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24 April 2014
Cambria County Man to Spend 3 Years in Prison for Role in Oxycodone Distribution SchemeRead the Press Release
JOHNSTOWN, Pa. - A resident of Portage, Pa., has been sentenced in federal court to 37 months in prison and three years supervised release on his conviction of conspiracy to traffic in oxycodone, United States Attorney David J. Hickton announced today.
United States District Judge Kim R. Gibson imposed the sentence on Eugene Moyer, Jr., 55, of Portage, Pa.
According to information presented to the court, from Jan. 17, 2013, to Feb. 6, 2013, Moyer conspired with others to distribute and possess with the intent to distribute a quantity of oxycodone.
Assistant United States Attorney Stephanie L. Haines prosecuted this case on behalf of the government.
Mr. Hickton commended the Federal Bureau of Investigation and the Pennsylvania Office of the Attorney General for the investigation leading to the successful prosecution of Moyer.
CEO Pleads Guilty to Embezzling at least $208,000 from KC CompanyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that the former CFO/CEO of a Kansas City, Mo., company has pleaded guilty in federal court to a wire fraud scheme in which he embezzled at least $208,000 and as much as $338,221.
James Anthony Kilkenny, 50, of Kansas City, pleaded guilty on Wednesday, April 23, 2014, before U.S. District Judge Dean Whipple to one count of wire fraud.
Kilkenny was an employee of Waechtersbach USA, Inc. from December 1998 until his termination in April 2012, at which time he was the CFO/CEO. Waechtersbach USA, located at 4201 N.E. 34th Street, Kansas City, Mo., is a distributor/vendor that purchases products from the German and Asian companies to distribute to U.S. retailers. Waechtersbach USA’s parent company is located in Germany.
By pleading guilty, Kilkenny admitted that he engaged in a nine-year-long, multi-pronged plan to embezzle from Waechtersbach between 2003 and 2012. Kilkenny admitted that, during this time, he overpaid his own salary by $133,592. In 2006, Waechtersbach management notified Kilkenny that he was required to take a pay cut from $135,000 to $115,000 because of company-wide cutbacks. Starting the following year on Jan. 15, 2007, however, Kilkenny began increasing his salary and overpaying himself without the company’s knowledge. He accomplished this by paying himself an extra $35,000 that was broken down into two accounts and disguised as “warehouse” and “office” expenses.
Kilkenny also admitted that he used company funds to pay back loans he had taken against his 401K account ($75,169 loss) and issued unauthorized company checks to himself and others ($29,783 loss). The government contends that Kilkenny also used company funds to pay for his dependents’ health insurance without Waechtersbach’s knowledge or express authorization ($12,041 loss) and used the company’s travel credit card for personal, local expenses ($87,633 loss).
Kilkenny admitted the loss was at least $208,762; the government believes the total amount of loss was $338,221. Under the terms of today’s plea agreement, Kilkenny must forfeit to the government a money judgment of at least $208,825, up to $400,000, depending on the loss amount determined by the court.
As CFO/CEO, Kilkenny was the person tasked with reporting Waechtersbach’s financials to the company’s owner. His embezzlement came to light when the owner of the company was notified by the U.S. Customs Department that the company had received an $80,000 import tax refund. The owner became suspicious and came to Kansas City to investigate. An internal investigation revealed that Kilkenny received the $80,000 refund but reported that the refund was for only $8,000. Kilkenny instructed the employees in the Kansas City office to lie about the amount if asked. The company then began investigating all of Kilkenny’s spending, which led to the discovery of over $200,000 that Kilkenney had embezzled.
Under federal statutes, Kilkenny is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Daniel M. Nelson. It was investigated by the Kansas City, Mo., Police Department.Buffalo Man Sentenced on Drug ChargesRead the Press Release
BUFFALO, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that William Smith, 34, of Buffalo, N.Y., who was convicted of conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine, was sentenced to 120 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Thomas S. Duszkiewicz, who handled the case, stated that on February 13, 2012, the Buffalo Office of the Drug Enforcement Administration received a telephone call regarding an alleged drug trafficking conspiracy transporting and distributing 50 kilograms a month from Chicago to Buffalo. That information resulted in the arrest of seven defendants, including Smith, all of whom have been convicted.
Also during the investigation, agents seized more than $550,000 in cash, approximately two kilograms of cocaine, other drug paraphernalia, four weapons, and a Ford Mustang.
The conviction is the culmination of an investigation on the part of Special Agents of the Drug Enforcement Administration, under the direction of James J. Hunt, Acting Special Agent in Charge, New York Field Division.
Bronx Contractor Pleads Guilty in Manhattan Federal Court to Defrauding New York State’S Low-Income Cancer Screening ProgramRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that JOSEPH L. JUNKOVIC, a contractor who administered cancer screening services for low-income New Yorkers, pled guilty today to defrauding the New York State Department of Health (“NYSDOH”). JUNKOVIC pled guilty before U.S. District Judge Katherine B. Forrest.
Manhattan U.S. Attorney Preet Bharara said: “Joseph Junkovic used his contract position with the New York State Department of Health to enrich himself and cheat the public out of hundreds of thousands of dollars intended for low-income New Yorkers in need of potentially lifesaving services. With today’s guilty plea, Junkovic will be made to pay for short-term financial gain by a likely term in federal prison.”
According to the allegations made in previously filed Court papers and statements made at today’s plea proceeding:
From April 2008 through September 2011, JUNKOVIC used a not-for-profit corporation that he controlled, Cancer Service Network, Inc. (“CSN”), to obtain more than 18 separate contracts with NYSDOH to provide cancer screening services for indigent New Yorkers. CSN, however, was merely a pass-through organization run out of JUNKOVIC’s home in the Bronx, and JUNKOVIC directed the monies CSN received from NYSDOH to administer the cancer screening programs to his personal consulting company, JLJ Consulting Group, Ltd. (“JLJ”). In billing NYSDOH for his services, JUNKOVIC submitted separate invoices for each contract listing the total number of hours he claimed to have worked each month. When added together, JUNKOVIC frequently billed NYSDOH for well more than 600 hours per month – more than 140 hours per week (20 hours a day, including Saturdays and Sundays) – for his purported services, even while he was frequently on vacation or spending thousands of dollars at various casinos.
For some months, JUNKOVIC claimed he had worked so many hours on multiple contracts simultaneously that he billed a total of more than 24 hours a day for his services. On other occasions, he claimed he worked hundreds of hours while he was overseas. For example, for the month of August 2010, CSN billed NYSDOH for more than 590 hours of JUNKOVIC’s time, even though travel and bank records show that JUNKOVIC traveled to Vienna, Austria, on August 6, 2010 and did not return until August 30, 2010.
As part of his plea agreement, JUNKOVIC admitted to causing more than $360,000 in losses to NYSDOH.
JUNKOVIC, 49, of the Bronx, New York, pled guilty to one count of making false statements in connection with a health care program and faces a maximum sentence of five years in prison. As part of the plea agreement, JUNKOVIC has agreed to forfeit $360,556, and to pay restitution to the State of New York an amount up to $360,556. JUNKOVIC is scheduled to be sentenced by Judge Forrest on July 30, 2014, at 1:00 p.m. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Bharara praised the investigative work of the Office of the New York State Comptroller.
This case is being prosecuted by the Office’s Public Corruption Unit. Assistant United States Attorney Andrew D. Goldstein is in charge of the prosecution.
U.S. v. Nick A. Jodha Information
Boise Man Admits Unlawfully Possessing AmmunitionRead the Press Release
BOISE – Michael Sean Crist, 46, of Boise, Idaho, pleaded guilty today in United States District Court to one count of unlawfully possessing ammunition, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, Crist possessed 555 rounds of ammunition on September 5, 2012. Crist was prohibited from possessing firearms and ammunition because of a previous felony conviction. According to court records, Crist was previously convicted in Ada County in 2004 of possessing a controlled substance with the intent to deliver. Crist was sentenced to prison, but was released on parole in 2011. As a condition of his release, Crist agreed to searches of his person or property. On September 5, 2012, parole officers searched Crist’s residence where they located a .22 semiautomatic pistol and a box of ammunition in Crist’s bedroom.
The charge is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release. The government is seeking forfeiture of the firearm and ammunition.
Crist is scheduled to be sentenced on July 14, 2014, by U.S. District Judge Edward J. Lodge at the federal courthouse in Boise.
The case was investigated by the Idaho Department of Probation and Parole, Meridian Police Department, and the Treasure Valley Metro Violent Crimes Task Force. The Metro Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole.
Crist is being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Barrio Azteca Lieutenant Who Ordered the Consulate <br /> Murders in Ciudad Juarez Sentenced to Life in PrisonRead the Press Release
Arturo Gallegos Castrellon, aka “Benny,” “Farmero,” “51,” “Guero,” “Pecas,” “Tury,” and “86,” 35, of Chihuahua, Mexico, the Barrio Azteca Lieutenant who ordered the March 2010 murders of a U.S. Consulate employee, her husband and the husband of another U.S. Consulate employee, was sentenced today to serve life in prison.
Acting Assistant Attorney General David A. O’Neil of the Justice Department’s Criminal Division, U.S. Attorney Robert Pitman for the Western District of Texas, Special Agent in Charge Douglas E. Lindquist of the FBI’s El Paso Division and Administrator Michele M. Leonhart of the U.S. Drug Enforcement Administration (DEA) made the announcement.
“ Arturo Gallegos Castrellon led the teams of assassins who carried out the U.S. Consulate shootings in March 2010 and ruthlessly murdered nearly 1,600 others as part of a cartel conflict over a drug trafficking route from Mexico into the United States,” said Acting Assistant Attorney General O’Neil. “His gang of killers terrorized and victimized men and women on both sides of the border, but thanks to the hard work of our law enforcement partners he will now spend the rest of his life in prison for his crimes.”
“I cannot overstate the significance of this victory in our ongoing efforts to end the depredations of the cartels operating along our Southern border,” said U.S. Attorney Pitman. “This prosecution has called to account Arturo Gallegos Castrellon for the senseless murders he orchestrated in Ciudad Juarez and elsewhere and demonstrates our commitment to ending the murder and mayhem he and the cartels have fomented.”
“The DEA is committed to ensuring cold-blooded criminals, like Arturo Gallegos Castrellon, who murder innocent victims, traffic huge amounts of drugs worldwide, and incite violence are taken off the street and remain behind bars,” said DEA Administrator Michele M. Leonhart. “Castrellon’s conviction and life sentence is a clear sign that the DEA, along with our law enforcement partners, will not tolerate those who attack Americans abroad and is committed to upholding the rule of law, protecting our citizens, and bringing to justice the world’s worst criminals.”
Today’s sentence was imposed by U.S. District Judge Kathleen Cardone in the Western District of Texas. In addition, Judge Cardone ordered Gallegos Castrellon to pay $998,840 in restitution and $785,500 in forfeiture.
After his extradition from Mexico on June 28, 2012, a federal jury found Gallegos Castrellon guilty of six counts of murder and conspiracies to commit racketeering, narcotics trafficking, narcotics importation, murder in a foreign country and money laundering.
Evidence at trial proved that Gallegos Castrellon was a leader in the Barrio Azteca (BA), a violent street and prison gang that began in the late 1980s and expanded into a transnational criminal organization. The BA formed an alliance with “La Linea,” part of the Juarez Drug Cartel, which is also known as the Vincente Carrillo Fuentes Drug Cartel (VCF). The purpose of the BA-La Linea alliance was to battle the Sinaloa Cartel and its allies for control of the drug trafficking route through Juarez, Chihuahua, Mexico. The drug route through Juarez, known as the Juarez Plaza, is important to drug trafficking organizations because it is a principal illicit drug trafficking route into the United States.
Evidence at trial also proved that Gallegos Castrellon was in charge of BA teams of assassins, which he helped create and supervised in 2008 through 2010. His teams killed up to 800 persons between January and August 2010, reaching a total of nearly 1,600 in a multi-year period.
Trial evidence also proved that Gallegos Castrellon ordered the March 13, 2010, triple homicide in Juarez, Chihuahua, Mexico, of U.S. Consulate employee Leslie Enriquez, her husband Arthur Redelfs, and Jorge Salcido Ceniceros, the husband of another U.S. Consulate employee.
A total of 35 defendants were charged in the third superseding indictment and are alleged to have committed various criminal acts, including the 2010 Juarez Consulate murders, as well as racketeering, narcotics distribution and importation, retaliation against persons providing information to U.S. law enforcement, extortion, money laundering, murder and obstruction of justice. Of the 35 defendants charged, 26 have been convicted, one committed suicide before the conclusion of his trial, and two remain fugitives, including Eduardo Ravelo, an FBI Top Ten Most Wanted Fugitive.
The case was investigated by the FBI’s El Paso Field Office, Albuquerque Field Office (Las Cruces Resident Agency), DEA Juarez, and DEA El Paso. Special assistance was provided by the Bureau of Alcohol, Tobacco, Firearms and Explosives; Immigration and Customs Enforcement; the U.S. Marshals Service; U.S. Customs and Border Protection; the Federal Bureau of Prisons; the U.S. Diplomatic Security Service; the Texas Department of Public Safety; the Texas Department of Criminal Justice; the El Paso Police Department; the El Paso County Sheriff’s Office; the El Paso Independent School District Police Department; the Texas Alcohol and Beverage Commission; the New Mexico State Police; the Dona Ana County, N.M., Sheriff’s Office; the Las Cruces, N.M., Police Department; the Southern New Mexico Correctional Facility and the Otero County Prison Facility New Mexico.
The case is being prosecuted by Trial Attorney Joseph A. Cooley of the Criminal Division’s Organized Crime and Gang Section, Trial Attorney Brian Skaret of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney John Gibson of the U.S. Attorney’s Office of the Western District of Texas - El Paso Division. Valuable assistance was provided by the Criminal Division’s Offices of International Affairs and Enforcement Operations.Bank Teller and Three Others Charged in Armed Robbery ConspiracyRead the Press Release
An Indictment was filed today charging Marquis Wilson, 23, Malcolm Moore, 23, Martril Foster, 21, and Calia Kane, 19, all of Philadelphia, PA, with conspiracy to commit armed bank robbery, armed bank robbery, carrying and using a firearm during and in relation to a crime of violence, and aiding and abetting, announced United States Attorney Zane David Memeger. According to the indictment, Calia Kane, who was a teller at the Wells Fargo bank branch in Bala Cynwyd, conspired with the three co-defendants, and sent them a signal, on November 4, 2013, of an opportune moment to commit the robbery. The armed robbers left the bank with $81,059. On November 12, 2013, Kane cased the Wells Fargo branch in Phoenixville and, again, signaled her co-conspirators about an opportune moment to rob the bank. The armed robbers left the bank with $70,470. All four defendants are in custody.
If convicted the defendants face a maximum possible sentence of lifetime imprisonment, with a mandatory minimum sentence of thirty-two years imprisonment consecutive to any other sentence imposed, and a $1,250,000 fine.
The case was investigated by the FBI, Lower Merion Township Police Department, and the East Pikeland Township Police Department, and is being prosecuted by Assistant United States Attorney Salvatore L. Astolfi.
Click here to view the indictment
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Bank Robber Sentenced to 188 Months in Federal PrisonRead the Press Release
Defendant Robbed Prosperity Bank on Kiest Boulevard in Dallas in October 2013
DALLAS — Ruling that the defendant was a career offender, today, U.S. District Judge Jane J. Boyle sentenced David Asher Agee, 26, of Dallas, to 188 months in federal prison, following his guilty plea in January 2014 to one count of bank robbery, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Agee admitted that he robbed Prosperity Bank, located at 333 West Kiest Boulevard in Dallas, on October 9, 2013. Early that afternoon, Agee entered the bank, approached a teller’s window and handed the teller a piece of paper. Agee told the teller that he needed to make a deposit. The teller unfolded the piece of paper that read, in part, “I have a gun give me the money.” Agee took the box in which the teller had placed cash from the cash drawer and left the bank. The ensuing investigation by the FBI and the Dallas Police Department identified Agee as the robber and he was arrested on a federal complaint in early November 2013.
Assistant U.S. Attorney Keith Robinson prosecuted the case.
Bakersfield Man Indicted After Attempting to Distribute Five Pounds of MethamphetamineRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count indictment today against Edwin Rigoberto Mayorga-Fajardo, 42, of Bakersfield, charging him with conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine, United States Attorney Benjamin B. Wagner announced.
According to court documents, on April 8, 2014, Mayorga-Fajardo attempted to distribute five pounds of methamphetamine to a government informant. When law enforcement officers attempted to stop the Mayorga-Fajardo’s vehicle he sped off and a chase ensued. While attempting to flee, he was observed throwing packages of methamphetamine from the vehicle. Eventually Mayorga-Fajardo was stopped and arrested and approximately four pounds of methamphetamine was recovered.
This case is the product of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Kern County Sheriff’s Office, and the Southern Tri-County High Intensity Drug Trafficking Area Task Force. Assistant United States Attorney Brian K. Delaney is prosecuting the case.If convicted, Mayorga-Fajardo faces a maximum statutory penalty of life in prison and a $10 million fine. 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Bad Beard Bandit Indicted for Four Bank Robberies in San Joaquin and Stanislaus CountiesRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned an indictment today against Gerardo Lopez, 28, of Half Moon Bay, charging him with four counts of bank robbery, United States Attorney Benjamin B. Wagner announced.
According to court documents, from November 2013 to February 2014, Lopez entered the banks wearing a fake beard and handed tellers notes demanding money. Lopez is charged with four bank robberies as follows:
November 21, 2013, Bank of the West on Main Street in Ripon; November 26, 2013, Chase Bank on Spreckels Avenue in Manteca; December 3, 2013, Chase Bank on West 11 Street in Tracy; February 5, 2014, Citibank on Geer Road in Turlock.
This case is the product of an investigation by the FBI and the police departments of Ripon, Manteca, Turlock, Tracy, Sunnyvale, Capitola, Dublin, and San Jose. Assistant United States Attorney Olusere Olowoyeye is prosecuting the case.
If convicted, Lopez faces a maximum statutory penalty of 20 years in prison and a $250,000.00 fine. 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 defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Ashland Woman Sentenced to Nearly Four Years in Prison in Forced-Labor CaseRead the Press Release
An Ashland woman was sentenced to nearly four years in prison for her role in a conspiracy in which a cognitively disabled woman and her child were held against their will and forced to perform manual labor, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Antony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland Office.
U.S. District Judge Benita Pearson sentenced Dezerah L. Silsby to 45 months in prison. Silsby, 22, pleaded guilty last year to two counts: conspiracy to commit an offense or defraud the United States, and acquiring controlled substances by deception.
“This defendant physically hurt another person as a way to get drugs and played a role in denying the victim and her daughter freedom,” Dettelbach said. “The conduct in this case is profoundly disturbing.”
“Dezerah L. Silsby admittedly inflicted pain and stole from a person being held against her will in order to feed her own drug habit,” Anthony said. “This sentence is well deserved for these cruel acts.”
Daniel J. Brown, 34, is currently serving five years in prison for his role in the crimes. Jordie L. Callahan, 27, and Jessica L. Hunt, 32, both of Ashland, were convicted following a jury trial this year and are scheduled to be sentenced July 22.
The victims in this case are identified only as S.E. and her juvenile child. S.E. suffered from a cognitive disability and received monthly public assistance payments, according to court documents.
Callahan and Hunt recruited S.E. and her child to live with them in their two-bedroom apartment in Ashland in 2011. Hunt’s four juvenile sons also lived at the house, along with numerous pit bull dogs, large snakes and other reptiles, according to court documents.
Callahan and Hunt monitored S.E. and her child’s activities with a baby monitor, according court documents.
Callahan and Hunt forced S.E. to clean the house, do laundry, walk to the store to do their shopping and care for their numerous pit bulls and reptiles. S.E. was timed when she went to the store and was not allowed to bring her child with her, according to court documents.
Callahan and Hunt beat S.E. and her child, threatened their lives, denied them food and threatened them with the pit bulls and reptiles, according to court documents.
At various points, Callahan threated S.E. with a gun. S.E. and her child initially were forced to sleep on a cement floor in the basement with no mattress. Later they were moved to a room upstairs, again with no bed or mattress. The child was kept in the room all day and at night the room was padlocked to keep S.E. and her child from escaping, according to court documents.
In August 2011, Callahan had the idea to smash S.E.’s hand and then send her to the emergency room to get pain medication that would be shared by Callahan, Hunt and Silsby. Silsby slammed S.E.’s hand with a rock and then took S.E. to the emergency room and returned with a prescription for pain medication, according to court documents.
In December 2011, Callahan and Hunt injured S.E.’s back and then forced her to turn over the prescription for Vicodin she received for her back injury, according to court documents.
On another occasion, Callahan kicked S.E. in the hip, and then he and Hunt forced S.E.to turn over the prescription for Vicodin she received for her hip injury, according to court documents.
When S.E. attempted to flee the apartment, Brown and Silsby deceived S.E. into accompanying them in their vehicle and returned her to Callahan and Hunt’s apartment, according to court documents.
The case was prosecuted by Assistant United States Attorneys Chelsea Rice and Thomas E. Getz following an investigation by the FBI and Ashland Police Department and assistance from the Ashland County Prosecutor’s Office.
Albuquerque Man Indicted for Federal Hate Crimes for Threats Against BusinesswomanRead the Press Release
ALBUQUERQUE – A federal grand jury returned a two-count indictment against John W. Ng, 58, of Albuquerque, N.M., charging him with hate crime offenses related to anti-Semitic threats he made against a Jewish woman who owns and operates the Nosh Jewish Delicatessen and Bakery in Albuquerque.
Ng was arrested by the FBI on March 7, 2014, based on a criminal complaint alleging that he interfered with the victim’s federally protected rights by threatening the victim and interfering with her business because of her religion and because she owned a Jewish restaurant. According to the indictment, on Jan. 22, 2014, and Feb. 8, 2014, Ng allegedly posted threatening, anti-Semitic notes on the door of the victim’s business. One of the notes allegedly read, "TO: The [racial slur] who should die." Another allegedly read, "FROM: The one you scarred for life scumbags[;] TO: The [racial slur] who will die like rats."
Ng was arrested by the FBI on March 7, 2014. He remains in federal custody pending completion of a psychiatric competency and dangerousness examination.An indictment merely establishes probable cause, and Ng is presumed innocent unless proven guilty. Each count carries a maximum statutory penalty of one year in prison.
This matter was investigated by the Albuquerque Division of the FBI and is being prosecuted by Assistant U.S. Attorney Holland S. Kastrin of the U.S. Attorney’s Office for the District of New Mexico and Trial Attorney Angie Cha of the U.S. Department of Justice’s Civil.
Albuquerque Man Indicted for Federal Hate Crimes for Threats Against BusinesswomanRead the Press Release
ALBUQUERQUE – A federal grand jury returned a two-count indictment against John W. Ng, 58, of Albuquerque, N.M., charging him with hate crime offenses related to anti-Semitic threats he made against a Jewish woman who owns and operates the Nosh Jewish Delicatessen and Bakery in Albuquerque.
Ng was arrested by the FBI on March 7, 2014, based on a criminal complaint alleging that he interfered with the victim’s federally protected rights by threatening the victim and interfering with her business because of her religion and because she owned a Jewish restaurant. According to the indictment, on Jan. 22, 2014, and Feb. 8, 2014, Ng allegedly posted threatening, anti-Semitic notes on the door of the victim’s business. One of the notes allegedly read, "TO: The [racial slur] who should die." Another allegedly read, "FROM: The one you scarred for life scumbags[;] TO: The [racial slur] who will die like rats."
Ng was arrested by the FBI on March 7, 2014. He remains in federal custody pending completion of a psychiatric competency and dangerousness examination.An indictment merely establishes probable cause, and Ng is presumed innocent unless proven guilty. Each count carries a maximum statutory penalty of one year in prison.
This matter was investigated by the Albuquerque Division of the FBI and is being prosecuted by Assistant U.S. Attorney Holland S. Kastrin of the U.S. Attorney’s Office for the District of New Mexico and Trial Attorney Angie Cha of the U.S. Department of Justice’s Civil.
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Ng Indictment
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Alabama Woman Sentenced for Stolen Identity Refund FraudRead the Press Release
Ivory Bolen, of Dothan, Alabama, was sentenced to serve 42 months in prison today to be followed by three years of supervised release for committing stolen identity refund fraud (SIRF) crimes, announced Assistant Attorney General Kathryn Keneally of the Justice Department’s Tax Division and U.S. Attorney George L. Beck Jr. for the Middle District of Alabama. Bolen previously pleaded guilty to wire fraud and aggravated identity theft.
According to the plea agreement, between January 2012 and June 2013, Bolen was involved in SIRF crimes, the use of stolen identities to steal money from the Internal Revenue Service (IRS) by filing fraudulent tax returns claiming refunds in the victims’ names. She admitted that she obtained stolen identities from various sources, including the Social Security Death Index and jail records, and to filing fraudulent tax returns using those stolen identities from public WiFi hotspots in the Dothan area. Bolen had the fraudulently obtained refunds deposited onto prepaid debit cards and recruited individuals from a homeless shelter to cash out the cards for her in an effort to avoid surveillance. In her plea agreement, Bolen also admitted to possessing hundreds of stolen identities in Tampa, Florida. Altogether, the false tax returns filed by Bolen fraudulently claimed more than $800,000 in refunds. Many of the returns were detected as fraudulent by the IRS and stopped. However, Bolen successfully defrauded the IRS into paying over $200,000 in illegitimate refunds, and was ordered to pay $209,243 in restitution to the IRS.
This case was investigated by special agents of the IRS-Criminal Investigation and by the Tampa Police Department. Trial Attorneys Jason Poole and Charles Edgar of the Tax Division are prosecuting the case with the assistance of Assistant U.S. Attorney Todd Brown and the U.S. Attorney’s Office for the Middle District of Alabama.
Additional information about the Tax Division and its enforcement efforts may be found at the division website .
26 Demandados Acusados, Cerca De 60,000 Plantas De Marihuana Confiscadas Como Resultado De La Operacion Condados Seguros En Los Condados De Shasta Y TrinidadRead the Press Release
SACRAMENTO, California. — Los resultados de una operación de un año de duración con la intervención de múltiples agencias policiales y cuerpos de seguridad dirigida contra los cultivadores y distribuidores de marihuana en los Condados de Shasta y Trinidad fueron anunciados hoy por el procurador federal Benjamin B. Wagner, el alguacil del Condado de Shasta Tom Bosenko, y el alguacil del Condado de Trinidad Bruce Haney.
La operación, denominada “Operación Condados Seguros,” està específicamente dirigida contra individuos y grupos en los Condados de Shasta y Trinidad involucrados en el cultivo de marihuana en terrenos públicos, así como aquellos que cultivan marihuana en propiedad privada y distribuyen su producto por toda California y los Estados Unidos utilizando mensajeros, el Servicio Postal de los Estados Unidos, e incluso aviones privados. Como resultado de estas investigaciones, 16 demandados han sido acusados por la Procuradería Federal para el Distrito Oriental de California por el delito federal grave por drogas, y 10 màs han sido acusados por el Fiscal Condado de Shasta por delitos relacionados con drogas y el medio ambiente. En el curso de la operación y hasta la fecha, casi 60,000 plantas de marihuana, màs de 2,100 libras de marihuana procesada, 70 armas de fuego y màs de un millón de dólares de los Estados Unidos han sido confiscados. Varias investigaciones que comenzaron como resultado de la Operación Condados Seguros estàn aún en marcha.
Wagner, el procurador federal para el Distrito Oriental de California, dijo: “El uso de terrenos públicos en los Condados de Shasta y Trinidad para el cultivo comercial de marihuana presenta una amenaza para las personas que son dueñas o que utilizan esas tierras y para la tierra misma. El uso de terrenos privados para producir marihuana para su venta en otros estados, a menudo involucrando armas de fuego y violencia potencial, viola la ley federal y crea condiciones peligrosas aquí en el norte de California. Junto con nuestros socios de agencias policiales estatales y locales, estamos comprometidos a combatir estos delitos.”
El alguacil del Condado de Shasta Tom Bosenko declaró: “El centro de los esfuerzos de las agencias policiales son las operaciones criminales contra la marihuana. En años recientes la producción ilegal de marihuana se ha expandido significativamente. Las operaciones ilegales del cultivo de marihuana continúan siendo una amenaza inminente para nuestro medio ambiente, nuestra comunidad, y nuestros ciudadanos. Un esfuerzo colaborador entre agencias federales, estatales y locales es una fuerza multiplicadora no solamente contra estas operaciones sino contra el daño ambiental en terrenos públicos y privados.”
El alguacil del Condado de Trinidad Bruce Haney declaró: “Me gustaría dar las gracias al procurador federal Ben Wagner, y a las agencias policiales federales, locales y estatales que ayudaron a la Oficina del Alguacil de Trinidad con la Operación Condados Seguros el pasado agosto. Al igual que muchas comunidades, el Condado de Trinidad se ha visto abrumado por cultivos comerciales de marihuana que se escudan detràs del Compassionate Use Act (Ley de Uso Compasivo), Prop 215. Aunque hay usuarios legítimos que usan marihuana como medicina, las agencias policiales, los miembros de la comunidad y los cultivadores mismos saben que la mayoría de la marihuana que se cultiva en nuestros condados se transporta y se vende por todos los Estados Unidos. Esto es una violación de la ley estatal y federal. Esta actividad ilegal crea un ambiente peligroso para nuestros hijos y otros miembros de nuestras comunidades. El daño ambiental de la producción comercial de marihuana es también una inquietud muy real y està comenzando a ser el centro de muchas investigaciones. Hasta que la sociedad decida qué hacer con la marihuana, continuaremos trabajando de cerca con nuestros socios estatales y federales para proporcionar un lugar seguro para vivir, trabajar y visitar.”
Un caso que implica el cultivo exterior en terrenos públicos comenzó el 5 de junio de 2013, cuando agentes de policía llevaron a cabo una incursión en un jardín de marihuana en el Bosque Nacional Shasta Trinity. Se erradicaron aproximadamente 28,847 plantas de marihuana. La marihuana era regada con agua desviada del cercano arroyo de Big Bar Creek. Se encontró a Salvador Alcàzar-Varelas, de 28 años de edad, de Santa Rosa, California, trabajando en el lugar y fue acusado de conspiración para producir marihuana y producción de marihuana. Se declaró culpable de los cargos el 10 de abril de 2014 y està programado para recibir sentencia el 10 de julio de 2014.
Un caso que implica propiedad privada comenzó en el 2013, cuando la atención de la policía se dirigió a una propiedad rural en Palo Cedro después de que muchos vecinos se quejaron del fuerte olor a marihuana y actividad inusual en y alrededor de la mencionada propiedad. Un sobrevuelo confirmó el cultivo activo de marihuana en curso. Una búsqueda posterior reveló 531 plantas de marihuana creciendo en este lugar. Un registro de la residencia de John Richard Leithmann reveló 73 plantas de marihuana creciendo adentro. Otros dos individuos, Eric Cop y Mark Cop estaban en la propiedad de Palo Cedro en el momento de la inspección, y ambos admitieron cultivar marihuana en ese lugar. Un cultivo interior de marihuana consistente de 108 plantas de marihuana fue descubierto en la residencia de Mark Cop. Los tres son acusados de conspiración para producir marihuana y de producción de marihuana. Estàn programados para una audiencia preliminar el 16 de mayo de 2014.
Se llevaron a cabo casi tres docenas de investigaciones separadas bajo la agrupación de “Operación Condados Seguros,” por varias agencias policiales federales, estatales y locales. Los casos federales estàn siendo procesados por los ayudantes del procurador federal Michael McCoy y Christiaan H. Highsmith.
Las acusaciones son solamente alegaciones, y a los demandados que han sido acusados en estos casos se les considera inocentes a menos que y hasta que se les declare culpables.
26 Defendants Charged, Nearly 60,000 Marijuana Plants Seized as A Result of Operation Safe Counties in Shasta and Trinity CountiesRead the Press Release
SACRAMENTO, Calif. — The results of a yearlong, multi-agency law enforcement operation that targeted marijuana cultivators and distributors in Shasta and Trinity Counties were announced today by United States Attorney Benjamin B. Wagner, Shasta County Sheriff Tom Bosenko, and Trinity County Sheriff Bruce Haney.
The operation, entitled “Operation Safe Counties,” specifically targeted individuals and groups in Shasta and Trinity Counties involved in the cultivation of marijuana on public lands, as well as those cultivating marijuana on private property and distributing their product throughout California and the United States through the use of couriers, the United States Postal Service, and even private aircraft. As a result of these investigations, 16 defendants have been charged by the U.S. Attorney’s Office with federal felony drug offenses, and 10 more have been charged by the Shasta County District Attorney with drug and environmental crimes. In the course of the operation to date, nearly 60,000 marijuana plants, over 2,100 pounds of processed marijuana, 70 firearms, and more than $1 million in United States currency were seized. Several investigations started as a result of Operation Safe Counties are still underway.
U.S. Attorney Wagner said: “The use of public lands in Shasta and Trinity County for the commercial cultivation of marijuana poses a threat to members of the public who own and use those lands and to the land itself. The use of private lands to produce marijuana for sale in other states, often involving weapons and potential violence, violates federal law and creates dangerous conditions here in Northern California. Along with our state and local law enforcement partners, we are committed to combatting those crimes.”
Shasta County Sheriff Tom Bosenko stated: “The focus of law enforcement’s efforts are criminal marijuana operations. The illegal production marijuana has significantly expanded in recent years. Illegal marijuana operations continue to be an imminent threat to our environment, our community, and to our citizens. A collaborative effort of federal, state, and local agencies is a force multiplier against not only against these operations, but against the environmental damage on public and private lands.
Trinity County Sheriff Bruce Haney stated: “I would like to thank United States Attorney Ben Wagner, and the federal, local and state law enforcement agencies that assisted the Trinity Sheriff’s Office with Operation Safe Counties last August. Like many communities, Trinity County has been overwhelmed by commercial marijuana grows hiding behind the Compassionate Use Act, Prop 215. Though there are some legitimate medicinal users of marijuana, law enforcement, members of the community, and the growers themselves know that most marijuana grown in our counties is transported and sold all over the United States. This is a violation of state and federal law. This illegal activity breeds an unsafe environment for our children and other members of our communities. The environmental damage of commercial marijuana production is also a very real concern and is beginning to become the focus of many investigations. Until society decides what to do with marijuana, we will continue to work closely with our state and federal partners to provide a safe place to live, work and visit.”
One case involving an outdoor grow on public land began on June 5, 2013, when law enforcement agents conducted a raid at a marijuana garden in Shasta Trinity National Forest. Approximately 28,847 marijuana plants were eradicated. The marijuana was being irrigated with water that was diverted from nearby Big Bar Creek. Salvador Alcazar-Varelas, 28, of Santa Rosa, Calif., was found working at the site and was charged with conspiracy to manufacture marijuana and manufacture of marijuana. He pleaded guilty of the charges on April 10, 2014 and is scheduled for sentencing on July 10, 2014.
A case involving private property began in 2013, when the attention of law enforcement was directed to a rural property in Palo Cedro after many neighbors complained about the strong smell of marijuana and unusual activity in and around the subject property. An overflight confirmed an active marijuana grow in progress. A subsequent search revealed 531 marijuana plants growing at this location. A search of John Richard Leithmann’s residence revealed 73 marijuana plants growing inside. Two other individuals, Eric Cop and Mark Cop were at the Palo Cedro property at the time of the search, and both admitted to cultivating marijuana at that location. An indoor marijuana grow consisting of 108 marijuana plants was found in Mark Cop’s residence. All three are charged with conspiracy to manufacture marijuana and manufacture of marijuana. They are scheduled for a status conference on May 16, 2014.
Under the umbrella of “Operation Safe Counties,” nearly three dozen separate investigations were undertaken by a number of federal, state and local law enforcement agencies. The federal cases are being prosecuted by Assistant United States Attorneys Michael McCoy and Christiaan H. Highsmith.
The indictments are only allegations, and the defendants who have been charged in these cases are presumed innocent unless and until proven guilty.
15 More Defendants Charged in Stolen Identity & Tax Fraud SchemeRead the Press Release
A Total of 56 Defendants (39 Federal and 17 State) Have Been Charged in a Joint Investigation Combating Identity Theft & Tax Fraud in the Statesboro, GA Area
STATESBORO, GA – Five federal indictments, unsealed today in federal court, have charged 15 additional defendants with their roles in a large-scale identity theft and tax fraud scheme. Each of the indictments alleges that the defendants were involved in using stolen identities to submit bogus income tax returns and to fraudulently receive tax refunds to which they were not entitled. To date, 56 defendants (39 federal and 17 state) have been charged in a joint federal and state investigation into identity theft and tax fraud rings operating in and around the Statesboro, Georgia area. The 15 currently charged defendants are alleged to have operated around the Claxton, Georgia area. The investigation is ongoing.
Earlier this week, law enforcement officials arrested 13 of the 15 federal defendants charged. Federal defendants Santana Lundy, 29, of Statesboro, Georgia, and Katrina Beasley, 32, of Claxton, Georgia, remain fugitives. 6 defendants indicted on state charges were also arrested. Initial appearances for the federally indicted defendants in custody were held today before U. S. Magistrate Judge G.R. Smith in the federal courthouse in Statesboro, Georgia.
United States Attorney Edward Tarver said, “Our operation has already resulted in dozens of convictions followed by lengthy prison sentences. The U. S. Attorney’s Office and our federal and state law enforcement partners will not stop until the individuals running these identity theft and tax fraud rings within our District are found, prosecuted, and sentenced.”
IRS Criminal Investigation Special Agent in Charge Veronica Hyman-Pillot said, "Today's announcement exemplifies the intense focus on the rigorous pursuit of identity theft by IRS and our law enforcement partners. IRS Criminal Investigation has made investigating refund fraud and identity theft a top priority and we will continue to vigorously pursue those who undermine the integrity of the U. S. tax system."
J. Britt Johnson, Special Agent in Charge, FBI Atlanta Field Office, stated, “The additional charges and arrests not only demonstrate the extensive nature of this tax fraud scheme but also the law enforcement resolve to address it. The FBI will continue to partner with its various law enforcement agencies to ensure that this type of criminal activity is firmly addressed and brought to a halt.”
Staci Guest, Director of the Office of Special Investigations, Department of Revenue, stated, “These arrests show how serious the State of Georgia is at finding and arresting individuals committing identity theft fraud. The Georgia Department of Revenue will continue to work with our federal and local law enforcement officials to combat this growing trend.”
Statesboro Director of Public Safety Wendell Turner said, “The Statesboro Police Department is proud of the continued investigative efforts regarding the defrauding of our citizens’ tax dollars. Keeping up this type of pressure over the course of several years will hopefully send a strong message to the offenders that we will not waver in our efforts to deter their criminal behavior and if they continue this type of behavior, they will be arrested and prosecuted. We are also thankful for our continued partnerships with all of our local and federal counterparts that result in these types of successes.”
If convicted, each federal defendant faces a maximum penalty of 20 years in prison for the wire fraud conspiracy and wire fraud charges, a maximum penalty of 10 years in prison for the theft of public money and access device fraud charges, a maximum penalty of 5 years in prison for the conspiracy to commit theft of public money charge, and a 2-year mandatory, consecutive prison sentence for each charge of aggravated identity theft. Each of these charges also carries a fine of up to $250,000.
United States Attorney Edward J. Tarver emphasized that an indictment is only an accusation and is not evidence of guilt. The defendants are entitled to a fair trial, during which it will be the Government’s burden to prove guilt beyond a reasonable doubt.
FBI Special Agent Marcus Kirkland, IRS Special Agents Gwen Weston and Jason Dulin, and Sergeant James Winskey of the Statesboro Police Department, assisted by their agencies’ colleagues, are conducting the investigation. Assisting in this week’s arrests were the United States Marshal’s Service, the Georgia State Patrol, the Georgia State Probation Office, the Claxton Police Department, the Swainsboro Police Department, and the sheriff’s offices for Bulloch and Evans counties. Assistant United States Attorneys Lamont A. Belk and C. Troy Clark are prosecuting these cases on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
List of 15 Federal Defendants Charged
AISHIA MILLS, 32, of Statesboro, Georgia
ANGELLICA ROBERTS, 28, of Claxton, Georgia
CANDACE HILLS, 24, of Claxton, Georgia
CHRYSTAL HARLIE, 33, of Statesboro, Georgia
DEONDRAY RICHARDSON, 40, of Keysville, Georgia
KATRINA BEASLEY, 32, of Claxton, Georgia
LATASHA CHARLES, 29, of Statesboro, Georgia
MARQUITA WATSON, 31, of Claxton, Georgia
MARTISHA HILL, 41, of Augusta, Georgia
MARY MCDILDA, 63, of Claxton, Georgia
MELISSA WHITFIELD, 34, of Statesboro, Georgia
MONICA WHITFIELD, 33, of Statesboro, Georgia
SANTANA LUNDY, 29, of Statesboro, Georgia
STACEY WILLIAMS, 41, of Statesboro, Georgia
TERRY GORDON, 33, of Swainsboro, Georgia
List of 6 State Defendants Charged
CHRYSTAL KEY, 40, of Statesboro, Georgia
ANTONIA KEY, 43, of Statesboro, Georgia
WHITNEY G. PERKINS, 27, of Statesboro, Georgia
LATOYA J. WILKERSON, 28, of Statesboro, Georgia
SHEENA LITTLES, 29, of Register, Georgia
VICTORIA H. ASH, 43, of Claxton, Georgia
12 Defendants Charged in Drug Trafficking ConspiracyRead the Press Release
BRUNSWICK, GA - A federal indictment was unsealed earlier this month which charges 12 defendants with conspiring to traffic large amounts of methamphetamine, cocaine, oxycodone, and other drugs in Appling, Bacon, Coffee, Jeff Davis, Telfair, and Wayne Counties, Georgia.
The charges resulted from a joint investigation by the DEA, the GBI, the Bacon County Sheriff's Office, the Jeff Davis County Sheriff's Office, the Coffee County Sheriff's Office, the Brantley County Sheriff’s Office, the Ware County Sheriff’s Office, and with assistance from the Waycross Judicial Circuit District Attorney's Office and the United States Marshal's Service.
If convicted of the drug trafficking conspiracy charge, each defendant faces a maximum of 40 years in prison and a potential fine of $5,000,000.
The 12 defendants charged are:
- Crecencio Ortiz-Castillo, 21, of McRae, Georgia; - Mauricio Lepe-Cholico, 36, of Baxley, Georgia; - John Thomas Register, 38, of Alma, Georgia; - Westley Kayeon Kennedy, 27, of Alma, Georgia; - Recardo Mantabbyon Harris, 35, of Nicholls, Georgia; - Markeish Lamaryia Wilkins, 27, of Alma, Georgia; - Jeremy Peterson, 26, of Alma, Georgia; - Ottie Lafayette Corbitt, 28, of Douglas, Georgia; - Johnny Leon Drake, 36, of Baxley, Georgia; - Nathan Peter Newham, 34, of Hazlehurst, Georgia; - Irene Kennedy, 54, of Alma, Georgia; and
- Contory Kennedy, 22, of Alma, Georgia.The defendants were arraigned last week in federal court in Brunswick where they all entered pleas of not guilty. Of the 12 defendants appearing, Irene Kennedy, Contory Kennedy, and Markeish Wilkins were released on secured bonds, while the other 9 defendants were denied bond and ordered detained pending a trial.
United States Attorney Edward Tarver emphasized that the indictment is only an accusation and is not evidence of guilt. The defendants are entitled to a fair trial, during which it will be the Governments burden to prove guilt beyond a reasonable doubt.
Assistant United States Attorney Charlie Bourne is prosecuting the case for the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
23 April 2014
Waterbury Man Sentenced to 15 Years in Federal Prison for Producing Child PornographyRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that JESUS F. GONZALEZ, SR., 37, of Waterbury, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 180 months of imprisonment, followed by a lifetime of supervised release, for producing child pornography.
According to court documents and statements made in court, GONZALEZ had sexual intercourse with a minor female victim on several occasions between approximately February 2012 and August 2012. On approximately August 9, 2012, GONZALEZ used his cell phone to take multiple pictures of the victim, naked, in sexually explicit positions. GONZALEZ then maintained the pictures on his phone. The victim was approximately 14 years old at the time the sexually explicit pictures were taken.
On February 3, 2014, GONZALEZ pleaded guilty in federal court to one count of production of child pornography. GONZALEZ has been detained in state custody since his arrest on August 11, 2012 on related state charges.
This matter was investigated by the Waterbury Police Department, the Federal Bureau of Investigation, and the Connecticut Child Exploitation Task Force, which includes federal, state and local law enforcement agencies. The Connecticut State’s Attorney’s Office in Waterbury also provided critical assistance in this investigation.
The case was being prosecuted by Assistant U.S. Attorney Neeraj N. Patel and Special Assistant U.S. Attorney Charles L. Rombeau.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
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(203) 821-3722 [email protected]Virgin Islands Water and Power Authority Signs Agreement That Will Bring It into Compliance with the Clean Air ActRead the Press Release
Under an agreement announced today by the U.S Environmental Protection Agency and the U.S. Department of Justice, the Virgin Islands Water and Power Authority (VIWAPA) will come into compliance with air pollution control requirements in the federal Clean Air Act at its Estate Richmond Generating Facility located on St. Croix, U.S. Virgin Islands. These air pollution control requirements help reduce emissions of nitrogen oxides (NOx) and particulate matter (PM) that can cause serious respiratory health effects. These pollutants are linked to serious health problems, including asthma, lung and heart disease.
The United States found that the facility violated limits on nitrogen oxides and particulate matter. This agreement is expected to reduce nitrogen oxides emissions by approximately 115 tons per year. The agreement is expected to reduce particulate matter emissions by approximately three tons per year.
“Residents will breathe cleaner air as a result of this agreement to reduce air pollution emissions and bring VIWAPA into compliance with the nation’s Clean Air Act,” said Robert G. Dreher, Acting Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. “The Justice Department and our partners at EPA are committed to addressing large sources of pollution to ensure the maximum positive impact on public health and the environment.”
“This legal agreement will go a long way toward reducing air pollution in St. Croix and beyond,” said EPA Regional Administrator Judith A. Enck. “EPA is committed to protecting communities on St. Croix that are threatened by air pollution.”Under the EPA’s air permit requirements, large industrial facilities that make modifications that increase air pollution emissions must install best available control technology. VIWAPA operates with a permit that requires it to use the best available control technology to control emissions of NOx and PM. EPA found that VIWAPA had not properly operated nor maintained its water to fuel injection pollution control system during various times from October 2005 through December 2012.
The facility also failed to meet the particulate matter emissions limit during testing of emissions from its stacks and failed to conduct continuous monitoring to ensure compliance with its limits. The EPA found that the facility violated its limits for NOx and PM. VIWAPA also did not keep proper records.
Under the agreement, VIWAPA will continue its work to:
- Properly operate and maintain the water to fuel injection pollution control system;
- Develop and maintain an inventory of spare parts for the facility’s water to fuel injection system and emission monitoring equipment;
- Test and properly operate a “real-time” emission monitoring system to ensure compliance with air pollution limits;
- Conduct quality assurance testing of air monitoring systems;
- Conduct stack tests to demonstrate compliance with the Clean Air Act; and
- Employ an independent third party to develop protocols, enable proper operation of the air pollution monitoring systems, train staff and audit its compliance for three years.
The EPA has worked with VIWAPA over the past several years to address its violations and operations at the St. Croix facility. As a result of that work, VIWAPA has already repaired and replaced pollution controls and monitoring equipment at the facility. It replaced its data system, significantly repaired at least one unit and began purchasing better quality fuel. To date, VIWAPA has spent approximately $4 million to come into compliance with pollution control requirements and will spend at least $2 million a year to maintain compliance. VIWAPA will also pay a $700,000 penalty.
The consent decree was lodged in the U.S. District Court for the District of the Virgin Islands. Notice of the lodging of the consent decree will appear in the Federal Register allowing for a 30-day public comment period before the consent decree can be entered by the court as final judgment. The consent decree will available for viewing at www.justice.gov/enrd/Consent_Decrees.html
To learn more about air issues in EPA Region 2, please visit: www.epa.gov/region02/air/.
Union City, N.J., Man Admits Operating Supposed Charity as Illegal Bank, Falsifying TaxesRead the Press Release
NEWARK, N.J. - A Union City, N.J., man who operated a supposed charitable organization, or “gemach,” admitted today that he ran it as an unchartered bank, accepting millions of dollars in deposits – including nearly $1 million of his own money – which he shielded from state or federal regulation, U.S. Attorney Paul J. Fishman announced.
Moshe Schwartz, 33, a/k/a “David Schwartz” or “Gedalya David Schwartz,” pleaded guilty to two counts of an information: operating an unchartered bank and aiding and assisting in the filing of a false 2007 tax return. Schwartz entered his guilty plea before Judge Jose L. Linares in Newark federal court.
According to the information and statements made in court: Schwartz operated Gemach Shefa Chaim (GSC), purportedly to provide interest-free loans to needy members of the Sanz community in Union City. During his guilty plea proceeding, Schwartz admitted he operated GSC as a bank, with millions of dollars in deposits and more than 350 client accounts by July 2009.
To operate a bank in the United States, a bank is required to obtain a charter from the United States or the state in which the bank operates. Chartered banks are subject to oversight, regulation, and periodic review by federal and state authorities. Neither Schwartz nor GSC had such a charter.
Schwartz admitted that, in operating GSC as a bank, he accepted deposits and credited clients’ accounts, wrote checks from GSC as directed by clients, made transfers between accounts, disbursed client funds upon request, negotiated GSC checks presented by persons other than the named payees, conducted wire transfers, provided clients with receipts of transactions, charged clients a fee for bounced checks and provided overdraft notices to clients. Schwartz also admitted that he opened and maintained various bank accounts at financial institutions in or around North Jersey in the name of GSC and used those institutions to deposit client funds, negotiate checks, provide clients with GSC checks and conduct wire transfers. Because client funds were deposited into and commingled within GSC’s bank accounts at financial institutions, the funds could only be traced back to GSC, thereby concealing the true ownership, nature and source of the funds. Many clients were thus able to use their GSC accounts to engage in suspicious and, at times, illegal activities, including evading federal taxes and money laundering.
Schwartz also admitted that he provided false and fraudulent information to his tax preparer in Union City concerning his income for tax year 2007, falsely representing that his income was $24,475 when it was approximately $208,845. Schwartz admitted that he used his own GSC account and a false identity to conceal his income and assets from the IRS, causing a $74,889 tax loss.
The banking offense to which Schwartz pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine. The tax offense to which Schwartz pleaded guilty carries a maximum potential penalty of three years in prison and a $250,000 fine. Schwartz is scheduled to be sentenced on July 30, 2014.
GSC bank accounts were seized in July 2009 and approximately $500,000 was ultimately forfeited. The accounts had been used by Moshe Altman, 44, Itzak Friedlander, 46, and Shimon Haber, 38, to launder proceeds that cooperating witness Solomon Dwek, 41, had purported to be the proceeds of illegal activities. Altman pleaded guilty in December 2010, to, among other things, conspiring to launder monetary instruments and was sentenced in March 2011 to 41 months in prison. Friedlander pleaded guilty in April 2010 to conspiracy to launder monetary instruments and was sentenced in April 2011 to 24 months in prison. Haber pleaded guilty to the same charge in January 2010 and was sentenced in May 2010 to five months in prison.
U.S. Attorney Fishman credited special agents of IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Jonathan D. Larsen, with the investigation leading to today’s guilty plea; as well as the FBI, under the direction of Special Agent in Charge Aaron T. Ford; the Federal Deposit Insurance Corporation-Office of Inspector General, under the direction of Special Agent in Charge A. Derek Evans; and the Social Security Administration, Office of the Inspector General, under the direction of Special Agent in Charge Edward J. Ryan, for their assistance.
The government is represented by Assistant U.S. Attorneys Maureen Nakly of the U.S. Attorney’s Special Prosecutions Division and Frances C. Bajada of the office’s Criminal Division.14-142
Defense counsel: Ricardo Solano Esq., Newark
Schwartz, Moshe Information
Three Sentenced on Federal Drug ChargesRead the Press Release
Jackson, Miss – Three individuals were sentenced on Tuesday, April 23, by U.S. District Judge Carlton W. Reeves in connection with an extensive narcotics investigation, dubbed “Operation Brusha”, which targeted illegal narcotics distribution in Scott County, Mississippi, announced U.S. Attorney Gregory K. Davis.
Marlon Faber, 39, of Gardina, California, was sentenced to 87 months in federal prison followed by five years of supervised release. He previously pled guilty to conspiracy to possess with intent to distribute more than 50 grams of methamphetamine.
Fredrick Stowers, 59, of Forest, Mississippi, was sentenced to 42 months in federal prison followed by three years of supervised release. He previously pled guilty to conspiracy to possess with intent to distribute methamphetamine.
Arthur Wayne Townsend, 56, of Forest, Mississippi, was sentenced to 30 months in federal prison followed by three years of supervised release. He previously pled guilty to possession with intent to distribute methamphetamine.
As a result of Operation Brusha, seventeen defendants have been convicted of trafficking methamphetamine with a purity of over 92% into the Brusha community in Scott County, Mississippi from California, Texas and elsewhere. Multiple kilograms of methamphetamine and over five firearms were seized during the Operation which was conducted by the Bureau of Alcohol, Tobacco Firearms and Explosives, Homeland Security Investigations and the Mississippi Bureau of Narcotics with assistance from the Mississippi Highway Patrol, Mississippi Bureau of Investigation, Forest Police Department, and Scott County Sheriff’s Department. The case was prosecuted by Assistant U.S. Attorney Erin O. Chalk.
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Three Men Sentenced for CounterfeitingRead the Press Release
United States Attorney Brendan V. Johnson announced that three men who were indicted by a federal grand jury on September 17, 2013, for Passing and Making Counterfeit United States Currency have been sentenced.
Zane Blake Goodbeau, age 59, of Kimball, South Dakota, was indicted on the charge of Making Counterfeit United States Currency. He pled guilty to the charge on January 9, 2014. He was sentenced on March 31, 2014, to 17.5 months in custody, to be served concurrent to his state court sentence.
John Patrick Laubach, age 42, of Kimball, was indicted for Passing and Making Counterfeit United States Currency. He pled guilty to the charge, and was sentenced on April 7, 2014, to 9 months in custody.
Chaz Thomas Stewart, age 20, of Yorba Linda, California, was indicted on the charges of Passing, Possessing and Making Counterfeit United States Currency. Stewart pled guilty to Possessing Counterfeit United States Currency on January 29, 2014, and was sentenced on April 21, 2014. Stewart was sentenced to 2 months in custody, to be served concurrent to his state sentence.
All three defendants were also ordered to repay $360 in restitution to the victims, and they were all remanded to the custody of the U.S. Marshals Service.
In August of 2013, Laubach and Goodbeau made counterfeit currency using printing materials they kept in a camper at Kimball, and then distributed it to various businesses in the Chamberlain and Kimball areas. During that same time, Stewart possessed a $50 Federal Reserve note that he knew was counterfeit and he tried to pass the bill at an area restaurant.
The investigation was conducted by the Chamberlain Police Department and the U.S. Secret Service. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Three Hendry County Women Indicted for Conspiracy, Theft of Government Funds and Identity TheftRead the Press Release
Fort Myers, Florida – United States Attorney A. Lee Bentley, III announces the arrest and unsealing of a fifteen-count indictment charging Roeshell Denise Williams, Sheree Peterson, and Yajaira Crespo, all of Clewiston, Florida, with conspiracy to make false claims to the U.S. Department of the Treasury for payment, and to embezzle and steal government funds. In addition, all three are charged with theft of government funds and aggravated identity theft. Specifically, Williams is charged with one count of conspiracy and four counts of theft of government funds. Peterson is charged with one count of conspiracy, one count of theft of government funds and six counts of aggravated identity theft, and Crespo is charged with one count of conspiracy, two counts of theft of government funds and one count of aggravated identity theft. If convicted, they face a maximum penalty of 5 years in federal prison for each count of conspiracy and up to 10 years’ imprisonment on each of the theft of government funds counts. They also face 2 years in prison for the aggravated identity theft charges, to be served consecutive to the other sentences imposed. The indictment also notifies Williams, Peterson and Crespo that the United States intends to forfeit any assets which are alleged to be traceable to proceeds of the offenses.
According to the indictment, between January 2012 and September 2012, Williams, Peterson and Crespo allegedly conspired with each other, and others, to file fraudulent tax returns in the names of individuals who did not authorize Williams, Peterson or Crespo to do so. The refunds from the fraudulent tax returns were then deposited into bank accounts controlled by Williams, Peterson or Crespo. The three then converted the funds for their personal use.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Internal Revenue Service – Criminal Investigation. It will be prosecuted by Assistant United States Attorney Jeffrey F. Michelland.
St. Charles Parish Man, Chad Michael Hotard, Sentenced to 15 Years in Prison for Producing and Distributing Child PornographyRead the Press Release
CHAD MICHAEL HOTARD, age 28, a resident of Luling, Louisiana, was sentenced today by U.S. District Court Judge H. Ginger Berrigan, arising from his conviction for two counts of production and one count of distribution of child pornography, announced U. S. Attorney Kenneth Allen Polite, Jr.
According to court documents, HOTARD knowingly employed, used, persuaded, induced, enticed and coerced a minor to engage in sexually explicit conduct in order to produce child pornography on two separate occasions, December 13, 2012 and March 12, 2013. In addition, HOTARD distributed digital images and computer images of a minor engaging in sexually explicit conduct on March 13, 2013. HOTARD has been in federal custody since his arrest on April 15, 2013.
HOTARD was sentenced by Judge Berrigan to 15 years’ imprisonment, to be followed by a term of supervised release of 15 years. In addition, he will be required to register as a sex offender pursuant to the Sex Offender Registration and Notification Act.
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 case was investigated by the U.S. Department of Homeland Security-Homeland Security Investigations and the St. Charles Parish Sheriff’s Office and prosecution of this case was handled by Fraud Unit Chief and Project Safe Childhood Coordinator, Assistant U. S. Attorney Brian M. Klebba.
Soldier at Ft. Riley Pleads GuiltyTo False Statement to Social Security AdministrationRead the Press Release
KANSAS CITY, KAN. – A Ft. Riley man has pleaded guilty to making false material statements to the Social Security Administration, U.S. Attorney Barry Grissom said. The defendant agreed to pay $71,734 in restitution to the SSA and an additional $250 to the United States Treasury for a stimulus payment he was not entitled to receive.
James Scott Nickerson, 37, Ft. Riley, Kan., pleaded guilty Tuesday to one count of making a false official statement to a federal agency. In his plea, he admitted he was paid a total of $71,734 in disability benefits by the Social Security Administration that he was not eligible to receive. Beginning in October 2009, Nickerson applied for disability benefits under the Wounded Warrior Program. He claimed he was unable to work because of “organic mental disorders” he developed while serving a deployment in Iraq.
While receiving disability benefits, he worked full time for the Army doing various duties, including serving as a platoon sergeant while he claimed to be disabled. He also supervised other soldiers during this period. Nickerson attempted to conceal his actual work activity from SSA by claiming he worked no more than 20 hours a week. On three separate occasions, the defendant completed Work Activity Reports, documents used by SSA to determine if a beneficiary is eligible for disability benefits. On each of these occasions he was asked to identify his supervisors so that SSA could verify his work activity. On all three occasions, he identified persons other than his supervisors. In the plea agreement, the defendant admitted that on a Work Activity Report he completed on Sept. 6, 2010, he falsely reported to SSA that one of his subordinates was his supervisor. He admitted that this was a false material statement to a federal agency.Sentencing is set for September 8, 2014. He faces a maximum penalty of five years in federal prison and a fine up to $250,000. Grissom commended the Office of the Inspector General for the Social Security Administration and Special Assistant U.S. Attorney Trey Alford for their work on the case.
Shiprock Man Pleads Guilty to Federal Second Degree Murder ChargeRead the Press Release
ALBUQUERQUE – Alvert Miller, 39, an enrolled member of the Navajo Nation who resides in Shiprock, N.M., pleaded guilty this morning to a second degree murder charge. Under the terms of his plea agreement, Miller will be sentenced to 72 months in federal followed by a term of supervised release to be determined by the court.
Miller was arrested on May 1, 2013, based on a criminal complaint charging him with involuntary manslaughter for killing a 53-year-old Navajo man and driving under the influence of intoxicating liquor on April 27, 2013. Miller subsequently was indicted on May 29, 2013, and charged with second degree murder.According to court filings, on April 27, 2013, Miller was intoxicated when he lost control of the truck he was driving, causing a rollover collision on U.S. Highway 491 near Littlewater, N.M., which is located within the Navajo Indian Reservation. When the truck rolled over, the initial impact was on the passenger side of the vehicle, causing the victim, who was a passenger in Miller’s truck, to be ejected. The victim died upon impact as a result of blunt force trauma to the face and head. On April 29, 2013, during an interview with a tribal police investigator, Miller admitted that the rollover occurred because he was driving while intoxicated and fell asleep at the wheel.
During today’s plea hearing, Miller pleaded guilty to the indictment charging him with second degree murder and admitted killing the victim while driving under the influence of alcohol. In his plea agreement, Miller acknowledged that he knew based on his prior convictions for driving under the influence of alcohol that his conduct imperiled the lives of others.
Miller has been in federal custody since his arrest and remains detained pending his sentencing hearing, which has yet to be scheduled.
The case was investigated by the Albuquerque and Farmington offices of the FBI and the Shiprock office of the Navajo Nation Division of Public Safety and is being prosecuted by Assistant U.S. Attorneys Novaline D. Wilson and Kyle T. Nayback.
Shiloh Man Pleads Guilty to Possession of Pipe BombsRead the Press Release
Follow @SDILNewsStephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today that Justin A. Vangilder, 21, of Shiloh, Illinois, pled guilty today in federal district court in East St. Louis to an Indictment charging him with three counts of Possession of an Unregistered Firearm/Explosive Bomb.
A Stipulation of Facts filed by the parties in conjunction with the plea states that on October 3, 2013, law enforcement agents received information from a Cooperating Witness that Vangilder possessed several pipe bombs at his residence in Shiloh. Based upon this information, agents went to Vangilder’s residence and spoke with Vangilder, who admitted possessing three pipe bombs and also admitted that he knew that possession of such pipe bombs was illegal.
Vangilder consented to a search of his residence, wherein agents located three pipe bombs – two of which had plastic casings, while the third had a metal casing. Each bomb contained a fuse, explosive material, birdshot, and nails. Each such bomb was capable of exploding by detonation from the attached fuse. Vangilder made each of the pipe bombs on previous occasions and therefore knew of components of each bomb, and knew that each bomb was capable of explosion by detonation from the attached fuse.
The maximum penalties that can be imposed for each count are ten years in prison, a $250,000 fine, or both, three years of supervised release, and a $100 special assessment.
Sentencing is set for August 1, 2014, in federal district court in East St. Louis.
The case was investigated by members of the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Stephen B. Clark.
Sex Offender Sentenced for Failing to RegisterRead the Press Release
POCATELLO — Tyler Zane Clem, 21, of North Little Rock, Arkansas, was sentenced yesterday in United States District Court to 18 months in prison followed by five years of supervised release for failing to register as a sex offender, U.S. Attorney Wendy J. Olson announced. Clem was indicted by a federal grand Jury in Pocatello on August 28, 2013, and entered his guilty plea on January 29, 2014.
According to the plea agreement, Clem was convicted in June 2012 of sexual assault in the second degree in Arkansas and required to register as a sex offender. Clem left a half-way house in North Little Rock, Arkansas, on June 28, 2013, and eventually traveled to Pocatello, Idaho, where he was arrested on August 9, 2013. Although Clem had registered as a sex offender when living in Arkansas, he failed to update his registry after leaving the half-way house and did not register in Idaho after his arrival, as is required by law.
The case was investigated by the U.S. Marshals Service, with the assistance of the Pocatello Police Department.
Seville Man Charged with Mail Fraud Related to $185,000 SchemeRead the Press Release
David A. Riedel, age 53, of Seville, Ohio, is accused of committing mail fraud as part of a $185,000 scheme, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The one-count criminal information filed today alleges that on approximately 53 occasions, from September 2010 to July 2012, Riedel, for the purpose of executing a scheme to defraud, Riedel caused checks to be sent and delivered by the United States Postal Service. Specifically, the information alleges that while Riedel was employed by Avanti Trucking, he applied for a United States Post Office Box and falsely identified it as the address for a company that provided hauling services to Avanti Trucking. Riedel submitted approximately 50 fraudulent invoices to Avanti Trucking, claiming that the company had performed work for Avanti Trucking. In fact, and as Riedel then well knew, that company had stopped providing hauling services for Avanti Trucking in April 2010.
According to the information, Riedel received approximately $185,000 from Avanti Trucking through his fraudulent scheme. Due to the losses caused by Riedel’s conduct, Avanti Trucking was forced to liquidate its assets in 2013 and is no longer in operation.
This case is being prosecuted by Assistant United States Attorney Chelsea S. Rice following an investigation by the United States Postal Inspection Service.
A criminal information is a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Schuylkill County Firm and Chief Officer Charged with Shipping Machinery to Iran in Violation of U.S. Export License RequirementsRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, today announced that a Criminal Information has been filed against a Schuylkill County firm and its Chief Officer, charging them with conspiracy to evade export reporting requirements and with attempting to smuggle to Iran a lathe machine in violation of U.S. export regulations.
Charged in the Criminal Information were Hetran, Inc., an engineering and manufacturing plant in Orwigsburg, Pennsylvania and its Chief Executive Officer, Helmut Oertmann. At the same time, an indictment was unsealed that had previously been voted by a federal grand jury in Harrisburg in December 2012 against three Iranians and two Iranian firms connected with the criminal scheme:
Mujahid Ali
Khosrow Kasraei
Reza Ghoreishi
FIMCO FZE
Crescent International Trade and Services FZEAlso charged was Suniel Malhotra, an Indian national, an overseas sales representative for Hetran, Inc.
According to U.S. Attorney Peter Smith, Hetran allegedly manufactured a horizontal lathe, also described as a bar peeling machine (“peeler”), valued at more than $800,000 and weighing in excess of 50,000 pounds. A horizontal lathe, or peeling machine, is used in the production of high grade steel or "bright steel", a product used, among other things, in the manufacture of automobile and aircraft parts.
On or about June 2009, Hetran was allegedly contacted by representatives of FIMCO, an Iranian company with offices in Iran and the United Arab Emirates, and Crescent International, an affiliated company based in Dubai in the United Arab Emirates. FIMCO allegedly wanted to purchase the peeler. During negotiations, it became apparent that the peeler was intended for shipment to Iran. American companies are forbidden to ship “dual use” items (such as the peeler) to Iran without first obtaining a license from the U.S. Department of Commerce. Aware that it was unlikely that such a license would be granted, Hetran, Helmut Oertmann and other co-conspirators agreed to falsely state on the shipping documents that the end-user of the peeler was Crescent International in Dubai.
On June 17, 2012, Hetranallegedlycaused the peeling machine to be shipped to Dubai in the United Arab Emirates, fraudulently listing Crescent International in Dubai as the end-user, knowing that the shipment was ultimately being sent to Iran in violation of federal law.
Hetran is charged with conspiring to violate the export laws of the United States, and is subject to a sentence of up to $1,000,000. Helmut Oertmann, charged with attempting to smuggle goods from the United States to Iran, faces a potential penalty of up to 10 years imprisonment, a fine of up to $250,000 and up to 5 years supervised release. The Iranian and Indian defendants are charged with conspiring to violate and with attempting to violate the export laws of the United States, each carrying potential penalties of up to 10 years imprisonment, a fine of up to $250,000 and up to 5 years supervised release for the individual defendants and a $1,000,000 fine for each corporate defendant.
The case was investigated by the Office of Export Enforcement of the U.S. Department of Commerce. The prosecution is being coordinated by Assistant U.S. Attorney Christy Fawcett and Senior Litigation Counsel Gordon Zubrod and is being overseen by the National Security Division of the U.S. Department of Justice.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 10 years imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Russellville Man Indicted for Illegal Firearms, MethRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Russellville, Mo., man was indicted by a federal grand jury today for being an illegal alien in possession of firearms and for possessing methamphetamine with the intent to distribute.
Emmanuel Guillen, 21, a citizen of Mexico residing in Russellville, was charged in a two-count indictment returned by a federal grand jury in Jefferson City, Mo.
Today’s indictment alleges that Guillen, an illegal alien, was in possession of 21 firearms on March 20, 2014. Guillen is also charged with possessing methamphetamine with the intent to distribute.
Guillen was arrested on March 20, 2014. Law enforcement officers executed a search warrant at Guillen’s residence on that day. Officers found methamphetamine in a white box on the shelf of a bedroom closet and in a vehicle parked in the driveway. They found 21 firearms, including semi-automatic pistols, shotguns and rifles, in the house and in vehicles. Officers also found $2,504 in Guillen’s wallet and $13,168 in a safe in the bedroom closet.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Jim Lynn. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Cole County, Mo., Sheriff’s Department, MUSTANG (the Mid-Missouri Unified Strike Team and Narcotics Group) and U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).Rochester Man Pleads Guilty to Wire FraudRead the Press Release
ROCHESTER, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that David Hoffman, 40, of Rochester, N.Y., pleaded guilty before the U.S. District Judge Charles J. Siragusa, to wire fraud. The charge carries a maximum penalty of 20 years in prison and a fine of $250,000.
Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that between June 2008 and September 2008, the defendant operated an auto dealership. Hoffman applied for financing from an automotive financing company, Dealer Services Corporation (DSC) for an inventory of vehicles. After receiving the financing, the defendant then applied for an obtained financing for the exact same vehicles already financed by DSC from another financing company, Automotive Finance Corporation (AFC).
Hoffman received over $166,000 in duplicate financing based on the fraudulent scheme for approximately 13 vehicles.
Sentencing is scheduled for July 30, 2014, at 10:45 a.m. before Judge Siragusa.
The plea was the culmination of an investigation on the part of the Federal Bureau of Investigation.Rhode Island Business Owner, Wife and Company Indicted for Allegedly Marketing and Selling Unapproved Remedies for Cancer Mitigation and Treatment, Tax EvasionRead the Press Release
PROVIDENCE, R.I. – A federal grand jury in Providence on Tuesday returned a twenty-four count indictment alleging that a Portsmouth, R.I., business, its owner and his wife marketed and sold in excess of $2,000,000 dollars worth of products not approved by the federal Food and Drug Administration (FDA) as cancer mitigation and treatment options, announced United States Attorney Peter F. Neronha, Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division, Mark Dragonetti, Special Agent in Charge, FDA Office of Criminal Investigations, and William P. Offord, Special Agent in Charge of IRS Criminal Investigation.
According to the indictment, it is alleged that Daniel Chapter One, a Portsmouth, R.I., based company, its owner, James Feijo, and his wife Patricia Feijo, engaged in the marketing and in the sale and distribution of unapproved health products and supplements 7 Herb Formula, Bio Shark and GDU, which were not generally recognized as safe and effective for use by the FDA. Additionally, the indictment alleges that the products, as marketed, were not generally recognized as safe and effective by qualified experts for the cure, mitigation, treatment, or prevention of cancer. The products were allegedly marketed and sold through various websites, in-store advertisements, a call center, on the Feijos’ daily radio program, and through the use of promotional materials and publications.
In addition, it is alleged that from 2006 through 2011, James Feijo falsely represented to Daniel Chapter One employees that they were independent contractors, when in truth they were employees of Daniel Chapter One. It is alleged that during that time, James Feijo failed to issue IRS Wage and Tax Statements, Forms W-2, accounting for employees’ wages and taxes withheld; through 2011, Daniel Chapter One paid employees through checks written out to cash; and that James Feijo, for at least sixteen quarters, failed to collect, account for and pay over employment taxes due the United States.
In addition, as charged in the indictment, it is alleged that for at least two years James Feijo failed to file individual tax returns with the IRS.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt. The defendants will be summoned by the U.S. District Court in Providence for arraignment on a date yet to be determined.
The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly of the District of Rhode Island and Trial Attorney Jessica N. Moran of the Justice Department’s Tax Division.
The matter was investigated by members of the Rhode Island FDA Task Force from the North Providence and East Providence, R.I., Police Departments, R.I. State Police and R.I. National Guard, and by IRS- Criminal Investigation.
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Contact: 401-709-5357
[email protected]Priest and Parish Administrator Charged with Stealing from Troy ChurchRead the Press Release
A Catholic priest and a parish administrator were indicted for stealing almost $700,000 from St. Thomas More Church in Troy during an eight-year period, U.S. Attorney Barbara L. McQuade announced today.
McQuade was joined in the announcement by Paul M. Abbate, Special Agent in Charge of the Federal Bureau of Investigation, Detroit Division.
Charged were Edward Belczak, 69, of Troy, and Janice Verschuren, 67, of Bloomfield Hills.
The five-count indictment alleges that between 2004 and 2012, Belczak and Verschuren stole money and diverted funds from St. Thomas More Church and the Archdiocese of Detroit for their unjust enrichment, then concealed their criminal acts by creating or verifying false financial reports that were submitted to the Archdiocese. Charges in the indictment include mail fraud, wire fraud and conspiracy.
The indictment alleges that Belczak, assisted by Verschuren, used the proceeds of their illegal conduct in a number of ways, including:
• Diverting to their own use nearly $500,000 donated or bequeathed by parishioners to St. Thomas More Church,
• Using almost $110,000 stolen from the church to pay closing costs on the sale of Verschuren’s condominium in Palm Beach, Florida, to Belczak,
• Diverting to their personal bank accounts more than $26,000 in commissions paid to St. Thomas More Travel Group, and
• Diverting to themselves more than $33,000 owed to St. Thomas More Church by Diocesan Publications.
To conceal the theft and diversion of money, Belczak approved false financial reports that were submitted to the Archdiocese of Detroit. The reports underreported the amount of the parish’s operating receipts.
An indictment is only a charge and is not evidence of guilt. The defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
United States Attorney McQuade thanked the agents of the FBI and the Troy Police Department for their investigation of the case. It is being prosecuted by Assistant United States Attorneys Cynthia Oberg, Frances Carlson, and Adriana Dydell.Prescription Drug Take-Back to be held Saturday, April 26, 2014Read the Press Release
Montgomery, Alabama - On April 26 from 10 a.m. to 2 p.m., local law enforcement and the Drug Enforcement Administration (DEA) will give the public its eighth opportunity in three years to prevent pill abuse and theft by ridding their homes of potentially dangerous expired, unused, and unwanted prescription drugs. Citizens are encouraged to bring their prescription pills to a disposal site, but they should note that the DEA cannot accept liquids, needles, or “sharps,” only pills or patches. The service is free and anonymous, there will be no questions asked. To locate a disposal site near you, go to www.deadiversion.usdoj.gov
Citizens may also ask their local police departments and sheriff’s offices for disposal locations. The DEA may be able to locate convenient disposal sites for you by calling 1-800-882-9539.
Last October, Americans turned in 324 tons (over 647,000 pounds) of prescription drugs at over 4,114 sites operated by the DEA and its thousands of state and local law enforcement partners. When those results are combined with the seven previous Take Back events, DEA and its partners have taken in over 3.4 million pounds—more than 1,700 tons—of pills.
This initiative addresses a vital public safety and public health issue. Medicines that languish in home cabinets are highly susceptible to diversion, misuse, and abuse. Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. In addition, Americans are now advised that their usual methods for disposing of unused medicines—flushing them down the toilet or throwing them in the trash— pose potential safety and health hazards.
“This Take Back day is one way that citizens can help combat the growing threat of prescription drugs,” stated U.S. Attorney Beck. “We ask all of our citizens to use this day to help make their homes a safer place for their family and friends.”
“Take Back is an important step in ridding our country of lethal, illegal drugs,” stated DEA Assistant Special Agent in Charge Clay Morris. “The amount of drugs that we have disposed of in the past speaks volumes about the need to develop a convenient way to rid homes of unwanted or expired prescription drugs. Until such laws are passed, Law Enforcement is the only entity citizens can legally and safely dispose of these drugs.”
The DEA is in the process of approving new regulations that implement the Safe and Responsible Drug Disposal Act of 2010, which amends the Controlled Substances Act to allow an “ultimate user” (that is, a patient or their family member or pet owner) of controlled substance medications to dispose of them by delivering them to entities authorized by the Attorney General to accept them. The Act also allows the Attorney General to authorize long term care facilities to dispose of their residents’ controlled substances in certain instances.
Each collection site will be supervised by a law enforcement officer due to the involvement of controlled substances.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Porcupine Man Sentenced for Assault on A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Porcupine, South Dakota, man convicted of Assault on a Federal Officer was sentenced on April 17, 2014, by U.S. Magistrate Judge Veronica L. Duffy.
Troy Brave, age 39, was sentenced to 1 year of unsupervised probation and ordered to pay a $25 special assessment to the Federal Crime Victims Fund.
Brave was indicted on June 18, 2013, by a federal grand jury for assaulting an officer employed by the Oglala Sioux Tribe Department of Public Safety on November 11, 2012.
This case was investigated 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 prosecuted the case.
Pine Ridge Woman Sentenced for Stealing Money OrdersRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pine Ridge, South Dakota, woman convicted of Larceny was sentenced on April 18, 2014, by U.S. Magistrate Judge Veronica L. Duffy.
Bennita Feather Earring, age 48, was sentenced to time served, 1 year of supervised release, and ordered to pay a $25 special assessment to the Federal Crime Victims Fund and $1500 in restitution.
In March 2012, at Pine Ridge, Feather Earring and another person took three money orders belonging to someone else, arranged to have them cashed, and kept part of the money for herself.
The investigation was conducted by the Bureau of Indian Affairs Office of Justice Services and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Sarah Collins prosecuted the case.
Physician Charged with 210 Counts of Health Care Fraud and Money LaunderingRead the Press Release
GAINESVILLE, FLORIDA – Ona M. Colasante, 57, a physician from Gainesville, Florida, surrendered yesterday on charges contained in a federal indictment. U.S. Attorney Pamela C. Marsh announced the grand jury charges, which include 199 counts of health care fraud, three counts of introduction or delivery of misbranded drugs, three counts of introduction or delivery of unapproved new drugs, and five counts of money laundering.
According to the indictment, Colasante owned and operated a medical business known as the Hawthorne Medical Center in Hawthorne, Florida, from approximately 1998 until March 2009, and the Colasante Clinic on NW 16th Avenue in Gainesville, Florida, from approximately January 2010 until January 2013. During her operation of these medical businesses, Colasante is charged with having submitted or caused to be submitted fraudulent claims to health care benefit programs for medically unnecessary tests and procedures and medical services not rendered or provided, and thereafter receiving reimbursement for the fraudulent claims. These programs included Medicare, Medicaid, and Blue Cross Blue Shield of Florida. It is further alleged that while operating the Clinic, Colasante used some of the proceeds from the fraudulent health care claims to purchase non-FDA-approved drugs and devices from pharmacies located outside the United States. According to the indictment, Colasante then submitted or caused to be submitted fraudulent claims to health care benefit programs for the administration of the non-FDA-approved drugs. It is further alleged that the non-FDA-approved drugs were being administered to patients of the Colasante Clinic without their knowledge or consent.
Colasante made her initial appearance on the charges before U.S. Magistrate Judge Gary R. Jones at the U.S. District Courthouse in Gainesville yesterday. The trial is scheduled for June 17, 2014, before U.S. District Judge Mark E. Walker at the U.S. District Courthouse in Gainesville.
If convicted of charges in the filed indictment, Colasante faces a term of up to 10 years imprisonment for each of the health care fraud counts, up to three years imprisonment for each of the FDA violations, and up to 10 years imprisonment for each of the money laundering counts. She also faces fines and forfeiture of assets on each count.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the Government’s burden to prove guilt beyond a reasonable doubt in a court of law.
This indictment is the result of a joint investigation conducted by the Department of Health and Human Services, Office of Inspector General; the Federal Bureau of Investigation; the Internal Revenue Service-Criminal Investigation; Florida Attorney General Pam Bondi’s Medicaid Fraud Control Unit; and the Food and Drug Administration. The case is being prosecuted by Assistant United States Attorney Tiffany H. Eggers.Perrysburg Man Sentenced to 25 Years in Prison for Child Pornography CrimesRead the Press Release
A Perrysburg man was sentenced to 25 years in prison for child pornography crimes, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Andrew B. Palm, 34, was found guilty last year of one count each of receit of child pornography and production of child pornography.
The defendant's Sandalwood Road home is also subject to forfeiture.
This case was prosecuted by Assistant U.S. Attorneys Alissa M. Sterling and Guillermo J. Rojas following an investigation by United States Immigration and Customs Enforcement’s Homeland Security Investigations and the Perrysburg Police Department.
Pennsylvania Firm and Chief Officer Charged with Shipping Machinery to Iran in Violation of U.S. Export License RequirementsRead the Press Release
A criminal information has been filed against a Pennsylvania firm and its chief officer, charging them with conspiracy to evade export reporting requirements and with attempting to smuggle to Iran a lathe machine in violation of U.S. export regulations. The announcement was made today by the U.S. Attorney Peter J. Smith for the Middle District of Pennsylvania.
Charged in the Criminal Information were Hetran Inc., an engineering and manufacturing plant in Orwigsburg, Pa., and its chief executive officer, Helmut Oertmann. At the same time, an indictment was unsealed that had previously been voted by a federal grand jury in Harrisburg in December 2012 against three Iranians and two Iranian firms connected with the criminal scheme: Mujahid Ali, Khosrow Kasraei, Reza Ghoreishi, FIMCO FZE, and Crescent International Trade and Services FZE.
Also charged was Suniel Malhotra, an Indian national, an overseas sales representative for Hetran Inc.
According to U.S. Attorney Peter Smith, Hetran allegedly manufactured a horizontal lathe, also described as a bar peeling machine (peeler), valued at more than $800,000 and weighing in excess of 50,000 pounds. A horizontal lathe, or peeling machine, is used in the production of high grade steel or bright steel,” a product used, among other things, in the manufacture of automobile and aircraft parts.
On or about June 2009, Hetran was allegedly contacted by representatives of FIMCO, an Iranian company with offices in Iran and the United Arab Emirates, and Crescent International, an affiliated company based in Dubai in the United Arab Emirates.FIMCO allegedly wanted to purchase the peeler.During negotiations, it became apparent that the peeler was intended for shipment to Iran.American companies are forbidden to ship “dual use” items (such as the peeler) to Iran without first obtaining a license from the U.S. Department of Commerce.Aware that it was unlikely that such a license would be granted, Hetran, Helmut Oertmann and other co-conspirators agreed to falsely state on the shipping documents that the end-user of the peeler was Crescent International in Dubai.
On June 17, 2012, Hetranallegedlycaused the peeling machine to be shipped to Dubai in the United Arab Emirates, fraudulently listing Crescent International in Dubai as the end-user, knowing that the shipment was ultimately being sent to Iran in violation of federal law.
Hetran is charged with conspiring to violate the export laws of the United States, and is subject to a sentence of up to $1,000,000.Helmut Oertmann, charged with attempting to smuggle goods from the United States to Iran, faces a potential penalty of up to 10 years imprisonment, a fine of up to $250,000 and up to 5 years supervised release.The Iranian and Indian defendants are charged with conspiring to violate and with attempting to violate the export laws of the United States, each carrying potential penalties of up to 10 years imprisonment, a fine of up to $250,000 and up to 5 years supervised release for the individual defendants and a $1,000,000 fine for each corporate defendant.
The case was investigated by the Office of Export Enforcement of the U.S. Department of Commerce.The prosecution is being coordinated by Assistant U.S. Attorney Christy Fawcett and Senior Litigation Counsel Gordon Zubrod and is being overseen by the National Security Division of the U.S. Department of Justice.
Indictments and criminal informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 10 years imprisonment, a term of supervised release following imprisonment and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.Pearl River Man Sentenced to Ten Years in PrisonFor the Illegal Distribution of Oxymorphone Causing the Overdose Death of Two Young MenRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and James J. Hunt, the Acting Special Agent-in-Charge of the New York Field Division of the U.S. Drug Enforcement Administration (“DEA”), announced that CRAIG OLEKSOWICZ was sentenced today by U.S. District Judge Edgardo Ramos in Manhattan federal court to 120 months’ imprisonment. OLEKSOWICZ’s criminal conduct, for which he was sentenced, included illegally distributing oxymorphone, a Schedule II controlled substance, the use of which caused the July 2011 and October 2011 deaths of another individual, two young men in Pearl River, New York.
U.S. Attorney Bharara stated: “The illegal distribution of highly-addictive and dangerous prescription pills is the fastest-growing drug problem in the country. Painkillers that Craig Oleksowicz illegally dealt led to the overdose death of two young men. Today’s sentence of ten years in prison for Oleksowicz’s crimes shows how seriously this Office takes this public health epidemic.”
According to the Information, to which OLEKSOWICZ pled guilty, statements made during the plea and sentencing proceedings or associated court filings:
OLEKSOWICZ, 38, of Pearl River, New York, used worker’s compensation benefits to pay for prescriptions of oxymorphone, codeine, methadone, and other medications. Between at least February 2011 and October 2011, OLEKSOWICZ and others regularly distributed OLEKSOWICZ’s prescription oxymorphone pills for profit. Oyxmorphone is a powerful painkiller with a high potential for addiction and abuse, and its improper use may lead to fatality. Indeed, in July 2011 and in October 2011, the use of oxymorphone pills supplied by OLEKSOWICZ caused the overdose death of two young men, aged 20 and 21, respectively, both residents of Pearl River. In the months following those deaths, OLEKSOWICZ continued his illegal distribution of pills, selling codeine, methadone, and Valium pills for profit on at least four separate occasions in February 2012.
Mr. Bharara praised the investigative efforts of the DEA, the Westchester County Department of Public Safety, the Rockland County Drug Task Force, and the Orangetown Police Department.
The case is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Christopher J. DiMase and Abigail Kurland are in charge of the prosecution.
Pasco County School Employee Arrested on Child Pornography ChargesRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Kenneth Dempsey (52, Port Richey) has been charged in a criminal complaint with receipt and possession of child pornography. If convicted, Dempsey faces a mandatory minimum sentence of 5 years, up to a maximum of 20 years in federal prison. Dempsey was arrested on April 21, 2014 and made his initial appearance before U.S. Magistrate Judge Mark A. Pizzo. A bond hearing is scheduled for April 24, 2014, at 2:00 p.m.
According to the criminal complaint, between August 2013 and April 2014, Dempsey used the Internet to send and receive multiple images of child pornography from his residence.
A criminal complaint is merely an informal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation and the Pasco County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Carlton C. Gammons.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), 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.projectsafechildhood.gov.
Over $56.6 Million Forfeited in E-Gold Accounts Involved in Criminal OffensesRead the Press Release
More Than $20 Million Returned to Bona Fide Account Holders
Baltimore, Maryland - U.S. District Judge Ellen L. Hollander ordered yesterday the forfeiture of $45,816,817.84, the remaining value of over $86.3 million in e-gold, Ltd. (EGL ) accounts seized by the government in 2011. In 2012, Judge Hollander ordered the forfeiture of over $10.8 million in the EGL accounts, bringing the total amount forfeited to over $56.6 million. Judge Hollander also ordered the return of $295,642 to bona fide account holders who were able to verify their ownership of the accounts. Judge Hollander had previously ordered the return of over $19,947,313.91 to identified account holders.
The forfeiture was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Kathy Michalko of the United States Secret Service - Washington Field Office.
U.S. Attorney Rosenstein said, “Civil forfeiture allows the government to recover the proceeds of criminal activity, while assuring that the due process rights of any lawful owners are fully protected.”
EGL was in the business of exchanging traditional forms of currency for precious metals held in electronic form, known as e-metals or e-gold, and settling payer-initiated transfers of e-metals from one customer account to another. In 2008, EGL pled guilty in the District of Columbia to money laundering and operating an unlicensed money transmitting business. EGL sold precious metals in electronic form to provide customers with a means of transferring value from one customer account to another while maintaining anonymity, knowing that at least some of the funds were involved in criminal activities. Non-traditional money transmitting businesses such as EGL are frequently used by criminals to transfer money because they are not as closely regulated as banks and other traditional financial institutions. For that reason, they must be licensed by the state in which they operate and register with the Department of the Treasury.In 2011, the government filed a civil forfeiture action in the District of Maryland against the value of the e-gold accounts, totaling more than $86.3 million, and sent notice of the right to contest the forfeiture to the registered account holders. Some of the account holders who received the notice responded that they were the victims of identity theft and had no connection to EGL.
As part of its plea agreement, EGL identified 12,869 customer e-metal accounts that contained funds derived from a variety of criminal offenses including child pornography, credit card fraud, identity theft, investment fraud and the sale of stolen or non-existent goods on the internet. In 2012, Judge Hollander ordered the forfeiture of more than $10.8 million, the value of those accounts. Judge Hollander also ordered that that $12,287 be returned to 22 claimants from those identified accounts, whose claims the government did not contest.
The government then sought the forfeiture of the remainder of the $86.3 million as property involved in EGL’s criminal offenses, but it agreed to exempt from forfeiture any money claimed by bona fide account holders. The money forfeited yesterday represents the balance of the funds involved in the criminal offenses that was not claimed by account holders, bringing the total forfeited to the government to over $56.6 million.
Digital currencies are generally marketed as offering global acceptance without the need for conversion between national currencies, and are valued at fluctuating rates tied to the price of a particular precious metal, especially gold. Digital currency is used for on-line commerce or for funds transfers between individuals for private purposes. In general, an EGL customer opened an e-gold account, and then could use the internet to transfer the value in the account to any other EGL customer anonymously and instantaneously anywhere in the world. The recipient could then redeem the e-gold for any national currency. Because of the ease with which customers could purchase and transfer e-gold anonymously, outside of the regulated traditional banking system, trading in e-gold became popular among persons looking for a way of laundering criminal proceeds. In particular, e-gold was widely accepted as a means of transacting credit card and identification fraud, high yield investment programs and other investment scams, and child exploitation, but was not widely accepted by large or mainstream vendors.
United States Attorney Rod J. Rosenstein praised the U.S. Secret Service Washington and Orlando Field Offices and the SCIRS-SS Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Stefan Cassella, who handled the civil forfeiture for the government.
Office Manager Charged with Embezzling from EmployerRead the Press Release
PITTSBURGH - A resident of Springdale, Pa., has been indicted by a federal grand jury in Pittsburgh on a charge of theft from an employee benefit plan, United States Attorney David J. Hickton announced today.
The one-count indictment named Jennifer Gent, 39, as the sole defendant.
According to the indictment, during a two-year period while she was employed as the office manager for the Journeyman-Apprentice Training Fund (JATF) for the Sheet Metal Industry of Western Pennsylvania, Gent embezzled from her employer by writing and cashing approximately $30,297.70 in unauthorized JATF checks.
The law provides for a maximum total sentence of five years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Leo M. Dillon is prosecuting this case on behalf of the government.
The Department of Labor, Office of Labor-Management Standards and the Employee Benefit Security Administration conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Nashville Man Indicted for Mailing Threats to Employee at Covington Area FactoryRead the Press Release
Memphis, TN – Daniel Puckett, 58, of Nashville, TN, was indicted today by a federal grand jury in Memphis on one count of sending threatening interstate communications via the U.S. Postal Service, announced U.S. Attorney Edward L. Stanton III.
According to the facts of the indictment, on August 9, 2013, Puckett knowingly and willfully mailed an envelope addressed to an employee of Unilever, 2000 U.S. Highway 51, Covington, TN 38019. The letter was mailed from the State of Kentucky. Inside the envelope was a publication of the “Torch,” “Summer 2013, Issue 208.” This publication was circulated by Thomas Robb, national director of the “Knights Party.”
The said publication contained a threat to harm and injure the named employee at Unilever and his family. Specifically, on the front of the publication was hand printed, “we have space for you and your family under a big oak tree!”
On another page of the publication, it was represented that the employee of Unilever was not a member of the “Knights,” but wanted to attend the “National Klan Congress.” If convicted on the sole count of the indictment, Puckett faces up to five years in federal prison and a fine of up to $250,000; however, if the incident is judged to be a hate crime, federal sentencing guidelines allow the penalties to be enhanced.
This case was investigated by the United States Postal Inspection Service. First Assistant U.S. Attorney Larry Laurenzi is representing the government.
U.S. Attorney Edward L. Stanton III established a dedicated Civil Rights Unit in February 2011 to ensure that every individual in the Western District of Tennessee enjoys the rights and freedoms guaranteed by the Constitution of the United States. The Civil Rights Unit assigns dedicated prosecutors to pursue the full spectrum of federal civil rights crimes, including official misconduct, human trafficking, and hate crimes, as well as law enforcement public corruption cases.
The charges and allegations contained in the indictment are merely accusations, and the defendant is considered innocent unless and until proven guilty.Moberly Man Indicted for CounterfeitingRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Moberly, Mo., man was indicted by a federal grand jury today for possessing and passing counterfeit $50 bills.
Kevin Glenn McCuiston, 37, of Moberly, was charged in a two-count indictment returned by a federal grand jury in Jefferson City. Today’s superseding indictment replaces a Feb. 12, 2014, federal indictment that contained one count of possessing counterfeit $50 bills.
Today’s indictment contains the original allegation that McCuiston was in possession of 49 counterfeit $50 bills on Dec. 6, 2013. McCuiston is also charged with passing four counterfeit $50 bills and five counterfeit $10 bills on Dec. 2, 2013.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Lauren Kummerer. It was investigated by the U.S. Secret Service and the Missouri State Highway Patrol.Mitten Rock, N.M., Woman Pleads Guilty to Federal Involuntary Manslaugher ChargeRead the Press Release
ALBUQUERQUE – Patricia Benally, 36, an enrolled member of the Navajo Nation who resides in Mitten Rock, N.M., pleaded guilty this morning to an indictment charging her with involuntary manslaughter under a plea agreement with the U.S. Attorney’s Office.
Benally was arrested on Feb. 5, 2014, on a criminal complaint charging her with involuntary manslaughter of a four-year-old Navajo child on the Navajo Indian Reservation. Benally was charged by indictment for involuntary manslaughter on Feb. 26, 2014.
According to court filings, Benally was intoxicated when the vehicle she was driving was involved in a rollover collision near mile marker 72 on U.S. Highway 491 south of Shiprock, N.M. The victim was one of five passengers, four of whom were young children, in Benally’s vehicle at the time of the collision. Benally’s blood alcohol content was .237 shortly after the collision.
During today’s plea hearing, Benally admitted killing the victim while driving under the influence of alcohol. According to the plea agreement, Benally was driving intoxicated at a high rate of speed when she fell to sleep and lost control of the vehicle, causing it to roll over and crash. The victim was killed as a result of the crash.
Benally has been in federal custody since her arrest and remains detained pending her sentencing hearing, which has yet to be scheduled. At sentencing, Benally faces a statutory maximum penalty of eight years in federal prison.
The case was investigated by the Albuquerque and Farmington offices of the FBI and the Shiprock office of the Navajo Nation Division of Public Safety and is being prosecuted by Assistant U.S. Attorney Paul H. Spiers.
Mission Man Charged with First Degree Burglary and AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man has been indicted by a federal grand jury for First Degree Burglary, Assault with a Dangerous Weapon, and Assault Resulting in Serious Bodily Injury.
Tyler Red Eagle, age 22, was indicted on March 11, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 17, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 25 years in custody and/or a $250,000 fine, 5 years of supervised release, and up to $700 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about July 2, 2013, at Soldier Creek, Red Eagle and other defendants unlawfully entered and remained in two residences and assaulted a victim in one of the residences with a metal object which resulted in serious bodily injury.
The charge is merely an accusation and Red Eagle is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Red Eagle was remanded to the custody of the U.S. Marshals Service pending trial, which has been set for June 3, 2014.
Mexican National Admits Growing Marijuana on Public LandsRead the Press Release
BOISE — Gilberto Duran-Contreras, 51, a Mexican national, pleaded guilty yesterday in federal court to unlawfully manufacturing more than 1,000 marijuana plants, and damage to government land, U.S. Attorney Wendy J. Olson announced. The defendant appeared before U.S. Magistrate Judge Candy W. Dale at the federal courthouse in Boise.
According to the plea agreement, on September 15, 2013, law enforcement officers arrested Duran-Contreras on Hwy 21 near Lowman, a few miles from an outdoor marijuana growing operation on Little Beaver Creek in the Boise National Forest. A few days earlier, his co-defendants Marcos Solano-Farias, Jose Misael Ayala-Talavera, and Carlos Cerda-Carpio, were arrested in a related outdoor marijuana growing operation with 1,411 live plants on Rabbit Creek. The three co-defendants have already pleaded guilty. Duran-Contreras admitted he had worked in the growing operation on Little Beaver Creek where law enforcement officers had removed 5,463 marijuana plants. According to the plea agreements, investigators found and seized two semi-automatic handguns, and an AK-47 type rifle at the Rabbit Creek camp. Firearms had also been present at the Little Beaver Creek camp. At both locations, investigators found several hundred marijuana plants that had already been harvested from the 2013 growing operation. Law enforcement officers have located and eradicated all live marijuana plants from these growing operations.
Co-defendant Mariah Villasenor-Rodriguez recently pleaded guilty to possession of more than 100 kilos of processed marijuana at her premises in Caldwell. She is the wife of lead co-defendant, Juan Pablo Villasenor-Villa, who is set for trial on July 21, 2014.
All defendants were indicted by a federal grand jury on October 9, 2013, on charges of conspiracy to manufacture and distribute marijuana, possession of firearms in furtherance of drug trafficking, and injury to federal public lands. Duran-Contreras will be sentenced on July 8, 2014. The four co-defendants who have previously pleaded guilty are set for sentencing on May 14-15, 2014.
The charge of manufacturing more than 1,000 marijuana plants carries a penalty of not less than ten years and up to life in prison, a maximum fine of $10 million, and five years of supervised release. The charge of injury to government property is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release. Possession of more than 100 kg is punishable by not less than five years and up to 25 years in prison, a maximum fine of $5 million and up to three years of supervised release.
“Vigorous prosecution of those who grow illegal drugs on federal land is a high priority of this office,” said Olson. “Those who operate marijuana grows not only traffic in illegal drugs, but they also damage wildlife and the environment and, through their possession and possible use of firearms, pose a significant danger to all Idahoans who seek to use our national forests for hiking, hunting and recreation purposes.” Olson noted that Duran-Contreras is the tenth defendant in 2014 to plead guilty or be sentenced in Idaho on federal drug trafficking charges that also involved the unlawful use, possession or sale of firearms. “Drugs and guns are a dangerous and often violent combination,” Olson said. “Today’s guilty pleas demonstrate that federal gun laws are carefully targeted at those who use or possess firearms for unlawful purposes.”
The case is the result of a joint investigation result of the Organized Crime and Drug Enforcement Task Force (OCDETF), which included the cooperative law enforcement efforts of the Drug Enforcement Administration, Bureau of Land Management, and United States Forest Service, with assistance from the Ada County Sheriff’s Office, Boise County Sheriff’s Office, Boise Police Department, City County Narcotics Unit (Canyon County Sheriff’s Office and Caldwell Police Department), the Idaho National Guard, Meridian Police Department, Nampa Police Department, Spokane Police Department, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and Washington State Police.
The OCDETF program is a federal, multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.