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13 February 2013
Convenience Store and Cellular Telephone Store Robber SentencedRead the Press Release
GREENVILLE - United States Attorney Thomas G. Walker announced that in federal court today Senior United States District Judge Malcolm J. Howardsentenced JAMES ARTHUR ACKLIN, JR., 21, of Greenville, North Carolina, to 228 months imprisonment and 5 years of supervised release. ACKLIN was also ordered to pay restitution, in the total amount of $6,871.08. ACKLIN was sentenced for his role in a 12-day spree of seven convenience store and cellular telephone store robberies in and around Greenville in April and May of 2011.
On April 22, 2011, ACKLIN robbed, at gunpoint, the Wilco-Hess convenience store on South Memorial Drive in Greenville, netting $771.00. On April 25, 2011, ACKLIN robbed, at gunpoint, the Kangaroo Express convenience store on Charles Boulevard in Greenville, netting $176.68. On April 27, 2011, ACKLIN robbed, at gunpoint, the Kangaroo Express convenience store on Eastern Pines Road in Greenville, netting $96.46. On April 28, 2011, ACKLIN robbed, at gunpoint, the Kangaroo Express convenience store on Southeast Greenville Boulevard in Greenville, netting $66.00. On April 29, ACKLIN, along with Julius Deshawn Hobbs, robbed, at gunpoint, the Sunshine Wireless store on Third Street in Ayden, netting $3,288.97. On May 2, 2011, ACKLIN, again with Hobbs, robbed, at gunpoint, the U.S. Cellular store on Winterville Parkway in Winterville, netting $1,393.00. Finally, on May 3, 2011, ACKLIN, along with Hobbs and Marquail Earl Mouring, robbed, at gunpoint, the U.S. Cellular store on Southwest Greenville Boulevard in Greenville, netting $1,080.00.
On November 8, 2012, ACKLIN pled guilty to seven counts of Hobbs Act Robbery, in violation of Title 18, United States Code, Section 1951, and a count of using or carrying a firearm during and in relation to a crime of violence, or possessing a firearm in furtherance of a crime, in violation of Title 18, United States Code, Section 924(c)(1)(A).
Co-defendant Julius Deshawn Hobbs of Greenville was previously sentenced to 132 months for his role in the three cellular telephone store robberies. Co-defendant Marquail Earl Mouring was previously sentenced to 108 months for his role in the May 3, 2011 robbery of the U.S. Cellular store on Greenville Boulevard in Greenville.
This case was part of the Project Safe Neighborhoods (PSN) initiative which encourages federal, state, and local agencies to cooperate in a unified “team effort” against gun crime, targeting repeat offenders who continually plague their communities.
Investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Greenville Police Department, the Ayden Police Department, and the Pitt County Sheriff’s Office. Assistant United States Attorney John Bennett is prosecuting the case.
Consultant for the Florida Department of Transportation Pleads Guilty to Accepting A BribeRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Jose A. Gonzalez, Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Marlies T. Gonzalez, Special Agent in Charge, U.S. Department of Transportation, Office of Inspector General, announced that defendant Ron Capobianco, Jr., 40, of Pompano Beach, pled guilty today to committing bribery in connection with programs receiving federal funds, in violation of Title 18, United States Code, Section 666. At sentencing, the defendant faces up to ten years imprisonment, three years supervised release and a $250,000 fine. Sentencing has been scheduled for May 7, 2013, at 8:30 a.m.
According to documents filed with the court, the defendant worked as a construction engineering and inspection consultant at an engineering company, which specialized in the transportation industry. The Florida Department of Transportation (FDOT) contracted with this company to provide services, including designing, inspecting, and troubleshooting the construction of roads, signs, and traffic signals. Because of his position and expertise, the defendant was consulted as an FDOT expert on certain aspects of signalization and lighting construction, including the use of video detection cameras for traffic signalization and control.
Furthermore, according to court documents, in 2009, FDOT began a road construction project along Highway 1 in the Florida Keys -- the Marathon Key project -- which was designed to improve traffic flow. The defendant agreed to accept a bribe from a subcontractor working on this project. In May 2009, an agent of the subcontractor offered to pay the defendant a bribe if the subcontractor received at least $25,000 for the installation of the video detection equipment. The defendant agreed to the subcontractor’s $25,000 estimate for the installation of the video detection devices, thus enabling the subcontractor to make a significant profit. The subcontractor’s estimate was approved and subsequently paid by the State of Florida after the installation of the video detection equipment. In May 2009, the defendant met with an agent of the subcontractor and was paid $4,000 for his assistance to the subcontractor on this project.
Mr. Ferrer commended the investigative efforts of the FBI, IRS-CI, and the U.S. Department of Transportation, Office of Inspector General, in connection with the investigation of this matter. The case is being prosecuted by Assistant U.S. Attorney Jeffrey N. Kaplan.
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.
Colorado Big Game Outfitter Sentenced to Prison for Six Lacey Act FeloniesRead the Press Release
Big game hunting outfitter Dennis Eugene Rodebaugh, 72, of Meeker, Colo., was sentenced in Denver today to 41 months in prison to be followed by three years supervised release for six felony counts of violating the Lacey Act, announced the Department of Justice Environment and Natural Resources Division, the U.S. Fish and Wildlife Service and Colorado Parks and Wildlife. District Judge Christine M. Arguello also sentenced Rodebaugh, to pay a $7,500 fine to the Lacey Act reward fund and $37,390 in restitution to the state of Colorado for the value of illegally taken elk and deer.
Rodebaugh was found guilty by a jury in September 2012 of aiding and abetting six violations of the Lacey Act by providing outfitting and guiding services from salt-baited tree-stands between 2005 and 2007. Beginning in 1988, Mr. Rodebaugh began offering multi-day elk and deer hunts to out-of-state clients on the White River National Forest through his outfitting business, called “D&S Guide and Outfitter,” for between $1,200 and $1,600.
Rodebaugh's assistant guide, Brian Kunz, was also sentenced today. He previously pleaded guilty to two misdemeanor counts of violating the Lacey Act while working for Rodebaugh. Based on his acceptance of responsibility and the government’s motion for downward departure based on his cooperation, the court sentenced Mr. Kunz to time served (one day) and one year of probation plus a $2,000 fine
Each spring and summer, Mr. Rodebaugh placed hundreds of pounds of salt as bait near the tree-stands from which his clients would hunt deer and elk with archery equipment. The placement and use of salt to aid in the taking of big game is unlawful in Colorado. The interstate sale of big game outfitting and guiding services for the unlawful taking of big game with the aid of bait constitutes a violation of the Lacey Act.
This case was investigated by Colorado Parks and Wildlife and the U.S. Fish and Wildlife Service.The case was prosecuted by Senior Trial Attorney J. Ronald Sutcliffe and Trial Attorney Mark Romley, of the Justice Department’s Environmental Crimes Section of the Environment and Natural Resources Division.
Cleveland Man Faces Additional Charge of Being A Felon in Possession of A FirearmRead the Press Release
A superseding indictment was filed adding an additional charge of being a felon in possession against Raymone “Ramone” Clements, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Clements, 42, of Cleveland, was indicted last month on a charge of being a felon in possession of ammunition. Clements was found to have one round of .357-caliber ammunition and two rounds of .22-caliber ammunition on Dec. 20, 2012, despite previous convictions in the Cuyahoga County Court of Common Pleas for rape (2006), drug trafficking (2003) and aggravated robbery (1991), according to the indictment.
A second count has been added, charging that on or about Jan. 17, 2013, Clements had possession of a Rossi, Model Garrucha, .22-caliber Derringer, serial number 307228, despite the aforementioned convictions.
“This office places a high priority on keeping firearms and ammunition out of the hands of those who are forbidden by law from obtaining them,” Dettelbach said. “Whether is a person using a gun to commit a violent crime, a felon illegally obtaining ammunition or a straw purchaser trying to circumvent the law, we will aggressively pursue those who would violate our nation’s firearms laws.
"We will continue to work side by side with our federal, state, county and local law enforcement partners to make sure those individuals who illegally possess firearms and/or ammunition are held accountable for their actions,” said ATF Special Agent in Charge Robin Shoemaker, Columbus Field Division.
The Unites States Attorney’s Office for the Northern District of Ohio filed 176 indictments for violations of federal firearms laws last year, with the average sentence being more than six years in prison.
This case is being prosecuted by Assistant U.S. Attorney Kelly L. Galvin following an investigation by Bureau of Alcohol, Tobacco, Firearms and Explosives and Cleveland Heights Police Department.
The charge carries a maximum penalty of 10 years in prison. If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal records, the defendant’s role in the offenses and the characteristics of the violation.
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.
Career Offender Sentenced to over 14 Yeas in Len Bias Case - Distribution of Heroin Resulting in DeathRead the Press Release
PORTLAND, Ore. - Jacob Tolman, 34, of Portland, Oregon, was sentenced today by United States District Judge Ancer Haggerty to 175 months in prison, to be followed by a four-year term of supervised release. The federal charges were brought after an investigation led by the Clackamas County Sheriff's Office Interagency Task Force (CCITF), which committed experienced narcotics investigators and significant agency resources immediately upon discovery of a heroin overdose victim, Zachary Holland. Holland, 23, a resident of Milwaukie, Oregon, was found dead on Saturday, November 5, 2011. Investigators found drug paraphernalia and residue quantities of black tar heroin. Holland was among the record number of individuals - 143 - who died from heroin overdoses in Oregon in 2011. According to family members, Holland began using heroin after he became dependent on prescription painkillers. Prior to his death, Holland made several attempts to fight his heroin addiction, including attending drug treatment therapy.
According to prosecutors, Tolman is a career offender based on his prior felony convictions. At the time of this offense, Tolman had just been granted pretrial release in Clackamas County where he was pending charges for unlawful distribution of oxycontin. "Heroin continues to wreak havoc on this community, and I applaud the effort of our partners in the Clackamas County Interagency Task Force for their great work in this case and many other investigations that target those who distribute this poison," said U.S. Attorney Amanda Marshall. "Today's 175-month sentence for this defendant is the highest sentence obtained to date in Len Bias cases brought in the District of Oregon. It is our hope that these stiff penalties will dissuade drug dealers who prey on desperate and vulnerable addicts."
The United States Attorney's Office and the Clackamas County District Attorney's Office have made the investigation and prosecution of drug overdose cases a high priority due to the devastating impact drug distribution has in Oregon. Several significant drug dealers who would have otherwise gone undetected, have been arrested, successfully prosecuted, and sentenced to prison in both state and federal court as a result of this combined state and local effort to investigate and prosecute drug overdose deaths.
The case was prosecuted by Assistant U.S. Attorney Leah K. Bolstad and Special Assistant U.S. Attorney Steven Mygrant of the Clackamas County District Attorney's Office.
CEO Charged in Multi-Million Dollar Embezzlement ScamRead the Press Release
Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, and Kathy Fernandez Rundle, State Attorney for Miami-Dade County, jointly announced the filing of a federal and state charges against defendant Kathryn Abbate, 64, of Hollywood, Florida.
Abbate is charged by Information in the federal case with theft of money from programs receiving federal funds, in violation of Title 18, United States Code, Section 666. If convicted, Abbate faces up to 10 years imprisonment, three years of supervised release, a fine of up to $250,000, and she may be ordered to pay restitution.
In the state case, Abbate is charged by Information with one count of an organized scheme to defraud and one count of grand theft in the first degree, in violation of Florida Statutes Sections 817.034(4)(a)1 and 812.014(2)(a). If convicted, Abbate faces up to 30 years imprisonment.
U.S. Attorney Wifredo A. Ferrer said “Holding accountable those who steal from the federal government for personal profit is one of my top priorities. Kathryn Abbate, the former CEO of the Miami Beach Community Health Center, was charged today with stealing federal funds from the most vulnerable among us – the sick, the elderly and the poor. We will not relent in our efforts to charge individuals who use the health care system to line their own pockets. Our investigation remains ongoing.”
Kathy Fernandez Rundle, State Attorney for Miami-Dade County, said “There is no excuse for the theft of funds intended to heal the sick and the poor of our community. Every stolen dollar took a part of a sick person’s future. I am gratified that the State Attorney’s Office, the United States Attorney’s Office and the Miami-Dade Office Inspector General were able to develop the evidence to charge the responsible individual and to help correct an oversight system that allowed this theft to happen.”
According to the Information filed in U.S. District Court, from 2008 to 2012, Abbate was the Chief Executive Officer of the Miami Beach Community Health Center (“MBCHC”). MBCHC was a federally qualified Health Center, which is a community-based organization that provides medical care to persons regardless of ability to pay, with locations in Miami Beach and North Miami, Florida. To carry out its mission, MBCHC was funded by federal, state, and local grants, as well as private donors. MBCHC received federal funds from the U.S. Department of Health and Human Services.
Furthermore, according to the Information filed in U.S. District Court, Abbate embezzled money from MBCHC when she obtained unauthorized compensation by causing MBCHC to issue unaccrued vacation pay to her that was not approved nor authorized by the Board of Directors. Abbate also caused MBCHC to disburse millions of dollars in over eight hundred checks made payable to her for “community development.” Funds from these checks were subsequently misappropriated by Abbate. Furthermore, Abbate knowingly provided fraudulent documentation to MBCHC’s auditors which falsely indicated that one million dollars of these funds were paid to five doctors. The aggregate value of the property under the care, custody and control of MBCHC that the defendant is charged with embezzling was several million dollars.
U.S. Attorney Ferrer and State Attorney Rundle thanked the law enforcement agencies involved in this investigation, as well as MBCHC for its cooperation in the investigation. The Federal case is being prosecuted by Assistant U.S Attorneys Michael N. Berger and Patrick Sullivan. The State case is being prosecuted by Assistant State Attorneys Marie Perikles and Tim Vandergiesen.
An Information is only an accusation and a defendant is presumed innocent unless and until proven guilty.
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.
Bowie Realtor Pleads Guilty to $2 Million Mortgage Fraud SchemeRead the Press Release
Greenbelt, Maryland - Michael Abobor, age 38, of Bowie, Maryland, pleaded guilty late yesterday, on what would have been the first day of his trial, to wire fraud in connection with a mortgage fraud scheme involving intended losses of at least $2 million.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Inspector General Jon T. Rymer of the Federal Deposit Insurance Corporation; Special Agent in Charge David Beach of the United States Secret Service – Washington Field Office; and Special Agent in Charge Joe Clarke of the Housing and Urban Development Office of Inspector General - Office of Investigations.
According to his plea agreement, in the Spring and Summer of 2007, Abobor, a licensed realtor, submitted fraudulent loan applications for the purchase of homes in Maryland. Abobor purchased two homes in his own name, and purchased the rest of the homes using the names, and credit, of various friends and family members. Each loan application contained fraudulent information about the borrower’s earnings (including their monthly income and their assets) and employers, of which Abobor had full knowledge. Some of these applications contained fake documents, like doctored W-2s and paystubs; and all of them alleged that the borrower made much more money than he or she really did. Based on these fraudulent application materials, the victim lending institutions funded loans that totaled hundreds of thousands of dollars, resulting in substantial commission payments to Abobor. Eventually, each of these loans fell into default, causing large losses to the victims. Abobor also collected large amounts of money in additional payments funded by the mortgages that were disguised as “renovation payments.”
For example, on July 25, 2007, Abobor facilitated the purchase of a home in Bowie, and while serving as the buyer’s real estate agent, knowingly submitted a false loan application on the buyer’s behalf. The loan application, among other things, vastly inflated the buyer’s monthly income figures. Relying upon these false representations, the lending institution funded a loan of $375,000. As part of this transaction, Abobor received a commission payment of $5,499, and also received over $37,000 in “renovation” payments.
In all, Abobor arranged at least seven fraudulent real estate transactions, caused more than $2,000,000 in intended losses to victim financial institutions, took in excess of $20,000 in fraudulent real estate commissions, and collected over $270,000 in extra money from the transactions in the form of third party disbursements for renovations that were never completed.
Abobor faces a maximum sentence of 30 years in prison and a fine of $1 million. As part of his plea agreement, Abobor will be ordered to forfeit$2,026,205, and the order of forfeiture may include assets directly traceable to his offenses, substitute assets, and/or a money judgment equal to the value of the property derived from, or involved in, the scheme. U.S. District Judge Peter J. Messitte scheduled Abobor’s sentencing for April 18, 2013.
The Maryland Mortgage Fraud Task Force was established to unify the agencies that regulate and investigate mortgage fraud and promote the early detection, identification, prevention and prosecution of mortgage fraud schemes. This case, as well as other cases brought by members of the Task Force, demonstrates the commitment of law enforcement agencies to protect consumers from fraud and promote the integrity of the credit markets. Information about mortgage fraud prosecutions is available www.justice.gov/usao/md/Mortgage-Fraud/index.html.
Today’s announcement is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.
United States Attorney Rod J. Rosenstein praised the FDIC Office of Inspector General, U.S. Secret Service and the Department of Housing and Urban Development Office of Inspector General for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Sujit Raman and Sean B. O’Connell, who are prosecuting the case.
Blairsville Woman Pleads Guilty in Heroin Trafficking ConspiracyRead the Press Release
Johnstown, Pa. - A resident of Blairsville, Pa., pleaded guilty in federal court to a charge of violating federal narcotics laws, United States Attorney David J. Hickton announced today.
Kimberly Cassidy, 40, pleaded guilty to one count before United States District Judge Kim R. Gibson.
In connection with the guilty plea, from the spring of 2011 to May 15, 2012, Cassidy, along with co-defendants, conspired to distribute and possess with intent to distribute heroin.
Judge Gibson scheduled sentencing for June 27, 2013, at 10:30 a.m. The law provides for a maximum total sentence of 20 years in prison and a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation, the Pennsylvania State Police and the Indiana Police Department conducted the investigation that led to the prosecution of Cassidy. Other agencies participating in this investigation included the Pennsylvania Attorney General’s Office, the Cambria County Drug Task Force, the Cambria County Sheriff’s Department, the Cambria County District Attorney’s Office, the Indiana County Drug Task Force, and the Indiana County District Attorney’s Office.
Baltimore Drug Supplier Exiled to over 19 Years in Prison on Gun and Drug ChargesRead the Press Release
Baltimore, Maryland - U.S. District Judge William D. Quarles, Jr., sentenced Barry Thomas, age 51, of Baltimore, Maryland, today to 235 months in prison followed by five years of supervised release for possession of a firearm in furtherance of drug trafficking. Judge Quarles enhanced Thomas’ sentence upon finding that he is a career offender based on two previous drug trafficking convictions.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Robert Brisolari of the Drug Enforcement Administration - Washington Field Division; Baltimore City State’s Attorney Gregg L. Bernstein; and Commissioner Anthony W. Batts of the Baltimore Police Department.
According to Thomas’ plea agreement, in November 2009, Thomas supplied heroin and cocaine to co-defendant LaKeisha Holloway. Co-defendant Darryl Chase assisted Thomas. For example, on November 6, 2009, Holloway called Thomas and arranged to obtain heroin and cocaine from Thomas and Chase. Thomas and Holloway again spoke by phone later in the day to finalize the order and make arrangements to meet in Baltimore the next day.
On November 7, 2009, Thomas’ vehicle was stopped by law enforcement in the 700 block of North Longwood Street in Baltimore, near the location at which Holloway and Thomas had agreed to meet. The car was being driven by Thomas and Darryl Chase was in the front passenger seat. A search of the Toyota Avalon recovered two bags of heroin and one bag of cocaine in the center console, with a 9mm handgun found directly next to the bags of drugs. A subsequent lab analysis confirmed that two bags contained a total of 44.73 grams of heroin, and the third bag contained 7.42 grams of cocaine.
LaKeisha Holloway, age 32, and Darryl Chase, age 53, both of Baltimore, pleaded guilty to their roles in the drug trafficking scheme and were sentenced to 12 years in prison and 37 months in prison, respectively.
United States Attorney Rod J. Rosenstein commended the DEA, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in this investigation. Mr. Rosenstein thanked Assistant United States Attorney Ayn B. Ducao, who prosecuted the case.
Abel “Alex” Alvarez 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 February 12, 2013, before U.S. Magistrate Judge Keith Strong, ABEL "ALEX" ALVAREZ, a 51-year-old resident of Box Elder, pled guilty to aggravated sexual abuse. A sentencing date will be set at a later time. 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:
In late spring of 2011, ALVAREZ had unlawful sexual contact with a 9-year-old child. The incident happened on the Rocky Boy's Indian Reservation and the child is an enrolled tribal member.
ALVAREZ faces possible penalties of life in prison, a $250,000 fine and lifetime supervision.
The investigation was conducted by the Federal Bureau of Investigation.
28 Arrested and 19 Firearms Seized Following Investigation of Suspected Methamphetamine TraffickersRead the Press Release
A contingent of 150 federal, state and local law enforcement officials arrested 28 people and seized 19 firearms early yesterday – including fully-automatic and semi-automatic assault rifles, silencers and high-capacity magazines - in connection with a year-long investigation of major methamphetamine traffickers.
Many of the defendants are scheduled to be arraigned before U.S. Magistrate Judge David Bartick at 1:30 p.m. today. Prosecutors will be available for interviews after court.
The arrests – from Spring Valley, La Mesa and Jamul to National City, Chula Vista and San Diego - were based on three grand jury indictments of 33 suspected methamphetamine traffickers unsealed in federal court Tuesday. The charges include conspiracy to distribute controlled substances, distribution of methamphetamine and possession of methamphetamine with intent to distribute. Three defendants were still at large.
During the predawn raids, agents seized about 26 pounds of methamphetamine with an estimated $291,200 street value; a pound of cocaine with estimated $12,800 street value; $151,000 in cash; plus weapons that included an AR-15, a TEC 9, a Glock semi-automatic handgun, bolt action rifles and five silencers. Eight of the guns and the silencers were found at one home on Millar Ranch Road in Jamul. Authorities also discovered indoor marijuana grows with hundreds of plants in two apartment units in Spring Valley.
The investigation, dubbed “Red Menace,” involved federal wiretaps, undercover drug buys and extensive surveillance. Numerous defendants are documented members of gangs, including Skyline, Emerald Hills and Oriental Killer Boys. Rival criminal street gangs often cross gang affiliation for the purpose of facilitating drug distribution.
The arrests are the latest in a series of large-scale multi-agency crackdowns on street gang activity in San Diego County neighborhoods. Including yesterday’s action, more than 180 defendants have been charged in various federal gang prosecutions since January 2012, with more than 80 guilty pleas so far. Most charges are drug- and gun- related; Sentences have ranged from 10 to 21 years in federal prison.
“We are committed to keeping neighborhoods out of the clutches of gang members who deal in drugs and who stash deadly, high-powered automatic weapons in their homes, next door to unwitting neighbors,” said U.S. Attorney Laura Duffy.
U.S. Attorney Duffy praised the coordinated effort of the law enforcement agencies of the East County Regional Gang Task Force under the Organized Crime Drug Enforcement Task Force ("OCDETF") for the coordinated team effort culminating in the charges filed in these cases. The OCDETF program was created to consolidate and utilize all law enforcement resources in this country’s battle against major drug trafficking.
San Diego FBI Special Agent In Charge, Daphne Hearn, commented, “As our communities are faced with increasing threats of crime and violence, the FBI and our partners with the East County Regional Gang Task Force, will work together to confront these threats and make our communities safer.”
San Diego County Sheriff Bill Gore said, "This operation is on-going. It's a team effort that requires careful planning and persistent follow-through. Our aim is straightforward: take back communities for law abiding families and protect them from gang members and drug dealers who threaten their safety."
In the 1990s, San Diego County had the dubious distinction of being called the “Meth Capital” of the country, and East County was the hub of meth-related activity. Until recent years, methamphetamine was typically produced in small to medium quantities in local clandestine laboratories in homes, garages, storage units, apartments, and motel rooms.
Because of a law enforcement crackdown and policies that restrict access to ingredients needed to manufacture meth, San Diego County today has very few meth labs. But now, most of the methamphetamine available for sale here is linked to the sophisticated manufacturing and distribution operations of international drug cartels and local street gangs.
While law enforcement efforts have curtailed local manufacturing, methamphetamine use is still one of the biggest drug-related threats in the district - and the country.
And it’s coming across the border in significant quantities. While there has been a decline in the amount of marijuana and cocaine being smuggled through our district, there has been a significant increase in the amount of methamphetamine.
Border officials seized 427 loads of methamphetamine at San Diego ports of entry in FY 2012 compared to 364 in FY 2011. That’s a 17 percent increase. In Imperial County, the amount of methamphetamine seized jumped by almost 100 percent, from 745 kg to 1,442 kg.
DEFENDANTS Case Number: 13cr0492-GPC Pedro Millan
Carlos Contreras Sanchez
Laura Millan
Princeton Beon Franks
Eduardo Sanchez
Gilberto Lamas
Adolfo Siordia
Rosita Eunice Corrales - Fugitive
Nicholas Oliveri
William Kilmer
Stephanie Cleveland
James Cheevers
Raymond Lopez
Jasmine Millan
Daniel Erique Millan-Aispuro
Ascarelli LopezSummary of Charges
Title 21, United States Code, Sections 841(a)(1) and 846 - Conspiracy to Distribute Methamphetamine
Title 21, United States Code, Section 841(a)(1) - Possession of Methamphetamine With Intent To Distribute
Maximum Penalties: Life in Custody; Minimum Custody: 10 years; Maximum Fine: $4 million
Case Number: 13cr0491-GPCChristopher Robles
Summary of Charges
Sarat Sek - Fugitive
Ronald Bonoan
Shannon White
Robert Duren
Joshua Wayne McGuire
Robert McKinney
Alfredo Barias
Robert Young
David Marinelli
Cory Evans
Keith Lusk
Pamela Miranda
Scott Smith
Title 21, United States Code, Sections 841(a)(1) and 846 - Conspiracy to Distribute Methamphetamine
Title 21, United States Code, Section 841(a)(1) - Possession of Methamphetamine With Intent To Distribute
Maximum Penalties: Life in Custody; Minimum Custody: 10 years; Maximum Fine: $4 million
Case Number: 13cr0493-GPC
Roberto Carrillo Gonzalez
Cedric Gregory
Marcel Clady
Summary of Charges
Title 21, United States Code, Sections 841(a)(1) and 846 - Conspiracy to Distribute Methamphetamine
Title 21, United States Code, Section 841(a)(1) - Possession of Methamphetamine With Intent To
Distribute Maximum Penalties: Life in Custody; Minimum Custody: 10 years; Maximum Fine: $4 million
AGENCIES
Federal Bureau of Investigation
San Diego County Sheriff’s Department
La Mesa Police Department
San Diego County District Attorney’s Office
San Diego County Probation Department
El Cajon Police Department
San Diego Police Department
Chula Vista Police Department
Bureau of Alcohol, Tobacco, Firearms and Explosives
U.S. Immigration and Customs Enforcement, Homeland Security Investigations
U.S. Customs and Border Protection
U.S. Marshals Service
U.S. Border Patrol
California Highway Patrol
Drug Enforcement Administration’s Narcotics Task Force
Bureau of Prisons
Internal Revenue Service
An indictment or complaint itself is not evidence that the defendants committed the crimes charged.
The defendants are presumed innocent until the Government meets its burden in court of proving guilt beyond a reasonable doubt.
12 February 2013
Woodford County Man Sentenced to 14 Years for Distributing PornographyRead the Press Release
LEXINGTON, KY - A Woodford County man who posted child pornography videos on the internet for others to download was sentenced to 14 years in prison.
U.S. Senior District Judge Joseph M. Hood sentenced 31-year-old Juan Francisco Reyes-Ramos Monday for distributing child pornography. Judge Hood enhanced the defendant’s sentence because the defendant possessed images of child pornography that were sadistic and/or violent.
According to court documents, in May of 2012 a detective with the Kentucky State Police located child pornography videos available for download on the internet. . The videos contained images of prepubescent children engaged in sexually explicit conduct. The detective found that the videos were posted from an internet protocol (IP) address belonging to the defendant’s computer.
When investigators searched the defendant’s home, they found more than 3,000 child pornography images on his computer. Many of the images showed adults engaged in sexually explicit conduct with children.
Under federal law, Reyes-Ramos will have to serve at least 85 percent of his prison sentence. He pleaded guilty last November.
Kerry B. Harvey, U.S. Attorney for the Eastern District of Kentucky, Perrye Turner, special Agent in Charge, FBI; John R. Korkin, Special Agent in Charge, Department of Homeland Security Investigations-U.S. Immigration and Customs Enforcement and Rodney C. Brewer, Kentucky State Police Commissioner (KSP) jointly announced the sentence.
The investigation was conducted by the Kentucky State Police, FBI, and Department of Homeland Security Investigations-U.S. Immigration and Customs Enforcement.
Woman Sentenced for Theft of Public Money from FEMARead the Press Release
MINNEAPOLIS—Earlier today in federal court in St. Paul, a 30-year-old woman was sentenced for theft of public money from the Federal Emergency Management Agency (“FEMA”). United States District Court Judge Donovan W. Frank sentenced Vianca McCarter, of Kenner, Louisiana, to five years of probation on one count of theft of public money. In addition, McCarter mustl serve 100 hours of community service and pay $33,502 in restitution. McCarter was indicted on October 15, 2012, and pleaded guilty on October 30, 2012.
In her plea agreement, McCarter admitted that on September 12, 2005, she falsely represented to FEMA that she resided in New Orleans when Hurricane Katrina hit the Gulf Coast. She also falsely claimed that her residence and personal property was damaged by the disaster, and that she needed emergency rental assistance benefits. However, McCarter was residing in Minnesota when Hurricane Katrina hit on August 29, 2005. In fact, McCarter lived in housing subsidized by the Minnesota Metropolitan Council from October 2004 through November 2009.
Based on McCarter’s fraudulent application, from September 18, 2005, through October 25, 2007, FEMA awarded her a total of $34,102 in disaster assistance benefits to which she was not entitled because she did not reside in the area affected by Hurricane Katrina.This case was the result of an investigation by the U.S. Department of Housing and Urban Development, with cooperation of the Justice Department’s Hurricane Katrina Fraud Task Force. It was prosecuted by Assistant U.S. Attorneys John E. Kokkinen and Lola Velazquez-Aguilu.
Woman Indicted for Selling Stolen Items on EBayRead the Press Release
St. Louis, MO - Tammy Baggio was indicted for allegedly stealing products from local Sam’s Clubs and re-selling them on eBay. The indictment alleges that she stole merchandise from Sam’s Club locations in seven different states and sold that product to purchasers across the United States.
According to the indictment, between February and August 2012, Baggio visited Sam’s Club locations in a number states, including stores in the St. Louis and St. Charles areas. She would select either a large container, such as a trash can, or a cheap item that was packaged in large box, remove the contents and hide the box on shelves throughout the store. She then filled the empty box with more expensive products, usually electronics or a pet product known as Frontline. When she checked out the cashier scanned the box and charged her for the cheaper item. She then allegedly sold the items on eBay.TAMMY BAGGIO, St. Joseph, MO, was indicted by a federal grand jury in late January on one felony count of conspiracy to transmit stolen goods. She was arraigned in federal court earlier today.
If convicted, this charge carries a maximum penalty of five years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
Additionally, upon a finding of guilt, the defendant will be subject to a forfeiture allegation, which will require the forfeiture of money and property derived from the illegal activity.
This case was investigated by the Postal Inspection Service, the Des Peres Police Department, and Walmart/Sam's Club Global Security. Assistant United States Attorney Stephen Casey 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.
Westfield Man Pleads Guilty to Possession of Child PornographyRead the Press Release
BOSTON - A Westfield man was convicted today in U.S. District Court in Springfield for possession of child pornography.
Richard Starr, 56, pleaded guilty before U.S. District Judge William G. Young to possession of material involving the sexual exploitation of minors. Sentencing is scheduled for May 9, 2013. The maximum sentence under the statute is 10 years in prison, followed by a lifetime of supervised release and a $250,000 fine.
While federal agents were conducting a consensual interview with Starr at his residence he admitted that he had requested files from a child pornography-related website. In response to agents’ request to search Starr’s computers for child pornography, he responded that “chances are you’ll find something.” Starr subsequently did not consent to the search so agents contacted the Westfield Police Department who obtained a state search warrant for the residence and proceeded to seize multiple computers and computer media. The FBI conducted a forensic examination of the computer media and discovered tens of thousands of digital images and video files depicting minors engaging in sexually explicit conduct. Many of these files were located in folders that contained suggestive or explicit titles, such as "Candydolls," and "eternal-nymphets."
United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of Federal Bureau of Investigation Boston Field Division; and Bruce M. Foucart, Special Agent in Charge of U.S. Immigration and Custom Enforcement’s Homeland Security Investigations in Boston, made the announcement today. The case was investigated with the assistance of the Westfield Police Department. It is being prosecuted by Assistant U.S. Attorney Steven H. Breslow of Ortiz's Springfield Branch Office.
Waylon Ronald Burns 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 February 12, 2013, before Chief U.S. District Judge Richard F. Cebull, WAYLON RONALD BURNS, a 35-year-old resident of Lame Deer and an enrolled member of the Northern Cheyenne Tribe, pled guilty to attempted aggravated sexual abuse. Sentencing has been set for May 15, 2013. He is currently detained.
In an Offer of Proof filed by Assistant U.S. Attorney Lori Harper Suek, the government stated it would have proved at trial the following:
On August 4, 2012, the victim and some friends were drinking and driving around Lame Deer. At some point, BURNS joined them. BURNS started acting weird and aggressive and everyone but the victim got out of the car. The victim and BURNS eventually drove to the rodeo grounds. BURNS physically assaulted the victim and then raped her.
When interviewed, BURNS admitted that he had sex with the victim, but claimed it was consensual.
BURNS faces possible penalties of life in prison, a $250,000 fine and lifetime supervision.
The investigation was conducted by the Bureau of Indian Affairs.
Wakpala Woman Arraigned on Assault ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that a Wakpala woman has been indicted by a federal grand jury for Assault With a Dangerous Weapon and Assault Resulting in Serious Bodily Injury.
Adrienne Kills Small, age 35, was indicted by a federal grand jury on February 5, 2013. She appeared before U.S. Magistrate Judge William D. Gerdes on February 7, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is 10 years' imprisonment, a $250,000 fine or both and a period of supervised release of 3 years on each count. The charge is merely an accusation and Kills Small is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy Morley is prosecuting the case. Kills Small was remanded to the custody of the U.S. Marshal. A trial date has not been set.
Wakpala Man Pleads Guility to Abusive Sexual ContactRead the Press Release
United States Attorney Brendan V. Johnson announced that Adrian Spotted Horse, age 33, of Wakpala, South Dakota appeared before U.S. District Judge Roberto A. Lange via video conference on February 7, 2013 and pled guilty to a Superseding Information that charged him with Abusive Sexual Contact. The maximum penalty upon conviction is 3 years of imprisonment, a $250,000 fine or both and a mandatory minimum of 5 years up to life of supervised release.
Spotted Horse was indicted on October 16, 2012. The conviction stems from an incident on May 31, 2012, when Spotted Horse made two separate attempts to force sexual contact on the victim. T
he investigation was conducted by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Troy Morley.
A presentence investigation was ordered and a sentencing date was set for April 30, 2013. Spotted Horse was remanded to the custody of the U.S. Marshal pending sentencing.
U.S. Attorney Adds Four Federal Prosecutors to Orlando OfficeRead the Press Release
Orlando, FL - U.S. Attorney Robert E. O’Neill announced today that his office has added four new attorneys to its Orlando office. With cumulative responsibilities for federal criminal prosecutions, affirmative and civil defense, appellate, and forfeiture proceedings, the Middle District of Florida includes a geographical area encompassing thirty-five of Florida’s sixty-seven counties. Until recently, approximately 114 attorneys and 129 support staff occupied five offices (Tampa, Orlando, Fort Myers, Jacksonville, and Ocala) covering approximately one-half of the state’s population. Still, the MDFL has kept pace with similarly busy districts for the past several years, with fewer attorneys than some of its respective counterparts.
The Middle District of Florida is one of 94 federal districts across the country. The MDFL (second in population only to the Central District of California) and is one of the busiest districts in the country, consistently ranking within the top three categories for the number of civil case filings and prosecutions involving the exploitation of children (Project Safe Childhood). Impacted by a nationwide hiring freeze and normal attrition, the office has had to do more with less. Finally, to restore the district’s staffing deficit, a Department of Justice waiver allowed for the hiring of additional personnel in FY 2013.
“The caseload doesn’t stop,” said U.S. Attorney Robert O’Neill. “We have had to make some internal adjustments in order to keep pace with the increasing flow of work. During that time, our staff really stepped up to make sure that the public continued to be served. Our district is very diverse in the types of cases that we litigate. Now, with the addition of new personnel, we will be able to continue the great work throughout the district and address those cases more aggressively and effectively.”
On February 11, 2013, U.S. Chief District Judge Anne C. Conway administered the oath of office in Orlando to Shawn P. Napier, Joseph M. Schuster, Andrew C. Searle, and James D. Mandolfo.
Shawn P. Napier is assigned to the Criminal Division. Prior to joining the office, he served as a Senior Assistant Attorney General in the Office of the Ohio Attorney General. Mr. Napier graduated magna cum laude from Capital University Law School, in Columbus, Ohio, where he obtained his Juris Doctorate. He is a graduate of the University of Central Florida where he obtained Bachelor of Arts in Political Science.
Joseph M. Schuster - He is assigned to the Criminal Division. Prior to becoming an Assistant United States Attorney, Mr. Schuster practiced as an associate with the law firm of Dechert LLP, in New York City, specializing in White Collar and Securities Litigation. He graduated with honors from New York University’s Tisch School of the Arts, where he obtained a Bachelor’s Degree in fine Arts Dramatic Writing. He obtained a Master of Arts Degree, with honors, in History of International Relations from the London School of Economics and Political Science. Thereafter, he obtained his Juris Doctorate from the Georgetown University Law Center, in Washington, DC, as a Dean’s Scholar.
Andrew C. Searle is assigned to the Criminal Division. Mr. Searle served as an Assistant District Attorney in the Trial Division of the New York County District Attorney’s Office in New York, prior to joining the office. He graduated from the University of Florida, where he obtained a Bachelor of Science in Business Administration degree in Finance. He obtained his Juris Doctor degree from Temple University, Beasley School of Law, in Philadelphia.
James D. Mandolfo is assigned to the Criminal Division. Before joining the office, Mr. Mandolfo practiced law with the firm of Hunton & Williams LLP, in Miami, where he represented clients in a wide array of complex securities and commercial litigation. He obtained his Juris Doctor degree, cum laude, from Fordham University School of Law, New York, NY and is a graduate of Pennsylvania State University, where he graduated with Highest Distinction and ranked first in the Political Science Department.
U.S. Attorney Adds Five Federal Prosecutors to Tampa OfficeRead the Press Release
Tampa, FL - U.S. Attorney Robert E. O’Neill announced today that his office has added five new attorneys to its Tampa office. With cumulative responsibilities for federal criminal prosecutions, affirmative and civil defense, appellate, and forfeiture proceedings, the Middle District of Florida includes a geographical area encompassing thirty-five of Florida’s sixty-seven counties. Until recently, approximately 114 attorneys and 129 support staff occupied five offices (Tampa, Orlando, Fort Myers, Jacksonville, and Ocala) covering approximately one-half of the state’s population. Still, the MDFL has kept pace with similarly busy districts for the past several years, with fewer attorneys than some of its respective counterparts.
The Middle District of Florida is one of 94 federal districts across the country. The MDFL (second in population only to the Central District of California) is one of the busiest districts in the country, consistently ranking within the top three categories for the number of civil case filings and prosecutions involving the exploitation of children (Project Safe Childhood). Impacted by a nationwide hiring freeze and normal attrition, the office has had to do more with less. Finally, to restore the district’s staffing deficit, a Department of Justice waiver allowed for the hiring of additional personnel in FY 2013.
“The caseload doesn’t stop,” said U.S. Attorney Robert O’Neill. “We have had to make some internal adjustments in order to keep pace with the increasing flow of work. During that time, our staff really stepped up to make sure that the public continued to be served. Our district is very diverse in the types of cases that we litigate. Now, with the addition of new personnel, we will be able to continue the great work throughout the district and address those cases more aggressively and effectively.”On February 5, 2013, U.S. District Judge Steven D. Merryday administered the oath of office in Tampa to Josephine W. Thomas, Natalie Hirt Adams, Suzanne C. Nebesky, Patrick D. Scruggs, and Michael Kenneth.
Josephine W. Thomas is currently assigned to the General Crimes Section in the Criminal Division in Tampa. She has served in the Middle District since October 5, 2009, after coming to the office on a detail from the Department of Justice Honors Program. Ms. Thomas is a graduate of Stetson University School of Law in Gulfport, from where she obtained her Juris Doctorate. She is also a graduate of North Carolina State University, from where she obtained a degree in Textile Chemistry and graduated cum laude.
Natalie Hirt Adams is assigned to the Asset Forfeiture Section, within the Asset Recovery and Victims Rights’ Division, in Tampa. Ms. Adams previously practiced law at the law firm of Wilmer Cutler Pickering Hale and Dorr, LLP, in Washington, D.C., where she was a Senior Associate. She attended Duke University School of Law, where she obtained her Juris Doctorate, cum laude. Ms. Adams is a graduate of Northwestern University in Evanston Illinois, where she obtained a Bachelor of Science Degree in Political Science and Theater, magna cum laude.
Suzanne C. Nebesky is currently assigned to the Financial Litigation Unit within the Asset Recovery and Victims Rights’ Division, in Tampa. Prior to joining the office, Ms. Nebesky was a litigation associate at the law firm of McRae & Metcalf, P.A., in Tampa. She attended the United States Naval Academy, in Annapolis, Maryland from 1997-1998. She is a graduate of the Honors College at the College of Charleston, in Charleston, South Carolina, where she obtained her Bachelor of Arts Degree in Corporate Communications, cum laude. Suzanne graduated from the University Of Florida Levin College Of Law, cum laude.
Patrick D. Scruggs is assigned to the Narcotics Section in Tampa. His previous practice includes working in the Trial Division and the Prescription Drug Investigation Unit of the New York County District Attorney’s Office in New York City. Mr. Scruggs obtained a Bachelor of Science Degree in Foreign Service, with an International Politics Major, from Georgetown University, School of Foreign Service, from where he graduated magna cum laude, in December. He obtained his Juris Doctor degree from Boston College Law School in Newton, Massachusetts.
Michael Kenneth serves in the Civil Division in Tampa. Mr. Kenneth worked as an associate in the law firm of Troutman Sanders in Washington, D.C., where he represented clients in a wide assortment of complex fraud, torts, and commercial litigation cases. He obtained his Juris Doctorate from Harvard Law School. Mr. Kenneth graduated from Yale University, cum laude with honors, where he obtained a B.A. in Ethics, Politics, and Economics.
Two Philadelphia Traffic Court Judges Plead Guilty in Ticket-fixing SchemeRead the Press Release
PHILADELPHIA - H. Warren Hogeland, 75, of Richboro, PA, and Kenneth Miller, 76, of Brookhaven, PA, pleaded guilty today to taking part in a fraud scheme involving seven other judges at Philadelphia Traffic Court. Hogeland was a Bucks County Senior Magisterial District Judge; Miller was a Delaware County Senior District Judge. Both accepted assignments with Traffic Court when their services were requested. The two defendants admitted to participating in the practice of giving breaks on traffic citations to friends, family, the politically-connected, and business associates. Specifically, Hogeland presided over a ticket issued to Miller’s son and declared Miller’s son “not guilty” without him having to make an appearance. Additionally, Miller arranged for a ticket, received by “J.B.,” to be declared “not guilty.” Both defendants pleaded guilty to mail fraud; Hogeland also pleaded guilty to conspiracy.
As part of the scheme, tickets were “fixed” by either being dismissed, finding the ticket holder “not guilty,” or finding the ticket holder guilty of a lesser offense. In many cases, the ticket holder did not even appear in Traffic Court, yet their ticket was “fixed.” As a result, the ticketholders paid lesser or no fines and costs, and evaded the assessment of “points” on their driver’s record. This widespread “ticket-fixing” defrauded both the Commonwealth of Pennsylvania and the City of Philadelphia of funds, and allowed potentially unsafe drivers to remain on the roads.U.S. District Court Judge Robert F. Kelly scheduled sentencing hearings for both Hogeland and Miller on May 24, 2013. Each defendant faces a possible advisory sentencing guideline range of zero to six months in prison, before variances or departures.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Denise S. Wolf and Anthony J. Wzorek.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Two Men Sentenced to Prison for Violating Sex Offender Registration and Notification Act (SORNA)Read the Press Release
ALBUQUERQUE – Yesterday a federal district judge in Las Cruces, N.M., sentenced two men to prison terms for failure to comply with the Sex Offender Registration and Notification Act (SORNA), announced by U.S. Attorney Kenneth J. Gonzales and U.S. Marshal Conrad E. Candelaria.
SORNA, also known as the Adam Walsh Protection and Safety Act, requires that a convicted sex offender register in each jurisdiction where the offender resides, where the offender is employed, and/or where the offender is a student, and that the sex offender maintain current registrations.
Vincent Foreman, 41, a Texas resident most recently located in Carlsbad, N.M., was sentenced to 30 months in prison followed by five years of supervised release, for failing to update his sex offender registration in Eddy County, N.M., between Jan. 18, 2011 and Dec. 14, 2011. Foreman was required to register as a sex offender and maintain his registration because he was convicted of criminal sexual contact with a minor and false imprisonment in the State of New Mexico (Cibola County) in Oct. 1997. Although Foreman registered as a sex offender in San Angelo, Texas, after he was released from prison, he failed to update his registration when he relocated to Carlsbad. On April 23, 2012, Foreman pled guilty and admitted that he failed to update his registration as required.
In a separate case, Jessie Lee Cox, 41, most recently residing in Hobbs, N.M., was sentenced to twelve months in prison followed by five years of supervised release, for failing to register as a sex offender. Court records reflect that Cox was required to register as a sex offender because he previously had been convicted of a sex offense in the State of Texas. Cox was arrested on June 20, 2012, and has been in custody since that time. On Oct. 11, 2012, Cox entered a guilty plea and admitted that he failed to register as a sex offender in Lea County, N.M., between Jan. 30, 2011 and Feb. 13, 2012.
The two cases were investigated by the U.S. Marshal Service and were prosecuted by Assistant U.S. Attorney Amanda Gould of the U.S. Attorney’s Las Cruces Branch Office.
Two Former Krahl Construction Executives Sentenced to Prison Terms for Billing Fraud and Kickback SchemeRead the Press Release
CHICAGO — Two former top executives of a defunct general contractor, Krahl Construction, were sentenced to prison terms after pleading guilty to engaging in a $10.4 million fraudulent billing and kickback scheme. Five additional employees of Krahl and two individuals who received kickbacks – all of whom also pleaded guilty – are scheduled to be sentenced on various dates beginning today through mid-March in U.S. District Court.
JOHN PADERTA, 54, of Fontana, Wis., and formerly of Burr Ridge, Krahl’s former president who owned at least 80 percent of the company, was sentenced to five years in prison. DOUG HARNER, 48, of Chicago, Krahl’s former executive vice president and part owner, was sentenced to four years in prison. The sentences were imposed last week by U.S. District Judge Matthew Kennelly, who also will sentence the remaining defendants.
Paderta was ordered to pay restitution of $9,987,463 to Digital Realty Trust, of San Francisco, which hired Krahl to renovate portions of an eight-story building located at 350 E. Cermak, Chicago, and $433,059 to Berwind Property Group, a Chicago firm that hired Krahl to develop commercial property in Bolingbrook known as the Tallgrass project. Paderta was ordered to begin serving his sentence on May 7.
Harner was ordered to pay restitution of $9,471,908 to Digital, and $100,000 to Berwind. He was ordered to begin serving his sentence on May 8. Paderta and Harner were each ordered to also forfeit $9 million in fraudulent proceeds to the government.
The sentences were announced today by Gary S. Shapiro, United States Attorney for the Northern District of Illinois, and Cory B. Nelson, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation.
The fraud scheme caused actual losses of nearly $10 million to Digital and $433,000 to Berwind, while two former employees of those firms allegedly received kickbacks valued at $625,000 and $119,500, respectively. Krahl, which specialized in interior construction, closed its Chicago office at 322 S. Green St., in January 2010, less than a week after FBI agents executed a federal search warrant. The judge noted that 180 Krahl employees who lost their jobs as a result of the fraud scheme were also victims, as were the company’s customers and sub-contractors whose projects were adversely affected when Krahl closed.
According to court records, between 2005 and 2009, certain defendants fraudulently inflated the cost of renovation projects being performed by Krahl and caused the creation of false documents to support the inflated costs, resulting in over-billing Digital and Berwind a combined total of approximately $15 million. At the same time, the two clients’ employees secretly used their positions to solicit and accept bribe/kickback payments and home improvements in exchange for favorable action to help Krahl obtain contracts with those companies.
The remaining Krahl defendants who admitted roles in the scheme and are awaiting sentencing are: Thaddeus Stepniewski, 52, of Lisle, Krahl’s chief financial officer; Scott Mousel, 49, of New Orleans and formerly of Lisle, a Krahl project manager for two portions of the Cermak project; John Bak, 38, of Ringwood, Ill., also a Krahl project manager on portions of the Cermak project; Heather Ellis, 36, of Midlothian, a Krahl project manager assistant on portions of the Cermak project; and Erin Scott, 37, of Clarendon Hills, also a Krahl project manager assistant on the Cermak project.
Also awaiting sentencing are Scott Solano, 41, of Burr Ridge, a Digital employee who managed the Cermak building, and Timothy Scannell, 49, of Chicago, a Berwind vice president who managed the Tallgrass renovation of a three-story office building and warehouse in Bolingbrook.
Solano solicited and accepted kickbacks from Krahl, including payments totaling approximately $500,000 and renovations on his home totaling approximately $125,000. In exchange for the kickbacks, Solano promised to, and did, take favorable action on behalf of Krahl as requested and as opportunities arose, including helping Krahl obtain contracts from Digital.
Scannell also solicited and accepted kickbacks from Krahl, including payments totaling approximately $100,000, as well as renovations on his home totaling approximately $19,500. In exchange for the kickbacks, Scannell promised to take favorable action on behalf of Krahl as requested and as opportunities arose, including agreeing to help Krahl obtain contracts from Berwind.
The government is being represented by Assistant U.S. Attorneys Stephen Heinze and Jacqueline Stern.
Two Charged with Possession and Distribution of Crack CocaineRead the Press Release
JOHNSTOWN, Pa. - Two residents of Johnstown, Pa., have been indicted by a federal grand jury in Johnstown on charges of distributing and possessing cocaine base, in the form commonly known as "crack," United States Attorney David J. Hickton announced today.
The three-count indictment named James K. Parker, 40, and Ebony R. Thorne 30.
According to the indictment, on Oct. 18, 2012, Parker distributed less than 28 grams of cocaine base; on Oct. 30, 2012, Parker and Thorne distributed less than 28 grams of cocaine base; and on Oct. 31, 2012, they possessed less than 28 grams of cocaine base with the intent to distribute it.
The law provides for a maximum total sentence for Parker of 60 years in prison, a fine of $3,000,000, or both, and for Thorne of 40 years in prison, a fine of $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney John J. Valkovci, Jr., is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Tuscaloosa Woman Sentenced for Falsely Claiming Disaster BenefitsRead the Press Release
BIRMINGHAM – A federal judge today sentenced a Tuscaloosa woman to eight months home detention as part of 16 months’ probation for fraudulently claiming disaster benefits following the April 27, 2011, tornadoes that struck Tuscaloosa, Birmingham, and other parts of the state, announced U.S. Attorney Joyce White Vance and James E. Ward, special agent in charge, Department of Homeland Security, Office of the Inspector General.
GLORIA L. MCCOY, 32, pleaded guilty in November to falsely stating to the Federal Emergency Management Agency in an application for disaster benefits that she rented an apartment in Tuscaloosa that was damaged by the storm. Based on her representation to FEMA, the agency paid her $9,161 in disaster-relief benefits. U.S. District Judge Virginia Emerson Hopkins ordered McCoy to pay that amount to FEMA in restitution.
DHS-OIG investigated the case, which was prosecuted by the U.S. Attorney’s Office for the Northern District of Alabama.The public can report fraud, waste, abuse or allegations of mismanagement involving disaster relief operations through the National Disaster Fraud Hotline, toll free, at 1-866-720-5721, or by e-mailing [email protected]. The telephone line is staffed by a live operator 24 hours a day, seven days a week.
Topeka Man Gets 10+ Years for Distributing CrackRead the Press Release
TOPEKA, KAN. – A Topeka man has been sentenced to more than 10 years in federal prison for distributing crack cocaine, U.S. Attorney Barry Grissom said today.
Terry Allen Thomas, Jr., 38, Topeka, Kan., was sentenced to 130 months in federal prison. In November, a federal jury found Thomas guilty on three counts of distributing crack cocaine and two counts of maintaining a residence in furtherance of drug trafficking.
Testimony at trial indicated that Thomas and co-defendants set up crack houses at various rental locations in Topeka. Thomas was convicted of maintaining crack houses at 1306 S.W. Harrison, Apt. 35; and 1312 S.W. Western, Apt. 5.
Co-defendants included: Willie Marquis Halcrombe, who was sentenced to 108 months.
Glennard Hayes, who was sentenced to 75 months.
Janaya Lechelle Stewart, who was sentenced to 28 months.
Audrey Ferguson, who was sentenced to four months home detention and three years supervised release.Grissom commended the Topeka Police Department and Assistant U.S. Attorney Randy Hendershot for their work on the case.
Thirty-One Alleged Holland Latin Kings Gang Members and Associates Indicted for Racketeering Related ChargesRead the Press Release
Joint Federal and State Investigation Targets Gang Violence, Drug DealingGRAND RAPIDS, MICHIGAN – A federal grand jury indicted 31 alleged members and associates of the Holland Latin Kings gang for a range of offenses, including conspiring to engage in racketeering, committing violent crimes in aid of racketeering, possessing firearms and conspiring to distribute cocaine and marijuana. The grand jury alleges in the indictment that the Holland Latin Kings gang is an enterprise whose members and associates engaged in crimes of violence and drug trafficking in order to promote the gang and enrich its members while insulating themselves from law enforcement, among other things. The charges are the result of a joint federal and state investigation targeting gang violence and drug trafficking in the Holland, Michigan, area.
U.S. Attorney Patrick Miles was joined in the announcement of the charges by: Gil Salinas, Acting Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives; Ronald J. Frantz, Prosecuting Attorney, Ottawa County; D/F/Lt. Mike Harvitt, Michigan State Police; Gary Rosema, Sheriff, Ottawa County Sheriff’s Office; and Matt Messer, Chief of Public Safety, City of Holland Police Department.
The charges in the indictment are only allegations and are not evidence of guilt. The defendants are presumed innocent unless and until proven guilty, and the government has the burden of proving their guilt beyond a reasonable doubt.
END
Texas Man Pleads Guilty to Distributing "Bath Salts"Read the Press Release
ROCHESTER, N.Y. - U.S. Attorney William J. Hochul, Jr. announced today that Dung Lam Le, 27, of Dallas, Texas, pleaded guilty today to conspiracy to distribute 4-methyl-N-ethylcathinone, a controlled substance analogue, more popularly known as “4-MEC” or “bath salts” before U.S. District Judge Frank Geraci, Jr. The charge carries a maximum term of 20 years in prison, a fine of $1,000,000, or both.
Assistant U.S. Attorney Douglas E. Gregory, who is handling the case, stated that agents from the Drug Enforcement Administration, acting in an undercover capacity, purchased significant quantities of the controlled substance analogues by communicating with Dung Le via e-mail and on-line. Authorities also seized over one kilogram of 4-methyl-N-ethylcathinone during the course of the investigation.
The Drug Enforcement Administration, along with many local law enforcement agencies, have recently increased their efforts to combat the importation, distribution, and use of designer drugs known as “bath salts,” which have a similar chemical structure to “methcathinone,” a Schedule I controlled substance. “Bath salts” are synthetic stimulants that have no real value as a bath salt or other bath product. Their only known purpose is to be consumed by humans as a recreational drug. Users of “bath salts” typically snort the drug in powder form or ingest the drug in pill form, but some users have been known to smoke it, or inject the drug intravenously. The drug has proven to affect users in a variety of ways, but users typically experience highs similar to those experienced after ingesting MDMA or “ecstasy”, and stimulants like cocaine and methamphetamine (euphoria and increased energy).
Companies located in China and India are principally responsible for manufacturing and exporting “bath salts” to the United States. Shippers of “bath salts” typically mislabel the product to evade detection by law enforcement, and sell the drugs via the Internet to distributors around the world, including in the United States. Distributors in the United States then sell the drugs online, through traditional distribution methods or by retail distribution at convenience stores, gas stations, and “head shops” (retail stores specializing in drug paraphernalia) in packets labeled “bath salts.” “Bath salts” have been shown to have a number of adverse and largely unpredictable effects, which include psychotic episodes, delusions, panic attacks, increased heart rate, chest pain, agitation, dizziness, nausea and vomiting.
The investigation was conducted by Special Agents of the Drug Enforcement Administration, under the direction of Brian R. Crowell, Special Agent in Charge, New York Region.
Sentencing is scheduled for May 14, 2013 at 10:30 a.m. before Judge Geraci.
Ten Current and Former Law Enforcement Officers Among 15 Arrested for Protecting Drug Dealers in Federal Drug Trafficking StingRead the Press Release
Defendants Charged With Providing Security for Undercover Cocaine Transactions
ATLANTA – Seven Metro Atlanta police officers, two former DeKalb County jail officers, a contract officer with Federal Protective Services, and five others have been charged with accepting thousands of dollars in cash payments to provide protection during drug deals in a federal undercover operation.
The defendants are making their initial appearances today before United States Magistrate Judge Alan J. Baverman. U.S. Attorney Sally Quillian Yates announced the case during a press conference today at the Richard Russell Federal Building, joined by FBI Special Agent in Charge Mark Giuliano and ATF Special Agent in Charge Scott Sweetow. Atlanta Police Department Chief George Turner, DeKalb Interim Police Chief Lisa Gassner, Forest Park Police Department Chief Dwayne Hobbs, MARTA Police Department Chief Wanda Dunham, DeKalb County Sheriff Thomas Brown, Stone Mountain Police Department Chief Chauncy Troutman, and Federal Protective Service District Commander Jim Longanecker also attended the press conference.
United States Attorney Yates said, “This is a troubling day for law enforcement in our City. The law enforcement officers charged today sold their badges by taking payoffs from drug dealers that they should have been arresting. They not only betrayed the citizens they were sworn to protect, they also betrayed the thousands of honest, hard-working law enforcement officers who risk their lives every day to keep us safe. We will continue to work with our local law enforcement partners to pursue this corruption wherever it lies.”
Mark F. Giuliano, Special Agent in Charge, FBI Atlanta Field Office, stated: “In recognizing the need for the criminal justice system and those who work within that system to firmly have the public’s trust, the FBI considers such public corruption investigations as being crucial. The FBI will continue to work with its various local, state, and other federal law enforcement agencies in ensuring that the public’s trust in its law enforcement officers is well deserved.”
“Corrupt public officials undermine the fabric of our nation’s security, our overall safety, the public trust, and confidence in those chosen to protect and serve,” said ATF Special Agent in Charge Scott Sweetow. “The corruption and abuse of power exemplified in this case can tarnish virtually every aspect of society.”
The law enforcement officers arrested today were: Atlanta Police Department (APD) Officer Kelvin Allen, 42, of Atlanta; DeKalb County Police Department (DCPD) Officers Dennis Duren, 32, of Atlanta and Dorian Williams, 25, of Stone Mountain, Georgia; Forest Park Police Department (FPPD) Sergeants Victor Middlebrook, 44, of Jonesboro, Georgia and Andrew Monroe, 57, of Riverdale, Georgia; MARTA Police Department (MARTA) Officer Marquez Holmes, 45, of Jonesboro, Georgia; Stone Mountain Police Department (SMPD) Officer Denoris Carter, 42, of Lithonia, Georgia, and contract Federal Protective Services Officer Sharon Peters, 43, of Lithonia, Georgia. Agents also arrested two former law enforcement officers: former DeKalb County Sheriff’s Office (DCSO) jail officers Monyette McLaurin, 37, of Atlanta, and Chase Valentine, 44, of Covington, Georgia.
Others arrested today were: Shannon Bass, 38, of Atlanta; Elizabeth Coss, 35, of Atlanta; Gregory Lee Harvey, 26, of Stone Mountain, Georgia; Alexander B. Hill, 22, of Ellenwood, Georgia; and Jerry B. Mannery, Jr., 38, of Tucker, Georgia.
According to United States Attorney Yates, the charges and the criminal complaints:
The undercover operation arose out of an ATF investigation of an Atlanta area street gang in August 2011. ATF agents learned from an individual associated with the gang that police officers were involved in protecting the gang’s criminal operations, including drug trafficking crimes. According to this cooperating individual, the officers—while wearing uniforms, driving police vehicles, or otherwise displaying badges—provided security to the gang members during drug deals.
In affidavits filed in support of the charges, an FBI agent described how drug traffickers sometimes recruit law enforcement officers to maintain a physical presence at drug deals. The traffickers hope that the officers’ presence at the drug deals will prevent rival drug groups from intervening and stealing their drugs or money, and also keeps legitimate law enforcement officers away from the scene. In return for the corrupt officers’ services, the drug dealers often pay the officers thousands of dollars, according to the affidavits.
Acting at the direction of FBI and ATF, the cooperator communicated to gang members and their associates that the cooperator sought police protection for upcoming drug deals. In response, three individuals—Bass, Coss, and Mannery—while not law enforcement officers themselves, provided the cooperator with the names of police officers who wanted to provide security for drug deals. Once these officers were identified, FBI and ATF agents arranged with the cooperator, as well as with Bass, Coss, and/or Mannery, for the officers to provide security for drug transactions that were described in advance to involve the sale of multiple kilograms of cocaine. The individuals charged today participated in undercover drug sales involving agents and/or cooperators, during which the agents and/or cooperators exchanged cash for kilograms of sham cocaine. The police officers, usually in uniform and displaying a weapon and occasionally in their police vehicles, patrolled the parking lots where the deals took place and monitored the transactions. These transactions were audio and video recorded.
The defendants arrested today include the seven police officers and one contract federal officer who protected the undercover drugs deals, as well as two former sheriff’s deputies who falsely portrayed themselves to be current deputies, and two individuals who falsely represented themselves as officers despite having no connection to a local police department. The defendants also include four individuals who are not law enforcement officers but who acted as intermediaries between the agents and/or cooperators and corrupt officers and also assisted with the scheme.
Specifically, the undercover investigation included the following transactions:
DeKalb County Police Department
Between October 2011 and November 2011, DeKalb County Police Officer Dennis Duren, working together with Bass, provided protection for what he and Bass believed were four separate transactions in the Atlanta area that involved multiple kilograms of cocaine. Duren and Bass accepted cash payments totaling $8,800 for these services. During the transactions, Duren was dressed in his DeKalb County Police uniform and carried a gun in a holster on his belt, as he patrolled on foot in the parking lots in which the undercover sales took place. After the first two transactions, Duren allegedly offered to drive his patrol vehicle to future transactions for an additional $800 fee, and afterward received an additional $800 in cash for using his patrol vehicle in the final transaction in November 2011. Duren and Bass are each charged with conspiring to commit extortion by accepting bribe payments and attempted possession with intent to distribute more than five kilograms of cocaine. Duren also is charged with possessing a firearm in furtherance of a drug trafficking crime.
Between January and February 2013, DeKalb County Police Officer Dorian Williams, working together with Mannery and Bass, provided protection for what he and Mannery believed were three separate transactions in the Atlanta area that involved multiple kilograms of cocaine. Williams and Mannery accepted cash payments totaling $18,000 for these services. During the transactions, Williams was dressed in his DeKalb County Police uniform and carried a gun in a holster on his belt, and he patrolled the parking lots in which the undercover sales took place in his DeKalb Police vehicle. During a meeting between the three transactions, Williams allegedly instructed Bass to remove any cocaine from the scene if Williams had to shoot someone during the upcoming sale. In another meeting, Williams suggested that future drug transactions should take place in the parking lot of a local high school during the afternoon, so that the exchange of backpacks containing drugs and money would not look suspicious. Williams and Mannery are each charged with conspiring to commit extortion by accepting bribe payments and attempted possession with intent to distribute more than five kilograms of cocaine.
Stone Mountain Police Department
Between April and September 2012, Stone Mountain Police Officer Denoris Carter, working together with Mannery, provided protection for what he and Mannery believed were five separate transactions in the Atlanta area that involved multiple kilograms of cocaine. For these services, Carter and Mannery accepted cash payments totaling $23,500. For all five transactions, Carter dressed in his Stone Mountain Police uniform. In four of the deals, he arrived in his police cruiser and either patrolled or parked in the parking lots in which the undercover sales took place and watched the transactions. During the final transaction in September 2012, Carter was on foot, displaying a firearm in a holster on his belt, and he walked through the parking lot in which the transaction took place and watched the participants. Finally, during one of the transactions, Carter agreed to escort the purchaser of the sham cocaine in his police vehicle for several miles, until the purchaser reached Highway 78. Carter is charged with conspiring to commit extortion by accepting bribe payments, attempted possession with intent to distribute more than five kilograms of cocaine, and possessing a firearm in furtherance of a drug trafficking crime.
Atlanta Police Department
Between June and August 2012, Atlanta Police officer Kelvin D. Allen, working together with Coss, provided protection for what he and Coss believed were three separate transactions in the Atlanta area that involved multiple kilograms of cocaine. Allen and Coss accepted cash payments totaling $10,500 for their services. For two transactions, Allen dressed in his Atlanta Police uniform and carried a gun in a holster on his belt. Allen patrolled on foot in parking lots in which the undercover sales took place and appeared to be monitoring the transactions. During a meeting after the three transactions, a cooperator gave Allen and Coss each a $1,000 bonus payment in return for protecting the three transactions. Allen and Coss are each charged with conspiring to commit extortion by accepting bribe payments and attempted possession with intent to distribute more than five kilograms of cocaine. Allen also is charged with possessing a firearm in furtherance of a drug trafficking crime.
MARTA Police DepartmentBetween August and November 2012, MARTA Police Department Officer Marquez Holmes, working together with Coss, provided protection for what he and Coss believed were four separate transactions in the Atlanta area that involved multiple kilograms of cocaine. For these services, Holmes and Coss accepted cash payments totaling $9,000. During the transactions, Holmes was dressed in his MARTA Police uniform and carried a gun in a holster on his belt. In two of the transactions, Holmes patrolled on foot in the parking lots in which the undercover sales took place and monitored the transactions. During the other two deals, Holmes drove to the site in his MARTA police cruiser and parked next to the vehicles in which the undercover drug sale took place. Holmes is charged with conspiring to commit extortion by accepting bribe payments, attempted possession with intent to distribute more than five kilograms of cocaine, and possessing a firearm in furtherance of a drug trafficking crime.
Forest Park Police Department
Between October to December 2012, Forest Park Police Sergeants Victor Middlebrook and Andrew Monroe, sometimes working alone and at other times together, provided protection for what they believed were six separate drug deals in the Atlanta area, all involving multiple kilograms of cocaine. For his services in the first four transactions, Middlebook accepted cash payments totaling $13,800. During these transactions, Middlebrook wore plain clothes, but displayed his badge and a firearm in a holster on his belt. He patrolled on foot in the parking lots nearby the vehicles in which the undercover sales took place and appeared to be monitoring the transactions. For the final two transactions, both Middlebrook and Monroe provided security and were given cash payments totaling $10,400. Middlebrook again monitored the transactions on foot in plain clothes while displaying his badge and gun, while Monroe watched from his vehicle in the parking lot and afterward escorted the purchaser of the sham cocaine for several miles. Middlebrook and Monroe are charged with conspiring to commit extortion by accepting bribe payments and attempted possession with intent to distribute more than five kilograms of cocaine; Middlebrook is also charged with possession of a firearm in furtherance of a drug trafficking crime.
DeKalb County Sheriff’s Office
In January 2013, former DeKalb County Sheriff Jail Officer Monyette McLaurin, working together with Harvey, provided protection for what they believed were two separate drug transactions in the Atlanta area that involved multiple kilograms of cocaine. Harvey already had provided security for two undercover drug transactions in December 2012, falsely representing that he was a DeKalb County detention officer and wearing a black shirt with the letters “SHERIFF” printed across the back during the transactions. Harvey then stated that he knew other police officers who wanted to protect drug deals, and in January 2013 he introduced McLaurin as one of these officers. During a meeting to discuss future drug transactions, McLaurin falsely represented that he was a deputy employed by the DeKalb Sheriff’s office, even though his position as a jail officer ended in 2011. McLaurin and Harvey further stated during this meeting that they may need to kill another person who knew that Harvey had protected drug deals, if this person reported the activity to others.
During the two transactions in January 2013, McLaurin was dressed in a DeKalb County Sheriff’s Office uniform with a badge, and he carried a gun in a holster on his belt. He accompanied the undercover seller of the cocaine to pick up the drugs from a warehouse, counted the kilograms the seller received, and stood outside the purchaser’s vehicle during the actual transaction. He further discussed with the seller whether they should agree upon a signal for the seller to indicate that the sale had gone awry, requiring McLaurin to shoot the drug buyer. For their services, McLaurin and Harvey were paid $12,000 in cash. McLaurin and Harvey are each charged with attempted possession with intent to distribute more than five kilograms of cocaine and with possessing a firearm in furtherance of a drug trafficking crime.
Later in January 2013, McLaurin and Harvey introduced a second former DeKalb County Sheriff’s Jail Officer, Chase Valentine, to help provide security for future drug deals. Like McLaurin, Valentine falsely represented himself to be a DeKalb County Sheriff’s Deputy, even though his position as a jail officer ended in 2010. Together with Harvey, Valentine provided security for one undercover drug transaction on January 17, 2013, during which he wore a DeKalb Sheriff’s Office uniform and a pistol in a holster on his belt. During the transaction, Valentine escorted the seller to pick up the sham cocaine, counted the number of kilograms delivered, and stood outside the purchaser’s car during the actual transaction. For these services, Valentine received $6,000 in cash. Valentine is charged with attempted possession with intent to distribute more than 500 grams of cocaine and possession of a firearm in furtherance of a drug trafficking crime.
Federal Protective Services
In November 2012, Sharon Peters, who was a contract officer for the Federal Protective Services, worked together with Mannery to provide protection for what they believed were two separate transactions in the Atlanta area that involved multiple kilograms of cocaine. For these services, Peters and Mannery accepted cash payments totaling $14,000. For both transactions, Peters parked her vehicle nearby the cars where the sham drugs and money were exchanged, and watched the transactions. Before both transactions, Peters told others that she had her pistol with her in the car. Peters is charged with attempted possession with intent to distribute more than five kilograms of cocaine, and possession of a firearm in furtherance of a drug trafficking crime.
Imposter Clayton County Police Officer
Between December 2012 and January 2013, Alexander B. Hill falsely represented himself to be an officer with the Clayton County Police Department while providing security for what he believed were three separate drug transactions in the Atlanta area that involved multiple kilograms of cocaine. During an initial meeting, Hill wore a uniform that appeared to be from Clayton Police, but during the transactions he wore plain clothes and, for at least the first deal, a badge displayed on his belt. For these services, Hill received payments totaling $9,000 in cash. Hill charged with attempted possession with intent to distribute more than five kilograms of cocaine and with possession of a firearm in furtherance of a drug trafficking crime.
Each charge of attempted possession with intent to distribute at least five kilograms of cocaine carries a maximum penalty of life imprisonment, a mandatory minimum sentence of 10 years in prison and a fine up to $10,000,000. Each charge of attempted possession with intent to distribute at least 500 grams of cocaine carries a maximum penalty of 40 years in prison, a mandatory minimum sentence of five years in prison and fine of up to $5,000,000. Each charge of possession of a firearm in furtherance of a drug trafficking crime carries a maximum penalty of life imprisonment, a mandatory minimum sentence of five years in prison and a fine of up to $250,000. Each charge of conspiring to commit extortion by accepting bribe payments carries a maximum sentence of 20 years in prison and 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.
The public is reminded that criminal charges are only allegations. A defendant is presumed innocent of the charges and it will be the government’s burden to prove a defendant’s guilt beyond a reasonable doubt at trial.
These cases are being investigated by special agents of the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Assistant United States Attorneys Kim Dammers, Jill Steinberg and Brent Alan Gray are prosecuting these cases.
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
Attachments:
- Bass, Shannon Criminal Complaint
- Coss, Elizabeth Criminal Complaint
- Harvey, Gregory Lee Criminal Complaint
- Mannery, Jerry B Jr. Criminal Complaint
Suffolk Man Indicted for Offenses That Resulted in the Murder of A Federal WitnessRead the Press Release
NORFOLK, Va. – A federal grand jury sitting in Norfolk, Va., has indicted Leroy Scott, Jr., 49, of Suffolk, on five offenses including conspiracy, witness tampering, retaliation against federal witnesses and the use of a firearm resulting in the murder of one of the witnesses.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia, made the announcement after the indictment was unsealed this afternoon.According to the fivecount indictment, the defendant is alleged to have conspired to prevent Junior Bivins, Jr. and other individuals, from testifying in a court proceeding that related to Scott’s and his associates’ drug distribution activities, weapons violations and other criminal offenses. Scott also sought retaliation against Bivins and others for providing information to law enforcement officers, resulting in the first degree murder of Bivins on or about November 20, 2001 in Suffolk, Virginia.
If convicted of the murder offense, Scott faces a maximum potential punishment of death. Scott is scheduled to be arraigned on these offenses on February 15, 2013, in U.S. District Court, Norfolk.
This case was investigated by the Drug Enforcement Administration and the Suffolk Police Department. Assistant U.S. Laura Everhart is prosecuting the case on behalf of the United States.
Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on http://pacer.uspci.uscourts.gov.Statement by Attorney General Eric Holder on the Senate Passage of the Violence Against Women ActRead the Press Release
Attorney General Eric Holder issued the following statement today on the Senate passage of the Violence Against Women Act:
“I am extremely pleased the Senate has passed the reauthorization of the Violence Against Women Act, which contains important new provisions to expand access to justice for all victims of violence and strengthen law enforcement and prosecutorial tools to hold accountable those who commit these crimes. Notably, the tribal provisions included in the VAWA reauthorization and originally proposed by the Department of Justice, will close a significant jurisdictional gap that has left too many Native American women, precisely because they are Native American, exposed to violence for far too long. The status quo is simply unacceptable and the Senate has today acted courageously on behalf of our society’s most vulnerable, who deserve not only equal justice but also our unquestionable resolve to protect them. As the House of Representatives now moves to consider reauthorizing this critical law, I urge lawmakers to come together, as they have historically, to pass an improved and strengthened VAWA that continues its 18 years of progress towards ending the scourge of violence against all victims in our society.”
Schuyler County Man Convicted on Child Exploitation ChargesRead the Press Release
ROCHESTER, N.Y.-- U.S. Attorney William J. Hochul, Jr. announced today that Daryl E. Vonneida, 62, of Dix, N.Y., was convicted by a federal jury of 14 charges, including production of child pornography, transporting minors in interstate commerce for illegal sexual activity and possession of child pornography. The defendant, who was previously convicted of sexual abuse in the First Degree in Schuyler County Court, faces a mandatory term of life in prison on four of the charges relating to the production of child pornography and transporting minors in interstate commerce.
U.S. Attorneys Marisa J. Miller and Tiffany H. Lee, who handled the prosecution of the case at trial, stated that the defendant was charged after two minor children came forward with allegations of abuse by Vonneida. Members of the New York State Police and Federal Bureau of Investigation executed a search warrant at the defendant's residence in September 2011 and recovered videos produced by Vonneida in which he coerced four children to engage in sexually explicit conduct. The defendant admitted to producing the videos and to taking the children to Hershey Park, PA and Splash Lagoon in Erie, PA.
Evidence presented by the Government at trial showed that the defendant used his position as a volunteer photographer at a church in Horseheads to gain the trust of the parents and the victims.
"This case serves as an important reminder to parents and guardians of children," said U.S. Attorney Hochul. "As the actions of this defendant demonstrate, child predators can be of any age, and include persons who work to gain the trust of parents and the child. Predators like the defendant are manipulative, resourceful, and can appear kind and generous – such as volunteering to take the child on overnight trips to amusement parks. In order to protect those most vulnerable in our society – our children – parents are reminded to speak often to their children in age specific terms. Topics should include appropriate conduct and permissible physical contact with adults, immediately speaking to the parent about any interaction with an adult which the child believed was inappropriate or 'creepy,' and knowing common lures used by predators to entice their child."For more information, the public is encouraged to visit the following websites, which contain helpful information about protecting children from exploitation and abduction: NY Sex Offender Registry http://www.criminaljustice.ny.gov/nsor/
DOJ National Sex Offender Public Website http://www.nsopw.gov/
What you can do to protect your child (NCJRS) https://www.ncjrs.gov/html/ojjdp/psc_english_02/intro.html
Office of Juvenile Justice and Delinquency Prevention, Department of Justice
OJJDP Publications—Child Protection http://ojjdp.ncjrs.org/pubs/missing.html
National Center for Missing and Exploited Children (NCMEC) http://www.missingkids.com
NCMEC’s website to teach children about dangers on the Internet http://www.netsmartz.org
The Federal Bureau of Investigation’s Crime Against Children Program webpage http://www.fbi.gov/hq/cid/cac/crimesmain.htmThe conviction is the culmination of an investigation on the part of Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Christopher M. Piehota, and by Investigators with the New York State Police, under the direction of Major Mark Koss.
Sentencing is scheduled for May 13th, 2013 before U.S. District Judge Charles J. Siragusa.Savannah Man Sentenced to over 13 Years in Prison for Federal Firearms OffenseRead the Press Release
SAVANNAH, GA – Charles Starks, 22, of Savannah, Georgia was sentenced yesterday by Senior United States District Court Judge B. Avant Edenfield to 162 months in prison for possessing a firearm as a convicted felon and for a related drug offense. Starks was classified as a “career offender” under the federal sentencing guidelines due to his previous convictions for burglary, obstruction, firearms possession and drug trafficking. Evidence presented at the sentencing hearing revealed that Starks distributed marijuana to an underage female while he possessed a stolen, loaded .38 caliber Smith and Wesson revolver.
The case was investigated and prosecuted under Project Ceasefire, a joint federal, state and local firearms initiative involving the U.S. Attorney’s Office, the Chatham County District Attorney’s Office, the ATF and the Savannah-Chatham Metropolitan Police Department.
United States Attorney Tarver said: “Project Ceasefire is an effective program designed to remove from our streets previously convicted felons who, after their initial release from confinement, continued to engage in criminal activity by using and carrying firearms. The career path chosen by this very young Defendant is extremely unfortunate. Because of his multiple felony convictions, he has qualified for designation into an exclusive category known as the “career offender.” Felons with guns, serve hard time, for a long time.”
Assistant United States Attorney Carlton R. Bourne prosecuted the case on behalf of the United States. For additional information, please contact First Assistant United States Attorney James D. Durham at (912) 201-2547.
Santa Cruz Woman Pleads Guilty to Wire FraudRead the Press Release
SAN JOSE, Calif. – Tara Denise Bonelli today pleaded guilty in federal court in San Jose to Wire Fraud, United States Attorney Melinda Haag announced. In pleading guilty, Bonelli admitted to promoting false and fraudulent real estate investments by knowingly making false promises about how investor funds were to be invested and repaid. Among other inducements, Bonelli promised investors that their funds would be used to purchase foreclosed and distressed properties for resale, when in reality she used those funds for personal expenses.
Bonelli, 33 of Santa Cruz, Calif., was indicted by a federal Grand Jury on March 16, 2011. She was charged with 18 counts of wire fraud in violation of 18 United States Code § 1343. Under the plea agreement, Bonelli pleaded guilty to one count of wire fraud that included the total charged loss of more than $3 million.
The sentencing of Bonelli is scheduled for June 25, 2013, at 9 a.m. before United States District Court Judge Edward J. Davila in San Jose. The maximum statutory penalty for each count of wire fraud, in violation of 18 United States Code § 1343 is 20 years in prison and a fine of $250,000, plus restitution. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Matt Parrella and Susan Knight are the Assistant U.S. Attorneys who are prosecuting the case with the assistance of Elise Etter. The prosecution is the result of a two-year investigation by the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division.
(Bonelli Plea Agreement )
Richard Lee Wade Sentenced to 60 Months for Sending Threatening Letters Through the MailRead the Press Release
Memphis, TN – Richard Lee Wade, 50, of Roanoke, VA, was sentenced today to 60 months in federal prison by U.S. District Judge John T. Fowlkes for sending threatening communications through the mail to a pair of Memphis-area women, announced U.S. Attorney Edward L. Stanton III.
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“Brazen conduct such as Wade’s repeatedly stalking and terrorizing of innocent women and their families will simply not be tolerated,” said U.S. Attorney Stanton. “The sentence imposed today by the court should serve as a clear reminder to individuals who stalk, threaten and intimidate victims as Wade did by using the U.S. Postal Service that they will be prosecuted to the fullest extent of the law and will ultimately suffer the severe consequences of federal imprisonment.”
On May 5, 2012, Wade was indicted on nine counts of sending threatening letters. In these letters, Wade made repeated threats to inflict serious injury upon the women, including torturing and killing them and threatening to have someone else track them down and kill them. In one of the letters, read during his plea hearing, Wade made the threat, “I will not stop until one of us in our grave.”
Wade pleaded guilty to two of the nine counts on November 6, 2012. Following the completion of his prison term, Judge Fowlkes ordered him to serve three years of supervised release. There is no parole in the federal prison system.
This case was investigated by the United States Postal Inspection Service and the Collierville Police Department. Assistant U.S. Attorney Lorraine Craig represented the government.Parmelee Man Charged with Involuntary ManslaughterRead the Press Release
United States Attorney Brendan V. Johnson announced that a Parmelee, South Dakota man has been indicted by a federal grand jury for Involuntary Manslaughter.
Nathaniel Red Bird, age 32, was indicted by a federal grand jury on January 16, 2013. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 7, 2013 and pled not guilty to the indictment. The maximum penalty upon conviction is up to 8 years’ in custody, a $250,000 fine, or both; 3 years of supervised release; and a $100 Special Assessment. Restitution may also be ordered.
The charge is merely an accusation and Red Bird is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Marie H. Ruettgers is prosecuting the case.
Red Bird was remanded to the custody of the U.S. Marshal pending trial. A trial date has been set for April 2, 2013.
Palm Beach County Health Department Employee Arrested for Stealing Patient InformationRead the Press Release
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Salita St. Simon, 30, of Belle Glade, was arrested today on a charge of identity theft, in violation of Title 18, United States Code, Section 1028(a)(7). If convicted, St. Simon faces up to five years imprisonment and three years of supervised release.
According to the criminal complaint and information provided in Court, St. Simon was a senior clerk at the Palm Beach County Health Department (PBCHD) until earlier today. For approximately the last year, St. Simon obtained patient identification information, including patient names and social security numbers, from the PBCHD’s computer system and provided that information to her accomplices. These accomplices, in turn, used the information to file fraudulent tax returns seeking the patients’ refunds. Over the last year, St. Simon stole more than 2,800 patients’ information in this way.
Mr. Ferrer commended the investigative efforts of the FBI and thanked the PBCHD for its substantial assistance in investigating this matter. This case is being prosecuted by Assistant U.S. Attorney Marc Osborne.
A complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
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.
Orlando Man Arrested in Million Dollar Fraud SchemeRead the Press Release
Orlando, FL - United States Attorney Robert E. O'Neill announces the unsealing of an indictment charging Gurudeo "Buddy" Persaud (47, Orlando) with one count of mail fraud and four counts of wire fraud. If convicted, Persaud faces a maximum penalty of 20 years in federal prison on each count.
According to the indictment, Persaud formed White Elephant Trading Company, LLC in 2007. White Elephant was a private equity fund that purportedly invested in securities on the national markets. Persaud solicited investors by telling them that he would generate profits using his trading skills and that he would make all trading decisions. Persaud guaranteed investors rates of return of 6% to 18% that were payable in a short period of time. However, Persaud used a trading strategy that was based on lunar cycles and the gravitational pull between the moon and the Earth. Furthermore, Persaud did not invest all of the money that he received from investors, but instead used money from later investors to pay earlier investors and used significant portions of the money for his own personal use. Persaud defrauded investors out of approximately $1,000,000.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney David Haas.
Orlando Armed Career Criminal Sentenced to 15 Years in Federal PrisonRead the Press Release
Orlando, FL - United States Chief District Judge Anne Conway sentenced Rodney U. Berry (43, Orlando) today to 15 years in federal prison for possession of a firearm by a convicted felon. Berry pleaded guilty to the charge on September 6, 2012.
According to court documents, on May 21, 2012, Berry met with a Bureau of Alcohol, Tobacco, Firearms, and Explosives Alcohol (ATF) undercover agent (UC) in the parking lot of Boardwalk Bowling Alley on East Colonial Drive in Orlando. Berry met with the UC and handed the UC a Smith & Wesson handgun in exchange for 50 Roxicodone pills. Berry was subsequently apprehended.
Berry has ten prior felony convictions. As a previously convicted felon, he is prohibited from possessing either firearms or ammunition under federal law. According to court documents, his previous convictions include assault with a dangerous weapon, grand theft of a motor vehicle, fleeing or attempting to elude a law enforcement officer, distribution of cocaine, and possession of a firearm by a convicted felon. These prior felony convictions qualified Berry as an Armed Career Criminal.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Christopher LaForgia.
It is another case prosecuted as a part of the Department of Justice's "Project Safe Neighborhoods" program - a nationwide, gun-violence reduction strategy led by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). United States Attorney Robert E. O'Neill, along with Julie Torres, Special Agent in Charge, ATF Tampa Field Division, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.
New Jersey Man Charged with Using Fake Credit CardRead the Press Release
PITTSBURGH, Pa. - A resident of Oaklyn, New Jersey, has been indicted by a federal grand jury in Pittsburgh on charges of access device fraud, United States Attorney David J. Hickton announced today.
The two count indictment named Raymond Hasaan Matthews, 36, as the sole defendant.
According to the indictment, Matthews used a counterfeit American Express credit card in November 2011 at Casa D'Oro Jewelers and other retailers to buy merchandise.
The law provides for a maximum total sentence of not more than 20 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The United States Secret Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Monroe County Company, Owner Plead Guilty to Discharging Wastewater into A Tribuary of the Little Muskingum RiverRead the Press Release
CONTACT: Fred Alverson
Public Affairs Officer
COLUMBUS – Robert D. Armstrong, 54, of New Matamoras, Ohio, pleaded guilty to violating the Clean Water Act by causing wastewater from oil and gas wells to flow into a tributary of the Little Muskingum River in 2010. Mr. Armstrong also pled guilty on behalf of his company, RCA Oil and Gas LLC (“RCA Oil and Gas”), which was charged with the same offense.
Carter M. Stewart, U.S. Attorney for the Southern District of Ohio, Ohio Attorney General Mike DeWine, Randall K. Ashe, Special Agent in Charge of the U.S. Environmental Protection Agency (U.S. EPA), Scott J. Nally, Director of the Ohio Environmental Protection Agency (Ohio EPA) and James Zehringer, Director of the Ohio Department of Natural Resources (ODNR) announced the guilty pleas entered yesterday before U.S. District Court Judge Michael Watson.
Mr. Armstrong is the owner and operator of RCA Oil and Gas which provides services for oil and gas wells in southeast Ohio, including the services related to the hydrofracturing or “fracking” of oil and gas wells.
During June 2010, Armstrong built a reservoir with an earthen wall to hold water he intended to use in the fracking process of a nearby well. The reservoir contained approximately 2.2 million gallons of fresh water. Armstrong added thousands of gallons of brine or wastewater from the fracking process at two other oil and gas wells to the reservoir. As a result of the addition, all of the liquid in the reservoir was classified as oil field wastewater.
On June 19, 2010, Armstrong used a backhoe to breach a wall of the reservoir, releasing the wastewater into Rockcamp Run. The reservoir contained about 800,000 gallons of wastewater at the time. Most of the water flowed into Rockcamp Run. Analysis of a sample of the wastewater from the reservoir showed significant concentrations of barium and sodium.
"As the nation increases its use of natural gas, exploration companies must ensure that the waste water resulting from the fracking process is treated and disposed of safely and legally," said Randall Ashe, Special Agent in Charge of EPA’s criminal enforcement program in Ohio. “The defendant knowingly released hundreds of thousands of gallons of contaminated wastewater into a tributary of the Little Muskingum River, damaging critical habitat for fish and wildlife. Companies and their contractors who try to skirt the law to save money undermine our efforts to protect the public and the environment and will be vigorously prosecuted.”
Stewart commended the cooperative investigation by the U.S. EPA, the Ohio EPA, the ODNR and the Bureau of Criminal Investigation’s Environmental Enforcement Unit in Ohio Attorney General DeWine’s Office. Assistant U.S. Attorney Michael Marous is representing the government in this case.Judge Watson will schedule a date for sentencing.
Mexican Man Sentenced for Transporting Undocumented WorkersRead the Press Release
BUFFALO, N.Y.- U.S. Attorney William J. Hochul, Jr. announced today that Santos Hernandez-Perez, 36, of Mexico, who was convicted of unlawfully transporting undocumented workers within the United States, was sentenced to 36 months in prison. The sentence, which was above the recommended federal guidelines, was handed down by U.S. District Court Judge Richard J. Arcara.
According to Special Assistant U.S. Attorney Fauzia K. Mattingly, on February 10, 2012, Hernandez-Perez was in a vehicle with five undocumented workers from Mexico when they were stopped by the Niagara Country Sheriff's Department for traffic violations. The defendant was driving the men from Tucson, Arizona, to Barker, New York, where two of the workers were going to work on a farm. The other men were destined for North Carolina. None of the individuals, including Hernandez-Perez, had permission to be in the United States.
The sentencing is the culmination of an investigation on the part of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent in Charge James C. Spero.
McLaughlin Man Arraigned on Assault ChargesRead the Press Release
United States Attorney Brendan V. Johnson announced that a McLaughlin, South Dakota man has been indicted by a federal grand jury for two counts of Assault With a Dangerous Weapon and four counts of Domestic Assault by a Habitual Offender.
Benedict Iron Thunder, Jr., age 35, was indicted by a federal grand jury on January 16, 2013. He appeared before U.S. Magistrate Judge William D. Gerdes on February 7, 2013, and pled not guilty to the indictment. The maximum penalty upon conviction is 10 years of imprisonment on the Assault With a Dangerous Weapon charges and one of the Domestic Assault charges because it is alleged that substantial bodily injury resulted from that assault. The remaining three Domestic Assault charges could result in 5 years of imprisonment. All counts include a $250,000 fine and a period of supervised release of 3 years. The charges are merely accusations and Iron Thunder is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs, Standing Rock Agency. Assistant U.S. Attorney Troy Morley is prosecuting the case. Iron Thunder was remanded to the custody of the U.S. Marshal. A trial date has not yet been set.
Logan Quinn Sandau 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 February 12, 2013, before U.S. District Judge Sam E. Haddon, LOGAN QUINN SANDAU, a 24-year-old resident of Poplar and an enrolled member of a federally recognized tribe, appeared for sentencing. SANDAU was sentenced to a term of:
Prison: 46 months
Special Assessment: $200
Supervised Release: 3 years
SANDAU was sentenced in connection with his guilty plea to assault with a dangerous weapon and assault resulting in serious bodily injury.
In an Offer of Proof filed by Assistant U.S. Attorneys Laura B. Weiss and Ryan G. Weldon, the government stated it would have proved at trial the following:
On June 9, 2012, SANDAU struck J.W.S. with his car outside a residence on the Fort Peck Indian Reservation. The victim suffered multiple leg fractures, a torn ACL and underwent orthopedic and skin grafting procedures.
The victim was with his brother the day of the offense. They arrived at their cousin's house. Words were exchanged between SANDAU and the victim, resulting in SANDAU threatening to kill the victim. The victim then began punching SANDAU. SANDAU fell, then jumped up and ran to the driver's side of his vehicle. He hopped in and accelerated around the house. The victim did not chase him. SANDAU began driving down the alley toward the victim, who was standing near the house. SANDAU first slowed down when he approached, then suddenly hit the gas and struck the victim, pinning him against the house. Several eye witnesses saw this event transpire and identified SANDAU as the driver.
The victim suffered multiple injuries, including several leg fractures, a torn ACL, cut tendons requiring surgery, and skin grafts.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that SANDAU will likely serve all of the time imposed by the court. In the federal system, SANDAU does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was a cooperative effort between the Federal Bureau of Investigation, the Fort Peck Tribes Criminal Investigation Division, and the Poplar Police Department.
Leader of Professional Money Laundering Ring Pleads Guilty in TexasRead the Press Release
One of the leaders of an organization that laundered more than $20 million through “shell” business bank accounts pleaded guilty today in federal court in Houston, announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division and U.S. Attorney Kenneth Magidson of the Southern District of Texas.
Enrique Morales, 42, of Houston and Guadalajara, Mexico, pleaded guilty today before U.S. District Judge Lee H. Rosenthal in the Southern District of Texas to conspiracy to commit money laundering and conspiracy to operate an unlicensed money transmitting business.
In August 2012, a federal grand jury in Houston indicted Morales and four of his co-defendants for their roles in operating a money transmitting business that provided professional money laundering services to narcotics traffickers as part of a scheme commonly referred to as “the Black Market Peso Exchange.” According to the indictment, from October 2009 to September 2011, the defendants placed U.S. currency obtained through the sale of drugs in the U.S. into bank accounts held in the name of shell companies, which were owned and operated by the defendants. The money was then transferred to different accounts in the U.S. and Mexico. In exchange, pesos were transferred to bank accounts owned by the defendants’ clients.
A total of five people arrested as part of this scheme have now been convicted. Willie Whitehurst, Fulton Smith and Anthony Foster, all from Houston and money couriers for the organization, previously pleaded guilty to conspiracy to commit money laundering and conspiracy to operate an unlicensed money transmitting business. Smith, 40, pleaded guilty yesterday, while Whitehurst, 44, and Foster, 47, pleaded guilty in January 2013. An office manager for the organization, Sarah Combs, 48, of Dickinson, Texas, previously pleaded guilty to conspiracy to operate an unlicensed money transmitting business.Foster, Whitehurst and Combs are scheduled for sentencing on May 9, 2013, while the sentencings of Smith and Morales are set for May 29, 2013. For the money laundering conspiracy, Morales, Whitehurst, Foster and Smith face up to 20 years in federal prison and a $500,000 fine, or twice the value of the property involved in the offense, whichever is greater. All five defendants face up to five years in federal prison and a fine of $250,000 for conspiracy to operate an unlicensed money transmitting business.
The case was investigated by the special agents with the Drug Enforcement Administration and Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Ted Imperato of the Southern District of Texas and Keith Liddle, trial attorney in the Money Laundering and Bank Integrity Unit of the Criminal Division’s Asset Forfeiture and Money Laundering Section.The Money Laundering and Bank Integrity Unit investigates and prosecutes complex, multi-district and international criminal cases involving financial institutions and individuals who violate the money laundering statutes, the Bank Secrecy Act and other related statutes. The unit’s prosecutions generally focus on three types of violators: financial institutions, including their officers, managers and employees, whose actions threaten the integrity of the individual institution or the wider financial system; professional money launderers and gatekeepers who provide their services to serious criminal organizations; and individuals and entities engaged in using the latest and most sophisticated money laundering techniques and tools.
Lackawanna County Attorney Charged with Federal Income Tax FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that today a Grand Jury in Scranton has returned an indictment charging Lackawanna County Attorney Danielle Ross Pietralczyk, age 37, of Jermyn, Pennsylvania with two counts of tax evasion and two counts of filing a false federal income tax return.
According to United States Attorney Peter J. Smith, the indictment alleges that tax returns verified by Ross under penalty of perjury failed to report any amounts of income she received from private paying clients while acting as the sole guardian ad litem for the Lackawanna County Family Court. It is alleged that the only income Ross reported for 2009 and 2010 was her County compensation reported on 1099 Forms which she received as an independent contractor hired by Lackawanna County.
The indictment charges that as the sole guardian ad litem for the Lackawanna County Family Court, Ross was provided with an annual compensation of $38,000. However, pursuant to a contract between Ross and Lackawanna County, Ross was permitted to bill private paying parties above her County compensation at a rate of $50 per hour. Ross allegedly managed and exercised complete control over her private billings and income. That income was allegedly known only to Ross and not Lackawanna County, nor was Lackawanna County required to approve Ross’s private billings.The prosecution is the result of a continuing joint investigation by the United States Internal Revenue Service (IRS), the Federal Bureau of Investigation (FBI), and the Lackawanna County District Attorney’s Office. Prosecution is assigned to Assistant United States Attorney Michelle Olshefski.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this particular case, the maximum penalty under the federal statute is 16 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Kyle Man Charged with AssaultRead the Press Release
United States Attorney Brendan V. Johnson announced that a Kyle, South Dakota man was indicted by a federal grand jury for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury.
William Lawrence Montileaux, age 39, was indicted on January 23, 2013 for Assault with a Dangerous Weapon and Assault Resulting in Serious Bodily Injury. He appeared before U.S. Magistrate Judge Veronica L. Duffy on February 1, 2013, and pled not guilty to the indictment. The maximum penalty upon conviction is 10 years' imprisonment and/or $250,000 fine. The charge is merely an accusation, and Montileaux is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Bureau of Indian Affairs and the Federal Bureau of Investigation. Special Assistant U.S. Attorney Laura Shattuck is prosecuting the case. Montileaux was released on bond pending trial. A trial date has been set for April 9, 2013.
Justice Department Reaches Settlement with Virginia Dental Office to Stop HIV DiscriminationRead the Press Release
The Justice Department announced today that, as part of its Barrier-Free Health Care Initiative , it has reached a settlement with Woodlawn Family Dentistry, of Alexandria, Va., under the Americans with Disabilities Act (ADA). This is the third settlement addressing HIV discrimination by a medical provider reached by the Justice Department in three weeks.
The Justice Department found that Woodlawn Family Dentistry required a patient with HIV to schedule all future appointments as the last appointment of the day. The department determined that, because the patient has HIV, Woodlawn failed to offer him the same options and availability in scheduling future appointments as it offered to other people. The department further determined that there was no lawful reason why Woodlawn could not treat the patient at any time during normal business hours.
“Ensuring that people with HIV are treated equally and with dignity is critical, especially in the medical field,” said Thomas E. Perez, Assistant Attorney General for the Civil Rights Division. “The ADA does not tolerate this type of discrimination and neither will the Justice Department.”
Under the settlement, Woodlawn must pay $7,000 to the patient and $3,000 in civil penalties. In addition, Woodlawn must train its staff on the ADA and develop and implement an anti-discrimination policy.
In the past two weeks, the department announced similar agreements with the Fayetteville Pain Center and the Castlewood Treatment Center to address HIV discrimination. All three settlements are part of the Department of Justice’s Barrier-Free Health Care Initiative, a partnership of the Civil Rights Division and U.S. Attorney’s offices across the nation, to target enforcement efforts on a critical area for individuals with disabilities. The initiative, launched on the 22nd anniversary of the ADA in July 2012, includes the participation of 40 U.S. Attorney’s offices. The division expects the initiative to address access to health care for people with HIV and those with hearing disabilities, as well as physical access to medical facilities. In 2012, the division and U.S. Attorneys offices reached two settlement agreements regarding access to medical care for people with HIV and four settlements regarding access to medical care for people with hearing disabilities. For more information on the Barrier Free Health Care Initiative visit www.ada.gov/usao-agreements.htm .
For more information on the ADA and HIV visit www.ada.gov/aids . Those interested in finding out more about these settlements or the obligations of public accommodations under the ADA may call the Justice Department’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), or access its ADA website at www.ada.gov . ADA complaints may be filed by email to [email protected] .
Jordan Gerald Lee Jackson 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 February 11, 2013, before U.S. District Judge Sam E. Haddon, JORDAN GERALD LEE JACKSON, a 25-year-old resident of Heart Butte and an enrolled member of the Blackfeet Tribe, appeared for sentencing. JACKSON was sentenced to a term of:
Prison: 30 months
Special Assessment: $100
Supervised Release: 2 years
JACKSON was sentenced in connection with his guilty plea to assault resulting in serious bodily injury.
In an Offer of Proof filed by Assistant U.S. Attorney Laura B. Weiss, the government stated it would have proved at trial the following:
On June 18, 2011, victim "C.A." was picked up by his cousin, JACKSON, in Great Falls. JACKSON was driving a blue van. Two other individuals were also in the van and everyone was drinking alcohol. When asked about alcohol consumption, JACKSON said, "I'm not sure how much I drank, but it was a lot."
By the time they arrived in Heart Butte, it was dark. C.A. then departed from Heart Butte with JACKSON. JACKSON indicated he was "really drunk," swerved off the road but laughed it off and kept going. The vehicle went off the road again, flipped over and ultimately landed upside down with the victim still strapped in the passenger seat.
A passerby cut the victim out of the passenger side as the victim was bleeding and yelling that he couldn't feel his arm. The victim was transported via ambulance to the Blackfeet Emergency Room. The nurse noted the following about C.A.'s right arm: "very badly evulsion to point of almost amputation." He was transferred via helicopter to Great Falls then to Harborview Medical Center in Seattle, Washington. He underwent three surgical procedures, including a skin graft.
Approximately an hour after the rollover, JACKSON was taken to the emergency room in Browning where his BAC was found to be .20.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that JACKSON will likely serve all of the time imposed by the court. In the federal system, JACKSON does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
The investigation was a cooperative effort between the Federal Bureau of Investigation, the Montana Highway Patrol, and the Blackfeet Law Enforcement.
Jacksonville Man Convicted of Orchestrating A Scheme to Defraud, Attempting to Murder A Witness, and Murder for HireRead the Press Release
Jacksonville, Florida - A federal jury yesterday found Paul S. Kruse (59, Jacksonville) guilty of conspiracy, wire fraud, attempting to murder a government witness, and murder-for-hire. Kruse faces a maximum penalty of 20 years in prison on the conspiracy conviction, 20 years for each wire fraud conviction, 30 years for attempting to kill a government witness, and 10 years for his murder-for-hire plot. Kruse's sentencing hearing is scheduled for June 19, 2013.
Kruse was initially indicted in April 2012. A second superseding indictment was filed on November 1, 2012.
According to the evidence presented at trial, beginning in 2010, Kruse and his brother conspired to recruit and defraud a number of clients to whom they provided financial advisory services. Although Kruse and his brother had been licensed financial advisors for decades, at the time of the scheme, both were unlicensed. As part of the scheme, Kruse established a sham investment firm called "Yorkshire Financial Services." Along with his brother, they convinced their clients, a number of which were retirees, to move their individual retirement accounts ("IRAs") to Yorkshire. Kruse and his brother deceptively told clients that Yorkshire had been in business for more than 30 years, had a staff of experienced securities traders, and traded in a combination of stocks, bonds, and currencies appropriate for IRAs. In reality, Kruse did not invest the investors' funds. Rather, he spent the investors' money on luxury cars, home improvements, personal items, and made hundreds of thousands of dollars in cash withdrawals.
In early 2011, Kruse hired a personal assistant who witnessed Kruse's conduct, which included forging investor signatures, not engaging in investment activity, and lavish spending of investors' money. While Kruse was out of town, the assistant took the documents from the Yorkshire scam to the Federal Bureau of Investigation. In early 2012, Kruse approached the FBI and provided a voluntary written confession of his guilt in running an investment fraud scheme.
After Kruse's confession, his co-conspirator brother committed suicide. Kruse was subsequently held in custody on pre-trial detention. While in jail, Kruse hired hitmen to murder his former personal assistant. The assistant was scheduled to be a government witness. Kruse stated that he wanted the former assistant killed to prevent her from testifying, and to avenge his brother's death. Kruse also hired the hitmen to rob and kill two former business partners, whom Kruse contended had cheated him. Unbeknownst to Kruse, the hitmen were undercover federal agents.
This case was investigated by the FBI and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant United States Attorney Mark B. Devereaux and Trial Attorney Ryan Rohlfsen, with the U.S. Department of Justice, Criminal Division, Fraud Section in Washington, D.C.