Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Monday 11 March 2013
Upcoming Fraud Conference in Fort Myers to Arm Consumers with Information to Protect Themselves from Fraud SchemesRead the Press Release
Fort Myers, FL - United States Attorney Robert E. O'Neill announces that his office, in conjunction with the Federal Bureau of Investigation, the Federal Reserve Office of the Inspector General, the Internal Revenue Service - Criminal Investigation, the Lee County Sheriff's Office, the United States Postal Service, and the United States Secret Service will host a fraud conference for the general public on Thursday, March 14, 2013, (10 a.m. to 3:30 p.m.). The conference will be held at the Crowne Plaza Fort Myers, Bell Tower Shops, located at 13051 Bell Tower Drive, Fort Myers, Florida 33907. Admission and parking are free.
Investor fraud, tax fraud, and healthcare fraud are serious national problems. Our country's recent financial crisis has resulted in an unprecedented rise in investment fraud schemes, tax fraud, and other financial crimes, involving thousands of victims and staggering losses. Southwest Florida has been at the epicenter of the economic crisis and the number of financial crimes committed against the members of our community is rising at an alarming rate. The United States Attorney's Office and its federal, state, and local law enforcement partners are hosting this conference to educate the public about the fraudulent schemes that are being perpetrated in our region and to provide information on resources and strategies to protect citizens from becoming a victim of these types of crime.
Members of the public and media are invited to attend all sessions of the conference. Participants are also welcome to attend individual sessions. Admission to the conference is free and educational materials will be provided. For more information, contact Brenda Halberg at (239) 461-2200.
This conference is part of the ongoing efforts of the Financial Fraud Enforcement Task Force which was created by President Obama in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. For more information on the task force, visit www.stopfraud.gov.
(Download Flyer )
U.S. Attorney’s Office Celebrates Annual United States Attorney’s AwardsRead the Press Release
March 11, 2013On Friday, March 8, the United States Attorney’s Office for the District of Connecticut hosted its annual United States Attorney’s Office Law Enforcement Awards Ceremony. The ceremony at the City of New Haven’s aldermanic chambers recognized more than 170 individuals for their investigative efforts in more than two dozen significant federal criminal prosecutions and civil cases in Connecticut over the past year. The cases demonstrate the broad variety of work performed by local, state and federal law enforcement agencies in Connecticut. Several unit awards and special awards were also presented during the ceremony.
“The cases and individuals recognized are but a sampling of the wide variety of excellent work that has been done by law enforcement in Connecticut,” stated U.S. Attorney Fein. “I congratulate our award recipients, each of whom has served the District and our Nation with distinction and integrity. Their dedication to the cause of justice makes Connecticut a better and safer place to live.”
More than 50 of the award recipients are members of local police departments from across Connecticut.
The Civil Division Unit Award was presented to Andrew Freeman, who recently retired as Deputy Managing Counsel of the U.S. Postal Service’s Northeast Area Law Office. Special Agent John Keaney of the U.S. Department of Housing and Urban Development, Office of Inspector General, received the Financial Fraud and Public Corruption Unit award for his expertise during several mortgage fraud investigations. FBI Supervisory Special Agent Jon S. Hosney received the National Security and Major Crimes Unit Award for his supervision of the FBI’s Joint Terrorism Task Force, and the Violent Crimes and Narcotics Unit Award was presented to a team of individuals who have been instrumental in coordinating “Project Longevity,” a statewide anti-violence initiative that was launched in New Haven in 2012. Award recipients include Assistant Chief Achilles Generoso and Sergeant Al Vasquez of the New Haven Police Department, Connecticut Parole officers Frank Viera and Levonne Perez Sutton, and Connecticut Probation Officers Brian Coco and Leonard Jahad.U.S. Attorney Fein also presented three special awards during the ceremony. Stamford Police Sergeant Richard Gasparino, who was shot and seriously wounded during a drug investigation in December 2010, received the U.S. Attorney’s Medal of Valor; FBI Special Agent James J. Wines, who coordinates the Connecticut Child Exploitation Task Force, received the U.S. Attorney’s Award for Outstanding Investigator, and the U.S. Marshals Service in Connecticut received the U.S. Attorney Award for Outstanding Partnership.
The United States Attorney’s Office is charged with enforcing federal criminal laws in Connecticut, and with representing the federal government in civil litigation in the District. The District is composed of more than 60 Assistant United States Attorneys and approximately 55 staff members at offices in New Haven, Hartford and Bridgeport. Please visit www.justice.gov/usao/ct for more information.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Two Area Men Sentenced for Failing to File Federal Income Tax ReturnsRead the Press Release
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced the latest sentences given in his office’s ongoing efforts to punish those who cheat their fellow citizens by refusal to pay their fair share of income taxes.
Mozell “Mo” Chaney, 62, of Washington Park, IL, was sentenced in U.S. District Court today for the offenses of failing to file a federal income tax return for 2010 and 2011. Chaney received a sentence of five years’ probation, five months home detention and was ordered to pay $40,442 in restitution to the Internal Revenue Service.
Kenneth Brian Cherry, Sr., 56, of Cottage Hills, IL, was sentenced in U.S. District Court today for the offenses of failing to file a federal income tax return for 2010 and 2011. Cherry received a sentence of five years’ probation, five months home detention and was ordered to pay $30,950 in restitution to the Internal Revenue Service.
Both men are independent truck drivers. Prior to being contacted by the Internal Revenue Service/Criminal Investigations in 2012, Chaney had not filed federal income tax returns since the 2007 tax year and Cherry had not filed since the 2005 tax year.
The prosecutions are the result of investigations conducted by the Internal Revenue Service/Criminal Investigations and are part of an ongoing initiative in the Southern District of Illinois to prosecute individuals who receive substantial income, but willfully fail to file federal income tax returns. The prosecutions were handled by Assistant U.S. Attorney Norman R. Smith.
To report criminal tax fraud, call the I.R.S. Criminal Investigations at (618) 622-2160 or by sending the information to the Internal Revenue Service, Fresno, CA 93888.
St. Paul Man Pleads Guilty to Bank FraudRead the Press Release
MINNEAPOLIS—Earlier today in federal court, a 37-year-old St. Paul man pleaded guilty to fraudulently obtaining funds from several financial institutions. Christopher Terrelle Harness pleaded guilty to one count of bank fraud and one count of aggravated identity theft. Harness, who was indicted on November 20, 2012, entered his plea before United States District Court Judge David S. Doty.
In his plea agreement, Harness admitted that from October 2007 through July 2012, he obtained money from banks by depositing checks, drawn on the accounts of other individuals, that he knew were either stolen or not backed by sufficient funds into fraudulently opened bank accounts in order to deceive the banks into honoring ATM withdrawals from those bank accounts out of the falsely-inflated balances.
Harness also admitted that others, acting at his direction, opened bank accounts at several financial institutions with the intent that those accounts would be used to accommodate the scheme. In addition, Harness admitted that he and others stole checks from other individuals and forged those individuals’ signatures on the stolen checks. Harness admittedly deposited the stolen checks into the fraudulently opened bank accounts using ATMs. After the stolen checks were deposited, cash was withdrawn. In total, the victimized institutions sustained approximate losses of between $30,000 and $400,000.
For his crimes, Harness faces a potential maximum penalty of 30 years in prison on the bank fraud count, and a mandatory minimum penalty of two years on the aggravated identity theft count to run consecutive to any penalty on the bank fraud count. Judge Doty will determine his sentence at a future hearing, yet to be scheduled.
This case is the result of an investigation by the U.S. Postal Inspection Service and the Minnesota Financial Crimes Task Force. It is being prosecuted by Assistant U.S. Attorneys Tracy L. Perzel and Manda M. Sertich.
The Financial Crimes Task Force was established pursuant to state law and is comprised of local, state, and federal law enforcement investigators dedicated to combating the growing problem of cross-jurisdictional financial crimes. The task force, overseen by an advisory board also created under state law, serves the entire District of Minnesota, presenting its cases to county or federal prosecutors, as appropriate.
The task force and the Minnesota U.S. Attorney’s Office want to remind people to protect themselves from identity theft. For more information, visit http://www.stopfraud.gov/protect-identity.html
For more information on how to avoid becoming a victim of identity theft, visit https://postalinspectors.uspis.gov/investigations/MailFraud/fraudschemes/mailtheft/IdentityTheft.aspxShiprock, N.M., Man Pleads Guilty to Second Degree Murder and Attempted Robbery ChargesRead the Press Release
ALBUQUERQUE – Malcolm Altisi, 31, a member of the Navajo Nation who resides in Shiprock, N.M., pled guilty this morning to second degree murder and attempted robbery charges under a plea agreement with the U.S. Attorney’s Office. Under the terms of the plea agreement, Altisi will be sentenced to 19 years in prison followed by not more than five years of supervised release.
Altisi and his co-defendant, Emery Whitehair, 21, a Navajo man from Shiprock, were charged in an eight-count superseding indictment based on events occurring on Oct. 17, 2011, on the Navajo Indian Reservation. According to court records, on that day, Altisi killed Rolan Joe, a 25-year-old Navajo man, after Altisi and Whitehair attempted to rob another Navajo man. Whitehair is charged with assaulting the robbery victim with a dangerous weapon and causing the victim serious bodily injury. Whitehair also is charged with using a firearm in relation to a crime of violence.
During today’s plea hearing, Altisi admitted that, on Oct. 17, 2011, he attempted to rob a man at his Shiprock home and brandished a firearm at the victim in an effort to compel the victim to give him money. Altisi also admitted shooting Mr. Joe with a .357 revolver later that day when Mr. Joe traveled to Altisi’s residence to confront Altisi about the attempted robbery. Mr. Joe died as a result of the gunshot wound inflicted by Altisi.
Altisi has been in federal custody since his arrest on Nov. 10, 2011, and will remain detained pending his sentencing hearing, which has yet to be scheduled.
Whitehair has entered a not guilty plea to the offenses with which he is charged. The charges against Whitehair are only accusations and he is presumed innocent unless proven guilty beyond a reasonable doubt. Whitehair has been in federal custody since Oct. 18, 2011, and remains detained pending his trial, which is scheduled for April 15, 2013.
The case is being prosecuted by Assistant U.S. Attorneys Jack E. Burkhead and Jennifer M. Rozzoni, and was investigated by the Albuquerque and Farmington offices of the FBI and the Shiprock Division of the Navajo Nation Department of Public Safety.
Rodeo Clown Found Guilty of Conspiracy to Grow MarijuanaRead the Press Release
A professional rodeo clown who grew marijuana for over six years was convicted by a jury on March 8, 2013, after a three-day trial in federal court in Cedar Rapids.
Rory Meeks, 55, from Marion, Iowa, was convicted of one count of conspiracy to manufacture marijuana and was acquitted of one count of manufacturing marijuana in April 2011.
The evidence at trial showed that Meeks, who worked as a rodeo clown and bullfighter in local and national rodeos, conspired with others to grow marijuana in rural Jones County from 2004 through 2011. Each spring, Meeks planted marijuana along corn and soybean fields in secluded spots throughout Jones County and then tended the plants throughout the summer. Meeks and others harvested the plants in the fall, processed the plants at a house in Jones County, and then sold the marijuana over the fall and winter. The jury found that Meeks was involved in growing over 1000 marijuana plants between 2004 and 2011.
Sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. Meeks was taken into custody by the United States Marshal after the verdict was returned. Meeks faces a mandatory minimum sentence of 20 years’ imprisonment and a possible maximum sentence of life imprisonment, a $20,000,000 fine, a $100 special assessment, and at least 10 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Anthony Morfitt and was investigated by the Drug Enforcement Administration, the Jones County Sheriff’s Office, and the Monticello Police Department.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 12-91-LRR.
Rockaway Beach Man Sentenced for Six Bank RobberiesRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Rockaway Beach, Mo., man was sentenced in federal court today for six bank robberies, including two in Columbia, Mo., and Sedalia, Mo.
Kenneth Dewain Parker, 49, of Rockaway Beach, was sentenced by U.S. Chief District Judge Fernando J. Gaitan to eight years and four months in federal prison without parole. The court also ordered Parker to pay $22,362 in restitution.
On July 30, 2012, Parker pleaded guilty to several separate federal indictments. Parker admitted that he stole $2,500 from US Bank in Columbia on Sept. 3, 2010, and that he stole $9,150 from Union Savings Bank in Sedalia on Sept. 21, 2010. Those offenses were charged in an indictment returned by a federal grand jury in Jefferson City, Mo., on Nov. 2, 2010.
Parker also pleaded guilty to charges in two separate cases that were transferred to the Western District of Missouri. In a case from the District of Oregon, Parker admitted that he stole $3,585 from Liberty Bank in Eugene, Ore., on July 30, 2010; that he stole $2,203 from Umpqua Bank in Salem, Ore., on Aug. 17, 2010; and that he stole $2,385 from Key Bank in Portland, Ore., on Aug. 23, 2010. In a case from the Northern District of Iowa, Parker admitted that he robbed Bank of the West in Cedar Rapids, Iowa, on Aug. 31, 2010.
These cases were prosecuted by Assistant U.S. Attorney Jim Lynn. The case in the Western District of Missouri was investigated by the FBI, the Columbia, Mo., Police Department, the Sedalia, Mo., Police Department, the University City, Mo., Police Department, the Brentwood, Mo., Police Department and the Taney County, Mo., Sheriff=s Department.Rapid City Man Sentenced for Controlled Substance DistributionRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rapid City, South Dakota man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on March 1, 2013 by Chief U.S. District Judge Jeffrey L. Viken.
Kyle Thomas Soltesz, age 33, was sentenced to 27 months’ imprisonment, 5 years' supervised release, and a $100 special assessment to the Victim Assistance Fund.
Beginning on or about the spring of 2011, Soltesz conspired to distribute marijuana in the Rapid City area. Soltesz pled guilty to the charge on October 24, 2012. This case was investigated by the Drug Enforcement Administration. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
Port Charlotte Resident Sentenced for Tax FraudRead the Press Release
Fort Myers, FL - U.S. Attorney Robert E. O'Neill announces that Peter Hesser (51, Port Charlotte) was sentenced today to 3 years in federal prison, followed by 3 years of supervised release for three counts of filing false tax returns and one count of tax evasion. He was also ordered to pay restitution to the Internal Revenue Service in the amount of $296,000. Hesser was found guilty in December 2012.
According to testimony presented at trial, Hesser filed fraudulent documents with the Internal Revenue Service in which he claimed to be owed a refund for tax years 2005, 2006 and 2007, in the amount of $500,000. These documents were not legitimate and were prepared with the sole purpose of defrauding the government. Hesser also changed his assets into gold and silver, as well as hid his mortgage payments in a bogus land transfer to avoid paying his taxes. This pattern of deceit stretched out over a decade, thereby evading the payment of taxes that had been assessed for tax years 2001, 2002 and 2003.
This case was investigated by the Internal Revenue Service Criminal Investigation and was prosecuted by Assistant United States Attorney Douglas Molloy.
Pine Ridge Woman Pleads Guilty to Controlled Substance ChargeRead the Press Release
United States Attorney Brendan V. Johnson announced that Victoria Running Hawk, age 31, of Pine Ridge, South Dakota appeared before Chief U.S. District Judge Jeffrey L. Viken on February 28, 2013 and pled guilty to Possession with Intent to Distribute a Controlled Substance. The penalty upon conviction is not less than 5 but no more than 40 years imprisonment and/or a $5,000,000 fine.
On or about September 16, 2012, Running Hawk did possess, with the intent to distribute, 50 grams or more of methamphetamine. The investigation was conducted by the South Dakota Highway Patrol and the Northern Plains Safe Trails Drug Enforcement Task Force. The case is being prosecuted by Assistant U.S. Attorney Ted McBride.
A presentence investigation was ordered and a sentencing date was set for June 28, 2013. The defendant was remanded to the custody of the U.S. Marshal pending acceptance of this plea and sentencing.
Pine Ridge Man AcquittedRead the Press Release
United States Attorney Brendan V. Johnson announced that a Pine Ridge, South Dakota man was acquitted of the charge of Felon in Possession of a Firearm and Ammunition on February 22, 2013.
On June 6, 2012 Wesley Wade Running Shield was indicted for being a felon in possession of a firearm and ammunition at Pine Ridge on June 6, 2012. Running Shield was found not guilty of the charge on February 22, 2013.
The case was investigated by the Bureau of Indian Affairs Office of Justice Services, and the Oglala Sioux Tribe Department of Public Safety. Special Assistant U.S. Attorney Laura Shattuck and Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Pennsylvania Prison Inmate Sentenced to 30 Months in Prison for Sending Threatening Letter to District Judge in PhiladelphiaRead the Press Release
TRENTON, N.J. – An inmate in the Pennsylvania State Prison system today was sentenced to 30 months in prison for sending a threatening letter to a federal judge in the Eastern District of Pennsylvania, U.S. Attorney Paul J. Fishman announced.
William Brown, 22, previously pleaded guilty before U.S. District Judge Freda L. Wolfson to Count 2 of an Indictment that charged him with threatening a U.S. District Court judge in Philadelphia. Judge Wolfson imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
Brown, who is currently serving a sentence of life in prison for a 2011 Pennsylvania conviction for first-degree murder and aggravated assault, sent the threatening letter from his prison cell. He admitted writing the letter, containing expletives and threats against the judge’s life, smearing his fecal matter on it and mailing it to the judge.
He was transferred to federal custody in June 2012 after the grand jury returned the Indictment in this case.
In addition to the prison term, Judge Wolfson sentenced Brown to three years of supervised release.
U.S. Attorney Fishman credited special agents of the FBI in Philadelphia, under the direction of Special Agent in Charge George C. Venizelos, with the investigation leading to today’s sentencing.
The government is represented by Nelson Thayer, Attorney-in-Charge of the U.S. Attorney’s Office Criminal Division in Trenton.
13-111
Defense Counsel: Andrea Bergman Esq., Assistant Federal Public Defender, Trenton
PCP Dealer Sentenced to over 19 Years in PrisonRead the Press Release
Also Distributed Crack Cocaine and HeroinGreenbelt, Maryland - U.S. District Judge Roger W. Titus, Jr. sentenced Rashard Wilson, age 22, of Capitol Heights, Maryland, today to 235 months in prison followed by five years of supervised release for conspiracy to distribute and possess with intent to distribute phencyclidine (PCP), crack cocaine and heroin. Judge Titus enhanced Wilson’s sentence upon finding that he is a career offender based on four previous convictions for 2nd degree assault, carjacking, assault on a police officer and possession with intent to distribute PCP.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; and Chief Mark A. Magaw of the Prince George’s County Police Department.
According to Wilson's guilty plea, from August 2011 through February 2012, Wilson participated in a conspiracy to distribute PCP and other drugs in the Prince George’s County and Washington, D.C. area. During the conspiracy, Wilson bought PCP, cocaine and heroin from co-defendant Samuel Braxton, a/k/a “Fats.” Wilson then redistributed the drugs to his customers. Wilson and other members of the conspiracy used Braxton’s apartment in Temple Hills, Maryland, as a base of operations for storing and distributing narcotics. Wilson often met Braxton at the apartment to obtain drugs. Between November 2011 and January 2012, Wilson and Braxton were overheard by law enforcement using coded language to discuss their drug trafficking activities. On December 8, 2011, Wilson was stopped by law enforcement in Washington, D.C., after visiting Braxton’s apartment. As Wilson was pulling over, officers saw the front seat passenger throw a white plastic bag out the window. Officers found the bag, which contained two bottles with a total of approximately eight ounces of PCP.
Over the course of the conspiracy, Wilson was responsible for the distribution of between one and three kilograms of PCP, between 28 and 112 grams of crack cocaine, and between 20 and 40 grams of heroin.
Braxton, age 44, of Temple Hills, pleaded guilty to his role in the scheme and is scheduled to be sentencing on April 1, 2013.
United States Attorney Rod J. Rosenstein commended the DEA and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Christen A. Sproule and Steven E. Swaney, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Otho Man Sentenced to Five Years on Child Pornography ChargesRead the Press Release
A man who distributed and received child pornography was sentenced March 7, 2013, to five years in federal prison.
Adam Stephenson, age 20, of Otho, Iowa, received the sentence after a September 27, 2012, guilty plea to one count of distributing child pornography and one count of receiving child pornography. At the guilty plea, Stephenson admitted he knowingly used the Internet to distribute and receive child pornography.Stephenson was sentenced in Sioux City by United States District Court Judge Mark W. Bennett. Stephenson was sentenced to 60 months’ imprisonment. A special assessment of $200 was imposed, and Stephenson must also serve a five-year term of supervised release. He must comply with all sex offender registration and public notification requirements.
This case was prosecuted by Assistant United States Attorney Mark Tremmel and was investigated by the Webster County Sheriff’s Office, the Fort Dodge Police Department, and the Federal Bureau of Investigation.
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.”
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 12-3016.
New York Man Sentenced to 10 Years in Prison for Transporting a Minor for SexRead the Press Release
Greenbelt, Maryland - U.S. District Judge Alexander Williams, Jr. sentenced Edgar Daniel Mazariegos-Cifuentes, age 40, a Guatemalan citizen illegally residing in Monroe, New York, today to 10 years in prison, followed by lifetime supervised release, for transporting a minor to engage in sexual activity. Judge Williams ordered that upon his release from prison, Mazariegos must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel Marcus L. Brown, Superintendent of the Maryland State Police; and Chief A. Alex Melchiorre of the Monroe, New York Police Department.
According to his plea agreement, in November 2011, the 15 year old daughter of close family friends of Mazariegos moved from Guatemala to Monroe, New York, to live with her mother and stepfather. Mazariegos frequently visited the girl’s home and was treated as a member of the family. On several occasions, Mazariegos drove the girl and her family members to or from Boston to visit the girl’s uncle. Between November 2011 and August 2012, Mazariegos and the girl communicated by telephone and computer. Mazariegos also posted messages on the girl’s Facebook page professing his love for her.
On August 13, 2012, the girl had an argument with her mother and called Mazariegos because she was upset. Early the next day, Mazariegos picked up the girl and drove her to Silver Spring, Maryland, and checked them into a hotel so that he could engage in sexual intercourse with the girl. On August 15, 2012, Mazariegos rented a room in an apartment, presenting the girl as his girlfriend. On August 25, 2012, Maryland State Police Child Recovery Unit officers and Special Agents from the Department of Homeland Security located Mazariegos and the victim in the apartment.
When the victim was interviewed, she reported that when Mazariegos initially picked her up, she thought he was taking her to her uncle’s home in Boston. The victim stated that Mazariegos took her phone away when she said she wanted to call her uncle and told her that he was taking her to Silver Spring, Maryland so they could start a new life together. The victim advised that Mazariegos forced her to have sex with him at the hotel and several more times during the 11 days they were in Maryland.
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 "resources" tab on the left of the page.
The case was investigated by the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit www.justice.gov/usao/md/Human-Trafficking/index.html.
United States Attorney Rod J. Rosenstein commended the HSI Baltimore, Maryland State Police Child Recovery Unit, and the Monroe, New York Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Kristi N. O’Malley, who is prosecuting the case.
New York Immigration Judge Participates in Naturalization CeremonyRead the Press Release
NEW YORK -- Immigration Judge George Chew from the Executive Office for Immigration Review, New York Immigration Court, delivered the keynote speech and administered the oath of allegiance to approximately 150 candidates during a naturalization ceremony at 26 Federal Plaza in New York on March 8, 2013. The New York District Office of U.S. Citizenship and Immigration Services, Department of Homeland Security, hosted the ceremony.
Biographical Information
Attorney General Janet Reno appointed Judge Chew in September 1995. Judge Chew received a bachelor of arts degree in 1972 from City College of New York and a juris doctorate in 1979 from Antioch School of Law. From 1985 to 1995, he was in private practice in New York. From 1981 to 1984, Judge Chew was a partner with the Law Offices of Wong & Chew, also in New York. From 1979 to 1981, he served as a trial attorney for the former Immigration and Naturalization Service in New York. Judge Chew is a member of the New York State Bar.
- EOIR -
The Executive Office for Immigration Review (EOIR) is an agency within the Department of Justice. Under delegated authority from the Attorney General, immigration judges and the Board of Immigration Appeals interpret and adjudicate immigration cases according to United States immigration laws. EOIR’s immigration judges conduct administrative court proceedings in immigration courts located throughout the nation. They determine whether foreign-born individuals—whom the Department of Homeland Security charges with violating immigration law—should be ordered removed from the United States or should be granted relief from removal and be permitted to remain in this country. The Board of Immigration Appeals primarily reviews appeals of decisions by immigration judges. EOIR’s Office of the Chief Administrative Hearing Officer adjudicates immigration-related employment cases. EOIR is committed to ensuring fairness in all of the cases it adjudicates.
Executive Office for Immigration ReviewNew Jersey Man Charged with Sexual Exploitation of A ChildRead the Press Release
BOSTON - A New Jersey man, charged with sexual exploitation, had his initial appearance today in U.S. District Court in Boston.
Anthony Scarano, 51, of Sayreville, New Jersey, was originally charged on February 26 via criminal complaint with sexual exploitation of a child, specifically with production of child pornography. Scarano arrived in Massachusetts today to face the charges.According to documents filed in court, Scarano met a minor victim around October 2011 on a website called Motherless.com where they exchanged email addresses. It is alleged that the minor and Scarano, who at that time disclosed that he 32, developed a relationship shortly thereafter. It is alleged that sometime in 2012, Scarano sent the minor videos and images of himself in the nude and engaged in sexual activities. Scarano is alleged to have directed the minor to pose nude and perform sexual acts for him in videos.
The maximum sentence under the statute is 30 years to be followed by five years of supervised release. Scarano is scheduled for a detention hearing on March 22 at 2 p.m.
United States Attorney Carmen M. Ortiz; Inspector in Charge Kevin M. Niland, U.S. Postal Inspection Service in Boston; Barnstable Police Chief Paul MacDonald; and Yarmouth Police Chief Frank Frederickson made the announcement today. The matter was jointly investigated by the U.S. Postal Inspection Service and the Cape Cod Computer Crime Unit, a regional task force that handles computer crimes and forensics.
The case is being prosecuted by Assistant U.S. Attorney Dave Tobin of Ortiz’s Major Crimes Unit.
The details contained in the charging documents are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.This case is being brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys' Offices, 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/.
National Foundation of America Founder Convicted of Defrauding Clients of $30 Million in AssetsRead the Press Release
Company Misrepresented as Charitable Organization to Investors
Richard Olive, 47, of Vero Beach, Florida, formerly a resident of Franklin, Tennessee, was convicted by a federal jury on March 7, 2013, of mail fraud, wire fraud and money laundering, related to his operation of National Foundation of America (“NFOA”), announced Jerry E. Martin, U. S. Attorney for the Middle District of Tennessee.
From January 2006 through May 2007 Olive represented to potential investors that NFOA, which was headquartered in Franklin, Tenn., was a charitable organization that had been recognized and approved by the IRS as a 501(c)(3) organization. During the scheme, Olive solicited assets from elderly individuals, including annuities and real estate, valued at more than $30 million, and promised that, in return, NFOA would issue an “installment bargain contract” that would purportedly give investors a guaranteed payout within a specific time period as well as a generous tax deduction.
“Fraudulent investment scams like these are devastating to investors, especially people who invest their life’s savings with individuals they trust, only to find that their trust has been misplaced,” said U. S. Attorney Jerry E. Martin . “In this case, a lot of people invested money they couldn't afford to lose, particularly in hard economic times. The U.S. Attorney’s Office will diligently and appropriately prosecute those who perpetrate such schemes and prey on unsuspecting and trusting investors.”
Olive promised clients that in exchange for an NFOA “installment bargain contract,” investors would receive a fixed payment for a specified number of years. Evidence presented by prosecutors at trial demonstrated that NFOA never had sufficient assets to meet these obligations. The majority of assets that Olive solicited were annuities, which incurred high penalties on their surrender. When Olive received these annuities, he surrendered them, incurring the penalties, so that he could access the cash.
Additional evidence presented at trial showed that Olive used the cash to fund his lavish lifestyle, including paying for $153,000 of expenses on credit cards, funding a family trip to New Orleans on a chartered jet, settling a lawsuit against him for $250,000, and using cash to purchase several properties, including a $690,000 condo in Las Vegas. Although Olive held NFOA out to be a “charitable organization,” evidence presented at trial showed that he donated to charity less than ½ of 1% of the $23.6 million received by NFOA.Prosecutors also presented evidence showing that Olive made a series of misrepresentations about NFOA assets during the scheme. For example, in February 2006, just days after NFOA had been incorporated, Olive sent financial statements to a financial advisor that falsely represented that NFOA had been in operation in 2003 and 2004 and that it held significant assets. In May 2006 Olive represented to another financial advisor that the company had $35 million in assets, although the charitable tax returns that he filed with the State of Tennessee indicated that from its inception to June 2006, NFOA had received only $2.8 million in revenue.
Other evidence presented at trial showed that throughout the scheme, Olive repeatedly and falsely represented to investors that NFOA had been recognized as a charitable organization by the IRS under Section 501(c)(3) of the Internal Revenue Code. Olive’s former attorney testified that Olive continued to make this false representation, even after being advised on at least two occasions to stop.
The jury also heard testimony that at least five states had issued cease-and-desist orders during the scheme, based in part on their findings that Olive was misrepresenting NFOA’s 501(c)(3) status, and ordered him to stop selling NFOA’s product in those states. NFOA was seized and ultimately liquidated by the Tennessee Department of Commerce and Insurance in May 2007.
Olive faces up to 20 years in prison on each of the mail and wire fraud counts, and up to 10 years in prison on the unlawful monetary transaction counts. A sentencing date has not yet been set.
The case was investigated by the FBI and the IRS– Criminal Investigation . Assistant United States Attorneys Kathryn B. Ward and Darryl A. Stewart represented the government.Minneapolis Man Pleads Guilty in Armed Robbery of A St. Paul PharmacyRead the Press Release
MINNEAPOLIS—Earlier today in federal court in St. Paul, a 31-year-old Minneapolis man pleaded guilty in connection with the April 3, 2012, armed robbery of the West 7th Pharmacy in St. Paul. Michael Brooks Bynum pleaded guilty to one count of interference with commerce by robbery pursuant to the Hobbs Act, and one count of possession of a firearm in furtherance of a crime of violence. Bynum, who was indicted along with two co-defendants on July 10, 2012, entered his plea before United States District Court Judge Susan Richard Nelson.
In his plea agreement, Bynum admitted that on April 3, he drove Ray James Brown, age 24, and Rayshawn Earl James Brown, age 21, both of Minneapolis, to the pharmacy with the intent to rob it. Bynum also admitted that the three had planned the robbery together, and that after the robbery he drove the three away until they were stopped by police. In addition, Bynum admitted he participated in the armed robberies of Lloyds Pharmacy in St. Paul on February 18, 2012, the Best Aid Pharmacy in St. Louis Park on March 15, 2012, and the Pro Pharmacy in St. Paul on March 27, 2012.
In September 2012, Ray Brown pleaded guilty to two counts of possession of a firearm during and in relation to a crime of violence, and Rayshawn Brown pleaded guilty to one count of interference with commerce by robbery pursuant to the Hobbs Act and one count of possession of a firearm in furtherance of a crime of violence. In their plea agreements, they admitted entering the pharmacy wearing gloves and masks. Ray Brown admitted pointing a .40-caliber, semi-automatic pistol at store employees and demanded they get down on the floor. Ray Brown also admitted ordering the pharmacist to place pharmaceutical drugs, such as Percocet, Vicodin and Oxycontin into a white plastic bag. Then, they admitted running from the store to the awaiting Cadillac. In addition, Ray Brown and Rayshawn Brown admitted running from police after the Cadillac was stopped. Ray Brown was apprehended following a short foot chase, and police recovered the pistol he tossed during the pursuit. Rayshawn Brown was arrested about an hour later after emerging from behind a nearby house, claiming to be a homeless person who lived under the porch.
In addition, Ray Brown admitted that he participated in the armed robberies of Lloyds Pharmacy in St. Paul on February 18, 2012, the Best Aid Pharmacy in St. Louis Park on March 15, 2012, and the Pro Pharmacy in St. Paul on March 27, 2012. Rayshawn Brown also admitted that he participated in the Pro Pharmacy robbery.
For their crimes, Bynum and Rayshawn Brown face a potential maximum penalty of 20 years in federal prison on the interference with commerce by robbery pursuant to the Hobbs Act count. All three defendants face a mandatory minimum of seven years and a maximum penalty of life in prison on the possession of a firearm in furtherance of a crime of violence count, while Ray Brown faces a mandatory minimum penalty of 25 years on the second possession of a firearm during and in relation to a crime of violence count. Judge Nelson will determine their sentences at a future hearing, yet to be scheduled.
The Hobbs Act, passed by Congress in 1946, provides federal jurisdiction for cases involving violent, habitual criminals who commit armed robbery in businesses involved in interstate commerce. Federal prosecution of these offenders is sometimes beneficial since the penalties may be tougher than under state law. To that end, the U.S. Attorney’s Office and its County Attorney partners are working together to ensure that violent offenders are effectively prosecuted, making our communities safer for all.
This case is the result of an investigation by the St. Paul Police Department, the St. Louis Park Police Department, the Hennepin County Violent Offender Task Force, and the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant U.S. Attorney Julie E. Allyn.Middlesex County Woman Admits Role in Identity Theft-Tax Fraud CaseRead the Press Release
NEWARK, N.J. – A Middlesex County woman today admitted her role in a scheme to fraudulently obtain a federal tax refund by filing a false claim with the IRS, U.S. Attorney Paul J. Fishman announced.
Patriciah Omari, 33, of Middlesex, pleaded guilty before U.S. Magistrate Judge Patty Shwartz in Newark federal court to a Superseding Information charging her with one count of aiding in the preparation and filing of a false income tax return.
According to documents filed in this case and statements made in court:An unidentified person prepared and filed at least one false U.S. Individual Income Tax return, Form 1040, in the name of an individual with the initials “V.K.” The return included false information and documents about V.K.’s address, income, W-2 form, income tax purportedly withheld and claim for a refund. The fraudulent return claimed a $72,859 tax refund. In reality, V.K. was not entitled to the refund and did not authorize anyone to file a return.
Omari provided the unidentified person with the routing number and bank account information of an account held in Omari’s name. That information was provided with the false tax return, causing the IRS to deposit the refund check into Omari’s bank account. The money was then withdrawn and wired to an account in Kenya.
The count to which Omari pleaded guilty is punishable by a maximum potential term of three years in prison and a fine of $250,000, or twice the gross gain or loss from the offense. Sentencing is scheduled for June 24, 2013.
U.S. Attorney Fishman credited special agents and investigators of the U.S. Secret Service, under the direction of Special Agent in Charge James Mottola in Newark; IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Shantelle P. Kitchen; and the inspectors of the U.S. Postal Inspection Service under the direction of Inspector in Charge Philip R. Bartlett, with the investigation leading to today’s plea.
The government is represented by Assistant U.S. Attorneys Jacques Pierre and Barbara Llanes of the U.S. Attorney’s Office in Newark.
13-112
Defense counsel: Damian P. Conforti Esq., Newark
Omari Superseding Information
Michigan Man Pleads Guilty to Federal Heroin ChargeRead the Press Release
HUNTINGTON, W.Va. – U.S. Attorney Booth Goodwin announced that a Michigan man pleaded guilty to aiding and abetting the possession with intent to distribute heroin. Ralph Oliver Mayes, Jr., 36, of Dearborn Heights, Michigan, admitted to the charge today in federal court.
On January 9, 2013, officers with the Barboursville Police Department arrested Mayes for obstructing and possession of Vicodin tablets. Following his arrest, Mayes was transported to the Barboursville Police Department. During a custodial search of the defendant, police found two bags containing 33 individually wrapped bags of a substance that field tested positive for heroin. Mayes admitted that each bag contained approximately .1 grams of heroin. Mayes further admitted that he intended to sell the heroin.
Mayes faces up to 20 years in prison and a $1 million fine when he is sentenced on June 17, 2013 by Chief United States District Judge Robert C. Chambers.
The Barboursville Police Department and the Huntington Violent Crimes and Drug Task Force conducted the investigation. Assistant United States Attorney Gregory McVey is in charge of the prosecution.
The case was prosecuted as part of an ongoing effort led by the United States Attorney’s Office for the Southern District of West Virginia to combat the illicit sale and misuse of prescription drugs. The U.S. Attorney’s Office, joined by federal, state and local law enforcement agencies, is committed to aggressively pursuing and shutting down illegal pill trafficking, eliminating open air drug markets, and curtailing the spread of opiate painkillers in communities across the Southern District.Mexican Nationals Plead Guilty to Federal Methamphetamine Trafficking ChargesRead the Press Release
ALBUQUERQUE – Jesus Omar Lopez-Valle, 28, of Jarales, N.M., and his brother, Hector Manuel Lopez-Valle, 24, of Albuquerque, N.M., pled guilty on Friday afternoon to methamphetamine trafficking charges. Jesus Lopez-Valle also pled guilty to the unlawful possession of firearms. The two men, who are Mexican nationals illegally present in the United States, entered their guilty pleas without the benefit of any plea agreement.
Jesus Lopez-Valle and Hector Lopez-Valle each pled guilty to a superseding indictment charging them with conspiracy and possession of methamphetamine with intent to distribute. Jesus Lopez-Valle also pled guilty to being an illegal alien in possession of firearms.
Their co-conspirator, Adaucto Chavez-Meza, 20, a Mexican national residing in Belen, N.M., pled guilty on Feb. 25, 2013, to an indictment charging him with conspiracy and possession with intent to distribute charges. Chavez-Meza also entered his guilty plea without the benefit of any plea agreement.
According to court records, from Feb. 21, 2012 to March 1, 2012, Jesus Lopez-Valle and Hector Lopez-Valle conspired with Chavez-Meza to sell four pounds of methamphetamine to an individual who, unbeknownst to them, was an undercover officer. On March 1, 2012, Jesus Lopez-Valle, Hector Lopez-Valle and Chavez-Meza were arrested in Albuquerque after they displayed more than four pounds of methamphetamine to the undercover officer. During postarrest interviews, Chavez-Meza admitted that they intended to sell the methamphetamine to the undercover officer for approximately $60,000. Jesus Lopez-Valle also admitted that the three men intended to sell the methamphetamine to the undercover officer, and Hector Lopez-Valle admitted transporting the methamphetamine from Belen to Albuquerque.
All three men have been in federal custody since they were arrested and will remain detained pending their sentencing hearings, which have yet to be scheduled. At sentencing, each man faces a mandatory minimum ten years in prison and a maximum of life in prison for the drug trafficking conviction, and Jesus Lopez-Valle faces up to ten years in prison for his firearms conviction. The men will be deported after they complete their prison sentences.
The case was prosecuted by Assistant U.S. Attorneys Samuel A. Hurtado and Nicholas J. Ganjei and was investigated by the Albuquerque office of the FBI.
Martin Woman Sentenced for Controlled Substance DistributionRead the Press Release
United States Attorney Brendan V. Johnson announced that a Martin, South Dakota woman convicted of distribution of a controlled substance was sentenced by Chief U.S. District Judge Jeffrey L. Viken on March 1, 2013.
Claudia Jeanine Apple, age 45, was sentenced to 12 months and 1 day of imprisonment, 6 years of supervised release, and a $100 special assessment to the Victim Assistance Fund.
On January 31, 2012 Apple distributed 15 Ritalin pills within 1,000 feet of a school at Martin. Apple pled guilty to the charge on October 24, 2012.
This case was part of Operation Prairie Pharm, a controlled substances investigation conducted by the Northern Plains Safe Trails Drug Enforcement Task Force, whose member agencies include the Federal Bureau of Investigation, the Bureau of Indian Affairs, the South Dakota Division of Criminal Investigation, the South Dakota Highway Patrol, the Pierre Police Department, and the Oglala Sioux Tribe – Department of Public Safety. The Bennett County Sheriff’s Office and Martin Police Department also assisted in the investigation. The case is being prosecuted by Special Assistant U.S. Attorney Laura Shattuck.
Martin Man Sentenced for Controlled Substance DistributionRead the Press Release
United States Attorney Brendan V. Johnson announced that a Martin, South Dakota man convicted of Distribution of a Controlled Substance was sentenced on March 4, 2013 by Chief U.S. District Judge Jeffrey L. Viken.
William Apple, age 26, was sentenced to time served, 3 years' supervised release, and a $100 special assessment to the Victim Assistance Fund.
On or about January 27, 2012, Apple distributed morphine in Martin. Apple pled guilty to the charge on November 21, 2012.
This case was investigated by the Northern Plains Safe Trails Task Force. Assistant U.S. Attorney Ted L. McBride prosecuted the case.
Leader of Wayne county-NYC cocaine Ring Sentenced on Drug ChargesRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul Jr. announced today that Richard Crego, a/k/a Ricky, 25, of New York City, who was convicted of conspiracy to possess with intent to distribute and distribution of five kilograms or more of cocaine, was sentenced to 13 years in prison and 10 years supervised release by U.S. District Judge Charles J. Siragusa.
Assistant U.S. Attorney Robert A. Marangola, who handled the case, stated that the defendant was the leader of group of cocaine and crack cocaine distributors in Wayne County that obtained cocaine through Crego and his former prison associate, James Brome. The defendant and Brome arranged for the delivery of kilograms of cocaine from New York City to Wayne County, where the kilograms were processed, weighed, packaged, and resold in various quantities by various distributors.
In November 2010, as part of a lengthy, joint state and federal wiretap investigation, multiple search warrants were executed in Wayne County. The investigation netted over 1.9 kg of powder cocaine, 15 grams of crack cocaine, distribution paraphernalia, a 12 gauge shotgun, a .22 caliber rifle, a .25 caliber pistol, a 9mm pistol, and over $32,000 in U.S. currency. Crego was arrested along with six others in February 2011, all seven have been convicted. Brome was sentenced to 17 years in prison on February 26, 2013.
The sentencing is the culmination of an investigation conducted by the Wayne County Narcotics Enforcement Team under the direction of John Colella, Chief of the Town of Macedon Police Department and Robert Hetzke, Chief Deputy of the Wayne County Sheriff’s Office, the Wayne County Sheriff’s Office under the direction of Sheriff Barry Virts, the New York State Police, under the direction of Lieutenant Martin E. McKee, the Rochester Office of the Drug Enforcement Administration under the direction of Special Agent in Charge Brian R. Crowell, New York Field Division, with assistance provided by the Wayne County District Attorney’s Office, under the direction of Richard Healy.
Laredo Residents Arrested for Distributing Cocaine and Marijuana in A School ZoneRead the Press Release
LAREDO, Texas – Romeo Serna Sr., 50, and Romeo Serna Jr., 26, both residents of Laredo, have been arrested for attempted distribution of cocaine base and for possession with intent to distribute marijuana in a school zone, United States Attorney Kenneth Magidson announced today along with Javier F. Peña, special agent in charge of the Drug Enforcement Administration (DEA).
The Sernas were arrested on March 7, 2013. The criminal complaint was filed this morning, at which time the Sernas made their initial appearances before United States Magistrate Judge Diana Song Quiroga. Both were remanded to custody pending a detention hearing, set for Friday, March 15, 2013, at 10:00 a.m.
“Selling drugs in or near a school is not only unlawful but could be potentially dangerous to our children as well as our communities,” said Peña. “DEA and its colleagues will continue to work hard to keep our children and communities safe.”
The criminal complaint alleges that on March 7, 2013, DEA agents set up surveillance on the Serna residence on South Bartlett Avenue in Laredo. At approximately noon, the undercover agent arrived at the location to purchase nine ounces of cocaine base (crack cocaine), at which time Serna Sr. allegedly showed the undercover agent the drugs he was planning to sell.
Shortly thereafter, DEA agents arrested the Sernas and executed a search warrant at the residence. During the search, the complaint indicates agents also discovered marijuana located on the kitchen counter, kitchen attic and in the living room. The Serna residence is located within 1,000 feet of a public middle school.
The case is being investigated by DEA with assistance from the Laredo Independent School District Police Department. Assistant U.S. Attorney Sonah Lee is prosecuting the case.
A criminal complaint is an accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless and until convicted through due process of law.Kirtland, N.M., Man Senteced to Sixty-Three Months in Prison for Federal Child Sex Abuse ConvictionRead the Press Release
ALBUQUERQUE –Wilson Harry, Jr., 55, an enrolled member of the Navajo Nation who resides in Kirtland, N.M., was sentenced this afternoon to 63 months in prison followed by ten years of supervised release for his abusive sexual contact conviction. Harry will be required to register as a sex offender after he completes his prison sentence.
Harry pled guilty on Aug. 6, 2012 to sexually assaulting a Navajo child under the age of 16 by touching the child’s genitals during the summer of 2009. The sexual assault occurred in Shiprock, N.M., which is within the Navajo Indian Reservation.
Harry has been in federal custody since his arrest on Jan. 9, 2012.
The case was investigated by the Farmington office of the FBI and the Shiprock Division of the Navajo Nation Department of Public Safety, and was prosecuted by Assistant U.S. Attorney Jacob A. Wishard.
Kewa Pueblo Man Pleads Guilty to Federal Child Abuse ChargeRead the Press Release
ALBUQUERQUE –Cruz Tenorio, 29, a member and resident of Kewa Pueblo, N.M., pled guilty this morning to a negligent child abuse charge under a plea agreement with the U.S. Attorney’s Office.
During today’s plea hearing, Tenorio admitted abusing a three-year-old Indian child in 2011 by negligently tattooing the letter “I” on the child’s arm. Tenorio admitted using rudimentary, homemade instruments, tools and unsterilized materials to tattoo the child, and that he did not take sufficient precautions to prevent possible infection. Tenorio had no formal training in the application of Tattoo body art when he tattooed the child at his home on Kewa Pueblo.
Under the terms of his plea agreement, Tenorio will be sentenced to six months of imprisonment followed by a term of supervised release to be determined by the Court. Tenorio also will be required to pay restitution in an amount adequate to ensure that the child victim is able to obtain any psychological and medical services necessary arising from the offense, including the removal of the tattoo. Tenorio also is required to pay restitution to cover the costs of removing the tattoos he applied to another victim in March 2012, when the victim was 15 years old.
The case was investigated by the Bureau of Indian Affairs, Office of Justice Services, Southern Pueblos Agency, and is being prosecuted by Assistant U.S. Attorney Niki Tapia-Brito.
Justice Department to Monitor Election in Maricopa County, ArizonaRead the Press Release
The Justice Department announced today that it will monitor the municipal election on March 12, 2013, in the town of Guadalupe, in Maricopa County, Ariz., to ensure compliance with the Voting Rights Act of 1965. The Voting Rights Act prohibits discrimination in the election process on the basis of race, color or membership in a minority language group.
Under the Voting Rights Act, the Justice Department is authorized to ask the U.S. Office of Personnel Management (OPM) to send federal observers to jurisdictions that are certified by the attorney general or by a federal court order. Federal observers will be assigned to monitor polling place activities in Maricopa County based on the Attorney General’s certification. The observers will watch and record activities during voting hours in the town of Guadalupe, and a Civil Rights Division attorney will coordinate the federal activities and maintain contact with local election officials.
Each year, the Justice Department deploys hundreds of federal observers from OPM, as well as departmental staff, to monitor elections across the country. To file complaints about discriminatory voting practices, including acts of harassment or intimidation, voters may call the Voting Section of the Justice Department’s Civil Rights Division at 1-800-253-3931.
Visit www.justice.gov/crt/voting/index.php for more information about the Voting Rights Act and other federal voting laws.
Johnathan Miguel Balbin-Murillo 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 March 8, 2013, before Chief U.S. District Judge Richard F. Cebull, JOHNATHAN MIGUEL BALBIN-MURILLO, a 29-year-old resident of Las Vegas, Nevada, appeared for sentencing. BALBIN-MURILLO was sentenced to a term of:
Prison: 46 months
Special Assessment: $a00
Supervised Release: 5 years
BALBIN-MURILLO was sentenced in connection with his guilty plea to conspiracy to distribute methamphetamine.
In an Offer of Proof filed by Assistant U.S. Attorney Marcia K. Hurd, the government stated it would have proved at trial the following:
BALBIN-MURILLO came to the attention of law enforcement officers as part of a larger drug case. BALBIN-MURILLO was identified as a person who brought large amounts of methamphetamine from Las Vegas to Billings on behalf of supplier Howard Bonifant to distribute to Bonifant's network here. As others were arrested, they gave testimony that led to the discovery of BALBIN-MURILLO and his role in the operation as a courier between Vegas and Billings. BALBIN-MURILLO was interviewed by agents in November 2011 and confessed that he had been recruited by Howard Bonifant in 2010 to transport methamphetamine from Las Vegas to Billings. After transporting it, BALBIN-MURILLO would stay in Billings and assist in its distribution to Bonifant's next level of distributors, and would then transport the drug proceeds via Greyhound bus back to Las Vegas where he would give the proceeds to Bonifant. BALBIN-MURILLO confirmed that he worked with two other individuals and the three men took turns traveling to Billings with methamphetamine and returning with the money. They would each bring up pounds at a time. BALBIN-MURILLO confirmed distributions to various large customers in Billings. BALBIN-MURILLO's involvement began in January 2010 and ended in November 2010.
Bonifant pled guilty to federal charges.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that BALBIN-MURILLO will likely serve all of the time imposed by the court. In the federal system, BALBIN-MURILLO does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was a cooperative effort between the Federal Bureau of Investigation and the Billings Big Sky Safe Streets Task Force.
Huntington Man Sentenced to More Than Three Years in Federal Prison for Crack Cocaine ChargeRead the Press Release
HUNTINGTON, W.Va. – U.S. Attorney Booth Goodwin today announced that a Huntington man was sentenced to three years and one month in federal prison for possession with intent to distribute crack cocaine. Kendall O. Williams, 29, previously pleaded guilty in October 2012. On April 21, 2011, law enforcement officers conducted a traffic stop of the defendant’s vehicle in the 1600 block of Huntington. During the traffic stop, a police K-9 unit gave a positive indication of the presence of drugs inside the vehicle. Law enforcement agents discovered two individually wrapped baggies containing crack cocaine between the center console and the driver’s seat. Williams admitted to being in possession of the crack cocaine and intended to share the illegal substance with associates. The crack cocaine was submitted to the West Virginia State Police Laboratory for testing and proved to be crack cocaine weighing 10.78 grams.
The Huntington Violent Crimes and Drug Task Force handled the investigation. Assistant United States Attorney Gregory McVey handled the prosecution. The sentence was imposed by Chief United States District Judge Robert C. Chambers.
Hartford Crack Dealer Sentenced to Nine Years in Federal PrisonRead the Press Release
March 11, 2013David B. Fein, United States Attorney for the District of Connecticut, announced that NIDA WILLIAMS, also known as “N-Dog,” 35, of Bloomfield, was sentenced today by United States District Judge Janet C. Hall in New Haven to 108 months of imprisonment, followed by five years of supervised release, for his role in a Hartford crack cocaine distribution ring.
This matter stems from “Operation Vinefield,” a joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force targeting narcotics trafficking and gang violence in Hartford’s North End. As a result of the nine-month investigation, 38 individuals were charged with various offenses related to the distribution of crack cocaine and the unlawful possession and dealing of firearms in and around Hartford.
According to court documents and statements made in court, the investigation revealed that Clinton Hill Weston, also known as “Ack,” supplied WILLIAMS and Dana Adams, also known as “Soul,” with 125-gram and 63-gram quantities of crack cocaine. WILLIAMS and Adams then distributed the crack to numerous street-level dealers, including gang members, who primarily distributed the drug in the area of Enfield Street in Hartford.
WILLIAMS was arrested on April 19, 2012. A subsequent search of his Bloomfield residence revealed more than 29 grams of crack cocaine and 14 rounds of ammunition.
WILLIAMS has been detained since his arrest. On December 17, 2012, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 28 grams or more of cocaine base (“crack cocaine”).
Weston and Adams also pleaded guilty and are currently serving prison terms of 152 months and 156 months, respectively.
This matter has been investigated by the FBI’s Northern Connecticut Violent Crimes Task Force, the Connecticut State Police, the Hartford Police Department and the Connecticut Department of Correction.
The case is being prosecuted by Assistant United States Attorney Brian P. Leaming.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
[email protected]Georgia Man Pleads Guilty to Sex Trafficking Multiple Teen Girls and Running A Child Exploitation EnterpriseRead the Press Release
ALEXANDRIA, Va. – Edwin Barcus Jr., aka “Boo,” 27, of Georgia, pleaded guilty to running a commercial sex business that prostituted at least seven juvenile girls in Herndon, Va., and other locations throughout Virginia, Maryland, North and South Carolina, Georgia, and Florida.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Virginia Attorney General Kenneth Cuccinelli, II; Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office; and Lt. Colonel James A. Morris, Acting Fairfax County Chief of Police, made the announcement after the plea was accepted by United States District Judge Gerald Bruce Lee.
Barcus pleaded guilty to engaging in a child exploitation enterprise and faces a mandatory minimum of 20 years and a maximum of life in prison when he is sentenced on June 7, 2013.
“Edwin Barcus made his living exploiting vulnerable young girls and luring them into prostitution,” said U.S. Attorney MacBride. “Barcus saw these girls as his property – even making them get tattoos with his nickname. Thanks to the FBI, Fairfax County Police Department and the members of our Northern Virginia Human Trafficking Task Force, his operation is shut down and can no longer victimize these girls.”
“Recruiting, exploiting and transporting juveniles for the purpose of underage prostitution is a cruel form of modern-day slavery,” said Assistant Director in Charge Parlave. “Prostitution is not a victimless crime. The FBI is committed to apprehending individuals who sexually exploit juveniles, and we will continue to work to identify these predators and their victims.”
According to a statement of facts filed with his plea agreement, since August 2007, Barcus has led and organized a commercial sex organization that has prostituted at least 23 women, including at least four of whom were 16 years old and at least three were 17 years old when Barcus began prostituting them. He targeted juveniles who had run away from home or lived in a broken home, sometimes making them believe that he or other members of the organization were romantically interested in them. Barcus also stated that he purchased clothing and shoes for girls he wanted to recruit as a means of luring them into the venture.
Barcus admitted that he used Backpage.com and other erotic internet sites to advertise the girls’ services and to recruit girls to work for his organization. When the girls found it difficult to repeatedly have sex with strange men, Barcus and others provided them with alcohol and narcotics to make them more vulnerable and susceptible to prostitution.
Barcus and other conspirators carried and, when necessary, brandished firearms while engaging in prostitution-related activities, and Barcus battered at least three of the females working for his commercial sex enterprise. At times, Barcus had the women and girls he prostituted tattooed with his nickname: “Boo.”
In November 2012, Barcus was prostituting at least one juvenile in Herndon, Va., while another member of his organization was prostituting other females in Atlanta, Ga. Because the venture was yielding substantial profits in Herndon, Barcus instructed the conspirator to bring two 17-year-old girls to Herndon. When one of the girls objected, she was told that “under the rules of the game” she had to go to Virginia. Barcus admitted that each girl servicing clients in Herndon could obtain $500 or more per day. All of the money was turned over to Barcus or other members of the enterprise.
This case was investigated by the FBI’s Washington Field Office and the Fairfax County Police Department, with assistance from the Northern Virginia Human Trafficking Task Force. Assistant United States Attorney Michael J. Frank and Virginia Assistant Attorney General and Special Assistant United States Attorney Marc J. Birnbaum are prosecuting the case on behalf of the United States.
Founded in 2004, the Northern Virginia Human Trafficking Task Force is a collaboration of federal, state, and local law enforcement agencies – along with nongovernmental organizations – dedicated to combating human trafficking and related crimes.
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.Four Sentenced in Connection with El Paso Area Drug Distribution SchemeRead the Press Release
In El Paso, four individuals have been sentenced for their roles in a cocaine distribution ring that operated in El Paso and southern New Mexico announced United States Attorney Robert Pitman and Drug Enforcement Administration Special Agent in Charge Joseph M. Arabit, El Paso Division and Pecos Valley (NM) Drug Task Force Commander Carroll A. Caudill, II.
This afternoon, U.S. District Judge David C. Guaderrama sentenced 53–year-old Edward Villa of Carlsbad, NM, to six years in federal prison followed by four years of supervised release. Judge Guaderrama also ordered that Villa pay a $1,000 fine. Last month, Judge Guaderrama sentenced Villa’s codefendants--56-year-old Tony S. Garcia of Las Cruces, NM, and 50–year-old David Lopez of Malaga, NM–to 90 months and 37 months in federal prison, respectively. Tony Garcia’s nephew and fourth defendant in this case, 27-year-old of Gabriel M. Garcia of Las Cruces, NM, received five years probation after pleading guilty to one count of misprision of felony in connection with the scheme.
In October, Villa, Lopez and Tony Garcia all pleaded guilty to conspiracy to possess with intent to distribute cocaine. By pleading guilty, the defendants admitted that in May 2012, Tony Garcia together with Gabriel Garcia transported approximately two kilograms of cocaine from El Paso to Villa and Lopez in Carlsbad, NM. According to court documents, during the exchange, Villa paid $24,000 to Tony Garcia for the cocaine. Subsequently, traffic stops were conducted on both Garcia and Villa’s vehicles where authorities seized the cocaine and cash.
In a related matter, 35-year-old Cirilio Cortez of Carlsbad, NM, was sentenced in January to 121 months in federal prison followed by eight years of supervised release and ordered to pay a $5,000 fine for his role in the cocaine distribution scheme. In addition, U.S. District Judge David Briones ordered that Cortez pay a $117,000 monetary judgment to the Government. On April 27, 2012, Cortez pleaded guilty to one count of conspiracy to possess with intent to distribute cocaine. By pleading guilty, Cortez admitted that he distributed over 50 kilograms of cocaine in the southern part of New Mexico.
“The Pecos Valley Drug Task Force is extremely proud of the working relationship that we have with the United States Attorney’s Office and the Drug Enforcement Administration. This partnership has insured another successful prosecution of those individuals who believe that they are above the law and chose to sell drugs in our community. We will continue to work with United States Attorney’s Office and Drug Enforcement Administration to keep our children and our community safe and these predators off the street,” stated Commander Carroll A. Caudill, II, Pecos Valley Drug Task Force.
The case was investigated by DEA agents together with the Pecos Valley Drug Task Force in Carlsbad, New Mexico. Assistant United States Attorney Daniel Crumby prosecuted this case on behalf of the Government.
Four Plead Guilty in Fraudulent Prisoner Income Tax Refund SchemeRead the Press Release
PENSACOLA, FLORIDA – United States Attorney Pamela C. Marsh announced today that four individuals pled guilty before Chief U. S. District Judge M. Casey Rodgers to their involvement in a fraudulent prisoner income tax refund scheme. The indictment of Cora Beard (68) of Morriston, William Scott Folk (36) and Christopher Jesse Lee (36) both currently incarcerated with the Florida Department of Corrections, and Gail Anita Moss (60) of Miami Gardens was returned by a federal grand jury on January 15, 2013. Count One charged all four defendants with conspiracy to defraud the government with respect to claims, and Count Two charged all four defendants with conspiracy to commit mail fraud. Cora Beard and Gail Anita Moss were also charged with seven counts of filing false claims against the government and seven counts of theft from the government. The indictment also charged Beard with one count of aggravated identity theft, and Moss with two counts of aggravated identity theft.
In today’s hearing, Beard pled guilty to Counts One through Nine, Seventeen through Twenty-Three and Thirty Two; Moss pled guilty to Counts One, Two, Eleven through Sixteen, Twenty-Five through Thirty and Thirty-One through Thirty-Three; and Lee and Folk each pled guilty to Counts One and Two. All four defendants are scheduled to be sentenced on May 20, 2013, by Chief Judge Rodgers. The individuals were charged in a multi-year scheme in which they and others used the names and social security numbers of inmates incarcerated in the Florida Department of Corrections, and on occasion, other individuals who were not incarcerated, to file fraudulent tax returns. As part of this scheme, Cora Beard and Gail Anita Moss used their home addresses as well as the home addresses of previously indicted co-conspirators, Mary Blair, Thomas Rabeau, Nikki Kight, Elton Blair and others, so IRS refund checks would be mailed to them. The other co-conspirators were indicted in January 2012, and all pled guilty to their involvement in the fraudulent income tax scheme.During the course of the scheme charged in the indictment, the defendants and others filed and caused to be filed approximately 344 false and fraudulent federal income tax returns, which falsely claimed approximately $1,656,721 in false, fictitious, and fraudulent refunds from the United States. A copy of the indictment is attached.
At sentencing, each defendant faces a maximum of ten years in prison for Counts One and Two. For the counts of filing false claims against the government, Cora Beard and Gail Anita Moss face up to five years in prison on each of their counts. For the counts of theft from the government, Cora Beard and Gail Anita Moss face up to ten years in prison on each of their counts. For the counts of aggravated identity theft, Cora Beard and Gail Anita Moss face a minimum mandatory sentence of two years imprisonment on each count, which must be run consecutively to any other sentence imposed.
The case was prosecuted by Assistant U.S. Attorney Tiffany Eggers as part of a Department of Justice initiative to fight stolen identity refund fraud (SIRF). In September 2012, the Department issued Tax Division Directive 144, which sets forth expedited Department review procedures for SIRF cases, enabling law enforcement to respond quickly and effectively to the grave challenges presented in SIRF cases and to prevent the victimization of innocent taxpayers whose identities are stolen by fraudsters. The investigation is the result of an investigation by the Internal Revenue Service – Criminal Investigations.
Fort Worth Man Remanded into Custody Following His Guilty Plea in Child Pornography CaseRead the Press Release
FORT WORTH, Texas — Richard D. Anderson, 59, of Fort Worth, Texas, pleaded guilty on Friday, before U.S. District Judge John McBryde, to an indictment charging one count of possession of child pornography, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas. Anderson faces a maximum statutory penalty of up to 10 years in federal prison, a $250,000 fine and a lifetime of supervised release. Judge McBryde set a June 21, 2013, sentencing date and remanded Anderson into custody.
According to documents filed in the case, in September 2012, officers with the Fort Worth Police Department’s Internet Crimes Against Children (ICAC) Unit executed a search warrant at Anderson’s home and seized computers and removable storage media. A forensic exam revealed images and videos of child pornography. Anderson admitted that he had downloaded images of child pornography from the Internet using newsgroups and that he’d moved images from his computer to his flash drive.
The case was brought as part of Project Safe Childhood, a nationwide initiative, which was launched in May 2006 by the Department of Justice, to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals, who sexually exploit children, and identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/ and click on the tab “resources.”
The investigation is being conducted by the Fort Worth Police Department’s ICAC and prosecuted by Assistant U.S. Attorney Aisha Saleem.
Former Salina Shop Owner Who Sold Marijuana-Like Drug Sentenced to A Year on Federal ProbationRead the Press Release
WICHITA, KAN. – A former coffee shop owner from Salina, Kan., has been sentenced to a year on federal probation for selling a misbranded product known as Aromatic Potpourri that contained a substance mimicking the active ingredient in marijuana, U.S. Attorney Barry Grissom said today.
Erick Srack, 44, Salina, Kan., pleaded guilty to one count of introducing a misbranded drug into interstate commerce. In his plea, he admitted that while he owned The Grind, a coffee shop in Salina, he sold Aromatic Potpourri, which contained synthetic chemicals generally known as "JWH compounds" that mimicked the effects of THC, the active ingredient in marijuana.
Aromatic Potpourri was intended to be used as a recreational drug that would be smoked. Srack sold the Aromatic Potpourri in zip lock plastic bags with a paper label. The label did not list JWH Compounds among the ingredients.
The U.S. Food and Drug Administration is the federal agency charged with enforcing federal health and safety laws pertaining to drugs sold for human use. The federal Food, Drug and Cosmetic Act requires that drugs be labeled so that a layperson can administer the drug safely for the purposes for which it is intended. The FDA considers street drug alternatives like Aromatic Potpourri to be unapproved new drugs and misbranded drugs that violate the FDCA.
Srack is serving a sentence in state prison in Kansas after being convicted in state district court of selling illegal drugs.
Grissom commended the FDA and Assistant U.S. Attorney Tanya Treadway for their work on the case.
Former Detroit Mayor Kwame Kilpatrick, His Father Bernard Kilpatrick and City Contractor Bobby Ferguson Were Convicted on Racketeering, Extortion, Bribery, Fraud and Tax ChargesRead the Press Release
Today a federal jury returned guilty verdicts against Kwame M. Kilpatrick, 42, of Southlake, Texas and Bobby W. Ferguson, 44, of Detroit, on charges that they used Kwame Kilpatrick’s positions as Mayor of Detroit and Michigan State House Representative to execute a wide ranging racketeering conspiracy involving extortion, bribery and fraud, United States Attorney Barbara L. McQuade announced. Bernard Kilpatrick, 70, of Detroit was convicted of a felony tax offense.
McQuade was joined in the announcement by Robert D. Foley, III, Special Agent In Charge of the Detroit Field Office of the Federal Bureau of Investigation, Randall Ashe, Special Agent in Charge of the U.S. Environmental Protection Agency, Special Agent in Charge Erick Martinez, IRS Criminal Investigation and Barry McLaughlin, Special Agent in Charge, U.S. Department of Housing and Urban Development - Office of Inspector General.
Kwame Kilpatrick was convicted of 24 counts extortion, mail fraud, tax violations and racketeering, Bobby Ferguson was convicted of 9 counts of extortion and racketeering and Bernard Kilpatrick was convicted of one count of filing a false tax return.
Co-defendants Victor Mercado, former Director of the City of Detroit Water and Sewerage Department and Derrick Miller, former Chief Administrative Officer of the City of Detroit were also indicted as being part of the conspiracy and both pleaded guilty to their roles and are waiting sentencing.
The jury deliberated for about 14 days before returning the verdicts, concluding a five-month long trial before United States District Judge Nancy G. Edmunds.
United States Attorney Barbara L. McQuade stated, "Although this investigation spanned many years, this case is not about the past. It is about the future. This verdict has sent a powerful message that corruption will not be tolerated in this community. The people of Detroit deserve better and expect better. Candidates should seek public office to make a difference, not to make money for themselves."
FBI Special Agent in Charge Foley stated, "The FBI Led Detroit Area Public Corruption Task Force worked tirelessly to pursue and prosecute individuals associated with a criminal enterprise run for years out of the Detroit Mayor's Office. Due to the scope and complexity of the investigation, it was imperative to make sure no corners were cut and no stone was left unturned. With this conviction, the public can be reassured that no corrupt activity will be left unchecked. No violation of the public's trust will go unpunished. The citizens of the state of Michigan and in this case the City of Detroit, deserve and expect the highest quality of government, and we remain dedicated to ensuring they receive it."
"Corruption at any level diminishes the hard work and dedication of the thousands of elected officials and government employees who are dedicated to providing honest services to the American public”, said Richard Weber, Chief of IRS Criminal Investigation. "IRS-CI stands committed to weed out individuals who ignore the public's well being, and choose to take the path to financial success by using greed and corruption. Mr. Kilpatrick attempted to conceal his public corruption by failing to report to the Internal Revenue Service his illicit receipt of hundreds of thousands of dollars. When elected officials disregard their sworn oath because greed has clouded their judgment, let this case serve as a reminder that no one is above the law and everyone is accountable for their misdeeds."
"The U.S. EPA mandated the improvement of the Detroit Water & Sewerage Department to address long term non compliance with the city's discharge permit," said Randall K. Ashe, Special Agent in Charge of EPA's criminal enforcement program in Michigan. "Sadly, former Mayor Kwame Kilpatrick used the awarding of these contracts as an opportunity to enrich himself and Bobby Ferguson. EPA CID is very grateful to the jury for rendering this verdict and hope that this sends a clear message to all municipal officials that this conduct will not be tolerated."
HUD Special Agent in Charge Barry McLaughlin stated, “The citizens of Detroit should not have to tolerate those who use deceit and fraud to fill their pockets with money reserved to improve this community. This case will serve notice that the United States Attorney Office and HUD - Office of Inspector General will make every effort to ensure that these funds are used for this community, and will vigorously investigate those that work scams at the expense of Detroiters”.
The evidence presented at trial established that Kwame Kilpatrick and Bobby Ferguson participated in a racketeering conspiracy to financially enrich themselves, their associates and their families by using the power and authority of Kwame Kilpatrick’s position as Mayor of Detroit, as well as his position as a member of the Michigan House of Representatives, to commit extortion, bribery and fraud, as well as by defrauding donors to nonprofit entities under the control of Kwame Kilpatrick and his associates, including the Kilpatrick Civic Fund, Kilpatrick for Mayor, and the Kilpatrick Inaugural Committee.Extortion of Municipal Contractors. At the heart of the conspiracy was a scheme to use the power and authority of Kwame Kilpatrick’s office as Mayor of Detroit to extort municipal contractors by coercing them to include Ferguson in public contracts, and to rig the award of public contracts to ensure Ferguson obtained a portion of the revenue from those contracts. Ferguson obtained at least eighty-three million dollars in revenues from municipal contracts through this scheme, a portion of which he shared with his co-conspirators. At trial, the government presented evidence regarding multiple instances of attempted or actual extortion and contract rigging, including the following:
• Kwame Kilpatrick held up a $50 million sewer lining contract until Inland Waters, the winning bidder, agreed to pay Ferguson, who ultimately received $24.7 million in contract revenue when the contract was increased to $138 million.
• Kwame Kilpatrick held up a $12 million amendment to a sewer lining contract until Inland Waters agreed to pay Ferguson $350,000 for work Ferguson wanted at a large sewer collapse at 15 Mile Road in Sterling Heights, although Ferguson did no work in exchange for the payments.• Ferguson extorted Lakeshore Engineering Services to give Ferguson $1.7 million from a $28 million sewer outfalls contract although Ferguson did no work for the payments.
• Ferguson extorted Walbridge Aldinger Company for $5 million in work for Ferguson on a contract to construct the Baby Creek combined sewer overflow facility and the Patton Park recreational facility.
Defrauding the State and Non-Profit Donors. Evidence showed that during Kwame Kilpatrick’s tenure as a Representative of the Michigan House and as the Mayor of Detroit, Kwame Kilpatrick, Bobby Ferguson, and Bernard Kilpatrick obtained over half a million dollars from the State of Michigan and donors to nonprofit entities they controlled, including the Kilpatrick Civic Fund, Kilpatrick for Mayor, and the Kilpatrick Inaugural Committee, under the false pretense that the money would be used to better the community or for campaign expenses when, in reality, the money was used for personal or other impermissible expenses. This included the following:
• Kwame Kilpatrick, while a member of the State House of Representatives and with the assistance of Ferguson, defrauded the State of Michigan by directing over $280,000 in grant money from the State to nonprofit entities controlled by Ferguson and Kwame Kilpatrick’s wife. The State grant money, which was supposed to help children and seniors in the Detroit area, was spent in large part by Kilpatrick on personal expenses and by Ferguson to refurbish the offices of his company.• Kwame Kilpatrick defrauded donors to Kilpatrick for Mayor, the Kilpatrick Inaugural Committee and the Kilpatrick Civic Fund by taking cash kickbacks of over $250,000 from his fundraising director.
• Kwame Kilpatrick, defrauded donors to the Kilpatrick Civic Fund by using at least $200,000 in Civic Fund money for personal expenses, $200,000 for friends and family, and $150,000 in improper campaign expenses.
Bribery/Extortion Involving Other Public Contracts and Investments. Further evidence showed that during Kwame Kilpatrick’s tenure as Mayor, he and Bernard Kilpatrick solicited and accepted payments and property valued at over one million dollars from persons seeking business with the City or its General Retirement System or Police and Fire pension funds. Included in this bribery/extortion scheme were the following:
• Karl Kado paid Kwame Kilpatrick and Bernard Kilpatrick approximately a quarter-million dollars in cash for favorable treatment with respect to his contracts for cleaning and electrical services at Cobo Hall;
• Jon Rutherford provided money and campaign-related payments totaling over $300,000 on behalf of Kwame and Bernard Kilpatrick in return for Kwame Kilpatrick’s support of Rutherford’s waterfront casino development plan;
• Tony Soave provided free private jet service and other benefits to Kwame and Bernard Kilpatrick worth over $300,000, so that he would not be harmed with respect to his business interests with the City; and• Marc Andre Cunningham paid Bernard Kilpatrick a portion of his commission on a pension fund consulting deal from a venture capital firm (totaling at least $15,000) for Kwame Kilpatrick’s support of Cunningham’s firm getting the pension fund monies.
Proceeds from the Extortion/Bribery Conspiracy. Evidence was presented that in return for the proceeds from the public contracts Ferguson received, Ferguson kicked back significant sums of cash, items of value or other benefits to Kwame Kilpatrick. Further evidence was presented that during his tenure as Mayor, Kwame Kilpatrick used over $840,000 cash, derived from the extortion/bribery/fraud conspiracy, to make deposits into his bank accounts, pay his credit card bills, purchase cashier’s checks, and clothing, and to repay loans. During his son’s tenure as Mayor, Bernard Kilpatrick deposited over $840,000 in cash into his personal bank accounts.
As a result of the lengthy and wide-ranging investigation into corruption in the City of Detroit, the government has obtained convictions from thirty-two other individuals. Attached is a list detailing these convictions.
The investigation of this case was conducted by agents of the FBI, EPA-CID and IRS-CID. The case is being prosecuted by Assistant U.S. Attorneys Mark Chutkow, R. Michael Bullotta, Jennifer Blackwell and Eric Doeh.
Finland, Minnesota, Men Sentenced for Violating the Endangered Species ActRead the Press Release
MINNEAPOLIS—Earlier today in federal court, a 32-year-old from the northern Minnesota community of Finland was sentenced for violating the Endangered Species Act. United States District Court Judge Ann D. Montgomery sentenced Kyler James Jensen to time served on two counts of violating the Endangered Species Act. Jensen was indicted on July 16, 2012, and pleaded guilty on November 13, 2012.
On March 7, 2013, Judge Montgomery sentenced Vernon Lee Hoff, age 55, also of Finland, to one month in prison and a $2,500 fine on one count of violating the Endangered Species Act and one count of false statements to a federal officer, a felony. He was convicted by a jury in Duluth on November 16, 2012. As a result of his felony convictions, Hoff will no longer be able to possess firearms and may be ineligible for federal contracts.
Following today’s sentencing, Gregory Jackson, Special Agent in Charge for the Midwest Region of the U.S. Fish and Wildlife Service (“USFWS”) Office of Law Enforcement, said, “We are pleased with the outcome, and want to thank the conservation offices from the Minnesota Department of Natural Resources for their partnership and continued commitment to working together in an effort to fight wildlife crime in Minnesota.”The evidence presented at trial proved that Hoff lied to a USFWS official when asked whether he spoke on the telephone with Jensen about transporting two wolf carcasses that Jensen purposely killed with his vehicle on February 17, 2010. In fact, Hoff denied that any call had taken place. After the call, Jensen loaded the two gray wolves into his vehicle, traveled to Superior National Forest, and buried them with the use of a bulldozer, as instructed by Hoff. At the time, the gray wolf was listed as a threatened species under the Endangered Species Act. It was removed from that list in Minnesota in January of 2012.
This case was the result of an investigation by the USFWS and the Minnesota Department of Natural Resources. It was prosecuted by Assistant U.S. Attorney Laura M. Provinzino.Court Bars Florida Tax Return Preparer from Preparing Returns for OthersRead the Press Release
A federal district judge in Jacksonville, Fla., permanently barred Thomas G. Bandzul from preparing federal income tax returns for others, the Justice Department announced today.
According to the government complaint, Bandzul repeatedly prepared federal tax returns that unlawfully understated customers’ federal tax liabilities. The suit alleged that the defendant concocted bogus losses, expenses, education credits, business expenses, and charitable contributions, which he falsely reported on his customers’ federal income tax returns.
The suit alleged that the Internal Revenue Service has examined over 250 tax returns prepared by Bandzul and found that over 90 percent of tax returns understated the taxpayer’s liability. According to the complaint, the total harm to the U.S. Treasury caused by Bandzul’s misconduct could exceed $17 million.
In addition, Bandzul allegedly filed returns that claimed a refund larger than what Bandzul had disclosed to the taxpayer. Once the refund was paid, the suit alleged, Bandzul retained the additional amount without the taxpayer’s knowledge.
Bandzul consented to the entry of the injunction.
In the past decade the Justice Department’s Tax Division has obtained injunctions against hundreds of tax-return preparers and tax-fraud promoters. Information about these cases is available on the Justice Department website .
Cooper City Resident Sentenced for Tax Refund FraudRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation Division (IRS-CID), and Paula Reid, Special Agent in Charge, United States Secret Service (USSS), announced today’s sentencing of defendant David Forbes, 43, of Cooper City, Florida, on charges of theft of government monies resulting from his participation in a stolen identity tax refund scheme. At today’s hearing, U.S. District Judge Kenneth A. Marra sentenced Forbes to 48 months in prison. In addition, Forbes was sentenced to three years of supervised release and was ordered to pay restitution in the amount of $372,342.41.
Forbes had previously pled guilty to the theft of government funds in connection with an identity theft tax refund scheme in which the defendant converted more than $1,574,791.83 in tax refunds and had those amounts deposited into his personal and corporate bank accounts. These tax refund payments had been obtained through the filing of false tax returns using stolen personal identification information of unwitting victims. During the investigation and prosecution, defendant Forbes consented to the government’s seizure of $888,399.08. In addition, other bank accounts were identified and an additional $313,550.00 was frozen and returned to the government.
Mr. Ferrer commended the investigative efforts of the IRS-CID and Secret Service. The case is being prosecuted by Assistant U.S. Attorney Laurie Rucoba.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Coleman County, Texas, Man, Is Sentenced to 18 Months in Federal Prison and Ordered to Pay Nearly $300,000 in Restitution for Shooting at Crop DusterRead the Press Release
LUBBOCK, Texas — James R. Cate, 69, was sentenced late Friday afternoon, by U.S. District Judge Sam R. Cummings, to 18 months in federal prison and ordered to pay a total of $297,179 in restitution, following his guilty plea in November 2012 to a superseding information charging the federal felony offense of making a threat to an aircraft, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas. Judge Cummings ordered that Cate, who resides near Talpa, Texas, surrender to the Bureau of Prisons on April 12, 2013.
According to documents filed in the case, on February 29, 2012, Cate, using a Ruger Number One, 25-06 caliber single shot rifle with a Redfield scope, shot a crop duster plane. At the time Cate shot the aircraft, it was flying over a field neighboring Cate’s land near Talpa, dusting crops. Before he actually shot the aircraft, Cate fired three rounds from the rifle into the air. Cate admits that he threatened the aircraft to frighten the pilot away from his crops.
The last round that Cate fired hit the propeller of the aircraft, penetrated the engine cowling traveling toward the rear of the plane, passed through the firewall and the spray hopper (which contained nearly 500 gallons of chemical used for the crop spraying), entered the cockpit where it fragmented into multiple pieces (at least one of which tore through the leg of the jeans the pilot was wearing), then into the rear fuselage, all of which caused damage to the aircraft.
The investigation was conducted by the FBI and the Federal Aviation Administration. Deputy Criminal Chief Assistant U.S. Attorney Denise Williams prosecuted.
Career Criminal Sentenced to 14 ½ Years in Federal Prison for Trafficking Crack CocaineRead the Press Release
PROVIDENCE, R.I. –Rolando A. Rojas, 34, of Providence, was sentenced today to 175 months in federal prison for trafficking crack cocaine. Rojas, a career criminal who was previously convicted on drug trafficking, firearms, felony assault and robbery charges, was convicted by a federal court jury on July 18, 2012, with selling crack cocaine on three occasions to an undercover federal agent.
At sentencing, U.S. District Court Judge John J. McConnell also ordered Rojas to serve eight years of supervised release upon completion of his prison term. Rojas’ sentenced was announced by United States Attorney Peter F. Neronha and Eugenio A. Marquez, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Boston Field Office.
At trial, the government presented evidence that Rojas sold an undercover ATF agent nearly 28 grams of crack cocaine on January 10, 2011; two ounces of crack cocaine on February 17, 2011; and approximately four ounces of crack cocaine on March 1, 2011. All of the transactions were electronically recorded. The jury convicted Rojas on one count of distribution of cocaine base and two counts of distribution of 28 grams or more of cocaine base.
Rojas is awaiting trial in state court on a charge of murder in connection with the October 2010 alleged murder of Alfredo Barros, 20, of Pawtucket. Barros was allegedly shot and killed while he sat in a vehicle stopped at a red light.
The case was prosecuted by Assistant U.S. Attorney Richard W. Rose.
Providence, Central Falls and Pawtucket Police assisted ATF in the investigation of this matter.
Contact: 401-709-5357
[email protected]Blue Springs Man Pleads Guilty to Producing Child Porn; Faces at Least 15 Years in PrisonRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Blue Springs, Mo., man pleaded guilty in federal court today to producing child pornography and related charges.
Christopher R. Lockhart, 30, of Blue Springs, pleaded guilty before U.S. District Judge Beth Phillips to producing child pornography, attempting to distribute child pornography and possessing child pornography. Lockhart has been in federal custody since his arrest.
By pleading guilty today, Lockhart admitted that he used a minor – identified in the indictment as John Doe – to produce child pornography. Lockhart also admitted that he attempted to distribute an image of child pornography over the Internet on April 20, 2012, and that he was in possession of child pornography on May 30, 2012.
According to court documents, a detective with the Clay County Sheriff’s Department identified Lockhart’s computer during an undercover investigation of a peer-to-peer file-sharing network as containing child pornography. The detective downloaded 346 files from Lockhart’s computer, of which 161 files matched known suspected child pornography.
Law enforcement officers executed a search warrant at Lockhart’s residence on May 30, 2012, and seized numerous computers, including laptops, flash drives and other media. Some of them contained video files and images of child pornography, including a video produced by Lockhart of an adult man engaged in sex with the child victim, who is believed to be three years old at the time.
Under federal statutes, Lockhart is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 60 years in federal prison without parole, plus a fine up to $750,000. 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 Joseph M. Marquez. It was investigated by the Western Missouri Cyber Crimes Task Force and the Blue Springs, 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."Baltimore Police Officer Pleads Guilty to Drug Dealing and Gun Charge Uncovered by Federal WiretapRead the Press Release
Treacherous Officer Protected Drug Dealer, Filed False Police Reports, Planned Armed Robbery and Sold Stolen PropertyBaltimore, Maryland - Baltimore Police officer Kendell Richburg, age 36, of Baltimore, pleaded guilty today to conspiracy to distribute heroin and possession of a firearm in furtherance of drug trafficking.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Commissioner Anthony W. Batts of the Baltimore Police Department.
“Kendell Richburg’s treacherous conduct harms all police officers,” said U.S. Attorney Rod J. Rosenstein. “He helped a drug dealer avoid arrest while planning an armed robbery and filing false police reports about other suspects.”
“Kendell Richburg's unacceptable criminal actions are an affront to the law enforcement profession and the hard working men and women of the Baltimore Police Department,” said Baltimore Police Commissioner Anthony W. Batts. “Today's plea agreement is a victory for the citizens of Baltimore and a representation of this agency's unwavering commitment to accountability and the delivery of justice.”
According to his plea agreement, from June 2011 through October 2012, Richburg, who was assigned to the Violent Crimes Impact Section in the Northwestern District of the Baltimore Police Department, conspired with a street level drug trafficker to distribute heroin. Richburg’s co-conspirator was a registered confidential informant with the Baltimore Police Department. The co-conspirator sold drugs in the Pimlico area of Northwest Baltimore. Richburg provided information to the co-conspirator that permitted him to sell drugs without interference from law enforcement, telling the co-conspirator on a near daily basis when it was “safe” to go out to sell drugs. In return, the co-conspirator provided Richburg with information about his drug customers so that Richburg could arrest them. Richburg paid his co-conspirator, with official Baltimore Police Department funds for providing the information that resulted in the arrest of the drug customers. Richburg sometimes gave the co-conspirator back some of the drugs seized from the drug purchasers so that the co-conspirator could re-sell the drugs. Richburg falsified the arrest documents to eliminate the co-conspirator’s involvement, often falsely stating that Richburg had witnessed a drug transaction.
In early 2012, the FBI received information that Richburg was trafficking in stolen property, including iPhones, iPads and other electronics, and obtained a wiretap of Richburg’s cellphone. Intercepted conversations confirmed that Richburg was trafficking in stolen property and led to the discovery of Richburg’s drug trafficking.
Richburg and the co-conspirator were also overheard discussing the “planting” of evidence, and arranging an armed robbery. For example, on September 2, 2012, Richburg and the co-conspirator discussed having the co-conspirator plant a gun in an unlicensed cab, then having Richburg pull over and arrest the cab driver on a gun violation and pay the co-conspirator $350 to $400. On October 9, 2012, Richburg, armed with his service weapon, searched a person, without probable cause, and located a large amount of cash. The victim told Richburg that he had just received his paycheck. Richburg contacted his co-conspirator and arranged for the co-conspirator, whom Richburg knew was armed, to rob the victim, identifying where the victim was located.
Richburg faces a minimum mandatory sentence of five years in prison and a maximum of 40 years in prison for the drug conspiracy, and a minimum mandatory sentence of five years in prison, consecutive to any other sentence, and a maximum of life in prison for use of a firearm in relation to a drug trafficking crime. U.S. District Judge Richard D. Bennett scheduled sentencing for June 11, 2013, at 3:00 p.m. Richburg remains detained.
United States Attorney Rod J. Rosenstein praised the FBI and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys A. David Copperthite and Peter M. Nothstein, who are prosecuting the case.
Baltimore Immigration Judge Participates in Naturalization CeremonyRead the Press Release
BALTIMORE --Immigration Judge John F. Gossart, Jr. from the Executive Office for Immigration Review, Baltimore Immigration Court, delivered the keynote speech and administered the oath of allegiance to approximately 75 candidates during a naturalization ceremony at the George H. Fallon Federal Building in Baltimore, Md., on March 8, 2013. The Baltimore District Office of U.S. Citizenship and Immigration Services, Department of Homeland Security, hosted the ceremony.
Biographical Information
Attorney General William French Smith appointed Judge Gossart in October 1982. Judge Gossart received a bachelor of science degree in 1967 from the University of Maryland and a juris doctorate in 1974 from the University of Baltimore School of Law. From 1975 through 1982, he served in various positions at the former Immigration and Naturalization Service, including general attorney, trial attorney, and deputy assistant commissioner for naturalization. Since 1997, Judge Gossart has served as an adjunct professor of immigration law at the University of Baltimore School of Law; has been a faculty member at the National Judicial College; and has guest lectured at numerous law schools and for the Maryland Institute for Continuing Professional Education of Lawyers. From 1967 to 1969, he served in the U.S. Army. Judge Gossart is a member of the Maryland State and District of Columbia Bars.
- EOIR -
The Executive Office for Immigration Review (EOIR) is an agency within the Department of Justice. Under delegated authority from the Attorney General, immigration judges and the Board of Immigration Appeals interpret and adjudicate immigration cases according to United States immigration laws. EOIR’s immigration judges conduct administrative court proceedings in immigration courts located throughout the nation. They determine whether foreign-born individuals—whom the Department of Homeland Security charges with violating immigration law—should be ordered removed from the United States or should be granted relief from removal and be permitted to remain in this country. The Board of Immigration Appeals primarily reviews appeals of decisions by immigration judges. EOIR’s Office of the Chief Administrative Hearing Officer adjudicates immigration-related employment cases. EOIR is committed to ensuring fairness in all of the cases it adjudicates.
Executive Office for Immigration Review8 Men Indicted for Conspiring to Distribute More Than 1,000 Kilograms of MarijuanaRead the Press Release
MINNEAPOLIS—A federal indictment unsealed last week charges eight men for conspiring to distribute more than 1,000 kilograms of marijuana in Minnesota. The indictment, which was filed on March 5, 2013, charges Irineo Serio Moreno, age 34, of Minneapolis; Ryan Timothy Solon, age 34, of Eden Prairie; Christopher David Schumacher, age 35, of Bloomington; Shawn Andrew Withrow, age 38, of Shakopee; Jeremy Allen Anderson, age 38, of Circle Pines; Corey William Johns, age 27, of Mounds View; Arthur Eugene Johns, age 29, of New Brighton; and Matthew Ryan Waste, age 27, of Carnelian Bay, California; with one count of conspiracy to distribute marijuana. The indictment was unsealed on March 8, 2013, following the defendants’ initial appearance in federal court.
The indictment alleges that from January 2009 through December 20, 2012, the defendants conspired with each other and others to distribute 1,000 or more kilograms of marijuana.
If convicted, the defendants face a potential maximum penalty of life in prison. All sentences will be determined by a federal district court judge. This case is the result of an investigation by the United States Drug Enforcement Administration, the West Metro Drug Task Force, the West Hennepin Public Safety Department, the Medina Police Department, the Orono Police Department, the Mound Police Department, the Hennepin County Sheriff’s Office, and the Southwest Hennepin Drug Task Force. It is being prosecuted by Assistant U.S. Attorney LeeAnn K. Bell.
During the investigation, authorities have seized numerous items including pickup trucks, jet skis, trailers, vehicles, motorcycles, and more than $200,000 in cash. The U.S. is seeking forfeiture of all of these items.An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
12 Southeast Texas Residents Arrested on Federal Racketeering ChargesRead the Press Release
Department of Justice
Office of Public AffairsFour defendants face capital murder charges
BEAUMONT, Texas – Twelve Southeast Texas residents have been indicted and arrested in connection with a “white’s only” racketeering enterprise that engaged in methamphetamine distribution and murder in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
The four-count superseding indictment was returned by a federal grand jury on Mar. 7, 2013. Seven of the charged defendants were already in custody and the remaining five were arrested on Mar. 8, 2013. The indictment, which was unsealed today in the Eastern District of Texas, names Kenny Don Stanley, 25, of Vidor, Texas; Tanner Lynn Bourque, a/k/a “Two Shoes,” a/k/a “Hitman,” 33, of Port Arthur, Texas; Kristopher Leigh Guidry, a/k/a “Hollywood,” 28, of Vidor; Vicki Stark-Fitts, 49, of Hull, Texas; Craig Pipps, a/k/a “Lone Wolf,” 40, of Vidor; Erica Nicole Parrott, 27, of Vidor; Ricky Allen Nichols, 54, of Vidor; Michael Taylor Word, 45, of Silsbee, Texas; Juanette Marie Cunningham, a/k/a “Netty,” 46, of Vidor; Mikell Allen Cunningham, a/k/a “Mikey,” 28, of Vidor; Cassi Diane Hetzel, 37, of Silsbee; and Mack Langston Warner, 33, of Silsbee. The indictment alleges that six of the defendants, Stanley, Bourque, Guidry, Stark-Fitts, Pipps, and Mikell Cunningham, participated in the operation and management of the SWS gang. The defendants are scheduled to make initial appearances before U.S. Magistrate Judge Zack Hawthorn today.
According to the indictment, SWS is a race-based organization operating inside and outside of jails and prisons, primarily in Texas. SWS was founded during the 1990s by inmates within the Texas Department of Criminal Justice. SWS, which was founded as the “Stupid Woods,” is also known as “Solid Wood Soldiers” and “Separate White State.” SWS protects its power, territory, and profits through intimidation and violence, including assaults, robbery, and murder. SWS has a chain of command of president, vice-president, council, major, captain, lieutenant, sergeant, and soldier. SWS members, prospects, and associates refer to the gang as the "wolf pack," “pack,” or "family." The indictment states that SWS has a written constitution and bylaws that outline the duties, responsibilities, and requirements associated with membership. Prospective members, called “prospects,” must be “white” and sponsored by another SWS member. Prospects must serve a probationary period during which their conduct is observed by SWS members. During this period, prospects study and learn the SWS constitution and by-laws and may be required to “work” for the enterprise. “Work” means illegal activity. Prospects are considered part of the SWS family and are therefore subject to the rules and orders of the enterprise, including violent beatings known as “disciplines.” SWS leaders determine if and when a prospect is eligible for initiation into membership. SWS initiation requires a “blood in, blood out” commitment. That is, prospects are subject to a violent beating in order to become a “member.” Members or prospects that leave SWS are likewise subject to a violent beating.According to the indictment, SWS members, prospects, and associates are required to further SWS goals through criminal activity. Members and prospects are therefore required to commit that they will follow without question any order of SWS leadership. In particular, members and prospects are required, when ordered, to perform violent acts without hesitation. Maintaining power and avoiding loss of stature motivates SWS members, prospects, and associates to commit violent acts against individuals and groups believed to be disrespectful or detrimental to SWS.
The indictment charges four of the defendants, Stanley, Bourque, Guidry, and Stark-Fitts with murder in aid of racketeering. According to the indictment, on Mar. 14, 2011, the four used a firearm to murder James Lee Sedtal, a/k/a “Lil Bit,” in Liberty County, Texas. The indictment alleges that the four murdered Sedtal on behalf of SWS, after Sedtal assaulted Word, an Aryan Brotherhood of Texas (ABT) associate. The indictment states that ABT was poised to retaliate against SWS, and Bourque, Guidry, Stanley, and Stark-Fitts sought to maintain and increase their position within SWS by murdering Sedtal. If convicted of murder as charged, the defendants each face either life imprisonment or the death penalty. The indictment charges all of the defendants with conspiring to distribute methamphetamine between Sep. 2010 and Mar. 2011. If convicted of the conspiracy charge, the defendants each face from 10 years to life in federal prison.
This case is being prosecuted as part of the Project Safe Neighborhoods Time Machine Initiative. Time Machine is aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
The case is being investigated by the ATF, U.S. Marshals Service, U.S. Secret Service, DEA, FBI, U.S. Bureau of Prisons, Texas Rangers, Department of Public Safety CID, Texas Department of Criminal Justice OIG, Orange County Sheriff’s Office, Hardin County Sheriff’s Office, Jasper County Sheriff’s Office, Tyler County Sheriff’s Office, Jefferson County Sheriff’s Office, the Beaumont Police Department, and the Silsbee Police Department and is being prosecuted by Assistant U.S. Attorney John B. Ross.
A grand jury indictment is not evidence of guilt and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
####
Saturday 9 March 2013
Council Bluffs Man Sentenced on Firearm ChargesRead the Press Release
COUNCIL BLUFFS, IA – On March 8, 2013, Ronald Wayne Reed, II, age 27, of Council Bluffs, Iowa, was sentenced in United States District Court in Council Bluffs on the charge of felon in possession of a firearm, announced United States Attorney Nicholas A. Klinefeldt. Chief United States District Court Judge James E. Gritzner sentenced Reed to 46 months imprisonment, to be followed by a 2 years term of supervised release. The Court also ordered Reed to forfeit the firearm and ammunition which he had possessed, and to pay a $100.00 special assessment for the Crime Victim Fund. Reed remains in the custody of the United States Marshal pending designation of the Federal Bureau of Prisons facility at which he will serve his sentence.
On December 5, 2012, Reed pled guilty to the charge of felon in possession of a firearm. The charge arose out of the purchase by an undercover officer with the SouthWest Iowa Narcotics Task Force, of a .357 caliber revolver and ammunition.
This investigation was conducted by the SouthWest Iowa Narcotics Task Force and the Federal Bureau of Alcohol, Tobacco, Firearms and Explosives and was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
(Download Press Release )
Friday 8 March 2013
Wyoming Men Sentenced for Assault and Weapons PossessionRead the Press Release
U.S. Attorney for the District of Wyoming Christopher A. Crofts announced today that on March 4, 2013, Casey James Nowlin, a 28 year old Eastern Shoshone tribal descendant, was sentenced for five violent assault charges, one involving assault resulting in serious bodily injury and four counts involving assaults with a dangerous weapon with intent to do bodily harm in connection with Nowlin coming up behind young people at an alcohol party on the Wind River Indian Reservation and hitting them in the head and other areas with a log in April of 2012. In one instance, the victim suffered permanent and life threatening injury. Nowlin was sentenced by Chief U.S. District Judge Nancy Freudenthal to 137 months imprisonment, three years of supervised release, and a $500.00 special assessment.
Nowlin’s 19 year old codefendant, Lorenzo Roman, an enrolled Northern Arapaho Tribal member, was sentenced on March 4, 2013 in connection with his role in one count of assault with a dangerous weapon with intent to do bodily harm in connection with his role in kicking a victim who had already been hit in the head by Nowlin with a log and was lying on the ground. Roman was sentenced to 30 months imprisonment, two years of supervised release, and a $100.00 special assessment.
Nowlin was ordered to pay $154,694.34 in restitution in connection with the most seriously injured victim, $2441.00 jointly and severally with Roman in connection with a second victim’s injuries, and $3731.00 in connection with a third victim’s injuries.
Roman was ordered to pay $2441.00 jointly and severally with Nowlin in connection with injuries to the victim of his crime.United States Attorney Christopher A. Crofts announced today that Leo Lone Bear III a.k.a. “Bronco”, an enrolled Northern Arapaho Tribal member, appeared in federal court on March 6, 2013, for a preliminary hearing and detention hearing. Mr. Lone Bear had been recently charged by criminal complaint with one count of abusive sexual contact, in violation of 18 U.S.C. § 2244(a)(5) and 1153, which carries a potential penalty of up to life imprisonment. At the March 6th hearings held in Lander, Wyoming, Mr. Lone Bear was represented by counsel, at which time he waived his preliminary hearing and was detained pending further proceedings. The allegations against Mr. Lone Bear will now be presented to the federal Grand Jury for their consideration. A criminal complaint is only an accusation. In every criminal case, the accused is presumed to be innocent until proven guilty, and the government always has the burden of proving guilt at trial beyond a reasonable doubt.
Jacob Scott Anderson, 24, of Wellington, Colorado, was sentenced by Federal District Court Judge Clarence A. Brimmer on March 1, 2013, for attempted bank robbery. Anderson self-surrendered. He received 40 months of imprisonment, to be followed by three years of supervised release, and was ordered to pay a $100.00 special assessment and a $500.00 fine. This case was investigated by the Federal Bureau of Investigation.
U.S. Attorney for the District of Wyoming Christopher A. Crofts announced today that on March 4, 2013, David M. Gehl, 26, a non-tribal member from Fort Washakie, was charged with possessing an unregistered illegal firearm, that is, a weapon made from a shotgun with a barrel less than 18 inches in length, in violation of Title 26, United States Code Sections 5841, 5845(a)(1) and (d), 5861(d), and 5871. These charges are punishable by up to 10 years imprisonment, a $10,000 fine or both. A criminal complaint is only an accusation. In every criminal case, the accused is presumed to be innocent until proven guilty, and the government always has the burden of proving guilt at trial beyond a reasonable doubt.