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23 August 2013
Clay County Men Indicted for Tax Refund FraudRead the Press Release
Jacksonville, Florida - Acting United States Attorney A. Lee Bentley, III announces the return by a grand jury of a superseding indictment charging Antoun Arbaji and Abas Issa with one count of conspiracy, six counts of theft of government property and six counts of aggravated identity theft. If convicted, each faces a maximum penalty of five years in federal prison for the conspiracy charge, up to 10 years for each theft of government property charge, and 2 consecutive years for each aggravated identity theft charge. Arbaji faces an additional charge of making a false statement to the Department of the Treasury for which he could receive an additional five years in federal prison.
According to the indictment, Issa obtained tax refund checks that were the result of fraudulently filed tax returns that had been prepared by others, using stolen personal identification information. Many of the returns were prepared using the identities of deceased individuals. Arbaji operated a convenience store ("Fina Express") in Green Cove Springs. Issa provided the fraudulent refund checks to Arbaji, who cashed them using his business, in exchange for a fee. Arbaji then provided the proceeds to Issa. In 2011, Fina Express allegedly cashed 212 fraudulent treasury checks totaling more than $1.5 million.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Internal Revenue Service - Criminal Investigation, the United States Secret Service, and the Florida Department of Law Enforcement. It will be prosecuted by Assistant United States Attorney Mac D. Heavener, III.
Chinese Nationals; Husband and Wife, Sentenced in Counterfeit Sneaker CaseRead the Press Release
BUFFALO, N.Y. – U.S. Attorney William J. Hochul, Jr. announced today that Xiao Cheng Lin, 50, and Ling Zen Hu, 51, of Flushing, N.Y., who were convicted of conspiracy to import goods falsely classified, were sentenced by U.S. District Court Judge Richard J. Arcara. Xiao Cheng Lin was sentenced to one year in prison and a $7,500 fine. Lin’s husband, Ling Zen Hu, was sentenced to six months in prison and a $6,000 fine. The defendants will forfeit $750,000 in cash and other monetary instruments that were seized during a search of their residence in 2007.
Assistant U.S. Attorneys John E. Rogowski and Frank Pimentel, who handled the prosecution of this case, stated that Lin and Hu were involved in the importation of counterfeit Nike sneakers from China which were then distributed throughout the United States. The defendants sold the counterfeit products to a co-defendant in New York City, Malik Bazzi. Bazzi then sold the counterfeit sneakers to several individuals, including individuals in Buffalo and Niagara Falls, who resold the counterfeit products to consumers. Some of the shoes were sold out of the back of vans, at flea markets and clothing stores. As a result of wire taps in the case, Hu was recorded taking orders, discussing payments, and directing the delivery of the counterfeit sneakers to defendant Bazzi. Lin was observed loading sneakers into van at warehouses locations and then delivering them to Bazzi.
During the course of the investigation, over 310,000 pairs of counterfeit sneakers Nike were seized by law enforcement. In addition, over $1,000,000 in cash from the sale of counterfeit sneakers was also seized.
The defendants along with 21 others from around the United States were arrested in September 2007. A total of 22 defendants have been convicted.
The sentencing’s are the culmination of an investigation on the part of Special Agents of the Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of James C. Spero, Special Agent in Charge.California Man Sentenced to 10 years in prison for distribution of child pornographyRead the Press Release
Anchorage, Alaska-U.S. Attorney Karen L. Loeffler announced today that a California man was sentenced in federal court in Anchorage for three counts of distributing child pornography.
Douglas Earl Blakeley, 36, from Riverside, California, was sentenced on August 12, 2013, by U.S. District Court Judge Timothy M. Burgess to 120 months in prison, followed by 20 years of supervised release, for distributing sexually explicit videos and images of children. Blakeley emailed the materials to an email account in Alaska between September 2011 and May 2012.
According to Assistant U.S. Attorney Audrey J. Renschen, over 2,000 images and 72 videos of children being sexually exploited were involved, including images of children under age 12, and “material that portrays sadistic or masochistic conduct or other depictions of violence.”
At Blakeley’s sentencing, Judge Burgess noted the seriousness of his offense, the need to deter this kind of conduct, and the need to protect the public. Judge Burgess also addressed the need for treatment, and the need to avoid sentencing disparities among similarly situated defendants. After serving his 10 years in prison, Blakeley must serve 20 years of supervised release and will be required to comply with special conditions including participating in sex offender assessment and treatment, and registering as a sex offender.
This case was initiated as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse which was launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood combines federal, state and local resources to better identify, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.Ms. Loeffler commends Immigration and Customs Enforcement’s Homeland Security Investigations for their investigation of this case.
California Man Sentenced for Running Fraudulent ClinicRead the Press Release
PHILADELPHIA – George Baginyan, 33, of Glendale, California, was sentenced to two years in prison for operating a fraudulent clinic and defrauding Medicare. Baginyan was the owner of New Era Health Center Inc. (“New Era”), a purported clinic that was located near the Einstein Medical Center in Philadelphia. Between December 2008 and October 2009, Baginyan used the National Provider Identification number (NPI) of an elderly and frail doctor of osteopathy to bill Medicare for medical services and tests, making it appear that the doctor had provided those services and tests when he had not. The doctor had, in fact, never set foot in New Era. In total, Baginyan caused the submission of fraudulent bills to Medicare totaling more than $250,000, which resulted in payments from Medicare totaling $132,848.81. On October 15, 2012, Baginyan pleaded guilty to 10 counts of health care fraud and 10 counts of making false claims to the government. At his plea hearing, Baginyan admitted that he was fully aware of the fraud he was committing when he submitted the phony claims.
In addition to the prison term, U.S. District Court Judge Mitchell S. Goldberg ordered restitution to Medicare in the amount of $132,848.81, a special assessment of $2,000, and three years of supervised release.
“George Baginyan traveled from California to set up a fraudulent Medicare business in Philadelphia where he stole a physician's identity; submitted false claims for unnecessary, substandard medical procedures; and robbed our Medicare program of more than $100,000,” said Special Agent-in-Charge Nick DiGiulio with the Inspector General’s Office of the United States Department of Health and Human Services in Philadelphia. “Other fraudsters should make note of the sentence in this case and should know that HHS-OIG will continue to pursue those who steal from our government health insurance programs.”
The case was investigated by the United States Department of Health and Human Services Office of Inspector General Office of Investigations. It was prosecuted by Assistant United States Attorney Mary E. Crawley.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Cahokia Man Sentenced to 5 Years for Firearm OffenseRead the Press Release
James V. Lomax, 58, of Cahokia, Illinois, was sentenced to 5 years in prison by the United States District Court, East St. Louis, for Unlawful Possession of a Firearm by a Previously Convicted Felon, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Lomax was also ordered to pay a $100 special assessment, a $200 fine and to serve a term of 3 years of supervised release following imprisonment. There is no parole in the federal system. Lomax has been in custody since his arrest on September 9, 2012.
Court documents establish that on September 9, 2012, the St. Clair, County Sherriff’s Department investigated a shooting at a residence in Cahokia, Illinois. During a physical altercation at the residence involving Lomax and another male, Lomax retrieved a firearm from behind a dresser and shot the other man in the abdomen. After the shooting, Lomax left the area and was subsequently arrested in Missouri by the Missouri Highway Patrol, while in possession of the firearm used in the shooting. During an interview with law enforcement, Lomax admitted to possessing the firearm and to shooting a man with the firearm.
Court documents further establish that prior to September 9, 2012, Lomax had been convicted of a crime that was punishable by a term of imprisonment of more than one year.
The case was prosecuted by Assistant United States Attorney Ali Summers and Special Assistant United States Attorney Stephanie Richter.
Brooksville Woman Sentenced to Two Years in Prison for Aggravated Identity TheftRead the Press Release
Tampa, FL - Acting United States Attorney A. Lee Bentley, III announces that U.S. District Judge Susan C. Bucklew earlier this week sentenced Connie Lee (50, Brooksville) to two years in federal prison for theft of government funds and aggravated identity theft. As part of her sentence, the court also entered a money judgment in the amount of $21,402 against Lee. Lee pleaded guilty on April 30, 2013.
According to court documents, a fraudulent federal income tax return was filed in the name of Lee's son. Lee received the corresponding fraudulent tax refund check at her residence. After bribing her grandson to steal her son's personal identification documents, Lee took her nephew to a local bank, where she presented her son's stolen identification to bank personnel and duped her nephew into impersonating her son in order to open a bank account. Lee then deposited the fraudulent tax refund check into the bank account and withdrew all of the funds for her own use. Lee also assisted another individual in cashing a fraudulent tax refund check at the same bank and was paid for her assistance in that scheme.
This case was investigated by the Internal Revenue Service - Criminal Investigation, the Brooksville Police Department, and the Hernando County Sheriff's Office. It was prosecuted by Assistant United States Attorney Josephine W. Thomas.
Bronx Man Arrested, Charged with Fraud and Misuse of Immigration DocumentsRead the Press Release
BUFFALO, N.Y. -- U.S. Attorney William J. Hochul, Jr. announced today that Abdus Samad, 44, of Bronx, N.Y., was arrested and charged by criminal complaint with fraud and misuse of immigration documents. The charges carry a maximum penalty of 10 years in prison, a fine of $250,000 or both.
Assistant U.S. Attorney Robert C. Moscati, who is handling the case, stated that on August 22, 2013, the defendant attempted to enter the United States at the Lewiston Port of Entry. According to the complaint, Samad presented a fraudulently obtained U.S. Passport as proof of citizenship. Immigration officers determined that the defendant had previously entered the United States under an alias and had obtained the passport by making false statements on his passport application.
The defendant made an initial appearance this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder. Samad is being held pending a detention hearing on August 28, 2013 before U.S. Magistrate Judge Hugh B. Scott.
The criminal complaint 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 and the U.S. Department of State-Diplomatic Security Service, under the direction of Resident Agent Roy B. Stillman.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until proven guilty in a court of law.
Big West Oil to Pay Penalty and Spend $18 Million on Emission Controls to Resolve Clean Air Act Violations at North Salt Lake RefineryRead the Press Release
Big West Oil LLC has agreed to pay a $175,000 penalty and to spend approximately $18 million to install emission controls at its refinery in North Salt Lake, Utah, announced the Department of Justice and the U.S. Environmental Protection Agency (EPA) today. Big West Oil will also invest $253,000 to improve the monitoring and management of potential releases of hydrofluoric acid at the facility.
Today’s agreement resolves alleged violations of key provisions of the Clean Air Act at the refinery, including requirements associated with the Prevention of Significant Deterioration and New Source Performance Standards.
When fully implemented, the controls and requirements under the agreement will reduce emissions of sulfur dioxide (SO2) by approximately 158 tons per year (tpy), nitrogen oxides (NOx) by approximately 32 tpy, and particulate matter (PM) by approximately 36 tpy. Additional reductions of volatile and hazardous pollutants, such as benzene, are expected as a result of compliance with leak detection and repair requirements.
Sulfur dioxide and nitrogen oxides contribute to ground-level ozone, acid rain and the degradation of terrestrial and aquatic ecosystems and can also irritate the lungs and contribute to respiratory illnesses. Fine particle pollution contains microscopic solids and liquid droplets that can penetrate deep into the lungs and cause significant lung and heart damage.
“This settlement will result in substantial reductions in harmful air pollution and, building on previous settlements with area refineries, marks another step forward in improving the quality of air Utahns breathe in the Salt Lake City area,” said Robert G. Dreher, Acting Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. “Big West Oil will be required to install advanced technology pollution controls that will benefit the health and environment of its neighbors and future generations.”
“EPA continues to secure significant settlements with refineries that benefit public health and improve air quality in our communities,” said EPA Regional Administrator Shaun McGrath. “Today’s agreement will help bring Big West Oil’s refinery up to date with industry standards to protect the environment.”
Today’s settlement requires Big West Oil to install a state-of-the-art flue gas filter system to control emissions of PM and to place ultra-low NOx burners on four heaters and boilers. The company will also undertake measures to reduce SO2 emissions from the refinery by, among other things, restricting hydrogen sulfide (H2S) in fuel gas and installing and operating a caustic scrubber system at the sulfur recovery plant.
Additionally, Big West Oil has agreed to make numerous upgrades to its leak detection and repair program, including the installation of low-leaking valves, and to enhance its waste operations to minimize or eliminate fugitive benzene emissions. The cost of the measures to be taken by the refinery is estimated at $18 million.
In addition, the company will spend $253,000 on a supplemental environmental project to install a laser detection system around the perimeter of the Hydrofluoric Acid Alkylation Unit that will improve the detection and response to releases of potentially hazardous acid. This system will reduce emissions and enhance safety for refinery workers and nearby communities.
The reduction in pollutants will benefit communities near the refinery, which include significant minority and low-income populations. The refinery is also located in an area designated as nonattainment for the federal 24-hour standard for fine particles (PM2.5).
Under the PSD permitting requirements, certain large industrial facilities making modifications that increase air pollutant emissions are required to install state-of-the-art air pollution controls. EPA investigations in various industries, including petroleum refining, reveal that many facilities fail to install pollution controls after modifications, causing them to emit pollutants that can impact air quality and public health. The Clean Air Act’s New Source Performance Standards require additional control measures at refineries. Enforcing these requirements reduces air pollution and ensures that facilities that are complying with the requirements are not at a competitive disadvantage.
Since March 2000, the EPA has entered into 31 settlements with companies that refine greater than 90 percent of the domestic petroleum refining capacity. These settlements cover 107 refineries in 32 states and territories. Once the settlements are fully implemented, the companies will have reduced emissions of NOx, SO2, and other pollutants by more than 360,000 tons per year. The settling refiners have invested or will invest more than $6.5 billion in new pollution control technologies and have paid more than $93 million in penalties. In addition, the settlements reached to date account for more than $80 million in supplemental environmental projects.
The consent decree was lodged in U.S. District Court for the District of Utah. A copy of the consent decree is available on the Department of Justice website at: www.justice.gov/enrd/Consent_Decrees.html.For more information on the Clean Air Act: www.epa.gov/air/caa/.
Baltimore Man Charged with Fraudulent Use of A Social Security NumberRead the Press Release
Walter Morgan a/k/a “Walter E. Morgan Gomez,” 34, of Baltimore, MD, was charged today by Indictment with one count of fraudulent use of a social security number and one count of making a false statement, announced United States Attorney Zane David Memeger. In particular, the indictment charges the defendant with using a social security number that did not belong to him, and falsely claiming United States citizenship on an I-9 Form in order to obtain employment.
If convicted, Morgan faces a maximum sentence of 10 years imprisonment, a three-year term of supervised release, a $500,000 fine, and a $200 special assessment.
The case was investigated by the United States Department of Labor, Office of Inspector General, Social Security Administration, Office of Inspector General, the Federal Bureau of Investigation, the U.S. Department of Transportation, Office of Inspector General, and Immigration and Customs Enforcement Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Paul G. Shapiro.
An indictment is an accusation, and defendants are presumed innocent unless and until proven guilty.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Atlantic County, N.J., Man Charged with ShootingRead the Press Release
NEWARK, N.J. – An Atlantic County, N.J., man was arrested today for allegedly shooting four species of hawks in the residential neighborhood where he lived, U.S. Attorney Paul J. Fishman announced.
Robert Losasso, 68, of Somers Point, N.J., was taken into custody today by special agents of U.S. Fish and Wildlife Service, Office of Law Enforcement, and charged by complaint with six counts of violating the Migratory Bird Treaty Act. Losasso is scheduled to appear this afternoon before U.S. Magistrate Judge Madeline Cox Arleo in Newark federal court.
According to the Complaint unsealed today:
Robert Losasso fatally shot, and attempted to fatally shoot, with a .22 caliber rifle and a .17 caliber pellet gun, both equipped with scopes, red-tailed hawks, sharp-shinned hawks, red-shouldered hawks, and Cooper’s hawks. These species are among the tens of thousands of birds of prey that migrate every year from Canada along the Atlantic Flyway through New Jersey. Residents of Somers Point reported to law enforcement that over a period of more than two and a half years they had observed more than 40 dead or injured birds of prey in or around their yards and had sustained what appeared to be bullet holes and pellet marks to their homes.
From December 2012 through April 2013, Losasso allegedly killed, or attempted to kill, three red-tailed hawks, one sharp-shinned hawk, one red-shouldered hawk, and one Cooper’s hawk, all of which are protected under the Migratory Bird Treaty Act. The Migratory Bird Treaty Act, which was enacted in 1918, implements in the United States protections afforded migratory birds under several international conventions to which the United States is a party. Breeding populations of red-shouldered hawks are listed as endangered on the State of New Jersey’s Endangered and Threatened Wildlife list. Sharp-shinned hawks and populations of Cooper’s hawks also have special protections under New Jersey state law.
The counts charged are strict liability crimes that carry a maximum potential penalty of six months’ imprisonment and a fine of $15,000 per count.
U.S. Attorney Fishman credited special agents of the U.S. Fish and Wildlife Service, Office of Law Enforcement, under the direction of Resident Agent in Charge Carmine Sabia, with the investigation leading to the charges. He also thanked the N.J. Division of Fish and Wildlife, Bureau of Law Enforcement, and the Somers Point Police Department, for their roles in the case.
The government is represented by Assistant U.S. Attorney Kathleen P. O'Leary of the U.S. Attorney’s Office Health Care and Government Fraud 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.
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Losasso Complaint
Armed Bank Robber Who Shot at Police Officer Is SentencedRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that Eric Colbert, 38, of Albany, Georgia, was sentenced on August 22, 2013, by the Honorable W. Louis Sands, United States District Judge in Albany, Georgia, to 257 months in prison for armed bank robbery.
As part of his plea of guilty, Mr. Colbert admitted that on the morning of November 18, 2011, he entered First State Bank in Albany, Georgia, held up a gun, fired a shot into the ceiling, and shouted, “This is a robbery!” Mr. Colbert then fired an additional shot at an Albany Police Department officer who was in the bank. At that point, Mr. Colbert fled from the bank, pursued by the officer, and fired several additional shots behind him. Mr. Colbert was apprehended shortly thereafter. No money was stolen from the Bank, and no one was hurt.
“When Mr. Colbert entered the bank and fired his gun, he chose to put the bank employees and customers in danger. When he took a shot at the officer, he guaranteed himself a place in federal prison for a long, long time. This case is another example of the senseless use of a firearm during a crime, and the lengthy sentence should send a message that it will not be tolerated in the Middle District of Georgia,” said U.S. Attorney Michael Moore.
The case was investigated by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Albany Police Department. Assistant United States Attorney Peter Leary prosecuted the case for the Government.
Inquiries regarding the case should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney's Office at (478) 621-2602.
Apopka Man Sentenced to More Than 9 Years in Prison on Federal Child Pornography ChargesRead the Press Release
Orlando, Florida - U.S. District Judge Charlene Honeywell yesterday sentenced James R. Wiese (49, Apopka) to 9 years and 7 months in federal prison for distribution and possession of child pornography. The court also ordered Wiese to serve a 10-year term of supervised release after he completes his prison sentence, and to register as a sex offender. Wiese pleaded guilty on May 29, 2013.
According to court documents, Wiese traded child pornography with others via email. As part of an undercover investigation, HSI special agents executed a search warrant at Wiese's residence on February 25, 2013, and seized all of Wiese’s computer equipment. When confronted by law enforcement officers, Wiese admitted to having collected child pornography images and videos, and storing them on his computer for at least two years. A forensic examination of Wiese’s computer equipment found more than 3,800 images and 1,150 videos depicting child pornography involving prepubescent children.
“Child pornography, when it is released onto the Internet, lives on forever. It haunts the children depicted in it, who live daily with the knowledge that countless strangers use an image of their worst experiences for their own gratification,” said Shane Folden, deputy special agent in charge of Homeland Security Investigations Tampa, which oversees the agency’s Orlando office that conducted this investigation. “It is our duty as special agents to find and arrest these child predators and ensure they are prosecuted to the fullest extent of the law.”
This case was investigated by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) Orlando. It was prosecuted by Special Assistant United States Attorney Myrna Amelia Mesa.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Alton Man Sentenced for Firearm OffenseRead the Press Release
Don A. Miller, 29, of Alton, Illinois, was sentenced on August 23, 2013, in federal district court, in East St. Louis, Illinois, on one count of unlawful possession of a firearm by a previously convicted felon, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
Miller was sentenced to 36 months’ in prison, three years supervised release, fined $250, and ordered to pay a $100 special assessment. Miller pled guilty on April 17, 2013. He also agreed to forfeit the firearm. The charges stem from a July 19, 2012, incident when law enforcement officials conducted a search of his residence after receiving consent from Miller’s live-in girlfriend. While searching the bedroom closet, a loaded semi-automatic pistol was recovered. Prior to July 19, 2012, Miller had been convicted of a crime that was punishable by a term of imprisonment of more than one year.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Alton Police Department. Assistant United States Attorney Daniel T. Kapsak prosecuted the case.
Alleged Members of Violent Loan Sharking and Illegal Gambling Organization Charged in PhiladelphiaRead the Press Release
An indictment was unsealed today charging nine people in a loan sharking and illegal gambling ring allegedly run out of several Philadelphia businesses.
The charges were announced today by Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Zane David Memeger of the Eastern District of Pennsylvania and Edward J. Hanko, Special Agent in Charge of the FBI’s Philadelphia Division.
Ylli Gjeli, 48, Fatimir Mustafaraj, 41, George Markakis, 43, Gezim Asllani, 34, Rezart Rahmi Telushi, 40, Eneo Jahaj, 26, and Ardit Pone, 35, all of Philadelphia; Erion Murataj, 35, of Huntingdon Valley, Penn.; and Brian Jackson, 35, of Harleysville, Penn., were arrested this morning. The defendants are named in an indictment charging racketeering conspiracy, racketeering collection of unlawful debt, making extortionate extensions of credit, collections of extensions of credit by extortionate means, operating an illegal gambling business and possession of a firearm in furtherance of a crime of violence.
“The indictment unsealed today charges nine defendants with operating a criminal enterprise built on illegal gambling and a violent extortion racket,” said Acting Assistant Attorney General Raman. “The Justice Department will not stand by as criminal organizations victimize our communities. Today’s charges demonstrate our ongoing commitment to working alongside our federal, state and local counterparts to root out organized crime.”
“The indictment charges the defendants with running a violent loan sharking and gambling enterprise, using intimidation, threats and actual violence as part of their illegal business,” said U.S. Attorney Memeger. “We will not tolerate this type of criminal activity that preys upon financial weakness and threatens the physical safety of the individuals in debt and their innocent family members.”
“The defendants allegedly victimized people twice over,” said FBI Special Agent in Charge Hanko. “They provided loans at outrageous interest rates to those unable to obtain loans from traditional sources and then used threats and violence to collect on those illegal loans. Today's arrests demonstrate the FBI’s continued commitment to ridding Philadelphia of organized crime, wherever we find it.”“Individuals who engage in this type of financial fraud should know they will not go undetected and will be held accountable,” said Special Agent in Charge of Internal Revenue Service-Criminal Investigation (IRS-CI) Akeia Conner. “IRS Criminal Investigation is committed to ‘following the money trail’ to ensure that those who engage in these illegal activities are vigorously investigated and brought to justice.”
According to the indictment, the defendants and their associates used businesses located in Philadelphia – including the Lion Bar, Blackbird Café, “Ylli’s 2 Brothers,” First England Pizza and various coffee shops, among others – to conduct the enterprise’s loan sharking activities and illegal gambling business. The defendants allegedly generated money by making and collecting on loans with usurious rates of interest; using intimidation, threats and violence to make and collect on loans; and making loans to betting customers whose debts were incurred through the enterprise’s illegal gambling business.
Members and associates of the enterprise allegedly cultivated their reputation for violence by threatening customers with dangerous weapons such as a firearm or hatchet; using implied threats and intimidation; telling customers that if they did not pay their debts someone would kill them, break their legs or physically harm them or their family members in some other way; and physically assaulting subordinate members and associates. For example, the indictment alleges that Gjeli asked a customer why he had come to the basement of the Lion Bar. He then grabbed a hatchet with one hand, grabbed the customer’s arm with the other hand and slammed the hatchet onto the table right after the customer pulled his hand away. It is further alleged that defendant Gjeli placed a gun to the same customer’s head and threatened him.
It is further alleged that the defendants attempted to conceal the existence and operations of the enterprise from law enforcement by: limiting their discussions of criminal activities when on the phone, using cryptic and coded language to describe criminal activities, such as “pizza” to describe a loan; conducting pat-downs and body searches of customers to check for weapons and recording devices; and conducting the enterprise’s transactions primarily in cash.
According to the indictment, Gjeli was a leader and “boss” of the organization; Mustafaraj, aka “Tony,” was a leader and “muscle.” Both allegedly directed other members in the loan sharking activities and illegal gambling business, approved loans, used intimidation and threats of violence against customers, collected weekly loan payments, physically assaulted subordinate members and their associates, supervised the illegal gambling business, provided cash to pay customer’s gambling wins and otherwise financed the gambling business, collected gambling debts and made loans to customers whose debts were incurred through the illegal gambling business. Markakis, aka “George the Greek” and “Fat George,” was allegedly a leader of the enterprise who directed other members in the illegal gambling business. Murataj, aka “Ben” and “Paul,” and Asllani, aka “Sam,” were allegedly “collectors” who assisted Gjeli and Mustafaraj in making loans and regularly collected weekly loan payments from customers. Telushi, aka “Luigi,” was allegedly a “collector” who regularly collected weekly loan payments from customers. Jahaj, aka “Nimo,” Jackson, aka “Mark,” and Pone were allegedly “bookies” who operated parts of the illegal gambling business and regularly collected gambling debts. Jahaj and Jackson also allegedly set up and administered online accounts to facilitate customer betting and used the enterprise’s loan sharking activities to convert the gambling debts to loans.
If convicted of all charges, Gjeli and Mustafaraj face a maximum sentence of life in prison. The remaining defendants each face a maximum sentence of 20 years in prison.
An indictment is an accusation, and defendants are presumed innocent unless and until proven guilty.
The case was investigated by the FBI, IRS-CI, U.S. Immigration and Customs Enforcement (ICE) – Homeland Security Investigations (HSI), Pennsylvania State Police, Montgomery County, Penn., Detectives and the New Jersey State Police. It is being prosecuted by Assistant U.S. Attorney Salvatore L. Astolfi and Trial Attorney Jerome Maiatico of the Criminal Division’s Organized Crime and Gang Section.
Related Materials:
Indictment
Abilene Man Admits Robbing Citibank Last MonthRead the Press Release
ABILENE, Texas — Jacob Alan Powell, 28, of Abilene, Texas, appeared in federal court today and pleaded guilty, before U.S. District Judge Sam R. Cummings, to an indictment charging one count of aggravated bank robbery stemming from the July 8, 2013, robbery of a Citibank location in Abilene. He faces a maximum statutory penalty of 25 years in federal prison and a $250,000 fine. Judge Cummings ordered a presentence investigation report with a sentencing date to be set following the completion of that report. The announcement was made today by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to documents filed in the case, during the early afternoon of July 8, 2013, Powell, wearing business attire and a Hardin-Simmons University baseball cap, entered the Citibank, N.A., located at 3409 South 14th Street in Abilene. He waited several minutes before an available teller asked him to her station. Once at the teller counter, he told the teller that he was making a withdrawal. When the teller asked him for his account number, he told her that she didn’t understand and then lifted his suit jacket to show her a gun in his waistband. The gun appeared to be real to the teller and placed her in fear for her life. The teller then opened her cash drawer and put cash in a bag that Powell provided, and Powell quickly left the bank.
The following day, bank surveillance photos were shown on the local news and Powell was identified by witnesses.
The investigation was conducted by the FBI and the Abilene Police Department. Deputy Criminal Chief Assistant U.S. Attorney Denise Williams is in charge of the prosecution.
59 Year Old Spokane Man Sentenced to Five Years in Federal Prison for Receiving Child PornographyRead the Press Release
Spokane - Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that John Schadl, age 59, of Spokane, Washington, was sentenced on August 22, 2013, after having previously pleaded guilty on May 28, 2013 to Receipt of Child Pornography. Chief United States District Court Judge Rosanna Malouf Peterson sentenced Schadl to a five year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. In addition, Schadl was ordered to forfeit the computer he used to receive the child pornography images.
According to information disclosed during the court proceedings, in January of 2012, the National Center for Missing and Exploited Children (NCMEC) received three separate investigative referrals regarding sexually explicit conversations of concern on an Internet website. NCMEC referred the investigative materials to the Washington State Internet Crimes Against Children (ICAC) Task Force. Investigation conducted by ICAC Detectives from the Airway Heights Police Department and the Spokane County Sheriff's Office determined that Schadl had received child pornography images on his desktop computer at his residence in Spokane, Washington.
Michael C. Ormsby stated, "This case in yet another example of the strong working partnership established between Federal and local law enforcement officers. The public should be aware of these partnerships as well as the United States Attorney's Office in the Eastern District of Washington continued commitment to prosecuting aggressively and seeking appropriate punishment for child pornography crimes. Prosecuting these types of crimes is a priority for this Office, particularly because of the tender age of the innocent children victimized by child-pornography crimes."
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative ("PSC") has five major components:
- Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue child victims;
- Participation of PSC partners in coordinated national initiatives;
- Increased federal enforcement in child pornography and enticement cases;
- Training of federal, state, and local law enforcement agents; and
- Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted Homeland Security Investigations, the Airway Heights Police Department, and Spokane County Sheriff's Office. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.
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59 Year Old Spokane Man Sentenced to Five Years in Federal Prison for Receiving Child PornographyRead the Press Release
Spokane - Michael C. Ormsby, United States Attorney for the Eastern District of Washington, announced that John Schadl, age 59, of Spokane, Washington, was sentenced on August 22, 2013, after having previously pleaded guilty on May 28, 2013 to Receipt of Child Pornography. Chief United States District Court Judge Rosanna Malouf Peterson sentenced Schadl to a five year term of imprisonment, to be followed by a life term of court supervision after he is released from Federal prison. In addition, Schadl was ordered to forfeit the computer he used to receive the child pornography images.
According to information disclosed during the court proceedings, in January of 2012, the National Center for Missing and Exploited Children (NCMEC) received three separate investigative referrals regarding sexually explicit conversations of concern on an Internet website. NCMEC referred the investigative materials to the Washington State Internet Crimes Against Children (ICAC) Task Force. Investigation conducted by ICAC Detectives from the Airway Heights Police Department and the Spokane County Sheriff's Office determined that Schadl had received child pornography images on his desktop computer at his residence in Spokane, Washington.
Michael C. Ormsby stated, "This case in yet another example of the strong working partnership established between Federal and local law enforcement officers. The public should be aware of these partnerships as well as the United States Attorney's Office in the Eastern District of Washington continued commitment to prosecuting aggressively and seeking appropriate punishment for child pornography crimes. Prosecuting these types of crimes is a priority for this Office, particularly because of the tender age of the innocent children victimized by child-pornography crimes."
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative ("PSC") has five major components:
- Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue child victims;
- Participation of PSC partners in coordinated national initiatives;
- Increased federal enforcement in child pornography and enticement cases;
- Training of federal, state, and local law enforcement agents; and
- Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This investigation was conducted Homeland Security Investigations, the Airway Heights Police Department, and Spokane County Sheriff's Office. The case was prosecuted by Stephanie J. Lister, an Assistant United States Attorney and PSC Coordinator for the Eastern District of Washington.
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22 August 2013
inmate sentenced to nine additional years in prison for filing false tax refund claims and aggravated identity theftRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced that an Anchorage man was sentenced today to a total of nine years in prison for conspiracy to defraud the government and aggravated identity theft.
Steven James McComb, 47, of Anchorage, Alaska, was sentenced today by U.S. District Court Chief Judge Ralph R. Beistline to 84 months in prison for conspiracy to defraud the government with respect to claims and mail fraud, and a consecutive sentence of 24 months prison for aggravated identity theft. McComb pled guilty to these offenses in June 2013. In addition to his prison sentence, a monetary judgment of $110,698 was entered against McComb and an Order of Forfeiture was entered for $23,160 which had been seized from U.S. Bank in April 2011. McComb was also ordered to pay restitution in the amount of $110,698.
According to filings with the court, while McComb was a State prisoner he participated in a conspiracy to obtain tax refunds by filing fraudulent income tax returns. Between January 2010 and January 2012, McComb and co-conspirators prepared and submitted approximately 100 false tax returns claiming refunds of over $210,000.
Court documents revealed that McComb obtained the names and social security numbers of individuals, many of whom were fellow inmates at State correctional facilities. McComb then provided that information to other co-conspirators outside of the prison system to prepare false individual income tax returns. McComb authorized the co-conspirators to retain a portion of the money from the refunds, and directed them to wire or mail the remainder of the refunds to other co-conspirators or to hold the money for him.
McComb and co-conspirators Helen Delores Maloney, Paulando Ramone Williams, and Michael Lee Sexton were all indicted by a federal grand jury in February 2013 for conspiracy to defraud the government with respect to false claims, mail fraud, and aggravated identity theft. Their current status is as follows:
- Maloney pled guilty to conspiracy to defraud the government with respect to claims and mail fraud in April 2013 and was sentenced to 28 months in prison on July 2, 2013;
- Williams pled guilty to conspiracy to defraud the government with respect to claims, mail fraud, and aggravated identity theft on August 21, 2013, and is scheduled to be sentenced on November 4, 2013; and
- Sexton is pending arraignment and trial.
“Committing tax fraud and identity theft while in prison is a recipe for disaster,” said Kenneth J. Hines, Special Agent in Charge of IRS Criminal Investigation in the Pacific Northwest. “This sentence shows that tax crimes are a serious matter that could result in years behind bars.”Ms. Loeffler commends the Internal Revenue Service, Criminal Investigation for conducting the investigation leading to successful prosecution of McComb.
Woman Sentenced in Scheme to Harbor Illegal AliensRead the Press Release
FOR IMMEDIATE RELEASECONTACT: Mary Hatton
www.usdoj.gov/usao/inn/ CELL: (219) 314-9993
South Bend, Indiana —United States Attorney David Capp announced that Sandra Alfaro, 36, Indianapolis, Indiana, the owner of Servicios Mi Tierra, was sentenced by District Judge Robert Miller, Jr. to 39 months imprisonment on August 19, 2013 following her guilty plea to one count of conspiracy to harbor illegal aliens and to one count of conspiracy to commit mail fraud.
Ms. Alfaro engaged in identity fraud by creating dummy corporations for illegal aliens so that they could register and title their motor vehicles in order to harbor, conceal and shield them from detection by law enforcement officials.Her scheme helped people who were in the United States illegally by sidestepping BMV’s requirement that the owner of a vehicle have a social security number before they would register cars and issue titles, and also sidestepped the BMV’s requirement that drivers have insurance.In order to execute the scheme, Alfaro created corporations by falsely representing to the Indiana Secretary of State that the aliens owned businesses and the purpose of the corporations.Between 2009 and the middle of 2011, she helped at least 300 aliens remain in the United States by helping them secure plates, titles and registration documents from the BMV.
In addition to creating fictitious corporations, Alfaro worked with Mr. Paulino Ascencion-Apolino, 23 of Elkhart, Indiana, in the South Bend and Goshen area by completing BMV paperwork for him and then processing that paperwork at BMV branches in Indianapolis.She notarized signatures that she did not witness and submitted forged documents to the BMV to falsify residency and insurance coverage.Ascencion-Apolino, also using the name Servicos Mi Tierra, had offices in South Bend, Elkhart, and Highland, Indiana from the Fall of 2010 to May of 2011. Ascencion-Apolino, who helped harbor over 100 aliens, was sentenced February, 2012 to 33 months of imprisonment and forfeiture of over $60,000 seized from several bank accounts for his role in the conspiracy.On March 16, 2012, Ramon Garcia, 39, of Berrien Springs, Michigan, who had been working for Ascencion-Apolino, was sentenced to 27 months.
“Sandra Alfaro blatantly abused legitimate government services to unlawfully obtain vehicle registrations for hundreds of illegal aliens,” said HSI Chicago Special Agent-in-Charge Gary Hartwig. “Identity fraud erodes the integrity of our nation’s immigration system and has far-reaching implications. This lengthy prison sentence demonstrates HSI’s resolve to work with our law enforcement partners to stop this type of criminal activity.”
United States Attorney David Capp stated, “The validity of identification and licensing documents is a critical law enforcement and public safety issue. We have an excellent working relationship with our federal law enforcement agencies and with the Indiana Bureau of Motor Vehicles.Their thorough and professional work here led to this result in federal court.This working relationship is ongoing and the United States Attorney’s Office will continue to prioritize these types of investigations.”
This case was the result of an investigation by the U.S. Immigration and Customs Enforcement Office of Homeland Security Investigations, the United States Postal Inspection Service, and investigators with the Indiana Bureau of Motor Vehicles and the Indiana Secretary of State.This case was prosecuted by Assistant United States Attorney Kenneth Hays.
Virginia Man Pleads Guilty to TravelingRead the Press Release
Into the District of Columbia to Engage in Illicit Sexual Conduct
With a Minor and Possession of Child PornographyWASHINGTON – William G. VanSant, 51, of Alexandria, Va., pled guilty today to federal charges of traveling interstate to engage in illicit sexual conduct with a minor and possession of child pornography, announced U.S. Attorney Ronald C. Machen Jr., Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office, and Cathy L. Lanier, Chief of the Metropolitan Police Department (MPD).
VanSant entered the guilty plea in the U.S. District Court for the District of Columbia. The Honorable Robert L. Wilkins is to sentence him on Dec. 4, 2013. VanSant faces a statutory maximum sentence of 30 years of imprisonment for traveling interstate to engage in illicit sexual conduct and a maximum of 20 years of imprisonment for possession of child pornography, as well as a fine of $250,000 on each count. He also will be required to register as a sex offender for at least 15 years after his release from prison.
According to the government's evidence, on March 20, 2013, VanSant contacted an undercover officer with the FBI's Child Exploitation Task Force, who had posted a message on a website that is frequented by individuals who have a sexual interest in children. Over the next two days, Vansant continued to engage in online conversations with the undercover officer, whom he believed was the father of an under-aged girl. During this period, VanSant arranged with the undercover officer to meet for the purpose of engaging in sexual acts with the child.
In addition, during the course of their communications, VanSant sent the undercover officer several images of child pornography. On March 22, 2013, VanSant traveled from Virginia to a pre-arranged meeting place in Washington, D.C. When he arrived, he was arrested.
Pursuant to a warrant, VanSant’s residence was searched on March 28, 2013. Law enforcement seized two laptop computers, including one that contained seven videos and eight images depicting child pornography.
This case was brought as part of the Department of Justice's Project Safe Childhood initiative and investigated by the FBI's Child Exploitation Task Force, which includes members of the FBI's Washington Field Office and MPD. In February 2006, the Attorney General created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
In announcing the guilty plea, U.S. Attorney Machen, Assistant Director Parlave and
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Chief Lanier praised the work of the MPD Detectives and Special Agents of the FBI Child Exploitation Task Force. They also commended the efforts of Assistant U.S. Attorney Cassidy Kesler Pinegar, who is prosecuting the case.Union Leader, Malvin Bergeron, Sentenced for Embezzling Union FundsRead the Press Release
MALVIN BERGERON, age 63, a resident of Jefferson Parish, was sentenced yesterday by U.S. District Judge Ivan L.R. Lemelle, to four years of probation for embezzling assets of a local labor union, announced U.S. Attorney Dana Boente. The Court also ordered BERGERON to pay restitution in the amount of $4,041.99 as well as a $3,000.00 fine.
According to court records, BERGERON was the president of the Local 537M Graphic Communications Union from November 2004 through May 2011. The Local 537M maintained a checking account with a local bank to hold the membership dues that were collected from the union members. As the union’s president, BERGERON was able to access the funds in the union account through checks. According to court documents, BERGERON embezzled $4,041.88 from the union account by writing, endorsing, and cashing checks made payable to himself personally that were not authorized by the Union’s by-laws.
The case was investigated by the U.S. Department of Labor and was prosecuted by Assistant U.S. Attorney Spiro G. Latsis.
Union County Woman Sentenced on Methamphetamine ConspiracyRead the Press Release
On August 22, 2013, Tina M. Barlow, 26, of Anna, IL, was sentenced in United States District Court in Benton on an indictment charging conspiracy to manufacture methamphetamine, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois.
Barlow, who had previously pled guilty to the methamphetamine charge, was sentenced to 100 months in prison, to be followed by 3 years of supervised release, and fined $300. The offense occurred between 2010, and March 12, 2012, in Union, Jackson, and Saline Counties. Evidence at the plea and sentencing hearings established that Barlow was involved with others in the manufacture of methamphetamine. During the conspiracy, Barlow obtained over 220 grams of pseudoephedrine for the purpose of manufacturing methamphetamine. Three co-defendants have previously been sentenced for their involvement in the methamphetamine conspiracy.
The investigation was conducted by the Union County Sheriff’s Office, Jackson County Sheriff’s Office, Murphysboro Police Department, and Drug Enforcement Administration. The Union County State’s Attorney’s Office also assisted during the investigation.
The case was prosecuted by Assistant United States Attorney Amanda A. Robertson.
U.s. Embassy Employee Sentenced to Prison for Traveling to Engage in Illicit Sexual ConductRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Rosauro Pacubas, age 58, of Manila, Philippines, today to five years in prison, followed by 10 years of supervised release, for travel with intent to engage in illicit sexual conduct. Judge Hollander ordered that Pacubas pay $21,600 in restitution to the victim. Judge Hollander also ordered that upon his release from prison, Pacubas must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Niall Meehan of the Washington Field Office of the U.S. Department of State’s Diplomatic Security Service.
According to the facts presented to the court, Pacubas was a U.S. government embassy employee in Manila, Philippines. On March 1, 2012, Pacubas traveled to Baltimore with his wife and the victim, who was to be evaluated at a hospital in the Baltimore area. During their stay in a hotel in Baltimore, Pacubas sexually abused the victim. Following the victim’s hospital evaluation, she entered a therapeutic boarding school in North Carolina where she disclosed sexual abuse by Pacubas. On January 11, 2013, Pacubas was interviewed and admitted sexually abusing the victim during their stay in Baltimore in March 2012.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended the Diplomatic Security Service for its work in the investigation. Mr. Rosenstein thanked Special Assistant U.S. Attorney LisaMarie Freitas of the U.S. Justice Department, Criminal Division, Child Exploitation and Obscenity Section, and Assistant U.S. Attorney Judson T. Mihok, who prosecuted the case.
U.S. Attorney's Office (EDNC) Co-Sponsors Banking Conference on Counterterrorism and Financial CrimesRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that today the United States Attorney’s Office for the Eastern District of North Carolina co-sponsored the 9th Annual Counterterrorism and Financial Crimes Forum. The training was held at SAS World Headquarters in Cary, North Carolina, SAS is the world’s largest privately held software company. Approximately 400 participants including banking officials, federal agencies and local law enforcement attended the training. SAS, Ally Bank, Bank of America, PNC, and Teradata all co-sponsored the event.
Philip Mudd, former Deputy Director of the National Security Section, Federal Bureau of Investigation, served as the keynote speaker. Mr. Mudd also served as Deputy Director of the Counterterrorist Center with the Central Intelligence Agency. Other speakers included John J. Byrne, Executive Vice President of the Association of Certified Anti-Money Laundering Specialists (ACAMS); Lisa M. Grigg, Managing Director and Fraud Investigation Group Executive of Bank of America; and Dennis Lormel, President and CEO of DML Associates LLC. Mr. Lormel served as Chief of the Federal Bureau of Investigation’s Financial Crimes Program and was instrumental in establishing the Bureau’s antiterrorist financing initiative. The training also featured Jane Rhodes-Wolfe, Acting Deputy Assistant Director of the Terrorism Financing Operations Section (TFOS), Federal Bureau of Investigation.
“This event is an excellent example of the vital collaboration needed between the banking community and law enforcement. Efforts to confront violent extremists must include a watchful eye over suspicious financial transactions that may be used to fund terrorist activities both at home and abroad,” said U.S. Attorney Walker.
This event brought together participants from the financial services, regulatory and law enforcement communities to share best practices on managing the risks associated with financial crimes, including terrorism financing, fraud, sanctions compliance and money laundering. Goals of the training were to demonstrate how innovative organizations are working with their public sector partners to fight the war on terrorism, manage fraud investigations more effectively, ensure regulatory compliance and to detect and prevent money laundering among others.
SAS, located in Cary, North Carolina, is a market leader in business analytics. Founded in 1976, SAS has more than 11,000 employees and staffed offices in 55 countries. Together, the company provides software and services to more than 50,000 sites in 127 countries around the globe.
The complete training agenda is attached with more details about the Forum.
9th Annual Counterterrorism and Financial Crimes Forum Agenda
U.S. Attorney Neil H. MacBride Announces Departure from Eastern District of VirginiaRead the Press Release
United States Attorney for the Eastern District of Virginia (EDVA) Neil H. MacBride, announced today that he is stepping down as United States Attorney, effective midnight September 13, 2013. An acting United States Attorney will be appointed until a permanent replacement is nominated and confirmed by the U.S. Senate.
“It has been a dream job to serve as U.S. Attorney in the Eastern District of Virginia for the last four years,” said United States Attorney Neil H. MacBride. “My first job as a lawyer was clerking for Judge Henry Morgan here 21 years ago, and my wife and I have lived and raised our children in this District. Not only is EDVA home to great symbols of our country – the Pentagon, the CIA, the Norfolk Naval Base - we are also blessed to have the most talented and dedicated prosecutors and professional staff in the Justice Department. The sacrifice and hard work of my colleagues make our communities safer and I will miss being part of their tireless pursuit of justice. I am incredibly grateful to the President and Attorney General Holder for the confidence and trust they placed in me and for the experience of leading this great office.”
“Throughout his tenure as United States Attorney for the Eastern District of Virginia, Neil has worked tirelessly to make a lasting difference for Americans across – and far beyond – his district,” said Attorney General Holder. “At every turn, he has exemplified the highest standards of excellence, integrity, and professionalism. He has distinguished himself as an exceptional leader, a committed public servant, and a brilliant attorney – handling complicated cases with extraordinary skill. Over the many years we have worked together, I’ve always been grateful for Neil’s dedicated service, his personal friendship, and his principled stewardship of our nation’s justice system. I am certain that his enduring contributions, his many achievements, and his fine example will guide the men and women who serve the Eastern District for years to come. And I wish him all the best as he takes the next steps in his already remarkable career.”
Mr. MacBride was appointed by President Obama and unanimously confirmed by the United States Senate, on September 15, 2009, to a four year term. Under MacBride’s leadership, EDVA has adopted a proactive, strategic approach to prosecuting crime, focused on disrupting local, national and international threats. From financial fraud to terrorism, MacBride helped position EDVA to meet and confront the challenges of 21st century criminal networks. As a result, the Eastern District of Virginia currently has cases and investigations in over 60 countries across six continents. During his tenure as U.S. Attorney, MacBride served on the Attorney General’s Advisory Committee and chaired its Terrorism and National Security Subcommittee. MacBride has made detecting and disrupting domestic terrorism a key priority for the office. During MacBride’s time in office, EDVA prosecutors convicted several high-profile defendants involved in terror plots, including defendant Amine el-Khalifi, who plotted to carry out a suicide bomb attack on the U.S. Capitol, and Farooque Ahmed, who planned to bomb the Washington, D.C. metro rail system. EDVA prosecutors also secured the first high-seas piracy convictions since 1820 for 26 Somali pirates, including the high-ranking pirate negotiator Mohammed Shibin, who attacked U.S. vessels.
U.S. Attorney MacBride also created the Virginia Financial and Securities Fraud Task Force, an unprecedented partnership between criminal investigators and civil regulators to investigate and prosecute complex financial fraud cases in Virginia and across the nation. Under his leadership, EDVA prosecutors secured fraud convictions for: bank executives that contributed to the 2008 financial crisis; mortgage lenders that contributed to the collapse of one of the 25 largest banks in the United States; stock manipulators; inside traders; contractors that cheated the government and the U.S. military; and life settlement schemers who preyed on the elderly.
During his tenure, MacBride dramatically expanded EDVA’s Affirmative Civil Enforcement (ACE) program, yielding more than $375 million in civil fraud recoveries against companies and individuals who engaged in procurement, programmatic, health care, and grant fraud. The recoveries included a $199.5 million settlement with Oracle Corp. – the General Services Administration’s largest single False Claims Act recovery. Under MacBride’s leadership, EDVA also defended the public fisc and major government programs in a wide array of civil litigation, including in high-profile constitutional, programmatic, employment discrimination and tort lawsuits. MacBride reinforced EDVA’s commitment to civil rights by partnering with the Civil Rights Division on cases that protected victims of lending discrimination and the severely disabled, and by launching a civil rights initiative focused on protecting the rights of service members and persons with disabilities.
Another key priority for MacBride was protecting America’s ingenuity and intellectual property from theft. Under his leadership, EDVA indicted Megaupload.com for alleged intellectual property infringement (valued at $500 million), in one of the largest criminal copyright cases ever brought by the United States; and Kolon Industries Inc. for allegedly engaging in a multi-year campaign to steal trade secrets valued at $200 million related to DuPont’s Kevlar technology. Since MacBride’s appointment, EDVA prosecutors have also secured convictions of defendants who operated large-scale counterfeit luxury goods businesses; engaged in music and movie piracy; and imported counterfeit computer equipment.
MacBride also carried on EDVA’s tradition of protecting public institutions from corruption. Since 2009, EDVA prosecutors secured a conviction for illegal conduct and bribery by former U.S. Congressman William J. Jefferson and prevailed on appeal. Jefferson was sentenced to 13 years in prison, the longest term ever imposed on a United States Congressman. In addition, prosecutors obtained convictions for former Virginia Secretary of Finance John W. Forbes, II, for wire fraud, and former Virginia House Delegate Phillip A. Hamilton for bribery and extortion.
Further, MacBride focused on protecting children from predators. In the past three years, EDVA has prosecuted 54 defendants for human trafficking, helped 42 juvenile trafficking victims seek justice and secured substantial sentences for traffickers to include 40, 50 year and life sentences. EDVA prosecutors also dismantled violent and organized criminal enterprises including convictions for leaders of the MS-13 gang; the Underground Crips gang; the “Dump Squad”; Bounty Hunter Bloods; the Nine Tech Gangsters; and the Outlaw Motorcycle Gang. Moreover, prosecutors secured convictions for the leader and members of one of the largest and most violent false document rings in the United States. EDVA has also become a leader in prosecuting domestic and international drug trafficking operations, breaking up numerous organizations that smuggled cocaine, methamphetamine, heroin and other narcotics into the United States.
Prior to his time as U.S. Attorney, Neil H. MacBride spent most of his 21-year career as a government attorney, serving in all three branches of government. He served as Associate Deputy Attorney General at the Department of Justice and as an Assistant United States Attorney for the District of Columbia. MacBride was also the chief counsel for then-Senator Joseph R. Biden, Jr., Chairman of the Senate Judiciary Subcommittee on Crime and Drugs. MacBride served as a law clerk for the Honorable Henry Coke Morgan, Jr., U.S. District Judge for the Eastern District of Virginia. Apart from his public service, MacBride practiced criminal and civil litigation at the Washington, D.C. law firm now known as DLA Piper and served as Vice President and General Counsel of the Business Software Alliance. MacBride is a graduate of Houghton College and the University of Virginia School of Law.
The United States Attorney’s Office for the Eastern District of Virginia employs 300 attorneys and professional staff and serves more than six million residents living in Northern Virginia, Richmond and the Tidewater region and surrounding communities. The District of Virginia was one of the original 13 judicial districts created by the Judiciary Act of 1789. In 1871, Virginia was divided into two districts: the Eastern and Western Districts of Virginia. Today, the Eastern District of Virginia has offices in Alexandria, Newport News, Norfolk, and Richmond, the capital of the Commonwealth.
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.Two Rapid City Men Sentenced for Possession with Intent to Distribute MarijuanaRead the Press Release
United States Attorney Brendan V. Johnson announced that Cayleb Louis Young, age 23, and Kenneth Morales-Scott, Jr., age 24, both of Rapid City, South Dakota, were sentenced on August 19 and 20, 2013, respectively, by U.S. District Judge Roberto A. Lange, for Possession with Intent to Distribute Marijuana.
Morales-Scott was sentenced to 1 month of imprisonment, followed by 5 months of home confinement, and 2 years of supervised release. He also forfeited a 1997 BMW.
Young was sentenced to 2 years of probation. Additionally, Morales-Scott and Young were each fined $1,000 and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Morales-Scott and Young were indicted by a federal grand jury on March 13, 2013. Each pled guilty to Possession with Intent to Distribute a Controlled Substance on June 4, 2013.
On November 17, 2012, Morales-Scott and Young traveled from Rapid City to California. The purpose of the trip was for Morales-Scott to pick up a large quantity of marijuana, over 10 pounds, to deliver to an individual in Wisconsin. Before they left California, Morales-Scott informed Young of the nature of the trip. Young agreed to assist in the transportation and delivery of the marijuana in exchange for a portion of the proceeds.
On November 20, 2012, the South Dakota Highway Patrol performed a traffic stop on Interstate 90 near Draper that involved a BMW driven by Morales-Scott, with Young as the passenger. During the course of the traffic stop, the trooper conducted a vehicle search and found a large black bag in the trunk of the vehicle which held several vacuum sealed bags that contained high quality marijuana.
The Northern Plains Safe Trails Drug Enforcement Task Force, the South Dakota Division of Criminal Investigation, and the South Dakota Highway Patrol conducted the investigation. Assistant U.S. Attorney Jay Miller prosecuted the case.
Morales-Scott will report to the U.S. Marshals Service in Rapid City on August 30, 2013, to begin serving his sentence.Two Men Indicted on Counterfeiting ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that a Sioux Falls, South Dakota, man has been indicted for Dealing in Counterfeit Securities and Possession of Counterfeit Securities, and a Chicago, Illinois, man was indicted for Possession of Counterfeit Securities.
Charles Earl Davis, a/k/a “Feno,” age 26, of Sioux Falls, and Travis Cornelius Maberry, a/k/a “Cozo”,” age 27, of Chicago, Illinois, were indicted by a federal grand jury on August 13, 2013. Both men appeared before U.S. Magistrate Judge John E. Simko on August 20, 2013, and pled not guilty to the indictment.
The maximum penalty upon conviction is up to 20 years in custody, a $250,000 fine, or both; 5 years of supervised release; and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges are merely accusations and both men are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Sioux Falls Police Department and the U.S. Secret Service. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Davis and Maberry were remanded to the custody of the U.S. Marshals Service. A trial date has not been set.Two Harbors Man Indicted for Producing Child PornographyRead the Press Release
MINNEAPOLIS—A federal indictment unsealed late yesterday charges a 37-year-old Two Harbors man with producing images of child pornography. The indictment, which was filed on August 13, 2013, charges Joel Ray Allard with one count of production of child pornography. The indictment was unsealed following Allard’s initial appearance in federal court.
The indictment alleges that in August and September 2011, Allard enticed a minor to engage in sexually explicit conduct for the purpose of producing visual depictions of that conduct.
If convicted, Allard faces a potential maximum penalty of life in prison, with a mandatory minimum penalty of 15 years. Any sentence would be determined by a federal district judge.
This case is the result of the Cook County Sheriff’s Office and the Minnesota Child Exploitation Task Force, sponsored by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney David P. Steinkamp.
Production of child pornography is against the law. In addition to prosecuting these cases, the Justice Department is funding a study focused on the correlation between involvement in child pornography and hands-on sexual abuse of children. A 2008 study (The Butner Study) published in the Journal of Family Violence found that up to 80 percent of federal inmates incarcerated for possession, receipt, or distribution of child pornography also admitted to hands-on sexual abuse of children, ranging from touching to rape.
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 U.S. Attorney offices and the Justice Department’s Criminal Division, Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children and 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.”An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Twenty-second Person Sentenced in Treasure Valley Aryan Knights InvestigationRead the Press Release
BOISE – Joshua Nall, 32, of Boise, was sentenced today in United States District Court to 30 months in prison followed by three years of supervised release for unlawfully possessing a firearm, U.S. Attorney Wendy J. Olson announced. He pleaded guilty to the charge on May 21, 2013.
According to the plea agreement, Nall admitted that on April 13, 2012, he possessed a Glock .40 pistol, which he provided to a confidential informant. Nall was prohibited from possessing the pistol because he was previously convicted in 2008 of unlawfully possessing a firearm, a felony punishable by a term of imprisonment exceeding one year.
Nall’s case was part of a larger investigation by the Treasure Valley Metro Violent Crimes Task Force, involving the Aryan Knights gang, in which 23 people were charged with drug trafficking and firearms violations; all have pleaded guilty, 22 have been sentenced and one is awaiting sentencing. Through the investigation, law enforcement agents identified Aryan Knights gang members who were trafficking methamphetamine, as well as associates of the gang who were the source of that methamphetamine.
The Treasure Valley Metro Violent Crimes Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, Boise Police Department, Ada County Sheriff’s Office, Caldwell Police Department, Nampa Police Department, Meridian Police Department, Canyon County Sheriff’s Office, and the Idaho Department of Correction. The Organized Crime and Drug Enforcement Task Force (OCDETF) also contributed to the investigation, including the cooperative law enforcement efforts of the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service.
Nall was prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Three Indicted for Conspiring to Facilitate the Interstate Travel of A Minor for ProstitutionRead the Press Release
MINNEAPOLIS—Earlier today in federal court, three individuals were indicted for arranging interstate transportation for the purpose of prostitution. Brandon Lynn Gilmore, age 23, and Angelica Marie Carter, age 20, both of Milwaukee, Wisconsin, and Dominique Alexandra McKee, age 19, no known address, were specifically charged with one count of conspiracy to facilitate travel in interstate commerce to engage in prostitution.
The indictment alleges that on July 12, 2013, the defendants entered into the conspiracy. A law enforcement affidavit filed in the case indicates that on July 20, 2013, Bloomington police were called to a local hotel to address a problem involving a 14-year-old girl. Upon their arrival, the police learned from the girl that she allegedly had been working as a prostitute out of the hotel for the past week. She reportedly said that Gilmore and McKee had brought her to the hotel from Milwaukee, where she wished to return. Officers located Gilmore and McKee in a hotel room. Carter was also found at the hotel. All three were immediately arrested.
According to police records, the minor female said she met McKee on a social website and chatted with him about escorting and making money. Then, on July 11, 2013, she allegedly met Gilmore and McKee at a Milwaukee hotel, where she was invited to travel with them to Minnesota to work as a prostitute. Allegedly, Gilmore took photographs of McKee and the young girl for the purpose of website-based advertising. For his part, Carter drove them all to Minnesota.
If convicted, the defendants face a potential maximum penalty of 30 years in prison. Any sentence would be determined by a federal district judge. This case is the result of an investigation by the Bloomington Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney David P. Steinkamp.
Anyone who may have information about any human trafficking matter is encouraged to report that information to the FBI at 763-569-8000. For information about human trafficking, the National Human Trafficking Resource Center’s toll-free hotline (1-888-373-7888) is available to answer calls from anywhere in the country. The U.S. Department of Justice reports that an estimated 14,500 to 17,500 people are trafficked within the U.S. alone each year.
For more information, visit http://www.fbi.gov/about-us/investigate/civilrights/human_trafficking.An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Texas-Based School Chain to Pay Government $3.7 Million for Submitting False Claims for Federal Student Financial AidRead the Press Release
ATI Enterprises Inc. will pay the government $3.7 million to resolve False Claims Act allegations that it falsely certified compliance with federal student aid programs’ eligibility requirements and submitted claims for ineligible students, the Justice Department announced today.
“Federal financial aid is meant to help students obtain a quality education from an eligible institution, and the Department of Justice is committed to ensuring colleges comply with the rules to make certain that happens,” said Stuart F. Delery, Assistant Attorney General for the Civil Division.
Allegedly, ATI Enterprises knowingly misrepresented to the Texas Workforce Commission and to the Accrediting Commission of Career Schools and Colleges its job placement statistics to maintain its state licensure and accreditation. To participate in federal student aid programs, as authorized by Title IV of the Higher Education Act of 1965, as amended (Title IV), schools must enter into a contract with the Secretary of Education called a Program Participation Agreement, in which they agree to a number of terms. For example, if an institution advertises its job placement rates as a means of attracting students to enroll, it must make available to prospective students its most recent and accurate employment statistics to substantiate the truthfulness of its advertisements. The government alleged that, by misrepresenting its job placement statistics, ATI Enterprises fraudulently maintained its eligibility for federal financial aid under Title IV.
The government further alleged that ATI employees engaged in fraudulent practices to induce students to enroll and maintain their enrollment in the schools. This falsely increased the schools’ enrollment numbers, and consequently, the amount of federal dollars they received at the expense of taxpayers and students, who incurred long-term debt.
“Misuses of the federal student aid system must not be tolerated, for the sake of the taxpayers and of the innocent individuals who are seeking a quality education,” said Sarah R. Saldaña, U.S. Attorney for the Northern District of Texas, where some of the ATI campuses involved in the lawsuit are located.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida said: “Federal financial aid is there to help students attain their dreams and goals, and misuse of these funds to increase corporate profits is unacceptable. We are committed to ensuring that federal student aid is used for the benefit of students.”
The settlement amount will be paid from funds supporting three letters of credit that ATI provided to the Department of Education. In addition to the False Claims Act settlement, the Department of Education will disburse from the letter of credit funds $2 million for student loan refunds in relation to cases students filed against ATI in Texas state courts and other related arbitrations.
“Federal student aid exists so that students can make the dream of a higher education a reality. That’s why misuse in any way of these vital funds cannot be tolerated,” said Kathleen Tighe, Inspector General of the U.S. Department of Education. “I’m proud of the work of OIG special agents for holding ATI Enterprises accountable and for protecting the integrity of federal education dollars.”
The settlement resolves allegations made in two separate complaints against ATI Enterprises Inc., and related entities filed under the False Claims Act’s qui tam, or whistleblower, provisions, which permit a private individual to file suit for false claims to the government and to share in any recovery. The first complaint, U.S. ex rel. Aldridge, et al. v. ATI Enterprises Inc., et al., was filed in July 2009 in the U.S. District Court for the Northern District of Texas. The second complaint, U.S. ex rel. Ramirez-Damon v. ATI Enterprises Inc., was filed in July 2011 in the U.S. District Court for the Southern District of Florida.
This matter was investigated by the Commercial Litigation Branch of the Justice Department’s Civil Division, the U.S. Attorney’s Office for the Northern District of Texas, the U.S. Attorney’s Office for the Southern District of Florida, and the Department of Education’s Office of Inspector General and Office of General Counsel. The claims settled by this agreement are allegations only, and there has been no determination of liability.
Texas-Based School Chain to Pay Government $3.7 Million for Submitting False Claims for Federal Student Financial AidRead the Press Release
Schools Located in Texas, Florida, New Mexico and Oklahoma
ATI Enterprises Inc. will pay the government $3.7 million to resolve False Claims Act allegations that it falsely certified compliance with federal student aid programs’ eligibility requirements and submitted claims for ineligible students, the Justice Department announced today.
“Federal financial aid is meant to help students obtain a quality education from an eligible institution, and the Department of Justice is committed to ensuring colleges comply with the rules to make certain that happens,” said Stuart F. Delery, Assistant Attorney General for the Civil Division.
Allegedly, ATI Enterprises knowingly misrepresented to the Texas Workforce Commission and to the Accrediting Commission of Career Schools and Colleges its job placement statistics to maintain its state licensure and accreditation. To participate in federal student aid programs, as authorized by Title IV of the Higher Education Act of 1965, as amended (Title IV), schools must enter into a contract with the Secretary of Education called a Program Participation Agreement, in which they agree to a number of terms. For example, if an institution advertises its job placement rates as a means of attracting students to enroll, it must make available to prospective students its most recent and accurate employment statistics to substantiate the truthfulness of its advertisements. The government alleged that, by misrepresenting its job placement statistics, ATI Enterprises fraudulently maintained its eligibility for federal financial aid under Title IV.
The government further alleged that ATI employees engaged in fraudulent practices to induce students to enroll and maintain their enrollment in the schools. This falsely increased the schools’ enrollment numbers, and consequently, the amount of federal dollars they received at the expense of taxpayers and students, who incurred long-term debt.
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida said: “Federal financial aid is there to help students attain their dreams and goals, and misuse of these funds to increase corporate profits is unacceptable. We are committed to ensuring that federal student aid is used for the benefit of students.”
“Misuses of the federal student aid system must not be tolerated, for the sake of the taxpayers and of the innocent individuals who are seeking a quality education,” said Sarah R. Saldaña, U.S. Attorney for the Northern District of Texas, where some of the ATI campuses involved in the lawsuit are located.
The settlement amount will be paid from funds supporting three letters of credit that ATI provided to the Department of Education. In addition to the False Claims Act settlement, the Department of Education will disburse from the letter of credit funds $2 million for student loan refunds in relation to cases students filed against ATI in Texas state courts and other related arbitrations.
“Federal student aid exists so that students can make the dream of a higher education a reality. That’s why misuse in any way of these vital funds cannot be tolerated,” said Kathleen Tighe, Inspector General of the U.S. Department of Education. “I’m proud of the work of OIG special agents for holding ATI Enterprises accountable and for protecting the integrity of federal education dollars.”
The settlement resolves allegations made in two separate complaints against ATI Enterprises Inc., and related entities filed under the False Claims Act’s qui tam, or whistleblower, provisions, which permit a private individual to file suit for false claims to the government and to share in any recovery. The first complaint, U.S. ex rel. Aldridge, et al. v. ATI Enterprises Inc., et al., was filed in July 2009 in the U.S. District Court for the Northern District of Texas. The second complaint, U.S. ex rel. Ramirez-Damon v. ATI Enterprises Inc., was filed in July 2011 in the U.S. District Court for the Southern District of Florida.
This matter was investigated by the Commercial Litigation Branch of the Justice Department’s Civil Division, the U.S. Attorney’s Office for the Northern District of Texas, the U.S. Attorney’s Office for the Southern District of Florida, and the Department of Education’s Office of Inspector General and Office of General Counsel. The claims settled by this agreement are allegations only, and there has been no determination of liability.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Texas Man Sentenced for Wichita Bank RobberyRead the Press Release
WICHITA, KAN. – A Texas man has been sentenced for robbing a Wichita bank, U.S. Attorney Barry Grissom said today.
Lessie B. Cooper, Jr., 34, Fort Worth, Texas, was sentenced to 112 months in federal prison. Cooper pleaded guilty to the March 16, 2012, robbery of the Commerce Bank branch at 1701 S. Broadway in Wichita.
In his plea, Cooper admitted his brother, co-defendant Justin Cooper, drove him to the bank. Once inside, Lessie Cooper jumped over the counter and pointed a loaded rifle at the tellers. As he left the bank and was getting into the car a dye pack exploded, attracting the attention of a police officer sitting in her patrol car nearby. Police pursued Cooper’s car until it stopped at the intersection of Clark and Silver streets. Justin Cooper surrendered there, but Lessie Cooper fled on foot. Police eventually found him hiding under a bed in a residence in the 2100 block of South Silver.
Justin Cooper pleaded guilty to aiding and abetting a bank robbery and was sentenced 92 months in federal prison.
Grissom commended the Wichita Police Department, the FBI and Assistant U.S. Attorney Matt Treaster for their work on the case.
Statement of the Attorney General on Resignation of U.S. Attorney for the Eastern District of Virginia Neil H. MacBrideRead the Press Release
Attorney General Eric Holder issued the following statement today on the resignation of U.S. Attorney for the Eastern District of Virginia Neil H. MacBride:
“Throughout his tenure as United States Attorney for the Eastern District of Virginia, Neil has worked tirelessly to make a lasting difference for Americans across – and far beyond – his district.
“At every turn, he has exemplified the highest standards of excellence, integrity, and professionalism. He has distinguished himself as an exceptional leader, a committed public servant, and a brilliant attorney – handling complicated cases with extraordinary skill.
“Over the many years we have worked together, I’ve always been grateful for Neil’s dedicated service, his personal friendship, and his principled stewardship of our nation’s justice system. I am certain that his enduring contributions, his many achievements, and his fine example will guide the men and women who serve the Eastern District for years to come. And I wish him all the best as he takes the next steps in his already remarkable career.”
South Dakota Man Convicted of Bank Robbery in New EnglandRead the Press Release
BISMARCK – U.S. Attorney Timothy Q. Purdon announced that on August 22, 2013, Colt D. Schneider, 19, Rapid City, S.D., was found guilty by a federal jury in U.S. District Court on a charge of bank robbery and a charge of use and carry of a firearm during and in relation to a crime of violence.
On October 18, 2012, at approximately 8:20 a.m., two men wearing black ski masks and carrying guns entered American Bank Center in New England, N.D. After obtaining money from a bank employee, the men fled the scene.
During the investigation it was discovered that shortly before the robbery, a man who matched the physical characteristics of one of the bank robbers had stopped at a gas station in New England and had purchased gas. Law enforcement obtained the video from the gas station and distributed a picture of the suspect. A detective with the Rapid City (S.D.) Police Department recognized the man as Colt Schneider. Further investigation led to the identity of the other man – Johnner Joe Ward, Jr.
The police found that Schneider and Ward worked for a construction company in Rapid City and that they had worked on a construction job in New England a few months before the robbery.
On November 10, 2012, Schneider was arrested in Sarasota, Fla.
On November 2, 2012, Ward was arrested in Midland, Texas. On February 22, 2013, Ward pleaded guilty to charges of bank robbery and use and carry of a firearm during and in relation to a crime of violence. He is scheduled to be sentenced on August 26, 2013.
The charge of bank robbery carries a statutory maximum penalty of 20 years in federal prison and a $250,000 fine. The charge of use and carry of a firearm during and in relation to a crime of violence carries a statutory maximum of life in federal prison and a $250,000 fine.
The case was investigated by the Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, North Dakota Bureau of Criminal Investigation, Hettinger County Sheriff’s Department, North Dakota Highway Patrol, Dickinson Police Department, Bismarck Police Department, Rapid City Police Department, Midland (Texas) Police Department, Bradenton (Florida) Police Department, and Florida Game & Fish.
Sentencing for Schneider has been scheduled for November 15, 2013, in U.S. District Court in Bismarck, N.D., at 10:00 a.m.
Assistant U.S. Attorney David Hagler is prosecuting the case.
Somerset County Man Pleads Guilty to Kidnapping ChargeRead the Press Release
JOHNSTOWN, Pa. – A resident of Windber, Pa., pleaded guilty in federal court to a charge of kidnapping, United States Attorney David J. Hickton announced today.
Lawrence R. Horner, III, 37, pleaded guilty to one count before United States District Judge Kim R. Gibson.
In connection with the guilty plea, the court was advised that on July 9, 2011, Horner kidnaped a person whose identity is known and referred to as "L.N.," and did willfully travel and transport L.N. in interstate commerce in commission of the kidnaping offense.
Judge Gibson scheduled sentencing for Jan. 7, 2014, at 11 a.m. The law provides for a total sentence of life in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Richland Township Police Department and the Laurel Highlands Resident Agency of the Federal Bureau of Investigation conducted the investigation that led to the prosecution of Horner.
Sioux Falls Man Charged with Distribution and Receipt of Material Involving the Sexual Exploitation of Minors and Possession of Child PornographyRead the Press Release
United States Attorney Brendan V. Johnson announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Distribution and Receipt of Material Involving the Sexual Exploitation of Minors and Possession of Child Pornography.
Avugwi Alvarez, age 22, was indicted by a federal grand jury on June 12, 2013. He appeared before U.S. Magistrate Judge Mark A. Moreno on August 20, 2013, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in custody, a $250,000 fine, or both; life of supervised release; and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to allegations that, between approximately November 1, 2012, to January 7, 2013, Alvarez used the internet to distribute visual depictions of minors engaged in sexually explicit conduct. He also possessed images of child pornography.
The charges are merely an accusation and Alvarez is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation, South Dakota Division of Criminal Investigation, South Dakota Internet Crimes Against Children Task Force, Rosebud Sioux Tribe Law Enforcement Services, Bureau of Indian Affairs, Pennington County Sheriff’s Office, Rapid City Police Department, Sioux Falls Police Department and the U.S. Marshals Service. U.S. Attorney Brendan Johnson and Assistant U.S. Attorneys Tim Maher and Sarah Collins are prosecuting the case.
Alvarez was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.Sentences for August 14 – 22, 2013Read the Press Release
Richard Michael Hursh, aka Richard Tucker, 34, of Cheyenne, Wyoming, was sentenced by Federal District Court Judge Alan B. Johnson on August 22, 2013, for being a felon in possession of a firearm. Hursh was arrested in Cheyenne, Wyoming. He received 33 months imprisonment, to be followed by three years of supervised release and was ordered to pay a $100.00 special assessment and a $100.00 fine. This case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives.
Christopher Ponish, 52, of Panorama City, California, was sentenced by Federal District Court Judge Scott W. Skavdahl on August 21 2013, for conspiracy to commit mail and wire fraud. Ponish was arrested in Panorama City, California. He received 24 months imprisonment, to be followed by three years of supervised release and was ordered to pay a $100.00 special assessment and restitution in the amount of $4,425,034.63, joint and several with all co-defendants in Criminal Case 12-CR-00058-S. The Court additionally ordered forfeiture in the amount of $197,200.00. This case was investigated by the Wyoming Secretary of State’s Office, The Federal Bureau of Investigation, the United States Postal Inspection Service and the Secret Service.
Marco Buckley, 28, of Cheyenne, Wyoming, was sentenced by Federal District Court Judge Scott W. Skavdahl on August 21, 2013, for being a felon in possession of a firearm. Buckley was arrested in Casper, Wyoming. He received 64 months imprisonment, to be followed by three years of supervised release and was ordered to pay a$100.00 special assessment and a $400.00 fine. This case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives.
Kevin Best, aka Julian Josef, aka Bill Baker, 54, of Van Nuys, California, was sentenced by Federal District Court Judge Scott W. Skavdahl on August 16, 2013, for conspiracy to commit mail and wire fraud. Best was arrested in Van Nuys, California. He received 24 months imprisonment, to be followed by three years of supervised release and was ordered to pay a $100.00 special assessment and restitution in the amount of $4,425,034.63, joint and several with all co-defendants in Criminal Case 12-CR-00058-S. The Court additionally ordered forfeiture in the amount of $99,083.58. This case was investigated by the Wyoming Secretary of State’s Office, The Federal Bureau of Investigation, the United States Postal Inspection Service and the Secret Service.
Lauren Elizabeth Scott, aka Jillian Taylor, dba Mountain State Power Group, Inc., Mountain State Power, Inc., and Sovereign Energy Partners, 54, of Morgan, Utah, was sentenced by Federal District Court Judge Scott W. Skavdahl on August 16, 2013, for conspiracy to commit mail and wire fraud and conspiracy to launder money. Scott was arrested in Morgan, Utah. She received 57 months imprisonment, to be followed by three years of supervised release and was ordered to pay a $200.00 special assessment and restitution in the amount of $4,425,034.63, joint and several with all co-defendants in Criminal Case 12-CR-00058-S. The Court additionally ordered forfeiture in the amount of $1,123,000.00. This case was investigated by the Wyoming Secretary of State’s Office, The Federal Bureau of Investigation, the United States Postal Inspection Service and the Secret Service.
Kari Lee Steelman, 25, of Casper, Wyoming, was sentenced by Federal District Court Judge Scott W. Skavdahl in August 14, 2013, on one count of conspiracy to possess with intent to distribute, and to distribute, a synthetic cannabinoid, a Schedule I controlled substance analogue, resulting in serious bodily injury and one count of distribution of a synthetic cannabinoid, a Schedule I controlled substance analogue, resulting in serious bodily injury and aiding and abetting. Steelman was arrested in Casper, Wyoming. She received 36 months imprisonment, to be followed by three years of supervised release and was ordered to pay a $200.00 special assessment. The case was investigated by the Casper Police Department and the U.S. Drug Enforcement Administration.
Second Englishtown, N.J., Pharmacy Burglar Admits Conspiracy to Sell Stolen OxycodoneRead the Press Release
TRENTON, N.J. – A Brooklyn, N.Y., man today admitted his involvement in a plot to burglarize a pharmacy in Englishtown, N.J., and sell stolen narcotics for cash, U.S. Attorney Paul J. Fishman announced.
David Mordukhaev, 22, pleaded guilty before U.S. District Judge Freda L. Wolfson in Trenton federal court to an information charging him with one count of conspiracy to distribute oxycodone and possess oxycodone with intent to distribute.
According to documents filed in this case and statements made in court:
The Union Hill-Supremo Pharmacy in Englishtown was burglarized shortly after 4:00 a.m. on June 17, 2012. Mordukhaev and his fellow conspirators filled 17 garbage bags and two cardboard boxes with merchandise from the pharmacy, including approximately 1,988 dosage units of methylphenidate, 500 dosage units of hydromorphone, 300 dosage units of Opana (a trade name for oxymorphone) and 3,800 dosage units of oxycodone – all Schedule II controlled substances. The stock lost by the pharmacy was valued at $350,000. Mordukhaev admitted he stole the drugs knowing they would be sold for profit.
The conspiracy to distribute oxycodone charge to which Mordukhaev pleaded guilty carries a maximum potential penalty of 20 years in prison and a $1 million fine. Sentencing is scheduled for Dec. 3, 2013.
Mordukhaev’s co-conspirator, James Zarbailov, previously pleaded guilty before Judge Wolfson on May 9, 2013, to conspiracy to distribute and possess with intent to distribute oxycodone. Zarbailov will be sentenced on Oct. 3, 2013.
U.S. Attorney Fishman credited special agents of the FBI’s Red Bank Resident Agency, under the direction of Special Agent in Charge Aaron T. Ford in Newark, and law enforcement officers from the Marlboro Township Police Department, under the direction of Police Chief Bruce E. Hall, for the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney John E. Clabby of the U.S. Attorney’s Office Criminal Division in Trenton.13-344
Defense counsel: Lance Lazzaro Esq., Brooklyn, N.Y.
Mordukhaev, David Information
Scranton Man Convicted of Murder-For-Hire Conspiracy and Related CrimesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a federal jury returned guilty verdicts Wednesday against a Scranton man on all five charges related to his participation in a murder-for-hire scheme after a three-day trial in Senior U.S. District Court Judge A. Richard Caputo’s courtroom in Wilkes-Barre.
According to United States Attorney Peter J. Smith, the jury deliberated approximately three hours before finding Gary Williams, age 45, guilty of conspiracy to commit a murder-for-hire, carrying and possessing a firearm in relation to and in furtherance of a crime of violence, receiving a firearm and ammunition in interstate commerce with the intent to commit a felony offense, unlawfully possessing a firearm as a convicted felon, and attempting to tamper with a witness.
Williams was originally indicted by a federal grand jury in August 2012 as a result of an investigation by the Federal Bureau of Investigation and the Scranton Police Department. Williams was charged in a superseding indictment in April 2013. The indictment alleged that Williams agreed to kill the ex-wife of a co-conspirator, and that the co-conspirator shipped a rifle and bullets from Cape Coral, Florida to Scranton for Williams to use to commit the murder. The indictment further alleged that the co-conspirator promised Williams money and a job for committing the murder.
Judge Caputo scheduled sentencing in the case for November 21, 2013. Williams faces a possible maximum sentence of life in prison, a fine of up to $1.25 million, a maximum term of supervised release of 19 years, and a $500 special assessment. Williams was ordered to be detained in prison pending sentencing.
Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.
Santa Rosa Man Sentenced to 64 Months for Ponzi SchemeRead the Press Release
SAN FRANCISCO - Douglas Hollingsworth was sentenced yesterday to 64 months in prison and ordered to pay $4.9 million in restitution for defrauding numerous individuals in connection with an approximately five-year long Ponzi scheme, United States Attorney Melinda Haag announced.
Hollingsworth, 64, of Santa Rosa, Calif., pleaded guilty on February 13, 2013, to wire fraud and money laundering. According to the plea agreement, from approximately June 2007 through October 2012, Hollingsworth solicited money from numerous individuals by falsely representing that his business entities, Baytree Investors, Inc. and Capsule Partners, LLC, had developed a sophisticated computer system that permitted him to identify financial market trends and generate substantial profits from trading activity. In soliciting money from the victims, Hollingsworth falsely stated that if they loaned him money, he could pay them significant monthly interest payments from the profits earned from successful trading activity.
As part of the fraud scheme, Hollingsworth took money from some of the victims after he intentionally failed to tell them that the Federal Bureau of Investigation had searched his residence in July 2010 and that he had been charged with wire fraud in August 2011. In addition, Hollingsworth did not use the money received from the victims to engage in trading, but instead spent the money on personal expenses, including jewelry, and to make monthly interest payments to other individuals who had provided him with money.
Hollingsworth was originally indicted by a federal Grand Jury on August 16, 2011. On August 28, 2012, and December 18, 2012, the grand jury returned superseding indictments. In the Second Superseding Indictment, Hollingsworth was charged with 2 counts of mail fraud, in violation of 18 U.S.C. Section 1341; 21 counts of wire fraud, in violation of 18 U.S.C. Section 1343; and 4 counts of money laundering, in violation of 18 U.S.C. Section 1957. Under the plea agreement, Hollingsworth pleaded guilty to one count of wire fraud and one count of money laundering.
The sentence was handed down by The Honorable Charles R. Breyer, U.S. District Court Judge. Judge Breyer also sentenced the defendant to a 3-year period of supervised release with conditions that limit his ability to hold fiduciary roles and to receive or manage money of third parties, and ordered forfeiture of approximately $80,000 that was in bank accounts seized in July 2010 during the course of the investigation.
At the sentencing hearing, Judge Breyer ordered Hollingsworth to surrender immediately to begin serving his prison sentence. Hollingsworth is now in custody.
Denise Marie Barton is the Assistant United States Attorney who is prosecuting the case with the assistance of Denise Oki, Rayneisha Booth, Elizabeth Garcia and Assistant United States Attorney Patricia Kenney. The prosecution is the result of an investigation by the Federal Bureau of Investigation.
Red Lake Man Indicted for Sexual AbuseRead the Press Release
MINNEAPOLIS—A federal indictment unsealed earlier today charges a 43-year-old Red Lake man with sexually abusing a woman on the Red Lake Indian Reservation. The indictment, which was filed on July 23, 2013, charges Alan James Lussier with one count of sexual abuse. The indictment was unsealed following Lussier’s initial appearance in federal court.
The indictment alleges that on March 13, 2011, Lussier caused the victim to engage in a sexual act by placing her in fear.
If convicted, Lussier faces a potential maximum penalty of life in prison. Any sentence will be determined by a federal district court judge. This case is the result of an investigation by the Red Lake Tribal Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Deidre Y. Aanstad.
Because the Red Lake Indian Reservation is a federal-jurisdiction reservation, some of the crimes that occur there are investigated by the FBI in conjunction with the Red Lake Tribal Police Department. Those cases are prosecuted by the U.S. Attorney’s Office.The U.S. Justice Department is taking steps to increase engagement, coordination, and action relative to public safety in tribal communities, including the creation of the Violence Against Women Federal and Tribal Prosecution Task Force. This task force explores current issues raised by professionals in the field and recommends “best practices” in prosecution strategies involving domestic violence, sexual assault, and stalking.
Violence against American Indian women occurs at epidemic rates. In 2005, Congress reported that one in three American Indian women is raped during her lifetime, and American Indian women are nearly three times more likely to be battered during their lives as Caucasian women.An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Real Estate Business Owner Sentenced to Prison in Mortgage Fraud SchemeRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
Antonio Weathers, 42, of Cincinnati, Ohio was sentenced in Cincinnati today to 17 months in prison for his role in a mortgage fraud scheme involving several mortgage lenders that were defrauded as a result of falsified loan documents submitted for purchases of multiple Cincinnati-area properties.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Kathy A. Enstrom, Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS), and Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service, announced the sentence handed down by Chief United States District Judge Susan J. Dlott.
Weathers pleaded guilty on April 8, 2013 to one count of mail fraud and one count of money laundering. According to court documents, Weathers formed a real estate business in which he arranged for the purchase and resale of mostly low income properties. Weathers committed mail fraud by securing mortgage closing funds for the purchase of a property located in Cincinnati, Ohio which resulted in a U.S. Postal Service Express Mail package to be sent from Strongtower Title Agency to the lender, Preferred Capital. Weathers then transferred $42,532.43 in mail fraud proceeds from one bank account to another bank account in the name of Antonio Weathers, d/b/a, KI Enterprises.
Weathers was also sentenced to serve three years of supervised release after his prison term and was ordered to pay $242,340 in restitution to the victim lenders.
On June 25, 2013 Sylvia Odia Thomas, 41, formerly of West Chester, Ohio was sentenced by Senior U.S. District Judge Herman J. Weber to 30 months in prison for her role in this mortgage fraud scheme. She pleaded guilty on November 6, 2012 to one count of mail fraud and one count of filing false income tax returns. Both crimes were committed in connection with her business as a mortgage broker. “She habitually falsified documentation for loan applications for her clients and failed to report her correct income to the IRS,” Assistant U.S. Attorney Tim Mangan wrote in a memorandum filed with the court prior to sentencing.
Thomas willfully filed false federal income tax returns with the IRS for the 2006 through 2009 income tax years. These federal income tax returns did not include substantial amounts of additional income that was paid to Thomas in the form of broker closing and processing fees that were obtained from brokering and closing client loans. In total, Thomas underreported her gross receipts by $312,882 for the 2006 through 2009 income tax years, resulting in a tax loss of $95,422.14. The Court determined the amount of loss attributable to Thomas from mortgage fraud was $313,021.
Thomas operated a home renovation company and later started her own mortgage brokerage business. Eventually, she began writing false income and employment information on loan applications in order to get her clients approved. She also fabricated false supporting documents that were sent to the lenders and created false down payments for her clients by making cashier’s checks to look like earnest money from the clients.
Thomas was ordered to serve three years of supervised release after her prison term and must pay $313,021 in restitution to lenders, plus $95,422.14 to the IRS.
“By now, there have been enough mortgage fraud related convictions around the country that those who are thinking about doing it ought to know that they are going to get caught,” said Kathy A. Enstrom, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
U.S. Attorney Stewart commended the cooperative investigation conducted by IRS Special Agents and Postal Inspectors, and Assistant United States Attorney Mangan who prosecuted this case.
Randolph County Woman Sentenced on Methamphetamine ConspiracyRead the Press Release
On August 22, 2013, Gerilynn Bennett, 41, of Sparta, IL, was sentenced in United States District Court in Benton on an indictment charging conspiracy to manufacture methamphetamine, announced Stephen R. Wigginton, United States Attorney for the Southern District of Illinois.
Bennett, who had previously pled guilty to the methamphetamine offense, was sentenced to 71 months in prison, to be followed by 3 years of supervised release, and fined $200. Evidence at the plea hearings established that Bennett was involved with others in the manufacture of methamphetamine. Bennett obtained over 57 grams of pseudoephedrine, which was used during the manufacture of methamphetamine. The offense occurred between January 2011, and January 2013, in Perry, Jackson, and Randolph Counties. Seven co-defendants have previously been sentenced for their role in the methamphetamine conspiracy. Five co-defendants have pled guilty and are awaiting sentencing.
The ongoing investigation is being conducted by the Jackson County Sheriff’s Office, Randolph County Sheriff’s Office, Perry County Sheriff’s Office, Percy Police Department, Murphysboro Police Department, Sparta Police Department, and Drug Enforcement Administration.
The case is being prosecuted by Assistant United States Attorney Amanda A. Robertson.
Philadelphia Man Charged in Bank RobberyRead the Press Release
Harry Michael Schiech, 30, of Philadelphia, Pennsylvania was charged today by indictmentwith bank robbery and attempted bank robbery, announced United States Attorney Zane David Memeger.
According to the indictment, on May 18, 2013, Schiech robbed the Citizens Bank branch at 2702 Kirkbride Street, in Philadelphia and, on May 24, 2013, attempted to rob the Bank of America branch at 2439 Welsh Road in Philadelphia.
If convicted of all charges, the defendant faces a maximum possible sentence of 40 years in prison.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Salvatore L. Astolfi.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Orleans Man, Gregory R. Alexander, Pleads Guilty to Possession of Flammable Liquid BombRead the Press Release
GREGORY R. ALEXANDER, age 35, a resident of New Orleans, Louisiana pled guilty today in federal court before U.S. District Judge Carl J. Barbier to a violation of the National Firearms Registration Act, specifically possession of a destructive device commonly known as a gasoline bomb, which was not registered to him in the National Firearms Registration and Transfer Record, announced U.S. Attorney Dana Boente.
According to court documents, on February 25, 2013, ALEXANDER attempted to destroy his truck with a flammable liquid (gasoline) bomb while it was parked at a local bank. ALEXANDER then filed an insurance claim claiming his truck had been stolen earlier.
ALEXANDER faces a maximum statutory penalty of 10 years incarceration. Sentencing has been scheduled for November 14, 2013.
This case was investigated jointly by Special Agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) along with bomb squad members and detectives from the New Orleans Police Department and Arson investigators of the New Orleans Fire Department. This case is being prosecuted by Tony Sanders of the Violent Crimes Unit.
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New Orleans Postal Employee, Chanel M. Mcginnis, Sentenced for Embezzlement of Mail MatterRead the Press Release
CHANEL M. MCGINNIS, age 28, a resident of New Orleans, Louisiana, was sentenced today in federal court by U.S. District Judge Nannette Jolivette Brown to one year probation for embezzlement of mail matter by a postal employee, announced U. S. Attorney Dana J. Boente. McGINNIS was also ordered to pay $500 in restitution to the victim.
According to court documents, on or about February 7, 2011, MCGINNIS, while being an employee of the United States Postal Service, embezzled $450 in United States currency that was contained in a first class letter addressed to W.B., a resident of Metairie, Louisiana.
The case was investigated by the United States Postal Service - Office of Inspector General and is being prosecuted by Assistant U. S. Attorney Loan “Mimi” Nguyen.
New Orleans Man, Ronald Taylor, Indicted as Felon in Possession of A FirearmRead the Press Release
RONALD TAYLOR, age 20, of New Orleans, Louisiana, was charged in a one-count indictment by a Federal Grand Jury with being a felon in possession of a firearm, announced U. S. Attorney Dana Boente.
According to the indictment, TAYLOR was found in possession of two pistols and has a prior felony conviction in Orleans Parish Criminal District Court for aggravated assault with a firearm.
TAYLOR faces a maximum term of imprisonment of 10 years, a fine of $250,000, and 3 years of supervised release following any term of imprisonment.
U. S. Attorney Boente reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and prosecuted by Special Assistant United States Attorney Michael B. Redmann.
(Download Indictment )
New Orleans Man, Christopher Joseph, Indicted as Felon in Possession of A FirearmRead the Press Release
CHRISTOPHER JOSEPH, age 34, a resident of New Orleans, Louisiana, was charged today in a one-count indictment by a Federal Grand Jury with being a felon in possession of a firearm, announced U. S. Attorney Dana Boente.
According to the indictment, JOSEPH was found in possession of a pistol after having been convicted in Orleans Parish Criminal District Court of possession of 200-400 grams of cocaine and distribution of marijuana.
JOSEPH faces a maximum term of 10 years imprisonment, a fine of $250,000, and
3 years of supervised release following any term of imprisonment.U. S. Attorney Boente reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and prosecuted by Special Assistant United States Attorney Michael B. Redmann.
(Download Indictment )
Nampa Man Admits Unlawfully Possessing A FirearmRead the Press Release
BOISE – Keanta M. Lathrop, 35, of Nampa, Idaho, pleaded guilty today in United States District Court to one count of unlawfully possessing a firearm, U.S. Attorney Wendy J. Olson announced.
According to the plea agreement, court records show that Lathrop pleaded guilty to trafficking cocaine in Ada County and was sentenced on May 23, 2007, to six years in prison. Lathrop was granted parole and released from prison in November 2009. As a condition of release, Lathrop agreed to searches of his person or property. In October 2012, a search was conducted of Lathrop’s Nampa residence by Nampa police and Lathrop’s parole officer. The officers discovered a Jimenez Arms .380 semiautomatic pistol inside a backpack at the residence. Lathrop was present during the search and subsequently admitted that his fingerprints were on the weapon and he knowingly possessed the firearm. Because Lathrop was previously convicted of the felony offense of trafficking cocaine, he is prohibited from possessing firearms.
The charge is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release. The government is seeking forfeiture of the firearm.
Lathrop is scheduled to be sentenced on November 13, 2013, by Chief U.S. District B. Lynn Winmill at the federal courthouse in Boise.
The case was investigated by the Nampa Police Department, Idaho Department of Probation and Parole, and Bureau of Alcohol, Tobacco, Firearms and Explosives.
Lathrop is being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.