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Tuesday 6 May 2014
Lake City Man Arrested and Charged in Federal Court with Producing Child PornographyRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III announced today that Robert Lamar Starling (29, Lake City) has been charged by a federal criminal complaint with producing child pornography. If convicted, Starling faces a mandatory minimum penalty of 15 years, up to 30 years in federal prison, and a potential life term of supervision. Starling was arrested on May 1, 2014. He was ordered detained pending a hearing on May 8, 2014 at 2:30 p.m., before United States Magistrate Judge James R. Klindt.
According to the criminal complaint, beginning in September 2013, FBI agents executed a series of search warrants on several email accounts around the country and determined, among other things, that a particular user in Lake City, Florida had uploaded images of child pornography to the Internet, using an account on a photo sharing site. Further investigation traced the account back to a residence in Lake City, where Starling resided.
On May 1, 2014, FBI agents and other law enforcement officers executed a federal search warrant at the residence. Starling was not at the residence, but was located later that morning driving his golf cart at the Suwannee Music Park & Campground in Live Oak, Florida. During an interview at his campsite, Starling stated that he had produced pornographic images of several prepubescent children and that he searches for and downloads child pornography via the Internet. He provided the identities of five prepubescent children with whom he produced child pornography. Starling estimated that he may have around 7,000 videos and 5,000 still images of child pornography. A preview of Starling’s laptop computer revealed that it contained more than 600 videos depicting child pornography.
A criminal complaint is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent until, and unless, proven guilty.
This case was investigated by the Federal Bureau of Investigation, the Columbia County Sheriff’s Office, the Suwannee County Sheriff’s Office, the Florida Department of Law Enforcement, and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another 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.
Laguna Pueblo Man Sentenced to Federal Prison for Assaulting his Intimate PartnerRead the Press Release
ALBUQUERQUE – Matthew Louis Brown, 32, was sentenced today to 17 months in federal prison followed by three years of supervised release for his conviction for domestic assault by a habitual offender charge. Brown also was ordered to pay $1,250 in restitution to the Indian Health Services to cover the costs of medical care for the victim.
The sentence was announced by Acting U.S. Attorney Damon P. Martinez, DuWayne W. Honahni, Sr., Special Agent in Charge of District IV of BIA’s Office of Justice Services, and Acting Police Chief Brian Carr of the Pueblo of Laguna Tribal Police Department.
Brown, a member of the Pueblo of Laguna who resides in Mesita, N.M., was arrested on Oct. 2, 2013, based on a two-count indictment alleging that (1) he assaulted his intimate partner, a member of the Pueblo of Acoma, and (2) he assaulted the victim causing her serious bodily injury. Brown was charged federally as a habitual domestic violence offender because he has two prior domestic violence convictions in the Pueblo of Laguna Tribal Court.
On Jan. 7, 2014, Brown pled guilty to Count 1 of the indictment and admitted assaulting the victim, his intimate partner and the mother of his child, by striking her in the face multiple times with a closed fist and kicking her head while she was on the ground. Brown also admitted that the victim sustained serious bodily injury as a result of his attack and that he committed this crime on July 25, 2011, in a location within the Pueblo of Laguna.
Court records reflect that Brown previously was convicted on domestic violence charges before the Pueblo of Laguna Tribal Court in 2004 and 2008.
This case was investigated by the Laguna/Acoma Agency of BIA’s Office of Justice Services and the Pueblo of Laguna Tribal Police Department and was prosecuted by Special Assistant U.S. Attorney David Adams. It was brought pursuant to the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
KC Man, Lee's Summit Woman Indicted for Transporting a Minor to Kansas for ProstitutionRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Kansas City, Mo., man and a Lee’s Summit, Mo., woman have been indicted by a federal grand jury for transporting a minor across states lines for prostitution.
Milton Charles Wilson, also known as “Barbwire,” 58, of Kansas City, and Kayla Pinkerton, also known as “Foxy,” 18, of Lee’s Summit, were charged in a two-count indictment returned under seal by a federal grand jury in Kansas City, Mo., on Wednesday, April 30, 2014. That indictment was unsealed and made public today upon the arrests and initial court appearances of Wilson and Pinkerton. Wilson and Pinkerton remain in federal custody without bail pending a detention hearing on Thursday, May 8, 2014.
The federal indictment alleges that Wilson and Pinkerton transported a child victim across state lines to engage in prostitution in Kansas in December 2013.
According to court documents, Wilson advertised the child victim for prostitution on Backpage.com and paid for an area hotel room. Wilson transported the child victim from a Missouri residence, the government alleges in a detention motion, to a Kansas City hotel and at least two locations in Overland Park, Kan., where the child victim engaged in prostitution activity for money. Wilson allegedly waited in his car while the child victim engaged in these prostitution acts.
Wilson is also charged with being an unlawful user of a controlled substance in possession of several firearms. Wilson allegedly possessed a Cobra .380-caliber pistol, a Glock .40-caliber pistol, a Remington 12-gauge shotgun and a Ruger .243-caliber rifle on Feb. 13, 2013.
The government filed a motion for Wilson to be detained in federal custody without bail. The government’s detention motion notes that the crime of transporting a minor with intent to engage in criminal sexual activity carries a mandatory minimum sentence of 10 years in federal prison without parole and a maximum penalty of life in federal prison without parole. For that and other reasons cited in the detention motion, the government believes that Wilson poses a flight risk and a danger to the community.
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 Patrick D. Daly. It was investigated by the FBI, the Kansas City, Mo., Police Department, U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) and the Bureau of Alcohol, Tobacco, Firearms and Explosives.Indictment Unsealed Charging International Methamphetamine Distribution ConspiracyRead the Press Release
U.S. Attorney Kenneth Allen Polite, Jr. announces the recent unsealing of an indictment charging three individuals with conspiring to violate federal drug distribution laws. On April 10, 2014, a federal grand jury returned the indictment charging RYAN ERNST NYBERG, age 33, CHRISTOPHER BYRON FRITCHIE, a/k/a “Byron,” age 42, and NASER YOUSEF GHEITH, a/k/a “Nick,” age 35, with one count of conspiring to distribute and to possess with intent to distribute five hundred grams or more of methamphetamine in the Eastern District of Louisiana and elsewhere.
According to the indictment, NYBERG, FRITCHIE, and GHEITH conspired from 2011 through 2014 to violate federal drug distribution laws. NYBERG is a United States citizen currently residing in Germany. FRITCHIE and GHEITH are also United States citizens and reside in the San Francisco area. If convicted, the charged individuals each face a maximum penalty of life imprisonment, a $10,000,000 fine, and at least five years of supervised release.
U. S. Attorney Polite reiterated that the indictment is merely a charge and that the guilt of the defendants must be proven beyond a reasonable doubt.
On March 20, 2014, German Customs Investigation Bureau (the Zollkriminalamt or ZKA) authorities arrested NYBERG in Duisburg, Germany. The United States intends to formally request his extradition from Germany. On April 29, 2014, DEA Agents arrested FRITCHIE in San Francisco, California. GHEITH remains at large.
The DEA New Orleans Division Office investigated this case with assistance from the DEA Frankfurt, Germany Country Office and the DEA San Francisco Division Office. The prosecution is being handled by Assistant United States Attorney Matthew Payne.
(Download Indictment )
Hualapai Man Sentenced to 165 Months in Prison for Domestic Violence AssaultsRead the Press Release
PHOENIX – On May 5, 2014, Valance Ray Smith, Sr., 46, of Peach Springs, Ariz. was sentenced by U.S. District Judge G. Murray Snow to a total of 165 months in prison on two counts of assault with a dangerous weapon and one count of assault resulting in serious bodily injury. Smith was found guilty by a federal jury on Jan. 9, 2014.
The evidence at trial indicated that Smith assaulted the victim on two separate occasions;onJuly 8, 2011 Smith stabbed the victim in a domestic violence situation causing her to sustain injuries, and on Sept. 29, 2012, Smith beat the victim with a metal pipe causing her to suffer serious bodily injuries.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Hualapai Nation Police Department. The prosecution was handled by Christina J. Reid-Moore and Dimitra H. Sampson, Assistant U.S. Attorneys, District of Arizona, Phoenix.CASE NUMBER: CR-2013-8043-PCT-GMS
RELEASE NUMBER: 2014-027_SmithFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Howes Man Charged with Unlawful Taking of Bald EagleRead the Press Release
United States Attorney Brendan V. Johnson announced that a Howes, South Dakota, man has been charged with a federal offense of Unlawful Taking of Bald Eagle by an Information filed on April 11, 2014.
Cody M. Weyer, age 42, appeared before U.S. Magistrate Judge Veronica L. Duffy on May 2, 2014, and pled not guilty to the charge.
The maximum penalty upon conviction is one year of imprisonment and/or a $100,000 fine, one year of supervised release and an additional year of supervised release upon revocation, and a $25 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The Information alleges that Weyer, between January 1, 2014, and January 21, 2014, without permission to do so, knowingly killed a bald eagle.
The charge is merely an accusation and Weyer is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Fish and Wildlife Services. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Weyer was released on bond pending trial which has been set for July 8, 2014.
Houston Man Convicted in Houston Theft and Fraud RingRead the Press Release
HOUSTON – Jason Wade Crawford, 37, has entered a plea of guilty to one count each of bank fraud, access device fraud and aggravated identity theft, announced United States Attorney Kenneth Magidson.
According to information presented in open court, beginning in at least May 2012, Crawford broke into several mail boxes throughout the Houston area to steal mail, much of which included checks, credit cards, gift cards and other mail with personal identifiers. He then created false identifications and used them to deposit or cash the checks.
Bank surveillance photos showed Crawford negotiating stolen checks at Woodforest National Bank and Amegy Bank. Local area law enforcement officers were also able to seize bags full of stolen mail from Crawford’s car.
At the time of his guilty plea, he admitted he participated in the mail theft ring and had used the personal identification information of another person to cash stolen checks.
U.S. District David Hittner, who accepted the plea, has set Crawford’s sentencing for Aug. 1, 2014. At that time, he faces up 30 years in federal prison and a possible $1 million fine for the bank fraud, while access device fraud carries a possible punishment of up to 10 years and a maximum $250,000 fine. In addition, with the conviction of identity theft, Crawford will also be required to serve a mandatory two-year prison term which must be served consecutively to any other sentence imposed.
Crawford will remain in custody pending that hearing.
The case was investigated by the U.S. Postal Inspection Service. Assistant U.S. Attorney Julie Searle is prosecuting.
Hattiesburg Businessman Pleads Guilty to Federal Kickback SchemeRead the Press Release
Hattiesburg, Miss. -- Local businessman and former Hattiesburg Fire Chief T.L. Pittman, Jr., 82, pled guilty today in U.S. District Court to a kickback scheme which defrauded the U.S. Department of Agriculture, announced U.S. Attorney Gregory K. Davis, FBI Special Agent in Charge Daniel McMullen and Special Agent in Charge Mary L. Lewis of USDA Office of Inspector General.
A federal criminal bill of information was filed against Pittman on May 1, 2014, charging him with one count of theft of government funds. Pittman is scheduled to be sentenced by U.S. District Judge Keith Starrett on August 18, 2014, at 1:00 p.m. The fraud charge carries a maximum of 10 years in prison, a $250,000 fine, and up to three years of supervised release.
Pittman owns multiple apartment complexes throughout the State of Mississippi which were financed through USDA. Pittman, through his company, Century Management, Inc., hired a contractor to work for one of his USDA-financed apartment complexes. When the contractor was hired, Pittman agreed to pay the contractor a certain dollar amount per hour but Pittman required the contractor to kickback a portion of his hourly wage to Pittman. The kickbacks continued from 2011 through 2013.
The case was investigated by the Federal Bureau of Investigation and the USDA Office of Inspector General. Assistant U.S. Attorney Mike Hurst is prosecuting the case.
If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
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Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Government Settles False Claims Act Allegations Against Florida-Based Baptist Health System for $2.5 MillionRead the Press Release
Baptist Health System Inc. (Baptist Health), the parent company for a network of affiliated hospitals and medical providers in the Jacksonville, Florida, area, has agreed to pay $2.5 million to settle allegations that its subsidiaries violated the False Claims Act by submitting claims to federal health care programs for medically unnecessary services and drugs, the Department of Justice announced today. The alleged misconduct involved Medicare, Medicaid, TRICARE and the Federal Employee Health Benefits Program.
“Providers that bill for unnecessary services and drugs contribute to the soaring cost of health care,” said Assistant Attorney General for the Justice Department’s Civil Division Stuart F. Delery. “Providers must deal fairly and honestly with federal health care programs, and the Justice Department will investigate aggressively and hold accountable those who do not.”
This settlement resolves allegations that, from September 2009 to October 2011, two neurologists in the Baptist Health network misdiagnosed patients with various neurological disorders, such as multiple sclerosis, which caused Baptist Health to bill for medically unnecessary services. Although Baptist Health placed one of the physicians at issue on administrative leave in October 2011, it did not disclose any misdiagnoses to the government until September 2012.
“This settlement sends a clear message that health care fraud will not be tolerated in our district, particularly when there is the potential for harm to patients,” said U.S. Attorney A. Lee Bentley III for the Middle District of Florida.
The improper conduct at issue in this case included Medicaid patients. Medicaid is funded jointly by the states and the federal government. The state of Florida, which paid for some of the Medicaid claims at issue, will receive $19,024 of the settlement amount.
“ Health care providers will not be permitted to provide patients unnecessary medical services and drugs and then pocket the improper payments they receive as a result,” said Acting Special Agent in Charge Brian Martens, U.S. Department of Health and Human Services Office of Inspector General. “Our agency is dedicated to investigating health care fraud schemes that divert scarce taxpayer funds meant to provide for legitimate patient care.”
The government’s investigation was initiated by a qui tam, or whistleblower, lawsuit filed under the False Claims Act by Verchetta Wells, a former Baptist Health employee. The act allows private citizens to file suit for false claims on behalf of the government and to share in the government’s recovery. Wells will receive $424,155.
“These health care providers did not only violate the laws of the United States - they violated the trust placed in them by their patients,” said Inspector General of the U.S. Office of Personnel Management Patrick E. McFarland. “Federal employees deserve health care providers, including hospitals, that meet the highest standards of ethical and professional behavior. Today's settlement reminds all providers that they must observe those standards and reflects the commitment of federal law enforcement organizations to pursue improper and illegal conduct that may put the health and well-being of their patients at risk.”
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Secretary of Health and Human Services Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $19.1 billion through False Claims Act cases, with more than $13.6 billion of that amount recovered in cases involving fraud against federal health care programs.
This settlement is the result of a coordinated effort among the Justice Department’s Civil Division, the U.S. Attorney’s Office for the Middle District of Florida, the U.S. Department of Health and Human Services Office of Inspector General, the Defense Health Agency Program Integrity Office and the Office of Personnel Management Office of Inspector General.
The claims resolved by this settlement are allegations only, and there has been no determination of liability. The lawsuit against Baptist Health was filed in the U.S. District Court for the Middle District of Florida and is captioned United States ex rel. Wells v. Baptist Health System Inc. et al.
Four Indicted for Drug Trafficking Crimes Involving A Violent Kidnapping in St. PaulRead the Press Release
MINNEAPOLIS— United States Attorney Andrew Luger announced today that a United States Grand Jury indicted four men for their roles in a large-scale, methamphetamine-trafficking organization and a violent kidnapping in St. Paul. The indictment, returned on May 5, 2014 and unsealed today, charges Jesus Ramirez, 31, of Los Angeles, CA; Jonatan Delgado Alvarez, 22, of Los Angeles, CA; Juan Ricardo Elenes Villalvazo, a.k.a. Chapo, 32, of St. Paul, MN; and Antonio Navarro a.k.a. Tony Sanchez, 19, of St. Paul, MN.
The indictment alleges that Ramirez, Alvarez, Villalvazo, and Navarro participated in a conspiracy to distribute methamphetamine. According to the indictment, Navarro and Villalvazo maintained a stash house in St. Paul for storing large amounts of methamphetamine for distribution as part of the conspiracy.
On April 14, 2014, defendants Ramirez and Alvarez flew from Los Angeles, California to Minnesota in response to a report that approximately 30 pounds of methamphetamine had been stolen from the stash house two days earlier. On the evening of April 14, the four defendants kidnapped two victims at gunpoint and held them captive against their will at the stash house. The defendants bound and beat the victims and made violent threats against their lives and the lives of their family members, while demanding information about the missing methamphetamine. According to the indictment, Villalvazo cut one of the victim’s fingers, nearly severing it, while Ramirez held the victim down. After determining that the victims had no information about the missing drugs, the defendants released them.
Upon leaving the stash house at approximately 7:30 p.m. on April 15, Navarro was arrested by law enforcement officers, who had surrounded the premises. At approximately 7:40 p.m. that night, Alvarez attempted to leave the stash house and was also arrested by law enforcement officers. In the early morning hours of April 16, Ramirez flew back to Los Angeles from the Minneapolis-St. Paul International Airport. He was arrested the following day at a hotel in a Los Angeles suburb after leading police officers on a high speed car chase.
All four defendants were charged with one count of Conspiracy to Distribute Methamphetamine. In addition, the indictment alleges that Ramirez carried a firearm and used it to kidnap and threaten the victims.
If convicted, all four defendants could face a potential maximum penalty of life in prison for the drug conspiracy charge. Ramirez faces a potential minimum penalty of seven years in prison for the firearm charge. All sentences are ultimately determined by a federal district court judge.
This case is the result of an investigation by the Safe Streets Task Force. Safe Streets is a FBI-sponsored task force that focuses on combating violent street crime as well as gang and drug-trafficking offenses. Officers from the Minneapolis Police Department and the St. Paul Police Department, who are members of the Safe Streets Task Force, were instrumental in the investigation of this case. This case is being prosecuted by Assistant United States Attorney Jeffrey S. Paulsen. The defendants will make their first appearance today at 2:00 p.m. in federal court in St. Paul before Magistrate Judge Tony N. Leung.
United States Attorney Andrew Luger commended the work of the Safe Streets Task Force. “The allegations in the indictment are a frightening reminder of the violent capabilities of drug traffickers. Safe Streets and our Office are dedicated to protecting our citizens from this type of outrageous and violent conduct.”An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Former Lowndes County, Georgia, Sheriff’s Deputy Pleads Guilty to Civil Rights Conspiracy ChargeRead the Press Release
Today, the Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the Middle District of Georgia announced that Jason Stacks, a former Lowndes County Sheriff’s Office (LCSO) Deputy, pleaded guilty to conspiring to use his law enforcement authority to unlawfully detain and take money from motorists.
In connection with his plea, Stacks admitted that he conspired with two civilians to subject Hispanic motorists to unlawful traffic stops so that the conspirators could demand the motorists pay money in order to avoid arrest and/or deportation. On Aug. 16, 2013, Stacks, while acting as a LCSO Deputy, unlawfully detained at least four motorists. One of the motorists, identified in the plea documents by the initials T.C., was unlawfully detained by Stacks and then approached by Stacks’s two Spanish-speaking co-conspirators, who explained to T.C. that he would be sent to jail or deported if he did not pay $500. When T.C. responded that he did not have $500 in his car, the co-conspirators drove T.C. to his residence and took $300 in cash from him. Stacks and the two co-conspirators divided the $300 among them.
“Mr. Stacks admitted that he conspired to use his badge to unlawfully detain and take money from motorists,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “The Justice Department will continue to vigorously prosecute officers who seek to profit from the violation of civil rights.”
“Today’s guilty plea is another example of the zero tolerance the Department of Justice has for law enforcement officers who violate individuals’ civil rights,” said U.S. Attorney Michael J. Moore for the Middle District of Georgia.
This case has been investigated by the FBI, with assistance from the Lowndes County Sheriff’s Office. The matter is being prosecuted by Special Litigation Counsel Forrest Christian and Trial Attorney Risa Berkower of the Civil Rights Division, with the assistance of the U.S. Attorney’s Office for the Middle District of Georgia.
Former Lowndes County, Georgia Sheriff's Deputy Pleads Guilty to Civil Rights Conspiracy ChargeRead the Press Release
WASHINGTON – Today, the Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the Middle District of Georgia announced that Jason Stacks, a former Lowndes County Sheriff’s Office (LCSO) Deputy, pleaded guilty to conspiring to use his law enforcement authority to unlawfully detain and take money from motorists.
In connection with his plea, Stacks admitted that he conspired with two civilians to subject Hispanic motorists to unlawful traffic stops so that the conspirators could demand the motorists pay money in order to avoid arrest and/or deportation. On Aug. 16, 2013, Stacks, while acting as a LCSO Deputy, unlawfully detained at least four motorists. One of the motorists, identified in the plea documents by the initials T.C., was unlawfully detained by Stacks and then approached by Stacks’s two Spanish-speaking co-conspirators, who explained to T.C. that he would be sent to jail or deported if he did not pay $500. When T.C. responded that he did not have $500 in his car, the co-conspirators drove T.C. to his residence and took $300 in cash from him. Stacks and the two co-conspirators divided the $300 among them.“Mr. Stacks admitted that he conspired to use his badge to unlawfully detain and take money from motorists,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “The Justice Department will continue to vigorously prosecute officers who seek to profit from the violation of civil rights.”
“Today’s guilty plea is another example of the zero tolerance the Department of Justice has for law enforcement officers who violate individuals’ civil rights,” said U.S. Attorney Michael J. Moore for the Middle District of Georgia.
This case has been investigated by the FBI, with assistance from the Lowndes County Sheriff’s Office. The matter is being prosecuted by Special Litigation Counsel Forrest Christian and Trial Attorney Risa Berkower of the Civil Rights Division, with the assistance of the U.S. Attorney’s Office for the Middle District of Georgia.Inquiries regarding the case should be directed to Pamela Lightsey, United States Attorney's Office at (478) 621-2603.
Former Fulton County Deputy Pleads Guilty to Soliciting KickbacksRead the Press Release
ATLANTA – Former Fulton County Deputy Sheriff Reginald Warren pleaded guilty in federal court to charges that he demanded bribe payments from security officers assigned to work at the City of Atlanta's public swimming pools.
“Those who work within the law enforcement community must maintain the public’s trust and respect,” said United States Attorney Sally Quillian Yates. “By entering his guilty plea, he acknowledges he violated his oath of office and betrayed those he promised to protect.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “The integrity of those working within our law enforcement community is paramount in maintaining a criminal justice system that the public can trust. The FBI will continue to dedicate significant investigative resources toward such public corruption matters that have the potential to do so much harm.”
According to United States Attorney Yates, the charges and other information presented in court: During the summer of 2011, while Warren was employed as a deputy with the Fulton County Sheriff’s Office, he contracted with the City of Atlanta to coordinate and supervise security at the City’s public swimming pools. In that capacity, Warren hired a number of security officers and, scheduled them to work various shifts at pools located throughout the city. Soon after the officers were hired, Warren demanded payments from at least three officers in exchange for continuing to schedule them for more work. Over a three-month period, Warren, 50, of Covington, Ga., accepted thousands of dollars in kickbacks.
This case is being investigated by the Federal Bureau of Investigation.
Assistant United States Attorney Brent Alan Gray 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/.
Former Detroit Public School TeacherSentenced on Fraud and Money Laundering ChargesRead the Press Release
A former Detroit Public Schools teacher was sentenced to three years in prison today for her conviction for defrauding DPS, U.S. Attorney Barbara L. McQuade announced today.
McQuade was joined in the announcement by Paul M. Abbate, Special Agent in Charge of the Detroit Division of the Federal Bureau of investigation, Carolyn Weber, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation.U.S. District Judge Julian Abele Cook imposed sentence on Domonique Campbell, 39. A jury found Campbell guilty of program fraud conspiracy, money laundering conspiracy and tax charges, following a five-week trial in August 2013.
Campbell's mother, Sandra Campbell, 60, a former DPS contract accountant and School Board candidate was sentenced in December, 2013 to 70 months in federal prison for her role in the scheme.
The evidence presented at trial established that between 2004 and 2008, the defendants obtained more than $530,000 from DPS through a fraudulent scheme in which orders were placed with the Campbells’ sham company for books and educational materials that were never provided to the schools. Sandra Campbell and Domonique Campbell conspired to launder the fraud proceeds and to defraud the Internal Revenue Service by failing to report on their income tax returns the money they fraudulently obtained.McQuade said, "Anyone who considers defrauding our schools should take note that we are scrutinizing records and conduct, and will prosecute those who steal funds intended to educate our children."
FBI Special Agent in Charge Abbate stated, “In this case, the defendants’ criminal actions amounted to stealing the opportunity for a quality education from our children. Such conduct cannot, and will not, be tolerated. The FBI Detroit Field Office, together with our local, state, and federal partners will continue to battle public corruption and hold those responsible accountable for their actions."
The case was investigated by special agents of the FBI, IRS and Department of Education, Office of Inspector General, with the assistance of Detroit Public Schools, Office of Inspector General. The case was investigated and prosecuted by Assistant United States Attorneys J. Michael Buckley and Bruce Judge of the Public Corruption Unit.
IRS Acting Special Agent in Charge Weber stated, “"Those who profit at the expense of our children and steal from our community will be held accountable for their greedy actions".Former Coeur D’Alene Tribal Employee Admits to TheftRead the Press Release
COEUR D'ALENE - Angeline Morago George, 37, of Plummer, Idaho, was sentenced yesterday to seven months in prison followed by three years of supervised release for theft from a tribal organization, U.S. Attorney Wendy J. Olson announced. Chief U.S. District Judge B. Lynn Winmill also ordered George to pay $4,176 in restitution, pay a $100 special assessment, and perform 100 hours of community service.
George pleaded guilty on August 30, 2013, to unlawfully using her tribal credit card to get $4,175.26 for her own personal benefit. George’s co-defendant, Billy Moffitt, was previously sentenced to five months incarceration and three years of supervised release.
The case was investigated by the Coeur d’Alene Tribal Police, the Federal Bureau of Investigation, and Office of Inspector General.
Former Burnham Village Clerk Charged with Stealing at Least $650,000 from Revenue Payments and Filing False Tax ReturnRead the Press Release
CHICAGO — The former longtime elected clerk for the Village of Burnham was charged today with stealing more than $650,862 from her office at the south suburb’s village hall and using most of the cash to gamble at casinos. The defendant, NANCY DOBROWSKI, was charged with one count each of wire fraud and filing a false federal income tax return in a criminal information filed in U.S. District Court.
Dobrowski, 70, of Burnham, served as Burnham’s elected clerk from 1980 until she resigned on May 29, 2013, when FBI agents executed a federal search warrant at the clerk’s village hall office. Through her attorney, Dobrowski authorized the government to disclose that she will plead guilty to the charges. No date has been set yet for Dobrowski to be arraigned in Federal Court.
As clerk, Dobrowski was responsible for managing Burnham’s finances and depositing cash and checks collected by the clerk’s office into the village’s bank accounts.
Between at least 2004 and May 2013, Dobrowski allegedly took cash the village received as payment for fees and fines from the public. She then used most of the cash to gamble at casinos in Indiana and elsewhere either by taking cash to casinos or by depositing the money into her personal bank account and then withdrawing it from automated teller machines at casinos. She falsely represented the village’s finances to auditors and covered up her fraud scheme by causing false entries in village books, according to the charges.
As part of the fraud scheme, Dobrowski allegedly took cash from both the village cash register and the collection of money received as tow bonds. She recorded false amounts of tow bond money that had been received to make it appear that the village collected less cash than it had actually received, and sometimes she used tow bond money to balance the cash register, the charges allege.
To conceal her misappropriation of cash from the village cash register, Dobrowski waited a week to deposit cash into the village’s bank accounts instead of making daily deposits. By delaying deposits, Dobrowski could use funds received by the village in the later week to make up for funds she had taken during the prior week, making the deposit appear to match the revenues despite having taken cash from the register, the information alleges.
Dobrowski allegedly further concealed the scheme by failing to record checks received from the public as payment for village fees and services. She would place the unrecorded checks into the register to compensate for an equal amount of cash she had taken, making the register appear balanced. She provided false information to the village’s outside audit firm regarding the village’s revenues and regularly disposed of the cash register tape to conceal that the village’s revenues often did not match the deposits into village bank accounts.
Dobrowski was also charged with filing a false federal income tax return for 2012, when she reported total income of $309,181, knowing that her total income was substantially greater than that because she failed to report the cash she misappropriated from the village in 2012 as income.
Wire fraud carries a maximum penalty of 20 years in prison and a $250,000 fine or an alternate fine totaling twice the gross loss or gain, whichever is greater. Filing a false federal income tax return carries a maximum penalty of three years in prison, a $250,000 fine, and mandatory costs of prosecution. Restitution is mandatory and defendants convicted of tax offenses remain liable for back taxes, interest, and a civil penalty of up to 75 percent of the amount owed.
The indictment was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Robert J. Holley, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; and James C. Lee, Special Agent-in-Charge of the Chicago Office of the Internal Revenue Service Criminal Investigation Division.
The government is being represented by Assistant U.S. Attorney Steven Block.
The public is reminded that an information contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Indictment
Felon Charged with Violating Federal Gun and Drug LawsRead the Press Release
PITTSBURGH – A Pittsburgh resident has been indicted by a federal grand jury on charges of violating federal firearms and narcotics laws, United States Attorney David J. Hickton announced today.
The three-count indictment named Omar Smith, 25, as the sole defendant.
According to the indictment, Smith was previously convicted of felony drug charges in Allegheny County on four separate dates between 2008 and 2011, and he again violated drug laws on June 21, 2012. Although federal law precludes a person convicted of a crime punishable by in excess of one year from possessing a firearm or ammunition, Smith allegedly possessed a .357 Taurus pistol and ammunition at the time of the new drug crimes.
The law provides for a minimum sentence of 15 years and a maximum of life in prison, a fine of up to $4,250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Ross E. Lenhardt is prosecuting this case on behalf of the government.
The Drug Enforcement Administration, the Coraopolis Police Department and the Pittsburgh Bureau of Police conducted the investigation leading to the indictment in this case with the valuable assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Federal Court Jury Convicts North Providence Resident of Threatening to Assault and Murder Internal Revenue Service AgentsRead the Press Release
PROVIDENCE, R.I. – Kenneth M. Delashmutt, 70, of North Providence, R.I., faces up to 10 years in federal prison when he is sentenced in July, having being convicted today by a federal court jury in Providence of threatening to assault and murder two Internal Revenue Service agents, announced United States Attorney Peter F. Neronha and Robert E. O’Malley, Special Agent in Charge, Treasury Inspector General for Tax Administration, New York Field Division.
According to the government’s evidence presented at trial, an IRS agent from the agency’s Warwick, R.I., office had several telephone conversations with Delashmutt in April 2013 in an effort to resolve the defendant’s status as a “non-filer,” someone who had failed to file federal tax returns from at least 2005 through 2010. Delashmutt insisted that he believed he was not subject to the jurisdiction of the IRS.
According to the government’s evidence, on April 11, 2013, an agent interviewed Delashmutt at the IRS Warwick office, the first time the agent met face-to-face with the defendant. A supervisor sat in on the interview because of concerns for the safety of her office. During the meeting, Delashmutt stated that he intended to go to the agents’ homes to take their photographs and he threatened to file lawsuits against both agents after he was prohibited from taking their photographs while in the IRS office.
The next day, based on a report of the incident at the IRS office, agents from the Treasury Inspector General’s office attempted to interview Delashmutt at his North Providence residence. Delashmutt slammed the door closed, refusing to be interviewed.
According to the government’s evidence, on May 2, 2013, the supervising agent at the Warwick office of the IRS received a certified letter from Delashmutt. Included in the letter was a statement from Delashmutt that he did not believe that IRS agents had the authority to act upon anyone, or deprive anyone of liberty or property, and if they were to attempt to act outside their specific authority and make an arrest or take property, they would be committing a felony. He further stated that a citizen has the duty, “to prevent the commission of a felony if he can, by whatever means which may be required, including the use of deadly force.”
According to information presented to the court, at the time of Delashmutt’s arrest in September 2013, agents seized a loaded pistol-grip shotgun located immediately inside of the front door of Delashmutt’s residence.
Delashmutt, who remains free on $3,000 bond, is scheduled to be sentenced by U.S. District Court Judge Mary M. Lisi on July 31, 2014. Delashmutt has been ordered by the court to have no contact with the IRS agents from the Warwick office whom he threatened.
The case is being prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.
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To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Father and Daughter Bank Robbers SentencedRead the Press Release
DALLAS — Convicted bank robbers, John Charles Applewhite and his daughter, Shelby Dawn Applewhite, have been sentenced for their roles in robbing three banks in Dallas in May 2013, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
John Applewhite, 50, who pleaded guilty in October 2013 to three counts of bank robbery, was sentenced yesterday by U.S. District Judge David C. Godbey to serve a total of 184 months in federal prison. He was on supervised release for another bank robbery conviction at the time he reoffended.
Shelby Applewhite, 23, was sentenced in March 2014 to serve 60 months in federal prison. She pleaded guilty in November 2013 to one count of conspiracy to commit those three bank robberies.
The defendants admitted that they committed the following bank robberies in Dallas:
5-01-2013 Citibank
14909 Coit Road5-10-2103 Veritex Community Bank
14885 Preston Road5-15-2013 ViewPoint Bank
5941 Forest LaneAccording to documents filed in the case, for each of these robberies, John and Shelby Applewhite drove in separate vehicles to the vicinity of the respective banks with the specific intent to commit bank robbery. They switched vehicles with each other and altered a license plate prior to each bank robbery to facilitate the bank robbery and avoid detection by law enforcement. Prior to each robbery, Shelby Applewhite entered the bank to learn the layout of the bank’s interior and obtain information about bank personnel, to include whether or not there was a security guard on duty. She reported all the information to John Applewhite who used it to commit the bank robbery.
In each bank robbery, John Applewhite disguised his identity by wearing a hoodie, scarf or mask, sunglasses and gloves. He also used a dangerous weapon that he pointed at tellers, causing them to fear for their lives.
The FBI and the Dallas Police Department conducted the investigation. Assistant U.S. Attorney Keith Robinson prosecuted.
Eagle Butte Woman Sentenced for Two Counts of Simple Assault of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that an Eagle Butte, South Dakota, woman convicted of two counts of Simple Assault of a Minor was sentenced on May 2, 2014, by U.S. Magistrate Judge Mark A. Moreno.
Terri Kills Crow, a/k/a Terri Village Center, age 28, was sentenced to 24 months of probation and a $50 special assessment to the Federal Crime Victims Fund.
Kills Crow was indicted by a federal grand jury on May 15, 2013, and pled guilty to two counts of Simple Assault of a Minor on February 21, 2014.
The conviction arose from two incidents in November 2012 when Kills Crow assaulted two minor victims in Eagle Butte who had not attained the age of 16. In the first incident, Kills Crow grabbed the victim’s arm and pulled in an inappropriate, excessive, and offensive manner that caused the victim great pain and exacerbated an existing arm injury. In the second incident, in an attempt to punish the victim, Kills Crow hit the victim with a fly swatter in an excessive and offensive manner that went beyond any normal or reasonable means of punishment or correction for a young child.
The investigation was conducted by the Federal Bureau of Investigation and the Cheyenne River Sioux Tribe Law Enforcement Division. The case was prosecuted by Assistant U.S. Attorney Mikal Hanson.
Department of Justice and Federal Trade Commission to Hold Workshop on Conditional Pricing PracticesRead the Press Release
The Department of Justice and the Federal Trade Commission (FTC) will hold a joint public workshop on June 23, 2014, to explore the economic and legal analysis of conditional pricing practices among firms in a supply chain. The workshop will focus on conditional pricing arrangements – practices in which prices are explicitly or effectively contingent on commitments to purchase or sell a specified share or volume of a single product or a mix of multiple products – such as loyalty or bundled pricing.
A principal goal of the workshop will be to advance the economic understanding of the potential harms and benefits of conditional pricing practices and to reexamine their treatment under the antitrust laws.
Conditional pricing practices, similar to other distribution strategies, may have anticompetitive effects and efficiency benefits. For example, if a loyalty or share discount induces buyers to make most or all of their purchases from the seller, under some circumstances it might deprive the seller’s rivals of sufficient access to efficient distribution or production and facilitate the seller’s exercise of market power. Similarly, bundled pricing can deny rivals that do not produce all of the products in the bundle efficiencies of scale or scope. Supporters of such arrangements contend, however, that as long as these practices involve prices that are above some measure of cost, they are likely to reflect beneficial price competition, and that restraining their use will inhibit robust competition.
The legal treatment of conditional pricing practices has traditionally fallen into two categories. The first focuses on pricing and applies various forms of a price-cost test. The second examines whether a particular pricing practice reduces competition by raising the costs of rival firms or otherwise impeding their ability or incentives to expand or achieve efficiencies. These effects on competition could be comparable to those resulting from other distribution practices, such as exclusive dealing or tying.
Economic Learning. Workshop participants will examine both theoretical and empirical economic learning regarding these arrangements and consider many questions, including:
- What are the economic theories of harm and benefit?
- What do the economic and business-strategy literatures tell us about how and with what frequency firms employ conditional pricing practices?
- Under what circumstances are the various conditional pricing strategies likely to lead to competitive harm?
- In what settings might conditional pricing practices allow firms to realize efficiencies?
- To what degree might less-restrictive alternatives enable firms to achieve those same efficiencies?
Law and Policy Issues. Participants also will consider how to integrate the economic learning with the relevant legal standards. To that end, the workshop will explore the current legal standards in the United States and abroad and will consider a number of questions, including:
- How has the treatment of various conditional pricing practices evolved in the courts?
- To what extent do the standards articulated in judicial decisions align—or fail to align—with the relevant theories of competitive harm and benefit?
- What are the practical challenges of proof that the courts and litigants have confronted when attempting to apply the different legal standards?
- Do price-cost tests provide certainty and predictability to firms?
- How do price-cost tests compare to other alternative tests?
- Under the various standards, how might misalignment with theory and challenges of proof threaten to under-deter harmful practices or over-deter beneficial conduct?
- How do the various legal standards, if at all, affect primary conduct?
- What legal standards should the courts and antitrust agencies apply to the various conditional pricing strategies and theories of competitive harm?
The Department of Justice and the FTC are interested in receiving comments on conditional pricing practices and will accept written submissions from now through Aug. 22, 2014, 60 days after the event. Interested parties may submit public comments to https://ftcpublic.commentworks.com/ftc/conditionalpricingworkshop. Submitted comments will be made publicly available on the Department of Justice and FTC websites.
The all-day workshop is free and open to the public. Individuals are encouraged, but not required, to register in advance for the workshop by sending an email to [email protected]. Please include “RSVP” in the subject line. Seating will be on a first-come, first-serve basis.
Reasonable accommodations for people with disabilities are available upon request. Requests should be submitted by e-mail to [email protected] or by calling Lara Kittelson at 202-326-3388. Requests should be made in advance. Please include a detailed description of the accommodation needed and provide contact information.
The workshop will take place at the FTC’s new satellite conference center, Constitution Center, 400 Seventh Street, S.W., Washington, D.C. 20024. A workshop agenda and list of speakers will be published in advance of the workshop.
Press contacts:
Department of Justice
Office of Public Affairs
Gina Talamona
202-514-2007
Federal Trade Commission
Office of Public Affairs
Mitch Katz
202-326-2161
Staff contacts:
Department of Justice
Antitrust Division, Office of Legal Policy
Robert Potter
202-514-2512
Federal Trade Commission
Douglas Hilleboe, Office of Planning Policy
202-326-2155
Andrea Zach, Bureau of Competition
202-326-2184
Dallas Psychologist, Who Treated Disabled Federal Workers, Is Sentenced to 36 Months in Federal Prison on Health Care Fraud ConvictionRead the Press Release
DALLAS — Psychologist Michael Ellis Wolf, 62, of Dallas, was sentenced today by U.S. District Judge Jorge A. Solis to 36 months in federal prison and ordered to pay approximately $1.8 million in restitution. In January 2014, Wolf pleaded guilty to one count of health care fraud stemming from his treatment of disabled federal workers and was remanded into custody at that time. U.S. Attorney Sarah R. Saldaña of the Northern District of Texas made today’s announcement.
According to documents filed in the case, Wolf provided psychotherapy to individuals, including civilian employees of the federal government who sustained on-the-job injuries or employment-related occupational illness. The Federal Employees Compensation Act (FECA) provides disability compensation benefits and payment for medical and rehabilitation care for federal civilian employees who sustain on-the-job injuries or employment-related occupational illness. The FECA is a health care benefit program administered by the U.S. Department of Labor (DOL), Office of Workers Compensation Program.
As part of his scheme to defraud a health care benefit program, Wolf filed claims for payment of services that were never rendered and for services that were rendered in far less quantities than billed.
For example, through his billings, Wolf claimed he provided therapy for one particular injured federal employee, from January 2008 through mid-2013, seven days a week, when he in truth and fact he would only provide it once or twice a week, for 60 minutes. He also falsely claimed through billings that he provided therapy to this individual on holidays and on Sundays, and that on multiple days, he provided eight hours of therapy, per day, for this patient. Wolf also falsely claimed, through billings, that he provided four-eight hours of explanations to this patient’s family and employers multiple times a week, when in fact, he only offered occasional phone or in-office consultation with the family.
During this time period, the total amount billed by Wolf, on behalf of this patient, was more than $1.9 million. Of the amount billed, Wolf was paid more than $1 million.
The DOL Office of Inspector General and the U.S. Postal Service Office of Inspector General conducted the investigation. Assistant U.S. Attorney P. J. Meitl prosecuted.
Corpus Christi Man Sentenced for Possession of Child PornographyRead the Press Release
CORPUS CHRISTI, Texas - Jason Thomas Dreyer, 31, has been ordered to federal prison following his conviction for possession of child pornography, announced United States Attorney Kenneth Magidson. Dreyer pleaded guilty to the charge Dec. 5, 2013.
Today, U.S. District Judge Nelva Gonzales Ramos handed Dreyer a sentence of 60 months in prison to be followed by 10 years of supervised release. He will also have to obtain sex offender treatment and will not be permitted contact with minor children without adult supervision, cannot seek employment where minors congregate and is to have no Internet access without permission. Dreyer will also be required to register as a sex offender.
In December 2012, Dreyer was identified through an undercover investigation as an online user who was offering child pornography for distribution. That month and next, detectives successfully downloaded child pornography from Dreyer.
Dreyer later admitted to downloading and viewing child pornography on the Internet through file sharing software. A forensic evaluation of Dreyer’s computer led to the discovery of numerous images and more than 100 videos of child pornography. The majority of the images and videos were of prepubescent females engaged in sexually explicit conduct, primarily oral and vaginal sex with adult males.
Dreyer was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations and the Corpus Christi Police Department – Internet Crimes Against Children Task Froce investigated.
This case, prosecuted by Assistant U.S. Attorney Lance Duke, 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."
Convicted Sex Offender Residing in Logan County, Kentucky, Sentenced to 15 Years in Prison for Possession of Child PornographyRead the Press Release
BOWLING GREEN, Ky. – A previously convicted sex offender, living in Logan County, Kentucky, was sentenced to 15 years in prison followed by a life term of Supervised Release, on Thursday, May 1, 2014, by Senior District Judge Thomas B. Russell, for violating federal child pornography laws, announced David J. Hale, United States Attorney for the Western District of Kentucky. There is no parole in the federal system.
Jeffrey Lynn Hines, age 40, of Russellville, Kentucky, had previously pleaded guilty to a three-count Superseding Indictment that charged him with receiving child pornography, by way of the United States Postal Service and the Internet between August 2010 and April 2011. The Indictment also charged him with possession of child pornography and of being a convicted felon in possession of firearms. Hines admitted to ordering the child pornography, through a website, from a company located outside the United States and to downloading images of child pornography from the Internet.
Law enforcement officials executed a federal Search Warrant on Hines home in Russellville. Among the items located and seized pursuant to the Warrant were several computers containing numerous still images and video files depicting child pornography, a binder with printed images of child pornography, numerous VHS tapes, and more than 30 DVDs (including the ones Hines had ordered from the international company containing child pornography). Law enforcement officials also found and seized a Remington, Wingmaster model 870, 12-gauge semi-automatic pump shotgun; a Maverick model 88, 12-gauge semi-automatic pump shotgun; a Westpoint model 948E, 20-gauge single shot shotgun; and a Bauer Firearms Corp., model Bauer Automatic .25 caliber semi-automatic pistol.
Information from the Kentucky State Police Sex Offender Registry website showed that Hines was a sex offender registrant. The underlying conviction arose in Logan County, Kentucky Circuit Court. On June 5, 1995, Hines was convicted of first degree sexual abuse of a six-year-old little boy (a crime punishable by imprisonment for more than one year). In 2004, Hines was again charged with first degree sexual abuse of a child (a four-year-old boy). He received diversion for a period of five years. During that time period, in 2010, Hines failed to comply with sex offender registration requirements. At the time of his arrest in this case, he was compliant with the registration.
Assistant United States Attorney Jo E. Lawless prosecuted the case. The United States Postal Inspection Service led the investigation. The Kentucky State Police and Logan County Sheriff’s Department assisted with execution of the Search Warrant and the Bureau of Alcohol, Tobacco, Firearms & Explosives aided with the firearms charge.
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."
Convicted Sex Offender Residing in Allen County, Kentucky, Sentenced to 15 Years in Prison for Possession of Child PornographyRead the Press Release
BOWLING GREEN, Ky. – A previously convicted sex offender, living in Allen County, Kentucky was sentenced to 15 years in prison followed by a life term of Supervised Release, on Thursday, May 1, 2014, by Senior District Judge Thomas B. Russell, for violating federal child pornography laws, announced David J. Hale, United States Attorney for the Western District of Kentucky. There is no parole in the federal system.
Gerald Burnham, age 73, of Adolphus, Kentucky, had previously pleaded guilty to a two-count Indictment that charged him with receiving child pornography, by way of the United States Postal Service and the Internet. The Indictment also charged him with possession of child pornography. Burnham admitted to ordering the child pornography, through a website, from a company located outside the United States and to downloading images of child pornography from the Internet.
Burnham admitted to placing orders and making purchases of DVDs from the International Company on 12 occasions between November 3, 2010, and March 4, 2011. Those orders included 20 separate video titles from the company’s website. Burnham spent at total of $510.50 in United States currency for the DVDs. Burnham was identified as a customer through an investigation by the United States Postal Inspection Service (USPIS) and a foreign law enforcement agency.
Law enforcement officials executed a federal Search Warrant on Burnham’s home in Kentucky on May 2, 2013. Among the items located and seized pursuant to the Warrant were a desktop computer, DVDs (the ones ordered from the international company), framed photographs of nude boys, photo albums and a binder containing sexually explicit photos of male and female children, miscellaneous nudist books and erotic writings belonging to Burnham.
Information from the Kentucky State Police Sex Offender Registry website showed that Burnham was a lifetime sex offender registrant. At the time of his arrest on the federal charges, Burnham was compliant with his sex offender registration requirement. The underlying conviction arose in Maine for unlawful sexual contact with a minor, possession of sexually explicit material, and sexual abuse of a minor. Burnham sexually abused a child in Maine for eight years, beginning when the child was only eight years old.
Assistant United States Attorney Jo E. Lawless prosecuted the case. The United States Postal Inspection Service led the investigation. The Allen County Sheriff’s Department assisted with execution of the Search Warrant.
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."
Colombian Man Pleads Guilty to Drug Importation Conspiracy ChargeRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Vinston Boxton-Moises (48, San Andres Island, Colombia, South America) today pleaded guilty to conspiring with others to distribute five kilograms or more of cocaine, knowing that the cocaine would be unlawfully imported into the United States. Boxton faces a mandatory minimum penalty of ten years in federal prison, up to a maximum term of life imprisonment.
According to the plea agreement, between 2010 and 2013, Boxton was a knowing and willing participant in an ongoing plan to smuggle cocaine by sea. The cocaine was ultimately destined for unlawful importation into the United States. Boxton’s roles in the conspiracy included recruiting and paying mariners and mechanics, contracting for the use of smuggling and lookout/logistics vessels, and dispatching cocaine-laden go-fast vessels (GFVs).
Boxton is accountable for the GFV TAUPLY that was interdicted by the United States in the Caribbean Sea on May 31, 2012, approximately eighty-five nautical miles southeast of Nicaragua. The TAUPLY interdiction resulted in the seizure of approximately 1,000 kilograms of cocaine. Boxton arranged for the recruitment and payment of the mariners who ultimately operated TAUPLY and attempted to smuggle the cocaine. The government of Colombia consented to the enforcement of United States law over the TAUPLY, its illicit cargo (cocaine), and crew. The five mariners embarked in TAUPLY were successfully prosecuted in the United States for violations of the Maritime Drug Law Enforcement Act, first arriving at a place in the Middle District of Florida.
Boxton was arrested on San Andres Island, Colombia in August 2013, and subsequently extradited to the United States for prosecution. As a direct result of his participation in the conspiracy, Boxton obtained at least $1 million in proceeds.
The case is being prosecuted by Assistant United States Attorney Christopher F. Murray.
It was investigated by the Panama Express North Strike Force, a standing Organized Crime Drug Enforcement Task Forces (OCDETF) investigation, comprised of agents and analysts from U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Drug Enforcement Administration, the Federal Bureau of Investigation, the U.S. Coast Guard Investigative Service, the Naval Criminal Investigative Service, and U.S. Southern Command's Joint Interagency Task Force South. The Justice Department’s Office of International Affairs provided assistance with the extradition. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Caldwell Woman Sentenced to 120 Months in Federal Prison for Meth TraffickingRead the Press Release
Defendant One of Eleven in Gun and Drug Trafficking Case
BOISE – Michelle Christina Ritch, 36, of Caldwell, Idaho, was sentenced yesterday in United States District Court to 120 months in prison for conspiring to distribute methamphetamine, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also ordered Ritch to serve five years of supervised release. She pleaded guilty to the charge on December 17, 2013.
According to information presented in court, Ritch admitted to conspiring with co-defendants to distribute methamphetamine beginning in January 2013. Ritch continued to participate in the distribution of methamphetamine until she was arrested on March 22, 2013. When Ritch was arrested by officers with the Caldwell Police Department, they located approximately two ounces of methamphetamine and a drug ledger. Ritch has prior felony convictions for burglary and possession of a controlled substance.
Ritch and ten other individuals were indicted on July 9, 2013, in a case including charges of conspiracy to distribute methamphetamine, distribution of methamphetamine, distribution of cocaine, and unlawful possession of firearms. The defendants are responsible for distributing pounds of methamphetamine within the community. During the investigation, law enforcement agents seized twelve firearms, including a stolen firearm, and an illegal fully-automatic machine gun. All eleven defendants have pleaded guilty, including defendant Jeramie Mahler, who pleaded guilty to conspiracy to distribute methamphetamine and discharging a firearm in furtherance of a drug trafficking crime. Ritch is the sixth defendant to be sentenced; co-defendants Wendy Harrison and Bobbi Eileen Woolsey 2 were both sentenced previously to 84 months in prison and Nearia Pinnell was sentenced to 33 months in prison; Daniel Vaughan was sentenced to 80 months in prison; and Darrell Zirschky was sentenced to 168 months in prison.
The case was investigated by the Treasure Valley Metro Violent Crimes Task Force, which is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole. Other agencies that contributed to this investigation include the Drug Enforcement Administration, Nampa Police Department, Caldwell Police Department, Canyon County Sheriff’s Office, and Ada County Sheriff’s Office.
The case is being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Arizona Man Sentenced for 1997 EscapeRead the Press Release
United States Attorney Brendan V. Johnson announced that an Arizona man convicted of Escape was sentenced on May 5, 2014, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Steven C. Durant, age 55, was sentenced to 18 months in custody, 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
In 1992, Durant was sentenced to 78 months in custody on a firearms violation. Upon completion of his sentence, he was placed on supervised release. After one month of supervised release at the Community Alternatives of the Black Hills, Durant absconded on March 21, 1997. Durant was then indicted for Escape by a federal grand jury on April 9, 1997. Following that Indictment, Durant evaded authorities for over 16 years until his capture by the U.S. Marshals Service in Arizona on September 10, 2013. He pled guilty to the Escape charge on December 12, 2013.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Durant was immediately returned to the custody of the U.S. Marshals Service.
Apollo Nida Pleads Guilty to Conspiracy to Commit Mail, Wire and Bank FraudRead the Press Release
ATLANTA - Apollo E. Nida has pleaded guilty to conspiring to commit mail, wire and bank fraud in a complex scheme spanning over four years, harming over 50 victims, and causing over $2.3 million in losses.
“This defendant participated in a sweeping fraud scheme that exploited many segments of the financial system, including phony claims submitted to federal and state agencies, loans secured by vehicles, and even basic identity theft associated with stolen checks,” said United States Attorney Sally Quillian Yates. “The extensive nature of the fraud is unfortunate and breathtaking. Prosecutions like this case help to highlight the vulnerabilities in the financial system, so that we can prevent future schemes and protect our citizens and government agencies from theft like this.”
“Nida and his conspirators were conniving and creative in their scheme to steal victims’ identities and defraud them. The United States Secret Service will continue to adapt its investigative methodologies to arrest criminals who use their technological savvy to violate unsuspecting victims such as those in this case,” said Reginald G. Moore, Special Agent in Charge of the United States Secret Service, Atlanta Field Office.
“Many everyday citizens, legitimate businesses and taxpayers have been victimized by this complicated and long running fraudulent scheme. After an intensive investigation with the cooperation of federal, state and local law enforcement, we are very pleased to at long last see this criminal brought to justice,” said John D. Sours, Administrator, Governor’s Office of Consumer Protection.
According to United States Attorney Yates, the charges and other information presented in court: Beginning in August 2009, Nida, 35, of Atlanta, Ga., and others conspired to commit mail, wire, and bank fraud. The conspirators obtained stolen checks by stealing them or buying them from other criminal associates. The stolen checks involved in the scheme included United States Treasury Checks, as well as checks stolen from the pension fund of Delta Airlines. Additionally, the conspirators obtained funds by filing fraudulent tax returns with the Internal Revenue Service and making fraudulent claims against the U.S. Department of Housing and Urban Development, and at least eleven states, all in the names of victims whose identities had been stolen.
Many of these checks were mailed to a large network of mailboxes rented by the conspirators at UPS Stores in the Northern District of Georgia and throughout the nation, for eventual forwarding to the conspirators. The conspirators also obtained fraudulent auto loans secured by vehicles that they had no ownership interest in whatsoever. To convince banks to issue these loans, Nida and his conspirators created fake documents and websites appearing to belong to legitimate auto dealerships.
Once the conspirators obtained the stolen checks, they laundered them through numerous victim financial institutions. Often, the conspirators laundered the checks by opening bank accounts in the names of the payees listed on the face of the checks. This involved impersonating each payee and stealing his or her identity. The conspirators prepared for these impersonations by researching their victims using databases like LexisNexis and Equifax, to which they obtained access through fake collection agencies they had opened as part of the scheme. Sometimes, the conspirators negotiated checks by laundering them in bulk through accounts which appeared to belong to legitimate businesses, such as one in the name “Signature Tax Collections.”
The illegal conduct ended only when agents of the U.S. Secret Service confronted Nida and seized his laptop computer, pursuant to a search warrant, on September 13, 2013.
Assistant United States Attorney Alana R. Black is prosecuting the case.
This case is being investigated by the United States Secret Service and the Georgia Governor’s Office of Consumer Protection.
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/.
Akron Woman Indicted for Failing to Register as Sex OffenderRead the Press Release
Nikki Ann Nazarian, 40, of Akron, Ohio, was indicted today by a federal grand jury for failure to register and update registration as required under the Sex Offender Registration and Notification Act, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The United States Marshals Service in Akron, Ohio, conducted the investigation. The case is being prosecuted by Assistant United States Attorney Justin Seabury Gould.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Accountant Convicted in Mortgage Fraud SchemeRead the Press Release
LAS VEGAS, Nev. – Following a five-day jury trial, a licensed accountant was convicted today of conspiracy and fraud charges for participating in a mortgage fraud scheme in southern Nevada and causing approximately $1.6 million in losses to federally insured financial institutions, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Carmen Denise Mosley, 43, of Granada Hills, Calif., was convicted of one count of conspiracy to commit bank fraud and wire fraud, and two counts of bank fraud. Mosley is scheduled to be sentenced on Aug. 5, 2014, and faces up to 30 years in prison and a $1 million fine on each count.
“Over the last six years, hundreds of persons who worked in the housing and mortgage industry in southern Nevada have been prosecuted and convicted of mortgage fraud crimes,” said U.S. Attorney Bogden. “This type of fraud has a long-lasting effect on the state economy and the perpetrators deserve to be convicted and punished.”
According to the court records and evidence introduced at trial, from about November 2006 to November 2007, Mosley, a certified public accountant, and co-defendant Zulfiya Karimova, 33, of, Cupertino, California, a loan officer, conspired to obtain mortgage loans from financial institutions by causing materially false information to be placed in the buyers’ mortgage loan applications and supporting documentation. Using this scheme, Mosley and Karimova obtained money and property from the financial institutions by causing money from the loans to be disbursed to them at closing for their own use and benefit. Karimova caused buyers to apply for mortgage loans and caused their applications to contain false information about their income and assets. Mosley provided fraudulent tax documents to support the fraudulent representations in the applications concerning the buyers’ income. Mosley and Karimova caused the financial institutions to loan money to fund the purchase of three homes in the Las Vegas area during 2006 and 2007. The buyers defaulted on the loans, causing approximately $1.6 million in losses to the lenders.
Karimova pleaded guilty prior to trial to conspiracy to commit bank fraud and wire fraud, and bank fraud, and is scheduled to be sentenced on May 27, 2014.
The case was investigated by the FBI and prosecuted by Assistant U.S. Attorneys Sarah E. Griswold and Kathryn C. Newman.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Since the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
Monday 5 May 2014
Worcester County Man Indicted on Charges of Producing, Distributing and Possessing Child PornographyRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted Laiton Blake Witkowski, age 41, of Stockton, Maryland, on charges of production, distribution and possession of child pornography. The indictment was returned on May 1, 2014. Witkowski is scheduled to have his initial appearance today at 1:00 p.m. in U.S. District Court in Baltimore.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Worcester County Sheriff Reggie T. Mason, Sr.; Colonel Marcus L. Brown, Superintendent of the Maryland State Police; and Worcester County State’s Attorney Beau Oglesby.
The seven count indictment alleges that Witkowski produced images of two minor females engaged in sexually explicit conduct. These images appear to have been taken without the knowledge of the victims, including images of one victim who appears to be sleeping and images of the second victim as she is using the restroom. The indictment further alleges that Witkowski distributed and possessed other images of child pornography, including images of prepubescent children being sexually abused.
Witkowski faces a mandatory minimum of 15 years and a maximum of 30 years in prison for each of the two counts of production of child pornography; a minimum of five years and a maximum of 20 years in prison for distribution of child pornography; and a maximum of 20 years in prison for each of the four counts of possession of child pornography.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended HSI Ocean City, Worcester County Sheriff’s Office, Maryland State Police Internet Crimes Against Children Task Force (ICAC) and the Worcester County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok and Special Assistant U.S. Attorney Julie Podlesni, who are prosecuting the case.
UPS Employee Charged with Using Clearance to Ship Drugs Through AirportsRead the Press Release
BROWNSVILLE, Texas – A 10-count federal indictment has been unsealed following the arrest of three Brownsville residents for conspiring to possess with intent to distribute marijuana, announced United States Attorney Kenneth Magidson along with Stephen Whipple, acting special agent in charge of the Drug Enforcement Administration (DEA), and Lucy Cruz, special agent in charge of Internal Revenue Service - Criminal Investigation (IRS-CI).
The indictment was returned under seal April 22, 2014, and unsealed today upon the appearances of Mario Enrique Patlan, 44, his daughter Cristina Patlan, 22, and Reymundo Abel Brown Jr., 26, before U.S. Magistrate Judge Ronald G. Morgan. At that time, they were temporarily ordered into custody pending detention hearings set for May 8, 2014.
Mario Patlan is charged with allegedly using his security credentials and position at United Parcel Service (UPS) in order to move drugs through local airports.
“Those that violate the security entrusted to them and bypass normal screening processes that are designed to protect our shipping and transportations systems is something we do not take lightly,” said Magidson. “We will vigorously prosecute anyone we believe has attempted to engage in any criminal behavior that could potentially pose a threat to our national security.”
All are charged with conspiracy to possess with intent to distribute controlled substances. Mario Patlan is also charged with attempted possession of controlled substances with the intent to distribute, substantive drug offenses as well as three counts of making false statements to federally insured banks. Brown is also charged with attempted possession of controlled substances with the intent to distribute, while Cristina Patlan is named in substantive drug offenses.
Mario Patlan and Brown were UPS employees during the course of the drug conspiracy, according to pleadings filed in the case and worked at UPS facilities operating in Cameron County that shipped parcel through Valley International Airport in Harlingen and Miller International Airport in McAllen.
Mario Patlan held a Secure Identification Display Area (SIDA) badge issued by the Transportation Security Administration (TSA) which allows access to commercial aircraft in restricted areas of the airport, according to records. Mario Patlan allegedly used this special security status to load UPS parcels packed with illegal drugs onto commercial aircraft for shipment out of the Rio Grande Valley. Brown allegedly assisted Mario Patlan.
According to the allegations, Cristina Patlan served as a recruiter for the conspiracy. She allegedly sought the business of drug traffickers who wanted to move marijuana via UPS facilities for a fee, typically $50 - $100 per pound. Destinations for the parcels included Michigan, Indiana, Pennsylvania, Georgia, Florida, Ohio, New York and other locations in the interior of the U.S. Government pleadings suggest one conspirator alone shipped approximately 1,000 pounds or more of marijuana in this manner.
Mario Patlan is also accused of making false statements to get loans from banks to purchase vehicles.
If convicted of the conspiracy, all face up to 40 years in federal prison and a potential $5 million fine. The other drug charges carry either up to five or up to 40 years as possible punishment and more potential fines. Mario Patlan also faces up to 30 years in federal imprisonment on each of the making false statements, upon conviction, as well as a possible $1 million fine. The indictment also includes a notice of forfeiture of a residence and $1 million.
The multi-year investigation was conducted by DEA and IRS-CI with the assistance of Border Patrol and UPS. The case is being prosecuted by Assistant United States Attorneys Charles Lewis, David A. Lindenmuth and Carrie Wirsing.
Two Men Plead Guilty in Separate Child Exploitation CasesRead the Press Release
FRESNO, Calif. — Two men pleaded guilty to offenses involving material related to the sexual exploitation of minors in separate cases in federal court today, United States Attorney Benjamin B. Wagner announced.
Aaron Lewis Gaudinier, 50, of Madera, pleaded guilty before United States District Judge Lawrence J. O’Neill to one count of receipt and distribution of child pornography. According to a plea agreement, on dates between December 14, 2011, and February 4, 2012, Gaudinier knowingly received and distributed more than 600 images of minors engaged in sexually explicit conduct. Some of the images were of prepubescent minors and some images depicted violence. Gaudinier has been detained as a danger to the community and flight risk since his initial appearance on February 15, 2012.
Gaudinier will be sentenced on July 21, 2014, at which time he faces potential punishments of 20 years imprisonment, a lifetime term of supervised release, a $250,000 fine, and a mandatory $100 penalty assessment. The actual sentence imposed, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines. This case is the result of an investigation by the Central California Internet Crimes Against Children Task Force, specifically the Madera and Fresno County Sheriff’s Offices, the Tulare Police Department, and the Fresno office of U.S. Immigration and Customs Enforcement. Case 1:12-cr-00057-LJO-SKO.Lorenzo Hernandez Martinez, 37, of Bishop, pleaded guilty before United States District Judge Lawrence J. O’Neill to one count of attempted transfer of obscene material to a minor. According to court documents, Martinez communicated through Facebook chats from mid-October 2013 through February 2014 with someone whom he believed to a 14-year-old female in Oregon. Martinez quickly turned the communications in a sexual direction, and he repeatedly transmitted explicit images. In fact, Martinez was communicating with an undercover detective in Corvallis, Oregon. The Corvallis Police Department worked with the Bishop Police Department and the Bakersfield FBI office to identify the defendant. When a search warrant was executed at his residence in Bishop on March 11, 2014, agents seized a cellular telephone that contained communications with the undercover detective in Oregon as well as sexually explicit images that Martinez said he had transmitted to minors, including a minor female in China. Because he has resided in the United States without legal authorization for the past 18 years, Martinez also agreed not to challenge his removal from the United States.
Martinez is scheduled to be sentenced on July 21, 2014. He faces a maximum prison term of 10 years, a potential fine of $250,000, and a three-year term of supervised release. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines. Case 1:14-cr-053-LJO-SKO.Assistant United States Attorney David Gappa is prosecuting these two cases. They have been brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. Click on the “resources” tab for information about Internet safety education.
Two Huntington Men Plead Guilty to Federal Heroin ChargesRead the Press Release
HUNTINGTON, W.Va. – Two men pleaded guilty today in federal court to distributing heroin in Huntington, announced U.S. Attorney Booth Goodwin. Demetrius D. Taylor, 33, and Loveil L. Wade, 31, pleaded guilty to heroin distribution before Judge Robert C. Chambers, United States Chief Judge for the Southern District of West Virginia. Both men were investigated by the Huntington Violent Crime and Drug Task Force for drug distribution. In January, 2014, task force agents recorded the men selling heroin to a cooperating individual. Both men have previously been convicted of federal drug trafficking crimes. Thomas was on federal supervised release for his prior drug trafficking offense. Thomas and Wade each face up to 20 years in prison when they are sentenced on August 4, 2014.
The Huntington Violent Crime and Drug Task Force conducted the investigation. Special Assistant United States Attorney Sharon Frazier handled the prosecution.
Todd County, Kentucky Man Sentenced to 30 Months in Prison for Selling MarijuanaRead the Press Release
– 452 pounds of processed marijuana recovered at his Elkton home
BOWLING GREEN, Ky. – A Todd County, Kentucky man was sentenced to 30 month in prison followed by three years of supervised release by Senior District Judge Thomas B. Russell on May 2, 2014, for the manufacture, possession and distribution of marijuana announced David J. Hale, United States Attorney for the Western District of Kentucky.
Mervin Sears, age 64, of Elkton, Kentucky pleaded guilty to a two count federal indictment on August 6, 2013. Sears admitted in court that on January 8, 2013, he knowingly and intentionally sold approximately three pounds of marijuana to a confidential informant for $4500. The transaction was monitored and recorded by law enforcement officers from the Kentucky State Police and the South Central Kentucky Drug Task Force. A search warrant for the defendant's property in Elkton resulted in 307 marijuana plants and 452 pounds of processed marijuana being seized. Also, the search revealed $16,349.00 in U.S. currency, 10 firearms, indoor grow equipment and assorted drug paraphernalia including scales and baggies.
In addition to the prison term, Sears agreed to pay the United States $120,000 (in lieu of forfeiture of his residence), and to forfeit $16,000 in cash seized during his arrest, as well as numerous vehicles and firearms, with all forfeiture proceeds to be divided among the law enforcement agencies involved in the investigation.
This case was prosecuted by Assistant United States Attorney Larry Fentress and was investigated by KSP DESI West and South Central Kentucky Drug Task Force. KSP Post 2 and Pennyrile Narcotics task force assisted with the search.
Seven Indicted and Arrested in Dogfight Gambling EnterpriseRead the Press Release
U.S. Attorney Michael J. Moore announced today that Arthur Lee Clark, age 41, of Sumner, Georgia; Demitri Jackson, age 37; Tedrick Jackson, age 38; William Burns, age 41; Otha Hopkins, age 47, all of Albany, Georgia; Timothy Hopkins, age 41, of Hiram, Georgia; and Michael Bass, age 40, of Ashburn, Georgia were indicted for one count of conspiracy to travel in interstate commerce in aid of unlawful activities and to sponsor a dog in an animal fighting venture and three counts of sponsoring and exhibiting a dog in an animal fighting venture.According to the indictment, the defendants operated a dogfight gambling enterprise, named “229 Boys Kennels, Inc.”, from about April 2006 to April 2010 in Albany, Georgia. The defendants produced, promoted and participated in dogfight gambling shows throughout the Southeast, including other parts of Georgia and Florida. The defendants bred, purchased, sold, and trained American Pit Bull Terriers for the purposes of dogfight gambling. The dogs were bred with dogs owned by, purchased from, and sold to individuals from other parts of Georgia, Florida, Alabama, South Carolina and North Carolina.
The indictment further alleges that “229 Boys Kennels, Inc.” advertised and promoted the prowess of “229 Boys Kennels, Inc.” canine stock through online websites and publications and word of mouth to increase the value of “229 Boys Kennels, Inc.” stock for sale and to increase prize amounts for matches at dogfight gambling shows. Dogs not selected to continue fighting in “229 Boys Kennels, Inc.” were exterminated by bludgeoning them in the head with a hammer, slamming them on the ground until dead, and by other inhumane methods.
On April 30, 2014, all seven individuals were arrested through the cooperative effort of the Georgia Bureau of Investigation, Sylvester and Americus Field Offices; U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Department of Agriculture Office of Inspector General; U.S. Marshals Service; and Albany Police Department. A search warrant executed on the day of the arrests yielded 42 American Pit Bull Terriers being used for the purposes of dogfight gambling.
If convicted, the seven individuals face a maximum penalty of five years imprisonment and a fine of up to $250,000, or both.
An indictment is only an allegation and the accused are presumed innocent until and unless proven guilty.
The indictment was the result of a four-year investigation conducted by the Georgia Bureau of Investigation, Sylvester; U.S. Department of Agriculture Office of Inspector General; and U.S. Bureau of Alcohol, Tobacco and Firearms. Assistant U.S. Attorney Julia C. Bowen is prosecuting the case for the Government.
Inquiries regarding the case should be directed to Pamela Lightsey, United States Attorney's Office at (478) 621-2603.
Seven Face Federal Charges in Rocky Mount Heroin Distribution RingRead the Press Release
WILMINGTON - United States Attorney Thomas G. Walker announces that a federal grand jury in Wilmington, North Carolina returned a 14 count indictment charging CEDRIC SHARROD WILLIAMS, DERRICK LAMONT HANNON, HERMAN LEE COLEY, III, MARY SHANTA ELLIS, JERRY KEITH PITTMAN, JR., JOSEPH LAMAR NORRIS, and ALONZO KEITH CARTER with conspiring to distribute and to possess with the intent to distribute heroin, a Schedule I controlled substance, in violation of the provisions of Title 21, United States Code, Sections 841(a)(1) and 846. Additionally, WILLIAMS is charged with 3 counts of knowingly possessing a firearm in furtherance of a drug trafficking crime in violation of Title 18, United States Code, Section 924(c)(1)(A).
Mr. Walker remarked, “This investigation shows that local and federal law enforcement are committed to investigating and prosecuting heroin trafficking in Rocky Mount, NC.”
"We are committed to interrupting and apprehending the individuals that distribute heroin in Rocky Mount," stated Chief James Moore.
The investigation revealed that beginning on a date unknown and continuing until or about February 3, 2014, these individuals conspired with one another to distribute large quantities of heroin from New Jersey to Rocky Mount, NC.
If convicted, the maximum penalties for the charged drug counts are not more than 40 years imprisonment, a $5 million fine, and a term of supervised release of not less than 4 years, following any term on of imprisonment. The maximum penalties for the charged gun counts are not less than 25 years of imprisonment, consecutive to any other sentence imposed, a $250,000 fine, and up to 5 years supervised release following any term of imprisonment.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty in a court of law. The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Rocky Mount Police Department, and the Nash County Sheriff’s Office.
Se Incoaron Cargos Federales De Delincuencia Organizada E Intento De Asesinato Contra Lideres Y Asociados De La Pandilla Nuestra FamiliaRead the Press Release
FRESNO, California. — Se reveló hoy una segunda acusación sustitutiva añadiendo 19 cargos incluyendo conspiración de delincuencia organizada e intento de asesinato contra tres demandados por su supuesta participación en la violenta pandilla Nuestra Familia, anunciaron David A. O’Neil, ayudante interino del procurador general de la División Criminal del Departamento de Justicia y Benjamin B. Wagner, procurador federal.
“Este caso tan complejo identificó la red que se extiende màs allà de los canales de distribución de drogas de la pandilla y reveló una estructura de mando que dirige actos de violencia para conseguir y mantener el control de sus miembros, independientemente de si los miembros pasean por las calles de Modesto o estàn encarcelados”, dijo Todd Irinaga, el agente especial supervisor de la oficina del FBI en Modesto. “Los cargos de hoy demuestran la eficacia del enfoque de una Fuerza de Tarea de Combate contra el Tràfico de Drogas y el Crimen Organizado (OCDETF), integrada por agencias y jurisdicciones múltiples para desmantelar organizaciones de tràfico de drogas que amenazan la seguridad y calidad de vida en nuestras comunidades”.
Gary Anthony Romero, 48, de Stockton, y Joe Anthony Félix, 34, de Modesto, fueron acusados inicialmente de conspiración para distribuir y poseer metanfetaminas con intenciones de distribuir ante un gran jurado federal en Fresno. La acusación sustitutiva, devuelta bajo sello el 30 de abril de 2014, incluye todos los presuntos cargos en la acusación original, así como nuevos cargos contra ellos. También fue acusado Jesús Gómez Félix, 30, de Modesto.
Jesús Félix fue arrestado hoy e hizo su primera comparecencia ante el tribunal federal en Fresno. Romero y Joe Félix fueron procesados hoy por los cargos en Fresno. Han estado bajo custodia federal desde marzo de 2013.
De acuerdo con la acusación sustitutiva, Nuestra Familia es una pandilla en prisión que se formó originalmente en el sistema estatal de prisiones de California en la década de 1960. Los líderes de Nuestra Familia controlan y dirigen las actividades criminales de la pandilla, tanto dentro como fuera del sistema de prisiones.
De acuerdo con la acusación sustitutiva, Romero ha sido miembro de Nuestra Familia durante unos 20 años y ha alcanzado uno de los niveles màs altos de autoridad en Nuestra Familia. Presuntamente ordenó que se cometieran varios delitos para el beneficio de la pandilla en el Condado Stanislaus, incluyendo intentos de asesinato, asaltos, robos y tràfico de drogas. Romero està acusado de conspiración de delincuencia organizada; seis cargos de intento de asesinato y seis cargos de asalto con un arma peligrosa, todos en apoyo de la delincuencia organizada; un cargo de usar y descargar un arma de fuego durante un delito de violencia y un cargo de conspiración para distribuir metanfetaminas.
Joe Félix llegó a ser un líder de Nuestra Familia en el Condado Stanislaus en 2012 y presuntamente ordenó a miembros de la pandilla que cometieran asesinatos y traficaran en drogas en Modesto. Joe Félix es acusado de conspiración de delincuencia organizada; un cargo de intento de asesinato, un cargo de conspiración para cometer un asesinato, y un cargo de asalto con un arma peligrosa, todos en apoyo de la delincuencia organizada; un cargo de usar y descargar un arma de fuego durante un delito de violencia; y un cargo de conspiración para distribuir metanfetaminas.
Jesús Félix està acusado con un cargo de asalto con un arma peligrosa resultando en lesión corporal grave en apoyo de la delincuencia organizada y un cargo de usar y descargar un arma de fuego durante un delito de violencia.
Este caso fue investigado por el Fuerza de Tarea contra el efecto de las pandillas en Central Valley, bajo la Iniciativa de Calles Seguras del FBI, con la asistencia de la Oficina del Fiscal del Condado de Stanislaus, la Oficina del Alguacil del Condado de Stanislaus, el Departamento de Policía de Modesto, Departamento de Policía de Ceres, la Patrulla de Carreteras de California, el Departamento de Correcciones y Rehabilitación de California, la Oficina de Prisiones y el Departamento de Libertad Condicional del Condado de Stanislaus.
El caso està siendo procesado por el abogado criminalista Louis A. Crisóstomo de la Sección de Delincuencia Organizada y Pandillas de la División Criminal y por Kimberly A. Sànchez y Laurel J. Montoya, ayudantes del procurador federal para el Distrito Oriental de California.Los cargos contenidos en la acusación son meramente acusaciones, y se presume que los demandados son inocentes a menos y hasta que se pruebe que son culpables. Si se les condena, cada demandado contempla una condena estatutaria màxima de cadena perpetua y una multa de $250,000. Cualquier sentencia, sin embargo, serà determinada a discreción del tribunal después de considerar cualquier factor estatutario aplicable y las Directrices Federales de Sentencias, que toman en consideración un número de variables.
Raleigh Man Pleads Guilty to Child Pornography ChargeRead the Press Release
RALEIGH – United States Attorney Thomas G. Walker announced that in federal court today, PAUL FANTZ, 31, pled guilty before Senior United States District Judge W. Earl Britt to receipt of child pornography, in violation of Title 18, United States Code, Section 2252(a)(2), during his arraignment.
On March 5, 2014, a Criminal Information was filed charging FANTZ with the violation.
According to the investigation, FANTZ was seen attempting to videotape a child in the men’s restroom at the North Carolina State Fair in October, 2013. He was stopped and questioned by Wake County Sheriff deputies. After admitting to the violation, FANTZ was placed under arrest and a search warrant was obtained for his IPhone and laptop. Forensic examination revealed at least 100 videos of boys urinating. Another 100 videos were discovered of child pornography on the laptop.
At sentencing, scheduled for September 8, 2014, FANTZ faces up to 20 years imprisonment. If he has had prior convictions relating to aggravated sexual abuse, sexual abuse, abusive conduct involving a minor or ward, sex trafficking of children, or the production, receipt, possession, sale, distribution, shipment, or transportation of children pornography, the penalty increases to up to 40 years imprisonment.
Investigation of this case was conducted by the Wake County Sheriff’s Office and the Federal Bureau of Investigation. Assistant United States Attorney Ethan Ontjes prosecuted the case for the United States.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
President of Middlesex County, N.J., Investment Company Admits Defrauding InvestorsRead the Press Release
NEWARK, N.J. – The former president of a Middlesex County, N.J., investment company today admitted he defrauded investors out of more than $250,000, U.S. Attorney Paul J. Fishman announced.
Shreyans Desai, 27, of Edison, president of Shreysiddh Capital LLC, located in Iselin, N.J., pleaded guilty before U.S. District Judge William J. Martini in Newark federal court to Counts One and Two of a superseding indictment charging him with wire fraud. The third count in the indictment, securities fraud, will be dismissed after Desai is sentenced.
According to documents filed in this case and statements made in court:
Desai misled a number of investors about his licensing status and the registration status of the company to induce them to entrust their money to him so that he could trade securities on their behalf. Desai then sought to retain control of the funds by providing investors with an inflated value of their investments, and also inflated the amount of commissions he purportedly earned through trading those funds.The wire fraud counts to which Desai pleaded guilty each carry a maximum potential penalty of 20 years in prison and a $250,000 fine. Sentencing is scheduled for August 13, 2014.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford, with the investigation leading to today’s guilty pleas.
The government is represented by Assistant U.S. Attorney Jane H. Yoon and Senior Litigation Counsel Andrew Leven of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark.
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Defense counsel: Alyssa A. Cimino Esq., Fairfield, N.J.
Desai, Shreyans Indictment
Payette Man Pleads Guilty to Unlawfully Purchasing A Firearm for Convicted FelonRead the Press Release
BOISE – Caleb Matthias Curtis, 29, of Payette, Idaho, pleaded guilty today to one count of unlawful transfer of a firearm, U.S. Attorney Wendy J. Olson announced. Curtis was indicted by a federal grand Jury in Boise on November 13, 2013.
According to the plea agreement, Curtis admitted that in October of 2013, he agreed to purchase a firearm for David McAlister. Curtis purchased a Winchester .30-06 rifle from the World’s Smallest Pawn Shop in Payette with money given to him by McAlister. At the time Curtis transferred the firearm to McAlister, he was aware that McAlister had previously been convicted of a crime punishable by more than one year imprisonment. McAlister was convicted of statutory rape in 2003 in Canyon County, Idaho.
The charge of unlawful transfer of a firearm is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
Sentencing is set on July 28, 2014, before U.S. District Judge Edward J. Lodge at the federal courthouse in Boise. David McAlister pled guilty to unlawful possession of firearms on March 3, 2014. His sentencing before Judge Lodge is set for June 30, 2014.
The case was investigated by the Payette Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Partner in Liquor Store Businesses Sentenced to 21 Months in Prison for Embezzling More Than $300,000Read the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PETER TURNER, 58, of Burlington, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 21 months of imprisonment, followed by three years of supervised release, for embezzling more than $300,000.
According to court documents and statements made in court, TURNER was the managing partner of Two Buck Ring, LLC, a nine-member LLC that is the majority stake holder of The Bridge Fine Wine Spirits & Beer in New Milford. He also was a member of Spirited Endeavor, LLC, a 13-member LLC that does business as Town Line Fine Wine, Spirits & Beer in Stratford. As managing partner of Two Buck Ring (“TBR”), TURNER was responsible for the day-to-day operation of The Bridge Fine Wine Spirits & Beer and had access to the TBR business accounts.
Between November 2010 and February 2012, TURNER, without the authority of other TBR members, wrote numerous checks from the TBR business accounts to himself and used the money for various personal expenses. TURNER also prepared and disseminated to investors a fraudulent ledger in an effort to conceal his fraud.
Through this scheme, TURNER embezzled approximately $322,500.
TURNER was ordered to make full restitution.
On November 1, 2013, TURNER pleaded guilty to one count of wire fraud.
This investigation was conducted by the Connecticut Financial Crimes Task Force, which includes members of the U.S. Secret Service, U.S. Postal Inspection Service, U.S. Department of State, Bureau of Diplomatic Security, Internal Revenue Service – Criminal Investigation Division, Connecticut State Police, and the Greenwich, Hartford, Stamford, Shelton and Stratford Police Departments. U.S. Attorney Daly specifically recognized the efforts of the Greenwich Police Department for its assistance in the investigation and prosecution of this matter.
This case was prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
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[email protected]Online Clothing Business Owners Sentenced for Customs Fraud, Money LaunderingRead the Press Release
FRESNO, Calif. – Husband and wife, Hoang Minh Nguyen, 32, and Dung Hang Dao, 32, of San Jose, were sentenced today by United States District Judge Lawrence J. O’Neill to 12 months of time-served and ordered to pay $70,000 in restitution for customs fraud and money laundering, United States Attorney Benjamin B. Wagner announced. The defendants also agreed to forfeit bank accounts and a property valued at more than $400,000.
According to court documents, from November 2008 through January 2013, Nguyen and Dao owned an online clothing company that utilized several websites to sell clothing imported from China to customers in the United States. As part of their scheme, Nguyen and Dao declared the imported clothing as samples even though they would later sell it to customers. By declaring the clothing as samples, Nguyen and Dao were able to avoid paying customs duties.
With the proceeds from their business, Nguyen and Dao sent significant amounts of cash to China via Western Union money transfers. They broke up the cash deposits to Western Union agents into amounts of $10,000 or less in an attempt to prevent Western Union from filing Currency Transaction Reports on those transactions, in violation of the Bank Secrecy Act. In addition, Nguyen and Dao laundered the proceeds of their business by purchasing properties in Patterson and San Jose. Nguyen and Dao pleaded guilty to the charges on February 12, 2014.
“Commercial smuggling schemes like this not only rob the government of vital revenues, they also undermine the economy and penalize businesses that follow the rules,” said Mike Prado, resident agent in charge of HSI Fresno. “We will continue to vigorously prosecute those unscrupulous importers who gain an unfair advantage.”This case is the product of an investigation by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Internal Revenue Service – Criminal Investigation, and the Central California Financial Crimes Task Force. Assistant United States Attorney Grant B. Rabenn prosecuted the case.
Ohio Man Admits Possessing Pills and Heroin to Distribute in Rand AreaRead the Press Release
CHARLESTON, W.Va. – Joseph Lee Church, 36, of Columbus, Ohio, pleaded guilty today in federal court in Charleston to possessing various controlled substances with the intent of selling them in the Rand, West Virginia area. Church admitted that a backpack seized from him by Kanawha County Deputy Sheriff Jason Mace on December 10, 2011, in Rand, contained prescription medication and heroin which he intended to sell in the area. The backpack was found to contain heroin, which is a Schedule I controlled substance, as well as various prescription pills, including hydromorphone, amphetamine, oxycodone and hydrocodone, which are Schedule II and III controlled substances.
Church faces up to 20 years’ imprisonment and a $1,000,000 fine when he is sentenced August 12, 2014. United States District Judge Thomas E. Johnston conducted today’s plea hearing.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District.
Newport Chiropractor Convicted of Health Care Fraud ConspiracyRead the Press Release
COVINGTON, KY - – The owner of a chiropractic clinic in Newport, Ky., has been convicted of a fraud scheme involving tens of thousands of dollars.
A federal jury in Covington convicted 48-year-old Andrea Almond, of Cincinnati, Ohio, of conspiracy to commit health care fraud, late Friday afternoon. The jury returned the verdict after four days of trial, following six hours of deliberation.
According to evidence established at trial, from September 2008 through April 2010, Almond conspired with a co-defendant to bill the Kentucky Medicaid Program for chiropractic services rendered at the Newport Chiropractic Center.
The evidence, however, also established that Almond never actually practiced at the Newport Chiropractic Center; the billed services were instead provided by other doctors, who had never been approved or enrolled in Kentucky Medicaid Program.
Almond billed the Kentucky Medicaid Program using her National Provider Identification number, knowing that the Kentucky Medicaid Program would not have paid for any claims for treatment rendered by unapproved providers.
The government proved that Almond and her co-conspirator fraudulently submitted approximately 1,943 claims to the Kentucky Medicaid Program, which totaled $483,797, and they received $95,098 in payments.
Her co-conspirator, Elaine Legg, has already pled guilty in the case. In a separate case, Dr. Nanci Allen, a former part owner in the Erlanger Chiropractic Clinic, has pled guilty to a similar scheme to defraud the Kentucky Medicaid Program. These individuals are also awaiting sentencing.
Kerry B. Harvey, United States Attorney for the Eastern District of Kentucky, Perrye Turner, Special Agent in Charge, Federal Bureau of Investigation; Dugan Wong, Postal Inspector in Charge, United States Postal Inspection Service, Pittsburg Field Division; and Jack Conway, Kentucky Attorney General, jointly made the announcement today.
The investigation was conducted by the Federal Bureau of Investigation; the United States Postal Inspection Service, Cincinnati Field Office; the Kentucky Attorney General’s Office, Medicaid Fraud Abuse and Control Unit; and the Kentucky Department for Medicaid Services. The federal government was represented by Assistant United States Attorney Laura K. Voorhees.
Almond will appear for sentencing on September 4, 2014. She faces a maximum of 10 years in prison. However, any sentence following a conviction will be imposed after the Court considers the U.S. Sentencing Guidelines and the applicable federal statutes.
New York Resident Charged in Federal Court in Rhode Island with Allegedly Using Stolen Identities and Fraudulent Credit Cards to Purchase over $156,000 Worth of Gift CardsRead the Press Release
PROVIDENCE, R.I. – Yvener Jean-Baptiste, 27, of Brooklyn, N.Y., has been charged in federal court in Providence, R.I., with allegedly obtaining more than $156,000 in Target and Wal-Mart gift cards by allegedly using stolen identities and fraudulent credit cards, announced United States Attorney Peter F. Neronha, Ted A. Arruda, Resident Agent in Charge of the Providence Office of the U.S. Secret Service, and Lincoln Police Chief Brian W. Sullivan.
According to an affidavit in support of an arrest warrant filed with the court, it is alleged that on at least five occasions between November 1 and November 30, 2013, Jean-Baptiste purchased gift cards totaling $156,157.62 at Target stores in Lincoln, the Warwick Mall and on Bald Hill Road in Warwick, and at a Wal-Mart store in Warwick. The purchases were allegedly made using counterfeit credit cards with account numbers belonging to other individuals. The alleged purchases were made without the knowledge or permission of the credit card owners.
According to the affidavit, Jean-Baptiste returned to the Target store in Lincoln on November 30, 2013, one day after he and another person allegedly purchased $75,894.01 worth of Target gift cards using 6 counterfeit credit cards. He allegedly returned to the store in a vehicle previously identified by a Target employee as being driven by the individuals who allegedly committed credit card fraud the previous day. A search of the vehicle by Lincoln Police resulted in the seizure of 10 counterfeit credit cards, a counterfeit driver’s license and multiple Target gift cards.
According to the affidavit, the investigation into Jean-Baptiste’s alleged fraudulent activities resulted in the discovery of additional purchases of gift cards using fraudulent credit cards on November 1, 2013, at Target stores at the Warwick Mall and on Bald Hill Road in Warwick, and on November 22, 2013, at the Target store at the Warwick Mall and at a Wal-Mart store in Warwick.
According to the affidavit, during an interview with Lincoln Police, Jean-Baptiste allegedly told police that he typically received $200 for every $800 fraudulent transaction he conducted. Jean-Baptiste told police he provided the gift cards to another individual in New York.
Yvener Jean-Baptiste has been charged by way of a criminal complaint with one count each of credit card fraud and aggravated identity theft. Not guilty pleas were entered during his initial appearance on May 1, 2013, before U.S. District Court Magistrate Judge Lincoln D. Almond. Jean-Baptiste was release to home confinement with electronic monitoring and $100,000 bond.
A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Credit card fraud is punishable by a statutory penalty up to 10 years in federal prison and a fine of up to $250,000. Aggravated identity theft is punishable by a mandatory penalty of 2 years in federal prison, consecutive to all other terms of imprisonment imposed.
The case is being prosecuted by Assistant U.S. Attorney Lee H. Vilker###
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]New Jersey Man Sentenced for Brutal Attack in National ParkRead the Press Release
PHILADELPHIA - Santos Centeno, 47, of Camden, New Jersey, was sentenced today to 15 years in prison for random muggings near Philadelphia’s Independence Hall. On June 15, 2012, Centeno and his nephew, Baldwin Centeno, were standing on 4th Street at National Independence Park when the victim approached them. The victim’s car was missing and he was asking for help when Centeno and his nephew began beating him for no reason. The victim suffered traumatic brain injuries, facial fractures, and other serious injuries for which he required hospitalization. A jury convicted the pair of assault resulting in serious bodily injury and assault by striking, beating, or wounding. In another incident, Centeno mugged a couple, walking near the park, of their cell phone and money. He was also convicted in that assault. His nephew was sentenced in April to 57 months in prison.
In addition to the prison term, U.S. District Court Judge Juan R. Sanchez ordered three years of supervised release, $6,461 restitution, and a $220 special assessment.
The case was investigated by the Philadelphia Police Department and the National Park Service, United States Department of the Interior. It is being prosecuted by Assistant United States Attorney Denise S. Wolf.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Nampa Man Admits Unlawfully Possessing A FirearmRead the Press Release
BOISE – Juan Jose Sanchez, 23, of Nampa, Idaho, pleaded guilty today in United States District Court to one count of unlawfully possessing a firearm, U.S. Attorney Wendy J. Olson announced.
According to information presented in court, officers with the Nampa Police Department contacted Sanchez on January 14, 2014, when they responded to a complaint at a residence in Nampa. When officers spoke to Sanchez they discovered that he had a loaded handgun tucked in the front of his waistband. Officers seized the handgun and identified it as an H&R, 9-shot, .22 caliber revolver.Sanchez is prohibited from possessing firearms because he was previously convicted of the felony crime of aggravated battery on September 7, 2011, in Canyon County, Idaho. Sanchez was still on parole at the time he possessed the .22 revolver.
The charge is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release. The government is seeking forfeiture of the firearm.
Sanchez is scheduled to be sentenced on July 21, 2014, by Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
The case was investigated by the Nampa Police Department; Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Treasure Valley Metro Violent Crimes Task Force. The Metro Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole.
Sanchez is being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Mountain Home Man Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
Admitted sexual contact with prepubescent minors
BOISE - Christopher James Swicegood, 22, of Mountain Home, Idaho, pleaded guilty in U.S. District Court today to Possession of Sexually Explicit Images of Prepubescent Minors, U.S. Attorney Wendy J. Olson announced.
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 abused 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.
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. Swicegood is currently incarcerated in the Elmore County jail, awaiting trial for a charge of Lewd or Lascivious Acts on a Minor Child under the age of 16 years.
The charge of Possession of Sexually Explicit Images of Prepubescent Minors is punishable by up to 20 years in prison, a maximum fine of $250,000 and from 5 years up to lifetime-supervised release.
Sentencing is set is before U.S. District Judge B. Lynn Winmill on July 22, 2014, at the federal courthouse in Boise.
The case was investigated by the Department of U.S. Immigration and Customs Enforcement’s (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.”