Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
11 February 2014
Buffalo Attorney Sentenced for Submitting False Tax ReturnsRead the Press Release
Buffalo, N.Y. -- The United States Attorney's Office for the Western District of New York announced today that Lisa M. Yaeger, 50, of Buffalo, N.Y., who was convicted of submitting false documents to the Internal Revenue Service, was sentenced to time served and six months supervised release by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Gretchen L. Wylegala, who handled the case, stated that the defendant, an attorney who was employed in a variety of public positions, also maintained a private practice. Yaeger failed to report substantial amounts of income she received from her private practice in the years 2005, 2006 and 2007. The tax loss attributable to the undisclosed income exceeded $22,000. The defendant has made full restitution.
The sentencing is the culmination of an investigation on the part of Special Agents of the Internal Revenue Service, Criminal Investigative Division, under the direction of Special Agent- in-Charge Toni M. Weirauch.
Bridgeport Man Admits Stealing 111 Firearms from Smith & Wesson Factory in SpringfieldRead the Press Release
Follow @USAO_CT
Deirdre M. Daly, United States Attorney for the District of Connecticut, and Daniel J. Kumor, Special Agent in Charge of the ATF Boston Field Division, announced that ELLIOT PEREZ, 28, of Bridgeport, pleaded guilty today before U.S. District Judge Alvin W. Thompson in Hartford to multiple offenses related to his theft of 111 firearms from the Smith & Wesson manufacturing plant in Springfield, Mass.
“This defendant is responsible for stealing over 100 illegal firearms and putting some of them directly into the hands of criminals,” stated U.S. Attorney Daly. “These guns are turning up in criminal investigations as far away as North Carolina, and one was used in a recent shooting at a Hartford night club. There is nothing more important to our mission than keeping illegal guns off the streets. We will continue to prioritize these cases and prosecute them to the fullest extent of the law. We thank the Stratford and Bridgeport Police Departments for their great work in quickly arresting these defendants, and the ATF for their investigative work and ongoing efforts to find the over 50 firearms that have yet to be recovered.”
“Stopping the illegal flow of firearms continues to be one of ATF’s top priorities,” stated Special Agent in Charge Kumor. “This ongoing investigation is another example of what happens when law enforcement works together to make communities safer.”
According to court documents and statements made in court, on November 8, 2012, PEREZ, a truck driver for Pace Motor Lines, picked up five boxes of firearms from the Smith & Wesson manufacturing plant in Springfield and placed the boxes in his truck. At the same time, PEREZ stole three additional boxes containing a total of 111 firearms. PEREZ then drove the truck containing all the firearms to his residence in Bridgeport where he met his cohort Michael Murphy. Shortly thereafter, PEREZ delivered the original five boxes of firearms to the trucking company’s distribution center in Stratford.
PEREZ and Murphy stored and ultimately sold many of the stolen guns.
On November 20, 2012, when interviewed by ATF special agents, PEREZ falsely stated that a “black male” at Smith & Wesson’s manufacturing plant told PEREZ which boxes he was supposed to load onto his truck, and that he delivered all of the firearms he picked up to the distribution center in Stratford.
Prior to November 2012, PEREZ had multiple felony convictions, including convictions for larceny and burglary, and Murphy had a felony conviction for burglary. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
PEREZ pleaded guilty to one count of conspiracy to possess and sell stolen firearms, one count of possession of firearms by a convicted felon and one count of making a false statement to a federal law enforcement officer. Judge Thompson scheduled sentencing for May 7, at which time PEREZ faces a maximum term of imprisonment of 20 years.
On December 12, 2013, Murphy, 25, pleaded guilty to one count of conspiracy to possess and sell stolen firearms and one count of possession of firearms by a convicted felon. He is scheduled to be sentenced on April 21 and faces a maximum term of imprisonment of 15 years.
PEREZ and Murphy were originally arrested by the Stratford Police Department on state firearms charges. PEREZ has been in custody since his state arrest on November 23, 2012, and Murphy has been in custody since his federal arrest on November 30, 2012.
U.S. Attorney Daly noted that two convicted felons found in possession of stolen Smith & Wesson firearms taken during the November 2012 theft are also being prosecuted by her office.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Stratford Police Department and the Bridgeport Police Department. The case is being prosecuted by Assistant U.S. Attorney Rahul Kale.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Bank Robber Sentenced to 18 Years in PrisonRead the Press Release
Committed Three Bank Robberies and Robbed a Store Where He Was Employed While on Supervised Release for Previous Federal Bank Robbery Convictions
Greenbelt, Maryland – U.S. District Judge Peter J. Messitte sentenced Reginald Anthony Lasley, age 41, of Silver Spring, Maryland, today to a total of 18 years in prison followed by three years of supervised release. Judge Messitte sentenced Lasley to 16 years for the robbery of a store and three bank robberies and an additional two years in prison for violating his supervised release in connection with previous federal bank robbery convictions. Judge Messitte also ordered Lasley to pay restitution of $29,150.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Chief Mark A. Magaw of the Prince George’s County Police Department.
According to Lasley’s plea agreement, on February 12, 2012, he robbed the pharmacy where he was employed. During the robbery Lasley threatened the manager at knifepoint, bound the manager with duct tape and took approximately $18,000 from the safe before leaving the store. Two months later, Lasley committed three bank robberies. In each bank robbery, Lasley presented the teller with an intimidating note demanding that the teller give him all the $100s, $50s, and $20s, and fled the bank in a black van driven by another individual. Specifically, on April 6, Lasley robbed a SunTrust bank in Landover, Maryland, of $4,810; on April 9 Lasley robbed a SunTrust bank in Upper Marlboro, Maryland of $5,370; and on April 11, Lasley robbed an M&T bank in Largo, Maryland of $1,390.Shortly after the robbery of the M&T bank, Lasley was apprehended by law enforcement. At the time of his arrest, officers recovered from Lasley the demand note used in the M&T bank and the money stolen in the robbery. Officers also recovered from the black van another bank robbery demand note and the hat and shirt Lasley wore during the M&T robbery.
At the time of the 2012 robberies, Lasley was on supervised release in connection with previous federal bank robbery convictions.
United States Attorney Rod J. Rosenstein praised the FBI and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Adam K. Ake, who prosecuted the case.
Attorney Convicted in Connection with Rothstein Ponzi SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Jose A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce today that a federal jury in West Palm Beach convicted Christina M. Kitterman, 38, of Deerfield Beach, on three counts of wire fraud, after a week-long trial before U.S. District Judge Daniel T. K. Hurley. A sentencing date has not been set.
Kitterman was charged with three counts of wire fraud, in violation of Title 18, United States Code, Section 1343. The acts set forth in the charging document were all in furtherance of a “Ponzi” scheme involving the sale of purported confidential settlement agreements in sexual harassment and/or whistle blower cases which were purportedly handled by attorneys at the former Ft. Lauderdale law firm of Rothstein, Rosenfeldt and Adler, P.A. (RRA).
Evidence introduced at trial established that, during the course of the Ponzi scheme, and while she was employed as an attorney at RRA, Kitterman falsely posed as the head of the Ft. Lauderdale office of the Florida Bar Association during a meeting with certain investors in order to explain to the investors the reason why certain payments due to them had not been made.
At sentencing, Kitterman faces up to twenty years in prison and a fine of $250,000.00.
U.S. Attorney Wifredo A. Ferrer stated, “The verdict rendered by the jury today is another step toward bringing Rothstein’s criminal associates to justice. As I have previously stated, the success of Rothstein's complex scheme to deceive and defraud depended on the complicity of individuals like Christina Kitterman. Kitterman, an attorney, was the fifteenth individual to face criminal charges in connection with this complex financial fraud.”
IRS-CI Special Agent in Charge Jose A. Gonzalez stated, “The jury has validated the government's case sending a strong message that those who knowingly assist in perpetrating investment scams will be held accountable for their actions. Together with our law enforcement partners, we will continue to aggressively investigate and bring to justice those who aided Rothstein in perpetrating this massive fraud.”
“Although Scott Rothstein was the ringleader in a massive Ponzi scheme, he needed help. A jury of her peers has determined Christina Kitterman gave him that help and needs to be held accountable,” said Michael B. Steinbach, Special Agent in Charge, FBI Miami. “Regardless of one’s role, the FBI and its partners are committed to investigate those who swindle investors.”
Mr. Ferrer commended the investigative efforts of IRS-CI and the FBI. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, Jeffrey N. Kaplan and Evelyn B. Sheehan.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Arizona Man Pleads Guilty to Drug and Money Laundering ChargesRead the Press Release
BUFFALO, N.Y. B U.S. Attorney William J. Hochul, Jr. announced today that Shane Grafman, 29, of Prescott, Arizona, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine and 100 kilograms or more of marijuana, as well as a separate charge of money laundering conspiracy, before U.S. District Court Judge Richard J. Arcara. The charges carry a mandatory minimum sentence of 10 years in prison, a maximum of life and a fine of $11,342,000.
Assistant U.S. Attorney Timothy C. Lynch, who is handling the case, stated that between April 2009 and February 1, 2012, the defendant conspired with others to distribute cocaine and marijuana. The defendants obtained the narcotics in the State of Arizona, and then utilized several methods to send the marijuana and cocaine to the Buffalo area, including cars, trucks, shipping crates and United States Postal Service parcels. Grafman also utilized private jets to travel from Arizona to Buffalo to pick up his drug proceeds.
During the investigation, law enforcement officers seized approximately $1,000,000 in United States currency, including $671,385 from a hidden compartment within a Honda Ridgeline driven by Grafman.
As part of his plea, the defendant admitted that he distributed more than 100 kilograms (200 pounds) of cocaine and 1000 kilograms (more than 2000 pounds) of marijuana during the course of his crimes. At an average usage rate for cocaine of 100 milligrams per use, the amount of cocaine distributed by the defendant would have resulted in at least 1,000,000 individual uses, or “hits.”
Grafman was arrested in February 2012. Other defendants charged in the case include Elijah Chaffino, of Tempe Arizona, who has been convicted nd is awaiting sentencing. Charges are still pending against defendants Jordan Ali, formerly of Alden, N.Y, Jason Nati, of Buffalo, N.Y., and Jacquelyn Witman, formerly of Buffalo, N.Y., now residing in the Atlanta, Georgia area. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the culmination of investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Acting Special Agent in Charge, New York Field Division; Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero; Internal Revenue Service, under the direction of Special Agent-in-Charge Toni M. Weirauch; United States Postal Service Inspection Service, under the direction of Inspector-in-Charge Kevin Niland; Federal Bureau of Investigation, under the direction of Special Agent in Charge Brian P. Boetig; Buffalo Police Department, under the direction of Commissioner Daniel Derenda; Erie County Sheriff's Department, under the direction of Sheriff Tim Howard; Niagara Frontier Transit Authority, under the direction of Chief George Gast; Tempe, Arizona Police Department; Apache County, Arizona Sheriff's Department; and Oklahoma State Police.
Sentencing is scheduled for June 25, 2014 at 9:00 a.m. before Judge Skretny.
.
Anthony, N.M., Man Pleads Guilty to Unlawful Possession of a Firearm and AmmunitionRead the Press Release
ALBUQUERQUE – Javier Orozco, 29, of Anthony, N.M., pleaded guilty this afternoon in Las Cruces federal court to being a felon in possession of a firearm and ammunition under a plea agreement with the U.S. Attorney’s Office.
Orozco and his brother Victor Manuel Carreon, 23, of Anthony, N.M., were arrested on Sept. 5, 2013, on a criminal complaint charging them with being felons in possession of firearms and ammunition. The two were subsequently indicted on these charges in Dec. 2013. The indictment alleged that Orozco and Carreon unlawfully possessed firearms and ammunition in Doña Ana County, N.M., on June 19, 2013. At the time, the brothers were prohibited from possessing firearms or ammunition because they were convicted felons. Orozco had been convicted for shooting at a motor vehicle and aggravated assault, and Carreon previously had been convicted for possession of a controlled substance and aggravated fleeing from a law enforcement officer.
According to the criminal complaint, on June 19, 2013, Orozco and Carreon were arrested on state charges by Doña Ana County Sheriff’s deputies who were seeking to arrest Carreon on state warrants. The deputies detained Orozco in the vicinity of a truck parked outside a residence in Anthony, and arrested Carreon inside the residence. At the time of his arrest, Carreon was near a trash can that contained a loaded handgun; he admitted ownership of the handgun during a post-arrest interview. The deputies arrested Orozco after they allegedly found a large amount of cash and a plastic bag containing methamphetamine in Orozco’s pockets. During a search of the truck, which allegedly was driven primarily by Orozco, officers allegedly found additional currency and a loaded handgun.
This afternoon, Orozco entered a guilty plea and admitted possessing a 9 mm handgun on June 19, 2013. Orozco has been in federal custody since his arrest in this case and remains detained pending his sentencing hearing. At sentencing, Orozco faces a maximum penalty of ten years in prison.
On Jan. 7, 2014, Carreon pleaded guilty to being a felon in possession of a firearm and ammunition without the benefit of a plea agreement. Carreon has been in federal custody since his arrest in Sept. 2013, and remains detained pending his sentencing hearing, which has yet to be scheduled. Carreon also faces a maximum penalty of ten years in prison when he is sentenced.
This case was investigated by the Las Cruces office of the FBI and the Doña Ana County Sheriff’s Office and is being prosecuted by Assistant U.S. Attorney Maria Y. Armijo of the U.S. Attorney’s Las Cruces Branch Office.
Akron Man Pleads Guilty to Posession of Child PornographyRead the Press Release
BUFFALO, N.Y. B U.S. Attorney William J. Hochul, Jr. announced today that Michael A. Taschetta, 55, of Akron, N.Y., pleaded guilty before U.S. District Court Judge Richard J. Arcara, to possession of child pornography. The charge carries a maximum penalty of 10 years in prison, a fine of $250,000, or both.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that the defendant downloaded images of child pornography from the internet, some of which included graphic depictions of children under 12 years old engaged in sexual conduct. Taschetta downloaded child pornography onto his computer utilizing a peer-to-peer software application.
The plea is the culmination of an investigation on the part of Special Agents of the Department of Homeland Security, Homeland Security Investigations, under the direction of James C. Spero, Special Agent in Charge.
Sentencing is scheduled for May 27, 2014 at 12:30 p.m. before Judge Arcara.
24 Defendants with Ties to Powerful Italian Organized Crime Syndicate Known as the ‘Ndrangheta Arrested in Coordinated U.S.-Italian TakedownRead the Press Release
BROOKLYN, NY- A fifteen-count indictment was unsealed this morning in federal court in the Eastern District of New York charging seven defendants with narcotics trafficking, money laundering and firearms offenses based, in part, on their participation in a transnational heroin and cocaine trafficking conspiracy involving the ‘Ndrangheta, one of Italy’s most powerful organized crime syndicates.1 The defendants – ‘Ndrangheta member Raffaele Valente, also known as “Lello,” Gambino associate Franco Lupoi, Bonanno associate Charles Centaro, also known as “Charlie Pepsi,” Dominic Ali, Alexander Chan, Christos Fasarakis, and Jose Alfredo Garcia, also known as “Freddy” – were arrested earlier today. In a coordinated operation, Italian law enforcement authorities arrested 17 members and associates of the ‘Ndrangheta in Calabria, Italy who were involved in the narcotics trafficking conspiracy, among other crimes.
The seven defendants arrested in the United States are scheduled to be arraigned this afternoon before Chief United States Magistrate Judge Steven M. Gold, at the United States Courthouse, 225 Cadman Plaza East, Brooklyn, New York. The case has been assigned to United States District Judge Sterling Johnson, Jr.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York, and George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI).
“The ‘Ndrangheta is an exceptionally dangerous, sophisticated and insidious criminal organization, with tentacles stretching from Italy to countries around the world,” stated United States Attorney Lynch. . “The defendant Lupoi sought to use his connections with both ‘Ndrangheta and the Gambino crime family to extend his own criminal reach literally around the globe. Today, thanks to the vigilance and sustained cooperation of the Department of Justice and its law enforcement partners in Italy, the ‘Ndrangheta’s efforts to gain a foothold in New York have been dealt a lasting blow.” Ms. Lynch praised the outstanding investigative efforts of the Federal Bureau of Investigation and expressed her thanks to law enforcement partners in Italy, including the Prosecutor of the Republic of Reggio Calabria; the Italian National Police (INP) and, in particular, the Squadra Mobile of Reggio Calabria and the Servizio Centrale Operativo; the Direzione Centrale per i Servizi Antidroga; and the Direzione Nazionale Antimafia. Ms. Lynch also expressed gratitude to the U.S. Department of Justice Attaché and the Office of the FBI Legal Attaché at the U.S. Embassy in Rome, who coordinated extensive evidence-sharing and coordinated undercover operations.
“As alleged, ‘Ndrangheta’s clan members conspired with members of the Gambino organized crime family in New York in an attempt to infiltrate our area with their illegal activities. Under the auspices of legitimate shipping businesses, the two criminal groups worked together to establish a plan of moving cocaine and heroin between the United States and Italy. Little did they know, there was an ongoing collaboration between the FBI and the Italian National Police to investigate and identify their scheme. This international cooperation between our great law enforcement agencies is one that was established at the beginning of our investigation, and it remains in place today. With every arrest made, both here and in Italy, FBI agents and Italian National Police officers closely coordinated their operations and share the success of this operation,” said FBI Assistant Director-in-Charge Venizelos.
As detailed in the indictment and detention letter filed today, defendant Franco Lupoi, a Brooklyn resident who has lived in Calabria, used his close criminal ties to both the Gambino organized crime family and the ‘Ndrangheta, an Italian criminal organization akin to the Mafia in Sicily and the Camorra in Naples, to pursue criminal activity that stretched across the globe. The Italian charges unsealed today reveal how the ‘Ndrangheta has operated for decades in Calabria in localized clans – known as ‘ndrine – based primarily on close family ties. In this case, Lupoi’s father-in-law, Italian defendant Nicola Antonio Simonetta, is a member of the Ursino clan of the ‘Ndrangheta. In 2012, Simonetta traveled to Brooklyn and met with Lupoi and an undercover FBI agent, who recorded Simonetta and Lupoi discussing plans to ship narcotics between the U.S. and Italy via the port of Gioia Tauro in Calabria, an infamous hub of ‘Ndrangheta activity. Simonetta revealed that his ‘Ndrangheta associates at the port would guarantee the safe arrival of container ships containing contraband.
As alleged in court documents, Lupoi exploited these underworld connections to link his criminal associates in New York with those in Calabria, forming conspiracies to traffic heroin and cocaine. On the Italian side, he allegedly engaged Italian defendant and ‘Ndrangheta leader Francesco Ursino and others as suppliers of heroin and buyers of cocaine. During two joint FBI-INP operations in Italy, Lupoi and Ursino sold over 1.3 kilograms of heroin to an FBI undercover agent for what they believed was eventual distribution in the United States. In New York, Lupoi, Chan and Garcia sold the undercover agent more than a kilogram of heroin.
As alleged, Lupoi also set into motion a plot to transport 500 kilograms of cocaine, concealed in frozen food, in shipping containers from Guyana to Calabria. In the course of these conspiracies, Lupoi assured his confederates of his relationship with a corrupt port official in Gioia Tauro, indicating that in return for €200,000, the official could guarantee passage of unlimited containers of contraband. In New York, Lupoi joined forces with defendants Alexander Chan and Garcia to orchestrate the Guyana-Italy cocaine conspiracy. In conversations recorded by the undercover agent, the conspirators discussed their connections to Mexican drug cartels operating in Guyana, South America, and plotted to transport 500 kilograms of cocaine internationally, hidden in shipments of frozen fish or pineapples. On the Italian side, Ursino and his coconspirators planned to use a fish importation company to receive the shipment. As set forth in Italian court documents, the conspiracy slowed when shipping containers originating from the same Guyanese shipping company were seized in Malaysia and found to contain over $7 million in cocaine hidden in pineapples and coconut milk.
As set forth in court documents, Lupoi also worked closely with U.S. defendant and ‘Ndrangheta member Raffaele Valente, who sold an illegal silencer and sawed-off shotgun to the FBI undercover agent at the Royal Crown Bakery in Brooklyn. In conversations intercepted on Italian wiretaps, Valente revealed that he had assembled a group of well-armed men in New York and that their base of operations was as secure as “Fort Knox.” Valente also discussed his devotion to St. Michael the Archangel as the purported “patron saint” of the ‘Ndrangheta and exhorted Italian defendant Andrea Memmolo to wear a special ring as a sign of pride and mutual recognition. Valente and Lupoi are charged with conspiracy to transfer a firearm, and Valente is charged with two counts of illegal possession of a silencer. Valente is also charged in Italy with the crime of mafia association based on his role in establishing an ‘Ndrangheta cell in New York.
As alleged, Lupoi further maintained a network of money laundering associates in New York. He and his codefendants Dominic Ali, Charles “Charlie Pepsi” Centaro, and Christos Fasarakis, an employee of Alma Bank in Brooklyn, laundered more than $500,000 in funds that they believed were the proceeds of narcotics and illegal weapons trafficking. Centaro was recorded describing his access to bank accounts with millions of dollars through which he could launder and conceal criminal proceeds.
If convicted, Lupoi, Chan and Garcia face a maximum sentence of life imprisonment; Ali, Centaro and Fasarakis face a maximum sentence of twenty years’ imprisonment on each money laundering charge; and Valente faces a maximum sentence of ten years’ imprisonment on each firearms charge.
The government’s case is being prosecuted by Assistant United States Attorneys Cristina Posa, Kristin Mace and Kevin Trowel.
The Defendants:
FRANCO LUPOI
Age: 44
Brooklyn, NY
DOMINIC ALI
Age: 55
Brooklyn, NY
CHARLES CENTARO, a.k.a. “Charlie Pepsi”
Age: 50
Brooklyn, NY
ALEXANDER CHAN
Age: 46
New York, NY
CHRISTOS FASARAKIS
Age: 42
Brooklyn, NY
RAFFAELE VALENTE, a.k.a. “Lello”
Age: 42
Brooklyn, NY
JOSE ALFREDO GARCIA, a.k.a. “Freddy”
Age: 47
New York, NY
E.D.N.Y. Docket No. 14-CR-042 (SJ)
___________________________________________________________________________
1 The charges contained in the indictment and complaint are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
10 February 2014
Wood County Man Pleads Guilty to Receiving Child PornographyRead the Press Release
HUNTINGTON, W.Va. – A 22-year-old Wood County man who solicited and received sexually explicit images of a child pleaded guilty today. Jon Seth Davisson pleaded guilty in federal court in Huntington before Chief United States District Judge Robert C. Chambers to receiving child pornography. Davisson faces a mandatory minimum of five years and up to 20 years in prison when he is sentenced on May 12, 2014.
In August 2013, Davisson exchanged text messages with a 13-year-old Cabell County child and persuaded the child to take and send sexually explicit photographs to Davisson. At the time Davisson received these photographs, he was a U.S. Army private stationed at Fort Lewis, Washington. Davisson had been acquainted with the child for several years and was aware of the age of the child at the time he requested that the images be taken and sent.
The Cabell County Sheriff’s Office and the Federal Bureau of Investigation conducted the investigation. Assistant United States Attorney Jennifer Rada is in charge of the prosecution.
This case is being brought as part of U.S. Attorney Goodwin’s ongoing initiative to combat child sexual exploitation and abuse in the Southern District of West Virginia.
Woman Traveled to Pittsburgh to Sell Counterfeit Money Orders and Bank ChecksRead the Press Release
PITTSBURGH, PA - A New Jersey woman pleaded guilty in federal court to charges of fraudulently transmitting postal money orders, and making, uttering and passing counterfeit security, United States Attorney David J. Hickton announced today.
Shawn S. Foote, 46, of Atlantic City, New Jersey, pleaded guilty to two counts before United States District Judge Cathy Bissoon.
In connection with the guilty plea, Foote traveled to Pittsburgh, Pennsylvania, from Atlanta Georgia, to sell counterfeit U.S. Postal Money Orders and counterfeit bank checks to another for the purpose of being fraudulently negotiated.
Judge Bissoon scheduled the sentencing for May 28, 2014, at 10 a.m. The law provides for a maximum total sentence of 15 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Paul E. Hull is prosecuting this case on behalf of the government.
The United States Postal Inspection Service and Homeland Security Investigations conducted the investigation that led to the prosecution of Shawn S. Foote.
Waterloo Internet "Molly" Dealer Pleads Guilty to Federal Drug ConspiracyRead the Press Release
A Waterloo man who imported MDMA (also known as “ecstasy” or “Molly”) he ordered through the internet pled guilty today in federal court in Cedar Rapids.
Adam Lawin, age 23, from Waterloo, Iowa, was convicted of conspiracy to distribute 3,4-methylenedioxymethamphetamine (also known as MDMA or “Molly”).
In a plea agreement, Lawin admitted that he obtained the MDMA by utilizing the highly encrypted drug trafficking marketplace website, Silk Road. Lawin also admitted he insulated himself from detection by law enforcement by having the packages delivered to friends or acquaintances, and paying those individuals a nominal fee (either a small amount of MDMA or cash) for delivering the packages to him. During a search of Lawin’s Waterloo residence on April 26, 2013, law enforcement seized over 1.3 kilograms of MDMA. During earlier searches, officers had seized over 250 grams of MDMA destined for Lawin.
Sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. Lawin was taken into custody by the United States Marshal after the guilty plea and will remain in custody pending sentencing. Lawin faces a possible maximum sentence of 20 years’ imprisonment, a $1,000,000 fine, $100 in special assessments, and at least 3 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Dan Chatham and was investigated by the Department of Homeland Security, Homeland Securities Investigations, and the Tri-County Drug Enforcement Task Force.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is No. CR13-2040-1-LRR.
Wasilla Man Sentenced for Fraud in Scheme to Unlawfully Obtain Social Security Retirement BenefitsRead the Press Release
Anchorage, Alaska – United States Attorney Karen L. Loeffler announced today that William S. Stemmons, 31, of Wasilla, was sentenced to five years of probation for committing fraud against the Social Security Administration.
Chief United States District Court Judge Ralph R. Beistline imposed the sentence on February 4, ordering Stemmons to serve four months of home confinement and imposing restitution in the amount of $57,991.40. Stemmons was indicted in Denver, Colorado, in June 2013 on charges that he committed wire fraud, made false statements, and engaged in aggravated identity theft as part of a scheme to fraudulently obtain social security retirement benefits in his father’s name.
The case was transferred from Colorado to Alaska with the agreement of the United States Attorney’s Offices and the United States District Courts in both states. On November 20, 2013, Stemmons pled guilty to one count of wire fraud, admitting that between 2006 and 2010 he fraudulently obtained retirement benefits in the name of his father, who was then living outside the United States and had not applied for the payments. The scheme was discovered when Stemmons’ father did apply for retirement benefits, triggering the investigation that identified Stemmons’ thefts.
According to the sentencing memorandum filed by the prosecution, Stemmons was working in law enforcement and as a military security guard during the period that he was defrauding the United States.
The case was investigated by the Social Security Administration, Office of the Inspector General, Office of Investigations, in Denver and Seattle, and was prosecuted jointly by the United States Attorney’s Offices for the Districts of Alaska and Colorado.
Vienna Man Pleads Guilty in Connection with Heroin Overdose Death of McLean TeenagerRead the Press Release
ALEXANDRIA, Va. – Kyle Alifom, 20, of Vienna, Va., pleaded guilty today to tampering with evidence for hiding the body of Emylee Lonczak, a 16-year-old from McLean, Va. who died after a heroin overdose.
Dana J. Boente, Acting United States Attorney for the Eastern District of Virginia; Karl C. Colder, Special Agent in Charge for Drug Enforcement Administration’s (DEA) Washington Field Division; and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after the plea was accepted by United States District Judge Claude M. Hilton.
Alifom faces a maximum penalty of 20 years in prison when heis sentenced on May 16, 2014.
In a statement of facts filed with the plea agreement, Alifom admitted that he and three other individuals, including Emylee Lonczak, traveled from Virginia into Washington, D.C. to purchase heroin. All four people used the heroin, and Lonczak became unconscious. The group traveled back to Virginia, and one of the other individuals dropped off the defendant and Lonczak, who remained unconscious, at the defendant’s residence in Vienna, Va.
Alifom and the other individual put Lonczak in a basement bedroom. The following morning, Alifom discovered that Lonczak had died. Alifom then dragged Lonczak’s body into a wooded area behind a neighbor’s house and covered the body with an abandoned window screen that he found nearby. The Fairfax County Police Department located Lonczak’s body approximately one day later. An autopsy and toxicology report confirmed that Lonczak had a fatal level of heroin in her system.
This case was investigated bythe Fairfax County Police Department and the DEA. Assistant United States Attorney Michael P. Ben’Ary is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Utah Man Sentenced for Threatening CEO of Anti-Doping AgencyRead the Press Release
DENVER – Robert Hutchins, age 60, of Sandy, Utah, was sentenced this morning by Chief U.S. District Court Judge Marcia S. Krieger to serve 1 year probation, with mental health treatment, for sending interstate communications involving a threat, U.S. Attorney John Walsh and FBI Denver Division Special Agent in Charge Thomas Ravenelle announced. Chief Judge Krieger also ordered Hutchins to serve 50 hours of community service and pay a fine of $3,300, which represents the cost to supervise a person on probation for a year.
Hutchins was indicted by a federal grand jury in Denver on July 10, 2014. He pled guilty before Chief Judge Krieger on November 4, 2013. The defendant was sentenced today, February 10, 2014.
According to the stipulated facts contained in the plea agreement, in 2012, the United States Anti-Doping Agency (USADA) had been investigating allegations that cyclist Lance Armstrong had achieved his prodigious record by cheating; by “doping” and using drugs and other improper means to win. As the investigation heated up in the summer of 2012, Chief Executive Officer of USADA, Travis Tygart, received a barrage of negative public comment, mostly via emails, about USADA’s investigation. In August 2012, it was anticipated that USADA would announce its findings, including that Lance Armstrong would banned from cycling for life. On August 23, 2012, Lance Armstrong released a press statement that he would not challenge USADA’s findings. The negative emails intensified. On August 24, 2012, USADA, as predicted, made the announcement that Lance Armstrong would be banned from cycling for life and disqualified of all his competitive results from August 1, 1998, through August 24, 2012. This disqualification included being stripped of his seven Tour de France titles.
Among the members of the public who were angry over USADA’s methods and conclusions was the defendant, Mr. Hutchins. Beginning in July 2012, Mr. Hutchins sent two emails USADA voicing his displeasure. Those emails, while scathing in tone and full of invective, were not threatening.
On the evening of August 23, 2012, Mr. Hutchins crossed the line and made threats to Travis Tygart. The email was sent to one of USADA’s email addresses with the subject line “Travis Tygert [sic] Hope you have body guards and bullet proof vest.” The email read as follows:
Travis Tygert [sic], Hope you have body guards and bullet proof vest, your [sic] a dead man mother f@%&*#. You just don’t know what you’ve done!!!
You’re a** is f@%&*#.The email was traced to Mr. Hutchins in Sandy, Utah. As a result of the threatening email sent on August 23, 2012, Mr. Travis Tygart hired private security for himself and his family, and moved his family to a secure location while the FBI investigated the source of the threat.
This case was investigated by the FBI.
The defendant was prosecuted by Assistant U.S. Attorney Valeria Spencer.
U. S. Attorney's Office Announces Historic Cocaine SeizuresRead the Press Release
ROCHESTER, N.Y.—U.S. Attorney William J. Hochul, Jr. announced today that four defendants have been charged in three separate complaints with narcotics trafficking resulting in the largest seizure of cocaine ever in the Rochester area.
“These seizures demonstrate the commitment of law enforcement to protect the community from these dangerous drugs,” said U.S. Attorney Hochul. “At the same time, the public should be aware that cocaine, in addition to heroin and prescription drugs that are illegally abused, can have lethal consequences and no one is immune from the addictions cause by these drugs.”
Christopher Kendrick was arrested on February 4, 2014 on Interstate 490 near Chili, N.Y. with 24 kilograms of suspected cocaine. He is charged with possession with intent to distribute 10 kilograms or more of cocaine. The charge carries a mandatory minimum of 10 years in prison, a maximum of life and a $10,000,000 fine. This seizure is believed to be the single largest seizure of cocaine ever in the Rochester area.
In another case, Jaime Fontanez and Daniel Acevedo were also arrested on February 4, 2014 following the execution of a search warrant at 72 Jewell Street in Rochester, N.Y. During the course of the investigation, law enforcement officers recovered three kilograms of suspected cocaine. The defendants are charged with possession with intent to distribute 500 grams or more of cocaine, attempting to possess 500 grams or more or cocaine with intent to distribute, and possession of cocaine with intent to distribute.
A fourth defendant, Manuel Rivera, was arrested on January 31, 2014 after officers recovered two kilograms of cocaine during a search warrant at the defendant’s residence on Seneca Manor Drive in Rochester. He is charged with conspiracy to possess 500 grams or more of cocaine with intent to distribute.
Fontanez, Acevedo and Rivera all face a mandatory minimum five years in prison, a maximum of 40 years, and a $5,000,000 fine.
The complaints are the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Office, the United States Postal Inspection Service, under the direction of Kevin Niland, Inspector in Charge, Boston Division, the Rochester Police Department, under the direction of Acting Chief Michael Ciminelli, the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major Wayne C. Olson, and the Monroe County District Attorney’s Office, under the direction of Sandra Doorley.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Two Sentenced for Selling Oxycodone in Nitro, West VirginiaRead the Press Release
Couple busted with hundreds of illegal prescription pills
HUNTINGTON, W.Va. – Michelle Craig, age 34, and James Bennett, age 44, were both sentenced today in Huntington by Chief U.S. District Judge Robert Chambers to terms of imprisonment of two years nine months and two years, respectively. Craig and Bennett previously plead guilty in August 2013 to aiding and abetting each other in the illegal distribution of oxycodone, a powerful prescription painkiller. Craig and Bennett admitted that on April 22, 2010, they sold 100 oxycodone tablets for $2,300 to a confidential informant (CI) working with the Metropolitan Drug Enforcement Network Team (MDENT). The drug deal took place in the parking lot of a Pilot gas station in Nitro, West Virginia. In addition to the pills sold to the CI, agents also seized another 66 pills from the defendants’ car and 188 pills from the home the defendants shared in Putnam County, West Virginia.
This case was prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers.
Two New Braunfels Ammo Smugglers Found Guilty of Federal ChargesRead the Press Release
In Del Rio on Friday evening, a federal jury found 23-year-old Jesus Cardenas of New Braunfels, TX, and 34-year-old Luis Cardenas guilty on multiple counts of smuggling ammunition from the United States announced U.S. Attorney Robert Pitman and Homeland Security Investigations Special Agent in Charge Janice Ayala.
The federal jury convicted the brothers of two counts of smuggling ammunition from the United States. The jury also convicted Jesus Cardenas of two counts of smuggling ammunition and magazines from the United States.
Evidence presented during the three-day-trial showed that on two separate occasions between November 2011 and January 2012, Jesus Cardenas purchased, on behalf of an individual in Piedras Negras, Mexico, a total of more than 15,000 rounds of ammunition and 400 assault rifle magazines intended for export to Mexico. Furthermore, Luis Cardenas was paid to transfer the ammunition to an individual who then transported it to Del Rio.
On December 1, 2011, United States Border Patrol agents seized part of the ammunition along with 23 assault rifles within yards of the Rio Grande River outside Del Rio. Special Agents with Homeland Security Investigations seized additional ammunition and magazines in January 2012.
Both remain in custody pending sentencing. Each charge of conviction calls for a maximum of ten years in federal prison and a maximum $250,000 fine. Sentencing for the case is presently set for August 14, 2014, before U.S. District Judge Alia Moses in Del Rio.
This case resulted from an investigation by Homeland Security Investigations (HSI) together with United States Customs and Border Protection, United States Border Patrol and the Federal Bureau of Investigation. Assistant United States Attorneys Lewis Thomas and Patrick Burke are prosecuting this case for the Government.
Two Men Sentenced for Federal Hate Crime Charges Resulting from 2012 New Year's Eve AttackRead the Press Release
The Civil Rights Division and U.S. Attorney’s Office for the Central District of California announced that two Latino men associated with the Compton 155 street gang were sentenced today by U.S. District Judge Terry J. Hatter Jr. for their racially-motivated attack on African-American juveniles at a residence in Compton, Calif., on Dec. 31, 2012. Jeffrey Aguilar, also known as Terco, 19, and Efren Marquez Jr., also known as Stretch and Junior, 21, were each sentenced to serve 21 months in prison along with three years of supervised release.
On Oct. 17, 2013, both defendants pleaded guilty to violating the Matthew Shepard-James Byrd Jr. Hate Crime Prevention Act after admitting their involvement in the assault.
Aguilar and another individual physically attacked a 17-year-old African-American, who was walking down a street in the city of Compton. Aguilar chased down and struck the victim in the head with a metal pipe. During the incident, Marquez threatened to shoot another African-American juvenile who was present. Both Aguilar and Marquez admitted that the attack on the 17-year-old victim was motivated by the race and color of the victim.
“Despite the substantial progress made, violent acts of hate committed because of someone’s race continue to occur to this day, and the department will continue to use every available tool to identify and prosecute hate crimes whenever and wherever they occur," said Acting Assistant Attorney General Jocelyn Samuels for the Justice Department’s Civil Rights Division.
“Hate based crimes have no place in America,” said U.S. Attorney André Birotte Jr. for the Central District of California. “The defendants’ attempt to rid their neighborhood of African-Americans serves as a sickening reminder that racial intolerance still exists in some segments of our community. For this egregious conduct, the defendants have received well-deserved prison terms.”
“The FBI is committed to the protection of civil rights and will continue to investigate allegations of crime motivated by hate,” said Assistant Director in Charge Bill L. Lewis for the FBI’s Los Angeles Field Office. “I’m hopeful that this sentencing will clarify the serious consequences for anyone contemplating senseless violence against the innocent due to their religion, race, disability, ethnic origin or sexual orientation.”
“Law enforcement is dedicated to protecting the civil rights of all members of our community and the outcome of this case is a great example of the close cooperation between all agencies involved to ensure that goal,” said Interim Sheriff John L. Scott of the Los Angeles County Sheriff’s Department.
This case is the result of an investigation conducted by the FBI and the Los Angeles County Sheriff’s Department. It is being prosecuted by Assistant U.S. Attorney Reema El-Amamy of the Violent and Organized Crime Section of the U.S. Attorney’s Office and Trial Attorney Saeed Mody of the Civil Rights Division.
Two Men Sentenced for Federal Hate Crime Charges Resulting from 2012 New Year's Eve Attack on African-American YouthsRead the Press Release
LOS ANGELES – Two Latino men associated with the Compton 155 street gang were sentenced to federal prison today for their racially-motivated attack on African-American juveniles at a residence in Compton on New Year’s Eve 2012.
Jeffrey Aguilar, also known as “Terco”, 19, and Efren Marquez Jr., also known as “Stretch” and “Junior,” 21, were each sentenced to serve 21 months in prison.
The two defendants were sentenced by United States District Judge Terry J. Hatter Jr., who also ordered them to serve three years of supervised release after they complete their prison sentences.
Aguilar and Marquez pleaded guilty on October 17, 2013 to violating the Matthew Shepard-James Byrd Jr. Hate Crime Prevention Act after admitting their involvement in the assault.
“Hate-based crimes have no place in America,” said United States Attorney André Birotte Jr. “The defendants’ attempt to rid their neighborhood of African-Americans serves as a sickening reminder that racial intolerance still exists in some segments of our community. For this egregious conduct, the defendants have received well-deserved prison terms.”
Aguilar and another individual physically attacked a 17-year-old African-American, who was walking down a street in the city of Compton. Aguilar chased down and struck the victim in the head with a metal pipe. During the incident, Marquez threatened to shoot another African-American juvenile who was present. Both Aguilar and Marquez admitted when they pleaded guilty that the attack on the 17-year-old victim was motivated by the race and color of the victim.
“Despite the substantial progress made, violent acts of hate committed because of someone’s race continue to occur to this day, and the department will continue to use every available tool to identify and prosecute hate crimes whenever and wherever they occur," said Acting Assistant Attorney General Jocelyn Samuels for the Justice Department’s Civil Rights Division.
“The FBI is committed to the protection of civil rights and will continue to investigate allegations of crime motivated by hate,” said Assistant Director in Charge Bill L. Lewis for the FBI’s Los Angeles Field Office. “I’m hopeful that this sentencing will clarify the serious consequences for anyone contemplating senseless violence against the innocent due to their religion, race, disability, ethnic origin or sexual orientation.”
“Law enforcement is dedicated to protecting the civil rights of all members of our community and the outcome of this case is a great example of the close cooperation between all agencies involved to ensure that goal,” said Interim Sheriff John L. Scott of the Los Angeles County Sheriff’s Department.
This case is the result of an investigation conducted by the FBI and the Los Angeles County Sheriff’s Department.
Release No. 14-020
Thomas Andrew Quinton SentencedRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on February 6, 2014, before U.S. District Judge Brian M. Morris, THOMAS ANDREW QUINTON. was sentenced to a term of 48 months imprisonment, 5 years supervised release, a special assessment of $100.
QUINTON was sentenced in connection with his November 12, 2013 guilty plea to travel to engage in illicit sexual conduct. In an Offer of Proof filed by Assistant U.S. Attorney Michael Lahr, the government stated that in June 2013, members of the Internet Crimes Against Children (ICAC) Task Force in Great Falls conducted a "catch the predator" operation. An advertisement was posted on Craigslist in an attempt to target individuals in Great Falls and the surrounding area who were interested in engaging in sexual conduct with a minor child.
On June 24, 2013, a Homeland Security Investigation (HSI) Special Agent posted one such ad and received numerous responses. The agent then used an undercover persona to pose as a fictitious person named "Teresa Smith", a 38-year old female in Great Falls living with her 12-year old niece, "Katie Smith." The agent exchanged several e-mails with an individual responding to the ad who ultimately identified himself as Thomas Andrew Quinton, a Canadian citizen. The emails from Quinton contained descriptions of sexual acts Quinton wanted to engage in with "Katie". Quinton also sent a photograph of himself and two more photos of a graphic nature.
Beginning July 2, 2013, Quinton began texting the agent stating that he would be taking time off work. The agent exchanged 375 text messages with Quinton between July 2, 2013, and July 3, 2013. Many of the text messages contained descriptions of sexual acts or were of a sexual nature. Quinton was advised on multiple occasions via text and e-mail that "Katie" was a 12-year old girl.
The telephone number Quinton used was identified as a Canadian-based number out of Lethbridge, Alberta.
Quinton was given the address of the house being utilized by ICAC Task Force agents for the operation, and Quinton agreed to travel to the residence to engage in sexual conduct with "Katie". At around 4:15 p.m. on July 3, 2013, Quinton parked his truck at the residence and walked to the house where he was arrested and taken into state custody charged with violations of § 45-5-625, M.C.A., sexual abuse of children.
Law enforcement officers interviewed Quinton who stated that he had traveled from Lethbridge to Great Falls on July 3, 2013, to have sex with "Katie". He confirmed his cellular phone number was the number used for the text messaging and that he had corresponded via text messaging and e-mails with "Teresa" and "Katie" for the purpose of meeting "Katie" and engaging in sexual acts. Officers also confirmed that Quinton and his vehicle had entered the United States at the Sweetgrass Port of Entry on July 3, 2013, at 2:28 p.m.
Tax Defier, Former NFL Player Sentenced to Federal Prison for Filing Fraudulent Income Tax ReturnsRead the Press Release
This morning in Austin, Gregory P. Boyd was sentenced to 33 months in federal prison and ordered to pay $185,129.07 restitution to the Internal Revenue Service for filing income tax returns that did not accurately reflect his income announced United States Attorney Robert Pitman and Internal Revenue Service-Criminal Investigation Special Agent In Charge Steve McCullough.
In November 2013, jurors convicted Boyd of three counts of filing fraudulent income tax returns. Evidence and testimony presented during trial revealed that Boyd knowingly filed false income tax returns for 2004, 2005 and 2006. On each tax return, Boyd declared that he received zero income when in fact, he received roughly $180,000 in 2004, about $390,000 in 2005, and approximately $225,000 in 2006. The parties stipulated that Boyd owed income tax in the amount of $26,688 for 2004, at least $102,237 for 2005, and $49,155 for 2006.
Evidence at trial revealed that Boyd had not paid income taxes on any of the years 2004 through 2011. Boyd, who played football at the University of Arizona and then played in the NFL during the 1973 and 1974 seasons, worked in the field of real estate development during 2004, 2005 and 2006.
Boyd testified during the trial that he believed his tax returns were true and complied with the law, based on ideas he learned from the book “Cracking the Code” by Peter Eric Hendrickson. Hendrickson appeared at trial and testified as a witness for the defense. Boyd specifically testified that he believed, based on Hendrickson’s book, that the income tax applies only to the income of federal government employees and federal government contractors, as well as income derived from investments in federal government securities.
“Tax crimes cheat not only the government, but also every honest citizen who follows the rules and meets his or her obligations. We owe it to these citizens to bring justice to those who willfully break the tax laws,” stated U.S. Attorney Robert Pitman.
“Today’s sentence serves as a reminder during this income tax filing season that everyone has a duty to pay their fair share of taxes and those who don’t will be held accountable,” stated Internal Revenue Service-Criminal Investigation Special Agent In Charge Steve McCullough.
This investigation was conducted by the Internal Revenue Service-Criminal Investigation. The case was prosecuted by Assistant United States Attorney Alan Buie.
St. Augustine Sex Offender Sentenced to 15 Years in Federal Prison for International Transportation of Child PornographyRead the Press Release
Jacksonville, Florida – United States District Judge Marcia Morales Howard today sentenced Charles Lee Gorish (67, St. Augustine) to 15 years in federal prison for transporting images and videos of child pornography from Florida to Canada. He was also ordered to serve a 10-year term of supervision, following his incarceration, and to register as a sex offender. Gorish pleaded guilty on October 23, 2013. He has been in custody since his arrest in St. Augustine, on September 7, 2012.
According to court documents, Gorish used a fake name to send a package, via FedEx from St. Augustine, to an individual in Ontario, Canada. The package was intercepted by Canadian law enforcement officers. It contained, among other things, two micro SD media cards containing more than 600 images and videos depicting child pornography, and thousands of images of child erotica. Canadian officials notified the St. Johns County Sheriff's Office (SJCSO), the Federal Bureau of Investigation and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations regarding the seizure of this package. Further investigation revealed that Gorish is a registered sex offender. He was convicted in Hillsborough County, Florida on February 24, 1992 of three counts of lewd and lascivious conduct on a minor child.
On September 7, 2012, FBI agents and SJCSO personnel executed a federal search warrant at Gorish's residence in St. Augustine. During an interview, Gorish admitted that he downloaded the files depicting the sexually explicit images of young boys on the SD cards from the Internet, over a period of years. Gorish was subsequently arrested.
This case was investigated by the Canadian Border Services Agency, Ottawa Police Services, the St. Johns County Sheriff's Office, the Federal Bureau of Investigation, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
Soap Lake Man Sentenced to Five Years in Federal Prison for Receipt of Child PornographyRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Timothy Andrew Casey, age 49, of Soap Lake, Washington, was sentenced today after having previously pleaded guilty in November of 2013 to Receipt of Child Pornography. Chief United States District Court Judge Rosanna Malouf Peterson sentenced Casey to a five year term of imprisonment, to be followed by a 20 year term of court supervision after he is released from Federal prison. In addition, Casey will be required to register as a sex offender.
According to court records, while the Department of Interior ("DOI") was monitoring its internal electronic network traffic it discovered that a computer on the DOI network, which was registered to Timothy A. Casey, had been used to view and downloaded child pornography images. Casey was employed by the DOI at the Bureau of Reclamation ("BOR") office in Ephrata, Washington. An investigation conducted by the DOI Office of Inspector General, revealed that for approximately the last five years, while at his BOR office, Casey would search, view and then download child pornography images from his work computer onto thumb drives. Casey would then take the thumb drives home and insert them into a digital photo frame in order to view the child pornography at home. Approximately 2,800 pictures and videos depicting sexually explicit conduct by minor children were extracted from captured DOI network traffic, the work computer assigned to Casey, and three USB removable storage devices seized from Casey's residence pursuant to a search warrant.
Michael C. Ormsby said, "Federal employees are entrusted by the public to comport themselves lawfully and appropriately in the execution of their employment responsibilities. Mr. Casey violated this trust by using a government computer to commit his criminal conduct. Such conduct by any Federal employee is inexcusable and will not be tolerated. Let me be abundantly clear --the United States Attorney's Office in the Eastern District of Washington will prosecute and its investigative partners will investigate aggressively child pornography-related crimes. I commend the Department of Interior, Office of Inspector General for its superb investigative efforts in this case"
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States 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. The Project Safe Childhood Initiative ("PSC") has five major components:
- Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue child victims;
- Participation of PSC partners in coordinated national initiatives;
- Increased federal enforcement in child pornography and enticement cases;
- Training of federal, state, and local law enforcement agents; and
- Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources".
This investigation was conducted by the Department of Interior, Office of Inspector General. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.
CR-13-00138-RMP
Sex Offender Sentenced to Thirty Months for Failing to RegisterRead the Press Release
United States Attorney Deborah R. Gilg announced that Stephen J. Wilson, 32, was sentenced in federal court in Omaha after failing to register as a sex offender. The Honorable Joseph F. Bataillon sentenced Wilson to thirty months in federal prison. There is no parole in the federal system. After his release from prison Wilson will begin a five year term of supervised release and once again be required to register as a sex offender.
This is Wilson’s third conviction for failing to register as a sex offender. It is his first federal conviction for failing to do so.
Wilson was convicted in the State of Iowa for enticing a minor. He received a two year sentence and a twenty-five year obligation to register as a sex offender. After being released from prison in Clarinda, Iowa, in May 2013 for failing to register as a sex offender, Wilson traveled to Nebraska. He was arrested on June 13, 2013, at a residence in Bellevue, Nebraska where he had been residing. He had not registered with the Nebraska Sex Offender Registry.
This case was investigated by United States Marshal Service and was prosecuted as a part of Project Safe Childhood. Project Safe Childhood is an initiative of the United States Department of Justice designed to protect children from individuals who would exploit them online or offline and includes individuals who travel in interstate commerce and fail to register as sex offenders as required by law. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Romanian National Sentenced for Naturalization FraudRead the Press Release
Judge Revokes Defendant’s U.S. Citizenship
BOISE –Simona Rus, 36, of Ketchum, Idaho, was sentenced today to two years’ probation for unlawful procurement of United States Citizenship based on her fraudulent marriage to a United States citizen, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also revoked Rus’ citizenship and cancelled her certificate of naturalization. She pleaded guilty to the charge on November 18, 2013.
According to the plea agreement filed in the case, Rus admitted that she entered into a false marriage with a United States citizen in 2003 for the sole purpose of obtaining immigration benefits. Rus admitted that she never had a husband-and-wife relationship with her American “spouse” in the contrived marriage. In January 2009, Rus misrepresented the nature of her marriage in an application for naturalization to United States Citizenship and Immigration Services (USCIS). Based on her fraudulent application, USCIS granted Rus naturalization as a United States citizen.
“By gaming the immigration system, Rus ultimately cheated herself out of the American dream,” said Brad Bench, special agent in charge of HSI Seattle, who oversees Idaho investigations. “The outcome of this case clearly demonstrates that our nation's immigration laws are to be respected, not ignored.”
The case was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
Rochester Man Sentenced on Drug and Gun ChargesRead the Press Release
ROCHESTER, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Alex Flecha, 28, of Rochester, N.Y., who was convicted of possession of cocaine with the intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime, was sentenced to five years in prison by U.S. District Court Judge Charles J. Siragusa. The defendant also forfeited any interest he had in $25,140.00 that was seized, as drug trafficking proceeds.
Assistant U.S. Attorney Charles E. Moynihan, who handled the case, stated that on October 4, 2010, members of the Greater Rochester Area Narcotics Enforcement Team executed a narcotics search warrant at Flecha’s residence on LaGrange Avenue, in Rochester. The warrant was executed following surveillance of Flecha entering and exiting the residence and departing the location in a vehicle. Officers conducted a traffic stop of the vehicle and the defendant was taken into custody. Flecha surrendered the key to his residence to assist in the warrant execution. Officers recovered approximately 500 grams of cocaine, and other items commonly associated with narcotics trafficking, including numerous unused clear bags and a bag of cutting agent. Also found was a .45 caliber H&K semi-automatic pistol, a loaded magazine and additional loose ammunition. Officers also seized $25,140 in United States currency.
The sentencing is the culmination of an investigation on the part of the Greater Rochester Area Narcotics Enforcement Team, under the direction of Lieutenant Gerald Smith, Special Agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge James J. Hunt, New York Field Office, and the Rochester Police Department, under the direction of Acting Chief Michael Ciminelli.
Resident of Harrisburg and New York Convicted of Conspiracy to Distribute CocaineRead the Press Release
The U.S. Attorney’s Office for the Middle District of Pennsylvania announced that a federal jury in Harrisburg returned a verdict today finding a New York man guilty of conspiracy to traffic drugs and trafficking drugs.
According to United States Attorney Peter J. Smith, Maurice Henderson, 33, who resided in both New York and Harrisburg, was convicted of criminal conspiracy to distribute and possess with intent to distribute five kilograms and more of cocaine hydrochloride and 280 grams or more of crack cocaine and distribution and possession with intent to distribute the same drugs. The jury found him not guilty of possessing a firearm in furtherance of drug trafficking. The verdict was returned following a week-long jury trial before U.S. District Court Judge John E. Jones, III.
Evidence presented during trial established that Henderson sold crack cocaine to an individual working with the Dauphin County Drug Task Force twice and also sold crack cocaine to an undercover police officer on two occasions. Witnesses testified that over a two-year period, Henderson and his co-conspirators made frequent trips from Harrisburg to a neighborhood in New York to purchase multiple kilogram quantities of cocaine hydrochloride, using rental cars and drivers to make the trips. Upon their return to Harrisburg, members of the conspiracy cooked the bulk of the cocaine hydrochloride into “crack” cocaine, weighed it, packaged it into smaller quantities and distributed to drug dealers in the Harrisburg area.
Co-conspirators Juval Green, 34, Robert Reynoso, 35, Derrice Sassaman, 39, and Annalyn Black, 26, all previously pleaded guilty to a drug trafficking conspiracy and are awaiting sentencing. Prior to jury selection in Henderson’s case, the government filed a notice stating that because Henderson has at least two prior felony drug convictions, he is subject a mandatory 20 years’ imprisonment.
The investigation that led to Henderson’s arrest and conviction was part of a larger investigation targeting crack cocaine dealing in the 14th and Swatara Street area in Harrisburg.
The case was investigated by the Drug Enforcement Administration, the Dauphin County Criminal Investigative Division, the Dauphin County Drug Task Force, Lower Paxton Township Police, Susquehanna Township Police, the U.S. Marshal’s Service, Pennsylvania State Police, and Harrisburg Police. It was prosecuted by Assistant U.S. Attorney Christy H. Fawcett.
Randy Rider Sentenced to 10 Years in Prison for Distribution of MethamphetamineRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on February 6, 2014, RANDY LEE RIDER, 47, of Klamath Falls, Oregon, was sentenced to a term of 120 months' imprisonment and five years of supervised release, by U.S. District Judge Brian M. Morris,
Rider was sentenced in connection with his November 21, 2013, guilty plea to distribution of methamphetamine. In an Offer of Proof filed by Assistant U.S. Attorney Jessica Betley, the government stated it would have proved that beginning in January 2013, undercover agents began to buy methamphetamine from Devan Kelly. The defendant supplied Kelly with methamphetamine. These sales progressed, and in April, agents inquired into whether Kelly would sell them a pound of methamphetamine. Kelly agreed to sell a pound of methamphetamine for $23,000.00, but he first had to contact his supplier, the defendant. Kelly and the agents then agreed the sale would take place in Lewistown, Montana, on April 29, 2013.
Just prior to the deal on April 29, 2013, Kelly met with the defendant to get the methamphetamine. The sale then took place, and Kelly gave undercover agents the pound of methamphetamine. This methamphetamine was tested and the laboratory concluded it was 99.5% pure and contained 439.0 grams of actual methamphetamine.
After Kelly's arrest, agents followed the defendant to a house in Lewistown, where he was confronted and admitted he had been Kelly's methamphetamine supplier, and had given Kelly the pound of methamphetamine to sell to the agents.
This investigation was conducted by the FBI Violent Crimes Task Force.
Perry County Woman Sentenced for Methamphetamine ConspiracyRead the Press Release
On February 10, 2014, Pattsy S. Pelate, 27, of Cutler, Illinois, was sentenced in United States District Court in Benton on a one-count indictment charging conspiracy to manufacture methamphetamine, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois.
Pelate, who had previously pled guilty to the methamphetamine offense, was sentenced to 84 months in prison, to be followed by 4 years of supervised release, and fined $300. Evidence at the plea and sentencing hearings established that Pelate supplied pseudoephedrine to others for use in the manufacture of methamphetamine. The offense occurred between 2010 and November 2012, in Jackson and Randolph Counties.
The ongoing investigation is being conducted by the Jackson County Sheriff’s Office, Randolph County Sheriff’s Office, Perry County Sheriff’s Office, Murphysboro Police Department, and Drug Enforcement Administration.
The case is being prosecuted by Assistant United States Attorney Amanda A. Robertson.
New York Man Sentenced to Probation with Monitoring for Passing Counterfeit CurrencyRead the Press Release
PITTSBURGH - A Brooklyn, NY, resident has been sentenced in federal court to 54 months of probation, which includes six months of home detention with electronic or GPS monitoring, on his conviction of conspiracy and passing counterfeit currency, United States Attorney David J. Hickton announced today.
United States District Judge Mark R. Hornak imposed the sentence on Edwin Phillip, 29.
According to information presented to the court, Phillip conspired and passed counterfeit currency during the period of Nov. 9, 2012, through Nov. 30, 2012.
Assistant United States Attorney Shardul S. Desai prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the United States Secret Service for the investigation leading to the successful prosecution of Phillip.
Modesto Man Pleads Guilty to Conspiring to Structure Cash Proceeds of Interstate Oxycodone and Hydrocodone TraffickingRead the Press Release
FRESNO, Calif. — Sdey Chim, 37, of Modesto, pleaded guilty today to one count of conspiracy to structure cash transactions, United States Attorney Benjamin B. Wagner announced.
According to court documents, Chim and co-conspirators obtained prescriptions for oxycodone and hydrocodone from a doctor in Visalia. After obtaining the prescriptions, co-conspirators filed the prescriptions at pharmacies in Fresno and Modesto, California, and then arranged for the pills to be shipped to Washington for sale on the black market. Chim communicated with co-defendant David Ruem to have the cash proceeds of the pill sales deposited into certain bank accounts held by co-conspirators.
The cash deposits and subsequent cash withdrawals were made in amounts of $10,000 or less to attempt to prevent Currency Transaction Reports from being filed by the banks on those cash transactions. Currency Transactions Reports are reports prepared by financial institutions for any transactions involving more than $10,000 in cash. These reports are filed with the Department of Treasury and are made available to law enforcement. In total, more than $1.5 million in cash was deposited into co-conspirators’ bank accounts in a structured manner.
This case is being brought as part of Operation Footprint, a nationwide law enforcement initiative led by the U.S. Attorney’s Offices, the Internal Revenue Service- Criminal Investigation, the Drug Enforcement Administration, and the United States Postal Inspection Service. Operation Footprint targets large drug trafficking organizations by identifying the transfer of drug proceeds through financial institutions, bulk cash smuggling and other forms of money transfers. Operation Footprint is focused on bringing criminal charges based on Bank Secrecy Act violations in addition to violations of the Controlled Substances Act and the Money Laundering Control Act.
This case is also the product of the Organized Crime Drug Enforcement Task Force (OCDETF), a focused multi-agency, multijurisdictional task force investigating and prosecuting the most significant drug trafficking organizations throughout the United States by leveraging the combined expertise of federal, state and local law enforcement agencies. Assistant U.S. Attorney Grant B. Rabenn is prosecuting the case.
Chim is scheduled to be sentenced by Judge Anthony W. Ishii on April 21, 2014. He faces a maximum statutory penalty of five years in prison and a $250,000 fine for conspiracy to structure. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Modesto Man Pleads Guilty in Fraudulent Check-Cashing SchemeRead the Press Release
FRESNO, Calif. — Steven Hamman, 52, of Modesto, pleaded guilty today to three counts of conspiracy and wire fraud in connection with a fraudulent check-cashing scheme, United States Attorney Benjamin B. Wagner announced.
According to his plea agreement, between January 2009 and January 2011, Hamman conspired with others to cash stolen or fraudulently procured checks at electronic check-cashing kiosks (known as “Vcom,” or “virtual commerce” machines). Hamman used fraudulently created Vcom accounts to attempt to cash the checks, sometimes using checks that other co-conspirators previously had attempted and failed to cash. On several occasions, Hamman attempted to cash the same check more than once. During the course of the conspiracy, Hamman’s check-cashing scheme caused or threatened to cause a loss of more than $47,000 to more than 50 victims, including financial institutions and others.
This case was the product of an investigation by the U.S. Postal Inspection Service. Assistant United States Attorney Christopher Baker is prosecuting the case.
Hamman is scheduled to be sentenced by Senior U.S. District Judge Anthony W. Ishii on April 28, 2014. Hamman faces a maximum statutory penalty of 30 years in prison and a $1 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory sentencing factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Middlesex County, N.J., Woman Who Admitted Conspiring to Defraud Treasury Department Sentenced to 44 Months in PrisonRead the Press Release
NEWARK, N.J. — A Middlesex County, N.J., woman who conspired with others to defraud the U.S. Department of the Treasury of more than $1 million in income tax refunds over a four-year period was sentenced today to 44 months in prison, U.S. Attorney Paul J. Fishman announced today.
Jahmeelah Mitchell, 30, of South Plainfield, N.J., previously pleaded guilty before U.S. District Judge Claire C. Cecchi to an information charging her with one count of conspiracy to defraud the United States. Judge Cecchi imposed the sentence today in Newark federal court.According to documents filed in this case and statements made in court:
Between April 2008 and August 2011, Mitchell and others advised numerous people that they could receive tax refunds of several thousand dollars each by filing fraudulent federal tax returns. The scheme involved reporting inflated amounts of income and taxes withheld, which resulted in artificially inflated tax refunds.
Mitchell and her conspirators instructed others to provide Mitchell with names, Social Security numbers, dates of birth, number of dependents and addresses. After obtaining this information, Mitchell electronically filed the fraudulent tax returns using internet-based software from Mitchell’s residence. Mitchell received the tax refunds in the form of either U.S. Treasury checks or prepaid debit cards deposited into various accounts Mitchell established in the names of her conspirators. Mitchell retained a percentage of the refunds as her fee for filing the fraudulent returns.
On August 22, 2011, law enforcement agents executed a search warrant at Mitchell’s residence and recovered ledgers containing identifying information for approximately 100 individuals, as well as a stack of prepaid credit cards issued in the names of dozens of people. Subsequent analysis of this information revealed that a total of 127 people were participants and/or victims, and Mitchell filed hundreds of fraudulent tax returns seeking $1,082,638 in refunds.
In addition to the prison term, Judge Cecchi sentenced Mitchell to three years of supervised release and ordered her to pay $1,082,638 in restitution.
U.S. Attorney Fishman credited special agents of the U.S. Secret Service, under the direction of Special Agent in Charge James Mottola; IRS B Criminal Investigation, under the direction of Special Agent in Charge Shantelle P. Kitchen; and inspectors of the U.S. Postal Inspection Service, under the direction of Postal Inspector in Charge Maria L. Kelokates, for the investigation leading today’s sentencing.
The government is represented by Assistant U.S. Attorney Adam N. Subervi of the U.S. Attorney’s Office Criminal Division in Newark.
14-046
Defense counsel: Michael Pedicini Esq., Morristown, N.J.
Michigan Drug Dealer Sentenced to Federal Prison for Involvement in Drug ConspiracyRead the Press Release
HUNTINGTON, W.Va. – A 35-year-old Michigan man who was involved in a drug distribution scheme was sentenced today to three years and ten months in federal prison, announced U.S. Attorney Booth Goodwin. Leonard Joseph Stewart, of Romulus, Michigan previously pleaded guilty in Huntington to conspiracy to distribute heroin and crack cocaine and possession of heroin and crack cocaine with intent to deliver. Stewart admitted that a part of the conspiracy, he transported heroin, crack cocaine, marijuana, and the prescription drugs hydrocodone and alprazolam, also known as “Xanax,” from Michigan to Huntington to sell. After arriving in Huntington, Stewart and his associates rented rooms at Huntington-area motels and used the rooms to prepare and distribute the illegal drugs.
On December 30, 2012, agents with the Huntington Violent Crimes and Drug Task Force executed a search warrant on Stewart’s room at the Best Western in Huntington. During the search, Stewart dove through a second-story window at the motel to elude police. Stewart was arrested a short time later. Stewart had crack cocaine and heroin on him when the police found him. Police also seized more than 46 grams of heroin, Xanax pills, digital scales and more than $4,000 in cash during the search of his hotel room.
The investigation was conducted by the FBI and the Huntington Violent Crimes and Drug Task Force. Assistant United States Attorney Joseph F. Adams handled the prosecution.
This case is being prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District.
Mexican National Sentenced to Federal Prison for Marijuana TraffickingRead the Press Release
More than 100 lbs of marijuana, cash, gun and bulletproof vest seized by authorities.
CHARLESTON, W.Va. – Jesus Alvarado-Aboyte, 31, of Mexico was sentenced today to four years in federal prison, U.S. Attorney Booth Goodwin announced. Alvarado-Aboyte previously pleaded guilty in August of 2013 to possession with intent to distribute marijuana. On March 5, 2013, police executed a search warrant at a residence on Avery Street in Parkersburg where Alvarado-Aboyte was living. Police located and seized approximately 104 pounds of marijuana, $26,323, a .40 caliber pistol, a bullet-proof vest, and digital scales along with packaging materials used for distributing marijuana from the residence. Alvarado-Aboyte waived his Miranda rights and admitted that he had been distributing marijuana in and around Parkersburg for several months leading up to March of 2013. Police also seized and forfeited a 2004 Harley Davidson motorcycle, a 2004 Ford F150 pickup truck, and a 2002 Mercedes Benz C240 which Alvarado-Aboyte acknowledged were purchased with drug money or used to facilitate drug offenses.
The Parkersburg Police Department, Parkersburg Narcotics and Violent Crimes Task Force, and Dept. of Homeland Security, Immigration and Customs Enforcement conducted the investigation. Assistant United States Attorney Joshua Hanks handled the prosecution.
Martin Woman Sentenced for Benefits FraudRead the Press Release
United States Attorney Brendan V. Johnson announced that a Martin, South Dakota, woman convicted of Benefits Fraud was sentenced on February 7, 2014, by U.S. Magistrate Judge Veronica L. Duffy.
Kelly Cottier, age 54, was sentenced to one year of probation, and ordered to pay a $25 special assessment to the Federal Crime Victims Fund and restitution in the amount of $186.23.
Cottier pled guilty to making a purchase at Sam’s Club in Rapid City with unlawfully obtained Supplemental Nutrition Assistance Program (SNAP) benefits.
This case was investigated by the Federal Bureau of Investigation and the South Dakota Department of Social Services. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Martin Woman Sentenced for Benefits FraudRead the Press Release
United States Attorney Brendan V. Johnson announced that a Martin, South Dakota, man convicted of Assault on a Federal Officer was sentenced on February 7, 2014, by U.S. Magistrate Judge Veronica L. Duffy.
Corey Whirlwind Horse, age 18, was sentenced to 3 years of probation, and ordered to pay a $25 special assessment to the Federal Crime Victims Fund.
Whirlwind Horse was indicted on September 24, 2013, by a federal grand jury for assaulting an officer employed by the Oglala Sioux Tribe Department of Public Safety on September 18, 2013.
This case was investigated by the Bureau of Indian Affairs Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Whirlwind Horse was immediately turned over to the custody of the U.S. Marshals Service.
Martin Man Sentenced for Assault on A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Martin, South Dakota, man convicted of Assault on a Federal Officer was sentenced on February 7, 2014, by U.S. Magistrate Judge Veronica L. Duffy.
Corey Whirlwind Horse, age 18, was sentenced to 3 years of probation, and ordered to pay a $25 special assessment to the Federal Crime Victims Fund.
Whirlwind Horse was indicted on September 24, 2013, by a federal grand jury for assaulting an officer employed by the Oglala Sioux Tribe Department of Public Safety on September 18, 2013.
This case was investigated by the Bureau of Indian Affairs Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Whirlwind Horse was immediately turned over to the custody of the U.S. Marshals Service.
Major Drug Trafficker Sentenced to 15 Years in PrisonRead the Press Release
ATLANTA – Jerome Bushay has been sentenced to prison for trafficking more than 185,000 pills of ecstasy (MDMA), methamphetamine, BZP (which is a drug similar to ecstasy), and ketamine.
“Bushay headed an organization that distributed a staggering amount of drugs in this district,” said United States Attorney Sally Quillian Yates. “Through his conduct, Bushay earned every day of his prison sentence. Once again, to those enticed by the allures of the drug trade— like money, cars, and clubs – be warned. It’s more likely that you will end up sitting behind bars than you will end up drinking at them.”
Harry S. Sommers, the Special Agent in Charge of the DEA Atlanta Field Division stated, "Ecstasy is anything but what its name implies – it offers only addiction, pain, and in some instances, death.” Ketamine, often referred to as “Special K,” and BZP, commonly referred to as “Legal Ecstasy,” are all dangerous and sometimes deadly synthetic drugs. Operation Rude Beast illustrates how DEA and its local, state and federal partners are committed to removing such dangerous substances from our streets. This defendant will now have plenty of time in prison to think about his unlawful acts.”
According to United States Attorney Yates, the charges and other information presented in court: From late-2009 to late-2010, several state, federal, and international agencies conducted an investigation of an Atlanta drug trafficking organization with ties to a corrupt federal customs officer. The investigation (code named Operation Rude Beast) led to the arrest, indictment, and conviction of more than 15 defendants, including Bushay.
Bushay organized and supplied countless drug transactions – in addition to supervising several lower-level drug traffickers. In total, Bushay distributed over 185,000 pills. Bushay also used former-Customs and Border Protection Officer Devon Samuels to transport his drug money (Samuels was sentenced to 8 years for his conduct). For example, on November 12, 2010, Bushay had Samuels smuggle $40,000 in drug money into Atlanta’s Hartsfield-Jackson International Airport. Inside the airport, Samuels used his badge to bypass airport security, which resulted in the bag not being screened. Thereafter, Samuels gave the bag to Bushay’s associate, who was destined for Texas.
On December 15, 2010, law enforcement officers executed a coordinated take-down of Operation Rude Beast. As part of the take-down, agents executed a search warrant on Bushay’s home, where they recovered an arsenal of weapons and cache of drug paraphernalia. Specifically, agents recovered: (1) a Cobra 9mm pistol; (2) a .40 caliber semi-automatic pistol; (3) a Bushmaster Assault Rifle; (4) a .22 caliber rifle; (5) a Sturm Ruger Ranch Rifle with a scope; (6) a Glock semi-automatic pistol with a laser sight; (7) a Sten-Type 9mm machine gun; and (8) approximately 700 rounds of ammunition, including ballistic tipped and hollow point rounds. In addition to the weapons, agents found narcotics ledger, an electronic money counter, two digital scales, and a baseball hat with “Customs and Border Protection” embroidered on it.
Bushay, 35, of Lithonia, Ga., has been sentenced to 15 years in prison to be followed by three years of supervised release. Bushay pleaded guilty on November 22, 2013.
This case was investigated by the Drug Enforcement Administration; Immigration Customs Enforcement (ICE); ICE - Office of Professional Responsibility; ICE - Office of Inspector General; ICE - Homeland Security Investigations; Jamaican Constabulary Force - Anti-Corruption Branch; DeKalb County Police Department; Internal Revenue Service - Criminal Investigation; Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Delta Airlines Corporate Security.
Assistant United States Attorneys Jeffrey W. Davis, Dahil Goss, and L. Skye Davis prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.com.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Madera Man Pleads Guilty to Unlawful Firearms Shipment to MexicoRead the Press Release
FRESNO, Calif. — Ernesto Salgado-Guzman, 47, of Madera, pleaded guilty to a violation of the Arms Export and Control Act by shipping firearms to Mexico, United States Attorney Benjamin B. Wagner announced.
According to court documents, Salgado-Guzman was part of a scheme to purchase in Madera more than 400 guns (mostly Ruger Model 10/22 and .22-caliber rifles) and sell them to various individuals in Oaxaca, Mexico. During the investigation, 85 of the firearms were seized (54 in Mexico and 31 in Madera).
According to court documents, between 2006 and 2009, Salgado-Guzman solicited and directed the assistance of co-conspirators to purchase firearms from a sport shop in Madera. Other co-conspirators and Salgado-Guzman transported the weapons to Mexico to be sold to individuals in Oaxaca, Mexico. Salgado-Guzman knew that a license or permit was required in order to export the firearms to Mexico, but he did not have any license or permit from the Unites States government to do so.
U.S. Attorney Wagner said: “This case involved cooperation between law enforcement officials in this district and in Mexico to prosecute participants in this gun trafficking scheme on both sides of the border. Stopping the illegal flow of guns from the Unites States to Mexico is an important objective in both countries.”
“Ernesto Salgado-Guzman will no longer be able to traffic firearms to Mexico to perpetuate the violence being committed,” stated Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Joseph M. Riehl. “This is another victory for law enforcement in the war on crime domestically and internationally.”
“Thwarting the illegal flow of guns into Mexico is crucial to reducing the violence and bloodshed in that country,” said Clark Settles, special agent in charge for HSI San Francisco, which oversees HSI’s enforcement activities in Fresno. “HSI will continue to work closely with its federal and local partners to ensure the Central Valley does not serve as a source of firearms being illicitly trafficked to Mexico or any other nation.”
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), and various Mexican law enforcement agencies with the assistance of Fresno Police Department. Assistant United States Attorney Kimberly A. Sanchez is prosecuting the case.
Salgado-Guzman is scheduled to be sentenced by United States District Judge Lawrence J. O’Neill on May 5, 2014. He faces a maximum statutory penalty 40 years in prison and a $2.5 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Co-defendants Demetrio Sebastian Cortez-Ordaz, 47, of Madera pleaded guilty and is set for sentencing on February 24, 2014. Demetrio Cortez-Salgado, 36, of Madera, pleaded guilty and was sentenced to two years in prison.
Florencio Solanes-Morales, of Madera, pleaded guilty and was sentenced to 18 months in prison. Demetrio Sebastian Cortez-Ordaz is scheduled to appear before Judge O’Neill on February 24, 2014 for sentencing. Zeferina Salgado Guzman de Cortez, 44, of Madera, has a trial set for April 22, 2014. Gregorio Salgado-Lopez and Maria Lopez de Salgado, 50, both residents of Madera, were prosecuted in Mexico on related charges.
Leader of Stolen Identity Refund Fraud Scheme Sentenced to Five Years in PrisonRead the Press Release
ALEXANDRIA, Va. – Leurys Antonio Olivo, 29, of the Bronx, New York, was sentenced today to 60 months in prison, followed by two years of supervised release, for conspiracy to defraud the government and aggravated identity theft. Olivo also was ordered to pay restitution to the U.S. Treasury in the amount of $42,175.28.
Dana J. Boente, Acting United States Attorney for the Eastern District of Virginia, and Thomas J. Kelly, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation, made the announcement after sentencing by United States District Judge Leonie M. Brinkema.
Olivo pleaded guiltyon Nov. 21, 2013. According to court documents, Olivo, who is an illegal alien and a citizen of the Dominican Republic, organized and led a stolen identity refund fraud scheme from his base of operations in the Bronx. He obtained stolen names, social security numbers, and dates of birth of real people from sources in Puerto Rico. Olivo then caused others to file fraudulent tax returns on behalf of the identity theft victims, and caused the IRS to mail refund checks to addresses under his or his co-conspirators’ control.
Olivo sought to expand his scheme into the Eastern District of Virginia, and as part of that effort, he sold two fraudulently obtained refund checks to an undercover agent in Woodbridge, Va. Olivo also recruited a co-conspirator, Juan-Alexis Lima-Castillo, to cash fraudulently obtained refund checks for him in Virginia. Lima-Castillo previously pleaded guilty to conspiracy and was sentenced to two months in prison.
In total, Olivo caused the IRS to issue at least $351,934.28 in refund checks. The IRS was able to stop payment on a majority of the checks before they were cashed, thereby limiting actual losses to the U.S. Treasury to $42,175.28.
This case was investigated by IRS Criminal Investigation. Assistant United States Attorney Kosta S. Stojilkovic prosecuted the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Lakewood Man Sentenced to Prison for Taking Dead Aunt's Social Security Benefits for 25 YearsRead the Press Release
DENVER – John W. Stitt, age 66, of Lakewood, Colorado, was recently sentenced by U.S. District Court Judge R. Brooke Jackson to serve one year and a day in federal prison for theft of government funds, U.S. Attorney John Walsh and Social Security Administration Office of the Inspector General Special Agent in Charge Wilbert Craig announced. Following his prison sentence, Stitt was ordered to spend 3 years on supervised release. He was also ordered to pay restitution to the Social Security Administration, the agency he took the funds from, totaling $236,187.70. The defendant appeared at the sentencing hearing free on bond, and was ordered to report to a designated prison on a date certain.
Stitt was indicted by a federal grand jury in Denver on April 25, 2013. He pled guilty before Judge Jackson on November 7, 2013. He was sentenced on January 29, 2014.
According to the stipulated facts contained in the plea agreement, on October 12, 1986, John Stitt’s aunt, Helen L. Stitt, passed away. She was 78 years old. John Stitt was listed as the informant on Helen’s Colorado death certificate. And since March of 1986, seven months prior to her death, he was added as an authorized signer on Helen’s bank account. Following Helen’s death, John Stitt continued to collect Social Security retirement benefits that were deposited in Helen’s bank account. This continued for 25 years – from October 1986 through November, 2011. During that time, Stitt periodically wrote personal checks bearing his deceased aunt’s name and bank account information to himself and then signed the check himself as an authorized signer. He then converted these government funds for his personal use or gain. Stitt failed to notify Social Security that his deceased aunt was still receiving benefit payments following her death. In total, John Stitt received $236,187.70 in Social Security benefits meant for his deceased aunt, all the while knowing these funds were not intended for him.
“Concealing the death of a loved one in order to steal their Social Security benefits is both despicable and criminal,” said Wilbert Craig, Special Agent in Charge of the Social Security Administration’s Office of the Inspector General, Denver Field Division. “This investigation demonstrates the seriousness with which Social Security Administration’s Office of the Inspector General responds to allegations of fraud against the Social Security Administration (SSA) and its beneficiaries. Though SSA has worked hard to improve the process by which deaths are reported and recorded, our agency will aggressively pursue the few determined individuals who attempt to defraud our system. We are pleased with the successful actions of the U.S. Attorney’s Office in bringing this individual to justice.”
This case was investigated by the Social Security Administration Office of the Inspector General’s Office of Investigations.
Stitt was prosecuted by Assistant U.S. Attorney Martha A. Paluch.
Kentucky Addiction Treatment Center, Clinical Laboratory and Two Physician Owners to Pay $15.75 Million to Resolve Allegations of Fraudulent Urine Drug TestingRead the Press Release
LEXINGTON, KY - A chain of opiate addiction recovery centers, headquartered in Harrodsburg, KY., and a Russell Springs, KY., clinical laboratory, along with two physician owners, agreed to pay the U.S. Government millions of dollars to resolve civil allegations that they fraudulently billed federal health care programs for medically unnecessary and excessive urine tests.
PremierTox 2.0, LLC (“PremierTox”), Addixxion Recovery of Kentucky, LLC d/b/a SelfRefind (“SelfRefind”), Dr. Bryan Wood and Dr. Robin Peavler have agreed to pay a total of $15,750,000, plus interest, to resolve allegations that they violated the False Claims Act by submitting claims to Medicare and Kentucky’s Medicaid program for urine tests that were medically unnecessary and more expensive than the actual tests that were performed. Under federal law, health care programs only reimburse health care providers for services that are deemed medically necessary.
“Federal health care programs are essential to many of our citizens,” said U.S. Attorney Kerry B. Harvey. “We will not tolerate efforts by misguided providers to unfairly enrich themselves at the expense of these programs and the taxpaying public. This settlement underscores the continuing commitment of our office to use every available tool to protect these vital programs from false claims.”
According to the settlement agreement, Dr. Wood and Dr. Peavler owned and operated SelfRefind, a chain of addiction treatment clinics located in 12 Kentucky cities including, Danville, Frankfort, Hazard, Middlesboro, Pikeville, Barbourville, Morehead and Carrollton. As part of its treatment program, SelfRefind required all of its patients to submit to regular urine drug screening, as often as every two weeks, to ensure that the patients were not abusing controlled substances and were taking addiction treatment medications as prescribed.
The government alleged that after Wood and Peavler became owners of PremierTox they began automatically referring all drug screens completed at SelfRefind to PremierTox clinic for additional comprehensive urine drug screening tests that were frequently unnecessary and often more expensive than suitable alternative tests. The government also alleged that PremierTox submitted false claims that misidentified the class of drug that was tested for and received a higher financial reimbursement than necessary.
Before Dr. Wood and Dr. Peavler became part owners of PremierTox, SelfRefind did not automatically refer urine samples for additional confirmation testing to outside laboratories.
According to the settlement agreement, in December 2010 when Drs. Wood and Peavler referred urine samples to PremierTox, the lab did not have the equipment necessary to test the large volume of urine samples sent to it by SelfRefind. Therefore, PremierTox froze the samples in a storage unit for many months before performing the additional tests, which by that time were medically unnecessary for the treatment of the patients. Nevertheless, PremierTox submitted claims, seeking reimbursement for the tests.
In connection with the settlement, PremierTox has agreed to enter into a Corporate Integrity Agreement with the Department of Health and Human Services, Office of Inspector General (“HHS-OIG”). The agreement obligates PremierTox to undertake substantial internal compliance reforms and commit to a third-party review of its claims to federal health care programs for the next five years. The agreement also resolves allegations that the defendants violated the Stark Law, which forbids a laboratory from billing Medicare and Medicaid for certain services referred by physicians that have a financial relationship with the laboratory.
“Billing Medicare and Medicaid for laboratory tests that are not necessary contributes to the soaring costs of health care,” said Assistant Attorney General for the Civil Division Stuart F. Delery. “Providers will be aggressively investigated and held accountable for falsely billing federal health care programs.”
The Commonwealth of Kentucky is also a party to the agreement and will receive approximately $2.74 million, which represents the state’s share of the government’s recovery of Medicaid funds. The Medicaid program is funded jointly by the federal and state governments.
“Substance abuse is devastating our Commonwealth and addiction is ripping families apart,” Kentucky Attorney General Jack Conway said. “Treatment centers and their owners should be focused on patient care rather than profits. Companies that take advantage of Kentucky’s Medicaid program will not be tolerated and I am pleased that we were able to recover this money for such a vital state program and for Kentucky taxpayers.”
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Health and Human Services Secretary Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $17.3 billion through False Claims Act cases, with more than $12.4 billion of that amount recovered in cases involving fraud against federal health care programs.
The investigation was conducted by the Kentucky Office of Attorney General, Medicaid Fraud and Abuse Control Unit (“MFCU”), Kentucky State Police, and the U.S. Attorney’s Office. The settlement agreement and Corporate Integrity Agreements resulted from joint efforts of HHS-OIG, MFCU, the U.S. Attorney’s Office, and the Civil Frauds Section of the Department of Justice in Washington, D.C.
Kansas City, Kan., Apartment Managers Pay $640,000 to Settle False Claims AllegationsRead the Press Release
KANSAS CITY, KAN. – U.S. Attorney Barry Grissom announced today that Foley Family Property Management, Inc., a California company, has agreed to pay $640,000 to the United States to settle allegations that the company submitted false claims to the U. S. Department of Housing and Urban Development in violation of the federal False Claims Act.
The company, formerly doing business as Alpha Property Management, Inc., operates apartment complexes in Kansas City, Kan., including Terrace Pointe Apartments at 641 S. 71st Terrace. The settlement resolves allegations the company submitted false claims to HUD’s Section 8 multi-family housing program for Terrace Point tenants from November 2005 through January 2011. The government contended that the company submitted claims to HUD for foreign citizens who were not eligible for Section 8 assistance because they were not in the United States lawfully. A former assistant property manager at Terrace Point accepted counterfeit citizenship documents and falsely reported Section 8 eligibility in exchange for bribes from the tenants. Under the program, the HUD housing subsidy payments were made to the company.
In a separate case, the former assistant property manager, Mary Amador, and nine former tenants previously pleaded guilty to federal criminal charges.
The company denied the allegations and, according to the terms of the agreement, the company does not admit any wrongdoing.
“Today’s settlement demonstrates our continuing commitment to protect the integrity of federal programs. It is important that limited federal assistance resources be preserved for those who lawfully qualify and need them,” said U.S. Attorney Grissom.
“The settlement should send a strong message that the United States Department of Housing and Urban Development, Office of Inspector General, will aggressively investigate those who fail to exercise integrity in connection with HUD programs. Working in conjunction with the U.S. Attorney’s Office, we will use whatever means necessary - both civil and criminal - to isolate and punish individuals or companies that commit fraud against HUD’s programs and personally benefit from the fraud perpetrated at the expense of individuals qualified to receive housing assistance,” said David Barnes, Special Agent in Charge, HUD Office of Inspector General.
Grissom commended the U.S. Department of Housing and Urban Development, OIG; the Department of Justice Civil Frauds Section; and Assistant United States Attorney Jon Fleenor for their work on the case.
The claims resolved by the settlement are allegations only; there has been no determination of liability.Justice Department Files Lawsuit Against the State of Rhode Island and the R.I. Department of Corrections Alleging Race and National Origin DiscriminationRead the Press Release
The Justice Department announced the filing of a lawsuit today against the State of Rhode Island and the Rhode Island Department of Corrections (RIDOC) alleging that the defendants are engaged in a pattern or practice of employment discrimination against African-Americans and Hispanics in violation of Title VII of the Civil Rights Act of 1964 (Title VII). Specifically, the lawsuit challenges the defendants’ use of a written examination and a video examination to screen and select applicants for entry-level correction officer (CO) positions at RIDOC as part of the department’s ongoing efforts to ensure that state and local government employers utilize non-discriminatory assessment tools in their hiring practices.
The complaint, filed in the U.S. District Court for the District of Rhode Island, alleges that the defendants require applicants for entry-level CO positions at RIDOC to undertake a multi-step selection process that includes, among other things, a written examination and a video examination taken on the same day. The complaint further alleges that the manner in which the defendants use the written and video examinations as part of their multi-step selection process disproportionately screens out African-American and Hispanic applicants, resulting in an unjustified disparate impact against these applicants.
Title VII not only prohibits intentional discrimination on the basis of race, color, sex, national origin and religion, but also prohibits employment practices that result in a disparate impact upon a protected group, unless the employer can prove that such practices validly predict an applicant’s ability to perform a job or there is a less discriminatory alternative that the employer can use. The department’s complaint states that the manner in which the defendants use the written and video examinations violates Title VII because such use is not “job related or consistent with business necessity,” as the law requires, and does not validly enable the employer to identify those applicants who are qualified for entry-level CO positions at RIDOC.
The department shares the goal of enabling public employers to hire qualified applicants to perform their critical public safety functions. In light of its findings and this shared goal, the department is seeking a court order requiring the defendants to stop using the challenged written and video examinations, develop selection procedures for entry-level CO positions at RIDOC that comply with Title VII and provide make-whole relief including, where appropriate, offers of hire, back pay and retroactive seniority, to African-Americans and Hispanics who have been or will be harmed as a result of the defendants’ use of the challenged examinations.
“Bringing an end to practices that have an unjustified discriminatory impact on the basis of race or national origin is a major priority of the Department of Justice,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “Employers must be able to show that examinations like those at issue here, that disproportionately screen out large numbers of African-American and Hispanic applicants, validly distinguish between qualified and unqualified applicants for the job. Otherwise, the examinations will not serve the employer’s purposes and will violate the law.”
Additional information about Title VII and other federal employment laws is available on the Civil Rights Division’s Web site at http://www.justice.gov/crt/
Justice Department Files Lawsuit Against the State of Rhode Island and the R.i. Department of Corrections Alleging Race and National Origin DiscriminationRead the Press Release
WASHINGTON – The Justice Department announced the filing of a lawsuit today against the State of Rhode Island and the Rhode Island Department of Corrections (RIDOC) alleging that the defendants are engaged in a pattern or practice of employment discrimination against African-Americans and Hispanics in violation of Title VII of the Civil Rights Act of 1964 (Title VII). Specifically, the lawsuit challenges the defendants’ use of a written examination and a video examination to screen and select applicants for entry-level correction officer (CO) positions at RIDOC as part of the department’s ongoing efforts to ensure that state and local government employers utilize non-discriminatory assessment tools in their hiring practices.
The complaint, filed in the U.S. District Court for the District of Rhode Island, alleges that the defendants require applicants for entry-level CO positions at RIDOC to undertake a multi-step selection process that includes, among other things, a written examination and a video examination taken on the same day. The complaint further alleges that the manner in which the defendants use the written and video examinations as part of their multi-step selection process disproportionately screens out African-American and Hispanic applicants, resulting in an unjustified disparate impact against these applicants.
Title VII not only prohibits intentional discrimination on the basis of race, color, sex, national origin and religion, but also prohibits employment practices that result in a disparate impact upon a protected group, unless the employer can prove that such practices validly predict an applicant’s ability to perform a job or there is a less discriminatory alternative that the employer can use. The department’s complaint states that the manner in which the defendants use the written and video examinations violates Title VII because such use is not “job related or consistent with business necessity,” as the law requires, and does not validly enable the employer to identify those applicants who are qualified for entry-level CO positions at RIDOC.
The department shares the goal of enabling public employers to hire qualified applicants to perform their critical public safety functions. In light of its findings and this shared goal, the department is seeking a court order requiring the defendants to stop using the challenged written and video examinations, develop selection procedures for entry-level CO positions at RIDOC that comply with Title VII and provide make-whole relief including, where appropriate, offers of hire, back pay and retroactive seniority, to African-Americans and Hispanics who have been or will be harmed as a result of the defendants’ use of the challenged examinations.
“Bringing an end to practices that have an unjustified discriminatory impact on the basis of race or national origin is a major priority of the Department of Justice,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “Employers must be able to show that examinations like those at issue here, that disproportionately screen out large numbers of African-American and Hispanic applicants, validly distinguish between qualified and unqualified applicants for the job. Otherwise, the examinations will not serve the employer’s purposes and will violate the law.”
Additional information about Title VII and other federal employment laws is available on the Civil Rights Division’s Web site at http://www.justice.gov/crt/.
Contact: 401-709-5357
[email protected]Judge Sentences Fraudster to 121 Months in Prison for Check SchemeRead the Press Release
Phillip Eric Weems, 36, of Philadelphia, was sentenced today to 121 months in prison for running an elaborate check-cashing scheme in which he created more than $1.2 million worth of forged and counterfeit securities. Weems recruited more than 70 co-conspirators who presented forged and counterfeit checks to check cashing businesses, financial institutions, and dog breeders. In addition to the fraud conspiracy, Weems was charged with straw purchasing three firearms. He pleaded guilty on January 30, 2013 to conspiracy to utter counterfeit and forged securities, uttering a forged security and aiding and abetting, uttering a counterfeit security and aiding and abetting, and three counts of aiding and abetting the making of false statements to federal firearms licensees.
Weems’ organization made and uttered dozens of forged checks of the County of Montgomery (PA) District Justice Courts, Avis Budget Group, A-Worx Staffing, Inc., Royal Car Center, Inc., Staples, Inc., The Wedge Medical Center, P.C., Gentile Realty Co., and a local general contractor. Weems also registered fake corporations with the Commonwealth of Pennsylvania, often using names of real franchise corporations to make an additional 488 checks appear legitimate. He opened 15 business checking accounts in the names of the fake corporations with financial institutions, including Bank of America, Wachovia, Sovereign, and TD Bank, and deposited enough money in each to make the accounts appear to have adequate funds. He cashed 294 checks at multiple check cashing companies, often on the same day, and then would often withdraw the balance of funds from the accounts before the checks could be processed. He conducted this scheme from January of 2009 through November of 2009.
In addition to the prison term, U.S. District Court Judge Juan R. Sanchez ordered Weems to pay restitution in the amount of $182,956.36, a $600 special assessment, and ordered three years of supervised release.
The case was investigated by the FBI and was prosecuted by Assistant United States Attorney Ashley Lunkenheimer.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Jackson County Man Pleads Guilty to Theft of Social Security BenefitsRead the Press Release
Charleston, W.Va. – A Jackson County man entered a guilty plea to theft of government money, U.S. Attorney Booth Goodwin announced today. Michael W. Smith, 36, of Sandyville, West Virginia, faces a maximum penalty of five years imprisonment and mandatory restitution in the amount of $10,110 dollars. Sentencing is scheduled for May 7, 2014.
In October of 2008, Smith began receiving Social Security benefits on behalf of his uncle, James Conrad, as Mr. Conrad’s representative payee. A representative payee is a person who agrees to receive benefits on behalf of the intended recipient. When Mr. Conrad died on April 29, 2009, Smith’s right to receive benefits on behalf of his uncle ended. Smith continued to take the benefit payments on behalf of his deceased uncle from May of 2009 to July of 2010 by cashing benefit checks totaling $10,100.
The Social Security Administration’s Office of the Inspector General conducted the investigation. Assistant United States Attorney Erik S. Goes handled the prosecution. The plea was taken by United States District Judge John T. Copenhaver, Jr.
Information: Federal Court ArraignmentsRead the Press Release
The United States Attorney's Office today announced that those persons listed below were arraigned before the U.S. Magistrate and the indictments handed down by the Grand Jury unsealed.
Appearing before U.S. Magistrate Judge Lynch in Missoula on February 7, 2014 and entering pleas of Not Guilty were:
- VON RACKHAM, a 41-year-old resident of Carmichael, California appeared on charges of conspiracy with intent to distribute methamphetamine. If convicted of the offense charged in the indictment, RACKHAM faces 40 years imprisonment, $5,000,000 in fines and 4 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference: 13-22
- MARGARET SILVIA, a 50-year-old resident of Fair Oaks, California appeared on charges of conspiracy with intent to distribute methamphetamine. If convicted of the offense charged in the indictment, SILVIA faces 40 years imprisonment, $5,000,000 in fines and 4 years supervised release. The case was investigated by the Federal Bureau of Investigation. PACER Case Reference: 13-22
The indictment is merely a formal charging document. It is not proof of guilt and all persons indicted are presumed to be innocent of any crime until proof of guilt is established by trial or guilty plea.
The U.S. Attorney's Office is currently transitioning its media program to new media contacts. Resources and this transition may affect the amount of information the office can process and disclose in a timely manner. Therefore, if any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system so that you stay current and not miss any important developments in the case.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html.
To access the district court's calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
Huntington Woman Sentenced to 18 Months Imprisonment for Selling Crack CocaineRead the Press Release
Huntington, W.Va. – Cory Lynn McCourt was sentenced today in federal court in Huntington by Chief U.S. District Judge Robert C. Chambers to 18 months imprisonment for possession with intent to deliver cocaine base, more commonly known as crack cocaine. McCourt had previously pleaded guilty on October 7, 2013.
In May of 2010, Huntington Police responded to a domestic violence call at McCourt’s home at 1332 Huntington Avenue, Huntington, West Virginia, which she shared with Brandon Golson. While talking to McCourt at the door, police officers observed a tan chunky substance lying on her couch which appeared to be crack cocaine. McCourt admitted the crack cocaine belonged to her and that she had been selling crack since January of 2010.
Golson was sentenced on January 27, 2014, to seven years and three months in federal prison for his role in the distribution of heroin, crack and oxycodone pills in the Huntington area.