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Thursday 11 July 2013
Telford Man Indicted on Child Porn ChargesRead the Press Release
PHILADELPHIA - Timothy James Kane, 32, of Telford, PA, was charged today by Indictment1 with one count of possession of child pornography, one count of receipt of child pornography and one count of distribution of child pornography announced United States Attorney Zane David Memeger.
If convicted, Kane faces a maximum sentence of 50 years imprisonment, a five year mandatory minimum term of imprisonment, a three-year term of supervised release, a $750,000 fine, and a $300 special assessment.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Paul G. Shapiro.
Click here to view the indictment
1An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Springfield Man Pleads Guilty to Possessing Child Porn, Faces at least 10 Years in PrisonRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Springfield man with a prior child pornography conviction has pleaded guilty in federal court to possessing child pornography.
Aaron Douglas Wold, 29, of Springfield, pleaded guilty before U.S. Magistrate Judge David P. Rush on Wednesday, July 10, 2013 to the charge contained in an Aug. 29, 2012 federal indictment.
On Aug. 8, 2012, law enforcement officers contacted Wold at his residence to perform a sex offender compliance check. Wold was convicted of possessing child pornography in Dakota County, Minn. on Jan. 23, 2007. He was sentenced in that case to one year and one day of incarceration and five years of probation.
During the compliance check, Wold was questioned and eventually showed officers his laptop computer. Officers seized the computer and conducted a forensic examination, which found numerous images of child pornography on the laptop.
Under federal statutes, Wold is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. Wold must forfeit the laptop computer to the government. 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 Randall D. Eggert. It was investigated by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations, the U.S. Marshal’s Service and the Jasper County, Mo., Sheriff’s Department.
Springfield Man Charged with Concealing Assets, Making False Statements in Bankruptcy CaseRead the Press Release
Springfield, Ill. – A Springfield, Ill., man, Michael A. Carr, 50, of St. James Court, has been charged with concealing assets and making false statements related to bankruptcy proceedings, as announced by Jim Lewis, U.S. Attorney for the Central District of Illinois. The federal grand jury returned the 10-count indictment late yesterday afternoon. The U.S. Clerk of the Court will issue a summons to Carr to appear in federal court in Springfield for arraignment.
According to the indictment, on June 8, 2010, Carr filed a bankruptcy petition to discharge his debts under Chapter 7 of the U.S. Bankruptcy Code. The indictment alleges that, on various occasions, Carr fraudulently concealed property and made false statements in his filings and during bankruptcy proceedings while he was under oath. At the time Carr filed for bankruptcy and in subsequent hearings and filings, Carr allegedly concealed that he owned a motorcycle, a sport utility vehicle, four all-terrain vehicles, and a pending insurance claim arising from the theft of a 1995 Harley-Davidson Softail motorcycle. Further, on or about July 12, 2010, Carr allegedly gave false statements under oath when he testified that his wife’s bank account held $20,000, when he knew that approximately one week prior to the hearing date, his wife had withdrawn $18,000 of the $20,000 and given the cash to Carr.
The charges resulted from a referral by the U.S. Trustee for Indiana and Central and Southern Illinois (Region 10) to the Central District of Illinois Bankruptcy Fraud Working Group. The charges were investigated by the FBI and the U.S. Postal Inspection Service. Assistant U.S. Attorney Gregory K. Harris is prosecuting the case.
“Abuse of the bankruptcy system by concealing assets for personal gain threatens the integrity of the bankruptcy system and undermines public confidence in that system,” stated Nancy J. Gargula, U.S. Trustee for Central Illinois, Southern Illinois and Indiana (Region 10). “I am grateful to U.S. Attorney Lewis and our law enforcement partners for their strong commitment to combating fraud and abuse in bankruptcy cases.”
If convicted, the statutory penalty for each count of concealing assets (two counts); making false statements in a bankruptcy petition (one count); making false statements under oath (two counts), and, submitting false documents (one count) is up to five years in prison. Carr is also charged with one count of falsification of records in bankruptcy, an offense that carries a statutory penalty of up to 20 years in prison. Final sentences are determined by the court. In imposing sentence, the court may consider federal sentencing guidelines, which include a defendant’s criminal history, the amount of loss, and other applicable factors.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 10 is headquartered in Indianapolis, with additional offices in South Bend, Ind., and Peoria, Ill.
Springfield Businessman Charged with Filing False Income Tax ReturnsRead the Press Release
Springfield, Ill. – A federal grand jury has charged a Springfield, Ill., man who does business as ‘The Granite Guy,’ George J. “Jerzy” Jaworski, with four counts of filing false income tax returns for the calendar years 2005 through 2008.
The indictment, returned late yesterday, alleges that Jaworski filed false income tax returns for himself and his wife that substantially understated receipts from ‘The Granite Guy,’ by at least $300,000 in 2005; at least $250,000 in 2006; more than $100,000 in 2007; and, at least $75,000 in 2008.
The charges are the result of an investigation by Internal Revenue Service-Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Patrick D. Hansen.
The U.S. Clerk of the Court will issue a summons for Jaworski to appear in federal court in Springfield for arraignment.
If convicted, each count of filing a false tax return carries a statutory penalty of up to three years in prison.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
Southlake, Texas, Man Sentenced to 24 Months in Federal Prison for Role in Bank Fraud ConspiracyRead the Press Release
Defendant Conspired With Former Vice-President of Pavillion Bank
DALLAS — Jason Dvorin, 45, of Southlake, Texas, was sentenced this morning by U.S. District Judge Reed C. O’Connor to 24 months in federal prison and ordered to pay $111,639 in restitution, following his conviction at trial in February 2013 on one count of conspiracy to commit bank fraud. Judge O’Connor ordered that Dvorin surrender to the Bureau of Prisons on September 12, 2013. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Dvorin entered into an agreement with Chris Derrington, the vice president of Pavillion Bank, located on West Campbell Road in Richardson, Texas, to deposit worthless checks in return for immediate access to the bank’s funds. Dvorin would bring in worthless credit card checks, or checks drawn on a closed account, and present them to Derrington for deposit. Knowing the checks were worthless, Derrington gave Dvorin immediate access to the bank’s funds. As soon as one worthless check was returned, Dvorin would deposit another worthless check. This pattern continued over the course of five years and resulted in 224 fraudulent deposits by Dvorin and the Derrington. By the time the scheme was uncovered, Pavillion bank sustained a loss in excess of $300,000.
Derrington, 61, of Dallas, was charged in a separate case with the same offense and pleaded guilty to that charge in May 2012. He was sentenced in March 2013 to a five-year term of probation and ordered to pay more than $778,000 in restitution.
Today’s announcement is related to efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, visit http://www.stopfraud.gov/.
The cases were investigated by the FBI and the FDIC Office of Inspector General. Assistant U.S. Attorneys Mindy Sauter and Michael Elliott prosecuted.
Slidell Man, Michael Page, Sentenced to 5 Years for Federal Drug ViolationRead the Press Release
MICHAEL PAGE, age 36, a resident of Slidell, Louisiana, was sentenced to 60 months imprisonment by U. S. District Court Judge Lance M. Africk after pleading guilty to one count of conspiracy to distribute and possess with intent to distribute cocaine base (“crack”), announced United States Attorney Dana J. Boente. In addition to the term of imprisonment, Judge Africk ordered that PAGE be placed on 3 years of supervised release following the term of imprisonment, during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violated any terms of the supervised release.
According to court documents, PAGE conspired with others, known and unknown from February of 2010 until September of 2010 to distribute and possess with intent to distribute at least twenty-eight (28) grams of crack cocaine.
This case was investigated by the Federal Bureau of Investigation with assistance from the Narcotics Unit of the St. Tammany Parish Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Edward J. Rivera.
Sentences for July 08-11, 2013Read the Press Release
Larry D. Sinning, Jr., 27, of Gillette, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on July 11, 2013, for conspiracy to possess with intent to distribute 113 grams of methamphetamine and for possession of a firearm in furtherance of a drug felony. Sinning was arrested in Gillette, Wyoming. He received 60 months imprisonment, to be followed by four years of supervised release and was ordered to pay a $200.00 special assessment and a $500.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation.
Michael James Adams, 26, of Torrington, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on July 10, 2013, in two separate federal cases. Adams was arrested in Gillette, Wyoming. The Court imposed a sentence of 120 months imprisonment for count one in case 13CR-00004 – conspiracy to possess with intent to distribute 1,106 grams of methamphetamine, 46 months of imprisonment for count one in case 12CR-00162 – felon in possession of a firearm, to be served concurrently with count one in 13CR-00004. Both sentences shall begin consecutively to defendant’s current state sentence in Sweetwater County. These sentences shall be followed by a sentence of 60 months imprisonment for Adams’ conviction of possession of a firearm in furtherance of a drug felony in case 13CR00004, to be served consecutively with all other terms. The sentences of imprisonment shall be followed by five years of supervised release. Adams was also ordered to pay a $300.00 special assessment and a $1,800.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation.
Kyle A. Carothers, 20, of Gillette, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on July 10, 2013, for conspiracy to possess with intent to distribute 1.9 kilograms of methamphetamine. Carothers was arrested in Gillette, Wyoming. He received 120 months imprisonment, to be followed by five years of supervised release and was ordered to pay a $100.00 special assessment and a $400.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation.
Robert C. Brodie, 30 of Gillette, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on July 8, 2013, for conspiracy to possess with intent to distribute 680 grams of methamphetamine. Brodie was arrested in Gillette, Wyoming. He received 120 months imprisonment, to be followed by five years of supervised release and was ordered to pay a $100.00 special assessment and a $500.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation.
Whitney Dawn Rose, 23, of Gillette, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on July 8, 2013, for conspiracy to possess with intent to distribute 1.9 kilograms of methamphetamine. Rose was arrested in Gillette, Wyoming. She received 121 months imprisonment, to be followed by five years of supervised release and was ordered to pay a $100.00 special assessment and a $400.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation.
Heidi Lee Blankenship, 30, of Gillette, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on July 8, 2013, for conspiracy to possess with intent to distribute between 553 and 680 grams of methamphetamine. Blankenship was arrested in Gillette, Wyoming. She received 135 months imprisonment, to be followed by five years of supervised release and was ordered to pay a $100.00 special assessment and a $500.00 fine. This case was investigated by the Wyoming Division of Criminal Investigation.
Richard Lierheimer, 44, of McKinleyville, California, was sentenced by Federal District Court Judge Alan B. Johnson on July 8, 2013, for possession with intent to distribute 175 pounds of marijuana. Lierheimer was arrested in Cheyenne, Wyoming. He received 15 months imprisonment, to be followed by three years of supervised release and was required to forfeit his ownership in a Cessna aircraft. This case was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement.
Sandusky Man Sentenced to 10 Years in Prison for Child Pornography ConvictionRead the Press Release
A Sandusky man was sentenced to 10 years in prison for child pornograpyh crimes, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Duane Wilson, 45, pleaded guilty earlier this year to one count of receipt of child pornography, which occurred between 2005 and 2009, according to court documents.
Wilson also admitted to sexually abusing a child, approximately 10 years old, according to court documents.
This case was prosecuted by Assistant U.S. Attorney Ava Dustin following an investigation by the Federal Bureau of Investigation, Toledo.
Rosebud Man Charged with Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that Dwight Black Spotted Horse, age 28, of Rosebud, South Dakota, appeared before U.S. District Judge Roberto A. Lange on July 8, 2013, and pled guilty to Failure to Register as a Sex Offender.
The maximum penalty upon conviction is 10 years in custody, a $250,000 fine, or both; life of supervised release; and $100 to the Federal Crime Victims Fund.
On October 13, 2006, Black Spotted Horse was convicted of Sexual Abuse of a Minor. The Court sentenced Black Spotted Horse to 70 months in custody, three years of supervised release, and ordered that he register as a sex offender. He began his term of supervised release on August 27, 2011. Black Spotted Horse absconded from supervised release on April 1, 2013, and failed to register a new address by April 4, 2013, as required by the Sex Offender Notification Act.
The investigation was conducted by the U.S. Marshals Service. The case is being prosecuted by Assistant U.S. Attorney Marie H. Ruettgers.A presentence investigation was ordered and a sentencing date was set for September 30, 2013. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
# # #Rockville Man Pleads Guilty in Mortgage Fraud SchemeRead the Press Release
Greenbelt, Maryland - Edgar Galdamez, age 36, of Rockville, Maryland, pleaded guilty today to wire fraud in connection with a mortgage fraud scheme which resulted in losses of over $515,000.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.
According to his plea, from at least September 2006 through May 2007, Galdamez and others contacted individuals who wished to purchase homes as investment properties. Galdamez and others then intentionally prepared and submitted false loan applications in the buyers’ names to the lending institution to qualify these individuals for loans that they otherwise were unqualified to secure. For instance, they typically inflated the buyer’s income and omitted liabilities. They also falsely stated on loan applications that the purpose of the property was to be the borrowers’ primary residence in order to receive a lower interest rate. Galdamez knew that the property was intended to be used as an investment property. These residential mortgages were destined to fail because the borrowers did not have the income or assets to make the necessary mortgage payments. Galdamez and others profited from these fraudulent transactions by collecting origination fees, commissions and broker’s fees from each loan that closed.
As a result of the fraud scheme, the lender lost at least $515,500. Galdamez will be required to forfeit at least $515,500 and pay restitution.
Galdamez faces a maximum penalty of 30 years in prison and a $1 million fine. U.S. District Judge Peter J. Messitte scheduled sentencing for November 5, 2013 at 9:30 a.m.
The Maryland Mortgage Fraud Task Force was established to unify the agencies that regulate and investigate mortgage fraud and promote the early detection, identification, prevention and prosecution of mortgage fraud schemes. This case, as well as other cases brought by members of the Task Force, demonstrates the commitment of law enforcement agencies to protect consumers from fraud and promote the integrity of the credit markets. Information about mortgage fraud prosecutions is available Here.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation and thanked Assistant U.S. Attorney Sujit Raman, who is prosecuting the case.
Rochester Man Sentenced for Possessing Methamphetamine with the Intent to DistributeRead the Press Release
MINNEAPOLIS—Earlier today in federal court, a 45-year-old Rochester man was sentenced for possessing methamphetamine with the intent to distribute it. United States District Court Judge Joan N. Ericksen sentenced Christopher Lee Talamantes to 210 months in prison on one count of possession with intent to distribute methamphetamine. Talamantes was indicted on July 10, 2012, and pleaded guilty on December 11, 2012.
In his plea agreement, Talamantes admitted that on September 15, 2011, officers seized approximately $1,900 and 600 grams of methamphetamine during the execution of a search warrant at his apartment. In addition, on July 28, 2011, officers seized approximately 2.6 grams of methamphetamine and $13,748 during the execution of a search warrant at his residence.
This case was the result of an investigation by the U.S. Drug Enforcement Administration, the Minnesota Bureau of Criminal Apprehension, and the Olmsted County Sheriff’s Office. It was prosecuted by Assistant U.S. Attorney Julie E. Allyn. To learn more about the harmful effects of methamphetamine, visit http://www.justice.gov/dea/pr/multimedia-library/publications/drug_of_abuse.pdf#page=48.Richland County Man Sentenced on Methamphetamine Related ChargesRead the Press Release
Mark W. Keller, 51, of Olney, IL, was sentenced on July 10, 2013, to federal prison on methamphetamine related charges, Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today.
Keller was sentenced to 120 months in prison, 4 years supervised release, and was fined $20,000. Keller had previously pleaded guilty to two counts in a federal indictment. Count 1 charged that from February 2011, until on or about February 8, 2012, in Richland County, Keller conspired to knowingly and intentionally manufacture more than 50 grams of methamphetamine. Count 2 charged that on February 8, 2012, in Richland County, Keller possessed with the intent to distribute methamphetamine.
The investigation in this case was conducted by the Richland County Sheriff’s Office.
The case was handled by Assistant United States Attorney George Norwood.
RGV DME Owner Gets 12 Years in Federal Prison for $11 Million Health Care Fraud SchemeRead the Press Release
McALLEN, Texas - The owner of a now defunct McAllen area durable medical equipment (DME) business has been ordered to prison for his role in a conspiracy and scheme to defraud Medicare and Medicaid through fraudulent billings, United States Attorney Kenneth Magidson and Texas Attorney General Greg Abbott announced today. The scheme involved approximately $11.1 million in false claims to Medicare and Medicaid.
Former RGV DME Owner Marcello Herrera, 40, along with his wife Carla Cantu Herrera, 32, and their former employee Ramon De La Garza, 52, all of Mission, pleaded guilty on Feb. 21, 2013, to conspiring to defraud Medicare and Texas Medicaid. Beatriz Ramos, 28, of Edinburg, a former biller for RGV DME, pleaded guilty to the conspiracy on Oct. 16, 2012. Marcelo Herrera and De La Garza also pleaded guilty to one count of aggravated identity theft for unlawfully using the identity of a beneficiary to bill Medicare and Medicaid $5,000 for a power wheelchair that was not requested, prescribed, needed or delivered.
Today, Marcello Herrera was handed a sentence of 120 months for the conspiracy conviction in addition to a mandatory 24-month-term for aggravated identity theft which must be served consecutively to the other sentence imposed, resulting in a total 144 months in federal prison. He will also serve three years of supervision following his release. In addition to the prison sentence, he was ordered to pay restitution to Medicare and Medicaid in the amount of $6,103,953.74.
As part of his plea of guilty, Marcelo Herrera agreed to the entry of a money judgment against him in the sum of $6,103,953.74 and to forfeit wheelchairs, scooters and other DME items discovered in his leased storage facility in Alamo, which had been rented by him and ultimately seized by the FBI.
From early 2004 through late 2011, Marcello Herrera, who did business as RGV DME in the McAllen area, engaged in and directed a scheme to submit fraudulent claims to Medicare and Texas Medicaid for power wheelchairs, incontinent supplies, hospital beds and mattresses as well as other DME supplies. At various times, his wife, Carla Cantu Herrera - who admitted to being marketing director, chief financial officer, chief operating officer, office manager, human resources manager and co-owner of RGV DME - and billers De La Garza and Ramos all participated in the conspiracy and aided Marcello Herrera and each other in the submission of fraudulent billings, wire fraud and theft of the identities of beneficiaries and doctors.
In court on Feb. 21, 2013, Marcelo Herrera admitted that during the time of his fraudulent scheme, he submitted or caused the submission of more than $11.1 million in false and fraudulent claims to Medicare and Texas Medicaid for which he illegally received in excess of $6.1 million. Carla Herrera admitted that during her participation in the conspiracy, the fraudulent billings exceeded $9.9 million for which they received illegal payments exceeding $5.5 million, while De La Garza admitted that during his participation in the conspiracy the fraudulent billing exceed $9.6 million for which payments exceeded $5 million. Marcelo Herrera, Carla Herrera and De La Garza admitted that approximately 85% of their Medicare and Texas Medicaid billings were false and fraudulent.
The three defendants in court on Feb. 21, 2013, also admitted that marketers were used to obtain Medicare and Medicaid identification numbers and other information from beneficiaries which they in turn used to fraudulently bill Medicare and Medicaid for DME that was either never prescribed or prescribed but never delivered. The Herreras further acknowledged they or their marketers attempted to obtain referrals of patients or orders for DME from doctors in exchange for gifts.
Ramon De La Garza will be sentenced July 24, while Beatriz Ramos and Carla Herrera are set for Aug. 27 and Sept. 18, 2013, respectively.
Marcelo Herrera has been in custody since his arrest on June 12, 2012. He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The investigation leading to the charges was conducted by the FBI, the U.S. Department of Health and Human Services-Office of Inspector General and the Texas Attorney General’s Medicaid Fraud Control Unit. Special Assistant United States Attorney Rex Beasley and Assistant United States Attorney (AUSA) Grady Leupold are prosecuting the case. AUSAs Mary Ellen Smyth and Kristine Rollinson assisted with the asset forfeiture aspects of the case.
Pukwana Man Sentenced for Simple Assault and Assault by Striking, Beating and WoundingRead the Press Release
United States Attorney Brendan V. Johnson announced that Samuel Antelope, age 32, of Pukwana, South Dakota, pled guilty to an Information that charged him with Simple Assault and Assault by Striking, Beating and Wounding.
Antelope was sentenced on July 10, 2013, by U.S. Magistrate Judge Mark A. Moreno to 6 months of imprisonment on each count to be served consecutively, for a total custody sentence of 12 months and a $20 special assessment to the Federal Crime Victims Fund.
The charges stem from an incident occurring on November 3, 2012, when one of the victims was with her boyfriend at her Fort Thompson home. In the early evening, the second victim, her boyfriend, and Antelope came over to drink alcohol. An argument began between the partygoers. The argument turned physical, and Antelope struck the victims multiple times with his hands and fists.
One victim suffered a black eye, multiple bruises and swelling to her face and body. The second victim suffered an upper lip laceration that required three stitches to repair.
The investigation was conducted by the Bureau of Indian Affairs. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Antelope was immediately turned over to the custody of the U.S. Marshals Service.
# # #Provo Man Faces Firearms Charges Following FBI JTTF InvestigationRead the Press Release
SALT LAKE CITY – A three-count complaint unsealed Thursday morning in federal court in Salt Lake City charges a Provo, Utah, man with violations of federal firearms laws in connection with an FBI criminal investigation that started in November.
Keith Max Pierce, age 34, who was arrested Wednesday morning in Provo, is charged with failure to register as a dealer and manufacturer; illegal possession of machine guns; and possession of a firearm with an obliterated serial number. He had an initial appearance on the charges Thursday morning before U.S. Magistrate Judge Brooke C. Wells. Federal prosecutors are seeking detention. Magistrate Judge Wells scheduled a detention hearing for Monday at 9:30 a.m.
According to an affidavit filed with the complaint, the investigation of Pierce started in November after Pierce made statements to an FBI source regarding bombing the Internal Revenue Service in Provo, the Provo Police Department, and a court building. Pierce also discussed access he had to fully automatic weapons.
The complaint alleges that during the course of the investigation, Pierce made a deal to make one fully automatic AR-15 firearm for an FBI undercover agent. The complaint alleges that in late May, Pierce delivered one modified AR-15 fully automatic firearm with an obliterated serial number to the FBI agent. ATF testing of the firearm concluded that it is a machine gun that is not registered to Pierce in the National Firearms Registration and Transfer Record. Possession of the firearm is a violation of federal law.
The potential maximum penalty for each count in the complaint is 10 years in prison and a fine of $250,000.
Complaints are not findings of guilt. Individuals charged in a complaint are presumed innocent unless or until proven guilty in court.
The case is being prosecuted by the U.S. Attorney’s Office in Utah. The case is being investigated by agents and officers from agencies involved in the FBI’s Joint Terrorism Task Force, the ATF, Federal Protective Services, the Utah Department of Public Safety, and the U.S. Treasury Inspector General for Tax Administration.
In another FBI JTTF case, a July 1, 2014, trial date has been set in federal court in Idaho for Fazliddin Kurbanov, age 30, of Boise. Kurbanov was arrested in May on federal terrorism charges filed in Boise and Salt Lake City. The U.S. Attorney’s Office in Idaho is proceeding with its case first. Kurbanov will be transferred to Utah to face one count of distribution of information relating to explosives, destructive devices, and weapons of mass destruction at the conclusion of the prosecution in Idaho.Program Fraud Indictments AnnouncedRead the Press Release
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, and Gerald Roy, Special Agent in Charge, United States Department of Health and Human Services, Office of Inspector General, Office of Investigations for Region 7 (Kansas City office), announced today a second wave of indictments arising out of the abuse of a Medicaid program in Illinois that pays personal assistants to assist Medicaid recipients with general household activities and personal care. The program is intended for recipients under 60 years of age and is ostensibly designed to reduce Medicaid expenditures by avoiding more expensive institutional care, including nursing home care.
In this second wave, fifteen individuals, who reside throughout southern Illinois, have been charged in twelve separate indictments by a Federal Grand Jury in Benton, Illinois with the offense of Health Care Program Fraud. The charges carry a maximum penalty of 10 years imprisonment, a $250,000 fine, and up to 3 years of supervised release.
Due to numerous complaints concerning the Home Services Program, law enforcement agencies in southern Illinois initiated a project to investigate and hold accountable individuals perpetrating fraud against the Home Services Program. These indictments allege that the charged individuals exploited the Home Services Program and received Medicaid funds to which they were not entitled. Several investigations uncovered services being billed, but not performed, due to the personal assistant being in jail or out of town. Other investigations revealed the beneficiary residing in a hospital, a nursing home, or out of town at the time the services were supposedly rendered at the beneficiary’s home. It was also learned that some personal assistants and beneficiaries were receiving the Medicaid payments for services not rendered and simply splitting the paychecks. One of the worst examples of fraud on the program, as alleged in the charging documents, was a beneficiary who got out of jail for a one day furlough to meet with his case worker at home so he could continue receiving the Home Services Program benefits. Allegedly, that beneficiary got approved for the services and then returned to jail. It is further alleged that Medicaid paid for personal assistant services not knowing the beneficiary was in jail for several months.
The persons charged in this wave, their ages, and their last known city of residence are:
Sherri R. Goree, age 36, East St. Louis, Illinois
Lisa C. Luckett, age 49, Cahokia, Illinois
Henry J. Billups, III, age 48, Cahokia, Illinois
Karashia A. Tabbs, age 45, Cahokia, Illinois
Valeria W. Johnson, age 56, Centerville, Illinois
Roslyn R. James, age 47, Alton, Illinois
Irma Jones, age 67, Centerville, Illinois
Rosalyn Ross, age 46, Swansea, Illinois
Betty Jean Mays, age 43, Centralia, Illinois
Michael E. Mays, age 53, Centralia, Illinois
Brian D. Adams, age 31, Mount Vernon, Illinois
Tisa V. Vaughn, age 49, Florissant, Missouri
Donald Ray Keip, age 39, Mount Vernon, Illinois
William Dale Sidener, age 30, Ramsey, Illinois
Darron A. Suggs, age 39, East St. Louis, IllinoisAn Indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
This round of indictments brings to twenty-nine (29) the number of defendants who have been indicted for abusing the program. Defendants include both Medicaid beneficiaries (eleven) and personal assistants (eighteen). The first wave of indictments began on May 24, 2012. Most of the indicted cases involved alleged collusion between the beneficiaries and the purported personal assistants.
While the stated purpose of the program is to keep Medicaid recipients in their home and out of more costly institutional settings, prosecutions to date have shown an essential failure to achieve these stated objectives. Cases we have prosecuted include the following:
• Personal assistant boyfriend claimed to be providing personal care to his girlfriend, a Medicaid recipient, while she was in jail. The case came to light when the girlfriend got mad and turned her boyfriend in when her boyfriend would not use the fraud proceeds to bail her out of jail.
• Medicaid recipient who agreed to split the proceeds with a friend for being a no show was later jailed on other charges and continued to receive and split the fraud proceeds with her no show friend. The recipient was caught when she was turned in because she stopped certifying payment for the no show because she selected another friend to receive the no show money.
• Stepmother claimed jailed stepson as her personal assistant for over seven months while he was in jail.
• Medicaid recipient who was jailed for six months was able to get a furlough so that he could meet with his caseworker at his home to continue his purported eligibility. The recipient's friend was his alleged personal assistant and received payments from the State of Illinois for home care while her friend was in jail.
• Personal assistant was claimed to be providing in home personal care services to Illinois Medicaid recipient despite the fact that she was a full time resident of Texas.
• Personal assistant in Illinois claimed to be continuing to render home care services despite the fact that the Medicaid recipient had moved to the State of Texas.
• Medicaid recipient signed up for the program as a means of generating money to pay for an apartment for her daughter once the daughter got out of prison. Her daughter provided no services. Recipient did not need the services as she had been living with her boyfriend and taking care of him for years.
• Blind recipient whose son was paid for providing health care services had to care for herself. When she told her son that the money he was receiving from the State was intended to pay him for care he provided to his mother, his response was that the State wasn't paying him enough to provide her that care.
• Personal assistant continued to receive payments from the State for home health care despite the fact that the recipient was in a hospital and then in a nursing home.“We have seen dozens of instances in which the State of Illinois paid for ghost employees and fictitious services. Except for one case, payments from the State of Illinois did not keep anyone out of an institutional setting.” said Stephen R. Wigginton, United States Attorney for the Southern District of Illinois.
“In one case in which payments by the State of Illinois kept a Medicaid recipient out of a nursing home, the consequences for the Medicaid recipient were catastrophic. A family friend who herself was on disability became the personal assistant for the Medicaid recipient. This friend even invited the Medicaid recipient into her own home. However, she misappropriated her daughter's name and used a neighbor's name for purposes of obtaining and receiving personal assistant payments from the State of Illinois to care for this Medicaid recipient because she did not want to lose her own benefits. This personal assistant ignored serious and ongoing medical issues suffered by the recipient which should have led to hospitalization, but instead the personal assistant kept the recipient in the home and continued to receive personal assistant payments from the State. That recipient died in the personal assistant’s home as a result of malnutrition and sepsis due to neglect of medical, nutritional and hygienic care.” noted United States Attorney Wigginton.
Nationwide, one of the biggest fraud problems in the Medicaid program has been these personal assistant programs which represent the number one fraud complaint to state Medicaid fraud units. Especially vulnerable to fraud are programs, such as the one implemented in Illinois, that allows the Medicaid recipient to control the selection and payment of personal care attendants. In most cases, the personal care assistant is a relative or family friend, who often is a ghost employee. In a typical fraud scenario, the scam payments made by the State of Illinois are split between the Medicaid recipient and the ghost employee.
According to an Office of Inspector General report released in December, 2012, Medicaid costs for personal care services in 2011 totaled $12.7 billion, a thirty five percent increase since 2005. The U.S. Department of Labor projects that the employment of personal assistants and home health care workers will grow by 46 percent by 2018. U.S Department of Health and Human Services, Office of Inspector General: Personal Care Services, Trends, Vulnerabilities, and Recommendations for Improvement, OIG-12-12-01 (November 2012). Home personal care is one of the fastest growing job categories in the country. However, the OIG’s report points to numerous problems in Medicaid personal care services that leave it vulnerable to improper payments, abuse, and fraud, including lack of training standards, uneven oversight of services provided, and failure to implement prepayment controls to prevent improper or fraudulent payments.
A number of these problems can be seen in Illinois’ Home Services program. Unlike the majority of states, Illinois has no mandatory training requirements for its personal assistants. The State of Illinois sets wages and pays the personal assistants directly, yet does not require them to receive any instruction or education concerning their obligations as caregivers or as paid providers of Medicaid services. Also unlike most other states, Illinois also has no formal mechanism to supervise the work of the personal assistants it pays and ensure that the services it pays for are actually being rendered. U.S. Department of Health and Human Services, Office of Inspector General: States' Requirements for Medicaid-Funded Personal Care Service Attendants, OEI-07-05-000250 (December 2006).
Like only a handful of States, the State of Illinois has a collective bargaining agreement with the personal assistants selected by its Medicaid recipients. The Service Employees International Union is the exclusive representative of the personal assistants. Illinois withholds union dues from the payments it makes to the personal assistants.
Under recent collective bargaining agreements with the Service Employees International Union, the Union has been paid $2 million annually by the State to conduct a voluntary training program for Personal Assistants. While the Union developed and offers training, the investigation has shown that it is attended by almost no one in the Southern District of Illinois and has been of no practical benefit in deterring fraud or insuring that services are performed properly.
While the stated purpose of the program is to keep Medicaid recipients in their home and out of more costly institutional settings, prosecutions to date have shown an essential failure to achieve these stated objectives. Rather than assisting beneficiaries in legitimate need of care, the Medicaid agency in numerous instances is allowing the Home Services program to be exploited by unscrupulous individuals who believe that personal care services are an easy target for fraud.
Prison Camp Inmate Pleads Guilty to Escaping While on Transfer Between FacilitiesRead the Press Release
David J. Pederson, 55, an inmate at the Federal Prison Camp at Marion, Illinois, pled guilty today in United States District Court in Benton to an indictment charging him with escaping from custody while on an unescorted transfer between that facility and one in Council Bluffs, Iowa, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois. The indictment, returned by a Federal Grand Jury on May 9th, alleged that the escape offense occurred on March 26, 2013.
After escaping, Pederson obtained a realistic looking air pistol and car-jacked two separate vehicles in Mt. Vernon, Illinois. He took a total of four individuals hostage during the car-jackings, including two women and two children. He was arrested with three of the hostages in Nashville, Illinois. On May 7, 2013, Pederson pled guilty in Jefferson County Circuit Court to charges relating to the car-jackings and was sentenced to a 20 year term of imprisonment in the Illinois Department of Corrections.
Sentencing on the escape offense was set for November 1, 2013, at 10:00 a.m. at the United States District Courthouse in Benton. At that time, Pederson faces an additional 5 years’ imprisonment, a $250,000 fine, and 3 years of supervised release to follow his incarceration.
Pederson was returned to the custody of the Illinois Department of Corrections to await his federal sentencing.
The case was investigated by the United States Marshal’s Service and the Mt. Vernon Police Department.
The case is being prosecuted by Assistant United States Attorney James M. Cutchin.
Prior Sex Offender Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
ALBUQUERQUE – Chad F. Summers, 40, of Albuquerque, N.M., pleaded guilty this morning to receipt of a visual depiction of minors engaged in sexually explicit conduct. Under the terms of his plea agreement, Summers will be sentenced to 15 years in federal prison followed by a lifetime of supervised release. Summers also will be required to register as a sex offender. The guilty plea was announced by U.S. Attorney Kenneth J. Gonzales, Special Agent in Charge Dennis A. Ulrich, II, of Homeland Security Investigations (HSI) in El Paso, Texas, Chief Robert W. Shilling of the New Mexico State Police (NMSP), and Chief Ray Schultz of the Albuquerque Police Department (APD).
Summers was arrested on Feb. 12, 2013, on a criminal complaint alleging that he received and possessed child pornography in Bernalillo County, N.M., between Aug. 2012 and Feb. 2013. The complaint also charged Summers with unlawfully possessing a firearm on Feb. 12, 2013. At the time, Summers was prohibited from possessing firearms or ammunition because he previously had been convicted of child pornography offenses in an Oregon state court. On March 5, 2013, Summers was indicted and charged with three counts of receipt of child pornography, one count of possession of child pornography, and being a felon in possession of a firearm.
During today’s hearing, Summers entered a guilty plea to Count 1 of the indictment, charging him with receipt of child pornography. In his plea agreement, Summers acknowledged that HSI, NMSP and APD executed a search warrant at his residence on Feb. 12, 2013 and seized computers and computer-related media. The search warrant was issued based on an undercover investigation by the NMSP that began in Oct. 2012, and targeted individuals who possessed, received and distributed child pornography. The investigation revealed that an IP Address which was subscribed to Summers was being used to offer child pornography images and videos through a peer-to-peer file-sharing program.
Summers acknowledged voluntarily participating in a recorded interview on Feb. 12, 2013, during which he admitted downloading child pornography images of preteens. He also admitted having a prior conviction for child pornography offenses from Oregon. In his plea agreement, Summers acknowledged that a forensic examination of his computers and computer-media uncovered more than 1600 child pornography images and videos.
Summers faced the enhanced penalty of a mandatory minimum 15 year prison sentence because of his prior child pornography conviction. Summers remains in federal custody pending his sentencing hearing, which has yet to be scheduled. Pursuant to his plea agreement, Summers will be required to forfeit his computers, computer-media and firearm.
This case was investigated by the Albuquerque office of HSI, NMSP and APD and is being prosecuted by Assistant U.S. Attorney Charlyn E. Rees. Assistant U.S. Attorney Cynthia L. Weisman is handling the related forfeiture proceedings.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s 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 exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
The case also was brought as a part of the New Mexico Internet Crimes Against Children (ICAC) Task Force’s mission, which is to locate, track, and capture Internet child sexual predators and Internet child pornographers in New Mexico. There are 64 federal, state and local law enforcement agencies associated with the ICAC Task Force, which is funded by a grant administered by the New Mexico Attorney General’s Office. Anyone with information relating to suspected child predators and suspected child abuse is encouraged to contact federal or local law enforcement.
Prior Sex Offender Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
ALBUQUERQUE – Brian Williams, 21, an enrolled member of the Navajo Nation who resides in Shiprock, N.M., pleaded guilty this morning to a federal assault charge under a plea agreement with the U.S. Attorney’s Office.
Williams was arrested on Jan. 13, 2013, based on a criminal complaint charging him with assault with a dangerous weapon after he brandished a firearm at and threatened two car hops who were working at a Sonic Restaurant in Shiprock.
During this morning’s proceedings, Williams admitted assaulting two women at the Sonic Restaurant in Shiprock on Jan. 12, 2013, by pointing a semi-automatic pistol at them and telling them to “watch out” because he would be back. According to his plea agreement, Williams assaulted the victims because he was upset over his beverage order.
This case was investigated by the Shiprock office of the Navajo Nation Division of Public Safety and is being prosecuted by Assistant U.S. Attorney Kyle T. Nayback
Williams has been in federal custody since his arrest and remains detained pending his sentencing hearing, which has yet to be scheduled. At sentencing, Williams faces a maximum possible penalty of ten years in prison.Press Conference to Follow Sentencing in UNITED STATES V. PAUL DANIEL BOTTOMLEYRead the Press Release
July 12, 2013, at 1:00 p.m. (MDT) in Missoula, Montana
United States Attorney for the District of Montana, Michael W. Cotter, and John Roth, Director of the Food and Drug Administration, Office of Criminal Investigation, will hold a press conference on July 12, 2013, at 1:00 p.m. (MDT) following the sentencing in United States v. Paul Daniel Bottomley, CR13-04-BU-DLC. The press conference will be held at the U.S. Attorney's Office located at 105 E. Pine Street, 2nd floor in Missoula, Montana.
The purpose of the press conference will be to comment on the case, the significant forfeiture involved in the case, and the continued efforts of the Food and Drug Administration, Office of Criminal Investigation to safe guard Americans from misbranded, adulterated and counterfeit pharmaceuticals from foreign countries.
Pottawattamie County Resident Sentenced for Methamphetamine DistributionRead the Press Release
COUNCIL BLUFFS, IA- On July 11, 2013, Douglas John Howard, a 50 year-old resident of Pottawattamie County, Iowa, was sentenced by Chief Judge James E. Gritzner to 121 months imprisonment for possession with intent to distribute methamphetamine, announced United States Attorney Nicholas A. Klinefeldt. Judge Gritzner also ordered Howard to serve a four year term of supervised release following incarceration. Howard pled guilty on February 8, 2013, to possession of methamphetamine with intent to distribute.
The conviction resulted from a joint law enforcement investigation into the distribution of methamphetamine in the Council Bluffs, Iowa, which began with a traffic stop in June of 2012 where Howard was found to be in possession of methamphetamine, digital scales, plastic baggies and drug distribution notes. The investigation identified Howard as a person responsible for regularly distributing methamphetamine in Council Bluffs, along with rural areas in Pottawattamie and Mills Counties in Iowa.
The investigation was conducted by the Carter Lake Police Department, South West Iowa Narcotics Task Force, and the Drug Enforcement Administration, and the case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Philadelphia La Cosa Nostra Underboss Sentenced to<br /> 188 Months in PrisonRead the Press Release
Joseph Massimino was sentenced today to serve 188 months in prison for his participation in a racketeering conspiracy involving extortion, loan sharking and illegal gambling, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Zane David Memeger of the Eastern District of Pennsylvania and Edward J. Hanko, Special Agent in Charge of the FBI’s Philadelphia Division.
Massimino, 63, of Philadelphia, was sentenced by U.S. District Judge Eduardo C. Robreno in the Eastern District of Pennsylvania. In addition to his prison term, Massimino was sentenced to serve three years of supervised release.
On Feb. 5, 2013, after a four-month trial, a jury convicted Massimino of conspiring to conduct and participate in the affairs of the Philadelphia La Cosa Nostra Family through a pattern of racketeering activity. The evidence at trial proved that, in furtherance of the racketeering conspiracy, Massimino, as a “made” member and underboss, extorted “street tax” payments from a bookmaker, used threats of violence against debtors to collect loan sharking payments and forced the owners of a vending company to sell the portion of their business related to the operation of illegal video poker machines. In addition, Massimino ran an illegal electronic gambling device business for the mob, providing video poker machines and other gambling devices for bars, restaurants, convenience stores, coffee shops and other locations in Philadelphia and its suburbs. In one of these locations, Massimino also operated an illegal sports bookmaking business.
The case is being prosecuted by Trial Attorney John S. Han of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys Frank A. Labor III and Suzanne B. Ercole of the Eastern District of Pennsylvania. Valuable prosecutorial assistance was provided by the Pennsylvania Office of the Attorney General.
The case is being investigated by the FBI, Internal Revenue Service-Criminal Investigation, Pennsylvania State Police, New Jersey State Police, Philadelphia Police Department, U.S. Department of Labor’s Office of Inspector General Office of Labor Racketeering and Fraud Investigations, and the U.S. Department of Labor’s Employee Benefits Security Administration. Additional assistance was provided by the New Jersey Department of Corrections.O’Fallon Man Indicted on Drug, Gun ChargesRead the Press Release
Matthew G. Patterson, 23, of O’Fallon, Illinois, was indicted by a federal grand jury sitting in East St. Louis on June 18, 2013, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. The Grand Jury charged Patterson with Unlawful Possession with the Intent to Distribute Marijuana (Count 1) and Possession of a Firearm In Furtherance of a Drug Trafficking Offense (Count 2). The indictment, which was originally suppressed, but has since been unsealed, also seeks the forfeiture of two firearms along with “all property constituting, or derived from any proceeds” obtained as a result of the offense charged in Count 1. Upon conviction, Count 1 carries a possible penalty of five (5) years imprisonment, a $250,000 fine, at least two (2) years of supervised release, and a $100 special assessment; Count 2 carries a possible penalty of a minimum of five (5) years imprisonment, consecutive to any sentence imposed on Count 1, a $250,000 fine, not more than five (5) years of supervised release, and a $100 special assessment. Trial is this matter is currently scheduled for September 16, in United States District Court in East St. Louis.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge and is entitled to a fair trial at which the Government must prove guilt beyond a reasonable doubt.
Evidence for this indictment was gathered during an investigation conducted by the United States Postal Inspection Service and the Metropolitan Enforcement Group of Southwestern Illinois (MEGSI).
This case has been assigned to Assistant United States Attorney Randy G. Massey for prosecution.
Owner of Woodbridge Real Estate Company Pleads Guilty to $7 Million Mortgage Related Bank FraudRead the Press Release
ALEXANDRIA, Va. – Mark R. Dain, 33, of Fairfax, Va., pleaded guilty today to conspiracy to commit bank fraud and admitted responsibility for fraudulent loan applications involving 22 different properties, which resulted in more than $7 million in losses to various federally insured financial institutions. Dain also agreed to the entry of a restitution order and personal money judgment for the full amount of the financial institutions’ losses.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia, Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office, and Gary R. Barksdale, Postal Inspector in Charge of the U.S. Postal Inspection Service Washington Division, made the announcement after the plea was accepted late this afternoon by United States District Judge T.S. Ellis, III.
Dain pleaded guilty to a criminal information charging him with conspiracy to commit bank fraud. Dain faces a maximum penalty of 30 years in prison when he is sentenced on October 4, 2013.
In a statement of facts filed with the plea agreement, Dain admitted that between 2006 and 2008, he was employed by, and part owner of, a Woodbridge, Virginia company which specialized in the marketing of undeveloped, sub-divided lots located in North and South Carolina. The company marketed these lots to purchasers in Northern Virginia and assisted the buyers in their efforts to obtain financing. Dain participated in a scheme to falsify loan applications by various means, to include: the inflation of gross monthly income, the value and/or the existence of real estate owned by the applicant, and the value of the liquid assets held by the loan applicant.
This case was investigated by the FBI’s Washington Field Office and the United States Postal Inspection Service. Assistant United States Attorney Mark D. Lytle is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Operation ‘Wild Web’ Targets Illegal, Online Sale of Endangered Species and Parts from Protected AnimalsRead the Press Release
LOS ANGELES – An undercover operation dubbed “Wild Web” today resulted in charges against five Southern California residents who are accused of selling endangered species and animal parts, including pelts taken from wild cats, through online auction sites such as Craigslist.
The charges contained in four criminal cases filed in United States District Court in Los Angeles stem from an investigation coordinated by the United States Fish & Wildlife Service and which involved investigators and prosecutors across the United States and in three Southeast Asian countries.
Operation Wild Web was designed to disrupt the trafficking of illegal wildlife on the Internet. Across the United States, the Wild Web task force conducted more than 150 undercover purchases of endangered wildlife over the course of two weeks last August (see: http://www.fws.gov/home/newsroom/operationwildwebNR07112013.html). Investigators posing as buyers focused on endangered or protected wildlife, as well as invasive species that threaten the native fish species in the United States.
The four cases filed in Los Angeles this morning charge five defendants with violations of federal environmental laws. The defendants charged are:
Hanna Karim, 44, and his wife, Margarita Licomitros, 36, both of Huntington Beach, who are accused of selling a Sumatran Tiger skin for $8,000 after the item was advertised on Craigslist. Karim and Licomitros are charged with offering an endangered species for sale, and, if convicted, each could be sent to federal prison for up to one year. Tigers are critically endangered throughout the world, with estimates that there are less than 500 Sumatran tigers remaining in the wild. This case is being prosecuted by Assistant United States Attorney Rupa S. Goswami.
Rene De La Peza, 42, of Hacienda Heights, who is accused of selling a jaguar skin for $15,000 after advertising the item of Craigslist. De La Peza is charged with offering an endangered species for sale and, if convicted, could be sent to federal prison for up to one year. Jaguars, the largest cat found in the Americas, have been listed as endangered for 40 years. This case is being prosecuted by Assistant United States Attorney Rupa S. Goswami.
Michael Roy McIntire, 59, of Encino, who is accused of selling three migratory bird mounts in violation of the Migratory Bird Treaty Act of 1918. If convicted, McIntire would face up to six months in prison. All migratory birds – such as the birds involved in this case: a canvasback, a cinnamon teal and a mallard – are protected under treaties between the United States, Russia, Canada and Mexico, and even legally hunted birds cannot be sold. This case is being prosecuted by Assistant United States Attorney Amanda Bettinelli.
Rodrigo Macedo, 29, of Hesperia, who is accused selling two Western Scrub Jays in violation of the Migratory Bird Treaty Act, a charge that carries a maximum penalty of six months in federal prison. This case is being prosecuted by Assistant United States Attorney Amanda Bettinelli.
As part of Operation Wild Web, state and federal prosecutors across the nation have filed well over 100 criminal cases, with most of the cases being filed in California, Texas and Florida. In addition to the animals and animal parts involved in the cases filed in federal court in Los Angeles, Operation Wild Web led to cases involving the illegal sale of a bear skin and a walking catfish that were filed by the Los Angeles County District Attorney’s Office. Other cases resulting from Operation Wild Web – involving native wildlife and invasive species, such as live piranha – were recently filed by the Orange County District Attorney’s Office, the Santa Barbara County District Attorney’s Office, and the Los Angeles City Attorney’s Office. Seven cases were charged in Thailand and Indonesia where animals and parts of animals – such as leopards, tigers, Great Hornbills and Javan eagles – were sold through the Internet.
Law enforcement authorities were assisted by several non-profit organizations that donated resources to the operation, including the Humane Society of the United States, the International Fund for Animal Welfare, and the Freeland Foundation. The Association of Southeast Asian Nations – Wildlife Enforcement Network organized the law enforcement efforts in Thailand, Indonesia and Singapore, where it is working to stop the wildlife trade in source countries in Southeast Asia.
Release No. 13-093
Operation "Dixie Crystal" Nets 30 Methamphetamine Traffickers in Ashe and Surrounding CountiesRead the Press Release
One Remaining Fugitive Sought – Reward Offered
CHARLOTTE, N.C. – Thirty men and women have been charged to date with methamphetamine trafficking and firearms offenses as a result of Operation “Dixie Crystal,” announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. To date, 17 defendants have pleaded guilty to the charges.
Operation “Dixie Crystal” is a joint drug task force operation which began in 2012, targeting significant methamphetamine traffickers in Ashe, Allegheny, Caldwell, Watauga, Wilkes Counties, and Johnson County in Tennessee.
“The success of this investigation speaks of the continued dedication of our local, state and federal law enforcement partners in targeting and dismantling meth distribution rings that profit by spreading their poison in our communities. Strong partnerships such as this one underscore the power of our combined forces and demonstrate our collective impact on the war against meth,” said U.S. Attorney Tompkins.
According to filed court documents and court proceedings, beginning in 2003 and continuing to the present, the co-conspirators have sold more than 200 pounds of methamphetamine, with a street value of more than $4,000,000. Over the course of the investigation, law enforcement seized approximately 30 firearms, five vehicles, 20 pounds of methamphetamine, and $150,000 in U.S. currency.
Federal criminal indictments unsealed today in U.S. District Court have charged the following 10 defendants with federal drug charges and related offenses:
1. Larry Mitchell Snyder, 59, of Trade, Tenn., is charged with a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life. He was indicted by a federal grand jury on June 18, 2013. Snyder is currently a fugitive in the case and a warrant for his arrest remains outstanding. A reward is available for information leading to Snyder’s arrest. Tips can be called in to 1-866-DHS-2-ICE (1-866-347-2423). All tipsters will remain anonymous.
2. Earl Butler Potter, 55, of Todd, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life in prison. He has been in custody since his arrest on July 11, 2012. He was indicted by a federal grand jury on June 18, 2013.
3. Stephanie Lynn Shatley, 31, of Lansing, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life in prison. Shatley was indicted by a federal grand jury on June 18, 2013. She is currently in state custody.
4. Jared William Pardue, 33, of Zionville, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life in prison. Pardue was indicted by a federal grand jury on June 18, 2013. He has been in federal custody on June 25, 2013.
5. Tawana M. Sparks, 31, of Hudson, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life in prison. She was indicted by a federal grand jury on June 18, 2013 and has been in federal custody since July 11, 2013.
6. Courtney Wayne Patterson, 28, of Todd, is charged with drug trafficking and firearms offenses that carry a mandatory minimum sentence of 15 years to life in prison. He has been in custody since his arrest on July 11, 2012, and was indicted by a federal grand jury on June 18, 2013.
7. Deborah Phillips Lewis, 36, of Todd, is charged with drug trafficking and firearms offenses which carry a mandatory minimum sentence of 15 years to life in prison. She has been in custody since her arrest on July 11, 2012, and was indicted by a federal grand jury on June 18, 2013.
8. James Foy Parsons, 45, of West Jefferson, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life. He has been in custody since his arrest on July 11, 2012. He was indicted by a federal grand jury on June 18, 2013.
9. Tina Ann Wheeler (a/k/a Tina Ann Miller), 38, of Crumpler, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life in prison. She has been in custody since her arrest on July 11, 2012. She was indicted by a federal grand jury on June 18, 2013.
10. Ricky Allen Latham, 32, of Creston, N.C., is charged with a drug trafficking offense that carries a mandatory minimum sentence of 10 years to life in prison. He was indicted by a federal grand jury on June 18, 2013, and is not yet in custody.
Three additional defendants facing federal drug charges are currently scheduled for trial:
• Mauricio “Mario” Baltazar, 20, of Lake City, Ga., is charged with four counts of drug trafficking and firearms offenses that carry a mandatory minimum sentence of 40 years to life in prison. Baltazar has been in custody since his arrest on April 23, 2013, and was indicted by a federal grand jury on May 22, 2013. His trial is set for July 2013.
• Kenneth Herman Bennett, 50, of West Jefferson, is charged with a drug trafficking offense that carries a mandatory minimum sentence of 20 years to life in prison. He has been in custody since his arrest on April 20, 2013. He was indicted by a federal grand jury on May 22, 2013. Bannett’s trial is set for July 2013.
• Martin Martinez Saldana, 43, of West Jefferson, is charged with drug trafficking and firearms offenses that carry a mandatory minimum sentence of 25 years to life in prison. Saldana has been in custody since his arrest and indictment on December 13, 2012, and has a September 2013 trial date.
The following 17 defendants have entered guilty pleas and are awaiting sentencing:
1. Jason Michael Benfield, 33, of Laurel Springs, N.C., pleaded guilty on June 6, 2013, to drug trafficking and firearm offenses that carry a mandatory minimum sentence of 15 years to life in prison. Benfield has been in custody since his arrest on March 22, 2013.
2. Ernest Monroe Parlier, Jr., 28, of Crumpler, pleaded guilty on May 16, 2013, to drug trafficking and firearm offenses that carry a mandatory minimum sentence of 15 years to life in prison. Parlier has been in custody since his arrest on March 21, 2013.
3. Jeremy Keith Nunnenkamp, 40, of North Wilkesboro, N.C., pleaded guilty on June 5, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. He has been in custody since his arrest on April 20, 2013.
4. Jeffrey Dale Watson, 41, of Fleetwood, N.C., has agreed to plead guilty to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. Watson has been released on bond. A plea hearing date has not been set yet.
5. James Thomas Hawkins, 39, of Laurel Springs, N.C., has agreed to plead guilty to a drug trafficking charge which carries a mandatory minimum sentence of 10 years to life in prison. Hawkins has been released on bond since April 23, 2013. A plea hearing date has not been set yet.
6. Chad Morgan Yates, 38, of Chattahoochee Hills, Ga., pleaded guilty on May 17, 2013, to a drug trafficking charge which carries a mandatory minimum sentence of 10 years to life in prison. He is currently in federal custody.
7. Christy Lee Latham, 36, of Warrensville, N.C., pleaded guilty on June 19, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. She has been in custody since entry of her guilty plea.
8. Melanie Virginia Osley, 37, of Chattahoochie Hills, Tenn., pleaded guilty on June 11, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. Osley has been in custody on the federal charges since her arrest on March 21, 2013.
9. Luis Enrique Garcia, 46, of Mexico, pleaded guilty on February 4, 2013, to drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. Garcia has been in custody since his arrest on the federal charges on December 20, 2012.
10. Jose Francisco Jimenez Pina, 46, of Mexico, pleaded guilty on February 20, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. He has been in custody since his arrest on the federal charges on December 13, 2012.
11. Jose Humberto Jimenez Pina, 25, of Mexico, pleaded guilty on February 20, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. He has been in custody since his arrest on the federal charges on December 13, 2012.
12. Bobby Giles Shore, 59, of Lansing, pleaded guilty on February 22, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. Shore has been in custody since his arrest on the federal charges on December 13, 2012.
13. Danny Eller, 53, of West Jefferson, pleaded guilty on April 16, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. Eller has been in custody since his arrest on the federal charges on December 13, 2012.
14. Cristie Aldridge Dollar, 45, of Foscoe, N.C., pleaded guilty on April 3, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. She has been in custody since her arrest on the federal charges on December 19, 2012.
15. Pamela Ann Corum, 31, of Zionville, pleaded guilty on February 13, 2013, to a drug trafficking charge that carries a mandatory minimum sentence of 10 years to life in prison. She has been in custody since her arrest on the federal charges on December 19, 2012.
16. Tammy Wynette Woody, 43, of West Jefferson, pleaded guilty on May 15, 2013, to a bill of information charging her with a single drug trafficking offense which carries a mandatory minimum sentence of 5 years to 40 years in prison. Woody has been in custody since her arrest on April 22, 2013.
17. Javier Sanchez Chavez, 32, of Mexico, pleaded guilty on March 21, 2013, to a charge of misprision of a felony, which carries a maximum sentence of 3 years in prison. He has been in custody since his arrest on the federal charges on December 20, 2012.
In making today’s announcement, U.S. Attorney Tompkins recognized the following federal, state and local agencies which partnered in Operation Dixie Crystal, and thanked them for their continued cooperation and support:
Brock D. Nicholson, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Georgia and the Carolinas; Harry S. Sommers, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office; Wayne L. Dixie, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division; Greg McLeod, Director of the North Carolina State Bureau of Investigation (NC SBI); Sheriff James Williams of the Ashe County Sheriff’s Office; Sheriff David Edwards of the Allegheny County Sheriff’s Office; Chief Dana Crawford of the Boone Police Department; Sheriff Alan C. Jones of the Caldwell County Sheriff’s Office; Sheriff Len D. Hagaman of the Watauga County Sheriff’s Office; Sheriff Chris Shew of the Wilkes County Sheriff’s Office; and Sheriff Mike Reece of the Johnson County Sheriff’s Office in Tennessee.
The investigation is ongoing. The case is being prosecuted by Assistant U.S. Attorney Steven R. Kaufman of the U.S. Attorney’s Office in Charlotte.
Norfolk Man Sentenced to 327 Months in Prison for Production of Child PornographyRead the Press Release
NORFOLK, Va. – Michael Thomas Sechrist, 45, of Norfolk, Va., was sentenced today to 327months in prison, followed by 300 months of supervised release, for production of child pornography.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia, made the announcement after sentencing by United States District Judge Arenda L. Wright Allen.
Sechrist pleaded guilty to one count of production of child pornography on April 3, 2013. According to court documents and other public information, Sechrist was initially identified when a visitor to his home found a surreptitiously placed thumb drive that was found to contain images of minors engaging in sexually explicit conduct. While some of those images came from the Internet, others were produced by Sechrist of a prepubescent female minor in the Tidewater area.
This case was investigated by the Department of Homeland Security Investigations and the Norfolk Police Department. Assistant United States Attorney Elizabeth M. Yusi prosecuted the case on behalf of the United States.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.New Jersey Check Cashing Company Ordered to Pay More Than $1 Million, on Probation After Admitting Failure to File Currency Transaction ReportsRead the Press Release
CAMDEN, N.J. – GB Check Cashing LLC, a check cashing company licensed in New Jersey, pleaded guilty today and was ordered to forfeit over $1 million for failing to file Currency Transaction Reports as required by law, U.S. Attorney Paul J. Fishman announced.
The co-owners of GB Check Cashing LLC, Dalwinder S. Ghuman, 45, and Talvinder S. Ghuman, 53, both of Mt. Laurel, N.J., entered the plea on behalf of GB Check Cashing before U.S. District Judge Robert B. Kluger in Camden federal court. Following the guilty plea, Judge Kluger sentenced GB Check Cashing to one year of probation and ordered the company to forfeit $1,086,894.
According to documents filed in this case and statements made in court:
GB Check Cashing is a money service business the Ghumans, brothers, have co-owned and operated since 2003. The business has four storefronts, all of which are located in New Jersey: in Pennsauken, Delran, Carteret and East Windsor. Under federal law, such companies are obligated to file a Currency Transaction Report (CTR) whenever they are involved in a transaction for the payment, receipt or transfer of more than $10,000.
From September 2010 through June 2011, an individual referred to in court documents as “CC,” who operated a check cashing business in New Jersey without the appropriate license, brought several checks from customers of that business to GB Check Cashing and exchanged them for cash, less a one percent fee. Because the value of those checks was usually greater than $10,000, so was the amount of cash CC received. GB Check Cashing documented each transaction to make it appear as though CC’s customers went directly to GB Check Cashing to cash their checks.
In all, GB Check Cashing cashed approximately $1,148,247.63 of CC’s customers’ checks, paying approximately $1,086,894.33 to CC in increments greater than $10,000. GB Check Cashing did not file a CTR for any of those transactions.
U.S. Attorney Fishman credited special agents of U.S. Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge Andrew M. McLees, with the investigation.
The government is represented by Assistant U.S. Attorney Lakshmi Srinivasan Herman of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
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Defense counsel: Lawrence S. Lustberg Esq., Newark, N.J.
Henry Klingeman Esq., NewarkGB Check Cashing Information
New Haven Man Pleads Guilty to Federal Gun ChargeRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that RUFUS SPEARMAN, 36, of New Haven, pleaded guilty today before United States Magistrate Judge Donna F. Martinez in Hartford to possession of a firearm by a previously convicted felon.
According to court documents and statements made in court, during a police pursuit on November 10, 2012, SPEARMAN discarded a loaded .50 caliber semi-automatic pistol underneath the front porch of a residence on Clover Place in New Haven. He was apprehended a short time later and the firearm was recovered. A search of SPEARMAN’s person also revealed quantities of marijuana and Methylone, also known as “bath salts.”
SPEARMAN’s criminal history includes state felony convictions for sale of hallucinogen/narcotics, possession of a controlled substance with intent to sell, arson and conspiracy to commit arson in the first degree.
SPEARMAN has been detained since his arrest on November 10, 2012. He is scheduled to be sentenced by United States District Judge Robert N. Chatigny on October 4, 2013, at which time he faces a maximum term of imprisonment of 10 years.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven Police Department. The case is being prosecuted by Assistant United States Attorney Anthony E. Kaplan.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Multi-State Partnership Targets Violent CrimeRead the Press Release
159 Individuals Charged - 267 Firearms SeizedSt. Louis, MO/EAST ST. LOUIS, IL - The results of a first of its kind partnership targeting violent crime in St. Louis, MO and East St. Louis, IL was unveiled this morning during a joint press conference held by U.S. Attorney for the Eastern District of Missouri Richard Callahan, U.S. Attorney for the Southern District of Illinois Stephen R. Wigginton, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Acting Director B. Todd Jones, City of St. Louis Mayor Francis G. Slay and St. Louis Metropolitan Police Chief D. Samuel Dotson III.
This initiative, dubbed the Violent Crime Reduction Partnership (VCRP), resulted in the indictments of 159 individuals in both Missouri and Illinois. The defendants have been charged with a variety of federal and state firearms, narcotics and robbery offenses.
Beginning in April 2013, more than 80 ATF personnel from throughout the country were working in the cities of St. Louis and East St. Louis. To combat the high rate of violent crime in these cities, the agents worked together with the U.S. Attorney’s Offices in the Eastern District of Missouri and the Southern District of Illinois, the Illinois State Police, the St. Louis Metropolitan Police Department and other federal, state and local partners. The initiative utilized multiple investigative techniques, including undercover operations, historical investigation and prosecutions of multi-convicted felons in possession of firearms.
As a result of this effort, a total of 267 firearms, more than 25 ounces of methamphetamine, more than 3 pounds of crack cocaine/cocaine, more than 7 pounds of marijuana and more than 1½ pounds of heroin were purchased or seized. On July 10, 2013, over 150 law enforcement officers searched for the remaining defendants who were not already in custody. Those not arrested at the time of this release are now considered fugitives.
Of the 159 defendants, 99 are being prosecuted by the United States Attorney’s Office for the Eastern District of Missouri, 47 are being prosecuted by the United States Attorney’s Office for the Southern District of Illinois, 11 are being prosecuted by the St. Louis City Circuit Attorney’s Office, 1 is being prosecuted by the St. Clair County State’s Attorney’s Office and 1 is being prosecuted by the Madison County State's Attorney's Office. As a whole, the defendants have been the subjects of 1,718 felony arrests and 78% of the defendants are previously convicted felons.
"Statistically, East St. Louis, Illinois, is the most violent city in America. The law-abiding citizens of East St. Louis, not to mention all of the law-biding citizens of all of Southern Illinois, are grateful for the very intense and dangerous work spearheaded by ATF, and done in conjunction with ATF’s federal and local law enforcement partners, in this intense surge of enforcement, to seek out, disrupt and prosecute those violent and dangerous offenders who make life intolerable for the rest of us," said Stephen R. Wigginton, the United States Attorney for the Southern District of Illinois. "Attorney General Holder, in setting the Department of Justice’s main priorities, has said, ‘We will protect Americans from violent crime.’ The promise made in that priority has been fulfilled in these law enforcement actions taken by the brave and dedicated men and women of the ATF and their partners,” added United States Attorney Wigginton.
"Today’s work is by no means finished. ATF will continue to work with our partners to identify and target those responsible for the violence that has plagued St. Louis and East St. Louis. As we take these individuals off the streets, we in law enforcement are sending a powerful message that the violence these individuals bring will not be tolerated,” said ATF Acting Director B. Todd Jones.
Mayor Francis Slay, City of St. Louis said, "This is one of the most significant law enforcement operations in our city in the last decade. It will result in less crime and less violence in our City. Its impact will be felt for some time to come. Our citizens owe a debt of gratitude to everyone involved, especially the law enforcement officers who risked their lives to get these guns off our streets and these dangerous criminals out of our neighborhoods."
"The successful results of this initiative prove that by creating partnerships within law enforcement and cracking down on violent crime, the streets of our cities are safer," said Chief Sam Dotson. "The next step is ensuring that these criminals are prosecuted and sentenced appropriately, sending a message to violent offenders that this behavior is not tolerated."
The VCRP’s core agencies are ATF, the St. Louis Metropolitan Police Department, the Illinois State Police, the Federal Bureau of Investigation (IL), the United States Attorney’s Office for the Eastern District of Missouri, the United States Attorney’s Office for the Southern District of Illinois, the St. Louis City Circuit Attorney’s Office and the St. Clair County (IL) State’s Attorney’s Office. The agencies that also participated in the VCRP are the Drug Enforcement Administration, the St. Louis County Police Department, the St Clair County (IL) Sheriff’s Department, Illinois Department of Corrections Probation and Parole and the United States Marshals Service. This arrest operation involved law enforcement officers from all of the investigating agencies, along with numerous other law enforcement agencies.
The Eastern District of Missouri cases are being prosecuted under the supervision of Assistant U.S. Attorney Antoinette Decker, Chief of the Violent Crimes Unit. The Southern District of Illinois cases are being prosecuted by Assistant U.S. Attorney Deirdre A. Durborow, Violent Crimes Chief; Kit R. Morrissey, Monica Stump, Ali Summers, Steven B. Clark, Daniel Kapsak and Special Assistant United States Attorneys Stephanie Richter and Neal Hong.
This is the ninth multi-month VCRP that ATF personnel have completed throughout the United States. This is the first VCRP that spanned two ATF Field Divisions and two U.S. Attorneys Offices.
These state and federal charges are allegations that a defendant has committed a crime. A defendant is presumed innocent of the charges and it will be the government's burden to prove a defendant's guilt beyond a reasonable doubt at trial.
Contact Information:
Assistant U.S. Attorney Jim Porter
U.S. Attorney’s Office
Southern District of Illinois
(618) 628-3700Jan Diltz
Public Affairs Officer
U.S. Attorney’s Office
Eastern District of Missouri
(314) 539-7719Sr. Special Agent Thomas J. Ahern
Public Information Officer
ATF - Chicago Field Division
(312) 846-7228Special Agent Trista K. Frederick
Public Information Officer
ATF - Kansas City Field Division
(816) 559-0724
(916) 275-4039 (Cell)Mortgage Company Executive Charged in Fraud CaseRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Steve Linick, Inspector General of the Federal Housing Finance Agency Office of Inspector General, announced the filing of a federal Information charging Patrick J. Mansell, 68, of Boca Raton, FL, Vice President of Coastal States Mortgage Corporation (Coastal) with conspiracy to commit wire fraud to defraud government sponsored entities, Fannie Mae and Freddie Mac.
According to the Information, from April 2007 through February 2012, in the Southern District of Florida, Coastal was a licensed mortgage brokerage whose primary business activity was the selling and servicing of mortgage loans for Freddie Mac and Fannie Mae. As alleged in the Information, Coastal processed payments and payoffs received from borrowers on behalf of Freddie Mac and Fannie Mae, according to the contractual agreements entered into between them. As further alleged in the Information, Coastal failed to remit some of the mortgage loan payoffs that it received from borrowers to Freddie Mac and Fannie Mae, resulting in a loss to Freddie Mac and Fannie Mae. This misappropriation was concealed by the regular submission of false financial reports by Coastal, via an internet portal, to Freddie Mac and Fannie Mae. If convicted, the defendant faces a statutory maximum penalty of five years’ incarceration, followed by a three year period of supervised release, a fine of up to $250,000 and restitution.
Mr. Ferrer commended the investigative efforts of the Federal Housing Finance Agency Office of the Inspector General. The case is being prosecuted by Assistant U.S. Attorney Thomas P. Lanigan.
An information is only an accusation, and defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
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.
Mississippi Man Pleads Guilty to Abusive Sexual ContactRead the Press Release
Jackson, Miss – Gurdy Farmer, Jr., 25, of Choctaw, Mississippi, pled guilty in federal court today to abusive sexual contact of a minor, U.S. Attorney Gregory K. Davis announced. The offense occurred within the boundaries of the Tribal Lands of the Mississippi Band of Choctaw Indians.
Farmer will be sentenced by U.S. District Judge Henry T. Wingate on September 19, 2013, and faces a maximum penalty of two years in prison.
This case was investigated by the FBI and the Choctaw Police Department. It was prosecuted by Assistant U.S. Attorney Pat Lemon.
###If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
McKinney, Texas, Man Sentenced to 10 Years in Federal Prison for Trying to Meet A 14-Year-Old Girl at A Local Mall for SexRead the Press Release
DALLAS — Rodney Allen Thompson, 44, of McKinney, Texas, was sentenced today by U.S. District Judge Jane J. Boyle to 10 years in federal prison, following his guilty plea in April 2013 to one count of transferring obscene material to a minor. He has been in custody since his arrest in December 2012. 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, Thompson admits that in December 2012, he communicated with “Jane Doe,” an individual he believed to be a 14-year-old girl, whom he friended via Yahoo! Messenger. Jane Doe was in reality an officer with the Garland Police Department, acting in an undercover capacity. Thompson admitted that he communicated with Jane Doe in a sexually explicit manner, indicating that the wanted to engage in sexual activity with her. Using his computer and cell phone, Thompson ultimately persuaded, or attempted to persuade, Jane Doe to meet him at a mall in Garland to engage in illegal sexual activity with him. He also admitted that he sent Jane Doe, via webcam, an obscene video of himself engaging in sexually explicit conduct. On December 13, 2012, Thompson drove to meet Jane Doe at the mall, as they had arranged, and was arrested.
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 Garland Police Department. Assistant U.S. Attorney Camille Sparks prosecuted.
McComb Man Charged with Aiming Laser Pointer at Medical HelicopterRead the Press Release
An indictment was filed charging Ronald E. Deal, Sr., age 56, of McComb, Ohio, with aiming a green laser pointer at a Mercy St. Vincent Medical Center Life Flight helicopter en-route from the hospital to Bluffton Airport, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The conduct took place on June 17, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigating agency in this case is the Federal Bureau of Investigation. The case is being handled by Assistant United States Attorney Joseph R. Wilson.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Long Island Doctor Pleads Guilty to Conspiracy to Distribute OxycodoneRead the Press Release
William J. Conway, a Baldwin, New York physician, pled guilty today in United States District Court for the Eastern District of New York to conspiring to illegally distribute the highly addictive painkiller oxycodone to patients, who the defendant knew were addicts and without performing any meaningful medical examination. When sentenced, Conway faces up to 20 years in prison, a $1 million fine and loss of his license to practice medicine.
The guilty plea was announced by Loretta E. Lynch, the United States Attorney for the Eastern District of New York, Brian R. Crowell, Special Agent-in-Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, and Thomas V. Dale, Commissioner, Nassau County Police Department. The plea was entered before the Honorable Leonard D. Wexler at the United States Courthouse in Central Islip, New York.
Conway was arrested on June 6, 2012 as part of the Eastern District of New York’s Prescription Drug Initiative, led by the United States Attorney’s Office and the DEA, working with the Nassau County Police Department, the New York State Police and numerous other local, state and federal law enforcement agencies. He has been held in custody since the arrest.
According to court filings and records of the New York State Bureau of Narcotics Enforcement, between January 2009 and November 2011, Conway issued 5,554 oxycodone prescriptions – for a total of 782,032 pills – to numerous individuals. During the execution of a federal search warrant at his offices on March 1, 2012, Conway surrendered his DEA registration authorizing him to prescribe controlled substances. Despite that surrender, Conway continued to engage in the conspiracy to illegally distribute oxycodone after that date.
On April 23, 2011, Giovanni Manzella, a 34 year-old man from Long Beach, New York, died of an overdose of oxycodone less than 48 hours after Conway provided him with two prescriptions totaling 450 pills. On October 27, 2011, 29 year-old Christopher Basmas of Hicksville, New York was pronounced dead of an overdose, also within two days after receiving a prescription from Conway for 180 pills of oxycodone. Patient files seized by the DEA revealed that neither man received meaningful medical examinations from Conway. The files for these and other patients typically consisted of little more than notations of a patient’s height, weight and blood pressure. After Basmas’ death, Conway attempted to alter patient files to cover his tracks, but still continued to issue prescriptions – in some instances, in the names of individuals he had never treated, or even met.
In September 2012, Conway’s office assistant, Robert Hachemeister, was charged with conspiring with Conway to illegally distribute oxycodone, and with distributing oxycodone to Conway’s patients. Hachemeister, who had worked as an office assistant for Conway since approximately 1995, distributed thousands of oxycodone pills using prescription pads that were pre-signed by Conway between 2011 and 2012. On January 9, 2013, Hachemeister pled guilty to conspiring to illegally distribute oxycodone and is currently awaiting sentencing.
“Instead of providing needed medical services to his community, Dr. Conway directly contributed to the tragedy of prescription drug abuse that has swept across our district and our nation. On Conway’s watch, oxycodone pills might as well have been mints in a candy jar. Even the death of his patients only led him to try to conceal his actions, rather than truly care for his patients. Today’s conviction should serve as a warning to those who would violate their oath as medical professionals to do no harm: if you illegally distribute prescription drugs, you will be held accountable,” stated United States Attorney Lynch. “I want to thank our partners at the DEA, Nassau County Police and the New York State Police for their effective work in investigating this case.”
DEA Special Agent-in-Charge Crowell stated, “One of DEA’s top priorities is to stop overdoses and deaths by fully identifying and prosecuting those responsible for putting diverted drugs in the hands of those abusing opiates. Dr. Conway has been tied to local overdoses that bring home the enormity of the country’s prescription pill epidemic. One out of every ten high school seniors has abused oxycodone or hydrocodone for recreational use. Investigating rogue doctors and increasing the awareness of the dangers associated with Rx abuse are two significant steps our law enforcement team takes to curtail this problem and to protect our communities.”
The Prescription Drug Initiative is a joint effort led by the United States Attorney’s Office for the Eastern District of New York, the DEA and the five District Attorneys in Kings, Nassau, Queens, Richmond and Suffolk Counties, working in conjunction with the New York City Police Department and the Nassau and Suffolk County Police Departments, as well as the Department of Health and Human Services, the Internal Revenue Service, New York/New Jersey HIDTA, the New York State Department of Health and the New York State Medicaid Inspector General. The Prescription Drug Initiative is a broad and comprehensive approach to the epidemic of prescription drug trafficking and abuse, involving not only criminal investigation and prosecution at the federal, state and local level, but also the targeted use of civil law enforcement, regulatory action and community outreach. The Initiative has expanded information-sharing among federal and state enforcement agencies to better identify and target suspected traffickers, and ensure greater use of criminal, civil, forfeiture, injunctive and other tools.
The government’s case is being prosecuted by Assistant United States Attorneys Sean C. Flynn and Michael P. Canty.
The Defendant
Name: WILLIAM J. CONWAY
Age: 70Local Attorney Sentenced on Federal Fraud ChargesRead the Press Release
St. Louis, MO - STEPHEN B. EVANS was sentenced to 15 months in prison and ordered to pay $154,000 restitution on mail and wire fraud charges involving his failure to pay clients and expenses, and instead keeping client settlement funds for himself.
According to court documents, between 2007 and 2012, Evans was a local attorney with a general practice, including the representation of people who were injured or had claims based on contract or negligence where he would enter into a contingent fee arrangement. With such fee arrangements, Evans would receive a certain percentage of any successful settlement, with the rest to be paid to the client and to pay the client's expenses. Insurance companies mailed settlement checks to Evans at his law firm's address. The checks were typically made payable to Evans and the client. As part of his fraud scheme, Evans often falsely represented to his clients that he was withholding a portion of the settlement funds for use in paying medical or similar expenses. On many occasions, Evans kept and spent those funds. Evans' scheme resulted in fraud losses in excess of $150,000.
Evans, St. Louis County, pled guilty in January to one felony count of mail fraud and one felony count of wire fraud. He appeared today for sentencing before United States District Judge Jean C. Hamilton.
The case was investigated by the United States Postal Inspection Service with the assistance of attorney disciplinary authorities in Missouri and Illinois. Assistant United States Attorney John Bodenhausen handled the case for the U.S. Attorney's Office.
Life Sentences Ordered for Three Sikeston Men in Federal Cocaine Conspiracy CaseRead the Press Release
Cape Girardeau, MO: This morning, three Sikeston, Missouri, men previously found guilty by a jury of conspiracy to possess more than 5 kilograms of cocaine with the intent to distribute, as well as multiple distribution charges, were sentenced to life imprisonment by United States District Judge John A. Ross.
The evidence previously presented at trial showed that beginning in the Fall of 2009, Corey E. Turner, Sr., Antonio Turner and Donald R. Turner, Jr., who are all cousins, along with others, entered into an agreement to pool their money together as often as they could, to purchase large quantities of cocaine from various suppliers. Some of the suppliers were located in Missouri, however, much of the cocaine was coming from suppliers located in Blytheville, Arkansas. The members of the conspiracy then split that cocaine amongst themselves, cooked the powder cocaine into crack cocaine and sold it on the streets.
COREY E. TURNER, SR., ANTONIO TURNER and DONALD R. TURNER, JR., were all sentenced to life imprisonment for the conspiracy charge and 360 months imprisonment on the individual distribution and aiding and abetting the distribution of controlled substance charges.
The fourteen co-conspirators who previously entered guilty pleas for their roles in the conspiracy, include: Joe Lenzie Turner of Sikeston, Missouri (sentenced to 240 months); Dwayne Woods of Caruthersville, Missouri (not yet sentenced); Derrick L. Turner of Sikeston (sentenced to 192 months); Cemond Brooks of Blytheville, Arkansas (sentenced to 135 months); Mario Baker of Sikeston (sentenced to 180 months); Roderick Marks of Sikeston (sentenced to 138 months); Elgin Mills of Sikeston (sentenced to 132 months); Corey Weatherspoon of Blytheville, Arkansas (sentenced to 120 months); David Turner of Sikeston (sentenced to 120 months); Corey E. Turner, Jr., of Sikeston (sentenced to 120 months); Dawnika Hunt of Caruthersville (sentenced to 72 months); Shelby “Kay” White of Sikeston (sentenced to 60 months); Anthony Wilder of Sikeston (sentenced to 60 months); and Jerriereneika Dorsey of Sikeston (sentenced to 54 months).
The seventeen convictions in this case are the result of a complex and long-term investigation. This case was investigated by the Drug Enforcement Administration, the Federal Bureau of Investigation, the Sikeston Department of Public Safety, the Southeast Missouri Drug Task Force, the Missouri State Highway Patrol, the Bootheel Drug Task Force, the Second Judicial Drug Task Force of Mississippi County, Arkansas, and the Scott County Prosecuting Attorney’s Office. Assistant United States Attorney Abbie Crites-Leoni handled the prosecution for the U.S. Attorney’s Office.
Las Vegas Agent Convicted in Mortgage Fraud SchemeRead the Press Release
A Las Vegas mortgage agent has been convicted for his role in a “cash back at closing” mortgage fraud scheme that netted $1.43 million in fraudulent mortgage loans, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Daniel G. Bogden of the District of Nevada, and Acting Special Agent in Charge William C. Woerner of the FBI’s Las Vegas Field Office.
After a three-day trial before U.S. District Judge Larry Hicks in the District of Nevada, a federal jury convicted Jawad “Joe” Quassani, 42, on July 10, 2013, of one count of conspiracy to commit wire fraud and mail fraud, two counts of wire fraud, and two counts of mail fraud.
According to court documents and evidence presented at trial, Quassani participated in a scheme in which the prices of two homes were falsely inflated, mortgage loans were obtained through the submission of loan applications containing false and fraudulent information about the buyer’s income and intent to occupy the homes as primary residences, a portion of the loan proceeds was diverted at the close of escrow to the defendant’s co-conspirators, and commissions on the fraudulent loans were paid to Quassani and his co-conspirator. Evidence at trial established that Quassani, a licensed mortgage agent at Rapid Funding Group, conceived the scheme together with two of his co-conspirators, prepared one of the loan applications and arranged for the preparation of the other, and shared in the commissions generated by transactions that had no purpose other than to generate profits for the co-conspirators.
Co-conspirators Anita Mathur and Shirjil “Sean” Qureshi previously pleaded guilty in related cases in Las Vegas to one count of conspiracy to commit bank fraud, wire fraud and mail fraud. Both are awaiting sentencing.
This case was investigated by the FBI. Trial Attorneys Stephen J. Spiegelhalter and Gary A. Winters of the Criminal Division’s Fraud Section are prosecuting the case.
Today’s conviction is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF), which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ Offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants, including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.La Cosa Nostra Underboss Sentenced to 188 Months in PrisonRead the Press Release
PHILADELPHIA - Joseph Massimino, 63, of Philadelphia, was sentenced today to 188 months in prison for his participation in a racketeering conspiracy involving extortion, loan sharking, and illegal gambling. In addition to the prison term, U.S. District Judge Eduardo C. Robreno ordered three years of supervised release. Massimino must also pay a $5,000 fine.
On Feb. 5, 2013, after a four-month trial, a jury convicted Massimino of conspiring to conduct and participate in the affairs of the Philadelphia La Cosa Nostra (LCN) Family through a pattern of racketeering activity. The evidence at trial proved that, in furtherance of the racketeering conspiracy, Massimino, as a “made” member and underboss, extorted “street tax” payments from a bookmaker, used threats of violence against debtors to collect loan sharking payments, and forced the owners of a vending company to sell the portion of their business related to the operation of illegal video poker machines. In addition, Massimino ran an illegal electronic gambling device business for the mob, providing video poker machines and other gambling devices for bars, restaurants, convenience stores, coffee shops and other locations in Philadelphia and its suburbs. In one of these locations, Massimino also operated an illegal sports bookmaking business.
The case is being investigated by the FBI, the Internal Revenue Service-Criminal Investigation, the Pennsylvania State Police, the New Jersey State Police, the Philadelphia Police Department, and the U.S. Department of Labor’s Office of Inspector General Office of Labor Racketeering and Fraud Investigations, and the U.S. Department of Labor’s Employee Benefits Security Administration. Additional assistance was provided by the New Jersey Department of Corrections.The case was prosecuted by Assistant U.S. Attorneys Frank A. Labor III and Suzanne B. Ercole, and Trial Attorney John S. Han of the Department of Justice’s Organized Crime and Gang Section. Valuable prosecutorial assistance was provided by the Pennsylvania Office of the Attorney General.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Kewa Pueblo Man Pleads Guilty to Federal Aggravated Child Sexual Abuse ChargeRead the Press Release
ALBUQUERQUE – Preston Coriz, 32, a member of Kewa Pueblo, pleaded guilty this morning to an indictment charging him with aggravated sexual abuse of a child under the age of 12 year. Under the terms of his plea agreement, Coriz will be will be sentenced to a federal prison term within the range of 15 to 18 years followed by a term of supervised release to be determined by the court. Preston also will be required to register as a sex offender.
Coriz’s guilty plea was announced by U.S. Attorney Kenneth J. Gonzales, Carol K.O. Lee, Special Agent in Charge of the Albuquerque Division of the FBI, and DuWayne W. Honahni, Sr., Special Agent in Charge of District IV of BIA’s Office of Justice Services.
Coriz was arrested in Nov. 2012, on an indictment charging him with sexually abusing a child in Nov. 2008, in Indian Country (Kewa Pueblo) within Sandoval County, N.M. Today, Coriz entered a guilty plea to the indictment and admitted sexually assaulting a child under the age of 12 by touching the child’s genitals with his hand and finger.
This case was investigated by the Santa Fe office of the FBI and the Southern Pueblos Agency of the BIA’s Office of Justice Services, and is being prosecuted by Assistant U.S. Attorney Kyle T. Nayback. It was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s 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 exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Justice Department Releases Educational Video About Discrimination in Employment Eligibility VerificationRead the Press Release
The Justice Department announced today the launch of a new educational video to assist employers in avoiding charges of discrimination in the employment eligibility verification form I-9 process and in the use of E-Verify. The video also helps educate employees about their legal rights. The Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) within the department’s Civil Rights Division enforces the anti-discrimination provision of the Immigration and Nationality Act (INA), which prohibits employers from discriminating against work-authorized individuals in hiring, firing, recruitment or referral for a fee, regardless of their citizenship status or national origin. The law also prohibits discrimination during the form I-9 and E-Verify processes.
OSC developed its latest video to address issues that frequently arise from calls to its hotline and charges filed. Employers sometimes incorrectly believe that they need to request more documents than are necessary for the employment eligibility verification form I-9. Additionally, employers using E-Verify may improperly request specific documents due to misunderstanding of E-Verify requirements. OSC’s new video highlights some practices that are not permissible and may lead to claims under the anti-discrimination provision.
“We believe this video will help both employers and employees across the country understand employment eligibility verification rules,” said Gregory Friel, Deputy Assistant Attorney General for the Civil Rights Division. “Federal law prohibits discrimination in the employment eligibility verification process, and the Justice Department is committed to enforcing the law.”
The video may be viewed at http://youtu.be/VNHFDusJqRg
The latest OSC video is part of OSC’s educational video series that can be found here: http://go.usa.gov/2P6m . OSC also operates a hotline for employers and workers, frequently providing guidance to employers on how to avoid discrimination and educating employees on rights protected by the anti-discrimination provision. OSC offers live webinars for both employers and employees to educate employers on avoiding workplace discrimination and to educate employees about their rights. For more information about protections against employment discrimination under the immigration law, call OSC’s worker hotline at: 1-800-255-7688 (1-202-616-5525, TTY for the hearing impaired); call OSC’s employer hotline at: 1-800-255-8155 (1-202-616-5525, TTY for the hearing impaired); send an e-mail to: [email protected] ; or visit OSC’s website http://www.justice.gov/crt/about/osc .
Justice Department Releases Educational Video About Discrimination in Employment Eligibility VerificationRead the Press Release
WASHINGTON - The Justice Department announced today the launch of a new educational video to assist employers in avoiding charges of discrimination in the employment eligibility verification form I-9 process and in the use of E-Verify. The video also helps educate employees about their legal rights. The Office of Special Counsel for Immigration-Related Unfair Employment Practices (OSC) within the department’s Civil Rights Division enforces the anti-discrimination provision of the Immigration and Nationality Act (INA), which prohibits employers from discriminating against work-authorized individuals in hiring, firing, recruitment or referral for a fee, regardless of their citizenship status or national origin. The law also prohibits discrimination during the form I-9 and E-Verify processes.
OSC developed its latest video to address issues that frequently arise from calls to its hotline and charges filed. Employers sometimes incorrectly believe that they need to request more documents than are necessary for the employment eligibility verification form I-9. Additionally, employers using E-Verify may improperly request specific documents due to misunderstanding of E-Verify requirements. OSC’s new video highlights some practices that are not permissible and may lead to claims under the anti-discrimination provision.
“We believe this video will help both employers and employees across the country understand employment eligibility verification rules,” said Gregory Friel, Deputy Assistant Attorney General for the Civil Rights Division. “Federal law prohibits discrimination in the employment eligibility verification process, and the Justice Department is committed to enforcing the law.”
The video may be viewed at http://youtu.be/VNHFDusJqRg
The latest OSC video is part of OSC’s educational video series that can be found here: http://go.usa.gov/2P6m. OSC also operates a hotline for employers and workers, frequently providing guidance to employers on how to avoid discrimination and educating employees on rights protected by the anti-discrimination provision. OSC offers live webinars for both employers and employees to educate employers on avoiding workplace discrimination and to educate employees about their rights. For more information about protections against employment discrimination under the immigration law, call OSC’s worker hotline at: 1-800-255-7688 (1-202-616-5525, TTY for the hearing impaired); call OSC’s employer hotline at: 1-800-255-8155 (1-202-616-5525, TTY for the hearing impaired); send an e-mail to: [email protected]; or visit OSC’s website http://www.justice.gov/crt/about/osc.
To assist the media and the public, a glossary of federal judicial terms and procedures is available at http://www.justice.gov/usao/justice101/Contact: 401-709-5357
[email protected]Justice Department Files Lawsuit Against California Department of Corrections and Rehabilitationfor Sex DiscriminationRead the Press Release
The Department of Justice announced today the filing of a lawsuit, against the California Department of Corrections and Rehabilitation (CDCR), alleging that CDCR discriminated against Joe B. Cummings on the basis of his sex in violation of Title VII of the Civil Rights Act of 1964, as amended. Title VII is a federal statute that prohibits employment discrimination on the basis of sex, race, color, national origin and religion.
The lawsuit filed in the U.S. District Court for the Central District of California, alleges that Cummings’s former co-worker at CDCR sexually harassed him for more than a year until she was placed on administrative leave, for unrelated reasons, in October 2009. According to the complaint, Cummings, a male cook with CDCR, was subjected to frequent unwanted and unwelcomed sexual advances made towards him by a female co-worker, including frequent profane and suggestive comments and inappropriate touching of his person. The complaint alleges that the female co-worker’s misconduct escalated in August 2008, when she forced her hand down Cummings’s pants and struck him in the head.
The United States alleges that Cummings made numerous complaints to his supervisors about the sexual harassment and that CDCR failed to take timely steps to end the harassment or to discipline the harasser. The complaint alleges that the CDCR failed to follow its own anti-discrimination policy, which charges CDCR’s supervisors with preventing and correcting allegations of sexual harassment of which they become aware through either a report made to them or by personal observation. Through this lawsuit, the United States seeks declaratory and injunctive relief requiring the CDCR to develop and implement policies that would prevent CDCR employees from being subjected to sexual harassment. The United States also seeks monetary relief for Cummings to compensate him for the damages he sustained as a result of the alleged discrimination.
Cummings originally filed a charge of sex discrimination with the California Department of Fair Employment and Housing, which referred the charge to the U.S. Equal Employment Opportunity Commission (EEOC). The EEOC’s Los Angeles District Office investigated the matter, determined that there was reasonable cause to believe that discrimination had occurred, and referred the matter to the Department of Justice.
“Employees, regardless of their sex, have the right to work in an environment that is free from sexual harassment,” said Jocelyn Samuels, Principal Deputy Assistant Attorney General for the Civil Rights Division. "The Civil Rights Division will continue to vigorously enforce that right."
The enforcement of Title VII is a priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division of the Department of Justice is available on its website at www.usdoj.gov/crt.
Janice D. Rey and Devon Mclean Sentenced to Prison for Fraudulent Investment SchemeRead the Press Release
St. Thomas, USVI - District Court Chief Judge Curtis V. Gomez today sentenced Janice D. Rey to 125 months in prison and ordered her to pay restitution to individual victims in the amount of $3,006,260 for her role in a scheme that defrauded investors of millions of dollars, announced United States Attorney Ronald W. Sharpe and Michael J. DePalma, Acting Special Agent in Charge, Internal Revenue Service - Criminal Investigation. Rey also was ordered to pay restitution to the Virgin Islands Bureau of Internal Revenue in the amount of $550,681.31.
Rey’s co-conspirator, Devon McLean was sentenced to 70 months in prison, and also ordered to pay restitution in the amount of $3,006,260. The court also entered a forfeiture money judgment in the amount of $5.5 million against both Rey and McLean.
On April 4, 2013, a federal jury convicted Rey of one count of conspiracy, eight counts of wire fraud, 43 counts of money laundering, and four counts of tax evasion under Virgin Islands law. Rey was sentenced to 60 months in prison for her conviction on the territorial tax charges, to be served concurrently with her sentence on the federal charges. On March 5, 2013, McLean pleaded guilty to wire fraud conspiracy.
According to the evidence presented at Rey’s trial, Rey and co-conspirator Devon McLean organized Paramount Group, LLC, and opened a bank account for the partnership in Nevada. Rey opened a store front location in St. Thomas called Rey Financial, which she used to meet with potential investors. Rey made false material representations and material factual omissions to potential investors in order to induce them to invest with Paramount Group. For example, Rey told the investors that their investments were safe, that Paramount Group was a part of Haliburton, that the investors were investing in “platform investments,” and that they would double their money in less than a year.
The case was investigated by the IRS Criminal Investigation Division. It was prosecuted by Assistant U.S. Attorneys Kim L. Chisholm and Everard Potter.
Inmate Charged with Escaping from Marion Prison Camp 13 Years AgoRead the Press Release
Donald E. Bruce, 74, of Elberfeld, Indiana, was arraigned today in United States District Court in Benton on an indictment charging him with escaping from the Federal Prison Camp at Marion, Illinois, 13 years ago, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois. The indictment, returned by a Federal Grand Jury on July 9th, alleged that the offense occurred on October 6, 2000. At that time, a Criminal Complaint was filed and an arrest warrant issued for Bruce. He was arrested on that warrant on June 28, 2013, in Indiana by the United States Marshal’s Service after its fugitive investigation led them to him.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
At the time of his escape, Bruce was serving a 135 month sentence for conspiring to possess with intent to distribute methamphetamine and had approximately 9 years of that sentence left to serve. If convicted of the escape offense, Bruce faces an additional 5 years’ imprisonment, a $250,000 fine, and 3 years of supervised release to follow his incarceration.
Bruce was remanded to the custody of the United States Marshal to await further proceedings.
The case was investigated by the United States Marshal’s Service and is being prosecuted by Assistant United States Attorney James M. Cutchin.
Indictment: Postal Employee Stole Pain Pills Being Delivered by MailRead the Press Release
KANSAS CITY, KAN. – A U.S. Postal Service employee in Kansas City, Kan., is charged with stealing pain pills that were being delivered to patients by mail, U.S. Attorney Barry Grissom said today.
Sherry Robertson, 40, Kansas City, Kan., is charged with five counts of theft of mail by a postal employee and one count of possession with intent to distribute Hydrocodone. The indictment alleges Robertson removed the pills from mail on Sept. 20, 2012, Jan. 25, 2013, March 1, 2013, April 13, 2013, and May 8, 2013.
If convicted, she faces a maximum penalty of five years in federal prison and a fine up to $250,000 on each count. The U.S. Postal Service and the VA Office of Inspector General investigated. Assistant U.S. Attorney Jabari Wamble is prosecuting.
OTHER INDICTMENTSWesley J. Kelley, 36, is charged with one count of unlawful possession of a firearm while under indictment, one count of unlawful possession of a firearm while a fugitive from justice, one count of theft occurring at Fort Leavenworth and one count of interstate transportation of a stolen vehicle. The crimes are alleged to have occurred in February and March 2013 in Douglas and Leavenworth counties in Kansas.
Upon conviction, the crimes carry the following penalties:
Unlawful possession of a firearm while under indictment: A maximum penalty of five years in federal prison and a fine up to $250,000.
Unlawful possession of a firearm while a fugitive from justice: A maximum penalty of 10 years and a fine up to $250,000.
Theft occurring at Fort Leavenworth: A maximum penalty of five years in federal prison and a fine up to $250,000.
Interstate transportation of a stolen vehicle: A maximum penalty of 10 years and a fine up to $250,000.The Lawrence Police Department; the U.S. Army Criminal Investigation Command, Fort Leavenworth; the Marion County Sheriff’s Office; and the White Springs (Florida) Police Department investigated. Assistant U.S. Attorney Leon Patton is prosecuting.
Bryan Schuck, 31, is charged with failing to register as required by the Sex Offender Registration and Notification Act. The crime is alleged to have occurred May 10, 2013, in Kansas City, Kan.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. The U.S. Marshals Service investigated. Assistant U.S. Attorney Kim Martin is prosecuting.
Derek T. Brownlee, 35, Kansas City, Mo., is charged with one count of bank robbery. The indictment alleges he robbed the Metcalf Bank at 7800 College Boulevard in Overland Park on July 1, 2013.
Brownlee initially was charged in a criminal complaint filed July 2 in U.S. District Court in Kansas City, Kan.
If convicted, he faces a maximum penalty of 20 years and a fine up to $250,000. The FBI, the Overland Park Police Department and the Kansas City, Mo., Police Department investigated. Assistant U.S. Attorney Kim Martin is prosecuting.
Jose A. Aleman, 31, is charged with one count of unlawful possession of a firearm after a felony conviction. The crime is alleged to have occurred Jan. 9, 2013, in Wyandotte County, Kan.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.
Jesus Enrique Moreno, 25, is charged with one count of possession with intent to distribute methamphetamine. The crime is alleged to have occurred June 20, 2013, in Wyandotte County, Kan.
If convicted, he faces a maximum penalty of not less than 10 years in federal prison and a fine up to $250,000. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.
Adrienne Lopez, 26, Pico Rivera, Calif., and Angela Marie Lopez, 34, El Monte, Calif., is charged with one count of possession with intent to distribute methamphetamine. The crime is alleged to have occurred June 21, 2013, in Seward County, Kan.
If convicted, they face a penalty of not less than 10 years and a fine up to $4 million. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Michelle Jacobs is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Harrisburg Man Sentenced to over 17 Years in Prison for Crack Cocaine and Firearm OffensesRead the Press Release
Remus Octavris Henning, 35, of Harrisburg, Illinois, was sentenced today in United States District Court in Benton to a total term of 211 months in prison for possessing crack cocaine with the intent to distribute it and carrying a loaded .45 caliber firearm during and in relation to that crime, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois. The offenses occurred on July 20, 2012, in Harrisburg. On that date, while being taken into custody on an outstanding warrant by the Harrisburg Police Department, officers found approximately 16 grams of crack cocaine in numerous individually wrapped packages in his pocket and a loaded .45 caliber semi-automatic pistol in his waistband.
In addition to the term of imprisonment, Henning was ordered to pay the United States fines and special assessments totaling $400, was placed on a 5 year term of supervised release to follow his incarceration, and the firearm and ammunition he possessed was forfeited to the United States. Henning was returned to the custody of the United States Marshal to await designation by the Federal Bureau of Prisons to one of its facilities.
The case was investigated by the Carmi office of the Southern Illinois Drug Task Force and was prosecuted by Assistant United States Attorney James M. Cutchin.
Hamburg Man Sentenced on Firearm ChargeRead the Press Release
COUNCIL BLUFFS, IA – On July 11, 2013, David Shane Anderson, age 41, of Hamburg, Iowa, was sentenced in United States District Court in Council Bluffs, Iowa, on a charge of felon in possession of a firearm, announced United States Attorney Nicholas A. Klinefeldt. Chief United States District Court Judge James E. Gritzner sentenced Anderson to 46 months in prison, to be followed by 2 years of supervised release. Anderson was also ordered to pay a $100 special assessment for the Crime Victim Fund, and to forfeit the .410 shotgun and ammunition seized from him by law enforcement officers. Anderson remained in the custody of the United States Marshal’s Service pending return to Ringgold County, Iowa, where Anderson is facing a State of Iowa methamphetamine charge.
Anderson was sentenced upon his plea of guilty entered on April 4, 2013, to felon in possession of a firearm, having possessed a .410 shotgun on March 20, 2012, near Hamburg, Iowa. A Fremont County Sheriff Deputy, answering a call for “shots fired”, seized the shotgun from Anderson as he was found carrying it out of a field. Anderson was in the company of some minor children. Prior to possessing the shotgun, Anderson had, among other convictions, been convicted of separate felony charges of burglary in Iowa and in Missouri.
This case was investigated by the Fremont County Sheriff’s Department and the Federal Bureau of Alcohol, Tobacco, Firearms and Explosives, and the case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Grand Jury Indicts 14 in Inland Empire on Charges of Defrauding Federal Government to Obtain Money and U.S. PassportsRead the Press Release
RIVERSIDE, California – A federal grand jury has indicted 14 defendants on various fraud charges, including theft of government benefit funds and passport fraud.
Over the past two weeks, a federal grand jury issued indictments, with the final cases being filed yesterday afternoon. The grand jury has now returned 13 indictments, one of which charges two defendants.
Eleven of the 14 indicted defendants are charged with theft of government property. These defendants allegedly took and spent government benefit payments to which they knew they were not entitled. Some of these cases involve payments the government had issued to their deceased family members, while others concern payments made after the defendants made false statements to the government. The alleged false statements related to, among other things, identities, social security numbers, military service history, and employment or marital status.
The remaining three defendants are charged with making false statements to the Department of State to obtain United States passports. These false statements related to, among other things, the defendants’ identities, dates and places of birth, and social security numbers.
The 13 indictments are the result of a joint enforcement initiative by the United States Department of Veterans Affairs’ Office of Inspector General, the Social Security Administration’s Office of Inspector General, the Department of State’s Diplomatic Security Service, and the United States Attorney’s Office.
The 11 defendants charged with theft of government property in excess of $1,000 are:
Audrey Owens, 60, of Upland, who is scheduled to be arraigned on the charges on July 24;Sarah Rose, 57, of San Bernardino, who is scheduled to be arraigned on the charges on July 24;
Michele King, 42, of San Bernardino, who is scheduled to be arraigned on the charges on July 24;
James Cramer, 78, of Banning, for whom an arrest warrant has been issued;
Wilma Welsh, 82, of Perris, who is scheduled to be arraigned on the charges on July 31;
Zandria Rhone, 61, of Riverside, who is scheduled to be arraigned on the charges on July 31;
Thomas Fothergill, 73, of Perris, who is scheduled to be arraigned on the charges on August 7;
Martin Munoz Villa, 42, of Riverside, who is also charged with aggravated identity theft and who is scheduled to be arraigned on the charges on August 7;
Josie Lee Anderson, 64, of San Bernardino, who is also charged with submitting a false written statement to a government agency and for whom an arrest warrant has been issued;
Walton Monagan, 70, of Hemet, who is scheduled to be arraigned on the charges on August 7; and
Editha Pagdilao, 66, of Redlands, who is scheduled to be arraigned on the charges on August 7.
All of the defendants who have received summons for arraignments have been directed to appear in United States District Court in Riverside.
Arrest warrants have been issued for the three defendants charged with passport fraud in connection with this initiative. Those three defendants are:
Nelida Alcauter, 36, of Temecula;
Maria Altemose, of Temecula; and
Angela Alicia Sanker, 56, of San Bernardino.
Indictments contain allegations that a defendant has committed a crime. Every defendant is presumed innocent unless proven guilty in court.Those convicted of theft of government property in excess of $1,000 or passport fraud face a maximum statutory penalty of 10 years in federal prison. Those convicted of submitting a false written statement to a federal agency face a maximum statutory penalty of five years in federal prison. Those convicted of aggravated identity theft face a statutory minimum, consecutive sentence of two years in federal prison.
Release No. 13-094
Georgia Man Sentenced to 15 Years in Prison on Federal Child Pornography ChargesRead the Press Release
Jacksonville, Florida - U.S. District Judge Timothy J. Corrigan yesterday sentenced Stephen Joseph Woods (34, Savannah, Georgia) to 15 years in prison for sending notices over the Internet offering to produce and receive child pornography. Woods was also ordered to serve a life term of supervision and to register as a sex offender, following his release from prison. Woods has been in custody since his arrest on November 2, 2012, in St. Augustine, Florida. Woods pleaded guilty to this charge on March 14, 2013.
According to court documents, during October and November 2012, the Volusia County Sheriff’s Office (“VCSO”), the St. Johns County Sheriff’s Office (“SJCSO”) and other law enforcement officers conducted undercover Internet operations targeting individuals seeking to have sex with minor children. On October 12, 2012, Woods responded to an Internet bulletin board posting, indicating that Woods could teach a 14-year old “child” about sex. During the ensuing email conversation, Woods confirmed that the “child” was 14 years old.
During the next two weeks, Woods and the undercover detective, who used the personae of a 14-year old female “child,” engaged in online conversations by instant messaging and email. During these conversations, Woods indicated his desire to have sex with the “child.” On October 29, 2012, Woods and the “child” engaged in an online conversation and discussed a location for their meeting, during which Woods offered to produce videos of the “child” engaged in sexually explicit conduct. That same day, Woods asked if he could “come see [‘the child’]” that weekend.
On October 31, 2012, Woods and the undercover detective arranged to meet in St. Augustine at a motel, at a later date. On the evening of November 2, 2012, Woods arrived at the motel in his vehicle. Woods approached the undercover detective, whom he believed was the “child’s” relative, and subsequently asked the detective to have the “child” come outside. At that point, Woods was arrested.
This case was investigated by the St. Johns County Sheriff’s Office, the Clay County Sheriff’s Office, the Volusia County Sheriffs’ Office, the Bay County Sheriff’s Office, and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."