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25 March 2014
Vero Beach Resident Charged in Armed RobberyRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Hugo J. Barrera, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, and Deryl Loar, Indian River County Sheriff, announce the arrest of Glenn Thomas Carvajal, 34, of Vero Beach. Carvajal made his initial appearance in federal court yesterday before U.S. Magistrate Judge Frank J. Lynch Jr. in Ft. Pierce. After a detention hearing, Carvajal was detained, pending trial, as a risk of flight and danger to the community.
More specifically, the complaint charges the defendant with interfering with commerce by threats or violence (robbery), in violation of Title 18, United States Code, Section 1951(a), and possessing and brandishing a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c)(1)(A). If convicted of interfering with commerce by threats or violence (robbery), the defendant faces a possible statutory maximum sentence of up to 20 years in prison. If convicted of possessing and brandishing a firearm in furtherance of a crime of violence, the defendant faces a consecutive seven year term in prison.
According to the allegations in the criminal complaint, on October 10, 2013, Carvajal entered the Game Stop store located in Vero Beach. Carvajal handed the employee a hand written note, which read “I have a gun, please empty the register as soon as possible” and showed the employee a black semi-automatic handgun. Carvajal took hundreds of dollars’ worth of inventory and property from the employee. Before Carvajal exited the store, he warned the employee that he had someone monitoring the phones, to wait 15 minutes before calling the police and threatened that if the employee failed to comply, he knew who he was, where he lived, and would kill or hurt him or one of his family members. Investigators have confirmed that Carvajal was previously employed by Game Stop as a manager.
Mr. Ferrer commended the investigative efforts of ATF and the Indian River County Sheriff’s Office. The case was prosecuted by Assistant U.S. Attorney Carmen Lineberger.
A complaint is only an accusation, and a defendant is presumed innocent unless and until proven guilty.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
U.S. and Canada Antitrust Agencies Issue Best Practices for Coordinating Merger ReviewsRead the Press Release
The Department of Justice, the Federal Trade Commission (FTC), and the Competition Bureau Canada today issued a set of “best practices” to make more transparent how they coordinate merger reviews that affect the United States and Canada.Assistant Attorney General for the Department of Justice’s Antitrust Division Bill Baer, FTC Chairwoman Edith Ramirez and Canadian Commissioner of Competition John Pecman praised the long record of successful cooperation between the two jurisdictions, and noted that cross-border coordination and cooperation in merger matters have steadily increased over the last decades.
The best practices set forth how effective day-to-day cooperation works between the two U.S. agencies and the Competition Bureau, including how the agencies communicate with each other, benefit from the similarity of their respective merger review timetables, cooperate in the analysis of evidence, use waivers of confidentiality provided by the parties and address remedies and settlements. The best practices also seek to promote cooperation and coordination between the U.S. and Canadian agencies in order to enhance the likelihood of consistent outcomes when the same merger is reviewed in both countries. In addition, the best practices acknowledge the contribution that merging parties can make in facilitating cooperation, and provide guidance to firms about how to work with the agencies to coordinate and facilitate the reviews of their proposed transactions.
“The strong relationship between the U.S. and Canadian competition agencies has allowed us to cooperate closely and effectively on many merger investigations,” said Assistant Attorney General Baer. “The best practices we are issuing today are a testimony to our agencies’ long-standing and productive working relationship and the importance all of our agencies place on transparency.”
“We have developed a very close working relationship with our Canadian colleagues based on our shared approach to the implementation of our competition laws and policies,” said FTC Chairwoman Ramirez. “These best practices exemplify our commitment to cooperation and convergence, benefiting our agencies, merging parties, and ultimately consumers.”
The best practices, which do not modify existing law, build upon the framework of the 1995 antitrust cooperation agreement between the United States and Canada and the experience gained under that framework.Related Materials:
U.S. and Canada Antitrust Agencies Best Practices
Two Carbondale Residents Charged with Methamphetamine ConspiracyRead the Press Release
Follow @SDILNewsOn February 4, 2014, Heather L. Richey, 38, and Leeann M. Simmerman, 20, both of Carbondale, were charged by indictment with conspiracy to manufacture methamphetamine, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
The offense occurred between 2010 and January 2014, in Jackson, Williamson, Union, and Franklin Counties. The two co-defendants made their initial appearances in federal court on March 25, 2014. They are currently being held without bond pending a March 28, 2014, detention hearing.
The methamphetamine offense carries a penalty of up to 20 years in federal prison, to be followed by 3 years of supervised release, and a fine of $1,000,000.
Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The ongoing investigation is being conducted by the Jackson County Sheriff’s Office, Murphysboro Police Department, Carbondale Police Department, Illinois State Police/Southern Illinois Drug Task Force, and Drug Enforcement Administration.
The case is assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Three New London Men Charged with Federal Offenses Stemming from 2012 HomicideRead the Press Release
Follow @USAO_CT
Deirdre M. Daly, United States Attorney for the District of Connecticut, New London Police Chief Margaret Ackley and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in New Havenreturned an indictment yesterday charging three New London men with various offenses stemming from the September 2012 homicide of Javier Reyes, 36, of New London.
As alleged in the indictment, OSCAR VALENTIN, also known as “Tato,” 40, operated and managed a narcotics distribution enterprise at the “Green Garages,” a series of garage bays located as 12/14 Walker Street in New London. In the summer of 2011, VALENTIN was the intended victim of a murder-for-hire plot orchestrated by former members of his enterprise in an attempt to take over narcotics distribution at the Green Garages. In September 2012, VALENTIN hired NESTOR PAGAN, also known as “Ernie” and “Naeem Medina,” 31, ANDREW AVILES, also known as “P.A.” and “Papo,” 26, and others, to assault Javier Reyes in an attempt to maintain his position as head of the Green Garages conspiracy. On the evening of September 12, 2012, Reyes was stabbed multiple times outside of his apartment at 187 Huntington Street in New London, and died a short time later.
“This indictment alleges that Oscar Valentin orchestrated the brutal attack of Javier Reyes as part of his criminal drug dealing enterprise, while Nestor Pagan, Andrew Aviles and others executed Valentine’s order,” stated U.S. Attorney Daly. “The investigation and prosecution of violent offenders is a top priority of the U.S. Attorney’s Office and our law enforcement partners. I commend our partners, the New London State’s Attorney’s Office, the New London Police Department, the FBI, the State Police, the Department of Correction, HSI and Secret Service, for their thorough investigation that has led to these serious charges.”
“The New London Police Department is thankful to the FBI and U.S. Attorney’s office for their close working relationship on this case, and the combined effort of the Connecticut State Police Major Crime Squad, Homeland Security and Secret Service for their efforts leading to this indictment,” stated New London Police Chief Ackley. “New London Detective Curcuro has been quietly working on this case with the FBI and U.S. Attorney’s office since September 2012 and we look forward to a continued working relationship.”
“Narcotics trafficking and the inescapable violent crimes associated with it plague our cities,” stated FBI Special Agent in Charge Ferrick. “Holding those accountable for crimes which impact quality of life for city residents is important to the FBI and to all our law enforcement partners. We stand shoulder-to-shoulder with the New London Police Department in working to bring some sense of relief to the victim’s family and the residents of New London. I’d like to thank the Connecticut State Police’s Eastern District Major Crime Squad, the Connecticut Department of Correction, Homeland Security Investigations and the U.S. Secret Service, and the hard-working officers and agents assigned to this investigation, for they remain resolute in their pursuit of justice.”
The four-count indictment charges VALENTIN, PAGAN and AVILES with one count of conspiracy to commit a violent crime in aid of racketeering, specifically an assault that resulted in serious bodily injury, and one count of committing a violent crime in aid of racketeering. The three defendants are also charged with using a facility in interstate commerce, namely a cellular telephone, with the intent to commit a crime of violence.
The indictment also charges VALENTIN and PAGAN with one count of conspiracy to distribute and to possess with intent to distribute cocaine.
If convicted of the charges, each defendant faces a maximum term of imprisonment of life.
VALENTIN has been in federal custody since his arrest on narcotics charges on April 3, 2013. PAGAN has been in federal custody since his arrest on unrelated firearms charges on December 13, 2012. AVILES is in state custody on unrelated charges.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the New London Police Department and the Federal Bureau of Investigation, with the assistance of the Connecticut State Police’s Eastern District Major Crime Squad, the Connecticut Department of Correction, Homeland Security Investigations, the U.S. Secret Service and the New London State’s Attorney’s Office. The case is being prosecuted by Assistant U.S. Attorneys Anthony Kaplan and Sarah Karwan, and Senior Assistant State’s Attorney Paul Narducci.
A principle of the Justice Department’s Smart on Crime initiative is the prioritization of prosecutions to focus on the most serious cases. To learn more about the Smart on Crime initiative, click here: http://www.justice.gov/ag/smart-on-crime.pdf.
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(203) 821-3722 [email protected]Tax Preparer Pleads Guilty to Filing False ReturnsRead the Press Release
Claimed False Deductions, Business Losses and First Time Homebuyer Credits on Federal Tax Returns
Baltimore, Maryland - Judianne Horn, age 43, of Owings Mills, Maryland pleaded guilty today to aiding in the preparation of false tax returns.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
According to her plea agreement, from 2007 to at least 2010, Horn was a tax return preparer who prepared approximately 3,000 tax returns for clients. Horn was self-employed and operated a tax preparation business out of her home in 2007 and again in 2010. In 2008 to 2009, Horn was employed at two other tax preparation businesses located in Owings Mills and Randallstown, Maryland. In all these years, Horn filed federal tax returns which she knew included false deductions and/or false business losses, thus generating a larger tax refund than the client was otherwise lawfully entitled. The total tax loss generated by these false tax returns is $281,764.Additionally, Horn also filed numerous false tax returns which claimed that the client was entitled to the first time home buyer credit. The credit was designed for persons who purchased a new home after April 8, 2008, and before May 1, 2010 and who did not own a home in the prior three years. A qualified taxpayer could receive a credit of up to $8,000. On at least five tax returns involving a false home buyers credit, Horn claimed that the taxpayer qualified for this credit, when in fact the taxpayer had not purchased a home at all. Horn directed the full $8,000 credit to a bank account she controlled.
Horn has agreed to pay restitution to the IRS of up to $281,764.
Horn faces a maximum sentence of three years in prison followed by a year of supervised release and a fine of $250,000. U.S. District Judge Marvin J. Garbis scheduled sentencing for July 14, 2014 at 10:00 a.m.
United States Attorney Rod J. Rosenstein praised the IRS Criminal Investigation for their work in the investigation and thanked Assistant U.S. Attorneys David I. Sharfstein and Gregory R. Bockin, who are prosecuting the case.Suspended Sacramento Attorney Sentenced to 46 Months for Tax CrimesRead the Press Release
SACRAMENTO, Calif. — Donald M. Wanland, 56, resident of El Dorado Hills, was sentenced today by United States District Judge Lawrence K. Karlton to 46 months in prison for convictions on 28 criminal counts, including tax evasion, failing to file tax returns, and removing, depositing, and concealing assets from the IRS in defiance of a levy, United States Attorney Benjamin B. Wagner announced.
Wanland is a Sacramento-area attorney who was convicted of the 28 tax-related counts on September 26, 2013, after a two week jury trial. During sentencing today, Judge Karlton noted that lawyers have a “special duty” and stated, “it is particularly distressing when a lawyer just disregards the law.” On February 19, 2014, the California State Bar placed Wanland on interim suspension as a result of his convictions, and he is currently not eligible to practice law.
Wanland stated to the Court at sentencing today that his conduct was driven by “greed, selfishness, and contempt.” According to evidence introduced at trial, Wanland evaded paying taxes for years. For tax years 2000 through 2003, he filed tax returns showing gross income of more than $1.5 million, for which he admitted owing taxes of $448,451. But he paid nothing. When the IRS tried to collect, Wanland concealed the bank accounts that he used to receive and spend his income, and then filed no tax returns at all for years 2004 through 2007. He continued working for his law firm and received more than $1 million total during those years. When the IRS placed levies on his income in April 2005, Wanland repeatedly defied the levies by continuing to funnel his income to the concealed nominee accounts. He spent the money on various items including a $2,700 weekend at Squaw Valley Ski Resort, payments on a Mercedes Benz and a Cadillac Escalade, gambling at Las Vegas casinos, vacations to Mexico and Hawaii, limousine services, and expenses for the pool at his home in El Dorado Hills. He also withdrew hundreds of thousands of dollars in cash and wrote hundreds of thousands of dollars in checks out of the concealed accounts.
“One of the obligations of American citizenship is to pay federal income taxes, and most people recognize that obligation” said U.S. Attorney Wagner. “It is particularly offensive when someone who has profited from the bounty of this society, like Don Wanland, shirks that duty. The fact that he will be contemplating his crimes from prison should send a message to others that no one is too busy, too clever, or too wealthy to comply with the tax code.”
“This is not a case of someone who simply fell behind in a good faith effort to keep up with their taxes,” said José M. Martínez, Special Agent in Charge, IRS Criminal Investigation. “Mr. Wanland is a lawyer who refused to obey the law and used his legal knowledge to cheat the federal and state governments out of more than $2.2 million. Those who intentionally undermine our tax system should know they will not go undetected and will be held accountable.”
According to court documents, Wanland tried to challenge the amount of tax loss connected to his by claiming his tax debts had been later discharged in a bankruptcy. The Court rejected this argument, noting that federal bankruptcy law automatically precluded Wanland’s tax debts from being discharged in bankruptcy because he engaged in willful tax evasion.
This case was the product of an investigation by the Internal Revenue Service, Criminal Investigation. Assistant United States Attorney Matthew D. Segal and Christopher S. Hales prosecuted the case.
Wanland has been in custody since the date of his conviction on September 26, 2013. Following sentencing, he was remanded into the custody of the United States Marshal to serve the remainder of his sentence.St. Thomas Man Arrested and Detained for CarjackingRead the Press Release
St. Thomas, USVI – United States Attorney Ronald W. Sharpe stated today that Troy J. Normil, 18, of St. Thomas, has been arrested and charged in a federal criminal complaint with Carjacking. Normil was arrested on March 20 and has been in custody pending a preliminary and detention hearing, which was held today before Magistrate Judge Ruth Miller. At the conclusion of today’s hearing, Magistrate Judge Miller found Normil was a flight risk and a danger to the community and ordered him detained pending trial. A trial date has not yet been scheduled.
According to the affidavit accompanying the criminal complaint, on November 23, 2013, Troy J. Normil and another individual blocked the roadway with a SUV as the victim traveled on the roadway. When the victim stopped because the roadway was blocked, Normil demanded money. When the victim stated he had none, Normil and his accomplice then stole the victim’s s cellular telephone and his Honda Elite Scooter at gunpoint. If convicted of the carjacking offense as alleged in the criminal complaint, Normil faces up to 15 years in federal prison.
United States Attorney Sharpe reminds the public that a criminal complaint is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Nelson L. Jones.
St. Croix Man Indicted on Carjacking and Related ChargesRead the Press Release
St. Croix, USVI – United States Attorney Ronald W. Sharpe stated today that a federal grand jury in St. Croix has returned a seven-count indictment charging Abdallah Abdallah, 23, of St. Croix, with Carjacking, Using a Firearm During Crime of Violence, Robbery First Degree, Unauthorized Possession of Firearm During Violent Crime, Possession of Stolen Property, Unauthorized Possession of Ammunition and Felon in Possession of Ammunition. The indictment was returned on March 19, 2014.
According to the Indictment, on December 24, 2013, Abdallah and another individual carjacked a red Ford Focus at gunpoint from the victim. If convicted of the carjacking offense as alleged in Count One of the Indictment, Abdallah faces up to 15 years in federal prison. In addition, if Abdallah is convicted of using a firearm in connection with the carjacking offense, as alleged in Count Two of the indictment, he faces a mandatory term of imprisonment of 7 years in federal prison, which by law must be served consecutively to any sentence he receives for the carjacking offense.
Abdallah appeared today before U.S. Magistrate Judge George W. Cannon for a detention hearing and was ordered detained pending trial. A trial date has not yet been scheduled. United States Attorney Sharpe reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty.
The case is being investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Rhonda Williams-Henry and Alphonso Andrews.
Schenectady Woman Sentenced to 41 Months Imprisonment for Sending the Irs More Than $3.6 Million in Bogus PaymentsRead the Press Release
ALBANY, NEW YORK – PATRICIA ALFIERI, 53, of Schenectady, New York, was sentenced by Chief United States District Judge Gary L. Sharpe to 41 months imprisonment for mail fraud and filing a false return, announced United States Attorney Richard S. Hartunian and Internal Revenue Service Criminal Investigation Division Acting Special Agent in Charge Shantelle P. Kitchen. ALFIERI was also ordered to pay restitution to the Internal Revenue Service in the amount of $47,484.
As part of her December 4, 2013, guilty plea, AFLFIERI admitted that she mailed 65 bogus checks totaling more than $3.6 million to the IRS while she was a New York State Department of Taxation and Finance employee. ALFIERI’S actions caused the IRS to issue her more than $87,000 in bogus “overpayment refunds”. ALFIERI also admitted that she filed a false income tax return, over-reporting her federal income tax withholding and fabricating home mortgage interest and real estate tax payments.
The case was investigated by Special Agents of the Internal Revenue Service, Criminal Investigation Division, and was prosecuted by Assistant United States Attorney Jeffrey C. Coffman.
Remarks as Prepared for U.S. Attorney Paul J. Fishman at 2014 Anti-Violence SummitRead the Press Release
RUTGERS, LIVINGSTON CAMPUS, PISCATAWAY, N.J.
Good morning. Thank you, Andrew [Carey], for that introduction. During the three and a half years we worked together in the US Attorney’s Office, I got to see first-hand your dedication to the fight against violent crime and am delighted to have you as a partner. I want to thank John [Farmer], whom I have known now for more than 20 years. He has had a remarkable career in public service and I am proud to call him a close friend. And thank you to Rutgers – and by that, I mean all of you who work so hard here – for hosting this very important gathering.
Exactly three months ago, on Christmas Day, Zainee Hailey – a 13-year-old girl, an honor student, a cheerleader, a member of her church’s youth choir – took out the garbage and never came back. She was an innocent bystander, shot and killed by a bullet meant for a boy who was only a year or two older than she was.
One Saturday night, in early August, Barry Church was sitting on his front stoop with his son, enjoying a warm summer night. A stray bullet struck him in the side of his chest and killed him. That same night, Carmen Wright was crossing a street in Trenton when she was struck by a car that was out of control because the driver had been shot in the neck and his foot was stuck on the accelerator.
Ten days before Christmas, Dustin Friedland was gunned down in front of his new wife during a carjacking in the parking garage of the Short Hills Mall.
And on a September afternoon, three men in Camden, armed with an AK-47, sprayed 14 rounds across a park toward a housing project and hit a school bus filled with 35 preschoolers.
These stories resonate because they are the tales of the innocent – a young, teenage girl; a newly married husband Christmas shopping; a group of preschoolers on a bus. And even to a public that is used to hearing reports of violence almost every night on the news, hardened because those acts are so frequent, these stories shock us – the acts are so senseless, the consequences so stunning, that they stop us in our tracks. We are here for them.
But, as awful as those crimes are, everyone here knows they are the tip of the iceberg. There were 37 homicides last year in Trenton – a record for that city. There were 111 in Newark – the highest number in a quarter of a century – not to mention the almost 400 carjackings in and around that city, which is a level that exists nowhere else in the country. While some cities like Elizabeth, Atlantic City, and Camden did better than in 2012, Camden’s homicides still numbered 57 – a ridiculously high count for a city of that size. We don’t always – or maybe even often – hear about all of those victims. We are here for them too.
And all across the state – in communities like Asbury Park, Jersey City, Bridgeton and Plainfield – honest, hardworking mothers and fathers – and kids – live every day with an unacceptable level of violence. We are here for them.
Over the last four years, we have brought some very successful cases in federal court, and we will continue to focus relentlessly on the most violent offenders who are causing the most harm and wreaking the most havoc. The Dirty Block case in Atlantic City, the MS-13 case in Plainfield, the Southside Cartel case in Newark are just three examples of major ongoing prosecutions of gangs responsible for serious violence and the drug dealing that fuels it. We have worked with every county prosecutor in this room and with the local police in their jurisdictions to identify the most dangerous criminals in those communities and to try to take them off the streets. We have collaborated with every level of law enforcement – including, of course, Attorney General Hoffman and his office – to meet this challenge, using innovative methods and new ideas to complement old-fashioned police work. I have seen extraordinary things from what we call C-4, our unprecedented fusion center in Camden; from the various VEST (that’s Violent Enterprise Source Target) efforts around the state; and from the other inventive policing strategies you will hear more about today. And I want to thank all of the members of federal, state, county and local law enforcement who have made time to be here today; I am proud of you and their colleagues for your dedication and hard work.
But as talented as they and their colleagues are, and as successful as they’ve been, we all understand that law enforcement, acting alone, is not the answer. As my friend (and my boss), Attorney General Eric Holder, is fond of saying, we will never arrest our way out of this problem. Every great cop or agent, and every experienced prosecutor, knows that we just can’t do our jobs – we can’t win this fight – without the help, support and partnership of the community members we serve. While it is true that the violence is fueled by gangs, drugs and guns, we all recognize that towns with inadequate housing, communities with too few jobs, schools that are underperforming and dangerous and parks that are littered with needles and shell casings are not going to nurture a culture that is safe and secure. We know that there are thousands of law abiding, good people in those communities, aching for streets that they can walk in, schools that are safe and playgrounds where their children can actually play. But to help them reclaim the neighborhoods that they deserve – to give the children of those neighborhoods hope – we need to work with them, and they need to work with us.
This isn’t a new idea – not in New Jersey, and not to federal law enforcement officials. Back in my last tour in the U.S. Attorney’s Office, in the early 1990s, Trenton was the pilot project for a program called Weed and Seed. Funded by the Department of Justice, we developed a real partnership among my office, the State Attorney General, and the City of Trenton. We combined intensive community policing and stepped up drug enforcement in areas around three schools, which stayed open late into the evening so they could function like real community centers. Those neighborhoods were also the focus of extra housing rehabilitation and enhanced cultural activities. We called those schools “Safe Havens” – and we wanted to turn them into exactly that for the people in that community.
While that program is over, the concept – that those of us in law enforcement must seek out those in local government, non-profits, health and religious institutions, schools and treatment centers – the idea that we will achieve more together – that is what today is all about.
Today’s program is designed to emphasize that strategy and some of its pieces. First, we’re going to talk about enforcement strategies around the state – what’s working and what’s not. And I suspect what you’ll hear is that we have been most successful when we share intelligence, work hand-in-hand, and figure out together where each agency can most effectively deploy its resources in combination with everyone else. The goal is to be smart, and nimble, and efficient – making sure that violent and career offenders will continue to receive tough penalties.
There needs to be an emphasis on real community policing. From my days working on Weed and Seed, I know how vital it is for people in a neighborhood to have a real relationship with the cop on the beat. I know my good friend Scott Thompson, the Chief of the Camden County Police Department, will have a few things to say about that.
And we need to constantly think about crime prevention in a comprehensive way. An after school program for at-risk kids is crime prevention. Midnight basketball is crime prevention; and so is drug treatment; and the new inspiring federal reentry court we’re running in Newark. The various ceasefire programs that are being implemented in various forms in Newark, Trenton and Camden are exactly what we should be talking about.
But it’s broader than that too. The Choice Neighborhood grants that HUD gives out to places like Jersey City and Camden are a form of prevention – creating safe, affordable housing, while encouraging stable and responsible residents. And the grants from the Department of Education for Promise Neighborhoods in the Fairmount section of Newark and Cooper Lanning in Camden are targeted at kids in distressed communities who need better opportunities and a guiding hand. And that’s crime prevention.
But let me tell you something you already know: this is hard work. It is hard for law enforcement officers to work long hours investigating homicides and gang activity and to arrest the people responsible, only to have a new group take over and continue the violence.
It is hard for community groups to attract investment into their neighborhoods and clean up parks so their children can have a safe place to play, only to have drug dealers take over those parks and investors leave because a neighborhood is too dangerous.
It is hard, in a time of real fiscal challenge, to find the money to do what we need and accomplish what we want. Layoffs, tight budgets, reduced endowments – all make it that much more difficult to put boots on the ground and shovels in the ground.
And it is hard to break out of our silos, to try to figure out how other organizations work, and to decipher how people from other disciplines think and approach the same problems from different angles. There are personalities to mesh; priorities to work out; money to tussle over; and – yes – other acronyms to learn.
But this work is too important, the mission too critical, and the stakes too high for any of us to be frustrated by those obstacles.
So today, we will – I hope – make some real strides to overcome them. We will talk about ways to engage the people in our communities – to build their trust so that they are willing to help law enforcement identify and remove the worst offenders from their neighborhoods. We will discuss how law enforcement can improve lines of communication with the people, businesses and other institutions we serve so that we can focus our resources on where they can make the biggest difference. We’ll listen while service providers explain what they need from each other to reinforce their respective goals. And we’ll brainstorm about ways in which to come up with money to make it all just a little bit easier to accomplish.
I don’t know everyone here. But the many I do know come to the table, come to this room, come to this fight with energy, with commitment, with passion, with dedication and with insight. And I also know that everyone who is here understands that developing partnerships with other people and organizations – working for the same goals in the same neighborhoods – provides a new richness, diversity and thoughtfulness to our programs, and dramatically improves our chances of success. We can combat these problems so much more effectively by working together. And I am thrilled that so many of you are willing to join us.
Thank you for coming.14-101
Readout of Assistant Attorney General Bill Baer’s Meeting <br /> with International Competition Network MembersRead the Press Release
Assistant Attorney General Bill Baer in charge of the Department of Justice’s Antitrust Division today met with 35 international antitrust enforcement agencies and dozens of private antitrust practitioners in Washington, D.C., to emphasize the need for procedural fairness and transparency for parties in antitrust investigations.
At the International Competition Network (ICN) roundtable on investigative process, Baer applauded the progress that already has been made in the international competition community toward shared values of due process and transparency in antitrust investigations and stressed the importance of continuing that effort.Baer said that process and transparency matter. They help ensure that enforcers’ views are exposed to informed reaction and that parties understand the processes used to reach a particular outcome. Baer also said that when fair and transparent decision-making processes are in place, the legitimacy of the agency’s outcome is enhanced.
Baer encouraged newer antitrust enforcement agencies to adopt practices that would provide greater transparency and procedural fairness to parties in antitrust investigations. Some of the practices recommended include providing parties under investigation with information about the timing of antitrust agency’s decision-making, allowing parties to submit white papers and meet with investigating staff and decision-makers to present their views, and providing parties in investigations with regularly updated information about the agency’s concerns.
The ICN roundtable was co-hosted by the Department of Justice and the Federal Trade Commission. FTC Chairwoman Edith Ramirez also presented remarks.
Rapid City Man Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rapid City, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on March 14, 2014, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Damian Antonia Quintana, age 30, was sentenced to 120 months in custody, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Quintana was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury on May 21, 2013. He pled guilty on November 6, 2013.
From 2008 through May 2013, Quintana would receive ounce quantities of methamphetamine in Rapid City and further distribute it in South Dakota. Quintana distributed more than 1.5 kilograms of methamphetamine during the course of the conspiracy.
This case was investigated by the Unified Narcotics Enforcement Team. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
Quintana was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Charged with Theft of Government PropertyRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota, man has been indicted by a federal grand jury for Theft of Government Property.
Harold Compton, age 56, was indicted on March 18, 2014. He appeared before U.S. Magistrate Judge Veronica L. Duffy on March 20, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Compton illegally taking overtime payments in an amount greater than $1,000 while working as a Deputy Superintendent for the Bureau of Indian Affairs in 2009.
The charge is merely an accusation and Compton is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Office of Inspector General, U.S. Department of the Interior. Assistant U.S. Attorney Ted L. McBride is prosecuting the case.
Compton was released on bond pending trial. A trial date has not been set.
Queens, N.Y., Tax Return Preparer Indicted for Preparing False Tax ReturnsRead the Press Release
Williesteina Jacobs was indicted in the Eastern District of New York on March 21, 2014, and charged with 27 counts of aiding in the preparation of false returns, the Justice Department and Internal Revenue Service (IRS) announced today following her arrest.
According to the indictment, Jacobs owned and operated a tax preparation business called International Professional Business Services, which was located in South Richmond Hill, N.Y., and Jamaica, N.Y. The indictment charges that Jacobs prepared false personal income tax returns for clients for tax years 2007 through 2009. Jacobs allegedly attached false schedules that reported business losses the taxpayers did not incur and attached schedules that reported inflated or fictitious deductions.
An indictment merely alleges that crimes have been committed, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Jacobs faces a statutory maximum sentence of three years in prison and a fine of up to $250,000 on each count.
The case was investigated by special agents of IRS – Criminal Investigation. Trial Attorneys Jennifer Laraia and Stephen Descano of the Justice Department’s Tax Division are prosecuting the case .
Penn Hills Man Indicted on Heroin Possession ChargeRead the Press Release
PITTSBURGH – A Penn Hills man has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal narcotics laws, United States Attorney David J. Hickton announced today.
The one-count indictment named David Jerome Scott a/k/a David Jerome Alford, 40, of Pittsburgh, Pa., as the sole defendant.
According to the indictment, the defendant possessed heroin with the intent to distribute it during February of 2014.
The law provides for a maximum total sentence of not more than 20 years in prison, a fine not to exceed $1,000,000, or both, for first time felony drug offenders. Second and subsequent offenders face enhanced potential penalties of up to 30 years in prison, a fine of $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Ross E. Lenhardt is prosecuting this case on behalf of the government.
The Drug Enforcement Administration and the Pittsburgh Bureau of Police conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Palisade Man Pleads Guilty to Attempted Armed Bank RobberyRead the Press Release
DENVER – Jose O. Jimenez, age 27, of Palisade, Colorado, pled guilty last week to attempted armed bank robbery, United States Attorney John Walsh and FBI Denver Division Special Agent in Charge Thomas Ravenelle announced. Jimenez was one of three people indicted for their involvement in, or knowledge of, the attempted armed robbery of the Palisades National Bank. Jimenez pled guilty before U.S. District Court Judge R. Brooke Jackson on March 20, 2014. He is scheduled to be sentenced on July 23, 2014.
Co-defendant Bryan Morrow, age 22, of Palisade, Colorado, pled guilty before Judge Jackson on October 8, 2013. He is scheduled to be sentenced on April 30, 2014. Finally, Nicole Kozic, age 25, of San Bernardino, California, who knew that Jimenez and Morrow were involved in the attempted bank robbery, pled guilty to a Class A misdemeanor, interfering with an extradition agent before U.S. District Court Judge Robert E. Blackburn also on March 20, 2014. Kozic lied to an FBI agent who was working on locating Jimenez to extradite him to Washington State to face earlier criminal charges there. She is scheduled to be sentenced by Judge Blackburn on May 28, 2014.
According to the stipulated facts in Jimenez’s plea agreement, as well as other court documents, on Saturday morning, August 20, 2011, co-defendant Bryan Morrow drove defendant Jose Jimenez from Morrow’s home in Palisade, Colorado, to the Palisades National Bank, just a few blocks away. Morrow was driving a yellow Nissan XTerra. At approximately 8:20 a.m., Morrow dropped off Jimenez near the bank and positioned himself so he could watch the outside of the bank building. He and Jimenez had two-way radios to communicate with each other. At 8:25 a.m. the Manager of the Palisades National Bank entered the bank by the side door before it opened to the public. As per his usual routine, he checked the bank for security, and then let in the two waiting tellers through the front door. He then went back to the side entrance and opened the door, with the intent to go back to his car to retrieve items. The tellers were setting up their stations. When the bank manager opened the door, he saw work boots underneath the apricot trees by the back door. He was then confronted by Jimenez, who was carrying a gun in his right hand, wearing a black hoodie covered by a reflective work vest, a camouflage mask over half his face, jeans and work boots. He ordered the manager back into the bank. When one of the tellers realized a man with a gun was in the bank, she discretely pushed the silent alarm.
Jimenez ordered the bank manager to call the tellers to his location. He ordered the tellers to kneel, and place their hands on the wall. A third teller arrived and knocked on the door, and Jimenez ordered that she be let in. She joined the other two tellers kneeling at the wall. Jimenez went through her purse and pulled out her car keys. He asked that teller what kind of car she drove, and she responded that she drove a white mini-van.
Jimenez ultimately got the bank manager and a teller to open the bank’s vault. He ordered a teller to spread the money out on the counter to ensure it contained no dye packs. The tellers then put the money into a backpack Jimenez had found behind the counter in the bank and had emptied. The backpack belonged to a teller. Jimenez had a two-way radio, with which he spoke to Morrow. Morrow told Jimenez that someone was coming. Jimenez cocked the weapon and took the manager to the front door while the tellers continued with the money. A Palisade Police Officer arrived at the front door and knocked. Jimenez told the manager to meet the police officer. The bank door was opened, and the officer asked, “Is everything ok?” The manager discretely shook his head “no” and the officer saw Jimenez. Jimenez ordered the officer onto the floor and touched the muzzle of his gun to the officer’s head. Jimenez then obtained the officer’s weapon. The officer’s radio was on, and dispatch was requesting a status check. Jimenez told him to tell dispatch everything was fine, which he did.
When Jimenez went to check on the tellers’ progress, the officer leapt up and ran out of the bank. He immediately called for backup. Jimenez ran out of the bank after the officer. Because the bank was not yet open to the public, the door of the bank locked behind Jimenez and he could not get back into the bank after he broke off pursuit of the officer, who escaped unharmed. Jimenez, who could not access the substantial sum of money being prepared for him inside, entered the white mini-van and then met up with Morrow. Jimenez abandoned the mini-van and got into the front passenger seat of Morrow’s XTerra, and Morrow drove away from the bank.
“This violent attempted bank robbery victimized many innocent people and was thwarted by the resourceful actions of a police officer on the scene,” said U.S. Attorney John Walsh. “We are aggressively pursuing all those involved in this robbery to obtain justice for those victims.”
“The convictions of those who participated in this violent crime illustrate the ongoing relationship with our partners to ensure justice is served and our communities are protected,” said FBI Denver Division Special Agent in Charge Thomas P. Ravenelle.
Attempted armed bank robbery carries a penalty of not more than 25 years in federal prison, and up to a $250,000 fine.
This case was investigated by the FBI and the Palisade Police Department.
The defendants are being prosecuted by Assistant U.S. Attorney Michelle Heldmyer.
Operator of Two Convenience Stores Sentenced to 2 Years in Prison for Food Stamp FraudRead the Press Release
Four Other Retailers Have Been Sentenced to Between Two and 38 Months in Prison
Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Ahmed Ayedh Al-Jabrati, age 58, a citizen of Yemen residing in Baltimore, today to two years in prison, followed by three years of supervised release, for wire fraud in connection with a scheme to illegally redeem food stamp benefits in exchange for cash. Judge Quarles also ordered that Al-Jabrati pay restitution of $1.2 million.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William G. Squires, Jr. of the U.S. Department of Agriculture’s Office of Inspector General, Northeast Region; and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.
Al-Jabrati operated two convenience stores, Second Obama Express and D&M Deli and Grocery, located next door to each other at 901 Harlem Avenue in Baltimore. According to their plea agreements and court documents, the stores participated in the Supplemental Nutrition Assistance Program (SNAP), previously known as the Food Stamp Program. In Maryland, the program provides eligible individuals with an electronic benefit transfer (EBT) card called the Independence Card, which operates like a debit card. Recipients obtain EBT cards through the state Department of Human Resources, then use the EBT card to purchase approved food items from participating retailers.
Al-Jabrati knew that it was a violation of SNAP regulations to trade cash for SNAP benefits. Nevertheless, from October 2010 to July 2013, Al-Jabrati exchanged SNAP benefits for cash at less than face value of the EBT benefits, in violation of the food stamp program rules, and kept up to 50 percent of the benefits for themselves.
Judge Quarles determined today that Al-Jabrati obtained at least $1.5 million in payments for food sales that never occurred.
Eight of the 10 convenience store owners or operators who were indicted in September 2013 in connection with schemes to illegally redeem food stamp benefits in exchange for cash have pleaded guilty to food stamp fraud and/or wire fraud. Amara Cisse, age 50, of Windsor Mill, Maryland, was sentenced to 27 months in prison and ordered to pay restitution of $654,349.24, and his wife, Fanta Keita was sentenced to two months in prison. Retailer Hyung Cho, age 40, was sentenced to 38 months in prison, and his mother Dae Cho, age 67, was sentenced to 18 months in prison. The Chos were also ordered to forfeit $371,439.21 and pay restitution of $1.4 million. Two more retailers were indicted in January 2014.
United States Attorney Rod J. Rosenstein praised USDA’s Office of Inspector General and FBI for their work in the investigation. U.S. Attorney Rosenstein expressed appreciation to Secretary Ted Dallas and the Maryland Department of Human Resources, as well as U.S. Citizenship and Immigration Services - Office of Fraud Detection and National Security for their assistance in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Kathleen O. Gavin, who prosecuted the case.
Oacoma Man Charged with Lacey Act ViolationsRead the Press Release
United States Attorney Brendan V. Johnson announced that an Oacoma, South Dakota, man has been indicted by a federal grand jury for Lacey Act Violations.
Anthony Nogy, age 35, was indicted on March 11, 2014. He appeared before U.S. Magistrate Judge Mark A. Moreno on March 20, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 5 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between September 24, 2013, and September 30, 2013, Nogy knowingly imported, transported, received, acquired and purchased in foreign commerce one gray wolf, when Nogy knew that said wildlife was taken without a valid hunting license and exported from Canada without the required permits.
The charge is merely an accusation and Nogy is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Fish and Wildlife Service. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Nogy was released on bond pending trial. A trial date has not been set.
New York Doctor Charged in Alleged Multi-Million Medicare Fraud SchemeRead the Press Release
BROOKLYN, NY - A criminal complaint was unsealed this morning in Brooklyn federal court charging Dr. Syed Imran Ahmed, 49, with healthcare fraud in connection with his submission of millions of dollars in false Medicare billings. Seizure warrants seeking millions of dollars of the defendant’s alleged ill-gotten gains, including the contents of seven bank accounts, were also unsealed. In addition, a civil forfeiture complaint was also filed today against the defendant’s residence located in Muttontown, New York, valued at approximately $4 million. Further, earlier today search warrants were executed at six locations in New York, Michigan and Nevada. The defendant’s initial appearance is scheduled this afternoon before United States Magistrate Judge Marilyn Go, at the United States Courthouse, 225 Cadman Plaza East, Brooklyn, New York.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York, David O’Neil, Acting Assistant Attorney General of the Justice Department’s Criminal Division, George Venizelos, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office, and Thomas O’Donnell, Special Agent in Charge, Department of Health and Human Services-Office of Inspector General (HHS-OIG).
As alleged in the complaint, Ahmed engaged in a scheme to submit claims to Medicare for surgical procedures that were not in fact performed. The complaint cites multiple instances in which either patients told law enforcement officers that they never had the procedures that were billed, or hospital medical records did not contain any evidence that the procedures were actually performed. From January 2011 through mid-December 2013, Medicare was billed at least $85 million for surgical procedures by Ahmed, a sole practitioner.
“As alleged, Ahmed created phantom medical procedures to steal very real taxpayer money. The defendant sought to enrich himself and fund his lifestyle through billing Medicare for services he never performed,” stated United States Attorney Lynch. “We are committed to protecting these taxpayer-funded programs and prosecuting those who steal from them.”
“The Medicare system entrusts doctors to provide patients with the care and services they need,” said Acting Assistant Attorney General O’Neil. “The charges unsealed today allege that Dr. Ahmed billed millions of dollars to Medicare for surgical procedures that he did not actually perform. These charges are yet another example of the Department of Justice’s determination to hold accountable those who abuse the trust placed in them and steal from the system for personal gain.”
FBI Assistant Director in Charge Venizelos stated, “Fraudulently billing the government defrauds every American taxpayer. We will investigate cases of graft and greed to protect important programs for those who need them.”
“For a single physician, the alleged conduct in this case is among the most serious I’ve seen in my law enforcement career,” said SAC for HHS-OIG O’Donnell. “Being a Medicare provider is a privilege, not a right. When Dr. Ahmed allegedly billed Medicare for procedures he never performed, he violated the basic trust that taxpayers extend to healthcare providers.”
The investigation has been conducted by the FBI and HHS-OIG, brought as part of the Medicare Fraud Strike Force, and supervised by the U.S. Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. The case is being prosecuted by Trial Attorney Turner Buford of the Criminal Division’s Fraud Section and Assistant United States Attorneys William Campos and Erin Argo of the U.S. Attorney’s Office for the Eastern District of New York.
The charges in the complaint are merely allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, the defendant faces a maximum sentence of ten years.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,480 defendants who have collectively billed the Medicare program for more than $4.8 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, is taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to: www.stopmedicarefraud.gov.
The Defendant:
SYED IMRAN AHMED
Age: 49
Glen Head, New York
E.D.N.Y. Docket No. 14-274
New York Doctor Admits Taking Bribes for Referring Tests to New Jersey Clinical LabRead the Press Release
25th Defendant to Plead Guilty in Connection with Scheme
NEWARK, N.J. – A pediatrician with a New York practice in Staten Island and Brooklyn admitted today he accepted bribes in exchange for test referrals as part of a long-running scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, N.J., its president and numerous associates, New Jersey U.S. Attorney Paul J. Fishman announced.Surender Gorukanti, 46, of Brooklyn, pleaded guilty today before U.S. District Judge Stanley R. Chesler in Newark federal court to an information charging him with one count of accepting bribes.
Including Gorukanti, 25 people – including 14 physicians– have pleaded guilty in connection with the bribery scheme, which its organizers have admitted involved millions of dollars in bribes and resulted in more than $100 million in payments to BLS from Medicare and various private insurance companies.Gorukanti admitted he accepted checks of $1,000 per month as bribes from BLS in return for referring patient blood specimens to BLS.
The bribery count to which Gorukanti pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for June 16, 2014. As part of his guilty plea, Gorukanti agreed to forfeit $14,000, representing the bribes he received from BLS.
The investigation has recovered more than $7 million to date through forfeiture.
U.S. Attorney Fishman credited special agents of the New Jersey FBI, under the direction of Special Agent in Charge Aaron T. Ford in Newark; U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Thomas O’Donnell; 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 ongoing investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Joseph Minish, Senior Litigation Counsel Andrew Leven, and Jacob T. Elberg, Chief of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark, as well as Assistant U.S. Attorney Barbara Ward of the office’s Asset Forfeiture and Money Laundering Unit.
U.S. Attorney Paul J. Fishman reorganized the health care fraud practice at the New Jersey U.S. Attorney’s Office shortly after taking office, including creating a stand-alone Health Care and Government Fraud Unit to handle both criminal and civil investigations and prosecutions of health care fraud offenses. Since 2010, the office has recovered more than $535 million in health care fraud and government fraud settlements, judgments, fines, restitution and forfeiture under the False Claims Act, the Food, Drug and Cosmetic Act and other statutes.
14-102Defense counsel: Thomas Tormey Esq., New York
Gorukanti, Surender InformationNew York City Man Sentenced for Involvement in Cocaine Distribution ConspiracyRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced today that Senior United States District Court Judge Edwin M. Kosik has sentenced George Abreu, age 32, of New York, New York, to 57 months’ imprisonment for his involvement in a conspiracy to distribute more than 3.5 kilograms of cocaine between 2008 and May 24, 2012.
According to United States Attorney Peter J. Smith, Abreu’s role in the conspiracy included delivering cocaine in New York City to individuals traveling from Luzerne County to obtain cocaine for distribution in the Pittston area. FBI Agents arrested Abreu in New York City when he arrived to distribute cocaine to a cooperating witness.
A federal grand jury sitting in Scranton, Pennsylvania, indicted Abreu on the conspiracy charge on March 12, 2013, and on October 21, 2013, Abreu pleaded guilty to the Indictment.
In addition to the 57-month term of imprisonment, Judge Kosik also ordered that Abreu be placed on supervised release for a period of three years following the service of his sentence.
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and the Pennsylvania Attorney General’s Office. Assistant United States Attorney John Gurganus prosecuted the case.
New Jersey Man Charged with Heroin Trafficking in KingstonRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a New Jersey resident was indicted by a federal grand jury in Scranton today for trafficking in heroin in Kingston, Pennsylvania, in January 2013.
According to United States Attorney Peter Smith, the grand jury alleges that George Wormley, age 37, of Montclair, New Jersey, possessed heroin with the intent to distribute it on January 3, 2013.
The charge stems from an investigation by The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Kingston Police, and the Luzerne County District Attorney’s Office.
If convicted of the charge, Wormley faces a potential maximum sentence of 20 years in prison and a $1 million fine.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years imprisonment, a term of supervised release following imprisonment, and a fine of $1 million. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
New Jersey Man Charged in Heroin Trafficking SchemeRead the Press Release
PITTSBURGH – A New Jersey man has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal narcotic laws, United States Attorney David J. Hickton announced today.
The one-count superseding indictment named Rafael Cabrera, 35, of Passaic, New Jersey.
According to the superseding indictment, from in and around August 2012, to on or about Jan. 10, 2013, in the Western District of Pennsylvania and elsewhere, Cabrera conspired with others to distribute and possess with the intent to distribute 100 grams or more of heroin, a Schedule I controlled substance.
The law provides for a maximum total sentence of not less than 10 years and up to life in prison, a fine of $8,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys Eric S. Rosen and Jake D. Pugh are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the City of Pittsburgh Bureau of Police conducted the investigation leading to the indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Missouri Woman Pleads Guilty to Bankruptcy FraudRead the Press Release
Orlando, Florida – United States Attorney A. Lee Bentley, III announces that Marlene Stephens (61, Kansas City, MO) pleaded guilty to one count of bankruptcy fraud. She faces a maximum penalty of 5 years in federal prison. As part of her plea agreement, Stephens has agreed to pay restitution in the amount of $175,000.48 to various credit card companies. Her sentencing hearing is scheduled for June 18, 2014.
According to court documents, Stephens filed a petition for bankruptcy on October 10, 2008. In that petition, she sought the discharge of more than $500,000 in personal credit card debt. Included in the personal credit card debt was $191,342.51 that Stephens transferred to her sister via credit card convenience checks, in January and February 2008. The investigation revealed that Stephens wrote the convenience checks to her sister, who put the money into a Washington Mutual checking account. At the time Stephens filed the bankruptcy petition, this account had a balance of $175,000.48. Stephens’ bankruptcy, which included the credit card debt, was discharged in February 2009.
A month before Stephens filed her bankruptcy petition, her sister transferred the money from a Washington Mutual account to a Wachovia Bank account. An investigation determined that Stephens concealed the existence of the Wachovia Bank account from the bankruptcy trustee when she filed for bankruptcy in October 2008. The Internal Revenue Service (IRS) was able to trace the funds in the Wachovia Bank account back to Stephens, after the bankruptcy was discharged.
This case was investigated by Internal Revenue Service-Criminal Investigation, with assistance from the United States Trustees Office. It was prosecuted by Assistant United States Attorney Shawn P. Napier.
Mexico Man Sentenced for Illegal Reentry After DeportationRead the Press Release
United States Attorney Brendan V. Johnson announced that a man from Michoacan, Mexico, convicted of Illegal Reentry after Deportation was sentenced on March 24, 2014, by U.S. District Judge Karen E. Schreier.
Jose Antonio Rivera, a/k/a Ulises Valenzuela-Rivera, age 31, was sentenced to 28 months in custody and assessed $100.
Rivera was indicted for Illegal Reentry after Deportation by a federal grand jury on January 22, 2014. He pled guilty on January 24, 2014.
Rivera is a citizen of Mexico, and was deported from the United States on November 24, 2009. He reentered the United States and was found in South Dakota on July 26, 2010, when he was arrested for a drug-related felony. Following his conviction in South Dakota for the drug-related felony, his second such conviction, he served his sentence and was released to Immigration and Customs Enforcement agents for prosecution for entering the United States without permission of the government.
This case was investigated by the U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI). Assistant U.S. Attorney Connie Larson prosecuted the case.
Rivera was immediately turned over to the custody of the U.S. Marshals Service.
McLaughlin Man Charged with Domestic Assault by A Habitual OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota, man has been indicted by a federal grand jury for Domestic Assault by a Habitual Offender.
Anthony Bobtail Bear, Jr., age 34, was indicted on February 11, 2014, and March 11, 2014. He appeared before U.S. Magistrate Judge William D. Gerdes on March 21, 2014, and pled not guilty to the Indictments.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund for each Indictment. Restitution may also be ordered.
The Indictments allege that on December 3, 2013, and again on February 26, 2014, Bobtail Bear unlawfully committed acts of domestic assault against separate victims. At the time of the assaults, Bobtail Bear had at least two separate prior convictions for assaults that were against a spouse or intimate partner.The charge are merely accusations and Bobtail Bear is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
Bobtail Bear was remanded to the custody of the U.S. Marshals Service pending trial. Trial dates have not been set.
Marysville Man Sentenced to over Seven Years in Federal Prison for Racially Motivated Assault on White Man and African-American WomanRead the Press Release
SACRAMENTO, Calif. – Billy James Hammett, 30, of Marysville, Calif., was sentenced today by U.S. District Judge John A. Mendez to 87 months in prison for violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act for his role in a 2011 racially motivated attack against a white man and an African-American woman in Marysville, Calif. The court also ordered Hammett to pay restitution of $175 and to serve a three year period of supervised release. Hammett pleaded guilty on Dec. 17, 2013, and his co-defendants, Perry Sylvester Jackson, 28, and Anthony Merrell Tyler, 33, have also pleaded guilty and are awaiting sentencing.
According to documents filed with the court, around 10:45 p.m. on April 18, 2011, a white man and an African-American woman parked their car at a convenience store in Marysville. Shortly afterward, the three defendants, each of whom has white supremacist tattoos, attacked the man and woman based on race. After calling the male victim a “[racial slur]-lover,” Jackson punched him twice in the head through the open passenger window. At the same time, Hammett kicked the woman in the chest. A few seconds later, Tyler smashed the car’s windshield with a crowbar. As the attack continued, the woman managed to take refuge inside the convenience store. All three assailants then descended upon the male victim and began attacking him in the parking lot. He sustained abrasions on his right forearm and knees, while the woman suffered bruising to her chest. At the end of the incident, Tyler used a racial slur to refer to an African-American witness.
In sentencing the defendant, Judge Mendez said he found surveillance video footage of the assault “disturbing.” He noted that Hammett’s attack on the victims was “unprovoked and unwarranted,” and that the victims continue to suffer.
During the sentencing hearing, Judge Mendez considered Hammett’s background and criminal history, which includes a conviction in 2006 for assaulting a 72-year-old black man, also in Marysville. According to court records, Hammett made racial comments immediately before the unprovoked attack. In addition, Hammett has been affiliated with a number of white supremacist gangs, including Supreme White Power. He has tattoos of the words “white power” across his abdomen, a large swastika on the right side of his torso and the word “skinhead” written across the top of his back. Judge Mendez stated during the sentencing hearing that Hammett poses “a serious threat to the public.”
“The defendant and his friends accosted the victims in public and assaulted them because of their race,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “The Department is committed to stamping out racial violence and will continue to prosecute hate crimes vigorously.”
“Racially-motivated violence has no place in civilized society,” said U.S. Attorney Benjamin B. Wagner for the Eastern District of California. “This office has a history of prosecuting those perpetrate crimes of hate, and as long as these crimes continue, we will be there to enforce the law and uphold this nation’s Constitutional values.”
“The FBI has a long history of promptly investigating civil rights violations,” said Special Agent in Charge Monica M. Miller for the FBI Sacramento Field Office. “Hammett is experiencing the full force of a federal response against his despicable act. The strong sentence imposed by Judge Mendez demonstrates that hate crimes such as this will not be tolerated in our communities.”
This case was investigated by the FBI with assistance of the Yuba County Sheriff’s Office and the Yuba County District Attorney’s Office. The case is being prosecuted by U.S. Attorney Wagner and Trial Attorney Chiraag Bains of the Civil Rights Division.
Jackson is scheduled to be sentenced on April 22, 2014 and Tyler is scheduled to be sentenced on July 8, 2014. Each defendant faces a statutory maximum sentence of 10 years in prison and a fine of $250,000.Manhattan U.S. Attorney Charges Leader of Racketeering Organization in A 48-Count Indictment with 10 Murders and 10 Attempted Murders, Marijuana Trafficking, Money Laundering, and Other ChargesRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, James T. Hayes, Jr., the Special Agent-in-Charge of the New York Field Office of the U.S. Immigration and Customs Enforcement’s (“ICE”) Homeland Security Investigations (“HSI”), and William J. Bratton, the Police Commissioner of the City of New York (“NYPD”), today announced the return of a 48-count superseding Indictment charging MANUEL GEOVANNY RODRIGUEZ-PEREZ, a/k/a “Shorty,” with controlling a massive racketeering organization (the “Rodriguez Enterprise”) whose members sold large quantities of marijuana, murdered and attempted to murder 20 people, transported and laundered millions of dollars, obstructed justice and committed perjury, and engaged in firearms offenses. This Indictment was filed yesterday in connection with “Operation Green Venom,” a coordinated multi-agency investigation that was led by ICE HSI and first announced in October 2010. RODRIGUEZ-PEREZ will be arraigned before U.S. District Judge Laura T. Swain on Thursday at 4:30 p.m.
Manhattan U.S. Attorney Preet Bharara said: “Today we announce the addition of no fewer than 10 murders and attempted murders to the already numerous alleged egregious acts of violence, drug trafficking, and other criminal conduct with which Manuel Rodriguez-Perez is charged. This Office will continue to work with our law enforcement partners until everyone involved in this enterprise is brought to justice.”
ICE HSI Special Agent-in-Charge James T. Hayes, Jr., said: “As alleged, the Rodriguez Drug Trafficking Organization sought to maintain its vise grip on the drug trade throughout New York City by using murder and assaults on its competitors and workers alike. HSI and its law enforcement are committed to taking down drug organizations that wreak havoc on our neighborhoods.”
NYPD Commissioner William J. Bratton said: “Individuals who traffic illegal drugs and give orders to take someone’s life have no place in our city. Thanks to the efforts of the investigators and prosecutors involved in this extensive case, these criminals will be prosecuted to the fullest extent of the law.”
According to the allegations contained in the superseding Indictment unsealed yesterday in Manhattan federal court:
RODRIGUEZ-PEREZ, the leader of the Rodriguez Enterprise, is charged with ten murders and ten attempted murders, including the murders of the following victims:
- Francisco Perez, a/k/a “Francie,” on October 26, 1997;
- Antonio Kasse, a/k/a “Toasty,” on December 13, 1998;
- FNU LNU, a/k/a “Carlos Valentin,” a/k/a “Campi,” in or about 2000;
- Noel Herrera, on December 29, 2001;
- Kelly Perez, a/k/a “Red” on September 16, 2002;
- Marino Molina, on January 11, 2003;
- Wilfredo Molina, a/k/a “Willie,” on May 3, 2004;
- Manuel Rivas, a/k/a “Tony el Mono,” on October 29, 2005;
- Richard Cabrera, a/k/a “Bori,” on January 16, 2006; and
- Saturnino Delgado-Garcia, on May 1, 2011
Noel Herrera, Marino Molina, Manuel Rivas, and Saturnino Delgado-Garcia were each murdered in the Dominican Republic. Wilfredo Molina was murdered in New Jersey, and the remaining victims were murdered in New York City. RODRIGUEZ-PEREZ solicited the murder of Delgado-Garcia from prison.
A chart containing the charges in the Superseding Indictment, and the corresponding maximum potential sentences for each count, is attached. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. The charges contained in the Indictment against RODRIGUEZ-PEREZ are merely accusations, and he is presumed innocent unless and until proven guilty.
The Indictment seeks forfeiture of $25 million, which is the approximate amount of gross proceeds received by RODRIGUEZ-PEREZ derived from racketeering activities, properties in New York, Florida, and the Dominican Republic, and cash and jewelry seized by law enforcement officers.
RODRIGUEZ-PEREZ, 41, has been in federal custody since October 15, 2010, when he was arrested during a takedown of more than 50 members of a massive marijuana trafficking ring that transported ton-quantities of marijuana from Florida and California for distribution in the greater New York area from the early 1990’s to 2010.
RODRIGUEZ-PEREZ and eight other defendants were charged in July 2012, in S31 10 Cr. 905 (LTS) with, among other things, five murders and five attempted murders. Since that time, five of the defendants charged in that indictment have pled guilty to, among other things, multiple murders, marijuana trafficking, money laundering, and firearms offenses. The charges against the remaining defendants, Oscar Rodriguez, Theodore Jones, and Jose Espinal, are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Mr. Bharara praised the outstanding investigative work of ICE HSI, the NYPD, and the U.S. Drug Enforcement Administration. He also thanked the Federal Bureau of Investigation, U.S. Marshals Service, the Bergen County, New Jersey, Prosecutor’s Office, the Englewood, New Jersey, Police Department, the U.S. Department of Housing and Urban Development, and the New York City Department of Investigation for their assistance, and added that the investigation is continuing.
The prosecution of the cases arising from “Operation Green Venom” is being overseen by the Office’s Violent Crimes Unit. Assistant U.S. Attorney Amie N. Ely is in charge of the prosecution. Assistant U.S. Attorney Andrew Adams is responsible for the forfeiture proceedings.
Click here to view chart(s)
U.S. v. Manuel Geovanny Rodriguez-Perez Indictment S38 10 Cr 905
Long Island Doctor Arrested and <br /> Accused of Multi-million Medicare Fraud SchemeRead the Press Release
A Long Island, N.Y., doctor was arrested today on charges that he submitted millions of dollars in false billings to Medicare.
The charges were announced by Acting Assistant Attorney General David A. O’Neil of the Justice Department’s Criminal Division, U.S. Attorney Loretta E. Lynch of the Eastern District of New York, Assistant Director in Charge George Venizelos of the FBI’s New York Field Office and Special Agent in Charge Thomas O’Donnell of the Department of Health and Human Services Office of Inspector General (HHS-OIG).
Dr. Syed Imran Ahmed, 49, was charged with one count of health care fraud by a criminal complaint unsealed this morning in federal court in Brooklyn, N.Y. A seizure warrant seeking millions of dollars of Ahmed’s alleged ill-gotten gains, including the contents of seven bank accounts, was also unsealed. In addition, a civil forfeiture complaint was also filed today against Ahmed’s residence located in Muttontown, N.Y., valued at approximately $4 million. Further, search warrants were executed earlier today at six locations in New York, Michigan and Nevada. Ahmed’s initial appearance is scheduled this afternoon before U.S. Magistrate Judge Marilyn Go.
“The Medicare system entrusts doctors to provide patients with the care and services they need,” said Acting Assistant Attorney General O’Neil. “The charges unsealed today allege that Dr. Ahmed billed millions of dollars to Medicare for surgical procedures that he did not actually perform. These charges are yet another example of the Department of Justice’s determination to hold accountable those who abuse the trust placed in them and steal from the system for personal gain.”
“As alleged, Ahmed created phantom medical procedures to steal very real taxpayer money. The defendant sought to enrich himself and fund his lifestyle through billing Medicare for services he never performed,” stated United States Attorney Lynch. “We are committed to protecting these taxpayer-funded programs and prosecuting those who steal from them.”
“Fraudulently billing the government defrauds every American taxpayer,” said FBI Assistant Director in Charge Venizelos. “We will investigate cases of graft and greed to protect important programs for those who need them.”
“For a single physician, the alleged conduct in this case is among the most serious I've seen in my law enforcement career," said HHS-OIG SAC O’Donnell. “Being a Medicare provider is a privilege, not a right. When Dr. Ahmed allegedly billed Medicare for procedures he never performed, he violated the basic trust that taxpayers extend to healthcare providers.”
As alleged in the complaint, Ahmed engaged in a scheme to submit claims to Medicare for surgical procedures that were not in fact performed. The complaint alleges multiple instances in which either patients told law enforcement officers that they never had the procedures that were billed, or hospital medical records did not contain any evidence that the procedures were actually performed. From January 2011 through mid-December 2013, Medicare was billed at least $85 million for surgical procedures purportedly performed by Ahmed.
The investigation has been conducted by the FBI and HHS-OIG and brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of New York. The case is being prosecuted by Trial Attorney Turner Buford of the Fraud Section and Assistant U.S. Attorneys William Campos and Erin Argo of the U.S. Attorney’s Office for the Eastern District of New York.
The charges in the complaint are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,700 defendants who have collectively billed the Medicare program for more than $5.5 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, is taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to: www.stopmedicarefraud.gov .Little Eagle Man Charged with Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Little Eagle, South Dakota, man has been indicted by a federal grand jury for Sexual Abuse of a Minor.
Corey Flying Bye, age 25, was indicted on March 11, 2014. He appeared before U.S. Magistrate Judge William D. Gerdes on March 18, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 15 years in custody and/or a $250,000 fine, up to life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between December 1, 2013 and January 31, 2014, Flying Bye knowingly engaged in, and attempted to engage in, a sexual act with a victim who had not attained the age of 16.
The charge is merely an accusation and Flying Bye is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
Flying Bye was released on bond pending trial. A trial date has not been set.
Little Eagle Man Charged with AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Little Eagle, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon and Domestic Assault by an Habitual Offender.
Gary Little Bird, Jr., age 34, was indicted on March 11, 2014. He appeared before U.S. Magistrate Judge William D. Gerdes on March 18, 2014, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and up to $200 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about February 13, 2014, Little Bird assaulted his girlfriend with shod feet.
The charge is merely an accusation and Little Bird is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
Little Bird was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Lincoln Woman Charged with Conspiracy to Distribute MethamphetamineRead the Press Release
On March 24, 2014, an Indictment was unsealed charging Rachel Rayanne Rodriguez, 28, of Lincoln with conspiracy to distribute 50 grams or more of a mixture or substance containing methamphetamine between April of 2009 and May of 2013. Rodriguez had her first court appearance on March 25, 2014, and was ordered held without bond. Rodriguez’s next scheduled court appearance is a status conference on May 20, 2014.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Leader of Identity Fraud Ring Sentenced to 22 Years in PrisonRead the Press Release
The leader of an identity fraud ring was sentenced to 22 years in prison today following his conviction for wire fraud and identity theft, U.S. Attorney Barbara L. McQuade announced today.
McQuade was joined in the announcement by Paul M. Abbate, Special Agent in Charge, Federal Bureau of Investigation, Detroit Division.
U.S. District Court Judge Sean F. Cox imposed sentence on Gerald Bass, 45, of Detroit.
On August 7, 2012, a jury convicted Bass of conspiracy to commit wire fraud, access device fraud and aggravated identity theft. The evidence at trial established that Bass was the leader of a group of conspirators who stole victims’ identification information and accessed their credit accounts at retail stores such as J.C. Penney, Nordstrom, Lowes and Home Depot. Bass and his co-conspirators used this information to obtain merchandise worth tens of thousands of dollars.
At sentencing, Judge Cox stated that Bass’s lengthy criminal record, including his 13 prior convictions for crimes involving theft and dishonesty, was a significant a factor in his sentencing decision. Judge Cox also stated that although the possibility of a long prison sentence had not deterred this defendant Bass from victimizing the public, perhaps Bass’s sentence might deter others from committing this kind of crime.
“Anyone who has had their identity or credit card stolen knows that identity fraud causes serious harm to victims, who can spend years repairing their credit history. Today’s sentence sends a strong message that identity thieves will pay a steep price.” McQuade said.
The case was investigated by the U.S. Secret Service and the Michigan State Police, and prosecuted by Assistant United States Attorneys Abed Hammoud and Patrick Hurford.
Latrobe Post Office Worker Charged with Misappropriating $55K in Money Orders and CashRead the Press Release
PITTSBURGH - A resident of Westmoreland County has been indicted by a federal grand jury in Pittsburgh on a charge of misappropriation of postal funds, United States Attorney David J. Hickton announced today.
The one-count indictment named Jessica L. Croyle, 32, of Greensburg, Pa., as the sole defendant.
According to indictment, from Nov. 1, 2012, to July 19, 2013, Croyle, while employed with the United States Postal Service at the Latrobe, Pa., post office, wrongfully converted to her own use, postal money orders and cash having a total value of $55,362.90.
The law provides for a maximum total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Mary McKeen Houghton is prosecuting this case on behalf of the government.
The United States Postal Service, Office of Inspector General, conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Kankakee Businessman Sentenced to Prison for Filing False Income Tax Returns and StructuringRead the Press Release
Urbana, Ill. – The owner of ABC Disposal Inc., a Kankakee waste management company, was sentenced late yesterday to a prison sentence for filing false income tax returns and structuring cash withdrawals to avoid detection by the IRS. Joseph S. Deno, 67, was ordered to serve 12 months and one day in prison, followed by 12 months of home confinement during a one-year term of supervised release. Deno has already paid full restitution to the IRS in the amount of $905,261, for unpaid income taxes, plus interest and penalties. In addition, Deno was ordered to forfeit $190,700 of structured funds to the government. U.S. District Judge Michael P. McCuskey advised Deno to report on May 21, 2014, to the federal Bureau of Prisons to begin serving his prison sentence.
Deno pled guilty on Sept. 6, 2013, to six counts of filing false income tax returns and one count of structuring. Deno, the sole shareholder, owner and operator of ABC Disposal, Inc., admitted that for tax years 2005 through 2010, he withheld financial records from his tax preparer. This resulted in under-reporting his company’s gross receipts and underpayment of his federal income taxes.
Deno also pled guilty to structuring cash withdrawals from three bank accounts over a one-year period, from March 2010 to March 2011. To avoid a Currency Transaction Report from being prepared by his bank and sent to federal authorities, Deno withdrew funds he had hidden from his accountant and the IRS in amounts just under the $10,000 threshold, for a total of $190,700. Financial institutions are required to complete and file CTRs with the IRS for any currency transactions in excess of $10,000.
The Internal Revenue Service, Criminal Investigation Division conducted the case investigation. Assistant U.S. Attorney Eugene L. Miller prosecuted the case.Jury Convicts KC Man of Producing Child PornRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was convicted in federal court today on charges related to child pornography.
Donald T. Paris, Jr., 27, of Kansas City, was found guilty of one count of producing child pornography, one count of receiving child pornography over the Internet, one count of transporting child pornography over the Internet and one count of possessing child pornography.
Evidence introduced during the trial indicated that Paris used a child victim, identified in the indictment as “CV,” to produce child pornography in December 2010. Paris also used his e-mail account to receive, transport and possess separate images of child pornography in December 2010 and December 2011.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for approximately 30 minutes before returning the guilty verdicts to U.S. District Judge Beth Phillips, ending a trial that began Monday, March 24, 2014.
Under federal statutes, Paris is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 80 years in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Patrick D. Daly. It was investigated by the FBI, the Kansas City, Mo., Police Department, the Taney County, Mo., Sheriff’s Department, the North Richland Hills, Texas, Police Department and the Branson, Mo., Police Department.
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."Johnstown Woman Admits Distributing HeroinRead the Press Release
JOHNSTOWN, Pa. - A resident of Johnstown, Pa., pleaded guilty in federal court to a charge of distributing heroin, United States Attorney David J. Hickton announced today.
Desalynn L. Coleman, 33, pleaded guilty before United States District Judge Kim R. Gibson.
In connection with the guilty plea, the court was advised that on Oct. 30, 2012, Coleman distributed less than 100 grams of heroin.
Judge Gibson scheduled sentencing for July 31, 2014, at 10:30 a. m. The law provides for a maximum total sentence of 20 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephanie L. Haines 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 Coleman.
Indianapolis Man Sentenced as Part of Collaboration Between Offices of Marion County Prosecutor and United States AttorneyRead the Press Release
More Indianapolis results as state and federal prosecutor’s offices crack down on violent gun-related crime
INDIANAPOLIS – Joseph H. Hogsett, the United States Attorney, announced today that Raymond Barnes, 32, of Indianapolis, has been sentenced to 37 months (over three years) in federal prison by U.S. District Judge Jane Magnus-Stinson. Barnes admitted to illegally possessing a firearm as a convicted felon. Barnes’ conviction is the result of a joint prosecution effort between the U.S. Attorney’s Office and the Marion County Prosecutor’s Office.
“Three years ago, this Office pledged to federally prosecute more illegally-armed felons than ever before,” said Hogsett. “Today’s sentence supports that pledge to take off our streets the most violent criminals who terrorize our neighborhoods.”
Court documents state, on July 13, 2013, Indianapolis Metropolitan Police Officers responded to a call of gunshots being fired in the 3800 block of North Boulevard Place on the City’s Northside. When officers arrived, they found Barnes walking away from the scene and detained him. While searching Barnes, officers located a loaded cartridge magazine in his pants pocket and placed him under arrest. Shortly after arresting him, Barnes escaped and fought with officers, injuring one and sending the officer to the hospital.
Additional responding officers located spent shell casings and four live rounds in the area of the shooting. A short time later, officers obtained a search warrant for Barnes’ vehicle which was parked nearby. In the vehicle, officers found a Keltee, SUB 2000, .40 caliber rifle with a jammed round in the chamber. The magazine found in Barnes’ pocket fit the rifle.
Announced in March of 2011, the Violent Crime Initiative represents a district-wide strategy to work with local law enforcement and county prosecutors to combat drug traffickers and criminals that use and carry firearms in their illegal activities. The VCI has produced a dramatic increase in the number of gun-related charges brought federally. In the year preceding the initiative, there were just 14 defendants charged with federal gun crimes by the U.S. Attorney’s Office. In the nearly three years since, more than 225 defendants have been charged.
“Credit should go where it is due. Marion County Prosecutor Terry Curry saw the need to improve the cooperation between his office and the United States Attorney’s Office. As part of his vision, Prosecutor Curry has since cross-designated several of his best prosecutors to screen gun cases and make thoughtful decisions about whether to prosecute repeat violent offenders in state court or in federal court. In this sense, Prosecutor Curry has always been ‘out front’ in the challenge of ridding Indianapolis of the high level of gun violence it has experienced,” Hogsett explained.
According to Special Assistant U.S. Attorney (SAUSA) Thomas Lupke, who is prosecuting the case for the government, Barnes faces three years of supervised release after his sentence. Lupke currently serves as a SAUSA for Hogsett’s office and splits his time as a deputy prosecutor with the Marion County Prosecutor’s Office where he specializes in gun-related cases.
Identity Thief Sentenced to Six Years in PrisonRead the Press Release
PHILADELPHIA - Carnell Ragan, 48, of Philadelphia, was sentenced today to 72 months in prison for an identity theft scheme that caused at least $95,233.22 in losses to his victims. The prison term includes a two year mandatory term. Ragan stole personal information of hundreds of unsuspecting individuals. He obtained classified hospital records which contained patient and staff account and personal information, official DMV and credit card company’s holograms and employee badges of various companies. He created counterfeit credit cards and he also sold his victims’ credit card account numbers to anyone who wanted one and who would pay his fee. He invested in sophisticated equipment which enabled him to do this on a large scale. When Pennsylvania State Police searched Ragan’s home, they found account numbers written on pieces of paper, on magnetic strips, pressed on credit cards, on ink rolls and in hospital records. Of those found, 107 victims reported losses.
Ragan pleaded guilty on October 4, 2013, to conspiracy to commit access device fraud and aggravated identity theft. In addition to the prison term, U.S. District Court Judge R. Barclay Surrick ordered restitution of $95,233.22 to Ragan’s victims, a $200 special assessment, and three years of supervised release.
The case was investigated by United States Secret Service and Pennsylvania State Police. It was prosecuted by Assistant United States Attorney Virgil Walker.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Georgia Man Sentenced to 7 Years in Federal Prison for Receiving Child Pornography over the InternetRead the Press Release
Jacksonville, Florida – United States District Judge Timothy J. Corrigan today sentenced John Charles Stevenson (46, Rincon, Georgia) to 7 years in federal prison for receiving videos and images of child pornography over the Internet. He was also ordered to serve a 5-year term of supervision and to register as a sex offender, following his incarceration. Stevenson pleaded guilty on October 29, 2013, and has been in the custody of the U.S. Marshals Service since his arrest in Rincon, Georgia on June 21, 2013.
According to court documents, an agent with the Federal Bureau of Investigation conducted an investigation to identify individuals, in Jacksonville, who were trading images and videos depicting child pornography over the Internet. The agent determined that a computer using a particular Jacksonville Internet Protocol (IP) address was hosting child pornography. The agent was able to download several videos of prepubescent children engaged in sexually explicit conduct from this host computer. Further investigation revealed that the subscriber information for this IP address resolved to a residence in Jacksonville, where Stevenson was living. On January 31, 2013, FBI agents and other officers executed a federal search warrant at this Jacksonville residence.
During an interview, Stevenson stated that he had been viewing and downloading child pornography for at least three years. He described his activities with child pornography as "interesting, curious, and novel," and stated that he downloads and watches child pornography for his “personal use.” Subsequent forensic analysis of Stevenson's two laptop computers seized from the residence revealed that they contained a total of at least 24 videos and 51 images depicting child pornography.
This case was investigated by the Federal Bureau of Investigation and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
Georgia Husband and Wife Tax Return Preparers Sent to Prison for Tax FraudRead the Press Release
Detrick and Natashia Tucker, a husband and wife who owned and operated a tax preparation business named T&T Express Tax located in Pine Mountain, Ga., were sentenced to serve 12 months and one day and 46 months in prison, respectively, for crimes relating to the preparation of false tax returns, announced Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division and U.S. Attorney Michael J. Moore for the Middle District of Georgia. Detrick Tucker previously pleaded guilty to aiding and assisting in the preparation of false tax returns and Natashia Tucker pleaded guilty to conspiring to defraud the United States by filing false tax returns. Natashia Tucker was ordered to pay $1,483,025 in restitution and Detrick Tucker was ordered to pay restitution in the amount of $66,235.
According to court documents, the Tuckers conspired to fraudulently inflate refunds on their clients’ tax returns in order to increase the popularity of T&T Express Tax and secure more business. Detrick Tucker contributed to the conspiracy by registering T&T Express Tax with the Internal Revenue Service (IRS) so that the false returns could be electronically filed and by performing managerial duties. He also knowingly allowed Natashia Tucker to use his IRS registration numbers to file her own false tax returns. As the main tax return preparer at T&T Express Tax, Natashia Tucker prepared the majority of the false returns at the business. She primarily obtained the artificially high refunds by abusing the Earned Income Tax Credit and by creating false business information for her clients. During its three years of operation, T&T Express Tax filed at least 268 fraudulent federal tax returns that claimed over $1,000,000 in false refunds.
The case was investigated by special agents of the IRS-Criminal Investigation and the Georgia Department of Revenue. Trial Attorneys Alexander Effendi and Charles Edgar Jr. of the Tax Division prosecuted the case.
Georgia Husband and Wife Tax Return Preparers Sent to Prison for Tax FraudRead the Press Release
WASHINGTON – Detrick and Natashia Tucker, a husband and wife who owned and operated a tax preparation business named T&T Express Tax located in Pine Mountain, Ga., were sentenced to serve 12 months and one day and 46 months in prison, respectively, for crimes relating to the preparation of false tax returns, announced Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division and U.S. Attorney Michael J. Moore for the Middle District of Georgia. Detrick Tucker previously pleaded guilty to aiding and assisting in the preparation of false tax returns and Natashia Tucker pleaded guilty to conspiring to defraud the United States by filing false tax returns. Natashia Tucker was ordered to pay $1,483,025 in restitution and Detrick Tucker was ordered to pay restitution in the amount of $66,235.According to court documents, the Tuckers conspired to fraudulently inflate refunds on their clients’ tax returns in order to increase the popularity of T&T Express Tax and secure more business. Detrick Tucker contributed to the conspiracy by registering T&T Express Tax with the Internal Revenue Service (IRS) so that the false returns could be electronically filed and by performing managerial duties. He also knowingly allowed Natashia Tucker to use his IRS registration numbers to file her own false tax returns. As the main tax return preparer at T&T Express Tax, Natashia Tucker prepared the majority of the false returns at the business. She primarily obtained the artificially high refunds by abusing the Earned Income Tax Credit and by creating false business information for her clients. During its three years of operation, T&T Express Tax filed at least 268 fraudulent federal tax returns that claimed over $1,000,000 in false refunds.
The case was investigated by special agents of the IRS-Criminal Investigation and the Georgia Depatment of Revenue. Trial Attorneys Alexander Effendi and Charles Edgar Jr. of the Tax Division prosecuted the case.
Inquiries regarding the case should be directed to Pamela Lightsey, United States Attorney's Office at (478) 621-2603.
Four Gang Members Found Guilty of Taking Part in Conspiracy That Led to Murders, Shootings and Other Violence-One Murder Took Place Outside A Funeral in Northwest Washington-Read the Press Release
WASHINGTON – Four members of a criminal street gang based at 14th and Girard Streets in Northwest Washington have been found guilty by a jury of murder and other charges stemming from a conspiracy to assault, kill, and threaten their rivals and obstruct justice.
The guilty verdicts were announced today by U.S. Attorney Ronald C. Machen Jr., Cathy L. Lanier, Chief of the Metropolitan Police Department, and Robert D. MacLean, Acting Chief of the U.S. Park Police.
The defendants, all from Washington, D.C., include Robert Givens, 21; Keir Johnson, 24; Lester Williams, 26, and Marcellus Jackson, 25. The guilty verdicts followed nearly four months of trial in the Superior Court of the District of Columbia. Givens, Johnson and Williams were found guilty on March 21, 2014, of murder and other offenses. Jackson was found guilty on the same date of conspiracy and related offenses. The jury then continued deliberations of other charges against Jackson, finding him guilty on March 24, 2014 of assault with a dangerous weapon and related charges. Today, the jury found him guilty of a second-degree murder charge.
The Honorable Lynn Leibovitz scheduled sentencing for June 13, 2014. The defendants, who have been in custody since their arrests, face decades in prison.
The 14th and Girard gang, also known as G-Rod, 1-4, and the Cut Crew, was centered in the areas of 14th and Girard and 14th and Fairmont Streets NW. The group was engaged in a longstanding conflict with rival crews, especially ones that were based in the areas of 17th and Euclid Streets NW and the 600 block of Morton Street NW. The gang’s victims included Sean Robinson, 18, who was killed in the parking lot of a school in August 2010, and Jamal Coates, 21, who was killed following a funeral in September 2010.
“During a four-month trial, this jury learned about the outrageous gang violence that culminated with the brazen daylight murder of 21-year-old Jamal Coates at a busy U Street intersection,” said U.S. Attorney Machen. “That murder came just a month after this gang killed a teenager in a school parking lot. These guilty verdicts send a clear message about our community’s refusal to tolerate gang violence. In the District, we hold accountable the crew members who try to spread chaos and fear throughout our neighborhoods.”
“These verdicts are a reminder to our community that every sector and department of the criminal justice system will make every effort and exhaust its resources to ensure that our streets are safer by eradicating violent street gangs,” said Police Chief Lanier. “Violence will not be tolerated, regardless of the intended recipient. I applaud all the hard work and collaboration of every agency involved in making today’s verdicts possible.”
Givens was found guilty of second-degree murder while armed in the slaying of Mr. Robinson, as well as a charge of assault with a dangerous weapon involving a second victim shot at the scene. He also was found guilty of conspiracy, firearms offenses, and charges that he committed the crimes for the benefit of a criminal street gang.
Johnson and Williams were each found guilty of first-degree murder while armed in the killing of Mr. Coates. They also were found guilty of assault with intent to kill in the shooting of another individual in that attack, as well as assault with a dangerous weapon for firing upon a third person that day. Johnson and Williams also were found guilty of conspiracy, firearms offenses, and charges that they committed the crimes for the benefit of a criminal street gang. Finally, Johnson also was found guilty of a charge of assault with intent to kill while armed stemming from a separate attack in June 2010 in which a man was wounded.
In addition to conspiracy, Jackson was found guilty of second-degree murder in the slaying of Mr. Coates, assault with a dangerous weapon involving an attack against one of the individuals with Mr. Coates, and charges that he committed the offenses for the benefit of a criminal street gang.
According to the government’s evidence, the shootings resulted from a longstanding conflict with rival crews. The government presented evidence of these and other crimes:
June 27, 2010: Johnson chased, shot, and attempted to kill a rival crew member in the parking lot of a gas station in the 3400 block of Georgia Avenue NW.
Aug. 11, 2010: Givens and others committed the murder of Mr. Robinson, who lived in the area of 17th and Euclid Streets, as well as the shooting of two 14-year-olds who were with him while they stood together in the parking lot of a school in the 2600 block of Mozart Street NW.
Sept. 28, 2010: Johnson and Williams committed the murder of Mr. Coates, a rival crew member, near 13th and U Streets NW, during the funeral procession for a young female with family ties to the rival crew. In addition to shooting Mr. Coates, Williams and Johnson shot a second person in the attack and fired upon a third individual. Jackson provided assistance to Johnson and Williams.
After the funeral shooting, the defendants took many steps to attempt to obstruct justice and avoid prosecution, such as trying to find and locate witnesses and in the case of two of the defendants, fleeing to North Carolina.
The men were indicted in December 2011, following an investigation by the Metropolitan Police Department, the U.S. Park Police, and the Drug Enforcement Administration. Two other members of the crew earlier pled guilty to charges stemming from their violent conduct.
In announcing the verdicts, U.S. Attorney Machen, MPD Chief Lanier, and Acting U.S. Park Police Chief MacLean thanked those who investigated the case from theMPD, the Park Police, and the DEA. They also expressed appreciation for the assistance provided by the U.S. Marshals Service; the FBI/MPD Safe Streets Task Force; the U.S. Postal Inspection Service; the FBI Cellular Analysis Survey Team; the FBI Digital Forensic and Analysis Section; the U.S. Secret Service Forensic Sciences Division; the District of Columbia Department of Corrections Office of Investigative Services; the District of Columbia Department of Forensic Sciences; the Washington D.C./Baltimore High Intensity Drug Trafficking Area; the Alexandria, Va. Police Department; the Marlboro County, S.C. Sherriff’s Office, and the Miami-Dade County State’s Attorney’s Office. They also acknowledged the assistance of Bruce Budowle, PhD, executive director of the University of North Texas Health Science Center’s Institute of Investigative Genetics.
They expressed appreciation for the efforts of those who worked on the case from the U.S. Attorney’s Office, including former Assistant U.S. Attorneys Sharad Khandelwal and Joseph P. Cooney, who helped secure the indictment; Assistant U.S. Attorney Kacie Weston, who assisted with trial preparation; Assistant U.S. Attorneys Chrisellen Kolb and David Goodhand who assisted with legal analysis; and Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation. In addition, they acknowledged the work of Legal Assistants Kendra Johnson, Marian Russell, Sharon Newman, Kwasi Fields, Philip Aronson, and Benjamin Kagan-Guthrie; former Intelligence Analyst Lawrence Grasso; Intelligence Analyst Zachary McMenamin; Information Technology Specialist Leif Hickling; Victim/Witness Security Specialists Michael Hailey, M. Laverne Forrest, Debra Cannon, Tanya Via, and Katina Adams; Victim/Witness Advocate Marcia Rinker; and Criminal Investigators Durand Odom, Tommy Miller, Mark Crawford, and Christopher Brophy.
Finally, they expressed appreciation for the work of Assistant U.S. Attorneys Todd Gee, Emily Miller, Laura Bach, and Deborah Sines, who prosecuted the case.
14-070Fort Worth Man Guilty in Extensive Mortgage Fraud Scheme, Federal Income Tax ViolationsRead the Press Release
Department of Justice
Office of Public AffairsPLANO, Texas - A 64-year-old Fort Worth man has pleaded guilty to mortgage fraud and federal income tax violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Lawrence Michael Day pleaded guilty to conspiracy to commit mail and wire fraud affecting a financial institution today before U.S. Magistrate Judge Don Bush. Day also pleaded guilty today to an Information charging him with two counts of tax fraud.
According to information presented in court, from 2005 to 2008, Day conspired with others to defraud lending institutions by providing fraudulent documents and causing residential loans to be provided based on the fraudulent information. One such property was located on Carlton Court in McKinney, Texas. A total of 28 properties located in Cedar Hill, Cresson, Dallas, Euless, Fairview, Fort Worth, Frisco, Heath, Hurst, McKinney, Murphy, Plano, Prosper, and Watauga, Texas, were involved in the scheme. Based on this criminal activity, Day personally gained $1,877,032.56.
On Apr. 11, 2013, a federal grand jury indicted Day and five others for their participation in this mortgage fraud scheme. Co-defendants Donna Shirley Cobb, 53, of Aledo, Texas; Michael Jerome Edwards, 41, of Lewisville, Texas; Scott Cameron Sherman, 38, of Mansfield, Texas; and Donald Lee Mattox, 41, of McKinney, Texas, have all pleaded guilty in this scheme and are awaiting sentencing.
This law enforcement action is part of President Barack Obama’s Financial Fraud Enforcement Task Force.
President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.
In another scheme, on Oct. 8 2008, Day claimed a refund of $981,952 on his 2006 federal income tax return to which he knew he was not entitled. On Oct. 10, 2008, Day claimed a refund of $2,895,041 on his 2007 federal income tax return to which he knew he was not entitled. Day prepared and submitted fraudulent Forms 1099-OID worksheets in support of both fraudulent federal income tax returns.
Day faces up to 30 years in federal prison for the mortgage fraud violation and has agreed to submit to forfeiture of $1,877,032.56. He also faces up to three years in federal prison and a fine of up to $100,000 for each of the tax fraud violations. A sentencing date has not been set.These cases are being investigated by the Federal Bureau of Investigation, the Federal Housing Finance Agency – Office of Inspector General, and the Internal Revenue Service-Criminal Investigation. These cases are being prosecuted by Assistant U.S. Attorneys Christopher A. Eason and J. Andrew Williams.
####Former Youth Director and Parish Outreach Coordinator Sentenced for Distribution of Child PornographyRead the Press Release
ATLANTA – Kevin Hickey, a former church youth director and Director of Parish Outreach for Life Teen International, has been sentenced to ten years in federal prison for distributing child pornography.
“This Defendant was entrusted with counseling and protecting children, but instead collected and distributed highly graphic images portraying their sexual exploitation and abuse” said United States Attorney Yates. “We will to continue to aggressively prosecute those who pose such a great threat to our children.”
“HSI puts special emphasis on investigating consumers of child pornography who have access to children through positions of trust,” said Special Agent in Charge Brock D. Nicholson, Homeland Security Investigation (HSI) Atlanta. “My special agents, our law enforcement partners and prosecutors at all levels are engaged in a relentless pursuit of child pornographers. By putting men like Kevin Hickey behind bars, I have no doubt that we are saving innocent children from the trauma of rape and exploitation.”
According to United States Attorney Yates, the criminal indictment, and information presented in court: Kevin Hickey was identified as an individual with a sexual interest in children and who collected and distributed child pornography. In June 2013, Hickey, using his online screen name “funguyatl77,” engaged in an online communication, monitored by federal agents, in which he stated that he was watching “perving vids” and offered to share child pornography. On June 3, 2013, Hickey transmitted a video showing two prepubescent males being sodomized by an adult male. Hickey further displayed photographs of children he took surreptitiously in public places and was heard gratifying himself sexually during the online conversation. A subsequent investigation by Homeland Security Investigations agents led them to Hickey and to Hickey’s home, where he maintained his computer and engaged in the collection and distribution of these pornographic images. Thousands of images of child exploitation have been located on Hickey’s electronic devices.
Hickey, 39, of Atlanta, Ga., was sentenced by United States District Judge Timothy C. Batten, Sr. to ten years in prison to be followed by lifetime supervised release. He was ordered to pay $1,000 in restitution, and a $100 special assessment. The defendant will be required to register as a sex offender when he is released from prison.
This case was investigated by Homeland Security Investigations, Immigration and Customs Enforcement.
This case is being 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 U.S. Attorneys’ Offices, 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.
Assistant United States Attorney Jill E. Steinberg is prosecuting the case.
For further information, please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney’s Office for the Northern District of Georgia is www.justice.gov/usao/gan.
Former Wells Resident Sentenced to 18 Months for Failure to Register as a Sex OffenderRead the Press Release
Contact: James W. Chapman, Jr.
Assistant U.S. Attorney
Tel: (207) 780-3257Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Robert
Wayne Lyon, age 27, formerly of Wells, was sentenced in U.S. District Court in Portland by
Judge Nancy Torresen to eighteen months in prison, followed by five years of supervised release, for failing to register as a sex offender. Lyon pled guilty to this offense on October 29, 2013.According to court records, in 2007 the defendant pled guilty in Arizona to Sexual
Conduct with a Minor, a crime that required him to register as a sex offender under state and federal law upon his release from jail. In 2009, when he updated his registration in Arizona, he acknowledged that he understood that his obligation to register as a sex offender was a lifetime requirement and that if he moved to another state, he had to comply with the registration requirements of that state. Soon thereafter, Lyon left Arizona and moved to Arkansas and then
Missouri before arriving in Maine in 2012 without ever registering as a sex offender in any of those states. Federal authorities arrested Lion on July 2, 2013.This case was investigated by the Wells Police Department and the U.S. Marshals
Service.Former Senior Vice President of Marketing at A&P Admits Wire FraudRead the Press Release
NEWARK N.J. – The former senior vice president of marketing at A&P, a U.S. supermarket and liquor store chain, today admitted his role in a scheme to defraud A&P by selling for personal gain event tickets that were intended for A&P’s use, U.S. Attorney Paul J. Fishman announced.
John R. Moritz, 44, of Mason, Ohio, pleaded guilty before U.S. District Judge Kevin McNulty to an information charging him with one count of wire fraud.
According to documents filed in this case and statements made in court:
From December 2010 through December 2011, Moritz worked at A&P, a U.S. supermarket and liquor store chain that is headquartered in Montvale, N.J. He arranged for A&P to purchase thousands of tickets to sporting events, concerts and other shows that were to be used to reward high-performing A&P employees and for other legitimate business purposes. However, Moritz resold more than 7,000 tickets to third parties over the internet, without A&P’s knowledge or consent. Some of these tickets were for the 2011 Super Bowl, the 2011 New York Yankees playoffs and Bon Jovi, Lady Gaga and U2 concerts. He admitted that as a result of his conduct, he fraudulently obtained $1,218,192.
The fraud count carries a maximum potential penalty of 20 years in prison and up to a $250,000 fine. Sentencing is scheduled for July 9, 2014.
U.S. Attorney Fishman credited special agents of the FBI in Newark, under the direction of Special Agent in Charge Aaron T. Ford, for the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Lakshmi Srinivasan Herman of the U.S. Attorney’s Office Economic Crimes Unit in Newark and Evan Weitz of the Asset Forfeiture and Money Laundering Unit.
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Defense Counsel: Lawrence S. Feld Esq. and Paul Silverman Esq. New York
Former Post Office Manager Gets 4 Years Probation for Misusing Funds, Stealing from MailRead the Press Release
PITTSBURGH – A former U.S. Post Office employee was sentenced today in federal court to four years probation and restitution of $5,729.65 on her convictions of misappropriation of postal funds and theft of mail by a postal employee, United States Attorney David J. Hickton announced today.
Senior United States District Court Judge Donetta W. Ambrose imposed sentence upon Jennifer M. Soltis.
According to information presented to the court, from Oct. 8, 2012 to Jan. 9, 2013, Soltis, while employed as the Acting Officer in Charge with the United States Postal Service at the Smock, Pa., post office, converted to her own use, postal money orders, stamps and cash having a total value of $5,729.65. On Dec. 9, 2012, Soltis also embezzeled a Wal-Mart gift card from an item of mail.
Assistant United States Attorney Mary McKeen Houghton prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the United States Postal Service, Office of Inspector General, for the investigation that led to the successful prosecution of Soltis.
Former Police Officer Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, announced that ANDREW W. NIELSEN, 49, of South Windsor, pleaded guilty today before Senior U.S. District Judge Alfred V. Covello in Hartford to one count of possession of child pornography.
According to court documents and statements made in court, between November 2010 and April 2011, NIELSEN purchased several DVDs containing child pornography, including depictions of prepubescent minors, from a foreign company and had them shipped to his residence. NIELSEN was arrested on November 1, 2012. On that date, law enforcement executed a court-authorized search warrant at NIELSEN’s residence and seized several of the DVDs that he had ordered.
NIELSEN was a police officer with the East Hartford Police Department at the time of the offense. He resigned from the police department after his arrest.
Judge Covello scheduled sentencing for June 18, 2014, at which time NIELSEN faces a maximum term of imprisonment of 10 years and a fine of up to $250,000.
NIELSEN has been released on bond under electronic monitoring by the United States Probation Office since November 2012.
This matter is being investigated by the United States Postal Inspection Service. The case is being prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
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U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Former New York Attorney Sentenced to Fifty Months in PrisonRead the Press Release
SAN FRANCISCO – Leigh E. Sprague was sentenced yesterday to fifty months in prison and ordered to pay $1.4 million in restitution after being convicted of transporting stolen money in foreign commerce, announced United States Attorney Melinda Haag and FBI Special Agent in Charge David J. Johnson.
Sprague, 43, of Fort Atkinson, Wis., pleaded guilty on Dec. 16, 2013, to transporting more than $5 million of stolen funds in foreign commerce. According to court records, Sprague graduated from Columbia Law School and then worked in two large law firms in New York, eventually transferring to a law firm’s Moscow office. After leaving the law firm, in 2007 he joined United Company Rusal in Moscow, where he served as the Head of the Corporate Finance Unit until he was fired in April 2011.
In June 2010, Sprague incorporated a shell corporation set up in the Republic of Seychelles. Although Sprague owned and managed the shell corporation, he forged a stock certificate falsely reflecting that the shell corporation was owned by his employer. After setting up a bank account in Geneva, Switzerland, in the name of the shell company, Sprague falsely represented to Goldman Sachs that he was authorized to direct Goldman to liquidate $10 million of an asset belonging to Sprague’s corporate employer. Relying on Sprague’s false statements and forged documents, Goldman liquidated $10 million of the asset and paid that amount into the shell company’s Swiss bank account.
According to court records, Sprague then transferred the funds to bank accounts he controlled in various parts of the world, including Belize, Switzerland, Hong Kong, and the United States. He also used the money on lavish personal expenditures, including more than $800,000 on rare collectors’ automobiles, remodeling an ocean-view home he owned in Malibu, Calif., and paying off significant credit card bills. Several months after stealing the $10 million, Sprague allegedly tried to have Goldman liquidate an additional $5 million through the same scheme. Goldman and Sprague’s employer discovered the scheme, however, and did not transfer this money. Sprague then allegedly fled from Moscow.
Sprague transferred more than $5 million of the stolen money to the United States. According to court records, Sprague then tried to transfer much of that money to an account in Belize, but he failed. Law enforcement authorities seized more than $6 million of the stolen funds as well as many luxury collector automobiles Sprague had purchased with the stolen funds. In all, law enforcement authorities and Sprague’s employer have recovered approximately $8.5 million of the $10 million Sprague diverted.
Sprague, formerly resided in New York, N.Y., and in Moscow, Russia. The United States Attorney’s Office filed an Information on Oct. 30, 2013, charging Sprague with one count of transporting stolen money in foreign commerce, in violation of Title 18, United States Code, Section 2314.
The sentence was handed down by the Honorable Thelton E. Henderson, United States District Court Judge, following Sprague’s guilty plea. Judge Henderson also sentenced the defendant to a three-year period of supervised release and ordered Sprague to pay $1,416,260.85 in restitution. The defendant will begin serving the sentence on May 5, 2014.
Doug Sprague and Patricia Kenney are the Assistant U.S. Attorneys who are prosecuting the case with the assistance of Rayneisha Booth. The prosecution is the result of an investigation by the Federal Bureau of Investigation.
(Sprague indictment )