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10 June 2014
Birmingham Heroin Summit Nine Part VideoRead the Press Release
Birmingham: A day-long summit on the many issues surrounding the abuse of prescription painkillers, the resurgent use of heroin, and the sharp increase in heroin overdose deaths in our community was held June 10, 2014, in Birmingham. Video excerpts from that conference are provided here.
For more information about the Heroin Summit, contact Lyndon J. Laster at 205-244-2092 or via email at [email protected].HEROIN SUMMIT PART ONE
HEROIN SUMMIT PART TWO
HEROIN SUMMIT PART THREE
HEROIN SUMMIT PART FOUR
HEROIN SUMMIT PART FIVE
HEROIN SUMMIT PART SIX
HEROIN SUMMIT PART SEVEN
HEROIN SUMMIT PART EIGHT
HEROIN SUMMIT PART NINE
Arundel Man Pleads Guilty to Theft by Bank OfficerRead the Press Release
Contact: Craig M. Wolff
Assistant United States Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Jeffrey
Burnham, 41, of Arundel, Maine, pled guilty today in U.S. District Court before Judge George
Z. Singal to theft by a bank officer.According to court records, from about February of 2011 to February of 2012, Burnham, who was a Vice President with TD Bank, stole about $240,000 from the bank. Burnham used his corporate credit card to charge personal expenditures at gentlemen’s clubs located in Maine, Massachusetts, New York, and Florida and then submitted false expense reports and other false information that caused the bank to pay for those personal expenditures. Burnham also gave TD
Bank gift cards that were designed to be given as gifts to TD Bank clients instead to employees of the gentlemen’s clubs.Burnham faces up to 30 years in prison and a $1,000,000 fine. He will be sentenced after completion of a pre-sentence investigation report by the United States Probation Office.
The investigation was conducted by the Federal Bureau of Investigation.
54 Defendants Charged in $18 Million WIC & Food Stamp Fraud ConspiracyRead the Press Release
34 additional defendants charged with allegedly selling their federal food benefits for cash
SAVANNAH, GA: A federal indictment, today unsealed in Savannah, has charged 54 defendants for their alleged roles in a massive fraud upon the WIC and Food Stamp programs. The indictment represents one of the largest federal food program frauds ever prosecuted, which fraud allegedly involved the purchase of over $18 million in WIC vouchers and Food Stamp benefits for cash through a number of purported grocery stores set up throughout Georgia. In addition to the 54-defendant indictment, 34 other defendants have been charged separately for allegedly selling their WIC vouchers and Food Stamp benefits for cash. A list of all of the defendants charged is attached.
Georgia’s Women, Infant, and Children (WIC) program provides infant formula, juice, eggs, fresh fruits and vegetables, and other healthy foods to low-income pregnant and postpartum women, and to infants and children up to age 5 who are nutritionally at risk. Participants in the WIC program receive 3-month supplies of WIC vouchers, which they can exchange at authorized stores for the healthy foods listed on the vouchers. The Food Stamp Program, now known as the Supplemental Nutrition Assistance Program (SNAP), provides “Food Stamp” benefits to low-income families through Electronic Benefit Transfer (EBT) cards, which are similar to debit cards. It is a crime to exchange WIC or Food Stamp benefits for cash. Both the WIC and Food Stamp programs are administered through the United States Department of Agriculture (USDA), and paid for by federal tax dollars.
The 54-defendant indictment alleges that a number of defendants conspired to open purported grocery stores in Savannah, Macon, Atlanta, Garden City, Lithonia, LaGrange, Stone Mountain, Riverdale, and elsewhere for the purpose of buying WIC and Food Stamp benefits for cash. Once the purported stores were opened and approved as WIC and Food Stamp vendors, many of the defendants allegedly canvassed low-income neighborhoods and solicited WIC and Food Stamp participants to illegally exchange their benefits not for food, but for cash. The defendants then allegedly bought WIC and Food Stamp benefits for cash at a fraction of the amount they received from the USDA by redeeming the benefits they had purchased. The defendants also allegedly conspired to launder over $18 million in proceeds received from their fraud upon the WIC and Food Stamp programs.
The 34 defendants charged separately from the larger indictment are alleged to have sold for cash over $1,000 worth of their own WIC or Food Stamp benefits and the WIC or Food Stamp benefits of their minor children.
United States Attorney Edward J. Tarver said, “This prosecution is one of the largest federal food program frauds ever brought. The Government alleges that the defendants stole taxpayer-funded benefits intended to feed the most needy families and children in our communities. Fraudsters beware: the U. S. Attorney’s Office is committed to working with our federal and state partners to investigate and prosecute complex financial fraud, especially when it attacks government programs funded by taxpayers of the United States.”
“This investigation and prosecution should send a strong zero-tolerance message to those individuals who create businesses for the purpose of specifically defrauding the taxpayer funded WIC and SNAP programs,” said Karen Citizen-Wilcox, Special Agent-in-Charge, USDA-OIG-Investigations. “It should also serve as a warning to all stores, that participate in the WIC and SNAP programs as vendors, that fraud and trafficking (purchasing those benefits for cash) will be vigorously investigated and prosecuted by the USDA-OIG, the U. S. Attorney’s Office, and all of its federal, state, and local partners that have a stake in ensuring that fraud is eliminated from taxpayer funded programs. The USDA-OIG applauds the steadfastness and resolution of the U. S. Attorney’s Office to also prosecute the WIC and EBT benefit recipients who chose to sell their benefits rather than use them for their intended purpose of purchasing nutritious foods for themselves and their eligible children.”
“The enduring cooperation between the Georgia Department of Public Health (DPH), local law enforcement, and the U. S. Attorney’s Office should send a clear signal to those contemplating WIC fraud,” said Brenda Fitzgerald, M.D., DPH’s commissioner, who commended the prosecution. “We are committed to working together to detect and eliminate fraud, and to preserve precious funds for those who need it most.”
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated: “The protection of such important federally funded programs as the WIC and Food Stamp program from such wholesale fraud is paramount. The families and their children who truly need and rely on these programs count on that law enforcement protection and the taxpayers demand it. The FBI will continue to work with its many and varied law enforcement partners in combating such rampant cases of fraud against the U. S. Government.”
“The WIC and Food Stamp programs are designed to provide necessary nutrition for the most vulnerable members of our society,” said Brock D. Nicholson, Special Agent in Charge of HSI Atlanta. “HSI is proud to have assisted the U. S. Department of Agriculture and others in protecting this program from alleged fraudulent activity in the State of Georgia.”
Each of the 54 defendants listed in the larger indictment have been charged with one count of mail and wire fraud conspiracy, which carries a maximum sentence of 20 years in prison and a fine of up to $250,000, and one count of money laundering conspiracy, which carries a maximum sentence of 20 years in prison and a fine of up to $500,000. The United States further seeks the forfeiture of $20 million and various bank accounts and assets, including a 2008 Land Rover and a 2008 Mercedes Benz. Each of the 34 defendants charged with conspiring to sell their federal food benefits face a maximum sentence of 5 years in prison and a $250,000 fine. Mr. Tarver emphasized that an indictment is only an accusation and is not evidence of guilt. The defendants are entitled to a fair trial, during which it will be the Government’s burden to prove guilt beyond a reasonable doubt.
The indictments arise out of a joint investigation by Special Agents with the United States Department of Agriculture, Office of Inspector General; investigators with the Georgia Department of Health and Human Services and Georgia Department of Public Health, Office of Inspector General; and Special Agents with the FBI and HSI. Multiple members of these agencies, assisted by the U. S. Marshals’ Southeast Regional Fugitive Task Force and numerous other local law enforcement personnel, arrested a number of the defendants earlier today. Initial appearances are being held today and tomorrow in Savannah, Macon, and Atlanta.
Assistant United States Attorney E. Gregory Gilluly and First Assistant United States Attorney James D. Durham, both with the U. S. Attorney’s Office for the Southern District of Georgia, are prosecuting the cases for the United States.
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List of Defendants Charged in 54-Defendant Indictment
Brandon Sapp, AKA “B,” 37, Austell, Georgia
Kimberly Sapp, AKA “Kimberly Walker,” AKA “The Money Wizard,” 34, Austell, Georgia
Calvin Williams, AKA “Slick,” 39, Atlanta, Georgia
Isaac Martin, AKA “Ike,” 37, Jonesboro, Georgia
John P. Jones, AKA “JP,” 39, Ellenwood, Georgia
Wayne Jackson, AKA “J5,” 32, Atlanta, Georgia
Gregory Thomas, AKA “Rich Gregg,” 37, Atlanta, Georgia
Kerry Adams, AKA “Big Skreed,” AKA “Skrump,” 38, Atlanta, Georgia
Brian Lockhart, AKA “Lock,” 47, Atlanta, Georgia
Henry Ward, AKA “TY,” AKA “TYE,” AKA “Grand Hustle,” 32, Savannah, Georgia
Vincent Harper, 40, Atlanta, Georgia
Ostrando S. Brock, AKA “Shun,” AKA “Shawn,” 32, Mableton, Georgia
Jesse McCoy, AKA “Jay Mac,” 42, Ellenwood, Georgia
Terence Cosby, AKA “Me Gold,” 33, Savannah, Georgia
Raymond Hargrove, 27, Savannah, Georgia
Jacqueline Beauchamp, AKA “Jackie,” 25, Pooler, Georgia
Elizabeth Beauchamp, 28, Pooler, Georgia
Gerald Patilla, AKA “PT,” 30, Savannah, Georgia
Clayton Talley, 32, Pooler, Georgia
Ebony Jacobs, 28, Savannah, Georgia
Olajawon Simmons, AKA “Wan,” AKA “Won,” 27, Savannah, Georgia
Reginald Simmons, AKA “Reggie,” 28, Savannah, Georgia
Gary Grier, AKA “Bundee”, AKA “Dee,” 37, Atlanta, Georgia
Magregor Warner, AKA “KB,” 40, Atlanta, Georgia
Benjamin Tookes, AKA “B,” AKA “Ben,” 40, Atlanta, Georgia
Carlos Davis, AKA “Lo,” 38, Atlanta, Georgia
Raymond Hixon, AKA “Dre,” 38, Atlanta, Georgia
Thomas Thornton, AKA “Big Bo,” 27, Atlanta, Georgia
Branden Jordan, 32, Atlanta, Georgia
Mark White, 38, Atlanta, Georgia
Tobias Render, AKA “Tee,” AKA “Toby,” 33, Atlanta, Georgia
Eric Burkes, AKA “E,” 25, Atlanta, Georgia
Aryay Strong, 31, Atlanta, Georgia
Marshall Sears, 38, Atlanta, Georgia
Suleyma Arreola, 21, Marietta, Georgia
Emory White, 32, Marietta, Georgia
Obryan Moore, AKA “OB,” 29, Powder Springs, Georgia
Terry Mitchell, Jr., 43, LaGrange, Georgia
Corey Mitchell, AKA “Stick,” 39, Atlanta, Georgia
Luquoise Clay, AKA “Qui,” 30, Atlanta, Georgia
Jessica Cameron, AKA “Keta,” 30, Grantville, Georgia
Joshua Dunlap, 38, Monticello, Georgia
Maurice Fudge, AKA “Reese,” 39, Macon, Georgia
Quinton Matthews, AKA “Q,” AKA “Chuck Matthews,” 39, Macon, Georgia
Charles Jackson, AKA “Cooley Slim,” AKA “Corey,” 35, Lithia Springs, Georgia
Ronnie Zachary, AKA “City,” 29, Byron, Georgia
Porsha Drewery, AKA “Parsha,” 37, Macon, Georgia
Taquilla Johnson, AKA “Quilla,” 35, Macon, Georgia
Raheem Waller, 30, Atlanta, Georgia
Travis Rich, 35, Atlanta, Georgia
Marlon Dobbins, 29, Atlanta, Georgia
Derrick Heard, AKA “Da Man,” AKA “Heard,” 43, Atlanta, Georgia
Rahdriq Turner, AKA “Rah Rah,” 36, Rockmart, Georgia
Antonio Dorsey, AKA “Bear,” 34, East Point, GeorgiaList of Defendants Charged In Separate Indictments
Chiquita Armstead, 40, Savannah, Georgia
Yontalay Renee Bennett, 28, Savannah, Georgia
Precious T. Bevins, 24, Garden City, Georgia
Shanika C. Blige, 22, Savannah, Georgia
Deanna W. Boles, 23, Savannah, Georgia
Candice Bostick, 23, Savannah, Georgia
Danitra Bostick, 26, Savannah, Georgia
Tia K. Bowers, 25, Savannah, Georgia
Tonya D. Clark, 41, Savannah, Georgia
Jocelyn Easterling, 48, Savannah, Georgia
Ebony Ellison, 27, Savannah, Georgia
Deonka S. Ellison, 24, Savannah, Georgia
Joanne Ferguson, 42, Savannah, Georgia
Fanchon Nyticia Hill, 26, Jesup, Georgia
Shaquanna C. Hooper, 24, Savannah, Georgia
Tameshia Natasha Jackson, 24, Savannah, Georgia
Koneshia N. Jenkins, 26, Pembroke, Georgia
Latisha V. Jones, 30, Savannah, Georgia
Jameise’ Mayberry, 23, Savannah, Georgia
Quinta Meggett-Mike, 37, Garden City, Georgia
Ebony Roberson, 26, Savannah, Georgia
Shakeila D. Roberts, 22, Savannah, Georgia
Jasmine S. Sammuel, AKA “Jazmi Beasley,” AKA “Jazmi Smith,” 24, Savannah, Georgia
Deanna K. Scott, 24, Savannah, Georgia
Whitney Denise Stokes, 25, Savannah, Georgia
Regina C. Styles, 21, Savannah, Georgia
Hope Taylor, 33, Savannah, Georgia
Ebonilaestei Tremble, 34, Savannah, Georgia
Linda J. Walker, 22, Savannah, Georgia
Tiera L. Walthour, 23, Savannah, Georgia
Alexis Washington, 26, Savannah, Georgia
Rhonda Washington, 31, Savannah, Georgia
Amber Shaniqua Wilson, 23, Savannah, Georgia
Ke’Airra Young, 24, Savannah, Georgia
9 June 2014
Washington County Man Sentenced to 15 Years for Receiving Child PornographyRead the Press Release
ALBANY, NEW YORK – CHRISTOPHER J. WHITE, age 29, of Whitehall, New York, was sentenced today to 15 years in prison for receiving child pornography by United States District Judge Mae A. D’Agostino, announced United States Attorney Richard S. Hartunian, Joseph D’Amico, Superintendent of the New York State Police, and Andrew W. Vale, Special Agent in Charge of the Albany Division of the Federal Bureau of Investigation. WHITE must also serve a life term of supervised release and register as a sex offender.
As part of his February 24, 2014, guilty plea, WHITE admitted that, following his 2010 Attempted Sexual Abuse in the First Degree conviction in Saratoga County Court, he used the Internet to search for, receive, and view images of child pornography.
This case was investigated by the New York State Police and the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Jeffrey C. Coffman.
Wagner Man Sentenced for Drug House ChargeRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wagner, South Dakota, man convicted of Maintaining a Drug-Involved Premises was sentenced on May 28, 2014, by U.S. District Judge Karen E. Schreier, Jeffery Louis Irving, age 38, was sentenced to 87 months in prison, to be followed by 3 years of supervised release.
Irving was indicted with four other people for Conspiracy to Distribute a Controlled Substance, and with one other person for Maintaining a Drug-Involved Premises, by a federal grand jury on December 3, 2013. He pled guilty to the drug-involved premises charge on March 6, 2014, and the conspiracy count was dismissed.
Irving had allowed another man to stay at his house in Wagner and distribute methamphetamine from the residence.
This case was investigated by the Federal Bureau of Investigation, the South Dakota Division of Criminal Investigation, the Bureau of Indian Affairs, and the Charles Mix County Sheriff’s Office. Special Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
Irving is being allowed to self-report to the U.S. Marshals Service on June 30, 2014.
U.S. Attorney’s Office Issues Annual ReportRead the Press Release
GRAND RAPIDS, MICHIGAN – U.S. Attorney for the Western District of Michigan Patrick Miles announced to the media today the publication of his office’s annual report on the prior year, dubbed the “Year in Review.” Overcoming notable budgetary challenges in 2013 due to the sequester and lapse in budget appropriations commonly known as the federal government shut-down, U.S. Attorney Miles emphasized that “[t]he mission of serving the public and justice is foremost in the minds and hearts of those working in the U.S. Attorney’s Office.” The report is on the office’s website at www.justice.gov/usao/miw/about/Year_In_Review.pdf.
U.S. Attorney Miles’s report documents his office’s efforts to engage the community, prosecute complex crimes, protect the public, reduce crime and recidivism, and work with local law enforcement to deploy federal resources where they have the most impact. In particular, the report notes the office’s higher than average prosecution of financial crimes, successful child pornography prosecutions, and violent crime reduction strategy. Along with his continued participation in many pre-existing state-wide initiatives, U.S. Attorney Miles met with and spoke to numerous local organizations and representatives during the year, helped launch an Advocates and Leaders for Police and Community Trust (ALPACT) group in Benton Harbor, and organized a Drug Diversion and Addiction Summit along with Barb McQuade, the Eastern District of Michigan U.S. Attorney.
Notable criminal prosecutions included: the conviction after trial and 55 year prison sentence of Gerald Singer for his arson for profit scheme; the health care fraud criminal conviction of Babuhai Rathod and related million-dollar civil settlement, of which $900,000 went to criminal restitution; the conviction of Marcus Thames and others in the so-called “Felony Lane” identity theft ring; and the conviction of Michael Allen for illegally selling Roderick Dantzler the firearm Dantzler later used to murder seven people, including two children, in a 2011 Grand Rapids killing spree.
Among many accomplishments in civil litigation, the office secured a $2 million settlement with LG Chem for its false bills to the Department of Energy related to Recovery Act grant funds to manufacture lithium-ion batteries.
Highlights also included multiple national and local awards. Assistant U.S. Attorneys (AUSAs) Michael MacDonald and Christopher O’Connor received national recognition in the form of a Director’s Award for their efforts successfully prosecuting Gerald Singer. Kathy Schuette, a Victim-Witness Coordinator, likewise received national recognition for her work in the successful prosecution of Steven Deuman for the murder of his infant daughter. U.S. Attorney Miles personally received a Frederick Douglass award for his service to the Grand Rapids community and a Patriot Award for his hiring of U.S. veterans and supporting Guard and Reserve military service obligations of his employees. Former Interim U.S. Attorney and now retired AUSA Donald Davis received awards for his public service career and for his contributions to the professional development of lawyers in the district.
END
Two Carbondale Residents Charged with Crack Cocaine ConspiracyRead the Press Release
Follow @SDILNewsOn May 21, 2014, Johnathan T. Buck, a/k/a “Buffalo,” 40, and Maurice L. Christian, a/k/a “Reece,” 26, both of Carbondale, were charged by indictment with conspiracy to distribute crack cocaine, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
The offense occurred between 2013 and March 2014, in Jackson County. Buck made his initial appearance in federal court on May 27, 2014. At his May 29, 2014, 2014, detention hearing, he was ordered held without bond pending a July 28, 2014, jury trial. Christian is scheduled to make his initial appearance in federal court on June 12, 2014.
The crack cocaine offense carries a penalty of up to 20 years in prison, to be followed by 3 years of supervised release, and a fine of $1,000,000.
Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The ongoing investigation is being conducted by the Southern Illinois Enforcement Group, Carbondale Police Department, and Drug Enforcement Administration. The Jackson County State’s Attorney’s Office assisted in the investigation.
The case is assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Twelve Indicted in Weakley and Carroll Counties for Charges Related to MethamphetamineRead the Press Release
Jackson, TN – A federal grand jury returned indictments last month on a dozen individuals alleged to have been involved in the production or distribution of methamphetamine in Weakley and Carroll counties, announced U.S. Attorney Edward L. Stanton III.
A total of seven indictments were returned charging the following: Joey Darling, 40, of Martin, TN, with one count of conspiracy to manufacture and distribute methamphetamine and one count of possession of pseudoephedrine for methamphetamine manufacturing purposes; Clayborne Tate, 36, and Amanda Box, 34, both of Greenfield, TN, with one count each of conspiracy to manufacture and distribute methamphetamine and one count each of possession of pseudoephedrine for methamphetamine manufacturing purposes; Charles Dunning, 30, of Gleason, TN, with one count of conspiracy to manufacture and distribute methamphetamine and one count of possession of pseudoephedrine for methamphetamine manufacturing purposes; Robert Hopgood, 41, of Martin, TN, and Tiffany Prichard, 32, of Greenfield, TN, with one count each of conspiracy to manufacture and distribute methamphetamine and one count each of possession of pseudoephedrine for methamphetamine manufacturing purposes; Joshua Hearn, 29, Brandy Oliver, 27, Carl Davidson, 30, and Brianna Vermillion, 23, all of McKenzie, TN, with two counts each of conspiracy to manufacture and distribute methamphetamine; Michael Davidson, 44, of Martin, TN, with one count of conspiracy to distribute methamphetamine; and
Vaughn Yarbrough, 44, of Greenfield, TN, with one count of possession of pseudoephedrine for methamphetamine manufacturing purposes.
The potential penalties for each defendant are listed on the attached chart. There is no parole in the federal prison system.
This case was investigated by the Drug Enforcement Administration and the Weakley County Sheriff’s Office. Assistant U.S. Attorney Matt Wilson is representing the government.# # # #
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Three from Oglala Charged with False Statement and FraudRead the Press Release
United States Attorney Brendan V. Johnson announced that two men and a woman from Oglala, South Dakota, have been indicted by a federal grand jury for False Statements Relating to Health Care Matters and Attempt to Obtain Controlled Substances by Fraud.
Thelma Tail, age 32, Antone Little Moon, age 33, and Shannon Long Jaw, age 38, were indicted on May 20, 2014. They appeared before U.S. Magistrate Judge Veronica L. Duffy on May 29 and 30, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 5 years in custody and/or a $250,000 fine, 1 year of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Tail, Little Moon, and Long Jaw using a fraudulent document in an attempt to obtain Hydrocodone at the Indian Health Services Pharmacy in Pine Ridge on September 16, 2013.
The charges are merely accusations and Tail, Little Moon, and Long Jaw are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Department of Health and Human Services, Office of the Inspector General. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.
All three were released on bond pending trial. A trial date has been set for August 5, 2014.
The Executive Office for Immigration Review to Host Stakeholder Teleconference and Webinar on Recognition and Accreditation ProgramRead the Press Release
SUMMARY - The Executive Office for Immigration Review (EOIR) invites interested parties to participate in a teleconference and Webinar providing a general overview of EOIR's recognition and accreditation program. This event is intended to educate interested parties about the process for obtaining recognition for an organization and accreditation for individuals.
DATE: Thursday, June 19, 2014, at 2 p.m.
RSVP: To RSVP for the meeting, please contact Lauren Alder Reid, Counsel for Legislative and Public Affairs, 703-305-0289, [email protected], by noon on Wednesday, June 18, 2014. Please note that there will be no in-person attendance for this event. EOIR will send call-in and Web access information on Wednesday, June 18th, to those who RSVP. To attend the meeting via conference call and Web, please RSVP with the name(s) of the attendee(s), the attendee's organization, and an email address where instructions may be sent for accessing the conference call and Web meeting.
- EOIR -
The Executive Office for Immigration Review (EOIR) is an agency within the Department of Justice. Under delegated authority from the Attorney General, immigration judges and the Board of Immigration Appeals interpret and adjudicate immigration cases according to United States immigration laws. EOIR’s immigration judges conduct administrative court proceedings in immigration courts located throughout the nation. They determine whether foreign-born individuals—whom the Department of Homeland Security charges with violating immigration law—should be ordered removed from the United States or should be granted relief from removal and be permitted to remain in this country. The Board of Immigration Appeals primarily reviews appeals of decisions by immigration judges. EOIR’s Office of the Chief Administrative Hearing Officer adjudicates immigration-related employment cases. EOIR is committed to ensuring fairness in all of the cases it adjudicates.
Ten Individuals Indicted on Distribution Charges and Conspiracy to Distribute Cocoaine and MarijuanaRead the Press Release
United States Attorney Brendan V. Johnson announced that ten individuals from Custer, Pine Ridge, and Rapid City, South Dakota, have been indicted by a federal grand jury on May 20, 2014.
- Gerald LeBeau, a/k/a Gers LeBeau, 53, of Rapid City, was indicted on Possession with Intent to Distribute Cocaine, and Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is a minimum of 5 years up to 40 years in custody, and/or a $5,000,000 fine, 4 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Neil LeBeau, 33, of Porcupine, was indicted on Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is a minimum of 5 years up to 40 years in custody, and/or a $5,000,000 fine, 4 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Susan Schrader, 52, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Holly Wilson, 53, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine and 2 counts of Distribution of Cocaine. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Whitney Zephier, 26, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Marie Zephier, 28, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Thomas Patrick Brewer, a/k/a Pat Brewer, 48, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Twila LeBeau, 59, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Pablo LeBeau, 18, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine,
3 years of supervised release, and $100 to the Federal Crime Victims Fund.
- Lona Lee Colhoff, 55, of Pine Ridge, was indicted on Conspiracy to Distribute Cocaine and Marijuana. The maximum penalty upon conviction is up to 20 years in custody, and/or a $1,000,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund.
The charges relate to distribution of cocaine and marijuana, primarily on the Pine Ridge Reservation, beginning as early as 2005 and continuing to the present. Gerald LeBeau, Neil LeBeau, Susan Schrader, Holly Wilson, Whitney Zephier, Marie Zephier, Thomas Patrick Brewer, Twila LeBeau, Pablo LeBeau, and Lona Lee Colhoff, conspired, with persons known and unknown, to distribute cocaine in the District of South Dakota. During the course of the conspiracy, Gerald LeBeau, Neil LeBeau, Whitney Zephier, Marie Zephier, Twila LeBeau, Pablo LeBeau, and Lona Lee Colhoff also conspired, with persons known and unknown, to distribute marijuana in the District of South Dakota.
All ten defendants appeared before U.S. Magistrate Judge John E. Simko on May 30, 2014, and pled not guilty to the Indictments. The charges are merely an accusation and all of the above-mentioned defendants are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force, the Federal Bureau of Investigation, the Bureau of Indian Affairs Office of Justice Services, the South Dakota Division of Criminal Investigation and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorneys Ted L. McBride and Kathryn N. Rich are prosecuting the case.
Gerald LeBeau, Neil LeBeau, and Pablo LeBeau were remanded to the custody of the U.S. Marshals Service pending trial. Susan Schrader, Holly Wilson, Whitney Zephier, Marie Zephier, Thomas Patrick Brewer, Twila LeBeau, Pablo LeBeau, and Lona Lee Colhoff were released on bond pending trial. A trial date has not been set.
Taos Pueblo Man Pleads Guilty to Federal Assault ChargeRead the Press Release
ALBUQUERQUE – Phillip Martinez, Jr., 59, a member and resident of Taos Pueblo, pleaded guilty this afternoon to a felony information charging him with assault resulting in serious bodily injury.
Martinez was arrested in Oct. 2013, on an indictment charging him with assault with a dangerous weapon. According to the indictment, Martinez assaulted another Taos Pueblo man with a stick in the Pueblo of Taos on April 29, 2013.
In entering his guilty plea, Martinez acknowledged that the victim suffered serious bodily injury as a result of the assault. Martinez faces a statutory maximum penalty of ten years in federal prison when he is sentenced. His sentencing hearing has yet to be scheduled.
This case was investigated by the Northern Pueblos Agency of the BIA’s Office of Justice Services and is being prosecuted by Assistant U.S. Attorney Elaine Y. Ramirez.
Tampa Contractor Sentenced to Four Years in Federal Prison for Defrauding Hundreds of Investors in Connection with Home Solutions of America, Inc. StockRead the Press Release
Brian Marshall Taken Into Custody Immediately Following Sentencing
DALLAS — Businessman Brian Marshall, 50, of Tampa, Fla., was sentenced today by U.S. District Judge Barbara M. G. Lynn to four years in federal prison for defrauding investors in connection with the sale of Home Solutions of America, Inc. stock, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas. Marshall was remanded immediately to custody following the sentencing hearing.
Marshall pleaded guilty on November 18, 2013, the day his trial was to begin in federal court in Dallas, to one count of securities and commodities fraud.
Marshall was a vice-president and a member of the board of Home Solutions of America, Inc., a NASDAQ-traded company that was based in Dallas before it relocated to New Orleans, Louisiana in July 2008. Home Solutions was in the business of construction and restoration, including new construction and restoration following natural disasters such as hurricanes. Home Solutions conducted some of its business through its largest subsidiary, Fireline Restoration, Inc., which was based in Tampa. Marshall was the president of Fireline. Frank J. Fradella of Covington, Louisiana, who was the CEO of Home Solutions, pleaded guilty to securities fraud in the Eastern District of Louisiana and is scheduled to be sentenced on September 24, 2014.
In filed plea documents, Marshall admitted that between December 2006 and August 15, 2007, he ran a scheme to defraud public investors by fabricating false and fictitious revenue, operating income and costs in connection with a series of construction contracts in Tampa. Marshall caused Fireline to enter into construction contracts with private companies that he wholly or partially owned, including a $4 million contract for the construction of his personal residence.
Marshall admitted that he also caused Fireline to record revenue and income from the construction contracts that were false, because little, if any, work had actually been performed. Even though Marshall knew that the revenue, costs and income on the construction projects were false, he caused Home Solutions to report it to public investors in Home Solutions’ 2Q 2007 10-Q.
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 is 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. For more information on the task force, visit www.stopfraud.gov.
The FBI, with substantial assistance from the Enforcement Division staff of the Securities and Exchange Commission, conducted the investigation. Assistant U.S. Attorneys J. Nicholas Bunch and Andrew Wirmani prosecuted.
Tacoma Man Pleads Guilty to Falsely Claiming $1.8 Million in Income Tax RefundsRead the Press Release
A Tacoma, Washington man who claimed more than $1.8 million in false income tax refunds pleaded guilty today in U.S. District Court in Tacoma, announced U.S. Attorney Jenny A. Durkan. SEENEY RISTICK, 33, faces up to five years in prison when sentenced by U.S. District Judge Benjamin H. Settle on September 8, 2014.
According to the plea agreement, between 2008 and 2013, RISTICK presented various fraudulent papers and forms to different tax preparation firms in Western Washington and directed the filing of bogus tax returns in his own name and the names of others, to include relatives and friends. To facilitate the scheme, RISTICK created false income journals and falsely claimed self-employment income and various tax credits, all with the intent to defraud the Internal Revenue Service. RISTICK typically approached the tax preparers by himself and presented fraudulent, and sometimes forged, powers of attorney, which purported to allow RISTICK to represent the named tax-filer in financial matters. At other times, he would accompany individuals to the tax preparation firms and assist them in filing the false tax return. RISTICK then charged the person for filing the false tax return between $500 and $1500 for the service he provides.
In all, RISTICK was involved in filing 524 fraudulent federal income tax returns, claiming a total of $1,826,944 in refunds. The U.S. Treasury paid out $1,584,398 before the fraud was uncovered. None of the money has been repaid.
The case was investigated by the Internal Revenue Service Criminal Investigation (IRS-CI). The case is being prosecuted by Assistant United States Attorney Steven Masada.
T Wo Detained in Federal Custody in Alleged Home Invasion, Hobbs Act Robbery ConspiracyRead the Press Release
PROVIDENCE, R.I. – Allen Prout, 42, of Providence, and Emmett Blyden, 43, of no known address, were ordered detained in federal custody today by U.S. District Court Magistrate Judge Patricia A. Sullivan on allegations that they conspired to commit an armed home invasion in Providence, where they were expecting to find two kilos of heroin and a large amount of cash, announced United States Attorney Peter F. Neronha and Daniel J. Kumor, Special Agent in Charge of the Boston Field Divisionof the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
The two men, both previously convicted of felony crimes, were arrested Friday evening moments after they allegedly took possession of firearms to be used in the planned robbery. The firearms, which had been rendered inoperable, were delivered by an individual who was assisting ATF agents.
According to an affidavit in support of a criminal complaint filed with the court, it is alleged that on June 2, 2014, an individual working with ATF agents advised ATF that Prout had contacted him and asked to set up a robbery for him and his crew. It is also alleged that he inquired about the availability of firearms to be used during the robbery. ATF agents instructed the individual to arrange meetings with Prout and his crew to discuss a fictitious scenario involving the robbery of two kilograms of heroin and a large amount of cash from a residence that was being used as storage site by narcotics traffickers.
According to the affidavit, over the next two days two meetings were held and several text messages were exchanged. On June 4, at the first of two meetings, it is alleged that details of the robbery and the availability of firearms were discussed. It is alleged that at that meeting, Prout inquired as to how many individuals would be at the location they planned to rob, stating that he was prepared to “lay them all down.” The meeting was electronically recorded.
At a subsequent meeting on June 6, with both Prout and Blyden in attendance, it is alleged that additional details of the robbery were discussed and the individual assisting ATF provided the firearms, as requested by Prout, to Prout and Blyden. Moments after the two men allegedly took possession of the firearms, ATF agents entered the meeting and took both men into custody. The meeting was electronically recorded.
Prout and Blyden are charged by way of a criminal complaint with conspiracy to commit Hobbs Act robbery; conspiracy to possess with the intent to distribute and distribute more than one kilogram of heroin; possession of a firearm in furtherance of a crime of violence; and being a felon in possession of firearms.
According to information presented to the court, Allen Prout’s felony record includes previous convictions for assault with the intent to commit a felony and larceny. Emmett Blyden’s felony record includes at least three previous drug trafficking convictions.
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.
The case is being prosecuted by Assistant U.S. Milind M. Shah.
The Providence Police Department SWAT Team assisted ATF agents in the arrest of the defendants.
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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]Spa Owner Pleads Guilty as Trial Set to BeginRead the Press Release
McALLEN, Texas - Elva Navarro, 37, of Hidalgo, has entered a guilty plea to violating the U.S. Food, Drug and Cosmetics Act as her federal trial was about to being today, announced United States Attorney Kenneth Magidson.
The investigation into Navarro began in November 2013 after law enforcement discovered she was involved with providing liquid silicone to women to effect the structure and function of their bodies.
Court documents demonstrated that Navarro would administer injections of liquid silicone into individuals who would frequent her facility - Bella Face and Body Spa in McAllen. These injections were not approved by the Food and Drug Administration (FDA). Navarro falsely represented to her customers that they were safe when, in fact, they were not.
During her plea today, Navarro admitted that on Oct. 5, 2013, she used an adulterated device, namely, liquid silicone on a female customer at her spa. Navarro knew that the substance had caused complications on previous occasions, but admitted she intended to mislead the woman by not disclosing that information to her female customer.
The woman later died as a result of the injections.
U.S. District Judge Micaela Alvarez, who accepted the plea, has set sentencing for Aug. 21, 2014. At that time, Navarro faces up to three years in prison and a possible $250,000 fine. She will remain in custody pending that hearing.
The case is being investigated by FDA, Hidalgo County Sheriff's Office and the FBI. Assistant U.S. Attorney Kim Leo is prosecuting.
Six Southern Illinois Residents Added to Methamphetamine Conspiracy IndictmentRead the Press Release
Follow @SDILNewsOn June 3, 2014, James Scott Rankin, 44, and James C. Leming, 53, both of Carbondale, Larry E. Recar, 38, and Amye L. Sandidge, 29, both of Murphysboro, Daniel J.E. Overmyer, 23, of Carterville, and Dawn Unterfer, 44, of Gorham, were charged by superseding indictment with conspiracy to manufacture methamphetamine, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
The offense occurred between 2010 and May 2014, in Jackson, Williamson, Union, and Franklin Counties. The six co-defendants made their initial appearances in federal court on June 9, 2014. They are currently being held without bond, pending June 12, 2014, detention hearings. Two co-defendants have previously pled guilty and are awaiting sentencing. Five co-defendants have pled not guilty and are awaiting jury trial.
The methamphetamine offense carries a penalty of up to 20 years in prison, to be followed by 3 years’ supervised release, and a fine of $1,000,000.
Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The ongoing investigation is being conducted by the Jackson County Sheriff’s Office, Murphysboro Police Department, Carbondale Police Department, Illinois State Police/Southern Illinois Drug Task Force, and Drug Enforcement Administration.
The case is assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Sanderson Drug Dealer Pleads GuiltyRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that Arnold Clayton (42, Sanderson) today pleaded guilty to distribution of cocaine and cocaine base. Clayton faces a maximum penalty of 30 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, on July 13, 2012, Clayton sold cocaine, cocaine base and marijuana to a confidential source for $320. Court records reveal that Clayton has two prior federal drug convictions for conspiracy to distribute cocaine and cocaine base (1999) and distribution of cocaine base (2007).
This case was investigated by the Baker County Sheriff’s Office and the Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Frank Talbot.
Rosebud Man Sentenced for Assaulting A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota, man charged with Assaulting, Resisting, Opposing, and Impeding a Federal Officer pled guilty to and was sentenced on June 4, 2014, by U.S. Magistrate Judge Mark A. Moreno.
Jeremy Waln, age 33, was sentenced to 4 months in custody and a $25.00 special assessment to the Federal Crime Victims Fund.
The conviction stems from an incident that took place on February 14, 2013, when Waln was being investigated for assaulting an individual. Waln was detained and placed in a squad car. While talking to witnesses of the alleged assault, the officer noticed that Waln was kicking the windows in the squad car. Waln’s legs were shackled and he was taken to the Rosebud Jail for booking, where he was uncooperative and spit in the officer’s face.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Tim Maher.
Waln was ordered to self-report to the custody of the U.S. Marshals Service on June 20, 2014.
Pierre Man Sentenced for Distribution of MethamphetamineRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pierre, South Dakota, man convicted of Distribution of a Controlled Substance was sentenced on May 29, 2014, by U.S. District Judge Roberto A. Lange.
Edwin Clayton Cook, Jr., age 38, was sentenced to 12 months and 1 day in custody, 3 years of supervised release, a $1,000 fine, and a $100 special assessment to the Federal Crime Victims Fund. He is also to pay $798.45 for electronic monitoring.
Cook was indicted by a federal grand jury on November 14, 2013. He pled guilty to the Indictment on March 10, 2014.
The conviction arose from an incident that occurred on June 12, 2013, when Cook arranged a meet with an undercover agent and sold the agent 13.0 grams of methamphetamine for $1,000.00.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Jay Miller prosecuted the case.
Cook will report to the U.S. Marshals Service on June 13, 2014, to begin serving his sentence.
Owner of New York Construction Companies Pleads Guilty to Tax FraudRead the Press Release
Eric Anderson, of Dix Hills, New York, pleaded guilty today in the U.S. District Court for the Eastern District of New York to the willful failure to collect and pay over employment taxes, the Justice Department and Internal Revenue Service (IRS) announced.
According to court documents, Anderson owned three construction companies located in Dix Hills: Anderson Framing, Anderson Enterprise and Anderson Trim Specialty. Anderson corruptly endeavored to obstruct the IRS between 2006 and 2008 by using a check cashing service to cash over $10.5 million of gross receipts checks paid to his construction companies. He concealed his check cashing activities from his tax return preparer so that the income was not included on the companies’ tax returns. Anderson paid his employees in cash while failing to collect and pay over employment taxes to the IRS. He also diverted cash receipts earned by his companies for his own personal use. Finally, after learning of the criminal investigation, Anderson shredded business records and lied to IRS investigators about his use of the check cashing service. The estimated tax loss resulting from Anderson’s activities is between $1 and $2.5 million.
Anderson faces a statutory potential maximum sentence of five years in prison and a potential fine of up to $250,000. U.S. District Judge Arthur Spatt set sentencing for Sept. 19, 2014.
The case was investigated by IRS-Criminal Investigation and is being prosecuted by Trial Attorneys Mark Kotila and Jeffrey Bender of the Justice Department’s Tax Division.
Owner of United Credit Recovery Charged in $76 Million SchemeRead the Press Release
Orlando, FL – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Leonard G. Potillo, III (48, Longwood) with 7 counts of wire fraud, 10 counts of bribery of a bank official, and 16 counts of money laundering. If convicted, Potillo faces a maximum penalty of 20 years in federal prison for each wire fraud charge, up to 30 years in prison for each bribery charge and up to 10 years in federal prison on each of the money laundering charges. The indictment also notifies Potillo that the United States intends to forfeit the following assets which are alleged to be traceable to proceeds of the offenses: bank accounts totaling approximately $3.9 million in deposits; a 2008 Maserati; a 2007 Ferrari; a 2014 Jaguar; a 2010 Aston Martin; two vehicles located in Scotland; three residences located in Florida, one residence in Montreal, Canada and a residence in Littlejohn, Edinburgh, Scotland. The United States is also seeking a money judgment in the amount of at least $76 million, the proceeds of the charged criminal conduct.
Potillo was arrested at his residence this morning and will make his initial appearance before United States Magistrate Judge David Baker at 3:00 p.m. today, in Orlando.
According to the indictment, Potillo is the manager/owner of United Credit Recovery, LLC (UCR). UCR purchased charged-off consumer overdraft debt from financial institutions for the purposes of collecting debt and selling the debt to third-parties, at a profit. UCR advertised on its website that it purchased in excess of $10 billion of overdraft debts from financial institutions such as U.S. Bank, N.A. and Wells Fargo, N.A, among others. When purchasing debt portfolios from U.S. Bank, Potillo allegedly bribed a U.S. Bank officer with more than $1 million for inside information relating to the bank’s auction of overdraft debt portfolios. The indictment further alleges that after purchasing debt portfolios from financial institutions, UCR re-sold them to third-party debt purchasers. When selling its debt portfolios, UCR misrepresented the quality of the debt to the third-party debt purchasers as premium quality debt, when in fact it was lower quality debt. UCR also sold the debt portfolios with fictitious “Affidavits of Correctness/Assignments” that were created by UCR on a mass scale. By making such misrepresentations, UCR and Potillo profited at least $76 million from the scheme. With those illegal proceeds, Potillo spent hundreds of thousands of dollars on prime real estate holdings in the United States and abroad, and purchased luxury vehicles.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Internal Revenue Service – Criminal Investigation and the United States Secret Service, with the assistance of the Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP). It will be prosecuted by Assistant United States Attorney David Haas.
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Ohio Valley Men Convicted on Prescription Drug Trafficking ChargesRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Matthew Lyman, Public Affairs Specialist/Community Outreach CoordinatorWHEELING, WEST VIRGINIA – Two Ohio Valley men have been convicted for their roles in a large prescription painkiller trafficking ring.
United States Attorney William J. Ihlenfeld, II announced that Jordan SORGE, age 22, of Wheeling, W.Va., and Richard W. HERCULES, 50, of McMechen, W. Va., entered guilty pleas before U.S. District Court Judge Frederick P. Stamp, Jr.
SORGE pleaded guilty to “Conspiracy to Use a Communication Facility to Facilitate the Distribution of a Controlled Substance.” HERCULES pleaded guilty to “Aiding and Abetting the Distribution of Oxycodone.”
SORGE faces up to 4 years in prison and a $500,000 fine. HERCULES faces up to 20 years and a $1 million fine.
SORGE and HERCULES were part of group of fifteen people who were indicted in February at the culmination of a sixteen month investigation into the redistribution of oxycodone and other prescription drugs that came to the Ohio Valley from northern Ohio and Detroit, Michigan. Over the course of the investigation thousands of pills were recovered by agents via controlled purchases and court-authorized searches.
The cases were investigated by the Ohio Valley Drug Task Force, which includes officers and agents from the Wheeling Police Department, the Ohio County Sheriff’s Department, the West Virginia State Police-BCI, and the U.S. Drug Enforcement Administration.Assistant United States Attorney John C. Parr is prosecuting the cases on behalf of the government.
Oglala Man Charged with Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that an Oglala, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Aric Singing Goose, age 26, was indicted on April 22, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on May 23, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 10 years in custody and/or a $250,000 fine, a mandatory minimum period of at least 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between January 21, 2014, and February 21, 2014, Singing Goose knowingly failed to register and update his registration.
The charge is merely an accusation and Singing Goose is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.Singing Goose was released on bond pending trial. A trial date has been set for July 29, 2014.
Morris County, N.J., Couple Charged with Conspiracy to Commit Health Care FraudRead the Press Release
NEWARK, N.J. – A Morris County, N.J., couple who owned a mobile diagnostic testing company were arrested this morning and charged with conspiring to commit health care fraud, U.S. Attorney Paul J. Fishman announced.
Nita K. Patel, 51, and Kirtish N. Patel, 51, of Rockaway, N.J., owners and operators of Biosound Medical Services Inc. and Heart Solutions of Parsippany, N.J., were charged by complaint with one count of conspiracy to commit health care fraud. They made their initial appearance today before U.S. Magistrate Judge James B. Clark III in Newark federal court.
According to the complaint and statements made in Court:
From June 2012 through June 2014 Nita and Kirtish Patel owned and operated Biosound Medical Services and Heart Solutions (collectively, “Biosound”), which were mobile diagnostic companies and approved Medicare providers. The companies provided mobile diagnostic testing, including ultrasounds, echocardiograms, and nerve conduction studies.
Biosound technicians would travel to the office of a primary care physician in the New York and New Jersey area to conduct diagnostic testing. Biosound was responsible for sending the tests to a “reading physician” – an appropriate specialist who would interpret the results. After the reading physician prepared a report, Biosound was responsible for providing it to the referring physician. Biosound would bill Medicare and other payors for the diagnostic testing, the reading physician’s interpretation of the results and the report.
According to the complaint, about half of the diagnostic reports generated by Biosound in the past two years had a photocopied signature from a reading physician when no physician had actually seen, reviewed or interpreted the results. Rather than pay compensation to a reading physician, Kirtish N. Patel allegedly would interpret the diagnostic results himself, and Nita K. Patel would either photocopy or electronically cut and paste a physician’s signature onto a diagnostic report that was drafted by an employee of Biosound and forwarded to the referring physician who ordered the testing.
The charge of conspiracy to commit health care fraud carries a maximum penalty of 10 years in prison and a $250,000 fine. Nita K. Patel and Kirtish N. Patel were each released on $100,000 unsecured bond, with travel restricted to New Jersey unless given prior approval by pretrial services, and they must surrender their United States and India passports.
U.S. Attorney Fishman credited special agents of the FBI under the direction of Special Agent in Charge Aaron T. Ford; and the U.S. Department of Health and Human Services – Office of the Inspector General, under the direction of Special Agent in Charge Tom O’Donnell, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Danielle Alfonzo Walsman of the U.S. Attorney’s Office Health Care and Government Fraud Unit.
U.S. Attorney Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $535 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
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Defense counsel: Kirtish Patel: Richard Asche Esq., New York
Nita Patel: John Yauch Esq., Assistant Federal Public Defender, NewarkPatel, Nita and Kirtish Complaint
Modesto Man Sentenced to 18 Years in Prison for Methamphetamine, Marijuana, and Firearm ChargesRead the Press Release
SACRAMENTO, Calif. — Ramiro Suarez, 47, of Modesto, was sentenced today by United States District Judge William B. Shubb to 18 years in prison for conspiracy to manufacture, to distribute and to possess with intent to distribute marijuana, distribution of methamphetamine, possession with intent to distribute methamphetamine, and being an alien in possession of a firearm, United States Attorney Benjamin B. Wagner announced.
According to court documents, from November 17, 2008, until July 14, 2009, Suarez conspired with a number of people to cultivate and distribute more than a thousand marijuana plants, and distribute more than a kilogram of methamphetamine.
According to statements made during the sentencing hearing today, Suarez sold undercover agents an AK-47 and ammunition magazine, and during the search of Suarez’s home, agents found methamphetamine, marijuana seeds, three more firearms, processed marijuana, and a digital scale.
This case was the product of an investigation by the Drug Enforcement Administration (DEA), the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the California Department of Justice, and the Mountain and Valley Marijuana Investigation Team (MAVMIT). Assistant United States Attorneys Heiko Coppola and Olusere Olowoyeye prosecuted the case.
Mission Man Sentenced for Assault with A Dangerous WeaponRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man convicted of two counts of Assault with a Dangerous Weapon was sentenced on May 29, 2014, by U.S. District Judge Roberto A. Lange.
Celso Estrada, age 50, was sentenced to 47 months in custody on one count and 37 months in custody on the second count, to be served concurrently, and a $200 special assessment to the Federal Crime Victims Fund.
Estrada was indicted for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury by a federal grand jury on November 19, 2013. Estrada pled guilty to two counts of Assault with a Dangerous Weapon on February 19, 2014.
On November 16, 2013, after an argument, Estrada became upset and stabbed two people with a knife at an apartment complex in Mission.
This case was investigated by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Tim Maher prosecuted the case.
Estrada was immediately turned over to the custody of the U.S. Marshals Service.
Mission Man Charged with Child Abuse and AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Child Abuse and Assault Resulting in Serious Bodily Injury.
Gilbert Young, age 42, was indicted on May 13, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on May 29, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about February 16, 2013, in Mission, Young assaulted a child under 7 years of age, and the assault resulted in serious bodily injury.
The charges are merely accusations and Young is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Young was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Mexican National Pleads Guilty to Violating the Federal Firearms and Immigration LawsRead the Press Release
ALBUQUERQUE – Luis Anthony Tobanche, 34, a Mexican national illegally present in the United States, pleaded guilty this afternoon to violating the federal firearms and immigration laws.
Tobanche was arrested in March 2013, based on a criminal complaint charging him with being a felon in possession of a firearm. Tobanche was indicted in Aug. 2013 and charged with unlawfully possessing firearms and ammunition on March 5, 2013, and unlawful reentry by a previously deported alien. At the time, Tobanche was prohibited from possessing firearms or ammunition because he previously had been convicted of aggravated battery and assault with a deadly weapon, cocaine trafficking and heroin trafficking in 2006, and battery on a peace officer in 2010.
According to court filings, Tobanche unlawfully possessed firearms and ammunition on March 5, 2013, while on the grounds of the Sandia Casino on Sandia Pueblo, N.M. The Casino’s video surveillance cameras recorded a shooting episode in a parking garage during which Tobanche ran towards the elevators after being shot in the neck. Video-footage reveals that Tobanche pointed a firearm towards the vehicle from which the shot was fired. After the vehicle drove away, Tobanche entered the elevator and handed a silver handgun to another person. Deputies of the Bernalillo County Sheriff’s Office subsequently recovered the firearm from that person.
In entering his guilty plea, Tobanche admitted possessing a pistol, a shotgun and ammunition on March 5, 2013, despite his status as a convicted felon. Tobanche also admitted that he previously was deported from the United States in June 2010 and had not obtained authorization to reenter the United States.
Tobanche has been in federal custody since his arrest and remains detained pending sentencing, which has yet to be scheduled. At sentencing, Tobanche faces a statutory maximum penalty of ten years in prison.
This case was investigated by the Albuquerque office of the FBI, the Sandia Pueblo Tribal Police Department and the Bernalillo County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorney Jon K. Stanford. The case is being prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
McLaughlin Man Sentenced for Assault by Striking, Beating and WoundingRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota, man convicted of Assault by Striking, Beating and Wounding was sentenced on May 29, 2014, by U.S. Magistrate Judge William D. Gerdes.
Lemar Chasing Hawk, age 53, was sentenced to 10 months in custody and a $25 special assessment to the Federal Crime Victims Fund.
Chasing Hawk was indicted by a federal grand jury on August 21, 2013. He pled guilty to a Superseding Information on April 17, 2014.
The conviction stems from an incident occurring on June 19, 2013, when a Bureau of Indian Affairs officer was notified that an adult female victim needed assistance. Upon his arrival, the officer made contact with the victim who was at a neighbor’s house and learned that Chasing Hawk had come over to the house, attempted to grab the victim by her hair, pulled her out the back door, and took her back to his apartment next door. Chasing Hawk struck the victim on the back of the head as he was reaching for her to drag her out of the apartment. At the time of the assault, Chasing Hawk and the victim were in an intimate relationship.
This case was investigated by the Bureau of Indian Affair, Standing Rock Law Enforcement Agency. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Chasing Hawk was immediately turned over to the custody of the U.S. Marshals Service.
Manderson Man Charged with Sexual AbuseRead the Press Release
United States Attorney Brendan V. Johnson announced that a Manderson, South Dakota, man has been indicted by a federal grand jury on one count of Aggravated Sexual Abuse and two counts of Sexual Abuse of a Minor.
Thomas Rowland, age 22, was indicted on May 20, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on June 2, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is life in custody and/or a $250,000 fine, a lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Rowland engaging in sexual acts with a female child between March 1 and April 30, 2013.
The charges are merely accusations and Rowland is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case.Rowland was released on bond pending trial. A trial date has been set for August 5, 2014.
Lower Brule Man Sentenced for Assault Resulting in Substantial Bodily Injury to A Spouse or Dating PartnerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man convicted of Assault Resulting in Substantial Bodily Injury to a Spouse or Dating Partner was sentenced on May 28, 2014, by U.S. District Judge Roberto A. Lange.
Shane Coleman, age 25, was sentenced to 15 months in custody, 2 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Coleman was indicted by a federal grand jury on November 14, 2013. He pled guilty to an Information on March 11, 2014.
The conviction stems from an incident on July 11, 2013, when Coleman and the victim, who have been involved since 2009, began to argue. The victim gathered up her things and their children and attempted to leave the residence.
The two began to argue again. Coleman picked up the victim and threw her to the floor, knocking the wind out of her. Coleman then came up behind the victim, put his arm around her neck, and began to strangle her. The victim was on one knee on the floor. She could feel Coleman squeezing her neck and she eventually lost consciousness. When the victim regained consciousness, she was able to leave the residence with her children.
This case was investigated by the Bureau of Indian Affairs. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Coleman was immediately turned over to the custody of the U.S. Marshals Service.
Local Chemical Engineer Indicted on Federal Charges in Trade Secrets CaseRead the Press Release
DALLAS — A Ph.D. chemical engineer from Terrell, Texas, Dr. Mattias Tezock, self-surrendered to special agents of the FBI this morning on felony offenses outlined in a federal indictment returned last week by the grand jury, stemming from his use of trade secrets stolen from his former employer, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Dr. Tezock is charged with four counts of unauthorized possession of stolen trade secrets. He made his initial appearance is federal court this afternoon in Dallas and was released on bond.
From April 12, 2004, to September 30, 2005, Tezock was employed as a chemical engineer at Voltaix, LLC, a multinational corporation, headquartered in North Branch, New Jersey, which manufactures specialty chemicals for the semiconductor and solar energy industries. Over approximately 25 years and at great expense, according to the indictment, Voltaix developed a specific, industry-leading and exacting secret and confidential scientific method to make and purify germane to specifications required by its customers. In particular, Voltaix developed a particular secret and confidential recipe that it uses to manufacture high-purity germane, as required by its customers. It has taken reasonable measure to keep this information secret and confidential and it derives economic value from it not being known to, or readily ascertainable through proper means, by the public.
As part of his employment at Voltaix, Tezock signed and agreed to an “Employment and Non-Compete Agreement” and an “Employee Confidentiality Acknowledgement Form” when he joined the company, which prohibited him from improper disclosures of Voltaix’s confidential, proprietary and trade secret information. While he was employed at Voltaix, Tezock primarily worked on the pre-commissioning of Voltaix’s germane processing and manufacturing plant. Tezock’s employment was terminated as of September 30, 2005.
The indictment alleges that Tezock later moved to Terrell and opened Metaloid Precursors, Inc., a company set up to manufacture, produce, purify and sell the specialty gas, germane. According to the indictment, from September 30, 2005 until at least March 17, 2011, Tezock unlawfully possessed confidential, proprietary and trade secret information from Voltaix, and he attempted to convert, and did convert, that information for his economic benefit by developing, manufacturing, marketing and selling the germane. After his termination from Voltaix, Tezock almost immediately began taking steps to misappropriate Voltaix’s confidential, proprietary and trade secret recipes and process for manufacturing and purifying high-purity germane gas (GeH4), a hazardous chemical, by creating a competing business entity and attempting to steal business from Voltaix by actively soliciting at least one of Voltaix’s customers.
In addition, according to the indictment, during subsequent civil litigation brought by Voltaix, Tezock took steps to hide his possession of this trade secret information by deleting files or manipulating computer evidence in an attempt to prevent Voltaix from learning the scope and magnitude of his breach. He also provided false testimony about it under oath in a deposition in the civil litigation.
An indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. If convicted, each count of theft of trade secrets carries a maximum statutory penalty of 10 years in federal prison and a $250,000 fine. The indictment also includes a forfeiture allegation that would require Tezock, if convicted, to forfeit to the government all proceeds traceable to the offense. Restitution could also be ordered.
The FBI is investigating the case. Assistant U.S. Attorneys J. Nicholas Bunch and Paul Yanowitch are prosecuting.
(Download Factual Basis)
Lake Andes Man Convicted of Aggravated Sexual Abuse of A ChildRead the Press Release
United States Attorney Brendan V. Johnson announced that Sylvan Godfrey, age 51, of Lake Andes, South Dakota, was convicted of one count of Aggravated Sexual Abuse of a Child and found not guilty of one count of Aggravated Sexual Abuse of a Child as a result of a two day federal jury trial in Pierre, South Dakota.
The charges carry a maximum penalty of life in custody and/or a $250,000 fine, 5 years up to life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Godfrey was indicted by a federal grand jury on July 17, 2013, on two counts of Aggravated Sexual Abuse of a Child.
The conviction stems from an incident that took place between July 27, 2006, and November 16, 2007, when the victim and her sister were taken to a drinking party at Milks Camp in Gregory County, at which Godfrey was present. The victim and her sister were sleeping in a back bedroom during the party when Godfrey entered the room. Godfrey touched the victim’s groin and inner thigh, skin to skin. Godfrey left the room when the victim began to cry. The victim was under the age of 12 when the incident occurred.
This case was investigated by the Federal Bureau of Investigation and the Rapid City Police Department. Assistant U.S. Attorney Marie H. Ruettgers prosecuted the case.
A presentence investigation was ordered and a sentencing date was set for August 11, 2014. The defendant was remanded to the custody of the U.S. Marshals Service.
Justice Department and Montana Officials to Hold Press Conference Announcing Negotiated Agreements Regarding the Handling of Sexual Assault CasesRead the Press Release
Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels, U.S. Attorney for the District of Montana Michael Cotter, Montana Attorney General Tim Fox, Missoula County Attorney Fred Van Valkenburg and Missoula County Commissioner Bill Carey will hold a press conference TOMORROW, TUESDAY, JUNE 10, 2014 at 1:00 p.m. EDT (11:00 a.m. MDT), to announce negotiated agreements regarding the handling of sexual assault cases.
WHO: Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels U.S. Attorney for the District of Montana Michael Cotter Montana Attorney General Tim Fox Missoula County Attorney Fred Van Valkenburg and Missoula County Commissioner Bill Carey
WHAT: Press Conference
WHEN: Tuesday, June 10, 2014 , at 1:00 p.m. EDT (11:00 a.m. MDT)
WHERE: Missoula County Administration Building Commissioners Conference Room 206 , 199 W. Pine Street Missoula, Montana
OPEN PRESS
NOTE: All media must present government-issued photo I.D. (such as driver’s license) as well as valid media credentials. Press inquiries regarding logistics should be directed to the Office of Public Affairs at 202-514-2007.
Justice Department Settles Employment Discrimination Allegations Against City of AustinRead the Press Release
The Department of Justice announced today that it has entered into and filed a consent decree that, if approved by the court, will resolve the department’s allegations that the city of Austin violated Title VII of the Civil Rights Act of 1964 by discriminating against African-American and Hispanic applicants for entry-level firefighter positions at the Austin Fire Department (AFD).
Title VII’s prohibitions of discrimination in employment forbid not only intentional discrimination, but also the use of employment practices, such as written tests, that result in disparate impact against any group based on the race, color, sex, national origin or religion of that group’s members, unless an employer can prove that such practices are job related and consistent with business necessity. Absent such proof, those practices do not identify the best qualified candidates and violate the law. The complaint, filed along with the consent decree in the U.S. District Court for the Western District of Texas in Austin, alleges that in 2012, the city used a written test that disproportionately eliminated African-Americans and Hispanics from the hiring process, and that Austin cannot demonstrate that its use of the test was job related and consistent with business necessity. Similarly, the complaint alleges that Austin’s method of weighting the 2012 assessments and processing candidates in descending rank order by composite score had an adverse impact on individuals in these protected groups who passed the written test, and that this practice was also not job related or consistent with business necessity. The United States has challenged the hiring process Austin planned to use for these positions in 2013 as well.
The Justice Department, along with the city of Austin, filed a joint motion today requesting that the court provisionally approve the consent decree executed by the parties and schedule an initial fairness hearing regarding the terms of the consent decree.
The consent decree requires that Austin no longer use the selection practices challenged by the United States in screening and selecting candidates for the AFD’s entry-level firefighter positions. The decree requires that Austin develop a new, lawful selection procedure that complies with Title VII, and also requires that the city pay $780,000 in back pay to entry-level firefighter applicants who were harmed by the 2012 hiring practice challenged by the United States and who are determined to be eligible for relief. Additionally, African-American and Hispanic applicants determined to be eligible for relief under the decree will be eligible for one of 30 priority appointments to an entry-level firefighter position with the AFD. All applicants must pass the new, lawful selection procedure and other lawful selection procedures in order to be considered for priority hire relief. African-American and Hispanic applicants who are offered priority hire relief are also eligible for retroactive seniority.
“The Department of Justice will not permit employers to use screening and selection devices that adversely affect any protected group unless those devices are shown to properly distinguish between qualified and unqualified applicants,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “The department commends Austin for its efforts to address these issues and to ensure that effective, Title VII-compliant selection practices are put into place.”
The department and the U.S. Equal Employment Opportunity Commission (EEOC) each investigated the AFD’s hiring practices. Today’s proposed resolution was made possible in part through collaboration between the department and the San Antonio Field Office of the EEOC.
More information about Title VII and other federal employment laws is available on the Department of Justice website.
Justice Department Officials to Hold Press Call Announcing Negotiated Agreements Regarding the Handling of Sexual Assault CasesRead the Press Release
Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels and U.S. Attorney for the District of Montana Michael Cotter will hold a press call TOMORROW, TUESDAY, JUNE 10, 2014 at 1:45 p.m. EDT (11:45 a.m. MDT), for reporters who are unable to attend in person the 1:00 p.m. EDT (11:00 a.m. MDT), press conference announcing negotiated agreements regarding the handling of sexual assault cases.
WHO: Acting Assistant Attorney General for the Justice Department’s Civil Rights Division Jocelyn Samuels and U.S. Attorney for the District of Montana Michael Cotter
WHAT: Press Conference Call
WHEN: Tuesday, June 10, 2014 at 1:45 p.m. EDT (11:45 a.m. MDT)
CALL IN: 1-800-860-2442 Call title: Press Call on Missoula, Montana, Agreement
NOTE: Participants will be asked for their name and media outlet. Press inquiries may be directed to the Office of Public Affairs at 202-514-2007.
Illegal Alien Sentenced to 21 Months in Prison in Scheme to Ship Stolen Vehicles to West AfricaRead the Press Release
Baltimore, Maryland - U.S. District Judge J. Frederick Motz sentenced Eric Olaniyan, age 53, a Nigerian citizen residing illegally in Laurel, Maryland, today to 21 months in prison followed by three years of supervised release for conspiring to commit interstate transportation of stolen vehicles. Upon completion of his sentence, Olaniyan will be transferred into ICE custody pending immigration removal proceedings. Judge Motz also entered an order that Olaniyan pay $65,040.46 in restitution.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); U.S. Customs and Border Protection Baltimore Port Director Andrii Melnyk; and Chief Mark A. Magaw of the Prince George’s County Police Department, Washington Area Vehicle Enforcement (WAVE) unit.
According to Olaniyan’s plea agreement, from 2012 through April 22, 2013, Olaniyan and others shipped stolen cars from the United States to countries in West Africa for resale. The conspirators hired others to steal the vehicles with the keys, so that the vehicles could be more easily sold. Olaniyan was paid cash to store the stolen vehicles at a parking lot or other locations, known as “cooling spots.” The stolen vehicles were subsequently loaded into containers and shipped to buyers in Africa.In early March 2013, a Prince George’s County Police detective located three stolen vehicles parked near Olaniyan’s residence. The movements of the vehicles were tracked through April 2, 2014, and all eventually ended up at warehouses known to be used for loading shipping containers that are exported from the United States. On April 12, 2014, the CBP Baltimore Vehicle Export Team examined the contents of a container and located the three stolen vehicles in the container, as well as a fourth vehicle which had also been reported stolen.
On April 22, 2013, a search warrant was executed at Olaniyan’s apartment. Eight stolen vehicles were found parked in the area. The keys to all eight stolen vehicles were seized from Olaniyan’s apartment, along with a counterfeit vehicle title for one of the vehicles.
The loss associated with the vehicles for which Olaniyan participated in the scheme was over $200,000.
United States Attorney Rod J. Rosenstein commended the HSI Baltimore, CBP and Prince George’s County Police Department WAVE unit for their work in the investigation. Mr. Rosenstein also praised the Howard County Police Department, Maryland State Police and the Regional Auto Theft Task Force (RATT) for their assistance in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the case.
INTERPOL Secretary General Launches Global Awareness Campaign Entitled Turn Back CrimeRead the Press Release
INTERPOL Secretary General Launches Global Awareness Campaign Entitled Turn Back Crime
Henrietta Man Sentenced for Producing Child PornographyRead the Press Release
ROCHESTER, N.Y.B U.S. Attorney William J. Hochul announced today that Bradley W. Pattee, 57, of Henrietta, N.Y., who was convicted of 13 counts of producing, distributing and possessing child pornography, was sentenced to 47 years in prison by U.S. District Court Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Marisa J. Miller, who handled the case, stated that the defendant came to the attention of law enforcement in December 2011 during an undercover investigation of the online trading of child pornography. Special Agents with Homeland Security Investigations conducted a search warrant at Patee’s residence and seized numerous items of digital media, including computers, hard drives and removable media. During their investigation, agents discovered that the defendant had also produced child pornography by taking pictures of a child under the age of 18 engaged in sexually explicit conduct.
“Today’s punishment sends a strong message, if you engage in crime that could have lifelong effects on our children, you will be prosecuted to the fullest extent,” said U.S. Attorney Hochul. “As today’s punishment shows, such conduct could also result in a lengthy sentence from the court.”
"While today’s significant sentencing cannot restore the loss innocence of the children depicted in the voluminous and monstrous images found in the defendant’s possession, it should serve as a stark warning to those who engage in this behavior — HSI and our partners will be relentless in our pursuit of those who sexually exploit children," said James Spero, Special Agent in Charge for HSI Buffalo.
The sentencing is the culmination of an investigation on the part of Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.Henderson County Woman Guilty of EmbezzlementRead the Press Release
Department of Justice
Office of Public AffairsTYLER, TEXAS – A 54-year-old Murchison, Texas woman has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales.
Deborah Cornett pleaded guilty to an Information charging her with embezzlement by a bank employee today before U.S. Magistrate Judge K. Nicole Mitchell.
According to information presented in court, from November 2007 to May 2013, Cornett was an officer and employee of the First State Bank of Ben Wheeler. During that time, Cornett embezzled approximately $334,736.43 from bank payroll accounts, the bank Christmas Club account, certificates of deposit, and from fraudulently issued bank loans.
Cornett faces up to 30 years in federal prison at sentencing. A sentencing date has not been set.
This case is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Nathaniel C. Kummerfeld.
Greg Jeffreys Sentenced to 8 Years in Federal Prison and Ordered to Make $9.3 Millions in RestitutionRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Gregory D. Jeffreys, of Spokane, was sentenced today after having previously pleaded guilty in November, 2013, to several criminal charges -- Wire Fraud affecting a Financial Institution, Bank Fraud, Wire Fraud, and Conspiracy to Commit Felony Criminal Contempt. Following a three day sentencing and restitution hearing, United States District Court Chief Judge Rossana Malouf Peterson sentenced Jeffreys to an eight-year term of imprisonment, to be followed by a five-year term of court supervision after he is released from Federal prison. In addition to substantial criminal forfeiture, Chief Judge Peterson ordered Jeffreys pay $9.3 million in total restitution to approximately 29 different victims.
According to court records, from 2006 through 2013, Jeffreys engaged in a series of fraudulent schemes in and around Spokane, Washington and Las Vegas, Nevada. In addition to operating a multi-state Ponzi scheme, Jeffreys' fraud crimes also involved transactions relating to the Military Entrance Processing Station (MEPS) in Airway Heights, Washington, and the Ridpath Hotel in downtown Spokane, Washington. In particular, Chief Judge Peterson ordered Jeffreys to make $2.6 million in restitution relating to Ridpath Hotel transactions.
Michael C. Ormsby said, "Prosecuting fraud and other white collar crime is a priority of the United States Attorney's Office in the Eastern District of Washington. Greg Jeffreys became a notorious fraudster in the Spokane area and elsewhere. I commend the FBI and members of my office for their dedication and tenacity in unraveling Jeffreys' fraudulent schemes and vigorously pursuing restitution for the victims of Jeffreys' crimes. This Office, together with its Federal and state law enforcement partners, is and will continue to be committed to prosecuting aggressively and seeking appropriate punishment for these types of crimes and restitution for the victims."
This investigation was conducted by FBI. The case was prosecuted by Sean T. McLaughlin, an Assistant United States Attorney for the Eastern District of Washington.
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Fund Manager Arrested and Charged in $17 Million Ponzi SchemeRead the Press Release
A five-count indictment was unsealed this morning in federal court charging James M. Peister, a fund manager who resides in St. James, New York, with securities, wire and mail fraud in connection with his operation of a $17 million Ponzi scheme. The defendant is in custody and will be arraigned this afternoon before United States District Judge Joseph F. Bianco at the United States Courthouse in Central Islip, New York. In addition, the government seized the defendant’s Hummer sport utility vehicle and seeks to forfeit the home in St. James, New York, he paid for with the victims’ investments.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York, and George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI).
According to the indictment and other court filings, between January 2000 and June 2009, Peister raised more than $17 million from at least 74 investors in connection with an investment fund that he managed. He had assured those investors that their money would be invested safely in a variety of securities, including stocks, futures and fixed income instruments. Instead of investing the money as he had promised, Peister misappropriated the money to run a Ponzi scheme. Among other things, he used the investors’ money to pay millions of dollars in redemptions to his victim investors to keep the Ponzi scheme afloat and to purchase luxury items such as an expensive estate in St. James and a Hummer luxury vehicle. To avoid detection and continue the scheme, Peister sent phony account statements to investors that falsely showed that their funds were invested and performing well. Additionally, Peister submitted bogus financial statements to the investment fund’s independent auditor, causing the auditor to overstate the value and profits of the investment fund to the victim investors. As a result, investors believed that the funds were performing satisfactorily, and they continued to invest their money with Peister. Peister’s Ponzi scheme collapsed in the wake of the financial crisis in 2008, when he could no longer keep up with demands for redemptions from nervous investors.
“As alleged, Peister preyed upon innocent investors to construct his house of cards. But that house collapsed under the weight of his lies,” stated United States Attorney Lynch. “Peister promised investors that he would invest their money safely and responsibly. Instead, he stole their money to finance his personal life style. Now, he will be held to account for his crimes. This Office will aggressively investigate and prosecute those who commit financial crimes and victimize investors.” Ms. Lynch expressed her grateful appreciation to the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission for their cooperation and assistance in the investigation.
FBI Assistant Director-in-Charge Venizelos stated, “As alleged, for years Peister swindled and conned innocent investors out of their hard-earned money to support his lavish lifestyle. He made false representations about the success of the investment fund to keep the financial scheme afloat and unsuspecting investors at bay. His actions serve as an example of the unconscionable greed that fuels these all too common fraud cases. The FBI is committed to investigating those who prey upon trusting individuals for their own personal gain.”
The charges contained in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, the defendant faces a maximum sentence of 20 years’ imprisonment on each of the securities fraud, wire fraud and mail fraud counts. Additionally, if convicted, Peister may be fined up to $5,000,000 for the securities fraud count and $250,000 for each of the wire and mail fraud counts.
The government’s case is being prosecuted by Assistant United States Attorneys Jacquelyn M. Kasulis, Jonathan P. Lax and Brian D. Morris.
This prosecution was the result of efforts by President Barack Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ Offices, and state and local partners, it’s the broadest coalition of law enforcement, investigator and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state, and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants. For more information on the task force, visit http://www.StopFraud.gov.
The Defendant:
JAMES M. PEISTER
Age: 62
St. James, New York
Former Mingo Judge Sentenced to 4+ Years in Federal PrisonRead the Press Release
CHARLESTON, W.Va. – Former Mingo County circuit judge Michael Thornsbury was sentenced today to four years and two months in federal prison, United States Attorney Booth Goodwin announced. The sentence comes after Thornsbury admitted his role in a conspiracy to coerce a local drug defendant, George White, into firing his defense counsel. According to Thornsbury, he and other Mingo officials, including former county commissioner David Baisden, former prosecuting attorney Michael Sparks, and former sheriff Eugene Crum, learned that White was prepared to testify that then-Sheriff Crum had illegally received prescription pain medication and obtained unlawful campaign contributions. In order to protect Crum from the impact of White’s allegations, including possible federal investigation, Thornsbury, Baisden, Sparks, Crum, and others conspired to pressure White into firing his defense attorney and replacing him with another attorney handpicked by the conspirators. After switching lawyers, White dropped his allegations against Crum and was sentenced to up to fifteen years in state prison.
"Mr. Thornsbury's conduct was shocking and appalling,” said U.S. Attorney Goodwin. “It was worthy of a stiff sentence. I’d like to see this whole episode be a call to action for all of us to make sure that this ‘Boss Hogg’ style of politics is a thing of the past—because it simply can’t be a part of our future."
In August 2013, a federal grand jury also charged Thornsbury with conspiring to frame the husband of a woman with whom he was in a romantic relationship. In imposing today’s sentence, United States District Judge Thomas E. Johnston compared Thornsbury’s abuses of office to the actions of a Third World dictator.
With today’s sentence, Thornsbury becomes the third former Mingo official sent to federal prison in a wide-ranging federal corruption probe. He joins Baisden, sentenced in January to 20 months’ imprisonment, and former Mingo County chief magistrate Dallas Toler, sentenced in March to 27 months in prison. All three officials resigned their offices after being charged with federal crimes. Sparks, the fourth official charged in the investigation, has also resigned as a result of the charge against him and is scheduled to be sentenced July 7, 2014.
The investigation of corruption in Mingo County is being conducted by the Federal Bureau of Investigation and the West Virginia State Police. Counsel to the United States Attorney Steven R. Ruby and Assistant United States Attorney C. Haley Bunn are in charge of the prosecutions.
Click here to hear an audio clip from U.S. Attorney Goodwin.
Former Arlington County Employee Sentenced for Taking BribesRead the Press Release
ALEXANDRIA, Va. – Francisco Samayoa Hernandez (“Samayoa”), 33, of Silver Spring, Maryland, was sentenced today to 24 months in prison, followed by three years of supervised release, for receiving bribes in connection with his work as a tax assessor supervisor at the Arlington County Department of Motor Vehicles (DMV) Select office. Samayoa also was ordered to pay approximately $21,000 in restitution to the DMV and to forfeit $11,480 in bribe payments to the government.
Dana J. Boente, United States Attorney for the Eastern District of Virginia; and Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema.Samayoa pleaded guilty on March 18, 2014. According to court documents, from July 2012 through November 2013, Samayoa received $11,480 in bribes from a vehicle exporter in exchange for providing vehicle titles and falsifying DMV paperwork that allowed the exporter to avoid paying state motor vehicle sales and use tax in connection with the registration and titling of various luxury automobiles. In exchange for the bribes, Samayoa enabled the exporter to avoid paying approximately $25,000 due to the Commonwealth of Virginia for the registration and titling of a Lamborghini and multiple Ferraris, Porsches and Mercedes. Samayoa also enabled another individual to avoid paying approximately $16,536 in state motor vehicle sales and use tax in connection with the registration and titling of twoLamborghinis.
Samayoa was an Arlington County employee, and the Arlington County Commissioner of Revenue contracts with the DMV to provide vehicle-related services at its local office.Samayoa also served as a straw buyer for the exporter and purchased three BMWs in his name. In connection with these transactions, Samayoa falsely certified to a dealership that he was not purchasing the vehicle for export, and the dealership relied on that certification in making the sale.
This case was investigated jointly by the FBI’s Washington Field Office and the Virginia DMV Office of Enforcement and Compliance, Law Enforcement Division. Assistant U.S. Attorney Paul J. Nathanson prosecuted the case.
Any person who believes they may have information regarding public corruption in the northern Virginia area is encouraged to call the FBI’s Northern Virginia Public Corruption Hotline at 703-686-6225 or send an email to [email protected].
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.
Essex County, N.J., Man Sentenced to 114 Months in Prison for Role in Armed CarjackingRead the Press Release
NEWARK, N.J. – An Essex County, N.J., man was sentenced today 114 months in prison for his role in an armed carjacking in Newark on Nov. 8, 2012, U.S. Attorney Paul J. Fishman announced.
Nathaniel Tullies, 20, of East Orange, N.J., previously pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an information charging him with one count of theft of a motor vehicle by force, violence, and intimidation, and one count of use of a firearm in furtherance of a crime of violence. Judge Hayden imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
On Nov. 8, 2012, an individual got out of a 2006 Chevrolet Impala to open a garage door when Tullies and an accomplice got on either side of the car, took it from the victim at gunpoint and drove away. The victim called police, who responded within minutes. A Newark police detective spotted the vehicle and a high-speed chase ensued, ending when the Impala crashed on the shoulder of Routes 1/9, the suspects fled on foot and the detective chased and captured Tullies.
In addition to the prison term, Judge Hayden sentenced Tullies to three years of supervised release and ordered him to pay restitution of $6,486.
U.S. Attorney Fishman credited detectives with the Essex County Prosecutor’s Office, under the Direction of Acting Prosecutor Carolyn A. Murray, and investigators in the U.S. Attorney’s Office with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Elizabeth M. Harris and Assistant U.S. Attorney Jonathan Romankow, acting deputy chief of the general crimes unit, in Newark.
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Defense counsel: Peter Carter Esq., Assistant Federal Public Defender, Newark
East Lyme Man Sentenced to 37 Months in Federal Prison for Distributing HeroinRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that LESTER FANTAUZZI, 47, of East Lyme, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 37 months of imprisonment, followed by three years of supervised release, for distributing heroin.
In early 2012, Homeland Security Investigations (“HSI”), the U.S. Secret Service and the New London Police Department initiated an investigation to combat the large-scale trafficking of heroin and cocaine from the Dominican Republic and Puerto Rico into and around southeastern Connecticut. More than 100 individuals were charged with federal and state offenses as a result of this investigation.
According to court documents and statements made in court, FANTAUZZI regularly purchased raw heroin from Luis Ariel Capellan Maldonado and distributed the drug to his own customer base from the Globe Spirit Shop, a liquor store he operated in New London.
FANTAUZZI was arrested on April 3, 2013. On January 6, 2014, he pleaded guilty to one count of conspiracy to possess with the intent to distribute heroin.
Capellan Maldonado has pleaded guilty and awaits sentencing.
This matter is being investigated by Homeland Security Investigations; U.S. Secret Service; U.S. Postal Inspection Service; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Customs and Border Protection, Office of Air and Marine; Connecticut State Police; New London Police Department, Norwich Police Department, Waterford Police Department, Groton Town Police Department, East Lyme Police Department and Putnam Police Department. The United States Marshals Service; ICE Enforcement and Removal Operations; Drug Enforcement Administration; HSI Assistant Attaché, Santo Domingo, Dominican Republic; HSI Arecibo, Puerto Rico Resident Office; Internal Revenue Service – Criminal Investigation; Connecticut Department of Correction, Parole and Community Services; and the Groton City, Willimantic, New Haven and Bristol Police Departments have provided valuable assistance to the investigation.
The federal cases are being prosecuted by Assistant U.S. Attorneys Alina P. Reynolds, Sarah P. Karwan and Henry K. Kopel. The state cases are being prosecuted by the State’s Attorney for the New London Judicial District and Senior Assistant State’s Attorneys Paul Narducci and Stephen Carney.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Colorado Man SentencedFor Bank Robbery in LawrenceRead the Press Release
TOPEKA, KAN. – A Colorado man was sentenced Monday to two years in federal prison for a bank robbery in Lawrence, U.S. Attorney Barry Grissom said.
Matthew W. Headley, 38, Canon City, Colo., pleaded guilty to a Sept. 5, 2013, robbery at the US Bank, 1807 W. 23rd Street in Lawrence. In his plea he admitted he was wearing a golf hat and pajama pants when entered the bank and handed a teller a note saying, “100s and 50s now.” Officers of the Lawrence Police Department arrested him soon after that at a convenience store not far from the bank.
Grissom commended the Lawrence Police Department, the FBI and Assistant U.S. Attorney Mike Warner for their work on the case.City of Tanana Employees Sentenced to Prison for Wire Fraud and TheftRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that two Fairbanks men were sentenced on Friday, June 6, 2014, in federal court in Fairbanks after being found guilty of wire fraud and theft from a local government receiving federal funds.
Alfred Richard Ketzler, Jr., also known as “Bear” Ketzler, 57, of Fairbanks, Alaska, was sentenced to 16 months in prison to be followed by two years of supervised release by Chief U.S. District Court Judge Ralph R. Beistline. Ketzler pled guilty in March 2014. Ketzler has already paid restitution to the City of Tanana in the amount of $116,500.Alfred McQuestion Fabian, 62, of Fairbanks, Alaska, was sentenced to six months in prison to be followed by two years of supervised release by Chief U.S. District Court Judge Ralph R. Beistline. Fabian pled guilty in March 2014.
Assistant U.S. Attorney Yvonne Lamoureux, who prosecuted the case, noted that according to filings with the court, Ketzler and Fabian participated in a three-year scheme to defraud and obtain money and property by means of materially false and fraudulent pretenses and representations. Specifically, Ketzler, as the City Manager for the City of Tanana, and Fabian, as the expediter for the City of Tanana, abused their positions of trust to obtain excess federal property through the Federal Personal Property Utilization Program and illegally sell the property for personal gain and convert the property for personal use. Between December 2009 and November 2012, Ketzler and Fabian received at least $122,000 in illegally obtained payments for the sales of about 11 pieces of equipment, including trucks, fork lifts, and other heavy industrial equipment. They deposited the money from the illegal sales of the property into their personal bank accounts.
In sentencing Ketzler, Judge Beistline noted the need for the sentence to deter not only the defendant but also other people from abusing their positions of trust. Judge Beistline also noted that the purpose of the Federal Personal Property Utilization Program was not to enrich city managers or individuals, and that the victims of the defendants’ crimes include the Federal Personal Property Utilization Program, the other native and rural communities that could have benefited from the Program, and taxpayers.
Kevin Feldis, First Assistant U.S. Attorney, stated that “The United States Attorney’s Office is dedicated to prosecuting those who steal from federal programs. All citizens are victims when someone steals federal property or fraudulently abuses federal programs for their own personal gain.”
“This federal excess property was supposed to benefit the City of Tanana, Alaska, not be illegally sold by city officials for personal profit,” said U.S. General Services Administration Acting Inspector General Robert C. Erickson.
Ms. Loeffler commends the Federal Bureau of Investigation and the General Services Administration Office of Inspector General for conducting the investigation leading to the successful prosecution of Ketzler and Fabian.Career Offender Sentenced to 110 Months for Possession with Intent to Distribute MethamphetamineRead the Press Release
EUGENE, Ore. – On June 9, 2014, Gretchan Anderson, 43, of Portland, Oregon, was sentenced by U.S. District Judge Michael McShane to 110 months in federal prison, in addition to the time she has been in custody since July of 2013, for possession with intent to distribute methamphetamine. Upon her release from prison, Anderson will be on supervised release for four years.
Anderson is a career offender who was caught twice last year dealing methamphetamine. The first of those two incidents happened on February 26, 2013 in Portland and resulted in state charges. During the pendency of that state case, on July 19, 2013, law enforcement apprehended Anderson as she was traveling from Portland to Lane County to distribute methamphetamine, which resulted in the instant federal charge. Anderson has a lengthy criminal history including convictions for burglary in the first degree and manufacture of a controlled substance.
This case was investigated by DEA and the Lane County Interagency Narcotics Enforcement Team, and was prosecuted by Assistant U.S. Attorney Nathan J. Lichvarcik.