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3 October 2013
Northern Arapaho Man Sentenced for Assault Resulting in Serious Bodily InjuryRead the Press Release
United States Attorney Christopher A. Crofts announced today that onOctober 2, 2013, Claude Lee Duran, Jr., 26-year-old enrolled Northern Arapaho Tribal member, was sentenced by United States District Court Judge Scott Skavdahl to 80 months imprisonment, to be followed by three years of supervised release, and was ordered to pay restitution in the amount of $969.35 and a $100.00 special assessment. Mr. Duran Jr. previously pled guilty to the offense of assault resulting in serious bodily injury. This case was investigated by the Bureau of Indian affairs with the assistance of the Federal Bureau of Investigation.
Moses Lake Man Sentenced to Five Years in Federal Prison for Distribution of Child PornographyRead the Press Release
Spokane – Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that Santiago Velasquez Martinez, age 30, of Moses Lake, Washington, was sentenced on October 2, 2013, after having previously pleaded guilty on July 2, 2013, to Distribution of Child Pornography. Chief United States District Court Judge Rosanna Malouf Peterson sentenced Martinez to a five year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison.
According to information disclosed during the court proceedings, in August of 2012, the United States Secret Service conducted an online undercover investigation to identity those possessing and distributing child pornography on the Internet using peer to peer file sharing software. As a result of the investigation, on October 30, 2012, the USSS executed a search warrant at Martinez's residence and located his laptop computer that was found to contain 249 videos and 54 still images of child pornography. Some of the videos depicted minors in bondage, and a number of the child pornography images were of children under the age of 12 years.
Michael C. Ormsby stated, "The United States Attorney's Office in the Eastern District of Washington is, and will continue to be, committed to prosecuting aggressively and seeking appropriate punishment for child pornography crimes. Prosecuting offenders who are not only collecting child pornography, but also distributing child pornography to others is a priority of the United States Attorney's Office."
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative ("PSC") has five major components:
- Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue child victims;
- Participation of PSC partners in coordinated national initiatives;
- Increased federal enforcement in child pornography and enticement cases;
- Training of federal, state, and local law enforcement agents; and
- Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources".
This investigation was conducted the United States Secret Service. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.
CR-12-0122-RMP
Lubbock Man Sentenced to 24 Months in Federal Prison for Committing PerjuryRead the Press Release
LUBBOCK, Texas — Ernesto Garcia, 59, of Lubbock, Texas, was sentenced today by U.S. District Judge Sam R. Cummings to24 months in federal prison, and a term of three years supervised release, following his guilty plea in June 2013 to one count of perjury, stemming from his sworn testimony in a detention hearing held in May 2012 in federal court in Lubbock. Garcia has been in federal custody since his arrest in late May 2012. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to the factual resume filed in the case, on April 16, 2013, the U.S. filed a Motion to Detain defendant Pena, in the case of U.S. v. San Juanita “Janie” Pena, Case No. 5:12-CR-024-C(2). In that case, defendant Pena was charged with conspiracy to commit tax fraud and false statements, and numerous substantive counts of the same. One of the government’s main allegations was that Pena had no home, residence, or place to live or go if she were released. Pena contested the motion and a detention hearing was held on May 2, 2012.
During that hearing, according to the factual resume, Pena called Garcia as a witness to testify on her behalf. After being sworn in, Garcia testified that he had known Pena for 10 to 12 years and that he could be responsible for her if she were released into his custody. On cross-examination, in response to questions posed to him, Garcia testified that he did not have a criminal record. In fact, Garcia well knew that he did have a criminal record, having been convicted in 1993 in Iowa for possession of a controlled substance.
The case was investigated by Internal Revenue Service Criminal Investigation. Assistant U.S. Attorney Paulina Jacobo prosecuted.
Lafayette County Man Imprisoned for Attempted Enticement of a MinorRead the Press Release
Felicia C. Adams, United States Attorney for the Northern District of Mississippi, announced that:
Brandon Matthew Oliver, 37, of Oxford, Mississippi, was sentenced Wednesday, October 2, 2013, by U. S. District Judge Michael P. Mills, in Oxford, Mississippi. Oliver had previously pled guilty to attempting to entice a 15 year old girl to meet him for sex in Tupelo, Mississippi, using a means of interstate communication. Oliver was sentenced to 120 months in prison and was sentenced to 7 years supervised release following the term of imprisonment. Oliver remained in custody and will be required to register as a sex offender when released from prison.
The case was investigated by the Tupelo, Mississippi, Police Department and was prosecuted by Assistant United States Attorney Clay Joyner.
Contact: John Marshall Alexander, Chief of Criminal Division, United States Attorney’s Office, Oxford, Mississippi (662) 234-3351
Former Yoakum County Sheriff Deputy Pleads Guilty in Federal CourtRead the Press Release
Defendant Admits His Involvement in Cocaine Distribution Conspiracy
LUBBOCK, Texas — Inoe R. Valdez, Jr., 43, a former deputy sheriff with the Yoakum County Sherriff’s Department (YCSD), appeared in federal court today and pleaded guilty to a felony offense stemming from his involvement in a cocaine distribution conspiracy, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Specifically, Valdez pleaded guilty to an Information charging one count of unlawful use of a communications facility. Valdez, who will remain on bond, faces a maximum statutory penalty of 48 months in federal prison and a $250,000 fine. Judge Cummings ordered a presentence investigation report with a sentencing date to be set after the completion of that report.
Valdez admits that from July 2009 until approximately August 2010, he used a cellphone to commit, cause and facilitate a conspiracy to distribute and possess with the intent to distribute cocaine and distribution and possession with intent to distribute cocaine.
According to documents filed in the case, in February 2010, investigators with the Texas Department of Public Safety (DPS) learned that Valdez was associating with a particular individual who was suspected of trafficking controlled substances in Yoakum County, Texas. Following a traffic stop of this individual, DPS learned that this individual had Valdez’s cell phone number saved in his cell phone and in fact, had made 15 calls to, and received one call from, Valdez, during the period November 1, 2009 to March 18, 2010.
This individual advised DPS that Valdez had instructed him/her to call or text him and say that he/she “had some information” for Valdez, which would be the signal for Valdez to go to that individual’s home so they could discuss narcotics-related matters. This individual advised that in winter 2009, Valdez asked him/her for three to four ounces of cocaine to give to another individual in Brownsfield, Texas. This individual sold Valdez three ounces of cocaine for $2,100. This individual also advised DPS that this was not the only time he/she furnished cocaine to Valdez.
In June 2010, a person, working at the direction of the DPS, met Valdez and asked Valdez for $50 worth of cocaine. Valdez advised this person that he would provide it in a day or two. This person told Valdez that they had a friend who was going to send them cocaine from Mexico. Valdez advised that he would purchase one-quarter of a kilogram of cocaine per week at $500 per ounce and sell it for $800 per ounce. Valdez also indicated an interest in receiving marijuana.
When DPS investigators interviewed Valdez in November 2011, he stated that his financial debts had become overwhelming, and he had discussed a joint venture with the first individual to smuggle 200-300 pounds of marijuana to Oklahoma or Kansas. Valdez advised that this venture never materialized, but that this same individual later approached Valdez about selling cocaine and Valdez agreed.
Valdez admitted that from summer 2009 to summer 2010, while he worked as a deputy in the YCSD, he distributed approximately 1.5 pounds of cocaine. Valdez stated that he stopped selling cocaine in August 2010 because he learned he was under investigation; shortly thereafter, he resigned from the YCSD.
The case is being investigated by the Texas DPS, the FBI, the Yoakum County District Attorney’s Office and the Yoakum County Sheriff’s Office. Assistant U.S. Attorney Jeffrey Haag is in charge of the prosecution.
Former Attorney Indicted for Securities and Bank FraudRead the Press Release
BIRMINGHAM -- A federal grand jury today indicted a former attorney in connection with a wire, mail and securities fraud scheme involving the fraudulent taking of more than $2.8 million dollars in investment funds, announced U.S. Attorney Joyce White Vance, FBI Special Agent in Charge Richard D. Schwein Jr. and Alabama Securities Commission Director Joseph Borg.
A 21-count indictment filed in U.S. District Court charges CHRISTOPHER SHAWN LINTON, 34, of Alabaster, with the securities fraud scheme and with bank fraud arising out of the submission of a fraudulent commercial loan application to Iberia Bank for a loan of $908,650.
According to the indictment, the securities fraud scheme unfolded as follows:
In 2007, Linton became an officer, partner and part owner of a business known as Integrity Capital Inc., by purchasing stock in the company. Integrity Capital Inc. was a factoring business located in the greater Birmingham area. Its business was to make advance payments to lawyers who had submitted payment vouchers for work performed for the State of Alabama. Integrity Capital would then receive the voucher payments from the state and keep a percentage as a fee.
In 2009, Linton formed Integrity Capital LLC. Beginning about August 2009, Linton recruited investment advisors to solicit investments in Integrity Capital LLC in order to purchase the assets and capital stock of Integrity Capital Inc. Between September 2009 and December 2011, a total of 12 individuals invested more than $2.8 million in Integrity Capital LLC. The investors mailed, wired or delivered money to Linton and the funds were deposited into one of several bank accounts held by the law firm where Linton worked as an attorney. After receiving the investor funds, Linton fraudulently converted them for personal use by writing personal checks to himself and by using the funds for non-investment purposes. The non-investment purposes, included, but were not limited to, the purchase of his personal residence, construction projects at the residence, private jet flights, vacations, recreational vehicles, furniture, luxury items, Auburn football tickets and a donation to the Heisman Trophy Trust.
The maximum penalty for each wire fraud charge is 20 years in prison and a $250,000 fine, the maximum penalty for each mail fraud charge is 20 years in prison and a $250,000 fine, the maximum penalty for money laundering is 10 years in prison and a $250,000 fine, the maximum penalty for each securities fraud charge is 5 years in prison and a $250,000 fine, and the maximum penalty for bank fraud is 30 years in prison and a $1,000,000 fine.
The FBI and Alabama Securities Commission investigated the case, which Assistant U.S. Attorney Robin Beardsley Mark is prosecuting along with Greg Biggs Associate Counsel with Alabama Securities Commission.The public is reminded that an indictment contains only charges and it will be the government's responsibility to prove the defendant's guilt beyond a reasonable doubt at trial.
Doctor Sentenced for Tax OffenseRead the Press Release
NEW BERN – United States Attorney Thomas G. Walker announced that today in federal court, United States District Judge Louise W. Flanagan sentenced susan marie lee , age 58, of Raleigh, North Carolina, to 36 months imprisonment and ordered her to pay $496,854.64 in restitution to the Internal Revenue Service. LEE was immediately taken into custody after the sentencing hearing. LEE was named in a Criminal Information filed on March 4, 2013 charging her with Corrupt Interference with the Internal Revenue laws. On May 14, 2013, LEE pled guilty to that charge.
According to the investigation, LEE, a graduate of the University of North Carolina Dental School, has an extensive history of non-compliance with the revenue laws. From 1996 through and including 2009, Dr. LEE endeavored to obstruct and impede the Internal Revenue Service by failing to file income tax returns or pay taxes she claimed to owe, filing false income tax returns, forming sham entities to disguise personal expenses as payments related to her dental practice, transferring ownership of her real property to nominees, and fraudulently seeking to discharge her IRS debt by filing for bankruptcy. Despite having numerous opportunities to settle her obligations with the IRS administratively, Dr. LEE maintained a defiant position, refusing to comply with the tax laws. She affirmatively sought to divert her income into sham corporations and hide her assets from seizure. Finally, in 2009, she filed for bankruptcy in an effort to discharge nearly $1 million in tax debt due and owing to the IRS. The Civil Division of the US Attorney’s Office represented the IRS in US Bankruptcy Court and successfully defeated her attempts to discharge this debt.
Investigation of this case was conducted by the Internal Revenue Service Criminal Investigations. Assistant United States Attorney Katherine Burnette represented the IRS in the bankruptcy action and Assistant United States Attorney Susan B. Menzer prosecuted the case for the government.
Correctional Institution Employee Sentenced on Bribery Related OffenseRead the Press Release
NEW BERN - United States Attorney Thomas W. Walker announced today RAYE LYNN HOLLEY, 50,a formercorrectional officer at the Rivers Correctional Institution, Winton, North Carolina, and KENNETH DODD, a formerinmate at the Rivers Correctional Institution, were sentenced today by United States District Judge Louise W. Flanagan to 20 months and 37 months imprisonment, respectively.
Investigation revealed that HOLLEY, while employed as a correctional officer at the Rivers Correctional Institution, accepted payments from inmates within the facility in return for smuggling in contraband items such as cell phones and cigarettes. It further showed that DODD and other inmates paid bribes to correctional officers to gain their cooperation in the scheme. Two others have been previously convicted and sentenced for their conduct in the scheme: former Rivers Correctional Officer Rhonda Boydwassentenced in July 2013 to 20 months’ imprisonment; and former Rivers inmate Roland Bazemore was sentenced in April 2013 to 30 months’ imprisonment. In May, 2013, former correctional officer Rashonda Cross entered a plea of guilty for conspiring to accept bribes from inmates at Rivers, as well. Cross is set to be sentenced in December 2013.
Investigation of this case was conducted by the Department of Justice, Office of Inspector General and the Federal Bureau of Investigation, with assistance provided by the United States Postal Inspection Service.
Convict Edison Burgos-Montes Sentenced to Life in Prison for the Murder of A WitnessRead the Press Release
SAN JUAN, PR – On October 2, 2013, Edison Burgos-Montes was sentenced to life in prison following his conviction of two capital murder counts, Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and United States Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez announced today.
On August 29, 2012, Burgos-Montes, 43, was convicted after a five month trial in U.S. District Court in San Juan of one count of conspiracy to possess with intent to distribute cocaine, one count of conspiracy to import cocaine, one count of murdering a witness to prevent testimony in an official proceeding, and one count of murdering a witness in retaliation for providing information to law enforcement.
The counts of conviction on capital murder charges necessitated a separate penalty phase of the trial. That phase of the trial began on September 10, 2012, and concluded after a week and a half of testimony on September 19, 2012. The jury began its deliberations on September 25, 2012, and concluded them after two and a half days without coming to a unanimous verdict. U.S. District Court Judge Jay García-Gregory presided over the trial. There is no parole in the federal system.
On or about July 4, 2005, Burgos-Montes killed Madelyn Semidey-Morales, a government witness and informant, to prevent her from further informing authorities about the defendant’s unlawful narcotics trafficking and to retaliate against her for providing information relating a law enforcement officer. To this day, her body has not been found. Burgos-Montes was Semidey-Morales’s consensual partner.
The trial was prosecuted by Trial Attorneys Julie Mosley and Jeffrey Kahan of the Justice Department Criminal Division’s Capital Case Section and Assistant United States Attorney Marcela Mateo of the District of Puerto Rico. The case was investigated by the Drug Enforcement Administration and the Puerto Rico Police Department, with assistance from the FBI’s San Juan Field Office Evidence Recovery Team.
Anchorage Drug Dealer sentenced in Federal Court to 84 months in prisonRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a resident of Anchorage has been sentenced in federal court for his conviction of drug trafficking conspiracy.
Rhadames Marmolejos, Jr., 21, of Anchorage, Alaska, was sentenced today by Chief U.S. District Court Judge Ralph R. Beistline to 84 months in prison.
According to information presented to the court by Special Assistant U.S. Attorney Erin White Bradley, who prosecuted the case, Marmolejos sold heroin on eight separate occasions to an undercover agent working for the DEA. Marmolejos obtained the drugs from his co-defendants, Christopher Thomas Mejia and Jared Thomas Bowers. The total amount of heroin involved in this drug trafficking conspiracy amounted to over 500 grams. At the time of his arrest, law enforcement discovered a Taurus Pro DS semiautomatic pistol, a Remington 870 Tactical 12-gauge shotgun, two drug scales with heroin residue, and assorted ammunition in Marmolejos’ apartment.
Prior to imposing sentence, Judge Beistline noted both Marmolejos’ youth and his assaultive criminal history involving firearms. In prior state cases, Marmolejos assaulted his victims while using both firearms and death threats. Marmolejos pled guilty to his offense, while his co-defendants were convicted at trial in August of this year. Mejia and Bowers will be sentenced later this month.
Ms. Loeffler commends the Drug Enforcement Administration and the United States Postal Inspection Service for the investigation leading to the convictions in this case. SAUSA Bradley is a prosecutor in the U.S. Attorney’s Office funded by the Municipality of Anchorage for the purpose of prosecuting gang-related and violent crime cases.
Alleged Al-Qaeda Member Extradited to U.S. to Face Charges in Terrorism ConspiracyDefendant and Others Planned Suicide Bomb Attack Against Americans in EuropeRead the Press Release
WASHINGTON – Nizar Trabelsi, a Tunisian national, has been extradited to the United States to face charges in federal court in the District of Columbia stemming from a conspiracy to carry out a suicide bomb attack against Americans in Europe.
Trabelsi was arrested in Belgium on Sept. 13, 2001, before he carried out the planned attack. After 12 years in custody there, where he served time on Belgian charges, Trabelsi was extradited and transported today to face charges in the United States. Trabelsi was indicted in 2006 by a grand jury in the U.S. District Court for the District of Columbia, and a superseding indictment was filed the following year. The charges were unsealed today.
The indictment alleges that Trabelsi personally met in the spring of 2001, with Osama bin Laden to volunteer for a suicide bomb attack against U.S. interests. Preparations unfolded over the next several months, according to the indictment, with Trabelsi allegedly obtaining chemicals in Europe and subsequently joining others to scout a potential target: a military facility that was used by the United States and the United States Air Force.
The charges were announced by Ronald C. Machen Jr., U.S. Attorney for the District of Columbia, John P. Carlin, Acting Assistant Attorney General for National Security, and Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office.
Trabelsi, 43, is charged with conspiracy to kill U.S Nationals outside of the United States; conspiracy and attempt to use weapons of mass destruction; conspiracy to provide material support and resources to a foreign terrorist organization; and providing material support and resources to a foreign terrorist organization.
According to the indictment, Trabelsi was residing in Germany in 2000, when he met with other conspirators and made preparations to travel to Afghanistan to train for jihad.
In the spring of 2001, the indictment alleges, he met with bin Laden in Afghanistan, and offered to carry out a suicide bomb attack. According to the indictment, he later spoke with Muhammed Atef, a high-ranking member and chief military planner of al-Qaeda, at bin Laden’s direction. Additionally, the indictment states, he met with others with whom he was to form a cell for the purpose of carrying out a suicide attack.
According to the indictment, Trabelsi and other conspirators discussed various possible targets for a suicide bomb attack and he undertook training in how to place explosives. In June 2001, the indictment states, Trabelsi traveled to Pakistan, where he obtained money from an al-Qaeda associate for use in carrying out his mission. The following month, he rented an apartment in Brussels, Belgium. While in Belgium, Trabelsi bought quantities of chemicals to be used in manufacturing a 1,000-kilogram bomb, the indictment alleges. Additionally, according to the indictment, he traveled at night with conspirators to scout the military base.
The investigation into this matter was conducted by the FBI’s Washington Field Office. The Department of Justice, Criminal Division’s Office of International Affairs provided significant assistance in this matter. The Department of Justice expressed appreciation to the government of Belgium and the Belgian Federal Police for their assistance. The prosecutors handling the case are Assistant U.S. Attorneys Jonathan M. Malis and Opher Shweiki of the U.S. Attorney’s Office for the District of Columbia and Trial Attorney Mara Kohn of the Counterterrorism Section of the Justice Department’s National Security Division.
If convicted of the charges filed in the indictment, Trabelsi faces a maximum sentence of life in prison. An indictment is merely a formal charge that a defendant has violated a criminal law. All defendants are presumed innocent until and unless proven guilty.
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2 October 2013
Vancouver Man Pleads Guilty to Arson ConspiracyRead the Press Release
A 60-year old Vancouver, Washington man pleaded guilty October 2, 2013 to conspiracy to commit arson in connection with a March 2003 arson, announced U.S. Attorney Jenny A. Durkan. MARK DUANE FUSTON, also known as “Mau Mau,” admitted he used propane and various flammable liquids to burn down the ‘Desire Video’ store that was nearing completion on NE 94th Avenue in Vancouver. The fire destroyed the building causing some $850,000 in damage. Sentencing is scheduled for December 16, 2013, in front of U.S. District Judge Benjamin H. Settle. Prosecutors have agreed to recommend no more than 37 months in prison. Judge Settle is not bound by the recommendation and can sentence FUSTON to any sentence up to the five year maximum.
According to the plea agreement, FUSTON was hired to torch the building. FUSTON and another man (now deceased) acted together to commit the arson. On the night of March 27, 2003, FUSTON rerouted a propane line into the building and placed a remote control incendiary device in the building. However, when the remote control device malfunctioned, FUSTON returned to the building and left a fuel trail to the building which he later ignited manually. The fire ignited the propane trapped inside the building causing the explosion and fire.
FUSTON was indicted March 27, 2013.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Vancouver Police Department and the Vancouver Fire Department. The case was prosecuted by Assistant United States Attorney Gregory A. Gruber.
Tax Evader Sentenced to 30 Months in PrisonRead the Press Release
PITTSBURGH - Thomas D. Tuka has been sentenced in federal court to 30 months in prison on his conviction of income tax evasion and failure to file tax returns, United States Attorney David J. Hickton announced today.
United States District Judge Terrence F. McVerry imposed the sentence.
According to information presented to the court, Tuka failed to file taxes and evaded income tax on more than $480,000 in taxable disability income he received during the period from 2003 - 2008.
Prior to imposing sentence, Judge McVerry stated that Mr. Tuka had previously served honorably in the military but [in these actions] "thumbed his nose at those serving today and all those who pay their taxes."
Assistant United States Attorney Leo M. Dillon prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Internal Revenue Service, Criminal Investigation for the investigation leading to the successful prosecution of Tuka.
Second Female Getaway Driver Arrested and Detained in the Two St. Lucie County PNC Armed RobberiesRead 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, John A. Bolduc, Chief, Port St. Lucie Police Department, Kenneth Mascara, St. Lucie County Sheriff’s Office, J. Michelle Morris, Chief, Sebastian Police Department, and Deryl Loar, Sheriff, Indian River Sheriff’s Office, announce the arrest and detention of Raven Simone Sayers, 23, of Hallandale, FL. Sayers made her initial appearance on September 26, 2013, and was ordered detained pending trial as both a risk of flight and danger to the community by U.S. Magistrate Judge Frank J. Lynch, Jr. in Ft. Pierce. She is scheduled for arraignment on Friday October 4, 2013.
The criminal complaint charged Sayers with conspiracy to obstruct, delay, or affect commerce or the movement of any article or commodity in commerce by robbery (Hobbs Act), in violation of Title 18, United States Code, Section 1951; and conspiracy to use and carry a firearm during and in relation to a crime of violence in violation of Title 18, United States Code, Sections 924(o) and 924(c). If convicted of the Hobbs Act robbery conspiracy, Sayers faces a possible maximum statutory sentence of 20 years in prison. If convicted of the conspiracy to use and carry a firearm during and in relation to a crime of violence, Sayers faces a mandatory minimum of seven years, and a possible maximum sentence of life, in prison, consecutive to any other sentence imposed.
According to the criminal complaint, on July 8, 2013, the PNC Bank, located in Fort Pierce, Florida, and PNC Bank in Port St. Lucie, Florida were robbed almost simultaneously at gunpoint by groups of black males wearing white clothing and white cloth masks. In each robbery, the groups of males fled in mini vans stolen earlier that morning. One group, was apprehended after a police chase that ended near the intersection of Port St. Lucie Boulevard and Aster Road in Port St. Lucie, Florida. Upon execution of a state search warrant on the white Chrysler sedan, a large amount of currency, a semi-automatic handgun, several cellular phones, cloth gloves, and numerous articles of clothing, consistent with what the bank robbers wore during the robbery of the PNC Bank in Fort Pierce, Florida, was recovered. The driver Tomaleesha Jeffie Laqua McKeliver, and the three passengers, Anthony Isaac Johnson, Allan Demetrius Bradford, and Ivory Lee Robinson, III were arrested and transported to the Port St. Lucie Police Department.
The criminal complaint also states that shortly after two of the males fled the PNC Bank in Port St. Lucie, Florida, the third became momentarily trapped inside, and was observed removing clothing as he fled. A bag containing money was recovered near the PNC Bank, and Paul Edward Moore was arrested nearby and transported to the Port St. Lucie Police Department. With the exception of Moore, the other individuals involved in the PNC Bank in Port St. Lucie, Florida, remained at large.
During Sayers’ detention hearing, an FBI Agent testified that Sayers was implicated as part of the West Palm Beach group that traveled to St. Lucie County for the specific purpose of robbing PNC banks. According to the agent, Sayers was identified as the second getaway driver, and that cell tower records place Sayers in close proximity to both of the St. Lucie County PNC banks, prior to the gun point robberies, and near the site of the minivan thefts. Testimony also revealed that Sayers was in cell phone contact with at least three of the five co-defendants, around the time of the two St. Lucie County bank robberies. The FBI agent also testified that there is a West Palm Beach Walmart video showing Sayers purchasing gloves, consistent with those worn by the robbers during the two St. Lucie County PNC bank robberies.
Mr. Ferrer commended the investigative efforts of the FBI, Port St. Lucie Police Department, St. Lucie County Sheriff’s Office, and the Sebastian Police Department for their work on this case. The case is being prosecuted by Assistant U.S. Attorney Carmen Lineberger.
A criminal complaint is only an accusation and a defendant is presumed innocent until proven guilty.
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.
Realtor Indicted for Tax Evasion and False StatementsRead the Press Release
TALLAHASSEE, FLORIDA – A two-count indictment was filed today in U.S. District Court in Tallahassee, charging William “Geri” Eaton, 59, with tax evasion and making false statements in a matter involving a health care benefit program.
The indictment alleges that between August 2010 and December 2011, Eaton willfully evaded payment of more than $650,000 in federal income taxes by concealing from the Internal Revenue Service the nature, location, and extent of his assets, by making false and misleading statements and material omissions concerning the existence of IRS liens on his property, and by opening a bank account using a false social security number. The indictment also alleges that in October 2011, Eaton made false statements and submitted false documents in a matter involving Sacred Heart Health System.
If convicted, Eaton faces a maximum of five years in prison on each count of the indictment.
The case was investigated by IRS Criminal Investigation. It is being prosecuted by Assistant United States Attorney Karen Rhew-Miller
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt.Newburyport Man Sentenced to 10 Months in Prison for Social Security FraudRead the Press Release
BOSTON - A Newburyport man was sentenced today for theft of public money.
John Flaherty, 61, was sentenced by U.S. District Court Judge Denise J. Casper to 10 months in prison, followed by one year of supervised release. He was also ordered to pay $168,830 in restitution to the Social Security Administration. In June 2013, Flaherty pleaded guilty to theft of public money.
From 1999 to 2012, Flaherty took monthly Social Security Widow's benefits intended for his mother, who was deceased. The payments totaled $168,830.
United States Attorney Carmen M. Ortiz and Scott Antolik, Special Agent in Charge of the Office of Inspector General, Social Security Administration, Office of Investigations – Boston Field Division, made the announcement today. The case was prosecuted by Timothy Landry of Ortiz’s Major Crimes Unit.
Multi-Agency Investigation Leads to Drug Charges Against 11 People in Four StatesRead the Press Release
PITTSBURGH – Eleven people from several states have been indicted by a federal grand jury in Pittsburgh for violating federal drug trafficking laws on a major scale, United States Attorney David J. Hickton announced today.
The one-count indictment, returned on Sept. 25 and unsealed on Oct. 1, charges: Luis Carde, 41, of Pittsburgh, Pa.; Jason Beggarly, 36, of Pittsburgh, Pa.; T Nolan Hardeman, 31, of Pittsburgh, Pa.; Orlando Hernandez, 39, of Kissimmee, Fla.; Nakei Jackson, 37, of Pittsburgh, Pa.; Edred Melendez, 39, of Orlando, Fla.; Lamar Miles, 36, of Pittsburgh, Pa.; Rhionna Rhodes, 33, of Pittsburgh, Pa.; Robert Rios, 25, of Ridgewood, New York; Angel Rodriguez, 50, of Cleveland, Ohio; and Justin Silvio, 36, of Pittsburgh, Pa., as defendants
According to the indictment, from in and around January 2011 to in and around September 2013, the above-named defendants conspired with each other to distribute and possess with intent to distribute five kilograms or more of cocaine, 500 grams or more of methamphetamine, and one kilogram or more of heroin.
The law provides for a maximum total sentence of not less than 10 years and up to life in prison, a fine of $10,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys Katherine A. King and Craig W. Haller are prosecuting this case on behalf of the United States.
A task force led by the Drug Enforcement Administration conducted the investigation leading to the indictment in this case. The task force also included several other federal, state, and local agencies from multiple states, including the Internal Revenue Service - Criminal Investigations; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the United States Marshals Service, the Pennsylvania State Police, the Allegheny County District Attorney’s Office, the Pittsburgh Bureau of Police, the Allegheny County Police Department, the Penn Hills Police Department, the Monroeville Police Department, and the McKees Rocks Police Department.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former Vice President of Finance Pleads Guilty to Fraud Scheme and Tax EvasionRead the Press Release
SAN FRANCISCO - Stella W. Kwan pleaded guilty to mail fraud and tax evasion in federal court in San Francisco yesterday, United States Attorney Melinda Haag announced.
In pleading guilty, Ms. Kwan admitted that she served as the Vice President of Finance for Bite Communications, a global marketing and management consulting company with offices around the world, including in San Francisco. Ms. Kwan was responsible for maintaining Bite’s financial books and records and handling incoming and outgoing funds. Ms. Kwan admitted that she prepared and signed more than 60 unauthorized checks payable to herself or for her benefit, including paying her personal American Express bills. In all, Ms. Kwan admitted that from 2008 until she was terminated in 2012, she defrauded her employer out of more than $2 million. Ms. Kwan also admitted that, during the same time period, she committed tax evasion by understating the taxable income on her federal income tax returns.
Ms. Kwan, 43, of San Francisco, was charged by Information on August 22, 2013, with one count of mail fraud, in violation of Title 18, United States Code, Section 1341, and one count of tax evasion, in violation of Title 26, United States Code, Section 7201. Under the plea agreement, Ms. Kwan pled guilty to both counts.
Ms. Kwan’s sentencing hearing is scheduled for January 28, 2014, before The Honorable William H. Alsup, U.S. District Court Judge, in San Francisco. The maximum statutory penalty for mail fraud, in violation of Title 18, United States Code, Section 1341, is 20 years in prison, a fine of $250,000, and restitution. The maximum statutory penalty for tax evasion, in violation of Title 26, United States Code, Section 7201, is 5 years in prison, a fine of $250,000, and restitution. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Doug Sprague is the Assistant U.S. Attorney who is prosecuting the case with the assistance of legal tech Rayneisha Booth The prosecution is the result of a six-month investigation by the Internal Revenue Service—Criminal Investigation and the Federal Bureau of Investigation.
Former TCU Football Player and Fellowship of Christian Athletes Staffer Is Sentenced to 168 Months in Federal Prison for Defrauding Investors in Nearly $16 Million Forex ScamRead the Press Release
Defendant Also Ordered to Pay $9,985,403 in Restitution
DALLAS – Eldon A. Gresham, Jr., 67, formerly of Olney, Texas, was sentenced this afternoon, by U.S. District Judge Jorge A. Solis, to 168 months in federal prison, three years of supervised release, and ordered to pay $9,985,403 in restitution following his guilty plea in January 2013 to one count of mail fraud stemming from a foreign currency exchange (ForEx) scam he ran from January 2004 through June 2009. The announcement was made today by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to documents filed in the case, Gresham recruited at least 90 individuals to invest in his ForEx trading business, The Gresham Company, which he operated out of Peachtree City, Georgia, where he resided. Gresham falsely represented to potential investors that he consistently generated large investment returns by trading investor funds in off-exchange foreign currency contracts in the ForEx market. Over the life of the scheme, Gresham fraudulently obtained approximately $15.8 million in investor funds.
As also noted in the superseding indictment, Gresham specifically targeted members of the Christian faith as potential investors, knowing that many of these Christian investors were elderly and particularly vulnerable to his scheme. He induced Christians to give him funds for investment by telling them that his success in currency trading was a blessing and gift from God, which Gresham considered to be “his ministry.” He also persuaded Christian investors to give him funds by telling them that the investors could later use investment profits to further God’s works.
According to the factual resume filed in the case, Gresham falsely represented inflated profits to investors and represented to several investors that he had never suffered any losses in his currency trading. He also falsely represented to investors the financial condition of their investor accounts by sending monthly emails that included falsely inflated investment profits. Gresham also falsely represented to investors that funds he distributed to existing investors were actual returns on investment for that investor, when he knew some of those funds were actually funds he received from new investors.
The U.S. Postal Inspection Service was in charge of the investigation. Assistant U.S. Attorneys David Jarvis, J. Nicholas Bunch and Kate Pfeifle prosecuted.
DEA Agent’s Wife Charged with Providing False Statements, Writings to the GovernmentRead the Press Release
PITTSBURGH – A Jefferson Hills resident has been indicted by a federal grand jury in Pittsburgh on charges of false statements and false writings to the government, United States Attorney David J. Hickton announced today.
The three-count indictment named Kimberly Baldwin, 46, of Jefferson Hills, Pa.
According to indictment presented to the court, Kimberly Baldwin, the wife of a DEA Special Agent, fabricated a story about threats made to her and her family. She provided false oral statements as well as false writings to the DEA in support of the fabricated story.
The law provides for a maximum total sentence of 15 years in prison, a fine of $750,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The Drug Enforcement Administration conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Charles City Woman Charged with Buying Firearms for FelonRead the Press Release
Wendi Patrie, age 44, from Charles City, Iowa, has been charged with committing four firearms offenses: two counts of making false statements in connection with buying firearms and two counts of transferring firearms to a felon. The charges are contained in an Indictment unsealed yesterday in United States District Court in Cedar Rapids.
The indictment charges Patrie with buying three firearms, one in 2010 and two in 2011, falsely claiming she was buying the firearms for herself when, in truth, she was purchasing the firearms for, and transferred the firearms to, her boyfriend and later husband, knowing he was a felon and could not legally possess firearms.If convicted, Patrie faces a possible maximum sentence of 40 years’ in prison, a $1 million fine, $400 in special assessments, and 14 years of supervised release following any imprisonment.
Patrie’s trial is scheduled for December 2, 2013.
As with any criminal case, a charge is merely an accusation and a defendant is presumed innocent until and unless proven guilty.The case is being prosecuted by Assistant United States Attorney C.J. Williams and was investigated by the Federal Bureau of Alcohol, Tobacco, Firearms and Explosive, the Iowa Division of Criminal Investigation, the Charles City Police Department, and the Floyd 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-2025.
1 October 2013
York Man Filed False Tax Returns Claiming RefundsRead the Press Release
JOHNSTOWN, Pa. - A resident of York, Pa., pleaded guilty in federal court to charges of conspiracy to defraud the government and filing false claims with Internal Revenue Service, United States Attorney David J. Hickton announced today.
Wendell Parker, 31, pleaded guilty to eleven counts before United States District Judge Kim R. Gibson.
In connection with the guilty plea, the court was advised that from April 2008 to Oct. 2010 Parker conspired to file 72 false and fictitious income tax returns claiming tax refunds totaling $210,581, and from Dec. 15, 2008, to May 26, 2010, he prepared and filed federal income tax returns claiming refunds knowing the claimant's address, wage information and withholding information was false and fictitious.
Judge Gibson scheduled sentencing for Feb. 20, 2014, at 11:00 a.m. The law provides for a total sentence of 60 years in prison, a fine of $2,750,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Internal Revenue Service-Criminal Investigation conducted the investigation that led to the prosecution of Parker.
United States Supreme Court Grants Certiorari in Criminal Case from West TennesseeRead the Press Release
Memphis, TN – This morning, the United States Supreme Court granted the petition of the
United States for a writ of certiorari in United States v. Castleman, a criminal case originating in the Western District of Tennessee, announced U.S. Attorney Edward L. Stanton III.
In August 2009, a federal grand jury in Memphis returned a superseding indictment charging
James Castleman with two counts of possessing a firearm after having been convicted of a misdemeanor crime of domestic violence, in violation of 18 U.S.C. § 922(g)(9). The district court granted the defendant’s motion to dismiss these charges in April 2010, on the basis that defendant’s prior Tennessee domestic assault conviction was not “a misdemeanor crime of domestic violence,” as that term is defined in federal law.
The United States appealed, and in September 2012 the U.S. Court of Appeals for the Sixth
Circuit affirmed the district court’s ruling, with each Judge of the three-member panel writing separately. The government sought rehearing by the en banc Court of Appeals, but the court declined to reconsider its decision.
In May 2013, the United States filed a petition for a writ of certiorari from the Supreme Court.
The Court granted that petition today and will consider the case during its 2013 term, which begins this Monday, October 7, 2013.
Assistant U.S. Attorney Daniel French and Criminal Appellate Chief Kevin G. Ritz represented the United States in the lower courts. The Office of the Solicitor General is representing the government in the Supreme Court.U.S. Attorney Announces Government Shutdown's Effects on Office OperationsRead the Press Release
LAFAYETTE/SHREVEPORT/MONROE/ALEXANDRIA/LAKE CHARLES, La. – United States Attorney Stephanie A. Finley announced today that operations of the Office of the U.S. Attorney for the Western District of Louisiana, all divisions - Lafayette, Shreveport, Monroe, Alexandria and Lake Charles are being affected by the partial shutdown in effect since midnight, October 1, 2013.
Most criminal litigation and related work will continue with limited interruption, as these activities are deemed essential to the safety of human life and the protection of property. The U.S. Attorney’s Office will continue to work closely with federal, state and local law enforcement on criminal matters. However, because of the appropriation lapse and partial shutdown, much of the office’s staff working on civil litigation is being furloughed. Administrative and criminal support staff are also being furloughed. All civil litigation in which the office is involved will be curtailed or postponed to the extent possible without compromising public safety or the protection of property, and always subject to the direction of the federal courts.
Because of the effects of the appropriations lapse on activities of the U.S. Department of Justice, the U.S. Attorney’s Office will not be able to readily respond to media inquiries. Press releases will be limited to urgent matters involving public safety. The office’s website will not be actively updated during the shutdown. The district will continue to receive communications from the public via mail, email and/or telephone. For additional information concerning the effects of the appropriations lapse and partial shutdown, visit www.justice.gov/jmd/publications/doj-contingency-plan.pdf or www.justice.gov/usao/law.
Sunrise Man Pleads Guilty to $20 Million Payroll Tax Fraud 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, Michael J. DePalma, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Christopher B. Dennis, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), announce that defendant Sonny Austin Ramdeo, 35, of Sunrise, pled guilty in connection with a $20 million federal payroll tax fraud scheme to two counts of fraud by use of wires and money laundering, in violation of Title 18, United States Code, Sections 1343 and 1956(a)(1)(B)(i).
According to court documents, from as early as 2005, defendant Ramdeo was employed as the payroll supervisor at Promise Healthcare, Inc. (Promise Healthcare) and Success Healthcare Group (Success Healthcare), both of which owned and operated hospital facilities throughout the United States. As payroll supervisor for these two companies, Ramdeo was responsible for overseeing the payment of bi-weekly wages and related payroll taxes for more than 3,500 employees.
To execute his scheme, Ramdeo allegedly incorporated PayServ Tax Inc., and thereafter represented to officers and employees of Promise Healthcare that PayServ Tax would handle the transfer of local, state and federal payroll taxes to the proper agencies on behalf of Promise Healthcare and Success Healthcare. In fact, however, Ramdeo kept the monies paid by Promise and Success Healthcare to PayServ and used the funds to open and operate EZ Jet Airlines between Guyana and New York.
Mr. Ferrer commended the investigative efforts of the FBI, IRS-CI, and HHS-OIG. This case is being prosecuted by Assistant U.S. Attorney Ellen L. Cohen.
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.
Pittsburgh Man Charged in Multiple Fraud SchemesRead the Press Release
PITTSBURGH - A Pittsburgh resident has been indicted on charges of bank embezzlement, bank fraud and mail fraud United States Attorney David J. Hickton announced today.
Joseph Graziano, Jr., 28, has been indicted on one count of bank embezzlement, seven counts of bank fraud and six counts of mail fraud.
According to the indictment presented to the court, from May 12, 2008 through March 25, 2011, the Graziano was employed by Bank of New York Mellon as a Corporate Trust Administrator. In this position, he had the access and ability to wire funds in and out of accounts held by Bank of New York Mellon's corporate trust customers. Graziano used this access to embezzle $2,441,294.35 from Bank of New York Mellon by wiring funds from the corporate trust accounts into his own bank accounts at Citizens Bank.
In the time before and after the defendant was employed by Bank of New York Mellon, he also engaged in schemes to defraud five other banks including Dollar Bank, First Niagara Bank, First Commonwealth Bank, Ameriserv Financial Bank and PNC Bank. Defendant submitted fraudulent loan documents to induce the banks to extend credit to him. With respect to the loans from First Commonwealth Bank and Ameriserv Financial Bank, defendant pledged as collateral for the loans two luxury vehicles, providing the banks with fraudulent duplicate titles to the vehicles.
Following the bank embezzlement and the bank frauds, the defendant began engaging in a new and separate scheme to defraud through the online marketplace www.ebay.com. Defendant defrauded eBay buyers by offering personal electronics for sale on eBay. After the buyers submitted payment to the defendant's PayPal account, the defendant sent the buyers empty boxes, falsely claiming that the boxes' contents had been stolen during shipping.
The law provides for a maximum total sentence of 380 years in prison and a fine of $11,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Tonya Sulia Goodman is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation along with United States Postal Inspection Service and the Internal Revenue Service - Criminal Investigations conducted the investigation that led to the prosecution of Graziano.
Nelson County Drug Store Owner Sentenced to 27 Months for Health Care Fraud and Wire FraudRead the Press Release
– Crume Drug Store owner billed private insurance companies and Medicare Part D for fraudulent prescriptions, causing a combined loss of $242,963.04
LOUISVILLE, Ky. – The owner of Crume Drug Store, located in Nelson County, Kentucky, was sentenced in federal court today, by Chief Judge Joseph McKinley, to 27 months in prison, followed by a two year term of supervised release, and was ordered to pay $242,963.04 in restitution, announced David J. Hale, United States Attorney for the Western District of Kentucky. There is no parole in the federal system.
Timothy Lee Sizemore, age 37, of Bardstown, Kentucky, was charged by Information on February 27, 2013 with one count of health care fraud and one count of wire fraud. According to information presented in court, Sizemore purchased Crume Drug Store in March 2010, then, between April 2010 and February 2012, Sizemore devised and executed a scheme to defraud Anthem and other private health insurance providers, and Medicare Part D.
Sizemore pleaded guilty as charged on March 20, 2013. Sizemore admitted that he created false names and placed them under his own Anthem policy number, created fraudulent prescriptions under those names, and billed Anthem for those fraudulent prescriptions, even though they were never actually filled. Also, Sizemore created fraudulent prescriptions using the names of Crume customers and local doctors, and billed the customers’ private insurance companies for those prescriptions even though they were never filled. During the same time period, Sizemore admitted that he used the names of Crume customers and local doctors to create fraudulent prescriptions and billed Medicare Part D for those fraudulent prescriptions, which were never filled. As part of his plea agreement, Sizemore paid full restitution of $242,963.04 prior to his sentencing hearing.
This case was prosecuted by Assistant United States Attorney David Weiser and was investigated by the Federal Bureau of Investigation (FBI) and U.S. Department of Health and Human Services, Office of the Inspector General.
Michigan Man sentenced to over 10 years in prison for distributing Child PornographyRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a Michigan man was sentenced in federal court in Anchorage for distributing child pornography.
Mark Harry Smith, 41, from Saginaw, Michigan, was sentenced Friday, September 27, 2013, by U.S. District Court Judge Sharron Gleason, to 126 months in prison.
According to Assistant U.S. Attorney Kyle G. French, Smith possessed and exchanged via email accounts hundreds of videos and images depicting children being sexually abused, including infants and toddlers. Smith’s collection reflected the international scope of child sex abuse that feeds the demand created by Smith and others who collect and trade child pornography – identified victims were abused in Switzerland, Germany, France, Belgium, the United Kingdom, the Netherlands, Italy, the Republic of Moldova, the Ukraine, Canada, Denmark, Sweden, Australia, Brazil, Paraguay, Russia, Ireland, Norway, and the United States (28 states).
At Smith’s sentencing, Judge Gleason noted the seriousness of the offenses, the ongoing harm to the victimized children, and the need to protect the public from this kind of conduct. After serving his 126 months in prison, Judge Gleason ordered Smith to serve 15 years of supervised release, perform 600 hours of community service, and be required to comply with special conditions, including participating in sex offender assessment and treatment, and registering as a sex offender.
U.S. Attorney Karen Loeffler stated that “The possession, receipt, transportation, and distribution of child pornography perpetuates the harm to victims depicted in the images, validates and normalizes the sexual exploitation of children, and fuels a market, thereby leading to further production of images. “Smith’s participation in email child pornography groups, for example, involves membership and informal communications which inherently validate, normalize, and encourage child sex sexual abuse by other individuals.”
AUSA Kyle French added that “Despite tremendous effort expended across numerous fronts, in the age of the Internet, we are losing the war to protect children from sexual exploitation. The volume and market for child pornography continues to exponentially grow while its victims are becoming younger and more sadistically abused. It is becoming common to discover child pornography collections which include videos and images of infants and toddlers being sexually abused.”
Every Internet user can help combat the problem by choosing to report child pornography related links, emails, media, and other materials. Most important, by simply taking the time to report, you may rescue a child from ongoing sexual abuse. If you encounter child pornography online, you can report its location to your Internet service provider, local or state law enforcement, the FBI or Department of Homeland Security office, or online via the National Center for Missing and Exploited Children’s (NCMEC) website at cybertipline.com. NCMEC will forward your report to the appropriate investigative agency for follow-up.
This case was initiated as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse which was launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood combines federal, state and local resources to better identify, 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.
Ms. Loeffler commends Immigration and Customs Enforcement’s Homeland Security Investigations for the investigation of this case.
Lacey, Washington Repeat Offender Sentenced to Six Years in Prison for Oxycodone TraffickingRead the Press Release
A Lacey, Washington man with prior felony drug convictions, was sentenced October 1, 2013 to six years in prison and five years of supervised release for possession of oxycodone with intent to distribute and structuring financial transactions, announced U.S. Attorney Jenny A. Durkan. G.B. BROWN, 54, was arrested on June 9, 2011, following a South Sound Gang Task Force investigation. He was convicted following a jury trial on May 14, 2013. U.S. District Judge Benjamin H. Settle imposed the sentence.
According to records filed in the case, BROWN came to the attention of law enforcement as part of an investigation into oxycodone trafficking from California to the south Puget Sound region. Law enforcement was aware of multiple packages of oxycodone pills that were shipped to BROWN’s Lacey address. Prior to his arrest BROWN sought to purchase a large quantity of oxycodone pills from a person working with law enforcement. He made multiple withdrawals of large amounts of cash from his bank accounts on consecutive days in amounts just under the $10,000 reporting requirement, which he consolidated and used to pay for the $45,000 worth of oxycodone pills in his possession at the time of his arrest. Those withdrawals were the basis for the structuring count of conviction, as well as the court-ordered forfeiture of the remaining $49,300 in one of those bank accounts.
In asking for a lengthy prison term, prosecutors wrote to the court about the impact of oxycodone abuse on the community. “…The dependency created by the drug, and supported by Brown and drug dealers like him, often haunts users for the rest of their lives. Moreover, illicit drug users, themselves victims of their dealer’s greed, often end up then victimizing other people -- usually either by robbing or stealing, or by selling drugs themselves -- in order to fund their expensive but all-important drug habits. Not only is the health of the individual drug users harmed, but the health and public safety of the entire community is put at risk in many ways. Increased crime, some of it violent, either to support drug habits or simply committed by those high on drugs. Persons high on drugs getting into vehicular accidents or causing injuries or damage to property and lives in other ways,” prosecutors wrote in their sentencing memo.
The case was investigated by the South Sound Gang Task Force and was prosecuted by Assistant United States Attorney Gregory A. Gruber.
Johnstown Man Sentenced to 30 Years in Prison for Producing Child PornographyRead the Press Release
JOHNSTOWN, Pa. - A resident of Johnstown, Pa, has been sentenced in federal court to 360 months in prison and supervised release for life on his conviction of producing child pornography, United States Attorney David J. Hickton announced today.
United States District Judge Kim R. Gibson imposed the sentence on Stephen J. Goniea, 47.
According to information presented to the court, from 2008 to Aug. 2011 Goniea produced visual depictions of a minor engaged in sexually explicit conduct using materials that had been mailed, shipped or transported in interstate or foreign commerce.
Assistant United States Attorney John J. Valkovci, Jr., prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Southwest Computer Crime Task Force of the Pennsylvania State Police for the investigation leading to the successful prosecution of Goniea.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney's Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Illinois Resident Convicted of Insider TradingRead the Press Release
SAN FRANCISCO – On Monday, September 30, 2013, a federal jury convicted Bassam Yacoub Salman of one count of conspiracy to commit securities fraud, in violation of 18 U.S.C. § 371, and four counts of securities fraud or insider trading, in violation of 15 U.S.C. §§ 78j(b) and 78ff, United States Attorney Melinda Haag announced.
The jury found that between 2004 and 2007, Salman, 54, of Orland Park, Illinois, engaged in securities fraud and insider trading relating to securities issued by United Surgical Partners International, Inc. (USPI) and Biosite Incorporated (BSTE). The guilty verdict followed a two week jury trial before the Honorable Edward M. Chen, U.S. District Court Judge.
The charges against Salman were part of a larger, $5.3 million, insider trading scheme first charged in 2009 against Maher Fayez Kara, of San Carlos, Calif., a former investment banker at Citigroup Global Markets Inc. in New York, and Maher Kara’s brother, Mounir Fayez Kara, also known as Michael F. Kara, of Walnut Creek, Calif. In July 2011, Maher Kara and Michael Kara both pled guilty to conspiracy and securities fraud charges and began cooperating with the government.
Evidence at trial showed that, on or about March 23, 2007, Salman, trading in an account owned by his brother-in-law, Karim Bayyouk, caused the purchase of approximately $100,000 in Biosite call options. Salman obtained the inside information about Biosite from Michael Kara, who had first obtained it from his brother, Maher Kara, who worked at Citigroup. Two days later, on March 25, 2007, Biosite announced it was merging with another company. After the merger announcement, Salman sold the options and realized a profit of approximately $947,922. Earlier, in the fall of 2006, evidence at trial showed that Salman purchased securities in United Surgical Partners International, Inc. using inside information obtained from Michael Kara and, initially, from Maher Kara.
On September 4, 2013, in a separate trial, another federal jury convicted Bayyouk, 49, of Livonia, Michigan, of obstructing and impeding an investigation by the Securities and Exchange Commission (“SEC”) into securities fraud and insider trading relating to Biosite Incorporated, in violation of 18 U.S.C. § 1505, arising from a telephone interview with the SEC on or about May 31, 2007.
Salman’s sentencing hearing is scheduled for January 15, 2014, at 2:30 p.m. before Judge Edward M. Chen in San Francisco. The maximum statutory penalty for a violation of 18 U.S.C. § 371 is a sentence of five years and a fine of $250,000. The maximum statutory penalty for a violation of 15 U.S.C. §§ 78j(b) and 78ff is a sentence of twenty (20) years and a fine of $5,000,000. However, any sentence will be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Adam A. Reeves and Katherine B. Dowling are the Assistant U.S. Attorneys prosecuting the case with the assistance of Maryam Beros, Rayneisha Booth, and Patricia Mahoney. The prosecution is the result of a lengthy investigation by the FBI with substantial assistance from the Division of Enforcement of the SEC’s San Francisco Regional Office.
(Salman unsealed indictment )
Henderson Man Sentenced for Retaliating Against A Federal WitnessRead the Press Release
WILMINGTON - United States Attorney Thomas G. Walker announced that in federal court yesterday, Senior United States District Judge James. C. Fox sentenced WAYNEMONDEMOUNT BULLOCK, 25, of Henderson, North Carolina, to 92 months imprisonment followed by 3 years of supervised release. On May 2, 2013 a federal jury convicted BULLOCK for retaliating against a federal witness in violation of Title 18, United States Code, Section 1513(b)(1).
According to the investigation, on October 5, 2012, BULLOCK participated in an assault on a federal witness who had previously testified before Senior Judge James C. Fox. BULLOCK and a co-defendant approached the federal witness at a convenience store in Henderson, NC, accused the witness of being a “snitch” and proceeded to beat the witness. BULLOCK was recently released from the North Carolina Department of Corrections prior to assaulting the victim.
This case was part of the Project Safe Neighborhoods (PSN) initiative which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Henderson Police Department. Assistant United States Attorney, S. Katherine Burnette prosecuted the case.
Grand Prairie Man Pleads Guilty to Federal Child Pornography OffenseRead the Press Release
Defendant Admits Exchanging Sexually Explicit Photos with a Minor Female
DALLAS — Aaron Garcia, 21, of Grand Prairie, Texas, appeared in federal court this morning and pleaded guilty, before U.S. Magistrate Judge Paul D. Stickney, to an Information charging one count of receipt of child pornography. He faces a maximum statutory sentence of not less than five or more than 20 years in federal prison, a $250,000 fine and a lifetime of supervised release. Judge Stickney remanded Garcia into custody. Sentencing is set for January 13, 2014, before U.S. District Judge David C. Godbey. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to documents filed in the case, the investigation began as a result of a cyber-tip to law enforcement indicating that in September 2012, a minor girl, “Jane Doe,” began using an app on her cell phone to have sexual conversations with an adult male. The conversations included solicitations from both the adult male and Jane Doe to meet for sex. Jane Doe identified herself as a 14-year-old, although she was actually 13. The male also solicited nude photos of Jane Doe, which she sent. He sent her two sexually explicit images of himself.
An analysis of Garcia’s iPhone by the North Texas Regional Computer Forensics Lab revealed that it contained more than 40 images of child pornography, not including the images sent by Jane Doe.
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 was conducted by the Grand Prairie Police Department and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). Assistant U.S. Attorney Camille Sparks is in charge of the prosecution.
Former Prison Inmate who Ran Scam from State Penitentiary Pleads Guilty to Tax and Weapons ChargesRead the Press Release
A former Washington State Prison inmate who led a tax fraud scheme from prison, pleaded guilty October 1, 2013 to eleven counts of tax fraud and three counts of illegal possession of firearms, explosives and a ballistic vest, announced U.S. Attorney Jenny A. Durkan. KENNETH RANDLE DOOR, 44, was indicted on the tax charges along with three other co-conspirators in April 2012. At the time of the tax fraud indictment, DOOR was already in custody on the weapons charges. Sentencing on the tax charges is scheduled before U.S. District Judge Benjamin Settle on December 16, 2013. DOOR will be sentenced on the illegal weapons possession charges on December 12, 2013. At that sentencing hearing before U.S. District Judge Ronald B. Leighton, prosecutors will argue that DOOR is an Armed Career Criminal and therefore should be sentenced at or above the mandatory minimum of 15 years in prison.
According to the indictment, in 2008 and 2009, the defendants conspired to file fake tax returns using the names and Social Security numbers of prison inmates to claim fraudulent refunds. DOOR was incarcerated at the Washington State Penitentiary in Walla Walla. Other conspirators were living in Tacoma and Puyallup. Using the internet the conspirators identified companies that had declared bankruptcy and had recently closed. The conspirators created fake W-2 forms indicating wages paid and taxes withheld from the individuals whose identities they used. Virtually all of these individuals were prison inmates at the time who had not been employed by the now defunct companies. The conspirators filed at least 31 false tax returns, attempting to obtain more than $145,000 in refunds. The conspirators obtained nearly $72,000 in fraudulent tax refunds.
DOOR’s co-conspirators in the tax scheme have been sentenced to terms ranging from eight months to 33 months in prison.
The tax case was investigated by Internal Revenue Service Criminal Investigation (IRS-CI). The weapons case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). The cases are being prosecuted by Assistant United States Attorneys Steven Masada and Norman Barbosa.
Former NFL Player Pleads Guilty to Drug and Gun ChargesRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that Robert Cedrick Baker, III, age 37, of Gainesville, Florida entered a plea of guilty today to possession with intent to distribute heroin and possession of a firearm in furtherance of a drug trafficking crime. Mr. Baker entered his plea before the Honorable Hugh Lawson, United States District Judge in Valdosta, Georgia.
Mr. Baker, a former player in the National Football League, was stopped by the Lowndes County Sheriff’s Office in the evening of January 20, 2013 on Georgia Highway 401 for a traffic violation. A consensual search of his car revealed that Mr. Baker was in possession of 59.5 grams of heroin and a Smith & Wesson, 9mm semi-automatic pistol. As part of his plea of guilty, Mr. Baker admitted that he possessed the heroin for distribution, and he was carrying the 9mm semi-automatic pistol in furtherance of his drug trafficking crime.
“Mr. Baker made a terrible mistake when he chose to traffic illegal drugs, and particularly when he brought a gun along to help him do so,” said U.S. Attorney Michael Moore. “He will have a long time to reflect on that mistake in federal prison.”
The maximum penalty for possession with intent to distribute heroin is twenty (20) years in prison and a fine of $1,000,000.00, or both, followed by a term of supervised release of at least three (3) years. Possession of a firearm in furtherance of a drug trafficking crime carries a mandatory minimum term of imprisonment of five (5) years, up to a maximum term of life in prison, a fine of $250,000.00, or both, followed by a term of supervised release of five (5) years. By statute, the term of imprisonment imposed for possession of a firearm in furtherance of a drug trafficking crime will run consecutive to the term of imprisonment imposed for possession with intent to distribute heroin.
The case was investigated by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Lowndes County Sheriff’s Office. Assistant United States Attorney Peter Leary is handling the prosecution for the Government.
Inquiries regarding the case should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney's Office at (478) 621-2602.
Former Grandview Woman Pleads Guilty to $158,000 Scheme for False Tax RefundsRead the Press Release
October 1, 2013KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Grandview, Mo., woman pleaded guilty in federal court today to filing a false claim for a federal tax refund as part of a nearly $158,000 scheme.
Kelsey R. Jones, 34, of Houston, Texas (formerly of Grandview), pleaded guilty before U.S. District Judge Greg Kays to making a false claim.
By pleading guilty today, Jones admitted that she filed 36 false individual income tax returns on behalf of herself and others, claiming approximately $157,998 in refunds, from February 2009 to January 2011.
Jones recruited individuals to file federal income tax returns under their own names. Jones created false and fictitious inflated income and revenue information for the individuals. Jones then used the false information to prepare and file fraudulent federal tax returns electronically with the IRS, which often claimed tax credits, such as the earned income tax credit, to which the individuals were not entitled.
Jones often had a portion of the fraudulent refunds – totaling $17,292 – direct deposited into one of her bank accounts, sometimes without the taxpayers’ knowledge.
Under federal statutes, Jones is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Jess Michaelsen. It was investigated by IRS-Criminal Investigation.
Bookkeeper Sentenced for Filing False Tax ReturnRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Michael J. DePalma, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigations (IRS-CI), announce that Edda Obando, 65, of Miami, Florida, was sentenced on September 30, 2013 based on her earlier guilty plea to making and subscribing a false tax return, in violation of Title 26, United States Code, Section 7206(1).
According to the allegations of the charging instrument, Obando, who served as a bookkeeper, prepared a false and fraudulent tax return by significantly under-reporting her income on her own personal tax return.
Obando was sentenced by Chief U.S. District Judge Frederico A. Moreno to forty-five days in prison, followed by five years of probation, with special conditions to include, inter alia, cooperation with the IRS in determining and paying tax liabilities. Further, Obando was sentenced to pay restitution in the amount of $72,212.68 and $100 special assessment.
Mr. Ferrer commended the investigative efforts of IRS-CI. This case is being prosecuted by Special Counsel to the U.S. Attorney, Norman O. Hemming, III.
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.
Baldwin Twp. Woman Sentenced to 33 Months in Prison for Making, Dealing Counterfeit CashRead the Press Release
PITTSBURGH - A Pittsburgh woman has been sentenced in federal court to 33 months in prison, three years of supervised release and payment of restitution on her conviction of conspiracy to make counterfeit United States currency, making counterfeit United States currency, and dealing in counterfeit United States currency, United States Attorney David J. Hickton announced today.
United States District Judge Mark R. Hornak imposed the sentence on Danielle L. Jones, 40, as the sole defendant.
According to information presented to the court, Jones was charged with conspiracy, the making of counterfeit currency, and the dealing in counterfeit currency during the period June 21, 2012, through June 24, 2012.
Assistant United States Attorney Shardul S. Desai prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the United States Secret Service for the investigation leading to the successful prosecution of Jones.
27 Individuals Charged in A Superseding Indictment for Drug TraffickingRead the Press Release
Defendants face a narcotics forfeiture allegation of 100 million dollarsSAN JUAN, Puerto Rico – On September 18, 2013, a federal grand jury in the District of Puerto Rico returned a superseding indictment against 27 defendants charged with conspiracy to import cocaine into Puerto Rico from the Dominican Republic, conspiracy to possess with intent to distribute controlled substances and conspiracy to commit money laundering, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Federal Bureau of Investigations and the Puerto Rico Police Department were in charge of the investigation.
The indictment alleges that beginning in March 2005 until in or about July 2010, the defendants conspired to possess with intent to distribute controlled substances The object of the conspiracy was the wholesale distribution of controlled substances at multiple drug distribution points in the northern and central part of Puerto Rico, and further transshipment to the Continental United States; all for significant financial gain and profit.
Defendant Edgar Collazo-Rivera, a businessman from Bayamón, Puerto Rico, is facing two charges of conspiracy to commit money laundering and international money laundering. The objects of the money laundering conspiracy were: to conceal and disguise drug trafficking proceeds derived by co-conspirators, known and unknown to the Grand Jury; to use drug trafficking proceeds to promote the drug trafficking activities of co-conspirators; and to avoid any reporting requirements of drug trafficking proceeds. It was a manner and means of the conspiracy that the defendant and his co-conspirators would arrange to send bulk shipments of narcotics proceeds to the Dominican Republic, using Collazo-Rivera’s privately owned yachts to transport the U.S. Currency.
The International money laundering count charges Collazo-Rivera with the transportation of monetary instruments or funds, to wit: approximately eight-million dollars ($8,000,000.00) in United States currency from Puerto Rico to the Dominican Republic, knowing that the funds involved in the transportation represented the proceeds of some form of unlawful activity and that such transportation was designed in whole or in part to conceal or disguise the nature, location, source, ownership and control of the proceeds of the specified unlawful activity, to wit, drug trafficking.
The defendants are: Ramón L. Molina-Quintero, aka “Carnal;” José Molina-Quintero, aka “Manolo;” Anthony Declet- Rivera, aka “Chio;” Ángel Felix Esquilin, aka “ Esquilin;” Ismael Luna-Archeval, aka “Maelo;” Carlos Barreto-Bermúdez; Jovanni Varestin-Cruz, aka “Jova;” Alfonso Toledo-Jiménez, aka “Cabito;” Luis Fonseca-Sànchez, aka “Pollo;” Joe Corvette-Gonzàlez, aka “ Joe Cor;” Antonio Rivera-Rodríguez, aka “Prince;” Kermitt Ramos-Acevedo, aka “ Duco;” Hector L. Díaz-Torres, aka “Menor Jodiendita;” Joel Díaz-Torres, aka “Menor Roster;” Carlos Adorno-Cruz, aka “Gallego;” Rocky Martínez-Negrón, aka “Rocky;” Jorge L. Díaz-Casillas, aka “Roquero;” Rolando Melon-Baerga; Luis A. Cedeño-Burgos, aka “Cuco;” Jayson Berríos-Rodríguez, aka “Jayson;” Madelyn Morales-Pagàn, aka “La Loca;” Ryan Colón-Ojeda, aka “Ryan;” Edgar Collazo-Rivera; Carlos Raymundi-Hernàndez; Juan Carlos Fontanez, aka “Papun;” Felix Colón-Peña; and Jean Carlos Bracero-Cotto, aka “Janco.”
“This case demonstrates, once again, the Justice Department’s continued commitment to hold leaders of major drug trafficking cartels responsible for importing narcotics into Puerto Rico and the continental United States – no matter where they conduct their illegal business. Cartel members and their associates will be brought to justice for the damage they inflict on both sides of the border,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico.
The case is being prosecuted by Assistant U.S. Attorney Olga Castellón. If convicted, the defendants could face from 10 years up to life in prison. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.
30 September 2013
Wendell Lester Wolf Black, Sr. Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney(s Office announced that during a federal court session in Helena, on September 30, 2013, before U.S. District Judge Sam E. Haddon, WENDELL LESTER WOLF BLACK, SR., a 46-year-old resident of Crow Agency and an enrolled member of the Crow Tribe, pled guilty to assault with a dangerous weapon and assault resulting in serious bodily injury. Sentencing has been set for January 6, 2014. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Lori Harper Suek, the government stated it would have proved at trial the following:
On June 18, 2012, WOLF BLACK and his sons drove to the victim's house located at Dunmore, which is within the exterior boundaries of the Crow Indian Reservation. When they arrived at the house, they knocked on the door and the victim came outside. The victim was unaware that there were any problems between him and the WOLF BLACKs. WOLF BLACK, however, believed that the victim was responsible for a prior assault on his son that caused disabling injuries.
While the victim was outside of his house, he asked WOLF BLACK for a cigarette and followed him out to WOLF BLACK's truck. At that point, WOLF BLACK hit the victim numerous times with a crow bar. He was hit in the leg, back, and head, and went down to the ground unable to defend himself against the attack. He heard one of WOLF BLACK's sons yell, "This is for my brother," and he heard WOLF BLACK say, "This is for fighting my son."
The victim sought medical treatment for his injuries. The victim suffered multiple broken bones and a collapsed lung. These injuries met the definition of serious bodily injury according to the treating physician.
WOLF BLACK faces possible penalties of 10 years in prison, a $250,000 fine, and 3 years supervised release on each charge.
The investigation was conducted by the Bureau of Indian Affairs.
Venice Man Sentenced for Firearm OffenseRead the Press Release
Justin J. Harper, 24, of Venice, Illinois, was sentenced in federal district court on September 30, 2013, to 100 months in prison, to be followed by three years supervised release, a $100 special assessment, and a $400 fine, for unlawful possession of a firearm by a previously convicted felon, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
Court proceedings revealed that on October 5, 2011, law enforcement officers executed a search warrant of a rear bedroom at a home in Venice, Illinois. Upon entering the residence, officers observed Harper exiting the bedroom. A search of the bedroom recovered a 9mm semi-automatic pistol from underneath the bed.
This investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and was prosecuted by Assistant United States Attorney Daniel T. Kapsak.
VA Worker Sentenced to Three Years Probation for Faking Active Duty PaperworkRead the Press Release
PITTSBURGH - A resident of Washington County, Pennsylvania, was sentenced in federal court to three years probation and $14,164.91 in restitution on his conviction of theft of government property and making a false statement, United States Attorney David J. Hickton announced today.
Chief United States District Judge Joy Flowers Conti imposed the sentence on Richard A. Ward, 42.
According to the information presented to the Court, Ward, while a VA Pittsburgh Healthcare System employee, submitted to the VA a false and fictitious Special Order drawn on the authority of the Department of the Air Force, Pennsylvania Air National Guard 171st Air Refueling Wing. The false Special Order indicated that Ward, who is also a Pennsylvania Air National Guardsman, was deployed for active duty. The VA placed Ward in a special pay status for VA employees who are activated for military duty. The pay and benefits wrongfully obtained by Ward equaled approximately $14,164.91.
Prior to sentencing, the Court took into consideration Ward’s lack of criminal history and his early acceptance of responsibility.
Assistant United States Attorney Mary McKeen Houghton prosecuted this case on behalf of the government.
The United States Department of Veterans Affairs, Office of Inspector General, and the United States Department of Veterans Affairs Police, conducted the successful investigation leading to the conviction and sentence in this case.
United States Forfeits $1,552,588.62 Obtained from the Sale of Daytona Beach HotelRead the Press Release
Orlando, Florida - Acting United States Attorney A. Lee Bentley, III announces the forfeiture of $1,552,588.62 obtained from the sale of the Desert Inn Hotel in Daytona Beach, Florida. In July 2011, Dennis Brian Devlin, of Daytona Beach, was sentenced to 15 years in federal prison for sexually exploiting a minor. As part of Devlin’s sentence, the court ordered Devlin to forfeit his interest in the Desert Inn because it was used to facilitate the crimes for which he was convicted.
The titled owner of the Desert Inn, Deslin Hotels, Inc., filed a claim to contest the forfeiture of the hotel because it alleged that Devlin did not have an interest in the hotel. After several months of litigation, a settlement was reached wherein Deslin Hotels, Inc. conceded to the forfeiture of $1,552,588.62, which represents Devlin’s interest in the proceeds obtained from the recent sale of the Desert Inn.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children via the Internet, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Federal Bureau of Investigation. The forfeitures were handled by Assistant United States Attorney Nicole M. Andrejko.
Two New Jersey Investors Plead Guilty for Their Roles in Bid-rigging Schemes at Municipal Tax Lien AuctionsRead the Press Release
Two financial investors who purchased municipal tax liens pleaded guilty today for their roles in a conspiracy to rig bids at auctions conducted by New Jersey municipalities for the sale of those tax liens, the Department of Justice announced.
A felony charge was filed today in U.S. District Court for the District of New Jersey in Newark, against Robert U. Del Vecchio Sr., of Hawthorne, N.J. According to the charge, from in or about 2000 until approximately December 2008, Del Vecchio Sr. participated in a conspiracy to rig bids at auctions for the sale of municipal tax liens in New Jersey by agreeing to allocate among certain bidders which liens each would bid on. Additionally, a felony charge was filed today in the U.S. District Court for the District of New Jersey in Newark, against Michael Mastellone, of Cedar Knolls, N.J. for participating in a similar conspiracy from in or about 2000 until approximately February 2009. The department said that Del Vecchio Sr. and Mastellone proceeded to submit bids in accordance with the agreements and purchased tax liens at collusive and non-competitive interest rates.
“By conspiring to rig the bids of municipal tax liens, the conspirators profited at the expense of those already struggling financially,” said Scott D. Hammond, Deputy Assistant Attorney General for the Antitrust Division’s criminal enforcement program. “Protecting Americans from these types of bid-rigging schemes remains a high priority for the division.”
The department said the primary purpose of the conspiracy was to suppress and restrain competition in order to obtain selected municipal tax liens offered at public auctions at non-competitive interest rates. When the owner of real property fails to pay taxes on that property, the municipality in which the property is located may attach a lien for the amount of the unpaid taxes. If the taxes remain unpaid after a waiting period, the lien may be sold at auction. State law requires that investors bid on the interest rate delinquent property owners will pay upon redemption. By law, the bid opens at 18 percent interest and, through a competitive bidding process, can be driven down to zero percent. If a lien remains unpaid after a certain period of time, the investor who purchased the lien may begin foreclosure proceedings against the property to which the lien is attached.
According to the court documents, Del Vecchio Sr. and Mastellone were involved in the conspiracy with others not to bid against one another at municipal tax lien auctions in New Jersey. Since the conspiracy permitted the conspirators to purchase tax liens with limited competition, each conspirator was able to obtain liens which earned a higher interest rate. Property owners were therefore made to pay higher interest on their tax debts than they would have paid had their liens been purchased in open and honest competition, the department said.
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for a Sherman Act violation may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than the $1 million statutory maximum.
Today’s pleas are the 13th and 14th guilty pleas resulting from an ongoing investigation into bid rigging or fraud related to municipal tax lien auctions. Nine individuals – Isadore H. May, Richard J. Pisciotta Jr., William A. Collins, Robert W. Stein, David M. Farber, Robert E. Rothman, Stephen E. Hruby, David Butler and Norman T. Remick – and three companies – DSBD LLC, Crusader Servicing Corp. and Mercer S.M.E. Inc. – have previously pleaded guilty as part of this investigation.
Today’s charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. 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 ongoing investigation is being conducted by the Antitrust Division’s New York Office and the FBI’s Atlantic City, N.J., office. Anyone with information concerning bid rigging or fraud related to municipal tax lien auctions should contact the Antitrust Division’s New York Office at 212-335-8000, visit www.justice.gov/atr/contact/newcase.htm or contact the Atlantic City Resident Agency of the FBI at 609-677-6400.
Two Individuals Convicted and One Sentenced in Federal CourtRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistFollow us on Twitter @NDWVnews
CLARKSBURG, WEST VIRGINIA – Two individuals entered pleas and one individual sentenced by Magistrate Judge John S. Kaull, according to United States Attorney William J. Ihlenfeld, II.
LORETTA MEREDITH, age 58, of Jamestown, New York, and formerly of Fairmont, West Virginia, entered a plea of guilty to “Conspiracy to Attempt to Obstruct Justice” from January 28, 2013, to May 7, 2013, in the Braxton and Marion County areas. As part of her plea, MEREDITH will forfeit a Compaq laptop computer used to commit the offense of conviction. MEREDITH, who is free on bond pending sentencing, faces up to 20 years in prison. This case was prosecuted by Criminal Chief Shawn A. Morgan and investigated by the United States Marshals Service.
FRANKLIN MOORE, age 43, of Procious, West Virginia, entered a plea of guilty to “Felon in Possession of a Firearm” in Taylor County. MOORE, who is in custody pending sentencing, faces up to 10 years in prison. This case was prosecuted by Assistant U.S. Attorney Zelda E. Welsey and investigated by the Grafton Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
DEANTHONY PARKER, age 30, an inmate at USP Hazelton entered a plea of guilty to two counts of “Indecent Exposure” and was sentenced to 180 days imprisonment to run concurrently with his current 60-month sentence. This case was prosecuted by Assistant United States Attorney Brandon S. Flower and investigated by the Special Investigative Services Staff at USP Hazelton.
Two Grand Haven Men Plead Guilty to Theft of Firearms from Gun Stores in Ottawa and Muskegon CountiesRead the Press Release
GRAND RAPIDS, MICHIGAN – Muskegon County Prosecutor D.J. Hilson and Ottawa County Prosecutor Ronald J. Frantz joined U.S. Attorney Patrick Miles in announcing today that Joseph Jerry Sweet, age 33, and Ronald Patrick Cook, age 27, both from the Grand Haven area, pled guilty to two counts of stealing firearms from Federal Firearms Licensees. The defendants face up to ten years in prison on each of the two counts of conviction.
Sometime during the night on June 27, 2013, the two defendants broke into the Renegade River store in Spring Lake, Michigan, stealing eight firearms. On July 13, 2013, the two broke into the Grasmeyer Brothers Gun & Supply Shop in Dalton Township, Michigan, at approximately 12:30 a.m., stealing 24 firearms, including twenty handguns and four rifles. Cook admitted as part of his plea and in an interview with law enforcement that the two intended to traffick the firearms and that they exchanged some of the weapons for heroin and cash on the street. Federal law prohibits the theft of firearms from Federal Firearms Licensees. Both stores are federally-licensed firearms dealers.
Cook was previously convicted five times for felonies, including a breaking and entering conviction in 2007 and an assault with a dangerous weapon conviction in 2011. Sweet is a three-time convicted felon, having been convicted of breaking and entering in 2004, larceny in 2005 and felony drunk driving in 2008. Federal charges of possessing firearms as convicted felons will be dismissed at sentencing, given the guilty pleas to the theft charges.
This case resulted from a coordinated investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Muskegon County Sheriff’s Department, the Grand Haven Public Safety Department, the Spring Lake/Ferrysburg Police Department, and the Michigan State Police-West Michigan Enforcement Team (WEMET).
U.S. Attorney Patrick Miles said, “Stealing firearms is illegal. Intending to sell stolen firearms is both illegal and dangerous. These defendants put people’s lives at risk by increasing the number illegal guns in the hands of criminals.”
Sonja A. Everitt, Resident Agent in Charge, Grand Rapids ATF, stated, “This investigation is an example of ATF’s commitment and determination in making our communities safe. ATF’s Frontline strategy is our business model that addresses gun trafficking crime. These accomplishments could not have been achieved without the collaboration and hard work of ATF, Muskegon County Sheriff’s Office, Ottawa County Sheriff’s Office, Spring Lake Police Department, Grand Haven Department of Public Safety, and the United States Attorney’s Office.”
Muskegon County Prosecutor D.J. Hilson commented: “I appreciate working with the U.S. Attorney’s Office to help rid Muskegon County of the individuals who try to put stolen guns on our streets which only promotes violence. I look forward to continuing our strong partnership in making Muskegon County a safe place to work and live.”
Ottawa County Prosecutor Ron Frantz echoed the sentiment: “Once again our long-standing partnership between local and federal law enforcement has been successful in reaching across jurisdictional lines and bringing perpetrators to justice.”
The defendants will be sentenced by the Honorable Robert J. Jonker. A sentencing date has not yet been scheduled. It is expected to take place in approximately ninety days.
END
Tulsa Physician Charged with Producing Child Porn; Attempted to Meet Local Minor for SexRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Tulsa, Okla., physician was charged in federal court today with using a minor to produce child pornography.
Shelby Coleman, of Tulsa, was charged with using a minor to produce child pornography in a federal criminal complaint filed in the U.S. District Court in Springfield, Mo. Coleman is a medical doctor and partner of Tulsa Women’s Health Center.
According to an affidavit filed in support of today’s federal criminal complaint, Coleman communicated with a 16-year-old minor in Laclede County, Mo., identified as “N.D.,” via cell phone texts. Coleman and N.D. allegedly sent one another sexually explicit text messages and images. Coleman allegedly sent N.D. a sexually explicit video of himself. During some of the chats with N.D., Coleman allegedly stated that he wanted to drive around in his Porsche 911 with N.D. naked.
When N.D.’s father discovered the text messages, the affidavit says, he contacted the Missouri State Highway Patrol. A state trooper assumed the identity of N.D. for the purpose of the investigation.
On Friday, Sept. 27, 2013, Coleman texted N.D. and made arrangements to meet for sex at a Springfield, Mo., hotel. Coleman arrived at the hotel in his Porsche on Saturday, Sept. 28, 2013 and texted instructions for N.D. to come to his hotel room. Law enforcement officers confronted Coleman in his hotel room and, after questioning by officers, Coleman was arrested.
Dickinson cautioned that the charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the FBI, the Joplin, Mo., Police Department, the Southwest Missouri Cyber Crimes Task Force and the Missouri State Highway Patrol.
Three Martinsburg Residents ConvictedRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistFollow us on Twitter @NDWVnews
MARTINSBURG, WEST VIRGINIA – Three Martinsburg, residents entered pleas of guilty before Magistrate Judge David A. Joel, according to United States Attorney William J. Ihlenfeld, II.
DANNY RAY TERRY, age 54, entered a plea of guilty to “Failure to Register and Update Registration as a Sex Offender” when he moved to West Virginia in 2011. TERRY, who is in custody pending sentencing, faces up to 10 years in prison. This case was prosecuted by Assistant U.S. Attorney Stephen L. Vogrin and investigated by the United States Marshals Service.
PERRY JOSEPH JENKINS, age 33, entered a plea of guilty to “Sale of Firearms to a Prohibited Person.” JENKINS, who is free on bond pending sentencing, faces up to 10 years in prison. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
ROGER DALE MILLER, age 66, entered a plea of guilty to “Felon in Possession of Firearms.” MILLER, who is free on bond pending sentencing, faces up to 10 years in prison. This case was investigated by the Berkeley County Sheriff’s Department and the ATF.
The JENKINS and MILLER cases were prosecuted by Assistant United States Attorney Paul T. Camilletti.
Sovereign Citizens Member Sentenced to Two Years in Prison for Mailing Fictitious Financial InstrumentRead the Press Release
BIRMINGHAM – A federal judge today sentenced a Pinson man and member of an anti-government Sovereign Citizens group for mailing a fictitious financial instrument to pay off his home mortgage, announced U.S. Attorney Joyce White Vance and FBI Special Agent in Charge Richard D. Schwein Jr.
U.S. District Judge Inge P. Johnson sentenced DONALD JOE BARBER, 64, for mailing a fictitious “bonded promissory note” to his mortgage servicing company on March 10, 2008, in a fraudulent effort to satisfy his mortgage. Barber presented the fraudulent $10 million note as if it were a valid financial instrument drawn on a secret U.S. government account. A federal jury convicted Barber on the fraud charge in April.
During today's hearing, Barber began reading a letter that his attorney had to complete for him when he was unable to continue, in which Barber told the court that he would stop promoting the beliefs of the Sovereign Citizen movement.
Judge Johnson ordered Barber to serve his two-year federal prison sentence after completing sentences he has in state court. Barber will remain on supervised release for two years following completion of his federal prison sentence.
"Members of the Sovereign Citizen movement embrace an unfounded, mythological history of the United States to claim that they live outside the authority of government and its laws," Vance said. "Standing on that twisted premise, they break the law using fraudulent financial instruments and false court claims to advance an agenda of domestic terrorism," she said.
"Mr. Barber attempted to use a redemption scheme to avoid paying just debts, and today he pays for those crimes. All citizens should be wary of individuals or groups, such as 'sovereign citizens', that claim they can inform you on secret bank accounts, and should report that activity to the FBI."The FBI describes members of the sovereign citizen movement in the U.S. as U.S. citizens who openly reject their citizenship status and claim to exist beyond the realm of government authority. Affiliates may use their self-appointed status to justify threats, violence or crime, including theft and fraud.
The FBI investigated the case, which Assistant U.S. Attorney Michael W. Whisonant Sr. prosecuted.
Somerset County Woman Conspired to Distribute CocaineRead the Press Release
JOHNSTOWN, Pa. - A resident of Tire Hill, Pa., pleaded guilty in federal court to a charge of conspiracy to distribute cocaine, United States Attorney David J. Hickton announced today.
Nichole L. Rankin, 25, pleaded guilty to one count before United States District Judge Kim R. Gibson.
In connection with the guilty plea, the court was advised that from Nov. 2011 to July 18, 2012, Rankin conspired to distribute 500 grams or more of cocaine.
Judge Gibson scheduled sentencing for Feb. 18, 2014, at 10 a.m. The law provides for a total sentence of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Safe Streets Task Force initiative comprised of the Laurel Highlands Resident Agency of the Federal Bureau of Investigation, the Pa. Attorney General's Office, the Blair County Drug Task Force, the Cambria County Drug Task Force, the Somerset County Drug Task Force, the Roaring Spring Borough Police Dept. and the Paint Township Police Dept. conducted the investigation that led to the prosecution of Rankin.