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28 February 2013
Ash, N.C. Man Sentenced for Federal Drug ChargesRead the Press Release
Raleigh - United States Attorney Thomas G. Walker announced that in federal court on February 27, 2013, Chief United States District Judge James C. Dever III, sentenced FREDERICK WILLIAMS, 29, of Ash, North Carolina, to 112 months imprisonment followed by 3 years supervised release.
On July 11, 2012, Williams pled guilty to six counts of distribution of a quantity of cocaine base (crack).
In a joint operation between the Brunswick County Sheriff’s Office and the Bureau of Alcohol, Tobacco and Firearms an agent of the government purchased a quantity of crack cocaine from Williams on six separate occasions in the Longwood area of Brunswick County North Carolina. The transactions occurred between August and October 2011. The investigation also revealed that Williams possessed a handgun.
This case was brought as a part of an Organized Crime Drug Enforcement Task Force (OCDETF) Operation entitled Buggsnatcher, investigating importers and multi-level distributors of cocaine and crack cocaine. So far 19 persons have been sentenced in federal court as a part of this OCDETF.
Investigation of this OCEDTF case is being conducted by the Bureau of Alcohol, Tobacco, and Firearms and Explosives; the North Carolina State Bureau of Investigations; the Wilmington Police Department; the New Hanover County Sheriff’s Office and the Brunswick County Sheriff’s Office. Special Assistant United States Attorney Timothy Severo represents the government. Mr. Severo is a prosecutor with the New Hanover District Attorney’s Office. District Attorney Ben David has assigned him to the United States Attorney’s office to prosecute federal Organized Crime Drug Enforcement Task Force criminal matters.
Arms Seller Pleads Guilty to Illegal Export of Night Vision EquipmentRead the Press Release
Sold Night Vision Goggles and Monocular on eBayBaltimore, Maryland – Anthony J. Torresi, age 34, of Coral Gables, Florida pleaded guilty late yesterday to unlawfully exporting night vision equipment.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
“One of ICE’s Homeland Security Investigations top enforcement priorities is preventing U.S. military products and sensitive technology from falling into the hands of those who might seek to harm America or its interests,” said William Winter, special agent in charge for HSI Baltimore. “This investigation is an example of HSI’s good partnership with the U.S. Attorney’s Office in Maryland to combat this threat.”
According to his plea agreement, Torresi listed night vision goggles and night vision monoculars for sale on eBay. The items were designed to enable military ground troop personnel to conduct night operations. A license from the U.S. Department of State is required to export the items. Selling such items overseas without a license is a violation of the Arms Export Control Act.
On January 21, 2011 Torresi sold two of the night vision goggles for $7,039.99 to an undercover agent he believed to be located in New Zealand, but who was in fact located in Baltimore. Torresi exported the goggles on February 11, 2011 from Miami, Florida to New Zealand. The shipping label signed by Torresi showed the contents as a “gift” described as a “Rangefinder” valued at $70. Torresi never applied for a license to export these items.
Similarly, on March 29, 2011 Torresi sold a 6015-4 night vision monocular to the undercover agent he believed to be located in New Zealand for $6,099.89. On April 29, 2011, Torresi exported from Miami to New Zealand what he represented to be the 6015-4 night vision monocular that he sold for $6,099.98. In fact, Torresi shipped a different night vision monocular that he had purchased for $266 and which did not require a license to export.
Torresi faces a maximum sentence of 20 years in prison followed by five years of supervised release and a $1 million fine for unlawful export of arms and munitions. U.S. District Judge Ellen L. Hollander scheduled sentencing for June 21, 2013 at 2:00 p.m.
United States Attorney Rod J. Rosenstein praised HSI Baltimore and the Counterproliferation Investigations Task Force, a multi-agency task force headquartered at the offices of HSI, for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Gregory Welsh, who is prosecuting the case.
Alorton Man Pleads Guilty to Firearm OffenseRead the Press Release
On February 26, 2013, Termain D. Moore, a twenty-one year old Alorton, IL, man pled guilty in Federal District Court, in East St. Louis, to Unlawful Possession of a Firearm by a Previously Convicted Felon, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced today. Moore is scheduled for sentencing on June 10, 2013, at which at which time he faces a maximum potential sentence of ten years’ in prison and a fine of up to $250,000, not more than three years’ of supervised release after his prison term, and a mandatory special assessment of $100. Carter also agreed to the forfeiture of the firearm.
Court proceedings revealed that on October 12, 2012, an East St. Louis police officer sitting in his personal vehicle observed Moore walk into a liquor store in East St. Louis, raising his right arm holding a small revolver and pointing it. The officer called over the radio to report the incident and for backup. Two officers arrived on the scene as Moore was leaving the store. As one of the officers exited his vehicle, Moore took off running towards the back of the building. The officer began a foot chase, hearing a loud noise caused by something hitting the ground, as the pursuit continued. The other officers still on the scene saw Moore throw something on the ground, which was later identified as a firearm. Moore was caught and arrested. He admitted possessing the gun and that the officers saw him throw the firearm on the ground.
This case was investigated by the East St. Louis, IL, Police Department and assigned to Special Assistant United States Attorney Matthew H. Brooks for prosecution.
42 Individuals Indicted for Drug Trafficking in the Municipality of San JuanRead the Press Release
SAN JUAN, PR – On February 26, 2013, a federal grand jury indicted 42 individuals as a result of an investigation led by the Immigration and Customs Enforcement (ICE)-Homeland Security Investigations (HIS) and the Puerto Rico Police Department (PRPD), announced today United States Attorney Rosa Emilia Rodríguez-Vélez. The following agencies collaborated during the arrests: DEA, FBI, ATF, CBP, San Juan and Guaynabo Municipal Police.
The defendants are charged in a six-count indictment with conspiracy to possess with intent to distribute controlled substances in a federally protected location, conspiracy to distribute heroin, “crack” (cocaine base), cocaine, marihuana, Oxycodone, (commonly known as Percocet), and Alprazolam, (commonly known as Xanax). The object of the conspiracy was to distribute controlled substances at the Ernesto Ramos Antonini Public Housing Project and other areas nearby within the Municipality of San Juan, Puerto Rico, for significant financial gain and profit.
According to the indictment, from on or about the year 2005, the defendants conspired to possess with the intent to distribute narcotics. The main leader of the organization was Raymond Cruz-Serrano, aka “R.” He controlled and supervised the drug trafficking operations at the drug points. Cruz-Serrano was the owner of the marihuana sold at $6 and crack. He also acted as an enforcer.According to the indictment, the 42 co-conspirators had many roles, in order to further the goals of the conspiracy. These were: one leader; three managers; five drug owners; one enforcer; seven runners; 23 sellers and two lookouts.
The defendants are: [1] Raymond Cruz-Serrano A/K/A“R”; [2] Ricardo Cruz-Serrano A/K/A “Chino”; [3] Reynaldo Cruz-Robles A/K/A “Naldy”, “J”; [4] Sheila Matos-Sandoval A/K/A “Mulan”; [5] Nelson Benitez-Benitez A/K/A “Pepon”; [6] Christian De Jesús-Benitez A/K/A “7 Pies”; [7] Ángel D. Olmo-Díaz A/K/A “Pollo”; [8] Nicolas Marrero-Matos A/K/A “Nick”, “Nicky”, “Cascon”; [9] Carlos Cruz-Centeno A/K/A “Motorita”; [10] Victor Vega-Sterling A/K/A “Goliath”; [11] Luz V. Romero-Vaello A/K/A “Lucy”, “Travesti”; [12] Gustavo Baez-Castro A/K/A “De La Guetto”, “De La Guizzu”; [13] Luis J. Pizarro-Ortiz A/K/A “Negro, “Loiza”; [14] Ángel Pacheco-Rodríguez A/K/A “Pacheco”, “Viejo”; [15] José R. Levy-Díaz A/K/A “Ricardo”, “Ricardito, “Simio”, “Chorro”; [16] Willie Ray Torres-Reyes A/K/A “Tiburon”; [17] Jesús Martínez-Nieves A/K/A “Goku”, “Cocoon”; [18] Héctor L. Gonzàlez-Castro A/K/A “Chucky”, “Bla-Bla”; [19] Melvin Martínez-Santiago A/K/A “Emba”; [20] Christopher Isaac-Nieves A/K/A “Güimo”; [21] Josean Torres-Reyes A/K/A “Menor”; [22] José L. Sànchez-Ortiz A/K/A “Martillo”; [23] Ian E. Huertas-Santiago A/K/A “Clark”; [24] Rafael Vàzquez-Nieves A/K/A “Nene”; [25] Jordan Martínez-Santiago A/K/A “Yoyo”; [26] Juan Morales-Vàzquez A/K/A “Dino”; [27] Victor N. López A/K/A “Nano”; [28] David Baez-García A/K/A “Blower”; [29] Joel Hernàndez-Nieves A/K/A “Casper”; [30] Jaime Salgado-Pabon A/K/A “Gringo”; [31] Wilfredo Jiménez-Torres A/K/A “Arcangel”, Wilfre; [32] Samuel Hernàndez-Nieves A/K/A “Sammy”; [33] Luis O. Martínez-Nieves A/K/A “Pooh”; [34] Alberto De Jesús-Santiago A/K/A “Carlitos”; [35] Jervesh Alvarado-Ortiz; [36] Luis Rodríguez-Dàvila A/K/A “Gordo”, “Lagrima”; [37] Daniel Duran-Cruz A/K/A “Danny”; [38] Juan Medina-López A/K/A “Juano”; [39] Antonio J. Rivera-Serrano A/K/A “Blanquito”; [40] Ruben E. Castillo-Colón A/K/A “Indi”; [41] Eric Benitez-Fernàndez; and [42] Erick R. Negrón-Colón A/K/A “Cuca”.
It was further part of the manner and means of the conspiracy that the co-conspirators would conduct drug transactions in the presence of minors and would use and employ juveniles under the age of 18, to distribute narcotics at the drug distribution points located within the housing project. It was further part of the manner and means of the conspiracy that some members of the drug trafficking organization would routinely possess, carry, brandish and use firearms to protect themselves and their drug trafficking organization. Twenty-one members of the drug trafficking organization are facing one count for using and carrying firearms during and in relation to a drug trafficking crime.
“This investigation and today’s arrests have dismantled a violent criminal organization dedicated to polluting our neighborhoods with drugs,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “These arrests demonstrate the Justice Department’s commitment to hold ruthless drug traffickers responsible for selling narcotics in our communities. Along with our law enforcement partners, we will continue to bring these drug organizations to justice for the damage they inflict on our communities.”
“These arrests show HSI’s resolve to attack and dismantle the street gangs that are threatening and terrorizing our neighborhoods with violence,” said Ángel Meléndez, acting special agent in charge of HSI San Juan. “Nobody deserves to live in a community of violence and fear inflicted by unscrupulous gang members who have no respect for human life. Members of these gangs are institutionally involved in crime and so are their organizations. Through Operation Caribbean Resilience, HSI will continue to conduct aggressive enforcement actions against members and associates of violent gangs in an effort to return to the citizens in Puerto Rico the peace and safety they deserve.”
This case is being prosecuted by Assistant United States Attorney César Rivera-Giraud.
If convicted, the defendants face a minimum of ten (10) years imprisonment and a maximum of life imprisonment, with fines of up to $10 million. Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
15 Individuals Charged with Fraud for Filing False Claims Relating to the Deepwater Horizon Oil Rig Explosion Totaling over $300,000Read the Press Release
United States Attorney Dana J. Boente announced the filing of fourteen Bills of Information and one Indictment bringing felony charges against 15 individuals for filing fraudulent applications for relief relating to an April 20, 2010 explosion and fire which occurred on the Deepwater Horizon, an oil rig in the Gulf of Mexico where British Petroleum (BP) had been drilling a well. After the disaster, BP established the Gulf Coast Claims Facility (GCCF) to administer, mediate, and settle claims of individuals and businesses for losses incurred as a result of the Deepwater Horizon incident. The GCCF began receiving and processing such claims in August 2010. The GCCF required any individual filing a claim to submit valid documentation as proof of loss or reduction in earnings due to the oil spill. Detailed below are the charges against the 15 individuals who were charged with submitting fraudulent claims. The loss to BP from the fraudulent claims totals $309,990 from these individuals.
TYARIANA SCOTT, age 36, of New Orleans, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 16, 2010, the GCCF received SCOTT’S online claim form seeking an emergency six-month payment in the amount of $17,500, wherein SCOTT falsely stated she lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of SCOTT’S claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, SCOTT had worked as a hotel supervisor earning $48,251 annually, when in fact she had not. SCOTT received approximately $17,500. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.TRACEY DANIELS, age 49 of New Orleans, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 28, 2010, the GCCF received DANIELS’ online claim form seeking an emergency six-month payment in the amount of $33,450, wherein DANIELS falsely stated she lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of DANIELS’ claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, DANIELS had worked as a restaurant manager earning $54,651.99 annually, when in fact she had not. DANIELS received approximately $32,100. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.SHANEL DANYELL BURTON, age 33 of River Ridge, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 13, 2010, the GCCF received BURTON’S online claim form seeking an emergency six-month payment in the amount of $19,586, wherein BURTON falsely stated she lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of BURTON’S claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, BURTON had worked as a restaurant supervisor earning $47,820 annually when, in fact, she was never so employed. BURTON received approximately $19,600. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.TROY TOLEDANO, age 51 of Grand Prairie, Texas, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 16, 2010, the GCCF received TOLEDANO’S online claim form seeking an emergency six-month payment in the amount of $23,900, wherein TOLEDANO falsely stated he lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of TOLEDANO’S claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, TOLEDANO had worked as a hotel supervisor earning approximately $47,000 annually when, in fact, he was never so employed. TOLEDANO received approximately $23,900. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.RANELL BOYD, age 51 of Harvey, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on November 8, 2010, the GCCF received BOYD’S online claim form seeking an emergency six-month payment in the amount of $26,100, wherein BOYD falsely stated she lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of BOYD’S claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, BOYD had worked as a hotel manager earning $49,618 annually, when in fact she was not so employed. BOYD received approximately $26,100. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.ODNEY BRIMMER, age 32 of New Orleans, Louisiana, Conspiracy to Commit Mail Fraud
The Bill of Information alleges that on November 17, 2010, the GCCF received BRIMMER’S online claim form seeking an emergency six-month payment in the amount of $23,150, wherein BRIMMER falsely stated he lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of BRIMMER’S claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, BRIMMER had worked as a hotel supervisor earning approximately $43,000 annually when, in fact, he was never so employed. BRIMMER received approximately $23,200. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.TIRON KELLEY, age 49 of New Orleans, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 18, 2010, the GCCF received KELLEY’S online claim form seeking an emergency six-month payment in the amount of $18,500, wherein KELLEY falsely stated he lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of KELLEY’S claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, KELLEY had worked as a grocery manager earning approximately $45,000 annually, when in fact he had not. KELLEY received approximately $15,100. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.ARIN JONES, age 31 of New Orleans, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 16, 2010, the GCCF received JONES’ online claim form seeking an emergency six-month payment in the amount of $26,800, wherein JONES falsely stated she lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of JONES’ claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, JONES had worked as a hotel supervisor earning approximately $50,000 annually when, in fact, she was never so employed. JONES received approximately $26,800. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.ROBIN HAYES, age 41 of New Orleans, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on October 19, 2010, the GCCF received HAYES’ online claim form seeking an emergency six-month payment in the amount of $21,300, wherein HAYES falsely stated she lost earnings as a result of the Deepwater Horizon oil spill. Documentation in support of HAYES’ claim included copies of fraudulent W-2 wage statements and pay stubs indicating that prior to the oil spill, HAYES had worked as a hotel manager earning approximately $46,000 annually, when in fact she was not so employed. HAYES received approximately $21,300. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.ROY R. PARKER, age 55 of New Orleans, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that on September 30, 2010, the GCCF received PARKER’S online claim form seeking an emergency six-month payment, wherein PARKER falsely stated he lost earnings as a result of the Deepwater Horizon oil spill. PARKER had worked as the head houseman at a hotel earning approximately $35,000 annually. Documentation in support of PARKER’S claim included a letter purporting to be from his employer falsely stating that PARKER’S wages and hours were reduced as a result of the oil spill. In fact, PARKER’S wages and hours were never reduced, as a result of the oil spill. PARKER received approximately $13,890. This case is being prosecuted by Assistant U. S. Attorney Irene Gonzalez.BENJAMIN BENNETT, age 23 of New Orleans, Louisiana, Wire Fraud
The Bill of Information alleges that on October 12, 2010 BENNETT submitted a fraudulent 2009 Schedule C, Form 1040 federal tax return, showing that he operated a commercial fishing business in 2009 which was profitable. Additionally, he submitted other documentation indicating the defendant operated a commercial fishing business in Venice, Louisiana before the Deepwater Horizon oil spill. However, defendant really worked as a barber in New Orleans, Louisiana before the oil spill. BENNETT received approximately $43,400. This case is being prosecuted by Assistant U. S. Attorney Julia Evans.PIERRE WILBOURN, age 40 of Kenner, Louisiana, Mail Fraud
The Bill of Information alleges that on October 4, 2010 WILBOURN submitted a fraudulent 2009 Schedule C, Form 1040 federal tax return, showing that he operated a commercial fishing business in 2009 which was profitable. Additionally, he submitted or caused to be submitted other documentation indicating the defendant operated a commercial fishing business in Venice, Louisiana before the Deepwater Horizon oil spill. However, the defendant was really employed doing concrete work before and after the oil spill. WILBOURN received approximately $20,000. This case is being prosecuted by Assistant U. S. Attorney Julia Evans.KEISHANDRA HOUSTON, age 36 of New Orleans, Louisiana, Wire Fraud
The Bill of Information alleges that in September 30, 2010 HOUSTON submitted a fraudulent claim to the GCCF for lost earnings in the amount of $8,640. HOUSTON falsely represented that she worked as a cook at a seafood restaurant and suffered financially due to lost employment as a result of the Deepwater Horizon incident. HOUSTON created two false earnings statements which incorrectly indicated that the she was employed by a seafood restaurant. HOUSTON received approximately $5,900. This case is being prosecuted by Assistant U. S. Attorney Chandra Menon.RACHELL THOMAS, age 36 of Slidell, Louisiana, Conspiracy to Commit Wire Fraud
The Bill of Information alleges that in or about September 2010 and continuing until in or about October 2010, THOMAS, agreed with other individuals to make false claims to the GCCF for lost earnings. At the direction of THOMAS, the other individuals provided THOMAS with claim forms in which they falsely claimed to work for seafood restaurants and to have suffered financially through lost employment as a result of the Deepwater Horizon incident. THOMAS completed a claim form for herself with the same false representation. THOMAS created false earnings statements from a fictitious restaurant and wrote letters from a fictitious supervisor of the restaurant. THOMAS transmitted approximately twenty-three claims. Each claim included a claim form, a falsified earnings statement, and a falsified letter. THOMAS and six other individuals each submitted a follow-up claim for additional funds. On November, 24, 2010, the GCCF paid THOMAS approximately $8,000 as a result of her false claim. This case is being prosecuted by Assistant U. S. Attorney Chandra Menon.ALICIA WELLS, age 29 of New Orleans, Louisiana, Mail Fraud
According to the indictment returned by a Grand Jury sitting in New Orleans, on September 25, 2010 the defendant submitted an application to the GCCF seeking compensation for loss of earnings resulting from the Deepwater Horizon oil spill by falsely and fraudulently stating that she was a line cook a local restaurant before the oil spill, when in fact, she had never worked for the business. WELLS received approximately $13,200 as a result of her fraudulent filings. This case is being prosecuted by Assistant U. S. Attorney Loan “Mimi” Nguyen.U.S. Attorney Boente reiterated that the Indictment and Bills of Information are merely charges and that the guilt of each defendant must be proven beyond a reasonable doubt.
The cases are being investigated by the United States Secret Service, Federal Bureau of Investigation and the United States Postal Inspection Service. The cases were referred to the agencies by the National Center for Disaster Fraud located in Baton Rouge, Louisiana. Assistant U. S. Attorney Carter K. D. Guice, Jr. is the Disaster Fraud Coordinator for the Eastern District of Louisiana.
Members of the public can report fraud, waste, abuse or allegations of mismanagement involving disaster relief operations through the National Center for Disaster Fraud (NCDF) Disaster Fraud Hotline at 877-NCDF-GCF (623-3423), the Disaster Fraud Fax at 225-334-4707 or the Disaster Fraud e-mail at [email protected]. Individuals can also report criminal activity to the FBI at 1-800-CALL-FBI.(Download Indictment - Alicia Wells )
(Download Bill of Information - Rachell Thomas )
(Download Bill of Information - Pierre Wilbourn )
(Download Bill of Information - Benjamin Bennett )
(Download Bill of Information - Roy Parker )
(Download Bill of Information - Robin Hayes )
(Download Bill of Information - Arin Jones )
(Download Bill of Information - Tiron Kelley )
(Download Bill of Information - Odney Brimmer )
(Download Bill of Information - Ranell Boyd )
(Download Bill of Information - Troy Toledano )
(Download Bill of Information - Shanel Burton )
(Download Bill of Information - Tracey Daniels )
(Download Bill of Information - Tyariana Scott )
(Download Bill of Information - Keishandra Houston )
27 February 2013
Western District of Louisiana Celebrates Black History Month in Shreveport and Lafayette Offices and at Community ProgramsRead the Press Release
Lafayette/Shreveport/Lake Charles/Alexandria/Monroe, La: The U.S. Attorney’s Office for the Western District of Louisiana recognized Black History Month with programs in their Shreveport and Lafayette offices and other community events. These celebrations included recognizing the culture, social, scientific and political contributions of African- Americans. Black History Month grew out of “Negro History Week,” the brainchild of noted historian Carter G. Woodson and other prominent African Americans. Since 1976, every U.S. president has officially designated the month of February as Black History Month.
The theme for the U.S. Attorney’s Office programs was “At the Crossroads of Freedom and Equality: The Emancipation Proclamation and the March on Washington.” This year’s theme marks the sesquicentennial of the Emancipation Proclamation and the 50 anniversary of the th March on Washington. The events provided a chance to look back on the crossroads of the country’s journey, to reflect upon freedom and equality, and to recognize pivotal movements forged by extraordinary individuals in the struggle to dismantle institutions of slavery and segregation in America.
The 2013 Black History Month Committee for the U.S. Attorneys Office organized events held in Shreveport on Feb. 19, 2013 at the U.S. Federal Courthouse and in Lafayette on Feb. 21, 2013 at the John M. Shaw Federal Courthouse Building. Each program featured guest speakers, including U.S. District Judges, a U.S. Court of Appeals, Fifth Circuit Chief Judge, attorneys, local pastors, professors, singers, storytellers and authors. Members of the local bar associations, community and federal agencies turned out for both programs to celebrate the month.
In Shreveport, the Honorable S. Maurice Hicks Jr., U.S. District Judge, Western District of Louisiana, welcomed the crowd and led the audience in the pledge of allegiance; the invocation was given by Rev. Antonio T. Dixon Sr., Pastor, Steeple Chase Baptist Church in Shreveport; and the occasion was recognized by the Honorable Carl Stewart, Chief Judge, U.S. Court of Appeals, Fifth Circuit.
A dramatic performance about the life of Harriet Tubman was given by Thelma Harrison, a professional storyteller and actress. Courtney Joiner, an Assistant U.S. Attorney, introduced the keynote speaker, Dr. Harry Blake, Pastor, Mount Canaan Baptist Church in Shreveport, who shared his experience about growing up on a plantation as a young boy and his role as a civil rights activist on the staff of Martin Luther King, Jr. The program concluded with a vocal performance of “Swing Low Sweet Chariot” by playwright, producer and singer Vincent Williams.
The director of the Multicultural Center of the South, Janice Gatlin, provided an array of exhibits depicting the culture of black history. The Multicultural Center is located in Shreveport and is the only multicultural center in the State of Louisiana with over 2,000 cultural exhibits representing 26 cultures.
The Lafayette program included opening remarks from the Honorable Rebecca F. Doherty and reflections by the Honorable Richard T. Haik, U.S. District Judges for the Western District of Louisiana. Rev. Chester Arceneaux, Pastor of The Cathedral of St. John the Evangelist in Lafayette, gave the invocation, followed by Willie Leday, Chief Probation Officer for the U.S. District Court, Western District of Louisiana, who recognized the occasion.
Sherry T. Broussard, author and professional storyteller, told stories highlighting the achievements of various African Americans. Karen J. King, an Assistant U. S. Attorney, was the Mistress of Ceremonies for both the Shreveport and Lafayette events. Keynote speaker for the Lafayette celebration was Albert Samuels, Ph. D., professor and chair of the Department of Political Science and Geography at Southern University in Baton Rouge. The Lafayette program concluded with “His Eye Is on the Sparrow,” being performed by Sa’Rah Hamm, singer and student at the University of Louisiana at Lafayette. United
States Attorney Stephanie A. Finley gave closing remarks for both programs.On Sunday, Feb. 24, 2013, U.S. Attorney Finley was the guest speaker at the African American Black History Program held at the Redeemer Lutheran Church in Alexandria, La. The theme for the program was “Honoring The Past - Inspiring the Future.” It was the first time the church had such a program. Ms. Finley spoke to the congregation about the importance of the role that we all play in embracing the diverse and rich history of our nation.
The congregation of Steeple Chase Baptist Church in Shreveport, La. was addressed by Assistant U.S. Attorney Earl M. Campbell, on Feb. 24, 2013, who spoke on the accomplishments and achievements of African Americans in the United States and how African American history is intertwined with American History. The programs’s theme was “At the Crossroads of Freedom and Equality.”
“Our programs saluted the extraordinary contributions that generations of African Americans have made in shaping, securing and strengthening the United States,” Finley said. “Our goal was to commemorate the historic events and provide a glimpse of the past. I would like to thank all who participated and attended this year’s programs and would like to commend the 2013 Black History Month Committee for putting together two informative and entertaining programs. This nation is a great and diverse country which has a rich history that includes people of all backgrounds, races and faith.”
West Suburban Man Convicted of Federal Gun ChargeRead the Press Release
CHICAGO – An Addison man was convicted today by a federal jury of being a felon-inpossession of a firearm. The defendant, MARIO J. RAINONE, was found guilty following a two-day trial. The jury was empaneled on Monday before U.S. District Judge Harry Leinenweber in Federal Court.
Rainone, 58, who was arrested in February 2009, remains in federal custody pending sentencing, which Judge Leinenweber scheduled for June 5. Based on Rainone’s status as an Armed Career Criminal under federal law, the offense carries a mandatory minimum of 15 years and a maximum of life in prison. Rainone also faces a maximum fine of $250,000. The Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
Rainone was arrested by Addison police on state charges on February 12, 2009. A state search warrant was executed the next day at an apartment where Rainone was staying in the 1200 block of West Lake Street in the western suburb. A Smith & Wesson Model 19-3 .357 caliber revolver, along with personal papers and other belongings, were found in the nightstand in the bedroom used by Rainone, resulting in the federal firearms charge. The gun was stolen in October 2008, according to the original owner, who testified at trial.
A stipulation was entered at the trial that Rainone has a prior felony conviction. Federal law prohibits a convicted felon from possessing any firearm affecting interstate commerce.
The government was represented by Assistant U.S. Attorneys Amarjeet Bhachu and Michael Donovan. The verdict was announced Gary S. Shapiro, United States Attorney for the Northern District of Illinois; Cory B. Nelson, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; and the Addison Police Department.
Two Minneapolis Women Sentenced for Stealing More Than $1 Million from the ING CompanyRead the Press Release
MINNEAPOLIS—Earlier today in federal court in St. Paul, two Minneapolis women were sentenced for stealing more than $1 million from the ING life insurance company. United States District Court Judge Susan Richard Nelson sentenced Angela Patrice Madison, age 42, to 35 months in federal prison on one count of aiding and abetting mail fraud; and Tracy Dione Jackson, age 42, was sentenced to 27 months in federal prison on the same charge. Madison also was ordered to pay $1,633,301 in restitution to ING, while Jackson was ordered to pay $1,112,717 to the company. Both women were charged on July 26, 2012.
In her plea agreement, which was filed on September 27, 2012, Madison admitted that from 2003 through March 6, 2012, she worked as a policy plan and service coordinator for ING. In that capacity, she handled, among other things, requests from ING clients to obtain loans and “surrender”—that is, cash in—their life insurance policies. Madison used ING’s computer system to generate false “surrenders” in the names of various individuals, including Jackson. The checks issued as a result of those surrenders were mailed to Jackson at various addresses across the state or intercepted by Madison and given to Jackson. Jackson then cashed the checks and split the proceeds with Madison. Through this scheme, the women stole approximately $1,633,301 from ING, the result of 196 fraudulent checks. Jackson pleaded guilty on August 28, 2012.
This case was the result of an investigation by the Federal Bureau of Investigation. It was prosecuted by Assistant U.S. Attorney Timothy C. Rank.Two Men Charged for Methamphetamine Trafficking and Gun OffensesRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces the return of an indictment charging Emir Peron (31,Seffner) and Roger Gary Driggers (60, Lakeland) with conspiracy to distribute 50 grams or more of methamphetamine. Peron also faces three counts of possession of a firearm in furtherance of a drug trafficking crime. If convicted on all counts, Peron and Driggers each face a maximum penalty of life in federal prison. If convicted, Peron also faces a mandatory minimum penalty of 55 years in federal prison on each of the firearm counts. The indictment also notifies Peron that the United States intends to forfeit six firearms which were seized during the course of the investigation. Peron and Driggers were indicted on February 13, 2013. The arraignment hearing was held today.
According to the indictment, from an unknown date and continuing until approximately January 29, 2013, in Hillsborough County, Peron and Driggers conspired with each other and others to distribute and possess with intent to distribute 50 grams or more of methamphetamine. According to a criminal complaint filed earlier in the case, Peron also sold guns to an undercover agent, including a Saiga semi-automatic assault rifle, an M-11 9mm semi-automatic pistol, and a .357 magnum revolver, in addition to quantities of crystal methamphetamine.
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 Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Drug Enforcement Administration (DEA), and the Hillsborough County Sheriff's Office. It will be prosecuted by Assistant United States Attorney Patrick Scruggs.
Two Eagle Butte Men and A Woman Charged with Distribution of A Controlled Substance and Possession with Intent to DistributeRead the Press Release
United States Attorney Brendan V. Johnson announced that two men and one woman from Eagle Butte, South Dakota have been indicted by a federal grand jury.
Lena Flying By, age 45; Terry Flying By, age 50; and Earl Grindstone, age 28, were indicted by a federal grand jury on February 13, 2013 for Distribution of a Controlled Substance and Possession with Intent to Distribute a Controlled Substance. They appeared before U.S. Magistrate Judge Mark A. Moreno on February 20, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is not more than 5 years of imprisonment, a $250,000 fine, or both; a mandatory 2 years of supervised release and an additional year of supervised release upon revocation. Restitution and a $100 each special assessment may also be ordered. The charges are merely accusations, and the defendants are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force and the Cheyenne River Sioux Tribe Law Enforcement. Assistant U.S. Attorney Kathryn N. Rich is prosecuting the case. Defendants were released on bond pending trial. A trial date has not been set.
Two Admit Mortgage Fraud Conspiracy and Money LaunderingRead the Press Release
CAMDEN, N.J. – A former property manager admitted today to conspiring to defraud financial institutions and launder stolen funds as part of a $15 million mortgage fraud scam that used phony documents and “straw buyers” to make illegal profits on overbuilt condos, U.S. Attorney Paul J. Fishman announced.
Last week, a Georgia man also admitted to conspiring to defraud financial institutions and launder stolen funds as part of the same scam.
Timothy Ricks, 45, of East Orange, N.J., pleaded guilty today to a Superseding Indictment charging him with one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering. Orlando Allen, 47, of Fayetteville, Ga., pleaded guilty to the same crimes on Feb. 20, 2013. Both Ricks and Allen entered their guilty pleas before U.S. District Judge Jerome B. Simandle in Camden federal court.
According to documents filed in this case and statements made in court:
Ricks and Allen were among 11 defendants arrested in July 2012 and charged with conspiracy to commit wire fraud and conspiracy to commit money laundering. Ricks and his conspirators located oceanfront condominiums overbuilt by financially distressed developers and negotiated a buyout price with the sellers. They then caused the sales prices for the properties – located in Wildwood Crest and North Wildwood, N.J., other locations in New Jersey and in Naples, Fla. – to be much higher than the buyout price to ensure large proceeds. Other defendants helped conceal the true sales prices of certain properties through inflated sales contracts and sale and finder’s fee agreements.
Ricks and Allen recruited straw buyers to purchase those properties at the inflated rates. The straw buyers had good credit scores but lacked the financial resources to qualify for mortgage loans. The conspirators created false documents, such as fake W-2 forms, pay stubs, bank statements and investment statements, to make the straw buyers appear more creditworthy than they actually were in order to induce the lenders to make the loans.
Ricks and his conspirators caused fraudulent mortgage loan applications in the name of the straw buyers, including the supporting documents, to be submitted to mortgage brokers that the brokers knew were false. Once the loans were approved and the mortgage lenders sent the loan proceeds in connection with real estate closings, Ricks and his conspirators took a portion of the proceeds, having funds wired or checks deposited into various accounts they controlled. They also distributed a portion of the proceeds to other members of the conspiracy for their respective roles.
The wire fraud conspiracy charge carries a maximum potential penalty of 30 years in prison and a $1 million fine. The money laundering conspiracy charge carries a maximum potential penalty of 10 years in prison and a $250,000 fine. Ricks’ sentencing is scheduled for Nov. 8, 2013. Allen is scheduled to be sentenced Aug. 8, 2013.
U.S. Attorney Fishman credited special agents of the FBI, under the direction of Acting Special Agent in Charge David Velazquez in Newark; and IRS–Criminal Investigation, under the direction of Acting Special Agent in Charge Shantelle P. Kitchen, Newark field office, for their roles in the ongoing investigation.
The government is represented by Assistant U.S. Attorney Matthew T. Smith and Attorney in Charge R. Stephen Stigall of the U.S. Attorney’s Office Criminal Division in Camden.
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Defense counsel: Ricks: Joshua Markowitz Esq., Princeton, N.J.
Allen: Nace Naumoski Esq., Roseland, N.J.Ricks, Timothy et al. Superseding Indictment
Three People Sentenced in Connection with Aryan Knights CaseRead the Press Release
BOISE – U.S. Attorney Wendy J. Olson announced today that three individuals charged in connection with the Aryan Knights investigation were sentenced in United States District Court in Boise this week. The three sentences are the first to occur out of 23 separate individuals charged in the investigation.
Rory Vincent Palma, 38, of Tempe, Arizona, was sentenced to 41 months in prison followed by three years of supervised release for unlawful possession of a firearm. Palma, who has three prior felony convictions, and has twice previously been convicted of unlawful possession of a firearm, sold a shotgun to a confidential informant. Palma pleaded guilty to the charge on October 30, 2012.
Joshua Trent, 32, of Boise, Idaho, was sentenced to 51 months in prison followed by three years of supervised release for possessing an unregistered firearm. Trent pleaded guilty to the charge on November 19, 2012. Trent admitted that on May 7, 2012, he was in possession of two sawed-off shotguns, which he then sold to a confidential informant. Trent was also prohibited from possessing the shotguns because he was previously convicted of the felony crime of aggravated assault in 2000.
Christina Massie, 35, of Boise, was sentenced to 30 months followed by three years of supervised release for unlawful possession of a firearm. Massie pleaded guilty to the charge on December 5, 2012. Massie admitted that she assisted co-defendant Joshua Trent in the sale of two sawed-off shotguns to a confidential informant. Massie was prohibited from possessing firearms because she was previously convicted of two felony crimes for controlled substance violations.
These three defendants were among 23 people charged as a result of a long term investigation by the Treasure Valley Metro Violent Crimes Task Force. The investigation began when the task force focused on illegal drug distribution by the “Aryan Knights,” a gang active both in prison and on the streets throughout Idaho. Through the investigation, law enforcement agents identified Aryan Knights gang members who were trafficking methamphetamine, as well as associates of the gang who were the source of that methamphetamine.
Of the 23 individuals charged, 16 have pleaded guilty, two have signed plea agreements but not yet entered guilty pleas, and five are still set for trial.
The joint investigation by the Organized Crime and Drug Enforcement Task Force (OCDETF) included the cooperative law enforcement efforts of the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), Internal Revenue Service-Criminal Investigation, and U.S. Marshals Service. The Twin Falls Police Department, Twin Falls Sheriff’s Office, Idaho State Police, and District 3 Probation and Parole also participated in the investigation.
The Palma case is being prosecuted by Assistant U.S. Attorney Christian Nafzger; Trent and Massie are being prosecuted by Christopher Atwood, the Special Assistant U.S. Attorney hired by the Treasure Valley Partnership and the State of Idaho to address gang crimes. The Treasure Valley Partnership is comprised of a group of elected officials in southwest Idaho dedicated to regional coordination, cooperation, and collaboration on creating coherent regional growth. For more information, visit treasurevalleypartners.org.
Stock Manipulators Sentenced in Texas to Prison<br /> for $1 Million Securities Fraud SchemeRead the Press Release
An employee of a Texas securities firm and a broker-dealer who conspired with him and others to artificially pump up the stock prices of several publicly traded companies were sentenced to prison terms today for their roles in the $1 million scheme, announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division and Assistant Director in Charge of the FBI’s Washington Field Office Valerie Parlave.
Blake Williams, 30, of Dallas, and Derek Lopez, 46, of Torrance, Calif., were sentenced to 32 and 24 months in prison, respectively. U.S. District Judge Ed Kinkeade imposed the sentences today in Dallas federal court. In addition to the prison terms, Williams was ordered to forfeit $125,000; Lopez was ordered to forfeit $72,442; and the pair was sentenced to serve two years of supervised release. Each defendant previously pleaded guilty to one count of conspiracy and one count of securities fraud.
Williams was an employee of TBeck Capital Inc., a purported investment banking and securities trading firm in Grapevine, Texas. Lopez was a securities broker-dealer who provided services to TBeck Capital. According to court documents, from June 2006 through December 2008, Williams, Lopez and their co-conspirators engaged in a scheme to manipulate the price and volume of stocks traded in the over-the-counter market.
According to court documents, companies owned and controlled by a co-conspirator obtained control of large positions of free-trading stock in various publicly traded companies. Williams, Lopez and others then coordinated trades with each other and with other alleged co-conspirators to create the false appearance of greater investor interest in the stock. Williams and Lopez admitted to trading stock in their own names as well as through TBeck Capital and other companies to keep the stock price artificially inflated. These actions allowed the defendants and their alleged co-conspirators to then sell that stock at an artificially high price.
Specifically, Lopez admitted to trading in his own name, as well as in the name “Da Big Kahuna” to disguise his trades. Williams admitted to trading in the names of several companies to make it appear there were multiple unrelated entities buying and selling the stock. According to court documents, Williams received cash payments and Lopez received free-trading stock and cash payments in return for their assistance in manipulating the stock prices of companies in which TBeck Capital owned and controlled large positions of free-trading stock.
The gain to all the co-conspirators from the fraudulent scheme exceeded $1 million, according to court documents.
The case is being prosecuted by Senior Trial Attorney Nicholas Acker and Trial Attorney Luke B. Marsh of the Criminal Division’s Fraud Section and is being investigated by the FBI’s Washington Field Office. The U.S. Attorney’s Office for the Northern District of Texas provided valuable assistance.
This case was prosecuted 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.
St. Francis Woman Pleads Guilty to Involuntary ManslaughterRead the Press Release
United States Attorney Brendan V. Johnson announced that Mary Jo Flammond, a/k/a Mary Jo Waln, age 32, of St. Francis, South Dakota appeared before U.S. District Judge Roberto A. Lange on February 21, 2013 and pled guilty to Involuntary Manslaughter. The maximum penalty upon conviction is 8 years in custody, a $250,000 fine, or both; 3 years of supervised release; and a $100 special assessment.
The conviction stems from an incident that took place on September 6, 2012, when Flammond was driving a motor vehicle under the influence of alcohol. Flammond was driving recklessly and could not keep the vehicle on the roadway which caused it to roll. The victim died from his injuries sustained in the crash. Flammond’s blood alcohol content at the time of the wreck was .191.
The investigation was conducted by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. The case is being prosecuted by Assistant U.S. Attorney Tim Maher.
A presentence investigation was ordered. A sentencing date has not been set. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
St. Francis Woman Indicted for Assault and Child AbuseRead the Press Release
United States Attorney Brendan V. Johnson announced that a St. Francis, South Dakota woman has been indicted by a federal grand jury for Assault with a Dangerous Weapon, Assault Resulting in Serious Bodily Injury and Child Abuse.
Racine Whirlwind Soldier, age 28, was indicted by a federal grand jury on February 13, 2013. She appeared before U.S. 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; 3 years of supervised release; and a $100 Special Assessment. Restitution may also be ordered.
The charge is merely an accusation and Whirlwind Soldier is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Whirlwind Soldier was released to a third party custodian pending trial. A trial date has not been set.
St. Francis Man Sentenced for Involuntary ManslaughterRead the Press Release
United States Attorney Brendan V. Johnson announced that a St. Francis, South Dakota man convicted of Involuntary Manslaughter was sentenced on February 20, 2013 by U.S. District Judge Roberto A. Lange. Thomas Hacker Sr., age 50, was sentenced to 30 months in custody, 1 year of supervised release, and a $100 special assessment to the Victim Assistance Fund.
Hacker was indicted by a federal grand jury on September 19, 2012 and pled guilty to the charge on November 26, 2012.
The conviction stems from an incident that took place on August 25, 2012, when Hacker was driving a motor vehicle under the influence of alcohol. Hacker's vehicle left the roadway traveling onto the shoulder of the road. Hacker decelerated as he came out of the shoulder and struck the victim who was walking along the edge of the road. The victim died from injuries sustained in the crash. Hacker's blood alcohol level was determined to be .255 at the time of the crash.
The investigation was conducted by the Federal Bureau of Investigation and Rosebud Sioux Tribe Law Enforcement Services. The case was prosecuted by Assistant U.S. Attorney Marie H. Ruettgers.
Hacker was remanded to the custody of the U.S. Marshal.
Springfield Man Sentenced for Illegally Possessing AmmunitionRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man has been sentenced in federal court for illegally possessing ammunition.
Tony L. Friend, 45, of Springfield, was sentenced by U.S. District Judge Richard E. Dorr on Tuesday, Feb. 26, 2013 to four years and nine months in federal prison without parole.
On Sept. 12, 2012 Friend pleaded guilty to being a felon in possession of ammunition. Law enforcement officers, who identified Friend during an investigation into the deaths of Russell and Rebecca Porter of Willard, Mo., seized three shotgun shells when they executed a search warrant at Friend’s residence on May 23, 2012.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Friend has prior felony convictions for unlawful use of a weapon and domestic assault.
This case is being prosecuted by Assistant U.S. Attorney Gary Milligan. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Greene County, Mo., Sheriff’s Department.
South Carolina Man Charged with Threatening to Kill the President of the United StatesRead the Press Release
Defendant Also Traveled to Georgia to Buy Firearms
While Under Indictment in South CarolinaATLANTA - Patrick Randell McIntosh, 28, of Charleston, South Carolina, was arraigned today before United States Judge Linda T. Walker, on charges of possessing three firearms and ammunition while under indictment for a felony, and for threatening the life of the President of the United States on Facebook.
“McIntosh is charged with making violent and disturbing threats online and via email to several people, including a threat to the life of the President of the United States,” said United States Attorney Sally Quillian Yates. “Many state, local and federal law enforcement agencies have worked together to bring this potentially dangerous man into custody to protect the citizens of the United States.”
According to United States Attorney Yates, the charges and other information presented in court, McIntosh posted on his Facebook page his intention to shoot patrons at a local Atlanta lounge and to kill the President of the United States. After posting the various threats, the defendant purchased three firearms from individuals who advertised weapons for sale.
McIntosh also threatened a woman in the Atlanta area. The woman reported to Gwinnett County authorities that McIntosh was stalking her. She gave police the location of a hotel where McIntosh was staying. Law enforcement officers subsequently arrested McIntosh at the location and recovered guns and ammunition in his possession.
“With the increased use of the various forms of social media comes increased online threats that vary in nature,” said Mark F. Giuliano, Special Agent in Charge, FBI Atlanta Field Office. “The FBI, as well as law enforcement as a whole, takes such online based threats seriously and they can easily evolve into federal criminal charges for those individuals making them.”
“Threats against the President of the United States and others we are statutorily authorized to protect are the Secret Service’s number one investigative priority. Every threat, no matter if made by telephone, in person, in writing, or on social media is examined to the fullest extent possible. Working with our partners in law enforcement and the U.S. Attorney’s Office we will continually seek to bring those who make threats to justice,” said Reginald G. Moore, Special Agent in Charge of the United States Secret Service, Atlanta Field Office.
“I’m proud of the Atlanta Police Department’s active participation in the investigation that led to the removal of this dangerous individual off of the streets,” said Atlanta Police Chief George N. Turner. “This arrest and indictment underscores the importance of solid relationships with our local, state and federal law enforcement partners. We’re all safer today as a result of this cooperation.”
McIntosh was indicted by a federal grand jury in Atlanta on January 15, 2013, and charged with illegally possessing three firearms and a large amount of ammunition while under indictment for a felony offense, and for threatening the President. He had been released on state bond after being indicted in the state of South Carolina for felony stalking.McIntosh faces a maximum possible sentence of five years in prison on the firearms charge, and ten years in prison on the threat charge. McIntosh could be also be fined up to $250,000.00 on each charge. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding on the Court but provide appropriate sentencing ranges for most offenders.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government's burden to prove the defendant's guilt beyond a reasonable doubt at trial.
This case is being investigated by the Joint Terrorism Task Force (“JTTF”), which includes agents with the Federal Bureau of Investigation, the United States Secret Service, and the Federal Air Marshal Service. The threat was initially investigated by detectives of the Atlanta Police Department and subsequently referred to the JTTF.
Assistant United States Attorney Katherine M. Hoffer is prosecuting the case.
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.
Somali Pirates Convicted for Attack of the USS AshlandRead the Press Release
NORFOLK, Va. – Mohamed Ali Said,a/k/a Maxamad Cali Saciid; Mohamed Abdi Jama, a/k/a Mohammed Abdi Jamah; Abdicasiis Cabaase, a/k/a Ahmed Mahomood; Abdirazaq Abshir Osman, a/k/a Abdirasaq Abshir; and Mohamed Farah, a/k/a Mohamed Farraah Hassan, were found guilty by a federal jury of engaging in piracy and committing other offenses pertaining to the attack on the Navy ship, the USS Ashland.
Neil H. MacBride, U.S. Attorney for the Eastern District of Virginia, and George Venizelos, Assistant Director in Charge of the FBI's New York Field Office, made the announcement after the verdicts were accepted by United States District Judge Raymond A. Jackson.
The five men are scheduled to be sentenced on July 1st and July 2nd, 2013. The maximum sentence for the convictions are as follows: Conspiracy to commit hostage taking carries a maximum sentence of life in prison; Conspiracy to commit kidnapping, carries a maximum sentence of life in prison; Conspiracy to perform act of violence against persons on a vessel carries a maximum sentence of 20 years in prison; Conspiracy involving firearm and a crime of violence carries a maximum sentence of 20 years in prison; Piracy under the Law of Nations carries a maximum sentence of life in prison; Attack to plunder vessel carries a maximum sentence of 10 years in prison; Assault with a dangerous weapon on federal officers and employees carries a maximum sentence of 20 years in prison; Act of violence against persons on a vessel carries a maximum sentence of 20 years in prison; and Use/Possession of firearm during crime of violence carries a mandatory minimum of 10 years in prison and a maximum of life in prison if convicted of one count. A second or subsequent conviction adds an additional 25 years, making the prison term a minimum mandatory 35 years.
“These men were pirates – plain and simple,” said U.S. Attorney MacBride. “They attacked a ship hoping to hold it ransom for millions of dollars. Few crimes are older than piracy on the high seas, and today’s verdict shows that the United States takes it very seriously.”
Assistant Director Venizelos said, “These defendants are headed where they belong: to federal prison. Let this send a clear message of deterrence to anyone who threatens those who traverse the high seas. I commend U.S. Attorney MacBride and the U.S. Navy for their diligence in the investigation and prosecution of this case.”
Said,Jama, Cabaase, Osman, and Farah were charged in a second superseding indictment that was filed on August 8, 2012. According to court records and evidence at trial, they attacked the USS Ashland on April 10, 2010, and three of the defendants, Mohamed Ali Said, Mohamed Abdi Jama and Abdicasiis Cabaase, had previously gone to sea in February 2010 for purposes of capturing another vessel but were instead intercepted by the HMS Chatham of the Royal Navy.
This investigation was conducted by the FBI and the Naval Criminal Investigative Service. The prosecution is being handled by Assistant U.S. Attorneys Benjamin L. Hatch and Joseph DePadilla, from the U.S. Attorney’s Office for the Eastern District of Virginia, and Trial Attorney Jerome Teresinski of the National Security Division of the Department of Justice.
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.usdoj.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 http://pacer.uspci.uscourts.gov.Smithfield Man Convicted of Federal Drug ChargesRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court yesterday, Calvin Dwight MITCHELL, 27, of Smithfield, North Carolina, was convicted for his role in a drug trafficking conspiracy as well as distributing cocaine.
On August 8, 2012, a Federal Grand Jury returned a Criminal Indictment that charged one count of conspiring to distribute and possess with the intent to distribute cocaine in violation of Title 21, United States Code, Section 841(a)(1) and one count of distributing cocaine in violation of Title 21, United States Code, Section 841(a)(1) and Title 18, United States Code Section 2, on May 24, 2012. On February 26, 2013, after a two-day trial, a jury found MITCHELL guilty of both counts. Based on these convictions, MITCHELL faces up to 60 years in prison.
The evidence in the case demonstrated that from at least March 2001, up to and including May 24, 2012, MITCHELL and at least two other individuals conspired to distribute cocaine. In his statement, MITCHELL admitted that he had obtained approximately 80 kilograms of crack cocaine from his sources of supply for re-distribution. During the investigation, a controlled buy of cocaine was conducted from MITCHELL which was recorded with an audio/video device. In addition, the evidence established that, upon his arrest, MITCHELL confessed to being a drug dealer and named approximately two other co-conspirators with whom he had been trafficking crack cocaine.
Investigation of this case was conducted by the Smithfield Police Department, the Johnston County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Rudy E. Renfer represented the government.
Skokie Business Owner Charged with Tax Evasion for Allegedly Hiding Funds in Secret Offshore Account with Swiss Bank UBSRead the Press Release
CHICAGO — The owner of a cemetery monument business in Skokie was charged with federal tax evasion for allegedly failing to report all of his income, including money he held in a secret offshore financial account with UBS, a global financial services firm headquartered in Switzerland. The defendant, PETER TROOST, was charged in a felony information filed late yesterday in U.S. District Court.
Troost, 78, of Skokie, owns and operates Troost Memorials, a closely-held company that designs and sells cemetery monuments and gravestones. The business is located in a strip mall that Troost owns at 9853 Gross Point Rd., Skokie, and he owns another strip mall located at 1816-44 Arlington Heights Rd., in Arlington Heights. The defendant is not involved with Peter Troost Monument Company, of Hillside, which is a different company from Troost Memorials.
Troost will be arraigned in U.S. District Court on a date yet to be determined.
Troost is the first taxpayer charged in Federal Court in Chicago in connection with an ongoing investigation of U.S. taxpayer clients of UBS and other overseas banks that hid foreign accounts from the Internal Revenue Service. In February 2009, UBS entered into a deferred prosecution agreement with the United States, admitting that it helped taxpayers hide accounts from the IRS. As part of the agreement, UBS provided the government with the identities of, and account information for, certain customers of UBS’ U.S. cross-border banking business.
According to the charging document, Troost maintained at least one offshore account with UBS, which he managed with the assistance of a UBS personal banker based on the island of Jersey.
In 2007, Troost received gross income of at least $647,040, and owed federal income tax of at least $212,503, the charge states. Troost allegedly attempted to evade payment of at least $193,641 of that income tax by maintaining a secret Swiss account with UBS, to which he transferred income earned in the United States and also earned additional interest income in that account.
On his federal income tax returns for 2007-09, Troost allegedly stated that his total income was $80,271.35 in 2007; $60,802.37 in 2008; and $211,256.86 in 2009, when he knew that his total income was actually greater than those amounts in each of those years. In addition, Troost allegedly stated on his returns for each of those years that he did not have an interest in a financial account in a foreign country, when, in fact, he knew he maintained the offshore UBS account.
The charge was announced today by Gary S. Shapiro, United States Attorney for the Northern District of Illinois, and James C. Lee, Special Agent-in-Charge of the Internal Revenue Service Criminal Investigation Division in Chicago.
“With the April tax deadline looming, we encourage taxpayers to think of the serious consequences, including civil and criminal penalties, for willfully presenting false information on their federal tax returns. All taxpayers must honor their obligation to report all of their income and pay all of the taxes they owe,” Mr. Lee said.
Tax evasion carries a maximum penalty of five years in prison and a $250,000 fine. In addition, a defendant convicted of tax offenses faces mandatory costs of prosecution and remains civilly liable to the government for any and all back taxes, as well as a potential civil fraud penalty of up to 75 percent of the underpayment plus interest. Federal tax law requires U.S. taxpayers pay taxes on all income earned worldwide. Taxpayers must also report foreign financial accounts if the total value of the accounts exceeds $10,000 at any time during the calendar year. A deliberate failure to file a Report of Foreign Bank and Financial Accounts (FBAR) with the U.S. Treasury Department can result in a penalty of up to 50 percent of the amount in the account at the time of the violation. If convicted, the Court must determine a reasonable sentence to be imposed under federal statutes and the advisory United States Sentencing Guidelines.
The government is being represented by Assistant U.S. Attorney Brian Havey.
The public is reminded that an information 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.
Information
Six Arrested in San Fernando Valley-Based Tax Fraud Scheme That Used Stolen Identities to Seek More Than $19 Million in Tax RefundsRead the Press Release
LOS ANGELES – Authorities this morning arrested six people linked to a large-scale tax fraud scheme that allegedly used stolen identities to fraudulently file more than 2,500 income tax returns that sought over $19 million in fraudulent tax refunds.
The arrests by special agents with IRS - Criminal Investigation and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) are the result of “Operation National Treasure,” an eight-month investigation into a ring that allegedly obtained nearly $10 million from the IRS.
The six arrested this morning are among eight defendants named in a 132-count indictment that was filed Monday in United States District Court. The eight defendants allegedly operated a scheme that started in 2010 with the theft of personal identifying information, such as driver’s license and Social Security numbers. Armed with this data, members of the conspiracy allegedly submitted income tax returns to the IRS under the names of the identity theft victims. Members of the conspiracy allegedly established mailing addresses, which were used to receive the refunds sent through the U.S. Mail as United States Treasury checks. According to the indictment, the defendants took the fraudulently obtained checks to various “check cashers,” who took their own “cuts” before providing cash to the defendants.
“Identity theft is one of the nation’s fastest growing crimes, and it impacts more and more Americans every year,” said United States Attorney André Birotte Jr. “This Los Angeles-based crime ring is alleged to have combined identity theft with tax fraud to create an intrusive and sophisticated scheme designed to victimize more than 1,800 individuals and to defraud the United States Government out of millions of dollars.”
Richard Weber, Chief of IRS - Criminal Investigation, stated: “These individuals demonstrated a blatant disregard for the integrity of the United States tax system and caused immeasurable hardship to innocent victims. IRS - Criminal Investigation remains committed to the pursuit of identity theft and, together with our law enforcement partners and the United States Attorney’s Office, we will hold those who engage in similar conduct accountable.”
Those taken into custody this morning are: Ashot Karapetian, 47, of North Hollywood;
Suren “Sonny” Gambaryan, 33, of North Hollywood;
Artak “Max” Berberyan, 33, of Van Nuys;
Vigen “Vic” Tsaturyan, 47, of Sun Valley;
Armen “Roman” Berberyan, 33, of Van Nuys; and
Arman Zargaryan, 30, of Granada Hills.
These defendants are expected to be arraigned on the indictment this afternoon in federal court in Santa Ana, where this case will be litigated.
Additionally, two defendants named in the indictment are currently being sought be authorities. They are:
Akop “Jack” Kantrdzyan, 33, of Sylmar; and
David Samsonyan, also known as “Little Guy,” 31, of Winnetka.
According to the indictment, members of the scheme obtained 1,844 stolen identities. Many of the stolen identities came from retired individuals and residents of homeless shelters, some of whom had not filed federal income tax returns in years. In an effort to conceal their activities, the indictment alleges that the conspirators used coded language to refer to Treasury checks, referred to each other by nickname, and used false home addresses on their own driver’s licenses and other identity documents, and used third-party “straw buyers” to purchase property for the defendants’ own use.
The indictment specifically alleges that members of the conspiracy filed at least 2,977 false federal income tax returns (Forms 1040) with the IRS that fraudulently claimed a total of $19,324,632 in refunds. The IRS paid out approximately $9,952,077 based on the false and fraudulently filed 1040 Form tax returns.
“Today’s arrests are a clear warning that anyone who steals the identities of innocent taxpayers to file fraudulent income tax returns for personal profit will be aggressively pursued, investigated and prosecuted,” said Claude Arnold, Special Agent in Charge of HSI Los Angeles. “These crimes are pure theft, and they victimize us all. HSI will continue to use its unique investigative authorities to identify and dismantle these harmful schemes.”
The indictment contains charges of conspiracy, theft of government money, mail fraud, money laundering, aggravated identity theft, cashing government checks with forged signatures. All eight defendants are charged in the conspiracy count, and each are charged in various mail fraud counts. If convicted, each defendant would face a statutory maximum penalty of at least 45 years in federal prison.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until proven guilty in court.
In addition to the six defendants named in the tax fraud case who were arrested this morning, authorities took into custody another two individuals on unrelated charges. Those also arrested this morning are:
Armine Nazaryan, 41, of North Hollywood, who was indicted on charges of making false statements to HSI agents; and
Spartak Karapetian, 23, of North Hollywood, the son of Ashot Karpetian, who was arrested on suspicion of being a felon in possession of a firearm.
Operation National Treasure was an investigation conducted by IRS - Criminal Investigation and HSI, which received substantial assistance from the Los Angeles Police Department.
Release No. 13-027
Simon Guilty PleaRead the Press Release
BATON ROUGE, LA – United States Attorney Donald J. Cazayoux announced that INGRID J. SIMON, age 49, of Baton Rouge, pled guilty today before U.S. District Judge James J. Brady to using interstate facilities in aid of racketeering (bribery), in violation of Title 18, United States Code, Section 1952. SIMON faces up to five years in prison and a $250,000 fine. The sentencing date has not been set.
SIMON’s conviction is based on her taking and soliciting cash bribes on approximately thirty (30) occasions while working as a clerk at the Baton Rouge City Court from 2007 through 2010. During today’s hearing, SIMON admitted that she would take and solicit cash in exchange for causing traffic matters to be dismissed. As part of the scheme, SIMON would cause the City Court computer records to falsely reflect that the matters had been dismissed at the request of the prosecutor.
U.S. Attorney Cazayoux stated, “Our office, together with our federal, state, and local partners, will continue to aggressively and tenaciously root out public corruption wherever found. Our citizens deserve a criminal justice system based on the merits alone, free from the inequality and injustice that comes from corruption. Our local and state courts are full of many honest employees whose good work should not be overshadowed by such corruption.”
This investigation of SIMON was conducted by the Federal Bureau of Investigation. The matter is being prosecuted by Assistant United States Attorney Corey R. Amundson, who serves as the Senior Deputy Chief of the Criminal Division.
Ruidoso Man Sentenced to Probation and Fined $2,500 for Trespassing on a National Wildlife Refuge During Oryx HuntRead the Press Release
ALBUQUERQUE – Kenneth Espinosa, 46, of Ruidoso, N.M., was sentenced this morning to a year of probation and ordered to pay a $2,500 fine for trespassing on the San Andres National Wildlife Refuge. Espinosa’s sentence was announced by U.S. Attorney Kenneth J. Gonzales and Nicholas E. Chavez, Special Agent in Charge of the Southwest Region, U.S. Fish and Wildlife Service Office of Law Enforcement.
Espinosa and John Hughes, 51, also of Ruidoso, were separately charged with trespassing on National Wildlife Refuge System land, a misdemeanor offense, in Dec. 2010. According to the criminal complaints filed in those cases, Espinosa, Hughes and James Gladin, a 53-year old Georgia resident, unlawfully entered onto land that is part of the National Wildlife Refuge System on Jan. 7, 2006. Espinosa was convicted of this offense after a one-day bench trial on Dec. 14, 2011.
According to the evidence at trial, on Jan. 7, 2006, Hughes, the owner of Elite Outfitters, a Ruidoso-based company specializing in guided big-game hunting expeditions, and Espinosa, a guide employed by Elite Outfitters, were guiding Gladin on an Oryx hunting trip on the White Sands Missile Range when they entered the San Andres National Wildlife Refuge. Although the three men had been advised by officials that the Refuge was a closed area, they nevertheless entered the Refuge and parked their vehicle within the Refuge’s eastern boundary near Oñate Peak, located approximately 23 miles north of U.S. Highway 70 along the San Andres Mountains. During their expedition, Gladin killed a bull Oryx.
On Feb. 23, 2011, Hughes entered a guilty plea to the criminal complaint and was sentenced to five years of probation and fined $2,500. Gladin, 53, who was cited by the U.S. Fish and Wildlife Service, paid a $525 fine and forfeited the bull Oryx he had killed during the hunt.
The San Andres National Wildlife Refuge was established on Jan. 22, 1941, for the conservation and development of natural wildlife resources. It currently provides the best habitat for desert bighorn sheep in the state of New Mexico. “Our national wildlife refuges were established to help conserve important and sensitive species and habitat,” said Special Agent in Charge Nicolas E. Chavez of the U.S. Fish and Wildlife Service's Office of Law Enforcement Southwest Region. “Refuges are a national treasure, and willful illegal trespass is a serious matter.”
This case was prosecuted by Assistant U.S. Attorney Aaron O. Jordan of the U.S. Attorney’s Las Cruces Branch Office and was investigated by the U.S. Fish and Wildlife Service.
The U.S. Fish and Wildlife Service is the principal Federal agency responsible for conserving, protecting and enhancing fish, wildlife and plants and their habitats for the continuing benefit of the American people. The Service manages the 95-million-acre National Wildlife Refuge System, which encompasses 545 national wildlife refuges, thousands of small wetlands and other special management areas. It also operates 69 national fish hatcheries, 64 fishery resources offices and 81 ecological services field stations. The Service enforces federal wildlife laws, administers the Endangered Species Act, manages migratory bird populations, restores nationally significant fisheries, conserves and restores wildlife habitat such as wetlands, and helps foreign and Native American tribal governments with their conservation efforts. It also oversees the Federal Assistance program, which distributes hundreds of millions of dollars in excise taxes on fishing and hunting equipment to state fish and wildlife agencies. For more information on its work and the people who make it happen, visit www.fws.gov. Connect with its Facebook page at www.facebook.com/usfws, follow its tweets at www.twitter.com/usfwshq, watch its YouTube Channel at http://www.youtube.com/usfws and download photos from its Flickr page at http://www.flickr.com/photos/usfwshq.
Rosebud Woman Indicted for Assault and Child AbuseRead the Press Release
United States Attorney Brendan V. Johnson announced that a Rosebud, South Dakota woman has been indicted by a federal grand jury for Assault with a Dangerous Weapon, Assault Resulting in Serious Bodily Injury and Child Abuse.
Kelcey Andrews, age 21, was indicted by a federal grand jury on February 13, 2013. She appeared before U.S. 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; 3 years of supervised release; and a $100 Special Assessment. Restitution may also be ordered.
The charge is merely an accusation and Andrews is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Andrews was released on bond pending trial. Trial has not been set.
Rocky Point, N.M., Woman Sentenced to Prison for DWI-Related Involuntary Manslaughter and Assault ConvictionRead the Press Release
ALBUQUERQUE –Adrienne Alexandra Skeets, 24, an enrolled member of the Navajo Nation who resides in Rocky Point, N.M., was sentenced to 33 months in prison followed by three years of supervised release for her conviction on involuntary manslaughter and assault charges. Skeets also was ordered to pay $5,754.70 in restitution to the victims of her offenses.
U.S. Attorney Kenneth J. Gonzales said that Skeets was convicted by guilty plea of three felony offenses arising out of a driving while intoxicated incident that resulted in the death of a Navajo man and serious injuries to another Navajo man and a Navajo woman. She entered a guilty plea to one count of involuntary manslaughter and two counts of assault resulting in serious bodily injury on Oct. 12, 2012.
In entering her guilty plea, Skeets admitted that on Jan. 21, 2012, she was driving while under the influence of alcohol in the vicinity of Manuelito, N.M., which is located on the Navajo Indian Reservation, when she crashed her vehicle. One of Skeet’s three passengers was fatally injured when he was ejected from the vehicle and died at the scene. The other two passengers sustained serious injuries that required medical attention.
The case was investigated by the Crownpoint Division of the Navajo Nation Department of Public Safety, and was prosecuted by Assistant U.S. Attorney Kyle T. Nayback.
Ringleader of Firearms Conspiracy Convicted in TexasRead the Press Release
St. Thomas, USVI – A ringleader of a firearms conspiracy involving more than 30 firearms, six of which were seized from crime scenes in the territory, was found guilty in Texas, United States Attorney Ronald W. Sharpe announced today.
On February 19, Tyrone Reid, 22, was found guilty of a conspiracy involving numerous co-defendants who lied to federal firearms dealers in the purchase of firearms, announced United States Attorney Kenneth Magidson of the Southern District of Texas. The Houston federal jury returned its verdict after three days of trial and approximately two hours of deliberation.
“The conviction of this firearms trafficker would not have occurred without the outstanding inter-agency cooperation by members of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Homeland Security Investigations and the Virgin Islands Police Department,” U.S. Attorney Sharpe said. “Indeed, the conviction of Reid will send a message to all in the Virgin Islands and beyond that illegal firearms trafficking will not be tolerated. I commend not only my colleagues in the United States Attorney’s Office for the Southern District of Texas for their substantial efforts in the prosecution of this case, but all of the Special Agents and Officers of ATF, HSI and VIPD for their coordinated efforts that made this prosecution a success. My office will continue to work with our federal and local law enforcement partners to do all that we can to stem the illicit flow of firearms into the Virgin Islands.”
Evidence presented at trial demonstrated that Reid would induce others to claim that they were the actual buyers of the firearms, even though Reid supplied the money and immediately took possession from the buyers. Testimony revealed that none of the purported buyers kept any of the more than 30 firearms they purchased, many of which were later found at crime scenes, both in the continental United States and Virgin Islands. Of the seven firearms seized in the Virgin Islands, six were seized from crime scenes, including a homicide. Two firearms also were found at New Jersey crime scenes, including an aggravated armed robbery.
According to the evidence presented at trial, Western Union receipts sent from the Virgin Islands to the continental United States reflected more than $60,000 in payments received by Reid. Three of the firearms were recovered by agents in a search at the home of one of Reid's associates, who also was linked to money sent from the Virgin Islands to Reid in Houston.
According to U.S. Attorney Magidson, Reid's grandmother traveled to Houston for the trial and testified that Reid sent guns to her in the Virgin Islands. Reid then took the stand on his own behalf and called his grandmother a liar.
Reid’s sentencing is scheduled for May 14, 2013 in Houston, Texas. He faces a maximum penalty of 20 years in prison.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Homeland Security Investigations, and the Virgin Islands Police Department.
Rapid City Man Pleads Guilty to Escape from CustodyRead the Press Release
United States Attorney Brendan V. Johnson announced that Eric Ladeaux, age 24, of Rapid City, South Dakota appeared before Chief U.S. District Judge Jeffrey L. Viken on February 14, 2013 and pled guilty to a charge of Escape from Custody. The maximum penalty upon conviction is 5 years' imprisonment and/or $250,000 fine.
In September 2012, Ladeaux left Community Alternatives of the Black Hills, where he was serving the remainder of a federal sentence, and did not return as required. The investigation was conducted by the U.S. Marshals Service. The case is being prosecuted by Assistant U.S. Attorney Sarah B. Collins.
A presentence investigation was ordered and a sentencing date was set for May 20, 2013. The defendant was remanded to the custody of the U.S. Marshal pending sentencing.
Philadelphia Man Sentenced to 12 Months in Prison for Role in Forging U.S. Postal Service Money OrdersRead the Press Release
TRENTON, N.J. – A Philadelphia man was sentenced today to one year and one day in prison for his role in a conspiracy to forge U.S. Postal Service money orders, U.S. Attorney Paul J. Fishman announced.
Yacouba Magadji, 36, previously pleaded guilty before U.S. District Judge Mary L. Cooper to an Information charging him with one count of conspiracy to falsely and materially alter money orders. Judge Cooper imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
Magadji and others allegedly agreed to buy U.S. Postal Service money orders for small amounts and then alter them to show a higher face value. Magadji met three times with buyers who were actually confidential informants. At each meeting, Magadji sold the confidential informant 10 money orders with an apparent face value of $1,000. Each of the money orders had been purchased for a much smaller amount, and then altered.
In addition to the prison term, Judge Cooper sentenced Magadji to three years of supervised release and ordered him to pay restitution of $392,646.
Fishman credited inspectors of the U.S. Postal Inspection Service, Newark, under the direction of Acting Inspector in Charge Maria Kelokates,n with the investigation leading to today’s sentence.
The government is represented by Assistant U.S. Attorney Charlton A. Rugg of the Economic Crimes Unit in Newark.
13-096
Defense counsel: Pasquale F. Giannetta Esq., of Wayne, N.J.
Pawtucket Felon Sentenced to 10 Years in Federal Prison for Possession of A Machine Gun, AmmunitionRead the Press Release
PROVIDENCE, R.I. – Isaiah Gasperini, 30, of Pawtucket, was sentenced today in federal court in Providence to 132 months and one day in federal prison for being in possession of an unregistered machine gun and ammunition, and for violating the terms of supervised release following a lengthy federal prison sentence on a previous federal firearm conviction, announced United States Attorney Peter F. Neronha and Providence Police Chief Colonel Hugh T. Clements, Jr.
Gasperini was sentenced today by U.S. District Court Chief Judge Mary M. Lisi to serve 120 months in federal prison on his most recent conviction for possession of a machine gun and being a felon in possession of ammunition, to be followed by a consecutive sentence of 12 months and one day in federal prison for violating the terms of supervised release for a 2003 conviction on a firearm charge.
In 2003, Gasperini was sentenced to 110 months in federal prison, to be followed by 3 years of supervised release for being a felon in possession of a firearm. Gasperini was on supervised release at the time of his most recent in June 2012.
He pleaded guilty to the most recent charges on November 29, 2012.
According to information presented to the court, at approximately 3 A.M., on June 12, 2012, Providence Police received calls from a residential neighborhood of repeated gun fire. As an unmarked police vehicle approached the area, an officer witnessed a vehicle leaving the area and failing to stop at a stop sign. When the officer attempted to stop the vehicle, it sped up and traveled onto Rte. 95. The vehicle came to a stop several minutes later when it attempted to exit Rte. 95 in Pawtucket and crashed into a truck.
As the officer approached the vehicle, Gasperini fled on foot, but was quickly apprehended and arrested following a brief struggle. Additional officers responded to the area and recovered a loaded 9mm machine gun a short distance from the vehicle, and more than 120 rounds of ammunition, duct tape, gloves and a ski mask from inside the vehicle.
The matter was investigated by Providence Police with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The case was prosecuted by Assistant U.S. Attorney Milind M. Shah.
Contact: 401-709-5357
[email protected]Owners of Miami Home Health Companies Sentenced to Prison<br /> in $48 Million Health Care Fraud SchemeRead the Press Release
The owners and operators of two Miami health care agencies were sentenced to nine years and more than four years in prison today, respectively, and ordered to pay millions in restitution for their participation in a $48 million home health Medicare fraud scheme that billed for unnecessary home health care and therapy services.
The sentences, imposed in federal court in the Southern District of Florida, were announced by Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division; U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida; Michael B. Steinbach, Special Agent in Charge of the FBI’s Miami Field Office; and Special Agent in Charge Christopher B. Dennis of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Office of Investigations Miami office.
U.S. District Judge Frederico A. Moreno sentenced Rogelio Rodriguez, 43, and Raymond Aday, 48, both of the Miami-Dade area, to 108 months and 51 months in prison, respectively. In addition to the prison term, Judge Moreno sentenced Rodriguez to pay $33 million in restitution, and Aday to pay $2.1 million in restitution. Both defendants were also sentenced to serve three years of supervised release and pay a $100,000 fine. In December 2012, each pleaded guilty to one count of conspiracy to commit health care fraud.
According to court documents, Rodriguez was the owner of both Caring Nurse Home Health Corp. and Good Quality Home Health Inc., and Aday was a manager at Caring Nurse and owner of Good Quality.
According to plea documents, Rodriguez and Aday conspired with patient recruiters for the purpose of billing the Medicare program for unnecessary home health care and therapy services. Rodriguez, Aday and their co-conspirators paid kickbacks and bribes to patient recruiters. In return, recruiters provided patients to Caring Nurse and Good Quality, as well as prescriptions, plans of care (POCs) and certifications for medically unnecessary therapy and home health services for Medicare beneficiaries. Rodriguez and Aday used these prescriptions, POCs and medical certifications to fraudulently bill the Medicare program for home health care services, which both Rodriguez and Aday knew was in violation of federal criminal laws.
According to court documents, nurses and office staff at Caring Nurse and Good Quality falsified patient files to make it appear the Medicare beneficiaries qualified for services they did not. Rodriguez admitted to knowing that these files were falsified so the Medicare program could be billed for medically unnecessary therapy and home health related services.
From approximately January 2006 through June 2011, Caring Nurse and Good Quality submitted approximately $48 million in claims for home health services that were not medically necessary and/or were not provided. According to court documents, Medicare paid approximately $33 million for these fraudulent claims.
This case is being prosecuted by Assistant Chief Joseph S. Beemsterboer of the Criminal Division’s Fraud Section. The case was investigated by the FBI and HHS-OIG, and was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,480 defendants who have collectively billed the Medicare program for more than $4.8 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, is taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to: www.stopmedicarefraud.gov.
Owners of Miami Home Health Companies Sentenced to Prison in $48 Million Health Care Fraud SchemeRead the Press Release
The owners and operators of two Miami health care agencies were sentenced to nine years and more than four years in prison today, respectively, and ordered to pay millions in restitution for their participation in a $48 million home health Medicare fraud scheme that billed for unnecessary home health care and therapy services.
The sentences, imposed in federal court in the Southern District of Florida, were announced by U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida; Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division; Michael B. Steinbach, Special Agent in Charge of the FBI’s Miami Field Office; and Special Agent in Charge Christopher B. Dennis of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Office of Investigations Miami Office.
U.S. District Judge Frederico A. Moreno sentenced Rogelio Rodriguez, 43, and Raymond Aday, 48, both of the Miami-Dade area, to 108 months and 51 months in prison, respectively. In addition to the prison term, Judge Moreno sentenced Rodriguez to pay $33 million in restitution, and Aday to pay $2.1 million in restitution. Both defendants were also sentenced to serve three years of supervised release and pay a $100,000 fine. In December 2012, each pleaded guilty to one count of conspiracy to commit health care fraud.
According to court documents, Rodriguez was the owner of both Caring Nurse Home Health Corp. and Good Quality Home Health Inc., and Aday was a manager at Caring Nurse and owner of Good Quality.
According to plea documents, Rodriguez and Aday conspired with patient recruiters for the purpose of billing the Medicare program for unnecessary home health care and therapy services. Rodriguez, Aday and their co-conspirators paid kickbacks and bribes to patient recruiters. In return, recruiters provided patients to Caring Nurse and Good Quality, as well as prescriptions, plans of care (POCs) and certifications for medically unnecessary therapy and home health services for Medicare beneficiaries. Rodriguez and Aday used these prescriptions, POCs and medical certifications to fraudulently bill the Medicare program for home health care services, which both Rodriguez and Aday knew was in violation of federal criminal laws.
According to court documents, nurses and office staff at Caring Nurse and Good Quality falsified patient files to make it appear the Medicare beneficiaries qualified for services they did not. Rodriguez admitted to knowing that these files were falsified so the Medicare program could be billed for medically unnecessary therapy and home health related services.
From approximately January 2006 through June 2011, Caring Nurse and Good Quality submitted approximately $48 million in claims for home health services that were not medically necessary and/or were not provided. According to court documents, Medicare paid approximately $33 million for these fraudulent claims.
This case is being prosecuted by Assistant Chief Joseph S. Beemsterboer of the Criminal Division’s Fraud Section. The case was investigated by the FBI and HHS-OIG, and was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida.
Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged more than 1,480 defendants who have collectively billed the Medicare program for more than $4.8 billion. In addition, HHS’s Centers for Medicare and Medicaid Services, working in conjunction with HHS-OIG, is taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to: www.stopmedicarefraud.gov.
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.
Omaha Man Pleads Guilty to Conspiracy to Defraud the United States in Collection of Income TaxesRead the Press Release
United States Attorney Deborah R. Gilg announced that on February 27, 2013, an Information was filed in United States District Court for the District of Nebraska charging Michael D. Haffke age 50 of Omaha Nebraska, with one count of conspiracy to defraud the United States in violation of Title 18, United States Code, Section 371. The maximum penalty for the offense is five years imprisonment, a $250,000 fine, and three years of supervised release. Haffke appeared before United States District Court Judge Joseph F. Bataillon for arraignment on February 27, 2013 and entered a plea of guilty to the conspiracy charge. Sentencing has been set for May 31, 2013.
According to the Information, from January 1, 2000, through on or about December 31, 2007, Haffke participated in a conspiracy with fraudulent tax planners and others which was designed to hide or remove his name from income producing assets for the purpose of evading personal tax liabilities. As part of the conspiracy, Haffke created in excess of 40 nominee entities purporting to claim ownership of assets that were actually owned and controlled by Haffke. A limited partnership called The Rock Place was created and the partnership purported to lease equipment, real estate and improvements from the nominee entities for the purpose of artificially increasing costs in order to reduce income of the partnership which would have been attributed to Haffke for tax purposes. However, monies from these purported lease payments were deposited into nominee bank accounts in Colorado and the funds were ultimately distributed to Haffke for his own personal use. As a further part of this scheme, Haffke did not file any personal tax returns during the years 2003 through 2008. The IRS determined the tax loss associated with the scheme was $422,350.00.
In 2012, Haffke did file personal tax returns with the IRS for tax years 2003 through 2007. As part of the plea agreement, Haffke has agreed to work with the IRS to determine what additional taxes might be due and owing and to satisfy those tax liabilities.
This case was investigated by the Internal Revenue Service Criminal Investigation Division. Sybil Smith, Special Agent in Charge of the Internal Revenue Service CID, stated, “Placing income and property in the names of nominee corporations to conceal the true facts from the IRS is not tax planning; it’s criminal activity.”
Nixa Woman Sentenced for Counterfeit Check, Mail Theft, Identity Theft ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Nixa, Mo., woman has been sentenced in federal court for participating in a conspiracy to create and cash more than $134,000 in counterfeit checks in a three-state area. The scheme involved stealing mail from businesses in Missouri, Arkansas and Oklahoma in order to create counterfeit business checks, then using stolen identities to cash the counterfeit checks.
Lisa Strait-Destefano, 39, of Nixa, was sentenced by U.S. District Judge Richard E. Dorr on Monday, Feb. 25, 2013 to five years and seven months in federal prison without parole. The court also ordered Strait-Destefano to pay $76,295 in restitution.
Strait-Destefano pleaded guilty on Dec. 20, 2011 to conspiracy, bank fraud and aggravated identity theft. Strait-Destefano and co-defendant Derrick Haggard, also known as "Disco," 35, of Nixa, led the conspiracy to create counterfeit checks using original checks and other material that the group stole from private mailboxes in Missouri, Arkansas and Oklahoma. During the time of the conspiracy, the group was successfully able to pass $61,335 in counterfeit checks at financial institutions in Missouri, Arkansas and Oklahoma. The group unsuccessfully attempted to pass an additional $73,111 in counterfeit checks.
On Jan. 13, 2012, Haggard was convicted at trial of all 27 counts charging him with leading a conspiracy to commit bank fraud, create and cash counterfeit checks and steal mail from July 1 to Oct. 25, 2010. He was sentenced on July 31, 2012, to 18 years in federal prison without parole. The court also ordered Haggard to pay $76,295 in restitution, for which he is jointly and severally liable with Strait-Destefano.
Derrick Haggard recruited individuals, including co-defendant Dietrich Haggard, also known as "D-Ball," 31, of St. Robert, Mo., to steal mail from private mailboxes. Dietrich Haggard, along with others associated with the scheme, primarily stole mail from business locations, looking for mail which contained original checks so that the original checks could be counterfeited. They provided those checks to Derrick Haggard and Strait-Destefano, who created the counterfeit checks.
Derrick Haggard recruited persons to take the counterfeit checks to financial institutions or commercial establishments and attempt to cash them. Strait-Destefano directed Derrick Haggard and others as to which businesses to approach, based upon her experiences in the banking industry. Strait-Destefano and Derrick Haggard provided the check passers with false identification documents, which used the identity of real persons without their permission to match the names placed on the counterfeit checks.
Dietrich Haggard was sentenced to three years in federal prison without parole after pleading guilty to his role in the conspiracy.
Strait-Destefano is the eighth and final defendant to be sentenced in this case. Co-defendant Zachary Skinner, 25, of Springfield, Mo., was sentenced to 17 months in federal prison after pleading guilty to his role in the conspiracy. Co-defendant Paul Douglas, Jr., 45, of Ft. Leonard Wood, Mo., pleaded guilty and was sentenced to 18 months in federal prison without parole and ordered to pay $35,601 in restitution. Christopher Quale, 26, of Saint Robert, pleaded guilty and was sentenced to 16 months in federal prison without parole and ordered to pay $6,618 in restitution.
This case was prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by the U.S. Postal Service, the U.S. Secret Service, the police departments of Springfield, Branson, Hollister, St. Robert, Carthage, Nixa, Troy, Strafford, Union, Washington, Linn, Lebanon, and Neosho in Missouri, the Tulsa, Okla., Police Department, the Missouri State Highway Patrol, the Christian County, Mo., Sheriff's Department, the Greene County, Mo., Sheriff=s Department, the Fayetteville, Ark., Police Department, the Arkansas State Police, and the Crawford County, Kan., Sheriff=s Department.
Nine Current or Former Roxbury Correctional Officers Chargedin Connection with Two Assaults on an InmateRead the Press Release
Two separate indictments charging a total of nine current or former officers at Roxbury Correctional Institution (RCI) were unsealed today, in relation to two assaults of an inmate, and subsequent obstruction of justice, announced Thomas E. Perez, Assistant Attorney General for the Civil Rights Division.
In the first indictment, four current or former RCI officers face federal charges in connection with an assault on K.D., an inmate, during the 11 p.m. to 7 a.m. (midnight) shift on March 8-9, 2008. Former RCI Correctional Officers James Kalbflesh and Jeremy McCusker face civil rights and conspiracy charges for their roles in the midnight shift assault on K.D.
In addition, Kalbflesh, McCusker, RCI Correctional Officer Walter Steele and RCI Lieutenant Jason Weicht face conspiracy charges for their efforts to cover up information related to the midnight shift assault on K.D. RCI Lieutenant Weicht also faces an obstruction of justice charge for encouraging officers to get together to get their stories straight, providing home telephone numbers for the involved officers so that they could arrange for a cover-up meeting, and giving an officer books on interrogation techniques so that he would be prepared to mislead investigators. Finally, RCI Officer Steele faces two more counts for providing false and misleading information to state and federal authorities.
McCusker faces a maximum sentence of 50 years in prison. Kalbflesh and Weicht face a maximum of 25 years in prison. Steele faces a maximum term of 30 years in prison.
In the second indictment, five current or former RCI officers are charged. RCI Lieutenant Edwin Stigile and former Correctional Officers Tyson Hinckle, Reginald Martin, and Michael Morgan were charged with conspiring to have officers assault K.D. during the 7 a.m. to 3 p.m. (daylight) shift on March 9, 2008. RCI Sergeant Josh Hummer and former Correctional Officers Hinckle, Martin, and Morgan also were charged with a civil rights violation for the daylight assault on K.D. The indictment alleges that RCI officers kicked and punched inmate K.D. inside his cell in order to punish K.D. for a prior incident involving another officer. K.D. had to be transported to a local hospital following this beating.
All of the defendants in the second indictment are charged with conspiring to obstruct the investigation into assault. In addition, the indictment alleges that Lieutenant Stigile obstructed justice when he used a magnetic device to destroy and alter surveillance tapes related to the assault on inmate K.D. Sergeant Hummer also faces two obstruction of justice counts for making false and misleading statements to state and administrative authorities.
Lieutenant Stigile faces a maximum sentence of 35 years in prison. Sergeant Hummer faces a maximum of 55 years in prison. Hinckle, Morgan, and Martin each face a maximum term of imprisonment of 25 years.
These cases, which are ongoing, are being investigated by the Frederick Resident Agency of the FBI, and are being prosecuted by Special Litigation Counsel Forrest Christian and Trial Attorney Sanjay Patel of the Justice Department’s Civil Rights Division, with the assistance of the U.S. Attorney’s Office for the District of Maryland.
An indictment is merely an accusation, and the defendants are presumed innocent unless proven guilty.
New York City Woman Sentenced for Mortgage FraudRead the Press Release
BOSTON - A New York City woman was sentenced Monday afternoon for using a stolen identification to sign fraudulent mortgage loan documents.
Judy Bonas, 56, was sentenced by U.S. District Judge George A. O’Toole to six months in prison, followed by two years of supervised release and ordered to pay $936,600 in restitution to the mortgage lenders. In April 2012, Bonas pleaded guilty to six counts of wire fraud and three counts of identity fraud.Bonas was solicited by co-defendant Peterson Cherimond to pose as the buyer for the purchase of three residential properties in Brockton, Mattapan and Halifax. Bonas was paid approximately $4,500 to use a stolen identification to execute mortgage loan closing papers for each of the properties. The fraudulent loans resulted in losses exceeding $1 million.
In July 2012, Cherimond pleaded guilty to nine counts of wire fraud and three counts of money laundering. In October 2012, he pleaded guilty to four additional counts of wire fraud, seven counts of identity fraud and two counts of aggravated identity theft. Sentencing is scheduled for April 11, 2013. In July 2012, co-defendant Allison Gates pleaded guilty to similar charges involving four additional properties. Gates is scheduled to be sentenced on March 14, 2013.
United States Attorney Carmen M. Ortiz, Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service, and William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. The case was prosecuted by Assistant U.S. Attorneys Victor A. Wild of Ortiz’s Economic Crimes Unit and Brian Perez-Daple of Ortiz’s Civil Division.
Navajo Man from Chichilta, N.M., Pleads Guilty to Federal Child Sex Abuse ChargeRead the Press Release
ALBUQUERQUE – Timothy Ignacio Duboise, 28, an enrolled member of the Navajo Nation who resides in Chichilta, N.M., pled guilty this morning to an aggravated child sexual abuse charge under a plea agreement with the U.S. Attorney’s Office.
According to the criminal complaint, the FBI initiated a criminal investigation into Duboise after the Navajo Division of Social Service reported an allegation of child sexual assault. Duboise was arrested on July 30, 2012, and has been in federal custody since that time.
During this morning’s plea hearing, Duboise admitted that, between July 15, 2011 and Aug. 15, 2011, he sexually assaulted a Navajo child by touching the child’s genitals. Duboise further admitted that the sexual assault occurred on the Navajo Indian Reservation.
Under the terms of the plea agreement, Duboise will be sentenced to ten years in prison followed by a minimum five year term of supervised release. He also will be required to register as a sex offender. Duboise’s sentencing hearing has yet to be scheduled.
The case was investigated by the Gallup office of the FBI, with assistance from the Navajo Division of Social Services, and is being prosecuted by Assistant U.S. Attorney Jacob A. Wishard.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Multiple Charges Lodged Against Terrell Wright for Pointing A Gun at Gang InvestigatorsRead the Press Release
RICHARD S. HARTUNIAN, United States Attorney, Northern District of New York, announces that a three-count Indictment was returned today in United States District Court charging TERRELL WRIGHT, age 28, of Syracuse, with: (1) assaulting two detectives from the Syracuse Gang Violence Task Force (“GVTF”) (Count One); (2) use and carry of a handgun during the assault (Count Two); and (3) being a convicted felon in possession of a handgun (Count Three).1
The charges arose from an incident on December 18, 2012 in which WRIGHT pulled a handgun from his waistband and pointed it at two Syracuse Police detectives from the GVTF. WRIGHT then fled the scene and was apprehended minutes later. The gun used in the assault - a loaded .40 caliber semi-automatic handgun - was recovered.
If convicted of these crimes WRIGHT faces the following penalties:
Count One: Up to 20 years imprisonment, followed by three years of supervised release, and up to a $250,000 fine;
Count Two: At least seven years imprisonment that must run consecutive to any sentence on Counts One and Three, followed by three years of supervised release, and up to a $250,000 fine;
Count Three: Up to 10 years imprisonment, followed by three years of supervised release, and up to a $250,000 fine;
Further questions or inquiries may be directed to Assistant U.S. Attorney John M. Katko, who is prosecuting the case, at (315) 448-0672.
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1The charges are merely accusations and the defendant is presumed innocent until and unless proven guilty.
Mission Woman Indicted for LarcenyRead the Press Release
United States Attorney Brendan V. Johnson announced that a Mission, South Dakota woman has been indicted by a federal grand jury for Larceny. Clarice Brave, age 50, was indicted by a federal grand jury on February 13, 2013.
She appeared before U.S. Magistrate Judge Mark A. Moreno on February 20, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is 5 years in custody, a $250,000 fine, or both; 3 years of supervised release; and a $100 Special Assessment. Restitution may also be ordered.
The charge is merely an accusation and Brave is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Brave was released on bond pending trial. A trial date has not been set.
Middlesex County, N.J., Man Charged with Trafficking in Counterfeit Male Enhancement Pills and Money LaunderingRead the Press Release
NEWARK, N.J. – A Middlesex County, N.J. man was charged today with trafficking in counterfeit male enhancement supplements imported from China and with laundering proceeds of more than $1 million, U.S. Attorney Paul J. Fishman announced.
Shuja Ali Syed, 52, originally from Pakistan and now a resident of Iselin, N.J., was arrested this morning by U.S. Department of Homeland Security-Homeland Security Investigations special agents. He was charged in a two-count Complaint and is scheduled for an initial appearance this afternoon before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court.
According to the Complaint filed in Newark federal court:
From February 2012 through January 2013, Syed trafficked in counterfeit, purportedly all-natural male enhancement products, namely Libigrow, Blue Diamond, Nite Rider, and ExtenZe. Syed imported counterfeit Libigrow, Blue Diamond, Nite Rider, and ExtenZe from China, and sold the products to undercover law enforcement agents and other individuals in New Jersey and New York. Syed represented that the products were “all natural,” when, in fact, laboratory analyses of the counterfeit products indicated that they contained either sildenafil, commonly known as Viagra, or tadalafil, commonly known as Cialis. Both Viagra and Cialis are prescription drugs approved by the Food and Drug Administration and used to treat, among other things, erectile dysfunction.
From December 2011 through November 2012, Syed deposited more than $600,000 into New Jersey bank accounts and wired more than $1 million to China, all of which were proceeds from the illegal importation and sale of the counterfeit products.
The criminal Complaint charges Syed with one count of trafficking in counterfeit goods, which carries a maximum potential penalty of 10 years in prison and a fine of $2 million, and one count of money laundering, which is punishable by a maximum potential penalty of 20 years in prison and a fine of $500,000 or twice the value of the property involved in Syed’s financial transactions.
U.S. Attorney Fishman credited law enforcement agents of the U.S. Department of Homeland Security-Homeland Security Investigations, under the direction of Special Agent in Charge Andrew McLees, and postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Maria Kelokates, for the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorneys Aaron Mendelsohn of the Economic Crimes Unit and Evan Weitz of the Asset Forfeiture and Money Laundering Unit of the U.S. Attorney’s Office in Newark.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.
The charges and allegations contained in the Complaint against Syed are merely accusations, and he is considered innocent unless and until proven guilty.
13-093
Defense counsel: Carol Gillen Esq., Assistant Federal Public Defender, TrentonSyed Complaint
Medical Doctor and 5 Others Indicted for Operating A Pill MillRead the Press Release
4 Additional Defendants Have Already Pled Guilty for Their Roles in the
Operation of a Purported Garden City, Georgia Pain ClinicSAVANNAH, GA - A federal indictment, unsealed yesterday in federal court, has charged 6 defendants with conspiring to traffic oxycodone, hydrocodone, and other drugs through a purported pain clinic known as East Health Center, which operated in Garden City, Georgia from February through May of 2011.
The indictment alleges that during the time that East Health Center was open, members of the conspiracy unlawfully prescribed and caused to be prescribed more than four million milligrams of oxycodone without any legitimate medical purpose. During this same period, prescriptions were written for numerous “patients” who lived outside the state of Georgia, including over 130 from Kentucky; over 50 from North Carolina; over 30 from South Carolina; and over 80 from Florida.
United States Attorney Edward Tarver said, “During the last two years, we’ve seen a number of pill-mills relocate their unlawful businesses to the State of Georgia. These so-called clinics operate under the guise of a stethoscope and a white coat, and they prey upon their so-called ‘patients.’ Any pill mills that seek to do business in the Southern District of Georgia can expect to be investigated and prosecuted like every other drug trafficking organization that pushes poison in our communities.”
Harry S. Sommers, Special Agent in Charge of the Atlanta Field Division of the DEA, remarked, “ The DEA will continue to aggressively investigate those who cause to be dispensed addictive pain medications without legitimate medical purpose under the pretext of a medical doctor’s care.”
The indictment results from a joint investigation by the DEA, IRS - Criminal Investigations, GBI, Chatham Savannah Counter Narcotics Team (CNT), and the United States Marshals Service. Personnel from the Ware County Sheriff’s office assisted in making arrests.
Any defendant found guilty of the drug conspiracy charged in the indictment faces a maximum penalty of up to 20 years in prison and a fine of $1,000,000. The money laundering count also charged carries a maximum penalty of 20 years in prison and a fine of $500,000. The United States is also seeking to forfeit various items of personal property involved in the offenses, including $365,000 as the alleged proceeds of the defendants’ drug operation. The indictment is only an accusation and is not evidence of guilt. The defendants are entitled to a fair trial, during which it will be the Government’s burden to prove guilt beyond a reasonable doubt.
The 6 defendants indicted are:
Sean Michael Clark, 34, of Boca Raton, Florida;
Adelaida M. Lizama, 27, of Boca Raton, Florida;
Daniel John Wise, 34, of Fort Lauderdale, Florida;
Dr. Najam Azmat, 55, of Waycross, Georgia;
Candace Anne Carreras, 25, of Boca Raton, Florida; and,
Shelly Lynn Morford, 31, of Fort Lauderdale, Florida.
Other targets of the investigation have already pled guilty for their role in the East Health Center pill-mill. Adelard LeFrancois, III, 43, of Boca Raton, Florida and Francis J. Barbuscia, 36, of Plantation, Florida, entered guilty pleas before U.S. District Court Judge William T. Moore, Jr. on August 3, 2012. Each pled guilty to conspiring to dispense controlled substances, including oxycodone, without a legitimate medical purpose. Konstantinos Afthinos, 32, of Florida pled guilty to misprision of felony on November 5, 2012. On November 7, 2012, Dr. Kenneth Gossett, 51, of Rome Georgia, pleaded guilty to conspiring to dispense controlled substances, including oxycodone, without a legitimate medical purpose.
Assistant United States Attorneys Karl Knoche, Greg Gilluly, and Jeff Buerstatte are prosecuting the case for the Government. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
McLaughlin Man Arraigned on Assault ChargeRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota man has been indicted by a federal grand jury for Assaulting a Federal Officer.
Verle Janis a/k/a Verl Janis, age 31, was indicted by a federal grand jury on February 13, 2013. He appeared before U.S. Magistrate Judge William D. Gerdes on February 14, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is 20 years' imprisonment, a $250,000 fine or both, and a period of supervised release of 3 years. The charge is merely an accusation and Janis is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy Morley is prosecuting the case. Janis was remanded to the custody of the U.S. Marshal. A trial date has not been set.
McCracken County, Kentucky Man Guilty of Distribution and Possession of Child PornographyRead the Press Release
PADUCAH, Ky. – A McCracken County, Kentucky man pleaded guilty to a four count federal superseding indictment yesterday, in United States District Court, before Senior Judge Thomas B. Russell, charging him with possession and distribution of child pornography announced David J. Hale, United States Attorney for the Western District of Kentucky.
Matthew Francis Ferreira, 27 was indicted by a federal grand jury, meeting in Paducah, Kentucky, on November 9, 2012, and was charged with three counts of distribution of child pornography via a computer, one count possession of child pornography via a computer.
In court, Ferreira pleaded guilty to utilizing peer-to-peer software and Skype software to knowingly distribute images of child pornography. According to the plea agreement, between January and March of 2012, law enforcement from the Kentucky Attorney General’s Cybercrime Unit, downloaded through the internet, several video files containing child pornography images, from the peer-to-peer software on Ferreira’s computer. Ferreira agreed to forfeiture of personal items used in the commission of this crime.
At sentencing, Ferreira faces a combined maximum term of imprisonment of 70 years, a combined maximum fine of $1,000,000, and supervised release of at least 5 years and up to any number of years, including life, which the Court may specify.
This case is being prosecuted by Assistant United States Attorney David Sparks and is being investigated by the Kentucky Attorney General’s Cybercrime Unit.
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.”
Maryland Resident Sentenced to 14 Years in Prison for $8 Million “Ponzi” SchemeRead the Press Release
Michael Winans, Jr., 30, of Jessup, Maryland, was sentenced today to 14 years in federal prison for defrauding investors out of approximately $8 million dollars, United States Attorney Barbara McQuade announced.
Joining in the announcement was Wayne County Prosecutor Kym Worthy and Special Agent in Charge Robert D. Foley, III, Federal Bureau of Investigation (FBI).
In addition to the prison sentence, United States District Judge Sean Cox also ordered Winans to pay restitution in the amount of $4.7 million dollars to the hundreds of victims he defrauded as well as a $175,000 fine, which is the maximum allowed by law.
Winans pleaded guilty in October, 2012 to operating the Winans Foundation Trust (the Trust) and representing that the Trust was a company investing in crude oil bonds in Saudi Arabia. Winans initially recruited eleven other individuals, whom he called "shareholders" in the Trust, to invest in the crude oil bonds. Winans required the so-called "shareholders" to solicit additional investors and then send the investors' funds to the Trust. Over 1,000 victim investors from several states sent over $8,000,000 to the Trust. All of these victims were led to believe they were investing in Saudi Arabian crude oil bonds that Winans well knew did not exist. In reality, Winans converted some of the victim investors' money to his own personal use. He also redistributed some of his later victims’ money to the earlier victims while falsely representing to them that it was the return on their "investments" he had promised.
"Investor fraud schemes like this one are just a fancy way to steal other people's money," McQuade said. "Anyone who robs citizens of their hard-earned savings will be brought to justice."
"We are pleased that the many victims of Michael Winans can rest easier tonight knowing that he has been convicted and will be spending his time in federal prison," said Prosecutor Kym L. Worthy.
FBI Special Agent in Charge Foley, "Those individuals who engage in illegal investment schemes will face severe penalties for their criminal activity. The FBI is committed to vigorously pursuing anyone who commits these crimes."This case was a joint investigation with the FBI, the Wayne County Prosecutor’s Office and the Michigan Department of Licensing and Regulatory Affairs, Office of Financial and Insurance Regulation (OFIR).
The case is being prosecuted by Assistant United States Attorney Abed Hammoud.
A telephone line and e-mail address have been set up by the FBI/United States Attorney’s Office to collect information about potential victims. Individuals who believe they may have been a victim of the Winans Foundation Trust should provide their name, address, phone number and e-mail address to one of the following: e-mail: [email protected] or toll free 1-888-702-0553.Marietta Woman Pleads Guilty to Social Security FraudRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
COLUMBUS – Patricia Hodges, 65, of Marietta, Ohio pleaded guilty in U.S. District Court to one count of theft of government money for concealing her mother’s death in order to continue receiving her mother’s Social Security benefits.
Carter M. Stewart, U.S. Attorney for the Southern District of Ohio, and Elias Papoulias, Resident Agent in Charge, Social Security Administration Office of Inspector General, announced the plea entered today before Senior U.S. District Judge George C. Smith.
According to testimony in today’s hearing by an agent with the Social Security Inspector General, a Social Security Administration official interviewed Hodges at her Marietta home in November 2011. Hodges claimed her mother was on a cruise and planned to live with a niece in New York after the cruise.
Further investigation by the Social Security Administration and Marietta Police concluded that Hodges’ mother had died in 1997 and that Hodges had buried her mother’s body in the back yard of a house in Lake Worth, Florida where they had lived. Florida law enforcement investigators recovered the skeletal remains of Hodges’ mother.
Hodges admitted that she concealed her mother’s death in order to collect $141,962 in Social Security benefits she was not entitled to receive between 1997 and October 2011.
Theft of government money is punishable by up to ten years in prison, a $250,000 fine and three years of supervised release. Restitution can also be ordered as part of the sentence.
Judge Smith will schedule a date for sentencing. Hodges remains free on bond.
Individuals who want to report suspected cases of can contact the Social Security Office of Inspector General’s Fraud Hotline, 1-800-269-0271, or complete an online fraud reporting form at www.socialsecurity.gov under the “Useful Links” tab.
Stewart commended the investigation by the Social Security Administration’s Office of Inspector General and the Marietta Police, and Assistant U.S. Attorney Dale E. Williams Jr., who is representing the United States in the case.
Man Who Paid Bankruptcy Trustee with Bogus Checks Sentenced to 36 Months in PrisonRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
CINCINNATI – Todd William Klein, 49, of Cincinnati was sentenced in U.S .District Court to 36 months in prison for obstruction of justice for using bogus checks to pay the trustee in his bankruptcy case.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, and Edward J. Hanko, Special Agent in Charge, Federal Bureau of Investigation (FBI) announced the sentence imposed today by Chief U.S. District Judge Susan J. Dlott.
According to court documents, Klein filed for bankruptcy in May 2011. A trustee was responsible for collecting payments from Klein and distributing the money to creditors. In September, Klein paid the trustee two checks, each in the amount of $3,275. He later admitted to an investigator with the Springdale Police Department that he created the checks on his computer using an account number from a closed account and paper he purchased at an office supply store.
Klein pleaded guilty on June 15, 2012. Judge Dlott ordered the sentence for obstruction to be served concurrently with his sentence for violating his supervised release in connection with his conviction in 2004 on charges of transportation of stolen vehicles and bank fraud.
U.S. Attorney Stewart commended the investigation by the FBI and Senior Litigation Counsel Anne L. Porter, who represented the United States in the case.
Man Convicted of Defrauding Federal Credit Union in Las VegasRead the Press Release
LAS VEGAS, Nev. – Following a six-day jury trial, Brent Edward Lovett, 50, of Henderson, Nev., was convicted today of bank fraud for making false statements to a federally insured credit union to obtain a $7.5 million commercial real estate loan, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
According to the indictment and evidence presented to the jury during the trial, during 2006, Lovett devised a scheme to defraud Lockheed Federal Credit Union by fraudulently obtaining a commercial real estate loan from which he would skim part of the loan proceeds for himself. Lovett controlled Bay Resorts International, which leased two commercial buildings at 2400 N. Tenaya Way in Las Vegas. From about May to June 2006, Lovett caused Bay Resorts to purchase the buildings for $6 million. Lovett caused Bay Resorts to sell the buildings for $10 million to another company he controlled, Equity Resource, Inc. Lovett caused Equity Resource to apply for a commercial real estate loan with Lockheed Federal Credit Union to purchase the buildings, and in the application and supporting documents, Lovett made false statements and omissions regarding Bay Resorts, Equity Resource, and the sales history of the buildings. Based on those false statements, Lockheed Federal Credit Union made a loan to Equity Resource for $7.5 million. Lovett obtained approximately $1.3 million from the proceeds of the sale of the buildings to Equity Resource. Lovett then allowed the buildings to go into foreclosure and kept the balance of the proceeds for himself.
Lovett is free on a personal recognizance bond and is scheduled to be sentenced by Senior U.S. District Judge Roger L. Hunt on May 29, 2013. He faces up to 30 years in prison and a $1 million fine.
The case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Sarah E. Griswold and Brian Pugh.
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.
Major U.S. Treasury Check Theft Ring Sentenced to Federal PrisonRead the Press Release
Defendants Stole Millions in U.S. Treasury Checks from Postal Facility
ATLANTA – Three defendants, including two former postal workers, were sentenced today in federal court for stealing more than $3.5 million in U.S. Treasury checks from an Atlanta mail distribution facility. Over 1,800 victims had their tax refund, Social Security, and Veterans checks stolen during the scheme. The defendants were convicted of conspiracy, theft of government money, and possession of stolen Treasury checks.
United States Attorney Sally Quillian Yates said, “With today’s sentencings, a major U.S. Treasury check theft ring that plagued this State for many years has been successfully dismantled. The defendants stole millions in tax refund, Social Security, and Veterans checks from good people who had expected to receive their checks in the mail only to discover they had been diverted to criminals and identity thieves. The task force will continue to target those who are responsible for making Georgia a hotbed for this kind of criminal activity.”
Special Agent in Charge Guy P. Fallen, Office of the Inspector General, Social Security Administration stated, “Social Security payments are a lifeline for many Americans who are unable to work due to a temporary or permanent disability. Our office is gratified by the U.S. Attorney’s shared commitment to investigate and prosecute those who defraud Social Security trust funds. One of our highest priorities is ensuring that those who steal SSA payments are swiftly detected and prosecuted. Social Security fraud affects all Americans. The individuals sentenced today are a testament to our serious commitment to pursuing those who would victimize Social Security beneficiaries.”
“Check fraud is one of the largest challenges facing financial institutions today. This case illustrates the importance of task force partnerships with state, local and federal law enforcement agencies. The Secret Service will continue to work with our law enforcement partners in combating threats to our nation’s financial payment systems and to protect innocent victims,” said Reginald G. Moore, Special Agent in Charge of the United States Secret Service, Atlanta Field Office.
Special Agent in Charge Quentin G. Aucoin, Department of Veterans Affairs, Office of Inspector General stated, “Thefts of VA benefits checks intended for veterans who honorably served this country will not be tolerated. VA OIG vigorously investigates allegations of criminal activities impacting VA programs.”
According to United States Attorney Yates, the charges and other information presented in court: Gerald Eason worked as a supervisor at the Atlanta Processing and Distribution Center, a centralized mail distribution center, on Crown Road in Atlanta, Georgia. That facility processes mail for delivery to dozens of zip codes in Georgia. Deborah Fambro-Echols worked as a mail handler at the facility. While on the job, Eason and Fambro-Echols stole thousands of U.S. Treasury checks and provided them to a network of brokers and check cashers who would then negotiate the checks and split the criminal proceeds with them. These individuals forged endorsements and used fake identification to pose as the intended recipients of the checks when cashing them. Federal authorities believe that Eason and Fambro-Echols are responsible for a significant portion of the U.S. Treasury checks reported stolen in Georgia over the last four years.
In April 2011, law enforcement authorities searched Fambro-Echols’ residence in Hapeville. They found 661 Treasury checks totaling over $590,000. Almost all of the checks discovered during the search were dated from April 8 to 19, 2011, and thus stolen over less than a two-week period.
On March 7 and 11, 2012, Eason stole over 1,300 Treasury checks worth more than $2.8 million. Federal agents video recorded him stealing the checks at the mail facility and then observed him drive the checks to a residence, where he thought they would be distributed to co-conspirators who would cash them. He was arrested while attempting to collect his portion of the proceeds from the second delivery.
Eason and Fambro-Echols stole millions in U.S. Treasury checks during their employment with the U.S. Postal Service. Wendy Frasier and Daralyn M. Weaver acted as brokers for Fambro-Echols. They recruited others to cash the stolen checks at banks and business establishments. Jabril O. McKee and Ohmar D. Braden worked as check cashers in the scheme, negotiating stolen checks with the help of fake identification documents and sharing the proceeds with their co-conspirators. In March 2011, McKee and Braden were arrested at a BestBank in Decatur, Georgia attempting to negotiate a stolen Social Security check while impersonating the intended recipient of the check.
United States District Judge Charles A. Pannell, Jr. sentenced Eason, Fambro-Echols, and Weaver today, and previously sentenced McKee and Braden:
- Gerald Eason, 47, of Stockbridge, Georgia, was sentenced to 7 years, 3 months in prison, to be followed by 3 years of supervised release, and fined $15,000.
- Deborah Fambro-Echols, 50, of Hapeville, Georgia, was sentenced to 6 years, 6 months in prison, to be followed by 3 years of supervised release, and fined $12,500.
- Daralyn M. Weaver, 31, of Atlanta, Georgia, was sentenced to 3 years in prison, to be followed by 3 years of supervised release, and fined $5,000.
- Jabril O. McKee, 25, of Riverdale, Georgia, was sentenced on January 30, 2013, to two years, four months in prison, to be followed by three years of supervised release, and fined $3,000.
- Ohmar D. Braden, 37, of Covington, Georgia, was sentenced on December 18, 2012, to two years, four months in prison, to be followed by three years of supervised release, and fined $2,000.
The sentencing for Wendy Frasier, 35, of Atlanta, Georgia is scheduled for March 14, 2013 at 4 p.m. by United States District Judge Charles A. Pannell, Jr.
This case was investigated by the United States Secret Service; United States Postal Service, Office of Inspector General; Social Security Administration, Office of Inspector General; United States Postal Inspection Service; U.S. Department of Veterans Affairs, Office of Inspector General; U.S. Department of the Treasury, Office of Inspector General; Georgia Department of Revenue, Office of Special Investigations; and DeKalb Police Department; with valuable assistance provided by the Fulton County Sheriff’s Office.
This case was brought as part of the U.S. Attorney’s Stolen Treasury Check Task Force. The Task Force is an informal group of 14 federal, state, and local law enforcement agencies working together to address the problem of stolen U.S. Treasury checks in the Northern District of Georgia.
Assistant United States Attorneys Stephen H. McClain, Loranzo M. Fleming, Christopher C. Bly, and Jeffrey Viscomi are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Information 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.
Luzerne County Man Charged with Drug Trafficking OffensesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today the filing of criminal charges against Frank Suriano, age 44, of Pittston, Pennsylvania, with conspiring to distribution of more than 500 grams of cocaine hydrochloride, and with distributing cocaine on numerous occasions.
According to United States Attorney Peter J. Smith, the Indictment marks a continuation of an investigated into a Pittston area drug ring by special agents of the Federal Bureau of Investigation, the Pennsylvania State Police, and the Pennsylvania Attorney General’s Office. Prosecution has been assigned to Assistant United States Attorney John Gurganus.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this particular case, the maximum penalty under the federal statute is 60 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Long Island Financial Advisor Charged in Insider Trading ConspiracyRead the Press Release
A criminal indictment was unsealed today in federal court in Brooklyn charging Damian Perna, a financial advisor from Oceanside, Long Island, with conspiracy to commit insider trading. Perna is charged with conspiring with others to trade in securities of publicly-traded corporations registered under the Securities and Exchange Act of 1934 during the period from June 2011 through October 2012. 1
The defendant was arrested this morning and was arraigned earlier this afternoon before United States Magistrate Judge Ramon E. Reyes, at the United States Courthouse, 225 Cadman Plaza East, Brooklyn, New York. As the government explained during the arraignment, Perna obtained draft earnings reports for publicly-traded companies before their public release through a contact at an investor relations firm. These companies included Consolidated Graphics, Alamo Group and Miller Industries, which are listed on the New York Stock Exchange, and Innophos Holdings, Inc., which is listed on the NASDAQ. In one meeting, Perna sold an advance copy of an earnings report to an undercover agent of the Federal Bureau of Investigation and was paid $7,000 in cash.
The charges were announced by Loretta E. Lynch, United States Attorney for the Eastern District of New York and George Venizelos, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office.
If convicted, the defendant faces a statutory maximum sentence of 25 years’ imprisonment.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency task force to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes. For more information on the task force, please visit www.StopFraud.gov.
The government’s case is being prosecuted by Assistant United States Attorneys Cristina M. Posa and Ilene Jaroslaw.
The Defendant:
DAMIAN PERNA
Age: 30_____________________________
1 The charges in the indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty.