Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
16 April 2014
Oglala Man Pleads Not Guilty to Felony Child Abuse and NeglectRead the Press Release
United States Attorney Brendan V. Johnson announced that an Oglala, South Dakota, man has been indicted by a federal grand jury for Felony Child Abuse and Neglect.
Leon Eagle, age 21, was indicted on March 18, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on April 4, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 15 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Eagle abusing a child who had not attained the age of seven years old in September 2012 at Oglala.
The charge is merely an accusation and Eagle is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Eric Kelderman is prosecuting the case.Eagle was released on bond pending trial. A trial date has been set for June 10, 2014.
New Haven Man Sentenced to Five Years in Prison for Distributing HeroinRead the Press Release
Follow @USAO_CT
Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that PIERRE GALAN, also known as “P.L.O.,” 28, of New Haven, was sentenced today by Senior U.S. District Judge Ellen Bree Burns in New Haven to 60 months of imprisonment, followed by four years of supervised release, for trafficking heroin.
According to court documents and statements made in court, this matter stems from “Operation Bloodline,” a joint law enforcement investigation targeting narcotics trafficking and gang violence in the Dwight-Kensington and Fair Haven sections of New Haven. Led by the DEA New Haven Task Force and the New Haven and Hamden Police Departments, the year-long investigation included the use of court-authorized wiretaps on numerous telephones, extensive physical surveillance, controlled purchases of narcotics, execution of search warrants, and seizures of narcotics and firearms. More than 100 individuals were charged as a result of the investigation.
On December 6, 2013, GALAN pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin.
GALAN’s criminal history includes one prior felony firearms conviction.
This matter is being investigated by the Drug Enforcement Administration’s New Haven Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments. The United States Marshals Service, the Connecticut State Police, the Connecticut Department of Correction, Parole and Community Services and the Milford, Hartford, New Britain, North Branford and Stratford Police Departments have provided valuable assistance to the investigation.
This case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Marc Silverman.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]New Haven Man Sentenced to 15 Months in Prison for Escaping from Federal CustodyRead the Press Release
Follow @USAO_CT
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that MICHAEL BEVERLY, 37, formerly of New Haven, was sentenced yesterday by Senior U.S. District Judge Ellen Bree Burns in New Haven to 15 months of imprisonment, followed by three years of supervised release, for escaping from federal custody.
According to court documents and statements made in court, on June 17, 2013, BEVERLY escaped from custody in the Watkinson House Residential Reentry Center in Hartford. BEVERLY was serving a 77-month term of imprisonment imposed following his 2008 conviction in federal court for possession of ammunition by a convicted felon. He was apprehended approximately two weeks later by the U.S. Marshals Service and returned to custody.
The 15-month sentence imposed yesterday will run consecutively to the undischarged term of imprisonment BEVERLY was serving on his 2008 conviction.
This case was investigated by the U.S. Marshals Service and the New Haven Police Department, and was prosecuted by Assistant U.S. Attorney Christopher Mattei.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Mt. Oliver Grocer Admits Defrauding Food Stamp ProgramRead the Press Release
PITTSBURGH - A Pittsburgh-area grocer pleaded guilty in federal court to fraud charges United States Attorney David J. Hickton announced today.
Emile Bizimungu, 32, pleaded guilty to one count of wire fraud and one count of food stamp fraud before Senior United States District Judge Gustave Diamond.
In connection with the guilty plea, the court was advised that Bizimungu was the owner of Dollar Grocery, a retail food store formerly located on Brownsville Road in Mt. Oliver Borough. The defendant's retail store participated in the United States Department of Agriculture's Supplemental Nutrition Assistance Program, commonly known as the Food Stamp Program. Food stamp recipients could purchase eligible food items using food stamp benefit cards at the defendant's retail store. As a condition of participation in the Food Stamp Program, Bizimungu certified that he would comply with all rules and regulations of the program and was aware that program rules strictly prohibit the exchange of food stamp benefits for cash and/or ineligible items. Despite this knowledge, on multiple occasions, the defendant exchanged food stamp benefits for cash on a discounted basis, usually giving the customers only .50 cents on the dollar for their food stamp benefits. The defendant also permitted food stamp customers to purchase ineligible items with food stamp benefits and accepted food stamp benefits as payment on credit accounts and loans.
Judge Diamond scheduled sentencing for Aug. 11, 2014 at 10 a.m. The law provides for a total sentence of 25 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued the defendant’s bond.
Assistant United States Attorney Tonya Sulia Goodman is prosecuting this case on behalf of the government.
The Office of the Inspector General for the United States Department of Agriculture and the Department of Homeland Security, Homeland Security Investigations conducted the investigation that led to the prosecution of Bizimungu.
Montezuma County Man Indicted for Child Pornography and Marijuana DistributionRead the Press Release
DENVER – Stephen Paul Redwood, age 31, of Montezuma County, Colorado, was placed into federal custody based on a grand jury indictment on child pornography and marijuana distribution charges, United States Attorney John Walsh and FBI Denver Division Special Agent in Charge Thomas Ravenelle announced. Redwood was indicted by a federal grand jury in Durango, Colorado on April 3, 2014. He surrendered on April 10, 2014 in Denver, and appeared before a U.S. Magistrate Judge that afternoon, where he was advised of his rights and the charges pending against him. Yesterday, April 15, 2014, Redwood had a detention hearing and arraignment. He is due back in court tomorrow, April 17, 2014 at 11:00 a.m. for a further discussion regarding detention.
According to the indictment, between July 7, 2012 and November 24, 2013, Redwood transported and shipped child pornography within interstate commerce, using any means, including a computer. Further, on August 25, 2012, January 21, 2013, August 14, 2013, and December 3, 2013, the defendant knowingly received child pornography, also by computer. On January 15, 2014, Redwood was found in possession of child pornography.
In addition to the child pornography charges, between October 31, 2013 and January 15, 2014, Redwood did knowingly and intentionally distribute and possess with intent to distribute marijuana. On January 15, 2014, Redwood did knowingly and intentionally manufacture and possess with intent to manufacture marijuana.
During the course of the investigation, the FBI determined that Redwood was receiving, transporting, and possessing child pornography. On January 15, 2014, FBI agents, working with the Colorado Bureau of Investigation (CBI), Immigration and Customs Enforcement (ICE) Homeland Security Services (HSI), United States Marshals Service, Montezuma County Sheriff’s Office and the Cortez Police Department, executed a search warrant at Redwood’s residence. In addition to the computer and computer media they found, which contained child pornography, agents also found a marijuana grow, including dried marijuana ready for use and live marijuana plants. During a detention hearing, the government proffered to the court that Redwood sold marijuana to a 14 year old and other minors as well.
Redwood faces one count of transportation of child pornography and four counts of receipt of child pornography which carries a penalty of not less than 5 years, and not more than 20 years in federal prison, as well as not more than a $250,000 fine for each count. He faces, one count of possession of child pornography, which carries a penalty of not more than 10 years in federal prison. He faces one count of distribution of marijuana and one count of manufacture/cultivation of marijuana, each count of which carries a penalty of not more than 5 years in federal prison, and up to a $250,000 fine.
This case was investigated by the Federal Bureau of Investigation (FBI) with the assistance of the Colorado Bureau of Investigation (CBI), Immigration and Customs Enforcement (ICE) Homeland Security Services (HSI), United States Marshals Service, Montezuma County Sheriff’s Office and the Cortez Police Department.
Redwood is being prosecuted by Assistant U.S. Attorney Todd Norvell, based in the Colorado U.S. Attorney’s Durango Branch Office. Assistant U.S. Attorney Alecia Riewerts Wolak is providing support in Denver.
The charges contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty.
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.
Mission Man Charged with First Degree Burglary and Attempted RobberyRead 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 and Attempted Robbery.
Joshua Daniel Peneaux, age 18, was indicted on April 8, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on April 10, 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 $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about March 30, 2014, in Mission, Peneaux and others entered and remained in an occupied structure and did by force, violence and intimidation, attempt to take things of value from the victim.
The charge is merely an accusation and Peneaux is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Tim Maher is prosecuting the case.
Peneaux was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Middlesex County, N.J., Man Sentenced to 18 Months in Prison for Scheme to File Fraudulent Tax ReturnsRead the Press Release
NEWARK – A Middlesex County, N.J., man was sentenced today to 18 months in prison for his role in filing fraudulent income tax returns and illegally receiving approximately $500,000 in refunds, U.S. Attorney Paul J. Fishman announced.
Badatunde Olugbake, 55, of Perth Amboy, N.J., previously pleaded guilty before U.S. District Judge Jose L. Linares to a three-count information charging him mail fraud, filing false claims against the United States, and receiving stolen government funds. Judge Linares imposed the sentence today in Newark federal court.According to documents filed in this case and statements made in court:
From February 2008 through December 2010, Olugbake was involved in a scheme to file false and fraudulent tax returns to obtain tax refund checks. Olugbake deposited more than $400,000 in tax refunds as part of that scheme into bank accounts he controlled.
Through the unauthorized use of names and Social Security numbers of unsuspecting victims, along with false addresses, statements concerning income and dependents, and claims for refunds, Olugbake manipulated tax returns so that the purported claimants qualified for the Earned Income Credit. Olugbake then mailed the fraudulent returns to the IRS. The IRS processed the false returns as if they were legitimate and issued refund checks that were mailed to the fraudulent addresses associated with the returns, where the checks were retrieved by Olugbake and deposited into bank accounts under his control.
In addition to the prison term, Judge Linares sentenced Olugbake to three years of supervised release and ordered him to pay $500,422 in restitution.
U.S. Attorney Fishman credited special agents of IRS-Criminal Investigation under the direction of Acting Special Agent in Charge Jonathan D. Larsen, and inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge Maria L. Kelokates, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew J. Bruck of the U.S. Attorney’s Criminal Division and Assistant U.S. Attorney Jacques S. Pierre of the U.S. Attorney’s Special Prosecutions Division in Newark.
14-132
Defense counsel: Vincent J. Nuzzi Esq., Dover, N.J.
Mexican National Residing in Twin Falls Sentenced to PrisonRead the Press Release
Luciano Chavez-Morales convicted of being an illegal alien in possession of firearms and possessing methamphetamine with the intent to distribute
Boise B Luciano Chavez-Morales, 27, of Mexico, was sentenced today to serve 87 months in prison for one count of possession of methamphetamine with intent to distribute and one count of being an illegal alien in possession of firearms. Chief U.S. District Judge B. Lynn Winmill also sentenced the defendant to serve five years of supervised release, pay a $400 fine, and a $200 special assessment. Chavez-Morales was also ordered to forfeit the two illegally possessed firearms and $5000 in cash proceeds. The defendant pleaded guilty on January 22, 2014.
According to the plea agreement, Chavez-Morales, a citizen of Mexico, sold one ounce of methamphetamine to an undercover Special Agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives, on July 30, 2013, in a grocery store parking lot in Twin Falls, Idaho. Chavez-Morales sold another ounce of methamphetamine to the undercover agent on August 5, 2013. On August 16, 2013, Chavez-Morales agreed to sell the undercover agent four ounces of methamphetamine. Before the deal could take place, Chavez-Morales was arrested and a search warrant was served at his residence in Twin Falls. The search warrant discovered approximately 113 grams of pure methamphetamine and two loaded firearms in Chavez-Morales’s bedroom. One of the firearms was reported stolen out of Las Vegas, Nevada. At the time Chavez-Morales possessed the firearms, he was illegally present in the United States. Chavez-Morales will be deported to Mexico after serving his prison sentence.
The case was investigated by Twin Falls Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives.
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Mansfield Man Sentenced for Child PornRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Mansfield, Mo., man was sentenced in federal court today for receiving and distributing child pornography over the Internet.
Mathew Taylor Cox, 49, of Mansfield, was sentenced by U.S. Chief District Judge Greg Kays to eight years in federal prison without parole. The court also ordered Cox to forfeit to the government a desktop computer, two computer hard drives and 938 CDs and DVDs that contain images and videos of child pornography.
On Sept. 4, 2013, Cox pleaded guilty to one count of receiving and distributing child pornography (between May 1, 2008, and March 31, 2011) and one count of possessing child pornography (on Dec. 20, 2011).
This case was prosecuted by Assistant U.S. Attorney Abram McGull, II. It was investigated by the FBI, the Nixa, Mo., Police Department and the Missouri State Highway Patrol.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Manhattan U.S. Attorney Files Civil Rights Lawsuit Against Major Real Estate Developer and Architects to Remedy Pattern and Practice of Inaccessible Design and Construction of New York City Apartment BuildingsRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that the United States filed a federal civil rights lawsuit in Manhattan federal court alleging that THE DURST ORGANIZATION, INC. (“DURST”), a major real estate developer based in New York City, has engaged in a pattern and practice of developing rental apartment buildings that are inaccessible to persons with disabilities. The suit alleges that DURST, along with its affiliate THE HELENA ASSOCIATES, LLC, and the architecture firm, FXFOWLE ARCHITECTS, P.C., designed and constructed the Helena, a Manhattan building with 595 rental apartment units, in violation of the design and construction provisions of the federal Fair Housing Act. The relevant provisions of the Fair Housing Act have been in effect since March 1991, and the Helena was built in 2005. The suit additionally alleges that, as evidenced by the inaccessible conditions at the Helena, DURST engaged in a pattern and practice of discriminatory conduct, which may result in inaccessible conditions at DURST’s other rental properties in New York City, and that unless DURST’s discriminatory practices are enjoined, the inaccessible conditions at the Helena will likely be repeated in current projects, including rental complexes at 855 Avenue of the Americas and on West 57th Street between 11th and 12th Avenues.
Manhattan U.S. Attorney Preet Bharara said: “This is now the eighth lawsuit we have filed in recent years to address the failure of real estate developers in New York City to comply with the law. Today’s lawsuit demonstrates our continued commitment to ensuring that the long-established federal laws that protect the rights of people with disabilities to accessible housing are enforced. Developers and architects who show an unwillingness to design and construct housing that complies with the law can no longer seek to evade the consequences of their actions.”
According to the allegations contained in the Complaint and other information in the public record:
DURST has been involved in real estate development in New York City for decades. In addition to The Helena, DURST has developed several other multi-family dwellings in Manhattan, including The Epic in the Chelsea neighborhood of Manhattan, 1214 Fifth Avenue on the Upper East Side, and several buildings along Front Street in Lower Manhattan.
DURST has engaged in a pattern and practice of developing its rental properties without regard to their accessibility to people with disabilities. For example, at The Helena, which is located on Manhattan’s Upper West Side, DURST designed and constructed a complex, which contains 595 rental apartment units and public and common use areas, with scores of inaccessible conditions. These conditions include excessively high thresholds that interfere with accessible routes in the common areas and within individual units, kitchens that lack sufficient width for maneuvering by people in wheelchairs, electrical outlets and mailboxes that are not fully usable by people in wheelchairs, and bathrooms that lack sufficient clear floor space for people in wheelchairs to maneuver.
To ensure that DURST’s current and future residential housing developments are accessible to people with disabilities and to redress its history of non-compliance with the Fair Housing Act, the United States seeks a court order enjoining DURST from designing and constructing multi-family housing, such as 855 Avenue of the Americas, without the accessibility features required by federal law and requiring DURST to retrofit the inaccessible conditions at all the rental properties it has developed to make them accessible. The United States also seeks damages for persons harmed by DURST’s unlawful practices, and a civil penalty to vindicate the public interest.
In addition, the United States asserts claims against FXFOWLE ARCHITECTS, P.C., based on their inaccessible designs for The Helena. Specifically, the United States seeks to enjoin FXFOWLE ARCHITECTS, P.C., from designing multi-family housing without the accessibility features required by federal law, as well as damages for persons harmed by their inaccessible designs and civil penalties.
This case is being handled by the Office’s Civil Rights Unit. Assistant U.S. Attorneys Li Yu, Carina H. Schoenberger, Emily E. Daughtry, and Jessica Jean Hu are in charge of the case.
U.S. v. Durst Organization, Inc. et al Complaint
Lower Brule Man Sentenced for Assaulting, Resisting, or Impeding A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man convicted of Assaulting, Resisting, or Impeding a Federal Officer was sentenced on April 14, 2014, by U.S. District Judge Roberto A. Lange.
Dru Peterson, age 26, was sentenced to 8 months of custody, 2 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Peterson was indicted by a federal grand jury on November 14, 2013. He pled guilty on January 22, 2014.
The conviction stems from an incident on September 3, 2013, when officers were dispatched to Peterson’s home because of an active tribal warrant. Peterson answered the door, saw the officers, and attempted to shut the door and flee. The officers caught up with Peterson, and a physical struggle ensued between him and the officers, with Peterson actively trying to escape. At one point, Peterson put his hand in his front pocket, gripping an unknown object. He ultimately took a syringe out of his pocket. The officers directed him to drop it, but he continued to refuse and there was another physical struggle, until the officers were finally able to place him in handcuffs. As the result of the struggles, the officers received scrapes and abrasions, but none were seriously injured
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Peterson was immediately turned over to the custody of the U.S. Marshals Service.
Local Artist Pleads Guilty to ObsecenityRead the Press Release
Buffalo, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Lawrence F. Brose, 62, of Buffalo, N.Y., pleaded guilty before U.S. Judge William M. Skretny, to importation or transportation of obscene matters. The charge carries a maximum penalty of five years in prison, a fine of $250,000 or both.
Assistant U.S. Attorney Michael DiGiacomo, who is handling the case, stated that the investigation against the defendant began after a German police agency contacted United States Immigration and Customs Enforcement and advised them that an IP address in the United States downloaded some images of suspected child pornography. ICE Special Agents determined that the IP address was registered to Brose. Agents met with the defendant and during the meeting, Brose admitted to viewing images. An examination of the defendant’s computer resulted in agents finding various images, including one of a minor male less than 16 years of age engaging in sexually explicit conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The plea was the culmination of an investigation on the part of Special Agents of United States Immigration and Custom Enforcement, Homeland Security Investigations, under the direction of James C. Spero.
Sentencing is scheduled for August 13, 2014 at 10:00 a.m. before Judge Skretny .Justice Department Settles Sex Discrimination Lawsuit Against California Department of Corrections and RehabilitationRead the Press Release
The Department of Justice announced today that it has entered into a settlement agreement that, if approved by the court, will resolve allegations that the California Department of Corrections and Rehabilitation (CDCR) discriminated against an employee because of his sex in violation of Title VII of the Civil Rights Act of 1964.
The department filed its complaint against CDCR in July 2013, in the U.S. District Court for the Central District of California. The complaint alleged that Joe Cummings, a male cook with CDCR, was sexually harassed by a female co-worker and that CDCR failed to take timely steps both to end the harassment and to remedy it. Title VII prohibits discrimination in employment because of sex, which includes sexual harassment, as well as because of color, national origin, race and religion.
According to the complaint, Cummings’s co-worker made frequent unwanted sexual advances toward Cummings for more than a year. The complaint alleges that the co-worker frequently made lewd and sexually suggestive comments to Cummings that he explicitly rejected as unwelcome. The complaint further alleges that the co-worker’s inappropriate verbal communications with Cummings escalated, over time, to unwanted physical contact. According to the complaint, Cummings and other CDCR personnel complained numerous times to CDCR supervisors about the harassment, but CDCR failed to take timely remedial action to both end the harassment and to discipline the harasser. The complaint alleges that CDCR’s failure to take timely action to address sexual harassment violates both Title VII and CDCR’s own anti-harassment policy, which requires its supervisors to prevent sexual harassment and to promptly address complaints of sexual harassment.
Under the terms of the settlement agreement, CDCR must pay Cummings $50,000 in compensatory damages and restore leave that he indicated he used to try to avoid the alleged harasser. CDCR must also maintain appropriate anti-harassment and anti-retaliation policies and procedures. In addition, CDCR must provide appropriate training for its personnel on these policies and procedures.
“It is illegal to harass someone because of sex, regardless of the sex of the victim or the harasser,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “Title VII gives all employees the right to work in an environment that is free of sexual harassment, and the Civil Rights Division will continue to vigorously enforce that right.”
“Sexual harassment in the workplace is simply intolerable,” said U.S. Attorney André Birotte Jr. “Today's settlement with the California Department of Corrections and Rehabilitation helps ensure continued compliance and furthers our efforts to stamp out employment discrimination.”
This case was litigated by Senior Trial Attorneys Raheemah Abdulaleem and Trevor Blake of the Civil Rights Division’s Employment Litigation Section, with assistance from Assistant U.S. Attorney Robyn-Marie Lyon Monteleone for the Central District of California.
More information about Title VII and other federal employment laws is available at this website. The continued enforcement of Title VII is a priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division of the Department of Justice is available on its website.
Jury Convicts Christian County, Kentucky Man for Stealing Trade Secrets from His Former EmployerRead the Press Release
PADUCAH, KY– A Christian County, Kentucky man was convicted by a federal jury for stealing trade secrets announced David J. Hale, United States Attorney for the Western District of Kentucky.
Defendant Phillip Lee Groves, was convicted on April 11, 2014, following a ten-day trial, for stealing trade secret information owned by White Drive Products, Inc., located in Hopkinsville, Kentucky. Groves stole the trade secret information while employed by the manufacturing company.
The theft took place between November 30, 2007 and September 22, 2008. At trial, the United States presented evidence that proved defendant Groves, without authorization, copied and transferred onto a USB portable hard drive approximately 30,000 files on February 22d and February 27th, 2008, which Groves intended to use as part of his employment with a White Drive Competitor. On May 5, 2008, defendant Groves resigned his job with White Drive Products, Inc., and on May 12, 2008, Groves began employment with the competitor.
Defendants Gregory Lee Wampler and Eric Dale Tinderholt were acquitted of charges by the jury.
Defendant Groves faces no more than 40 years in prison, three years of supervised release and a fine of $1,000,000. He will be sentenced by Senior District Judge Thomas B. Russell on July 23, 2014 at 11:00 AM in Paducah.
This case was prosecuted by Assistant United States Attorney Marisa Ford and was investigated by the Federal Bureau of Investigation (FBI).
Judge Sends Two Men to Prison for Participating in Cocaine Trafficking ConspiracyRead the Press Release
PITTSBURGH - A Pittsburgh resident and a resident of Oakland, Calif., have been sentenced in federal court on their convictions of violating federal narcotics and money laundering laws, United States Attorney David J. Hickton announced today.
United States District Judge David S. Cercone imposed a sentence of five years imprisonment followed by five years supervised release on Earl Lamar, 40, of Pittsburgh, Pa., and a sentence of 10 years imprisonment followed by five years supervised release on Roscoe Simpson, 39, of Oakland, Calif..
The IRS-Criminal Investigations joined the DEA as major partners in the investigation of the current case with the valuable assistance of multiple other federal, state and local law enforcement agencies. The investigation revealed a major cocaine distribution conspiracy which resulted in cocaine being transported to Pittsburgh and other areas from 2000 through 2010. The evidence at trial established that the conspiracy involved more than 2000 kilograms of cocaine and millions in laundered drug money. Prior to the summer of 2007, the conspiracy utilized packages of cocaine being shipped via the US mail or various common carriers from California to recipients in Pittsburgh. Documents and evidence revealed the large number of packages of cocaine shipped to the conspirators, as well as the packages of drug money being shipped back. Multiple seizures of both money and cocaine packages occurred. For example, on June 7, 2007 Postal Inspectors intercepted six kilograms of cocaine from the mail that was earmarked for the conspiracy. On Aug. 5, 2007, Postal Inspectors also seized a package containing $99,850.00 intended for a co-defendant.
The conspiracy began using couriers to transport cocaine to Pittsburgh and money back to California. The investigation has revealed that between 2007 and 2010 at least 11 different couriers took approximately 100 flights for the conspiracy. These involved the transportation of cocaine to the Pittsburgh end of the conspiracy and the transportation of drug money back to California. Again, multiple packages of both money and cocaine were intercepted. For example, in February of 2008 a co-defendant boarded a plane in Oakland bound for Pittsburgh with cocaine in his luggage. It was later learned that his bag contained 19 kilograms of cocaine. The co-defendant was observed, along with others, looking for the bag in Pittsburgh and he also filed a claim for the bag. On Aug. 8, 2009, more than $335,000 in cash, part of approximately $700,000 that was sent on this occasion, was seized from the luggage of a conspirator.
During other times, the conspiracy arranged transportation of cocaine or money by means such as chartered private flights and vehicles including tractor trailers. Individuals Indicted thus far involve many different roles within the conspiracy. Some conspirators are suppliers, couriers or recipient drug dealer/distributors. Other conspirators played a variety of roles such as: shipping or receiving packages; arranging for couriers, flights and flight payments; money launderers; and those who circumvented security procedures at airports.
Assistant United States Attorneys Ross E. Lenhardt, Michael L. Ivory and Gregory J. Nescott prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Internal Revenue Service – Criminal Investigations, Drug Enforcement Administration, Pennsylvania Attorney General and many other federal, state and local law enforcement agencies for the investigation leading to the successful prosecution of Lamar and Simpson.
Jefferson County Woman Convicted on Methamphetamine Related ChargesRead the Press Release
Follow @SDILNewsA Jefferson County woman was convicted on April 15, 2014, on methamphetamine related charges following a two day jury trial, Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today.
Julia Ann Snow, 52, of Mt.Vernon, Illinois, was convicted on all five counts (other counts involved other persons) in a federal indictment. Count 1 charged that from on or about June 2010, until on or about September 19, 2012, in Jefferson County, Snow and others conspired to knowingly and intentionally manufacture more than 50 grams of methamphetamine. Count 4 charged that on July 5, 2012, Snow knowingly possessed equipment, chemicals, products, or materials used to manufacture methamphetamine. Counts 5, 6, and 7 charged that Snow knowingly possessed pseudoephedrine, knowing and having reasonable cause to believe that the pseudoephedrine would be used to manufacture methamphetamine, on three separate dates (December 16, 2011, August 25, 2011, and July 29, 2010).
Snow faces penalties ranging from a minimum of five years to a maximum of forty years in federal prison, up to a $5,000,000 fine, and at least 4 years supervised release to follow incarceration. Snow’s sentencing has been set for August 14, 2014, in Benton.
The investigation in this case was conducted by the Joint Narcotics Unit of the Mt. Vernon Police Department and the Jefferson County Sheriff’s Department.
The case is being prosecuted by Assistant United States Attorney George Norwood.
Jacksonville Men Charged in Tax Fraud SchemeRead the Press Release
Jacksonville, Florida – United States Attorney A. Lee Bentley, III, announces the return by a grand jury of an indictment charging Juan Miguel Ruiz and Roberto Bisono with conspiracy and theft of government property in connection with the cashing of numerous federal income tax refund checks that were issued on false and fraudulent tax returns. The conspiracy count carries a maximum penalty of 5 years in federal prison, and each of the 17 theft counts carries a maximum penalty of 10 years in prison. The indictment also notifies Ruiz and Bisono that the United States intends to seek a money judgment of approximately $711,000, the proceeds of the charged criminal conduct.
According to the indictment, between November 2011 and April 2012, Bisono obtained U.S. Treasury checks that were mailed to bogus taxpayers in New York, based on false and fraudulent tax returns. The indictment alleges that Bisono then furnished 111 such checks to Ruiz. The indictment further alleges that Ruiz, who operated a check cashing business on Beach Boulevard, deposited the checks into his business bank account in Jacksonville. Ruiz then took proceeds from the deposits by making cash withdrawals and by writing checks payable to cash. He also allegedly wrote checks to Bisono and other persons associated with Bisono.
On April 15, 2014, Bisono had an initial appearance and arraignment before U.S. Magistrate Judge Joel B. Toomey and was released on bond. On March 19, 2014, Ruiz made his initial appearance before U.S. Magistrate Judge James R. Klindt and was released on bond. A trial has been scheduled for June 2014 before United States District Judge Marcia Morales Howard.
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 Jacksonville office of the Internal Revenue Service-Criminal Investigation. It will be prosecuted by Assistant United States Attorney Dale R. Campion.
(Download Factual Basis )
International Narcotics Trafficker Sentenced in Manhattan Federal Court to 17 Years in Prison for Conspiring to Distribute One Ton of Cocaine Using A U.S.-Registered AircraftRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that RAWSON EDWARD WATSON, a citizen of the United Kingdom, was sentenced today in Manhattan federal court to 17 years in prison for conspiring to distribute approximately 1,000 kilograms of cocaine using an aircraft registered in the United States. WATSON arrived in the Southern District of New York on November 9, 2012, from the Dominican Republic, where he was apprehended on December 15, 2011. WATSON pled guilty in September 2013 before U.S. District Judge Richard J. Sullivan, who also imposed today’s sentence.
Manhattan U.S. Attorney Preet Bharara stated: “Rawson Edward Watson admitted to conspiring to use a U.S.-registered plane to distribute more than a ton of cocaine, worth over $30 million. As a result of today’s sentence, the defendant will spend 17 years in prison for his crime.”
According to the Indictment to which WATSON pled guilty, statements in open court, and other court documents:
In late 2011, WATSON traveled to the Dominican Republic and worked with others to arrange a private aircraft registered in the United States to be flown with cocaine from the Dominican Republic to Belgium. For almost two months, WATSON coordinated with various co-conspirators in the Dominican Republic and elsewhere to ensure that the cocaine was safely loaded onto the aircraft and transported out of the country without detection from law enforcement. On December 15, 2011, the day on which the flight ultimately was scheduled to depart, Watson was arrested at an airport in the Dominican Republic after he had boarded the U.S.-registered aircraft dressed as a flight attendant. The aircraft was loaded with suitcases containing approximately 1,000 kilograms of cocaine. The DEA has estimated that the quantity of cocaine on board the aircraft where WATSON was arrested has a wholesale market value of at least $30,000,000.
WATSON, 48, was sentenced to 17 years in prison with no supervised release to follow. WATSON faced a mandatory minimum sentence of 10 years in prison.
Mr. Bharara praised the investigative work of the New Jersey Division of the DEA, the Caribbean Division of the DEA, and the DEA Dominican Republic Country Office. Mr. Bharara also thanked the Government of the Dominican Republic for its assistance, and the U.S. Department of Justice, Office of International Affairs.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Shane T. Stansbury, Michael D. Lockard, and Anna M. Skotko are in charge of the prosecution.
Hedgesville Sex Offender Charged with Failure to RegisterRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Chris Zumpetta-Parr, Public Affairs Specialist
ELKINS, WEST VIRGINIA — A sex offender who moved from Arizona to West Virginia has been indicted for failing to register his status as required by federal law.United States Attorney William J. Ihlenfeld, II, announced that Fouad Irvin FAKHRA, age 28, of Hedgesville, West Virginia, was charged with “Failure to Register as a Sex Offender.” FAKHRA has a prior felony conviction for “Endangering the Welfare of a Child” in Platte County, Missouri, and is alleged to have failed to register as a sex offender after he moved to West Virginia in 2013.
This case was investigated by the United States Marshals Service and will be prosecuted by Assistant United States Attorney Stephen L. Vogrin.
An indictment is merely an accusation and the defendant is presumed innocent unless and until proven guilty.Four Kenyan Nationals Sentenced in Marriage Fraud ConspiracyRead the Press Release
HOUSTON – Four Kenyan nationals residing in Houston have been sentenced for conspiracy to commit marriage fraud, marriage fraud and visa fraud, announced United States Attorney Kenneth Magidson. Herman Ogoti, 53, Alfonso Ongaga, 36, Andrew Mokoro, 36, and Rebmann Ongaga, 33, were all convicted following a seven-day trial on Nov. 14, 2013. Ogoti and Alfonso Ongaga were also convicted of unlawful procurement of naturalization.
Today, U.S. District Judge Melinda Harmon sentenced Alfonso Ongaga and Andrew Mokoro to terms of 16 months in federal prison, while Ogoti and Rebmann Ongaga each received six-month terms. Judge Harmon also signed an order revoking the naturalization of Ogoti and Alfonso Ongaga, thereby stripping them of their fraudulently acquired U.S. citizenship.
A fifth defendant charged in the case, Andrew Mitema, 35, of Houston, pleaded guilty in advance of trial to conspiracy to commit marriage fraud and tampering with a witness. He is set for sentencing on April 23, 2014.
The defendants conspired together to recruit and pay U.S citizens to enter into fraudulent marriages for the purpose of receiving lawful permanent resident status or citizenship. Before entering the U.S., each of the defendants applied for student visas. All but Rebmann Ongaga were granted those visas and used them to enter the country. After his student visa was denied, Rebmann Ongaga, working with his other co-conspirators, flew a recruited U.S. citizen to Kenya for the sole purpose of conducting a sham wedding ceremony. After two days in Kenya, the woman returned to the United States. Several months later, Rebmann Ongaga entered the U.S. with a spouse visa.
After entering the country, the remaining defendants married recruited American citizens, most of whom were related to each other and to the citizen who traveled to Kenya. Each recruited woman was to be paid $5,000 for her participation in the sham marriages.
The scheme was uncovered Nov. 10, 2009, after two additional recruited women were detained at the U.S. Passport Office in Houston, suspected of committing passport fraud. They had told officials that they were traveling to Africa “to see the animals,” although they did not know where. Upon further questioning, they admitted they were both recruited to travel to Africa to marry the recruiters’ family members. At trial, surveillance video showed the two women entering into the passport office with a male, later identified as Mokoro.
The case was investigated by the Department of State – Diplomatic Security Service, Immigration and Customs Enforcement - Enforcement and Removal Operations and Department of Homeland Security - Fraud Detection and National Security. Assistant United States Attorneys Kebharu H. Smith and Suzanne Elmilady and Department of Justice Trial Attorney Ashlee McFarlane prosecuted the case.
Fort Thompson Man Sentenced for Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Fort Thompson, South Dakota, man convicted of Sexual Abuse of a Minor was sentenced on April 9, 2014, by U.S. District Judge Roberto A. Lange.
Jordan Traversie, age 23, was sentenced to 18 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Traversie was indicted by a federal grand jury on November 14, 2013. He pled guilty on January 14, 2014.
The conviction stems from an incident occurring between August 4, 2012, and September 30, 2012, when Traversie knowingly engaged in sexual intercourse with the victim who had not attained the age of 16 and was at least 4 years younger than Traversie.
This case was investigated by the Bureau of Indian Affairs. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Traversie was immediately turned over to the custody of the U.S. Marshals Service.
Former Vice President of the WineTasting Network Pleads Guilty to Mail Fraud and Tax EvasionRead the Press Release
SAN FRANCISCO – Martin Christopher Edwards of Napa, California, pleaded guilty yesterday to mail fraud and tax evasion, announced U.S. Attorney Melinda Haag, FBI Special Agent in Charge David J. Johnson, and Internal Revenue Service, Criminal Investigation, Special Agent in Charge José M. Martinez.
According to the plea agreement, while Edwards was the Vice President and General Manager of the WineTasting Network (“WTN”), he created Dufrane Compliance Trust, a fictitious entity that purported to provide compliance services to wineries and wine retailers. Edwards directed WTN to make payments to the Dufrane Compliance Trust totaling approximately $894,000. Edwards falsely represented to WTN employees that these payments were for tax compliance services rendered by Dufrane Compliance Trust, when, in fact, no such services were rendered. He deposited those funds into an account that he controlled and then used the money for his own personal expenses, including the purchase of a BMW, vacations, meals, and a cruise. In addition, during tax years 2010, 2011, and 2012, Edwards did not declare any of the fraudulently obtained funds on his federal income tax returns.
The maximum statutory penalty for mail fraud in violation of Title 18, United States Code, Section 1341, is a prison term of 20 years, and a fine of $250,000 or twice the gross gain or loss from the offense, plus restitution. The maximum statutory penalty for tax evasion in violation of Title 26, United States Code, Section 7201, is a prison term of 5 years, and a fine of $250,000 or twice the gross gain or loss from the offense, plus restitution.
Edwards sentencing is scheduled for Aug. 5, 2014, before the Honorable William Alsup, United States District Court Judge in San Francisco.
Kim A. Berger and Arvon Perteet are the Assistant U.S. Attorneys who are prosecuting the case with the assistance of Rawaty Yim and Bridget Kilkenney. This prosecution is the result of an investigation by the FBI, and the IRS, Criminal Investigation Division.
(Edwards information )
(Edwards indictment )
Former U.S. Army Soldier Sentenced to Nearly 30 Years in Federal Prison for Production of Child PornographyRead the Press Release
In Waco this afternoon, 41-year-old former U.S. Army sergeant Gary Allen Burgess was sentenced to 340 months in federal prison for production of child pornography announced United States Attorney Robert Pitman and Federal Bureau of Investigation Acting Special Agent in Charge Aaron C. Rouse, San Antonio Division.
In addition to the prison term, U.S. District Judge Walter S. Smith, Jr. ordered that Burgess pay a $1,000 fine and $80,000 restitution to his victim. Judge Smith also ordered that Burgess be placed under supervised release for a period of eight years after completing his prison term.
On June 6, 2013, Burgess pleaded guilty to one count of production of child pornography. According to court records, in late 2011, U.S. Army Criminal Investigation Division authorities executed a search authorization at the defendant’s residence on Fort Hood based on a report of a sexual assault of a minor. A forensic examination of various seized electronic media which belonged to the defendant revealed the presence of approximately 80 sexually explicit images involving an individual under the age of 12.
Burgess has remained in federal custody since his arrest in December 2012.
In October 2013, Burgess’ wife, Caroline, was sentenced to two years in federal prison followed by one year of supervised release and ordered to pay a $1,000 fine after pleading guilty to one count of tampering with a witness, victim or informant. According to court records, in March 2012, Caroline Burgess attempted to persuade a minor victim in this case to recant allegations of sexual abuse against Gary Burgess.
This matter was investigated by the Federal Bureau of Investigation together with the U.S. Army Criminal Investigation Division. Assistant United States Attorney Greg Gloff prosecuted this case on behalf of the Government.
Former National Fast Food Restaurant Chain Employee and Co-Defendant Plead Guilty in Identity Theft Tax Fraud SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Steve Steinberg, Chief, Aventura Police Department, announce that Tekia Jones, 37, of Hallandale, and Ivory Covington, 29, of Miami, each pled guilty to one count of access device fraud, in violation of Title 18, United States Code, Section 1029(a)(3), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). Sentencing is scheduled for June 24, 2014 before U.S. District Judge William P. Dimitrouleas.
According to court documents, Jones was an employee of a national fast food restaurant chain and had access to employees’ names, social security numbers and dates of birth, but did not have permission to possess the employees’ information outside of her employment. On March 10, 2013, during an inventory search of a car driven by Covington, but shared and controlled by Covington and Jones, 118 names, social security numbers and dates of birth were found that belonged to former and current employees of this national fast food restaurant chain, along with two GreenDot Visa prepaid debit cards.
The defendants face a maximum sentence of ten years in prison for the access device fraud charge, and a mandatory term of two years in prison, consecutive to any other term in prison, for the aggravated identity theft charge.
Mr. Ferrer commended the investigative efforts of IRS-CI and the Aventura Police Department. This case is being prosecuted by Assistant U.S. Attorney Gera R. Peoples.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Letter Carrier Pleads Guilty to Illegally Destroying MailRead the Press Release
BUFFALO, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that Daniel Brautlacht, 20, of Cheektowaga, N.Y., pleaded guilty before Chief U.S. District Court Judge William M. Skretny, to delay or destruction of mail. The charge carries a maximum penalty of five years in prison, a fine of $250,000 or both.
Assistant U.S. Attorney, Russell T. Ippolito, Jr., who is handling the case, stated that the defendant started working for the United States Postal Service (“USPS”) as a city carrier assistant on March 9, 2013. In this position, Brautlacht was responsible for delivering letters, postal cards, packages, bags or mail on behalf of the USPS.
On March 21, 2013, while delivering mail on Davey Street in the City of Buffalo, the defendant unlawfully secreted and destroyed 31 pieces of mail, including nine pieces of First Class mail. A neighbor on Brautlacht’s route observed the defendant discard the mail into a garbage receptacle. According to admissions made by Brautlacht, the mail had become jumbled and disorganized. Rather than re-ordering the mail, the defendant discarded it. Brautlacht committed these acts less than two weeks after starting work at the USPS.
The plea is the culmination of an investigation on the part of the U.S. Postal Service Office of Inspector General, Eastern Area Field Office, under the direction of Special Agent in Charge Monica Weyler.
Sentencing is scheduled for July 30, 2014 at 9:00 a.m. before Judge Skretny.
Former Lackawanna County Attorney Sentenced to Prison for Federal Income Tax FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that former Lackawanna County Attorney Danielle Ross Pietralczyk, age 37, of Jermyn, Pennsylvania was sentenced today to one year imprisonment for federal income tax fraud by Senior U.S. District Judge A. Richard Caputo in federal court in Wilkes-Barre.
According to United States Attorney Peter Smith, Ross failed to report any amounts of income she received from private paying clients while acting as the sole guardian ad litem for the Lackawanna County Family Court on her personal federal income tax returns for calendar year 2008, 2009 and 2010.
Ross pled guilty to filing a false return for 2009 in December 2013. Her husband, Walter Pietralczyk, pled guilty to a tax misdemeanor charge in connection with the joint personal tax return of the couple in December 2013. No sentencing date has been set.
As the sole guardian ad litem for the Lackawanna County Family Court, Ross was paid an annual compensation of $38,000. Pursuant to a contract between Ross and Lackawanna County, Ross was permitted to bill private paying parties above her County compensation at a rate of $50 per hour. The only income Ross reported for 2009 and 2010 was her County compensation reported on 1099 Forms which she received as an independent contractor hired by Lackawanna County. The government alleged that Ross managed and exercised complete control over her private billings and income. That income was known only to Ross and not Lackawanna County, nor was Lackawanna County required to approve Ross’s private billings.
The guardian ad litem serves as the representative of the interest of children in family court. Ross was dismissed as Lackawanna County guardian ad litem in February 2013 after her indictment on the federal tax charges. Her license to practice law was suspended in December 2013.
The prosecution was the result of a joint investigation by the United States Internal Revenue Service (IRS), Criminal Investigations, the Federal Bureau of Investigation (FBI), and the Lackawanna County District Attorney’s Office. Prosecution was handled by Assistant United States Attorney Michelle Olshefski.
In addition to the one year prison sentence, Ross was sentenced to one year of supervised release and ordered to pay restitution in the amount of $63,124 plus interest and penalties. Ross is scheduled to report to the custody of the Bureau of Prisons on May 12, 2014.
Former Construction Company Officer Sentenced to 5 Years in Prison for Fraud ConspiracyRead the Press Release
Jackson, Miss - H. Claiborne Frazier, of Jackson, was sentenced to serve 60 months in federal prison and pay a $10,000 fine for his role in a conspiracy with his brother, Austin W. Frazier, and his father, C.E. Frazier, Jr., to commit bank fraud, mail fraud, and wire fraud, announced U.S. Attorney Gregory K. Davis and FBI Special Agent in Charge Daniel McMullen. Frazier pled guilty to the charges on September 16, 2013. Austin and C.E. Frazier, Jr., were each sentenced on March 10, 2014. Austin W. Frazier was sentenced to 51 months in federal prison to be followed by 3 years of supervised release. C.E. Frazier, Jr., was sentenced to 31 months in federal prison to be followed by 3 years of supervised release. All defendants will be ordered to pay restitution in amounts to be determined by the Court at a future date.
From January 2003 through at least June 2008, the Fraziers conspired to commit bank fraud, mail fraud and wire fraud through Frazier Construction Company, Inc., Frazier Development Company, LLC, Van Buren LLC, and Olde Colony, LLC. The Fraziers defrauded BancorpSouth Bank in connection with a $5.4 M construction loan and M&F Bank in connection with a $2.8M construction loan. They also defrauded their bonding company, Travelers Casualty and Surety Company of America, to get funding to pay Frazier Construction subcontractors and to obtain funding to continue the daily business operations of Frazier Construction to complete its outstanding construction projects.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Carla J. Clark is prosecuting the case for the government.
If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Our nation-wide commitment to reducing gun crime in America.
Former City Clerk in Havana, KSSentenced for EmbezzlementRead the Press Release
WICHITA, KAN. A former city clerk for the city of Havana, Kan., was sentenced Wednesday to two years supervised release, U.S. Attorney Barry Grissom said. She also was ordered to pay a total of more than $59,000 in restitution to the city of Havana, Cross Point Baptist Church and an insurance company
Diana L. Cox, 67, Havana, Kan., pleaded guilty to one count of bank fraud and one count of wire fraud. In her plea, she admitted embezzling $14,658 from the city of Havana while she was working as city clerk. On Aug. 18, 2011, she presented documents to the Arvest Bank in Caney, Kan., falsely stating that the Havana City Council had voted to change its policy to require only one signature on checks written for city business.
She also admitted that while she was treasurer of the Cross Point Baptist Church she devised a scheme to defraud the church of approximately $44,568. On Dec. 30, 2011, she caused the church to electronically transfer approximately $2,536 to Vanderbilt Mortgage and Finance to make a mortgage payment due on her daughter’s home.
Grissom commended the FBI and Assistant U.S. Attorney Mona Furst for their work on the case.
Former CFO of Rothstein, Rosenfeldt and Adler, P.A. Charged with Conspiracy to Launder Money and to Defraud A Financial InstitutionRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigations (IRS-CI), announce the filing of charges against Irene Shannon, formerly known as Irene Stay, 50, of Miami, for conspiring to commit crimes through the operation of the former Fort Lauderdale law firm of Rothstein, Rosenfeldt and Adler, P.A. (RRA). The defendant was the Chief Financial Officer of RRA. In 2009, it was discovered that RRA was being utilized by its Chairman and Chief Executive Officer, Scott W. Rothstein, to commit a massive Ponzi scheme stemming from the sale of fictitious confidential settlements.
The information, which was filed earlier today, charges Shannon with conspiracy to commit money laundering and to defraud a financial institution, in violation of 18 U.S.C. ' 371. If convicted, the defendant faces a maximum statutory sentence of up to five years in prison.
According to the information, Shannon oversaw the accounting functions of RRA, including the deposits and withdrawals made by RRA and Rothstein at TD Bank and other financial institutions. In furtherance of the Ponzi scheme, Shannon transferred hundreds of millions of dollars obtained from investors to pay prior investors in the scheme and to supplement and support the operation and activities of RRA, among other purposes. The information further charges that the defendant was well aware that hundreds of millions of dollars were not being held in trust accounts for investors, contrary to what those investors had been told, and that the funds were instead being disbursed to further Rothstein’s fraudulent scheme. The information also charges that the defendant utilized her position to float checks between and among certain bank accounts maintained by RRA in a form of bank fraud commonly known as “check kiting.”
U.S. Attorney Wifredo A. Ferrer stated, “Once again, the information filed today reaffirms that Rothstein’s massive fraud could not have been the work of one person. As alleged in the information, Irene Shannon played an important role in carrying out Rothstein’s fraud and concealing it from the investors. Indeed, as Chief Financial Officer of RRA, Shannon knew hundreds of millions of dollars of investor funds were not being held in trust accounts and that the funds were being disbursed to further Rothstein’s fraudulent scheme. Shannon is now the eighteenth accomplice to be held accountable in Rothstein’s $1.2 billion Ponzi scheme.”
“Scott Rothstein was the mastermind of a massive Ponzi scheme, but he needed a trusted agent who knew how to shuffle money to keep the scheme running,” said George L. Piro, Special Agent in Charge, FBI Miami. “Irene Shannon, Rothstein, Rosenfelt and Adler’s Chief Financial Officer, transferred millions of dollars and floated innumerable checks in an effort to make it all look legitimate. It wasn’t and now she will be held accountable.”
IRS Special Agent in Charge José A. Gonzalez stated, “As Chief Financial Officer of Rothstein, Rosenfeldt and Adler, P.A., Shannon was in a position to conspire and actively participate with Scott Rothstein in his massive money laundering scheme. By following the money trail, IRS Special agents were able to determine that Shannon assisted Scott Rothstein by conducting numerous fraudulent financial transactions designed to deceive investors by creating a facade of wealth. Today’s message serves as a reminder that those who engage in the deception and financial exploitation of honest investors will be held accountable for their actions.”
Mr. Ferrer commended the investigative efforts of the FBI and IRS-CI. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.
An information is only an accusation and a defendant is presumed innocent unless and until proven guilty.
Attachment:
Irene Shannon - Information (PDF)
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Business Manager Sentenced for Embezzling $170,000 from Brookside Physician OfficeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the former business manager for a Brookside physician’s office was sentenced in federal court today for a fraud scheme in which she embezzled $170,000 from her employer.
Eileen Kisner, also known as “Anne,” 57, of Kansas City, was sentenced by U.S. District Judge Howard F. Sachs to two years in federal prison without parole. The court also ordered Kisner to pay $170,232 in restitution.
On Nov. 20, 2013, Kisner pleaded guilty to mail fraud. Kisner was the business manager at Brookside Family Medicine from 2002 to 2010. During that time, she used her employer’s credit cards for her personal use and benefit when she was not authorized to do so. Kisner stole approximately $170,232 from Brookside over eight years. Kisner created fraudulent entries in the business ledger to provide to the company’s accountant to avoid detection of her embezzlement.
As a result her crimes, Dr. Darren Killen had to declare bankruptcy and sell his business. Shortly after she was fired from her position at Brookside, Kisner left the United States and went to Europe for almost three years (during which time she worked as a nanny in the Netherlands for six months then went to work for LED in the Netherlands). She was arrested as she deplaned in Philadelphia, Penn., on Feb. 15, 2013, having been detected by the Transportation and Safety Administration (TSA) in a records comparison check between Europe and the United States while her plane was in flight.
According to court documents, Kisner charged items at Southwest Airlines, Northwest Airlines, Tan World, Halls, Nordstroms, Ann Taylor, Price Chopper, TJ Maxx, Costco, Talbot’s and Pottery Barn. In addition, she charged items at Home Depot, Target, Woodland Shutters (over $4,000), Z Gallerie, Wal-Mart and Polo/Ralph Lauren. The balances on the credit cards were paid by funds from the company’s bank account. Kisner also paid for personal expenses by mailing checks to American Family Insurance (car insurance), GMAC (Hummer car payments) and Visa from Brookside’s bank account for her own personal use and benefit.
Kisner applied for at least two credit cards for Brookside, according to court documents, which she had issued in her husband’s name. Those credit cards were used to pay her husband’s personal expenses. Kisner also paid for her home gas bill several times with Brookside money. Kisner did so by having her personal address listed with Brookside’s name above the address. Kisner would then attach her personal gas bill to Brookside’s gas bill and pay both bills with one of Brookside’s checks.
Kisner pleaded guilty to a mail fraud count that charges her with mailing a $224 check from the company’s account to pay for her personal car insurance on a family car, a Sierra. Kisner was not authorized to pay funds from Brookside’s bank account for the car insurance.
This case was prosecuted by Assistant U.S. Attorney Jane Pansing Brown. It was investigated by the FBI.Five Convicted in Massive Stash House CaseRead the Press Release
HOUSTON – Five men arrested last month in connection with the discovery of more than 100 illegal aliens in an area stash house have entered guilty pleas, announced United States Attorney Kenneth Magidson.
Jose Aviles-Villa, 34, Jonathan Solorzano-Tavila, 28, Antonio Barruquet-Hildeberta, 40, Jose Cesmas-Borja, 22, and Eugenio Sesmas-Borja, 20, were arrested March 19, 2014. On that date, 115 illegal aliens were discovered in a stash house on Almeda School Road in Houston. A two-count criminal information was filed April 8, 2014, charging the five men, all from from Michoacan, Mexico, with conspiracy to harbor and transport ilegal aliens and use of a firearm during and in relation to a crime of violence.
Today, all five defendants pleaded guilty to both counts as charged.
The convicted smugglers admitted they obtained substantial profits as a result of the conspiracy. They had established networks who brought the aliens into the U.S. illegally across the Southwest border. The illegal aliens were then held in stash houses while the smugglers arranged payment of remaining smuggling fees from their families.
While in the stash house, the conspirators seized the victim aliens’ clothes, shoes, phones and other possessions. The conspirators used guns, paddles, tasers and other equipment to control and prevent the illegal aliens from escaping from the stash house. They guarded the aliens with guns displayed in plain view and threatened to kill them by shooting them in the back of the head if they tried to escape.
In one specific instance, the conspirators contacted the mother of one of the stashed aliens and told her to pay an additional $13,000 for the victim and her two children. She was advised that if she did not pay, they would “make her family disappear and make her family pay.”
Sentencing has been set for July 30, 2014. At that time, they each face up to 10 years in federal prison and a $250,000 fine for the conspiracy conviction as well as a mandatory minimum of five years for using a firearm which must be served consecutively to any other prison term imposed.
They will all remain in custody pending that hearing.
The case was investigated by Homeland Security Investigations with the assistance of the Houston Police Department. Assistant United States Attorney (AUSA) Julie Searle and Special AUSA Rick Bennett are prosecuting.
Final Defendant Sentenced in Foreclosure Rescue/Drug Distribution SchemeRead the Press Release
Department of Justice
Office of Public AffairsSHERMAN, Texas – A 43-year-old McKinney, Texas man has been sentenced to federal prison in connection with a combination foreclosure rescue and drug distribution scheme in the Eastern District of Texas, announced U.S. Attorney John M. Bales.
Julius Williams pleaded guilty on Aug. 21, 2013 to conspiracy to commit mail and wire fraud and was sentenced to 46 months in federal prison today by U.S. District Judge Marcia Crone. Williams was also ordered to pay $1,432,208.00 million in restitution.According to information presented in court, from February 2007 to June 2012, Jarrod Williams, Julius Williams, and Charles Williams, controlled and operated Applied Investment Strategies, Inc. (AIS), which marketed itself as a foreclosure rescue service offering assistance to homeowners at risk of foreclosure. However, once a homeowner detained AIS, the defendants fraudulently used the customer’s personal identification information to prepare and send false military orders to banks and lending institutions in order to claim relief from foreclosure under the Servicemember’s Civil Relief Act. AIS would then lease out the home and collect rental payments for AIS’ benefit. The scheme involved approximately 38 homes throughout North Texas and also extended to interfering in the repossession of automobiles. After at least one of the fraudulently-acquired properties was vacated, Charles Williams, Christopher Carter and Sean Harrell turned it into a marijuana grow operation that housed approximately 1,300 marijuana plants that were intended for distribution. A federal grand jury returned an indictment on July 11, 2012, charging the defendants with federal violations.
Jarrod Williams, 34, of McKinney, Charles Williams, 39, of McKinney, Christopher Carter, 34, of Leicester, England, and Sean Harrell, 38, of Dallas are each currently serving prison sentences ranging from 41 to 57 months.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Shamoil T. Shipchandler.
####Father and Son Plead Guilty to Federal Charges in Investigation Involving D.C. Taxicab Industry-Admit Acting Illegally in Attempts to Generate Business-Read the Press Release
WASHINGTON – Anthony C. Y. Cheng, Sr., and his son, Anthony R. Cheng, Jr., pled guilty today to federal charges stemming from an undercover investigation into a scheme to illegally generate business through the District of Columbia taxicab industry, announced U.S. Attorney Ronald C. Machen Jr. and Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office.
Anthony Cheng, Sr., 65, and his son, 40, both of Alexandria, Va., pled guilty in the U.S. District Court for the District of Columbia. Anthony Cheng, Sr. pled guilty to a misdemeanor charge of making an offer of unauthorized compensation to a public official. Anthony Cheng, Jr. pled guilty to a felony charge of payment of a gratuity to a public official.
The Honorable Ellen S. Huvelle scheduled sentencing for July 17, 2014. Anthony Cheng, Sr. faces a statutory maximum of a year in prison and financial penalties. Anthony Cheng, Jr. faces a statutory maximum of two years of incarceration and financial penalties. Under federal sentencing guidelines, the Chengs face up to six months in jail and fines of up to $5,000.
According to plea documents filed today, Anthony Cheng, Sr. is the owner of businesses, including Tony Cheng’s Mongolian Restaurant, in the Chinatown area of Washington, D.C. His son owned a bus company that provided interstate transportation to the public.
The charges involve the Chengs’ dealings in 2010 and 2011 with a person described in the court documents as “Public Official Number One,” who at the time chaired the District of Columbia Taxicab Commission. Unbeknownst to the Chengs, “Public Official Number One” was working in cooperation with the FBI on an investigation.
“With today’s guilty pleas, a financially successful father and son confessed to their efforts to pay off public officials to advance their business interests,” said U.S. Attorney Machen. “The Chengs should be commended for owning up to their crimes before trial, but their admissions are a sobering reminder that we must continue to aggressively fight the pay-to-play culture that, if left unchecked, can determine who has the ability to engage in business opportunities with the government. We hope that these convictions serve as a warning to other business owners who are tempted to make illicit payments to public officials in order to get ahead.”
“The integrity of our government is threatened when individuals engage in pay-to-play schemes with public officials,” said Assistant Director Parlave. “The FBI is committed to investigating corrupt backroom deals that work to influence government officials and restoring an even marketplace for honest business owners who do business in our city.”
The D.C. Taxicab Commission, an agency within the District of Columbia government, has authority for intrastate regulation of the taxicab industry. Among its many responsibilities, the taxicab commission handles the licensing of owners, operators, companies, associations and fleets. The agency also employs inspectors who are deployed to prevent illegal taxicab operations within the District of Columbia. If inspectors identify taxicabs that are operating unlawfully, they can have the vehicles towed and impounded.
According to today’s court filings, Anthony Cheng, Sr. decided in or about the fall of 2010 to start a towing company in the District of Columbia. In order to do so, he was required to have a license for a locked storage facility, a towing license, and insurance. On or about Dec. 18, 2010, Anthony Cheng, Sr. met with “Public Official Number One” at Cheng’s restaurant. At that time, he offered ”Public Official Number One” compensation of 10 percent of the profits of his towing company in return for assistance in completing the paperwork associated with establishing the business and assisting the company in securing towing assignments from the taxicab commission. In a follow-up meeting on Jan. 12, 2011, also at the restaurant, Anthony Cheng, Sr. again requested the assistance of “Public Official Number One,” including the securing of at least 100 towing assignments per month from the taxicab commission.
Also in 2011, according to the court documents, both of the Chengs met with “Public Official Number One” regarding licenses for multi-vehicle taxicab companies. At the time, a legislatively mandated moratorium was in place prohibiting the issuance of any new business licenses to operate new taxicab companies, taxicab associations and limousine businesses.
The Chengs and “Public Official Number One” discussed a plan to circumvent the moratorium by using falsified backdated corporate documents representing that their taxicab companies had been in existence since 2009. “Public Official Number One” advised Anthony Cheng, Jr. of the need to make a “contribution” of not more than $1,500 for his help with the backdated paperwork. On or about Jan. 31, 2011, “Public Official Number One” provided Anthony Cheng, Jr. with backdated operating authority licenses to make it appear as if the companies existed before the moratorium was in place. During that meeting, based on prior discussions with and at the direction of his son, Anthony Cheng, Sr. reimbursed “Public Official Number One” with $1,500 in cash on his son’s behalf.
In addition, according to the court documents, Anthony Cheng, Jr. met in 2011 with a person he believed was an official with the District of Columbia Department of Consumer and Regulatory Affairs. This person actually was an undercover FBI Special Agent. On or about March 31, 2011, Anthony Cheng, Jr. met with the undercover agent and provided him with $250 in cash in return for backdated certificates of occupancy for two multi-vehicle taxicab companies.
The Chengs obtained two licenses for multi-cab companies – named Green Top Cab and ECO CAB Company - but never opened the businesses.
In announcing the pleas, U.S. Attorney Machen and Assistant Director in Charge Parlave commended the efforts of those who investigated the case from the FBI’s Washington Field Office. They expressed appreciation for the assistance provided by the Washington Field Office of the Internal Revenue Service-Criminal Investigation. They also acknowledged the work of those who handled the case for the U.S. Attorney’s Office, including Paralegal Specialists Krishawn Graham and Tasha Harris; former Paralegal Specialist Diane Hayes; and Assistant U.S. Attorneys Lionel André and Loyaan A. Egal, who are prosecuting the matter.
14-086Eleven Individuals Arraigned in Operation "Battle of Honey Springs"Read the Press Release
“The following named individuals have been charged with a federal crime or crimes by the return of an indictment by the Grand Jury. A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt. United States Sentencing Guidelines may be considered, upon conviction, by the sentencing court. Federal prison sentences are non-parolable”
Muskogee, Oklahoma - The United States Attorney’s Office for the Eastern District of Oklahoma, announced that the following individuals were arraigned on April 15, and 16, 2014, on charges of Conspiracy To Possess With Intent To Distribute And Distribute Five Hundred (500) Grams Or More Of Methamphetamine, in violation of Title 21, United States Code, Sections 846, 841(a)(1) and 841(b)(1)(A).
MICHAEL A. METZKER, a/k/a "Lurch", age 36, of Checotah, Oklahoma
MICHAEL W. METZKER, a/k/a "Chic", age 58, of Checotah, Oklahoma
LACEY RENEE PARK, age 29, of Checotah, Oklahoma
DEREK PARK, age 31, of Checotah, Oklahoma
MARGARET CASEY, age 45, of Checotah, Oklahoma
SHAWNA VANZANT, age 33, of Henryetta, Oklahoma
JACKIE DALE BRUMLEY, age 44, of Noble, Oklahoma
CORNELL TYLEIZ HARVEY, age 29, of Oklahoma City, Oklahoma
SCOTT WESLEY DUNCAN, age 38, of Oklahoma City, Oklahoma
SUNNY ANN MARTINEK, age 38, of Norman, Oklahoma
STEVEN D. CARR, age 43, formerly of Checotah, Oklahoma
The Criminal Complaint filed on April 14, 2014, alleges that beginning in or about April 2013, up to and including April 14, 2014, in the Eastern District of Oklahoma and elsewhere, the defendants, did willfully and knowingly combine, conspire, confederate and agree together, and with other persons known and unknown, to Possess with Intent to Distribute and Distribute 500 grams or more of Methamphetamine.
Michael A. Metzker, a member of the Universal Aryan Brotherhood (UAB), was incarcerated in the Oklahoma Department of Corrections from December 24, 2009, until January 8, 2014. Beginning in or before April 2013, up to an including January 8, 2014, Michael A. Metzker utilized cellular telephones, illegally smuggled into the prison, to coordinate the acquisition and distribution of methamphetamine in Eastern Oklahoma. Upon release from incarceration up to and including April 14, 2014, Michael A. Metzker and his coconspirators continued to acquire and distribute methamphetamine within Eastern Oklahoma.
The charges arose from a joint investigation by the Drug Enforcement Administration, Bureau of Indian Affairs, McAlester Police Department, the Muskogee Police Department, the Checotah Police Department, the Eufaula Police Department, the Stigler Police Department, Districts 18, 23, and 25 District Attorney’s Drug Task Force, the Oklahoma Highway Patrol, the Okmulgee County Sheriff’s Office, the McIntosh County Sheriff’s Office, the Pittsburg County Sheriff’s Office, the Oklahoma Department of Corrections, United States Department of Homeland Security, and the United States Marshal Service. The investigation was coordinated by the Organized Crime Drug Enforcement Task Force (OCDETF) of the Eastern District of Oklahoma. OCDETF is an initiative led, and coordinated by, the Office of the United States Attorney.
The Honorable Steven P. Shreder, Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, presided over the hearings. All defendants were remanded into the custody of the United States Marshal Service.
The statutory range of punishment for a violation of Title 21, United States Code, Sections 846, 841(a)(1) and 841(b)(1)(A), is not less than 10 years and not more than life imprisonment and/or up to $10,000,000.00 in fines.
Assistant United States Attorney Shannon Henson represented the United States.
East Texas Men Sentenced for Methamphetamine TraffickingRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas – Two East Texas men have been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Chadwick Marvin Thompson, 36, of McKinney, pleaded guilty on Nov. 21, 2013, to conspiracy to distribute 50 grams or more of methamphetamine and was sentenced to 240 months in federal prison today by U.S. District Judge Leonard E. Davis. As part of his plea, Thompson has agreed to the forfeiture of $8,700 cash along with six firearms and ammunition.
Brandon Lee Lagrone, 36, of Carthage, Texas, pleaded guilty on Dec. 9, 2013, to using a communication facility to facilitate the commission of a felony and was sentenced to 36 months in federal prison today by U.S. District Judge Leonard E. Davis.
According to information presented in court, on multiple occasions in 2012 and 2013, Thompson sold methamphetamine and firearms to others. On July 20, 2013, Lagrone used a telephone to facilitate the commission of the felony offense of possession with intent to distribute methamphetamine. Thompson, Lagrone and two others were indicted by a federal grand jury on Mar. 27, 2013, and charged with drug trafficking violations.
####
This case was investigated by the Texas Department of Public Safety and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorney Mary Ann Cozby.Devan Kelly Sentenced to 7 Years in Prison for Distribution of Methamphetamine in LewistownRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on March 31, 2014, before U.S. District Judge Brian M. Morris, DEVAN CLINTON KELLY, 27, of Brusett, Montana, was sentenced to a term of 84 months' imprisonment, five years of supervised release, and a special assessment of $100.
Kelly was sentenced in connection with his December 19, 2013, guilty plea to distribution of methamphetamine. In an Offer of Proof filed by Assistant U.S. Attorney Jessica Betley, the government stated it would have proved that beginning in January 2013, undercover agents began to buy methamphetamine from Devan Kelly. These sales progressed, and in April, agents inquired into whether Kelly would sell them a pound of methamphetamine. Kelly agreed to sell a pound of methamphetamine for $23,000.00. Kelly and the agents then agreed the sale would take place in Lewistown, Montana, on April 29, 2013. The sale took place, and Kelly gave undercover agents the pound of methamphetamine. This methamphetamine was tested and the laboratory concluded it was 99.5% pure and contained 439.0 grams of actual methamphetamine.
This investigation was conducted by the FBI Violent Crimes Task Force.
Des Plaines Man Sentenced to 50 Years in Prison for Sexually Exploiting 11 Children and Producing Child PornographyRead the Press Release
CHICAGO ― A former Des Plaines man was sentenced to 50 years in federal prison for sexually molesting nine children and producing child pornography with seven of those victims, as well as creating pornographic images of two other victims whom he sexually exploited. The defendant, BOBBY CRUZ, 34, pleaded guilty last September to one count of interstate travel to engage in sex with a minor and two counts of producing child pornography, resolving separate federal cases that were brought in both the Northern and Central Districts of Illinois. He has remained in federal custody since he was arrested in November 2011.
In an emotional sentencing hearing yesterday afternoon, two victims and a parent of six other victims told U.S. District Judge Robert M. Dow, Jr., about the traumatic damage that Cruz inflicted upon their lives.
“The harm to the victims is incalculable,” Judge Dow said in imposing the maximum sentence under the terms of Cruz’s plea agreement. The “victims are the most vulnerable in society” and Cruz’s crimes were “brazen beyond belief,” the judge added.
Cruz sexually exploited boys and girls, who were between the ages of 2 and 11 when the abuse began, to produce child pornography. None of the victims were random and all were children that Cruz had access to being around. Cruz was ordered to remain under court supervision for life, and he must serve at least 85 percent of his sentence. There is no parole in the federal prison system.
“The defendant has imposed a life sentence on each one of these victims,” Assistant U.S. Attorney Jennie Levin argued in seeking the 50-year sentence.
“No amount of prison time seems sufficient for the unspeakable trauma Cruz inflicted on his innocent victims,” said Gary J. Hartwig, Special Agent-in-Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Chicago. The sentence was announced by Mr. Hartwig and Zachary T. Fardon, United States Attorney for the Northern District of Illinois,
The investigation of Cruz began just before he was arrested when Cruz traded images of child pornography with an undercover law enforcement officer. Ultimately, agents seized 300 videos and images of homemade child pornography from Cruz’s residence, along with 1,130 additional videos and images that he possessed.
The investigation was part of Operation Predator, a nationwide HSI initiative to protect children from sexual predators, including those who travel abroad for sex with minors, Internet child pornographers, criminal alien sex offenders, and child sex traffickers. The Des Plaines Police Department and the Cook County State’s Attorney’s Office assisted in the investigation.
Connecticut Man Charged with Running Online Fake Diploma SchemeRead the Press Release
PHILADELPHIA – James Enowitch, 48, of Cromwell, CT, was charged today by information with mail fraud and aiding and abetting mail fraud, in connection with the operation of a number of fraudulent diploma mills, announced United States Attorney Zane David Memeger. As a result, between 2003 and 2012, Enowitch allegedly sold $5 million worth of fake degrees throughout the world.
According to the information, as early as 2003, Enowitch began operating a diploma mill, through which he and another co-schemer advertised and sold diplomas for a fee, but required no course work for those diplomas. It is charged that Enowitch and his co-schemer eventually operated at least seven different websites, through which they sold fraudulent degrees, including ReddingUniversity.net, GlendaleUniversity.com, SuffieldUniversity.com,SuffieldUniversity.org, GreenwoodUniversity.org, BrysonUniversity-Edu.org and WorryFreeDegree.com. It is further alleged that each of the seven websites was linked to an entity of the same name, owned by Enowitch and his co-schemer, and that those entities were diploma mills in that they had no faculty members, offered no academic curricula or services, required no course or class work, and were not recognized by the United States Department of Education. It is further alleged that Enowitch and his co-schemer went so far as to create a fraudulent accrediting body, called the “National Distance Learning Accreditation Council” (“NDLAC”), in order to claim that their diploma mills were accredited.
According to the information, Enowitch and others created phony transcripts that represented that the purchaser had taken certain coursework that the purchaser had never taken; allowed purchasers to create their own transcripts and backdate degrees; and provided fraudulent verification services to back up the fake degrees, in case an employer or other party sought verification. Enowitch and his co-schemer allegedly advertised degree packages ranging from $475 to $550 for associates, bachelors, masters, and doctoral-level degrees, with a “multi-degree discount” for buying more than one. For an additional fee, purchasers could also allegedly select grades for the phony courses included in their transcripts.
If convicted, the defendant faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $250,000 fine, a $100 special assessment, and an order of forfeiture.
The case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services Office of the Inspector General, the Defense Criminal Investigative Service, and U.S. Immigrations and Customs Enforcement Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Matthew J.D. Hogan.
Click here to view the indictment
An Information 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, 215-861-8525Cell Phone Store Robber Sentenced to 116 YearsRead the Press Release
A 29-year-old Detroit man was sentenced today in federal court to 116 years in prison for his role in six cellular telephone store robberies, U.S. Attorney Barbara L. McQuade announced.
Joining McQuade in the announcement was Paul M. Abbate, Special Agent in Charge, Federal Bureau of Investigation, Detroit Field Office.
U.S. District Judge Sean F. Cox imposed sentence on Timothy Ivory Carpenter, who was convicted after a two-week jury trial in December. The jury found Carpenter guilty of committing six robberies of cellular telephone stores, and of using a gun during five of the robberies. The evidence at trial established that Carpenter and his brother, Timothy Sanders, conspired with others to rob cellular telephone stores in Detroit, Highland Park, Eastpointe, and Warren, Ohio between December 13, 2010, and December 1, 2012.
“Armed robberies at neighborhood stores make citizens fearful to carry out their daily business in our community,” McQuade said. “This lengthy sentence sends a powerful message that using guns to commit crimes will not be tolerated.”
“Aggressively pursuing violent offenders, particularly those associated with organized criminal groups, is among the highest priorities of the FBI,” stated Paul M. Abbate, Special Agent in Charge of the FBI Detroit Field Office. “Today’s sentence, along with others seen recently, sends a strong message to violent perpetrators whose actions wreak havoc upon our community—the FBI, our local, state and federal partners, and the U.S. Attorney’s Office will work tirelessly to combat violent crime and bring justice to bear on these offenders.”
The case was investigated by the Federal Bureau of Investigation. The case was prosecuted by Assistant United States Attorney Kenneth ChadwellCanal Fulton Man Sentenced to 15 Years in PrisonRead the Press Release
A Canal Fulton man sentenced to 15 years in prison after previously been found guilty of two counts of inducing a minor to engage in sexually explicit conduct and two drug charges, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
William P. Lacey, 55, on two occasions in February 2013, did persuade, induce, entice and coerce a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction of the conduct, according to the indictment.
He also possessed four kilograms of the substance a-PVP and one kilogram of the substance 4-MEC, according to court documents.
The case was prosecuted by Assistant United States Attorney Linda Barr following an investigation by the Federal Bureau of Investigation’s Safe Streets Task for and the Summit County Sheriff’s Office.
Cambria County Resident Pleads Guilty to Federal Drug ChargeRead the Press Release
JOHNSTOWN, Pa. - A resident of Northern Cambria, Pa., pleaded guilty in federal court to a charge of conspiracy to distribute heroin, United States Attorney David J. Hickton announced today.
Casey Lex, 29, pleaded guilty to one count before United States District Judge Kim R. Gibson.
In connection with the guilty plea, the court was advised that from April 2012 to March 8, 2013, Lex conspired with others to possess and distribute 100 grams or more of heroin.
Judge Gibson scheduled sentencing for Aug. 21, 2014, at 10 a.m. The law provides for a total sentence of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force conducted the investigation that led to the prosecution of Lex.
Bridgestone Corp. Executive Agrees to Plead Guilty for Fixing <br /> Prices and Rigging Bids on Auto Parts Installed in U.S. CarsRead the Press Release
A former Bridgestone Corp. executive has agreed to plead guilty and to serve 18 months in a U.S. prison for his role in an international conspiracy to fix prices and rig bids of automotive anti-vibration rubber parts sold in the United States and elsewhere, the Department of Justice announced today.
According to the one-count felony charge filed today in the U.S. District Court for the Northern District of Ohio in Toledo, Yusuke Shimasaki, along with co-conspirators, engaged in a conspiracy to allocate sales of, to rig bids for, and to fix, raise and maintain the prices of automotive anti-vibration rubber parts sold to Toyota Motor Corp., Nissan Motor Co. Ltd., Fuji Heavy Industries Ltd. – more commonly known by its brand name, Subaru – and certain of their subsidiaries, affiliates and suppliers, in the United States and elsewhere.
According to the charge, Shimasaki participated in the anti-vibration rubber conspiracy from at least as early as January 2001 until at least December 2008. During that time period, he was employed by Bridgestone as a sales manager, an executive vice president at Bridgestone APM Co., in Findlay, Ohio, and as a general sales manager. According to the plea agreement, in addition to serving time in prison, Shimasaki has also agreed to pay a $20,000 criminal fine and to cooperate in the department’s investigation. The plea agreement is subject to court approval.
“The charge today once again demonstrates the Antitrust Division’s vigorous commitment to hold individuals accountable for engaging in anticompetitive conduct,” said Brent Snyder, Deputy Assistant Attorney General for the Antitrust Division’s criminal enforcement program. “The division’s ongoing investigation has resulted in more than two dozen executives serving prison time for their participation in illegal conspiracies involving auto parts.”
Bridgestone manufactures and sells a variety of automotive parts, including anti-vibration rubber parts, which are comprised primarily of rubber and metal, and are installed in suspension systems and engine mounts as well as other parts of an automobile. They are installed in automobiles for the purpose of reducing road and engine vibration. On Feb. 13, 2014, the Department of Justice announced that Bridgestone had agreed to plead guilty and to pay a $425 million criminal fine for its role in the conspiracy. On April 15, 2014, Yasuo Ryuto, Isao Yoshida, two former executives of Bridgestone Corp., and Yoshiyuki Tanaka, a current executive, were indicted their roles in a conspiracy to fix prices of automotive anti-vibration rubber parts.
To date, 33 individuals have been charged in the government’s ongoing investigation into price fixing and bid rigging in the auto parts industry. Additionally, 26 companies have pleaded guilty or agreed to plead guilty and have agreed to pay a total of more than $2.29 billion in fines.
Shimasaki is charged with price fixing and bid rigging in violation of the Sherman Act, which carries a maximum penalty of 10 years in prison and a $1 million criminal fine for individuals. The maximum fine for an individual may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
Today’s charge is the result of an ongoing federal antitrust investigation into price fixing, bid rigging and other anticompetitive conduct in the automotive parts industry, which is being conducted by each of the Antitrust Division’s criminal enforcement sections and the FBI. Today’s charge was brought by the Antitrust Division’s Chicago Office and the FBI’s Cleveland Field Office, with the assistance of the FBI headquarters’ International Corruption Unit and the U.S. Attorney’s Office for the Northern District of Ohio. Anyone with information on price fixing, bid rigging and other anticompetitive conduct related to other products in the automotive parts industry should contact the Antitrust Division’s Citizen Complaint Center at (888) 647–3258, visit www.justice.gov/atr/contact/newcase.html or call the FBI’s Cleveland Field Office at (216) 522-1400.Boise Man Pleads Guilty to Drug ChargeRead the Press Release
BOISE – Victor Luetta Guzman, 60, of Boise, Idaho, pleaded guilty yesterday in United States District Court to distribution of methamphetamine, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, Guzman admitted that he sold methamphetamine to an undercover police officer on eight separate occasions. Guzman admitted that during the eight transactions he sold the officer a total of over 50 grams of methamphetamine.
The charge is punishable by a minimum of five years and up to 40 years in prison, a maximum fine of $5 million, and at least four years of supervised release.
Guzman is set for sentencing on June 25, 2014, before U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Boise Police Department. The Organized Crime and Drug Enforcement Task Force (OCDETF) also contributed to the investigation. Federal partners include the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service.
The case is being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Bluefield Woman Sentenced to More Than A Year in Prison for Distributing Addictive Prescription DrugsRead the Press Release
CHARLESTON, W.Va. – United States Attorney Booth Goodwin announced that Rachelle Bryant, 24, of Bluefield, West Viriginia, was sentenced in federal court in Charleston today to fifteen months in prison for distributing hydromorphone, dangerous and addictive prescription drugs. Bryant previously pled guilty in December of 2013, admitting that in May of 2013, she distributed two hydromorphone pills to an individual cooperating with law enforcement. The drug deal took place in Bluefield. The sentence imposed today was based on approximately 200 hydromorphone pills sold by Bryant.
Bryant was sentenced by Senior United States District Judge David A. Faber. The case was investigated by the Southern Regional Drug and Violent Crime Task Force and the prosecution was handled by Assistant United States Attorney John File.
This case was prosecuted under the Bluefield Pill Initiative, and was part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs and heroin. The U. S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers and heroin in communities across the Southern District.
Austin Businessman Pleads Guilty to Possession of Child PornographyRead the Press Release
In Austin, 67-year-old President and Chief Executive Officer of Image Trends, Inc. Daniel J. Sullivan faces up to ten years in federal prison after pleading guilty earlier today to one count of possession of child pornography announced United States Attorney Robert Pitman and Homeland Security Investigations (HSI) Special Agent in Charge Janice Ayala.
In March 2012, HSI agents executed a search warrant at the defendant’s residence and business. A subsequent forensics examination of seized computer related items revealed the presence of approximately 600 images and 90 videos depicting child pornography.
Sullivan remains on bond pending sentencing. No sentencing date has been scheduled.
Assistant United States Attorney Matt Devlin is prosecuting this case on behalf of the Government.Astellas Pharma US, Inc. to Pay $7.3 Million to Resolve False Claims Act AllegationsRead the Press Release
PHILADELPHIA – Pharmaceutical company Astellas Pharma US, Inc., will pay $7.3 million to resolve allegations that it violated the False Claims Act in connection with its marketing and promoting of the drug Mycamine for pediatric use. The settlement was announced today by United States Attorney Zane David Memeger and the Justice Department. Astellas Pharma US, Inc., located in Northbrook, Illinois, manufactures and sells pharmaceutical drugs, including Mycamine.
The settlement resolves allegations that, between 2005 and 2010, Astellas knowingly marketed and promoted the sale of Mycamine for pediatric use, which was not a medically accepted indication and, therefore, not covered by federal health care programs. During this time period, the FDA approved Mycamine to treat adult patients suffering from serious and invasive infections caused by the fungus Candida, including infections in the esophagus, the blood and the abdomen, and to prevent Candida infections in adults undergoing stem cell transplants. From 2005 until June 2013, however, Mycamine was not approved to treat pediatric patients for any use.
“The settlement in this case further demonstrates our commitment to hold responsible any pharmaceutical company that disregards the FDA drug approval process and promotes drugs for uses before they have been deemed safe and effective,” said U.S. Attorney for the Eastern District of Pennsylvania Zane David Memeger. “It’s a message that should resonate with all drug companies: there are consequences for violating the False Claims Act and putting profit ahead of government safeguards.”“The FDA’s drug approval process requires companies to demonstrate the safety and efficacy of their products,” said Assistant Attorney General for the Justice Department’s Civil Division Stuart F. Delery. “The Justice Department will hold accountable pharmaceutical companies that skirt these rules and seek to bill federal health care programs for uses of drugs that are not reimbursable.”
As a result of today’s $7.3 million settlement, the federal government will receive $4.2 million, and state Medicaid programs will receive $3.1 million.
“Pharmaceutical companies that ignore rules designed to protect patients – in this case, children – will be held accountable,” said Nick DiGiulio, Special Agent in Charge for the United States Department of Health and Human Services in Philadelphia. “We will continue to work with the Department of Justice to root out all forms of waste, fraud and abuse in our federal health care programs.”
The allegations resolved by the settlement arose from a lawsuit filed by Frank Smith, a former Astellas sales representative, under the False Claims Act’s whistleblower provisions, which permit private parties to sue for false claims on behalf of the government and to share in any recovery. Smith will receive $708,852.
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Secretary of Health and Human Services Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $19.1 billion through False Claims Act cases, with more than $13.6 billion of that amount recovered in cases involving fraud against federal health care programs.
For the Eastern District of Pennsylvania, the settlement in this case was handled by Assistant United States Attorney Susan Becker.
This case was a cooperative effort among the U.S. Attorney’s Office for the Eastern District of Pennsylvania, the Civil Division of the Department of Justice and the Offices of the Inspectors General of the Department of Health and Human Services and Office of Personnel Management. The lawsuit is captioned United States ex rel. Smith v. Astellas Pharma US, Inc. et al., No. 10-999 (E.D. Pa.).
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Astellas Pharma US Inc. to Pay $7.3 Million to Resolve False<br /> Claims Act Allegations Relating to Marketing of Drug MycamineRead the Press Release
Pharmaceutical company Astellas Pharma US Inc. will pay $7.3 million to resolve allegations that it violated the False Claims Act in connection with its marketing and promotion of the drug Mycamine for pediatric use, the Justice Department announced today. Astellas Pharma US Inc., located in Northbrook, Ill., manufactures and sells pharmaceutical drugs, including Mycamine.
“The FDA’s drug approval process requires companies to demonstrate the safety and efficacy of their products,” said Assistant Attorney General for the Justice Department’s Civil Division Stuart F. Delery. “The Justice Department will hold accountable pharmaceutical companies that skirt these rules and seek to bill federal health care programs for uses of drugs that are not reimbursable.”
The settlement resolves allegations that, between 2005 and 2010, Astellas knowingly marketed and promoted the sale of Mycamine for pediatric use, which was not a medically accepted indication and, therefore, not covered by federal health care programs. During this time period, the FDA approved Mycamine to treat adult patients suffering from serious and invasive infections caused by the fungus Candida, including infections in the esophagus, the blood and the abdomen, and to prevent Candida infections in adults undergoing stem cell transplants. From 2005 through June 2013, however, Mycamine was not approved to treat pediatric patients for any use.
As a result of today’s $7.3 million settlement, the federal government will receive $4.2 million, and state Medicaid programs will receive $3.1 million.
“The settlement in this case further demonstrates our commitment to hold responsible any pharmaceutical company that disregards the FDA drug approval process and promotes drugs for uses before they have been deemed safe and effective,” said U.S. Attorney for the Eastern District of Pennsylvania Zane David Memeger. “It’s a message that should resonate with all drug companies: there are consequences for violating the False Claims Act and putting profit ahead of government safeguards.”
The allegations resolved by the settlement arose from a lawsuit filed by Frank Smith, a former Astellas sales representative, under the False Claims Act’s whistleblower provisions, which permit private parties to sue for false claims on behalf of the government and to share in any recovery. Smith will receive $708,852.
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Secretary of Health and Human Services Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $19.1 billion through False Claims Act cases, with more than $13.6 billion of that amount recovered in cases involving fraud against federal health care programs.
This case was a cooperative effort among the U.S. Attorney’s Office for the Eastern District of Pennsylvania, the Civil Division of the Department of Justice and the Offices of the Inspectors General of the Department of Health and Human Services and Office of Personnel Management. The lawsuit is captioned United States ex rel. Smith v. Astellas Pharma, US Inc. et al., No. 10-999 (E.D. Pa.).
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Abilene Man Sentenced to 188 Months in Federal Prison for Producing Child PornographyRead the Press Release
LUBBOCK, Texas — Tyrell Daniels, 20, of Abilene, Texas, was sentenced today by U.S. District Judge Sam R. Cummings, to 188 months in federal prison, following his guilty plea in December 2013 to one count of producing child pornography, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Daniels has been in custody since his arrest in November 2013 on a related federal criminal complaint. A federal grand jury indicted him later that month on one count of enticement of a child and one count of production of child pornography. In accordance with the plea agreement, the enticement charge was dismissed.
According to plea papers filed, after meeting a 12-year-old female child, “Jane Doe,” online, in September 2013, Daniels communicated with her for several days using his cell phone. During that time, Daniels often discussed his desire to engage in sexual intercourse with Jane Doe, even though she had informed him that she was only 12-years-old.
On September 12, 2013, Daniels used Internet messaging to ask Jane Doe to send a topless photo of herself to him. She complied, and Daniels told her that he would not post her pictures on the Internet if she would send him a more sexually explicit photo of her genitals. While Jane Doe sent Daniels a sexually explicit photo, he told her that it was not explicit enough. Jane Doe did not send him any additional photos.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The investigation was conducted by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Santa Anna Police Department and the Abilene Police Department. Assistant U.S. Attorney Steven M. Sucsy prosecuted.
15 April 2014
“Duffle Bag Bandit” Sentenced to 60 Months in Federal PrisonRead the Press Release
BOISE B Gerald Edward Massey, 57, of Shreveport, Louisiana, was sentenced today to 60 months in prison for bank robbery, U.S. Attorney Wendy J. Olson announced. Chief Judge B. Lynn Winmill also sentenced Massey to serve three years of supervised release following his release from prison. Massey pleaded guilty on January 7, 2014.
In the plea agreement, Massey admitted that on March 6, 2013, he walked into the U.S. Bank, located at 10700 Ustick Road and intimidated the bank manager by telling her that he was robbing the bank. Massey stole $64,500 on that occasion. Massey also agreed to pay restitution totaling $83,448, for the U.S. Bank robbery and three additional bank robberies in Boise that he committed. Massey robbed a Chase Bank on December 21, 2012; a Washington Trust Bank on January 4, 2013; and a Wells Fargo Bank on January 22, 2013. Massey never possessed or represented that he had a firearm or any other weapon during any of the bank robberies.
The case was investigated by the Boise Police Department and the Federal Bureau of Investigation.
Zia Pueblo Man Sentenced for Federal Arson ConvictionRead the Press Release
ALBUQUERQUE – Lawrence Shije, 35, a member and resident of Zia Pueblo, was sentenced this morning to a year and a day in federal prison for his arson conviction. Shije will be on supervised release for three years after completing his prison sentence.
Shije was indicted on Oct. 30, 2013, and charged with setting fire to and burning a dwelling located on Zia Pueblo on June 30, 2012. On Jan. 13, 2014, Shije entered a guilty plea to the indictment and admitted maliciously setting fire to and burning a small area of a residence located on Zia Pueblo. In his plea agreement, Shije acknowledged that the owner of the residence is the mother of his two children, and that she and the children were in the residence when he started the fire. The fire burned a small area of the residence’s external wall (a patch of about 12 inches by 12 inches in size) before it was extinguished.
This case was investigated by the Southern Pueblos Agency of the BIA’s Office of Justice Services and was prosecuted by Special Assistant U.S. Attorney David Adams.
The case was prosecuted pursuant to the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project in the District of New Mexico which is sponsored by the Justice Department’s Office on Violence Against Women under a grant administered by the Pueblo of Laguna. The Tribal SAUSA Pilot Project seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.