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Wednesday 26 March 2025
Humble man sentenced in relation to scheme to illegally ship firearms to IraqRead the Press Release
HOUSTON – A 53-year-old local resident has been sentenced to federal prison for providing false information on federally mandated firearms records, announced U.S. Attorney Nicholas J. Ganjei.
Yashab Idnan Sandhu, Humble, pleaded guilty July 24, 2023.
U.S. District Judge Andrew Hanen has now ordered Sandhu to serve 42 months in federal prison to be immediately followed by three years of supervised release.
“The Southern District of Texas is pleased to have worked with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) to have intercepted this shipment of guns before they reached Iraq, and used for whatever unknown purpose,” said Ganjei.
“Being a responsible gun dealer is not just a matter of business; it’s a fundamental duty to safeguard public safety and uphold the trust placed in our agency by the American people,” said ATF Special Agent in Charge Michael Weddel. “ATF puts great trust in Federal Firearms Licensees (FFLs), to include ‘responsible persons,’ as they carry significant responsibility. When that trust is violated, it undermines the confidence the public has in the system. ATF Houston is committed to maintaining public safety, which includes holding these FFLs and their associated employees responsible when the laws and regulations are not followed."
The investigation began March 13, 2020, when authorities discovered a cache of handguns concealed in a shipping crate addressed to Iraq at a Port of Houston warehouse. They recovered approximately 473 handguns, 38 of which were pistols with obliterated serial numbers.
Law enforcement ultimately traced 38 pistols with obliterated serial numbers to R’s Golf & Guns, an FFL for whom Sandhu was a “responsible person.”
A responsible person is someone who has the authority and power to direct firearm compliance decisions and operations for an FFL.
The investigation revealed Sandhu had sold these firearms to a suspected firearms smuggler. As part of his plea, Sandhu admitted he went back to previously completed forms and added the firearms, falsely reporting they had been sold to other innocent persons.
Sandhu was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
ATF conducted the investigation with the assistance of the FBI and Bureau of Industry and Security. Assistant U.S. Attorneys Steven Schammel and Heather Winter prosecuted the case.
Houtzdale Man Sentenced to 10 Years in Prison for Attempted Enticement of A Minor to Engage in Prostitution and Sexual ActivityRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Walter Sitosky, age 67, of Houtzdale, Pennsylvania, was sentenced to 120 months in prison to be followed by five years of supervised release by U.S. Chief District Judge Matthew W. Brann after pleading guilty to attempted enticement of a minor charge.
According to Acting United States Attorney John C. Gurganus, Sitosky arranged to pay for sexual services from a 13-year-old child. Sitosky was arrested as part of an undercover operation after travelling to an establishment in Centre County to meet the child on November 10, 2023.
The case was investigated by the FBI, Pennsylvania State Police, Patton Township Police, the Centre County District Attorney’s Office, Williamsport Police, and the Lycoming County District Attorney’s Office. Assistant U.S. Attorney Alisan V. Martin is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney's Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
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- Hot Springs Man Sentenced to 12 Years in Federal Prison for Drug Possession
Hartford Man Pleads Guilty to Oxycodone Distribution and Gun Possession OffensesRead the Press Release
Marc H. Silverman, Acting United States Attorney for the District of Connecticut, announced that ANGEL BENITEZ, 38, of Hartford, pleaded guilty today before U.S. District Judge Vernon D. Oliver in Hartford to drug distribution and firearm possession offenses.
According to court documents and statements made in court, a DEA New Haven Tactical Diversion Squad investigation revealed that Benitez and a co-conspirator were illegally selling oxycodone pills that were prescribed to his co-conspirator. In August and September 2024, investigators made controlled purchases of oxycodone pills from Benitez and his co-conspirator.
Benitez was arrested on November 6, 2024. On that date, a search of his residence revealed a Smith and Wesson .40 caliber semiautomatic pistol that had been reported stolen in West Hartford.
Benitez’s criminal history includes state assault, burglary, and larceny convictions. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Benitez pleaded guilty to conspiracy to distribute, and to possess with intent to distribute, oxycodone, which carries a maximum term of imprisonment of 20 years, and unlawful possession of a firearm by a felon, which carries a maximum term of imprisonment of 15 years. Judge Oliver scheduled sentencing for June 20.
Benitez has been detained since his arrest.
This matter is being investigated by the DEA New Haven Tactical Diversion Squad, which is composed of personnel from the DEA, the Connecticut State Police, and the Bristol, West Haven, Hamden, Fairfield, Manchester, and Seymour Police Departments. The case is being prosecuted by Assistant U.S. Attorney Patricia Stolfi Collins.
High Springs Man Sentenced to Federal Prison for Wire FraudRead the Press Release
GAINESVILLE, FLORIDA – Sean Walker, 34, of High Springs, Florida, was sentenced to 42 months in federal prison for wire fraud in connection with COVID-19 relief fraud. The sentence was announced by Michelle Spaven, Acting United States Attorney for the Northern District of Florida.
“Our office will continue to eliminate waste, fraud, and abuse of taxpayer money, including holding those accountable who conspired to falsely obtain government funds during the COVID‑19 pandemic,” said Acting United States Attorney Spaven.
Court documents reflect that Walker obtained over $20,000 in unemployment insurance benefits from the State of California, which were funded in part by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. These funds were intended to provide emergency financial assistance to the millions of Americans who were suffering from the economic effects caused by the COVID-19 pandemic. Walker’s benefits application contained materially false and fraudulent statements. Walker knew that he had never lived or worked in that state and was not entitled to unemployment insurance benefits from California.
In addition to his prison sentence, Walker was also ordered to pay $21,690 in restitution to California’s Employment Development Department. Walker’s imprisonment will also be followed by three years of supervised release.
Walker is one of nine defendants who were convicted of similar COVID-19 relief fraud as a result of a joint investigation by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation (IRS-CI). The case was prosecuted by Assistant United States Attorneys Adam Hapner and David P. Byron.
“While many were facing hardship and uncertainty, these defendants sought to exploit government programs intended to help those in need,” said Special Agent in Charge Ron Loecker, of the IRS-CI, Tampa Field Office. “Their actions were driven by greed and a blatant disregard for the law, undermining the purpose of critical relief efforts. We remain committed to holding accountable those who abuse these programs for personal gain and ensuring that justice is served.”
“The sentencing of Sean Walker conveys the important message that you cannot steal money from Americans without consequence,” said Kristin Rehler, Special Agent in Charge of the FBI Jacksonville Division. “The funds stolen by this defendant and other co-conspirators add to the massive amount of COVID-19 relief fraud that will ultimately be paid for by taxpayers. The FBI’s investigation into these schemes exemplifies our commitment to hold thieves accountable, and we will continue to work in coordination with our partners to protect the pocketbooks of hard-working Americans.”
The COVID-19 Fraud Enforcement Task Force marshals the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit Justice.gov/Coronavirus and Justice.gov/Coronavirus/CombatingFraud.
Anyone with information about allegations of attempted fraud involving COVID-19 relief funds can report it by calling the Department of Justice's National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Guatemalan National Sentenced to Prison for Illegal ReentryRead the Press Release
TOLEDO, Ohio – Eduardo Lopez-Jiguan, 35, a citizen of Guatemala who illegally returned to the United States after being deported was sentenced on March 18, 2025, to 13 months in federal prison for illegal reentry. U.S. District Court Judge Jeffrey J. Helmick also imposed a consecutive six-month sentence on a supervised release violation for a total prison sentence of 19 months. Lopez-Jiguan was on supervised release after being convicted in February 2023 of illegal reentry and possession of a fraudulent identification document.
At the guilty plea, Lopez-Jiguan admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Lopez-Jiguan was previously deported in 2020 and 2023. In August 2024, immigration officials learned Lopez-Jiguan had illegally returned to the United States and found him at the Huron County Jail after previously serving a jail sentence for falsification and operating a vehicle while intoxicated.
This case was investigated by U.S. Immigration and Customs Enforcement and prosecuted by Assistant U.S. Attorney Ava Rotell Dustin for the Northern District of Ohio.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations, and protect communities from the perpetrators of violent crime.
Frankfort Company Pays More Than $3.8 Million to Resolve Improper Paycheck Protection Program LoanRead the Press Release
FRANKFORT, Ky. – A Frankfort-based steel wheel manufacturer, Topy America, Inc., agreed to pay the United States $3,840,188.19 to resolve allegations that it improperly obtained a Paycheck Protection Program (PPP) loan from the U.S. Small Business Administration (SBA) for which it was not eligible.
Congress created the PPP in March 2020 to provide emergency financial assistance to small American businesses struggling to pay employees and other expenses during the COVID-19 pandemic. Under the PPP, eligible small businesses could receive forgivable loans guaranteed by the SBA. When applying for PPP loans, borrowers were required to certify that they were eligible for the requested loans and that the information they provided was true and accurate. Regulations provided various eligibility requirements for the PPP, including limitations on the number of employees.
The settlement resolves allegations that Topy America falsely certified it was eligible to apply for and receive forgiveness of a second-draw PPP loan. In January 2021, Topy America applied for a second-draw PPP loan for $2,000,000, representing that it had fewer than 300 employees. The government contends that, together with its foreign affiliates, Topy America had more than 300 employees and was therefore ineligible for that loan. Based on its false certification, Topy America received the loan and ultimately received forgiveness of the loan. Topy America cooperated with the United States’ investigation and agreed to compensate the United States for its error.
“Our office is committed to holding accountable businesses and individuals who improperly obtained COVID-19 relief funds,” said Acting U.S. Attorney Paul McCaffrey. “Topy America quickly and responsibly addressed the concerns raised by the United States, and we expect that other PPP recipients who did not follow the applicable rules will do the same.”
“This settlement reflects SBA’s commitment to identifying and pursuing those who perpetrated fraud on the Paycheck Protection Program," said SBA's General Counsel Wendell Davis. "This settlement also exhibits the excellent results from effective SBA and DOJ collaboration to combat the unconscionable misuse of critical pandemic relief programs. SBA continues its enhanced efforts to uncover such misconduct and recover those funds on behalf of the American taxpayers.”
The Government’s work in this investigation illustrates its commitment to combatting COVID-19 fraud. The United States encourages anyone with information about potential fraud involving COVID-19 to report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form. PPP recipients also may voluntarily disclose self-discovered evidence of fraud involving the PPP to U.S. Attorney’s Offices.
The settlement resolves lawsuits brought by private citizens under the qui tam provisions of the False Claims Act. Under those provisions, a private party can file a civil action on behalf of the United States, thereby bringing allegations of fraud to the Government’s attention, and share in any financial recovery. As part of this resolution, the individuals who filed the qui tam complaints are eligible to receive a portion of the settlement proceeds. The civil cases are captioned United States ex rel. GNGH2 Inc. v. Topy America, Inc., Case No. 3:24-cv-0003-GFVT and United States ex rel. Blockquote, Inc. v. Topy America, Inc., Case No. 3:24-cv-0028.
This matter was handled by Assistant U.S. Attorney Meghan Stubblebine, with assistance from the SBA’s Office of General Counsel. The claims resolved by the settlement are allegations only; there has been no determination of liability.
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Fort Dodge, Iowa, Man Pleads Guilty to Conspiracy to Distribute MethamphetamineRead the Press Release
Christopher Lee Caquelin age 41, from Fort Dodge, Iowa, pled guilty March 26, 2025, to one count of conspiracy to distribute a controlled substance and one count of distribution of a controlled substance.
At the plea hearing, evidence showed that from January 1, 2023, and continuing to on or about October 31, 2024, Caquelin was part of an ongoing drug conspiracy based in Fort Dodge, Iowa to distribute 50 grams or more of pure methamphetamine. Caquelin and others sold methamphetamine to people in the Fort Dodge area as well as sources working with law enforcement.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Caquelin remains in custody of the United States Marshal, pending sentencing. Caquelin faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of up to life imprisonment, a $10,000,000 fine, and 5 years to life of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Kevin C. Fletcher and Jack Lammers and was investigated by Webster County Sheriff’s Office, Fort Dodge Police Department, and Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 24-CR-03049. Follow us on X @USAO_NDIA.
Former federal employee sentenced to prison for mishandling classified materialsRead the Press Release
Defendant illegally removed documents from secure facility
AUGUSTA, GA: A former employee of a U.S. Department of Defense component agency was sentenced to federal prison for mishandling sensitive documents.
Margaret Anne Ashby, 26, of Henderson, Nevada, was sentenced to 36 months in prison and a fine of $15,000 after pleading guilty to Unauthorized Removal/Retention of Classified Documents, said Tara M. Lyons, Acting U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge J. Randal Hall also ordered Ashby to serve three years of supervised release upon completion of her prison term.
There is no parole in the federal system.
“This sentence should serve as a reminder to all personnel who handle sensitive government documents that their proper handling is of paramount importance,” said Acting U.S. Attorney Lyons. “Margaret Ashby is being held accountable for violating the laws that govern those entrusted to work with these materials.”
As described in court documents and testimony, Ashby was hired in March 2020 as a civilian employee of a Department of Defense component agency located in the Southern District of Georgia. As required for her employment, Ashby possessed a Top Secret security clearance.
From February 2022 to May 2022, Ashby, without authority, knowingly removed documents and materials containing classified information described in the plea agreement as “concerning the national defense or foreign relations of the United States.” She did so “with the intent to retain them at unauthorized locations, including her residence in the Southern District of Georgia and in digital files saved via a personal computing device located in the Southern District of Georgia.”
“Certain responsibilities are mandatory to individuals with access to Top Secret information and when the trust placed on them to protect our national intelligence is violated, they put our country at risk,” said Paul Brown, Special Agent in Charge of FBI Atlanta. “We will continue work with our partners to protect the American people and uphold the constitution by safeguarding our country's classified information.”
The case was investigated by the FBI, and prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorneys L. Alexander Hamner and Darron J. Hubbard, and Trial Attorney David J. Ryan with the U.S. Department of Justice Counterintelligence and Export Control Section.
Former Stoughton Water Department Employee Pleads Guilty to Tampering with Drinking WaterRead the Press Release
BOSTON – A former Stoughton Water Department employee pleaded guilty today to tampering with the Stoughton drinking water supply.
Robert J. Bullock, Sr., 60, of Brockton, pleaded guilty to one count of tampering with a water system. U.S. District Court Judge Denise J. Casper scheduled sentencing for June 25, 2025. Bullock was indicted by a federal grand jury on March 5, 2024, Bullock.
According to the charging documents, Bullock is a former employee of the Water Department in Stoughton. On the evening of Nov. 29, 2022, Bullock went into one of the Water Department’s pumping stations and turned off the pump that introduces chlorine into drinking water. As a result, insufficiently disinfected water was introduced into the drinking water system.
The charge of tampering with a water system provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
United States Attorney Leah B. Foley; Jodi Cohen, Special Agent in Charge, Federal Bureau of Investigations, Boston Division; and Kathryn Rivera, Acting Assistant Special Agent in Charge of Environmental Protection Agency, Criminal Investigation Division in Boston made the announcement today. Valuable assistance was provided by the Massachusetts State Police and the Stoughton and Brockton Police Departments. Assistant U.S. Attorney Benjamin Tolkoff of the Criminal Division is prosecuting the case.
Former North Dakota State Senator Sentenced to 10 Years’ Imprisonment for Traveling to Prague to Engage in Commercial Sex with ChildrenRead the Press Release
A former North Dakota state legislator for 45 years was sentenced today to 10 years in prison for traveling to Prague in the Czech Republic, where he paid to sexually exploit children.
According to court documents, Raymon (Ray) Everett Holmberg, 81, of Grand Forks, traveled to Prague approximately 14 times between 2011 and 2021. During these trips, while staying at a brothel that catered to men looking to engage in commercial sex with adolescent boys, Holmberg paid for sex acts with boys. During some of the trips, Holmberg used the alias “Sean Evans.” Witnesses told law enforcement that Holmberg did not want his name on the brothel’s registry because he was a North Dakota state legislator. Witnesses also told law enforcement that Holmberg would also visit a public park in front of the main train station in Prague to procure sex from underage boys.
Holmberg also used the “Evans” alias to tell friends about his trips and encourage them to travel to Prague. In these communications, Holmberg shared an image of an adolescent boy that he called “his twink,” and said that “no one is ever to [sic] young . . . remember Prague.” He emailed a different friend a link to a brothel in Prague and suggested that they go that summer, writing: “The boys rent at around $60 . . . (sex is extra).” Holmberg also wrote: “It will be decadent but oh so much fun bro. What happens in Prague—Stays in Prague.” Back in the United States, Holmberg boasted about having engaged in sexual activity with boys as young as 12- and 15-years old during his travels.
According to the government’s sentencing memorandum, Holmberg’s sexual exploitation of minors was not limited to his trips to Prague. Holmberg established an online relationship with a 16-year-old Canadian boy, posing as a boy of a similar age in order to manipulate the Canadian teen into taking images of himself engaging in sexually explicit conduct and sending them to Holmberg.
On Aug. 8, 2024, Holmberg pleaded guilty to traveling in foreign commerce for the purpose of engaging in illicit sexual conduct.
Matthew R. Galeotti, Head of the Justice Department’s Criminal Division and Acting U.S. Attorney Jennifer Puhl for the District of North Dakota made the announcement.
Homeland Security Investigations, Grand Forks, and the North Dakota Bureau of Criminal Investigations investigated the case. The Justice Department’s Office of International Affairs and law enforcement partners in the Czech Republic and Slovakia provided substantial assistance.
Trial Attorney Charles Schmitz of the Justice Department’s Criminal Division, Child Exploitation and Obscenity Section, and Acting U.S. Attorney Jennifer Puhl for the District of North Dakota are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit www.justice.gov/psc.
Former Controller of Shelton, Washington outdoor equipment manufacturer sentenced to 12 months and one day in prison for wire fraudRead the Press Release
Seattle – The former Controller of a Shelton, Washington, outdoor equipment company was sentenced today to 12 months and one day in prison and three years of supervised release for his embezzlement scheme that stole more than $665,000 from the company, announced Acting U.S. Attorney Teal Luthy Miller. Jesse Arden Sherman, 63, of Elma, Washington illegally diverted company funds to his own accounts between 2012 and 2018. In addition, Sherman failed to pay taxes on his ill-gotten gain, resulting in a tax debt of $202,196. At the sentencing hearing U.S. District Judge Tiffany M. Cartwright emphasized the economic and non-economic losses experienced by the victim company and its employees.
According to records filed in the case, Sherman began working for Sims Vibration Laboratory Inc. in 2008. In his role as controller, he had complete access and control of the company accounting systems and banking functions. In 2012, he began abusing the trust the company had placed in him, by using a variety of schemes to steal from the company. Sherman made false representations to the company’s owner and President, he created false business records, and he created payroll checks and other checks that he deposited in his own accounts. In some instances, he noted in the company books that the check was “void” even though he had cashed it.
Sherman’s fraud resulted in a loss to the company of at least $665,840. As a Certified Public Accountant Sherman knew that he owed taxes on the money he obtained by fraud, but he failed to pay the $202,196 he owed on his taxes between 2013 and 2018.
In asking the court for an 18-month prison sentence, prosecutors noted that Sherman betrayed his employer’s trust month after month with each fraudulent check or entry in the company books. “Despite personal and professional privileges, Sherman elected to create a multi-faceted fraud scheme, which he deployed repeatedly over the years to unjustly enrich himself. Although he claims his gambling drove his behaviors, Sherman had the means and self-recognition to address this issue and instead of doing so he instead re-committed to his scheme over and over again to the detriment of SVL, SVL employees, SVL business partners, and Sherman’s family.”
Sherman has agreed to make restitution to the company of $665,840 and to the IRS of $202,196.
The case was investigated by the Internal Revenue Service Criminal Investigation (IRS-CI), the FBI and the Mason County Sheriff’s Office.
The case was prosecuted by Assistant United States Attorney Brian Wynne.
Former Avon, NY, police trainee pleads guilty to possession of child pornography and cyberstalkingRead the Press Release
ROCHESTER, N.Y.-U.S. Attorney Michael DiGiacomo announced today that Casey Medina, 33, of Rochester, NY, pleaded guilty before U.S. District Judge Meredith A. Vacca to possession of child pornography and cyberstalking, which carry a maximum penalty of 10 years in prison.
Assistant U.S. Attorney Katelyn M. Hartford, who is handling the case, stated that on August 22, 2024, investigators executed a search warrant on Medina’s cellular telephone. During a forensic extraction and a manual review of the phone, approximately 360 images of child pornography the defendant had received over a social media platform were recovered. At least one image involved a prepubescent child being subjected to violence.
In addition, between May and August 2024, Medina disseminated and posted sexually explicit photographs that had been edited to falsely depict an individual (victim) engaged in sexually explicit activity to various social media platforms and public websites via the internet. The photographs depicted the victim’s face superimposed on pornographic images made to appear as if she was engaged in sexual intercourse. Beginning in May 2024, over the course of approximately 26 days, and again between June 2024 and July 2024, Medina sent, and recruited others via the internet to send, threatening and harassing text messages to the victim. The messages included threats to kidnap, rape, sexually abuse, and kill her, as well as including the sexually explicit images with her face superimposed on them. In many instances, Medina included identifying information while disseminating the victim’s images, including her hometown and place of work.
The plea is the culmination of an investigation by the Onondaga County, NY, Sheriff’s Office, under the direction of Sheriff Tobias Shelley, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia.
Sentencing is scheduled for August 4, 2025, at 2:00 p.m., before Judge Vacca.
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Florida Sex Offender Sentenced to 15 Years for Distribution of Child Sexual Abuse MaterialRead the Press Release
Jacksonville, FL – Chief United States District Judge Marcia Morales Howard has sentenced Nicholes Scott Newman (42, Hilliard) to 15 years in federal prison for distribution of child sexual abuse material (CSAM). Newman was also ordered to serve a 10-year term of supervised release and register as a sex offender.
According to court records, in June 2024, a detective acting in an undercover capacity was monitoring a social media messaging group chat where Newman was distributing CSAM images and videos to others in the group. The undercover detective communicated directly with Newman where Newman sent additional videos and images containing CSAM to the undercover detective.
Newman was previously convicted in Pinellas County (2014) of 20 counts of possession of CSAM and was sentenced to Florida State Prison. He was released on February 6, 2019.
“This predator’s prior conviction did not deter him from continuing to victimize children by distributing vile child sexual abuse material,” said Homeland Security Investigations Jacksonville Assistant Special Agent in Charge Tim Hemker. “The men and women of HSI and the Northeast Florida INTERCEPT Task Force will continue to work tirelessly to dismantle these networks and keep our communities safe.”
This case was investigated by Homeland Security Investigations, the Nassau County Sheriff’s Office, the Clay County Sheriff’s Office, the Jacksonville Sheriff’s Office, and the Northeast Florida INTERCEPT Task Force. This case was prosecuted by Assistant United States Attorney John Cannizzaro.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Florida Man Pleads Guilty to Scheming to Defraud Maryland, California of More Than $2.3 Million in Covid-19 Unemployment Insurance BenefitsRead the Press Release
Baltimore, Maryland – David Godin, 34, aka “James St Patrick,” aka “David Wetty,” aka “Vic Pro,” of Miami, Florida, has pleaded guilty to wire fraud and aggravated identity theft, in connection with a scheme to defraud the Maryland Department of Labor (MD-DOL) and California Employment Development Department (CA-EDD). Godin attempted to defraud MD-DOL and CA-EDD of more than $2.3 million in unemployment insurance (UI) benefits during the COVID-19 pandemic.
Kelly O. Hayes, U.S. Attorney for the District of Maryland, announced the guilty plea with Special Agent in Charge Troy W. Springer, National Capital Region, U.S. Department of Labor’s Office of Inspector General (DOL-OIG), and Special Agent in Charge Kareem A. Carter, Internal Revenue Service - Criminal Investigation (IRS-CI), Washington, D.C. Field Office.
According to the plea agreement, from June 2020 through November 2023, Godin engaged in a sophisticated scheme to defraud the MD-DOL and CA-EDD by using the personal identifiable information of identity theft victims, anonymous email addresses, virtual private networks, and proxy servers. This enabled Godin to file numerous fraudulent UI claims with multiple states from a single location; aggregate UI information in discrete accounts; and avoid fraud safeguards put in place by state insurance programs.
Godin submitted and caused the submission of at least 140 fraudulent UI claims to MD-DOL, CA-EDD, and other state workforce agencies, resulting in approximately $2,364,226 in UI benefits. He obtained $1,087,345.66 through the fraud scheme. As part of the plea agreement, Godin is required to pay restitution of $1,087,345.66. Additionally, Godin must forfeit money, property, and/or assets that he obtained through the scheme, including a money judgment of at least $1,087,345.66.
Godin faces a maximum sentence of 20 years in federal prison for the wire fraud scheme and a consecutive mandatory minimum sentence of two years in federal prison for using the personal identifiable information of identity theft victims during and in relation to the fraudulent activities. A federal district court judge determines sentencing after considering the U.S. Sentencing Guidelines and other statutory factors. U.S. District Judge Matthew J. Maddox has scheduled sentencing for June 30, at 10 a.m.
This case is part of the District of Maryland COVID-19 Strike Force, a Strike Force that is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information about the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
U.S. Attorney Hayes commended DOL-OIG and IRS-CI for their work in the investigation. Ms. Hayes also thanked Assistant U.S. Attorneys Bijon A. Mostoufi and Jared M. Beim, who are prosecuting the federal case, and Joanna B.N. Huber, who is supporting the case.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/report-fraud.
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Final Member of Multi-State Poly-Drug Conspiracy SentencedRead the Press Release
Jackson, TN – A federal judge has sentenced Anthony Hines, 46, of Memphis, TN, to over ten years in federal prison for his role in an organized drug trafficking scheme in West Tennessee. Hines was the final defendant of multi-defendant and multi-state drug conspiracy. Reagan Fondren, Acting United States Attorney for the Western District of Tennessee, announced the sentence today.
According to the evidence presented in court, in early 2019, the Drug Enforcement Administration (DEA), along with the Henry County Metro Narcotics task force, began an investigation into the illegal distribution of narcotics in the Western District of Tennessee. The investigation revealed that Terry Smith, 38, of Memphis, arranged for large quantities of methamphetamine, marijuana, cocaine, heroin, and fentanyl to be shipped into the West Tennessee. Smith used contraband cellular devices from Texas, Arizona, and California to arrange the shipments. The drugs were delivered for redistribution by Smith’s network of co-conspirators, including Hines, in locations that ranged from Western Kentucky to Northwest Mississippi.
Ultimately, law enforcement agents determined that Smith and his co-conspirators were responsible for distributing approximately 119 pounds of methamphetamine, 10,000 fentanyl pills, 20 ounces of heroin/fentanyl mix, 2 ounces of fentanyl and 40 pounds of marijuana throughout West Tennessee and surrounding areas. Agents physically seized a total of 17.24 kilograms of actual methamphetamine, 141.76 grams of marijuana, 68.645 grams of Heroin/Fentanyl mixture and 10.845 grams of Fentanyl.
On May 15, 2023, Hines pled guilty to conspiracy to possess with the intent to distribute methamphetamine. On March 24, 2025, United States District Court Judge S. Thomas Anderson sentenced Hines to 125 months in federal prison and five years of supervised release. There is no parole in the federal system.
The following co-conspirators have already pled guilty and have been sentenced:
- Terry Smith, 38, of Memphis, Tennessee: 240 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine.
- Rodney Ayers, 51, of Memphis, Tennessee: 180 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine.
- James Dumas, 49, of Lansing, Michigan: 150 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine.
- Kayla Henderson, 31, of Memphis, Tennessee: 80 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine.
- Dustin Chambers, 38, of Jackson, Tennessee: 120 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine.
- Horace McNeary, 37, of Paris, Tennessee: 130 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine.
- Brianna Norsworthy, 25, of Murray, Kentucky: 110 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine, as well as possession with the intent to distribute 50 grams or more of methamphetamine.
- Jessica Vestal, 34, of Hendersonville, Tennessee: 80 months and a 5-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 50 grams or more of actual methamphetamine, as well as possession with the intent to distribute 50 grams or more of methamphetamine.
- Michael Broady, 51, of Memphis, Tennessee: a time served period of 13 months and a 3-year period of supervised release for conspiracy to distribute and possess with the intent to distribute cocaine.
- Jermichael Buggs, 37, of Grand Junction, Tennessee: 84 months and a 3-year period of supervised release for conspiracy to distribute and possess with the intent to distribute cocaine.
- Christopher Hamilton, 49, of Memphis, Tennessee: 60 months and a 4-year period of supervised release for conspiracy to distribute and possess with the intent to distribute cocaine.
- Teddy Reed, 43, of Memphis, Tennessee: 63 moths and a 4-year period of supervised release for conspiracy to distribute and possess with the intent to distribute 500 grams or more of cocaine.
- Aerielle Coleman, 34, of Memphis, Tennessee: 30 months and a 2-year period of supervised release for conspiracy to distribute and possess with the intent to distribute a mixture and substance containing a detectable amount of methamphetamine.
- Danielle Cunningham, 38, of Memphis, Tennessee: time served and a 3-year period of supervised release for conspiracy to distribute and possess with the intent to distribute a mixture and substance containing a detectable amount of methamphetamine.
- Tracy Coleman, 50, of Memphis, Tennessee: a time served period of 18 months and a 2-year period of supervised release for conspiracy to distribute and possess with the intent to distribute marijuana
- Johnnie McGhee, 51, of Olive Branch, Mississippi: 60 days and a 2-year period of supervised release for conspiracy to distribute and possess with the intent to distribute marijuana.
This investigation was conducted as part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The DEA; West Tennessee Drug Task Force; Jackson Police Department; Jackson-Madison County Metro-Narcotics; Madison County Sheriff’s Department, Paris, Tennessee Police Department; Henry County Sheriff’s Department; Murray, Kentucky Police Department; Kentucky State Police; Arkansas State Police; and the U.S. Marshals Service investigated this case.
Acting U.S. Attorney Reagan Fondren thanked Assistant United States Attorneys Adam Davis and Hillary Parham, who prosecuted this case, as well as the law enforcement partners who investigated the case.
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For more information, please contact the media relations team at [email protected]. Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates.
Father-and-Son Duo from Westside Arrested on Federal Criminal Complaints Alleging Fentanyl Trafficking and Gun SalesRead the Press Release
LOS ANGELES – A Westside father and son were arrested today on federal criminal complaints charging them with possessing narcotics – specifically, the powerful synthetic opioid fentanyl – with the intent to distribute it to others.
Antonio Espinoza Zarate, 55, a.k.a. “El Gato,” of the Mar Vista area of Los Angeles, and his son, Francisco Javier Espinoza Galindo, 31, of Santa Monica, were arrested this morning and are scheduled to make their initial appearances this afternoon in United States District Court in downtown Los Angeles.
Both defendants are charged with possession with the intent to distribute fentanyl. Antonio Espinoza also is charged with illegal reentry of a removed alien.
According to affidavits filed with the complaints, Antonio Espinoza in July 2023 sold a pistol, a rifle, 131 rounds of ammunition, and more than 500 grams of fentanyl pills to a buyer. He is not licensed to engage in the business of dealing in firearms.
In August 2023, Antonio Espinoza allegedly sold an AR-style rifle and approximately 1 kilogram of fentanyl pills to a buyer, supplied by Francisco Espinoza. In January 2025, he allegedly sold a rifle, a pistol, a revolver, and ammunition to a buyer. In February 2025, with his son present, Antonio Espinoza sold more than 500 grams of fentanyl pills to the confidential informant.
Antonio Espinoza is a citizen of Mexico, who has been previously deported in 2010, 2013, 2014, and 2017 and illegally reentered the United States following his removals, according to court documents. His criminal history includes felony convictions in 2008 in Los Angeles Superior Court for possession of narcotics for sale and in 2015 in U.S. District Court for the District of Arizona for illegal reentry of a removed alien.
A complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of all charges, the defendants would face a statutory maximum sentence of life in federal prison and a mandatory minimum sentence of 10 years in federal prison.
The investigation was conducted by the Homeland Security Investigations (HSI)-led El Camino Real Financial Crimes Task Force, a multi-agency task force that includes federal and state investigators who are focused on financial crimes in Southern California, with support from special agents with the United States Attorney’s Office for the Central District of California – Criminal Investigative Division; and the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Los Angeles Police Department regarding dangers to the community from the sales of narcotics and firearms.
As U.S. DOJ special agents, the U.S. Attorney’s Office (USAO) Criminal Investigators conduct independent and joint-agency investigations to achieve successful prosecutions and adjudications of federal crimes charged in the district. USAO investigators are positioned to address the prosecution priorities of the U.S. Attorney, as well as unique or project-based matters that may arise in the district and serve to generate or support a variety of federal cases with coordination and continuity among law enforcement partners throughout an investigation and trial.
Assistant United States Attorney Diane B. Roldán of the Violent and Organized Crime Section is prosecuting these cases.
Executive Pleads Guilty to a Seven-Count Indictment Two Weeks Before Trial, Admits to Longstanding Antitrust and Wire Fraud Conspiracies Affecting Wildfire ServicesRead the Press Release
The owner of a contractor company that provided fuel truck services to the U.S. Forest Service’s wildfire fighters pleaded guilty to a seven-count indictment yesterday for his role in schemes to rig bids, allocate territories, and commit wire fraud over an eight-year period. Kris Bird, 62, pleaded guilty to all charges against him two weeks before trial, with no assurances from the government as to the sentence prosecutors will recommend to the judge. The plea follows a judicially authorized wiretap investigation that led to the indictment of two executives in December 2023. Both executives pleaded guilty and are now scheduled to be sentenced in June 2025.
As set out in the factual basis filed in the U.S. District Court for the District of Idaho, Bird admitted to conspiring with Ike Tomlinson, 61, and others to rig bids and allocate territories in the market for wildfire-fighting fuel truck services for certain dispatch centers of the U.S. Forest Service’s Great Basin wildfire dispatch region between March 2015 and March 2023, in violation of Section 1 of the Sherman Act. Bird further admitted to conspiring to commit wire fraud during the same period, and to committing five acts of wire fraud. At the change-of-plea hearing, Bird also admitted to the forfeiture allegations in the indictment.
“Bid-rigging and other collusive, anticompetitive agreements are neither sophisticated nor lawful. As the defendants have now conceded, they selfishly damaged essential taxpayer-funded services critical to protecting the American public from wildfires,” said Assistant Attorney General Abigail Slater of the Justice Department’s Antitrust Division. “The meticulous investigation led by the Antitrust Division’s Procurement Collusion Strike Force and its law enforcement partners left the defendant with little choice but to plead to the indictment. The Justice Department will not treat bid-rigging as business as usual.”
“Citizens and Idaho businesses must have access to fair competition for government contracts,” said Acting U.S. Attorney Justin Whatcott for the District of Idaho. “The guilty pleas in this case help ensure equal opportunities for all Idaho businesses and protects taxpayers from paying inflated contract prices.”
"The defendant illegally profited from American taxpayer money," said Special Agent in Charge Mehtab Syed of the FBI Salt Lake City Field Office. "The FBI and our partners are committed to rooting out fraud and protecting fair competition in the bidding for government contracts."
"We will continue working with our law enforcement partners to fight fraud in federal contracting,” said Assistant Inspector General for Investigations James Adams of the General Services Administration Office of Inspector General.
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals and a maximum penalty of a $100 million fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by victims if either amount is greater than the maximum. A violation of the wire fraud statute carries a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Antitrust Division’s San Francisco Office, U.S. Attorney’s Office for the District of Idaho, FBI Salt Lake City Field Office, Boise Resident Agency, and General Services Administration Office of Inspector General investigated the case. Assistant Chief Christopher J. Carlberg and Trial Attorneys Elena A. Goldstein, Daniel B. Twomey, and Matthew Chou of the Antitrust Division's San Francisco Office, and Assistant U.S. Attorney Sean M. Mazorol for the District of Idaho are prosecuting the case.
Anyone with information about this investigation or other procurement fraud schemes should notify the PCSF at www.justice.gov/atr/webform/pcsf-citizen-complaint. The Justice Department created the PCSF in November 2019. It is a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant and program funding at all levels of government—federal, state and local. For more information, visit www.justice.gov/procurement-collusion-strike-force.
Ellensburg Sex Offender Sentenced to Federal Prison for Downloading Child Sexual Abuse MaterialRead the Press Release
Yakima, Washington – Acting United States Attorney Richard Barker announced that Chief United States District Judge Stanley A. Bastian sentenced Aaron Edger Dollarhide, age 39, of Ellensburg, Washington, to 180 months in prison on one count of Receipt of Child Pornography, after a prior conviction for a similar offense. Chief Judge Bastian also imposed 5 years of supervised release.
According to court documents and information presented at the sentencing hearing, on January 19, 2022, Homeland Security Investigation agents and Ellensburg police officers served a search warrant at Dollarhide’s Ellensburg home. Agents seized Dollarhide’s phone pursuant to that warrant.
Investigators completed a forensic review of Dollarhide’s phone and learned that on January 18, 2022, Dollarhide had downloaded a folder of digital files containing child sexual abuse material. Investigators also located 687 additional videos on the phone depicting children being sexually abused.
Ten years earlier, in 2012, Dollarhide had been sentenced to prison following a conviction for Second Degree Child Molestation in Yakima County Superior Court.
“Today’s sentence reflects our commitment to protecting the most vulnerable members of our community and holding individuals accountable for exploiting children,” said Acting United States Attorney Richard Barker. “Mr. Dollarhide’s actions of repeatedly downloading and possessing child pornography, despite a prior conviction for molesting a child, demonstrate a disturbing disregard for the safety and well-being of children. Our office will continue to pursue and prosecute those who exploit children, and we will work tirelessly to ensure that those who do harm young children will face the full consequences of their actions.”
This case was investigated by Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Michael Murphy.
1:22-cr-02024-SAB
Eight members of Hampton Roads armed robbery conspiracy sentenced to prisonRead the Press Release
NEWPORT NEWS, Va. – Five more co-conspirators have been sentenced to prison for their parts in a broader conspiracy to rob mail carriers at gunpoint, break into collection boxes to steal mail, and commit bank fraud.
According to court documents, from at least April through July of 2023, Ricky Damion Christopher Jones, Jr., aka David William Smith or “Top!,” 21, led at least seven others in a conspiracy to rob U.S. Postal Service (USPS) mail carriers at gunpoint for their arrow keys, which the co-conspirators then either sold or used to break into collection boxes. Arrow keys are master keys used by USPS mail carriers to access blue collection boxes, outdoor parcel lockers, and apartment mailbox panels and are highly valued by criminals who use them to steal mail in lucrative criminal schemes, such as bank and check fraud and identity theft. The co-conspirators included: Dashawn Evans-McCloud, aka Shawn or RI$E, 21, of Virginia Beach; Samir As-Sad Hurd, aka Prodigy, 24, of Chesapeake; Chanz Lamarion Pough, aka NSO Up, 21, of Frederick, Maryland; Manray A.C. Perry, 23, of Virginia Beach; O’Sirus Charles Landres Ford, aka Siris or John Jack, 22, of Chesapeake; Jayden Stukes, 21, of Chesapeake; and Datwan Watson, 24, of Chesapeake.
On May 8, Ford orchestrated the robbery of a USPS carrier in Norfolk wherein the minor robbed the USPS mail carrier at gunpoint, taking both his arrow key and his USPS identification card. Ford and the minor ran back to their vehicle, where Perry was waiting and served as the getaway driver. Perry and the minor agreed to commit another robbery in Hampton the following day, but each backed out. Ford then recruited Stukes and, with Watson’s assistance, robbed another carrier of his arrow key at gunpoint in Hampton on May 9. During the robbery, he threatened to shoot the victim. The other co-conspirators played their own roles, with Jones paying Ford $1000 for both robberies and the keys, Evans-McCloud arranging the rental of the getaway vehicle, and Hurd providing the firearm.
Despite Ford’s June 6, 2023, arrest, the remaining co-conspirators went forward with additional robberies. On July 20, 2023, Evans-McCloud served as the gunman and Hurd as the getaway driver for one attempted robbery in James City County, then two more completed robberies in James City County and Hampton. First, Evans-McCloud, masked and brandishing a firearm, ran toward a mail carrier, but the victim carrier was able to escape in her USPS mail truck. Less than an hour later, Evans-McCloud approached another mail carrier delivering mail on West Steeplechase Way, pointed a gun at the back of his head, and demanded his arrow key. After the carrier surrendered the key, Evans-McCloud retreated to the vehicle driven by Hurd. An hour later, Evans McCloud robbed a carrier by pointing a gun to her head and demanding her arrow key. When she surrendered the key, Evans-McCloud again fled the scene with Hurd. Pough rented the getaway vehicle, which was tracked to an apartment in Virginia Beach rented by Jones. During a search of that apartment, the rented vehicle, and Jones’ vehicle, law enforcement found both stolen arrow keys, masks consistent with the one worn by Evans-McCloud, and several firearms, ammunition, and magazines. They also found numerous tools of check washing, card cracking, and related bank fraud, including high-end printers, blank check stock, deposit slips, hundreds of checks, credit cards in other people’s names, assorted identity documents, and boarding passes.
Subsequent investigation revealed that Jones, Evans-McCloud, Pough, Hurd, and Ford were also participating in related bank and wire fraud schemes involving “card cracking” and “check washing.” These schemes included, among other methods, depositing a counterfeit check, whether altered or entirely fabricated, into a third-party account, then withdrawing as much of that money as possible before the fraudulent check was detected and the account was frozen or the transaction was reversed.
On Sept. 4, 2024, Jones pled guilty to use of a firearm during a crime of violence and conspiracy to commit robbery and conspiracy to commit bank fraud. Jones was sentenced today to 19 years in prison.
On Sept. 16, 2024, Hurd pled guilty to robbery and brandishing a firearm during a crime of violence. On Jan. 28, Hurd was sentenced to 14 years and three months in prison.
On Sept. 16, 2024, Evans-McCloud pled guilty to conspiracy to commit robbery, robbery, and brandishing a firearm during a crime of violence. On Mar. 19, Evans-McCloud was sentenced to 15 years in prison.
On Sept. 19, 2024, Perry pled guilty to robbery. On Mar. 4, Perry was sentenced to five years and three months in prison.
On Sept. 23, 2024, Pough pled guilty to conspiracy to commit bank fraud. Pough was sentenced on Feb. 13 to two years and six months in prison.
Stukes and Watson were each sentenced to 4 years in prison on Apr. 17 and 18, 2024, and Ford was sentenced to 12 years in prison on Jun. 12, 2024.
Erik S. Siebert, U.S. Attorney for the Eastern District of Virginia, and Damon E. Wood, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by U.S. District Judge Roderick C. Young. The James City County Police Department and Hampton Police Department assisted in the investigation of this case.
Assistant U.S. Attorney Julie Podlesni prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 4:24-cr-18 and 4:23-cr-51.
Drug trafficking, murder-for-hire and kidnapping conspiracies send cartel leader to prison for lifeRead the Press Release
LAREDO, Texas – A 41-year-old Mexican citizen residing in Nuevo Laredo, Tamaulipas, Mexico, has been ordered to federal prison following his multiple convictions related to a murder-for-hire scheme that brought three sicarios aka hitmen across the border into Laredo, announced U.S. Attorney Nicholas J. Ganjei.
Noe Gonzalez-Martinez aka Tocayo was a leader and manager of the Cartel Del Noreste (CDN). A federal jury deliberated for approximately one hour before convicting him Dec. 13, 2023, on all counts following a three-day trial. They found him guilty of conspiracy to possess with intent to distribute five kilograms or more of cocaine, murder-for-hire conspiracy, murder for hire, conspiracy to kidnap, possession of firearms in furtherance of a drug trafficking-related crime and interstate travel in aid of racketeering.
U.S. District Judge Nelva Gonzales Ramos has now ordered Gonzalez-Martinez to serve the rest of his life plus 60 months in federal prison. At the hearing, the court heard about his role as a leader/organizer and his conduct in the crimes as well as the substantial progress Gonzalez-Martinez made toward the completion of the offenses.
“Drug trafficking and violence go hand-in-hand, and this is particularly true in the case of cartels, as this case shows,” said Ganjei. “The Department of Justice is committed to preventing the cartels from ever gaining a foothold in America, and the vigorous prosecution of their leadership is a critical component of that. Through the conviction of Mr. Gonzalez-Martinez, the Southern District of Texas (SDTX) has dealt a major blow to the CDN cartel. This is, however, just the beginning. SDTX is pursuing every opportunity and every avenue to dismantle cartel operations on both sides of the border. Stay tuned.”
“With drug trafficking comes violence that typically spills over from Mexico and into the United States, particularly the southwest border. The Drug Enforcement Administration’s (DEA) tenacious agents did not only thwart the drug trafficking activities of this violent CDN but successfully managed to halt several murders, one of which would have been carried out by the drug trafficking organization's trusted lead enforcer Noe Gonzalez Martinez,” said DEA Special Agent in Charge Daniel C. Comeaux. “This case is a testament that the DEA is definite in its fight against these foreign terrorist drug trafficking organizations who illegally crossed into the United States for the sole purpose of kidnapping and murdering an American Citizen. We will continue to bring to justice anyone thinking about ripping peace out of our American neighborhoods and communities.”
“This brazen scheme planned out by CDN is a direct threat to the safety and stability of South Texas. The campaign of terror, drug-trafficking, and violence this man employed has no place on American soil. Immigration and Customs Enforcement (ICE) and Homeland Security Investigations (HSI), in coordination with our federal partners, have prioritized Mexican cartels, like CDN, and will continue to aggressively combat their criminal acts until they are no more,” said ICE-HSI San Antonio Special Agent in Charge Craig Larrabee.
During the trial, the jury heard evidence that between Sept. 7, 2021, and Sept. 13, 2021, Gonzalez-Martinez and several other CDN members traveled from Nuevo Laredo into Laredo. There, Gonzalez-Martinez solicited the help of other CDN affiliates to recruit, plan and coordinate the kidnapping and murder of an individual the cartel believed had stolen from them.
The investigation revealed Gonzalez-Martinez communicated via cellphone with co-conspirators to plan and coordinate the recovery of drugs and proceeds from the intended victim. In addition, Gonzalez-Martinez provided co-conspirators with an address where they could retrieve firearms to execute the murder.
On Sept. 13, 2021, co-conspirators took possession of an automobile and firearms to carry out the murder. The firearms included a .45 caliber pistol, .357 magnum revolver, and two AR-15s.
Testimony also revealed the CDN’s operations and additional details of the murder-for-hire plot. The three sicarios were to kidnap the suspected drug thief and return him to Mexico for cartel members to make an example of him. If they were unable to do so, they were to kill him and return the stolen property to the cartel.
The jury heard from law enforcement who were able to thwart the crime and take the hitmen into custody prior to carrying out the murder. Authorities apprehended Gonzalez-Martinez July 29, 2022, at the international port of entry in Laredo.
At trial, Gonzalez-Martinez attempted to convince the jury someone else was responsible for arranging and overseeing the commission of the crime. The jury did not believe defense’s claims and found him guilty as charged.
The three sicarios - Juan Antonio Martinez-Padilla aka Juan Antonio Martinez-Lopez aka Otoniel Martinez-Padilla, 60, Gregorio Gonzalez-Barragan, 34, and Rodolfo Reyna-Zapata, 27, all from Nuevo Laredo, Mexico, previously received sentences of 240, 352, and 352 months, respectively.
Gonzalez-Martinez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
DEA, ICE-HSI and the Laredo Police Department conducted the investigation. Former Assistant U.S. Attorney (AUSA) Jose Angel Moreno and AUSA Steven Chamberlin prosecuted the case.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.
Dominican Republic Citizen Residing in Cleveland, Ohio, Indicted for Defrauding Grandparents from Western Pennsylvania Out of Tens of Thousands of DollarsRead the Press Release
PITTSBURGH, Pa. – A resident of Cleveland, Ohio, originally from the Dominican Republic has been indicted by a federal grand jury in Pittsburgh on charges of Receipt of Stolen Money that Crossed a State Border, Acting United States Attorney Troy Rivetti announced today.
The five-count Indictment names Luis Alfonso Bisono Rodriguez, 34, as the sole defendant. Rodriguez was previously charged on March 21, 2025, by way of Criminal Complaint, and was arrested last week in the Cleveland area.
As alleged in the Complaint Affidavit, Rodriguez is a member of an organized crime group operating across Pennsylvania and Ohio to defraud victims in the Western District of Pennsylvania and elsewhere out of tens of thousands of dollars pursuant to a grandparent fraud scam. As part of that scheme, scammers call a grandparent and impersonate their grandchild in a crisis such as an accident or arrest, and then ask the grandparent to send immediate financial assistance. Money from the victims was picked up in Pennsylvania and delivered by Lyft and Uber drivers to various locations in Northern Ohio, where Rodriguez was captured on surveillance videos from various retail establishments meeting the drivers and receiving the stolen money. Rodriguez then sent much of the fraud proceeds to the Dominican Republic via wire transfers, as well as deposited portions of the fraud proceeds into bank accounts.
As alleged, between October 2024 and January 2025, at least five elderly individuals from Western Pennsylvania were victimized by the scam and defrauded out of a total of more than $50,000. The investigation has revealed that there are likely many more victims in Pennsylvania, Ohio, and other states. The Federal Bureau of Investigation asks that individuals with information about this scam and/or who believe that they or others they know may have been a victim of the scam report that fraud through the Bureau’s Internet Crime Complaint Center at www.ic3.gov.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Pittsburgh and Cleveland offices of the Federal Bureau of Investigation conducted the investigation leading to the Criminal Complaint and Indictment, with the assistance of the Parma Police Department in Northern Ohio and numerous police departments in Western Pennsylvania, including the Millcreek Township Police Department, Grove City Police Department, Scott Township Police Department, Fox Chapel Police Department, Finley Township Police Department, and Hermitage Police Department.
An indictment and a criminal complaint are accusations. A defendant is presumed innocent unless and until proven guilty.
Deforest Business Owner Sentenced to 9 Years for Cocaine TraffickingRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin announced that Luis Angel Rios, 50, of DeForest, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 9 years in federal prison for attempting to distribute a large quantity of cocaine and maintaining a place for storing and distributing cocaine. Rios pleaded guilty to these charges on January 10, 2025.
In late 2022 and early 2023, investigators with the U.S. Drug Enforcement Administration began investigating a cocaine trafficking organization operating in Dane County. During an investigation that included the interception of communications between Rios and other participants in the trafficking, investigators determined that Rios was obtaining and selling multiple kilograms of cocaine, and at times cooperating with another local kilogram-level cocaine trafficker to assist in maintaining a drug supply. On June 1, 2023, as a result of phone interceptions and surveillance, investigators intercepted a half-kilogram delivery of cocaine intended for one of Rios’s customers.
Rios was the owner of a cleaning and maintenance business in DeForest. During the sentencing, Judge Peterson credited Rios with being a hard-working family man, with no criminal history, but observed that the investigation demonstrated that he also applied his hard-working efforts to managing his ability to secure and distribute large quantities of cocaine. The court found that Rios brought more than 15 kilograms of cocaine into the community in a short period of time, which exploited those who had addictions and served to feed other crimes created by drug use.
Rios’s co-defendant, Braulio Martinez Salazar, was sentenced by Judge Peterson on March 11, 2025, to 3 years for his role in the cocaine trafficking operation.
The charges against Rios were the result of an investigation conducted by the Drug Enforcement Administration, FBI, Wisconsin Department of Justice Division of Criminal Investigation, Dane County Narcotics Task Force, and Madison Police Department. Assistant U.S. Attorneys Robert Anderson and William M. Levins prosecuted this case.
The investigation was conducted and funded by the Organized Crime Drug Enforcement Task Force (OCDETF), a multi-agency task force that coordinates long-term narcotics trafficking investigations.
Defense Contractor MORSECORP Inc. Agrees to Pay $4.6 Million to Settle Cybersecurity Fraud AllegationsRead the Press Release
MORSECORP Inc. (MORSE), of Cambridge, Massachusetts, has agreed to pay $4.6 million to resolve allegations that MORSE violated the False Claims Act by failing to comply with cybersecurity requirements in its contracts with the Departments of the Army and Air Force.
The settlement resolves allegations that MORSE submitted false or fraudulent claims for payment on contracts with the Departments of the Army and Air Force, and that those claims were false or fraudulent because Morse knew it had not complied with those contracts’ cybersecurity requirements. As part of the settlement, MORSE admitted, acknowledged and accepted responsibility for the following facts:
- From January 2018 to September 2022, MORSE used a third-party company to host MORSE’s emails without requiring and ensuring that the third party met security requirements equivalent to the Federal Risk and Authorization Management Program Moderate baseline and complied with the Department of Defense’s requirements for cyber incident reporting, malicious software, media preservation and protection, access to additional information and equipment necessary for forensic analysis and cyber incident damage assessment;
- The contracts required that MORSE implement all cybersecurity controls in National Institute of Standards and Technology (NIST) Special Publication (SP) 800-171, but from January 2018 to February 2023, MORSE had not fully implemented all those controls, including controls that, if not implemented, could lead to significant exploitation of the network or exfiltration of controlled defense information and controls that could have a specific and confined effect on the security of the network and its data;
- From January 2018 to January 2021, despite the contracts’ system security plan requirement, MORSE did not have a consolidated written plan for each of its covered information systems describing system boundaries, system environments of operation, how security requirements are implemented and the relationships with or connections to other systems;
- In January 2021, MORSE submitted to the Department of Defense a score of 104 for its implementation of the NIST SP 800-171 security controls. That score was near the top of the possible score range from -203 to 110. In July 2022, a third-party cybersecurity consultant notified MORSE that its score was actually -142. MORSE did not update its score in the Department of Defense reporting system until June 2023 — three months after the United States served MORSE with a subpoena concerning its cybersecurity practices.
“Federal contractors must fulfill their obligations to protect sensitive government information from cyber threats,” said U.S. Attorney Leah B. Foley for the District of Massachusetts. “We will continue to hold contractors to their commitments to follow cybersecurity standards to ensure that federal agencies and taxpayers get what they paid for, and make sure that contractors who follow the rules are not at a competitive disadvantage.”
“We are pleased with today’s settlement, which further demonstrates the resolve of the Department of the Army Criminal Investigation Division and our law enforcement partners to protect and defend the assets of the United States Army and Department of Defense,” said Special Agent in Charge Keith K. Kelly of the Department of the Army Criminal Investigation Division Fraud Field Office. “We’re committed to protecting the warfighter and maintaining the Army’s operational readiness while holding those who engage in such acts accountable.”
“Failure to implement cybersecurity requirements can have devastating consequences, leaving sensitive DoD data vulnerable to cyber threats and malicious actors,” said Special Agent in Charge William W. Richards of the Air Force Office of Special Investigations (AFOSI). “AFOSI, alongside our investigative partners and the Department of Justice, will continue to combat fraud affecting the Department of the Air Force and hold those accountable that fail to properly safeguard sensitive defense information.”
“Protecting the integrity of Department of Defense (DoD) procurement activities is a top priority for the DoD Office of Inspector General’s Defense Criminal Investigative Service (DCIS),” said Special Agent in Charge Patrick J. Hegarty of the DCIS Northeast Field Office. “Failing to comply with DoD contract specifications and cybersecurity requirements puts DoD information and programs at risk. We will continue to work with our law enforcement partners and the Department of Justice to investigate allegations of false claims on DoD contracts.”
The settlement resolves a lawsuit filed under the whistleblower provisions of the False Claims Act, which permit private parties to sue on behalf of the government when they believe that a defendant has submitted false claims for government funds and receive a share of any recovery. The settlement in this case provides for the whistleblower to receive an $851,000 share of the settlement amount. The qui tam case is captioned United States ex rel. Berich v. MORSECORP Inc. et al., No. 23-cv-10130 (D. Mass.).
The settlement announced today was the result of a coordinated effort between the U.S. Attorney’s Office for the District of Massachusetts, the Civil Division’s Commercial Litigation Branch, Fraud Section, with assistance from the Department of the Army Criminal Investigation Division’s Fraud Field Office, the Air Force Office of Special Investigations, DCIS and the General Services Administration Office of Inspector General. The matter was handled by Brian LaMacchia, Chief of the Affirmative Civil Enforcement Unit, Assistant U.S. Attorney Julien Mundele in the U.S. Attorney’s Office and DOJ Senior Trial Counsel Christopher Terranova.
Crownpoint Man Faces Federal Charges for Assaulting Tribal Police OfficerRead the Press Release
ALBUQUERQUE – A Crownpoint man is facing charges in federal court for allegedly assaulting a Navajo Police Department officer and escaping twice before being recaptured.
According to court documents, on March 18, 2025, two Navajo Police Department officers were dispatched to a domestic violence call. When the officers arrived on the scene, Jason Thompson, 39, an enrolled member of the Navajo Nation, was already in handcuffs but he managed to escape and run away from the officers while still handcuffed.
During the ensuing struggle to regain control, one officer deployed a department-issued taser on Thompson. Thompson then grabbed the taser and fired it at the officer, striking him in the chest. After Thompson was recaptured and placed in an NPD unit, he escaped again by removing the rear window bars and kicking out the window.
Thompson was apprehended later that night by the NPD.
Thompson is charged with assault with a dangerous weapon and will remain in custody pending trial, which has not been set. If convicted of the current charges, Thompson faces up to 10 years in prison.
Acting U.S. Attorney Holland S. Kastrin and Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation’s Albuquerque Field Office, made the announcement today.
The Gallup Resident Agency of the Federal Bureau of Investigation’s Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and Navajo Department of Criminal Investigations. Assistant U.S. Attorney Mark A. Probasco is prosecuting the case.
View the Criminal Complaint (Thompson).pdfA criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Convicted Nurse Practitioner to Forfeit over $40 million from Foreign Accounts for Health Care Fraud, Money LaunderingRead the Press Release
Trivikram Reddy, 43, a Waxahachie nurse practitioner previously convicted of wire fraud conspiracy and sentenced to 20 years in 2021, will now forfeit over $40 million from foreign accounts into which he moved the funds, announced Acting U.S. Attorney Chad E. Meacham.
Following Mr. Reddy’s conviction, the government filed a civil forfeiture action alleging that Mr. Reddy and others transferred and laundered the fraud proceeds to nearly 200 bank accounts located in India. Through forensic financial analysis, the government traced the proceeds to these accounts and obtained seizure warrants to forfeit and restrain the funds. On Monday, March 3, 2025, after Mr. Reddy and two family members stipulated up to $41,237,703.16 of the funds’ return from India, U.S. District Judge Ada Brown issued a judgment ordering the funds to be transferred to U.S. government custody.
According to court documents, Mr. Reddy, a licensed nurse practitioner, devised a scheme to defraud Medicare, Blue Cross Blue Shield of Texas, Aetna, UnitedHealthcare, Humana, and Cigna. Mr. Reddy and co-conspirators created false patient bills using the provider numbers of six doctors as the treating physicians on the claims. All the claims were false, as none of the six doctors provided billable services to any of Mr. Reddy’s medical clinics. In response to federal agents’ investigative inquiries, Mr. Reddy and his staff manufactured fake medical records in a failed attempt to justify the false claims. Mr. Reddy pleaded guilty to conspiracy to commit wire fraud in October 2020. In May 2021, Judge Brown sentenced Mr. Reddy to 20 years imprisonment and ordered over $50 million in restitution to the victims of his offense.
The civil forfeiture case is being handled by Assistant U.S. Attorney Dimitri Rocha. Assistant U.S. Attorney Beverly Chapman is handling the restitution. The case was investigated by the FBI Dallas Field office and Health and Human Services-Office of Inspector General (HHS-OIG).
Choppa City Crew Members Sentenced to Decades in Prison for Roles in Three Brinks Armored Car RobberiesRead the Press Release
WASHINGTON – William Brock, 33, and Anthony Antwon McNair, Jr., 36, both of Washington, D.C., were sentenced today to 657 months (54.75 years) months and 378 months (31.5 years) in prison respectively for their roles in a series of armed robberies of Brink’s armored cars in Washington, D.C., that resulted in the loss of more than $1.2 million.
The sentences were announced by U.S. Attorney Edward R. Martin, Jr., FBI Special Agent in Charge Sean Ryan of the Washington Field Office’s Criminal and Cyber Division, and Chief Pamela Smith of the Metropolitan Police Department (MPD).
Brock and McNair were found guilty by a federal jury on September 9, 2024, of conspiracy to interfere with interstate commerce by robbery, interference with interstate commerce by robbery (Hobbs Act Robbery), bank robbery, and brandishing a firearm during a crime of violence. The jury also found co-defendant Erin Sheffey guilty the same day of conspiracy to interfere with interstate commerce by robbery. Sheffey was sentenced January 15, 2025, to 18 years in prison.
In addition to the prison terms, U.S. District Court Judge Royce Lamberth ordered Brock and McNair to each serve three years of supervised release and pay $1.2 million in restitution.
The three Brink’s truck robberies occurred on October 6, 2021, December 8, 2021, and March 2, 2022. In those robberies, the defendants used firearms to assault the drivers of Brink’s armored cars and steal money. In total, the defendants stole over $1.2 million.
According to court documents and the evidence at trial, the three defendants were members of the Choppa City street crew. Brock, McNair, and Sheffey conspired together and with others to plan and carry out the robberies, brandishing firearms on busy District streets while doing so.
Each robbery occurred on a Wednesday at about 9 a.m., and two occurred on busy city throughfares, causing a significant risk to the public. Testimony in the case revealed that the conspirators used assault rifles to carry out their robberies.
Brock planned the robberies for months, learning the routes and arrival times of the Brink’s drivers, to ensure the robbery team was in place. As the Brink’s driver exited his armored car vehicle to deliver money to a business, the robbers ambushed him. In two cases, the defendants assaulted one of the Brink’s drivers, even after he had complied to their demands and had turned over his courier bag.
Members of the crew used social media to show off large sums of money they stole during the robberies and photographed themselves making high-end luxury purchases. For example, within two days of the robberies, Brock purchased vehicles in cash totaling over $36,000.
Leading up to trial, all three men attempted to intimidate witnesses in the case. These attempts, among other things, were cited as bases for their decades-long sentences.
This case was investigated by the FBI Washington Field Office’s Violent Crimes Task Force and the Metropolitan Police Department. It was prosecuted by Assistant U.S. Attorney Cameron Tepfer and Special Assistant U.S. Attorney Alex Schneider. Valuable assistance was provided by Assistant U.S. Attorneys Josh Gold, Meredith Mayer-Dempsey, and Thomas Strong.
An AR-15 used by the defendants during the armed robberies
Brock (right) and McNair (left) robbing a Brinks armored car employee with a firearm on December 8, 2021. Brock and McNair assaulted the driver by beating him with their pistols even after he turned over the delivery bag.
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Brooksville Man Sentenced to Prison for Electronic Prescribing Fraud SchemeRead the Press Release
Tampa, FL – U.S. District Judge Mary S. Scriven today sentenced Colton Neal (26, Brooksville) to two years and six months in federal prison for wire fraud and aggravated identity theft. Neal pleaded guilty on December 16, 2024.
According to court documents, beginning in June 2022 and continuing through July 2023, Neal used an electronic health record and digital telehealth platform to issue electronic prescriptions transmitted through interstate wires. In doing so, Neal used Doctor #1’s name and National Provider Identifier, which he obtained without permission or consent, and posted advertisements on a darknet forum. Neal collected payments for issuing fraudulent controlled substance prescriptions via cryptocurrency and other payment methods. The investigation revealed Neal issued approximately 144 prescriptions for various controlled substances to individuals across the United States.
This case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services—Office of Inspector General, and the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Greg Pizzo.
Brazilian National Living in Worcester Arrested for Alleged Role in Large-Scale Human Smuggling RingRead the Press Release
BOSTON – A Brazilian national illegally residing in Worcester, Mass., was arrested today as part of an international law enforcement operation targeting a transnational criminal organization allegedly responsible for the illicit smuggling of hundreds of individuals from Brazil to the United States.
Flavio Alexandra Alves, a/k/a “Ronaldo,” 41, a Brazilian national illegally residing in Worcester, Mass., was arrested on a criminal complaint charging him with conspiracy to bring aliens to and transport aliens within the United States in violation of law. Following an initial appearance in federal court in Worcester, Alves was detained pending a hearing scheduled for March 28, 2025 at 9 a.m.
According to the charging documents, Alves was previously convicted of human smuggling offenses in the Central District of California in 2004 and subsequently deported to Brazil in February 2005. It is alleged that, sometime after his removal, Alves illegally re-entered the United States and has been residing in the United States without immigration status.
In April 2022, an investigation began into a human smuggling organization (HSO) operating in the United States, Brazil and Mexico, that smuggles Brazilian nationals through Mexico, across the U.S.-Mexico border and into the United States for financial gain and laundering the proceeds. The investigation identified Alves as an alleged domestic-based smuggler for the HSO who joined the organization in mid-2021. It is alleged that Alves coordinated with co-conspirators in Brazil and Mexico to facilitate the transportation of aliens from Brazil into the United States; to launder funds to Mexico to support the HSO; and collect smuggling fees paid by or on behalf of the Brazilian nationals being smuggled.
Specifically, it is alleged that Alves was responsible for purchasing airline tickets for aliens – including families and groups – to various places within the United States. This included allegedly purchasing airline tickets for Brazilian nationals to travel from border cities to other locations across the United States shortly after the aliens were encountered by U.S. Customs and Border Protection (CBP) and released from detention. It is alleged that between May 2021 and August 2022, Alves purchased more than 100 individual airline tickets from Tucson or Phoenix shortly after CBP encounters, to destination cities in Massachusetts and Pennsylvania (Boston, Pittsburgh, Harrisburg and Philadelphia).
It is further alleged that Alves sent money to aliens and smugglers located in Mexico to pay for expenses associated with transit into the United States. Bank and financial records obtained during the investigation revealed that Alves allegedly sent hundreds of thousands of dollars in money transfers to facilitate the travel of aliens who were later encountered by immigration authorities illegally crossing into the United States, and paid smugglers in Mexico for their role in the HSO. Additionally, Alves allegedly utilized different methods to conceal the nature and frequency of the transfers, including using in-person money transfer services at various locations throughout Massachusetts; providing different variations of his name and home address; and having other close associates conduct the transactions on his behalf.
Alves also allegedly collected payments from aliens as the fee for being smuggled into the United States – taking a percentage of the fee as his “cut” before transferring the remainder of the money to other members of the HSO based in Mexico.
Additionally, HSI offices in Pittsburgh, Harrisburg and Philadelphia, supported by other partner law enforcement agencies, detained four individuals today associated with the alien smuggling organization on administrative immigration violations.
The investigation and arrest of Alves was coordinated under Joint Task Force Alpha (JTFA) and the Extraterritorial Criminal Travel Strike Force (ECT) Program. JTFA, a partnership with the Department of Homeland Security (DHS), has been elevated and expanded by the Attorney General with a mandate to target cartels and transnational criminal organizations to eliminate human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, Honduras, Panama and Colombia that impact public safety and the security of our borders. JTFA is comprised of detailees from U.S. Attorneys’ Offices along the southwest border. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by the Human Rights and Special Prosecutions Section and supported by the Money Laundering and Asset Recovery Section, Office of Enforcement Operations and the Office of International Affairs, among others. JTFA also relies on substantial law enforcement investment from DHS, FBI, DEA and other partners. To date, JTFA’s work has resulted in more than 355 domestic and international arrests of leaders, organizers and significant facilitators of alien smuggling; more than 315 U.S. convictions; more than 260 significant jail sentences imposed; and forfeitures of substantial assets.
The ECT program is a partnership between the Justice Department’s Criminal Division and HSI and focuses on human smuggling networks that may present particular national security or public safety risks, or present grave humanitarian concerns. ECT has dedicated investigative, intelligence and prosecutorial resources. ECT also coordinates and receives assistance from other U.S. government agencies and foreign law enforcement authorities.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
United States Attorney Leah B. Foley; Matthew R. Galeotti, Head of the Justice Department’s Criminal Division; Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; and Brasília, Brazil Attaché Troy Clausen for the U.S. Immigration and Customs Enforcement Homeland Security Investigations made the announcement today. Substantial assistance was provided by HSI Offices in Brasilia, Pittsburgh, Harrisburg and Philadelphia; HSI’s Human Smuggling Unit in Washington, D.C; U.S. Customs and Border Protection’s National Targeting Center International Interdiction Task Force; and the Justice Department’s Office of International Affairs. Assistant U.S. Attorney Kristen Noto of the Worcester Branch Office is prosecuting the case along with Trial Attorney Alexandra Skinnion and Acting Deputy Chief Frank Rangoussis of the Criminal Division’s Human Rights & Special Prosecutions Section.
The charge of conspiracy to bring aliens to, or transport an alien within, the United States in violation of law provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $250,000. The defendant is subject to deportation proceedings upon completion of any sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Beverly Hills Man Sentenced to 25 Years in Prison for Cannabis and Bottling Company Cons That Caused Nearly $18 Million in LossesRead the Press Release
LOS ANGELES – A Beverly Hills man was sentenced today to 300 months in federal prison for obtaining nearly $18 million from investors for sham businesses supposedly operating in hemp related industries – all while he was completing a sentence in a prior criminal case.
Mark Roy Anderson, 70, was sentenced by United States District Judge Fernando L. Aenlle-Rocha, who scheduled a restitution hearing for June 4.
At today’s hearing, Judge Aenlle-Rocha said, “The magnitude of the fraud is breathtaking…the [victims’ statements reflect] the depth of the harm. Many have lost their life savings reflecting decades of hard work.” Judge Aenlle-Rocha also described Anderson as “an accomplished and incorrigible con man” and stated that “the public must be protected from him for as long as possible.”
Anderson pleaded guilty in April 2024 to two counts of wire fraud. He has been in federal custody since May 2023.
Anderson engaged in two separate but related schemes that swindled victims, which he committed shortly after his release from federal prison but while serving out the rest of his prison term on home confinement and, later, while on supervised release for a previous fraud conviction.
“The defendant stole more than $18 million from dozens of investors by promising quick returns on their investments into hemp farms and other exotic investments,” said Acting United States Attorney Joseph McNally. “Today’s 25-year sentence takes him off the street so that he cannot harm other victims.”
Harvest Farm Group
In the first scheme, from June 2020 to April 2021, Anderson tricked investors into providing funding for his company, called Harvest Farm Group, to harvest hemp supposedly being grown on his farm and then process that hemp into medical-grade cannabidiol (CBD) isolate – a chemical found in marijuana – to be sold for a substantial profit.
Anderson convinced investors to invest in Harvest Farm Group by falsely representing that, through the company, he owned and operated a hemp farm in Kern County. He also lied that had already completed successful and profitable harvests of hemp from the farm. He also falsely said he was using his own machinery and equipment to convert the hemp into CBD isolate and Delta 8, a psychoactive substance that, like CBD isolate, could be used in consumer products ranging from olive oil to body cream.
Anderson attempted to maintain a veneer of trustworthiness by taking steps to assure investors Harvest Farm Group was legitimate and he was not the “Mark Roy Anderson” with multiple prior fraud convictions. Anderson concealed that he had been convicted of multiple federal and state felony crimes, including mail fraud, wire fraud, grand theft, forgery, preparing false evidence, and money laundering. He also concealed that he was still serving a criminal sentence and was on supervised release at the time he was soliciting investments.
To stall victim investors from making collection efforts and reporting him to law enforcement, Anderson falsely promised victims he would pay them money from purported sales of products made to Canadian companies, that sales of products had been delayed because of the COVID-19 pandemic, and that he would otherwise return their money.
Bio Pharma and Verta Bottling
In the second scheme, which ran from April 2021 to May 2023, Anderson deceived investors by soliciting money for Bio Pharma and Verta Bottling, two of his sham companies, by claiming that these businesses successfully manufactured, bottled, and packaged commercial products.
Specifically, Anderson falsely told investors Bio Pharma purportedly manufactured and sold products infused with CBD, including products such as CBD-infused avocado oil, olive oil, pain cream, gummies, tequila, and chili oil. Anderson also claimed that Verta Bottling manufactured and sold beverages and a variety of food products.
Anderson falsely stated that his bottling companies owned and possessed millions of dollars’ worth of assets, including – in Bio Pharma’s case – hemp biomass, CBD isolate, CBD oil, and – in Verta Bottling’s case – manufacturing equipment and an assignable lease for a warehouse to manufacture and sell its products.
Anderson’s other lies to investors included false claims that his bottling companies had at least $10 million in purchase-order contracts from suppliers. He drafted fake legal and business documents, which included fabricated purchase order contracts purporting to show agreements with third party companies to purchase tens of millions of dollars’ worth of products manufactured by the Anderson bottling companies. Anderson also provided victims samples of products purportedly manufactured by his purported bottling companies.
Instead of investing victim funds as he promised, Anderson instead used their money on personal expenses. He has agreed to forfeit his ill-gotten gains from these schemes, including 15 cars – one of them a Ferrari – and real estate in Ojai.
In total, Anderson solicited more than $18.8 million from 45 victims for both schemes, causing victims to lose approximately $17,745,150.
The FBI investigated this matter.
Assistant United States Attorney Kerry L. Quinn of the Major Frauds Section prosecuted this case.
Behavioral Healthcare Company Executive Sentenced for Healthcare FraudRead the Press Release
BOSTON – The Chief Executive Officer of Dana Group Associates, who is also the former Chief Operating Officer of Prime Behavioral Health, was sentenced today in federal court in Boston for a scheme to defraud health care benefit programs by directing false billing for patient visits.
Miguel Saravia, 42, of Hanson, was sentenced by U.S. District Court Judge Allison D. Burroughs to three and a half months in prison, to be followed by one year of supervised release. Saravia was also ordered to pay $561,141.89 in restitution. In September 2024, Saravia pleaded guilty to six counts of health care fraud.
From approximately 2017 to 2022, Saravia directed a group of individuals with no billing or medical training to enter Current Procedural Terminology codes (CPT) for therapy services that were not provided and to upcode CPT codes used for psychotherapy visits. Saravia submitted, or directed the submission of, false claims for treatment that was not provided or for more complex and expensive treatment than was provided.
United States Attorney Leah B. Foley; Roberto Coviello, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Insurance Fraud Bureau Executive Director Anthony DiPaolo; and Thomas Demeo, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorneys Kelly B. Lawrence and Mackenzie A. Queenin of the Health Care Fraud Unit and Lindsey Ross and Steven Sharobem of the Affirmative Civil Enforcement Unit prosecuted the case.
Bay Area-Based Flooring Company and Its Owners to Pay $8.1 Million to Settle False Claims Allegations Related to Customs Duties EvasionsRead the Press Release
LOS ANGELES – Evolutions Flooring Inc., a South San Francisco, California based importer of multilayered wood flooring, and its owners, Mengya Lin and Jin Qian, have agreed to resolve allegations that they violated the False Claims Act by knowingly and improperly evading customs duties on imports of multilayered wood flooring from the People’s Republic of China (PRC). The settlement is based on Evolutions’ and its owners’ ability to pay.
To enter goods into the United States, an importer must declare, among other things, the country of origin of the goods, the value of the goods, whether the goods are subject to duties, and the amount of duties owed.
U.S. Customs and Border Protection (CBP) collects applicable duties, including antidumping and countervailing duties assessed by the Department of Commerce and Section 301 duties imposed by the Office of the United States Trade Representative. Antidumping duties protect against foreign companies “dumping” products on U.S. markets at prices below cost, while countervailing duties offset foreign government subsidies.
Section 301 duties similarly protect U.S. industry by imposing trade sanctions on foreign countries that violate U.S. trade agreements or engage in other unreasonable acts that burden U.S. commerce. During the relevant time period, PRC-manufactured multilayered wood flooring products were subject to antidumping, countervailing, and Section 301 duties.
The settlement resolves allegations that Evolutions, at the direction of Lin and Qian, knowingly and improperly evaded customs duties, including antidumping, countervailing, and Section 301 duties, on multilayered wood flooring manufactured in the PRC that Evolutions imported between Sept. 1, 2019 and July 31, 2022. Among other things, the United States alleged that Evolutions caused false information to be submitted to CBP regarding the identity of the manufacturers and country of origin of the imported multilayered wood flooring.
“The outcome of this case demonstrates that our office and its CBP partners will continue to safeguard the nation’s economic well-being,” said Acting United States Attorney Joseph McNally. “Fraud in international commerce deprives the United States of vital revenue and creates an unfair advantage over businesses that operate legitimately. The settlement sends a message that we will not stand aside when companies try to cheat the system.”
“Import duties provide an important source of government revenue and level the playing field for U.S. manufacturers against their global competitors,” said Acting Assistant Attorney General Yaakov M. Roth of the Justice Department’s Civil Division. “The department will pursue those who seek an unfair advantage in U.S. markets, including by evading the duties owed on goods imported into this country from China.”
“The team at CBP was instrumental in providing expertise and logistical support to this investigation,” said Director of Field Operations Cheryl M. Davies of the CBP Los Angeles Field Office. “Through its efforts, which included a site visit to factories in Thailand, review of identified shipments by CBP experts on multilayered wood flooring, an analysis of import records and data by Office of Trade Regulatory Audit, and involvement in interviews with witnesses, CBP contributed to a successful outcome in this matter.”
The settlement with Evolutions and its owners resolves a lawsuit filed by Urban Global LLC under the whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The civil lawsuit was filed in the Central District of California and is captioned United States of America ex rel. Urban Global LLC v. Struxtur Inc. et al., No. CV20-7217 (C.D. Cal.). As part of today’s resolution, relator Urban Global LLC will receive approximately $1,215,000 of the settlement proceeds.
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Central District of California, with assistance from CBP’s Office of Chief Counsel, West Region and Trade Regulatory Audit and the Center of Excellence and Expertise for Industrial and Manufacturing Materials within CBP’s Office of Trade.
Assistant United States Attorney Sheng-Wen D. Jui of the Civil Division’s Civil Fraud Section and Senior Trial Counsel Christelle Klovers of the Justice Department’s Civil Division handled this case.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Anchorage man sentenced to 16 years for producing child pornographyRead the Press Release
ANCHORAGE, Alaska – An Anchorage man was sentenced yesterday to 16 years in prison and will serve 15 years on supervised release for exploiting a 16-year-old minor to produce child pornography.
According to court documents, in 2019, the minor female victim moved from Oregon to Alaska and began living with Donteh Devoe, 46. At some point after the victim began living with him, Devoe started sexually abusing her and convinced her that because she was 16, the sexual abuse was legal.
The victim confided in a friend, explaining that she and Devoe were “dating and having sex.” The victim also disclosed instances where Devoe physically abused her and texted her sexually graphic images during the school day. The victim’s friend promptly reported the alleged abuse to law enforcement and an investigation began.
In February 2020, law enforcement obtained a search warrant for accounts on Devoe’s and the victim’s devices. Law enforcement reviewed those accounts and discovered sexually explicit conversations between Devoe and the victim. During conversations on Sept. 30, and Oct. 1, 2019, Devoe directed the victim to take sexually explicit photos and send them to him.
On Nov. 15, 2024, Devoe pleaded guilty to one count of production of child pornography.
“Mr. Devoe used emotional and physical manipulation to carry out his sexual abuse and get what he wanted. The harm that he caused with his conduct is lasting,” said U.S. Attorney Michael J. Heyman for the District of Alaska. “I want to thank the investigators and prosecutors who were essential in securing a serious penalty for the crime he pleaded guilty to, and the witness for promptly coming forward to report the abuse. I also want to commend the victim for showing extraordinary bravery and resilience in bringing this perpetrator to justice. Our office will continue our strong partnerships with law enforcement to investigate and prosecute anyone who threatens the safety of children.”
“Through manipulation and a betrayal of trust, Devoe emotionally, physically, and sexually abused a minor in our community, including the production of CSAM,” said Special Agent in Charge Rebecca Day of the FBI Anchorage Field Office. “The sexual abuse and exploitation of children is inexcusable and will not be tolerated by Alaska's law enforcement community."
“The Anchorage Police Department remains committed to ensuring justice for victims and their families. Our officers and investigators worked diligently to bring this case to a resolution, and we appreciate the collaboration with our law enforcement partners and the judicial system. Today’s sentencing is a testament to the dedication of those who seek justice and uphold the safety of our community,” said Christopher Barraza, Deputy Director, Community Relations Unit for the Anchorage Police Department.
The FBI Anchorage Field Office and Anchorage Police Department investigated this case as part of the FBI’s Child Exploitation and Human Trafficking Task Force.
Assistant U.S. Attorneys Jennifer Ivers and Ainsley McNerney prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
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Allentown Man Pleads Guilty to March 2023 Armed Robbery Spree in Lehigh CountyRead the Press Release
PHILADELPHIA – United States Attorney David Metcalf announced that Rubiel Perez, 30, of Allentown, Pennsylvania, entered a plea of guilty today before United States District Court Judge Jeffrey L. Schmehl to two counts of Hobbs Act robbery, one count of attempted Hobbs Act robbery, and one count of using, carrying, and brandishing a firearm during and in relation to a crime of violence, charges arising from an armed robbery spree in Lehigh County, Pennsylvania, in March of 2023.
Perez was charged by indictment in November 2023.
As detailed in the indictment and admitted to by the defendant, on March 28, 2023, Perez entered a 7-Eleven convenience store on Union Boulevard in Allentown, pointed a handgun at a store employee, and stole $937 before fleeing.
The next night, the defendant targeted a 7-Eleven convenience store on South 4th Street in Allentown. He pointed a handgun at a store employee and threatened him, before stealing $150 from the store. Later the same night, the defendant entered a 7-Eleven on West Tilghman Street in South Whitehall Township and attempted to rob the store by pointing a firearm at the store employee and threatening him.
The defendant is scheduled to be sentenced on July 10 and faces a maximum possible sentence of life in prison, with a mandatory minimum sentence of seven years’ incarceration.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Allentown Police Department, and the South Whitehall Township Police Department and is being prosecuted by Assistant United States Attorney Robert W. Schopf.
Alien smuggling group dismantledRead the Press Release
LAREDO, Texas – A group of five Laredoans have now been sentenced for operating an alien smuggling organization, announced U.S. Attorney Nicholas J. Ganjei.
Jaquon Davis is the last to be sentenced and pleaded guilty Oct. 10, 2024.
U.S. District Judge Marina Garcia Marmolejo determined him to be the leader of the conspiracy and sentenced him to 44 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence that showed Davis was a long-time alien smuggler who recruited several people.
“This case demonstrates the Southern District of Texas’ commitment to stopping the flow of illegal aliens into our country,” said Ganjei. “That means prosecuting not only illegal aliens, but also those who support and help them in breaking our laws.”
On March 19, 2024, Davis and four others travelled in three cars around the I-35 checkpoint north of Laredo using the access road in an attempt to avoid law enforcement.
One car was used as a scout and the other two cars carried illegal aliens. Authorities ultimately pulled them over and discovered a total of 12 illegal aliens in the vehicles. One was concealed in a box located in a truck bed.
Two of the illegal aliens claimed they had arranged to be smuggled to cities in Texas for large amounts of money. They had crossed the Rio Grande River and stayed at a stash house before being picked up by someone in the group.
The investigation revealed the smugglers had stayed in a local motel and coordinated the event from there. Davis was the leader and coordinator of this event and had paid for the hotel rooms.
Carlota Herrera, 34, and Ruben Campos, 30, previously received 21 and 37 months, respectively, for transporting the illegal aliens. Bobby Vaughan Hoodye, 40, was sentenced to six months for his role in providing one of the cars that was used to transport the illegal aliens, while Jakhalib Fisher, 21, was ordered to serve 33 months for coordinating and overseeing the smuggling event.
Davis has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Border Patrol conducted the investigation. Assistant U.S. Attorney Bryan L. Oliver prosecuted the case.
Albuquerque Man Pleads Guilty to Federal Charges for 2023 Crime SpreeRead the Press Release
ALBUQUERQUE – An Albuquerque man pleaded guilty in federal court to multiple robbery and firearms charges for a crime spree in the summer of 2023.
According to court records, between July 11, 2023, to September 16, 2023, Demetrius Antonnie Bailey, 41, engaged in a series of armed robberies targeting retail stores in Albuquerque. Bailey and his accomplice conspired to commit robberies at Harbor Freight Tools, multiple Metro by T-Mobile locations, a T-Mobile store, a Verizon store, and a JC Penney. During these robberies, they threatened and overpowered store employees and security to steal merchandise and cash. In each robbery, a replica firearm or a real handgun was brandished to intimidate store employees and security personnel. The stolen items included electronics, cellular phones, cash, and clothing valued at tens of thousands of dollars.
Bailey pleaded guilty to 10 counts, including interference with commerce by robbery, brandishing a firearm in furtherance of a violent crime, and possession of a firearm as a convicted felon. His offenses also included knowingly participating in violent retail thefts. At sentencing, if the district court accepts the plea agreement, Bailey faces not less than ten years and up to twenty-two years in prison followed by five years of supervised release.
Acting U.S. Attorney Holland S. Kastrinand Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today.
The FBI Albuquerque Field Office investigated this case with assistance from the Albuquerque Police Department. Assistant U.S. Attorneys Maria Elena Stiteler and Natasha Moghadam are prosecuting the case.
View the Plea Agreement (Bailey)_0.pdfAlbany Felon Pleads Guilty to Conspiring to Distribute Fentanyl and Possessing a FirearmRead the Press Release
ALBANY, NEW YORK – Henassy McConico, age 27, of Albany, pled guilty yesterday to conspiring to possess with intent to distribute and distribute a controlled substance and possession of a firearm by a prohibited person.
United States Attorney John A. Sarcone III and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Agency (DEA), New York Division, made the announcement.
McConico admitted to personally distributing fentanyl pills numerous times in 2024, including on October 15, 2024, when he distributed approximately 485 fentanyl pills to another individual. McConico further admitted that he possessed a loaded handgun and assorted ammunition in his home. As a result of his prior conviction for attempted robbery, McConico could not lawfully possess the handgun.
At sentencing scheduled for July 23, 2025, McConico faces a minimum term of 10 years and a maximum term of life in prison, a maximum fine of $8 million, and a term of supervised release after imprisonment of at least 8 years and up to life. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.
DEA investigated this case with the assistance of the Columbia County Sheriff’s Office and Hudson Police Department. Assistant U.S. Attorney Mikayla Espinosa is prosecuting this case.
Alaska Businesswoman Sentenced for Tax Evasion SchemeRead the Press Release
An Alaska woman was sentenced yesterday to 12 months in prison for evading taxes on income she earned from the business she operated.
According to court documents and statements made in court, Tina H. Yi, was the sole owner and operator of SJ Investment LLC, a hotel, bar, and liquor store in Nome, Alaska, that did business as Polaris HBL. Yi created the business in approximately April 2007 and operated it until approximately October 2017, when the property was destroyed in a fire.
From approximately 2014 to 2018, Yi maintained two sets of financial records relating to the business’s income and expenses, one of which accurately captured SJ Investment’s income and expenses, and one that understated the business’s income. Yi provided the false records to her accountant to prepare her tax returns. As a result, her 2014 through 2018 tax returns were false.
Yi caused a total tax loss to the IRS of over $550,000.
In addition to her prison sentence, U.S. District Judge Timothy M. Burgess for the District of Alaska ordered Yi to serve three years of supervised release. The court will determine restitution at a later date.
Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and U.S. Attorney Michael J. Heyman for the District of Alaska made the announcement.
IRS Criminal Investigation investigated the case.
Trial Attorney John C. Gerardi of the Tax Division and Assistant U.S. Attorney Tom Bradley for the District of Alaska are prosecuting the case. Former Tax Division Trial Attorney Ahmed Almudallal assisted with the prosecution.
Air Force Member Charged with Sexual Exploitation of a Nine-Year-Old Child on Long IslandRead the Press Release
This morning, in federal court in Central Islip, David Ibarra was arraigned on an indictment charging him with sexual exploitation of a child, coercion, and enticement. Ibarra, an active-duty senior airman in the United States Air Force, was initially charged by complaint in February 2025 and ordered detained in Anchorage, Alaska, before his transfer to the Eastern District of New York. Today’s proceeding was held before United States District Court Judge Joanna Seybert who ordered the defendant detained pending trial.
John J. Durham, United States Attorney for the Eastern District of New York and Leslie Backschies, Acting Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the charges.
“As alleged, the defendant, a 31-year-old man posing as a 13-year-old boy, manipulated a vulnerable child into producing and sending him sexually explicit images and videos of herself via text message in exchange for money,” stated United States Attorney Durham. “My Office will continue its relentless pursuit of sexual predators who target children and work to secure lengthy prison sentences in these cases to protect our community and children from such conduct.”
“As alleged in the indictment, this individual targeted and then repeatedly coerced a child into sending him sexually explicit photos and videos of herself—produced at his specific direction—in exchange for money,” stated FBI Acting Assistant Director in Charge Backschies. “The FBI is committed to finding and arresting the monsters who prey on vulnerable children, and we will continue to work with our partners to ensure these predators are off the streets and behind bars where they can no longer pose a danger to our communities.”
As set forth in court filings, law enforcement identified Ibarra from cell phone records obtained for an individual who was communicating, via text message, with a 9-year-old girl living in Suffolk County, New York, and soliciting sexually explicit images and videos from her in exchange for money. During these communications, Ibarra, who claimed to be a 13-year-old boy named “Dave” living in Texas, repeatedly pressured the victim to send him more images and gave her specific directions as to what sexually explicit poses he wanted her to record (“Can we be a little dirty before we go to sleep? Pls and I’ll send money…”). Ibarra made approximately 17 payments to the victim’s Apple Pay account to induce her to continue producing sexually explicit images for the defendant’s gratification.
This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc
The charges in the indictment are allegations and the defendant is presumed innocent unless and until proven guilty. If convicted of the charges, Ibarra faces a mandatory minimum sentence of 15 years in prison and up to 30 years in prison.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Paul G. Scotti is in charge of the prosecution.
The Defendant:
DAVID IBARRA
Age: 31
Anchorage, AlaskaE.D.N.Y. Docket No. 25-CR-90 (JS)
ibarra_complaint.pdfActing U.S. Attorney Announces $5 Million False Claims Act Settlement with Providers of Programs for Adults with Developmental DisabilitiesRead the Press Release
Matthew Podolsky, the Acting United States Attorney for the Southern District of New York, and Naomi Gruchacz, the Special Agent in Charge of the New York Regional Office of the Department of Health and Human Services, Office of Inspector General (“HHS-OIG”), announced today that the United States has filed and simultaneously settled a civil fraud lawsuit against COMMUNITY OPTIONS, INC. (“COI”) and COMMUNITY OPTIONS NEW YORK, INC. (“CONY”, and together with COI, the “Defendants” or “Community Options”).
CONY is a New York not-for-profit corporation that, among other things, operates a network of residential and non-residential facilities and programs for adults with developmental or intellectual disabilities throughout the State of New York. As part of its operations, CONY provides Day Habilitation services—which are programs intended to help adults with developmental or intellectual disabilities improve their independence and skills in daily activities. COI is a New Jersey not-for-profit corporation that, among other things, oversees CONY’s operations in New York and provides administrative support, including a centralized billing team that handles CONY’s submission of claims for reimbursement to the New York Medicaid Program. The settlement resolves claims that the Defendants fraudulently billed Medicaid by submitting claims for Day Habilitation services that did not meet applicable requirements, and improperly avoiding the return of overpayments received from the Medicaid program for Day Habilitation services that failed to meet those requirements.
Under the settlement agreement approved today by U.S. District Judge Valerie E. Caproni, the Defendants will pay the U.S. $2,148,540.37 and have admitted and accepted responsibility for certain conduct alleged in the Complaint as further described below. The Defendants have also agreed to pay $2,868,085.74 to the State of New York to resolve the State of New York’s claims, for a total recovery of $5,016,626.11.
In connection with the settlement agreement, the Defendants have also entered into a Corporate Integrity Agreement with HHS-OIG. The Corporate Integrity Agreement requires that the Defendants maintain a compliance program designed to foster adherence to federal health care program requirements and thereby protect the programs, and that they engage an independent organization to review claims they submit to Medicaid to ensure they comply with applicable requirements.
Acting U.S. Attorney Matthew Podolsky said: “Community Options billed Medicaid for services that failed to meet program requirements and retained potential overpayments received from Medicaid when it had an obligation to report and return those funds. Community Options has now admitted and accepted responsibility for its conduct. This Office will continue to ensure that our most vulnerable New Yorkers receive the services they deserve, and that our federal health care programs are protected against fraud and abuse.”
HHS-OIG Special Agent in Charge Naomi Gruchacz said: “Individuals and entities that participate in the federal healthcare system are required to obey the laws meant to preserve the integrity of program funds and the provision of appropriate services to patients. The settlement in this case involves a provider that is responsible for a vulnerable population, for which it should be prioritizing quality services.”
As alleged in the Complaint filed in Manhattan federal court:
In order to receive payment from the New York Medicaid Program for the provision of Day Habilitation services, COI was required to ensure that such services were delivered and documented in compliance with applicable program requirements promulgated by the New York State Office for People With Developmental Disabilities (the “OPWDD Requirements”).
However, between January 1, 2017, and September 13, 2024, (the “Relevant Period”), COI failed to maintain adequate policies concerning the provision and documentation of Day Habilitation services consistent with the OPWDD Requirements and failed to adequately train their employees on compliance with the OPWDD Requirements. As a result, COI’s employees failed to document CONY’s provision of Day Habilitation services in accordance with the OPWDD requirements.
COI understood that they were prohibited from submitting claims for reimbursement to New York’s Medicaid program for Day Habilitation services if the OPWDD Requirements were not met. Nonetheless, COI frequently submitted claims to Medicaid for Day Habilitation services that did not meet these requirements.
COI further understood that, as a provider of services under New York’s Medicaid Program, they were required to report and return identified overpayments to the New York Medicaid Program. During the Relevant Period, COI conducted non-routine reviews that identified their receipt and retention of Medicaid overpayments associated with Day Habilitation services. Nevertheless, COI failed to report and return those overpayments to the New York Medicaid Program.
As part of the settlement, the Defendants admitted and accepted responsibility for certain conduct alleged by the U.S., including the following:
- In order to receive payment from the New York Medicaid Program for the provision of Day Habilitation services, the Defendants were required to ensure that such services were delivered and documented in compliance with the OPWDD Requirements.
- During the Relevant Period, the Defendants failed to maintain adequate policies concerning the provision and documentation of Day Habilitation services consistent with the OPWDD Requirements and failed to adequately train their employees on compliance with the OPWDD Requirements. As a result, the Defendants’ employees failed to document CONY’s provision of Day Habilitation services in accordance with the OPWDD Requirements.
- Nonetheless, the Defendants submitted claims for, and received, reimbursement from the New York Medicaid Program for Day Habilitation services that did not meet OPWDD Requirements.
- CONY was required to report and return overpayments associated with Day Habilitation services that did not meet the OPWDD Requirements to the New York Medicaid Program. Nonetheless, when the Defendants conducted non-routine reviews that identified their receipt and retention of overpayments associated with Day Habilitation services, they failed to report and return those overpayments to the New York Medicaid Program.
In connection with the filing of the lawsuit and settlement, the Government joined a private whistleblower lawsuit that had been filed under seal pursuant to the False Claims Act.
* * *
Mr. Podolsky thanked both HHS-OIG for its investigative efforts and assistance with the case, and the Medicaid Fraud Control Unit at the New York State Attorney General’s Office for its collaboration in the resolution of this case.
The case is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorney David E. Farber is in charge of the case.
20cv4684_2025.03.26_government_settlement_stipulation_signed_redacted.pdf community_options_complaint-in-intervention.pdf
Tuesday 25 March 2025
Woodford County Man Sentenced for Production of Child PornographyRead the Press Release
LEXINGTON, Ky. – A Versailles, Ky., man, Austin David Stafford, 31, was sentenced on Friday to a total of 540 months in prison, by U.S. District Judge Danny C. Reeves, for production of child pornography.
The sentence is the result of two separate court cases against Stafford. According to his plea agreement from the first court case, Stafford and his co-defendant and girlfriend, Crystal Campbell, now deceased, used a minor victim to engage in sexually explicit conduct for the purpose of creating visual depictions of that conduct on two occasions, once at the couple’s trailer and once in an outdoor setting. Stafford’s Facebook records contained two instances of Stafford distributing the videos.
According to his plea agreement from the second court case, law enforcement was alerted to Stafford because of a minor victim’s father seeing a group message on Facebook Messenger that contained nude photos of the minor victim. An investigation revealed that Stafford was using a fake persona, “Craig Wright,” on social media to lure the minor victim into an online romance. Under this persona, he obtained intimate details and visual depictions of the minor victim. He then created additional fake personas and used the information that he had learned about the victim to extort and manipulate the minor victim. The “sextortion” scheme led the minor victim to send more sexually explicit visual depictions to Stafford and to engage in sexual acts with him. Eventually, Stafford communicated with James Campbell, 26, of Versailles, Ky., Stafford’s co-defendant, and on June 10, 2022, coerced a minor to engage in sexually explicit conduct with Campbell and film it, under the guise that one of his fake personas would hurt her family if she didn’t comply. Stafford admitted to orchestrating the sexual exchange with the victim and Campbell, and that Campbell knowingly and willingly aided and abetted the product of the June 10th series.
Campbell is scheduled to be sentenced on April 21, 2025.
Under federal law, Stafford must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 30 years.
Paul McCaffrey, Acting United States Attorney for the Eastern District of Kentucky; Michael Stansbury, Special Agent in Charge, FBI, Louisville Field Office; and Phillip J. Burnett, Jr., Commissioner of the Kentucky State Police, jointly announced the sentence.
The investigation was conducted by FBI and KSP. Hart Megibben, Commonwealth Attorney for the 53rd Judicial Circuit, and Assistant Commonwealth Attorney, Jon Fee, also provided significant assistance to the investigation and prosecution of Stafford’s second case. Assistant U.S. Attorney Mary Melton is prosecuting the case on behalf of the United States.
The U.S. Attorney’s Office prosecuted this case as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Woodbury Man Pleads Guilty in Child Sextortion SchemeRead the Press Release
ST. PAUL, Minn. – Timothy Lennard Gebhart, a Woodbury man, has pleaded guilty to the production and distribution of child sexual abuse material and for coercing minors to engage in sexually explicit conduct, announced Acting U.S. Attorney Lisa D. Kirkpatrick.
According to court documents, on multiple occasions between approximately July 10, 2021, and March 11, 2022, Timothy Lennard Gebhart, 38, coerced a 16-year-old child, Minor A, and a 14-year-old, Minor B, to engage in sexually explicit conduct for the purpose of producing pornographic videos. After obtaining the images of minors engaged in sexually explicit conduct, Gebhart distributed the videos via computer and cellular phone. Gebhart then used the pornographic videos to extort money and other items of value from Minor A, threatening to damage the victim’s reputation by sending nude photos and videos to their family and friends.
Gebhart pleaded guilty in U.S. District Court today before Judge Jerry W. Blackwell to two counts of child pornography production, one count of child pornography distribution, and one count of interstate communication with the intent to extort. A sentencing hearing will take place at a later date. Gebhart faces a mandatory minimum 15-year sentence.
“Sextortion—threatening to share explicit images of a victim unless they comply with a predator’s demands—is abhorrent,” said Acting U.S. Attorney Lisa D. Kirkpatrick. “All too often, our children become victims of these monstrous schemes. My office will continue to prosecute these cases to the fullest extent of the law.”
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case is the result of an investigation conducted by the Woodbury Police Department, Greene County (Indiana) Sheriff’s Department, the Indiana State Police, and the FBI, with assistance from the Owatonna Police Department.
Assistant U.S. Attorney David M. Classen is prosecuting the case.
Woodbury Felon Sentenced to 15 Years in Prison for Illegal Possession of a Machinegun and Armed RobberyRead the Press Release
ST. PAUL, Minn. – Alfonso Lee Seals, a Woodbury man, has been sentenced to 182 months in prison followed by three years of supervised release for possessing a firearm as a felon and interfering with commerce by robbery, announced Acting U.S. Attorney Lisa D. Kirkpatrick.
According to court documents, on June 14, 2023, Minneapolis police responded to a 911 call reporting a shootout between two cars along University Avenue Northeast. Responding officers found an abandoned car crashed into a utility pole. On the floorboard of the driver’s seat, law enforcement discovered a Glock model 27 .40 caliber pistol with a “switch” or “auto-sear” attached to it, making it fully automatic. Forensic testing confirmed that that the defendant, Alfonso Lee Seals, 28, possessed the pistol. On November 7, 2023, law enforcement executed a search warrant at the defendant’s brother’s home where they recovered a Taurus model G2S 9-millimeter semi-automatic pistol, which had been reported stolen from Mounds View, Minnesota, in October 2022. Forensic testing confirmed that the defendant possessed that pistol as well. On October 17, 2023, the defendant and an accomplice robbed a convenience store at gunpoint in Oakdale, Minnesota. Security camera footage showed the defendant ordering the victim cashier to his knees, placing a semiautomatic firearm to the cashier’s back, forcing him to open a cash register, and repeatedly threatening to kill the cashier during the robbery.
On December 23, 2024, Seals pleaded guilty to two counts of possession of a firearm as a felon and one count of interfering with commerce by robbery. In his plea agreement, Seals admitted that he knowingly and willingly possessed both firearms and that he possessed the Glock in connection with two other felonies—felony drive-by shooting and intentionally discharging a firearm under circumstances that endanger the safety of another. He also admitted that he and his accomplice robbed the convenience store at gunpoint and threatened to kill the victim cashier. Because Seals has multiple prior felony convictions for assault in both Hennepin and Dakota Counties, he is prohibited under federal law from possessing firearms or ammunition at any time.
“Minnesotans should have no tolerance for armed and violent career criminals,” said Acting U.S. Attorney Lisa D. Kirkpatrick. “This behavior is shocking and unacceptable. My office will continue to hold Seals—and others who would terrorize our community—accountable.”
Seals was sentenced today in U.S. District Court by Judge Donovan W. Frank.
This case is the result of an investigation by the Minneapolis Police Department, the Oakdale Police Department, the Dakota County Drug Task Force, the Minnesota Bureau of Criminal Apprehension, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Assistant U.S. Attorney Campbell Warner prosecuted the case.
Wilburton Resident Sentenced for Illegal Firearm PossessionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Teresa Louise Lightfoot, age 51, of Wilburton, Oklahoma, was sentenced to 37 months in prison for one count of Felon in Possession of Firearm.
The charge arose from an investigation by the Latimer County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Lightfoot pleaded guilty to the charge on November 8, 2024. According to investigators, on September 28, 2023, Lightfoot knowingly possessed a .40 S&W caliber semi-automatic pistol after having been previously convicted of a crime punishable by more than one year imprisonment.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The Honorable Ronald A. White, Chief U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Lightfoot will remain in the custody of the U.S. Marshals Service pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration.
Assistant U.S. Attorney Jonathan E. Soverly represented the United States.
Violent Crime Consortium Keeps Public Safety at ForefrontRead the Press Release
CLEVELAND – The Northern Ohio Violent Crime Consortium (NOVCC) recently brought together more than 100 regional law enforcement participants, representing more than 20 agencies, to take part in a region-wide initiative to discuss public safety. The annual event is hosted by the U.S. Attorney’s Office (USAO) for the Northern District of Ohio. The District covers the 40 northern-most counties in the state of Ohio, which is home to more than 5.7 million people.
The violent crime consortium was established in 2007 through a Department of Justice grant to specifically address violent crime issues in eight Northern Ohio cities: Akron, Canton, Cleveland, Elyria, Lorain, Mansfield, Toledo, and Youngstown.
As the current top federal law enforcement officer for the District, Acting U.S. Attorney Carol M. Skutnik provided welcoming remarks on the importance of the consortium’s work to keep crime off the streets.
Photo courtesy of Jessica Salas Novak, U.S. Attorney's Office for the Northern District of Ohio.“The Consortium’s purpose is to prevent and reduce violent crime through the use of data-driven and evidence-based technologies,” said Skutnik. “NOVCC enhances our member agencies through skills training on accepted best practices and emerging technologies.”
Subject-matter experts addressed several key topics at this year’s gathering including the importance of inter-agency data sharing and information to combat crime, promising law enforcement practices, and modern policing in the digital age.
The USAO would like to acknowledge and thank the following for attending and participating in this year’s event:
Event speakers representing
- Fordham University
- Johns Hopkins University Center for Gun Violence Solutions
- Blacksburg, Virginia Police Department
- Brookhaven, Georgia Police Department
- Research Innovations, Inc.
Law enforcement agencies represented
- Akron Police Department
- Avon Police Department
- The University of Akron Police Department
- Barberton Police Department
- Berea Police Department
- Canton Police Department
- Cleveland Division of Police
- Cuyahoga County Sheriff
- Elyria Police Department
- Lorain Police Department
- Mansfield Police Department
- Maple Heights Police Department
- North Royalton Police Department
- Put-in-Bay Police Department
- Sandusky Police Department
- Toledo Police Department
- Warren Police Department
- Westlake Police Department
- Youngstown Police Department
State agencies
- Ohio Adult Parole Authority
- Ohio Department of Rehabilitation and Correction
- Ohio Office of Criminal Justice Services
Nonprofit agency
- Partnership for a Safer Cleveland
Federal agencies
- ATF-Cleveland
- FBI-Cleveland
- U.S. Marshals Service-Cleveland
- U.S. Department of Justice-Office of Legal Policy
For more information about the consortium, contact Thomas McCartney at 216-622-3955.
Photo courtesy of Jessica Salas Novak, U.S. Attorney's Office for the Northern District of Ohio.Two Plead Guilty to Roles in COVID-19 Fraud ConspiracyRead the Press Release
CHARLESTON, W.Va. – Today, William Powell, 34, of Huntington, pleaded guilty to conspiracy to commit bank fraud, and Jasmine Spencer, 32, of Charleston, pleaded guilty to aiding and abetting bank fraud. Powell and Spencer each received $15,625 in proceeds from criminally derived Paycheck Protection Plan (PPP) loans, guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).
According to court documents and statements made in court, co-defendant Kisha Sutton conspired with Powell, Spencer, and others to obtain fraudulent PPP loans. Sutton submitted a PPP loan application on Powell’s behalf on April 19, 2021, and a PPP loan application on Spencer’s behalf of May 27, 2021. Powell and Spencer were each listed as a sole proprietor hair stylist who received $75,000 in gross income in 2020. Each application was filed with an Internal Revenue Service (IRS) Form 1040, Schedule C Profit or Loss from Business, stating that the applicant had earned $75,000 in 2020. As part of their guilty pleas, Powell and Spencer admitted that they never earned $75,000 as a hair stylist in one year and that the IRS Form 1040 submitted with their application was fraudulent and created solely to obtain the PPP loan.
A PPP lender in Florida approved Powell’s loan application and a PPP lender in California approved Spencer’s. The $15,625 in proceeds from each loan was deposited in their respective personal bank accounts in late June 2021. Between June 30 and July 20, 2021, Sutton received $2,000 from Powell and $3,000 from Spencer as her shares of the fraudulent PPP loan proceeds. Powell and Spencer each transferred the money to Sutton using a digital wallet application. Powell and Spencer spent the remainder of their respective fraudulent loan proceeds on personal expenses.
The CARES Act made forgivable PPP loans available to qualifying sole proprietors, independent contractors and self-employed individuals adversely impacted by the COVID-19 pandemic, to replace their normal income and for certain other expenses. Applicants were required to certify that they were in operation on February 15, 2020, and provide documentation showing their prior gross income from either 2019 or 2020.
Powell is scheduled to be sentenced on July 2, 2025, and Spencer is scheduled to be sentenced on July 9, 2025. Each faces a maximum penalty of 30 years in prison, up to five years of supervised release, and a $1 million fine. Powell and Spencer each also owe $15,625 in restitution.
Powell, Spencer, and Sutton, 44, of Jersey City, New Jersey, are among seven individuals indicted by a federal grand jury on charges alleging they and others conspired, as well as aided and abetted one another, to obtain fraudulent PPP loans totaling $140,625. The indictment against Sutton and the other defendants remains pending. An indictment is merely an allegation and all defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the West Virginia State Police – Bureau of Criminal Investigation (BCI), and the West Virginia State Auditor’s Office (WVSAO) Public Integrity and Fraud Unit (PIFU).
United States District Judge Irene C. Berger presided over the hearings. Assistant United States Attorneys Jonathan T. Storage, Jennifer D. Gordon, and Holly Wilson are prosecuting the case.
Individuals with information about allegations of fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:24-cr-192.
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Two Defendants Arrested for Sledgehammer Smash-And-Grab Robbery of Jewelry StoreRead the Press Release
Matthew Podolsky, the Acting United States Attorney for the Southern District of New York, announced today the unsealing of a Complaint charging KEVIN WILLIAMS and BYRON WILSON with the robbery of a jewelry store in Hartsdale, New York, on December 16, 2024, in which the defendants stole approximately $1.7 million of jewelry. WILLIAMS and WILSON were arrested this morning in New Jersey, and are expected to be presented this afternoon before U.S. Magistrate Judge Judith C. McCarthy in White Plains federal court.
Acting U.S. Attorney Matthew Podolsky said: “As alleged, Kevin Williams and Byron Wilson, along with their co-conspirators, carried out the violent robbery of a jewelry store in broad daylight. Armed with sledgehammers, the defendants smashed their way in and then plundered the store of about $1.7 million in jewelry, diamonds, and luxury watches, all while innocent customers and employees hid for their safety. Today’s arrests should make clear that if you commit such brazen and dangerous crimes in this District, we will find you and hold you responsible.”
As alleged in the Complaint:[1]
On December 16, 2024, WILLIAMS, WILSON, and their co-conspirators drove a stolen vehicle with a stolen license plate from New Jersey to New York. At around 11:07 a.m., they arrived at a jewelry store in the Westchester Square shopping plaza in Hartsdale, New York, got out of the vehicle, and sledgehammered their way into the store. Once inside, and while innocent customers cowered in fear for their safety, the robbers smashed jewelry display cases and stole around $1.7 million in jewelry, diamonds, and luxury watches. Soon after, they returned to their vehicle with bags of stolen goods and drove back to New Jersey. Surveillance images of the robbery are below.
Once they arrived in New Jersey, WILLIAMS drove to the Diamond District in New York City, while WILSON returned to their shared residence. A few hours later, WILLIAMS, WILSON, and their co-conspirators took photographs of themselves holding large stacks of cash.
* * *
KEVIN WILLIAMS, 26, and BYRON WILSON, 24, both of Irvington, New Jersey, are charged with conspiracy to commit Hobbs Act robbery and Hobbs Act robbery, each of which carries a maximum sentence of 20 years in prison.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Podolsky praised the outstanding work of the Federal Bureau of Investigation’s Westchester Safe Streets Task Force and Newark Field Office, as well as the Nassau County Police Major Case Squad, the Town of Greenburgh Police Department, and the Newark Police Department.
This case is being handled by the Office’s White Plains Division. Assistant U.S. Attorney Reyhan Watson is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
u.s._v._tarrytown_jewelers_complaint.pdf[1]As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Truck Yard Murderers Sentenced to Life in PrisonRead the Press Release
MIAMI – Three defendants were sentenced to federal prison for conspiracy to commit kidnapping resulting in death, multiple counts of kidnapping resulting in death, and kidnapping.
James Edward Daniels, 59, and Frederick Eugene Rudolph, 69, both of Miami, Fla., were sentenced to life in prison followed by five years of supervised release. Herbert Barr, 56, of Miami, the third defendant, was sentenced to 12 and a half years in prison followed by five years of supervised release. The sentences come after Daniels and Rudolph were found guilty of all charges at trial on Dec. 17, 2024, and Barr pleaded guilty to kidnapping on Nov. 26, 2024.
On Dec. 5, 2020, Daniels, Rudolph, Barr and other co-conspirators kidnapped three victims from a truck yard in Opa-locka, Fla. They bound and tortured the victims, duct-taped their eyes and threw them in the back of a rented van after stealing the victims’ drugs. They drove around the city for hours before taking the victims to an abandoned house in Opa-locka and attempting to execute them by shooting the three victims. Two of the victims died, while one miraculously survived.
Daniels stole jewelry from one of the murdered victims, and all defendants benefitted by receiving drugs, money, or both, in exchange for their participation in the conspiracy.
U.S. Attorney Hayden P. O’Byrne for the Southern District of Florida, Acting Special Agent in Charge Brett Skiles of the FBI, Miami Field Office, Sheriff Rosie Cordero-Stutz of the Miami-Dade Sheriff’s Office (MDSO) and Special Agent in Charge Deanne L. Reuter of the Drug Enforcement Administration (DEA), Miami Field Division announced the sentences.
The FBI Miami Division Homestead Resident Agency, Miami-Dade Sheriff’s Office Homicide Bureau and DEA Homestead Office investigated the case. Assistant U.S. Attorneys Yara Dodin and Katie Guthrie prosecuted the case.
This investigation was carried out by members of the South Florida High Intensity Drug Trafficking Area (HIDTA) Task Force. The South Florida HIDTA, established in 1990, is made up of federal, state, and local law enforcement agencies who, cooperatively, target the region’s drug-trafficking and money laundering organizations. The South Florida HIDTA is funded by the Office of National Drug Control Policy, which sponsors a variety of initiatives focused the nation’s illicit drug trafficking threats. For more information regarding HIDTA visit https://www.dea.gov/operations/hidta.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 23-cr-20431.
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Starkville Man Sentenced to Three Years for Possession and Sale of Illegal Glock DeviceRead the Press Release
Oxford, MS – A Starkville man was sentenced today to three years in prison for possession and transfer of a “Glock switch,” which is a device that converts a semi-automatic handgun to fully automatic.
According to court documents, Kylen Ingram, also known as “KTM Prime,” 22, previously pled guilty to possession and transfer of a “Glock switch” which constitutes a machinegun under federal law. U.S. District Judge Sharion Aycock sentenced Ingram today to 36 months in prison followed by three years of supervised release. Ingram was remanded to the custody of the U.S. Marshals following sentencing.
U.S. Attorney Clay Joyner of the Northern District of Mississippi; Bureau of Alcohol, Tobacco, Firearms, and Explosives New Orleans Special Agent in Charge Joshua Jackson; and FBI Jackson Field Office Special Agent in Charge Robert Eikhoff made the announcement.
This case was investigated by the FBI, the Starkville Police Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Sioux City Man Sentenced to More Than 7 Years in Federal Prison for Illegal Possession of a FirearmRead the Press Release
Terrance Payne Hayes, age 40, from Sioux City, sentenced March 25, 2025, to more than seven years in federal prison. Hayes received the prison term after an October 16, 2024, guilty plea to possession of a firearm by a felon, drug user and person convicted of domestic violence.
Hayes’ unlawful possession of a firearm and drug use were discovered by law enforcement during an investigation into a July 2023 home invasion and homicide. The investigation revealed an individual entered Hayes’ residence, armed with knives, to steal back a stolen firearm Hayes possessed. Hayes was repeatedly stabbed and repeatedly shot the invader with the stolen firearm, ultimately killing the invading individual.
Hayes has a history of violence that the sentencing court described as “stunning.” He has repeatedly been convicted of domestic abuse assault and assault. He has repeatedly been convicted of a myriad of other crimes involving violent, dangerous, and freighting behavior. For example, confronting his one-time girlfriend’s father and breaking the family’s gate; throwing a brick through the window of a home; threatening people with a gun, even causing a 13-year old bystander to fear for herself and her sister; “taunt[ing]” a security guard with a broken bottle; stalking his girlfriend at her workplace; threating a witness stating: “After the court date I’m going to come kill everyone in your house;” threating to knock a victim unconscious; banging repeatedly on the windows of a victim’s home; throwing a rock through the window of a victim’s home; slapping and holding the neck of his wife; and stalking a female taxi passenger. Additionally, Hayes has been convicted of possession of controlled substances, attempted burglary, operating a motor vehicle without owner’s consent, and numerous other offenses.
Hayes was sentenced in Sioux City by United States District Court Judge Leonard T. Strand to 90 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
United States Attorney Timothy Duax stated, “Individuals like Mr. Hayes who repeatedly assault and threaten the citizens of our district will be caught, prosecuted, and punished. I compliment the Sioux City Police Department, the Woodbury County Attorney’s Office, and the ATF for their fine work which resulted in a dangerous criminal being removed from our streets.”
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Hayes is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Sioux City, Iowa Police Department, the Woodbury County Attorney’s Office, and the United States Department of Justice’s Bureau of Alcohol, Tobacco, Firearms, and Explosives. The case was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 23-4068.
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