Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
1 August 2013
Coon Rapids Man Sentenced for Stealing Prosthetics from Fairview Medical Center and Selling Them OnlineRead the Press Release
MINNEAPOLIS—Earlier today in federal court, a 52-year-old Coon Rapids man was sentenced for stealing prosthetics and related supplies from the Fairview Medical Center and selling them online. United States District Court Judge Ann D. Montgomery sentenced Peter Stasica to two years of probation, to pay more than $88,000 in restitution, and to perform 100 hours of community service on one count of wire fraud. Stasica was charged on March 8, 2013, and pleaded guilty on April 11, 2013.
In his plea agreement, Stasica admitted that from February to August 2011, while he was the prosthetics manager for Fairview’s Orthotics and Prosthetics Department, he began removing prosthetics and prosthetic-related supplies without authorization to sell on eBay. In his capacity as prosthetics manager, Stasica’s duties included purchasing supplies and equipment, working with vendors, and advising patients about whether a new prosthetic limb was necessary.
In addition, Stasica admitted he solicited from several patients, under false pretenses, prosthetics they were not using. Stasica did not disclose to those patients that he intended to sell them. During the course of the scheme, approximately 40 buyers purchased more than 60 prosthetics and related supplies from Stasica via eBay.
This case was the result of an investigation by the Federal Bureau of Investigation. It was prosecuted by Assistant U.S. Attorney David M. Genrich.Convicted Felon Sentenced to More Than Eight Years for Possession of A FirearmRead the Press Release
Orlando, FL - U.S. District Judge John Antoon, II sentenced Kameron E. McCall (30, Orlando) today to 8 years and 4 months in federal prison for being a convicted felon in possession of a firearm. A federal jury found McCall guilty on May 7, 2013.
According to testimony and evidence presented at trial, Orlando Police Department officers detained and searched McCall's vehicle while investigating an alleged carjacking in North Orlando. During that search, officers located a loaded firearm in the glove compartment. McCall admitted to the officers that he was a convicted felon and that he possessed the firearm because "he was a rapper and people hated him." Further investigation revealed that McCall has at least five previous felony convictions, including possessing a firearm as a convicted felon, carjacking, and various drug offenses. As such, he was not permitted to possess a firearm or ammunition under federal law.
This case was investigated by the Orlando Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). It was prosecuted by Assistant United States Attorney Shawn P. Napier.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. Acting United States Attorney A. Lee Bentley, III, along with Julie Leon, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.
Convicted Bank Robber Sentenced to over 15 years in Prison for Robbing Bank of America in PleasantonRead the Press Release
OAKLAND – Royland Rice was sentenced yesterday to 15 ½ years in prison for bank robbery, announced United States Attorney Melinda Haag.
Rice, who had no plea agreement with the government, pleaded guilty on February 28, 2013, to the bank robbery charge. During the plea hearing, Rice admitted that he robbed the Bank of America branch at 6005 Stoneridge Drive in Pleasanton, Calif., on September 11, 2012. He confessed to handing the victim teller a note that said, “We know where you live and hand over the money,” and to stealing more than $1700 from the bank.
Rice was captured on video running to, and driving away from, the bank robbery scene. On September 19, 2012, officers from the Pleasanton Police Department arrested Rice.
Rice, 62, of Oakland, was indicted by a federal grand jury on November 15, 2012. The sentence was handed down by The Honorable Phyllis J. Hamilton, U.S. District Court Judge. In addition to his prison term, Rice was also sentenced to a 3-year period of supervised release.
Brian C. Lewis is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Special Assistant U.S. Attorney Kevin Lin and Janice Pagsanjan. The prosecution is the result of an investigation by the Federal Bureau of Investigation.
Coleen Furthmyre Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Missoula, on July 30, 2013, before Chief U.S. District Judge Dana L. Christensen, COLEEN FURTHMYRE, a 46-year-old resident of Helena (formerly Anaconda), was sentenced to a term of:
Probation: 3 years
Special Assessment: $100
Restitution: $31,243.50
FURTHMYRE was sentenced in connection with her guilty plea to theft of government money.
In an Offer of Proof filed by Assistant U.S. Attorney Timothy J. Racicot, the government stated it would have proved at trial the following:
In November 2011, based on information received from Glacier Bank, the Secret Service and the Department of Housing and Urban Development ("HUD") initiated an investigation into FURTHMYRE for wire fraud and theft of government property. The investigation revealed that FURTHMYRE, then an employee of the Anaconda Housing Authority ("AHA"), had been stealing money from the AHA for approximately two years, primarily in the form of cash deposits received as rent payments for subsidized housing.
FURTHMYRE was interviewed on November 29, 2011, at the Butte-Silverbow Law Enforcement Center. At the outset of the interview, she asked, "This is about the money, isn't it?" She then admitted that over the past year she had taken cash from AHA's rental payments, deposited the money into her checking account, and used it to pay her personal bills. She said she would try to pay back the money she had stolen at the end of each month to balance the books. She initially tried to track the stolen proceeds by writing amounts on a sticky note, but had recently been unable to keep track of how much she had embezzled.
One interviewing agent told FURTHMYRE that he thought she had been stealing money for longer than one year and she replied that it might have started "a couple years ago." She said she deposited most of the stolen funds into her Glacier Bank account, but also put some of the money into her account at First National Bank. FURTHMYRE noted that she rarely deposited cash into her accounts other than the money she had stolen from the AHA. She said no one else was involved with the theft of funds from the AHA and that she had a meeting that night with her boss to explain what she had done. FURTHMYRE thought she owed the AHA about $28,000, and said she tried to obtain a loan to pay back the stolen funds.
After they interviewed FURTHMYRE, the investigating agents interviewed her boss at the AHA. He confirmed that he had a meeting scheduled with FURTHMYRE later that evening, but was not aware of any bookkeeping problems. After that meeting, he called one of the agents and said FURTHMYRE confessed to stealing money and told him she thought she owed the AHA about $33,000. During a second interview with law enforcement, he explained how FURTHMYRE was able to accomplish her theft and still present the appearance of maintaining balanced books. He said that she carried over shortages from previous months into the next month for several years. The AHA has provided a final loss amount of $31,243.50.
The investigation was a cooperative effort between the U.S. Secret Service and the U.S. Department of Housing and Urban Development - Inspector General's Office.
Citizen of Jamaica Sentenced to Prison for Illegally Reentering U.S. After DeportationRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ANDREW JOHNSON, also known as “Andrew Heron,” 39, a citizen of Jamaica, was sentenced today by United States District Judge Vanessa L. Bryant in Hartford to 14 months of imprisonment for illegally reentering the United States after he was deported.
According to court documents and statements made in court, JOHNSON entered the U.S. legally as a visitor in 1991, but overstayed the terms of his visa without authorization. In December 2002, he was removed from the U.S. to Jamaica after serving a two-year state sentence for sale of controlled substance. JOHNSON illegally reentered the U.S. and was arrested by the Bridgeport Police Department in December 2007 for interfering and resisting arrest. He was subsequently deported Jamaica a second time.
JOHNSON again illegally reentered the U.S. and was apprehended by U.S. Immigration and Customs Enforcement agents on December 19, 2012.
JOHNSON has been detained since his arrest. On May 16, 2013, he pleaded guilty to one count of illegal reentry of a removed alien.
Judge Bryant ordered JOHNSON to pay a $20,000 fine if he again reenters the U.S.
This matter was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations. The case was prosecuted by Assistant United States Attorney Deborah R. Slater.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Christine Rahl Sentenced for Health Care Fraud and Money LaunderingRead the Press Release
Michael J. Moore, United States Attorney for the Middle District of Georgia, announced that Christine Rahl, 46, a resident of Social Circle, Georgia, was sentenced July 31, 2013 before the Honorable C. Ashley Royal, United States District Judge in Macon, Georgia, to fifty-seven (57) months imprisonment, to be followed by three (3) years supervised release, and a $500.00 mandatory assessment. Additionally, Judge Royal ordered Ms. Rahl to pay $1,586.847.14 in restitution.
Ms. Rahl entered a plea of guilty on May 9, 2012, to a multi-count Information charging her with one count of Embezzlement in Connection with Health Care and four counts of Money Laundering.
Ms. Rahl was an employee with Marmalade Health which operates Abbey Hospice in Social Circle, Georgia. Ms. Rahl was in charge of payroll for Marmalade Health. The payroll and expense information was electronically submitted to Paychex who would then make electronic deposits into the accounts of employees. In order to receive extra pay, Ms. Rahl gave herself unauthorized raises and submitted false expenses for herself. Ms. Rahl continued this activity during a five and a half year time period. In her plea, she admitted that she illegally appropriated for her own use and benefit $1,586,847.14 from Marmalade Health. The money she received was deposited into the Wells Fargo Bank, where she would then write checks and use credit cards to purchase items for her personal use.
“When Ms. Rahl committed health care fraud and embezzlement, she stole from a system designed to help those who are critically or terminally ill. We will continue to use our investigative resources to vigorously prosecute individuals who defraud the health care system. We will continue to use our resources and efforts to collect full restitution from Ms. Rahl, just as we put our efforts into making her accountable for her fraud,” said U.S. Attorney Michael Moore.
“Ms. Rahl exploited her position as office manager of the Abbey Hospice for her own personal financial gain,” stated Veronica Hyman-Pillot, Special Agent in Charge, Internal Revenue Service Criminal Investigation. "It is our hope that today's sentence will send a strong message, that embezzlement and avoiding your tax obligations can result in jail time and that the government will hold accountable those who commit these types of crimes."
The case was investigated by agents of the Human Health Service and Internal Revenue Service. The case is being prosecuted by Assistant United States Attorney Sharon Ratley.
Inquiries regarding the case should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney's Office at (478) 621-2602.
Centreville Man Pleads Guilty to Failure to Register as A Sex OffenderRead the Press Release
On August 1, 2013, Arthur E. Jones, a thirty-one year old Centreville, IL, man pled guilty in United States Federal District Court, in East St. Louis, IL, to failure to register as a sex offender, in violation of Title 18, United States Code, Section 2250(a), the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Jones is scheduled for sentencing on November 12, 2013. He faces a term of imprisonment of up to ten (10) years, a fine up to $250,000, or both, and a term of supervised release of five (5) years to life of supervised release, and a mandatory special assessment of $100.
The violation occurred between October 11, 2012 and December 12, 2012. Jones was required to register as a sex offender under both Illinois law and the Sex Offender Registration and Notification Act because he was convicted of Attempted Forcible Rape on May 20, 2003, in St. Louis, Missouri. On October 8, 2012, Jones informed the State of Missouri that he was moving to a residence in Illinois. Shortly thereafter, he moved to Illinois without registering as a sex offender in the state. He was aware of his requirements to register as a sex offender in the State of Illinois within three days upon his arrival. He was confronted by a United States Marshal on December 13, 2012, for non-compliance. In the interview, Jones admitted to not having registered within the three-day timeframe after moving to Illinois.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The case was investigated by the United States Marshals Service and is assigned to Assistant United States Attorney Daniel T Kapsak.
Carson City Man Arrested on Child Pornography ChargesRead the Press Release
RENO, Nev. – A Carson City, Nev. man has been arrested on child pornography charges for secretly videotaping female victims in the bathrooms of his residence, and is scheduled to appear before a federal magistrate judge this afternoon, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Marcus Gabriel Henderson, 33, was arrested by Special Agents with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) yesterday, July 31, 2013, at his residence in Carson City. Henderson is charged in a criminal complaint with production and attempted production of child pornography, and will have an initial court hearing at 3:00 p.m. today before U.S. Magistrate Judge Robert A. McQuaid, Jr. If convicted, Henderson faces 15 to 30 years in prison, and a $250,000 fine.According to the criminal complaint, ICE-HSI agents executed a federal search warrant at Henderson’s residence on Wednesday, July 31, 2013, in connection to an ongoing child pornography investigation. Inside a bathroom allegedly used by Henderson, the agents found a covert video recording device and digital media card hidden within an AC adaptor box. Examination of the media card revealed that it contained approximately 277 video clips that appeared to have been taken in the toilet and shower areas of one or more bathrooms. The camera had been positioned to capture nude images of two different female victims, one of whom was 13 years old at the time. The complaint alleges that the purpose of the videos was to create a sexual response for the viewer of the videos.
The case is being investigated by ICE-HSI and the Northern Nevada Internet Crimes Against Children Task Force, and is being prosecuted by Assistant United States Attorney Carla B. Higginbotham.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal,state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The public is reminded that a criminal complaint contains only charges and is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
n.
California Men, Who Admitted Conspiring to Steal Shipments from Tyson Fresh Meat Packaging Plant in Amarillo, Are SentencedRead the Press Release
AMARILLO, Texas — Three men, all residents of California, who admitted their involvement in a conspiracy to steal interstate shipments of meat from Tyson Fresh Meat Packaging Plant in Amarillo, Texas, were sentenced this afternoon by U.S. District Judge Mary Lou Robinson. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Ruben Ashikyan, 56, of Sherman Oaks, Calif., was sentenced to 18 months in federal prison and fined $3000. Levon Ashikyan, 31, of Glendale, Calif., who is Ruben Ashikyan’s son, was sentenced to 12 months in in federal prison. Grigor Darmandjian, 56, of North Hollywood, Calif., was also sentenced to 18 months in federal prison. Each defendant pleaded guilty in May 2013 to one count of conspiracy to steal interstate shipments. All defendants are in custody.
According to documents filed in the case, the FBI began an investigation in August 2011 after learning that a load of beef was stolen from a meat packing plant in Amarillo. The theft occurred when someone, who had stolen the identity of a legitimate trucking company, picked up the load from the plant but failed to deliver the load to its intended destination in California. The investigation revealed that there had been more than 28 similar cargo thefts that occurred between April 2011 and February 2013, and 19 of the 28 were meat thefts. The cargo’s value varied from $30,000 to $200,000 for each theft.
In February 2013, the FBI was contacted about two loads of fresh meat as Monarch Trading Company had contacted MTS Transportation to have the loads, valued at approximately $175,324, picked up at the Tyson plant in Amarillo and delivered to a cold storage facility in Vernon, Calif. MTS posted the loads on a commonly-used website and a trucking company, Expo Transportation & Logistics, Inc. from Muskegon, Michigan, replied. Believing this was a theft attempt, MTS contacted the FBI, and in an effort to apprehend the thieves, a sting operation was arranged.
A few days later a Volvo tractor pulling a white refrigerated trailer arrived at the Tyson security gate. There was a sign on the tractor that read, “Expo Transportation, Inc., Muskegon, MI, MC-389238 and USDOT-895024.” The van was driven by Ruben Ashikyan; Levon Ashikyan and Darmandjian were passengers. After Ruben and Levon Ashikyan emerged from the tractor and completed the Tyson paperwork, they drove the truck to the plant’s warehouse office, where they were arrested. The investigation revealed that the tractor’s license plate did not belong to the Volvo and the trailer’s California license plate did not belong to the trailer. Inside the tractor was a fictitious California registration card and there was an “Expo Transportation” sign on the Volvo tractor that covered different MC and USDOT numbers.
The case was investigated by the FBI, the Texas Rangers, the Dumas Police Department and the Potter County Attorney’s Office. Tyson Foods and MTS Transportation provided valuable assistance in the investigation.
Assistant U.S. Attorneys Christy Drake and Vicki Lamberson prosecuted.
CEO Pleads Guilty to $2.5 Million Fraud Involving Florida Software CompanyRead the Press Release
San Diego, CA - United States Attorney Laura E. Duffy announced today that John G. Rizzo, the CEO of iTrackr Systems, has admitted defrauding investors in connection with millions of shares of his Florida-based company.
As set forth in his Plea Agreement, in early 2006, Rizzo agreed to raise money for a Florida software company called iTracker, which developed software to track the inventories and availability of electronics, e.g., X-Boxes. In approximately late 2008, Rizzo and his coconspirators used the services of offshore “boiler rooms” to solicit investments for the company’s “penny stock.” Unknown to investors, the boiler rooms failed to disclose that only 20% of each investment would go to iTracker, with the remainder being paid to the boiler rooms as commission.
As part of that scheme, Rizzo utilized his shell company in the British Virgin Islands (“BVI”) and the company’s bank account in Belize. Rizzo sold millions of shares of iTrackr stock through his BVI company in order to avoid U.S. securities registration requirements and disguise the fact that almost all the investor funds were being diverted to the boiler rooms. In addition, Rizzo used a complex array of different entities to conceal the fact that he was selling the shares, not independent third party investors. During 2009 alone, approximately 120 different individuals in the United Kingdom invested a total of $2.5 million in iTrackr through this scheme.
United States Attorney Laura Duffy once again cautioned the public that they need to be vigilant against all forms of illegal stock manipulation, especially in the penny stock markets. Duffy praised the hard work of the agents from the Federal Bureau of Investigation and the Internal Revenue Service for their efforts, and the continuing support of the Securities and Exchange Commission for their expertise and guidance.
FBI Special Agent in Charge, Daphne Hearn, commented, " This investigation highlights the need for investors to do their own homework before investing their money in schemes such as the one perpetrated by Mr. Rizzo. If something seems too good to be true, it almost always is. The FBI will continue to lend our expertise and resources to these types of cases and work with our partners, so that others do not fall prey to such fraudulent investment schemes."
Rizzo is scheduled to be sentenced on October 28, 2013 at 9:30 a.m. before U.S. District Court Judge Larry A. Burns.
DEFENDANT Case Number: 13cr2716-JAH JOHN G. RIZZO SUMMARY OF CHARGETitle 18, United States Code, Section 1349 - Conspiracy to Commit Wire Fraud. Maximum penalties: 20 years in prison, $250,000 fine, term of supervised release of three years, restitution, forfeiture, and $100 special assessment.
PARTICIPATING AGENCIESFederal Bureau of Investigation
Internal Revenue ServiceBrooksville Man Pleads Guilty to Transporting Child PornographyRead the Press Release
Tampa, FL - Acting United States Attorney A. Lee Bentley, III announces that Paul Thorpe (43, Brooksville) today pleaded guilty to transportation of child pornography. Thorpe faces a mandatory minimum penalty of 5 years and a maximum penalty of 20 years in federal prison. A sentencing date has been set for October 24, 2013.
According to the plea agreement, an undercover agent downloaded 33 images and a video from an IP address connected to Thorpe. On January 31, 2013, law enforcement seized Thorpe's computer pursuant to a federal search warrant. An examination of the computer revealed that it contained 155 images of child pornography. Thorpe confessed to possessing, receiving, and transporting child pornography.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Jennifer L. Peresie.
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, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
Brookfield Man Sentenced to 27 Months in Federal Prison for Distributing OxycodoneRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that KYLE M. LUTRUS, 28, of Brookfield, was sentenced today by United States District Judge Vanessa L. Bryant in Hartford to 27 months of imprisonment, followed by three years of supervised release, for distributing oxycodone. LUTRUS was also ordered to pay a $2,000 fine, and to forfeit $60,000 and a 2005 Honda Accord, which he used to facilitate his drug trafficking activity.
According to court documents and statements made in court, in late 2011, Brookfield Police received information that LUTRUS was involved in the illegal distribution of oxycodone. Between February 2012 and April 2012, LUTRUS made multiple sales of oxycodone to an individual working with law enforcement and an undercover DEA Task Force officer. A total of 343 pills were purchased from LUTRUS during the course of the investigation.
LUTRUS was arrested on December 20, 2012. On May 15, 2013, he pleaded guilty to one count of conspiracy to distribute and to possess with the intent to distribute oxycodone.
This matter was investigated by the DEA’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force and the Brookfield Police Department. The case was prosecuted by Assistant United States Attorneys David X. Sullivan and Michael E. Runowicz.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Bricklayers Union Shop Steward Pleads Guilty to Accepting BribesRead the Press Release
Earlier today, in federal court in Brooklyn, Russell Argila, a former shop steward for Local 1 New York of the International Union of Bricklayers and Allied Craftworkers, pleaded guilty to a criminal information charging him with accepting illegal bribe payments in his capacity as a union official. As alleged in court documents, Argila accepted $7,800 in cash bribes from an employer of the bricklayers whose interests Argila represented as a shop steward for the union. Argila was arrested on April 24, 2013.
On July 26 and July 30, 2013, also in federal court in Brooklyn, Muzaffar I. Nadeem, Zainul Syed, Afzaal Chaudry, and Irfan Muzaffar, each of Brooklyn, were arraigned on a separate but related indictment charging them with various offenses involving a scheme to defraud the New York City School Construction Authority (the SCA) by falsely certifying that workers employed on SCA projects were receiving the prevailing wage, as required by law and contract. These defendants were arrested on February 21, 2013.1
The plea and indictment were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York; Eric T. Schneiderman, New York State Attorney General; Rose Gill Hearn, Commissioner, New York City Department of Investigation; and Toni Weirauch, Special Agent-in-Charge, Internal Revenue Service, Criminal Investigation (IRS), New York.
“Instead of fighting for the workers he promised to represent, Argila traded their right to earn a legal and a living wage for cash to line his own pockets. As alleged in the related indictment, those defendants cheated workers out of the wages they had earned by the sweat of their brows and laundered the proceeds of this conspiracy to hide their actions and fund an amusement park overseas. There was no holiday for the workers involved, only exploitation,” stated United States Attorney Lynch. “This Office and our law enforcement partners will continue to prosecute fraud and corruption throughout the construction industry.” Ms. Lynch expressed her thanks to the U.S. Department of Labor, Office of Inspector General, the New York City School Construction Authority, Office of Inspector General, the New York City Police Department, and the New York County District Attorney’s Office for their assistance in the investigation.
As charged in the indictment, Nadeem operated a construction company, SM&B Construction Co., Inc. (SM&B) in Brooklyn, which has been awarded over $72 million in contracts by the SCA since 1997 and has received over $37 million in fraud-induced payments from the SCA since 2008. Chaudry and Syed worked as a foreman and office manager, respectively, at SM&B. Muzaffar is Nadeem’s son. Both New York State Labor Law and its contracts with the SCA required SM&B to pay workers on SCA-funded projects a prevailing wage rate, which was set by the New York City Comptroller. In fact, SM&B paid cash to workers on its projects, including bricklayers and laborers, at rates far below the prevailing wage. As alleged in the indictment, Nadeem, Chaudry, and Syed falsely certified to the SCA that the workers had been paid the prevailing wage, thus committing mail fraud, wire fraud, and conspiracy to commit those crimes.
As further alleged in the indictment, Nadeem laundered over $6 million in proceeds of the charged fraud scheme by funneling it through shell companies. After running these proceeds through the shell companies, Nadeem sent more than $3.3 million from the shell companies to Pakistan, to invest in an amusement park and resort complex called “Waysgoose Park.”
To conceal the charged fraud scheme from law enforcement, and to obtain cash to pay the illegally low wages to workers, Nadeem, Syed, and Muzaffar allegedly engaged in illegal structuring, specifically, cashing multiple checks, each for less than $10,000, on a single day, for a total amount of more than $10,000, and thereby avoiding the required filing of Currency Transaction Reports (CTRs). As charged in the indictment, since January 2008, more than $3.6 million in structured checks were written on SM&B’s account. Nadeem and Syed also allegedly arranged for the payment of $30,000 in cash bribes to an undercover SCA Inspector, and allegedly paid $7,800 in cash bribes to a union official.
Argila faces a maximum sentence of five years. If convicted, the indicted defendants each face a maximum sentence of 20 years for the mail fraud, wire fraud, money laundering, and related conspiracy charges, a maximum sentence of 10 years for bribing an undercover SCA inspector and engaging in transactions over $10,000 involving the proceeds of their crime, and a maximum sentence five years for bribing a union official, structuring financial transactions, and other conspiracy charges.
The government’s case is being prosecuted by Assistant United States Attorneys Paul Tuchmann, Lan Nguyen, and Claire Kedeshian.
The Defendants:
MUZAFFAR NADEEM
Age: 57
Residence: Brooklyn, NYAFZAAL CHAUDRY
Age: 46
Residence: Brooklyn, NYZAINUL SYED
Age: 39
Residence: Brooklyn, NYIRFAN MUZAFFAR
Age: 29
Residence: Brooklyn, NYRUSSELL ARGILA
Age: 40
Mahopac, NY_____________________________
1 The charges in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
Beclabito, N.M., Man Sentenced to Federal Prison for Involuntary Manslaughter ConvictionRead the Press Release
ALBUQUERQUE – Joel Rodriguez, 37, a Cuban refugee who resides of Albuquerque, N.M., was sentenced this afternoon to ten years in federal prison followed by three years of supervised release for his Hobbs Act robbery conviction.
Rodriguez was arrested in Nov. 2011 in a two-count indictment charging him with (1) violating the Hobbs Act by robbing a business engaged in interstate commerce, and (2) being a felon in possession of a firearm. The indictment charged Rodriguez with robbing a business engaged in payday and short term loans at gunpoint on May 17, 2011. At the time, Rodriguez was prohibited from possessing firearms or ammunition because he previously had been convicted of three felony offenses in the Second Judicial District Court for the State of New Mexico, including trafficking in controlled substances and aggravated assault with a deadly weapon.
Rodriguez pleaded guilty on June 6, 2013, to Count 1 of the indictment charging him with a Hobbs Act robbery at a Check ‘n Go, located at 2810 Coors Blvd. NW in Albuquerque on May 17, 2011. In entering his guilty plea, Rodriguez admitted entering the business, threatening an employee with violence, and demanding money.
This case was brought as part of a federal anti-violence initiative that targets “the worst of the worst” offenders for federal prosecution. Under this anti-violence initiative, the U.S. Attorney’s Office and federal law enforcement agencies work with New Mexico’s District Attorneys and state, local and tribal law enforcement agencies to target violent or repeat offenders for federal prosecution with the goal of removing repeat offenders from communities in New Mexico for as long as possible.
The case was investigated by the Albuquerque office of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Albuquerque Police Department and the Bernalillo County Sheriff’s Office, with assistance from the 2nd Judicial District Attorney’s Office, and was prosecuted by Assistant U.S. Attorney Jon K. Stanford.Beclabito, N.M., Man Sentenced to Federal Prison for Involuntary Manslaughter ConvictionRead the Press Release
ALBUQUERQUE – Stanford Benally, 42, an enrolled member of the Navajo Nation who resides in Beclabito, N.M., was sentenced this afternoon to 30 months in federal prison followed by five years of supervised release for his involuntary manslaughter conviction.
Benally was arrested on Sept. 11, 2012, on an indictment charging him with second degree murder and involuntary manslaughter. The second degree murder charge alleged that, on May 19, 2012, Benally caused the death of a minor female by serving her liquor and failing to provide care and seek medical attention for her in a manner that evinced a callous and wanton disregard for human life. The involuntary manslaughter charge alleged that Benally caused the death of the victim, who was unconscious and intoxicated, by negligently failing to provide care or to seek medical assistance for the victim.
Benally pleaded guilty on March 22, 2013 to an involuntary manslaughter charge and admitted that on May 19, 2012, he killed his daughter by negligently failing to provide care or seeking medical assistance for her even though he knew she was unconscious and intoxicated. He further admitted that his criminal act took place on the Navajo Indian Reservation.
As required by the plea agreement, the second degree murder charge was dismissed after Benally was sentenced.
This case was prosecuted by Assistant U.S. Attorneys Jennifer M. Rozzoni and Jack E. Burkhead, and was investigated by the Albuquerque and Farmington offices of the FBI and the Shiprock office of the Navajo Nation Division of Public Safety.
Barren County, KY. Sheriff Sentenced on Two Counts of Obstructing JusticeRead the Press Release
Barren County, Ky., Sheriff Christopher Brian Eaton, 42, of Glasgow, Ky., was sentenced today by U.S. District Judge Joseph H. McKinley Jr. to serve an 18-month prison term followed by two years of supervised release, after a jury convicted him on May 9, 2013, of two counts of obstructing justice during a federal criminal civil rights investigation conducted by the FBI. Eaton was convicted of corruptly persuading two of his deputies to write false reports regarding an alleged unreasonable use of force against a man arrested by Eaton and several of his deputies outside a church on Feb. 24, 2010.
Eaton was convicted of directing the first deputy, who did not participate in the arrest, to write a report which falsely stated that Eaton and the deputy had walked back to the area where the individual had been arrested and located a knife lying on the ground. Eaton was convicted of directing the second deputy, who had participated in the arrest, to falsify reports and testify falsely in state court proceedings that that the victim had pulled a knife on Eaton during the victim’s arrest, when Eaton and his deputy fully knew this not to be true.
“Obstruction of justice by law enforcement officers strikes at the heart of the fundamental right of every citizen accused of a crime to due process of the law,” said Acting Assistant Attorney General Jocelyn Samuels of the Civil Rights Division of the U.S. Department of Justice. “As the trial, verdict and sentence in this case demonstrate, the Department of Justice and the Civil Rights Division will vigorously prosecute law enforcement officers who violate their sworn duty to respect and enforce the constitutional rights of every person.”
This case was investigated by the Louisville, Ky. Division of the FBI and was prosecuted by Trial Attorneys Roy Conn and Sanjay Patel of the Department of Justice Civil Rights Division.
Baltimore Resident Convicted of Filing Claims for over $23 Million in Fraudulent Tax Refunds, Alternative Fuel Credits and Refunds, and for A Scheme to Defraud Credit UnionsRead the Press Release
IRS Issued More Than $12 Million in “Refunds”
Baltimore, Maryland - A federal jury has convicted Makushamari Gozo, age 40, a native of Zimbabwe residing in Baltimore, Maryland, on 23 counts that he filed claims for more than $23 million in fraudulent alternative fuel tax credits and refunds and personal tax refunds, as well as that he engaged in a scheme to fraudulently obtain more than $3 million in loans from credit unions. The verdict was returned late on July 31, 2013.
The guilty verdict was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.
“The evidence showed that Makushamari Gozo received over $370,000 in fraudulent federal tax refunds and caused the IRS to issue checks for more than $12 million in tax credits and refunds for alternative fuel that he falsely claimed his sham companies had purchased,” said U.S. Attorney Rod J. Rosenstein. “At the same time, Mr. Gozo also attempted to obtain over $3 million in fraudulent loans from credit unions.”
“Fraud schemes cause tremendous financial damage to everyone, and the American taxpayer is the real victim when the IRS is targeted by fraudsters,” said Thomas J. Kelly, Special Agent in Charge, IRS Criminal Investigation, Washington DC Field Office. “Mr Gozo’s scheme to defraud the IRS was an attack on our nation’s tax system, but through the efforts of IRS Criminal Investigation and the United States Attorney’s Office for the District of Maryland he was brought to justice and convicted by a jury of his peers. IRS Criminal Investigation in partnership with its law enforcement partners will continue to pursue the criminals who commit these crimes and steal from the U.S. Treasury.”
According to information presented at his one week trial, beginning in 2010, Gozo used several entities he controlled to file fraudulent claims for tax refunds. Specifically, Gozo filed individual income tax returns falsely claiming that for tax years 2007 through 2011, he earned wages from two of his companies and was entitled to tax refunds totaling more the $417,000. In addition, Gozo filed tax returns falsely claiming that a third company had sustained losses in tax years 2007 through 2009, which entitled Gozo to more than $76,000 in tax refunds. According to evidence at trial, between October 31, 2011 and February 17, 2012, Gozo also filed false excise tax returns claiming that a fourth company was entitled to approximately $22,657,137 in alternative fuel tax refunds and credits based on having purchased or used over 39 million gallons of alternative fuel. In fact, the entities were all sham businesses that existed in name only.
In addition, the evidence showed that between July 2010 and September 2010, Gozo engaged in a scheme to defraud several credit unions to obtain fraudulent automobile and business loans. Specifically, Gozo submitted four loan applications to the credit unions for the purchase of luxury automobiles that Gozo never actually bought. On the applications, Gozo made materially false statements about his income and employment, in order to make himself appear like a successful businessman and to persuade the credit unions to approve the loan applications. In support of his loan applications, Gozo presented to the credit unions: the same fraudulent W-2 forms that he had submitted to the IRS with his Forms 1040 for tax years 2007, 2008, and 2009; fraudulent pay stubs, which falsely claimed that Gozo made substantial income from one of his businesses; fraudulent “Used Vehicle Buyers Orders” which falsely claimed that Gozo had contracted to purchase the luxury automobiles included on the loan applications; and fraudulent verifications of insurance coverage on the luxury automobiles referenced on the loan applications.
According to the trial testimony, Gozo also submitted a fraudulent loan application for an $3 million business loan in the name of another one of his sham companies. On the application, Gozo made fraudulent statements about the financial and business affairs of the company in order to make it appear financially successful and to persuade the credit union to approve the credit line application. In support of the business loan application, Gozo submitted several false corporate tax returns claiming that the company controlled millions of dollars in assets.
Gozo faces a maximum sentence of five years in prison on each of the 18 counts of making a false claim; and 30 years in prison on each of the five counts of bank fraud. U.S. District Judge Catherine C. Blake has scheduled sentencing for October 25, 2013 at 10:30 a.m. Gozo has been detained since his arrest on July 20, 2012.
United States Attorney Rod J. Rosenstein praised the IRS Criminal Investigation for its work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys David I Sharfstein and Peter M. Nothstein, who are prosecuting the case.
Attorney General Recognizes Appellate Chief of Western District of WashingtonRead the Press Release
WASHINGTON – Helen ‘Micki’ Brunner, the Chief of the Appellate Unit in the Western District of Washington, was one of 154 members of the Department of Justice recognized by Attorney General Eric Holder and Executive Office for U.S. Attorneys (EOUSA) Director H. Marshall Jarrett with a 2013 Director’s Award.
In a personalized letter, Attorney General Holder noted that Ms. Brunner’s leadership “has made your office one of the most highly regarded United States Attorneys’ offices litigating in the Ninth Circuit. You have handled virtually every complex legal issue encountered by your office and served as a role model for many less experienced Assistant United States Attorneys.”
“Each day the members of the US Attorneys’ community go to work for the citizens of this country with one goal in mind – to do everything they can to protect the rights of all Americans,” said EOUSA Director Jarrett. “I am continually humbled by their resiliency, dedication, and unparalleled work ethic to accomplish this noble mission. Today’s awardees exemplify what it truly means to be a patriot and it is an honor to recognize them for their extraordinary service.”
U.S. Attorney Jenny A. Durkan presented the award to AUSA Brunner today at a gathering at the U.S. Attorney’s Office. Due to sequestration, the Awards presentation at the Justice Department in Washington DC was cancelled this year, and no financial awards were presented.
“Micki Brunner epitomizes the dedication, ethics and superior judgment we all strive for as attorneys. I am honored to count her as a colleague and friend,” said U.S. Attorney Jenny A. Durkan. “This award not only recognizes the superior work she has done this year on cases ranging from terrorism to fraud to environmental crime, it is a testament to years of dedicated public service.”
Ms. Brunner has been an attorney with the U.S. Attorney’s Office for the Western District of Washington since 1989. Prior to joining the office she served in the Justice Department Environmental Crimes Section in Washington D.C. and was in the Office of Enforcement at the Environmental Protection Agency.
Attorney General Eric Holder Welcomes the Confirmation of Stuart F. Delery as Assistant Attorney General for the Civil DivisionRead the Press Release
Attorney General Eric Holder today welcomed the confirmation last night by the U.S. Senate of Stuart F. Delery as the Department of Justice’s Assistant Attorney General for the Civil Division.
“I am pleased to congratulate Stuart Delery on his confirmation as Assistant Attorney General for the Civil Division, an office he has held in an acting capacity for more than a year,” said Attorney General Eric H. Holder, Jr. “During that time, and throughout his service at the Department – including his tenure as Chief of Staff to the Deputy Attorney General and Senior Counselor in my office – Stuart has exemplified the highest standards of integrity and professionalism. He has provided strong and steady leadership in our efforts to advance equality, opportunity, and justice. And I look forward to continuing to work with him as we continue the Division’s critical work on behalf of the American people.”
The Civil Division is the largest litigating division in the Department of Justice and represents the United States in legal challenges to Congressional statutes, Administration policies, and federal agency actions. They concern federal benefit programs; commercial issues such as contract disputes, banking, insurance, patents, and debt collection; international trade matters; enforcement of immigration laws; and civil and criminal violations of consumer protection laws. The Civil Division recovers billions of dollars for taxpayers through its affirmative litigation, such as its enforcement of federal consumer protection laws and its record-setting efforts under the False Claims Act, including cases targeting health care fraud, financial fraud, and fraud against the military. Finally, the Division protects the health and safety of Americans by defending cases related to national security and by enforcing protections for the safety of food and medicines.
Delery joined the Justice Department in January 2009 as Chief of Staff and Counselor to the Deputy Attorney General and later served as Associate Deputy Attorney General. From 2010 until 2012, Delery served as Senior Counselor to the Attorney General and focused on civil and appellate matters, including national security litigation and legal policy issues. He has since served as Acting Assistant Attorney General for the Civil Division.
Prior to his federal government experience, Delery was a partner in the Washington, D.C. law firm of WilmerHale, where he was a member of the Litigation Department and the Appellate and Supreme Court Litigation Practice Group and a vice chair of the firm’s Securities Department.
Delery graduated from Yale Law School and the University of Virginia. He clerked for U.S. Supreme Court Justices Sandra Day O’Connor and Byron R. White and for Chief Judge Gerald B. Tjoflat of the U.S. Court of Appeals for the 11th Circuit.
Albuquerque Man Pleads Guilty to Federal Identity Theft ChargesRead the Press Release
ALBUQUERQUE – Reese Chancellor, 31, of Albuquerque, pleaded guilty this morning to conspiracy and identity theft charges under a plea agreement with the U.S. Attorney’s Office. Under the terms of the plea agreement, Chancellor will be subject to a ten month prison sentence followed by a term of supervised release to be determined by the court. Chancellor also will be required to pay $124,708.71 in restitution to the businesses that were victims of his criminal conduct.
Chancellor and his co-defendants, Jeremy Bacuccini, 35, and Mitzi Marsh, 55, both of Albuquerque, were indicted in Nov. 2012, on identity theft, aggravated identity theft and conspiracy charges. According to the 11-count indictment, the three defendants unlawfully used the identities of others to commit crimes in 2007 and 2008. According to the indictment, the three defendants used counterfeit access devices, like credit cards, opened in the names of others and without their permission to fraudulently obtain items valued at more than $1,000.00. Court filings indicate that the co-conspirators were responsible for approximately $124,708.71 in losses sustained by the retailers.
This morning, Chancellor entered guilty pleas to Counts 3 and 7 of the indictment, charging him with conspiracy to commit identity theft, and Count 8, charging him with identity theft. In his plea agreement, Chancellor admitted that, while working at an Albuquerque apartment complex in Oct. 2007, he obtained unauthorized access to tenant files and used the names and identifiers of the tenants to make fake IDs and counterfeit checks. Chancellor further admitted that Bacuccini and Marsh used the fake IDs and counterfeit checks to make fraudulent purchases at numerous retailers, including Home Depot, Zales, Lowe’s, Costco, Sears, Sam’s Club and Sears, valued in aggregate at approximately $124,708.71.
Co-defendant, Bacuccini pleaded guilty on June 17, 2013, to Count 6 of the indictment, charging him with aggravated identity theft. In his plea agreement, Bacuccini admitted that, in Dec. 2007 and Jan. 2008, he used the names and personal identifiers of four individuals, which he obtained from Chancellor, to open accounts at businesses in Albuquerque and Santa Fe and make purchases. He also admitted using fake checks in the names of two of the individuals to make purchases at Albuquerque businesses. Bacuccini also admitted making fake checks using bank account numbers provided by Marsh, who worked at a physician’s office. Bacuccini acknowledged that he and Chancellor are jointly responsible for $30,431.70 in losses sustained by retailers as a result of their criminal conduct. Under the terms of his plea agreement, Bacuccini will be sentenced to two years in federal prison and will be required to make full restitution to the victims of his criminal conduct. Bacuccini is in custody pending his sentencing hearing, which has yet to be scheduled.
Marsh has yet to be arrested and is considered a fugitive. The charges against Marsh are merely accusations and she is presumed innocent unless found guilty beyond a reasonable doubt in a court of law.
This case was investigated by the U.S. Postal Inspection Service and is being prosecuted by Assistant U.S. Attorney Cynthia L. Weisman."Chardhi Kala: Remembering and Honoring the Victims of Violence at the Sikh Gurdwara in Oak Creek"Read the Press Release
United States Attorney James L. Santelle of the Eastern District of Wisconsin announced today that a special observance will be held on Friday, August 2, 2013 from 1:30 p.m. to 3:00 pm in remembrance and honor of the hate crimes victims of violence at the Sikh Gurdwara in Oak Creek. This special community gathering will be held in the Ceremonial Courtroom (Room 390) of the Historic Federal Courthouse, located at 517 East Wisconsin Avenue in Milwaukee.
In addition to remarks by United States Attorney Santelle, Senator Ron Johnson and Senator Tammy Baldwin will also provide remarks. The leadership representatives of the Sikh Gurdwaras in Oak Creek and Brookfield will offer reflections on the events of early August of 2012, and representatives of the families of those martyred and injured in the violence will be specially recognized and participate in the program. The Honorable Stephen Scaffidi, Mayor of the City of Oak Creek, and Ms. Patricia Ferrick, Acting Special Agent in Charge of the Federal Bureau of Investigation, will also offer remarks about the significance of the violence and the perspectives of the community one year later.
The memorial observance will include the performance of special commemorative music performed by children and adult members of the Oak Creek Gurdwara. Mr. Thomas Heinen, the Executive Director of the Interfaith Conference of Greater Milwaukee, will also be offering a reflection on behalf of the diverse faith community in Wisconsin and throughout the nation.
The program will be followed by an informal community gathering in Room 190 of the Historic Federal Courthouse, during which participants and attendees will have an opportunity to engage in informal discussion and share thoughts. In that setting and in the entryway atrium of the building, informational items and photographs about the contributions of Sikhs to the history of the world and to the life and livelihood of the United States will be on display for viewing.
Because of the solemn, contemplative nature of the observance, United States Attorney Santelle requests that the media be respectful of the wishes and interests of the family members of the victims as well as other Gurdwara congregation members and not affirmatively solicit them for on-camera or other interviews in this setting. If requested, Public Information Officer Dean Puschnig will attempt to arrange interviews with victim family members who indicate that they would be willing to be interviewed.
United States Attorney Santelle noted that this observance is among several gatherings and events organized and sponsored in partnership with the leadership of the Sikh Community and of the City of Oak Creek beginning on Friday, August 2, and continuing through Monday, August 5. Information about other, related programs may be obtained from the Sikh Temple of Wisconsin at www.sikhtempleofwisconsin.com.
Mr. Puschnig will meet all representatives of the media at the employee entrance to the building on Jackson Street between 12:30 p.m. and 1:00 p.m. and escort them through the court house to the Ceremonial Courtroom. Arrangements will be made for a unified, common camera for recording/broadcast of the ceremony. Members of the media should call Mr. Puschnig at (414) 297-1774 to confirm their attendance.
# # # # #
31 July 2013
West Plains Man Pleads Guilty to Distributing K2Read the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a West Plains, Mo., man pleaded guilty in federal court today to distributing synthetic marijuana, commonly referred to as K2, while employed at The Man Cave in Springfield, Mo.
Kent C. Work, 54, of West Plains, waived his right to a grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush to a federal information that charges him with two counts of distributing a controlled substance analogue.
Work admitted that, while working at The Man Cave, he sold synthetic marijuana to an undercover Springfield police officer on several occasions.
By pleading guilty to the first count, Work admitted that he sold synthetic marijuana to an undercover officer on April 2, 2013. When the officer asked for “Scarface,” Work walked to the cash register, leaned under the counter, and looked through a box. Work stated they only had “Baby Face” in a green or strawberry color. The undercover officer asked for the strawberry. Work produced a bag of “Baby Face,” which the undercover officer purchased for $35.
The packaging included the words, “100% DEA Approved, Not for Human Consumption.” Work did not ring the transaction through the cash register and did not charge sales tax.
By pleading guilty to the second count, Work admitted that he sold synthetic marijuana to an undercover Springfield police officer on April 10, 2013. The undercover officer asked Work for “Scarface.” Work walked to the cash register and pulled out several packages of synthetic marijuana and said that he had “Baby Face,” “608 Triple Cherry,” “Scarface” and “Reload Plain.” The undercover officer asked to purchase the “Scarface” and the “Reload Plain” and handed Work $50.
The “Scarface” packaging included the words, “100% DEA Approved.” The “Reload Plain” packaging included the words, “Not Meant for Human Consumption, For Display Purposes Only” and “Does not contain any Federally Forbidden Ingredients.” No receipt was issued and the purchase was not taxed.
In addition to the criminal conduct for which he was charged, Work also admitted that he again sold synthetic marijuana to an undercover police officer on April 24 and May 8, 2013. Work was also observed selling these substances to other customers of The Man Cave. Those additional actions are considered relevant conduct and may be considered by the court when determining an appropriate sentence. Work sold a total of 17 grams of synthetic marijuana.
Under federal statutes, Work is subject to a sentence of up to 40 years in federal prison without parole, plus a fine up to $2 million. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Springfield, Mo., Police Department, the Missouri State Highway Patrol, IRS-Criminal Investigation and the U.S. Postal Inspection Service.Uhrichsville Woman Charged with Making A Bomb ThreatRead the Press Release
A grand jury returned a one-count indictment charging an Uhrichsville woman with making a bomb threat, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Jennifer Jean Ebert, 25, is charged with phoning in the threat to the MedCentral Wellness Complex, in Mansfield, which caused its evacuation on March 22, 2013, according to the indictment.
The case is being prosecuted by Assistant U.S. Attorneys Justin Seabury Gould and Edward F. Feran, following investigation by agents of the Federal Bureau of Investigation, and members of the Ontario (Ohio) Division of Police.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Two-Time Felon Sentenced to Federal Prison for Drug Trafficking and Firearms ChargesRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Warren Love, 36, of Rochester, N.Y., who was convicted by a jury of possession of cocaine with the intent to distribute, maintaining a drug involved premises, possession of firearms in furtherance of drug trafficking crimes, and possession of firearms and ammunition while being a convicted felon, was sentenced to 13 years in prison and six years supervised release by U.S. District Court Judge David G. Larimer.
Assistant U.S. Attorneys Craig Gestring and Charles E. Moynihan, who handled the case, stated that Love was arrested following the execution of two search warrants by members of the Greater Rochester Area Narcotics Enforcement Team at 399 Lake Avenue on April 6, 2010. Upon entering the location, officers encountered and arrested the defendant at the threshold of the rear first floor apartment.
In searching the rear first floor apartment, law enforcement officers located and seized over 19 grams of crack cocaine which was in the process of being packaged for street level sale. Officers also located paraphernalia associated with drug trafficking, including digital scales and glassine ziplock bags. In addition to these items, law enforcement officers located and seized two bullet proof vests and two handguns, one of which was loaded with ten rounds of ammunition.
In searching the rear second floor apartment, officers also located a sophisticated surveillance system which showed the area outside of 399 Lake Avenue through the use of strategically mounted surveillance cameras. Officers located, in the same apartment, paraphernalia related to drug trafficking, as well as a loaded 40 caliber rifle which was underneath a sofa. Finally, officers found the defendant's four-year old son playing in the living room in which they found the loaded rifle.
The sentencing is the result of an investigation on the part of the Greater Rochester Area Narcotics Enforcement Team composed of law enforcement personnel from the Bureau of Alcohol, Tobacco, Firearms and Explosives under the direction of Resident Agent in Charge Scott Heagney, the Rochester Police Department, under the direction of Chief James M. Sheppard and Irondequoit Police Department, under the direction of Richard Boyan.
Two Individuals Convicted on Drug ChargesRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistFollow us on Twitter @NDWVnews
ELKINS, WEST VIRGINIA — United States Attorney William J. Ihlenfeld, II announced that the following individuals recently appeared in Federal Court in Elkins.
DONALD MARK TILLOTSON, age 39, of Burlington, West Virginia, entered a plea of guilty to “Possession of Pseudoephedrine to be Used in the Manufacture of Methamphetamine” on November 12, 2012, in Keyser, West Virginia. TILLOTSON, who is in custody pending sentencing, faces up to 20 years imprisonment and a $250,000 fine. This case was investigated by the Potomac Highlands Drug and Violent Crimes Task Force consisting of officers from the Federal Bureau of Investigation, and the West Virginia State Police - Bureau of Criminal Investigations.
TONYA RENEE HAYMOND, age 28, of Romney, West Virginia, entered a plea of guilty to “Distribution of Heroin,” on June 5, 2012, in Moorefield, West Virginia. HAYMOND, who is free on bond pending sentencing, faces up to 20 years imprisonment and a $1,000,000 fine. This case was investigated by the Hardy County Sheriff’s Department and the Moorefield Police Department.
The TILLOTSON and HAYMOND cases were prosecuted by Assistant United States
Attorney Stephen D. Warner.Two Individuals Arrested for Child PornographyRead the Press Release
SAN JUAN, Puerto Rico —U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) special agents, and officers assigned to the Puerto Rico Crimes Against Children Task Force (PRCACTF) arrested Victor Vega-Rodríguez, 21, of the municipality of Arroyo, and Kermet Cuebas-Crespo, 21, of Mayagüez, on two different criminal complaints for child pornography, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
On July 16, HSI received information from PRPD regarding a complaint filed against Vega-Rodríguez alleging that he used his Facebook account to entice, coerce and induce two female minors identified as Jane Doe 1 and Jane Doe 2 to engage in sexually explicit conduct and that he allegedly transported them to his home to engage in sexual criminal acts. The information provided by PRPD led to an HSI investigation that resulted in the arrest of Vega-Rodríguez.
According to the charges, a relative of Jane Doe 1 filed a complaint with the PRPD. The complaint was regarding the kidnapping of Jane Doe 1. PRPD officers rescued the minor at Vega-Rodríguez’s residence located in Arroyo, Puerto Rico. The second victim, another 14 year old female minor, was picked up by the defendant at her school in February of this year. According to the charges they engaged in multiple sexual acts.
In a separate case yesterday, HSI agents arrested Kermet Cuebas-Crespo, for possession of child pornography. The HSI investigation that led to Cuebas-Crespo’s arrest stemmed from a referral from the National Center for the Missing and Exploited Children.
Vega-Rodríguez faces a sentence of 15 years to life in prison while Cuebas-Crespo faces a sentence of five years in prison. Assistant U.S. Attorney Luke Cass is prosecuting both cases.
“Criminals with this kind of depravity in mind should know that law enforcement agencies in Puerto Rico are always vigilant. For every tactic taken to evade the law, we will adapt our strategies to find them and prosecute them to the fullest extent of the law,” said US Attorney Rosa Emilia Rodríguez-Vélez. “The U.S. Department of Justice, through its Project Safe Childhood, will continue prosecuting sexual predators of minors.”
“The sexual exploitation of children is perhaps one of the most heinous crimes there are and HSI will continue to fight it, said Ángel M. Meléndez, special agent in charge of HSI San Juan. “With the alarming increase of these cases on the island HSI is committed to continue working with our PRCACTF partners to bring those who exploit our children to justice.”
In response to the need for an island-wide approach to fighting the escalation of predatory crimes against children, HSI San Juan partnered with members of local, state and federal law enforcement, as well as local and state government officials and community leaders, to form PRCACTF in June 2011.
Through PRCACTF, local, state and federal law enforcement agencies work together with local and state government agencies to effectively pool their resources to jointly investigate all crimes against children in Puerto Rico. Through the task force, law enforcement officers are encouraged to share evidence, ideas, and investigative and forensic tools to ensure the most successful prosecutions possible. As such, PRCACTF allows law enforcement to speak with one unified voice in defense of the children of Puerto Rico.
Suspected child sexual exploitation or missing children may be reported to the National Center for Missing & Exploited Children, an Operation Predator partner, via its toll-free 24-hour hotline, 1-800-843-5678.
Two Essex County, N.J., Men Sentenced to Long Prison Terms for Armed Robbery of Jewelry StoreRead the Press Release
NEWARK, N.J. – Two Essex County, N.J., men were sentenced to prison today for the armed robbery of the Golden Palace jewelry store in Orange, N.J., U.S. Attorney Paul J. Fishman announced.
U.S. District Judge William J. Martini sentenced Antonio Moore, 45, of Newark, to 188 months in prison. Moore previously pleaded guilty to an indictment charging him with one count of Hobbs Act robbery and one count of using a firearm in furtherance of that robbery. Judge Martini sentenced Charles Madison, 42, also of Newark, to 150 months in prison. Madison previously pleaded guilty to an information charging him with aiding and abetting the Hobbs Act robbery and for being a felon in possession of a firearm. A third defendant, David Williams, pleaded guilty in January 2013 and awaits sentencing.According to documents filed in this case and statements made in Newark federal court:
On Aug. 6, 2012, Moore and Williams robbed the store at gunpoint, while Madison served as the getaway driver. During the robbery, Moore punched an employee of the Golden Palace in the head, restrained that employee and a co-worker with duct tape and telephone cord and took approximately $120,000 in jewelry from the store’s display cases. Law enforcement pulled over Madison’s pickup truck approximately an hour after the robbery and found dozens of pieces of gold jewelry scattered across the back seat of the truck.
In addition to the prison terms, Judge Martini sentenced each defendant to serve three years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Aaron T. Ford in Newark, with the investigation. Fishman also thanked the Orange Police Department and the New Jersey State Police for their investigation and assistance.
The government is represented by Assistant U.S. Attorney Andrew J. Bruck and Chief David E. Malagold of the U.S. Attorney’s Office Organized Crime/Gangs Unit in Newark.
13-319
Defense counsel: Moore: Mark A. Berman Esq., River Edge, N.J.
Madison: Michael V. Calabro Esq., NewarkTwo District Men Found Guilty of Armed Kidnapping and Other Charges in Northwest Washington Attack-Defendants Bound Victim and His Friend, Held Them for Hours-Read the Press Release
WASHINGTON - Aaron Thorpe, 33, and Melvin Knight, 36, both of Washington, D.C., were found guilty by a jury today of armed kidnapping and other charges stemming from an attack in which they held a man and woman for hours while searching a house in Northwest Washington for illegal drugs and cash, U.S. Attorney Ronald C. Machen Jr. announced.
The verdicts followed a trial in the U.S. District Court for the District of Columbia. The defendants were found guilty of armed kidnapping, armed burglary, a weapons offense, and related charges. The Honorable Richard J. Leon scheduled sentencing for Oct. 31, 2013. Thorpe and Knight, who are being held without bond pending sentencing, face up to 35 years in prison.
According to the government’s evidence, early Jan. 28, 2013, Thorpe and Knight lay in wait outside the home of the victim, who lived in the 6400 block of Kansas Avenue NW. They were armed with handguns and wearing ski masks and dark clothing. When the victim and his female friend approached the home, Thorpe and Knight emerged from behind a car, forced the victim and his friend against the wall of the home at gunpoint, and handcuffed them.
In the course of trying to handcuff the victim, who was resisting restraint, Knight discharged his firearm. A neighbor, hearing the gunshot, looked out a window and saw three men – the victim, Thorpe, and Knight. The neighbor described Thorpe and Knight as two men in masks and in all black, one with a shirt that had the word “POLICE” written across it. The neighbor saw the men force the victim into his home and clearly saw one of them holding a gun.
After the neighbor’s call to police, the Metropolitan Police Department (MPD) arrived on the scene and knocked on the door; no one responded. More units responded over the next few hours, including the department’s Emergency Response Team.
Meanwhile, once inside, Thorpe and Knight had forced the victim and his friend to the floor. The two defendants then bound their legs and mouths with duct tape, and began searching through the home for illegal narcotics and cash. They demanded that the victim tell them where to look, and threatened him and his friend, stating, “We’re not leaving any witnesses.”
While lying face down on the floor, fearing for his life and that of his friend, the victim saw one of the defendants’ guns on the floor. He was able to break his hands free and attempted to reach for the gun. At that point, one of the assailants jumped on him, beat him severely in the head and face with another gun, and threatened to kill the victim’s friend if he did not relent. The male victim complied and the two defendants bound his hands with flexi-cuffs again.
The defendants later hid and/or attempted to destroy evidence of their crimes, unbound the victims, and threatened them to tell a false story to police about what had happened inside the home. Finally, at about 3:40 a.m., Thorpe and both victims walked out of the home; police officers then went in and located Knight upstairs. Both defendants were placed under arrest.
In announcing the verdicts, U.S. Attorney Machen commended the actions of the Metropolitan Police Department officers, detectives, and others who worked on the case. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Candace Battle and Debra McPherson, Legal Assistant Tammy Scott, Intelligence Specialists Francis Morgan and Sharon Johnson, and intern Christopher Kaltsas. Finally, he commended the efforts of Assistant U.S. Attorneys Emory V. Cole and Brittain Shaw, who investigated and prosecuted the case.
13-270Two Birmingham Women Indicted for Possessing Stolen MailRead the Press Release
BIRMINGHAM -- A federal grand jury late Tuesday indicted two Birmingham women in connection with mail stolen from residential mailboxes in Trussville, announced U.S. Attorney Joyce White Vance and U.S. Postal Inspector Frank Dyer.
An indictment filed in U.S. District Court charges SHAYLA MONIQUE DAUGHTRY, 22, and TOYA LAPARRIS SHEPARD, also 22, with possessing stolen mail and clothing removed from a package that had been stolen from the mail on July 27.
The maximum penalty for possessing stolen mail is five years in prison and a $250,000 fine.
The U.S. Postal Inspection Service investigated the case, with assistance from Trussville Police. Assistant U.S. Attorney Melissa K. Atwood is prosecuting the case.
The public is reminded that an indictment contains only charges. It will be the government's responsibility to prove the charges beyond a reasonable doubt at trial.
Tres hombres fueron sentenciados en Puerto Rico en un enjuiciamiento de la Operación 'Guard Shack'Read the Press Release
Dos ex agentes de la Policía de Puerto Rico y otra persona fueron sentenciados a prisión ayer por sus papeles en brindar seguridad para transacciones de narcotráfico.
El Secretario de Justicia Auxiliar Interino Mythili Raman de la División Penal del Departamento de Justicia, la Fiscal Federal Rosa E. Rodriguez-Velez del Distrito de Puerto Rico y el Agente Especial a Cargo Carlos Cases de la Oficina Local de San Juan del Buró Federal de Investigaciones [Federal Bureau of Investigation (FBI)] realizaron un anuncio después de emitida la sentencia por la Juez Federal de Distrito Consuelo Cerezo en el Distrito de Puerto Rico.
Los ex agentes de la Policía de Puerto Rico Daviel Salinas-Acevedo, 29, de Bayamon, Puerto Rico, y Miguel Santiago-Cordero, 30, de Lares, Puerto Rico, fueron ambos sentenciados el 30 de julio de 2013 a 181 meses de prisión. Asimismo, Wendell Rivera-Ruperto, 38, de Las Marías, Puerto Rico, también fue sentenciado ayer a 420 meses en prisión.
El 10 de enero de 2013, Salinas-Acevedo y Santiago-Cordero fueron ambos condenados en juicio por un cargo de conspirar para poseer con la intención de distribuir más de cinco kilogramos de cocaína y un cargo de posesión de arma de fuego para promover una transacción de drogas. Rivera-Ruperto fue condenado por un cargo de conspiración para poseer con la intención de distribuir más de cinco kilogramos de cocaína, intento de posesión con la intención de distribuir más de cinco kilogramos de cocaína y posesión de arma de fuego para promover una transacción de drogas. Rivera-Ruperto había sido condenado anteriormente por 15 otros cargos derivados de su participación en otras transacciones de narcotráfico relacionadas.
El caso contra los tres demandados surgió de la operación encubierta del FBI conocida como "Operación Guard Shack". Hasta la fecha, 131 demandados se han declarado culpables o han sido condenados en juicio, y 123 demandados han sido sentenciados como resultado de la operación.
De acuerdo con pruebas presentadas en el tribunal, Salinas-Acevedo, Santiago-Cordero y Rivera-Ruperto brindaron, cada uno, seguridad para lo que creían ser transacciones ilegales de cocaína que ocurrieron el 24 de marzo, el 9 de abril y el 8 de julio, respectivamente. De hecho, cada supuesta transacción de narcotráfico fue una de docenas de transacciones simuladas llevadas a cabo como parte de la operación encubierta del FBI. Los tres hombres prestaron servicios de seguridad armada para las transacciones de cocaína de múltiples kilogramos al registrar al comprador, mantenerse de guardia a medida que se contaron los kilos e inspeccionar y escoltar al comprador al llegar y salir del lugar de la transacción.
A cambio por la seguridad que brindaron, Salinas-Acevedo, Santiago-Cordero y Rivera-Ruperto recibieron un pago en efectivo de 2,000 dólares cada uno. Ninguno de los demandados devolvió el dinero y ninguno de ellos jamás denunció las transacciones.
El caso fue investigado por el FBI. El Departamento de Justicia de Puerto Rico también brindó asistencia en este caso.
El caso fue enjuiciado por los Abogados Litigantes Anthony J. Phillips y Edward J. Loya Jr. de la Sección de Integridad Pública de la División de lo Penal. La Fiscalía Federal para el Distrito de Puerto Rico participó en la investigación y el enjuiciamiento de este caso.
Three Northeast Alabama Residents Indicted for Distributing MethamphetamineRead the Press Release
BIRMINGHAM -- A federal grand jury late Tuesday indicted three northeast Alabama residents for conspiracy to distribute methamphetamine in Marshall County, announced U.S. Attorney Joyce White Vance and FBI Special Agent in Charge Richard D. Schwein Jr.
An indictment filed in U.S. District Court charges ANGELA NICOLE HOLLAND, 39, CHESTER LYNN DAVIDSON, 60, both of Albertville, and ROBERT BRADLEY FUSSELL, 38, of Boaz, with conspiring to distribute and to possess with intent to distribute at least 50 grams of the controlled substance, methamphetamine, between November 2012 and February.
The indictment also charges Davidson with two individual counts of distributing methamphetamine, on Jan. 29 and Jan. 30. It charges Fussell with one count of possessing methamphetamine with intent to distribute the drug on Jan. 30, and charges Holland with one count of distributing methamphetamine on Feb. 15 and with possessing with intent to distribute five grams or more of the drug on that date.
The conspiracy charge carries a penalty of 10 years to life in prison and a fine of up to $10 million. The charges of possessing with intent to distribute or distributing methamphetamine carry a maximum penalty of 20 years in prison and a $1 million fine. Possessing with intent to distribute at least five grams of methamphetamine carries a possible prison sentence of five to 40 years and a maximum $5 million fine.
The FBI investigated the case, which Assistant U.S. Attorney Laura D. Hodge is prosecuting.
The public is reminded that an indictment contains only charges. It will be the government's responsibility to prove the charges beyond a reasonable doubt at trial.
Three Men Sentenced in Puerto Ricoin Operation Guard Shack ProsecutionRead the Press Release
Two former officers with the Police of Puerto Rico and another individual were sentenced to prison late yesterday for their roles in providing security for drug transactions.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Rosa E. Rodriguez-Velez of the District of Puerto Rico and Special Agent in Charge Carlos Cases of the FBI’s San Juan Field Office made the announcement after sentencing by U.S. District Judge Carmen Consuelo Cerezo in the District of Puerto Rico.
Former Police of Puerto Rico officers Daviel Salinas-Acevedo, 29, of Bayamon, Puerto Rico, and Miguel Santiago-Cordero, 30, of Lares, Puerto Rico, were each sentenced on July 30, 2013, to serve 181 months in prison. In addition, Wendell Rivera-Ruperto, 38, of Las Marias, Puerto Rico, was also sentenced yesterday to 420 months in prison.
On Jan. 10, 2013, Salinas-Acevedo and Santiago-Cordero were each convicted at trial of one count of conspiring to possess with intent to distribute more than five kilograms of cocaine and one count of possessing a firearm in furtherance of a drug transaction. Rivera-Ruperto was convicted of one count of conspiring to possess with intent to distribute more than five kilograms of cocaine, attempting to possess with the intent to distribute more than five kilograms of cocaine and possessing a firearm in furtherance of a drug transaction. Rivera-Ruperto had been convicted previously of 15 other counts arising from his participation in other, related drug transactions.
The case against the three defendants arose from the FBI’s undercover operation known as “Operation Guard Shack.” To date, 131 defendants have pleaded guilty or been convicted at trial, and 123 defendants have been sentenced as a result of the operation.
According to the evidence presented in court, Salinas-Acevedo, Santiago-Cordero and Rivera-Ruperto each provided security for what they believed were illegal cocaine deals that occurred on March 24, April 9 and July 8, 2010, respectively. In fact, each purported drug transaction was one of dozens of simulated transactions conducted as part of the undercover FBI operation. The three men performed armed security for the multi-kilogram cocaine deals by frisking the buyer, standing guard as the kilos were counted and inspecting and escorting the buyer in and out of the transaction.
In return for the security they provided, Salinas-Acevedo, Santiago-Cordero and Rivera-Ruperto each received a cash payment of $2,000. The money was never returned by any of the defendants, and none of the defendants ever reported the transactions.
The case was investigated by the FBI. The Puerto Rico Department of Justice also provided assistance in this case.
The case was prosecuted by Trial Attorneys Anthony J. Phillips and Edward J. Loya Jr. of the Criminal Division’s Public Integrity Section. The U.S. Attorney’s Office for the District of Puerto Rico participated in the investigation and prosecution of this case.
Three Charged with Various Drug Trafficking ConspiraciesRead the Press Release
CORPUS CHRISTI, Texas – A three-count indictment alleging cocaine and heroin trafficking conspiracies has been partially unsealed following the arrest of a Corpus Christi resident, United States Attorney Kenneth Magidson announced today.
The indictment, returned July 25, 2013, was partially unsealed yesterday following the arrest of Corpus Christi resident Jose Manuel Zuniga aka “Slick,” 33. Zuniga made an initial appearance before U.S. Magistrate Judge B. Janice Ellington in Corpus Christi late yesterday, at which time he was ordered detained pending further criminal proceedings. He is set for an arraignment and detention hearing Friday, Aug. 2, 2013, at 9:00 a.m. Also charged but already in custody on related charges in Houston are Ruben Esparza aka “Popo,” 35, and Ernesto Villarreal aka “Crash,” 36, of Robstown. They are expected to make their appearance before a U.S. magistrate judge in Houston. The indictment remains sealed as to those charged but not as yet in custody.
Zuniga is charged with Esparza and Villarreal with possessing with intent to distribute 28 grams of heroin. If convicted, they each face up to 20 years imprisonment as well as $1 million fine.
Esparza and Villarreal also face not less than 10 years and a maximum of life in federal prison as well as a $10 million fine for conspiracy to possess with intent to distribute more than a kilogram of heroin in 2011 and 2012. Both are further charged with conspiring to possess with intent to distribute less than 500 grams of cocaine in 2011. The punishment range for that conviction is at least five and up to 40 years imprisonment as well as a possible $5 million fine.
The indictment also provides notice of the government to seek a money judgment against Esparza in the amount of $126,000, which is alleged to be proceeds from his heroin sales.
This case was investigated through a joint effort by the FBI, Drug Enforcement Administration, Corpus Christi Police Department and Texas Department of Public Safety.
The case is being prosecuted by Assistant United States Attorney Michael Hess.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless and until convicted through due process of law.The Department Announces Departure of Financial Fraud Enforcement Task Force Executive Director Michael BresnickRead the Press Release
The Justice Department announced today that the Executive Director of the Financial Fraud Enforcement Task Force (FFETF) Michael Bresnick will be leaving the department on Thursday, August 1, 2013. Bresnick has served as Executive Director of the FFETF since October 2011.
“Throughout his tenure as Executive Director of the President’s Financial Fraud Enforcement Task Force, Mike Bresnick has played an indispensable role in leading interagency efforts to ensure stability and fairness in our financial and housing markets – while holding accountable those who take advantage of their fellow citizens,” said Attorney General Eric Holder. “Under Mike’s leadership, the Department’s approach in identifying – and combating – financial fraud has never been smarter, more systematic, or more effective. I am grateful for his tireless work, his dedication to public service, and his commitment to the highest standards of professionalism and integrity. I am certain that the Department, and the American people, will continue to benefit from Mike’s efforts for years to come. And I wish him the best as he takes the next step in his career.”
In 2009, President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. As executive director, Mr. Bresnick has upheld this commitment by overseeing the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud and protect the American consumer.
Protecting Americans from the devastating effects of fraudulent schemes and reinforcing consumer education and awareness has been a primary focus of Bresnick’s tenure. In 2012 he launched the Consumer Protection Working Group to address consumer fraud, an issue that can financially cripple households and can cause extensive losses to the economy. The group has worked across federal law enforcement and regulatory agencies, and with state and local partners, to confront consumer fraud through prosecution and education.
Under Bresnick’s leadership and direction, the department also implemented innovative and aggressivestrategies to investigate fraud in the residential mortgage-backed securities market. In 2012, the department launched the Task Force’s Residential Mortgage-Backed Securities (RMBS) Working Group, which is a collaborative effort between federal and state law enforcement agencies to focus on fraud in the packaging and sale of RMBS offerings. There are now more than 200 lawyers, investigators, analysts and staff actively engaged in RMBS investigatory work across federal and state governments throughout the country. Thus far working group members have taken legal action against major financial institutions that have sought to deceive investors through fraudulent misrepresentation in the sale of mortgage back securities, and more are expected.
Bresnick has been a federal prosecutor, representing the interests of the American people for nearly 10 years. Prior to his role as the executive director of FFETF, he worked as an assistant chief in the Fraud Section of the Criminal Division where he supervised a team of attorneys in the investigation and prosecution of a broad range of financial crimes, including mortgage fraud and bank fraud. Bresnick also served as an assistant U.S. Attorney in Philadelphia, where he prosecuted a wide variety of criminal cases, including financial fraud, health care fraud, public corruption and Racketeer Influenced and Corrupt Organization Act offenses.
“I would like to thank Attorney General Holder and the Department for allowing me the unique opportunity to lead the government’s anti-fraud efforts and pursue justice on behalf of the American people. These last 10 years as a career prosecutor have been an honor and a privilege, and I am truly grateful for the experience.”
Bresnick will end his tenure as Executive Director of FFETF to serve as a partner in the law firm Stein Mitchell Muse and Cipollone LLP in Washington, D.C.
St. Louis Man Sentenced on Fraud ChargesRead the Press Release
St. Louis, MO – JAY DUNLAP of St. Louis County was sentenced to 60 months in prison for orchestrating two real estate fraud schemes. After a jury trial in April, Dunlap was convicted of bank fraud and wire fraud in connection with the financing of two residential properties between 2005 and 2009. At that time, Dunlap was the owner of A-Team Mortgage company and fraudulently used straw buyers to obtain mortgages, the proceeds of which he controlled. In addition to his prison term, Dunlap was ordered to pay more than $350,000 in restitution to the victims of his offense.
Dunlap was convicted in April of three felony counts of wire fraud, one felony count of bank fraud and one felony count of mail fraud after a four-day trial. He appeared today for sentencing before United States District Judge E. Richard Webber.
The case was investigated by the U.S. Postal Inspection Service and the Federal Housing Finance Agency Office of Inspector General. Assistant United States Attorneys Tom Albus and Dianna Collins handled the case for the U.S. Attorney's Office.
South Carolina Man Enters Plea to Introducing Stem Cells into Interstate CommerceRead the Press Release
HOUSTON – Vincent Dammai, 42, of Pleasant, S.C., has entered a guilty plea to causing the introduction of stem cells into interstate commerce without the approval of the Food and Drug Administration (FDA), United States Attorney Kenneth Magidson announced today.
Dammai was a former assistant professor of Pathology and Laboratory Medicine at the Medical University of South Carolina. The superseding criminal information charged him with introducing stem cells processed at the university into interstate commerce without FDA approval. Dammai entered the guilty plea yesterday before U.S. Magistrate Judge Frances Stacey.
The charges against Dammai was the result of an investigation by the FDA and the FBI into the manufacture, distribution, sale and use of stem cells in the treatment of human autoimmune diseases. Currently, the FDA has not approved the use of stem cells for the treatment of diseases such as amyotrophic lateral sclerosis (ALS), multiple sclerosis (MS) and Parkinson’s disease.
During the investigation, agents discovered that co-conspirator Francisco Morales falsely represented to the public that he was a physician licensed to practice medicine in the United States and had experience in performing stem cell procedures for the treatment of ALS, MS and Parkinson’s. Agents further discovered Morales obtained stem cells from Fredda Branyon, the owner of a company called Global Laboratories located in Scottsdale, Ariz.
While trying to determine the source of the stem cells sold to Morales by Global Laboratories, agents discovered that Dammai was processing stem cells at the Medical University in South Carolina without university or FDA approval.
During the plea, Dammai admitted that beginning in 2006 while employed with the university, he used university facilities to harvest and process stem cells for a company called Caledonia Consulting located in South Carolina. He further admitted he harvested stem cells for Caledonia from March 2006 through December 2008 and was paid approximately $161,625. Dammai acknowledged he was only authorized to conduct research for kidney cancer and was not permitted to harvest or process stem cells.
Dammai also admitted that in late December 2008, Caledonia Consulting was sold to Branyon and that Caledonia was then dissolved. Branyon then established a company named Global Laboratories. Dammai admitted that in May 2009 he entered into a consulting agreement with Branyon to provide guidance to Global Laboratories regarding the processing of stem cells. As a result of this agreement, Dammai routinely received umbilical cord blood in South Carolina from Global Laboratories and processed stem cells from the cord blood at the Medical University. Dammai would then send the stem cells he processed to Global Laboratories in Arizona. However, Dammai did not have any formal training in how to process stem cells.
Dammai admitted he received more than $55,00 from Global Laboratories for processing the stem cells. The stem cells were later sold by Branyon to Francisco Morales.
Sentencing has been set for Nov. 14, 2013, at which time Dammai faces up to one year in prison and a $10,000 fine.
Branyon and Morales have also entered guilty pleas in relation to the case and are also pending sentencing.
Assistant United States Attorneys Samuel Louis and Cedric Joubert prosecuted the case.
Shiprock, N.M., Man Pleads Guilty to Federal Child Sex Abuse ChargeRead the Press Release
ALBUQUERQUE – Herbert Ben, Sr., 63, an enrolled member of the Navajo Nation who resides in Shiprock, N.M., pleaded guilty earlier today to sexually abusing a minor under a plea agreement with the U.S. Attorney’s Office.
Ben, Sr., and co-defendants Rosabelle Ben, 58, and Bruce Hamilton, 77, also members of the Navajo Nation from Shiprock, were arrested in May 2012, based on a criminal complaint alleging child sex abuse offenses. All three subsequently were indicted and charged with sexual abuse of a child between the age of 12 and 16 years, and aiding and abetting the sexual abuse of a child.
Today Ben, Sr., entered a guilty plea to sexual abuse of a minor and admitted that, on a day between Aug. 2010 and Dec. 2011, he sexually abused the victim at a location within the Navajo Reservation.
Under the terms of the plea agreement, Ben, Sr. will be sentenced to a federal prison term within the range of two to five years followed by a term of supervised release to be determined by the court. Ben, Sr. also will be required to register as a sex offender. Ben, Sr. was remanded into the custody of the U.S. Marshals Service after entering his guilty plea and he will remain detained pending his sentencing hearing, which has yet to be scheduled.
Co-defendants Rosabelle Ben and Hamilton have entered not guilty pleas and are pending trial. The charges against Rosabelle Ben and Hamilton are merely accusations and they are presumed innocent unless found guilty beyond a reasonable doubt in a court of law.
The case was investigated by the Farmington office of the FBI and the Shiprock office of the Navajo Nation Division of Public Safety. The case is being prosecuted by Assistant U.S. Attorneys Jacob A. Wishard and Novaline D. Wilson as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Shelton Man Involved in Illegal Sports Betting Ring Sentenced to Federal PrisonRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that DOMENICO MANCHISI, also known as “Dom,” 65, of Shelton, was sentenced today by United States District Judge Vanessa L. Bryant in Hartford to six months of imprisonment, followed by one year of supervised release, for his involvement in an illegal sports bookmaking operation. MANCHISI also was ordered to pay a fine of $20,000 and to forfeit $20,000.
According to court documents and statements made in court, after a long-term investigation led by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation and the Stamford Police Department, MANCHISI and 19 other individuals were charged with various offenses related to their involvement in an illegal Internet sports bookmaking operation and illegal card gambling clubs in Stamford and Hamden that were controlled by the Gambino Crime Family of La Cosa Nostra.
The investigation, which included the use of court-authorized wiretaps, revealed that MANCHISI was involved in a large-scale sports bookmaking operation in which gamblers placed bets with offshore Internet sports-gambling websites, particularly www.44wager.com based in Costa Rica. MANCHISI regularly collected the cash proceeds of a sports book operating in the New Haven area and transported the cash to individuals in Stamford.
FBI analysis of the sports-betting web site utilized by the co-defendants has determined that the total gross revenues of the Stamford-based gambling operation were nearly $1.7 million from October 2010 to June 2011.
On March 28, 2013, MANCHISI pleaded guilty to one count of operating an illegal gambling business.
This matter is being investigated by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation, the Stamford Police Department, the Bridgeport Police Department and the Connecticut State Police. This case is being prosecuted by Assistant United States Attorneys Hal Chen and Peter Jongbloed.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]Sesser Man Sentenced for Firearm OffenseRead the Press Release
Admitted Use of Drugs While Possessing Firearm
Robert D. Olguin, 47, from Sesser, IL, was sentenced on July 29, 2013, in United States District Court in East St. Louis, IL, on one count of unlawful possession of a firearm by a user of a controlled substance, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Olguin was sentenced to 5 years on probation, a $100 fine and ordered to pay a $100 special assessment. He also agreed to forfeit the firearm.
On October 18, 2012, a motorcycle patrol officer running radar checks on vehicles, clocked a pick-up truck driven by Olguin traveling over the maximum allowable speed limit of 65 mph in Mascoutah, IL. The officer executed a traffic stop and noticed a strong odor of marijuana emanating from the vehicle as he approached. He advised Olguin of the reason for the traffic stop, and asked if there was marijuana in the car. Olguin handed the officer a small Altoid can retrieved from a floorboard on the passenger side of the truck. It contained a small leafy-like substance, as well as a smoking device. A further search of the vehicle uncovered a loaded rifle in an open case in the back driver’s side door of this vehicle and two manila envelopes containing approximately thirty grams of marijuana. Olguin admitted ownership of the firearm and his intent to smoke the marijuana.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant United States Attorney Daniel T. Kapsak.
Self-proclaimed Leader of Sovereign Citizen Group Sentenced to Federal Prison for Promoting Tax Fraud SchemeRead the Press Release
The Justice Department, the Internal Revenue Service (IRS) and the FBI announced today that James Timothy Turner, also known as Tim Turner, was sentenced to serve 18 years in federal prison for conspiracy to defraud the United States, attempting to pay taxes with fictitious financial instruments, attempting to obstruct and impede the IRS, failing to file a 2009 federal income tax return and falsely testifying under oath in a bankruptcy proceeding.
In March 2013, following a five-day jury trial, Turner was convicted on 10 counts in the U.S. District Court for the Middle District of Alabama. Based on the evidence introduced at trial and in court filings, Turner, the self-proclaimed “president” of the sovereign citizen group Republic for the united States of America (RuSA), traveled the country in 2008 and 2009 conducting seminars teaching attendees how to defraud the IRS by preparing and submitting fictitious bonds to the U.S. government in payment of federal taxes, mortgages, and other debt. The evidence at trial revealed the bonds are fictitious and worthless but witnesses testified that Turner used special paper, financial terminology and elaborate borders in an effort to make them look authentic and more likely to succeed in defrauding the recipient. Turner was convicted of sending a $300 million fictitious bond in his own name and of aiding and abetting others in sending fifteen other fictitious bonds to the Treasury Department to pay taxes and other debts.
The evidence at trial also established that Turner taught people how to file retaliatory liens against government officials who interfered with the processing of fictitious bonds. Turner filed a purported $17.6 billion maritime lien in Montgomery County, Ala., Probate Court against another individual. This investigation began after Turner and three other self-proclaimed “Guardian Elders” sent demands to all 50 governors in the United States in March 2010 ordering each governor to resign within three days to be replaced by a “sovereign” leader or be “removed.” The FBI immediately began investigating Turner and IRS- Criminal Investigation (IRS-CI) joined the investigation soon thereafter.
“This lengthy prison sentence shows that tax defiers like Turner who use bogus tax schemes and file retaliatory liens against government officials will be punished,” said Assistant Attorney General for the Justice Department’s Tax Division Kathryn Keneally. “The Justice Department will continue to work with law enforcement to investigate and prosecute those who attempt to defraud the government.”
“This sentence should send a message that if you attempt to use retaliatory tax liens and fraudulent tax schemes as weapons against the United States and its citizens you will be punished,” stated acting U.S. Attorney Sandra J. Stewart for the Middle District of Alabama. “We cannot and will not tolerate those who violate the law for financial gain. I would like to thank the law enforcement officers who worked vigilantly on this case to bring this criminal to justice.”
“Turner influenced others with his false ideology by aggressively promoting obstruction of the IRS,” stated Richard Weber, Chief, IRS-Criminal Investigation. “In truth, Turner’s own defiance of IRS and his attempts to lead others through the same labyrinth of lies and distortions led to his downfall as shown by the significant sentence he must now serve. Today’s sentence should also send a strong message to those who may follow in Turner’s footsteps and attempt to defy their tax obligations. The legality of our income tax laws has been challenged time and time again and the courts have consistently upheld them.”
“The FBI is committed to vigorously investigate individuals and groups who steal from the federal government for financial gain through schemes deigned to avoid payment on loans, taxes and other obligations owed the federal government,” stated Stephen Richardson, Special Agent in Charge of the FBI, Mobile Division.
In addition to prison time, Turner was ordered to pay $26,021 in restitution to the IRS and to serve a five year term of supervised release upon his release from prison.
This case was investigated by special agents of the FBI and IRS-CI, was prosecuted by Tax Division Trial Attorney Justin Gelfand and Middle District of Alabama Assistant U.S. Attorney Gray Borden.
Self-Proclaimed Leader of Sovereign Citizen Group Sentenced to Federal Prison for Promoting Tax Fraud SchemeRead the Press Release
Montgomery, Alabama - The Justice Department, the Internal Revenue Service (IRS) and the FBI announced today that James Timothy Turner, also known as Tim Turner, was sentenced to serve 18 years in federal prison for conspiracy to defraud the United States, attempting to pay taxes with fictitious financial instruments, attempting to obstruct and impede the IRS, failing to file a 2009 federal income tax return and falsely testifying under oath in a bankruptcy proceeding.
In March 2013, following a five-day jury trial, Turner was convicted on 10 counts in the U.S. District Court for the Middle District of Alabama. Based on the evidence introduced at trial and in court filings, Turner, the self-proclaimed “president” of the sovereign citizen group Republic for the united States of America (RuSA), traveled the country in 2008 and 2009 conducting seminars teaching attendees how to defraud the IRS by preparing and submitting fictitious bonds to the U.S. government in payment of federal taxes, mortgages, and other debt. The evidence at trial revealed the bonds are fictitious and worthless but witnesses testified that Turner used special paper, financial terminology and elaborate borders in an effort to make them look authentic and more likely to succeed in defrauding the recipient. Turner was convicted of sending a $300 million fictitious bond in his own name and of aiding and abetting others in sending fifteen other fictitious bonds to the Treasury Department to pay taxes and other debts.
The evidence at trial also established that Turner taught people how to file retaliatory liens against government officials who interfered with the processing of fictitious bonds. Turner filed a purported $17.6 billion maritime lien in Montgomery County, Ala., Probate Court against another individual. This investigation began after Turner and three other self-proclaimed “Guardian Elders” sent demands to all 50 governors in the United States in March 2010 ordering each governor to resign within three days to be replaced by a “sovereign” leader or be “removed.” The FBI immediately began investigating Turner and IRS- Criminal Investigation (IRS-CI) joined the investigation soon thereafter.
“This lengthy prison sentence shows that tax defiers like Turner who use bogus tax schemes and file retaliatory liens against government officials will be punished,” said Assistant Attorney General for the Justice Department’s Tax Division Kathryn Keneally. “The Justice Department will continue to work with law enforcement to investigate and prosecute those who attempt to defraud the government.”
“This sentence should send a message that if you attempt to use retaliatory tax liens and fraudulent tax schemes as weapons against the United States and its citizens you will be punished,” stated acting U.S. Attorney Sandra J. Stewart for the Middle District of Alabama. “We cannot and will not tolerate those who violate the law for financial gain. I would like to thank the law enforcement officers who worked vigilantly on this case to bring this criminal to justice.”
“Turner influenced others with his false ideology by aggressively promoting obstruction of the IRS,” stated Richard Weber, Chief, IRS-Criminal Investigation. “In truth, Turner’s own defiance of IRS and his attempts to lead others through the same labyrinth of lies and distortions led to his downfall as shown by the significant sentence he must now serve. Today’s sentence should also send a strong message to those who may follow in Turner’s footsteps and attempt to defy their tax obligations. The legality of our income tax laws has been challenged time and time again and the courts have consistently upheld them.”
“The FBI is committed to vigorously investigate individuals and groups who steal from the federal government for financial gain through schemes deigned to avoid payment on loans, taxes and other obligations owed the federal government,” stated Stephen Richardson, Special Agent in Charge of the FBI, Mobile Division.
In addition to prison time, Turner was ordered to pay $26,021 in restitution to the IRS and to serve a five year term of supervised release upon his release from prison.
This case was investigated by special agents of the FBI and IRS-CI, was prosecuted by Tax Division Trial Attorney Justin Gelfand and Middle District of Alabama Assistant U.S. Attorney Gray Borden.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Silver Spring Tax Preparer Sentenced for Making a False Statement on a Tax ReturnRead the Press Release
Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Alejandro A. Salas, age 65, of Silver Spring, Maryland today to 18 months in prison followed by one year of supervised release for making a false statement on a tax return. Judge Titus also ordered Salas to pay $393,018 in restitution and perform 100 hours of community service.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
“IRS Criminal Investigation in partnership with the United States Attorney for the District of Maryland will continue to pursue individuals and businesses that do not pay all the taxes that are owed to the U.S. treasury,” said Thomas J. Kelly, Special Agent in Charge, IRS Criminal Investigation, Washington, D.C. Field Office. “Today’s sentencing of Mr. Salas should be a warning to others that IRS Criminal Investigation is focused on those that intentionally underreport taxable income, no matter what entity or individual they attempt to hide behind.”
According to his plea agreement, from 2004 to 2008, Salas ran G&S Enterprises of Maryland, a tax return preparation business in Silver Spring that also offered translation services, travel agency services, accounting and bookkeeping services for local companies; facilitated international money transfers; and brokered mortgage loans. In 2009, after learning that he was the target of a criminal investigation, Salas moved the location of his business and began preparing tax returns for clients under the corporate name TAX USA, which he incorporated under the name of another individual.
Between 2004 and 2009, Salas’ business prepared over 15,700 tax returns for clients.
Salas admitted that for tax years 2003 through 2005, he underreported the income from his tax preparation business on his individual income tax returns; and underreported the income from the business on the corporate tax return he filed for the 2006 tax year. For example, on his 2005 income tax return Salas listed the gross income from his sole proprietorship as $295,537, when in fact, the gross income from his business substantially exceeded that amount. For tax years 2007 through 2009, Salas failed to file either corporate or individual tax returns.
The total tax loss to the government as a result of Salas’ actions is $393,018.
United States Attorney Rod J. Rosenstein praised the IRS-CI for its work in the investigation and thanked Assistant U.S. Attorney Sujit Raman, who prosecuted the case.
Rochester Woman Pleads Guilty to Bring Marijuana into a Federal PrisonRead the Press Release
ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Shanna Nix, 24, of Rochester, N.Y., pleaded guilty to providing contraband to an inmate at a federal correctional institution before U.S. District Court Judge Frank P. Geraci. The charge carries a maximum penalty of five years in prison and a fine of up to $250,000.
Assistant U.S. Attorney Craig R. Gestring, who is handling the case, stated that the defendant was visiting a friend who was an inmate at the McKean Federal Correctional Institution in Bradford, Pennsylvania. During that visit, Nix was observed on surveillance video placing four balloons filled with marijuana into a bag of food she was sharing with the inmate. Before the inmate could ingest the balloons, corrections officers intercepted them.
The defendant was originally indicted in the Western District of Pennsylvania, but the case was transferred to the Western District of New York for the plea.
Sentencing is scheduled for November 6, 2013 at 3:30 p.m. before Judge Geraci.
Rochester Man Sentenced in Child Pornography CaseRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Anthony Davis, 43, of Rochester, N.Y., who was convicted of production of child pornography, was sentenced to 15 years in prison and 15 years of supervised release by the U.S. District Judge Frank P. Geraci, Jr,.
Assistant U.S. Attorney Tiffany H. Lee, who handled the case, stated that in July 2012, City of Rochester Police received a report from a cooperating witness who found a sexually explicit video of a seven-year old minor child on a smart phone belonging to the defendant. The cooperating witness was able to identify the minor victim and was able to identify Davis's voice from the video. The defendant used the minor to produce a sexually explicit image with his smart phone.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.The sentencing is the culmination of an investigation on the part of the Federal Bureau of Investigation Cyber Crime Task Force, under the direction of Acting Special Agent in Charge Richard M. Frankel, the City of Rochester Police Department, under the direction of Chief James Sheppard and the Monroe County District Attorney's Office, under the direction of Sandra Doorley.
Redby Man Indicted for Assaulting Others with A Tire IronRead the Press Release
MINNEAPOLIS—A federal indictment unsealed yesterday charges a 20-year-old Redby man with assaulting two other people while on the Red Lake Indian Reservation. The indictment, which was filed on July 23, 2013, charges Ryan Devin Ravensborg with two counts of assault with a dangerous weapon and two counts of assault resulting in serious bodily injury. The indictment was unsealed following Ravensborg’s initial appearance in federal court.
The indictment alleges that on May 26, 2013, Ravensborg assaulted the two victims with a metal object. One of the victims had a depressed skull fracture and intracranial bleeding, while the second victim suffered a laceration on his scalp that required staples and a linear skull fracture.
If convicted, Ravensborg faces a potential maximum penalty of ten years in prison on each count. 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 John E. Kokkinen.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.
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 Agent Arrested for Money LaunderingRead the Press Release
McALLEN, Texas - Freddy Centeno, of Brownsville, has been arrested following the return of two-count indictment alleging money laundering for a convicted drug trafficker and making false statements to federal agents, United States Attorney Kenneth Magidson announced today.
Centeno was taken into custody just a short time ago and he is expected to make his initial appearance before U.S. Magistrate Judge Ronald Morgan.
The sealed indictment was returned July 23, 2013, and unsealed today upon Centeno’s arrest. The indictment alleges that Centeno, a licensed real estate agent, helped a narcotics trafficker launder drug profits through the purchase of real properties in Brownsville.
If convicted, Centeno faces up to 20 years in prison and up to a $500,000 fine.
The arrest comes as a result of the ongoing Organized Crime Drug Enforcement Task Force investigation dubbed Operation Spike Strip. The narcotics trafficking and money-laundering investigation targeted the Armando Arambul drug trafficking organization which operated under the auspices of the Gulf Cartel in Matamoros, Mexico, and throughout the Southern District of Texas.
Arambul and others were responsible for transporting multi-ton quantities of cocaine to Houston and other major U.S. cities and remitted millions of dollars to the Gulf Cartel. Arambul was convicted and is set for sentencing Oct. 21, 2013, at which time he faces up to life in prison.
The investigation was conducted by the Drug Enforcement Administration, Internal Revenue Service-Criminal Investigation, Homeland Security Investigations, FBI, Customs and Border Protection, Border Patrol, Cameron County District Attorney’s Office-Narcotics Investigation Division and the U.S. Marshals Service. Assistant United States Attorneys Jesse Salazar is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Professional Hunter Violated Federal ProbationRead the Press Release
KANSAS CITY, KAN. – A professional hunter from Tennessee violated his federal probation and must spend a total of 30 days in Bureau of Prisons custody, U.S. Attorney Barry Grissom said today.
U.S. Magistrate Judge James P. O’Hara ruled that William “Spook” Spann, 50, Dickinson, violated the conditions of his release after his conviction for a misdemeanor Lacey Act violation in Kansas. O’Hara’s order states that Spann: – Continues on probation until Feb. 28, 2016.
– Is ordered to spend a total of 30 days during nights and weekends in the custody of the Bureau of Prisons between now and Feb. 28, 2014.
– Is ordered not hunt anywhere in the United States or the world until Aug. 1, 2014.
Last year, Spann pleaded guilty to transporting across state lines a white-tailed deer that was unlawfully taken in Stafford County, Kan. As part of the probation he was prohibited from hunting for six months, admonished not to commit any further federal crimes and ordered to pay a $10,000 fine and $10,000 restitution.On June 10, the federal probation office in Kansas filed a petition alleging Spann violated his probation by hunting in Tennessee and violating a Tennessee law against baiting wildlife. O’Hara ruled that Spann violated the terms of his probation by hunting in the United States within six months of his sentencing and baiting turkeys in violation of Tennessee state law.
Grissom commended the U.S. Fish and Wildlife Services, the Tennessee Wildlife Resource Agency and Assistant U.S. Attorney Chris Oakley for their work on the case.
Pittsburgh Man Sentenced to 2 Years in Prison for Hoax Bomb ThreatsRead the Press Release
PITTSBURGH, Pa. - A Pittsburgh man has been sentenced in federal court to 24 months in prison followed by three years supervised release on his conviction of violating federal bomb threat hoax laws, United States Attorney David J. Hickton announced today.
United States District Judge Mark R. Hornak imposed the sentence on Termaine Washington, 23.
According to information presented to the court, Washington conveyed several false bomb threats by telephone to the Allegheny County 911 Center, by stating that a bomb would go off at the Allegheny County Jail, PNC Park, and the T-station.
Assistant United States Attorney Shardul S. Desai prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Washington.
Philadelphia Felon Charged with Illegally Possessing AmmunitionRead the Press Release
PITTSBURGH, Pa. - A Philadelphia man has been indicted by a federal grand jury in Pittsburgh on charges of violating federal firearm laws, United States Attorney David J. Hickton announced today.
The one-count indictment, returned on July 30, named Elanda Bell, 55, as the sole defendant.
According to the indictment presented to the court, between Jan. 3, 2008, and June 29, 2013, Bell possessed ten .41 Caliber cartridges. Bell had previously been convicted of manslaughter and aggravated assault in the Court of Common Pleas of Philadelphia. Federal law prohibits anyone who has been convicted of a crime punishable by more than one year from possessing ammunition or a firearm.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Shardul S. Desai is prosecuting this case on behalf of the government.
This case is being prosecuted under Project Safe Neighborhoods, a collaborative effort by federal, state and local law enforcement agencies, prosecutors and communities to prevent, deter and prosecute gun crime.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Clairton Police Department conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pair Charged with Using Credit Cards Taken from Car in Garage of Riverton HomeRead the Press Release
Case Filed as a Part of Utah Identity Theft Task Force InitiativeSALT LAKE CITY – Two individuals have been charged in a federal complaint with using credit cards stolen from a Riverton woman’s wallet. The wallet was taken from her car while it was parked in the garage at her home on June 24, 2013. The complaint alleges the pair used the credit cards to make about $1,037.23 in purchases at Sportsman’s Warehouse in Midvale and a Nike Store in West Jordan.
Jason Oler Kettler, age 35, of Magna, and Chaunte Marie Thompson, age 31, of Salt Lake City, who are charged in the complaint with one count of using an unauthorized access device (credit card), are scheduled to make an initial appearance on the charges at 3 p.m. Wednesday before U.S. Magistrate Judge Evelyn J. Furse.
According to the complaint, the victim of the theft, identified in the document as J.B., contacted the Unified Police Department on June 24, 2013, to report that an unknown individual entered her residential garage in Riverton and stole her wallet from her parked car. J.B. had video footage of the burglary.
A UPD officer reviewed the footage and observed a red passenger car with a sun roof pull into the drive way. A single white male exited the car and entered the garage. The male was observed coming and going from the garage to his vehicle several times. A few minutes later, he backed out of the drive way and left.
Two days later, J.B. reported to police that three of the credit cards in her stolen wallet had been used without her authorization on the day of the burglary. One was used at Sportsman’s Warehouse in Midvale to make a purchase of $493.49. Two others were used at the Nike Store in West Jordan to make purchases of $341.85 and $201.89. Officers worked with the stores to obtain video of the transactions and other information about the purchases.
According to the complaint, on July 2, 2013, after reviewing video surveillance tapes from several sources and receiving numerous tips in the case, a UPD detective was able to identify Kettler and Thompson as suspects in the case by matching their driver’s licenses and prior booking photos to the suspects in the videos.
This case is being investigated by the Utah Identity Theft Task Force, which is comprised of federal, state, and local law enforcement agencies working together to investigate identity theft related crimes throughout the State of Utah. The Salt Lake District Attorney’s Office and the U.S. Attorney’s Office will continue to coordinate efforts as the investigation continues.
Complaints are not findings of guilt. Individuals charged in complaints are presumed innocent unless or until proven guilty in court. The potential maximum penalty for one count of access device fraud is 10 years in federal prison and a fine of $250,000.