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27 August 2013
Local Defense Attorney and Other Individual Arrested for Money LaunderingRead the Press Release
SAN JUAN, P.R. – On August 23, 2013, a Federal grand jury returned an indictment against attorney Ramón M. Negrón-Colón, aka “Monchito,” and William Barreto-Ortiz, aka “Willie,” for conspiracy to commit money laundering, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The investigation was led by the Federal Bureau of Investigations (FBI) and Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI).
Ramón M. Negrón-Colón is an attorney licensed to practice law in Puerto Rico. Negrón-Colón has represented José D. Figueroa-Agosto, aka “Junior Càpsula,” in judicial proceedings in Commonwealth courts. Defendant William Barreto-Ortiz is a self-employed legal broker operating mainly in Bayamón, Puerto Rico. During the Fall of 1995, Figueroa-Agosto was convicted and sentenced to a prison term of 208 years in the Court of First Instance, San Juan, Puerto Rico. On November of 1999,Figueroa-Agosto utilized false documents to escape from a Commonwealth of Puerto Rico correctional facility. He remained a fugitive for over a decade until he was arrested on federal drug trafficking charges on July 18, 2010.
The indictment alleges that the object of the conspiracy was to nullify Figueroa-Agosto’s 208-year Commonwealth of Puerto Rico imprisonment term through illegal payments made with the proceeds of Figueroa-Agosto’s narcotics trafficking.
The indictment further alleges that beginning on a date unknown, but not later than 2007, until on or about the return of the Indictment, in the Districts of Puerto Rico and New York, and in the Dominican Republic, Negrón-Colón and Barreto-Ortiz knowingly conducted and attempted to conduct financial transactions affecting interstate commerce, which transactions involved the proceeds of specified unlawful activity, that is, drug trafficking.
In late 2007, defendant Negrón-Colón indicated that the total cost of obtaining the nullification of Figueroa Agosto’s conviction and sentence would be between $2,500,000.00 and $3,000,000.00 in order to funnel illegal payments to public officials of the Commonwealth of Puerto Rico. Negrón-Colón received a few payments from individuals known to the Grand Jury in different occasions in order to further the goals of the conspiracy.
Barreto-Ortiz is also facing one charge of making a false statement, for knowingly and willfully lying to the FBI while it was engaged in an official investigation.
“The actions committed by these two defendants and their efforts to set aside a criminal conviction through illegal payments, undermine the public’s trust in the judicial system, which is a cornerstone to our democracy,” said United States Attorney Rosa Emilia Rodríguez-Vélez.
The case is being prosecuted by Assistant U.S. Attorney Timothy Henwood, Chief of the White Collar and General Crimes Unit.
If found guilty, the defendants could face a possible sentence of up to 20 years in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.
Local Businessman Sentenced for Stealing over $835,000 from His Business InvestorsRead the Press Release
ATLANTA - Kevin Patrick Loughery, co-founder of the former Atlanta-area startup, Geometrix, has been sentenced for defrauding Geometrix’s investors by using approximately $835,000 in the investors’ funds for himself.
“The defendant had a duty to keep the investor funds secure in an escrow account and to use them for the benefit of Geometrix. Instead, he used the money to support his lavish lifestyle,” stated United States Attorney Sally Quillian Yates. “The prosecution of this case and today’s sentence reflects our ongoing commitment protect the public from individuals who offer seemingly attractive investment opportunities, when they only intend to enrich themselves at the expense of others.”Mark F. Giuliano, Special Agent in Charge, FBI Atlanta Field Office, stated: “Today’s sentencing of Mr. Loughery will hopefully provide some sense of justice to those victim investors who now suffer substantial financial losses at the hands of Mr. Loughery’s greed. The FBI will continue to identify, investigate, and prosecute individuals such as Mr. Loughery who divert investor-based funds into their own bank accounts.”
According to United States Attorney Yates, the charges and other information presented in court: In 2008, Kevin Patrick Loughery began soliciting investments from his friends and business associates in Geometrix, a Georgia start-up company that he co-founded in 2007. Loughery assured investors both telephonically and via email that their investment would remain in escrow until the completion of Geometrix’s issuance of stock and accompanying documentation.
In an email to one such investor, Loughery assured the investor that the money would be kept in an escrow account, and Loughery instructed the investor to wire the money into such an account. However, the money never went to an escrow account because Loughery’s wiring instruction was not for an escrow account, but rather was for Loughery’s own account for a separate business, KLM Investments, of which Loughery was the sole proprietor. The investor wired over $300,000 into the account. Loughery then sent the investor an email stating that he would receive 400,000 shares of Geometrix for his investment, which the investor never received. In total, Loughery solicited $835,000 in investments from various investors that were supposed to be kept in escrow but instead were spent by Loughery. Loughery subsequently declared bankruptcy.Loughery, 49, of Atlanta, Ga., was sentenced to two years, six months in prison. He was also ordered to serve three years on supervised release following his prison term and to pay $780,000 in restitution to the victims of his fraud. On March 22, 2013, Loughery pleaded guilty to a Criminal Information charging him with wire fraud.
This case was investigated by the Federal Bureau of Investigation.
Assistant United States Attorney Karlyn J. Hunter prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney’s Office for the Northern District of Georgia is www.justice.gov/usao/gan.
Leader of St. Mary’s County Cocaine Distribution Ring Sentenced to over 14 Years in PrisonRead the Press Release
Greenbelt, Maryland - U.S. District Judge Alexander Williams, Jr. sentenced Brian Deandre Bush, age 43, of Hollywood, Maryland, today to 140 month in prison followed by five years of supervised release for conspiracy to distribute, and possess with intent to distribute, cocaine and crack cocaine in St. Mary’s County, Maryland. Bush was also sentenced to 37 months in prison, for violating his supervised release from a 2007 drug conviction, which Judge Williams ordered to be served consecutive to the sentence imposed today.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder, of the Drug Enforcement Administration - Washington Field Division; and St. Mary’s County Sheriff Tim Cameron.
According to Bush’s guilty plea, from November 2010 through July 15, 2011, Bush conspired with his son, Demetrius Deandre Young, Kerry Alexander Bond, Sr., John Larry Dickerson, Marcus Tyrek Chase, William Lamont Young, Alexander Sternack, Wayne Marcelle Mills and others to distribute cocaine in St. Mary’s County, Maryland. Bush and Demetrius Young received cocaine from their sources of supply in Maryland, Georgia, Florida and elsewhere, including cocaine supplied by John Edward Butler, David Butler and Bond. The cocaine was smuggled back to St. Mary’s County where Bush and Demetrius Young supplied Chase, Dickerson and others with powder and crack cocaine for distribution. Law enforcement overheard thousands of cell phone conversations between the defendants, including Bush, relating to their drug activities and the rising prices of cocaine in St. Mary’s County. Bush and Demetrius Young would call and coordinate the delivery of cocaine and payment for the cocaine with John Butler, David Butler, Bond and others. Bush and Demetrius Young would then call Dickerson, Chase, Mills, William Young, Sternack and others to tell them when the cocaine and crack cocaine was ready to be picked up. These individuals met Bush, Young and/or one of their subordinates at locations in St. Mary’s County to obtain cocaine and crack cocaine.
Bush was responsible for the distribution of between five and 15 kilograms of cocaine, and between 280 grams and 840 grams of crack cocaine.
All 10 defendants have pleaded guilty in this case. Kerry Alexander Bond, Sr., age 41, of Leonardtown, Maryland, and Wayne Marcelle Mills, age 45 of Lexington Park, Maryland, are awaiting sentencing. Marcus Tyrek Chase, age 27, of Lexington Park, Maryland, and John Larry Dickerson, age 43, of Waldorf, Maryland, were sentenced to 15 years in prison and 140 months in prison, respectively. Demetrius Deandre Young, age 23, of Hollywood, was sentenced to 75 months in prison; William Lamont Young, age 41, and David Anthony Butler, age 69, both of Leonardtown, were sentenced to two years in prison and 15 months in prison, respectively; and John Edward Butler, age 37, and Alexander Sternack, III, age 38, both of Mechanicville, Maryland, were sentenced to 63 months in prison and 70 months in prison, respectively.United States Attorney Rod J. Rosenstein commended the DEA and St. Mary’s County Sheriff’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys James A. Crowell IV, Arun G. Rao and Thomas Sullivan, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Leader in Baltimore Heroin Distribution Ring Sentenced to Life in PrisonRead the Press Release
This Was Roy Clay’s Third Felony Drug Trafficking Conviction
Baltimore, Maryland - U.S. District Judge Catherine C. Blake sentenced Roy Lee Clay, age 47, of Baltimore, today to life in prison, for conspiracy to distribute and possess with intent to distribute heroin. Judge Blake enhanced Clay’s sentence based upon two previous drug trafficking convictions.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Baltimore City State’s Attorney Gregg L. Bernstein; Colonel Marcus L. Brown, Superintendent of the Maryland State Police; and Commissioner Anthony W. Batts of the Baltimore Police Department.
According to testimony at Clay’s 14 day jury trial, Clay was one of the leaders of a heroin trafficking organization that operated from April 2009 through November 2011. Clay and co-defendant Walter Powell obtained heroin from co-defendant Danilo Garcia. Garcia employed couriers to transport the heroin from New York to Baltimore and to return cash from the drug sales to New York. Evidence presented at trial included calls on March 6 and March 7, 2011, in which Clay and Garcia discuss a courier coming to Baltimore with heroin. On March 8, 201,1 Clay is overheard arranging to pick up the courier at a restaurant near the Baltimore Travel Plaza. Later that day, law enforcement observed Clay meet briefly with the courier near the restaurant. On March 9, 2011, law enforcement intercepted calls in which Garcia contacted Clay to see how heroin sales were progressing.
At trial, evidence also included that on February 17, 2011, individuals broke into Roy Clay’s home in an attempt to rob him. FBI agents testified that they saw Clay and Garcia running from the house while chased by these robbers. One wiretapped call included Clay discussing individuals breaking into his house and that Clay had to struggle with the robbers, at least one of whom had a gun, before Clay could flee the house.
The jury found that Clay was responsible for the distribution of at least one kilogram of heroin.
Walter Powell, age 61, of Baltimore, Maryland, pleaded guilty to the heroin conspiracy and was sentenced to 121 months in prison. Co-conspirator Danilo Garcia, age 43, of Bronx, New York was convicted at trial and sentenced to 188 months in prison for the heroin conspiracy, and for distribution of heroin.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department, Maryland State Police and Baltimore City State’s Attorney’s Office for their work in this investigation. Mr. Rosenstein thanked Assistant United States Attorneys Ayn B. Ducao and Christopher J. Romano, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Laboratory Operator Sentenced to 40 Months for Fabricating Industrial Wastewater ResultsRead the Press Release
Tennie White, the owner and operator of an environmental laboratory located in Jackson, Miss., was sentenced in federal court late yesterday to 40 months in prison in connection with her conviction for faking laboratory testing results and lying to federal investigators, announced Gregory K. Davis, U.S. Attorney for the Southern District of Mississippi, and Robert G. Dreher, Acting Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division.
White also was sentenced to three years of supervised release to follow her prison sentence and was ordered to pay a $1,000 fine and a $100 special assessment. White was sentenced by U.S. District Judge Henry T. Wingate at the federal courthouse in Jackson, where he also presided over the May 2013 trial of the case.
“Independent laboratories play a critical role in assisting businesses to accurately monitor and report discharges of industrial pollutants that may adversely affect the environment,” said Acting Assistant Attorney General Dreher. “Businesses cannot fulfill this important responsibility if these laboratories are not honest brokers and falsify test results and monitoring reports. This prosecution shows that fraudulent testing and reporting by laboratories will not be tolerated.”
“Americans expect their public water supply to be clean and safe to use,” said Maureen O’Mara, Special Agent in Charge of the Environmental Protection Agency’s criminal enforcement program in Mississippi. “In order to safeguard public health it is absolutely essential that governments receive accurate test results and measurements. This case demonstrates that individuals who falsify environmental records and try to mislead the government will be prosecuted and held accountable.”
White, owner, operator and manager of Mississippi Environmental Analytical Laboratories Inc., was found guilty in May 2013 of two false statement counts and one count of obstructing proceedings. Evidence at trial established that White was hired to perform laboratory testing of a manufacturer’s industrial process waste water samples and then to use those results to complete monthly discharge monitoring reports for submission to the Mississippi Department of Environmental Quality. However, for the months October to December 2008, White created discharge monitoring reports (DMRs) that falsely represented that laboratory testing had been performed on samples when, in fact, such testing had not been done. White further created a fictitious laboratory report and presented it to her client for use in preparing another DMR for January 2009. White made false statements to a federal agent during a subsequent criminal investigation.
The case was prosecuted by Trial Attorney Richard J. Powers of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division, and Assistant U.S. Attorney Gaines Cleveland of the U.S. Attorney’s Office for the Southern District of Mississippi.
Justice Department Sues to Shut Down South Carolina Tax Return PreparerRead the Press Release
The United States has requested the federal district court in Charleston, S.C. to permanently bar Jessica Geddis of Summerville, S.C., from preparing federal income tax returns for others, the Justice Department announced today.
According to the complaint, Geddis prepared federal income tax returns from her home and as a tax preparer at MBM Tax and Accounting Services LLC. The complaint alleges that Geddis prepared returns for herself and others that overstate income by reporting fictitious household help income. Geddis overstated her customers’ income in order to increase the amount of her customers’ refundable tax credits, including the Earned Income Tax Credit, Child Tax Credit and Making Work Pay Credit.
The complaint further alleges that Geddis directed the Internal Revenue Service (IRS) to deposit all, or a portion of, her customers’ overstated refunds into bank accounts that she controls. According to the complaint, the IRS has reviewed Geddis’ bank records and determined that she has received at least 148 fraudulent tax refunds totaling $281,678 between January 2008 and May 2012.
In the past ten years the Justice Department’s Tax Division has obtained injunctions against hundreds of tax-return preparers and tax-fraud promoters. Information about these cases is available on the Justice Department Website at www.justice.gov/tax/taxpress2013.htm.
Related Materials:
United States v. Jessica A. Geddis
Complaint for Permanent Injunction and Other ReliefJustice Department Obtains $22,000 Settlement in Housing Discrimination Lawsuit Against Mt. Washington, KY., LandlordRead the Press Release
The Justice Department announced today that Jerry L. Wilson, a Mt. Washington, Ky., landlord has agreed to pay $22,000 to resolve allegations that he violated the Fair Housing Act by discriminating against African-American apartment seekers and making statements indicating a preference for families without children for certain available apartments.
The lawsuit, filed in the U.S. District Court for the Western District of Kentucky, charges that Wilson and EME LLC, misrepresented the availability of, and refused to negotiate for the rental of, apartments at Treva Court Apartments based on race or color. The lawsuit also alleges that Mr. Wilson made statements indicating a preference for families without children to rent second floor apartments at the complex he operates, located at 272 Treva Court in Mt. Washington. The allegations are based on evidence generated by the department’s Fair Housing Testing Program, in which individuals pose as renters to gather information about possible discriminatory practices.
The consent decree resolving this matter, which is subject to approval by the U.S. District Court, imposes a $22,000 civil penalty against Wilson and EME, LLC. In addition, the consent decree enjoins the defendants from further acts of discrimination and requires Wilson to undergo fair housing training.
“Housing discrimination based on race and against families with children remains a persistent problem.” said Jocelyn Samuels, Acting Assistant Attorney General for the Justice Department’s Civil Rights Division. “The Justice Department will continue its vigorous enforcement of fair housing laws that protect the rights of individuals and families to live where they choose free from discrimination.”
The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin and disability. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt .
Informational: Federal Court ArraignmentsRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on August 27, 2013, before U.S. Magistrate Judge Carolyn S. Ostby, the following individuals were arraigned:
FRED THEODORE BISHOP, a 59-year-old resident of Lodge Grass, appeared on charges of assault with a dangerous weapon and assault resulting in serious bodily injury. He is currently detained. If convicted of these charges, BISHOP faces possible penalties of 10 years in prison, a $250,000 fine, and 3 years supervised release on each charge. Assistant U.S. Attorney Lori Harper Suek is the prosecutor for the United States. The investigation was conducted by the Bureau of Indian Affairs.
DEREK DEFOREST RHINEHART, a 31-year-old resident of Billings, appeared on charges of conspiracy to possess with the intent to distribute methamphetamine and possession with the intent to distribute methamphetamine. He is currently detained. If convicted of these charges, RHINEHART faces possible penalties of a mandatory minimum of 10 years in prison and could be sentenced to life, a $10,000,000 fine, and 5 years supervised release. Assistant U.S. Attorney Joseph E. Thaggard is the prosecutor for the United States. The investigation was conducted by the City-County Special Investigations Unit.
The defendants pled not guilty to the charges.
The charge, an indictment, information or complaint, is merely an accusation and all persons named as defendants are presumed innocent until proven guilty. A pre-trial conference and a trial date will be set and the United States will be required to prove the allegations set forth in the indictment beyond a reasonable doubt.
Informational: Federal Court ArraignmentsRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on August 27, 2013, before U.S. Magistrate Judge Keith Strong, the following individuals were arraigned:
KERMIT "CASH" MORSETTE, a 32-year-old resident of Box Elder, appeared on a charge of aggravated sexual abuse/aiding and abetting. He is currently detained on special conditions. If convicted of this charge, MORSETTE faces possible penalties of life in prison, a $250,000 fine, and 5 years supervised release. Assistant U.S. Attorney Danna R. Jackson is the prosecutor for the United States. The investigation was conducted by the Federal Bureau of Investigation.
IRAN MICHAEL KESSELMAN, a resident of Philadelphia, Pennsylvania, appeared on a charge of conspiracy to possess with the intent to distribute methamphetamine. He is currently detained. If convicted of this charge, KESSELMAN faces possible penalties of 20 years in prison, a $1,000,000 fine, and 3 years supervised release. Assistant U.S. Attorney Paulette L. Stewart is the prosecutor for the United States.
The defendants pled not guilty to the charges.
The charge, an indictment, information or complaint, is merely an accusation and all persons named as defendants are presumed innocent until proven guilty. A pre-trial conference and a trial date will be set and the United States will be required to prove the allegations set forth in the indictment beyond a reasonable doubt.
Indictment Charges Illegal Removal of AsbestosRead the Press Release
David Mermelstein, 53, of Willow Grove, Pennsylvania, was charged today by Indictment with five counts of illegal removal of asbestos, announced United States Attorney Zane David Memeger. The indictment alleges that from in or about September, 2009 through in or about April, 2010, Mermelstein hired day laborers instead of licensed asbestos contractors to remove asbestos from commercial property he owned at 10175 Northeast Avenue, Philadelphia. The indictment alleges that Mermelstein directed the removal of asbestos by these laborers without safeguards required by federal law.
If convicted, the defendant faces a maximum possible sentence of 25 years imprisonment and a fine of $1.25 million.
The case was investigated by the Environmental Protection Agency (“EPA”) and the City of Philadelphia’s Air Management Services. It is being prosecuted by Assistant United States Attorney Virgil B. Walker and Special Assistant United States Attorney Patricia Miller.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Hualapai Nation Tribal Member Sentenced to Federal Prison for RobberyRead the Press Release
PHOENIX – On Aug. 26, 2013, Lance Buddy Jackson, 27, of Peach Springs, Ariz., and an enrolled member of the Hualapai Nation Indian Tribe, was sentenced by U.S. District Judge Stephen M. McNamee to 42 months in federal prison, followed by a term of three years of supervised release. Jackson pleaded guilty on June 4, 2013 to robbery.
According to court documents, on Oct. 8, 2012, Jackson entered the Hualapai Lodge after midnight wearing dark clothing and a ski mask. Jackson approached the victim, an employee of the Lodge, pulled out what appeared to be a black handgun, but was later determined to be a BB gun, and demanded money from the victim. Jackson was subsequently apprehended based on video surveillance of the robbery.
The investigation in this case was conducted by the Hualapai Nation Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-8260-PCT-PGR
RELEASE NUMBER: 2013-069_ (Jackson)For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Hogsett Announces Convictions in Prosecution of Drug Ring Operated from Indiana PrisonsRead the Press Release
INDIANAPOLIS – Joseph H. Hogsett, the United States Attorney, announced today the conviction and sentencing of two defendants as part of a prosecution involving 40 individuals across Indiana who allegedly operated a large drug trafficking ring at the direction of inmates within Indiana correctional facilities. In hearings before U.S. District Judge Sarah Evans Barker, defendant Russell Yerden, age 45, was sentenced to 327 months (27 years, 3 months) in federal prison, and Michael Foley, age 32, was sentenced to 300 months (25 years) in federal prison.
“This prosecution involves allegations that, for more than a year, inmates orchestrated an illicit business from their prison cells that flooded the state with dangerous drugs,” said Hogsett. “These convictions and sentencing decisions are testament to our dedication to shutting off these drug pipelines and protecting Indiana neighborhoods.”
According to the charging document filed in 2012, the drug trafficking operation was largely run by Oscar Perez, age 27, a prisoner who at the time was incarcerated at the Westville Control Unit in Westville. He was assisted by Justin “Big J” Addler, age 28, who at the time was incarcerated at the Wabash Valley Correctional Facility in Carlisle. The indictment also alleges drug trafficking between Addler and Charles Cole, age 40, an inmate in the Pendleton Correctional Facility.
Defendants Yerden and Foley were both charged with conspiring with these prisoners to possess methamphetamine with the intent to distribute it. The indictment cites telephone conversations between Yerden and other drug traffickers discussing the transportation of methamphetamine from Elkhart to Indianapolis. Foley was similarly cited as having helped arrange for methamphetamine to be distributed to lower-level drug traffickers.
The indictment alleges that Perez and Addler would utilize the smuggled cell phones to oversee and facilitate large purchases of methamphetamine from sources of supply in California. Those drugs would then be shipped to Indiana through the mail or with couriers. At times, with the assistance of a corrections officer, they would then smuggle those drugs, cell phones, and other materials to inmates incarcerated within the Indiana Department of Correction.
Beyond those activities undertaken within Indiana correctional facilities, the indictment further describes significant drug trafficking in communities across Central Indiana. These include transactions in Indianapolis, Noblesville, Crawfordsville, Lafayette, New Castle, and Elkhart. This included the purchase and sale of quantities of methamphetamine, heroin, PCP and/or LSD.
According to Assistant U.S. Attorney Barry D. Glickman, who is prosecuting this case for the government, both defendants were also sentenced to years of federally-supervised release at the end of their prison term.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
Gregg County Man Guilty of Methamphetamine ViolationsRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas – A 45-year-old Kilgore, Texas man has pleaded guilty to drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Paul Bryan Jones pleaded guilty to possession with intent to distribute methamphetamine on Aug. 26, 2013, before U.S. Magistrate Judge John D. Love.
According to information presented in court, on Sep. 18, 2011, Jones possessed methamphetamine with the intent to distribute it in the Eastern District of Texas. On that same day, law enforcement officers seized 17.26 grams of pure methamphetamine at Jones’ residence. A federal grand jury returned an indictment on Feb. 27, 2013, charging Jones and three others with drug trafficking violations.
Jones faces a minimum of five years in federal prison at sentencing. A sentencing date has not been set.
This case was investigated by the Drug Enforcement Administration, the Gregg County CODE Unit, the Overton Police Department and the Texas Department of Public Safety and prosecuted by Assistant U.S. Attorney Bill Baldwin.
Glenns Ferry Man Sentenced for Distributing MethRead the Press Release
BOISE – Jaime Guerrero, 27, of Glenns Ferry, Idaho, was sentenced today in United States District Court to 53 months in prison for possession with intent to distribute methamphetamine, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also ordered Guerrero to serve five years of supervised release, 80 hours of community service and pay a $100 special assessment. He pleaded guilty to the charge on November 27, 2012.
Co-defendant Raul Garcia-Rosales, of Mountain Home, Idaho, was sentenced on June 4, 2013, to 21 months in prison for possession with intent to distribute methamphetamine.
According to plea agreements filed in the case, on September 14, 2011, Garcia-Rosales received approximately one pound of methamphetamine from Guerrero in Elmore County, Idaho, and then distributed it to an undercover officer at a truck stop in Mountain Home. Guerrero admitted that he supplied the methamphetamine to Garcia-Rosales. Both men acknowledged the substance they were distributing was methamphetamine.
The case was the result of a joint investigation of the Organized Crime and Drug Enforcement Task Force (OCDETF), led by the Idaho State Police and the Drug Enforcement Administration, in conjunction with the Elmore County Sheriff’s Office. The OCDETF program is a federal multi agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. Federal task force members include the Bureau of Alcohol, Tobacco, Firearms and Explosives, the DEA, the Federal Bureau of Investigation (FBI), Internal Revenue Service-Criminal Investigation, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and U.S. Marshals Service.
Gerald Christopher Calf Boss Ribs Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on August 27, 2013, before U.S. Magistrate Judge Keith Strong, GERALD CHRISTOPHER CALF BOSS RIBS, a 30-year-old resident of Browning and an enrolled member of the Blackfeet Tribe, pled guilty to assault resulting in serious bodily injury. Sentencing has been set for December 12, 2013. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Ryan G. Weldon, the government stated it would have proved at trial the following:
On August 23, 2011, at approximately 1:30 a.m., the victim and a witness were sitting on a ledge near the Town Pump in Browning. CALF BOSS RIBS approached the victim and hit him in the face.
CALF BOSS RIBS repeatedly hit the victim in the face, arms, and body. The victim stated that while he was defending himself, he had his hands raised and CALF BOSS RIBS bit one of his fingers and broke two others. The victim stated that he was knocked unconscious for a short period of time. After waking up, he started crawling until he could walk. Once able to walk, he walked to the hospital for treatment.
The witness explained to law enforcement that he was with the victim during the assault. The witness stated that CALF BOSS RIBS came out of nowhere and hit the victim. The witness left the scene because he did not want to be attacked by CALF BOSS RIBS.
When interviewed, CALF BOSS RIBS stated that he had met up with the victim earlier and that CALF BOSS RIBS had walked into an alley where he encountered "X.X." and several of "X.X.'s" friends. CALF BOSS RIBS stated that "X.X." "jumped" him. As CALF BOSS RIBS was being attacked, the victim stood by and watched, without helping. CALF BOSS RIBS advised that he was angry when the victim did not assist him as he was being attacked. CALF BOSS RIBS eventually left the beating and began to panhandle for more beer money. CALF BOSS RIBS then admitted that he met up with the victim later and "clocked" him in the head.
When at the hospital, the victim described his pain as a ten out of ten, with ten being the worst. After receiving a CT Scan, the victim was found to have fractures in his lateral orbital wall and his cheek bone. The plastic surgeon who treated the victim performed surgery on the victim four days after the assault. The surgeon described the injuries as "one of the most severe facial fractures" she had seen. All of the bones in the upper left side of the face were broken.
The assault occurred within the exterior boundaries of the Blackfeet Indian Reservation.
CALF BOSS RIBS faces possible penalties of 10 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was conducted by the Federal Bureau of Investigation.
Former Sutherland Global Services Employee Sentenced for Mail Fraud ConspiracyRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Raymond Locklin, 29, of Rochester, N.Y., who was convicted of conspiracy to commit mail fraud, was sentenced to six months of home confinement to be followed by five years probation, and ordered to pay restitution in the amount of $262,263.55 by U.S. District Judge David G. Larimer.
Assistant U.S. Attorney Marisa J. Miller, who handled the case, stated that the defendant, a former employee of Sutherland Global Services, conspired with co-defendant Christi Meehan, to obtain copies of Intuit Inc. software. The two then sold the software online. Locklin and Meehan placed false orders for free copies of replacement Intuit software, including TurboTax and Quicken, while employed by Sutherland Global Services. After receiving the software at addresses in Rochester, the defendants sold the software online, including on eBay.com, to customers throughout the United States. The defendants then kept the proceeds for themselves which resulted in a loss to Intuit of approximately $260,000.
Christi Meehan will be sentenced on October 1, 2013 at 3:00 p.m.
The sentencing is the culmination of an investigation on the part of Inspectors of the United States Postal Inspection Service, Boston Division under the direction of Inspector Kevin Niland, and Special Agents of the Federal Bureau of Investigation, under the direction of Acting Special Agent In Charge Steven L. Lanser.
Former Salvadoran Military Officer Sentenced for Perjury and Concealing Information from U.S. GovernmentRead the Press Release
BOSTON – A Salvadoran man residing in Everett who faces charges of crimes against humanity and state terror in Spain was sentenced today for immigration fraud and perjury in connection with false statements he made on immigration forms in order to remain in the United States.
Inocente Orlando Montano, 70, was sentenced today by U.S. District Court Judge Douglas P. Woodlock to 21 months in prison, followed by one year of supervised release and a special assessment of $600. Montano previously agreed to be deported from the U.S. upon completion of his prison term. A judicial order of removal has been secured, and he will be removed from the U.S. to El Salvador following his sentence. In September 2012, Montano pleaded guilty to three counts of immigration fraud and three counts of perjury.
The crimes stemmed from false statements Montano made to obtain Temporary Protective Status (TPS), a benefit available to foreign nationals, permitting them to remain in the U.S. if they are unable to safely return to their home country because of ongoing armed conflict, the temporary effects of an environmental disaster, or other extraordinary and temporary conditions. In 2002, Montano was present in the U.S. and, on several occasions thereafter, applied for and obtained TPS. On his applications, Montano falsified the date on which he entered the country because he knew that if he stated the actual date, he would have been ineligible for TPS.
Montano, a citizen of El Salvador, served in the Salvadoran military for nearly 30 years, rising to the rank of colonel. From 1989-1992, the final years of a decade-long civil war, he served as the Vice Minister for Public Security. After the civil war, in 1993, the U.N. Truth Commission on El Salvador found that there was substantial evidence that Colonel Montano was part of the small core group of elite officers responsible for the 1989 murder of six Jesuit priests, their housekeeper, and the housekeeper’s daughter. Those murders, commonly referred to as the Jesuit massacre, constitute one of the most notorious human rights crimes in El Salvador’s history. The U.N. Truth Commission Report also named Colonel Montano as one of two top officials who covered up the military high command’s role in the Jesuit massacre by pressuring lower-level soldiers not to mention orders from above in their testimony to the Salvadoran court officially charged with investigating the crime.
According to the Government’s memorandum, Colonel Montano left El Salvador at a time when events in El Salvador made it appear that high level military officers would be prosecuted for their alleged role in the Jesuit massacre. Prosecutors asserted that Colonel Montano traveled to the U.S., at least in part, to distance himself from authorities in El Salvador that could prosecute him for his alleged role in the massacre.“Today’s sentence sends a strong message that those alleged to have engaged in human rights abuses overseas should not expect to hide in the United States,” said U.S. Attorney Carmen M. Ortiz. “We will continue to prosecute these cases fully to protect the integrity of our immigration system and to discourage those involved in wrongdoing in their home countries from seeking refuge here.”
“Today’s sentence emphasizes the fact that the United States will never be a safe haven for those who engage in alleged criminal acts in their home countries,” said Bruce M. Foucart, Special Agent in Charge of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Boston. “I applaud the efforts of the skilled and dedicated special agents and federal prosecutors who were instrumental in bringing this case to a successful resolution.”
U.S. Attorney Ortiz and SAC Foucart made the announcement today. The case was prosecuted by Assistant U.S. Attorney John A. Capin of Ortiz’s Antiterrorism and National Security Unit.Former President of Remington Volunteer Fire Department Pleads Guilty to EmbezzlementRead the Press Release
ALEXANDRIA, Va. – William Joseph Stuart, age 52, of Bealton, Va., the former President of the Remington Volunteer Fire Department, pleaded guilty today to one charge of theft from a program receiving federal funds.
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 Thomas J. Kelly, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation, made the announcement after the plea was accepted by United States District Judge Leonie M. Brinkema. Stuart was indicted on July 25, 2013, by a federal grand jury with one count of Theft from an Organization Receiving Federal Funds. Stuart faces a maximum penalty of 10 years when he is sentenced on November 15, 2013.
In a statement of facts filed with the plea agreement, Stuart admitted that between September 2008 and April 2009, he did steal funds totaling more than $40,000 from the Remington Volunteer Fire & Rescue Department (“RVFD”) in Remington, Virginia by submitting false and fraudulent invoices to the RVFD. Stuart admitted that he then wrote checks to himself and acquired a second signature from another RVFD officer based on the false invoices that Stuart created.
This case was investigated by the Federal Bureau of Investigation’s Washington Field Office and the Internal Revenue Service, Criminal Investigation. Assistant United States Attorney Mark D. Lytle is prosecuting the case on behalf of the United States.
Any person who believes they may have information regarding public corruption in the Northern Virginia area is encouraged to call the FBI’s Northern Virginia Public Corruption Hotline at 703-686-6225.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Former Omaha Police Officer Pleads Guilty to Improperly Accessing a Protected ComputerRead the Press Release
United States Attorney Deborah R. Gilg announced that on August 27, 2013, Kevin Cave, age 37 of Bellevue, appeared before United States District Judge Joseph F. Bataillon and entered a plea of guilty to one count of Exceeding Authorized Access to a Protected Computer for Private Financial Gain. The charge carries a possible penalty of up to five years in prison, up to a $250,000 fine or both and can be followed by up to three years of supervised release.
Cave was employed as an officer with the Omaha Police Department. In that capacity he had access to the NCJIS, (Nebraska Criminal Justice Information System), database maintained by the Nebraska Crime Commission. NCJIS is linked to numerous other databases within the State of Nebraska and other states and can provide officers with information on suspects or witnesses to include criminal history information, drivers’ license information, employment information, and parole and probation information. Commencing in 2010 and continuing until August of 2012, Cave conducted unauthorized NCJIS searches on behalf of car dealerships seeking to repossess cars. He conducted the searches because he was being paid up to $200.00 for each lead that led to a successful repossession. Between on or about March 2, 2010, and August 21, 2012, Cave received at least $16,050.00 from the dealerships for having done so.
Sentencing is set for November 15, 2013. This case was investigated by the Federal Bureau of Investigation.
Former Inmate Sentenced in Prison False Tax Return SchemeRead the Press Release
TULSA, Okla. — United States Attorney Danny C. Williams Sr. announced today that Donald Lee Grayson, 61, of Tulsa, was sentenced in the United States District Court for the Northern District of Oklahoma by U.S. District Judge Claire Eagan.
Grayson was charged with three counts of filing false 2008 federal income tax refund claims in the names of three different fellow prison inmates. As a trustee serving a state sentence at a Tulsa-area prison, he gained access to a laptop computer, and bank accounts in the names of the fellow inmates. With that, Grayson was able to electronically file the false tax returns from his prison cell. That also proved to be his undoing, for a guard noticed the power card of the computer which then led to a search of Grayson’s cell; ending the scheme.
The three false income tax returns were filed in late 2009 and claimed fraudulent refunds totaling $21,276, however, the IRS detected the falsity of one of the returns only paying $14,226 in false refunds.
Grayson was sentenced to 18 months imprisonment, per count with each sentence running concurrent with the others, three (3) years of supervised release to follow the prison term and restitution of $14,226.
The charges resulted from an investigation by Internal Revenue Service-Criminal Investigation, which has emphasized enforcement in the area of false income tax refunds and identity theft. The case was prosecuted by Assistant United States Attorney Charles M. McLoughlin.
Former Chinese Restaurant Owner Pleads Guilty to Harboring Illegal AliensRead the Press Release
BUFFALO, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Wan Qin Lu, of Cheektowaga, N.Y., pleaded guilty before Chief U.S. District Judge William M. Skretny, to harboring illegal aliens for commercial advantage and private financial gain. The charge carries a maximum penalty of 10 years in prison, a fine of $250,000 or both.
Assistant U.S. Attorney Michael DiGiacomo who is handling the case, stated that the defendant was the former owner and manager of the Easy Z Wok Restaurant in Cheektowaga. Department of Homeland Security investigators gathered information that the defendant was employing two illegal Mexican nationals. Federal agents subsequently executed a search warrant at the restaurant and the defendant’s home. During the search of the defendant’s home, agents discovered two Mexican nationals living in the basement. The investigation also revealed that the defendant was paying the Mexican nationals cash thereby avoiding paying payroll taxes.
The plea is the culmination of an investigation on the part of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
Sentencing is scheduled for January 14, 2014 at 9:00 a.m. before Judge Skretny.Former Charlotte Area Realtor Pleads Guilty to Selling Household Appliances Stolen from Vacant HomesRead the Press Release
CHARLOTTE, N.C. – A former Charlotte area realtor pleaded guilty on Monday, August 26, 2013, to selling household appliances she unlawfully removed from vacant homes owned by the U.S. Department of Housing and Urban Development (HUD), announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. Sember Lynn Smathers, 49, formerly of Shelby, N.C., pleaded guilty before U.S. Magistrate Judge David S. Cayer to one count of conspiracy to steal government property.
U.S. Attorney Tompkins is joined in making today’s announcement by Lester Fernandez, Special Agent in Charge, Office of the Inspector General, Office of Investigation of the Department of Housing and Urban Development (HUD – OIG).
According to the criminal indictment and plea agreement, Smathers was a real estate agent and, in that capacity, had access to listings of vacant HUD real estate owned properties in Charlotte and surrounding communities in North and South Carolina. According to court records, from September 2008 to July 2009, Smathers used a master key to enter the vacant HUD homes and unlawfully remove appliances – such as refrigerators, stoves, washers and dryers – and other items from the homes. Smathers and her co-conspirators usually conducted these “clean outs” one or two times per week. Court records indicate that Smathers then sold these items from her home in Shelby.
In February 2009, Smathers and a co-conspirator leased a building in Shelby and set up a business called “Cheap Stuff,” from which they sold the household appliances as well as clothes and lawn maintenance equipment stolen from the HUD properties. According to filed documents, Smathers and another co-conspirator also maintained a storage unit in Shelby to store the stolen appliances, and used Craig’s List, the Shelby Shopper and the Shelby Star to advertise and sell these appliances. Court records indicate that in one instance, Smathers and another person were conducting a “clean out” while subcontractors were working at the same vacant HUD property. When the subcontractors questioned Smathers about the removal of the appliances from the home, Smathers falsely represented that she and her co-conspirator also worked for the same subcontractors and had been directed to remove the appliances from the home. Court records show that Smathers stole over $13,678 worth of appliances from the vacant homes.
Smathers has been released on bond pending sentencing. She faces a maximum prison term of five years and a $250,000 fine. A sentencing date for Smathers has not been set yet.
The investigation into Smathers was handled by HUD-OIG. The prosecution is handled by Assistant U.S. Attorney Kenneth Smith of the U.S. Attorney’s Office in Charlotte.
First of Two Bank Robbers Sentenced for Central Illinois Bank RobberiesRead the Press Release
Springfield, Ill. – A Logan County, Ill., man, Robert D. McKissic, 33, of Lake Fork, Ill., will serve nearly 12 years in prison for the armed robberies of two rural central Illinois banks. U.S. District Judge Sue E. Myerscough yesterday ordered that McKissic serve a total of 140 months (11 years, 8 months) in prison. McKissic was ordered to serve 119 months (9 years, 11 months) plus an additional, consecutive 21 months, because McKissic was under federal supervised release when the bank robberies were committed in September and October 2012. McKissic was further ordered to pay restitution in the amount of $46,977 to the banks.
McKissic pled guilty on Apr. 30, 2013, to committing armed bank robberies of the Bank of Chestnut, in Chestnut, Ill., on Sept. 17, 2012, and Kenney Bank and Trust, Kenney, Ill., on Oct. 24, 2012. McKissic’s co-defendant, Robert D. Allspach, 26, also of Lake Fork, Ill., pled guilty on Apr. 30, 2013, and is scheduled to be sentenced on Sept. 16, 2013.
The two men were charged in a federal criminal complaint in December 2012, and have remained in the custody of the U.S. Marshals Service since their arrest.
The investigation was conducted by the Federal Bureau of Investigation; Illinois State Police; the Logan County Sheriff’s Office; DeWitt County Sheriff’s Office; Sangamon County Sheriff’s Office; the Buffalo / Mechanicsburg Police Department; and the Office of the Illinois Secretary of State. Assistant U.S. Attorney Gregory K. Harris prosecuted the case.Final 3 Defendants Convicted in Stolen Identity and Tax Fraud SchemeRead the Press Release
STATESBORO, GA - Three federal defendants – PORSCHE S. PINKNEY, TIDAESHA V. TAYLOR, and GREGORY F. SMITH, JR. – pled guilty last week before United States District Court Judge B. Avant Edenfield for their involvement in a stolen identity and tax fraud scheme that was centered in Statesboro, Georgia.
Earlier this year, these 3 defendants, along with 10 others who were also involved in the scheme, were charged with federal crimes ranging from conspiracy to defraud the IRS to identity theft from medical records. According to evidence presented during hearings in these cases, the participants in the scheme illicitly obtained personal identifiers, such as names, dates of birth, and Social Security numbers, which they then used to prepare and submit fraudulent tax returns in order to unlawfully obtain tax refunds.
The 3 defendants who pled guilty last week were the last to be convicted of the 13 defendants originally charged in this identity theft and tax fraud scheme. Each of the defendants are listed as follows:ERICA BALDWIN, 31, of Statesboro, Georgia, pled guilty on June 25, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records.
TRACY DENSON, 44, of Statesboro, Georgia, pled guilty on July 30, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records.
SHAKITA EASON, 30, of Statesboro, Georgia, pled guilty on June 18, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records.
YOLANDA EDMOND, 36, of Statesboro, Georgia, pled guilty on July 11, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records.
GLORIA EVANS, 44, of Statesboro, Georgia, pled guilty on July 11, 2013 to wire fraud conspiracy and aggravated identity theft.
JOSHUA MINCEY, 20, of Statesboro, Georgia, pled guilty on June 25, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records.
PORSCHE S. PINKNEY, 19, of Augusta, Georgia, pled guilty on August 21, 2013 to wire fraud conspiracy, aggravated identity theft, and misusing medical records.
DWAN SCOTT, 32, of Statesboro, Georgia, pled guilty on July 30, 2013 to wire fraud conspiracy and aggravated identity theft.
JENNA SCOTT, 28, of Jacksonville, Florida, pled guilty on July 30, 2013 to wire fraud conspiracy and aggravated identity theft.
GREGORY F. SMITH, JR., 21, of Stone Mountain, Georgia, pled guilty on August 21, 2013 to wire fraud conspiracy and aggravated identity theft.
ASHA K. SPAULDING, 37, of Claxton, Georgia, pled guilty on March 12, 2013 to wire fraud conspiracy, aggravated identity theft, and assisting in the preparation of false tax returns.
TIDAESHA V. TAYLOR, 27, of College Park, Georgia, pled guilty on August 21, 2013 to wire fraud conspiracy and aggravated identity theft.
ANDREA WEBB, 31, of Register, Georgia, pled guilty on June 5, 2013 to wire fraud conspiracy and aggravated identity theft.
These defendants face a maximum penalty of twenty years imprisonment for the conspiracy charges, ten years imprisonment for the charge of misusing medical records, and a two-year mandatory, consecutive prison sentence for aggravated identity theft. Each of these charges also carries a fine of up to $250,000. Sentencing dates for these defendants have not yet been scheduled.
United States Attorney Edward J. Tarver said, “These convictions demonstrate the continuing commitment of the Department of Justice to protecting the identities and the privacy of medical records of American citizens. This investigation is ongoing. Our law enforcement partners will continue to track down identity thieves and bring them to justice.”FBI Special Agent Marcus Kirkland and IRS Special Agent Gwen Weston are the federal law enforcement officers who have been leading the investigation in these cases, in connection with the Statesboro Police Department and other state and local agencies. Assistant United States Attorneys David Stewart and Lamont A. Belk are prosecuting the cases. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 341-7842.
Feds Sieze Three Long-Time Problem Motels in Tukwila as part of Year-Long InitiativeRead the Press Release
Three motels on Tukwila International Boulevard, in Tukwila, Washington were seized and boarded-up by federal agents today following a year-long investigation of criminal activity in and around the motels, announced U.S. Attorney Jenny A. Durkan. More than 400 law enforcement officers and agents participated in the serving of search and seizure warrants today on the Great Bear Motor Inn, Boulevard Motel and Travelers Choice Motel. In addition to the civil seizure of the motels, four people were arrested in connection with ongoing criminal activity at the motels, including three owner-operators. In 2011 and 2012, police responded to the motels for reports of rape, robbery, assault, drug transactions, gun crimes, prostitution, and possession of stolen property. During that time, the three motels accounted for approximately 17 percent of the Tukwila Police Department’s calls for service.
“Today we seek to hold the hotel owners accountable for their crimes, strip them of their criminal dens and make this area of the community safer,” said U.S. Attorney Jenny A. Durkan. “I commend the Tukwila Police Department and ATF for their work – which allows us to not just prosecute the defendants, but to solve a problem. Reducing crime on International Boulevard is a top priority for the residents of Tukwila and their representatives in government, and this operation is directly responsive to the community’s most pressing needs.”
According to records filed to seize the motels, (see Complaint here) the Tukwila Police Department and Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) jointly-led investigation used undercover officers and people working with law enforcement to document criminal activity at the motels and the role the owners and managers played in that activity. According to the affidavit filed in the case, owners and managers would collect a $10 entry fee for those coming on the property seeking drugs or sexual services. The owners and/or managers would take the money and direct the customer to rooms to purchase drugs or sex. In some instances the person taking the “fee” would call the motel room to inform the dealer or sex worker that a customer was on the way. According to witnesses, the owner or manager would collect additional rental fees from the dealer or sex worker based on how many customers were sent to the room over the course of the day.
“These businesses have been a haven for violence and gang activity for several years. Today’s operation should have a lasting positive impact on crime in Tukwila,” said ATF Acting Special Agent in Charge Jim Modzelewski. “ATF remains committed to partnering with other agencies to fulfill our mission of targeting violent crime.”
“The Mayor and Tukwila City Council have made public safety a priority for the citizens of Tukwila, and we are thankful for their support that has helped the police department create a safer place to live and conduct business,” said Tukwila Chief of Police Mike Villa. “Additionally, I would like to thank all of our officers, staff and partnering agencies that have made this operation a success. We are excited that jointly we have been able to make such a significant impact on crime in Tukwila.”
Since at least 2006, the three motels have consistently been among the top five motels in Tukwila with the highest calls for police service per room, with significantly higher ratios than other hotels in Tukwila. The Great Bear Motor Inn was identified and cited in August 2012, as a nuisance property by the City of Tukwila. The Boulevard Motel and Travelers Choice Motel had been sent warning letters in 2011 about being cited as nuisance properties.
Displaced residents from the seized motels will be offered transportation to a nearby church. At the church they will be fed and offered medical and mental health services, and assistance with housing and other needs from several City of Tukwila departments and other local, state and federal agencies. The City will be providing qualified low income residents with vouchers for groceries and transportation.
“The City of Tukwila expresses our deepest appreciation to the many federal, state, and local agencies who collaborated so well with our police department on this public safety action. This shows how we are all committed to improving public safety and creating great neighborhoods,” said Tukwila Mayor Jim Haggerton.
The investigation, search and seizure operation today was led by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and the Tukwila Police Department. Many additional agencies assisted the investigation and today’s operation, including the U.S. Marshals Service; Department of Homeland Security; Drug Enforcement Administration; Federal Bureau of Investigation; Internal Revenue Service Criminal Investigation; U.S. Department of Agriculture Office of Inspector General; Washington State Patrol; Seattle, Auburn, Kent, Renton, Federal Way, and Port of Seattle Police Departments; Valley SWAT Team; King County Sheriff’s Office; Washington State Department of Corrections; and Washington State Department of Social and Health Services (DSHS).
The case is being handled by Assistant United States Attorneys Justin Arnold, Jill Otake and Richard Cohen.
Press contact for the U.S. Attorney’s Office from August 27 to 30 is Executive Assistant United States Attorney Thomas Bates at (206) 553-7970 or [email protected].
Press contact for the City of Tukwila is Commander Eric Drever of the Tukwila Police Department at (206) 858-3883 or [email protected].
Federal Employee Pleads Guilty to Extorting Money from Social Security BeneficiariesRead the Press Release
ATLANTA - Cordell Fleming pleaded guilty today in federal court to extorting money from individuals due Social Security benefits.
“A federal employee, in a position of public trust, preying on the disabled and the indigent shocks the conscience,” said United States Attorney Sally Quillian Yates. “This defendant extorted money from needy, disabled members of our community by promising them expedited Social Security payments in return.”
According to United States Attorney Yates, the charges and other information presented in court: Fleming worked as Claims Representative for the Social Security Administration. As part of his duties, he processed requests for Supplemental Security Income (SSI) payments for eligible individuals. However, Fleming offered to “expedite” the processing time of SSI payments to SSI beneficiaries and SSI beneficiary payees in exchange for a fee. In an attempt to make the expedited SSI payments appear legitimate, Fleming frequently created false documents that purportedly justified the expedited disbursement of SSI payments. During the course of the scheme, from October 2012 to April 2013, Fleming extorted and attempted to extort money (in amounts ranging from approximately $500 to $1,800) from at least nine SSI beneficiaries or their representative payees.On August 14, 2013, Fleming, 46, of Conyers, Ga., was charged with one count of extortion and he pleaded guilty to this count today. Fleming could receive a maximum sentence of 20 years in prison and a fine of up to $250,000. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
Sentencing is scheduled for November 14, 2013, at 11:30 a.m., before United States District Judge Timothy C. Batten, Sr.
This case is being investigated by Special Agents of the Social Security Administration - Office of the Inspector General.
Assistant United States Attorney Jeffrey W. Davis and Special Assistant United States Attorney Diane C. Schulman are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney’s Office for the Northern District of Georgia is www.justice.gov/usao/gan.
Drug Trafficker who Hid Pounds of Heroin and Methamphetamine in Apartment Walls Sentenced to Long Prison TermRead the Press Release
A drug trafficker who came to the attention of law enforcement after his roommate was shot and killed in November 2012, was sentenced today in U.S. District Court in Tacoma to 15 years in prison and five years of supervised release, announced U.S. Attorney Jenny A. Durkan. JUAN HIDALGO-MENDOZA, 33, of Lakewood, Washington was convicted following a jury trial in May 2013 of Conspiracy to Distribute Controlled Substances, Possession with Intent to Distribute Controlled Substances, Possession of a Firearm in Furtherance of a Drug Trafficking Offense and being a Felon in Possession of a Firearm/Ammunition. At sentencing U.S. District Judge Ronald B. Leighton referred to HIDALGO-MENDOZA’s apartment as “ground zero” for local trafficking activity and “a magnet for crime and violence” that drew the attention of armed intruders and led to the death of his roommate.
According to records filed in the case, emergency crews responded to the Greenwood Apartments on San Francisco Ave. SW, in Lakewood, just before 10:00 p.m. on November 12, 2012. They found Jaime Diaz-Solis with a fatal gunshot wound on the sidewalk outside the ground floor apartment he shared with HIDALGO-MENDOZA. According to witnesses, they heard a gunshot and later HIDALGO-MENDOZA dragged Dias-Solis from the apartment yelling for neighbors to call an ambulance. HIDALGO-MENDOZA said he was in his bedroom when the victim was shot by an intruder. On the night of the shooting a search of the apartment revealed two bricks of heroin weighing over three kilos, wrapped in duct tape, as well as an AK-47 style assault weapon and ammunition. Investigators also found a revolver in HIDALGO-MENDOZA’s bedroom closet. Hidden under the seat of HIDALGO-MENDOZA’s truck, investigators found $37,800 in cash. HIDALGO-MENDOZA was arrested in November for the drug conspiracy as well as being a felon in possession of a firearm. He has a prior conviction in California for distributing heroin and is prohibited from possessing firearms.
Two months after HIDALGO-MENDOZA’s arrest, and after the apartment had been rented to a new tenant, law enforcement learned there were additional drugs hidden in the unit. In the walls they found eight bricks of heroin wrapped in duct tape, and two bricks of methamphetamine wrapped in green cellophane. The hidden heroin totaled more than 13 kilos and the methamphetamine was nearly two kilos. The wrapping of the heroin was identical to the two bricks seized in November.
In asking for a significant sentence prosecutors wrote to the court, “Hidalgo-Mendoza is a repeat offender. He was caught, convicted, and imprisoned for selling heroin three years before this offense, in California. He was subject to court supervision for that offense at the time he came to Washington, ostensibly to obtain a driver’s license but almost certainly with designs related to the drug trade. That being the case, unlike first-time offenders, he cannot claim ignorance to the potential criminal consequences of drug trafficking activity, and was intimately aware of the hazards of the business (evidenced by his weapons) as well as the tragic impact drugs have on users.”
This was an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation, providing supplemental federal funding to the federal and state agencies involved. The case was investigated by Lakewood Police Department, the Drug Enforcement Administration (DEA) and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). The Auburn Police Department assisted with the case.
The case was prosecuted by Assistant United States Attorneys Sarah Vogel and Steven Masada.
Press contact for the U.S. Attorney’s Office on August 27 is Thomas Bates at (206) 553-7970 or [email protected].
Denver Man Convicted of Advertising Child Pornography and Other Child Pornography Related ChargesRead the Press Release
Advertising conviction is one of the first of its kind in the country
DENVER – Following a seven-day jury trial, Richard Franklin, a.k.a “westfaliaimplant”, age 45 of Denver, Colorado, was found guilty of advertising child pornography, receipt of child pornography, two counts of distribution of child pornography, and possession of child pornography, United States Attorney John Walsh and FBI Denver Division Special Agent in Charge Thomas Ravenelle announced. The jury deliberated for two hours before reaching their verdict. Franklin, who appeared at the trial in custody, was remanded following the conclusion of the trial. The trial was held before Senior U.S. District Court Judge Wiley Y. Daniel. Franklin is scheduled to be sentenced by Judge Daniel on November 14, 2013 at 9:30 a.m.
According to the Second Superseding Indictment, as well as facts presented at trial, from May 11, 2009 and January 5, 2011, Franklin knowingly made, printed or published any notice or advertisement offering to receive, exchange or distribute child pornography to anyone who was a member of his online trading circle. Further, the defendant knowingly received and distributed child pornography using the Internet. Lastly, Franklin knowingly possessed images of child pornography.
In total, the defendant possessed multiple hard drives containing over 200,000 images of child pornography. Franklin used a file trading software to allow others to preview and browse his collection and to chat with fellow child pornography traders. Part of the trading of images was to encourage purveyors to produce new child pornography videos. As a result of this investigation, two young children, both under 12 years old, were rescued from their abusers.
During her closing remarks, Assistant U.S. Attorney Judith Smith said: “The defendant’s currency was trading in the suffering of children’s sexual abuse and humiliation.”
U.S. Attorney John Walsh praised the prosecution team, including the Assistant U.S. Attorneys and the FBI Special Agents who conducted the investigation into Franklin. “Thanks to the in-depth work of the FBI agents, and the excellent litigation of the prosecutors handling this case, the defendant faces a mandatory minimum of 15 years in federal prison for his heinous crime of trafficking in images of the sexual exploitation of children as young as babies.”
“Protecting children from providers of child pornography is a priority of the FBI,” said FBI Denver Division Special Agent in Charge Thomas Ravenelle. “Today’s verdict demonstrates that those who advertise, distribute, possess, and trade child pornography will be prosecuted to the fullest extent of the law.”
The penalty for notice or advertising child pornography is not less than 15 years, and up to 30 years in federal prison, and a fine of up to $250,000. The penalty for receipt or distribution of child pornography is not less than 5 years, and not more than 20 years in federal prison, and a fine of up to $250,000, per count. The penalty for possession of child pornography is not more than 10 years imprisonment and up to a $250,000 fine. If the defendant has a prior conviction relating to aggravated sexual abuse, sexual abuse, or abusive sexual conduct involving a minor or ward, or the production, possession, receipt mailing, sale, distribution, shipment or transportation of child pornography, or sex trafficking in children, the defendant faces not less than 25 years and not more than 50 years imprisonment for advertising child pornography, and not less than 15 years and not more than 40 years imprisonment for receipt, distribution and possession of child pornography.
This case was investigate by the Denver and Phoenix Field Offices of the Federal Bureau of Investigation.
Franklin was prosecuted by Assistant U.S. Attorneys Judith Smith and Alecia Riewerts Wolak.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about PSC, please visit http://www.justice.gov/psc/ For more information about Internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."
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Defendant Sentenced for Possession of Child PornographyRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that
Russell Lloyd Norvell, 44, of Doerun, Georgia, was sentenced on Monday, August 26, 2013, by the Honorable Hugh Lawson, Senior United States District Judge, in Valdosta, Georgia, for possession of child pornography. Judge Lawson sentenced Mr. Norvell to sixty-one (61) months imprisonment to be followed by twenty-five (25) years supervised release and mandatory registration as a sex offender.Mr. Norvell entered a plea of guilty on June 3, 2013, to one count of possession of child pornography. Mr. Norvell admitted that he used a computer at his residence to search for and download child pornography between March and May, 2011. Based on information received by law enforcement agents, an Internet Protocol address was traced to the Norvell residence. A search warrant was executed on this residence on June 23, 2011. During the search, the agents located a number of computers in the home and Mr. Norvell admitted he used one of the computers to access child pornography. A thumbdrive and a DVD were discovered containing child pornography as well. The search further revealed over 600 images and videos of minors, including minors under the age of twelve (12) years, engaged in sexual activity including being subjected to sexual intercourse with adult males as well as sadistic and masochistic conduct.
“Mr. Norvell caused the young children in these disgusting images to be re-victimized every time he looked at the pictures and videos. The Department of Justice prioritizes protecting our children by prosecuting people like Mr. Norvell,” said United States Attorney Michael Moore.
The case was investigated by the Department of Homeland Security, Homeland Security Investigations, and prosecuted by Assistant United States Attorney Robert D. McCullers.
Inquiries regarding the case should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney's Office at (478) 621-2602.
Defendant Sentenced for Possession of Child PornographyRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that
Cameron Scott Johnson, 24, of Lake Park, Georgia, was sentenced on Monday, August 26, 2013, by the Honorable Hugh Lawson, Senior United States District Judge, in Valdosta, Georgia, for possession of child pornography. Judge Lawson sentenced Mr. Johnson to sixty-one (61) months imprisonment to be followed by twenty-five (25) years supervised release and mandatory registration as a sex offender.Mr. Johnson entered a plea of guilty on June 3, 2013, to one count of possession of child pornography. Mr. Johnson admitted that he used the computer at his residence to search for and download child pornography during the period between September 26, 2011 through December 5, 2011. Based on information that Mr. Johnson was using an Internet Protocol address, which was traced by law enforcement agents, a search warrant was executed on Mr. Johnson’s residence and the computer was seized for examination. The examination revealed over 600 images and videos of minors, including minors under the age of twelve (12) years engaged in sexual activity including being subjected to sexual intercourse with adult males as well as sadistic and masochistic conduct.
“Every time Mr. Johnson downloaded a picture of one of these children, he re-victimized them. It is both sad and reprehensible. After his prison sentence, Mr. Johnson will live under supervision as a sex offender for the majority of his remaining life,” said United States Attorney Michael Moore.
The case was investigated by the Department of Homeland Security, Homeland Security Investigations, and prosecuted by Assistant United States Attorney Robert D. McCullers.
Inquiries regarding the case should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney's Office at (478) 621-2602.
Dallas Woman Pleads Guilty to Perjury Related to Bankruptcy FilingsRead the Press Release
DALLAS — A Dallas woman, Estela Martinez, 53, appeared in federal court yesterday afternoon, before U.S. Magistrate Judge Paul D. Stickney, and pleaded guilty to one count of making a false statement, under penalty of perjury, related to bankruptcy filings. Martinez faces a maximum statutory penalty of five years in federal prison and a $250,000 fine. Sentencing is set for January 20, 2014, before U.S. District Judge Sam A. Lindsay. The announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas, whose office has been placing increased emphasis on investigating and prosecuting bankruptcy fraud.
According to documents filed in the case, Martinez filed six voluntary bankruptcy petitions: in April 2009, July 2009, January 2011, March 2011, November 2011 and in November 2012. Separate counsel represented her in each of the 2009 filings; she represented herself in each of the 2011 and 2012 filings.
In each of the four 2011 and 2012 filings, Martinez falsely and fraudulently omitted information concerning previous bankruptcy filings that she was obligated to disclose, under the penalty of perjury. Martinez fraudulently omitted listing her assigned social security number in several of the filed bankruptcy petitions.
The case was investigated by the Social Security Administration, Office of Inspector General.
Assistant U.S. Attorney David Jarvis is in charge of the prosecution.
Dallas County Man Admits Transporting and Shipping Child PornographyRead the Press Release
DALLAS --- Quincy Lamar Poole, 24, appeared today in federal court in Dallas, before U.S. Magistrate Judge David L. Horan, and pleaded guilty to one count of transporting and shipping child pornography. He faces a statutory penalty of not less than five or more than 20 years in federal prison, a $250,000 fine and up to a lifetime of supervised release. Poole, who is in custody, is scheduled to be sentenced on December 18, 2013, by U.S. District Judge Barbara M. G. Lynn. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to plea documents filed in the case, when special agents with the FBI executed a search warrant at Poole’s home in Lancaster, Texas, on July 16, 2013, they seized a laptop computer, a thumb drive and Poole’s cell phone. Email transmissions were located that showed Poole had sent two emails with a video of child pornography attached to each. In addition, five videos and one image of child pornography were located on his cell phone.
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 matter is being investigated by the FBI. Assistant U.S. Attorney Camille Sparks is prosecuting.
Dallas Area Nightclub Owners Sentenced for Cocaine TraffickingRead the Press Release
Department of Justice
Office of Public AffairsSHERMAN, Texas – A Dallas-area husband and wife have been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Jose Torres Mijares, 61, pleaded guilty on June 27, 2012, to conspiracy to distribute cocaine and was sentenced 327 months in federal prison on Aug. 12, 2013, by U.S. District Judge Marcia Crone. His wife, 47-year-old Leticia Norma Munoz, pleaded guilty on Apr. 10, 2012, to conspiracy to distribute cocaine and was sentenced to 235 months in federal prison on Aug. 12, 2013 by Judge Crone.
The court also ordered the forfeiture of firearms and over $300,000 which had been seized during a search of the couple’s residence.
Another man, Jose Luis Perez, 47, of Dallas, pleaded guilty on Nov. 11, 2012, to conspiracy to distribute cocaine and was sentenced to 16 months in federal prison.
According to information presented in court, Mijares and Munoz owned and operated the El Palacio Bar, the El Jimador Bar, the Circle 33 Bar, and Ladies Bar and Night Club in Dallas. They were arrested on Nov. 14, 2011, and accused of using these businesses to distribute large quantities of cocaine.
This case is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) joint investigation. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
This case was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigation, Texas Department of Public Safety, Plano Police Department, Denton Police Department, Collin County District Attorney’s Office and prosecuted by the U.S. Attorney’s Office for the Eastern District of TexasCumberland Man Sentenced to 9 Years in Prison for Three Armed Bank RobberiesRead the Press Release
Baltimore, Maryland - U.S. District Judge Marvin J. Garbis sentenced John Allen Talerico, age 50, of Cumberland, Maryland, to nine years in prison, followed by five years of supervised release, for three armed bank robberies. Judge Garbis also ordered Talerico to pay restitution of $31,206.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Cumberland Police Chief Charles H. Hinnant; Allegany County Sheriff Craig Robertson; Frostburg Police Chief Royce C. Douty; Colonel Marcus L. Brown, Superintendent of the Maryland State Police; and Allegany County State’s Attorney Michael O. Twigg, of the Combined County Criminal Investigations Unit (C3I).
According to his plea agreement, between March 11, 2011, and September 13, 2011, Talerico committed three armed bank robberies in Cumberland, Maryland. During each robbery, Talerico entered the bank, approached the teller and asked about opening an account, then pointed what appeared to be a large black semiautomatic handgun at the teller and demanded money. After the tellers gave Talerico cash, he threatened them and demanded more money from the tellers, then fled the bank. On one occasion, when a customer entered the bank during the robbery, Talerico pointed the gun at the customer, telling the customer to “get out of the way.” During the robberies, Talerico wore distinctive clothing, including a knit hat with a brim, and large framed glasses.Specifically, on March 11 and September 13, 2011, Talerico robbed the M&T Bank, located at 1150 Industrial Boulevard, and on June 24, 2011, Talerico robbed the Susquehanna Bank, located at 600 West Industrial Boulevard, all in Cumberland. Talerico obtained a total of approximately $31,206 from the three bank robberies.
The robberies were captured on bank surveillance video. During a search warrant executed at Talerico’s home on March 30, 2012, numerous articles of clothing matching those worn by the bank robber in the surveillance photos were seized.According to court documents and testimony at today’s sentencing hearing, Talerico committed two additional robberies. On December 23, 2010, Talerico robbed the First Commonwealth Bank, in the 8400 block of William Penn Highway, in Osterburg, Pennsylvania, stealing approximately $4,506. On March 16, 2012, Talerico pretended to “test drive” a used car from a dealer whom he knew, driving the car to Fort Ashby, West Virginia, where he robbed the BB&T Bank, stealing approximately $7,481.
United States Attorney Rod J. Rosenstein praised the FBI, C3I, Cumberland Police Department, Allegany County Sheriff’s Office, Frostburg Police Department, Maryland State Police, and Allegany County State’s Attorney’s Office for their work in the investigation and thanked the Mineral County Sheriff’s Office (WV), and Pennsylvania State Police for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Paul E. Budlow and Mark W. Crooks, who prosecuted the case.Course Brings Trainers from Across Country to Share Knowledge with Louisiana Law Enforcement and ProsecutorsRead the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley gave opening remarks this morning to law enforcement officers and prosecutors from across the state who traveled to Lafayette to attend the “Hitting the Mark: Louisiana” course being held at the Clifton Chenier Center.
The National District Attorneys’ Association (NDAA) is presenting the course, which is also being co-hosted by the United States Attorney’s Offices for the Western, Eastern and Middle Districts of Louisiana, the Lafayette Police Department, and the Regional Organized Crime Information Center (ROCIC). The Federal Bureau of Justice Assistance, which is a component of the U.S. Department of Justice, supported the event with a grant.
The course, which takes place today and Wednesday, brings trainers from Utah, Virginia, Georgia and Washington, D.C., to instruct those engaged in the prevention, investigation, and prosecution of criminal street gangs, violent felons and firearms perpetrators. Subjects covered at the training include: gangs and guns, drugs and guns, a presentation on a “Prima Facie” gun case, federal firearms prosecution of domestic violence offenders, search and seizure, and characteristics of armed criminals.
“This course gives personnel from attorneys and law enforcement offices on a federal, state and local level the opportunity to sharpen their investigative and prosecutorial skills,” Finley said. “The information provided at this course will give those attending the tools to better bring criminals to justice. I am proud that the Western District was the site for this event. I also want to thank the U.S. Attorneys from the Middle and Eastern District of Louisiana, Walt Green and Dana Boente, the National District Attorneys Association, the Lafayette Police Department, and the Regional Organized Crime Information Center for co-hosting the event with the Western District.”
“Our overall goal is to increase knowledge of gang activity and help improve the response of law enforcement and prosecutors to gun violence cases,” said Brent Berkley, director of National Center for Community Prosecution for the National District Attorneys Association (NDAA). “We worked closely with Louisiana’s U.S. Attorneys to figure out which courses would address the crime problems they face.”Space is still available for lawyers, investigators, and paralegals in local, state, federal and military government attorneys’ offices, and law enforcement officers in local, state, and federal military offices who may wish to attend. There is no fee for registration. Continuing Legal Education (CLE) credits are available for those attending the course.
For more information or if you would like to register online, visit the NDAA at www.ndaa.org, call their office at 703-549-9222, or the U.S. Attorney’s Office, Western District of Louisiana, at 337-262-6618.
Convicted Felon Sentenced for Possession of A FirearmRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that Derek Edward Miller, age 31, of Thomasville, Georgia, was sentenced on Monday, August 26, 2013,by the Honorable Hugh Lawson, Senior United States District Judge in Valdosta, Georgia, to serve 262 months in prison for possession of a firearm by a convicted felon.
As part of his plea of guilty, Mr. Miller admitted that he possessed a Hi-Point, .380 caliber, Model CF handgun that had been reported stolen from a residence in Thomas County, Georgia. In addition to this firearm, which Mr. Miller admitted to stealing and possessing in his plea, court records revealed that Mr. Miller’s criminal history involved three previous burglaries which subjected him to enhanced sentencing as an armed career criminal.
“As a convicted felon, Mr. Miller had no business possessing a firearm, especially one that had been stolen. The choices that he made in his past, particularly those that caused him to be classified as an armed career criminal, have now resulted in a prison sentence of more than 20 years,” said United States Attorney Michael Moore.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Assistant United States Attorney Peter Leary.
Inquiries regarding the case should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney's Office at (478) 621-2602.
Chicago Accountant Sentenced to 63 Months in Federal Prison for Stealing $4.3 Million from Clients and Cheating IRSRead the Press Release
CHICAGO – A former Chicago accountant was sentenced today to more than five years in federal prison for embezzling more than $4.3 million from trust accounts that he was supposed to be managing for the benefit of clients and also cheating the government of more than $1.7 million in federal taxes on the money he stole. The defendant, ROBERT ROME, spent the money he stole to pay extravagant personal expenses, including cars, a boat, vacation homes in Florida, and jewelry for himself and his family.
Rome, 66, of Chicago, was the managing partner of the former Rome Associates LLP accounting firm in downtown Chicago. One of his largest clients was a family that owned a group of plumbing wholesale supply companies and he provided accounting and tax services to the family members and their businesses. Rome had sole authority to sign checks, transfer funds, and sign tax returns for the trusts he managed. He used his unlimited access to embezzle money between 2003 and 2007 by writing checks payable to himself or his firm. In addition to the trust funds, he stole money from a family investment partnership account and an account of the estate of a deceased family member.
Rome pleaded guilty to wire and tax fraud in September 2012. U.S. District Judge James Zagel sentenced him to 63 months in prison, telling Rome that his betrayal of the family’s trust made his crime worse than if he had invaded the victims’ homes and stolen their money. Rome was ordered to begin serving his sentence on Oct. 30, and was ordered him to pay $1,786,053 in restitution to the Internal Revenue Service. Rome filed false federal income tax returns between 2004 and 2006 and failed to file a return for 2007. The judge also placed Rome on three years of supervision following his release from prison and barred him from working as an accountant or financial advisor.
There was no restitution ordered to the victim family members because they eventually recovered the stolen funds from third parties.
The sentence was announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois; Robert G. Shields, Jr., Acting Special Agent-in-Charge of the Federal Bureau of Investigation in Chicago; and James C. Lee, Special Agent-in-Charge of the Internal Revenue Service Criminal Investigation Division.
The government was represented by Assistant U.S. Attorney Brian Havey.
Charlotte Man Handed Down 11-Year Prison Sentence for the Armed Robbery of A Family Dollar StoreRead the Press Release
CHARLOTTE, N.C. – On Monday, August 26, 2013, Chief U.S. District Judge Frank D. Whitney sentenced a Charlotte man on charges stemming from the 2010 armed robbery of a Family Dollar store, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. Robert Hikeen Seigle, a/k/a “Bam Bam,” 23, of Charlotte, was ordered to serve 136 months in prison, followed by three years of supervised release.
Wayne L. Dixie, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Rodney D. Monroe of the Charlotte-Mecklenburg Police Department (CMPD) join U.S. Attorney Tompkins in making today’s announcement.
According to court documents and today’s sentencing hearing, on the morning of October 3, 2010, Seigle robbed a Family Dollar store located on University City Boulevard in Charlotte. Seigle, who had previously worked for Family Dollar, entered the store shortly after it opened and pulled a gun on the Family Dollar employee working at the cash register. Court records indicate that Seigle pointed the gun at the employee, racked the slide on the pistol and asked the employee if he wanted to die. Seigle stole $100 from the cash register and then walked the employee at gun point to the back of the store. According to information in court documents and court proceedings, Seigle then bound the employee’s hands together at the wrist with wire ties and shoved the employee into the men’s restroom. Seigle barricaded the restroom door with shelves of merchandise and fled the store. When CMPD officers arrested Seigle on October 15, 2010, he had in his possession the same .45 caliber pistol used during the Family Dollar store robbery. In October 2011, Seigle pleaded guilty to Hobbes Act robbery, and to possession and brandishing a firearm during and in relation to a crime of violence.
In announcing the 11-year sentence, Judge Whitney stated that the robbery was an “extraordinarily dangerous offense.” Judge Whitney observed that Seigle was lucky that he and the victims were not injured.
Seigle is currently in local federal custody in the Western District of North Carolina and will be transferred into the custody of the Federal Bureau of Prisons upon designation of a federal facility. Federal sentences are served without the possibility of parole.
The investigation was handled by ATF and CMPD. The prosecution for the government was handled by Assistant U.S. Attorney Robert Gleason of the U.S. Attorney’s Office in Charlotte.
Chain Gang Defendant Sentenced to 30 Years in PrisonRead the Press Release
ROCHESTER, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Russell “TJ” Hampton, 23, of Rochester, N.Y., who was convicted following a jury trial of conspiracy to engage in racketeering activity (RICO), which included narcotics trafficking, murder, attempted murder and weapons possession, was sentenced to 30 years in prison and 10 years supervised release by U.S. District Court Judge Charles J. Siragusa.
Assistant U.S. Attorney Douglas E. Gregory, who handled the prosecution of the case, stated that in 2009, state and federal authorities focused their attention on the “Chain Gang” aka “Wolfpack,” a violent street crew that controlled the streets in the area of Chamberlain and Garson Avenues in Rochester. The federal indictment charged 19 gang members with conspiring to use their membership in the Chain Gang to engage in a pattern of racketeering activity that included multiple acts of drug trafficking, the 2007 murder of Carmella Rogers and the attempted murder of several rival gang members.
In July 2011, Hampton was convicted along with Dearick Smith and Michael Jackson after a five week jury trial. In July 2013, Dearick Smith was sentenced to 50 years in prison for his role in the offense. All remaining defendants have been convicted.
“Today’s sentencing is an example of the severe punishment that awaits all gang members who engage in violence and drug trafficking,” said U.S. Attorney Hochul. “The streets of our community are no place for such destructive actions and our Office will continue to prosecute any individual or group of individuals who engage in such illicit behavior.”
The sentencing is the culmination of an investigation on the part of Special Agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Resident Agent in Charge Scott Heagney, along with officers and investigators with the Rochester Police Department, under the direction of Chief James Sheppard.Campaign Worker Sentenced to 38 Months in Prison for Role in Illegal Contribution SchemeRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and Kimberly K. Mertz, Special Agent in Charge of the Federal Bureau of Investigation, announced that ROBERT BRADDOCK, JR., 34, was sentenced today by United States District Judge Janet Bond Arterton in New Haven to 38 months of imprisonment, followed by one year of supervised release, for participating in a scheme to direct illegal campaign contributions into the campaign of a candidate for the U.S. House of Representatives. BRADDOCK was also ordered to pay a $7,500 fine.
“In imposing this sentence, the Court has made clear the risks of violating federal campaign laws,” stated Acting U.S. Attorney Daly. “These corrupt acts erode our trust in the integrity of our democratic electoral system. Transparency in our elections and the legislative process is critical to ensuring honest government. Federal law enforcement will not sit by as individuals attempt to buy the influence of elected officials for personal gain. I applaud the excellent work of the FBI and our prosecution team in bringing this case to justice.”
“This sentence sends a message that knowingly concealing the origin of campaign contributions is a serious crime which cannot and will not be tolerated,” stated FBI Special Agent in Charge Mertz. “Hopefully, those inclined to disregard campaign finance laws and diminish the voting public’s faith in our election process will be deterred by taking notice that federal prison is a very real possibility.”
On May 21, 2013, a jury convicted BRADDOCK of one count of conspiring to make false statements to the FEC and to defraud the U.S. by impeding the function of the FEC, one count of accepting more than $10,000 in federal campaign contributions made by persons in the names of others and one count of causing a false report to be filed with the FEC.
According to the trial evidence, court documents and statements made in court, in August 2011, the State of Connecticut applied for a court order enjoining Roll Your Own (“RYO”) smoke shops from continuing to operate without complying with state law governing tobacco manufacturers. RYO smoke shops are retail businesses that sell loose smoking tobacco and cigarette-rolling materials and offer customers the option of paying a “rental” fee to insert the loose tobacco and the rolling materials into a RYO machine, which is capable of rapidly rolling large quantities of cigarettes. Customers did not pay a tax on the RYO cigarettes when rolled by the RYO machines, in contrast to cigarettes purchased over-the-counter.
Paul Rogers and George Tirado co-owned Smoke House Tobacco, a RYO smoke shop with two locations in Waterbury. Fearing that the Connecticut General Assembly would enact legislation harmful to RYO smoke shop owners’ business interests during the 2012 legislative session, Rogers, Tirado, Harry Raymond “Ray” Soucy, David Moffa, Benjamin Hogan and others engaged in a scheme to direct conduit contributions into the campaign of Christopher Donovan, a candidate for the U.S. House of Representatives. At the time, Donovan was also the Speaker of the Connecticut House of Representatives. As part of the scheme, the co-conspirators recruited multiple individuals to serve as conduit contributors to the campaign. These individuals permitted checks to be written in their own names to the campaign, and certain conspirators reimbursed them with cash, thereby concealing the fact that RYO smoke shop owners were contributing to the campaign.
BRADDOCK, the Finance Director of the Donovan for Congress campaign, and Joshua Nassi, the Campaign Manager, knew that Soucy, Rogers and others opposed legislation that would harm the business interests of the RYO smoke shop owners. In November and December 2011, Rogers, Soucy, Tirado, Moffa, Hogan and others made four $2,500 conduit contributions to the Donovan for Congress campaign.
On April 3, 2012, Soucy contacted Nassi and told him that RYO owners wanted to provide additional contributions to the campaign. That same day, the Connecticut General Assembly’s Joint Committee on Finance, Revenue and Bonding voted in favor of Senate Bill 357, legislation that would have deemed RYO smoke shop owners to be tobacco manufacturers under Connecticut law, a designation that would have subjected RYO smoke shop owners to a substantial licensing fee and tax increase. Later that day, Soucy contacted Nassi again to state his displeasure with the vote.On April 11, 2012, Soucy, Rogers and an FBI special agent working in an undercover capacity delivered four $2,500 checks in the names of conduit contributors to Nassi and Braddock. On April 23, 2012, Nassi advised Soucy that one of the checks had bounced and Soucy indicated that the contributor had been given cash to deposit. Nassi stated that the campaign needed the check by midnight the following day, and Soucy delivered a replacement check by that deadline. On May 2, 2012, the Campaign submitted a fundraising report to the Federal Election Commission (FEC) stating that the four contributions given in April were from the conduit contributors when, in fact, they were not.
Over the next two weeks, Nassi continued to advise Soucy on the status of the RYO legislation and Soucy told Nassi that he would be delivering an additional $10,000 if the legislation died. On May 9, 2012, the legislative session ended and the legislation had not been called for a vote by either chamber of the General Assembly.
On May 14, 2012, Soucy, Rogers and Hogan met at Smoke House Tobacco where Soucy provided Rogers with $10,000 in cash to be used to reimburse additional conduit contributors. Prior to the meeting, Hogan had approached Waterbury business owner Daniel Monteiro and an employee of Monteiro’s and asked them to serve as conduit contributors. Monteiro subsequently wrote a $2,500 check to the campaign, and his employee obtained a bank check in the amount of $2,500. Both were assured that they would be reimbursed. These two checks, and another $2,500 bank check drawn on Hogan’s own account but not in his name, were given to Soucy at the meeting. Also, at Nassi’s request, Rogers gave Soucy a fourth $2,500 check from a conduit contributor that was payable to a political party. Soucy delivered the four checks to Nassi at a political event later that day. As he was exiting the event, Soucy encountered BRADDOCK and stated that “twenty thousand was well worth it….And another ten grand.” BRADDOCK responded, “You’re the man.”
On May 15, 2012, BRADDOCK and Soucy had a telephone conversation related to the four conduit checks that Soucy had delivered the previous day, and BRADDOCK indicated that he needed additional identifying information for Benjamin Hogan for FEC reporting purposes. During the conversation, Soucy stated that a previous contributor “had bounced a check even though you put the money right in their hands.” He later stated, “…grabbing these drunks and drug addicts and say ‘Here, write this check…,” to which BRADDOCK responded, while laughing, “Hey, it works.”
Later that day, Soucy called BRADDOCK to inform him that Hogan was a RYO smoke shop “owner,” his check should not be deposited and that Soucy would provide a replacement check. BRADDOCK stopped the check from being deposited.
On May 16, 2012, Soucy met Nassi and provided him with a replacement $2,500 check in the name of someone who was not affiliated with any RYO shops.
In addition to the testimony of Soucy, Rogers, the undercover FBI special agent and others, the trial evidence included numerous audio and video conversations that were recorded during the course of the investigation.
Soucy, Rogers, Nassi, Moffa, Tirado, Hogan and Monteiro each pleaded guilty to charges related to this scheme. On June 12, 2013, Moffa was sentenced to 24 months of imprisonment and a $5,000 fine. The other defendants await sentencing.
This matter is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorneys Christopher M. Mattei and Eric J. Glover.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Camp Hill Marijuana Trafficker Pleads GuiltyRead the Press Release
The United States Attorney's Office for the Middle District Pennsylvania announced that Andrew Angle, age 26, from Camp Hill, entered a guilty plea today before U.S. District Court Judge Christopher C. Conner to conspiracy to distribute marijuana between December 2011 and March 2012.
According to United States Attorney Peter J. Smith, Angle also forfeited over $50,000 in cash and drug proceeds seized from a bank account, safe deposit box, and locations affiliated with Angle. Angle has contested forfeiture of $28,000 in cash taken from one of his bank accounts. That forfeiture will be decided by the court at a later proceeding.
The case was investigated by the DEA, Dauphin County Drug Task Force and the Cumberland County Drug Task Force. Prosecution is assigned to Assistant United States Attorney Michael A. Consiglio.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is five years’ imprisonment and a term of supervised release following imprisonment and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.Cambridge Man Pleads Guilty to Attempted Murder of A U.s. Marshals Service Task Force OfficerRead the Press Release
Defendant Fired Many Shots at Officers Serving Him With an Arrest Warrant
Baltimore, Maryland – Tayvon Dobson, age 23, of Cambridge, Maryland, pleaded guilty today to attempted murder of a federal officer and using a gun during the attempted murder.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Dorchester County State’s Attorney William H. Jones; Cambridge Police Chief Kenneth W. Malik; U.S. Marshal Johnny Hughes; Dorchester County Sheriff James W. Phillips, Jr.; and Colonel Marcus L. Brown, Superintendent of the Maryland State Police.
According to his plea agreement, on February 29, 2012, members of the Maryland State Apprehension Team/Capital Area Regional Fugitive Task Force of the U.S. Marshals Service and the Cambridge, Maryland Police Department arrived at a residence divided into individual apartments on Hubbard Street in Cambridge to serve an arrest warrant for Dobson. The arrest warrant charged Dobson with first degree assault and other related charges.
A Task Force detective and a supervisory inspector wore official tactical style police vests with bright yellow or white letters signifying “SHERIFF” or “Police US MARSHAL” across the back along with a Task Force or a “Police US Marshal” patch on the front. Shortly after their entry into one of the apartments, Dobson’s movements were heard across the hall in apartment #1. Officers shouted at Dobson to open the door. Within minutes gunshots from apartment #1 were directed at law enforcement located outside the residence at their unmarked police vehicles. After the Task Force detective in apartment #2 realized that he could not safely escape that apartment through the hallway, he barricaded the bedroom door with a mattress and dresser.
Shots continued to ring out from apartment #1 as other officers yelled to Dobson to surrender. After several minutes of gunfire, the detective heard Dobson reload a firearm and Dobson began to shoot again. The detective was able to see into the hallway and the front door of apartment #1. Seconds later, the detective saw Dobson leave the apartment and stop in the hallway. Dobson saw the detective no more than 15 feet away and began to fire. The detective fired back while still barricaded in the bedroom of apartment #2. After several volleys of gunfire, the detective felt a sharp pain in his left shoulder, but continued to fire at Dobson. When Dobson left the hallway, the detective saw blood rapidly coming from his wound. The detective broke through the bedroom window and rolled out to the ground. Once on the ground he ran with other officers to safety. He was taken to a hospital where he had surgery.
Dobson continued to shoot at the remaining officers. Four hours after law enforcement first entered the building, Dobson finally surrendered. All of the rooms of Dobson’s residence were riddled with bullet holes. Three firearms were seized, two of which had been used to fire from inside the apartment, as well as a magazine, several rounds of live ammunition and numerous spent shell casings and projectiles.
Dobson and the government have agreed that if the Court accepts the plea agreement Dobson will be sentenced to between 24 and 30 years in prison. U.S. District Judge Catherine C. Blake scheduled his sentencing for October 31, 2013 at 11:00 a.m.
United States Attorney Rod J. Rosenstein commended the ATF, Dorchester County State’s Attorney’s Office, Capital Area Regional Fugitive Task Force of the United States Marshals Service, Cambridge Police Department, U.S. Marshals Service, Dorchester County Sheriff’s Office and the Maryland State Police for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Debra L. Dwyer, who is prosecuting the case.
Callaway County Man Sentenced for Facilitating Brother's Drug-trafficking ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Callaway County, Mo., man has been sentenced in federal court for facilitating his brother’s drug-trafficking conspiracy. Two other individuals from mid-Missouri have also been sentenced for their roles in the drug-trafficking conspiracy.
Gary Randall Holloway, 34, of Callaway County, was sentenced by U.S. Chief District Judge Fernando J. Gaitan on Monday, Aug. 26, 2013, to four years in federal prison without parole, the statutory maximum penalty.
In a separate but related case, Jeffrey Cordell Patterson, 41, of Fulton, and Damon Reed Lower, 37, of Columbia, Mo., were also sentenced yesterday for their roles in the drug-trafficking conspiracy. Patterson was sentenced to seven years and six months in federal prison without parole. Lower was sentenced to two years and six months in federal prison without parole.
On March 18, 2013, Gary Holloway pleaded guilty to using a telephone to facilitate a drug-trafficking conspiracy. Federal investigators intercepted telephone calls between Gary Holloway and his brother, Jason Randall Holloway, 33, of Callaway County. During those conversations, Gary Holloway made arrangements to pay his brother for two pounds of marijuana he had been fronted. Gary Holloway later admitted that his brother had fronted him the marijuana so that he could make money after his release from prison.
Jason Holloway awaits sentencing after pleading guilty in the separate but related case to participating in a conspiracy to distribute 100 kilograms or more of marijuana and five kilograms or more of cocaine from 2007 to September 2010. Jason Holloway also pleaded guilty to three additional counts of possessing marijuana with the intent to distribute, distributing marijuana and possessing marijuana and cocaine with the intent to distribute.
At the time of his guilty plea, Jason Holloway acknowledged that he had been acquiring approximately 50 pounds of marijuana and one kilogram of cocaine each month for the past two years from his sources in Kansas City, Mo. – primarily co-defendant Jaime Cerros-Perez, also known as Leonel Espinoza, Jr., 31. Cerros-Perez was sentenced on Sept. 27, 2012, to seven years and three months in federal prison without parole after pleading guilty to his role in the conspiracy.
Jason Holloway stored bulk amounts of marijuana at Lower’s residence. Law enforcement officers seized approximately 117 pounds of marijuana from that residence on July 10, 2010.
Lower pleaded guilty on Feb. 25, 2013, to his role in the conspiracy to distribute marijuana. As part of his plea, Lower admitted that he began buying distribution amounts of marijuana from Jason Holloway in mid-to-late 2007 and that in November 2007 he began transporting bulk shipments of marijuana from the Kansas City area. Lower estimated that he made one to two trips a month, usually acquiring 50-100 pounds.
On March 18, 2013, Patterson pleaded guilty to his role in the conspiracy to distribute cocaine. Patterson’s plea agreement acknowledged that he had been intercepted multiple times on the telephone in what were believed to be drug-related conversations and that, according to a co-defendant statement, Patterson was Jason Holloway’s primary cocaine customer, buying approximately nine ounces of cocaine three times a month for between $1,000 and $1,200 per ounce.
This case was being prosecuted by Assistant U.S. Attorney Lauren E. Kummerer. It was investigated by the Drug Enforcement Administration, MUSTANG (the Mid-Missouri Unified Strike Team And Narcotics Group), the Fulton, Mo., Police Department, the Missouri State Highway Patrol, the Columbia, Mo., Police Department, the Callaway County, Mo., Sheriff’s Department and the Boone County, Mo., Sheriff’s Department.
Businessman Sentenced to Two Years in Prison for Bribing Former Gwinnett County CommissionerRead the Press Release
ATLANTA - Mark Gary has been sentenced for bribing former Gwinnett County Commissioner Shirley Lasseter in 2009 to secure approval of a proposed waste transfer station in which he held a personal stake.
United States Attorney Sally Quillian Yates said, “Businessmen who pay to play are making a losing bet. Mr. Gary will now pay with his freedom for corrupting Gwinnett County’s approval of competing real estate developments.”
Mark F. Giuliano, Special Agent in Charge, FBI Atlanta Field Office, stated: “Today’s sentencing illustrates the consequences of bypassing proper procedures of securing contracts and doing business with government agencies. The FBI will continue to provide its investigative resources and expertise in addressing public corruption matters at all levels of government.”
According to United States Attorney Yates, the charges and other information presented in court: Mark Gary is a local Gwinnett County businessman. In or about October 2008, Gary sought to develop a $4 million solid waste transfer station, which would serve as a way station in the trash collection process, consolidating trash from haulers for shipment to more distant landfills. Gary submitted the necessary application to obtain the requisite County approvals and permits, which required approval by the Gwinnett County Board of Commissioners.
Shirley Lasseter was elected to the Gwinnett County Board of Commissioners as the District 1 representative in the fall of 2008 and took office in January 2009. Gary worked to help get Lasseter elected as a county commissioner. Almost immediately after taking office, Lasseter appointed Gary to the Gwinnett County Planning Commission.
In March or April 2009, Gary spoke with Lasseter and her son, John Fanning, about Gary’s pending application to allow development of the solid waste transfer station. Gary offered money to Lasseter and Fanning, who discussed amounts with Gary of as much as $100,000, in exchange for Lasseter’s Commission vote to approve the pending application. Given her public position and to avoid any scrutiny, Lasseter directed Gary to speak with and to provide the money to Fanning.
Gary’s permit application came before the Commission for approval on April 28, 2009. Consistent with her agreement with Gary, Lasseter voted to approve the development. Several months later, Gary lived up to his end of the bargain. In June 2009, Gary paid Fanning $30,000. Gary paid this amount by giving Fanning $30,000 worth of chips at an out-of-state casino.
Gary, 40, of Duluth, Ga., was sentenced to two years in prison to be followed by three years of supervised release. Gary was convicted on October 1, 2012, after he pleaded guilty to an Information charging him with this crime.
Lasseter was sentenced on September 5, 2012, to serve two years, nine months in prison for her role in accepting illegal bribes. Her son, John Fanning, was sentenced on September 18, 2012, to four years, nine months in prison for his role in soliciting and accepting illegal bribes for his mother, as well as a drug offense.
This case is being investigated by the Federal Bureau of Investigation.
Assistant United States Attorney Douglas W. Gilfillan prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao/gan/.
Branford Resident Admits Running Ponzi SchemeRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that FEISAL SHARIF, 43, of Branford, waived his right to indictment and pleaded guilty today before United States District Judge Stefan R. Underhill in Bridgeport to fraud offenses stemming from his operation of a Ponzi scheme that defrauded investors of approximately $3.6 million.
According to court documents and statements made in court, from approximately 2003 to September 2012, SHARIF ran an investment fraud scheme through First Financial, LLC, a firm he operated out of his Branford residence. As part of the scheme, SHARIF convinced numerous individuals to give him money to invest in what they believed was a commodity pool to profit from trading in commodity futures. In an effort to make investors believe that their money was safely invested and earning a sizeable return, SHARIF regularly would make monthly payments to investors, falsely claiming they represented returns on their investments. He also supplied investors with monthly statements from First Financial that falsely reported the purported balances of their investments and their rate of return on the investments.
In reality, SHARIF was simply paying existing investors with new money he raised from other investors. Very little of the investment money he raised was used to trade in commodity futures, and what he did invest in commodity futures did not generate returns anywhere near those he reported to investors.
Through this scheme, SHARIF defrauded more than 50 investors of approximately $3.6 million. Many of these victims were relatives, friends and people he knew through their common connection with a religious institution.
SHARIF pleaded guilty to one count of fraud by a commodity pool operator, which carries a maximum term of imprisonment of 10 years, and one count of wire fraud, which carries a maximum term of imprisonment of 20 years. Judge Underhill has scheduled sentencing for November 19, 2013.
This matter is being investigated by the Federal Bureau of Investigation and the United States Postal Inspection Service. Acting U.S. Attorney Daly also acknowledged the assistance of the Commodity Futures Trading Commission and the State of Connecticut Department of Banking. The case is being prosecuted by Assistant U.S. Attorney Paul Murphy.
Citizens are encouraged to report any financial fraud schemes by calling, toll free, 855-236-9740, or by sending an email to [email protected].
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Bowie Realtor and Leader of $5.95 Million Mortgage Fraud Scheme Sentenced to over 3 Years in PrisonRead the Press Release
Greenbelt, Maryland - U.S. District Judge Peter J. Messitte sentenced Daniel Ofei, age 39, of Bowie, Maryland, today to 37 months in prison, followed by five years of supervised release, for conspiracy to commit wire fraud in connection with a mortgage fraud scheme involving losses of at least $5 million. Judge Messitte also entered an order that Ofei pay restitution of $5,950,000.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Inspector General Jon T. Rymer of the Federal Deposit Insurance Corporation; Special Agent in Charge Kathy Michalko of the United States Secret Service – Washington Field Office; and Special Agent in Charge Cary A. Rubenstein of the Housing and Urban Development Office of Inspector General - Office of Investigations.
According to his plea agreement, from at least June 2006 to April 2009, Ofei, a licensed realtor, conspired with Michael Abobor, Jared Fanning, and others to use straw buyers to obtain fraudulent mortgages using false financial and employment information, to purchase homes in Maryland. Abobor was also a licensed realtor and Fanning, a mortgage broker at the time, assisted Ofei and Abobor in obtaining the fraudulent mortgages.For example, in early 2006, Ofei’s wife wanted to purchase a home in Silver Spring, Maryland. Ofei, serving as his wife’s real estate agent, assisted his wife in obtaining a mortgage by providing Fanning with false information regarding his wife’s income, citizenship, and intent to occupy the property as a primary residence. Ofei knew that his wife would not have qualified to obtain the mortgage with truthful financial information. Ofei’s wife purchased the house and Ofei collected approximately $16,471 in commission from the transaction. The home was sold short in 2008, resulting in a $150,000 loss to the bank.
In 2006 and 2007, Ofei facilitated the purchase of at least four other properties in a similar manner. For each loan application Ofei provided Fanning with fraudulent information about the borrower’s employment and income, knowing that the buyer would not have qualified for a mortgage with truthful financial information. Based on these fraudulent applications, the victim lending institutions funded loans that totaled hundreds of thousands of dollars, resulting in substantial commission payments to Ofei and his co-conspirators. Eventually, each of the loans fell into default, causing large losses to the victims.
In all, Ofei, Abobor and their business partners recruited approximately thirty straw buyers, arranged more than 50 real estate transactions, caused more than $5,956,000 in losses to financial institutions, took in excess of $333,000 in real estate commissions, and collected over $1,200,000 in extra money from the transactions in the form of payments for renovations that were never completed.
Michael Abobor, age 38, of Bowie, Maryland and Jared Fanning, age 34, of Potomac, Maryland, have both pleaded guilty to their roles in the conspiracy. Two other co-conspirators, Emeka Udeze, age 38 of Bowie, a licensed mortgage broker, and Shola Risikat Balogun, age 46, of Upper Marlboro, Maryland, have also pleaded guilty in the scheme. All are awaiting sentencing.
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 www.justice.gov/usao/md/Mortgage-Fraud/index.html.
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 praised the FDIC Office of Inspector General, U.S. Secret Service and the Department of Housing and Urban Development Office of Inspector General for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Sujit Raman, who prosecuted the case.
Boise Man Sentenced for Passing Counterfeit $50 Notes in Several Idaho CommunitiesRead the Press Release
BOISE – William W. Hanson, 35, of Boise, Idaho, was sentenced today in United States District Court to 15 months in prison followed by three years of supervised release for passing counterfeit obligations and securities, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also ordered Hanson to pay $1,550 in restitution to the victims and pay a $100 special assessment. He pleaded guilty to the charge on June 10, 2013.
According to the plea agreement, on March 26, 2013, Hanson passed a counterfeit $50 Federal Reserve Note at a restaurant in Cambridge, Idaho. Hanson admitted to knowing the note was in fact a $5 note that had been bleached and printed to look like a $50 note. Later that day, the Washington County Sheriff’s Office arrested Hanson in possession of four additional $5 notes that were bleached and reprinted to look like $50 notes. A subsequent investigation found that prior to his arrest, beginning on approximately March 10, Hanson passed 30 similar counterfeit $50 notes in Burley, Twin Falls, Boise, Garden City, Nampa, Eden, Horseshoe Bend, Donnelly, McCall, New Meadows, Council, and Cambridge, Idaho. Hanson agreed to pay restitution to the victims.
The case was investigated by the United States Secret Service and the Washington County Sheriff’s Office.
Bergen County, N.J., Man Arrested for Making False Report of Kidnapping of Online “Teenage Girl” to U.S. EmbassyRead the Press Release
NEWARK, N.J. – A Bergen County, N.J., man who allegedly used the internet and social media to create a fictitious high school girl, used that fake identity to establish an online relationship with another person and then falsely reported the girl’s kidnapping to a U.S. Embassy was arrested today by federal officials, U.S. Attorney Paul J. Fishman announced.
Andriy Mykhaylivskyy, a/k/a/ “Andriy Haddad,” 18, of Rutherford, N.J., was arrested this morning and charged by complaint with making false statements to a United States official. He is scheduled to make his initial appearance this afternoon before U.S. Magistrate Judge Steven C. Mannion in Newark federal court.
According to the complaint:
In late August 2012, Mykhaylivskyy, allegedly posing as Kate Brianna Fulton, began an online relationship with a high school classmate identified in court papers as “Individual One.” Law enforcement investigation determined Kate Fulton was a fictitious person created by Mykhaylivskyy on Facebook using photographs of an actual high school student taken from an unsecured Facebook page without her knowledge or permission.
On July 2, 2013, Mykhaylivskyy, using an alias, called the U.S. Embassy in Chisinau, Moldova, and reported that his girlfriend, “Kate Fulton,” a United States citizen, had been kidnapped in Bulgaria on June 28, 2013. The online relationship continued until Kate’s alleged kidnapping, with Mykhaylivskyy maintaining the relationship online and via text messaging.
Mykhaylivskyy independently befriended Individual One, claimed to know Kate Fulton, and confirmed details regarding Kate Fulton.
On July 8, 2013, the U.S. Embassy in Sofia, Bulgaria, received a telephone call from Individual One seeking assistance regarding the kidnapping of Kate Brianna Fulton, whom Individual One reported was kidnapped while she was vacationing in Burgas, Bulgaria. Individual One provided the Embassy with tweets that Individual One received on June 29, 2013, a day after the purported kidnapping, from Kate Brianna Fulton’s Twitter account. One tweet was of a number that Individual One believed to be Kate’s local Bulgarian cell phone and the other read, “Someone help me.”
After receiving the second report of the kidnapping, federal agents from the U.S. Embassy Sofia, Bulgaria, Regional Security Office and the headquarters of the Bureau of Diplomatic Security in Northern Virginia engaged in an extensive investigation to locate Kate Brianna Fulton and also received assistance from Bulgarian law enforcement. Bulgarian police combed hotels, hostels and other lodgings in Burgas seeking information on the missing girl and the Bulgarian border police searched incoming passenger records.
This law enforcement investigation revealed that Kate Brianna Fulton was a fictitious person created by Mykhaylivskyy, and that the high school student whose pictures were used without her permission was safe and in the United States.
The count of making false statements with which Mykhaylivskyy is charged is punishable by a maximum of five years in prison and a fine of $250,000.U.S. Attorney Fishman credited special agents of the U.S. Department of State’s Bureau of Diplomatic Security in Embassy Sofia, the DSS Office of Protective Intelligence Investigations, the DSS New York Field Office and the New York and Newark Joint Terrorism Task Forces, for the investigation leading to today’s arrest.
The government is represented by Assistant U.S. Attorney Sara F. Merin of the U.S. Attorney’s Office General Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
13-347Mykhaylivskyy Complaint
Bank and Pharmacy Bandit Sentenced to 57 YearsRead the Press Release
A 42-year-old Oak Park man was sentenced today to 684 months in federal prison without parole for committing armed robberies, U.S. Attorney Barbara L. McQuade announced.
Joining in the announcement was Robert D. Foley, III, Special Agent in Charge of the Detroit Division of the Federal Bureau of Investigation.
The sentence was handed down by United States District Judge Arthur J. Tarnow. The defendant, Alfred Ross Wingate, Jr., was convicted at a jury trial in March.
The evidence presented at trial established that Wingate, a multi-convicted felon on parole for murder, conspired with seven other people to commit bank robbery and pharmacy robbery with firearms during the spring and summer of 2011. Wingate was one of two gunmen who robbed the Grosse Pointe Woods branch of Citizens Bank on May 18, 2011, Medicap Pharmacy in Warren on June 18, 2011 and Ferndale Pharmacy on July 11, 2011.
“Violent criminals who use guns can expect to be charged in federal court, where they face long prison sentences.” McQuade said. “Armed robberies risk a loss of life that we cannot tolerate.”
FBI Special Agent in Charge Foley said, “Violent criminals who use guns to threaten lives during robberies and other crimes will face severe penalties for their illegal acts. The FBI is committed to working with its law enforcement partners to ensure the safety of our communities.”
The case was investigated by Special Agents of the FBI, the Warren Police Department, the Ferndale Police Department and the Grosse Pointe Woods Department of Public Safety. It was prosecuted by Assistant United States Attorney Kenneth Chadwell.
Baltimore Crack Dealer and Previously Convicted Felon Exiled to 10 Years in PrisonRead the Press Release
Baltimore, Maryland - U.S. District Judge Catherine C. Blake sentenced Craig Martin, age 40, of Baltimore, Maryland, today to 10 years in prison, followed by four years of supervised release, after Martin pleaded guilty to possession with intent to distribute crack cocaine. Judge Blake found that Martin is a career offender based on at least two previous drug convictions.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore City State’s Attorney Gregg L. Bernstein; and Baltimore Police Commissioner Anthony W. Batts.
According to Martin’s plea agreement, on May 16, 2012, ATF agents and task force officers executed a search warrant at Martin’s residence in the 5500 block of Cedonia Avenue in Baltimore. Martin was found in the kitchen of the house. Stairs to the basement, where Martin and his wife appeared to be living, were located in the kitchen. During the execution of the search warrant, agents found a clear plastic bag in the kitchen garbage can containing five clear plastic baggies, each of which contained at least 20 small ziplock baggies with crack cocaine. The total weight of the crack cocaine was approximately 12 grams. Agents also found a digital scale with cocaine residue and blue ziplock packaging materials in the dining room.
At today’s sentencing hearing the government also presented evidence that during the search, agents also found a box of .45 caliber ammunition in a dresser drawer in Martin’s basement bedroom and a box of .44 caliber ammunition on top of the dresser. Martin is prohibited from possessing a gun or ammunition as a result of his previous felony convictions.
United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney=s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Kenneth S. Clark, who prosecuted the case.