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Thursday 2 May 2013
Mission Woman Guilty of Second Degree BurglaryRead the Press Release
United States Attorney Brendan V. Johnson announced that Victoria Brown, age 19, of Mission, South Dakota, appeared before U.S. District Judge Roberto A. Lange on May 1, 2013, and pled guilty to Second Degree Burglary. The maximum penalty upon conviction is 15 years in custody, a $250,000 fine, or both; 3 years of supervised release; and a $100 assessment to the Federal Crime Victims Fund.
The conviction stems from an incident that took place on January 16, 2013, when Brown and others burglarized homes on the Rosebud Reservation and took property that did not belong to them.
The investigation was conducted by Rosebud Sioux Tribe Law Enforcement Services. The case is being prosecuted by Assistant U.S. Attorney Timothy M. Maher.
A presentence investigation was ordered, and a sentencing date was set for July 24, 2013. The defendant was released from custody until July 19, 2013, when she must self-report to the custody of the U.S. Marshal.
Member of International Narcotics Trafficking Conspiracy Pleads Guilty in Manhattan Federal CourtRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that FRANCOIS SOUROU AHISSOU, a citizen of Togo, pled guilty today in Manhattan federal court to participating in a conspiracy to import narcotics into the United States. AHISSOU was arrested in Monrovia, Liberia, in coordination with Liberian authorities in February 2011 and transferred to the custody of the United States. He pled guilty before U.S. District Judge Naomi Reice Buchwald.
Manhattan U.S. Attorney Preet Bharara stated: “Francois Ahissou willingly sold cocaine to people who represented themselves to be associates of the Taliban, knowing that at least some of that cocaine was bound for the United States. But in reality, his ‘clients’ were working with the DEA and his deal was not consummated. West Africa has increasingly become a haven for narco-traffickers, and with the combined strength of our national and international law enforcement partners, we are dismantling these drug rings.”
According to the Indictment and Complaint previously unsealed in this case:
Beginning in the summer of 2010, AHISSOU and some of his co-defendants (the “co-defendants”) communicated with confidential sources (“CSs”) working with the DEA, who purported to represent the Taliban. The communications occurred by telephone, via e-mail, and in a series of audio-recorded and videotaped meetings over several months in various countries including Ghana, Ukraine, and Romania.
During meetings with the CSs beginning in June 2010, AHISSOU and his co-defendants agreed to sell multi-kilogram quantities of cocaine to the Taliban with the understanding that portions of the cocaine would be transported to the United States by commercial airline and then sold in this country for a profit. AHISSOU also helped arrange the sale of an approximately 800-gram sample of cocaine to the CSs in October 2010.
AHISSOU, 47, pled guilty to one count of conspiring to distribute cocaine, knowing and intending it would be imported into the United States. He faces a maximum sentence of life in prison. AHISSOU is scheduled to be sentenced by Judge Buchwald on August 7, 2013 at 3:45 p.m.
The charges against AHISSOU were the result of the coordinated efforts of the U.S. Attorney’s Office for the Southern District of New York and the DEA’s Special Operations Division, as well as the DEA Lagos Country Office, the DEA Warsaw Country Office, the DEA Ghana Country Office, the DEA Athens Country Office, and the DEA SECI (South East European Cooperative Initiative Regional Center for Combating Transborder Crime). Mr. Bharara praised the outstanding investigative work of the DEA and thanked the U.S. Department of Justice Office of International Affairs and National Security Division, the U.S. Department of State, and the U.S. Immigration and Customs Enforcement for their assistance. Mr. Bharara also thanked the Government of Liberia for its cooperation.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Christian Everdell, Aimee Hector, and Glen Kopp are in charge of the prosecution.
U.S. v. Maroun Saade, et al. S1 Indictment
Marvin Elcid Montes-cerrato Sentenced for Illegal Use of A Social Security NumberRead the Press Release
MARVIN ELCID MONTES-CERRATO, age 36, a citizen of Honduras, was sentenced yesterday in federal court by U. S. District Judge Stanwood R. Duval, Jr., announced U. S. Attorney Dana Boente. MONTES was sentenced to approximately five months imprisonment. In addition to the term of imprisonment, Judge Duval ordered that MONTES be placed on one year of supervised release following his term of imprisonment, during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of supervised release.
According to court documents, on January 23, 2013, MONTES pled guilty to a one-count indictment admitting that on July 23, 2009, he falsely represented that a Social Security number had been assigned to him by the Commissioner of Social Security with intent to deceive, for the purpose of obtaining a Louisiana Driver’s License at a Louisiana Office of Motor Vehicles located inJefferson Parish. MONTES also admitted that he was illegally present in the United States.
This case was investigated by United States Immigration and Customs Enforcement - Enforcement and Removal Operations and the Jefferson Parish Sheriff’s Office. The case was prosecuted by Special Assistant United States Attorney Robert Weir.
Martin Man Guilty of Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that Edwin Johnson, age 61, of Martin, South Dakota, appeared before U.S. Magistrate Judge Veronica L. Duffy on April 18, 2013, and pleaded guilty to Sexual Abuse of a Minor. The Magistrate Judge is expected to recommend Johnson's plea be accepted by the District Court. The maximum penalty upon conviction is 15 years of imprisonment and a $250,000 fine.
The charge relates to Johnson having sexual intercourse with a 15 year old girl who was working for him on his farm near Martin between 2010 and 2011. The investigation was conducted by the Martin Police Department, South Dakota Division of Criminal Investigation, and the Federal Bureau of Investigation.
A presentence investigation was ordered, and a sentencing date was set for August 2, 2013. The defendant was released on bond pending acceptance of this plea and sentencing.
Manderson Man Charged with AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Manderson, South Dakota, man has been indicted by a federal grand jury for allegedly assaulting another man with a knife on October 8, 2012, at Manderson.
Chris Janis, a/k/a Israel Janis, age 39, was indicted by a federal grand jury on March 19, 2013, for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury. Janis appeared before U.S. Magistrate Judge Veronica L. Duffy on April 30, 2013, and pleaded not guilty to the indictment. The maximum penalty upon conviction is 10 years of imprisonment and a $250,000 fine. The charges are merely accusations, and Janis is 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. Assistant U.S. Attorney Wayne Venhuizen is prosecuting the case. Janis was remanded to the custody of the U.S. Marshal. A trial date has been set for July 9, 2013.
Man Charged with Mail FraudRead the Press Release
James Kennedy, 37, of Willow Grove, PA, was charged today by Indictment with mail fraud, announced United States Attorney Zane David Memeger. The indictment alleges that from 2007 to 2011, the defendant took money from his employer's accounts, without his employer's knowledge or consent, and kept the proceeds for his own use.
If convicted, the defendant faces a maximum possible sentence of 40 years imprisonment, a $500,000 fine, and 3 years supervised release.The case was investigated by the Federal Bureau of Investigation and has been assigned to Assistant United States Attorney Frank R. Costello, Jr.
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, 215-861-8525Lower Brule Man Sentenced for Abusive Sexual ContactRead the Press Release
United States Attorney Brendan V. Johnson announced that a Lower Brule, South Dakota, man convicted of Abusive Sexual Contact was sentenced on May 1, 2013, by U.S. District Judge Roberto A. Lange. Douglas LaRoche, age 44, was sentenced to 35 months of imprisonment, 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. He also needs to register as a sex offender.
LaRoche was indicted for the above charge by a federal grand jury on August 22, 2012 and pled guilty to a Superseding Information on January 4, 2013. The charge stems from an incident occurring on August 12, 2012, when LaRoche consumed alcohol with the victim and others. During the early evening hours, the victim returned to her home and went to bed. LaRoche went to the victim’s home and knowingly engaged in and attempted to engage in sexual contact with the victim, who at the time, was incapable of appraising the nature of the conduct and was physically incapable of declining participation in and communicating unwillingness to engage in the sexual contact.
The investigation was conducted by the Federal Bureau of Investigation, and Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
LaRoche was immediately turned over to the custody of the U.S. Marshal’s Service.
Louisville Internet Tobacco Product Retailer Guilty in Contraband Cigarette TradeRead the Press Release
– Agrees to forfeit more than $3.6 million dollars in assets including 10,824,192 assorted tobacco products
LOUISVILLE, Ky. – The former owner of Cigarettes Direct to You, pleaded guilty in U.S. District Court this week to a felony information charging him with running an illegal retail cigarette trafficking business, announced David J. Hale, United States Attorney for the Western District of Kentucky.
According to the plea agreement, Israel Chavez, 48, of Louisville, Kentucky, conspired and agreed with Peter Bello, d/b/a, GT Northeast of Indiana/Kentucky, from January 5, 2005 through December 9, 2009, to buy and sell contraband cigarettes through internet websites and telephone call centers. By doing so, defendant Chavez, aided and abetted by Peter Bello, deprived the Kentucky State Department of Revenue of $2,090,571, by not paying taxes on cigarettes bought, sold, and shipped from locations within the Western District of Kentucky.
Chavez was the owner of Chavez, Inc., d/b/a, Cigarettes Direct to You (CD2U), a Kentucky Corporation located in Louisville, Kentucky. Chavez admitted in court to purchasing unstamped cigarettes, valued at $12,500,000 from Bello, for which no Kentucky tax had been paid, in order to significantly undercut the price charged for cigarettes by competing businesses which complied with state laws and paid the required taxes on cigarettes they held for sale. Further, Chavez admitted to knowing that fraudulent invoices had been created to disguise the nature of the cigarette transactions from the Kentucky Department of Revenue. This was accomplished through the creation of fraudulent invoices, which were transmitted by fax between Louisville, Kentucky, and St. Louis, Missouri, to make it appear that the cigarettes were purchased from a wholesaler in St. Louis – when, in fact, Chavez admitted to knowing that the unstamped cigarettes were from Kentucky, and that as a licensed wholesaler, Chavez was required to pay the Kentucky state tax.
A civil forfeiture suit, filed by the United States against Chavez, his ex-wife Pam Chavez, and their two companies Pam Chavez, Inc., and Chavez, Inc., were settled today in U. S. District Court, in the Western District of Kentucky. Israel Chavez and Pam Chavez agreed to forfeit to the United States, more than $3.6 million dollars in assets including approximately $3,214,000 in cash and deposit accounts and 10,824,192 tobacco products. Tax stamps valued at $108,000 will be returned to the Kentucky Department of Revenue.
In a separate, but related case, Bello, age 43, of Miami, was charged with conspiracy to commit wire fraud and is scheduled for trial before Chief Judge Joseph H. McKinley on June 3, 2013. According to the October 3, 2011 indictment, returned by a grand jury meeting in Louisville, Bello created fraudulent cigarette invoices to circumvent paying Kentucky state excise taxes.
At sentencing, Chavez faces a maximum of 20 years in prison, a $250,000,00 fine, and up to three years of supervised release. Sentencing is scheduled for August 7, 2013, before U.S. Magistrate Judge Dave Whalin.
This case is being prosecuted by Assistant United States Attorney Randy Ream, Special Assistant United States Attorney Micah R. Reyner. The restitution collection effort is being led by Assistant United States Attorney Amy Sullivan. The case is being investigated by the US Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Louisburg Man Senteced for Counterfiet ChargesRead the Press Release
WILMINGTON - United States Attorney Thomas G. Walker announced that in federal court on Tuesday, before Senior United States District Judge James C. Fox, MATTHEW WILLIAMS, of Louisburg, NC, was sentenced to a 42 month term of imprisonment, followed by 3 years of supervised release, on charges of Conspiracy to Make Counterfeit Currency, in violation of Title 18, United States Code, Section 371, Possession of Counterfeit Currency, in violation of Title 18, United States Code, Section 472, and Manufacturing Counterfeit Currency, in violation Title 18, United States Code, Section 471. WILLIAMS was also ordered to pay a $2,000.00 fine.
In November 2012 WILLIAMS had pleaded guilty to an indictment that charged him with using a high quality scanner at his residence in Louisburg, NC, to manufacture and distribute counterfeit $5, $10, and $20 dollar bills in July of 2010. WILLIAMS sold counterfeit currency in exchange for genuine currency, usually at a price of $300.00 for $1,000.00 in counterfeit currency. WILLIAMS also instructed others on how to manufacture counterfeit currency, and he distributed counterfeit currency to other people, teaching them how and where to successfully pass counterfeit currency.
Investigation of this case was conducted by the United States Secret Service and the Franklin County Sheriff’s Office. Assistant United States Attorney Evan Rikhye represented the United States.
Long Valley Man Charged with Sexual Abuse of A MinorRead the Press Release
United States Attorney Brendan V. Johnson announced that a Long Valley, South Dakota, man has been indicted by a federal grand jury for allegedly engaging in sexual acts with a minor near Martin, South Dakota, in 2010.
David Amiotte, age 49, was indicted by a federal grand jury on April 16, 2013, for Sexual Abuse of a Minor. Amiotte appeared before U.S. Magistrate Judge Veronica L. Duffy on April 19, 2013, and pleaded not guilty to the indictment. The maximum penalty upon conviction is 15 years of imprisonment and a $250,000 fine. The charge is merely an accusation, and Amiotte is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation. Amiotte was remanded to the custody of the U.S. Marshal. A trial date has been set for June 25, 2013.
Long Island Software Programmer Arrested for Hacking into Network of High-voltage Power ManufacturerRead the Press Release
A criminal complaint was unsealed today in federal court in the Eastern District of New York charging Michael Meneses with hacking into the computer network of a company that manufactures high-voltage power supplies, causing the company over $90,000 in damage. Meneses was arrested earlier today in Smithtown, Long Island, and his initial appearance is scheduled for this afternoon before United States Magistrate Judge Gary Brown at the United States Courthouse, 100 Federal Plaza, Central Islip, New York. The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York and George C. Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office.
According to the complaint, until January 2012, Meneses was employed at the victim company as a software programmer and system manager specializing in developing and customizing the software that the company used to run its business operations. A specialist in “enterprise resource planning” who had worked at the victim company for years, Meneses was one of two employees who were primarily responsible for ensuring that the software that drove the company’s manufacturing business - including its production planning, purchasing, and inventory control - operated efficiently. Meneses’s responsibilities gave him high-level access to the company’s computer network.
As alleged in the complaint, Meneses, who had voiced displeasure at having been passed over for promotions, tendered his resignation from the victim company in late December 2011, giving two weeks’ notice. After his network access was terminated, Meneses launched a three-week campaign to inflict damage on the company by gaining unauthorized access to its network and sabotaging the company’s business. Meneses employed various high-tech methods to hack into the victim company’s network and steal his former colleagues’ security credentials, including writing a program that captured user log-in names and passwords. Meneses then used the security credentials of at least one former colleague to remotely access the network via a virtual private network (VPN) from Meneses’s home and from a hotel located near his new employer, corrupting the network. Meneses’s efforts ranged from using a former colleague’s email account to discourage new applicants from taking Meneses’s position, to sending commands to alter the business calendar by one month, disrupting the company’s production and finance operations. The victim company suffered over $90,000 in damages as a result of Meneses’s intrusions.
“As the complaint alleges, the defendant engaged in a 21st Century campaign of cyber-vandalism and high-tech revenge, hacking into the computer network of his former employer to disrupt its operations, thereby causing tens of thousands of dollars in damage,” stated United States Attorney Lynch. “We will hold accountable any individual who victimizes others by exploiting computer network vulnerabilities.”
FBI Assistant Director in Charge Venizelos stated, “Bent on revenge, the defendant exploited his access and his technical know-how to sabotage his former employer. As alleged, he caused significant disruption and monetary damage. The FBI is committed to vigorous enforcement of laws governing computer intrusions.”
If convicted, the defendant faces a statutory maximum sentence of 10 years’ imprisonment, a $250,000 fine and restitution.
The government’s case is being prosecuted by Assistant United States Attorneys Cristina M. Posa and Charles N. Rose.
The Defendant:
MICHAEL MENESES
Age: 41
Residence: Smithtown, Long IslandLast Defendant Sentenced in Shooting Death of Brinks Guard at Calder CasinoRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Matthew Boyd, Chief, Miami Gardens Police Department, announce today’s sentencing of Reginald Mitchell, 28, of Miami Gardens, in connection with the August 21, 2011 shooting death of a Brinks guard at the Calder Casino and Race Course (Calder) in North Miami, Florida. U.S. District Judge James L. King sentenced Mitchell to 30 years in prison.
Four other defendants were sentenced previously for their participation in this crime: Vladimir Louissant was sentenced to life in prison; Uri Ammar was sentenced to life in prison; Victoria Barkley was sentenced to 10 years in prison; and Byron Kyler was sentenced to five years in prison. Louissant, Mitchell, Kyler, and Barkley pled guilty before trial. Ammar was convicted after trial on October 15, 2012.
According to documents filed with the court and evidence presented during trial, on August 21, 2011, Mitchell and Ammar conspired to rob a Brinks guard as he made a scheduled pick-up at Calder. Mitchell and Ammar both worked security at Calder, where Ammar was a Security Shift Manager. Mitchell recruited co-defendants Louissant, Barkley and Kyler. On the day of the murder, Mitchell drove Louissant to Calder in Kyler’s truck, which Kyler had falsely reported stolen.
According to the trial evidence, Ammar escorted the Brinks guard through the Calder facility and led him to an open area, where Louissant was waiting. As Ammar and the guard entered the open area, Louissant rushed at the guard, brandishing a firearm. When the guard drew his weapon, Louissant shot the guard and the two exchange gunfire. After shooting the guard, Louissant grabbed the Brinks money bag and fled to Kyler’s truck. Mitchell and Louissant then drove a short distance in Kyler’s truck, which they abandoned to be driven away from the scene by Barkley in another vehicle.
Mr. Ferrer commended the FBI and Miami Gardens Police Department for their work on this case. Mr. Ferrer also thanked the members of the FBI’s South Florida Violent Crimes and Fugitive Task Force. This case was prosecuted by Assistant U.S. Attorneys Michael Gilfarb and Seth Schlessinger.
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.
Laguna Pueblo Man Sentenced to Twenty-Four Months in Federal Prison for Assault ConvictionRead the Press Release
ALBUQUERQUE – Laurence Kasero, 38, a member and resident of Laguna Pueblo, N.M., was sentenced this morning in federal court to 24 months in prison followed by three years of supervised release for his assault conviction. Kasero also was ordered to pay $29,177.18 in restitution to cover the victim’s medical expenses. Kasero’s sentence was announced by U.S. Attorney Kenneth J. Gonzales, DuWayne W. Honahni, Sr., Special Agent in Charge of District IV of BIA’s Office of Justice Services, and Police Chief Michelle F. Ray of the Pueblo of Laguna Police Department.
Kasero was indicted in Sept 2012, and charged with assault resulting in serious bodily injury. He has been in federal custody since his arrest on Sept. 28, 2012. On Jan. 31, 2013, Kasero pled guilty to the indictment. In entering his guilty plea, Kasero admitted assaulting his wife, a member of Acoma Pueblo, at the Route 66 Casino parking lot on Laguna Pueblo on March 20, 2011. Kasero admitted that, after he caused the victim to fall to the ground, he stomped on her ankles causing her to sustain serious bodily injury.
This case was investigated by the Southern Pueblos Agency of the BIA’s Office of Justice Services and the Pueblo of Laguna Police Department, and was prosecuted by Special Assistant U.S. Attorney David M. Adams.
The case was brought pursuant to the Tribal Special Assistant U.S. Attorney (Tribal SAUSA) Pilot Project which is sponsored by the Justice Department’s Office on Violence Against Women, and seeks to train tribal prosecutors in federal law, procedure and investigative techniques to increase the likelihood that every viable violent offense against Native women is prosecuted in either federal court or tribal court, or both. The Tribal SAUSA Pilot Project was largely driven by input gathered from annual tribal consultations on violence against women, and is another step in the Justice Department's on-going efforts to increase engagement, coordination and action on public safety in tribal communities.
Kidnapping Suspect Appears in Federal CourtRead the Press Release
Jackson, Miss. - Jesse Mae Pollard, 54, of Northport, Alabama, appeared before U.S. Magistrate Judge Keith Ball today pursuant to a criminal complaint charging her with kidnapping, announced U.S. Attorney Gregory K. Davis and FBI Special Agent in Charge Daniel McMullen.
The Court found that Pollard should be detained pending action of the federal grand jury, specifically finding that probable cause exists to show that Pollard committed the crime charged in the Complaint.
According to the Complaint, a black female entered East Kemper Elementary School in Scooba, Mississippi and took six (6) year old Jashayla Hopson out of school. Later that evening, video surveillance cameras at a hotel in Bessemer, Alabama indicate that Jesse Mae Pollard was at the hotel with Jashayla Hopson. Jashayla was held in the hotel room overnight and dropped off the next day on the side of the road in Enterprise, Mississippi.
The penalty for kidnapping is a minimum of 20 years and a maximum of life in prison.
The Federal Bureau of Investigation, along with Mississippi Bureau of Investigation, Mississippi Highway Patrol, Kemper County Sheriff's Office and Lauderdale County Sheriff's
Office conducted the investigation in this case.
The public is reminded that a Criminal Complaint is an accusation and a defendant is
presumed innocent until proven guilty in a court of law.If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
Making sure that victims of federal crimes are treated with compassion, fairness and respect.
Training and seminars for Federal, State, and Local Law Enforcement Agencies.
Help us combat the proliferation of sexual exploitation crimes against children.
Jason Washington Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Missoula, on May 1, 2013, before Chief U.S. District Judge Dana L. Christensen, JASON WASHINGTON, a 29-year-old resident of Missoula, was sentenced to a term of:
Prison: 24 months
Special Assessment: $200
Forfeiture: $232,890.58
Supervised Release: 4 years
WASHINGTON was sentenced after a federal district court trial in which he was found guilty of conspiracy to manufacture and distribute marijuana and possession with the intent to distribute marijuana.
Assistant U.S. Attorney Tara J. Elliott prosecuted the case for the United States.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that he will likely serve all of the time imposed by the court. In the federal system, he does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was conducted by the Missoula High Intensity Drug Trafficking Area (HIDTA) Task Force.
Investor Sentenced in Manhattan Federal Court to Four Years in Prison for Engaging in Market Manipulation Schemes Involving Two Different StocksRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that DAVID BLECH was sentenced today in Manhattan federal court to four years in prison for securities fraud arising from schemes to manipulate the market for securities of Pluristem Therapeutics, Inc. (“Pluristem”) and Intellect Neurosciences, Inc. (“Intellect”) in 2007 and 2008. BLECH manipulated the markets for these securities by selling a portion of his holdings in those companies through deceptive and illegal means calculated to hide his selling activity from the market and minimize the downward pressure that his sales would otherwise have had on the value of the Pluristem and Intellect stock that he continued to hold. BLECH pled guilty to two counts of securities fraud in May 2012 before U.S. Magistrate Judge Frank Maas. He was sentenced today by U.S. District Judge Colleen McMahon.
According to the Information and statements made during BLECH’s guilty plea proceeding:
Between January 2007 and May 2007, BLECH acquired significant holdings of Pluristem stock, which was traded on the OTC Bulletin Board, in connection with a private placement offering by Pluristem. BLECH acquired this stock in numerous brokerage accounts that were nominally held in the names of other individuals and entities, but which he, in fact, controlled (the “Nominee Accounts”).
In May 2007, BLECH began to sell a portion of his Pluristem holdings. In order to conceal his sales – and thereby mitigate the damage that public awareness of his selling activity would have had on the value of his remaining shares – BLECH caused the various Nominee Accounts under his control to engage in conflicting activity, with some of the accounts selling Pluristem stock, and other accounts buying Pluristem stock, often on the same day. In total, between approximately May 15, 2007 and September 14, 2007, BLECH used the Nominee Accounts to sell approximately 150 million shares of Pluristem, while also using the Nominee Accounts to buy approximately 100 million shares of Pluristem. In so doing, BLECH was able to shed approximately 50 million shares of Pluristem through manipulative and fraudulent trading activity calculated to hide the true nature of his selling activity while indicating false levels of liquidity and demand in the market for Pluristem stock.
In February and March 2008, BLECH engaged in a similar scheme involving the market for shares of Intellect, which was traded on the OTC Bulletin Board. Between 2005 and February 2008, BLECH acquired significant holdings of Intellect stock. As with Pluristem, BLECH acquired this stock in the Nominee Accounts that were listed in the names of other individuals and entities, but which he, in fact, controlled.
In February and March 2008, BLECH sold a portion of his Intellect holdings. Again, in order to conceal his sales – and thereby mitigate the damage that public awareness of his selling activity would have had on the value of his remaining shares – BLECH caused the various Nominee Accounts under his control to engage in conflicting activity, with some of the accounts selling Intellect stock, and other accounts buying Intellect stock, often on the same day. In total, BLECH used the Nominee Accounts to sell approximately 2 million shares of Intellect, while also using the Nominee Accounts to buy approximately 1.6 million shares of Intellect. In so doing, BLECH was able to shed approximately 400,000 shares of Intellect through manipulative and fraudulent trading activity calculated to hide the true nature of his selling activity while indicating false levels of liquidity and demand in the market for that stock.
In addition to the prison term, Judge McMahon sentenced BLECH, 57, of New York, New York, to three years of supervised release. BLECH was also ordered to pay forfeiture in the amount of $1,338,000 and a $200 special assessment fee.
Mr. Bharara praised the investigative work of the Federal Bureau of Investigation. He also thanked the U.S. Securities and Exchange Commission for its assistance.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.StopFraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Michael A. Levy is in charge of the prosecution.
Home Builder Convicted of Embezzling from Hud Grant ProgramRead the Press Release
LAS VEGAS - - Following a 13-day jury trial, a home builder was convicted by a jury today of embezzlement crimes for converting, misappropriating and stealing from a federal housing grant program during 2004, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
William Aubrey, 69, of Mesquite, Nevada, was convicted of two counts of conversion of money and funds from a tribal organization, and is scheduled to be sentenced on Aug. 7, 2013, by U.S. District Judge Kent J. Dawson. Aubrey faces up to five years in prison and a $250,000 fine on each count.
“The Navajo Nation counted on the monies stolen by the defendant to provide housing for its members,” said U.S. Attorney Bogden. “This defendant stole from the tribe and from the American people, and used the monies to finance an extravagant lifestyle.”
According to the court records and the evidence introduced at trial, the Navajo Nation is a federally recognized sovereign Indian Tribe whose borders encompass a large portion of Arizona and extend into New Mexico and Utah. The Navajo Housing Authority was an official Navajo Nation entity authorized to receive and administer federal housing funds which were awarded annually by the U.S. Department of Housing and Urban Development (HUD). The Navajo Nation receives an average of $90 million from HUD annually in grant funds.
A Navajo Nation non-profit corporation, the Fort Defiance Housing Corporation, was responsible for the development of safe and affordable housing on the Navajo Nation lands. Fort Defiance was also a sub-grantee for the HUD grant funds.
Beginning in 1996 and continuing to 2004, Fort Defiance contracted with a private housing development company, Lodgebuilder, to develop the housing projects. Lodgebuilder is owned and operated by William Aubrey. Lodgebuilder and Aubrey managed several housing development projects for Fort Defiance from approximately 2000 to 2004. HUD funds, which were supposed to be used to pay vendors, subcontractors and expenses at the housing developments, were converted by Aubrey for his own personal use and used for gambling, and other personal expenses.
The case was investigated by the Office of Inspector General for U.S. Housing and Urban Development and prosecuted by Assistant U.S. Attorneys Timothy S. Vasquez and Kathryn C. Newman.Henderson Man Convicted for Retaliating Against A Federal WitnessRead the Press Release
WILMINGTON - United States Attorney Thomas G. Walker announced today that, WAYNEMON DEMOUNT BULLOCK, 25, of Henderson, North Carolina, was convicted by a federal jury of retaliating against a federal witness in violation of Title 18, United States Code, Section 1513(b)(1).
On October 5, 2012, BULLOCK participated in an assault on a federal witness who previously testified before Senior Judge James C. Fox. BULLOCK and a co-defendant approached the federal witness at a convenience store in Henderson, NC, accused the witness of being a “snitch” and proceeded to beat the witness. BULLOCK was recently released from the North Carolina Department of Corrections prior to assaulting the victim. BULLOCK faces a maximum of 20 years imprisonment at sentencing.
This case was part of the Project Safe Neighborhoods (PSN) initiative which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Henderson Police Department. Assistant United States Attorney, S. Katherine Burnette prosecuted the case.
Hartford Crack Dealer Sentenced to Nine Years in Federal PrisonRead the Press Release
David B. Fein, United States Attorney for the District of Connecticut, today announced that JAEQWAN SHEPPARD, also known as “Quanny” and “Q,” 20, of Hartford, was sentenced yesterday by United States District Judge Janet C. Hall in New Haven to 108 months of imprisonment, followed by five years of supervised release, for distributing crack cocaine.
According to court documents and statements made in court, this matter stems from “Operation Vinefield,” a joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force targeting narcotics trafficking and gang violence in Hartford’s North End. As a result of the nine-month investigation, 38 individuals were charged with various offenses related to the distribution of crack cocaine and the unlawful possession and dealing of firearms in and around Hartford.
SHEPPARD was identified as a member of the AVE street gang who operated a drug trafficking organization from his residence at 117-119 Enfield Street. Investigators made several controlled purchases of narcotics from SHEPPARD and subsequently obtained court authorization to intercept calls on two of his wireless phones.
In addition, investigators negotiated the purchase of a .38 caliber revolver from SHEPPARD in December 2011.
During the investigation, intercepted calls indicated that SHEPPARD’s associate, Kewan Woodson, may have been targeted by a rival group operating in the Garden Street area of Hartford. On January 10, 2012, four men were shot in front of SHEPPARD’s 117-119 Enfield Street residence. Images from fixed surveillance cameras revealed that two shooters arrived on the scene by foot and shot into a crowd with a rifle and a shotgun. Woodson was in the area before the shooting, but left moments before the gunmen arrived.
On January 4, 2013, SHEPPARD pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 28 grams or more of cocaine base (“crack cocaine”).
This matter has been investigated by the FBI’s Northern Connecticut Violent Crimes Task Force, the Connecticut State Police, the Hartford Police Department, and the Connecticut Department of Correction. The case is being prosecuted by Assistant United States Attorney Brian P. Leaming.
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[email protected]Guatemalan Man Pleads Guilty to Illegal Reentry After Deportation and Unlawful Possession of Ammunition by A Felon and Illegal AlienRead the Press Release
A Guatemalan man who illegally reentered the United States and unlawfully possessed ammunition pled guilty today in federal court in Cedar Rapids.
Armando Ramiro Garcia-Arenales, age 30, from Waterloo, Iowa, was convicted of one count of illegal reentry into the United States after deportation by an aggravated felon and one count of unlawful possession of ammunition by a felon and illegal alien.
The evidence showed that on March 1, 2013, Garcia-Arenales was arrested following a traffic stop by officers of the Waterloo Police Department. A search of Garcia-Arenales’ car uncovered numerous rounds of 9 mm ammunition. Garcia-Arenales had previously been convicted in 2005 in Clayton County, Iowa, of the felony offenses of delivery of cocaine and possession of cocaine with intent to deliver.
On March 13, 2013, officers from the Department of Homeland Security, Immigration and Customs Enforcement (ICE), determined that Garcia-Arenales had previously been deported in October 2008 and had not received permission to reenter the United States. Garcia-Arenales had been arrested in May 2008 in an immigration enforcement action at Agriprocessors in Postville, Iowa. He was convicted in the United States District Court for the Northern District of Iowa of use of a fraudulent alien registration card and ordered removed from the United States.
Sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. Garcia-Arenales remains in custody of the United States Marshal pending sentencing. Garcia-Arenales faces a possible maximum sentence of 20 years’ imprisonment on the illegal reentry charge and 10 years’ imprisonment on the ammunition charge, a $500,000 fine, $200 in special assessments, and 6 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Daniel C. Tvedt and was investigated by officers from the Waterloo Police Department, and the Department of Homeland Security, Immigration and Customs Enforcement.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 13-2008.
Former Treasure Valley Woman Sentenced for Theft from Financial InstitutionRead the Press Release
Defendant to Pay $100,272.32 in Restitution to Bank
BOISE – Season Heather Hymas, 27, of American Fork, Utah, was sentenced today in United States District Court in Boise to five years’ probation for misdemeanor theft from a financial institution, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also ordered Hymas to pay $100,272.32 in restitution to Wells Fargo Bank. She pleaded guilty to a superseding information on January 14, 2013.
According to the plea agreement, on December 8, 2006, Season Hymas obtained a residential loan based on false statements in a loan application. The false statements included misrepresentations concerning her employment, monthly income, and the account balance of funds held in a bank account.
In December 2011, a federal grand jury returned a superseding indictment charging Season Hymas and her husband, Travis Richard Hymas, 29, with five counts of wire fraud. On June 22, 2012,Travis Hymas was found guilty at trial of all five counts. In October 2012, he was sentenced to 24 months in prison for wire fraud and ordered to pay $241,307.04 in restitution.
The case is part of the investigation of mortgage fraud activity related to Crestwood Homes, which involved multiple defendants who bought and sold real estate in order to "flip" it, or gain profits from the sales. Crestwood Homes was a residential builder in the Treasure Valley that filed for bankruptcy in July 2008. After doing so, it was discovered that individuals associated with Crestwood were involved in submitting fraudulent residential loan applications to lenders. The financial institutions and mortgage lenders incurred substantial losses on the loan transactions.
The case was investigated by the Federal Bureau of Investigation and Internal Revenue Service-Criminal Investigation, with assistance provided by the Office of the United States Trustee and the Idaho Department of Insurance. The case is being prosecuted by the U.S. Attorney's Office for the District of Idaho and the State of Idaho, Office of the Attorney General.
Today's announcement is part of efforts underway by President Obama's Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys' offices and state and local partners, it's the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
Former Monroe City Councilman Robert "Red" Stevens Pleads GuiltyRead the Press Release
Shreveport, La.: United States Attorney Stephanie A. Finley announced that Robert E. “Red” Stevens, 61, former elected member of the City Council of Monroe, Louisiana, pleaded guilty today, to accepting cash bribe payments from an FBI cooperating witness in exchange for help with matters pending before the City Council. The guilty plea was entered in federal court in Shreveport before United States District Judge Donald E. Walter.
Stevens was indicted in 2010 and charged with violating the Racketeer Influenced and Corrupt Organizations Act, more commonly known as RICO, and the Hobbs Act, which involves extortion by a public official. During today’s court appearance, Stevens pleaded guilty to the RICO violation; pursuant to a plea agreement with the government, the Hobbs Act count will be dismissed after sentencing.
Stevens admitted in court filings that on three separate occasions in 2008 and 2009, he accepted cash bribe payments from a Monroe businessman who was working as a cooperating witness under the direction of the FBI. The payments were in exchange for Stevens’ assistance with matters pending before the City Council.
Stevens faces a maximum sentence of 20 years in prison, a $250,000 fine, or both. Sentencing in federal court is governed by the advisory United States Sentencing Guidelines and the discretion of the sentencing judge. Sentencing is scheduled for September 26, 2013.
The case was investigated by the FBI-Monroe Resident Agenc and is being prosecuted by First Assistant U.S. Attorney Alexander C. Van Hook and Counsel to the U.S. Attorney William J. Flanagan.
Former Highland Park Police Officer Pleads Guilty ToExtortion Conspiracy to Protect A Cocaine ShipmentRead the Press Release
A Highland Park Police officer pleaded guilty today to conspiring with three other police officers to commit extortion and protect a shipment of cocaine, U.S. Attorney Barbara L. McQuade announced today.
McQuade was joined in the announcement by FBI Special Agent in Charge Robert D. Foley, III.
During a hearing before U.S. District Judge Avern Cohn, Shawn Williams, 33, of Detroit, Michigan, admitted that in late 2012 and early 2013, he agreed with three other Highland Park police officers to take money in exchange for protecting a shipment of cocaine. Williams admitted that on January 23, 2013, he protected two cars containing what he believed to be a total of four kilograms of cocaine. Williams brought his police badge and gun to protect the shipment. Two other Highland Park police officers drove the cars containing what they believed to be cocaine. Later, Williams accepted $1,000 in cash from an FBI informant for his work in delivering and protecting the drug shipment.
United States Attorney McQuade said, "Police officers who take bribes have no place in law enforcement. They will be prosecuted for violating their duties to serve the public."
FBI Special Agent in Charge Foley stated, "Police officers who swear an oath to serve and protect are held to the highest standards of ethics and integrity. The FBI is committed to ensuring those standards are maintained, and in cases of abuse, will pursue and prosecute those responsible."Based on his guilty plea and felony conviction for conspiring to commit extortion, Clayton is facing a maximum of twenty years in prison and a fine of up to $250,000.
The case was investigated by agents of the FBI. It is being prosecuted by Assistant United States Attorney David A. Gardey.Former Hedge Fund Manager, Todd Newman, Sentenced in Manhattan Federal Court to 54 Months in PrisonRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that TODD NEWMAN, a former portfolio manager at Diamondback Capital Management, LLC (“Diamondback”), was sentenced in Manhattan federal court to 54 months in prison for crimes stemming from his involvement in a multi-million dollar insider trading scheme. NEWMAN and co-defendant Anthony Chiasson, who was a former portfolio manager and co-founder of Level Global Investors, LP (“Level Global”), were convicted of various securities fraud charges on December 17, 2012, following a six-week jury trial. At trial, NEWMAN was convicted of one count of conspiracy to commit securities fraud, and four counts of securities fraud. He was sentenced today by U.S. District Judge Richard J. Sullivan.
Manhattan U.S. Attorney Preet Bharara said: “With today’s sentence, Todd Newman becomes the first member of this corrupt circle of friends to be punished for his conduct. Efforts to cheat the market by gaining an illegal edge ultimately lead to a loss of one’s liberty, as it did for Todd Newman today.”
According to the Superseding Indictment, other court documents, statements made in court, and the evidence presented at trial:
NEWMAN was part of a criminal club of portfolio managers and analysts who obtained material nonpublic information (“Inside Information”), directly and indirectly, from employees who worked at public companies. Specifically, NEWMAN’s research analyst, Jesse Tortora, together with research analysts at other investment firms – including Sam Adondakis, Jon Horvath and Danny Kuo – shared Inside Information with each other which the analysts then provided to their portfolio managers.
For example, in 2008 and 2009, NEWMAN received Inside Information from Tortora related to Dell’s quarterly earnings, which Tortora had received from Sandy Goyal, an analyst who worked at another firm. Goyal had a source inside Dell’s investor relations department who provided numerous updates on Dell’s earnings numbers in advance of Dell’s earnings announcements for multiple quarters in a row. NEWMAN authorized payments to Goyal through a sham research consulting arrangement between Goyal’s wife and NEWMAN’s firm, Diamondback Capital. In fact, Goyal’s wife never provided any research consulting services, but Diamondback nonetheless paid her $175,000 in 2008 and 2009. NEWMAN traded on the Dell Inside Information in advance of the May 2008 and August 2008 quarterly earnings announcements, and earned nearly $4 million in illegal profits for his firm. Tortora also shared the Dell Inside Information with the other analysts, whose portfolio managers executed trades on that same Dell Inside information. Additionally, after Chiasson received the Dell Inside Information from his analyst Sam Adondakis, he executed or caused to be executed trades based on the Inside Information which resulted in more than $57 million in illegal profits for Level Global.
Similarly, in multiple fiscal quarters, NEWMAN obtained inside information concerning NVIDIA Corporation’s earnings from analyst Danny Kuo, who worked at an investment firm in California. Among other things, email communications from Kuo that were forwarded to NEWMAN via Tortora in advance of the quarterly earnings announcements stated that the NVIDIA earnings numbers were obtained from “an accounting manager” at the company. NEWMAN’s trading in NVIDIA resulted in approximately $73,000 in illegal trading profits for the benefit of Diamondback Capital. The NVIDIA Inside Information was similarly received by co-defendant Chiasson, who executed and caused to be executed trades based on the Inside Information, resulting in approximately $10 million in illegal profits for Level Global.
In addition to the prison term, Judge Sullivan sentenced NEWMAN, 48, of Needham, Massachusetts, to one year of supervised release. NEWMAN was also ordered to forfeit $737,724 and to pay a $1 million fine.
At trial, Chiasson, 39, of New York, New York, was convicted of one count of conspiracy to commit securities fraud, and five counts of securities fraud. He will be sentenced by Judge Sullivan on May 13, 2013 at 10:00 a.m.
Horvath, 43, and Kuo, 37, each pled guilty to one count of conspiracy to commit securities fraud and two counts of securities fraud in September 2012 and April 2012, respectively. Tortora, 35, Adondakis, 41, and Goyal, 40, each pled guilty to one count of conspiracy to commit securities fraud and one count of securities fraud in May 2011, April 2011, and June 2011, respectively. These defendants await sentencing.
Mr. Bharara praised the investigative work of the Federal Bureau of Investigation. He also thanked the U.S. Securities and Exchange Commission. He also noted that the investigation is continuing.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.stopfraud.gov.
Assistant U.S. Attorneys Antonia M. Apps, Richard C. Tarlowe, and John T. Zach are in charge of the prosecution.
Former Campaign Treasurer and Fundraiser Found Guilty in Manhattan Federal Court of Campaign Finance FraudRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that JIA HOU, a/k/a “Jenny Hou,” and XING WU PAN, a/k/a “Oliver Pan,” were found guilty today in Manhattan federal court of fraud in connection with a fraudulent scheme that involved the use of “straw donors” to funnel large, illegal campaign contributions to the campaign of a candidate (the “Candidate”) for Citywide elective office in 2013 (the “Campaign”). The straw donor scheme was fraudulent in two primary ways. First, it allowed for more money to be directly given to the Candidate’s campaign by evading the maximum individual contribution limit. Second, by fraudulently inflating the amount of money directly given by donors to the campaign, it correspondingly entitled the campaign to claim greater matching funds from the City of New York through the City’s matching campaign funds program. The jury found that HOU, the former Campaign treasurer, attempted to commit fraud, obstructed justice, and made false statements in connection with the straw donor scheme. The jury found that PAN, a fundraiser and contribution bundler for the Campaign, conspired and attempted to commit fraud in connection with the straw donor scheme. They were convicted after a three-week trial before U.S. District Judge Richard J. Sullivan.
Manhattan U.S. Attorney Preet Bharara said: “As the jury found, Jia Hou and Oliver Pan stuck a knife into the heart of New York City’s campaign finance law by violating the prohibition against illegal campaign contributions, all to corruptly advantage the campaign of a candidate for city-wide office. Cases like this give the people of New York yet another reason to be troubled by the electoral process, and they have a right to demand fair, open, and honest elections untainted by cynical subversion of campaign finance laws. With these convictions, it is our hope that some measure of the public’s confidence can be restored. We will continue our efforts to stamp out public corruption wherever we find it. We thank the jury for their time and service, and the outstanding prosecutors who so ably tried this case.”
According to the Complaint and the Indictment filed in Manhattan federal court and the evidence presented at trial:
HOU and PAN participated in a scheme to defraud New York City by using straw donors to funnel multiple illegal campaign contributions to the Candidate’s 2013 campaign for Citywide elective office. One object of the scheme was to increase the amount of matching campaign funds the Campaign would receive from the City. New York City law mandates an individual contribution limit of $4,950. On various occasions, certain individuals – including an individual who was actually an undercover FBI agent (the “U/C”) – who wanted to make donations in excess of that limit arranged for multiple Straw Donors to make a series of contributions to the Campaign that were under the $4,950 limit. The Straw Donors were then reimbursed for their contributions. On behalf of each Straw Donor, a campaign contribution form was filled out containing, among other things, the straw donor’s name, address, employment information, the amount donated to the Candidate, and the Straw Donor’s purported signature acknowledging that the Straw Donor was not being reimbursed in any manner for making the campaign contribution. The City would rely upon the information contained in these fraudulent contribution forms, among other things, in order to determine whether to release matching campaign funds to the Candidate’s 2013 campaign on the basis of these contributions.
HOU served as the Candidate’s treasurer for the 2013 election cycle and was responsible for all financial disclosures related to the 2013 Campaign. She was also responsible for accounting for every donation made to the Campaign and for ensuring that all donations by individuals to the Campaign were within the maximum allowed by New York City. HOU and the Candidate were the only individuals authorized to submit disclosure statements on behalf of the Campaign. In addition, HOU was responsible for disclosing to the New York City Campaign Finance Board (“NYCCFB”) the identities of “intermediaries” or “bundlers” involved in soliciting and receiving donations for the Campaign. NYCCFB records show that the Campaign did not disclose any “bundlers” or “intermediaries” for the 2013 New York City election cycle until January 17, 2012, despite the fact that the Campaign had been raising funds for the 2013 New York City election cycle since at least in or about December 2009. On January 17, 2012, the Campaign disclosed a list of approximately 59 intermediaries to the NYCCFB, but that disclosure did not include multiple individuals who were intermediaries. Further, the disclosure was not made until a grand jury subpoena seeking information about intermediaries was served on the Campaign in December 2011.
In addition, the U/C and PAN had multiple conversations concerning the U/C making a large campaign contribution to the Candidate’s 2013 Campaign that would exceed the maximum allowable contribution of $4,950 for a Citywide elective office during the 2013 election cycle. During these conversations with the U/C, which occurred over the telephone and in person, PAN discussed facilitating this contribution through the use of Straw Donors who would make contributions to the Candidate’s 2013 campaign in their own names and then be reimbursed with cash that PAN received from the U/C. Subsequently, the U/C provided PAN with $16,000 in cash.
The Straw Donors filled out campaign contribution forms that contained, among other things, their names, home addresses, employment information, the amount they each donated to the Candidate, and whether it was by check or credit card. The Straw Donors then signed the contribution forms acknowledging, among other things, that the campaign contributions were in their names, from their own funds, and that they were not being reimbursed in any manner for making the campaign contributions. PAN, using the money received from the U/C, then reimbursed the Straw Donors for their campaign contributions. PAN also provided to the U/C copies of the completed contribution forms for 18 Straw Donors, including one for PAN himself, that were submitted to the Candidate’s 2013 campaign.
In furtherance of the scheme, HOU instructed a campaign volunteer how to imitate the handwriting of campaign donors on donor contribution forms required by the NYCCFB. She also discussed with that campaign volunteer ways to conceal information about intermediaries from the NYCCFB. HOU also offered to reimburse an individual for a donation to the Campaign. HOU worked closely with individuals who served as intermediaries in connection with multiple events where straw donors were reimbursed for their contributions, and nevertheless failed to disclose to the NYCCFB the involvement of these intermediaries in the Campaign.
Finally, in response to the Government’s subpoena for documents relevant to the straw donor scheme, HOU obstructed the Government’s investigation by withholding e-mails and electronic chats showing her knowledge of, and participation in, the scheme. In one of those electronic chats, Hou explicitly offered to reimburse a friend for making a contribution to the campaign. In addition, when questioned by Government officials about her involvement in the scheme and her compliance with the Government’s subpoena, Hou made multiple false statements regarding the disclosure of intermediaries who reimbursed straw donors and her production of documents showing her participation in the scheme.
HOU, 26, of Queens, New York, was convicted of one count of attempted wire fraud, which carries a maximum sentence of 20 years in prison, and a maximum fine of $250,000 or twice the gross gain or loss from the offense. She was also convicted of one count of obstruction of justice and making false statements to the FBI. These counts carry a maximum sentence of five and 20 years, respectively. HOU was acquitted of one count of conspiracy to commit wire fraud.
PAN, 47, of Hudson County, New Jersey, was convicted of one count of conspiracy to commit wire fraud, and one count of attempted wire fraud, both of which carry a maximum sentence of 20 years in prison, and a maximum fine of $250,000, or twice the gross gain or loss from the offense. HOU is scheduled to be sentenced by Judge Sullivan on September 20, 2013 at 3:30 p.m. PAN is scheduled to be sentenced by Judge Sullivan on September 20, 2013 at 2:00 p.m.
Mr. Bharara praised the outstanding investigative work of the Federal Bureau of Investigation and expressed appreciation to the New York City Department of Investigation for its contribution to this ongoing investigation.
This case is being handled by the Office’s Public Corruption Unit. Assistant United States Attorneys Brian A. Jacobs and Justin Anderson are in charge of the prosecution.
U.S. v. Xing Wu Pan and Jia Hou S1 Indictment
Forest Man Pleads Guilty to Drug ChargeRead the Press Release
Jackson, Miss - Herbert Jerome Townsend, 31, of Forest, Mississippi, pled guilty in U.S. District Court today to conspiracy to possess with intent to distribute methamphetamine (“ice”), U.S. Attorney Gregory K. Davis announced. Townsend will be sentenced by U.S. District Judge Carlton W. Reeves on July 11, 2013 and faces a maximum punishment of life in prison and a $10 million fine.
This case was the result of an extensive investigation, dubbed “Operation Brusha” targeting illegal narcotics distribution in Scott County, Mississippi. The investigation was conducted by the Mississippi Bureau of Narcotics, Bureau of Alcohol, Tobacco Firearms and Explosives and Homeland Security Investigations with assistance from the Forest Police Department, Scott County Sheriff’s Department, Mississippi Highway Patrol and Mississippi Bureau of Investigation. Assistant U.S. Attorney Erin O. Chalk is prosecuting the case.If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
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Five Indicted in Large-scale Synthetic Drug ConspiracyRead the Press Release
Indictment Alleges That Defendants Manufactured and Distributed “Designer” Drugs
Sold as Potpourri or Plant FoodFour defendants were arrested yesterday and another was already in custody after a federal grand jury in Nashville, Tennessee returned a 10-count indictment charging five defendants with various counts of conspiring to manufacture, distribute, and possess with intent to distribute controlled substance analogues, also known as “synthetic” or “designer” drugs, which were intended for human consumption; conspiracy to violate drug labeling and manufacturing laws; possession of firearms in furtherance of a drug trafficking crime; possession of a firearm by a convicted felon; using a place for the purpose of distributing controlled substance analogues for human consumption; conspiring to launder money; obstruction of justice; subornation of perjury; and perjury. The indictment was announced by David Rivera, Acting U.S. Attorney for the Middle District of Tennessee and Steve Anderson, Chief of the Metropolitan Nashville Police Department.
The indictment charged the following defendants:Eric Ronnell Alexander, 26, of Antioch, Tennessee;
Barry Gregory Vail, 27, of Antioch, Tennessee;
Tabatha Lynn Baird, 20, of Antioch, Tennessee;
Johnathan Landon Smith, a/k/a “London,” 29, of Spring Hill, Tennessee; and
Candice Ruth White, 36, of Nashville, Tennessee.According to the indictment, the defendants established and ran companies called Faded Botanicals, New Age Wholesale, and Toke-N-Roll, that were fronts for a large-scale conspiracy to manufacture and sell synthetic drugs to wholesale and retail customers throughout the United States. The “designer” drugs carried names like “Molly’s Plant Food,” “K4 XXX Gang,” “Bang Ban Russian Roulette,” and “El Cheapo” and were sold at local retailers in Tennessee and across the country, including gas stations, convenience stores, adult book stores, and smoke shops. The indictment alleges that Alexander and the other defendants themselves operated two smoke shops in the Nashville area called “Toke-N-Roll,” where they sold the synthetic drug products along with rolling papers, vaporizers, and bongs. The products allegedly contained controlled substance analogues, which are similar to Schedule I controlled substances in chemical composition and their effect on the body.
“Criminals who sell illegal drugs cannot evade justice by simply changing a molecule in the compounding structure of the substance,” said Acting U.S. Attorney David Rivera.” Those who would attempt to hide behind the analogue of an illegal substance and produce and sell such dangerous and adulterated substances to the public will face the consequences of federal prosecution.”
“Criminal investigations such as this save lives and protect families,” said Metro Nashville Police Chief Steve Anderson. “These products have been found to be inherently dangerous and seemingly packaged to appeal to teenagers and young adults. The truth is, the colorful packets contain chemicals that can cause very serious side effects and even death.”
The indictment alleges that the conspiracy lasted from at least July 2010 to October 5, 2012, and that the defendants manufactured synthetic drug products themselves at an unsanitary warehouse in Kentucky. According to the indictment, the defendants made the synthetic drugs products using chemicals they had purchased over the internet, cooking them on a dirty hot plate and dissolving them in alcohol before pouring them and a green leafy substance into a rusty and corroded industrial mixer meant to mix concrete; after the chemicals and leafy substance were mixed, the resulting substance was spread out in numerous aluminum foil roasting pans that were left to dry on the dirty floor of the warehouse. At that point, the indictment alleges, the green leafy substance, which was then coated with the synthetic drugs, was packed into foil packs and plastic cylinders for sale. All of the defendants are also charged with conspiracy to commit money laundering for using the illegal proceeds of the sale of these synthetic drugs to further the conspiracy and engage in monetary transactions greater than $10,000.The indictment also alleges that the defendants took multiple steps to conceal the fact that they were selling the synthetic drugs for human consumption. For example, the labels the defendants placed on the designer drug products stated that they were not for “human consumption,” and claimed instead to be “potpourri,” “herbal enhancers,” or “plant food,” although the defendants knew that these claims were not true. Similarly, the indictment alleges that employees of Toke-N-Roll were instructed not to sell the designer drugs at the same time as rolling papers, bongs, or other items meant for smoking them. Instead, the employees were told to ring up the customer’s purchase in two separate transactions.
In addition, according to the indictment, defendants Alexander, Vail, and Baird attempted to obstruct the investigation by federal investigators and a federal grand jury. Specifically, the indictment alleges that Alexander and Vail suborned and procured Baird to commit perjury, and that Baird perjured herself in the grand jury when she claimed to never have been present at the warehouse in Kentucky where defendants manufactured the synthetic drug products.
If convicted of the drug conspiracy, defendants face a maximum sentence of twenty years in prison and a $1,000,000 fine. They also face a maximum of twenty years in prison and a $500,000 fine on the money laundering charges. If convicted of the conspiracy to introduce adulterated and misbranded drugs, the defendants face a maximum sentence of five years in prison and a $250,000 fine. On the obstructed-related allegations, defendants Alexander, Vail, and Baird face a maximum sentence, if convicted, of five years in prison and a $250,000 fine for the counts charging perjury and suborning perjury, respectfully, and a maximum sentence of twenty years in prison and a $250,000 fine on the counts alleging obstruction of justice.
The indictment also contains charges related to the unlawful possession of a firearm by Alexander, who is a convicted felon, and his possession of a firearm in furtherance of the drug trafficking conspiracy. On the latter charge, Count 3 of the indictment, Alexander faces a maximum sentence of life in prison and a $250,000 fine, while the other charge carries a maximum sentence of 10 years in prison and a $250,000 fine.The indictment follows an investigation of more than two years by the Drug Enforcement Administration, the Metropolitan Nashville Police Department, and the Office of the Tennessee Attorney General. Assistant United States Attorney Alex Little is representing the government.
An indictment is merely an accusation and is not evidence of guilt. Defendants are presumed innocent unless and until proven guilty in a court of law.
Ex-loan Officer Sentenced to 12½ Years in Prison for Mortage Fraud Scheme Involving Dozens of South Side PropertiesRead the Press Release
CHICAGO — A former loan officer was sentenced today to more than 12½ years in federal prison for engaging in a mortgage fraud scheme involving 65 real estate transactions with properties located mostly in economically-depressed neighborhoods on the city’s south side which netted him personally more than $700,000. The defendant, FRED HAYWOOD, worked as a loan officer or processor for several different mortgage brokerages during the scheme, which occurred between 2001 and 2007.
Haywood, 42, of Chicago, was sentenced to 151 months in prison and ordered to pay more than $1.4 million in restitution to various lenders by U.S. District Judge Ronald Guzman. Haywood pleaded guilty in April 2012 to wire fraud. Haywood was the last to be sentenced among six defendants who were charged in 2008 and 2009 and subsequently pleaded guilty, and his was the longest term of incarceration.
Haywood’s fraudulent acts included qualifying borrowers for loans based on false information submitted to lenders, including false information about their income, assets, employment, intention to occupy the property, and source of down payment. Court records also established that he continued his fraudulent conduct after he was indicted and while on pretrial release.
During the scheme, Haywood and his co-schemers recruited buyers with good credit to purchase properties, knowing at the time that these buyers did not have sufficient income to qualify for mortgages, had no intention of actually living in the properties they were purchasing, and had no intention of fulfilling any long-term payment obligations on the loans they obtained. Instead, he and others recruited the buyers by promising to pay them for acting as nominees and for putting the properties in their names. Haywood knew that the false statements and documents submitted to lenders were material to their decisions to make loans.
The sentence was announced by Gary S. Shapiro, United States Attorney for the Northern District of Illinois; Cory B. Nelson, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; and Pete Zegarac, Inspector-in-Charge of the U.S. Postal Inspection Service in Chicago.
The government was represented by Assistant U.S. Attorney Jason Yonan.
Eight Charged Following Discovery of More Than 1700 Marijuana PlantsRead the Press Release
HOUSTON – Seven area men and one woman are in custody on charges of conspiracy and possession with intent to distribute more than 1,000 marijuana plants, United States Attorney Kenneth Magidson announced today.
Dang Hai Nguyen, 47, Carry Le, 38, Hien The Nguyen, 26, Lam Thanh Ho, 43, Son Kim Le, 39, Tuan Anh Le, 24, and Tuan Nguyen, 44, all of Houston, and Minh Quang Nguyen, 46, of Katy, were arrested this morning during the execution of search warrants at eight residential properties in the greater Houston area. All are expected to appear before U.S. Magistrate Judge George C. Hanks Jr. on Friday, May 3, 2013, at which time the United States is expected to request they remain in custody pending further criminal proceedings.
Six of the properties were allegedly active hydroponic grow houses that contained marijuana plants in various stages of growth. All eight properties are in Harris County. The searches resulted in the seizure of at least 180 and up to more than 450 marijuana plants in each of the six grow houses, totaling approximately 1754 plants.
A conviction for conspiracy to possess and possession with the intent to distribute marijuana plants carries a possible punishment of a minimum of 10 years and up to life in federal prison as well as a $10 million fine.
The charges are the result of an investigation conducted by the Texas Department of Public Safety, the Harris and Ft. Bend County Sheriffs’ Departments and the Drug Enforcement Administration.
Assistant United States Attorney Michael Kusin is prosecuting the case.
Defendants are presumed innocent unless and until convicted through due process of law.Eagle Butte Man Pleads Guilty to Third Degree BurglaryRead the Press Release
United States Attorney Brendan V. Johnson announced that Jake Morrison, age 31, of Eagle Butte, South Dakota, appeared before US District Judge Roberto A. Lange on April 30, 2013, and pled guilty to the indictment that charged him with Third Degree Burglary. The maximum penalty upon conviction is 10 years in custody, a $250,000 fine, or both; 3 years of supervised release; and $100 assessment to the Federal Crime Victims Fund.
The conviction is the result of a January 6, 2013, late night break-in at a downtown business in Timber Lake, South Dakota.
The investigation was conducted by the Cheyenne River Sioux Tribe Law Enforcement Division. The case is being prosecuted by Assistant US Attorney Mikal Hanson.
A presentence investigation was ordered, and a sentencing date was set for July 22, 2013. The defendant was remanded to the custody of the US Marshal’s Service pending sentencing.
Dunmore Tax Return Preparer Pleads Guilty to Tax EvasionRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Dominick J. Muracco, Jr., age 60, of Scranton, Pennsylvania, pled guilty in federal court in Wilkes-Barre before Senior U.S. District Judge A. Richard Caputo to attempted income tax evasion regarding his 2008 federal income tax return. Sentencing was scheduled for August 15, 2013.
According to United States Attorney Peter J. Smith, Muracco previously operated a business in Dunmore, Pennsylvania known as Automated Payroll and Tax Service (“APTS”) which prepared tax returns and represented taxpayers before the IRS. Muracco admitted today that he filed a false income tax return for 2008 which omitted over $125,000 in taxable income and over $31,000 in tax. Muracco also admitted that for the years 2006, 2007, 2008 and 2009, he under-reported his income by over $276,000 and his tax by over $63,000. The unreported income came primarily from fees that Muracco charged APTS clients for tax program services.
The case was investigated by the Criminal Investigation Division of the IRS and is assigned to Senior Litigation Counsel Bruce Brandler for prosecution.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this particular case, the maximum penalty under the federal statute is five years’ imprisonment, a term of supervised release following imprisonment, restitution and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Dearborn Heights Man Pleads Guilty to Bankruptcy Fraudand Money LaunderingRead the Press Release
Adnan Hassan Tageddine, age 42, of Dearborn Heights, Michigan, pleaded guilty to three counts of Bankruptcy Fraud and one count of Money Laundering, United States Attorney Barbara L. McQuade announced today. Ms. McQuade was joined in the announcement by Special Agent in Charge Erick Martinez, Internal Revenue Service Criminal Investigation Division.
In August of 2009, Tageddine filed bankruptcy in Detroit, Michigan. The bankruptcy filing, which he declared under penalty of perjury, included a schedule of all of his personal property that he knew to be false. He failed to identify multiple luxury assets he owned which included luxury cars, jewelry and cash.
Special Agent in Charge Erick Martinez commended the work done by the IRS criminal investigator who unraveled Tageddine's scheme, adding "Hiding assets from the bankruptcy court is a very serious offense and is extremely costly to the American public."A sentencing date was set for August 12, 2013 at 3:00 pm before U.S. District Judge Arthur Tarnow.
The maximum penalty for Bankruptcy Fraud Concealment of Assets is imprisonment of not more than five years and/or a $250,000 fine per each count and the maximum penalty for Laundering of Monetary Instruments is not more than 20 years and/or a $500,000 fine.
The investigation was prosecuted by Assistant U.S. Attorneys Richard Roble and Ross MacKenzie.
Custer Man Charged as Felon in Possession of A FirearmRead the Press Release
United States Attorney Brendan V. Johnson announced that a Custer, South Dakota, man has been indicted by a federal grand jury for allegedly unlawfully possessing firearms in March 2013.
Brandon Hattaway, age 29, was indicted by a federal grand jury on April 16, 2013, for Felon in Possession of a Firearm. Hattaway appeared before U.S. Magistrate Judge John E. Simko on April 22, 2013, and pleaded not guilty to the indictment. The maximum penalty upon conviction is 10 years of imprisonment and a $250,000 fine. The charge is merely an accusation, and Hattaway is presumed innocent until and unless proven guilty.
The investigation is being conducted by South Dakota Game, Fish, and Parks, the Custer County Sheriff's Office, the South Dakota Highway Patrol, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Wayne Venhuizen is prosecuting the case. Hattaway was released on bond pending trial. A trial date has been set for June 25, 2013.
Crest Hill Man and His Sister Indicted for Allegedly Conspiring to Illegally Buy Firearms in Missouri and Ship Them to IllinoisRead the Press Release
CHICAGO — A suburban Crest Hill man who is barred from possessing firearms because he is a convicted felon and his sister in Missouri were indicted on federal charges for allegedly conspiring to have her illegally purchase at least five firearms in Missouri and ship them to him in Illinois. RICHARD CARRINO and his sister, ANGEL MARIE CARRINO, were charged in a seven-count superseding indictment that was returned yesterday by a federal grand jury, Gary S. Shapiro, United States Attorney for the Northern District of Illinois, and Larry Ford, Special Agent-in-Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives in Chicago, announced today.
Richard Carrino, also known as “R.J.,” 28, of Crest Hill, was initially indicted alone in March on three counts of being a felon-in-possession of firearms following an undercover investigation by ATF agents. He was arrested on April 3, pleaded not guilty, and remains in federal custody without bond pending trial.
Angela Marie Carrino, 24, of O’Fallon, Mo., was added as a defendant in the new indictment and will be arraigned at a later date in U.S. District Court in Chicago.
Both were charged with conspiring between November 2012 and February 2013 to have Angela Marie Carrino make illegal “straw purchases” of firearms from licensed dealers in Missouri, and illegally transfer them to her brother, a convicted felon, knowing that he lived in a different state. They allegedly discussed types of guns to obtain and Richard Carrino sent his sister money to make the purchases. She allegedly falsely certified that she was the actual buyer of the firearms and then shipped at least five firearms from Missouri to her brother in Illinois. Richard Carrino, in turn, allegedly sold or transferred three of the firearms to an undercover agent, believing in at least one transaction that the individual was a convicted felon, according to the indictment.
Angela Marie Carrino was also charged with three counts of illegally transferring firearms across state lines, while Richard remains charged with the three original counts of being a felon-in-possession of firearms.
Three of the firearms – two .45 caliber semi-automatic Hi-Point pistols and a 9- millimeter semi-automatic Hi-Point model C-9 handgun – were obtained by ATF agents during the investigation and the indictment seeks forfeiture of those guns.
The conspiracy count carries a maximum penalty of five years in prison and each count of illegally transferring or possessing firearms carries a maximum of 10 years in prison, and a maximum fine of $250,000 on each count. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
The government is being represented by Assistant U.S. Attorney Christopher McFadden.
The public is reminded that an indictment is 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.
Superseding Indictment
Counterfeit Credit Card User Sentenced to Probation with Six Months Home DetentionRead the Press Release
PITTSBURGH - A resident of Aliquippa , Pa., has been sentenced in federal court to five years probation and six months home detention on his conviction of conspiracy to use counterfeit credit cards, United States Attorney David J. Hickton announced today.
Senior United States District Judge Maurice B. Cohill imposed the sentence on Rayvon Oscar Kyles, 21.
According to the information presented to the court, between June 2010 through June 2011, the Rayvon Oscar Kyles used counterfeit credit cards at Walmart stores in Western Pennsylvania to purchase merchandise.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
Inspectors from the United States Postal Inspection Service along with agents from the United States Secret Service who, as part of the Western Pennsylvania Financial Crimes Task Force (WPFCTF), conducted the investigation that led to the successful prosecution of Rayvon Oscar Kyles. The WPFCTF was established as a collaborative, multi-agency effort to effectively combat financial crimes, including identity fraud, in Western Pennsylvania. Partnering in this effort are the United States Attorney's Office for the Western District of Pennsylvania, the United States Secret Service, the United States Postal Inspection Service, the Department of Homeland Security, the Allegheny County District Attorney's Office, the Allegheny County Police Department, the City of Pittsburgh Bureau of Police and the Pennsylvania State Police.
Clayton Pleads Guilty to Engaging in Sexually Explicit Conduct with Four Minors to Produce Child PornographyRead the Press Release
SALT LAKE CITY – John Reid Clayton, age 29, of Stansbury Park, Utah, charged in a federal indictment returned in February with four counts of production of child pornography and one count of possession of child pornography, pleaded guilty to production of child pornography in U.S. District Court in Salt Lake City Wednesday afternoon.
As a part of his plea agreement, Clayton admitted that he engaged in sexually explicit conduct with four minor children, all born between 2007 and 2011, for the purpose of producing visual depictions of the conduct.
U.S. District Judge Clark Waddoups ordered Clayton to submit to a psychosexual examination prior to sentencing, which is set for July 16, 2013, at 3:30 p.m. Clayton faces up to 30 years in federal prison for the conviction with a mandatory minimum sentence of 15 years. He also faces a fine of up to $250,000 and a term of supervised release of up to life.
Clayton must also register as a sex offender under the Sex Offender Registration and Notification Act. He also agreed to pay restitution in the case and to forfeit property associated with the criminal conduct.
The charges followed an investigation by the Tooele County Sheriff’s Office, the Tooele City Police Department, and the Utah Internet Crimes Against Children task force
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and the Department of Justice’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 as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Carlos Alexander Mejia-saravia Sentenced for Illegal ReentryRead the Press Release
CARLOS ALEXANDER MEJIA-SARAVIA, age 34, a citizen of Honduras, was sentenced today in federal court by U.S. District Judge Helen G. Berrigan, announced U.S. Attorney Dana J. Boente. MEJIA was sentenced to approximately six months imprisonment. In addition to the term of imprisonment, Judge Berrigan ordered that MEJIA be placed on one year of supervised release following the term of imprisonment, during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of supervised release.
According to court documents, on January 30, 2013, MEJIA pled guilty to a one-count indictment admitting he was an alien who was previously removed and was knowingly and unlawfully found on November 2, 2012, in the United States, in Jefferson Parish, Louisiana without the Attorney General or Secretary of the Department of Homeland Security, having expressly consented to his re-application for admission into the United States.
This case was investigated by United States Immigration and Customs Enforcement - Homeland Security Investigations and the Jefferson Parish Sheriff’s Office. The case was prosecuted by Special Assistant United States Attorney Robert Weir.
Boise Man Pleads Guilty to Federal Firearms ViolationsRead the Press Release
BOISE – Ronald Keith Alexander, 37, of Boise, Idaho, pleaded guilty today to one count of unlawfully possessing a firearm and one count of transferring a firearm in violation of the National Firearm Registration and Transfer Record, U.S. Attorney Wendy J. Olson announced. Alexander and co-defendant Phillip Bernardino Chavez were charged in a superseding indictment filed on February 12, 2013.
According to court documents, Alexander is prohibited from possessing firearms due to a prior felony conviction in 2001 for robbery, in Walla Walla County, Washington. In court today, Alexander admitted that on December 4, 2012, he knowingly possessed a Federal Arms Corporation .308 rifle and a Century Arms 7.62x39 millimeter rifle. Alexander also admitted that he knowingly and unlawfully transferred a Pioneer Arms Corporation 7.62x25 rifle, a machinegun with a shortened barrel, to another individual, knowing the firearm was not registered to him in the National Firearm Registration and Transfer Record.
Each charge is punishable by up to 10 years in prison, a maximum fine of $250,000, and up to three years of supervised release. The government is seeking forfeiture of the firearms.
Alexander is scheduled to be sentenced on July 15, 2013, by U.S. District Judge Edward J. Lodge at the federal courthouse in Boise.
Phillip Chavez, 29, of Boise, is set for trial on August 13. He is charged with illegal possession of a machinegun and transferring a firearm in violation of the National Firearm Registration and Transfer Record.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Nampa Police Department, and the Boise Police Department.
The defendants 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.
Aryan Knights Defendant Sentenced for Unlawfully Possessing FirearmsRead the Press Release
Defendant in Other Aryan Knights Case Pleads Guilty
BOISE – James Everette Hood, 40, of Parma, Idaho, was sentenced today in federal court to 30 months in prison followed by three years of supervised release for unlawful possession of firearms, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also ordered Hood to forfeit the three firearms he illegally possessed and pay a $1,500 fine.
Hood was indicted by a federal grand jury on April 11, 2012. On October 30, 2012, he pleaded guilty to count one of the indictment, admitting that on April 3, 2012, he knowingly and illegally possessed a .32 revolver; a .357 revolver; and a .38 revolver. According to court documents, Hood is prohibited from possessing firearms due to a prior conviction, on December 19, 2003, of retaliating against a witness or informant and aiding and abetting, a crime punishable by a term of imprisonment exceeding one year.
In another Aryan Knights related case, Philip Allen Warren, 45, of Twin Falls, Idaho, pleaded guilty on Monday to counts one and two of an information charging him with distribution of methamphetamine and unlawful possession of a firearm.
According to court documents, on March 15, 2012, Warren knowingly and intentionally distributed 50 grams or more of actual methamphetamine. Warren further admitted that on June 13, 2012, he unlawfully possessed a.40 semi-automatic pistol. He was previously convicted on October 26, 2006, of possession of a controlled substance with intent to deliver, a crime punishable by a term of imprisonment exceeding one year.
Warren faces a mandatory minimum of 20 years in prison, a maximum fine of $10 million, and at least 10 years of supervised release for distribution of methamphetamine. The firearms violation is punishable by up to 10 years in prison, a maximum fine of $250,000 and up to three years of supervised release. Warren is set for sentencing on July 22, 2013, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
Hood and Warren were charged last year as a result of a long term investigation by the Treasure Valley Metro Violent Crimes 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.
The joint investigation by the Organized Crime and Drug Enforcement Task Force (OCDETF) included the cooperative law enforcement efforts of the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service. The Twin Falls Police Department, Twin Falls Sheriff’s Office, Idaho State Police, and District 3 Probation and Parole also participated in the investigation.
Anchorage Man sentenced to 40 months prison in Alaska Drug ConspiracyRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a man from Anchorage, Alaska, was sentenced in federal court in Anchorage for his role in an Anchorage and Fairbanks drug conspiracy.
DeMar Moultrie, a/k/a, “Duckmane,” a/k/a, “All Day,” 25, from Anchorage, Alaska, was sentenced yesterday by U.S. District Court Chief Judge Ralph R. Beistline. Moultrie received a sentence of 40 months in prison and three years of supervised release. Moultrie had previously pled guilty to an indictment charging him and his co-conspirators with one count of drug conspiracy.
According to Assistant U.S. Attorney Kelly Cavanaugh, who prosecuted the case, Moultrie was a member of a drug trafficking organization in Anchorage and Fairbanks, that between 2009 and February 2012, sold powder cocaine, marijuana, and oxycodone pills in both cities. When Moultrie’s house was searched, law enforcement found cocaine, a stolen firearm, $1,300.00 in cash, and other items consistent with drug trafficking. Two weeks after a co-conspirator was arrested in connection with several kilograms of cocaine, Moultrie was one of four co-conspirators that left Anchorage on a private flight chartered to Seattle. Moultrie did not return to Alaska until after his arrest in Rochester, New York, in August 2012.
Moultrie and other members of the conspiracy attempted to conceal their drug trafficking by claiming they were involved in a legitimate business working as “artists,” employees, or promoters of an Anchorage recording label and rap and hip hop performance group known as “Out Da Cutt” or “ODC” Entertainment and “UNDB” (Up North ‘D’ or Dope Boys). Members of this conspiracy would record rap and hip hop songs, post videos on Youtube.com, and perform local shows in Anchorage and Fairbanks. Much of their music glorified the lifestyle of selling illegal narcotics and committing other crimes. The lavish and extravagant lifestyle portrayed in their music and videos was supported by their sales of illegal narcotics.
Prior to imposing a sentence, Judge Beistline informed the defendant that the community was tired of drug dealers preying on the weak and vulnerable in the community. Judge Beistline stated that typical citizens do not have stolen firearms and other items consistent with drug trafficking in their homes and do not fly on private chartered flights to Seattle.
Moultrie was indicted along with 13 other members of this conspiracy. Christopher Anderson was previously sentenced to 14 months prison on November 2, 2012. Donnell Johnson, Joshua Mustovich, Mihla Hall, Antonio Fleming, Dalon Johnson, Tevoris Carter, Jeraelyn Hill, Rock Phelps, Jerry Wormley, Emma Shine, and Brent Gunnels have pled guilty for their roles in connection with the conspiracy and await sentencing. Terrance Fleming has a pending trial scheduled in August 2013.
Ms. Loeffler commended the Federal Bureau of Investigation, the Drug Enforcement Administration, the United States Postal Inspection Service, the Internal Revenue Service Criminal Investigation Division, and the Anchorage Police Department for the investigation leading to the successful prosecution of Moultrie.
Wednesday 1 May 2013
Yvonne Owens-Morris Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Missoula, on April 30, 2013, before Chief U.S. District Judge Dana L. Christensen, YVONNE OWENS-MORRIS, a 48-year-old resident of Hungry Horse, pled guilty to theft of government money. Sentencing has been set for August 18, 2013. She 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:
On May 8, 2008, OWENS-MORRIS applied for Supplemental Security Income (SSI) benefits in Kalispell. During the application, OWENS-MORRIS was asked whether she had sold, transferred title, disposed of or given away any money or other property in the past three years. OWENS-MORRIS was also asked about any income she received or expected to receive beginning April 2008.
According to her application, OWENS-MORRIS received $300 a month from her sister from April 2008 to May 2008 and $300 a month on a continuing basis from her parents. Aside from food stamps, two vehicles valued together at $4,500, and a bank account containing $100, OWENS-MORRIS indicated that she had no other financial resources. OWENS-MORRIS declared under penalty of perjury that the information she provided was true.
SSA conducted eligibility reviews with OWENS-MORRIS on September 21, 2009; October 26, 2009; and December 8, 2009. On each occasion OWENS-MORRIS reported owning assets valued at less than $9,000 and monthly income of $600 or less.
OWENS-MORRIS in fact owned assets and received income that made her ineligible to receive SSI. A year prior to applying for SSI, on May 11, 2007, OWENS-MORRIS deeded to her sister a property in Kalispell known as the Dumas Walker Cowboy Bar. Her sister later signed a power of attorney permitting OWENS-MORRIS to make real estate transactions concerning the property, and on January 14, 2008, OWENS-MORRIS, acting under the power of attorney, sold the property for $200,000. From January 2008 to June 2008, her sister sent OWENS-MORRIS approximately $87,000.
On March 22, 2008, OWENS-MORRIS fell and suffered a back injury on her mother-in-law's property. OWENS-MORRIS settled with her mother-in-law's home owner's insurance. On July 22, 2008, she received a $101,000 check.
From July 2008 to June 2009, OWENS-MORRIS held a UBS investment account. In July 2008, the account held a total of $2,666.
On October 18, 2008, OWENS-MORRIS's mother died. On April 16, 2009, OWENS-MORRIS, as her mother's court appointed representative, deeded a property in Refugio, Texas from her mother to herself and her father. County tax records value the property at $47,170.
In total OWENS-MORRIS received $24,622.04 in SSI benefits to which she was not entitled. Under an agreement between SSA and the State of Montana, whenever an applicant qualifies for SSI, that applicant is also eligible to receive Medicaid benefits. From April 2008 and continuing into 2011, Montana Medicaid paid out in excess of $40,000 in benefits to OWENS-MORRIS's medical providers to which OWENS-MORRIS was not entitled.
OWENS-MORRIS faces possible penalties of 10 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was conducted by the Social Security Administration - Office of Inspector General.
Wakpala Man Sentenced on Abusive Sexual Contact ChargeRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wakpala man convicted of Abusive Sexual Contact was sentenced on April 30, 2013, by U.S. District Judge Roberto A. Lange. Adrian B. Spotted Horse, age 33, was sentenced to 21 months of imprisonment, 5 years of supervised release, and a $100 special assessment.
Spotted Horse was indicted by a federal grand jury in October 2012. He pled guilty to a Superseding Information on February 7, 2013. The conviction stems from an incident on May 31, 2012, when Spotted Horse made two separate attempts to force sexual contact on the victim.
This case was investigated by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy Morley prosecuted the case.
Spotted Horse was immediately turned over to the custody of the U.S. Marshal.
Vernon Luke Bowser Sentenced to 20 Years in Prison for Methamphetamine Conspiracy Operating in Washington CountyRead the Press Release
GREENEVILLE, Tenn. - On Monday, Apr. 29, 2013, Vernon Luke Bowser, 46, of Gray, Tenn., was sentenced by the Honorable J. Ronnie Greer, U.S. District Court Judge, to serve 240 months in prison for his role in a methamphetamine manufacturing conspiracy.
Bowser was one of 20 individuals indicted in January 2012 for conspiring to manufacture methamphetamine (meth). Law enforcement agents found meth labs or meth equipment and residue at seven homes in Gray, Jonesborough, and Watauga, Tenn. Currently, 19 of these 20 individuals have been sentenced. Another 11, who were indicted in October 2011 as part of the same meth conspiracy, have also been sentenced. Eighteen additional individuals await sentencing and two others await trial in a third related indictment returned in December 2012.
The conspiracy lasted more than three years and involved the manufacture of more than 1,462 grams of methamphetamine at 16 meth labs including homes, a school bus, barns, and vehicles in Washington, Carter, Greene, and Unicoi counties. The United States forfeited $14,700 in proceeds from the sale of property used to manufacture meth and an additional six acres of property located on Airport Road for the same reason.
In addition to Vernon Luke Bowser, other individuals who have already been sentenced include: Edward Cato, 45; Ricky Birchfield, 42; Lowell Bowser, 46; Dashauna Frye, 38; Scotty Frye, 42; Tim Honeycutt, Sr., 49; Tim (TJ) Honeycutt, Jr., 23; Nancy Lafollette, 52; Renee Martius, 33; David Tucker, 24; and Ronnie Tucker, 44, all 12 of Gray, Tenn. Sentencing has also taken place for the following individuals from Johnson City: James Arnn, 45; Jimmy Hale, 56; Gregg Herron, 42; Brandon Holder, 30; Josh Mabery, 38; Kimberlie Molnar, 44; Andrew Rowland, 41; Danny Wilcox, 37; and Joshua York, 38. The remaining individuals who have been sentenced include: Leroy Bowser, 43, and Linda Woolfrey, 48, of Kingsport; Tavia Harris, 32, of Bristol; Dean Hollifield, 52, and Cindy Waters, 49, of Fall Branch; William Koenig, 35, Teresa Markland, 43, and Bryan Paul, 52, of Jonesborough; and Neil Hensley,38, of Unicoi.
U.S. Attorney William C. Killian stated, “Tennessee has been identified as having one of the highest rates of meth addiction in the United States. Meth has no legitimate uses and it destroys lives, families, and communities. We will continue to devote appropriate resources to rid our communities of the scourge of meth by vigorous prosecution and meaningful prison terms.”
Law enforcement agencies participating in the investigation which led to the indictments and subsequent convictions include the Tennessee First Judicial District Drug Task Force (1stDTF), Tennessee Second Judicial District Drug Task Force, Washington County Tennessee Sheriff’s Office, Drug Enforcement Administration, U.S. Marshals Service, Sullivan County Tennessee Sheriff’s Office Vice Unit, Kingsport Tennessee Police Department, Johnson City Tennessee Police Department, Tennessee National Guard, Tennessee Highway Patrol, Elizabethton Tennessee Police Department, Tennessee Bureau of Investigation, Greene County Tennessee Sheriff’s Office, Greeneville Police Department, Federal Bureau of Investigation, and Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Helen Smith represented the United States.
Two Queens Men Charged with Ardsley Bank Robbery That Was Followed by High-Speed Car ChaseRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and George Venizelos, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced the indictment yesterday of JOSEPH MCCRIMON and JAMES SHERROD in connection with their alleged robbery of the Wells Fargo Bank in Ardsley on March 29, 2013. The defendants were arrested on March 29 and presented originally before U.S. Magistrate Judge Paul E. Davison in White Plains federal court on March 30, who ordered them remanded. They were arraigned on the Indictment today, and the case was assigned to U.S. District Judge Vincent L. Briccetti.
According to allegations in the Indictment unsealed today in White Plains federal court:
MCCRIMON entered the Wells Fargo Bank in Ardsley during the afternoon of March 29 and handed the teller a note in which he threatened to detonate an explosive device unless the teller gave him $20,000. The teller then gave MCCRIMON approximately $10,000 in cash, and he ran outside to where SHERROD was waiting for him in a car. When an Ardsley detective attempted to stop the defendants’ car a short time later, SHERROD drove away at speeds that at times exceeded 100 miles per hour. He struck one car but continued driving, and also at times drove in the opposite lane of traffic. After SHERROD crashed the defendants’ getaway car in the Village of Hastings, he and MCCRIMON continued to flee on foot. MCCRIMON was caught in Hastings, while SHERROD was later caught in Yonkers.
MCCRIMON, 38, of Queens, New York, and SHERROD, 39, of Queens, New York, are each charged with one count of bank robbery, which carries a maximum sentence of 20 years in prison, and one count of conspiracy to commit bank robbery, which carries a maximum sentence of five years in prison.
Mr. Bharara praised the efforts of the FBI, the Ardsley Police Department, the Hastings Police Department, the Yonkers Police Department and Westchester County Department of Public Safety in connection with this investigation.
The charges in the Indictment are merely accusations, and the defendant is presumed innocent until and unless proven guilty.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney James McMahon is in charge of the prosecution.
McCrimon&Sherrod.Complaint
McCrimon, Sherrod.IndictmentThree New York Men Charged in Counterfeit Currency ConspiracyRead the Press Release
PITTSBURGH, Pa. - Three residents of New York State have been indicted by a federal grand jury in Pittsburgh on charges of conspiracy, possessing counterfeit United States currency, and passing counterfeit United States currency, United States Attorney David J. Hickton announced today.
The indictment, returned on April 24, named Sean R. Marroquin, 25, of Richmond Hill, N.Y., Anyi Bohorquez, 20, of East Elmhurst, N.Y., and Matthew Martinez, 21, of Corona, New York.
According to the indictment, Marroquin was charged with conspiracy on or about March 9, 2013; Bohorquez was charged with conspiracy and passing counterfeit currency on or about March 9, 2013; and Martinez was charged with conspiracy and possessing counterfeit currency on or about March 9, 2013.
The law provides for a maximum total sentence of five years in prison, a fine of $250,000 or both for Marroquin. The law provides for a maximum total sentence of 25 years in prison, a fine of $500,000 or both for Bohorquez. The law provides for a maximum total sentence of 25 years in prison, a fine of $500,000 or both for Martinez. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Shardul S. Desai is prosecuting this case on behalf of the government.
The United States Secret Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Three More Sentenced in E. Idaho Meth Trafficking CaseRead the Press Release
POCATELLO – U.S. Attorney Wendy J. Olson announced today the sentencing of three more members of an Eastern Idaho drug trafficking organization. The defendants appeared this week before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello.
Ricardo Garcia Lopez, 36, of Idaho Falls, Idaho, was sentenced today to 235 months in prison followed by five years of supervised release for conspiracy to possess with intent to distribute in excess of 50 grams of methamphetamine. Lopez was also ordered to forfeit a firearm and pay a $1,000 fine. He pleaded guilty to the charge on December 19, 2012.
On Monday, Alberto Abarca, 23, of Idaho Falls, Idaho, was sentenced to 130 months in prison followed by five years of supervised release for possession with intent to distribute methamphetamine. He pleaded guilty to the charge on January 23.
Ana Rosa Valdez-Ceja, 26, of Shelley, Idaho, was sentenced yesterday to two years’ probation for money laundering. She pleaded guilty to the charge on January 23.
According to plea agreements filed in the case, from June 2005 through January 2012, a group of individuals centered around co-defendant Samuel Nevarez-Ayon, a Mexican national, entered into a conspiracy to possess and distribute in excess of 50 grams of actual methamphetamine in the Idaho Falls area. In furtherance of the conspiracy, Nevarez-Ayon directed activities of various co-defendants, including Lopez, Abarca and Valdez-Ceja. In addition to distributing methamphetamine, several defendants laundered proceeds from the sale of the methamphetamine and made false loan applications to local banks to further the laundering of money. During the course of the conspiracy, the defendants obtained in excess of $500,000 from the distribution of methamphetamine.
In addition to the defendants sentenced this week, four co-defendants were sentenced in March and April to serve federal prison sentences for conspiracy to possess with intent to distribute methamphetamine: Rafael Ignacio Guerrero, a Mexican national, was sentenced to 42 months; Antonio Javier Mendoza, of Shelley, Idaho, to 96 months; Fabiola Esmerelda Marin Castro, a Mexican national, to 36 months; and Daniel Quiroz, a Mexican national, to 78 months. Abel Garcia, of Idaho Falls, Idaho, was sentenced in March 2013 to one month in prison for making a false statement to a bank.
The remaining defendants, Nevarez-Ayon, Juan Ortiz, Jr., Everado Tapia-Torres, Jr., Nicholas Levi Olsen, and Isidoro David Herrera, pleaded guilty to related charges and are awaiting sentencing later this month. Guadalupe Meraz is a fugitive.
The charges are the result of a nine-month investigation by the Organized Crime Drug Enforcement Task Force (OCDETF), which included the Idaho State Police, Bonneville County Sheriff's Office, Idaho Falls Police Department, Madison County Sheriff's Office, Rexburg Police Department, Bingham County Sheriff’s Office, Fremont County Sheriff’s Office, Federal Bureau of Investigation (FBI), U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Other federal agencies participating in the OCDETF program include the Drug Enforcement Administration and the U.S. Marshals Service.
The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
Three Men Arrested in Connection with Boston Marathon Bombing InvestigationRead the Press Release
Three men were arrested and charged today in connection with the Boston Marathon bombings investigation.
Dias Kadyrbayev, 19, and Azamat Tazhayakov, 19, both of New Bedford, Mass., were charged in a criminal complaint with conspiracy to obstruct justice by conspiring to destroy, conceal and cover-up tangible objects belonging to suspected Marathon bomber, Dzhokhar Tsarnaev, namely a laptop computer and backpack containing fireworks. A third man, Robel Phillipos, 19, of Cambridge, Mass., was charged with willfully making materially false statements to federal law enforcement officials during a terrorism investigation. According to the affidavit accompanying the complaint, Kadyrbayev and Tazhayakov are both nationals of Kazakhstan who entered the United States on student visas. Kadyrbayev and Tazhayakov face a maximum sentence of five years in prison and $250,000 fine. Phillipos, a U.S. citizen, faces a maximum sentence of eight years in prison and a $250,000 fine.
U.S. Attorney for the District of Massachusetts Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Boston Field Office of the FBI, announced the charges today. This investigation was conducted by the FBI's Boston Division, the Boston Police Department, the Massachusetts State Police and member agencies of the Boston Joint Terrorism Task Force, which is comprised of more than 30 federal, state and local enforcement agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Immigration and Customs Enforcement - Homeland Security Investigations; U.S. Marshals Service; U.S. Secret Service; the Massachusetts Bay Transit Authority; and others. In addition, the Watertown, Mass., Police Department, the Cambridge Police Department, the Massachusetts Institute of Technology (MIT) Police Department, the Boston Fire Department, the National Guard and police, fire and emergency responders from across Massachusetts and New England played critical roles in the investigation and response.
The charges contained in the criminal complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.Related Materials:
Kadyrbayev and Tazhayakov Complaint
Phillipos ComplaintThree Men Arrested in Connection with Marathon Bombing InvestigationRead the Press Release
BOSTON – Three men were arrested and charged on May 1, 2013, in connection with the Boston Marathon bombings investigation.
Dias Kadyrbayev, 19, and Azamat Tazhayakov, 19, both of New Bedford were charged in a criminal complaint with conspiracy to obstruct justice by conspiring to destroy, conceal and cover up tangible objects belonging to suspected Marathon bomber, Dzhokhar Tsarnaev, namely a laptop computer and backpack containing fireworks. A third man, Robel Phillipos, 19, of Cambridge, was charged with willfully making materially false statements to federal law enforcement officials during a terrorism investigation. According to the affidavit accompanying the complaint, Kadyrbayev and Tazhayakov are both nationals of Kazakhstan who entered the United States on student visas. Kadyrbayev and Tazhayakov face a maximum sentence of five years in prison and $250,000 fine. Phillipos faces a maximum sentence of eight years in prison and a $250,000 fine.
United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of the Boston Field Office of the FBI announced the charges today. This investigation was conducted by the FBI's Boston Division, the Boston Police Department, the Massachusetts State Police, and member agencies of the Boston Joint Terrorism Task Force, which is comprised of more than 30 federal, state and local enforcement agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement - Homeland Security Investigations, U.S. Marshals Service, U.S. Secret Service, the Massachusetts Bay Transit Authority and others. In addition, the Watertown Police Department, the Cambridge Police Department, the Massachusetts Institute of Technology (MIT) Police Department, the Boston Fire Department, the National Guard and police, fire and emergency responders from across Massachusetts and New England played critical roles in the investigation and response.
The charges contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
(Download Criminal Complaint - Dias Kadyrbayev & Azamat Tazhayakov)
(Download Criminal Complaint - Robel Phillipos )
Teens Charged with Murder of Skylar NeeseRead the Press Release
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(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistFollow us on Twitter @NDWVnews
MORGANTOWN, WEST VIRGINIA - Charges were filed today against two teenagers implicated in the death and disappearance of Star City, West Virginia, teen Skylar Neese.
United States Attorney William Ihlenfeld, II and the Monongalia County Prosecutor’s Office announced that RACHEL SHOAF, 16 years old, of Morgantown, WV, was charged today with the murder of Neese, whose body was found in Pennsylvania on January 16, 2013. During her appearance in the Circuit Court of Monongalia County this morning SHOAF pleaded guilty to Second Degree Murder after agreeing to be transferred to adult status. She is in custody awaiting sentencing.
Charges are pending against a second juvenile who is currently in custody in Monongalia County. Due to the nature of the proceedings, no further information is available at the present time.
The charges filed today were the result of a continuing joint state and federal investigation conducted by the Star City Police, the West Virginia State Police, the Federal Bureau of Investigation, and other law enforcement agencies. The cases now pending will be prosecuted by Monongalia County Prosecuting Attorney Marcia Ashdown and Assistant Prosecuting Attorney Perri Jo DeChristopher.
Teacher’s Assistant Sentenced on Drug Trafficking ChargesRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court yesterday, United States District Judge Terrence Boyle sentenced WINSTON ANTONIO EVANS, 29, of Smithfield, North Carolina, to 123 months imprisonment followed by 6 years supervised release.
A Federal Grand Jury returned a Criminal Indictment on August 29, 2012, charging EVANS with three counts of Distribution of Heroin, one count of Distribution of Heroin Within 1,000 Feet of a School, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime. On January 3, 2013, EVANS pleaded guilty to the following counts: Distribution of Heroin Within 1,000 Feet of a School, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
According to the evidence presented in Court, EVANS engaged in a series of controlled buys from a confidential informant from February 22, 2012, up to and including March 15, 2012. During these controlled buys, EVANS sold quantities of heroin to the confidential informant. One of the controlled buys took place on the school grounds of Smithfield-Selma High School where EVANS was a teacher’s assistant. In addition, during one of the controlled buys, EVANS also sold a firearm to the informant. Finally, the investigation revealed that EVANS was receiving shipped parcels containing heroin from other co-conspirators for distribution. All told, EVANS was held responsible for trafficking in over 500 grams of heroin.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives as well as the Johnston County Sheriff=s Office. Assistant United States Attorney, Rudy E. Renfer, represented the United States in this matter.