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10 February 2014
Grapevine Man Sentenced to 72 Months in Federal Prison for Possessing Firearm While Under Protective OrderRead the Press Release
DALLAS — Raul Mirabal, 42, of Grapevine, Texas, was sentenced this morning by U.S. District Judge David C. Godbey to 72 months in federal prison following his guilty plea in June 2013 to one count of possession of a firearm by a prohibited person, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to the factual resume filed in the case, Grapevine Police Department responded to a potential domestic disturbance on January 5, 2013. Responding officers discovered that Mirabal possessed a Desert Eagle .50 caliber handgun in his backpack. At the time, Mirabal was subject to a protective order issued in May 2012 by a Tarrant County court. Among other things, the protective order restrained Mirabal from harassing, stalking or threatening particular individuals or engaging in other conduct that would place particular individuals in reasonable fear of bodily injury; and explicitly prohibited the use, attempted use, or threatened use of physical force against particular individuals. Federal law prohibited Mirabal from possessing firearms because he was under the protective order.
The case was investigated by the Grapevine Police Department and Hurst Police Department. Assistant U.S. Attorneys Brian McKay and Jason Schall prosecuted.
Government Settles False Claims Act Allegations Against <br /> Kentucky Addiction Clinic, Clinical Lab and Two <br /> Doctors for $15.75 MillionRead the Press Release
SelfRefind, a chain of addiction treatment clinics, PremierTox LLC, a clinical laboratory that performs urine testing and Drs. Bryan Wood and Robin Peavler, the owners of SelfRefind and PremierTox, have agreed to pay $15.75 million to resolve allegations that they violated the False Claims Act by submitting claims to Medicare and Kentucky’s Medicaid program for tests that were medically unnecessary, more expensive than those performed or billed in violation of the Stark Law, the Department of Justice announced today. SelfRefind provides addiction services to Medicare and Medicaid beneficiaries in 12 locations across Kentucky.
“Billing Medicare and Medicaid for lab tests that are not necessary contributes to the soaring costs of health care,” said Assistant Attorney General for the Justice Department’s Civil Division Stuart F. Delery. “Providers will be investigated aggressively and held accountable for falsely billing federal health care programs.”
In December 2010, Wood and Peavler each purchased a 20 percent ownership stake in PremierTox, a new, independent clinical laboratory created to perform urine drug testing. The government alleged that, after Wood and Peavler became owners of PremierTox, SelfRefind began referring comprehensive urine drug screening tests to PremierTox that were unnecessary and many times more expensive than other suitable alternative tests. The government also alleged that PremierTox submitted to Medicare and Medicaid inflated claims that misidentified the class of drug being tested and billed for tests that were referred by SelfRefind in violation of the Stark law. The Stark Law forbids a laboratory from billing Medicare and Medicaid for certain services referred by physicians that have a financial relationship with the laboratory.
“Federal health care programs are essential to many of our citizens,” said U.S. Attorney for the Eastern District of Kentucky 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.”
This settlement is the result of a coordinated effort among the Justice Department’s Civil Division, the U.S. Attorney’s Office for the Eastern District of Kentucky, the Kentucky Attorney General’s Office and the U.S. Department of Health and Human Services Office of Inspector General. Of the total $15.75 million settlement amount, the federal share is $13.01 million, and the remaining $2.74 million will be paid to the Commonwealth of Kentucky.This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Secretary of Health and Human Services Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $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 claims settled by this agreement are allegations only; there has been no determination of liability.
George Theodore Sutherland Sentenced for AssaultRead 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, GEORGE THEODORE SUTHERLAND., 21, of the Box Elder, was sentenced to a term of 21 months imprisonment, 3 years supervised release, a special assessment of $100.
SUTHERLAND, was sentenced in connection with his guilty plea to assault resulting in serious bodily injury. In an Offer of Proof filed by Assistant U.S. Attorney Danna Jackson, the government stated that on or around April 3, 2012, the defendant, who is an enrolled member of the Chippewa Cree Indian Tribe, chased the victim down a road, intentionally kicking her, causing the victim to fall and strike her head on the ground.
As a result of the fall, the victim suffered a gash on her temple. The victim sought treatment at the Northern Montana Hospital Emergency Room. The victim bled a significant amount. In addition to receiving several sutures, the victim was treated for her extreme physical pain.
Fresno County Man Sentenced to Prison for Counterfeiting U.S. CurrencyRead the Press Release
FRESNO, Calif. — Richard Melella, 44, of Clovis, was sentenced today by U.S. District Judge Lawrence J. O’Neill to 10 months in prison for conspiring to buy, receive, alter and pass counterfeit U.S. currency, United States Attorney Benjamin B. Wagner announced. Melella’s co-conspirator, Fresno resident Christina Williams, 25, is scheduled to be sentenced on April 7, 2014.
According to court documents, between August and October 2012, Melella and Williams purchased from a third-party approximately 54 counterfeit $100 Federal Reserve Notes. Williams received instructions from the seller on how to finish the bills and later used a counterfeiting device to make the bills appear more authentic. Williams and Melella shared this counterfeit currency, some of which Melella passed at a grocery store in Fresno County.
This case is the product of an investigation by the U.S. Secret Service. Assistant United States Attorney Christopher Baker is prosecuting the case.
Fresno and Tulare County Marijuana Growers SentencedRead the Press Release
FRESNO, Calif. — Jose Guadalupe Rodriguez, 19, of Terra Bella, and Erik Forest Basye, 34, of Sanger, were sentenced today for their involvement in separate agricultural marijuana cultivation cases, U.S. Attorney Benjamin B. Wagner announced.
1,313 Marijuana Plants, Two Firearms Seized from Tulare County Ag Grow
(1:12-cr-341 LJO)Following his guilty plea last year, Jose Guadalupe Rodriguez was sentenced to one year and one day in prison, to be followed by two years supervised release, for his involvement in a marijuana cultivation operation on agricultural land in Terra Bella. According to court records, drug agents discovered the cultivation operation after following a supplier to the property. The supplier had previously delivered equipment and material for other marijuana cultivation operations on public lands in Ventura, San Luis Obispo, and Kern Counties. During the execution of a federal search warrant at the Terra Bella property, agents seized 1,313 marijuana plants, two firearms, and arrested six people, including Rodriguez. The marijuana had a wholesale value of $1.5 million.
This case was investigated by the U.S. Forest Service, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and the Sheriff’s Offices of Tulare and Ventura Counties.
327 Marijuana Plants/Firearm Seized from Fresno County Ag Grow (1:12CR365 AWI)
Following his guilty plea last year, Erik Forest Basye was sentenced to 21 months in prison, to be followed by three years supervised release, for his involvement in a marijuana cultivation operation on agricultural land in Sanger. According to court records, Fresno County Sheriff narcotic detectives discovered the marijuana operation after they responded to a call regarding men unloading marijuana from a pickup truck on East Ashlan Avenue in Sanger. In responding to the call, the detectives found four men unloading 150 pounds of marijuana from the flatbed of a pickup truck and hanging it in a barn. The detectives also noticed bullet holes in the truck. The four men told the detectives that they had been shot at with a rifle when they were stealing marijuana from a grow site in the area of Zediker and Shaw Avenues in Sanger. The detectives then confirmed that there was a large marijuana grow at Zediker and Shaw Avenues.
U.S. Drug Enforcement Administration agents then obtained a federal search warrant for the grow site and found 327 marijuana plants, 700 marijuana stalks, and a .22-caliber rifle. Basye was found near the grow. Basye acknowledged that he had been living in a tent on the property for about three and a half years and that he worked at the property hanging marijuana for processing and was paid with marijuana and food.
This case was investigated by the DEA and Fresno County Sheriff’s Office. Both of these cases were investigated under the umbrella of Operation Mercury, a multi-county marijuana enforcement effort in 2012 focused on the large-scale cultivation of marijuana on agricultural lands. To date, as a result of Operation Mercury, 84 individuals have been charged federally with 45 defendants sentenced. Further, as a result of Operation Mercury, law enforcement officers eradicated nearly half a million marijuana plants and seized approximately 4,714.64 pounds of processed marijuana, 82 weapons, and $113,783 in cash.
Assistant U.S. Attorney Karen A. Escobar prosecuted both cases.
Former Sorrento Police Chief Convicted of Making False Statements in Civil Rights InvestigationRead the Press Release
BATON ROUGE, LA - United States Attorney Walt Green announced that EARL L. THERIOT, age 65, of Sorrento, Louisiana, pled guilty today before Chief U.S. District Judge Brian A. Jackson to making false statements to an FBI Special Agent in connection with a criminal civil rights investigation. THERIOT faces up to five (5) years in prison, three (3) years of supervised release following imprisonment, and a fine of up to $250,000.
At today’s hearing, THERIOT admitted that on November 1, 2013, while serving as the Chief of Police for the Town of Sorrento and following a 911 emergency police dispatch, he contacted an unresponsive individual at a local gas station, placed her in the front seat of his police unit, and, instead of bringing her back to her residence, transported her to his office at the Sorrento Police Department where he engaged in inappropriate sexual contact with her. THERIOT also admitted to later making numerous false statements to an FBI Special Agent and a Deputy with the Ascension Parish Sheriff’s Office who were investigating whether THERIOT violated federal civil rights laws, among other things.
On February 7, 2014, THERIOT resigned as Chief of Police as required by the Plea Agreement with the United States Attorney’s Office.
United States Attorney Green stated: “This office, along with our federal, state, and local partners, are dedicated to conducting thorough and complete investigations into credible allegations of police corruption and civil rights violations. Those who seek to obstruct such efforts by making false statements to federal investigators will face severe consequences. My special appreciation to Sheriff Jeff Wiley of the Ascension Parish Sheriff’s Office, District Attorney Ricky Babin of the 23rd Judicial District, and the FBI who worked seamlessly with my office to ensure justice was done.”
This prosecution and investigation were conducted jointly by the United States Attorney’s Office, the Federal Bureau of Investigation, the Ascension Parish Sheriff’s Office, and the District Attorney’s Office for the 23rd Judicial District.
The case is being prosecuted by Assistant United States Attorney Chris Dippel.
Former San Bernardino Teacher Sentenced to 120 Months for Enticement of A MinorRead the Press Release
LOS ANGELES – A former teacher at Arrowview Middle School in San Bernardino was sentenced this morning to 120 months in federal prison for attempting to entice a 13-year old girl in New Jersey to engage in sexual activity.
Eugene Ballantyne, 30, of Running Springs, California, pleaded guilty in July 2012 to one count of attempting to entice a minor to engage in illicit sexual activity. Ballantyne met the 13-year old New Jersey minor over the internet and began soliciting child pornography images from the minor. Acting with a federal search warrant, authorities seized Ballantyne’s computer, which revealed that Ballantyne had online relationships with several minors in which he obtained child pornography from them. One of these minors was Ballantyne’s former student. According to prosecutors, Ballantyne posed as an 18-year old in order to convince the 15-year old student to send him sexually explicit photographs. Ballantyne also admitted to traveling to Blythe, California to have sexual intercourse with a 17-year old minor that he met on the internet.
During the sentencing hearing, Chief Judge George H. King stated that Ballantyne committed the acts in a "callous manner" and described the need for the sentence to deter other internet predators.
This case is the result of an investigation by the Federal Bureau of Investigation, with significant assistance from the South Brunswick, New Jersey, Police Department. The San Bernardino County Unified School District also cooperated with the investigation.
Release No. 14-018
Former Sailor Sentenced to 30 Years in Prison for Attempted EspionageRead the Press Release
Robert Patrick Hoffman II, 40, of Virginia Beach, Va., was sentenced today to serve 30 years in prison for attempting to commit espionage against the United States.
John P. Carlin, Acting Assistant Attorney General of the Justice Department’s National Security Division; Dana J. Boente, Acting United States Attorney for the Eastern District of Virginia; Charles T. May Jr., the Naval Criminal Investigative Service (NCIS) Acting Executive Assistant Director for Atlantic Operations; and Royce E. Curtin, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by Senior United States District Judge Robert G. Doumar.
“By attempting to hand over some of America’s most closely held military secrets, Robert Hoffman put U.S. service members and this country at risk,” said Acting Assistant Attorney General Carlin. “ Today, Mr. Hoffman is being held accountable for his actions. This prosecution should serve as a warning to others who would compromise our nation’s secrets. I commend the prosecutors, agents and analysts who worked diligently on this case.”
“Hoffman attempted to spy on behalf of the Russian Federation and betrayed the trust this country placed in him,” said Acting U.S. Attorney Boente. “He was willing to place American lives at risk for personal gain.”
After a five day trial that concluded on Aug. 21, 2013, a Norfolk jury found Hoffman guilty of attempted espionage, as charged in the one-count superseding indictment filed on May 8, 2013. According to court records and the evidence at trial, Hoffman is a U.S. citizen born in Buffalo, N.Y., who served for 20 years in the U.S. Navy until retiring at the rank of Petty Officer First Class on Nov. 1, 2011.
Hoffman’s rating in the Navy was as a Cryptologic Technician - Technical (CTT). In that capacity, he worked aboard or in conjunction with U.S. submarines for much of his naval career. While deployed, Hoffman operated electronic sensors and systems designed to collect data and information about potential adversaries, scanned the operating environment for threats to the submarine, and provided technical and tactical guidance to submarine commanders. Due to these duties, Hoffman held security clearances and regularly received access to classified national defense information about U.S. submarines and their capabilities and equipment, about adversaries, about specific missions, and about U.S. military and naval intelligence. As a condition of receiving access to this sensitive information, Hoffman repeatedly signed agreements not to disclose it to those unauthorized to receive it and regularly received training about his obligations to protect the information and to report without delay any suspicious contacts.
In 2012, the FBI initiated an investigation to determine if Hoffman was willing to act as an agent for a foreign government and commit espionage against the United States by divulging classified information. As part of this investigation, undercover FBI agents posing as operatives of the Russian Federation contacted Hoffman seeking defense information. In a series of responsive emails and other communications, Hoffman advised that he looked forward to “renewing [a] friendship” with his purported Russian contact, was “willing to develop a mutual trust,” and wanted compensation for his activities in the form of job assistance or payments based upon the risk and effort involved. Hoffman also emphasized, however, that the need for “security [was] paramount” and suggested they communicate by physical, rather than unsecure electronic means.
In accordance with this request, undercover agents posed a series of questions to Hoffman and directed, if he chose to reply, that he should signal his willingness to do so by means of a coded reply and then leave his answers on a pre-arranged date in the hollow at the base of a tree at a dead drop site located in Virginia Beach, Va. On three occasions in September and October 2012, Hoffman did just that and filled the drop site with encrypted thumb drives containing answers to the questions posed to him by persons he believed to be Russian agents. In his answers, Hoffman supplied, among other things, national defense information classified at the levels of secret and top secret/sensitive compartmented information. Following these disclosures, FBI and NCIS agents arrested Hoffman on Dec. 6, 2012, and the court ordered him detained.
This case was investigated by the FBI and NCIS. Assistant U.S. Attorneys Robert J. Krask and Alan M. Salsbury for the Eastern District of Virginia and Trial Attorney Heather M. Schmidt of the Counterespionage Section of the Justice Department’s National Security Division prosecuted the case on behalf of the United States.Former Sailor Sentenced to 30 Years in Prison for Attempted EspionageRead the Press Release
NORFOLK, Va. – Robert Patrick Hoffman II, 40, of Virginia Beach, Va., was sentenced today to 30 years in prison for attempting to commit espionage against the United States.
Dana J. Boente, Acting United States Attorney for the Eastern District of Virginia; John P. Carlin, Acting Assistant Attorney General of the Justice Department’s National Security Division; Charles T. May Jr., the Naval Criminal Investigative Service (NCIS) Acting Executive Assistant Director for Atlantic Operations; and Royce E. Curtin, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by Senior United States District Judge Robert G. Doumar.“Hoffman attempted to spy on behalf of the Russian Federation and betrayed the trust this country placed in him. He was willing to place American lives at risk for personal gain,” said Acting U.S. Attorney Boente. “Today’s sentence should serve as a clear warning to others who would willingly compromise our nation’s most sensitive classified information.”
“By attempting to hand over some of America’s most closely held military secrets, Robert Hoffman put U.S. service members and this country at risk,” said John Carlin, Acting Assistant Attorney General for National Security. “Today, Mr. Hoffman is being held accountable for his actions. This prosecution should serve as a warning to others who would compromise our nation’s secrets. I commend the prosecutors, agents and analysts who worked diligently on this case.”
“Today’s sentencing confirms insider threat exists in our society and pose an enduring risk to our national security,” said Special Agent in Charge Royce Curtin of the Norfolk Field Office of the FBI. “The FBI is dedicated to working with our law enforcement partners to vigorously investigate and disrupt any espionage activity directed against the United States. Counterintelligence continues to be a very high priority with severe consequences.”
After a five day trial that concluded on August 21, 2013, a Norfolk jury found Hoffman guilty of attempted espionage, as charged in the one count superseding indictment filed on May 8, 2013. According to court records and the evidence at trial, Hoffman is a U.S. citizen born in Buffalo, New York, who served for 20 years in the U.S. Navy until retiring at the rank of Petty Officer First Class on November 1, 2011.
Hoffman’s rating in the Navy was as a Cryptologic Technician - Technical (“CTT”). In that capacity, he worked aboard or in conjunction with U.S. submarines for much of his naval career. While deployed, Hoffman operated electronic sensors and systems designed to collect data and information about potential adversaries, scanned the operating environment for threats to the submarine, and provided technical and tactical guidance to submarine commanders. Due to these duties, Hoffman held security clearances and regularly received access to classified national defense information about U.S. submarines and their capabilities and equipment, about adversaries, about specific missions, and about U.S. military and naval intelligence. As a condition of receiving access to this sensitive information, Hoffman repeatedly signed agreements not to disclose it to those unauthorized to receive it and regularly received training about his obligations to protect the information and to report without delay any suspicious contacts.In 2012, the FBI initiated an investigation to determine if Hoffman was willing to act as an agent for a foreign government and commit espionage against the United States by divulging classified information. As part of this investigation, undercover FBI agents posing as operatives of the Russian Federation contacted Hoffman seeking defense information. In a series of responsive emails and other communications, Hoffman advised that he looked forward to “renewing [a] friendship” with his purported Russian contact, was “willing to develop a mutual trust,” and wanted compensation for his activities in the form of job assistance or payments based upon the risk and effort involved. Hoffman also emphasized, however, that the need for “security [was] paramount” and suggested they communicate by physical, rather than unsecure electronic means.
In accordance with this request, undercover agents posed a series of questions to Hoffman and directed, if he chose to reply, that he should signal his willingness to do so by means of a coded reply and then leave his answers on a pre-arranged date in the hollow at the base of a tree at a dead drop site located in Virginia Beach, Virginia. On three occasions in September and October 2012, Hoffman did just that and filled the drop site with encrypted thumb drives containing answers to the questions posed to him by persons he believed to be Russian agents. In his answers, Hoffman supplied, among other things, national defense information classified at the levels of secret and top secret/sensitive compartmented information. Following these disclosures, FBI and NCIS agents arrested Hoffman on December 6, 2012 and the Court ordered him detained.
This case was investigated by the FBI and NCIS. Assistant U.S. Attorneys Robert J. Krask and Alan M. Salsbury, and Trial Attorney Heather M. Schmidt of the Counterespionage Section of the Justice Department’s National Security Division 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.Former Pilot Pleads Guilty to Threatening Republic Airlines CEORead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Republic Airlines pilot pleaded guilty in federal court today to threatening the company’s CEO.
Matthew Richard Walker, 37, of Faribault, Minn., waived his right to a grand jury and pleaded guilty before U.S. Chief District Judge Greg Kays to a federal information that charges him with explicitly threatening to torture and kill the CEO of Republic Airlines and his family.
By pleading guilty today, Walker admitted that he carried and delivered threats on multiple occasions while employed by the airline. On Aug. 17, 2012, a Republic Airways employee discovered a threatening letter in the cockpit of an aircraft while it was parked at Reagan National Airport in Washington, D.C. Four identical letters were later discovered on aircraft parked at Reagan International Airport, in Charlotte, N.C., and at Kansas City International Airport, as well as aboard an aircraft en route from Reagan National Airport to Indianapolis International Airport. A fifth identical letter was also discovered in the crew room at KCI.
According to the plea agreement, Walker assured interviewing agents he had no interaction with co-workers regarding the letters; he acted completely alone both in writing and placing the letters.
Under federal statutes, Walker is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Deputy U.S. Attorney Gene Porter. It was investigated by the FBI.Former Nurse’s Assistant Sentenced to 50 Years in Prison for Sexual Exploitation of Minors and Child PornographyRead the Press Release
United States Attorney Laura E. Duffy announced that today Hector Manuel Carreon, a former nurse’s assistant in San Diego, was sentenced by United States District Judge John A. Houston to serve 50 years in federal prison based on Carreon’s convictions for sexual exploitation of a child, attempted sexual exploitation of a child, and receipt and possession of child pornography. Carreon was convicted after a trial by the Court in July 2013. Judge Houston also ordered a lifetime of supervised release and mandatory sex offender registration. Carreon has been in custody since his arrest by Special Agents with the Homeland Security Investigations in June 2012.
According to court documents, on June 26, 2012, Homeland Security Investigations executed a federal search warrant where they found Carreon in bed with his underwear pulled down to his ankles with a family member under the age of 10. Agents located multiple computers with child pornography – over 500 images and 900 videos of minors engaged in sexually explicit conduct - in the residence. Several videos contained minors under the age of 12. Agents also located three videos of Carreon sexually molesting two family members who appeared to be drugged in the videos. At sentencing today, Judge Houston stated that it was “apparent” that Carreon had drugged the minors before engaging in the video recording of the sexual molestation.
This case stems from an investigation by Homeland Security Investigations.
DEFENDANT Case Number: 12CR3149-JAHHector Manuel Carreon
Age: 47 San Diego, California SUMMARY OF CHARGESTitle 18, United States Code, Section 2251 (a) and (e) - Sexual Exploitation of a Child and Attempted Sexual Exploitation of a Child
INVESTIGATING AGENCY
Title 18, United States Code, Section 2252(a)(2) and (4) – Receipt and Possession of Child PornographyHomeland Security Investigations
Former Guatemalan Special Forces Officer Sentenced<br /> for Covering up Involvement in 1982 MassacreRead the Press Release
A former Guatemalan Special Forces officer was sentenced today to serve 10 years in prison for covering up his involvement in a 1982 massacre at Dos Erres, Guatemala.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney André Birotte Jr. of the Central District of California and Acting Director John Sandweg of U.S. Immigration and Customs Enforcement (ICE) made the announcement.
Jorge Sosa, 55, of Moreno Valley, Calif., was sentenced by U.S. District Court Judge Virginia A. Phillips in the Central District of California. At sentencing, the court also revoked Sosa’s U.S. citizenship.
“Jorge Sosa helped orchestrate the ruthless massacre of innocent villagers, including dozens of young children, and then lied about his past to obtain refuge in the United States,” said Acting Assistant Attorney General Raman. “And, today, he has been sentenced to serve 10 years in a U.S. prison. This prosecution demonstrates our resolve to deny safe haven to human rights violators and to ensure that these criminals are held accountable.”
“Southern California is fortunate to be home to immigrants from all over the globe, some of whom have fled persecution in their native lands,” said U.S. Attorney Birotte. “But Mr. Sosa fled his native country after being a persecutor who played a direct role in the massacre of an entire village in Guatemala. Because he is responsible for war crimes and for failing to disclose his role in a human rights offense, Mr. Sosa will be incarcerated for a lengthy period of time and will no longer be welcome in our country.”
“ICE is dedicated to identifying and investigating alleged human rights violators hiding in the United States,” said Acting ICE Director Sandweg. “Today’s sentencing reaffirms our commitment to ensuring that the United States not be used as a safe haven by those who have committed atrocities against mankind.”
Sosa was convicted by a federal jury in Riverside, Calif., on Oct. 1, 2013, of one count of making false statements in immigration proceedings and one count of unlawful procurement of naturalized U.S. citizenship. Evidence presented during trial showed that Sosa became an officer in the Guatemalan Army in 1976, was part of Guatemala’s elite Special Forces division called the Kaibiles and was an instructor at the Kaibil School. During this time, the Guatemalan Army was engaged in armed conflict with anti-government forces referred to as the “guerillas.” In early 1982, Sosa and other Kaibil instructors were chosen to be part of the Special Patrol, a small unit formedto combat guerilla forces. In early December 1982, the Special Patrol, including Sosa, was deployed along with approximately 40 other Kaibil soldiers to the village of Dos Erres to recover military rifles that had purportedly been stolen during a guerilla ambush of Guatemalan soldiers. When the Special Patrol entered Dos Erres, the rifles were not found and there was no evidence of guerilla soldiers in the area.
According to evidence at trial, while at Dos Erres, members of the Special Patrol then removed the villagers from their homes, separated the men from the women and children, and raped some of the young girls. To cover up the rapes, all of the villagers were brought to the center of the village, where the Special Patrol members systematically killed the men, women and children by, among other methods, bludgeoning them on the head with a sledgehammer, shooting them or throwing them into the village well while still alive. Testimony from two Kaibiles who participated in the massacre revealed that Sosa supervised the Special Patrol soldiers as they filled the well with Dos Erres villagers. The evidence also showed that at some point during the massacre, a villager screamed out at Sosa from the well, and Sosa responded by cursing and shooting his assault weapon and throwing a grenade into the well.
Approximately 12 years after the massacre at Dos Erres, the Argentine Forensic Anthropology Team (Equipo Argentino de Antropologia Forense, or EAAF) exhumed the 40-foot well. At trial, a member of EAAF testified that the team found 162 skeletons in the well. Of those skeletons, 67 appeared to be those of children under the age of 12.
The evidence further showed that after Sosa became aware he was being investigated for unlawfully procuring citizenship, he fled the United States to Mexico and eventually traveled to Canada. Sosa was arrested in Canada and extradited to the United States to face these charges.
The jury found that when Sosa applied for lawful permanent residence in 1997 and naturalized U.S. citizenship in 2007, he knowingly omitted the fact that he was a member of the Guatemalan military and that he had committed a crime for which he had not been arrested. During trial, a U.S. Citizenship and Immigration Service examiner testified that had Sosa been truthful about his past, his applications for permanent residence and citizenship would have been summarily denied.
Members of the public who have information about foreign nationals suspected of engaging in human rights abuses or war crimes are urged to call the toll-free ICE Homeland Security Investigations (HSI) tip line at 1-866-DHS-2-ICE or to complete its online tip form . Both are staffed around the clock. To learn more about the assistance available to victims in these cases, the public should contact HIS’s confidential victim-witness toll-free number at 1-866-872-4973. Tips may be provided anonymously.
The case was prosecuted by Trial Attorney Brian Skaret of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorneys Jeannie Joseph and Dennise Willett of the U.S. Attorney’s Office for the Central District of California. Valuable assistance was provided by Trial Attorney Jay Bauer, Historian Joanna Crandall, and Paralegal Joanna Naples-Mitchell of the Criminal Division’s Human Rights and Special Prosecutions Section. The Criminal Division’s Office of International Affairs and Trial Attorney Lisa Roberts also provided assistance.
The case was investigated by Immigration and Customs Enforcement’s Human Rights Violator and War Crimes Unit and Homeland Security Investigations in Riverside, Calif.Former Guatemalan Special Forces Officer Sentenced to 10 Years in Prison for Lying About Role in 1982 Massacre to Get U.S. CitizenshipRead the Press Release
RIVERSIDE, California – A former Guatemalan Special Forces officer was sentenced today to serve 10 years in federal prison for covering up his involvement in the 1982 massacre of nearly everyone in the village of Dos Erres, Guatemala.
Jorge Sosa, 55, of Moreno Valley, received the statutory maximum sentence of 120 months in prison from United States District Judge Virginia A. Phillips.
Sosa was convicted by a federal jury on October 1 of one count of making false statements in immigration proceedings and one count of unlawful procurement of naturalized U.S. citizenship.
At today’s sentencing hearing, Judge Phillips also revoked Sosa’s U.S. citizenship that he was given after failing to disclose his role in the massacre of at least 162 men, women and children.
“Southern California is fortunate to be home to immigrants from all over the globe, some of whom have fled persecution in their native lands,” said U.S. Attorney André Birotte Jr. “But Mr. Sosa fled his native country after being a persecutor who played a direct role in the massacre of an entire village in Guatemala. Because he is responsible for war crimes and for failing to disclose his role in a human rights offense, Mr. Sosa will be incarcerated for a lengthy period of time and will no longer be welcome in our country.”
The evidence presented during last year’s trial showed that Sosa became an officer in the Guatemalan Army in 1976, was part of Guatemala’s elite Special Forces division called the Kaibiles and was an instructor at the Kaibil School. During this time, the Guatemalan Army was engaged in armed conflict with anti-government forces referred to as the “guerillas.” In early 1982, Sosa and other Kaibil instructors were chosen to be part of the Special Patrol, a small unit formed to combat guerilla forces. In early December 1982, the Special Patrol, including Sosa, was deployed along with approximately 40 other Kaibil soldiers to the village of Dos Erres to recover military rifles that had purportedly been stolen during a guerilla ambush of Guatemalan soldiers. When the Special Patrol entered Dos Erres, the rifles were not found and there was no evidence of guerilla soldiers in the area.
According to the evidence at trial, while at Dos Erres, members of the Special Patrol then removed the villagers from their homes, separated the men from the women and children, and raped some of the young girls. To cover up the rapes, all of the villagers were brought to the center of the village, where the Special Patrol members systematically killed the men, women and children by, among other methods, bludgeoning them on the head with a sledgehammer, shooting them or throwing them into the village well while still alive.
Testimony from two Kaibiles who participated in the massacre revealed that Sosa supervised the Special Patrol soldiers as they filled the well with Dos Erres villagers. The evidence also showed that at some point during the massacre, a villager screamed out at Sosa from the well, and Sosa responded by cursing and shooting his assault weapon and throwing a grenade into the well.
Approximately 12 years after the massacre at Dos Erres, the Argentine Forensic Anthropology Team (Equipo Argentino de Antropologia Forense, or EAAF) exhumed the 40-foot well. At trial, a member of EAAF testified that the team found 162 skeletons in the well. Of those skeletons, 67 appeared to be those of children under the age of 12.
The evidence further showed that after Sosa became aware he was being investigated for unlawfully procuring citizenship, he fled the United States to Mexico and eventually traveled to Canada. Sosa was arrested in Canada and extradited to the United States to face these charges.
The jury found that when Sosa applied for lawful permanent residence in 1997 and naturalized U.S. citizenship in 2007, he knowingly omitted the fact that he was a member of the Guatemalan military and that he had committed a crime for which he had not been arrested. During the trial, a United States immigration official testified that had Sosa been truthful about his past, his applications for permanent residence and citizenship would have been summarily denied.
“Jorge Sosa helped orchestrate the ruthless massacre of innocent villagers, including dozens of young children, and then lied about his past to obtain refuge in the United States,” said Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division. “And, today, he has been sentenced to serve 10 years in a U.S. prison. This prosecution demonstrates our resolve to deny safe haven to human rights violators and to ensure that these criminals are held accountable.”
Acting Director John Sandweg of U.S. Immigration and Customs Enforcement (ICE), stated: “ICE is dedicated to identifying and investigating alleged human rights violators hiding in the United States. Today’s sentencing reaffirms our commitment to ensuring that the United States not be used as a safe haven by those who have committed atrocities against mankind.”
Members of the public who have information about foreign nationals suspected of engaging in human rights abuses or war crimes are urged to call the toll-free ICE Homeland Security Investigations (HSI) tip line at 1-866-DHS-2-ICE or to complete its online tip form. Both are staffed around the clock. To learn more about the assistance available to victims in these cases, the public should contact HIS’s confidential victim-witness toll-free number at 1-866-872-4973. Tips may be provided anonymously.
The case was prosecuted by the United States Attorney’s Office for the Central District of California and Department of Justice, Criminal Division’s Human Rights and Special Prosecutions Section. The Criminal Division’s Office of International Affairs provided assistance.
The case was investigated by U.S. Immigration and Customs Enforcement’s Human Rights Violator and War Crimes Unit and Homeland Security Investigations.
Release No. 14-019
Former Executive of Power Generation Company <br /> Charged with Fraud and Money LaunderingRead the Press Release
Asem Elgawhary, the former principal vice president of Bechtel Corporation and general manager of the Power Generation Engineering and Services Company (PGESCo), was indicted by a grand jury in Maryland today on charges that he defrauded his former employers, laundered the proceeds of the fraudulent scheme and violated federal tax laws.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Rod J. Rosenstein of the District of Maryland, Special Agent in Charge Stephen E. Vogt of the FBI’s Baltimore Division and Chief Richard Weber of the Internal Revenue Service-Criminal Investigation (IRS-CI) made the announcement after the indictment was returned earlier today.
“As today’s indictment alleges, this high-ranking executive took millions of dollars in kickbacks from power companies in exchange for preferential treatment and, in doing so, defrauded his former employer, other companies who were playing by the rules and U.S. tax authorities,” said Acting Assistant Attorney General Raman. “He then allegedly concealed his kickback scheme by hiding the payments in off-shore bank accounts, giving false information to his former employer and destroying evidence. The Justice Department is committed to prosecuting not just the companies and individuals who pay bribes and kickbacks, but also those who solicit and accept them.”
“Mr. Elgawhary has been charged with using his corporate position for his own personal gain,” stated IRS-CI Chief Weber. “No matter what your career or position is in a corporation, all U.S. citizens are obligated to comply with the tax laws. When individuals and corporations deliberately fail to comply, IRS Criminal Investigation agents conduct investigations and recommend prosecution to the Department of Justice.”
The eight-count indictment alleges that from 1996 to 2011, Elgawhary, 72, of Maryland, was assigned by Bechtel – a U.S. corporation engaged in engineering, construction and project management – to be the general manager at PGESCo, a joint venture between Bechtel and a state-owned and state-controlled electricity company (EEHC). PGESCo assisted EEHC in identifying possible subcontractors, soliciting bids and awarding contracts to perform power projects for EEHC. The charges allege that Elgawhary used his position at PGESCo to provide preferential treatment to three power companies attempting to secure projects with EEHC in exchange for kickbacks from those power companies and their third-party consultants. The court documents allege that the power companies and their consultants paid more than $5 million in kickbacks into various off-shore bank accounts under the control of Elgawhary, including various Swiss bank accounts. In return, the power companies secured more than $2 billion in lucrative contracts.
The indictment alleges that Elgawhary then also attempted to conceal the kickback scheme and the proceeds he obtained from it. Elgawhary allegedly sent to Bechtel executives and members of the PGESCo board of directors in Maryland various documents and “Representation Letters” that falsely represented that he had no knowledge of any fraud or suspected fraud at PGESCo and that there were no violations or possible violations of law or regulations whose effects were material and should have been considered for disclosure in PGESCo’s financial statements. In addition, when Elgawhary was interviewed by counsel for Bechtel in April 2011, he claimed that he never received money from power companies or their consultants and that he did not maintain control over any foreign bank accounts. With the help of other employees at PGESCo, Elgawhary also allegedly caused evidence about the kickback scheme to be deleted and destroyed, according to the charges.
The court documents also allege that Elgawhary used money from one of his Swiss bank accounts to purchase a $1.78 million home in Maryland for two close family members. In order to conceal the origin of the money, however, Elgawhary and others made it appear that the money was from an unsecured loan from a marketing company owned and operated by another relative.
Elgawhary also allegedly obstructed and impeded the administration of U.S. tax laws by falsely claiming that he maintained only one foreign bank account and denying that he received any income from any foreign bank account. Elgawhary also allegedly failed to report any of the kickbacks as income for the tax years 2008 through 2011.
The mail and wire fraud counts each carry a maximum penalty of 20 years in prison and a fine of the greater of $250,000 or twice the value gained or lost. The conspiracy to commit money laundering count carries a maximum penalty of 20 years in prison and a fine of the greater of $500,000 or twice the value of the property involved in the transaction. The tax count carries a maximum penalty of three years in prison and a fine of $5,000.
The charges contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
The department has received significant assistance in this matter from its law enforcement counterparts in Switzerland, Germany, Italy and Cyprus. Significant assistance was also provided by the Criminal Division’s Office of International Affairs.
The case is being investigated by the FBI’s and IRS-CI’s Baltimore Divisions. The case is being prosecuted by Assistant Chief Daniel S. Kahn of the Criminal Division’s Fraud Section and Assistant U.S. Attorney David Salem of the District of Maryland.
Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa .Former Executive of Power Generation Company Charged with Fraud and Money LaunderingRead the Press Release
Indictment Alleges an Eight Year Scheme to Obtain Over $5 Million in Kickbacks from Three Foreign Power Companies to Secure More Than $2 Billion in Lucrative Contracts
Greenbelt, Maryland - The former principal vice president of Bechtel Corporation and General Manager of the Power Generation Engineering and Services Company (PGESCo), Asem Elgawhary, age 72, of Potomac, Maryland, was indicted today on charges that he defrauded his former employers, laundered the proceeds of the fraudulent scheme and violated federal tax laws.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Chief Richard Weber of the Internal Revenue Service - Criminal Investigation.
“As today’s indictment alleges, this high-ranking executive took millions of dollars in kickbacks from power companies in exchange for preferential treatment and, in doing so, defrauded his former employer, other companies who were playing by the rules, and U.S. tax authorities,” said Acting Assistant Attorney General Raman. “He then allegedly concealed his kickback scheme by hiding the payments in off-shore bank accounts, giving false information to his former employer, and destroying evidence. The Justice Department is committed to prosecuting not just the companies and individuals who pay bribes and kickbacks, but also those who solicit and accept them.”
“Mr. Elgawhary has been charged with using his corporate position for his own personal gain,” stated IRS-CI Chief Weber. "No matter what your career or position is in a corporation, all U.S. citizens are obligated to comply with the tax laws. When individuals and corporations deliberately fail to comply, IRS Criminal Investigation agents conduct investigations and recommend prosecution to the Department of Justice.”
The eight count indictment alleges that from 1996 to 2011, Elgawhary was assigned by Bechtel – a U.S. corporation engaged in engineering, construction and project management – to be the general manager at PGESCo, a joint venture between Bechtel and a state-owned and state-controlled electricity company (EEHC). PGESCo assisted EEHC in identifying possible subcontractors, soliciting bids and awarding contracts to perform power projects for EEHC. The indictment alleges that Elgawhary used his position at PGESCo to provide preferential treatment to three power companies attempting to secure projects with EEHC in exchange for kickbacks from those power companies and their third-party consultants. The power companies and their consultants allegedly paid over $5 million of kickbacks into off-shore bank accounts under the control of Elgawhary, including Swiss bank accounts. In return, the power companies secured more than $2 billion in lucrative contracts.
The indictment alleges that Elgawhary then also attempted to conceal the kickback scheme and the proceeds he obtained from it. Elgawhary allegedly sent to Bechtel executives and members of the PGESCo board of directors in Maryland documents and “Representation Letters” that falsely represented that he had no knowledge of any fraud or suspected fraud at PGESCo and that there were no violations or possible violations of law or regulations whose effects were material and should have been considered for disclosure in PGESCo’s financial statements. In addition, when Elgawhary was interviewed by counsel for Bechtel in April 2011, he claimed that he never received money from power companies or their consultants and that he did not maintain control over any foreign bank accounts. With the help of other employees at PGESCo, Elgawhary also allegedly caused evidence about the kickback scheme to be deleted and destroyed.
Elgawhary allegedly used money from one of his Swiss bank accounts to purchase a $1.78 million home in Maryland for two close family members. In order to conceal the origin of the money, however, Elgawhary and others made it appear that the money was an unsecured loan from a marketing company owned and operated by another relative.
Elgawhary also allegedly obstructed and impeded the administration of U.S. tax laws by falsely claiming that he maintained only one foreign bank account and denying that he that he received any income from any foreign bank account. Elgawhary also allegedly failed to report any of the kickbacks as income for the tax years 2008 through 2011.
The mail and wire fraud counts each carry a maximum penalty of 20 years in prison and a fine of the greater of $250,000 or twice the value gained or lost. The conspiracy to commit money laundering count carries a maximum penalty of 20 years in prison and a fine of the greater of $500,000 or twice the value of the property involved in the transaction. The tax count carries a maximum penalty of three years in prison and a fine of $5,000.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein expressed his appreciation to law enforcement counterparts in Switzerland, Germany, Italy and Cyprus in this matter. Significant assistance was also provided by the Department of Justice Criminal Division’s Office of International Affairs.
Mr. Rosenstein commended the FBI and IRS-Criminal Investigation for their work in the investigation and thanked Assistant U.S. Attorney David Salem from the District of Maryland and Assistant Chief Daniel S. Kahn of the Department of Justice Criminal Division’s Fraud Section, who are prosecuting the case.
Former D’iberville City Manager Pleads Guilty to Federal Program FraudRead the Press Release
Hattiesburg, Miss - Michael Janus, 47, of Biloxi pled guilty today in U.S. District Court to one count of federal program fraud in connection with a $3 million grant from the Mississippi Department of Environmental Quality to the City of D’Iberville, announced U.S. Attorney Gregory K. Davis and FBI Special Agent in Charge Daniel McMullen.
Janus admitted that, while serving as City Manager for the City of D’Iberville, he fraudulently obtained a $180,000 “finder’s fee” in connection with the MDEQ grant.
Janus will be sentenced on May 6, 2014 at 9:30 a.m. and faces a maximum penalty of ten years in prison and a $250,000 fine.
This case was investigated by the Federal Bureau of Investigation with assistance from the Mississippi State Auditor’s Office. Criminal Division Chief John Dowdy, Assistant U.S. Attorney Jerry Rushing and Assistant U.S. Attorney Jay Golden are prosecuting the case.If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
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Former Bank of America Executive Pleads Guilty for Role in Conspiracy and Fraud Involving Investment Contracts for Municipal Bonds ProceedsRead the Press Release
A former Bank of America executive pleaded guilty today for his participation in a conspiracy and scheme to defraud related to bidding for contracts for the investment of municipal bond proceeds and other municipal finance contracts, the Department of Justice announced.
Phillip D. Murphy, the former managing director of Bank of America’s municipal derivatives products desk from 1998 to 2002, pleaded guilty today before U.S. District Judge Max O. Cogburn Jr. in the U.S. District Court for the Western District of North Carolina to participating in a fraud conspiracy and wire fraud scheme with employees of Rubin/Chambers, Dunhill Insurance Services Inc., also known as CDR Financial Products, a broker of municipal finance contracts, and others. Murphy also pleaded guilty to conspiring with others to make false entries in the reports and statements originating from his desk, which were sent to bank management.
Murphy was indicted by a grand jury on July 19, 2012. According to the indictment, Murphy participated in a wire fraud scheme and separate fraud conspiracies that began as early as 1998 and continued until 2006.
“By manipulating what was intended to be a competitive bidding process, the conspirators defrauded municipalities, public entities and taxpayers across the country,” said Brent Snyder, Deputy Assistant Attorney General of the Antitrust Division’s Criminal Enforcement Program. “Today’s guilty plea reaffirms the Antitrust Division’s continued efforts to hold accountable those who corrupt and subvert the competitive process in our financial markets.”
Public entities seek to invest money from a variety of sources, primarily the proceeds of municipal bonds that they issue, to raise money for, among other things, public projects. Public entities typically hire a broker to conduct a competitive bidding process for the award of the investment agreements and often for other municipal finance contracts.
According to the charges, Murphy conspired with CDR and others to increase the number and profitability of investment agreements and other municipal finance contracts awarded to Bank of America. Murphy won investment agreements through CDR’s manipulation of the bidding process in obtaining losing bids from other providers, which is explicitly prohibited by U.S. Treasury regulations. As a result of the information, various providers won investment agreements and other municipal finance contracts at artificially determined prices. In exchange for this information, Murphy submitted intentionally losing bids for certain investment agreements and other contracts when requested, and, on occasion, agreed to pay or arranged for kickbacks to be paid to CDR and other co-conspirator brokers.
Murphy and his co-conspirators misrepresented to municipal issuers that the bidding process was competitive and in compliance with U.S. Treasury regulations. This caused the municipal issuers to award investment agreements and other municipal finance contracts to providers that otherwise would not have been awarded the contracts if the issuers had true and accurate information regarding the bidding process. Such conduct placed the tax-exempt status of the underlying bonds in jeopardy.“Mr. Murphy’s actions undermined the public’s trust when he conspired to manipulate a competitive bidding process,” said Richard Weber, Chief, IRS Criminal Investigation (IRS-CI). “IRS-CI has experienced great success in unraveling significant and complex financial frauds as we work in close collaboration with our law enforcement partners.”
“Mr. Murphy ripped off hard working American taxpayers and cash-strapped municipalities all in pursuit of his own lucre,” said George Venizelos, Assistant Director in Charge of the FBI’s New York Field Office. “Let this serve as a reminder to others who are entrusted to act in the public’s best interest; your lack of candor won’t go without notice.”
Murphy pleaded guilty to two counts of conspiracy and one count of wire fraud. The fraud conspiracy carries a maximum penalty of five years in prison and a $250,000 fine. The wire fraud charge carries a maximum penalty of 30 years in prison and a $1 million fine. The false bank records conspiracy carries a maximum penalty of five years in prison and a $250,000 fine. The maximum fines for each of these offenses may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
Including Murphy, a total of 17 individuals have been convicted or pleaded guilty. Additionally, one company has pleaded guilty.
The prosecution is being handled by Steven Tugander, Richard Powers, Eric Hoffmann, Patricia Jannaco and Stephanie Raney of the Antitrust Division. Assistant U.S. Attorneys Kurt Meyers, Michael Savage and Mark Odulio of the U.S. Attorney’s Office for the Western District of North Carolina have also provided valuable assistance in this matter. The guilty plea announced today resulted from a wide-ranging investigation conducted by the Antitrust Division’s New York office, the FBI and the IRS-CI. The division coordinated its investigation with the U.S. Securities and Exchange Commission, the Office of the Comptroller of the Currency and the Federal Reserve Bank of New York.Today’s guilty plea is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorney’s offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
Anyone with information concerning bid rigging and related offenses in any financial markets should contact the Antitrust Division’s New York Field Office at 212-335-8000, the FBI at 212-384-5000 or IRS-CI at 212-436-1761, or visit www.justice.gov/atr/contact/newcase.htm.
Former Bank Employee Pleads Guilty to Fraud ChargesRead the Press Release
St. Louis, MO - KYLE MILLER, St. Louis, Missouri, admitted to stealing $15,000 in cash from a U.S. Bank facility in Maplewood where he worked in 2013. Miller pleaded guilty to one count of misappropriation of funds by a bank employee. He appeared before Judge John A. Ross in federal court in St. Louis this morning.
According to the plea agreement, Miller stole the cash between April 23, 2013, and July 5, 2013. He faces up to 30 years imprisonment and a $1,000,000 fine. Restitution of the stolen funds is also mandatory. Sentencing has been set for May 8, 2014.
The case was investigated by the Maplewood Police Department. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney’s Office.
Forest Place Apartments’ Arsonist Arrested on Federal ChargesRead the Press Release
Little Rock - Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas; and Grover Crossland, Resident Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) – Little Rock Field Office; announced that Lacey Rae Moore, age 43, of Little Rock, was arrested and appeared today in federal court on an Indictment handed down by a federal grand jury on Thursday, February 6, 2014. The Indictment, unsealed after her arrest, charges Moore with five counts of arson, two counts of arson resulting in injury and one count of possession of an unregistered destructive device.
“Today’s arrest of this arsonist is the result of excellent investigative work by the Bureau of Alcohol, Tobacco, and Firearms agents, Little Rock Fire Department Fire Marshal’s Office, Arkansas State Police Fire Marshal’s Office and Little Rock Police Department,” stated Thyer. “Through their diligence and expertise the mystery that caused millions of dollars’ worth of damage, destroyed apartment buildings, displaced scores of residents and injured two firefighters, has been solved.”
The Indictment alleges that Moore attempted to maliciously damage and destroy the Forest Place Apartments by use of fire and explosive materials. The fires were set on or about February 24, February 25, 2013; May 15, 2013; May 16, 2013; June 4, 2013; June 22, 2013; and June 28, 2013. As a result of the fires set May 16 and June 4, 2013, two Little Rock Firefighters were injured. The final charge alleges that on July 1, 2013, Moore knowingly possessed a destructive incendiary device and bomb that was not registered to her in the National Firearms Registration and Transfer Record.
The largest fire occurred on May 16, 2013, which nearly destroyed the entire North Building of Forest Place Apartment and caused approximately $4,000,000 in damage. As a result of this fire more than 130 people were evacuated by fire department personnel, with approximately 400 evacuations total and numerous balcony rescues. Approximately 79 people were permanently displaced as a result of this fire.
The fire on June 28, 2013, resulted in the evacuation of approximately 75-100 people from the South Building and resulted in another 11 people being permanently displaced.
At today’s hearing before United States Magistrate Judge Beth Deere, Moore pled, “not guilty,” to the charges. A detention hearing has been set for Wednesday, February 12, 2014, at 11 a.m. before U.S. Magistrate Deere. The trial was set for March 11, 2014, before United States District Judge Billy Roy Wilson.
Moore faces at least five years up to 20 years’ incarceration with not more than three years’ supervised release for each arson charge. The arson charges with injury have a statutory sentence of not less than seven years’, not more than 40 years’ incarceration with not more than 5years of supervised release. Possession of a destructive device carries a possible sentence of not more than 10 years in prison, with not more than three years of supervised release. Each count of the indictment also carries a possible fine of not more than $250,000.
The investigation was conducted by a special task force headed by the Bureau of Alcohol, Tobacco, Firearms and Explosives with substantial assistance from the Little Rock Fire Department Fire Marshal’s Office, the Arkansas State Police Department Fire Marshal’s Office, and the Little Rock Police Department. The case is being prosecuted by Assistant United States Attorney Chris Givens.
An indictment contains only allegations. A defendant is presumed innocent unless and until proven guilty.
Fifteen Charged in Conspiracy to Distribute PainkillersRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistOhio Valley Drug Task Force investigation leads to 83 count indictment
WHEELING, WEST VIRGINIA – Law enforcement officials announced the indictment of fifteen Ohio Valley residents alleged to be involved in the distribution of tens of thousands of prescription painkillers, along with cocaine and other drugs.
United States Attorney William J. Ihlenfeld, II, Sheriff Pat Butler of the Ohio County Sheriff’s Department, and Chief Shawn Schwertfeger of the Wheeling Police Department released the details of the investigation on Monday, including the charges and potential penalties that each defendant now faces as a result of the eighty-three count indictment that was unsealed this morning.
According to Ihlenfeld, the lead defendant is Brian SCHULTZ, also known as “Worm.” SCHULTZ, 37 years old of Triadelphia, is charged with “Conspiracy to Distribute Schedule II & III Controlled Substances”, “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”, “Interstate Travel in Aid of Racketeering”, “Possession with Intent to Distribute Buprenorphine”, and “Maintaining a Drug-Involved Premise.”
SCHULTZ is alleged to be the leader of a group that received oxycodone and other prescription drugs from suppliers in northern Ohio and Detroit, Michigan and then redistributed them in the Ohio Valley. Sophisticated surveillance techniques were used during the investigation which culminated in three search warrants being executed in January of 2014 at homes connected to the drug trafficking operation. Large amounts of prescription pills and U.S. currency were seized during the January searches. Over the course of the sixteen month investigation thousands of pills have been recovered by agents via controlled purchases and court-authorized searches.
SCHULTZ faces up to twenty years in prison if convicted.
The U.S. Attorney’s Office is seeking to forfeit residential real estate owned by SCHULTZ in Triadelphia, West Virginia, a 2007 GMC Yukon Denali XL owned by SCHULTZ, and approximately $70,000 in cash seized from SCHULTZ and others during the searches that occurred last month. The U.S. Attorney’s Office is also seeking a money judgment against SCHULTZ and others in the amount of at least $450,000 for proceeds derived from the illegal distribution of controlled substances.
“Legal drugs that are illegally obtained can be deadly, and unfortunately many West Virginians have died as a result of prescription drug abuse,” said Ihlenfeld. “The U.S. Attorney’s Office will continue to do everything it can to stop this epidemic, including continuing to aggressively enforce federal drug trafficking laws.”
Ihlenfeld praised the outstanding investigative work of the Ohio Valley Drug Task Force, which includes officers and agents from the Wheeling Police Department, the Ohio County Sheriff’s Department, the West Virginia State Police, BCI, and the U.S. Drug Enforcement Administration. Ihlenfeld also thanked all of the agencies that assisted in the apprehension of the defendants this morning and afternoon, and noted that the investigation is ongoing.
This prosecution of this case is being handled by Assistant United States Attorney John C. Parr.
Each defendant faces a possible term of imprisonment, and under the Federal Sentencing Guidelines the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Updates on the status of this case will be made by media releases as well as via the official Twitter feed of the United States Attorney’s Office, @NDWVnews.In addition to SCHULTZ, the following individuals were also indicted: Katherine HUNGERMAN, also known as “Kat” or “Bubs”, age 44, of Shadyside, Ohio (10 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances” and “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”). HUNGERMAN faces up to 20 years in prison if convicted.
Dustin NAMACK, also known as “Dusty”, age 36, of Adena, Ohio (23 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances” and “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”, and multiple counts of “Distribution of Oxycodone within 1,000 feet of a protected location”). Dustin NAMACK faces up to 40 years in prison if convicted.
Derick NAMACK, age 39, of Wheeling, West Virginia (4 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances” and “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”). Derick NAMACK faces up to 20 years in prison if convicted.
Jill WEST, also known as Jill Namack, age 31, of Wheeling, West Virginia (4 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances” and “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”). WEST faces up to 20 years in prison if convicted.
Steven L. NAMACK, age 64, of Wheeling, West Virginia (20 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”, “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”, and multiple counts of “Distribution of Oxycodone within 1,000 feet of a Protected Location”). Steven NAMACK faces up to 40 years in prison if convicted.
Christopher HOWARD, also known as “FATBOY” or “FATTY”, age 39, of Wheeling, West Virginia (30 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”, “Conspiracy to Engage in Interstate Travel in Aid of Racketeering”, “Distribution of Cocaine” and multiple counts of “Fraudulently Obtaining a Controlled Substance”). HOWARD faces up to 40 years in prison if convicted.
Buddy Robert SALEM, JR., also known as “B.J.”, age 32, of Wheeling, West Virginia (5 counts, including “Distribution of Oxycodone” and “Aiding & Abetting the Distribution of Oxycodone”). SALEM faces up to 20 years in prison if convicted.
Kristyn Elizabeth FETCKO, age 33, of Wheeling, West Virginia (5 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”, “Maintaining a
Drug-Involved Premise”, and multiple counts of “Aiding & Abetting in the Distribution of Oxycodone”). FETCKO faces up to 20 years in prison if convicted.Michael COPPA, age 48, of Wheeling, West Virginia (4 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”). COPPA faces up to 20 years in prison if convicted.
Cara OLAKO, also known as Cara Green, age 36, of Wheeling, West Virginia (5 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances” and “Aiding & Abetting the Distribution of Oxycodone within 1,000 feet of a Protected Location”). OLAKO faces up to 40 years in prison if convicted.
Richard A. HERCULES, JR., age 49, of McMechen, West Virginia (3 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”). HERCULES faces up to 20 years in prison if convicted.
Lucas N. HIGH, age 36, of Wheeling, West Virginia (2 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”). HIGH faces up to 20 years in prison if convicted.
Adam W. BARNES, age 39, of Wheeling, West Virginia (3 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”). BARNES faces up to 20 years in prison if convicted.
Jordan SORGE, age 22, of Wheeling, West Virginia (2 counts, including “Conspiracy to Distribute Schedule II & III Controlled Substances”). SORGE faces up to 20 years in prison if convicted.
Federal Inmate Sentenced to 10 More Months in Prison for Possessing HeroinRead the Press Release
ERIE, Pa. - An inmate at the McKean Federal Correctional Institution in Bradford, Pennsylvania pleaded guilty and was sentenced in federal court to 10 months in jail on his conviction for possession of contraband in prison, United States Attorney David J. Hickton announced today.
United States District Judge David S. Cercone imposed the sentence on Bernardo Granado- Velasquez, 42. The sentence was imposed to run consecutively to the sentence Granado-Velasquez is currently serving.
According to information presented to the court, on or about March 22, 2013, Granado- Velasquez was in possession of contraband, namely, a quantity of heroin.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended Officers of the McKean Federal Correctional Institution for the investigation leading to the successful prosecution of Granado-Velasquez.
Erie Residents Admit Robbing Postal StationRead the Press Release
ERIE, Pa - Two residents of Erie, Pennsylvania, pleaded guilty in federal court to a charge of robbery of a United States postal station, United States Attorney David J. Hickton announced today.
Elijah Devon Sherrod, 19 and Latisha Marie Palochak, 23, each pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that on or about July 16, 2013, the defendants robbed an individual of money and property that was under the control of the United States.
Judge Cercone scheduled sentencing for June 9, 2014. The law provides for a total sentence of ten years in prison, a fine of $250,000, or both for each defendant. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
Pending sentencing, the court continued Palochak on bond.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
The EAGLE task force, which is comprised of members of the Federal Bureau of Investigation, the Pennsylvania State Police, the Erie Police Department, and the Pennsylvania Office of Attorney General Bureau of Narcotics Investigation conducted the investigation that led to the prosecution of Sherrod and Palochak.
East Haven Man, West Haven Man Indicted on Drug and Gun ChargesRead the Press Release
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Deirdre M. Daly, United States Attorney for the District of Connecticut, and John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration for New England, today announced that a federal grand jury sitting in Hartford has returned a 10-count indictment charging MATTHEW VOLOSHIN, 28, of East Haven and JESSE WRUBEL, 27, of West Haven, with drug and firearms offenses in connection with their alleged involvement in a New Haven area marijuana trafficking conspiracy.
This matter stems from a DEA Task Force investigation that included the use of court-authorized wiretaps, controlled purchases of marijuana and physical surveillance. On June 4, 2013, VOLOSHIN and WRUBEL were arrested on state charges. Search warrants executed in association with their arrests revealed two loaded handguns and approximately $50,000 that were found at VOLOSHIN’s residence, and three handguns and approximately 40 pounds of marijuana that were found at an East Haven garage rented by VOLOSHIN. Three of the five firearms were stolen. Law enforcement also seized approximately 20 pounds of marijuana, approximately $15,000 and a loaded nine millimeter rifle from WRUBEL.
The indictment was returned on January 30, and VOLOSHIN and WRUBEL were arrested on the federal charges on February 7. They are currently detained.
The indictment charges VOLOSHIN and WRUBEL with conspiracy to distribute more than 100 kilograms of marijuana, and multiple marijuana distribution offenses. The conspiracy charges carries a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years.
The indictment also charges both defendants with possession of a firearm in furtherance of a drug trafficking crime, which carries a consecutive sentence of five years. VOLOSHIN is also charged with possessing three stolen firearms, a charge that carries a maximum term of imprisonment of 10 years.
U.S. Attorney Daly stressed that an indictment is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Drug Enforcement Administration’s New Haven Task Force. The case is being prosecuted by Assistant U.S. Attorney Patrick Caruso.
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(203) 821-3722 [email protected]Dupree Man Sentenced for Child AbuseRead the Press Release
United States Attorney Brendan V. Johnson announced that a Dupree, South Dakota, man convicted of Child Abuse was sentenced on February 10, 2014, by U.S. District Court Judge Roberto A. Lange.
Allen White, a/k/a AJ White, age 25, was sentenced to 12 months and 1 day in custody, 18 months of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
White was charged by Information for Child Abuse on November 15, 2013. He pled guilty on November 18, 2013.
The charge stems from a September 19, 2013, incident that occurred near Dupree. White was angry at his mother and threw a backpack at her that contained a sport energy drink that was full. The heavy backpack missed White’s mother and instead struck the child victim in the head.
This case was investigated by the Federal Bureau of Investigation and the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Mikal Hanson prosecuted the case.
White was immediately turned over to the custody of the U.S. Marshals Service to commence serving his sentence.
Drug Trafficker Sentenced to 20 Years in Federal Prison on Firearm ChargesRead the Press Release
Defendant Shot and Killed Man During Drug Transaction
DALLAS — Jose Inez Zapata, 33, of Dallas, was sentenced this morning, by U.S. District Judge David C. Godbey, to 240 months in federal prison, following his guilty plea in August 2013 to two federal felony firearm charges, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Specifically, Zapata pleaded guilty to one count of using and discharging a firearm during a drug trafficking crime and one count of being a felon in possession of a firearm.
On April 4, 2011, Zapata met “R.J.” at an apartment complex parking lot in Dallas to conduct a 30-pound marijuana transaction. Zapata shot and killed “R.J.” and then fled the location.
Then, on January 11, 2012, an officer with the Mesquite Police Department executed a traffic stop on a Ford truck that had been reported stolen a few days earlier from Baylor Hospital. Zapata, the driver of the truck, initially slowed down, but then led police on a high-speed chase, at speeds of up to 100 miles per hour, which lasted several minutes. Zapata eventually stopped the truck and fled on foot, running across Highway 80. Zapata charged the officer and attempted to take weapons from the officer’s gunbelt, but he was eventually handcuffed and arrested. Two firearms were located in the truck along with several other stolen items and counterfeit U.S. currency. Zapata was a convicted felon, having felony convictions in Dallas County for aggravated robbery and aggravated assault on a public servant.
The case was investigated by the Dallas Police Department, the Mesquite Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the U.S. Secret Service. Assistant U.S. Attorney Cara Foos Pierce prosecuted.
Devils Lake Man Sentenced to 30 Years for Abusive Sexual Contact at Spirit Lake Indian ReservationRead the Press Release
FARGO – U.S. Attorney Timothy Q. Purdon announced that on Feb. 10, 2014, ErickMcKay, 40, Devils Lake, N.D., was sentenced before U.S. District Judge Ralph R. Erickson, to 30 years in prison on two counts of abusive sexual contact with a minor under the age of 12.
McKay pleaded guilty on Nov.19, 2013, to causing a female child, who had not attained 12 years of age, to have sexual contact with him by the use of threat and force against her.
Judge Erickson sentenced McKay to 15 years on each count of abusive sexual contact. McKay is required to pay $200 special assessment to the Crime Victim’s Fund in addition to his prison sentence.
The case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorney Janice M. Morley prosecuted the case.
Denver Man Indicted and Arrested for Production, Distribution and Possession of Child PornographyRead the Press Release
DENVER – Minh Thong, age 30, of Denver, Colorado, appeared in court today on charges of production, distribution and possession of child pornography, United States Attorney John Walsh and Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) Special Agent in Charge Kumar Kibble announced. Thong was originally arrested at Los Angeles International Airport (LAX) as he attempted to travel to Hong Kong. The defendant appeared in federal court in Los Angeles (the Central District of California). A U.S. Magistrate Judge there ordered U.S. Marshals to transport Thong to Denver. Thong made his initial appearance in U.S. District Court in Denver this afternoon before U.S. Magistrate Judge Craig B. Shaffer, where he was advised of his rights and the charges pending against him. Thong is scheduled to next appear before Magistrate Judge Shaffer on Thursday, February 13th, 2014 at 2:00 p.m. for a detention hearing and for arraignment.
Thong was first charged by Criminal Complaint on January 20, 2014. He was then indicted by a federal grand jury on January 27, 2014.
According to court documents, including the affidavit in support of the original Criminal Complaint, on July 10, 2013, a HSI special agent in Seattle, while functioning in an undercover capacity, used the internet to connect to a Peer to Peer file sharing program (a/k/a FSP). The special agent was able to download child pornography from a specific person using a specific username at a unique IP address. The agent was not only able to download child pornography, the agent was also able to view thumbnail images before choosing which images or videos to download.
Further investigation revealed that the IP address resolved at an address in Denver, and was registered to Minh Thong. A federal search warrant for Thong’s residence was then obtained and executed. Special Agents and officers found child pornography on Thong’s computer. Thong obtained child pornography from others using Peer to Peer software. He also produced child pornography by accessing video chat websites where individuals can see each other using a web cam. Thong used a program to play a video of a younger female or younger male so that the minor person on the other end of the web cam chat believed they were chatting with someone other than Thong. During those chats Thong was able to convince users on the other end of the chats to disrobe and/or masturbate. He recorded the video chat and saved the files. Special Agents are in the process of identifying minor victims.
“Our HSI special agents are dedicated to investigating predators who misrepresent themselves on the Internet to sexually exploit our children,” said Kumar C. Kibble, special agent in charge of HSI Denver. “These predators who produce child pornography electronically memorialize their horrific acts against children, and share these images with like-minded depraved individuals. To protect children from being sexually exploited, HSI is a federal law enforcement leader in investigating these crimes against children domestically and internationally.”
Thong is charged with one count of production of child pornography, which carries a penalty of not less than 15, and not more than 30 years imprisonment, and up to a $250,000 fine. He faces one count of distribution of child pornography, which carries a penalty of not less than 5 years, and not more than 20 years imprisonment, and up to a $250,000 fine. Thong also faces one count of possession of child pornography, which carries a penalty of not more than 10 years imprisonment, and up to a $250,000 fine.
This case is being investigated by Homeland Security Investigations (HSI). Anyone who may have been deceived by Thong is asked to contact the HSI Tipline toll-free at 1 (800) 347-2423, or submit a tip on the Internet at: www.ice.gov/tips.
Thong is being prosecuted by Assistant U.S. Attorney Alecia Riewerts Wolak.
The charges contained in the government filings are allegations, and the defendant is presumed innocent unless and until proven guilty.
This case was brought as part of Project Safe Childhood (PSC), 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, PSC 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 PSC, please visit http://www.justice.gov/psc/ For more information about Internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."
Defendant Sentenced to 30 Years in Prison for First Degree MurderRead the Press Release
SAN DIEGO, CA - Manuel Osorio-Arellanes, age 37, was sentenced to 30 years in prison today in United States District Court in Tucson, AZ, for the first degree murder of United States Border Patrol Agent Brian Terry, announced Laura E. Duffy, United States Attorney for the Southern District of California. Agent Terry was shot and killed on December 14, 2010, when the defendant and four others engaged in a firefight with Border Patrol agents.
According to the plea agreement entered in October 2012, Manuel Osorio-Arellanes admitted that during the evening of December 14, 2010, he and others were in the United States for the purpose of robbing drug traffickers of their contraband. While Agent Terry was engaged in the performance of his official duties, members of the defendant’s group exchanged gun fire with agents and one of the shots fired by a member of the defendant’s group killed Agent Terry.
U.S. Attorney for the Southern District of California Laura E. Duffy said, “Nothing can bring back Agent Terry, who gave his life protecting our country. Our hope is that, starting today with this significant sentence, justice will give some modicum of relief to grieving family members. We will continue our unrelenting pursuit of those responsible for the tragic attack against Agent Terry.”
FBI Special Agent in Charge Douglas G. Price, Phoenix Division, stated, “Today’s sentencing is another step forward in getting justice in the case involving the murder of U.S. Border Patrol Agent Brian Terry and his family. The FBI remains steadfast in our constant pursuit of those responsible for the death of Agent Terry and we will utilize all available resources to apprehend those responsible for this heinous murder”.
“The sentencing of another individual responsible for the murder of Border Patrol Agent Brian A. Terry is critically important to the men and women of our agency,” said Manuel Padilla Jr., Chief Patrol Agent, Tucson Sector, U.S. Border Patrol. “We are extremely grateful for the effort and tireless dedication to this case from the U.S. Attorney’s Office, the Federal Bureau of Investigation and the Government of Mexico.While we will continue to be relentless in our commitment to securing our Nation’s borders, we will forever remember all of the men and women who have made the ultimate sacrifice.”
On July 20, 2012, in order to seek the public’s assistance, Department of Justice officials announced a reward of up to $1 million dollars for information leading to the arrest of four fugitives: Jesus Rosario Favela-Astorga, Ivan Soto-Barraza, Heraclio Osorio-Arellanes, and Lionel Portillo-Meza.
Lionel Portillo-Meza and Ivan Soto-Barraza have been captured in Mexico. These defendants are charged with crimes including first degree murder, second degree murder, conspiracy to interfere with commerce by robbery, attempted interference with commerce by robbery, use and carrying a firearm during a crime of violence, assault on a federal officer and possession of a firearm by a prohibited person. In addition to the murder of Agent Terry, the indictment also alleges that the defendants assaulted Border Patrol Agents William Castano, Gabriel Fragoza, and Timothy Keller, who were with Agent Terry during the firefight.
A sixth defendant, Rito Osorio-Arellanes, pled guilty to conspiracy to interfere with commerce by robbery and was sentenced to eight years in prison in January 2013. Rito Osorio- Arellanes was not present at the incident that resulted in Agent Terry’s murder.
This case is being prosecuted in federal court in Tucson by attorneys from the Southern District of California, Special Attorneys Todd W. Robinson, David D. Leshner, and Fred Sheppard. The U.S. Attorney’s Office for the District of Arizona is recused. This case is being investigated by the Federal Bureau of Investigation.
The public is reminded that an indictment is a formal charging document and defendants are presumed innocent until the government meets its burden in court of proving guilt beyond a reasonable doubt.
Cross Lanes Pedophile Sentenced to 20 Years in Federal PrisonRead the Press Release
CHARLESTON, W.Va. – United States Attorney Booth Goodwin announced today that Shawn Lee McMullen, 37, of Cross Lanes, W.Va., was sentenced to 20 years of imprisonment followed by 25 years of supervised release for possession of child pornography. The sentence was handed down by United States District Judge John T. Copenhaver, Jr., in Charleston.
McMullen admitted that he took sexually explicit photographs of two children under the age of 13 at his residence in Cross Lanes in early May 2013. McMullen left the images on the cell phone he used to photograph the children.
“This defendant’s crimes are sickening,” said U.S. Attorney Goodwin. “Monsters like this to be punished severely, and that’s exactly what the judge did. Today’s sentence is a victory for justice and for the safety of our children.”
The Kanawha County Sheriff’s Department conducted the investigation. Assistant United States Attorney Jennifer Rada handled the prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/usao/wvs/PSCpage.html.
Ceres Man Sentenced to More Than Eight Years in Prison for Receipt of Child PornographyRead the Press Release
FRESNO, Calif. — United States District Judge Lawrence J. O’Neill sentenced Gary Edward Collins, 46, of Ceres, to eight years and one month in prison, to be followed by 15 years of supervised release, for receipt of child pornography, United States Attorney Benjamin B. Wagner announced. Ceres will be required to register as a sex offender and his access to minors, computers, and the Internet will be restricted.
Collins was indicted on January 13, 2013 and pleaded guilty on November 18, 2013. He was remanded into custody on September 10, 2013, after a judge found that he violated the conditions of his pretrial release. Collins admitted in a plea agreement that between April 11, 2011, and May 12, 2012, in Stanislaus County he received at least 600 images of child pornography. Many of the images depicted prepubescent minors and some involved violence or sadistic or masochistic conduct or abuse.
This case was the result of an investigation by the Ceres Police Department. Assistant United States Attorney David Gappa prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about Internet safety education.
Bradenton Felon Charged in Firearm and Drug CrimesRead the Press Release
Tampa, Florida – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Brandon Taylor (24, Bradenton). The five-count indictment charges Taylor with two counts of being a felon in possession of a firearm, and three counts of possession with intent to distribute and distribution of cocaine base. If convicted, Taylor faces a maximum of 20 years in federal prison for each narcotics offense and up to 10 years’ imprisonment for each firearms offense. The indictment also notifies Taylor that the United States intends to forfeit the firearms and ammunition, along with any narcotics proceeds traceable to the offenses.
According to his indictment, Taylor distributed cocaine base on August 16, 2013, August 23, 2013, and September 9, 2013. He is also charged with possessing an Armscor .45 caliber pistol and 8 rounds of.45 caliber ammunition on August 23, 2013, and 11 rounds of .45 caliber ammunition on September 9, 2013.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Manatee County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Adam M. Saltzman.
It is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, along with Julie Leon, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.
This case is also a part of ATF’s Frontline Strategy to reduce crime in our communities. Frontline is a comprehensive violent crime impact strategy that consolidates limited federal law enforcement resources and focuses ATF’s mission by deconflicting cases and coordinating all law enforcement efforts in critical communities.
Bolton Man Charged with Child Pornography OffensesRead the Press Release
BOSTON - A Bolton man was charged today in U.S. District Court in Worcester on child pornography charges.
Michael Hayes, 24, was charged with distribution of child pornography and possession of child pornography. According to the criminal complaint affidavit, in November 2013, Hayes permitted an undercover federal agent, through the use of a peer-2-peer file sharing network, to download a number of image files and video files which depict child pornography.
If convicted, Hayes faces a mandatory minimum sentence of five years and up to 20 years in prison, a five year mandatory minimum and up to a lifetime of supervised release and a $250,000 fine on the charge of distribution of child pornography; and a maximum of 10 years in prison, lifetime supervised release and a $250,000 fine on the charge of possession of child pornography.United States Attorney Carmen M. Ortiz; Vincent B. Lisi, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Vincent C. Alfano, Chief of the Bolton Police Department, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Michelle L. Dineen Jerrett of Ortiz's Worcester Branch Office.
Boise Man Pleads Guilty to Conspiracy in Treasure Valley “Spice” CaseRead the Press Release
Defendants Charged with Multiple Counts of Conspiring to Distribute “Spice,” Money Laundering, Smuggling
BOISE – Troy Palmer, 43, of Boise, Idaho, pleaded guilty today in United States District Court to count four of an indictment charging him with conspiracy to launder money, U.S. Attorney Wendy J. Olson announced. Sentencing is set for May 5, 2014, before U.S. District Judge Edward J. Lodge at the federal courthouse in Boise.
Palmer admitted in court that beginning in March 2011, he knowingly entered into a conspiracy with Mark Ciccarello, William Mabry, and Robert Eoff to conduct financial transactions in connection with a “spice” manufacturing and distribution business. Palmer also admitted to knowingly participating and assisting in the financial activity of the business by engaging in financial transactions through both domestic and foreign financial institutions. The transactions consisted of the proceeds of prior illegal spice sales and other specified unlawful activity. In many cases, the transactions conducted through financial institutions separately consisted of criminally derived property valued at more than $10,000; most of the transactions occurred in Idaho, Washington and California.
Eoff, Mabry and Ciccarello previously entered guilty pleas to the same charge. Judge Lodge will sentence Eoff on March 11, 2014, and Mabry and Ciccarello on March 25.
The charge of conspiracy to launder money is punishable by up to 20 years in prison, a maximum fine of $500,000 or twice the value of the property involved in the transaction, whichever is greater, and up to three years of supervised release.
Palmer and his three co-defendants were indicted by a federal grand jury on May 14, 2013, on charges of conspiracy to distribute a controlled substance analogue; conspiracy to smuggle goods into the United States; conspiracy to sell and transport drug paraphernalia; and conspiracy to launder money. The indictment alleged that between March 1, 2011 and July 9, 2012, in Idaho, Alaska, California, Washington, and Wisconsin, the defendants conspired to purchase and import from China chemicals known as AM2201, UR-144, and XLR11, which they used to treat innocuous plant matter to make “spice”—a synthetic cannabinoid similar to substances listed in Schedule I of the Controlled Substances Act. The indictment further alleged that one or more of the defendants conspired to sell and transport drug paraphernalia for sale, and that they conspired to launder money illegally obtained through their drug, importation and paraphernalia violations. The government is seeking forfeiture of proceeds derived from the alleged criminal activities.
The case is the result of a joint investigation of the Organized Crime and Drug Enforcement Task Force (OCDETF), which included the cooperative law enforcement efforts of the Drug Enforcement Administration (DEA), U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, Boise Police Department, Meridian Police Department, Ada County Sheriff’s Office, Canyon County Sheriff’s Office, and Nampa Police Department. Other federal agencies participating in the OCEDTF program include the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Federal Bureau of Investigation (FBI), and U.S. Marshals Service.
The OCDETF program is a federal, multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
Bank Robber Sentenced to Federal PrisonRead the Press Release
Defendant Sentenced as a Career Offender for Two Oregon RobberiesMEDFORD, Ore. – John Edward Perdue, 54, of Grants Pass, Oregon, was sentenced today to 151 months in federal prison for committing two bank robberies in Grants Pass. During the February 21, 2013 robbery of the Umpqua Bank, Perdue, with his face partially concealed by a hooded sweatshirt, rushed through the front door and went behind the service counter where the teller was on the telephone with a customer. Perdue tapped her on the shoulder, and ordered her to get off the phone and unlock the drawer at her teller station. Perdue grabbed money from the drawers and fled the bank with $10,580. The teller told detectives that she felt “panicked” and “surprised,” fearing that if she did anything contrary to what he was asking, he might harm her.
During the April 1, 2013 robbery of the Bank of the Cascades, Perdue entered the bank and again walked behind the service counter, ordering the male teller to get on his knees and not get up. Perdue emptied the money from the male teller’s drawer. Perdue then ordered a female teller to unlock an adjoining drawer, but when she was unable to open it he removed money from the drawer at her station. As Perdue was leaving the bank he dropped some of the cash and scrambled around on the floor trying to pick up as much as he could before fleeing with $8,612. The teller told detectives that she was scared during the ordeal due to the excited manner in which Perdue was acting and how he was ordering them around. This was the second time Perdue had robbed this same bank while she was employed as a teller. That robbery occurred in 2008.
According to sentencing documents filed by AUSA Byron Chatfield, Perdue was previously convicted in 1996 for committing two other bank robberies while he was an escapee from the Oregon Department of Corrections. He was sentenced to 87 months in prison for those robberies. He also received additional state sentences for the escape, as well as subsequent sentences for weapons possession and an attempted escape from the Oregon State Penitentiary. Thereafter, within a month of his release from custody, Perdue committed two additional bank robberies, one at the Bank of the Cascades in Grants Pass in 2008 and the other at the US Bank in Roseburg, Oregon. Perdue was sentenced to 28 months in state prison, as well as additional 24 month consecutive sentence in federal prison. Perdue has been incarcerated for committing criminal offenses for much of the last 20 years and he committed the current bank robberies less than a year after his release from custody.
Senior U.S. District Judge Owen M. Panner sentenced Perdue as a Career Offender, which enhances the sentence for commission of a serious violent felony after two or more convictions for other serious violent felonies. Perdue was also ordered to pay $19,192 in restitution to the banks.
This case was investigated by the Grants Pass Department of Public Safety and the FBI, Medford, Oregon and prosecuted by Assistant U. S. Attorney Byron Chatfield.
Attorney General Holder Announces Justice Department to Lift Hiring FreezeRead the Press Release
In a video message released today, Attorney General Eric Holder announced that, due to the budget agreement approved by Congress last month, the Justice Department is able to lift the hiring freeze that has been in place for just over three years.
The complete text of the Attorney General’s message is below:
“In recent years, federal employees have been asked to contend with sharp budget cuts, sequestration, and the personal hardships imposed by a government shutdown. Here at the Department of Justice, these conditions have strained our capacity. And they’ve compelled us to take extraordinary measures just to make ends meet – including a hiring freeze that I was forced to institute in 2011, and which has resulted in the loss of more than 4,000 employees.
“These losses have been acutely felt. But finally, after years of uncertainty, Congress recently passed – and the President signed – a bipartisan budget agreement that allowed our appropriators to restore Justice Department funding to pre-sequestration levels – and even adds funding for key priorities. As a result of this budget agreement, effective immediately, the Department will lift the hiring freeze that’s been in place for just over three years. After years of doing more with less, we will begin to fill critical vacancies. And we will resume the normal hiring process for federal agents, prosecutors, analysts and the other staff we need to fulfill our mission. These added resources will help us carry out our critical law enforcement responsibilities and improve public safety.
“I want to thank Members of Congress – particularly Senators Mikulski and Shelby and Congressmen Wolf and Fattah – for their leadership in securing this important agreement. As we put these resources to work, my colleagues and I will remain committed to serving as sound stewards of taxpayer dollars. And we’ll continue to make our operations as efficient and effective as possible.
“Across the board, I’m extremely proud of the outstanding work that Justice Department employees have performed in recent years – in the face of adversity, and despite escalating threats and challenges. Every one of them is a credit to this institution, to our nation, and to the American people we’re privileged to serve. So I want to take this opportunity to thank them – for their commitment, for their dedication, and for the sacrifices that they and their families have made in the name of public service. Their efforts inspire me every day. And I will never stop working to secure the support they need to carry out their important duties – and to keep advancing the cause of justice that remains our common pursuit.”
The Attorney General’s video message can be viewed online here: http://www.justice.gov/agwa.php.
Alton Man Pleads Guilty to Aiding and Abetting Armed RobberyRead the Press Release
Case is one of many brought as a result of United States Attorney Stephen R. Wigginton’s Metro-East Armed Robbery Initiative
An Alton, Illinois, resident pled guilty on February 10, 2014, to an Indictment, charging that he and his co-defendant, Taylor C. Harkey, aided and abetted each other in the commission of an Armed Robbery, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. The Armed Robbery count is a federal “Hobbs Act Robbery.” The Hobbs Act makes it a crime to obstruct, delay, or affect interstate commerce by robbery, and is used by United States Attorney Wigginton as a way to combat armed robbery in the Southern District of Illinois.
Ramone C. Cunningham, 30, of Alton, Illinois, faces a term of imprisonment of not more than twenty (20) years, a fine up to $250,000, or both, and a term of supervised release of not more than three (3) years. Sentencing is scheduled for May 22, 2014, in East St. Louis, Illinois. Cunningham has been held without bond since his initial appearance on December 3, 2013.
The offense occurred on July 18, 2013, when Cunningham and his co-defendant, Taylor Harkey, were at her residence discussing ways in which to get “quick money.” At Cunningham’s suggestion, Harkey and Cunningham devised a plan to rob a cab driver. The two left in Harkey’s husband’s car and went to another individual’s residence. At this house, Cunningham remained in the car while Harkey went inside and used another individual’s cellular telephone to call Comfort Cab to have a cab sent to a vacant residence in Alton. The two parked in an alley near the vacant house. Prior to committing the robbery, Cunningham provided Harkey with a small black .177 caliber BB gun that looked like a real gun.
Harkey got out of the car and approached the cab that was already at the residence. The cab driver, having noticed that the residence was vacant, notified his dispatcher who told him to wait while they tried to contact the original caller. While waiting for the dispatcher to call back, Harkey reached through the open rear driver’s side window and pointed the gun at the cab driver’s head, stating “Give me your money or I’ll blow your brains out.” Harkey also reached inside the cab and grabbed the cab driver’s company cellular telephone. The driver threw $36.00, consisting of cab fares, out of the window. As Harkey bent down to pick up the money, the cab driver drove away. He was able to contact Comfort Cab to report that he had just been robbed. Comfort Cab subsequently called the Alton Police Department. Using the original number that was used to call the cab, the officers were able to identify Harkey as a suspect. Both Harkey and Cunningham were subsequently arrested a short time later at Harkey’s residence. The BB gun given to Harkey to use during the robbery was recovered from under the mattress of one of her children. Both Cunningham and Harkey provided videotaped statements to Alton police officers in which they admitted their role in the robbery.
The case was investigated by the Alton, Illinois, Police Department. The case is assigned to Assistant United States Attorney Angela Scott.
8 Defendants Indicted on Federal Drug Trafficking ChargesRead the Press Release
SAVANNAH, GA – A federal grand jury sitting in Savannah, Georgia returned an indictment last week charging 8 defendants with trafficking powder and crack cocaine and marijuana in the Savannah area and elsewhere. This federal indictment follows state charges, where the Eastern Judicial Circuit/Chatham County District Attorney’s Office indicted 20 others for their involvement in the drug-trafficking conspiracy.
The indictment follows an 18-month Organized Crime Drug Enforcement Task Force (OCDETF) investigation into drug trafficking activities from Savannah to California. Agents with the DEA and the Chatham-Savannah Counter Narcotics Team (CNT) led the joint investigation. The investigation culminated in arrests and search warrants being executed on September 11, 2013, in the following locations: Port Wentworth, Garden City, and Savannah. During the investigation, agents seized large quantities of powder cocaine, crack cocaine, marijuana and other illegal drugs. Agents also seized over $250,000 in cash.
United States Attorney Edward Tarver said, “Drug dealers beware. If you are pushing poison in our communities, federal and state law enforcement will unite to make sure you are prosecuted to the fullest extent of the law, and that your ill-gotten-gains will be forfeited.”
Eastern Judicial Circuit / Chatham County District Attorney Meg Heap stated, “An operation and resulting seizure of this magnitude was made possible through the collaborative focus and team effort of the U. S. Attorney’s Office, DEA, Counter Narcotics Team and the District Attorney’s Office. By each of these agencies working together towards a common goal, we can ensure that large scale drug operations such as these are effectively razed and prosecuted appropriately for their crimes.”
Harry S. Sommers, the Special Agent in Charge of the DEA Atlanta Field Division commented, “All participating agencies played a crucial role in the eradication of a criminal network. These drug trafficking activities posed a significant threat to the quality of life in the affected communities. Dismantling drug trafficking organizations makes communities a safer place. I want to thank our federal, state and local law enforcement counterparts who had a direct impact in making this investigation a success.”
Chatham-Savannah Counter Narcotics Director Everett Ragan said, “This is a classic example of the cooperation between the Chatham-Savannah Counter Narcotics Team, the DEA- Savannah field office, and the U. S. Attorney’s Office seeking to remove another major drug organization from the streets of Chatham County.”
The 8 defendants indicted on federal charges include:
ANTONIO ACOSTA, Savannah, 37; NAKIEA J. HAMPTON, Savannah, 33; CHRISTOPHER CRIMLEY, Port Wentworth, 39; KEVIN SPEAK, Savannah, 31; SHERONE MCBRIDE, Garden City, 36; SHAMONE MCBRIDE, Garden City, 36; TRAVIEL PERKINS, Savannah, 36; and, WILLIAM MCDONALD, Savannah, 39.
Upon conviction, each defendant faces up to 20 years in prison, a $1,000,000 fine, and a period of supervised release. Mr. Tarver stressed that an indictment is only an accusation and is not evidence of guilt. The Defendants are entitled to a fair trial, during which it will be the Government’s burden to prove the defendants’ guilt beyond a reasonable doubt.
Assistant United States Attorney, E. Greg Gilluly is prosecuting the case on behalf of the United States. For additional questions, please contact James D. Durham, First Assistant United States Attorney at (912) 201-2547.
7 February 2014
Week in Review – South BendRead the Press Release
South Bend, Indiana — The United States Attorney’s Office announced the following activity in Federal Court:
PLEA:
William Edward Cooper, II, 51, of Mishawaka, Indiana pled guilty before District Judge Robert L. Miller, Jr. to the felony offense of possessing a firearm as an unlawful drug user. This charge was filed as a result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives.Sentencing has been set for 5/29/2014.This case is being prosecuted by Assistant United States Attorney Donald Schmid.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS:
Jose Gonzalez, 61, of Milford, Indiana was sentenced by District Judge Robert L. Miller, Jr. to 66 months imprisonment with 3 years supervised release after pleading guilty to the felony offense of possession with intent to distribute controlled substances.According to documents filed in this case, in August 2013, law enforcement officers served a search warrant on Gonzalez’s residence. Officers discovered a white powdery substance hidden in different parts of the property. The powder was found in the dryer vent, roof of the doghouse and in a column on the porch. The substance was tested and determined to be cocaine. Additional drug related paraphernalia was discovered including scales, baggies and other items used to facilitate illegal drug sales.This case was the result of an investigation by Drug Enforcement Administration.This case was prosecuted by Assistant United States Attorney Frank Schaffer.
Emilio Santana-Esquivel, 27, of Macy, Indiana was sentenced by District Judge Jon E. DeGuilio to 10 months imprisonment followed by no term of supervised release after pleading guilty to the felony offense of use of a false social security number.According to documents filed in this case, in January 2011, Santana-Esquivel lied and utilized a false social security account number. Santana-Esquivel used this false SSN as well as another individual’s social security card and photo ID in his application for employment with an Indiana based company.This case was the result of an investigation by U.S. Immigration and Customs Enforcement.This case was prosecuted by Assistant United States Attorney Jesse Barrett.
Tad Vandermark, 53, of Syracuse, Indiana was sentenced by District Judge Jon E. DeGuilio to 360 months imprisonment with 15 years supervised release after pleading guilty to the felony offense of production of child pornography.According to documents filed in this case, between 2003 and March 2005, Vandermark lived with a family and videotaped himself and a minor child of that family having sexual contact. Vandermark was aware that images of that sexual contact were being transmitted via a web camera over the Internet to another individual.This case was the result of an investigation by the Federal Bureau of Investigation.This case was prosecuted by Assistant United States Attorney John Maciejczyk.
Shawn Fox, 49, of South Bend, Indiana was sentenced by District Judge Robert L. Miller, Jr. to 120 months imprisonment, 2 years supervised release and to pay $3,409 in restitution after pleading guilty to the felony offense of bank robbery with the use of a firearm .According to documents filed in this case, in January 2011, Fox entered a South Bend bank with the intent to rob the facility. Fox was armed with a firearm which he used to threaten a teller and to obtain money. This case was the result of an investigation by the Federal Bureau of Investigation.This case was prosecuted by Assistant United States Attorney Frank Schaffer.
Week in Review – HammondRead the Press Release
Hammond, Indiana - The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS:
Ronier Scott, 42, of Gary, Indiana, pled guilty before Magistrate Judge John E. Martin to the felony offense of willful failure to file a federal tax return.Magistrate Martin is recommending that the district court accept the tendered guilty plea.Parties have 10 days in which to object to the magistrate judge’s recommendation. Sentencing has been set for 4/1/14.This charge was filed as a result of an investigation by the Internal Revenue Service.This case is being prosecuted by Assistant United States Attorney Gary Bell.
Jermel Washington, 37, of Gary, Indiana, pled guilty before District Judge Joseph Van Bokkelen to the felony offense of possession of a non- registered firearm.Sentencing has been set for 4/30/14.This charge was filed as a result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Gary Police Department.This case is being prosecuted by Assistant United States Attorney Thomas McGrath.
Paul Robinson, 23, of Gary, Indiana, pled guilty before Magistrate Judge Paul Cherry to the felony offense of distribution of heroin.Magistrate Cherry is recommending that the district court accept the tendered guilty plea.Parties have 10 days in which to object to the magistrate judge’s recommendation. This charge was filed as a result of an investigation by the Federal Bureau of Investigation GRIT Task Force.This case is being prosecuted by Assistant United States Attorney Dean Lanter.
Alejandro Murillo, 26, of Chicago, Illinois, pled guilty before Chief Judge Philip Simon to the felony offense of possession with the intent to distribute methamphetamine.This charge was filed as a result of an investigation by the Drug Enforcement Administration HIDTA Task Force.This case is being prosecuted by Assistant United States Attorney Dean Lanter.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS:
David Johnson, 58, of Munster, Indiana, was sentenced by Chief Judge Philip Simon to 1 year and 1 day of imprisonment, 1 year of supervised release and a fine of $6000.00 after pleading guilty to the felony offense of payment of a bribe to an agent of a local government receiving federal funds.According to documents filed in this case, Johnson, owner of Dave’s Tree Service, made a series of payments to Hammond City Councilman Alfonso Salinas in order to secure future business from the city.Hammond’s records confirmed that the city had paid Dave’s Tree Service more than $300,000 during a roughly two year period, and that Salinas had authorized most of the work. During an interview with IRS agents, Johnson admitted bribing Salinas. This case was a result of an investigation by the Internal Revenue Service.This case was prosecuted by Assistant United States Attorney Gary Bell.
Sonyinee Davis-Pope, 39, of Hammond, Indiana, was sentenced by District Judge Joseph Van Bokkelen to 3 years of probation after pleading guilty to the felony offense of making false statements to the United States Postal Service.According to documents filed in this case, Pope admitted that she submitted on-line employment applications to the United States Postal Service. In each application, she made a false statement or representation by either using a false name, false date of birth, false social security number, or by failing to disclose that she had prior felony convictions. She submitted the false applications in order to pass the pre-employment background check. In all, she submitted over 50 on-line employment applications to the United States Postal Service between July 2010 and February 2011 for employment in Northwest Indiana, Illinois, and Alabama. This case was a result of an investigation by United States Postal Service-Office of the Inspector General.This case was prosecuted by Assistant United States Attorney Toi Houston.
Stacy Davis, 46, of Gary, Indiana, was sentenced by Senior District Judge Rudy Lozano to 51 months imprisonment and 2 years of supervised release after pleading guilty to the felony offense of the bank robbery of Chase Bank in Merrillville, Indiana.This case was a result of an investigation by the Federal Bureau of Investigation GRIT Task Force.This case was prosecuted by Assistant United States Attorneys Jacqueline Jacobs and Jennifer Chang-Adiga.
Eugene Wilson, 57, of Merrillville, Indiana, was sentenced by Senior District Judge Rudy Lozano to 42 months imprisonment, $1,696,919.45 in restitution and 1 year of supervised release after pleading guilty to the felony offense of wire fraud.According to documents filed in this case, Wilson participated in a scheme to defraud and obtain money from three groups of investors by making false statements. In 2006, in separate transactions, Wilson convinced investors to give him money, collectively more than 1.5 million dollars. As inducements, he promised to pay a high rate of return and return the money in a short time period.He also told the investors that their money, or most of it, would remain in a bank account. After receiving the money from the investors, Wilson sent almost all of it to individuals who were in Europe, and spent the remaining money. Wilson acknowledged that on October 25, 2006, he visited a Bank of America branch in Chicago and directed the bank to wire transfer $470,000 in one transaction, and $30,000 in another, to a bank account located in the country of Liechtenstein. When an investor provided him with $600,000, Wilson told him that his money was safe and most of it would remain in a bank account for ten days. He did not return any money to this investor. This case was a result of an investigation by the Federal Bureau of Investigation.This case was prosecuted by Assistant United States Attorney Gary Bell.
Week in Review – Fort WayneRead the Press Release
Fort Wayne, Indiana —The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS (all before Magistrate Judge Roger B. Cosbey)
Leobardo Gaona, 40, of Huntertown, Indiana pled guilty to the felony offense of conspiracy to distribute and possess with the intent to distribute less than 500 grams of a mixture and substance containing a detectable amount of cocaine. Magistrate Cosbey is recommending that the district court accept the tendered guilty plea.Parties have 14 days in which to object to the magistrate judge’s recommendation. This charge was filed as a result of an investigation by the Federal Bureau of Investigation.Sentencing has not yet been set.This case is being prosecuted by Assistant United States Attorney Lesley Miller-Lowery.
Raul Resendiz, 35, of Fort Wayne, Indiana pled guilty to the felony offense of being a felon in possession of a firearm. Magistrate Cosbey is recommending that the district court accept the tendered guilty plea.Parties have 14 days in which to object to the magistrate judge’s recommendation. This charge was filed as a result of an investigation by the Federal Bureau of Investigation.Sentencing has not yet been set.This case is being prosecuted by Assistant United States Attorney Tina Nommay.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS:
Evangelos Doublas, 34, of Tucson, Arizona was sentenced by District Judge Theresa L. Springmann to 33 months imprisonment and 2 years of supervised release after pleading guilty to the felony offense of possession with the intent to distribute less than 50 kilograms of marijuana.According to documents filed in this case, in December 2010, Doublas received a large quantity of marijuana from a confidential informant.Upon searching Doublas’ property, law enforcement officers recovered 117 pounds of marijuana. This case was the result of an investigation by the Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives, with the assistance of the DEA – Missouri, Bureau of Alcohol, Tobacco, Firearms and Explosives, Fort Wayne Police Department, and the Pulaski County Sheriff’s Department.This case was prosecuted by Assistant United States Attorney Lesley Miller-Lowery.
U.s. Attorney's Office Collects $29.3 Million in Civil & Criminal Actions and Forfeitures in Fy 2013Read the Press Release
(Albany, New York) - United States Attorney Richard S. Hartunian has announced that the Northern District of New York collected $4,006,217.22 in criminal and civil actions in Fiscal Year 2013. Of this amount, $2,642,890.05 was collected in criminal actions and $1,363,327.17 was collected in civil actions. The U.S. Attorney’s Office also worked with other components of the Department of Justice to collect an additional $14,313,192.93 in cases pursued jointly. Of this amount, $2,601,102.21 was collected in criminal actions and $11,712,090.72 was collected in civil actions.
Additionally, the U.S. Attorney’s Office, working with partner agencies and divisions, collected $11,051,256 in criminal, civil and administrative forfeitures in 2013. Forfeited assets are deposited into the Department of Justice Asset Forfeiture Fund and are used to restore funds to crime victims and for a variety of law enforcement purposes.
Attorney General Eric Holder announced in January that the Justice Department collected approximately $8.1 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2013. The more than $8 billion in collections in FY 2013 represents nearly three times the appropriated $2.76 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.
“The department’s enforcement actions help to not only ensure justice is served, but also deliver a valuable return to the American people,” said Attorney General Holder. “It is critical that Congress provide the resources necessary to match the department’s mounting caseload. As these figures show, supporting our federal prosecutors is a sound investment.”
“As we go forward in these challenging economic times, collections continue to be a critically important part of our services to the citizens in our district," said U.S. Attorney Richard S. Hartunian. "The U.S. Attorney's Office is dedicated to protecting the public and recovering ill-gotten gains for the federal treasury and for victims of federal crime. Once again this year, the amount collected significantly exceeds the annual cost of our entire office operations."
Some notable cases in which funds were recovered by the U.S. Attorney’s Office during fiscal year 2013 include the following:
A. Forfeiture Cases
On December 19, 2012, defendant John Tebbetts, Syracuse area owner of the head shop chain known as “Tebb’s Head Shops,” was charged with and pled to possession with the intent to distribute, Schedule I controlled substances in violation of 21 U.S.C. § 841, possession with the intent to distribute a controlled substance analogue, as defined in 21 U.S.C. § 802(32), with the intent that it be used for human consumption, as provided for in 21 U.S.C. § 813, and one count in violation of 18 U.S.C. § 1957, engaging in a monetary transaction in property derived from a specified unlawful activity, for the purchase of a 2012 Forest River Berkshire Motor Home for $157,440 in U.S. Currency in the case of U.S. v. John Tebbetts. On April 22, 2013 the court signed a Preliminary Order of Forfeiture ordering the forfeiture of the 2012 Forest River Berkshire Motor Home, $286,376.37 in U.S. Currency, one 2004 Toyota Scion XB, one 2009 Cadillac CTS 4, and one 2005 GMC Savana G3500, as the proceeds of, and property facilitating the aforementioned violations.
In 2013, the U.S. Attorney’s Office forfeited $5,359,983.91 in real property, vehicles, bank accounts and currency in the case of U.S. v. Lonzinski, et al. This office is seeking to have the moneys collected thus far used to pay the restitution ordered in the amount of $14,108,623. This case involved the criminal prosecution of a mother and son, Laura Conarton and Scott Lonzinski, from the Binghamton area, who engaged in a loan fraud scheme which ultimately bankrupted the Broome County Teachers Federal Credit Union. Among the millions of dollars already seized, $162,347 has been credited to the National Credit Union Administration (NCUA) through administrative action undertaken by the U.S. Attorney’s Office. Upon the sale of forfeited real property, the remaining forfeited proceeds will be eligible for transfer to the NCUA.
B. Civil Actions
In September 2013, the Northern District of New York recovered $3.57 million as part of the settlement in the United States of America ex rel. Lynch v. Imagimed LLC, et al., a civil case filed under the False Claims Act’s qui tam provision. Imagimed LLC is a company that operated 14 different MRI sites in the Northeast, including sites in Elmira, DeWitt, Utica and Amsterdam. The settlement resolved allegations that Imagimed LLC, the company’s former owners, William B. Wolf III and Dr. Timothy J. Greenan, and the company’s former chief radiologist, Dr. Steven Winter submitted to federal healthcare programs false claims for magnetic resonance imaging (MRI) services. Imagimed owns and operates MRI facilities, located primarily in New York State, under the name “Open MRI.” More specifically, it was alleged that, from July 1, 2001, through April 23, 2008, Imagimed, Greenan, Wolf and Winter submitted claims to Medicare, Medicaid and TRICARE for MRI scans performed with a contrast dye without the direct supervision of a qualified physician. Since a potential adverse side effect of contrast dye is anaphylactic shock, federal regulations require that a physician supervise the administration of contrast dye when it is used for an MRI. It was also alleged that from July 1, 2005, to April 23, 2008, Imagimed, Greenan, Wolf and Winter submitted claims for services referred to Imagimed by physicians with whom Imagimed had improper financial relationships, in that, in exchange for these referrals, Imagimed entered into sham on-call arrangements, provided pre-authorization services without charge and provided various gifts to certain referring physicians, in violation of the Stark Law and the Anti-Kickback Statute.
In March 2013, $8,065,411 was recovered as part of a $20.3 million dollar settlement in the United States of America, The State of New York and The St. Regis Mohawk Tribe v. Aluminum Company of America and Reynolds Metals Co. civil case. The settlement resolved allegations that, for decades, Alcoa Inc. (Alcoa West), Reynolds Metals Company (now Alcoa East) and the former GM Central Foundry plant, located in Massena, New York adjacent to the St. Regis Mohawk Tribe lands, had released hazardous substances into the St. Lawrence River environment. These substances, including polychlorinated biphenyls (PCBs), adversely impacted natural resources within the surrounding environment and contaminated the Mohawk community of Akwesasne by degrading natural resources used for traditional cultural practices. Most of this settlement, $18.5 million, will be combined with $1.8 million in restoration funds from a 2011 General Motors (GM) bankruptcy settlement, and used for restoration of the St. Lawrence River area. The settlement funds include the following components:
- Approximately $8.4 million of the settlement will go to the Mohawk Tribe to support traditional cultural practices, including an apprenticeship program to promote Mohawk language and traditional teachings. A portion of those funds will also support cultural institutions, including youth outdoor education programs and horticultural programs for medicine, healing and nutrition.
- More than $10 million from the GM and Alcoa/Reynolds settlements will be spent on a variety of ecological restoration projects, including restoration and/or enhancement of wetlands, stream banks, native grasslands, bird nesting and roosting habitat, fisheries and fish habitat, and acquisition of unique habitat under threat of development. These projects may also benefit cultural practices that depend on these restored natural resources.
- Nearly $2 million will be spent by Alcoa/Reynolds to develop and upgrade two boat launches on the Raquette River and construct three new launches on the Grasse River to improve fishing and boating access to rivers in the Massena area.
The litigation of this case was handled primarily by the Department of Justice’s Environment and Natural Resources Division, along with the National Oceanic and Atmospheric Administration, the U.S. Department of the Interior, the New York State Attorney General’s Office and the St. Regis Mohawk Tribe.
C. Criminal Actions
On March 4, 2011, defendant Lal B. Singh, as part of his sentence, was ordered by the Court to pay restitution in the amount of $3,610,538 to the Bank of New York in connection with his scheme to defraud committed while he was employed by the Bank in Manhattan. From 1993 through 2007, Singh served as a Section Manager in the Securities Redemption Department of the Bank. If customers did not redeem bonds that had been purchased upon the maturity date, the additional interest payments on the bonds would be transferred into a pooled account for unclaimed funds. If these funds are not claimed within three years, the bank was required to transfer these monies to the New York State Comptroller’s Office, Department of Unclaimed Funds. Through his job position, Singh had access to a data base that allowed him to view the unclaimed funds and to determine which funds were soon to be transferred to the state. Beginning in 1996, Singh created funds transfer requests to have funds transferred from the Unclaimed Funds accounts to one of several other accounts that belonged to individuals in the Schenectady area who agreed to assist Singh in the fraudulent funds transfer. Singh was able to make wire transfers totaling more than $3.6 million dollars. During the course of the investigation, it was discovered that Singh was entitled to a lump-sum benefit distribution from the Bank of New York Pension Plan in the amount of $281,350. After a Writ of Garnishment was issued to the Bank of New York, a check was issued by the Bank to the United States on November 21, 2012 in the amount of $229,278.59, which was then applied to the court-ordered restitution.
On January 31, 2013, defendant Joseph Dellerba was sentenced by Senior U.S. District Judge Norman A. Mordue. As part of his sentence, he was ordered to pay restitution in the amount of $1,429,458 to various insurance companies in connection with his conspiracy to defraud conviction involving a staged motor vehicle accident in Utica, New York. After a pre-trial financial investigation, Dellerba turned over $102,111, which represents a portion of the proceeds fraud. This amount was then applied toward the restitution he was ordered by the court to pay.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the United States and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
Attached is a chart showing how the FY2013 $29,370,665 collections were distributed to the victims, government agencies serving the public and state and local law enforcement agencies.
Two Persons Charged with Sex Trafficking of Children and Related Illegal Firearms CrimesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that two former Edwardsville residents were arrested today by federal and state law enforcement officers on charges involving the sex trafficking and prostitution of a minor and weapons offenses.
According to United States Attorney Peter J. Smith, on January 21, 2014, a federal grand jury in Scranton indicted Travis Humphrey, a/k/a “GT,” age 26, and Kyoni Humphrey a/k/a “Kyoni Nieves,” age 24, for conspiring to force a minor female to engage in prostitution and illegal sexual activity during May 15, 2013, to June 3, 2013.
The indictment alleges that the defendants used a cell phone to post advertisements for “escort services” involving the minor female on the backpage.com website in Pennsylvania and New Jersey, and transported the minor in interstate commerce from Pennsylvania to New Jersey and New York to engage in illegal sexual activity and prostitution.
Both defendants are charged, allegedly, as principal or aiders and abettors, with Conspiracy to Commit Sex Trafficking of Children by Force and Coercion; Sex Trafficking of Children by Force and Coercion; Conspiracy to Transport a Minor in Interstate Commerce with Intent to Engage in Criminal Sexual Activity; Transporting a Minor in Interstate Commerce with Intent to Engage in Criminal Sexual Activity; Persuading, Enticing and Coercing a Minor to Travel in Interstate Commerce to Engage in Prostitution; and Transporting a Person in Interstate Commerce to Engage in Prostitution.
Both defendants are charged with Carrying and Possessing a Firearm in Furtherance of a Crime of Violence. Travis Humphrey is charged with Possessing a Firearm as a Convicted Felon. Kyoni Humphrey is charged with Making False Statements During the Purchase of a Firearm.
The charges stem from an investigation by the Department of Homeland Security, the Pennsylvania State Police and the Luzerne County District Attorney’s Office.
Sex trafficking of children by force and coercion is punishable by a mandatory minimum sentence of 15 years in prison and a possible maximum sentence of life in prison. The carrying and possessing a firearm in connection with a crime of violence charge is punishable by a mandatory minimum sentence of five years in prison and a possible maximum sentence of life in prison, and that sentence must run consecutive to any other sentence imposed. The other charges contain maximum sentences of from 10 to 20 years imprisonment.
Both defendants are scheduled to appear before U.S. Magistrate Judge Karoline Mehalchick this afternoon at the federal courthouse in Wilkes-Barre.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
****Trenton, N.J., Mayor Convicted on Federal Extortion, Bribery and Mail and Wire Fraud ChargesRead the Press Release
Mayor’s Brother Also Convicted in Connection with Extortion Plot
TRENTON, N.J. — A federal jury today found Trenton Mayor Tony F. Mack guilty on all six federal extortion, bribery and mail and wire fraud charges against him, U.S. Attorney Paul J. Fishman announced.
Mack’s brother, Ralphiel Mack, was also convicted on three of the charges, but found not guilty on three mail and wire fraud counts, following a five-week trial before U.S. District Judge Michael A. Shipp in Trenton federal court. The Macks were charged in connection with a scheme to accept $119,000 in bribes in exchange for Mayor Mack’s official actions and influence in assisting cooperating witnesses in the development of an automated parking garage on City-owned land.
“The jury’s verdict solidly affirms what we first charged more than a year ago – that Tony Mack, with the helping hands of his brother and their cohorts, sold the mayor’s office and sold out the people of Trenton,” U.S. Attorney Fishman said. “We are very grateful to the members of the jury for their service.”
Tony F. Mack, 48, and Ralphiel Mack, 41, both of Trenton, originally were charged by complaint on Sept. 10, 2012, with one count of conspiracy to obstruct commerce by extortion under color of official right related to the $119,000 extortion scheme. Also charged at that time was Joseph A. Giorgianni, 64, of Ewing, N.J. An indictment returned in December 2012 added charges against all three defendants.
Giorgianni pleaded guilty on Dec. 13, 2013, to one count of conspiring with the Macks and others to obstruct interstate commerce by extorting individuals under color of official right, in addition to a separate extortion scheme, a narcotics charge and illegal weapons possession, all charges unrelated to the Macks.
Mayor Mack was convicted of the six counts charged in the indictment:
- Conspiracy to obstruct and affect interstate commerce by extortion under color of official right;
- Attempted obstruction of commerce by extortion under the color of official right;
- Accepting and agreeing to accept bribes;
- Two counts of wire fraud;
- Mail fraud;
Ralphiel Mack was convicted on the same first three counts and found not guilty of the mail and wire fraud charges. The jury members deliberated for seven hours before returning their verdicts.
According to documents filed in this case and the evidence presented at trial:
Mayor Mack, Giorgianni and Ralphiel Mack conspired to accept approximately $119,000 in cash and other valuables, of which $54,000 was accepted and another $65,000 that the defendants planned to accept, from two cooperating witnesses (“CW-1” and “CW-2”). In exchange for the payments, Mayor Mack agreed to, and did, assist CW-1 and CW-2 in their efforts to acquire a City-owned lot (the “East State Street Lot”) to develop an automated parking garage (the “Parking Garage Project”). The scheme included a plan to divert $100,000 of the purchase amount that CW-2 had indicated a willingness to pay to the City of Trenton for the lot as a bribe and kickback payment to Giorgianni and Mayor Mack. The mayor authorized and directed a Trenton official responsible for disposition of City-owned land to offer the East State Street Lot to CW-2 for $100,000, significantly less than the amount originally proposed by CW-2.
The defendants went to great lengths to conceal their corrupt activity and keep Mayor Mack “safe” from law enforcement. For example, Giorgianni and Ralphiel Mack acted as intermediaries, or “buffers,” who accepted cash payments for Mayor Mack’s benefit. Mayor Mack also used another City of Trenton employee involved in the scheme, Charles Hall III, 49, of Trenton, to contact other Trenton officials to facilitate the Parking Garage Project and to inform the mayor when Giorgianni had received corrupt cash payments. Hall pleaded guilty before Judge Shipp in February 2013 to an information charging him with one count of conspiracy to obstruct commerce by extortion under color of official right and one count of conspiring to distribute narcotics with others, including Giorgianni.
To conceal the corrupt arrangement, the defendants avoided discussing matters related to the scheme over the telephone. When those matters were discussed, they used code words and aliases. One such code word was “Uncle Remus,” which both Giorgianni and Hall regularly used to communicate to Mayor Mack that a corrupt payment had been received. For example, on Oct. 29, 2011, Giorgianni telephoned Hall and informed him that Giorgianni had to “see” Mayor Mack and that “I got Uncle Remus for him,” meaning a corrupt cash payment that Giorgianni had received from CW-1 two days earlier. Giorgianni directed Hall to bring Mayor Mack to a meeting location controlled by Giorgianni (“Giorgianni’s Clubhouse”), stating “we gotta talk” because “I got something that might be good for him” and that “they’ve already come with Uncle Remus,” meaning a corrupt cash payment. On June 13, 2012, Giorgianni telephoned Mayor Mack and informed him that “Uncle Remus,” meaning a corrupt cash payment, “was there.” Mayor Mack replied, “I’ll call you, J. Okay?” In text messages to Mayor Mack related to the scheme, Giorgianni would refer to himself as “Mr. Baker.”
The defendants also concealed their activities by holding meetings concerning the corrupt activity away from Trenton City Hall, including at Giorgianni’s residence, an eatery maintained by Giorgianni known as JoJo’s Steakhouse, Giorgianni’s Clubhouse and Atlantic City restaurants. At one Atlantic City meeting among Mayor Mack, Giorgianni, Hall and CW-2, Mayor Mack instructed Giorgianni to ensure that no photographs were taken in order to conceal the corrupt arrangement.
The extortion conspiracy and attempted extortion charges are each punishable by a maximum potential penalty of 20 years in prison. The bribery charge is punishable by a maximum potential penalty of 10 years in prison. The mail and wire fraud charges are each punishable by a maximum potential penalty of 20 years in prison. All of the counts also carry a potential fine of $250,000 or twice the gain or loss from the offense. Sentencing is scheduled for May 14, 2014
U.S. Attorney Fishman credited special agents of the FBI’s Trenton Resident Agency, Newark Field Office, under the direction of Special Agent in Charge Aaron T. Ford, for the investigation leading to the charge.
The government is represented by Assistant U.S. Attorneys Eric W. Moran and Matthew J. Skahill of the U.S. Attorney’s Office Special Prosecutions Division in Trenton and Camden, respectively.
14-045
Defense counsel: Tony Mack: Mark G. Davis Esq., Hamilton, N.J.
Ralphiel Mack: Robert Haney, Princeton Junction, N.J.Three Mexican Brothers Sentenced for Sex TraffickingRead the Press Release
Earlier today, in federal court in Brooklyn, New York, three brothers were sentenced to lengthy prison terms following their pleas of guilty to sex trafficking charges. Benito Lopez-Perez and Anastasio Romero-Perez were sentenced to 18 years of imprisonment to be followed by 5 years of supervised release, and Jose Gabino Barrientos-Perez, was sentenced to 10 years and one month of imprisonment, to be followed by 5 years of supervised release. The defendants, who are Mexican nationals, transported Mexican females from Mexico to the United States illegally, forcing them to work as prostitutes in New York City and elsewhere. The defendants were arrested in Mexico in October 2011 and extradited to the United States in December 2012. Today’s sentences are the latest in the Office’s comprehensive anti-trafficking program, which has to date indicted over 55 defendants in sex trafficking cases and rescued over 100 victims, including over 17 minors.
The sentences were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York, and James T. Hayes, Jr., Special Agent-in-Charge, U.S. Immigration and Customs Enforcement, Homeland Security Investigations (HSI), New York.
“The defendants preyed upon the young and vulnerable, abducting one of their victims at age 14, and forcing them into a life of sexual slavery in Mexico and the United States. Working together with our law enforcement partners at home and abroad, we stand firm in our resolve to vigorously investigate and prosecute those who would subject others to modern-day slavery,” stated United States Attorney Lynch. “These sex traffickers have now been held to account for the horror and violence that they inflicted on their victims. We hope that these sentences bring some measure of closure to the victims as they attempt to heal from the mental and physical abuse inflicted by the defendants.” Ms. Lynch thanked the Mexican authorities and other entities that assisted with the extradition and successful prosecution of this case.
“The individuals sentenced today exploited and enslaved women for personal profit while terrifying and traumatizing them through rape, violence, and intimidation,” stated HSI Special Agent-in-Charge Hayes. “No prison sentence can ever do justice for the pain and suffering experienced by these victims, but knowing that justice has been served on their tormentors will hopefully allow for the beginning of a healing process that these women so justly deserve.”
The sex trafficking involved at least four victims, and the defendants used various methods to force these women and girls to work in prostitution, ranging from abduction, rape, assault and threats of violence, to psychological coercion. One minor victim, identified in court papers as Jane Doe 1, was primarily trafficked by the defendant Benito Lopez-Perez. Jane Doe 1 met Lopez-Perez in 2005 in Mexico when she was 14 years old. After attending a movie with a group that included Lopez-Perez, he took Jane Doe 1 to his family home and raped her. Lopez-Perez then forced Jane Doe 1 into prostitution, first in Mexico and later, after arranging to smuggle her across the border, in the United States, where Jose Gabino Barrientos-Perez also participated in the victim’s sex trafficking. Jane Doe 1 was required to service 10 to 40 clients per day, on threat of physical abuse, and was kept under the defendants’ control for five years until she escaped in 2010.
At age 14, the victim identified as Jane Doe 2 met the defendant Romero-Perez while she was living with her sister (also a victim and identified in court papers as Jane Doe 3), who was married to Jose Gabino Barrientos-Perez. Jane Doe 2 began a romantic relationship with Romero-Perez, who subsequently persuaded the victim to work as a prostitute to pay off a debt. Romero-Perez brought Jane Doe 2 to a bar where she was closely monitored to ensure she kept none of the money she earned. When she refused to work, or did not earn enough money, Romero-Perez beat her. In approximately October 2008, Romero-Perez and Lopez-Perez arranged to smuggle Jane Doe 2 into the United States where she was forced to work as a prostitute in New York, New Jersey, and Connecticut, servicing approximately 12 to 15 clients per day. While she was in the United States, Romero-Perez raped and beat Jane Doe 2 on several occasions.
Jane Doe 3 was primarily trafficked by her husband, the defendant Jose Gabino Barrientos-Perez. Approximately one year after the birth of their son, Barrientos-Perez persuaded Jane Doe 3 to work as a prostitute, telling her he needed the money pay off debts and to provide for their baby. Barrientos-Perez brought Jane Doe 3 to Tijuana and Mexico City to work in prostitution, beating her on several occasions in order to force her to work. In 2006, Barrientos-Perez arranged to smuggle Jane Doe 3 into the United States and ultimately to New York City to work as a prostitute under the defendant’s threats of violence. Jane Doe 3 paid Barrientos-Perez approximately $700-$1,000 per week from her prostitution earnings – when she paid less, the defendant threatened that he would not let her see her children.
Jane Doe 4 was trafficked by the defendant Romero-Perez beginning at the age of 20, after she was pressured into a romantic relationship with him. After approximately three months of working as a prostitute in Mexico, Jane Doe 4 was smuggled into the United States. Romero-Perez promised his victim that they would get jobs and have an apartment together, but after they arrived, Romero-Perez told her that she needed to prostitute herself to support them. Like the other victims, Jane Doe 4 gave the majority of the prostitution proceeds to Romero-Perez and his family members.
Since 2009, the Departments of Justice and Homeland Security have collaborated with Mexican law enforcement counterparts in the Procuraduría General de la República (PGR), the Secretaría de Seguridad Pública (SSP), Procuraduría Social de Atención a las Víctimas de Delitos (PROVICTIMA), and non-governmental partners in the United States and Mexico in a Bilateral Human Trafficking Enforcement Initiative. Through this Initiative, the United States and Mexico have worked together to bring high-impact prosecutions under both U.S. and Mexican law to more effectively dismantle human trafficking networks operating across the U.S.-Mexico border, prosecute human traffickers, rescue human trafficking victims, and reunite victims with their families. Other significant bilateral cases have been prosecuted in Atlanta, Georgia, and Miami, Florida.
United States Attorney Lynch extended her grateful appreciation to the Department of Justice’s Office of International Affairs for its assistance in obtaining the extraditions of the defendants, and the New York City Police Department for its longstanding partnership in the Office’s coordinated anti-trafficking program. Ms. Lynch also thanked the many victim service providers and advocates for their dedicated efforts to restore and improve the lives of survivors of trafficking, in particular, Safe Horizon; Sanctuary for Families; Restore NYC; LifeWay Network; the New York City Bar Justice Center; The Legal Aid Society, Civil Division (Bronx); My Sister’s Place; the Mt. Sinai Sexual Assault and Violence Intervention Program; Bellevue Hospital Center, and the law firms of Skadden, Arps, Slate, Meagher & Flom LLP and Wilmer Cutler Pickering Hale and Dorr LLP.
The sentences were imposed by Chief United States District Judge Carol B. Amon.
The government’s case was prosecuted by Assistant United States Attorneys Taryn A. Merkl, Elizabeth Geddes, and Erik Paulsen.
The Defendants:
Name: BENITO LOPEZ-PEREZ
Age: 35
Name: ANASTASIO ROMERO-PEREZ
Age: 40
Name: JOSE GABINO BARRIENTOS-PEREZ
Age: 52
E.D.N.Y. Docket No. CR-11-199 (CBA)
Statement of the Department of Justice Antitrust Division on Its Decision <br /> to Close Its Investigation of Samsung’s Use of Its Standards-Essential PatentsRead the Press Release
The Department of Justice’s Antitrust Division issued the following statement today after announcing the closing of its investigation into Samsung Electronics Co. Ltd.’s use of its portfolio of standards-essential patents that it had committed to license to industry participants on fair, reasonable, and non-discriminatory terms (SEPs) to exclude certain Apple, Inc. products from the U.S. market:
“The Antitrust Division’s investigation focused on Samsung’s attempts to use its SEPs to obtain exclusion orders from the U.S. International Trade Commission (ITC) relating to certain iPhone and iPad models.
“As the Department of Justice and the Patent & Trademark Office (PTO) explained in their joint ‘Policy Statement on Remedies for Standards-Essential Patents Subject to Voluntary F/RAND Commitments,' issued on Jan. 8, 2013, a number of competitive issues arise when holders of SEPs seek to block their competitors from selling products that implement the SEPs. While there are certain circumstances where an exclusion order as a remedy for infringement of such patents could be appropriate, in many cases there is a risk that the patent holder could use the threat of an exclusion order to obtain licensing terms that are more onerous than would be justified by the value of the technology itself, effectively exploiting the market power obtained through the standards-setting process.“The U.S. Trade Representative (USTR) reviewed the exclusion order issued by the ITC against Apple at Samsung’s request and overturned it, determining that it was not consistent with the public interest. As a result of the USTR’s action, the Antitrust Division has determined that no further action is required at this time. The Antitrust Division is therefore closing its investigation into Samsung’s conduct, but will continue to monitor further developments in this area.
“Throughout the investigation, the Antitrust Division has worked closely and consulted frequently with its colleagues at the European Commission. This cooperation underscores the agencies’ common concerns over the potential harm to competition that can result from the anticompetitive use of SEPs.”
The Antitrust Division’s Closing Statement Policy
The division provides this statement under its policy of issuing statements concerning the closing of investigations in appropriate cases. This statement is limited by the division's obligation to protect the confidentiality of certain information obtained in its investigations. As in most of its investigations, the division's evaluation has been highly fact-specific, and many of the relevant underlying facts are not public. Consequently, readers should not draw overly broad conclusions regarding how the division is likely in the future to analyze other collaborations or activities, or transactions involving particular firms. Enforcement decisions are made on a case-by-case basis, and the analysis and conclusions discussed in this statement do not bind the division in any future enforcement actions. Guidance on the division's policy regarding closing statements is available at www.justice.gov/atr/public/closing/index.html.
St. Mary’s County Cocaine Dealer Sentenced to over 15 Years in PrisonRead the Press Release
Greenbelt, Maryland – Chief U.S. District Judge Deborah K. Chasanow sentenced Damon Jerome Estep, a/k/a “Country”, age 38, of California, Maryland, today to 188 months in prison followed by five years of supervised release for conspiring to distribute and possession with intent to distribute five kilograms or more of cocaine hydrochloride and 280 grams of cocaine base, commonly known as crack.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; and St. Mary’s County Sheriff Tim Cameron.
According to his plea agreement, from February 2012 to April 2013, Estep conspired with Alrahman Allen, Jamar Holt and Jeffrey Berry to distribute cocaine and crack in southern St. Mary’s County. Holt provided Allen with cocaine and other drugs and then regularly called Estep to coordinate the delivery of cocaine to Estep, Berry or others from St. Mary’s County.Nearly every week, Estep, Berry and others met Allen in the Glen Burnie area and paid Allen for one-fourth, one-half and one kilogram quantities of cocaine for further distribution in St. Mary’s County by Estep and others at Estep’s direction. Once Berry and others transported the cocaine back to their stash locations in St. Mary’s County, Estep and others would cook portions of the cocaine into crack, and distribute the cocaine and crack throughout southern Maryland at Estep’s direction.
Estep stored the powder and crack cocaine in several locations, including 20141 Point Lookout Road in Great Mills, and 18310 Three Notch Road in Lexington Park. Estep and others sold the drugs at locations in southern Maryland, including at a building located at 15076 Point Lookout Road. The distribution of between five and 15 kilograms of cocaine, and between 280 and 840 grams of crack, were reasonably foreseeable to Estep.
Co-defendants Alrahman Sharif Allen, a/k/a “Rock” and “Rahman Allen;” Jamar Holt, a/k/a “Reds” and “Jamal Holt;” and Jeffrey Kirk Berry, a/k/a “Kojack,” previously pleaded guilty to their participation in the conspiracy and await sentencing.
United States Attorney Rod J. Rosenstein praised the DEA and the St. Mary’s County Sheriff’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Leah Jo Bressack and James A. Crowell, IV who prosecuted the case.
Spokane Man Sentenced to 10 Years in Federal Prison for Possessing with Intent to Distribute MethamphetamineRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Todd Anthony Sawyer, Jr., age 28, of Spokane, Washington, was sentenced for possessing with intent to distribute 50 grams or more of pure methamphetamine. United States District Court Judge Robert H. Whaley sentenced Sawyer to a 10-year term of imprisonment and a five-year term of court supervision following release from Federal prison.
According to information disclosed during court proceedings, on March 27, 2013, the United States Probation Office received information from a Washington State Department of Corrections (DOC) Community Corrections Officer that Sawyer was in possession of methamphetamine at his residence in Spokane, Washington. At the time, Sawyer was under court supervision for a 2009 conviction for being a previously convicted felon in possession of a firearm and ammunition. As a condition of supervised release, Sawyer was prohibited from using or possessing controlled substances. Based on the information received from DOC, the United States Probation Office requested the assistance of certified drug-detection canine with the Washington State Patrol (WSP) and proceeded to Sawyer's residence. The WSP's drug-detection canine alerted on a T-Mobile bag located under the only bed in the residence. The canine's handler, a Washington State Patrol Trooper, looked inside the T-Mobile bag and found 202 grams of pure methamphetamine. The trooper also found an electronic scale commonly used to weigh controlled substances. Sawyer was charged with possessing with intent to distribute 50 grams or more of pure methamphetamine and he pled guilty to that crime on September 12, 2013
Michael C. Ormsby said, "I commend the officers of the Spokane Police Department, Spokane Violent Crimes Gang Enforcement Team – a Federal Bureau of Investigation Safe Streets Task Force, Washington State Patrol, United States Marshals Service, and United States Drug Enforcement Administration for their efforts in investigating this methamphetamine case. Their strong working partnership is reflected by the successful prosecution of this case. Federal and local law enforcement officers in the Eastern District of Washington continue to work together to root out the scourge of drug trafficking in this District. With their assistance, the United States Attorney's Office for the Eastern District of Washington is committed to prosecuting aggressively and seeking appropriate punishment for traffickers distributing controlled substances in our communities."
This case was investigated by the Spokane Police Department, Spokane Violent Crimes Gang Enforcement Team – a Federal Bureau of Investigation Safe Streets Task Force, Washington State Patrol, United States Marshals Service, and United States Drug Enforcement Administration. This case was prosecuted by George J.C. Jacobs, III, an Assistant United States Attorney for the Eastern District of Washington.
13-CR-00104-RHW
South Floridian Sentenced in Identity Theft SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Hugo Barrera, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Rafael P. Hernandez, Jr., Chief, North Miami Beach Police Department, and Marc Elias, Jr., Chief, North Miami Police Department, announce the sentencing of defendant Robinson Calixte, 22, of Miami. U.S. District Judge Donald L. Graham sentenced Calixte to 47 months in prison, followed by three years of supervised release.
On September 13, 2013, Calixte was charged in a five count indictment for identity theft in connection with his unauthorized possession of at least fifteen social security numbers belonging to other individuals. Calixte was found with over 800 names, dates of birth and social security numbers of other individuals.
On December 2, 2013, Calixte pled guilty to one count of access device fraud, in violation of Title 18, United States Code, Sections 1029 (a)(3) and 2; and to one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028 A(a)(1) and 2.
Mr. Ferrer commended the investigative efforts of the Identity Theft Tax Refund Strike Force, with special commendation to the IRS-CI, ATF, North Miami Beach Police Department, and North Miami Police Department. The case is being prosecuted by Assistant U.S. Attorney Gera R. Peoples.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Seven Metroplex Residents Charged in ID Theft ConspiracyRead the Press Release
One Defendant Allegedly Used Her Position at Fannie Mae to Steal Personal Identifying
Information of Approximately 1,100 Fannie Mae CustomersDALLAS, Texas — A total of seven metroplex residents have been charged in a 13-count superseding indictment, just unsealed, with various offenses related to an identity theft scheme they ran from October 2009 to July 2013, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
In addition to each being charged with one count of conspiracy to commit bank fraud, the defendants are also each charged with the following:
Anthony Minor, 25, of Cedar Hill, is also charged with six counts of bank fraud; one count of conspiracy to commit fraud and related activity in connection with identification documents; one count of using or trafficking in unauthorized access device; and two counts of aggravated identification theft.
Tilisha Morrison, 24, of Dallas, is also charged with three counts of bank fraud; one count of conspiracy to commit fraud and related activity in connection with identification documents; and one count of producing, using, trafficking in a counterfeit access device.
Katrina Thomas, 40, of Garland, who worked as an Underwriting Support Specialist for the Federal National Mortgage Association (Fannie Mae), is also charged with one count of conspiracy to commit fraud and related activity in connection with identification documents and one count of producing, using and trafficking in a counterfeit access device.
Kario Butler, 28, of Mansfield; Karen Mendoza, 43, of Dallas and Wichita Falls; Cyrus Pritchett, 24, of Dallas; and Jamilah Karriem, 20, of Dallas and Desoto, are also each charged with one count of bank fraud.
Minor and Morrison were originally charged in an indictment returned by a federal grand jury in October 2013. Minor remains in federal custody.
According to the indictment, the defendants stole personal identifying information for true Bank of America and JP Morgan Chase account holders (the victim-customers) and used this information to fraudulently access funds contained in their bank accounts. They also created false identities using the stolen personal identifying information.
Thomas, through her employment at Fannie Mae and her access to customer files, stole the personal identifying information of approximately 1,100 Fannie Mae customers and sold or provided the information to Minor or Morrison, knowing it was illegal and knowing that the information would be used to commit bank fraud.
Minor and Morrison recruited co-conspirators (“runners”), including Butler, Mendoza, Pritchett and Karriem, who would either use their own existing bank account, or would allow their identities to be used, to create new bank accounts to further the scheme. They would either directly access the victim-customer’s account or open a joint account in the names of the runner and the victim-customer, without the victim-customer’s knowledge or consent. Minor and Morrison would also use the banks’ telephone and online banking systems to transfer funds from the compromised victim-customer’s account into an account controlled by one of the co-conspirators. They would then direct the runner to withdraw the money and Minor often drove the runner to the bank or automated teller machine to perform the transaction.
According to the indictment, the defendants used the funds or stolen information to rent hotel rooms and purchase luxury goods. In fact, in July 2013, when Minor was arrested in his room at a luxury hotel in Dallas, which he had rented using another’s identification, he was in possession of several false identities and counterfeit checks as well as a computer containing a template for Texas Department of Public Safety Temporary Driver’s License and counterfeit checks.
In late June 2013, unidentified co-conspirators burglarized a furniture store in Farmers Branch, Texas, and stole a safe containing a passport, social security card and birth certificate of a particular individual. On July 1, 2013, Morrison used that identification to rent an apartment in Mesquite.
An indictment is an accusation by a federal grand jury and a defendant is entitled to the presumption of innocence until or unless proven guilty. However, upon conviction, the conspiracy to commit bank fraud count, as well as each of the bank fraud counts, carry a maximum statutory penalty of 30 years in prison and a $1 million. The conspiracy to commit fraud and related activity in connection with identification documents count carries a maximum statutory penalty of 15 years in prison and a $250,000 fine. The producing, using or trafficking in a counterfeit access device counts each carry a maximum statutory penalty of 10 years in prison and a $250,000 fine. The maximum statutory penalty for the identity theft count is a mandatory term of two years in prison, to be served consecutively to any other term or imprisonment, and a $250,000 fine.
The case is being investigated by the U.S. Secret Service and the Federal Housing Finance Agency Office of Inspector General.
Assistant U.S. Attorney P. J. Meitl and Special Assistant U.S. Attorney Christopher G. Poor are prosecuting.
(Download Factual Basis)
Seven Defendants Indicted in Six Armed Robberies of Cell Phone Stores in Chicago Suburbs, Indiana and Downstate IllinoisRead the Press Release
CHICAGO — Seven defendants were indicted on federal charges for their alleged roles in a series of at least six armed robberies of cellular telephone stores last year that extended from suburban Chicago to Indiana and downstate Illinois. Two defendants, ERIC ROGERS and ERIC CURTIS, who allegedly directed a robbery conspiracy, were arrested on federal charges in December following the robbery of a cellular telephone store in suburban Woodridge. The other five defendants, all of whom are in state custody, were charged federally for the first time in this district in a nine-count indictment returned by a federal grand jury yesterday and announced today.
Rogers, 39, of Hazel Crest, and Curtis, 29, of Park Forest, allegedly selected the stores that were robbed, recruited their co-defendants to participate in the robberies, provided them with firearms and other equipment, and paid them to commit armed robbery at their direction. They were each charged with one count of robbery conspiracy, three counts of robbery, and two counts of brandishing firearms, and Curtis alone was charged with being a felon-in-possession of a firearm. Both remain in federal custody without bond.
Also indicted were: MARCUS HARRIS, 20, of Chicago; DANIEL WRIGHT, 28, of Chicago; ANDRE WADLINGTON-ANTHONY, 27, of Harvey; TONY JOHNSON, 20, of Harvey; and LAVELL HUGHES, 41, of Gary, Ind. Four of the five were charged with one count each of robbery and brandishing a firearm, while Wadlington-Anthony was charged with two counts of each of those crimes.
All seven will be arraigned on dates yet to be determined in U.S. District Court.
According to the indictment, the defendants in various combinations, committed the following armed robberies in 2013:
- Jan. 31 – Sprint store, 1323 West Lake St., Addison;
- Feb. 4 – AT&T store, LaPorte, Ind.;
- March 19 – AT&T store, 4155½ North Harlem, Norridge. Court documents allege the loss of approximately 100 phones and tablet computers valued at approximately $54,000 in this robbery;
- April 4 – Sprint store, East Peoria, Ill.;
- April 8 – T-Mobile, 110 South Waukegan Rd., Deerfield; and
- Dec. 14 – T-Mobile, 1001 West 75th St., Woodridge.
The indictment alleges that Rogers and Curtis also conspired with Rogers’ deceased cousin, Ryan Rogers, who, following the March 19 Norridge robbery, drove toward a Chicago police officer attempting to stop his vehicle and was shot and killed.
Each count of robbery carries a maximum penalty of 20 years in prison and a $250,000 fine, and each count of brandishing a firearm carries a consecutive, mandatory minimum of seven years in prison and a maximum of life. Curtis also faces a maximum 10-years sentence on the felon-in-possession charge. If convicted, the Court must impose a reasonable sentence under federal sentencing statutes and the advisory United States Sentencing Guidelines.
The indictment was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois, and Robert J. Holley, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation. The case was investigated by the FBI’s Safe Streets Task Force, which is comprised of the FBI and the Chicago Police Department. The police departments in Addison, Deerfield, Homewood, Norridge, Woodridge, LaPorte, Ind., and East Peoria, Ill., also assisted in the investigation.
The government is being represented by Assistant U.S. Attorney Christopher Parente.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Indictment