assignments” that were created by UCR on a mass scale. By making such misrepresentations, UCR and Potillo profited at least $76 million from the scheme. With those illegal proceeds, Potillo spent hundreds of thousands of dollars on prime real estate holdings in the United States and abroad, and purchased luxury vehicles.
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 the Internal Revenue Service – Criminal Investigation and the United States Secret Service, with the assistance of the Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP). It will be prosecuted by Assistant United States Attorney David Haas.
(Download Factual Basis )
Ohio Valley Men Convicted on Prescription Drug Trafficking ChargesRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Matthew Lyman, Public Affairs Specialist/Community Outreach CoordinatorWHEELING, WEST VIRGINIA – Two Ohio Valley men have been convicted for their roles in a large prescription painkiller trafficking ring.
United States Attorney William J. Ihlenfeld, II announced that Jordan SORGE, age 22, of Wheeling, W.Va., and Richard W. HERCULES, 50, of McMechen, W. Va., entered guilty pleas before U.S. District Court Judge Frederick P. Stamp, Jr.
SORGE pleaded guilty to “Conspiracy to Use a Communication Facility to Facilitate the Distribution of a Controlled Substance.” HERCULES pleaded guilty to “Aiding and Abetting the Distribution of Oxycodone.”
SORGE faces up to 4 years in prison and a $500,000 fine. HERCULES faces up to 20 years and a $1 million fine.
SORGE and HERCULES were part of group of fifteen people who were indicted in February at the culmination of a sixteen month investigation into the redistribution of oxycodone and other prescription drugs that came to the Ohio Valley from northern Ohio and Detroit, Michigan. Over the course of the investigation thousands of pills were recovered by agents via controlled purchases and court-authorized searches.
The cases were investigated by the Ohio Valley Drug Task Force, which includes officers and agents from the Wheeling Police Department, the Ohio County Sheriff’s Department, the West Virginia State Police-BCI, and the U.S. Drug Enforcement Administration.Assistant United States Attorney John C. Parr is prosecuting the cases on behalf of the government.
Oglala Man Charged with Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that an Oglala, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Aric Singing Goose, age 26, was indicted on April 22, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on May 23, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 10 years in custody and/or a $250,000 fine, a mandatory minimum period of at least 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between January 21, 2014, and February 21, 2014, Singing Goose knowingly failed to register and update his registration.
The charge is merely an accusation and Singing Goose is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.Singing Goose was released on bond pending trial. A trial date has been set for July 29, 2014.
Morris County, N.J., Couple Charged with Conspiracy to Commit Health Care FraudRead the Press Release
NEWARK, N.J. – A Morris County, N.J., couple who owned a mobile diagnostic testing company were arrested this morning and charged with conspiring to commit health care fraud, U.S. Attorney Paul J. Fishman announced.
Nita K. Patel, 51, and Kirtish N. Patel, 51, of Rockaway, N.J., owners and operators of Biosound Medical Services Inc. and Heart Solutions of Parsippany, N.J., were charged by complaint with one count of conspiracy to commit health care fraud. They made their initial appearance today before U.S. Magistrate Judge James B. Clark III in Newark federal court.
According to the complaint and statements made in Court:
From June 2012 through June 2014 Nita and Kirtish Patel owned and operated Biosound Medical Services and Heart Solutions (collectively, “Biosound”), which were mobile diagnostic companies and approved Medicare providers. The companies provided mobile diagnostic testing, including ultrasounds, echocardiograms, and nerve conduction studies.
Biosound technicians would travel to the office of a primary care physician in the New York and New Jersey area to conduct diagnostic testing. Biosound was responsible for sending the tests to a “reading physician” – an appropriate specialist who would interpret the results. After the reading physician prepared a report, Biosound was responsible for providing it to the referring physician. Biosound would bill Medicare and other payors for the diagnostic testing, the reading physician’s interpretation of the results and the report.
According to the complaint, about half of the diagnostic reports generated by Biosound in the past two years had a photocopied signature from a reading physician when no physician had actually seen, reviewed or interpreted the results. Rather than pay compensation to a reading physician, Kirtish N. Patel allegedly would interpret the diagnostic results himself, and Nita K. Patel would either photocopy or electronically cut and paste a physician’s signature onto a diagnostic report that was drafted by an employee of Biosound and forwarded to the referring physician who ordered the testing.
The charge of conspiracy to commit health care fraud carries a maximum penalty of 10 years in prison and a $250,000 fine. Nita K. Patel and Kirtish N. Patel were each released on $100,000 unsecured bond, with travel restricted to New Jersey unless given prior approval by pretrial services, and they must surrender their United States and India passports.
U.S. Attorney Fishman credited special agents of the FBI under the direction of Special Agent in Charge Aaron T. Ford; and the U.S. Department of Health and Human Services – Office of the Inspector General, under the direction of Special Agent in Charge Tom O’Donnell, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Danielle Alfonzo Walsman of the U.S. Attorney’s Office Health Care and Government Fraud Unit.
U.S. Attorney Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $535 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
14-206
Defense counsel:
Kirtish Patel: Richard Asche Esq., New York
Nita Patel: John Yauch Esq., Assistant Federal Public Defender, NewarkPatel, Nita and Kirtish Complaint
Modesto Man Sentenced to 18 Years in Prison for Methamphetamine, Marijuana, and Firearm ChargesRead the Press Release
SACRAMENTO, Calif. — Ramiro Suarez, 47, of Modesto, was sentenced today by United States District Judge William B. Shubb to 18 years in prison for conspiracy to manufacture, to distribute and to possess with intent to distribute marijuana, distribution of methamphetamine, possession with intent to distribute methamphetamine, and being an alien in possession of a firearm, United States Attorney Benjamin B. Wagner announced.
According to court documents, from November 17, 2008, until July 14, 2009, Suarez conspired with a number of people to cultivate and distribute more than a thousand marijuana plants, and distribute more than a kilogram of methamphetamine.
According to statements made during the sentencing hearing today, Suarez sold undercover agents an AK-47 and ammunition magazine, and during the search of Suarez’s home, agents found methamphetamine, marijuana seeds, three more firearms, processed marijuana, and a digital scale.
This case was the product of an investigation by the Drug Enforcement Administration (DEA), the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the California Department of Justice, and the Mountain and Valley Marijuana Investigation Team (MAVMIT). Assistant United States Attorneys Heiko Coppola and Olusere Olowoyeye prosecuted the case.
Mission Man Sentenced for Assault with A Dangerous WeaponRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of two counts of Assault with a Dangerous Weapon was sentenced on May 29, 2014, by U.S. District Judge Roberto A. Lange.
Celso Estrada, age 50, was sentenced to 47 months in custody on one count and 37 months in custody on the second count, to be served concurrently, and a $200 special assessment to the Federal Crime Victims Fund.
Estrada was indicted for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury by a federal grand jury on November 19, 2013. Estrada pled guilty to two counts of Assault with a Dangerous Weapon on February 19, 2014.
On November 16, 2013, after an argument, Estrada became upset and stabbed two people with a knife at an apartment complex in Mission.
This case was investigated by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Tim Maher prosecuted the case.
Estrada was immediately turned over to the custody of the U.S. Marshals Service.
Mission Man Charged with Child Abuse and AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Child Abuse and Assault Resulting in Serious Bodily Injury.
Gilbert Young, age 42, was indicted on May 13, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on May 29, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about February 16, 2013, in Mission, Young assaulted a child under 7 years of age, and the assault resulted in serious bodily injury.
The charges are merely accusations and Young is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Young was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Mexican National Pleads Guilty to Violating the Federal Firearms and Immigration LawsRead the Press Release
ALBUQUERQUE – Luis Anthony Tobanche, 34, a Mexican national illegally present in the United States, pleaded guilty this afternoon to violating the federal firearms and immigration laws.
Tobanche was arrested in March 2013, based on a criminal complaint charging him with being a felon in possession of a firearm. Tobanche was indicted in Aug. 2013 and charged with unlawfully possessing firearms and ammunition on March 5, 2013, and unlawful reentry by a previously deported alien. At the time, Tobanche was prohibited from possessing firearms or ammunition because he previously had been convicted of aggravated battery and assault with a deadly weapon, cocaine trafficking and heroin trafficking in 2006, and battery on a peace officer in 2010.
According to court filings, Tobanche unlawfully possessed firearms and ammunition on March 5, 2013, while on the grounds of the Sandia Casino on Sandia Pueblo, N.M. The Casino’s video surveillance cameras recorded a shooting episode in a parking garage during which Tobanche ran towards the elevators after being shot in the neck. Video-footage reveals that Tobanche pointed a firearm towards the vehicle from which the shot was fired. After the vehicle drove away, Tobanche entered the elevator and handed a silver handgun to another person. Deputies of the Bernalillo County Sheriff’s Office subsequently recovered the firearm from that person.
In entering his guilty plea, Tobanche admitted possessing a pistol, a shotgun and ammunition on March 5, 2013, despite his status as a convicted felon. Tobanche also admitted that he previously was deported from the United States in June 2010 and had not obtained authorization to reenter the United States.
Tobanche has been in federal custody since his arrest and remains detained pending sentencing, which has yet to be scheduled. At sentencing, Tobanche faces a statutory maximum penalty of ten years in prison.
This case was investigated by the Albuquerque office of the FBI, the Sandia Pueblo Tribal Police Department and the Bernalillo County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorney Jon K. Stanford. The case is being prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
McLaughlin Man Sentenced for Assault by Striking, Beating and WoundingRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota, man convicted of Assault by Striking, Beating and Wounding was sentenced on May 29, 2014, by U.S. Magistrate Judge William D. Gerdes.
Lemar Chasing Hawk, age 53, was sentenced to 10 months in custody and a $25 special assessment to the Federal Crime Victims Fund.
Chasing Hawk was indicted by a federal grand jury on August 21, 2013. He pled guilty to a Superseding Information on April 17, 2014.
The conviction stems from an incident occurring on June 19, 2013, when a Bureau of Indian Affairs officer was notified that an adult female victim needed assistance. Upon his arrival, the officer made contact with the victim who was at a neighbor’s house and learned that Chasing Hawk had come over to the house, attempted to grab the victim by her hair, pulled her out the back door, and took her back to his apartment next door. Chasing Hawk struck the victim on the back of the head as he was reaching for her to drag her out of the apartment. At the time of the assault, Chasing Hawk and the victim were in an intimate relationship.
This case was investigated by the Bureau of Indian Affair, Standing Rock Law Enforcement Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Chasing Hawk was immediately turned over to the custody of the U.S. Marshals Service.
Manderson Man Charged with Sexual AbuseRead the Press Release
United States Attorney Brendan V. Johnson announced that a Manderson, South Dakota, man has been indicted by a federal grand jury on one count of Aggravated Sexual Abuse and two counts of Sexual Abuse of a Minor.
Thomas Rowland, age 22, was indicted on May 20, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on June 2, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is life in custody and/or a $250,000 fine, a lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Rowland engaging in sexual acts with a female child between March 1 and April 30, 2013.
The charges are merely accusations and Rowland is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.Rowland was released on bond pending trial. A trial date has been set for August 5, 2014.
Lower Brule Man Sentenced for Assault Resulting in Substantial Bodily Injury to A Spouse or Dating PartnerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man convicted of Assault Resulting in Substantial Bodily Injury to a Spouse or Dating Partner was sentenced on May 28, 2014, by U.S. District Judge Roberto A. Lange.
Shane Coleman, age 25, was sentenced to 15 months in custody, 2 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Coleman was indicted by a federal grand jury on November 14, 2013. He pled guilty to an Information on March 11, 2014.
The conviction stems from an incident on July 11, 2013, when Coleman and the victim, who have been involved since 2009, began to argue. The victim gathered up her things and their children and attempted to leave the residence.
The two began to argue again. Coleman picked up the victim and threw her to the floor, knocking the wind out of her. Coleman then came up behind the victim, put his arm around her neck, and began to strangle her. The victim was on one knee on the floor. She could feel Coleman squeezing her neck and she eventually lost consciousness. When the victim regained consciousness, she was able to leave the residence with her children.
This case was investigated by the Bureau of Indian Affairs. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Coleman was immediately turned over to the custody of the U.S. Marshals Service.
Local Chemical Engineer Indicted on Federal Charges in Trade Secrets CaseRead the Press Release
DALLAS — A Ph.D. chemical engineer from Terrell, Texas, Dr. Mattias Tezock, self-surrendered to special agents of the FBI this morning on felony offenses outlined in a federal indictment returned last week by the grand jury, stemming from his use of trade secrets stolen from his former employer, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Dr. Tezock is charged with four counts of unauthorized possession of stolen trade secrets. He made his initial appearance is federal court this afternoon in Dallas and was released on bond.
From April 12, 2004, to September 30, 2005, Tezock was employed as a chemical engineer at Voltaix, LLC, a multinational corporation, headquartered in North Branch, New Jersey, which manufactures specialty chemicals for the semiconductor and solar energy industries. Over approximately 25 years and at great expense, according to the indictment, Voltaix developed a specific, industry-leading and exacting secret and confidential scientific method to make and purify germane to specifications required by its customers. In particular, Voltaix developed a particular secret and confidential recipe that it uses to manufacture high-purity germane, as required by its customers. It has taken reasonable measure to keep this information secret and confidential and it derives economic value from it not being known to, or readily ascertainable through proper means, by the public.
As part of his employment at Voltaix, Tezock signed and agreed to an “Employment and Non-Compete Agreement” and an “Employee Confidentiality Acknowledgement Form” when he joined the company, which prohibited him from improper disclosures of Voltaix’s confidential, proprietary and trade secret information. While he was employed at Voltaix, Tezock primarily worked on the pre-commissioning of Voltaix’s germane processing and manufacturing plant. Tezock’s employment was terminated as of September 30, 2005.
The indictment alleges that Tezock later moved to Terrell and opened Metaloid Precursors, Inc., a company set up to manufacture, produce, purify and sell the specialty gas, germane. According to the indictment, from September 30, 2005 until at least March 17, 2011, Tezock unlawfully possessed confidential, proprietary and trade secret information from Voltaix, and he attempted to convert, and did convert, that information for his economic benefit by developing, manufacturing, marketing and selling the germane. After his termination from Voltaix, Tezock almost immediately began taking steps to misappropriate Voltaix’s confidential, proprietary and trade secret recipes and process for manufacturing and purifying high-purity germane gas (GeH4), a hazardous chemical, by creating a competing business entity and attempting to steal business from Voltaix by actively soliciting at least one of Voltaix’s customers.
In addition, according to the indictment, during subsequent civil litigation brought by Voltaix, Tezock took steps to hide his possession of this trade secret information by deleting files or manipulating computer evidence in an attempt to prevent Voltaix from learning the scope and magnitude of his breach. He also provided false testimony about it under oath in a deposition in the civil litigation.
An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, each count of theft of trade secrets carries a maximum statutory penalty of 10 years in federal prison and a $250,000 fine. The indictment also includes a forfeiture allegation that would require Tezock, if convicted, to forfeit to the government all proceeds traceable to the offense. Restitution could also be ordered.
The FBI is investigating the case. Assistant U.S. Attorneys J. Nicholas Bunch and Paul Yanowitch are prosecuting.
(Download Factual Basis)
Lake Andes Man Convicted of Aggravated Sexual Abuse of A ChildRead the Press Release
United States Attorney Brendan V. Johnson announced that Sylvan Godfrey, age 51, of Lake Andes, South Dakota, was convicted of one count of Aggravated Sexual Abuse of a Child and found not guilty of one count of Aggravated Sexual Abuse of a Child as a result of a two day federal jury trial in Pierre, South Dakota.
The charges carry a maximum penalty of life in custody and/or a $250,000 fine, 5 years up to life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Godfrey was indicted by a federal grand jury on July 17, 2013, on two counts of Aggravated Sexual Abuse of a Child.
The conviction stems from an incident that took place between July 27, 2006, and November 16, 2007, when the victim and her sister were taken to a drinking party at Milks Camp in Gregory County, at which Godfrey was present. The victim and her sister were sleeping in a back bedroom during the party when Godfrey entered the room. Godfrey touched the victim’s groin and inner thigh, skin to skin. Godfrey left the room when the victim began to cry. The victim was under the age of 12 when the incident occurred.
This case was investigated by the Federal Bureau of Investigation and the Rapid City Police Department. Assistant U.S. Attorney Marie H. Ruettgers prosecuted the case.
A presentence investigation was ordered and a sentencing date was set for August 11, 2014. The defendant was remanded to the custody of the U.S. Marshals Service.
Justice Department and Montana Officials to Hold Press Conference Announcing Negotiated Agreements Regarding the Handling of Sexual Assault CasesRead the Press Release
Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels, U.S. Attorney for the District of Montana Michael Cotter, Montana Attorney General Tim Fox, Missoula County Attorney Fred Van Valkenburg and Missoula County Commissioner Bill Carey will hold a press conference TOMORROW, TUESDAY, JUNE 10, 2014 at 1:00 p.m. EDT (11:00 a.m. MDT), to announce negotiated agreements regarding the handling of sexual assault cases.
WHO: Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels U.S. Attorney for the District of Montana Michael Cotter Montana Attorney General Tim Fox Missoula County Attorney Fred Van Valkenburg and Missoula County Commissioner Bill Carey
WHAT: Press Conference
WHEN: Tuesday, June 10, 2014 , at 1:00 p.m. EDT (11:00 a.m. MDT)
WHERE: Missoula County Administration Building Commissioners Conference Room 206 , 199 W. Pine Street Missoula, Montana
OPEN PRESS
NOTE: All media must present government-issued photo I.D. (such as driver’s license) as well as valid media credentials. Press inquiries regarding logistics should be directed to the Office of Public Affairs at 202-514-2007.
Justice Department Settles Employment Discrimination Allegations Against City of AustinRead the Press Release
The Department of Justice announced today that it has entered into and filed a consent decree that, if approved by the court, will resolve the department’s allegations that the city of Austin violated Title VII of the Civil Rights Act of 1964 by discriminating against African-American and Hispanic applicants for entry-level firefighter positions at the Austin Fire Department (AFD).
Title VII’s prohibitions of discrimination in employment forbid not only intentional discrimination, but also the use of employment practices, such as written tests, that result in disparate impact against any group based on the race, color, sex, national origin or religion of that group’s members, unless an employer can prove that such practices are job related and consistent with business necessity. Absent such proof, those practices do not identify the best qualified candidates and violate the law. The complaint, filed along with the consent decree in the U.S. District Court for the Western District of Texas in Austin, alleges that in 2012, the city used a written test that disproportionately eliminated African-Americans and Hispanics from the hiring process, and that Austin cannot demonstrate that its use of the test was job related and consistent with business necessity. Similarly, the complaint alleges that Austin’s method of weighting the 2012 assessments and processing candidates in descending rank order by composite score had an adverse impact on individuals in these protected groups who passed the written test, and that this practice was also not job related or consistent with business necessity. The United States has challenged the hiring process Austin planned to use for these positions in 2013 as well.
The Justice Department, along with the city of Austin, filed a joint motion today requesting that the court provisionally approve the consent decree executed by the parties and schedule an initial fairness hearing regarding the terms of the consent decree.
The consent decree requires that Austin no longer use the selection practices challenged by the United States in screening and selecting candidates for the AFD’s entry-level firefighter positions. The decree requires that Austin develop a new, lawful selection procedure that complies with Title VII, and also requires that the city pay $780,000 in back pay to entry-level firefighter applicants who were harmed by the 2012 hiring practice challenged by the United States and who are determined to be eligible for relief. Additionally, African-American and Hispanic applicants determined to be eligible for relief under the decree will be eligible for one of 30 priority appointments to an entry-level firefighter position with the AFD. All applicants must pass the new, lawful selection procedure and other lawful selection procedures in order to be considered for priority hire relief. African-American and Hispanic applicants who are offered priority hire relief are also eligible for retroactive seniority.
“The Department of Justice will not permit employers to use screening and selection devices that adversely affect any protected group unless those devices are shown to properly distinguish between qualified and unqualified applicants,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “The department commends Austin for its efforts to address these issues and to ensure that effective, Title VII-compliant selection practices are put into place.”
The department and the U.S. Equal Employment Opportunity Commission (EEOC) each investigated the AFD’s hiring practices. Today’s proposed resolution was made possible in part through collaboration between the department and the San Antonio Field Office of the EEOC.
More information about Title VII and other federal employment laws is available on the Department of Justice website.
Justice Department Officials to Hold Press Call Announcing Negotiated Agreements Regarding the Handling of Sexual Assault CasesRead the Press Release
Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels and U.S. Attorney for the District of Montana Michael Cotter will hold a press call TOMORROW, TUESDAY, JUNE 10, 2014 at 1:45 p.m. EDT (11:45 a.m. MDT), for reporters who are unable to attend in person the 1:00 p.m. EDT (11:00 a.m. MDT), press conference announcing negotiated agreements regarding the handling of sexual assault cases.
WHO: Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels and U.S. Attorney for the District of Montana Michael Cotter
WHAT: Press Conference Call
WHEN: Tuesday, June 10, 2014 at 1:45 p.m. EDT (11:45 a.m. MDT)
CALL IN: 1-800-860-2442 Call title: Press Call on Missoula, Montana, Agreement
NOTE: Participants will be asked for their name and media outlet. Press inquiries may be directed to the Office of Public Affairs at 202-514-2007.
Illegal Alien Sentenced to 21 Months in Prison in Scheme to Ship Stolen Vehicles to West AfricaRead the Press Release
Baltimore, Maryland - U.S. District Judge J. Frederick Motz sentenced Eric Olaniyan, age 53, a Nigerian citizen residing illegally in Laurel, Maryland, today to 21 months in prison followed by three years of supervised release for conspiring to commit interstate transportation of stolen vehicles. Upon completion of his sentence, Olaniyan will be transferred into ICE custody pending immigration removal proceedings. Judge Motz also entered an order that Olaniyan pay $65,040.46 in restitution.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); U.S. Customs and Border Protection Baltimore Port Director Andrii Melnyk; and Chief Mark A. Magaw of the Prince George’s County Police Department, Washington Area Vehicle Enforcement (WAVE) unit.
According to Olaniyan’s plea agreement, from 2012 through April 22, 2013, Olaniyan and others shipped stolen cars from the United States to countries in West Africa for resale. The conspirators hired others to steal the vehicles with the keys, so that the vehicles could be more easily sold. Olaniyan was paid cash to store the stolen vehicles at a parking lot or other locations, known as “cooling spots.” The stolen vehicles were subsequently loaded into containers and shipped to buyers in Africa.In early March 2013, a Prince George’s County Police detective located three stolen vehicles parked near Olaniyan’s residence. The movements of the vehicles were tracked through April 2, 2014, and all eventually ended up at warehouses known to be used for loading shipping containers that are exported from the United States. On April 12, 2014, the CBP Baltimore Vehicle Export Team examined the contents of a container and located the three stolen vehicles in the container, as well as a fourth vehicle which had also been reported stolen.
On April 22, 2013, a search warrant was executed at Olaniyan’s apartment. Eight stolen vehicles were found parked in the area. The keys to all eight stolen vehicles were seized from Olaniyan’s apartment, along with a counterfeit vehicle title for one of the vehicles.
The loss associated with the vehicles for which Olaniyan participated in the scheme was over $200,000.
United States Attorney Rod J. Rosenstein commended the HSI Baltimore, CBP and Prince George’s County Police Department WAVE unit for their work in the investigation. Mr. Rosenstein also praised the Howard County Police Department, Maryland State Police and the Regional Auto Theft Task Force (RATT) for their assistance in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the case.
INTERPOL Secretary General Launches Global Awareness Campaign Entitled Turn Back CrimeRead the Press Release
INTERPOL Secretary General Launches Global Awareness Campaign Entitled Turn Back Crime
Henrietta Man Sentenced for Producing Child PornographyRead the Press Release
ROCHESTER, N.Y.B U.S. Attorney William J. Hochul announced today that Bradley W. Pattee, 57, of Henrietta, N.Y., who was convicted of 13 counts of producing, distributing and possessing child pornography, was sentenced to 47 years in prison by U.S. District Court Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Marisa J. Miller, who handled the case, stated that the defendant came to the attention of law enforcement in December 2011 during an undercover investigation of the online trading of child pornography. Special Agents with Homeland Security Investigations conducted a search warrant at Patee’s residence and seized numerous items of digital media, including computers, hard drives and removable media. During their investigation, agents discovered that the defendant had also produced child pornography by taking pictures of a child under the age of 18 engaged in sexually explicit conduct.
“Today’s punishment sends a strong message, if you engage in crime that could have lifelong effects on our children, you will be prosecuted to the fullest extent,” said U.S. Attorney Hochul. “As today’s punishment shows, such conduct could also result in a lengthy sentence from the court.”
"While today’s significant sentencing cannot restore the loss innocence of the children depicted in the voluminous and monstrous images found in the defendant’s possession, it should serve as a stark warning to those who engage in this behavior — HSI and our partners will be relentless in our pursuit of those who sexually exploit children," said James Spero, Special Agent in Charge for HSI Buffalo.
The sentencing is the culmination of an investigation on the part of Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.Henderson County Woman Guilty of EmbezzlementRead the Press Release
Department of Justice
Office of Public AffairsTYLER, TEXAS – A 54-year-old Murchison, Texas woman has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales.
Deborah Cornett pleaded guilty to an Information charging her with embezzlement by a bank employee today before U.S. Magistrate Judge K. Nicole Mitchell.
According to information presented in court, from November 2007 to May 2013, Cornett was an officer and employee of the First State Bank of Ben Wheeler. During that time, Cornett embezzled approximately $334,736.43 from bank payroll accounts, the bank Christmas Club account, certificates of deposit, and from fraudulently issued bank loans.
Cornett faces up to 30 years in federal prison at sentencing. A sentencing date has not been set.
This case is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Nathaniel C. Kummerfeld.
Greg Jeffreys Sentenced to 8 Years in Federal Prison and Ordered to Make $9.3 Millions in RestitutionRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Gregory D. Jeffreys, of Spokane, was sentenced today after having previously pleaded guilty in November, 2013, to several criminal charges -- Wire Fraud affecting a Financial Institution, Bank Fraud, Wire Fraud, and Conspiracy to Commit Felony Criminal Contempt. Following a three day sentencing and restitution hearing, United States District Court Chief Judge Rossana Malouf Peterson sentenced Jeffreys to an eight-year term of imprisonment, to be followed by a five-year term of court supervision after he is released from Federal prison. In addition to substantial criminal forfeiture, Chief Judge Peterson ordered Jeffreys pay $9.3 million in total restitution to approximately 29 different victims.
According to court records, from 2006 through 2013, Jeffreys engaged in a series of fraudulent schemes in and around Spokane, Washington and Las Vegas, Nevada. In addition to operating a multi-state Ponzi scheme, Jeffreys' fraud crimes also involved transactions relating to the Military Entrance Processing Station (MEPS) in Airway Heights, Washington, and the Ridpath Hotel in downtown Spokane, Washington. In particular, Chief Judge Peterson ordered Jeffreys to make $2.6 million in restitution relating to Ridpath Hotel transactions.
Michael C. Ormsby said, "Prosecuting fraud and other white collar crime is a priority of the United States Attorney's Office in the Eastern District of Washington. Greg Jeffreys became a notorious fraudster in the Spokane area and elsewhere. I commend the FBI and members of my office for their dedication and tenacity in unraveling Jeffreys' fraudulent schemes and vigorously pursuing restitution for the victims of Jeffreys' crimes. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for these types of crimes and restitution for the victims."
This investigation was conducted by FBI. The case was prosecuted by Sean T. McLaughlin, an Assistant United States Attorney for the Eastern District of Washington.
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Fund Manager Arrested and Charged in $17 Million Ponzi SchemeRead the Press Release
A five-count indictment was unsealed this morning in federal court charging James M. Peister, a fund manager who resides in St. James, New York, with securities, wire and mail fraud in connection with his operation of a $17 million Ponzi scheme. The defendant is in custody and will be arraigned this afternoon before United States District Judge Joseph F. Bianco at the United States Courthouse in Central Islip, New York. In addition, the government seized the defendant’s Hummer sport utility vehicle and seeks to forfeit the home in St. James, New York, he paid for with the victims’ investments.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York, and George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI).
According to the indictment and other court filings, between January 2000 and June 2009, Peister raised more than $17 million from at least 74 investors in connection with an investment fund that he managed. He had assured those investors that their money would be invested safely in a variety of securities, including stocks, futures and fixed income instruments. Instead of investing the money as he had promised, Peister misappropriated the money to run a Ponzi scheme. Among other things, he used the investors’ money to pay millions of dollars in redemptions to his victim investors to keep the Ponzi scheme afloat and to purchase luxury items such as an expensive estate in St. James and a Hummer luxury vehicle. To avoid detection and continue the scheme, Peister sent phony account statements to investors that falsely showed that their funds were invested and performing well. Additionally, Peister submitted bogus financial statements to the investment fund’s independent auditor, causing the auditor to overstate the value and profits of the investment fund to the victim investors. As a result, investors believed that the funds were performing satisfactorily, and they continued to invest their money with Peister. Peister’s Ponzi scheme collapsed in the wake of the financial crisis in 2008, when he could no longer keep up with demands for redemptions from nervous investors.
“As alleged, Peister preyed upon innocent investors to construct his house of cards. But that house collapsed under the weight of his lies,” stated United States Attorney Lynch. “Peister promised investors that he would invest their money safely and responsibly. Instead, he stole their money to finance his personal life style. Now, he will be held to account for his crimes. This Office will aggressively investigate and prosecute those who commit financial crimes and victimize investors.” Ms. Lynch expressed her grateful appreciation to the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission for their cooperation and assistance in the investigation.
FBI Assistant Director-in-Charge Venizelos stated, “As alleged, for years Peister swindled and conned innocent investors out of their hard-earned money to support his lavish lifestyle. He made false representations about the success of the investment fund to keep the financial scheme afloat and unsuspecting investors at bay. His actions serve as an example of the unconscionable greed that fuels these all too common fraud cases. The FBI is committed to investigating those who prey upon trusting individuals for their own personal gain.”
The charges contained in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, the defendant faces a maximum sentence of 20 years’ imprisonment on each of the securities fraud, wire fraud and mail fraud counts. Additionally, if convicted, Peister may be fined up to $5,000,000 for the securities fraud count and $250,000 for each of the wire and mail fraud counts.
The government’s case is being prosecuted by Assistant United States Attorneys Jacquelyn M. Kasulis, Jonathan P. Lax and Brian D. Morris.
This prosecution was the result of efforts by President Barack Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ Offices, and state and local partners, it’s the broadest coalition of law enforcement, investigator and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state, and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants. For more information on the task force, visit http://www.StopFraud.gov.
The Defendant:
JAMES M. PEISTER
Age: 62
St. James, New York
Former Mingo Judge Sentenced to 4+ Years in Federal PrisonRead the Press Release
CHARLESTON, W.Va. – Former Mingo County circuit judge Michael Thornsbury was sentenced today to four years and two months in federal prison, United States Attorney Booth Goodwin announced. The sentence comes after Thornsbury admitted his role in a conspiracy to coerce a local drug defendant, George White, into firing his defense counsel. According to Thornsbury, he and other Mingo officials, including former county commissioner David Baisden, former prosecuting attorney Michael Sparks, and former sheriff Eugene Crum, learned that White was prepared to testify that then-Sheriff Crum had illegally received prescription pain medication and obtained unlawful campaign contributions. In order to protect Crum from the impact of White’s allegations, including possible federal investigation, Thornsbury, Baisden, Sparks, Crum, and others conspired to pressure White into firing his defense attorney and replacing him with another attorney handpicked by the conspirators. After switching lawyers, White dropped his allegations against Crum and was sentenced to up to fifteen years in state prison.
"Mr. Thornsbury's conduct was shocking and appalling,” said U.S. Attorney Goodwin. “It was worthy of a stiff sentence. I’d like to see this whole episode be a call to action for all of us to make sure that this ‘Boss Hogg’ style of politics is a thing of the past—because it simply can’t be a part of our future."
In August 2013, a federal grand jury also charged Thornsbury with conspiring to frame the husband of a woman with whom he was in a romantic relationship. In imposing today’s sentence, United States District Judge Thomas E. Johnston compared Thornsbury’s abuses of office to the actions of a Third World dictator.
With today’s sentence, Thornsbury becomes the third former Mingo official sent to federal prison in a wide-ranging federal corruption probe. He joins Baisden, sentenced in January to 20 months’ imprisonment, and former Mingo County chief magistrate Dallas Toler, sentenced in March to 27 months in prison. All three officials resigned their offices after being charged with federal crimes. Sparks, the fourth official charged in the investigation, has also resigned as a result of the charge against him and is scheduled to be sentenced July 7, 2014.
The investigation of corruption in Mingo County is being conducted by the Federal Bureau of Investigation and the West Virginia State Police. Counsel to the United States Attorney Steven R. Ruby and Assistant United States Attorney C. Haley Bunn are in charge of the prosecutions.
Click here to hear an audio clip from U.S. Attorney Goodwin.
Former Arlington County Employee Sentenced for Taking BribesRead the Press Release
ALEXANDRIA, Va. – Francisco Samayoa Hernandez (“Samayoa”), 33, of Silver Spring, Maryland, was sentenced today to 24 months in prison, followed by three years of supervised release, for receiving bribes in connection with his work as a tax assessor supervisor at the Arlington County Department of Motor Vehicles (DMV) Select office. Samayoa also was ordered to pay approximately $21,000 in restitution to the DMV and to forfeit $11,480 in bribe payments to the government.
Dana J. Boente, United States Attorney for the Eastern District of Virginia; and Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema.Samayoa pleaded guilty on March 18, 2014. According to court documents, from July 2012 through November 2013, Samayoa received $11,480 in bribes from a vehicle exporter in exchange for providing vehicle titles and falsifying DMV paperwork that allowed the exporter to avoid paying state motor vehicle sales and use tax in connection with the registration and titling of various luxury automobiles. In exchange for the bribes, Samayoa enabled the exporter to avoid paying approximately $25,000 due to the Commonwealth of Virginia for the registration and titling of a Lamborghini and multiple Ferraris, Porsches and Mercedes. Samayoa also enabled another individual to avoid paying approximately $16,536 in state motor vehicle sales and use tax in connection with the registration and titling of twoLamborghinis.
Samayoa was an Arlington County employee, and the Arlington County Commissioner of Revenue contracts with the DMV to provide vehicle-related services at its local office.Samayoa also served as a straw buyer for the exporter and purchased three BMWs in his name. In connection with these transactions, Samayoa falsely certified to a dealership that he was not purchasing the vehicle for export, and the dealership relied on that certification in making the sale.
This case was investigated jointly by the FBI’s Washington Field Office and the Virginia DMV Office of Enforcement and Compliance, Law Enforcement Division. Assistant U.S. Attorney Paul J. Nathanson prosecuted the case.
Any person who believes they may have information regarding public corruption in the northern Virginia area is encouraged to call the FBI’s Northern Virginia Public Corruption Hotline at 703-686-6225 or send an email to [email protected].
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.
Essex County, N.J., Man Sentenced to 114 Months in Prison for Role in Armed CarjackingRead the Press Release
NEWARK, N.J. – An Essex County, N.J., man was sentenced today 114 months in prison for his role in an armed carjacking in Newark on Nov. 8, 2012, U.S. Attorney Paul J. Fishman announced.
Nathaniel Tullies, 20, of East Orange, N.J., previously pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an information charging him with one count of theft of a motor vehicle by force, violence, and intimidation, and one count of use of a firearm in furtherance of a crime of violence. Judge Hayden imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
On Nov. 8, 2012, an individual got out of a 2006 Chevrolet Impala to open a garage door when Tullies and an accomplice got on either side of the car, took it from the victim at gunpoint and drove away. The victim called police, who responded within minutes. A Newark police detective spotted the vehicle and a high-speed chase ensued, ending when the Impala crashed on the shoulder of Routes 1/9, the suspects fled on foot and the detective chased and captured Tullies.
In addition to the prison term, Judge Hayden sentenced Tullies to three years of supervised release and ordered him to pay restitution of $6,486.
U.S. Attorney Fishman credited detectives with the Essex County Prosecutor’s Office, under the Direction of Acting Prosecutor Carolyn A. Murray, and investigators in the U.S. Attorney’s Office with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Elizabeth M. Harris and Assistant U.S. Attorney Jonathan Romankow, acting deputy chief of the general crimes unit, in Newark.
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Defense counsel: Peter Carter Esq., Assistant Federal Public Defender, Newark
East Lyme Man Sentenced to 37 Months in Federal Prison for Distributing HeroinRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that LESTER FANTAUZZI, 47, of East Lyme, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 37 months of imprisonment, followed by three years of supervised release, for distributing heroin.
In early 2012, Homeland Security Investigations (“HSI”), the U.S. Secret Service and the New London Police Department initiated an investigation to combat the large-scale trafficking of heroin and cocaine from the Dominican Republic and Puerto Rico into and around southeastern Connecticut. More than 100 individuals were charged with federal and state offenses as a result of this investigation.
According to court documents and statements made in court, FANTAUZZI regularly purchased raw heroin from Luis Ariel Capellan Maldonado and distributed the drug to his own customer base from the Globe Spirit Shop, a liquor store he operated in New London.
FANTAUZZI was arrested on April 3, 2013. On January 6, 2014, he pleaded guilty to one count of conspiracy to possess with the intent to distribute heroin.
Capellan Maldonado has pleaded guilty and awaits sentencing.
This matter is being investigated by Homeland Security Investigations; U.S. Secret Service; U.S. Postal Inspection Service; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Customs and Border Protection, Office of Air and Marine; Connecticut State Police; New London Police Department, Norwich Police Department, Waterford Police Department, Groton Town Police Department, East Lyme Police Department and Putnam Police Department. The United States Marshals Service; ICE Enforcement and Removal Operations; Drug Enforcement Administration; HSI Assistant Attaché, Santo Domingo, Dominican Republic; HSI Arecibo, Puerto Rico Resident Office; Internal Revenue Service – Criminal Investigation; Connecticut Department of Correction, Parole and Community Services; and the Groton City, Willimantic, New Haven and Bristol Police Departments have provided valuable assistance to the investigation.
The federal cases are being prosecuted by Assistant U.S. Attorneys Alina P. Reynolds, Sarah P. Karwan and Henry K. Kopel. The state cases are being prosecuted by the State’s Attorney for the New London Judicial District and Senior Assistant State’s Attorneys Paul Narducci and Stephen Carney.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Colorado Man SentencedFor Bank Robbery in LawrenceRead the Press Release
TOPEKA, KAN. – A Colorado man was sentenced Monday to two years in federal prison for a bank robbery in Lawrence, U.S. Attorney Barry Grissom said.
Matthew W. Headley, 38, Canon City, Colo., pleaded guilty to a Sept. 5, 2013, robbery at the US Bank, 1807 W. 23rd Street in Lawrence. In his plea he admitted he was wearing a golf hat and pajama pants when entered the bank and handed a teller a note saying, “100s and 50s now.” Officers of the Lawrence Police Department arrested him soon after that at a convenience store not far from the bank.
Grissom commended the Lawrence Police Department, the FBI and Assistant U.S. Attorney Mike Warner for their work on the case.City of Tanana Employees Sentenced to Prison for Wire Fraud and TheftRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that two Fairbanks men were sentenced on Friday, June 6, 2014, in federal court in Fairbanks after being found guilty of wire fraud and theft from a local government receiving federal funds.
Alfred Richard Ketzler, Jr., also known as “Bear” Ketzler, 57, of Fairbanks, Alaska, was sentenced to 16 months in prison to be followed by two years of supervised release by Chief U.S. District Court Judge Ralph R. Beistline. Ketzler pled guilty in March 2014. Ketzler has already paid restitution to the City of Tanana in the amount of $116,500.Alfred McQuestion Fabian, 62, of Fairbanks, Alaska, was sentenced to six months in prison to be followed by two years of supervised release by Chief U.S. District Court Judge Ralph R. Beistline. Fabian pled guilty in March 2014.
Assistant U.S. Attorney Yvonne Lamoureux, who prosecuted the case, noted that according to filings with the court, Ketzler and Fabian participated in a three-year scheme to defraud and obtain money and property by means of materially false and fraudulent pretenses and representations. Specifically, Ketzler, as the City Manager for the City of Tanana, and Fabian, as the expediter for the City of Tanana, abused their positions of trust to obtain excess federal property through the Federal Personal Property Utilization Program and illegally sell the property for personal gain and convert the property for personal use. Between December 2009 and November 2012, Ketzler and Fabian received at least $122,000 in illegally obtained payments for the sales of about 11 pieces of equipment, including trucks, fork lifts, and other heavy industrial equipment. They deposited the money from the illegal sales of the property into their personal bank accounts.
In sentencing Ketzler, Judge Beistline noted the need for the sentence to deter not only the defendant but also other people from abusing their positions of trust. Judge Beistline also noted that the purpose of the Federal Personal Property Utilization Program was not to enrich city managers or individuals, and that the victims of the defendants’ crimes include the Federal Personal Property Utilization Program, the other native and rural communities that could have benefited from the Program, and taxpayers.
Kevin Feldis, First Assistant U.S. Attorney, stated that “The United States Attorney’s Office is dedicated to prosecuting those who steal from federal programs. All citizens are victims when someone steals federal property or fraudulently abuses federal programs for their own personal gain.”
“This federal excess property was supposed to benefit the City of Tanana, Alaska, not be illegally sold by city officials for personal profit,” said U.S. General Services Administration Acting Inspector General Robert C. Erickson.
Ms. Loeffler commends the Federal Bureau of Investigation and the General Services Administration Office of Inspector General for conducting the investigation leading to the successful prosecution of Ketzler and Fabian.Career Offender Sentenced to 110 Months for Possession with Intent to Distribute MethamphetamineRead the Press Release
EUGENE, Ore. – On June 9, 2014, Gretchan Anderson, 43, of Portland, Oregon, was sentenced by U.S. District Judge Michael McShane to 110 months in federal prison, in addition to the time she has been in custody since July of 2013, for possession with intent to distribute methamphetamine. Upon her release from prison, Anderson will be on supervised release for four years.
Anderson is a career offender who was caught twice last year dealing methamphetamine. The first of those two incidents happened on February 26, 2013 in Portland and resulted in state charges. During the pendency of that state case, on July 19, 2013, law enforcement apprehended Anderson as she was traveling from Portland to Lane County to distribute methamphetamine, which resulted in the instant federal charge. Anderson has a lengthy criminal history including convictions for burglary in the first degree and manufacture of a controlled substance.
This case was investigated by DEA and the Lane County Interagency Narcotics Enforcement Team, and was prosecuted by Assistant U.S. Attorney Nathan J. Lichvarcik.
Buffalo Man Sentenced for Bank RobberyRead the Press Release
BUFFALO, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Donovan Devost, 21, of Buffalo, N.Y., who was convicted of bank robbery, was sentenced to 92 months in prison by U.S. District Court Judge Richard J. Arcara.
The sentencing is the result of a joint investigation by the Buffalo Police Department, under the direction of Commissioner Daniel Derenda, and the Federal Bureau of Investigation.
Assistant U.S. Attorney Mary Catherine Baumgarten, who handled the case, stated that the defendant robbed the First Niagara Bank, located at 529 Elmwood Avenue in Buffalo, on April 31, 2013. Devost then robbed the First Niagara Bank, located at 805 Main Street in Buffalo, on June 19, 2013, and the KeyBank, located at 2318 Delaware Avenue in Buffalo, on June 21, 2013. The defendant passed notes to the bank tellers indicating he possessed a firearm and demanded money.Brunswick, Georgia Woman Sentenced to 16 Years in Prison for Defrauding Medicaid of over $4 MillionRead the Press Release
BRUNSWICK, GA – Schella Logan Hope, 47, of Brunswick, Georgia, who was previously convicted by a federal jury of various health care fraud, aggravated identity theft, and money laundering offenses for her role in a multi-million dollar Medicaid fraud conspiracy, was sentenced last month to 16 years in prison. The sentence was imposed by the Honorable Lisa Godbey Wood, Chief Judge for the United States District Court for the Southern District of Georgia, who also presided over Hope’s trial.
According to the evidence presented at trial and at sentencing, Hope was a licensed dietician who ran a business located in Brunswick, Georgia, known as Hope Nutritional Services. From 2005 through 2011, Hope misappropriated the identities of thousands of needy children between the ages of 0 and 5 that were enrolled in Head Start programs located throughout the state of Georgia. Once Hope obtained the identities of these children, she fabricated patient files, falsified prescriptions from doctors, and submitted $4 million worth of bogus claims to Medicaid for nutritional services that were not provided. The evidence further showed that Hope used the money she stole from Medicaid to pay for luxury automobiles, designer clothing, and luxury vacations, among other things.
In November 2013, after four days of testimony, a federal jury convicted Hope of 58 counts of conspiracy, health care fraud, aggravated identity theft and money laundering. Upon her convictions for these offenses, Chief Judge Wood remanded Hope to the custody of the United States Marshals.
United States Attorney Edward J. Tarver stated, “Medicaid and other federal programs cannot continue to sustain the enormous burden caused by phony business people like this defendant who work to defraud the United States Government. Vigorous and aggressive enforcement and prosecution is the only response that will help to ensure that these important programs remain available to provide needed assistance. The Department of Justice and this U. S. Attorney’s Office are committed to safeguarding federal health care programs from fraud and abuse and holding those who steal from the American taxpayers responsible for their crimes.”“Committing Medicaid fraud on any level is egregious behavior,” said Derrick L. Jackson, Special Agent in Charge of the U. S. Department of Health and Human Services, Office of Inspector General, Atlanta Regional Office. “Today’s sentence demonstrates that when you use programs such as Head Start to facilitate your fraud even further, you will, indeed, pay the piper.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “The sentencing handed down in this case reflects the severity of the crimes committed. Funds destined for the many federal programs, to include that of Medicaid, are for those who truly need them and not for the personal gains of such individuals as Ms. Hope. The FBI will continue to provide extensive investigative resources toward the protection of these much needed federally funded programs.”
Georgia Attorney General Sam Olens said, “Not only did Schella Hope cheat the Medicaid program out of millions of dollars, she stole the identities of the very children she was supposed to be helping. I am pleased that Judge Lisa Godbey Wood has handed down a sentence that fits the crime. My office will continue to work with the U. S. Attorney’s Office to aggressively prosecute those who defraud Georgia Medicaid.”
In addition to the sentence of imprisonment, Chief Judge Wood ordered that Hope pay more than $4 million in restitution to Medicaid, and serve 3 years of supervised release upon completion of the sentence of imprisonment. Mr. Tarver noted that there is no parole in the federal system.
The conviction and sentence of Hope resulted from a joint investigation by the United States Department of Health and Human Services, Office of Inspector General; the Federal Bureau of Investigation; Georgia’s Department of Community Health; and Georgia Attorney General’s Medicaid Fraud Control Unit.
Assistant United States Attorneys Brian T. Rafferty and Assistant Attorney General Robin Daitch prosecuted the case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Brunswick Women Pleads Guilty to Federal Program and Tax FraudRead the Press Release
Contact: Donald E. Clark
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Stacey
A. Backman, 41, of Brunswick, Maine, pled guilty in U.S. District Court to federal program and
tax fraud charges.According to court records, the defendant was a fund accountant at Coastal Enterprises,
Inc. (CEI). CEI is a private, nonprofit, charitable Community Development Corporation and
Community Development Financial Institution based in Wiscasset, Maine that received more
than $10,000 in federal funds each year. From 2010 to January 2014, the defendant embezzled
over $300,000 from CEI and failed to report the embezzled income on her federal income tax
returns. CEI learned of the embezzlement in January 2014 and terminated the defendant’s
employment.The defendant faces up to 10 years in prison and a $250,000 fine on the federal program
fraud charge and up to 3 years in prison and a $100,000 fine on the federal tax fraud charge. She
will be sentenced after the completion of a presentence investigation report by the U.S. Probation
Office.
The case was investigated by the U.S. Department of Health and Human Services, Office
of Inspector General (OIG); the Internal Revenue Service – Criminal Investigations Division; the
U.S. Department of Agriculture, OIG; and the Wiscasset Police Department.Broward County Resident Sentenced in Treasury Check Cashing and Stolen Identity SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Paula Reid, Special Agent in Charge, U.S. Secret Service, Miami Field Office, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Regina James, 39, of Fort Lauderdale, was sentenced for her participation in a check cashing and stolen identity scheme. James was sentenced to 66 months in prison, to be followed by three years of supervised release, and was ordered to pay restitution of $650,617.00.
Regina James previously pled guilty in three cases. In one case, she pled guilty to one count of theft of public money, in violation of Title 18, United States Code, Section 641, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). In the second case, she pled guilty to conspiracy to steal, receive, and retain money and things of value of the United States and to forge endorsements on and cash treasury checks, receipt and retention of things of value of the United States, and aggravated identity theft. In the third case, she pled guilty to identity theft, in violation of Title 18, United States Code, Section 1028(a)(7).
According to court documents, Wilson and Kate Lau owned a check cashing store called American Quick Cash (AQC). The Laus were cashing fraudulent tax refund checks arising out of fraudulent tax refund filings containing stolen identities. James was one of the seven “middle men” who brought the fraudulently obtained U.S. Treasury checks to AQC. James also brought fake Florida driver’s licenses in the names of the individuals on the checks that she cashed at AQC. James was charged 15% to cash the fraudulent checks, but Lau subsequently increased the fee to 50%. James received the stolen checks from another person and gave 40% of the amount of the check to that individual, and kept 10% for herself.
From January 2010 through June 2011, the total amount of U.S. Treasury checks cashed by James at AQC is approximately $650,617. The number of victims involved is greater than 50, but fewer than 250.
On July 20, 2012, Wilson Lau, 75, and his wife, Kate Yuee Lau, 54, formerly of Coral Springs, were sentenced before U.S. District Judge Robert Scola. Wilson Lau was sentenced to 84 months in prison, to be followed by three years of supervised release. Kate Yuee Lau was sentenced to 24 months in prison, to be followed by three years of supervised release.
In a separate investigation, James and co-defendants, Ronald Walker, 36, of Fort Lauderdale, Aaron Taylor, 30, of Lauderhill, and James Burch, 36, of Coral Springs, sold $75,108.79 in fraudulently obtained tax refund checks and 609 people’s identifying information. On May 30, 2014, Walker was sentenced to 94 months in prison. On May 16, 2014, Taylor was sentenced to 54 months in prison and Burch was sentenced to 36 months in prison.
Mr. Ferrer commended the investigative efforts of IRS-CI, the Secret Service, and the FBI. The case is being prosecuted by Assistant U.S. Attorneys Alicia E. Shick and Marc Osborne.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Brooke County Men Charged with Possession of Stolen FirearmsRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Matthew Lyman, Public Affairs Specialist/Community Outreach CoordinatorWHEELING, WEST VIRGINIA – Two Brooke County men have been charged with the illegal possession of firearms, according to United States Attorney William J. Ihlenfeld, II.
Ian K. SAUNDERS, 34 and Mark CAMPBELL, 22, both of Follansbee, W. Va. were each indicted on one count of “Unlawful Drug User and Addict in Possession of a Firearm” and one count of “Possession of a Stolen Firearm.” The Indictment alleges that both men are addicted to heroin and came into possession of the stolen firearms in January of 2014.
Each count carries a penalty of up to 10 years in prison.
This case is being investigated by officers and agents from the Bureau of Alcohol, Tobacco and Firearms (ATF), the Brooke County Sheriff’s Department and the Weirton Police Department. Assistant U.S. Attorney Stephen L. Vogrin is prosecuting the case on behalf of the government.
In other indictments returned by the Wheeling Grand Jury:
• Wilbur W. BARR, 22 of Wheeling, W. Va., was charged with one count each of “Unlawful Drug User and Addict in Possession of a Firearm”, “Possession of a Stolen Firearm”, and “Possession of a Firearm with an Obliterated Serial Number.” BARR is alleged to be addicted to methamphetamine.
This case is being investigated by the ATF and the Ohio Valley Drug and Violent Crime Task Force. AUSA Vogrin is prosecuting the case for the government, and BARR faces up to twenty five years in prison
• Christopher N. GRAHAM, 37 of Jodie, W. Va., was charged with one count of “Prohibited Person in Possession of a Firearm.” GRAHAM has a previous felony conviction in the State of Arizona for Burglary. He faces up to 10 years in prison.
This case is being investigated by the Ohio County Sheriff’s Department and the ATF. AUSA Vogrin is prosecuting the case for the government.
Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of each defendant. The charges contained in the Indictments are merely accusations, and each defendant is presumed innocent unless and until proven guilty.
Barge Captain and Marine Company Convicted in Fatal 2005 Explosion That Discharged Slurry Oil in Chicago CanalRead the Press Release
CHICAGO — The captain of a petroleum barge that exploded in 2005, resulting in the death of a crew member, and the company that owned and operated the vessel were convicted today on federal charges of felony maritime negligence and causing thousands of gallons of oil to pollute the Chicago Sanitary and Ship Canal. The defendants, DENNIS MICHAEL EGAN and EGAN MARINE CORP., were found guilty following a bench trial that was conducted intermittently since last September in U.S. District Court.
Egan, 35, of Topeka, Ill., and formerly of Lemont, and Egan Marine, of Lemont, were each convicted of one count of negligent manslaughter of a seaman and one count of oil pollution of a navigable waterway. The verdict was delivered in an oral ruling from the bench by U.S. District Judge James Zagel, who heard closing arguments on Friday, concluding 13 nonconsecutive days of trial.
Judge Zagel tentatively set sentencing for Sept. 24.
The negligent manslaughter count against Dennis Egan carries a maximum sentence of 10 years in prison and a $250,000 fine, and the same count against Egan Marine carries a maximum penalty of five years’ probation and a $500,000 fine. The misdemeanor oil pollution count carries a maximum penalty against Dennis Egan of a year in prison and a $100,000 fine, while Egan Marine faces a maximum sentence of a year’s probation and a $200,000 fine. Both defendants face a minimum fine of $2,500 on the pollution count. Restitution is mandatory. The Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
The verdict was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Neal R. Marzloff, Special Agent-in-Charge of the U.S. Coast Guard Investigative Service, Central Region in Cleveland; and Randall Ashe, Special Agent-in-Charge of the U.S. Environmental Protection Agency’s Criminal Investigation Division in Chicago.
According to the evidence at trial and court records, on Jan. 19, 2005, a fully-loaded Egan Marine tank barge, known as the EMC-423, being pushed by the tow boat Lisa E, was transporting approximately 600,000 gallons of clarified slurry oil (CSO) from the ExxonMobil Oil Corp. refinery near Joliet to the Ameropan Oil Corp. facility near the canal and California Avenue in Chicago. CSO is a byproduct of petroleum refining that can also be used as fuel, among other uses. About 4:40 p.m., just after clearing the Cicero Avenue Bridge and heading northeast parallel to the I-55 Stevenson Expressway, a large explosion erupted on the barge. As a result, the EMC-423 sank, discharging thousands of gallons of the combustible heavy oil into the canal. Immediately after the blast, crewman Alexander Oliva, 29, who had been aboard the barge, was determined to be missing. His body was recovered from the canal near Laramie Avenue on Feb. 4, 2005.
Judge Zagel ruled that Oliva’s death resulted from the explosion and the negligence that created the explosion. Egan Marine and its employees negligently vented combustible vapors from the cargo hold of the barge to the deck of the vessel, causing an explosion hazard. Oliva was using a propane-fueled open flame from a handheld “rosebud torch” to heat a cargo pump on the barge deck. CSO hardens in cold temperatures, requiring the cargo pump to be heated to offload the oil at its destination. The use of an open flame to heat the pump near the vented vapors caused the explosion and, ultimately, Oliva’s death, the destruction of the barge, and the oil pollution of the canal.
Dennis Egan was the captain and pilot of the Lisa E and the EMC-423 barge, which had no crew, self-propulsion or navigation system of its own. Dennis Egan was negligent and inattentive to his duties on the vessels by allowing an open flame to be used on the deck of the EMC-423, which was loaded with 599,424 gallons of the slurry oil. Egan Marine, which owned both vessels, was negligent in allowing the use of the open flame aboard the barge, resulting in the explosion and Oliva’s death.
“Without question it is against Coast Guard regulations, the standard of care, and is downright reckless, to employ the use of a propane torch on top of 600,000 gallons of a petroleum by-product,” the government claimed in closing argument brief.
Both Dennis Egan and Egan Marine violated the oil pollution provisions of the federal Clean Water Act by negligently causing the discharge of thousands of gallons of oil into the canal, which is a navigable U.S. waterway.
The government is being represented by Assistant U.S. Attorneys Timothy Chapman and Matthew Hiller and Special Assistant U.S. Attorney Crissy Pellegrin, of the U.S. EPA’s Office of Regional Counsel for Region 5 in Chicago.
Baltimore Man Pleads Guilty to Sex Trafficking of A MinorRead the Press Release
Prostituted a 14 Year Old Female
Baltimore, Maryland - Eric Evans, age 35, of Baltimore pleaded guilty today to sex trafficking involving a 14 year old girl.
The guilty plea 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; Chief James W. Johnson of the Baltimore County Police Department; Colonel Marcus L. Brown, Superintendent of the Maryland State Police; and Baltimore County State’s Attorney Scott Shellenberger.
On May 29, 2014, co-defendant Kenneth Ronald Robinson, age 52, of Baltimore, pleaded guilty to the same charge. Co-defendants Cheralyn Crawford, a/k/a “Rachel,” age 25, of Baltimore; Jeffrey Clark, age 43, of Nottingham, Maryland; and Craig Judy, age 29, of Baltimore; pleaded guilty on May 22, 21 and 19, 2014, respectively, to using the Internet to promote a minor to engage in prostitution.
According to the guilty pleas, on the evening of June 17, 2013, Maryland Child Exploitation Task Force members recovered a 14 year old girl from a motel on Joppa Road in Baltimore. The victim was located after law enforcement viewed a picture of her on a known Internet web site that advertises for prostitution, and called the number on the advertisement. Undercover officers made a “date” for prostitution with victim, which led them to her location.
Subsequent interviews of the victim revealed that at Robinson’s direction, the victim had been staying with Crawford and Judy and had been performing commercial sex acts from that hotel for approximately four days. At Robinson’s request, Crawford took sexually explicit pictures of the victim using Clark’s cell phone. Crawford and Judy posted those photos in ads on a website. Judy used the prostitution earnings of both the minor victim and Crawford to pay for the ads. A subsequent search of Clark’s cell phone revealed that it contained photos of both the victim and Crawford used on the website’s sex ads. At Robinson’s direction, Clark transported the victim to motels, stores and restaurants in the Towson, Maryland area. One of the motel rooms used by the victim, Crawford, and Judy was registered to Clark.
The victim also advised that Robinson introduced her to Evans so that she could engage in prostitution at Evans’ direction. The victim told law enforcement that Evans posted sex ads for the victim on a website using photos he had taken of the victim. The victim also stated that Evans kept the money she earned from prostitution. At least one of the victim’s sex ads was posted on June 7, 2013 from an address used by a motel in Towson where records show that Evans had paid for a room from June 3 to 8, 2013.
Evans and the government have agreed that if the Court accepts his plea, he will be sentenced to between 120 and 140 months in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for Evans on September 9, 2014 at 3:00 p.m.
Robinson faces a minimum of 10 years and up to life in prison at his sentencing on September 11, 2014 at 3:30 p.m. Crawford, Clark, and Judy each face a maximum sentence of five years in prison. Judge Bennett scheduled sentencing for Crawford and Clark on August 14, 2014 at 10:00 a.m. and 3:00 p.m., respectively; and for Judy on August 21, 2014, at 3:00 p.m. Robinson, Clark and Judy remain detained. Crawford is released under the supervision of U.S. Pretrial Services.
The case was investigated by the FBI-led Maryland Child Exploitation Task Force (MCETF), created in 2010 to combat child prostitution, with members from10 state and federal law enforcement agencies. The Task Force coordinates with the National Center for Missing and Exploited Children and the Maryland State Police Child Recovery Unit to identify missing children being advertised online for prostitution.
MCETF partners with the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
United States Attorney Rod J. Rosenstein praised the FBI, Baltimore County Police Department, Maryland State Police and the Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Ayn B. Ducao, P. Michael Cunningham and Rachel M. Yasser, who are prosecuting the case.
Attorney General Holder Suggests New Proposal to Boost Voting Access for American Indians and Alaska NativesRead the Press Release
In a new step to boost voting access for American Indians and Alaska Natives, Attorney General Eric Holder today suggested the idea of requiring state and local election administrators whose territory includes tribal lands to place at least one polling site in a location chosen by the tribal government. Attorney General Holder said the Justice Department would begin consulting with tribal authorities about the concept, and following consultations, would seek to cooperate with Congress on enacting the potential proposal.
Attorney General Holder said action was necessary to confront the range of factors that have contributed to the reduced voting access experienced by American Indians and Alaska Natives. Those factors include inaccessible polling places in tribal areas, English-only ballots for areas with limited English proficiency, and "precinct realignment" practices that attempt to combine geographically isolated Native communities.
“These conditions are not only unacceptable, they’re outrageous,” said Attorney General Holder. "As a nation, we cannot, and we will not, simply stand by as the voices of Native Americans are shut out of the democratic process. I am personally committed to working with tribal authorities – and with Congress – to confront disparities and end misguided voting practices once and for all.”
Attorney General Holder made the remarks in his weekly video message, which was posted on the Justice Department’s website.
Later today, Associate Attorney General Tony West will expand on this announcement in his remarks at the National Congress of American Indian Mid-year Conference in Anchorage, Alaska. In his remarks, Associate Attorney General West will denounce the use of discriminatory practices used to prevent certain groups from participating in the voting process and further discuss the need to take critical next steps to tackle disenfranchisement among Indian Americans and Alaska Natives.
“Our proposal would give American Indian and Alaska Native voters a right that most other citizens take for granted: a polling place in their community where they can cast a ballot and receive voter assistance to make sure their vote will be counted,” Associate Attorney General West will say in his remarks. “We take this step because voting is a legal right we guarantee to our citizens. We do it because it is right. And we do it because our shared history compels no less.”
The complete text of Attorney General Holder’s video message is copied below:
“At every level of our nation’s Department of Justice, my colleagues and I are firmly committed to protecting the voting rights of every eligible American. Unfortunately, when it comes to exercising this fundamental right, many individuals and communities face significant obstacles. And this is particularly true among American Indian and Alaska Native populations.
“All too often, tribal communities must contend with inaccessible polling places, reduced voting hours – and even requirements for mail-in, English-only ballots in places with low literacy rates and limited English proficiency. In some areas in Alaska, for example, state election officials have engaged in “precinct realignment” practices that combine two or more geographically isolated Native communities that are accessible to one another only by air or boat. For some voters, this means that casting a ballot would require them to cross a body of water or a mountain range that’s impassable on a snowy November Election Day.
“Let me be clear: these conditions are not only unacceptable – they’re outrageous. As a nation, we cannot – and we will not – simply stand by as the voices of Native Americans are shut out of the democratic process. And I am personally committed to working with tribal authorities – and with Congress – to confront disparities and end misguided voting practices once and for all.
“As Attorney General, I support taking whatever steps are necessary to guarantee that voters have access to polling places on Indian reservations and in Alaska Native villages. One idea in this regard would be federal legislation requiring any state or local election administrator whose territory includes all or part of an Indian reservation, an Alaska Native village, or other tribal lands to locate at least one polling place in a venue selected by the tribal government. In other words, we suggest that each tribe in the nation should have at least one polling place in a location of its choice. To consider this idea, the Justice Department will officially enter into formal consultations with sovereign tribes. If the tribes support it, the department will formally propose legislation to Congress and work to enact it.
“For decades upon decades, American Indians and Alaska Natives have faced a distinctive history of discrimination that has adversely affected their right to vote. As I made clear last November – at a White House Tribal Nations Conference in Washington – this Department of Justice and this Administration will never waver in our commitment to tribal sovereignty and self-determination. Today, we’re taking a critical step to make good on that commitment. And we’re reaffirming our dedication to expanding the ability of native peoples to exercise their most fundamental rights, to chart their own courses, and to build the better and brighter futures that they and their children deserve.”
The full video message is available at http://www.justice.gov/agwa.php.
Armed Crack Dealer Sentenced to Eight Years in PrisonRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard today sentenced Joe Terry (38, Jacksonville) to eight years in federal prison for distributing cocaine base and possessing a firearm in furtherance of drug trafficking.
Terry pleaded guilty on February 26, 2014.
According to court documents, Terry was selling “crack cocaine” from a house on Cinnamon Tea Lane, in Jacksonville. Alcohol, Tobacco, Firearms and Explosives (ATF) agents utilized a confidential informant to make an undercover purchase of “crack cocaine” from Terry. During that drug transaction, Terry displayed a Glock firearm. On August 29, 2013, ATF agents executed a federal search warrant at Terry’s residence and recovered a Glock .40 caliber pistol from inside, at which time Terry was arrested. At the time of the arrest, Terry was on parole from Georgia, for a felony drug offense.
This case was investigated by the Jacksonville Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). It was prosecuted by Assistant United States Attorney Frank Talbot.
It is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, along with Trevor Velinor, Acting Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. This is another example of ATF’s Frontline Strategy to impact violent crime in our communities.
Friday 6 June 2014
Woman Pleads Guilty to Theft of Government FundsRead the Press Release
ATLANTA - Jennifer Wynn has pleaded guilty to charges that she stole nearly $200,000 from the federal government by illegally receiving and spending her mother-in-law's Social Security benefits for nearly 20 years after her mother-in-law's death.
“The amount of money Wynn stole and her persistence in stealing for nearly 20 years shows her shameful disregard of the law,” said United States Attorney Sally Quillian Yates. “Those who steal from federal entitlement programs are on notice that they will be prosecuted to the fullest extent of the law. This type of crime harms not only the federal government, but the proper beneficiaries of these programs.”
“Of all the ways in which criminals attempt to steal Social Security benefits, few are as shameless and as certain to be detected as concealing the death of a family member,” said Thomas Caul, Special Agent in Charge, Office of the Inspector General for the Social Security Administration. “I’m grateful to the United States Attorney for her commitment to ensuring that these cases are prosecuted to the fullest extent of the law, preserving Social Security funds for those who need and deserve them.”
According to United States Attorney Yates, the charges and other information presented in court: Wynn's mother-in-law died in 1994. The defendant kept the deceased woman's bank account open, and the benefits, which were intended solely for her mother-in-law, were deposited into the account. Wynn used the money for her own personal expenses. Wynn attempted to conceal her mother-in-law’s death by writing checks to herself each month, and forging her mother-in-law's signature. In total, she received $195,304 in government benefits to which she was not entitled.
Sentencing for Wynn, 50, of Marietta, Ga., is scheduled for August 13, 2014, at 2:00 p.m. before United States District Judge Orinda D. Evans.
This case was investigated by the Social Security Administration - Office of the Inspector General.
Special Assistant United States Attorney Diane Claire Schulman prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Week in Review - South BendRead the Press Release
South Bend, Indiana — The United States Attorney’s Office announced the following activity in Federal Court:
DISPOSITION
- Javier Gomez-Sanchez, 32, of South Bend, Indiana was sentenced to 30 months imprisonment with 2 years supervised release after pleading guilty to the felony offense of knowingly or intentionally distributing a mixture or substance containing methamphetamine. According to documents filed in this case, on March 27, 2012, Gomez-Sanchez distributed a package containing over 50 grams of methamphetamine. This case was the result of an investigation by the Drug Enforcement Agency. 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:
PLEA
- Veronica Woods-Smith, 61, of Hammond, Indiana pled guilty to the felony offense of theft of government property. This charge was filed as a result of an investigation by the Social Security Administration. Sentencing has been set for 8/1/2014. This case is being prosecuted by Assistant United States Attorney Nick Padilla.
- Desman Thomas, 38, of Griffith, Indiana pled guilty to the felony offense of bank robbery. This charge was filed as a result of an investigation by the Federal Bureau of Investigation. Sentencing has been set for 8/21/2014. This case is being prosecuted by Assistant United States Attorney Dean Lanter.
- Dwayne Allen Jackson, 28, of Chicago, Illinois pled guilty to the felony offense of making a materially false statement. This charge was filed as a result of an investigation by the Department of Treasury - Secret Service. Sentencing has been set for 8/19/2014. This case is being prosecuted by Assistant United States Attorney Randy Stewart.
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
- Sidney Sellers, 42, of Chicago, Illinois was sentenced to 64 months and 4 years supervised release after pleading guilty to the felony offense of possession with intent to distribute fifty (50) grams or more of crack cocaine. According to documents filed in this case, in February 2008, Gary Police Department made a traffic stop of Sellers and discovered him to be in possession of a loaded Glock semiautomatic handgun. Law enforcement searched the car and recovered three clear bags containing 87 gross grams of crack cocaine and 223 gross grams of powder cocaine. This case was the result of an investigation by the Drug Enforcement Agency and the Gary Police Department. This case was prosecuted by Assistant United States Attorney Jennifer Chang-Adiga.
- Christopher Castro, 34, of Lorain, Ohio was sentenced to 63 months and 4 years supervised release after pleading guilty to the felony offense of conspiracy to possess with intent to distribute 500 grams or more of a mixture and substance containing a detectable amount of cocaine. According to documents filed in this case, Castro travelled with others from Ohio to Northwest Indiana to purchase cocaine. This case was the result of an investigation by the Drug Enforcement Agency. This case was prosecuted by Assistant United States Attorney Josh Kolar.
- Carmalita Stewart-Cannon, 48, of Gary, Indiana was sentenced to 12 months imprisonment and 2 years of supervised release after pleading guilty to the felony offense of knowingly possessing, in and affecting commerce, a firearm after having been convicted of a felony offense. According to documents filed in this case, on October 7, 21st, and 22nd, Gary Police officers conducted three recorded controlled buys of heroin (for 0.53, 0.87, and 0.83 gross grams respectively) through a confidential informant from Stewart-Cannon at her residence. On October 29, based on the heroin buys, a state search warrant was issued and executed for Stewart-Cannon’s residence. Within the residence was a purse containing both Stewart-Cannon’s identification and a Ruger .22 caliber pistol. Also in the room were 15 clear ziplock bags of marijuana. Stewart Cannon was arrested and gave a post arrest statement where she stated that she was holding the gun as collateral for someone she had lent $20.00. Stewart-Cannon has a prior felony conviction for Aggravated Robbery in 1999 and two possessions of controlled substance felonies from 2003 and 2011. She fled from probation on the 2011 count and there has been a warrant for her arrest since December 2011. This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Gary Police Department. This case was prosecuted by Assistant United States Attorney Tom McGrath.
- Derrick Green, 23, of Gary, Indiana was sentenced to 2 years probation after pleading guilty to the felony offense of making materially false statements with respect to information required to be kept in the records of a federally licensed firearms dealer in connection with the purchase of a firearm. According to documents filed in this case, in 2012, Green entered several federally licensed firearms dealers in Northwest Indiana, and completed several ATF Form 4473’s to purchase firearms. Green lied on each form by answering that he was the actual transferee/buyer of the firearm(s) listed. In 2012, one of the firearms was recovered from a convicted felon by law enforcement officers. In July 2012, the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted a recorded, consensual interview with Green, who indicated that he straw-purchased all of the firearms for another individual. This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives. This case was prosecuted by Assistant United States Attorney Dean Lanter.
- Duane Spears Jr., 24, of Gary, Indiana was sentenced to 2 years probation after pleading guilty to the felony offense of making materially false statements to a federally licensed firearms dealer in connection with the purchase of firearms. According to documents filed in this case, on June 21, 2012, Spears purchased a firearm from a federally licensed firearms dealer in Hammond, Indiana. Spears filled out an ATF Form 4473 for the purchase of a Ruger, .45 caliber, semi-automatic pistol, and a Glock, .40 caliber, semi-automatic pistol. In filling out this ATF Form 4473, Spears lied lied on the form by answering that he was the actual transferee/buyer of the firearm(s) listed when in truth he was actually purchasing the weapons for another individual. This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives. This case was prosecuted by Assistant United States Attorney Dean Lanter.
- Claude Hunter, 57, of Schererville, Indiana was sentenced to 5 months and 5 on detention after pleading guilty to the felony offense of selling firearm and ammunition to a known felon. According to documents filed in this case, on multiple dates including August 13, 2012, September 20, 2012 and October 3, 2012, Hunter met with an individual, who was a convicted felon, for the purpose of selling a firearm. Hunter knew the individual to be a convicted felon. In subsequent meetings, Hunter did sell firearms in a controlled buy and was later arrested. When in custody, Hunter admitted to providing two firearms for sale. This case was the result of an investigation by the Federal Bureau of Investigation. This case was prosecuted by Assistant United States Attorney Josh Kolar.
- Christopher Lewis, 38, of Merrillville, Indiana was sentenced to 27 months, 1 year supervised release and to pay $6,000 in fines after pleading guilty to the felony offense of attempt and conspiracy to commit mail fraud. According to documents filed in this case, Lewis was part of a widespread mortgage fraud conspiracy. He recruited buyers and misrepresented home values to the buyers. Homes were sold at inflated values. This case was the result of an investigation by the Federal Bureau of Investigation. This case was prosecuted by Assistant United States Attorney Jill Koster
Week in Review - Fort WayneRead the Press Release
Fort Wayne, Indiana —The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS
- Beau A. Eldridge, 28, of Fort Wayne, Indiana pled guilty to the felony offense of being a convicted felon in possession of a firearm. The magistrate 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 the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Wayne Police Department. Sentencing has not been set. This case is being prosecuted by Assistant United States Attorney Lovita Morris-King.
- James B. Nelson, 32, of Fort Wayne, Indiana pled guilty to the felony offense of possessing with intent to distribute 10 grams or more of a mixture or substance containing a detectable amount of LSD. The magistrate 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 the Department of Homeland Security Investigations, U.S. Postal Inspection Service, the Drug Enforcement Agency, Fort Wayne Police Department, Indiana State Police and the Allen County Police Department. Sentencing has not been set. This case is being prosecuted by Assistant United States Attorney Tina Nommay.
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
- Maria Patricia Herrera, 52, of Fort Wayne, Indiana was sentenced to time served and 1 year supervised release after pleading guilty to the felony offense of conspiracy to distribute and possess with the intent to distribute cocaine. According to documents filed in this case, Herrera was part of a network to distribute cocaine. She also assisted in destruction of incriminating evidence of drug dealing. This charge was filed as a result of an investigation by the Federal Bureau of Investigation, FBI Fort Wayne Safe Streets Task Force and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The Fort Wayne Safe Streets Task Force is comprised of FBI agents and officers from the Indiana State Police, Allen County Police Department, and Fort Wayne Police Department. The New Haven Police Department, Steuben County Sheriff's Department, Elkhart County Interdiction and Covert Enforcement Unit, South Bend Police Department, and IMAGE Drug Task Force assisted with this investigation. This case was prosecuted by Assistant United States Attorney Lesley Miller-Lowery.
- Rico J. Parrish, 28, of Fort Wayne, Indiana was sentenced to 24 months imprisonment and 2 years supervised release after pleading guilty to the felony offense of being a felon in possession of a firearm. According to documents filed in this case, on May 17, 2013, Fort Wayne police officers performed a traffic stop of a vehicle whose passengers included Parrish. Officers recovered a .45 caliber Glock pistol. During the inventory search prior to tow, officers located a Llama 9mm pistol handgun under the front edge of the front passenger seat. After being taken into custody, Parrish admitted to purchasing and owning the Llama firearm. Parrish also admitted that he had placed the firearm underneath the front passenger seat earlier that day prior to being stopped by the Fort Wayne Police Department. Parrish is a convicted felon. He has a prior conviction of carrying a handgun without a license on August 1, 2011, in Allen County, Indiana. This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Wayne Police Department. This case was prosecuted by Assistant United States Attorney Anthony Geller.
Waterbury Woman Who Failed to Register as A Sex Offender and Violated Supervised Release Is SentencedRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that GUITANA JONES, 42, formerly of Waterbury, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to approximately one year of imprisonment, time already served, and seven years of supervised release for failing to register as a sex offender and for violating the conditions of her supervised release from a previous federal conviction. She has been detained since June 10, 2013.
According to court documents and statements made in court, in October 2003, JONES was sentenced in federal court to 120 months of imprisonment, followed by three years of supervised release, for conspiracy and use of an interstate facility to transmit information about a minor. Also, in June 2007, she was given a concurrent sentence in state court of risk of injury to a minor and conspiracy to commit risk of injury to a minor. JONES was released from federal prison in May 2010.
As a convicted sex offender, JONES was told that she was required to register and update her registration under the Sex Offender Registration and Notification Act (“SORNA”). Convicted sex offenders must update their address within five days of any move, re-registering in any state to which they move, and verifying their current address with local law enforcement every 90 days. Prior to her release on federal supervision, JONES was told that crossing state lines without registering in the new state or notifying Connecticut of her change of address could result in federal prosecution for failure to register.
In September 2011, JONES requested the Court’s permission to move from Connecticut to Florida. In March 2012, her request was denied and JONES was told that she was not permitted to move to Florida while on federal supervised release.
In May 2013, the U.S. Probation Office learned that JONES had moved to Florida and, at times, had traveled back to Connecticut to avoid detection of her supervised release violation. JONES also tested positive for cocaine use. On June 10, 2013, U.S. Marshals arrested JONES for violating her supervised release.
The investigation revealed that, in September 2012, JONES obtained a Florida identification card after providing an address in Miramar, Fla. She also possessed and used a cellular telephone with a Florida area code while residing in Florida between February and April 2013. The Florida Sex Registry has no record of JONES ever applying to register as a sex offender.
On March 5, 2014, JONES pleaded guilty to one count of failure to register as a sex offender, and also admitted that she violated the terms and conditions of her supervised release.
Judge Underhill ordered JONES to serve the first two years of her seven-year term of supervised release in home confinement under GPS or electronic monitoring by the U.S. Probation Office. JONES also was ordered to register as a sex offender and to abide by several other conditions, including that she have no unsupervised contact with minors under the age of 18.
JONES, who has related state charges pending in Waterbury Superior Court, was released into the custody of the Waterbury Police Department following today’s court proceeding.
This matter was investigated by the United States Marshals Service and was prosecuted by Assistant U.S. Attorney Peter S. Jongbloed.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Waterbury Man Sentenced to 5 Years in Federal Prison for Distributing CrackRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JUICY REID-STITH, 38, of Waterbury, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to 60 months of imprisonment, followed by four years of supervised release, for selling crack cocaine.
According to court documents and statements made in court, in early 2012, the Bureau of Alcohol, Tobacco, Firearms and Explosives began an investigation into the distribution of crack cocaine and related criminal activity in the area of Locust Street in Waterbury. In April and May 2012, REID-STITH made several sales of crack, with a total weight of approximately 167 grams, to an individual working with law enforcement.
On March 5, 2014, REID-STITH pleaded guilty to one count of possessing with the intent to distribute and distributing 28 grams or more of cocaine base (“crack”).
REID-STITH has an extensive criminal history dating to 1992.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of the Waterbury and Bridgeport Police Departments. The case is being prosecuted by Assistant U.S. Attorney Michael E. Runowicz.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Warminster Man Charged with Theft of Government FundsRead the Press Release
William E. Gardner, 67, of Warminster, Pennsylvania was charged today by information with one count of theft of Government funds, and one count of social security fraud, announced United States Attorney Zane D. Memeger. The information alleges that between May 22, 2005 and January 2014, William E. Gardner implemented a scheme to receive and convert to his own use survivor's insurance benefits intended for a family member for a period of almost nine years after the family member's death, resulting in total losses to the government of approximately $104,615.
If convicted the defendant faces a maximum possible sentence of 15 years in prison, a $500,000.00 fine, three years supervised release, and restitution of $104,615.
The case was investigated by the Social Security Administration's Office of the Inspector General and is being prosecuted by Special Assistant United States Attorney Thomas Moshang III.
Click here to view the indictment
An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Two Metro Denver Drug Trafficking Organizations Dismantled by Metro Gang Task ForceRead the Press Release
Well over 300 special agents and officers arrested 28 defendants for drug trafficking and related crimes during early morning raids
DENVER – Following a two year criminal drug investigation, 54 defendants were named in four separate indictments charging various violations of the Controlled Substances Act, the United States Attorney’s Office and the Metro Gang Task Force announced. Of the 54 defendants indicted, 28 were arrested during raids early this morning. There are 12 defendants who have not been apprehended, and are actively being sought by law enforcement. Finally, there are 14 defendants who were already in custody prior to today’s takedown.
In addition to the arrests, agents and officers this morning recovered 2 pounds of methamphetamine, approximately $40,000 in cash, and 2 firearms. These seizures were in addition to evidence found during the pendency of the two unrelated investigations. The investigations, which were initiated in March of 2012, have resulted in the confiscation of 19,329.88 gross grams of methamphetamine, 614 gross grams of cocaine, 11.14 gross grams of heroin, 6.5 gross grams of MDMA (Ecstasy), and 18,287.8 gross grams of marijuana. In addition, 13 guns, 2 cars and $94,825, not counting items seized today.
The four indictments charged defendants from two separate and unrelated drug trafficking organizations (DTOs). The drugs being trafficked by both DTOs include: cocaine, crack, methamphetamine, heroin and marijuana. The investigations determined that some of the drugs being distributed throughout Metro Denver and along the Front Range came from Mexico. Some of the defendants who were responsible for trafficking these drugs are known for being involved with or having ties to others involved in violent crimes.
In the first DTO, known as “Operation Gangster Disciples”, 21 defendants were named in two separate related indictments returned by a federal grand jury in Denver on charges ranging from Conspiracy to possess with intent to distribute to distribution of various drugs, including: cocaine, crack, methamphetamine, and heroin. The DTO was allegedly run by defendant Ricky Kamil Garrison. In addition to drug trafficking charges, Garrison faces a charge for travel with the purpose of engaging in interstate prostitution. Another defendant, James Tillmon, faces state charges for hit and run. Some of the defendants in this DTO are members or associates of the Gangster Disciples (GD) gang. All face various drug trafficking related charges. In addition to the drug charges, various members in these indictments also face charges, including felons in possession of firearms, and distribution of dangerous drugs within 1,000 feet of a school.
Those arrested today include:
Francisco Aguilar, age 38, Denver
Shawn Beardsley, age 45, Aurora
Travis Edwards, age 52, Aurora
Dondrai Fisher, age 41, Aurora
Jesus Molina-Villarreal, age 45, Aurora
Archie Poole, age 37, Aurora
Francisco Ramirez, age 32, Aurora
Simeon Ramirez, age 40, Denver
Javier Segura-Cisneros, age 27, Aurora
Khari Smith, age 37, Aurora
Sidney Taylor, age 48, Denver
Christopher Vigil, age 27, Denver
Latoya Wimbush, age 29, Aurora
Melvin Turner, age 38, AuroraThose indicted by not yet arrested include:
Christopher Martinez, age 33, Aurora
Luis Ramirez, age 25, Thornton
Gregory Williams, age 53, Arvada
Name Unknown, age and residence unknownThose already in custody include:
Ricky Kamil Garrison, age 30
James Tillmon, age 30
Robert Painter, age 44In the second DTO, known as the “Gonzalez-Cepeva/Quintero” Drug Trafficking Organization, a federal grand jury in Denver handed down two additional indictments, unrelated to the Gangster Disciples DTO. In the Gonzalez-Cepeva/Quintero DTO, 33 defendants were named in two separate related indictments on charges ranging from drug trafficking to engaging in a continuing criminal enterprise, conspiracy to import various drugs from Mexico, cash smuggling, running a drug controlled premises, possession of a weapon by an illegal alien, possession of a weapon by a felon, interstate transportation in aid of racketeering, and possession of a weapon in connection with a drug trafficking crime. The Gonzalez-Cepeva/Quintero DTO was involved in the possession with intent to distribute, and the distribution of: methamphetamine, cocaine, and marijuana. The marijuana was allegedly imported to Colorado from California. The Gonzalez-Cepeva/Quintero DTO has individuals with ties to the “211 Crew.”
Of the defendants indicted in this case, those arrested today include:
Jose Castaneda-Zamora, age 38, unknown
Noe Chavez-Gomez, age 20, unknown
Debbi Martinez, age 24, Denver
Rafael Quintero Gomez, age 21, unknown
Jesus Montelongo-Talavera, age 24, Westminster
Alberto Quintero, age 23, Aurora
Juan Manuel Quintero, age 22, unknown
Racquel Ramos-Sanchez, age 58, San Elizario, Texas
Alberto Roel, age 45, Edinburg, Texas
Robert Schaffer, age 65, Fort Collins
Mark Singer, age 41, Colby, Kansas
John Howard Smith, age 55, Denver
Jessica Trejo-Huerta, age 23, Mexico
Servando Gandara-Chavez, age 43, DenverThose indicted by not yet arrested include:
Jose Oceguera-Ramirez, age unknown, Mexico
Tomas Gonzalez-Villalobos, age 43, Mexico
Ramona Haro-Iniquez, age 44, Denver
Marcus Marler, age 38, unknown
Juan Montelongo, age 25, Westminster
Sergio Salazar-Torres, age unknown, Mexico
Raul Ramirez-Munoz, age 42, Mexico
Hector Jesus Trejo-Huerta, age 27, MexicoThose already in custody include:
Antonio Gonzalez-Cepeva, age 25
Elias Rafael Gonzalez-Cabrera, age 22
Jesus Quintero, Jr., age 26
Gabriel Sowell, age 38
William Brewer, age 58
Porfiria Alejandra Faias-Contreras, age 24
Maria Farias-Contreras, age 23
Jesus Quintero, Sr., age 46
Carol Hawley, age 45
Gina Salcido, age 42
David Hall, age 56“Make no mistake: As a result of these raids, Colorado is a safer place,” said U.S. Attorney John Walsh. “Gangs that traffic in drugs also traffic in violence – whether by intimidation and fear, or by actual force. And while the exact impact these arrests have on the drug trade is difficult to quantify, it is safe to say that the quantity of cocaine, crack, meth and heroin available on the street have been substantially reduced as a result of today’s operation.”
“Today’s operations are yet another illustration of how these criminal organizations will not be allowed to operate with impunity in our communities,” said Thomas P. Ravenelle, Special Agent in Charge of the FBI’s Denver Division Field Office.
“Street gangs and drugs are a recipe for a significant percentage of violent crime in cities across the country,” said Kumar C. Kibble, special agent in charge of HSI Denver. “The joint investigations we pursue with many of our Denver-area based law enforcement partners target the resources of gangs and drug dealers -- finances, personnel, drugs and guns – to put them out of business.”
If convicted, the defendants face penalties ranging from not less than 5 years in federal prison to up to life in federal prison, depending on the count of conviction. The defendants’ criminal history, and the type and amount or weight of the drugs being trafficked are factors a judge will consider at sentencing.
The indictments contain an asset forfeiture allegation. The allegation states that upon conviction, the defendants shall forfeit to the United States any and all property, real or personal, involved in such offense, or any property traceable to the crime, such as vehicles or structures, and also including but not limited to a money judgment in the amount of proceeds involved in the offense.
This case was investigated by the Metro Gang Task Force. The Metro Gang Task Force is comprised of the Denver Division of the Federal Bureau of Investigation (FBI), U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Adams County Sheriff’s Office, Arapahoe County Sheriff’s Office, Aurora Police Department, Colorado State Patrol, Commerce City Police Department, Colorado National Guard Counter Drug Unit, Denver District Attorney’s Office, Denver Police Department, Jefferson County Sheriff’s Office, the High Intensity Drug Trafficking Areas Program (HIDTA), the Lakewood Police Department, Douglas County Sheriff’s Office and the Thornton Police Department. Agencies assisting the Metro Gang Task Force include: the Westminster Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the U.S. Marshals Service.
“Gangster Disciples” is being prosecuted by Assistant U.S. Attorney Zachary Phillips. “The Gonzalez-Cepeva/Quintero DTO” is being prosecuted by Assistant U.S. Attorneys Stephanie Podolak and Brad Giles.
The charges contained in the four indictments are allegations, and the defendants named in these indictments are presumed innocent unless and until proven guilty.Two Men Plead Guilty in Black Money ScamRead the Press Release
BUFFALO, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Gooding Vincent, 38, of Syracuse, N.Y., and Eugene Cooper, 38, of Buffalo, N.Y. pleaded guilty to using paper as money before U.S. Magistrate Judge H. Kenneth Schroeder. The charge carries a maximum sentence of one year in prison, a fine of $100,000 or both.
- Assistant U.S. Attorney Russell T. Ippolito, Jr., who is handling the prosecution, stated that Vincent and Cooper participated in a scam commonly referred to as a “Black Money Scam.” Such a scam usually involves an individual attempting to convince an unsuspecting victim to provide the scammer with money to purchase chemicals to turn black-dyed paper into authentic U.S. currency. The individual concocts a story that money, which originated outside the United States, was treated chemically and dyed black to sneak it past immigration officials to avoid tax liability. The scammer attempts to convince the victim that money is needed to purchase chemicals to restore the money and that the scammer will share with the victim some of the funds once they are restored.
- On July 8, 2013, the defendants met with a confidential informant (“CI”) working with the Government in order to convince the CI to purchase “dirty” money from them.
- Vincent and Cooper attempted to use a slightly different version of the black money scam. According to the defendants, genuine United States currency had been obtained from the Central Intelligence Agency (CIA) to fight wars in Africa. The United States currency had been dyed either black or white to avoid being detected by opposition leaders in Africa and could be restored by simply washing the bills in chemicals provided by the defendant.
- The CI agreed to purchase, and did purchase from the defendants, what the CI had been told was $10,500 in United States currency that had been dyed either black or white, in return for $10,000. In actuality, the defendants sold valueless black and white banknote sized paper to the CI for $10,000.
- The defendants later admitted to agents working for the United States Secret Service and the Department of Homeland Security that they had sold black and white banknote sized paper having no value to the CI for $10,000.
The pleas are the result of an investigation by the United Stated Secret Service, under the direction of Special Agent in Charge Tracy Gast and Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of James C. Spero.
The defendants are scheduled to be sentenced before Magistrate Judge H. Kenneth Schroeder on September 4, 2014, at 10:00 a.m.