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Wednesday 5 June 2013
Eugene Man Sentenced to 196 Months in Prison for Bank RobberyRead the Press Release
EUGENE, Ore. – Jeremie Wesley Skordahl, 33, of Eugene, Oregon, was sentenced today by Chief District Court Judge Ann Aiken to 196 months in prison for bank robbery. Upon his release from prison, Skordahl will be on supervised release for three years.
On November 12, 2012, Skordahl entered the Coburg Road branch of U.S. Bank in Eugene and handed the teller a note, which demanded money. He stated he was armed and would not hesitate shooting as many people as possible. Skordahl obtained $2,630 and fled the bank. Later the same day, Skordahl was located in a nearby residential area after a resident reported seeing Skordahl running through neighboring backyards. Skordahl was arrested and the money he stole was found on his person.
Skordahl's criminal history qualified him as a career offender under the Federal Sentencing Guidelines, resulting in an increased sentence. Additionally, as part of his plea agreement, Skordahl agreed to serve a longer federal sentence in order to receive a concurrent sentence in a Lane County Circuit Court assault case.
This case was investigated by the Federal Bureau of Investigation and the Eugene Police Department and was prosecuted by Assistant U.S. Attorney Jeffrey Sweet.
Essex County, N.J., Man Sentenced to Five Months in Prison for Transporting Explosive MaterialsRead the Press Release
TRENTON, N.J. – An Essex County, N.J., man was sentenced today to five months in prison for transporting explosive chemicals in a piece of polyvinyl chloride, or PVC, pipe to Pennsylvania without a federal license or permit, U. S. Attorney Paul J. Fishman announced.
Anthony Nicholas Gallo, 20, of North Caldwell, N.J., previously pleaded guilty before U.S. District Judge Anne E. Thompson to an Information charging him with transportation of explosive materials without a license or permit issued by the U.S. Attorney General. Judge Thompson imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
On Jan. 8, 2012, Gallo went to Pennsylvania and blew up potassium chlorate and magnesium in a PVC pipe, which provided a contained environment for the chemicals to produce a more powerful explosion. The potassium chlorate mixture is considered to be an explosive by the U. S. Bureau of Alcohol, Tobacco and Firearms.
In addition to the prison term, Judge Thompson sentenced Gallo to three years of supervised release.
U.S. Attorney Fishman credited special agents, detectives and investigators assigned to the FBI Joint Terrorism Task Force, under the direction of Special Agent in Charge Aaron T. Ford, with the investigation leading to today’s sentence. The FBI Joint Terrorism Task Force comprises law enforcement officers from 30 federal, state and local agencies throughout New Jersey. He also thanked the North Caldwell Police Department and the Essex County Prosecutor's Office for their significant contributions to this investigation.The government is represented by Assistant U.S. Attorney Joyce M. Malliet of the U.S. Attorney’s Office National Security Unit in Newark.
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Defense counsel: Anthony Iacullo Esq., Nutley, N.J.Drug Trafficker Sentenced in Operation “No Quarter”Read the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court today United States District Judge Terrence W. Boyle sentenced SHAWN CHRISTOPHER ELLIOTT, of Windsor, North Carolina to 70 months of imprisonment followed by 5 years of supervised release. Judge Boyle also sentenced ELLIOTT to 37 months of imprisonment concurrent to the 70 month sentence for violating terms of ELLIOTT’S supervised release related to his previous federal drug conviction. ELLIOTT pled guilty to conspiracy to distribute and possess with the intent to distribute 500 grams or more of cocaine and a quantity of marijuana on August 20, 2012.
ELLIOTT was arrested in Greenville, North Carolina, on June 20, 2011, after being found in possession of $107,378 that ELLIOTT brought in order to purchase one kilogram of cocaine and one-hundred pounds of marijuana from an undercover officer. A search of ELLIOTT’S residence in Windsor, North Carolina, led to the seizure of 135 grams of cocaine, digital scales and a vacuum sealer.
The Organized Crime Drug Enforcement Task Force (OCDETF) Operation "No Quarter" was designed to attack the infrastructure of the Mexican Drug Trafficking Organizations (DTO), including those of the Los Zetas, La Familia, Gulf and Sinaloa drug cartels, operating not only in the Eastern District of North Carolina, but throughout North Carolina, the United States and Mexico. These DTO's are responsible for the importation of large quantities of cocaine, marijuana, heroin, and methamphetamine into the United States, as well as the related remittance of illegal drug proceeds back into Mexico.
The investigation spanned ten years and five North Carolina counties. As part of the investigation, over 100 individuals have been charged by indictment or criminal information in the Eastern District of North Carolina and state courts. In addition, $2.2 million in U.S. Currency, 127 kilograms of cocaine with a street value of $3.8 million dollars, 41 pounds of crystal methamphetamine with a street value of $650,000, 160 pounds of marijuana with a street value of $170,000, 32 grams of heroin, 35 firearms and 35 real properties valued at $1.5 million were seized by law enforcement authorities.
Investigation of this case was conducted by the Drug Enforcement Administration (DEA) - Raleigh and Greensboro Resident Offices, the New York Field Division and numerous other DEA offices in the United States and Mexico; the Internal Revenue Service - Criminal Investigation Division; the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) - Raleigh and Wilmington offices; the United States Marshals Service; the United States Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI) - Raleigh and Tampa, Florida offices; the North Carolina State Bureau of Investigation; the North Carolina National Guard; the North Carolina State Highway Patrol; the Greenville Police Department; the Pitt County Sheriff's Office; the Pamlico County Sheriff's Office; the Lenoir County Sheriff's Office; the Craven County Sheriff's Office; the Carteret County Sheriff's Office; the Beaufort County Sheriff's Office; the New Bern Police Department, the Wayne County Sheriff's Office; the Person County Sheriff's Office; the Farmville Police Department; the Goldsboro Police Department; the Rocky Mount Police Department; the Burlington Police Department, the Alamance County Sheriff's Office, and the Wilson Police Department.
The federal prosecutions were handled by Special Assistant United States Attorneys Glenn Perry and Augustus Willis, IV. Mr. Perry is a prosecutor with the Pitt County District Attorney’s Office. Mr. Willis is a prosecutor with the Craven, Carteret and Pamlico Counties District Attorney’s Office. District Attorneys Kimberly Robb and Scott Thomas have assigned Mr. Perry and Mr. Willis to the United States Attorney’s Office to prosecute federal Organized Crime Drug Enforcement Task Force criminal matters. Their assignments to the United States Attorney’s Office have been made possible by grants funded by the Governor’s Crime Commission.
Denver Man Charged with Receipt of Child Pornography for Ordering Illegal Images Sent via United States MailRead the Press Release
DENVER – Clifford Eric Perian, age 53, of Denver, Colorado, was arrested last week based on a Criminal Complaint charging one count of receipt of child pornography, the United States Attorney’s Office and the U.S. Postal Inspection Service announced. Late last week U.S. Magistrate Judge Boyd N. Boland determined Perian was a danger to the community, and therefore ordered him held without bond pending a resolution of his criminal case. The following facts are alleged in an affidavit filed in support of a Criminal Complaint – the facts of which will have to be proven beyond a reasonable doubt by the government. Further, the facts contained in the Complaint are allegations, and the defendant is presumed innocent until proven guilty. Anyone charged with a felony by Criminal Complaint has a Constitutional right to be indicted by a federal grand jury.
Based on a law enforcement tip, the United States Postal Inspection Service (USPIS) began an investigation into Clifford Eric Perian, and determined that he had on multiple occasions purchased several child pornography films.
With the help of the National Center for Missing and Exploited Children, the United States Postal Inspection Service investigated numerous CyberTipLine reports relating to emails and online postings by an individual using three different email addresses going back as far as November 11, 2007. The NCMEC and the USPIS were able to establish that evidence existed indicating that all three accounts were used by Clifford Perian. In the postings, Perian was soliciting parents of minor boys or looking for minor volunteers to be subjected to various acts of sexual torture and/or abuse.
On May 23, 2013, Postal Inspectors executed a search warrant at the residence of Perian in Denver. Inspectors found the bondage and sexual paraphernalia Perian boasted about online. They also found DVD’s containing child pornography or child erotica. Computers were also seized. Following the execution of the search warrant, Postal Inspectors contacted Perian. Investigators then determined that Perian ordered videos online, and then received them in the U.S. Mail. It was also determined that Perian received images of young males under the age of 18 engaged in sexual activity with male adults through internet chat rooms and via email. There were also allegations that Perian sexually touched and was sexually touched by at least three boys ages 16 to 17 in approximately 2004 through 2006. Law enforcement also determined that Perian had been to local water parks taking non-explicit pictures of young boys he did not know under the age of 18.
“While most child pornography is now distributed and received via the internet, there are still companies that mail these horrible images exploiting children through the U.S. Mail,” said U.S. Attorney John Walsh.
“The arrest of this defendant is critical because Postal Inspectors and Assistant U.S. Attorneys were able to identify someone who was using the U.S. Mail to sexually exploit children. The defendant in this case received the images in the mail, which is a crime.”
“Protecting children from these egregious crimes is a top priority for the U.S. Postal Inspection Service,” said Craig Goldberg, Acting Inspector in Charge of the U.S. Postal Inspection Service in Denver. “We continue to aggressively investigate, apprehend and assist in the prosecution of individuals who seek to exploit children via the U.S. Mail.”
Perian faces not less than 5 years and up to 20 years in federal prison for receipt of child pornography. He also faces up to a $250,000 fine, as well as possible restitution and forfeiture.
This case is being investigated by the U.S. Postal Inspection Service.
Perian is being prosecuted by Assistant U.S. Attorney Valeria Spencer.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about PSC, please visit http://www.justice.gov/psc/ For more information about Internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab "resources."
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Defendant Sentenced for Running A Work-From-Home ScamRead the Press Release
ATLANTA - Detrick Mattox, who operated numerous fraudulent work-from-home businesses has been sentenced to over two years in prison for conspiring to commit mail fraud.
“This scheme was designed for one simple purpose - to swindle people out of their hard-earned money through lies and deceit,” said United States Attorney Sally Quillian Yates. “Mattox preyed on folks just trying to earn a living. Now he’s going to prison.”
The U.S. Postal Inspection Service has no shortage of work-at-home schemes to investigate. This is just another example of the defendant’s greed preying on the public’s need to earn an honest living. Consumers should be suspicious of any offer that does not pay a regular salary because if it sounds too good to be true, it probably is,” said Keith Morris, Postal Inspector in Charge for the Atlanta Division.
According to United States Attorney Yates, the charges and other information presented in court: Mattox ran numerous businesses that purported to offer its members work-from-home opportunities, including: Atlanta’s Mailing Company; Atlantis Mailing Company; Brown Staffing Services; Central Mailing Company; Detrick Mattox Enterprises; Georgia Assembly Company; Global Assembly Company; Global Mailing Enterprises; Jobs R US; National Assembly Company; Nationwide Express Mailing; Pacific Mailing Company; Premiere Mailing Company, and Regional Assembly Company.
Mattox promoted his work-from-home businesses by claiming that members who applied for the program and then paid an initiation fee would be able to work from their homes and earn up to $5,000 per week. The members were supposed to assemble materials into booklets and mail the booklets to the addresses provided by Mattox. He also claimed that members could earn up to $20 for each booklet that they assembled and mailed. To join the program, prospective members had to pay Mattox an up-front initiation fee of approximately $50 to $500. He typically instructed prospective members to pay the initiation fee by mailing a money order to one of the named businesses.
Once the initiation fee was paid, the majority of the members never received any materials to assemble for their work-from-home businesses. The few members who did receive materials from Mattox, and assembled and then mailed those materials, were never paid for their services. After Mattox received a member’s initiation fee, virtually all attempts by the member to contact the work-from-home businesses were ignored. Finally, to avoid consumer complaints and negative public information, Mattox frequently changed the names, websites, and contact information of the work-from-home businesses.
According to an affidavit submitted in support of a search warrant obtained in the case, more than 200 people responded to advertisements by Mattox and became members. Thereafter, a Postal Inspector conducted an undercover investigation, responding to Internet advertisements posted by Mattox, but never received the promised materials after sending payment.
Mattox, 33, of Ellenwood, Ga., was sentenced to 2 years 9 months of in prison to be followed by 3 years of supervised release. He was convicted of the charges on March 18, 2013, upon his plea of guilty.
This case was investigated by Inspectors of the United States Postal Inspection Service.
Assistant United States Attorney Jeffrey W. Davis prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney’s Office for the Northern District of Georgia is www.justice.gov/usao/gan.
Defendant Pleads Guilty to Smuggling and Transporting Illegal Aliens, and Failure to Appear in Federal CourtRead the Press Release
[Plattsburgh, New York]—United States Attorney Richard S. Hartunian and Homeland Security Investigations Special Agent in Charge James Spero announce that NATHAN SAMSON MARTIN, age 31, Akwesasne, New York, pled guilty on June 4, 2013 to conspiring to bring and bringing illegal aliens into the United States and transporting them within the United States, and failure to appear at federal court proceedings after his pretrial release. United States District Court Judge Glenn T. Suddaby, Syracuse, New York, accepted his guilty pleas.
MARTIN was one of three people indicted in April 2010 for conspiring to smuggle aliens from Canada into the United States for commercial gain in 2009 and 2010. He is the second defendant of the three defendants charged to plead guilty to his role in the conspiracy. Another defendant, Carl THOMPSON, previously pled guilty and was sentenced to three years of imprisonment. A third defendant, Dennis JOCKO of Cornwall Island, Ontario, remains a fugitive after absconding from pre-trial supervision upon release by United States Magistrate Judge Kudrle.
Public court documents show that on February 8, 2010, Akwesasne Mohawk Police Service officers in Canada alerted Saint Regis Mohawk Tribal Police Department officers and U.S. Border Patrol agents to a vehicle that crossed the “ice bridge” from Cornwall Island, Ontario, to St. Regis Village, Quebec, and proceeded into Franklin County, New York. After law enforcement officers in New York observed the vehicle drop off a person in Hogansburg, they attempted to stop the vehicle for an immigration inspection. The driver, later identified as MARTIN, attempted to flee but was apprehended. The person that MARTIN dropped off was an illegal alien who had just been commercially smuggled into the United States from Canada through the Saint Regis Mohawk Reservation. MARTIN received part of the smuggling fee, according to the smuggled alien. A U.S. Magistrate Judge released MARTIN on February 9, 2010, subject to supervision by the U.S. Probation Office. However, MARTIN failed to appear for a hearing as ordered by U.S. District Judge Suddaby on January 4, 2011, and an arrest warrant was issued. On January 7, 2013, the defendant was found and arrested in the United States on the federal warrant by the Saint Regis Mohawk Tribal Police.
MARTIN pled guilty to all charges without a plea agreement. He faces a statutory maximum of ten years and a minimum of three years of imprisonment on the charge of bringing, or aiding and abetting the bringing, of illegal aliens to the United States. The charge of failure to appear has a statutory maximum of five years of imprisonment, as do the other two counts of conspiracy and transporting aliens, but federal law requires that the court run any sentence for failure to appear consecutive to any other sentence. The Court set the case for sentencing on October 10, 2013 and ordered MARTIN to remain in jail pending sentencing.
The case was investigated by Homeland Security Investigations (HSI), Massena, New York, with assistance from the United States Border Patrol, Saint Lawrence County Sheriff’s Department, Saint Regis Mohawk Tribal Police Department, Akwesasne Mohawk Police Service, Royal Canadian Mounted Police, Ontario Provincial Police, Canadian Border Services Agency, and Surete Du Quebec. The case is being prosecuted by the United States Attorney’s Office for the Northern District of New York.
Any questions may be directed to Executive Assistant U.S. Attorney John G. Duncan in Syracuse, New York at (315) 448-0672 or Assistant U.S. Attorney Elizabeth Horsman in Plattsburgh, New York at 518-314-7800.
Cutler Bay Man Sentenced in $12 Million Identity Theft Tax Refund Fraud Scheme Involving the Cashing of Thousands of Fraudulently Obtained U.S. Treasury ChecksRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Michael J. DePalma, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Paula A. Reid, Special Agent in Charge, United States Secret Service (USSS), Ronald Verrochio, Inspector in Charge, U.S. Postal Inspection Service (USPIS), Miami Field Office, and Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announced the sentencing of defendant Jesus Calvo, 30 of Cutler Bay, for his role in an identity theft tax refund fraud scheme, to 58 months in prison, to be followed by 3 years of supervised release. U.S. District Judge Jose Martinez also ordered the defendant to pay $9.2 million in restitution to the Internal Revenue Service.
According to the factual proffer, the defendant operated a check cashing store called J&S Taxes in Perrine, Florida. Beginning in or around February 2012, and continuing through in or around June 2012, the defendant cashed thousands of fraudulently obtained United States Department of Treasury income tax refund checks (totaling approximately $12MM) that were brought by co-conspirators. The defendant knew that the checks had been obtained by fraud and without authorization of the true taxpayer.
According to the factual proffer, the defendant received more than the standard fee for cashing the checks because the tax-refund checks had been obtained by fraud. The standard fee for cashing these checks would have been from two to five percent. However, the defendant took much more than that fee and used this money for his own personal expenditures – he purchased two houses, he funded his retirement account, he invested in a “start-up company,” he purchased an investment property, and he purchased cars and other items.
According to the plea agreement and statements made in court, the defendant agreed to forfeit two houses, five cars, three bank accounts, high-end watches, jewelry and cash. These assets had an estimated value of approximately $2 million.
Mr. Ferrer thanked IRS-CI, USSS, USPIS, and FBI for their work on this case. The case is being prosecuted by Assistant U.S. Attorneys Michael N. Berger, Evelyn Sheehan and Elijah Levitt.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Convicted Felon Pleads Guilty to Unlawfully Possessing Three FirearmsRead the Press Release
POCATELLO – Bruce Leighton Diehl, 43, of Idaho Falls, Idaho, pleaded guilty yesterday in United States District Court in Pocatello to unlawful possession of firearms, U.S. Attorney Wendy J. Olson announced.
According to court records, Idaho State probation officers visited Diehl at his residence in Idaho Falls on April 4, 2012, after Diehl failed to attend court-ordered treatment. Diehl was on probation after being convicted in 2011 in Clark County, Idaho, of felony eluding a police officer and felony malicious injury to property. While clearing the residence of other individuals and weapons, the probation officers located a rifle, a 12 gauge shotgun, a pistol, and several rounds of ammunition. Diehl told police that the firearms had been in the garage with his other belongings when he got out of prison, that a friend had moved his belongings from the garage into the house for him, and that he had forgotten that the guns were in the property from the garage.
In addition to the 2011 felony eluding and malicious injury to property convictions, Diehl was also convicted in 1998 of possession of a controlled substance in Bonneville County, Idaho. As a result of these convictions, Diehl is prohibited from possessing firearms.
The charge is punishable by up to ten years in prison, a maximum fine of $250,000, and up to three years supervised release.
Sentencing is set for September 3, 2013, before U.S. District Judge Edward J. Lodge at the federal courthouse in Pocatello.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives with the assistance of the Idaho Department of Corrections, Bureau of Probation and Parole.
The case was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Contractor Pleads Guilty to Fraud, Filing False Tax ReturnsRead the Press Release
PITTSBURGH, Pa. - A construction company executive pleaded guilty in federal court to an Information charging him with mail fraud and filing false tax returns, United States Attorney David J. Hickton announced today.
Robert E. Crawford, 54, of Pittsburgh, Pa., pleaded guilty to two counts before United States District Judge David S. Cercone.
The Information filed by the United States Attorney alleged that Crawford was the President and Chief Executive Officer of R.E. Crawford Construction, Inc., located in Springdale, Pa. The information also alleged that R.E. Crawford Construction, Inc. entered into two contracts with Simon Property Group, Inc., one in or around September of 2006 for the construction and redevelopment work on the Northgate Mall in Seattle, Washington, and one in or around November of 2007 for the construction and redevelopment work on the Laguna Hills Mall in Laguna Hills, California. According to the Information, Crawford fraudulently overstated the costs incurred on these contracts, causing Simon Property Group to over-pay Crawford's company for the work done on both of those projects. In addition, the Information states that Crawford paid approximately $766,000 to a vice president employed by Simon Property Group, who in turn used his authority and influence at Simon Property Group to select Crawford's company to be the general contractor for those jobs.
Crawford also pled guilty to charges of assisting in the preparation of false tax returns, and with filing false tax returns for the years 2006, 2007 and 2008.
Judge Cercone scheduled sentencing for Dec. 13, 2013, at 10 a.m. The law provides for a total sentence of 23 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the criminal history, if any, of the defendant.
Assistant United States Attorney Shaun E. Sweeney is prosecuting this case on behalf of the government.
The Internal Revenue Service and the United States Postal Inspection Service conducted the investigation that led to the prosecution of Crawford.
Colorado Springs Felon Sentenced for Possession of DynamiteRead the Press Release
DENVER – Arthur Ray Hickman, age 45, of Colorado Springs, Colorado, was sentenced last week by U.S. District Court Judge William J. Martinez to serve 24 months in prison for being a felon in possession of explosives, United States Attorney John Walsh, and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Andrew Traver announced. After serving his sentence, Judge Martinez ordered Hickman to spend 3 years on supervised release. Hickman, who appeared at the hearing in custody, was remanded.
Hickman was indicted by a federal grand jury in Denver on July 11, 2012. He pled guilty to on February 11, 2013. He was sentenced on May 29, 2013.
According to court records, including the stipulated facts contained in the plea agreement, on February 17, 2012, an officer with the Colorado Springs Police Department (CSPD) responded to money advancing business on North Academy Blvd., in Colorado Springs, Colorado, to investigate a fraud allegation. The officer interviewed a vault teller at the business, who reported the a person, who turned out to be Hickman, had tried to cash what she believed to be a fraudulent check.
Colorado Springs police officers conducted an investigation into the fraud allegation, with Hickman as a suspect. A CSPD detective took over the investigation since he was familiar with Hickman and his activities, mostly focused on identity theft and forgeries. The detective noted that Hickman was previously identified as possibly conducting illegal activity involving the use of computers for producing fake identifications. He was also suspected of stealing a machine that makes ID cards from a Denver Department of Motor Vehicle office, a micro SD card containing templates for all 50 states’ drivers licenses, and a VIN plate maker.
On April 12, 2012, officers executed a search warrant at Hickman’s home. During the subsequent search, detectives found in Hickman’s bedroom a box containing three sticks of dynamite. Hickman, a prior felon, knowingly illegally possessed the dynamite. Hickman had done research to determine how safe it was to store dynamite in his bedroom. The dynamite that Hickman possessed is an explosive under federal law.
Prior to Hickman’s possession of the dynamite he had been convicted of: receiving/known stolen property (San Diego County, CA); felon/addict/possess firearm (Minnehaha County, SD); possession of controlled substance (El Paso County, CO); forgery-government issued document (El Paso County, CO); ID theft-possess with intent to use, conspiracy (El Paso County, CO); ID theft-possess with intent to use (El Paso County, CO).
“Thanks to the outstanding work of the Colorado Springs Police Department and the ATF, an individual who was a felon in possession of dynamite and involved in identity theft has been sent to prison for his crimes,” said U.S. Attorney John Walsh.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Colorado Springs Police Department.
Hickman was prosecuted by Assistant U.S. Attorney Jeremy Sibert.
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Cleveland Trio Charged for Armed RobberyRead the Press Release
Three people from Cleveland were named in a seven-count indictment for their roles in an armed robbery, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Eric Gooch, age 22, Larnell A. Tripp, Jr., age 24, and Ashley N. White, were charged conspiracy to commit interference with commerce by robbery and possession of a firearm during a crime of violence. Gooch was also charged with two separate counts of armed bank robbery and possessing a firearm during the bank robberies.
Specifically, the indictment alleges that from December 2012 to January 21, 2013, Eric Gooch, Larnell Tripp, Jr., and Ashley White conspired to rob Roses Discount Store in Cleveland, Ohio. The indictment further alleges that on January 21, 2013, they entered and robbed the Roses Discount Store, and during the robbery, a firearm was brandished. The indictment further alleges that on February 22, 2013, Eric Gooch robbed the PNC Bank located at 16614 Harvard Avenue, Cleveland, Ohio, and on March 13, 2013 Gooch robbed the PNC Bank located at 2771 South Moreland Boulevard, Cleveland, Ohio. The indictment further alleges that a firearm was brandished during each bank robbery.
The indictment resulted from an investigation conducted by the City of Cleveland, Division of Police, and the Federal Bureau of Investigation.
The case is being prosecuted by Assistant United States Attorneys Michelle M. Baeppler and M. Kendra Klump.
If convicted, each defendant’s sentence will be determined by the court after review of factors unique to each case, including the defendants’ prior criminal records, if any, the defendants’ roles 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.
Civilian Indicted for Sexual Assault at NAS PensacolaRead the Press Release
PENSACOLA, FLORIDA – Edwin C. Mitchell, 49, of Ellenwood, Georgia, appeared in federal court today on charges of aggravated sexual abuse, sexual abuse, and abusive sexual conduct, according to Pamela C. Marsh, United States Attorney for the Northern District of Florida.
The three-count indictment charges Mitchell with causing the victim to engage in sexual acts and sexual conduct by using force, by placing her in fear, and by doing so against her will on or about December 15, 2012. If convicted of the aggravated sexual abuse charge, Mitchell faces a possible maximum term of life imprisonment. Mitchell is scheduled for trial on July 8, 2013, before Chief U.S. District Court Judge M. Casey Rodgers.
The charges result from an investigation by the Naval Criminal Investigative Service. The case is being prosecuted by Assistant U.S. Attorneys Alicia Kim and Randy Hensel.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial in a court of law.
Chicago Man Sentenced to 78 Months in Prison for Running Investment Fraud SchemeRead the Press Release
SAN FRANCISCO - Michael Steven Banuelos (aka Ferrari Mike, aka Mike Banuelos) was sentenced yesterday to 6 ½ years in federal prison for running a three-year investment fraud scheme through which he fraudulently obtained approximately $2.6 million, announced United States Attorney Haag.
As part of his fraudulent scheme, Banuelos falsely claimed to be a successful promoter in the music industry with ties to various well-known recording stars. In furtherance of his fraud, Banuelos lied to the business manager of a musical group, claiming that he, Banuelos, had arranged a concert tour during which the aforementioned musical group would be the opening act for one of the well-known stars with whom he had ties. Banuelos also lied to this business manager and other investors, claiming that he had negotiated a multimillion contract with a major recording label for the rights to the music group. Banuelos also used false statements and phony documents to lure in additional investors in this purported music deal and non-existent deals regarding other musical artists. Several of the investors in these purported deals lived in the Bay Area.
Of the approximately $2.6 million dollars he obtained through this scheme, Banuelos spent the overwhelming majority of it on personal expenses. Those expenses included payments to one of his ex-wives, scores of thousands of dollars on car payments, and thousands of dollars paid for a country club membership and dues.
As his music deal scam was coming to a close, Banuelos defrauded additional individuals out of another $200,000. Banuelos falsely claimed to these victims that he was a successful money manager whom one client had entrusted with $45 million for investment. Banuelos provided false documentation of these claims, too, resulting in the victims providing more money to Banuelos in the mistaken belief it would be invested on their behalf.
Banuelos, 42, was indicted by a federal grand jury on July 12, 2012. He was charged with twelve counts of wire fraud, in violation of Title 18, United States Code, Section 1343, and one count of money laundering, in violation of Title 18, United States Code, Section 1957. He was arrested on July 26, 2012, in Chicago, where he had lived for the preceding few months. Prior to moving to Chicago, he had lived in and around Atlanta, Georgia. He has remained in federal custody since his arrest.
On February 26, 2013, Banuelos pleaded guilty to one count of wire fraud, in violation of Title 18, United States Code, Section 1343.
Doug Sprague is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Rayneisha Booth. The prosecution is the result of a one-year investigation by the Federal Bureau of Investigation.
Charlotte Man Sentenced to 15 Years in Prison for Firearms OffenseRead the Press Release
CHARLOTTE, N.C. – A Charlotte man has been sentenced to 15 years in prison for a firearms related offense announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina. On Monday, June 3, 2013, Chief U.S. District Judge Frank D. Whitney sentenced Harvey Lee Mungro, Jr., 46, of Charlotte to serve 180 months in prison, followed by two years of supervised release. Mungro’s Mungro’s at least three prior felony convictions prohibit him from carrying a weapon and he was therefore sentenced by the Court as an armed career criminal.
U.S. Attorney Tompkins is joined in making today’s announcement by Wayne L. Dixie, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Rodney D. Monroe of the Charlotte Mecklenburg Police Department (CMPD).
In November 2011, a criminal bill of indictment charged Mungro with one count of possession of a firearm by a convicted felon. According to filed court documents and statements made in court, on August 9, 2011 Mungro possessed a Hi-Point, 9mm semiautomatic pistol and 18 rounds of ammunition in the car he was driving. Court records indicate that law enforcement officers recovered the firearm and ammunition when they conducted a traffic stop of Mungro’s vehicle. Mungro pleaded guilty to the charge in August 2012.
In announcing the sentence, Judge Whitney noted that it was the defendant’s criminal history that resulted in the elevated sentence and observed that the sentence would have a general deterrent effect.
Mungro has been in custody since August 2011. He will be transferred to the custody of the Federal Bureau of Prisons upon the designation of a federal facility. All federal sentences are served without the possibility of parole.
The investigation was handled by the ATF and CMPD. The case was prosecuted by Assistant United States Attorney Robert J. Gleason of the U.S. Attorney’s Office in Charlotte.
Charleston Man Charged with Traveling to Have Sex with Minor FemaleRead 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
Defendant alleged to have taken victim to hotel in Wetzel County
WHEELING, WV – A West Virginia man has been indicted by a federal grand jury for allegedly traveling across state lines to have sex with a minor whom he had met on the Internet, according to United States Attorney William J. Ihlenfeld, II.
MARK LORING DAWSON, age 51, of Charleston, West Virginia, is charged with driving to Sardis, Ohio and picking up a minor female, and then transporting her to a hotel in New Martinsville, West Virginia, and engaging in sexual activity with her on two separate occasions. These acts are alleged to have occurred between May of 2012 and April of 2013.
DAWSON faces two counts of “Transportation with Intent to Engage in Criminal Sexual Activity” and two counts of “Traveling in Interstate Commerce with the Intent to Engage in Illicit Sexual Conduct.” If convicted, DAWSON faces up to life in prison on the transportation counts and up to thirty years in prison on the traveling counts. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offense and the criminal history, if any, of the defendant.
DAWSON, who is being held at the South Central Regional Jail, will appear in federal court today for an initial appearance.
The case will be prosecuted by U.S. Attorney Ihlenfeld and is being investigated by the Federal
Bureau of Investigation and the New Martinsville Police Department.DAWSON is presumed innocent until and unless proven guilty.
California Man Sentenced for Failure to Pay Child SupportRead the Press Release
United States Attorney Brendan V. Johnson announced that a Livermore, California man charged with Failure to Pay Legal Child Support was sentenced on May 31, 2013 by U.S. Magistrate Court Judge John E. Simko.
David V. Jackson, age 53, was sentenced to 2 years of probation, a $10.00 special assessment to the Federal Crime Victims Fund, and child support restitution in the amount of $29,817.18.
Jackson was indicted by a federal grand jury on August 14, 2012 for failing to pay over $29,706.00 in past due child support. He was ordered by the Second Judicial Circuit Court to pay $200.00 per month for his minor child, commencing July 1, 1997. At the time of indictment, he had not made a child support payment since May of 2010, and the total arrearage amount was $29,706.18. Jackson pled guilty to the charge on May 31, 2013.
This case was investigated the Department of Health and Human Services, Office of Inspector General. Assistant U.S. Attorney Thomas J. Wright prosecuted the case.
Bay Mills Man Sentenced for Assault on A Federal OfficerRead the Press Release
MARQUETTE, MICHIGAN – Lorne Anthony Lyons, 51, of Brimley, Michigan and a member of the Bay Mills Indian Community, was sentenced to 14 months in federal prison for assault upon a federal officer, U.S. Attorney Patrick A. Miles, Jr. announced today. In addition to the prison term, U.S. District Judge R. Allan Edgar ordered Lyons to serve two years of supervised release following his release from prison and to pay a $100 special assessment.
On December 4, 2012, after a two-day jury trial, Lyons was convicted of assault upon a federal officer with a dangerous weapon. The charge arose from an incident on May 7, 2012, during which Lyons sent text messages to his estranged wife claiming he had committed a suicidal act. Bay Mills Tribal Police responded to an emergency call, and with the assistance of U.S. Border Protection agents, searched Lyons’ residence trying to locate him. Lyons, who was hiding in a closet, refused to come out when asked by the officers, and instead produced a short sword, thrusting it at the Tribal Police officer, waving it around, and throwing it at the officer after he was shot with a taser.
The Bay Mills Indian Community Tribal Police, U.S. Border Patrol and the FBI investigated the case. Assistant U.S. Attorney Paul D. Lochner prosecuted the case..
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Bank Employee Pleads Guilty in Large Tax Refund SchemeRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Graciela Serra, 36, of Rochester, N.Y., pleaded guilty before U.S. District Court Judge David G. Larimer to conspiracy to commit tax fraud in connection with a large nationwide tax refund scheme. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Richard A. Resnick, who is handling the case, stated that from January 29, 2011 to October 31, 2011, Serra was involved in a scheme to obtain income tax refunds by the filing of fraudulent federal income tax returns with the Internal Revenue Service. Specifically, stolen identities were utilized to file the fraudulent federal income tax returns, and the wages and related tax withholdings reported on the federal income tax returns were fabricated in order to obtain the refunds. Most of the returns were filed in the names and social security numbers of individuals residing in Puerto Rico without their knowledge. The refund checks issued as a result of the fraudulent returns were sent to various addresses in Rochester and other locations in the country.
Serra, while a teller at the Woodforest Bank on Hudson Avenue in Rochester, used her position at the bank to cash several of the fraudulent tax refund checks for other participants in the scheme who brought the fraudulent checks to her at the bank. The defendant cashed the checks knowing they were in the names of individuals other than the individuals who brought the checks to the bank. The defendant was paid a fee for cashing the checks.
“Using one’s position of trust to facilitate a crime is something our office takes very seriously,” said U.S. Attorney Hochul. “In this case, the defendant abused her position as a bank teller to cash fraudulent checks issued by the Internal Revenue Service. Such fraud against the Government in reality impacts all Americans.”
The plea is the culmination of a joint investigation on the part of the Federal Bureau of Investigation, under the direction of Acting Special Agent in Charge Richard M. Frankel and the Internal Revenue Service, under the direction of Toni M. Weirauch, Special Agent in Charge.
Sentencing is scheduled for September 20, 2013 before Judge Larimer.Armed Career Criminal Sentenced to 15 Years in Prison for Federal Fireams ViolationsRead the Press Release
CHARLOTTE, N.C. – A Charlotte man was sentenced in federal court on Monday, June 3, 2013, for being a felon in possession of a firearm, announced Anne M. Tompkins, U.S. Attorney for the Western District of North Carolina.
Derek Lorenzo Covington, 47, of Marshville, N.C. was sentenced by Chief U.S. District Judge Frank D. Whitney to 180 months in prison, followed by two years of supervised release. In June 2012, Covington pleaded guilty to being a felon in possession of a firearm in violation of federal gun laws. Covington’s prior felony convictions prohibit him from carrying a weapon. Because Covington has three or more prior felony convictions, he qualifies as an “armed career criminal.”
U.S. Attorney Tompkins is joined in making today’s announcement by Wayne L. Dixie, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, Chief Rodney D. Monroe of the Charlotte Mecklenburg Police Department (CMPD) and Sheriff James E. Clemmons, Jr. of the Richmond County Sheriff’s Office.
According to the criminal indictment and statements made in court, on May 3, 2011, Covington went into a pawnshop in Charlotte and pawned a Springfield 20 gauge shot gun. Law enforcement officers obtained video footage from the pawn shop that showed Covington pawning the shotgun. Law enforcement also recovered a pawn slip for the shotgun with Covington’s name and signature. At the time of the offense, Covington was a convicted felon and was prohibited from possessing a firearm. Court records indicate that law enforcement later determined the shotgun was a stolen firearm.
Covington has been in federal custody since December 2011. He will be transferred to the custody of the Federal Bureau of Prisons upon the designation of a federal facility. All federal sentences are served without the possibility of parole.
The investigation was handled by ATF, CMPD and the Richmond County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Robert J. Gleason of the U.S. Attorney’s Office in Charlotte.
Arlen "benny" Cenac Jr. Pleads Guilty to Making False Statements to the Federal Election CommissionRead the Press Release
The president of a Louisiana towing company pleaded guilty today to using his personal and business accounts to fund campaign contribution checks in the names of others in support of two candidates for the U.S. Senate, Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney Dana Boente announced.
ARLEN “BENNY” CENAC JR., 57, a resident of Houma, La., and the president and owner of Cenac Towing, pleaded guilty today to making false statements to the Federal Elections Commission (FEC). He faces a maximum penalty of five years in prison when he is sentenced on Sept. 5, 2013, before U.S. District Judge Carl Barbier.
“Today’s plea marks the second campaign finance conviction in a week and is one of many such cases brought throughout the nation,” said Acting Assistant Attorney General Raman. “Mr. CENAC’s crime undermined the cornerstones of campaign finance laws, and his conviction demonstrates our resolve to hold accountable anyone who corrupts our electoral process.”
“Mr. CENAC, in an effort to increase his political contributions, structured his financial transactions and created false documents,” said U.S. Attorney Boente. “This prosecution should serve as a warning to people who attempt to hide their identity and make contributions in excess of legal limits.”
According to the plea documents, CENAC obtained cashier’s checks using his personal and corporate funds in names of individuals other than himself, including people he knew professionally, personally, or through family relations. CENAC neither sought nor obtained the permission of the individuals he listed as remitters on the cashier’s checks. He then submitted the checks as campaign contributions to the campaigns of two U.S. Senate candidates, causing the campaigns to submit materially false information regarding the source and the amount of the contributions to the FEC.
The case was investigated by the FBI’s New Orleans Division. Trial Attorney Tracee Plowell of the Public Integrity Section and Assistant U.S. Attorney Daniel Friel of the Eastern District of Louisiana are prosecuting the case on behalf of the United States.
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Area Man Pleads Guilty to Federal Bank Robbery ChargesRead the Press Release
St. Louis, MO - Keith Lamar Dunlap pled guilty to the January 18, 2013 robbery of the Commerce Bank in Webster Groves.
KEITH LAMAR DUNLAP, Trenton, IL, pled guilty to one felony count of bank robbery before United States District Judge Catherine D. Perry, Tuesday afternoon, June 4th. Sentencing has been set for August 27, 2013.
Dunlap now faces a maximum penalty up to 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Webster Groves Police Department and the Federal Bureau of Investigation. Assistant United States Attorney Tom Mehan is handling the case for the U.S. Attorney’s Office.Albuquerque Man Charged with Assaulting a Federal OfficerRead the Press Release
ALBUQUERQUE – James Ronquillo, 19, of Albuquerque, N.M., made his initial appearance in federal court this morning on a criminal complaint charging him with assault on a federal officer. Ronquillo remains in custody pending a detention hearing, which has yet to be scheduled.
Ronquillo was arrested yesterday afternoon in southwest Albuquerque by the FBI following a undercover drug transaction during which Ronquillo allegedly delivered 207 grams of suspected crack cocaine to an undercover officer in exchange for $7000.
According to the criminal complaint, FBI agents and task force officers conducted surveillance of Ronquillo after the transaction and observed him get into a vehicle and drive down the street. Thereafter, an agent and officer continued surveillance of Ronquillo until they observed Ronquillo driving in the direction of their vehicle. As Ronquillo drove toward them, the agent, who was wearing a bullet-proof vest with law enforcement markings and the word “Police” across the chest, got out of the front passenger seat of the vehicle while the task force officer remained in the driver’s seat. Both the agent and officer observed that Ronquillo allegedly was driving towards them at a high rate of speed and continuing to accelerate. Based on his belief that Ronquillo posed a serious threat of injury or death to the officer and to him, the agent fired his service weapon at Ronquillo immediately before Ronquillo’s vehicle collided with the unmarked vehicle in which the task force officer was seated.
Ronquillo faces a maximum sentence of 20 years in prison if convicted of the charge in the criminal complaint. Allegations in criminal complaints are merely accusations and defendants are presumed innocent unless found guilty beyond a reasonable doubt.
This case was investigated by the Albuquerque Division of the FBI and Albuquerque Police Department officers assigned to the FBI’s Safe Streets Task Force. Assistant U.S. Attorney Samuel A. Hurtado is prosecuting the case.
Albany Woman Arrested on Charges She Called in Bomb Threats to SchoolsRead the Press Release
EUGENE, Ore. – Today FBI Agents arrested Jenelle Pinkston, age 45, for allegedly calling in bomb threats to Albany, Oregon, elementary schools in April and May of this year. Pinkston faces one count of threatened use of a destructive device. If convicted, she faces a maximum penalty of 10 years in prison and a $250,000 fine. Pinkston made her initial appearance before Magistrate Judge Thomas M. Coffin on Wednesday, and he ordered Pinkston held pending further court proceedings.
According to the criminal complaint, investigators allege that Pinkston made one call on April 16, 2013, to Waverly Elementary School, threatening that a bomb would explode in 10 minutes. The complaint further alleges that Pinkston made two calls on May 23, 2013: another call to Waverly Elementary School and one to Periwinkle Elementary School. In all cases, administrators evacuated the schools, but no devices were ever found. Albany Police Department and Albany Fire Department responded to all incidents and expended significant resources in determining that the schools were safe for the students to return. Albany Police Department initially determined the phone that was used in the threats, traced that phone’s ownership and use, and arrested Pinkston on local charges of coercion, disorderly conduct, and tampering with evidence.
Assistant United States Attorney William Fitzgerald is the federal prosecutor overseeing this case.
A criminal complaint is only an accusation of a crime, and all defendants should be presumed innocent until proven guilty.
Tuesday 4 June 2013
William Szudera Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on June 3, 2013, before Chief U.S. District Judge Dana L. Christensen, WILLIAM SZUDERA, a 76-year-old resident of Havre, pled guilty to mail fraud. Sentencing has been set for September 26, 2013. He is currently released on special conditions.
In an Offer of Proof filed by Assistant U.S. Attorney Chad C. Spraker, the government stated it would have proved at trial the following:
From 2001 to 2012, SZUDERA collected workers compensation benefit payments based on his annual representations to the Department of Labor that he was not working and earned no income.
In fact, beginning in1977, SZUDERA was operating a shooting supply business, which made him ineligible for approximately $277,484 in benefits he received from 2001 through 2012.
From 1970 to 1978 SZUDERA was employed by the Bureau of Reclamation and the Western Area Power Administration, which was absorbed into the Bureau of Reclamation in 1977. SZUDERA was injured on the job in 1970. He returned to work in 1971 and received compensation for a partial disability.
In 1984, SZUDERA was added to the Department of Labor's permanent rolls and started receiving workers compensation checks for his wage loss due to his injury. In 1992, the Department of Labor adjusted SZUDERA's compensation after determining that he was able to earn a limited wage. Under that status, SZUDERA collected workers compensation payments based on the limited wage earning capacity of a cashier. In fact, SZUDERA owned and operated a shooting supply business, B&G Shooting Supply since at least 2000.
In a May 2000 application for a Wells Fargo credit card, SZUDERA stated under the job information section that he is self-employed as an owner of a business with a gross monthly salary of $12,500. SZUDERA's tax returns from 2002 to 2010 show that B&G Shooting had gross receipts ranging from approximately $500,000 to $750,000. The returns indicate a profit for every year with the exception of 2006.
Nevertheless, from 2002 to 2011, SZUDERA filled out annual certifications stating that he was unemployed and did not receive any outside income. The annual certifications asked SZUDERA to report all self-employment or involvement in business enterprises, including a family business, even if the activity was part-time or intermittent. Moreover, the certifications asked SZUDERA to report any work or ownership interest in a business enterprise even if the business lost money.
Agents of the Department of Energy interviewed SZUDERA in October 2011. SZUDERA stated that he knew he had to report any additional income he received each year on the annual certification. When asked whether he knowingly received income yet did not report it on the annual certification, SZUDERA answered "yes." SZUDERA's inflated workers compensation benefit checks were mailed from the U.S. Treasury to SZUDERA's home in Havre.
SZUDERA faces possible penalties of 20 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was a cooperative effort between the U.S. Department of Energy - Office of Inspector General and the U.S. Department of Labor - Office of Inspector General.
Warrant Officer Pleads Guility to Theft of Government PropertyRead the Press Release
RALEIGH – United States Attorney Thomas G. Walker announced that in federal court today KURT ALLEN BENNETT, 41, of Fort Bragg, North Carolinapled guilty before United States District Judge Terrence W. Boyle to conspiring to steal and convert property belonging to the United States Government, in violation of Title 18, United States Code, Section 371, and two counts of theft and conversion of government property, in violation of Title 18, United States Code, Sections 641.
U.S. Attorney Walker stated, “The theft of sensitive military equipment, such as the laser designator rangefinder in this case, puts our soldiers at even greater risk than they already are given the potential for such equipment to fall into the wrong hands. We owe a duty to our troops to protect them from this type of greed and criminal misconduct.”
According to the Indictment filed on January 3, 2013, and information presented in open court, at the time of the offense, BENNETT was an Apache helicopter pilot in the United States Army assigned to the 1st Battalion, 3rd Aviation Regiment, at Hunter Army Air Field in Savannah, Georgia. From October 18, 2008, through October 18, 2009, BENNETT was deployed with his unit to Contingency Operating Base (COB) Speicher in Iraq. During his deployment, BENNETT stole government property, concealed the stolen items in military connexes, and then shipped the stolen goods back to the United States along with the rest of his unit’s property to Fort Drum, New York.
After BENNETT returned to the United State from Iraq, he traveled to Fort Drum and transported the connex and its contents of stolen items with his personal vehicle back to Georgia. The value of the stolen items during his Iraq deployment exceeded $100,000.
In 2010, BENNETT was a Chief Warrant Officer 2 in the United States Department of the Army assigned to the 525th Battlefield Surveillance Brigade, which is part of the 18th Airborne Corps, based at Fort Bragg, North Carolina. From November 14, 2010 through July 30, 2011, BENNETT was deployed with the 525th Battlefield Surveillance Brigade to the United States Forward Operating Base - Spin Boldak and then later at Kandahar Air Field, both U.S. military bases located in Afghanistan. During his deployment to Afghanistan, BENNETT was the Brigade Tactical Operations Officer with designated duties as Officer-in-Charge of a security detail known as the Enabler Security Team which secured movement of staff and service/construction workers throughout the 525th Battlefield Surveillance Brigade’s area of responsibility.
Between December 2010 and July 28, 2011, BENNETT, along with WALKER (already entered his guilty plea) stole more than $1,000,000 worth of government property, concealed the stolen items in military connex, and then shipped the stolen goods back to the United States through Air Force channels. Some of the items stolen included a lightweight laser designator rangefinder (“LLDR”) valued at over $290,000; a Polaris ATV valued at $11,507; two plasma cutters valued at $10,000, and one cargo trailer valued at $8,944. An LLDR is used to locate and designate targets for laser-guided munitions.
“This guilty plea by a military officer today highlights the effectiveness of aggressive investigative efforts by the Defense Criminal Investigative Service and our law enforcement partners,” stated Special Agent in Charge John F. Khin, Southeast Field Office, DCIS. “Chief Warrant Officer Kurt Bennett was held accountable for stealing over $1 million worth of military property while deployed to Afghanistan with the US Army. His self-serving crimes breached his trust and honor as an Army officer, and discredited the U.S. military services, while undermining our warfighting efforts. The DCIS takes seriously any corruption and fraud that waste precious resources needed for military operations, especially in these times of reduced Defense budgets.”
Kurt Bennett abused his position of trust and betrayed his fellow service members, dishonoring the very principles he promised to uphold. The FBI will continue to aggressively investigate those who put their personal greed ahead of the safety of this country’s serviceman and women,” said John Strong, Special Agent in Charge of the Charlotte Division of the FBI.
BENNETT’s co-conspirator was Sergeant First Class Robert Alan Walker. Walker’s sentencing hearing is currently set for August, 2013.
At sentencing, BENNETT faces up to 5 years imprisonment for the conspiracy charge and up to 10 years for each of the theft charges.
The criminal investigation of this case was conducted by United States Defense Criminal Investigative Service; the Federal Bureau of Investigation; the United States Department of Army – Criminal Investigation Command, and the Defense Logistics Agency. Assistant United States Attorney Banumathi Rangarajan is handling the prosecution on behalf of the Eastern District of North Carolina.
U.S. Postal Employee in Ennis, Texas, Admits Stealing MailRead the Press Release
DALLAS — Gary Wayne Thomas, 54, of Ennis, Texas, appeared in federal court this morning, before U.S. Magistrate Judge Irma C. Ramirez, and pleaded guilty to an Information charging theft of mail matter by an officer or employee. He faces a maximum statutory penalty of five years in federal prison, a $250,000 fine and restitution. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to documents filed in the case, between August 2011 and September 2012, Thomas worked at the Ennis Post Office, and his duties included assisting customers at the retail window, dispatching raw mail, pulling raw mail from collection boxes and sorting outgoing mail dropped in the post office’s lobby. During that time, Thomas embezzled and stole mail items that were intended to be conveyed by the U.S. mail that had been entrusted to him as a U.S. Postal Service employee.
For example, Thomas stole a birthday card containing a $50.00 Wal-Mart gift card that had been sent from a woman to her six-year-old grandson. That piece of mail had been mailed inside the Ennis Post Office. Thomas used the gift card to purchase personal items at Wal-Mart.
The case was investigated by the U.S. Postal Service Office of Inspector General. Assistant U.S. Attorney P.J. Meitl is in charge of the prosecution.
U.S. Foreign Service Officer Charged with Conspiracy to Defraud the United States and to Commit Bribery and Visa Fraud-Scheme Allegedly Yielded Millions of Dollars in Bribes-Read the Press Release
WASHINGTON A U.S. Foreign Service Officer, Michael Todd Sestak, 41, has been arrested and charged with conspiracy to defraud the United States and conspiracy to commit bribery and visa fraud, U.S. Attorney Ronald C. Machen Jr. and U.S. Department of State Diplomatic Security Service (DSS) Director Gregory B. Starr announced today.
Sestak appeared this afternoon before the Honorable Magistrate Judge Deborah A. Robinson in the U.S. District Court for the District of Columbia. He was arrested on May 13, 2013, in California and had been ordered held without bond following a hearing in the U.S. District Court for the Central District of California. He was removed to the District of Columbia, where the criminal complaint, dated May 6, 2013, was filed against him. Magistrate Judge Robinson ordered that he remain in custody pending further court proceedings.
According to the government’s evidence, Sestak was the Non-Immigrant Visa Chief in the Consular Section of the U.S. Consulate in Ho Chi Minh City, Vietnam from August 2010 to September 2012.
The investigation revealed that, beginning sometime in or around March 2012, Sestak agreed to approve visas to the United States for a fee. According to an affidavit filed in support of the criminal complaint, he conspired with other U.S. citizens and Vietnamese citizens who worked to recruit customers - or to recruit other recruiters - to the visa scheme. Co-conspirators reached out to people in Vietnam and the United States and advertised a money-back guarantee for a visa to the United States. They particularly advertised that they could obtain visas for people who would not be able to obtain a visa on their own, such as people who had been previously denied or refused entry into the U.S. They encouraged customers with the idea that they could overstay their visas and disappear in the United States.
The affidavit alleges that co-conspirators assisted visa applicants with their applications and prepared them for their consular interviews. Upon submitting an application, the applicants would receive an appointment at the Consulate, be interviewed by Sestak, and approved for a visa. Applicants or their families paid between $20,000 and $70,000 per visa.
Applicants paid for their visas in Vietnam, or by routing money to co-conspirators in the United States. According to the affidavit, Sestak received several million dollars in bribes in exchange for approving the visas. He ultimately moved the money out of Vietnam by using money launderers through off-shore banks. Co-conspirators also had money laundered through off-shore banks to bank accounts in the United States, the affidavit alleges.
To date, the investigation has seized over $2 million from a co-conspirator’s investment account in the United States.
Two women have been charged in the scheme.They are Hong Vo, 27, an American citizen, and Truc Tranh Huynh, 29, a Vietnamese citizen, who are charged with conspiring with Sestak and others. Vo allegedly assisted with the recruitment of visa applicants and communicated with others about the payment for the fraudulent visas. According to charging documents, fraudulent visas granted by Sestak were connected to an Internet Protocol (“IP”) address controlled by Vo. Huynh allegedly participated in the visa scheme by obtaining documents necessary for the visa applications, collecting money and providing model questions and answers for visa applicants. Sestak also allegedly approved a visa for Huynh to the United States, the application for which was submitted by the IP address controlled by Vo.
Vo was recently arrested in Denver and is being held there while awaiting removal to the District of Columbia. Huynh was arrested June 3, 2013, and appeared today in the U.S. District Court for the District of Columbia. She remains held without bond pending further proceedings.
Charges contained in criminal complaints are merely allegations that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.
The case is being investigated by the U.S. Department of State Diplomatic Security Service and Assistant U.S. Attorneys Brenda J. Johnson and Mona N. Sahaf of the National Security Section and Catherine K. Connelly of the Asset Forfeiture and Money Laundering Section.
13-194U.S. Attorney John Walsh Appointed by Attorney General Eric Holder to Serve as Co-Chair of Attorney General's Advisory Board White Collar/Fraud SubcommitteeRead the Press Release
DENVER – Attorney General Eric Holder has appointed Colorado U.S. Attorney John Walsh to serve as co-chair of Holder’s White Collar/Fraud Subcommittee. The subcommittee is part of the Attorney General’s Advisory Committee (AGAC), which is comprised of U.S. Attorneys from across the country to provide the Attorney General with guidance on a variety of critical Department of Justice issues. Walsh recently concluded a two-year appointment to that committee. U.S. Attorney Walsh joins U.S. Attorney Melinda Haag, who serves the Northern District of California, who is currently serving as co-chair of the White Collar/Fraud Subcommittee.
The White Collar/Fraud Subcommittee has been in the forefront of the U.S. Attorney’s efforts to prosecute white collar crime, including investor fraud. In Colorado, while Walsh has been U.S. Attorney, there have been a number of significant fraud cases, including the prosecution of Philip Lochmiller Jr. and Sr., Mark Yost, Michael Van Gilder, Gerald Rising and James Burg.
In addition to Walsh’s role as co-chair of the White Collar/Fraud Subcommittee, he also serves as one of five national co-chairs of the Attorney General’s Residential Mortgage-Backed Securities (RMBS) Fraud Working Group. The Residential Mortgage-Backed Security (RMBS) Working Group of the Financial Fraud Enforcement Task Force was established by the Attorney General in late January 2012. The working group has been dedicated since February 2012 to initiating, organizing, and advancing new and existing investigations by federal and state authorities into fraud and abuse in the RMBS market that helped precipitate the 2008 financial crisis. The RMBS Working Group is part of the Financial Fraud Enforcement Task Force (FFETF).
“It is an honor to serve as co-chair of these critical white collar crime prosecution groups,” said U.S. Attorney John Walsh. “Since first becoming an Assistant U.S. Attorney in the 1980s, prosecution of white collar offenses has been a focus and a passion of mine, as reflected in the many cases I’ve worked both while an Assistant U.S. Attorney in Los Angeles as well as while serving as U.S. Attorney here in Colorado.”
Walsh has served as Colorado’s U.S. Attorney since August 2010, after being nominated by President Barack Obama and subsequently unanimously confirmed by the U.S. Senate.
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Two of five co-defendants convicted of embezzling from Trident Seafoods sentenced to eight months and 28 months in prisonRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a Kodiak man and a woman from Corpus Christi, Texas, were sentenced for their role in embezzling over half a million dollars from Trident Seafoods.
Valerie Olivares, 35 of Corpus Christi, Texas, was sentenced today by Chief U.S. District Court Judge Ralph R. Beistline, to eight months prison for her role in aiding Isairis Wolfe in embezzling $45,000 from Trident Seafoods.
Jeremy Smith, 31 of Kodiak, Alaska, was also sentenced today by Judge Beistline to 28 months prison for his role in aiding Wolfe in embezzling $128,400 from Trident Seafoods.
According to Assistant U.S. Attorney Aunnie Steward, who prosecuted the case, from January 2008, and continuing until August 2010, the lead defendant Isairis Wolfe used her position as the book keeper for Trident Seafoods in Kodiak, Alaska, to write Trident checks to four of her personal associates: Anne Wilson; Jeremy Smith; Valerie Olivares; and Jamie Fathke. Wolfe, using her check writing authority at Trident, drafted approximately 52 checks on a Trident account for approximately $500,000, and made them payable to her personal associates Wilson, Smith, Olivares, and Fathke, as well as to Wilson's minor son L.E. The checks were negotiated by Wolfe and her associates and they shared the proceeds. Wolfe concealed the fraud by creating fraudulent accounting records so that the payments appeared to be legitimate.
During the three-year scheme, Smith negotiated 16 fraudulent checks, taking a break from the scheme only while he was incarcerated on unrelated weapons charges in 2009. Olivares negotiated three fraudulent checks. Smith and Olivares kept half of the money from the fraudulent checks and provided the remaining half to Wolfe. The scheme came to an end when Wolfe was fired from Trident Seafoods for performance related reasons and was no longer in a position to write the fraudulent checks. The scheme was not discovered until after Wolfe was fired and a review of the books and records was conducted by Trident.
The leader of the scheme, Isairis Wolfe, is scheduled for sentencing on June 11, 2013. Jamie Fathke was sentenced on January 9, 2013, to four months jail for her role in aiding Wolfe in embezzling $30,000 from Trident Seafoods. Anne Wilson was sentenced on March 21, 2013, to 16 months prison for her role in aiding Wolfe in embezzling $289,000 from Trident Seafoods.
Ms. Loeffler commends the FBI for the investigation of this case.
Two Sentenced for Separate Drug Crimes in Connection with Aryan Knights InvestigationRead the Press Release
BOISE – U.S. Attorney Wendy J. Olson announced today the sentencing of Dennis James, 47, of San Pablo, California, and Jesse Ray Delgado, 47, of Boise, Idaho, for conspiracy to distribute methamphetamine. The defendants were indicted in separate cases.
Chief U.S. District Judge B. Lynn Winmill sentenced James on Monday to 120 months in federal prison followed by eight years of supervised release for conspiring to distribute methamphetamine. According to information presented in court, James conspired with a co-defendant to distribute methamphetamine in June 2012. At a court hearing on March 12, 2013, James admitted that he sold approximately one-half ounce of methamphetamine to a confidential informant in June 2012. James faced an enhanced sentence because he was previously convicted of a felony drug offense in 2006. His lengthy criminal history includes voluntary manslaughter. James’ co-defendant, Nicholas Andrew Steele, was sentenced in April to 60 months in prison for distribution of methamphetamine.
U.S. District Judge Edward J. Lodge sentenced Delgado today to 168 months in prison followed by five years of supervised release. He pleaded guilty to the charge on March 12, 2013. Delgado admitted in court that he entered into a conspiracy with other individuals to distribute methamphetamine. He acknowledged that he purchased methamphetamine and distributed it in the Boise area. On February 16, 2012, he sold approximately one-half ounce of methamphetamine to a confidential informant. On March 14, 2012, law enforcement agents served a search warrant on Delgado’s residence and recovered over three ounces of methamphetamine. Delgado faced an enhanced sentence because of his prior conviction for possession of controlled substances in 2001.
The cases are part of the Aryan Knights investigation in which James, Steele, Delgado and 20 other individuals were charged as a result of a long-term investigation by the Treasure Valley Metro Violent Crime Task Force. The investigation began when the task force focused on illegal drug distribution by the “Aryan Knights,” a gang active both in prison and on the streets throughout Idaho. Through the investigation, law enforcement agents identified Aryan Knights gang members who were trafficking methamphetamine, as well as associates of the gang who were the source of that methamphetamine.
All 23 defendants have pleaded guilty, 17 have been sentenced, and six are awaiting sentencing.
The Treasure Valley Metro Violent Crimes Task Force is comprised of federal, state and local agencies, including the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; Boise Police Department; Ada County Sheriff’s Office; Caldwell Police Department; Nampa Police Department; Meridian Police Department; Canyon County Sheriff’s Office; and Idaho Department of Probation and Parole. The joint investigation also included the Organized Crime and Drug Enforcement Task Force (OCDETF), a cooperative law enforcement effort of the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service.
The Aryan Knights cases are being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Two Rapid City Men Indicted for Conspiracy to Defraud the United States and Harboring AliensRead the Press Release
United States Attorney Brendan V. Johnson announced that two additional individuals have been indicted by a federal grand jury for conspiracy to harbor aliens, harboring aliens, and conspiracy to defraud the United States. The alleged fraud is in connection with contracts entered into with the U.S. Forest Service. Nine individuals were previously indicted in relation to these offenses.
Raul D. Munoz, age 24, and Rogelio Escalante Jr., age 24, both of Rapid City, South Dakota were indicted on May 21, 2013. The defendants appeared in front of U.S. Magistrate Judge John E. Simko on May 31, 2013 and pled not guilty to the charges. The maximum penalty upon conviction is 10 years’ imprisonment and/or a $250,000 fine.
The indictments are a result of a criminal investigative operation conducted by U.S. Immigration and Customs Enforcement's Homeland Security Investigations, in cooperation with the U.S. Forest Service, Rapid City Police Department, the Pennington County Sheriff's Office, SD Division of Criminal Investigation, Custer County Sheriff’s Office, U.S. Department of Labor, and other federal and state law enforcement agencies.
The charges contained in the indictment are merely accusations, and Escalante and Munoz are presumed innocent unless and until they are proven guilty.
Two Port Saint Lucie Men Sentenced on Firearms Conspiracy ChargesRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Hugo Barrera, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, announce yesterday’s sentencing of defendants Vincent Olavarria, Jr., 46, and Darren D. Cuff, 26, both of Port St. Lucie, on charges of conspiracy to violate federal firearms sales laws and making false statements to a federal officer. Olavarria had previously pled guilty to conspiracy to violate federal firearms laws, in violation of Title 18, United States Code, Section 371. Cuff had previously pled guilty to making false statements to a federal officer, in violation of Title 18, United States Code, Section 1001, in the course of the investigation of this case. At yesterday’s hearing, U.S. District Judge K. Michael Moore sentenced Olavarria to 34 months in prison to be followed by two years of supervised release; Judge Moore sentenced Cuff to 21 months in prison to be followed by two years of supervised release.
From March 2010 through December 2011, defendant Olavarria was a federally licensed firearms dealer in Port St. Lucie. Olavarria conspired with other defendants including defendant Cuff to falsify firearms sales records and conceal the actual buyers and true destination of sixty rifles that Olavarria had sold to an undocumented buyer. In concert with Olavarria and at his direction, Cuff and others pretended to be the buyers, and lied to ATF agents investigating the sales and transfer of the rifles, claiming to have taken the rifles and resold them on the street, when in fact they had all gone to another purchaser as yet unknown to ATF.
Mr. Ferrer commended the investigative efforts of the ATF. The case is being prosecuted by Assistant U.S. Attorney Theodore Cooperstein.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Two Pine Ridge Men Indicted for Assaulting Two Men with A FirearmRead the Press Release
United States Attorney Brendan V. Johnson announced that two Pine Ridge, South Dakota men have been indicted by a federal grand jury for allegedly using a firearm to attempt to murder two other men at Pine Ridge on March 20, 2013.
Irving Provost, Jr., age 35, and Lester Waters, age 32, were indicted by a federal grand jury on May 21, 2013 for assault with intent to commit murder, assault with a dangerous weapon, and assault resulting in serious bodily injury.
Provost and Waters appeared before U.S. Magistrate Judge Veronica L. Duffy on May 29, 2013, and pled not guilty to the indictment.
The maximum penalty upon conviction is 20 years of imprisonment and a $250,000 fine. The charges are merely an accusation and Provost and Waters are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety.
Provost and Waters were remanded to the custody of the U.S. Marshal. A trial date has been set for August 6, 2013.
Two Attorneys Among Four Defendants Indicted in Two Separate Mortgage Fraud Schemes Involving South Side PropertiesRead the Press Release
CHICAGO — Two attorneys are among four defendants who have been indicted in two separate mortgage fraud cases, federal law enforcement officials announced today. In one case, an attorney, a real estate investor, and a loan originator were charged with allegedly participating in a scheme to fraudulently obtain at least five residential mortgage loans totaling approximately $1.5 million from various lenders. In the second case, an attorney was charged with allegedly participating in a scheme to fraudulently obtain at least 12 residential mortgage loans totaling nearly $3.75 million from various lenders.
Both indictments allege that the mortgages were obtained to finance the purchase of properties on Chicago’s south side, stretching from the Back of the Yards to Englewood and West Englewood neighborhoods, at inflated prices by buyers who were fraudulently qualified for loans, or were being paid, while the defendants allegedly profited. As a result, various lenders and their successors incurred losses because the mortgages were not fully recovered through subsequent sale or foreclosure.
Three defendants were charged together in a five-count indictment that was unsealed on Friday following the arrest of STEVEN BARTLETT, 42, of Chicago, a part owner of SSB Re, Inc., also known as SSB Real Estate Solutions, Inc., through which Bartlett bought and sold residential properties in Chicago. Bartlett, ROBERT LATTAS, 36, of Oak Brook, an attorney who represented SSB Re in real estate closings, and NICHOLAS BURGE, 34, of Bloomington, Ill., a loan originator for two different lenders, were each charged with one count of mail fraud and four counts of wire fraud. The indictment seeks forfeiture of $1,494,248.
Bartlett remains in custody pending a detention hearing at 10 a.m. tomorrow before U.S. Magistrate Judge Sheila Finnegan. Lattas and Burge were ordered to appear voluntarily for arraignment at 11:30 a.m. Thursday before Magistrate Judge Finnegan in U.S. District Court.
Between January 2008 and January 2009, Bartlett allegedly used SSB Re to sell properties at inflated sales prices to buyers that he knew were fraudulently qualified for mortgage loans. Bartlett and Burge prepared and submitted loan applications to lenders that they knew contained false information about buyers’ qualifications, including information about buyers’ income, assets, liabilities, employment, source of down payment, and intention to occupy properties as a primary residence, the indictment alleges.
Bartlett and Lattas allegedly prepared and submitted to lenders HUD-1 settlement statements that they knew contained false information, including the true source of the buyers’ down payments. Lattas allegedly represented, or had his associates represent, SSB Re at closings in which properties were sold to buyers, knowing that Bartlett had recruited individuals to provide funds that were falsely represented to lenders as the buyers’ down payments. Lattas knew individuals other than the buyers were providing cashier’s checks representing the buyers’ down payments and falsely listed them as the remitters, the charges allege.
The charges were announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois; Barry McLaughlin, Special Agent-in-Charge of the U.S. Department of Housing and Urban Development Office of Inspector General in Chicago; and Pete Zegarac, Inspector-in-Charge of the U.S. Postal Inspection Service in Chicago. The Federal Housing Finance Agency Office of Inspector General assisted in the investigation. The government is being represented by Assistant U.S. Attorney Jason Yonan.
In a separate, unrelated case, ANTHONY CAMPANALE, 58, of Oak Park, an attorney who represented SNAP Holdings, LLC and affiliated entities at real estate closings, was charged with three counts of mail fraud and five counts of wire fraud in an eight-count indictment returned on May 16. Campanale pleaded not guilty on May 24 at his arraignment in Federal Court. The indictment seeks forfeiture of $3,733,250.
According to the indictment, between October 2007 and November 2008, Campanale knew that he was representing SNAP Holdings and its affiliates at closings for properties that were being sold at inflated sales prices to buyers whom he knew were being paid by his clients to purchase the properties. Campanale allegedly caused sales contracts to be submitted to lenders that he knew contained false information, including inflated sales prices, and he submitted to lenders HUD-1 settlement statements that he knew contained false information about the true source of the buyers’ down payments and about payments provided to the buyers for purchasing the properties.
The charges result from the same investigation that led to the July 2012 indictment of seven defendants for allegedly participating in a scheme to fraudulently obtain more than 20 residential mortgages totaling approximately $8.5 million from various lenders. Three of those defendants, including Thomas Hyland, 40, of Glen Ellyn, who co-owned SNAP Holdings, have pleaded guilty while charges remain pending against the other four defendants.
Mr. Shapiro announced the Campanale charges with Cory B. Nelson, Special Agent-in- Charge of the Chicago Office of the Federal Bureau of Investigation; James Vanderberg, Special Agent-in-Charge of the U.S. Department of Labor’s Office of Inspector General; and Pete Zegarac, Inspector-in-Charge of the U.S. Postal Inspection Service in Chicago. The government is being represented by Assistant U.S. Attorneys Jason Yonan and Ryan Hedges.
Each count of wire fraud and mail fraud carries a maximum penalty of 20 years in prison and a $250,000 fine, and restitution is mandatory. If convicted, the Court may impose an alternate fine totaling twice the loss to any victim or twice the gain to the defendant, whichever is greater. The Court must impose a reasonable sentence under federal sentencing statutes and the advisory United States Sentencing Guidelines.
The public is reminded that indictments contain only charges and are not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Since 2008, several hundred defendants have been charged in Federal Court in Chicago and Rockford with engaging in various mortgage fraud schemes involving more than 1,000 properties and more than $300 million in potential losses, signifying the high priority that federal law enforcement officials give mortgage fraud in an effort to deter others from engaging in crimes relating to residential and commercial real estate.
Today’s announcement is part of efforts underway by the Financial Fraud Enforcement Task Force (FFETF), which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ Offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has facilitated increased investigation and prosecution of financial crimes; enhanced coordination and cooperation among federal, state and local authorities; addressed discrimination in the lending and financial markets, and conducted outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants, including more than 2,700 mortgage fraud defendants. For more information on the task force, visit stopfraud.gov.
Bartlett Indictment
Campanale IndictmentTwenty Two Indicted in Multi-State Prescription Drug RingRead the Press Release
Memphis, TN – Twenty two individuals were charged today in a two-count federal indictment for their alleged roles in an illegal prescription drug distribution ring, announced U.S. Attorney Edward L. Stanton III and Resident Agent-in-Charge of the Drug Enforcement Administration’s Memphis office Brian K. Chambers.
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The following individuals were charged with one count of conspiracy to possess and distribute oxycodone, a Schedule II narcotic, and one count of conspiracy to possess and distribute hydrocodone mixtures such as “Lortab” and “Lorcet,” a Schedule III controlled substance:
Bradford Kelley, 30, Walls, MS
Byron Kelley, a/k/a “Big B,” 32, Olive Branch, MS
Bryan Kelley, a/k/a “Little B,” 33, Memphis
Beverly Powell, 52, Memphis
Jason Hopkins, a/k/a “J,” 33, Memphis
Bryant Hopkins, 31, Memphis
The following individuals were charged with one count of conspiracy to possess and distribute hydrocodone mixtures such as “Lortab” and “Lorcet,” a Schedule III controlled substance:
Tiffany Jones, a/k/a “TT,” 27, Walls, MS
Gerron Powell, a/k/a “Snap,” 31, Memphis
Joseph Hardrick, 30, Memphis
Jeremy Bowden, a/k/a “Bubba,” 25, Memphis
Randy Moss, 37, Memphis
Mario Reed, a/k/a “Yo,” 29, Memphis
Jerome Bell, a/k/a “Jerome Price,” 36, Memphis
Hollie Hicks, 23, Wynne, AR
Felicia Bryant, 35, address unknown
Chernette Wiggins, 24, Memphis
Paige Hunara, 22, Wynne, AR
Kanneccia Lewis, a/k/a “Klyanna Lewis,” 23, Memphis
Shaniece Young, 24, Memphis
Shana Scott, a/k/a “Re-Re,” 33, Memphis
Shakena Standard, 28, Memphis
Shirley Ewing, 48, Memphis
This case was investigated by the Drug Enforcement Administration Task Force and the Memphis Police Department. Assistant U.S. Attorney Daniel French is representing the government.
The charges and allegations contained in the indictment are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Trucking Company Owner Indicted for Failing to Pay FICA TaxesRead the Press Release
MINNEAPOLIS—Earlier today in federal court in St. Paul, the owner of Dahl Trucking in Elmore, Minnesota, was indicted for avoiding payment of Federal Insurance Contribution Act (“FICA”) taxes on the wages of his employees from 2007 through 2010. Marlin Dahl was specifically charged with 13 counts of failure to collect and pay over FICA taxes.
The indictment alleges that from January 1, 2007, through March 31, 2010, Dahl executed a scheme to avoid paying FICA taxes to the Internal Revenue Service (“IRS”). As the owner of Dahl Trucking, Dahl had a duty to collect, account for, and pay over certain federal employment taxes, including both the employees’ and employer’s share of FICA taxes. Instead, he allegedly issued payroll checks that did not have any FICA withholdings deducted. Dahl also reportedly caused wages to be recorded in the company books at Dahl Trucking, also known as Elmore Truck and Trailer, as “road expense” reimbursements. In total, Dahl failed to pay to the IRS an estimated $168,219 in employees’ share of FICA tax.
If convicted, Dahl faces a potential maximum penalty of five years in prison on each count. Any sentence would be determined by a federal district court judge. This case is the result of an investigation by IRS-Criminal Investigation, the Minnesota Department of Employment and Economic Development, and the Minnesota Financial Crimes Task Force. It is being prosecuted by Assistant United States Attorney Jeffrey S. Paulsen.
The Financial Crimes Task Force was established pursuant to state law and is comprised of local, state, and federal law enforcement investigators dedicated to combating the growing problem of cross-jurisdictional financial crimes. The task force, overseen by an advisory board also created under state law, serves the entire District of Minnesota, presenting its cases to county or federal prosecutors, as appropriate.
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. Per U.S. Department of Justice policy, the U.S. Attorney’s Office is not allowed to provide the age and city of residence for defendants charged in criminal tax cases.Texas Man Indicted for Failure to Pay Child SupportRead the Press Release
United States Attorney Brendan V. Johnson announced that a Houston, Texas man has been indicted by a federal grand jury for Failure to Pay Legal Child Support.
Jeremy M. Willms, age 32, was indicted by a federal grand jury on October 6, 2011 for failing to pay over $13,734.00 in past due child support. He appeared before U.S. Magistrate Judge John E. Simko on May 30, 2013 and pled not guilty to the indictment.
The maximum penalty upon conviction is two years imprisonment; a $250,000.00 fine; one year supervised release; one additional year upon revocation; a $100.00 assessment fee to the Federal Crime Victims Fund; and child support restitution amount owing at the time of sentencing.
The charge is merely an accusation and Willms is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Department of Health and Human Services, Office of Inspector General. Assistant U.S. Attorney Thomas J. Wright is prosecuting the case.
Willms was released on bond pending trial. A trial date has not been set.
Tax Preparers Indicted and Arrested on Fraud ChargesRead the Press Release
Jacksonville, FL - U.S. Attorney Robert E. O’Neill announces the return of a multi-count indictment charging Jacksonville residents Troy Solomon (29) and Antonio Gadsden (37) with conspiracy to defraud the government and multiple counts of aiding and assisting in the preparation of false income tax returns. Solomon is also charged with 16 counts of wire fraud, one count of aggravated identity theft and one count of willful failure to file a return. They each face a maximum penalty of three years in federal prison for the conspiracy charge. Gadsden faces up to three years in federal prison for each of his four false preparation charges. Solomon faces a maximum penalty three years in federal prison for each of his sixteen false preparation charges. Additionally, Solomon faces a maximum penalty of twenty years in federal prison for each wire fraud charge, two consecutive years in prison for the aggravated identity theft charge, and up to one year in prison for the failure to file charge. Both individuals were arrested on federal warrants today.
According to the indictment, Solomon and Gadsden worked at Solomon's Tax Services, LLC and conspired to defraud the United States by preparing returns using false information to maximize the refund amount received. The indictment further alleges that larger refunds resulted in more tax preparation business, which led to greater tax preparation fees. Solomon allegedly stole the identity of an individual in order to participate in the IRS E-File Program, through which Solomon obtained an Electronic Filing Identification Number. That identification number was used to file IRS Form 1040s. Further, the indictment alleges that Solomon failed to file an income tax return for tax year 2011.
An indictment is merely a formal charge that a defendant has committed a violation of federal criminal law, and every defendant is presumed innocent until, and unless, proven guilty.
The case was investigated by Internal Revenue Service Criminal Investigation. Assistant United States Attorney Kelly S. Karase is handling the prosecution of this case.
Tax Preparer Charged with Preparing False Tax ReturnsRead the Press Release
PHILADELPHIA - David Nixon, 48, of Philadelphia, Pennsylvania, was charged today by Indictment with 81 counts of aiding and assisting in the preparation of materially false income tax returns, announced United States Attorney Zane David Memeger.
According to the indictment, Nixon, the owner of Economy Tax Services, prepared materially false federal income tax returns for tax years 2007 through 2009 which included fraudulent credits for children, earned income, tuition and fees, and residential energy efficiency property; incorrect filing status; and false or falsely inflated Form 1040 Schedule A deductions for charitable contributions and employee business expenses. The prepared and filed returns reduced the amount of tax owed by Nixon’s clients and increased the amount of the refunds to the clients. The indictment alleges that as the result of the false and fraudulent income tax returns, Nixon’s clients received more than $200,000 in fraudulently inflated refunds.
If convicted the defendant faces a maximum possible statutory sentence of 243 years in prison, a fine of up to $20,250,000, and one year of supervised release.
The case was investigated by the Internal Revenue Service Criminal Investigations and is being prosecuted by Assistant United States Attorney Anita Eve.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Tampa Man Sentenced to 12 Years on Federal Child Pornography ChargesRead the Press Release
Tampa, FL - U.S. District Judge James D. Whittemore sentenced Paul Henry Carlin (58, Tampa) yesterday to 12 years in federal prison for transportation and receipt of child pornography. The court also ordered Carlin to forfeit computers and thumb drives, which were used in the offense. Carlin pleaded guilty on March 1, 2013.
According to court documents, between May and December 2012, Carlin used a peer-to-peer file sharing program to distribute at least 17 files depicting child pornography to undercover FBI agents. In December 2012, Carlin's computers and thumb drives were seized. Agents found more than 300 images and 100 videos of child pornography on his computer media. Carlin also admitted to law enforcement agents that he had been seeking and downloading images and videos of child pornography.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Jennifer L. Peresie.
It is another case 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.
Tacoma Repeat Offender Sentenced to 20 Year Prison Term for Drug and Gun CrimesRead the Press Release
A repeat offender who was arrested twice by Tacoma Police officers with baggies of crack cocaine was sentenced yesterday to 20 years in prison following his convictions at trial for conspiracy to distribute cocaine base (crack), four counts of possession of cocaine and cocaine base with intent to distribute, possession of a firearm in furtherance of a drug trafficking crime, being a felon in possession of a firearm and witness tampering, announced U. S. Attorney Jenny A. Durkan. TITUS DION PETERSON, 34, has a lengthy criminal history including multiple convictions for drug dealing, assault, resisting arrest, and bank robbery. At sentencing U.S. District Judge Benjamin H. Settle said his primary concern was protecting the public, saying to PETERSON, “The Court has no confidence … that you’re at a point mentally to make a change in your life.”
According to records filed in the case, Tacoma Police officers stopped PETERSON January 13, 2010, for jaywalking and determined that he had attempted to toss two baggies containing a total of about an ounce of crack cocaine after noticing the officers in the area. PETERSON was arrested, and failed to appear in court on the charges. After a warrant was issued on that case, PETERSON was located a second time by Tacoma Police Officers on October 31, 2011. Following a traffic stop, officers found another ounce of crack cocaine in a baggy in the vehicle PETERSON was driving. Following that arrest, members of the FBI’s South Sound Gang Task Force went to PETERSON’s apartment and a storage unit he controlled. In the storage unit officers found an additional nine ounces of crack and powder cocaine, $23,000 in cash, and two firearms. One was a Taurus 9mm semi-automatic pistol loaded with 13 rounds, the other was a Smith & Wesson .40 caliber pistol loaded with 15 rounds. While incarcerated awaiting trial, PETERSON made numerous phone calls to friends and family members attempting to thwart the investigation and prosecution. Those calls resulted in the witness tampering conviction. PETERSON was convicted on October 5, 2012 following a three day bench trial (after waiving his right to a jury trial).
The case was investigated by the FBI’s South Sound Gang Task Force, which also includes officers from the Tacoma Police Department, the Washington Department of Corrections and State Patrol, the Lakewood Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Assistant United States Attorney Gregory A. Gruber.
Statement of the U.S. AttorneyRead the Press Release
Memphis, TN – United States Attorney Edward L. Stanton III has released the following statement concerning the shooting in Olive Branch, MS this morning:
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During the execution of a federal search warrant this morning at a residence in Olive Branch, MS, Byron Kelley, a/k/a “Big B,” 32, was fatally wounded after firing upon members of law enforcement. This individual and the residence in question were subjects of a federal drug investigation and prosecution in the Western District of Tennessee. Kelley was under indictment for conspiracy to possess and distribute oxycodone and conspiracy to possess and distribute hydrocodone. The incident is currently under investigation by the Mississippi Bureau of Investigation, and all inquiries regarding the shooting should be referred to the MBI.St. Petersburg "Doomsday Prepper" Sentenced to More Than 8 Years in Federal PrisonRead the Press Release
Tampa, FL - U.S. District Judge Mary S. Scriven sentenced Jason Deon Thomas today (32, St. Petersburg) to 97 months in federal prison for possession with intent to distribute cocaine and marijuana and being a felon in possession of firearms and ammunition. The court also ordered Thomas to forfeit a host of firearms, ammunition, and $7,390 in U.S. currency, which were traceable to the offenses. Thomas pleaded guilty on March 8, 2013.
According to court documents, on February 7, 2013, the St. Petersburg Police Department, along with agents from the Bureau of Alcohol, Tobacco, Firearms, and Explosives, executed a search warrant at Thomas' residence. Inside the residence, law enforcement officers located 29 firearms, including six assault rifles, five shotguns, 17 handguns, a machine gun, a silencer, four bullet proof vests, and thousands of rounds of ammunition. Distribution amounts of marijuana, cocaine, a quantity of prescription drugs, and $7,390 in cash were also recovered. Thomas was previously convicted of felony drug trafficking offenses, and thus prohibited from possessing a firearm or ammunition under federal law.
Thomas claimed, in court filings, that he was a "doomsday prepper," and stockpiling firearms, ammunition, bullet proof vests, and other items to prepare for the end of the world.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the St. Petersburg Police Department. It was prosecuted by Assistant United States Attorney Josephine W. Thomas.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. United States Attorney Robert E. O’Neill, along with Julie Torres, 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.
St. Paul Felon Indicted for Possessing A .45-caliber PistolRead the Press Release
MINNEAPOLIS—Earlier today in federal court in St. Paul, a 30-year-old man was indicted for possessing a .45-caliber pistol. Chandan Prentiss Hurd, of St. Paul, was specifically charged with one count of being a felon in possession of a firearm.
The indictment alleges that on March 23, 2013, Hurd possessed the pistol. Because he is a felon, Hurd is prohibited under federal law from possessing a firearm or ammunition at any time. His prior convictions include fleeing a peace officer in a motor vehicle in Ramsey County (2007), forgery in Dakota County (2006), and in Hennepin County, he was convicted of first-degree assault and attempted second-degree murder (2006) and first-degree damage to property (2004).
A law enforcement affidavit filed in the current case states that on March 23, police noticed a car stopped in the middle of Buchanan Street in northeast Minneapolis. Hurd was allegedly standing next to the vehicle. As the squad car pulled closer, Hurd allegedly approached it with his hands in his pockets. Officers reportedly ordered him to take his hands out of his pockets, but he failed to do so. Suspecting that Hurd may have a weapon, officers attempted to remove his hands from his pockets. During the struggle that ensued, officers reportedly discovered a pistol and magazine in Hurd’s right pocket. He was immediately arrested.If convicted of the current offense, Hurd faces a potential maximum penalty of ten years in federal prison. Any sentence would be determined by a federal district court judge. This case is the result of an investigation by the Minneapolis Police Department and the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”). It is being prosecuted by Assistant U.S. Attorney Manda M. Sertich.
The case was charged under Project Exile Minneapolis. That law enforcement initiative was launched on July 22, 2010, as part of a city-wide effort to reduce gun violence. Through Project Exile, the Minneapolis Police Department and the ATF work together to apprehend serial criminals for violations of gun laws. The Hennepin County Attorney’s Office then teams up with the U.S. Attorney’s Office to determine where those offenders will most effectively be prosecuted – state or federal court. Those determinations are based on the offenders’ criminal histories and current charges, among other factors. To date, the U.S. Attorney’s Office has brought charges against almost two dozen serious habitual criminals through Project Exile Minneapolis.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.
Seffner Woman Sentenced to Federal Prison for Misprision of Felony ConvictionRead the Press Release
Tampa, Florida - U.S. District Judge James S. Moody, Jr. today sentenced Courtnee Brantley (Seffner) to 12 months and one day in federal prison for her felony conviction of misprision of felony. Brantley was found guilty of the crime by a federal jury on January 16, 2013, following a second trial in the case. The first trial resulted in a hung jury.
Brantley's charge and conviction resulted from her actions following the murders of Tampa Police Officers David Curtis and Jeffrey Kocab on June 29, 2010, by Dontae Morris. Brantley was operating a vehicle without a tag, resulting in Officer Curtis stopping the vehicle and the ensuing fatal encounter. The evidence at the trial revealed that Brantley left the scene of the shooting and concealed her vehicle. Brantley further communicated with Morris following the murders.
This case was investigated by the Tampa Police Department, Federal Bureau of Investigation, Hillsborough County Sheriff's Office, Florida Department of Law Enforcement, Bureau of Alcohol, Tobacco, Firearms and Explosives, and other federal and local law enforcement agencies. It was prosecuted by Assistant United States Attorney James C. Preston, Jr.
Second Superseding Indictment Adds Second Former Philadelphia Police Officer to Robbery CaseRead the Press Release
PHILADELPHIA - A second superseding indictment was unsealed today against former Philadelphia Police Officers Jonathan Garcia, 23, and Sydemy Joanis, 27, both of Philadelphia, charging them with conspiracy to commit Hobbs Act robbery, Hobbs Act robbery, attempted Hobbs Act robbery, and carrying firearms during and in relation to crimes of violence. Garcia is also charged with distribution of heroin. The charges against Joanis were added to a superseding indictment against Garcia. Joanis was arrested this morning. Garcia was arrested on June 20, 2012, and remains in federal custody. The charges were announced today by United States Attorney Zane David Memeger, FBI Special Agent-in-Charge Edward Hanko, and Philadelphia Police Commissioner Charles Ramsey.
According to the second superseding indictment, between December 2009 and June 19, 2012, while working as Philadelphia Police Officers assigned to the 17th Police District, Garcia and Joanis conspired to rob suspected drug dealers of the cash proceeds of their narcotics trafficking. It is alleged that they engaged in this scheme while on active duty, using their Philadelphia Police patrol car, uniform, loaded service pistol, and handcuffs to commit the robberies.
The indictment alleges that Garcia and Joanis utilized a confidential source (“Person #1”) to participate in the robbery of suspected drug dealers by purchasing narcotics from the suspected drug dealers. Garcia and Joanis allegedly provided Person #1 with money, instructed Person #1 to meet with suspected drug dealers inside their cars, and further instructed Person #1 to leave inside the cars a small amount of the drugs, usually cocaine base (“crack cocaine”), that Person #1 purchased. After Person #1 exited the suspected drug dealers’ cars, it is alleged that defendants Garcia and Joanis initiated bogus traffic stops on the individual and, upon finding the drugs purposefully left behind by Person #1, conducted searches of the individuals and their cars, arrested the individuals, and stole some or all of the money that they recovered. Garcia and Joanis allegedly compensated Person #1 with money or narcotics.
“The defendants’ alleged conduct in this case strikes at the very heart of the public trust that our citizens should have for our police officers,” said U.S. Attorney Memeger. “It is a priority of my office to investigate and prosecute corrupt officers who taint their badges by using their power and authority to victimize others rather than to serve and protect the community.”
“We will continue to aggressively pursue any officer that commits criminal acts to rid the Department of individuals who don't belong,” said Commissioner Ramsey. “Our Internal Affairs Investigators have been working independently and cohesively with our Federal Partners to accomplish this task. Corrupt Cops don't represent the honor or integrity that our Department or Law Enforcement stands for and therefore they will be held accountable at the highest level.”
“Illegal conduct by police officers undermines the public trust, harming law enforcement at every level,” said Special Agent-in-Charge Hanko. “These charges underscore the FBI’s commitment to investigating allegations of criminal activity, no matter who is involved.”
If convicted of all charges, each defendant faces a mandatory minimum sentence of 30 years in prison with a maximum sentence of life.
The case was investigated by the FBI and the Philadelphia Police Department and is being prosecuted by Assistant United States Attorney Kevin R. Brenner.
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An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Savannah Man Sentenced to 20 Years in Prison for Sexual Exploitation of A MinorRead the Press Release
SAVANNAH , GA: ROBERT A. FLAESCH, 46, of Savannah, Georgia, was sentenced last week to serve 20 years in federal prison by U.S. District Court Judge William T. Moore, Jr. for sexually exploiting a minor.
United States Attorney Edward J. Tarver said, “This defendant admitted to knowingly using a child to engage in sexually explicit conduct for the purpose of producing child pornography. The U.S. Attorney’s Office aggressively prosecutes individuals, like this defendant, who are involved in the sexual exploitation of children. FLAESCH’S prosecution sends a message that we will do all in our power to protect our children from such predatory acts.”
The evidence presented during FLAESCH’S guilty plea and sentencing hearings showed that between 1998 and 2003, FLAESCH was involved in a relationship with the minor’s mother. He periodically resided with the mother and child at different locations in the Southern District of Georgia, including Tybee Island and Pooler Georgia. During this time, FLAESCH hid a video camera at different locations within the residences and filmed the young child in various states of undress. He also crept into the sleeping child’s room and filmed himself engaging in sexually explicit conduct with the minor child. In 2011, the Garden City Police Department was provided with a tape of the videos recorded by FLAESCH. The FBI investigated the matter and was able to determine the identity of the child on the videos, who is now an adult. Federal agents arrested FLAESCH this year in Detroit, while he was returning from a trip to the Philippines.FLAESCH was also ordered to serve 3 years of supervised release and to register as a sex offender upon his release from prison. There is no parole in the federal system.
This case was brought as part of Project Safe Childhood, which is a nationwide U.S. Department of Justice initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. Assistant United States Attorneys E. Greg Gilluly, Jr. and Jennifer G. Solari prosecuted the case for the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.Rochester Man is Sentenced for Copyright InfringementRead the Press Release
ROCHESTER, N.Y.-- U. S. Attorney William J. Hochul Jr., announced today that Eugene DeBerger, 60, of Rochester, N.Y., who was convicted of copyright infringement, was sentenced to three years probation and ordered to pay restitution in the amount of $41,460 to the Motion Picture Association by U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Tiffany H. Lee, who handled the case, stated that between January 2007 and August 2010, DeBerger bought legal copies of copyright protected DVD movies and burned copies on his home computer. The defendant then sold them online for $3.99 a piece. During the time period, DeBerger sold over 7000 DVDs.
The sentencing is the culmination of an investigation on the part of the Special Agents from Federal Bureau of Investigation under the direction of Richard Frankel, Acting Special Agent in Charge.Ridgefield Woman Pleads Guilty to Embezzling from Fairfield Housing AuthorityRead the Press Release
Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ELIZABETH JO GUTIERREZ, 47, of Ridgefield, pleaded guilty today before United States Magistrate Judge Donna F. Martinez in Hartford to embezzling $30,000 from the Fairfield Housing Authority.
The Fairfield Housing Authority administers federal housing programs for the U.S. Department of Housing and Urban Development with the mission of providing affordable housing for eligible low-income families and the elderly.
According to court documents and statements made in court, GUTIERREZ served as the Executive Director for the Fairfield Housing Authority from approximately July 2010 to December 2011. In the summer of 2011, GUTIERREZ issued two checks, each in the amount of $15,000, from the Fairfield Housing Authority’s checking account and subsequently deposited them into her own checking account.
GUTIERREZ pleaded guilty to one count of theft concerning programs receiving federal funds. She is scheduled to be sentenced by United States District Judge Robert N. Chatigny on August 27, 2013, at which time she faces a maximum term of imprisonment of 10 years.
GUTIERREZ has been released on a $50,000 bond since her arrest on January 31, 2013.
This matter was investigated by the Department of Housing and Urban Development – Office of Inspector General. The case is being prosecuted by Special Assistant United States Attorney Sean Beaty.
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United States Attorney Brendan V. Johnson announced that a Rapid City, South Dakota woman convicted of Simple Assault was sentenced on May 31, 2013 by U.S. Magistrate Judge Mark A. Moreno.
Raylene C. Chipps, age 25, was sentenced to 12 months of probation and a $10 special assessment to the Federal Crime Victims Fund.
Chipps was indicted by a federal grand jury in October of 2012. The conviction stems from an incident on May 4, 2012 when the Defendant was riding in a vehicle in Mission, South Dakota when they came upon two women walking along the road and stopped. Two occupants of the vehicle exited and confronted the victim. A fight ensued and Chipps joined in the assault. As a result, the victim sustained a broken jaw, among other injuries.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Troy Morley.