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Wednesday 27 March 2013
Former Los Alamos National Bank Employee Sentenced to Prison for Bank Fraud ConvictionRead the Press Release
ALBUQUERQUE – Deborah Gayle Wood, 56, currently residing in Grove, Okla., was sentenced yesterday afternoon to eight months in prison followed by five years of supervised release for her bank fraud conviction. Wood also was ordered to pay $4,390.93 in restitution and a $10,000.00 fine.
Wood pled guilty in Dec. 2011 to a felony information charging her with bank fraud. In her plea agreement, Wood admitted that, from 2004 to 2005, while she was employed as a trust officer by the Los Alamos National Bank, she defrauded the Bank on numerous occasions by obtaining reimbursement for personal expenditures that she falsely represented as expenditures made on behalf of a bank trust account client. Wood also admitted using a Bank credit card issued in the client’s name on numerous occasions to make personal purchases that she falsely represented as expenses made on behalf of the client.
Court filings reflect that, between 2003 and 2006, Wood was the trust officer for the trust account of an elderly client suffering from Alzheimer’s disease. As trust officer, Wood’s responsibilities included making sure that the client’s living expenses were provided for and that her bills were paid in a timely manner. In the course of her work, Wood regularly purchased items for her personal use and falsely informed the Bank that the items were for the client’s benefit and should be charged to the client’s trust account. When the Bank learned that Wood had engaged in a multi-year pattern of fraud against the client’s trust account, the Bank reimbursed the client by crediting her trust account in the amount of $101,391.10.
The case was investigated by the Santa Fe office of the FBI and was prosecuted by Assistant U.S. Attorney John C. Anderson.
Former Judicial Candidate Convicted on Child Enticement & Child Pornography ChargesRead the Press Release
BIRMINGHAM – A federal jury today convicted a Birmingham man and former candidate for a Jefferson County Circuit Court judgeship of attempting to entice a minor to engage in sexual activity and of receiving and possessing child pornography, announced U.S. Attorney Joyce White Vance and Homeland Security Investigations Special Agent in Charge Raymond R. Parmer Jr.
Following a two-day trial before U.S. District Judge R. David Proctor, the jury deliberated about two hours before convicting CHUCK HUNTER, 59, for using the Internet and a telephone in an attempt to persuade a person he believed to be a 14-year-old boy to engage in a sexual act. The jury also convicted Hunter of receiving child pornography over the Internet, and of possessing child pornography with the intent to view it.
Hunter was immediately taken into federal custody. He is scheduled for sentencing July 9.
“My office is committed to keeping our communities safe, and we continue to work aggressively to prosecute those who would seek to exploit children,” Vance said.
Hunter was arrested in June after an undercover police officer, posing as a 14-year-old boy, responded to an advertisement posted on the Internet seeking people less than 30 years old for sex, according to court testimony. Following several communications in which the Alabama Internet Crimes Against Children Task Force officer continued to identify himself as a minor child, Hunter arranged a meeting at a restaurant in Jefferson County with the person he thought to be 14 years old. Police arrested Hunter when he showed up for the meeting. Following Hunter’s arrest, police obtained a search warrant for his Southside Birmingham home and seized computer media containing images of child pornography, according to testimony.
Hunter had been a candidate for a place on the Jefferson County Circuit Court, but was removed from the November ballot following his arrest.
The Internet Crimes Against Children Task Force and HSI investigated the case. Assistant U.S. Attorneys Daniel J. Fortune and Elizabeth Holt prosecuted the case.
Former IT Manager at Cuyahoga Heights School District Charged with Crimes Related to Theft of $3.4 MillionRead the Press Release
A three-count information was filed charging a former employee of the Cuyahoga Heights School District with crimes related to the theft of more than $3.4 million from the district, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Joseph M. Palazzo, age 31, of Independence, Ohio, was charged with conspiracy to commit mail fraud, conspiracy to commit money laundering, and wire fraud.
“This defendant is accused of lining his pockets with millions of dollars intended to be used to educate the children of the Cuyahoga Heights School District,” Dettelbach said. “Our office will continue to go after those who would abuse the public trust.”
“This investigation uncovered a multi-million dollar embezzlement scheme laced with a web of financial lies that left a local school district in financial peril,” said Denise Rocawich, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
“Joseph Palazzo violated the trust that the citizens and students of Cuyahoga Heights had placed in him by funding his personal account with millions of their tax dollars,” said Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office. “The investigators are to be commended for uncovering this enormous fraud.”
Palazzo was employed by the Cuyahoga Heights School District as its Information Technology Director until February 2011. Palazzo was responsible for managing the District’s IT Department, which included purchasing hardware and software and making other IT expenditures to benefit the District and its students, according to the information.
Palazzo devised a scheme to divert millions of dollars of District funds to his personal use and the personal use of others. This scheme involved Palazzo submitting to the District for payment false invoices that purported to be for IT-related goods and services purchased from legitimate companies by the District’s IT Department to benefit the District. Palazzo represented that the invoices he submitted were legitimate, and he approved the false invoices himself or forged the signature of another in the approval section, according to the information.
However, these invoices were for services never performed, fictitious software and hardware, and software and hardware never received or already purchased by the District from another source. The companies named on the invoices did not supply such goods to or perform such services for the District and were nothing more than “shells,” according to the information.
Palazzo’s actions caused the District to issue checks to these shell vendor corporations, which were established and owned by others working with Palazzo who are not named in the information. The shell vendor corporation owners, in turn, kept approximately half of the stolen money themselves and funneled the remainder of the money back to Palazzo for his personal use, according to the information.
As a result of the conduct of Palazzo and his unnamed co-conspirators, the District was defrauded and sustained a total loss of at least $3,333,448, according to the information.
Palazzo also engaged in a second scheme to defraud the District. It involved Palazzo purchasing various personal electronic items, such as I-Pads, cameras, and televisions, from legitimate District vendors. Palazzo then altered the invoices from such purchases to falsely reflect that classroom items, such as digital microscopes, projectors, and laptops, had been purchased for the District and submitted those invoices to the District for payment. Upon receipt of these personal electronic items, Palazzo sold them to third-parties at a discounted price and kept the money from such sales for his own personal use, according to the information.
As a result of the Palazzo’s conduct in the second scheme, the District was defrauded and sustained an additional loss of at least $76,214, according to the information.
This case was investigated by Special Agents of the Internal Revenue Service Criminal Investigation and the Federal Bureau of Investigation, both located in Cleveland, with the assistance of the State of Ohio Auditor’s Office and the United States Postal Inspection Service.
The case is being prosecuted by Assistant United States Attorney Rebecca Lutzko, Special Assistant United States Attorney Perry Mastrocola, and Assistant United States Attorney James L. Morford.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Former Brighton Resident and Son Convicted in Real Estate Investment FraudRead the Press Release
A Brighton businessman and his son were found guilty today by a federal jury of conspiracy and multiple counts of wire fraud, announced United States Attorney Barbara L. McQuade.
U.S. Attorney McQuade was joined in the announcement by Robert D. Foley, III, Special Agent in Charge of the Detroit office of the Federal Bureau of Investigation, and Merri Jo Gillette, Regional Director of the Chicago Office of the Securities and Exchange Commission.
The jury convicted John Bravata, 45, and Antonio Bravata, 25, after an eight- week trial before U.S. District Judge Paul D. Borman.
As part of the same prosecution, a guilty plea to wire fraud was entered by Richard J. Trabulsy, 32, of Canton, a former business partner of John Bravata.
The evidence at trial showed that from 2006 to 2009, John Bravata conspired with his son Antonio Bravata to defraud more than 500 investors of more than $50 million dollars, money that largely represented the life savings of investors. In executing the scheme to defraud John and Antonio Bravata solicited money for their company “BBC Equities” by using false and fraudulent statements and promises. These false statements included promises of guaranteed safety of principal and high interest returns. Rather than investing the money in safe real estate transactions as promised, a large portion of the money was used by the defendants to support their lavish lifestyles.
Both John Bravata and Antonio Bravata furthered their scheme to defraud through free lunch seminars that targeted retirees. At these presentations they not only made false promises of a safe investment, they falsely claimed that they did not get paid unless the company was profitable, that no fees or commissions would be charged or taken on investments and that real estate was purchased with cash.
John Bravata was convicted of Conspiracy to Commit Mail and Wire Fraud and 15 counts of Wire Fraud. Antonio Bravata was convicted of Conspiracy to Commit Mail and Wire Fraud. Each count carries a maximum possible penalty of 20 years in prison and a $250,000 fine.
“White collar criminals may use sophisticated methods, but their crime is nothing more than stealing other people’s money,” McQuade said. “These defendants targeted and preyed upon victims and stole their life savings. Many of these victims are seniors who lack the resources or the time to recoup the loss.”
FBI Special Agent in Charge Foley stated: "These individuals engaged in an investment scheme that stole millions of dollars from hundreds of investors. The FBI is committed to stopping such predatory acts and holding criminals responsible."
Sentencing has been set for June 18, 2013. Bond was continued as to defendant Antonio Bravata. John Bravata’s detention was continued.
The case was prosecuted by Assistant United States Attorneys Frances Carlson and Karen Reynolds, as well as Special Assistant United States Attorney Jonathan Polish. SAUSA Polish was detailed to this case from the Chicago Region of the Securities and Exchange Commission. The case was investigated by the FBI and the SEC.
Five Individuals Indicted for Tax FraudRead the Press Release
PANAMA CITY, FLORIDA – Two federal grand jury indictments were unsealed today charging five individuals with using the personal identifying information of other individuals to file fraudulent tax returns. The indictments were announced by Pamela C. Marsh, United States Attorney for the Northern District of Florida.
The first indictment charges two individuals: Versiah M. Taylor, 32, of Panama City, and Tracy L. Collier, 47, an inmate at the Florida Department of Corrections’ Lake Butler Reception & Medical Center. Taylor and Collier are charged in a forty-five count indictment with conspiring to defraud the government with respect to claims, filing false claims against the United States, wire fraud, and aggravated identity theft.
The indictment alleges that Taylor and Collier conspired to file false federal income tax returns with the Internal Revenue Service (IRS), claiming refunds of more than $503,273.00, knowing that they were not entitled to receive those funds. Collier, while incarcerated at Okaloosa Correctional Institution, obtained the names, dates of birth, and social security numbers of various inmates, often without the individual’s knowledge or authorization. According to the indictment, Collier provided the personal identifying information to Taylor, and Taylor then used the information to file false tax returns claiming fraudulent refunds. The false returns submitted to the IRS in this scheme included fabricated amounts of wages, names of false employers and financial institutions, and false amounts of interest income and Social Security income. As a result of the scheme, Taylor and Collier caused the United States Treasury to pay fraudulent income tax refunds by loading said refunds onto prepaid debit cards purchased in the Bay County area or onto prepaid debit cards mailed by various financial institutions to locations throughout the Bay County area.
The second indictment charges Anthony Q. Atkinson, 31, Anthony L. Smith, Jr., 25, and John Jerome Fagin, 30, all of the greater Panama City area. Atkinson, Smith and Fagin are charged in a ten count indictment with conspiring to defraud the government with respect to claims, filing false claims against the United States, wire fraud, and aggravated identity theft.
The indictment alleges that Atkinson, Smith, and Fagin conspired to file fraudulent federal income tax returns with the IRS, claiming refunds of more than $37,526.00. As part of the scheme, Smith provided personal identifying information to Atkinson, who would then file fraudulent tax returns using the false and stolen information. The indictment alleges that Fagin provided his own personal identifying information, as well as the addresses of other individuals to Smith and Atkinson to facilitate the filing of false tax returns. The false tax claims submitted in this scheme included fabricated amounts of Social Security income, taxable interest income, tax withholdings and names of financial institutions. As a result, Atkinson, Smith and Fagin caused the United States Treasury to pay fraudulent income tax refunds by loading refunds onto prepaid debit cards purchased in the Bay County area or onto prepaid debit cards mailed by financial institutions to locations throughout the Bay County area.
If convicted of the charges contained in these two indictments, the defendants face up to twenty years in prison, a fine of up to $250,000, up to three years of supervised release, restitution, criminal forfeiture, and a $100 special monetary assessment on each count of conviction. Additionally, each count of aggravated identity theft carries a potential minimum mandatory sentence of two years in prison, which must be served consecutively to any other sentence imposed.
The indictment results from an investigation conducted by agents of IRS Criminal Investigation and this case is being prosecuted by Assistant United States Attorney Kathryn Risinger as part of a Department of Justice initiative to fight stolen identity refund fraud (SIRF). In September 2012, the Department issued Tax Division Directive 144, which sets forth expedited Department review procedures for SIRF cases, enabling law enforcement to respond quickly and effectively to the grave challenges presented in SIRF cases and to prevent the victimization of innocent taxpayers whose identities are stolen by fraudsters. U.S. Attorney Marsh commended the work of the Internal Revenue Service – Criminal Investigations whose investigations led to the indictments in these cases.
An indictment is merely a formal charge by a grand jury that a defendant has committed a violation of federal criminal law. All defendants are presumed innocent unless and until the government proves their guilt beyond a reasonable doubt to the satisfaction of a jury at trial.
Firearms and Explosives Charges Filed Against Rootstown ManRead the Press Release
A federal grand jury returned a three-count indictment charging Samuel Oaks, age 61, of Rootstown, Ohio, with improperly stored high explosives, possession of an unregistered firearm, and possession of a firearm with an obliterated serial number, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Count 1 of the indictment charges that on or about December 4, 2012, Oaks knowingly, improperly and illegally stored nine Dupont electronic detonators/blasting caps, at a Rootstown, Ohio, residence.
Counts 2 and 3 of the indictment charge that on or about December 19, 2012, Oaks possessed a FMJ, model M-11/Nine, 9mm submachine gun, which was not registered to him in the National Firearms Registration and Transfer Record, and which submachine gun had an obliterated serial number.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentences will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives - Youngstown Field Office. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Final Defendant in Pot Trafficking Conspiracy Sentenced to Ten Years in PrisonRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
COLUMBUS, OHIO – Antwane J. Rhodes, aka “Rho”, 34, formerly of Springfield, Ohio was sentenced in U.S. District Court today to 120 months in prison, fined $5,000 and ordered to forfeit cash, vehicles and jewelry for his leadership role in a major marijuana trafficking organization in the Columbus area.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Denise Rocawich, Acting Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS), Franklin County Sheriff Zach Scott and Columbus Police Chief Kimberley Jacobs announced the sentence imposed today by U.S. District Judge Michael H. Watson.
Rhodes pleaded guilty on September 25, 2012 to one count of conspiracy to possess with intent to distribute more than 1,000 kilograms of marijuana and one count of money laundering.
According to court documents, the investigation into the organization began in 2007. Sources identified Rhodes as one of the leaders of a drug trafficking organization that included Springfield. Loads of marijuana were received from a variety of sources, sometimes via shipment to a warehouse on the west side of Columbus. Rhodes also received shipments of 100 – 200 pounds of marijuana delivered on a motorcycle trailer to his house.
“At its peak, the organization was receiving between 1,200 and 1,800 pounds of marijuana in a month,” U.S. Attorney Stewart said. “The organization was generating hundreds of thousands of dollars a year through the sale of illegal drugs.”
Evidence shows Rhodes laundered the money he was receiving from the sale of the marijuana by buying vehicles and custom jewelry, making deposits into bank accounts of a small company called T & J Investments of Ohio LTD and other means. Rhodes made trips to Las Vegas with his co-conspirators and gave each of them just under $10,000 cash to carry with them.
Rhodes was ordered to forfeit his interests in three vehicles, more than $27,000 in cash seized during execution of a search warrant and ten pieces of jewelry.
Four Springfield men and one other defendant from Columbus have already been sentenced for their roles in the conspiracy.
Marc Clark, 32, was sentenced on January 7, 2013 to 100 months in prison. Steve Blackmon, 33, was sentenced November 29, 2012 to 15 months in prison. Jayson Reed, 31, was sentenced on February 27, 2013 to 12 months and a day, Shawnte M. Lynn, 35, was sentenced on January 25, 2013 to 15 months in prison. Erik Neely, 34, of Columbus, was sentenced on January 25, 2013 to 18 months in prison.
Rhodes has been in custody since June 2012.
U.S. Attorney Stewart commended the cooperative long-term investigation by Columbus Police officers, Franklin County deputies and IRS agents, as well as Assistant U.S. Attorney Kevin Kelley, who represented the United States in this case.
Felon Indicted for Possessing A .45-caliber HandgunRead the Press Release
MINNEAPOLIS—A federal indictment unsealed earlier this week charges a 31-year-old felon for possessing a .45-caliber handgun. The indictment, which was filed on March 19, 2013, charges Nathan Anderson, of Bloomington, with one count of being a felon in possession of a firearm. The indictment was unsealed following Anderson’s initial appearance in federal court on March 25, 2013.
The indictment alleges that on March 2, 2013, Anderson possessed the gun. Because he is a felon, Anderson is prohibited under federal law from possessing firearms or ammunition at any time. His prior Hennepin County convictions include theft (2001), terroristic threats (2001), third-degree burglary (2003), and second-degree assault (2005). Because these convictions constituted crimes of violence, Anderson is subject to the federal Armed Career Criminal Act. That act mandates a minimum of 15 years in prison for anyone subsequently convicted in federal court for being a felon in possession of a firearm or ammunition.
This case is the result of an investigation by the Bloomington Police Department, and the United States Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant U.S. Attorney Amber M. Brennan.An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Federal, State and Local Agencies Arrest 10 in Cocaine, Crack Distribution RingRead the Press Release
ALEXANDRIA, La. – United States Attorney Stephanie A. Finley announced today that a year-long undercover investigation resulted in 10 arrests in the Marksville and Alexandria areas on distribution of cocaine and crack cocaine charges.
Federal, state and local law enforcement officials seized more than $60,000, 5 kilograms of powder cocaine, 350 grams of crack cocaine, and numerous firearms over the course of the investigation. The defendants are charged with various counts of cocaine and crack cocaine distribution, possession with intent to distribute, conspiracy, and firearms offenses that took place in Avoylles and Rapides parishes between January 2012 and March 2013.
Those arrested are: Michael J. Wright, 27, Houston; Dontour D. Drakes, 37, Alexandria; Sedrick D. Porter, 36, Alexandria; Abraham Baylor III, 39, Alexandria; Earnest G. “Gucci” Miles III, 25, Alexandria; Terrace D. Winchester, 34, Alexandria; Brandon C. “Lanky B” Thomas, 31, Marksville; Leotis V. Perry, 36, Alexandria; Falon S. Maricle, 31, Marsksville; and Dennis Lee Bradford, 30, Cottonport.
The charges and arrests are part of the Safe Streets Task Force “Operation Double Down.” The FBI-Central Louisiana Gang Safe Streets Task Force; Alexandria Police Department; Avoyelles Parish Sheriff’s Office; Rapides Parish Sheriff’s Office; U.S. Marshall’s Service; Louisiana State Police; and Louisiana State Department of Probation and Parole, participate in the task force program and conducted the operation.
A federal grand jury returned the first “Operation Double Down” indictment March 20, 2013, charging the defendants on 16 counts related to the cocaine and crack cocaine distribution ring’s activities.
The defendants face a variety of federal and state charges. The penalties range from mandatory 10 years incarceration to life imprisonment. Initial appearance was held Tuesday before U.S. Magistrate Judge James D. Kirk. Detention hearings have been set for April 1.
“It took the combined effort of federal, state, and local law enforcement agencies to make these arrests happen,” Finley said. “I want to thank the Alexandria Police Department, Avoyelles and Rapides sheriff’s offices, the Louisiana State Police, the Louisiana State Department of Probation and Parole, the U.S. Marshals, and the FBI for their roles in removing these drugs from our streets.”“This operation will have a significant impact on the landscape of illegal drugs in Central Louisiana,” said Alexandria Police Chief Loren Lampert. “This investigation and its success serve as a perfect example of how federal, state and local law enforcement can and should cooperate in fighting crime. We are extremely pleased with the efforts of all agencies and the results of those efforts. We look forward to future cooperative efforts such as this to improve the quality of life in our community.”
An indictment is merely an accusation and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Assistant U.S. Attorney James Cowles Jr. is prosecuting the case.Federal Prison Inmates Among Group Charged in Drug ConspiracyRead the Press Release
PHILADELPHIA - An indictment, filed today, charges eight people, including two federal prison inmates, with conspiracy to distribute 500 grams of methamphetamine, announced United States Attorney Zane David Memeger. The indictment alleges that federal inmates Jose Cardenas-Covarrubias and Donaciano Contreras-Monje, imprisoned at FCI McKean, initiated the sale of large amounts of methamphetamine to two law enforcement officers posing as Philadelphia drug dealers.
According to the indictment, defendant Silvestre Garcia-Andaya spoke with the undercover officers by telephone and negotiated a price for the delivery of large quantities of methamphetamine. Defendants Garcia-Andaya, Erika Garcia, and Alfredo Moralez-Bustos came to Philadelphia from California to meet with the “buyers” and discuss the delivery. On February 20, 2013, it is alleged that Garcia-Andaya and defendant Esau Zendejaz-Bustos delivered approximately 11 pounds of methamphetamine to one of the undercover officers and, the next day, another two pounds to the officer, accepting $10,000 as a partial payment. It is further alleged that on March 6, 2013, Garcia-Andaya met with defendants Rodolfo Luviano and Juan Antonio Lopez, who drove from Oklahoma to Philadelphia, to accept a delivery of methamphetamine.In addition to the conspiracy, Garcia-Andaya is charged with distributing 500 grams or more of methamphetamine and possession with intent to distribute; Zendejas-Bustos is charged with distributing 500 grams or more of methamphetamine, possession with intent to distribute cocaine, and possession with intent to distribute marijuana; Luviano and Lopez are also charged with distributing 500 grams of more of methamphetamine.
If convicted, each defendant faces a mandatory ten years in prison with a maximum possible sentence of life, a mandatory term of five years supervised release to lifetime supervised release, a fine of up to $10 million, and a $100 special assessment.
The case was investigated by the Drug Enforcement Administration and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney David L. Axelrod.
INFORMATION REGARDING THE DEFENDANTS
Silvestre Garcia-Andaya, 31, of Lynwood, CA
Erika Garcia, 25, of Lynwood, CA
Alfredo Moralez-Bustos, 30, of Fresno, CA
Esau Zendejas-Bustos, 26, of Lincoln University, PA
Jose Cardenas-Covarrubias, 29, FCI McKean
Donaciano Contreras-Monje, 37, FCI McKean
Rodolfo Luviano, 24, of Oklahoma City, OK
Juan Anthonio Lopez, 22, of Tulsa, OKClick here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Federal Grand Jury Indicts Four Men in Separate Bank RobberiesRead the Press Release
BIRMINGHAM – A federal grand jury today indicted four men in connection to four separate bank robberies in North Alabama, announced U.S. Attorney Joyce White Vance and FBI Special Agent in Charge Richard D. Schwein Jr.
The four men are charged in three separate indictments filed in U.S. District Court. JOHN DAVID VANSTEENIS, 28, of Decatur, and JOSEPH MICHAEL BORDEN, 52, who was homeless, are charged with the Jan. 25 robbery of a Decatur branch of The People’s Bank. Vansteenis and Borden also face a charge of brandishing a firearm, a Glock Model 27 pistol, during the crime of violence.
CHRISTOPHER ALLAN COOPER, 33, of Kentucky, is charged with two bank robberies in Huntsville. He is charged with the Dec. 12 robbery of a Regions Bank branch on Memorial Parkway South, and with the Jan. 8 robbery of a Regions Bank branch on Drake Avenue SW.
CHRISTOPHER BRUCE, 35, of McCalla, also was indicted for two bank robberies. Bruce is charged with the Nov. 16 robbery of First Financial Bank on U.S. Highway 11 North in Vance, and with the Nov. 26 robbery of West Alabama Bank on Alabama Highway 5 in Woodstock.
The FBI investigated these cases, and the U.S. Attorney’s Office for the Northern District of Alabama is prosecuting them. The Vance and Woodstock Police Departments and the Bibb County Sheriff's Department assisted in the case involving Bruce. The Huntsville Police Department assisted in the case that led to the charges against Cooper, and the Hartselle and Decatur Police Departments assisted in the case that led to charges against Vansteenis and Borden.
The bank robbery charge carries a maximum sentence of 20 years in prison and a $250,000 fine. The charge of brandishing a firearm during a crime of violence carries a mandatory sentence of seven years in prison, to be served after completion of any other sentence imposed for the crime.
Members of the public are reminded that an indictment contains only charges. A defendant is presumed innocent of the charges and it will be the government’s burden to prove a defendant’s guilt beyond a reasonable doubt at trial.
Federal Grand Jury in Fort Wayne Returns IndictmentsRead the Press Release
Fort Wayne, INCThe United States Attorney's Office announced that a Grand Jury sitting in Fort Wayne, Indiana, returned the following Indictments on March 27, 2013:
Glenda Brickey, 27, of Ligonier, Indiana, is charged in a two count Indictment with possession of methamphetamine and possession with intent to distribute methamphetamine, both occurring on or about December 21, 2012. These charges were filed as a result of an investigation by the Drug Enforcement Administration, IMAGE Drug Task Force, comprised of Noble County Sheriff’s Department, Kendallville Police Department, Steuben County Sheriff’s Department, Auburn Police Department, and the DeKalb County Sheriff’s Department; Noble County Prosecuting Attorney’s Office; Indiana State Police, ISP ACE Team, and ISP Emergency Response Team; Bureau of Alcohol, Tobacco, Firearms, and Explosives; Northeast Indiana SWAT; Ligonier Police Department; Fort Wayne Police Department, Internal Revenue Service, Indiana State Excise Police and FWPD Emergency Services Team. This case has been assigned to and will be prosecuted by Assistant United States Attorney Anthony W. Geller.
Juan J. Sandoval, 45, of Fort Wayne, Indiana, is charged in a four count Indictment with distribution of methamphetamine on or about February 27, 2013, and March 12, 2013; domestic violent felon in possession of a firearm on or about March 21, 2013, and possession of a firearm not registered to him on or about March 21, 2013. This Indictment also seeks forfeiture of firearms and ammunition. These charges were filed as a result of an investigation by the Drug Enforcement Administration, IMAGE Drug Task Force, comprised of Noble County Sheriff’s Department, Kendallville Police Department, Steuben County Sheriff’s Department, Auburn Police Department, and the DeKalb County Sheriff’s Department; Noble County Prosecuting Attorney’s Office; Indiana State Police, ISP ACE Team, and ISP Emergency Response Team; Bureau of Alcohol, Tobacco, Firearms, and Explosives; Northeast Indiana SWAT; Ligonier Police Department; Fort Wayne Police Department, Internal Revenue Service, Indiana State Excise Police and FWPD Emergency Services Team. This case has been assigned to and will be prosecuted by Assistant United States Attorney Anthony W. Geller.
Javier Madrigal, 48, and Lizbeth Correa, 34, of Wawaka, Indiana. Madrigal is charged in
5 of 6 counts in the Indictment with distribution of methamphetamine on or about January 31,
2013, February 7, 2013, February 15, 2013, March 14, 2013 and March 21, 2013. Correa is charged in 2 of 6 counts in the Indictment with distribution of methamphetamine on or about March 21, 2013, and profiting from maintaining a drug involved premises from on or about January 31, 2013 to on or about March 21, 2013. This Indictment also seeks forfeiture. These charges were filed as a result of an investigation by the Drug Enforcement Administration,
IMAGE Drug Task Force, comprised of Noble County Sheriff’s Department, Kendallville Police Department, Steuben County Sheriff’s Department, Auburn Police Department, and the DeKalb County Sheriff’s Department; Noble County Prosecuting Attorney’s Office; Indiana State Police, ISP ACE Team, and ISP Emergency Response Team; Bureau of Alcohol, Tobacco, Firearms, and Explosives; Northeast Indiana SWAT; Ligonier Police Department; Fort Wayne Police Department, Internal Revenue Service, Indiana State Excise Police and FWPD Emergency Services Team. This case has been assigned to and will be prosecuted by Assistant United States Attorney Anthony W. Geller.
The United States Attorney's Office emphasized that an Indictment is merely an allegation and that all persons charged are presumed innocent until and unless proven guilty in court.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
##END##Eagle Pass Man Enters Guilty Plea to Aiding and Abetting Former Maverick County Precinct 2 Commissioner in Bulk Cash Smuggling SchemeRead the Press Release
In Del Rio, 62-year-old Jose Luis Aguilar of Eagle Pass, TX, faces up to five years in federal prison after pleading guilty this morning to aiding and abetting bulk cash smuggling announced United States Attorney Robert Pitman and FBI Special Agent in Charge Armando Fernandez.
Appearing before United States District Judge Alia Moses, Aguilar admitted that on January 4, 2011, he and co-defendant, 28-year-old David Gelacio, brought a total of $13,000 in U.S. Currency from Mexico through the Eagle Pass Port of Entry without declaring it to federal authorities. According to the factual basis filed in the case, Aguilar was carrying $7,000; Gelacio, $6,000. Aguilar also admitted that the money was the proceeds from selling a Ford truck owned by former Maverick County Precinct 2 Commissioner and co-defendant Rodolfo Heredia to individuals associated with the Los Zetas Cartel in Piedras Negras, Mexico. At the behest of Heredia, Aguilar had sold the truck in Mexico. The factual basis further states that after selling the truck, Heredia did not want Aguilar to declare the money to law enforcement when he entered the United States. So, he sent Gelacio to assist Aguilar in transporting the money from Mexico into the United States. Aguilar admitted that he knew he was assisting Heredia in his efforts to smuggle the funds back into the United States without having to declare the funds to the appropriate authorities.
Aguilar and Gelacio have remained in custody since their arrest in October 2012. Sentencing for Aguilar has yet to be scheduled. On January 24, 2013, Gelacio pleaded guilty to the same charge. Gelacio, who faces up to five years in federal prison, is scheduled to be sentenced on July 8, 2013. Heredia is currently scheduled for jury selection on May 21, 2013.
This ongoing investigation is being conducted by the Federal Bureau of Investigation and the Texas Department of Public Safety. Assistant United States Attorney Michael Galdo is prosecuting this case on behalf of the Government.
Defendant Jae Chul Shin Found GuiltyRead the Press Release
ALICIA A. G. LIMTIACO, United States Attorney for the Districts of Guam and CNMI, announced that a verdict was reached on Tuesday, March 26, 2013, after a two-week jury trial in the criminal case of U.S. v. Jae Chul Shin, Criminal Case No. 12-00041.
Defendant Shin, age 34, was found guilty of Importation of Methamphetamine Hydrochloride, in violation ofTitle 18, United States Code, § 2 and Title 21, United States Code, §§ 22, 952 and 960. The defendant used a courier to import 407 grams of methamphetamine worth approximately $250,000.
The defendant was remanded to the custody of the United States Marshal and will be held in jail until sentencing which is scheduled for July 8, 2013, at 1:30 P.M. in the District Court of Guam. Under federal law, the defendant faces a mandatory minimum of ten years imprisonment without parole and a maximum fine of four million dollars.
Assistant U.S. Attorney Karon V. Johnson prosecuted the case for the United States and was assisted by Special Agents from the Department of Homeland Security, Immigration and Customs Enforcement. Special credit is also given to Officer Shaun Kim of the Guam Police Department who acted as interpreter.
Cincinnati Construction Contractor Sentenced for Role in Bribery and Embezzlement SchemeRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
CINCINNATI – The owner and president of Sigma Capital, Inc. in Cincinnati, Samuel P. Mays, 62, was sentenced in U.S. District Court today to 51 months in prison followed by three years of supervised release for bribing a government official and stealing from his employees’ 401k funds.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Robert Hughes, Acting Special Agent in Charge, Federal Bureau of Investigation, Cincinnati Field Office (FBI), Elton Malone, Special Agent in Charge, Department of Health and Human Services, Office of the Inspector General (HHS-OIG), Office of Investigations, Special Investigations Branch, and L. Joe Rivers, Regional Director, U.S. Department of Labor, Employee Benefits Security Administration announced the sentence handed down today by Senior U.S. District Judge Sandra S. Beckwith.
A jury convicted Mays in September 2012 of one count each of bribery of a public official, conspiracy, theft or embezzlement from an employee pension plan, and making false statements.
The scheme involved Mays and another construction contractor, Paul McDonald, 70, of Pleasant Hill, California, and David Mersch, 61, the former Operations Officer for the Cincinnati offices of the U.S. Centers for Disease Control in Cincinnati.
According to trial testimony, Mersch, who lived in Florence, Kentucky accepted bribes from Mays and McDonald in the form of cash and home improvements with a value of at least $175,000 between 2005 and 2011. The jury also convicted Mays of deducting approximately $125,000 from his employees’ paychecks for contribution to their 401k plans, but never depositing the money.
“The nature of a bribery offense is difficult to quantify, because the victim is the public at large and the damage extends beyond the dollars exchanged,” Assistant U.S. Attorney Tim Mangan wrote in a memorandum filed with the court prior to sentencing. “This pattern of bribery undermines the government contracting process and destroys the presumed impartiality of federal contracting officers.”
McDonald pleaded guilty on November 9, 2011 to one count of bribery. He was sentenced on October 31, 2012 to serve five years of probation including 21 months of home confinement and pay a $5,000 fine. He was also disqualified from holding any office of honor, trust or profit and ordered to resign his employment with Entek Mechanical Corporation and to cooperate with the United States in seeking the surrender of Entek’s certification as a government contractor. Mersch pleaded guilty on July 19, 2011 to bribery and is serving 42 months in federal prison. Both testified against Mays during the trial.
“Mays victimized taxpayers and jeopardized his hard-working employees’ futures,” said Elton Malone, Special Agent in Charge of the Special Investigations Branch within the U.S. Department of Health and Human Services’ Office of Inspector General. “We will not tolerate conspiracy schemes and will continue to work tireless to punish such corruption.”
“Employer sponsored retirement plans serve a vital role in providing a financially secure retirement for America’s workers,” said L. Joe Rivers, Regional Director for the Cincinnati Regional Office of the Labor Department’s Employee Benefits Security Administration. “This case underscores EBSA’s commitment to protecting the assets of 401(k) and other employee benefit plans and punishing those who would divert these funds for their own enrichment.”
Stewart commended the cooperative investigation by FBI, HHS inspector general, and Department of Labor investigators, as well as Assistant U.S. Attorneys Timothy Mangan and Christy Muncy, who represented the United States in this case.
Mays will surrender to begin serving his prison sentence on a date to be set by the U.S. Marshals Service and the Bureau of Prisons.
Chief Money Launderer for National Drug Organization SentencedRead the Press Release
NORFOLK, Va. – Alano Christobo Blanco, 46, of Newport News, Va., was sentenced today to 235 months in prison, followed by 5 years of supervised release, for his participation in a complex drug trafficking organization operating between New York, California, and the Virginia Peninsula.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; and Mythili Raman, Acting Assistant Attorney General for the Criminal Division, made the announcement after sentencing by United States District Judge Mark S. Davis.
Blanco was found guilty by a federal jury on Nov. 7, 2012, and convicted of drug conspiracy, money laundering conspiracy, and interstate travel in aid of racketeering.
Blanco was charged, along with several co-defendants, in a superseding indictment returned on Aug. 15, 2012. According to court documents and evidence presented in court, suppliers of multi-kilogram quantities of illegal drugs in New York, California, Georgia, North Carolina and Texas distributed cocaine and marijuana to leaders of the long-running organization for further distribution on the Virginia Peninsula. Blanco was part of a sophisticated drug network that supplied the Thug Relations street gang, which was located primarily in the Aqueduct Apartments and Warwick Lawn Apartments in the Denbigh area of Newport News. From approximately 2004 until 2009, Blanco helped launder money from the drug sales in seemingly legitimate ventures, and served as one of several couriers who would transport kilograms of cocaine and large bulk cash payments between New York and the Virginia Peninsula.
This case was investigated by the FBI Safe Streets Task Force, the Virginia State Police, the Newport News Police Department, the Peninsula Narcotics Enforcement Task Force, and Homeland Security. Assistant United States Attorney Eric Hurt and Trial Attorney Louis Crisostomo of the Organized Crime and Gang Section in the Justice Department’s Criminal Division prosecuted 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.
Caroline County Man Pleads Guilty to Stealing Property from the Goddard Space Flight CenterRead the Press Release
Stole Tools and Scaffolding Which He Sold at Pawn Shops in Baltimore, Anne Arundel and Queen Anne’s CountiesGreenbelt, Maryland – Brandon Scott Gauss, age 28, of Preston, Maryland pleaded guilty late yesterday to theft of government property from the Goddard Space Flight Center, part of the National Aeronautics and Space Administration (NASA).
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Inspector General Paul K. Martin, NASA Office of Inspector General.
According to his plea agreement, Gauss was a contract employee at NASA. As an engineering technician at the Goddard Space Flight Center, he had access to tools and other property NASA owned. From October 2011 through November 2012, Gauss stole tools and aluminum scaffolding belonging to the government, which he sold to pawn shops for cash. Gauss made over 60 visits to pawn shops throughout Maryland, including Baltimore, Anne Arundel and Queen Anne Counties, and received at least $16,974. The government has recovered some of the items, worth at least $29,736. Gauss admits that he owes the government at least $11,574.35, the money he received from selling the stolen materials the government has been unable to recover.
As part of his plea agreement, Gauss will be required to pay restitution of $11,574.35 to the U.S. government; $4,461 to Fast Cash Pawn Shop in Annapolis, Maryland; and to forfeit at least $29,412.89.
Gauss faces a maximum sentence of 10 years in prison. U.S. District Judge Paul W. Grimm has scheduled sentencing for July 2, 2013 at 9:30 a.m.
United States Attorney Rod J. Rosenstein praised the NASA OIG, Office of Investigations for its work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Leah J. Bressack and Sujit Raman, who are prosecuting the case.
Cannon Ball Man Sentenced for Assaulting a Federal OfficerRead the Press Release
BISMARCK - U.S. Attorney Timothy Q. Purdon announced that on March 27, 2013, Raymond Blue Arm, 40, of Cannon Ball, N.D., was sentenced by U.S. District Judge Daniel L. Hovland on a charge of assaulting a federal officer. Blue Arm pleaded guilty to the charge on Nov. 14, 2012.
Judge Hovland sentenced Blue Arm to 10 months in federal prison, to be followed by three years of supervised release. Blue Arm was ordered to pay a $100 special assessment to the Crime Victim’s Fund.
On July 4, 2012, at Prairie Knights Casino, Blue Arm was harassing patrons and was asked to leave, but he refused. When law enforcement officers arrived, Blue Arm used a back pack to hit one of the officers in the side.
The case was investigated by the Federal Bureau of Investigation and the Standing Rock Police Department, with the assistance of the Standing Rock Tribal Prosecutor's Office.
Assistant U.S. Attorney Gary Delorme prosecuted the case.
Bristol Man Sentenced to 11 Months in Prison for Violating Conditions of Supervised ReleaseRead the Press Release
David B. Fein, United States Attorney for the District of Connecticut, announced that PATRICK J. WEGNER, 36, of Bristol, was sentenced today by Senior United States District Judge Ellen Bree Burns in New Haven to 11 months of imprisonment for violating the conditions of his supervised release that followed a 2007 conviction for possession of child pornography.
According to court documents and statements made in court, on June 20, 2007, Judge Burns sentenced WEGNER to 46 months of imprisonment, followed by five years of supervised release, for possessing child pornography. WEGNER was released from the custody of the Bureau of Prisons in December 2009 and he began serving his term of supervised release. As special conditions of his supervised release, WEGNER was required to register as a sex offender and not to associate with any child under the age of 18 except in the presence of a responsible adult who is aware of the nature of his offense and who has been approved by the United States Probation Office.
On March 11, 2013, the U.S. Probation Office learned that WEGNER was residing with a woman who was babysitting two children, at the children’s home, while the children’s parents were away on vacation. The parents of the children were not aware that a registered sex offender was staying at their home, and WEGNER had not notified the U.S. Probation Office or the Connecticut State Police Sex Offender Registry of his new address.
Previously, on April 29, 2010, Judge Burns sentenced WEGNER to two months of imprisonment after he was found to have violated his supervised release by being in the presence of children without supervision on more than one occasion in February and March 2010, and by not being truthful when questioned by a U.S. Probation officer.
At the conclusion of today’s court proceeding, WEGNER was taken into the custody of the U.S. Marshals Service to begin serving his 11-month sentence.
This case was prosecuted by Assistant United States Attorney Edward Chang with the assistance of law student intern Lauren Biksacky.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Brighton Man Pleads Guilty to Sex Trafficking of MinorsRead the Press Release
ROCHESTER, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that Thomas Cramer, 43, of Brighton, N.Y., pleaded guilty to sex trafficking of minors before U.S. District Judge Frank Geraci, Jr. The charge carries a mandatory minimum 10 years in prison, a maximum penalty of life, a fine of $250,000 or both.
Assistant U.S. Attorney John E. Rogowski, who is handling the case, stated that between April and December 2011, the defendant enticed, promoted and profited from the commercial sex activities of at least four females knowing, or in reckless disregard of the fact, that the females were under 18 years old. One incident involved the exchange of text messages between Cramer and a girl. The defendant enticed the girl by telling her she could make much more money performing commercial sex acts than she could working at a grocery store. Although the girl initially told Cramer she was older than 18, when she informed the defendant that she was 17 years old, Cramer was undeterred and continued to engage in salacious texting with the female.
Cramer placed advertisements on adult web sites regarding the availability of the minor females for commercial sex acts. The acts took place at hotels in the Rochester and Buffalo and in Cramer’s residence. Furthermore, customers were charged between $180 and $200 per hour to engage in sexual activities with the minor girls and that Cramer received a portion of those proceeds.
"Our Office along with our partners at all levels of government are aggressively fighting all forms of human trafficking, including the sex trafficking of minors," said U.S. Attorney Hochul. "Of particular concern is that many victims are being lured over the internet making them more vulnerable than ever to defendants like Thomas Cramer."
“Few crimes strike at our community the way sex trafficking does,” said James C. Spero, Special Agent in Charge of HSI Buffalo. “The sexual exploitation of children and young adults for financial gain demonstrates the extreme greed and depravity of sex traffickers. Our HSI special agents relentlessly pursue sexual predators to rescue their victims.”
The plea is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero, the New York State Police, under the direction of Major Mark Koss, and the Greece Police Department, under the direction of Todd K. Baxter.
Sentencing is scheduled for June 27, 2013 at 2:00 p.m. before Judge Geraci.
Blue Springs Couple, KCMO Residents among 20 Indicted for $814,000 PCP, Cocaine ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Blue Springs husband and wife and 13 Kansas City, Mo., residents are among 20 defendants who have been indicted by a federal grand jury for their roles in an $814,000 conspiracy to distribute PCP, cocaine and crack cocaine.
Walter Sorrells, 36, and his wife Bettie Sorrells, 36, both of Blue Springs; Reginald Marchbanks, 31, his brother, Parish Marchbanks, 28, Keith Williams, 39, Joey Frazier, 31, William Chaney, 25, Ronald Washington, 68, John Hicks, 36, Michael Harbin, 27, Jarell Mayberry, 29, Antonio Robertson, 35, Charles Littlejohn, 42, Maurice McCrary, 24 or 25, and Brett Stanley, 40, all of Kansas City, Mo.; Joseph Marshall, 30, of Kansas City, Kan.; Stephon Williams, 29, of Lynwood, Calif.; Vincent Hart, 39, and Arin Lamar Taylor, 31, both of Fontana, Calif.; and Colette Douglas, 36, of Grand Prairie, Texas, were charged in a two-count indictment that was returned under seal by a federal grand jury on March 13, 2013. The indictment was unsealed and made public today upon the arrests and initial court appearances of most of the defendants.
The federal indictment alleges that each of the co-defendants participated in a conspiracy to distribute one kilogram or more of PCP, 500 grams or more of cocaine and 280 grams or more of crack cocaine between Jan. 1, 2007 and March 13, 2013.
According to the indictment, at least 10 law enforcement-controlled purchases of PCP, cocaine and crack cocaine were conducted with at least five of the defendants. At least 10 arrests or searches of co-conspirators occurred where PCP, cocaine or crack was recovered, the indictment says, and on multiple occasions during the conspiracy, defendants were found in possession of hundreds or thousands of dollars in cash, with no known legitimate income.
The indictment also alleges that each of the co-defendants participated in a money-laundering conspiracy during that time. They allegedly conducted financial transactions that involved the proceeds of illegal drug trafficking. Cash and other items obtained from drug sales were used to purchase additional drugs for sale, the indictment alleges, and those items were taken in payment of drug debts and exchanged for additional drugs, which promoted the drug-trafficking conspiracy.
The indictment contains a forfeiture allegation, which would require all of the co-defendants to forfeit to the government $814,000, which was received in exchange for the unlawful distribution of PCP, cocaine or crack cocaine. According to the indictment, that is based upon a conservative street price of $200 per ounce of PCP (3,099 ounces distributed), $1,000 per ounce of cocaine (129 ounces distributed) and $1,100 per ounce of crack cocaine (60 ounces distributed).
The forfeiture allegation would also require Reginald Marchbank to forfeit his 2002 BMW and $9,280, which was seized by Kansas City, Mo., police officers following his arrest. Littlejohn would be required to forfeit his 2003 Cadillac, which he used to distribute PCP. Williams would be required to forfeit $4,500 of drug proceeds. Stanley would be required to forfeit his residence, which the indictment says was used extensively during the conspiracy for the distribution and storage of controlled substances.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Bruce Rhoades. It was investigated by the Kansas City, Mo., Police Department, the Drug Enforcement Administration, the FBI and IRS-Criminal Investigation.Baltimore Man Exiled to 15 Years in Prison on Gun and Drug ChargesRead the Press Release
Baltimore, Maryland - U.S. District Judge William D. Quarles, Jr. sentenced Joseph McKinsey Brown, age 29, of Baltimore, Maryland, today to 15 years in prison followed by five years of supervised release for conspiracy to distribute and possess with the intent to distribute cocaine, and possession of a firearm in furtherance of a crime of violence, in connection with the planned robbery of a drug dealer.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore City State’s Attorney Gregg L. Bernstein; and Commissioner Anthony W. Batts of the Baltimore Police Department.
According to Brown’s guilty plea, Brown, Donte Wise, and another co-conspirator, met with a confidential source of information (CS) and with an ATF undercover officer posing as a drug courier to plan the robbery of a drug dealer. Wise and his co-conspirators agreed to commit the armed robbery in exchange for half of the stolen cocaine, expected to be as much as seven kilograms, which they would then distribute. On August 15, 2012, the CS picked up Brown and his co-conspirators and drove to a location in Baltimore to meet the undercover officer, who was to provide a minivan for the conspirators to use to commit the robbery. After arriving at the meet location, ATF agents approached to arrest the conspirators. All three fled, discarding their weapons as they ran, but were caught and arrested. Brown and Wise each threw away a loaded 9mm handgun, which were recovered, along with the .45 caliber handgun thrown on a roof by the third conspirator. A search also recovered black rubber gloves and a black balaclava from Wise and black rubber gloves and a black ski mask from Brown.
Donte Wise, age 30, of Baltimore, Maryland, was previously sentenced to 15 years in prison on the same charges.
United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney James T. Wallner, who prosecuted the case.
Austin Computer Parts/Accessories Store Owner Pleads Guilty in Tax CaseRead the Press Release
In Austin, Richard Culleton, President of First E-Commerce, Inc. d/b/a Discount Electronics, faces up to five years in federal prison as well as restitution after pleading guilty this afternoon to evading the payment of an estimated $110,000 in corporate income taxes announced United States Attorney Robert Pitman and IRS-Criminal Investigation Special Agent In Charge Steve McCullough.
A two-count Information filed last week alleges that Culleton knowingly caused the filing of the Discount Electronics’ 2006 and 2007 tax returns which underreported the taxable income. Culleton is currently on bond pending sentencing. Sentencing is scheduled for 9:00am on June 6, 2013, before U.S. District Judge Lee Yeakel.
This investigation was conducted by the Internal Revenue Service-Criminal Investigation. Assistant United States Attorney Dan Guess is prosecuting this case on behalf of the Government.
Anchorage Couple sentenced for defrauding adopted child of over three quarters of a million dollars and filing a false tax returnRead the Press Release
Anchorage, Alaska-U.S. Attorney Karen L. Loeffler announced today that two Anchorage residents were sentenced on five counts of wire fraud and one count of filing a false income tax return.
Lori Wiley-Drones, 57, and Edward Drones, 62, were each sentenced today by U.S. District Court Judge Sharon L. Gleason, to 46 months in prison, to be followed by three years’ supervised release. The court ordered the defendants to pay a total of $829,417.74 in restitution to the victim.
According to Assistant U.S. Attorney Kim Sayers-Fay, who prosecuted the case, in 1996 the Drones became foster parents to a child who had experienced abuse. The Drones later adopted this child and then filed a lawsuit on his behalf charging the State of Alaska with failure to protect. The lawsuit resulted in establishment of a trust fund of over $830,000 for the child.
According to information presented in court, in March 2009, after the child’s professional trustee declined Lori Wiley-Drones’ demand that the child purchase the family’s home, the Drones began arranging the removal of the professional conservator in favor of Edward Drones, who falsely stated that he had not filed for bankruptcy in the past ten years. When Edward Drones assumed control of the child’s trust fund in December 2009, he assured the state court that he understood his obligation to keep the child’s property separate from his own and never to use the child’s property for his own benefit. However, upon gaining control of the trust account, Edward Drones immediately shared this control with his wife. The defendants admitted that over the next ten months, Lori Wiley-Drones and Edward Drones spent virtually all of the trust money. In one instance, Lori Wiley-Drones bought and renovated a house in Washington with the child’s trust money. The Drones used over $125,000 to pay credit card bills, $67,088 to purchase cars, and $38,000 to purchase jewelry. By December 2010, only $15.05 remained in the child’s trust account. The Drones filed a false income tax return by failing to report any of the more than $700,000 in misappropriated funds as income in 2010.
In sentencing the Drones, Judge Gleason observed that by decimating their adoptive son’s trust fund, the Drones destroyed his ability to trust people, which was an attribute all the more precious because of the trauma he had endured in early life. The judge noted that the sentence she imposed reflected that this fraud was particularly damaging: the victim’s biological father compromised his childhood, and then the Drones compromised his future – and for things like Coach Purses, fine jewelry, clothes and cars.
“This type of fraud is as damaging as it is heartbreaking. The sentence reflects the need to protect those who are our most vulnerable individuals and deter those who would trade on and take advantage of that vulnerability”, stated U.S. Attorney Karen L. Loeffler.
Kenneth J. Hines, Special Agent in Charge of the IRS Criminal Investigation Division in the Pacific Northwest, indicated he was pleased with the 46-month sentences for Edward and Lori Wiley-Drones and stated, “Being a parent is one of the most important things we will have the pleasure of doing in our lifetime. So when greed clouds people’s judgment to the point where they cause harm to their children, as a law enforcement officer it’s my duty and responsibility to vigorously pursue the investigation. This sentencing proves that in our community, crimes against the vulnerable will not go unpunished.”
Ms. Loeffler commends the Internal Revenue Service, Criminal Investigation Division for the investigation of this case.Al Shabaab Operative Sentenced in Manhattan Federal Court to 111 Months in Prison for Conspiring to Support and Receive Military-Type Training from A Foreign Terrorist OrganizationRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that MOHAMED IBRAHIM AHMED was sentenced today in Manhattan federal court to 111 months in prison for conspiring to provide material support to, and receive military-type training from, al Shabaab, a terrorist organization based in Somalia. The U.S. Department of State has designated al Shabaab as a Foreign Terrorist Organization. He was sentenced by U.S. District Judge P. Kevin Castel.
Manhattan U.S. Attorney Preet Bharara said: “Mohamed Ibrahim Ahmed traveled thousands of miles to align himself with al Shabaab, to aid their campaign of terror, and to learn their ‘ways of war.’ Today, his journey ends in prison and marks the latest victory in our constant effort to protect Americans from terrorism at home and around the world.”
According to the Superseding Information filed in Manhattan federal court, and prior court filings:
Al Shabaab has used violent means to destabilize the government of Somalia and to force the withdrawal of foreign troops from the country. The group has recruited foreign fighters to join in its “holy war” in Somalia, resulting in men from other countries, including the United States, traveling there to engage in violent jihad. Al Shabaab has also made numerous public statements demonstrating its intent to harm the United States.
In early 2009, AHMED left his home in Sweden and traveled to Somalia in order to support and receive military-type training from al Shabaab. While in Somalia, AHMED contributed approximately 3,000 Euros to al Shabaab, received training and instruction with respect to bomb-making and bomb-detonation, and purchased an AK-47 rifle, additional magazines, and two grenades. AHMED subsequently provided the rifle and magazines to an al Shabaab military commander.
In addition to the prison term, an order of judicial removal was signed, and AHMED will be deported upon completion of the sentence. He was also ordered to pay a mandatory $200 special assessment.
AHMED, 38, a native of Eritrea and a lawful resident of Sweden, was arrested in Nigeria in November 2009. On March 6, 2010, AHMED was transferred to the custody of the United States and subsequently transported to the Southern District of New York for prosecution.
AHMED pled guilty in June 2012 to one count of conspiracy to provide material support to a Foreign Terrorist Organization (al Shabaab) and one count of conspiracy to receive military-type training from a Foreign Terrorist Organization (al Shabaab).
Mr. Bharara praised the outstanding investigative work of the FBI’s Joint Terrorism Task Force based in Manhattan – which principally consists of special agents of the FBI and detectives of the New York City Police Department. He also expressed gratitude to the U.S. Department of Justice’s National Security Division, the Office of International Affairs, and the U.S. Department of State for their extraordinary assistance in the case. Mr. Bharara also thanked the Governments of Sweden and Nigeria for their assistance in this matter.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant United States Attorneys Benjamin Naftalis, John P. Cronan, and Rachel P. Kovner are in charge of the prosecution.
Akron Woman Charged with Tax ViolationsRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, announced that Kelly Prigmore was indicted on two counts of making and subscribing false federal income tax returns for the years 2006 and 2007.
According to court records, Prigmore, 42, resides in Akron, Ohio.
The indictment alleges that Prigmore worked as a self-employed home health care provider for a client who paid her for live-in 24 hour services. Prigmore allegedly filed joint personal income tax returns on which she omitted approximately $209,601 of her home health care service income.
For 2006, she reported total income of $8,600 and omitted additional income of approximately $96,806. For 2007, she reported total income of $8,990 and omitted additional income of approximately $112,795, according to the indictment.
If convicted, Prigmore’s sentence will be determined by the court after review of factors unique to this case, including her prior criminal record, if any, her role in the offenses, and the characteristics of the violations. In all cases the sentence will not exceed the statutory maximum and in most cases they will be less than the maximum.
This case is being prosecuted by Special Assistant United States Attorney Perry D. Mastrocola and Assistant United States Attorney John Siegel, following an investigation by the Internal Revenue Service, Criminal Investigation, Akron, Ohio.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Abilene Man Sentenced to 20 Years in Federal Prison for Throwing Molotov Cocktails onto Roof of Convenience Store That Resulted in Injury to His Ex-WifeRead the Press Release
ABILENE, Texas —Kenneth Mark McWilliams, 54, was sentenced yesterday by U.S. District Judge Jorge A. Solis to 20 years in federal prison for throwing Molotov cocktails onto the roof of a convenience store in Abilene, that resulted in personal injury to his ex-wife when she ran out of the building and he shot and assaulted her. McWilliams, a resident of Abilene, has been in custody since his arrest following the incident in May 2010. The announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
McWilliams pleaded guilty in September 2012 to a superseding information charging one count of maliciously damaging a building by fire resulting in personal injury. According to documents filed in the case, on May 31, 2010, McWilliams went to Allsup’s Convenience Store, located on Ambler Avenue in Abilene, where his ex-wife was working, and parked his vehicle at the back of the store. Armed with Molotov cocktails, McWilliams lit two of them and threw both of them on the store’s roof. They ignited and started a fire on the roof that resulted in significant damage to the building.
McWilliams waited at the rear corner of the building until his ex-wife and another female employee left the burning building. When he saw his ex-wife, McWilliams fired one round from a .12 gauge shotgun at her, striking her. Both women ran and McWilliams caught up to his ex-wife and held her against her will, used a stun gun to shock her and tried to tie her with a rope. When officers with the Abilene Police Department arrived at the store, they saw McWilliams assaulting her. They subdued and restrained McWilliams.
McWilliams had several Molotov cocktails in his vehicle, and during a search of his residence, law enforcement found not only plastic and metal gasoline containers, but a diagram that indicated a plan that McWilliams would use to carry out his assault on the convenience store, his ex-wife and others who may have been present.
The case was investigated by the Abilene Police Department, the Abilene Fire Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Deputy Criminal Chief Assistant U.S. Attorney Denise Williams prosecuted.
Tuesday 26 March 2013
Wisconsin Man Charged with Taking Part in Cyber-Attack on Koch Industries in WichitaRead the Press Release
WICHITA, KAN. – A Wisconsin man has been charged with taking part in a cyber-attack on Koch Industries in Wichita that was organized by a group called Anonymous, U.S. Attorney Barry Grissom said today.
Eric J. Rosol, 37, Black Creek, Wis., is charged with one count of conspiracy to damage a protected computer and one count of damaging a protected computer. The indictment alleges the following:
In February 2011, a loosely organized group of computer hackers called Anonymous began using Internet Relay Chat (IRC) channels to advertise a dedicated denial of service attack against Koch industries and seeking participants to the attack. Such an attack aims at making a computer resource unavailable to users by saturating the target computer with large numbers of external communication requests. If successful, the attack causes the target computer to be unable to respond or to respond so slowly as to be effectively unavailable to users.
The attack was to be undertaken using a tool known as a “Low Orbit Ion Cannon” that could send a high volume of repeated requests to Koch Web sites.
On Feb. 27, 2011, Anonymous told conspirators to use the Low Orbit Ion Cannon to attack a Koch Industries Web site, “quiltednorthern.com.”
On Feb. 28, 2011, Anonymous told conspirators to attach a Koch Industries Web site, “Kochind.com.” Rosol and others launched Low Orbit Ion Cannon attacks on “Kochind.com.”
As a result of the attack, the Web site “Kochind.com” crashed and was unavailable for legitimate traffic.
If convicted, the defendant faces a maximum penalty of five years in federal prison and a fine up to $250,000 on each count. The FBI investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
OTHER INDICTMENTS
Maurice Kariuki Gita Waweru, 36, a citizen of Kenya, is charged two counts of failing to depart the United States as ordered and two counts of forcibly resisting agents of Homeland Security. The crimes are alleged to have occurred in January 2013 in Sedgwick County.
If convicted, he faces a maximum penalty of four years in federal prison without parole and a fine up to $250,000 on each count of failing to depart the country as ordered, and a maximum penalty of eight years and a fine up to $250,000 on each count of forcibly resisting. ICE’s Enforcement and Removal Operations investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
Rigoberto Navarrete-Pena, 33, a citizen of Mexico, is charged with one count of unlawful possession of a firearm by an illegal alien, one count of possessing a stolen firearm, one count of unlawful possession of a firearm by a user of controlled substances and one count of possession of methamphetamine. The crimes are alleged to have occurred March 19, 2013, in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of 20 years in federal prison without parole and a fine up to $250,000 both on the counts of unlawful possession of a firearm by an alien and possession of a stolen firearm. He faces a maximum penalty of a year in prison and a fine up to $1,000 on the misdemeanor methamphetamine charge. The Wichita Police Department investigated. Assistant U.S. Attorney Lanny Welch is prosecuting.
Marcus Sanders, 30, Wichita, Kan., and Christopher Williams, 30, Wichita, Kan., are charged with one count of possession with intent to distribute crack cocaine. In addition, Sanders is charged with one count of unlawful possession of a firearm in furtherance of drug trafficking. The crimes are alleged to have occurred Aug. 2, 2012, in Sedgwick County, Kan.
Upon conviction the crimes carry the following penalties:
Possession with intent to distribute crack: Not less than five and not more than forty years and a fine up to $2 million.
Unlawful possession of a firearm in furtherance of drug trafficking:Not less than five years and a fine up to $250,000.The Wichita Police Department investigated. Special Assistant U.S. Attorney Michelle Jacobs is prosecuting.
William P. Cadle, 49, DeKalb, Texas, is charged with one count of making false statements to a government agency, four counts of loan fraud, and one count of criminal conversion of mortgaged property. The crimes are alleged to have occurred at various times during 2008 through 2012 in Montgomery County, Kan.
The indictment alleges he made false statements in order to qualify for a Farmer Service Agency operating loan and that he overvalued property in order to defraud the First National Bank.
If convicted, he faces a maximum penalty of five years in federal prison and a fine up to $250,000 on the charge of making false statements to the government; a maximum penalty of 30 years and a fine up to $1 million on each count of loan fraud; and a maximum penalty of five years and a fine up to $250,000 on the count of criminal conversion of mortgaged property. The U.S. Department of Agriculture investigated. Assistant U.S. Attorney Aaron Smith is prosecuting.
Leonel Vazquez-Juarez, 40, a citizen of Mexico, is charged with unlawfully re-entering the United States after being deported. He was found March 8, 2013, in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of two years in federal prison without parole and a fine up to $250,000. Homeland Security Investigations investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
Edgar Juarez-Perez, 25, a citizen of Guatemala, is charged with unlawfully re-entering the United States after being deported. He was found March 8, 2013, in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of two years in federal prison without parole and a fine up to $250,000. ICE’s Enforcement and Removal Operations investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
Paul David Lieder, 39, Hillsboro, Kan., is charged with one count of Social Security disability fraud. The crime is alleged to have occurred at various times from November 2008 to August 2012 in Marion County, Kan.
If convicted, he faces a maximum penalty of five years in federal prison and a fine up to $250,000. The Social Security Administration - Office of Inspector General investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
L.T. Baker, 54, Wichita, Kan., is charged with is charged with one count of Social Security disability fraud. The crime is alleged to have occurred at various times from 2000 to September 2012 in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of five years in federal prison and a fine up to $250,000. The Social Security Administration - Office of Inspector General investigated. Assistant U.S. Attorney Brent Anderson is prosecuting.
Curtis Profit, 31, Wichita, Kan., is charged with one count of unlawful possession of a firearm after a felony conviction. The crime is alleged to have occurred Jan. 24, 2013, in Sedgwick County, Kan.
If convicted, he faces a maximum penalty of 10 years and a fine up to $250,000. The Wichita Police Department investigated. Special Assistant U.S. Attorney Michelle Jacobs is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Weiser Man Sentenced for Conspiracy to Traffic Meth in IdahoRead the Press Release
BOISE – Dawson Lee Moore, 60, of Weiser, was sentenced today in United States District Court to 36 months in prison followed by five years of supervised release for conspiracy to possess with intent to distribute methamphetamine, U.S. Attorney Wendy J. Olson announced. Dawson appeared today before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise. He pleaded guilty to the charge on January 4. Dawson is the twelfth defendant sentenced in the case.
According to court documents, Dawson admitted that from early November 2011 through May 16, 2012, he conspired with others, including co-defendants, to distribute a total of approximately 11 pounds of methamphetamine in Canyon, Payette and Washington counties in Idaho.
Sentenced in February 2013 to serve federal prison sentences were co-defendants Benjamine L. Vertner, of Ontario, Oregon, to 138 months; Patric Campbell, of Boise, to 124 months; Kristopher Hensley, of Weiser, to 51 months; Johnny A. Tambunga, of Weiser, to 47 months; Jacob James Clevenger, of Weiser, to 188 months; Mario Martinez, Jr., of Greenleaf, Idaho, to 57 months; and Fabian Jordano Beltran, of Weiser, to 36 months.
Three co-defendants await sentencing following their January 22 conviction for conspiracy to distribute methamphetamine. Michael Dennis Morris, Jim Allen Loveland, and Jesus Guadalupe Sanchez a/k/a Jose Salazar, a Mexican national, who was also convicted of possession of methamphetamine with intent to distribute, are scheduled to be sentenced on April 8.
The case was investigated by the Idaho State Police.
Waynesboro, Georgia Tax Preparer Indicted for Preparing False Tax ReturnsRead the Press Release
AUGUSTA, GA: Carlos Newton, 43, from Waynesboro, Georgia, was indicted by a federal grand jury sitting in Savannah earlier this month for his role in the preparation of numerous false and fraudulent federal tax returns. Newton was arraigned on his federal charges yesterday before U.S. Magistrate Judge W. Leon Barfield.
According to allegations within the indictment, Newton held himself out as an income tax preparer for hire from 2009 through 2011. During this time, Newton put fictitious businesses, fictitious income, and fictitious expenses on federal income tax forms, which fraudulently qualified some of his clients for refunds through the earned income tax credit. Newton would then allegedly take a cut of the refunds fraudulently received.
The indictment charges Newton with 22 separate counts of preparing false tax returns. If convicted, Newton faces a maximum statutory penalty of 3 years in prison and a $250,000 fine on each count. An indictment is only an accusation and is not evidence of guilt. The Defendant is entitled to a fair trial, during which it will be the Government’s burden to prove the Defendants’ guilt beyond a reasonable doubt.
Special Agent Roger M. Garland of IRS Criminal Investigations conducted the investigation which led to the indictment. This case is being prosecuted by Assistant United States Attorney Lamont A. Belk. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.Waltham Police Officer Arrested on Child Pornography ChargesRead the Press Release
BOSTON – A Waltham police officer was charged today with sending and receiving child pornography.
Paul Manganelli, 46, of Waltham, was charged in a criminal complaint with receipt of child pornography. The statute provides for a mandatory minimum sentence of five years and up to 20 years in prison, followed by a lifetime of supervised release and a $250,000 fine. At an initial appearance this afternoon, Chief Magistrate Judge Leo T. Sorokin ordered Manganelli detained until March 28, 2013 when he will return to court for a detention hearing.
According to court documents, agents learned that Manganelli, using a Yahoo! email address, had been sending and receiving images containing child pornography from his home in Waltham to individuals outside of Massachusetts. On March 25, 2013, a search warrant was executed at Manganelli’s home, during which Manganelli admitted possessing, receiving and distributing child pornography via email. Manganelli further identified images of child pornography as being photos he sent and received.
United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Stacy Dawson Belf of Ortiz’s Major Crimes Unit.Members of the public who have questions, concerns or information regarding this case should call 617-748-3274, and messages will be promptly returned.
This case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
The details contained in the complaint affidavit are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Utah Man Sentenced to Prison for Transportation of Another with Intent to Engage in Illegal Sexual ActivityRead the Press Release
TUCSON – On March 25, 2013, Jordan Munah Yow Choy Anthony, 21, of Pleasant Grove, Utah, was sentenced by U.S. District Judge Raner C. Collins to four years in the Bureau of Prisons. Following incarceration, Anthony will be on lifetime supervision with sex offender conditions, including registering as a sex offender. Anthony pleaded guilty on Nov. 2, 2012, to transportation of another with intent to engage in illegal sexual activity.
From March 14-18, 2011, in Arizona, and elsewhere, Anthony used the internet and a cellular phone to communicate with a minor in Arizona, who he knew to be 14 years old. In December 2010, Anthony sent an e-mail to the minor about plans to pick her up and drive to Florida. On March 14, 2011, Anthony traveled from his hometown in Pleasant Grove, Utah, to Arizona, to pick up the minor at her residence. He traveled with the minor through New Mexico and into Galveston, Texas intent on continuing to Florida. On March 18, 2011, they were found in Galveston and Anthony was arrested by local police officers.
The investigation in this case was conducted by the Federal Bureau of Investigation, the Pima County Sheriff’s Department, and the Galveston, Texas, Police Department. The prosecution is being handled by Raquel Arellano, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-11-1387-TUC-RCC
RELEASE NUMBER: 2013-023_AnthonyFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Ukranian National Sentenced to Prison for Access Device FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that a 29-year-old Ukranian national who resided in the Poconos at the time of his arrest was sentenced Monday to serve 27 months in prison for access device fraud by Senior U.S. District Court Judge James M. Munley.
According to United States Attorney Peter J. Smith, Igor Shaposhnikov, age 29, who resided in Stroudsburg, Pennsylvania, at the time of the offense, previously pleaded guilty to possessing approximately 140 counterfeit credit cards with the intent to defraud. Shaposhnikov committed the offense in June 2008.
Shaposhnikov was indicted by a federal grand jury on June 17, 2008, as a result of an investigation by the Federal Bureau of Investigation.
Judge Munley ordered that the 27-month prison sentence in this case run consecutive to a 102-month prison sentence imposed on Shaposhnikov in the Southern District of Florida for similar conduct committed by the defendant after he fled the Middle District of Pennsylvania while awaiting sentencing in this case.
Judge Munley also ordered that Shaposhnikov be placed on three years of supervised release after serving his prison sentence, pay restitution of $33,814.09, pay a $100 special assessment, and forfeit to the United States $8,297 in cash, a Samsung Plasma Television, two Sony Handycams, and a 2006 Chrysler vehicle. Shaposhnikov also faces possible deportation as a result of his conviction.
The case was prosecuted by Assistant U.S. Attorney Francis P. Sempa.
U.S. Attorney Stephanie A. Finley and Other Louisiana Citizens Honored at Alpha Kappa Alpha Sorority's 81st Regional Conference for Public ServiceRead the Press Release
Lafayette, La. – United States Attorney for the Western District of Louisiana, Stephanie A. Finley, was recognized on March 22, 2013, at Alpha Kappa Alpha Sorority’s 81st Regional Conference for her public service as U.S. Attorney for the Western District of Louisiana. The public service award is presented to citizens for distinguished service to their community as a part of the organization’s commitment to serve mankind. Alpha Kappa Alpha is an international service organization founded in 1908 as the oldest Greek-letter sorority established by African-American college-educated women.
United States Attorney Finley is a Grambling State University and Southern University Law Center graduate who was selected by President Barack Obama in January of 2010, after being recommended by Senator Mary Landrieu and confirmed by the U.S. Senate in June of 2010, to serve as the United States Attorney for the Western District of Louisiana. She was sworn into office on June 2, 2010. Ms. Finley is the first woman in the State of Louisiana appointed as U.S. Attorney. She serves as the chief law enforcement officer for 42 of the 64 parishes in Louisiana and is charged with the prosecution of criminal cases brought by the Federal Government and the prosecution and defense of civil cases in which the United States is a party.
Other honorees included Chief Justice of the Louisiana Supreme Court, Bernette Joshua Johnson, State Representative Patricia Haynes Smith, President of Xavier University of Louisiana, Dr. Norman C. Francis, Executive Director of the Ellis Marsalis Center for Music, A. Michele Jean-Pierre, Director of Human Resources for the Jefferson Parish School System, Cynthia M. A. Butler-McIntyre, Founder of Love in Action Outreach, Inc., Gail Womack-Murray, Oscar nominee Quvenzhane Wallis, Isidore Newman High School Senior Ashley Adams, Isidore Newman Upper School Ninth Grade Honor Student Princeton Jerome Carter, and Kid Chef Eliana de Las Casas.
Two Mississippi Men Sentenced on Federal Drug ChargesRead the Press Release
Jackson, Miss – Antonio Latorn Shelton, a/k/a “Chuck”, 38, of Jackson, was sentenced in federal court today to 72 months in federal prison followed by three years of supervised release for possession with intent to distribute cocaine, U.S. Attorney Gregory K. Davis announced. He was also ordered to pay restitution in the amount of $25,700.
Willie Milton Cage Jr., 28, of Vicksburg, was sentenced to six months in federal prison followed by six months home confinement and three years of supervised release for possession with intent to distribute cocaine. He was also ordered to pay a $1,000 fine.
This case was the result of an extensive investigation targeting illegal narcotics distribution in the City of Jackson. It was investigated by the U.S. Drug Enforcement Administration HIDTA Group with assistance from the Mississippi Bureau of Narcotics, U.S. Marshal Service, Warren County Sheriff’s Department, Vicksburg Police Department, Jackson Police Department and Hinds County Sheriff’s Department. It was prosecuted by Assistant U.S. Attorney Erin Chalk.###
If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims, contact the National Center for Disaster Fraud toll free at:
(866) 720-5721
You can also fax information to:
(225) 334-4707
or e-mail it to:
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Three Charged of Sex Trafficking of A MinorThird Sex Trafficking Prosecution in 10 MonthsRead the Press Release
BOSTON - In an indictment unsealed today, a Roxbury woman and two Boston men have been charged with sex trafficking of a minor. This is the third sex trafficking case within 10 months to be charged by United States Attorney Carmen M. Ortiz’s office.
Darian Thomson, a/k/a Bo, 29, of Boston, Corey Norris, a/k/a Case or Jacorey Johnson, 23, of Boston, and Vanessa Grandoit, 24, of Roxbury, were charged with sex trafficking of a minor victim and transportation of the minor with intent to engage in criminal sexual activity. The sentence under the statute is a maximum of life in prison.
According to the indictment, in December 2012, Thomson, Norris and Grandoit conspired to transport a minor from Massachusetts to Rhode Island to engage in criminal sexual activity.U.S. Attorney Ortiz; Bruce M. Foucart, Special Agent in Charge of U.S. Immigration and Custom’s Enforcement Homeland Security Investigations in Boston; and Boston Police Commissioner Edward Davis, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Amy Harman Burkart of Ortiz’s Civil Rights Enforcement Team.
The details contained in the Indictment are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The aggressive enforcement of federal civil rights laws is a top priority of the U.S. Attorney’s Office. Since U.S. Attorney Ortiz created the Civil Rights Enforcement Team (CRET) in May 2010, the Office has substantially increased its focus on civil and criminal civil rights enforcement. In recent months, the CRET has charged Michael Gemma and Darrell Graham in separate cases with sex trafficking.
Thirty-Four People Charged in Connection with Takedown of Violent Drug Trafficking OrganizationRead the Press Release
Twenty-five Alleged Members and Associates of ‘Dirty Block’ Street Gang Arrested in Pre-dawn Raids; Others in Custody from Previous Arrest
CAMDEN, N.J. – Twenty-five people associated with a criminal street gang that allegedly used threats, intimidation and violence to maintain control of the illegal drug trade in Atlantic City were arrested today in pre-dawn raids by agents of the FBI, the N.J. State Police and officers of the Atlantic City Police Department, U.S. Attorney Paul J. Fishman announced.
The arrests deal a significant blow to the criminal street gang known as “Dirty Block,” a/k/a “Crime Fam,” “3.6.6.12,” or “3.6,” which allegedly operates in a geographic area of Atlantic City that includes the public housing apartment complexes of Stanley Holmes, Carver Hall, Schoolhouse, Adams Court and Cedar Court. The defendants are scheduled to make their initial court appearances this afternoon before U.S. Magistrate Judges Ann Marie Donio and Karen M. Williams in Camden federal court.
“The defendants in this case created an atmosphere of fear and presented real danger to the people who shared their Atlantic City neighborhood,” U.S. Attorney Fishman said. “And they did it so that they could prosper from selling illegal drugs. The law-abiding people of New Jersey – whether they live in the suburbs, on a farm, or in the oldest housing project in New Jersey – deserve to have neighborhoods that are safe places to walk and raise their families. I really hope that today’s arrests will give them that chance.”
FBI Acting Special Agent in Charge David Velazquez said, “The Dirty Block gang had placed a community under siege and extraordinary law enforcement efforts became necessary. The collaboration of federal, state, and local law enforcement authorities have made possible the return of the community to its people.”
Acting Atlantic County Prosecutor James P. McClain said: “This operation has been an excellent example of how cooperating law enforcement can take down a criminal organization and therefore make our community safer. In Atlantic County, we will continue to work with all other available law enforcement agencies to take down those criminal groups that remain or those that might spring up to replace this one.”
The 25 defendants arrested today are among 34 people charged by Complaint – including two brothers who have already been arrested and charged in connection with Atlantic City’s first homicide of 2013 and several defendants already in custody – with participating in a conspiracy to distribute heroin since at least October 2012.
According to documents filed in this case and statements made in court:
An investigation using surveillance, confidential informants, controlled drug purchases, record checks and telephone wiretaps revealed that Dirty Block acquires and distributes heroin, cocaine and prescription drugs; maintains various stash houses and drug dens; and possesses numerous illegal firearms to maintain control of drug distribution and to intimidate, threaten and kill rivals.
Intercepted telephone conversations reveal that two of the principal targets charged today – Mykal Derry, a/k/a “Koose,” and his brother Malik Derry, a/k/a “Lik” – conspired to murder a rival drug dealer, Tyquinn James, a/k/a “T.Y.,” and that on Feb. 10, 2013, Malik Derry allegedly carried out the homicide. The two brothers were arrested on Feb. 11, 2013. The intercepted conversations also describe an incident at the Tropicana Casino on Dec. 24, 2012, in which members of the Dirty Block gang spotted members of a rival gang and attempted to obtain weapons in order to ambush them before they left the casino. Failing that, they chased down and violently assaulted their rivals.
The Dirty Block drug trafficking organization utilizes many people who performed various functions to facilitate the enterprise. These include narcotics suppliers (who sell bulk quantities of heroin at discounted prices), gang leaders (such as Mykal Derry and Tyrone Ellis, a/k/a “Rome”), enforcers or “shooters,” distributors, dealers, runners, couriers, facilitators (who provide cars, phones, locations, and money laundering services) and testers (who ingest narcotics, at the request of a distributor, in order to assess quality).Mykal Derry, a Dirty Block gang leader and mid-level heroin distributor, has used several conspirators, who are also charged in the Complaint, to store drugs, money and weapons in their homes and to acquire narcotics from higher-level suppliers for distribution in the Atlantic City area. Derry distributed more than a kilogram of heroin to street buyers in quantities referred to as “bricks” (or “walls”), “bundles,” and “bands” (or “rubber bands”). This heroin was marketed using numerous “stamps” that suppliers, distributors, and dealers use to brand their product.
Mykal Derry, along with Ellis, and their conspirators frequently possessed firearms, despite prior felony convictions prohibiting such possession, in furtherance of the conspiracy’s goals. On two separate occasions in October 2012, Derry and other co-conspirators – all previously convicted felons – photographed themselves, and were observed and video recorded, holding, loading and using firearms at the Shore Shot shooting range in Lakewood, N.J.
Defendants Maurice Thomas and Mark Frye were the primary heroin suppliers to Mykal Derry and Tyrone Ellis, providing them with more than a thousand bricks of heroin between October 2012 and February 2013. Wiretaps revealed that Derryand Ellis are but two of Thomas’ and Frye’scustomers. Thomas and Frye are believed to be leaders of a sophisticated drug trafficking organization that has multiple lines of supply and uses multiple subjects who meet with customers and distribute large quantities of heroin from multiple tower style apartment buildings, on multiple floors. Thomas and Frye were both intercepted over the wiretaps arranging and conducting drug transactions with both Derryand Ellis.
Following Hurricane Sandy in late October 2012, conspirators defrauded the Federal Emergency Management Agency (“FEMA”) by lying about the extent of damage they sustained and provided an address for the receipt of FEMA disaster relief funds that was a storage location used for drug trafficking.Dirty Block was able to secure the release of its members from prison with the services of a corrupt bail bondsman, identified in the complaint as “P.J.L.,” who is employed at Rapid Bail Bonds in Atlantic City. P.J.L. assisted Mykal Derry and other Dirty Block members by procuring fraudulent evidence of employment in order for individuals to act as co-signers of bonds. Derry also has provided P.J.L. with heroin, which intercepted communications reveal was used by P.J.L. for resale.
Despite its specialization in the supply of heroin, Dirty Block members abused various prescription medications and occasionally supplied cocaine as well. On one occasion, one of Mykal Derry’s couriers, Ambrin Qureshi, advised him that she had access to Roxicet prescription medication: “My peoples got a line on pure Roxy straight from the pharmaceutical company, uncut. Raw….”
Intercepted communications also revealed the fascination of several conspirators with “The Wire,” the popular HBO series (2002 to 2008) about the wiretap of a Baltimore-based drug conspiracy. In one conversation between Mykal Derry and his younger brother Malik, Mykal said that he was watching “The Wire” at the time, to which Malik responded that he, too, was watching “The Wire,” and, like Mykal, had “all the seasons.”
U.S. Attorney Fishman credited special agents of the FBI’s Newark Division, Atlantic City Resident Agency, under the direction of Acting Special Agent in Charge Velazquez; the Atlantic County Prosecutor’s Office, under the direction of Acting Prosecutor McClain; the Atlantic City Police Department, under the direction of Police Chief Ernest Jubilee and Public Safety Director William R. Glass; and the South Jersey Safe Streets Violent Incident and Gang (“Safe Streets”) Task Force, with the investigation leading to today’s arrests.
He also thanked the N.J. State Police; the Atlantic County Sheriff’s Office; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Northfield Police Department; the Vineland Police Department; the Brigantine Police Department; the Millville Police Department; the Mullica Township Police Department; the South Jersey Transportation Authority; and the U.S. Secret Service for their contributions.
The government is represented by Assistant U.S. Attorneys Patrick C. Askin and Justin C. Danilewitz of the U.S. Attorney’s Office Criminal Division in Camden.
The charges and allegations contained in the Complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.13-142
Defendants
NameAge
Residence
Role
20
Pleasantville, N.J.
Enforcer/dealer
Kamal Allen
25
Atlantic City, N.J.
Enforcer/dealer
Rashada Allen
26
Atlantic City, N.J.
Facililtator
Kareem Bailey
19
Atlantic City, N.J.
Dealer/youngin’
Wanda Bishop
32
Atlantic City, N.J.
Distributor
Wallace Boston
61
Atlantic City, N.J.
Dealer
Jodi Brown
40
Atlantic City, N.J.
Facilitator/dealer/tester
Latasha Cherry
29
Millville, N.J.
Facilitator/courier
Ronald Davis
27
Atlantic City, N.J.
Dealer
Terry Davis
24
Atlantic City, N.J.
Enforcer/dealer
Malik Derry
22
Atlantic City, N.J.
Enforcer/distributor
Mykal Derry
32
Atlantic City, N.J.
Leader/distributor
Quasim Duncan
19
Mays Landing, N.J.
Dealer
Tyrone Ellis
31
Galloway, N.J.
Leader/distributor
Mark Frye
32
Paterson, N.J.
Supplier
Jeffrey Harvey
28
Collings Lakes, N.J.
Distributor
Kasan Hayes
26
Atlantic City, N.J.
Dealer/runner/youngin’
Ronald Johnson
29
Atlantic City, N.J.
Distributor
Raymond Mack
19
Atlantic City, N.J.
Dealer/youngin’
Lamar Macon
24
Atlantic City, N.J.
Dealer/runner/youngin’
Ambrin Qureshi
32
Atlantic City, N.J.
Courier/runner/facilitator
Franklin Simms
29
Atlantic City, N.J.
Distributor/facilitator
Kimberly Spellman
31
Egg Harbor Township, N.J.
Courier/runner/facilitator
Laquay Spence
22
Atlantic City, N.J.
Dealer/runner/youngin’
Shaamel Spencer
29
Atlantic City, N.J.
Enforcer/dealer
Rayshell Strong
32
Atlantic City, N.J.
Distributor/courier/facilitator
Patricia Taylor
33
Atlantic City, N.J.
Distributor
Maurice Thomas
31
Paterson, N.J.
Supplier
Aree Toulson
24
Atlantic City, N.J.
Distributor
Dwayne Townsend
19
Atlantic City, N.J.
Dealer/runner/youngin’
Tiarrah Turner
23
Atlantic City, N.J.
Courier
Dominique Venable
23
Atlantic City, N.J.
Dealer/runner/youngin’
Kareem Young
20
Absecon, N.J.
Dealer/youngin’
Saeed Zaffa
23
Atlantic City, N.J.
Distributor
Dirty Block Complaint
Abdullah, Ibn complaint
Allen, Kamal complaint
Allen, Rashada complaint
Bailey, Kareem complaint
Bishop, Wanda complaint
Boston, Wallace complaint
Brown, Jodi complaint
Cherry, Latasha complaint
Davis, Ronald complaint
Davis, Terry complaint
Derry, Malik complaint
Derry, Mykal complaint
Duncan, Quasim complaint
Ellis, Tyrone complaint
Frye, Mark complaint
Harvey, Jeffrey complaint
Hayes, Kasan complaint
Johnson, Ronald complaint
Mack, Raymond complaint
Macon, Lamar complaint
Qureshi, Ambrin complaint
Simms, Franklin complaint
Spellman, Kimberly complaint
Spence, Laquay complaint
Spencer, Shaamel complaint
Strong, Rayshell complaint
Taylor, Patricia complaint
Thomas, Maurice complaint
Toulson, Aree complaint
Townsend, Dwayne complaint
Turner, Tiarrah complaint
Venable, Dominique complaint
Young, Kareem complaint
Zaffa, Saeed complaintTemple Hills Drug Dealer Sentenced to 27 Years in PrisonRead the Press Release
Distributed At Least 3 Kilograms of PCP Over the Course of the Drug ConspiracyGreenbelt, Maryland - U.S. District Judge Roger W. Titus sentenced Samuel Braxton, age 44, of Temple Hills, Maryland, today to 27 years in prison followed by five years of supervised release for conspiracy to possess with intent to distribute phencyclidine (PCP), crack cocaine and heroin. Judge Titus found that Braxton was a career offender based on two 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; and Chief Mark A. Magaw of the Prince George’s County Police Department.
According to Braxton=s guilty plea, from at least June 2010 through February 2012, Braxton was a part of a drug trafficking conspiracy based in and around Temple Hills, Maryland. Braxton regularly received multi-ounce to quarter-gallon quantities of PCP from his sources of supply and would then add starter fluid or other chemicals to the PCP to increase its quantity. Also during this time period, Braxton received heroin, and crack and powder cocaine from his sources of supply. Braxton converted a portion of the powder cocaine into crack. Braxton sold the PCP, heroin, and crack to regular drug customers in the Washington, D.C. metropolitan area, including Prince George’s County.
From November 2011 through January 2012, Braxton was intercepted, on a court-ordered wiretap of his phone, on over 600 drug-related telephone conversations during which he and other co-conspirators discussed the sale of and arranged drug transactions involving PCP, heroin, crack, cocaine, and marijuana. On at least two occasions, a cooperating source purchased PCP from Braxton at his apartment in Temple Hills. Law enforcement seized PCP that Braxton had supplied to co-conspirators, as well as from Braxton’s bowling alley locker and other locations where Braxton stored the PCP. Braxton was overheard by law enforcement on more than one occasion directing his minor son to put a bag or other receptacle containing PCP into his bowling alley locker. A witness also saw Braxton take PCP from his bowling alley locker and put it into his son’s lunchbox, directing his son to bring the lunchbox to Braxton’s apartment.
Over the course of the conspiracy Braxton was responsible for the distribution of at least three kilograms of PCP, 28 grams of crack cocaine and 100 grams of heroin.
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.
Suspected Pseudocop Pleads GuiltyRead the Press Release
BROWNSVILLE, Texas – Jose Luis Rodriguez-Treto, a 28-year-old Mexican citizen, has entered a plea of guilty to being an illegal alien in possession of a firearm, United States Attorney Kenneth Magidson announced today.
On Jan. 22, 2013, two Homeland Security Investigations (HSI) agents were in their unmarked government vehicle and moved to exit the highway. Rodriguez-Treto was driving his black Ford Escape and activated flashing white lights similar to those used in law enforcement vehicles from behind the agents. Based on the flashing lights and the type of vehicle, the agents believed they were being pulled over by an unmarked police vehicle.
However, rather than pulling them over, Rodriguez-Treto passed them with the vehicle still displaying flashing white lights in front and flashing red lights in the rear. As he passed, the agents noticed a car seat in the back seat and believed him not to be a law enforcement officer. In fact, they thought they were observing a pseudocop vehicle on its way to, or coming from, a crime.
Pseudocops are individuals who portray themselves as law enforcement for the purposes of committing crimes, primarily narcotics-related thefts of drugs or money.
The agents stopped Rodriguez-Treto, who was travelling with his wife and infant child. At that time, agents discovered a loaded pistol magazine in his pocket, a pistol hidden in the glove box, a pistol hidden in the diaper bag, a rifle under the back seat, police scanners, a badge stating “special police,” and other law enforcement paraphernalia. Rodriguez-Treto is a Mexican citizen with no legal status in the United States and admitted to owning the weapons.
Senior U.S. District Judge Hilda G. Tagle has set sentencing for June 26, 2013, at which time he faces up to 10 years imprisonment and a $250,000 fine. Rodriguez-Treto will remain in custody pending that hearing.
This case was investigated by HSI and is being prosecuted by Assistant United States Attorneys Joseph Leonard and Ana Cano.
Smith County Man Sentenced for Federal Drug, Gun CrimesRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas – A 34-year-old Tyler, Texas man has been sentenced to federal prison for drug trafficking crimes in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Marco Aguilera pleaded guilty on Sep. 4, 2012, to conspiracy to possess with intent to distribute methamphetamine and possession of a firearm during a drug trafficking crime. He was sentenced today to 40 months for the drug conviction and 60 months for the firearms conviction. U.S. District Judge Michael H. Schneider ordered the sentences to be served consecutively for a total of 100 months in federal prison.
According to information presented in court, in March 2012, Aguilera possessed and distributed methamphetamine in a Tyler, Texas apartment. He admitted to conspiring with others to distribute more than 150 grams of methamphetamine in the Tyler area. A federal grand jury returned an indictment on Apr. 11, 2012 charging Aguilera with federal drug trafficking violations.
This case was investigated by the Drug Enforcement Administration and the Smith County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Bill Baldwin.
Sioux Falls Man Sentenced for Possession with Intent to Distribute A Controlled SubstanceRead the Press Release
United States Attorney Brendan V. Johnson announced that a Sioux Falls, South Dakota man convicted of Possession with Intent to Distribute a Controlled Substance was sentenced on March 25, 2013 by U.S. District Judge Roberto A. Lange.
Ryan Scott, age 26, was sentenced to 15 months of imprisonment, 2 years of supervised release; and a $100 special assessment to the Victim Assistance Fund.
Scott was indicted for the above charge by a federal grand jury on July 18, 2012 and pled guilty to the Indictment on January 25, 2013. The charge stems from an incident on February 25, 2011, when a vehicle with Ryan Scott along with another person, had gone into the ditch. When deputies arrived at the scene and spoke with the individuals, they detected a strong odor of marijuana and searched the vehicle, discovering a bag containing over one pound of marijuana.
The investigation was conducted by the Mellette County Sheriff’s Office and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Scott was immediately turned over to the custody of the U.S. Marshal Service.
Schuykill County Man Indicted for Producing and Possessing Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a federal grand jury in Scranton returned an indictment today charging a Schuykill County man with the production and possession of child pornography.
According to United States Attorney Peter J. Smith, Robert Lee Raeder, Jr., age 45, of Tamaqua, Schuykill County, was charged by the grand jury for allegedly committing the offenses at various times between January 2001 through December 2012. It is alleged that Raeder produced videos and other images and then maintained them on his computer.
The charges against Raeder stem from an investigation by the Pennsylvania State Police Computer Crimes Unit and United States Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
Raeder is currently in custody on related state charges.
U.S. Attorney Smith requests that anyone with information related to this matter please contact the U.S. Department of Homeland Security Tipline at 1-866-347-2423.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Prosecution is assigned to Assistant United States Attorney Michelle Olshefski.
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, 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.
Sarasota Man Sentenced to 5 ½ Years in Federal Prison for Narcotics and Firearm ChargesRead the Press Release
Tampa, FL - U.S. District Judge James D. Whittemore yesterday sentenced Oneil Marlon Martin, a/k/a David Lawrence Motta (33, Sarasota) to 66 months in federal prison for possessing with intent to distribute marijuana and possessing a firearm in furtherance of that drug trafficking crime. The court also ordered Martin to forfeit two firearms and assorted ammunition which were used, or intended to be used, to facilitate the offenses. Martin pleaded guilty on January 3, 2013.
According to court documents, federal and state law enforcement agents executed a search warrant at Martin's house on October 19, 2012. During the search, agents found marijuana and marijuana paraphernalia throughout the house. They also found two firearms and assorted ammunition. In addition, the agents recovered $17,846.00 in cash from Martin's house.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Drug Enforcement Administration, and the Sarasota Police Department. It was prosecuted by Assistant United States Attorney Joseph W. Swanson.
Santa Teresa, N.M., Man Pleads Guilty to Unlawfully Possessing Seventy-Two Stolen FirearmsRead the Press Release
Firearms Stolen From Four Federal Firearm Licensed Dealers
in El Paso, Texas, and Las Cruces, New MexicoALBUQUERQUE – Emilio Sandoval, 21, of Santa Teresa, N.M., entered a guilty plea this afternoon to a felony information charging him with possession of stolen firearms under a plea agreement with the U.S. Attorney’s Office. The guilty plea was announced U.S. Attorney Kenneth J. Gonzales and Thomas G. Atteberry, Special Agent in Charge of the Phoenix Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Sandoval and co-defendant Cisco Rene Gutierrez, 18, of El Paso, Texas, were charged in a criminal complaint filed in federal court in Las Cruces, N.M., on Nov. 8, 2012, that alleged the transportation of stolen firearms from Texas to New Mexico and possession of stolen firearms. Sandoval was arrested on Nov. 14, 2012, in El Paso and transferred to Las Cruces on Nov. 26, 2012, to face the charges in the criminal complaint.
During today’s proceedings, Sandoval pled guilty to a felony information and admitted stealing firearms or aiding and abetting the theft of firearms from four federal firearms licensed (FFL) dealers in El Paso and Las Cruces between May 2012 and Nov. 2012. Specifically, Sandoval admitted his role in burglarizing the following FFLs and stealing an aggregate of 72 firearms:
Sportsman’s Elite in El Paso on May 7, 2012, where 34 firearms were stolen.
Stryker’s Shooting World in El Paso on May 19, 2012, where 10 firearms were stolen.
Country Wide Shooters in El Paso on Sept. 23, 2012, where six firearms were stolen.
Stryker’s Shooting World in Las Cruces on Nov. 13, 2012, where 22 firearms, including four silencers, were stolen.Sandoval admitted that the firearms stolen from FFLs in El Paso were transported to New Mexico shortly after they were stolen. He also acknowledged that all 72 firearms traveled in interstate or foreign commerce before they were stolen.
Sandoval has been in federal custody since his arrest and remains detained pending his sentencing hearing, which has yet to be scheduled. At sentencing, Sandoval faces a maximum penalty of ten years in prison and a $250,000 fine.
Co-defendant Gutierrez was arrested in Las Cruces on Dec. 6, 2012, and is detained pending trial. The criminal complaint against Gutierrez is merely an accusation and he is presumed innocent unless proven guilty beyond a reasonable doubt.
This case was investigated by the El Paso and Las Cruces offices of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, with assistance from the El Paso Police Department, the Las Cruces Police Department, the Doña Ana County Sheriff’s Office and the Sunland Park Police Department. Supervisory Assistant U.S. Attorney Randy M. Castellano of the U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
San Francisco Resident Charged with Aggravated Identity Theft and False ClaimsRead the Press Release
SAN FRANCISCO, California – A federal grand jury in San Francisco indicted Eric Flentoil of San Francisco last week with identity theft, access device fraud, and filing false claims, United States Attorney Melinda Haag and IRS-CI Special Agent in Charge Jose M. Martinez, announced.
According to the indictment, in 2012, Flentoil knowingly transferred, possessed, and used, without lawful authority, a means of identification of another person in connection with using an unauthorized access device to obtain things of value, totaling $1,000 or more. The indictment further alleges that Flentoil made and presented to the IRS, two false federal income tax returns, claiming tax refunds which he knew he was not entitled to receive. One of the false tax returns was in the name of Eric Flentoil, the other in the name of an individual identified as A.R.
The maximum statutory penalty for each count of filing a false claim, in violation of Title 18, U.S.C § 287 is five years in prison and a fine of $250,000. The maximum penalty for access device fraud in violation of Title 18, United States Code, Section 1029(a)(2), is 10 years (20 years, if the defendant has a prior conviction under Section 1029). The aggravated identity theft count, 18 U.S.C. § 1028A, requires a mandatory minimum term of 2 years imprisonment consecutive to any other sentence imposed. However, any sentence following conviction would be imposed by the court after consideration of the U.S. sentencing guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Cynthia Stier is the Assistant U.S. Attorney who is prosecuting this case. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation.
Please note, an indictment contains only allegations against an individual and, as with all defendants, Flentoil must be presumed innocent unless and until proven guilty.
Salisbury Man Sentenced to over 10 Years in Prison in Bank Fraud SchemeRead the Press Release
Stole the Identity Information of at least 40 Clients of a Residential Mental Health Program to Open Fraudulent Bank Accounts and File False Tax Returns; Led the Conspirators by Using Violence
Baltimore, Maryland - U.S. District Judge Catherine C. Blake sentenced Christopher Andre Devine, age 34; of Salisbury, Maryland; Frederica, Delaware; and Philadelphia, Pennsylvania, today to 121 months in prison followed by five years of supervised release for conspiring to commit bank fraud and aggravated identity theft in connection with a scheme to use the personal identifying information of individuals to open bank accounts and fraudulently obtain cash, merchandise and services.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Wicomico County Sheriff Michael A. Lewis; Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Michael McGill of the Social Security Administration - Office of Inspector General, Philadelphia Field Division.
“Identity theft scheme participants like Mr. Devine wreak havoc on financial institutions as well as those whose identities are stolen,” said Thomas J. Kelly, Special Agent in Charge, IRS Criminal Investigation, Washington DC Field Office. “Perpetrators of identity theft schemes are motivated by greed, acting as if they are above the law and with total disregard for the consequences to the victims, but today's sentence has brought an abrupt end to Mr. Devine’s criminal behavior. IRS Criminal investigation along with our federal law enforcement partners are equipped to dismantle criminal conspiracies designed solely to defraud and bring the law breakers to the table of justice.”
According to his plea agreement, from December 2008 through December 22, 2011, in Maryland, Pennsylvania and elsewhere, Devine and his co-defendants, Quanishia Williamson-Ross, Lenee E. Williamson and Quashonna Williamson opened or recruited others to open checking accounts at banks and obtain check cards, which the conspirators then controlled. The conspirators then deposited fraudulent checks into the accounts and used the associated check cards at ATM machines to make cash withdrawals from the accounts.
According to evidence presented to the court, conspirators Williamson-Ross and the Williamsons gave all of the proceeds from the scheme to Devine who provided them with little more than food and shelter. The women lived with Devine and were completely financially dependent on him. According to court testimony, Devine used a minor to further the scheme and led the group of conspirators with violence and intimidation, including punching and throwing a conspirator across a room.
Devine also obtained the identifying information of at least 40 individuals who were clients and 60 individuals who were current or former employees, of a residential program for adults with mental health needs (the Program), which he purchased from an individual who was employed at the Program. Devine used the personal identifying information of these victims to open checking accounts via the telephone and Internet that he then controlled for use in the scheme.
Devine and his co-conspirators had fraudulent identification documents made using the personal information of others but with photographs of Devine, Williamson-Ross and Lenee Williamson, which they used, along with the check cards, to make purchases at retail stores, later returning the purchased items for cash. The conspirators also used the check cards to obtain services, such as utilities, cable, and cellular phone service, and to make purchases for their personal benefit at restaurants, drug stores, grocery stores, gas stations and video rentals, and other businesses.
Devine also participated in a scheme to defraud the IRS by preparing and filing false tax returns in the names of individuals recruited for the tax fraud scheme and using the personal identifying information of clients in the Program. For the 2010 tax year, at least 34 false tax returns were filed, claiming $123,126 in false refunds. Refunds from many of the false tax returns were direct deposited into bank accounts controlled by Devine through the bank fraud scheme.
In December 2011, law enforcement searched a van and two residences in Salisbury used by the co-conspirators. Hundreds of pieces of evidence were seized, including: credit/debit cards; SSN cards; fraudulent driver’s licenses; and personal identifying information of approximately 300 individuals, at least 100 of whom were clients or employees at the Program.
Over the course of the scheme, Devine and his co-conspirators used the stolen identifying information of at least 24 individuals to open at least 73 checking accounts at financial institutions, resulting in a loss of at least $200,000.
Quanishia Williamson-Ross, age 31; and Lenee E. Williamson, age 22, both of Salisbury, Maryland, Frederica, Delaware and Philadelphia, Pennsylvania, previously pleaded guilty to the same charges and are awaiting sentencing.
This law enforcement action is part of President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.
United States Attorney Rod J. Rosenstein thanked HSI Baltimore, the Wicomico County Sheriff’s Office, IRS-CI and the Social Security Administration - Office of Inspector General for their work in the investigation. Mr. Rosenstein praised Assistant U.S. Attorneys Paul E. Budlow and Kristi N. O’Malley, who prosecuted the case.
Rosebud Woman Sentenced on Assault ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota woman convicted of Assault by Striking, Beating, and Wounding and Simple Assault was sentenced on March 22, 2013 by U.S. District Judge Roberto A. Lange.
Sarah Richards, age 25, was sentenced to 1 year probation on each count to run concurrently and a $20 special assessment to the Victim Assistance Fund. Richards was indicted by a federal grand jury on September 19, 2012, and pled guilty to the charge on January 22, 2013.
The conviction stems from an incident that took place on November 30, 2011 when Richards stabbed the victim with a butcher knife.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Marie H. Ruettgers. Richards was released.
Romanian Citizen Involved in Phishing Scheme Sentenced to Five Years in Federal PrisonRead the Press Release
March 26, 2013David B. Fein, United States Attorney for the District of Connecticut, and Kimberly K. Mertz, Special Agent in Charge of the Federal Bureau of Investigation, announced that LAURENTIU CRISTIAN BUSCA, 28, a citizen of Romania, was sentenced today by United States District Judge Janet C. Hall in New Haven to 60 months of imprisonment for participating in an extensive Internet “phishing” scheme.
A phishing scheme uses the Internet to target large numbers of unwary individuals, using fraud and deceit to obtain private personal and financial information such as names, addresses, bank account numbers, credit card numbers and Social Security numbers. Phishing schemes often work by sending out large numbers of counterfeit e-mail messages that are made to appear as if they originated from legitimate banks, financial institutions or other companies. The fraudulent email messages ask individuals to click on a hyperlink contained in the email message, which would take the individual to a counterfeit site on the Internet that purports to be the Internet site of the particular bank, financial institution or company. At the counterfeit Internet site, the individual is then asked to enter information such as the individual’s name, address and credit or debit card numbers.
According to court documents and statements made in court, in June 2005 a resident of Madison, Conn., contacted the FBI in New Haven about a suspicious email that she had received that purported to be from Connecticut-based People’s Bank. The email stated that the recipient’s online banking access profile had been locked and instructed the recipient to click on a link to a web page where the recipient could enter information to “unlock” his or her profile. The web page appeared to originate from People’s Bank, but, as the investigation revealed, was actually hosted on a compromised computer in Minnesota. Any personal identifying and financial information provided by the individual would be sent by email to individuals in Romania, or to a “collector” account, which was an email account used to receive and collect the information obtained through phishing.
BUSCA and others were part of a loose-knit conspiracy of individuals from Craiova, Romania, and neighboring areas that shared files, tools, and stolen information obtained through phishing. The co-conspirators used and shared a number of collector accounts, which contained thousands of email messages that contained credit or debit card numbers, expiration dates, CVV codes, PIN numbers, and other personal identification information such as names, addresses, telephone numbers, dates of birth, and Social Security numbers. The co-conspirators then used the personal and financial information to access bank accounts and lines of credit and to withdraw funds without authorization, often from ATMs in Romania.
The investigation revealed that BUSCA was heavily involved in the phishing conspiracy between 2004 and 2006, and analysis of his email accounts revealed that BUSCA possessed more than 10,000 stolen debit or credit card account numbers. In addition to trafficking the stolen information, BUSCA possessed and shared various tools used for phishing, including files used to create counterfeit Internet sites and software needed to produce counterfeit credit and debit cards.
In addition to People’s Bank, financial institutions and companies targeted by the defendants included Citibank, Capital One, Bank of America, JPMorgan Chase & Co., Comerica Bank, Regions Bank, LaSalle Bank, U.S. Bank, Wells Fargo & Co., eBay and PayPal.
This seven-year investigation has resulted in criminal charges against 19 Romanian citizens. On January 18, 2007, a grand jury in New Haven returned an indictment charging seven defendants with various offenses stemming from this scheme. On November 10, 2010, a grand jury returned a second superseding indictment charging an additional 12 defendants, including BUSCA.
The first three defendants to face charges were extradited from Bulgaria, Croatia and Canada. Following the ratification in 2010 of an amended treaty on mutual legal assistance between Romania and the United States, BUSCA and six other defendants were extradited from Romania. BUSCA was extradited in December 2011.
On November 20, 2012, BUSCA pleaded guilty to one count of conspiracy to commit access device fraud. Eight of the other extradited defendants also have pleaded guilty, and one was convicted after trial in December 2012. Nine defendants are still being sought.
This matter is being investigated by the Federal Bureau of Investigation in New Haven, Conn.
U.S. Attorney Fein and Special Agent in Charge Mertz also acknowledged the critical assistance provided by the U.S. Department of Justice Office of International Affairs, the FBI Legal Attaché in Bucharest, Interpol, the Romanian National Police and the United States Marshals Service.
The case is being prosecuted by Assistant United States Attorneys Edward Chang and Sarala Nagala.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Rochester man pleads guilty to producing child pornographyRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Anthony Davis, 43, of Rochester, N.Y., pleaded guilty before Judge Frank P. Geraci, Jr. to production of child pornography. The charge carries a mandatory minimum sentence of 15 years in prison, a maximum of 30 years and a fine of $250,000.
Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that in July 2012, City of Rochester Police received a report of from an individual of a sexually explicit video of a seven-year old minor on a smart phone belonging to the defendant. The individual identified the minor victim and Davis's voice from the video. The defendant admitted during the plea proceeding to using the minor to produce a sexually explicit image with his smart phone.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.The plea is the culmination of an investigation on the part of the Federal Bureau of Investigation's Cyber Crime Task Force, under the direction of Special Agent in Charge Christopher Piehota, the City of Rochester Police Department under the direction of Chief James Sheppard and the Monroe County District Attorney's Office, under the direction of Sandra Doorley.
Sentencing is scheduled for June 27, 2013 at 9:30 a.m. before Judge Geraci.
Ringleader Sentenced to 11 Years in Prison in Identity Theft Fraud Scheme Involving over 250 Individual VictimsRead the Press Release
Stole the Identities of Doctors Who Applied for Fellowships at Johns Hopkins Hospital Where His Girlfriend WorkedBaltimore, Maryland - U.S. District Judge Richard D. Bennett sentenced ringleader Derrick Hill, age 53, of Woodlawn, Maryland, today to 11 years in prison followed by three years of supervised release for conspiring to commit wire fraud and aggravated identity theft. Judge Bennett also entered an order that Hill pay restitution of $191,180.26.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robert Jasinski of the United States Secret Service – Baltimore Field Office and Anne Arundel County Police Chief Larry W. Tolliver.
According to his plea agreement, from August to October, 2009, Hill and his girlfriend Renee Cabell conspired with their co-defendants John Coffey and Tawney King to negotiate counterfeit checks drawn on victim bank accounts.
Hill received checks which had been designated for destruction by banks and stolen before they could be destroyed. He also received personal identity information and personal financial information from King who was employed by Highlandtown Community Health Center. According to King’s plea agreement, King accessed patient files and provided Hill with the patient identifying information either directly or through her friend Cabell. Hill used this information to create counterfeit checks using the victim’s financial account information and the identity information of other victims. He also obtained counterfeit identification cards and altered stolen Maryland driver’s licenses so that they displayed victim identity information, but with the photo of one of several co-conspirators, including Coffey.
Hill recruited Coffey to help him cash the checks at banks and retail establishments. If the counterfeit checks were cashed at a retail store, Hill told his co-conspirators what to buy. Proceeds, whether cash or merchandise, were given to Hill, who paid his co-conspirators a small percentage for each successful transaction.
Additionally, Cabell provided Hill with the names and identity information of doctors who applied for fellowships at Johns Hopkins Hospital where Cabell worked, processing the fellowship applications. Hill used the doctors’ identities to rent apartments, buy merchandise and obtain services. Indeed, shortly before Hill’s arrest, Hill was attempting to rent another apartment in a doctor’s identity because he and Cabell were about to be evicted for non-payment on the apartment they rented in the identity of another doctor.
The defendants obtained cash, merchandise and services worth over $188,000. The identities of over 250 individuals were compromised.
Renee Cabell, age 51, of Woodlawn, Maryland, John Coffey, age 43, and Tawney King, age 46, all pleaded guilty previously pleaded guilty to the same charges. Cabell and Coffey were sentenced last week to 30 months and 57 months in prison, respectively, and ordered to pay restitution of $191,180.26. Both were sentenced to three years of supervised release, with Cabell ordered to serve 12 months of her term of supervised release on home detention. King is scheduled to be sentenced later this week on March 28th.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service and Anne Arundel County Police Department for their work in the investigation. Mr. Rosenstein praised Assistant U.S. Attorney Tamera L. Fine, who prosecuted the case.