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Tuesday 26 November 2013
Sioux Falls Man Sentenced in Methamphetamine Conspiracy CaseRead the Press Release
United States Attorney Brendan V. Johnson announced that a Sioux Falls, South Dakota, man convicted of conspiracy to distribute 500 grams or more of methamphetamine was sentenced on November 25, 2013, by U.S. District Judge Karen E. Schreier.
Steven Michael Schumm, age 48, was sentenced to 240 months in custody to be followed by 10 years of supervised release. He was also fined $2,000 and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Schumm was indicted by a federal grand jury on May 8, 2013, for Conspiracy to Distribute a Controlled Substance. He pled guilty on September 3, 2013.
On April 16, 2013, a federal search warrant was executed on Schumm’s Sioux Falls residence. Packages of methamphetamine, over $30,000 in cash, and a loaded handgun were located and seized.
This case was investigated by the Sioux Falls Police Department, the South Dakota Division of Criminal Investigation, and the U.S. Drug Enforcement Administration. Assistant U.S. Attorney John E. Haak prosecuted the case.
Schumm was immediately turned over to the custody of the U.S. Marshals Service.Shiprock Man Sentenced to More Than Fourteen Years for Conviction on Involuntary Manslaughte, Assault and Firearms ChargesRead the Press Release
ALBUQUERQUE – Clay O’Brien Mann, 29, an enrolled member of the Navajo Nation who resides in Shiprock, N.M., was sentenced this afternoon to 171 months in federal prison followed by three years of supervised release for his conviction on involuntary manslaughter, assault and firearms charges. Mann also was ordered to pay $40,003.00 in restitution to the victims of his crimes.
Mann’s sentence was announced by Acting U.S. Attorney Steven C. Yarbrough, Special Agent in Charge Carol K.O. Lee of the Albuquerque Division of the FBI, and Director John Billison of the Navajo Nation Division of Public Safety.
Mann was arrested in July 2010, on a criminal complaint alleging that he killed a Navajo man and assaulted another Navajo man and a Navajo woman with a dangerous weapon on the Navajo Indian Reservation, on July 24, 2010. Mann subsequently was indicted and charged with first degree murder, two counts of assault with a dangerous weapon with intent to do bodily injury, two counts of assault resulting in serious bodily injury, and three counts of discharging a firearm in furtherance of an act of violence. Proceedings in the case were delayed by competency proceedings.
Trial of the case began on July 8, 2013, and concluded five days later when the jury returned a verdict finding Mann not guilty on the first degree murder charge but guilty on the lesser included charge of involuntary manslaughter. The jury also found Mann guilty on two counts of assault resulting in serious bodily injury and two counts of discharging a firearm in furtherance of an act of violence. It acquitted Mann on two counts of assault with a dangerous weapon with intent to do bodily injury and the third firearms charge. The court subsequently vacated the conviction on one of the firearms counts.
The evidence at trial established that, at approximately 4:00 a.m. on July 24, 2010, an inebriated Mann drove his car to his neighbor’s property and launched an artillery shell into the neighbor’s property where the neighbor and his friends were socializing. When Ames Joseph Jim and another man and a woman walked over to see what was going on, Mann fired a semi-automatic rifle at them, shooting Mr. Jim in the face and heart, the other man in the face and the woman in the neck. Mr. Jim died as a result of his injuries and the other two victims were seriously injured.
This case was investigated by the Farmington office of the FBI and the Shiprock office of the Navajo Nation Division of Public Safety and was prosecuted by Assistant U.S. Attorney Presiliano A. Torrez.
Sean Michael Vaira Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on November 26, 2013, before U.S. Magistrate Judge Carolyn S. Ostby, SEAN MICHAEL VAIRA, a 30-year-old resident of Billings, pled guilty to possession with intent to distribute methamphetamine. Sentencing has been set for March 13, 2014. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Joseph E. Thaggard, the government stated it would have proved at trial the following:
In early 2013, the Montana Division of Criminal Investigation (MDCI), the Drug Enforcement Administration (Drug Enforcement Administration), and Sidney Police Department began to investigate a drug trafficking network operating in Sidney and Fairview. That investigation revealed VAIRA was involved in the drug trafficking network;
On August 7, 2013, when interviewed by MDCI agents, VAIRA stated that, in approximately December 2012, he met a methamphetamine dealer based in Sidney.a VAIRA stated that between approximately late December 2012 or early January 2013 and mid-March 2013, he drove that drug dealer to meetings in Butte and Missoula at which the drug dealer obtained a total of approximately one and one-half pounds of methamphetamine and which the drug dealer then distributed in Big Timber and Sidney.
VAIRA stated that in approximately mid-April 2013, he obtained approximately seven grams of methamphetamine from a drug dealer in Fairview and distributed the methamphetamine.
VAIRA stated that, several days later, at the behest of that drug dealer, he drove to Butte and obtained one-half pound of methamphetamine. VAIRA stated he drove that methamphetamine to Sidney and distributed some of the drugs to the Fairview-based drug dealer and some of the drugs to others he knew in the Sidney area.
VAIRA stated that several days later, he drove to Butte and obtained another half-pound of methamphetamine, which he later distributed to the Fairview-based drug dealer and other drug dealers in the Sidney area.
VAIRA faces possible penalties of a mandatory minimum of 10 years in prison and could be sentenced to life, a $1,000,000 fine, and 3 years supervised release. .
Today's change of plea is a product of diligent work by the very dedicated agents who have been joined together under the banner of Project Safe Bakken. As the work of this team - which includes law enforcement professionals from all branches of local, state, and federal law enforcement - goes forward, the people of Montana and North Dakota can expect more cases from affected communities. That is the mission and commitment of Project Safe Bakken." said U.S. Attorney Michael W. Cotter.
This investigation was a part of Project Safe Bakken, which is a cooperative effort between the Drug Enforcement Administration (DEA), the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Bureau of Indian Affairs (BIA), the U.S. Border Patrol, the U.S. Marshals Service, the Environmental Protection Agency Criminal Investigation Division (EPA-CID), the Department of Homeland Security (DHS), the Montana Division of Criminal Investigation (MDCI), the Montana Highway Patrol, the North Dakota Bureau of Criminal Investigation (BCI), the Billings Police Department, the Yellowstone County Sheriff's Office, the Sidney Police Department, and the Idaho State Police.
Schenectady Man Charged with Receipt and Possession of Child PornographyRead the Press Release
Defendant Alleged to Have Received and Possessed
Approximately 600 Child Pornography FilesALBANY, NEW YORK – A two-count criminal complaint has been filed in the Northern District of New York charging HARRY GATES, age 47, of Schenectady, New York, with receipt and possession of child pornography, announced United States Attorney Richard S. Hartunian and Nicholas DiNicola, Assistant Special Agent-in-Charge, U.S. Immigration and Customs Enforcement, Homeland Security Investigations.1 If convicted, GATES faces at least five years of imprisonment and up to twenty years of imprisonment on the receipt of child pornography charge and up to ten years of imprisonment on the possession of child pornography charge as well as a maximum fine of $250,000. GATES is held without bond pending his preliminary hearing which has been scheduled for December 10, 2013 at 1:30 p.m. before the Honorable Christian F. Hummel, United States Magistrate Judge.
According to the complaint, between February 2012 and November 22, 2013, GATES searched for and downloaded several hundred still image and video files of child pornography onto his home computer using the Internet and file sharing programs.
This case is being investigated by Homeland Security Investigations. This case is being prosecuted by Assistant United States Attorney Rick Belliss.
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1The charge is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Rosebud Man Sentenced for Assaulting, Resisting, or Impeding Federal OfficersRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota, man convicted of Assaulting, Resisting, or Impeding Federal Officers was sentenced on November 25, 2013, by U.S. Magistrate Judge Mark A. Moreno.
Lawrence Gary, age 36, was sentenced to 90 days in custody with credit for time served and $25 to the Federal Crime Victims Fund.
Gary was indicted by a federal grand jury on June 12, 2013, and pled guilty to the charge on September 19, 2013.
The charge relates to an incident that occurred on July 25, 2012, when Rosebud Sioux Tribe Law Enforcement Officers responded to a complaint that the Defendant was driving while intoxicated. As a result, Gary was asked to step out of the car and perform sobriety tests. He refused to comply and the officers had to pull Gary from the car and place handcuffs on him. Gary was non-compliant, spun away from the officers, and lunged toward one of the officers before being restrained again and placed in a patrol car.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Marie H. Ruettgers.
Rosebud Man Sentenced for Assaulting, Resisting, or Impeding A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota, man convicted of Assaulting, Resisting, or Impeding a Federal Officer was sentenced on November 25, 2013, by U.S. Magistrate Judge Mark A. Moreno.
Anthony One Star, age 26, was sentenced to 60 days in custody and a $25 special assessment to the Federal Crime Victims Fund.
One Star was indicted for Assaulting, Resisting, Opposing, and Impeding a Federal Officer by a federal grand jury on September 17, 2013. He pled guilty on November 25, 2013.
The conviction stems from an incident in Mission on August 19, 2013, when One Star was intoxicated and walked into a home where he didn't belong. The home owner summoned law enforcement officers, and a Rosebud Sioux Tribe Law Enforcement Services Officer responded and found One Star sleeping on the kitchen floor. The officer awoke One Star, who apologized for being intoxicated but said that he just wanted to sleep, and he also indicated he was on probation and was not supposed to be drinking. The Officer attempted to take the One Star to jail for the violations, but One Star did not cooperate and he spat upon the officer.
This case was investigated by Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Tim Maher prosecuted the case.
One Star was immediately turned over to the custody of the U.S. Marshals Service.
Ringleader Sentenced to 35 Years in Prison on Sex Trafficking ChargesRead the Press Release
Threatened to Assault Prostitutes and Competitor Pimps, and Made Death Threats to Protect and Maintain Prostitution Businesses in Annapolis and Easton
Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced German de Jesus Ventura, age 35, a citizen of El Salvador and an illegal alien residing in Capitol Heights, Maryland, to 35 years in prison, followed by five years of supervised release, for conspiring to transport and entice females to travel interstate for prostitution; transporting females for prostitution; enticing females to travel interstate for prostitution; sex trafficking by force, fraud and coercion; and possessing a gun in furtherance of sex trafficking.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Michael Pristoop of the Annapolis Police Department; and Easton Police Department Chief David A. Spencer.
“Since 2008, HSI Baltimore special agents have been investigating the illicit activities of German Ventura’s brothel organization, which operated in Maryland, the District of Columbia, Virginia and New York,” said William Winter, special agent in charge of HSI Baltimore. “As a result of this investigation, a total of five individuals were arrested for federal violations and 14 were arrested for state violations. This sentencing sends a message that HSI and other law enforcement members of the Maryland Human Trafficking Task Force are committed to working together to investigate human trafficking and combating the violence that sex trafficking organizations are bringing to our communities, as well as working with our local non-governmental, community-based and faith-based organizations to identify, rescue and assist victims of trafficking.”
According to evidence presented during his two week trial, since at least March 2008 through November 2010, Ventura and Kevin Garcia Fuertes ran brothels in Annapolis and Easton, Maryland. Ventura, the ringleader, employed Fuertes to advertise and manage the brothels, and the two men shared the cash proceeds of the prostitution business. The defendants recruited and employed prostitutes, many of whom were aliens present in the U.S. unlawfully. Ventura arranged for vans and other vehicles to transport females within Maryland and across state lines to engage in prostitution. Ventura assaulted and threatened to use violence against one prostitute to coerce her continued participation in prostitution, from which Fuertes financially benefitted.
Ventura and Fuertes also threatened to use violence against competitor pimps. On August 3, 2010, Ventura used a cell phone to send three threatening multi-media messages depicting a semi-automatic pistol, the pistol’s magazine and an angel of death statue to a competitor pimp. On November 3, 2010, Ventura arranged for the assault of a competitor pimp with a pistol grip shotgun. In addition to these threats, Ventura reported criminal activity of the pimps in order to divert the attention of law enforcement and facilitate his own prostitution activities. On March 13, 2010, Ventura falsely reported a kidnaping and rape to the police in order to falsely implicate another pimp with the crimes. Ventura also claimed responsibility for the murder of competitor pimp Ricardo Ramirez Riva on September 13, 2008, in order to intimidate the competition, as well as his own employees and prostitutes.
Ventura also sought to intimidate members of the community who assisted his prostitutes. On September 1, 2009 Ventura called and threatened to kill a family who provided temporary housing to one of his prostitutes after she was arrested. He also poured gasoline on their apartment door and smashed windows from their vehicle.
On July 7, 2010, law enforcement executed a search warrant at one of Ventura’s brothels located at 318 E. Dover Street in Easton and arrested Isidro Jimenez-Sanchez and Wibert Herrera-Aranda who were working at the brothel.
On September 10, 2013, Judge Quarles sentenced Kevin Garcia Fuertes, a/k/a Kerlin Esquivel-Feuntes, age 26, a citizen of Honduras and an illegal alien residing in Annapolis, Maryland, and Richmond, Virginia, to 19 years in prison. Fuertes was also convicted at trial of the conspiracy and sex trafficking charges.Jose Antonio Reyes-Maradiaga, age 30; Isidro Jiminez-Sanchez and Wibert Alejandro Herrera-Aranda, both age 34, of Easton, Maryland, previously pleaded guilty to their participation in the scheme. These defendants advertised Ventura’s brothels, made appointments for the prostitutes and collected money. Reyes also helped to transport the women to the brothel locations, and purchased supplies. Jiminez-Sanchez, a Mexican citizen who entered the United States illegally, was sentenced to a year and day for transporting prostitutes, and upon completion of his sentence, was deported from the U.S. to Mexico. Herrera-Aranda was sentenced to 18 months in prison and Reyes was sentenced to time served. Both were also deported.
This case originated with the Annapolis Police Department and was subsequently investigated by members of the Maryland Human Trafficking Task Force formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit www.justice.gov/usao/md/Human-Trafficking/index.html.
United States Attorney Rod J. Rosenstein praised the Annapolis and Easton Police Departments and HSI Baltimore for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys P. Michael Cunningham and Rachel M. Yasser, who prosecuted the case.
Richmond Man Pleads Guilty to Investment FraudRead the Press Release
Novmber 26, 2013RICHMOND, Va. –Stephen Maurice Burks, 64, of Richmond, Va., pleaded guilty today to Mail Fraud, involving a $1.2 million investment scheme.
Dana J. Boente, Acting United States Attorney for the Eastern District of Virginia, made the announcement after the plea was accepted by United States Magistrate Judge M. Hannah Lauck.
Burks was indicted on August 20, 2013, by a federal grand jury. He faces a maximum penalty of 20 years of imprisonment when he is sentenced by Senior United States District Court Judge Robert E. Payne on February 20, 2014.
In a statement of facts filed with the plea agreement, Burks admitted to acting as the Chief Executive Officer of Chelsea Financial Group, LLC (CFG), which operated from locations in Maryland and Richmond, Virginia. Burks admitted that from at least as early as January 2008 through January 2013, both individually and through CFG, he offered and sold investments in several different investment schemes. These schemes included, but were not limited to: Forex (foreign currency exchange) trading; stock market investments; oil investments; payday lending franchises; and group homes. Burks admitted that he made material misrepresentations and omissions to investors about his background, including false claims that he was an investment professional, registered investment advisor, and commodities trading advisory. Burks also failed to disclose to investors that he was a convicted felon. Throughout all of the various schemes, Burks obtained at least $1.2 million in investor funds and failed to disclose that he retained at least 25% of funds for personal and/or non-investment-related use.
This case was investigated by the United States Postal Inspection Service, Federal Bureau of Investigation, and Internal Revenue Service – Criminal Investigative Division, with significant assistance from the U.S. Commodities Futures Trading Commission, Virginia State Corporation Commission, and the U.S. Department of State, Diplomatic Security Service. Assistant United States Attorney Jessica D. Aber is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Providence Felon Detained on Federal Drug and Firearm ChargesRead the Press Release
PROVIDENCE, R.I. – Darren Monteiro, 26, of Providence, has been ordered detained in federal custody on drug and firearm charges following an investigation into Monteiro’s alleged drug trafficking activities by the Providence Police Department’s Narcotics and Organized Crime Bureau, with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), announced United States Attorney Peter F. Neronha, Providence Police Chief Hugh T. Clements, Jr., and Daniel J. Kumor, Special Agent in Charge of ATF’s Boston Field Division.
According to an affidavit in support of a federal criminal complaint and arrest warrant filed with the U.S. District Court, it is alleged that on four occasions, between November 8 and November 19, 2013, Monteiro sold packets of heroin for $40 each to an undercover Providence Police detective. In addition, it is alleged that Monteiro arranged with the undercover detective to purchase a firearm and ammunition he allegedly intended to use to commit an armed robbery. Monteiro was arrested on November 21, 2013, moments after he allegedly took possession of a semi-automatic handgun and ammunition.
Monteiro, who was ordered detained on Friday by U.S. District Court Magistrate Judge Lincoln D. Almond, is charged by way of a criminal complaint with four counts of heroin distribution and one count each of possession with the intent to distribute heroin, being a felon in possession of a firearm and possession of a firearm in furtherance of a drug trafficking crime of violence.
A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted as charged, Monteiro faces statutory penalties of up to 20 years imprisonment followed by a minimum of 3 years up to lifetime supervised release and a fine of up to $2,000,000 on each count of heroin distribution; up to 20 years imprisonment followed by a minimum of 3 years up to lifetime supervised release and a fine of up to $2,000,000 for possession with the intent to distribute heroin; up to 10 years imprisonment followed by up to 3 years supervised release and a fine of up to $250,000 for being a felon in possession of a firearm; and a sentence of 5 years to life imprisonment, to be served consecutive to all other sentences imposed, followed by up to 3 years supervised release and a fine of up to $250,000 for possession of a firearm in furtherance of a drug trafficking crime of violence.
The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah.
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/
Contact: 401-709-5357
[email protected]Pocatello Man Pleads Guilty to Assaulting an Officer on the Fort Hall Indian ReservationRead the Press Release
POCATELLO – Lyle Plentywounds, Sr., 58, of Pocatello, Idaho, pleaded guilty today in United States District Court to assaulting an officer, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, on May 2, 2013, a Fort Hall Police officer responded to a report that Plentywounds was intoxicated and creating a disturbance at a residence on the reservation. After making contact and determining that Plentywounds was in fact intoxicated, the officer attempted to gain entry to the residence but was blocked by the defendant. Plentywounds told the officer he was a martial artist and an ex-convict and that he “hated cops. He then kicked the officer in the chest. When the officer attempted to arrest him, Plentywounds struck him in the face with his hand.
The charge of assault on an officer is punishable by up to eight years in prison, a maximum fine of $250,000, and up to three years of supervised release.
Plentywounds is scheduled to be sentenced on February 18, 2014, before Chief U.S. District Judge B. Lynn Winmmill at the federal courthouse in Pocatello.
The case was investigated by the Fort Hall Police Department.
Phoenix Man Found Guilty of Conspiring to Distribute Methamphetamine and HeroinRead the Press Release
DES MOINES, IA - On November 26, 2013, Ismael Corrales Portillo, a 42 yearold resident of Phoenix, Arizona, was found guilty of conspiracy to distribute 500 grams or more of methamphetamine, and one kilogram or more of heroin; possession with intent to distribute 500 grams or more of methamphetamine; and possession with intent to distribute one kilogram or more of heroin, announced Nicholas A. Klinefeldt, U.S. Attorney for the Southern District of Iowa. The trial was presided over by United States District Court Judge John A. Jarvey. All three charges carry a potential sentence of up to life in prison, a fine up to $10 million, and at least five years of supervised release. All three charges also carry a mandatory minimum sentence of ten years in prison. A sentencing date has not yet been set.
The evidence produced at trial showed that Corrales Portillo worked together with his brother, Jose Corrales Portillo, to transport from Phoenix, Arizona, approximately three pounds of methamphetamine and seventeen pounds of heroin. On July 13, 2013, the brothers stopped in Des Moines, Iowa to deliver three pounds of methamphetamine.
While in Des Moines, the Narcotics Section of the Des Moines Police Department conducted an operation that resulted in the seizure of the heroin and methamphetamine, which were concealed inside the gas tank of a vehicle.
Jose Corrales Portillo pled guilty on November 20, 2013, and the sentencing proceeding is scheduled for March 27, 2014.
The investigation was conducted by the Des Moines, Iowa, Police Department, with assistance from the Drug Enforcement Administration and the Mid-Iowa Narcotics Enforcement Task Force. The case was prosecuted by the U.S. Attorney's Office for the Southern District of Iowa.
(Download Press Release )
Panama City Woman Sentenced for Theft of Government FundsRead the Press Release
TALLAHASSEE, FLORIDA– Selena Noblit, 43, of Panama City, Florida, was sentenced today by U.S. District Judge Robert L. Hinkle to a one-year term of probation, 192 hours of community service, and a $100 special monetary assesment for the theft of over $11,000 in government funds belonging to the Apalachicola Housing Authority.
The defendant pleaded guilty June 4, 2013, to a charge of theft of government funds. Noblit was charged after an investigation and audits conducted by the U.S Department of Housing and Urban Development (HUD) and the Apalachicola Housing Authority (AHA), which revealed that from June 2011 through May 2012, she had improperly used a government credit card for personal purchases of more than $11,000. The purchases included charges for clothing, auto repairs, personal travel, and food, none of which were authorized or for business expense. The credit card bill, including the defendant’s personal purchases, was then paid from HUD federal funds allocated to the AHA.
The case was prosecuted by Assistant U.S. Attorney Eric Mountin.
Oregon Man Sentenced for Conspiracy and Possession with Intent to Distribute A Controlled SubstanceRead the Press Release
United States Attorney Brendan V. Johnson announced that a Bend, Oregon, man convicted of Conspiracy and Possession with Intent to Distribute a Controlled Substance was sentenced on November 25, 2013, by U.S. District Judge Roberto A. Lange.
Glenn Shea, age 21, was sentenced to two years of probation with four months home confinement concurrent on each count, a $1,000 fine on each count, and a $100 special assessment to the Federal Crime Victims Fund on each count.
Shea was indicted for the above charges by a federal grand jury on March 13, 2013. He pled guilty on November 25, 2013.
Between September 1, 2012 and September 15, 2012, Shea, along with two others, transported several pounds of marijuana for distribution. Shea was aware that the vehicle he traveled in contained marijuana and shared in the proceeds of the sale.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Jay Miller prosecuted the case.
New York Man Sentenced in Manhattan Federal Court to Three Months in Prison for Exporting High-Grade Carbon Fiber to ChinaRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that PETER GROMACKI, a U.S. citizen, was sentenced in Manhattan federal court to three months in prison for exporting high-grade carbon fiber to China. GROMACKI pled guilty in July 2013 before United States District Judge Edgardo Ramos to one count of conspiracy to violate the International Emergency Economic Powers Act (“IEEPA”), one count of violating the IEEPA, and one count of making false statements. Judge Ramos also imposed today’s sentence.
According to the Indictment, statements made during GROMACKI’S guilty plea proceeding, and the Government’s sentencing submission:
From at least 2006 through 2012, GROMACKI conspired to transship carbon fiber from the United States to China, including a shipment of U.S.-made, high-grade T-700 carbon fiber. T-700 carbon fiber has applications in aerospace and nuclear engineering. High-grade carbon fiber is particularly well-suited for gas centrifuges used for uranium enrichment.
In order to evade United States restrictions on export of this type of carbon fiber to China, GROMACKI enlisted the help of co-conspirators in Europe and China and made false statements on U.S. customs forms.
GROMACKI, 54, resides in Orange County, New York.
Mr. Bharara praised the investigative work of the New York Offices of the Federal Bureau of Investigation; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and the Office of Export Enforcement, Bureau of Industry and Security, of the U.S. Department of Commerce. Mr. Bharara also thanked the U.S. Department of Justice’s National Security Division.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Jason P.W. Halperin and Andrea L. Surratt are in charge of the prosecution.
Nashville Gang Member Convicted of Drug Trafficking and Firearms Offenses Near Elementary SchoolRead the Press Release
Christopher Ray Moody, 29, of Nashville, Tenn., was found guilty yesterday by a federal jury of multiple drug trafficking and firearms offenses, announced David Rivera, U.S. Attorney for the Middle District of Tennessee. Moody’s crimes were committed from 2008 – 2011 and many were committed in and around specially protected areas around schools and public housing.
“This case is an example of an individual who apparently has no intention of turning away from a lifestyle of crime, as evidenced by his plans to continue dealing drugs after being released from jail,” said U.S. Attorney David Rivera. "The defendant faces a substantial sentence that, if imposed, should reduce the threat of drug dealing and illegal gun possession in this community."
According to the proof at trial, Moody was a street gang member and repeatedly cooked multiple ounces of crack cocaine for distribution at a residence near Jones Paideia Elementary School, in Nashville. Moody kept firearms at this location, including a compact semi-automatic style firearm which he had previously obtained in a drug transaction.
Moody was arrested on unrelated state charges in April 2009. While he was incarcerated on these charges, investigators determined that Moody had instructed his girlfriend to hold his drugs and a gun for him so that he could start drug trafficking again when he completed his state sentence. Moody was released from custody in May 2010 and the evidence showed he went back to drug trafficking at the same residence.
A federal search warrant was issued in February 2011 and resulted in the Moody’s arrest, as well as the seizure of evidence showing that he cooked crack cocaine. Shotgun shells were also found at the home and the trial proof showed that Moody possessed a shotgun at that location during drug deals. Moody was also a previously convicted felon, and was found to be illegally in possession of firearms and ammunition.
Moody will be sentenced on February 14, 2014, by Chief Judge William Haynes, Jr. Because of Moody’s prior felony record involving multiple drug trafficking felonies and a robbery-related conviction, he is exposed to a sentence of up to life in prison. The investigation was conducted by the FBI and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorneys Sunny A.M. Koshy and Lynne T. Ingram represented the United States.
Mission Man Indicted on Assault ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota, man has been indicted by a federal grand jury for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury.
Celso Estrada, Jr., age 49, was indicted on November 19, 2013. He appeared before U.S. Magistrate Judge Mark A. Moreno on November 25, 2013, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in custody and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
Estrada is accused of stabbing two people at an apartment complex in Mission on November 16, 2013. The charges are merely accusations and Estrada is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Tim Maher is prosecuting the case.
Estrada was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
McLaughlin Woman Sentenced for Assaulting, Resisting and Impeding A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota, woman convicted of Assaulting, Resisting and Impeding a Federal Officer was sentenced on November 21, 2013, by U.S. Magistrate Judge William D. Gerdes.
Rhonda Brown, age 41, was sentenced to four months, 1 year of supervised release and a $25 special assessment to the Federal Crime Victims Fund.
Brown was indicted for the above charge by a federal grand jury on July 17, 2013. She pled guilty to a Superseding Information on November 21, 2013.
The conviction stems from an incident occurring on July 10, 2013, in which Brown’s car was stuck in a ditch. When law enforcement arrived, she became belligerent and fled the scene. A Bureau of Indian Affairs Officer Lieutenant located Brown in a field, but Brown ignored his commands and began to run away. The Lt. gave pursuit on foot and after a short chase, caught up to Brown who was lying face down with her hands underneath her. He ordered Brown to place her hands behind her back, but she continued to resist. The Lt. then grabbed Brown’s elbow, and she rolled on her left side, exposing a knife in her right hand. After several failed attempts to get Brown to comply, the Lt. deployed his taser, striking Brown on the shoulder.
The investigation was conducted by the Bureau of Indian Affairs. Assistant U.S. Attorney Troy R. Morley prosecuted the case.
Man Who Stole Expensive Jewelry and Sold It to Las Vegas Shops Sentenced to Two Years in PrisonRead the Press Release
LAS VEGAS – A man who stole hundreds of thousands of dollars of expensive jewelry from persons at golf courses and sold it at trade shows, jewelry stores and pawn shops, has been sentenced to two years in prison, three years of supervised release, and ordered to pay $300,895 in restitution, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Jeffrey Cochran, 47, of Las Vegas, was sentenced on Monday, Nov. 25, 2013, by U.S. District Judge Jennifer A. Dorsey. Cochran pleaded guilty in July to two counts of possession and sale of stolen goods. He must self-report to prison by Feb. 25, 2014.
The case was investigated by the FBI and the Las Vegas Metropolitan Police Department Special Investigations Section, and was part of a federal and local law enforcement effort to combat organized retail theft. The case was prosecuted by Assistant United States Attorney Christina M. Brown.
From about Sept. 15, 2010, to March 10, 2012, Cochran stole expensive jewelry, particularly Tag Heuer and Rolex watches, from individuals at golf courses in other states and transported the goods to Las Vegas for sale at jewelry and pawn stores. Cochran also stole jewelry from individuals at golf courses in Las Vegas and transported the stolen jewelry to other states to sell at trade shows and jewelry and pawn stores.Man Sentenced for Bribing Federal OfficialRead the Press Release
ATLANTA – Hakeem Omar has been sentenced on charges arising out of a scheme to bribe an immigration official.
“Many dream of obtaining their United States citizenship and pursue that dream lawfully,” said United States Attorney Sally Quillian Yates. “This defendant attempted to subvert the immigration process by offering bribes to a federal agent. Now, after paying thousands of dollars in bribes, he is headed to prison and has been stripped of his fraudulently obtained citizenship.”
“Quite simply, America's immigration system is not for sale," said David P. D’Amato, special agent in charge of ICE’s Office of Professional Responsibility (OPR) for the Southeast Region. "OPR works closely with partners like the U.S. Attorney’s Office to ensure that those who seek to compromise the integrity of our nation's legal immigration system pay a price for their crimes."
According to United States Attorney Yates, the charges and other information presented in court: Beginning in September 2010, and continuing until at least July 2012, Omar and co-defendant Ibrahim Barrie paid a series of bribes to a special agent with the Department of Homeland Security who was working undercover. Over a two-year period, Omar paid thousands of dollars to the undercover special agent for what he believed was assistance with his immigration status in the United States, including obtaining United States citizenship through naturalization.
Hakeem Omar, 31, of Atlanta, Ga., was sentenced by United States District Judge Steve C. Jones to two years in federal prison and was stripped of his fraudulently obtained United States citizenship. He will serve three years of supervised release following his prison term and will be turned over to a duly-authorized immigration official for appropriate removal proceedings.
Omar is the second conspirator to be sentenced in this case. On October 21, 2013, co-conspirator Ibrahim Barrie, 32, of Atlanta, Ga., was sentenced to 24 months in prison. Upon completion of his sentence, Barrie will be turned over to a duly-authorized immigration official for appropriate removal proceedings.
This case was investigated by Special Agents of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.Assistant United States Attorney Skye Davis prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia is www.justice.gov/usao/gan.
Mahomet Man Sentenced to 15 Years in Prison for Child PornographyRead the Press Release
Urbana, Ill. – A Mahomet, Ill., man, Michael L. Denight, 59, has been ordered to serve 15 years in federal prison for photographing minor-aged victims and possession of child pornography. U.S. District Judge Michael P. McCuskey sentenced Denight on Nov. 25, 2013. Denight was also ordered to remain on supervised release for the remainder of his life following completion of his prison sentence. Denight has been detained in the custody of the U.S. Marshals Service since his arrest on federal charges in early 2012.
On May 17, 2013, Denight pled guilty to six counts of sexual exploitation of a minor and one count of possession of child pornography. Denight admitted that he had video-recorded minors in the bathrooms of his home beginning in 2000 and continuing through 2007.
According to court documents, the investigation began after a customer at a Champaign coffee shop reported to an employee that she believed there was a video recording device mounted in the ladies’ restroom. A man, later identified as Denight, was observed approaching the ladies’ restroom and then quickly leaving the coffee shop. When the customer and employee entered the restroom, the device was gone, and the man had left behind several personal items, including a cell phone, at the coffee shop. The cell phone was provided to the Champaign Police Department. At the time of his arrest, on Feb. 17, 2012, Denight was employed by the U.S. Army Corps of Engineers, Construction Engineering Research Laboratory, in Champaign.
The charges were investigated by the Champaign Police Department and the U.S. Immigration and Customs Enforcement (ICE) Office of Homeland Security Investigations (HSI). The case was prosecuted by the U.S. Attorney’s Office, Central District of Illinois, Urbana Division, with the cooperation of the Champaign County State’s Attorney’s Office.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. 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.
Lubbock Man Admits Producing Child PornographyRead the Press Release
LUBBOCK, Texas — Nicholas Lee Blair, 31, appeared yesterday afternoon before U.S. District Judge Sam R. Cumming and pleaded guilty to an indictment charging one count of production of child pornography. Blair, who is in custody, faces a statutory penalty of not less than 15 years or more than 30 years in federal prison, up to a $250,000 fine and up to a lifetime of supervised release. Judge Cummings ordered a presentence investigation report with a sentencing date to be set after the completion of that report. The announcement was made today by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to the factual resume filed in the case, on or about December 25, 2012, when he resided in Lubbock, Texas, Blair persuaded a minor female, “Jane Doe,” to engage in sexually explicit conduct while he used his cellphone camera, aimed at her while she was in the bathroom of his home, to record a video of her.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about Internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The investigation is being conducted by the Lubbock Police Department and the FBI. Assistant U.S. Attorney Steven M. Sucsy is in charge of the prosecution.
Lincoln Man Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
On November 26, 2013, Ricardo Omar Hernandez, 37, of Lincoln, was sentenced to 27 years in federal prison for conspiracy to distribute methamphetamine between January of 2011 and February 23, 2013. Hernandez was ordered to serve 10 years of supervised release following the prison term, and he was also ordered to forfeit $12,914 in cash to the United States of America. Hernandez was convicted by a federal jury on August 29, 2013.
Witnesses testified at trial that Hernandez was involved in distributing methamphetamine in the Lincoln, Beatrice, and Omaha areas. On February 23, 2013, a search warrant was served by the Lincoln Police Department at his Lincoln apartment. During that search, officers found 17.41 grams of methamphetamine which was determined to be at least 95% pure along with $12,914 in cash.
The matter was investigated by the Lincoln/Lancaster County Narcotics Task Force, the Nebraska State Patrol, and the Federal Bureau Investigation, (FBI).
Las Cruces Man Sentenced to Fifteen in Years in Federal Prison for Being an Armed Career CriminalRead the Press Release
ALBUQUERQUE – Christopher Albert Apalategui, 45, of Las Cruces, N.M., was sentenced earlier today to 15 years in federal prison followed by five years of supervised release for his conviction for being a felon in possession of a firearm and ammunition. Apalategui received an enhanced sentence because of his status as an armed career criminal.
Apalategui’s sentence was announced by Acting U.S. Attorney Steven C. Yarbrough, 3rd Judicial District Attorney Mark D’Antonio, Special Agent in Charge Bernard J. Zapor of the Phoenix Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, and Doña Ana County Sheriff Todd Garrison.
Acting U.S. Attorney Steven C. Yarbrough said that Apalategui was prosecuted as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
Apalategui was arrested in May 2012, on a federal criminal complaint charging him with being a felon in possession of a firearm and ammunition. He subsequently was indicted on that same charge in Nov. 2012. According to court filings, Apalategui was unlawfully in possession of a firearm and ammunition on April 8, 2012, in Doña Ana County, N.M. At the time, Apalategui was prohibited from possessing firearms or ammunition because he previously had been convicted of several felony offenses, including burglary in Oregon and burglary, aggravated robbery and illegal possession of firearms in Arizona.
Court filings reflect that, in the early hours of April 8, 2012, Doña Ana County Sheriff’s deputies executed a traffic stop of a vehicle driven pulled Apalategui after learning that there was an outstanding arrest warrant for the registered owner of the vehicle. The deputies determined that Apalategui was not the owner of the vehicle, but arrested Apalategui after learning that there were three outstanding warrants for his arrest. During an inventory search of the vehicle, the deputies found a loaded .45 caliber handgun with a 10-round clip in a gun box and two plastic baggies containing a substance later determined to be heroin.
Apalategui was prosecuted by federal authorities on firearms charges and by state authorities on a heroin possession charge. In Sept. 2012, Apalategui pled guilty to a possession of a controlled substance charge in the 3rd Judicial District Court for the State of New Mexico, and is scheduled for sentencing on Dec. 3, 2013.
"Our partnership with the U. S. Attorney’s Office is integral to reducing the violence in southern New Mexico. It is imperative to remove armed felons from our community," said 3rd Judicial District Attorney Mark D’Antonio.
Special Agent in Charge Bernard J. Zapor of the Phoenix Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, said, “Today’s sentencing of Apalategui should serve as a harsh reminder to habitual criminals that gun crime will equal hard time. ATF will not tolerate the illegal possession of firearms by prohibited persons. I want to commend Acting U.S. Attorney Yarbrough and Doña Ana County Sheriff Todd Garrison for their partnership and support.”“Today’s sentencing reinforces the efforts of all law enforcement to work together for a common cause – to remove threats in our communities who clearly cannot function in society and obey the law,” said Doña Ana County Sheriff Todd Garrison. “Hopefully this send a message that in New Mexico, career criminals will be put out of business and in Doña Ana County, we will continue to do our part to ensure that.”
This case was investigated by the Las Cruces office of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Doña Ana County Sheriff’s Office and was prosecuted by Assistant U.S. Attorney Luis A. Martinez of the U.S. Attorney’s Las Cruces Branch Office.
Judge Sentences Woman in Smuggling Scheme That Left A Man DeadRead the Press Release
HOUSTON – Demi Mishel Muniz has been ordered to prison for more than seven years following her conviction of conspiracy to transport and harbor aliens resulting in the death of a 38-year-old illegal alien from Mexico, United States Attorney Kenneth Magidson announced today. A Houston federal jury returned a guilty verdict against Muniz following a three-day trial on Thursday, Jan. 31, 2013.
Today, U.S. District Judge Lee H. Rosenthal, who presided over the trial, handed the Los Angeles, Calif., resident a term of 85 months in federal prison. At the hearing, further evidence was provided including that had the victim received proper and timely medical care, he likely would have survived. The judge also found that the Muniz obstructed justice by lying about her role in the offense to federal agents and also to the jury during her trial testimony. Muniz will also serve a three-year-term of supervised release following completion of her prison term.
During trial, testimony revealed that on Aug. 18, 2010, the Oldham County Sheriff’s Office was notified there was a body on the side of Interstate 40 outside of Vega, approximately 20 miles west of Amarillo. The identity of the deceased was discovered following receipt of an inquiry from the alien’s son.
The deceased was in the process of being smuggled from Mexico into the United States, being transported from Houston to Los Angeles. During the course of the journey, Muniz contacted the wife of the deceased and provided a bank account number for the deposit of $650 in smuggling fees. Subsequently, Muniz contacted the wife again and informed her he was ill. The wife told Muniz her husband was a diabetic and required insulin and requested he be taken to a hospital. Muniz refused and stated she had other people in the van and had to keep moving. A few hours later, the wife was called and told not to deposit the money into the bank account because her husband had been “left behind.”
An autopsy on the body of the deceased determined he had died of a combination of pneumonia and diabetes. A co-defendant testified Muniz and others were heavily involved in alien smuggling and that during the course of the trip Muniz refused to provide help to the deceased.
The bank accounts of Muniz were extensively reviewed and it was determined that approximately $84,000 in the account was derived from unknown sources. Agents determined many of the deposits were from various other states and that this was a characteristic consistent with alien smuggling operations.
Although Muniz previously said she was not involved in the smuggling venture and was not in the van with the deceased, Muniz elected to testify in the trial and admitted to being in the van, but said she did not know the aliens were illegal. She further denied having talked to the widow and also denied being told the deceased was diabetic and required insulin. The jury disagreed and found her guilty.
The case was investigated by the Oldham County Sheriff’s Office, Texas Rangers, Texas Department of Public Safety and Homeland Security Investigations. Assistant United States Attorneys Julie Searle and Douglas Davis prosecuted the case.
Iowa Man Sentenced in Methamphetamine CaseRead the Press Release
United States Attorney Brendan V. Johnson announced that a Paullina, Iowa, man convicted of Distribution of a Controlled Substance was sentenced on November 25, 2013, by U.S. District Court Judge Karen E. Schreier.
Dustin William Coates, a/k/a “DC,” age 27, was sentenced to 108 months in custody and four years of supervised release. He was also ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Coates was indicted by a federal grand jury on March 6, 2013. He pled guilty on September 3, 2013.
On January 23, 2013, Coates agreed to sell methamphetamine to a drug customer. Unknown to Coates, the customer had begun to cooperate with law enforcement. Later the same day, Coates and the customer met in the parking lot of a Sioux Falls business where Coates sold him over 50 grams of methamphetamine for $3,800. Law enforcement recorded the transaction.
This case was investigated by the South Dakota Division of Criminal Investigation and the U.S. Drug Enforcement Administration. Assistant U.S. Attorney John E. Haak prosecuted the case.
Coates was immediately turned over to the custody of the U.S. Marshals Service.Illegal Alien Sentenced for Passport Fraud, False Claim of U.S. Citizenship and Aggravated Identity TheftRead the Press Release
An illegal alien who attempted to obtain a U.S. passport using fraudulent and illegally obtained documents was sentenced November 25, 2013, to three years in federal prison.
Eduardo Rodriguez-Ayala, age 39, a citizen of Mexico, living in Waterloo, Iowa, received the prison term after an August 14, 2013, jury verdict finding him guilty of one count of unlawful possession of an identity document, one count of making false statements in a passport application, two counts of making a false claim of United States citizenship, and two counts of aggravated identity theft.
The evidence at trial showed that on August 10, 2012, Rodriguez-Ayala, claiming to be a U.S. citizen, used a fraudulent Arizona birth certificate in his brother=s name to obtain an Iowa identification card and to register to vote. Three days later, on August 13, 2012, Rodriguez-Ayala used the falsely procured Iowa identification card and the fraudulent birth certificate to apply for a U.S. passport. Rodriguez-Ayala later gave a false name and date of birth to State Department agents investigating the passport application. Rodriguez-Ayala eventually admitted he used false documents and his brother=s identity to apply for the U.S. passport.
Rodriguez-Ayala was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Rodriguez-Ayala was sentenced to 36 months’ imprisonment. A special assessment of $600 was imposed. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Rodriguez-Ayala is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and was investigated by agents from the United States Department of State and the Department of Homeland Security, Immigration and Customs Enforcement.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 13-2009.
Guilty Plea from Nevada Man Arrested in Seattle with Stolen Truck, Weapons and Homemade ExplosivesRead the Press Release
A 22-year-old man who was arrested in July 2013 by University of Washington Police in a stolen truck with stolen firearms, body armor and gasoline incendiary devices, pleaded guilty today in U.S. District Court in Seattle, announced U.S. Attorney Jenny A. Durkan. JUSTIN MILES JASPER pleaded guilty to transportation of a stolen vehicle, possession of a stolen firearm and possession of destructive devices. He is scheduled for sentencing by U.S. District Judge Ricardo S. Martinez on February 20, 2014.
JASPER was arrested on July 3, 2013 near the UW campus in Seattle. He was driving a 1998 Dodge Ram 2500 pick-up truck with Montana plates. The truck had been reported stolen by the owner in Butte, Montana. Inside the truck police found a Stevens Model 311A double-barrel 12-gauge shotgun, with no serial number, and a Mauser Model 1895 bolt-action rifle. Both guns had been stolen from the same owner as the truck. According to the plea agreement, the truck also contained six destructive devices commonly referred to as “Molotov cocktails.”
Under the terms of the plea agreement, both the prosecution and defense will recommend a sentence of three years in prison and three years of supervised release. Both sides will recommend that Judge Martinez require mental health counseling while JASPER is on supervised release and will recommend the Bureau of Prisons place JASPER at a facility with mental health treatment while he is incarcerated.
The case is being investigated by the FBI, the UW Police Department, and the Seattle Police Department. The case is being prosecuted by Assistant United States Attorney Todd Greenberg.
Get Away Driver in Armed Robbery Spree Exiled to over 15 Years in PrisonRead the Press Release
Gun Brandished In Each of the 22 Robberies and a Customer Shot In One of the Robberies
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Rico Bias, age 34, of Baltimore, Maryland, today to 185 months in prison, followed by three years of supervised release, for a series of armed commercial robberies committed from January through June, 2012.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Baltimore City State’s Attorney Gregg L. Bernstein; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore Police Commissioner Anthony W. Batts.
According to Bias' plea agreement, from January 22, 2012 through June 11, 2012, Bias conspired with Hatratico Smith, Monzell Lee and others, to commit 22 robberies of convenience stores, fast food restaurants, and other businesses. Smith brandished a gun during the robberies, and on two occasions fired the gun, with one resulting in the shooting of a customer on February 21, 2012. Bias admitted that in addition to checking out the stores prior to his codefendants entering the businesses to commit the robberies, he obtained and drove the get away car in each of the robberies. The defendants have been in federal custody since their arrests.
Hatratico Smith, age 48, and Monzell Lee, age 20, both of Baltimore, pleaded guilty to their roles in the robberies. Lee was sentenced to nine years in prison for the four robberies in which he participated. Smith is scheduled to be sentenced on January 14, 2014, at 10:00 a.m.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department, Baltimore County Police Department and Baltimore City State’s Attorney's Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney A. David Copperthite, who prosecuted the case.
Founder and Leader of Newburgh Latin Kings Sentenced to Life Plus 85 Years in Prison for Murder, Racketeering, Drug Distribution, and Other CrimesRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that WILSON PAGAN, 27, the founder and top leader of the Latin Kings gang in Newburgh, New York (the “Newburgh Latin Kings”), was sentenced today by U.S. District Judge Cathy Seibel in White Plains federal court to life plus 85 years in prison. PAGAN was convicted of murder; racketeering; conspiracy to distribute crack, cocaine, and heroin; assault, and using and carrying firearms in connection with violent crimes. PAGAN is one of 35 members and associates of the gang who were charged in the case, all of whom have been convicted, 28 of whom have thus far been sentenced.
U.S. Attorney Preet Bharara stated: “Mr. Pagan was a gang leader, and what he led his followers to was a gang member’s life filled with death, blood, guns, drugs, and jail – and for him the gangster life in the street has become the inmate’s life in prison, forever. Gang leaders, members, associates, and wannabes in Newburgh and throughout the Hudson Valley need to understand: We will not tolerate gang violence. You will go to prison for it, potentially for the rest of your life.”
According to the Indictment and evidence presented at trial:
PAGAN founded the Newburgh Latin Kings, and grew the gang from roughly a dozen members in 2008 to more than 50 members and associates by early 2010. On May 6, 2008, PAGAN ordered aspiring gang members to go on a so-called mission, during which they committed a drive-by shooting and killed, mistakenly, Jeffrey Zachary, a 15-year old boy who was an innocent bystander. PAGAN sold crack and heroin, and helped other members and associates of his gang sell drugs, including at spots the Latin Kings controlled, such as the corner of Benkard Avenue and William Street in Newburgh. PAGAN also assaulted rivals of his gang, and carried guns and instructed others to carry guns to protect PAGAN and the Newburgh Latin Kings’ drug turf. In leading the gang, PAGAN recruited and inducted new members, instructed the members how to behave in order to protect and conceal the gang’s criminal activities, and issued orders to gang members to shoot and assault others. PAGAN organized and led gang meetings for this purpose. During one such meeting, according to papers filed with the court, PAGAN told more than 20 assembled gang members: “[W]e don’t even live by rules of society. . . .”
Mr. Bharara thanked the Hudson Valley Safe Streets Task Force for their work on the Latin Kings investigation. The Task Force is led by the Federal Bureau of Investigation (“FBI”), and combines the resources of dozens of law enforcement officers from federal, state, and local agencies and departments, including: agents and officers of the FBI; the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; the City of Newburgh Police Department; Immigration and Customs Enforcement’s Homeland Security Investigations; the Middletown Police Department; the Orange County Sheriff’s Office, and the New York State Police.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Benjamin Allee, Abigail Kurland, and Nicholas McQuaid are in charge of the prosecution.
Former Soldier Sentenced to 30 Years in Federal Prison for Aggravated Sexual Abuse of A ChildRead the Press Release
In Waco this afternoon, former U.S. Army Sergeant David J. Adams, age 38, was sentenced to 30 years in federal prison followed by five years of supervised release and fined $1,000 for the aggravated sexual abuse of a child announced United States Attorney Robert Pitman.
On September 30, 2013, a federal jury convicted Adams of one count of aggravated sexual abuse of a child. Evidence presented during trial revealed that on multiple occasions in 2006, after Adams returned from active duty in Iraq, Adams engaged in sexually explicit activity with a child at his residence located on Fort Hood.
This investigation was conducted by the United States Army Criminal Investigation Division and the Federal Bureau of Investigation. This case was prosecuted by Assistant United States Attorney Mary Kucera.
Former Real Estate Agents Plead Guilty to Bank FraudRead the Press Release
LAS VEGAS, Nev. – A husband and wife who worked as real estate agents in southern Nevada have pleaded guilty to bank fraud charges in connection with several residential short sale transactions that resulted in over $350,000 in losses to Wells Fargo and Freddie Mac, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Cynthia Hosbrook, 41, and Robert Hosbrook, 52, both of Henderson, Nev., pleaded guilty before U.S. District Judge Jennifer A. Dorsey to one count of bank fraud. They face up 30 years in prison and a fine of up to $1 million, as well as mandatory restitution. Sentencing for both defendants is scheduled for March 3, 2014, at 10:00 a.m.
According to their guilty plea agreements, Cynthia Hosbrook had been an active real estate salesperson in Nevada since April 17, 2000, and Robert Hosbrook was licensed as a real estate salesperson in Nevada from Oct. 20, 2009, to Oct. 31, 2010. In 2010, the Hosbrooks engaged in a short-sale fraud scheme involving the sale of their personal residence to Cynthia Hosbrook’s mother. The Hosbrook’s defrauded Wells Fargo Bank and the Federal Home Loan Mortgage Corporation (Freddie Mac) by falsely representing that the short sale was due to personal hardship, that the transaction was an arm’s length transaction, that the sellers and buyers were not family members, and that the seller would not remain in the property subsequent to the sale. In fact, the Hosbrooks made a cash sale of the residence to Cynthia Hosbrook’s mother, and then continued to reside in the home after the sale even though they were not suffering from a personal hardship. The scheme resulted in a loss to Wells Fargo Bank and Freddie Mac of approximately $173,559. The Hosbrooks were also involved in two other fraudulent short-sale fraud transactions involving homes in Las Vegas and North Las Vegas during 2008 and 2009.
The case was investigated by the Federal Housing Finance Agency Office of the Inspector General, and is being prosecuted by Assistant U.S. Attorney J. Gregory Damm.
Today's announcement is part of efforts underway by President Obama's Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys' offices and state and local partners, it's the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
Former President and Chief Executive Officer of Software Company Pleads Guilty in Manhattan Federal Court to Perpetrating Multimillion-Dollar Fraud SchemeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and George Venizelos, the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced that SCOT ZARKIEWICZ, the co-founder, President, Chief Executive Officer, Treasurer, and principal owner of SingleClick Systems Corp. (“SingleClick”), a Delaware-incorporated, New Jersey-based software company, pled guilty today in Manhattan federal court to charges arising from a scheme to defraud SingleClick investors. From mid-2009 through June 2013, ZARKIEWICZ solicited several investors to purchase millions of dollars of privately-held SingleClick stock based on fraudulent misrepresentations about the company’s operations and financial performance. ZARKIEWICZ was arrested on these charges on October 9, 2013. He pled guilty today before U.S. District Judge Denise L. Cote.
Manhattan U.S. Attorney Preet Bharara said: “For four years Scot Zarkiewicz told the investors of his software company one lie after another and swindled them out of millions of dollars. But his fraud scheme was ultimately exposed for the sham that it was, and now he will be punished for his crimes.”
Assistant Director-in-Charge George Venizelos said: “Scot Zarkiewicz brought a whole new meaning to cooking the books. He often exaggerated and sometimes totally made up numbers on his company’s balance sheet. Like we’ve seen time and time again, Zarkiewicz ripped off dozens of unwitting victims to fund his lavish lifestyle. Today, Mr. Zarkiewicz finds himself guilty, under his own admission, of these crimes.”
According to the Information filed in this case, statements made during the defendant’s guilty plea, and other court documents:
SingleClick is a privately-held software company that was engaged in the business of providing individuals and businesses with network software products that facilitate content access and network and systems management from any internet-connected device. From mid-2009 through June 2013, ZARKIEWICZ solicited investor contributions to, and caused investors to maintain their investment in, SingleClick based on fraudulent misrepresentations.
Specifically, during the relevant period, ZARKIEWICZ told SingleClick investors, in both oral and written communications, that SingleClick had several large corporate clients, millions of dollars in annual revenue, and millions of dollars in cash in bank and brokerage accounts, when, in truth and in fact, and as ZARKIEWICZ well knew, SingleClick conducted minimal business operations, collected significantly less than a million dollars in annual revenue, and did not have more than approximately $513,000 in cash on hand. ZARKIEWICZ made these misrepresentations to induce potential investors to purchase SingleClick shares, and to induce existing investors to purchase additional shares and/or refrain from requesting redemptions of their investments. ZARKIEWICZ made these misrepresentations by, among other means, distributing fabricated bank, brokerage, financial, and tax statements to investors. As a result of his fraudulent scheme, ZARKIEWICZ collected and maintained approximately $5.5 million from approximately 30 victims.
In May and June 2013, investors learned that SingleClick had very little cash available and confronted ZARKIEWICZ. ZARKIEWICZ admitted to investors that he lied about SingleClick’s business performance, fabricated records, and misled investors about the number of investors in, and operation of, SingleClick. Notwithstanding representations made in preceding years by ZARKIEWICZ that SingleClick had millions of dollars in revenue – including representations that SingleClick had generated $48 million in revenue in 2012 – since mid-2009, SingleClick has actually been generating thousands of dollars in revenue, not millions, and SingleClick’s total aggregate bank account balances have not exceeded approximately $513,000. In August 2013, after admitting his fraudulent conduct, ZARKIEWICZ resigned as CEO of SingleClick.
ZARKIEWICZ, 41, of Toms River, New Jersey, pled guilty to a two-count Information charging him with securities fraud and wire fraud. Each of the charges carries a maximum term of 20 years in prison. In addition, ZARKIEWICZ agreed to forfeit $5.5 million as well as any remaining proceeds in SingleClick bank accounts, and pay restitution as ordered by the Court. ZARKIEWICZ is scheduled to be sentenced by Judge Cote on March 28, 2014, at 11:00 a.m.
Mr. Bharara praised the investigative work of the FBI.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.StopFraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney David I. Miller is in charge of the prosecution. Assistant U.S. Attorney Paul Monteleoni is in charge of the asset forfeiture related to the prosecution.
Former Nolensville Police Officer Sentenced to PrisonRead the Press Release
Kenneth Lee, 53, of Nashville, Tenn., was sentenced yesterday in U.S. District Court to 12 months and a day in prison, followed by one year of supervised release, for honest services mail fraud, announced David Rivera, U.S. Attorney for the Middle District of Tennessee.
Lee was indicted by a federal grand jury on March 1, 2012, and charged with extortion and mail fraud arising from his solicitation of payment from a woman in exchange for not arresting her. Lee pleaded guilty on July 29, 2012, to honest services mail fraud.
“Law enforcement officers who choose to step across the line can expect to face federal prosecution and time in federal prison,” said U.S. Attorney David Rivera. “The honest, hard-working men and women of the greater law enforcement community are never tolerable of those who violate their oath and abuse their power.”
According to the testimony at the plea hearing, on August 17, 2011, while employed as a Nolensville police officer, Lee stopped a woman for a suspected traffic violation. After learning that she did not have a driver’s license, Lee told her he would not arrest her if she paid him $200. Lee also acknowledged that he subsequently received three separate money orders totaling $200.
In imposing the sentence Chief U.S. District Judge William J. Haynes, Jr., stated that he was troubled that the victim of the crime was poor and that a child was present when the defendant asked for money in lieu of arresting the victim.
The case was investigated by the FBI and the United States Postal Inspection Service and prosecuted by Assistant United States Attorneys Scarlett Singleton and Jimmie Lynn Ramsaur.
Former New Jersey Union Officer Convicted of Embezzling Union FundsRead the Press Release
NEWARK, N.J. - A former union officer from Local 164 of the International Brotherhood of Electrical Workers (IBEW) was convicted today of embezzling funds by ensuring his then-girlfriend got paid by the union for unauthorized and unnecessary work, U.S. Attorney Paul J. Fishman announced.
Richard “Buzzy” Dressel, 64, of Montvale, N.J., was convicted of one count each of conspiracy to embezzle and embezzlement from the union, the first two counts of the indictment against him. He was acquitted on other substantive embezzlement counts. The jury returned the verdict after nearly three days of deliberation following a nine-day trial before U.S. District Judge William J. Martini in Newark federal court.
According to documents filed in this case and the evidence at trial:
While the principal officer of the Local 164 IBEW, Dressel put his girlfriend on the payroll from March 2008 to March 2010, when her work provided no genuine benefit to the union or its members. He created an unnecessary position as an in-house caterer for her. Additionally, he padded her income – and indirectly his own – by giving her an office job she didn’t perform, providing her with an additional salary and a fringe benefit package. In all, Dressel embezzled $221,530 in this way.
Each count carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is currently scheduled for March 12, 2014.
U.S. Attorney Fishman credited special agents of the U.S. Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, under the direction of Acting Special Agent in Charge Cheryl Garcia, New York Regional Office; and special agents of the U.S. Department of Labor, Employee Benefits Security Administration, under the direction of Jonathan Kay, Director for the New York Regional Office, with the investigation leading to today’s guilty verdict.
The government is represented by Assistant United States Attorney Grady O’Malley of the U.S. Attorney’s Office Organized Crime/Gangs Unit and Special Assistant U.S. Attorney Thomas Kearney of the office’s Criminal Division in Newark.13-452
Defense counsel: Jeffrey Smith Esq.; Alice Penna Esq., Teaneck, N.J.
Former Miami Securities Professional Pleads Guilty to Securities Fraud in Connection with Multi-State Investment SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Drew J. Breakspear, Commissioner, State of Florida’s Office of Financial Regulation, Bureau of Financial Investigations, announce that Daniel Paez, 27, of Miami, Florida, pled guilty today to one count of securities fraud before U.S. District Judge William P. Dimitrouleas, in connection with a scheme to defraud investors in Florida and several states. Paez faces a maximum of 20 years in prison and maximum $250,000 fine. Sentencing has been set for February 4, 2014 before Judge Dimitrouleas in Ft. Lauderdale.
According to court documents, Paez was the President of Fly High Investments, Inc., a Miami-Dade investment fund. From in or around September 2010, through in or around April 2012, Paez obtained more than $500,000 in funds from investors via telephone solicitations and through the Internet. Paez told investors that Fly High Investments was a hedge fund that managed more than $50 million, and he promised investors that their money would be invested in safe and secure investments. Paez also promised a fixed rate of return and that investors could withdraw their money whenever they wished. Instead, according to the Information, Paez spent the bulk of the money raised from investors at casinos, and also withdrew large amounts of cash for his personal benefit. Paez did invest certain investor monies in stocks and other securities, but often in high risk investments or penny stocks that were materially different than the specific investments promised to investors during their sales pitch.
When investors contacted Fly High Investments and Paez to inquire about the status of their funds, Paez misled investors into believing their money was safe and had been invested profitably. Paez ultimately stopped returning calls and ignored requests for the return of investor funds. According to the Information, there were approximately 17 victim investors who were located in Florida and other states, including California, South Dakota, New Jersey and Minnesota. None of these investors received any return on their investment and they lost all of the money they invested with Fly High Investments and Paez.
Mr. Ferrer commended the investigative efforts of the FBI and the State of Florida’s Office of Financial Regulation, Bureau of Financial Investigations. This case is being prosecuted by Assistant U.S. Attorney Jerrob Duffy.
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.
Former Health Management Associates (HMA) Executive Indicted for Obstruction-Related OffenseRead the Press Release
Fort Myers, Florida – Acting United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Joshua S. Putter (48, Needham, Massachusetts) with destruction, alteration or falsification of records in federal investigations. If convicted, he faces a maximum penalty of twenty years in federal prison.
Putter made his initial appearance and arraignment in federal court today, and was released on bond. A status conference hearing is set for December 9, 2013, before the Honorable John E. Steele. The case has been scheduled for the January 2014 trial calendar.
According to the indictment, on or about October 7, 2008, Putter knowingly falsified, or made false entry in a document, with the intent to impede, obstruct or influence any matter within the jurisdiction of any department of agency of the United States.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation, and Health and Human Services, Office of Inspector General. It will be prosecuted by Assistant United States Attorney David G. Lazarus and Chief Assistant United States Attorney Nicole H. Waid.
Former Apartment ManagerSentenced for Theft of Federal Housing FundsRead the Press Release
KANSAS CITY, KAN. A former Kansas City, Kan., apartment manager has been sentenced to 54 months in prison for theft of Section 8 housing program funds, U.S. Attorney Barry Grissom said today. In addition, she was ordered to pay more than $303,000 in restitution.
Mary Amador, 28, formerly of Kansas City, Kan., who worked as an assistant property manager at Terrace Pointe Apartments, 641 S. 71st Terrace in Kansas City, Kan., was sentenced Monday. She pleaded guilty to 40 counts as charged, including theft of public money, aggravated identity theft and making false statements.
In her plea, Amador admitted a federal investigation revealed that numerous residents of Terrace Pointe were foreign citizens who were in the United States unlawfully. In exchange for bribes, Amador accepted counterfeit citizenship documents and falsely reported to the U.S. Department of Housing and Urban Development that the tenants were eligible to receive Section 8 housing subsidies.
Co-defendants include:
Grissom commended Housing Urban Development’s Office of Inspector General and Assistant U.S. Attorney Tris Hunt for their work on the case.
Martin Ramirez, who was sentenced to time served and ordered to pay more than $21,000 restitution.
Brenda R. Aguirre-Rodriguez, who was sentenced to time served and ordered to pay more than $21,000 in restitution.
Ruben A. Solorio-Guzman, who was sentenced to time served and ordered to play more than $22,000 in restitution.
Rosa Isela Limas-Caldera, who was sentenced to time served and ordered to pay more than $20,000 restitution.
Araceli Ramirez, who was sentenced to time served and ordered to pay more than $22,000 in restitution.
Karla Herrera-Morales, who is set for sentencing Dec. 2.
Candelaria Morales, who was sentenced to time served and ordered to pay more than $17,000 restitution.
Estela Cervantez, who was sentenced to time served and ordered to pay more than $5,000 restitution.
Karina Soto-Lopez, who was sentenced to time served and ordered to pay more than $5,000 restitution.Florida Man Sentenced in Connection with Stolen Identity Tax Fraud SchemeRead the Press Release
St. Louis, MO – DWAYNE DENARD JOHNSON, Wesley Chapel, Florida, was sentenced to 36 months in prison for his role in a stolen identity tax fraud scheme lead by his wife, Tania Henderson, from their home in suburban Tampa. Johnson is the fifth person involved in the scheme charged and convicted in the Eastern District of Missouri.
According to his August plea agreement, Johnson admitted to helping his wife and others use the identities and social security numbers of hundreds of people to file phony tax returns and collect the refunds generated by those returns. In all, the scheme has been found to have involved more than 400 stolen identities and generated more than $1.8 million in refunds, about half of which was intercepted by the IRS before coming under the control of the fraudsters.
His wife, Tania Henderson, Wesley Chapel, Florida, was sentenced in July to 144 months in prison for her role in leading a stolen identity tax fraud scheme during 2012.
This case was investigated by Internal Revenue Service-Criminal Investigation. Assistant United States Attorney Tom Albus handled the case for the U.S. Attorney's Office.
Five Indicted Federally in Drug and Money Laundering ConspiracyRead the Press Release
POCATELLO — A federal grand jury in Pocatello today returned a superseding indictment charging California residents Reynalda Estrada-Gutierrez, 37, of Bakersfield; Porfirio Gutierrez, 36, of Los Angeles; Araxy Suarez, 21, of Downey; and Raquel Rios, 23, and Angelina Nava, 31, both of Burley, Idaho, on six counts of drug trafficking, U.S. Attorney Wendy J. Olson announced. All but Suarez were also charged with conspiring to launder money. Estrada-Gutierrez was additionally charged with unlawfully possessing a handgun.
The defendants were arrested on November 6, 2013; four are in custody on state charges. The indictment alleges that between April 19, 2013, and November 6, 2013, the defendants conspired to distribute and possessed with the intent to distribute 500 grams or more of methamphetamine. The indictment also alleges that Estrada-Gutierrez, Rios, and Gutierrez collectively distributed methamphetamine on three occasions, and that Gutierrez, Suarez, and Nava possessed with the intent to deliver methamphetamine on the date of their arrest. Also between April 19 and November 6, 2013, all but Suarez are alleged to have conspired to conduct financial transactions affecting interstate and foreign commerce and involving the proceeds of drug trafficking activities, with the intent to further the drug trafficking and to conceal the source of the money.
Federal drug trafficking charges are generally punishable by up to 20 years in prison, a maximum fine of $1 million, and three years of supervised release. Where the defendants are charged with conspiring to distribute 500 grams or more of methamphetamine, they face a minimum term of ten years, up to life, in prison, a fine up to $10 million, and a minimum of five years supervised release. Money laundering is punishable by up to 20 years in prison, a maximum fine of $500,000, and up to three years of supervised release. Unlawful possession of a firearm is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release. The government is seeking forfeiture of assets derived from and involved in the criminal conduct.
A trial is set for December 30, 2013, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello.
The charges are the result of a joint investigation by the Minidoka and Cassia County Sheriffs’ Offices and Idaho State Police, with assistance from U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations, the Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
An indictment is a means of charging a person with criminal activity. It is not evidence. The person is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Final of Five Defendants Enters Guilty Plea to Home Invasion Robbery ConspiracyRead the Press Release
St. Louis, MO – JAMES CLARK, Saint Louis, Missouri, entered his guilty plea today before the Honorable Catherine D. Perry. Clark pleaded guilty to one count of conspiracy to possess with the intent to distribute cocaine and one count of possession of a firearm in furtherance of drug trafficking. Clark is the last of five defendants to plead guilty in connection with an April 2013 conspiracy in which the five men agreed to, among other things, arm themselves, make entry into a house located in south Saint Louis City and rob between 22 and 30 kilograms of cocaine from inside the residence.
In preparation for the robbery, Clark possessed a Glock make, Model 19, nine millimeter caliber pistol with an extended magazine loaded with 33 rounds of ammunition. Co-defendant Tray Ferguson armed himself with a Springfield Armory make, Model XD, .45 caliber pistol loaded with 14 rounds of ammunition; an additional .45 caliber magazine loaded with 13 rounds of ammunition; and a Glock make, Model 22, .40 caliber pistol with an extended magazine loaded with 21 rounds of ammunition. Co-defendant Ricky Turner possessed a Colt, Model Python, .357 caliber revolver; 15 rounds of ammunition; and a loaded Hi Point, Model C9, nine millimeter caliber pistol.
In addition to Clark’s guilty plea this morning, co-defendant TRAY FERGUSON, entered his guilty plea on July 31, 2013, to one count of conspiracy to possess with the intent to distribute over five kilograms of cocaine and one count of possession of firearms in furtherance of drug trafficking. Co-defendant Tramaine Ellis, pleaded guilty on October 10, 2013, to one count of conspiracy to possess firearms in furtherance of drug trafficking. Co-defendant Ricky Turner, pleaded guilty to one count of conspiracy to possess with the intent to distribute cocaine and one count of possession of a firearm in furtherance of drug trafficking on November 14, 2013. Co-defendant Ahmad Britton, entered his guilty plea on November 21, 2013, to distribution of more than 28 grams of cocaine base (crack); conspiracy to possess with the intent to distribute over five kilograms of cocaine and conspiracy to possess firearms in furtherance of drug trafficking.
Each defendant faces maximum possible penalties ranging from 20 years to life imprisonment. Sentencing for each will occur in early 2014. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges. Sentencings have been set as follows: Ferguson: December 18, 2013; Ellis: January 2, 2014; Britton: February 11, 2014; Turner: February 6, 2014; and Clark: March 4, 2014.
The guilty plea of each defendant comes as a result of the proactive investigation initiated by the United States Bureau of Alcohol, Tobacco, Firearms and Explosives in the Spring of 2013 to reduce violent crime within the City of Saint Louis.
Final Four Convicted in Operation Prison Cell Ordered to PrisonRead the Press Release
CORPUS CHRISTI, Texas – The final four people convicted in the large-scale racketeering case involving the McConnell Unit in Beeville have been ordered to federal prison, announced United States Attorney Kenneth Magidson along with Brian M. Moskowitz, special agent in charge of Homeland Security Investigations (HSI) in Houston.
With the exception of Juan Ledezma, who was convicted following a two-day trial, 28 others pleaded guilty to varying counts of racketeering or other charges. Senior U.S. District Judge Hayden Head, who accepted the guilty pleas and presided over the trial, handed down the final sentences against all convicted in the case at hearings that concluded late yesterday.
“’Operation Prison Cell’ is a very appropriate name for this investigation in that it describes where those responsible for the corruption, trafficking and violence uncovered in this case will spend a considerable portion of the rest of their lives,” said Moskowitz. “Unfortunately, while we expect convicted criminals to act like criminals, we will not tolerate those entrusted to serve the public to do the same, and these sentences send an unmistakable message to both the corrupted and their corruptors that we will catch you and punish you for your crimes.”
Considered “facilitators” in the case, Melissa Lozano, 29, of San Antonio, was convicted on one count of violating the Racketeer Influenced and Corrupt Organizations Act (RICO), while Craig Owens, 29, of Kileen, and Karla Sanchez, 26, of Houston, pleaded guilty to one count of money laundering. Yesterday, Lozano was ordered to serve 15 months in federal prison, and Owens and Sanchez received sentences of 60 and 24 months, respectively.
The remaining seven facilitators were sentenced last month. Yvonne Sandoval, 37, of Corpus Christi, Maria Fernanda Hidalgo, 32, of McAllen, and Lindsey Elaine Savage, 30, of Copperas Cove, were all also convicted of RICO and received sentences of 18 months, 12 months plus one day, and 38 months, respectively. The four others pleaded guilty to one count of money laundering. Juanita Beltran Mendez, 50, of Bishop, will be on probation for five years, while Nancy Star Onega, 27, and Donna Sorise, 57, both of Hialeah, Fla., and Maria Rose Rodriguez, 35, of Alamo, will serve sentences of 60, 71 and 66 months, respectively.
Four others charged in the case – Aaron Trevino, 37, of Lockhart, Christopher Karl Owens, 33, of Killeen, Christopher Smith, 28, of Chester, and Ledezma, 40, of Brownsville – were considered “inmates” in the overall scheme and were at one time or another in TDCJ custody during the conspiracy. Owens was sentenced yesterday to serve a total of 151 months in prison for the RICO conviction. Trevino also pleaded guilty to the RICO count and received a total of 198 months in federal prison, while Smith entered a plea to money laundering and received time served, approximately 10 months of incarceration. Ledezma, who was found guilty by a Corpus Christi federal jury of conspiracy to possess with the intent to distribute methamphetamine, cocaine and marijuana, will serve a total of 360 months in federal prison for the three counts of conviction.
The former McConnell Unit employees had already received their sentences. Former guards Stephanie Deming, 24, Lela Ysolde Hinojosa, 52, and Arturo Salas, 23, all of Beeville, Christy Nesloney, 27, of Cuero, James Randal Standlea, 25, of Mathis, Desiree Silguero, 43, of McAllen, Emmanuel Cotto, 32, of San Antonio, Megan Brook Morales, 24, of Bulverde, Lakeisha Jeanette Reid, 25, of Austin, Jaime Jorge Garza, 38, of Santa Elena, and Oscar Juraidini, 25, of Brownsville, were all convicted of one count of RICO as was contract mental health professional Kimberly Koenig, 32, of Victoria. Nesloney was previously sentenced to 28 months in federal prison, while Deming and Reid will respectively serve 27 and 24 months. Salas and Juraidini will each serve 22 months. Hinojosa and Morales each received 21-month terms of incarceration, while Garza will be in prison for 15 months. Silguero and Cotto will serve five months to be immediately followed by another five months on home confinement. Standlea and Koening will be on probation for three years.
Other McConnell Unit Guards Jamar Tremayne Green 30, of Refugio, Casey Simmons, 25, of Kenedy, and Justin Leonard, 24, of Cypress, were convicted of conspiracy to possess with the intent to distribute ecstasy, marijuana and cocaine, respectively. Simmons was sentenced to three years of probation, while Green and Leonard will serve five months in prison plus five months of home confinement.
There are still two fugitives in the case and warrants remain outstanding for their arrests.
The arrests came as a result of a joint effort between TDCJ-Office of Inspector General and federal authorities to attempt to break the “culture of corruption” that permeated the McConnell Unit Prison during a period between 2005 to the present. State and federal authorities worked together in a determined effort to disrupt and dismantle the violent criminal gangs who were profiting through the corruption of guards at the prison.
Correction officers assisted prisoners incarcerated in the TDCJ McConnell Unit Prison in Beeville by smuggling cellular telephones and drugs into the prison system. The drugs and phones were then sold inside the prison to other inmates. The phones were used by inmates to assist in their coordination of criminal activities outside the prison.
During Ledezma’s trial, the jury heard testimony that Ledezma acted as an intermediary between drug traffickers in south Texas and Mexico. He had connections to drug suppliers and, utilizing the illegally smuggled cell phones, coordinated with other prisoners to organize drug deals inside and outside the prison. Jurors heard that prisoners had made phone calls to Ledezma while in the McConnell Unit. In these calls, Ledezma agreed to help arrange for six pounds of methamphetamine to be purchased in Corpus Christi and distributed in Arkansas. The buyers of the methamphetamine were to pay more than $20,000 per pound of the drug.
The overall investigation was initiated in 2009 when several Aryan Circle Gang Members were apprehended attempting to transport stolen vehicles from Corpus Christi to Brownsville. The vehicles were destined to be smuggled across the border and sold to Mexico Cartel members. The operation was coordinated by inmates incarcerated at the McConnell Unit through the use of the illegal cell phones.
A subsequent investigation led to a December 2010 federal indictment charging 14 alleged members and associates of the Raza Unida Street and Prison Gang with committing violent acts to support racketeering (VICAR). These violent acts included home invasions, shootings and conspiracy to commit murder. During the course of the investigation, agents and officers seized approximately 13 pounds of crystal methamphetamine with an estimated street value of more than $300,000. Additionally, seven assault rifles, 14 pistols, five shotguns, five bullet proof vests and approximately 1,000 rounds of ammunition were seized from the gang. All were subsequently convicted, two of whom were sentenced to life imprisonment.
The overall case is the result of a four-year investigation conducted by the U.S. Attorney’s Office, Homeland Security Investigations, TDCJ-Office of Inspector General, Internal Revenue Service – Criminal Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, Corpus Christi Police Department Gang and Organized Crime Units, U.S. Postal Inspection Service and the Bee County District Attorney’s office.
The case is being prosecuted by Assistant U.S. Attorneys Mark Patterson and Michael Hess.
Enfield Man Sentenced to 42 Months in Federal Prison for Selling Crack, Violating Supervised ReleaseRead the Press Release
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Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that NATHAN SNAPE, 37, of Enfield, was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to 42 months of imprisonment, followed by five years of supervised release, for distributing crack cocaine and for violating the conditions of his supervised release from a previous federal conviction.
According to court documents and statements made in court, in December 2012, Enfield Police made three controlled purchases of crack cocaine from SNAPE. On January 10, 2013, SNAPE was arrested at his Enfield apartment, where he was found in possession of an additional quantity of crack.
At the time of the offense, SNAPE was serving a period of federal supervised release stemming from a previous conviction for possession of a firearm by a convicted felon. In 2003, SNAPE was sentenced to 84 months of imprisonment and three years of supervised release. In 2011, he received an additional six months of imprisonment for violating the conditions of his supervised release.
On June 27, 2013, SNAPE pleaded guilty to one count of possession with intent to distribute cocaine base (“crack cocaine”), and he admitted to having violated the terms of his supervised release.
Judge Hall sentenced SNAPE to 24 months of imprisonment for the crack offense and a consecutive 18 months of imprisonment for violating his supervised release.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration and the Enfield Police Department. This case was prosecuted by Assistant U.S. Attorney Robert M. Spector.
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Tom Carson
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[email protected]Eagle Butte Man Charged with LarcenyRead the Press Release
United States Attorney Brendan V. Johnson announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury.
Torin DeWitt, age 25, was indicted on November 14, 2013, for Larceny. DeWitt appeared before U.S. Magistrate Judge Mark A. Moreno on November 21, 2013, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 5 years of imprisonment and/or a $250,000 fine, 3 years of supervised release, an additional 2 years of supervised release upon revocation, and a mandatory $100 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges are merely accusations, and DeWitt is presumed innocent until and unless proven guilty.
The Indictment alleges that on September 30, 2012, October 23, 2013, and October 25, 2013, DeWitt stole 2 vehicles and monies not belonging to him.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller is prosecuting the case.
DeWitt was remanded to the custody of the U.S. Marshals Service. A trial date has not been set.
Dubuque Man Sentenced to over Four Years' Imprisonment for Distribution of Cocaine Near A PlaygroundRead the Press Release
A Dubuque man who sold cocaine from his residence near a playground was sentenced November 25, 2013, to more than four years in federal prison.
Shannon Huntington, age 43, from Dubuque, Iowa, received the prison term after an August 20, 2013, guilty plea to two counts of distribution of cocaine near a protected location and one count of possession of cocaine with intent to distribute near a protected location.
At the plea hearing, Huntington admitted he twice sold cocaine to law enforcement officers in January 2013 from his residence near Flat Iron Park in Dubuque. On January 18, 2013, law enforcement officers executed a search warrant at Huntington’s residence and found 396 grams of cocaine which Huntington intended to sell in Dubuque.
Huntington was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Huntington was sentenced to 51 months’ imprisonment. A special assessment of $300 was imposed. He must also serve a six-year term of supervised release after the prison term. There is no parole in the federal system.
Huntington is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Dubuque Drug Task Force consisting of officers from the Dubuque Police Department and the Dubuque County Sheriff=s Office.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 13-CR-1006.
Denver Man Sentenced to 100 Years in Federal Prison for Advertising Child Pornography and Other Child Pornography Related CrimesRead the Press Release
DENVER – Richard Franklin, a.k.a “westfaliaimplant”, age 45 of Denver, Colorado, was sentenced today by Senior U.S. District Court Judge Wiley Y. Daniel to serve 1200 months (100 years) in federal prison for advertising child pornography, receipt of child pornography, two counts of distribution of child pornography, and possession of child pornography. Today’s sentence, one of the longest child pornography sentences in Colorado history, essentially means the defendant will spend the rest of his life in prison. Judge Daniel also ordered Franklin to serve a lifetime of supervised release. The defendant, who appeared at the hearing in custody, was remanded.
Franklin was indicted by a federal grand jury in Denver on June 8, 2011. He was found guilty on August 27, 2013, following a seven-day jury trial. He was sentenced today, November 26, 2013.
According to court documents, as well as facts presented at trial, from May 11, 2009 and January 5, 2011, Franklin knowingly made, printed or published any notice or advertisement offering to receive, exchange or distribute child pornography to anyone who was a member of his online trading circle. Further, the defendant knowingly received and distributed child pornography using the Internet. Lastly, Franklin knowingly possessed images of child pornography.
In total, the defendant possessed multiple hard drives containing over 200,000 images of child pornography. Franklin used a file trading software to allow others to preview and browse his collection and to chat with fellow child pornography traders. Part of the trading of images was to encourage purveyors to produce new child pornography videos. As a result of this investigation, two young children, both under 12 years old, were rescued from their abusers.
When imposing sentence, the Court stated that the crimes of the defendant were “pernicious and evil” and “must be dealt with in the most severe way.”
“The Department of Justice’s Project Safe Childhood continues to work aggressively to protect children from those who would exploit them,” said U.S. Attorney John Walsh. “In cases such as this, we work diligently to punish those who provide these horrible images, with the goal of reducing both the availability and demand.”
“The FBI will continue to aggressively pursue those who prey on children, especially those who advertise, trade and/or produce child pornography,” said FBI Denver Special Agent in Charge Thomas Ravenelle. “Crimes of this nature threatened to destroy our most precious resource, offend every sensibility, and cannot be tolerated. The FBI and our partners will spare no expense or resource to bring them to justice.”
This case was investigate by the Denver and Phoenix Field Offices of the Federal Bureau of Investigation (FBI).
Franklin was prosecuted by Assistant U.S. Attorneys Judith Smith and Alecia Riewerts Wolak.
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 5 Years’ Imprisonment for Exporting Stolen Luxury Cars Worth over $1 Million to AfricaRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Yasser Lawani was sentenced to 5 years in prison following his March 13, 2013, guilty plea to two separate criminal schemes: (1) conspiring to export to Africa luxury vehicles stolen from rental car companies and valued at more than $1 million, and (2) filing fraudulent federal tax returns that sought more than $200,000 from the federal government. The defendant had testified at the October 2013 trial of his brother, Thierno Lawani, who was convicted by a jury in the Eastern District of New York for his participation in the scheme to export stolen motor vehicles. Yasser Lawani’s sentence reflected the sentencing court’s judgment that he made false statements during his trial testimony. The sentence also included a term of supervised release of three years and an order that Lawani make restitution in the amount of $72,985 to his victims.
The sentence was announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; James T. Hayes, Jr., Special Agent-in-Charge, U.S. Immigration and Customs Enforcement, Homeland Security Investigations (HSI), New York; and Shantelle P. Kitchen, Special Agent-in-Charge, Internal Revenue Service (IRS), Criminal Investigation, New Jersey.
“The defendant devised and executed two brazen schemes that defrauded rental car companies and the U.S. government out of more than a million dollars and resulted in the theft of dozens of individuals’ identities, for the sole purpose of personal gain,” stated United States Attorney Lynch. “In addition, the defendant lied under oath at a federal trial. The defendant’s fraud and deception have now earned him a new home in federal prison. Today’s sentencing sends a message to others who seek to profit from similar schemes and underscores the seriousness with which our justice system views the commission of perjury.” Ms. Lynch expressed her grateful appreciation to HSI and the IRS, and thanked the New York City Police Department, the Port Authority Police Department, and the Office of the Queens County District Attorney for their assistance.
Over a period of several months in 2012, the defendant and his brother used fraudulent Canadian driver’s licenses and fraudulent credit cards to rent and then steal luxury cars from a variety of rental car agencies, including the Hertz Corporation. The defendant and his brother then drove the stolen cars to a warehouse in Newark, New Jersey, where the cars were loaded into shipping containers bound for Africa. At least 35 cars were stolen during the course of the scheme. The defendant’s brother, Thierno Lawani, was convicted in October 2013 of conspiracy to export motor vehicles, attempted exportation of motor vehicles, conspiracy to obstruct justice, and false statements. He is scheduled to be sentenced on February 28, 2013.
Between 2010 and 2012, the defendant filed 53 fraudulent federal income tax returns, each of which claimed a refund of taxes. In total, these fraudulent tax returns claimed in excess of $200,000 in refunds; the defendant actually received and stole $72,985 in connection with those returns. In filing the fraudulent returns, the defendant utilized the identities of 43 individuals.
Today’s sentence was imposed by United States District Judge Margo K. Brodie.
The government’s case is being prosecuted by Assistant United States Attorney Alixandra E. Smith.
The Defendant
YASSER LAWANI
Age: 30
Lindenwold, New Jersey / Cotonou, BeninEDNY Docket No. 13-CR-139 (MKB)
Dallas Man Pleads Guilty to Federal Child Pornography Offenses Involving Prepubescent MinorRead the Press Release
DALLAS — Ulises Sandoval, 26, of Dallas, appeared this morning before U.S. District Judge Ed Kinkeade and pleaded guilty to one count of production of child pornography and one count of possession of prepubescent child pornography. Sandoval, who is in custody, faces a statutory sentence of not less than 15 or more than 30 years in federal prison on the production count and a statutory maximum of 20 years in federal prison on the possession count. In addition, each count carries a maximum statutory fine of $250,000 and up to a lifetime of supervised release. Sentencing is set for March 5, 2014, before Judge Kinkeade. The announcement was made today by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to the factual resume filed in the case, special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) received information that a person, later identified as Sandoval, was trading images of child pornography over email. They executed a search warrant at his home on September 25, 2013, and arrested him.
Sandoval admitted using his email address to join a website for the purpose of trading images and videos of child pornography, and he also admitted using email to meet individuals with a similar interest in child pornography to trade child pornography with them. He admitted taking photographs of “Jane Doe,” who was less than seven years old at the time, while he engaged in sexually explicit conduct with her, and then sharing those images with others.
Forensic analysis located images of child pornography on Sandoval’s laptop computer. Sandoval admitted that he had more than 2500 child pornography images and videos on his hard drive and some of those depicted sadistic and or violent conduct; 21 of the files depicted infants and toddlers.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about Internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The investigation is being conducted by ICE HSI. Assistant U.S. Attorney Camille Sparks is in charge of the prosecution.
DC Man Charged with Assaulting Prison GuardRead the Press Release
Elijah Francis, 43, of the District of Columbia was charged today by Indictment with assaulting a federal corrections officer at the Federal Detention Center in Philadelphia, on May 21, 2013, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of 20 years in prison, five years supervised release, a $250,000 fine, and a $100 special assessment.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Yvonne Osirim.
Click here to view the indictment
An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Computer Company Owner Sentenced to Prison, Ordered to Pay Restitution for Defrauding CustomersRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been sentenced in federal court to 30 months in jail and ordered to make restitution in the amount of $422,740.87 on his conviction of wire fraud, United States Attorney David J. Hickton announced today.
United States District Judge David S. Cercone imposed the sentence on Jeffrey Stephen Kodba, 32, of Erie, Pennsylvania.
According to information presented to the court, Kodba was the President and owner/operator for JSK Computer Services and Asset Recovery. From in and around April 2006, to in and around June 2011, Kodba executed a scheme to defraud numerous customers out of approximately $422,740.87 by repeatedly shipping scrap metal and broken computer equipment to customers who ordered and paid for computer equipment that was represented by Kodba to be working and in good condition. When customers then requested refunds of the money they had wired to Kodba, he refused to return the victims’ money or send equipment which corresponded to the customers’ legitimate expectations.
Prior to imposing sentence, Judge Cercone noted Kodba’s extensive criminal history and the significant impact on the victims.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation for the investigation leading to the successful prosecution of Kodba.
Cedar Rapids Man Sentenced for Providing A Gun to A FelonRead the Press Release
A man who provided a gun to a felon was sentenced November 25, 2013, to more than three years in federal prison.
Demetrius Hardiman, age 19, from Cedar Rapids, Iowa, received the prison term after an August 6, 2013, guilty plea to one count of transferring a firearm to a prohibited person.
At the plea hearing, Hardiman admitted that on May 8, 2013, he knowingly gave a gun to his brother, a convicted felon who was prohibited from possessing firearms. Cedar Rapids Police Officers encountered Hardiman and his brother at 1:15 a.m. and discovered that Hardiman=s brother, a felon, unlawfully possessed a cocked and loaded 9mm handgun. Hardiman told officers that he stole the gun the year before and had his brother carry the gun that night for protection. Hardiman had been breaking into unlocked cars that night and intended to use the gun if confronted by the cars’ owners.
Hardiman was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. Hardiman was sentenced to 41 months’ imprisonment. A special assessment of $100 was imposed. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Hardiman is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted as part of Project Safe Neighborhoods, a cooperative local, state and federal program aimed at the enhanced prosecution of gun crimes. The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and was investigated by the Cedar Rapids Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, and Firearms.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 13-0037.