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22 July 2014
Spiro Man Pleads Guilty to Methamphetamine DistributionRead the Press Release
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that BILLY DON FULLER, age 48, of Spiro, Oklahoma, pled guilty to Drug Conspiracy, in violation of Title 21, United States Code, Section 846 and Possession With Intent to Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(A) and Title 18, United States Code, Section 2.
The charge is a result of an investigation by the District 16 District Attorney’s Drug Task Force and the Drug Enforcement Administration. The defendant was indicted in March 2014.
The Indictment alleged that from in or about the beginning of 2011, the exact date being unknown to the Grand Jury, and continuing until on or about December 31, 2013, in the Eastern District of Oklahoma, and elsewhere, BILLY DON FULLER, did willfully and knowingly combine, conspire, confederate and agree together, and with others known and unknown to the Grand Jury, to commit offenses against the United States, to wit: to knowingly and intentionally possess with intent to distribute and distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The Honorable Kimberly E. West, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearing and ordered the completion of a presentence and investigation report. The defendant will remain in the custody of the United States Marshal Service pending sentencing.
The statutory range of punishment is not less than 10 years imprisonment or more than mandatory life, and/or up to a $1 0,000,000 fine and mandatory supervised release of at least 5 years.
Assistant United States Attorney Shannon Henson represented the United States.
Son and Business Associate of Defendant in Los Zetas Money Laundering Case Sentenced to Federal Prison for Conspiring to Bribe A Federal JudgeRead the Press Release
In Austin, 26–year-old Francisco Agustin Colorado Cebado (aka “Panchito”) and 52–year-old Ramon Segura Flores were each sentenced to a year and a day in federal prison and ordered to pay a $10,000 fine for attempting to bribe a federal judge announced United States Attorney Robert Pitman, Federal Bureau of Investigation Special Agent in Charge Christopher Combs and Internal Revenue Service-Criminal Investigation Special Agent in Charge Steve McCollough.
On March 12, 2004, the defendants, along with Francisco’s father, 53-year-old Veracruz, Mexico businessman Francisco Antonio Colorado Cessa (aka “Pancho”), pleaded guilty to one count of conspiracy to bribe a federal judge. All three admitted to conspiring last year to pay a $1.2 million bribe to a federal judge in order to secure a reduced sentence for Colorado-Cessa in a related court case. According to court records, at no time before or during this investigation was the judge involved in the alleged criminal activity.
Colorado Cebado and Segura Flores have remained in federal custody since their arrest on September 5, 2013. Both face deportation proceedings upon completion of their respective sentences.
Sentencing for Colorado Cessa, who faces up to five years in federal prison on the attempted bribery charge, is scheduled for October 20, 2014. Colorado Cessa is currently serving a 20-year federal prison term for his role in a complex scheme to launder millions of dollars in illicit Los Zetas drug trafficking proceeds to purchase, train, breed, and race American quarter horses in the United States.
This case was investigated by the FBI and IRS-Criminal Investigation.
Shreveport Pastor Sentenced to 78 Months in Prison for Engaging in Sexual Contact with MinorsRead the Press Release
SHREVEPORT, La. –A Shreveport pastor was sentenced to 78 months in prison and three years of supervised release for transporting minors across state lines in order to engage in illegal sexual conduct, U.S. Attorney Stephanie A. Finley announced today.
Andrea Lewis, 54, of Shreveport, was sentenced by U.S. District Judge Elizabeth E. Foote for three counts of transporting minors across state lines to have sex. As a part of his sentencing, he is also required to register as a sex offender. A jury found Lewis guilty on February 28, 2014 after a five-day trial. Witness testimony and exhibits admitted into evidence established that Lewis transported at least three minors to and from Texas to have sex with them. The events happened from 1994 to 2000. Lewis is a Shreveport pastor who formed and actively recruited members of a choir, which consisted of girls mostly under the age of 18 in his congregation. He used his status as pastor and choir director to coerce young female church and, or, choir members to have sex with him. He threatened the girls not to tell anyone, and used choir trips and other church related travel to cover up sexual abuse.
“Unfortunately, this defendant took advantage of his position to abuse young girls in his care and left them with emotional and physical scars that may never heal,” Finley stated. “He has forever altered their lives, and now he must face the consequences of his deplorable actions. The Assistant U.S. Attorney, FBI agents and the Shreveport Police Department officers who worked on this case are to be commended for their hard work and efforts in prosecuting this case. They were instrumental in removing the defendant from the community. He violated not only his oath as a minister, but also the trust of parents and these young children.”
The FBI and the Shreveport Police Department conducted the investigation. Assistant U.S. Attorney Earl M. Campbell prosecuted the case.
U.S. Attorney Finley can be reached at (337) 262-6618 for comments.
Sentencing Hearings Completed for Four Defendants in Cocaine, Heroin, Marijuana, Ecstasy and “Molly” Trafficking ConspiracyRead the Press Release
PROVIDENCE, R.I. – Four men arrested in June 2013 as the result of a sweeping fifteen-month joint federal, state and local law enforcement investigation resulting in the seizure of more than 137 grams of heroin, 392 grams of crack cocaine, 235 grams of cocaine powder, 47 grams and 100 pills of the synthetic drug “Molly,” 100 Ecstasy pills and six firearms, including a machine gun, have been sentenced to federal prison, announced United States Attorney Peter F. Neronha.
The investigation initiated in March 2012 by the Bureau of Alcohol, Tobacco, Firearms and Explosives and investigated jointly with DEA, with the assistance of agents and officers from the FBI, Homeland Security Investigations, United States Marshals Service, Rhode Island State Police and Cranston, Pawtucket, Providence, and Warwick Police Departments, determined that the drug trafficking conspiracy was responsible for a significant quantity of drugs being trafficked to other drug dealers and to drug users.
Salee Yang, 30, of Pawtucket, the primary target of the investigation, was sentenced in March to 120 months in federal prison; Eric Negron, 49, of Pawtucket, who admitted to being a primary supplier of heroin, cocaine and crack cocaine to Yang, was sentenced in April to 184 months in federal prison; Stanz Hun, 26, of Cranston, a member of the 4/5th Mafia and PSB street gangs who admitted to being a customer of Yang and admitted to operating his own drug trafficking business, was sentenced today to 84 months in federal prison; and Peter Lietar, 37, of Pawtucket, who admitted to supplying Ecstasy and “Molly” to Yang, was sentenced in March to 24 months in federal prison and ordered to pay a fine of $30,000. At the time of his arrest, agents discovered a marijuana grow in Lietar’s home larger than he was permitted as a State of Rhode Island authorized medical marijuana caregiver card holder.
“Drug trafficking, illegal guns and gang activity are a 1 – 2 – 3 recipe for urban violence, often with disastrous results,” said United States Attorney Peter F. Neronha. “The long sentences received by these men are well-deserved, and will contribute to making our urban neighborhoods safer. Yet, obviously, the work must continue, and I am grateful to our federal, state and local law enforcement partners for our continuing, ongoing, coordinated efforts to confront violence in urban neighborhoods.”
The cases were prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.
This case was brought as part of the Rhode Island Urban Violent Crime Initiative. The Rhode Island Urban Violent Crime Initiative is a local, state and federal law enforcement collaboration to proactively identify, investigate and prosecute individuals responsible for crimes of violence in urban neighborhoods.
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[email protected]Rochester Man Pleads Guilty to Online Enticement of a MinorRead the Press Release
ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Matthew D. King, 31, of Rochester, N.Y., pleaded guilty to online enticement of a minor before U.S. District Court Judge Frank P. Geraci. The charge carries a maximum penalty of life in prison with a mandatory minimum period of 120 months in prison, a fine of up to $250,000, or both.
Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that in 2012, the defendant was employed as a Youth Care Professional at the Hillside Children’s Center (HCC), a provider of care for youth and families with a wide range of emotional, behavioral, or life-circumstance challenges. In this role, King had direct supervisory responsibility over at risk youth, including the victim who was a 15 year old child.
Between February and August 2012, the defendant came into contact with the child on a regular basis and would frequently discuss sexual topics with the victim. King eventually asked the child to engage in sexual activity, and in fact did engage in sexual activity with the child on several occasions at or around HCC. In August of 2012, the victim reported this activity to HCC staff after King was reassigned as his supervisor. HCC immediately notified the New York State Police who conducted an investigation.
The investigation revealed that the defendant and the child engaged in sexual conduct on multiple occasions. Investigators also learned that on July 23, 2012, King contacted the child over the internet using an online social networking site, to arrange a sexual meeting with the child later that day. The defendant used this online contact to entice the child to engage in sexual conduct, which then took place. State Police contacted Homeland Security Investigations for assistance.
Following the State Police investigation, the defendant was charged with and pled guilty to five counts of Criminal Sexual Act, 3rd Degree (Felony) and two counts of Endangering the Welfare of a Minor (misdemeanor) in State Court related to his contact with the child.
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.
The plea is the culmination of an investigation on the part of Investigators with the New York State Police, under the direction of Major Scott Crosier, and Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
Sentencing is set for October, 23, 2014 at 9:30 a.m. before Judge Geraci.Rochester Man Arrested; Charged with Falsely Claiming United States CitizenshipRead the Press Release
ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Eugene Louis Thompson, 47, of Rochester, N.Y., was arrested and charged by criminal complaint with making a false written statement to the United States and falsely claiming to be a United States Citizen. The false statement charge carries a sentence of up to five years in prison, while the false claim to United States Citizenship carries a sentence of up to three years in prison. Both are also punishable by a fine of up to $250,000.
Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that according to the complaint, the defendant applied for employment with a federal contractor to work in a federal building in the Rochester area. During the application process, Thompson, a citizen and national of Liberia who is unlawfully present in the United States, made false statements on his background paperwork, including falsely claiming to be a United States Citizen.
The defendant made an initial appearance today before U.S. District Court Judge Frank P. Geraci. Thompson was detained, and is due back in court on July 28, 2014 before Magistrate Jonathan W. Feldman.
The criminal complaint is the culmination of an investigation on the part of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until proven guilty in a court of law.Remarks as Prepared for Delivery by U.S. Attorney Paul J. Fishman on the Results of the Investigation into the Newark Police DepartmentRead the Press Release
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NEWARK, NEW JERSEY
Good afternoon, and thank you all for being here.
We are here today to discuss two things. First, we want to describe the results of the investigation of the Newark Police Department that my office has conducted together with the Justice Department’s Civil Rights Division. And second, based on the results of that investigation, we are announcing that we have signed an agreement in principle with the city and the police department to make the changes that will give the people of Newark the first-class police department they deserve.
Before we start, though, I want to thank Jocelyn Samuels, the Acting Assistant Attorney General of the Justice Department’s Civil Rights Division, and the members of her staff who have worked on this investigation so closely with me and my office. Ms. Samuels will speak to you in a few minutes about why it is so important that our law enforcement officers conduct their vital work in a way that protects us at the same time it honors the Constitution we’ve all sworn to uphold. I also want to welcome Mayor Ras Baraka, Police Director Eugene Venable, and Chief of Police Anthony Campos. The city and the police department have cooperated throughout our investigation, and their presence here today reflects how deeply committed they are to this process and to the success of the police department.
The remedial measures outlined in the agreement will include significant changes to the department’s policies and procedures for stopping and questioning people; when and how officers use force; what training they receive; and improving the department’s systems of accountability. The agreement also requires fair application of officer discipline, better data collection and analysis, and more rigorous procedures for safeguarding personal property that belongs to people who have been arrested. The agreement specifically states that we will now turn to finalizing a consent decree that will be filed and enforceable in federal court. That document will require the appointment of a monitor to follow and report on the progress that the city and the police department are making. Finally, the agreement recognizes – as all of us up here know – that the police department needs to have a much deeper relationship with the community it protects.
These steps represent a major commitment to changing how the city of Newark will be policed.
So, why do we need these changes? Why are we here today?
Three years ago, we announced that we were launching an investigation into whether the Newark Police Department had engaged in a pattern or practice of unconstitutional policing. During that investigation, we met and spoke with many members of the force at every level, union representatives, other law enforcement agencies, public defenders, community members, elected representatives, and others. We reviewed thousands of reports, NPD polices and training records, and internal affairs files. Members of the team rode with the police to see first-hand what the challenges they face and how they do their jobs. We consulted with experts from other police departments around the country.
We saw what we already knew in my office to be true: most of the men and women who wear the uniform of the Newark Police Department bring enormous dedication and integrity to their jobs every day. But we also found an organization that is challenged in fundamental ways and has engaged in a pattern and practice of unconstitutional policing in a broad range of areas.
Let me start with stops. Over a three-and-a-half year period, nearly 75 percent of the reports of pedestrian stops failed to describe a constitutionally adequate reason for those stops. To stop someone on the street, an officer must have “reasonable suspicion” that the person is engaged in criminal activity. But the reasons that the police gave for those stops weren’t enough to meet that standard.
Some of this is a lack of clarity in NPD’s policies and training, which has promoted a view that living or simply being in a high-crime area is, in and of itself, criminally suspicious. But that’s not a constitutional way to police.
We also found that the burden of this practice of stopping people without sufficient reason has fallen most heavily on black people. Eighty-five percent of the people stopped by the police in Newark are black in a city where the black population is 54 percent. So it stands to reason that, if the police are stopping people in Newark for impermissible or insufficient reasons, the people who are most likely to have that happen to them are black.
Let me clear: we are not saying that this disparate impact is the result of intentional discrimination. There may be other explanations. But the City of Newark and NPD need to improve the collection and analysis of stop, search, and arrest data to permit more thorough analysis of the racial and ethnic impact of NPD’s police practices, and the Agreement provides for that.
Some of the people who have been stopped and arrested were lawfully objecting to police action or simply behaving in a way that officers perceived as disrespectful. That’s a violation of individuals’ rights under the Fourth and First Amendments. And the city has agreed that this practice has to change too.
We also found reason to believe the NPD has engaged in a pattern or practice of the use of excessive force. Over a six-year period, the NPD sustained only a single complaint that a police officer had used unreasonable force. While there is no “correct” rate at which a police department must or should sustain these kinds of complaints, that statistic is stunningly low for a police department of the size of NPD.
There are lots of reasons for this problem. The training on use of force isn’t remotely good enough; the reports themselves have been inadequate; there are a lot of situations in which force has been used and the police simply haven’t reported it; and the investigations by internal affairs have been woefully substandard. No police department can function correctly without effective reporting, supervision, and review of use of force and the city and the police department’s leadership have agreed to fix it.
The investigation also found a pattern or practice of theft of citizens’ property by NPD officers, especially in NPD’s specialized units, such as the narcotics and gang units, and at NPD’s prisoner processing unit. The NPD hasn’t adequately investigated theft complaints, it hasn’t taken corrective action against offending officers, and it has declined to implement even its own investigators’ recommendations to prevent theft. The police department has to adequately screen candidates for specialized assignments, rotate officers, and monitor those whose integrity is in question.
In fact, the entire internal affairs operation of the NPD is in severe need of overhaul. They need more training; they need more resources; and they need to have a much better system of tracking allegations against officers across the department. The absence of meaningful review has contributed to all of the other issues we’ve identified.
And it is also clear that the police department’s relationship with the people of the city have suffered from the combination of those practices. Community trust has deteriorated, and that in turn has compromised the effectiveness of the department.
The response to those problems is embodied in the Agreement in Principle that we’ve signed today. This agreement will serve as the framework for a new structure, increased transparency and accountability that is desperately needed to turn this department around. We are now in position to negotiate the final agreement, including the selection of an independent monitor, but it will certainly include remedial measures to address the deficiencies I’ve just described. Those will include civilian review and community engagement; closer use of force documentation and review; improved internal affairs practices; fair and consistent application of discipline; constitutional stop, search and arrest practices; improved data collection and review; better safeguarding of personal property; and an enhanced early warning system to support effective supervision and management.
The people of Newark deserve to be safe, whether sitting in front of their houses on Bergen Street or walking through Branch Brook Park or hustling to catch a train at Penn Station. So do the thousands of people who come here to work and to take advantage of all the city has to offer. But they also need to know that the people who are protecting them, who are making them safe, are doing this incredibly important and dangerous work while still respecting their rights under our constitution. The Justice Department has a long history of making sure of that. We recognize that great police work is constitutional police work. We are safer, and officers are more effective, when they follow the law.
I’d now like to turn the lectern over to my friend, Jocelyn Samuels, the Acting Assistant Attorney General for the Civil Rights Division of the Department of Justice to talk about exactly that.
In the last several weeks, since his election, I’ve had a few meetings with Mayor Ras Baraka to discuss this investigation, the agreement in principle, and how we move forward. I’m confident that he will continue in the same cooperative spirit that we’ve seen from the city for the last three years and that he is committed to the reforms we’re discussing today. Mayor Baraka.
I have been the U.S. Attorney for almost five years and, during that time, we have had no more important local partner in the fight against violent crime – drugs, gangs, and guns – than the Newark Police Department. I know first-hand how dedicated and professional its police officers are and I am proud of the work we have done together.
But I also know how much more effective they can and will be after we implement these changes and reforms. That will take real work: there will be difficult conversations and bad habits can be hard to break. But I am confident that the city and the police department are committed to making it happen.
I have worked in Newark almost continuously for more than 30 years. It is a hub of commerce and transportation, home to a great performing arts center and sports arena, institutions of education and government, of medicine and culture. It has a rich history and heritage going back to its founding almost 350 years ago. It is a great city, and its people deserve and are entitled to a great police force.
President Announces New AmeriCorps Partnerships to Expand Opportunities to YouthRead the Press Release
As part of his My Brother’s Keeper initiative, President Obama announced new AmeriCorps partnerships with federal agencies and the private sector to connect young people to mentoring, support networks and job skills to help them reach their full potential.
Monday’s announcement altogether represents a total of $24 million in investments in national service. The Departments of Justice and Agriculture (USDA) are joining with the Corporation for National and Community Service (CNCS) to launch new AmeriCorps programs and partnerships that total up to $14 million over three years. Private sector commitments from AT&T and Citi Foundation will support additional AmeriCorps service opportunities that provide young people with skills and supports to successfully enter the workforce.
“America’s future will be defined, and our progress determined, by the doors we open and the support we offer to young people across the nation,” said Attorney General Eric Holder. “My Brother’s Keeper, and innovative initiatives like this one, must be a central part of this work. By involving young people in service projects and offering them the benefits of mentorship – through programs like AmeriCorps – we can help our kids mature into responsible, confident, and productive young adults. And we can do our part to ensure that every child, from every background, has the tools they need to learn, to grow, to thrive – and to lead.”
CNCS and the Department of Justice’s Office of Juvenile Justice and Delinquency Prevention (OJJDP) are jointly funding Youth Opportunity AmeriCorps . The program, which totals up to $10 million over three years, will enroll disconnected youth in national service programs as AmeriCorps members. It includes a mentorship component that will provide critical mentoring support to the AmeriCorps members.
USDA and CNCS have joined in a landmark new partnership between AmeriCorps and the USDA’s Forest Service that connects youth and veterans with service opportunities to restore the nation’s forests and grasslands. The $3.8 million in joint funding will provide resources for both AmeriCorps grantees and member organizations of the 21 st Century Conservation Service Corps (21CSC), and will also provide for 300 new AmeriCorps members serving in U.S. forests and grasslands.
The commitments announced today support the My Brother’s Keeper initiative by increasing entry-level job, mentorship and apprenticeship options for all young people, including boys and young men of color. They also advance the goals of the President’s Task Force on Expanding National Service , which calls for new public-private partnerships that use national service to help solve our nation’s most pressing challenges.
“As a nation, there is much more we can do to help our young people stay on track and reach their full potential in life,” said CEO of CNCS Wendy Spencer. “AmeriCorps is a proven pathway to opportunity that provides skills, leadership, and college support for young people. We are thrilled to join with our federal and corporate partners to launch new AmeriCorps programs that will put hundreds of young people on a path to success in school and life.”
“This landmark partnership between the Forest Service and USDA with AmeriCorps and the Corporation for National and Community Service provides youth and veterans with new job skills while helping to restore America's forests and grasslands,” said U.S. Secretary of Agriculture Tom Vilsack. “The administration's continued support for the 21 st Century Conservation Service Corps furthers President Obama's goals of expanding economic opportunity, creating new ways to engage in service projects, and reconnecting Americans to the great outdoors.”
In addition to new federal partnerships, the White House announced additional AmeriCorps commitments from the private sector to support the goals of My Brother’s Keeper. AT&T is launching the Aspire Mentoring Academy Corps , powered by AmeriCorps, AT&T and MENTOR: The National Mentoring Partnership. The program will engage AmeriCorps members in regions around the country and engage thousands of youth from underserved communities in mentoring activities.
“Research shows that the presence of a mentor in a young person’s life significantly improves their potential for success,” said AT&T Chairman and CEO Randall Stephenson. “That’s why I and many of our employees are currently mentoring students across the country.”
Citi Foundation is making a three-year, $10 million commitment to create ServiceWorks , a groundbreaking national program powered by AmeriCorps and Points of Light that uses volunteer service to help 25,000 young people in 10 cities across the United States develop the skills they need to prepare for college and careers. The program, which will deploy 225 AmeriCorps VISTA members over three years, will engage youth ages 16-24 in service and build a large-scale volunteer response to the crisis of low college and career attainment. The young people will receive training in critical 21 st century leadership and workplace skills, the chance to build their networks and connections to their communities, and the opportunity to use their new skills by participating in and leading volunteer service projects.
AmeriCorps members serving in these programs, most of whom will be youth from underserved communities, will earn education scholarships to help pay for college or repay their student loans – putting them on track for greater economic opportunity in the future.
On Feb. 27, 2014, President Obama launched the My Brother’s Keeper initiative to address persistent opportunity gaps faced by boys and young men of color and to ensure that all young people can reach their full potential. The president’s My Brother’s Keeper Federal Task Force released a 90-day report on May 30, which identified starting points for what will be an enduring effort at improving the life outcomes for our youth, including boys and young men of color.
As part of this effort, CNCS joined joining with other federal agencies and nonprofit organizations to launch a campaign to recruit individuals to serve as mentors to boys and young men of color across the country. The United We Serve website includes a database of mentoring opportunities searchable by zip code.
Philadelphia Man Indicted on Attempted Robbery and Gun ChargesRead the Press Release
Jamal Charles, 19, of Philadelphia, PA, was charged today by indictment with the attempted armed robbery of a check cashing business, announced United States Attorney Zane David Memeger. According to the indictment, Charles walked in to the ACE Cash Express, on Germantown Avenue in Philadelphia, on May 27, 2014, and ordered an employee, at gunpoint, to open the store safe. Police arrived before Charles could get away. In addition to attempted robbery, Charles is charged with possession of a firearm during and in relation to a crime of violence.
If convicted of the charges, Charles faces a maximum sentence of life with a mandatory minimum of seven years in prison. He also faces up to five years of supervised release and a possible fine.This case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Ewald Zittlau.
Click here to view the indictment
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Penn National Racetrack Employee Pleads Guilty to Fraud ChargeRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Danny Robertson, 63, Hershey, Pennsylvania pled guilty in United States District Court in Harrisburg to wire fraud relating to providing false information to racing officials and the public.
According to United States Attorney Peter Smith, Robertson was an employee at the Penn National racetrack and worked as a clocker. His duties included being present at the racetrack when horses had their official workout. Robertson was responsible for verifying that the horse was the actual horse the trainer represented it to be, accurately recording the distance and the time the horse ran in and providing the information to racing officials for the official daily racing program. Robertson also provided the workout time information by interstate wire via computer to Equibase, a Kentucky-based company that distributes information on a racehorse’s performance and workout times to organizations, media outlets and publications such as the Daily Racing Form, as well as on its own website.
Robertson was charged in an indictment presented on November 20, 2013. The count of the Indictment to which Robertson pled guilty alleged that the workout time information is relied upon by the betting public in deciding which horse to wager on in any given race. Robertson admitted that, in exchange for cash, he provided false workout times to racing officials and to Equibase. The times provided by Robertson as part of the fraud were inaccurate, or were completely fabricated for a horse that did not work out at all at the track. Robertson profited personally from the scheme, the betting public was defrauded and Robertson’s’ employer, Hollywood Casino and Racetrack, was denied its right to Robertson’s honest services.
Robertson pled guilty today before Senior U.S. District Court Judge William W. Caldwell pursuant to a plea agreement with the government. The investigation was conducted by the Federal Bureau of Investigation’s Harrisburg Resident Agency, the Pennsylvania State Police and the Pennsylvania State Horse Racing Commission. Prosecution was assigned to Assistant United States Attorney William A. Behe.
Robertson faces up to 20 years imprisonment and a $250,000 fine.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Owner of Forty Fort GM Foodmart Store Sentenced to Prison for Money Laundering ConspiracyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 47-year-old Forty Fort businessman was sentenced to 31 months in federal prison today by Senior U.S. District Court Judge Edwin M. Kosik for participating in a conspiracy to launder drug proceeds related to the distribution of synthetic marijuana.
According to United States Attorney Peter Smith, the defendant, Mastan Mathan, of Forty Fort, previously admitted to conducting financial transactions with drug proceeds that were designed to conceal the nature of the proceeds and carry on the illegal distribution of synthetic marijuana. The money laundering activity occurred between October 2011 and July 2012, and involved approximately $310,000.
Mathan was charged in a criminal Information filed by the United States Attorney. The Information states that Mathan and his co-conspirators obtained synthetic marijuana from out-of-state suppliers; sold synthetic marijuana to customers from the GM Foodmart Store in Forty Fort; and deposited the proceeds of drug sales into at least two bank accounts in order to conceal the illegal nature of the proceeds and to promote the carrying on of the illegal drug business.
The prosecution of Mathan resulted from an investigation by the IRS Criminal Investigative Division, the Drug Enforcement Administration, and the Pennsylvania State Police.
Judge Kosik also ordered Mathan to be placed on supervised release for two years after serving his prison sentence. Mathan has forfeited approximately $174,000 to the United States that was seized by agents during the investigation.
The case was prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Owner of Allergy Lab Pleads Guilty to Faking Allergy Test ResultsRead the Press Release
ATLANTA - Rahsaan Jackson Garth has pleaded guilty to a charge of health care fraud for faking the results of allergy tests that patients’ doctors had ordered.
“Garth put his own greed above the health and safety of citizens,” said United States Attorney Sally Quillian Yates. “This defendant seriously endangered the lives of children and adults in Atlanta when he faked their allergy test results and misled their doctors.”
“Such reckless conduct cannot be tolerated” said Derrick L. Jackson, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of the Inspector General in Atlanta. “The blatant disregard for potential patient harm is inexcusable, especially when many of the patients affected were children and the elderly. Today’s plea demonstrates the OIG’s commitment to bringing to justice those who put profit before patient safety.”
According to United States Attorney Yates, the charges and other information presented in court: The defendant, Rahsaan Jackson Garth, a/k/a/ R. Jackson Garth, opened an allergy laboratory in 2011, named Polaris Allergy Labs, Inc. Polaris Allergy Labs, Inc. was located in East Point, Ga. Doctors would send their patients’ blood samples to Polaris Allergy Labs, Inc. to be tested for food and environmental allergies. Beginning in approximately September 2012, and continuing through February 2014, Garth directed his allergy laboratory technician not to actually test some of the blood samples for allergens. Garth ordered his technician not to test the blood in order to save money by not using the allergen reagents necessary for testing. Instead of testing the blood, Garth would create fake allergy test result reports for the patients. Then he would have the fake test result reports sent back to the patients’ doctors.
Sometimes Garth created results showing no allergic reaction, and other times he created results showing an allergic reaction, in order to avoid raising the suspicions of the doctors to whom he sent fake test result reports. The patients’ doctors were unaware that Garth was sending them fake allergy test results for their patients.
After creating a fake allergy test report for a patient, Garth would then cause a bill to be submitted to the patient's health care benefit program, even though no service had in fact been provided.The sentencing for Garth, a/k/a R. Jackson Garth, 39, of Marietta, Ga., has not yet been scheduled.
This case is being investigated by the Department of Health and Human Services.
Assistant United States Attorney Mary L. Webb is prosecuting 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/.
Orange County Man Pleads Guilty to Defrauding Banks and S.B.A. by Illegally Obtaining Commercial Loans Worth More Than $10 MillionRead the Press Release
SANTA ANA, California – An Orange County businessman has pleaded guilty to federal charges related to a series of fraud schemes that include one in which he worked with his criminal defense attorney to fraudulently apply for millions of dollars in loans backed by the Small Business Administration.
Donald Keith Goff, 66, of Laguna Niguel, pleaded guilty late yesterday to three felony counts – mail fraud, wire fraud and bank fraud – for leading a group of conspirators in a series of complex, multi-million dollar fraud schemes. In one scheme, Goff admitted that he and his criminal defense attorney conducted a scam after Goff had already been indicted by a federal grand jury in the prior fraud.
According to court documents and his admissions in court, Goff orchestrated a scheme in 2006 and 2007 to defraud Grand Pacific Financing Corporation (GPFC), which provided a $4.5 million loan to finance the purchase of a gas station business in Fountain Valley. Goff was unable to obtain the loan himself as a result of his poor credit rating, history of being sued by creditors and failure to pay judgments. To obtain the loan, Goff created a shell corporation and recruited an unemployed truck driver to act as a “straw buyer” who posed as the owner of the shell company and applied for the loan in the corporation’s name. As part of the scheme, Goff and a co-conspirator included false information in the loan application regarding the straw buyer’s experience and assets. In addition, Goff and a co-conspirator bribed an escrow agent to falsely advise the bank that a $600,000 equity down payment had been used for the purchase, when in fact no down payment was made. During this scheme, Goff worked with his wife, Melanie Goff; his step-daughter, Monty Brown; a business associate named Leon Draper; and others.
Later in 2007, after obtaining the loan from GPFC and gaining control of the Fountain Valley gas station business, Goff orchestrated a scheme to defraud Nara Bank. In this fraud, Goff formed another shell corporation, installed his wife as owner and had the new shell corporation “buy” the gas station business. Goff then had his wife and step-daughter apply to Nara Bank for a loan to “refinance” the supposed debt one shell company owed the other, without disclosing to the bank that they controlled both companies. Nara Bank was provided false information regarding his wife’s credit history and a $600,000 deposit supposedly put down on the purchase. When the deal closed, more than one-third of the $1.4 million in loan proceeds were transferred to a bank account the Goffs controlled.
Over the rest of 2007, Goff and his family used the Nara Bank loan proceeds, as well as money siphoned from the gas station business, to pay personal expenses, including purchasing luxury items. By early 2008, the shell corporations had defaulted on the GPFC and Nara Bank loans, which caused each financial institution to suffer losses of several hundred thousand dollars. The SBA, which partially guaranteed the Nara Bank loan, lost nearly $1 million.
In May 2012, a federal grand jury in Santa Ana indicted Goff, his wife, Brown and Draper in the schemes to defraud GPFC and Nara Bank. After he was charged, Goff was represented in the case by defense attorney Gino Pietro.
After the indictment, Goff, Brown and Pietro engaged in a similar plot to defraud Hana Small Business Lending, Inc. In this scheme, Goff and Pietro created a shell corporation and recruited a straw buyer – this time, former attorney Gregory Sullivan – to pose as the owner of the new shell corporation and to apply for $4.5 million in loans to finance the purchase of gas station businesses in Anza, California and Imperial, California. This scheme also involved providing false information regarding the straw buyer’s experience and assets, bribing an escrow agent to falsely tell Hana that there were $2.1 million in down payments, and overstating the sale prices of the businesses. Hana funded the loans, which were guaranteed by the SBA. From the loan proceeds, Goff and his family received nearly $300,000, Pietro received $250,000, and Sullivan received $100,000. Over the next six months, Goff and his family used the loan proceeds and substantial funds from the gas station businesses for personal expenses, as they began to default on the loans from Hana, which has since foreclosed on the business. Hana and the SBA now face an estimated $3 million in losses.
As a result of these schemes, investigators believe that banks and the SBA suffered losses of approximately $5 million.
“Attempts to use SBA’s 7(a) loan program as a personal checking account will be met with the full force of the U.S. justice system,” said SBA Inspector General Peggy E. Gustafson. “Together with our law enforcement partners, the OIG will continue to ensure those who commit fraud are brought to justice.”
Goff pleaded guilty late Monday afternoon before United States District Judge Andrew J. Guilford, who is scheduled to sentence the defendant on November 17. As a result of today’s guilty pleas, Goff faces a statutory maximum sentence of 70 years in federal prison.
Melanie Goff and Brown previously pleaded guilty and are scheduled to be sentenced by Judge Guilford, respectively, on October 6 and January 12, 2015.
Draper has signed a plea agreement and is scheduled to plead guilty on Friday in federal court in Santa Ana.
Pietro, who was charged separately by the United States Attorney’s Office in San Diego, has also pleaded guilty. Pietro is scheduled to be sentenced by Judge Guilford on October 20.
Sullivan is scheduled to go on trial in Santa Ana federal court on December 9.
These criminal cases are the result of an investigation by the U.S. Small Business Administration – Office of Inspector General and the Federal Bureau of Investigation. The United States Attorney’s Office for the Southern District of California provided substantial assistance on this case.
Release No. 14-095
North Port Couple Sentenced to Prison for Filing A False Tax Refund ClaimRead the Press Release
Tampa, FL – U.S. District Judge James D. Whittemore today sentenced North Port residents James Dee Jaeger (62) and Lora Anne Jaeger (50) to 18 months each in federal prison. The Jaegers both pleaded guilty on April 21, 2014 to one count of filing a false tax refund claim.
According to court documents and evidence presented at sentencing, on March 31, 2009, James Dee Jaeger and Lora Anne Jaeger electronically filed a joint federal income tax return with the Internal Revenue Service (IRS) from the Middle District of Florida, falsely claiming a refund in the amount of $344,672. The fraudulent tax refund claim filed by the Jaegers was consistent with a bogus theory that the federal government maintains secret accounts for U.S. citizens and that taxpayers can gain access to the accounts by issuing 1099-OID Forms to the IRS. Under this theory, the taxpayer first files a false information return, such as a Form 1099 Original Issue Discount (OID), to justify a false refund claim on a corresponding tax return. In this case, the IRS did not issue the fraudulent tax refunds claimed by the Jaegers. In addition to their own fraudulent tax refund claim, the Jaegers advised and encouraged other individuals to file similar fraudulent tax returns claiming greater than $2,500,000 in fraudulent refunds.
This case was investigated by the Internal Revenue Service – Criminal Investigation. It was prosecuted by Assistant United States Attorney Matthew J. Mueller and Trial Attorney Kevin C. Lombardi of the Department of Justice, Tax Division.
Nine Individuals Indicted for Wire Fraud and Student Loan FraudRead the Press Release
San Juan, Puerto Rico – On July 16, a federal grand jury returned an 18-count indictment against nine individuals for student loan fraud, announced United States Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez. The investigation was conducted by the Department of Education, Office of Inspector General.
Charles Santana, Jessica Rodríguez-Velàzquez, Eliezer Santana-Cruz, Nydia I. Cruz-Rodríguez, Alexis Cockran-Cruz, José Lanause-Cruz, Yamille Santana-Cruz, Matilde Santana-Cruz, and Irma Montañez-Aponte, aiding and abetting each other, devised a scheme in which the defendants would obtain money in the form of student financial aid funds provided and insured by the U.S. government to which they were not entitled, under false and fraudulent pretenses.According to the indictment, defendant Charles Santana recruited other persons who did not intend to attend school or earn a degree (“the straw students”). Santana promised the straw students a cut of the student aid funds that would be fraudulently obtained by the scheme. Santana and Rodríguez-Velàzquez instructed the straw students to enroll in online courses at InterAmerican University (IAU), Guayama. The straw students enrolled in this program in order to obtain the student aid funds without any intent to earn a degree or to use the money for authorized educational expenses.
Santana solicited personal identifying information from the straw students for the purpose of using their identities to apply for federal student aid for each straw student. He falsely stated on master promissory notes that the proceeds of student aid funds would be used for authorized educational expenses, when in truth and fact, Santana knew that the straw students did not intend to attend school or earn a degree, and that the money would not be used for authorized educational expenses.
The defendants caused federal student loans and grants to be awarded to themselves and others based on false information provided on the IAU and Free Application for Federal Student Aid (FAFSA) applications, and the master promissory notes, which resulted in student aid funds being disbursed to themselves and others. The defendants caused student aid funds to be wrongfully disbursed in an aggregate amount in excess of $300,000.00.
Santana and Rodríguez-Velàzquez received student aid funds, and they gave a cut of the money to the straw students. Santana completed the online assignments for each straw student so that they appeared to be active students and the financial aid would continue to be disbursed to the defendants.
Defendant Charles Santana is facing eight counts of aggravated identity theft. According to the indictment, he transferred, possessed, and used, without lawful authority, a means of identification of another person, that is, the names, social security numbers, and electronic signatures of other persons, in order to be able to carry out the scheme.
“These individuals are charged with defrauding education programs for personal gain,” said United States Attorney, Rosa Emilia Rodríguez-Vélez. “We will continue to investigate and prosecute those who engage in corrupt acts which directly affect federal programs and the availability of these funds for its intended recipients,” stated Rodríguez-Vélez. Said U.S. Attorney Rosa Emilia Rodríguez-Vélez
“Scams like the ones these nine individuals are alleged to have perpetrated steal money from hardworking taxpayers. They are criminal enterprises that we call “fraud rings” -- large, loosely affiliated groups of criminals that are operating around the country, exploiting distance education programs at colleges and universities in order to fraudulently obtain Federal student aid,” said Yessyka Santana, Special Agent in Charge of the U.S. Department of Education's Southeastern Regional Office. “They see it as an opportunity to grab some quick cash with relatively little effort. We see it for what it is -- a crime. As the law enforcement arm of the U.S. Department of Education, ensuring that those who steal student aid or game the system for their own selfish purposes are stopped and held accountable for their criminal actions is a big part of our mission.”
This case is being prosecuted by Assistant U.S. Attorney Justin R. Martin. The maximum penalties are twenty years of imprisonment for the wire fraud and five years for the student loan fraud. Defendant Santana is also facing two years of imprisonment consecutive to any sentence, for each of the aggravated identity theft charges. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.Mountain Home Man Sentenced on Federal Child Pornography ChargeRead the Press Release
Admitted sexual contact with prepubescent minors
BOISE - Christopher James Swicegood, 22, of Mountain Home, Idaho, was sentenced today to 180 months in prison for possession of sexually explicit images of prepubescent minors, U.S. Attorney Wendy J. Olson announced. The defendant was given three-and-a-half months credit for time served in state custody. Chief U.S. District Judge B. Lynn Winmill also ordered Swicegood to serve 35 years of supervised release following his release from prison.
According to the plea agreement, the investigation began in January 2013, when U.S. Immigration and Customs Enforcement investigators followed a lead provided by a foreign government concerning users of a website used extensively by persons interested in exchanging child pornography. Investigators obtained a search warrant for the home Swicegood shared with others in Mountain Home and found images and videos of prepubescent minors being sexually abuse on a computer and hard drive Swicegood owned. Swicegood admitted that he had posted child pornography on the foreign website and that he had traded child pornography with other users of the foreign website. Swicegood will forfeit the computer equipment used in the home.
The National Center for Missing and Exploited Children examined the material found on Swicegood’s media and identified 230 image files from 57 known child pornography series, and 30 videos from 14 separate child pornography series. Each series represents a different minor victim or group of minor victims being sexually abused. These victims come from a variety of states of the United States and many foreign countries.
Also according to the plea agreement, Swicegood admitted sexual interactions, including sexual touching, with at least three different minor children in the Mountain Home area. He was originally charged in Elmore County with Lewd or Lascivious Acts on a Minor Child under the age of 16 years. Those charges were dismissed by motion of the prosecuting attorney on June 13 as a part of Swicegood’s agreement to admit that conduct in his federal plea agreement.
“This case exemplifies the important role local and federal law enforcement partnerships play in putting child predators behind bars,” said Olson. “Let this sentence serve as a warning to other predators. We will find you, arrest you and ensure that you are prosecuted to the fullest extent of the law.”
The case was investigated by the U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI), which is a member of the Idaho Internet Crimes Against Children (ICAC) Task Force, a statewide coalition of local, state and federal law enforcement and prosecution agencies, focused on apprehending and prosecuting individuals who use the Internet to criminally exploit children. For more information about the Idaho ICAC Task Force and a list of all the participating agencies, visit www.icacidaho.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Montgomery County Man Sentenced to 20 Years in Prison in Violent Sex Trafficking ConspiracyRead the Press Release
Sex Trafficking Victims Testified to Defendant’s Physical and Sexual Abuse, Threats, Tattoo Branding, and Bragging About Beating Murder Charges
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Jean Claude Roy, a/k/a “Dredd the Don,” and “Dreddy,” age 32, of Germantown, Maryland, to 20 years in prison followed by 10 years of supervised release for conspiring to commit sex trafficking by force, fraud and coercion, three counts of interstate transportation for prostitution, and witness and evidence tampering.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Attorney General for the Department of Justice Civil Rights Division Jocelyn Samuels; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief J. Thomas Manger of the Montgomery County Police Department.
“Jean Claude Roy preyed on vulnerable young women,” said U.S. Attorney Rod J. Rosenstein. “Law enforcement agencies will continue to work to identify and prosecute human traffickers.”
“The Civil Rights Division is committed to pursuing justice on behalf of vulnerable members of our society,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “This sentence sends a clear message that the United States will not tolerate modern-day slavery and will work tirelessly to restore the rights and dignity of its victims.”
“This case serves as another chilling example of the callous disregard for human life demonstrated by traffickers,” said U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigation’s (HSI) Baltimore Deputy Special Agent in Charge James P. Nagle. “Our special agents will continue pursuing these criminals to ensure they are behind bars where they can no longer exploit the innocent.”
According to evidence presented during the two week trial, between August and September 2012 Roy transported a victim across state lines to engage in prostitution. He also took the victim’s identity documents and kept all of the victim’s money.
During the trial, victims recounted their fear of Roy, explaining instances of physical and sexual abuse, threats, tattoo branding and Roy’s bragging of beating a murder charge years prior in Massachusetts. “If he could kill a man, who’s gonna care about a prostitute,” one victim said from the witness stand. Witnesses detailed the guns in Roy’s possession and how he prostituted women in Maryland, Virginia and North Carolina.
In November 2012 Roy recruited co-defendant Brittney Creason to engage in prostitution. Thereafter, Creason helped Roy recruit and transport girls from Illinois and North Carolina to engage in prostitution. Roy conspired to force the women to engage in prostitution by again bragging about beating murder charges, taking their identity documents and taking their money.
Trial evidence also showed that from January 1 through 10, 2013, while Roy was in jail on related state charges, he called an individual several times and had that person access online accounts and storage services belonging to Roy and Creason in order to erase evidence related to these charges.
The jury found Roy not guilty of sex trafficking and attempted sex trafficking by force, fraud and coercion; and possessing and brandishing a firearm during a crime of violence.Brittney Creason, a/k/a “Kitty Amor,” age 20, of Decatur, Illinois, previously pleaded guilty of using a facility in interstate commerce for an illegal activity, and was sentenced to time served of three months in prison followed by three years of supervised release.
This case was investigated by 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.
Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Rod J. Rosenstein commended HSI Baltimore and the Montgomery County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Kristi N. O’Malley, and Trial Attorney William E. Nolan of the U.S. Department of Justice Civil Rights Division's Human Trafficking Prosecution Unit, who prosecuted the case.Monroe Man Sentenced to 10 Years in Prison for Illegally Possessing FirearmsRead the Press Release
MONROE, La. –A Monroe resident was sentenced to 10 years in prison and three years of supervised release for illegal possession of marijuana with intent to distribute and possession of firearms, U.S. Attorney Stephanie A. Finley announced today.
Corey Moses, 36, of Monroe, La., was sentenced by U.S. District Judge Robert G. James, for one count of possessing a firearm after being convicted of a felony and one count of possession of marijuana with intent to distribute. According to evidence presented at the November 15, 2013 guilty plea, Sterlington police officers stopped the vehicle Moses was driving for speeding on December 9, 2010. Moses consented to a search of the vehicle, and police found marijuana, two 9 mm pistols and one .380 caliber pistol. The two 9 mm pistols were stolen from another person. Moses had been previously convicted in Monroe of theft in 1996 and burglary in 1997. He was also convicted in October of 2007 in Providence, R.I., of carrying a firearm by a person convicted of a felony.
“Felons carrying weapons is a violation of federal law,” Finley stated. “The defendant’s situation was further complicated by also possessing an illegal substance and had stolen the weapons. The U.S. Attorney’s Office will continue to vigorously prosecute felons who possess firearms while in possession of illegal drugs. Under our Project Safe Neighborhood Program, we have joined with our state and local partners to assure that convicted felons like Moses are identified, arrested and prosecuted. Our goal is to remove convicted felons, violent offenders, drug traffickers and others who carry and use firearms from our streets and neighborhoods. We want to make sure that each citizen feels safe and secure.”
The Sterlington Police Department, West Monroe Police Department, Ouachita Parish Sheriff’s Office and the Bureau of Alcohol Tobacco, Firearms and Explosives (ATF) conducted the investigation. Assistant U.S. Attorney Robert W. Gillespie Jr. prosecuted the case as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide program to reduce violence by aggressively enforcing existing federal firearms and explosives laws.
Miami-Dade County Resident Pleads Guilty in Identity Theft Schemes Involving Fraudulent Social Security Benefits and Income Tax RefundsRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Thomas Caul, Special Agent in Charge, Social Security Administration (SSA), Office of Inspector General (OIG), Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Thervil Alcinor, 34, of Miami, pled guilty to one count of access device fraud, in violation of Title 18, United States Code, Section 1029(a)(2), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. Sentencing is scheduled for September 29, 2014, at 2:00 p.m. At sentencing, Alcinor faces up to ten years in prison for the access device charge, and a mandatory term of two years in prison, consecutive to any other term in prison, for the aggravated identity theft charge.
According to court documents, from January 2013 through May 2014, Alcinor was involved in the use of personal identifying information (names, dates of birth, and social security numbers belonging to real people) to file fraudulent applications for Social Security Retirement Insurance Benefits (RIB) and Social Security Disability Insurance Benefits (DIB), and to file fraudulent income tax returns with the IRS claiming false refunds.
Court documents state that Alcinor was involved in establishing online accounts on the Social Security Administration website, MySSA.gov, for already-existing RIB or DIB beneficiaries to redirect RIB and DIB payments to accounts (often prepaid debit card accounts) controlled by him. Law enforcement identified 945 fraudulently established MySSA accounts, all with similarly concocted fraudulent email addresses. The fraudulent claims resulted in $700,462 in fraudulent RIB and DIB payments.
According to court documents, Alcinor was also involved in the filing of fraudulent tax returns claiming refunds from the IRS which he directed into accounts (often prepaid debit card accounts) controlled by him. Specifically from April 2012 through September 2013, 54 fraudulent income tax refunds, totaling $174,862.20, were identified by H&R Block records as having been deposited into accounts associated with Alcinor. An additional 14 fraudulent tax refunds, totaling $31,137.28, were connected to the scheme by IRS.
Mr. Ferrer commended the investigative efforts of SSA-OIG, IRS-CI and FBI. The case is being prosecuted by Assistant U.S. Attorney Frank R. Maderal.
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.
Member of Newport News Drug Gang Sentenced to 30 Years in PrisonRead the Press Release
NEWPORT NEWS, Va. – Eric Pridgen, 31, of Newport News, Virginia, was sentenced today to 30 years in prison, followed by five years of supervised release, for participating in a conspiracy to distribute narcotics as part of the Thug Relations gang.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia; Royce E. Curtin, Special Agent in Charge of the FBI’s Norfolk Field Office; Colonel W. Steven Flaherty, Virginia State Police Superintendent; and Richard W. Myers, Chief of Newport News Police, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson.
Pridgen pleaded guilty on March 12, 2014. According to court documents, Pridgen was involved with several other individuals, including his brother Herbert Pridgen, in distributing large quantities of powder cocaine, crack cocaine and marijuana in the Denbigh section of Newport News. This drug dealing involved the use of firearms and often turned violent.
Eric Pridgen was preceded in sentencing by Robbie Bowles, 29, of Newport News, who was sentenced to 20 years in prison for participating in the drug conspiracy and discharging a firearm during a drug trafficking offense; Ronnie Rooks, 29, of Newport News, who received 10 years in prison for the drug conspiracy; and Herbert Pridgen, 27, of Newport News, who received a sentence of 11 years in prison for the drug conspiracy.
This case was investigated by the FBI’s Norfolk Field Office, Virginia State Police and Newport News Police Department. Assistant U.S. Attorney Eric M. Hurt prosecuted the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:13-cr-54.
Member of Hartford Drug Trafficking Ring Sentenced to More Than 5 Years in Federal PrisonRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANDREW MORRISON, also known as “Big Booby,” 25, of Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 66 months of imprisonment, followed by four years of supervised release, for his role in a Hartford-based narcotics trafficking ring.
According to court documents and statements made in court, this matter stems from a joint law enforcement investigation headed by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force and the Hartford Police Department into gang-related narcotics trafficking in Hartford’s South End. The investigation specifically targeted a heroin and cocaine trafficking organization headed by Angel Rosa, also known as “Little” and “Daddy,” who is a member of the Los Solidos street gang, and his cousin, Angel Rosa, also known as “Mo Betta” and “Fab.” “Little,” supervised the drug trafficking ring, which included several other family members, through fear and intimidation. “Mo Betta” managed the daily operations of the organization, facilitated the delivery and transportation of large quantities of heroin, and supervised numerous drug sellers who distributed heroin and other narcotics in the Zion Street area. At times, “Little” and “Mo Betta” used, or threatened to use, violence to ensure the success of the organization.
MORRISON was one of the principal heroin sellers in the Rosa drug trafficking organization. In addition to working shifts selling substantial quantities of heroin in the Zion Street area, he sometimes brokered deals for heroin with his own source when Mo Betta and Little were having difficulty obtaining the drug from their principal suppliers.
MORRISON was arrested on April 17, 2013. On January 31, 2014, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, heroin.
As a result of the investigation, 21 individuals were charged with various federal offenses, and law enforcement officers seized narcotics, one firearm, approximately $230,000 in cash, eight vehicles and jewelry.
Angel Rosa aka “Little” and Angel Rosa aka “Mo Betta” each pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin. On May 15, 2014, “Little” was sentenced to 235 months of imprisonment, and on April 29, 2014, “Mo Betta” was sentenced to 165 months of imprisonment.
This matter was investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force, which includes members of the Connecticut State Police, Hartford Police Department, East Hartford Police Department, Connecticut Department of Correction and Connecticut National Guard. The Connecticut State Police’s Emergency Services Unit, Hartford Police Department’s Emergency Response Team, Capital Region Emergency Response Team, Drug Enforcement Administration, Homeland Security Investigations and the New Britain, East Hartford, Wethersfield and Manchester Police Departments have provided valuable assistance to the investigation.
The case is being prosecuted by Assistant U.S. Attorneys Brian Leaming and Patrick Caruso.
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(203) 821-3722 [email protected]Maryland Man Sentenced to 20 Years in Prison for Sex Trafficking ConspiracyRead the Press Release
U.S. District Court Judge Paul W. Grimm sentenced Jean Claude Roy, aka Dredd the Don, 31, of Germantown, Maryland, to serve 240 months in prison to be followed by 10 years of supervised release, the Justice Department announced today. A jury convicted Roy on March 19, 2014, of conspiracy to commit sex trafficking by force, fraud and coercion, three counts of interstate transportation for the purpose of prostitution, and one count of witness and evidence tampering.
“The Civil Rights Division is committed to pursuing justice on behalf of vulnerable members of our society,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “This sentence sends a clear message that the United States will not tolerate modern-day slavery and will work tirelessly to restore the rights and dignity of its victims.”
During the trial, victims recounted their fear of Roy, explaining instances of physical and sexual abuse, threats, tattoo branding and Roy’s bragging of beating a murder charge years prior in Massachusetts. “If he could kill a man, who’s gonna care about a prostitute,” said one victim from the witness stand. Witnesses detailed the guns in Roy’s possession and how he prostituted women in Maryland, Virginia and North Carolina.
“Jean Claude Roy preyed on vulnerable young women,” said U.S. Attorney Rod J. Rosenstein for the District of Maryland. “Law enforcement agencies will continue to work to identify and prosecute human traffickers.”
“This case serves as another chilling example of the callous disregard for human life demonstrated by traffickers,” said U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigation’s (HSI) Baltimore Deputy Special Agent in Charge James P. Nagle. “Our special agents will continue pursuing these criminals to ensure they are behind bars where they can no longer exploit the innocent.”
Trial evidence also showed that from Jan. 1 through Jan. 10, 2013, while Roy was in jail on related state charges, he called a family member several times and had that person access online accounts and storage services belonging to Roy and his co-conspirator in order to erase evidence related to these charges.
The jury acquitted Roy of one count of sex trafficking and two counts of attempted sex trafficking by force, fraud and coercion, and for the related counts of brandishing a firearm during a crime of violence.
This case was investigated by the Maryland Human Trafficking Task Force, which was 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 the task force website.
Report suspected instances of human trafficking to ICE HSI’s tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
This case was investigated by ICE HSI Baltimore and the Montgomery County Police Department. Assistant U.S. Attorney Kristi N. O’Malley and Trial Attorney William E. Nolan of the Civil Rights Division’s Human Trafficking Prosecution Unit prosecuted the case.
Manitowoc Man Sentenced to Prison for Wire Fraud and Tax EvasionRead the Press Release
United States Attorney James L. Santelle announced that on July 18, 2014, Paul LaChappelle (age: 41), of Manitowoc, was sentenced in federal court to two years in prison and ordered to make restitution to his former employer, Nemschoff Chairs, Inc., in the amount of $520,000. In April 2014, LaChappelle pleaded guilty to wire fraud and tax evasion.
LaChappelle was previously employed as a maintenance technician at Nemschoff’s Sheboygan manufacturing facility. Using this position, LaChappelle entered into an arrangement with a Florida business under which LaChappelle would cause Nemschoff to order replacement parts for machinery LaChappelle serviced from the Florida business. The Florida business would obtain the parts from LaChappelle, who simply stole the parts from Nemschoff’s inventory. LaChappelle was paid one-half of the price Nemschoff paid the Florida business for the parts. During the period from April 2009 through December 2011, Nemschoff paid the Florida business more than $500,000 for these replacement parts and LaChappelle received more than $268,000 for the parts he supplied.The tax evasion charge was based on LaChappelle’s failure to report the income he received as part of his scheme, as well as the fact that he claimed fictitious business expenses on the tax returns he filed for the years 2008 through 2011. As a result, LaChappelle fraudulently paid no federal income taxes for these years.
This case was investigated by the Internal Revenue Service Criminal Investigation in conjunction with the Sheboygan Police Department. The case was prosecuted by Assistant United States Attorney Matthew L. Jacobs.Long Island Doctor Sentenced to 10 Years’ Imprisonment for Conspiracy to Distribute Oxycodone and Distribution of OxycodoneRead the Press Release
Earlier today, at the federal courthouse in Central Islip, New York, Long Island doctor Leonard I. Stambler was sentenced to 10 years in prison by United States District Court Judge Joseph F. Bianco. Stambler was convicted by a jury in October 2013 following three weeks of trial of conspiracy to distribute oxycodone and distribution of oxycodone, a highly addictive prescription pain killer, in connection with prescriptions that he provided to patients outside the scope of his professional practice and not for any medical purpose. At the time of the verdict, the defendant’s bail was revoked, and he was ordered detained pending sentencing.
The conviction was announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; James J. Hunt, Acting Special Agent-in-Charge, Drug Enforcement Administration (DEA), New York; Thomas C. Krumpter, Acting Commissioner, Nassau County Police Department (NCPD); Joseph A. D’Amico, Superintendent, New York State Police (NYSP); and Shantelle P. Kitchen, Acting Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, New York (IRS).
“Rather than ‘Do No Harm,’ Dr. Stambler acted as a drug dealer, putting thousands of oxycodone pills onto the streets of Long Island for no valid medical reason, even going so far as to drive his patient-friends to a drug deal,” stated United States Attorney Lynch. “This conviction and sentence should serve as a warning to any health care professionals engaged in such conduct that in addition to losing their license to practice medicine, they will face prison for such conduct.” Ms. Lynch extended her grateful appreciation to each of the law enforcement agencies for their assistance in this case.
At trial, the government’s evidence established that Stambler provided prescriptions for hundreds of oxycodone pills to two of his patients without a legitimate medical purpose and outside the course of a professional medical practice, and also conspired with those patients and assisted them in the sale of pills that he prescribed. On November 21, 2011, investigators with the DEA Task Force observed Stambler driving his patient, Christopher Adams, to a pharmacy in East Rockaway, New York, where Stambler and Adams filled a prescription that Stambler had written in the name of Adams’s girlfriend, Nancy Cook. As investigators watched, Stambler then drove Adams to a nearby location to meet with a third individual where some of the oxycodone pills were exchanged for cash. Investigators stopped Stambler’s vehicle shortly after the drug deal. On a separate occasion, Stambler drove Cook, who was also Stambler’s patient, to a home in East Rockaway where she sold oxycodone pills to the same individual involved in the November 21, 2011, drug deal. Both Adams and Cook testified at trial about Stambler’s participation in the drug transactions as well as their own destructive addiction to oxycodone.
Oxycodone is a scheduled controlled substance that may be dispensed by medical professionals only for a legitimate medical purpose in the usual course of a doctor’s professional practice. It is a powerful and highly addictive drug and is increasingly abused because of its potency when crushed into a powder and ingested, leading to a heroin like euphoria.
Stambler’s conviction is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York as part of the Prescription Drug Initiative. In January 2012, this Office and the DEA, in conjunction with the five District Attorneys in this jurisdiction, the Nassau and Suffolk County Police Departments, the New York City Police Department, and New York State Police, along with other key federal, state, and local government partners, launched the Prescription Drug Initiative to mount a comprehensive response to what the United States Department of Health and Human Services’ Center for Disease Control and Prevention has called an epidemic increase in the abuse of so-called opioid analgesics. So far, the Prescription Drug Initiative has brought over 160 federal and local criminal prosecutions, including the prosecution of 15 health care professionals, taken civil enforcement actions against a hospital, a pharmacy, and a pharmacy chain, removed prescription authority from numerous rogue doctors, and expanded information-sharing among enforcement agencies to better target and pursue drug traffickers. The Initiative also is involved in an extensive community outreach program to address the abuse of pharmaceuticals.
The government’s case was prosecuted by Assistant United States Attorney Allen Bode.
The Defendant:
Name: LEONARD I. STAMBLER
Age: 63
Residence: Baldwin Harbor, NY
Lapwai Man Pleads Guilty to Theft of Government PropertyRead the Press Release
COEUR D’ALENE – Isaac Kash Kash, 26, of Lapwai, Idaho, pleaded guilty today in federal court to one count of theft of government property, U.S. Attorney Wendy J. Olson announced.
According to court documents, the defendant unlawfully used United States government- issued fleet credit cards for his personal use. The defendant had access to fleet credit cards because he was a seasonal employee for the Nez Perce Fisheries Department located in Orofino, Idaho. Due to the defendant’s criminal activity, the government incurred a loss of more than $5,000.
Theft of government property is punishable by not more than one year in prison, a maximum fine of $100,000, and up to one year of supervised release, or five years of probation.
Sentencing is set for October 14, 2014, before U.S. District Judge Edward J. Lodge at the federal courthouse in Coeur d’Alene.
The case was investigated by the General Services Administration and Nez Perce Tribal Police.
Lafayette Man Charged for Bomb Threat, Bank RobberyRead the Press Release
LAFAYETTE, La. –A Lafayette man suspected of making a bomb threat in the city of Lafayette has been arrested and charged for the bomb threat and an attempted bank robbery, U.S. Attorney Stephanie A. Finley announced today.
Devin Haywood, 30, of Lafayette, was charged in a federal criminal complaint today before U.S. Magistrate Judge Patrick Hanna with one count of using a facility in interstate commerce to willfully make a threat or maliciously convey false information and one count of attempted bank robbery. After the arraignment hearing, he was detained pending trial.
If convicted, the defendant faces 10 years in prison and three years of supervised release for the bomb threat charge. He faces 20 years in prison and five years of supervised release for the attempted bank robbery charge. Both charges carry a fine of up to $250,000.
The FBI, ATF, U.S. Marshals Service, Louisiana State Police, Lafayette Police Department, Lafayette Sheriff’s Office, and the University Louisiana at Lafayette Police Department investigated the case.A complaint is merely an accusation and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Justice Department to Announce Results and Next Steps in Investigation of Newark Police DepartmentRead the Press Release
The Department of Justice Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey will announce the results and next steps following its investigation into the Newark Police TODAY, TUESDAY, JULY 22, 2014, at 12:00 p.m. EDT, at the Newark office of the U.S. Attorney for the District of New Jersey. The investigation, opened in May 2011, looked at allegations of use of excessive force and discriminatory policing among other issues.
WHO: Acting Assistant Attorney General for the Civil Rights Division Jocelyn Samuels, U.S. Attorney Paul J. Fishman for the District of New Jersey, Newark Mayor Ras Baraka, and Newark Police Director Eugene Venable
WHAT: Press Conference to announce results of the Justice Department’s investigation into the Newark Police Department
WHEN: TUESDAY, JULY 22, 2014, at 12:00 p.m. EDT
WHERE: U.S. Attorney’s Office for the District of New Jersey970 Broad Street, Seventh Floor, Newark, New Jersey, 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 Rebekah Carmichael or Matt Reilly at 973-645-2888 or [email protected].
Justice Department Reaches Agreement with City of Newark, New Jersey, to Address Unconstitutional Policing in Newark Police DepartmentRead the Press Release
The Justice Department today announced it has reached an agreement with the city of Newark, New Jersey, to address a pattern and practice of unconstitutional policing by the Newark Police Department (NPD). The agreement follows a joint investigation by the Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey, the results of which were also released today.
The findings, detailed in a report provided to the city and to NPD leadership, document the NPD’s pattern or practice of constitutional violations in its stop and arrest practices; its response to individuals exercising their rights under the First Amendment; its use of force; and through theft by officers. The investigation also revealed deficiencies in NPD systems that are designed to prevent and detect misconduct.
The city of Newark cooperated with the investigation, which began on May 9, 2011, and has agreed to enter into a court-enforceable, independently monitored agreement to reform the NPD to ensure constitutional policing. The terms of the agreement are outlined in the agreement in principle released today. Among other things, the NPD must continue to develop and implement improvements to its stop, arrest and force policies and procedures, and to train its officers on how to conduct effective and constitutional policing. The NPD also must implement systems that ensure accountability, commit to building police-community partnerships and improve the quality of policing throughout the city.
“Our investigation uncovered troubling patterns in stops, arrests and use of force by the police in Newark. With this agreement, we’re taking decisive action to address potential discrimination and end unconstitutional conduct by those who are sworn to serve their fellow citizens,” said Attorney General Eric Holder. “This action reaffirms the Justice Department’s commitment to working with our law enforcement partners in order to ensure the highest standards of integrity and professionalism. Under today’s agreement, Newark police officials are taking the first in a series of important steps to restore public trust in their department and ensure both the safety and the civil rights of Newark residents.”
“Today the city of Newark has taken a bold step toward ensuring constitutional policing that better serves all of Newark’s residents,” said Acting Assistant Attorney General for the Civil Rights Division Jocelyn Samuels. “The Department of Justice report released today makes clear the depth and breadth of the challenges Newark faces in reforming its police department; but the agreement in principle provides a roadmap for reform and underscores the shared determination of the city of Newark and the Department of Justice to making this reform real and sustainable.”
“The people of Newark deserve to be safe, and so do the thousands who come here to work, to learn, and to take advantage of all the city has to offer,” said U.S. Attorney Fishman. “They also need to know the police protecting them are doing that important – and often dangerous – work while respecting their constitutional rights. The Justice Department has a long history of making sure of that, and today we have the commitment of Newark's mayor and the leadership of the police department to make the department the one that the city deserves.”
During the investigation, the Justice Department reviewed thousands of NPD documents, including written policies and procedures, documentation of stops, searches and arrests, internal investigation files and use of force reports and reviews. Attorneys and investigators also interviewed NPD officers, supervisors and command staff, as well as city officials, and met with hundreds of community members and local advocates.
As the report describes, the Justice Department found reasonable cause to believe that the NPD has engaged in a pattern or practice of unconstitutional stops in violation of the Fourth Amendment. Specifically, NPD officers failed to articulate sufficient justification for nearly 75 percent of pedestrian stops. NPD officers also disproportionately stopped black people relative to their representation in Newark’s population. Although the NPD’s reports were insufficient to allow the Justice Department to determine whether this disparity was the result of intentional discrimination or was otherwise unlawful, the report urges the city of Newark and NPD to improve its collection and analysis of its stop, search and arrest data to facilitate a more thorough analysis of the racial and ethnic impacts of NPD’s police practices and to take steps to eliminate avoidable disparities.
Through the course of the investigation, the Justice Department also found that NPD officers have detained and arrested individuals who lawfully objected to police actions or behaved in a way that officers perceived as disrespectful, in violation of the First Amendment.
In addition, the Justice Department found cause to believe that the NPD engaged in a pattern or practice of the use of excessive force. The NPD has been unable to make reliable conclusions about whether a particular use of force was reasonable due to substantial underreporting and inadequate investigation of the use of force by NPD officers. Nonetheless, of the incidents reviewed as part of the Justice Department’s investigation, more than 20 percent of NPD officers reported use of force that appeared unreasonable.
The investigation also found a pattern or practice of theft of citizens’ property by NPD officers in violation of the Fourth and 14 th Amendments, including by officers in NPD’s specialized units, such as the narcotics and gang units, and at NPD’s prisoner processing unit.
The Justice Department’s report details other inadequacies that contributed to a pattern of constitutional violations. Deficiencies were found in Internal Affairs (IA) processes, in investigations reviewing use of force and complaints regarding officer misconduct, in supervision and management, and in the training of officers and IA investigators.
The Justice Department conducted its investigation jointly through the Special Litigation Section of the Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey, with the assistance of law enforcement and statistics experts.
Both the report and the agreement in principle, along with summaries of each, will be available on the Civil Rights Division website .
Justice Department Reaches Agreement with City of Newark, New Jersey, to Address Unconstitutional Policing in Newark Police DepartmentRead the Press Release
NEWARK, N.J. - The Justice Department today announced it has reached an agreement with the city of Newark, New Jersey, to address a pattern and practice of unconstitutional policing by the Newark Police Department (NPD). The agreement follows a joint investigation by the U.S. Attorney’s Office for the District of New Jersey and the Justice Department’s Civil Rights Division, the results of which were also released today.
The findings, detailed in a report provided to the city and to NPD leadership, document the NPD’s pattern or practice of constitutional violations in its stop and arrest practices; its response to individuals exercising their rights under the First Amendment; its use of force; and through theft by officers. The investigation also revealed deficiencies in NPD systems that are designed to prevent and detect misconduct.
The city of Newark cooperated with the investigation, which began on May 9, 2011, and has agreed to enter into a court-enforceable, independently monitored agreement to reform the NPD to ensure constitutional policing. The terms of the agreement are outlined in the agreement in principle released today. Among other things, the NPD must continue to develop and implement improvements to its stop, arrest and force policies and procedures, and to train its officers on how to conduct effective and constitutional policing. The NPD also must implement systems that ensure accountability, commit to building police-community partnerships and improve the quality of policing throughout the city.
“Our investigation uncovered troubling patterns in stops, arrests and use of force by the police in Newark. With this agreement, we’re taking decisive action to address potential discrimination and end unconstitutional conduct by those who are sworn to serve their fellow citizens,” said Attorney General Eric Holder. “This action reaffirms the Justice Department’s commitment to working with our law enforcement partners in order to ensure the highest standards of integrity and professionalism. Under today’s agreement, Newark Police officials are taking the first in a series of important steps to restore public trust in their Department and ensure both the safety and the civil rights of Newark residents.”
“The people of Newark deserve to be safe, and so do the thousands who come here to work, to learn, and to take advantage of all the city has to offer,” said U.S. Attorney Fishman. “They also need to know the police protecting them are doing that important – and often dangerous – work while respecting their constitutional rights. The Justice Department has a long history of making sure of that, and today we have the commitment of Newark’s mayor and the leadership of the police department to make the department the one that the city deserves.”
“Today the City of Newark has taken a bold step toward ensuring constitutional policing that better serves all of Newark’s residents,” said Acting Assistant Attorney General for the Civil Rights Division Jocelyn Samuels. “The Department of Justice report released today makes clear the depth and breadth of the challenges Newark faces in reforming its police department; but the agreement in principle provides a roadmap for reform and underscores the shared determination of the City of Newark and the Department of Justice to making this reform real and sustainable.”
During the investigation, the Justice Department reviewed thousands of NPD documents, including written policies and procedures, documentation of stops, searches and arrests, internal investigation files and use of force reports and reviews. Attorneys and investigators also interviewed NPD officers, supervisors and command staff, as well as city officials, and met with hundreds of community members and local advocates.
As the report describes, the Justice Department found reasonable cause to believe that the NPD has engaged in a pattern or practice of unconstitutional stops in violation of the Fourth Amendment. Specifically, NPD officers failed to articulate sufficient justification for nearly 75 percent of pedestrian stops. NPD officers also disproportionately stopped black people relative to their representation in Newark’s population. Although the NPD’s reports were insufficient to allow the Justice Department to determine whether this disparity was the result of intentional discrimination or was otherwise unlawful, the report urges the city of Newark and NPD to improve its collection and analysis of its stop, search and arrest data to facilitate a more thorough analysis of the racial and ethnic impacts of NPD’s police practices and to take steps to eliminate avoidable disparities.
Through the course of the investigation, the Justice Department also found that NPD officers have detained and arrested individuals who lawfully objected to police actions or behaved in a way that officers perceived as disrespectful, in violation of the First Amendment.
In addition, the Justice Department found cause to believe that the NPD engaged in a pattern or practice of the use of excessive force. The NPD has been unable to make reliable conclusions about whether a particular use of force was reasonable due to substantial underreporting and inadequate investigation of the use of force by NPD officers. Nonetheless, of the incidents reviewed as part of the Justice Department’s investigation, more than 20 percent of NPD officers reported use of force that appeared unreasonable.
The investigation also found a pattern or practice of theft of citizens’ property by NPD officers in violation of the Fourth and 14th Amendments, including by officers in NPD’s specialized units, such as the narcotics and gang units, and at NPD’s prisoner processing unit.
The Justice Department’s report details other inadequacies that contributed to a pattern of constitutional violations. Deficiencies were found in Internal Affairs (IA) processes, in investigations reviewing use of force and complaints regarding officer misconduct, in supervision and management, and in the training of officers and IA investigators.
The Justice Department conducted its investigation jointly through the Special Litigation Section of the Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey, with the assistance of law enforcement and statistics experts.
Both the report and the agreement in principle, along with summaries of each, are attached. For more information about the Civil Rights Division, please visit the division website.
Federal civil rights complaints specific to New Jersey can be directed to the U.S. Attorney’s Office civil rights complaint hotline at 855-281-3339 or can be filed by filling out a complaint form at http://go.usa.gov/9nzW.
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Agreement in Principle
NPD Fact Sheet
NPD Findings Report
Monitor SolicitationAgreement in Principle - Español
Agreement in Principle - PortugueseJury Convicts KC Man of Firearms ViolationsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was convicted in federal court today of illegally possessing a Street Sweeper shotgun and a stolen handgun.
Ronald F. White, Jr., 32, of Kansas City, was found guilty of both counts of a Dec. 11, 2013, federal indictment.
White was convicted of possessing a Street Sweeper semiautomatic, drum-fed, 12-gauge shotgun that was not registered to him, and of possessing a Romarm/Cugir 7.62x39-caliber semiautomatic handgun that he knew had been stolen. The firearms were discovered by police officers when they executed a search warrant at the residence of White’s parents, where he sometimes stayed, on Oct. 31, 2013.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about an hour before returning the guilty verdicts to U.S. District Judge Dean Whipple, ending a trial that began Monday, July 21, 2014.
Under federal statutes, White is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $260,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Joseph M. Marquez and Special Assistant U.S. Attorney Jeff Q. McCarther. It was investigated by the Kansas City, Mo., Police Department, the Independence, Mo., Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.Judge Sentences Lancaster Man to 10 Years in Child Exploitation CaseRead the Press Release
Richard Haines, Jr., 60, of Lancaster, PA, was sentenced today to 10 years in prison for possession of child pornography and enticing a minor to engage in sexually explicit conduct so that he could take pictures of the conduct and with possession of child pornography. He pleaded guilty on September 4, 2013. Haines took photos of a female relative in various stages of undress. He also, while on bail awaiting sentencing, tried to influence the victim to testify on his behalf at sentencing. His bail was revoked and he has been in custody since October 10, 2013.
In addition to the prison term, U.S. District Court Judge James Knoll Gardner ordered restitution of $9338, a $10,000 fine, a lifetime of supervised release and a $200 special assessment.The case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Michelle Rotella.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Illegal Alien Sentenced to 4 Years and 9 Months for Selling Methamphetamine, Possessing False DocumentsRead the Press Release
FRESNO, Calif. — Israel Garrido-Hernandez, 24, of Fresno, was sentenced Monday by United States District Judge Lawrence J. O'Neill to four years and nine months in prison for possession of methamphetamine with intent to distribute and possession of document-making implements, United States Attorney Benjamin B. Wagner announced.
According to court documents, in April 2013, Garrido-Hernandez possessed with the intent to distribute methamphetamine. Between January and April 2013, he possessed equipment to make false documents that appeared to be made under the authority of the United States, such as false legal permanent resident cards (“green cards”) and false Social-Security cards.
This case was the product of an investigation by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). Assistant United States Attorney Mia A. Giacomazzi prosecuted the case.
Houston Women Charged in Bank Fraud/Identity Theft CaseRead the Press Release
HOUSTON - Tonya Beverly, 38, and Leatrice Reynaud, 43, both of Houston, have been arrested following the return of a 20-count indictment alleging conspiracy to commit bank fraud, bank fraud and aggravated identity theft, announced United States Attorney Kenneth Magidson.
Both are expected to make their initial appearance before U.S. Magistrate Judge Frances Stacy today.
The indictment was returned under seal July 16, 2014, and unsealed yesterday upon their arrest.
Beverly and Reynaud allegedly created at least 33 false and fraudulent USAA customer profiles, which included checking and savings accounts, using the identification information of individuals without their knowledge or permission. According to the indictment, Beverly and Reynaud linked the false and fraudulent USAA accounts with the real bank accounts of the victims whose identification information was used and transferred money from the real accounts into the false and fraudulent USAA accounts.
Further, the indictment alleges that the two received and used debit cards issued to the false and fraudulent USAA accounts to withdraw cash from ATM machines and make purchases, including plane tickets. In addition to the conspiracy and bank fraud, the indictment alleges Beverly and Reynaud unlawfully used the identification of at least eight individuals as part of their bank fraud scheme.
The indictment includes a notice of forfeiture in the amount of $106,383 in allegedly unlawful proceeds.
In a related case, co-conspirator Demetria Jones, 40, also of Houston, was charged with conspiracy to commit bank fraud. The criminal information charging Jones was filed yesterday in Houston federal court. She is expected to surrender to authorities Wednesday, July 23, 2014.
A conviction for conspiracy or bank fraud carries a possible punishment of up to 30 years in federal prison and/or a possible $1 million fine. If convicted of aggravated identity theft, Beverly and Reynaud further face a $250,000 fine and a mandatory two years in federal prison which must be served consecutively to any other prison term imposed.
The investigation was conducted by the United States Secret Service. Assistant United States Attorney Julie Redlinger is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Ft. Campbell Military Base Resident Guilty of Wantonly Abusing A Child Under the Age of 12Read the Press Release
– Child was malnourished and in gross need of medical care for upper torso burns
PADUCAH, Ky. – A Ft. Campbell military base resident pleaded guilty in U.S. District Court today to charges of wantonly abusing her child, who at the time was under the age of 12, announced David J. Hale, United States Attorney for the Western District of Kentucky.
According to the plea agreement, Shanika D’June Pickens, a/k/a Shanika Campbell, age 28, pleaded guilty to a two count Indictment charging that she wantonly abused the child by failing to provide the child professional medical attention for burns and for failing to provide the child adequate food and nutrition that resulted in his medical diagnosis of malnutrition.
Specifically, Campbell had custody of her 3 children, including the victim in this case, known as K.V.P., who was under 12 years of age, while living on Ft. Campbell, Kentucky military base, located in Christian County, Kentucky. Between January 1, 2011 and September 30, 2011, the victim received burns to his right side and back areas. At that time, Campbell admits she was aware of the burns and did not seek professional medical attention that was available on Ft. Campbell military base for her family. Campbell further admits that her failure to seek medical attention for the burns was wanton because she was aware of and consciously disregarded a substantial and unjustifiable risk that the child would suffer a serious bodily condition and ultimately experienced more pain and scarring to his back and right side areas than he would have experienced had he received timely and competent medical attention. The risk of that harm to K.V.P. was of such nature and degree that the disregard of that risk constitutes a gross deviation from the standard of conduct that a reasonable person would observe in the situation.
Further, between October 1, 2011 and January 30, 2012, Campbell failed to provide adequate food and nutrition to K.V.P. That condition resulted in his hospitalization at Vanderbilt University Hospital in Nashville, Tennessee, between January 28, 2012 and February 6, 2012 during which he was diagnosed with, among other conditions, malnutrition. Campbell admits that her failure to provide adequate food and nutrition to K.V.P was wanton because she was aware of and consciously disregarded a substantial and unjustifiable risk that constitutes a gross deviation from the standard of conduct that a reasonable person would observe in the situation.
If convicted at trial, Campbell faced a sentence of no more than 10 years in prison, a fine of $500,000 and a three year period of supervised release. Campbell is scheduled for sentencing before Senior U.S. District Judge Thomas B. Russell on November 13, 2014, in Paducah.
This case is being prosecuted by Assistant United States Attorney David Sparks and is being investigated by the Federal Bureau of Investigation (FBI) and Ft. Campbell, Kentucky, 502nd Military Police Battalion (CID).
Four Guilty in Conspiracy to Defraud Lowe'sRead the Press Release
NASHVILLE, Tenn.- July 22, 2014- Four Kentucky residents pleaded guilty yesterday to conspiring to defraud Lowe’s Companies, Inc., announced David Rivera, United States Attorney for the Middle District of Tennessee. Joe Fuqua, 38, Michael Gregory, 39, and Charles Ragar, 49, all of Franklin, KY, and Robert Trammel, 40, of Bowling Green, KY, each pleaded guilty to conspiring to commit wire fraud in hearings before Judge Todd J. Campbell of the U.S. District Court for the Middle District of Tennessee.
At their hearings, each of the four defendants admitted taking part in a conspiracy to establish Lowe’s credit accounts, bounce checks to the accounts, and thereafter purchase merchandise from Lowe’s retail stores using the fraudulent accounts. Each defendant also admitted to selling a portion of the merchandise obtained fraudulently from Lowe’s to a co-conspirator in exchange for a percentage of the actual retail value of the merchandise. Altogether, members of the conspiracy made fraudulent purchases exceeding $191,000 at 14 Lowe’s stores across Tennessee and Kentucky.
On April 16, 2014, a federal grand jury sitting in the Middle District of Tennessee indicted Fuqua, Gregory, Ragar, Trammel, along with four others, in connection with the scheme to defraud Lowe’s. They will be sentenced by Judge Campbell on October 17, 2014. Each defendant faces a maximum sentence of 20 years in prison.
Joseph Marty Jones, 46, of Franklin, KY, Ronnie Shubin, 30, of Springfield, TN, and Kevin Pierce, 28, of Castalian Springs, TN, were also indicted on one count of conspiracy to commit wire fraud, while John Brown, 24, of Russellville, KY was indicted on one count of conspiracy to commit wire fraud and one count of wire fraud. These defendants are awaiting trial.
An indictment is merely an accusation and is not evidence of guilt. Those defendants who have not pleaded guilty are presumed innocent unless and until proven guilty in a court of law.
The case was investigated by the Federal Bureau of Investigation and the Springfield, Tennessee Police Department. The United States is represented by Assistant U.S. Attorney William F. Abely.
Four Defendants Indicted for Their Participation in Orange County-Based Loan Modification Scam Targeting Distressed HomeownersRead the Press Release
LOS ANGELES – Federal agents this morning arrested three defendants who worked at Orange County businesses that allegedly offered bogus loan modification programs to financially distressed homeowners. As a result of the fraudulent scheme allegedly run out of U.S. Homeowners Relief and several related entities, hundreds of financially distressed homeowners across the United States lost millions of dollars, and many victims also lost their homes in subsequent foreclosure proceedings.
The three defendants taken into custody this morning were among four defendants named in a federal indictment following an investigation by the United States Postal Inspection Service, the Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) and IRS - Criminal Investigation.
According to the indictment, the four defendants operated a series of telemarketing “boiler rooms” that pitched loan modification services to distressed homeowners in the wake of the financial collapse in 2008. The defendants operated offices in Irvine, Santa Ana, Newport Beach, Garden Grove and Westminster under a series of company names from late 2008 to early 2010. Initially called Greenleaf Modify, they subsequently used the names U.S. Homeowners Relief, Waypoint Law Group and, finally, American Lending Review. The defendants would shut down each company name once their businesses attracted too many consumer complaints at the Better Business Bureau or attracted attention from state regulators such as the California Department of Justice.
The defendants and their associates used a consistent sales pitch throughout the scheme. According to the indictment, their advertising materials and telemarketers promised distressed mortgage holders that after paying advance fees ranging from about $1,450 to approximately $4,200, homeowners were highly likely to obtain a long-term modification to their current mortgage obligation, meaning they would have a lower monthly payment, an interest rate reduced to as low as 2 percent, and/or a reduction of principal. Many consumers were falsely told that their up-front money would be refunded if the promised loan modification failed to materialize.
The companies’ marketing materials implied that they were affiliated with a government program, sometimes making specific references to actual government websites, the indictment alleges. Telemarketers associated with the companies also told consumers that their mortgage relief services were part of the “Obama Act.” The defendants claimed in writing that one or more of the entities were licensed California real estate brokers and that payments would be placed in a trust account, not to be withdrawn until loan modification services were actually performed. The defendants often claimed that specific attorneys were assigned to work on consumers’ individual cases.
According to the indictment, all of the defendants’ claims were false and/or materially misleading. The vast majority of the hundreds of victims received no favorable loan modifications as per promises made by the defendants. Several of the victims learned from their mortgage lenders that the defendants’ companies had never made any contacts on the consumers’ behalf. The defendants’ companies were neither licensed real estate brokers, nor were they affiliated with any government program. The consumers’ funds were generally spent on the defendants themselves, on payments to sales people and other business expenses, and were not placed in trust accounts as promised. While the defendants paid attorneys to write substantially identical form letters to some lenders, the attorneys did not give personalized attention to the individual victims. The defendants routinely used stalling tactics or simply ignored consumers’ repeated demands for refunds after the customers did not receive their promised loan modifications.
The four defendants named in the indictment are:
Samuel Paul Bain, who also used the name Paul Bain, 35, of Tustin, an owner and principal of the businesses, who is currently in state custody;
Aminullah Sarpas, who also used the names Amin Sarpas and David Sarpas, 32, of Irvine, California, an owner and principal of the businesses, who was arrested this morning;
Damon Grant Carriger, 36, of Corona, California, the principal sales manager, who was arrested this morning; and
Louis Saggiani, 64, of Huntington Beach, California, the manager and chief accountant for the businesses, who was arrested this morning.
The defendants who were arrested this morning are scheduled to be arraigned this afternoon in United States District Court in Los Angeles.
The defendants are charged in a 33-count indictment. All four defendants are charged with conspiracy, 21 counts of mail fraud and two counts of wire fraud. Bain, Sarpas and Saggiani are charged in an additional five counts of mail fraud and two counts of wire fraud. Bain is also charged with two counts of money laundering.
The conspiracy count carries a statutory maximum penalty of five years in prison, while each of the mail fraud, wire fraud and money laundering charges carry a statutory maximum penalty of 20 years in prison.An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty in court.
Release No. 14-096
Four Arrested on Bank Fraud and ConspiracyRead the Press Release
An indictment was unsealed earlier today charging individuals with bank fraud and conspiracy arising from a scheme to take advantage of plans by an all-girls high school in Hempstead, New York, to expand its campus and build an athletic field for students.
The defendants, two couples, including a real estate attorney and the officer of a real property corporation, were arrested earlier today by special agents of the Federal Bureau of Investigation and will be arraigned this afternoon before United States Magistrate Judge William D. Wall at the United States Courthouse in Central Islip, New York. If convicted, each defendant faces up to 30 years of imprisonment, fines, and the forfeiture of $539,000 in allegedly illegal profits arising from the scheme.1
The charges and arrests 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).
As set forth in the indictment, defendants Sofia Atias, Joseph Atias, and Nicholas Pellegrini conspired to defraud Bank of America of over half a million dollars by fraudulently avoiding foreclosure on a home through a fraudulent “short sale” of the property to a straw buyer -- defendant and co-conspirator Paula Berckhoff, also known as “Paula Pellegrini” -- and then profiting from the home’s re-sale or “flip” to Sacred Heart Academy, a Catholic all-girls high school that paid the conspirators almost $1 million for the property to accomplish long-sought plans to improve and expand its facilities.
Early in 2011, defendant Sophia Atias had defaulted on some $750,000 in a mortgage and home equity loan secured by a home she owned at 83 Cathedral Avenue, Hempstead, New York, which sat adjacent to the high school. As Bank of America began foreclosure proceedings, defendants Sophia Atias, Joseph Atias, and Nicholas Pellegrini, acting as the couple’s attorney, negotiated with representatives of Sacred Heart Academy and ultimately won a commitment from the school to buy the property for $925,000 -- an amount that would have been enough to repay the Atias’ debts to the bank.
Instead, the defendants allegedly conspired to induce Bank of America to agree to a short sale of the Cathedral Avenue property. Short sales are an alternative to lengthier and often costly foreclosure proceedings. In a short sale, a bank agrees to accept whatever price a defaulting borrower can get on the immediate or short sale of a property in foreclosure. As the bank did here, lenders may also release the borrower from any obligation to repay any remaining balances owed on the original mortgage or loans.
Knowing that Sacred Heart Academy had already agreed to buy the Cathedral Avenue home for $925,000, the defendants nonetheless induced Bank of America to agree to a short sale of the house for only $480,000 to Jefferson Real Property Corporation, whose secretary and treasurer was defendant Nicholas Pellegrini’ s wife. As part of their agreement with the bank, Mrs. Pellegrini, using the name Paula Berckhoff, and Mrs. Atias, both falsely represented that neither would receive any undisclosed proceeds from the transaction and further claimed that the short sale was not an attempt to “flip” or use “straw buying” to avoid repayment of Atias’ debt.
In fact, as charged in the indictment, several months after the fraudulent short sale, the Atiases and Pellegrinis did re-sell or “flip” the Cathedral Avenue home to Sacred Heart Academy for the previously agreed price of $925,000. Given the fraudulent inducement to accept the short sale, Bank of America was defrauded of almost $540,000.
“Through a web of lies and false documents, the defendants took advantage of a school’s desires to improve its students’ athletic facilities, lied to win concessions from a bank, and then lied again by ‘flipping’ the property and defrauding the bank of over half a million dollars. This is not a case about tough bargaining. This is fraud, pure and simple,” stated United States Attorney Lynch.
FBI Assistant Director-in-Charge Venizelos stated, “As alleged in the indictment, while the defendants did not brandish a weapon, they stole over half a million dollars from Bank of America based upon their false misrepresentations and filing of false documents with the victim-lender. Bank fraud burdens lenders with bad loans and weakens our financial markets. Individuals who engage in this criminal activity should be reminded that they will be vigorously investigated and held accountable.”
The government’s case is being prosecuted by Assistant United States Attorney Charles P. Kelly.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency task force to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.
The Defendants:
Name: SOFIA ATIAS
Age: 44 years old
Residence: Great Neck, NY
Name: JOSEPH ATIAS
Age: 50 years old
Residence: Great Neck, NY
Name: NICHOLAS A. PELLEGRINI
Age: 51 years old
Residence: Garden City, NY
Name: PAULA BERCKHOFF
Age: 34 years old
Residence: Garden City, NY
__________________________________________________________________________
1 The charges in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
Former Waltham Police Officer Sentenced for Child Pornography ChargesRead the Press Release
BOSTON – A former Waltham Police Department police officer was sentenced today on child pornography charges.
Paul Manganelli, 48, of Waltham, was sentenced by U.S. District Judge F. Dennis Saylor IV to 60 months in prison to be followed by five years of supervised release. Upon release, Manganelli must register as a sex offender. In May 2014, Manganelli pleaded guilty to possession of child pornography. Manganelli was a police officer at Waltham Police Department until after his arrest in March 2013.
Manganelli possessed visual depictions of minors engaged in sexually explicit conduct, including females between the ages of approximately six to 10-years-old. Manganelli engaged in substantial trading activity via email. In March 2013, federal agents discovered Manganelli in possession of more than 850 images and 40 videos containing child pornography, including the lewd and lascivious posing, sexual penetration, and bondage of minor girls, as well as a substantial collection of child erotica. During exchanges with at least 53 email accounts, Manganelli and others discussed their mutual sexual interest in children. In other email exchanges, Manganelli claimed that he sexually molested a prepubescent girl and also asked others how to groom a child to engage in sexual activity with him.
On March 25, 2013, FBI agents interviewed Manganelli when he admitted that he possessed, received and distributed child pornography. He falsely claimed that during the two to three years he collected and shared child pornography, he was doing research in an attempt to identify sexual predators online. Manganelli was never assigned or authorized by the Waltham Police Department to conduct an online investigation, nor did he ever report any criminal conduct he observed.
United States Attorney Carmen M. Ortiz and Vincent B. Lisi, Special Agent in
Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Stacy Dawson Belf of Ortiz’s Major Crimes Unit.The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys= Offices and the Criminal Division=s CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/
Former St. Clair County Sheriff Indicted for Stealing Recovered PropertyRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the former sheriff of St. Clair County, Mo., was indicted by a federal grand jury today for stealing property recovered in criminal cases and for selling a stolen firearm.
“Today’s indictment alleges that the former sheriff treated the county’s evidence room like his personal tool shed, cheating the taxpayers and citizens of St. Clair County,” Dickinson said. “No one is above the law. When the county’s chief law enforcement officer violates the very law he took an oath to uphold, he will be held accountable.”
Ronald E. Snodgrass, 46, of El Dorado, Mo., was charged in a three-count indictment returned by a federal grand jury in Springfield, Mo. Snodgrass served three terms as the elected sheriff in St. Clair County, from Jan. 1, 2001, through Dec. 31, 2012. He lost his bid for reelection in 2012.
Under state law, any property seized by the sheriff’s department must be disposed of by a court order that authorizes the return of the property to a claimant. If property is unclaimed, it must be disposed of through a public sale (with the proceeds deposited in the county treasury), destroyed, or forfeited to the state. State law did not authorize Snodgrass to convert unclaimed property seized in criminal cases to his own personal use.
Today’s indictment charges Snodgrass with two counts of theft concerning programs that receive federal funds. (During Snodgrass’s tenure as sheriff, the U.S. Marshals Service contracted with St. Clair County to house federal inmates at the St. Clair County Jail.) Snodgrass allegedly stole a John Deere zero turn mower on Sept. 8, 2009. Snodgrass allegedly stole a 2009 Polaris Ranger UTV on Sept. 29, 2012.
The federal indictment also charges Snodgrass with selling a stolen firearm. Between Aug. 7, 2012, and Dec. 31, 2012, Snodgrass allegedly sold a Remington .22-caliber rifle that he knew had been stolen.
The indictment also contains a forfeiture allegation, which would require Snodgrass to forfeit to the government any property derived from the proceeds of the alleged offenses, including a money judgment of $16,000.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Abram McGull, II. It was investigated by the FBI, the Missouri State Highway Patrol and the St. Clair, Mo., Sheriff’s Department.
Former Police Officer from Oklahoma Sentenced to Federal Prison for Child Pornography ConvictionRead the Press Release
ALBUQUERQUE – Robert Mullen, 61, a former officer with the Lawton, Okla., Police Department who relocated to Albuquerque, N.M. was sentenced to 65 months in federal prison for his conviction for distribution and possession of visual depictions of minors engaged in sexually explicit conduct. Mullen will be on supervised release for 15 years after completing his prison sentence and will be required to register as a sex offender.
Mullen was arrested on Dec. 17, 2013, by Special Agents of Homeland Security Investigations (HSI) on a criminal complaint charging him with receiving and possessing visual depictions of minors engaged in sexually explicit conduct. On Jan. 15, 2014, Mullen was indicted and charged with distribution of child pornography and possession of child pornography. The indictment alleged that Mullen committed these two offenses between Aug. 2013 and Dec. 2013, in Bernalillo County, N.M. On March 26, 2014, Mullen entered a guilty plea to both counts of the indictment without the benefit of a plea agreement.
According to court filings, in Aug. 2013, a special agent with the New Mexico Attorney General’s Office (NMAGO) identified an IP address that was being used to share files containing child pornography while conducting an investigation targeting those who share child pornography on peer-to-peer file sharing networks. Subsequent investigation revealed that the IP address was subscribed to Mullen at a residential address in the west side of Albuquerque.On Dec. 11, 2013, HSI, the Albuquerque Police Department (APD) and other agencies participating in the New Mexico Internet Crimes Against Children (ICAC) Task Force executed a state search warrant at the residence and seized a computer and computer-related media. A preliminary forensic examination of a computer taken from a bedroom used by Mullen recovered images and videos consistent with child pornography.
This case was investigated by the Albuquerque office of HSI, the NMAGO, APD and other agencies affiliated with the New Mexico ICAC Task Force. The case was prosecuted by Assistant U.S. Attorneys Marisa A. Lizarraga and Jacob A. Wishard as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, 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 http://www.justice.gov/psc/.
The case also was brought as a part of the New Mexico ICAC Task Force’s mission, which is to locate, track, and capture Internet child sexual predators and Internet child pornographers in New Mexico. There are 74 federal, state and local law enforcement agencies associated with the ICAC Task Force, which is funded by a grant administered by the NMAGO. Anyone with information relating to suspected child predators and suspected child abuse is encouraged to contact federal or local law enforcement.
Former Merrimack College Director of Financial Aid Charged with FraudRead the Press Release
BOSTON - The former Director of Financial Aid for Merrimack College was charged yesterday with fraudulently obtaining funding for the North Andover school’s students.
Christine Mordach, 62, of Methuen, was charged with two counts of mail fraud and two counts of wire fraud.
As the Director of Financial Aid for Merrimack College, Mordach was responsible for administering the Perkins Loan program. The Federal Perkins Loan Program provides low-interest loans to help needy students finance the costs of post-secondary education. The United States Department of Education provides Perkins Loan funding to each participating school, and the school determines which students have the greatest need and disburses the funds accordingly. Each school’s revolving Perkins Loan fund is replenished by ongoing activities, such as collections by the school on outstanding Perkins Loans the school amkes. If awarded a Perkins Loan, a student must complete and sign a Perkins Loan promissory note in order to receive the loan funds.
It is alleged that from 1998 to 2007, Mordach had Perkins Loan funds fraudulently disbursed to Merrimack College students. In some instances, Mordach asked students, to whom Merrimack College had offered grants, to take out Perkins Loans instead, falsely telling the students that Merrimack College was in danger of losing its unused Perkins Loan funds. Mordach falsely promised that the students would receive grants for the next academic year in the amount borrowed from the Perkins Loan program which enabled them to pay off their Perkins Loans.
In other instances, Mordach allegedly disbursed Perkins Loan funds to Merrimack College students without a signed promissory note and without the students’ knowledge or approval. Through at least September 2011, Mordach took actions to conceal the fraudulent Perkins Loans from the students and their parents, and from Merrimack College.
The charging statute provides a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000. Actual sentences for federal crimes are typically less than the maximum penalties. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Carmen M. Ortiz; Brian Hickey, Special Agent in Charge, Department of Education, Office of Inspector General in Boston; and Scott Antolik, Special Agent in Charge of the Office of Inspector General, Social Security Administration, Office of Investigations – Boston Field Division, made the announcement today. The case is being prosecuted by Kristina E. Barclay of Ortiz’s Public Corruption Unit.
Those who believe that they are a victim of the crimes alleged against Christine Mordach should contact the U.S. Attorney’s Office for the District of Massachusetts at [email protected].
Identified victims will receive notification through an automated victim notification system. Those who have not received notification and believe they should be included as a victim, should contact the U.S. Attorney’s Office at [email protected].
The details contained in the Information are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.Former Maryland Correctional Officer Sentenced in Connection with Series of Assaults on InmateRead the Press Release
James Kalbflesh, a former correctional officer at the Roxbury Correctional Institution (RCI) in Hagerstown, Maryland, was sentenced today in connection with the March 9, 2008, assault of Kenneth Davis, an inmate. U.S. District Judge James K. Bredar sentenced Kalbflesh to serve 60 months in prison.
Kalbflesh was found guilty by a federal jury of conspiracy against rights, deprivation of rights under color of law and conspiracy to obstruct justice. Evidence at trial and in court documents filed in connection with his convictions established that Kalbflesh and other officers at RCI met during the midnight shift and agreed to assault Davis in retaliation for a prior incident involving Davis and another officer. Kalbflesh and other officers then entered Davis’ cell and assaulted him.
Davis was also subjected to retaliatory assaults by officers from the preceding and following shifts. Davis suffered facial fractures, a broken rib and fractured vertebrae, among other injuries, as a result of the series of assaults. The assaults by Kalbflesh and other RCI officers resulted in serious injuries that left Davis unrecognizable. Kalbflesh is the last remaining officer to be sentenced in the related RCI cases.
“Sixteen former correctional officers from RCI have been convicted and sentenced for their involvement in the series of beatings of an inmate, and in the coordinated cover-ups that followed each assault,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “These officers betrayed the public trust by using their official positions to commit violent civil rights abuses and then tried to cover up their crimes. The Department of Justice will continue to prosecute vigorously correctional officers who use their power to violate federal law.”
The case was investigated by the Frederick Resident Agency of the FBI, and prosecuted by Special Litigation Counsel Forrest Christian and Trial Attorney Sanjay Patel of the Civil Rights Division.
Former IRS Employee Arrested Today for ID Theft Conspiracy: $1.2 Million Attempted Fraud, 160 VictimsRead the Press Release
FRESNO, Calif. — Former IRS employee Viririana Hernandez, 30, was arrested this morning at her mother’s home in Parlier, charged with an identity theft conspiracy that used information stolen from the files of other IRS employees, United States Attorney Benjamin B. Wagner announced.
Co-defendants Roberto Martinez, 33, and Lilliana Gonzalez, 32, both of Fresno, were also arrested at their residence this morning. All three defendants were arraigned today and entered pleas of not guilty. Martinez was released from custody with electronic monitoring. Hernandez and Gonzalez remain in custody and have a detention hearing on Thursday, July 24, 2014. Arraignment for a fourth defendant, Daniel Miranda, 25, has not yet been scheduled.
On July 18, 2014, a federal grand jury in Fresno returned a 23-count indictment, charging the defendants with conspiracy, bank and wire fraud, and aggravated identity theft. Miranda was also charged with mail fraud.
According to the indictment, from June 2012 to January 2014, the four conspirators obtained personal information from victims through various methods. Hernandez worked for the IRS since 2006 and had access to the personal information of IRS workers. Several of the victims are current or former IRS workers. Without the victims’ permission, they opened credit card accounts in the victims’ names or added themselves as “authorized users” of the victims’ existing accounts. The conspirators then used the accounts to buy goods and services at locations throughout the Fresno area, as well as in Modesto and Riverside County. In total, it is alleged that the four conspirators misused the personal information of approximately 160 victims and attempted fraudulent credit card charges of more than $1.2 million.
San Francisco Division Inspector in Charge Rafael Nunez of the U.S. Postal Inspection Service stated: “We are working closely with the U.S. Attorney’s Office and our partners in law enforcement to arrest and prosecute those responsible for using mail delivery for a fraud scheme.”
Treasury Inspector General for Tax Administration San Francisco Field Division Special Agent-in-Charge Rod Ammari stated: “Identity theft is a nationwide crisis that places a heavy burden on the victim and creates chaos in the victims’ lives. When an IRS employee is involved in stealing information through their employment at the IRS and facilitating identity theft rings, it will not be tolerated and the Treasury Inspector General for Tax Administration will use all its power and resources to ensure these criminals are brought to justice.”
This case is the product of an investigation by the United States Postal Inspection Service, the Treasury Inspector General for Tax Administration, and the Fresno Police Department. Assistant United States Attorney Michael G. Tierney is prosecuting the case.
If the defendants are convicted, they each face a maximum statutory penalty of 30 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory sentencing factors and the Federal Sentencing Guidelines, which take into account a number of variables.
The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Airport Baggage Handler Sentenced to 11 Years for Participating in Drug ConspiracyRead the Press Release
PHILADELPHIA – James Mickens, 30, of Philadelphia was sentenced today to 11 years in prison for his participation in a large scale drug organization. Between February 2010 and July 2011, Mickens, a former US Airways baggage claim handler at the Philadelphia International Airport, used his Airport secured access card to smuggle hundreds of thousands of dollars in drug proceeds through the Airport, in order to avoid detection by law enforcement. Further, Mickens made multiple trips to Los Angeles, California for the drug organization, where multiple kilograms of cocaine and hundreds of pounds of marijuana were purchased and transported back to Philadelphia as checked luggage.
In addition to the prison term, U.S. District Court Judge Gene E. K. Pratter ordered five years of supervised release and a $200 special assessment.
The case was investigated by the Federal Bureau of Investigation, U.S. Immigration and Customs Enforcement Homeland Security Investigations, and the Philadelphia Police Department. It was prosecuted by Assistant U.S. Attorney Karen Marston.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Forex Trader Sentenced for Defrauding Investors of over $400,000Read the Press Release
The U.S. Attorney's Office for the Middle District of Pennsylvania announced today that Christopher A. Engel, 34, formerly of Glen Rock, Pennsylvania, and currently residing in Washington, Utah, was sentenced in connection with his operation of Pinnacle Forex Group ("PFG"), LLC, a currency trading firm that he operated from his home in Glen Rock.
United States District Court Judge Yvette Kane sentenced Engel to 38 months’ imprisonment, $405,500 in restitution and two years’ supervised release. Engel was ordered to surrender to the Bureau of Prisons on August 18, 2014.
According to U.S. Attorney Peter Smith, Engel created PFG in 2010 and advertised it on the internet as "a full scale currency investment firm" that was "in the top 1% of currency traders." Between June 2011 and October 2012, Engel allegedly received $411,500 from 21 investors throughout the United States that was supposed to be invested in the Foreign Exchange Market ("Forex"). Engel admitted he only invested $137,000 of the money into the Forex market and later withdrew those funds for personal expenses. The remaining funds were never invested and also used by Engel for personal expenses.
The case was investigated by the FBI and was prosecuted by Senior Litigation Counsel Bruce Brandler.
Felon and Illegal Alien Sentenced for Possessing A FirearmRead the Press Release
BOISE – Raul Valencia-Hernandez, 51, of Palmdale, California, was sentenced today to 20 months in prison for being a prohibited person in possession of a firearm. Chief U.S. District Judge B. Lynn Winmill also ordered Valencia-Hernandez to forfeit the firearm involved in the offense. Valencia-Hernandez pleaded guilty to the charge on May 12, 2014.
According to information presented at his sentencing hearing, on October 15, 2013, officers with the Twin Falls Police Department responded to a call of suspicious drug activity at the Motel 6 in Twin Falls. Valencia-Hernandez was found to be in possession of a loaded Ruger 9mm pistol, a digital scale, methamphetamine pipes, plastic baggies with methamphetamine residue and a drug ledger. Valencia-Hernandez is prohibited from possessing any firearm because he is an alien illegally in the United States, and because he had previously been convicted of the felony offense of sale or transport of a controlled substance in California. Valencia-Hernandez, who has illegally resided in the United States for the past 34 years, will be deported to Mexico after serving his prison sentence.
This case was investigated by the Twin Falls Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Federal Indictment Charges Three Individuals with Drug Crimes Related to Distribution of MethamphetaminesRead the Press Release
EUGENE, Ore. - Three defendants were charged in two separate indictments based on their drug activity in Lincoln County.
Christobal Portillo, 37, and Salina Perez, 35, both of Oregon, were charged with conspiracy to distribute methamphetamine. Both made their initial appearances on July 18, 2014 and entered pleas of not guilty. Trial is set for September 23, 2014 before Chief U. S. District Judge Ann Aiken.
Separately, Patrick Ball, 37, of Toledo, Oregon, was charged with possession with intent to distribute methamphetamine. He also made his initial appearance on July 18, 2014 and pleaded not guilty. Bell is also scheduled for trial on September 23, 2014 before Chief U. S. District Judge Ann Aiken.
Both conspiracy to distribute methamphetamine and possession with intent to distribute carry maximum sentences of twenty years in prison and a one million dollar fine.
A criminal indictment is only an allegation and not evidence of guilt. The defendants are presumed innocent unless and until proven guilty. These cases were investigated by the Lincoln Interagency Narcotics Team, the Polk County Interagency Narcotics Team and the Drug Enforcement Administration. This case is being prosecuted by Assistant U.S. Attorney Amy Potter.
Federal Criminal Charges Filed against Eight People Involved in Hash Oil ExplosionsRead the Press Release
Federal prosecutors today charged eight people in connection with explosions tied to the illegal and dangerous practice of extracting hash oil from marijuana, announced U.S. Attorney Jenny A. Durkan. The explosions in Bellevue, Kirkland, Seattle and Puyallup resulted in multiple injuries to innocent bystanders, some of whom were unaware of the illegal activity nearby. One of those injured died due to complications after hospitalization. The defendants will appear in U.S. District Court in Seattle and Tacoma later today.
“Manufacturing hash oil is illegal and poses a significant risk to families, neighbors and the general public,” said U.S. Attorney Durkan. “An explosion and fire caused by hash oil production at a Bellevue apartment complex caused significant injuries to people trying to escape the flames. We will not stand by and allow this dangerous conduct to endanger the public.”
“Home-based manufacturing of THC remains illegal under state law, even with the passage of Initiative 502,” said Pierce County Prosecutor Mark Lindquist. “The explosion in Puyallup demonstrates how dangerous oil extraction can be. Our office is committed to working with our federal counterparts to ensure Washington’s recreational marijuana system is properly regulated for the safety of our community.”
Three people were charged today in connection with the Bellevue explosion and fire on November 5, 2013. Former Bellevue Mayor Nan Campbell was hospitalized for a broken pelvis she suffered trying to escape the flames. She later died following complications after her hospitalization. Two other apartment residents suffered shattered bones as they had to jump from their upper level apartments. DAVID RICHARD SCHULTZ, II, 32, DANIEL JAMES STRYCHARSKE, 28, and JESSE D. KAPLAN, 31, are charged with Endangering Human Life While Manufacturing Controlled Substances, Maintaining a Drug Involved Premises and Manufacturing Hash Oil and Marijuana.
Two people are charged in connection with an explosion and fire in Puyallup May 20, 2014. SETH M. CLEEK, 31, was allegedly producing hash oil for KEVIN WEEKS, JR., 24, and his company “Cap’n Cosmics,” that makes and sells marijuana edible products. The explosion at the home endangered multiple residents including a 14-month old child. Both men are charged with Endangering Human Life While Manufacturing Controlled Substances, Maintaining a Drug Involved Premises and Manufacturing Hash Oil and Marijuana. Photos from the scene show burned siding, a butane can driven through a plastic pot by the force of the explosion and children’s toys melted by the heat of the fire.
Three additional defendants are charged in connection with explosions in Kirkland and the Mount Baker neighborhood in Seattle. ROBBY WAYNE MEISER, 46, and BRUCE W. MARK, 62, is charged with the January 1, 2014 explosion and fire at the Inglenook Apartments in Kirkland. HUGH RODNEY HARRIS, 65, is charged with the January 7, 2014 explosion at 2802 S. McClellan Street, in Seattle.
“These deadly explosions are reckless and preventable acts,” said DEA Special Agent in Charge Matthew G. Barnes. “As marijuana cultivation activities increase, explosions will continue. DEA will stand by our law enforcement partners in stemming this dangerous threat.”
“We are committed in the support of our federal, state and local partners in their ongoing efforts to ensure citizens in our community are safe from illegal acts resulting in violence,” said Douglas R. Dawson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Seattle.
Endangering Human Life While Manufacturing Controlled Substances is punishable by up to ten years in prison and three years of supervised release; Maintaining a Drug Involved Premises is punishable by up to 20 years in prison and three years of supervised release and Manufacturing Hash Oil and Marijuana is punishable by up to five years in prison and three years of supervised release.
The charges contained in the complaints are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The cases were investigated by multiple local and federal agencies including: the Drug Enforcement Administration (DEA), Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the U.S. Marshals Service, the Bellevue Police Department, the Seattle Police Department, the Kirkland Police Department, the Puyallup Police Department and the Pierce County Sheriff’s Office. Significant assistance was provided by the Pierce County Prosecutor’s Office.
El Dorado Man Sentenced to 17 Years in Prison for Sexual Exploitation of a MinorRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an El Dorado Springs, Mo., man was sentenced in federal court today for sexually exploiting a minor.
Bryan Lee Courtney, 24, of El Dorado Springs, was sentenced by U.S. District Judge Beth Phillips to 17 years in federal prison without parole. The court also ordered Courtney to pay $1,494 in restitution to the victim for counseling.
On Feb. 7, 2014, Courtney pleaded guilty to using a minor to produce child pornography. Courtney admitted that he used his cell phone to make a video recording of himself having sex with a 15-year-old minor.
Police officers executed a search warrant at Courtney’s residence on Jan. 8, 2013. Officers seized several cell phones, iPods and other digital media. Investigators found two videos on one of the cell phones of Courtney and the minor victim having sex. Investigators also found several nude or partially nude photographs of the minor victim.
According to court documents, Courtney actively tried to isolate the victim from both her family and friends through physical and psychological intimidation. He took pictures and video of his sexual exploitation to both brag about his sexual conquest and to isolate the victim from her friends and family. Courtney displayed these videos and pictures to his friends and co-workers and to the victim’s friends. Courtney sent an image of the naked child to her father after he had been charged in state court with statutory rape.
This case was prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the Southwest Missouri Cyber Crime Task Force and the FBI.Dorchester Woman Pleads Guilty to Theft of Government BenefitsRead the Press Release
BOSTON - A Dorchester woman pleaded guilty today to stealing almost $350,000 in government benefits to which she was not entitled.
Mary Murphy, 62, pleaded guilty to theft of public money. In April 2014, Murphy was charged in a felony information. Sentencing is scheduled for Oct. 22, 2014.
Murphy’s mother died in 1977, but her monthly Social Security payments and Civil Service Retirement System annuity payments continued to be directly deposited into a joint bank account in her name and Murphy’s name. From 1977 to 2013, Murphy continued to receive her deceased mother’s benefits, including $206,679 in Social Security benefits and $143,098 in Civil Service Retirement System annuity payments.
United States Attorney Carmen M. Ortiz; Scott Antolik, Special Agent in Charge of the Office of Inspector General, Social Security Administration, Office of Investigations – Boston Field Division; and Scott Rezendes, Special Agent in Charge of the Office of Inspector General, Office of Personnel Management, Field Operations made the announcement today. The case is being prosecuted by Special Assistant U.S. Attorney Timothy Landry of Ortiz’s Major Crimes Unit.