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19 April 2013
Prestonsburg Doctor Pays U.S. Government $50,000 to Settle Civil AllegationsRead the Press Release
CITY, KY - Kerry B. Harvey, U.S. Attorney for the Eastern District of Kentucky, and Robert L. Corso, Special Agent in Charge, Drug Enforcement Administration (DEA) jointly announced today that a physician from Prestonsburg, Ky., paid the U.S. Government $50,000 to settle civil claims that she failed to account for nearly 5,000 prescription pills at her office.
According to the settlement agreement, the U.S. Government contends that, from June 2009 until May 2012, Dr. Laura Hazeltine failed to maintain accurate inventory records of controlled substances. More specifically, the Government contends that an audit conducted by the DEA revealed Hazeltine, who practices family medicine, couldn’t account for 4,967 pills and at least 10 purchasing records for controlled substances.
In addition to the monetary settlement amount, Dr. Hazeltine surrendered her DEA registration.
Doctors are only allowed to write prescriptions for controlled substances if they are registered with the DEA. DEA registrants are required by federal law to maintain complete and accurate inventory and dispensing records of all controlled substances.
The investigation was conducted by the DEA. Assistant U.S. Attorney Valorie D. Smith represented the U.S. Attorney’s Office in this case.
Pittsburgh Man Pleads Guilty to Mail Fraud, Witness Tampering & False StatementsRead the Press Release
PITTSBURGH, Pa. - A resident of North Huntingdon, Pa., pleaded guilty in federal court to one count of mail fraud, one count of witness tampering and one count of false statements to the government, United States Attorney David J. Hickton announced today.
Danny A. Patel, 45, pleaded guilty to three counts before Chief United States District Judge Gary L. Lancaster.
In connection with the guilty plea, the court was advised that Patel managed a BP gas station in McKeesport, Pa. Patel submitted false insurance claims to Harleysville Insurance Company arising from a December 25, 2011 accident at the BP. Patel also admitted that he lied to FBI agents and obstructed justice by asking witnesses to lie to FBI agents.
Judge Lancaster scheduled sentencing for Friday, July 26, 2013 at 10:00 a.m. The law provides for a total sentence of 30 years in prison, a fine of $750,000.00, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the criminal history, if any, of the defendant.
Pending sentencing, the court continued the bond.
Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Patel.
Pilot and Passenger Arrested and Charged with Possession with Intent to Distribute MarijuanaRead the Press Release
CBP Air Interdiction Met Plane When it Landed in Lubbock
LUBBOCK, Texas — Two men, who flew into Lubbock and arrived at Lubbock Aero on Wednesday evening, April 17, 2013, Michael Gallanter, 48, and Ethan Oliver Wynne-Wade, 31, have been arrested and charged in a federal criminal complaint with possession with intent to distribute marijuana. Both men, residents of San Francisco, California, made their initial appearance in federal court this afternoon, before U.S. Magistrate Judge E. Scott Frost, who ordered them detained pending hearings set for next Wednesday, April 24, 2013. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to the complaint filed, law enforcement received intelligence that Gallanter filed a flight plan from Northern California to Atlanta, Georgia. Gallanter traveled as the pilot along with passenger Wynne-Wade on a Piper PA28-181 aircraft; the aircraft appeared to have been rented by Gallanter. The aircraft departed California on April 17, flew to the Page, Arizona, area to refuel and arrived at the Lubbock Aero airport at approximately 10:00 p.m. to again refuel.
U.S. Customs and Border Protection (CBP) Air Interdiction agents met Gallanter as he deplaned and per their request, Gallanter provided them with the appropriate flight paperwork. The plane was then searched by special agents with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and CBP Air Interdiction, as well as officers with the Lubbock Police Department (LPD) and the LPD’s canine unit. Several duffel bags that contained approximately 98 bundles of marijuana, four bundles of hash and two bundles of mushrooms, containing Psilocin or Psilocybin, were located in a compartment near the rear of the aircraft.
A federal criminal complaint is a written statement of the essential facts of the offense charged, and must be made under oath before a magistrate judge. A defendant is entitled to the presumption of innocence until proven guilty. The U.S. Attorney’s office has 30 days to present the matter to a grand jury for indictment. The penalty for the charged offense is up to 20 years in federal prison, a fine not to exceed $1,000,000 and a term of supervised release of at least three years up to life.
The investigation is being conducted by ICE HSI, CBP Air Interdiction, the Drug Enforcement Administration and the Lubbock Police Department. Assistant U.S. Attorney Jeffrey R. Haag is in charge of the prosecution.
Philadelphia La Cosa Nostra Capo <br /> Pleads Guilty to Racketeering ConspiracyRead the Press Release
Anthony Staino, 55, of Swedesboro, N.J., pleaded guilty yesterday to participating in a racketeering conspiracy as a capo in the Philadelphia La Cosa Nostra (LCN) Family and committing loan sharking and illegal gambling.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Zane David Memeger of the Eastern District of Pennsylvania and Edward J. Hanko, Special Agent in Charge of the FBI’s Philadelphia Division, made the announcement after the plea was accepted by U.S. District Judge Eduardo C. Robreno of the Eastern District of Pennsylvania.
Staino pleaded guilty to conspiring to conduct and participate in the affairs of the Philadelphia LCN Family through a pattern of racketeering activity. He faces a maximum penalty of 70 years in prison when he is sentenced on Jul. 17, 2013.
Through court documents and statements yesterday in court, Staino admitted that, as a made member and capo of the Philadelphia LCN Family, he gave a usurious loan to an undercover FBI agent and used threats of violence to collect payments on the loan. Staino also admitted that he ran an illegal electronic gambling device business for the mob, providing video poker machines and other gambling devices for bars, restaurants, convenience stores, coffee shops and other locations in Philadelphia and its suburbs, and then collected the illegal gambling proceeds.
The case is being investigated by the FBI, the Internal Revenue Service-Criminal Investigation, the Pennsylvania State Police, the New Jersey State Police, the Philadelphia Police Department, the U.S. Department of Labor’s Office of Inspector General Office of Labor Racketeering and Fraud Investigations and the U.S. Department of Labor’s Employee Benefits Security Administration. Additional assistance was provided by the New Jersey Department of Corrections.
The case is being prosecuted by Trial Attorney John S. Han of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys Frank A. Labor III and Suzanne B. Ercole of the Eastern District of Pennsylvania. Valuable prosecutorial assistance was provided by the Pennsylvania Office of the Attorney General.
Parking Lot Manager Pleads Guilty to Conspiring to Steal Approximately $ 1.4 Million in Parking Fees from Smithsonian MuseumRead the Press Release
ALEXANDRIA, Va. – Abeselom Hailemariam, 33, of Alexandria, Va., pleaded guilty today for his participation in a conspiracy to steal approximately $1.4 million of visitor parking fees when he was employed by Parking Management, Inc., (PMI), the company contracted to manage parking services at the Smithsonian Institution’s Steven F. Udvar-Hazy Center in Chantilly, Va.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Scott S. Dahl, Inspector General for the Smithsonian Institution; and Valerie Parlave, Assistant Director in Charge of the FBI Washington Field Office, made the announcement after the plea was accepted by United States District Judge T.S. Ellis, III.
The plea follows Hailemariam’s March 5, 2013, arrest at Dulles International Airport by agents of the Smithsonian Office of Inspector General and Federal Bureau of Investigation.
Hailemariam faces a maximum penalty of five years in prison when he is sentenced on July 19, 2013.
Hailemariam was a full-time location manager for PMI, which managed the 2,000-vehicle parking lot at the Udvar-Hazy Center. Between March 2009 and July 2012, Hailemariam supervised the PMI booth attendants at the location, accounted for revenues from visitor vehicles that entered the parking lot, and submitted operations reports to PMI and the Smithsonian. Over the course of three years, Hailemariam and several booth attendants at the site conspired to steal cash entrance fees paid by tens of thousands of museum visitors. With Hailemariam’s knowledge and approval, the booth attendants withheld parking ticket stubs from paying customers and unplugged electronic vehicle counters in the entrance booths. At the end of each shift, these attendants would submit false shift summary report to Hailemariam that under-reported the number of vehicles which had entered the parking lot. Hailemariam compiled the fraudulent data and submitted falsified reports to PMI, which were provided to the Smithsonian. Some of the booth attendants paid Hailemariam a share of the stolen revenues at the end of the day by bundling unreported cash with the shift summary reports. Hailemariam also gave instructions to conspiring booth attendants to stop stealing at certain times when the co-conspirators believed the risk of detection of the conspiracy was high. The total loss due to the conspiracy is at least $1,383,195. Based on the $15 entrance fee, it is estimated that Hailemariam participated in a conspiracy that stole from at least 92,213 visitor vehicles over the course of the crime.Prior to today’s guilty plea, former PMI employees Meseret Terefe, 37, of Silver Spring, Md. and Freweyni Mebrahtu, 46, of Sterling, Va., were also convicted and have been sentenced to 20 months and 27 months in prison, respectively, for their roles in the thefts.
The investigation was initiated by the Smithsonian Office of the Inspector General and jointly investigated with the Federal Bureau of Investigation. Assistant United States Attorney Jasmine Yoon and Special Assistant United States Attorney James McDonald are prosecuting the case on behalf of the United States.A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.
Omaha, Nebraska Resident Sentenced to 48 Months for Conspiracy to Distribute MarijuanaRead the Press Release
COUNCIL BLUFFS, IA - On April 18, 2013, David L. Lopez, Jr., a 40 year old resident of Omaha, Nebraska, was sentenced by United States District Court Chief Judge James E. Gritzner to 48 months imprisonment for Conspiracy to Distribute Marijuana, announced United States Attorney Nicholas A. Klinefeldt. Chief Judge Gritzner also ordered Lopez to serve a three year term of supervised release following incarceration.
On February 8, 2013, Lopez, Jr. pled guilty to a charge of conspiring to distribute marijuana in Omaha, and Council Bluffs, Iowa. The charge was the result of an investigation conducted by several law enforcement agencies into the importation and distribution of marijuana by a known drug trafficking group. On December 5, 2011, Lopez was being observed by law enforcement as he traveled between Omaha, Nebraska and Council Bluffs, Iowa. Lopez was found to be transporting over 60 pounds of marijuana to a known drug house in Council Bluffs, Iowa, for the drug trafficking group.
The investigation was conducted by the Council Bluffs, Iowa, Police Department, the Southwest Iowa Narcotics Task Force, Omaha Police Department, Iowa Division of Narcotic Enforcement, the Pottawattamie County Attorney’s Office, and the Drug Enforcement Administration. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
(Download Press Release )
Ohio Resident Enters Plea to Cocaine Conspiracy ChargeRead the Press Release
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WHEELING, WEST VIRGINIA - A 35-year old Martins Ferry, Ohio, resident entered a plea of guilty on April 17, 2013, in United States District Court in Wheeling before Magistrate Judge James E. Seibert.
United States Attorney William J. Ihlenfeld, II, announced that SHERMAN L. GRIFFIN entered a plea of guilty to “Conspiracy to Distribute More than 500 Grams of Cocaine.” As part of his plea, GRIFFIN will forfeit $1,155 seized from him on December 19, 2012, which constitutes proceeds from the drug activity. GRIFFIN, who is free on bond, faces
5 to 40 years in prison and a $2,000,00 fine.The case was prosecuted by Assistant United States Attorney John C. Parr and were investigated by the Ohio Valley Drug & Violent Crime Task Force, consisting of officers from the Wheeling Police Department, the Ohio County Sheriff’s Department, the West Virginia State Police, and the Drug Enforcement Administration.
New Bedford Man Convicted of Passport FraudRead the Press Release
BOSTON – Following a jury trial, a New Bedford man was convicted of passport fraud.
John Doe a/k/a Jose L. Cosme was convicted of two counts of passport fraud. United States District Judge Douglas P. Woodlock scheduled sentencing for July 18, 2013.
On January 5, 2008, the defendant submitted an application for a U.S. passport at the U.S. Postal Office in New Bedford, representing himself as Jose L. Cosme, born in Bayamon, Puerto Rico. The defendant also claimed that his date of birth, social security number, and parents were those that in reality pertained to the true Jose L. Cosme. The defendant affixed his photograph to the application and provided other information required, including his mailing and residential address, which he reported as a New Bedford address. As proof of U.S. citizenship and identity, the defendant provided a birth certificate issued by the Commonwealth of Puerto Rico and a Massachusetts identification card, both in the name of Jose. L. Cosme. The defendant swore to the truth of the statements made in the application before a U.S. Postal Clerk. In due course, the U.S. State Department approved the application and issued a passport to the defendant in the name of Jose L. Cosme.
On May 12, 2012, after arriving at Logan International Airport on a flight from the Dominican Republic, the defendant traveling under the name of Jose L. Cosme attempted to use the issued passport and was referred by a U.S. Customs & Border Protection Officer to secondary admissibility inspection. During questioning, the defendant was unable to provide basic biographical information about his life in Puerto Rico and information regarding his family. A subsequent investigation by the U.S. State Department’s Bureau of Diplomatic Security revealed that the defendant assumed the identity of the true Jose L. Cosme.
The statutory maximum penalty is 10 years in prison, followed by three years of supervised release and a fine of up to $250,000 on each count.
United States Attorney Carmen M. Ortiz; William Wommack, Acting Special Agent in Charge of the U.S. Bureau of Diplomatic Security, Boston Field Office; and Kevin Weeks, Director of Field Operations of U.S. Customs & Border Protection, made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Robert E. Richardson and Carlos A. Lopez of Ortiz’s Major Crimes Unit.
Morgantown Resident Convicted for Being A Convicted Felon in Possession of A FirearmRead the Press Release
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CLARKSBURG, WEST VIRGINIA — A 30 year-old Morgantown, West Virginia, resident was convicted on April 18, 2013, by a Clarksburg jury on one count. The trial lasted two days, concluding early Thursday evening. Judge Irene M. Keeley presided over the trial.
United States Attorney William J. Ihlenfeld, II, announced that: SAMAD MADIR HARVEY a/k/a “WES,” was convicted of Possession of a Firearm on September 16, 2012, in Monongalia County after having previously been convicted of a crime punishable by imprisonment for a term exceeding one year. HARVEY had prior felony convictions from the Superior Court of Monmouth, New Jersey for Possession of Controlled Dangerous Substance and Distribution of Controlled Dangerous Substance.
Trial evidence indicated that HARVEY illegally possessed a Kel-Tec Model PSAT, .380 caliber pistol.
HARVEY, who is in custody pending sentencing, faces up to 10 years imprisonment and a $250,000 fine.
The case was prosecuted by Assistant United States Attorney Zelda E. Wesley and investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Morgantown Police Department.
Montgomery Man Sentenced in Bank Robbery CaseRead the Press Release
Montgomery, Alabama - Darrin Joseph Bell, 35, of Montgomery was sentenced yesterday to more than 7 years for the October 5, 2011 armed robbery of the Community Bank and Trust (CB&T) on the Eastchase Parkway in Montgomery, Alabama.
United States District Court Judge W. Keith Watkins sentenced Bell to 90 months in the Bureau of Prisons, 3 years of Supervised Release, a $200 court assessment fee, and $1524 in restitution to the bank.
When Bell pled guilty on January 4, 2013, he admitted that on October 5, 2011, he entered the business wearing a motorcycle helmet, jacket, gloves, dark blue jeans and black shoes and approached the teller with a blue book bag. Bell pulled a silver semi-automatic handgun out of the backpack, showed it to the teller with instructions to “fill it up”. The teller handed Bell over $1,500 dollars, and placed the money and the gun in the book bag. Bell then escaped on a motorcycle.
The Montgomery Police Department, in conjunction with the Federal Bureau of Investigation, developed Bell as a suspect, got a search warrant for his home and, upon searching the residence, located the motorcycle, helmet, gloves and jacket worn by the bank robber. Bell initially denied any involvement in the bank robbery and attempted to provide an alibi which law enforcement quickly refuted.
“Bank robbery is a crime that endangers innocent bank workers and innocent bank customers,” stated U.S. Attorney Beck. “Often these victims are incredibly traumatized. People deserve to feel safe in their workplace and at their bank. We will continue to vigorously prosecute those criminals who use guns to unfairly put the public in danger.”
The case was investigated by the Federal Bureau of Investigation and the Montgomery Police Department with assistance from the United States Marshal’s Service and the Montgomery County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Susan R. Redmond.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Mission Man Pleads Guilty to Assaulting A Federal OfficerRead the Press Release
United States Attorney Brendan V. Johnson announced that Jody Brave, age 42, of Mission, South Dakota appeared before U.S. District Judge Roberto A. Lange on April 16, 2013 and pled guilty to Assaulting, Resisting, Opposing, and Impeding a Federal Officer. The maximum penalty upon conviction is 20 years in custody, a $250,000 fine, or both; 3 years of supervised release; and a $100 special assessment.
The conviction stems from an incident that took place on November 6, 2012, when Brave engaged in an altercation with a law enforcement officer during a home disturbance call. Brave grabbed a chain that had a padlock attached to the end, wrapped the end of the chain around his fist, and swung the padlock weighted end of the chain at the officer three times.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case is being prosecuted by Assistant U.S. Attorney Timothy M. Maher.
A presentence investigation was ordered and a sentencing date was set for July 8, 2013. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
Minnesota Man Pleads Guilty to Failure to Pay Child SupportRead the Press Release
United States Attorney Brendan V. Johnson announced that Larry T. Davis, age 38, of Marshall, Minnesota appeared before U.S. Magistrate John E. Simko on April 12, 2013 and pled guilty to Information that charged him with Failure to Pay Legal Child Support. The maximum penalty upon conviction is six months' imprisonment; a $5,000.00 fine; a $10.00 assessment fee; and child support restitution amount owing at the time of sentencing.
On or about January 1, 2010, a past due child support obligation was imposed on Davis by the Third Judicial Circuit Court, Brookings County, South Dakota for the benefit of his minor child. The obligation went unpaid for more than one year and was in an amount greater than $5,000. At that time, the defendant was residing in Minnesota while his minor child resided in South Dakota. From that date and continuing to the present, Davis has willfully and unlawfully failed to pay this past due child support obligation.
The investigation was conducted by the Department of Health and Human Services, Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Thomas J. Wright.
A presentence investigation was ordered and a sentencing date was set for May 3, 2013. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
Mills County, Iowa Resident Sentenced to 135 Months for Manufacturing MethamphetamineRead the Press Release
COUNCIL BLUFFS, IA - On April 18, 2013, Adam Michael Blackman, a 40 year old resident of Mills County, Iowa, was sentenced by United States District Court Chief Judge James E. Gritzner to 135 months imprisonment for Manufacturing Methamphetamine, announced United States Attorney Nicholas A. Klinefeldt. Chief Judge Gritzner also ordered Blackman to serve an eight year term of supervised release following incarceration.
On January 9, 2013, Blackman pled guilty to a charge of manufacturing at least five grams of methamphetamine in Hamburg, Iowa. The charge was the result of an investigation conducted by several law enforcement agencies into the manufacturing and distribution of methamphetamine by Blackman. On May 1, 2012, the Fremont County Sheriff’s Office located an active methamphetamine manufacturing operation in an apartment building in Hamburg, Iowa. Blackman, along with several other people were found at the location of the manufacturing operation. Blackman admitted he was manufacturing methamphetamine when the Fremont County Sheriff’s investigators arrived.
The investigation was conducted by the Fremont County Sheriff’s Office, the Mills County, Iowa, Sheriff's Office, Iowa State Patrol, and the Iowa Division of Narcotics Enforcement. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Methamphetamine Transport Coordinator Found Guilty at TrialRead the Press Release
PHOENIX – Indalecio Castro-Ponce, 40, of San Luis, Ariz., was found guilty of one count of conspiracy to possess with intent to distribute methamphetamine and two counts of possession with intent to distribute methamphetamine, by a federal jury in Phoenix. The case was tried before U.S. District Judge Susan R. Bolton between April 4 and April 12, 2013. The defendant is being held after trial. Sentencing is set before Judge Bolton on July 8, 2013.
“This verdict sends the message that those who attempt to profit by distributing large amounts of methamphetamine will be prosecuted and subjected to very long terms of imprisonment,” said U.S. Attorney John S. Leonardo.
The evidence at trial showed that Castro-Ponce conspired with others, including his wife and teenaged son, to distribute methamphetamine to various locations in the Southwestern United States, including Salt Lake City, Utah; Las Vegas, Nev.; Fresno, Calif.; Sunland, Calif.; and Moreno Valley, Calif. Castro-Ponce made more than 20 drug trafficking-related trips between February and July 2012, frequently taking his children and wife with him in order to attempt to disguise his activities. Following visits by Castro-Ponce, law enforcement seized more than three pounds of 96% pure “ice” methamphetamine from a location in Fresno, and more than seven pounds of methamphetamine from a location in Moreno Valley. Law enforcement agents also seized more than $200,000 cash from the same locations.
Convictions for conspiracy to possess methamphetamine with intent to distribute and possession of methamphetamine with intent to distribute each carry a maximum penalty of life imprisonment, a $10,000,000 fine, or both.
The investigation in this case was conducted by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations in Yuma, Ariz., with assistance from HSI-Fresno, HSI-Riverside County, HSI-Salt Lake City, HSI-Las Vegas, and HSI-Phoenix, the Drug Enforcement Administration, the Federal Bureau of Investigation, the LA-IMPACT Task Force, the INCA Task Force, and the Fresno County Sheriff’s Office. The prosecution was handled by Krissa Lanham and William Bryan, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1363
RELEASE NUMBER: 2013-029_Castro-Ponce# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/azMemphis Tax Preparer Sentenced for Conspiracy to File False Tax ReturnsRead the Press Release
Memphis, TN – Terry Roberts, 41, of Memphis, TN, was sentenced April 17, 2013, to 27 months in federal prison, announced Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee.
# # # #
On January 15, 2013, Roberts pled guilty to conspiring to file false tax returns. According to information presented in the indictment, Roberts was an employee at the Memphis tax preparation company, Money in Your Hands Tax Service. As an employee at Money in Your Hands Tax Service, Roberts conspired with others to assist in the preparation of false tax returns for clients.
The false returns claimed false tax credits, such as First Time Homebuyers Credit, Earned Income Credit and Education Credit, and reported false income figures, resulting in tax refunds being generated for which the individuals were not entitled. Roberts and the other conspirators would then split the refunds generated by the false tax returns. Roberts and his co-conspirators received approximately $2,000.00 out of each tax refund paid.
In addition to the prison sentence, Chief District Judge Jon P. McCalla ordered Roberts to pay restitution of $100,000 to the Internal Revenue Service (IRS) and to serve three years of supervised release. This investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney Lawrence J. Laurenzi represented the government.Melvin Jeovany Vasquez Indicted for Illegal ReentryRead the Press Release
MELVIN JEOVANY VASQUEZ, age 30, a citizen of Honduras, was charged in a one-count indictment by a Federal Grand Jury today with illegal reentry by an alien previously removed, announced U.S. Attorney Dana J. Boente.
According to the indictment, on or about April 7, 2013, VASQUEZ, an alien who had previously been removed from the United States, was found in the United States, within the Eastern District of Louisiana, without having obtained consent from the Secretary of the Department of Homeland Security to reapply for admission to the United States.
If convicted, VASQUEZ, who was convicted of a felony prior to his previous removal, faces a maximum term of imprisonment of 10 years, a fine of $250,000.00 and 3 years of supervised release following any term of imprisonment.
U. S. Attorney Boente reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was investigated by United States Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE) as part of Operation Safe Neighborhood. The prosecution is being handled by Special Assistant United States Attorney Robert Weir.
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Maryland Resident Enters Plea to Failure to Update Sex Offender RegistrationRead the Press Release
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CLARKSBURG, WEST VIRGINIA — A 36-year old Baltimore, Maryland, resident entered a plea of guilty on April 16, 2013, in United States District Court in Clarksburg before Magistrate Judge John S. Kaull.
United States Attorney William J. Ihlenfeld, II, announced that: TIMOTHY WAYNE WALDEN entered a plea of guilty to “Failure to Update Sex Offender Registration.” From November 12, 2012, to January 17, 2013, in Bayard, West Virginia, WALDEN knowingly failed to update a registration pursuant to the Sex Offender Notification Act. WALDEN, who is in custody pending sentencing, faces up to 10 years imprisonment and a $250,000 fine.
These cases was prosecuted by Assistant United States Attorney Shawn A. Morgan and were investigated by the United States Marshals Service.
Manhattan U.S. Attorney Announces Convictions of Two U.S. Citizens for Conspiring to Aid the TalibanRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced today that ALWAR POURYAN and ODED ORBACH, two U.S. citizens, were found guilty of conspiring to provide material support to the Taliban and conspiring to acquire anti-aircraft missiles. The case arose from a U.S. Drug Enforcement Agency (“DEA”) undercover operation in which the defendants agreed to provide various military-grade weapons, including heat-seeking surface-to-air missiles, to an individual they believed to represent the Taliban. POURYAN and ORBACH were convicted after a two-week bench trial before U.S. District Judge Naomi Reice Buchwald.
Manhattan U.S. Attorney Preet Bharara stated: “By agreeing to sell arms to a source they believed represented the Taliban, Alwar Pouryan and Oded Orbach betrayed their country, and all the U.S. citizens they were willing to put in harm’s way. Now they stand convicted and will pay the price for their crimes and their betrayal. I want to thank our international law enforcement partners for their extraordinary efforts and cooperation, in particular, the DEA, and the dedicated prosecutors from this Office for their outstanding work in prosecuting this case.”
According to evidence presented at trial and documents previously filed in Manhattan federal court:
Beginning in the fall of 2010, and continuing through their arrests on February 10, 2011, POURYAN and ORBACH communicated with a confidential source (the "CS") working with the DEA who purported to represent the Taliban. The communications occurred by telephone, via e-mail, and in a series of audio-recorded and videotaped meetings over several months.
During meetings in Ghana, Ukraine, and Romania beginning in November 2010, POURYAN and ORBACH, at different times, agreed to arrange the sale of weapons to the CS for the Taliban’s use against U.S. military forces in Afghanistan. At the meetings, POURYAN and ORBACH discussed weapons specifications, pricing, and the provision of training in the use and deployment of various weapons, including, among others, “Stinger” surface-to-air missiles, anti-tank missiles, grenade launchers, and M-16 assault rifles. POURYAN and ORBACH were informed that the surface-to-air missiles, in particular, were needed to protect Taliban heroin laboratories against attacks by U.S. helicopters. The defendants also offered to provide regular shipments of ammunition. In total, POURYAN and ORBACH agreed to provide over $25 million in weapons, ammunition, and training, and expected to make over $800,000 in commissions in connection with the transaction.
The evidence also included internal e-mail and Skype communications between the defendants, which showed them discussing the various weapons requested by the purported Taliban representative, drafting price lists and payment schedules for the weapons, and creating internal budget documents that reflected the expenses and anticipated income from the weapons deal. The evidence also included emails from ORBACH to third-party weapons suppliers seeking to obtain certain of the requested weapons.
Following the final meeting in Bucharest, Romania on February 10, 2011, POURYAN and ORBACH were arrested by Romanian authorities in coordination with the DEA. On April 29, 2011, the defendants were transferred by the Government of Romania to the custody of the United States to face charges in the Southern District of New York.
POURYAN, 38, of Phoenix, Arizona, and ORBACH, 55, of Highland Park, Illinois, each face a maximum sentence of life in prison and a mandatory minimum sentence of 25 years in prison for the anti-aircraft missile count. They also face a maximum sentence of 15 years for the material support count. The defendants are scheduled to be sentenced by Judge Buchwald on September 4, 2013.
The charges, arrests, transfers, and prosecution of the defendants were the result of close cooperation among the U.S. Attorney’s Office for the Southern District of New York, the Special Operations Division of the DEA, the DEA Warsaw Country Office, the DEA Ghana Country Office, the DEA Athens Country Office, the DEA SECI (South East European Cooperative Initiative Regional Center for Combating Transborder Crime), the Criminal Division’s Office of International Affairs and the National Security Division of the U.S. Department of Justice, the U.S. Attorney’s Office for the Northern District of Illinois, the U.S. Department of State, U.S. Immigration and Customs Enforcement, and the governments of Romania and Ukraine.
Mr. Bharara expressed his sincere gratitude for the work of the Romanian National Prosecutor’s Directorate for Investigating Organized Crime and Terrorism, the Romanian Prosecutor’s Office of the Court of Appeals, and the Romanian National Police Directorate for Investigating Organized Crime.
This prosecution is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Christian R. Everdell, Aimee Hector, and Glen A. Kopp are in charge of the prosecution.
Manhattan U.S. Attorney Announces Arrest of NYPD Officer for Tax Fraud and Identity TheftRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, Toni Weirauch, the Special Agent-in-Charge of the New York Field Division of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), and Thomas H. Mattox, the Commissioner of the New York State Department of Taxation and Finance (“DTF”), announced today the arrest of Jonathan Wally, an NYPD Police Officer, for tax fraud and identity theft offenses. WALLY was arrested yesterday in Bronx, New York, and presented in Manhattan federal court yesterday before U.S. Magistrate Judge James C. Francis IV.
Manhattan U.S. Attorney Preet Bharara said: “As alleged, Jonathan Wally was enforcing the law by day, and breaking it at night. Identity theft and tax fraud are urgent and widespread problems, and it is especially troubling when they are crimes committed by those entrusted with enforcing the law, as is alleged here.”
IRS Special Agent-in-Charge Toni Weirauch said: “IRS-Criminal Investigation is involved in this investigation for two reasons. First, IRS Criminal Investigation has made investigating stolen identity refund fraud a top priority. The filing of fraudulent tax returns using stolen identities can cause significant financial harm to the victims of ID theft, as well as a monetary loss for the U.S. Treasury. Secondly, no law enforcement officer is above any law; we have the same duty to pay our fair share of taxes as any other American citizen. IRS-Criminal Investigation is committed to ensuring that everyone pays their fair share.”
DTF Commissioner Thomas H. Mattox said: “I commend U.S. Attorney Bharara for his ongoing diligence in identifying and prosecuting tax fraud. It is particularly egregious when a police officer, whom we trust to enforce the law, is alleged to have used stolen identities to steal tax dollars for himself and his clients. Tax preparers are critical to the financial well-being of their clients, and we remind all taxpayers to be vigilant when selecting a tax professional.”
According to the Complaint unsealed yesterday in Manhattan federal court and statements made yesterday in court:
WALLY has been employed by the NYPD as a Police Officer assigned to the 34th Precinct located in the Washington Heights/Inwood section of New York, New York since 2003. Since at least 2008, WALLY also served as a tax preparer for individuals. Although the NYPD requires its Police Officers to obtain written authorization to engage in off-duty employment, WALLY never sought or obtained such authorization to work as a tax preparer.
From 2010 through April 2012, WALLY defrauded the IRS by causing it to issue tax refunds to other individuals based on fraudulent and false U.S. individual income tax returns (“tax returns”) prepared and filed by WALLY on behalf of those taxpayers.
During that time period and continuing through January 2013, WALLY further defrauded the IRS by preparing and filing fraudulent and false tax returns on his own behalf that failed to declare certain income, causing him to receive tax refunds to which he was not entitled.
In connection with the fraudulent tax return scheme, WALLY obtained personal identifying information of children and Social Security cards in the names of other children that he used to declare them as dependents on false and fraudulent tax returns he prepared and filed on behalf of others and himself.
As a result of the false and fraudulent tax returns prepared and filed by WALLY on behalf of other individuals, the IRS paid them at least $119,793 in fraudulent tax refunds. The false and fraudulent tax returns prepared and filed by WALLY on his own behalf caused the IRS to pay him at least $4,850 in fraudulent tax refunds. In addition, from 2010 up to and including the present, WALLY failed to pay the IRS at least $19,487 in income taxes that he owed based on income he earned as a tax preparer but failed to declare on his tax returns.
WALLY, 33, of Bronx, New York, is charged with five counts. Counts One and Two charge him with aiding and abetting the filing of a false and fraudulent tax return, and subscribing to a false and fraudulent tax return, respectively. Counts One and Two each carry a maximum sentence of three years in prison. Counts Three and Four charge WALLY with identify theft and Count Five charges WALLY with aggravated identity theft. Counts Three and Four each carry a maximum sentence of 15 years in prison, and Count Five carries a mandatory minimum sentence of two years in prison.
Mr. Bharara praised the investigative work of the IRS, DTF, the U.S. Drug Enforcement Agency, and the Internal Affairs Bureau of the New York City Police Department.
This prosecution is being handled by the Office's Public Corruption Unit. Assistant United States Attorney Carrie H. Cohen is in charge of the prosecution.
U.S. v. Jonathan Wally Complaint
Man Sentenced to 10 Years in Federal Prison for Lying in Terrorism Investigation and False Claim ConspiracyRead the Press Release
Orlando, Florida - Senior U.S. District Judge Gregory A. Presnell today sentenced Jonathan Paul Jimenez (28) to 10 years in federal prison for making a false statement to a federal agency in a matter involving international terrorism, and conspiring to defraud the Internal Revenue Service. Jimenez was also ordered to serve a 3-year term of supervised release, upon his release from prison, and to pay $5,587 in restitution to the Internal Revenue Service. Jimenez pleaded guilty on August 28, 2012.
According to court documents, the Federal Bureau of Investigation (FBI) was investigating an international terrorism matter regarding the operation of a travel facilitation network by Marcus Dwayne Robertson and others that sends individuals overseas to commit violent jihad. In November 2010, Jimenez relocated from New York to Central Florida, where he began training with Robertson in the skills necessary to participate in violent jihad overseas. The training with Robertson included martial arts, firearm and knife training, reading the Quran, and learning Arabic. During Jimenez’s training, Robertson stressed that Jimenez needed to focus on the religious aspects of his training, prior to perfecting the skills needed to commit violent acts.
In late May and early June of 2011, Jimenez, with the assistance of Robertson and others, began making preparations for his overseas travel. Robertson assisted Jimenez with getting his photographs for his visa application and his vaccinations. On June 17, 2011, Jimenez departed Central Florida and traveled to New York by airplane, where he expected to get his visa and then travel overseas.
During the course of the investigation, the FBI obtained evidence about the nature of Robertson’s training of Jimenez and the plan for Jimenez to travel overseas to engage in violent jihad. As part of the investigation, the FBI obtained consensually recorded conversations with Jimenez and others, in which Jimenez stated his goals. When interviewed by the FBI on September 22, 2011, Jimenez lied about making those statements.
In order to have funds available for him when he was overseas, Jimenez and others conspired to submit a false 2010 tax return for Jimenez, in which Jimenez falsely claimed three of Robertson’s children as his dependents and falsely represented that he lived with each of the three children for all of the year 2010. As a result of those false representations, Jimenez obtained a refund from the IRS in the amount of $5,587.
Robertson was arrested by the FBI on August 23, 2011 for being a previously convicted felon in possession of a firearm. He pleaded guilty to that offense on January 5, 2012 and is pending sentencing. On March 14, 2012, Robertson was indicted for conspiracy to defraud the Internal Revenue Service. His trial is set for July 2013. An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
These cases were investigated by the FBI’s Joint Terrorism Task Force and the Internal Revenue Service - Criminal Investigation Division. They are being prosecuted by Assistant United States Attorney Roger B. Handberg.
Man Sentenced for Money Laundering and Harboring AliensRead the Press Release
A Costa Rican citizen who harbored illegal alien workers by employing them as roofers in Iowa and elsewhere, and who laundered the proceeds of his criminal activity, was sentenced in federal court in Cedar Rapids on Thursday, April 18, 2013.
Luis Trejos, age 45, a permanent resident alien originally from Costa Rica, who most recently lived in Newnan, Georgia, was sentenced to serve 30 months in federal prison after having pleaded guilty on December 3, 2012, to one count of harboring and transporting illegal aliens, and one count of money laundering.
Trejos was sentenced in federal court in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. In addition to the 30 month prison sentence, Trejos was ordered to pay a special assessment of $200.00, and will be required to serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Evidence presented in the case showed Trejos had worked as a roofing contractor for several years in various communities across the country. In March 2012, Trejos agreed to perform roofing work for an eastern Iowa roofing company. Trejos arranged for workers to come to Iowa and work with him for the roofing company. These workers were neither lawfully present nor authorized to work in the United States. Trejos also hired other workers in Iowa who were not authorized to work in the United States. Trejos admitted he knew and recklessly disregarded the fact that the workers had come to and remained in the United States in violation of law. Trejos admitted he took no action to verify the legal status of the workers. Trejos also performed similar work for a company in Kentucky in 2012.
In sentencing Trejos, Judge Reade noted the broad scope of Trejos’s conduct and the role he played in organizing and managing the criminal activity.
Trejos will be held in United States Marshal’s custody pending transport to a federal prison.
The case was prosecuted by Assistant United States Attorney Richard L. Murphy and investigated by Homeland Security Investigations.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 12-CR-00061.
Man Charged with Unlawfully Using Others’ Identities to Steal More Than $250,000 in IRS RefundsRead the Press Release
SAN JOSE, Calif. – Sanjeev Bais was charged on April 17, 2013, by a federal grand jury with 14 counts of theft of government property and 14 counts aggravated identity theft, United States Attorney Melinda Haag and Internal Revenue Service, Criminal Investigation, Special Agent in Charge Jose M. Martinez announced.
According to the indictment, between February 2009 and June 2010, Bais unlawfully used the identities of 14 individuals to obtain 14 IRS refund payments to which he was not entitled. The refunds totaled $258,319.
Bais is scheduled to appear before Magistrate Judge Paul Grewal on April 24, 2013, at 9:30 a.m.
The maximum statutory penalty for each count of theft of government property, in violation of 18 U.S.C. § 641 is 10 years imprisonment and a fine of $250,000. The maximum statutory penalty of each count of aggravated identity theft, in violation of 18 U.S.C. § 1028A is 15 years imprisonment, a fine of $250,000, and a mandatory consecutive sentence of two years imprisonment. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Charles Parker is the Special Assistant U.S. Attorney who is prosecuting this case. The prosecution is the result of an investigation by IRS-CI.
Please note, an indictment contains only allegations against an individual and, as with all defendants, Bais must be presumed innocent unless and until proven guilty.
Man Arrested in Paducah Sentenced to 16 Months in Prison for Impersonating A United States Army Chief Warrant Officer and FraudRead the Press Release
– Used the disguise to defraud another of sums of money
PADUCAH, Ky. - A convicted felon, living in McCracken County, Kentucky, was sentenced yesterday, in United States District Court, by Senior Judge Thomas B. Russell, to 16 months in prison followed by a one year term of supervised release, for impersonating an officer of the US Army, and defrauding a victim of sums of money, announced David J. Hale, United States Attorney for the Western District of Kentucky. Senior Judge Russell also ordered defendant Kyle Christopher Barwan to pay restitution in the amount of $1,640.
Barwan, age 23, was charged in a two-count indictment by a grand jury meeting in Paducah, Kentucky on September 11, 2012. According to the indictment, on or about April 14, 2012, in Christian County, Kentucky, the defendant, falsely assumed and pretended to be an officer and employee of the United States, that is, a United States Army Chief Warrant Officer, and in such pretended character, falsely stated that he was a United States Army Chief Warrant Officer and conducted a military promotion ceremony for military personnel. Further, between April 1, 2012 and May 7, 2012, in McCracken County, Kentucky, the defendant, falsely pretended to be an officer and employee of the United States, that is, a United States Army Chief Warrant Officer, and in such pretended character, with intent to defraud, did falsely demand and obtain a thing of value from another person, in that he obtained sums of money over $1,000. According to court records, Barwan asked at least one individual for money, while impersonating an officer of the US Army. Barwan pleaded guilty to both charges on December 12, 2012 before Senior Judge Russell.
Barwan was previously arrested in Vincennes, Indiana, in November 2010, and charged with impersonating an officer and possession of cocaine. He was convicted of both offenses and sentenced In June, 2011 to one year imprisonment for impersonating an officer and 18 months, to run concurrent, for the felony possession of cocaine.
This case was prosecuted by Assistant United States Attorney David Sparks and Special Assistant United States Attorney Captain John Vrettand and was investigated by Ft. Campbell Military Police, the McCracken County Sheriff’s Department, and the Federal Bureau of Investigation (FBI).
Las Vegas Attorney Paul Wommer Convicted of Tax and Money Structuring CrimesRead the Press Release
LAS VEGAS, Nev. – Las Vegas attorney Paul Wommer was found guilty this afternoon of tax and money structuring charges following a three-day bench trial before U.S. District Judge Gloria M. Navarro, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Wommer, 60, of Las Vegas, was convicted of three counts of structuring financial transactions, one count of tax evasion, and one count of making and subscribing a false tax return, statement or other document.
According to the court records and evidence introduced at trial, between June 30 and July 15, 2010, Wommer made or assisted in 15 structured deposits totaling $138,700 for the purpose of evading bank reporting requirements. These deposits were made as part of a pattern of illegal activity involving more than $100,000 during a 12-month time period. During that same time period, Wommer willfully attempted to evade federal income taxes in the amount of $13,020 by concealing and attempting to conceal his assets, by making false statements to the IRS, and by placing funds and property in the names of nominees.
Wommer is scheduled to be sentenced on August 1, 2013. He faces up to 10 years in prison and a $500,000 fine on each structuring count, up to five years in prison and a $250,0000 fine on the tax evasion count, and up to three years in prison and a $250,000 fine on the false return count, and
The case was investigated by IRS Criminal Investigation and prosecuted by Assistant U.S. Attorney Andrew W. Duncan.
Today's announcement is part of efforts underway by President Obama's Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys' offices and state and local partners, it's the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.Keishandra Houston Pleads Guilty to Wire Fraud in Aftermath of Bp Oil SpillRead the Press Release
KEISHANDRA HOUSTON, age 36, a resident of Slidell, Louisiana, pled guilty to wire fraud relating to an application for financial assistance in the aftermath of the Deepwater Horizon oil spill, announced U.S. Attorney Dana J. Boente.
The Gulf Coast Claims Facility (GCCF) made disaster assistance money available to individuals affected by the oil spill resulting from the Deepwater Horizon explosion in the Gulf of Mexico. The GCCF required individuals to verify loss of income. According to court documents, in September 2010 HOUSTON falsely represented to the GCCF that she worked as a cook at a seafood restaurant and suffered financially due to lost employment as a result of the Deepwater Horizon incident. To support this fraudulent claim, on September 30, 2010, HOUSTON wired to the GCCF false earnings statements which incorrectly indicated that the she was employed by a seafood restaurant. In response to the claim, the GCCF paid HOUSTON $5,900.
HOUSTON faces a maximum term of imprisonment of 20 years, a fine of $250,000 and 3 years of supervised release following any term of imprisonment. Sentencing is set for July 25, 2013.
This case was brought as part of this District’s partnership with the National Center for Disaster Fraud (NCDF), a nationwide initiative to protect available funds and assistance for those victims of both natural and man-made disasters such as hurricanes, floods, tornadoes and the recent Gulf oil spill. If you have knowledge of fraud, waste, abuse, or allegations of mismanagement involving disaster relief operations, you can contact the NCDF by either calling the hotline at (866) 720-5721, faxing (225) 334-4707, emailing at [email protected] or in writing to National Center for Disaster Fraud, Baton Rouge, LA 70821-4909.
The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Chandra Menon.
(Download Factual Basis )
Justice Department Reaches Settlement with Anheuser-Busch InBev and Grupo Modelo in Beer CaseRead the Press Release
WASHINGTON – The Department of Justice announced today that it has reached a settlement with Anheuser-Busch InBev SA/NV (ABI) and Grupo Modelo S.A.B. de C.V. that requires the companies to divest Modelo’s entire U.S. business – including licenses of Modelo brand beers, its most advanced brewery, Piedras Negras, its interest in Crown Imports LLC and other assets – to Constellation Brands Inc., in order to go forward with their merger. The department said the proposed settlement will maintain competition in the beer industry nationwide, benefitting consumers.
Today’s proposed settlement was filed in the U.S. District Court for the District of Columbia. If approved by the court, the settlement will resolve the department’s competitive concerns.
On Jan. 31, 2013, the department filed an antitrust lawsuit against ABI and Modelo alleging that ABI’s $20.1 billion acquisition of the remaining interest in Modelo that ABI did not already own, as originally proposed, would substantially lessen competition in the market for beer in the United States as a whole and in at least 26 metropolitan areas across the United States. The department alleged that the transaction would result in consumers paying more for beer and would limit innovation in the beer market.“Before the merger, there were two competitors – Modelo and ABI – and ABI owned a substantial stake in Modelo. The companies’ proposed merger would have reduced those two competitors to one – ABI. The proposed settlement announced today will create an independent, fully integrated and economically viable competitor to ABI. This is a win for the $80 billion U.S. beer market and consumers,” said Bill Baer, Assistant Attorney General in charge of the Department of Justice’s Antitrust Division. “If this settlement makes just a one percent difference in prices, U.S. consumers will save almost $1 billion a year.”
The settlement requires ABI and Modelo to divest Modelo’s entire U.S. business to Constellation or to an alternative purchaser if for some reason the transaction with Constellation cannot be completed. Specifically, the settlement requires ABI and Modelo to divest: the Piedras Negras brewery, Modelo’s newest, most technologically advanced brewery; perpetual and exclusive licenses of the Modelo brand beers for distribution and sale in the United States; Modelo’s current interest in Crown – the joint venture established by Modelo and Constellation to import, market and sell certain Modelo beers into the United States; and other assets, rights and interests necessary to ensure that Constellation is able to compete in the U.S. beer market using the Modelo brand beers, independent of a relationship to ABI and Modelo.The licensed brands include all seven brands that Modelo currently offers (through its distributor, Crown) in the United States – Corona Extra, Corona Light, Modelo Especial, Negra Modelo, Modelo Light, Pacifico and Victoria – as well as three brands not yet offered in the United States, but currently sold by Modelo in Mexico – Pacifico Light, Barrilito and León. The licenses include rights that will give Constellation the ability to adapt to changing market conditions in the United States.
Constellation has committed to expand the capacity of Piedras Negras in order to meet current and future demand for the Modelo brands in the United States, and that commitment is a condition of the proposed settlement. The settlement also sets milestones for the expansion of the Piedras Negras brewery. In order to enable Constellation to compete in the United States during the time it takes to expand the Piedras Negras brewery’s capacity to brew and bottle beer, the settlement requires ABI to enter into interim supply and transition services agreements with Constellation. These agreements are time-limited to ensure that Constellation will become a fully independent competitor to ABI as soon as practicable.
ABI and Modelo originally proposed selling Modelo’s stake in Crown to Constellation and entering into a 10-year supply agreement to provide Modelo beer to Constellation to import into the United States. The department rejected that purported fix because it would have eliminated the Modelo brands as an independent competitive force in the United States beer market. Unlike the companies’ original proposal, which left Constellation with no brewing assets and beholden to ABI for the supply of beer, the proposed settlement ensures that Constellation, or an alternative purchaser, will have independent brewing assets and the ownership of the Modelo beer brands for sale in the United States in perpetuity. As a result, Constellation will fully replace Modelo as a competitor in the United States.
ABI is a corporation organized and existing under the laws of Belgium, with headquarters in Leuven, Belgium. ABI brews and markets more beer sold in the United States than any other firm, with a 39 percent market share nationally. ABI owns and operates 125 breweries worldwide, including 12 in the United States. It owns more than 200 different beer brands, including Bud Light – the best-selling brand in the United States – and other popular brands such as Budweiser, Busch, Michelob, Natural Light, Stella Artois, Goose Island and Beck’s.
Modelo is a corporation organized and existing under the laws of Mexico, with headquarters in Mexico City. Modelo is the third-largest brewer of beer sold in the United States, with a seven percent market share nationally. Modelo owns Corona Extra–the top-selling beer imported into the United States. Its other popular brands sold in the United States include Corona Light, Modelo Especial, Negra Modelo, Victoria and Pacifico. Crown imports, markets and sells Modelo’s brands into the United States. ABI currently holds a 35.3 percent direct interest in Modelo and a 23.3 percent direct interest in Modelo’s operating subsidiary Diblo.
Constellation, headquartered in Victor, N.Y, is a beer, wine and spirits company with a portfolio of more than 100 products, including Robert Mondavi, Clos du Bois, Ruffino and SVEDKA Vodka. It produces wine and distilled spirits, with more than 40 facilities worldwide.
The proposed settlement, along with the department's competitive impact statement, will be published in the Federal Register, consistent with the requirements of the Antitrust Procedures and Penalties Act. Any person may submit written comments concerning the proposed settlement within 60 days of its publication to James Tierney, Chief, Networks and Technology Enforcement Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 7100, Washington, D.C. 20530. The comments will be published in the Federal Register. At the conclusion of the 60-day comment period, the court may enter the final judgment upon a finding that it serves the public interest.Justice Department Reaches Settlement Agreement with City of Jacksonville, Fla., to Ensure Civic Access for People with DisabilitiesRead the Press Release
The Justice Department today announced an agreement with the city of Jacksonville, Fla., to improve access for people with disabilities to civic life in Jacksonville. The agreement was reached under Project Civic Access (PCA), the Justice Department’s initiative to ensure that cities, towns and counties throughout the country comply with the Americans with Disabilities Act (ADA).
“Access to your city is a basic civil right, and the doors to government programs, services and activities must be open for people with disabilities,” said Eve L. Hill, Senior Counselor to the Assistant Attorney General for the Civil Rights Division. “I commend the city of Jacksonville for its commitment that all people have full access to what the city has to offer.”
PCA ensures that persons with disabilities have an equal opportunity to participate in civic life. As part of the PCA initiative, Justice Department staff, including investigators and architects, survey government facilities, services and programs in communities across the country. The survey identifies modifications needed for compliance with the ADA. The agreements set out steps each community must take to improve access. PCA agreements require physical modifications to facilities to make them accessible to people with disabilities. Elements that need modifications may include parking, routes into buildings, entrances, assembly areas, restrooms, service counters and drinking fountains. Other provisions address effective communication, grievance procedures, polling places, emergency management, sidewalks, domestic violence programs and web-based services.
Jacksonville is one of the largest cities in Florida and, by area, one of the largest in the United States. It operates one of the largest city park systems in the United States. During the compliance review, the Department reviewed 64 of the city’s facilities. The agreement requires the city to correct deficiencies identified at the 64 facilities and requires Jacksonville to review and correct identified deficiencies at hundreds of additional facilities. The agreement will remain in effect for five years. The department will monitor the city’s compliance with the agreement.
People interested in finding out more about the ADA, today’s agreement with the city of Jacksonville, the PCA initiative or the ADA Best Practices Tool Kit for state and local governments can access the ADA webpage at www.ada.gov o r call the toll-free ADA Information Line at (800) 514-0301 (TDD 800-514-0383).
Related Materials:
Jacksonville PCA Settlement Agreement
Judge Sentences Fayette County Heroin Dealer to 10 Years in PrisonRead the Press Release
PITTSBURGH, Pa. - A resident of Uniontown, Pa., has been sentenced in federal court to120 months imprisonment followed by five years supervised release on his conviction of violating federal narcotics laws, United States Attorney David J. Hickton announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Gregory Moore, Jr. a/k/a G, 31, of Uniontown, Pa.
According to information presented to the court, from in or around April 2012, and continuing thereafter to in or around May 2012, Moore conspired with others to distribute and possess with intent to distribute 300 grams of heroin. Moore was owed $94,000 for heroin that he had previously provided on consignment to a drug distributor.
Assistant United States Attorney Charles A. Eberle prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Drug Enforcement Administration, the Redstone Township Police Department, the Uniontown Police Department, and the Fayette County Drug Task Force for the investigation leading to the successful prosecution of Moore, Jr.
Jose Gonzalez-grana Indicted for Making A False Statement Claiming United States Citizenship and Illegal Use of A Social Security NumberRead the Press Release
JOSE GONZALEZ-GRANA, age 35, a citizen of Mexico, was charged in a two-count indictment by a Federal Grand Jury today with making a false statement claiming United States citizenship and illegal use of a Social Security Number, announced U. S. Attorney Dana J. Boente.
According to the indictment, on May 3, 2012, GONZALEZ, an alien, knowingly made a false statement and claim that he was a United States citizen in order to unlawfully engage in employment in the United States. GONZALEZ was also charged with falsely representing that a Social Security number had been assigned to him by the Commissioner of Social Security with intent to deceive for the purpose of completing an Employment Eligibility Verification Form.
If convicted of both counts, GONZALEZ faces a maximum term of imprisonment of 10 years, a fine of $500,000 and 3 years of supervised release following any term of imprisonment.
U. S. Attorney Boente reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was investigated by United States Immigration and Customs Enforcement, Homeland Security Investigations (ICE) as part of Operation Safe Neighborhood. The prosecution is being handled by Special Assistant United States Attorney Robert Weir.
(Download Indictment )
Jose Adan De Dios-lara Sentenced for Illegal ReentryRead the Press Release
JOSE ADAN DE DIOS-LARA, age 25, a citizen of Honduras, was sentenced today in federal court by U. S. District Judge Carl J. Barbier to approximately 5 months imprisonment, announced U.S. Attorney Dana Boente. In addition to the term of imprisonment, Judge Barbier ordered that DE DIOS be placed on two years of supervised release following the term of imprisonment, during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of supervised release.
According to court documents, on January 24, 2013, DE DIOS pled guilty to a one-count indictment admitting he was an alien who was previously removed and was knowingly and unlawfully found in the United States, in Jefferson Parish, Louisiana on November 14, 2012, without the Attorney General or Secretary of the Department of Homeland Security, having expressly consented to his re-application for admission into the United States. DE DIOS’s sentence was subject to enhancement based on a previous felony conviction.
This case was investigated by United States Immigration and Customs Enforcement, Enforcement and Removal Operations with the assistance of the Jefferson Parish Sheriff’s Office. The case was prosecuted by Special Assistant United States Attorney Robert Weir.
Joint Federal and State Investigation Leads to Arrests and Weapons and Drugs SeizuresRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces the unsealing of indictments charging Anthony Maurice McSwain (28, Pinellas County) and Jarvis Antwan Dorsey (22, Pinellas County) with weapons and drugs offenses. If convicted on all counts, each faces a maximum penalty of 30 years in federal prison. McSwain is charged with four counts of being a convicted felon in possession of a firearm, and two counts of distribution of cocaine. Dorsey is charged with one count of being a convicted felon in possession of a firearm, and two counts of distribution of cocaine. Both were arraigned on April 16, 2013, and were ordered detained pending trial.According to the indictment against McSwain, he is charged with having possessed a Ruger pistol, a Rossi .38 caliber revolver, a Ruger rifle, a Colt .45 caliber pistol, and a Winchester rifle. The indictment against Dorsey alleges that he possessed a MAC-10 .45 caliber pistol. Both McSwain and Dorsey are previously convicted felons and prohibited from possessing firearms or ammunition under federal law.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
These cases were investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF"), the Largo Police Department, and the Clearwater Police Department. The cases arose from a joint federal and state investigation resulted in 28 people being arrested on state and federal violations, and the seizure of 13 firearms, as well as quantities of cocaine, marijuana, hydrocodone and other narcotics. The federal cases arising from the investigation will be prosecuted by Assistant United States Attorney Mark E. Bini.
Illinois Man Sentenced to 11 Years for Attempting to Distribute Child PornographyRead the Press Release
BRUNSWICK, GA – Dustin Francisco Struckman, 24, of Peoria, Illinois was sentenced on yesterday by United States District Court Judge Lisa Godbey Wood to 11 years in prison, followed by 10 years of supervised release, for attempting to distribute child pornography. Struckman will be required to register as a sex offender. At the conclusion of the sentencing, Struckman was returned to the custody of the United States Marshal Service to serve his sentence.According to the evidence presented at Struckman’s plea and sentencing hearings, in January and May of 2011, Struckman, who was then enlisted in the U.S. Navy and located in Kings Bay, was making available for distribution over a peer to peer network various child pornography videos and images. When interviewed by a special agent with the Naval Criminal Investigation Service, Struckman admitted that he had been downloading and viewing child pornography images for several years, and utilizing a peer to peer network for that purpose. Struckman’s computer was found to contain at least 33 videos and 16 still images depicting child sexual abuse, with at least one video depicting a child as young as three years old.
United States Attorney Edward J. Tarver stated, “The distribution of images depicting the sexual abuse of innocent children is a heinous crime. The abuse to these young victims continued every time the Defendant viewed these images and made them available to others through a file-sharing network. There is no higher priority within the Department of Justice than the protection of our Nation’s children. There should be no doubt that the United States Attorney’s Office will prosecute those who facilitate and create a market for the violent sexual assault of children.”
This case was brought as part of Project Safe Childhood, a U.S. Department of Justice initiative designed to protect children from online exploitation and abuse. Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims.
The case was the result of an investigation conducted by the Kingsland Police Department, the Naval Criminal Investigation Service, and the Coast Guard Investigation Service. Assistant U.S. Attorney Nancy Greenwood prosecuted the case. file://www.projectsafechildhood.gov/file://www.projectsafechildhood.gov/For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.Hastings Man Sentenced on Firearm ChargesRead the Press Release
COUNCIL BLUFFS, IA – On April 18, 2013, Jeffrey Bruce Carrigan, age 44, of Hastings, 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 Carrigan to 37 months in prison, to be followed by 2 years of supervised release. The Court also ordered Montgomery to forfeit three rifles and ammunition found in his possession, and to pay a $100.00 special assessment for the Crime Victim Fund. Carrigan remains in the custody of the United States Marshal pending designation of the Federal Bureau of Prisons facility at he will serve his sentence.
Carrigan was sentenced to the 37 months imprisonment following his plea of guilty to being a felon in possession of a firearm. The firearm charge against Carrigan arose from a September 4, 2012, visit to Carrigan’s residence by a State of Iowa probation officer. Carrigan was at the time on probation for his conviction in the District Court of the State of Iowa for Montgomery County for possession of methamphetamine with intent to deliver, in which he had been given a suspended sentence and placed on two years probation. The State of Iowa probation officer and Mills County deputy sheriffs found three rifles and several boxes of ammunition in Carrigan’s residence.
This investigation was conducted by the Mills County Sheriff’s Department, the State of Iowa Fourth Judicial District Parole and Probation Office, and the Federal Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Hartford Crack Dealer Sentenced to More Than Five Years in Federal PrisonRead the Press Release
David B. Fein, United States Attorney for the District of Connecticut, today announced that VASHAWN RAY, 25, of Hartford, was sentenced yesterday by United States District Judge Janet C. Hall in New Haven to 70 months of imprisonment, followed by five years of supervised release, for distributing crack cocaine.
According to court documents and statements made in court, this matter stems from “Operation Vinefield,” a joint law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force targeting narcotics trafficking and gang violence in Hartford’s North End. As a result of the nine-month investigation, 38 individuals were charged with various offenses related to the distribution of crack cocaine and the unlawful possession and dealing of firearms in and around Hartford. RAY sold crack cocaine in the Enfield Street area of Hartford.
RAY has been detained since his arrest on May 8, 2012. On December 12, 2012, he pleaded guilty to one count of conspiracy to distribute 28 grams or more of cocaine base (“crack cocaine”).
RAY’s criminal history includes a conviction for robbery in the first degree stemming from RAY’s robbing a victim at gunpoint.
This matter has been investigated by the FBI’s Northern Connecticut Violent Crimes Task Force, the Connecticut State Police, the Hartford Police Department, and the Connecticut Department of Correction. The case is being prosecuted by Assistant United States Attorney Brian P. Leaming.
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(203) 821-3722 [email protected]Guilty Plea in BP Fraud Case, Defendant Admits Filing Claims for Others Totaling $400,000.00Read the Press Release
MOBILE, AL-- United States Attorney Kenyen R. Brown announced today that Trecia Howard McGee, a Mobile, Alabama, resident, entered a guilty plea to wire fraud in connection with a fraudulent BP oil claim she filed. She also admitted assisting others in filing false claims and receiving proceeds from those false claims. McGee admitted her involvement with false claims totaling $400,000.00.
McGee faces a maximum possible penalty of up to 20 years and will be sentenced in August.
The case arose from an investigation by the United States Secret Service and was prosecuted by Assistant United States Attorney Deborah Griffin.
Georgia Man Sentenced to 30 Years for Sex CrimeRead the Press Release
GAINESVILLE, FLORIDA – Robert Stanley Ziolkowski, 66, of Adel, Georgia, was sentenced today by U.S. District Court Judge M. Casey Rogers to serve 360 months in federal prison for travel with the intent to engage in sexual activity with a child.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched by the Department of Justice in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorney’s 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 exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Ziolkowski was convicted following a two-day jury trial in January for one count of traveling to meet a minor for the purpose of engaging in sexual activity. During the trial, evidence demonstrated that Ziolkowski used the Internet website Craigslist to contact a person in Gainesville, Florida, and arranged to have sex with an eleven-year-old girl. Ziolkowski was arrested after he traveled from Adel, Georgia, and arrived at a gas station in Gainesville to meet the child.
Due in part to his prior convictions for sex offenses, Ziolkowski faced a recommended sentence of between 292 and 360 months in prison. Ziolkowski was also sentenced to serve the remainder of his life on supervised release, which he will be required to serve upon completion of his prison sentence.
In announcing the court’s sentence, Pamela C. Marsh, United States Attorney for the Northern District of Florida, stated, “Protecting children from the horrors of sexual exploitation is one of the highest priorities of the Department of Justice and this Office. We will continue our partnership with our state, local, and federal law enforcement agents to ensure that offenders are prosecuted to the full extent of the law.”
This case was the result of an undercover law enforcement operation which took place in Gainesville, Florida, in February 2012. Ms. Marsh praised the North Florida Internet Crimes Against Children Task Force and the Alachua County Sheriff’s Office. The case was prosecuted by Assistant U.S. Attorney Frank Williams.Fraudulent Tax Return Scheme Yields Prison TermRead the Press Release
TUCSON, Ariz. – On April 19, 2013, Shaneika Earline Sims, 30, of Casa Grande, Ariz. was sentenced by U.S. District Judge Raner C. Collins to 30 months in federal prison and ordered to pay $403,002 in restitution. After her release from prison, Sims will serve a 36 month term of supervised release. Sims pleaded guilty on Nov. 7, 2012, to conspiracy to defraud the government through false claims.
“Those who threaten the integrity of our federal income tax system through fraudulent schemes pose a real danger to the financial security of our country,” said U.S. Attorney John S. Leonardo. “For this reason, the United States Attorney’s Office has been and continues to be dedicated to prosecutions like this one that serve to hold these offenders accountable and to deter similar crimes by others.”
Sims admitted that from March 13, 2010, and continuing through Jan. 28, 2012, she and others conspired to defraud the United States government by filing false and fictitious tax returns which wrongly claimed refunds. At least 150 false federal individual income tax returns were filed claiming $548,653 in unjustified refunds. Sims and others prepared the false federal income tax returns. A codefendant offered to pay various sums of money to people whose identities were used. Some of the identities used were passed to her by an incarcerated co-defendant, including names, social security numbers and dates of birth. Some of the individuals in whose names false claims for refunds were filed were, in fact, inmates in state and local detention facilities. Sims and others electronically submitted the false income tax returns to the Internal Revenue Service through the internet.
Sims also filed false and fraudulent individual income tax returns in California. At least 86 additional returns seeking $315,264 were linked to Sims through common Internet Protocol (IP) addresses and bank accounts.
On Jan. 16, 2013, co-defendant Corleen Ladawn Thompson, 36, of Casa Grande, Ariz., was sentenced to 37 months in federal prison and a 36 month term of supervised release. Thompson’s daughter, co-defendant Desheray Gulley, was sentenced on April 4, 2013 to a 60 month term of supervised probation.
The investigation in this case was conducted by Internal Revenue Service Criminal Investigation Division, Arizona Department of Public Safety, Pinal County Attorney’s Office, and the Casa Grande Police Department. The prosecution is being handled by Danny N. Roetzel, Trial Attorney, Department of Justice, Tax Division and Sandra M. Hansen, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-12-00766
RELEASE NUMBER: 2013-030_SimsFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former Fund Manager Pleads Guilty in Connection with Multi-Million Dollar Commodities Fraud SchemeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that THOMAS HAMPTON, formerly the Managing Director of Hampton Capital Markets, LLC (“Hampton Capital” or the “Fund”), pled guilty today in Manhattan federal court to commodities fraud in connection with an investment scheme in which HAMPTON concealed millions of dollars in losses he incurred trading various securities, including S&P 500 futures contracts tied to the S&P 500 stock index. HAMPTON was charged in December 2012, and pled guilty today before U.S. Magistrate Judge James C. Francis, IV.
Manhattan U.S. Attorney Preet Bharara said: “Thomas Hampton blatantly deceived his investors in a scheme that resulted in millions of dollars in losses for scores of people. His guilty plea today ensures that he will be punished for those deceptions and that, to the extent possible, his investor victims will be made whole.”
According to the charging instruments in this case and statements made in open court today at the plea proceeding:
From September 2010 through September 2011, HAMPTON was the Managing Director of Hampton Capital, an Arizona limited liability company that had more than $4 million in assets under management. Hampton Capital engaged in the business of buying and selling exchange traded funds (“ETFs”). An ETF is an investment fund that holds assets such as stocks, commodities or bonds, and typically tracks – or attempts to replicate the performance of – an underlying benchmark or index, such as the S&P 500 equities market index. Hampton Capital purported to utilize specially designed computer software to trade ETFs based on pricing inefficiencies. In his role as Managing Director, HAMPTON bought and sold various securities, including futures contracts, on behalf of the Fund.
When the Fund began to suffer substantial losses as a result of HAMPTON’s trading, he concealed those losses from investors by, among other things, falsely representing that the investments continued to earn profits. For example, HAMPTON provided monthly statements to investors as early as April 2011 that falsely reflected a positive return for the Fund instead of disclosing the actual losses suffered. Based on his misrepresentations and omissions, Hampton Capital investors did not seek to redeem or withdraw their investments. In fact, some investors provided additional investment capital. As a result of the scheme, more than 50 investors lost millions of dollars in the aggregate.
HAMPTON, 44, of St. Louis, Missouri, pled guilty to one count of commodities fraud. He faces a maximum sentence of 10 years in prison, and a fine of the greater of $1 million or twice the gross gain or gross loss from the offense. In connection with his guilty plea, HAMPTON agreed to forfeit the illegal proceeds of his crimes and will be ordered to pay restitution to the victims of his offense.
Mr. Bharara praised the investigative work of the FBI. He also thanked the U.S. Commodity Futures Trading Commission for their assistance.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, please visit www.StopFraud.gov.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Jillian B. Berman and Emil J. Bove, III are in charge of the prosecution.
U.S. v. Thomas Hampton Information
Former Florida Department of Transportation Employee Sentenced to More Than 3 Years in Prison for Bribery and FraudRead the Press Release
Orlando, Florida - U.S. District Judge Charlene Edwards Honeywell yesterday sentenced Tina Moore a/k/a Tina Pollard (56, Daytona Beach) to 3 years, 4 months in federal prison for conspiracy and money laundering. Moore was also ordered to serve a two-year term of supervised release, following her release from prison, and to pay $242,981.25 in restitution. Moore pleaded guilty on January 25, 2013.According to her plea agreement, Moore was a Right of Way Agent with the Florida Department of Transportation (FDOT) who was responsible for assisting people and businesses displaced by FDOT projects. One of Moore’s assigned projects involved the acquisition of properties for the purpose of widening Interstate 4. One of the businesses displaced by that project was MLA Furniture, which was located on Garland Avenue in Orlando. Moore used her position to solicit and obtain bribes and rewards from the owners of MLA Furniture, in return for assisting MLA Furniture in continuing to remain at Garland Avenue. She knowingly submitted fraudulent claims to the FDOT for the relocation expenses of MLA Furniture. In total, Moore received $30,000 in bribes, consisting of $20,000 in checks and $10,000 in cash.
One of Moore’s co-conspirators, Jonathan Aubrey Jenkins, has already been sentenced for his role in the crime. On February 20, 2013, Jenkins, who was one of the owners of MLA Furniture, was sentenced to 5 years of probation for conspiracy and also ordered to pay $242,981.25 in restitution.
These cases were investigated by the United States Department of Transportation, Inspector General’s Office, and the Florida Department of Transportation, Inspector General’s Office. They were prosecuted by Assistant United States Attorney Roger B. Handberg.
Former Faulkner County Sheriff Candidate Pleads Guilty in Election ScamRead the Press Release
Little Rock - Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas, announced today that, in a hearing held before United States District Judge D. Price Marshall, Jr., Harold Allen Smith, 47, of Greenbriar, pled guilty to one count of transferring a false birth certificate via the United States mail. The charges involve activities by Smith in the Spring of 2012 when he was a candidate in the Republican primary for Sheriff of Faulkner County.
In the Spring of 2012, Harold Smith was one of the candidates for Sheriff of Faulkner County in the Republican primary. During February and March, 2012, Smith had meetings with people to discuss the election and how to prevent another Republican candidate, Andy Shock, from winning the primary. Some of the people who met with Smith had suggestions including that Smith drop out of the race to run an anti-Shock campaign, and that it would be funny if a birth certificate surfaced showing that Shock was the father of an illegitimate black child. As a result, Smith, with the help of another person, created false Texas birth certificates showing that Shock was the father of an illegitimate black child.
On March 28, 2012, Smith and another person drove to Hooks, Texas where Smith mailed approximately 12 envelopes containing a note and a false Texas birth certificate to residents in Faulkner County, Arkansas, who it was believed would vote in the Republican primary.
In spite of the efforts of Smith, Andy Shock won the Republican primary and in November, 2012, won the general election for Sheriff of Faulkner County.
The sentencing date will be set by the Court at a later date. Smith faces a maximum penalty of 15 years in prison and a fine of $250,000.00 when he is sentenced.
This investigation was conducted by United States Postal Inspection Service. First Assistant U.S. Attorney Patrick Harris is prosecuting the case for the United States.
Foreign National Indicted on Firearm and Immigration ChargesRead the Press Release
On April 18, 2013, Antonio Rea-Fabela, 36, a citizen of Mexico, who most recently resided in St. Louis, Missouri, was indicted by a federal grand jury sitting in East St. Louis, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. The Grand Jury charged Rea-Fabela, also known as Roman Guadarrama, with Possession of a Firearm by an Illegal Alien (Count 1); and Entry Into the United States Without Inspection (Count 2). Upon conviction, Count 1 carries a possible penalty of not more than ten years in prison, a fine of up to $250,000, not more than three years of supervised release, and a $100 special assessment; Count 2 carries a possible penalty of six months in prison, a $5000 fine and a $10 special assessment.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge and is entitled to a fair trial at which the Government must prove guilt beyond a reasonable doubt.
Antonio Rea-Fabela is currently in the custody of immigration officials pending his arraignment. Evidence for this indictment was gathered during an investigation conducted by Immigration and Customs Enforcement (ICE) of the Department of Homeland Security, the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the St. Clair County Sheriff’s Department. This case has been assigned to Assistant United States Attorney Randy G. Massey for prosecution.
Federal Inmate Sentenced for Assaulting Another InmateRead the Press Release
MINNEAPOLIS—Earlier today in federal court, a 46-year-old woman was sentenced for assaulting another inmate at the Federal Correctional Institute in Waseca, Minnesota. United States District Court Chief Judge Michael J. Davis sentenced Felecia Thomas to 41 months in federal prison on one count of assault with a dangerous weapon. Thomas was indicted on May 15, 2012, and pleaded guilty on January 11, 2013, by offering a “straight plea” and did not enter into a plea agreement.
On June 10, 2011, Thomas, who was then serving time at the correctional facility in Waseca following a 2004 conviction for arson and the use of explosives in the commission of a felony, assaulted an inmate by strangling her with a rope. The rope allegedly had been removed from a laundry bag.
This case was the result of an investigation by the Federal Bureau of Investigation and the U.S. Bureau of Prisons. It was prosecuted by Assistant U.S. Attorneys John E. Kokkinen and Lola Velazquez-Aguilu.Dozens of Local Individuals Arrested on Federal and State Methamphetamine & Pseudoephedrine ChargesRead the Press Release
PENSACOLA, FLORIDA – A federal grand jury returned two indictments this week charging twelve individuals with methamphetamine and pseudoephedrine related conspiracy offenses. The indictments were announced by Pamela C. Marsh, United States Attorney for the Northern District of Florida. These individuals were arrested on federal warrants and made their initial appearances in United States District Court today.
The indictments charge that Gregory A. Militello (42), Joshua P. Militello (30), Nicole D. Jones (32), Kirby B. Smith (50), James E. Atiabi (35), John W. Casey (33), Stephanie A. Gunderson (26), Jared L. Hester (29), Shannon L. Hurd (29), Shawn M. King (34), Joseph D. Peterson (33), and Hunter G. Myrick (23), all from the greater Pensacola area, were involved in a conspiracy to possess and distribute large amounts of pseudoephedrine in order to manufacture methamphetamine from January 1, 2011, until their arrests. Pseudoephedrine is a chemical used to manufacture methamphetamine. In addition to the twelve individuals arrested on federal warrants, dozens more were arrested on state warrants involving similar alleged activity.
Trial for the federal defendants is set for June, 2013. If convicted at trial, each of the twelve defendants faces up to twenty years imprisonment, three years of supervised release, and up to a $250,000 fine on the conspiracy charged in the indictments. Mr. Peterson faces a separate mandatory penalty of ten years to life imprisonment based upon a charge against him involving the manufacture of methamphetamine.
The indictments result from an investigation by agents of the United States Drug Enforcement Administration, the Florida Department of Law Enforcement, the Escambia County Sheriff’s Office, and the State Attorney’s Office. Assistant United States Attorney David L. Goldberg is prosecuting the case.
An indictment is merely a formal charge by a grand jury that a defendant has committed a violation of federal criminal law. All defendants are presumed innocent unless and until the government proves their guilt beyond a reasonable doubt to the satisfaction of a jury at trial.
District Man Pleads Guilty to Sexual Assault of Teenage Relative-Victim Came Forward Despite Defendant’s Warning Against Speaking Up-Read the Press Release
WASHINGTON – A 29-year-old man has pled guilty to a charge of first-degree sexual abuse stemming from an attack he carried out earlier this year against a 13-year-old girl, U.S. Attorney Ronald C. Machen Jr. announced today.
The defendant, of Washington, D.C., is not identified here to protect the privacy of the victim. He pled guilty on April 18, 2013 in the Superior Court of the District of Columbia. The Honorable Russell F. Canan scheduled sentencing for June 14, 2013. The plea agreement, which is subject to the Court’s approval, calls for an 11-year prison term.
According to the government’s evidence, the girl is related to defendant and was at the Northwest Washington home of another relative on Jan. 9, 2013. That day, between 4 p.m. and 6:45 p.m., the defendant lured her away from other adults and sexually assaulted her. He warned her not to tell anyone what happened. The child, however, alerted her mother and the police.
In announcing the guilty plea, U.S. Attorney Machen commended the officers and detectives of the Metropolitan Police Department’s Sexual Assault Unit, who investigated the case. He also expressed appreciation to those at the U.S. Attorney’s Office who worked on the matter, including Paralegal Specialist D’Yvonne Key and Victim/Witness Advocate Lezlie Richardson. Finally, he acknowledged the work of Assistant U.S. Attorney Mervin A. Bourne, Jr., who investigated and prosecuted the case.
13-140Crystal Man Charged with Possessing Child PornographyRead the Press Release
MINNEAPOLIS—Yesterday in federal court, a 59-year-old Crystal man was charged with possessing approximately 8,000 images of child pornography. On April 17, 2013, James Richard Darling was charged via an Information with one count of possession of child pornography.
On September 22, 2009, Darling allegedly possessed numerous visual depictions of minors engaged in sexually explicit conduct on his computer.
If convicted, Darling faces a potential maximum penalty of 20 years in federal prison, with a mandatory minimum penalty of ten years. Any sentence would be determined by a federal district court judge.
This case is the result of an investigation by the Minnesota Child Exploitation Task Force, sponsored by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Lola Velazquez-Aguilu.Possession of child pornography is against the law. In addition to prosecuting these cases, the Justice Department is funding a study focused on the correlation between involvement in child pornography and hands-on sexual abuse of children. A 2008 study (The Butner Study) published in the Journal of Family Violence found that up to 80 percent of federal inmates incarcerated for possession, receipt, or distribution of child pornography also admitted to hands-on sexual abuse of children, ranging from touching to rape.
This case was brought as part of Project Safe Childhood (“PSC”), 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 U.S. Attorney offices and the Justice Department’s Criminal Division, Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children and identify and rescue victims. For more information about PSC, please visit http://www.justice.gov/psc/. For more information about internet safety education, please visit http://www.justice.gov/psc/resources.html and click on the tab “resources.”
A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.Credit Union Assistant Manager Sentenced to Prison for Embezzling Funds, Evading TaxesRead the Press Release
PITTSBURGH, Pa. - A Butler County woman has been sentenced in federal court to 30 months imprisonment, to be followed by three years of supervised release, on her conviction of embezzlement from an institution insured by the NCUA and income tax evasion, United States Attorney David J. Hickton announced today.
United States District Judge Joy Flowers Conti imposed the sentence on Stacy L. Attisano, 44, of Portersville, Pa.
According to information presented to the court, between 2004 and 2010, Attisano embezzled approximately $222,000 from the Lawrence County School Employee Federal Credit Union, where she was employed as the assistant manager. Attisano was also convicted of tax evasion for the years 2006 through 2009, for failing to pay taxes on the embezzled funds.
Assistant United States Attorney Shaun E. Sweeney prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Internal Revenue Service and the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Attisano.
Council Bluffs, Iowa Resident Sentenced to 24 Months for Possession of A Firearm by A Prohibited PersonRead the Press Release
COUNCIL BLUFFS, IA - On April 18, 2013, Michael Fredrick Harrison, a 36 year old resident of Council Bluffs, Iowa, was sentenced by United States District Court Chief Judge James E. Gritzner to 24 months in prison for possessing firearms after a felony conviction, announced United States Attorney Nicholas A. Klinefeldt. Chief Judge Gritzner also ordered Harrison to serve two years of supervised release when he completes his imprisonment. On October 4, 2012, Harrison pled guilty to being in possession of a firearm by a convicted felon. The charge was the result of a home inspection done by the Iowa Fourth Judicial District Probation Office on November 3, 2011, at which time they located several firearms in the basement area of Harrison’s home.
The investigation was conducted by the Fourth Judicial District Probation Office, the Council Bluffs, Iowa, Police Department, the Pottawattamie County Attorney’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Council Bluffs Man Sentenced on Firearm ChargesRead the Press Release
COUNCIL BLUFFS, IA – On April 18, 2013, Jacob Lloyd Montgomery, age 33, of Council Bluffs, Iowa, was sentenced in United States District Court in Council Bluffs on the charge of felon in possession of a firearm and revocation of a term of supervised release, announced United States Attorney Nicholas A. Klinefeldt. Chief United States District Court Judge James E. Gritzner sentenced Montgomery to 30 months in prison, to be followed by 2 years of supervised release. The Court also ordered Montgomery to forfeit the firearm and ammunition found in his possession, and to pay a $100.00 special assessment for the Crime Victim Fund. Montgomery remains in the custody of the United States Marshal pending designation of the Federal Bureau of Prisons facility at he will serve his sentence.
Montgomery was sentenced to the 30 months imprisonment as a joint resolution of two pending federal judicial proceedings. He was sentenced upon his plea of guilty to the charge of being a felon in possession of a firearm. Montgomery was also sentenced upon his admission that he had violated the terms of the supervised release he was serving at the time. The violations included misrepresentations to the United States Probation Office and the felon in possession of a firearm charge. The federal criminal justice system no longer has parole. However, after serving the defendant’s full sentence, less any good time awarded to the defendant, the defendant is, upon being discharged from prison, placed under the supervision of the United States Probation Office for an amount of time determined by the sentencing court and under such conditions as the court orders. If the defendant violates the conditions of this supervision, the defendant can be sentenced to a further term of imprisonment for the violation.
The firearm charge against Montgomery arose from a stop by a Council Bluffs, Iowa police officer of the vehicle Montgomery was driving on January 29, 2012. Montgomery fled on foot from the scene, but was caught and arrested by the officer. Council Bluffs police officers subsequently found a loaded .45 caliber pistol in the vehicle from which defendant fled. Among various crimes for which Montgomery has been convicted, he was convicted in 2001, in the District Court of the State of Iowa for Pottawattamie County, of felony forgery and felony theft, and was convicted in 2007, in the United States District Court for the Southern District of Iowa of a prior charge of being a felon in possession of a firearm.
This investigation was conducted by the Council Bluffs, Iowa, Police Department and the Federal Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
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Convicted Sex Offender from Chilton County Sentenced to Thirty-Seven Months in Federal Prison and Ten Years of Supervision for Failing to RegisterRead the Press Release
Montgomery, Alabama - Anthony Carl Roberson, a resident of Chilton County, Alabama, age 42, was sentenced to thirty-seven months in federal prison for a federal felony conviction for failing to register as a sex offender, United States Attorney George L. Beck, Jr., announced today.
A federal grand jury indicted Roberson in October, 2012, for one count of failing to register and update a registration as required by the Sex Offender Registration and Notification Act after he traveled in interstate commerce in violation of federal law. Roberson was convicted of one count of aggravated sodomy in Georgia in 1996. Due to this conviction, Roberson was sentenced to a term of imprisonment of ten years with the Georgia Department of Corrections and required to register as a sex offender. On January 3, 2013, Roberson pled guilty to failing to register as a sex offender. During his guilty plea hearing, he admitted that he knew, as a convicted sex offender, he was required to register and that if he moved to another state he must register in that state no later than 72 hours after his arrival to the new state. Further, Roberson admitted that he traveled from Georgia to Alabama in August 2012 and relocated to Chilton County, but he did not register as a sex offender in the State of Alabama.
Chief United States District Judge W. Keith Watkins sentenced Roberson to thirty-seven (37) months imprisonment to be followed by ten (10) years of supervised release. Roberson remains in the custody of the United States Marshals Service pending placement by the Bureau of Prisons.
This case was investigated jointly by the United States Marshals Service and Chilton County Sheriff’s Office. Assistant United States Attorney Jerusha T. Adams prosecuted the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Cocaine and Heroin Trafficker Sentenced to over 14 Years in PrisonRead the Press Release
RICHMOND, Va. – Carlos Edward Gomez37, of Le Marque, Texas, was sentenced today to 178months in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute over five kilograms of cocaine hydrochloride and one kilogram of heroin.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia, and Ava A. Cooper-Davis, Special Agent in Charge, of the Washington Field Division of the Drug Enforcement Administration, made the announcement after sentencing by United States District Judge Henry E. Hudson. Gomez pleaded guilty to the charge on January 11, 2013.
According to court documents, from June 2011, through August 22, 2012, Gomez and others supplied over 15 kilograms of cocaine hydrochloride and over 10 kilograms of heroin from Galveston, Texas, to drug traffickers in the Eastern District of Virginia and elsewhere for redistribution. During the course of the investigation, law enforcement seized over four kilograms of cocaine hydrochloride, over six kilograms of heroin, over four pounds of marijuana, over $305,000 in drug proceeds, firearms, and numerous vehicles used to transport illegal narcotics and proceeds from drug sales.
Gomez, who the Court found today to be an organizer and supervisor in this drug operation, was the last of the coconspirators to be sentenced. The others included:
Miguel Alejandro Gomez, 38, of Mexico, sentenced to 144 months on April 12, 2013; Ralph Garcia, 48, of Galveston, Texas, sentenced to 72 months on March 26, 2013; Robert Reyes, 32, of Galveston, Texas, sentenced to 156 months on August 28, 2012; Wilfred Blair, 38, of Fredericksburg, Virginia, sentenced to 276 months on September 14, 2012; and
Duane Brooks Jefferson, 39, of Richmond, Virginia, sentenced to 210 months on November 5, 2012.This case was investigated by the DEA Offices in Richmond, Virginia, and Galveston, Texas, and the Richmond Police Department, with the expert assistance of the Virginia State Police Counter-Terrorism and Criminal Interdiction Unit. Assistant United States Attorney Olivia L. Norman prosecuted the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.