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Wednesday 15 January 2014
San Antonio Drug Trafficker Sentenced to 30 Years in Federal PrisonRead the Press Release
In Del Rio today, 27-year-old Lauro Beltran of San Antonio was sentenced to 30 years in federal prison for cocaine trafficking announced U.S. Attorney Robert Pitman and Homeland Security Investigations Special Agent in Charge Janice Ayala.
In addition to the prison term, U.S. District Judge Alia Moses ordered that Beltran pay a $5,000 fine and be placed under supervised release for a period of five years after completing his prison term.
In July 2013, a federal jury convicted Beltran of one count of conspiracy to possess with intent to distribute over five kilograms of cocaine. Evidence presented during trial revealed that from March 2011 to May 2013, Beltran was responsible for recruiting individuals to transport cocaine from the interior of Mexico into the United States, where it was distributed to locations including Chicago, IL, and Miami, FL. In March 2011, state authorities in Missouri arrested Beltran while he was driving a vehicle which contained $578,328.00 in United States Currency. Authorities seized, and subsequently forfeited, the money believed to be proceeds of drug distribution. At sentencing, Beltran was held accountable for distributing over 150 kilograms of cocaine during the course of the conspiracy.
This case resulted from an investigation by Homeland Security Investigations (HSI) together with the Drug Enforcement Administration and the Phelps County (MO) Sheriff’s Office. Assistant U.S. Attorney Lewis Thomas prosecuted this case on behalf of the Government.
Rigby Man Admits Unlawfully Possessing FirearmRead the Press Release
POCATELLO — Gary Wallace Hoffman, 50, of Rigby, Idaho, pleaded guilty today to unlawful possession of a firearm, U.S. Attorney Wendy J. Olson announced. Hoffman was indicted by a federal grand jury in Pocatello on May 29, 2013.
According to the plea agreement, on May 29, 2012, Hoffman sold .81 grams of methamphetamine and a 9 millimeter Glock pistol to another individual in Rexburg, Idaho. Hoffman received $120 for the methamphetamine and $580 for the firearm. Hoffman is prohibited from possessing firearms due to a drug conviction in Bonneville County, Idaho, in 2004.
The charge of unlawful possession of a firearm is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
Sentencing is set for April 10, 2014, before U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Madison County Sheriff’s Office, with the assistance of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Results Announced for Operation Broken Mailbox That Targeted Bulk Mail TheftRead the Press Release
SACRAMENTO, Calif. — U.S. Attorney Benjamin B. Wagner and Deputy Chief Postal Inspector for Western Field Operations Dr. Gregory Campbell Jr. announced the results to date of Operation Broken Mailbox, an ongoing effort involving a surge of postal inspectors and analysts working with local law enforcement partners to investigate and prosecute stolen mail offenses.
Operation Mailbox was initiated following postal customer complaints about mail thieves who were attacking collection boxes via “fishing” techniques, prying open boxes in post office lobbies, breaking into postal delivery trucks, and counterfeiting postal keys to compromise collection boxes and Neighborhood Delivery Centralized Box Units (NDCBUs). The Postal Inspection Service deployed postal inspectors and analysts with strong mail theft investigation backgrounds from around the country to the Eastern District of California beginning in April 2013 to work with postal inspectors already assigned to Sacramento, Fresno, and Bakersfield.
In less than a year, the teams completed investigations leading to federal indictments against 21 defendants. Nine of these defendants have already been sentenced, and six more are awaiting sentencing after pleading guilty. In addition, at least six more persons have been charged by District Attorneys in Kern County and Sacramento County. Operation Broken Mailbox is still underway, and more prosecutions are anticipated.
“Protecting the security of the U.S. Mails, and protecting mail customers from the loss of valuable items and personal identity information, is an important responsibility of the U.S. Postal Inspection Service and of this office,” said U.S. Attorney Wagner. “I appreciate the responsiveness the Postal Inspection Service has shown in devoting resources to address this problem in the Central Valley. I also want to thank our local law enforcement partners for working so effectively with us in this effort.”
Deputy Chief Postal Inspector Campbell stated: “We work closely with the U.S. Attorney’s Office and our partners in law enforcement to arrest and prosecute those who steal mail for criminal gain. A primary goal of the Postal Inspection Service is to protect postal customer’s mail and ensure that their mail is safe from theft.”
Among the cases developed in the course of the operation were the following:
• Sacramento: Postal inspectors secured indictments of three defendants who obtained stolen mail by breaking into NDCBUs in Elk Grove and Sacramento. One of the defendants used her position as a sales clerk at a retail establishment to open fraudulent accounts and use account information obtained from stolen mail. Postal inspectors also secured indictments of five other defendants conducting NDCBU break-ins in Rancho Cordova, Elverta, Rocklin, Roseville, Natomas, Rio Linda, Elkhorn, and Antelope. Several search warrants resulted in the recovery of hundreds of pieces of stolen mail and stolen postal keys.
• Fresno: Postal inspectors conducted a probation search on a recidivist believed to be involved in NDCBU break-ins in Fresno and Madera and recovered stolen mail and six counterfeit postal keys.
• Bakersfield: Postal inspectors identified a collection box fishing group and conducted surveillance that resulted in the arrest of three defendants for mail theft. Searches subsequent to the arrests recovered a large volume of stolen mail and several postal keys. The investigation resulted in the indictment of five suspects.
To date, Operation Broken Mailbox resulted in at least 22 arrests, 33 searches, the recovery of ten counterfeit or stolen postal keys, and the identification of more than 2,100 victims and nearly $400,000 in losses. The U.S. Postal Inspection Service worked closely with several law enforcement agencies, including the Sacramento Police Department, The Bakersfield Police Department, the Elk Grove Police Department, the Kern County Sheriff’s Office, and the Placer County Sheriff’s Office. The work of Operation Broken Mailbox is ongoing.
Resultados Anunciados Para La Operacion Buzon Roto Enfocada En Los Robos De Correo MasivoRead the Press Release
SACRAMENTO, Calif. - El procurador federal Benjamin B. Wagner y el Jefe Adjunto Inspector Postal para las Operaciones del Campo Occidental Dr. Gregory Campbell Jr. anunciaron los resultados obtenidos hasta el momento por la Operación Buzón Roto, un esfuerzo continuo en el que participa una creciente cantidad de inspectores postales y analistas trabajando en colaboración con las fuerzas del orden público para investigar y procesar infracciones de correo robado.
La Operación Buzón comenzó luego de las quejas de un cliente postal sobre ladrones de correo que estaban atacando buzones de recolección por medio de técnicas de “pesca”, fisgoneando buzones abiertos en los vestíbulos de las oficinas postales, irrumpiendo en camiones de repartición de correo y falsificando llaves postales para poner en peligro los buzones de recolección y Unidades de Buzones de Entrega Centralizada de Barrio (NDCBUs). El Servicio de Inspección Postal ocupó en el Distrito Oriental de California a inspectores postales y analistas de todo el país con fuerte experiencia en investigación de robo de correo para que comenzaran en abril de 2013 a trabajar con inspectores postales ya asignados a Sacramento, Fresno y Bakersfield.
En menos de un año, los equipos completaron las investigaciones que llevaron a la imputación de cargos contra 21 acusados. Nueve de estos acusados ya han sido sentenciados y seis màs estàn esperando la sentencia después de declararse culpables. Adicionalmente, al menos otras seis personas han sido acusadas por fiscales en los condados de Kern y de Sacramento. La Operación Buzón Roto continúa en marcha y se esperan màs acusaciones.
“Proteger la seguridad del correo de los Estados Unidos y proteger a los clientes del correo de la pérdida de objetos valiosos e información de identidad personal es una responsabilidad importante del Servicio de Inspección Postal de los Estados Unidos y de su oficina”, dijo el procurador Wagner. “Aprecio la receptividad que el Servicio de Inspección Postal ha mostrado en entregar recursos para abordar este problema en el Central Valley. También quiero agradecer a nuestros socios de las fuerzas del orden público por trabajar de una manera tan efectiva con nosotros en este esfuerzo”.
El jefe adjunto inspector postal Campbell afirmó: “Trabajamos de cerca con la Procuraduría y con nuestros socios en la fuerza de orden público para arrestar y procesar a quienes roban correo con fines criminales. Una meta principal para el Servicio de Inspección Postal es proteger el correo de los clientes postales y asegurar que su correo se encuentre a salvo de robo”.
Entre los casos que surgieron durante la operación se encuentran los siguientes:
• Sacramento: Los inspectores postales aseguraron la imputación de cargos a tres acusados que obtuvieron correo robado tras forzar las NDCBU en Elk Grove y Sacramento. Una de las acusadas usó su trabajo como vendedora en un establecimiento para abrir cuentas fraudulentas y usar la información de cuentas que obtuvo de correo robado. Los inspectores postales también aseguraron la imputación de cargos de otros cinco acusados que forzaron en Rancho Cordova, Elverta, Rocklin, Roseville, Natomas, Rio Linda, Elkhorn y Antelope. Varias órdenes de registro resultaron en la recuperación de cientos de piezas de correo robado y llaves postales robadas.
• Fresno: Los inspectores postales llevaron a cabo el registro a un reincidente que se encontraba en libertad bajo palabra y que presuntamente està involucrado en forzar NDCBU en Fresno y Madera, y recuperaron correo robado y seis llaves postales falsificadas.
• Bakersfield: Los inspectores postales identificaron un grupo que pescaba buzones de recolección y llevaron a cabo vigilancia que dio como resultado el arresto de tres acusados por robo de correo. Los registros subsecuentes a los arrestos recuperaron un gran volumen de correo robado y varias llaves postales. La investigación resultó en la imputación de cinco sospechosos.
A la fecha, la Operación Buzón Roto dio como resultado al menos 22 arrestos, 33 registros, la recuperación de diez llaves robadas o falsificadas y la identificación de màs de 2,100 víctimas y casi $400,000 en pérdidas. El Servicio de Inspección Postal trabajó de cerca con varias agencias del orden público, incluyendo el Departamento de Policía de Sacramento, el Departamento de Polícia de Bakersfield, el Departamento de Polícia de Elk Grove, la Oficina del Alguacil del Condado de Kern y la Oficina del Alguacil del Condado de Placer. El trabajo de la Operación Buzón Roto continúa.
Postal Employee Charged with Stealing $50 Bill and A Gift CardRead the Press Release
PITTSBURGH – An employee of the United States Postal Service has been indicted by a federal grand jury in Pittsburgh on a charge of theft of mail by postal employee, United States Attorney David J. Hickton announced today.
The one-count indictment, returned on Jan. 14, named Sara M. Dewall, 32, of North Versailles, Pa.
According to the indictment presented to the court, Sara M. Dewall, while employed by the U.S. Postal Service, embezzled an envelope containing a $50 United States Note and a grocery store gift card.
The law provides for a maximum total sentence of five years in prison, a fine of $250,000.00 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar 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.
Pittsburgh Man Made and Passed Fake Prescriptions to Obtain OxycodoneRead the Press Release
PITTSBURGH - A Pittsburgh resident has pleaded guilty in federal court to a charge of violating federal narcotic laws, United States Attorney David J. Hickton announced today.
Brett Farrell, 31, pleaded guilty to one count before United States District Judge Maurice Cohill.
In connection with the guilty plea, the Court was advised that from June 2011 to May, 2012, Farrell, acting together with others, created fraudulent oxycodone prescriptions on his home computer. Farrell then passed these fraudulent prescriptions at area pharmacies, from whom he obtained oxycodone, which is a Schedule II controlled substance. Farrell primarily obtained this oxycodone for personal use, but he also sold small quantities of oxycodone to other addicts.
Judge Cohill scheduled sentencing for April 24, 2014, at 2:00 p.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 is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Eric S. Rosen is prosecuting this case on behalf of the government.
The Drug Enforcement Administration conducted the investigation that led to the prosecution of Brett Farrell.
Pittsburgh Jewelry Store Owner Failed to File IRS Report of $10,000+ TransactionRead the Press Release
PITTSBURGH - A downtown Pittsburgh jeweler pleaded guilty in federal court on Tuesday to a charge of failing to file a report of currency received by non-financial business, United States Attorney David J. Hickton announced today.
Alan Kashi, 32, of Pittsburgh, Pa., pleaded guilty to one count before United States District Judge Gustave Diamond.
In connection with the guilty plea, the court was advised that on March 13, 2012, Kashi, who was engaged in the jewelry business known as Kashi Jewelers, for the purpose of evading federal reporting requirements, failed to file an Internal Revenue Service Form 8300, Report of Cash Payments Over $10,000 Received in a Trade or Business, following the receipt of approximately $12,500 in currency as payment for a Breitling watch.
A civil forfeiture complaint filed in July 2013 alleged that the owners and/or employees of Kashi Jewelers conducted financial transactions involving the proceeds of drug trafficking. Pursuant to a stipulation, Alan Kashi and his family members ultimately agreed to forfeit $933,075 to the federal government, and the court issued its final order of forfeiture on Dec. 19, 2013.
“This important case highlights the use of asset forfeiture as a resource in our effort to stop the illegal flow of drugs in our communities,” said U.S. Attorney Hickton. “By freezing and forfeiting assets of a jewelry store used by drug dealers to launder their drug monies, we have taken another step to make our community safer and put about a million dollars in the federal treasury.”
Judge Diamond scheduled sentencing for May 14, 2014, at 10 a.m. The law provides for a total sentence of five years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the criminal history, if any, of the defendant.
Pending sentencing, the court released Kashi on an unsecured $25,000 bond.
Assistant United States Attorney Carolyn J. Bloch is prosecuting this case on behalf of the government.
The Internal Revenue Service - Criminal Investigation conducted the investigation that led to the prosecution of Alan Kashi.
Pickens Woman Found Guilty of Fema FraudRead the Press Release
Jackson, Miss - On January 10, 2014, after a four day trial, a federal jury found Idella Jones, 47, of Pickens, guilty of theft of government funds, making a false statement, filing a false claim against the United States and disaster relief fraud, announced U.S. Attorney Gregory K. Davis and James E. Ward, Special Agent in Charge of Homeland Security Office of Inspector General.
Jones was indicted for claiming and receiving FEMA disaster relief benefits as a result of tornado damage to a mobile home located in Holmes County, Mississippi. According to the evidence at trial, Jones had moved away from the mobile home in early 1998 but when a tornado destroyed it in 2010, she claimed to have been living there with three of her children. As a result of her false claim, she was paid $29,900 by FEMA to cover rent and a replacement mobile home.
“Whenever a natural disaster strikes, there will always be people willing to take advantage of victim assistance and rebuilding efforts,” said U.S. Attorney Gregory K. Davis. “Those who would try to illegally profit from disasters should know that the United States Attorney’s Office will continue its aggressive prosecution of disaster fraud.”
Homeland Security OIG Special Agent in Charge James E. Ward said: "We all suffer when federal programs are undermined by fraud. Today's conviction should send a clear message that we will continue to identify and prosecute these shameful individuals who attempt to abuse our federal resources and programs. The DHS OIG appreciates the assistance and partnership from USDA OIG and this United States Attorney's Office in pursing this case. In the future, this office will remain vigilant in seeking prosecutions in such cases to uphold the integrity of our Federal Emergency Programs, which are intended for law abiding citizens."
Jones will be sentenced on March 21, 2013 by U.S. District Judge Henry T. Wingate. She faces a maximum penalty of ten years in prison for theft of government funds, ten years for filing a false claim, five years for making a false statement and thirty years for disaster relief fraud.
This case was investigated by the U.S. Department of Homeland Security, Office of Inspector General, with assistance from the Federal Bureau of Investigation and USDA Office of Inspector General. It was prosecuted by Assistant U.S. Attorney Scott Gilbert.If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Our nation-wide commitment to reducing gun crime in America.
Oldsmar Man Sentenced to Prison for Oxycodone DistributionRead the Press Release
Tampa, FL – U.S. District Judge Mary S. Scriven today sentenced Rick Higgins (33, Oldsmar) to two years and nine months in federal prison for conspiracy to distribute Oxycodone. In addition, he was ordered to serve a 3-year term of supervision, following his incarceration. As part of the sentence, the court also entered a money judgment in the amount of $239,000, the proceeds of his Oxycodone distribution.
Higgins pleaded guilty on October 16, 2013.
According to court documents, over a period of two to three years, Higgins used the U.S. mail to send packages of Oxycodone to a co-conspirator in the Boston, Massachusetts area. Higgins received payments of over $239,000 from cash bank deposits made in Massachusetts, into accounts that he controlled.
This case was investigated by the Drug Enforcement Administration and the Pasco County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kelley C. Howard-Allen.
Noveno Tribunal De Circuito De Apelaciones De Los Estados Unidos Desestima Las Demandas Interpuestas En Nombre De Los Dispensarios De MarihuanaRead the Press Release
SACRAMENTO, Calif. - En octubre y noviembre de 2011, fueron interpuestas demandas en cada uno de los cuatro distritos judiciales federales de California buscando detener la ejecución federal de la Ley de Sustancias Controladas contra los dispensarios de marihuana sobre una variedad de fundamentos. Las demandas alegaban que el gobierno federal no podría tomar medidas legales contra los dispensarios porque esa acción es una violación a la Novena y la Décima Enmienda, la Claúsula de Protección de Igualdad y la Claúsula del Comercio. Con procesos judiciales separados en cada distrito, cada uno de los cuatro jueces de los tribunales distritales emitió órdenes desestimando los casos. Los demandantes en tres de esos casos apelaron esas decisiones. Hoy, en un dictamen no publicado, el Circuito Noveno afirmó las desestimaciones de los tres casos.
La Corte del Distrito Oriental de California fue la primera corte distrital en rechazar las demandas de los dispensarios. La acción en el Distrito Oriental fue interpuesta a finales de 2011 por el Sacramento Nonprofit Collective, haciendo negocios como El Camino Wellness Center y Ryan Landers. Fue desestimada por el juez de la Corte del Distrito de Los Estados Unidos, Garland E. Burrell Jr., el 28 de febrero de 2012.
Benjamin Wagner, procurador federal del Distrito Oriental de California dijo: “Nuestra responsabilidad como procuradores es hacer cumplir la Ley de Sustancias Controladas. La decisión de hoy rechazando la demanda del dispensario es una aplicación directa del precedente existente, que solamente confirma que la Ley de Sustancias Controladas continúa estando vigente y vàlida, pese a la ley estatal”.
En la Corte del Distrito de California del Sur, la demanda interpuesta por Alternative Community Health Care Cooperative Inc, fue desestimada el 5 de marzo de 2012 por la juez de la Corte del Distrito de los Estados Unidos Dana M. Sabraw. Laura E. Duffy, la procuradora federal del Distrito del Sur de California dijo: “ La decisión del Noveno Circuito reconoce que los procuradores conservan el derecho de hacer cumplir la Ley de Sustancias Controladas. Continuaremos enfocàndonos en los intereses federales de evaluar los procesos por marihuana en el Distrito de California del Sur, y colaboraremos con nuestro estado y con socios locales para asegurar la seguridad de nuestras comunidades”.
El caso del Noveno Circuito es Sacramento Nonprofit Collective v. Titular Caso No. 12-15991.
Northwest Iowa Trio Sent to Federal Prison for Methamphetamine ConspiracyRead the Press Release
Three people who were part of a methamphetamine manufacturing ring operating in northwestern Iowa were sentenced to a combined 26 years in federal prison.
Chad Root, 42, from Waukon, Iowa, Enrique Manzo, 37, from Fredericksburg, Iowa, and Jessica Manzo, 31, from Fredericksburg, Iowa, received the prison terms after separate guilty pleas. Root pled guilty on August 19, 2013 to conspiracy to manufacture methamphetamine after a prior drug felony conviction, and possession of firearms as a felon. Enrique and Jessica Manzo each pled guilty on October 4, 2013 to conspiracy to possess and distribute pseudoephedrine knowing that it would be used to manufacture methamphetamine.
Court records, along with information disclosed at their guilty plea and sentencing hearings, indicate that Root admitted he and others agreed to manufacture methamphetamine between April 2012 and April 2013. Root also admitted he possessed ten firearms, including one with an obliterated serial number. Root has multiple prior felony convictions. Enrique and Jessica Manzo each admitted that, over approximately the same time period, they obtained pseudoephedrine from other people and provided it for the manufacture of methamphetamine.
All three individuals were sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Enrique Manzo was sentenced on November 26, 2013 to 100 months’ imprisonment. Jessica Manzo was sentenced on January 6, 2014 to 81 months’ imprisonment. Root was sentenced on January 7, 2014 to 141 months’ imprisonment. Each was ordered to pay a special assessment of $100. Enrique and Jessica Manzo must each serve a 3-year term of supervised release after the prison term. Root is required to serve an 8-year term of supervised release. There is no parole in the federal system.
All three are being held in the United States Marshal’s custody until they can be transported to a federal prison.
The cases were prosecuted by Assistant United States Attorney Justin Lightfoot and investigated by the Iowa Division of Narcotics Enforcement, the Iowa State Patrol, the Decorah Police Department, the Monona Police Department, the Waukon Police Department, the Postville Police Department, and the Allamakee County Sheriff’s Office.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number for Chad Root is 13-CR-1007. The case file number for Enrique and Jessica Manzo is 13-CR-2019.
Ninth Circuit Court of Appeals Affirms Dismissal of Lawsuits Filed on Behalf of Marijuana DispensariesRead the Press Release
SACRAMENTO, Calif. — In October and November 2011, lawsuits were filed in each of the four California federal judicial districts seeking to halt federal enforcement of the Controlled Substances Act against marijuana dispensaries on a variety of grounds. The suits claimed that the federal government could not take any legal action against dispensaries because such action was a violation of the Ninth and Tenth Amendments, the Equal Protection Clause and the Commerce Clause. Following separate proceedings in each district, four different district court judges issued orders dismissing the cases. The plaintiffs in three of those cases appealed those decisions. Today, in an unpublished opinion, the Ninth Circuit affirmed the dismissals in all three cases.
The United States Court for the Eastern District of California was the first district court to reject a dispensary’s lawsuit. The Eastern District action was filed at the end of 2011 by Sacramento Nonprofit Collective, doing business as El Camino Wellness Center, and Ryan Landers. It was dismissed by U.S. District Court Judge Garland E. Burrell Jr. on Feb. 28, 2012.
Benjamin Wagner, the United States Attorney for the Eastern District of California, said: “Our responsibility as U.S. Attorneys is to enforce the Controlled Substances Act. Today’s decision rejecting the dispensary’s lawsuit is a straightforward application of existing precedent, which merely confirms that the CSA continues to be in full force and effect, regardless of state law.”
In the United States Court for the Southern District of California, the lawsuit filed by Alternative Community Health Care Cooperative Inc. was dismissed on March 5, 2012 by U.S. District Court Judge Dana M. Sabraw. Laura E. Duffy, the United States Attorney for the Southern District of California said: “The Ninth Circuit’s decision recognizes that U.S. Attorneys retain the right to enforce the CSA. We will continue to focus on federal interests in evaluating marijuana prosecutions in the Southern District of California, and will collaborate with our state and local partners to ensure the safety of our communities.”
The Ninth Circuit case is Sacramento Nonprofit Collective v. Holder,
Case No. 12-15991.Nampa Man Pleads Guilty to Drug ChargeRead the Press Release
BOISE – Anthony Jones, 29, of Nampa, Idaho, pleaded guilty today in United States District Court to distribution of methamphetamine, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, Jones admitted that on November 6, 2012, he sold methamphetamine to a confidential informant.
The charge is punishable by a minimum of five years and up to 40 years in prison, a maximum fine of $5 million, and at least four years of supervised release. Jones is set for sentencing on April 7, 2014, before U.S. District Judge Edward J. Lodge, at the federal courthouse in Boise.
The case was investigated by the Treasure Valley Metro Violent Crimes Task Force, which is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and the Idaho Department of Corrections.
The Organized Crime and Drug Enforcement Task Force (OCDETF) also contributed to the investigation. Federal partners include the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service.
The case is being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Monmouth County, N.J., Man Charged with Possession of Child PornographyRead the Press Release
TRENTON, N.J. – Special agents of the FBI arrested a Monmouth County man at his home this morning after discovering alleged images of child sexual abuse on his computer, U.S. Attorney Paul J. Fishman announced.
Layne Bracht, 31, of Highlands, N.J., is charged by complaint with one count of possessing child pornography. He made his initial court appearance today before U.S. Magistrate Judge Lois H. Goodman in Trenton federal court and was remanded without bail.
According to documents filed in this case and statements made in court:
On Oct. 28, 2013, Bracht allegedly distributed on the Internet via peer-to-peer file sharing software, through which other users had access, a video and images depicting child sexual abuse. Special agents of the FBI executed a search warrant this morning at his residence in Highlands, seizing digital evidence that contained numerous videos and images depicting child sexual abuse, including material involving prepubescent minors and sadistic or masochistic conduct. The digital evidence seized included three files previously downloaded from Bracht by law enforcement agents working in an undercover capacity on the peer-to-peer network.
In 2006, Bracht was arrested and charged with possession of child pornography, a charge to which he subsequently pleaded guilty. On April 2, 2008, U.S. District Judge Joseph E. Irenas sentenced Bracht to 30 months in prison to be followed by five years of supervised release. As a previously convicted sex offender, Bracht faces a mandatory minimum penalty of 10 years in prison, a maximum potential penalty of 20 years in prison and a $250,000 fine if convicted of the possession offense.
U.S. Attorney Fishman credited special agents of the FBI’s Child Exploitation Task Force, under the direction of Special Agent in Charge Aaron T. Ford in Newark, and the Monmouth County Prosecutor’s Office, under the direction of Acting Prosecutor Christopher Grammicioni, with the investigation leading to today’s arrest.
The government is represented by Assistant U.S. Attorney Fabiana Pierre-Louis of the U.S. Attorney’s Office Criminal Division in Trenton.
14-019Defense counsel: Brian P. Reilly Esq., Assistant Federal Public Defender, Trenton
Bracht Complaint
Michigan Man Charged for Possessing 900 Oxycodone PillsRead the Press Release
A federal grand jury returned a one-count indictment charging James E. Wilson, age 42, of Rochester, Michigan, with possession with the intent to distribute approximately 900 pills of Oxycodone, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Wilson was arrested on December 9, 2013 by the Stark Metro Drug Task Force during the execution of a search warrant at Wilson’s hotel room. The search warrant yielded approximately 900 pills of Oxycodone which Wilson had brought to Ohio for sale, according to the indictment.
The indictment resulted from an investigation conducted by the DEA assisted by the Stark Metro Drug Task Force, Jackson Township Police Department, Canton Police Department, Stark County Sheriff’s Office, and the Summit Count Sheriff’s Office Drug Unit. The case is being prosecuted by Assistant U.S. Attorney Teresa Dirksen.
If convicted, Wilson’s sentence will be determined by the Court after review of factors unique to this case, including his prior criminal record, if any, his role in the offenses and the unique characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Mexican National Pleads Guilty to Unlawful Possession of FirearmRead the Press Release
POCATELLO — Rigoberto Torres-Perez, 30, of Idaho Falls, Idaho, pleaded guilty today to unlawful possession of a firearm, U.S. Attorney Wendy J. Olson announced. Torres-Perez was indicted by a federal grand jury in Pocatello on June 25, 2013.
According to the plea agreement, police officers encountered Torres-Perez on November 4, 2012, during a search of another individual’s residence in Idaho Falls. Torres-Perez was in possession of a 9 millimeter pistol with an obliterated serial number. Torres-Perez is prohibited from possessing firearms due to a drug conviction in Arizona in 2006.
The charge of unlawful possession of a firearm is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
Sentencing is set for April 10, 2014, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello.
The case was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Idaho Falls Police Department.
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Meth Lab Fire Sends Dubuque Man to Federal PrisonRead the Press Release
A man who started a fire while trying to manufacture methamphetamine was sentenced on January 13, 2014 to 19 ½ years in federal prison.
Cory Cole, 47, from Dubuque, Iowa, received the prison term after an October 9, 2013 guilty plea to the attempted manufacture of methamphetamine within 1,000 feet of a school.
Information disclosed at the guilty plea and sentencing indicates that Cole admitted he attempted to cook methamphetamine on May 30, 2013, at a Dubuque residence. The methamphetamine lab caused a fire to erupt in the house. Two other individuals—neither of whom were involved in the methamphetamine activity—were present inside the residence. The residence was located within 1,000 feet of Fulton Elementary School.
Cole was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Cole was sentenced to 234 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a 6-year term of supervised release after the prison term. There is no parole in the federal system.
Cole is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Justin Lightfoot and investigated by the Dubuque Drug Task Force, the Dubuque Police Department, and the Dubuque Fire Department.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 13-CR-1015.Malden Man Indicted for Tax CrimesRead the Press Release
BOSTON – A Malden man was charged today with a number of tax crimes stemming from him filing tax returns in the name of a dead relative.
Mark R. Fisette, 53, was indicted for tax evasion and four counts of filing false tax documents. The indictment alleges that Fisette worked as a freelance photographer for various weekly and daily newspapers, and had not timely filed or paid his income taxes. When state and federal taxing authorities began collection efforts, including seizing a paycheck, Fisette provided the newspaper distributor with the name and Social Security number of a deceased relative for future payments for Fisette’s photography services. It is also alleged that Fisette filed false income tax returns and a false financial statement which did not report the income he received in the dead relative’s name.
If convicted, Fisette faces a maximum sentence of five years in prison and three years of supervised release on the charge of tax evasion, and three years in prison and one year of supervised release for the charge of filing false tax documents. Both carry a maximum fine of $250,000 or twice the gain or loss, whichever is greater.United States Attorney Carmen M. Ortiz and John J. Collins, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. The case is being prosecuted by Sandra S. Bower of Ortiz’s Economic Crimes Unit.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Magnolia Man Sentenced in Firearms ConspiracyRead the Press Release
HOUSTON – Daniel Wade Holler, 27, has been sentenced to federal prison for conspiracy to make false written statements to licensed dealers in connection with the acquisition of firearms and being a felon in possession of a firearm, announced United States Attorney Kenneth Magidson. Holler, of Magnolia, pleaded guilty June 28, 2013.
Today, U.S. District Judge Gray Miller ordered Holler to serve a total of 121 months in federal prison to be immediately followed by three years of supervised release.
In September 2011, authorities began to connect several firearms purchases by multiple individuals to Holler. His vehicle had been used during the purchases and ultimately led to the discovery of the overall conspiracy. Some of the co-conspirators had been seen on store surveillances and by witnesses arriving and leaving in a red car. The authorities were able to trace the car back to Holler and connected him to the purchase of 55 firearms by multiple individuals.
Holler’s role in the conspiracy included directing the co-defendants to falsify statements intended to deceive the federal firearms licensees. Each co-conspirator was paid approximately $100-150 dollars per firearm bought and then turned them over to an individual who would send them to Mexico. All nine co-conspirators have pleaded guilty to their roles in this conspiracy.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation and has played an integral role in combatting firearms trafficking between the United States and Mexico.
This case was prosecuted by Assistant United States Attorney Megan J. Paulson.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Louisville Man Sentenced to 20 Years in Prison for Online Enticement of A Minor and Production of Child PornographyRead the Press Release
LOUISVILLE, Ky. – A Louisville Man who pleaded guilty to violating federal child exploitation laws, was sentenced to 20 years in prison, followed by 12 years of supervised release this week, by Senior U.S. District Court Judge Charles R. Simpson, III, announced David J. Hale, United States Attorney for the Western District of Kentucky.
Marvin Duane Monk, age 46, Monk pleaded guilty to a two-count Indictment returned by a federal grand jury on October 2, 2012. Monk was previously charged in a September 6, 2012, Criminal Complaint.
According to court records, on August 19, 2012, Monk’s spouse discovered that he had been engaging in sexual activities with her minor daughter in their Louisville residence. Monk left the residence in Louisville, and moved to a hotel in Clark County, Indiana. Shortly thereafter, he took the minor from Louisville to Indiana with him. Not knowing where her daughter was, the mother contacted the Louisville Metro Police Department and filed a missing person report. She also filed for, and received, an Emergency Protection Order (EPO) against Monk in Jefferson County, Kentucky. The EPO included an order that Monk have no contact with either his wife or the minor stepdaughter.
Two days later, the mother learned that Monk and her daughter were staying at a motel in Clarksville, Indiana. Clark County Sheriff’s deputies were dispatched to the motel where they found Monk and the minor. Monk subsequently admitted to law enforcement officers that he brought his stepdaughter to Indiana from her home in Louisville. Monk also admitted to engaging in a sexual relationship with the minor, and to recording the sexual activity. The Clark County Sheriff’s Department executed a search warrant on the motel room. Evidence seized included a video recorder, video tapes, and cellular telephones.
Assistant U. S. Attorney Jo E. Lawless prosecuted the case. The Louisville Metro Police Department Crimes Against Children Unit, Louisville Division of the FBI, and Clark County (Indiana) Sheriff’s Department, conducted the investigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States 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. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab.
Louisiana Man Sentenced for East Texas Drug Trafficking ViolationsRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas – A 22-year-old Shreveport, Louisiana man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Brandon Johnson pleaded guilty on Nov. 6, 2013, to possession with intent to distribute approximately 4.5 kilograms of marijuana and was sentenced to 10 months in federal prison today by U.S. District Judge Michael H. Schneider.
According to information presented in court, on Mar. 19, 2013, Johnson was stopped by a Texas DPS Trooper in the eastbound lane of IH-20 in Van Zandt County, Texas for speeding. During the course of the stop the officer detected the odor of marijuana coming from inside Johnson’s car and detained Johnson in order to conduct a search. The trooper found 10 bundles of marijuana that weighed approximately one pound each in two boxes on the back seat floorboard. The trooper also found a loaded .40 caliber, semi-automatic pistol on the driver’s side floorboard. As part of his sentence, Johnson must forfeit the seized weapon and ammunition to the United States Attorney’s Office. Johnson must also pay a $10,000.00 judgment to be levied against him personally in order to forfeit money he made selling marijuana.
This case was investigated by the Texas Department of Public Safety, Highway Patrol, and the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives and prosecuted by Assistant U.S. Attorney Jim Noble.
Los Angeles-Area Gang Member Pleads Guilty to Sex Trafficking of Minors by ForceRead the Press Release
Lynwood Man Becomes Eighth Convicted of Sex Trafficking Charges for Prostituting Teenage Girls Recruited from Inland Empire Schools
Conviction is the Latest in a String of Human Trafficking Prosecutions
Recently Brought by the United States Attorney’s OfficeRIVERSIDE, California – On the day a jury was expected to hear opening statements in his trial, a Lynwood gang member pleaded guilty on Tuesday to federal sex trafficking charges, admitting that he used force, fraud and coercion to recruit teen-age girls who worked as prostitutes across Southern California.
Paul Edward Bell, 29, an alleged member of the Rolling 60s Crips street gang, pleaded guilty on Monday pursuant to a plea agreement that calls for a sentence of 30 years in federal prison.
Bell, who used multiple monikers, including J-Roc, pleaded guilty before United States District Judge Virginia A. Phillips, who is scheduled to determine whether to accept the 30 year binding plea agreement and sentence the defendant to that term of imprisonment on March 31, 2014.
Bell is the eighth and final defendant convicted after a federal grand jury returned an indictment in August 2012 that resulted from an investigation by the Inland Child Exploitation/Prostitution Task Force, which is comprised of agents, deputies and officers with the Federal Bureau of Investigation, the Riverside County Sheriff’s Department, the Riverside Police Department, the San Bernardino Police Department, the Pomona Police Department, and the Ontario Police Department.
In court documents previously filed in this case, prosecutors said that Bell and his co-defendants used minors as prostitutes for their own financial gain. They preyed on vulnerable victims, convinced them to become prostitutes, and verbally and physically abused them when they did not perform as required, according to various court documents.
In a plea agreement filed yesterday, Bell specifically admitted that in 2011 he recruited and harbored four minor victims (ages 15 to 17) that he forced to work as prostitutes in Lynwood and Compton. Bell admitted physically abusing one victim “for not performing as a prostitute and for acting up,” according to the plea agreement.
“Sex trafficking is an abominable crime that condemns its victims to physical and psychological trauma, hardship and abuse,” said United States Attorney André Birotte Jr. "Mr. Bell and his cohorts coldly and brutally victimized young women and juveniles, subjecting them to treatment that can only be described as inhumane. Bell exploited his victims for profit and now he will be held accountable and punished for his predatory conduct."
“The defendants in this case lured minor victims from school with false promises of a glamorous lifestyle only to sexually exploit and abuse them in furtherance of the gang, and for their own financial gain,” said Bill Lewis, the Assistant Director of the FBI’s Los Angeles Field Office. “January is Human Trafficking Awareness Month and today’s announcement should send a message to those with similar intentions of targeting minors that the FBI and our task force partners are committed to investigating allegations of sex trafficking and sending them to prison.”
The other defendants in this case who previously pleaded guilty are:
Samuel Rogers, also known as Bone, 23, of Moreno Valley, another alleged member of the Rolling 60s, who pleaded guilty to sex trafficking of a minor;
Gary Rogers, who used monikers such as G-Man, 25, of Moreno Valley, another alleged member of the street gang and Samuel Rogers’ brother, who pleaded guilty to conspiracy to engage in sex trafficking;
Christopher Weldon, who is also known by several names, including C-Roc, 24, of Compton, the fourth alleged Rolling 60s member named in the indictment and Bell’s half-brother, who pleaded guilty to one count of conspiracy to engage in sex trafficking and received a six-year prison sentence;Javiya Brooks, who is also known as Shady Blue, 21, of Lynwood, who was the lead prostitute for Bell, who pleaded guilty to one count of conspiracy to engage in sex trafficking;
Kimberly Alberti, 20, of Riverside, who was the lead prostitute for Samuel Rogers, who pleaded guilty to one count of conspiracy to engage in sex trafficking;
Kristy Harrell, 21, of Riverside, who was Gary Rogers’ lead prostitute, who pleaded guilty to interstate transportation in the aid of racketeering; and
Su Yan, 31, of Rosemead, a Chinese national who assisted Bell with his prostitution business and pleaded guilty to interstate transportation in the aid of racketeering.
The defendants who have not been sentenced will also be sentenced later this year by Judge Phillips.
The investigation in this case began in January of 2011, when the Riverside County Sheriff’s Department learned that teenage girls attending schools in the Inland Empire were being recruited to work as prostitutes. The investigation later revealed that Alberti attended one of the schools and recruited underage females by “grooming them” -- or gaining their trust and telling them that they could make large sums of money by working as prostitutes for Alberti's pimp. The girls who were successfully recruited to work as prostitutes were brought to the Los Angeles area, where they were housed by Bell and the Rogers brothers at hotels on and near Long Beach Boulevard or at Bell's apartment.
The United States Attorney’s Office worked with the Justice Department’s Child Exploitation and Obscenity Section to prosecute this case.
The case being announced today was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Fighting human trafficking has been, and will remain, a priority for the Central District of California. The convictions announced today are the latest in a string of human trafficking cases that the United States Attorney’s Office, working in partnership with federal and local law enforcement, has brought in the past year. Over the past year, the United States Attorney’s Office has also prosecuted the following matters, among others:
United States v. Letha Montemayor Tucker, CR No. 13-78-ABC. On March 12, 2013, a federal grand jury returned a first superseding indictment charging Letha Montemayor Tucker with conspiracy to produce child pornography, production of child pornography, conspiracy to engage in sex trafficking of a child, and sex trafficking of a child. Tucker was arrested last year after tips from members of the public to the U.S. Immigration and Customs Enforcement’s Homeland Security Investigation agency helped identify her as a woman allegedly seen molesting a pre-teen victim in a series of child photography images that had been widely-distributed over the Internet. The jury trial in this case is set for April 8, 2014. Tucker faces a mandatory minimum sentence of 15 years and a statutory maximum of life imprisonment if convicted.
United States v. Roshaun Nakia Porter and Marquis Monte Horn, CR No. 12-97(A)-JLS. On March 27, 2013, a federal grand jury returned a first superseding indictment charging Roshaun Nakia Porter and Marquis Monte Horn with conspiring to engage in sex trafficking and sex trafficking by force, fraud, and coercion. According to court documents filed in this case, Horn allegedly recruited victims to work in a prostitution organization through a website and by claiming that he and Porter were running an upscale escort service in which women could make $500 per day. Prosecutors allege that this was merely a ruse; and that Horn, Porter, and others used various coercive tactics -- including developing purportedly romantic relationships with the victims, falsely promising financial assistance to the victims and their families, falsely promising to help obtain lawful immigration status in the United States for their victims, and isolating some of the victims from their families and friends -- all to induce these victims into engaging in prostitution. Both Horn and Porter face a mandatory minimum sentence of 15 years and a statutory maximum of life imprisonment if convicted. Their trial is set for February 18, 2014.
United States v. William Earl Flavors, CR No. 13-143-JLS. On August 7, 2013, a federal grand jury returned an indictment charging William Earl Flavors, aka “Andre,” with sex trafficking by force, fraud, or coercion, and transportation in interstate commerce for purposes of prostitution. On December 5, 2013, Flavors pleaded guilty to transportation in interstate commerce for purposes of prostitution, admitting, among other things, that he transported his victims between Long Beach to Las Vegas, forced or coerced them to work as prostitutes in Las Vegas, and used physical abuse and threats of additional physical abuse to make one of his victims work for him as a prostitute. Flavors’ conviction in this case marks the second time Flavors has been convicted in federal court of trafficking women across state lines and forcing them to work as prostitutes. Pursuant to the parties’ plea agreement, Flavors and the government agreed to recommend the statutory maximum sentence of 10 years’ imprisonment. Sentencing is set for May 9, 2014.
United States v. Joshua Jerome Davis & Sharilyn Kae Anderson, CR No. 13-589-CAS. On August 22, 2013, a federal grand jury returned an indictment charging Joshua Jerome Davis with sex trafficking of a child, coercion and enticement to travel in interstate commerce to engage in prostitution, and transportation of a child for purposes of prostitution. As detailed in the criminal complaint filed in this case, Davis is accused of prostituting a 16-year-old girl in Southern California and transporting her across state lines to engage in commercial sex in Las Vegas casinos. The Department of Homeland Security and the Long Beach Police Department began investigating this case after the victim’s father reported her missing and discovered that his daughter was being featured in an on-line prostitution ad. The indictment also charged Davis’ mother, Sharilyn Kae Anderson, with aiding and abetting the child sex trafficking offenses committed by her son. A jury trial in this case is set for April 22, 2014. Both defendants face a mandatory minimum sentence of 15 years and a statutory maximum of life imprisonment if convicted.
United States v. Tabitha Samaria Walls and Kenyati Jakeen Rahh-Potts, CR No. 13-637-MWF. On September 4, 2013, a federal grand jury returned an indictment charging Tabitha Samaria Walls and Kenyati Jakeen Rahh-Potts with sex trafficking of a child and transportation of a minor for purposes of prostitution. According to the criminal complaint filed in this matter, Walls and Rahh-Potts allegedly forced the child victim in this case to accompany them from Las Vegas to California, where they forced her to engage in acts of prostitution in Los Angeles, Hollywood, Pomona, and Ontario. It is further alleged in the criminal complaint that the child victim was forced to surrender all of the money that she earned as a prostitute to Walls and Rahh-Potts, that Rahh-Potts beat her on one occasion when she lost the money she earned as a prostitute, and that Rahh-Potts told two individuals who attempted to rescue the child victim from Walls and Rahh-Potts that he had killed the child victim and left her body on the side of the road along the Interstate 15 freeway. The trial in this case is scheduled for June 17, 2014. Both Walls and Rahh-Potts face a mandatory minimum sentence of 15 years and a statutory maximum of life imprisonment if convicted.
United States v. Curtis Maurice Canady, Jr., CR No. 13-165-DOC. On September 4, 2013, a federal grand jury returned an indictment charging Curtis Maurice Canady Jr. with sex trafficking of children and transportation of children for purposes of prostitution. Canady pleaded guilty on November 19, 2013, to transportation of children for purposes of prostitution. As detailed in court documents filed in this case, Canady drove his victims, including two girls who were 15 and 16, from a motel in Los Angeles to locations in Anaheim where he had them work as prostitutes; transported his victims, including a minor victim, to Las Vegas for the purpose of engaging in prostitution; and engaged in on-line advertising aimed at attracting customers for his victims. At sentencing, Canady faces a statutory maximum sentence of life imprisonment.
United States v. Vincent Earl Jordan, 13-657(A)-BRO. On October 29, 2013, a federal grand jury returned a first superseding indictment charging Vincent Earl Jordan, aka “Vinnie Mac,” with sex trafficking of a minor, sexual exploitation of a child, possession of child pornography, transportation of a child for purposes of prostitution, and coercion and enticement to travel in interstate commerce to engage in prostitution. As detailed in court documents filed in this matter, this case began when Long Beach Police Department detectives encountered a 17-year-old girl engaged in acts of prostitution who had a moniker, “Vinnie,” tattooed across her stomach. The documents allege that, after this child victim identified Jordan as her pimp, the police found a second victim who also alleged that Jordan had threatened and coerced her to travel from Texas to California to work as a prostitute. The indictment further alleges that Jordan produced and possessed child pornography of his 17-year-old victim. The jury trial in this case is set for February 25, 2014. Jordan faces a statutory minimum sentence of 15 years and a statutory maximum of life imprisonment if convicted.
United States v. Samuel Gonzalez, CR No.11-193-AG. On November 15, 2013, Samuel Gonzalez pleaded guilty pursuant to a plea agreement to arranging and facilitating travel of minors for prostitution. As detailed in court documents filed in this case, Gonzalez lured three teenage girls from Texas to California under the guise that he wanted to take them “to the beach.” Once in California, Gonzalez induced these minor victims to work as prostitutes, until the family of one of the teenage victims reported the victims missing and Gonzalez was apprehended. As a result of this guilty plea, Gonzalez faces a maximum sentence of 30 years’ imprisonment. Sentencing is set for February 24, 2014.
United States v. Eric Lamar Wells and Tonisha Alecia Moore, CR No. 12-120-CJC. On May 23, 2012, a federal grand jury returned an indictment charging Eric Lamar Wells and Tonisha Alecia Moore with conspiracy to engage in sex trafficking of minors, sex trafficking of minors, and transportation of minors into prostitution. As detailed in court documents filed in this case, Wells recruited a 14-year-old girl and a 17-year-old girl to work as prostitutes for him. Wells and Moore then transported these girls from Las Vegas, Nevada, to Phoenix, California, and finally to Anaheim, California, so that they could engage in commercial sex acts and give the money they made to Wells. Wells also posted on-line ads to find men who would pay to engage in sex acts with the minor victims. Following their guilty pleas, on June 26, 2013, the court sentenced Wells to 10 years’ imprisonment and Moore to 70 months’ imprisonment.
United States v. Kawaum Marquez Scott and Nekeyia Necole Weatherspoon, CR No. 13-116-VAP. On November 27, 2013, a federal grand jury returned an indictment charging defendants Kawaum Marquez Scott and Nekeyia Necole Weatherspoon with conspiracy to engage in sex trafficking of a child and sex trafficking of a child. Jury trial is set for April 29, 2014. In the criminal complaint filed in this case, it is alleged that Scott and Weatherspoon befriended a 14-year-old victim who lived at a residence located on the same property where Scott and Weatherspoon lived; forced this 14-year-old victim to engage in prostitution, pocketing for themselves all of the money this victim made; and utilized the Internet to advertise this child victim as a prostitute. Defendants face a statutory minimum sentence of 15 years and a statutory maximum of life imprisonment if convicted.
United States v. Ralph Allen Jackson, Jr., CR No. 13-476(A)-BRO. On December 16, 2013, Ralph Allen Jackson, Jr., 41, also known as “Mac Wimp,” pleaded guilty to conspiracy to engage in sex trafficking of a minor. In his plea agreement, Jackson admitted that he trafficked four victims – including a 17-year-old girl – in the Long Beach area in June 2013. As detailed in court documents filed in this matter, Jackson drove his victims to known areas for prostitution, instructed them to engage in sex acts for money, gave them quotas that they were required to meet each day, and engaged in acts of coercion to insure that his victims continued to work for him as prostitutes. When law enforcement first encountered the minor victim in this case, she was branded with the words “Mac Wimp’s bitch” tattooed across her chest. Pursuant to the terms of the plea agreement, Jackson has agreed to recommend that he serve a sentence of no less than five years’ imprisonment, and the government agreed to recommend a sentence of no more than ten years’ imprisonment. Sentencing is set for March 10, 2014.
An indictment or complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty in court.
January 2014 has been proclaimed National Slavery and Human Trafficking Prevention Month by President Obama (see: http://www.whitehouse.gov/the-press-office/2013/12/31/presidential-proclamation-national-slavery-and-human-trafficking-prevent). In addition to efforts to investigate and prosecute human trafficking violations, law enforcement has also been proactive with respect to outreach, education and prevention efforts in local communities. To that end, on Saturday, January 11, the United States Attorney’s Office for the Central District of California and the Los Angeles Field Office of the FBI co-hosted an Anti-Human Trafficking Summit to assist local prevention efforts and help raise awareness about the many facets of human trafficking. The all-day Summit was held at the National Council of Jewish Woman/Los Angeles (NCJWLA) in Los Angeles and featured presenters and participants from federal and local law enforcement, as well as local community stakeholders and victims’ services organizations. Presenters included prosecutors, investigators, subject matter experts, victims’ advocates and victims who were survivors of human trafficking. United States Attorney André Birotte Jr. and FBI Assistant Director in Charge Bill Lewis also participated. Volunteers from the Expediente Rojo Project, Inc. (http://www.expedienterojo.org/) and NCJWLA assisted in all facets of the Summit.
Release No. 14-004
Local Woman Indicted for Threat Against PresidentRead the Press Release
HOUSTON – Denise O’Neal, aka Teddy Bear Paradise, was been indicted by a federal grand jury for threatening to injure and murder President Obama, announced United States Attorney Kenneth Magidson.
O’Neal was initially arrested on Dec. 26, 2013, upon the filing of a criminal complaint. She subsequently appeared before U.S. Magistrate Judge Nancy Johnson who ordered her held without bond pending further criminal proceedings. She is expected to make an initial appearance on the indictment in the near future.
The indictment alleges O’Neal, a 57-year-old resident of Houston, mailed a letter to the President that contained a threat, specifically, that she was going to travel to Washington D.C. to murder him.
If convicted, O’Neal faces up to five years in federal prison and a possible $250,000 fine.
The case is being investigated by the Secret Service and is prosecuted by Assistant United States Attorney Julie N. Searle.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Knox County Man Sentenced and Ordered to Pay More Than $800,000 Restitution for Transporting Stolen Property Across State LinesRead the Press Release
Cape Girardeau, MO - The United States Attorney's Office announced today that a Knox County, Missouri, man was sentenced to federal prison for three charges involving transporting stolen goods.
CHARLES WILLIAM TAGUE of Hurdland, Missouri, was sentenced to 14 months imprisonment on one felony count of conspiracy to transport stolen property across state lines and two felony counts of interstate transportation of stolen goods. He was also ordered to pay a total of $801,928.07 restitution. Upon completion of the prison sentence, he will be placed on federal supervised release for a period of three years. Tague appeared before U.S. District Judge John A. Ross on Wednesday, January 15, 2014, in Cape Girardeau.
Previously with his plea, Tague admitted that on April 26, 2010, Roger L. Smith, the owner of Yield Plus, Inc., a plant food company in Scott City, Missouri, realized that someone had stolen over 8,000 gallons of liquid plant food from his business over the weekend. Smith contacted the Scott County Sheriff’s Department and an investigation was initiated.
Yield Plus, Inc., is a company that makes liquid plant food that is shipped in interstate commerce to many different states. The investigation revealed that the plant manager, John A. Greenlee, was filling tanker trucks owned by Tague at night and on weekends in exchange for money. Tague, who owned a trucking company, would in turn sell the stolen liquid plant food to mostly out-of-state customers. Tague collected a total of nearly $802,000 from those customers for the stolen liquid plant food and paid Greenlee roughly $14,000.
Greenlee was previously sentenced to a term of 27 months imprisonment and ordered to pay restitution in the amount of $283,672.
The Federal Bureau of Investigation and the Missouri State Highway Patrol are commended for their efforts to prosecute this case. Assistant United States Attorneys Abbie Crites-Leoni and Morley Swingle handled the prosecution for the Government.
Jury Convicts KC Man of PCP Trafficking, Illegal FirearmsRead the Press Release
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 of multiple counts related to possessing PCP with the intent to distribute and to illegally possessing firearms.
Jerry D. Scott, 41, of Kansas City, was found guilty of two counts of possessing PCP with the intent to distribute, one count of possessing PCP, two counts of being a felon in possession of a firearm and one count of possessing a firearm in furtherance of drug-trafficking crimes.
Law enforcement officers began conducting surveillance on Scott’s residence in March 2012 after receiving information from a confidential source that he was selling PCP and carrying firearms. At the time, Scott had five prior felony convictions, including possessing PCP and carrying a firearm.
A police detective saw Scott, who did not have a valid driver’s license, leave the house with another person and get into his black Lincoln Navigator, which was parked in front of the residence. When Scott started driving his vehicle, police officers conducted a traffic stop. Scott and his passenger, Candace I. Brown, both had outstanding Kansas City municipal warrants and were arrested.
An inventory search of the vehicle prior to towing was conducted and officers discovered PCP and a Jimenez 9mm handgun with no serial number in the center console of the vehicle. Officers also found a loaded Smith & Wesson 9mm handgun under the driver’s side floor mat.
Scott was also in possession of PCP on May 12, 2010. A Kansas City police officer drove past Scott’s parked vehicle and smelled the odor of PCP and marijuana. Officers saw a loaded Glock 10mm pistol in the driver’s side door pocket and Scott was placed under arrest. During an inventory search of the vehicle prior to towing, officers discovered a bottle of PCP in the center console.
On Aug. 16, 2010, Scott sold three PCP-dipped cigarettes to a confidential informant in a controlled undercover operation. Deputies from the Jackson County Sheriff’s Department executed a search warrant at Scott’s residence on Aug. 20, 2013, and found three bottles that contained PCP as well as drug paraphernalia.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about three hours before returning the guilty verdicts, ending a trial that began Monday, Jan. 13, 2014.
Under federal statutes, Scott is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of life 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 William L. Meiners and Special Assistant U.S. Attorney Ann Booton. It was investigated by the Kansas City, Mo., Police Department, the Jackson County, Mo., Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Jury Convicts Georgia Woman for Stolen Identity Tax Refund FraudRead the Press Release
A jury in the Middle District of Georgia convicted Kimberly Michelle Banks on Jan. 14, 2014, of conspiring to file false federal income tax returns in the names of stolen identities, the Justice Department and Internal Revenue Service (IRS) announced today. Banks was also convicted of wire fraud, aggravated identity theft and theft of government money.
According to evidence introduced at trial, Banks obtained the names and Social Security numbers of nursing home patients from her employer and conspired with Donalene Mosely, Arneshia Austin and others to use the stolen identifying information to steal money from the government. Mosely and Austin each pleaded guilty to related charges before trial. Several victims testified that they did not consent to the use of their names and Social Security numbers on these tax returns and testified that they did not receive any money from refunds generated from the false tax returns filed with the IRS. The tax returns at issue were filed from two internet protocol addresses assigned to Banks, and the fraudulent tax refunds were deposited onto prepaid debit cards mailed to addresses belonging to Banks and others, including Mosely and Austin. The evidence also revealed that Banks and others used the stolen proceeds to make payments on their car loans, to throw a party and to buy products online.
The court has not yet scheduled sentencing for Banks, Mosely or Austin. Banks faces a statutory minimum of two years in prison for aggravated identity theft, a statutory maximum of 20 years in prison for each wire fraud count and 10 years in prison for each theft of government money count. Banks, Mosely and Austin each face a statutory maximum of five years in prison for the conspiracy count.
This case was investigated by IRS-Criminal Investigation and is being prosecuted by Trial Attorneys Justin Gelfand, Kimberly Shartar and Alexander Effendi for the Tax Division. Assistant Attorney General Kathryn Keneally thanked the U.S. Attorney’s Office in the Middle District of Georgia and the Crisp County Sheriff’s Office for their assistance with this prosecution.
Jackson County Man Charged with Failing to Register as Sex OffenderRead the Press Release
On September 4, 2013, Willie Joe Strayhorn, a/k/a “Jo Jo,” 47, of Murphysboro, was indicted in a one-count indictment charging Failure to Register as a Sex Offender, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
The offense occurred between November 1, 2010, and September 4, 2013, in Jackson County. Strayhorn, who was arrested in Tennessee, made his initial appearance in federal court in Benton, on January 14, 2014. The offense carries a penalty of up to 10 years’ imprisonment, to be followed by a term of supervised release from 5 years to life, and a fine of $250,000. Strayhorn is currently being held without bond pending a March 17, 2014, jury trial.
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 case was investigated by the United States Marshals Service. The U.S. Marshals Service is the nation’s oldest federal law enforcement agency, and serves as the nation’s primary fugitive hunting organization. In addition, the U.S. Marshals have three principal responsibilities under the Adam Walsh Child Protection and Safety Act: (1) to assist state, local, tribal, and territorial authorities in the location and apprehension of non-compliant and fugitive sex offenders; (2) to investigate violations of the Act for federal prosecution; and (3) to assist in the identification and location of sex offenders relocated as a result of a major disaster. The Murphysboro Police Department and the Dyersburg, Tennessee, Police Department also assisted in the investigation.
The case is assigned to Assistant United States Attorney Amanda A. Robertson for prosecution.
Investment Manager Sentenced to 188 Months for Investment Fraud SchemeRead the Press Release
Earlier today, Aleksander Efrosman, the investment manager of Century Maxim Fund, Inc. and AJR Capital, Inc., was sentenced to a term of imprisonment of 188 months following his conviction for wire fraud. Efrosman, who fled the United States, was extradited from Poland and pleaded guilty on October 18, 2012. In addition to the prison term, Efrosman was ordered to pay restitution of approximately $4 million.
The sentence was announced by Loretta E. Lynch, United Attorney for the Eastern District of New York; George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office; and Philip R. Bartlett, U.S. Postal Inspector-in-Charge, New York Division.
“This case proves the old adage: ‘you can run, but you cannot hide.’ Aleksander Efrosman stole over $5 million from unsuspecting investors and fled the country, then engaged in a globetrotting effort to escape justice. But the coordinated efforts of law enforcement resulted in his capture. Today, Efrosman has finally been held to account for his betrayal of his clients’ trust,” stated United States Attorney Lynch. “As proved again today, this office will relentlessly pursue and prosecute the perpetrators of investment fraud schemes.” Ms. Lynch extended her grateful appreciation to the Federal Bureau of Investigation and the Postal Inspection Service for their assistance in this case.
From January 2004 through June 2005, working from offices in Brooklyn and Staten Island, Efrosman defrauded investors by soliciting investments purportedly for the purpose of trading in the stock market and the foreign currency exchange market. Efrosman falsely told investors that he had a history of profitable trading and that the investments would be protected by a "stop-loss" mechanism which ensured that no trade lost more than 3%. Based on these misrepresentations, Efrosman raked in over $5 million from more than 100 investors. Efrosman did not invest the funds as promised, but instead used the funds for his personal benefit, including gambling over $3 million at the Foxwoods casino.
Efrosman fled the United States in 2005 with millions of dollars of investor funds. He first traveled to Cozumel, Mexico, then to Panama and ultimately to Poland, where he assumed the identity of “Mikhail Grosman” and obtained a high quality fraudulent Russian passport. In the meantime, federal agents in the United States pursued leads as to Efrosman’s whereabouts. In a coordinated multinational effort, law enforcement authorities in Austria, the Czech Republic, and Poland tracked, located, and ultimately arrested Efrosman in Krakow, Poland, on May 28, 2010.
The sentence was imposed by United States District Judge Nicholas G. Garaufis at the federal courthouse in Brooklyn, New York.
The government's case was prosecuted by Assistant United States Attorney Daniel Spector.
The Defendant:
ALEKSANDER EFROSMAN
Age: 51
Internet-Based Consumer Electronics Vendor to Pay $700,000 to Resolve Claims for Underpaid PostageRead the Press Release
Yall Inc., an Internet-based vendor of consumer electronics, and its principal, Hang Feng (Nick) Wu, have entered into a settlement agreement in which they have agreed to pay the United States $700,000 to resolve allegations that they knowingly underpaid postage on large amounts of mail sent through the United States Postal Service. The settlement agreement has been approved by United States District Judge Roslynn R. Mauskopf.
The settlement was announced today by Loretta E. Lynch, United States Attorney for the Eastern District of New York, and Philip R. Bartlett, Inspector-in-Charge of the New York Office of the United States Postal Inspection Service.
In its complaint, filed in federal court in Brooklyn, the United States alleged that Yall and Wu sent thousands of underpaid mailings to consumers across the nation and around the world. The government further alleged that Yall and Wu failed to weigh the mail before presenting it to the Postal Service for mailing, while representing that their mail was paid in full. The complaint sought recovery under the False Claims Act, 31 U.S.C. §§ 3729-33, among other remedies. Under the False Claims Act, the government can recover up to three times its actual damages, plus penalties of $5,500 to $11,000 for each false claim.
Yall does business through various websites, including Yallstore.com and the online auction and shopping website eBay.com. Yall sells accessories, peripherals and replacement parts, such as batteries, protective cases, AC adapters, and cables for laptops, cell phones, digital cameras, and handheld game consoles, among other popular electronics items.
“Full and fair competition in business requires a level playing field. Mailers who underpay postage gain an unfair advantage over their competitors, while short-changing the Postal Service of necessary funds to carry out its mission,” said United States Attorney Lynch. "We are committed to protecting the Postal Service from abuse and ensuring its financial viability by holding businesses and business owners accountable for underpaying postage.”
“Postal Inspectors will vigorously pursue individuals who underpay the Postal Service. The Postal Inspection Service appreciates the strong stance U.S. Attorney Lynch has taken against those who seek to take advantage of the Postal Service through underpaying postage,” said Inspector-in-Charge Bartlett.
In reaching this settlement, Yall, Inc. and Wu did not admit liability, and the government did not make any concession regarding the legitimacy of the claims.
This case was investigated by the United States Postal Inspection Service and handled by Assistant U.S. Attorney Ameet B. Kabrawala, with assistance from Affirmative Civil Enforcement Auditor Emily Rosenthal.
Inmate Sentenced to 3 + Years for Attempting to Escape Fci Prison at McdowellRead the Press Release
BLUEFIELD, W.Va. – A federal inmate was sentenced today to three years and one month in prison for attempting to escape the Federal Correctional Institution (FCI) at McDowell, announced U.S. Attorney Booth Goodwin. Jason Dunlap, an inmate at FCI McDowell, 35, previously pleaded guilty in September 2013. Dunlap’s sentence was imposed by Senior United States District Court Judge David A. Faber in Bluefield.
On May 7, 2013, Dunlap attempted to escape at FCI McDowell by climbing to the top of the first of two perimeter fences at the prison. Dunlap was immediately apprehended by prison officials.
The Court ordered the sentence to run consecutive to the defendant’s current prison term. Dunlap is currently serving a 188-month sentence on his convictions in federal court in California of bank robbery, armed bank robbery and interstate transportation of stolen motor vehicles.
The investigation was conducted by the Federal Bureau of Prisons. Assistant United States Attorney John File handled the prosecution.
Indictments Filed in Cleveland Heights Bank Robbery CasesRead the Press Release
Three separate indictments were filed charging five men for their roles in two bank robberies in Cleveland Heights late last year, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office.
Lavontrae Melvin Durden, 19, of Cleveland, and Nathaniel Antoine Wright, 18, of Cleveland Heights, were indicted on charges of armed bank robbery and brandishing a firearm for the Nov. 22nd robbery of the Ohio Savings Bank located at 2066 Lee Road.
In a separate indictment, Lovell L. Briggs, 18, of Cleveland, was charged with conspiracy to commit armed bank robbery, aiding and abetting armed bank robbery and aiding and abetting brandishing a firearm for his role in the Nov. 22nd robbery of the Ohio Savings Bank located at 2066 Lee Road.
In a separate indictment, Rodney E. Johnson, 21, and Nautica Merritt, 20, both of Cleveland, were charged with armed bank robbery for the Dec. 7th robbery of the Fifth Third Bank at 12401 Cedar Road. Johnson faces an additional charge of brandishing a firearm.
“The citizens of Cleveland Heights are safer with this group locked up,” Dettelbach said.
“These five individuals put everyday citizens in danger with their aggressive and violent actions,” Anthony said. “This crew is off our streets through the collaborative efforts of the FBI Violent Crimes Task Force and the Cleveland Heights Police Department. The investigation continues to determine the full extent of their criminal activity.”
Cleveland Heights Police Chief Jeff Robertson said: “This case is the result of great collaboration between the Cleveland Heights Police Department, the FBI and the Cleveland Police Department in apprehending these violent individuals.”
These cases are being prosecuted by Assistant U.S. Attorneys Justin Seabury Gould and Kelly L. Galvin following investigation by the Federal Bureau of Investigation and the Cleveland Heights Police Department, with assistance from the Cleveland Division of Police and the Cuyahoga County Prosecutor’s Office.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Hunt County Man Guilty of Federal Firearms ViolationsRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas – A 22-year-old Quinlan, Texas man has been sentenced to federal prison for firearms violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Colten David Barrow pleaded guilty on Sep. 11, 2013, to attempting to sell a machinegun and was sentenced to 24 months in federal prison on Jan. 15, 2014, by U.S. District Judge Michael
H. Schneider.
According to information presented in court, on Jan. 31, 2012, Barrow and Craig Marcus Cooper traveled together to Duke’s Truck Stop on Highway 64 in Van Zandt County, Texas to meet an individual interested in buying the machinegun. The defendants intended to sell the firearm to the individual for $10,000. However, the buyer was actually an undercover federal agent. The defendants were detained and the 9 mm, fully automatic machine gun with an attached silencer was seized. A federal grand jury returned an indictment on Mar. 27, 2013, charging the defendants with firearms violations.On Jan. 10, 2014, Cooper was sentenced to 18 months in federal prison.
This case was prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and prosecuted by Assistant U.S. Attorney Jim Noble.Green Tree Woman Led Cross-Country Hydroponic Marijuana Distribution RingRead the Press Release
Wholesale Value of Marijuana Exceeded $16 Million
PITTSBURGH – The leader of a cross-country drug ring pleaded guilty on Tuesday in federal court to charges of conspiracy to violate the federal drug and money laundering laws, United States Attorney David J. Hickton announced today.
Jennifer Chau Chieu, 37, of Green Tree, Pa., pleaded guilty to conspiracy to distribute 1,000 kilograms (2,200 pounds) or more of high-quality hydroponic marijuana, and conspiracy to launder drug proceeds before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that Chieu moved to Pennsylvania in 2010, and by October of that year was in the drug business, using her old contacts to ship her 10-20 pound packages of high-quality marijuana from California on a daily basis. Chieu then resold the marijuana for $2,400-$4,600 a pound, depending on quality, to a small network of dealers.
United States Postal Inspectors eventually identified more than 250 inbound drug packages, and in excess of 350 outbound parcels containing drug proceeds, with $12,000-$20,000 in each package. The total wholesale value of the marijuana was as much as $16 million, with the retail value being several multiples of that.
Postal inspectors and IRS and FBI special agents observed Chieu making deals out of her Green Tree home and a nail salon she owned on Liberty Avenue in the Bloomfield section of Pittsburgh.
Between January and April 2011, postal inspectors served nine search warrants on outgoing parcels suspected to contain drug proceeds. Each of the parcels contained between $12,000 and $20,000 in cash, with the total exceeding $143,000.
Wiretaps were approved for Chieu’s phones and several others between June and October 2011. Chieu and her co-conspirators spoke four languages on the wiretaps – Vietnamese, English, and two Chinese dialects - often switching languages in mid-sentence in an obvious attempt to hamper law enforcement agents and interpreters who might be listening.
More than a hundred hours of calls were intercepted between Chieu and her primary Oakland, Calif., drug supplier. On a daily basis, Chieu and her conspirator discussed how much marijuana he would be sending, the quality or “brand name” of the product, and how much Chieu would charge for it here and how many packages of cash she planned to send to California the next day.
About 3500 pounds of marijuana were distributed in the conspiracy. Large seizures of cash demonstrated the broad scope of this drug ring. In April 2012, Chieu and a conspirator were stopped in Utah for a traffic violation. Hidden within their car was more than one-half million dollars in cash. Both individuals refused to claim the cash, with Chieu telling officers she didn’t know how it got there.
Following the indictment of Chieu and 19 other individuals, Chieu was arrested in April 2012, at which time more than $70,000 was seized from her Green Tree home, and $100,000 from a safe deposit box. Another seizure in 2011 of drug proceeds from a van leaving Pittsburgh for California turned up $136,000 in cash. About a million dollars in cash was seized in this investigation, with homes and cars also seized for forfeiture to the government.
Eight of the 20 indicted individuals have now entered pleas of guilty and await sentencing, with six more defendants scheduled to plead guilty later this week.
On motion of the government, Jennifer Chieu’s bond was revoked and she was ordered detained pending sentencing on July 1, 2014. The law provides for a total sentence of not less than 10 years to life in prison, a fine of $10,500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the criminal history, if any, of the defendant.
Assistant United States Attorney Gregory J. Nescott is prosecuting this case on behalf of the government.
The U.S. Postal Inspection Service, the Internal Revenue Service – Criminal Investigation, and the Federal Bureau of Investigation were the lead agencies in this case, and were assisted by the Pennsylvania State Police in this investigation that led that led to the prosecution of Jennifer Chau Chieu.
Grand Junction Man Sentenced to Prison for Sending Interstate Threatening CommunicationsRead the Press Release
DENVER -- Kenneth Royal Wheeler, of Grand Junction, Colorado, was sentenced today by U.S. District Court Judge William J. Martinez to serve 40 months in federal prison for sending interstate threatening communications, U.S. Attorney John Walsh and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Securities Investigations (HSI) Special Agent in Charge Kumar Kibble announced. Following his prison sentence, Judge Martinez ordered Wheeler to serve 3 years on supervised release. Wheeler appeared at the sentencing hearing in custody. He was remanded at the sentencing hearing’s conclusion.
Wheeler was found guilty of two counts of sending interstate threatening communications following a four-day jury trial before Judge Martinez. The jury deliberated for 75 minutes before reaching a verdict.
Wheeler was first charged by Criminal Complaint on March 20, 2012. He was indicted by a federal grand jury in Denver on March 22, 2012. A superseding indictment was obtained on May 21, 2013. The jury trial began on September 23, 2013. The verdict was handed down on September 26, 2013.
According to court documents, as well as facts presented to the jury during trial, a person called the Grand Junction Police Department to report threatening Facebook posts. The Grand Junction Police Department, working with Homeland Security Investigations, conducted an investigation and determined that the threatening posts were made by Wheeler. It was also determined the Wheeler was in Rome, Italy when he made the posts. In fact, one of the posts stated that Wheeler believed he could post anything he wanted and not be prosecuted because he was not physically in the United States.
Among Wheeler’s posts were instructions for people to kill children at a local Daycare. He also told his “followers” to kill specific police officers, as well as their families and children. In one post Wheeler said: “the americans cant punish me for what i say here in rome italy on facebook. so. kill cops. drown them in the blood of their children, hunt them down and kill their entire blood lines.”
Wheeler was arrested at the Grand Junction Airport, once he returned to the United States from Rome.“Regardless of where you are in the world, if you send a threatening communication and it crosses state lines or international boundaries, you can and will be held accountable,” said U.S. Attorney John Walsh. “The defendant thought that he could threaten people from afar, and return without consequences. He clearly learned that is not the case.”
“Individuals who make threats of violence overseas are not immune from prosecution in the United States,” said Kumar C. Kibble, special agent in charge of HSI Denver. “Anyone who threatens law enforcement officers or their families is a serious threat to everyone.”
This case was investigated by Homeland Security Investigations and the Grand Junction Police Department.
The jury trial was handled by Assistant U.S. Attorneys Colleen Covell and David Tonini. Assistant U.S. Attorney Michelle Heldmyer in the U.S. Attorney’s Grand Junction branch office provided substantial assistance during the investigation and pendency of the case.
Freeport Physician Sentenced to 30 Years for Illegal PrescribingRead the Press Release
PENSACOLA, FLORIDA – Freeport physician Robert L. Ignasiak, Jr., 58, was sentenced to 30 years in prison yesterday for health care fraud, illegally distributing controlled substances, and failing to appear for trial. The sentence imposed by the court was announced by Pamela C. Marsh, United States Attorney for the Northern District of Florida.
Between 2001 and 2005, while operating the Freeport Medical Clinic, Ignasiak developed a reputation as a physician who freely prescribed highly addictive controlled substances. During that time, Ignasiak prescribed drugs such as hydrocodone, oxycodone, morphine, diazepam, and alprazolam in dosages and combinations that caused his patients to abuse and become addicted to the drugs. Ignasiak continued to prescribe these substances even after becoming aware that his patients were abusing them. He did this in spite of indications that his patients were not taking the medicines as prescribed, were stealing drugs, were “doctor shopping,” were taking the medicines with alcohol, were suffering overdoses, or were exhibiting other out-of-control behaviors. Ignasiak’s illegal prescribing practices resulted in the deaths of several of his patients.
Ignasiak was initially indicted on these charges in 2008. Following a jury trial in the fall of that year, Ignasiak was convicted of 12 counts of health care fraud and 31 counts of illegally distributing controlled substances. In 2012, Ignasiak’s convictions were reversed on appeal and he was released from custody pending a retrial. On October 31, 2012, Ignasiak faked his own suicide and fled. A warrant was issued for his arrest. He was arrested in Coral Springs, Florida in September 2013, and his retrial had been scheduled for December 2, 2013.
In October 2013, Ignasiak pled guilty to 12 counts of health care fraud, 29 counts of illegally distributing controlled substances, and one count of failing to appear for trial.
The charges were the result of a four-year joint investigation by the North Florida Health Care Fraud Task Force, comprised of the Federal Bureau of Investigation - Jacksonville Division, the Florida Department of Financial Services, the Florida Department of Law Enforcement, the Florida Attorney General’s Office, the Drug Enforcement Administration - Miami Division, the National Drug Intelligence Center Document Exploitation Division, the Defense Criminal Investigative Service, the Walton County Sheriff’s Office, and the State Surgeon General, Florida Department of Health.
Assistant U.S. Attorneys Karen Rhew-Miller and Alicia Kim prosecuted this case.
Former Taupa Lithuanian Credit Union CEO Charged for $15 Million FraudRead the Press Release
The former chief executive officer of Taupa Lithuanian Credit Union was charged today for engaging in a conspiracy that defrauded the credit union out of $15 million, some of which he used to build a home in Solon, obtain a luxury suite at Cleveland Browns games and buy multiple vehicles and firearms, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland office.
Alex Spirikaitis, 51, was charged in a criminal information with one count of conspiracy to commit bank fraud. Spirikaitis personally embezzled about $4.2 million from Taupa between 2001 and 2013, according to the information.
“This defendant stole millions of dollars from credit union members who entrusted him,” Dettelbach said. “He lived a life of luxury based on stolen money and now he must own up for those actions.”
“Alex Spirikaitis spent more than a decade engaged in corrupt actions before fleeing from the home he purchased with credit union funds and hiding in Collinwood for 3 ½ months,” Anthony said. “The FBI thanks the public for their patience while the investigation continued and allowed us to bring this fraudster to justice.”
The National Credit Union Administration and the Ohio Department of Commerce took possession of Taupa last July and placed it into receivership due to its insolvency. Taupa had about 1,150 members and assets of approximately $24 million, according to court records.
Spirikaitis used the money he embezzled buy multiple firearms, which he stored at the credit union, and a suite for Cleveland Browns games. He used Taupa’s money to purchase nine vehicles for himself and his family between 2007 and 2012, according to the information.
He also used Taupa funds to write 26 checks between November 2011 and November 2012, totaling $1,655,000, to build a home on Liberty Road in Solon, according to the information.
He also engaged in a conspiracy with several other people and their actions led to a loss of approximately $15 million to the credit union and NCUA.
Michael Ruksenas, 33, of Naples, Florida, and John Struna, 51, of Concord Township, have previously been charged for their roles in the conspiracy.
Ruksenas worked as a teller from 1999 through 2006 at Taupa, which was located at 767 East 185th Street in Cleveland. Spirikaitis routinely reviewed the daily share draft report, circled names of certain members listed on the report with NSF checks, and instructed Ruksenas in his capacity as teller to honor and pay the NSF checks Spirikaitis had circled, according to the information.
After Ruksenas learned Spirikaitis honored overdrafts from certain accounts, he withdrew funds from his two accounts. Spirikaitis then transferred funds from Taupa directly into Ruksenas’ personal accounts to cover Ruksenas’ overdrafts, according to the information.
Also, Ruksenas worked as a home health aide for one of Spirikaitis’ relatives from 2007 through 2009, during which time Spirikaitis used credit union funds to purchase Ruksenas a Jeep Cherokee, according to the information.
As a result of that conspiracy, Taupa and the National Credit Union Association (which insures credit unions) lost approximately $481,000, according to the information.
Struna maintained both personal and corporate accounts at Taupa dating back to 1995. He began a conspiracy with Spirikaitis in 2007, during which time Struna overdrew his accounts by approximately $2.5 million, according to the information.
Struna called Spirikaitis about twice a month and requested Spirikaitis’ approval to withdraw additional funds. Spirikaitis made multiple transfers from Taupa’s internal accounts to cover the overdrafts, according to the information.
Spirikaitis caused Taupa to make approximately 38 false and fraudulent wire transfers into Struna’s personal accounts between 2007 and 2013. During that time, Struna repaid only approximately $15,000, according to the information.
In 2011, Struna requested and received $112,105 from Spirikaitis for the purchase of a condominium located in Ft. Myers, Florida. In 2012, he requested and received approximately $100,000 for an investment opportunity. At no time did Struna submit any credit applications or loan documents, according to the information.
As a result of that conspiracy, Taupa and the NCUA suffered a loss of approximately $2.5 million, according to the information.
The information also details similar conduct in which Spirikaitis transferred Taupa funds to cover overdrafts for others who worked at Taupa or had accounts there.
A person identified only as A.B. worked at Taupa between 1991 and 2013 and withdrew more than $1.3 million for which there were insufficient funds, according to the information.
A person identified only as G.C. withdrew approximately $1 million from accounts for which there were insufficient funds between 2001 and 2013. Spirikaitis made multiple transfers from Taupa’s internal accounts to cover the overdrafts, according to the information.
A person identified only as P.B. withdrew approximately $1 million from accounts for which there were insufficient funds between 2001 and 2013. Spirikaitis made multiple transfers from Taupa’s internal accounts to cover the overdrafts, according to the information.
A person identified only as V.A., who worked at Taupa as a bookkeeper, withdrew approximately $120,000 from accounts for which there were insufficient funds, according to the information.
This case is being prosecuted by Special Assistant United States Attorney Derek Kleinmann and Assistant United States Attorney Robert J. Patton. The case was investigated by the Federal Bureau of Investigation.If convicted, the defendant’s sentence will be determined by the court after consideration of the Federal Sentencing Guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Former Sarcoxie School Board Member Pleads Guilty to Possessing Child PornRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former member of the Sarcoxie, Mo., school board pleaded guilty in federal court today to possessing child pornography.
John R. Lewis, 68, of Sarcoxie, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charge contained in a Feb. 28, 2014, federal indictment.
According to court documents, Missouri State Highway Patrol troopers contacted Lewis as part of their investigation into allegations that he had exposed himself to a group of high school students who were working for Lewis on his farm outside of Sarcoxie. The troopers obtained a search warrant for Lewis’s residence and seized two desktop computers, a laptop computer and electronic storage devices.
Investigators determined that the computers contained 19 multimedia files of child pornography and 113 images of suspected child pornography. The multimedia files and images depicted children as young as five years old.
Under the terms of today’s plea agreement, Lewis will be sentenced to two years in federal prison without parole followed by 10 years of supervised release. 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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Missouri State Highway Patrol, the Southwest Missouri Cyber Crimes Task Force and the FBI.
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."Former Owner of Connecticut Construction Company Sentenced in Largest Disadvantaged Business Enterprise Fraud in Nation’s HistoryRead the Press Release
The U.S. Attorney's Office for the Middle District of Pennsylvania announced today that Romeo P. Cruz, of West Haven, Connecticut was sentenced by Senior U.S. District Judge Sylvia H. Rambo in Harrisburg in connection with his role in what the U.S. Department of Transportation (USDOT) has called the largest Disadvantaged Business Enterprise (DBE) fraud in the nation's history. Cruz was sentenced to 33 months’ imprisonment, $119 million in restitution to the USDOT and $79,450 in restitution to the IRS, and 2 years supervised release. He was ordered to surrender to the Bureau of Prisons on February 17, 2014 to begin service of his sentence.
On Monday January 13, 2014, Dennis F. Campbell, Schuylkill Products, Inc.'s (SPI) former Vice-President in charge of Sales and Marketing, was sentenced to 24 months’ imprisonment, $119 million in restitution to the USDOT and 2 years supervised release. Timothy G. Hubler, SPI's former Vice-President in charge of Field Operations, was sentenced to 33 months’ imprisonment, $119 million in restitution to the USDOT, $82,370 in restitution to the Internal Revenue Service, and 2 years supervised release.
Cruz was the owner of Marikina Construction Corporation, the DBE firm which operated as a front for SPI to gain lucrative DBE contracts, pleaded guilty to DBE fraud and tax fraud in 2008 and 2009. Cruz, Campbell and Hubler cooperated with the government's investigation which led to the conviction of the two former owners of SPI, Ernest G. Fink, of Orwigsburg, Pennsylvania, SPI's former Vice-President and Chief Operating Officer, and Joseph W. Nagle, of Deerfield Beach, Florida, SPI's former President and Chief Executive Officer.
Fink pleaded guilty to DBE fraud in 2010. Nagle was convicted after a four-week jury trial in 2012 of 26 charges relating to the DBE fraud scheme. No sentencing date has been scheduled for Fink and Nagle.
"The sentence handed down today, in what is the largest reported DBE fraud case in USDOT history, serves as a clear signal that severe penalties await those who would attempt to subvert USDOT laws and regulations,” said Doug Shoemaker, OIG Regional Special Agent in Charge. “Preventing and detecting DBE fraud are priorities for the Secretary of Transportation and the USDOT Office of Inspector General. Prime contractors and subcontractors are cautioned not to engage in fraudulent DBE activity and are encouraged to report any suspected DBE fraud to the USDOT-OIG. Our agents will continue to work with the Secretary of Transportation, the Administrators of the Federal Highway, Transit and Aviation Administrations, and our law enforcement and prosecutorial colleagues to expose and shut down DBE fraud schemes throughout Pennsylvania and the United States.”
According to U.S. Attorney Peter J. Smith, the DBE fraud lasted for over 15 years and involved over $136 million in government contracts in Pennsylvania alone. SPI, using Marikina as a front, operated in several other states in the Mid-Atlantic and New England regions. Although Marikina received the contracts on paper, all the work was really performed by SPI personnel, and SPI received all the profits. In exchange for letting SPI use its name and DBE status, Marikina was paid a small fixed-fee set by SPI.
The scheme lasted as long as it did because of the numerous fraudulent steps the co-conspirators took to conceal the scheme. SPI personnel routinely pretended to be Marikina personnel by using Marikina business cards, email addresses, stationery, and signature stamps, as well as using magnetic placards and decals bearing the Marikina logo to cover up SPI's logo on SPI vehicles.
SPI and its wholly-owned subsidiary, CDS Engineers, was sold in 2009 and was based in Cressona, Pennsylvania. SPI manufactured concrete bridge beams. CDS was SPI’s erection division and installed SPI’s bridge beams as well as other suppliers’ products. USDOT provides billions of dollars a year to states and municipalities for the construction and maintenance of highways and mass transit systems on the condition that small businesses owned and operated by disadvantaged individuals receive a fair share of these federal funds. The DBE fraud here involved SPI's use of Marikina's name and status to obtain DBE contracts that it was not entitled to receive.
The investigation was conducted by the FBI, the USDOT Inspector General's Office, U.S. Department of Labor Inspector General’s Office, and the Criminal Investigation Division of the Internal Revenue Service. Senior Litigation Counsel Bruce Brandler handled the prosecution.
****Former Miami Real Estate Agents Sentenced for Roles <br /> in Multimillion-dollar Mortgage Fraud SchemeRead the Press Release
Two former Miami real estate agents were sentenced today for their roles in a $2.4 million mortgage fraud scheme, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division.
Jose Filgueiras, 43, was found guilty at trial on Sept. 9, 2013, of three counts of bank fraud and was sentenced by U.S. District Judge William J. Zloch of the Southern District of Florida to serve 57 months in prison. Jose Filgueiras’s wife, Raquel Filgueiras, 39, was found guilty at trial on the same day of one count of bank fraud and was sentenced by Judge Zloch to serve 30 months in prison.
Three co-conspirators in the case were sentenced on Nov. 12, 2013. Jose Armando Alvarado, a former Miami area real estate agent and mortgage broker and Raquel Filgueiras’s father, was sentenced to serve 135 months in prison. Alberto Morejon, a former loan closer and title agent, was sentenced to serve 36 months in prison. Alvarado’s sister, Reyna Orts, a former mortgage broker and the mother of Morejon, was sentenced to serve 50 months in prison. Each of the co-defendants was convicted at trial of various counts of wire and bank fraud.
According to court documents and evidence presented at trial, Alvarado, along with his co-conspirators, operated a mortgage fraud scheme by controlling and operating three real estate entities in the Miami area: South Florida Realty; American Mortgage Lending, a mortgage broker; and Royal Atlantic Title, a title insurance agency. From February 2004 through November 2009, Alvarado and his co-conspirators used their control over these three companies to falsify and misrepresent important facts provided to financial institutions in order to fraudulently secure loans totaling more than $2.4 million. The loans were often obtained through submitting falsified supporting documentation, such as false tax returns, W2 forms, bank statements and employment verifications.
Evidence at trial showed that Alvarado and his co-conspirators subsequently enriched themselves by diverting loan proceeds, collecting brokerage fees and inflating real estate commissions generated by the sales of the properties. Alvarado and his co-conspirators obtained control of multiple properties during the real estate market boom with the intent to flip and sell them for a profit or control them as rental properties. The defendants used their knowledge and experience in the real estate industry to conceal the scheme by executing quit-claim deeds and failing to record, and falsely recording, mortgage deeds and other documentation with the State of Florida.
The case was investigated by the FBI’s Miami Field Office and the Miami-Dade Police Department. The case was prosecuted by Trial Attorney N. Nathan Dimock of the Criminal Division’s Fraud Section.Former Executive Director of Adoption Agency Pleads Guilty to Submitting False Information to Accreditation AgencyRead the Press Release
Contact Person: Bill Nettles (803) 929-3000
WASHINGTON ---- The former Executive Director of International Adoption Guides Inc. (IAG), an adoption agency, pleaded guilty yesterday to making false and fraudulent statements to the Council on Accreditation with respect to IAG’s accreditation.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and U.S. Attorney Bill Nettles of the District of South Carolina made the announcement.
Mary Mooney, 57, of Belmont, North Carolina, admitted as part of her guilty plea that she made false statements to the Council on Accreditation (COA), which granted IAG accreditation to provide adoption services in certain countries. IAG marketed itself as a COA-accredited adoption services provider and numerous clients relied on IAG’s accreditation to confirm that IAG’s adoption services were ethical and in compliance with U.S. and foreign law. Mooney admitted that in support of IAG’s application for accreditation she made several false representations, including: falsely stating that IAG was in substantial compliance with the relevant regulations; intentionally failing to list her co-defendant, Alisa Bivens, as one of IAG’s employees providing adoption services; and intentionally failing to disclose that James Harding, another co-defendant, was the functional director and head of the company. All of these false and fraudulent statements were material to COA’s decision to accredit IAG to conduct intercountry adoptions for purposes of the Hague Convention on the Protection of Children and Cooperation in Respect of Intercountry Adoptions. Without that accreditation, IAG would not have been legally permitted to facilitate intercountry adoptions from any country that was a party to that convention and numerous families would have never retained IAG to provide adoption services.
Mooney is the third defendant to plead guilty as a result of this investigation. Mooney pleaded guilty before Senior U.S. District Court Judge Sol Blatt Jr. of the District of South Carolina. A sentencing hearing will be scheduled at a later date.
This ongoing investigation is being conducted by the Bureau of Diplomatic Security. The department appreciates the assistance of the Office of Children’s Issues at the U.S. Department of State. The case is being prosecuted by Trial Attorney John W. Borchert of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Jamie Lea Schoen of the District of South Carolina.# # #
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DO NOT REPLY TO THIS MESSAGE. IF YOU HAVE QUESTIONS, PLEASE USE THE CONTACTS IN THE MESSAGE OR CALL THE OFFICE OF PUBLIC AFFAIRS AT 202-514-2007.
Five Charged with $1.2 Million Worth of Food Stamp Frauds at Three Stores in YonkersRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, William G. Squires Jr., Special Agent-in-Charge, U.S. Department of Agriculture Office of the Inspector General (“USDA-OIG”), and Charles Gardner, Commissioner of the City of Yonkers Police Department, announced the unsealing of three Complaints yesterday charging five individuals with participating in three separate conspiracies to exchange food stamps for cash at three stores in Yonkers, New York, in violation of the terms of the Supplemental Nutrition Assistance Program (“SNAP”).
U.S. Attorney Preet Bharara stated: “Defrauding the SNAP program is tantamount to taking food from needy children and adults, all of whom need help to get adequate nutrition. As alleged, food stamps were being redeemed for a portion of their cash value. The scheme is cynical and illegal and those who practice it will be prosecuted to the full extent of the law.”
USDA Office of Inspector General, Special Agent-in-Charge William G. Squires Jr. stated: “SNAP was created to provide food and nutrition to those who truly need this assistance. Those who are involved in fraud and abuse of SNAP and other USDA programs will be aggressively pursued by our office. Our joint investigation with the Yonkers Police Department has brought to justice several individuals who sought to profit from the SNAP program through illegal schemes. The USDA Office of Inspector General will continue to dedicate resources and work with our state and local law enforcement partners in order to protect the integrity of these programs and to prosecute those who commit fraud.”
Yonkers Police Department Commissioner Charles Gardner stated: “I would like to thank the members of our Street Crime Unit for their extraordinary investigative efforts in this case. It is yet another example of a successful collaboration between the Yonkers Police Department and our federal partners. This should be a warning to other business owners here in Yonkers that SNAP benefits should be processed as intended or you will be subjected to serious criminal charges.”
According to allegations in the Complaints unsealed in White Plains federal court:
AHMED ALSAMET, 35, the owner of SAM DELI GROCERY STORE in Yonkers, and SHOIAB AHMED, 22, an employee of SAM DELI GROCERY STORE, are charged with conspiring to exchange over $250,000.00 in food stamp benefits for cash. YOUSIF KASSIM, 30, the owner of 42 POST DELI GROCERY in Yonkers, and MUFID KASSEM, 36, an employee of 42 POST DELI GROCERY, are charged with conspiring to exchange over $200,000.00 in food stamp benefits for cash. GLORIA GARCIA, 51, is charged with conspiring to exchange over $800,000.00 in food stamp benefits for cash at a store in Yonkers.
Four of the defendants charged in the Complaints were arrested and presented in White Plains federal court before U.S. Magistrate Judge Paul E. Davison. MUFID KASSEM remains at large.
Each defendant, upon conviction, faces a maximum penalty of 5 years’ imprisonment.
Mr. Bharara praised the outstanding investigative work of the USDA-OIG and the City of Yonkers Police Department.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorney Michael Gerber is in charge of the prosecution.
The charges contained in the Complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
U.S. v. Ahmed Alsamet et al Complaint
U.S. v. Gloria Garcia Complaint
U.S. v. Yousif Kassem et al ComplaintFederal Inmate Charged with Possession of Hand-made WeaponRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a federal grand jury in Scranton returned an Indictment yesterday against Ronnie Perkins, age 23, an inmate incarcerated at the Federal Correctional Institute at Schuylkill yesterday.
According to United States Attorney Peter J. Smith, Inmate Ronnie Perkins is charged with being in possession of a hand-made stabbing weapon on prison grounds.
If convicted, Ronnie Perkins could be imprisoned for a total statutory maximum of up to five years’ imprisonment and a fine of $250,000.
The investigation was conducted by the FBI and the Bureau of Prisons and is assigned to Assistant United States Attorney Todd K. Hinkley for prosecution.
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 5 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Essex County, N.J., Man Admits Role in Armed CarjackingRead the Press Release
NEWARK, N.J. – An Essex County, N.J., man today admitted his role in an armed carjacking in Newark on Nov. 8, 2012, U.S. Attorney Paul J. Fishman announced.
Nathaniel Tullies, 20, of East Orange, N.J., pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an information charging him with one count of theft of a motor vehicle by force, violence, and intimidation, and one count of use of a firearm in furtherance of a crime of violence.
According to documents filed in this case and statements made in court:
On Nov. 8, 2012, when an individual got out of a 2006 Chevrolet Impala to open a garage door, Tullies and an accomplice got on either side of the car, took it from the victim at gunpoint and drove away. The victim called police, who responded within minutes. A Newark police detective spotted the vehicle and a high-speed chase ensued, ending when the Impala crashed on the shoulder of Routes 1/9, the suspects fled on foot and the detective chased and captured Tullies.
The carjacking charge to which Tullies pleaded guilty is punishable by a maximum potential penalty of 15 years in prison. The firearms charge to which Tullies pleaded guilty is punishable by a minimum consecutive term of seven years in prison and a maximum consecutive term of life in prison. Each of these charges also carries a maximum $250,000 fine.
U.S. Attorney Fishman credited detectives with the Essex County Prosecutor’s Office, under the Direction of Acting Prosecutor Carolyn A. Murray, and investigators in the U.S. Attorney’s Office with the investigation leading to today’s guilty plea. Sentencing is scheduled for April 28, 2014.
The government is represented by Assistant U.S. Attorneys Elizabeth M. Harris and Sara F. Merin of the Criminal Division in Newark.
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Defense counsel: Peter Carter Esq., Assistant Federal Public Defender, Newark
Tullies Information
Eastern Idaho Man Sentenced for Meth TraffickingRead the Press Release
POCATELLO – Emilio Raymond Martinez, 31, of Rigby, Idaho, was sentenced today in United States District Court to 80 months in prison followed by four years of supervised release for possession with intent to distribute methamphetamine, U.S. Attorney Wendy J. Olson announced. He appeared today before Judge N. Randy Smith of the Ninth Circuit Court of Appeals, sitting by designation as a district court judge. Martinez pleaded guilty to the charge on October 16, 2013.
According to court documents, on February 26, 2013, during execution of a search warrant at a residence in Bonneville County, officers found Martinez in possession of methamphetamine, which he intended to distribute, and paraphernalia.
Martinez’s co-defendant Sammy Joe Aguirre, 27, of Idaho Falls, pleaded guilty in November 2013 to possession with intent to distribute methamphetamine. He is scheduled to be sentenced on February 21, 2014, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello. He faces up to 20 years in prison.
The case is the result of a joint investigation of the Organized Crime and Drug Enforcement Task Force (OCDETF), led by the Idaho State Police, with assistance from the Idaho Falls Police Department and Bonneville County Sheriff’s Office. Other federal agencies participating in the OCEDTF program include the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), Internal Revenue Service-Criminal Investigation (IRS-CI), U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and U.S. Marshals Service.
The OCDETF program is a federal, multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
Deputy Director of Hudson County Correctional Center Charged with Wiretapping Fellow WorkersRead the Press Release
NEWARK, N.J. – The deputy director of the Hudson County Correctional Center surrendered today to law enforcement and was charged by complaint with illegally wiretapping fellow employees, U.S. Attorney Paul J. Fishman announced.
Kirk Eady, 45, of East Brunswick, N.J. is charged by complaint with one count of intentionally intercepting the wire, oral or electronic communications of others. He is expected to make his initial court appearance today before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court.
According to the documents filed in this case and statements made in court:
Between March 2012 and July 2012, Eady used the services of a publically available website to place telephone calls to four Hudson County Correctional Center employees. The website allowed Eady to conceal the telephone numbers from where the calls originated and also call and record two people simultaneously and make it appear as those people, and not Eady, originated the call. Eady recorded these telephone conversations and did not inform the Hudson County Correctional Center employees that he was recording them. Eady admitted to a cooperating witness that he had recorded conversations with three employees.
The illegal interception offense with which Eady is charged is punishable by a maximum potential penalty of five years in prison and a $250,000 fine.
U.S. Attorney Fishman credited agents of the FBI Newark Field Office, under the direction of Special Agent in Charge Aaron T. Ford, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney David L. Foster of the U.S. Attorney’s Office Special Prosecution’s Division.
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Defense counsel: Peter Willis Esq., Jersey City, N.J.Eady Complaint
Delaware Woman Sentenced to 63 Months for Role in Tax Fraud ConspiracyRead the Press Release
WILMINGTON, Del. - Charles M. Oberly, III, United States Attorney for the District of Delaware, announced that Beverly Newton, age 52, of Middletown, Delaware, was sentenced yesterday by the Honorable Leonard P. Stark, United States District Judge for the District of Delaware, to 63 months imprisonment and full restitution. The defendant pleaded guilty to violations of 18 USC § 286 (False Claims Conspiracy), 18 USC § 1341 (Mail Fraud), and 42 U.S.C. § 408(a)(7)(B) & 18 U.S.C. § 2 (Aiding and Abetting Social Security Fraud), in September 2013.
The defendant participated in a tax fraud conspiracy involving the filing of more than 180 false individual federal income tax returns with the Internal Revenue Service, using stolen identities. The returns sought refunds of more than $1.8 million. The defendant and her co-conspirators received more than $800,000 on account of the fraudulent returns. The defendant’s role in the conspiracy involved providing names and social security numbers to another co-conspirator, who used the information to file the fraudulent returns. The defendant received more than $300,000 for her part in the scheme.
U.S. Attorney Oberly gave the following comments: “This case should send a clear signal that individuals who conspire with others to file false claims against the United States Treasury will face significant penalties. My office is committed to working with the Internal Revenue Service to prosecute these cases, and I will seek incarceration wherever possible and appropriate.”
“The sentencing of Beverly Newton again emphasizes that IRS Criminal Investigation, the United States Attorney’s Office and its law enforcement partners will continue their aggressive pursuit of those who use fraudulent methods in an attempt to corrupt our nation's tax system.” said Akeia Conner, IRS Criminal Investigation Special Agent in Charge. “Ms. Newton is being held accountable for her involvement in this elaborate criminal action.”
This case is the result of an investigation conducted by the Internal Revenue Service Criminal Investigation, the United States Postal Inspection Service, the Social Security Administration Office of the Inspector General, and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Lauren Paxton.Cuyahoga Falls Man Charged for Trying to Purchase 10-Year-Old GirlRead the Press Release
Stephen D. Anthony, Special Agent in Charge of the Cleveland Division of the Federal Bureau of Investigation and Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, announce the federal arrest of Robert W. Thomas, age 36 of Cuyahoga Falls, Ohio.
On January 11, 2014, detectives from the Alliance Police Department arrested a man who was attempting to purchase a 10-year-old female child to keep and use for sexual purposes. The man had posted on an online site asking for anyone willing to arrange a “marriage” of their daughter to him. An Alliance Police Department officer, also assigned to the Ohio Internet Crimes Against Children Task Force, responded to the man’s posting and began a conversation.
Robert W. Thomas agreed to a meeting with the online undercover officer to purchase for $400 what he believed to be a 10-year-old child. Thomas and the officer, acting in an undercover capacity, met in a business establishment in Alliance and then went outside to complete the “transaction.” As the two approached the undercover officer’s vehicle, Thomas was arrested. At the time of arrest, Thomas had $400 cash in his hand. Thomas was taken into custody and was held in the Stark County Jail on a $2 million bond.
The FBI and the Cuyahoga Falls Police Department provided assistance to the Alliance Police Department during the arrest and the subsequent search warrant conducted at Thomas’ residence.
After intensive review with consideration given to the nature and the seriousness of the offense, the investigative team and prosecutors deemed it appropriate to file federal charges.
On January 14, 2014, a federal arrest warrant was authorized charging Robert W. Thomas with one count of Title 18 U.S.C. 2251 A(b)(2)(A), which is the selling or buying of children.
“This case is the result of outstanding investigative work completed by the Alliance Police Department and its partners,” Anthony said. “Mr. Thomas should be prosecuted to the fullest extent of the law and these federal charges will ensure justice is served. Law enforcement will continue to proactively and aggressively pursue predators that intend to harm our children.”
Dettelbach said: “The conduct laid out in these charges is disturbing. Our office remains committed to working with the FBI and all our law enforcement partners to defend our children and fight human trafficking.”
Jennifer L. Arnold, law director for the city of Alliance, said: “The Alliance Law Director’s office would like to commend all the agencies involved in this arrest. While the investigation moved quickly with the Alliance Police, the FBI, the Cuyahoga Falls Police Department, and Judge Lisa Coates of the Stow Municipal Court assisted to ensure that this matter was done with professionalism. This matter received the highest priority treatment by all agencies as warranted by a case of this nature.”
“This was a tremendously successful investigation and operation performed under the supervision of Lieutenant John Jenkins, Detective Bureau Commander,” said Chief Scott C. Griffith, Alliance Police Department. “Also playing integral roles were Detective Matt Shatzer and Officer Hope Rummell, who were assisted by Detective Mike E. Jones, Detective Robert Rajcan, and Officer Don Bartolet. We also appreciate all the assistance given our investigators by the FBI.”
A complaint is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal records, the defendant’s role in the offenses, and the characteristics of the violations. In all cases, the sentences will not exceed the statutory maximum and in most cases they will be less than the maximum.
Any questions regarding this news release can be directed to Special Agent Vicki D. Anderson at the Cleveland Office of the FBI, (216) 522-1400 or [email protected].
Colorado U.S. Attorney's Office Joins in Collections of over $100 Million in Civil and Criminal Actions and Asset Forfeiture in Fiscal Year 2013Read the Press Release
DENVER -- U.S. Attorney John Walsh announced today that in Fiscal Year 2013 the United States Attorney’s Office for the District of Colorado collected a total of $94,388,632.41 for the United States, composed of collections by the Office independently in Colorado and collections obtained jointly with other offices and Department of Justice components. Of the total, the U.S. Attorney’s Office in Colorado collected $85,344,392.38 in important national level cases working with other U.S. Attorney’s Offices and the Department of Justice, some of which are described below, and collected $9,044,240.03 independently in criminal and civil actions in Colorado. Of the Colorado-specific collections, $6,887,564.95 was collected in criminal actions and $2,156,675.08 was collected in civil actions. In addition to these substantial funds, the U.S. Attorney’s Office also collected $7,634,919.00 in asset forfeiture actions in Fiscal Year 2013. Total collections joined by the Colorado office and others in Fiscal Year 2013 exceeded $100 million, more than 6 ½ times the Colorado U.S. Attorney’s budget for Fiscal Year 2013, $15,414,747.00.
Attorney General Eric Holder recently announced that the Justice Department collected approximately $8.1 billion in civil and criminal actions in the fiscal year ending September 30, 2013. The more than $8 billion in collections in FY 2013 represents over three times the appropriated $2.76 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.
“The department’s enforcement actions help to not only ensure justice is served, but also deliver a valuable return to the American people,” said Attorney General Holder. “It is critical that Congress provide the resources necessary to match the department’s mounting caseload. As these figures show, supporting our federal prosecutors is a sound investment.”
“In addition to the many millions of dollars that the U.S. Attorney’s Office in Colorado collects year-in and year-out on our regular caseload, this office has taken the lead in national-level cases, working with other U.S. Attorney’s Office and the Department of Justice in Washington, DC. In Fiscal Year 2013 alone, our overall efforts resulted in the collection of over one hundred million dollars,” said U.S. Attorney John Walsh. “This is critical work on behalf of the taxpayers, who have reason to be proud of the efforts of our Colorado team on behalf of both Colorado and the entire country. Every year, this office is responsible for collecting far more money for the United States taxpayer than our own annual budget.”
Two national cases deserve emphasis. The Colorado U.S. Attorney’s Office, working with colleagues in the Eastern District of New York, the Southern District of Florida and the Eastern District of Michigan, resolved an action for civil penalties against Walgreens Pharmacies for its repeated violations of the Controlled Substances Act. Certain Walgreen stores repeatedly filled bogus prescriptions for highly addictive painkillers that they knew or should have known had no legitimate medical purpose. In addition, the office also worked with the Department of Justice’s Civil Division and other agencies to resolve allegations that NEK Advanced Securities, Inc. was overcharging for their work to develop and deploy teams of specialized personnel in Iraq and Afghanistan to combat improvised explosive devices.
In cases brought solely by the U.S. Attorney’s Office in Colorado, several have been notable. Shawn Merriman operated an investment fraud scheme for over 14 years. The Postal Inspection Service investigated the fraud scheme, determining that Merriman defrauded victim investors of over $20 million. In addition to criminal charges, the United States seized, forfeited and disposed of numerous assets belonging to Merriman. All of the assets were finally sold in 2013, and totaled $3,292,804.05 altogether. The United States was able to remit all of these funds to the victims in 2013.
In addition, in March 2013, Thomas Bader,one of the defendants involved in the College Pharmacy case, in which the defendant was illegally distributing human-growth hormone, was sentenced to 40 months in prison. In addition to his prison sentence, the Court entered a Final Order of Forfeiture, forfeiting to the United States a commercial building worth approximately $2 million, as well as ten other real properties. The Court had previously entered a $4.7 million money judgment against Mr. Bader. In fiscal year 2013, the United States collected $1,242,100.00 in the College Pharmacy case. Additional assets continue to be sold and liquidated. The United States is expecting at least an additional $2 million this next fiscal year.
The U.S. Attorneys’ Offices, along with the Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
Additionally, the U.S. Attorney's Office in Colorado, working with partner agencies and divisions, collected $7,634,919.00 in asset forfeiture actions in FY 2013. Forfeited assets deposited into the Department of Justice Asset Forfeiture and Treasury Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
Child Pornography Charged Filed Against Four PeopleRead the Press Release
Child pornography charges were filed against four people in unrelated cases, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Mark A. Steffee, 43, of Hartville, Ohio, was charged with enticement and possession of child pornography. The indictment charges that from on or about September 1, 2005, through on or about December 1, 2005, and again from on or about March 5, 2013, through on or about March 27, 2013, Steffee, knowingly used a computer connected to the Internet, to attempt to persuade, induce, entice and coerce a 14-year-old girl to engage in illegal sexual activity with him. The indictment also charges that on March 27, 2013, Steffee possessed a computer that contained child pornography.
Marcus W. Cover, 30, of from Midvale, Ohio, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct. The indictment charges that from on or about September 5, 2013, through on or about September 29, 2013, Cover knowingly received and distributed in interstate and foreign commerce, by computer, numerous computer files, which files contained visual depictions of real minors engaged in sexually explicit conduct. The indictment also charges that on December 16, 2013, Cover possessed a computer that contained child pornography.
Kimberly Metzdorf, 23, of Ashtabula, Ohio, was charged with producing, receiving, distributing and possessing child pornography. The indictment charges that on or about July 8, 2013, July 12, 2013 and July 15, 2013, Metzdorf permitted a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct, knowing that such visual depiction would be transported in interstate and foreign commerce. The indictment also charges that from on or about July 3, 2013, through on or about July 23, 2013, Metzdorf knowingly received and distributed in interstate and foreign commerce, numerous digital files, which files contained visual depictions of real minors engaged in sexually explicit conduct. The indictment also charges that on December 17, 2013, Metzdorf possessed an iphone that contained child pornography.
Nicholas Gerhardt, 68, of Canton, Ohio, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct. The indictment charges that from on or about November 19, 2012, through on or about December 1, 2012, Gerhardt knowingly received and distributed in interstate and foreign commerce, by computer, numerous computer files, which files contained visual depictions of real minors engaged in sexually explicit conduct. The indictment also charges that on February 13, 2013, Gerhardt possessed a computer and an external hard drive each that contained child pornography.
If convicted, the sentences in these cases will be determined by the court after consideration of the federal sentencing guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The Steffee case was investigated by the United States Secret Service, the Ohio Internet Crimes Against Children Task Force and the Hartville Police Department. The Cover case was investigated by the Canton Office of the Federal Bureau of Investigation and the Canton Police Department. The Metzdorf case was investigated by the Department of Homeland Security, Homeland Security Investigations. The Gerhardt case was investigated by the Canton Office of the Federal Bureau of Investigation and the Canton Police Department.
These cases are being prosecuted by Assistant United States Attorney Michael A. Sullivan.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Child Pornographer Sentenced to 25 Years for Sexually Exploiting MinorsRead the Press Release
Orlando, Florida – U.S. District Judge Charlene Edwards Honeywell today sentenced Daniel Heffield (30, Orlando, Florida) to 25 years in federal prison for producing and possessing child pornography. The Court also ordered Heffield to serve a life term of supervised release, following his incarceration, and to register as a sex offender. As part of the sentence, Heffield was also ordered to forfeit his interest in the computers and camera that he used to commit the offenses.
Heffield pleaded guilty on August 29, 2013.
According to court documents, Heffield produced and attempted to produce between 25 and 30 sexually explicit videos of at least nine prepubescent and pubescent girls, while they used the bathroom at his home. Heffield had built a device to secure a camera in the bathroom vanity drawer, opposite the toilet. The victims took piano lessons from Heffield’s mother, at Heffield’s house, and were surreptitiously recorded when they used the bathroom during their lessons. Heffield posted the videos of what he considered to be the best shots of the children’s naked genitalia, on the Internet. Homeland Security Investigations special agents located one of the videos during a child pornography investigation in Maine, and subsequently were able to identify a six year-old child.
In an unrelated investigation, agents with the Federal Bureau of Investigation (FBI) discovered that Heffield was a prolific distributer of child pornography, after they downloaded compressed files containing thousands of images depicting the sexual exploitation of prepubescent and pubescent girls that Heffield had posted to a newsgroup. In April 2013, agents executed a search warrant at Heffield’s home and located over 1300 images of child pornography that Heffield had stored on three different hard drives. Heffield admitted to producing, distributing and possessing child pornography, and said that he had been viewing child pornography for about the past fifteen years. Heffield said that he uploaded child pornography to a newsgroup and encouraged and taught others to do the same because it was a faster and easier way to obtain child pornography.
"The exploitation of children is one of the most heinous crimes we investigate," said Susan McCormick, special agent in charge of Homeland Security Investigations Tampa. "Innocent, unsuspecting children are violated, and their images are traded online for eternity. Our special agents take crimes against children very seriously, and we ensure that child pornographers are sentenced to the fullest extent of the law."
FBI Special Agent in Charge Paul Wysopal said, “The facts of this case gives you a glimpse into the mind of a child predator, and the lengths to which such an individual will go in order to take advantage of our children. It is an ugly reminder to parents that these predators will exploit children while hiding in the shadows of restrooms and the Internet. It is our job as law enforcement officers to drag them out of the shadows and we will continue to do so.”“Investigations such as this require the ongoing cooperation of our law enforcement partners, as was demonstrated in this case,” said Acting U.S. Attorney Lee Bentley. “Partnerships like these allow us to bring the proper resources to bear against these egregious crimes.”
This case was investigated by the Federal Bureau of Investigation and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Karen L. Gable.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov. For more information about internet safety education, please visit www.projectsafechildhood.gov and click on the tab "other resources."