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16 May 2013
Brooklyn Man Found Guilty on Firearms ChargeRead the Press Release
Jason L. White, 28, of Venice, was found guilty today by a jury in federal court in East St. Louis of being a previously convicted felon in possession of a firearm, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced. The court set sentencing for August 30, 2013, at which time White may face up to ten years in prison.
The jury found that, between March 23, 2011, and March 31, 2011, in St. Clair County, White knowingly and unlawfully possessed a Glock .40 caliber semi-automatic pistol. White had previously been convicted of a felony, Unlawful Delivery of a Controlled Substance Within 1000 Feet of a Church, in Madison County, Illinois.
The case was investigated by agents and officers of the United States Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, the Illinois State Police Metro-East Forensic Science Laboratory, the Illinois Department of Corrections’ Parole Office, the Brooklyn Police Department, and the East St. Louis Police Department. The case is being prosecuted by Assistant U.S. Attorneys Stephen B. Clark and Liam Coonan.
Boise Man Arrested; Terrorism Charges Filed in Idaho and UtahRead the Press Release
Suspect Allegedly Conspired to Provide Support to Terrorist Organization; Demonstrated the Making and Use of Explosive Devices
BOISE – Fazliddin Kurbanov, 30, was arrested Thursday morning in Boise, Idaho, as part of a federal terrorism investigation. Federal terrorism charges were filed Thursday afternoon in Boise and Salt Lake City, Utah. Kurbanov, an Uzbekistan national, legally present in the United States, was living in Boise at the time of his arrest.
A federal grand jury in Boise returned a three-count indictment charging Kurbanov with one count of conspiracy to provide material support to a designated foreign terrorist organization, one count of conspiracy to provide material support to terrorists and one count of possessing an unregistered destructive device.
A federal grand jury in Salt Lake City returned an indictment charging Kurbanov with one count of distribution of information relating to explosives, destructive devices, and weapons of mass destruction.
The charges were announced by David B. Barlow, U.S. Attorney for the District of Utah; Wendy J. Olson, U.S. Attorney for the District of Idaho; John Carlin, Acting Assistant Attorney General for National Security at the U.S. Department of Justice; and Mary Rook, Special Agent in Charge of the FBI’s Salt Lake City Division.
The arrest was the culmination of an investigation by the FBI’s Salt Lake City Division, which covers Idaho and Utah; and Joint Terrorism Task Forces (JTTF) in Idaho and Utah, which include a number of federal, state, and local law enforcement agencies.
Kurbanov’s activites were closely monitored by federal agents during the investigation and any potential threat posed by Kurbanov has been contained. Kurbanov is scheduled to make an initial appearance in federal court in Boise tomorrow. He will be transferred to Utah at the conclusion of the prosecution in Idaho.
“Today’s arrest and these indictments underscore our commitment to aggressively and thoroughly investigate those who conspire to engage in unlawful terrorist activities,” said Olson. “The thorough and exhaustive work of our JTTF, in partnership with our investigating and prosecuting partners in Utah, Colorado and at the National Security Division, put a stop to this criminal activity and ensured the public’s safety. I commend the men and women at every level of law enforcement, including the FBI, the Department of Homeland Security, Homeland Security Investigations, Ada County and Canyon County Sheriff’s Offices and the Boise City Police Department, who assisted in this effort.”
“One of our highest priorities is disrupting potential acts of terrorism. The coordinated investigation, arrest, and indictments in this case demonstrate the commitment of all involved to do just that. The tireless work of agents, analysts, and law enforcement officers to detect and guard against acts of terrorism has helped ensure the safety of the communities they serve,” Utah U.S. Attorney David B. Barlow said today. “The judicial part of the process will now begin in Idaho and Utah.”
“Today’s arrest underscores the need for continued vigilance against terrorist threats both at home and abroad. I thank the many agents, analysts and prosecutors responsible for this important investigation,” said John Carlin, Acting Assistant Attorney General for National Security.
“As always, the FBI’s top priority is the safety and security of our nation and its citizens. The indictments and arrest are the result of months of exhaustive investigation on the part of agents, analysts, and officers who worked indefatigably to achieve that end,” Mary Rook, Special Agent in Charge of the FBI Salt Lake City Field Division, said.
Idaho Charges
The Idaho indictment alleges in count one that between August 2012 and May 2013, Kurbanov knowingly conspired with unnamed co-conspirators to provide material support and resources to the Islamic Movement of Uzbekistan, a designated foreign terrorist organization. The indictment alleges that the material support and resources included himself, computer software and money.
In count two, the indictment further alleges that the defendant conspired to provide material support and resources, including himself, to terrorists knowing that the material support was to be used in preparation for and in carrying out an offense involving the use of a weapon of mass destruction.
The indictment also alleges in count three that on or about Nov.15, 2012, Kurbanov possessed a destructive device consisting of a combination of parts intended for use in converting any device into a destructive device and from which a destructive device could be readily assembled. According to the indictment, the parts were a hollow hand grenade, hobby fuse, aluminum powder, potassium nitrate and sulfur.
If convicted on the Idaho charges, Kurbanov faces a maximum of 15 years in prison on each of the conspiracy counts and 10 years in prison on the possession of an unregistered destructive device count. The Idaho charges are being prosecuted by Assistant U.S. Attorneys Aaron Lucoff and Heather Patricco and National Security Division Trial Attorney Larry Schneider.
Utah Charges
The one-count indictment filed in Utah alleges that from about Jan. 14, 2013, continuing through Jan. 24, 2013, Kurbanov taught and demonstrated how to make explosive devices and distributed information relating to the manufacture and use of an explosive or weapon of mass destruction with the intent that the teaching, demonstration and information be used for, and in furtherance of, an activity that would constitute a federal crime of violence.
The indictment alleges the defendant showed internet videos, conducted instructional shopping trips, provided written recipes and gave verbal instructions on where to obtain the necessary components to construct and use improvised explosive devices. The indictment also alleges that Kurbanov intended that the videos, written recipes, verbal instructions, and shopping trips be used for training in the construction and use of explosive devices to commit a crime of violence, such as the use of weapons of mass destruction; bombings of a place of public use, a public transportation system or infrastructure facility; or destroying a building in interstate commerce.
If convicted on the Utah charge, Kurbanov faces up to 20 years in federal prison.
The Utah charges are being prosecuted by U.S. Attorney David B. Barlow, Assistant U.S. Attorney John W. Huber and National Security Division Trial Attorney Larry Schneider.
An indictment is not a finding of guilt and is not evidence. Individuals charged in an indictment are presumed innocent unless or until proven guilty beyond a reasonable doubt in a court of law.
(Questions for the FBI Salt Lake City Division can be directed to Public Affairs Specialist Deb Bertram at 801-579-1400 or by e-mail at [email protected]. If you have questions regarding the Idaho case, please call Pam Bearg, PIO in the Idaho U.S. Attorney’s Office, at 208-334-1211. Questions for the Department of Justice’s National Security Division can be directed to 202-514-2007. )
Boise Man Arrested; Terrorism Charges Filed in Idaho and UtahRead the Press Release
Suspect Allegedly Conspired to Provide Support to Terrorist Organization; Demonstrated the Making and Use of Explosive DevicesBOISE, ID -- Fazliddin Kurbanov, 30, was arrested Thursday morning in Boise, Idaho, as part of a federal terrorism investigation. Federal terrorism charges were filed Thursday afternoon in Boise and Salt Lake City, Utah. Kurbanov, an Uzbekistan national, legally present in the United States, was living in Boise at the time of his arrest.
A federal grand jury in Boise returned a three-count indictment charging Kurbanov with one count of conspiracy to provide material support to a designated foreign terrorist organization, one count of conspiracy to provide material support to terrorists and one count of possessing an unregistered destructive device.
A federal grand jury in Salt Lake City returned an indictment charging Kurbanov with one count of distribution of information relating to explosives, destructive devices, and weapons of mass destruction.The charges were announced by David B. Barlow, U.S. Attorney for the District of Utah; Wendy J. Olson, U.S. Attorney for the District of Idaho; John Carlin, Acting Assistant Attorney General for National Security at the U.S. Department of Justice; and Mary Rook, Special Agent in Charge of the FBI’s Salt Lake City Division.
The arrest was the culmination of an investigation by the FBI’s Salt Lake City Division, which covers Idaho and Utah; and Joint Terrorism Task Forces (JTTF) in Idaho and Utah, which include a number of federal, state, and local law enforcement agencies.
Kurbanov’s activites were closely monitored by federal agents during the investigation and any potential threat posed by Kurbanov has been contained. Kurbanov will make an initial appearance in federal court in Boise Friday. He will be transferred to Utah at the conclusion of the prosecution in Idaho.
“Today’s arrest and these indictments underscore our commitment to aggressively and thoroughly investigate those who conspire to engage in unlawful terrorist activities,” said Olson. “The thorough and exhaustive work of our JTTF, in partnership with our investigating and prosecuting partners in Utah, Colorado and at the National Security Division, put a stop to this criminal activity and ensured the public’s safety. I commend the men and women at every level of law enforcement, including the FBI, the Department of Homeland Security, Homeland Security Investigations, Ada County and Canyon County Sheriff’s Offices and the Boise City Police Department, who assisted in this effort.”
“One of our highest priorities is disrupting potential acts of terrorism. The coordinated investigation, arrest, and indictments in this case demonstrate the commitment of all involved to do just that. The tireless work of agents, analysts, and law enforcement officers to detect and guard against acts of terrorism has helped ensure the safety of the communities they serve,” Utah U.S. Attorney David B. Barlow said today. “The judicial part of the process will now begin in Idaho and Utah.”
“Today’s arrest underscores the need for continued vigilance against terrorist threats both at home and abroad. I thank the many agents, analysts and prosecutors responsible for this important investigation,” said John Carlin, Acting Assistant Attorney General for National Security.
“As always, the FBI’s top priority is the safety and security of our nation and its citizens. The indictments and arrest are the result of months of exhaustive investigation on the part of agents, analysts, and officers who worked indefatigably to achieve that end,” Mary Rook, Special Agent in Charge of the FBI Salt Lake City Field Division, said.
Idaho ChargesThe Idaho indictment alleges in count one that between August 2012 and May 2013, Kurbanov knowingly conspired with unnamed co-conspirators to provide material support and resources to the Islamic Movement of Uzbekistan, a designated foreign terrorist organization. The indictment alleges that the material support and resources included himself, computer software and money.
In count two, the indictment further alleges that the defendant conspired to provide material support and resources, including himself, to terrorists knowing that the material support was to be used in preparation for and in carrying out an offense involving the use of a weapon of mass destruction.
The indictment also alleges in count three that on or about Nov.15, 2012, Kurbanov possessed a destructive device consisting of a combination of parts intended for use in converting any device into a destructive device and from which a destructive device could be readily assembled. According to the indictment, the parts were a hollow hand grenade, hobby fuse, aluminum powder, potassium nitrate and sulfur.
If convicted on the Idaho charges, Kurbanov faces a maximum of 15 years in prison on each of the conspiracy counts and 10 years in prison on the possession of an unregistered destructive device count. The Idaho charges are being prosecuted by Assistant U.S. Attorneys Aaron Lucoff and Heather Patricco and National Security Division Trial Attorney Larry Schneider.
Utah Charges
The one-count indictment filed in Utah alleges that from about Jan. 14, 2013, continuing through Jan. 24, 2013, Kurbanov taught and demonstrated how to make explosive devices and distributed information relating to the manufacture and use of an explosive or weapon of mass destruction with the intent that the teaching, demonstration and information be used for, and in furtherance of, an activity that would constitute a federal crime of violence.
The indictment alleges the defendant showed internet videos, conducted instructional shopping trips, provided written recipes and gave verbal instructions on where to obtain the necessary components to construct and use improvised explosive devices. The indictment also alleges that Kurbanov intended that the videos, written recipes, verbal instructions, and shopping trips be used for training in the construction and use of explosive devices to commit a crime of violence, such as the use of weapons of mass destruction; bombings of a place of public use, a public transportation system or infrastructure facility; or destroying a building in interstate commerce.
If convicted on the Utah charge, Kurbanov faces up to 20 years in federal prison.
The Utah charges are being prosecuted by U.S. Attorney David B. Barlow, Assistant U.S. Attorney John W. Huber and National Security Division Trial Attorney Larry Schneider.
An indictment is not a finding of guilt and is not evidence. Individuals charged in an indictment are presumed innocent unless or until proven guilty beyond a reasonable doubt in a court of law.( Questions for the FBI Salt Lake City Division can be directed to Public Affairs Specialist Deb Bertram at 801-579-1400 or by e-mail at [email protected]. If you have questions regarding the Idaho case, please call Pam Bearg, PIO in the Idaho U.S. Attorney’s Office, at 208-334-1211. Questions for the Department of Justice’s National Security Division can be directed to the DOJ Office of Public Affairs at 202-514-2007. )
Boise Man Arrested; Terrorism Charges <br /> Filed in Idaho and UtahRead the Press Release
Fazliddin Kurbanov, 30, was arrested Thursday morning in Boise, Idaho, as part of a federal terrorism investigation. Federal terrorism charges were filed Thursday afternoon in Boise and Salt Lake City, Utah. Kurbanov, an Uzbekistan national, legally present in the United States, was living in Boise at the time of his arrest.
A federal grand jury in Boise returned a three-count indictment charging Kurbanov with one count of conspiracy to provide material support to a designated foreign terrorist organization, one count of conspiracy to provide material support to terrorists and one count of possessing an unregistered destructive device.
A federal grand jury in Salt Lake City returned an indictment charging Kurbanov with one count of distribution of information relating to explosives, destructive devices and weapons of mass destruction.The charges were announced by David B. Barlow, U.S. Attorney for the District of Utah; Wendy J. Olson, U.S. Attorney for the District of Idaho; John Carlin, Acting Assistant Attorney General for National Security at the U.S. Department of Justice; and Mary Rook, Special Agent in Charge of the FBI’s Salt Lake City Division.
The arrest was the culmination of an investigation by the FBI’s Salt Lake City Division, which covers Idaho and Utah; and Joint Terrorism Task Forces (JTTF) in Idaho and Utah, which include a number of federal, state and local law enforcement agencies.
Kurbanov’s activities were closely monitored by federal agents during the investigation and any potential threat posed by Kurbanov has been contained. Kurbanov is scheduled to make his initial appearance in federal court in Boise tomorrow. He will be transferred to Utah at the conclusion of the prosecution in Idaho.
“Today’s arrest and these indictments underscore our commitment to aggressively and thoroughly investigate those who conspire to engage in unlawful terrorist activities,” said U.S. Attorney Olson. “The thorough and exhaustive work of our JTTF, in partnership with our investigating and prosecuting partners in Utah, Colorado and at the National Security Division, put a stop to this criminal activity and ensured the public’s safety. I commend the men and women at every level of law enforcement, including the FBI, the Department of Homeland Security, Homeland Security Investigations, Ada County and Canyon County Sheriff’s Offices and the Boise City Police Department, who assisted in this effort.”
“One of our highest priorities is disrupting potential acts of terrorism. The coordinated investigation, arrest, and indictments in this case demonstrate the commitment of all involved to do just that. The tireless work of agents, analysts and law enforcement officers to detect and guard against acts of terrorism has helped ensure the safety of the communities they serve,” U.S. Attorney Barlow said today. “The judicial part of the process will now begin in Idaho and Utah.”
“Today’s arrest underscores the need for continued vigilance against terrorist threats both at home and abroad. I thank the many agents, analysts and prosecutors responsible for this important investigation,” said Acting Assistant Attorney General Carlin.
“As always, the FBI’s top priority is the safety and security of our nation and its citizens. The indictments and arrest are the result of months of exhaustive investigation on the part of agents, analysts, and officers who worked indefatigably to achieve that end,” said FBI Special Agent in Charge Rook.
Idaho ChargesThe Idaho indictment alleges in count one that between August 2012 and May 2013, Kurbanov knowingly conspired with unnamed co-conspirators to provide material support and resources to the Islamic Movement of Uzbekistan, a designated foreign terrorist organization. The indictment alleges that the material support and resources included himself, computer software and money.
In count two, the indictment further alleges that the defendant conspired to provide material support and resources, including himself, to terrorists knowing that the material support was to be used in preparation for and in carrying out an offense involving the use of a weapon of mass destruction.
The indictment also alleges in count three that on or about Nov.15, 2012, Kurbanov possessed a destructive device consisting of a combination of parts intended for use in converting any device into a destructive device and from which a destructive device could be readily assembled. According to the indictment, the parts were a hollow hand grenade, hobby fuse, aluminum powder, potassium nitrate and sulfur.
If convicted on the Idaho charges, Kurbanov faces a maximum of 15 years in prison on each of the conspiracy counts and 10 years in prison on the possession of an unregistered destructive device count. The Idaho charges are being prosecuted by Assistant U.S. Attorneys Aaron Lucoff and Heather Patricco and National Security Division Trial Attorney Larry Schneider.
Utah Charges
The one-count indictment filed in Utah alleges that from about Jan. 14, 2013, continuing through Jan. 24, 2013, Kurbanov taught and demonstrated how to make explosive devices and distributed information relating to the manufacture and use of an explosive or weapon of mass destruction with the intent that the teaching, demonstration and information be used for, and in furtherance of, an activity that would constitute a federal crime of violence.
The indictment alleges the defendant showed internet videos, conducted instructional shopping trips, provided written recipes and gave verbal instructions on where to obtain the necessary components to construct and use improvised explosive devices. The indictment also alleges that Kurbanov intended that the videos, written recipes, verbal instructions and shopping trips be used for training in the construction and use of explosive devices to commit a crime of violence, such as the use of weapons of mass destruction; bombings of a place of public use, a public transportation system or infrastructure facility; or destroying a building in interstate commerce.
If convicted on the Utah charge, Kurbanov faces up to 20 years in federal prison.
The Utah charges are being prosecuted by U.S. Attorney Barlow, Assistant U.S. Attorney John W. Huber and National Security Division Trial Attorney Larry Schneider.
An indictment is not a finding of guilt and is not evidence. Individuals charged in an indictment are presumed innocent unless or until proven guilty beyond a reasonable doubt in a court of law.(If you have questions regarding the Idaho case, please call Pam Bearg, PIO in the Idaho U.S. Attorney’s Office, at 208-334-1211. For questions on the Utah case, please call Melodie Rydalch, PIO in the Utah U.S. Attorney’s Office at 801-325-3206. Questions for the FBI Salt Lake City Division can be directed to Public Affairs Specialist Deb Bertram at 801-579-1400 or by e-mail at [email protected].)
Related Materials:
Utah Indictment
Idaho IndictmentAnother Sentenced in Marijuana Conspiracy Using Boats to Navigate the Intra-coastal WaterwayRead the Press Release
CORPUS CHRISTI, Texas – Alberto Lopez, aka Alberto Lopez-Reyna, 40, of Roma, has been ordered to prison for nearly seven years following his conviction of conspiracy to possess with the intent to distribute in excess of 100 kilograms of marijuana, United States Attorney Kenneth Magidson announced today. Lopez entered into a written plea agreement Wednesday, Jan. 30, 2013.
Today, Senior U.S. District Judge Janis Graham Jack, who accepted the guilty plea, handed Lopez a term of 80 months in prison. Lopez will also be required to serve a term of five years of supervised release following completion of the prison term.
From November 2010 until his arrest in December 2012, Lopez facilitated the transportation of large amounts of marijuana concealed in the hulls of altered shallow-bottom fishing boats from Port Mansfield to Corpus Christi via the intra-coastal waterway in an effort to circumvent the United States Border Patrol checkpoints in Falfurrias and Sarita.
He admitted his role in supplying various loads of marijuana over the course of the conspiracy and mapping out boat docks in the Corpus Christi area that would be used to retrieve the marijuana-laden vessels for further transportation to Houston. The government detailed how four loads of marijuana were intercepted and a total of 1,600 kilograms of marijuana were seized over the last two years.
Members of the conspiracy who served as drivers include Lombardo Zarate, 50, Rogelio Mendoza, 38, Glen Dial, 57, Luz Ramirez, 26, and Hector Perez-Gonzales, 40, all of whom have previously pleaded guilty before U.S. District Judges in Corpus Christi and have either been sentenced to terms of imprisonment at the Bureau of Prisons. Also sentenced in this case was Michael “Mickey” Pena, who was convicted by a jury in February 2013. He was sentenced last month to 97 months in prison.
Lopez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
This case is the result of a two-year investigation led by Homeland Security Investigations with the assistance of the Kingsville Narcotics Task force. Assistant United States Attorney Jeffrey D. Preston is prosecuting the case.Alien Pleads Guilty to Immigration ViolationsRead the Press Release
PITTSBURGH, Pa. - An individual found by the United States Citizenship and Immigration Services has pleaded guilty in federal court on charges of false statement under oath in a proceeding or matter related to naturalization and re-entry into the United States after deportation, United States Attorney David J. Hickton announced today.
Ernesto Ivan Lazo-Rodriguez a/k/a Daniel Mancero, 35, formerly from El Salvador, pleaded guilty to three counts before United States District Judge Mark R. Hornak.
Ernesto Ivan Lazo-Rodriguez, an alien, was admitted to the United States as a permanent resident on Dec. 2, 1993. Under the alias of Daniel Mancero, Lazo-Rodriguez was arrested and convicted of aggravated robbery and robbery by the State of Texas. Lazo-Rodriguez, under the alias of Daniel Mancero, was removed from the United States by United States Immigration and Customs Enforcement on June 27, 2000. Ernesto Ivan Lazo-Rodriguez ultimately returned to the United States and lived here pursuant to his permanent resident card. Lazo-Rodriguez subsequently applied for naturalization. During the naturalization process, U.S. Citizenship and Immigration Service learned that Lazo-Rodriguez was Daniel Mancero. At his naturalization interview on July 18, 2012, Lazo-Rodriguez denied ever being previously arrested and denied ever being previously removed or deported.
Judge Hornack scheduled sentencing for Sept. 12, 2013, at 1:30 pm. The law provides for a maximum total sentence of 30 years in prison, a fine of $750,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the criminal history, if any, of the defendant.
Assistant United States Attorney Shardul S. Desai is prosecuting this case on behalf of the government.
Immigration and Customs Enforcement conducted the investigation that led to the prosecution of Ernesto Ivan Lazo-Rodriguez a/k/a Daniel Mancero.
Albuquerque Woman Pleads Guilty to Aggravated Identity Theft ChargesRead the Press Release
ALBUQUERQUE – Shelly Nichols, 42, of Albuquerque, N.M., pleaded guilty this morning to identity theft and aggravated identity theft charges. Nichols’s guilty plea was announced by U.S. Attorney Kenneth J. Gonzales and Richard Ferretti, Resident Agent in Charge of the Albuquerque Resident Office of the U.S. Secret Service.
Nichols, who is now known by her married name Shelly Lopez, and her co-defendant, Donna Gabaldon, 41, of Rio Rancho, N.M., were charged in March 2012, in a 60-count indictment alleging identity theft, passing counterfeit checks with the intent to deceive bank officials, and aggravated identity theft charges.
During this morning’s proceedings, Nichols pleaded guilty to one count of identity theft and two counts of aggravated identity theft. Nichols admitted that from Oct. 2009 through June 2010, she and Gabaldon cashed fake payroll checks at Wal-Mart stores in New Mexico, Arizona, Utah, Colorado and Texas. According to the plea agreement, Nichols created fake drivers’ licenses with false names, addresses and license numbers that had photographs of herself or Gabaldon on them. Nichols also created fake checks made payable to the individuals identified in the fake drivers’ licenses. Nichols and Gabaldon then used the fake drivers’ licenses to cash the fake checks at Wal-Mart stores. When cashing the fake checks, Nichols and Gabaldon used the social security numbers of real people who did not know the women were using their social security numbers and had not given them permission to do so. Gabaldon gave Nichols half of the money that she obtained from cashing the fake checks.
In her plea agreement, Nichols admitted that Gabaldon and she fraudulently received at least $141,233.57 by cashing fake payroll checks at Wal-Mart stores. Nichols and Gabaldon obtained additional cash and other items of value by making purchases using fake personal checks that Nichols printed.
Under the terms of the plea agreement, Nichols will be sentenced to 25 months in federal prison followed by five years of supervised release. Nichols also will have to pay $141,233.57 in restitution to the victims of her criminal conduct. The restitution is to be paid jointly by Nichols and Gabaldon. Nichols also will forfeit a 2009 Hummer, computers and other electronic equipment. Nichols remains on conditions of release pending her sentencing hearing, which has not yet been scheduled.
Gabaldon pleaded guilty on May 25, 2012, to two counts of aggravated identity theft. On Sept. 19, 2012, Gabaldon was sentenced to 24 months in prison followed by a year of supervised release.
“Shelly Nichols was a top five Property Crime Offender in the city of Albuquerque and State of New Mexico when she was arrested in this case,” said Richard Ferretti, Resident Agent in Charge of the Albuquerque Resident Office of the U.S. Secret Service. “Identity theft related investigations are a top priority of the U.S. Secret Service in Albuquerque, and we work closely with our partners in the Albuquerque Financial Crimes Task Force to aggressively investigate, arrest, and prosecute those committing these crimes.”
U.S. Attorney Kenneth J. Gonzales commended the U.S. Secret Service special agents who investigated the case and Assistant U.S. Attorney Cynthia L. Weisman who prosecuted the case.Alabama Man Pleads Guilty for Involvement in a Large Scale Stolen Identity Refund FraudRead the Press Release
Glenn Powell Jr. pleaded guilty today in the Middle District of Alabama to his role in a large scale stolen identity refund fraud, the Justice Department and the Internal Revenue Service (IRS) announced.
On April 17, 2013, a federal grand jury in Montgomery, Ala., indicted Powell on conspiracy and theft of government money charges. According to court documents, Powell opened two bank accounts on which he was the only authorized signer. Between August 2009 and February 2011, at least 49 false federal income tax refunds totaling approximately $95,926 were directed to Powell’s bank accounts. Powell was able to withdraw approximately $46,423.71 in false tax refunds before the IRS stopped him. The overall scheme Powell participated in is alleged to have involved over $500,000 in false refunds.
As a result of his plea, Powell faces a maximum potential sentence of 10 years in prison.
This case was investigated by special agents of IRS - Criminal Investigation. Trial Attorneys Charles M. Edgar Jr., Michael Boteler and Greg Bailey of the Justice Department’s Tax Division are prosecuting the case, with the assistance from the U.S. Attorney’s Office for the Middle District of Alabama and, in particular, Assistant U.S. Attorney Todd Brown.
15 May 2013
Western District of Louisiana Assistant U.S. Attorney Recognized at the Annual National Missing Children's Day Commemoration in Washington, D.C.Read the Press Release
LAFAYETTE, La. – United States Attorney Stephanie A. Finley is proud to announce today that the U.S. Justice Department has recognized Assistant United States Attorney (AUSA) John Luke Walker for his exemplary efforts to protect children. AUSA Walker is the recipient of the Child Protection Award at the annual National Missing Children’s Day commemoration held in Washington, D.C. today. The award recognizes the extraordinary efforts of citizens and law enforcement officers who have made a significant investigative or program contribution to protecting children from abuse or victimization. Walker is one of nine citizens and law enforcement officers from Louisiana, Illinois, North Carolina and Washington state to receive the award.
Walker serves as the Western District of Louisiana’s Project Safe Childhood Coordinator. He was the lead prosecutor and a driving force behind Operation Delego, the largest child exploitation case ever prosecuted by the Department. To date, his efforts have resulted in 44 convictions of Operation Delego targets. The defendants included a teacher, police officer and a member of the military. The convictions resulted in sentences ranging from five years to life imprisonment and helped to successfully dismantle a network of individuals whose main objective was the production of hardcore child pornography involving children under the age of 12. Overseas child sex rings and commercial child pornography production rings were also dismantled as part of Operation Delego. As a result of Operation Delego, at least three child victims in the United States were identified.
In addition to his significant contributions during the prosecution of Operation Delego, Walker carries a full caseload of various other cases. Walker also teaches children and parents throughout the Western District of Louisiana about the dangers of online activity through Internet Safety presentations. During 2012, he provided more than 25 presentations and reached approximately 3,000 children and 500 adults.
“AUSA Walker is a committed lawyer, but it is his tireless work and dedication to the children of this community that led to his being named as a recipient of this award,” Finley stated. “Walker is most deserving of this recognition. Still, no one does any of this difficult work alone. He has a wonderful assistant, and outstanding state and local officers and federal agents who assist in these difficult cases. A special thank you goes out to all of them. The Western District of Louisiana is committed to protecting children from exploitation and abuse.”
Ronald Reagan proclaimed May 25, 1983, the first National Missing Children’s Day to remember Etan Patz, a six-year-old boy who disappeared from a New York City street corner on May 25, 1979. Missing Children’s Day honors his memory and the memories of children still missing.
Project Safe Childhood is a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Washington Man Sentenced for Bank RobberyRead the Press Release
WILMINGTON - United States Attorney Thomas G. Walker announced that KEITH EDWARD FRAZIER, 25, of Washington, North Carolina, was sentenced yesterday by Senior United States District Judge James C. Fox to 148 months in prison and 5 years of supervised release for his role in the March 7, 2011, robbery of the First South Bank branch located at 907 East Fire Tower Road in Greenville, North Carolina. FRAZIER and his co-defendant, Kevin Frazier, his brother, entered the bank and committed the robbery, at gunpoint, fleeing on foot with $24,058.00. FRAZIER was also ordered to pay $24,058.00 in restitution.
On October 5, 2012 FRAZIER pled guilty to Armed Bank Robbery, in violation of Title 18, United States Code, Sections 2113(a) and (d), and using or carrying a firearm during and in relation to a crime of violence, or possessing a firearm in furtherance of a crime, in violation of Title 18, United States Code, Section 924(c)(1)(A).
Kevin Frazier was previously sentenced to 130 months in prison and full restitution for his role in the robbery.
Investigation of this case was conducted by the Greenville Police Department. Assistant United States Attorney John Bennett is prosecuting the case.
Virginia Beach Man Convicted of Distributing Synthetic MarijuanaRead the Press Release
NORFOLK, Va. – Robert Charles Beatty, 33, of Virginia Beach, Va., pleaded guilty today to charges in connection with distributing synthetic marijuana at a drug-involved premise.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia and Karl C. Colder, Resident Agent in Charge, Drug Enforcement Administration, made the announcement after the plea was accepted by United States District Judge Arenda Wright Allen.
Beatty faces a maximum penalty of 20 years imprisonment when he is sentenced on September 6, 2013.
In a statement of facts filed with the plea agreement, the investigation began in July 2012 with information that the defendant was distributing synthetic marijuana in Virginia Beach. Surveillance was conducted at the residence of the defendant. Within 72 hours of the execution of a search warrant on August 10, 2012, a confidential informant made a purchase of synthetic marijuana from the defendant at his residence on Garrison Place in Virginia Beach, Virginia. On August 10, 2012, members of the VBPD/Special Investigations executed a search warrant at a residence on Garrison Place, Virginia Beach, Virginia. Located inside the residence was a large quantity of synthetic marijuana inside boxes, processed marijuana, pills, a digital scale, paperwork and paraphernalia. Approximately 61 kilogram of synthetic marijuana was seized under the brand/street names of: spice, G-13, Scooby Snacks, G-20, The Original Cloud 9, Mr. Happy, Atomic, California Dreams, Hypnotic, After Life, Guerrilla Warfare, Grape Ape, Down 2 Earth, Fairly Legal, and others. The defendant, after Miranda warnings, confessed to selling synthetic marijuana and prescription pills. The defendant also confessed that he had conspired to ship and to sell synthetic marijuana and split the proceeds with others. The defendant also admitted he maintained a drug-involved premise to manufacture, distribute, and use various controlled substances.
This case was investigated jointly by Drug Enforcement Administration and the Virginia Beach Police Department. Assistant United States Attorney Kevin M. Comstock is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Upper Marlboro Drug Dealer Exiled to over 15 Years in PrisonRead the Press Release
Greenbelt, Maryland - U.S. District Judge Roger W. Titus sentenced Donald Hunter, a/k/a Pep, age 48, of Upper Marlboro, Maryland, today to 188 months in prison followed by five years of supervised release for conspiracy to distribute phencyclidine (PCP), cocaine base and heroin; and being a felon in possession of a gun. Judge Titus found that Hunter was an armed career criminal based on four previous drug convictions.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief Cathy L. Lanier of the Metropolitan Police Department; and Chief Mark A. Magaw of the Prince George’s County Police Department.
According to his guilty plea, beginning in June 2011, Hunter, Wayne Glymph, Samuel Braxton and other conspirators sold PCP, heroin and crack to drug customers in Prince George's County, Maryland, and in the Washington, D.C. metropolitan area. Hunter and others used Braxton’s apartment and a bowling alley in Temple Hills, Maryland to store and distribute narcotics. Hunter prepared, packaged and delivered the drugs to customers on Braxton’s behalf, and collected drug debts from customers. Hunter was responsible for distributing between one and three kilograms of PCP, between 28 and 112 grams of crack, and between 100 and 400 grams of heroin.
On February 23, 2011, law enforcement executed a search warrant at Hunter’s residence and seized 8.5 grams of heroin, plastic baggies with cocaine residue, assorted drug paraphernalia, and a loaded revolver. Hunter had previously been convicted of a felony and was prohibited from possessing a gun.
Samuel Braxton, a/k/a Fats, age 44, of Temple Hills and Wayne Glymph, age 46, of Fort Washington, Maryland, previously pleaded guilty to their participation in the conspiracy, and were sentenced to 27 years and 10 years in prison, respectively. A total of 10 defendants have pleaded guilty to date to charges arising from the drug conspiracy.
United States Attorney Rod J. Rosenstein commended the DEA, FBI, Metropolitan Police Department and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Christen A. Sproule and Steven E. Swaney, who prosecuted this Organized Crime Drug Enforcement Task Force case.
U.S. Attorney and the President and CEO of the National Crime Prevention Council (NCPC)to Speak at DART’s Information and Health Fair Celebrating Older American’s MonthRead the Press Release
NCPC to Unveil its New Public Education Campaign to Protect Seniors from Crime
DALLAS — U.S. Attorney Sarah R. Saldaña of the Northern District of Texas and Ann M. Harkins, the President and CEO of the National Crime Prevention Council, will speak at an information and health fair for seniors that is being held tomorrow, Thursday, May 16, 2013, from 10:00 a.m. to 1:00 p.m. at Eddie Deen’s Ranch on South Lamar Street in Dallas. This is the 19th year that this free event, sponsored by the Dallas Area Rapid Transit (DART), the Dallas Area Agency on Aging and Eddie Deen’s, is being held.
U.S. Attorney Saldaña said, “Protecting older Americans is a top priority that the Department of Justice advances on multiple fronts. Our goal is to empower older persons, and the communities where they reside, with relevant information and resources to ensure that they can live in safe and healthy environments – something we all deserve. I’m thrilled to participate in this year’s event, and I commend DART, the Dallas Area Agency on Aging, Eddie Deen’s and all our community partners who make this information and health fair such a success.”
Ms. Harkins said, “NCPC is pleased to be a part of this event and to share our new public education campaign about protecting senior citizens from financial fraud and physical or emotional abuse. The last thing on the minds of our seniors should be the worry of losing a lifetime of savings or being abused by those they trust. We each play a pivotal role in preventing crimes against seniors and empowering our older Americans to speak up and speak out against fraud and abuse.”
The theme for this year’s Older American’s Month is “Unleash the Power of Age!’ Since 1963, May has been designated as the month to appreciate and celebrate the vitality and aspirations of older adults and their contributions and achievements. At the event, numerous vendors will provide free information and services and fair participants will enjoy free health screenings, materials, entertainment and refreshments provided by various community partners. WFAA anchor Gloria Campos is the event’s special guest, and Dallas County Sheriff Lupe Valdez will join U.S. Attorney Saldaña and Ms. Harkins as other honored guests.
Two Orange County Men Receive Multi-Year Federal Prison Terms for Orchestrating International Plot That Smuggled Rhino HornsRead the Press Release
LOS ANGELES – A father and son team from Orange County who were described by prosecutors as being “at the apex of the rhino horn smuggling pyramid within the United States” each were sentenced today to spend several years in federal prison for their convictions on federal smuggling and money laundering charges.
Vinh Chuong “Jimmy” Kha, 49, of Garden Grove, was sentenced to 42 months in federal prison for overseeing a U.S.-based operation that prosecutors argued played a direct role in a huge increase in rhinoceros poaching in Africa over the past several year.
Felix Kha, 27, the son of Jimmy Kha, also of Garden Grove, was sentenced to 46 months in federal prison for working with alongside his father in the scheme that generated millions of dollars that provided them with profits, as well as money to purchase more contraband rhino horns and pay bribes to customs officials in at least one other nation.
The Khas and Win Lee were sentenced this afternoon by United States District Judge Christina A. Snyder, who said the Khas engaged in “conduct not acceptable by anyone in the world.” Calling the matter a “serious crime against the environment and wildlife,” Judge Snyder said: “There are portions of Africa where the rhino is gone, and Lord knows if they will ever come back.”
In addition to the prison terms, the Khas were each ordered to pay a $10,000 fine. Additionally, Judge Snyder ordered them to pay a cumulative total of more than $185,000 in tax fraud penalties to the Internal Revenue Service. Both Khas, along with the father’s company, were also ordered to pay a total of $800,000 in restitution to the Multinational Species Conservation Fund, a fund managed by the U.S. Fish and Wildlife Service (FWS) to support international efforts to protect and conserve rhinos and other critically endangered species around the world.
“The Khas’ smuggling operation fueled international demand and played a significant role in driving the price of rhino horn to nearly $25,000 per pound,” said United States Attorney André Birotte Jr. “It was that rising value of rhino horn that encouraged ruthless poachers to scour the South African wilderness in search of profits. The Khas played a role in pushing species like the African black rhino to the brink of extinction, which is why we aggressively prosecuted this case and sought lengthy prison terms.”
A third defendant in the case, Win Lee Corporation, which is owned by Jimmy Kha, was sentenced today to five years of probation and ordered to pay a $100,000 fine after it pleaded guilty to charges of smuggling and wildlife trafficking.
The Khas each pleaded guilty last September to five felony counts – conspiracy, smuggling, wildlife trafficking in violation of the Lacey Act, money laundering and tax evasion. The Khas were among 14 individuals charged with federal crimes as a result of “Operation Crash,” an ongoing FWS-led investigation named for the word used to describe a herd of rhinoceros (see, for example: http://www.fws.gov/home/feature/2012/servicecrashesrhinotrafficking1.html).
“On average, a rhino is slaughtered in Africa every 11 hours to feed the black market for their horns,” said FWS Director Dan Ashe. “Criminals in this country who are cashing in on this illegal trade should know that the United States will hold them accountable for their crimes and do everything possible to protect wild populations of rhinos.”
With no known predators other than humans, rhinoceros are a prehistoric species and one of the largest herbivores on earth. All rhinoceros species are protected under United States and international law, and the black rhinoceros is listed as an endangered species. Despite national and international protection efforts dating back nearly 40 years, the demand for rhino horn and black market prices has skyrocketed in the past several years due to the value that some cultures have placed on the horns for ornamental carvings, good luck charms or alleged medicinal purposes. For several decades, rhino poaching was a relatively isolated event in countries like South Africa, where the number of wild rhinos illegally killed there averaged 15 animals per year – at least until 2008 when the Khas began trafficking rhino horns. At the peak of the Khas’ wildlife trafficking conspiracy in 2011, 448 wild rhinos were slaughtered that year for their horns in South Africa alone. Between 2007 and the end of 2011, the poaching of wild South African rhinos increased 3,400 percent.
In sentencing papers filed in United States District court, prosecutors argued that “although they themselves did not shoot the rhinos, defendants Jimmy and Felix Kha share direct culpability for the recent spike in the price of rhino horn, the increase in Vietnamese and Chinese demand for rhino, and thus the consequent wholesale slaughter of rhinos in the wild in Africa in recent years.”
Over the course of about two years – from January 2010 through February 2012 – the Khas conspired with individuals throughout the United States to purchase white and black rhinoceros horn with the full knowledge that these animals were protected by federal law as endangered and threatened species. The horns acquired by the Khas during the course of their conspiracy had a market value of up to $2.5 million.
In their plea agreements, both defendants admitted that they purchased the horns in order to export them overseas to be sold and made into libation cups or used for traditional medicine, made at least one illegal payment to Vietnamese customs officials to ensure clearance of horn shipments to that country, and evaded income taxes owed in 2009 and 2010.
“The Khas engaged in egregious criminal conduct by taking the horns of a species on the brink of extinction and making millions of dollars in the illegal trade in rhino horns,” said Ignacia S. Moreno, Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. “The Khas’ sentence sends a strong message that those who violate the law by illegally trading in rhino horns will be held accountable to the fullest extent of the law.”
Operation Crash is an investigation being conducted by the U.S. Fish and Wildlife Service, which has received extensive assistance from the U.S. Postal Inspection Service, IRS - Criminal Investigation, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. The case against the Khas was prosecuted by the United States Attorney’s Office for the Central District of California and the Department of Justice’s Environmental Crimes Section.
Release No. 13-070
Two Indicted for Arson and Mail FraudRead the Press Release
Steven Mellides, 51, of Massapequa, New York, and John Fisher, 34, of Mt. Juliet, Tennessee, were indicted by a federal grand jury on May 15, 2013, and were each charged with four counts relating to their participation in the intentional burning of a newly constructed single family house in Mt. Juliet, Tenn., announced David Rivera, Acting U.S. Attorney for the Middle District of Tennessee.
The indictment was unsealed yesterday after both defendants were arrested. The indictment charges each defendant with conspiring to commit, and committing, mail fraud and arson.
“This case illustrates the U.S. Attorney’s Office commitment to prosecuting both violent crime and white collar crime,” said Acting United States Attorney David Rivera. “We will continue working diligently with our local and state partners to bring to justice those who seek to enrich themselves by putting innocent people in harm’s way.”“These arrests indicate the collaborative effort by federal, state and local authorities” said Jeff Fulton, Special Agent in Charge, ATF, Nashville Field Division. “Arson is a a crime of violence that places innocent people’s lives and property in harm’s way.”
According to the indictment, Mellides owned a residence in Mt. Juliet, Tennessee, and had multiple conversations with Fisher and at least one other individual regarding intentionally burning the house. Those conversations culminated with Fisher intentionally setting fire to the house on December 12, 2009. After the house was destroyed by fire, Mellides told State Farm Insurance that he did not know how the fire started and did not ask anyone to set the fire, and caused multiple checks to be mailed from State Farm to pay for the damage to the house.
If convicted, the defendants each face up to twenty years in prison and a $250,000 fine, as well as forfeiture of property derived from or used in violation the offenses charged.
The case was investigated by agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives, the
Bomb and Arson Section of the Tennessee Department of Commerce and Insurance, and the Mt. Juliet Police Department. The United States is represented by Assistant U.S. Attorney Scarlett M. Singleton.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.
Third Sonic Robber SentencedRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court today Chief United States District Judge James C. Dever III, sentenced JAMES LEE WOODARD, 24, of Jacksonville, North Carolina, to 60 months imprisonment followed by three years supervised release.
A Federal Grand Jury returned a Criminal Indictment on August 15, 2012 charging WOODARD. On January 22, 2013, WOODARD pled guilty to conspiring to commit robbery of a business engaged in interstate commerce, in violation of Title 18, United States Code, Section 1951.
According to the investigation, on April 11, 2011, the Sonic Drive-In on Lejeune Boulevard in Jacksonville, North Carolina, was robbed as the night manager and co-defendant, Katie Rivera, and another employee were closing the business for the night. Two masked men entered the business through the back door. The robbers proceeded directly to the employee, assaulted him and forced him to the floor. One suspect told Rivera to place all the money in the backpack. After collecting the money, the robbers fled the business. The investigation revealed that Rivera and WOODARD had been dating and she was aware of the plans to rob the restaurant.
Rivera, 25, of Jacksonville, North Carolina, was charged with conspiring to rob a business engaged in interstate commerce, in October, 2011, in a one-count Criminal Indictment. She pled guilty to that charge on February 21, 2012. At her January 20, 2013, sentencing she received 28 months imprisonment followed by three years supervised release.
The other individual involved in the robbery was Mathew Brian Goodale, 24, also of Jacksonville, North Carolina, who was charged in a two-count Criminal Indictment with robbery of a business engaged in interstate commerce, in June, 2012. On August 22, 2012, Goodale pled guilty and was sentenced on January 28, 2013, to 30 months imprisonment followed by three years supervised release. The Court ordered all the defendants to pay restitution in the amount of $4,200.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jacksonville Police Department. Assistant United States Attorneys Jane J. Jackson prosecuted the case.
The Executive Office for Immigration Review to Open Adelanto Immigration CourtRead the Press Release
FALLS CHURCH, Va. - In order to better serve its stakeholders, including the detainee population, the Executive Office for Immigration Review today announced it will be establishing a full-time presence and opening an immigration court in the Department of Homeland Security contract detention facility in Adelanto, Calif., on May 20, 2013.
Contact information for the new location is as follows:
LOCATION: Adelanto Detention Facility
10250 Rancho Road, Suite 201A
Adelanto, Calif. 92301HOURS OF OPERATION: 7:30 a.m. to 4 p.m. Monday through Friday
TELEPHONE: (760) 246-5404
- EOIR -
The Executive Office for Immigration Review (EOIR) is an agency within the Department of Justice. Under delegated authority from the Attorney General, immigration judges and the Board of Immigration Appeals interpret and adjudicate immigration cases according to United States immigration laws. EOIR’s immigration judges conduct administrative court proceedings in immigration courts located throughout the nation. They determine whether foreign-born individuals—whom the Department of Homeland Security charges with violating immigration law—should be ordered removed from the United States or should be granted relief from removal and be permitted to remain in this country. The Board of Immigration Appeals primarily reviews appeals of decisions by immigration judges. EOIR’s Office of the Chief Administrative Hearing Officer adjudicates immigration-related employment cases. EOIR is committed to ensuring fairness in all of the cases it adjudicates.
Executive Office for Immigration ReviewTennessee Man Indicted on Federal Civil Rights Charge Related to Desecration of Religious ParaphernaliaRead the Press Release
The Justice Department today announced that a federal grand jury in Memphis, Tenn., has returned a one-count indictment charging Justin Shawn Baker, 25, of Jackson, Tenn., with violating the civil rights of students and faculty of the Margolin Hebrew Academy.
The indictment alleges that on or about Jan. 12, 2013, Baker defaced a Torah and religious prayer books which the students and faculty of the Margolin Hebrew Academy were using for a worship service conducted at the Doubletree Hotel in Jackson.
“This kind of vandalism strikes at the heart of religious freedom in this country, and it will not be tolerated,” said Roy L. Austin Jr., Deputy Assistant Attorney General for the Civil Rights Division. “Our nation’s civil rights laws protect all denominations, and those who would strike at the right of peaceful citizens to worship will be held accountable.”
“Freedom to practice one’s religion without prejudice is one of the bedrock principles upon which our nation was founded,” said Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee. “Criminal acts such as those alleged in the indictment represent an attack on the rights that generations of Americans have fought and died to ensure and protect. Our dedicated civil rights unit will continue to protect and defend the rights of our citizens through vigorous enforcement of federal law.”
An indictment is merely an accusation, and the defendant is presumed innocent unless proven guilty. If convicted, the defendant faces a maximum penalty of 1 year in prison.
This case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Larry Laurenzi and Jonathan Skrmetti of the U.S. Attorney’s Office for the Western District of Tennessee and Trial Attorney Douglas Kern of the Civil Rights Division’s Criminal Section.
Ten-Year Sentence in RICO eBay Fraud CaseRead the Press Release
MOBILE, AL-- United States Attorney Kenyen R. Brown announced today that John Robert McGhee, an Atlanta, Georgia area resident, who previously pleaded guilty to a Racketeer Influenced and Corrupt Organization (RICO) conspiracy, in violation of Title 18, United States Code, Section 1962(d), was sentenced today to a term of ten years imprisonment by Chief Judge William Steele.
McGhee, who admitted his involvement in buying and selling stolen items, was initially allowed to remain on conditions of release pending sentencing. His release was revoked after he was arrested by the Georgia Bureau of Investigation (GBI) when found in possession of close to a million dollars of stolen Spanx. Thereafter, McGhee did not receive the benefit of acceptance of responsibility points for his guilty plea in the calculation of his sentencing guideline range nor did he receive consideration for a substantial assistance motion.
The case arose from an investigation by the United States Secret Service, who were assisted by the United States Postal Inspection Service and the Georgia Bureau of Investigation (GBI). The eBayProAct team also assisted the Secret Service. The case is being prosecuted by Assistant United States Attorney Deborah Griffin.
Synthetic Drug Supplier on the RunRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs Specialist
Follow us on Twitter @NDWVnews
CLARKSBURG, WEST VIRGINIA -- JOHN N. SKRUCK, 57, of Clarksburg, has absconded from his court-ordered bond and is now the subject of a nationwide manhunt.
SKRUCK was scheduled to stand trial in United States District Court on Tuesday, May
14, 2013, for Conspiracy to Distribute Schedule I Controlled Substances and Schedule I Controlled Substance analogues, referred to as “bath salts,” distribution and possession with intent to distribute “bath salts” on multiple occasions between September of 2011 and April of 2012, maintaining drug involved premises; money laundering and structuring.United States Attorney William J. Ihlenfeld, II, announced that on Monday, May 13, 2013, it was discovered that SKRUCK had not returned from an approved out of town travel. Federal Magistrate Judge John S. Kaull issued a warrant for SKRUCK’s arrest and SKRUCK’s name was entered into a national fugitive database so that other jurisdictions will know that he is wanted.
Anyone with information about SKRUCK’s whereabouts should call law enforcement officials at 304-623-0486.
It should be noted that the charges contained in the Indictment are merely accusations and not evidence of guilt, and that SKRUCK is presumed innocent until and unless proven guilty.
Photo of JOHN NICHOLAS SKRUCK
Smuggling Ring Sentenced in Los Angeles for Criminal Trafficking of Endangered Rhinoceros HornRead the Press Release
Vinh Chuong “Jimmy” Kha, 50, and Felix Kha 26, were sentenced today in federal district court in Los Angeles to serve 42 and 46 months, respectively, in prison for crimes related to illegal international trafficking of rhinoceros horn, announced Ignacia S. Moreno, Assistant Attorney General for the Environment and Natural Resources Division of the Department of Justice and André Birotte Jr., U.S. Attorney for the Central District of California.
In addition to the prison sentences, the two defendants were ordered to pay a total of $20,000 in criminal fines and pay a $185,000 tax fraud penalty and assessment. In addition, Jimmy Kha’s Win Lee Corporation was ordered to pay a $100,000 fine. Jimmy and Felix Kha, along with Win Lee Corporation, were also ordered to pay a total of $800,000 in restitution to the Multinational Species Conservation Fund, a statutorily created fund that is managed by the U.S. Fish and Wildlife Service (FWS) to support international efforts to protect and conserve rhinos and other critically endangered species around the world. The defendants previously abandoned their portion of interest in $2 million worth of rhino parts and vehicles seized in the investigation.
The Khas are among several individuals charged so far with federal crimes as a result of “Operation Crash,” an ongoing FWS-led investigation of the black market rhino horn trade named for the term used to describe a herd of rhinoceros.
“The Khas engaged in egregious criminal conduct by taking the horns of a species on the brink of extinction and making millions of dollars in the illegal trade in rhino horns,” said Ignacia S. Moreno, Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. “The Khas sentence sends a strong message that those who violate the law by illegally trading in rhino horns will be held accountable to the fullest extent of the law.”
“The Khas’ smuggling operation fueled international demand and played a significant role in driving the price of rhino horn to nearly $25,000 per pound,” said U.S. Attorney Birotte. “It was that rising value of rhino horn that encouraged ruthless poachers to scour the South African wilderness in search of profits. The Khas played a role in pushing species like the African black rhino to the brink of extinction, which is why we aggressively prosecuted this case and sought lengthy prison terms.”
“On average, a rhino is slaughtered in Africa every 11 hours to feed the black market for their horns,” said FWS Director Dan Ashe. “Criminals in this country who are cashing in on this illegal trade should know that the United States will hold them accountable for their crimes and do everything possible to protect wild populations of rhinos.”
On Sept. 14, 2012, the Khas pleaded guilty to charges of conspiracy, smuggling, wildlife trafficking in violation of the Lacey Act, money laundering and tax fraud, and Win Lee Corporation pleaded guilty to smuggling and wildlife trafficking in violation of the Lacey Act. In February 2012, at the time of the arrest of Jimmy and Felix Kha, FWS agents seized rhinoceros mounts and horns, $1 million in cash, approximately $1 million in gold ingots, jewelry, watches and precious stones, a 2009 BMW 759 Li Sedan and a 2008 Toyota Forerunner from the defendants and their co-conspirators. Under the plea agreement, the defendants agreed to the forfeiture of these items, which include nine rhino horns and six rhino feet. Ultimately, prior to sentencing, the defendants formally abandoned all the wildlife and the instrumentalities of the crimes seized from them (such as the vehicles) to the United States. The Khas’ portion of the seized cash and gold, proceeds of their illegal activities, will be used to pay the $800,000 in restitution ordered at sentencing.
Background on RhinosWith no known predators other than humans, rhinoceros are a prehistoric species and one of the largest herbivores on earth. All rhinoceros species are protected under U.S. and international law, and the black rhinoceros is listed as endangered. Despite national and international protection efforts dating back to 1976, the demand for rhino horn and black market prices have skyrocketed in recent years due to the value that some cultures have placed on the horns for ornamental carvings, good luck charms or alleged medicinal purposes. This has led to a decimation of the global rhinoceros population, which has declined by more than 90 percent since 1970. By the peak of the Kha’s wildlife trafficking conspiracy in 2011, 448 wild rhinos had been slaughtered for their horns in South Africa alone. Between 2007 and the end of 2011, the poaching of wild South African rhinos increased a tragic and astonishing 3,400 percent, rising from a low of 13 animals in 2007 to 448 animals in 2011.
The Criminal Conduct
Over the course of at least two years from January 2010, through February 2012, Jimmy and Felix Kha conspired with individuals throughout the United States to purchase white and black rhinoceros horn despite knowing that these animals were protected by federal law as endangered and threatened species. Although Jimmy Kha paid, on average, between $5,000 to $7,000 per pound of rhinoceros horn, the horn acquired by the defendants had a fair market value of at least $1 million to $2.5 million. Under the plea agreement, the defendants admitted that they purchased the horns in order to export them overseas to be sold and made into libation cups or used for traditional medicine; made illegal payments to Vietnamese customs officials to ensure clearance of horn shipments to that country; and knowingly evaded income taxes owed in 2009 and 2010.
U.S. Attorney Birotte and Assistant Attorney General Moreno commended FWS and its partners for their outstanding work on this investigation. Assisting agencies included the U.S. Postal Inspection Service, the Internal Revenue Service Criminal Investigations, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. The case is being prosecuted by Assistant U.S. Attorneys Joseph O. Johns and Dennis Mitchell of the U.S. Attorney’s Office for the Central District of California, and Shennie Patel, a Trial Attorney with the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division.
Sioux Falls Man Guilty of Sex TraffickingRead the Press Release
United States Attorney Brendan V. Johnson announced that Tajahn Clinton, age 35, of Sioux Falls, South Dakota appeared before U.S. District Judge Karen E. Schreier on May 15, 2013, and pursuant to a plea agreement pled guilty to Count 2 of the Fourth Superseding Indictment that charged Clinton with Sex Trafficking by Force, Fraud, or Coercion.
The charge carries a mandatory minimum prison sentence of 15 years and a maximum of life. In the plea agreement, the United States and Clinton agreed to a specific sentence of 402 months. The Court has deferred acceptance of the plea agreement pending the results of the presentence report.
“Those who traffic South Dakota children and young women will find no refuge from law enforcement. We are behind every corner and we will aggressively investigate and prosecute anyone who tries to profit off the sexual exploitation of our most vulnerable citizens,” said U.S. Attorney Johnson.
The investigation was conducted by Homeland Security Investigations, the Federal Bureau of Investigation, the Sioux Falls Police Department, Minnehaha County Sheriff's Office, and the South Dakota Division of Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorneys Kevin Koliner and Jeffrey Clapper.
Sentencing has been scheduled for August 12, 2013. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
Sex Offender Pleads Guilty to Child Porn, Faces at least 15 Years in PrisonRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Grandview, Mo., man who is a registered sex offender pleaded guilty in federal court today to receiving child pornography over the Internet.
Robert E. Shepherd, 40, of Grandview, pleaded guilty before U.S. District Judge Dean Whipple to the charge contained in a Nov. 27, 2012 federal indictment.
Shepherd was on state parole at the time of the federal offense after being convicted on state charges of statutory rape and statutory sodomy in Cass County in 2000 and of statutory sodomy in Clay County in 1999. He absconded from state parole during the federal criminal investigation and was a fugitive from justice for almost four years. Shepherd was arrested at the Mexican border and his parole revoked in December 2011, for which he served a year in state prison before being indicted and taken into federal custody.
Shepherd brought his laptop computer to a computer repair facility in April 2008. Approximately a week later, a technician at the facility discovered at least one image of child pornography on the computer. The technician notified law enforcement officers, who retrieved the computer and obtained a search warrant for Shepherd’s residence. Officers seized additional computers and electronic media at Shepherd’s residence. Two videos of child pornography were discovered on the computers.
Due to his prior convictions of abusive sexual conduct involving a minor, Shepherd is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 40 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Katharine Fincham. It was investigated by the Grandview, Mo., Police Department and the Lee’s Summit, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Sanostee, N.M., Man Pleads Guilty to Federal Aggravated Child Sexual Abuse ChargeRead the Press Release
ALBUQUERQUE – Lorenzo Begay, 49, an enrolled member of the Navajo Nation who resides in Sanostee, N.M., pleaded guilty this afternoon to an aggravated sexual abuse charge. Under the terms of the plea agreement, Begay will be sentenced to five years in federal prison followed by a term of supervised release to be determined by the court. Begay also will be required to register as a sex offender.
Begay was arrested in Jan. 2012, on a criminal complaint alleging that he sexually abused a child under the age of 12 from July 2010 through June 2011, within the boundaries of the Navajo Nation Reservation. Begay subsequently was indicted on that same charge. According to court filings, the investigation into Begay was initiated after law enforcement authorities received a referral from the Navajo Nation Division of Social Services after the child victim disclosed the sexual abuse to a school social worker.
During today’s hearing, Begay entered a guilty plea to a felony information charging him with aggravated sexual abuse and admitted sexually abusing the child victim. Begay was remanded into the custody of the U.S. Marshals Service after entering his guilty plea. He will remain detained pending his sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque and Farmington offices of the FBI and the Shiprock Office of the Navajo Nation Division of Public Safety. The case is being prosecuted by Assistant U.S. Attorney Jacob A. Wishard as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Removed Alien Charged with Violating Immigration LawsRead the Press Release
ERIE, Pa. - A former resident of Oaxaca, Mexico, has been indicted by a federal grand jury in Erie on charges of violating federal immigration laws, United States Attorney David J. Hickton announced today.
The two-count indictment named Rogelio Valencia-Sanchez, 42, as the sole defendant. According to the indictment presented to the court, on or about April 22, 2013, Valencia-Sanchez was found to be unlawfully present within the United States. Valencia-Sanchez had been previously ordered deported and removed from the United States on December 6, 1990 and was removed from the United States on March 29, 2005. The defendant subsequently reentered the United States, and was found to be present in this country without the permission from the Secretary of the Department of Homeland Security. In addition, Valencia-Sanchez also possessed a fraudulent Permanent Resident card.
The law provides for a maximum total sentence of 30 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christine A. Sanner is prosecuting this case on behalf of the government.
The Pennsylvania State Police and the Bureau of Customs and Border Protection 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.
Removed Alien Charged with Illegally Re-entering United StatesRead the Press Release
ERIE, Pa. - A former resident of Chiapas, Mexico has been indicted by a federal grand jury in Erie on a charge of violating federal immigration laws, United States Attorney David J. Hickton announced today.
The one-count indictment named Alejandro Perez-Diaz, 30, as the sole defendant. According to the indictment presented to the court, on or about April 22, 2013, Perez-Diaz was found to be unlawfully present within the United States. Perez-Diaz had been previously ordered deported and removed from the United States on March 18, 2010 and was removed from the United States on August 20, 2012. The defendant subsequently reentered the United States, and was found to be present in this country without the permission of the Secretary of the Department of Homeland Security.
The law provides for a maximum total sentence of 2 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christine A. Sanner is prosecuting this case on behalf of the government.
The Pennsylvania State Police and the Bureau of Customs and Border Protection 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.
Pike County Man Charged with Receiving and Distributing Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 49-year-old Dingmans Ferry resident was indicted Tuesday by a federal grand jury in Scranton for receiving and distributing child pornography.
According to United States Attorney Peter J. Smith, Richard A. Lewis, is charged with using a computer between January and May of 2013, to receive and distribute child pornography.
The indictment of Lewis stems from an investigation by special agents of Homeland Security Investigations and Provincial Police from Ontario, Canada.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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 mandatory minimum penalty under the federal statute is 15 years’ imprisonment. The maximum penalty is 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Petro AmericaRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that five defendants were convicted in federal court today for their roles in a $10.2 million securities fraud and wire fraud conspiracy that victimized thousands of investors across the United States and Canada who bought shares in Petro America Corporation, which was purported to be a profitable company with $284 billion in assets.
“Petro America was a sham company from the beginning, a get-rich-quick scheme that preyed on its investors,” Dickinson said. “Despite the wildly exaggerated claims made by these defendants, Petro stock was worth about as much as a handful of used Kleenex.”
More than 12,000 victims invested in excess of $10.2 million in Petro America. Contrary to the fraudulent representations the defendants made to victim-investors, Petro America had no oil, no realistic prospects for obtaining, transporting or storing large amounts of oil, no significant assets, no revenue and no employees other than the CEO.
Isreal Owen Hawkins, 57, and Martin Roper, 47, both of Kansas City, Kan.; William Miller, 42, of Independence, Mo.; Johnny Heurung, 59, of Saint Paul, Minn.; and Teresa Brown, 55 of Bandera, Texas were found guilty of all 15 counts contained in a June 15, 2011 federal indictment. Hawkins was taken into custody immediately after the verdicts were returned, pending a bond hearing next week when the court will rule on the government’s motion to revoke his bond. The other co-defendants were continued on bond until the sentencing hearing, which has not yet been scheduled.
In addition to the five co-defendants convicted at trial, nine co-defendants have pleaded guilty to their roles in the scheme.
Evidence introduced during the trial indicated that the defendants participated in a conspiracy to commit securities fraud and wire fraud that began Sept. 1, 2008. They promoted Petro America and sold shares to investors, although none of them had ever been licensed to sell securities and despite cease and desist orders from both Missouri and Kansas.
In an attempt to enable Petro to continue selling its stock after the Missouri cease and desist order was issued on Nov. 12, 2008, and to enable the conspirators to continue to profit, Hawkins gifted billions of shares to co-defendants. These secondary sellers agreed to sell the stock and they often returned some of the proceeds as kick-back payments to Hawkins and others. The secondary sellers often represented that they were merely investors selling their own shares; they did not disclose that cease and desist orders had been issued, nor did they disclose that most or all of the shares had been gifted to them. Almost no investor proceeds were being reinvested by Petro; instead, conspirators were spending investor proceeds on personal expenditures.
The defendants used religious language in their pitches and often recruited through churches. Hawkins cultivated relationships with numerous ministers, whom he dubbed the Ministers Alliance. The Ministers Alliance was a group of about 15 ministers (most of whom resided in the Kansas City area) who supported and promoted Petro America. He gave them white fedora hats and millions of Petro shares, which he encouraged them to sell secretly, accepting kick-backs from the proceeds. Members of the Ministers Alliance sold Petro shares to their congregants and others. The Ministers Alliance frequently met at restaurants and participated in weekly conference calls with hundreds of investors in dozens of states.
Roper, a member of the Ministers Alliance, was involved with Petro from its inception. Hawkins gifted a large amount of shares to Roper, who was named in the Missouri cease and desist order; other persons sold shares for Roper and split the proceeds with him. He also continued to sell shares himself. Roper spent $111,296 from his bank account and gave some of the proceeds to Hawkins. In April 2007, Roper bought a Hummer H2 for $20,970 and put on a vanity license plate APETRO2.@
Miller, who was also involved from the beginning, sold Petro stock to at least 43 investors from Aug. 18, 2009, to Nov. 8, 2010, receiving at least $104,375 in proceeds. Miller accepted 50 million shares from Hawkins for bringing his multi-level marketing contacts to Petro.
False Claims
The sale of Petro America stock was accomplished by making innumerable false misrepresentations and omissions to investors. For example, defendants falsely claimed that Petro America was worth $284 billion and Petro America stock was worth $24 per share in order to induce people to invest. There was no basis for those numbers.
Hawkins approved a series of press releases that were materially misleading and failed to disclose material facts related to investing in Petro America.
Heurung and Brown sent e-mails to investors in June 2009, falsely claiming that Petro America had gone public and its stockholders had become millionaires. In reality, Petro America had not been publicly listed on any exchange, nor had it merged with any company that was publicly traded.
Defendants fraudulently attempted to create the appearance that Petro America had tangible assets. This was done by swapping stocks for speculative, unvested, future interests in mining claims (which they called mines), non-producing oil fields, and other so-called assets, in order to falsely claim that Petro presently had tangible assets.
Personal Expenditures
From September 2008 through April 2010, Hawkins received nearly $2 million from Petro investors into accounts he controlled. Hawkins made large withdrawals of investor proceeds for personal expenses whenever he wished. Very little of these funds were reinvested into the company. Instead, Hawkins used investor money to purchase such items as a Chrysler 300, a Hummer H3, a 2004 Mercedes S430, 19 designer suits totaling $10,303 that were purchased on eBay and a $5,700 fur coat. In October 2009, Hawkins attempted to purchase a lakefront house in Kansas City, Kan. The purchase fell through, but Hawkins continued to make monthly rental payments of $3,025, which totaled at least $42,815. In addition, Hawkins paid himself a salary of $595,000 and had a contract that provided a guaranteed bonus of $175,000, a company car and a dining card.
From June 2009 through April 2010, Brown spent at least $542,197 of Petro America investor proceeds on personal expenditures, including a boat, an SUV, travel to Switzerland, Cape Cod, Europe, Panama and elsewhere, several expensive handbags, designer luggage, home design items, more than $81,000 worth of jewelry and the mortgage on a timeshare in Virginia Beach.
Additional Charges
In addition to the criminal conspiracy, Hawkins was convicted of one count of money laundering, two counts of wire fraud, one count of securities fraud and one count of structuring financial transactions in order to evade federal reporting requirements. Brown was also convicted of six counts of wire fraud and one count of securities fraud. Heurung was also convicted of one count of wire fraud. Miller was also convicted of one count of wire fraud and one count of money laundering.
Each of the defendants must forfeit to the government any property derived from the proceeds of the offenses, including money seized from various bank accounts, several vehicles, jewelry and a 13-piece set of Louis Vuitton luggage.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about eight hours over two days before returning the guilty verdicts to U.S. District Judge Brian C. Wimes, ending a trial that began April 17, 2013.
Under federal statutes, each of the defendants is subject to a sentence up to five years in federal prison without parole on the conspiracy count, plus sentences for any additional counts. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
Additional Defendants
In addition to the five co-defendants who were convicted today, nine co-defendants have pleaded guilty to their roles in the criminal conspiracy.
The Rev. Edward D. Halliburton, 58, of Kansas City, Kan., pleaded guilty to his role in the conspiracy. He received nearly $400,000 from the sale of Petro stock. Halliburton, who has been a pastor for more than 20 years, was the president of the Ministers Alliance. He sold millions of shares to investors. He represented that he was selling his own shares, when in reality most of the shares had been gifted to him for that purpose as an attempt to work around the cease and desist orders. He failed to disclose to investors that he was not licensed to sell stock. From October 2009 to October 2010, Halliburton sold at least $369,605 in Petro America stock to more than 100 investors in the United States and Canada. Halliburton paid approximately $50,000 in kick-backs to co-conspirators from the proceeds of those sales.
Joseph Harrell, 51, of Waco, Texas, who acted as the CFO of Petro America, pleaded guilty to his role in the conspiracy. He received nearly $400,000 from the sale of Petro stock. Harrell, a minister, was also associated with the Ministers Alliance. He sold millions of shares to investors. He represented that he was selling his own shares, when in reality most of the shares had been gifted to him for that purpose as an attempt to work around the cease and desist orders. He failed to disclose to investors that he was not licensed to sell stock. Harrell sold stock to at least 90 investors, depositing $385,460 into his bank account. Harrell tried to protect his newly-acquired assets by placing them in LLCs. He drove nice cars and was living significantly better than prior to his involvement in Petro. He bought World Series tickets, for example, and rented cars for $423 per week. He frequently used Petro money to pay for meals at expensive restaurants for himself and others. During this time, Harrell was receiving an income-dependant Social Security disability benefit. Until at least May 2010, Harrell was receiving food stamp benefits. Acting as CFO of Petro, Harrell wrote checks for purported Petro expenditures that he knew were not legitimate business expenses.
Russell Hopkins, 49, of Tuscaloosa, Ala., pleaded guilty to his role in the conspiracy. Hopkins promoted Petro America and sold shares to investors, despite cease and desist orders from both Missouri and Kansas, although he was never licensed to sell securities. From June 2009 through February 2011, Hopkins made at least $673,465 from the sale of Petro stock to at least 61 investors throughout the United States.
Allen Collins, 56, of Raymore, Mo., pleaded guilty to his role in the conspiracy. Collins promoted Petro America and sold shares to investors, despite cease and desist orders from both Missouri and Kansas, although he was never licensed to sell securities. From September 2009 through October 2010, Collins made at least $172,774 from the sale of Petro stock to at least 57 investors throughout the United States, in addition to $13,300 that he received from Petro for consulting fees and other payments. Collins, a retired welder, was part of the Minister’s Alliance.
Teresa Hill, 56, of Kansas City, pleaded guilty to her role in the conspiracy. Hill was a team leader who began recruiting investors for Petro America in 2008, although she has never been licensed to sell securities. Initially, team leaders like Hill would hold their own small meetings with the shareholders they brought in. In September 2008, conspirators began holding weekly meetings for all shareholders.
Charles Hooker, 50, of Kansas City, pleaded guilty to his role in the conspiracy. Hooker was a team leader who recruited investors and sold shares of stock for Petro America. Hooker knew the Petro stock shares were not registered when he started selling them. Hooker has never been licensed to sell securities and did not check with the state of Missouri or with the Securities and Exchange Commission (SEC) to determine whether the company was registered, or whether it was legal for them to sell shares. After Hooker found out about the Missouri cease and desist order, he never contacted state regulators or an attorney to find out if it was legal to sell the shares. Hooker’s friends and family agreed to invest in Petro. Hooker’s plea agreement also refers to an investor in Beverly Hills, Calif., whom he persuaded to invest $150,000 in Petro America. Hooker, a minister, attended meetings of the Minister’s Alliance. Hooker did not purchase shares of Petro, but was gifted 80 to 90 million shares for bringing in investors. Hooker sold those shares for $100 for 100,000 shares. By April 2010, Hooker had sold all his shares and began selling shares that had been gifted to co-defendant Teresa Hill. The proceeds that weren’t spent were kept at the house, not in a bank. Hooker did not use a bank account and dealt mainly in cash.
Hooker and Hill sold their shares together in concert. A total of $67,258 in cash went into Hill’s accounts in 2007 and 2008. After that period, Hooker received at least $25,000 from the sale of Petro shares in concert with co-defendant Halliburton. The minimum loss attributable to Hooker and Hill’s conduct is $77,000, and the maximum is $144,258.
Brian Langenbach, 44, of Globe, pleaded guilty to his role in the conspiracy. Langenbach was not licensed to sell securities. He was self-employed as a cattle rancher during this time and he has not filed a federal tax return since 2003. Langenbach admitted that he sold Petro America stock to at least 180 investors, receiving at least $400,000 in proceeds, from Aug. 20, 2009, to March 2, 2010.
Curtis White, 57, of Independence, Mo., pleaded guilty to his role in the conspiracy. White was a minister in Grandview, Mo., when he became involved with Petro in September 2008. He was part of the Ministers Alliance. White received free shares of Petro stock and was told he would receive unlimited replacement shares as he sold his shares. From at least April 1, 2010, to Nov. 15, 2010, White sold almost 40 million shares of purported Petro stock to at least 156 investors. Most of these investors were not affluent. He sold his shares for $100 for 100,000 shares. Most paid for the stock in cash, and therefore the total amount of money that White made from Petro America is not clear. But his bank records show that White received at least $75,300 from his involvement in Petro.
Clarence D. Moore, 64, of Atlanta, Ga., pleaded guilty to his role in the conspiracy. Moore admitted that he lied to investors about his credentials as a Certified Public Accountant. Moore does not have a college degree, he has never been a Certified Public Accountant, and he is not a licensed tax preparer. In February 2010, however, Moore began doing accounting work on behalf of Petro America. He signed false documents related to Petro’s supposed assets, and other documents were signed on his behalf. These included investor “lulling letters” and false tax returns, which were designed to make investors believe that Petro’s supposed billions of dollars’ worth of assets had been verified by a professional C.P.A. Moore also signed an additional letter containing false representations about his credentials. In exchange, he received payments of at least $3,500. Moore was supposed to receive an additional $5,000 retainer, but never did.In January 2010, Moore was asked to help determine a valuation for Petro America’s assets and stock. Over the phone and without examining any documents or conducting any due diligence, Moore agreed on a figure of $24 per share. A letter was then circulated under Moore’s signature that indicated Petro had been valued by Moore, whom the letter falsely represented was a C.P.A., at $284 billion and $24 per share. In an introduction to the letter, on Petro America letterhead, Moore was described as a 1976 graduate of Atlanta College, a licensed C.P.A. in the state of Georgia, and “the first African-American accountant for Gulf Oil and also a former auditor for Exxon.” This letter was used to induce numerous investors to purchase purported stock in Petro America.
In actuality, Moore is not and has never been a C.P.A. Moore dropped out of Clark College after one semester following an incident where he was shot in the back of the head. Moore has had balance and equilibrium problems since that time. Recently, he has been homeless. Moore has spent time in prison or jail in each of the last three decades primarily for criminal forgery and fraud. He worked briefly as an accounting clerk for Gulf Oil in the 1970s. In 1972, he worked for Exxon, where he examined receipts from cash registers at service stations.
In the spring of 2010, Moore drove from Atlanta to Kansas City, Mo., to prepare tax returns for Petro America. Although the filing system was “atrocious” and the returns contained false, incomplete, and misleading information, Moore nevertheless signed the returns and filed them with the IRS. The returns contained unsupported, sky-high valuations for Petro.
Web Site Support For Fraud Victims
Two Web sites have been established to collect information from the victims of the alleged securities fraud scheme and to provide information about the status of the case. Investors of Petro America are encouraged to provide information via an online form at www.postalinspectorsurvey.com/PetroAmerica. Due to the volume of expected responses, this process has been automated and placed online; all communication from potential victims regarding the case should be made via this Web site. Updates about the status of the case will be posted at www.justice.gov/usao/mow/divisions/petro.htm
This case is being prosecuted by Assistant U.S. Attorneys Daniel M. Nelson and Kathleen D. Mahoney. It was investigated by IRS-Criminal Investigation, the U.S. Postal Inspection Service and the Office of the Missouri Securities Commissioner.
Pennsylvania Man Sentenced for Scheme to Steal Funds Intended for Wife's DialysisRead the Press Release
PHILADELPHIA - Darwin D. Dieter, 53, of Kempton, PA, was sentenced late yesterday to 18 months in prison and was ordered to pay $532,333.51 restitution in connection with his thefts from a health care benefit program, the dialysis treatment center where his wife was receiving dialysis treatments. Dieter, a former employee of a direct mail company located in Hamburg, PA, stole checks that his insurance company issued between December 2010 and March 2011, for payment of his wife's dialysis treatments. Instead of paying for the dialysis treatments, Dieter kept and laundered the proceeds of the checks. Dieter pleaded guilty on January 28, 2013 to nine counts of theft from health care benefit programs, and three counts of money laundering.
In addition to the prison term and restitution, U.S. District Court Judge James Knoll Gardner ordered three years of supervised release, the first six months of which must be served on home confinement. Dieter must also pay a $1,200 special assessment and must forfeit his interest in two properties.
The case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Mary E. Crawley.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Pennsylvania Inmate Sentenced to Life in Prison for Violent Murder of Fellow InmateRead the Press Release
A federal inmate was sentenced today to life in prison for the violent murder of a fellow inmate in Pennsylvania’s Allenwood Correctional Complex, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney for the Middle District of Pennsylvania Peter J. Smith.
Ritz D. Williams Jr., 32, of Gila River Indian Reservation, Sacaton, Ariz., pleaded guilty to one count of first degree murder and possession of a weapon on April 15, 2013. U.S. District Court Judge Yvette Kane sentenced Williams to life without the possibility of parole on May 15, 2013, for his role in the murder of fellow inmate Alvin Allery.
Williams and his co-conspirator Shawn Cooya were indicted by a federal grand jury in February 2008 and a superseding indictment was returned in July 2009.
According to court documents, Williams and Cooya aided each other in the premeditated murder of Allery. On Sept. 28, 2005, Williams and Cooya stabbed Allery 10 times with a homemade knife and repeatedly kicked him in the head and torso, which resulted in Allery’s death.
On Jan. 8, 2013, Cooya pleaded guilty to one count of first degree murder and was sentenced to serve life in prison on March 18, 2013.
The case was investigated by the Bureau of Prisons and the FBI. The case was prosecuted by Assistant U.S. Attorneys Wayne P. Samuelson and Michelle Olshefski of the Middle District of Pennsylvania, Trial Attorneys Julie B. Mosley and Mike Warbel of the Criminal Division’s Capital Case Unit, and Assistant U.S. Attorney C.J. Williams of the Northern District of Iowa and formerly with the Capital Case Unit.
Pennslyvania Inmate Sentenced to Life in Prison <br /> for Violent Murder of Fellow InmateRead the Press Release
A federal inmate was sentenced today to life in prison for the violent murder of a fellow inmate in Pennsylvania’s Allenwood Correctional Complex, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney for the Middle District of Pennsylvania Peter J. Smith.
Ritz D. Williams Jr., 32, of Gila River Indian Reservation, Sacaton, Ariz., pleaded guilty to one count of first degree murder and possession of a weapon on April 15, 2013. U.S. District Court Judge Yvette Kane sentenced Williams to life without the possibility of parole on May 15, 2013, for his role in the murder of fellow inmate Alvin Allery.
Williams and his co-conspirator Shawn Cooya were indicted by a federal grand jury in February 2008 and a superseding indictment was returned in July 2009.
According to court documents, Williams and Cooya aided each other in the premeditated murder of Allery. On Sept. 28, 2005, Williams and Cooya stabbed Allery 10 times with a homemade knife and repeatedly kicked him in the head and torso, which resulted in Allery’s death.
On Jan. 8, 2013, Cooya pleaded guilty to one count of first degree murder and was sentenced to serve life in prison on March 18, 2013.
The case was investigated by the Bureau of Prisons and the FBI. The case was prosecuted by Assistant U.S. Attorneys Wayne P. Samuelson and Michelle Olshefski of the Middle District of Pennsylvania, Trial Attorneys Julie B. Mosley and Mike Warbel of the Criminal Division’s Capital Case Unit, and Assistant U.S. Attorney C.J. Williams of the Northern District of Iowa and formerly with the Capital Case Unit.
Pedro Fernandez-garcia Sentenced for Illegal ReentryRead the Press Release
PEDRO FERNANDEZ-GARCIA, age 40, a citizen of Mexico, was sentenced today in federal court by U. S. District Judge Sarah S. Vance, announced U. S. Attorney Dana Boente. FERNANDEZ was sentenced to six months imprisonment. In addition to the term of imprisonment, Judge Vance ordered that FERNANDEZ be placed on three years 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 February 5, 2013, FERNANDEZ pled guilty to a one-count indictment admitting he was an alien who was previously removed and was knowingly and unlawfully found in the United States, in Jefferson Parish, Louisiana on December 5, 2012, 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. FERNANDEZ’s sentence was subject to enhancement based on a previous felony conviction.
This case was investigated by United States Immigration and Customs Enforcement, Enforcement and Removal Operations. The case was prosecuted by Special Assistant United States Attorney Robert Weir.
New Orleans Man, Lam Nguyen, Sentenced for Theft of Government FundsRead the Press Release
LAM NGUYEN, age 40, a resident of New Orleans, was sentenced today in federal court by U. S. District Judge Stanwood R. Duval, Jr., to four years probation for theft of government funds, announced U. S. Attorney Dana J. Boente. NGUYEN was also ordered to pay restitution in the amount of $47,808 to the Social Security Administration.
According to court documents, NGUYEN’s mother was receiving social security benefits before her death. When she died, these benefits should have terminated. However, NGUYEN continued to receive the benefit checks, which were sent to his residence. NGUYEN deposited the checks into his bank account. NGUYEN converted these funds to his personal use knowing that he was not entitled to receive those benefits.
The case was investigated by the United States Social Security Administration- Office of Inspector General, and prosecuted by Assistant United States Attorney Loan “Mimi” Nguyen.
Mortgage Agent Pleads Guilty to Mortgage Fraud ConspiracyRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces that Alexander Ende (35, Boynton Beach) yesterday pleaded guilty to conspiracy to commit bank fraud and mail fraud, and wire fraud affecting a financial institution. Ende faces a maximum penalty of 30 years in federal prison for his involvement in this mortgage fraud conspiracy.
According to the plea agreement, during the time frame of the conspiracy, Ende was a licensed mortgage agent working as a loan officer and branch manager for Apex Mortgage. His day-to-day responsibilities at Apex Mortgage included meeting with and pre-qualifying clients for mortgage loans. In or about late September 2006, Ende and two other individuals decided to purchase three condominium units at The Arbors at Carrollwood (“The Arbors”), a 390-unit condominium complex located at 3939 Ehrlich Road, in Tampa, Florida. Ende, in his role as a mortgage agent, assisted one of his co-conspirators with putting together three loan applications to secure mortgage loans for the purchases. Included in the loan applications, were various material misrepresentations made by Ende to ensure that the co-conspirator qualified for the mortgage loans. These material representations included false employment information, that the borrower intended to occupy all three condos as a primary residence, and the omission of other real estate owned by the borrower. Ende also failed to disclose to the mortgage lenders that the developer of The Arbors was providing tens of thousands of dollars in cash-back incentives to entice the purchase of these condo units.
In reliance on the materially false representations and omissions in the loan applications and the HUD-1 Settlement Statements, the mortgage lenders collectively loaned Ende’s co-conspirator $764,550.00 to purchase the three condo units, all of which have now fallen into foreclosure.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Simon Gaugush.
Montgomery County Man Faces Federal Indictment for Attempted Sex Trafficking and Interstate Transportation for ProstitutionRead the Press Release
Greenbelt, Maryland – A federal grand jury today returned an indictment charging Jean Claude Roy, a/k/a “Dredd the Don,” and “Dreddy,” age 30, of Germantown, Maryland, with attempted sex trafficking by force, fraud and coercion; and interstate transportation for prostitution.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Deputy Assistant Attorney General for the Department of Justice Civil Rights Division Roy L. Austin, Jr.; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief J. Thomas Manger of the Montgomery County Police Department.
“Protecting our communities from those who engage in human trafficking is a top priority for ICE Homeland Security Investigations,” said William Winter, special agent in charge of HSI Baltimore. "As a member of the Maryland Human Trafficking Task Force, HSI is committed to working with our law enforcement partners to investigate human trafficking, as well as working with our local non-governmental, community-based and faith-based organizations to identify, rescue and assist victims of trafficking.”
According to the six-count indictment, between December 9 and December 25, 2012, Roy attempted to force three individuals to engage in commercial sex acts, from which Roy benefitted financially. Further, the indictment alleges that Roy transported the three individuals across state lines to engage in prostitution and sexual activity.
Roy faces a minimum mandatory sentence of 15 years in prison and a maximum of life in prison for each of three counts on sex trafficking; and a maximum of 10 years in prison for each of three counts of interstate transportation for prostitution. An initial appearance has not yet been scheduled in U.S. District Court in Greenbelt. Roy is currently in state custody on related charges.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was investigated by the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit www.justice.gov/usao/md/Human‑Trafficking/index.html.
Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Rod J. Rosenstein commended HSI Baltimore and the Montgomery County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Kristi N. O’Malley, and Trial Attorney William E. Nolan of the U.S. Department of Justice Civil Rights Division's Human Trafficking Prosecution Unit, who are prosecuting the case.
Mississippi Corporation Pleads Guilty and Agrees to $ 1 Million Fine for Illegally Filling Protected WetlandsRead the Press Release
Mississippi-based Hancock County Land LLC (HCL) pleaded guilty today to the unpermitted filling of wetlands near Bay St. Louis, Miss., and agreed to pay a $1 million fine and take remedial measures for two felony violations of the Clean Water Act, announced Assistant Attorney General Ignacia S. Moreno of the Justice Department’s Environment and Natural Resources Division and U.S. Attorney for the Southern District of Mississippi Gregory K. Davis. HCL admitted causing the unauthorized excavation and filling of wetlands on a 1,710 acre parcel of undeveloped property in Hancock County, west of the intersection of Route 603 and Interstate 10.
According to the charges filed in federal court in Jackson, Miss., when HCL purchased the property, it had been informed by a wetland expert that as much as 80 percent of its land was federally protected wetland connected by streams and bayous to the Gulf of Mexico and, therefore, that the property could not be developed without a permit from the U.S. Army Corps of Engineers. Such permits typically require that developers protect and preserve other wetlands to compensate for those they are permitted to fill and destroy.
The charges allege that in spite of additional notice of the prohibition against filling and draining wetlands without authorization, HCL, principally through its minority owner /general contractor, hired an excavation contractor to trench, drain and fill large portions of the property to lower the water table and thus to destroy the wetland that would otherwise have been an impediment to commercial development. In pleading guilty, HCL admitted that it knowingly ditched, drained and filled wetlands at multiple locations on the Hancock County property without having obtained a permit from the Army Corps of Engineers as required under the Clean Water Act.
It is a felony under the Clean Water Act for any person knowingly to discharge pollutants into waters of the United States, including wetlands, without a permit. A corporation convicted of this offense is subject to a penalty of not more than $500,000 per count.HCL agreed and was ordered to pay to the federal government a total penalty of $1 million ($500,000 for each of the two counts). HCL also agreed and was ordered by the court to restore and preserve the damaged wetlands as provided in separate agreements HCL reached with the U.S. Environmental Protection Agency (EPA) and a citizen group, the Gulf Restoration Network. The agreements require HCL to re-grade and then re-plant, with appropriate native vegetation, the wetland area it excavated and filled and donate approximately 272 acres of the southwest quadrant of its property to the Land Trust for the Mississippi Coastal Plain to be preserved in perpetuity. HCL is also required to fund its management and maintenance, to pay $100,000 toward the litigation costs of the Gulf Restoration Network, and to pay a civil penalty to the U.S. Treasury of $95,000.
HCL entered its plea before senior U.S. District Judge Walter J. Gex III."The defendant deliberately destroyed wetlands that are protected by the law," said Maureen O'Mara, Special Agent in Charge of EPA's criminal enforcement program in Mississippi. "This is a great example of local, state, and federal agencies working together to hold companies accountable for putting profit above the requirements of the law."
U.S. Attorney Davis praised the efforts of the EPA’s Office of Criminal Investigation for its diligent work in the investigation of this matter. Senior Trial Attorney Jeremy F. Korzenik of the Justice Department’s Environmental Crimes Section of the Environment and Natural Resources Division, and Assistant U.S. Attorney Gaines Cleveland are the prosecutors in charge of the case.
Real estate developer and HCL minority owner, William R. Miller, was charged in November 2012 with Clean Water Act violations related to the same unauthorized excavation and filling of wetlands near Bay St. Louis. That case is expected to be scheduled for trial over the next few months.
Members of Miami-Based Crack Cocaine Distribution Organization Sentenced from Three Years to Life in PrisonRead the Press Release
Fort Myers, Florida - U.S. District Judge John E. Steele has sentenced the following individuals to federal prison for their participation in a conspiracy to manufacture, possess with intent to distribute and distribution of cocaine base, also known as “crack cocaine.
Jude Sereme (29, Miami) Life Imprisonment 24 years, four months’ imprisonment Rick Jean (25, Miami) 20 years’ imprisonment Wilmane Jean (22, Miami) 10 years’ imprisonment Jophaney Hyppolite (28, Miami) Life Imprisonment Eric Bonita (25, Miami) Life Imprisonment Rashid Francois (26, Miami) 20 years’ imprisonment Jennifer Sander (30, Fort Myers) 10 years, ten months’ imprisonment Michael Dupin (29, Miami) 3 years, 10 months’ imprisonmentJude Sereme, Neheme Ductant, Rick Jean, Wilmane Jean, Jophaney Hyppolite, and Eric Bonita were found guilty following a three week trial that ended on October 5, 2012. Rashid Francois, Jennifer Sander and Michael Dupin pleaded guilty.
According to court documents, between July 2010 and October 2011, the above individuals operated as a drug trafficking organization (“DTO”), between Miami and Fort Myers. The DTO distributed crack cocaine in the North Fort Myers and South Fort Myers area.
This investigation was the result of a comprehensive and dedicated effort by the Cape Coral Police Department, Collier County Sheriff's Office, Drug Enforcement Administration, Federal Bureau of Investigation, Florida Department of Law Enforcement, Lee County Sheriff's Office and the Miami Police Department. The case was prosecuted by Assistant United States Attorney Jesus M. Casas.
Matthew Thomas Morledge 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 15, 2013, before Chief U.S. District Judge Dana L. Christensen, MATTHEW THOMAS MORLEDGE, a 31-year-old resident of Billings, was sentenced to a term of:
Prison: 24 months, consecutive to revocation sentence
Special Assessment: $100
Supervised Release: 3 years
MORLEDGE was sentenced in connection with his guilty plea to possession with the intent to distribute methamphetamine.
In an Offer of Proof filed by Assistant U.S. Attorneys Brendan M. McCarthy and Jessica T. Fehr, the government stated it would have proved at trial the following:
On August 27, 2012, a Montana Highway Patrol trooper stopped MORLEDGE for speeding in a construction zone in Gallatin County. The trooper asked MORLEDGE to exit the vehicle and as he did so, MORLEDGE reached with his right hand under his folded down center arm rest and either retrieved or concealed something. As he stood up, he worked his hand around his waist band. The trooper asked if MORLEDGE had weapons, and he denied it. The trooper asked for MORLEDGE to lift his shirt so he could observe his waistband. There was part of a plastic baggie protruding above the waistline of MORLEDGE's underwear below his navel. The trooper asked about the bag and MORLEDGE denied there was a bag. As the trooper patted MORLEDGE down for weapons, he felt large amounts of cash in his pockets. MORLEDGE said it was about $5,000, then said the amount was closer to $6,000. MORLEDGE admitted he was on federal probation for possession of explosives.
MORLEDGE was convicted in 2005 and re-sentenced in 2007 for distribution of methamphetamine and possession of a pipe bomb in two separate cases in Federal District Court in Billings. MORLEDGE was re-sentenced to 97 months in prison and was released to supervision on March 12, 2012.
A search of MORLEDGE's person and vehicle was authorized by his probation officer. During that search a baggie containing a white crystal substance that MORLEDGE admitted was "dope" was found in MORLEDGE's pants. Also found was the baggie full of suspected cutting agent and $7,530 in cash in MORLEDGE's shorts.
Testing of the narcotics found in MORLEDGE's shorts found that the 9.3 grams of suspected methamphetamine were in fact 88.4% pure methamphetamine, for a total of 8.2 grams of pure methamphetamine.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that MORLEDGE will likely serve all of the time imposed by the court. In the federal system, MORLEDGE 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 a cooperative effort between the Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Luzerne County Man Charged with Jewelry Store Robberies, Bank Robbery and Insurance FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Kirk Robinson, age 45, of Wilkes-Barre, Pennsylvania, was charged by a federal grand jury in Scranton Tuesday, with allegedly being involved in two Luzerne County jewelry store robberies, a bank robbery, as well as, an insurance fraud scheme.
According to United States Attorney Peter J. Smith, Robinson allegedly conspired with others to carry firearms in connection with the robbery of Steve Hydock Diamonds Jewelry store, Kingston, Pennsylvania, on May 5, 2008 and Dunay Jewelry store, Wilkes-Barre, Pennsylvania, on May 14, 2008. He was also charged with the involvement in an armed $17,000 bank robbery of the M&T Bank, Hanover Township, occurring on October 30, 2010. The indictment alleges that Robinson acted as a planner and getaway driver in those robberies. Additionally, the Grand Jury charged Robinson with a mail fraud scheme involving a fake jewelry robbery staged to fraudulently obtain $43,000 from an insurance company in 2009.
The case was investigated by the FBI, and the Kingston, Hanover Township and Wilkes-Barre Police Departments. Prosecution has been assigned to Assistant United States Attorney John C. Gurganus.Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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 life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Last of Nine Defendants Charged with Participation in Anthony, N.M., Drug Trafficking Ring SentencedRead the Press Release
ALBUQUERQUE – In Jan. 2012, the owners and operators of a pecan farm in Anthony, N.M., their two sons and four others were arrested on a 24-count indictment alleging federal drug trafficking and money laundering offenses. A ninth defendant, who was separately charged, also was arrested. By Aug. 2012, all nine defendants had pleaded guilty either to drug trafficking or money laundering charges, or both. Today, the case concluded with the sentencing of Sandra L. Portillo.
The successful conclusion of these cases was announced by U.S. Attorney Kenneth J. Gonzales, Joseph M. Arabit, Special Agent in Charge of the El Paso Division of the DEA, Carol K.O. Lee, Special Agent in Charge of the Albuquerque Division of the FBI, and Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of IRS Criminal Investigation.
The individuals charged in the indictment included Oscar L. Portillo, Sr., 55, and his wife Sandra L. Portillo, 52, who were part owners and operators of “Pettit Farms and Nursery,” a pecan farm and nursery in Anthony (the pecan farm), and their sons, Matthew Portillo, 27, and Oscar Portillo, Jr., 30. Also charged were Cesar Ramos, 33, Fernando A. Ramos, 41, and Ruben Ortiz-Rivera, 48, of El Paso, Tex., and Natasha N. Coronado, 24, of Vinton, Tex. April Garcia, 37, a codes enforcement officer employed by the Horizon City (Texas) Police Department, was charged with money laundering in a criminal complaint.
Count 1 of the indictment charged all eight defendants with conspiracy to distribute cocaine and heroin. Count 2 charged certain defendants with maintaining a place for storing and distributing drugs. Counts 3, 5, 9 and 21 charged certain defendants with distributing cocaine and aiding and abetting the distribution of cocaine. Count 11 charged certain defendants with conspiracy to launder money and Counts 4, 6, 7, 8, 10, 12, 13, 14, 16, 22 and 23 charged certain defendants with money laundering. Count 15 charged certain defendants with distribution of heroin. Counts 17, 18, 19 and 20 charged certain defendants with using communication devises to further the commission of drug trafficking crimes. Count 24 charged certain defendants with possession of cocaine with intent to distribute.
During their respective plea hearings, the defendants admitted conspiring to distribute cocaine and heroin in Dona Ana County, N.M., between Sept. 2011 and Jan. 2012. Oscar L. Portillo, Sr., and Sandra L. Portillo used the pecan farm as a place to store and sell drugs, and the Portillos and their sons sold drugs to an undercover agent on five separate occasions. The Portillos laundered the proceeds from some of these drug deals by (i) asking the undercover agent pay for the drugs with money orders which they subsequently cashed and deposited into bank accounts in the name of the pecan farm, and (ii) providing the agent with invoices that falsely asserted that the agent purchased pecan trees. Cesar Ramos and Fernando Ramos and their subordinate, Ruben Ortiz-Rivera, were the sources of drug supply for the Portillo family.
Oscar L. Portillo, Sr., was charged in Counts 1 through 16, and 21 through 24 of the indictment. Portillo pleaded guilty to each of these counts in Aug. 2012, and was sentenced to 98 months in prison followed by four years of supervised release on May 8, 2013.
Sandra L. Portillo was charged in Counts 1, 2, 10 through 14, and 18 of the indictment. Portillo pled guilty to each of these counts in Aug. 2012. Earlier today, Portillo was sentenced to 15 months in prison followed by three years of supervised release.
Oscar L. Portillo, Sr. and Sandra L. Portillo also were ordered to forfeit $135,735.64, the value of their ownership interest in the pecan farm which was sold after they were arrested. The court also entered a money judgment in the amount of $17,900.00 against the Portillos and their son Matthew Portillo.
Matthew Portillo was charged in Counts 1, 3, 4, 5, 6, 17, 18, 20 and 24 of the indictment. Portillo pled guilty to each of these counts in Aug. 2012, and was sentenced on May 8, 2013, to five years in prison followed by four years of supervised release.
Oscar Portillo, Jr., was charged in Counts 1, 17, 22 and 23 of the indictment. In May 2012, Portillo pleaded guilty to Count 23 of the indictment, and on Sept. 26, 2012, he was sentenced to 15 months in prison followed by three years of supervised release.
Cesar Ramos was charged in Counts 1, 3, 15, 16, 19, 21, 22 and 23 of the indictment. In Aug. 2012, Cesar Ramos pleaded guilty to each of these counts, and on March 26, 2013, he was sentenced to ten years in prison. Ramos is a Mexican national and he will be deported after he completes his prison sentence.
Fernando Ramos was charged in Count 1 of the indictment. In Aug. 2012, Ramos pleaded guilty to that count, and on Jan. 30, 2013, he was sentenced to 30 months in prison followed by three years of supervised release.
Natasha N. Coronado was charged in Counts 1 and 20 of the indictment. In May 2012, Coronado pled guilty to those two counts, and on Aug. 24, 2012, she was sentenced to time served (212 days) followed by three years of supervised release.
Ruben Ortiz-Rivera was charged in Counts 1 and 19 of the indictment. In May 2012, Ortiz-Rivera pled guilty to those two counts, and on April 17, 2013, he was sentenced to 15 months in prison. Ortiz-Rivera is a Mexican national and he will be deported after he completes his prison sentence.
In May 2012, April Garcia pleaded guilty to a felony information charging her with conspiracy to launder money. On Feb. 12, 2013, Garcia was sentenced to a one-year term of probation.
The cases were prosecuted by Assistant U.S. Attorneys Renee L. Camacho and Sarah M. Davenport, and were investigated by DEA, IRS Criminal Investigation and FBI, with support from the Bureau of Alcohol, Tobacco, Firearms & Explosives, the New Mexico State Police, the Las Cruces Police Department, the El Paso County Sheriff’s Office, and the Las Cruces Metro Narcotics Task Force. These cases were the result of a multi-agency investigation brought under the Organized Crime Drug Enforcement Task Force (OCDETF) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.Last of Nine Defendants Charged with Participation in Anthony, N.M., Drug Trafficking Ring SentencedRead the Press Release
ALBUQUERQUE – In Jan. 2012, the owners and operators of a pecan farm in Anthony, N.M., their two sons and four others were arrested on a 24-count indictment alleging federal drug trafficking and money laundering offenses. A ninth defendant, who was separately charged, also was arrested. By Aug. 2012, all nine defendants had pleaded guilty either to drug trafficking or money laundering charges, or both. Today, the case concluded with the sentencing of Sandra L. Portillo.
The successful conclusion of these cases was announced by U.S. Attorney Kenneth J. Gonzales, Joseph M. Arabit, Special Agent in Charge of the El Paso Division of the DEA, Carol K.O. Lee, Special Agent in Charge of the Albuquerque Division of the FBI, and Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of IRS Criminal Investigation.
The individuals charged in the indictment included Oscar L. Portillo, Sr., 55, and his wife Sandra L. Portillo, 52, who were part owners and operators of “Pettit Farms and Nursery,” a pecan farm and nursery in Anthony (the pecan farm), and their sons, Matthew Portillo, 27, and Oscar Portillo, Jr., 30. Also charged were Cesar Ramos, 33, Fernando A. Ramos, 41, and Ruben Ortiz-Rivera, 48, of El Paso, Tex., and Natasha N. Coronado, 24, of Vinton, Tex. April Garcia, 37, a codes enforcement officer employed by the Horizon City (Texas) Police Department, was charged with money laundering in a criminal complaint.
Count 1 of the indictment charged all eight defendants with conspiracy to distribute cocaine and heroin. Count 2 charged certain defendants with maintaining a place for storing and distributing drugs. Counts 3, 5, 9 and 21 charged certain defendants with distributing cocaine and aiding and abetting the distribution of cocaine. Count 11 charged certain defendants with conspiracy to launder money and Counts 4, 6, 7, 8, 10, 12, 13, 14, 16, 22 and 23 charged certain defendants with money laundering. Count 15 charged certain defendants with distribution of heroin. Counts 17, 18, 19 and 20 charged certain defendants with using communication devises to further the commission of drug trafficking crimes. Count 24 charged certain defendants with possession of cocaine with intent to distribute.
During their respective plea hearings, the defendants admitted conspiring to distribute cocaine and heroin in Dona Ana County, N.M., between Sept. 2011 and Jan. 2012. Oscar L. Portillo, Sr., and Sandra L. Portillo used the pecan farm as a place to store and sell drugs, and the Portillos and their sons sold drugs to an undercover agent on five separate occasions. The Portillos laundered the proceeds from some of these drug deals by (i) asking the undercover agent pay for the drugs with money orders which they subsequently cashed and deposited into bank accounts in the name of the pecan farm, and (ii) providing the agent with invoices that falsely asserted that the agent purchased pecan trees. Cesar Ramos and Fernando Ramos and their subordinate, Ruben Ortiz-Rivera, were the sources of drug supply for the Portillo family.
Oscar L. Portillo, Sr., was charged in Counts 1 through 16, and 21 through 24 of the indictment. Portillo pleaded guilty to each of these counts in Aug. 2012, and was sentenced to 98 months in prison followed by four years of supervised release on May 8, 2013.
Sandra L. Portillo was charged in Counts 1, 2, 10 through 14, and 18 of the indictment. Portillo pled guilty to each of these counts in Aug. 2012. Earlier today, Portillo was sentenced to 15 months in prison followed by three years of supervised release.
Oscar L. Portillo, Sr. and Sandra L. Portillo also were ordered to forfeit $135,735.64, the value of their ownership interest in the pecan farm which was sold after they were arrested. The court also entered a money judgment in the amount of $17,900.00 against the Portillos and their son Matthew Portillo.
Matthew Portillo was charged in Counts 1, 3, 4, 5, 6, 17, 18, 20 and 24 of the indictment. Portillo pled guilty to each of these counts in Aug. 2012, and was sentenced on May 8, 2013, to five years in prison followed by four years of supervised release.
Oscar Portillo, Jr., was charged in Counts 1, 17, 22 and 23 of the indictment. In May 2012, Portillo pleaded guilty to Count 23 of the indictment, and on Sept. 26, 2012, he was sentenced to 15 months in prison followed by three years of supervised release.
Cesar Ramos was charged in Counts 1, 3, 15, 16, 19, 21, 22 and 23 of the indictment. In Aug. 2012, Cesar Ramos pleaded guilty to each of these counts, and on March 26, 2013, he was sentenced to ten years in prison. Ramos is a Mexican national and he will be deported after he completes his prison sentence.
Fernando Ramos was charged in Count 1 of the indictment. In Aug. 2012, Ramos pleaded guilty to that count, and on Jan. 30, 2013, he was sentenced to 30 months in prison followed by three years of supervised release.
Natasha N. Coronado was charged in Counts 1 and 20 of the indictment. In May 2012, Coronado pled guilty to those two counts, and on Aug. 24, 2012, she was sentenced to time served (212 days) followed by three years of supervised release.
Ruben Ortiz-Rivera was charged in Counts 1 and 19 of the indictment. In May 2012, Ortiz-Rivera pled guilty to those two counts, and on April 17, 2013, he was sentenced to 15 months in prison. Ortiz-Rivera is a Mexican national and he will be deported after he completes his prison sentence.
In May 2012, April Garcia pleaded guilty to a felony information charging her with conspiracy to launder money. On Feb. 12, 2013, Garcia was sentenced to a one-year term of probation.
The cases were prosecuted by Assistant U.S. Attorneys Renee L. Camacho and Sarah M. Davenport, and were investigated by DEA, IRS Criminal Investigation and FBI, with support from the Bureau of Alcohol, Tobacco, Firearms & Explosives, the New Mexico State Police, the Las Cruces Police Department, the El Paso County Sheriff’s Office, and the Las Cruces Metro Narcotics Task Force. These cases were the result of a multi-agency investigation brought under the Organized Crime Drug Enforcement Task Force (OCDETF) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations.Kirkwood Woman Convicted of Tax Fraud ChargesRead the Press Release
St. Louis, MO - Nancy Cicero was found guilty of multiple fraud charges for filing false tax returns, claiming over $3 million in refunds, for four years beginning in 2005. The three-day trial was held before United States District Judge John A. Ross.
Tax on certain bonds must be paid as interest accrues. Debt issuers such as banks, creditors and lenders provide a yearly form to their bond holders called a 1099-Original Issue Discount (OID). The form shows the OID income, as well as the federal income tax that was withheld on the OID income. To report tax liability on the interest earned, the bond holders submit the OID form to the IRS, along with income tax returns. According to testimony presented at trial, Cicero claimed false income tax refunds by submitting income tax returns to which she attached false and fictitious 1099-OID forms for the taxable years 2005-2008. On her 1040s for those years, Cicerco claimed a refund amount based upon the false federal income tax withholdings that were reported on her false 1099-OIDs. In total, Cicero represented that financial institutions withheld over $3 million in taxes on her 1099-OID forms, thus claiming a refund of over $3 million.
"The defendant attempted to defraud the taxpaying public and the government by falsifying documents and submitting claims for false refunds." Said Tanya T. Brewer, Acting Special Agent in Charge, IRS Criminal Investigation. "IRS, Criminal Investigation will continue to vigorously pursue those who attempt to unjustly enrich themselves at the expense of the rest of the taxpayers."
NANCY CICERO, Kirkwood, MO, was convicted of four felony counts of filing false claims with the IRS. A sentencing date has not yet been set.
Each count of filing false claims carries a maximum penalty of five years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by Internal Revenue Service-Criminal Investigation. Assistant United States Attorneys Dianna Collins and Reginald Harris prosecuted the case for the U.S. Attorney’s Office.Kingland Man Sentenced to over 17 Years for Distributing Child PornographyRead the Press Release
BRUNSWICK, GA – Thomas John Mumford, 26, of Kingsland, Georgia was sentenced on May 13, 2013 by United States District Court Judge Lisa Godbey Wood to 17½ years in prison, followed by 15 years of supervised release, for distributing child pornography. Mumford will be required to register as a sex offender. At the conclusion of the sentencing, Mumford was returned to the custody of the United States Marshal Service to serve his sentence.
According to the evidence presented at Mumford’s plea and sentencing hearings, in February 2012, Mumford was posting child pornography images on the Internet to be shared with others. When interviewed by a special agent with Federal Bureau of Investigation, Mumford admitted that he had regularly downloaded and viewed child pornography images, and encouraged a young person to live-stream a video of themself taking a shower to him. Mumford’s computer was found to contain over 730 still images and 25 video images of child pornography. At the sentencing hearing, Mumford admitted to having a serious problem and hoped to get treatment while in prison.
United States Attorney Edward J. Tarver stated, “The sharing of images depicting the sexual abuse of innocent children is a serious and heinous crime. The abuse to these young victims continued every time the Defendant viewed these images and made them available to others over the Internet. There is no higher priority within the Department of Justice than the protection of our Nation’s children. There should be no doubt that the United States Attorney’s Office will prosecute those who facilitate and create a market for the violent sexual assault of children.”
This case was brought as part of Project Safe Childhood, a U.S. Department of Justice initiative designed to protect children from online exploitation and abuse. Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims.
The case was the result of an investigation conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Nancy Greenwood prosecuted the case. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.Justice Department Settles Sex Discrimination Lawsuit Against Corpus Christi, Texas, Police DepartmentRead the Press Release
The Department of Justice announced today that it has reached a final settlement with the city of Corpus Christi, Texas, to resolve the department’s claim that the city violated Title VII of the Civil Rights Act of 1964 by engaging in a pattern or practice of discrimination against female applicants for entry-level police officer positions.
The Justice Department’s complaint, filed in the U.S. District Court for the Southern District of Texas, alleges that Corpus Christi’s use of a physical abilities test between 2005 and 2011 violated Title VII because it unlawfully screened out female applicants for entry-level positions with the police department without the required evidence showing that the test did not properly evaluate whether a candidate was in fact qualified for a police officer position. Title VII prohibits discrimination in employment on the basis of race, color, sex, national origin or religion, whether the discrimination is intentional or involves the use of employment practices, like physical abilities tests, that have a disparate impact and are not job-related and consistent with business necessity.The Justice Department and the city of Corpus Christi initially entered a settlement and requested the court to approve a consent decree in September 2012. Prior to final entry of the decree by the district court, the Corpus Christi Police Officers’ Association, a union representing most of the city’s police officers, intervened as a party in the lawsuit. This settlement is the culmination of negotiations between all three parties and has resulted in a joint motion by all parties for entry of an amended consent decree. The proposed amended consent decree must be approved by the court; upon its approval, all issues raised by the Justice Department’s complaint against the city of Corpus Christi, and the union’s claims, will be resolved.
“The Department of Justice is committed to eliminating artificial barriers that keep qualified women out of public safety work,” said Jocelyn Samuels, Principal Deputy Assistant Attorney General for the Civil Rights Division. “The department commends Corpus Christi for working to adopt new hiring procedures that comply with Title VII and to provide relief to those who were harmed by the city’s previous hiring practices.”The amended proposed consent decree requires Corpus Christi to replace the physical abilities test challenged by the United States with a new selection procedure that complies with Title VII. Additionally, the amended proposed consent decree requires the city to pay $700,000 as back pay to eligible female applicants who took and failed the challenged physical abilities test between 2005 and 2011. Also under the decree, some women who took and failed the challenged physical abilities test between 2005 and 2011, but who are qualified to perform as police officers, may receive offers of priority employment with retroactive seniority and benefits. Applicants interested in priority employment must pass the new, lawful selection procedure developed by Corpus Christi under the decree, and they must meet other qualifications required of all applicants considered for entry-level police officer positions with the city.
Enforcement of federal employment discrimination laws is a top priority for the Justice Department. Additional information about Title VII and other federal employment laws is available on the Civil Rights Division’s website at www.justice.gov/crt.Related Materials:
Joint Motion Re 2d Amd Decree
Dkt 56-1 -- 2d Amd Decree
Dkt 56-2 -- Proposed OrderJustice Department Recognizes Nine Individuals for Child Protection Efforts at Missing Children’s Day CeremonyRead the Press Release
The Justice Department today paid tribute to nine individuals for their extraordinary efforts to recover missing children, rescue children from abuse and prosecute sexual predators during its annual commemoration of National Missing Children’s Day.
“The achievements of these honorees, and the stories behind them, remind us that it takes someone very special to do the work that they do,” said Acting Associate Attorney General Tony West. “Days, weeks, months, and as we saw in Cleveland last week, even years can pass between a child’s disappearance and her recovery. It takes tremendous faith, but more importantly, it takes incredible resolve and resourcefulness to pursue those cases to certain resolution.”
“As our Missing Children’s Day honorees demonstrate, community members who remain alert and respond, rescue children every day,” said Acting Assistant Attorney General for the Office of Justice Programs Mary Lou Leary. “Through support for programs such as AMBER Alert and Internet Crimes Against Children task forces, our office remains committed to assisting communities across the country in protecting the lives and safety of children.”
Other speakers included Office of Juvenile Justice and Delinquency Prevention (OJJDP) Administrator Robert L. Listenbee; child protection advocate Heather Bish, whose sister Molly Bish was abducted from her lifeguard job and later found murdered; and John Ryan, president and CEO of the National Center for Missing & Exploited Children. The nearly 300 ceremony attendees included families of missing children, child advocates and others who support programs to recover missing children.
“On this day each year, we pause for a few moments to remember those children who are lost and the families who have been torn apart apart by this unspeakable tragedy,” said OJJDP Administrator Robert L. Listenbee. “We are also here today to celebrate those children and families who have been reunited and to honor the dedicated citizens who work tirelessly to bring these missing children home.”
During the ceremony, Acting Associate Attorney General West presented the following awards: Attorney General’s Special Commendation: Recognizes the extraordinary efforts of an Internet Crimes Against Children task force or affiliate agency for making significant investigative or program contributions. Recipients: Assistant District Attorney Eric R. Bellas, North Carolina’s 25th Prosecutorial District; Det. Scott Carico, Burke County, N.C. Sheriff’s Office; Special Agent Casey Drake, N.C. State Bureau of Investigation; Selena Moretz, Burke County Child Advocacy Center; and Special Agent John D. Wydra, Jr., Federal Bureau of Investigation, whose efforts led to the arrest and conviction of a N.C. elementary school teacher who had been sexually molesting children and videotaping and photographing pornographic images of them for many years.
Missing Children’s Law Enforcement Award: Recognizes the extraordinary efforts of a law enforcement officer who made a significant investigative or program contribution to the safety of children. Recipient: Det. Anjanette Biswell of the Quincy, Ill. Police Department, whose work as a computer forensic specialist led to the arrest and guilty plea of a man who was producing, downloading, and distributing pornographic images of two young relatives and other children in Quincy.
Missing Children’s Citizen Award: Honors the extraordinary efforts of private citizens for their unselfish acts to safely recover missing or abducted children. Recipients: Brandy V. Hinesly and Casey Quillman, Walmart employees in Aberdeen, Wash., for their quick response that led to the rescue of a missing Arkansas teenager who was about to leave the country with her former boyfriend.
Missing Children’s Child Protection Award: Honors the extraordinary efforts of a law enforcement officer who made a significant investigative or program contribution to protect children from abuse or victimization. Recipient: Assistant U.S. Attorney John Luke Walker for the Western District of Louisiana, who served as the lead prosecutor and a driving force behind Operation Delego, the largest child exploitation case ever prosecuted. His efforts resulted in more than 29 convictions, including a teacher, a police officer, and a high-ranking member of the military.
Esther Jung, a fifth grader from Edwin Rhodes Elementary School in Chino, Calif., received the award as the 14th winner of the Annual National Missing Children’s Day Art Contest.
President Ronald Reagan proclaimed May 25, 1983, the first National Missing Children’s Day to remember Etan Patz, a six-year-old boy who disappeared from a New York City street corner on May 25, 1979. Missing Children’s Day honors his memory and the memories of children still missing.
The Office of Justice Programs (OJP), headed by Acting Assistant Attorney General Mary Lou Leary, provides federal leadership in developing the nation’s capacity to prevent and control crime, administer justice, and assist victims. OJP has six components: the Bureau of Justice Assistance; the Bureau of Justice Statistics; the National Institute of Justice; the Office of Juvenile Justice and Delinquency Prevention; the Office for Victims of Crime; and the Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering, and Tracking. For more information about OJP, please visit: www.ojp.gov.Justice Department Reaches Settlement to Reform the Missoula, Mont. Police Department's Response to Sexual AssaultRead the Press Release
The Department of Justice today reached a comprehensive agreement with the Missoula, Mont., Police Department to ensure that the police department fairly and effectively responds to reports of sexual assault. In May 2012, the Justice Department launched an investigation into allegations that the Missoula Police Department was failing to adequately respond to and investigate reports of sexual assault, due to unlawful gender discrimination in violation of the Violent Crime Control and Law Enforcement Act of 1994, and the anti-discrimination provisions of the Omnibus Crime Control and Safe Streets Act of 1968. The Agreement announced today resolves the Justice Department’s investigation of the Missoula Police Department. The department also released a letter of findings outlining the results of the investigation.The agreement with the Missoula Police Department requires that the police department:
- implement or revise policies, provide training and change practices to improve its response to sexual assault, including combating gender bias;
- work with an independent Monitor, community-based organizations and other stakeholders, to develop and implement the reforms described in the agreement, and to evaluate OPS’ success in effecting meaningful reform;
- demonstrate that its implementation of the agreement has eliminated a pattern or practice of constitutional violations and that it has put in place systems and oversight that will prevent patterns or practices of unconstitutional conduct from recurring; and
- develop procedures for gathering and analyzing data to assess the incidence and outcomes of reports of sexual assault.
The city of Missoula anticipates that it will achieve compliance with this agreement within two years.
“A police department cannot truly protect women in its community without being prepared to respond to reports of sexual assault effectively and without bias,” said Roy L. Austin Jr., Deputy Assistant Attorney General for the Civil Rights Division. “Equal access to the protection of police and the courts is a matter of basic justice. We commend the City of Missoula and the Missoula Police Department for its cooperation and for taking the steps necessary to maintain women’s safety and promote the community’s confidence in its police response to sexual assault. The leadership of Mayor Engen and Chief Muir has been indispensable to this process.”“As the first responder to most reports of sexual assault in Missoula, the Missoula Police Department plays an absolutely critical role in protecting women victims of sexual assault and ensuring that perpetrators of sexual assault are brought to justice,” said Michael Cotter, U.S. Attorney for the District of Montana. “This agreement will ensure that the department’s officers and detectives are fully prepared to play that role.”
The Justice Department’s review of the Missoula Police Department was one of three simultaneous civil pattern or practice investigations into allegations that law enforcement was systematically failing to protect women victims of sexual assault in Missoula. Alongside its investigation of the Missoula Police Department, the Justice Department conducted parallel investigations of the Missoula County Attorney’s Office and the University of Montana’s Office of Public Safety. Last week, the Justice Department and the Department of Education’s Office of Civil Rights entered into twin agreements with the University of Montana to address the university’s response to reports of sexual assault and sexual harassment on campus; those agreements resolved the Justice Department investigation of the university’s Office of Public Safety. The Justice Department’s investigation of the Missoula County Attorney’s Office is ongoing.
The investigation was conducted jointly by the Special Litigation Section of the Department of Justice’s Civil Rights Division and the U.S. Attorney’s Office for the District of Montana. The prevention of sex-based discrimination is a top priority of the Justice Department’s Civil Rights Division and U.S. Attorney Offices. The Civil Rights Division has worked to ensure that women are not subject to discriminatory practices related to police services in New Orleans, Puerto Rico and elsewhere. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt. Additional information about the U.S. Attorney’s Office for the District of Montana is available on its website at www.justice.gov/usao/mt.Justice Department Reaches Settlement to Reform the Missoula, Mont. Police Department's Response to Sexual AssaultRead the Press Release
WASHINGTON - The Department of Justice today reached a comprehensive agreement with the Missoula, Mont., Police Department to ensure that the police department fairly and effectively responds to reports of sexual assault. In May 2012, the Justice Department launched an investigation into allegations that the Missoula Police Department was failing to adequately respond to and investigate reports of sexual assault, due to unlawful gender discrimination in violation of the Violent Crime Control and Law Enforcement Act of 1994, and the anti-discrimination provisions of the Omnibus Crime Control and Safe Streets Act of 1968. The Agreement announced today resolves the Justice Department's investigation of the Missoula Police Department. The department also released a letter of findings outlining the results of the investigation.
The agreement with the Missoula Police Department requires that the police department:
- nitor, community-based organizations and other stakeholders, to develop and implement the reforms described in the agreement, and to evaluate OPS' success in effecting meaningful reform;
The city of Missoula anticipates that it will achieve compliance with this agreement within two years.
A police department cannot truly protect women in its community without being prepared to respond to reports of sexual assault effectively and without bias," said Roy L. Austin Jr., Deputy Assistant Attorney General for the Civil Rights Division. "Equal access to the protection of police and the courts is a matter of basic justice. We commend the City of Missoula and the Missoula Police Department for its cooperation and for taking the steps necessary to maintain women's safety and promote the community's confidence in its police response to sexual assault. The leadership of Mayor Engen and Chief Muir has been indispensable to this process."
As the first responder to most reports of sexual assault in Missoula, the Missoula Police Department plays an absolutely critical role in protecting women victims of sexual assault and ensuring that perpetrators of sexual assault are brought to justice," said Michael Cotter, U.S. Attorney for the District of Montana. "This agreement will ensure that the department's officers and detectives are fully prepared to play that role."
The Justice Department's review of the Missoula Police Department was one of three simultaneous civil pattern or practice investigations into allegations that law enforcement was systematically failing to protect women victims of sexual assault in Missoula. Alongside its investigation of the Missoula Police Department, the Justice Department conducted parallel investigations of the Missoula County Attorney's Office and the University of Montana's Office of Public Safety. Last week, the Justice Department and the Department of Education's Office of Civil Rights entered into twin agreements with the University of Montana to address the university's response to reports of sexual assault and sexual harassment on campus; those agreements resolved the Justice Department investigation of the university's Office of Public Safety. The Justice Department's investigation of the Missoula County Attorney's Office is ongoing.
The investigation was conducted jointly by the Special Litigation Section of the Department of Justice's Civil Rights Division and the U.S. Attorney's Office for the District of Montana. The prevention of sex-based discrimination is a top priority of the Justice Department's Civil Rights Division and U.S. Attorney Offices. The Civil Rights Division has worked to ensure that women are not subject to discriminatory practices related to police services in New Orleans, Puerto Rico and elsewhere. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt. Additional information about the U.S. Attorney's Office for the District of Montana is available on its website at www.justice.gov/usao/mt.
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John Philip Morrill, Jr. Pleads Guilty to Assault Upon A Federal Officer, Access Device Fraud and Bank FraudRead the Press Release
JOHN PHILIP MORRILL, JR., age 32, a resident of New Orleans, Louisiana, pled guilty in federal court today before U.S. District Judge Ivan L.R. Lemelle to one count of assault upon a federal officer, two counts of access device fraud and one count of bank fraud, announced U.S. Attorney Dana J. Boente.
According to court documents, on or about September 21, 2012, MORRILL assaulted a special agent of the United States Secret Service who, in the performance of his official duty, was trying to apprehend MORRILL. MORRILL also fraudulently obtained goods/services valued at approximately $29,853.16 by using unauthorized credit cards, and by using a PayPal account in association with a fictitious business he claimed to own. MORRILL also defrauded the ASI Federal Credit Union of approximately $2,300, in the form of a personal loan, by using fictitious pay stubs.
MORRILL faces a maximum term of imprisonment of 8 years for the assault upon a federal officer count, and a fine of $250,000. MORRILL also faces a maximum term of 10 years imprisonment, and a fine of $250,000 as to each count of access device fraud. Additionally, MORRILL faces a maximum term of imprisonment of 30 years for the bank fraud count, and a fine of $250,000, a 3 year term of supervised release following any term of imprisonment, and a special assessment fee of $100 as to each count. Sentencing is set for August 7, 2013.
The case was investigated by the United States Secret Service, Louisiana State Police and prosecuted by Assistant U. S. Attorney Julia K. Evans.
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Jackson Man Indicted on Federal Civil Rights Charge Related to Desecration of Religious ParaphernaliaRead the Press Release
Memphis, TN – A federal grand jury in Memphis has returned a one-count indictment charging Justin Shawn Baker, 25, of Jackson, TN, with violating the civil rights of students and faculty of the Margolin Hebrew Academy.
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The indictment alleges that on or about January 12, 2013, Baker defaced a Torah and religious prayer books, which the students and faculty of Memphis’ Margolin Hebrew Academy were using for a worship service conducted at the Doubletree Hotel in Jackson.
“Freedom to practice one’s religion without prejudice is one of the bedrock principles upon which our nation was founded,” said Edward L. Stanton III, United States Attorney for the Western District of Tennessee. “Criminal acts such as those alleged in the indictment represent an attack upon the rights that generations of Americans have fought and died to ensure and protect. Our dedicated civil rights unit will continue to protect and defend the rights of our citizens through vigorous enforcement of federal law.”
“This kind of vandalism strikes at the heart of religious freedom in this country, and it will not be tolerated,” said Roy L. Austin Jr., Deputy Assistant Attorney General for the Civil Rights Division. “Our nation’s civil rights laws protect all denominations, and those who would strike at the right of peaceful citizens to worship will be held accountable.”
This case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Larry Laurenzi and Jonathan Skrmetti of the U.S. Attorney’s Office for the Western District of Tennessee and Trial Attorney Douglas Kern of the Civil Rights Division’s Criminal Section.
The charges and allegations contained in the indictment are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Inmate Charged in Murder for Hire Plot Against Federal JudgeRead the Press Release
FORT WORTH, Texas - Phillip Monroe Ballard, 71, has been charged with murder for hire, United States Attorney Kenneth Magidson of the Southern District of Texas announced today.
The indictment, returned just a short time ago, alleges Ballard solicited the murder for hire of a U.S. District Judge in the Northern District of Texas.
Ballard, currently in federal custody on unrelated charges in the Northern District of Texas, will remain in custody pending further criminal proceedings in this case. He is expected to appear before a U.S. Magistrate Judge in Fort Worth in the near future.
If convicted, Ballard faces up to 20 years in prison and a $250,000 fine.
The case is being investigated by the FBI. Assistant U.S. Attorneys Mark McIntyre and Craig Feazel are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.