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4 March 2013
Blackwell Fireman and Police Officer Charged with Illegal Possession of Fully Automatic Russian Ak-47 Machine GunRead the Press Release
Oklahoma City, Oklahoma – TROY RON AEBISCHER, 30, of Blackwell, Oklahoma, and JOHN HARVEY, 26, of Ponca City, Oklahoma, have been charged for illegal possession of an unregistered fully automatic Russian AK-47 machine gun, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma. Aebischer is a member of the Blackwell Fire Department who holds a current federal firearm license to both purchase and sell firearms out of his home-based business located in Blackwell, Oklahoma. Harvey is a patrolman with the Blackwell Police Department.
The federal complaints filed today alleges that on February 26, 2013, Aebischer contacted a Blackwell Police Officer seeking to sell the Russian-made fully automatic AK 47 machine gun. It is further alleged that Aebischer bought the firearm from Harvey on or about February 17, 2013, after Harvey smuggled it back from Afghanistan following a military deployment. It is alleged that the Blackwell Police Department and Bureau of Alcohol Tobacco Firearms and Explosives set up a sting operation which arranged for an officer to meet with Aebischer to examine and test fire the AK-47. The officer later arranged to purchase the weapon from Aebischer for $2,000 on February 28, 2013.
Both Aebischer and Harvey were arrested on March 1, 2012, and appeared this afternoon in federal court in Oklahoma City. They were each released on $5,000 unsecured bond.
If convicted, Aebischer and Harvey each face up to ten years in prison and a $250,000 fine. The public is reminded that the complaint is merely an accusation and that the defendants are presumed innocent unless and until proven guilty. Reference is made to the complaints for further information.
This case is the result of an investigation by the Bureau of Alcohol Tobacco Firearms and Explosives and the Blackwell Police Department. The case is being prosecuted by United States Attorney Sanford C. Coats and Assistant U.S. Attorney Edward J. Kumiega.
Baltimore Immigration Judge Participates in Naturalization CeremonyRead the Press Release
BALTIMORE --Immigration Judge Lisa Dornell from the Executive Office for Immigration Review, Baltimore Immigration Court, delivered the keynote speech and administered the oath of allegiance to approximately 75 candidates during a naturalization ceremony at the George H. Fallon Federal Building in Baltimore, Md., on March 1, 2012. The Baltimore District Office of U.S. Citizenship and Immigration Services, Department of Homeland Security, hosted the ceremony.
Biographical Information
Attorney General Janet Reno appointed Judge Dornell in April 1995. Judge Dornell received a bachelor of arts degree in 1983 from the University of Vermont and a juris doctorate in 1986 from the University of Texas at Austin School of Law. From 1990 to 1995, Judge Dornell served as senior litigation counsel, Office of Immigration Litigation, Civil Division, Department of Justice. From 1986 to 1990, she served as a trial attorney for the former Immigration and Naturalization Service (INS), New York district office, and as an assistant general counsel, INS Headquarters, Washington, D.C. Judge Dornell lectures on immigration topics and court procedure at several local law schools. She is a member of the District of Columbia and State of Texas Bars.
- EOIR -
The Executive Office for Immigration Review (EOIR) is an agency within the Department of Justice. Under delegated authority from the Attorney General, immigration judges and the Board of Immigration Appeals interpret and adjudicate immigration cases according to United States immigration laws. EOIR’s immigration judges conduct administrative court proceedings in immigration courts located throughout the nation. They determine whether foreign-born individuals—whom the Department of Homeland Security charges with violating immigration law—should be ordered removed from the United States or should be granted relief from removal and be permitted to remain in this country. The Board of Immigration Appeals primarily reviews appeals of decisions by immigration judges. EOIR’s Office of the Chief Administrative Hearing Officer adjudicates immigration-related employment cases. EOIR is committed to ensuring fairness in all of the cases it adjudicates.
Executive Office for Immigration ReviewArkansas Man Indicted for Failure to Pay Child SupportRead the Press Release
United States Attorney Brendan V. Johnson announced that a Hot Springs, Arkansas man has been indicted by a federal grand jury for Failure to Pay Legal Child Support.
Jacob H. Lehnherr, age 38, was indicted by a federal grand jury on August 14, 2012 for failing to pay over $29,682.00 in past due child support. He appeared before U.S. Magistrate Judge John E. Simko on March 1, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is two years imprisonment; a $250,000.00 fine; one year supervised release; one additional year upon revocation; a $100.00 assessment fee; and child support restitution amount owing at the time of sentencing.
The charge is merely an accusation and Lehnherr is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Department of Health and Human Services, Office of Inspector General. Assistant U.S. Attorney Thomas J. Wright is prosecuting the case.
Lehnherr was released on bond pending trial. A trial date has been set for May 7, 2013.
Appalachian Community Bank Vice President IndictedRead the Press Release
Second Bank Officer Charged With Fraud
GAINESVILLE, Ga. – A former bank employee was indicted by a federal grand jury on February 26, 2013, on charges arising out of a scheme to defraud his former employer Appalachian Community Bank (also known as Gilmer County Bank). William R. “Rusty” Beamon, Jr., 52, of DeKalb County, Ga. will be arraigned today at 2:15 p.m., before United States Magistrate Judge J. Clay Fuller in Gainesville, Ga.
“Bank fraud is a critical problem throughout the United States, but it has hit Georgia especially hard,” said United States Attorney Sally Quillian Yates. “Georgia leads the nation in bank failures since 2008, with 78 banks failing – including Appalachian Community Bank, the bank this defendant is accused of defrauding. Prosecuting bank fraud continues to be one of the major priorities of our office and the United States Department of Justice,” she said.
According to United States Attorney Yates, the indictment, and other information presented in court, Beamon was Vice President of Appalachian Community Bank, which had its headquarters in Ellijay, Ga. He was responsible for Appalachian’s foreclosure liquidation department.
In 2009, Beamon told a real estate agent that he personally owned a house in Cumming, Ga. and then hired that agent to market and lease the property on his behalf. The property, however, was owned by Appalachian Community Bank and was part of the bank’s foreclosure inventory. The real estate agent found someone to lease the property and negotiated a lease on Beamon’s behalf. Beamon then deposited into his personal bank account more than $20,000 in rent payments and security deposits from the illegal lease.
Beamon also allowed Appalachian Community Bank to make loans to his wife, and to a shell company that he owned, to finance fraudulent real estate purchases of properties in the bank’s foreclosure inventory. Each property was sold at a price substantially below fair market value.
Mark F. Giuliano, Special Agent in Charge, FBI Atlanta Field Office, stated: “The lack of responsible, ethical leadership at Appalachian Community Bank eventually led to that bank’s failure. The FBI understands the harm caused by such criminal behavior of bank employees or their executives and asks that anyone with information on such activity to contact their nearest FBI field office.”
Due to its poor financial condition, Appalachian Community Bank was forced to close on March 19, 2010, and the FDIC was appointed as receiver.
“The Federal Deposit Insurance Corporation Office of Inspector General is pleased to join our law enforcement colleagues in announcing this indictment,” said Jon T. Rymer, Inspector General, FDIC. “We are particularly concerned when officers of a bank abuse their positions of trust and jeopardize the viability of their banks. We will continue to pursue such offenders in the interest of maintaining the safety and soundness of our nation’s banks and protecting the Deposit Insurance Fund.”
Beamon is not the first insider at Appalachian Community Bank to face federal criminal charges arising out of his employment at the bank. Adam Teague, 38, of Ellijay, Ga. was charged with conspiracy to commit bank fraud and pleaded guilty to that offense on August 23, 2012. Teague, who was Senior Vice President of Appalachian, is scheduled to be sentenced by United States District Judge Richard W. Story on April 5, 2013. Teague faces a maximum sentence of 30 years in prison and a fine of up to $1,000,000.
Both cases are being investigated by Special Agents of the FBI and the FDIC Office of Inspector General. The Teague case is also being investigated by Special Agents of the Department of Treasury, Special Inspector General Troubled Asset Relief Program, and the Federal Housing Finance Agency, Office of Inspector General.
The indictment charges six counts of bank fraud. Each count carries a maximum sentence of 30 years in prison and a fine of up to $1,000,000. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
Members of the public are reminded that the indictment contains only allegations. A defendant is presumed innocent of the charges and it will be the government's burden to prove a defendant's guilt beyond a reasonable doubt at trial.
Assistant United States Attorney Russell Phillips is prosecuting both cases.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney's Office for the Northern District of Georgia is www.justice.gov/usao/gan.
Anchorage Felon arraigned on gun charge in Federal CourtRead the Press Release
Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that an Anchorage man was arraigned on one charge of felon in possession of a firearm.
Alando Mark Modeste, 29, also known as “Simba,” pled not guilty to the charge of felon in possession of a firearm.
According to the information presented to the court, Modeste was found in the possession of a Smith & Wesson revolver and a Taurus, Model 455 Tracker revolver on April 8, 2012. It is alleged that Modeste has been a felon since July 25, 2005, having been convicted of manslaughter in the Superior Court for the State of Alaska, Third Judicial District.
Special Assistant U.S Attorney Erin W. Bradley, who presented the case to the grand jury, indicated that the law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation leading to the indictment in this case. Modeste remains incarcerated pending trial in this case.
An indictment is only a charge and is not evidence of guilty. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.Aberdeen Man Arraigned on Assault ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that an Aberdeen, South Dakota man has been indicted by a federal grand jury for two counts of Assault With a Dangerous Weapon.
Katlin Vine Tiger, age 21, was indicted by a federal grand jury on December 11, 2012. He appeared before U.S. Magistrate Judge William D. Gerdes on February 26, 2013 and pled not guilty to the indictment. The maximum penalty on each count upon conviction is 10 years' imprisonment, a $250,000 fine or both, and a period of supervised release of 3 years. The charges are merely accusations and Tiger is presumed innocent until and unless proven guilty.
The investigation is being conducted by Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy Morley is prosecuting the case.
Tiger was released on bond pending trial. A trial date has not been set.
'Meth' Indictment AnnouncedRead the Press Release
Two Jackson County, Illinois, residents were indicted on February 21, 2013, in an indictment, charging conspiracy to manufacture methamphetamine, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today.
On February 28, 2013, Leslie Blaine Clover, 48, of Desoto, and Crystal D. Kellems, 38, of Ava, were arraigned in United States District Court in Benton on an indictment charging conspiracy to manufacture methamphetamine. The indictment alleged that the offense occurred between June 2012 and January 28, 2013, in Jackson and Randolph Counties. Both Clover and Kellems are being held without bond pending their trial.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
If convicted, Clover and Kellems face up to 20 years’ imprisonment, a $1,000,000 fine, and 3 years of supervised release.
The ongoing investigation is being conducted by the Jackson County Sheriff’s Office, Murphysboro Police Department, and Randolph County Sheriff’s Office.
The case is being prosecuted by Assistant United States Attorney Amanda A. Robertson.
2 March 2013
New Town Man Sentenced for Involuntary ManslaughterRead the Press Release
BISMARCK – U.S. Attorney Timothy Q. Purdon announced that on May 31, 2013, Merrill J. Mann II, 37, New Town, N.D., was sentenced by U.S. District Judge Daniel L. Hovland on a charge of involuntary manslaughter. Mann pleaded guilty to the charge on Feb. 20, 2013.
Judge Hovland sentenced Mann to serve eight years in federal prison, to be followed by three years of supervised release. Mann was ordered to pay a $100 special assessment to the Crime Victim’s Fund and $15,179 in restitution.
On April 20, 2012, Mann was the driver of a 2004 Chevrolet pickup traveling northbound on BIA Route 2 west of New Town. At the time, Mann was under the influence of intoxicating liquor. Mann stopped his vehicle at a stop sign at the intersection with N.D. Highway 23 for a prolonged period of time. Mann pulled his vehicle into the intersection when a 2003 Dodge Caravan was headed westbound on Highway 23 carrying several passengers. Mann’s vehicle and the van collided. An 84-year-old passenger in the van was killed as a result of injuries sustained in the collision.
The case was investigated by the Federal Bureau of Investigation, the Bureau of Indian Affairs – Fort Berthold Agency, the Three Affiliated Tribes Police Department, and the North Dakota Highway Patrol.Assistant U.S. Attorney Rick Volk prosecuted the case.
1 March 2013
Wounded Knee Man Sentenced for Theft of Government PropertyRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wounded Knee, South Dakota man convicted of Theft of Government Property was sentenced on February 20, 2013 by U.S. Magistrate Judge Veronica L. Duffy. Jeremy Elk, age 30, was sentenced to a $500 fine and 1 year probation.
Between August 2010 and January 2011, Elk stole chainsaws that were owned by the Bureau of Indian Affairs and converted them to his own use. He pleaded guilty on November 27, 2012.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Woodbridge Man Pleads Guilty to Embezzling $400,000 and Not Reporting It on His TaxesRead the Press Release
ALEXANDRIA, Va. – John Coston, 48, of Woodbridge, Va., pleaded guilty today to embezzling more than $400,000 from Diamond Transportation Services (DTS) and not reporting the additional income on his taxes.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Thomas J. Kelly, Special Agent in Charge of the Internal Revenue Service Criminal Investigation’s Washington, D.C., Field Office; and Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after the plea was accepted by United States District Judge Liam O’Grady.
Coston, who worked out of DTS’s office in Springfield, Va., pleaded guilty to wire fraud, which carries a maximum penalty of 20 years in prison, and making and subscribing a false return, which carries a maximum penalty of three years in prison. Sentencing is scheduled for July 19, 2013.
According to a statement of facts filed with his plea agreement, Coston was hired as an operations manager at DTS and was the primary employee that handled payroll disbursements through the company’s online payroll processing system. Coston admitted that from January 2010 through December 2011, he used former employees’ information to funnel payroll funds into bank accounts that Coston actually controlled, which he then accessed and used for his own financial benefit. When he filed his taxes for 2010 and 2011, he claimed that he received more than $63,000 in wages each year, when in reality he received an additional $120,000 in 2010 and $325,000 in 2011 as a result of his embezzlement scheme.
This case was investigated by IRS-CI and the FBI’s Washington Field Office. Assistant United States Attorney Chad Golder is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Woman Pleads Guilty in White Plains Federal Court for Operating A Long-Term Fraud SchemeRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that ALICIA HOLMES pled guilty yesterday to a three-count Indictment, charging HOLMES with devising and operating a scheme to defraud individuals and entities of hundreds of thousands of dollars in accommodations, goods, services, and money. HOLMES pled guilty to one count of wire fraud, one count of mail fraud, and one count of providing a false address in furtherance of fraud today in White Plains federal court before U.S. District Judge Kenneth M. Karas, who set a sentencing date for June 24, 2013.
According to the allegations in the Indictment filed in White Plains federal court:
From at least in or about April 2007 through in or about May 2011, HOLMES made false and fraudulent representations to hotel managers and staff, real estate brokers, property builders, home owners, and school administrators, among others, through emails, telephone calls, and letters, including statements that:
- she owned and/or was in the process of purchasing certain high-end properties, including homes valued between approximately $6,255,000 and $17,000,000;
- she had assets of great value that she would gain access to in as soon as a few days;
- she required financial assistance from the victims until she was in possession of those assets, and
- once she was in possession of her purported assets, she would use those assets to purchase certain high-end properties from some of the victims, or to pay money that she owed to the victims.
HOLMES did not have or reasonably expect to have access to assets of great value, did not own any high-end properties, and knew that her representations were false at the time she made them.
HOLMES, 49, is eligible for enhanced penalties at sentencing because she continued her offense while on pretrial release. She faces a maximum term of imprisonment of 65 years, fines of up to $250,000 or twice the gross pecuniary gain or loss resulting from the offense, restitution to victims, and forfeiture of the proceeds of her offenses.
Mr. Bharara praised the investigative work of the United States Postal Inspection Service and the Federal Bureau of Investigation.
This case is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Ilan Graff, Lee Renzin, and Anna M. Skotko are in charge of the criminal prosecution.
If you think you may have been a victim in this case or have additional information, please call Postal Inspector Patricia Thornton at 914-993-1930.
U.S. v. Alicia Holmes S2 Indictment
Williamsville Man Indicted on Wire Fraud ChargesRead the Press Release
BUFFALO, N.Y.--U.S. Attorney William J. Hochul, Jr. announced today that a federal grand jury in Buffalo has returned a six-count indictment charging Nicholas Mussolini, 30, of Williamsville, N.Y., with running a loan scheme which resulted in at least one victim suffering a financial loss of over $300,000. The charges carry a maximum penalty of 20 years in prison, a fine of $250,000 or both.
Assistant U.S. Attorney Maura K. O'Donnell, who is handling the case, stated that according to the indictment, the defendant ran Preston Waters Corporation, a company which purported to be able to obtain large loans for other companies. Mussolini represented to victim companies that a deposit was required in order to secure loans on their behalf. As part of this scheme, a company known as Knob Hall Winery gave over $400,000 to the defendant, as a deposit for an approximately $11,000,000 loan. The defendant did not use this money to obtain a loan for Knob Hall Winery and instead used the funds for personal and other expenses, and to repay other victims of the fraud scheme.
The indictment is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Christopher M. Piehota.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Week in Review – South BendRead the Press Release
FOR IMMEDIATE RELEASECONTACT: Mary L. Hatton
www.usdoj.gov/usao/inn/ Fax: (219) 852-2770
South Bend, Indiana -- The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS:
Larry Harris, Jr., 25, of South Bend, Indiana, pled guilty before Magistrate Judge Christopher Nuechterlein to the felony offense of possession of a firearm by a convicted felon.Magistrate Nuechterlein is recommending that the district court accept the tendered guilty plea.Parties have 10 days in which to object to the magistrate judge’s recommendation. Sentencing has been set for 6/5/13.These charges were filed as a result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the South Bend Police Department.This case is being prosecuted by Assistant United States Attorney Donald Schmid.
Aurelio Guerra, 46, of Weslaco, Texas, a defendant in the case US v Doty et al., pled guilty before Magistrate Judge Christopher Nuechterlein to the felony offenses of distribution of marijuana and possession of a firearm in furtherance of drug trafficking.Magistrate Nuechterlein is recommending that the district court accept the tendered guilty plea.Parties have 10 days in which to object to the magistrate judge’s recommendation. Sentencing has been set for 6/21/13.These charges were filed as a result of an investigation by the Drug Enforcement Administration, the Laporte County prosecutor’s office as well as the drug unit for Laporte County and the ICE unit for Elkhart County.This case is being prosecuted by Assistant United States Attorney William Grimmer.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS:
Willie Caldwell, of South Bend, Indiana, was sentenced by District Judge Jon DeGuilio to 70 months imprisonment and 3 years of supervised release after pleading guilty to the felony offenses of possession of a firearm in furtherance of a drug trafficking crime and possession of a firearm by a convicted felon.According to documents filed by the government in this case, Caldwell admitted he was distributing marijuana and possessed a Ruger .45 pistol and a Winchester rifle.Law enforcement executed a search warrant at his home and recovered the pistol, the rifle, assorted ammunition, 18 baggies of marijuana and a scale.This case was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the South Bend Police Department.This case was prosecuted by Assistant United States Attorney Donald Schmid.
Oliver Collins, 49, of Key West, Florida, was sentenced by District Judge Jon DeGuilio to 2 years of supervised release, 6 months of location monitoring on home detention and restitution of $32,542 after pleading guilty to the felony offense of theft from a program receiving federal funds.According to documents filed by the government in this case, Collins admitted that he purchased a camera valued at over $5,000 in July of 2005 with funds granted by the National Science Foundation for a science project through the University of Notre Dame. The project had received over $10,000 in a one year period under the grant. He purchased the camera for personal, professional use, and to assist himself on the grant work. However, the camera was not part of the approved grant or project approved by the NSF nor did he get approval to use the camera for personal matters. This case was the result of an investigation by the National Science Foundation.This case was prosecuted by Assistant United States Attorney Frank Schaffer.
Week in Review – HammondRead the Press Release
FOR IMMEDIATE RELEASECONTACT: Mary Hatton
www.usdoj.gov/usao/inn/ FAX (219) 852-2770
Hammond, Indiana - The United States Attorney’s Office announced the following activity in Federal Court:
PLEAS:
David Finley, Jr., 32, of Merrillville, Indiana, pled guilty before District Judge Joseph Van Bokkelen to the felony offenses of making false statements during the purchase of a firearm and distribution of marijuana.Sentencing has been set for 5/8/13.These charges were filed as a result of an investigation by the Federal Bureau of Investigation.This case is being prosecuted by Assistant United States Attorney Gary Bell.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS:
Mark Bailey, 52, of, Merrillville, Indiana, was sentenced by District Judge Theresa Springmann to 24 months imprisonment and 12 months of supervised release after pleading guilty to the felony offense of aggravated identity theft.This case was the result of an investigation by the United States Postal Service-Office of the Inspector General.This case was prosecuted by Assistant United States Attorney Lovita Morris King.
Corey Dawson, 32, of Sauk Village, Illinois, was sentenced by Senior District Judge Rudy Lozano to 37 months imprisonment and 2 years of supervised release after pleading guilty to the felony offense of conspiracy to possess with the intent to distribute heroin.According to documents filed by the government in this case, Dawson was part of a conspiracy that involved distributing a large quantity of heroin to various individuals who were largely young people from the northern Indiana area.This case was the result of an investigation by the Drug Enforcement Administration.This case was prosecuted by Assistant United States Attorney Jennifer Chang-Adiga.
Orlando Alvarez-Barrientos, 34, of South Albany, Illinois, was sentenced by District Judge Joseph Van Bokkelen to 63 months imprisonment and 4 years of supervised release after pleading guilty to the felony offense of possession with the intent to distribute heroin.This case was the result of an investigation by the Drug Enforcement Administration and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.This case was prosecuted by Assistant United States Attorney Joshua Kolar.
Week in Review – Fort WayneRead the Press Release
FOR IMMEDIATE RELEASECONTACT: Mary Hatton
www.usdoj.gov/usao/inn/ FAX (219) 852-2770
Fort Wayne, Indiana- The United States Attorney’s Office announced the following activity in Federal Court:
PLEA:
Dashawn Jones, 23, of Fort Wayne, Indiana, pled guilty before Magistrate Judge Roger Cosbey to the felony offense of possession of a firearm by a convicted felon.Magistrate Cosbey is recommending that the district court accept the tendered guilty plea.Parties have 10 days in which to object to the magistrate judge’s recommendation. These charges were filed as a result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and Allen County Community Corrections.This case is being prosecuted by Assistant United States Attorney Anthony Geller.
Jose Soto, 30, of Fort Wayne, Indiana, a defendant in the case US v Buchanan et al., pled guilty before Magistrate Judge Roger Cosbey to the felony offense of conspiracy to possess with the intent to distribute cocaine and crack cocaine. Magistrate Cosbey is recommending that the district court accept the tendered guilty plea.Parties have 10 days in which to object to the magistrate judge’s recommendation. These charges were filed as a result of an investigation by the Federal Bureau of Investigation, the Indiana State Police, the Fort Wayne Police Department, the Allen County Police Department, the Allen County Drug Task Force and the New Haven Police Department.This case is being prosecuted by Assistant United States Attorneys Anthony Geller and Lesley Miller Lowery.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
DISPOSITIONS:
Osiris Espinoza, 31, of Fort Wayne, Indiana, a defendant in the case US v Castaneda et al., was sentenced by District Judge Theresa Springmann to 168 months imprisonment and 5 years of supervised release after pleading guilty to the felony offense of conspiracy to distribute and possess with the intent to distribute cocaine.According to documents filed by the government in this case Espinoza and others were involved in shipping drug proceeds in a package from Fort Wayne to California.As part of the conspiracy, Espinosa shipped a 49-pound package to California, with himself listed on the return address. The box was shipped overnight and was claimed to be frozen food. Based upon interceptions, Espinoza had been gathering money at his apartment, and based upon expert opinion, the Defendant was sending drug proceeds to California for eventual transport to the supplier in Mexico. This case was the result of an investigation by the Federal Bureau of Investigation.This case was prosecuted by Assistant United States Attorney Anthony Geller.
Washington, DC Resident Enters Plea of Guilty in Federal CourtRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistMARTINSBURG, WEST VIRGINIA — A 38 year old Washington, DC, resident entered a plea of guilty on February 27, 2013, in United States District Court before Judge Gina M. Groh.
United States Attorney William J. Ihlenfeld, II announced that: BRIAN CLIFTON JACKSON, who was in the second day of a jury trial for “Conspiracy to Distribute Heroin and Cocaine Hydrochloride” entered a plea of guilty to “Use of a Communication Facility in Furtherance of a Drug Transaction.” JACKSON is charged with using the public telephone system on May 12, 2011, to facilitate the distribution of heroin in Berkeley County, West Virginia. JACKSON, who is in custody pending sentencing, faces up to 8 years imprisonment and a $250,000 fine. JACKSON’s penalties are enhanced due to his prior convictions in 1991 and 1994 for possession with intent to distribute cocaine in Prince George’s County, Maryland.
This case was prosecuted by Assistant United States Attorneys Jarod Douglas and Stephen Warner and was investigated by the Eastern Panhandle Drug & Violent Crime Task Force, consisting of officers from the West Virginia State Police - Bureau of Criminal Investigation, the Martinsburg Police Department, and the Berkeley County Sheriff’s Department.
Vietnamese National Pleads Guilty to Firebombing Hazlehurst BusinessRead the Press Release
BRUNSWICK, GA: Leon Buu Dam, 48, a naturalized American citizen from South Vietnam, pleaded guilty before Chief Judge Lisa Godbey Wood on Thursday, February 28 to two charges relating to the firebombing of Cindy Nails, a business operating on South Tallahassee Street in Hazlehurst, Georgia. The bombing resulted in the total loss of the contents of the business, totaling over $21,000.
United States Attorney Edward J. Tarver stated, “Whatever his motive, firebombing a commercial business is never the solution. At a minimum, this Defendant now faces a 15 - year prison sentence. It is unfortunate that he will now be forced to surrender the rights that he earned on his quest for citizenship. His arson days are now extinguished.”
Evidence presented at the guilty plea hearing showed that Cindy Nails caught fire just after business hours on December 7, 2010. The fire destroyed the interior of the building and all its contents. Arson investigators discovered a ball-style trailer hitch, an alarm clock, and a bundle of matches wrapped in duct tape, along with evidence of a flammable accelerant inside the building. The investigation revealed that Dam had purchased a trailer hitch and alarm clock, just like those found in the business, along with a quart of Coleman kerosene, at a nearby Wal-Mart a few weeks earlier. Surveillance video from nearby businesses on the night of the bombing placed Dam and his vehicle at the business that night.
Dam now faces a mandatory minimum sentence of 15 years in prison. Mr. Tarver noted that there is no parole in the federal system. He is presently in the custody of the United States Marshal.
The case was the result of a joint investigation conducted by the ATF, the Georgia State Fire Marshall, and the Hazlehurst Fire Department. Assistant United States Attorney Cameron Heaps Ippolito is prosecuting this case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Two Men Arrested for Drug TraffickingOver One Kilo of Heroin and Bullet Proof Vest Recovered from Search TodayRead the Press Release
BOSTON - A criminal complaint was unsealed today charging two men, from Bourne and New Bedford, with federal narcotics trafficking. The complaint resulted from federal, state and local authorities efforts to reduce violence and drug trafficking in the New Bedford area by identifying and investigating individuals involved in these criminal activities.
Francisco Monteiro, a/k/a Cisco, (“Monteiro”), 32, of Bourne, is charged with conspiracy to distribute heroin; and Junior Lopes (“Lopes”), 34, of New Bedford, is charged with conspiracy to distribute heroin.
During a court authorized search of Lopes’s home today at 162 Apponagansett Street in New Bedford, agents seized approximately one and a half kilograms of heroin as well as a bullet-proof vest. During the search of Monteiro’s residence today at 4D Beach Plum Lane, in Bourne, agents seized packaging materials, cell phones and other evidence consistent with drug trafficking.
Monteiro and Lopes are charged with conspiring among themselves, and others, to distribute over 100 grams of heroin. It is alleged that on Feb. 15, 2013, Monteiro and Lopes arranged and facilitated the sale of almost 100 grams of heroin to a cooperating witness in New Bedford. Federal agents recorded telephone calls to Monteiro where he agreed to provide heroin to a cooperating witness (“cw”). Monteiro and Lopes allegedly drove with the cw to an address in New Bedford where the heroin sale was completed. Monteiro and Lopes further planned and arranged for the sale of an additional 50 grams of heroin to the cw that was to take place on Feb. 25, 2013, although the sale was not completed.As detailed in the complaint, Monteiro and Lopes have extensive criminal histories of violent crimes, including armed robberies of other drug dealers to obtain money to fund their drug dealing activities. Monteiro has prior convictions for drug distribution and unlawful possession of a firearm. In 2003, Lopes was convicted in U.S. District Court in Boston for gun and drug trafficking and received a sentence of 130 months. Lopes is currently on supervised release for those offenses.
The maximum penalty under the statute if convicted for both defendants is a mandatory minimum sentence of 20 years, up to life in prison; a fine of up to $20 million; and a minimum period of supervised release of 10 years.
United States Attorney Carmen M. Ortiz; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Colonel Timothy Alben, Superintendent of the Massachusetts State Police; C. Samuel Sutter, Bristol County District Attorney; Sheriff Thomas M. Hodgson of Bristol County; Chief Dennis R Woodside of the Bourne Police Department; and Chief Richard M. Stanley of the Wareham Police Department made the announcement today.
This case is being prosecuted by Christopher Pohl in Ortiz’s Organized Crime Strike Force Unit.
The details contained in the complaint are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Tucson Businessman Sentenced to 151 Months for Unlawful Possession and Use of A Chemical WeaponRead the Press Release
TUCSON – On March 1, 2013, Todd Russell Fries, aka Todd Burns, age 49, of Tucson, Ariz., was sentenced by U.S. District Judge Cindy K. Jorgenson to 151 months in the Bureau of Prisons. Fries was found guilty by a federal jury on October 5, 2012, of unlawful possession and use of a chemical weapon and providing false information to the FBI.
Evidence presented at trial showed that the victims hired Fries, the owner of Burns Power Washing, to perform work on the driveway of their northwest Tucson home. Although Fries’ employees performed the work, the victims were not happy with its quality. The victims ultimately stopped payment on the final installment, which was a check in the amount of $200.00 made payable to Fries.
Following cancellation of the check, the victims were the subject of what was originally thought to be a hate crime. On the morning of Nov. 1, 2008, the victims woke up to find that motor oil, paint, grease, feces, dead animals, and foam packing peanuts had been strewn on the driveway leading up to the front door of their home. The home and driveway had been painted with graffiti, which included swastikas and slurs. The garage door was sealed shut with an adhesive.
As a result of the first attack, the victims moved to a gated community, near the Omni National Golf Course. On the morning of Aug. 2, 2009, the Pima County Sheriff's Department received several emergency calls that reported a strong chemical smell near the Omni National Golf Course. The Sheriff's Department and the Northwest Fire Department responded to the victims’ home and observed a strong chlorine smell, as well as a huge white cloud containing chlorine that enveloped the neighborhood. After evacuating the neighborhood, deputies found buckets of burning, gas-emitting, debris in front of the home, as well as on the back patio of the home. Deputies also found a thick, viscous, slimy material, which appeared to be a combination of paint, motor oil, and foam peanuts, spread on the front driveway, the sidewalk, and the walkway leading to the front door of the home. In addition, deputies found dead animal and woodpecker carcasses strewn in the front of the home. Gang graffiti was spray painted on the front of the home. The front door, windows, and garage door were all sealed shut with a foam expanding seal.
The FBI investigation was able to link the items found at the scenes of both attacks to Fries.
The investigation in this case was conducted by the Federal Bureau of Investigation, the Pima County Sheriff’s Department, the Marana Police Department, the Tucson Police Department, and the Northwest Fire Department. The prosecution is being handled by Beverly K. Anderson and David A. Pimsner, Assistant U.S. Attorneys, District of Arizona, Tucson and Phoenix.
CASE NUMBER: CR-11-1751-TUC-CKJ
RELEASE NUMBER: 2013-019_FriesFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Top Department of Justice Award Recognizes Federal, State and Local Law Enforcement Efforts Along the "Heroin Highway"Read the Press Release
PROVIDENCE, R.I. – Sixteen federal, state and local Rhode Island law enforcement agents and officers, and a federal prosecutor from the United States Attorney’s Office for the District of Rhode Island, were recognized today with a top Department of Justice award for their achievements significantly impacting the trafficking of heroin along the “Heroin Highway.” This notorious stretch of highway, running from I-195 East from Providence, R.I., to Cape Cod, Mass., has been used for many years to transport heroin to street level drug dealers and drug users.
Over the past two years, law enforcement agents and officers from the Drug Enforcement Administration (DEA), the R.I. DEA Drug Task Force, Homeland Security Investigations, Rhode Island State Police, and the Providence, Warwick, East Providence, Newport, Pawtucket and Cranston Police Departments coordinated efforts and employed a variety of techniques to gather intelligence and information to identify heroin drug traffickers operating along the “Heroin Highway.” To date, “Operation Heroin Highway” has resulted in the arrest of 32 individuals, ranging from street level drug dealers to high level Mexican, Dominican and Guatemalan heroin traffickers. Law enforcement has seized more than 5 kilos of heroin, more than 6 kilos of cocaine and assets totaling at least $609,000.
It is believed that the individuals arrested during “Operation Heroin Highway” were supplying as much as 60% of the heroin being distributed along I-195 East from Providence to Cape Cod.
Today, in a ceremony at the United States Attorney’s Office in Providence, United States Attorney Peter F. Neronha; Associate Deputy Attorney General James H. Dinan, Director of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF); John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division; and J. Michael Netherland, Deputy Special Agent in Charge of Homeland Security Investigations (HSI), recognized sixteen law enforcement officers and agents and a federal prosecutor by presenting each with the top 2012 New England Regional OCDETF award for outstanding contributions to cooperative law enforcement and to the OCDETF Program.
United States Attorney Peter F. Neronha commented, “People ask, why do we continue this war on drugs? Because illegal drugs, and especially heroin, ruin people’s lives, and not only the lives of the people using them. They lay waste to human potential, and cause violent and other crime. As a result of the outstanding work of the agents, officers, and attorneys being honored today, the major source for heroin distribution in Rhode Island and southeastern Massachusetts has been significantly reduced. Law enforcement at its very best.”
“Heroin destroys individuals, families and communities. DEA and our partners are committed to dismantling criminal organizations that attempt to flood our neighborhoods with heroin”, said DEA Special Agent in Charge John J. Arvanitis.” We congratulate these agents and officers and prosecutors recognized today for their hard work, dedication and selflessness. These enforcement successes are a direct result of the combined efforts of DEA, along with our state and local partners.”
"I commend all the federal, state and local law enforcement agents and officers for their tireless efforts to combat drug trafficking in our communities and for receiving this prestigious award," said J. Michael Netherland, Deputy Special Agent in Charge of HSI Boston. "These drug traffickers commit violent crimes and terrorize our neighborhoods. Disrupting and dismantling their activities is a top priority for HSI. As “Operation Heroin Highway” clearly demonstrates, we are committed to working with our law enforcement partners on this important task.”
The OCDETF Program was established in 1982 as a multi-agency, nationwide effort to pursue intelligence-driven, coordinated multi-jurisdictional investigations of criminal organizations trafficking drugs and laundering the illicit proceeds of crime. The OCDETF Program forms the centerpiece of the DOJ counter-narcotics strategy and is also the platform through which the Department of Homeland Security and the Department of the Treasury pursue complex drug and drug-related money laundering investigations. Through the OCDETF Program, these three Executive Departments use prosecutor-led, multi-agency task forces to combat high-priority national and international organized criminal organizations.
Recognized for their outstanding achievements during “Operation Heroin Highway” and to the OCDETF Program were:
DEA Special Agent Kevin Eaton
DEA Special Agent Dave Carnevale
DEA Special Agent Alex Koumanelis
DEA Special Agent James McCormack
DEA Special Agent Robyn Meletis
DEA Analyst Andrea Metz
DEA Drug Task Force Officer Dennis Smith, Pawtucket Police Department
DEA Drug Task Force Officer Mike Naylor, Newport Police Department
DEA Drug Task Force Officer Robert Page, Warwick Police Department
DEA Drug Task Force Officer Mike Masaitis, East Providence Police Department
DEA Drug Task Force Officer Juan Robles, Providence Police Department
Sgt. Dennis Fleming, Rhode Island State Police
Special Agent Michael Carvalho, Homeland Security Investigations
Det. Darren Ellinwood, East Providence Police Department
Sgt. Diogo Mello, East Providence Police Department
Lt. Russ Henry, Cranston Police Department
Assistant U.S. Attorney Adi Goldstein, Deputy Criminal ChiefContact: 401-709-5357
[email protected]Three Indicted for BurglaryRead the Press Release
United States Attorney Brendan V. Johnson announced that two men and a woman from Timber Lake, South Dakota have been indicted by a federal grand jury for Third Degree Burglary of a downtown business.
Jake Morrison, age 31; Nicholas Guttierrez, a/k/a Nicholas Gutierrez, age 19; and Stephanie Vandervier, age 27, were indicted by a federal grand jury on February 13, 2013. They appeared before U.S. Magistrate Judge Mark A. Moreno on February 25, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is 10 years in custody, a $250,000, or both; 3 years of supervised release; and a $100 special assessment. Restitution may also be ordered.
The charges relate to a January 6, 2013 alleged break-in at the Chatter Box Bar and Cafe in Timber Lake. The charges are merely an accusation, and Morrison, Guttierrez, and Vandervier are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Division. Assistant U.S. Attorney Mikal Hanson is prosecuting the case. Guttierrez and Vandervier were released on bond pending trial. Morrison was remanded to the custody of the U.S. Marshal. A trial date has not been set.
Three Face Federal Charges in Armed Robbery of Convenience StoreRead the Press Release
Peoria, Ill. – Two local men and a woman face federal charges in the July 1, 2012, armed robbery of the Casey’s convenience store in Washington, Ill. Those charged with interference with commerce by robbery, known as the Hobbs Act, are: Todd Lawson, 23, no known address; Whitney Graham, 21, of Sun Valley Court, East Peoria; and Lucious Turntine, 24, of the 900 block of S. Sumner, Peoria, Ill.
The indictment alleges that Lawson, Graham and Turntine conspired and worked together to commit the armed robbery of Casey’s General Store in Washington, Ill., on July 1, 2012. Graham allegedly drove Lawson and Turntine to the area and provided them with the store’s safe combination. According to the indictment, Lawson and Turntine entered the store and while one held the clerk at gunpoint, the other opened the safe and took money. Graham then allegedly drove the two away from the store.
The charges were announced this afternoon by U.S. Attorney Jim Lewis, Central District of Illinois, and Tazewell County State’s Attorney Stewart J. Umholtz; Matthew Galecki, Acting Resident Agent in Charge for the Springfield Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives; Washington Police Chief James W. Kuchenbecker; Peoria Police Chief Steven M. Settingsgaard; Master Sergeant Kenneth Mullen, Illinois State Police; Tazewell County Sheriff Robert M. Huston; and Pekin Police Chief Greg Nelson. The case is being prosecuted in federal court by Assistant U.S. Attorney Tate Chambers.
The three-count indictment was returned by the grand jury last week, but remained sealed pending the defendants’ respective court appearances yesterday. The three are each charged with interference of commerce by robbery; using or carrying a firearm during a crime of violence; and conspiracy to use or carry a firearm in relation to a crime of violence. All were ordered to remain in the custody of the U.S. Marshals Service pending trial, scheduled for May 6, 2013, before Chief U.S. District Judge James E. Shadid.
If convicted, the Hobbs Act offense carries a maximum statutory penalty of up to 20 years in prison. Use or carrying a firearm during and in relation to a violent crime carries a mandatory minimum of 10 years in prison and up to life, to be served consecutive to any term of imprisonment ordered for the underlying crime of violence. For conspiracy to use or carry a firearm in relation to a crime of violence, the penalty is up to 20 years in prison.
Members of the public are reminded that an indictment is merely an accusation; each defendant is presumed innocent unless proven guilty.
Texas Man Convicted in Corporate Hacking CaseRead the Press Release
A Texas resident was convicted today by a federal jury for conspiring to hack into his former employer’s computer network, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney for the Northern District of Texas Sarah R. Saldaña.
Michael Musacchio, 61, of Plano, Texas, was found guilty by a federal jury in Dallas of one felony count of conspiracy to make unauthorized access to a protected computer (hacking) and two substantive felony counts of hacking.
According to the evidence submitted at trial, from 2002 to 2004, Musacchio was the president of Exel Transportation Services, a third party logistics or intermodal transportation company that facilitated links between shippers and common carriers in the manufacturing, retail and consumer industries. In 2004, Musacchio left Exel to form a competing company, Total Transportation Services, where he was the original president and CEO. Two other former Exel employees, Joseph Roy Brown and John Michael Kelly, also went to work at Musacchio’s new company. Trial testimony and exhibits established that between 2004 and 2006, Musacchio, Brown and Kelly engaged in a scheme to hack into Exel’s computer system for the purpose of conducting corporate espionage. Through their repeated unauthorized accesses into Exel’s email accounts, the co-conspirators were able to obtain Exel’s confidential and proprietary business information and use it to benefit themselves and their new employer.
A federal grand jury had returned an indictment against the three men on Nov. 2, 2010. Brown and Kelly entered guilty pleas on May 19, 2011, and Aug. 2, 2012, respectively, and are awaiting sentencing. Musacchio is scheduled to be sentenced on June 14, 2013, before U.S. District Judge Jorge A. Solis in the Northern District of Texas.
The case was investigated by the FBI Dallas Field Office and was prosecuted by Assistant U.S. Attorneys Linda Groves and Candina Heath and Trial Attorney Rick Green of the Criminal Division’s Computer Crime and Intellectual Property Section.Tennessee Prisoner Indicted for Anthrax HoaxRead the Press Release
Indictment Alleges That Defendant Mailed Threatening Letters With White Powder to State and Local Officials
Branden Frady, 32, of Johnson City, Tennessee, was indicted by a federal grand jury in Nashville yesterday, in a 10-count indictment charging him with sending threats through the U.S. Postal Service and conveying false information indicating the use or attempted use of Anthrax, announced Jerry E. Martin, U.S. Attorney for the Middle District of Tennessee.
According to the indictment, between September 10, 2012, and September 18, 2012, while Frady was a prisoner at Riverbend Maximum Security Institute in Nashville, he prepared and sent six threatening letters to Tennessee Governor Bill Haslam, Tennessee Secretary of State Tre Hargett, the U.S. Post Office, and an Assistant District Attorney General for the 20th Judicial District of Tennessee in Nashville. Four of the letters contained white powder that the defendant claimed was Anthrax. The letters also made explicit death threats against the officials.
“Threats involving the use of weapons of mass destruction cause significant disruption in the workplace and to government operations,” said U.S. Attorney Jerry E. Martin. “Such threats often exhaust public safety resources and cause needless harm to the public. For those who choose to engage in such conduct, the U.S. Attorney’s Office and our law enforcement partners will act swiftly to neutralize the threat, identify those responsible and bring them to justice.”
One example alleged in the indictment is that Frady sent a letter from prison to the Office of the District Attorney General in Nashville, that arrived on September 11, 2012, and contained a white powder substance. In the letter, Frady wrote, “here is some Anthrax,” “you got to die,” and “I will kill you.” In response to this letter, local law enforcement officers and firefighters responded to the scene, evacuated the offices of the Nashville District Attorney General, and closed nearby buildings.
It is also alleged in the indictment that letters Frady sent to the Office of Governor Bill Haslam, Secretary of State Tre Hargett, and the U.S. Post Office contained similar threats. For example, after sending a letter to the Governor that contained threats but without white powder, Frady sent a second letter to the Governor stating, “This time I am sending you some Anthrax,” and “you will die.” This letter did contain a white powder. The indictment also alleges that, in a second letter to the Office of the District Attorney General, Frady wrote: “I’m back,” “Here is some Anthrax for real,” and claimed that “there is a bomb being placed in the D.A. Office[,] the Governor Office and the Post Office in Nashville so you will blow up.”
If convicted, Frady faces a maximum sentence of five years in prison and a $250,000 fine for each count.
The case was investigated by the FBI, the Tennessee Highway Patrol, the Tennessee Department of Correction and the Metropolitan Nashville Police Department. Assistant United States Attorney Alex Little is representing the government.
An indictment is merely an accusation and is not evidence of guilt. Defendants are presumed innocent unless and until proven guilty in a court of law.
Ten People Indicted for Drug ConspiracyRead the Press Release
United States Attorney Brendan V. Johnson announced that ten individuals have been indicted by a federal grand jury for Conspiracy to Distribute Controlled Substances in South Dakota between 1993 and 2013. The individuals charged include the following:
• Leslie “Luke” Pond, 52, of Wounded Knee
• Marvin Boltz, 49, of Manderson
• Robert Dale Martin, 46, of Manderson
• Tricia Lee Pond, 41, of Pine Ridge
• Greg Lynn Pond, 44, of Pine Ridge
• Charles Lee Richards, 42, of Pine Ridge
• Kelcey L. Twiss, 24, of Pine Ridge
• Brandon Charles Schreiner, 26, of Pine Ridge
• Sam Bear Robe, 37, of Pine Ridge
• Ronald Two Bulls, 65, of Pine Ridge
All defendants were indicted on February 20, 2013 for conspiracy to distribute cocaine and marijuana. All defendants listed above, with the exception of Marvin Boltz, appeared before U.S. Magistrate Judge Veronica L. Duffy on February 25, 2013 and pled not guilty to the indictment. Boltz appeared before U.S. Magistrate Judge Veronica L. Duffy on February 28, 2013 and pled not guilty to the indictment. The penalty upon conviction is not less than 5 years of imprisonment and up to 40 years of imprisonment and/or $5,000,000 fine. The charges are merely accusations and each individual is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force. Agencies involved in the investigation include the Federal Bureau of Investigation, Division of Criminal Investigation, Bureau of Indian Affairs Office of Justice Services, Oglala Sioux Tribe Department of Public Safety, Fall River County Sheriff’s Office, and Fall River State’s Attorney’s Office. Homeland Security Investigations also assisted with the investigation.
Special Assistant U.S. Attorney Laura Shattuck is prosecuting the case. Greg Pond, Boltz, Martin, Twiss, Bear Robe, and Two Bulls were released on bond pending trial. Leslie “Luke” Pond, Tricia Pond, Richards, and Schreiner were remanded to the custody of the U.S. Marshal. A trial date has been set for April 30, 2013.
Ten Individuals Headed to Federal Prison as A Result of "Pines Operation"Read the Press Release
Tampa, FL - U.S. Attorney Robert E. O'Neill announces that Jaris Youngblood (34, Tampa) was sentenced yesterday by U.S. District Judge Elizabeth A. Kovachevich to 15 years and 8 months in federal prison for distributing crack cocaine. Youngblood was the last individual to be sentenced on federal charges as a result of “Operation Pines.”
According to court documents, the Hillsborough County Sheriff's Office (HCSO), along with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), initiated the "Pines Operation" in an effort to combat an ongoing drug and gang epidemic in a pair of apartment complexes located in Tampa. Approximately 52 individuals were arrested on state or federal charges as a result of the operation, ten individuals were charged federally.
“This lengthy prison sentence will remove another dangerous criminal who has plagued our neighborhoods by selling drugs,” stated Special Agent in Charge Julie Torres. “The success of ‘Operation Pines’ is attributed to the excellent undercover work that was conducted and the solid partnership between ATF, our law enforcement partners, and the United States Attorney’s Office.”
“These arrests are another example of the positive results by local and federal agencies working together to remove individuals off of our streets,” said Sheriff David Gee.
Nine others were previously sentenced to federal prison terms. Zavien Brand (29, Tampa) was sentenced to 31 years for distributing crack cocaine, being a felon in possession of a firearm, and possessing a firearm during and in furtherance of a drug trafficking crime. Cuwissie Hamilton (34, Tampa) was sentenced to 16 years for distributing 28 grams or more of crack cocaine. Bruce Kenyon Davis (32, Tampa) was sentenced to 15 years and 8 months for distributing crack cocaine. Victor Milliner (25, Tampa) was sentenced to 15 years for distributing crack cocaine, being a felon in possession of a firearm, and possessing a firearm in furtherance of a drug trafficking crime. Terrill LaDaja Gainous (32, Tampa) was sentenced to 10 years and 10 months for distributing crack cocaine. Tyrone Flowers (50, Seffner) was sentenced to 10 years for distributing crack cocaine. Kenneth Wayne Richardson (46, Tampa) was sentenced to 7 years and 1 month for distributing crack cocaine. Shay John (39, Tampa) was sentenced to 5 years and 10 months for distributing crack cocaine. Kimoy Prince (22, Tampa) was sentenced 5 years and 10 months for distributing cocaine base. And, Aaron Petrus (27, Jacksonville) was sentenced to 4 years and 3 months for distributing crack cocaine.
This case was investigated by ATF and HCSO. It was prosecuted by Assistant United States Attorney Thomas N. Palermo and Walter E. Furr.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. U.S. Attorney O’Neill, along with SAC Torres, is coordinating the Project Safe Neighborhoods effort in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.
Taylor County, Kentucky, Felon Guilty of Growing Marijuana for Distribution and Illegal Possession of FirearmsRead the Press Release
BOWLING GREEN, Ky. – A Taylor County, Kentucky felon, pleaded guilty in United States District Court this week, before Senior Judge Thomas B. Russell, to a two count federal grand jury indictment charging him with manufacture and possession with intent to distribute marijuana and felon in possession of firearms, announced David J. Hale, United States Attorney for the Western District of Kentucky.
Jeff Cheatham, Jr., age 47, was charged by a federal grand jury on August 15, 2012 and pleaded guilty to the charges on February 28, 2013. Cheatham is a convicted felon having previously been sentenced in Taylor Circuit Court on February 18, 2002 to trafficking in Marijuana and first degree possession of a controlled substance.
According to the plea agreement, on July 9, 2012, in Taylor County, agents with the United States Drug Enforcement Administration (DEA) located an outdoor marijuana grow on and around the property of Cheatham. Agents discovered 789 marijuana plants, located in multiple locations, in various stages of growth. DEA also located several firearms (a Savage, Model110, .30-06 caliber rifle, a Marlin Firearms Co., Model6669, .22 caliber rifle, and a Davis Arms, Model P-380, .380 caliber pistol) inside the defendant's residence.
At sentencing, Cheatham faces a combined maximum sentence of 50 years in prison and a combined minimum sentence of not less than five years in prison, a fine of up to $8,250,000 and a period of supervised release of no less than five years and up to and including life. Sentencing is schedule in Bowling Green, before Senior Judge Russell at 12:30pm on July 2, 2013.
This case is being prosecuted by Assistant United States Attorney Mac Shannon and is being investigated by the DEA.
Tampa Man Charged with Armed RobberiesRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces the return of an indictment charging Gabriel James Brown, Jr. (33, Tampa) with bank robbery, two Hobbs Act robberies of businesses, and carrying, using, and brandishing a firearm in relation to those crimes of violence. If convicted on all counts, Brown faces a mandatory minimum penalty of 57 years in federal prison, up to a maximum penalty of life imprisonment. The indictment also notifies him that the United States intends to forfeit a firearm and ammunition seized during the investigation. The United States is also seeking money judgments in the amounts of $441, $631, and $19,127, the proceeds of the charged robberies. Brown was indicted on February 27, 2013.
According to the indictment, on January 18, 2013, Brown committed armed robberies of two businesses in the Tampa area. He allegedly robbed Direct General Auto Insurance located on Adamo Drive in Tampa, and a Metro PCS store located on Kingsway in Seffner. Brown is also charged with committing an armed robbery of a TD Bank in Auburndale on February 5, 2013, robbing the bank of $19,127.
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.
This case was investigated by the Federal Bureau of Investigation, the Polk County Sheriff's Office, the Hillsborough County Sheriff's Office, and the Tampa Police Department. It will be prosecuted by Assistant United States Attorney Mark E. Bini.
Supplier to Eastern Shore Drug Dealer Exiled to 10 Years in PrisonRead the Press Release
Baltimore, Maryland - U.S. District Judge Ellen L. Hollander sentenced Andrew Jackson, age 39, of Baltimore, Maryland, today to 10 years in prison followed by five years of supervised release for conspiracy to distribute and possess with intent to distribute cocaine. Jackson remains detained.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Colonel Marcus L. Brown, Superintendent of the Maryland State Police; Wicomico County Sheriff Michael A. Lewis; Salisbury Police Chief Barbara Duncan; Chief Michael Phillips of the Fruitland Police Department; and Wicomico County State’s Attorney Matthew Maciarello.
According to Jackson’s plea agreement, on May 12, 2011,after intercepting calls from one of Jackson’s co-defendants, law enforcement watched Jackson meet the co-defendant in a store parking lot in Salisbury, Maryland. Jackson provided the co-defendant with a package containing over five kilograms of cocaine. The co-defendant then handed Jackson a shopping bag containing $163,105 in cash. Shortly after the meeting, law enforcement stopped the car being driven by Jackson and recovered the money. On June 8, 2011, Jackson met a co-defendant in Severn, Maryland, where he delivered narcotics to the co-defendant. A search of Jackson’s home on June 29, 2011, recovered $626 in cash from the master bedroom and cocaine residue on the kitchen counter. A subsequent search of Jackson’s car revealed a hidden compartment with two bags containing a total of $71,040 in cash inside. Cocaine residue was also recovered in and around the hidden compartment.
United States Attorney Rod J. Rosenstein commended the DEA and the Wicomico County Narcotics Task Force, comprised of the Maryland State Police, Wicomico County Sheriff’s Office, Salisbury Police Department, Fruitland Police Department and the Wicomico County State’s Attorney’s Office for their work in this investigation. Mr. Rosenstein thanked Assistant United States Attorney Joshua Kaul, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Supplier in Pot Trafficking Conspiracy Sentenced to Ten Years in PrisonRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
COLUMBUS, OHIO – Jose Eduardo Islas, 41, of Tucson, Arizona, was sentenced in U.S. District Court today to 120 months in prison followed by five years of supervised release for supplying thousands of pounds of marijuana for distribution in the Columbus area.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Kathy Enstrom, Special Agent in Charge, Internal Revenue Service Criminal Investigation (IRS), Kevin Cornelius, Special Agent in Charge, Federal Bureau of Investigation (FBI), Franklin County Sheriff Zach Scott and Columbus Police Chief Kim Jacobs announced the sentence imposed today by Senior U.S. District Judge James L. Graham.
According to court documents, investigators identified Islas as the source of supply for significant quantities of marijuana and cocaine coming into Columbus. Islas is one of seven people charged in March 2013 with conspiring to distribute more than 1,000 kilograms of marijuana. Islas pleaded guilty on August 7, 2013 to one count of conspiracy to distribute more than 1000 kilograms of marijuana and one count of conspiracy to commit money laundering.
Other defendants convicted as a result of the investigation include: Jesus Galindo Corrales, 36, Tucson, Arizona, who was sentenced on April 11, 2014 to 72 months in prison.
Quentin Jefferson, 34, of Columbus, Ohio, was sentenced on April 10, 2014 to 60 months in prison on one count of conspiracy to distribute over 100 kilograms of marijuana and one count of money laundering.
Bryan T. Jones, 34, of Columbus, was sentenced on October 25, 2013 to 18 months in prison.
Adrian Raul Islas, 33, of Tucson, Arizona was sentenced on April 11, 2014 to 27 months in prison.
Chad A. Goggans, 41, of Canal Winchester, Ohio was sentenced on April 11, 2014 to 27 months in prison on one count of conspiracy to distribute over 1,000 kilograms of marijuana and one count of conspiracy to commit money laundering.
Carlton E. Jones, 41, of Columbus pleaded guilty on July 22, 2013 to conspiracy to distribute more than 1,000 kilograms of marijuana and conspiracy to commit money laundering. He is scheduled for sentencing on June 26, 2014.
Patrick Stinson Edwards, 49, of Columbus pleaded guilty on February 7, 2014 to one count of conspiracy. His sentencing is scheduled for June 13, 2014.
Kenyatta Meadows, 50, of Columbus pleaded guilty on February 7, 2014 to one count of conspiracy. He is awaiting sentencing.Investigators found that Jones operated a used car lot in Columbus, Unlimited Auto Group. Islas generated loads of marijuana that were delivered to a warehouse at the car lot. Specifically, on February 2012, a load of approximately 4,800 pounds of marijuana and in June 2012, a shipment of 3,000 pounds were delivered by a semi-truck. On October 20, 2012, investigators apprehended them with a load of 1,600 pounds of marijuana.
Jones deposited large sums of currency into the bank accounts of Unlimited Auto Group. Some of this currency came directly from Islas and was derived from the sale of narcotics.
Islas purchased a 2008 BMW 750 Alpina with a check from Unlimited Auto Group and also titled it in the name of Unlimited Auto Group. Also, Jones used the drug proceeds from Islas to purchase a 2007 Volvo semi-truck and a 2004 Wabash Reefer trailer that were registered by Goggans in the name of his business, Goggans, Inc. and eventually titled them in the name of a legitimate trucking company. The semi-truck and trailer were used to transport both marijuana and the proceeds from the sale of marijuana.
During the investigation, agents executed numerous search warrants and recovered hundreds of pounds more of marijuana, firearms, vehicles and cash.
U.S. Attorney Stewart commended the cooperative long-term investigation by the FBI, IRS agents, Columbus Police officers and Franklin County deputies, as well as Assistant U.S. Attorneys Kevin Kelley and David DeVillers, who represented the United States in this case.
Stonington Woman Sentenced to 87 Months in Federal Prison for Role in $1.7 Million Investor Fraud SchemeRead the Press Release
March 1, 2013David B. Fein, United States Attorney for the District of Connecticut, announced that MAUREEN CLARK, 58, of Stonington, was sentenced today by Senior United States District Judge Warren W. Eginton in Bridgeport to 87 months of imprisonment, followed by three years of supervised release, for her role in an investment fraud scheme that defrauded several individuals out of more than $1.7 million. On July 12, 2012, a jury found CLARK guilty of multiple conspiracy, wire fraud and money laundering offenses related stemming from the scheme.
“This defendant engaged in a four-year investment fraud and money laundering scheme,” stated U.S. Attorney Fein. “She told numerous lies to defraud investors of more than $1.7 million, and then used the stolen funds for her own purposes. The U.S. Attorney’s Office and our partners at the FBI are committed to prosecuting fraudsters who prey on the investing public.”
According to the evidence at trial, CLARK and her co-conspirator, Christopher Plummer, holding themselves out as “Authorized Members” of New England Resorts, LLC, falsely represented to investors and potential investors that they owned and/or controlled hundreds of acres of land in Lakeshore, Miss., a portion of which purportedly was zoned for casinos and residential properties. CLARK falsely represented to the investors that she and Plummer would be building a resort community with two million square feet of casino gaming, hotels, condominiums, and a medical facility. They also falsely represented that the partners of the company had invested several hundred million dollars of their own funds in buying land and options on land in and around the town of Lakeshore.
In soliciting funds for the “Lakeshore Development Project,” CLARK and Plummer sent e-mails and attachments to victim investors that falsely represented that major Wall Street investment firms had confirmed that they would partner in the Project. For instance, in June 2007, Plummer sent an e-mail to an individual stating, in part, that a “take out” situation with a major Wall Street firm would result in a buyout of the property for $1.5 billion. In fact, there was no such “take out” plan. CLARK also sent numerous e-mails indicating that she was getting financing from overseas sources. These representations were false.
Evidence at trial further established that CLARK solicited investors on lengthy conference calls on which she made numerous misrepresentations for the purpose of acquiring funds. A number of victims also testified at trial that they met with CLARK and Plummer at the Lighthouse Inn in New London, were told about the casino project, and were convinced by them to invest their money.
After receiving the funds, CLARK and Plummer did not invest the money as represented and instead diverted a significant portion of investors’ funds for their own personal use and benefit, including writing checks to cash, paying the expenses of McGrath Hotels (doing business as the Lighthouse Inn), and making mortgage payments on a property in Stonington.
As a result of this scheme, victim investors suffered losses of approximately $1.7 million.
CLARK was found guilty of one count of conspiracy to commit wire fraud, 13 counts of wire fraud, and six counts of money laundering. She was found not guilty of one count of wire fraud.
On January 26, 2012, Plummer pleaded guilty to one count of conspiracy to commit wire fraud stemming both from this scheme and another scheme through which he defrauded a victim-investor of approximately $179,000. On October 15, 2012, he was sentenced to 51 months of imprisonment. Plummer also has forfeited his interest in a 4.35 acre parcel of property in Stonington, an automobile, and funds that have been seized during the investigation.
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Michael S. McGarry and Senior Litigation Counsel Richard J. Schechter.
In December 2010, the U.S. Attorney’s Office and several law enforcement and regulatory partners announced the formation of the Connecticut Securities, Commodities, and Investor Fraud Task Force, which is investigating matters relating to insider trading, market manipulation, Ponzi schemes, investor fraud, financial statement fraud, violations of the Foreign Corrupt Practices Act, and embezzlement. The task force includes representatives from the U.S. Attorney’s Office; Federal Bureau of Investigation; Internal Revenue Service-Criminal Investigation; U.S. Secret Service; U.S. Postal Inspection Service; U.S. Department of Justice’s Criminal Division, Fraud Section and Antitrust Division; U.S. Securities and Exchange Commission (SEC); U.S. Commodity Futures Trading Commission (CFTC); Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP); Office of the Chief State’s Attorney; State of Connecticut Department of Banking; Greenwich Police Department and Stamford Police Department.
Citizens are encouraged to report any financial fraud schemes by calling, toll-free, 855-236-9740 or by sending an e-mail to [email protected].
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.
To report financial fraud crimes, and to learn more about the President’s Financial Fraud Enforcement Task Force, please visit www.stopfraud.gov.
PUBLIC AFFAIRS CONTACT:
U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]St. Joseph Woman Pleads Guilty to Conspiracy; more than 100 Illegal Aliens used False ID to Obtain LicensesRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a St. Joseph, Mo., woman has pleaded guilty in federal court to her role in a conspiracy to provide false identity documents so that more than 100 illegal immigrants could fraudulently obtain driver’s and non-driver’s licenses from the license office in St. Joseph, which is operated by a contractor for the Missouri Department of Revenue.
Isabel Ramirez Mendoza, 62, of St. Joseph, pleaded guilty before U.S. District Judge Brian C. Wimes on Thursday, Feb. 28, 2013 to participating in a conspiracy to unlawfully produce identification documents, to unlawfully transfer the means of identification of another person and to commit Social Security fraud. Mendoza also pleaded guilty to aggravated identity theft.
Illegal aliens traveled across the United States to obtain licenses at the St. Joseph license office by using unlawfully obtained birth certificates and Social Security cards. It is estimated that well over 100 Missouri licenses have been unlawfully issued to illegal aliens as part of this conspiracy.
Mendoza admitted that she assisted well over 100 illegal aliens in fraudulently obtaining Missouri driver’s and non-driver’s licenses from July 2010 until Jan. 10, 2012. Mendoza and others (including family members, such as her minor son) escorted illegal aliens into the St. Joseph license office under the guise of serving as translators.
Mendoza charged a fee, typically $100, for assisting the illegal aliens to obtain a Missouri driver’s or non-driver’s license that was in the name of another person who was listed on unlawfully obtained birth certificates and Social Security cards. Mendoza also referred illegal aliens to co-conspirators who could assist them in obtaining identification documents that could be used to fraudulently obtain Missouri non-driver’s licenses. The illegal aliens were usually charged between $500 and $950 for the document sets and the Missouri driver’s and non-driver’s licenses.
Mendoza assisted illegal aliens in preparing for potential questions from the license office employees, such as learning the names on the birth certificates, the names of the parents on the birth certificates, the dates of birth, and the Social Security numbers.
Mendoza knew the vast majority, if not all, of the illegal aliens she helped had stolen the identity of American citizens to fraudulently obtain Missouri non-driver’s licenses. Illegal aliens could later use these fraudulently obtained Missouri non-driver’s licenses as evidence of authorized stay or employment in the United States. The illegal aliens could also potentially use these identification documents to fraudulently obtain credit in the name of another person or to further other fraudulent schemes.
Sometime between June 22, 2009, and Nov. 2, 2011, Mendoza approached co-defendant Thomas Richard McNamara III, 26, of St. Joseph, who was an employee at the St. Joseph license office. She asked McNamara to accept identification documents he was not supposed to accept and issue Missouri driver’s or non-driver’s licenses to individuals who were escorted by her and others. In exchange, she offered to pay McNamara a fee of approximately $50 to $100 for each time he issued a license he was not supposed to issue due to the inadequate documentation of their true identity.
McNamara pleaded guilty on Dec. 11, 2012 to his role in the conspiracy. According to McNamara, it was common knowledge among the employees at the license office that co-conspirators were assisting illegal aliens to obtain licenses.
McNamara admitted that he accepted improper documents approximately two to three times a week, but he didn’t do this every week. Mendoza often called McNamara before bringing aliens to the license office to make sure he would be working and to let him know they were bringing in clients. McNamara then met with Mendoza on numerous occasions during non-work hours at locations other than the licensing office to receive payment.
Under the terms of today’s plea agreement, Mendoza must forfeit $125,000 to the government as well as several vehicles that have been seized by the government because they were used to transport illegal aliens and to further the conspiracy, including a 2004 Chevrolet Silverado, a 2009 Dodge Ram and a 2005 Dodge Durango.
Mendoza is subject to a mandatory two-year term of imprisonment for aggravated identity theft that must run consecutively to a sentence of up to five years in federal prison without parole for the conspiracy, plus a fine up to $500,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Trey Alford. It was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations, the Buchanan County, Mo., Sheriff’s Department, the St. Joseph, Mo., Police Department, the Platte County, Mo., Sheriff’s Department, the Missouri State Highway Patrol, the Missouri Department of Revenue Investigation Bureau, the Social Security Administration Office of Inspector General, and the U.S. Postal Inspection Service.St. Francis Man Indicted for Failure to Register as A Sex OffenderRead the Press Release
United States Attorney Brendan V. Johnson announced that a St. Francis, South Dakota man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Patrick Black Spotted Horse, age 23, was indicted by a federal grand jury on January 16, 2013. He appeared before United States Magistrate Judge Mark A. Moreno on February 22, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is up to 10 years’ in custody, a $250,000 fine, or both; life of supervised release; and a $100 Special Assessment. Restitution may also be ordered.
The charge is merely an accusation and Black Spotted Horse is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshal Service. Assistant U.S. Attorney Tim Maher is prosecuting the case.
Black Spotted Horse was remanded to the custody of the U.S. Marshal pending trial. A trial date has not been set.
Six Individuals Sentenced During the Month of February for Federal Supervised Release or Probation ViolationsRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistWHEELING, WEST VIRGINIA - United States Attorney William J. Ihlenfeld, II, announced that during the month of February, 2013, six individuals had their supervised release or probation revoked for violating terms and conditions imposed by the United States District Court.
MARTINSBURG DIVISION REVOCATIONS (Judge Gina M. Groh)
WILLIAM ODELL MANN, age 30, of Hedgesville, West Virginia, was sentenced to 18 months imprisonment for testing positive for the use of narcotics, public intoxication, false statements to his probation officer, flight from prosecution and reckless endangerment. MANN was originally sentenced on November 19, 2007, to 51 months imprisonment and 3 years of supervised release for the distribution of cocaine base. MANN was remanded to the custody of the United States Marshal pending designation to a Federal institution.ANTHONY KEES, age 38, of Westminister Road, Maryland, was sentenced to 18 months imprisonment to be followed by 36 months of supervised release for testing positive for the use of morphine and false statements to his probation officer. KEES was originally sentenced on July 29, 2010, to 60 months probation for the distribution of cocaine base. KEES was remanded to the custody of the United States Marshal pending designation to a Federal institution.
CHARLES GREGORY STICKELL, age 35, of Martinsburg, West Virginia, was sentenced to 12 months imprisonment to be followed by 60 months of supervised release for testing positive for the use of narcotics and false statements to his probation officer. STICKELL was originally sentenced on July 21, 2010, to 30 months imprisonment and six years of supervised release for the distribution of heroin within 1,000 feet of a school. STICKELL was remanded to the custody of the United States Marshal pending designation to a Federal institution.JAMES ANTHONY SHELTON, age 43, of Kearneysville, West Virginia, was sentenced to 6 months imprisonment to be followed by 30 months of supervised release for driving without a driver’s license, domestic violence, false statements to his probation officer and public intoxication. SHELTON was originally sentenced on February 24, 2009, to 77 months imprisonment to be followed by 3 years of supervised release. On November 1, 2011, SHELTON’s sentence was reduced to 41 months imprisonment pursuant to the crack re- sentencing guidelines. SHELTON was remanded to the custody of the United States Marshal pending designation to a Federal institution.
GERALD GIBBS, age 24, of Martinsburg, was sentenced to 5 months imprisonment to be followed by 48 months of supervised release for testing positive for the use of marijuana. GIBBS was originally sentenced on July 30, 2010, to 60 months imprisonment and 48 months of supervised release for the distribution of cocaine base. On November 1, 2011, GIBB’s sentence was reduced to 37 months imprisonment pursuant to the crack re-sentencing guidelines. GIBBS was remanded to the custody of the United States Marshal pending designation to a Federal institution.
ADRIAN VANLEEN, age 89, of Berkeley Springs, West Virginia, was sentenced to 3 months imprisonment to be followed by 3 years of supervised release for failure to register as a sex offender and traveling without permission of his probation officer. VANLEEN was originally sentenced on May 19, 2008, to 46 months imprisonment and 3 years of supervised release for transportation of obscene matter. VANLEEN, who is free on bond, will self-report to the designated Federal institution.
The United States was represented at the Martinsburg revocation hearings by Assistant
United States Attorney Paul T. Camilletti.The United States Probation Office carries out probation and pretrial services functions throughout the Northern District of West Virginia. With locations in Wheeling, Clarksburg, Martinsburg, and Elkins, the office works to assist the federal courts in the fair administration of justice, to protect the community, and to bring about long-term positive change in individuals under supervision. Jeff Givens is the Chief Probation Officer for the Northern District.
Sioux Falls Man Pleads Guilty to Possession of A Controlled SubstanceRead the Press Release
United States Attorney Brendan V. Johnson announced that David Andrews, age 31, of Sioux Falls, South Dakota appeared before U.S. District Judge Roberto A. Lange on February 21, 2013 and pled guilty to the Superseding Information that charged him with Possession of a Controlled Substance. The maximum penalty upon conviction is 1 year of imprisonment, a minimum fine of $1,000 but not more than $100,000, or both; not more than 1 year of supervised release and an additional year of supervised release upon revocation. Restitution and $25 to the Victim Assistance Fund may also be imposed.
The charge stems from an incident wherein a South Dakota Highway Patrol Trooper stopped to provide assistance to a vehicle sitting along the side of Highway 44. There was smoke coming from under the hood and the vehicle's hazzard lights were on. There were three men with the vehicle, and Andrews was sitting in the back seat. During the trooper's contact with the three men, a pack of Newport cigarettes stuffed with a plastic bag with 12.8 grams of methamphetamine was found by the air intake near the front left fender of the vehicle. Trace amounts of marijuana were located inside the head band of a baseball cap located in the back seat, and a glass pipe was also found stuffed in between the rear seat cushions. A urine sample was obtained from Andrews who tested positive for methamphetamine, amphetamine and marijuana.
The investigation was conducted by the South Dakota Highway Patrol and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case. Andrews was remanded to the custody of the U.S. Marshal pending sentencing. A sentencing date has been set for May 6, 2013.
Rosebud Man Sentenced for AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota man convicted of Assault by Habitual Domestic Offender was sentenced on February 25, 2013 by U.S. District Judge Roberto A. Lange. Alvin Joseph Running Horse, age 34, was sentenced to 27 months in custody, 2 years of supervised release, and a $100 special assessment to the Victim Assistance Fund.
Running Horse was indicted by a federal grand jury on September 19, 2012 and pled guilty to the charge on December 3, 2012.
The conviction stems from an incident that took place on December 27, 2011, when Running Horse assaulted his domestic partner by pulling her hair and hitting her in the chest twice with his fist. At the time of the assault, Running Horse had a final conviction on three separate prior occasions in the Rosebud Sioux Tribal Court for offenses that would have been, if subject to federal jurisdiction, an assault against a spouse or intimate partner.
The investigation was conducted by the Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Marie H. Ruettgers.
Running Horse was remanded to the custody of the U.S. Marshal.
Rosebud Man Pleads Guilty to Abusive Sexual ContactRead the Press Release
United States Attorney Brendan V. Johnson announced that Robert I. Pomani, age 21, of Rosebud, South Dakota appeared before U.S. District Judge Roberto A. Lange on February 25, 2013 and pled guilty to a Superseding Information that charged him with Abusive Sexual Contact. The maximum penalty upon conviction is 2 years' imprisonment, a $250,000 fine or both, and a mandatory minimum term of supervised release of 5 years up to a maximum of life
The conviction stems from an incident in December of 2010 when Pomani was in a relationship with the victim. At that time, Pomani was 19 years old and at least 4 years older than the victim. While in the relationship, Pomani engaged in conduct which resulted in abusive sexual contact.
The investigation was conducted by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Troy Morley.
A presentence investigation was ordered and a sentencing date was set for May 13, 2013. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
Ringleader of Alleged $13 Million Bank Fraud Appears in Court After Four-Plus Years as A FugitiveRead the Press Release
ALEXANDRIA, Va. – Tobechi Enyinna Onwuhara, 33, formerly of Dallas, Texas, has been arrested in Australia after more than four years as a fugitive and brought to the United States to face charges accusing him of leading a home equity line of credit fraud scheme that attempted to steal more than $38 million and caused approximately $13 million in losses.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Valerie Parlave, Assistant Director in Charge of the FBI’s Washington Field Office; David E. Beach, Special Agent in Charge of the United States Secret Service’s Washington Field Office; Earl L. Cook, Alexandria Chief of Police; and Robert W. Mathieson, United States Marshal for the Eastern District of Virginia, made the announcement after Onwuhara arrived in the Eastern District of Virginia.
Onwuhara was charged with conspiracy to commit bank fraud and a federal warrant was issued for his arrest on Aug. 1, 2008. He was later indicted by a federal grand jury on April 21, 2011, and charged with 16 counts, including conspiracy, continuing financial crimes enterprises, bank fraud, aggravated identity theft, wire fraud, money laundering and computer fraud. If convicted, he faces a mandatory minimum of 10 years and a maximum penalty of life in prison, followed by a consecutive mandatory two years in prison for each count of aggravated identity theft.
Information seeking Onwuhara’s arrest was made available through the FBI (see http://www.fbi.gov/wanted/cyber/tobechi-enyinna-onwuhara/view), and he was arrested by Australian Federal Police on Dec. 18, 2012, pursuant to a provisional arrest warrant issued by the United States.
Onwuhara made an initial appearance before United States Magistrate Judge Ivan D. Davis today, March 1, 2013, at 2 p.m. at the federal courthouse in Alexandria.
According to court records, Onwuhara is the alleged ringleader of a group of Nigerians who used fee-based web databases to search for potential victim account holders with large balances in home equity line of credit (HELOC) accounts. This information included name, address, date of birth, and social security number. Once the conspirators identified a victim, they allegedly used other online databases to obtain information commonly used in security questions, such as the victim’s mother’s maiden name. The conspirators then allegedly obtained credit reports on the victims in order to verify personal information and account balances.
Armed with a victim’s personal information, the conspirators allegedly called the victim’s financial institution, impersonated the victim, and transferred the majority of the available money from the HELOC account into an account from which a wire transfer could be sent. The conspirators would then allegedly wire transfer hundreds of thousands of dollars to domestic or overseas accounts controlled by members of the conspiracy. The conspirators allegedly used caller-ID spoofing services, prepaid cell phones and PC wireless Internet access cards, and transferred victims’ home telephone numbers in order to impersonate the victim and avoid identifying themselves.
Once the fraudulently-transferred funds arrived in the destination bank, a conspirator with access to the account would allegedly withdraw funds and transfer them to other members of the conspiracy after taking a portion of the proceeds for himself.
The following members of this alleged conspiracy have been convicted in the Eastern District of Virginia:
- Obinna Orji, from Arlington, Texas, who was a fugitive since being charged in August 2008, was arrested in December 2012 and pleaded guilty on Feb. 19, 2013. Sentencing scheduled on May 17, 2013.
- Henry “Uche” Obilo, of Miami, Fl., was sentenced to 88 months in prison on Sept. 11, 2009.
- Abel Nnabue, of Dallas, was sentenced to 54 months on Jan. 30, 2009.
- Precious Matthews, of Miami, was sentenced 51 months on Feb. 13, 2009.
- Brandy Anderson, of Dallas, was sentenced to 2 years of supervised probation and 40 days of community confinement on Feb. 20, 2009.
- Ezenwa Onyedebelu, of Dallas, was sentenced to 37 months on Feb. 27, 2009.
- Daniel Orjinta, of Nigeria, was sentenced to 42 months on March 6, 2009.
- Paula Gipson, of Dallas, Texas, was sentenced to 15 months on Sept. 4, 2009.
This case was investigated by the FBI’s Washington Field Office, United States Secret Service, and the Alexandria Police Department, with assistance from the U.S. Marshals Service. Assistant United States Attorneys Alexander T.H. Nguyen and Lindsay Kelly are prosecuting the case on behalf of the United States.
Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
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.Repeat Offender Sentenced to Six Years in Prison for Gun and Drug CrimesRead the Press Release
A Tacoma man who continued to deal drugs while illegally armed with a handgun even after his first federal arrest, was sentenced today to six years in prison and five years of supervised release, announced U.S. Attorney Jenny A. Durkan. DAVID KUNTZ, 28, was arrested twice over a five month period with firearms while involved in drug trafficking. A convicted felon, KUNTZ is prohibited from possessing firearms. KUNTZ pleaded guilty in October 2012 to being a Felon in Possession of a Firearm, Possession with Intent to Distribute Oxycodone, and Possession of a Firearm in Furtherance of a Drug Trafficking Offense. At sentencing U.S. District Judge Ronald B. Leighton told him, “this conduct is corrosive in the community…. You are responsible for that.”
According to records filed in the case, KUNTZ’s first arrest in this case occurred in June 2011 in the McDonald’s parking lot on South Tacoma Way and Highway 512. KUNTZ arrived at a drug deal set up by a person working with law enforcement. KUNTZ was driving in a truck with another person. The driver of the truck tried to flee, crashing into vehicles parked in the lot. At the time of the arrest KUNTZ was in possession of a Ruger semi-automatic pistol and $7,800 in cash that he admitted was for the drug buy. KUNTZ was prohibited from possessing a firearm because of five felony drug convictions in Pierce County Superior Court.
Following the June 2011 arrest, KUNTZ was again contacted by law enforcement while involved in drug trafficking. On November 2, 2011, Lakewood Police stopped the car in which KUNTZ was riding. KUNTZ was sitting on a firearm, a 9mm Smith and Wesson, and had more than 100 oxycodone pills in his possession. He also had more than $2100 in cash.
The case was investigated by the South Sound Gang Task Force and was prosecuted by Assistant United States Attorney Gregory A. Gruber.
Reno Financial Advisor to Appear in Federal Court Today on Investment Fraud ChargesRead the Press Release
RENO, Nev. – A former financial advisor with Bank of America who was indicted in August 2012 on felony mail fraud and tax evasion charges, is scheduled to make an initial appearance in federal court today to answer charges that he defrauded six persons of over $2 million from 2010 to 2011 in an investment fraud scheme, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
Gary H. Lane, 59, of Reno, is scheduled to appear at 3:00 p.m. today before U.S. Magistrate Judge Valerie P. Cooke for an initial appearance and arraignment. Lane is charged with 12 counts of mail fraud and five counts of attempt to evade or defeat tax. Lane has been in state custody on an unrelated matter, and thus was unable to make an appearance on the federal charges until today.
According to the indictment, Lane was employed as a financial advisor by Bank of America Investment Services, which later merged with Merrill Lynch, until March 2011. During the course of Lane’s employment, he allegedly developed a scheme to entice persons to invest monies with him through the use of an E-Trade account rather than through normal bank procedures. Lane allegedly looked for investors who were elderly or lacked investing experience and had a desire for high returns and aversion to risk. Lane told the investors that their funds would be invested in U.S. Treasury Bonds which would pay better than six percent interest and would mature in two years. Lane corroborated the trades by creating false confirmations and distributing them to the victims by mail. After receiving the monies from the victims, Lane gave them to his spouse who mailed them to her E-Trade account. The monies were then withdrawn at Lane’s direction for his own use or to pay other investors. In actuality, Lane never purchased any U.S. Treasury Bonds with the victims’ monies. In fact, there were never any United States Treasury Bonds that existed with a rate of return of greater than six percent and a maturity period of less than two years.
Using this scheme, the indictment alleges that Lane defrauded approximately six victims of over $2 million between January 2010 and March 2011. Lane also allegedly filed false and fraudulent individual tax returns for the years 2006 through 2010, substantially understating his income and tax due and owing to the IRS.
If convicted, Lane faces up to 20 years in prison for each mail fraud count and up to five years in prison on each tax count, as well as fines of up to $250,000 per count.
The case is being investigated by the FBI, IRS Criminal Investigation and the Nevada Secretary of State Securities Division, and is being prosecuted by Assistant U.S. Attorney Ronald C. Rachow.
This case was handled in connection with the President's Financial Fraud Enforcement Task Force. 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.
An indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
President Barack Obama Grants PardonsRead the Press Release
Today President Barack Obama granted pardons to the following seventeen individuals:
- Robert Leroy Bebee – Rockville, Md.
Offense: Misprision of a felony, 18 U.S.C. § 4.
Sentence: Two years probation.
- James Anthony Bordinaro – Gloucester, Mass.
Offenses: Conspiracy to restrain, suppress, and eliminate competition in violation of the Sherman Act, 15 U.S.C. § 1; conspiracy to submit false statements, 18 U.S.C. § 371.
Sentence: 12 months imprisonment, three years supervised release and a $55,000 fine.
- Kelli Elisabeth Collins – Harrison, Ark.
Offense: Aiding and abetting a wire fraud, 18 U.S.C. §§ 1343, 2.
Sentence: Five years probation.
- Edwin Hardy Futch Jr. – Pembroke, Ga.
Offense: Theft from an interstate shipment, 18 U.S.C. §§ 659, 2.
Sentence: Five years probation, $2,399.72 restitution.
- Cindy Marie Griffith – Moyock, N.C.
Offense: Distribution of satellite cable television decryption devices, 47 U.S.C.
§ 605(e)(4), 18 U.S.C. § 2.
Sentence: Two years probation with 100 hours of community service.
- Roy Eugene Grimes Sr. – Athens, Tenn.
Offenses: Falsely altering a United States postal money order, 18 U.S.C. § 500; passing,
uttering, and publishing a forged and altered money order with intent to defraud,
18 U.S.C. § 500.
Sentence: 18 months probation.
- Jon Christopher Kozeliski – Decatur, Ill.
Offense: Conspiracy to traffic counterfeit goods, 18 U.S.C. §§ 371, 2320.
Sentence: One year of probation with six months of home confinement, $10,000 fine.
· Jimmy Ray Mattison – Anderson, S.C.
Offenses: Conspiracy to transport and cause the transportation of altered securities in
interstate commerce, 18 U.S.C. §§ 371, 2314; transporting and causing the transportation
of altered securities in interstate commerce, 18 U.S.C. §§ 2314, 2.
Sentence: Three years probation.
- An Na Peng – Honolulu
Offense: Conspiracy to defraud the Immigration and Naturalization Service,
18 U.S.C. § 371.
Sentence: Two years probation, $2,000 fine.
- Michael John Petri – Montrose, S.D.
Offense: Conspiracy to possess with intent to distribute and distribution of a controlled
substance (cocaine), 21 U.S.C. §§ 841(a), 846.
Sentence: Five years imprisonment, three years supervised release.
- Karen Alicia Ragee – Decatur, Ill.
Offense: Conspiracy to traffic counterfeit goods, 18 U.S.C. §§ 371, 2320.
Sentence: One year of probation with six months of home confinement, $2,500 fine.
- Jamari Salleh – Alexandria, Va.
Offense: False claims upon and against the United States, 18 U.S.C. §§ 287, 2.
Sentence: Four years probation, $5,000 fine, $5,900 restitution.
- Alfor Sharkey – Omaha, Neb.
Offense: Unauthorized acquisition of food stamps, 7 U.S.C. § 2024(b)(1).
Sentence: Three years probation with 100 hours of community service, $2,750 restitution.
- Donald Barrie Simon Jr. – Chattanooga, Tenn.
Offense: Aiding and abetting in the theft of an interstate shipment, 18 U.S.C. §§ 659, 2.
Sentence: Two years imprisonment, three years probation.
- Lynn Marie Stanek – Tualatin, Ore.
Offense: Unlawful use of a communication facility to distribute cocaine,
21 U.S.C. § 843(b).
Sentence: Six months in jail, five years probation conditioned on residence in a
community treatment center for a period not to exceed one year.
- Larry Wayne Thornton – Forsyth, Ga.
Offense: Possession of an unregistered firearm, 26 U.S.C. §§ 5861(d), 5871; possession
of a firearm without a serial number, 26 U.S.C. §§ 5861(i), 5871.
Sentence: Four years probation.
- Donna Kaye Wright – Friendship, Tenn.
Offense: Embezzlement and misapplication of bank funds, 18 U.S.C. § 656.
Sentence: 54 days imprisonment, three years probation conditioned on performance of six hours of community service per week.
Plano, Texas, Man Convicted in Corporate Hacking CaseRead the Press Release
DALLAS — A Plano, Texas, resident was convicted this afternoon by a federal jury for conspiring to hack into his former employer’s computer network, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
Michael Musacchio, 61, was found guilty of one felony count of conspiracy to make unauthorized access to a protected computer (hacking) and two substantive felony counts of hacking. Each count of conviction carries a maximum statutory penalty of five years in federal prison and a $250,000 fine.
According to the evidence submitted at trial, from 2002 to 2004, Musacchio was the president of Exel Transportation Services, a third party logistics or intermodal transportation company that facilitated links between shippers and common carriers in the manufacturing, retail and consumer industries. In 2004, Musacchio left Exel to form a competing company, Total Transportation Services, where he was the original president and CEO. Two other former Exel employees, Joseph Roy Brown and John Michael Kelly, also went to work at Musacchio’s new company. Trial testimony and exhibits established that between 2004 and 2006, Musacchio, Brown and Kelly engaged in a scheme to hack into Exel’s computer system for the purpose of conducting corporate espionage. Through their repeated unauthorized accesses into Exel’s email accounts, the co-conspirators were able to obtain Exel’s confidential and proprietary business information and use it to benefit themselves and their new employer.
A federal grand jury returned an indictment against the three men on Nov. 2, 2010. Brown and Kelly entered guilty pleas on May 19, 2011, and Aug. 2, 2012, respectively, and are awaiting sentencing. Musacchio is scheduled to be sentenced on June 14, 2013, before U.S. District Judge Jorge A. Solis.
This was the first investigation of hacking for the purpose of corporate espionage that was conducted by the Justice Department’s Computer Crime and Intellectual Property (CCIP) Section, the U.S. Attorney’s Office for the Northern District of Texas and the FBI.
The FBI Dallas Field Office was in charge of the investigation. Assistant U.S. Attorneys Linda Groves and Candina Heath and Trial Attorney Rick Green of the Criminal Division’s CCIP Section prosecuted.
Pembroke, Georgia Man Sentenced to 20 Years in Prison for Role in Two KidnappingRead the Press Release
STATESBORO, GA – Gary Lenion McDonald, 36, of Pembroke, Georgia, was sentenced to 20 years in prison yesterday by Senior U.S. District Court Judge B. Avant Edenfield for his role in two separate kidnappings in the Bryan County area.
United States Attorney Edward J. Tarver stated, “The kidnappings committed by this defendant and others caused extreme pain and harm to victims they targeted. Because of timely action by the FBI and its partners in the law enforcement community, the United States Attorney’s Office was able to prosecute those responsible. The United States Attorney’s Office will continue to have as its highest priority the protection of U.S. citizens.”
McDonald pleaded guilty to conspiracy to commit kidnappings, and cooperated in the investigation and prosecution of codefendants Antonio Lamont Murray and Cecil DeWitt Nelson, both of whom were convicted for their roles in the two kidnappings and sentenced to life in prison. Judge Edenfield took McDonald’s cooperation into account when fashioning his sentence.
The evidence presented during McDonald’s guilty plea hearing, and the trial of codefendant Antonio Lamont Murray, revealed that McDonald, Murray and Nelson conspired to commit two separate kidnappings in the Bryan County area in late 2011 and early 2012. The first kidnapping occurred on December 1, 2011. During this incident, the victim was abducted at gunpoint, beaten, and later released only after a ransom was paid. The second kidnapping occurred on January 12, 2012. The second victim was also abducted at gunpoint and released only after a ransom was paid.
In addition to being sentenced to 20 years imprisonment for his conviction, McDonald was also sentenced to serve a term of 5 years of supervised release, and to pay restitution to the victims of these kidnappings in the amount of approximately $500,000. Tarver noted that there is no parole in the federal system.
The convictions of McDonald, Murray and Nelson resulted from a joint investigation by the FBI, the U.S. Marshals, NCIS, the Georgia Bureau of Investigation, the Georgia State Patrol, the Bryan County Sheriff’s Office, the Tattnall County Sheriff’s Office, the Bulloch County Sheriff’s Office, the Liberty County Sheriff’s Office, the Richmond Hill Police Department, the Pooler Police Department, the Pembroke Police Department and the Hinesville Police Department.
Assistant United States Attorneys Brian T. Rafferty and Carlton R. Bourne, Jr. prosecuted the case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Pekin Man Charged with Heroin Trafficking ConspiracyRead the Press Release
Charges Include Distribution of Heroin Resulting in Three Deaths
Peoria, Ill. – A Pekin, Ill., man faces federal charges of conspiracy to distribute heroin and distribution of heroin resulting in three deaths. Anthony Mansini, 22, of the 4400 block of Meadow Drive, made his initial appearance in federal court yesterday. Trial was scheduled for May 6, 2013, before Chief U.S. District Judge James E. Shadid, and Mansini was ordered to remain in the custody of the U.S. Marshals Service.
A federal grand jury returned the indictment against Mansini last week; however, the case had remained sealed pending his court appearance. The 11-count indictment charges Mansini with one count of conspiracy to distribute more than 1,000 grams of heroin, three counts of distribution of heroin resulting in death, and seven counts of distribution of heroin.
The charges were announced this afternoon by U.S. Attorney Jim Lewis, Central District of Illinois, and Tazewell County State’s Attorney Stewart J. Umholtz, with members of the Tazewell County Major Crimes Task Force and the Peoria Metropolitan Enforcement Group, Director Rene Sandoval; the Drug Enforcement Administration, Glenn Haas, Resident Agent in Charge, Springfield Field Office; Master Sergeant Kenneth Mullen, Illinois State Police; Tazewell County Sheriff Robert M. Huston; Pekin Police Chief Greg Nelson; East Peoria Chief Dick Ganschow; Morton Deputy Chief Jason Miller; and Washington Chief James W. Kuchenbecker. The case is being prosecuted in federal court by Assistant U.S. Attorney Tate Chambers.
The indictment alleges that from about 2008 to December 2012, Mansini conspired with others to distribute more than 1,000 grams of heroin and possession of more than 1,000 grams of heroin with intent to distribute. Mansini is also charged with distribution of heroin that resulted in death on Aug. 25, 2012; Nov. 12, 2012; and on Nov. 15, 2012. The indictment’s seven remaining counts allege distribution of heroin on various dates in December 2012.
If convicted, each count of conspiracy to distribute more than 1,000 grams of heroin and possession of more than 1,000 grams of heroin with intent to distribute, and for distribution of heroin, the statutory penalty is up to 20 years in prison; if a defendant has one or more prior felony drug convictions, the penalty is up to 30 years in prison. If it is found that death or serious bodily injury resulted from the use of the heroin, the penalty is a mandatory 20 years in prison to life sentence.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
Owner of Mexican Restaurant Pleads Guilty to harboring illegal alienRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that J. Guadalupe Hernandez, 29, of Farmington, N.Y., pleaded guilty before U.S. Magistrate Judge Jonathan W. Feldman, to harboring illegal aliens. The charge carries a maximum penalty of 10 years in prison, a fine of 250,000 or both.
Assistant U.S. Attorney Marisa J. Miller, who handled the case, stated that Hernandez harbored three men at the El Jimador Mexican Restaurant, a business he owns in Farmington, knowing or recklessly disregarding the fact that they were unlawfully present in the United States. The men were found when agents with Homeland Security Investigations executed a search warrant at the restaurant in March 2011 and discovered them living in the restaurant's basement. The men admitted that they worked at the restaurant and were paid in cash by Hernandez.
The plea is the culmination of an investigation on the part of Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.Sentencing will be scheduled before U.S. District Court Judge David G. Larimer.
Owner of Notorious 'Massage' Establishment SentencedRead the Press Release
ALEXANDRIA, Va. – Susan Lee Gross, aka Ju Me Lee Gross, 48, of Trinidad, Colo., was sentenced today to 30months in prison, followed by two years of supervised release, for transporting women to work as prostitutes at her Annandale-based massage parlor and laundering the proceeds from that illegal activity. Gross also agreed to forfeit $248,409.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia, John P. Torres, Special Agent in Charge of Homeland Security Investigations (HSI) in Washington, D.C.; Thomas J. Kelly, Special Agent in Charge of the Internal Revenue Service Criminal Investigation’s (IRS-CI) Washington, D.C., Field Office; and Michael Monroe, Special Agent in Charge of the Naval Criminal Investigative Service’s (NCIS) Washington, D.C., Field Office, made the announcement after sentencing by United States District Judge Claude M. Hilton.
“Ms. Gross became rich by exploiting Korean women and then hiding her illicit gains from the government,” said U.S. Attorney MacBride. “Houses of prostitution like Peach Therapy are a blight on the community. This case is a result of an ongoing investigation into the sale of sexual services at northern Virginia massage parlors as part of my office’s crackdown on sex trafficking in the region.”
“Ms. Gross, through her business Peach Therapy, provided sexual services under the guise of operating a massage parlor” stated HSI SAC Torres, “HSI will work with our law enforcement partners to investigate those who seek to profit by providing services through illegal means.”
“Individuals such as Ms. Gross, who use structuring and money laundering to conceal the true source of their money run the risk of federal prosecution and imprisonment,” said IRS SAC Kelly. “IRS Criminal Investigation is committed to unraveling money laundering schemes and assisting our law enforcement partners to ensure that the type of criminal conduct engaged in by Ms. Gross is not ignored. Today’s sentence is a reminder to criminals that money laundering schemes will be vigorously investigated and prosecuted.”
Gross pleaded guilty on Oct. 25, 2012, to conspiring to transport a person for purposes of prostitution and conspiring to commit money laundering.According to court documents, Gross owned and operated Peach Therapy, which was advertised as a massage parlor but was merely a front for prostitution. Customers obtained sexual services from Gross and the women she employed at Peach Therapy. Prices for various sex acts varied, but some women earned $800 per day in cash.
Gross advertised the various sex acts performed at Peach Therapy erotic websites, and she recruited women to travel from such places as Georgia, North Carolina, New York and New Jersey to ensure the business was fully staffed and operational. All of the women Gross recruited were originally from Korea, some of them were unlawfully present in the United States, and most were uneducated and lacked language and employment skills. Gross used security cameras at Peach Therapy and trained the women she employed to yell if they saw the police approaching the business. Gross laundered the profits generated by Peach Therapy to hide the source and nature of the wealth she amassed through her illicit activities.
On Feb. 14, 2013, Gross’s co-conspirator, Jin Seob Oh, was sentenced to 24 months of imprisonment for his role in the offenses. Oh drove many of the women to and from Peach Therapy and assisted in moving the prostitution proceeds.This case was investigated by HSI, which participates in the Northern Virginia Human Trafficking Task Force, and IRS-CI and NCIS. They were assisted in the investigation by the Fairfax County Police Department. Assistant United States Attorney Michael J. Frank prosecuted the case on behalf of the United States.
Founded in 2004, the Northern Virginia Human Trafficking Task Force is a collaboration of federal, state, and local law enforcement agencies – along with nongovernmental organizations – dedicated to combating human trafficking and related crimes.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Owner of North Miami Beach Dry Cleaner Sentenced in Identity Theft Tax Refund Fraud SchemeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, José A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation Division (IRS-CID), Miami Field Office, and Larry Gomer, Interim Chief, North Miami Beach Police Department (NMBPD), announce the sentencing of defendant Frantz Auguste, 53, of Sunny Isles, on one count of access device fraud and one count of aggravated identity theft in connection with an identity theft tax refund fraud scheme. U.S. District Judge Donald L. Graham sentenced Auguste to 45 months in prison, to be followed by one year of supervised release.
According to documents filed in Court, law enforcement searched Auguste’'s dry cleaning business in North Miami Beach on October 4, 2012, and found the following in a locked room for which Auguste had the only key:
• Handwritten notes and lists with the personal identification information, including names, dates of birth, and Social Security numbers, of approximately 100 individuals. Several of these lists appeared to have originated from a local nursing home and rehabilitation center.
• Multiple tax refund checks in different individuals’ names.
• Multiple tax returns in different individuals’ names.Mr. Ferrer commended the investigative efforts of IRS-CID and the NMBPD for their work on the case. The case was prosecuted by Assistant U.S. Attorney Michael N. Berger.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Optometrist from Derby, Kan., Pleads Guilty to Wire FraudRead the Press Release
WICHITA, KAN. – An optometrist from Derby, Kan., has pleaded guilty to wire fraud in a scheme to collect more than $500,000 in pay for eye exams that were never performed, U.S. Attorney Barry Grissom said today.
Wade D. Abbey, 47, Derby, Kan., pleaded guilty to five counts of wire fraud. An indictment filed in March 2012 alleged that Abbey and his wife, Mindy L. Abbey, both of whom were optometrists, worked for Visions Doctors of Optometry. They were paid an hourly wage and additional fees for each full eye exam they conducted. He inflated the number of eye exams they performed and provided false information to an accountant who paid them based on the false information.
In his plea, Abbey admitted that: On Jan. 6, 2010, he sent an email stating that he provided 177 full eye exams and his wife provided 160 full eye exams, which he knew was not true.
On Jan. 20, 2010, he sent an email stating he provided 197 full eye exams and his wife provided 186 full eye exams, which he knew was not true.
On Feb, 3, 2010, he sent an email stating he provided 206 full eye exams and his wife provided 185 full eye exams, which he knew was not true.
On March 31, 2010, he sent an email stating he provided 207 full eye exams and his wife provided 185 full eye exams, which he knew was not true.
On June 23, 2010, he sent an email stating he provided 187 full eye exams and his wife provided 176 full eye exams, which he knew was not true.As a result of the fraud, he was paid $583,060.
Sentencing is set for May 16, 2013. He faces a maximum penalty of 20 years in federal prison and a fine up to $250,000 on each count, as well as an order to pay restitution.
Co-defendant Mindy Abbey is awaiting trial.
Grissom commended the FBI and Assistant U.S. Attorney Debra Barnett for their work on the case.
Oklahoma Man Pleads Guilty to Child Porn, Extortion, Faces 15 Years in PrisonRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Oklahoma man pleaded guilty in federal court today to extorting a 14-year-old Missouri girl into sending him pornographic photos of herself.
Jeran Randall Secratt, 28, of Tahlequah, Okla., pleaded guilty before U.S. District Judge Dean Whipple to producing child pornography and to extortion.
By pleading guilty today, Secratt admitted that he met a 13-year-old Missouri girl (identified as “Jane Doe” in court documents) in an online virtual videogame and they began chatting online. Some of their chats contained sexually explicit language and references to proposed sexual acts between the two of them.
Over time, Secratt suggested that Jane Doe obtain a webcam so that she could send explicit images of herself to him. Jane Doe obtained a webcam for Christmas and, in multiple chats, Secratt enticed Jane Doe to send him pornographic pictures of herself. Jane Doe refused to do so until Secratt threatened to send copies of their prior sexual chats to all the persons on her email contact list. This list contained contact information of friends and family, including Jane Doe’s grandmother. In response to this threat to her reputation, Jane Doe took explicit photos of herself and sent them to Secratt. Some of the images were subsequently found on Secratt’s computer.
The court accepted Secratt’s guilty plea today and took the plea agreement under advisement until the completion of a presentence investigation by the United States Probation Office. If the court accepts the plea agreement, Secratt will be sentenced to 15 years in federal prison without parole, followed by a period of supervised release of no less than five years.
This case is being prosecuted by Assistant U.S. Attorney Katharine Fincham. It was investigated by the FBI Cyber Crimes Task Force (Kansas City Division) and the FBI (Oklahoma City Division).
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."North Miami Resident Pleads Guilty to Identity TheftRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Jose A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announced today announced that Josue Faustin, 20, of North Miami, pled guilty this morning to charges of possession of unauthorized access devices and aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(3) and 1028A(a)(1), (b), and (c)(4).
Sentencing has been scheduled for May 9, 2013, before U.S. District Judge Zloch. At sentencing, the defendant faces a maximum statutory sentence of up to 10 years in prison for the possession of unauthorized access devices charge, and a mandatory sentence of 2 years’ imprisonment on the aggravated identity theft charge.
According to documents filed and statements made in court, Faustin engaged in a scheme using stolen identities to file fraudulent tax returns. The tax returns falsely claimed refunds and requested that the refunds be direct-deposited into Netspend debit card accounts, which Faustin had opened in the names of unwitting identity theft victims. Faustin subsequently went to various ATM machines in Coral Springs, Broward County, and withdrew funds from the Netspend debit card accounts.
On May 17, 2012, Faustin was observed by a Coral Springs police officer as he went to various CVS and 7-11 stores and bought pre-paid credit cards. After the purchases, Faustin went to ATM machines and withdrew money. Faustin was pulled over for a traffic stop and was found to be in possession of $5,881 in cash (separated into numerous bundles), 3 cell phones, 15 Netspend debit cards, and 4 newly purchased debit cards.
Mr. Ferrer commended the investigative efforts of IRS-CI. The case is being prosecuted by Assistant U.S. Attorney Jennifer Keene.
A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.