Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Friday 4 April 2014
Vero Beach Resident Charged in Series of Armed RobberiesRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Hugo J. Barrera, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, Deryl Loar, Indian River County Sheriff, and Ric Bradshaw, Palm Beach County Sheriff’s Office, announce that Glenn Thomas Carvajal, 34, of Vero Beach, has been charged in an indictment for two armed robberies of Treasure Coast GameStop stores. Carvajal was arraigned today before U.S. Magistrate Judge Frank J. Lynch Jr. in Ft. Pierce and is being detained, pending trial, as a risk of flight and danger to the community.
Carvajal was charged with two counts of interfering with commerce by threats or violence (robbery), in violation of Title 18, United States Code, Section 1951(a), and two counts of possessing and brandishing a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c)(1)(A). If convicted of interfering with commerce by threats or violence (robbery), the defendant faces a possible statutory maximum sentence of up to 20 years in prison. If convicted of possessing and brandishing a firearm in furtherance of a crime of violence, the defendant faces a consecutive seven year term in prison. If convicted of the second count of possessing and brandishing a firearm in furtherance of a crime of violence, the defendant faces another consecutive 25 year term in prison.
According to documents filed in the case, Carvajal, a former GameStop manager, robbed a total of three GameStop stores, in less than two weeks. This robbery spree, which spanned three Florida counties, began on October 8, 2013, at the GameStop store located in Brevard County. On October 10, 2013, Carvajal robbed the Game Stop store located in Indian River County. Carvajal’s spree ended after the October 17, 2013 armed robbery of the GameStop store located in Palm Beach County. During each of the robberies, Carvajal wore a baseball cap and sunglasses, and handed the store clerks a note, as he brandished a handgun in his waistband. Carvajal would instruct the employees to set the store safe timer, and used a number of GameStop terms, used primarily by GameStop employees.
This case is a result of Project Safe Neighborhoods (PSN). PSN is a Department of Justice nationwide initiative that combines traditional law enforcement activities with community-based support and intervention programs. The two primary goals of the PSN initiative are to reduce and prevent violent crimes and to help past offenders adjust and re-enter the community.
Mr. Ferrer commended the investigative efforts of ATF, the Indian River County Sheriff’s Office, the Palm Beach County Sherriff’s Office and the Melbourne Police Department. The case was prosecuted by Assistant U.S. Attorney Carmen Lineberger.
An indictment is only an accusation, and a defendant is presumed innocent unless and until proven guilty.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Venice Man Sentenced for "Crack” Cocaine DistributionRead the Press Release
Follow @SDILNewsNathan V. Young, 23, from Venice, Illinois, was sentenced on April 3, 2014, in federal district court, in East St. Louis, Illinois, on one count of cocaine distribution in the form of “crack” cocaine, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
Young was sentenced to 63 months in prison, three years of supervised release, fined $600, and ordered to pay $100 special assessment. Court proceedings revealed that Young sold over 5 grams of cocaine base in the form of “crack” on June 13, 2013, to a confidential informant in Venice, Illinois, at the direction and arrangement of ATF agents.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant United States Attorney Daniel T. Kapsak.
U.S. Attorney's Office, Caddo District Attorney's Office, Caddo Parish Sheriff’s Office Celebrate the 30th Anniversary of Victims Crime Act with Blood DriveRead the Press Release
SHREVEPORT, La. –U.S. Attorney Stephanie A. Finley, along with Caddo Parish District Attorney Charles Rex Scott and Caddo Parish Sheriff Steve Prator, are sponsoring a blood drive during National Crime Victims’ Rights Week, which starts April 6.
The Blood Drive will be held Monday, April 7, 2014 from 12:30 p.m. to 4:30 p.m. at the Caddo Parish Courthouse, 501 Texas St., Shreveport. This gives the community an opportunity to honor someone they know who has been a victim of a crime by donating a pint of blood in their honor or memory. This year’s theme - 30 Years: Restoring the Balance of Justice - presents an opportunity to remind us of how far we have come in aiding crime victims, but also of how much work is yet to be done.
“National Crimes Victims’ Rights Week will be held April 6 through April 12 in communities throughout the nation, including our very own,” Finley stated. “We hope that the public can come out and support this chance to save a life and honor a loved one. I want to thank the Caddo Parish Sheriff’s Office and District Attorney for co-sponsoring this event.”
“Crime victimization really knows no boundaries, and chances are you know someone who has been impacted,” said Caddo Parish Sheriff Steve Prator. “You can show your support by giving blood in their name and help save a life in the process.”
“We stand with victims of crime every day,” said Caddo Parish District Attorney Charles Rex Scott. “Participate in the blood drive and honor the victims of crime and their families in this special way.”
Just 30 years ago, crime victims had virtually no rights and no assistance. The criminal justice system often seemed indifferent to their needs. Victims were commonly excluded from courtrooms and denied the chance to speak at sentencing. They had no access to victim compensation or services to help rebuild their lives. There were few avenues to deal with their emotional and physical wounds. Victims were on their own to recover their health, security, and dignity.
Today, the nation has made dramatic progress in securing rights, protections, and services for victims. Every state has enacted victims’ rights laws and all have victim compensation programs. More than 10,000 victim service agencies now help people throughout the country. In 1984, Congress passed the bipartisan Victims of Crime Act (VOCA), which created a national fund to ease victims’ suffering. Financed not by taxpayers but by fines and penalties paid by offenders, the Crime Victims Fund supports victim services, such as rape crisis and domestic violence programs and victim compensation programs that pay many of victims’ out-of-pocket expenses from the crime, such as counseling, funeral expenses, and lost wages.
For more information on National Crime Victims’ Rights Week, visit the Department of Justice’s web page on the subject at ovc.ncjrs.gov/ncvrw.
U.S. Attorney Goodwin and State Advocates Join Monday to Commemorate Crime Victims' Rights WeekRead the Press Release
***MEDIA ADVISORY***
Commissioner Jim Rubenstein and Others will be Recognized for Assistance to Victims
CHARLESTON, W.Va. – The United States Attorney’s Office for the Southern District of West Virginia, along with various federal, state and local crime victim advocates, will host prelude events in recognition of National Crime Victims’ Rights Week on MONDAY, APRIL 7, 2014. West Virginia Division of Corrections Commissioner Jim Rubenstein and others will be recognized for their efforts to assist victims of crime. This event is being held in conjunction with the nationwide observance honoring National Crime Victims’ Rights Week (NCVRW), which begins on April 6. Monday’s ceremony also marks the 14th Annual Operation Reach Out. Operation Reach Out is a collaborative group of federal, state and local organizations that was formed to raise awareness for NCVRW in West Virginia. This year’s theme is “30 Years: Restoring the Balance of Justice.”WHO: U.S. Attorney Booth Goodwin
Operation Reach Out committee members
Representatives of local and statewide advocacy programs
Survivors of crime
Various federal, state and local officialsAwards Recipients:
Jim Rubenstein, WV Division of Corrections Commissioner
Dave Ballard, Mt. Olive Correctional Complex Warden
West Virginia Correctional Industries
Joyce Yedlosky, Team Coordinator for the West Virginia Coalition Against Domestic Violence
The Counseling ConnectionWHERE: Robert C. Byrd United States Courthouse
300 Virginia Street, East
Fifth FloorCharleston, WVWHEN: MONDAY, April 7, 2014
TIME: A brief reception at NOON, will precede the ceremony and awards presentations. The media is invited and encouraged to attend.Two Men Sentenced to Decades in Prison for Killing A Man During 2009 Kidnapping and Robbery-Second Victim Was Shot and Wounded-Read the Press Release
WASHINGTON –Keith Logan, 51, was sentenced today to life in prison with no possibility of release, and Paul Ashby, also 51, was sentenced today to a 90-year prison term on charges stemming from the 2009 killing of a man during a kidnapping and robbery, U.S. Attorney Ronald C. Machen Jr. announced.
Logan, Ashby, and a third defendant - Merle Watson, Jr., 57 - were found guilty by a jury in August 2013 of first-degree murder while armed, with aggravating circumstances, conspiracy, kidnapping while armed, armed robbery, and weapons offenses. Logan also was found guilty of assault with intent to kill while armed, aggravated assault while armed, and mayhem while armed, for shooting a potential witness on the night of the murder. The verdicts followed several weeks of trial in the Superior Court of the District of Columbia.
The Honorable Herbert B. Dixon, Jr. sentenced Logan and Ashby today. Watson is to be sentenced May 16, 2014. All three defendants are from Washington, D.C.
According to the government’s evidence, Logan, Ashby, and Watson conspired to kidnap and rob Carnell Bolden, 36. They lured Mr. Bolden into Logan’s residence in the unit block of W Street NW during the early evening hours of Dec. 30, 2009. After beating him unconscious and tying him up, the defendants then went to get Mr. Bolden’s car, which was parked on the block.
Logan, Ashby, and Watson then discovered that Mr. Bolden’s girlfriend was sitting in the car. Fearing she would be a witness against them because she might know where Mr. Bolden was going when he left the car, they then decided to kill both of them.
Ashby drove Mr. Bolden, tied up and unconscious, to the 3000 block of Park Drive SE, where he dragged him into a wooded area adjacent to that block. He then shot Mr. Bolden twice at close range with a .38 or .357-caliber handgun, killing him.
While Ashby was on the way to Southeast Washington with Mr. Bolden, Logan approached Mr. Bolden’s girlfriend as she sat in her car. He stood outside the driver’s window and shot her four times with a nine-millimeter handgun. She was rushed to Washington Hospital Center and survived the attack.
In announcing the sentences, U.S. Attorney Machen commended the work of those who investigated the case from the Metropolitan Police Department (MPD), the District of Columbia Department of Forensic Sciences, and the FBI Laboratory in Quantico, Va.
He also thanked those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocates and Specialists Marcia Rinker, La June Thames, Katina Adams-Washington, and Michael Hailey; Paralegal Specialists Sandra Lane, Kendra Johnson, Kwasi Fields, Anthony Griffith, and Antoinette Sakamsa; Litigation Technology Specialists Paul Howell, William Henderson, and Anisha Bhatia; Law Clerks Lauren Sparks and Ryan Lipes, and Criminal Investigators Derek Starliper, Mark Crawford, Nelson Rhone, Chris Brophy, and Melissa Matthews. In addition, he acknowledged the work of Assistant U.S. Attorneys Alessio Evangelista, who led the grand jury investigation, and Reagan Taylor, who helped prepare the case for trial. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Michael C. Liebman and Erik Kenerson, who tried the case.
14-079Two Men Sentenced to Decades in Prison for Killing A Man During 2009 Kidnapping and Robbery-Second Victim Was Shot and Wounded-Read the Press Release
WASHINGTON –Keith Logan, 51, was sentenced today to life in prison with no possibility of release, and Paul Ashby, also 51, was sentenced today to a 90-year prison term on charges stemming from the 2009 killing of a man during a kidnapping and robbery, U.S. Attorney Ronald C. Machen Jr. announced.
Logan, Ashby, and a third defendant - Merle Watson, Jr., 57 - were found guilty by a jury in August 2013 of first-degree murder while armed, with aggravating circumstances, conspiracy, kidnapping while armed, armed robbery, and weapons offenses. Logan also was found guilty of assault with intent to kill while armed, aggravated assault while armed, and mayhem while armed, for shooting a potential witness on the night of the murder. The verdicts followed several weeks of trial in the Superior Court of the District of Columbia.
The Honorable Herbert B. Dixon, Jr. sentenced Logan and Ashby today. Watson is to be sentenced May 16, 2014. All three defendants are from Washington, D.C.
According to the government’s evidence, Logan, Ashby, and Watson conspired to kidnap and rob Carnell Bolden, 36. They lured Mr. Bolden into Logan’s residence in the unit block of W Street NW during the early evening hours of Dec. 30, 2009. After beating him unconscious and tying him up, the defendants then went to get Mr. Bolden’s car, which was parked on the block.
Logan, Ashby, and Watson then discovered that Mr. Bolden’s girlfriend was sitting in the car. Fearing she would be a witness against them because she might know where Mr. Bolden was going when he left the car, they then decided to kill both of them.
Ashby drove Mr. Bolden, tied up and unconscious, to the 3000 block of Park Drive SE, where he dragged him into a wooded area adjacent to that block. He then shot Mr. Bolden twice at close range with a .38 or .357-caliber handgun, killing him.
While Ashby was on the way to Southeast Washington with Mr. Bolden, Logan approached Mr. Bolden’s girlfriend as she sat in her car. He stood outside the driver’s window and shot her four times with a nine-millimeter handgun. She was rushed to Washington Hospital Center and survived the attack.
In announcing the sentences, U.S. Attorney Machen commended the work of those who investigated the case from the Metropolitan Police Department (MPD), the District of Columbia Department of Forensic Sciences, and the FBI Laboratory in Quantico, Va.
He also thanked those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocates and Specialists Marcia Rinker, La June Thames, Katina Adams-Washington, and Michael Hailey; Paralegal Specialists Sandra Lane, Kendra Johnson, Kwasi Fields, Anthony Griffith, and Antoinette Sakamsa; Litigation Technology Specialists Paul Howell, William Henderson, and Anisha Bhatia; Law Clerks Lauren Sparks and Ryan Lipes, and Criminal Investigators Derek Starliper, Mark Crawford, Nelson Rhone, Chris Brophy, and Melissa Matthews. In addition, he acknowledged the work of Assistant U.S. Attorneys Alessio Evangelista, who led the grand jury investigation, and Reagan Taylor, who helped prepare the case for trial. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Michael C. Liebman and Erik Kenerson, who tried the case.
14-079Two El Dorado Hills Women Indicted for Preparing Bogus Tax Returns and Receiving Illegitimate RefundsRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a 28-count indictment today against Barbara Antonucci, 49, and Sherry Taggart, 54, both residents of El Dorado Hills, California, charging them with conspiracy to file false claims, filing false claims, and aggravated identity theft, United States Attorney Benjamin B. Wagner announced.
According to court documents, beginning in March 2008 and continuing through March 2014, Antonucci and Taggart obtained the names, social security numbers and other personal identifying information of other persons. The defendants used this personal information to complete federal tax returns in the names of themselves and other taxpayers. The federal tax returns contained false and fraudulent representations, including false statements regarding wages earned, occupations, and dependents. The defendants filed the false federal tax returns with the IRS through the US Mail and via the internet from Sacramento, Yuba and Placer Counties. Antonucci and Taggart requested that the IRS issue the false and fraudulent income tax refunds in the names of themselves and other taxpayers, from which the defendants took money.
This case was the product of an investigation by the Internal Revenue Service, United States Postal Service, and the Sacramento County Sheriff’s Department. Assistant United States Attorney Kyle Reardon is prosecuting the case.
Antonucci and Taggart were arrested and made their initial appearances in federal court today, April 4, 2014. Both were ordered temporarily detained pending further detention hearing on Monday, April 7, 2014. A status conference before the District Court was set for May 14, 2014.
If convicted of conspiracy to file false claims, Antonucci and Taggart face a maximum statutory penalty of up to 10 years in prison and a $250,000 fine. If convicted of filing false claims, Antonucci and Taggart face a maximum statutory penalty of up to 5 years in prison and a $250,000 fine. Finally, if convicted of aggravated identity theft, Antonucci and Taggart are required to serve a two-year sentence that would be consecutive to any other sentences imposed. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Three Men Sentenced to Federal Prison for Credit Card Fraud ConspiracyRead the Press Release
Orlando, Florida – U.S. District Judge Anne C. Conway yesterday sentenced Nicholas Aaron Brown (19, Queens, NY), Donald Napoleon (21, Winter Haven), and Renington Javier Noa (26, Orlando) for their roles in an access device fraud conspiracy. Brown and Napoleon were both sentenced to 2 years in federal prison. Noa was sentenced to 4 years in federal prison. The court also ordered each to serve a 2-year term of supervised release, following incarceration, and to pay restitution to the victims of this conspiracy. All three individuals pleaded guilty in December 2013.
According to court documents and evidence presented at the sentencing hearing, Brown, Napoleon, and Noa participated in a conspiracy that involved the production of counterfeit credit or debit cards using account numbers belonging to other individuals, which were obtained online. A separately indicted co-conspirator, Andre Aldain Flemming, was the leader of the conspiracy. Flemming obtained the compromised account numbers online from individuals overseas. Members of the conspiracy, including Brown, wired money to individuals overseas to pay for these account numbers. Once Flemming acquired the account numbers, he produced the counterfeit credit or debit cards and provided them to Brown, Napoleon, Noa, and other co-conspirators. The individuals then used the cards to make fraudulent purchases at retail stores. The co-conspirators provided the fraudulently purchased merchandise to Flemming. Flemming paid them a fee and then sold the merchandise on the street for a profit.
Flemming was indicted with additional co-conspirators in a separate case. He pleaded guilty to access device fraud conspiracy and aggravated identity theft on January 9, 2014. His sentencing hearing is scheduled on April 10, 2014.
This case was investigated by the United States Secret Service, with assistance from the Osceola County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Andrew C. Searle.
Three Individuals Indicted for CounterfeitingRead the Press Release
United States Attorney Brendan V. Johnson announced that two women and a man, all from western South Dakota, have been indicted by a federal grand jury for various charges including Counterfeiting and Forging United States Currency.
Gertrude Bearing, age 39, of Rapid City; Craig Janis, age 29, of Kyle; and Tina Brewer, age 37, of Sturgis, were indicted on March 18, 2014. They appeared before U.S. Magistrate Judge Veronica L. Duffy on March 20 and 24, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 20 years 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 charges relate to Bearing, Janis, and Brewer, counterfeiting and/or passing $20 and $100 Federal Reserve Notes in Rapid City on March 1-2, 2014.
The charges are merely accusations and all three are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rapid City Police Department and the U.S. Secret Service. Assistant U.S. Attorney Eric Kelderman is prosecuting the case.
Bearing, Janis, and Brewer were remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for May 27, 2014.
Three Charged in Sex Trafficking and Transportation CaseRead the Press Release
ROCHESTER, N.Y.—Jodia Campbell, 32, Laree Greggs, 37, and Jennifer Miller, 26, all of Rochester, New York, were charged with various felonies including the transportation of a minor in interstate commerce to engage in prostitution and sex trafficking of a minor, United States Attorney William J. Hochul, Jr. of the Western District of New York announced today. Sex trafficking of a minor and the transportation of a minor in interstate commerce to engage in prostitution each carries a mandatory minimum penalty of 10 years imprisonment and a maximum penalty of life imprisonment and a fine of $250,000. The transportation of individuals in interstate commerce to engage in prostitution carries a maximum of penalty of 10 years and a fine of $250,000.
Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that according to the complaints, in April 2013, Rochester Police began investigating the alleged prostitution of a 16 year old female from Rochester, NY, using the name “Cherry Red” on backpage.com in Pennsylvania. According to the complaint, the 16-year-old alleged that she was recruited by Miller and taken to New Jersey and Pennsylvania to engage in prostitution by Miller, Campbell and Greggs. Other adult individuals also alleged having been transported by Greggs, Miller and Campbell at various times, out of state, to prostitute. Investigators reviewed backpage.com ads and found contact information associated with Miller, Campbell and Greggs.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The criminal complaint was the culmination of an investigation on the part of the FBI's Cyber Task Force, which includes the Rochester Police Department under the direction of Chief , the Monroe County Sheriff’s Office under the direction of Chief Patrick O’Flynn and Special Agents of the Federal Bureau of Investigation, under the direction of Brian Boetig, Special Agent in Charge.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.Thirteen Arrested Wednesday in Operation Targeting Methamphetamine and Heroin Distribution in UtahRead the Press Release
SALT LAKE CITY - Thirteen arrests were made Wednesday as a part of a federal Organized Crime Drug Enforcement Task Force case targeting the distribution of methamphetamine and heroin in Utah by alleged members of the La Raza gang and their associates.
The individuals are charged in two indictments unsealed Wednesday and Thursday with distribution of methamphetamine and heroin; conspiracy to distribute methamphetamine and heroin; possession of methamphetamine and heroin with intent to distribute; and money laundering.
During the execution of the arrests and searches Wednesday, law enforcement officers seized approximately 10 pounds of methamphetamine and heroin, seven firearms, eight vehicles, and approximately $175,000 in cash.
Several local and state agencies contributed to the joint operation including the FBI’s Safe Streets Task Force, IRS Criminal Investigation, Salt Lake City, West Valley, Sandy, and West Jordan police departments, the U.S. Marshals Service, the Unified Police Department, the Metro Gang Unit, and the Utah Department of Public Safety. Several other agencies assisted in executing arrest and search warrants Wednesday in the Salt Lake metro area, Richfield, and St. George, including the Utah County Sheriff’s Office, the Utah County Major Crimes Task Force, Utah and Sevier County Sheriffs’ Offices, St. George, Spanish Fork and Richfield police departments, the Utah Highway Patrol, the Washington County Drug Task Force, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Law enforcement officers and prosecutors involved in this case say it is part of a coordinated effort to combat an increasing threat to the safety of Utah communities from the involvement of gangs in drug trafficking. Gang involvement in the retail drug trade poses a risk to communities because distribution activities are routinely associated with violence as disputes over control of drug territory and enforcement of drug debts occurs.
Juan Lazareno, age 30, of Santa Clara, and an individual identified as FNU LNU (first name unknown – last name unknown) are charged with distribution of methamphetamine in an indictment unsealed in St. George Wednesday. Lazareno was arrested Wednesday and appeared before U.S. Magistrate Judge Robert Braithwaite. He is being detained pending a detention hearing to be scheduled later. The potential maximum penalty for the charge is life in prison with a 10-year minimum mandatory sentence.
Thirteen individuals are charged in the second indictment, unsealed Thursday morning in federal court in Salt Lake City. They are Wayne LeRoy Burr aka Miclo, age 30, of Draper; Samuel Covarrubias-Velazquez aka Pollo, age 36, of West Valley City; Javier Corrales, age 34, of Provo; Juan Reveles, age 35, of Richfield; David Miramontes, age 28, of West Valley City; Anthony Pedroza, age 26, of West Valley City; Carlos Tenengueno, age 24, of Sandy; Jose Munoz, age 26, of Salt Lake City; Beatriz Miramontes, age 56, of Richfield; Elisa Gallardo, age 27, of Draper; Guillermo Miramontes, age 22, of Salt Lake City; and William Reveles, age 34, of West Valley City. Alejandro Arciniega-Zetin, age 24, of Salt Lake City has not been arrested.
Burr and Covarrubias-Velazquez are charged in the first two counts of the indictment with conspiracy to distribute methamphetamine and heroin. The indictment alleges that beginning at least by May 1, 2013, and continuing until at least Jan. 21, 2014, the pair conspired to distribute 500 grams or more of a substance containing a detectable amount of methamphetamine and one kilogram or more of a substance containing a detectable amount of heroin. The majority of the 31-counts in the indictment charge defendants with distribution of methamphetamine; possession of methamphetamine with intent to distribute; distribution of heroin, possession of heroin with intent to distribute; and money laundering.
There are 25 drug trafficking counts in the indictment. Each of them, with the exception of counts 14, 15, 20 and 21, has a potential life sentence with a 10-year minimum mandatory sentence. Counts 14, 15, 20 and 21 have potential 40-year sentences with five-year minimum mandatory sentences.
Six money laundering counts in the indictment allege defendants purchased vehicles using cash derived from drug trafficking. The money laundering counts carry potential 10-year sentences.
Individuals charged in this indictment had initial appearances Thursday in federal court in Salt Lake City. Elisa Gallardo was released following her initial appearance. Detention hearings for the other defendants are under way Friday morning in U.S. Magistrate Judge Brooke Wells’ courtroom.
Indictments are not findings of guilt. Individuals charged in indictments are presumed innocent unless or until proven guilty in court.
Texas Man Sentenced for Mailing Threatening CommunicationsRead the Press Release
United States Attorney Brendan V. Johnson announced that a Texas man convicted of Mailing Threatening Communications was sentenced on March 25, 2014, by Chief Judge Ralph R. Erickson, U.S. District Court in Fargo, North Dakota.
The charge to which Kidd pled showed that while incarcerated in the State of Texas, he mailed a letter via the U.S Postal Service to a U.S. District Judge in Bismarck, North Dakota, on October 28, 2010. The letter contained a threat to kill the judge and demanded a payment of $10,000 be issued to Kidd’s prison inmate account.
Carlos Kidd, age 34, was sentenced to 60 months in custody to run concurrent with his Texas state sentence, but consecutive to his Texas federal sentence, 2 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Kidd was originally indicted by a federal grand jury on November 6, 2012, in the U.S. District Court for the District of North Dakota on two counts of Mailing Threatening Communications. He was later indicted on six additional counts of Mailing Threatening Communications to court personnel in different North Dakota counties. On February 11, 2014, Kidd pled guilty to one count of Mailing Threatening Communications.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Kidd was immediately turned over to the custody of the U.S. Marshals Service.
Superseding Indictment Returned Against Peter Hoffman, Michael Arata, and Susan Hoffman for Fraudulent Film Tax Credit SchemeRead the Press Release
PETER M. HOFFMAN, age 63, of Los Angeles, California; MICHAEL P. ARATA, age 47, of New Orleans, Louisiana; and SUSAN HOFFMAN, age 69, of New Orleans, Louisiana were charged yesterday in a twenty-two count Superseding Indictment by a Federal Grand Jury, announced United States Attorney Kenneth Allen Polite, Jr.
According to the Superseding Indictment, the Louisiana Motion Picture Incentive Act (LMPIA) was enacted to provide incentives for and encourage the filming of motion pictures and television programs in Louisiana. Under the LMPIA, companies making motion pictures were eligible to receive tax credits which were calculated as a percentage of the companies’ qualified expenditures in Louisiana. Qualified expenditures upon which companies could receive tax credits included expenditures on infrastructure. Infrastructure expenditures only included the purchase, construction and use of facilities that were directly related to and utilized for motion picture production in Louisiana. In order to qualify for infrastructure tax credits, all funds had to be actually expended, and such expenditures had to be verified by an independent Louisiana Certified Public Accountant. Businesses that applied to the State for infrastructure tax credits were entitled to receive an amount equal to 40% of their qualified and audited infrastructure expenditures. Once this amount was certified by the State of Louisiana, the applicants could then sell the certification to local businesses and individuals. Such sale of tax credits provided for a significant source of cash for film projects.
The Superseding Indictment adds co-defendant SUSAN HOFFMAN, a California film producer who relocated to the New Orleans area. SUSAN HOFFMAN and PETER HOFFMAN are married but have been legally separated since approximately 1998. SUSAN HOFFMAN owned and operated several companies including Leeway Properties, New Moon Pictures, LLC, and Seven Arts Pictures Louisiana, LLC. Through their respective companies, PETER HOFFMAN, MICHAEL ARATA, and SUSAN HOFFMAN were partners in different movie-industry business ventures.
The Superseding Indictment also expands the time frame of the offense conduct, to on or about February 3, 2010. Further, it adds four counts against MICHAEL ARATA for making false statements to a FBI Special Agent.U.S. Attorney Polite reiterated that the Superseding Indictment is merely a charge and that guilt of the defendants must be proven beyond a reasonable doubt.
The case is being investigated by Special Agents of the Federal Bureau of Investigation and the Louisiana Office of the Inspector General. The case is being prosecuted by Assistant United States Attorneys G. Dall Kammer and Jordan Ginsberg.
(Download Indictment )
Stolen Identity Refund Fraud Prosecutions on the RiseRead the Press Release
Jackson, Miss – Today U.S. Attorney Gregory K. Davis and Gabriel Grchan, Special Agent in Charge of IRS Criminal Investigation (IRS CI) announced the results of ongoing efforts in the Southern District of Mississippi to combat tax refund fraud involving identity theft. The U.S. Department of Justice has prioritized the investigation and prosecution of individuals who engage in stolen identity refund fraud (SIRF). IRS Criminal Investigation has increased its investigative efforts relating to SIRF and Questionable Refund/Return Preparer Fraud (QRP/RPP).
SIRF is the use of stolen or otherwise wrongfully acquired personal identification information to file a fraudulent claim with the IRS for a tax refund. These crimes occur when a social security number, or list of numbers, is stolen or bought; a false tax return showing a refund due is filed electronically, usually at the beginning of filing season before the legitimate taxpayer has filed for the year. The actual implementation of SIRF schemes is often complex to carry out. In an increasing number of cases, the identities are stolen or purchased from a single source, and the tax refunds obtained are directed to another location, with the connections being distant and difficult to trace.
Recent tax-related prosecutions originating in the Southern District of Mississippi are highlighted below:
Marietta Harris, 38, of Jackson, pled guilty to conspiracy to defraud the United States. Harris and her co-conspirators used personal identifying information, including names and social security numbers, which had been stolen from the Central Mississippi Correctional Facility in Rankin County, the University of Mississippi Medical Center and other locations. The information was used to file false tax returns with the IRS. Refunds were electronically deposited into various bank accounts in Mississippi belonging to Harris and her co-conspirators. She will be sentenced on May 15, 2014 and faces a maximum penalty of ten years in prison and a $250,000 fine.
Christopher Johnson, 33, of Hattiesburg, pled guilty to conspiracy to defraud the United States. Johnson and his co-conspirators obtained personal identification information from unwitting victims, had false income tax returns filed in their names and the refunds deposited into one of three bank accounts controlled by Johnson. During the course of the scheme, Johnson and his co-conspirators obtained $58,000 in stolen tax refunds from the IRS.
Kimberly Givens, 42, of Brandon, Nathaniel Cooper, 29, of Lena, and Latorra Gross, 29, of Morton, have been indicted for conspiracy and filing false tax returns with the IRS. They are scheduled for trial on June 2, 2014.
Flowers Curtis, 56, of Hermanville, has been indicted on 20 counts of filing false claims in connection with a false refund scheme executed in Claiborne and Franklin Counties. He is scheduled for trial during the term commencing June 2, 2014.
Pennie Frazier, 33, of Jackson, has been indicted for filing false claims, wire fraud, and aggravated identity theft. The indictment alleges that Frazier executed a scheme to file false tax returns with the IRS using the identities of others. She is scheduled for trial on May 6, 2014.
Timothy Benjamin Taylor, Verneshia Cody, Niki Antoinette Rivers, Cheryl Dominque Warren and Stephen Graham have been indicted for conspiracy to file false income tax returns. The indictment alleges they used the names and identifying information of patients at Emory Healthcare in Atlanta. The indictment also alleges that Cody, owner and operator of TDK Accounting and Tax Services in Hinds County, conspired to create and file false income tax returns with the IRS which requested the payment of fraudulent tax refunds. The indictment further alleges that Taylor and the other defendants created false driver's licenses, earnings statements, and other documents in the names of the victims to further support the information contained on the fraudulent income tax returns. This case is set for trial on May 6, 2014.The punishment for an identity theft related offense can reach a maximum of 30 years in federal prison, in addition to fines, restitution, and/or forfeiture of the property used to commit the offense.
Refund fraud poses a significant threat to our nation’s tax system, and diminishes taxpayer confidence. IRS – Criminal Investigation initiated over 1,400 investigations and recommended prosecution of over 1,250 individuals who were involved in identity theft crimes during the 2013 fiscal year. Those numbers represent significant increases from the prior fiscal year. 1
U.S. Attorney Davis has pledged his commitment and resources to helping the IRS combat refund fraud in the Southern District of Mississippi.
“Often the victims of identity theft are the most vulnerable members of our communities. When combined with income tax fraud, all honest taxpayers are victims when wrongful claims are paid out,” said Gregory Davis, U.S. Attorney for the Southern District of Mississippi. “This office is committed to constant vigilance along with our partners, the Internal Revenue Service Criminal Investigation, U.S. Secret Service, and U.S. Postal Inspection Service, in investigating and prosecuting those who cause harm to the U.S. taxpayers. ”
“Seeking out and prosecuting individuals who commit violations of the tax laws is the main focus of the work we do at IRS Criminal Investigation. We greatly appreciate the United States Attorney’s Office, and their commitment to the prosecution of these cases,” said Gabriel Grchan, Special Agent in Charge, IRS-CI, New Orleans Field Office. “It is my hope that these indictments, and other legal actions further assure the taxpaying citizens of our country that IRS – CI is fully engaged in the war against those who attempt to steal from the United States Treasury.”
Criminal cases related to Identity Theft are investigated by the Jackson ID Theft Task Force which includes IRS Criminal Investigation, U.S. Secret Service and U.S. Postal Inspection Service. They are handled by the Economic Crimes Unit of the United States Attorney’s Office.
If you believe that you or someone you know may have had a tax return filed under your name as the result of identity theft, please visit www.IRS.gov, call 1-800-829-1040 or visit your local IRS office for further information.
The public is reminded that the charges contained in an indictment are merely accusations and the defendants are presumed innocent unless and until proven guilty.1 Internal Revenue Service – Criminal Investigation Annual Business Report
http://www.irs.gov/pub/foia/ig/ci/REPORT-fy2013-ci-annual-report-02-14-2014.pdfIf you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Our nation-wide commitment to reducing gun crime in America.
St. Louis Man Sentenced to Federal Prison for Possession of A Firearm by A Convicted FelonRead the Press Release
Follow @SDILNewsStephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today that Daron Whitt, 30, of St. Louis, Missouri, was sentenced in federal district court in East St. Louis for the crime of Possession of a Firearm by a Convicted Felon.
Whitt was sentenced to 51 months in prison, to be followed by 3 years of supervised release, a $100 special assessment, and a fine of $500, following his plea of guilty, on November 18, 2013. The charges relate to an incident that occurred on March 17, 2013, in Brooklyn, Illinois, when Whitt, driving erratically, was stopped by a Brooklyn police officer, who then found a 9mm. Beretta pistol on Whitt’s person. Whitt was previously convicted of Possession of a Firearm by a Felon on April 24, 2007, in the United States District Court for the Eastern District of Missouri. The sentencing judge also ordered forfeiture of the firearm.
The case was investigated by members of the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The case was prosecuted by Assistant U.S. Attorney Stephen B. Clark.
Spring Man Ordered to Prison for Two Charges Involving Child PornographyRead the Press Release
HOUSTON - Garrett Michael Chase, 38, has been sentenced to more than 11 years in federal prison for distribution and possession of child pornography, announced United States Attorney Kenneth Magidson. He pleaded guilty Oct. 23, 2013.
Today, U.S. District Judge Gray Miller handed Chase a sentence of 135 months for the distribution charge and another 120 months for possession of child pornography. The sentences will be served concurrently. He was further ordered to serve 25 years on supervised release following completion of the prison term. He will also be required to register as a sex offender.
Chase was identified through an undercover operation in which he was linked to an IP address sharing 25 files of identified child pornography. One of those files was a 52-second video depicting a female child, approximately nine years of age, partially nude and sitting in the lap of an adult male. In the video, she is shown touching the male’s genitalia while he fondles her.
A search warrant was executed on his Spring residence which revealed computers and other electronic media. At that time, he admitted to downloading child pornography images and videos. He would save them to a shared folder making them available to others using peer-to-peer software. Chase admitted he had been viewing child pornography since high school and that he last viewed child pornography just two weeks prior to the execution of the warrant.
Chase further admitted to setting up a video camera to capture images/video of a 14-year-old who had stayed in his home. He continued to have thoughts of her and admitted to taking a video of her without her shirt. He instructed investigators where they could find the video on his computer.
Forensic examination of the computers revealed 57 videos containing child pornography.
Chase was permitted to remain on bind and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
The Secret Service investigated.
This case, prosecuted by Assistant U.S. Attorney Sherri L. Zack, was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Spokane Ponzi Scheme Operator Pleads Guilty to 110 Count Indictment on Eve of Jury TrialRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Doris E. Nelson, 55 of Colbert, Washington, entered guilty pleas to the 110 counts contained in a Superseding Indictment handed down in December 2013. The 110 counts related to charges of Wire Fraud, Mail Fraud, and International Money Laundering connected to a massive "Ponzi scheme" that Nelson operated. Senior United States District Court Judge Robert H. Whaley accepted each of Nelson's guilty pleas. Sentencing is scheduled for July 7, 2014.
By pleading guilty Nelson admitted the allegations set forth in the Superseding Indictment – that she ran a Ponzi scheme for over eight years and took in approximately $137 million from at least 650 investors worldwide. As alleged, Nelson operated an unprofitable payday and short-term lending business, known as the Little Loan Shoppe, which she began in British Columbia, Canada in approximately 1997 and which she continued in Spokane, Washington beginning in approximately 2001. Despite the Little Loan Shoppe's unprofitability, Nelson solicited hundreds of investors by leading them to believe, falsely, that her payday loan business was profitable and that her business profits allowed her to pay investors a 40% to 60% (and up to as much as 75%) annual return. Nelson claimed that these astronomical returns would be paid from the profits of the Little Loan Shoppe. Nelson also made numerous false and fraudulent statements about the Little Loan Shoppe in order to induce investors. She communicated with her investors in person, by telephone, by email, and through the mails. Nelson solicited investors who resided throughout the United States and in international locations, including Canada and Mexico.
As alleged, rather than paying her investors returns from a profitable business as Nelson had claimed, investors were paid "interest" with their own money or the money of other investors. In contrast to her consistent representations, Nelson was operating a massive Ponzi scheme where investors' individual returns were paid using their own investments or monies paid by other investors. Investor funds rarely, if ever, were used to fund new customer loans, as Nelson assured investors they would be, and the Little Loan Shoppe lending operations did not generate profits from which investor payments could be made. As Nelson developed a history of paying investors "lulling payments" from subsequent investments, her track record became the single most persuasive factor for additional investors. In this way, Nelson's scheme to defraud grew rapidly until it could no longer sustain itself. The scheme collapsed in 2008, when the flow of new funds could no longer support the payments required on the earlier investments and Nelson abruptly announced that all investments would be changed to a 10% interest rate. Nelson ended most payments to investors around this time, and by February 2009 she suspended all payments.
As alleged, Nelson's scheme resulted in personal withdraws of investor money of approximately $4.3 million. With these proceeds, she funded a lavish lifestyle for herself and her family. For example, Nelson spent approximately $223,000.00 in St. John Knits stores located in Las Vegas, Nevada, New York, Honolulu, and Beverly Hills as well as approximately $217,000.00 in purchases from Nordstrom. She also spent approximately $58,000.00 on art work while on a cruise in 2006. Nelson also incurred substantial gambling losses -- approximately $432,000.00 in 2008, and approximately $960,000 in 2007, at the MGM Grand Casinos in Las Vegas.
As Nelson's fraudulent scheme began to collapse in 2008, Nelson's investors forced the Little Loan Shoppe into bankruptcy in the summer of 2009. Shortly thereafter, the scheme was brought to the attention of IRS-CI, the FBI, and the United States Attorney's office. An investigation was commenced and in April, 2010, agents with the IRS-CI and the FBI seized, among other assets, cash, a Mercedes Benz, a Corvette, and jewelry from her residence.
Michael C. Ormsby said, "The resolution of these charges by Ms. Nelson's guilty pleas show the commitment of this office, the IRS Criminal Investigations, and the FBI to thoroughly investigate allegations of fraud and to bring those accused of defrauding others before the court so that they may fairly and justly be held to accountable for their criminal conduct. The dedication exhibited by the efforts of Federal law enforcement officers and the Assistant United States Attorneys involved in this case underscores their continuing commitment to investigate and prosecute "white collar" crimes in the Eastern District of Washington."
This case was investigated by the Internal Revenue Service-Criminal Investigations and the FBI. This case was prosecuted by K. Jill Bolton and Caitlin A. Baunsgard, Assistant United States Attorneys for the Eastern District of Washington.
11-CR-00159-RHW
Seat Pleasant Man Sentenced to 15 Years in Prison After Pleading Guilty to Armed CarjackingRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Tyrone Collington, Jr., age 27, of Seat Pleasant, Maryland, today to 15 years in prison, followed by three years of supervised release, after Collington pleaded guilty to carjacking. Judge Motz ordered that the sentence be served concurrent with the seven year sentence imposed by U.S. District Court for the Eastern District of Virginia in U.S. v. Collington, Case No. AJT-11-CR-00027, for a carjacking that took place in Fairfax, VirginiaThe sentence and guilty plea were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.
According to his plea agreement, on June 22, 2010, Collington approached a driver of a Honda Civic parked in the garage of the Westfield Wheaton Plaza Mall in Wheaton, Maryland. The driver was buckling the driver’s two children into their car seats when Collington pointed a semiautomatic gun at the driver and stated: “If you don’t want to be shot in front of your kids, give me your keys.” The driver complied and Collington drove off, after giving the driver sufficient time to remove the children from the car. Montgomery County Police responded to the scene, but did not locate Collington.
A couple days later on June 24, Collington approached a driver of a BMW convertible in the parking lot at the University Mall in Fairfax, Virginia. Collington pointed the same gun at the driver, racked the slide and demanded the car keys. The driver complied. After a couple minutes of trying to start the BMW and failing, Collington left and drove away with another passenger in the Honda Civic he had previously stolen.
The driver of the BMW pursued Collington. Shortly thereafter, the driver caught the attention of a Virginia State Trooper who joined the chase. Collington and his passenger eventually abandoned the Honda Civic and escaped on foot. A subsequent search of the Honda Civic revealed a cell phone, GPS devices, clothing and a Maryland driver’s license, all belonging to Collington. Montgomery County Police detectives also found latent fingerprints inside the car belonging to Collington.
Collington was arrested on July 1, 2010, at his residence. Officers seized the gun he used in both carjackings from his bedroom closet.
United States Attorney Rod J. Rosenstein commended the FBI, Montgomery County Police Department and Montgomery County State’s Attorney’s Office for their work in the investigation and thanked the U.S. Attorney’s Office for the Eastern District of Virginia for their assistance in the prosecution of the case. Mr. Rosenstein also thanked Assistant United States Attorney Kelly O’Connell Hayes and Special Assistant United States Attorney Paul Nitze, who prosecuted the case.
Russell Adler Pleads Guilty to Conspiracy to Violate the Federal Election Campaign ActRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Jose A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that Russell S. Adler, 52, of Ft. Lauderdale, pled guilty today before United States District Judge James I. Cohn to one count of conspiracy to violate the Federal Election Campaign Act and to defraud the United States, in violation of Title 18, United States Code, Section 371. The defendant was a shareholder of the former Ft. Lauderdale law firm of Rothstein, Rosenfeldt and Adler, P.A. (RRA).
Sentencing is scheduled for June 27, 2014 at 9:30 a.m. in Ft. Lauderdale. At sentencing, the defendant faces a maximum statutory sentence of up to five years in prison.
In connection with his guilty plea, the defendant admitted that, in order to circumvent campaign finance laws setting limitations on the amounts which donors can contribute, RRA Chairman and CEO Scott W. Rothstein enlisted some of the attorneys and administrative personnel of RRA, and other persons associated with RRA, including Adler, to make political contributions to various political campaigns which were unlawfully reimbursed to them by RRA.
Mr. Ferrer commended the investigative efforts of the FBI and IRS-CI. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Rosebud Man Sentenced for Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on March 31, 2014, by U.S. District Judge Roberto A. Lange.
Waldo Patrick War Bonnett, age 45, was sentenced to 18 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
War Bonnett was indicted for Failure to Register as a Sex Offender by a federal grand jury on January 15, 2014. He pled guilty on February 10, 2014.
Between October 14, 2013, and January 9, 2014, War Bonnett, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of a conviction under federal law, knowingly failed to register and update his registration. On January 9, 2014, War Bonnett was apprehended on the Rosebud Sioux Indian Reservation.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Marie H. Ruettgers prosecuted the case.
War Bonnett was immediately turned over to the custody of the U.S. Marshals Service.
Rochester Man Pleads Guilty to Drug ChargesRead the Press Release
ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Anthony Grimes, 29, of Rochester, N.Y., pleaded guilty before U.S. District Judge Charles J. Siragusa to possession with intent to distribute crack cocaine. The charge carries a maximum penalty of 30 years in prison, a fine of $2,000,000 or both. The defendant, a convicted felon on federal supervised release, also pleaded guilty to violating the terms of his supervision. Under the terms of the plea agreement, Grimes will receive a sentence of 204-235 months in prison.
Assistant U.S. Attorney Robert A. Marangola, who is handling the case, stated that Grimes was arrested October 2, 2013 after U.S. Probation officers searched his residence at 7 Grace Street in Rochester. During the search, officers seized crack cocaine packaged for street sale, a loaded, Beretta .380 Auto caliber semiautomatic pistol, $220 in U.S. currency, and a digital scale all secreted in a women’s purse. Officers also seized additional drug trafficking paraphernalia, including packaging material in the residence.
The conviction is the culmination of an investigation on the part of the United States Probation Office for the Western District of New York, Special Agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge Thomas J. Cannon, and the Rochester Police Department, under the direction of Chief Michael Ciminelli.
Sentencing is scheduled for July 9, 2014 at 10:15 a.m. before Judge Siragusa.Rapid City Man Indicted for Possession with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Possession with Intent to Distribute a Controlled Substance.
Arnold Barton Johnston, age 54, was indicted on March 18, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on March 24, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is at least 5 years and not more than 40 years in custody and/or a $5,000,000 fine, 4 years of supervised release, and $100 to the Federal Crime Victims Fund.
On March 8, 2014, Johnston possessed with the intent to distribute 50 grams or more of methamphetamine.
The charge is merely an accusation and Johnston is presumed innocent until and unless proven guilty.
The investigation is being conducted by the South Dakota Division of Criminal Investigation and Meade County Sheriff’s Office. Assistant U.S. Attorney Ted L. McBride is prosecuting the case.
Johnston was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Pine Ridge Woman Sentenced for Conspiracy to Distribute CocaineRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pine Ridge, South Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on March 24, 2014, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Marlena Jo Pond, a/k/a Mar Pond, age 28, was sentenced to 30 months in custody, 2 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Pond was indicted on two counts of Conspiracy to Distribute Controlled Substances by a federal grand jury on September 24, 2013. She pled guilty to one count on November 20, 2013.
Beginning December 2010 until September 2013, Pond assisted in packaging cocaine, with persons known and unknown, for further distribution in South Dakota. More than 500 grams of cocaine would have been distributed during the course of the conspiracy.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, which includes the following agencies: Federal Bureau of Investigation, South Dakota Division of Criminal Investigation, Bureau of Indian Affairs Office of Justice Services, Oglala Sioux Tribe Department of Public Safety, Fall River County Sheriff’s Office, and the Fall River State’s Attorney’s Office. The U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) also assisted with the investigation. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
Pond was immediately turned over to the custody of the U.S. Marshals Service.
Parmalee Man Sentenced for Witness TamperingRead the Press Release
United States Attorney Brendan V. Johnson announced that a Parmelee, South Dakota, man convicted of Witness Tampering and supervised release revocation was sentenced on March 31, 2014, by U.S. Judge Roberto A. Lange.
Ian James Burning Breast, age 21, was sentenced to 15 years in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Burning Breast was indicted for Witness Tampering by a federal grand jury on May 14, 2013. He pled guilty on January 13, 2014.
On November 12, 2012, Burning Breast was released from prison for a previous crime and began a term of court ordered supervision. He moved home to the Rosebud Sioux Indian Reservation, and did not comply with the terms of his release.
In January 2013, he sexually assaulted a relative. After the relative reported the abuse, Burning Breast was recorded on a phone call improperly pressuring the relative to withhold information from law enforcement investigators.
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.
Burning Breast was immediately turned over to the custody of the U.S. Marshals Service.
Parahams Sentenced, Time IncludesRead the Press Release
South Bend, Indiana — The United States Attorney’s Office announced the following activity in Federal Court:
Jonathan Parahams, Jr., 28, of South Bend, Indiana was sentenced to 92 months imprisonment, 3 years supervised release and to pay $2,572,350.52 in restitution after pleading guilty to the felony offense of conspiracy to defraud the United States Department of the Treasury.According to documents filed in this case, Parahams was arrested at a local hotel by SBPD on drug and gun charges. During this arrest, officers found a laptop computer in his hotel room.After his arrest, a local bank contacted the DEA with information about unusual activity on bank accounts associated with Parahams, including the withdrawing $450,000.00.A search warrant was procured for Parahams’ laptop and the search uncovered information relating to the tax scheme.
Since at least the beginning of 2009, Parahams and others associated with him, participated in a scheme to defraud by submitting fraudulent U.S. Individual Income Tax Returns, using false or inflated Forms W-2.This scheme resulted in the submission of 226 false tax returns for tax year 2008, 652 false returns for tax year 2009, and 311 false returns for tax year 2010.As a result of these false returns, Parahams and others obtained refunds Internal Revenue Service, via direct deposit, into multiple bank accounts owned by the conspirators or into bank accounts owned by other account holders but controlled by Parahams. Some of these account holders knowingly assisted in disbursing refunds at the direction of Parahams and his fellow conspirators.
Parahams obtained the information to submit false returns in several ways:some clients either sold their information for a fee, others sought out members of the conspiracy to have a tax return prepared, while others were recruited by Parahams. Clients who provided their information for a fee, gave personal identifiers such as their name and social security number in exchange for cash or a prepaid debit card that later came in the mail. Those clients that sought out the conspirators to have legitimate tax return preparation after being told larger refunds could be obtained using the services ofParahams’ associates.These larger refunds wereobtained by using false Form W-2information. Other persons were recruited to file a tax return with Parahams or another conspirator in order to obtain a tax refund even though the client had no intentions or duty to file otherwise.Parahams and his coconspirators recruited clients personally and/or paid others a referral fee for referring clients.
Parahams was incarcerated in St. Joseph County Jail in August of 2010. While incarcerated, Parahams made numerous phone calls to his co-conspirators which were openly recorded by the jail as a normal course of business. These recordings showed that Parahams was still actively involved with the scheme while incarcerated.
Parahams and others started the scheme in 2009 with the submission of false 2008 tax returns. The scheme continued with the submission of 2009 tax returns and then 2010 tax returns. The last tax return identified with the scheme was filed with the Internal Revenue Service in July 2011.
This case was handled by the Office of the U.S. Attorney for the Northern District of Indiana.Frank Schaffer, Assistant U.S. Attorney.This case was the result of an investigation by the Internal Revenue Service – Criminal Investigation Department.
Oxycodone Distribution Ring DismantledRead the Press Release
Seven defendants charged in federal court, over 20,000 pills distributed
ALEXANDRIA, Va. – An oxycodone distribution ring operating in northern Virginia has been dismantled as conspirators plead guilty and are sentenced.
Dana J. Boente, Acting United States Attorney for the Eastern District of Virginia; Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office; Michael L. Chapman, Loudoun County Sheriff; and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement.
According to court documents, members of the conspiracy illegally produced fraudulent prescriptions for 30 mg oxycodone pills using a variety of sources in Fairfax, Loudoun and Prince William County. The conspirators supplied their own identities, and those of family members and others, to the leaders of the conspiracy to create fraudulent prescriptions. The leaders used those identities to create fraudulent prescriptions, and they paid individuals to act as runners to fill the false prescriptions at various pharmacies. Each runner subsequently returned the filled illegal prescriptions, usually containing 60 to 120 oxycodone pills, to the leaders for distribution.
The leaders of the conspiracy typically gave the runners approximately ten to fifteen of the pills as payment, and the conspirators sold the remaining pills for approximately $30 to $45 per pill. The investigation has identified over 20,000 pills distributed through the conspiracy, and about a quarter of the prescriptions were paid for by privately or publicly funded insurance programs.
The following defendants have been charged in this matter:
- Mostaffa Mohamed Al Nimiry, 24, of Alexandria, Va., pleaded guilty on Jan. 22, 2014 to conspiracy to distribute oxycodone, a Schedule II controlled substance. Al Nimiry was sentenced today by U.S. District Judge Gerald Bruce Lee to four years in prison, followed by three years of supervised release.
- Jacqueline Alfaro, 22, of Fairfax, Va., pleaded guilty on January 16, 2014 to conspiracy to distribute oxycodone. Alfaro was sentenced today by U.S. District Judge Anthony J. Trenga to three years in prison, followed by three years of supervised release.
- Jennifer Hagerup, 29, of Great Falls, Va., pleaded guilty today before U.S. District Judge Liam O’Grady to conspiracy to distribute oxycodone, and is awaiting sentencing on July 11, 2014.
- Christopher Bryant, 25, of Sterling, Va., pleaded guilty today before Judge O’Grady to conspiracy to distribute oxycodone, and is awaiting sentencing on July 11, 2014.
- Olivia Lee, 22, of Herndon, Va., pleaded guilty on Jan. 9, 2014 before Judge O’Grady to conspiracy to distribute oxycodone, and is awaiting sentencing on April 25, 2014.
- Hilina Damte, 25, of Alexandria, Va., pleaded guilty on Feb. 6, 2014 before Judge O’Grady to conspiracy to distribute oxycodone, and is awaiting sentencing on May 2, 2014.
- Matias Garcia, 23, of Sterling, Va., has been charged with conspiracy to distribute oxycodone.
This case was investigated by the FBI’s Washington Field Office, the Loudoun County Sheriff’s Office and the Fairfax County Police Department, with assistance from the Alexandria City Police Department, Prince William County Police Department and Montgomery County Police Department. Special Assistant U.S. Attorneys Beth Groves and Whitney Russell prosecuted the cases on behalf of the United States.
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.Oakdale Inmate Sentenced to 96 Months in Prison for Cutting GuardRead the Press Release
LAKE CHARLES, La. –United States Attorney Stephanie A. Finley announced today that Gary T. Butler, 48, an inmate at Oakdale Federal Correction Center, was sentenced by U.S. District Judge Patricia Minaldi to an additional 96 months in prison and three years of supervised release for attacking a correctional officer.
According to the evidence presented at the guilty plea on March 27, 2014, an officer at the Federal Correction Center in Oakdale, La., was collecting food trays on April 24, 2011 in a special housing unit. As the guard reached through an opening in the door to Butler’s unit to retrieve a food tray, Butler made a deep cut in the officer’s left forearm. The wound extended from approximately the officer’s elbow to his wrist, which required internal stitches to the muscle and 23 external staples to mend.
The Federal Bureau of Prisons and the Federal Bureau of Investigation conducted the investigation. Assistant U.S. Attorney Joseph T. Mickel prosecuted the case.
North Tonawanda Man and Woman Plead Guilty to Identity Theft and Bank Fraud ChargesRead the Press Release
BUFFALO, N.Y. – U.S. Attorney William J. Hochul, Jr. announced today that David Johnson, 41, of North Tonawanda, N.Y., pleaded guilty before U.S. District Court Judge Richard J. Arcara, to aggravated identity theft. The charge carries a mandatory minimum of two years in prison and a fine of $250,000.
In addition, Calvina Myles, 27, also of North Tonawanda, pleaded guilty before Judge Arcara, to bank fraud. That charge carries a maximum sentence of 30 years in prison and a fine of $1,000,000.
Assistant U.S. Attorney Marie P. Grisanti, who is handling the case, stated that between September 2012 and March 2013, Johnson and Myles used the names and personal identification information of two individuals to apply for two Capital One credit cards in those names. The defendants, and a third co-conspirator, Avery Gill, purchased merchandise and gift cards from retail stores using the credit cards. Johnson also accompanied Gill who made ATM withdrawals using the credit card. As a result of this conduct, Capital One suffered a loss of $29,429.16.
Charges are pending again defendant Gill. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The pleas are the culmination of an investigation on the part of the U.S. Postal Inspection Service, Boston Division, currently under the direction of Acting Inspector in Charge, Shelly A. Binkowski.
Myles’ sentencing is scheduled for July 17 at 1:00 p.m. before Judge Arcara. Johnson will be sentenced on August 4, 2014, at 1:00 p.m., also before Judge Arcara.North Tonawanda Man Pleads Guilty to Criminal Charge Related to the Kensington Towers ProjectRead the Press Release
BUFFALO, N.Y. – U.S. Attorney William J. Hochul announced today that Brian Scott, 33, of North Tonawanda, N.Y., pleaded guilty before U.S. District Court Judge Richard J. Arcara, to being an accessory after the fact to a false statement under the Clean Air Act. The charge carries a maximum penalty of one year in prison, a fine of $125,000 or both.
Assistant U. S. Attorney Aaron J. Mango, who is handling the case, stated that the defendant was employed by JMD Environmental, Inc. (JMD) as an air sampling technician and a project monitor, and was certified by the New York State Department of Health to conduct asbestos project monitor and air sampling duties. From June 9, 2009 to January 11, 2010, co-defendants Johnson Contracting of WNY, Inc. (Johnson Contracting), Ernest Johnson, and Rai Johnson, conducted asbestos abatement activities at six buildings at the Kensington Towers Apartment Complex in Buffalo. During the abatement process, co-defendant Rai Johnson created daily project logs to document the progress at Kensington Towers. The logs are documents required to be maintained under the Clean Air Act.
During the abatement for building A-1 by Johnson Contracting, Rai Johnson wrote in his daily project log that all floor tiles containing asbestos had been removed from the building, when in truth, all asbestos floor tiles had not been removed. Thereafter, on July 7, 2009, the defendant conducted a visual inspection of building A-1 for floor tile and issued a satisfactory visual inspection, when in truth, the defendant was aware that all asbestos-containing floor tiles had not been removed. In doing so, the defendant acted as an accessory after the fact to the false statement made by the Johnson defendants.
This is the third defendant to plead guilty as part of the Kensington Towers asbestos abatement project. In addition to Ernest and Rai Johnson, other charged defendants include JMD project monitors Chris Coseglia, Henry Hawkins and Evan Harnden, and current and former public officials responsible for certifying the project’s compliance with applicable laws and regulations, including Donald Grzebielucha, William Manuszewski, and Theodore Lehmann. The remaining defendants are scheduled to go on trial May 13, 2014 before U.S. District Court Judge Richard J. Arcara. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Sentencing is scheduled for August 8, 2014, 2014 at 12:30 p.m. before Judge Arcara.
The plea is the culmination of an investigation on the part of Special Agents of the U.S. Environmental Protection Agency - Criminal Investigation Division, under the direction of Acting Special Agent-In-Charge, Vernesa Jones-Allen; Special Agents of the Federal Bureau of Investigation, Special Agents of the U.S. Department of Housing and Urban Development - Office of Inspector General, under the direction of Special Agent-In-Charge Christina Scaringi; and Investigators of the New York State Department of Environmental Conservation Police, Bureau of Environmental Crimes Investigation, under the direction of Captain Frank Lauricella. Additional assistance was provided by the New York State Department of Labor, Asbestos Control Bureau.North Carolina Paving Contractor Sentenced to Prison for Tax and Bank FraudRead the Press Release
Tommy Edward Clack was sentenced today to serve 66 months in federal prison for tax and fraud crimes by U.S. District Judge Thomas D. Schroeder in Winston-Salem, N.C., the Justice Department and Internal Revenue Service (IRS) announced. Clack was also ordered to pay $1,350,597 in restitution to the IRS and $20,945 in restitution to a bank he defrauded, and to serve five years of supervised release. Clack previously pleaded guilty to one count of willfully filing a false federal income tax return for 2007 and one count of knowingly making a false statement to a federally insured bank in order to obtain a mortgage loan.
According to court documents, for approximately the past 10 years, Clack has been a traveling, self-employed paving contractor doing business in North Carolina, South Carolina, Maryland and Florida. Clack operated under several different business names and changed the names frequently in order to avoid scrutiny by state and federal law enforcement agencies. Over the years, Clack was charged with and convicted of multiple state criminal violations in Maryland, North Carolina, South Carolina and Florida as a result of his business practices. Since June 2010, Clack has been under an injunction banning him from operating as a driveway paving contractor in North Carolina. He is also subject to a cease-and-desist order in Maryland that bans him from various fraudulent practices.
According to court documents, Clack significantly underreported the income from his paving business on his tax returns. From 2004 to 2007, Clack earned gross income of over $5.7 million, but reported only a fraction of it to the IRS. In 2004, Clack underreported his income by approximately $294,829. In 2005, he underreported his income by approximately $1,178,822. In 2006, Clack underreported his income by approximately $1,868,556. And in 2007, Clack underreported his income by $2,428,710. Clack’s returns were prepared by a professional accountant, but Clack knowingly provided her with false information on which to base his returns, and he signed his returns knowing that they significantly understated his income. Altogether, as a result of these false returns Clack underpaid his taxes by $1,350,597 for the 2004 through 2007 tax years.
According to court documents, Clack employed a number of strategies to conceal his tax fraud. In addition to constantly changing the name of his paving company, Clack did not maintain books and records. He also dealt extensively in cash, paid his employees in cash, and structured currency transactions with his bank in amounts designed to evade the bank’s requirement to file Currency Transaction Reports with the U.S. Treasury.
Court documents also state that in December 2003, Clack submitted a mortgage loan application in the name of his then-wife to a bank in Greensboro, N.C. The application sought a $640,000 loan as financing for the purchase of a $1.2 million home. As part of the loan application, Clack provided the bank with a tax return in his wife’s name for the year 2002 that claimed married filing separate status, reported adjusted gross income of $372,748 and claimed total tax liability of $127,745. Clack claimed that this tax return had been filed with the IRS, when in fact Clack and his then-wife had filed a joint federal income tax return for 2002 that claimed that the couple had adjusted gross income of $17,656 and a total tax liability of $2,685. The bank would not have approved the loan if they knew about the discrepancy. Clack ultimately defaulted on the loan and the bank suffered a loss after foreclosing on the collateral.
The case was investigated by the IRS-Criminal Investigation, with assistance from the North Carolina State Bureau of Investigation. It was prosecuted by Trial Attorney Jonathan Marx of the Tax Division with assistance from the U.S. Attorney’s Office for the Middle District of North Carolina.
National Crime Victims’ Rights Week 2014 30 Years: Restoring the Balance of Justice the United States Attorney’s Office Participates in Candlelight Tribute for Crime SurvivorsRead the Press Release
San Diego, CA - April 6-12, 2014 is National Crime Victims’ Rights Week – a time for law enforcement, prosecutorial agencies, victim advocates and community members to come together and support victims of crime.
Enforcing victim’s rights protects victims, enhances public safety and fosters public confidence in our criminal justice system. Agencies that partake in this Tribute and those who attend will acknowledge and honor crime victims nationwide.
The Victim Assistance Coordinating Council (VACC) and the United States Attorney’s Office in San Diego, CA invite you to attend the 25th annual Candlelight Tribute for Crime Survivors on Monday, April 7, 2014 at 5:30 p.m.
The Tribute will be held at the San Diego Police Officers’ Association Hall, 8388 Vickers St., San Diego, CA 92111. The keynote speaker will be San Diego County District Attorney Bonnie M. Dumanis.
The Tribute is a time to memorialize victims and to hear inspirational words from local law enforcement agencies, victim advocates and personal stories from the victims themselves.
The Tribute is sponsored by the Victim Assistance Coordinating Council (VACC). VACC is comprised of the following agencies: Alliance for Community Empowerment, the Crime and Trauma Recovery Program, the District Attorney’s Victim Assistance Program, the Drug Enforcement Administration (DEA) Victim Witness Program, the Federal Bureau of Investigation (FBI) Victim Assistance Program, First Avenue Counseling Centre, the Jenna Druck Center, Mothers Against Drunk Driving (MADD), San Diego Police Department Crisis Intervention, San Diego County Sherriff’s Department, the San Diego Police Officers Association, San Diego Slide Shows, Therapy Changes, the United States Attorney’s Office Victim/ Witness Program, the U.S. Postal Inspection Service, and other victim advocates.
By providing a single, uniform message from these agencies and service providers, we can help increase awareness and improve the assistance provided to all crime victims.
To receive further information about National Crime Victims’ Rights Week, and ideas on how to serve victims in your community please visit www.ovc.gov or www.sdvacc.com or the U.S. Attorney's Office Southern District of California webpage.
Mission Man Charged with Illegal Reentry After DeportationRead 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 Illegal Reentry after Deportation.
Socorro Rigoberto Ortiz-Beltran, a/k/a Rigoberto Ortiz, a/k/a Rigo Ortiz, age 45, was indicted on March 11, 2014. He appeared before Mark A. Moreno on March 27, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in custody and/or a $250,000 fine, 2 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on December 19, 2013, Ortiz-Beltran, having been previously deported from the United States on or about December 3, 2008, at Hidalgo, Texas, was found in the United States and had not obtained the consent of the Secretary of the U.S. Department of Homeland Security and the Attorney General of the United States.
The charge is merely an accusation and Ortiz-Beltran is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Immigration and Customs Enforcement. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Ortiz-Beltran was remanded to the custody of the U.S. Marshals Service pending trial which has been set for May 13, 2014.
McLaughlin Man Charged with Felon in Possession of A Firearm and AmmunitionRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota, man has been indicted by a federal grand jury for Felon in Possession of a Firearm and Ammunition.
Byron Hawk Bear, Sr., age 37, was indicted on March 11, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 2, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years 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 January 16, 2014, Hawk Bear, having previously been convicted of a crime punishable by imprisonment for a term exceeding one year, knowingly and intentionally possessed a firearm and ammunition, which had been previously shipped and transported in interstate and foreign commerce.The charge is merely an accusation and Hawk Bear is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Mobridge Police Department. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Hawk Bear was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Maryland Woman Indicted for Treating Patients While Fraudulently Posing as A Physician’s AssistantRead the Press Release
Allegedly Used Stolen Identity to Gain Employment at a Doctor’s Office;
Treated 200 Patients, Including Infants, and Wrote PrescriptionsBaltimore, Maryland - A federal grand jury has indicted Shawna Michelle Gunter, age 36, of Severna Park, Maryland, on charges of wire fraud, aggravated identity theft and health care fraud. The indictment was returned on March 18, 2014, and unsealed today upon Gunter’s arrest.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; and Colonel Marcus L. Brown, Superintendent of the Maryland State Police; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Colonel George F. Johnson IV, Superintendent of the Maryland Natural Resources Police.
“This case involves very troubling allegations that Shawna Michelle Gunter fraudulently posed as a licensed physician’s assistant, treating patients and writing prescriptions, although she has no medical training,” said U.S. Attorney Rod J. Rosenstein. “I commend the Maryland State Police for their quick response, which brought the charade to an end.”
According to the four count indictment and search warrant affidavit, from July 5 to August 29, 2013, Gunter acted as a physician’s assistant, even though she did not have the medical education, training or qualifications to do so. Gunter sought employment as a physician’s assistant with a pediatrician who had offices in Centreville and Chestertown, Maryland. To gain employment, Gunter allegedly provided a forged Howard University physician’s assistant diploma. She also allegedly provided a forged physician’s assistant certificate bearing the license number of another physician assistant practicing in Salisbury, without the victim’s knowledge or approval, as well as a forged DEA controlled substance registration certificate bearing a registration number that was almost identical to the victim’s.
Gunter started her employment as a physician assistant on July 5, 2013. She began seeing patients alone on August 18, 2013. According to the affidavit, between August 18 to 29, 2013, Gunter saw and treated around 200 Medicaid patients for sick visits, ADHD follow-ups, newborn visits and routine physicals. Each medical visit resulted in a claim submitted to Medicaid and in turn, money paid to the pediatrician’s practice for medical services allegedly provided by an unlicensed and unqualified individual. Gunter also wrote numerous prescriptions that were filled by the patients and paid by Medicaid.
The affidavit alleges that on August 29, 2013, the physician owner of the pediatric practice contacted the Maryland State Police upon receiving an anonymous communication informing him that Gunter was not qualified to be a physician’s assistant. That same day, Maryland State Police arrested Gunter at the pediatrician’s office in Centreville. At the time of her arrest, Gunter had three of the pediatric doctor’s prescription pads in the pocket of a white doctor’s coat that she was wearing. Officers also seized from her purse numerous items including another prescription pad belonging to a surgeon who Gunter previously worked for; a folder containing a schedule of patients and their illnesses for each day in August; and originals of all of the fraudulent documents Gunter provided to the pediatrician.
The affidavit alleges that further investigation indicates that between April and October 2013 Gunter filled multiple prescriptions for Gabapentin, Divalproex and Cymbalta, purportedly written by a doctor for whom Gunter formerly worked, for her own child. The doctor advises that she never saw Gunter’s child as a patient. The child has since seen another doctor who directed that the child be slowly weaned off the medications.
Gunter faces a maximum sentence of 20 years in prison for wire fraud and health care fraud; and two years in prison, consecutive to any other sentence, for each of two counts of aggravated identity theft. Gunter had her initial appearance this afternoon in U.S. District Court in Baltimore and is detained pending a detention hearing scheduled for April 7, 2014 at 2:30 p.m.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein praised the Department of Health and Human Services Office of Inspector General, Maryland State Police, HSI and Maryland Natural Resources Police for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Tamera L. Fine, who is prosecuting the case.
Mark A. Billinglsley Sentenced to 10 Months in Prison for Making Fasle Statements During His Bankruptcy ProceedingsRead the Press Release
CHATTANOOGA, Tenn. – Mark A. Billingsley, 35, of Whitwell, Tenn., was sentenced on Apr. 3, 2014, by the Honorable Curtis L. Collier, U.S. District Court Judge, to serve 10 months in federal prison for knowingly and fraudulently making a false statement under oath in his bankruptcy case, by falsely testifying in a proceeding before the U.S. Trustee at a meeting of creditors. Upon his release from prison, Billingsley will be subject to two years of supervised release. There is no parole in the federal system.
Billingsley filed a bankruptcy case in June 2012, in the U.S. Bankruptcy Court for the Eastern District of Tennessee, Chattanooga Division. A meeting of creditors was held in February 2013, and Billingsley testified under penalty of perjury in relation to his bankruptcy proceeding that he was employed at SK Trucking and that SK Trucking had been making withdrawals from his paychecks to pay into his bankruptcy plan. An investigation by the U.S. Trustee along with the U.S. Secret Service revealed Billingsley’s statements were false and that SK Trucking did not exist. He pleaded guilty in December 2013 to a federal indictment charging him with making a false statement under oath.
Man Pleads Guilty to Transporting a Minor to Morth Carolina and Production of Child PornographyRead the Press Release
Rochester, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that William H. Schliebener, Jr., 51, formerly of Sanford, NC, pleaded guilty before U.S. District Judge Frank P. Geraci, Jr., to transporting a minor in interstate commerce for the purpose of illegal sexual activity and production of child pornography. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, a fine of $250,000 or both.
Assistant U.S. Attorney Marisa J. Miller, who is handling the case, stated that the defendant came to the attention of law enforcement in October 2010 when a young Canandaigua girl was reported missing. Members of the Canandaigua Police Department and the Lee County, North Carolina Sheriff’s Department found the child with the defendant in North Carolina. As part of his plea, Schiebener admitted to transporting the child from Canandaigua to North Carolina with the intent to engage in illegal sexual activity. Following the discovery of the child, a search warrant was executed at the defendant’s residence in North Carolina, and officers seized computers and digital media. Forensic analysis of the media revealed images of the defendant engaged in sexual activity with three children. As part of his plea, Schliebener also pleaded guilty to three counts of producing images of child pornography.
The defendant was scheduled to go to trial on the charges on Monday, April 7, 2014.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The plea was the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, members of the Canandaigua Police Department, under the direction of Chief Jonathan P. Welch, and members of the Lee County, North Carolina Sheriff’s Department, under the direction of Sheriff Tracy L. Carter.
Sentencing is scheduled for July 10th, at 3:00p.m. before of Judge Geraci.Madras Man Sentenced in Federal Court to over 11 Years in Prison for Possession with Intent to Distribute MethamphetamineRead the Press Release
Police Seize Methamphetamine, Handguns, and Cash from Defendant’s HomePORTLAND, Ore. – Juan Miguel Lopez, 29, of Madras, Oregon, was sentenced on Monday, March 31, 2014, to 135 months in federal prison by U.S. District Judge Marco A. Hernandez. In December 2013, Lopez pled guilty to one count of possession with intent to distribute more than 50 grams of actual methamphetamine. The defendant is currently in the custody of the United States Marshals Service. After Lopez has completed his 135-month prison term, he will be required to serve 5 years of supervised release, during which time he will be prohibited from associating with any gang members.
“Mr. Lopez was a dangerous, armed drug dealer who spread destruction throughout Central Oregon and Warm Springs,” stated U.S. Attorney Amanda Marshall. “The long prison term imposed by Judge Hernandez will protect the public from this prolific drug dealer.”
Lopez, who went by the nickname “Monster,” told police that he was associated with the Mexican Mafia. Prior to this federal case, Lopez had five prior felony convictions for either delivery or possession of drugs. Lopez also has a prior conviction in Jefferson County Circuit Court for reckless endangerment, based on his hurling a bottle at a woman and throwing gang signs at Cove Palisades State Park.
This federal conviction for possession with intent to distribute methamphetamine is based on a search warrant executed at Lopez’s home on August 6, 2012, in Madras. During the search warrant, police officers seized approximately one-half pound of methamphetamine, a .45 caliber semiautomatic handgun, a .40 caliber semiautomatic handgun, ammunition, scales, drug packaging materials, and $2,655 in cash. Defendant, who was on Jefferson County probation at the time, was arrested that same day.
An investigation by the Warm Springs Police Department’s High Intensity Drug Trafficking Area (“HIDTA”) task force revealed that Lopez had been selling drugs around the Madras and Warm Springs areas. The defendant admitted to police that the two handguns seized from his home did, in fact, belong to him. Lopez told the police that he bought the firearms from an unidentified person at the Indian Head Casino in Warm Springs.
The case was investigated by the Warm Springs Police Department’s HIDTA task force. Assistant U.S. Attorney Scott Kerin prosecuted the case.
Lincoln Residents Charged with Harboring a FugitiveRead the Press Release
On April 4, 2014, a complaint was unsealed charging Aaron James Jackson, 28 of Lincoln, harboring a fugitive. The complaint alleges that between March 20, 2014, and April 4, 2014, Aaron James Jackson was aware that a federal warrant had been issued for his brother, Jason Robert Jackson, for conspiracy to distribute methamphetamine. During that time, Aaron Jackson helped his brother evade the Metropolitan Fugitive Task Force’s efforts to locate him. Aaron Jackson had his first court appearance on April 4, 2014, and he was detained. Aaron Jackson faces up to five years in prison and a fine of up to $250,000.
Jason Robert Jackson remains at large and is considered armed and dangerous. Persons with information about Jackson’s whereabouts should contact their local law enforcement agency.
This case was investigated by the Metro Fugitive Task Force, including officers and agents of the United States Marshals Service, the Lancaster County Sheriff’s Department, and the Lincoln Police Department.
Lake Andes Man Resentenced for Sexual Assault and BurglaryRead the Press Release
United States Attorney Brendan V. Johnson announced that James Bruguier, a/k/a James Bruguier, Jr., age 28, of Lake Andes, South Dakota, was sentenced on March 31, 2014, by U.S. District Judge Karen E. Schreier.
In August of 2011, Bruguier was found guilty by a jury of Aggravated Sexual Abuse, Sexual Abuse of a Minor, and First Degree Burglary for separate sexual assaults on two teenagers from the Yankton reservation. The testimony at trial revealed that one of the sexual attacks perpetrated by Bruguier occurred in the home of the victim when Bruguier crawled through a window uninvited, assaulted the teenager, and then raped her.
Bruguier was originally Indicted in February of 2011 by a federal grand jury, and then re-indicted as more victims were discovered. After his convictions by the jury in 2011, Bruguier was sentenced to 360 months in custody. He appealed to the 8th Circuit Court of Appeals who ordered a resentencing. On March 31, 2014, Bruguier was resentenced to concurrent sentences of 354 months, 300 months, and 180 months for the 3 convictions.
The case was investigated by the Federal Bureau of Investigation and the Yankton Sioux Tribal Police Department. Assistant U.S. Attorney Thomas J. Wright prosecuted the case.
Bruguier was immediately turned over to the custody of the U.S. Marshals Service.
Investment Manager Sentenced in Manhattan Federal Court to 87 Months in Prison for Perpetrating Multimillion-Dollar Fraud SchemesRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that STEPHEN COLANGELO, Jr., was sentenced yesterday to 87 months in prison in connection with two separate schemes that defrauded investors out of more than $3.5 million. COLANGELO’s first scheme involved a hedge fund he controlled called the Brickell Fund, LLC (the “Brickell Fund”), and his second scheme involved three companies he created and controlled called “Hedge Community,” “Start A Hedge Fund,” and “Under the Radar SEO” (collectively, the “Business Ventures”). COLANGELO misled investors in the course of both of these schemes by making numerous misrepresentations, which included issuing fraudulent performance statements, private placement memoranda, and other business documents. In addition to his prison sentence, COLANGELO was ordered to pay restitution to the victims of his schemes, which totals approximately $3.5 million. COLANGELO pled guilty on December 19, 2013, to two counts of securities fraud and two counts of wire fraud, and was sentenced today by U.S. District Judge Robert W. Sweet in Manhattan federal court.
Manhattan U.S. Attorney Preet Bharara said: “Stephen Colangelo solicited investor money under false pretenses, and issued fraudulent materials to prop up his phony investment vehicles. Despite lofty promises to investors about their expected returns, the only one guaranteed to make money under his schemes was Colangelo. Now he has learned the true cost of doing business that way.”
According to the Indictment and related court documents and proceedings:
From March 2009 to February 2011, COLANGELO represented that he was an investment manager and solicited funds from private investors for the Brickell Fund, a purported hedge fund he operated. In the course of soliciting funds from investors, COLANGELO made numerous misrepresentations. Specifically, he told potential investors that his compensation for managing their investments in the Brickell Fund would be a nominal management fee and a certain percentage of trading profits, thus ensuring his compensation would be dependent on his trading success. In reality, COLANGELO regularly misappropriated large amounts of investor money for his own personal benefit and to support unrelated business ventures. He also regularly made false claims to investors about investment strategy and alleged profits.
From August 2009 to October 2011, COLANGELO also solicited investments in the Business Ventures. In doing so, COLANGELO represented that investment money would be used for legitimate business expenses, when in reality, he misappropriated a large amount of the investments for his own personal benefit.
Both schemes combined led to net losses to investors of approximately $3.5 million.
COLANGELO, 46, of Congers, New York, was also sentenced to 3 years of supervised release and was ordered to pay a mandatory $400 special assessment.
Mr. Bharara praised the investigative work of the Federal Bureau of Investigation and also thanked the Securities and Exchange Commission for its assistance.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive,
coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20
federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition
of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. For
more information on the task force, please visit www.StopFraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney John J. O’Donnell is in charge of the prosecution.
Interior Man Pleads Not Guilty to Assault on A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that an Interior, South Dakota, man has been indicted by a federal grand jury for Assault on a Federal Officer.
Justin Janis, age 21, was indicted on February 19, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on March 27, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 8 years 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 charge relates to Janis assaulting a female federal officer on November 27, 2013, near Kyle.
The charge is merely an accusation and Janis 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.
Janis was released on bond pending trial. A trial date has not been set.
Information: Federal Court ArraignmentsRead the Press Release
The United States Attorney's Office today announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Ostby in Billings on March 31, 2014 and entering pleas of Not Guilty were:
- MARQUIS DELAFEVETTE DAVIS, a 33 year-old resident of Billings, appeared on charges of felon in possession of a firearm. If convicted of the charge contained in the indictment, DAVIS faces 10 years imprisonment, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco and Firearms. PACER Case Reference: 14-33
- STEVEN DOUGLAS FOURSTAR, a 46-year-old resident of Shepard, appeared on charges of unlawful purchase of ephedrine base and pseudoephedrine. If convicted of the most serious charge contained in the indictment, FOURSTAR faces 1 year imprisonment and $1,000 in fines. The case was investigated by the Drug Enforcement Administration. PACER Case Reference: 14-25
- DANIEL JOSEPH HARPOLD, a 39-year-old resident of Billings, appeared on charges of possession of a firearm with an obliterated serial number and possession of a sawed-off firearm. If convicted of the most serious charge contained in the indictment, HARPOLD faces 10 years imprisonment, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco and Firearm. PACER Case Reference: 14-31
Appearing before U.S. Magistrate Lynch in Missoula on April 1, 2014 and entering pleas of Not Guilty were:
- CHARLES DOUGLAS MYERS, a 29-year-old resident of Bozeman, appeared on charges of felon in possession of a firearm and possession of a stolen firearm. If convicted of the most serious charge in the indictment, MYERS faces 10 years imprisonment, $250,000 in fines and 3 years supervised release. The case was investigated by the Bureau of Alcohol, Tobacco and Firearms. PACER Case Reference: 14-06
Appearing before U.S. Magistrate Strong in Great Falls on April 1, 2014 and entering please of Not Guilty were:
- TIMOTHY SEAN COLEMAN, a 43-year-old resident from Walla Walla, Washington, appeared on charges of conspiracy to possess with intent to distribute methamphetamine, possession with intent to distribute methamphetamine and distribution of methamphetamine. If convicted of the most serious charge contained in the indictment, COLEMAN faces life imprisonment, $10,000,000 in fines and 5 years supervised release. The case was investigated by Homeland Security Investigations. PACER Case Reference: 13-103
Appearing before U.S. Magistrate Strong in Great Falls on April 2, 2014 and entering pleas of Not Guilty were:
- ELAINE FASTHORSE, a 30 year-old-resident of Poplar, appeared on charges of assault with a dangerous weapon and kidnaping. If convicted of the most serious charge in the indictment, FASTHORSE faces life imprisonment, $250,000 in fines and 5 years supervised release. The case was investigated by the Federal Bureau of Investigation and Fort Peck Tribes Department of Law and Justice. PACER Case Reference: 14-15
- JEANETTE PAYNE, a 27-year-old resident of Wolf Point, appeared on charges of distribution of methamphetamine, distribution of methamphetamine in the presence of a minor and felony child abuse and neglect. If convicted of the most serious charges in the indictment, PAYNE faces 20 years imprisonment, $1,000,000 in fines and 3 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference: 14-20
Appearing before U.S. Magistrate Ostby in Billings on April 2, 2014 and entering pleas of Not Guilty were:
- SHAWN ALLEN CASSIDY, a 34-year-old transient, appeared on charges of incest and aggravated sexual abuse. If convicted of the most serious charge contained in the indictment, CASSIDY faces life imprisonment, $250,000 in fines and 5 years supervised
The case was investigated by the Federal Bureau of Investigation. PACER Case Reference: 12-93
- ERIC BLAINE SIMPSON, a 48-year-old resident of Billings, appeared on charges of felon in possession of firearms, possession of a firearm with obliterated serial number and possession of unregistered firearms. If convicted of the most serious charges contained in the indictment, SIMPSON faces 10 years imprison, $250,000 in fines and 3 years supervised release. PACER Case Reference: 14-31
- GARRETT SIDNEY WADDA, a 35-year-old transient, appeared on charges of first degree murder and aggravated sexual abuse. If convicted of the most serious charge contained in the indictment, WADDA faces life imprisonment, $250,000 in fines and 5 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference: 14-27
The indictment is merely a formal charging document. It is not proof of guilt and all persons indicted are presumed to be innocent of any crime until proof of guilt is established by trial or guilty plea.
The U.S. Attorney's Office is currently transitioning its media program to new media contacts. Resources and this transition may affect the amount of information the office can process and disclose in a timely manner. Therefore, if any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html.
To access the district court's calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Illinois Man Charged with Criminal TrespassRead the Press Release
United States Attorney Brendan V. Johnson announced that a Chicago, Illinois, man has been indicted by a federal grand jury for Criminal Trespass.
Steven Nichols, age 43, was indicted on March 18, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on March 28, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 1 year in custody and/or a $100,000 fine, 1 year of supervised release, and $25 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge stems from an incident that took place on March 14, 2014, when Nichols, a non-Indian, entered or remained on the Rosebud Sioux Indian Reservation after the Rosebud Sioux Tribal Court and Rosebud Sioux Tribal Council excluded him from entering its lands.
The charge is merely an accusation and Nichols 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 Tim Maher is prosecuting the case.
Nichols was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
I-55 Bandit Sentenced on Bank Fraud ChargesRead the Press Release
St. Louis, MO – ANDREW MABERRY, O’Fallon, IL, who the FBI referred to as the I-55 Bandit, was sentenced to 60 months in prison on bank robbery charges, including the July 2, 2013, robbery of the Commerce Bank in Jefferson County, Missouri. He entered his guilty plea last December and was sentenced today in St. Louis by United States District Judge Catherine D. Perry.
According to court documents, on July 2, 2013, Maberry robbed the Commerce Bank in Arnold, Missouri. He also admitted with his plea agreement to nine other robberies in five states: May 15, 2013, US Bank in Crystal City, Missouri; May 21, 2013, First State Community Bank in Cape Girardeau, Missouri; May 6, 2013, Scott Credit Union in Edwardsville, Illinois; June 5, 2013, Harford Bank in Bel Air, Maryland; June 9, 2013, TD Bank located in Essex, Maryland; July 19, 2013, Wells Fargo Bank in Bel Air, Maryland; July 24, 2013, Susquehanna Bank in Ocean City, Maryland; July 30, 2013, Huntington National Bank in Hurricane, West Virginia; and August 14, 2013, Bank of Jackson in Jackson, Tennessee. On September 10, 2013, a multi-state press release was issued, which included bank security camera photographs of the robber who had been dubbed the "I-55 Bandit." The FBI here and in other districts received numerous phone calls from individuals stating that they know Andrew Maberry. On the same date, FBI in St. Louis was contacted and told that the I-55 Bandit wanted to turn himself in, and on September 11, 2013, Andrew Caleb Maberry turned himself in to the FBI in St. Louis.
This case was investigated by the Federal Bureau of Investigation with assistance from multiple law enforcement agencies from several states. Assistant United States Attorney Tom Mehan handled the case for the U.S. Attorney’s Office.
Hartford Woman Sentenced for Unlawful Selling of Migratory BirdsRead the Press Release
United States Attorney Brendan V. Johnson announced that a Hartford, South Dakota, woman charged by Information with Unlawful Selling of Migratory Birds pled guilty to and was sentenced on March 24, 2014, by U.S. Magistrate Judge John E. Simko.
Karen Leisinger, age 49, was sentenced to a fine of $2,500, restitution to the U.S. Fish & Wildlife in the amount of $3,900, and $10 to the Federal Crime Victims Fund.
The conviction is a result of Leisinger selling wood ducks and Canada geese in 2011. At the time of the sale, Leisinger did not have valid state or federal permits to sell migratory birds.
The investigation was conducted by the U.S. Fish & Wildlife Service. The case was prosecuted by Assistant U.S. Attorney Meghan N. Dilges.
Gun Dealer Indicted for Sale of Firearms to A FelonRead the Press Release
April 4, 2014
AUGUSTA, GA – An indictment was returned yesterday by a federal Grand Jury sitting in Savannah, Georgia against William Arnold Debow, 53, a federally licensed firearms dealer who was doing business as The Ponderosa Trading Company. Debow was charged with 28 counts of knowingly transferring a firearm to a convicted felon and with 10 counts of illegally transferring a handgun to out of state residents.
Knowingly transferring a firearm to a felon carries a maximum prison sentence of 10 years and a maximum fine of $250,000 for each count. Illegally transferring a handgun to an out of state resident carries a maximum 5 year prison sentence and a $250,000 fine for each count. United States Attorney Edward Tarver emphasized that the indictment is only an accusation and is not evidence of guilt. The defendant is entitled to a fair trial, during which it will be the Government’s burden to prove guilt beyond a reasonable doubt.
The case was investigated by the ATF. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Grand Jury Returns an Indictment Against State Senator Yee, Raymond “Shrimpboy” Chow, and Twenty-Seven Related DefendantsRead the Press Release
SAN FRANCISCO – A federal grand jury returned an Indictment yesterday charging twenty-nine defendants with firearms trafficking, money laundering, murder-for-hire, drug distribution, trafficking in contraband cigarettes, and honest services fraud, announced U.S. Attorney Melinda Haag, FBI Special Agent in Charge David J. Johnson, and Internal Revenue Service, Criminal Investigation, Special Agent in Charge José M. Martinez. The indictment follows the March 26, 2014 arrests authorized by criminal complaint.
The defendants are charged in the indictment as follows:
DEFENDANT
CHARGES
Kwok Cheung CHOW, a/k/a Raymond CHOW, a/k/a Shrimp Boy
Money Laundering (18 USC § 1956), Conspiracy to Traffic Contraband Cigarettes (18 USC §§ 371, 2342, 2344), Conspiracy to Transport and Receive Stolen Property in Interstate Commerce (18 USC §§ 371, 2314, and 2315)
Leland YEE
Honest Services Conspiracy (18 USC §1349), Wire Fraud (18 USC §§ 1343, 1346), Conspiracy to Deal in Firearms and Import Firearms (18 USC §§ 371, 922(a), 922(l))
George NIEH, a/k/a Heng Nieh, a/k/a Ah Fei
Money Laundering (18 USC 1956), Unlicensed Firearms Dealing (18 USC § 922(a)), Felon in Possession of Firearm (18 USC § 922(g)), Conspiracy to Traffic Contraband Cigarettes (18 USC §§ 371, 2342, 2344), Conspiracy to Transport and Receive Stolen Property in Interstate Commerce (18 USC §§ 371, 2314, and 2315), Narcotics Conspiracy (21 USC § 846)
Keith JACKSON
Wire Fraud (18 USC §§ 1343, 1346), Engaging in Business of Dealing in Firearms (18 USC § 922(a)), Narcotics Conspiracy (21 USC § 846), Murder for Hire (18 USC § 1958), Conspiracy to Deal in Firearms and Import Firearms (18 USC §§ 371, 922(a), 922(l))
Brandon JACKSON
Narcotics Conspiracy (21 USC § 846), Unlicensed Firearms Dealing (18 USC § 922(a)), Murder for Hire (18 USC §1958)
Marlon SULLIVAN
Narcotics Conspiracy (21 USC § 846), Unlicensed Firearms Dealing (18 USC § 922(a)), Murder for Hire (18 USC § 1958)
Rinn ROEUN
Unlicensed Firearms Dealing (18 USC § 922(a)), Murder for Hire (18 USC § 1958)
Alan CHIU, a/k/a Alan Shiu
Money Laundering (18 USC § 1956)
Kevin SIU
Money Laundering (18 USC § 1956)
Kongphet CHANTHAVONG, a/k/a “Joe,” a/k/a “Fat Joe”
Narcotics Conspiracy (21 USC § 846), Money Laundering (18 USC § 1956), Felon in Possession of a Firearm (18 USC § 922(g)), Possession of Narcotics with Intent to Distribute (21 USC § 841), Possession of a Firearm in Furtherance of a Drug Trafficking Crime (18 USC § 924(c))
Michael MEI
Possession of Narcotics with Intent to Distribute (21 USC § 846)
Andy LI
Money Laundering (18 USC § 1956), Narcotics Conspiracy (21 USC 846), Unlicensed Firearms Dealing (18 USC § 922(a)), Felon in Possession of Firearm (18 USC § 922(g))
Leslie YUN
Money Laundering (18 USC § 1956), Conspiracy to Traffic in Stolen and Contraband Cigarettes (18 USC §§ 371, 2315, 2342, 2344)
James PAU
Money Laundering (18 USC § 1956), Conspiracy to Traffic in Stolen and Contraband Cigarettes (18 USC §§ 371, 2315, 2342, 2344)
Jane LIANG
Conspiracy to Transport and Receive Stolen Property (18 USC §§ 371, 2315)
Tina LIANG
Conspiracy to Transport and Receive Stolen Property (18 USC §§ 371, 2315), Narcotics Conspiracy (21 USC § 846)
Brian TILTON
Conspiracy to Transport and Receive Stolen Property (18 USC §§ 371, 2315), Narcotics Conspiracy (21 USC § 846)
Ming MA
Conspiracy to Receive Stolen Property (18 USC §§ 371, 2315)
Hon SO
Conspiracy to Receive Stolen Property (18 USC §§ 371, 2315)
Norge MASTRANGELO
Money Laundering (18 USC §1956)
Albert NHINGSAVATH
Money Laundering (18 USC § 1956)
Serge GEE
Money Laundering (18 USC § 1956)
Xi Ling LIANG, a/k/a Elaine LIANG
Money Laundering (18 USC § 1956)
Gary CHEN
Money Laundering (18 USC § 1956)
Anthony LAI
Money Laundering (18 USC § 1956)
Tong ZHANG
Conspiracy to Traffic Contraband Cigarettes (18 USC §§ 371, 2342, 2344)
Zhanghao WU
Conspiracy to Traffic Contraband Cigarettes (18 USC §§ 371, 2342, 2344)
Barry Blackwell HOUSE
Dealing Firearms without a License (18 USC § 922(a)), Possession of Firearm by a Felon (18 USC § 922(g)(1))
WILSON SY LIM, a/k/a “Dr. Lim”
Conspiracy to Traffic in Firearms Without a License, and to Illegally Import Firearms, in violation of (18 USC §§ 371, 922(a)(1))
The maximum penalties for the violations are as follows:
18 U.S.C. § 1956(a)(1) Twenty years in prison
Three years supervised release
$500,000 fine
$100 special assessment
18 U.S.C. § 1956(a)(3) Twenty years in prison
Three years supervised release
$500,000 fine
$100 special assessment
18 U.S.C. § § 371,
2314, 2315
Five years in prison
Three years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. § § 371, 2315,
2342(a), 2344
Five years in prison
Three years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. § 922(a)(1)
Five years in prison
Three years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. § 922(g)(1)
Ten years in prison
Three years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. §§ 371,
922(a)(1), 922(l)
Five years in prison
Three years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. § 924(c)
From five years to life
Five years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. § 1958
Ten years in prison
Three years supervised release
$250,000 fine
$100 special assessment
18 U.S.C. § § 1343,
1346, 1349
Twenty years in prison
Three years supervised release
$250,000 fine
$100 special assessment
21 U.S.C. § 841
From five years to forty years in prison
Four years supervised release
$5 million fine
$100 special assessment
21 U.S.C. § 841, 846
Five years in prison, with five or ten year
mandatory minimum in some instances
Three to five years supervised release
$250,000 to $10 million fine
$100 special assessment
An Indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendants are subject to the maximum penalties stated above. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
William Frentzen, Susan Badger, and Waqar Hasib are the Assistant U.S. Attorneys who are prosecuting the case. The prosecution is the result of a five-year investigation by the FBI, Internal Revenue Service-Criminal Investigations Division, San Francisco Police Department, Oakland Police Department, and Antioch Police Department.
(Chow indictment )
Georgia Woman Pleads Guilty to Damaging a Protected ComputerRead the Press Release
ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Annette Kendrick, of Marietta, Georgia, pleaded guilty before U.S. Magistrate Judge Marian W. Payson, to a charge of recklessly causing damage to a protected computer. The charge carries a maximum penalty of one year in prison, a fine of $100,000 or both.
Assistant U.S. Attorney, Bradley E. Tyler, who is handling the case, stated that the defendant intentionally and without authorization logged into the computer domain of a Rochester company. After logging on, Kendrick caused modifications to various job applications, job postings and job posting requirements. As part of the unauthorized intrusion, the defendant caused e-mails with false information to be sent to outside employment agencies about the company’s job postings, and to job applicants, saying that they were no longer being considered for a position. Kendrick’s unauthorized intrusion caused the company to incur costs of $50,034.96 to investigate, repair and re-secure the company’s computer domain.
The plea is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation.
Sentencing is scheduled for August 6, 2014, at 11 a.m. before Magistrate Judge Payson.Fraudsters Who Collected Thousands of Dollars in Unemployment Benefits Have Pleaded Guilty to Federal Theft ChargesRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that five individuals from across Eastern Washington, who fraudulently collected unemployment benefits from the Washington State Employment Security Division, have pleaded guilty to Federal charges of Theft of Government Funds, in violation of 18 U.S.C. § 641. Each of the fraudsters unlawfully collected thousands of dollars in unemployment benefits, ranging from $5,500.00 to $36,000.00.
The Washington State Employment Security Division implements the unemployment benefits program in the state of Washington. For an individual to receive unemployment benefits, he or she must submit a weekly claim to the Washington State Employment Security Division, certifying that he or she is unemployed and entitled to benefits under the program. The state program is overseen by the United States Department of Labor and any fraud committed against the program is a Federal crime.
On February 20, 2014, Elke Anna Marie Covey, age 56, of Spokane Valley, Washington, pleaded guilty to Theft of Government Funds. According to information disclosed during the court proceedings, which were presided over by Chief United States District Court Judge Rosanna Malouf Peterson, Covey claimed unemployment benefits from August, 2010 through October, 2011. Each week during this period of time Covey claimed she was not working and had no reportable earnings, when in truth she was collecting monies from the Washington Department of Social and Health Services for providing child care. Covey unlawfully collected approximately $23,022.00 in benefits. CR-13-130-RMP.
On February 20, 2014, Sherrie Lynn Clark, age 49, of Spokane, Washington, also pleaded guilty to Theft of Government Funds. According to information disclosed during the court proceedings, which were presided over by United States District Court Judge Thomas O. Rice, Clark claimed unemployment benefits from August, 2009 through October, 2010. Each week during this period of time Clark certified that she was neither working nor receiving income. In fact, Clark was employed by a company located in Idaho. Clark admitted to investigators that she falsely claimed she was unemployed when she submitted her weekly claim for benefits to the Washington Employment Securities Division. Clark also admitted that she unlawfully collected approximately $36,332.00 in unemployment benefits. CR-13-129-TOR.
Similarly, on December 16, 2013, Albert Junior Riojas, age 31, of Yakima, Washington, pleaded guilty to Theft of Government Funds. According to information disclosed during the court proceedings, which were presided over by Senior United States District Court Judge Wm. Fremming Nielsen, Riojas began submitting claims for benefits in December, 2009, after losing his employment with the City of Toppenish. However, from December, 2010 through October, 2011, Riojas continued to collect unemployment benefits after he secured employment. Riojas submitted weekly claims for benefits, unlawfully certifying that he was not employed. Riojas admitted his fraudulent conduct to investigators and that he unlawfully collected over $18,500.00 in unemployment benefit payments. CR-13-2106-WFN.
On October 24, 2013, Matthew Allegal Loges, age 33, of Prosser, Washington, also pleaded guilty to Theft of Government Funds. In this case, which was presided over by Senior United States District Court Judge Lonny R. Suko, it was disclosed that Loges began to submit claims for unemployment benefits in May, 2011. He was subsequently incarcerated in a state correctional facility on unrelated state charges in September, 2011, yet continued to submit claims for unemployment benefits until November 2011. Each week Loges certified he was available from, able to, and actively seeking employment. Loges admitted to investigators that he falsely submitted the claims, and stated he considered the payments a "low-interest loan from the state" which he could use to make the payments on a new boat and a new car while incarcerated. Loges fraudulently collected approximately $5,755.00 in benefits. CR-13-6059-LRS.
On October 22, 2013, Bobby Joe Perez, age 33, of Kennewick, Washington, also pleaded guilty to Theft of Government Funds. Senior United States District Court Judge Wm. Fremming Nielsen presided over the case, during which it was disclosed that Perez began to file for unemployment benefits beginning in 2003, and thereafter, sporadically filed for benefits in subsequent years. The investigation revealed that, from April, 2011 through January, 2012, Perez was actually employed, but each week during this time period he falsely reported he was unemployed. Perez unlawfully collected approximately $16,980.00 in benefits. Of note, based on a Washington State Employment Security Division investigation in 2009, Perez was found to have fraudulently submitted and collected unemployment benefits from the program – at that time he was barred from collecting benefits for six months and required to repay the monies he had received. CR-13-6060-WFN.
Michael C. Ormsby stated, "The United States Attorney's Office for the Eastern District of Washington is committed to ferreting out and prosecute aggressively fraud-induced "white collar" crimes. The investigation and prosecution of these cases is just one example of this commitment. I commend the superb work of this Office's state and Federal investigative partners."
These cases were investigated by the U.S. Department of Labor (Office of Inspector General), the Washington Employment Security Department, and the Federal Bureau of Investigation. These cases are being prosecuted by Caitlin A. Baunsgard, an Assistant United States Attorney for the Eastern District of Washington.
Fort Thompson Man Sentenced for Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that a Fort Thompson, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on March 31, 2014, by U.S. District Judge Roberto A. Lange.
Patrick Scott Pomani, age 33, was sentenced to 30 months in custody, 5 years of supervised release and a $100 special assessment to the Federal Crime Victims Fund.
Pomani was indicted by a federal grand jury on July 16, 2013. He pled guilty on January 22, 2014.
The conviction stems from Pomani failing to register as a sex offender between April 28, 2013, and July 16, 2013. Pomani was previously convicted of a sex offense in federal court, and he is required by law to register under the Sex Offender Registration and Notification Act.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Pomani was immediately turned over to the custody of the U.S. Marshals Service.