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Tuesday 10 December 2013
Two Eagle Residents Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
BOISE – U.S. Attorney Wendy J. Olson announced today that two co-defendants—Samthana Jo Tackitt and Michael Scott Longhi—were sentenced to serve lengthy federal prison sentences for their involvement in a large scale Treasure Valley meth trafficking operation. The defendants appeared this week for sentencing before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
Samantha Jo Tackitt, 31, of Eagle, Idaho, was sentenced yesterday to 151 months in prison followed by five years of supervised release for conspiracy to distribute 500 grams or more of methamphetamine. Michael Scott Longhi, 26, also of Eagle, was sentenced today to 188 months in prison followed by five years of supervised release. Judge Winmill ordered Tackitt and Longhi to forfeit $18,400 of seized currency and $100,000 in cash proceeds to the United States.
According to court proceedings, Tackitt was arrested on April 3, 2013, in possession of 1.5 kilograms of pure methamphetamine and $5,062 in U.S. currency. That same day, Longhi was arrested as he was returning from California, where he had just received a large shipment of high-grade methamphetamine. He was found to be in possession of 1.7 kilograms of pure methamphetamine and approximately $3,000 in U.S. currency. The government argued at sentencing that lengthy prison sentences were warranted due to the large amounts of pure methamphetamine that Tackitt and Longhi conspired to distribute in the Treasure Valley. Further, the two were responsible for distributing over 100 pounds of methamphetamine during the conspiracy. The government also noted at sentencing that Tackitt had bragged about wanting to be “the biggest methamphetamine dealer in the Valley.”
In addition to Tackitt and Longhi, three other individuals charged in the federal indictment, pleaded guilty to related drug trafficking offenses. Ausencio Tovar, 48, of Eagle, Idaho, will be sentenced on February 3, 2014, for possession with intent to distribute 500 grams or more of methamphetamine; Darin James Bangham, 40, of Star, Idaho, will be sentenced on January 8, 2014, for conspiracy to distribute 500 grams or more of methamphetamine; and Ashley Marie Armstrong, 27, will be sentenced on January 6, 2014, for conspiracy to distribute methamphetamine.
The case is being investigated by the Ada County Sheriff’s Office, Meridian Police Department, and Drug Enforcement Administration.
Two British Nationals Plead Guilty to Terrorism-related Charges in New Haven Federal CourtRead the Press Release
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NEW HAVEN, Conn. – Babar Ahmad and Syed Talha Ahsan pleaded guilty today in New Haven federal court to conspiring to provide and providing material support, including funds, personnel and physical items, to terrorists. The charges stem from their involvement in, and operation of, “Azzam Publications,” an entity in London that provided material support to the Chechen mujahideen, the Taliban and associated terrorist groups.
Today’s guilty pleas were announced by Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, John Carlin, Acting Assistant Attorney General for National Security, John Sandweg, Acting ICE Director and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation.
“Today, Babar Ahmad and Syed Talha Ahsan admitted that they supported terrorists,” said Acting U.S. Attorney Daly. “They acknowledged that they solicited funds, recruited personnel and provided additional support for acts of terror, including efforts based out of the United States and solicitations for support that were specifically targeted at U.S. residents. In doing so, they also admitted that they knew that their efforts could result in the maiming and murder of individuals, including U.S. citizens. This prosecution is a testament to the resolve of our prosecution team and our federal law enforcement partners, notably Homeland Security Investigations and the FBI, as well as our counterparts in the U.K. who have provided crucial assistance to this lengthy international investigation.”
“This is an early example of individuals using the internet not only to radicalize others and spread violent propaganda, but also to further the actions of terrorist groups by soliciting supplies and personnel,” said Acting Assistant Attorney General Carlin. “This case demonstrates that the danger exists and our efforts to stop it are extensive. These pleas are a direct result of the hard work of the prosecutors, agents and analysts who spent countless hours devoted to the case.”
“These guilty pleas deal a significant blow to the financial infrastructure that supports terrorism around the world and underscores Homeland Security Investigations’ vital role in the global law-enforcement community,” said acting ICE Director John Sandweg. “This investigation further demonstrates law enforcement's resolve to bring to justice anyone who supports those who would target American interests at home or abroad. We commend the extraordinary sophistication and collaboration with which our federal partners and British counterparts met and addressed this threat.”
“Today’s guilty pleas are particularly important because the material support of terrorism is the very lifeblood of complex global terrorist networks,” stated FBI Special Agent in Charge Ferrick. “All terrorism investigations involve the identification, disruption and dismantling of material and financial support systems, for without financial support, terrorists and terrorist groups cannot survive or propagate. This far-reaching investigation was worked deliberately and without fanfare, and truly underscores Homeland Security Investigations and the FBI’s lasting commitment to combating terrorism at all phases.”
On October 6, 2004 and June 28, 2006, federal grand juries in Connecticut returned separate indictments charging Ahmad and Ahsan, respectively, with terrorism-related offenses. Ahmad, 39, and Ahsan, 34, both British citizens, have been detained since their arrests by British law enforcement authorities on August 5, 2004, and July 19, 2006, respectively, and both were extradited to Connecticut in October 2012 following lengthy extradition proceedings abroad.
The indictments allege that Ahmad and Ahsan were members of a group that supported the Chechen muhjahideen, the Taliban and associated terrorist groups through various means, including the operation of a series of websites under the name of “Azzam Publications,” including Azzam.com and Qoqaz.net, which promoted violent jihad and solicited support for such groups. During the times relevant to the indictments, the Taliban allowed territory under its control in Afghanistan to be used as a safe haven and base of operations for Usama bin Laden and Al Qaeda, who had committed and threatened to continue to commit acts of violence against the U.S. and its nationals. For a period of time, the Azzam websites were made possible through the unwitting services of a web-hosting company headquartered in Trumbull, Conn.
According to court documents, Ahmad also made efforts to secure GPS devices, Kevlar helmets, night vision goggles, ballistic vests, and camouflage combat suits. In addition, Ahmad and Ahsan recruited and arranged for individuals to travel to Afghanistan to train for violent jihad. According to court documents, a search of Ahmad’s residence in the United Kingdom in December 2003 revealed Ahmad in possession of an electronic document setting forth previously classified plans regarding the makeup, advance movements, and mission of a U.S. naval battle group as it was to transit from California to its deployment in the Middle East. The document discussed the battle group’s perceived vulnerability to terrorist attack. Ahsan was alleged to have possessed, accessed, and modified the electronic battle group document in April 2001.
Today, as part of their guilty pleas, Ahmad and Ahsan admitted that they conspired to provide and did provide material support for terrorism through Azzam.com by soliciting and conspiring to provide funds, personnel and physical items for the Taliban regime in Afghanistan, intending that such support or resources would be used in preparation for or in carrying out a conspiracy to commit murder, kidnaping, or maiming; or an attempt or conspiracy to kill nationals of the U.S. while such nationals were outside the U.S.
Ahmad admitted that he operated the family of websites collectively known as Azzam Publications, and that “the purpose of Azzam Publications [was] to ‘Incite the believers’ and also secondly to raise some money for the brothers.” Ahsan admitted that in 2001, he assisted Ahmad by processing video orders and by providing Ahmad with correspondence sent to Azzam Publications’ post office box in London.
Ahmad and Ahsan further admitted that Azzam Publications posted articles on how to train for and support the jihad and the mujahideen, posted biographies of “martyrs,” and also produced and/or sold a number of audio and video products that were advertised on the websites, including videos containing real combat footage and biographies and images of deceased mujahideen. In 2001, Azzam Publications also posted on its websites an article entitled “What You Can Do to Help the Taliban,” which provided detailed instructions on how to raise, transport and personally deliver amounts over US$ 20,000 in cash to the Taliban government via its consulate in Pakistan. Ahmad and Ahsan also admitted that Azzam Publications solicited personnel and physical items, including military suits and gas masks, for the Taliban.
Ahsan further admitted that, on one occasion, he received an unsolicited document sent to the Azzam post office box that described the makeup, capabilities, vulnerabilities and upcoming movements of a U.S. naval battle group from the U.S. to its deployment in the Middle East. Ahsan admitted that he created and saved an electronic version of the document, and did not dispute that the electronic version of the document was subsequently found in Ahmad’s residence in December 2003. Ahsan also did not dispute that, with the assistance of Ahmad, he traveled to and fought in Afghanistan, and attended terrorist training camps run by Al Qaeda.
Ahmad and Ahsan each pleaded guilty to one count of conspiracy to provide material support to terrorists and one count of providing material support to terrorists. As part of their pleas, Ahmad and Ahsan specifically agreed, in writing, that they pleaded guilty freely and voluntarily, and without intimidation or coercion of any kind, because they are guilty of conspiring to provide and providing material support to terrorists.
Due to the statutory maximum penalties that were in place during the time frame of each defendant’s criminal conduct, Ahmad faces a maximum term of imprisonment of 30 years and Ahsan faces a maximum term of imprisonment of 15 years. Pursuant to a binding plea agreement, if accepted by the court, Ahmad faces a maximum term of imprisonment of 25 years. At sentencing, the government intends to offer additional evidence of both defendants’ conduct.
U.S. District Judge Janet C. Hall scheduled sentencing for March 4, 2014.
This case has been investigated by a Task Force in Connecticut consisting of Special Agents from Homeland Security Investigations; law enforcement agents from the Federal Bureau of Investigation’s Joint Terrorism Task Force; the Internal Revenue Service – Criminal Investigation Division, Electronic Crimes Program; the Defense Criminal Investigative Service and the Naval Criminal Investigative Service.
Acting U.S. Attorney Daly praised the substantial efforts of law enforcement authorities from the Metropolitan Police Service’s Counter Terrorism Command and the Extradition Unit, both within New Scotland Yard, whose efforts and assistance have been essential in the investigation in this case. Acting U.S. Attorney Daly also thanked the U.S. Marshals Service and the HSI, FBI and Justice Department attachés in London for their assistance in the matter.
The case is being prosecuted by a team of federal prosecutors including Assistant U.S. Attorneys Stephen Reynolds and Ray Miller from the U.S. Attorney’s Office for the District of Connecticut, Trial Attorney Alexis Collins from the Counterterrorism Section of the Justice Department’s National Security Division, and Trial Attorney Richard Green from the Computer Crime and Intellectual Property Section (CCIPS) of the Justice Department’s Criminal Division.
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[email protected]Twenty-Three Defendants Charged in Manhattan Federal Court in Connection with Counterfeit Credit Card SchemeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and Steven G. Hughes, the Special Agent-in-Charge of the New York Office of the United States Secret Service, announced today the unsealing of an Indictment and a Complaint charging 23 individuals for their alleged participation in a large-scale counterfeit credit card scheme. As part of the scheme, the defendants allegedly obtained more than 1,000 stolen credit and debit card numbers, created counterfeit credit and debit cards with the stolen account information, and then utilized teams of “shoppers” to make more than $2 million of unauthorized purchases at retail stores located throughout the United States. In a coordinated operation early this morning, agents of the Secret Service and the Drug Enforcement Administration arrested 19 defendants in Flushing, Queens, and one defendant in Los Angeles, California. Agents also executed six search warrants and recovered counterfeit credit card manufacturing equipment and supplies. The defendants arrested in Queens will be presented before U.S. Magistrate Judge Debra Freeman in Manhattan federal court later today, and the defendant arrested in Los Angeles will be presented in federal court in the Central District of California this afternoon. An additional defendant is already in state custody in New York on other charges, and the two remaining defendants, Bing Lin and Ling Fu Shi, are at large.
Manhattan U.S. Attorney Preet Bharara said: “As alleged, the defendants used classic cyber-crime techniques of computer intrusions and accessing carding websites to obtain account numbers and then rake in millions of dollars through shopping sprees funded by counterfeit credit cards created with the stolen personal account numbers. Today’s arrests are a testament to our continued commitment to prosecuting cyber and identity theft crimes and holding the perpetrators of them to account.”
U.S. Secret Service Special Agent-in-Charge Steven G. Hughes said: “Today’s cyber criminals are increasingly targeting the personal and financial information of ordinary citizens, and the proprietary information of companies engaged in e-commerce. In order to combat emerging cyber threats, the U.S. Secret Service has adapted our investigative techniques and implemented a variety of innovative, operational capabilities. The U.S. Secret Service will continue to cooperate with partners from the Drug Enforcement Administration, Homeland Security Investigations, and the U.S. Attorney’s Office in the Southern District of New York in order to prevent further online, criminal activity.”
According to the allegations in the Indictment and Complaint unsealed today in Manhattan federal court:
From at least June 2013 through December 2013, the defendants and their co-conspirators obtained stolen credit/debit card information that had been obtained through computer intrusions and “carding” websites, which are Internet-based forums where users sell and exchange stolen credit and debit card information. Using the stolen account information, they manufactured counterfeit credit/debit cards that were encoded with the stolen account information and embossed with the names of “shoppers”—i.e., co-conspirators responsible for making unauthorized purchases with the counterfeit cards.
Other members of the conspiracy acted as “drivers,” who coordinated teams of “shoppers” and transported them to retail stores located throughout the country, including Texas, North Carolina, Virginia, Pennsylvania, and New Jersey. The “shoppers” were given dozens of counterfeit credit/debit cards and used them to make purchases of retail items, including gift cards, electronics, cosmetics, clothing, and other merchandise worth thousands of dollars. To convert these items to cash, the defendants then transported the goods to New York and California, where they were sold to co-conspirators who, in turn, sold the items or had others exchange them for refunds.
As part of the scheme, the defendants and their co-conspirators obtained stolen account information for more than 1,000 credit/debit card accounts and used that stolen information to make, or attempt to make, more than $2 million in unauthorized purchases.
The defendants, who all reside in Flushing, Queens, are each charged with one count of conspiracy to commit access device fraud, which carries a maximum penalty of seven-and-a-half years in prison, and one count of aggravated identity theft, which carries a mandatory sentence of two years in prison.
A chart identifying the defendants’ ages and residences is attached.
Mr. Bharara praised the outstanding investigative work of the Secret Service. He also thanked the Drug Enforcement Administration for its assistance during the investigation.
This case is being handled by the Office’s Complex Frauds Unit. Assistant U.S. Attorneys Timothy T. Howard and Andrew C. Adams are in charge of the prosecution.
The charges contained in the Indictment and Complaint are merely accusations and the defendants are presumed innocent unless and until proven guilty.
Click here to view chart(s)
U.S. v. Ze Xi Qiu, et al. Indictment
U.S. v. Yichao Chen, et al. ComplaintThree Northern Nevada Men Sentenced to Prison for Child Pornography CrimesRead the Press Release
RENO, Nev. – Three men from the northern Nevada area have been sentenced to lengthy prison sentences for their guilty pleas to child pornography crimes, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Matthew Kevin Cowee, 41, of Sparks, and Jarrod Allen Pounds, 28, of Gardnerville, were sentenced on Monday, Dec. 10, 2013, to 97 months and 110 months in prison, respectively, and Byron Trent Davis, 48, of Reno, was sentenced today to 63 months in prison.
“As these cases demonstrate, federal and local law enforcement will work together to put child predators behind bars,” said United States Attorney Daniel G. Bogden. “These lengthy prison sentences should serve as a warning to other child predators. We are looking for you, and we will find you, arrest you and ensure that you are prosecuted to the fullest extent of the law.”
Cowee pleaded guilty in August to receipt of child pornography. Cowee possessed over 15,000 images and 200 videos containing child pornography on his computer and computer hard drives. Pounds pleaded guilty in September to possession of child pornography. Pounds possessed approximately 7,500 images and 40 videos of child pornography on his laptop computer and external computer hard drives. Davis pleaded guilty in August to possession by accessing with the intent to view child pornography. Davis accessed and viewed approximately 100 videos and 100 images of child pornography on his desktop computer. The images possessed and or viewed by the defendants included depictions of prepubescent children engaged in sexually explicit conduct, including sadistic and masochistic conduct.
Following release from prison, Cowee and Pounds will be placed on lifetime supervised release. Davis will be placed on supervised release for 15 years. All three will be required to register as convicted sex offenders.
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 www.usdoj.gov/psc.
The cases were investigated by the Northern Nevada Internet Crimes Against Children Task Force, which includes the FBI, Homeland Security Investigations, the Nevada Attorney General’s Office, and the Washoe County Sheriff’s Office. The cases were prosecuted by Assistant United States Attorney Carla Higginbotham.
The cases were 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 CriminalSerial Armed Robber Targeting Taxi Cab and Food Delivery Drivers Pleads GuiltyRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Hugo Barrera, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, announce that Lionell Sanders, a/k/a “Pistol,” a/k/a “Briscoe,” 19, of Miami, pled guilty yesterday to one count of conspiracy to commit armed robbery, in violation of Title 18, United States Code, Section 1951(a), two counts of armed robbery, in violation of Title 18, United States Code, Section 1951(a), and two counts of possessing and brandishing a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c)(1)(A)(ii).
Sanders admitted to robbing two Super Yellow Cab, Inc. drivers at gunpoint in August 2013. During both robberies, Sanders pointed a firearm to the victims’ heads, demanded all of their money, and told them that he would kill them if they resisted. Sanders’ fingerprints were found on the driver’s side door of one of the taxis. These robberies were a part of a series of armed robberies of taxi and food delivery drivers that Sanders organized and carried out in the City of Miami during the summer of 2013. In one of the armed robberies, a taxi cab driver was shot in the back as he tried to flee. Sanders not only bragged to his friends about committing these crimes, but also posted photographs of his firearms on his Facebook account, which was aptly named “Pistol.Slidda”.
The defendant faces a mandatory minimum sentence of 32 years in prison and a maximum sentence of up to life. Sanders’ sentencing hearing is scheduled for February 20, 2014 at 2:00 p.m. before U.S. District Judge K. Michael Moore.
This case is, in large part, the result of the Violence Reduction Partnership, launched by the U.S. Attorney’s Office. Through this Partnership, the U.S. Attorney’s Office and its federal and local law enforcement allies have sought to dismantle the most violent criminal networks in various neighborhoods, while simultaneously working with community leaders and concerned citizens to mentor at-risk youths, provide jobs and job training to young families, and help probationers and parolees successfully re-enter society.
Mr. Ferrer commended the investigative efforts of the ATF and the City of Miami Police Department. The case was prosecuted by Assistant U.S. Attorneys Vanessa Singh Johannes and Seth Schlessinger.
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.
Saratoga Man Sentened to Time Served for Failing to Update His Sex Offender Registration InformationRead the Press Release
Moved from Elk City, Oklahoma to Saratoga Springs, New York
ALBANY, NEW YORK – EUGENE PERIARD, age 34, of Saratoga Springs, New York, was sentenced to time served for failing to update his sex offender registration information yesterday in Albany by Chief United States District Court Judge Gary L. Sharpe, announced United States Attorney Richard S. Hartunian and David McNulty, U.S. Marshal for the Northern District of New York. PERIARD, who had entered a guilty plea on August 15, 2013, was also ordered to serve a five year term of supervised release and to register with the New York State Sex Offender Registry Program.
In 2007, PERIARD was convicted of a sex offense in the State of Oklahoma. In early April 2013, PERIARD moved from Elk City, Oklahoma to Saratoga Springs, New York and lived in Saratoga Springs until the time of his arrest on April 30, 2013. Records from the sex offender registries in Oklahoma and New York established that PERIARD did not update his change of address information in Oklahoma and did not register as a sex offender in New York.
This case was investigated by the U.S. Marshals Service and the Saratoga Springs Police Department.
Rockford Man Sentenced to 10 Years in Federal Prison for Illegally Possessing an Assault RifleRead the Press Release
ROCKFORD — A Rockford, Ill. man was sentenced today in federal court by U.S. District Judge Frederick J. Kapala to illegally possessing a firearm as a convicted felon. ROBERT J. GRAY, 34, was sentenced to 10 years in federal prison, to be followed by 3 years of supervised release. Gray pled guilty on May 3, 2013 admitting that on May 8, 2012, having previously been convicted of a felony, he possessed at his home an SKS Norinco semi-automatic assault rifle with an obliterated serial number and sixteen rounds of ammunition. Gray also possessed at his home $372,993 in U.S. currency, diamond jewelry, six cell phones, a digital scale, a pocket scale, a heat sealer and bags, and plastic grocery bags filled with rubber bands.
The defendant was originally charged in state court and was transferred to federal court where he was charged under tough federal firearms laws as part of the Project Safe Neighborhoods program. Project Safe Neighborhoods is an intensive, cooperative effort between local, state, and federal law enforcement to attack gun crimes. The cornerstone of the program is that every defendant committing an offense involving a gun will be reviewed for possible federal prosecution in order to obtain the harshest penalties for the worst offenders. Additional information about Project Safe Neighborhoods may be found at: www.psn.gov.
The sentencing was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Constance Hester, Acting Special Agent-in-Charge of the Chicago Field Division of the Bureau of Alcohol, Tobacco, Firearms & Explosives; Robert J. Holley, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; Joseph Bruscato, Winnebago County State’s Attorney; and Richard Meyers, Winnebago County Sheriff.
The government was represented by Assistant U.S. Attorney Scott R. Paccagnini.
Rockford Man Sentenced to 10 Years 3 Months in Federal Prison for Drug Trafficking and Firearm Related ChargesRead the Press Release
ROCKFORD — A Rockford, Ill. man was sentenced today in federal court by U.S. District Judge Frederick J. Kapala to possessing with the intent to distribute crack cocaine, to illegally possessing a firearm as a convicted felon, and to possessing a firearm in furtherance of a drug trafficking crime. ERIC LAMONT KELLY, 29, was sentenced to a total of 10 years and 3 months in federal prison, to be followed by 5 years of supervised release. Kelly pled guilty on September 5, 2013, admitting that on April 6, 2012, he had possessed 18.4 grams of crack cocaine, with the intent to distribute it, along with a 9 mm pistol after having previously been convicted of a felony. He also admitted that he possessed the pistol in furtherance of his drug trafficking crime.
In his plea agreement, Kelly admitted that on April 6, 2012, when police officers attempted to execute a search warrant at Kelly’s house in Rockford, he tried to hide the crack cocaine and firearm by throwing the items down a heating duct. Police officers recovered the crack cocaine and firearm, along with digital scales, drug packaging materials, and the proceeds from the sale of drugs.
The defendant was originally charged in state court and was transferred to federal court where he was charged under tough federal firearms laws as part of the Project Safe Neighborhoods program. Project Safe Neighborhoods is an intensive, cooperative effort between local, state, and federal law enforcement to attack gun crimes. The cornerstone of the program is that every defendant committing an offense involving a gun will be reviewed for possible federal prosecution in order to obtain the harshest penalties for the worst offenders. Additional information about Project Safe Neighborhoods may be found at: www.psn.gov.
The sentencing was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; Constance Hester, Acting Special Agent-in-Charge of the Chicago Field Division of the Bureau of Alcohol, Tobacco, Firearms & Explosives; Robert J. Holley, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; Joseph Bruscato, Winnebago County State’s Attorney; and Chet Epperson, Chief of the Rockford Police Department.
The government was represented by Assistant U.S. Attorney John G. McKenzie.
Pinellas County Men Sentenced in A joint Federal and State Weapons and Drug InvestigationRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven today sentenced Joseph E. Thornton (34, of Largo) to 15 years in federal prison for being a felon in possession of a firearm. Thornton pleaded guilty on June 27, 2013.
According to court documents, Thornton made a series of gun and cocaine sales to an undercover officer, including selling cocaine and a .40 caliber Hi-Point pistol and ammunition to an officer on January 8, 2013. Following the purchase, law enforcement learned that the pistol had been reported stolen on December 17, 2012, following a residential burglary.
Additionally, two other individuals were separately charged and sentenced federally, as a result of the same joint federal and state investigation. On September 23, 2013, U.S. District Judge Virginia M. Hernandez Covington sentenced Anthony Maurice McSwain (28, Pinellas County) to 5 years and 10 months in federal prison for being a felon in possession of a firearm, in connection with a gun sale to an undercover officer on November 16, 2012. On November 4, 2013, U.S. District Judge James D. Whittemore sentenced Jarvis Antwan Dorsey (22, Pinellas County) to 5 years and 6 months in federal prison for the same offense, in connection with the sale of a gun to an undercover officer on January 15, 2013.
These cases were investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF"), the Largo Police Department, and the Clearwater Police Department. The cases arose from a joint federal and state investigation resulting in 28 people being arrested on state and federal violations, and the seizure of 13 firearms, as well as quantities of cocaine, marijuana, hydrocodone and other narcotics. The federal cases arising from the investigation were prosecuted by Assistant United States Attorney Mark E. Bini.
This investigation is part of ATF’s Frontline strategy to reduce violent crime and improve the quality of life in communities where law enforcement efforts are focused.
Paducah, Kentucky, Woman Sentenced to 15 Months in Prison for Mail FraudRead the Press Release
– Judge orders $112,012.44 restitution payment to former employer
PADUCAH, Ky. – A Paducah, Kentucky woman was sentenced today by Senior District Judge Thomas B. Russell, to 15 months in prison, followed by a 1 year term of supervised release and ordered to pay restitution in the amount of $112,012.44, after pleading guilty to stealing from her former employer announced David J. Hale, United States Attorney for the Western District of Kentucky.
Stacie A. Javier, age 37, pleaded guilty to a five count federal indictment charging her with mail fraud, for stealing $112,012.44, from her former employer, Credit Bureau System of Paducah, Inc. (CBS), between November 2008, to January 2012. Javier was employed by CBS, a collection agency for creditors, as a cashier who was responsible for the preparation of bank deposits of cash, checks, and other forms of payments.
In court, Javier admitted to devising a scheme to keep debtor’s cash payments by redepositing debtor’s returned checks (for insufficient funds) in place of an equivalent amount of cash from debtor payments. According to the plea agreement, when debtor checks that had been provided to CBS for payment on creditor accounts were not paid because of insufficient funds (NSF), the checks were returned to CBS by U.S. Bank (Bank). The unopened envelopes with NSF debtor checks were delivered to Javier who would retain certain NSF checks rather than pursue further collection. Debtor payments to CBS for creditor accounts were also made by cash payments. Javier determined that certain NSF checks that she had retained were in amounts equivalent to amounts of debtor cash received for payments on creditor accounts. Javier substituted the returned NSF checks for the equivalent of debtor cash and prepared deposit slips with such NSF checks and other forms of payment to CBS, for deposit with the Bank. Javier kept the cash payments.
This case was prosecuted by Assistant United States Attorney David Sparks and was investigated by the United States Secret Service and the Paducah Police Department.
Oglala Man Sentenced for First Degree BurglaryRead the Press Release
United States Attorney Brendan V. Johnson announced that an Oglala, South Dakota, man convicted of First Degree Burglary was sentenced on December 4, 2013, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Tim Two Bulls, age 24, was sentenced to 18 months of imprisonment, 2 years of supervised release, and $100 to the Federal Crime Victims Fund.
Two Bulls pled guilty to the charge on October 24, 2013. The charge related to Two Bulls unlawfully breaking into the home of a woman on December 16, 2011, in the Red Shirt Table community.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety.
Two Bulls was immediately turned over to the custody of the U.S. Marshals Service.
New Boston, Texas Woman Guilty of Sending Ricin LettersRead the Press Release
Department of Justice
Office of Public AffairsTEXARKANA, Texas – A 35-year-old New Boston, Texas woman has pleaded guilty to a biological weapons charge in the Eastern District of Texas, announced U.S. Attorney John M. Bales and Acting Assistant Attorney General for National Security. John Carlin.
Shannon Guess Richardson pleaded guilty to an Information charging her with possession of a toxin for use as a weapon today before U.S. Magistrate judge Caroline M. Craven. Richardson was named in an indictment returned by a federal grand jury on June 27, 2013, charging her with threatening the President of the United States, mailing a threatening letter to New York City Mayor Michael Bloomberg, and mailing a threatening letter to Mark Glaze in Washington, D.C.According to the information presented in court, during April-May 2013, Richardson made several online purchases of items for the purpose of producing ricin. These supplies included castor bean seeds and sodium hydroxide (lye.) Ricin is a biological toxin that can be fatal if ingested, inhaled, or injected. There is no known antidote or cure for ricin poisoning.
Richardson subsequently placed ricin onto threat letters addressed to President Barack Obama, Mayor Michael Bloomberg and Mark Glaze. On May 20, 2013, Richardson mailed the three threatening letters from the New Boston, Texas, Post Office. On May 30, 2013, Richardson traveled to the Shreveport, LA, Police Department and reported that her husband was responsible for the ricin-laced letters.
Richardson was arrested on June 7, 2013, in Mt. Pleasant, Texas, and has been detained since that time. She faces up to life in federal prison at sentencing. A sentencing date has not been set.
This case is being investigated by the Federal Bureau of Investigation, the U.S. Secret Service, the U.S. Postal Inspection Service, the U.S. Marshals Service, the Texas Department of Public Safety, the New Boston, Texas Police Department, the Shreveport, Louisiana, Police Department and the New York City Police Department. This case is being prosecuted by Assistant U.S. Attorneys Frank Coan, Ryan Locker and Brit Featherston, as well as Trial Attorney Jolie Zimmerman of the Justice Department’s National Security Division.
Navajo Woman Pleads Guilty to Embezzling Money Belonging to the Mescalero Apache NationRead the Press Release
ALBUQUERQUE – Iris Peterson, 65, an enrolled member of the Navajo Nation residing in Mescalero, N.M., pleaded guilty today in federal court in Las Cruces, N.M., to theft from an Indian Tribal Organization.
Peterson entered a guilty plea to a felony information and admitted embezzling $8,695.00 in funds belonging to the Mescalero Apache Nation between Jan. 2007 and Dec. 2011. During that time, Peterson was a supervisory social worker employed by the BIA Mescalero Social Services Program. Peterson admitted cashing checks intended for juvenile clients who were receiving services from the Social Services Program and using the funds for her personal use.
Peterson entered her guilty plea pursuant to a plea agreement that requires her to pay restitution in the amount of $8,695.00. Under the terms of the plea agreement, the United States will not oppose a sentence of probation if Peterson is ordered to pay restitution. Peterson was released under pretrial supervision pending her sentencing hearing, which has yet to be scheduled.
This case was investigated by the Office of the Inspector General, U.S. Department of the Interior and is being prosecuted by Assistant U.S. Attorney Novaline D. Wilson.
Mount Vernon Man Pleads Guilty to Health Care FraudRead the Press Release
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today, that Donald Ray Keip, 39, of Mount Vernon, Illinois, pled guilty to a one-count indictment charging that he engaged in a scheme to commit health care fraud. Sentencing has been set for April 4, 2014, in United States District Court in Benton, Illinois. Keip will face up to 10 years in prison, a fine of up to $250,000, and up to 3 years of supervised release.
During his plea hearing, Keip admitted that he had submitted false and fraudulent bills in relation to his alleged performance of personal assistant services in the Home Services Program, a Medicaid Waiver Program designed to allow individuals to stay in their homes instead of entering a nursing home. Keip admitted to falsely billing the program between June 30, 2012 and January 29, 2013, when he purportedly rendered personal assistant services to an individual, his mother, when he, in fact, did not. As a result, Keip improperly received $24,000.00 in payments for services not performed.
The investigation was conducted by the U.S. Department of Health and Human Services, Office of Inspector General and the Illinois State Police, Medicaid Fraud Control Bureau. The case is being prosecuted by Assistant United States Attorney William E. Coonan.
If you suspect or know of an individual or company that is not complying with healthcare laws or public aid programs, you may report this activity to the local office of the U.S. Department of Health and Human Services, Office of Inspector General, or you may call 1.800.447.8477.
Mobile County Woman Sentenced for Her Role in Mortgage Fraud CaseRead the Press Release
The United States Attorney, Kenyen Brown announces that Delaine Williams, a 27 year old Satsuma resident was sentenced today for her role in a mortgage fraud scheme conducted at the Midtown Mortgage brokerage house. Williams falsified documents on a mortgage loan application so that it would be approved. Williams was charged by information in May 2013 and later pled guilty pursuant to a plea agreement on June 21, 2013. United States District Judge Kristi Dubose sentenced Williams to five (5) years’ probation and ordered her to pay $45,707.66 in restitution to The Department of Housing and Urban development (HUD) and a monetary assessment of $100.
Special Agents of The Department of Housing and Urban Development’s/Office of Inspector General investigated the case and brought it to the U.S. Attorney=s Office for prosecution. The prosecutor assigned to the case is Assistant United States Attorney, Gina S. Vann.
Michael Dwaine Freeman Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Missoula, on December 9, 2013, before Chief U.S. District Judge Dana L. Christensen, MICHAEL DWAINE FREEMAN, a 64-year-old resident of Anaconda, was sentenced to a term of:
- ison: 210 months
- ecial Assessment: $100
- rfeiture: cell phone
- pervised Release: 10 years
FREEMAN was sentenced in connection with his guilty plea to sexual exploitation of children (production of child pornography).
In an Offer of Proof filed by Assistant U.S. Attorney Cyndee L. Peterson, the government stated it would have proved at trial the following:
In August 2012, Anaconda-Deer Lodge County Law Enforcement investigated complaints against FREEMAN for having inappropriate contact with children.
As part of the investigation, detectives searched FREEMAN's residence in Anaconda. A cell phone was seized during the search. When a detective checked the phone for power, the detective saw a close-up image of a young child's genital area (set as the cell phone's wallpaper or home page).
FREEMAN was arrested and interviewed at the jail. He admitted he took the photograph of the child's genital area that was on his cell phone. The child was born in 2009. FREEMAN explained he took the photo a few days earlier while changing her diaper and said there would be other images of the child on the phone as well.
The cell phone was forensically examined and the examiner found the home screen as described by FREEMAN. The examiner located additional images of the child which also depicted sexually explicit conduct. The images were produced between January 31, 2012, and July 29, 2012.
This case underscores the importance of local, state, and federal law enforcement working together towards a common goal of protecting the community. The efforts of the Anaconda law enforcement identifying a dangerous pedophile and then requesting the assistance of the Montana Internet Crimes Against Children Task Force has protected other children in the community from victimization." said U.S. Attorney Michael C. Cotter.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that FREEMAN will likely serve all of the time imposed by the court. In the federal system, FREEMAN does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was a cooperative effort between the Montana Internet Crimes Against Children Task Force (ICAC), the Montana Department of Criminal Investigation, and the Anaconda-Deer Lodge County Law Enforcement Department.
Mercer Man Sentenced to 4 Years in PrisonRead the Press Release
AS PART OF FEDERAL PRESCRIPTION DRUG CRACKDOWN
BLUEFIELD, W.Va. – A 27-year-old Mercer County man was sentenced today to four years in prison after pleading guilty earlier this year to a federal drug charge, announced U.S. Attorney Booth Goodwin. Matthew M. Pigg, of Montcalm, Mercer County, W.Va., previously pleaded guilty to possession with intent to distribute hydromorphone, a powerful prescription painkiller commonly known as Dilaudid. Pigg’s sentence was handed down by Senior United States District Judge David A. Faber in Bluefield.
On February 12, 2013, police executed a search warrant on the defendant’s Montcalm residence. During the execution of the search warrant, police found a quantity of hydromorphone pills hidden inside of a safe located in the defendant’s bedroom. Pigg told police that he intended to sell the pain pills. At the time Pigg possessed the hydromorphone pills, he also possessed a loaded .38 caliber pistol. The firearm, also located inside of the defendant’s bedroom safe, was seized by police.This case was brought as part of the Bluefield Pill Initiative, a collaborative, multi-agency regional law enforcement effort designed to halt prescription drug trafficking in Mercer, McDowell, and Wyoming counties. The Bluefield Pill Initiative is led by the Southern Regional Drug and Violent Crime Task Force, which includes the West Virginia State Police Bureau of Criminal Investigation, the Mercer, McDowell and Wyoming County Sheriff’s Departments, and the Bluefield and Princeton Police Departments. Assistant United States Attorney John File handled the prosecution.
This case was also brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking existing local programs targeting gun crime.
Man Pleads Guilty to Wire FraudRead the Press Release
BUFFALO, N.Y.— BUFFALO, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Nicholas Mussolini, 27, of Williamsville, New York, pleaded guilty to a felony charge of Wire Fraud before U.S. District Court Judge Richard J. Arcara. The charge carries a maximum penalty of a term of 20 years imprisonment, a term of supervised release of 3 years and a fine of $250,000.
Assistant U.S. Attorney Maura K. O'Donnell, who handled the case, stated that the defendant pleaded guilty to running fraudulent loan schemes, which resulted in over $1 million dollars in financial losses to six victim companies. The schemes involved the defendant’s company, Preston Waters Corporation, which purported to be in the business of obtaining large loans for other companies. The defendant represented to victim companies that a deposit was required in order to secure loans on their behalf. As part of this scheme, a certain victim company remitted over $400,000 to the defendant, as a deposit for a loan of approximately $11 million. The defendant did not use this money to obtain a loan for the victim company, and instead, used the funds for personal and other expenses, and to repay other victims of his fraud scheme. Other victim companies included film and production companies seeking financing for the production of films, festivals, and other business ventures.
The plea was the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, under the direction of Brian P. Boetig.
Sentencing is scheduled for April 7, 2014 at 1:00 p.m. in Buffalo, N.Y., in front of U.S. District Court Judge Richard J. Arcara.Luzerne County Man Charged with Drug and Gun OffensesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a Kingston resident was indicted by a federal grand jury today for trafficking in illegal drugs and illegally possessing a firearm.
According to United States Attorney Peter J. Smith, the grand jury alleges that James Featherstone, age 33, distributed cocaine and heroin in Luzerne County during March through September of 2013, and illegally possessed a firearm as a convicted felon and in connection with his drug trafficking activities.
The Indictment charges Featherstone with seven counts of drug trafficking, one count of possessing a firearm in furtherance of drug trafficking, and one count of illegally possessing a firearm as a convicted felon.
The charges stem from an investigation by The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Pennsylvania State Police, Kingston Police, and the Luzerne County District Attorney’s Office.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years in prison and a $1 million fine for each of the drug charges; a mandatory five-year prison sentence and possible life sentence if convicted of possessing a firearm in connection with drug trafficking; and a mandatory 15 years in prison and a possible life sentence if convicted of the felon in possession of a firearm charge as an “armed career criminal.”
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.
Long Island Man Charged with Orchestrating $5 Million Ponzi SchemeRead the Press Release
A fourteen-count indictment was unsealed today in the United States District Court for the Eastern District of New York located in Central Islip, charging Robert Rocco with wire and mail fraud in connection with a series of business ventures that he created. 1 Rocco was arrested earlier today and will be arraigned before the Honorable Leonard D. Wexler in the federal courthouse in Central Islip.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York and George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI).
The indictment alleges that Rocco, while acting as the president of the Dix Hills Soccer Club, solicited club members and volunteers, friends and neighbors, to invest money in a series of businesses that he formed including, Limestone Capital Services (“Limestone”), Advent Merchant Services, LLC and Advent Equity Partners, LLC, that Rocco claimed would earn high rates of return on investments. Rocco allegedly told investors that they would receive returns of up to 18% of their principal investment annually through the companies’ investments in ventures that purportedly included providing loans to finance wholesale cigarette purchases on behalf of the Shinnecock Nation tobacco shop and a credit card processing venture. The indictment charges that Rocco solicited and received approximately $5 million in investor money between 2006 and 2013, which was not invested as promised. Instead Rocco allegedly misappropriated the money and additionally, solicited money from new investors which he used to pay purported profits to earlier investors, thus concealing the earlier misappropriation. Rocco also is alleged to have sent fraudulent account statements to investors that falsely showed that investors’ accounts had earned high rates of return. The indictment further alleges that Rocco controlled the bank accounts and records of the Dix Hills Soccer Club and did not permit others to have access to them. Between January and March 2010, Rocco allegedly deposited $66,915 in checks from the soccer club into Limestone and later distributed the proceeds of the checks to early investors in Limestone, leaving the soccer club with no funds to operate. In April 2010, Rocco allegedly sought and received donations to allow the club to continue operations.
“As alleged in the indictment, Rocco employed fraud and deceit to victimize friends and neighbors and even used his local soccer club to further his schemes. His promises of high returns were illusory, propped up by false account statements,” stated United States Attorney Lynch. “Today’s arrest demonstrates our continuing commitment to investigate and prosecute those who commit financial crimes, particularly those who haven’t gotten the message that we will actively and aggressively pursue those who inflict financial harm on our citizens.” Ms. Lynch thanked the Federal Bureau of Investigation for its work on the investigation.
“As alleged in the indictment, Rocco mastered the role of con artist when he traded upon his relationship with friends and colleagues with empty promises of high financial returns in exchange for their investments. While not physically violent, Rocco’s alleged actions had a significant impact on the lives of his victims who lost their hard earned money to someone they trusted. The FBI will continue to vigorously investigate those who prey upon and defraud members of our community for their own personal gain,” stated Assistant Director-in-Charge Venizelos.
The government’s case is being prosecuted by Assistant United States Attorney Allen Bode.
The Defendant
ROBERT ROCCO
Age: 48
Dix Hills, New YorkE.D.N.Y. Docket No. 13-CR-664 (LDW)
_____________________________
1 The charges in the indictment are merely allegations and the defendant is presumed innocent unless and until proven guilty.
New Arrest in $5 Million Dollar Ponzi Scheme- Indictment
Idaho Prison Inmate Sentenced for Mail FraudRead the Press Release
BOISE – Today, in United States District Court, U.S. District Judge B. Lynn Winmill, sentenced Mark Anthony Brown, 53, an inmate at the Idaho Correctional Center, on two counts of mail fraud, U.S. Attorney Wendy J. Olson announced. Judge Winmill sentenced Brown to 33 months of prison, three years of supervised release following his confinement, restitution of $59,679.92 and forfeiture of the same amount, which was previously seized from Brown’s accounts. The court also ordered forfeiture of Brown’s typewriter, which he used to commit the crime. Judge Winmill also ordered the prison portion of the sentence to run consecutively to the state prison sentence that Brown is currently serving. Brown was indicted by a federal grand jury in Boise on March 12, 2013. He pleaded guilty to the charges on August 22, 2013.
According to court documents, from September 2007 to February 28, 2013, Brown devised a scheme to fraudulently obtain money from various class action lawsuits and large-scale bankruptcies. According to the plea agreement, Brown submitted numerous claim forms in which he falsely represented himself as a class member or creditor. He then mailed the claim forms to administrators of the settlements in order to receive settlement proceeds, and deposited the proceeds he received into his Idaho Department of Correction trust account, and into several different investment accounts, all through the use of the United States Mail. The plea agreement details 22 different settlements and litigations which Brown defrauded, ranging from $20 to $29,528.50.
The case was investigated by the United States Postal Inspection Service with the cooperation of the Idaho Department of Correction.
Hostage-takers Sentenced to PrisonRead the Press Release
PHOENIX – On Dec. 9, 2013, U.S. District Judge Susan R. Bolton sentenced Abel Doncel de la Torre-Gonzalez, 34, of Mexico D.F., Ed. De Mexico, MX, to seven years in prison for his role in a hostage taking. De la Torre was the last of three hostage takers sentenced to prison in this matter. Espiridion Pablo-Madrigal, 36, of San Juan Carapan, Michoacàn and Luis Bretado-Aragon, 19, of Concordia, Sinaloa, Mexico, were sentenced in November to ten and one-half years and six years imprisonment, respectively. All three had been indicted June 12, 2013, on charges of hostage taking, conspiracy to commit hostage taking, and use, carrying and brandishing a firearm during and in relation to a crime of violence.
U.S. Attorney John S. Leonardo reaffirmed the federal government’s commitment to prosecute human smugglers, especially those who employ violence and stated, “Federal law provides for significantly higher sentences for alien smugglers who engage in violence and use firearms as tools of their trade. We will use the statutory tools available to seek lengthy prison sentences for people who victimize their human cargo.”
The charges in the case stemmed from a human smuggling event in which the defendants raised the smuggling fees, threatened to kill the victims if the higher fees were not paid, and engaged in violent behavior toward the victims, who were in the process of being smuggled into the United States from Mexico.
The investigation in this case was conducted by U.S. Immigration and Customs Enforcement, Homeland Security Investigations. The prosecution was handled byJoseph E. Koehler, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER : CR-13-835-PHX-SRB
RELEASE NUMBER: 2013-094_Pablo-Madrigal_etal.For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Honduran Man Convicted of High Speed Flight from Border Patrol CheckpointRead the Press Release
LAREDO, Texas – Miguel Angel Chavarria-Martinez, 28, a Honduran national illegally in the United States, has entered a guilty plea to eluding and high speed flight from a Border Patrol (BP) checkpoint, announced United States Attorney Kenneth Magidson.
On Oct. 6, 2013, at approximately 12:30 a.m., Chavarria-Martinez arrived at the BP checkpoint located on U.S. Highway 59 near Farm to Market Road 2050 in East Webb County near Freer as driver and sole occupant of a blue Freightliner semi-tractor. BP agents initiated an immigration inspection, but Chavarria-Martinez did not answer any questions. At the request of agents, Chavarria-Martinez began to exit the cab of his vehicle, but quickly returned to the driver’s seat. He then drove away from the inspection station with the agent standing on the cab’s side deck by the driver’s window. Chavarria-Martinez ignored the agent’s orders to stop the vehicle and departed the checkpoint and headed towards Freer.
BP agents pursued Chavarria-Martinez’s vehicle along with Texas Department of Public Safety (DPS) officers. The vehicle reached speeds of up to 80 miles per hour on Highway 59 as he attempted to flee and as it approached, entered and drove through Freer. The posted speed limit is 45 miles per hour before entering Freer and then drops to 30 miles per hour through the community. The driver finally stopped at a roadblock initiated within the city by the Freer Police Department (FPD). At that time, FPD officers turned Chavarria-Martinez over to Border Patrol agents.
Chavarria-Martinez was determined to be a citizen and national of Honduras illegally in the United States and has been deported at least once before.
U.S. Magistrate Judge Guillermo R. Garcia presided over the plea and a sentencing date will be set in the near future before U.S. District Judge Diana Saldana. At that time, he faces a maximum of five years in federal prison and/or a possible $250,000 fine. Chavarria-Martinez has been in federal custody since his arrest Oct. 6, 2013, where he will remain pending that hearing.
BP investigated in conjunction with DPS and FPD. Assistant United States Attorney Homero Ramirez is prosecuting the case.
Hogsett Announces Sentencing of Terre Haute Man on Child Exploitation ChargesRead the Press Release
TERRE HAUTE – Joseph H. Hogsett, the United States Attorney, announced today that Emery Norton, age 26, of Terre Haute, was sentenced by U.S. District Judge Larry J. McKinney to 135 months (11 years, 3 months) in federal prison after admitting that he received child pornography. Hogsett said the sentencing decision marked the conclusion of another prosecution as part of Operation Community Watch, a new effort which aims to reduce the abuse of Hoosier children through innovative investigative techniques and aggressive prosecution.
“Every time one of these horrific images or videos is viewed, a child is victimized,” Hogsett said. “This type of behavior is disgusting, it is unacceptable, and it is illegal. That is why with the launch of Operation Community Watch last year, we made it clear that this office’s approach to child exploitation is very simple: zero tolerance.”
According to charging documents, an investigation into Norton began in November 2012 when an Indiana State Police detective located an individual online who was sharing thousands of images and video files that depicted child pornography. These activities were traced to a home in Terre Haute, and in late March 2013, a search warrant was executed at the home on Liberty Avenue.
During the search, Norton consented to a search of both a laptop computer and a desktop computer inside the home. A forensic examination of those devices revealed both images and videos depicting child pornography. Later, investigators located a "thumb drive" that contained more pictures and videos depicting child pornography. All told, tens of thousands of exploitative files were found within the home, some of which depicted children as young as age nine.
According to Senior Litigation Counsel Steven D. DeBrota, who is prosecuting the case for the government, Norton was ordered to serve lifetime federal supervision at the end of his prison term. In addition, the defendant was ordered to pay $3,000 in restitution to three victims who were identified as being depicted in the materials he received.
This arrest comes as Hogsett has announced a comprehensive crackdown on child exploitation in Indiana. Just last year, he launched "Operation Community Watch," which will allow prosecutors and investigators to use cutting-edge techniques to identify and charge people in Hoosier communities who are engaged in the receipt and trafficking of child pornography materials. In this case, these efforts were facilitated by Federal Bureau of Investigation, the Indiana State Police, the Indiana Internet Crimes Against Children Taskforce, along with Terre Haute and Vigo County law enforcement.
This case was brought as part of Project Safe Childhood, a larger nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Hogsett pointed out that in the last Project Safe Childhood reporting year, the Office prosecuted 52 defendants, an increase of 37% over the prior year, and 49 defendants were convicted and sentenced. These are all-time records for the Office.
The greatest measure of the PSC program's impact, however, is the identification and rescue of child victims of sexual exploitation and abuse. Over the last year, the U.S. Attorney's Office successfully identified more than 120 child victims, including minors in Indiana, numerous places in the United States, Canada, Switzerland, and other countries around the world.
Led nationally by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Four Pennsylvania Residents Charged in Cocaine Trafficking ConspiracyRead the Press Release
JOHNSTOWN, Pa. - Three residents of Johnstown, Pa., and a resident of Philadelphia, Pa., have been indicted by a federal grand jury in Johnstown on charges of violating federal narcotics laws, United States Attorney David J. Hickton announced today.
The six-count indictment named as defendants the following individuals:
George J. Lawrence, IV, 28, of Johnstown, Pa.
Paulette M. Alt, 52, of Johnstown, Pa.
Donna M. Hawk, 48, of Johnstown, Pa.
Paul A. Robinson, Jr., 31, of Philadelphia, Pa.According to the indictment presented to the court, from Jan. 31, to April 23, 2013, the defendants conspired to distribute more than 28 grams of cocaine base, in the form commonly known as "crack," and on separate occasions during that time period the defendants distributed less than 500 grams of cocaine and less than 28 grams of cocaine base. In addition, on April 23, 2013, Lawrence possessed more than 28 grams of cocaine base with the intent to distribute it.
The law provides for a maximum total sentence for Lawrence of 140 years in prison, a fine of $13,000,000 or both; for Alt & Robinson of 80 years in prison, a fine of $7,000,000 or both; and for Hawk of 60 years in prison, a fine of $6,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force conducted the investigation that led to the prosecution of Lawrence, Alt, Hawk and Robinson.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Tucson Business Man Sentenced to Additional Time for Possessing 24 Explosive DevicesRead the Press Release
TUCSON, Ariz. – On Dec. 6, 2013, Todd Russell Fries, 50, of Tucson, was sentenced by U.S. District Judge Cindy K. Jorgenson to 60 months in prison after he was found guilty by a federal jury on Aug. 13, 2013, of two counts of unlawful possession of unregistered destructive devices.Judge Jorgenson ordered that 20 months be served consecutive to the sentence of 151 months Fries previously received for unlawful possession and use of a chemical weapon.
Fries is currently serving a sentence of 151 months after being convicted in October 2012 of unlawful possession and use of a chemical weapon and providing false information to the FBI. The chemical weapon charges stemmed from an incident that occurred on Aug. 2, 2009, when two chlorine chemical devices were placed at the home of Fries’s former clients with whom he had a billing dispute. In that incident, the chlorine devices produced a massive cloud containing chlorine that enveloped a neighborhood on the northwest side of Tucson. As a result of the cloud, the neighborhood had to be evacuated. On May 13, 2011, during the course of the investigation of the chemical devices, the FBI executed a search warrant at Fries’s home in Tucson. During the search, agents discovered 24 explosive devices; three containing added fragmentation, in a bedroom located in Fries’s residence.
The investigation in this case was conducted by the Federal Bureau of Investigation, the Bureau of Alcohol, Firearms, Tobacco and Explosives, the Pima County Sheriff’s Department and the Pima Regional Bomb Squad. The prosecution was handled by Beverly K. Anderson, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-11-01751-TUC-CKJ
RELEASE NUMBER: 2013-093_FriesFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former San Luis Obispo Police Officer Sentenced to 18 Months in Federal Prison in Corruption CaseRead the Press Release
LOS ANGELES -- A former detective with the San Luis Obispo Police Department has been sentenced to 18 months in federal prison for extorting sources he cultivated while working on a narcotics task force.
Cory Pierce, 40, of Arroyo Grande, was sentenced Monday afternoon by United States District Judge Margaret M. Morrow. In addition to the prison term, Judge Morrow sentenced Pierce to three years of supervised release and ordered him to pay $5,500 in restitution. Pierce was ordered to begin serving his sentence by January 27.
Pierce, who served with the San Luis Obispo Police Department for six years, pleaded guilty in June to a federal extortion charge. When he pleaded guilty, Pierce admitted that while assigned to a narcotics task force, he cultivated as sources an individual who had been arrested for heroin possession, and the man's girlfriend. Pierce obtained painkillers from the sources in exchange for providing them with placebo oxycodone pills that they could sell.
As part of the plea agreement, Pierce admitted to using his position as a police officer to obtain $11,000 from someone who he thought was a drug dealer in exchange for the placebo pills.
The investigation was conducted by the Federal Bureau of Investigation.
Release No. 13-144
Former Nopd Officer, Jason Cross, Pleads Guilty in Federal Court to Drug ChargesRead the Press Release
JASON CROSS, 35, a former New Orleans Police Officer, pled guilty this morning before U.S. District Judge Jane Triche Milazzo to a felony drug violation, announced U.S. Attorney Kenneth Allen Polite, Jr. CROSS was charged by a bill of information, with attempting to possess with the intent to distribute a quantity of cocaine hydrochloride. CROSS pled guilty pursuant to a written plea agreement and signed a factual basis which was placed in the court record.
CROSS faces a sentence of not more than 20 years in prison, a fine of not more than $1,000,000.00, and a three year term of supervised release. Sentencing is scheduled on March 27, 2014 at 10:00 a.m.
This case was investigated by the Federal Bureau of Investigations and was prosecuted by AUSA Jay Quinlan.
(Download Factual Basis )
Former CEO of Miami Lakes Tax Preparation Business Pleads Guilty to Structuring SchemeRead the Press Release
Wifredo A Ferrer, United States Attorney for the Southern District of Florida, and José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that defendant Carlos Rodriguez, 40, of Miami Lakes, pled guilty yesterday to one count of structuring financial transactions with the intent to evade currency reporting requirements, in violation of Title 31, United States Code, Sections 5324(a)(3) and 5324(d)(2). Rodriguez is the former Chief Executive Officer of Rodri Rodri & Associates (“Rodri”), formerly located in Miami Lakes. Sentencing is scheduled for March 11, 2014 at 9:00 a.m., before U.S. District Judge Kathleen M. Williams. At sentencing, Rodriguez faces up to ten years in prison and the forfeiture of property.
According to court documents and statements, financial institutions are required to report cash transactions in amounts over $10,000.00 to the IRS. From on or about January 4, 2012 through on or about March 22, 2012, Rodriguez was the Chief Executive Officer of Rodri, a tax preparation business. During that time, the defendant cashed or had cashed Rodri business checks in amounts under $10,000.00 at JPMorgan Chase Bank with the intent to evade the currency transaction reporting requirements of Title 31, United States Code, Section 5313(a). Pursuant to the terms of the plea agreement, the amount of money involved in the structuring violations was between $400,000 and $1 million.
According to the evidence, the tax return preparation part of the business was supervised by the defendant’s late wife Jennifer Rodriguez. The defendant was primarily responsible for the day-to-day operations of the business such as paying employees, collecting fees for the preparation of tax returns, paying business expenses, and handling customers with questions, concerns, or complaints. Nonetheless, many of the tax returns prepared by Rodri were fraudulent and contained false credits, such as education and fuel credits that the taxpayers otherwise were not entitled to have. The structured cash was used to provide cash, for a fee, to taxpayer clients in exchange for their inflated tax refunds.
As further stated in court and in court documents, the proceeds generated by the tax preparation business are traceable to the purchase of the properties listed in the indictment, including a couple of parcels of real property. According to the plea agreement, Rodriguez agreed to forfeit said properties to the United States.
As further stated in the plea agreement, Rodriguez agreed to cooperate with the IRS in its civil examination, determination, assessment, and collection of income taxes related to the defendant’s 2009 through 2012 income tax returns and any related corporate tax returns, and further agreed not to conceal, transfer, or dissipate funds or property that could be used to satisfy such taxes, penalties, and interest.
Mr. Ferrer commended the investigative efforts of IRS-CI. This case is being prosecuted by Assistant U.S. Attorney Elijah A. Levitt.
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.
Five Defendants Plead Guilty in Statesboro, Georgia to Tax Fraud and Identity Theft SchemeRead the Press Release
22 Defendants Convicted So Far This Year in Stolen Identity Tax Fraud Schemes
STATESBORO, GA: Five federal defendants – ALECEIA LOVETT, CIERRA JOHNSON, KANDICE WHITE, DANIELLE CLARK, and SIRBRINA BANGS – pled guilty last week before United States District Court Judge B. Avant Edenfield in Statesboro, Georgia for their involvement in a stolen identity tax fraud scheme.
Earlier this year, these five defendants, along with 17 others who were also involved in similar schemes, were charged with federal crimes ranging from conspiracy to defraud the IRS to identity theft from medical records. According to evidence presented during hearings in these cases, the participants in these schemes illicitly obtained personal identifiers, such as names, dates of birth, and Social Security numbers, which they then used to prepare and submit fraudulent tax returns in order to unlawfully obtain tax refunds.
United States Attorney Edward J. Tarver said, “These cases demonstrate the continuing commitment of the United States Attorney’s Office to protecting the privacy of medical records and the hard-earned money of honest taxpayers. This investigation is ongoing. Our law enforcement partners will continue to track down these identity thieves and bring them to justice.”
The five defendants who pled guilty last week are among the 24 defendants federally charged this year as participants in stolen identity tax fraud schemes in the Statesboro, Georgia area. The status of each of these 24 defendants’ cases is listed (in alphabetical order) as follows:
ERICA BALDWIN, 31, of Statesboro, Georgia, was charged in April 2013 and pled guilty on June 25, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records. Her sentencing hearing has not yet been scheduled.
SIRBRINA BANGS, 26, of Statesboro, Georgia, was charged in September 2013 and pled guilty on December 5, 2013 to conspiracy to commit theft of public funds. Her sentencing hearing has not yet been scheduled.
DANIELLE CLARK, 26, of Statesboro, Georgia, was charged in September 2013 and pled guilty on December 5, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
TAMEIKA CLARK, 24, of Statesboro, Georgia, was re-indicted on December 3, 2013 with 26 counts of wire fraud conspiracy, wire fraud, aggravated identity theft, and access device fraud. Her trial date has not yet been scheduled.
TRACY DENSON, 44, of Statesboro, Georgia, was charged in April 2013 and pled guilty on July 30, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records. Her sentencing hearing has not yet been scheduled.
SHAKITA EASON, 30, of Statesboro, Georgia, was charged in April 2013 and pled guilty on June 18, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records. Her sentencing hearing has not yet been scheduled.
YOLANDA EDMOND, 36, of Statesboro, Georgia, was charged in April 2013, pled guilty on July 11, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records, and was sentenced on October 8, 2013 to 32 months in prison.
GLORIA EVANS, 44, of Statesboro, Georgia, was charged in April 2013, pled guilty on July 11, 2013 to wire fraud conspiracy and aggravated identity theft, and was sentenced on October 8, 2013 to 39 months in prison.
DEQUILLIA HILL, 43, of Sylvania, Georgia, was charged in September 2013 and pled guilty on November 19, 2013 to conspiracy to commit theft of public funds and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
CIERRA JOHNSON, 22, of Statesboro, Georgia, was charged in September 2013 and pled guilty on December 4, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
ALECEIA LOVETT, 29, of Statesboro, Georgia, was charged in September 2013 and pled guilty on December 4, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
TACARRO MORGAN, 25, of Sylvania, Georgia, was charged in September 2013 and pled guilty on November 19, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
JOSHUA MINCEY, 20, of Statesboro, Georgia, was charged in April 2013 and pled guilty on June 25, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records. His sentencing hearing has not yet been scheduled.
RICHARD PARKER, 60, of Sylvania, Georgia, was charged in September 2013 and pled guilty on November 19, 2013 to conspiracy to commit theft of public funds. His sentencing hearing has not yet been scheduled.
PORSCHE S. PINKNEY, 19, of Augusta, Georgia, was charged in April 2013 and pled guilty on August 21, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records. Her sentencing hearing has not yet been scheduled.
EULA MAE RODRIGUEZ, 47, of Sylvania, Georgia, was charged in September 2013 and pled guilty on November 19, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
DWAN SCOTT, 32, of Statesboro, Georgia, was charged in April 2013 and pled guilty on July 30, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
JENNA SCOTT, 28, of Jacksonville, Florida, was charged in April 2013 and pled guilty on July 30, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
DEVANG SHAH, 32, of Sylvania, Georgia, was charged in September 2013 with conspiracy to commit theft of public funds. His guilty plea hearing has not yet been scheduled.
GREGORY F. SMITH, JR., 21, of Stone Mountain, Georgia, was charged in April 2013 and pled guilty on August 21, 2013 to wire fraud conspiracy and aggravated identity theft. His sentencing hearing has not yet been scheduled.
ASHA K. SPAULDING, 37, of Claxton, Georgia, was charged in March 2013 and pled guilty on March 12, 2013 to wire fraud conspiracy, aggravated identity theft, and assisting in the preparation of false tax returns and was sentenced on October 8, 2013 to 154 months in prison.
TIDAESHA V. TAYLOR, 27, of College Park, Georgia, was charged in April 2013 and pled guilty on August 21, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
ANDREA WEBB, 31, of Register, Georgia, was charged in April 2013 and pled guilty on June 5, 2013 to wire fraud conspiracy and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
KANDICE WHITE, 25, of Sylvania, Georgia, was charged in September 2013 and pled guilty on December 4, 2013 to conspiracy to commit theft of public funds and aggravated identity theft. Her sentencing hearing has not yet been scheduled.
The defendants not yet sentenced face a maximum penalty of 20 years in prison for the charges of wire fraud conspiracy and wire fraud, 10 years in prison for the charges of access device fraud and misuse of medical records, five years in prison for the charge of conspiracy to commit theft of public funds, and a 2-year mandatory, consecutive prison sentence for aggravated identity theft. Each of these charges also carries a fine of up to $250,000.
FBI Special Agent Marcus Kirkland and IRS-CID Special Agent Gwen Weston are the federal law enforcement officers who have been leading the investigation in these cases, in connection with the Statesboro Police Department and other state and local agencies. Assistant United States Attorneys David Stewart and Lamont A. Belk are prosecuting the cases. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Fenton Area Woman Pleads Guilty to EmbezzlementRead the Press Release
St. Louis, MO – Elaine Lewis pleaded guilty to embezzling more than $300,000 from a church checking account, between 2009 and August 2013.
According to court documents, Elaine Lewis worked as a bookkeeper for the Lutheran Church of the Resurrection, located in St. Louis County, MO. Between 2009 and August 2013, Lewis used a variety of schemes to embezzle more than $300,000 from the Church’s checking account at Bank of America. Most of the funds were transferred and deposited into a Commerce Bank account associated with her family’s business -- Advanced Lock & Key, Inc. -- which was operated out her residence in Fenton, MO.
ELAINE LEWIS, Fenton, MO, pled guilty to one felony count of mail fraud before United States District Judge Rodney W. Sippel. Sentencing has been set for March 7, 2014.
Mail fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges. Lewis will also be required to pay full restitution.
This case was investigated by the United States Postal Inspection Service and the Sunset Hills, MO, Police Department. Assistant United States Attorney John Bodenhausen is handling the case for the U.S. Attorney’s Office.
Federal Jury Convicts Parole Officer for Accepting Bribes from ParoleeRead the Press Release
HOUSTON - Crystal M. Washington, aka Crystal Bureau, 53, has been convicted on three counts as charged by a federal jury sitting in Houston, announced United States Attorney Kenneth Magidson. Washington was employed as a parole officer at the Texas Department of Criminal Justice (TDCJ) office located on Hamilton Street in Houston.
Following a two-day trial, the jury found Washington accepted bribes from a parolee - a suspected heroin dealer - from 2009 to 2012 and that she warned the dealer of a Houston Police Department investigation in 2009. She was convicted of conspiracy to possess with intent to distribute heroin as well as conspiracy to commit extortion under color of official right for accepting money from the dealer. Further evidence was presented which showed Washington accepting money from a cooperating parolee in May 2012.
U.S. District Judge Lee H. Rosenthal, who presided over the trial, has set sentencing for March 25, 2014. At that time, Washington faces up to 20 years in federal prison on each count. In addition, the extortion convictions carry as possible punishment maximum $250,000 fines, while the conspiracy count could result in a $1 million fine.
Washington was relieved of all duties and her employment terminated upon arrest. She was permitted to remain on bond, but the court modified the conditions to include electronic monitoring based upon the jury’s verdict today.
The operation was a combined public corruption task force effort by the FBI, Houston Police Department, TDCJ-Office of Inspector General and the Texas Rangers.
The case is being prosecuted by Assistant United States Attorneys Jim McAlister and Carolyn Ferko.
Federal Jury Convicts Austin Man Who Harbored Female at Local MotelRead the Press Release
CORPUS CHRISTI, Texas - Jose Gallegos, 47, of Austin, has been found guilty by a Corpus Christi jury of harboring and transporting an undocumented person, announced United States Attorney Kenneth Magidson. The verdict was returned late this morning following a two-day trial and approximately 45 minutes of deliberation.
On Aug. 17, 2013, Gallegos was caught at the Sarita Border Patrol checkpoint with a scantily-clad 18-year-old female passenger. During trial, the jury heard testimony that she was being smuggled by Gallegos and his associates from Mexico to New Jersey. The young woman provided tearful testimony that she was sexually assaulted by Gallegos, forced to wear revealing clothing and receive facial piercings. She further testified she was threatened with death if she disobeyed or told anyone.
Gallegos kept the young woman and other undocumented persons being smuggled from Mexico at a Palmview motel for two weeks prior to being arrested at the checkpoint.
The defendant appeared pro se, representing himself in all proceedings and claimed the government was merely attacking him. The jury disagreed and found him guilty as charged.
U.S. District Judge Nelva Gonzales Ramos, who presided over the trial, will set sentencing at a later date. At the time of that hearing, Gallegos will face up to five years imprisonment and a possible $250,000 fine. He will remain in custody pending sentencing.
The matter was investigated by Homeland Security Investigations in conjunction with the U.S. Border Patrol. Assistant United States Attorney Jeffrey D. Preston prosecuted the case.
Federal Grand Jury Indicts Charleston Man on Illegal Firearm Possession ChargeRead the Press Release
CHARLESTON, W.Va. – A 32-year-old man was indicted today by a federal grand jury sitting in Charleston for being a felon in possession of a firearm. According to a single-count indictment, Jon Paul Clements, of Charleston, W.Va., allegedly possessed a firearm on March 9, 2013.
Clements was previously convicted of first degree robbery with a firearm in July 2002 in the Circuit Court of Kanawha County. He did not have his rights to possess a firearm restored.
Clements faces up to 10 years in prison, if convicted.The investigation was conducted by the Charleston Police Department. Assistant United States Attorney Monica Coleman is in charge of the prosecution.
The case is being brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods is a nationwide commitment to reduce gun crime in the United States by networking existing local programs targeting gun crime.
Click here to view a copy of the indictment
Note: The charge contained in the indictment is merely an accusation, and the defendant is presumed innocent unless and until proven guilty.
East Texans Arrested on Federal Drug Trafficking ChargesRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas - U.S. Attorney John M. Bales announced today that 16 individuals have been arrested following a lengthy investigation into drug trafficking in the Eastern District of Texas.
On Dec. 10, 2013, a combined task force of federal, state and local law enforcement agencies began arresting individuals named in a federal indictment returned by a grand jury on Nov. 20, 2013. The indictment charges the following individuals with conspiracy to distribute methamphetamine, cocaine and marijuana in the Eastern District of Texas:
ANTONIO CORTEZ GONZALES, 34, of Tyler,
MONICA HENSLEY, 35, of Longview,
GUILLERMO ORTIZ-PINEDA, a/k/a "The General," 38, of Houston,
JUAN GUTIERREZ MOJICA, 43, of Tyler,
a/k/a "Benjamin Blanco", a/k/a "Chava",
a/k/a "Chaparro", a/k/a "El4",
a/k/a "Carlos Pineda", a/k/a "Oneldo Pineda",
a/k/a "Eledoni Panteleon",
a/k/a "Serafin GutietTez",
a/k/a "Gonzalo Coria", a/k/a "Luis Tapia",
a/k/a "Emilio Guerra;”
MIRIAM REYES, 41, of Houston,
JUVENCIO DUQUE, 53, of Dallas,
MAURICIO ORROSTIETA RODRIGUEZ, 40, of Tyler,
ALEJANDRO HERNANDEZ, 46, of Irving, Texas,
IVAN SANCHEZ, 21, of Tyler,
ESTEBAN AVELLANEDA MUNOZ, 19, of Tyler,
JONHYAYALA, 34, of Tyler,
JESUS BOTELLO, 34, of Tyler,
GUADALUPE CUARENTA, 48, of Tyler,
SERGIO MOJICA, 30, of Tyler,
LUIS GARCIA-AGUIRRE, 32, of Tyler, and
IRERI PINEDA, xx, of Tyler.The defendants will appear today in federal court for initial appearances. If convicted, the defendants face from 10 years to life in federal prison.
This case is the result of an ongoing Organized Crime Drug Enforcement Task Force (OCDETF) joint investigation. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
In August 2012, the Drug Enforcement Administration (DEA) Tyler Task Force, in conjunction with multiple law enforcement agencies, initiated an OCDETF investigation into a crystal methamphetamine trafficking organization based in the East Texas area with direct ties to Mexico. The organization also distributes cocaine and marijuana. This 16 month investigation involved extensive surveillance and innovative investigative techniques. Several sources of supply for crystal methamphetamine, cocaine, and marijuana were identified during the course of the investigation. To date, law enforcement officials have seized multiple pounds of crystal methamphetamine, cocaine, and marijuana. Officers have also seized more than $200,000 cash, multiple weapons, vehicles, and real property.
“Today’s enforcement operations are indicative of the DEA’s commitment to rid our communities of drug trafficking organizations determined to profit on the backs of addiction,” said the DEA Dallas Division’s Special Agent in Charge Daniel R. Salter. “Citizens in East Texas can rest assured that the DEA and our law enforcement partners are determined to ensure that Tyler and its surrounding communities remain safe and a great place to live. The success of this investigation is an outstanding example of our law enforcement community’s resolve and determination.”
The DEA Task Force in Tyler includes officers from the Gregg County Sheriff’s Office, Henderson County Sheriff’s Office, Henderson Police Department, Kilgore Police Department, Smith County Sheriff’s Office, and Upshur County Sheriff’s Office, as well as DEA Special Agents.Other agencies assisting in the joint investigation include the Federal Bureau of Investigation, Homeland Security Investigations, Internal Revenue Service Criminal Investigation, Department of Public Safety (DPS), Kilgore Police Department, Longview Police Department, Gregg County Sheriff’s Office, Smith County Sheriff’s Office, Tyler Police Department, and the Harris County Sheriff’s Office. This case is being prosecuted by Assistant U.S. Attorney Mary Ann Cozby.
A grand jury indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Dingmans Ferry Man Charged with Assaulting A Federal Law Enforcement Officer at the Delaware Water GapRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania, announced that a felony Criminal Information charging Brian Michael Herdman, age 52, of Dingmans Ferry, Pennsylvania, was filed in the United States District Court in Scranton, Monday.
According to United States Attorney Peter J. Smith, Herdman was charged with allegedly assaulting a United States Park Ranger at the Delaware Water Gap National Recreational Area on September 4, 2013.
The investigation was conducted by the United States Park Service and Federal Bureau of Investigation. The case is assigned to Assistant United States Attorney Todd K. Hinkley.
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 eight years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Detroit Man Convicted of Oxycodone DistributionRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistFollow us on Twitter @NDWVnews
WHEELING, WEST VIRGINIA – A Michigan man has been convicted of distributing painkillers in Northern West Virginia.
U.S. Attorney William J. Ihlenfeld, II, announced that MALCOLM TYLER, age 36, of Detroit entered a plea of guilty before Judge Frederick P. Stamp, Jr. to “Conspiracy to Distribute Oxycodone” in the Wheeling area from late 2011 to Spring of 2012. TYLER admitted to being a source of supply of painkillers for a Wheeling-area drug dealer, who then redistributed the pills locally.
TYLER is in custody pending sentencing and faces up to 20 years in federal prison. As a result of this conviction TYLER violated his state parole and will face prison time in Michigan once he has completed his federal sentence.
The TYLER case was prosecuted by Assistant United States Attorney Randolph J. Bernard and was investigated by the Ohio Valley Drug & Violent Crime Task Force, consisting of officers and agents from the Wheeling Police Department, the Ohio County Sheriff’s Department, West Virginia State Police-BCI, and the Drug Enforcement Administration.
U.S. Attorney Ihlenfeld also announced that five individuals were sentenced and one other entered a guilty plea. The following individuals were sentenced by Chief Judge John Preston Bailey:
JAMES GREATHOUSE, age 23, of Wheeling, was sentenced to 85 months in prison and three years of supervised release as a result of his conviction for “Felon in Possession of a Firearm.” GREATHOUSE was remanded to the custody of the United States Marshal pending designation to a Federal institution. The case prosecuted by Assistant United States Attorney Stephen L. Vogrin and investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
MONTRELL L. BLACK, also known as “SLIM”, age 20, of Wheeling, was sentenced to 46 months in prison and three years of supervised release for “Conspiracy to Distribute Crack Cocaine” and “Felon in Possession of a Firearm.” BLACK was remanded to the custody of the United States Marshal pending designation to a Federal institution.
DANIEL R. ROBERTSON, age 28, was sentenced to 24 months in prison and three years of supervised release for the “Distribution of Oxymorphone.” ROBERTSON was remanded to the custody of the United States Marshal pending designation to a Federal institution.
The BLACK and ROBERTSON cases were prosecuted by Assistant United States Attorney Randolph J. Bernard and investigated by the Marshall County Drug Task Force, which includes officers and agents from the Moundsville Police Department, the Marshall County Sheriff’s Department, and the Drug Enforcement Administration.
CHRISTIAN E. IVERSON, age 26, of New Martinsville, was sentenced to 24 months in prison and three years of supervised release for “Felon in Possession of a Firearm.” IVERSON, who is free on bond, will self-report to the designated Federal institution on January 8, 2014. This case was investigated by the New Martinsville Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives.
MICHAEL RUNYON, age 33, of Bridgeport, Ohio, was sentenced to 15 months in prison and five years of supervised release for “Failure to Update Sex Offender Registration.” RUNYON, who is free on bond, will self-report to the designated Federal institution on January 8, 2014. This case was investigated by the United States Marshals Service.
The IVERSON and RUNYON cases were prosecuted by Assistant United States Attorney David J. Perri.
CODY G. ROBERTSON, age 29, of Hundred, West Virginia, entered a plea of guilty before Magistrate Judge James E. Seibert to “Possession of Child Pornography.” ROBERTSON, who is free on bond pending sentencing, faces up to 10 years in prison and lifetime supervision. This case was prosecuted by Assistant United States Attorney Robert H. McWilliams, Jr. and was investigated by the Federal Bureau of Investigation. ROBERTSON will be sentenced once a pre-sentence investigation report has been completed.
Denver Man Sentenced for Possession of Child Pornography He Ordered over the Internet Which Was Delivered via United States MailRead the Press Release
Torture table was found in house of defendant when authorities executed search warrant
DENVER -- Clifford Eric Perian, age 53, of Denver, Colorado, was sentenced today by Senior U.S. District Court Judge Lewis T. Babcock to serve 82 months (over 6 years) in federal prison for possession of child pornography, the United States Attorney’s Office and the U.S. Postal Inspection Service announced. After serving his prison sentence, Perian was ordered to serve 10 years on supervised release. He will also be required to register as a sex offender. The defendant, who appeared at the hearing in custody, was remanded immediately after the sentencing was concluded.
Perian was first charged by Criminal Complaint on May 24, 2013. He was then indicted by a federal grand jury in Denver on June 18, 2013. He pled guilty before Senior Judge Babcock on September 17, 2013. He was sentenced on December 10, 2013.
According to court documents, including the affidavit in support of the Criminal Complaint, the indictment, and the stipulated facts contained in the plea agreement, based on a law enforcement tip, the United States Postal Inspection Service (USPIS) began an investigation into Clifford Eric Perian, and determined that he had on multiple occasions purchased several child pornography films. With the help of the National Center for Missing and Exploited Children (NECMEC), the United States Postal Inspection Service (USPIS) investigated numerous CyberTipLine reports relating to emails and online postings by an individual using three different email addresses going back as far as November 11, 2007. The NCMEC and the USPIS were able to establish that evidence existed indicating that all three accounts were used by Clifford Perian. In the postings, Perian was soliciting parents of minor boys or looking for minor volunteers to be subjected to various acts of sexual torture and/or abuse.
On May 23, 2013, Postal Inspectors executed a search warrant at the residence of Perian in Denver. Inspectors found the bondage and sexual paraphernalia Perian boasted about online. They found DVD’s containing child pornography or child erotica, as well as a home-made “torture table” with which to tie down and immobilize others. Computers were also seized. Following the execution of the search warrant, Postal Inspectors contacted Perian. Investigators then determined that Perian ordered videos online, and then received them in the U.S. Mail. It was also determined that Perian received images of young males under the age of 18 engaged in sexual activity with male adults through internet chat rooms and via email. There were also allegations that Perian sexually touched and was sexually touched by at least three boys ages 16 to 17 in approximately 2004 through 2006. Law enforcement also determined that Perian had been to local water parks taking non-explicit pictures of young boys he did not know under the age of 18.
“This defendant was focused on the physical torture of young children,” said U.S. Attorney John Walsh. “Not only did he possess images of child torture, he admitted to molesting boys, and Postal Inspectors found a ‘torture table’ in the basement of his home. His prison sentence clearly will protect our children from this predator.”
“We continued to aggressively investigate, apprehend and assist in the prosecution of individuals who seek to exploit children via the U.S. Mail,” said Adam P. Behnen, Inspector in Charge, U.S. Postal Inspection Service, Denver Division. “It is imperative that we identify and prosecute these predators to stop the further exploitation of children.”
This case was investigated by the U.S. Postal Inspection Service.
Perian was prosecuted by Assistant U.S. Attorney Valeria Spencer.
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."
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Defendant Sentenced to 216 Months for Methamphetamine Trafficking ConspiracyRead the Press Release
KANSAS CITY, KAN. - A defendant has been sentenced to 216 months in federal prison for his role in a methamphetamine trafficking organization that operated in the Kansas City metro area, U.S. Attorney Barry Grissom said today.
Juan Carlos Chirinos, 30, Independence, Mo., was sentenced Monday in U.S. District Court in Kansas City, Kan. Chirinos pleaded guilty to one count of conspiracy to distribute methamphetamine. In his plea, he admitted that in 2009 he his co-defendants sold methamphetamine to agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives who were working undercover.
Investigators bought methamphetamine from Chirinos and other conspirators in 2009 on May 27, June 25, July 2, July 16, July 28, Sept. 17 and Oct. 15.
Co-defendants include:
Susan Friend, who was sentenced to 144 months.
Xavier Garza, who was sentenced to 75 months.
Russell Loomis, who was sentenced to 72 months.
Grissom commended the Bureau of Alcohol, Tobacco, Firearms and Explosives and Special Assistant U.S. Attorney Trent Krug for their work on the case.Chinese National Sentenced to 57 Months' Incarceration for Attempting to Illegally Export Aerospace-Grade Carbon FiberRead the Press Release
Earlier today at the federal courthouse in Brooklyn, New York, Ming Suan Zhang, a citizen of the People’s Republic of China, was sentenced today to 57 months’ incarceration for violating the International Emergency Economic Powers Act by attempting to export high-grade carbon fiber from the United States to China. Zhang attempted to negotiate a long-term contract for massive quantities of the controlled commodity, which he asserted was to be provided to a Chinese company involved in the development of a military aircraft. Zhang was arrested after traveling to the United States to meet with an undercover agent (“UC”) in an effort to obtain a sample of the specialized fiber, which has applications in the defense and aerospace industries and is therefore closely regulated by the United States Department of Commerce.
The sentence was announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; John Carlin, Acting Assistant Attorney General for National Security; James T. Hayes, Jr., Special Agent-in-Charge, U.S. Immigration and Customs Enforcement, Homeland Security Investigations (HSI), New York; and Sidney Simon, Special Agent-in-Charge, U.S. Department of Commerce (DOC), Office of Export Enforcement, New York Field Office.
"The defendant brazenly disregarded U.S. law in an attempt to procure a highly sought after commodity and provide it to a foreign power," stated United States Attorney Lynch. "Foreign governments are willing to go to great lengths to acquire potentially dangerous materials such as specialized carbon fiber composites, which are of high value in the development of advanced weapons programs. We and our law enforcement partners will continue to use all of the tools in our arsenal to protect our technology and maintain the national security of the United States and its allies." Ms. Lynch expressed her grateful appreciation to the U.S. Immigration and Customs Enforcement, Homeland Security Investigations, New York, and the U.S. Department of Commerce, Office of Export Enforcement, New York Field Office, for their outstanding work in this investigation.
Zhang came to the attention of federal authorities last year after two Taiwanese buyers, acting on his behalf, attempted to procure several tons of specialized carbon fiber, including Toray type M60-JB-3000-50B (“M60”), via Internet marketplace forums. Zhang met with one of the buyers in mainland China and directed him to purchase a large quantity of high-grade carbon fiber, which Zhang intended to provide to a customer in China. The buyers searched for a source of the commodity and contacted the UC. The UC informed the buyers that he was willing to negotiate a deal, but that a license from the U.S. government was required to export the M60 from the United States.
When Zhang’s agents failed to obtain and deliver a sample of the carbon fiber, Zhang became personally involved in the scheme. He ultimately contacted the UC and stated that he had an urgent need for the carbon fiber. Zhang indicated that his customer, an executive at a prominent Chinese military company, was involved in the test flight of a “jet fighter plane.” In an email to the UC in August 2012, Zhang explained:
Hello! Please find time to send me an email or call me to explain the situation, because the customer over here is rushing me. . . . On the 5th, [he] is handling the site of a new fighter aircraft test flight. He will return between the 10th and the 20th of next month. That’s why he requested that be done this month. . . . Thank you for your cooperation!
Zhang then obtained a passport to travel to the United States for a meeting with the UC and take possession of a sample of M60 carbon fiber, which would be shipped to China and analyzed to verify its authenticity. Zhang’s plan was obtain a steady supply of the high-grade fiber for export to China, totaling thousands of pounds. However, Zhang was placed under arrest after he arrived at the meeting with the UC.
Certain types of carbon fiber, such as the type that the defendant sought to acquire in this case, are closely controlled for nuclear non-proliferation and anti-terrorism reasons because they can be used to make ballistic missiles, aircraft, and nuclear centrifuges, among other things. The regulation of carbon fiber falls under the jurisdiction of the Department of Commerce, which reviews and controls the export of certain goods and technology from the United States to foreign countries. In particular, the Commerce Department has placed restrictions on the export of goods and technology that it has determined could make a significant contribution to the military potential or nuclear proliferation of other nations, or that could be detrimental to the foreign policy or national security of the United States. High grade carbon fiber has applications in specialized technology, including aerospace and nuclear engineering. In addition, certain carbon fiber-based composites, such as the material sought by the defendant, can be used in military aircraft.
The sentencing proceeding was held before by the Hon. Nicholas G. Garaufis at the United States District Court in Brooklyn, New York. The government's case was prosecuted by Assistant United States Attorneys Seth DuCharme and David Sarratt, with assistance from Trial Attorney David Recker of the Department of Justice Counterespionage Section. Assistance was also provided by Trial Attorney Dan E. Stigall of the Department of Justice Office of International Affairs.
The Defendant:
MING SUAN ZHANG
Age: 42Carbon County Man Pleads Guilty to Federal Cocaine Trafficking ChargesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a man from Carbon County pleaded guilty today before Senior United States District Judge Edwin M. Kosik to the charge of aiding and abetting the distribution of cocaine.
According to United States Attorney Peter J. Smith, Alexander Sommers, age 47, of Summit Hill, Carbon County, admitted to assisting others in distributing crack cocaine and powder cocaine in the Carbon County area between January 2011 and December 2012.
Previously, Victoria Argott, age 34, of Lansford, Carbon County, the former girlfriend of Sommers, was sentenced to 40 months in federal prison for participating in the same cocaine trafficking conspiracy.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Nesquehoning and Lansford Police Departments in Carbon County.
The case is being prosecuted by Assistant United States Attorney Robert J. O’Hara.
In this particular case, the maximum penalty under the federal statute is 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Monday 9 December 2013
Wichita Maintenance Technician Pleads Guilty to Stealing Equipment from EmployersRead the Press Release
WICHITA, KAN. – A Wichita maintenance technician has pleaded guilty to making more than $150,000 from selling equipment he stole from the companies where he worked, U.S. Attorney Barry Grissom said today.
Mark A. Lankford, 45, Wichita, Kan., pleaded guilty Monday in U.S. District Court in Wichita to two counts of wire fraud. In his plea, he admitted stealing equipment from two Wichita companies where he worked, Spirit Aerosystems and Fiber Glass Systems LP.Lankford was employed as an equipment maintenance technician for Spirit Aerosystems in Wichita from October 2010 to Sept. 5, 2011. During that time he stole computer parts from Spirit with a total value of more than $466,559. He used email to offer stolen parts for sale mainly to individuals in Owing Mills, Maryland. On April 25, 2011, he offered for sale an Allen Bradley model 1785-LT programmable controller, an Allen Bradley model 1771-DLC, an Allen Bradley model 1772-LXP, an Allen Bradley model 1772-TB2 and a Siemens model 6FC5303-OAB20-1AAO, all stolen from Spirit. Law enforcement officers recovered items worth approximately $454,435, leaving a remaining loss of more than $12,123.
From March 2008 to Oct 2010, Lankford worked as a maintenance mechanic for Fiber Glass Systems in Wichita. He stole computer parts from the company with a total value of more than $41,268. He offered stolen parts for sale on eBay including an Allen Bradley Controllogix Processor 7 slot system stolen from the company.
Lankford obtained a total of more than $154,824 from selling stolen parts.
Sentencing is set for Feb. 24. He faces a maximum penalty 20 years in federal prison and a fine up to $250,000 on each count.
Grissom commended the FBI and Assistant U.S. Attorney Jason Hart for their work on the case.
Waynesboro Chiropractor Pleads GuiltyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that a Waynesboro, PA chiropractor has pleaded guilty to charges stemming from a bogus automobile accident personal injury claim.
According to United States Attorney Peter J. Smith, Lawrence S. Herman, age 47, a resident of Frederick, Maryland and the owner/operator of “Herman Chiropractic” in Waynesboro, PA, pleaded guilty to a one count Information charging him with False Statements in Health Care Matters. Herman entered his guilty plea today in United States District Court in Harrisburg before the Honorable Sylvia Rambo in Harrisburg. The plea was entered by Herman pursuant to a plea agreement with the government.
The charges stem from a claim Herman submitted to the USAA insurance company in May 2012 for injuries allegedly suffered in an August 16, 2011 automobile accident in Maryland. In May of 2012 Herman supported his claim with records indicating he was treated by a chiropractor for neck and back injuries between August 2011 and January 2012. When USAA did not immediately honor the claim, Herman hired a Baltimore area law firm to demand $60,000 from USAA for reimbursement of his chiropractic treatment expenses; and for pain and suffering.During the guilty plea hearing, Herman admitted the chiropractic treatment records were false and were created, at his direction, by a chiropractor who worked for him in his Waynesboro office. To conceal the fact the chiropractor was his employee, the fraudulent treatment records were submitted to USAA under a fictitious business letterhead created by Herman.
Assistant U.S. Attorney Kim Douglas Daniel stated during the hearing that Herman was not injured in the accident and in fact participated in several 5K, 10K, Half-Marathon and Marathon foot races during the period when Herman was supposedly being treated for his injuries in late 2011.
The case was investigated by the Harrisburg Office of the FBI and is being prosecuted by Assistant United States Attorney Kim Douglas Daniel.
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 five years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Utah Resident Pleads Guilty to Filing False Claims for Tax Refunds Totaling $653,884Read the Press Release
Stanley J. Wardle, 65, of Spanish Fork, Utah, pleaded guilty today in the U.S. District Court in Salt Lake City to nine counts of filing false claims for income tax refunds, the Justice Department and Internal Revenue Service (IRS) announced. Wardle, who was indicted on Feb. 15, 2012, is scheduled to be sentenced before U.S. District Judge Dee Benson on Feb. 27, 2014.
According to the indictment, on or about Jan. 22, 2009, Wardle prepared and filed a false U.S. Individual Income Tax Return for the year 2008, in which he claimed a tax refund of $32,115. In addition, between Dec. 8, 2008 and May 13, 2009, he caused additional false claims for tax refunds to be made on behalf of others. In total, Wardle was involved in false claims for refunds totaling $653,884.
Wardle faces a statutory maximum sentence of five years in prison and a fine of up to $250,000 or twice the gross gain or loss caused by the defendant for each false claim charge.
Assistant Attorney General Kathryn Keneally for the department’s Tax Division commended the special agents of IRS - Criminal Investigation who investigated the case, and Tax Division Trial Attorneys Michael Romano and Stuart Wexler, who prosecuted the case.
U.S. Department of Labor Files Lawsuit Against St. James TearoomRead the Press Release
ALBUQUERQUE – The U.S. Department of Labor has filed a lawsuit against St. James Tearoom, Inc. and its owners, Mary Alice and Daniel Higbie, after an investigation by the Wage and Hour Division found that the defendants violated the Fair Labor Standards Act (FLSA). The lawsuit seeks to recover unpaid minimum wages, overtime, pay and liquidation damages totaling $304,000, as well as an injunction to permanently prohibit the defendants from committing future FLSA violations. The complaint was filed in the U.S. District Court for the District of New Mexico.
“When employers fail to pay the required minimum and overtime wages, it negatively impacts not just the workers and their families, but also other businesses and the community. Underpaying workers gives this business an unfair competitive edge against employers who abide by the law,” said Cynthia Watson, regional administrator for the division in the Southwest. “This lawsuit demonstrates that the department is fully committed to using all enforcement tools at its disposal to ensure that workers are paid all wages due under the laws we enforce.”
Investigators from the division’s Albuquerque District Office found that St. James Tearoom required that its dishwashers and serving staff join a tip pool, resulting in minimum wage violations. The mandatory tip pool included salaried managers, shift leaders, dishwashers, and other employees who are not eligible for tip pools, making the defendants’ entire tip pool arrangement invalid. Defendants also failed to keep accurate records of hours worked by employees, resulting in record-keeping violations.
Under the FLSA, the employer may consider tips as part of wages, but the employer must pay at least $2.13 per hour in direct wages. The employer who elects to use the tip credit provision must inform the employee in advance and must show that the employee receives at least the applicable minimum wage of $7.25 when direct wages and tip credit are combined. If an employee’s tips, combined with the employer’s direct wages of at least $2.13 an hour do not equal the minimum hourly wage, the employer must make up the difference. Employees must retain all their tips, except to the extent that they participate in a valid tip pool of sharing arrangement.
Colleen B. Nabhan of the Office of the Solicitor, U.S. Department of Labor, and Assistant U.S. Attorney Michael H. Hoses of the District of New Mexico are litigating the case on behalf of the Labor Department.
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Indictment
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U.S. Attorney Tackles Drug Dealing Around Schools in TenderloinRead the Press Release
SAN FRANCISCO – Ten individuals have been indicted by a federal grand jury on charges of drug trafficking within 1,000 feet of schools in San Francisco’s Tenderloin District, United States Attorney Melinda Haag and DEA Special Agent in Charge Jay Fitzpatrick, announced.
The ten individuals are:
- Alfred Craney, United States v. Craney, CR-13-0752-CRB
- Ivan Speed, United States v. Speed, CR-13-0753-EMC
- Latoya Jackson, United States v. Jackson, CR-13-0754-THE
- Angela Jones, United States v. Jones, CR-13-0755-RS
- Saquita Nash, United States v. Nash, CR-13-00757-THE
- Mellina Williams, United States v. Williams, CR-13-00758-WHO
- Shaneka Clay, United States v. Clay, CR-13-00759-RS
- Cassie Roberts, United States v. Roberts, CR-13-00760-CRB
- Jamesha Harris, United States v. Harris, CR-13-00761-CRB
- Lori Spiller, United States v. Spiller, CR-13-00768-WHO
According to the charging documents, the defendants are each charged in separate, one-count indictments alleging that they dealt cocaine base in the form of “crack” cocaine within 1,000 feet of elementary schools in the Tenderloin, in violation of 21 U.S.C. § 841(a)(1) and 860.
According to Haag, the cases are part of an ongoing relationship between her office, the U.S. Drug Enforcement Administration, the San Francisco Police Department, and the Tenderloin community. “There are thousands of children who live and go to school in the Tenderloin District,” commented United States Attorney Melinda Haag. “Those children deserve the same chance as children who live in other neighborhoods around San Francisco: the chance to go to and from school without having to navigate through crack deals on the way. That is why I have directed my office to work with the DEA and the San Francisco Police Department to aggressively prosecute drug trafficking in areas around Tenderloin schools.”
Haag stressed that more charges could be on the way. “Everyone who treats the Tenderloin as an open-air drug market should be on notice: law enforcement is paying attention. You won’t know when the next arrests will be, or which schools or street corners we’ll focus on next, but if you’re caught you will face significant time in federal custody.”
“DEA is committed to making San Francisco a safe place for the children and families who live here, and the citizens who work in or visit this great city. We are pleased to have partnered with the San Francisco Police Department and the US Attorney’s Office to bring Federal charges against these defendants. We hope these arrests send a clear message that we won’t tolerate drug trafficking in any of our neighborhoods,” said Jay Fitzpatrick, DEA Special Agent in Charge.
The ten defendants who have been indicted so far have all been arrested and arraigned in federal court in San Francisco, with the exception of Craney, who, according to prosecutors, is currently in state custody on unrelated charges.
The maximum statutory penalty for violating the federal drug-free school zone statute is 40 years in prison, with a minimum mandatory one year in jail, at least six years and up to life on supervised release, and a maximum fine of up to $2,000,000. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The prosecutions are the result of multiple investigations by the San Francisco Police Department, the San Francisco Field Division of the U.S. Drug Enforcement Administration and the United States Attorney’s Office for the Northern District of California.
Please note, an indictment contains only allegations against an individual and, as in all cases, the defendants listed above must be presumed innocent unless and until proven guilty.
Sergeant First Class Enters Guilty Plea to Bribery and Theft SchemesRead the Press Release
GREENVILLE – United States Attorney Thomas G. Walker announced that today in federal court, JAMES EDWARD TRAVIS pled guilty before United States Magistrate Judge Kimberly A. Swank to a Criminal Information charging him with demanding, seeking, and accepting bribes, in violation of Title 18, United States Code, Sections 201(b)(2)(A) and (B), and to theft of government property in violation of Title 18, United States Code, Sections 641 and 2.
The case was investigated by the Defense Criminal Investigation Service, the Office of the Special Inspector General for Afghanistan Reconstruction, and the United States Army Criminal Investigation Command, and the Federal Bureau of Investigation. Assistant U.S. Attorney Banumathi Rangarajan handled the prosecution of this case on behalf of the Eastern District of North Carolina.
United States Attorney Walker reflected, “Public corruption such as this defendant’s criminal conduct undermines our nation’s reconstruction efforts overseas and dishonors the sacrifice our military makes every day.”
According to the Criminal Information filed on November 13, 2013, and information presented in open court, JAMES EDWARD TRAVIS was a Sergeant First Class in the United States Department of the Army assigned to the Operational Detachment-Bravo for Alpha Company, 4th Battalion, 3rd Special Forces Group for a wartime deployment to Afghanistan. Between January 3, 2012, and October 4, 2012, TRAVIS was deployed to Afghanistan, working out of Forward Operating Base Sharana. During his deployment, TRAVIS acted as both a paying agent and a contracting officer representative. As a contracting officer representative, TRAVIS was responsible for, among other things, approving completion of contracts and then approving payments. TRAVIS was also in charge of contracting for cargo vehicles or “jingle trucks” to move supplies and equipment as well as small construction projects. TRAVIS accepted kickbacks from various vendors on a “quid pro quo” basis for various contracts. The kickbacks ranged from $4,000 to $7,000 per contract. TRAVIS received approximately $211,890 in kickbacks.
In addition, TRAVIS, another U.S. soldier, and a local Afghan worked together to steal fuel from FOB Sharana in Afghanistan. On multiple occasions, TRAVIS paid the other soldier to escort an Afghan driver to the fuel point on FOB Sharana, to load fuel into the Afghan’s tanker truck, and to escort the driver with the stolen fuel back off FOB Sharana. Agents determined that 182,815 gallons of fuel were stolen. Based on an average price of $2.31/gallon for JP-8 fuel, the loss from the fuel theft scheme to the government is estimated at $422,302.65.
“Defense Criminal Investigative Service (DCIS) Special Agent in Charge John F. Khin, Southeast Field Office, commented, "It is disheartening when a military member abandons his code of conduct and violates a position of trust for personal enrichment. The DCIS investigates fraud and corruption that undermines the integrity of the Department of Defense. We continue to aggressively investigate violators to preserve precious American taxpayer dollars and better support our Warfighters serving honorably and selflessly in Southwest Asia."
“American servicemen and women face dangerous situations every day; their lives should not be put at risk by fellow soldiers working for their own profit. James Edward Travis stole thousands of dollars meant to support efforts in Afghanistan, but he could not hide his crimes from the FBI and our military partners dedicated to upholding justice,” said John Strong, Special Agent in Charge of the FBI in North Carolina.
“Theft of fuel in a war zone is serious. Not only does it rob US taxpayers and damage the reconstruction effort, stolen fuel can also wind up in the hands of insurgents bent on harming Americans. There must be zero tolerance for this kind of crime -- and SIGAR is dedicated to ensuring that anyone engaging in this activity will face justice,” commented Special Inspector General for Afghanistan Reconstruction John F. Spoko.Scott Arthur Parent Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on December 6, 2013, before U.S. District Judge Donald W. Molloy, SCOTT ARTHUR PARENT, a 54-year-old resident of Lincoln, was sentenced to a term of:
- ison: 30 months
- ecial Assessment: $100
- pervised Release: 5 years
PARENT was sentenced in connection with his guilty plea to failure to register as a sexual offender.
In an Offer of Proof filed by Assistant U.S. Attorney Timothy J. Racicot, the government stated it would have proved at trial the following:
In August 2011, the United States Marshals Service received information that PARENT was believed to have left the State of Oregon and had been residing in the Lincoln area.
In 1996, PARENT was convicted of attempted rape in the State of Oregon. PARENT was advised that he was required to register as a sexual offender.
Upon release from prison, PARENT registered as a sex offender in Oregon. As part of the sex offender registration process, PARENT acknowledged his requirement as a sex offender to notify the appropriate authorities of any change of address, including relocation out of state. PARENT last registered in Oregon in 2004, and had failed to register anywhere since that time. PARENT ultimately traveled to Montana in approximately 2010, where he resided in Lincoln. PARENT failed to notify the appropriate authorities in Montana upon arrival.
The Montana Sexual and Violent Offender Registry confirmed that PARENT did not register as required by law. PARENT was required to register under the Sexual Offender Registration and Notification Act due to his conviction in Oregon. The Montana Sexual and Violent Offender Registry confirmed that PARENT was currently out of compliance with Montana's Sexual Offender Registry requirements and had been so since entering Montana in approximately 2010.
Because there is no parole in the federal system, the truth in sentencing guidelines mandate that PARENT will likely serve all of the time imposed by the court. In the federal system, PARENT does have the opportunity to earn a sentence reduction for good behavior. However, this reduction will not exceed 15% of the overall sentence.
The investigation was conducted by the United States Marshals Service.
Rochester Woman Sentenced to Federal Prison for Drug Trafficking and Firearms ChargesRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Tina Holley, 36, of Rochester, NY, who previously plead guilty to conspiracy to possess crack cocaine with the intent to distribute it and possessing a firearm in furtherance of drug trafficking crimes, was sentenced to seven years in prison and three years’ supervised release by U.S. District Court Judge David G. Larimer. Holley was also ordered to pay a $3,367.00 fine and a $200 Special Penalty Assessment.
Assistant U.S. Attorneys Craig Gestring and Charles E. Moynihan, who handled the case, stated that Holley was arrested when members of the Greater Rochester Area Narcotics Enforcement Team executed two narcotics search warrants at 399 Lake Avenue on April 6, 2010. Upon entering the location, officers encountered and arrested the co-defendant, Warren Love, at the threshold of the rear first floor apartment. Holley was not there at the time.
In searching the rear first floor apartment, law enforcement officers located and seized over nineteen grams of crack cocaine which was in the process of being packaged for street level sale. Officers also located paraphernalia associated with drug trafficking, including digital scales and glassine zip lock bags. In addition to these items, law enforcement officers located and seized two bullet proof vests and two handguns, one of which was loaded with ten rounds of ammunition.
In searching the rear second floor apartment, officers also located a sophisticated surveillance system which showed the area outside of 399 Lake Avenue through the use of strategically mounted surveillance cameras. Officers located, in the same apartment, paraphernalia related to drug trafficking, as well as a loaded 40 caliber rifle which was underneath a sofa. Finally, officers found Holley’s daughter playing with Love’s son in the living room in which they found the loaded rifle.
Holley was arrested several months later in Madison, Wisconsin, after a United States grand jury had returned an indictment charging Holley and Love with drug trafficking and related firearms offenses.
These convictions in federal court resulted from an investigation on the part of the Greater Rochester Area Narcotics Enforcement Team composed of law enforcement personnel from the Bureau of Alcohol, Tobacco, Firearms and Explosives under the direction of Resident Agent in Charge Scott Heagney, the Rochester Police Department, under the direction of Chief James M. Sheppard and Irondequoit Police Department, under the direction of Richard Boyan.Pittsburgh Man Pleads Guilty in Scheme to Get Oxycodone Through Fraudulent PrescriptionsRead the Press Release
PITTSBURGH - A Pittsburgh man pleaded guilty in federal court to one charge of violating federal narcotic laws, United States Attorney David J. Hickton announced today.
Christopher Nugent, 34, pleaded guilty to one count before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that Nugent conspired together with others, including Ryan Raithel and David Best, to obtain oxycodone by fraud, in that he passed a fraudulent oxycodone prescription at a pharmacy located in the Western District of Pennsylvania, thereby obtaining oxycodone pursuant to that fraudulent prescription. Ryan Raithel has pled guilty to conspiracy to distribute and possess with the intent to distribute oxycodone. David Best has pled not guilty to the charges against him.
Judge Schwab scheduled sentencing for May 13, 2014, at 10 a.m. The law provides for a total sentence of not more than four (4) years in prison, a fine of up to $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Eric S. Rosen is prosecuting this case on behalf of the government.
The Drug Enforcement Administration conducted the investigation that led to the prosecution of Christopher Nugent.