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Wednesday 9 January 2013
Sioux Falls Man Sentenced in Passport Fraud CaseRead the Press Release
US Attorney Brendan V. Johnson announced that a Sioux Falls man charged with passport fraud and misuse of a Social Security number was sentenced on January 4, 2013, by US District Judge Karen E. Schreier. Mark Steven Shepard, a/k/a Kellynn Daleigh Kennedy, a/k/a Kellynn Dalemay Kennedy, a/k/a Mark Oliver Gallaher, age 56, was sentenced to 12 months custody and one year of supervised release on each count, to be served concurrently.
On October 3, 2011, Shepard applied for and received a South Dakota driver's license in the name of Kellynn Daleigh Kennedy, using a United States passport in that name as proof of his identity. He had obtained that passport by fraudulently claiming the Social Security number of another person as his own.
The investigation was conducted by the Department of State - Diplomatic Security Service, the Department of Homeland Security - Document Benefit Task Force of Minneapolis, MN, and the Social Security Administration. Assistant US Attorney Connie Larson prosecuted the case.
Shepard was immediately turned over to the custody of the US Marshal.
Seven Arrested in Federal Drug Trafficking, Money Laundering ConspiracyRead the Press Release
CORPUS CHRISTI, Texas – A three-count indictment was partially unsealed following the arrests of several Corpus Christi residents and their appearances in federal court on various drug trafficking and money laundering charges, United States Attorney Kenneth Magidson announced today.
Rocky Bazaldua aka “Rock,” 31; David Pete Dominguez aka “Buda,” 30; Juliann Gutierrez, 24, and Jose Fidel Guajardo aka “Garfield,” 40, made their appearance in federal court yesterday and are set for an arraignment and detention hearing on Friday, Jan. 11, 2013, at 11:00 a.m. Ignacio Pena aka “Nacho,” 44; Manuel Pena aka “Super,” 47; and Raul Leal Martinez aka “Indio” aka “Wahoo,” 36, appeared today and are set for their arraignment and detention hearing Monday, Jan. 14, at 10:00.
The indictment remains sealed as to those charged but not yet taken into custody.
The defendants are charged with conspiring from Dec. 1, 2008, to Dec. 12, 2012, to possess with intent to distribute more than 50 grams of methamphetamine. A second count alleges Manuel Pena, Ignacio Pena, Martinez, Guajardo and Bazaldua conspired during that same time period to possess with intent to distribute more than five kilograms of cocaine. If convicted, the defendants face a minimum of 10 years up to life in prison as well as a maximum $10 million fine.
Manuel Pena, Martinez and Guajardo are also charged with conspiring to launder the proceeds of distributing controlled substances. If convicted of that offense, they face another 20-year term of imprisonment and a possible $500,000 fine.
The government also gave notice in the indictment of the intention to seek forfeiture of five properties owned by Manuel Pena, Martinez or Guajardo.
This case was investigated by the Organized Crime Drug Enforcement Task Force which included Drug Enforcement Administration, Internal Revenue Service – Criminal Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Customs and Border Protection, Texas Department of Public Safety, the Nueces and Kleberg County Sheriff’s Offices and the Corpus Christi, Aransas Pass and Portland Police Departments. The case is being prosecuted by Assistant United States Attorney Michael Hess.
Ryan James Parker Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on January 2, 2013, before U.S. District Judge Sam E. Haddon, RYAN JAMES PARKER, a 26-year-old resident of Box Elder and an enrolled member of the Rocky Boy's Indian Reservation, pled guilty to involuntary manslaughter. Sentencing has been set for April 1, 2013. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Danna R. Jackson, the government stated it would have proved at trial the following:
On June 14, 2012, near Box Elder on the Rocky Boy's Indian Reservation, PARKER caused a collision between the vehicle he was driving and another vehicle in which an individual died.
PARKER was intoxicated at the time of the collision. According to tribal law enforcement, PARKER was arrested immediately following the collision and given a Breathalyzer test. The result showed his blood alcohol content was .25. The Airbag Control Module report indicated that PARKER was driving 91 mph at -5 seconds prior to the collision and 63 mph at -2 seconds prior to the collision. The posted speed limit on this area was 35 miles per hour.
PARKER faces possible penalties of 8 years in prison, a $250,000 fine and lifetime supervision.
The investigation was conducted by a cooperative effort between the Montana Highway Patrol, the Federal Bureau of Investigation, and the Chippewa Cree Law Enforcement.
Rudolph Lee Shane, Sr. Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Billings, on January 8, 2013, before Chief U.S. District Judge Richard F. Cebull, RUDOLPH LEE SHANE, SR., a 64-year-old resident of Crow Agency, pled guilty to tampering with a victim. Sentencing has been set for April 10, 2013. He is currently released on special conditions.
In an Offer of Proof filed by Assistant U.S. Attorney Marcia K. Hurd, the government stated it would have proved at trial the following:
On February 23, 2012, the Federal Bureau of Investigation received a report alleging that SHANE had harassed a victim in a pending criminal case in federal court.
On February 21, 2012, SHANE had contacted the victim who described the meeting as intimidating and stated she was concerned for her safety. She believed he wanted her to "drop charges" or change her story. The victim did not initially know who he was and had no idea how SHANE knew how to find her.
On February 22, SHANE called the victim's cell phone twice and left a message. In addition, SHANE's daughter contacted the victim at the request of SHANE. SHANE had also called the victim's mother earlier in the case and asked her to talk to the victim about dropping the charges.
When interviewed, SHANE admitted the contact and indicated he did so because he believed that the victim would take pity on the defendant in the case and "do the right thing." When asked what he was thinking by contacting the victim, SHANE reported that he thought if the victim withdrew her complaint or changed her mind, it would help the defendant.
SHANE faces possible penalties of 20 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was conducted by a cooperative effort between the Federal Bureau of Investigation and Bureau of Indian Affairs.
Rosebud Man Pleads Guilty to Abusive Sexual ContactRead the Press Release
United States Attorney Brendan V. Johnson announced that Benjamin George Murphy, age 65, of Rosebud, South Dakota, appeared before United States District Judge Roberto A. Lange on January 9, 2013, and pled guilty to Abusive Sexual Contact. The maximum penalty upon conviction is 20 years in custody, a $250,000 fine, or both.
The conviction stems from an incident that took place between December 1, 1999, and December 15, 1999, when Murphy had sexual contact with a minor.
The investigation was conducted by the Federal Bureau of Investigation and Rosebud Sioux Tribe Law Enforcement Services. The case is being prosecuted by Assistant United States Attorney Tim Maher.
Murphy must report to the custody of the United States Marshal on February 1, 2013.
Romanian Citizen Involved in Phishing Scheme Sentenced to Four Years in Federal PrisonRead the Press Release
January 9, 2013David B. Fein, United States Attorney for the District of Connecticut, and Kimberly K. Mertz, Special Agent in Charge of the Federal Bureau of Investigation, announced that DRAGOS RAZVAN DAVIDESCU, 39, a citizen of Romania, was sentenced today by United States District Judge Janet C. Hall in New Haven to 48 months of imprisonment for participating in an extensive Internet “phishing” scheme.
A phishing scheme uses the Internet to target large numbers of unwary individuals, using fraud and deceit to obtain private personal and financial information such as names, addresses, bank account numbers, credit card numbers and Social Security numbers. Phishing schemes often work by sending out large numbers of counterfeit e-mail messages that are made to appear as if they originated from legitimate banks, financial institutions or other companies. The fraudulent email messages ask individuals to click on a hyperlink contained in the email message, which would take the individual to a counterfeit site on the Internet that purports to be the Internet site of the particular bank, financial institution or company. At the counterfeit Internet site, the individual is then asked to enter information such as the individual’s name, address and credit or debit card numbers.
According to court documents and statements made in court, in June 2005 a resident of Madison, Conn., contacted the FBI in New Haven about a suspicious email that she had received that purported to be from Connecticut-based People’s Bank. The email stated that the recipient’s online banking access profile had been locked and instructed the recipient to click on a link to a web page where the recipient could enter information to “unlock” his or her profile. The web page appeared to originate from People’s Bank, but, as the investigation revealed, was actually hosted on a compromised computer in Minnesota. Any personal identifying and financial information provided by the individual would be sent by email to individuals in Romania, or to a “collector” account, which was an email account used to receive and collect the information obtained through phishing.
DAVIDESCU and others were part of a loose-knit conspiracy of individuals from Craiova, Romania, and neighboring areas that shared files, tools, and stolen information obtained through phishing. The co-conspirators used and shared a number of collector accounts, which contained thousands of email messages that contained credit or debit card numbers, expiration dates, CVV codes, PIN numbers, and other personal identification information such as names, addresses, telephone numbers, dates of birth, and Social Security numbers. The co-conspirators then used the personal and financial information to access bank accounts and lines of credit and to withdraw funds without authorization, often from ATMs in Romania.
The investigation revealed that DAVIDESCU was heavily involved in the phishing conspiracy between 2004 and 2006, and he possessed personal and financial information of more than one thousand victims. He also shared a program for harvesting email addresses with another co-conspirator, and possessed phishing emails and files for creating counterfeit Internet sites.
In addition to People’s Bank, financial institutions and companies targeted by the defendants included Citibank, Capital One, Bank of America, JPMorgan Chase & Co., Comerica Bank, Regions Bank, LaSalle Bank, U.S. Bank, Wells Fargo & Co., eBay and PayPal.
This seven-year investigation has resulted in criminal charges against 19 Romanian citizens. On January 18, 2007, a grand jury in New Haven returned an indictment charging seven defendants with various offenses stemming from this scheme. On November 10, 2010, a grand jury returned a second superseding indictment charging an additional 12 defendants, including DAVIDSECU.
The first three defendants to face charges were extradited from Bulgaria, Croatia and Canada. Following the ratification in 2010 of an amended treaty on mutual legal assistance between Romania and the United States, DAVIDESCU and six other defendants were extradited from Romania. DAVIDESCU was extradited in December 2011.
On October 10, 2012, DAVIDESCU pleaded guilty to one count of conspiracy to commit access device fraud. Eight of the other extradited defendants also have pleaded guilty, and one was convicted after trial in December 2012. Nine defendants are still being sought.
This matter is being investigated by the Federal Bureau of Investigation in New Haven, Conn.
U.S. Attorney Fein and Special Agent in Charge Mertz also acknowledged the critical assistance provided by the U.S. Department of Justice Office of International Affairs, the FBI Legal Attaché in Bucharest, Interpol, the Romanian National Police and the United States Marshals Service.
The case is being prosecuted by Assistant United States Attorneys Edward Chang and Sarala Nagala.
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[email protected]Robert Randall “Peanut” Webb Sentenced to 90 Months in Prison for Crack Cocaine ConspiracyRead the Press Release
KNOXVILLE, Tenn.- Robert Randall “Peanut” Webb, 62, of Newport, Tenn., was sentenced on Jan. 7, 2013, to serve 90 months in prison by the Honorable R. Leon Jordan, Senior U.S. District Judge. Webb pleaded guilty on May 1, 2012, to conspiring with others to distribute and possess with the intent to distribute 280 grams or more of crack cocaine. Upon his release from prison, he will remain on supervised release for five years. He was also ordered to pay a special assessment of $100.
Information presented at sentencing established that Webb used his home to conduct what was referred to as a convenience store for illegal drugs, from January 2011 until his arrest in February 2012. The court found that he managed the criminal activity which involved five or more participants including: James Robert Brickner, who previously received a sentence of 151 months in prison; Chelsea Shawntel Meigs, who previously received a sentence of 152 months in prison; and Margo Pondetta Gray, who previously received a sentence of 88 months in prison in the same indictment.
Testimony at sentencing established that Webb’s home served as a centralized location for 50+ drug addicts, who purchased prescription pain pills, heroin, crack cocaine, ecstasy, and morphine. Webb and many of his co-defendants injected illegal drugs intravenously during the period of the conspiracy. The illegal drugs were imported from Knoxville, Nashville, pain clinics in Florida and Georgia, and New York.
William C. Killian, U.S. Attorney, noted, “This investigation removed a fairly large scale drug operation from a residential neighborhood in Newport and demonstrated the effectiveness of local, state, and federal law enforcement agencies working together to improve the safety of Tennessee communities.”
The indictment and subsequent conviction of Webb was the result of an investigation conducted by the Tennessee Bureau of Investigation and the Newport Police Department. Assistant U.S. Attorney Helen Smith represented the United States at trial.
Robert Dean Boucher Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on January 8, 2013, before U.S. District Judge Sam E. Haddon, ROBERT DEAN BOUCHER, a 52-year-old resident of Spokane, pled guilty to conspiracy to possess with intent to distribute methamphetamine. Sentencing has been set for April 8, 2013. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Jessica A. Betley, the government stated it would have proved at trial the following:
During January 2012, detectives originally became alerted to a methamphetamine distribution ring from Washington state to Great Falls, Montana. In June 2012, detectives learned of an individual, M.E.A., who made repeated trips from Great Falls to Washington to obtain methamphetamine to re-sell in Great Falls. On June 29, 2012, a CI (confidential informant) informed the drug task force that M.E.A. was returning to Great Falls from Washington with methamphetamine. The task force arranged for a controlled drug buy from M.E.A. near the University of Great Falls. The CI purchased methamphetamine. The CI then continued to make numerous controlled drug buys from M.E.A. over the next few days.
Law enforcement located M.E.A.'s car in early July 2012, and the task force tracked this car from Great Falls to Spokane, Washington. The car stayed in Spokane for less than two hours before returning to Great Falls. Law enforcement initiated a traffic stop of the car just outside of Great Falls and they obtained two ounces of methamphetamine. M.E.A., the driver of the car, told law enforcement he had traveled to Spokane to buy methamphetamine from "Bert." He had been supplied by Bert, who was identified as Robert Boucher, since February or March 2012. In total, M.E.A. believed he had obtained and distributed approximately ten ounces of methamphetamine that he received from Boucher.
M.E.A. told law enforcement that Boucher provided him with a GPS system in order for M.E.A. to find Boucher's house in Spokane. Once M.E.A. obtained the methamphetamine from Boucher, M.E.A. would sell the methamphetamine by the gram for $100 around Great Falls. Boucher sold the methamphetamine to M.E.A. for $1400.00 an ounce.
M.E.A. and Boucher also dealt methamphetamine with R.L. and T.L. from T.L.'s house in Great Falls. The methamphetamine dealing continued into the fall of 2012. During the end of October 2012, detectives interviewed additional witnesses. One witness said T.L. was heavily involved in using and dealing methamphetamine. T.L. obtained her methamphetamine from Robert Boucher, and Boucher delivered methamphetamine to T.L. approximately once a week.
The witness further provided that Boucher stored the methamphetamine in the hood and trunk of his car. He then divided the methamphetamine between the sellers who obtained the methamphetamine on credit. Boucher stayed in town at T.L.'s house until the money was collected. T.L. would then repackage the methamphetamine into eight-ball baggies and distribute it to other sellers.
On November 13, 2012, a witness contacted the drug task force and stated R.L. was selling methamphetamine. Law enforcement then arranged controlled drug purchases from R.L.. These purchases occurred at the Royal Motel in Great Falls. The following evening, detectives saw R.L. drive to T.L.'s house, where he stayed for a half hour before again returning to his motel room. A little while later, R.L. and a woman drove to a gas station. R.L. conducted a drug deal in the parking lot. Officers conducted a traffic stop on R.L.'s car shortly thereafter.
After ordering R.L. out of the car, officers found a glass container of methamphetamine in R.L.'s pocket. He spoke with law enforcement and said he had been dealing methamphetamine with T.L. R.L. regularly purchased two eight balls of methamphetamine per week from T.L. R.L. also identified Boucher as one of T.L.'s suppliers and said he delivered methamphetamine to T.L. once per week. Law enforcement seized over 50 grams of pure methamphetamine in this investigation.
BOUCHER faces possible penalties of a minimum 10 years in prison up to life in prison, a $10, 000,000 fine and 5 years supervised release.
The investigation was conducted by the Russell County Drug Task Force.
Richmond Man Pleads Guilty to Stealing Truck with White House Audio and Visual EquipmentRead the Press Release
RICHMOND, Va. – Eric Brown, 49, of Richmond, Va., pleaded guilty today to stealing a truck that contained audio and visual equipment belonging to the office of the President of the United States.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; David E. Beach, Special Agent in Charge of the United States Secret Service’s Washington Field Office; Jeffrey C. Mazanec, Special Agent in Charge of the FBI’s Richmond Field Office; and D.A. Middleton, Chief of Police for the Henrico County Police Division, made the announcement after the plea was accepted by United States District Judge John A. Gibney.
Brown was indicted on December 4, 2013, and pled guilty today to theft of government property. He faces a maximum penalty of 10 years in prison when he is sentenced on April 11, 2013. As part of the plea agreement, the United States and Brown agree that a sentence of 7 years in prison is the appropriate disposition of this case.
Court documents show that on Oct. 16, 2011, a truck containing audio equipment utilized by the President of the United States during public appearances was reported stolen in Henrico County. The theft occurred at a hotel a few days prior to a speaking engagement that the President was attending in Central Virginia. Video surveillance from the hotel depicted a dark colored SUV driving into the hotel lot. Shortly thereafter, the truck containing the President’s equipment was driven off of the lot. Immediately thereafter, a dark colored SUV followed the truck containing the President’s equipment off of the hotel lot. Court documents revealed the truck contained a laptop computer and other audio visual equipment bearing the Presidential seal. The equipment had a value of approximately $200,000.
In a statement of facts filed with his plea agreement, Brown admitted to telling others about his role in the theft, selling the laptop, and possessing audio visual equipment that still contained the Presidential seal. Law enforcement officers also obtained cell phone site data that showed Brown was in the vicinity of the truck at the time it was stolen. Some of the equipment was recovered from pawn shops in Prince Georges County, Maryland, and in Montgomery County, Maryland.
The investigation was conducted by the U.S. Secret Service, the FBI’s Richmond Field Office, the Henrico County Police Department, and the Chesterfield Police Department. Assistant United States Attorney Roderick C. Young is prosecuting the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.Prosecutions Continue in Illegal Entry Cases Involving Those with Prior Criminal RecordsRead the Press Release
MINNEAPOLIS – In the District of Minnesota, separate charges have been filed against two Mexican nationals who allegedly entered the United States illegally after being deported as criminals. Earlier today in federal court in St. Paul, indictments were filed against two individuals for illegal entry after deportation.
Mario Mireles-Flores, age 23, was charged in the first case. His indictment alleges that on December 5, 2012, authorities found him in the U.S. illegally after he had been previously deported. His deportation followed a 2010 McLeod County conviction for escape from custody. Authorities recently identified him as an illegal alien with a criminal record while he was serving a sentence in the Sibley County Jail for providing false information to police. That identification was made through the U.S. Immigration and Customs Enforcement’s (“ICE”) Criminal Alien Program (“CAP”). The goal of that program is to locate criminal aliens incarcerated in federal and state prisons, as well as in local jails, and prevent them from being released into society by having them federally prosecuted for illegally re-entering the U.S.
If convicted of the federal charge now levied against him, Mireles-Flores faces a potential maximum penalty of 20 years in federal prison, followed by deportation. All sentences will be determined by a federal district court judge. This case is the result of an investigation by ICE’s Enforcement and Removal Operations (“ICE ERO”). It is being prosecuted by Assistant U.S. Attorney Lola Velazquez-Aguilu.
In the second case, Sergio Vasquez, age 36, was charged with illegally entering the U.S. following deportation. His indictment alleges that on December 4, 2012, authorities found him in the U.S. after he had been deported in 2008, following a 2003 Pennsylvania conviction for delivery of a controlled substance. On December 3, 2012, Vasquez was arrested by Minneapolis Police for DWI in connection to a personal-injury crash in south Minneapolis. He was identified as an illegal alien with a criminal record via the CAP.
If convicted of the federal charge now filed against him, Vasquez faces a potential maximum penalty of 20 years in federal prison, followed by deportation. All sentences will be determined by a federal district court judge. This case is the result of an investigation by the Minneapolis Police Department and ICE ERO. It is being prosecuted by Assistant U.S. Attorney Clifford B. Wardlaw.
In some instances, federal prosecution will occur only after the individual is prosecuted for the recent underlying offense. Both men will remain in custody until their current federal cases are resolved. To learn more about the CAP, visit www.ice.gov/criminal-alien-program/An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Pocatello Man Arrested on Federal and State WarrantsRead the Press Release
POCATELLO – U.S. Attorney Wendy J. Olson announced today the arrest on Tuesday evening of Droshawn Griggs by the Greater Idaho Fugitive Task Force (GIFTF). Griggs was arrested at a local motel in Nampa. He had an active warrant out of Pocatello for attempted murder and an active federal warrant issued by the United States District Court in Pocatello for federal drug charges. Griggs, 27, is a native of the Pocatello area.
Deputy U.S. Marshals, Pocatello Police Department, and Idaho Department of Correction–Probation and Parole (Pocatello) had been looking for Griggs for about a month and a half when information was developed indicating that Griggs was staying at a local motel in the Nampa area. The information was relayed to Deputy U.S. Marshals and GIFTF agents in the Nampa area who were able to locate and arrest Griggs without incident. He was booked into the Canyon County Jail where he is awaiting extradition on attempted murder and federal drug charges. Griggs and two other defendants, Toulon K. Mattox and Chase R. Mitchell, were indicted by a federal grand jury on December 11, 2012, for conspiracy to distribute controlled substances – methamphetamine, oxycodone and marijuana.
GIFTF is a task force led by the U.S. Marshals Service and comprised of agents from the Idaho State Police, Idaho Department of Correction–Probation and Parole, Ada County Sheriff’s Office, Bannock County Sheriff’s Office, Canyon County Sheriff’s Office, Boise Police Department, Chubbuck Police Department, Nampa Police Department, and Pocatello Police Department.
In fiscal year 2011, U.S. Marshals Service-led task forces arrested 86,400 state and local fugitives, clearing approximately 113,300 state and local felony warrants.
An indictment is only an allegation of criminal conduct and is not evidence of guilt. A person is presumed innocent until and unless proven guilty beyond a reasonable doubt in a court of law.
Part Owner and Founder of Barnes Farming Corporation Pleads to Structuring Currency TransactionsRead the Press Release
RALEIGH - United States Attorney Thomas G. Walker announced that in federal court today CARSON BAKER BARNES, 77, of Rocky Mount, North Carolinapled guilty before Chief United States District Judge James C. Dever III to the following offense: Structuring transactions to evade reporting requirements and aiding and abetting, all in violation of Title 31, United States Code, Section, 5324(a)(3) and (d)(2), and Titles 18, United States Code, Section 2.
U.S. Attorney Walker stated, “This prosecution reflects our office’s commitment to prosecute those persons who cooperate with law enforcement in investigations and then subsequently engage in criminal conduct. Cooperation is not a free pass against future misconduct.”
According to the Criminal Information filed on December 4, 2012, and information in the public record, BARNES came to law enforcement’s attention in connection with the on-going crop insurance fraud investigation in the Eastern District of North Carolina. In January 2010, BARNES agreed to provide information to law enforcement. Subsequently, BARNES engaged in the offense conduct charged in the Criminal Information.
Specifically, in 2012, law enforcement learned that BARNES requested, Ham Farms Inc., structure the payment for sweet potato plants purchased by Ham Farms from Barnes. Specifically, BARNES caused Ham Farms Inc. to issue 24 checks totaling $135,395.00 for two sale dates of June 17, 2011, and June 24, 2011. Checks were issued in the name of BARNES and 2 other persons.
Investigation further revealed that at least one of the payees caused some of the checks to be cashed at different branches of the same bank on the same date; other checks were negotiated over the course of three weeks, with the last check being negotiated on or about July 12, 2011.
BARNES is part owner and founder of Barnes Farming Corporation in Spring Hope, North Carolina.
“At this time of year, when hard-working citizens are sitting down to prepare their tax returns, it is especially disappointing to see the overt steps some individuals will take to hide their taxable funds from the government,” said IRS Criminal Investigation Special Agent in Charge, Jeannine A. Hammett. “IRS-CI is determined to stop those who try to cheat the government, and the facts outlined in today's plea are strong indicators that we can and will find this fraudulent activity.”
The defendant faces a maximum sentence of 10 years imprisonment and/or a $500,000 fine, and 3 years of supervised release. Sentencing is set for the Court’s April 15, 2013, term of court.
The criminal investigation of this case was conducted by the United States Internal Revenue Service – Criminal Investigations, United States Department of Agriculture – Office of Inspector General - Investigations, and United States Department of Agriculture – Risk Management Agency - Special Investigations Branch. Assistant United States Attorney Banumathi Rangarajan is handling the prosecution on behalf of the Eastern District of North Carolina.
Panola County Felon Sentenced for Firearms ViolationsRead the Press Release
Department of Justice
Office of Public AffairsTYLER, Texas – A 45-year-old Carthage, Texas man has been sentenced to federal prison for firearms violations in the Eastern District of Texas announced U.S. Attorney John M. Bales today.
Kevie Lenn Johnson pleaded guilty on June 14, 2012 to possession of a stolen firearm and was sentenced to 100 months in federal prison today by U.S. District Judge Leonard Davis.
According to information presented in court, on Jan. 26, 2012, Johnson took a .22 caliber rifle from a Carthage, Texas residence without consent of the owner. Further investigation revealed Johnson was a convicted felon, having previously been found guilty of multiple felony crimes including possession of crack cocaine, burglary of a habitation, and robbery. Federal law prohibits the possession of stolen firearms and further prohibits convicted felons from owning or possessing firearms or ammunition. Johnson was indicted by a federal grand jury on Feb. 1, 2012 and charged with federal firearms violations.
This case is being prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
This case was investigated by the ATF and the Carthage Police Department and prosecuted by Assistant U.S. Attorney Jim Noble.Orthofix Defendant Sentenced for Defrauding MedicareRead the Press Release
BOSTON – A former manager of medical device company Orthofix was sentenced today in federal court for defrauding Medicare by falsifying patient medical records.
In March 2012, Derrick R.D. Field, 36, of Greenland, New Hampshire, pleaded guilty to charges of health care fraud. Today, U.S. District Court Joseph L. Tauro sentenced him to five months home confinement as part of his two years probation. Judge Tauro also ordered Field to pay a fine of $4,000, and to forfeit $40,000.
Field admitted that for several years he falsified patient medical records, causing Medicare to pay more than $250,000 for fraudulent claims for medical devices. Between 2005 and 2011, Field was a territory manager for Orthofix, Inc., a company that manufactured and distributed bone growth stimulator medical devices. Bone growth stimulators are used to assist patients with bone fractures that did not heal properly. Medicare has specific rules describing when it will pay for this device. When Field received bone growth stimulator orders for Medicare patients that did not meet these rules, Field forged the patients’ medical records to make it appear as though the order met the rules to induce Medicare to pay for claims that otherwise would not be covered. For instance, Field created phony medical chart notes, describing patient visits that did not occur and altered the physicians’ actual chart notes by inserting false diagnoses and descriptions of the patients’ medical history. Field forged medical records in connection with more than 100 Medicare claims, causing Medicare to pay Orthofix for orders that did not meet program guidelines.
In addition to Field’s sentence, the on-going Orthofix investigation has resulted in a number of felony charges against executives, employees and contractors of Orthofix, including the following:
1. In December 2012, Orthofix was convicted of obstruction of a federal audit, and ordered to pay approximately $42 million in criminal fines and civil payments, and was sentenced to probation for five years;
2. In April 2012, Thomas Guerrieri pleaded guilty to paying kickbacks while he was vice president of Orthofix;
4. In December 2011, Mitchell Salzman pleaded guilty while he was a regional manager for Orthofix;
6. In July 2012, Michael Cobb, a physician’s assistant, was sentenced to six months in prison to be followed by two years of supervised release, six months of which under home confinement and ordered to pay $10,000 in forfeiture. Cobb previously pleaded guilty to accepting kickbacks from Orthofix.;
7. In May 2012, Michael McKay pleaded guilty to health care fraud while he was a territory manager for Orthofix; and
8. In September 2012, Brian Racey pleaded guilty to health care fraud while he was a territory manager for Orthofix.
U.S. Attorney Carmen M. Ortiz said, “Health care fraud not only drains valuable taxpayer resources, it drives up overall health care costs and victimizes some of our nation’s most vulnerable members of society, including the elderly and disabled. In the District of Massachusetts, we have worked tirelessly to combat health care fraud and will continue to hold corporations and individuals accountable.”U.S. Attorney Ortiz and Susan J. Waddell, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General, Office of Investigations, made the announcement today. The case was prosecuted by Assistant U.S. Attorneys David Schumacher and Jeremy Sternberg of Ortiz's Health Care Fraud Unit.
Odessa Woman Pleads Guity to $5.8 Million Fraudulent SchemeRead the Press Release
Today in Midland, 41-year-old Darlene Aurelia Bishop pleaded guilty to her role in a scheme in which she defrauded various individuals out of $5,854,701 over a six-month period, announced United States Attorney Robert Pitman.
Appearing this morning before United States Magistrate Judge David Counts, Bishop pleaded guilty to one count of conspiracy to commit wire fraud. According to the factual basis filed in this case, Bishop was the owner of several businesses in Odessa, including Ameritex Brokers, Paradize Funding, DarLin Enterprises, and JonDar Enterprises. Through these businesses, Bishop offered various “credit enhancement opportunities” through the use of Proof of Funds (POFs) letters. Beginning in July 2008 and continuing through March 2009, Bishop worked with several individuals affiliated with an entity known as Apogee Financial to obtain and utilize documents that appeared to be from a bank. Specifically, Bishop advertised the service of providing “leased funds” bank accounts, in which a client could “rent/lease” a bank account that was allegedly established in a client’s name, and then funded by an investor in any amount the client requested and paid for as part of the lease of funds. Bishop’s entire POF business model centered on the ability of clients to be able to use the POFs she sold them to gain entrance into a “private placement trading platform” that was exclusive to only those individuals who could demonstrate a high net worth. The POF was the tool designed to demonstrate, falsely, that high net worth.
By pleading guilty, Bishop admitted that she knew the POFs contained false information and that her clients had zero authority to withdraw any money from any such account or to borrow against the funds in the account. Furthermore, Bishop admitted that the POFs were being used to defraud other people and that she facilitated that further fraud. Bishop also admitted to using the money she received in this scheme to make several large purchases, including several vehicles and a $672,000 residence in Odessa. As part of the plea agreement, Bishop agreed to forfeit all of the cars and the money obtained from the sale of the residence.
Sentencing is scheduled for 8:30am on March 27, 2013, before United States District Judge Robert A. Junell. Bishop faces up to 20 years in federal prison for the wire fraud violation.
This investigation was conducted by the United States Secret Service. Assistant United States Attorney Austin M. Berry is prosecuting this case on behalf of the United States.
Newark Man Sentenced to 150 Months in Prison for Carjacking and Related CrimesRead the Press Release
NEWARK, N.J. – A Newark man was sentenced today to 150 months in prison for his role in an April 2011 carjacking of a victim at gunpoint in Elizabeth, N.J., U.S. Attorney Paul J. Fishman announced.
Jirrod Parker, 25, previously pleaded guilty before U.S. District Judge Susan D. Wigenton to an Indictment charging him with one count each of theft of a motor vehicle by force, violence and intimidation; use of a firearm in furtherance of a crime of violence; and being a felon in possession of a firearm. Judge Wigenton imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:On April 10, 2011, Parker approached an individual who was walking toward his parked Lexus. Parker pointed a semi-automatic pistol at the individual’s chest and demanded “everything,” including the victim’s car keys and wallet. Parker then drove off in the victim’s Lexus sedan. Shortly thereafter, Parker crashed the stolen Lexus during pursuit by the Elizabeth Police, and fled on foot through a residential area, with a police officer giving chase. Parker attempted to evade the police by breaking into a home, but was apprehended in front of the residence.
In addition to the prison term, Judge Wigenton sentenced Parker to three years of supervised release and ordered him to pay restitution of $7,867.
U.S. Attorney Fishman credited special agents of the FBI’s Violent Crimes/Fugitive Task Force, under the direction of Special Agent in Charge David Velazquez in Newark; the Elizabeth Police Department, under the leadership of Police Director James Cosgrove; and the Union County Prosecutor’s Office, under the direction of Prosecutor Theodore J. Romankow, with the investigation leading to today’s sentence. This case was brought as part of a cooperative effort between federal, state, county and local law enforcement to address a spike in carjacking and related crimes in northern New Jersey.
The government is represented by Assistant U.S. Attorney Shirley U. Emehelu of the U.S. Attorney’s Office Criminal Division in Newark.13-018
Defense counsel: Thomas Ashley Esq., NewarkNampa Woman Pleads Guilty to Federal Gun ChargeRead the Press Release
BOISE – Rachel Ann Scott, 32, of Nampa, Idaho, pleaded guilty today in United States District Court to unlawful possession of a firearm, U.S. Attorney Wendy J. Olson announced. A sentencing date has not been set.
According to the plea agreement, on January 13, 2012, Scott pawned a Browning .22 semi-automatic pistol at a Boise area pawn shop. Scott pawned the firearm using the name Rachel Maleyko-Janney, and affixed her right hand index fingerprint to the pawn ticket for the firearm. Court records show that on April 11, 2003, Scott was convicted in Idaho State Court of possession of a controlled substance, a felony crime punishable by a term of imprisonment exceeding one year. The government is seeking forfeiture of the firearm.
Scott faces up to ten years in prison, a maximum fine of $250,000, and up to three years of supervised release.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), with assistance by the Canyon County Sheriff’s Office.
Scott was prosecuted as part of Idaho’s Project Safe Neighborhoods Program, which seeks to reduce gun violence in Idaho.
Monroe Resident Sentenced to Long Prison TermRead the Press Release
A Monroe, Washington man with a lengthy criminal history was sentenced today in U.S. District Court in Seattle to nine years in prison and five years of supervised release for conspiracy to distribute controlled substances and counterfeiting, announced U.S. Attorney Jenny A. Durkan. CHRISTOPHER FRICK, 38, is one of 34 people indicted in a drug trafficking conspiracy involving significant quantities of heroin, methamphetamine, and firearms, including military-style assault rifles and sniper rifles which were bound for Mexico. FRICK bought and sold meth from other co-conspirators and “washed” and passed counterfeit bills in the Monroe area. U.S. District Judge Robert S. Lasnik imposed the sentence.
According to records filed in the case, the investigation of the Berrelleza-Verduzco Drug Trafficking Organization began in 2011, and FRICK was heard on the court authorized wiretap, arranging drug deals. FRICK was ordering meth from the group, even as he was being fitted with a GPS ankle bracelet by an Everett bail bondsman. FRICK was also under investigation by the U.S. Secret Service for “washing” a $5 bill and reprinting it as a $50 bill and using the bill at a Monroe convenience store. On March 29, 2012, FRICK’s residence was searched as part of the takedown of the drug trafficking ring. Law enforcement recovered both methamphetamine and counterfeit bills at his home. In the course of the investigation law enforcement seized more than 20 pounds of heroin, more than 30 pounds of methamphetamine, more than $190,000 in cash and 31 firearms – including 10 assault style rifles.
FRICK has 31 prior convictions including burglary, escape, drug possession, various theft offenses, vehicle theft and forgery/fraud crimes. FRICK has a prior federal felony conviction related to mail theft in 1996. Following his federal sentence FRICK had additional arrests and convictions for methamphetamine possession and forgery. Prosecutors requested that Judge Lasnik recommend drug treatment for FRICK while serving his prison sentence.
FRICK is one of the first defendants in this case to plead guilty and be sentenced. Others are scheduled for trial later this year.
This was an Organized Crime and Drug Enforcement Task Force (OCDETF) investigations, providing supplemental federal funding to the federal and state agencies involved. The investigation was led jointly by the Drug Enforcement Administration, Homeland Security Investigation and Alcohol, Tobacco, Firearms & Explosives and the Snohomish Police Department. Additional participating agencies: Lake Stevens Police Department, Eastside Narcotics Task Force, Snohomish Regional Drug Task Force, Skagit County Interlocal Drug Enforcement Unit, Everett Police Department, Monroe Police Department, Marysville Police Department, Seattle Police Department, Snohomish County Police Department, Washington State Patrol, U.S. Customs and Border Protection’s Offices of Field Operations and Border Patrol.
The case is being prosecuted by Assistant United States Attorneys Vince Lombardi, Nicholas Brown, and J. Tate London.
Monmouth County, N.J., Heating and Air Conditioning Operator Sentenced to Five Months in Prison for Tax EvasionRead the Press Release
CAMDEN, N.J. – A Monmouth County man who owned several air conditioning businesses was sentenced today to five months in prison and five months house arrest for evading payment of taxes and penalties over several years, U.S. Attorney Paul J. Fishman announced.
Mark Trawinski, 59, of Morganville, N.J., previously pleaded guilty before U.S. District Judge Joseph H. Rodriguez to an Information charging him with willfully attempting to evade payments of accrued employer’s quarterly federal taxes and the associated trust fund recovery penalties. Judge Rodriguez imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Trawinski owned and operated three heating and air conditioning businesses: Air Joy Service, Heating and Cooling Corp.; Air Joy Service Inc.; and Air Joy Sheet Metal. As the owner of those companies, Trawinski was required to report the employment taxes for all his employees to the IRS by filing IRS Form 941. Trawinski was also required to pay to the IRS the employment taxes for his employees on a quarterly basis. For various tax quarters ending between March 31, 2002, and Sept. 30, 2007, Trawinski filed Forms 941 for his various businesses, but did not pay the employment tax liabilities reported.At various times between 2006 and 2008, the IRS assessed $713,759 in Trust Fund Recovery Penalties against Trawinski for the previously assessed employment tax liabilities and started collection actions against him. In 2005, Trawinski purchased a vacation home in Port Orange, Fla., for $1 million, although he caused the deed and mortgage to be placed in his mother’s name. Between 2005 and 2010, Trawinski made $544,673 in mortgage payments with checks drawn on the heating and air conditioning businesses’ bank accounts and other accounts.
In 2007, Trawinski filed a bankruptcy petition in an attempt to have his debts discharged. During the bankruptcy proceeding, he failed to list the Florida vacation home as an asset on his bankruptcy petition.
In June 2009, the Small Business/Self Employment Collections Division of IRS levied several of Trawinski’s bank accounts to recoup the trust fund recovery penalty. In November 2009, Trawinski met with an IRS agent and submitted a Collection Information Statement for Wage Earners and Self-Employed Individuals, which was signed under penalty of perjury. He failed to disclose his ownership of the Florida vacation home. Trawinski also falsely told the agent that his son ran the heating and cooling business even though his son had no experience in the business. Trawinski further said he was not receiving a salary and that he had no assets or income of any kind.In addition to the prison term, Judge Rodriguez sentenced Trawinski to three years of supervised release and ordered him to pay restitution of $713,759 to the IRS.
U.S. Attorney Fishman credited special agents of IRS – Criminal Investigation, under the direction of Acting Special Agent in Charge Shantelle P. Kitchen, for the investigation leading to today’s sentence.
The government is represented by Assistant U.S. Attorney Jason M. Richardson of the U.S. Attorney’s Office Criminal Division in Camden.
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Defense attorney: Michael Mattaliano Esq., Hackensack, N.J.Mission Woman Pleads Guilty to AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that Dadra Raye Connors, age 35, of Mission, appeared before United States District Judge Roberto A. Lange on January 9, 2013, and pled guilty to Assault with a Dangerous Weapon. The maximum penalty upon conviction is 10 years in custody, a $250,000 fine, or both.
The conviction stems from an incident that took place on May 20, 2012, when Connors drove her truck at the victim as he was walking across a gravel road. The victim dove into the ditch to avoid being hit. During the process, a second victim fell out or was ejected from the cargo area of Connors' truck and was injured.
The investigation was conducted by Rosebud Sioux Tribe Law Enforcement Services. The case is being prosecuted by Assistant United States Attorney Tim Maher.
Connors was remanded to the custody of the United States Marshal.
Minneapolis Felon Indicted for Possessing .40-caliber PistolRead the Press Release
MINNEAPOLIS—Earlier today in federal court in St. Paul, a 36-year-old Minneapolis felon was indicted for possessing a .40-caliber, semi-automatic pistol. Demario Kentrell Booker was charged with one count of being a felon in possession of a firearm.
The indictment alleges that on November 20, 2012, Booker possessed the gun. Because he is a felon, he is prohibited under federal law from possessing a firearm at any time. Booker’s prior Hennepin County convictions include assault in the third degree (2004), assault in the fourth degree (2008), and prohibited person in possession of a firearm (2009).
According to a law enforcement affidavit filed in the current federal case, at approximately 2:00 a.m. on November 20, police noticed a vehicle cross the center line and fail to signal for a turn. In response, the officers activated their lights. The driver of the vehicle, later found to be Booker, sped away. Police pursued him, eventually bringing him to a stop in Robbinsdale. He was arrested after a brief scuffle. The pistol was found in the vehicle.
If convicted, Booker faces a potential maximum penalty of ten years in federal prison. All sentences will be determined by a federal district court judge. This case is the result of an investigation by the Minneapolis Police Department and the United States Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant U.S. Attorney Richard A. Newberry.An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.
Mexican National Sentenced for Unlawfully Entering the United StatesRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Maximo Arrelano Tenango, 31, of Morelos, Mexico, who was convicted of being an alien found in the United States after deportation following a felony conviction, was sentenced by U.S. District Judge David Larimer to 16 months in prison. The defendant will be turned over to immigration authorities for deportation proceedings following the completion of his sentence.
Assistant U.S. Attorney Craig R. Gestring, who handled the case, stated that the defendant came to the attention of federal immigration officials following his arrest in November 2011 for stabbing two people in Yates County. Arrelano Tenango pleaded guilty to that offense and was sentenced to one year in the Yates County Jail. Homeland Security Agents took federal custody of the defendant upon his release from jail.
Arrelano Tenango is a Mexican national who was unlawfully in the United States. He was arrested by immigration officials and physically removed from the United States on five previous occasions. The defendant was also convicted in federal court in 2010 for the felony crime of being unlawfully present in the United States following deportation.
The sentencing is the culmination of an investigation on the part of Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent In Charge James C. Spero.
Medina Man Arrested on Child Pornograghy, Others ChargesRead the Press Release
Richard J. Miezin, 47, of Medina, Ohio, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office.
Miezin was arrested this afternoon.
The indictment charges that from on or about April 27, 2010, through on or about February 25, 2011, Miezin knowingly distributed, by computer, numerous computer files, which contained visual depictions of real minors engaged in sexually explicit conduct.
Miezin is further charged with knowingly and willfully making false material statements and representations to the Federal Bureau of Investigation during their investigation.
The indictment is the result of was a joint effort of the Medina County Sheriff’s Office and the Akron Office of the FBI’s Crimes Against Children Task Force. The case is being prosecuted by Assistant United States Attorney Carol M. Skutnik.
Targeting child predators is a priority of this newly established task force with the Medina County Sheriff and FBI. This task force will utilize all available investigative, technical and community resources to protect the children in our communities.
Over the last several years, the FBI, state and local law enforcement, and the public have developed an increased awareness of the prevalence of child pornography and sexual exploitation of children. More incidents of online child pornography and sexual exploitation are being identified for investigation than ever before. As the power and popularity of the Internet continues to expand, the number of child pornography and sexual exploitation cases opened will likely continue to grow, as will the resources needed to address this crime problem. The task forces located throughout the northern district of Ohio, comprised of federal, state and local law enforcement are a key tool in this effort.
If convicted, the sentence in this case will be determined by the court after consideration of the federal sentencing guidelines, which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Maryland Resident Enters Plea to Firearms ChargeRead the Press Release
1125 Chapline Street, Federal Building, Suite 3000 ● Wheeling, WV 26003
(304) 234-0100 ● Contact: Chris Zumpetta-Parr, Public Affairs SpecialistMARTINSBURG, WEST VIRGINIA - A 60-year old Sharpsburg, Maryland, resident entered a plea of guilty on January 8, 2013, in United States District Court in Martinsburg before Magistrate Judge David J. Joel.
United States Attorney William J. Ihlenfeld, II, announced that: WILBUR SLICK entered a plea of guilty to “Sale of a Firearm to a Prohibited Person” on August 8, 2012, in Harpers Ferry, West Virginia. SLICK, who is on bond pending sentencing, faces up to 10 years imprisonment and a $250,000 fine.
The case was prosecuted by Assistant United States Attorney Jarod J. Douglas and investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Manhattan U.S. Attorney Announces Charges Against Nine Members of Violent Armed Robbery Home Invasion Crew Operating in the BronxRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, Joseph Anarumo Jr., the Special-Agent-in-Charge of the New York Field Division of the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”), and Raymond W. Kelly, the Police Commissioner of the City of New York (“NYPD”), announced the unsealing of a Superseding Indictment charging nine members of a violent armed robbery crew operating in the Bronx, New York, with robbery conspiracy, robbery, carjacking, and firearms offenses. Two defendants, MICHAEL CAMPBELL and PATRICK LEWIS, are also charged with committing a murder in connection with one of the armed robberies.
Four of the defendants charged in the Superseding Indictment were previously charged in October 2011 and November 2012. Specifically, DARREN MORRIS and CAMPBELL were originally charged with robbery and firearms offenses by indictment in October 2011. LEWIS and RASHID TURNER were also charged with robbery and firearms offenses in two separate complaints, both filed in November 2012. All four defendants were remanded on the original charges and remain in custody. Of the five new defendants charged in the Superseding Indictment, JAMAL FRAZER and ERIC BOOTH were arrested today and will be presented before U.S. District Judge John F. Keenan this afternoon, TYRIEK SKYFIELD and ANTHONY FRANCIS were in state custody on other charges, and one defendant, PRINCE WAREHAM, remains at large.
Manhattan U.S. Attorney Preet Bharara said: “As alleged, this was an armed and violent gang responsible for murder, multiple robberies, carjacking, and packing pistols and other weapons. We are committed to taking these violent crews off our streets so that the neighborhoods of our District can be peacefully enjoyed by their residents, and with the 19 defendants we charged today, we are making good on that commitment in the Bronx.”
ATF Special Agent-in-Charge Joseph Anarumo Jr. said: “This investigation exemplifies the importance of inter-agency cooperation. In combining the investigative resources of ATF, NYPD and prosecutors from the Southern District of New York, we have put a stop to the alleged violence caused by this group of individuals - the allegedly heinous acts perpetrated include discharging a firearm at a pursuing Police Officer, armed robbery, carjacking and home invasion. Today’s indictment sends a strong message – We will not tolerate firearms violence in our communities and those responsible for it will be identified and held accountable.”
NYPD Commissioner Raymond W. Kelly said: “Criminals who think they can subdue the efforts of police to preserve peace and safety for Bronx residents are mistaken. NYPD narcotics investigators and others will endure to eliminate violent robbery crews, as an off-duty officer proved last week when he tackled an armed assailant despite having been seriously wounded. I commend the detectives who brought these subjects to justice, supported by the prosecutorial expertise of federal partners in the U.S. Attorney’s office.”
According to the allegations contained in the Superseding Indictment and other court documents previously filed in Manhattan federal court:
Between approximately 2009 and 2012, members of the robbery crew engaged in a series of armed robberies and attempted robberies throughout the Bronx, New York, one of which led to the December 2010 murder of a marijuana dealer, Patrick Woodburn in the Bronx. CAMPBELL and LEWIS stole approximately ten pounds of marijuana from Woodburn, and shot and killed him.
In another armed robbery on July 28, 2010, three of the crew members – FRAZER, SKYFIELD, and FRANCIS – carried out a carjacking in the Bronx, during which cash, jewelry, and a BMW sedan were taken from the victim at gunpoint.
MORRIS and CAMPBELL were also previously charged with a November 2009 home invasion robbery in the Bronx, which targeted suspected dealers of marijuana and marijuana proceeds. During the robbery, MORRIS struck one of the victims in the head with a gun, causing the gun to discharge one round. While fleeing the scene of the robbery, MORRIS also fired several shots at a police officer who pursued him.
A chart containing the ages, residency information, and charges against the defendants, as well as the maximum penalties that they face, is attached.
Mr. Bharara praised the investigative work of the ATF and the NYPD.
The case is being prosecuted by the Office’s Violent Crimes Unit. Assistant United States Attorneys Christopher J. DiMase and Jessica A. Masella are in charge of the prosecution.
The charges contained in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
U.S. v. Patrick Lewis, et al S4 Indictment
US v. Patrick Lewis et al Superseder ChartManhattan U.S. Attorney Announces Charges Against 10 Members of Violent Bronx Drug Trafficking CrewRead the Press Release
Two Defendants Are Charged with Kidnapping at Gunpoint and Torturing Victim
Preet Bharara, the United States Attorney for the Southern District of New York, George Venizelos, the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Raymond W. Kelly, the Commissioner of the New York City Police Department (“NYPD”), today announced charges against 10 members of a criminal organization based on Wyatt Street in the Bronx, New York. Nine of the defendants were charged with conspiracy to distribute crack cocaine and heroin. The crew’s alleged ringleader, ANIBAL RAMOS, and one of its members, ANIBAL SOTO, were charged in the original, July 2012 Indictment with kidnapping, conspiracy to commit kidnapping, and the brandishing of a firearm in connection with, and in furtherance of, the kidnapping. RAMOS and SOTO are alleged to have kidnapped and tortured an individual, including by burning the victim with an iron. The Superseding Indictment adds narcotics charges against RAMOS, and also charges him and three of the new defendants with possessing firearms in connection with, and in furtherance of, the crack cocaine and heroin conspiracy.
All eight of the new defendants charged were taken into custody today as part of a coordinated operation involving federal and local law enforcement officers. RAMOS, who was arrested in August 2012, and SOTO, who was arrested in July 2012, remain detained. All the defendants arrested today will be presented in Manhattan federal court this afternoon.
Manhattan U.S. Attorney Preet Bharara said: “As alleged, for far too long, these defendants were a bloody blight on a Bronx community, contaminating it with poisonous and highly-addictive drugs, and the guns, and brutal violence that are part and parcel of the drug trade. This case demonstrates our commitment to working with our law enforcement partners to identify and prosecute those who engage in this conduct and to expand cases previously charged when we develop new evidence. With the charges we bring today in two separate cases against 19 defendants, the Bronx neighborhoods in which they ran amok are safer places for their residents.”
FBI Assistant Director-in-Charge George Venizelos: “This case highlights once again the dual threat posed to our communities by the illegal drug trade. The drugs themselves are poison, with life-altering and lethal consequences. And violence almost always comes with the territory. We remain committed to restoring our communities to their law-abiding residents.”
NYPD Commissioner Raymond W. Kelly said: “The depraved acts of torture described in the indictment need no further characterization, other than to observe that the nexus between drug trafficking and violence is well-established, and the commitment among police and prosecutors to bring its practitioners to justice is unyielding.”
As alleged in the Superseding Indictment unsealed today and other documents filed in Manhattan federal court:
From at least 2000 through August 31, 2012, RAMOS was the leader of a drug crew that operated on Wyatt Street in the Bronx and sold significant street level quantities of crack cocaine and heroin. In addition, members of the drug trafficking organization used firearms, threats of violence, and violence to secure and enforce their drug territory, including the kidnapping and brutal torture committed by RAMOS and SOTO.
RAMOS, JOEL CABRERA, WILLIAM ZACCHI, CHRISTOPHER HERNANDEZ, MICHAEL AVILES, LATRELL RIDDLES, CHARITZA QUINTANA, YASMINE ZELAYANDIA, and JACQUELINE HERNANDEZ are charged with conspiring to distribute, and possess with the intent to distribute, crack cocaine and heroin.
RAMOS, AVILES, RIDDLES, and ZELAYANDIA are also charged with possessing firearms in connection with, and in furtherance of, the crack cocaine and heroin conspiracy.
A chart containing the ages, residency information, and charges against the defendants, as well as the maximum penalties they face is attached.
Mr. Bharara praised the outstanding investigative work of the FBI and the NYPD. He added that the investigation is continuing.
The prosecution of this case is being overseen by the Office’s Violent Crimes Unit. Assistant United States Attorneys Hadassa Waxman and Timothy D. Sini are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Click here to view chart(s)
Mableton Man Indicted for Extorting Minors to Produce Child PornographyRead the Press Release
Hutchinson Allegedly Enticed Teenagers to Share Nude Photographs and Then Threatened to Post Them on the Internet
ATLANTA – A Cobb County man has been indicted for using social media to lure and then force teenagers into sending him nude pictures. Tremain Hutchinson, 27, of Mableton, Georgia was indicted by a federal grand jury on December 18, 2012, on charges that he induced and coerced minors into producing child pornography, enticed and coerced minors into engaging in sexual activity, received and possessed child pornography, and transferred obscene material to minors. Hutchinson was arraigned in federal court today before United States Magistrate Judge E. Clayton Scofield, III and was detained without bond.
“Hutchinson is charged with exploiting social media to victimize children,” said United States Attorney Sally Quillian Yates. “His conduct is particularly disturbing because he threatened and coerced these terrified children into engaging in sexual acts.”
“This defendant stands accused of committing unspeakable acts against his juvenile victims through the use of threats and extortion,” said Brock D. Nicholson, Special Agent in Charge of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Atlanta. “The abhorrent behavior displayed in this case was brought to an end by a diligent investigation by HSI and the DeKalb Police Department. Along with our partners in and out of law enforcement, we are doing everything we can to stop the victimization of innocent children by predators.”
According to United States Attorney Yates, the charges and other information presented in court, in February 2012, a parent reported to authorities that she had discovered, on a communications device, images of her children engaging in sexual activity. Investigators learned that one of the children had met an individual, “Mario,” on a social media website who had enticed her to send nude photographs of herself to him, and upon receiving the nude photographs had threatened to post the photographs on the internet if she did not engage in other sexual activity on webcam including sexual activity with her sibling. Over the course of their investigation, investigators determined that “Mario,” whose web profile described him as a sixteen-year-old boy, had enticed and threatened numerous other teenage girls to send nude photographs of themselves to him, whereupon he would threaten to post the photographs on Facebook and other social media sites, including their school websites, if the girls did not continue to send sexually graphic photographs and video recordings to him. “Mario” also threatened to harm the girls’ families. The investigation ultimately revealed that “Mario” was not a sixteen-year-old boy, but twenty-seven-year-old Tremain Hutchinson of Mableton, Georgia.Hutchinson is charged with ten counts of employing, using, persuading, inducing, enticing and coercing minors to engage in sexually explicit conduct for the purpose of producing child pornography and attempting to do so, five counts of coercing and enticing minors to engage in sexual activity, two counts of transferring obscene materials to minors, one count of receiving child pornography, and one count of possessing child pornography.
The counts related to causing minors to produce child pornography each carries a mandatory minimum confinement period of 15 years in prison and a maximum sentence of 30 years in prison. Each charge of coercing and enticing minors to engage in sexual activity carries a mandatory minimum sentence of 10 years confinement and a maximum sentence of life in prison. The charges of transferring obscene materials to a minor carry a maximum sentence of 10 years in prison. The charge of receiving child pornography carries a maximum sentence of 20 years confinement and the charge of possessing child pornography carries a maximum sentence of 10 years in prison. Each charge carries a fine of up to $250,000. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
Members of the public are reminded that the indictment 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 brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney's Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case is being investigated by Special Agents of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Assistant United States Attorneys Yonette Buchanan and Leslie J. Abrams 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 Sentenced to PrisonRead the Press Release
For Stolen Firearms Charge
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a Luzerne County man was sentenced by Senior United States District Court Judge James M. Munley to serve 20 months in prison for the possession and receipt of three stolen firearms.
According to United States Attorney Peter J. Smith, Albert Behrmann, age 37, of Larksville, Luzerne County, was previously indicted by a federal grand jury in November 2011, after an incident in Luzerne County in which the defendant was involved in the sale of a stolen firearm to another person.
Behrmann previously entered a guilty plea to the charge of possession and receipt of stolen firearms on April 4, 2012.
In addition to the prison term, Judge Munley also ordered that the defendant be supervised by a probation officer for three years following his prison sentence.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pennsylvania State Police, the Luzerne County Drug Task Force, and the Kingston and Hanover Police Departments. The case was prosecuted by Assistant United States Attorney Robert J. O’Hara.
Keith Allan Devereaux Pleads Guilty in U.S. Federal CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on January 8, 2013, before U.S. District Judge Sam E. Haddon, KEITH ALLAN DEVEREAUX, a 35-year-old resident of Great Falls, pled guilty to aiding and abetting the crime of robbery affecting commerce. Sentencing has been set for April 8, 2013. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Jessica A. Betley, the government stated it would have proved at trial the following:
On February 21, 2012, around 10:00 p.m., Great Falls Police were alerted to a robbery at the Eagles Lodge. It was reported that three men had robbed a female employee at gun point and then sprayed her in the face with pepper spray. Officers arrived to find the employee absolutely hysterical. She was sobbing and told officers she believed she was going to be shot during the robbery.
Officers began their investigation and found $3,961 had been stolen from the money drawers. The inside of the building also smelled of pepper spray so badly that the police called the Great Falls Fire and Rescue in order to aerate the room. Police interviewed the victim two days later because she was too upset to speak until that point.
According to the victim, the last customer left the bar around 9:30 p.m. Once the customer left, the victim began to clean the west end of the bar. She did not recall hearing anyone come inside, but heard a male voice tell her to turn around. The victim turned around to see three men who were all dressed in black hooded sweatshirts with their faces fairly covered. One of the men pointed a handgun at the victim and yelled, "where's the money?" She believed two of the men had handguns, but could not identify which ones possessed the guns. Another man pointed a gun at the victim and made her walk to the end of the bar. The victim heard banging and slamming, and eventually one man said, "you'll be okay," and sprayed her in the face with pepper spray. The victim struggled to breathe, found her phone, and ran outside to call police.
On February 23, 2012, Great Falls police received a tip that John Gopher, Alicia Arthur, Anthony Gregori, and DEVEREAUX may have been involved in the robbery. The tip reported Gopher had bragged that over $2,000 had been stolen in the robbery of the Eagles Lodge. The person also relayed that Gopher, Gregori, Arthur, and DEVEREAUX had traveled to Billings, but would soon be returning to Great Falls.
Detectives arrested DEVEREAUX after he returned to Great Falls. DEVEREAUX told police he had been in the same car with Gopher, Arthur, and Gregori on the night of the robbery. But that he had returned home at some point. DEVEREAUX did tell the police, however, that he had been with Gopher and Arthur when they devised a plan to rob the Eagles Lodge. DEVEREAUX said he participated in the planning of the robbery, and added the Eagles Lodge looked like a hospital or old person's home. Gopher and Arthur also told police that DEVEREAUX had participated in the robbery.
Gopher, Arthur, and Gregori pled guilty to federal charges and have been sentenced.
DEVEREAUX faces possible penalties of 20 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was a cooperative effort between the Great Falls Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Kanawha County Man Pleads Guilty in Federal Court to Possession of Child PornographyRead the Press Release
CHARLESTON, W.Va. – U.S. Attorney Booth Goodwin announced today that a Kanawha County man pleaded guilty in federal court to possession of child pornography. Tracey E. Cooper, 38, of Dawes, Kanawha County, W.Va., admitted that on December 21, 2011, he knowingly possessed on his computer more than 600 images and videos depicting minors engaged in sexually explicit conduct, that is actual or simulated sexual intercourse and the lascivious exhibition of the genitals and pubic area of the minors. Cooper admitted that he knew the images and videos constituted child pornography. The defendant also admitted that many of the images depicted prepubescent minors. Cooper further admitted that at least one of the images portrays a prepubescent minor depicted in sadistic or masochistic conduct or other depictions of violence.
Cooper further admitted that he used the peer-to-peer file sharing programs, Shareaza and Aires, to download, receive and share child pornography.
Cooper faces up to 10 years in prison and a $250,000 fine when he is sentenced on March 28, 2013 by United States District Judge John T. Copenhaver, Jr.
The Federal Bureau of Investigation West Virginia Cyber Crimes Task Force, the Kanawha Bureau of Investigation and the Kanawha County Sheriff’s Department conducted the investigation. Assistant United States Attorney Lisa Johnston is in charge of the prosecution.
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 http://www.justice.gov/usao/wvs/PSCpage.html. For more information about internet safety education, please visit www.usdoj.gov/psc and follow the link named “Resources.”
Jury Convicts Odessa Man of Methamphetamine OffensesRead the Press Release
This morning in Midland, a federal jury convicted 47-year-old Paul David Copeland, Jr., of Odessa, of various methamphetamine trafficking offenses, announced United States Attorney Robert Pitman.
After a two-day trial, Copeland was found guilty of multiple counts of possessing pseudoephedrine with intent to manufacture methamphetamine, conspiracy to manufacture methamphetamine, and attempting to manufacture methamphetamine. Testimony and evidence introduced at trial established that on 145 occasions between the Fall of 2006 and August 2011, Copeland purchased over-the-counter cold medicine containing pseudoephedrine, a key ingredient in manufacturing methamphetamine, from Odessa pharmacies such as Walgreen’s, Walmart, Target, Albertson’s, and HEB. Testimony further established that Copeland recruited at least three other individuals to purchase the same type of cold medicine on his behalf. The jury also received evidence that in May 2007, the Ector County Sheriff’s Office found an active meth lab in Copeland’s travel trailer and pick-up in Odessa.
As to each count of conviction, Copeland faces up to twenty years in federal prison, a $1 million fine, and a minimum three year term of supervised release following his release from custody. His sentencing date is March 14, 2013. Copeland has been in federal custody since his arrest in April 2012.
The case was investigated by the Texas Department of Public Safety and the Ector County Sheriff’s Office, with assistance from the Drug Enforcement Administration. Assistant United States Attorney John Klassen prosecuted the case on behalf of the Government.
Joseph Wayne Cree Medicine Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on January 8, 2013, before U.S. District Judge Dana L. Christensen, JOSEPH WAYNE CREE MEDICINE, a 28-year-old resident of Browning, appeared for sentencing. CREE MEDICINE was sentenced to a term of:
- Prison: 35 months
- Special Assessment: $200
- Supervised Release: 3 years
CREE MEDICINE was sentenced in connection with his guilty plea to two (2) counts of assault resulting in serious bodily injury.
In an Offer of Proof filed by Assistant U.S. Attorney Ryan G. Weldon, the government stated it would have proved at trial the following:
On January 27, 2012, in the early morning hours, CREE MEDICINE went to the residence of P.M.F., which is located in Browning and within the exterior boundaries of the Blackfeet Indian Reservation. CREE MEDICINE went there because his ex-girlfriend, T.R.M., was staying there. Upon arrival, CREE MEDICINE began to argue with T.R.M. P.M.F. exited her room and asked what was causing all of the ruckus.
CREE MEDICINE then began assaulting P.M.F. Specifically, CREE MEDICINE knocked P.M.F. to the ground and began kicking her. P.M.F. begged CREE MEDICINE to stop. CREE MEDICINE eventually did, but turned back to T.R.M. He punched T.R.M. in the face and ripped a clump of hair from her head.
Both P.M.F. and T.R.M. went to the hospital. Upon arrival, both P.M.F. and T.R.M. described their pain level as a ten, which is the worst pain on the scale of one to ten. Dr. Bashir Sheikh prescribed hydrocodone to P.M.F. for the treatment of her pain. T.R.M. received a shot of Toradol the following morning. Toradol is a drug used for pain and is typically given to patients after surgery.
P.M.F. had cuts on her inner lip, bleeding, and severe bruising around her mouth, legs, and arms. A tooth of P.M.F. was also loose. T.R.M. had blood running down the side of her face from the location where the clump of hair had been ripped from her scalp. Additionally, the face, right eye, and lip of T.R.M. were bleeding and swollen. All of the above injuries were caused by CREE MEDICINE assaulting P.M.F. and T.R.M.
CREE MEDICINE informed law enforcement that by the early morning hours of January 27, 2012, he drank, along with another individual, two liters of Black Velvet and started to drink a half-gallon of whiskey.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that CREE MEDICINE will likely serve all of the time imposed by the court. In the federal system, CREE MEDICINE does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was conducted by a cooperative effort between the Federal Bureau of Investigation and Blackfeet Law Enforcement.
Jasper County Traffic Stop Puts NC Man in Federal PrisonRead the Press Release
Department of Justice
Office of Public AffairsBEAUMONT, Texas – A 46-year-old Clinton, NC man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Enar David Zuniga pleaded guilty on Aug. 29, 2012, to possession with intent to distribute more than 100 kilograms of marijuana and was sentenced to 60 months in federal prison today by U.S. District Judge Ron Clark.
According to information presented in court, on June 18, 2012, Zuniga was stopped by a Texas Highway Patrol trooper in Jasper County, Texas for a seatbelt violation. During the stop, Zuniga appeared nervous and his answers to the trooper’s questions were suspicious. Zuniga opened the back of the Isuzu truck and gave the trooper permission to search the vehicle’s contents. The trooper inspected the front of the truck and suspected a hidden compartment. A K-9 unit arrived and alerted to the back of the truck where 1,064 pounds of marijuana was discovered. Zuniga was indicted on June 21, 2012 and charged with federal drug trafficking crimes.
This case was investigated by Texas Department of Public Safety and the Drug Enforcement Administration and prosecuted by Assistant U.S. Attorney Baylor Wortham.
James Kirby King Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on January 8, 2013, before U.S. District Judge Sam E. Haddon, JAMES KIRBY KING, a 46-year-old resident of Hays and an enrolled member of the Fort Belknap Indian Reservation, appeared for sentencing. KING was sentenced to a term of:
- Prison: 1 year
- Special Assessment: $100.00
- Supervised Release: 10 years
KING was sentenced in connection with his guilty plea to abusive sexual contact.
In an Offer of Proof filed by Assistant U.S. Attorney Danna R. Jackson, the government stated it would have proved at trial the following:
KING caused sexual contact with the victim when he touched her genitalia when he was moving her underwear aside to take pictures of her vagina. The victim was passed out at the time. The contact occurred in KING's home located on the Fort Belknap Indian Reservation.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that KING will likely serve all of the time imposed by the court. In the federal system, KING does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was a cooperative effort between the Fort Belknap Law Enforcement and the Federal Bureau of Investigation.
International Narcotics Trafficker Sentenced in Manhattan Federal Court to 280 Months in PrisonRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that JOSE MOSQUERA-PRADO, a top lieutenant of Colombian drug kingpin Francisco Gonzalez-Uribe, was sentenced today in Manhattan federal court to 280 months in prison for conspiring to import and distribute cocaine and heroin into the United States. MOSQUERA-PRADO was convicted in October 2011 following a two-week jury trial before U.S. District Judge Lewis A. Kaplan, who also presided over the sentencing.
Manhattan U.S. Attorney Preet Bharara said: “Mosquera-Prado, and the Colombian-based narco-trafficking organization in which he was a senior player, were responsible for moving massive quantities of cocaine and heroin from country to country, with the ultimate goal of shipping it to the U.S. Thanks to the outstanding work of, and cooperation between, the DEA and international law enforcement partners, he was thwarted and will now pay with his liberty.”
According to the trial evidence, other documents filed in the case, and statements made during court proceedings:
From 2007 through 2009, MOSQUERA-PRADO was a top lieutenant in Gonzalez-Uribe’s international narcotics-trafficking organization, which shipped tons of cocaine and heroin to various locations in Mexico, the Dominican Republic, Venezuela, and other countries. These narcotics were then transported to the United States and various locations in Europe.
During two undercover operations in early 2009 – with the cooperation and assistance of the governments of Colombia and the Dominican Republic – the U.S. Drug Enforcement Administration (“DEA”) seized large quantities of cocaine and heroin from members of Gonzalez-Uribe’s narco-trafficking organization. MOSQUERA-PRADO was intercepted on recorded telephone calls personally orchestrating the shipment of the cocaine and heroin, which were destined for sale in New York City. The cocaine and heroin that was seized by the DEA during these operations had an estimated wholesale value of approximately $2,000,000.
In numerous additional recorded telephone calls and emails, MOSQUERA-PRADO negotiated and coordinated the shipments of several multi-ton loads of cocaine through South America and the Caribbean to the United States and other countries. MOSQUERA-PRADO also sent two of his criminal associates to the Dominican Republic to examine a remote military landing strip that he intended to use to land aircraft carrying large shipments of cocaine, and sought to use a number of large, private aircraft – including a DC-8, a DC-10, a Grumman 2, and a King Air 300 – to transport massive shipments of cocaine.
In addition to the prison term, Judge Kaplan sentenced MOSQUERA-PRADO, 36, to five years of supervised release, a $25,000 fine, and a $200 special assessment fee.
Gonzalez-Uribe was designated a Consolidated Priority Organization Target (“CPOT”) by the U.S. Department of Justice – a designation that is reserved for federal law enforcement priority drug trafficking targets. Gonzalez-Uribe was arrested in the Dominican Republic in 2009. In 2010, he pled guilty in Manhattan federal court to narcotics importation and distribution conspiracy charges and was subsequently sentenced to 30 years in prison.
Mr. Bharara praised the outstanding efforts of the DEA, and specifically cited the DEA Caribbean Field Division, the DEA Bogotá Country Office, the DEA Cartagena Resident Office, the DEA Santo Domingo Country Office, and the DEA New York Field Division. He also thanked the Office of International Affairs of the Justice Department’s Criminal Division and all other cooperating law enforcement agencies. Mr. Bharara also thanked the Government of the Dominican Republic, the Dominican Direccion Nacional de Control de Drogas, and the Dominican Air Force, and expressed his gratitude to the Government of Colombia and the Colombian Departamento Administrativo de Seguridad for their cooperation and assistance in the investigation and prosecution of Mosquera-Prado.
The case is being handled by the Office's Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Benjamin Naftalis, John P. Cronan, and Randall W. Jackson are in charge of the prosecution.
TweetIndian Leider Sentenced in U.S. District CourtRead the Press Release
The United States Attorney's Office announced that during a federal court session in Great Falls, on January 8, 2013, before U.S. District Judge Dana L. Christensen, INDIAN LEIDER, a 20-year-old resident of Rocky Boy, was sentenced to a term of:
- Prison: 16 months
- Special Assessment: $100.00
- Supervised Release: 5 years
LEIDER was sentenced in connection with his guilty plea to sexual abuse of a minor.
In an Offer of Proof filed by Assistant U.S. Attorney Danna R. Jackson, the government stated it would have proved at trial the following:
LEIDER is an enrolled member of the Crow Tribe. On January 27, 2012, LEIDER was at a house party located on the Rocky Boy's Indian reservation. Also at the party were under-aged girls. LEIDER has sex with a girl who was thirteen. The girl was drinking and had reported to a medical provider that she "blanked out."
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that LEIDER will likely serve all of the time imposed by the court. In the federal system, LEIDER does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was conducted by a cooperative effort between the Federal Bureau of Investigation, the Rocky Boy Law Enforcement and Chippewa Cree Law Enforcement.
Home Health Care Agency Operator Charged with Health Care FraudRead the Press Release
MINNEAPOLIS—Yesterday in federal court, the operator of Lucky Home Health Care, Inc., a home health care agency in Minneapolis, was charged with defrauding Medicaid. On January 8, 2013, Abshir Mohammed Ahmed, age 40, of Minneapolis, was charged via an Information with one count of health care fraud.
Allegedly, from January of 2008 through June of 2011, Ahmed defrauded Medicaid, a federal health care benefit program, out of more than $400,000 by submitting fraudulent billings. Ahmed submitted claims that falsely represented that home health care services were purportedly provided by identified Personal Care Assistants (“PCA”) that were not in fact provided by those PCAs.
For example, a claim for reimbursement, submitted on July 16, 2009, billed Medicaid $1,330.56 for PCA services allegedly, but not actually, provided by the identified PCA.
The Medicaid program provides medical care and services to low-income people who meet certain income and eligibility requirements. Home health care, provided by PCAs, is one of the services reimbursed by Medicaid.If convicted, Ahmed faces a potential maximum penalty of ten years in federal prison. All sentences will be determined by a federal district court judge.
This case is the result of an investigation by the Federal Bureau of Investigation. It is being prosecuted by Assistant U.S. Attorney David M. Genrich.
The U.S. Attorney’s Office participates in a task force with the Medicaid Fraud Control Unit at the Minnesota Attorney General’s Office that focuses on home health care fraud trends. The task force includes the U.S. Department of Health and Human Services-Office of Inspector General, the FBI, the Internal Revenue Service, and other federal, state, and local law enforcement partners.
As a result of federal convictions for health care fraud, defendants are excluded from participating in federal health benefit programs, including Medicare and Medicaid. Exclusion determinations are made by the U.S. Department of Health and Human Services. Nationwide, more than 3,000 individuals were excluded from program participation in Fiscal Year 2010 based upon criminal convictions or patient abuse or neglect, license revocations, or other factors.
For more information, visit http://www.stopmedicarefraud.gov/
A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.Habraham Enrique Guevara Sentenced to Seven Years in Prison for Meth ConspiracyRead the Press Release
GREENEVILLE, Tenn. - Habraham Enrique Guevara, 26, of Limestone, Tenn., was sentenced on January 8, 2013, to serve seven years in prison by the Honorable J. Ronnie Greer, U.S. District Judge. Guevara pleaded guilty on Jun. 5, 2012 to conspiring to distribute and possess with the intent to distribute 500 grams or more of methamphetamine. In a separate indictment, Guevara and his mother Rosalva Robledo were charged with document fraud and illegal harboring of aliens crimes.
Information at sentencing established that Guevara, his father, Jose Cruz Guevara, and uncle, Arnoldo Ayala Cazarez, conspired to bring four pounds of high quality Mexican methamphetamine from Oklahoma City to sell in upper East Tennessee. All four pounds were found at the Guevara family home in Limestone, Tenn. One pound was 92.9% pure and qualified as meth ice. Enrique Guevara served as the translator, lookout, and transporter for the deal, which took place on Jan. 31, 2012, and was taken down by law enforcement. The investigation resulted in the conviction of six individuals, all natives of Sinaloa, Mexico, who were illegally present in the United States.
U.S. Attorney William C. Killian said, “The quantity of methamphetamine found at Guevara’s home was the second-largest quantity prosecuted in federal court in the northeastern division of the Eastern District of Tennessee. Methamphetamine is a highly addictive drug and the presence of high quality Mexican methamphetamine in Washington County presented a danger to the safety of that community.”
The indictment and subsequent conviction of Guevara was the result of an investigation by the Federal Bureau of Investigation, Department of Homeland Security Investigations, Washington County Sheriff’s Office, and Second Judicial District Drug Task Force. Assistant United States Attorneys Donald Wayne Taylor and Helen Smith represented the United States in the prosecution.
Fugitive James Hector Acala Arrested at California Port of Entry Attempting to Re-Enter the United StatesRead the Press Release
SALT LAKE CITY – James Hector Alcala, age 44, of Salt Lake City, charged in a 2009 federal indictment with alien smuggling and visa fraud, was arrested on a fugitive warrant as he attempted to re-enter the United States on Christmas Day at the San Ysidro Port of Entry in California. The fugitive arrest warrant was issued for Alcala after he violated conditions of his pre-trial release in Utah and fled the United States in December 2010.
Alcala was taken into custody by the U.S. Marshals Service in San Diego and had an initial appearance in federal court in California on Dec. 26, 2012. Alcala waived his removal hearing, which had been scheduled for Tuesday afternoon in California, and will be transferred to Utah by the Marshals Service. It may take a few weeks for Alcala to be returned to Utah. An initial appearance will be set once he is back in Utah.
Alcala was charged in a federal indictment unsealed in July 2009. In addition to Alcala, the Alcala Law Firm, Westside Property Management, and seven other individuals were charged with conspiracy to commit alien smuggling and visa fraud; encouraging and inducing illegal aliens to come to, enter, or remain in the United States; and visa fraud. The indictment alleged that the defendants in the case circumvented the law to obtain visas for employers and the foreign national workers they were employing in Utah. The indictment alleged defendants conspired to profit financially by assisting Utah employers in obtaining H-2B visas for their foreign-national workers by fraudulently representing to the federal government that the foreign nationals were eligible for visas when, in fact, they were not.
Charges against two individuals charged in the indictment, Daniel Trigo Villavicencio, age 34, of Orem and Gustavo Ballesteros-Munoz, age 49, of West Jordan, have been dismissed by federal prosecutors. A fugitive warrant remains in place for Carlos Enrique Gomez-Alvarez, age 44, of Salt Lake City, who fled the country in 2009 after his arrest and initial appearance on the charges in New York.
Arrest warrants, issued at the time of indictment, are still in place for Florentino Jose Ayal Villarreal, age 42, and Olga Adriana Garza Muniz, age 50, both Mexican nationals.
Carlos Manuel Vorher, age 46, of Tooele; Andres Lorenzo Acosta Parra, age 34, of Salt Lake City; and Westside Property Management have pleaded guilty to charges stemming from their involvement in the case. Sentencing hearings are pending.
Westside Property Management, represented by its president, Janet Alcala, pleaded guilty in October 2012 to two counts of visa fraud. According to the plea agreement, Westside Property Management admitted that the company made false representations on immigration forms for several foreign nationals. Westside Property Management falsely stated on the applications that the individuals would be working for the property management company when, in fact, the company knew that the foreign nationals were going to work for a different Utah-based employer that was another client of the Alcala Law Firm. Mrs. Alcala admitted that the company knew that the false statements would be relied on by the U.S. Citizenship and Immigration Services to award temporary employment visas to the individuals. Westside Property Management has agreed to forfeit all interests in several pieces of property purchased with proceeds from the criminal offenses.
Parra pleaded guilty in October 2010 to misprison of a felony, charged in a superseding Felony Information. Parra admitted that he worked for the Alcala Law Firm where he assisted clients in obtaining H-2B visas for their foreign-born employees. Parra, who worked for 10 years as a visa assistant in the U.S. Consulate in Ciudad Juarez, Mexico, and was trained in immigration law, said he quickly learned that the law firm was fraudulently obtaining visas. He admitted he was with law firm employees and associates in Mexico when they instructed foreign nationals to falsify information on forms and to give deceptive answers to questions during the visa interview process. Parra admitted that although he knew the law firm was engaged in fraud, he did not notify the government of the fraud. He also admitted that he knew his presence and comments helped lend support and credibility to the fraudulent scheme.
Vorher pleaded guilty in April 2010 to one count of conspiracy to commit alien smuggling and visa fraud, admitting that he worked with others at the law firm to process H-2B visa petitions for clients he knew did not qualify for the visas. He admitted knowing that clients were looking to get visas for their current workforce, which consisted primarily of Mexican nationals who were not legally in the country. Clients were not looking to fill any employment vacancies as envisioned by the H-2B visa program. Vorher is a former U.S. Border Patrol agent.
The case was investigated by the U.S. Department of State’s Diplomatic Security Service, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; U.S. and Citizenship and Immigration Services; the U.S. Department of Labor; and the U.S. Attorney’s Office.
Founder of USA Harvest Charged in Seven Count Federal Indictment Charges Include Stealing from the Charity, Tax Fraud, and Money LaunderingRead the Press Release
– Hugh “Stan” Curtis charged with stealing $183,354 in donations and failing to report $553,891.67 in personal income from USA Harvest
– Curtis used funds to allegedly pay for personal expenses including meals, entertainment, and travelLOUISVILLE, Ky. – USA Harvest, Kentucky Harvest, and Blessings in a Backpack founder, Hugh “Stan” Curtis was charged in a seven-count federal indictment today, with one count mail fraud, two counts money laundering and four counts filing false income tax returns with the Internal Revenue Service, announced David J. Hale, United States Attorney for the Western District of Kentucky.
According to the indictment returned today by a federal grand jury meeting in Louisville, from September 2005 through September 2007, defendant Curtis, 63, of Louisville, Kentucky, allegedly stole approximately $183,354 in donations that he solicited on behalf of USA Harvest, a non-profit, I.R.C. 501 (c) organization. Of these stolen donations, Curtis deposited $164,620 into his personal account and personally cashed donation checks totaling $18,734 – and thereafter used the funds for his personal benefit. The $164,620 includes an August 29, 2007, donation for $20,000 from Play Like the Pros, LLC and a September 5, 2007, donation for $25,000 from Richemont North America, Inc. In addition, Curtis did not report the $183,354 as income with the Internal Revenue Service.
Further, from 2005 through 2008, it is alleged in the federal indictment, that Curtis failed to report to the Internal Revenue Service approximately $553,891.67 in personal income he received from USA Harvest. The amount includes the $183,354 in stolen donations and $370,537.67 in personal travel expenses that he charged to USA Harvest. More particularly, Curtis used approximately $370,537.67 in USA Harvest funds to pay for personal meals, personal entertainment expenses, and personal travel. In addition, Curtis fraudulently deducted approximately $353,165 in unreimbursed USA Harvest travel expenses on his 2005 through 2007 returns.
Counts four through seven of the indictment charge Curtis with filing false returns with the Internal Revenue Service. In 2005, Curtis failed to report approximately $160,549.56 in income and falsely deducted approximately $134,623 in unreimbursed travel expenses from USA Harvest on his 2005 federal income tax return filed on April 15, 2006. For the year 2006 Curtis failed to report approximately $217,085.18 income and falsely deducted approximately $130,739 in unreimbursed travel expenses from USA Harvest on his 2006 federal income tax return filed on May 9, 2007. For the year 2007 Curtis failed to report approximately $97,264.48 and falsely deducted approximately $87,803 in unreimbursed travel expenses from USA Harvest on his federal income tax return filed on April 15, 2008. For the year 2008 Curtis failed to report approximately $78,992.45 in income from USA Harvest on his 2008 federal income tax return filed on October 16, 2009. The return was filed by Curtis and signed under the penalty of perjury.
At sentencing, Curtis faces a combined maximum term of 52 years in prison, a combined maximum fine of $1,150,000, and a three-year term of supervised release.
This case is being prosecuted by Assistant United States Attorney Bryan Calhoun and was investigated by the Internal Revenue Service, Criminal Investigations Division.
Fort Thompson Woman Sentenced for Involuntary ManslaughterRead the Press Release
US Attorney Brendan V. Johnson announced that a Fort Thompson, South Dakota, woman convicted of Involuntary Manslaughter was sentenced on January 7, 2013, by US District Judge Roberto A. Lange. Leigha Koster, age 20, was sentenced to 33 months of imprisonment, 2 years of supervised release, $100 to the Victim Assistance Fund, and $16,995.18 in restitution.
Koster was indicted for Involuntary Manslaughter and Child Abuse by a federal grand jury on August 14, 2012. The charges stem from an incident on July 28, 2012, when Koster was driving while under the influence of alcohol with her boyfriend in the passenger seat. Koster was stopped for a traffic stop. While the officer was reviewing the license plate on the vehicle, Koster took off. A high speed chase, in excess of 100 miles per hour, ensued. While attempting to make a turn, she lost control of the vehicle, causing it to roll and crash. Her boyfriend was ejected and died at the scene.
The investigation was conducted by the Federal Bureau of Investigation and the Bureau of Indian Affairs. Assistant US Attorney Meghan N. Dilges prosecuted the case.
Koster was immediately turned over to the custody of the US Marshal.
Fort Lauderdale Man Sentenced to Life for Sex Trafficking of MinorsRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Michael B. Steinbach, Acting Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Franklin C. Adderly, Chief of Police, Fort Lauderdale Police Department, announced yesterday’s sentencing of Van Lawson Williams, 49, of Fort Lauderdale, on charges of sex trafficking and attempted sex trafficking of minors, in violation of Title 18, United States Code, Section 1591(a). At the sentencing hearing, U.S. District Judge Daniel T.K. Hurley sentenced Williams to life in prison.
On October 30, 2012, a jury found defendant Williams guilty of four counts of sex trafficking of minors and one count of attempted sex trafficking of minors. At trial, six victims, all runaways at the time they met Williams, testified that they worked or were recruited to work as prostitutes at Williams’ residence. According to the trial evidence, Williams sought out minor female runaways in his neighborhood and invited them to stay with him at his Fort Lauderdale residence, promising them food and shelter. Williams would then convince the girls to work as prostitutes, telling them that they could not stay for free but rather had to earn money to pay the bills. The victims testified that on most occasions, they were required to give Williams the money they collected for their prostitution services. Several of the victims testified that Williams provided them with illegal narcotics, including marijuana and crack cocaine, and that he engaged in or attempted to engage in sexual activity with them.
At the sentencing hearing, one of the victims read a letter she had written to the Court, describing the shame she still feels every day when she looks in the mirror. Another victim, only 12 when she was prostituted by Williams, wrote a letter to the Court in which she described the damage that she had suffered as a result of Williams’ actions, and wrote of her dream to one day meet and marry a sweet man.
Mr. Ferrer commended the investigative efforts of the FBI and the Fort Lauderdale Police Department. The case is being prosecuted by Assistant U.S. Attorneys Mark Dispoto and Corey Steinberg.
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.
Former “Panama Unit” Officers IndictedRead the Press Release
McALLEN, Texas – A federal grand jury has returned a six-count indictment against Jonathan Trevino, Alexis Rigoberto Espinoza, Fabian Rodriguez and Gerardo Mendoza-Duran, United States Attorney Kenneth Magidson announced today.
The indictment includes one count of conspiracy to possess with the intent to distribute more than five kilograms of cocaine, which charges all four men, as well as five substantive counts of attempting to aid and abet the possession with the intent to distribute cocaine. Espinoza and Duran are charged with four of the substantive counts, while Trevino and Rodriguez were indicted on one of those charges.
Trevino, 28, Espinoza, 29, Rodriguez, 28, and Mendoza-Duran, 30, were previously charged by criminal complaint last month and subsequently arrested following a multi-agency investigation conducted in 2012.
The indictment alleges Trevino and Espinoza, former officers with the Mission Police Department, along with Rodriguez and Duran, former deputies with the Hidalgo County Sheriff’s Office, attempted to utilize their positions as law enforcement personnel in order to assist drug traffickers with the distribution of cocaine. On several occasions in October and November 2012, the defendants allegedly provided protective escorts for suspected loads of cocaine as they traveled throughout Hidalgo County.
If convicted, the four face a minimum of 10 years imprisonment and a maximum of life in prison, along with a potential fine up to $10 million.
The case is being investigated by the FBI, Immigration and Customs Enforcement – Office of Professional Responsibility, Drug Enforcement Administration, Homeland Security Investigations, the Texas Rangers and Department of Justice – Office of the Inspector General. Assistant United States Attorneys Anibal Alanis and James Sturgis are prosecuting the case.
Former Murray County Sheriff's Deputy Indicted for Obstructing Civil Rights InvestigationRead the Press Release
ROME, Ga. – A former Murray County Sheriff’s Deputy has been indicted by a federal grand jury for obstructing a pending civil rights investigation while he was still employed as a Sheriff’s Deputy with Murray County. Joshua Lamar Greeson, 25, of Chatsworth, Georgia, will be arraigned today at 2 p.m., before United States Magistrate Judge Walter E. Johnson. The federal grand jury indicted Greeson on January 3, 2013.
United States Attorney Sally Quillian Yates said, “Greeson is charged with breaching the public trust by lying to agents and concealing information in order to obstruct a civil rights investigation. Now, he faces his own federal charges and potential time in federal prison. Our office is continuing to work with our law enforcement partners to investigate this important matter.”Mark F. Giuliano, Special Agent in Charge, FBI Atlanta Field Office, stated: “The conduct alleged in this indictment is a clear breach of the public trust by a law enforcement officer whom we rightfully hold to a higher standard. Understanding the importance of this trust, the FBI remains committed to bringing forward for prosecution any such similar allegations of criminal conduct.”
“The Georgia Bureau of Investigation aggressively investigates alleged criminal activity by law enforcement officers. The State of Georgia will not tolerate criminal activity by those officials with the duty to enforce its laws,” said Vernon Keenan, GBI Director.
According to United States Attorney Yates, the charges and other information presented in court, on August 14, 2012, then Murray County Sheriff's Department Deputy
Joshua Greeson performed a traffic stop on a vehicle in Murray County, Georgia. During the traffic stop, Greeson found methamphetamine in a metal can hidden under the driver's side rear wheel well of the vehicle. After locating the drugs, Greeson arrested both the front seat passenger who owned the vehicle and the driver. Shortly thereafter, GBI agents received information that the drugs had been planted under the vehicle by another individual (not Greeson) in order to falsely inculpate the vehicle owner.On August 23, 2012, when GBI agents interviewed Greeson, he allegedly lied to them regarding information he had previously received concerning a lookout on this vehicle. Agents later learned that Greeson had deleted information relevant to the investigation from his cell phone. Greeson was fired from the Sheriff’s Department on August 29, 2012.
The charges each carry a maximum statutory penalty of 20 years in prison and a fine of up to $250,000. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
Members of the public are reminded that the indictment 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 Special Agents of the Federal Bureau of Investigation and the Georgia Bureau of Investigation.
Assistant United States Attorneys Michael Herskowitz, Jeffrey Davis, and Timothy Storino 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.
(Download Greenson Indictment )
Former Dallas Firefighter Sentenced to 46 Months in Federal Prison for Robbing A Chase Bank in Dallas in April 2012Read the Press Release
DALLAS — Jesus Ventura, 37, of Irving, Texas, was sentenced this morning by U.S. District Judge Ed Kinkeade to 46 months in federal prison following his guilty plea in September 2012 to one count of bank robbery, announced U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to the factual resume filed in the case, on April 10, 2012, Ventura robbed the Chase Bank, located at 1881 Sylvan Avenue in Dallas.
The affidavit filed with the criminal complaint states that when Ventura entered the bank, he asked an employee if he could use the restroom. The employee provided Ventura with the door code and informed him that the restroom was located in the office building’s lobby. Ventura left the bank lobby, but soon returned and was greeted by a teller offering her assistance. Ventura replied in a low-toned voice, “I am sorry to do this to you, I really am. Give me all the money.”
The affidavit further states that the teller, who had only been employed at the bank for two weeks, stared at the robber, and he repeated several more times for her to give him the money. She stood at the counter, and Ventura’s voice became more aggressive when he said, “Give me all the money” and raised his black backpack as he continued demanding money. The teller feared that he had a weapon in the backpack. She gave Ventura the money and he took a $20 bill from the money and slid it underneath the glass to the teller and stated, “Here is a tip for you.”
Officers with the Dallas Police Department (DPD) arrested Ventura a short time after the robbery. Officers recovered no weapon, but recovered the black backpack and the money stolen from Chase Bank.
The FBI and the DPD investigated; Assistant U.S. Attorney Keith Robinson was in charge of the prosecution.
Former Consultant Wesley Wang Sentenced in Manhattan Federal Court for Insider TradingRead the Press Release
Preet Bharara, the United States Attorney for the Southern District of New York, announced that WESLEY WANG, a former consultant with Trellus Management, was sentenced today to two years of probation for his participation in insider trading schemes in which WANG provided material, nonpublic information (“Inside Information”) about various publicly-traded companies to several individuals, including Doug Whitman, the president and founder of Whitman Capital. WANG pled guilty in July 2012 to two counts of conspiracy to commit securities fraud pursuant to a cooperation agreement with the government. He was sentenced in Manhattan federal court by U.S. District Judge Jed S. Rakoff.
According to the Information, statements made during WANG’s guilty plea proceeding, WANG’s testimony during the criminal trial of Doug Whitman, and the Government’s sentencing submission in WANG’s case:
From 2005 through 2008, WANG provided Whitman, among others, Inside Information on Cisco with the understanding that Whitman would use the Information to trade securities. In exchange for this Inside Information, Whitman provided WANG with Inside Information on other publicly-traded companies, including Marvell and Polycom, which WANG in turn provided to others. In addition, from 2002 to 2005, WANG was involved in a separate conspiracy, in which he exchanged Inside Information about various publicly traded companies with other individuals, with the expectation the information would be used to trade securities.
In addition to his probation, WANG, 39, was ordered to pay a $200 special assessment fee.
Whitman was convicted in a jury trial on August 20, 2012 of four counts of conspiracy and securities fraud.
Mr. Bharara praised the investigative work of the Federal Bureau of Investigation. He also thanked the U.S. Securities and Exchange Commission.
This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force, on which Mr. Bharara serves as a Co-Chair of the Securities and Commodities Fraud Working Group. 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 case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Christopher L. LaVigne and Jillian Berman are in charge of the prosecution.
Former Chief of St. Clair Fire Protection District and Ladue Fire Department Indicted on Federal Fraud and Tax ChargesRead the Press Release
St. Louis, MO - Eric Hinson was indicted on fraud and multiple tax evasion charges involving his alleged misuse of approximately $593,236 of St. Clair Fire Protection District funds between January 2006 and September 2011. As a result of the federal investigation, Hinson resigned his positions as Chief at both the St. Clair Fire Protection District and the Ladue Fire Department.
The St. Clair Fire Protection District (District) provides fire protection service for Franklin County, Missouri, and has four fire houses, 18 full-time fire fighters and between 25-50 volunteer fire fighters. The District is primarily funded by public funds, through real estate tax, personal property tax and sales tax. Eric Hinson began with the District as a volunteer firefighter during 1985, was elected to the Board of Directors for the District in 1997, and as Treasurer of the District in 1999. During January, 2011, he became the Fire Chief for the District while continuing to perform his duties as Treasurer until his resignation from the District on September 28, 2011. As Treasurer, Hinson was responsible for preparing the annual budgets, facilitating the annual financial statement audit, gaining approval from the District's Board of Directors for expenditures, reconciling bank statements and performing other accounting related activities, in the QuickBooks general ledger system, other than for payroll. He also had the ability to access the QuickBooks system remotely from outside the District offices.
According to the indictment, Hinson used the District credit cards to pay for family vacations to Hawaii and Florida, to pay for personal items such as sporting goods and other items, limousine rentals, tickets to Six Flags, Big Surf Water Park and other entertainment expenses, restaurant meals, gasoline and hotel rooms, as well as to obtain significant cash advances. Without the knowledge and authority of the District, Hinson directed that these personal credit card charges be paid with District funds. Further, on several occasions, Hinson wrote District checks to pay for his own personal expenses, including checks to Ford Credit for a pickup truck, to Macy's for furniture, to John Deere Credit for tractor parts and checks to Bank of America and Fifth Third Bank for other personal expenses. The indictment states that in order to conceal his scheme, Hinson accessed the District's QuickBooks to alter reported general ledger activity by backdating certain of his fraudulent transactions and by changing the payee in order to manipulate the District's accounting records so as to hide the existence of his fraudulent transactions. Through his fraudulent conduct, Hinson obtained approximately $593,236 from the St. Clair Fire Protection District.
Additionally, the indictment alleges that Hinson filed false tax returns for five years, 2006 through 2010, under reporting his taxes during those years in a combined amount of approximately $400,000.
ERIC HINSON, St. Clair, MO, was indicted by a federal grand jury today on one felony count of mail fraud and five felony counts of tax evasion.
If convicted, mail fraud carries a maximum penalty of 20 years and a fine of up to $250,000; each count of tax evasion carries a maximum penalty of 5 years and a fine of up to $100,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Federal Bureau of Investigation and Internal Revenue Service Criminal Investigation. Assistant United States Attorney Hal Goldsmith is handling the case for the U.S. Attorney's Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Flint Store Owner Sentenced for Conspiracy to Commit Food Stamp FraudRead the Press Release
A 55-year-old Flint man was sentenced to more than four years in prison and more than $600,000 in restitution on Jan. 8, 2013, for conspiring to commit food stamp fraud, U.S. Attorney Barbara L. McQuade announced today.
McQuade was joined in the announcement by Joe N. Smith, Special Agent in Charge of USDA - Office of Inspector General and Robert D. Foley, III, Special Agent in Charge of the Federal Bureau of Investigation in Detroit.
U.S. District Judge Mark A. Goldsmith sentenced Noha T. Fofana to 51 months in federal prison to be followed by a three-year term of supervised release. Fofana was also ordered to pay $612,980.96 in restitution to the USDA-Food and Nutrition Service. This amount is to be paid jointly and severally with Fofana’s co-defendant, Akhir K. McFarland, who was sentenced on Dec. 18, 2012, to 16 months in federal prison for his participation in the conspiracy.
Evidence introduced during the trial established that Fofana, the owner of Mandingo African Market, redeemed more than $750,000 in food stamp benefits from February 2009 to July 2011, approximately $612,000 of which was obtained utilizing fraudulent "food stamps-for-cash" exchanges. The U.S. Department of Agriculture -- Office of Inspector General, (USDA-OIG) which funds the food stamp program, calculated that during that same time period, Mandingo's average food stamp redemption amount was $26,798 per month - compared to an average of $5,479 monthly redemption for other convenience stores in the area.
Witnesses testified during the trial that Fofana and others conspired to fraudulently submit bridge card numbers for cash benefits. Members of the conspiracy agreed to pay customers, including undercover law enforcement agents, roughly 50 cents for each $1 charged against their cards.
USDA-OIG Special Agent in Charge Joe N. Smith stated, "The Office of Inspector General (OIG) will continue to dedicate resources to the investigation of retailers who commit fraud in vital USDA food assistance programs. OIG's objectives are to protect the integrity of USDA nutrition assistance programs such as Supplemental Nutrition Assistance Program and to stop unscrupulous retailers such as Noha Fofana from taking advantage of low-income individuals during these tough economic times. As we conduct fraud investigations throughout the State of Michigan, we appreciate the support of our Federal and State law enforcement partners and the U.S. Attorney's Office's long-term commitment to prosecuting crimes against SNAP."
FBI Special Agent in Charge Foley stated, “"Crimes involving food stamp fraud steal funds from a system designed to feed those in need. The FBI is committed to stopping this type of illegal activity."
“Taxpayers fund food stamps to provide food for the needy, not to create a revenue stream for store owners,” McQuade said. “We hope that other merchants will become aware of prosecutions like this one and be deterred from engaging in similar fraud schemes.”The case was investigated by special agents from the United States Department of Agriculture-Office of Inspector General and special agents of the FBI.
The case was prosecuted by the Flint branch of the United States Attorney’s Office for the Eastern District of Michigan.
Five Bridgeport Men Sentenced to Federal PrisonRead the Press Release
January 9, 2013David B. Fein, United States Attorney for the District of Connecticut, today announced that five Bridgeport men charged as a result of an FBI Bridgeport Safe Streets Task Force and Connecticut State Police Statewide Narcotics Task Force investigation into narcotics trafficking activity and violent criminal activity in and around the Trumbull Gardens housing complex in Bridgeport have been sentenced by Chief United States District Judge Alvin W. Thompson in Hartford.
Today, MICHAEL NEWSOME, also known as “Cream” and “DooDoo,” 29, was sentenced to 30 months of imprisonment, and RAHSHIM CARTER, also known as “Jinks” and “Mace,” 24, was sentenced to 18 months of imprisonment. On Monday, January 7, HASSAN ROGERS, also known as “Boobie,” 41, was sentenced to 30 months of imprisonment, JAMIEL THOMPSON, also known as “Jamil” and “Tre,” 23, was sentenced to 18 months of imprisonment, and ALEX SANTANA, 19, was sentenced to 10 months of imprisonment followed by four months of community detention.
The investigation revealed that several individuals were selling narcotics from parking lots within Trumbull Gardens and utilized lookouts to detect the presence of law enforcement. Between June 2011 and May 2012, Task Force officers made dozens of controlled purchases of narcotics from ROGERS, his sons THOMPSON and CARTER, and NEWSOME, who is THOMPSON’s uncle. During the investigation, officers also purchased a semi-automatic handgun, through ROGERS, from SANTANA.
On May 9, 2012, one individual was killed by multiple gunshots and another was shot in the chest and abdomen while visiting the Trumbull Gardens housing complex. On May 24, 2012, federal arrest warrants were issued after the government adopted pending state charges against the five defendants. To date, no one has been charged in the shooting incident.
NEWSOME, CARTER, ROGERS and THOMPSON each previously pleaded guilty to one count of possession with intent to distribute and distribution of heroin. SANTANA pleaded guilty to one count of illegally engaging in the business of dealing in firearms.
Each of the defendants will serve a three-year term of supervised release following their release from prison. They have been detained since their arrests on May 24, 2012.
This matter has been investigated by the FBI’s Bridgeport Safe Streets Task Force, which includes the Bridgeport, Norwalk, and Trumbull Police Departments, in coordination with the Connecticut State Police Statewide Narcotics Task Force. The case is being prosecuted by Assistant United States Attorneys Tracy Lee Dayton and Rahul Kale.
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[email protected]Financial Planner Sentenced on Tax ConvictionsRead the Press Release
A financial planner from Richfield was sentenced to eight months of home confinement after previously pleading guilty to two counts of willful failure to file tax returns, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Darryl Williams, Special Agent in Charge of the Internal Revenue Service – Criminal Investigations office in Cincinnati.
Jon D. Zapisek, 41, worked as a financial planner for John Hancock Financial between 2006 and 2010. During that time, he failed to report more than $600,000 in taxable income, which resulted in more than $100,000 in unpaid taxes, according to court documents.
Zapisek was also ordered to pay restitution.
This case is being prosecuted by Assistant U.S. Attorney Justin J. Roberts following an investigation by the Internal Revenue Service – Criminal Investigations.