Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
2 May 2013
Custer Man Charged as Felon in Possession of A FirearmRead the Press Release
United States Attorney Brendan V. Johnson announced that a Custer, South Dakota, man has been indicted by a federal grand jury for allegedly unlawfully possessing firearms in March 2013.
Brandon Hattaway, age 29, was indicted by a federal grand jury on April 16, 2013, for Felon in Possession of a Firearm. Hattaway appeared before U.S. Magistrate Judge John E. Simko on April 22, 2013, and pleaded not guilty to the indictment. The maximum penalty upon conviction is 10 years of imprisonment and a $250,000 fine. The charge is merely an accusation, and Hattaway is presumed innocent until and unless proven guilty.
The investigation is being conducted by South Dakota Game, Fish, and Parks, the Custer County Sheriff's Office, the South Dakota Highway Patrol, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Wayne Venhuizen is prosecuting the case. Hattaway was released on bond pending trial. A trial date has been set for June 25, 2013.
Crest Hill Man and His Sister Indicted for Allegedly Conspiring to Illegally Buy Firearms in Missouri and Ship Them to IllinoisRead the Press Release
CHICAGO — A suburban Crest Hill man who is barred from possessing firearms because he is a convicted felon and his sister in Missouri were indicted on federal charges for allegedly conspiring to have her illegally purchase at least five firearms in Missouri and ship them to him in Illinois. RICHARD CARRINO and his sister, ANGEL MARIE CARRINO, were charged in a seven-count superseding indictment that was returned yesterday by a federal grand jury, Gary S. Shapiro, United States Attorney for the Northern District of Illinois, and Larry Ford, Special Agent-in-Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives in Chicago, announced today.
Richard Carrino, also known as “R.J.,” 28, of Crest Hill, was initially indicted alone in March on three counts of being a felon-in-possession of firearms following an undercover investigation by ATF agents. He was arrested on April 3, pleaded not guilty, and remains in federal custody without bond pending trial.
Angela Marie Carrino, 24, of O’Fallon, Mo., was added as a defendant in the new indictment and will be arraigned at a later date in U.S. District Court in Chicago.
Both were charged with conspiring between November 2012 and February 2013 to have Angela Marie Carrino make illegal “straw purchases” of firearms from licensed dealers in Missouri, and illegally transfer them to her brother, a convicted felon, knowing that he lived in a different state. They allegedly discussed types of guns to obtain and Richard Carrino sent his sister money to make the purchases. She allegedly falsely certified that she was the actual buyer of the firearms and then shipped at least five firearms from Missouri to her brother in Illinois. Richard Carrino, in turn, allegedly sold or transferred three of the firearms to an undercover agent, believing in at least one transaction that the individual was a convicted felon, according to the indictment.
Angela Marie Carrino was also charged with three counts of illegally transferring firearms across state lines, while Richard remains charged with the three original counts of being a felon-in-possession of firearms.
Three of the firearms – two .45 caliber semi-automatic Hi-Point pistols and a 9- millimeter semi-automatic Hi-Point model C-9 handgun – were obtained by ATF agents during the investigation and the indictment seeks forfeiture of those guns.
The conspiracy count carries a maximum penalty of five years in prison and each count of illegally transferring or possessing firearms carries a maximum of 10 years in prison, and a maximum fine of $250,000 on each count. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
The government is being represented by Assistant U.S. Attorney Christopher McFadden.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Superseding Indictment
Counterfeit Credit Card User Sentenced to Probation with Six Months Home DetentionRead the Press Release
PITTSBURGH - A resident of Aliquippa , Pa., has been sentenced in federal court to five years probation and six months home detention on his conviction of conspiracy to use counterfeit credit cards, United States Attorney David J. Hickton announced today.
Senior United States District Judge Maurice B. Cohill imposed the sentence on Rayvon Oscar Kyles, 21.
According to the information presented to the court, between June 2010 through June 2011, the Rayvon Oscar Kyles used counterfeit credit cards at Walmart stores in Western Pennsylvania to purchase merchandise.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
Inspectors from the United States Postal Inspection Service along with agents from the United States Secret Service who, as part of the Western Pennsylvania Financial Crimes Task Force (WPFCTF), conducted the investigation that led to the successful prosecution of Rayvon Oscar Kyles. The WPFCTF was established as a collaborative, multi-agency effort to effectively combat financial crimes, including identity fraud, in Western Pennsylvania. Partnering in this effort are the United States Attorney's Office for the Western District of Pennsylvania, the United States Secret Service, the United States Postal Inspection Service, the Department of Homeland Security, the Allegheny County District Attorney's Office, the Allegheny County Police Department, the City of Pittsburgh Bureau of Police and the Pennsylvania State Police.
Clayton Pleads Guilty to Engaging in Sexually Explicit Conduct with Four Minors to Produce Child PornographyRead the Press Release
SALT LAKE CITY – John Reid Clayton, age 29, of Stansbury Park, Utah, charged in a federal indictment returned in February with four counts of production of child pornography and one count of possession of child pornography, pleaded guilty to production of child pornography in U.S. District Court in Salt Lake City Wednesday afternoon.
As a part of his plea agreement, Clayton admitted that he engaged in sexually explicit conduct with four minor children, all born between 2007 and 2011, for the purpose of producing visual depictions of the conduct.
U.S. District Judge Clark Waddoups ordered Clayton to submit to a psychosexual examination prior to sentencing, which is set for July 16, 2013, at 3:30 p.m. Clayton faces up to 30 years in federal prison for the conviction with a mandatory minimum sentence of 15 years. He also faces a fine of up to $250,000 and a term of supervised release of up to life.
Clayton must also register as a sex offender under the Sex Offender Registration and Notification Act. He also agreed to pay restitution in the case and to forfeit property associated with the criminal conduct.
The charges followed an investigation by the Tooele County Sheriff’s Office, the Tooele City Police Department, and the Utah Internet Crimes Against Children task force
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ offices and the Department of Justice’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Carlos Alexander Mejia-saravia Sentenced for Illegal ReentryRead the Press Release
CARLOS ALEXANDER MEJIA-SARAVIA, age 34, a citizen of Honduras, was sentenced today in federal court by U.S. District Judge Helen G. Berrigan, announced U.S. Attorney Dana J. Boente. MEJIA was sentenced to approximately six months imprisonment. In addition to the term of imprisonment, Judge Berrigan ordered that MEJIA be placed on one year of supervised release following the term of imprisonment, during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of supervised release.
According to court documents, on January 30, 2013, MEJIA pled guilty to a one-count indictment admitting he was an alien who was previously removed and was knowingly and unlawfully found on November 2, 2012, in the United States, in Jefferson Parish, Louisiana without the Attorney General or Secretary of the Department of Homeland Security, having expressly consented to his re-application for admission into the United States.
This case was investigated by United States Immigration and Customs Enforcement - Homeland Security Investigations and the Jefferson Parish Sheriff’s Office. The case was prosecuted by Special Assistant United States Attorney Robert Weir.
Boise Man Pleads Guilty to Federal Firearms ViolationsRead the Press Release
BOISE – Ronald Keith Alexander, 37, of Boise, Idaho, pleaded guilty today to one count of unlawfully possessing a firearm and one count of transferring a firearm in violation of the National Firearm Registration and Transfer Record, U.S. Attorney Wendy J. Olson announced. Alexander and co-defendant Phillip Bernardino Chavez were charged in a superseding indictment filed on February 12, 2013.
According to court documents, Alexander is prohibited from possessing firearms due to a prior felony conviction in 2001 for robbery, in Walla Walla County, Washington. In court today, Alexander admitted that on December 4, 2012, he knowingly possessed a Federal Arms Corporation .308 rifle and a Century Arms 7.62x39 millimeter rifle. Alexander also admitted that he knowingly and unlawfully transferred a Pioneer Arms Corporation 7.62x25 rifle, a machinegun with a shortened barrel, to another individual, knowing the firearm was not registered to him in the National Firearm Registration and Transfer Record.
Each charge is punishable by up to 10 years in prison, a maximum fine of $250,000, and up to three years of supervised release. The government is seeking forfeiture of the firearms.
Alexander is scheduled to be sentenced on July 15, 2013, by U.S. District Judge Edward J. Lodge at the federal courthouse in Boise.
Phillip Chavez, 29, of Boise, is set for trial on August 13. He is charged with illegal possession of a machinegun and transferring a firearm in violation of the National Firearm Registration and Transfer Record.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Nampa Police Department, and the Boise Police Department.
The defendants are being prosecuted by the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Aryan Knights Defendant Sentenced for Unlawfully Possessing FirearmsRead the Press Release
Defendant in Other Aryan Knights Case Pleads Guilty
BOISE – James Everette Hood, 40, of Parma, Idaho, was sentenced today in federal court to 30 months in prison followed by three years of supervised release for unlawful possession of firearms, U.S. Attorney Wendy J. Olson announced. U.S. District Judge Edward J. Lodge also ordered Hood to forfeit the three firearms he illegally possessed and pay a $1,500 fine.
Hood was indicted by a federal grand jury on April 11, 2012. On October 30, 2012, he pleaded guilty to count one of the indictment, admitting that on April 3, 2012, he knowingly and illegally possessed a .32 revolver; a .357 revolver; and a .38 revolver. According to court documents, Hood is prohibited from possessing firearms due to a prior conviction, on December 19, 2003, of retaliating against a witness or informant and aiding and abetting, a crime punishable by a term of imprisonment exceeding one year.
In another Aryan Knights related case, Philip Allen Warren, 45, of Twin Falls, Idaho, pleaded guilty on Monday to counts one and two of an information charging him with distribution of methamphetamine and unlawful possession of a firearm.
According to court documents, on March 15, 2012, Warren knowingly and intentionally distributed 50 grams or more of actual methamphetamine. Warren further admitted that on June 13, 2012, he unlawfully possessed a.40 semi-automatic pistol. He was previously convicted on October 26, 2006, of possession of a controlled substance with intent to deliver, a crime punishable by a term of imprisonment exceeding one year.
Warren faces a mandatory minimum of 20 years in prison, a maximum fine of $10 million, and at least 10 years of supervised release for distribution of methamphetamine. The firearms violation is punishable by up to 10 years in prison, a maximum fine of $250,000 and up to three years of supervised release. Warren is set for sentencing on July 22, 2013, before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
Hood and Warren were charged last year as a result of a long term investigation by the Treasure Valley Metro Violent Crimes Task Force. The investigation began when the task force focused on illegal drug distribution by the “Aryan Knights,” a gang active both in prison and on the streets throughout Idaho.
The joint investigation by the Organized Crime and Drug Enforcement Task Force (OCDETF) included the cooperative law enforcement efforts of the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service. The Twin Falls Police Department, Twin Falls Sheriff’s Office, Idaho State Police, and District 3 Probation and Parole also participated in the investigation.
Anchorage Man sentenced to 40 months prison in Alaska Drug ConspiracyRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a man from Anchorage, Alaska, was sentenced in federal court in Anchorage for his role in an Anchorage and Fairbanks drug conspiracy.
DeMar Moultrie, a/k/a, “Duckmane,” a/k/a, “All Day,” 25, from Anchorage, Alaska, was sentenced yesterday by U.S. District Court Chief Judge Ralph R. Beistline. Moultrie received a sentence of 40 months in prison and three years of supervised release. Moultrie had previously pled guilty to an indictment charging him and his co-conspirators with one count of drug conspiracy.
According to Assistant U.S. Attorney Kelly Cavanaugh, who prosecuted the case, Moultrie was a member of a drug trafficking organization in Anchorage and Fairbanks, that between 2009 and February 2012, sold powder cocaine, marijuana, and oxycodone pills in both cities. When Moultrie’s house was searched, law enforcement found cocaine, a stolen firearm, $1,300.00 in cash, and other items consistent with drug trafficking. Two weeks after a co-conspirator was arrested in connection with several kilograms of cocaine, Moultrie was one of four co-conspirators that left Anchorage on a private flight chartered to Seattle. Moultrie did not return to Alaska until after his arrest in Rochester, New York, in August 2012.
Moultrie and other members of the conspiracy attempted to conceal their drug trafficking by claiming they were involved in a legitimate business working as “artists,” employees, or promoters of an Anchorage recording label and rap and hip hop performance group known as “Out Da Cutt” or “ODC” Entertainment and “UNDB” (Up North ‘D’ or Dope Boys). Members of this conspiracy would record rap and hip hop songs, post videos on Youtube.com, and perform local shows in Anchorage and Fairbanks. Much of their music glorified the lifestyle of selling illegal narcotics and committing other crimes. The lavish and extravagant lifestyle portrayed in their music and videos was supported by their sales of illegal narcotics.
Prior to imposing a sentence, Judge Beistline informed the defendant that the community was tired of drug dealers preying on the weak and vulnerable in the community. Judge Beistline stated that typical citizens do not have stolen firearms and other items consistent with drug trafficking in their homes and do not fly on private chartered flights to Seattle.
Moultrie was indicted along with 13 other members of this conspiracy. Christopher Anderson was previously sentenced to 14 months prison on November 2, 2012. Donnell Johnson, Joshua Mustovich, Mihla Hall, Antonio Fleming, Dalon Johnson, Tevoris Carter, Jeraelyn Hill, Rock Phelps, Jerry Wormley, Emma Shine, and Brent Gunnels have pled guilty for their roles in connection with the conspiracy and await sentencing. Terrance Fleming has a pending trial scheduled in August 2013.
Ms. Loeffler commended the Federal Bureau of Investigation, the Drug Enforcement Administration, the United States Postal Inspection Service, the Internal Revenue Service Criminal Investigation Division, and the Anchorage Police Department for the investigation leading to the successful prosecution of Moultrie.
1 May 2013
Yvonne Owens-Morris Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Missoula, on April 30, 2013, before Chief U.S. District Judge Dana L. Christensen, YVONNE OWENS-MORRIS, a 48-year-old resident of Hungry Horse, pled guilty to theft of government money. Sentencing has been set for August 18, 2013. She is currently released on special conditions.
In an Offer of Proof filed by Assistant U.S. Attorney Chad C. Spraker, the government stated it would have proved at trial the following:
On May 8, 2008, OWENS-MORRIS applied for Supplemental Security Income (SSI) benefits in Kalispell. During the application, OWENS-MORRIS was asked whether she had sold, transferred title, disposed of or given away any money or other property in the past three years. OWENS-MORRIS was also asked about any income she received or expected to receive beginning April 2008.
According to her application, OWENS-MORRIS received $300 a month from her sister from April 2008 to May 2008 and $300 a month on a continuing basis from her parents. Aside from food stamps, two vehicles valued together at $4,500, and a bank account containing $100, OWENS-MORRIS indicated that she had no other financial resources. OWENS-MORRIS declared under penalty of perjury that the information she provided was true.
SSA conducted eligibility reviews with OWENS-MORRIS on September 21, 2009; October 26, 2009; and December 8, 2009. On each occasion OWENS-MORRIS reported owning assets valued at less than $9,000 and monthly income of $600 or less.
OWENS-MORRIS in fact owned assets and received income that made her ineligible to receive SSI. A year prior to applying for SSI, on May 11, 2007, OWENS-MORRIS deeded to her sister a property in Kalispell known as the Dumas Walker Cowboy Bar. Her sister later signed a power of attorney permitting OWENS-MORRIS to make real estate transactions concerning the property, and on January 14, 2008, OWENS-MORRIS, acting under the power of attorney, sold the property for $200,000. From January 2008 to June 2008, her sister sent OWENS-MORRIS approximately $87,000.
On March 22, 2008, OWENS-MORRIS fell and suffered a back injury on her mother-in-law's property. OWENS-MORRIS settled with her mother-in-law's home owner's insurance. On July 22, 2008, she received a $101,000 check.
From July 2008 to June 2009, OWENS-MORRIS held a UBS investment account. In July 2008, the account held a total of $2,666.
On October 18, 2008, OWENS-MORRIS's mother died. On April 16, 2009, OWENS-MORRIS, as her mother's court appointed representative, deeded a property in Refugio, Texas from her mother to herself and her father. County tax records value the property at $47,170.
In total OWENS-MORRIS received $24,622.04 in SSI benefits to which she was not entitled. Under an agreement between SSA and the State of Montana, whenever an applicant qualifies for SSI, that applicant is also eligible to receive Medicaid benefits. From April 2008 and continuing into 2011, Montana Medicaid paid out in excess of $40,000 in benefits to OWENS-MORRIS's medical providers to which OWENS-MORRIS was not entitled.
OWENS-MORRIS faces possible penalties of 10 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was conducted by the Social Security Administration - Office of Inspector General.
Wakpala Man Sentenced on Abusive Sexual Contact ChargeRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wakpala man convicted of Abusive Sexual Contact was sentenced on April 30, 2013, by U.S. District Judge Roberto A. Lange. Adrian B. Spotted Horse, age 33, was sentenced to 21 months of imprisonment, 5 years of supervised release, and a $100 special assessment.
Spotted Horse was indicted by a federal grand jury in October 2012. He pled guilty to a Superseding Information on February 7, 2013. The conviction stems from an incident on May 31, 2012, when Spotted Horse made two separate attempts to force sexual contact on the victim.
This case was investigated by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy Morley prosecuted the case.
Spotted Horse was immediately turned over to the custody of the U.S. Marshal.
Vernon Luke Bowser Sentenced to 20 Years in Prison for Methamphetamine Conspiracy Operating in Washington CountyRead the Press Release
GREENEVILLE, Tenn. - On Monday, Apr. 29, 2013, Vernon Luke Bowser, 46, of Gray, Tenn., was sentenced by the Honorable J. Ronnie Greer, U.S. District Court Judge, to serve 240 months in prison for his role in a methamphetamine manufacturing conspiracy.
Bowser was one of 20 individuals indicted in January 2012 for conspiring to manufacture methamphetamine (meth). Law enforcement agents found meth labs or meth equipment and residue at seven homes in Gray, Jonesborough, and Watauga, Tenn. Currently, 19 of these 20 individuals have been sentenced. Another 11, who were indicted in October 2011 as part of the same meth conspiracy, have also been sentenced. Eighteen additional individuals await sentencing and two others await trial in a third related indictment returned in December 2012.
The conspiracy lasted more than three years and involved the manufacture of more than 1,462 grams of methamphetamine at 16 meth labs including homes, a school bus, barns, and vehicles in Washington, Carter, Greene, and Unicoi counties. The United States forfeited $14,700 in proceeds from the sale of property used to manufacture meth and an additional six acres of property located on Airport Road for the same reason.
In addition to Vernon Luke Bowser, other individuals who have already been sentenced include: Edward Cato, 45; Ricky Birchfield, 42; Lowell Bowser, 46; Dashauna Frye, 38; Scotty Frye, 42; Tim Honeycutt, Sr., 49; Tim (TJ) Honeycutt, Jr., 23; Nancy Lafollette, 52; Renee Martius, 33; David Tucker, 24; and Ronnie Tucker, 44, all 12 of Gray, Tenn. Sentencing has also taken place for the following individuals from Johnson City: James Arnn, 45; Jimmy Hale, 56; Gregg Herron, 42; Brandon Holder, 30; Josh Mabery, 38; Kimberlie Molnar, 44; Andrew Rowland, 41; Danny Wilcox, 37; and Joshua York, 38. The remaining individuals who have been sentenced include: Leroy Bowser, 43, and Linda Woolfrey, 48, of Kingsport; Tavia Harris, 32, of Bristol; Dean Hollifield, 52, and Cindy Waters, 49, of Fall Branch; William Koenig, 35, Teresa Markland, 43, and Bryan Paul, 52, of Jonesborough; and Neil Hensley,38, of Unicoi.
U.S. Attorney William C. Killian stated, “Tennessee has been identified as having one of the highest rates of meth addiction in the United States. Meth has no legitimate uses and it destroys lives, families, and communities. We will continue to devote appropriate resources to rid our communities of the scourge of meth by vigorous prosecution and meaningful prison terms.”
Law enforcement agencies participating in the investigation which led to the indictments and subsequent convictions include the Tennessee First Judicial District Drug Task Force (1stDTF), Tennessee Second Judicial District Drug Task Force, Washington County Tennessee Sheriff’s Office, Drug Enforcement Administration, U.S. Marshals Service, Sullivan County Tennessee Sheriff’s Office Vice Unit, Kingsport Tennessee Police Department, Johnson City Tennessee Police Department, Tennessee National Guard, Tennessee Highway Patrol, Elizabethton Tennessee Police Department, Tennessee Bureau of Investigation, Greene County Tennessee Sheriff’s Office, Greeneville Police Department, Federal Bureau of Investigation, and Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Helen Smith represented the United States.
Two Queens Men Charged with Ardsley Bank Robbery That Was Followed by High-Speed Car ChaseRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, and George Venizelos, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), announced the indictment yesterday of JOSEPH MCCRIMON and JAMES SHERROD in connection with their alleged robbery of the Wells Fargo Bank in Ardsley on March 29, 2013. The defendants were arrested on March 29 and presented originally before U.S. Magistrate Judge Paul E. Davison in White Plains federal court on March 30, who ordered them remanded. They were arraigned on the Indictment today, and the case was assigned to U.S. District Judge Vincent L. Briccetti.
According to allegations in the Indictment unsealed today in White Plains federal court:
MCCRIMON entered the Wells Fargo Bank in Ardsley during the afternoon of March 29 and handed the teller a note in which he threatened to detonate an explosive device unless the teller gave him $20,000. The teller then gave MCCRIMON approximately $10,000 in cash, and he ran outside to where SHERROD was waiting for him in a car. When an Ardsley detective attempted to stop the defendants’ car a short time later, SHERROD drove away at speeds that at times exceeded 100 miles per hour. He struck one car but continued driving, and also at times drove in the opposite lane of traffic. After SHERROD crashed the defendants’ getaway car in the Village of Hastings, he and MCCRIMON continued to flee on foot. MCCRIMON was caught in Hastings, while SHERROD was later caught in Yonkers.
MCCRIMON, 38, of Queens, New York, and SHERROD, 39, of Queens, New York, are each charged with one count of bank robbery, which carries a maximum sentence of 20 years in prison, and one count of conspiracy to commit bank robbery, which carries a maximum sentence of five years in prison.
Mr. Bharara praised the efforts of the FBI, the Ardsley Police Department, the Hastings Police Department, the Yonkers Police Department and Westchester County Department of Public Safety in connection with this investigation.
The charges in the Indictment are merely accusations, and the defendant is presumed innocent until and unless proven guilty.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney James McMahon is in charge of the prosecution.
McCrimon&Sherrod.Complaint
McCrimon, Sherrod.IndictmentThree New York Men Charged in Counterfeit Currency ConspiracyRead the Press Release
PITTSBURGH, Pa. - Three residents of New York State have been indicted by a federal grand jury in Pittsburgh on charges of conspiracy, possessing counterfeit United States currency, and passing counterfeit United States currency, United States Attorney David J. Hickton announced today.
The indictment, returned on April 24, named Sean R. Marroquin, 25, of Richmond Hill, N.Y., Anyi Bohorquez, 20, of East Elmhurst, N.Y., and Matthew Martinez, 21, of Corona, New York.
According to the indictment, Marroquin was charged with conspiracy on or about March 9, 2013; Bohorquez was charged with conspiracy and passing counterfeit currency on or about March 9, 2013; and Martinez was charged with conspiracy and possessing counterfeit currency on or about March 9, 2013.
The law provides for a maximum total sentence of five years in prison, a fine of $250,000 or both for Marroquin. The law provides for a maximum total sentence of 25 years in prison, a fine of $500,000 or both for Bohorquez. The law provides for a maximum total sentence of 25 years in prison, a fine of $500,000 or both for Martinez. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Shardul S. Desai is prosecuting this case on behalf of the government.
The United States Secret Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Three More Sentenced in E. Idaho Meth Trafficking CaseRead the Press Release
POCATELLO – U.S. Attorney Wendy J. Olson announced today the sentencing of three more members of an Eastern Idaho drug trafficking organization. The defendants appeared this week before Chief U.S. District Judge B. Lynn Winmill at the federal courthouse in Pocatello.
Ricardo Garcia Lopez, 36, of Idaho Falls, Idaho, was sentenced today to 235 months in prison followed by five years of supervised release for conspiracy to possess with intent to distribute in excess of 50 grams of methamphetamine. Lopez was also ordered to forfeit a firearm and pay a $1,000 fine. He pleaded guilty to the charge on December 19, 2012.
On Monday, Alberto Abarca, 23, of Idaho Falls, Idaho, was sentenced to 130 months in prison followed by five years of supervised release for possession with intent to distribute methamphetamine. He pleaded guilty to the charge on January 23.
Ana Rosa Valdez-Ceja, 26, of Shelley, Idaho, was sentenced yesterday to two years’ probation for money laundering. She pleaded guilty to the charge on January 23.
According to plea agreements filed in the case, from June 2005 through January 2012, a group of individuals centered around co-defendant Samuel Nevarez-Ayon, a Mexican national, entered into a conspiracy to possess and distribute in excess of 50 grams of actual methamphetamine in the Idaho Falls area. In furtherance of the conspiracy, Nevarez-Ayon directed activities of various co-defendants, including Lopez, Abarca and Valdez-Ceja. In addition to distributing methamphetamine, several defendants laundered proceeds from the sale of the methamphetamine and made false loan applications to local banks to further the laundering of money. During the course of the conspiracy, the defendants obtained in excess of $500,000 from the distribution of methamphetamine.
In addition to the defendants sentenced this week, four co-defendants were sentenced in March and April to serve federal prison sentences for conspiracy to possess with intent to distribute methamphetamine: Rafael Ignacio Guerrero, a Mexican national, was sentenced to 42 months; Antonio Javier Mendoza, of Shelley, Idaho, to 96 months; Fabiola Esmerelda Marin Castro, a Mexican national, to 36 months; and Daniel Quiroz, a Mexican national, to 78 months. Abel Garcia, of Idaho Falls, Idaho, was sentenced in March 2013 to one month in prison for making a false statement to a bank.
The remaining defendants, Nevarez-Ayon, Juan Ortiz, Jr., Everado Tapia-Torres, Jr., Nicholas Levi Olsen, and Isidoro David Herrera, pleaded guilty to related charges and are awaiting sentencing later this month. Guadalupe Meraz is a fugitive.
The charges are the result of a nine-month investigation by the Organized Crime Drug Enforcement Task Force (OCDETF), which included the Idaho State Police, Bonneville County Sheriff's Office, Idaho Falls Police Department, Madison County Sheriff's Office, Rexburg Police Department, Bingham County Sheriff’s Office, Fremont County Sheriff’s Office, Federal Bureau of Investigation (FBI), U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Other federal agencies participating in the OCDETF program include the Drug Enforcement Administration and the U.S. Marshals Service.
The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
Three Men Arrested in Connection with Boston Marathon Bombing InvestigationRead the Press Release
Three men were arrested and charged today in connection with the Boston Marathon bombings investigation.
Dias Kadyrbayev, 19, and Azamat Tazhayakov, 19, both of New Bedford, Mass., were charged in a criminal complaint with conspiracy to obstruct justice by conspiring to destroy, conceal and cover-up tangible objects belonging to suspected Marathon bomber, Dzhokhar Tsarnaev, namely a laptop computer and backpack containing fireworks. A third man, Robel Phillipos, 19, of Cambridge, Mass., was charged with willfully making materially false statements to federal law enforcement officials during a terrorism investigation. According to the affidavit accompanying the complaint, Kadyrbayev and Tazhayakov are both nationals of Kazakhstan who entered the United States on student visas. Kadyrbayev and Tazhayakov face a maximum sentence of five years in prison and $250,000 fine. Phillipos, a U.S. citizen, faces a maximum sentence of eight years in prison and a $250,000 fine.
U.S. Attorney for the District of Massachusetts Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Boston Field Office of the FBI, announced the charges today. This investigation was conducted by the FBI's Boston Division, the Boston Police Department, the Massachusetts State Police and member agencies of the Boston Joint Terrorism Task Force, which is comprised of more than 30 federal, state and local enforcement agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Immigration and Customs Enforcement - Homeland Security Investigations; U.S. Marshals Service; U.S. Secret Service; the Massachusetts Bay Transit Authority; and others. In addition, the Watertown, Mass., Police Department, the Cambridge Police Department, the Massachusetts Institute of Technology (MIT) Police Department, the Boston Fire Department, the National Guard and police, fire and emergency responders from across Massachusetts and New England played critical roles in the investigation and response.
The charges contained in the criminal complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.Related Materials:
Kadyrbayev and Tazhayakov Complaint
Phillipos ComplaintThree Men Arrested in Connection with Marathon Bombing InvestigationRead the Press Release
BOSTON – Three men were arrested and charged on May 1, 2013, in connection with the Boston Marathon bombings investigation.
Dias Kadyrbayev, 19, and Azamat Tazhayakov, 19, both of New Bedford were charged in a criminal complaint with conspiracy to obstruct justice by conspiring to destroy, conceal and cover up tangible objects belonging to suspected Marathon bomber, Dzhokhar Tsarnaev, namely a laptop computer and backpack containing fireworks. A third man, Robel Phillipos, 19, of Cambridge, was charged with willfully making materially false statements to federal law enforcement officials during a terrorism investigation. According to the affidavit accompanying the complaint, Kadyrbayev and Tazhayakov are both nationals of Kazakhstan who entered the United States on student visas. Kadyrbayev and Tazhayakov face a maximum sentence of five years in prison and $250,000 fine. Phillipos faces a maximum sentence of eight years in prison and a $250,000 fine.
United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of the Boston Field Office of the FBI announced the charges today. This investigation was conducted by the FBI's Boston Division, the Boston Police Department, the Massachusetts State Police, and member agencies of the Boston Joint Terrorism Task Force, which is comprised of more than 30 federal, state and local enforcement agencies, including the Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement - Homeland Security Investigations, U.S. Marshals Service, U.S. Secret Service, the Massachusetts Bay Transit Authority and others. In addition, the Watertown Police Department, the Cambridge Police Department, the Massachusetts Institute of Technology (MIT) Police Department, the Boston Fire Department, the National Guard and police, fire and emergency responders from across Massachusetts and New England played critical roles in the investigation and response.
The charges contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
(Download Criminal Complaint - Dias Kadyrbayev & Azamat Tazhayakov)
(Download Criminal Complaint - Robel Phillipos )
Teens Charged with Murder of Skylar NeeseRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-7725 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistFollow us on Twitter @NDWVnews
MORGANTOWN, WEST VIRGINIA - Charges were filed today against two teenagers implicated in the death and disappearance of Star City, West Virginia, teen Skylar Neese.
United States Attorney William Ihlenfeld, II and the Monongalia County Prosecutor’s Office announced that RACHEL SHOAF, 16 years old, of Morgantown, WV, was charged today with the murder of Neese, whose body was found in Pennsylvania on January 16, 2013. During her appearance in the Circuit Court of Monongalia County this morning SHOAF pleaded guilty to Second Degree Murder after agreeing to be transferred to adult status. She is in custody awaiting sentencing.
Charges are pending against a second juvenile who is currently in custody in Monongalia County. Due to the nature of the proceedings, no further information is available at the present time.
The charges filed today were the result of a continuing joint state and federal investigation conducted by the Star City Police, the West Virginia State Police, the Federal Bureau of Investigation, and other law enforcement agencies. The cases now pending will be prosecuted by Monongalia County Prosecuting Attorney Marcia Ashdown and Assistant Prosecuting Attorney Perri Jo DeChristopher.
Teacher’s Assistant Sentenced on Drug Trafficking ChargesRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court yesterday, United States District Judge Terrence Boyle sentenced WINSTON ANTONIO EVANS, 29, of Smithfield, North Carolina, to 123 months imprisonment followed by 6 years supervised release.
A Federal Grand Jury returned a Criminal Indictment on August 29, 2012, charging EVANS with three counts of Distribution of Heroin, one count of Distribution of Heroin Within 1,000 Feet of a School, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime. On January 3, 2013, EVANS pleaded guilty to the following counts: Distribution of Heroin Within 1,000 Feet of a School, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
According to the evidence presented in Court, EVANS engaged in a series of controlled buys from a confidential informant from February 22, 2012, up to and including March 15, 2012. During these controlled buys, EVANS sold quantities of heroin to the confidential informant. One of the controlled buys took place on the school grounds of Smithfield-Selma High School where EVANS was a teacher’s assistant. In addition, during one of the controlled buys, EVANS also sold a firearm to the informant. Finally, the investigation revealed that EVANS was receiving shipped parcels containing heroin from other co-conspirators for distribution. All told, EVANS was held responsible for trafficking in over 500 grams of heroin.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives as well as the Johnston County Sheriff=s Office. Assistant United States Attorney, Rudy E. Renfer, represented the United States in this matter.
Stolen Credit Cards Numbers Lands Houston Man in Federal PrisonRead the Press Release
HOUSTON – Ninh Nguyen, 58, of Houston, has been ordered to prison following his conviction of access device fraud, United States Attorney Kenneth Magidson announced today. Nguyen pleaded guilty Oct. 4, 2012, admitting he possessed 15 or more credit card account numbers that had been stolen or obtained with intent to defraud.
Today, U.S. District Judge Gray H. Miller, who accepted the guilty plea, handed Nguyen a 48-month sentence followed by three years of supervised release. At the hearing today, additional evidence was presented proving that Nguyen continued to engage in access device fraud in Arizona while released on bond.
Nguyen was arrested March 30, 2012, at the Wal-Mart on Tomball Parkway by the Harris County Sheriff’s Department for shoplifting 32 Wal-Mart gift cards. Court records indicated he was detained and subsequently found to be in possession of more than 250 credit, debit and other gift cards. Many of the cards were in Nguyen’s name, but some were in his wife’s name and in the names of others.
All of the cards were analyzed and 27 were found to have magnetic strips encoded with numbers and accountholder information that did not match the number or name on the front of the card. The true accountholders for the 27 re-encoded cards were contacted and all stated that they had not given Nguyen permission to possess their card numbers or to re-encode them onto credit, debit or gift cards.
Although originally released on bond following his arrest in 2012, Nguyen was taken into federal custody on March 1, 2013, for violating his conditions of release.
The matter was investigated by the United States Secret Service and the Harris County Sheriff’s Department and is being prosecuted by Assistant U.S. Attorney James R. Buchanan.
Steven William Carpenter, Suzette Gulyas Gal, Andras Zoltan Gal, and Kristian Zoltan George Gal Found Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that on May 1, 2013, in Great Falls, at a federal district court trial before U.S. District Judge Sam E. Haddon, the following individuals were charged with the following counts:
Count I: Conspiracy to Commit Fraud
Count II: Investment Fraud and Wire Fraud
Count III: Investment Fraud and Wire Fraud
After a 7-day jury trial, STEVEN WILLIAM CARPENTER, age 56, SUZETTE GULYAS GAL, age 55, and ANDRAS ZOLTAN GAL, age 22, residents of California, were found guilty of Counts 1, 2, and 3.
KRISTIAN ZOLTAN GEORGE GAL, age 29, a resident of California, was found guilty of Count I.
Sentencing is set for August 19, 2013. They are currently detained.
At trial, the following evidence and testimony was presented to the jury.
The above-named defendants worked together to solicit funds from the elderly, the infirm, and the gullible by persuading these individuals to invest in fraudulent and fictitious oil and gas investment opportunities on the Fort Peck Indian Reservation.
While the defendants initially obtained legitimate oil and gas leases on the Fort Peck Indian Reservation, those rights were terminated on October 5, 2007, for failure to make the required lease payments. Moreover, the defendants never made any legitimate payment to establish or further an oil or gas venture on the Fort Peck Indian Reservation.
Despite all of the above, the defendants bilked investors into paying well in excess of half a million dollars in a non-existent venture. The case involved over fifty victims, most of whom struggled to make ends meet even before losing money to the fraud. All while the victims suffered, the defendants enjoyed a life of luxury, took extravagant vacations, and basked in the fruits of their fraud.
Today's jury verdict, convicting Steven Carpenter, Suzette Gal, Andras Gal and Kristian Gal, together with the earlier guilty plea of the ring-leader, Mike Campa, represents a significant blow to the loose organization of professional telemarketers who prey every day on the country's elderly, desperate, and gullible. Too many of the operations go undetected and unhindered. The only way to stem the tide is for these predators to know --- without question --- that when they are caught the consequences will be significant. The United States Attorney's Office will continue every effort and enlist every resource to identify and prosecute those who enrich themselves by defrauding others. This investigation, which involved hundreds of man hours of undercover operations, surveillance, forensic document examination, and witness interviews, was a near perfect cooperative effort between the FBI and the Department of Interior's Office of Inspector General. Rarely do we see such seamless and effective coordination of agency efforts. I want to commend the excellent work done by our trial lawyers, AUSAs Carl Rostad and Ryan Weldon who tried the case on behalf of the United States, and investigators who conducted an extraordinary investigation."
Assistant U.S. Attorneys Carl E. Rostad and Ryan G. Weldon prosecuted the case for the United States.
They face possible penalties of 5 years in prison, a $250,000 fine and 3 years supervised release for the conspiracy to commit fraud charge, and 20 years in prison, a $250,000 fine and 3 years supervised release for each of the wire fraud and mail fraud charges.
The investigation was a cooperative effort between the Federal Bureau of Investigation and the U.S. Department of Interior - Office of Inspector General.
Springfield Man Sentenced for Social Security Benefits FraudRead the Press Release
BOSTON – A Springfield man was sentenced today in U.S. District Court in Springfield for defrauding the Social Security Administration (SSA).
Charles Allen, 55, was sentenced by U.S. District Judge Michael A. Ponsor to two years of probation including four months of home detention, and restitution of $97,012 to be paid to the SSA. In December 2012, Allen pleaded guilty to fraudulent concealment to secure unauthorized Social Security payments and false statement of a material fact for use in determining rights to Social Security payments.From approximately June 1, 2003 through August 31, 2010, Allen received approximately $89,000 in fraudulently obtained Social Security Title II disability benefits. Allen was not entitled to receive these benefits because he was also working as the manager of a restaurant during that time period, which was information that he intentionally concealed from the SSA in order to continue receiving these benefits. In particular, on June 21, 2010, Allen stated falsely on a SSA form that he had not worked since January 29, 1999. That same day, agents of the SSA’s Office of Inspector General interviewed Allen, who initially claimed he was not working but then admitted that he was in fact working.
United States Attorney Carmen M. Ortiz, Scott Antolik, Special Agent In Charge of the Office of Inspector General, Social Security Administration, Office of Investigations – Boston Field Division, made the announcement today. The case was prosecuted by Assistant U.S. Attorney Steven H. Breslow of Ortiz's Springfield Branch Office.
Springfield Firm Sentenced for Importing Thousands of Products with Counterfeit Safety Labels, must Forfeit Lamps worth $1.8 MillionRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., company was sentenced in federal court today for importing thousands of lamps from its manufacturer in China bearing counterfeit safety certification labels.
GuildMaster, Inc., represented in court by company president Stephen Crowder, was sentenced by U.S. District Judge Gary A. Fenner.
GuildMaster is a manufacturer and importer of furniture, lighting, accessories and wall art. On July 15, 2013, the company pleaded guilty to the felony offense of trafficking in goods with counterfeit marks.
GuildMaster must forfeit to the government 5,585 lamps that were seized by U.S. Customs and Border Protection, valued at approximately $1,831,918, and serve a five-year term of probation. U. S. Customs and Border Protection will not impose penalties, but will apply the full amount of the $43,786 in cost bonds previously posted by GuildMaster to defray the government’s expenses in storing the lamps.
In December 2011, U.S. Customs and Border Protection discovered that lamps imported by GuildMaster bore counterfeit Underwriters Laboratories (UL) labels. UL is an independent product safety certification organization accredited for safety testing by the Occupational Safety and Health Administration (OSHA). For lamps meeting UL safety requirements, manufacturers are authorized to affix labels bearing the words “Portable Luminaire” and featuring the UL mark. The use of this “Portable Luminaire” label with the UL mark is the manufacturer’s representation and advertisement to the public that the lamp as a whole was certified by UL as meeting UL’s safety requirements.
Federal agents began to intercept and seize shipments of GuildMaster lamps bearing counterfeit UL labels. Between Jan. 10 and March 21, 2012 agents seized 10 shipments originating from Dongguan, China, bound for GuildMaster in Springfield. They also executed a search and seizure warrant at GuildMaster’s business office and warehouse in Springfield. The 11 seizures contained an approximate total of 5,018 lamps bearing the counterfeit “Portable Luminaire” labels with UL marks. Also, in three seizures a total of approximately 567 lamps were seized that were affixed with genuine but unauthorized “Portable Luminaire” labels bearing the UL Mark, which had been provided by UL to another company for its exclusive use and were not authorized for GuildMaster’s use.
GuildMaster was founded in Springfield in 1982. GuildMaster, which was formerly a client of UL, stopped producing its own lamps in 2005. At that time GuildMaster relocated its warehouse and closed its production facility in Springfield. Since 2005, GuildMaster has purchased lamps manufactured in China and imported them into the United States under the GuildMaster label.
GuildMaster established a Hong Kong-based trading company, Westway Enterprises Pvt. Limited, as a wholly-owned subsidiary in 2001. In May 2011, MeiHao Times Trading Co. Ltd. (located in Shenzhen, China) was established as a wholly-owned subsidiary of Westway to broker sales with Dongguan factories. This was required by Chinese law before GuildMaster could establish a mainland Chinese factory as a subsidiary.
Dongguan Yangming Hardware Crafts Limited was a manufacturer of lamps located in Dongguan City, Guangdong, China. In April 2009 GuildMaster (through Westway) began paying rent on the Dongguan factory. On Nov. 22, 2010 GuildMaster (through Westway) signed a formal three-year lease for the factory. On Oct. 11, 2011 GuildMaster (through Westway and MeiHao Times Trading Co.) purchased Dongguan Yangming Hardware Crafts Limited, including its name and export license, and operated a factory entity at that location.
GuildMaster maintains that none of its agents or employees had personal knowledge that they violated U. S. laws by importing the lamps. However, GuildMaster acknowledges that the knowledge and actions of Westway employees and agents are attributed to GuildMaster because Westway was GuildMaster’s wholly-owned subsidiary. GuildMaster also acknowledges that the knowledge and actions of Dongguan employees and agents are attributed to GuildMaster because Dongguan was a wholly-owned subsidiary of MeiHao Times Trading Co. Ltd., which was a wholly-owned subsidiary of Westway.
UL certification was an important issue in the importation of electrical appliances into the United States, and Westway tracked whether each of the vendors from which it purchased lamps and components was UL certified. As of December 2009, Westway personnel knew the Dongguan factory was not UL-certified.
Before the federal seizures, GuildMaster did not inspect lamps coming from China to ascertain the authenticity of the “Portable Luminaire” certification marks placed upon the lamps. GuildMaster acknowledges that had it inspected the lamps it would have seen counterfeit and unauthorized UL marks.
This case was prosecuted by Assistant U.S. Attorneys Steven M. Mohlhenrich and Cynthia J. Hyde. It was investigated by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).Springfield Felon Pleads Guilty to Sexual Exploitation of a MinorRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man pleaded guilty in federal court today to the sexual exploitation of a minor.
Ezra Robert Gramm, 39, of Springfield, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charge contained in an Oct. 3, 2012 federal indictment.
By pleading guilty today, Gramm admitted that he made contact with the 13-year-old victim, identified as “Jane Doe,” via an Internet chat room in late 2009. Gramm and the child victim engaged in online chat sessions and exchanged text messages with one another. During the course of this interaction, Gramm asked Jane Doe to take sexually explicit photographs of herself and transmit the photographs to him. Jane Doe complied with his request.
Gramm’s cell phone was seized by law enforcement officers and found to contain multiple images of Jane Doe engaged in sexually explicit conduct. Jane Doe was interviewed and acknowledged taking the digital images of herself and transmitting them to Gramm at his request.
Under federal statutes, Gramm is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 30 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Springfield, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Spiro Baltatzidis, Former Founder and Chief Executive Officer of Starwich, Inc., Sentenced in Manhattan Federal Court to Six Months in Prison for Wire FraudRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that SPIRO BALTATZIDIS, the former Founder and Chief Executive Officer of Starwich, Inc. (“Starwich”), was sentenced today to six months in prison for wire fraud. BALTATZIDIS pled guilty in January 2013 before United States District Judge Ronnie Abrams, who also imposed today’s sentence.
According to the Information and statements made at the plea proceeding:
Starwich was a privately held corporation headquartered in New York that engaged in the food services business, and more specifically, the upscale specialty sandwich business. Starwich operated a micro-chain of restaurants located around Manhattan and maintained multiple corporate bank accounts (collectively, the “Starwich Bank Accounts”) at Citibank, N.A. (“Citibank”) into which investor funds were deposited.
From the summer of 2007 through May 2008, BALTATZIDIS solicited a $25 million investment from a financial institution (the “Victim Financial Institution”). BALTATZIDIS represented that the purpose of the investment was to expand the business operations of Starwich. In connection with the investment solicitation, the Victim Financial Institution conducted due diligence to determine whether Starwich was a prudent investment opportunity. This due diligence included, among other things, a review of Starwich’s financials. Accordingly, at the Victim Financial Institution’s request, on September 16, 2007, it received a fax from Starwich containing Citibank statements for one of the Starwich Bank Accounts. The first statement purported to cover the period December 1, 2006 through December 31, 2006, and reflected an ending balance of approximately $450,000. Another statement for the same account purported to cover the period June 1, 2007 through June 30, 2007, reflected an ending balance of approximately $1.2 million – an increase in the ending balance of well over 100% in the six-month period between December 2006 and June 2007.
Based in part on the June 2007 statement, the Victim Financial Institution entered into a Memorandum of Terms (“the Memorandum”) with Starwich in November 2007. The Memorandum detailed the principal terms of a proposed $25 million investment in shares of Starwich to be divided into three stages of disbursements. However, the bank statements provided to the Victim Financial Institution were fraudulent. The actual bank account records from Citibank showed a balance of approximately $400 as of December 31, 2006, and approximately $200 as of June 30, 2007.
In furtherance of its due diligence, the Victim Financial Institution requested a further update of Starwich’s financials and in response to this request, BALTATZIDIS forwarded an email chain between BALTATZIDIS and an employee of Citibank (the “Bank Employee”) on November 15, 2007. The content of the email chain forwarded to the Victim Financial Institution (the “Victim Financial Institution Email”) reflected that BALTATZIDIS asked the Bank Employee for the balance of one of the Starwich accounts for the period ending September 30, 2007, and the Bank Employee purportedly responded that the account’s current balance was approximately $1.3 million.
In fact, the email chain forwarded by BALTATZIDIS to the Victim Financial Institution on November 15, 2007, was materially altered from its original version (the “Authentic Citibank Email”). Specifically, in the Authentic Citibank Email, the Bank Employee wrote that the account’s current balance was “-$3,963.93,” whereas the Victim Financial Institution Email reflected a balance of “$1,317,963.93.” In addition, the Authentic Citibank Email included a copy of the account statement for the period ending September 30, 2007, whereas the Victim Financial Institution Email omitted the account statement.
From November 15, 2007 through May 2008, BALTATZIDIS and the Victim Financial Institution continued their discussions regarding the solicited financial investment in Starwich. By May 2008, however, the Victim Financial Institution decided against investing with Starwich and ended its discussions with BALTATZIDIS. In August 2008, Starwich filed for bankruptcy.
In addition to his prison term, BALTATZIDIS, 38, was also sentenced to 30 months of supervised release, six months of which are to be served on home confinement.
Mr. Bharara praised the investigative work of the United States Postal Inspection Service.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.stopfraud.gov.
The case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant United States Attorney Julian J. Moore is in charge of the prosecution.
Six Veterans Plead Guilty to Fraudulently Obtaining over $500,000 in Veterans BenefitsRead the Press Release
Baltimore, Maryland - Kenneth Williams, age 64, of Baltimore, and Raymond Sadler, age 61, of Middle River, Maryland, both U.S. Marine Corps veterans, pleaded guilty today to fraudulently obtaining veterans benefits. Veterans Sandra Tyree, age 64, of Rosedale, Maryland; Kenneth Webster, age 67, of Pasadena, Maryland; Paul Heard, age 64, of Baltimore; and John Bratcher, age 54, of Conowingo, Maryland pleaded guilty on Monday, April 29, 2013, to the same charge.
The guilty pleas were announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Kim R. Lampkins of the Department of Veterans Affairs Office of Inspector General.
“Like all government agencies that award benefits based upon a sworn certification that the claimant deserves them, the Veterans Administration is vulnerable to abuse by dishonest people,”said U.S. Attorney Rod J. Rosenstein. “The defendants cheated the government of hundreds of thousands of dollars by falsely representing that they were suffering from medical disabilities as a result of their military service.”
U.S. Army veteran David Clark, age 68, of Hydes, Maryland, the former Deputy Chief of Veterans Claims in the Maryland Department of Veterans Affairs, has been indicted in connection with the scheme to fraudulently obtain over $1.4 million in veterans benefits. As the Deputy Chief for Veterans Claims, Clark’s duties included submitting claims and documentation on behalf of veterans in Maryland who appointed the MDVA to represent them in obtaining federal benefits from the Department of Veterans Affairs (VA). The indictment alleges that Clark fraudulently obtained VA compensation for himself, and others, in exchange for cash. According to the indictment, Clark claimed that he, co-defendants, and others, had been exposed to Agent Orange during the Vietnam War and had subsequently developed diabetes. In support of these claims, the indictment alleges that Clark submitted fraudulent documentation, including fake letters from physicians purportedly treating the veterans, which made statements that entitled each claimant to a retroactive lump-sum payment and increased the amount of compensation the VA paid the claimant. The indictment alleges that Clark created counterfeit versions of Defense Department Form 215 (DD215) for himself, several co-defendants and others, which falsely stated that they had served in combat in Vietnam. These documents were submitted to the VA to provide false evidence that they qualified for compensation benefits for diabetes.
Clark is also charged with submitting certifications to the Maryland State Department of Assessments and Taxation stating that some of his veteran co-schemers were entitled to a property tax waiver from the State of Maryland due to a100 percent service-connected disability.
Williams admitted that in 2006, he agreed to pay Clark to submit a false claim to the VA on Williams’ behalf for diabetes purportedly arising from military service during the Vietnam War. Williams received a one-time lump disability payment from the VA in 2006 of $6,000, from which he paid Clark $3,000. Thereafter, Williams received monthly payments from the VA until October 2012, for a total of $42,567 in benefits that he was not entitled to receive.
According to their guilty pleas: from 2003 to October 2012, Tyree, a U.S. Air Force veteran and a former employee of the U.S. Department of Veterans Affairs, received a total of $56,304 in benefits, and Webster, a U.S. Marine Corps veteran and former AMTRAK police officer, fraudulently received a total of $181,476 in benefits; from 2004 to October 2012, Sadler fraudulently received a total of $82,201 in benefits; and from 2006 to 2012, Heard, a U.S. Navy veteran, received a total of $58,060 in benefits to which he was not entitled. Neither Tyree nor Webster ever served in Vietnam, but they admitted that Clark submitted false service records to make it appear as if they had. Additionally, Heard admitted that he obtained a property tax waiver by having Clark submit false certification related to Heard’s purported disability. Heard fraudulently received tax waivers totaling $15,677 between 2006 and 2012.
Finally, according to his plea agreement, Bratcher, served in the U.S. Air Force from 1975 to 1980, stationed in Germany and the United States. Bratcher admitted that Clark submitted documents to the VA on Bratcher’s behalf falsely claiming compensation for diabetes, including a letter purported to be from his doctor. Bratcher had never seen this doctor and never served in Vietnam. Bratcher paid Clark between $3,000 to $5,000 to fraudulently obtain a total of $70,912 in VA benefits from 2003 to October 2012.
The total loss involving these six defendants, including the loss from the property tax evasion, is $507,197. The defendants will be required to forfeit all of these proceeds of the scheme.
The defendants each face a maximum sentence of 20 years in prison for wire fraud and a $250,000 fine. U.S. District Judge Catherine C. Blake scheduled sentencing for Williams and Sadler on August 2, 2013. Judge Blake set the sentencing for Bratcher, Heard and Tyree on July 12, 2013, and for Webster on August 26, 2013.
The indictment alleges that the VA benefit fraud loss as a result of the scheme is $1,151,219 and the loss from the property tax evasion is $255,555, for a total loss of $1,407,134.
An indictment is not a finding of guilt. David Clark is presumed innocent unless and until proven guilty at some later criminal proceedings.
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. Attorney’s 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 praised the VA Office of Inspector General for its work in the investigation and thanked Assistant U.S. Attorney Leo J. Wise, who is prosecuting the case.
Serial Armed Robber from Hampton Sentenced in Federal CourtRead the Press Release
NORFOLK, Va. – Christian Lamont Johnson, 24, of Hampton, Va., was sentenced today to 385 months in prison, followed by 5 years of supervised release, for robbing multiple businesses while armed with a gun in the Hampton Roads area.
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.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Mythili Raman, Acting Assistant Attorney General for the Criminal Division; and James D. Newman, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior United States District Judge Henry Coke Morgan, Jr.
Johnson pleaded guilty on Jan. 28, 2013, on the day his jury trial was set to begin in Norfolk Federal Court, and was convicted of one count of robbery and two counts of possessing and brandishing a firearm in furtherance of a crime of violence.
Johnson was charged with committing three different armed robberies in a five-count superseding indictment returned on Sept. 20, 2012. According to court documents filed with his plea agreement, Johnson robbed an Approved Cash Advance check-cashing business in Norfolk on June 21, 2012, and a 7-Eleven convenience store in Hampton on July 3, 2012. During both robberies, he possessed and brandished a firearm to employees of the businesses. Following the 7-Eleven robbery, Johnson was seen entering a vehicle dressed in a black hooded sweatshirt, t-shirt and jeans, and wearing a black ski mask and gloves, while armed with a handgun. A witness followed Johnson’s vehicle and reported it to police. A high speed chase ensued when Johnson failed to yield to law enforcement. Attempting to evade authorities, Johnson drove at speeds reaching 100 miles per hour, veered into oncoming traffic, forced several motorists off of the road, and ran numerous red lights while narrowly missing other motorists. Johnson also drove across the James River Bridge and began throwing items out of the car. The chase ended 30 minutes later in Chesapeake when Johnson struck a median, lost control of the vehicle, and crashed into several trees. He then fled the scene on foot but was apprehended by the Virginia State Police.
The investigation of this case was led by the ATF’s Washington Field Division, with the assistance of the Hampton Police Division, Norfolk Police Department, Chesapeake Police Department, and the Virginia State Police. Trial Attorneys Louis Crisostomo of the Organized Crime and Gang Section, and Teresa Wallbaum of the Human Rights and Special Prosecutions Section, both in the Justice Department’s Criminal Division, prosecuted the case on behalf of the United States.Rocky Mount Man Sentenced to Federal Prison for Possessing A Machine GunRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court yesterday United States District Judge Terrence W. Boyle sentenced SAMUEL LEE COOPER, JR., 36, to 76 months imprisonment followed by five years supervised release. On July 11, 2012, COOPER pled guilty to possessing a firearm in furtherance of a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c), and possessing a machinegun, in violation of Title 18, United States Code, Sections 922(o) and 924(a)(2).
The June 6, 2012, Superseding Indictment, alleges that the offenses took place on October 4, 2010. According to the evidence presented in court, COOPER wasa drug dealer operating in Rocky Mount, North Carolina. When law enforcement went to COOPER’S residence they noticed marijuana in plain view. A search warrant was obtained and officers found a Norinco, model SKS, 7.62 fully automatic rifle along with ammunition for the rifle and a Smith and Wesson .22 caliber Ruger revolver.
This case was part of the Project Safe Neighborhoods (PSN) initiative which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Rocky Mount Police Department. Assistant United States Attorney Jane J. Jackson is prosecuting the case.
Randeep Mann Resentenced to Life in the 2009 West Memphis Bombing of DoctorRead the Press Release
Little Rock - Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas, released this statement today regarding the re-sentencing of Randeep Mann, age 54, in the 2009 West Memphis bombing case. Mann was re-sentenced by United States District Judge Brian Miller to life plus 360 months to be served concurrently in prison on two bombing counts, 10 years on Counts 3 & 6 weapons counts. Count 5 was vacated in accordance with the Eighth Circuits' ruling. The rest of his previous sentence, 5 years on the obstruction counts and $100,000 fine, were unchanged. Mann was arrested on March 4, 2009, and has been in federal custody since that date. "A little more than two years ago, Randeep Mann was sentenced to life imprisonment for his role in the 2009 bombing of Dr. Trent Piece in West Memphis. That was the appropriate sentence then, and it remains the appropriate sentence now. While my office respects the legalities that necessitated the re-sentencing hearing held earlier today, those legal issues do not change the violent, senseless crimes that were committed. Hopefully, the life sentence handed down today will mark the end of this case and bring closure to some very difficult times for Dr. Pierce and his family.
I want to recognize the efforts of prosecutors in my office as well as the many federal, state, and local law enforcement officers who worked on this case for many months. I commend them for their commitment to fully investigating and prosecuting this complex case. Specifically, my thanks go out to the Arkansas State Police, the West Memphis Police Department, the West Memphis Fire Department, the Pope County Sheriff's Office, the Shelby County Sheriff's Department Bomb Squad. Additionally, I must also express my gratitude to the many medical personnel and professionals who ultimately saved the life of Dr. Trent Pierce."
Randeep Mann was convicted August 9, 2010, on multiple counts related to the use of a weapon of mass destruction against Dr. Pierce and his vehicle, possession of unregistered weapons, and obstruction. He was sentenced by United States District Judge Brian Miller to life plus 360 months in prison on two bombing counts, 10 years on three weapons counts and 5 years on obstruction counts. The weapons convictions included counts of owning an unregistered machine gun and possessing almost 100 grenades which were found near Mann's Pope County residence. On December 6, 2012, the Eighth Circuit Court of Appeals affirmed Mann's convictions on the bombing, possession of unregistered weapons and obstruction counts. The Court ruled that Mann be re-sentenced on all but the obstruction counts because certain enhancements were applied to his sentence without sufficient support. The Court also ruled that one of two counts regarding the illegal possession of a machine gun be dropped at re-sentencing.
Phoenix Man Arrested on Federal Child Pornography ChargesRead the Press Release
United States Attorney Richard S. Hartunian announced the arrest today of a Phoenix, New York man on federal child pornography charges.
A federal criminal complaint unsealed today charges RICHARD J. WATKINS, age 48, with knowingly distributing, receiving, and possessing child pornography via the Internet. The complaint alleges that in September of 2012 WATKINS made files depicting child pornography available to others on the internet by way of a file sharing program, and that an undercover police officer was able to obtain from WATKINS’ computer video files depicting children engaged in sexually explicit conduct. The complaint further alleges that following the execution of a search warrant at WATKINS’ Phoenix residence, the New York State Police found that WATKINS possessed hundreds of video files of child pornography on media seized from his residence.
WATKINS was arrested on the federal charges this morning, and made his initial appearance before Hon. Andrew T. Baxter, United States Magistrate Judge, who ordered him detained pending a hearing scheduled for Monday, May 6, 2013.
For his distribution and receipt of child pornography, WATKINS faces a mandatory minimum penalty of 5 years imprisonment, a maximum penalty of 20 years; For possessing child pornography his maximum potential sentence of imprisonment is 10 years. Each count carries with it a maximum fine of $250,000, a required term of supervised release of at least 5 years, and up to life, and his registration as a sex offender.
The charges are merely accusations and the defendant is presumed innocent until and unless proven guilty.
WATKINS’ arrest is the result of an investigation by the New York State Police, and the United States Secret Service. It is being prosecuted by Assistant U.S. Attorney Lisa Fletcher. WATKINS’ prosecution by the United States Attorney's Office is part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Owner of Windy Hills Outpost Sentenced for Unlawful Sale of Migratory WaterfowlRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pennsylvania man, convicted of the Unlawful Sale of Migratory Waterfowl, was sentenced on April 29, 2013, by US District Judge Charles B. Kornmann. Mike Bishop, age 46, was sentenced to 11 months in custody; $7,200 in restitution (joint and several with co-defendants) to the United States Fish and Wildlife Service for the cost of the Services’ undercover hunt; $3,450 in restitution to South Dakota State Game, Fish and Parks Department for the illegally taking of State of South Dakota waterfowl; and a $100 assessment to the Federal Crime Victims Fund.
Bishop, the owner of Windy Hills Outpost, was indicted in April 2012 for Conspiracy to Violate the Lacey Act, Failure to Lawfully Tag Migratory Birds, the Sale and Possession of Wildlife in Violation of Migratory Bird Act, and False Labeling on Waterfowl Tags. He pled guilty to a Superseding Information charging him with the Unlawful Sale of Migratory Waterfowl on April 29, 2013.
The conviction stems from incidents that occurred in the fall of 2008 and 2009, in Marshall County, when Bishop and others who worked for Bishop as guides, unlawfully provided migratory waterfowl to undercover US Fish and Wildlife Service officers for meals at the lodge before the undercover officers had even gone hunting. Additionally, the officers observed Bishop and his guides take ducks and geese that were not lawfully tagged, shoot ducks over the possession limit, guide hunters who did not have valid hunting licenses, and alter dates on tags to show the migratory birds were taken on a series of days and not on a single day.
The investigation was conducted by the U.S. Fish & Wildlife Service. Assistant US Attorney Mikal Hanson prosecuted the case.
Bishop will report to the United States Marshal’s Service on May 28, 2013, to begin serving his sentence.
Officer of Now Defunct New Frontier Bank Sentenced to Prison on Charges Related to the Bank's CollapseRead the Press Release
DENVER – Gregory William Bell, age 54, of Weld County, Colorado, was sentenced yesterday by U.S. District Court Judge Lewis T. Babcock to serve 30 months in federal prison for false bank entries, bank misapplication, bank fraud, and money laundering, the United States Attorney’s Office, the Federal Bureau of Investigation, the Internal Revenue Service – Criminal Investigation and the FDIC – Office of Inspector General announced. Following his prison sentence, Bell was ordered to spend 3 years on supervised release. Judge Babcock has scheduled a hearing on June 12, 2013 to determine how much, and to whom, the restitution Bell could be ordered to pay should go to.
Bell was charged by Information on December 12, 2012 and pled guilty on February 5, 2013. According to the facts contained in the Information as well as the stipulated facts contained in the plea agreement, Gregory Bell was an officer of New Frontier Bank, which was insured by the Federal Deposit Insurance Corporation. On October 31, 2005, Bell made a false entry in a bank book, report or statement with intent to defraud the bank and deceive one or more of the bank’s officers. Specifically, the defendant allegedly prepared a form entitled “Credit Presentation and Committee Approval” for a $5,583,500 loan to two individuals on which he failed to disclose that a certificate of deposit, the value of which was $106,759.00, which the two individuals pledged as collateral, in fact belonged to another individual and that Bell would benefit personally as a result of the loan. On March 14, 2008, Bell willfully misapplied approximately $662,045.79 of New Frontier’s funds.
On June 17, 2008, and continuing until September 9, 2008, Bell devised and participated in a scheme to defraud the bank and to obtain moneys owned by and under the custody and control of the bank by means of materially false and fraudulent pretenses. As part of the scheme, Bell, knowing that state and federal regulators had directed New Frontier Bank to raise capital, arranged for eight bank customers to borrow money from the bank and use the proceeds of those loans to purchase shares of bank stock so New Frontier could inject some of the money paid for the stock into the bank. As part of the scheme, Bell failed to disclose the deteriorating condition of the bank to its customers. He also prepared and caused others to prepare bank forms entitled “Credit Presentation and Committee Approval” for the eight loans described above. Bell failed to disclose on the credit presentation forms that proceeds of the loans would be used to purchase shares of stock in New Frontier Bancorp.
Bell also allegedly caused false and misleading statements to be included on the credit presentation forms. He presented the credit presentation forms to bank loan committees and caused other persons to present them to bank loan committees. As part of the scheme, Bell caused the bank to loan approximately $20,145,979.23 to the eight borrowers mentioned above, and caused those borrowers to use approximately $4,310,215.00 of those proceeds to purchase shares of stock in the bank. On August 29, 2008, Bell executed a scheme by causing the bank to transfer approximately $260,000.00 of the proceeds of one of the bank loans to an account of one of the borrowers of that loan.
On June 27, 2008, Bell conducted a financial transaction affecting interstate commerce. Specifically, he deposited a check in the amount of $160,000.00 into his account at the bank. The transaction involved the proceeds of a specified unlawful activity, knowing that the transaction was designed in whole or in part to conceal and disguise the source and the ownership of the proceeds of the unlawful activity.
“Those responsible for bank failures were also ultimately responsible for the weakening of our economy,” said U.S. Attorney John Walsh. “Thanks to the hard work of the Assistant U.S. Attorneys, the FBI, IRS-Criminal Investigations and the FDIC, the officer of one of these failed banks has been held personally accountable, is now a felon, and will spend time in federal prison.”
“This case demonstrates the FBI’s continued commitment to investigating bank fraud violations,” said FBI Denver Acting Special Agent in Charge Steven Olson. “We place a high priority wherein senior bank officials utilize their positions to defraud financial institutions for personal gain. These criminal acts undermine our banking system and will be aggressively pursued.”
“This sentencing is a direct result of outstanding teamwork between IRS-CI, FBI, FDIC-OIG and the U.S. Attorney’s Office in combating violations of Federal law,” said Stephen Boyd, Special Agent in Charge, IRS Criminal Investigation, Denver Field Office. “This sentence should serve as a deterrent to those who might contemplate similar fraudulent actions.”
This case was investigated by the Federal Bureau of Investigation (FBI), the Internal Revenue Service – Criminal Investigation (IRS-CI), and the Federal Deposit Insurance Corporation – Office of the Inspector General (FDIC-OIG).
The defendant was prosecuted by Assistant U.S. Attorney Suneeta Hazra and another prosecutor from the Economic Crimes Section of the Criminal Division of the U.S. Attorney’s Office.
####
Officer of Now Defunct New Frontier Bank Sentenced to Prison on Charges Related to the Bank's CollapseRead the Press Release
DENVER – Gregory William Bell, age 54, of Weld County, Colorado, was sentenced yesterday by U.S. District Court Judge Lewis T. Babcock to serve 30 months in federal prison for false bank entries, bank misapplication, bank fraud, and money laundering, the United States Attorney’s Office, the Federal Bureau of Investigation, the Internal Revenue Service – Criminal Investigation and the FDIC – Office of Inspector General announced. Following his prison sentence, Bell was ordered to spend 3 years on supervised release. Judge Babcock has scheduled a hearing on June 12, 2013 to determine how much, and to whom, the restitution Bell could be ordered to pay should go to.
Bell was charged by Information on December 12, 2012 and pled guilty on February 5, 2013. According to the facts contained in the Information as well as the stipulated facts contained in the plea agreement, Gregory Bell was an officer of New Frontier Bank, which was insured by the Federal Deposit Insurance Corporation. On October 31, 2005, Bell made a false entry in a bank book, report or statement with intent to defraud the bank and deceive one or more of the bank’s officers. Specifically, the defendant allegedly prepared a form entitled “Credit Presentation and Committee Approval” for a $5,583,500 loan to two individuals on which he failed to disclose that a certificate of deposit, the value of which was $106,759.00, which the two individuals pledged as collateral, in fact belonged to another individual and that Bell would benefit personally as a result of the loan. On March 14, 2008, Bell willfully misapplied approximately $662,045.79 of New Frontier’s funds.
On June 17, 2008, and continuing until September 9, 2008, Bell devised and participated in a scheme to defraud the bank and to obtain moneys owned by and under the custody and control of the bank by means of materially false and fraudulent pretenses. As part of the scheme, Bell, knowing that state and federal regulators had directed New Frontier Bank to raise capital, arranged for eight bank customers to borrow money from the bank and use the proceeds of those loans to purchase shares of bank stock so New Frontier could inject some of the money paid for the stock into the bank. As part of the scheme, Bell failed to disclose the deteriorating condition of the bank to its customers. He also prepared and caused others to prepare bank forms entitled “Credit Presentation and Committee Approval” for the eight loans described above. Bell failed to disclose on the credit presentation forms that proceeds of the loans would be used to purchase shares of stock in New Frontier Bancorp.
Bell also allegedly caused false and misleading statements to be included on the credit presentation forms. He presented the credit presentation forms to bank loan committees and caused other persons to present them to bank loan committees. As part of the scheme, Bell caused the bank to loan approximately $20,145,979.23 to the eight borrowers mentioned above, and caused those borrowers to use approximately $4,310,215.00 of those proceeds to purchase shares of stock in the bank. On August 29, 2008, Bell executed a scheme by causing the bank to transfer approximately $260,000.00 of the proceeds of one of the bank loans to an account of one of the borrowers of that loan.
On June 27, 2008, Bell conducted a financial transaction affecting interstate commerce. Specifically, he deposited a check in the amount of $160,000.00 into his account at the bank. The transaction involved the proceeds of a specified unlawful activity, knowing that the transaction was designed in whole or in part to conceal and disguise the source and the ownership of the proceeds of the unlawful activity.
“Those responsible for bank failures were also ultimately responsible for the weakening of our economy,” said U.S. Attorney John Walsh. “Thanks to the hard work of the Assistant U.S. Attorneys, the FBI, IRS-Criminal Investigations and the FDIC, the officer of one of these failed banks has been held personally accountable, is now a felon, and will spend time in federal prison.”
“This case demonstrates the FBI’s continued commitment to investigating bank fraud violations,” said FBI Denver Acting Special Agent in Charge Steven Olson. “We place a high priority wherein senior bank officials utilize their positions to defraud financial institutions for personal gain. These criminal acts undermine our banking system and will be aggressively pursued.”
“This sentencing is a direct result of outstanding teamwork between IRS-CI, FBI, FDIC-OIG and the U.S. Attorney’s Office in combating violations of Federal law,” said Stephen Boyd, Special Agent in Charge, IRS Criminal Investigation, Denver Field Office. “This sentence should serve as a deterrent to those who might contemplate similar fraudulent actions.”
This case was investigated by the Federal Bureau of Investigation (FBI), the Internal Revenue Service – Criminal Investigation (IRS-CI), and the Federal Deposit Insurance Corporation – Office of the Inspector General (FDIC-OIG).
The defendant was prosecuted by Assistant U.S. Attorney Suneeta Hazra and another prosecutor from the Economic Crimes Section of the Criminal Division of the U.S. Attorney’s Office.
####
Nine People Linked to Cocaine Distribution to Italy and Domestic Methamphetamine Sales Named in Federal IndictmentRead the Press Release
LOS ANGELES – A federal investigation into a drug-trafficking organization led by two brothers who oversaw the distribution of cocaine to Italy and across the United States – as well as methamphetamine being trafficked across the U.S. – has led to the indictment of nine people, three of whom were arrested this morning.
Operation “Family Guy” targeted the Urena family drug-trafficking organization through the use of undercover operatives and wiretaps that led to the interception of telephone calls, text messages, and communications sent through BlackBerry Messenger.
The investigation, which culminated with a seven-count indictment being returned by a federal grand jury on April 24, resulted in the seizure of approximately 40 kilograms of cocaine being smuggled into Italy from the Dominican Republic and Mexico. That cocaine was being smuggled by female drug couriers allegedly recruited by two Urena brothers, who were assisted by their uncle Francisco Javier Vargas-Oseguera and others. The investigation also uncovered a conspiracy to distribute significant quantities of methamphetamine and cocaine throughout the United States through the use of vehicles with hidden compartments.
The indictment also alleges that members of the narcotics-trafficking operation laundered drug proceeds from the Dominican Republic through the use of Western Union wire transfers sent to Fontana and Rancho Cucamonga.
Operation “Family Guy” is the product of an investigation conducted by the Los Angeles High Intensity Drug Trafficking Area (HIDTA) Task Force, which is coordinated by the Drug Enforcement Administration and is comprised of agents with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and
IRS - Criminal Investigation. The Los Angeles Sheriff’s Department and the Whittier Police Department also participated in this investigation.Those named in the indictment unsealed this morning are: Milton Urena, 29, of the Dominican Republic, who is currently being sought by authorities;
Rafael Urena, 27, of Rancho Cucamonga, Milton Urena’s brother, who was arrested this morning;
Daniel Alejandro Agredano Vazquez, 22, of the Dominican Republic, who allegedly oversaw the distribution of cocaine from the Dominican Republic to Italy and conspired to launder drug proceeds, and who is currently being sought by authorities;
Francisco Javier Vargas-Oseguera, 51, an uncle of the Urena brothers, previously of Seattle and recently of Fontana, who is currently in federal custody in Seattle after being charged in federal court there in relation to his alleged possession of eight pounds of methamphetamine in a case unrelated to Operation Family Guy;
Leonel Urena-Partida, 49, of Guadalajara, Mexico, another uncle of the Urena brothers, who allegedly conspired to transport cocaine to Italy, and who is being sought by authorities;
Carmen Garcia, 35, of San Bernardino, who supplied methamphetamine and assisted with the recruitment of drug couriers, and who was arrested this morning;
Eliseo Carrillo Duarte, 45, of Montebello, who is currently in federal custody in Indianapolis after being arrested there in March on unrelated drug-trafficking charges stemming from the seizure of approximately 10 pounds of methamphetamine;
Jenna Michelle Martin (also known as Jenna Michelle Smith), 25, of Upland, an alleged drug courier who was arrested this morning; and
Beth Rene Ford (also known as Beth Rene Florance), 26, formerly of Ontario and now living in the Denver area, a second alleged drug courier, who is expected to self-surrender soon to authorities.
The defendants arrested this morning are expected to be arraigned on the indictment this afternoon in United States District Court in downtown Los Angeles.
The indictment specifically charges eight defendants (not Duarte) with conspiracy to distribute cocaine to Italy, which carries a mandatory minimum sentence of 10 years in federal prison and a statutory maximum sentence of life imprisonment. Six of the defendants (not Agredano Vasquez, Martin or Ford) are charged in another conspiracy involving the domestic distribution of cocaine and methamphetamine, a charge that also carries a mandatory minimum sentence of 10 years in federal prison.
Various defendants are also named in a charge that alleges the distribution of approximately one pound of methamphetamine, three counts of use of a communication facility in committing a felony drug offense, and conspiracy to launder money.
Release No. 13-061
Newtown Man Sentenced to More Than 23 Years in Prison for Producing and Trading Child PornographyRead the Press Release
David B. Fein, United States Attorney for the District of Connecticut, announced that EDWARD F. WILSON, 29, of Newtown, was sentenced today by United States District Judge Vanessa L. Bryant in Hartford to 280 months of imprisonment, followed by 10 years of supervised release, for producing, trading and possessing child pornography.
According to court documents and statements made in court, WILSON sexually abused a female child, filmed and photographed the abuse with an iPhone, and maintained the videos and images on his home computer. The victim was approximately four years old at the time of the abuse in 2011 and 2012.
In addition to filming, photographing and maintaining videos and images of the sexual abuse that he inflicted on the female child, WILSON traded via email hundreds of other images and videos of child pornography and maintained a collection of child pornography on his home computers.
“The U.S. Attorney’s Office is steadfastly committed to working with our state counterparts to use the full weight of federal child exploitation laws to prosecute those who commit these heinous crimes,” stated U.S. Attorney Fein. “Together we can protect society from dangerous offenders, often in ways that protect young victims from having to testify and being further victimized. I want to thank the Danbury State’s Attorney’s Office, the Connecticut State Police, the Newtown Police Department, the Federal Bureau of Investigation and the Connecticut Child Exploitation Task Force for their critical assistance and cooperation during the course of this investigation.”
On February 13, 2013, WILSON pleaded guilty to one count of production of child pornography.
WILSON has been detained in state custody since his arrest on April 13, 2012, for first-degree possession of child pornography, obscenity and promoting a minor in an obscene performance. On July 10, 2012, he was arrested on 22 additional state charges, including six counts of first-degree sexual assault, five counts of fourth-degree sexual assault and 11 counts of risk of injury. The state charges are pending.
This matter was investigated by the Connecticut State Police Computer Crimes Unit, the Newtown Police Department, the Federal Bureau of Investigation and the Connecticut Child Exploitation Task Force, which includes federal, state and local law enforcement agencies. The case was prosecuted by Assistant United States Attorney Neeraj N. Patel.
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]New York Man Charged with Allegedly Transporting Minor with Intent to Engage in Sexual ConductRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Trevorn Renel Parkins, age 21, of Buffalo, New York, was indicted today by a federal grand jury in Harrisburg charging him with the transportation of minors and traveling with intent to engage in illicit sexual conduct.
The case is being investigated by the Federal Bureau of Investigation, Pennsylvania State Police, the Buffalo City Police and the Buffalo District Attorney’s Office. The case is being prosecuted by Assistant United States Attorney Daryl F. Bloom.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this particular case, the maximum penalty under the federal statute is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Moorhead Man Sentenced to Life in Prison on a Federal Drug Conspiracy ChargeRead the Press Release
FARGO - U.S. Attorney Timothy Q. Purdon announced that on May 1, 2013, Raul Tovar of Moorhead, Minn., was sentenced before U.S. District Judge Ralph R. Erickson on a charge of conspiracy to possess with intent to distribute and distribute in excess of 500 grams of a mixture containing methamphetamine.
Judge Erickson sentenced Tovar to life imprisonment to be followed by a lifetime of supervised release. Tovar was ordered to pay a $100 special assessment to the Crime Victim's Fund.
Tovar, 49, was found guilty by a 12-person jury on Jan. 22, 2013, of the conspiracy and aiding and abetting charge. Judge Erickson presided over the five-day trial.
In December of 2011, Moorhead police officers were investigating a drug trafficking organization in the Fargo-Moorhead area. Following an execution of a search warrant at the AmericInn Lodge and Suites in Moorhead, agents arrested Jason Keller. Further investigation revealed that Keller and others were obtaining drugs from Tovar.
The case was investigated by the Drug Enforcement Administration, Fargo and West Fargo Police Departments, and Moorhead, Minn. Police Department.
Assistant U.S. Attorneys Chris Myers and Megan A. Healy prosecuted the case.
Montana Hospitals Agree to Pay $3.95 Million to Resolve Alleged False Claims Act and Stark Law ViolationsRead the Press Release
St. Vincent Healthcare, a hospital located in Billings, Mont., and Holy Rosary Healthcare, a hospital located in Miles City, Mont., have agreed to pay $3.95 million plus interest to resolve allegations that they violated the Stark Law and the False Claims Act by improperly providing incentive pay to physicians that made referrals to the hospitals, the Justice Department announced today.
The Stark Law forbids a hospital from billing Medicare for certain services referred by physicians who have a financial relationship with the hospital unless that relationship falls within certain exceptions. A prohibited financial relationship includes a hospital’s agreement to compensate a physician in a manner that takes into account the volume of the physician’s referrals or the revenue realized through those referrals.
The settlement announced today resolves allegations that the hospitals paid several physicians incentive compensation that took into account the value or volume of their referrals by improperly including certain designated health services in the formula for calculating physician incentive compensation. These issues were disclosed by the hospitals to the government.
“The resolution of this matter underscores our commitment to ensure that services reimbursable by federal health care programs are based on the best interests of patients rather than the personal financial interests of referring physicians,” said Stuart F. Delery, Acting Assistant Attorney General for the Department’s Civil Division.
“Combating health care fraud is a top priority of the Department of Justice and the Montana U.S. Attorney’s Office. St. Vincent Healthcare and Holy Rosary Healthcare allegedly put their financial interest ahead of their responsibility to provide cost effective health care. The United States recovered $3,950,000 of taxpayers’ dollars from the hospitals. The U.S. Attorney’s Office is committed to enforcing the Stark Law and False Claims Act, as well as other health care laws and regulations against wrongdoers. This case also demonstrates how the Department of Justice will work with those health care providers who disclose their misconduct,” said Michael W. Cotter, U.S. Attorney for the District of Montana.
“There is an expectation that corporations providing services to Medicare and Medicaid beneficiaries adhere to the provision of the Stark Law. I applaud St. Vincent Healthcare and Holy Rosary Healthcare for recognizing their potential liability in this matter and making a disclosure,” said Gerry Roy, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services region including Montana. “Working closely with our partners at the Department of Justice, we will vigilantly protect federal health care programs against violations of the Stark Law.”
This resolution is part of the government’s emphasis on combating health care fraud and another step for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced by Attorney General Eric Holder and Kathleen Sebelius, Secretary of the Department of Health and Human Services, in May 2009. The partnership between the two departments has focused on efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in that effort is the False Claims Act, which the Justice Department has used to recover $10.3 billion since January 2009 in cases involving fraud against federal health care programs. The Justice Department’s total recoveries in False Claims Act cases since January 2009 are over $14.2 billion.
This case was handled by the U.S. Attorney’s Office for the District of Montana, the Department of Justice’s Civil Division, the Office of Inspector General of the U.S. Department of Health and Human Services, and the FBI. The claims settled by this agreement are allegations only, and there has been no determination of liability.
Montana Hospitals Agree to Pay $3.95 Million to Resolve Allegedfalse Claims Act and Stark Law ViolationsRead the Press Release
Hospitals Allegedly Compensated Physicians for Improper Referrals
The U.S. Attorney's Office announced that St. Vincent Healthcare, a hospital located in Billings, Montana, and Holy Rosary Healthcare, a hospital located in Miles City, Montana, have agreed to pay $3,950,000 plus interest to resolve allegations that they violated the Stark Law and the False Claims Act by improperly providing incentive pay to physicians that made referrals to the hospitals, the Justice Department announced today. The Stark Law forbids a hospital from billing Medicare for certain services referred by physicians who have a financial relationship with the hospital unless that relationship falls within certain exceptions. A prohibited financial relationship includes a hospital's agreement to compensate a physician in a manner that takes into account the volume of the physician's referrals or the revenue realized through those referrals.
The settlement announced today resolves allegations that the hospitals paid several physicians incentive compensation that took into account the value or volume of their referrals by improperly including certain designated health services in the formula for calculating physician incentive compensation. These issues were disclosed by the hospitals to the government.
The resolution of this matter underscores our commitment to ensure that services reimbursable by federal health care programs are based on the best interests of patients rather than the personal financial interests of referring physicians," said Stuart F. Delery, Acting Assistant Attorney General for the Department's Civil Division.
Combating health care fraud is a top priority of the Department of Justice and the Montana U.S. Attorney's Office. St. Vincent Healthcare and Holy Rosary Healthcare allegedly put their financial interest ahead of their responsibility to provide cost effective health care. The United States recovered $3,950,000 of taxpayers' dollars from the hospitals. "The U.S. Attorney's Office is committed to enforcing the Stark Law and False Claims Act, as well as other health care laws and regulations against wrongdoers. This case also demonstrates how the Department of Justice will work with those health care providers who disclose their misconduct," said Michael W. Cotter, U.S. Attorney for the District of Montana.
There is an expectation that corporations providing services to Medicare and Medicaid beneficiaries adhere to the provision of the Stark Law. I applaud St. Vincent Healthcare and Holy Rosary Healthcare for recognizing their potential liability in this matter and making a disclosure," said Gerry Roy, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services region including Montana. "Working closely with our partners at the Department of Justice, we will vigilantly protect federal health care programs against violations of the Stark Law."
This resolution is part of the government's emphasis on combating health care fraud and another step for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced by Attorney General Eric Holder and Kathleen Sebelius, Secretary of the Department of Health and Human Services, in May 2009. The partnership between the two departments has focused on efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in that effort is the False Claims Act, which the Justice Department has used to recover $10.3 billion since January 2009 in cases involving fraud against federal health care programs. The Justice Department's total recoveries in False Claims Act cases since January 2009 are over $14.2 billion.
This case was handled by Assistant U.S. Attorney Jessica T. Fehr and Assistant U.S. Attorney Michael Shin with the U.S. Attorney's Office for the District of Montana, the Department of Justice's Civil Division, the Office of Inspector General of the U.S. Department of Health and Human Services, and the Federal Bureau of Investigation. The claims settled by this agreement are allegations only, and there has been no determination of liability.
Maryland Man Pleads Guilty to Involuntary Manslaughter in Traffic Fatality in Northeast Washington-Impaired Driver Struck Pedestrian, Who Was in A Crosswalk-Read the Press Release
WASHINGTON – Joel R. Bromwell, 32, of Annapolis, Md., pled guilty today to charges of involuntary manslaughter and driving under the influence of alcohol stemming from a recent traffic fatality in Northeast Washington, U.S. Attorney Ronald C. Machen Jr. announced.
Bromwell entered the plea in the Superior Court of the District of Columbia. The Honorable Lynn Leibovitz scheduled sentencing for Aug. 30, 2013. Bromwell faces a statutory maximum of 30 years in prison for involuntary manslaughter and up to 180 days of incarceration and a $1,000 fine for driving under the influence.
According to the government’s evidence, on March 21, 2013, at about 8:15 p.m., Bromwell was driving a sport utility vehicle at a high rate of speed, headed east in the 1100 block of Florida Avenue NE. The victim, Ruby L. Whitfield, 71, and two other individuals were walking across Florida Avenue at the intersection with 11th Street NE, in a marked crosswalk. Ms. Whitfield had just left church after an usher practice for the upcoming Palm Sunday.
Vehicular traffic at the intersection had stopped to give Ms. Whitfield and the other pedestrians the right of way. An eyewitness saw the SUV strike Ms. Whitfield without stopping, and she was lodged beneath the vehicle for about 86 feet.
An eyewitness followed the SUV as it drove from the scene and approached Bromwell while he was stopped at a red light a block away. The witness told Bromwell that he had just hit someone and that he should return to the scene. Instead, Bromwell drove off without making his identity known.
The Metropolitan Police Department (MPD) located the SUV and Bromwell a short time later. Bromwell failed field sobriety tests. He admitted that he was the driver of the SUV and that he had been drinking prior to the crash. Bromwell was arrested and, while at a police station, breath tests indicated that his blood alcohol content was above the legal limit for driving.
In announcing the plea, U.S. Attorney Machen praised those who investigated the case for the Metropolitan Police Department, including members of the Major Crash Unit. He also expressed appreciation for those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Sandra Lane, Fern Rhedrick and Phil Aronson. Finally, he commended the work of Assistant U.S. Attorney Edward A. O’Connell, who is prosecuting the matter.
13-154Maryland Man Found Guilty of Armed Robbery, Other Charges in Two Attacks, Including A Beating That Led to Serious Injuries-Crimes Took Place Within About Three Hours Last Summer-Read the Press Release
WASHINGTON – Tommy T. Branch, 22, of Fort Washington, Md., was found guilty by a jury today of charges stemming from a pair of attacks last summer, including one in which a man was severely beaten with a baseball bat, U.S. Attorney Ronald C. Machen Jr. announced.
The jury returned the guilty verdict after a trial in the Superior Court of the District of Columbia. Branch was found guilty of charges of conspiracy, aggravated assault while armed, armed robbery, assault with intent to rob, and attempted credit card fraud.
The Honorable Robert I. Richter scheduled sentencing for July 2, 2013. Branch, who has been in custody since his arrest last year, faces a statutory maximum of 105 years in prison.
According to the government’s evidence, Branch and two accomplices – Sunny B. Kuti and Michael Moore - decided on Aug. 17, 2012 to commit a robbery together. They drove to the Adams Morgan area of Northwest Washington in Branch’s car. When they could not identify a suitable target, they drove to Capitol Hill and parked down an alley next to Eastern Market.
Shortly after midnight, early in the morning of Aug. 18, 2012, they saw the victim walking home and attacked him.
Branch hit the victim in the side of the head with a bat. He and his accomplices took the victim’s iPhone, credit card, and keys. They then drove to a gas station in the 1200 block of Pennsylvania Avenue SE, a few blocks away from the robbery scene. Branch tried to use the victim’s credit card to buy gasoline, but the card was refused because he did not know the cardholder’s zip code.
Following this attack, Branch, Kuti, and Moore drove to the Barry Farm area of Southeast Washington where they met a fourth man, Darrin L. Beal. They then set off for the Adams Morgan area to commit a second robbery. At about 3:20 a.m., while Beal remained in the car, Branch, Moore, and Kuti, while armed with a non-functioning BB gun that resembled a real handgun, targeted three victims in an alley off of the 1800 block of 18th Street NW, violently assaulting one victim and taking a cellphone, wallet, and set of keys from another.
The victim of the first robbery, meanwhile, was found, unconscious, by police at about 8:15 a.m. on Aug. 18, 2012, on the front porch of a rowhouse in the 700 block of North Carolina Avenue SE. He had a massive fracture to his skull and bleeding throughout the brain cavity due to the blow from the bat.
“Tommy Branch used an aluminum baseball bat to put a young father into a coma,” said U.S. Attorney Machen. “A young family has been changed forever because this defendant carried out a brutal beating to steal an iPhone and a bank card. Today's jury verdict is a reflection of our community's outrage over random acts of violence and our determination to hold criminals accountable. He now faces the prospect of decades in prison and we will ask that he be punished to the full extent of the law.”
Moore, 18, of Washington, D.C., pled guilty to charges for his role in the crimes and is awaiting sentencing. Kuti, 17, of Washington, D.C., and Beal, 25, of Washington, D.C., are awaiting trial. Both have pled not guilty to charges.
In announcing the verdict, U.S. Attorney Machen commended the work of those who investigated the case for the Metropolitan Police Department (MPD). He also praised the efforts of those who worked on the case from the U.S. Attorney’s Office, including the First District Prosecution team.
13-155Mark James Denny Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on May 1, 2013, before Chief U.S. District Judge Richard F. Cebull, MARK JAMES DENNY, a 33-year-old resident of Hardin, appeared for sentencing. DENNY was sentenced to a term of:
Probation: 5 years
Special Assessment: $100
Restitution: $73,045.81
DENNY was sentenced in connection with his guilty plea to theft from an organization receiving federal funding.
In an Offer of Proof filed by Assistant U.S. Attorney Carl E. Rostad, the government stated it would have proved at trial the following:
The Crow Tribal Historic Preservation Office (CTHPO) on the Crow Indian Reservation was created in 2005. The CTHPO is a designated office of the Crow Indian Tribe that provides for direct Tribal involvement and leadership in the protection and enhancement of Crow lands and cultural resources. It serves to identify, inventory, and protect culturally, archeologically, and historically important resources both on and off the reservation.
Each year, the CTHPO receives grant funds from the National Park Service, U.S. Department of the Interior. A requirement for any enterprise seeking to do work on the reservation that may disturb tribal lands - utilities, construction, energy exploration, development - is that the business employ the services of a CTHPO employee (archeological technician) to monitor the project to insure that lands of cultural or historic importance are not destroyed. The company is then charged for this monitoring service and payments are made to the Crow Tribe.
The Director of the CTHPO from approximately 2005 until November 15, 2011 is identified here as X.X. During the time X.X. was Director, most of the monitors were his family members. Two other monitors were not hired as Crow Tribe employees but were assigned as project monitors and received payment directly from the companies. DENNY was also an employee of the CTHPO.
Sometime in the summer of 2009, X.X. approached the Vice-Chairman of the Tribe and tried to get the process changed so that the companies could make direct payments to the monitors. When he was told he couldn't do that, he indicated he would take the matter up with the Chairman. The Chairman was never approached and did not provide any approval for X.X.'s request.
Even though his request was denied, X.X. began advising companies that payments would now be made directly to the tribal monitors assigned to the project. At first, in the summer of 2009, few direct payments were arranged. However, in the summer of 2010, the CTHPO staff person who insured that companies were properly billed and that CTHPO payments went to the Tribe left the office, and direct billing - having companies pay monitors personally instead of remitting the fee to the Crow Tribe - became much more prevalent.
From July 2009 to November 2011, a total of over $500,000 in monitoring service payments from the companies doing business on the Crow Reservation were diverted to the personal use and benefit of the employees of the CTHPO and the two non-employees assigned to projects as monitors. X.X. did not serve as a monitor in the field.
In the Summer of 2011 - from June to August - DENNY was assigned as a monitor to the Sarpy Creek project, which was the Westmoreland Resources expansion of the Absaloka Coal Mine in the Powder River Basin. DENNY's assignment was to monitor the progress of the project to insure that no culturally, archeologically, or historically important sites were disturbed.
A Westmoreland sub-contractor, GCM Services, went forward with an extensive excavation of the site with the approval of X.X., who as Director of the CTHPO had assigned several others and DENNY as project monitors. As a result of the approved site plan, a 2,000-year-old bison kill site was unearthed in 2011 with heavy equipment, causing significant, irreparable damage to the site. The largest bison bone bed was estimated to cover almost 3,000 square meters and contained the remains of hundreds, perhaps thousands, of butchered bison remains and prehistoric spear points dating back to the Late Archaic period.
When interviewed, DENNY admitted that he knew that he took direct payments while a tribal employee and that it was wrong to be paid by the Tribe and the companies for the same work. He admitted that the time sheets he submitted to the Tribe and the invoices he submitted to the companies were false and fraudulent because they were inflated and represented demands for payment for hours not worked. According to a GCM Services company representative, "the monitors often did not show up, and, if they did, they often only The investigation was conducted by a team of agents and auditors working with the U.S. Attorney's Guardians Project, including the Office of Inspector General for the Department of Interior, the Federal Bureau of Investigation, and the Criminal Investigation Division of the Internal Revenue Service.
Man Pleads Guilty to Habitual Domestic AssaultRead the Press Release
MINNEAPOLIS—Yesterday in federal court, a 48-year-old man pleaded guilty to being a habitual offender who committed domestic assault against a woman on the Bois Forte Indian Reservation. On April 30, 2013, Mark Allen Isham specifically pleaded guilty to one count of domestic assault by an habitual offender. Isham, who was indicted on December 3, 2012, entered his plea before United States District Court Judge David S. Doty. This is the third time the U.S. Attorney’s Office for the District of Minnesota has prosecuted someone under the federal “domestic assault by an habitual offender” statute.
In his plea agreement, Isham admitted that on August 22, 2012, he struck the victim and threw her to the ground, causing bodily injury. The assault followed at least two prior convictions in Bois Forte Tribal Court for similar crimes. They occurred in 2004, 2008, and 2010.
The federal law that governs domestic assault by a habitual offender was enacted by Congress in 2006 in support of the Violence Against Women Act of 2000. The 2006 statute is a valuable tool for federal prosecutors because research shows that many domestic violence offenders are repeat offenders.This statute is of particular importance in Indian Country because domestic violence rates are far greater there than in the country at large. In 2005, Congress reported that one in three American Indian women is raped during her lifetime. American Indian women are also nearly three times more likely to be battered during their lives than Caucasian women.
The U.S. Justice Department is taking steps to increase engagement, coordination, and action relative to public safety in tribal communities, including the creation of the Violence Against Women Federal and Tribal Prosecution Task Force. This task force will explore current issues raised by professionals in the field and recommend “best practices” for prosecution involving domestic violence, sexual assault, and stalking.
For his crimes, Isham faces a potential maximum penalty of five years in federal prison. Judge Doty will determine his sentence at a future hearing, not yet scheduled.
This case is the result of an investigation by the Federal Bureau of Investigation and the Bois Forte Tribal Police Department. It is being prosecuted by Assistant U.S. Attorney Deidre Y. Aanstad.
Because the Bois Forte Indian Reservation is a federal-jurisdiction reservation, some of the crimes that occur there are investigated by the FBI in conjunction with the Bois Forte Tribal Police Department. Those cases are prosecuted by the U.S. Attorney’s Office.Lincoln Woman Charged with Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Deborah R. Gilg announced that on May 1, 2013, an indictment was unsealed charging Bobbie Elaine Parker, 34, of Lincoln, with conspiracy to distribute and possess with intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine between March of 2010 and December of 2012.
The conspiracy charge carries a possible penalty of not less than ten years, nor more than life in prison; a fine of up to $10 million; and a term of supervised release following the prison term of not less than five years.
Parker appeared in federal court in Lincoln on May 1, 2013, and was ordered held without bond. Trial is scheduled to begin on June 25, 2013.
The matter was investigated by the Lincoln/Lancaster County Narcotics Task Force, which includes officers of the Lincoln Police Department, the Lancaster County Sheriffs Department, the Federal Bureau of Investigation, (FBI), and the University of Nebraska-Lincoln Police Department.
Leader of Ghanaian Heroin Trafficking Organization Sentencted to 216 MonthsRead the Press Release
ALEXANDRIA, Va. – Mustapha Issaka Zico, 41, of Nima, Ghana, was sentenced today to 216 months in prison, followed by five years of supervised release, for conspiring to import heroin from Ghana into the United States. He was also ordered to forfeit $110,000.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Karl C. Colder, Special Agent In Charge for Drug Enforcement Administration (DEA) Washington Division Office; and John P. Torres, Special Agent in Charge for U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) in Washington, D.C., made the announcement after sentencing by United States District Judge Liam O’Grady.
Zico was found guiltyon January 25, 2013, following a three-day trial. According to court documents, the defendant was one of the ringleaders of a multi-kilogram heroin trafficking organization in Ghana. The organization used couriers aboard commercial airlines to smuggle heroin from Ghana to the United States, frequently from the Kotoka International Airport in Accra, Ghana, to Dulles International Airport in the Eastern District of Virginia, as well as other airports in the United States. According to the indictment and evidence at trial, Zico and his co-conspirators paid off airport officials in Ghana to allow safe passage of the heroin. Zico was directly involved in several heroin shipments and directed the activities of previously convicted co-conspirators Edmund Darkwah, Fred Brobbey, and Matilda Antwi, all of whom pled guilty to charges in the Eastern District of Virginia. Zico shared leadership of the conspiracy with Edward Macauley, who was also convicted in the Eastern District of Virginia and sentenced to 168 months’ imprisonment.
Five defendants were extradited from Ghana to stand trial in the Eastern District of Virginia after coordinated arrests by the Ghanaian Narcotics Control Board, while other co-conspirators were arrested in New York, Maryland, and Virginia on July 14, 2011. Still more defendants were charged, arrested, and extradited from Ghana in 2012. In all, eleven co-conspirators were convicted.
This Organized Crime and Drug Enforcement Task Force (OCDETF) investigation was conducted by the DEA, including agents in Washington, New York, and Ghana, and by DHS Homeland Security Investigations, with assistance from the Ghanaian Narcotics Control Board and Ghana Police Services, the U.S. Department of Justice's Office of International Affairs, and the U.S. Customs and Border Protection.
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.Larkin Troy Chandler Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on May 1, 2013, before Chief U.S. District Judge Richard F. Cebull, LARKIN TROY CHANDLER, a 46-year-old resident of Crow Agency, appeared for sentencing. CHANDLER was sentenced to a term of:
Probation: 5 years
Special Assessment: $100
Restitution: $44,546.50
CHANDLER was sentenced in connection with his guilty plea to theft from an organization receiving federal funding.
In an Offer of Proof filed by Assistant U.S. Attorney Carl E. Rostad, the government stated it would have proved at trial the following:
The Crow Tribal Historic Preservation Office (CTHPO) on the Crow Indian Reservation was created in 2005. The CTHPO is a designated office of the Crow Indian Tribe that provides for direct Tribal involvement and leadership in the protection and enhancement of Crow lands and cultural resources. It serves to identify, inventory, and protect culturally, archeologically, and historically important resources both on and off the reservation.
Each year, the CTHPO receives grant funds from the National Park Service, U.S. Department of the Interior. A requirement for any enterprise seeking to do work on the reservation that may disturb tribal lands - utilities, construction, energy exploration, development - is that the business employ the services of a CTHPO employee (archeological technician) to monitor the project to insure that lands of cultural or historic importance are not destroyed. The company is then charged for this monitoring service and payments are made to the Crow Tribe.
The Director of the CTHPO from approximately 2005 until November 15, 2011 is identified here as X.X. During the time X.X. was Director, most of the monitors were his family members. Two other monitors were not hired as Crow Tribe employees but were assigned as project monitors and received payment directly from the companies. CHANDLER was also an employee of the CTHPO.
Sometime in the summer of 2009, X.X. approached the Vice-Chairman of the Tribe and tried to get the process changed so that the companies could make direct payments to the monitors. When he was told he couldn't do that, he indicated he would take the matter up with the Chairman. The Chairman was never approached and did not provide any approval for X.X.'s request.
Even though his request was denied, X.X. began advising companies that payments would now be made directly to the tribal monitors assigned to the project. At first, in the summer of 2009, few direct payments were arranged. However, in the summer of 2010, the CTHPO staff person who insured that companies were properly billed and that CTHPO payments went to the Tribe left the office, and direct billing - having companies pay monitors personally instead of remitting the fee to the Crow Tribe - became much more prevalent.
From July 2009 to November 2011, a total of over $500,000 in monitoring service payments from the companies doing business on the Crow Reservation were diverted to the personal use and benefit of the employees of the CTHPO, including CHANDLER, and the two non-employees assigned to projects as monitors. X.X. did not serve as a monitor in the field. According to a GCM Services company representative, "the monitors often did not show up, and, if they did, they often only worked one to three hours."
When interviewed, CHANDLER confirmed that he had been a tribal employee being paid on a per hour basis for his services as a monitor. He also confirmed that he billed the companies directly, at the direction of X.X., for performing the services for which he was already being compensated by the Tribe.
The investigation was conducted by a team of agents and auditors working with the U.S. Attorney's Guardians Project, including the Office of Inspector General for the Department of Interior, the Federal Bureau of Investigation, and the Criminal Investigation Division of the Internal Revenue Service.
KC Man Pleads Guilty to $1 Million Drug-Trafficing Conspiracy, Faces at least 15 Years in PrisonRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man pleaded guilty in federal court today to his role in a drug-trafficking conspiracy that totaled more than $1 million over the past year and to illegally possessing a firearm.
Corbin J. Bosiljevac, 36, of Kansas City, pleaded guilty before U.S. District Judge Dean Whipple to his role in a conspiracy to distribute more than five kilograms of cocaine and to possessing a firearm in furtherance of a drug-trafficking offense.
According to today’s plea agreement, police detectives stopped one of Bosiljevac’s drug-trafficking customers as he was leaving Bosiljevac’s residence and found drugs in the vehicle. Officers executed a search warrant at Bosiljevac’s residence and found marijuana, cocaine, ecstasy, and hundreds of pills of various prescription drugs. Officers also found a Kel-Tec 9mm handgun and $1,863 in Bosiljevac’s residence.
Bosiljevac admitted that he sold $20,000 worth of drugs each week. He had separate sources to supply the cocaine and the pills, he told officers. He stated that he bought cocaine for re-sale on a weekly basis, getting an average of four ounces per week (although he admitted getting 16 ounces on the last transaction).
Under federal statutes, Bosiljevac is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of life in federal prison without parole, plus a fine up to $4,250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Charles E. Ambrose, Jr. It was investigated by the Kansas City, Mo., Police Department and the Drug Enforcement Administration.
John Paul Sigl Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on May 1, 2013, before Senior U.S. District Judge Jack D. Shanstrom, JOHN PAUL SIGL, age 50, pled guilty to threats against the President. Sentencing has been set for August 7, 2013. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Jessica T. Fehr, the government stated it would have proved at trial the following:
On April 24, 2012, the U.S. Secret Service in Billings received a telephone call from the Billings Police Department about a threat against the President of the United States Barack Obama. The Billings Police Department reported that on April 19, 2012, the 911 call center received a threat against President Obama. The caller's name, making the threat, was John Paul Sigl.
On the same date the threat was called into the 911 call center, SIGL was involuntarily committed to the psychiatric unit of the Billings Clinic and had to be restrained due to physical confrontation and threats of death to the clinic staff.
On April 24, 2012, a U.S. Secret Service agent interviewed SIGL. Of significance were the following statements made by SIGL during the interview: a) SIGL stated his second wife died in 2009. SIGL expressed that be believed that the medication she received for her illness had grave side effects and resulted in her death. SIGL believes that the doctors who treated his deceased wife killed her and he views this as the ultimate injustice and feels he no longer has anything to live for and is motivated by justice being served on those he views as responsible; b) During the same interview SIGL stated no less than 20 times that "the politicians and the President" are responsible for allowing the doctors to kill his wife and they must die. SIGL stated that he needed to be "locked up for a very long time" because if he were to be released he "promised" he would find a way to kill those previously mentioned. SIGL iterated several times he should be taken seriously; c) SIGL stated he was not afraid of the consequences in attempting his purposes. SIGL told the Secret Service Agent several times that he would rather die than continue to live with his perceived injustice and that he would end up dead, imprisoned, or succeeding in his desire to kill those previously stated; d) SIGL stated he no longer has anything to live for as a result of his wife's death in 2009.
SIGL stated later in the same interview, when asked about weapons he may have access to, that he "knows how the streets work," and can get anything he wants "to get the job done." SIGL also stated, "You better take me serious," and "I promise you, if I get out of here, I will find a way to kill the President." SIGL's intent was clearly to harm or kill President Barak Obama.
On April 27, 2012, SIGL was admitted into Warm Springs State Hospital, was again involuntarily committed and had to be restrained due to physical confrontation and threats of death to the hospital staff.
On May 4, 2012, SIGL was again interviewed by law enforcement. SIGL continued to state that if released he intended to kill the President of the United States and anyone else he blamed for his wife's death. SIGL said, "I'll kill them all, the President, the doctors, the politicians. I can't live life like this." SIGL responded to law enforcement by saying that he was serious about his threats of death.
Interviews with SIGL's mental health providers confirmed that he was unstable with violent tendencies. The Secret Service agent that heard SIGL's repeated threats believed SIGL's intention was to harm the President of the United States.
SIGL faces possible penalties of 5 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was conducted by the U.S. Secret Service.
Indictments Returned in Hammond Federal CourtRead the Press Release
FOR IMMEDIATE RELEASECONTACT: Mary Hatton
www.usdoj.gov/usao/inn/ CELL: (219) 314-9993
Hammond, Indiana- The United States Attorney’s Office announced that the following Indictments were returned on May 1, 2013:
Antonio Collins, 36, of Merrillville, Indiana, was charged with possession of a firearm by a convicted felon.This charge was filed as the result of an investigation by the Federal Bureau of Investigation.This case has been assigned to and will be prosecuted by Assistant United States Attorney Thomas McGrath.
Brian Washington, 26, of Gary, Indiana, was charged with two counts of distribution of crack cocaine, two counts of possession of firearms in furtherance of a drug trafficking crime and two counts of dealing in firearms without a license.These charges were filed as the result of an investigation by the Federal Bureau of Investigation.This case has been assigned to and will be prosecuted by Assistant United States Attorney Thomas McGrath.
Tony Bronson, 53, of Gary, Indiana, was charged with receipt of child pornography and possession of child pornography.This case resulted from an investigation by members of the Indiana Internet Crimes Against Children Task Force, including the Federal Bureau of Investigation and the Michigan City Police Department.This case has been assigned to and will be prosecuted by Assistant United States Attorney Jill Koster.
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.
Indictment Charges Sex Trafficking of FemalesRead the Press Release
PHILADELPHIA – Christian Dior Womack, a/k/a “Gucci Prada,” 28, of Chester, PA, and Rashidah Brice, a/k/a “Camille,” a/k/a “Milly,” 23, of Chester, PA, are charged by indictment , unsealed today, with sex trafficking females for prostitution, announced United States Attorney Zane David Memeger. According to the indictment, the defendants operated a prostitution venture in Philadelphia, Pennsylvania, and elsewhere and, as part of the operation of that business, recruited young females, one of whom was a minor, to work as prostitutes for them between May 25 2012 and June 11, 2012. The indictment further alleges that the defendants engaged in acts of physical violence and threats of physical harm to maintain the participation of females in their prostitution business. They are charged with sex trafficking of a minor and sex trafficking by force.
As part of their venture, Womack and Brice allegedly created internet advertisements in which they advertised these females as available for purchase for purposes of prostitution. The advertisements featured pictures of the females scantily clad, and provided a phone number to call to arrange a meeting with the females.
If convicted of all charges, the defendants each face a mandatory minimum sentenced of 15 years in prison with a maximum possible sentence of life in prison, five years of supervised release, and possible fines.
The case was investigated by the FBI and is being prosecuted by Assistant United States Attorney Michelle Morgan.Click here to view the indictment
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Indictment Charges Former Employees of Allentown Mortgage Co.Read the Press Release
PHILADELPHIA - The former general manager and five former employees of Madison Funding, Inc., a now-defunct Allentown mortgage loan origination company, are charged by indictment, unsealed today, in a mortgage fraud conspiracy that caused mortgage lending businesses to issue millions of dollars worth of loans that were based on false information. All six defendants are charged with conspiracy to commit fraud and related crimes. A seventh former employee is charged in an information with one count of making a false report to the Department of Housing and Urban Development. The indictment was announced by United States Attorney Zane David Memeger.
Charged are: Joel Tillett, 36, of Whitehall, PA, who was the general manager; loan officers Jason Boggs, 35, who was also a branch manager, and Claribel Gonzalez, 42; loan processors Florentina Peralta, 33, Ghovanna Gonzalez, 34, all of Allentown, and Angela Diaz, 35, of Bethlehem. Denise Peralta, 32, of Allentown, is charged by information.
According to the indictment, between October 2006 and at least June 2008, the defendants conspired to defraud mortgage lenders by submitting loan applications that contained false information about the borrowers which was often supported by falsified, forged, and altered documents. The mortgage lenders, which included Washington Mutual Inc., Countrywide Home Loans, Mortgage IT, International Mortgage Corporation, and Security Atlantic Mortgage Company, relied on the defendants’ fraudulent representations and provided Madison Funding’s clients with millions of dollars in loans to purchase real estate. Each funded loan generated thousands of dollars worth of commissions to Madison Funding and its employees. Many of those loans have since defaulted and some of them were insured by the Federal Housing Administration (“FHA”), which was an agency within the United States Department of Housing and Urban Development (“HUD”).
The indictment further alleges that Boggs and Claribel Gonzalez helped clients apply for loans to purchase multiple properties while indicating on each loan application that these would be the primary residence of the loan applicant when, in fact, the defendants knew that was false.
The indictment alleges that in April 2007, Claribel Gonzalez and Florentina Peralta left the Madison Funding branch run by Tillett and opened a new branch of Madison Funding, where they engaged in similar crimes. Gonzalez and Peralta are also charged with committing bank fraud in connection with a personal mortgage loan for Gonzalez.
If convicted of all charges, in addition to possible restitution, the defendants face the following possible sentences: Joel Tillett and Angela Diaz: a maximum of seven years in prison, three years of supervised release, a $500,000 fine, and a $200 special assessment; Jason Boggs: a maximum of 11 years in prison, three years of supervised release, a $1 million fine, and a $400 special assessment; Claribel Gonzalez: a maximum of 40 years in prison, five years of supervised release, a $1.5 million fine, and a $300 special assessment; Florentina Peralta: a maximum of 52 years in prison, five years of supervised release, a $3 million fine, and a $900 special assessment; Ghovanna Gonzalez: a maximum of nine years in prison, a three year period of supervised release, a $750,000 fine, and a $400 special assessment; Denise Peralta: a maximum of one year in prison, one year of supervised release, a $1,000 fine, and a $25 special assessment.
The case was investigated by the Department of Housing and Urban Development Office of the Inspector General, the Federal Deposit Insurance Corporation Office of Inspector General, and the Federal Housing Finance Agency Office of Inspector General. It is being prosecuted by Assistant United States Attorney Mark B. Dubnoff.Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525