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20 November 2024
Convicted Felon Pleads Guilty to Illegal Possession of A Firearm and AmmunitionRead the Press Release
Ocala, Florida – United States Attorney Roger B. Handberg announces that Elijah Noah Petit-Frere (24, Orlando) has pleaded guilty to possessing a firearm and ammunition as a convicted felon. Petit-Frere faces a maximum penalty of 15 years in federal prison. A sentencing date has not yet been set.
According to court documents, on March 11, 2024, an officer from the Ocala Police Department conducted a traffic stop on a vehicle driven by Petit-Frere. When Petit-Frere was placed under arrest for a driving offense, officers discovered Petit-Frere had a loaded firearm holstered on his waistband. Petit-Frere previously had been convicted of state felony offenses, including carrying a concealed firearm, fleeing and attempting to elude a police officer, and possession of more than 20 grams of marijuana. As a convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Ocala Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Sarah Janette Swartzberg.
This case is part of the 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 for occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Colombian Drug Kingpin Known as “Don T” Sentenced to 20 Years in Prison for International Cocaine Distribution ConspiracyRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Tito Aldemar Ruano Yandun, also known as “Don T,” “Don Ti,” “Don Tito,” “Pedro Linares,” “Pedro AK2,” “Santos,” “Don Tuma,” “Viejo” and “Viejo Loco,” was sentenced by United States District Court Judge William F. Kuntz, II to 20 years in prison for leading an international cocaine distribution conspiracy. Ruano Yandun pleaded guilty to the charge in March 2024. The defendant was also ordered to forfeit $1.5 million in drug proceeds.
Breon Peace, United States Attorney for the Eastern District of New York, and Frank A. Tarentino III, Special Agent in Charge, Drug Enforcement Administration, New York Division (DEA), announced the sentence.
“Today’s sentence significantly punishes the defendant for leading a prolific drug trafficking organization that exported thousands of kilograms of cocaine destined for our streets,” stated United States Attorney Peace. “International drug kingpins must face American justice for the misery they have caused in our district and country.”
Mr. Peace extended his appreciation to the DEA’s office in Bogota, Colombia, the United States Department of State, the Department of Justice’s Office of International Affairs, the Colombian National Police and the Government of Colombia.
As detailed in court documents, the defendant led a sophisticated drug trafficking organization that operated in southwestern Colombia and Ecuador. His organization regularly exported multi-ton quantities of cocaine to Central America and Mexico so that it could eventually be smuggled into the United States. The defendant’s drug trafficking organization trafficked cocaine on behalf of the Revolutionary Armed Forces of Colombia (i.e., the FARC), helping to fund the FARC’s long-running campaign to overthrow the Government of Colombia.
During the investigation, foreign and U.S. authorities seized thousands of kilograms of cocaine that were being transported by members of the defendant’s organization.
In November 2017, pursuant to the Foreign Narcotics Kingpin Designation Act, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) designated Ruano Yandun and his organization as Specially Designated Narcotics Traffickers for their significant role in international narcotics trafficking. At the time of the designation, OFAC stated that Ruano Yandun’s organization was “a key contributor to the increased cocaine production in the Nariño department of Colombia in recent years.” Ruano Yandun was extradited to the Eastern District of New York in October 2023.
The conviction and sentencing of Ruano Yandun are the result of an ongoing Organized Crime Drug Enforcement Task Forces (OCDETF) investigation led by the Office and the DEA. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorney Andrew D. Wang is in charge of the prosecution.
The Defendant:
TITO ALDEMAR RUANO YANDUN (also known as “Don T,” “Don Ti,” “Don Tito,” “Pedro Linares,” “Pedro AK2,” “Santos,” “Don Tuma,” “Viejo” and “Viejo Loco”)
Age: 49
ColombiaE.D.N.Y. Docket No. 17-CR-27 (WFK)
Clinton Man Sentenced to 97 Months in Federal Prison for Receipt of Child PornographyRead the Press Release
DAVENPORT, Iowa – A Clinton man was sentenced today to 97 months in federal prison for receipt of child pornography.
According to public court documents, Brent Michael Fisher, 48, possessed fifteen devices that contained child sexual abuse material, including cell phones and memory cards. Fisher came to the attention of law enforcement after his then-wife found two memory cards with child sexual abuse material of minor victims and reported it to law enforcement. The Clinton Police Department obtained search warrants for the two memory cards, as well as Fisher’s house, car, and work trailer the same day they received the report. In total, Fisher possessed more than 36,000 images and nearly 10,000 videos containing child sexual abuse material.
After completing his term of imprisonment, Fisher will be required to serve a five-year term of supervised release. There is no parole in the federal system. Fisher was also ordered to pay $93,000 in restitution. Fisher is required to register as a sex offender.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Clinton Police Department and the Federal Bureau of Investigation.
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 the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Chinese National Admits Taking $95,000 in Elder Fraud CaseRead the Press Release
ST. LOUIS – A man from China on Tuesday admitted taking $95,000 from a 79-year-old Missouri fraud victim.
Dongyi Guo, 28, pleaded guilty in U.S. District Court in St. Louis to one count of conspiracy to commit wire fraud. He admitted that co-conspirators began contacting the victim in March of 2024 via telephone calls and electronic messages, claiming to represent her financial institutions and/or the Social Security Office. They falsely claimed that her financial accounts had been compromised, and that she need to pay to prevent her money from being stolen. They told her that an employee of the Federal Deposit Insurance Corporation (FDIC) would pick up the money.
Guo flew from New York City to Chicago and then rented a car to drive to the woman’s home. On March 4, he picked up $40,000 in cash. He took another $35,000 in cash the next day, and $20,000 on March 6. Guo’s co-conspirators continued to pressure the victim into providing more money. Guo was arrested on March 7 during his attempt to take an additional $15,000.
Guo is scheduled to be sentenced March 6, 2025. The conspiracy charge carries a penalty of up to 20 years in prison, a $250,000 fine or both prison and a fine.
The Knox County Sheriff’s Office and the FBI investigated the case. Assistant U.S. Attorney Derek Wiseman is prosecuting the case.
If you or someone you know is age 60 or older and has experienced financial fraud, contact the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Justice Department hotline, managed by the Office for Victims of Crime, can identify appropriate reporting agencies, provide information to callers to assist them in reporting and provide resources and referrals. Reporting frauds can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish, and other languages are available. The Federal Trade Commission also provides a hotline at 877-FTC-HELP and a website at www.ftccomplaintassistant.gov to receive consumer complaints.
Charleston Man Pleads Guilty to Role in Charleston Methamphetamine Trafficking OrganizationRead the Press Release
CHARLESTON, W.Va. – John Wayne Harkless, 46, of Charleston, pleaded guilty today to conspiracy to distribute methamphetamine. Harkless admitted to a role in a Drug Trafficking Organization (DTO) that distributed methamphetamine in the Charleston area.
According to court documents and statements made in court, from in or about January 2024 to in or about May 2024, Harkless conspired with others to distribute methamphetamine in Charleston and within the Southern District of West Virginia.
Harkless sold methamphetamine to a confidential informant on nine separate occasions during the investigation. Investigators were able to confirm that Harkless was obtaining his methamphetamine from co-conspirator Kirt Ray King.
Harkless is scheduled to be sentenced on February 12, 2025, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
Co-defendant Michael Dale Cain, 49, of Parkersburg, pleaded guilty November 6, 2024, to conspiracy to distribute methamphetamine, admitting to a role in the drug trafficking conspiracy, and awaits sentencing. The indictment against King, 47, of Charleston, and another defendant 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.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI).
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
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-95.
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Charleston Man Pleads Guilty to Role in Charleston Methamphetamine Trafficking OrganizationRead the Press Release
CHARLESTON, W.Va. – John Wayne Harkless, 46, of Charleston, pleaded guilty today to conspiracy to distribute methamphetamine. Harkless admitted to a role in a Drug Trafficking Organization (DTO) that distributed methamphetamine in the Charleston area.
According to court documents and statements made in court, from in or about January 2024 to in or about May 2024, Harkless conspired with others to distribute methamphetamine in Charleston and within the Southern District of West Virginia.
Harkless sold methamphetamine to a confidential informant on nine separate occasions during the investigation. Investigators were able to confirm that Harkless was obtaining his methamphetamine from co-conspirator Kirt Ray King.
Harkless is scheduled to be sentenced on February 12, 2025, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine.
Co-defendant Michael Dale Cain, 49, of Parkersburg, pleaded guilty November 6, 2024, to conspiracy to distribute methamphetamine, admitting to a role in the drug trafficking conspiracy, and awaits sentencing. The indictment against King, 47, of Charleston, and another defendant 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.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI).
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
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-95.
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Cape Cod Man Sentenced to over Six Years in Prison for Fentanyl, Fentanyl Analogue and Cocaine OffensesRead the Press Release
BOSTON – A Cape Cod man was sentenced today for drug distribution offenses.
Terrance Cardoza, 28, of Mashpee, was sentenced by U.S. District Court Judge Indira Talwani to 78 months in prison followed by four years of supervised release. In July 2024, Cardoza pleaded guilty to one count of distribution and possession with intent to distribute 40 grams or more of fentanyl; two counts of distribution and possession of 10 grams or more of fentanyl analogue; and one count of distribution and possession with intent to distribute 500 grams or more of cocaine.
On four dates in June, July, September and November 2023, Cardoza met a confidential source in Falmouth and East Falmouth and sold the confidential source narcotics, including fentanyl and fentanyl analogue. At the time of his arrest in January 2024, approximately 758 grams of cocaine was recovered from Cardoza’s vehicle.
Acting United States Attorney Joshua S. Levy and Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration New England Field Division made the announcement today. Valuable assistance was provided by the Falmouth, Mashpee and Yarmouth Police Departments. Assistant U.S. Attorney J. Mackenzie Duane of the Narcotics & Money Laundering Unit prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ocdetf.
California Man Arrested for Money Laundering Conspiracy in Connection with Online Pharmacy WebsitesRead the Press Release
BOSTON – A California man has been arrested and charged in federal court in Boston in connection with a money laundering conspiracy.
Jimmy Fu, 63, of West Hills, Calif., was charged by a criminal complaint with one count of a money laundering conspiracy. Fu was arrested on Oct. 30, 2024, and appeared initially in the Central District of California where he resides. Following an initial appearance today in federal court in Boston, Fu was allowed to remain on conditions of release.
According to the charging documents, since in or around November 2022, law enforcement has been investigating two online pharmacies believed to be operated out of India that advertised controlled substances for sale and distributing misbranded and counterfeit drugs, including drugs that contain controlled substances. The investigation revealed that online orders placed by customers in the United States were filled in several ways, including by illicit pill press locations operating in the United States as well as via shipments from overseas locations, with several illicit pill manufacturing locations identified as being involved in the shipment and fulfillment of orders. During the investigation, a variety of counterfeit prescription drugs, some of which contained controlled substances, were obtained via 18 undercover purchases. One undercover purchase of 60 Adderall pills was found to contain methamphetamine and caffeine. Another undercover purchase of 90 Adderall pills contained no active pharmaceutical ingredient.
It is alleged that Fu was identified as the operator of Axson Engineering, Inc., doing business in Canoga Park, Calif. as “Axson Data.” The business allegedly processed customer payments for controlled substances from the online pharmacies and wired the proceeds of these illegal purchases to various businesses located overseas. It is alleged that the wires were directed to a number of different businesses that identify as information technology consulting businesses, among other things.
It is further alleged that all 18 undercover purchases for prescription drugs were processed by Fu’s business, Axson Data, with each of the payments deposited into an Axson bank account. A review of all of Axson’s bank accounts allegedly revealed thousands of checks deposited from individuals across the United States, including Massachusetts, for various amounts of money ranging from hundreds to thousands of dollars. At least some of these payments allegedly correspond to purchases from the network of online pharmacy websites. It is alleged that, between January 2021 and August 2024, Axson accounts appeared to have received approximately $11.5 million from individuals across the United States.
A search warrant executed for an Apple account associated with Axson allegedly revealed, among other things, a photo of a cell phone displaying an image of a drug test showing a positive indicator for methamphetamine, followed by a text message that read: “I ordered Adderall . . . I got this . . . it’s pressed meth. I said if they don’t have real Adderall I would take 20mg Ritalin to replace. They refused unless I sent these back (which is highly illegal).”
The charge of money laundering conspiracy provides for a sentence of up to 20 years in prison, up to three years of supervised release, and a fine of up to $500,000 or twice the funds laundered, whichever is greater. 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.
Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge of Homeland Security Investigations, New England; and Special Agent in Charge Fernando McMillan, FDA Office of Criminal Investigations New York Field Office made the announcement today. Valuable assistance was provided by Homeland Security Investigations in West Palm Beach, Fla., Northridge, Calif., and Las Vegas; Drug Enforcement Administration; Federal Bureau of Investigation; U.S. Customs & Border Protection; U.S. Postal Inspection Service; Federal Air Marshal; U.S. Attorney’s Office for the Central District of California; Los Angeles County Sheriff’s Office; and the Quincy, Framingham and Henderson, Nev. Police Departments. Assistant U.S. Attorneys J. Mackenzie Duane of the Narcotics & Money Laundering Unit, Alexandra Amrhein of the Asset Recovery Unit and Leslie Wright of the Health Care Fraud Unit are prosecuting the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ocdetf.
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.
Burlington Man Sentenced to 230 Months in Federal Prison for Distributing MethRead the Press Release
DAVENPORT, Iowa – A Burlington man was sentenced yesterday to 230 months in federal prison for distributing methamphetamine.
According to public court documents, David Lee Davis, Jr., 38, distributed approximately two pounds of methamphetamine to an undercover law enforcement officer in October 2022. At the time, Davis was under a term of federal supervised release for a 2012 conviction for conspiracy to distribute crack cocaine and possession of a firearm in furtherance of a drug trafficking crime. Davis’s term of supervised release was revoked, and he was sentenced to 51-months consecutive to his 230-months sentence.
After completing his term of imprisonment, Davis will be required to serve a five-year term of supervised release. There is no parole in the federal system.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Quad Cities Metropolitan Enforcement Group, Southeast Iowa Narcotics Task Force, Davenport Police Department, Scott County Special Operations Unit, and the Federal Bureau of Investigation.
Boise Man Indicted for Selling Firearms Without a LicenseRead the Press Release
BOISE – A federal grand jury in Boise returned an indictment on November 13, 2024, charging Luke James Estep, 27, of Boise, with dealing firearms without a license, U.S. Attorney Josh Hurwit announced today.
The two-count indictment alleges that in October 2024, Estep, who is not a licensed firearms dealer, was selling firearms. If convicted, he faces a maximum of five years in federal prison and up to a $250,000 fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Estep was arrested on November 14 and booked with the Ada County Jail. Estep appeared on Monday before U.S. Magistrate Judge Debora K. Grasham and entered a plea of not guilty. A jury trial is scheduled for January 6, 2025, at the federal courthouse in Boise, before Senior U.S. District Judge B. Lynn Winmill.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Meridian Police Department. Assistant U.S. Attorney Katherine Horwitz is prosecuting the case.
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.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Billionaire Chairman of Conglomerate and Seven Other Senior Business Executives Indicted in Connection with Scheme to Pay Hundreds of Millions of Dollars in Bribes and Conceal Bribery Scheme from U.S. InvestorsRead the Press Release
A five-count criminal indictment was unsealed today in federal court in Brooklyn charging Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain, executives of an Indian renewable-energy company (the Indian Energy Company), with conspiracies to commit securities and wire fraud and substantive securities fraud for their roles in a multi-billion-dollar scheme to obtain funds from U.S. investors and global financial institutions on the basis of false and misleading statements. The indictment also charges Ranjit Gupta and Rupesh Agarwal, former executives of a renewable-energy company with securities that had traded on the New York Stock Exchange (the U.S. Issuer), and Cyril Cabanes, Saurabh Agarwal and Deepak Malhotra, former employees of a Canadian institutional investor, with conspiracy to violate the Foreign Corrupt Practices Act in connection with a bribery scheme also perpetrated by Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain, involving one of the world’s largest solar energy projects.
Breon Peace, United States Attorney for the Eastern District of New York, Lisa H. Miller, Deputy Assistant Attorney General for the Justice Department’s Criminal Division and James E. Dennehy, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the charges.
“As alleged, the defendants orchestrated an elaborate scheme to bribe Indian government officials to secure contracts worth billions of dollars and Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain lied about the bribery scheme as they sought to raise capital from U.S. and international investors,” stated United States Attorney Peace. “My Office is committed to rooting out corruption in the international marketplace and protecting investors from those who seek to enrich themselves at the expense of the integrity of our financial markets.”
“This indictment alleges schemes to pay over $250 million in bribes to Indian government officials, to lie to investors and banks to raise billions of dollars, and to obstruct justice,” stated Deputy Assistant Attorney General Miller. “These offenses were allegedly committed by senior executives and directors to obtain and finance massive state energy supply contracts through corruption and fraud at the expense of U.S. investors. The Criminal Division will continue to aggressively prosecute corrupt, deceptive, and obstructive conduct that violates U.S. law, no matter where in the world it occurs.”
“Gautam S. Adani and seven other business executives allegedly bribed the Indian government to finance lucrative contracts designed to benefit their businesses. Adani and other defendants also defrauded investors by raising capital on the basis of false statements about bribery and corruption, while still other defendants allegedly attempted to conceal the bribery conspiracy by obstructing the government’s investigation,” stated FBI Assistant Director in Charge Dennehy. “The FBI maintains its steadfast mission to expose all corrupt agreements, especially with international governments, and protect investors from related harm.”
As alleged in the indictment, between approximately 2020 and 2024, the defendants agreed to pay more than $250 million in bribes to Indian government officials to obtain lucrative solar energy supply contracts with the Indian government, which were projected to generate more than $2 billion in profits after tax over an approximately 20-year period (the Bribery Scheme). On several occasions, Gautam S. Adani personally met with an Indian government official to advance the Bribery Scheme, and the defendants held in-person meetings with each other to discuss aspects of its execution. The defendants frequently discussed their efforts in furtherance of the Bribery Scheme, including through an electronic messaging application. The defendants also extensively documented their corrupt efforts: for example, Sagar R. Adani used his cellular phone to track specific details of the bribes offered and promised to government officials; Vneet S. Jaain used his cellular phone to photograph a document summarizing various bribe amounts the U.S. Issuer owed the Indian Energy Company for its respective portion of the bribes; and Rupesh Agarwal prepared and distributed to other defendants multiple analyses using PowerPoint and Excel that summarized various options for paying and concealing bribe payments (Bribery Analyses).
During this same period, Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain allegedly conspired to misrepresent the Indian Energy Company’s anti-bribery and corruption practices and conceal the Bribery Scheme from U.S. investors and international financial institutions in order to obtain financing, including to fund those solar energy supply contracts procured through bribery. As alleged, Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain caused the Indian Energy Company and certain of its subsidiaries to raise capital on the basis of false and misleading statements in connection with (i) two U.S. dollar-denominated syndicate loans totaling more than $2 billion from lender groups comprised of international financial institutions and U.S.-based investors; and (ii) two Rule 144A bond offerings for more than $1 billion underwritten by international financial institutions, which were marketed and sold to investors in the U.S., among other places. In addition, Gautam S. Adani, Sagar R. Adani and Vneet S. Jaain caused the Indian Energy Company to make false statements in their consolidated financial statements and to the market and investors regarding the Bribery Scheme.
The indictment further alleges that Cyril Cabanes, Saurabh Agarwal, Deepak Malhotra and Rupesh Agarwal conspired to obstruct the grand jury, FBI and U.S. Securities and Exchange Commission (SEC) investigations into the Bribery Scheme. Among other things, those four defendants agreed to delete electronic materials related to the Bribery Scheme, including emails, electronic messages and Bribery Analyses; caused the U.S. Issuer’s Board of Directors to initiate an internal investigation into the Bribery Scheme and then withheld material information from that investigation; and falsely denied their participation in the Bribery Scheme to representatives of the FBI, DOJ and SEC at meetings in Brooklyn, New York. For this conduct, Cyril Cabanes, Saurabh Agarwal, Deepak Malhotra and Rupesh Agarwal are charged with conspiracy to obstruct justice.
The charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty.
In July 2022, Mr. Peace was selected as the Chairperson of the White Collar Fraud subcommittee for the Attorney General’s Advisory Committee (AGAC). As the leader of the subcommittee, Mr. Peace plays a key role in making recommendations to the AGAC to facilitate the prevention, investigation and prosecution of various financially motivated, non-violent crimes including bribery and fraud.
The investigation was conducted by the FBI New York’s Corporate, Securities and Commodities Fraud and International Corruption Units. The government’s case is being handled by the Business and Securities Fraud Section of the U.S. Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. Assistant U.S. Attorneys Sarah M. Evans, Matthew R. Galeotti and Jessica K. Weigel of the Eastern District of New York, Shy Jackson of the Criminal Division, Fraud Section’s FCPA Unit and Andrew Tyler of the Fraud Section’s Market Integrity and Major Frauds Unit are prosecuting the case with assistance from Paralegal Specialists Liam McNett, Angelina Tyler and Nadiya Singh.
The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act (FEPA) matters. Additional information about the Justice Department’s FCPA and FEPA enforcement efforts can be found at www.justice.gov/criminal-fraud/foreign-corrupt-practices-act.
The Department of Justice’s Office of International Affairs and the SEC’s New York Regional and Boston Regional offices provided valuable assistance during the investigation.
The Defendants:
GAUTAM S. ADANI
Age: 62
IndiaSAGAR S. ADANI
Age: 30
IndiaVNEET S. JAAIN
Age: 53
IndiaRANJIT GUPTA
Age: 54
IndiaCYRIL CABANES
Age: 50
France / AustraliaSAURABH AGARWAL
Age: 48
IndiaDEEPAK MALHOTRA
Age: 45
IndiaRUPESH AGARWAL
Age: 50
IndiaE.D.N.Y. Docket No. 24-CR-433 (NGG)
adani_et_al._indictment.pdfBergen County Investment Advisor Admits Stealing Millions of Dollars from ClientsRead the Press Release
TRENTON, N.J. – A former broker and investment advisor today admitted stealing more than $3 million from five clients, U.S. Attorney Philip R. Sellinger announced.
Kenneth A. Welsh, 42, of River Edge, New Jersey, pleaded guilty before U.S. District Judge Robert Kirsch in Trenton federal court to and indictment charging him with four counts of wire fraud and one count of investment advisor fraud.
According to documents filed in this case:
From July 2017 through March 2021, Welsh, while serving in his capacity as an investment advisor employed by a large brokerage firm, misappropriated at least $3 million from five clients. Welsh, who had been entrusted to manage client funds responsibly, instead perpetrated a scheme to defraud the five clients by diverting money from their brokerage accounts to accounts under his control. Welsh then used the unlawfully obtained money to fund his gambling and to purchase high-end, luxury items for himself.
Each of the wire fraud counts carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense, whichever is greatest. The investment advisor fraud count carries a maximum potential penalty of five years in prison and a $10,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for March 26, 2025.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Acting Special Agent in Charge Nelson I. Delgado, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney Shontae D. Gray of the Economic Crimes Unit in Newark.
welsh.indictment.pdfArkansas Man Sentenced to 81 Months for Traveling to Have Sex with a MinorRead the Press Release
Rutland, Vermont – The United States Attorney’s Office for the District of Vermont stated that on November 20, 2024, Nicholas Shelton, 25, of Hope, Arkansas, was sentenced by United States District Judge Joseph N. Laplante to a term of 81 months’ imprisonment to be followed by a 15-year term of supervised release. Shelton previously pleaded guilty to traveling with intent to engage in illicit sexual conduct.
According to court records, in March 2023, while living in Hope, Arkansas, Shelton began communicating with a 15-year-old girl who resided in Vermont using two social media platforms. During their conversations, Shelton and his victim began discussing having sexual intercourse, getting married, and having children. Thereafter, on March 25, 2023, Shelton traveled to Vermont with the intent to engage in sexual activity with the minor victim, knowing she was only 15 years old. Shelton was discovered living in the garage of the 15-year-old victim’s family home, and ordered to leave by the child’s parents. Shortly thereafter, the 15-year-old ran away from home, prompting the family to call the police for assistance. Two days later, the 15-year-old child and Shelton were found camping in the woods near a park in Essex, Vermont. Shelton admitted to having intercourse with the 15-year-old child.
United States Attorney Nikolas P. Kerest commended the collaborative investigatory efforts of Homeland Security Investigations and the Essex, Vermont Police Department.
The case was prosecuted by Assistant U.S. Attorney Jonathan A. Ophardt. Shelton was represented by Assistant Federal Defender Steven Barth.
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 Justice.gov/PSC.
Activity in the U.S. Attorney's OfficeRead the Press Release
Drug Trafficking
Nadine Kay Niedo (Vasquez), 41, of Fort Washakie, Wyoming was sentenced to 6 months’ imprisonment with three years of supervised release for distribution of methamphetamine. According to court documents, in December 2023, Wyoming Division of Criminal Investigation (DCI) agents conducted a controlled buy of 3.4 grams of methamphetamine from Vasquez for $120 at a store parking lot in Fort Washakie. She was indicted on May 16, pleaded guilty on Aug 14, and U.S. District Court Judge Alan B. Johnson imposed the sentence on Nov. 12, in Cheyenne. DCI investigated the crime and Assistant U.S. Attorney Timothy W. Gist prosecuted the case. Case No. 24-00082
Assault with a Dangerous Weapon
Enik Dean Jenkins, aka Lawrence Jenkins, 32, of Fort Washakie, Wyoming was sentenced to 12 months and one day in federal prison with three years of supervised release for assault with a dangerous weapon. Based on court documents, the BIA Wind River Police Department and FBI responded to an assault at the Slattery Trailer Courts in St. Stephens. According to the victim, she was attempting to leave the residence and the defendant did not want her to leave so he hit her in the head with a hand-sized rock. Jenkins denied any involvement at first, but agents noticed blood spatter on his shirt and shorts. Blood tests confirmed the blood to be from the victim. Jenkins was indicted on May 17, 2023, pleaded guilty on Jan. 10, and U.S. District Court Judge Alan B. Johnson imposed the sentence on Nov. 13 in Cheyenne. The BIA Wind River Police Department and FBI investigated the case. Assistant U.S. Michael J. Elmore prosecuted the case. Case No. 23-CR-00101
Possession of an Unregistered Firearm
Stirling Lee Foster, 25, of Casper, Wyoming was sentenced to 46 months’ imprisonment with three years of supervised release for the possession of an unregistered firearm. According to court documents, the defendant’s mother called the police to her house on May 10, 2023, for reported drug activity. She informed officers that she found controlled substances and a firearm in Foster’s bedroom. The identified shotgun had been modified with a shortened barrel, the stock had been modified, and the serial number had been filed down rendering it illegible. The firearm was later identified as a .410 shotgun and the defendant had not registered it as required by the National Firearms Act. Police officers also found marijuana in his room. Foster was indicted on Nov. 15, 2023, pleaded guilty on Aug. 22, and U.S. District Court Judge Kelly H. Rankin imposed the sentence on Nov. 12, in Cheyenne. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Casper Police Department investigated this crime. Assistant U.S. Attorney Michael J. Elmore prosecuted the case. Case No. 23-00154
About the United States Attorney’s Office
The United States Attorney’s Office is responsible for representing the federal government in virtually all litigation involving the United States in the District of Wyoming, including all criminal prosecutions for violations of federal law, civil lawsuits brought by or against the government, and actions to collect judgments and restitution on behalf of victims and taxpayers. The Office is involved in several programs designed to make our communities safer. They include:
Environmental Justice
The fair treatment and meaningful involvement of all people regardless of race, color, national origin, or income with respect to the development, implementation, and enforcement of environmental laws, regulations, and policies.
Project Safe Childhood
Project Safe Childhood (PSC) is a DOJ initiative that combats the proliferation of technology-facilitated sexual exploitation crimes against children. The threat of sexual predators soliciting children for sexual contact is well-known and serious.
Project Safe Neighborhoods
Project Safe Neighborhoods (PSN) is a nationwide commitment to reducing gun and gang crime in America by networking existing local programs that target gun crime and providing these programs with additional tools necessary to be successful.
Victim Witness Assistance
The Victim Witness Coordinator for the United States Attorney’s Office for the District of Wyoming is dedicated to making sure that victims of federal crimes and their family members are treated with compassion, fairness, and respect.To report a federal crime, go to: https://www.justice.gov/actioncenter/report-crime#trafficking
A State of Washington Man Involved in a Massive Drug Distribution Scheme Sentenced to over 12 Years in Federal PrisonRead the Press Release
DETROIT – A State of Washington man was sentenced to 12 ½ years in prison for his role in an armed drug conspiracy that amassed nearly 200 pounds of methamphetamine and other controlled substances, United States Attorney Dawn N. Ison announced.
Ison was joined in the announcement by Orville O. Greene, Special Agent in Charge of the Detroit Division of the Drug Enforcement Administration(DEA) and Rodney Hopkins, Inspector in Charge of the Detroit Division of the United States Postal Inspection Service (USPIS).
Antonio D.J. Mitchell, 39, of Seattle, Washington was sentenced to 150 months in prison by United States District Judge Linda V. Parker.
According to court documents, DEA and USPIS agents learned through their investigation that Keith Haskins had been mailing kilograms of methamphetamine, fentanyl, and cocaine from California to his associate in Detroit, Kennie Smith. Federal agents intercepted several of these parcels, many of which contained drugs packaged inside of plastic buckets from a hardware store chain. Smith then managed distribution in the Detroit area from several of his properties.
Haskins later recruited Mitchell to assist with transporting drugs and drug proceeds between the southwestern United States and Michigan. Haskins and Mitchell eventually moved to Detroit and expanded their operations. The pair rented a storage unit and a downtown apartment where, in November 2021, agents found over 87 kilograms of methamphetamine, 3 kilograms of fentanyl, one kilogram of cocaine, seven firearms, and hundreds of rounds of ammunition, including a drum-style magazine.
Four members of the conspiracy were charged in federal court. Haskins, Smith, and Mitchell each pleaded guilty to conspiracy to distribute methamphetamine, fentanyl, and cocaine, as well as possessing or attempting to possess with the intent to distribute methamphetamine. Haskins, 47, of San Bernardino County, California, was previously sentenced to 18 years in prison. Smith, 46, of Clinton Township, Michigan, received 125 months in prison. The fourth defendant, Chalisa Sawyer, is awaiting trial set for January 28, 2025.
“We will tirelessly pursue and prosecute drug dealers who continue to inflict harm on our communities with dangerous drugs like methamphetamine and fentanyl, whether near or far,” U.S. Attorney Ison said. “The sentences imposed in this case, should underscore that goal. I commend our law enforcement partners at DEA and USPIS whose hard work helped achieve these significant results.”
“At the time of his arrest, Mr. Mitchell and his co-conspirators were in possession of more than 87 kilograms of methamphetamine, 3 kilograms of fentanyl, and other illicit drugs. The fentanyl alone could provide a deadly dosage to 1.5 million people,” said Special Agent in Charge Orville. “DEA remains committed to dismantling criminal organizations who exchange lives for monetary gain and blatantly ignore the laws of this nation.”
“The sentences handed down thus far for these co-conspirators underscore the seriousness of the crimes at hand and the resolve with which we strive to secure the nation’s mail system and keep our customers and communities safe,” said Inspector in Charge Hopkins. “Crucial to the success of this mission are the relationships we maintain with partners at all levels. We would like to express sincere appreciation the DEA’s Detroit Division and the U.S. Attorney’s Office for the Eastern District of Michigan for their tireless work with us to achieve a successful outcome in this investigation.”
This case was investigated by special agents of the Drug Enforcement Administration and inspectors from the United States Postal Inspection Service. This case was prosecuted by Assistant U.S. Attorney Thomas Franzinger.
This prosecution is 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.
5 Defendants Charged Federally with Running Scheme that Targeted Victim Companies via Phishing Text MessagesRead the Press Release
INDICTMENT
COMPLAINT
LOS ANGELES – Law enforcement today unsealed criminal charges against five defendants who allegedly targeted employees of companies nationwide with phishing text messages and then used the harvested employee credentials to log in and steal non-public company data and information and to hack into virtual currency accounts to steal millions of dollars in cryptocurrency.
The following defendants are charged by a federal grand jury indictment with one count of conspiracy to commit wire fraud, one count of conspiracy, and one count of aggravated identity theft:
- Ahmed Hossam Eldin Elbadawy, 23, a.k.a. “AD,” of College Station, Texas;
- Noah Michael Urban, 20, a.k.a. “Sosa” and “Elijah,” of Palm Coast, Florida;
- Evans Onyeaka Osiebo, 20, of Dallas, Texas; and
- Joel Martin Evans, 25, a.k.a. “joeleoli,” of Jacksonville, North Carolina.
Evans was arrested Tuesday by the FBI in North Carolina and is expected to make his initial court appearance today. Urban also faces and has pleaded not guilty to several fraud charges in a separate criminal case in federal court in Jacksonville, Florida.
Also unsealed today was a criminal complaint charging Tyler Robert Buchanan, 22, of the United Kingdom, with conspiracy to commit wire fraud, conspiracy, wire fraud, and aggravated identity theft.
“We allege that this group of cybercriminals perpetrated a sophisticated scheme to steal intellectual property and proprietary information worth tens of millions of dollars and steal personal information belonging to hundreds of thousands of individuals,” said United States Attorney Martin Estrada. “As this case shows, phishing and hacking has become increasingly sophisticated and can result in enormous losses. If something about the text or email you received or website you’re viewing seems off, it probably is.”
“The defendants allegedly preyed on unsuspecting victims in this phishing scheme and used their personal information as a gateway to steal millions in their cryptocurrency accounts,” said Akil Davis, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “These types of fraudulent solicitations are ubiquitous and rob American victims of their hard-earned money with the click of a mouse. I’m proud of our stellar cyber agents whose work led to the identification of the alleged schemers who are facing significant prison time if convicted.”
According to court documents, from at least September 2021 to April 2023, the defendants conducted phishing attacks by sending mass short message service (SMS) text messages to mobile phones of numerous victim companies’ employees – messages that purported to be from the victim company or a contracted information technology or business services supplier of the victim company.
The phishing text messages often stated that the employees’ accounts were about to be deactivated and provided links to phishing websites which were designed to look like legitimate websites of the victim companies or their contracted suppliers and lure the recipient into providing confidential information, including account login credentials. Some employees went to the phishing websites, entered their credentials, and sometimes authenticated their identities using a two-factor authentication request sent to their mobile phones.
The defendants then used the stolen credentials to gain unauthorized access the accounts of victim companies’ employees and the companies’ computer systems to steal confidential information, including confidential work product, intellectual property, and personal identifying information, such as account access credentials, names, email addresses, and telephone numbers.
The group also used stolen information obtained from victim company intrusions, leaked data sets, and other sources, to gain unauthorized access to numerous individuals’ cryptocurrency accounts and wallets and steal millions of dollars’ worth of virtual currency.
An indictment and a complaint contain allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
If convicted, each defendant would face a statutory maximum sentence of 20 years in federal prison for conspiracy to commit wire fraud, up to five years in federal prison for the conspiracy count, and a mandatory two-year consecutive prison sentence for aggravated identity theft. Buchanan would face up to 20 years in prison for the wire fraud count as well.
The FBI is investigating these matters. The United States Attorney’s Office for the Eastern District of North Carolina, Police Scotland and the FBI field offices in Charlotte, Denver, Houston and Portland provided assistance during this investigation.
Assistant United States Attorneys Lauren Restrepo of the Cyber and Intellectual Property Crimes Section and Sue J. Bai of the Terrorism and Export Crimes Section are prosecuting these cases.
19 November 2024
Yuba County Man Sentenced to 2 Years and 11 Months in Prison for Submitting False Claims Against the United States in Relation to a COVID-19 Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — Jason Toland, 44, of Wheatland, was sentenced today by U.S. District Judge Dale A. Drozd to two years and 11 months in prison for submitting false claims against the United States related to COVID-19 pandemic tax credits, U.S. Attorney Phillip A. Talbert announced. Toland was also ordered to pay $2,078,462 in restitution to the Internal Revenue Service (IRS) and the Small Business Administration (SBA).
According to court documents, Toland attempted to obtain more than $13.4 million in COVID‑19 pandemic relief funds by filing multiple false tax returns with the IRS seeking refunds for the Employee Retention Credit and the COVID Sick and Family Leave Credit. Toland used shell companies that had no real employees and no actual business activity to seek more than $11 million in such tax refunds to which he was not entitled. In addition, between 2020 and 2023, Toland used the shell companies to fraudulently obtain a total of more than $1.7 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds. All these tax credits and programs were intended to alleviate the economic harm caused by the COVID-19 pandemic on real businesses with real employees and operating expenses.
Of the more than $13.4 million that he sought through false tax returns and fraudulent loan applications, Toland successfully obtained more than $1.95 million. All the funds Toland received went to his own personal enrichment.
“The COVID-19 Fraud Strike Force continues to pursue pandemic fraud, including the abuse of tax credits for personal gain,” said U.S. Attorney Talbert. “Today’s sentence demonstrates that false claims targeting credits meant for real businesses suffering real consequences of the pandemic will be identified and prosecuted.”
“Mr. Toland’s fraudulent and nefarious scheming took aim at funds designated to help both small businesses and American citizens in the midst of a global pandemic,” said IRS Criminal Investigation Oakland Field Office Acting Special Agent in Charge Michael Mosley. “IRS-CI does not and will not sit idly by while financial criminals seek to exploit the American tax system. We are the experts in financial investigations, and we build cases that result in justice.”
This case was the product of an investigation by IRS-Criminal Investigation in collaboration with the IRS’s Nationally Coordinated Investigation Unit with assistance from the SBA Office of Inspector General and the Federal Bureau of Investigation. Assistant U.S. Attorney Denise N. Yasinow prosecuted the case.
This effort is part of a California COVID-19 Fraud Enforcement Strike Force operation, one of five interagency COVID-19 fraud strike force teams established by the U.S. Department of Justice. The California Strike Force combines law enforcement and prosecutorial resources in the Eastern and Central Districts of California and focuses on large-scale, multistate pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces use prosecutor-led and data analyst-driven teams to identify and bring to justice those who stole pandemic relief funds.
Woodbridge Man Charged with Pandemic Relief Program Fraud OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Harry T. Chavis, Jr., Special Agent in Charge of IRS Criminal Investigation in New England, today announced that YASIR G. HAMED, 59, of Woodbridge, has been charged by federal criminal complaint with offenses stemming from an alleged scheme to defraud a COVID-19 pandemic relief program of hundreds of thousands of dollars.
Hamed was arrested on November 13, 2024. He appeared before U.S. Magistrate Judge Robert M. Spector in New Haven and was released on a $500,000 bond.
In March 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act provided emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain other expenses through the Paycheck Protection Program (“PPP”). The PPP was overseen by the U.S. Small Business Administration (“SBA”), and individual PPP loans were issued by private lenders, which received and processed PPP applications and supporting documentation, and then made loans using the lenders’ own funds, which were guaranteed by the SBA.
As alleged in court documents and statements made in court, Hamed, an accountant, had an ownership interest or representative relationship with several New Haven-based businesses, including Access Consulting and Professional Services Inc.; Connecticut Medical Transportation Inc.; Arabic Language Learning Program Inc.; Institute for Global Educational Exchange Inc.; Access Medical Transport Inc.; Ikea Car & Limo Inc.; Center of the World Tours, North America LLC.; and Sudanese American Friendship Association Inc. Between June 2020 and September 2021, Hamed submitted fraudulent PPP loan applications on behalf of these companies, overstating employee numbers and average monthly payroll, and making other fraudulent representations. As part of the applications, he submitted false tax filings that had never been filed with the IRS.
It is further alleged that Hamed submitted PPP loan applications on behalf of companies owned by his clients. In at least one instance, Hamed convinced the owner of a business, which he knew was not active and had no employees, to seek PPP funding. Hamed prepared the paperwork for the PPP application and then took a significant portion of the loan proceeds.
Through this alleged scheme, Hamed received more than $700,000 in loan proceeds for himself and his family, and significant kickbacks from his clients. Hamed used the funds for personal expenses, including education expenses for a family member, and for downpayment on a $880,000 house in Woodbridge that he purchased in October 2020.
The complaint charges Hamed with bank fraud, which carries a maximum term of imprisonment of 30 years; wire fraud, which carries a maximum term of imprisonment of 20 years; and engaging in illegal monetary transactions, which carries a maximum term of imprisonment of 10 years.
U.S. Attorney Avery stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.
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.
Wisconsin Man Pleads Guilty to Failing to File Employment Tax Returns and to Failing to Pay Employment TaxesRead the Press Release
United States Attorney Gregory J. Haanstad announced that on November 19, 2024, U.S. District Judge Lynn Adelman accepted the guilty plea of William S. Gallagher to one count of failure to truthfully account for and pay over employment taxes to the Internal Revenue Service (IRS), in violation of 26 U.S.C. § 7202.
On October 22, 2024, a federal grand jury returned an indictment charging Gallagher with twelve counts of failure to truthfully account for and pay over employment taxes for each quarter in tax years 2018 through 2020. According to the indictment and plea agreement, Gallagher was the owner and manager of a swimming pool service and retail company in Lake Geneva, Wisconsin.
The company, H2O Wisconsin, LLC, or Poolblu, employed approximately 15 workers. Gallagher was required to withhold federal income taxes, Social Security taxes, and Medicare taxes from his employees’ wages, hold those amounts in trust, and pay them over to the IRS. Additionally, Gallagher was responsible for filing quarterly tax returns (Forms 941) reporting these amounts to the IRS.
Gallagher was further required to pay the employer’s matching portion of Social Security and Medicare taxes. For each quarter in tax years 2018 through 2020, Gallagher willfully failed to truthfully account for and pay over these taxes. Dating back to 2014, the loss to the IRS totaled over $606,000.
Sentencing is scheduled for January 30, 2025, at 10:00 a.m., before Judge Adelman. At sentencing, Gallagher faces up to five years in prison and up to a $250,000 fine. He also faces up to three years of supervised release after completing any period of imprisonment.
The IRS, Criminal Investigation Division, investigated the case, which Assistant United States Attorney John P. Scully is prosecuting.
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Winslow Woman Sentenced for Embezzlement SchemeRead the Press Release
BANGOR, Maine: A Winslow woman was sentenced in U.S. District Court in Bangor for a wire fraud scheme.
U.S. District Judge Stacey D. Neumann sentenced Sarah Nale, 49, to nine months in prison followed by nine months of home confinement and two years of supervised release. She was also ordered to pay over $816,000 in restitution. Nale pleaded guilty on August 5, 2024.
According to court records, between March 2012 and September 2022, Nale stole $816,584.74 from two local businesses—a realty trust and a professional services firm—where she was the bookkeeper and sole employee. A large portion of the funds were stolen by writing checks from the realty trust to the professional firm, and then writing checks to herself from the professional firm. She would write large checks to herself for money she was not owed, but prepared a checkbook ledger that made the checks appear to have been made to legitimate vendors or for her usual salary.
The FBI and the Waterville Police Department investigated the case.
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Windber Resident Indicted for Sexual Exploitation of a MinorRead the Press Release
JOHNSTOWN, Pa. – A resident of Windber, Pennsylvania, was indicted by a federal grand jury in Johnstown on charges related to the sexual exploitation of a minor, United States Attorney Eric G. Olshan announced today.
The two-count Indictment named Paul A. Marone (Jr.), 45, as the sole defendant.
According to the Indictment, from in and around January 2024 to in and around July 2024, Marone received and attempted to receive images of minors engaged in sexually explicit conduct using materials that were shipped or transported in interstate or foreign commerce. The Indictment further alleges that, during that same time period, Marone coerced and enticed a minor.
The law provides for a total sentence of not less than 10 years and up to life in prison, a fine of $250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Maureen Sheehan-Balchon is prosecuting this case on behalf of the government.
Homeland Security Investigations conducted the investigation leading to the Indictment.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child resources to better locate, apprehend, and prosecute individuals who sexually exploit children and identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
West Virginia Doctor Guilty of Tax FraudRead the Press Release
CLARKSBURG, WEST VIRGINIA - A Wheeling, West Virginia, physician was convicted today of failing to pay nearly $2.5 million in payroll taxes, United States Attorney William Ihlenfeld announced.
A federal jury found Nitesh Ratnakar, age 48, guilty of 41 counts of tax fraud. Ratnakar owned and operated a gastroenterology practice and a medical equipment manufacturer in Elkins, West Virginia. Jurors heard testimony that he withheld payroll taxes from his employees’ paychecks and failed to make $2,419,560 in required payments to the Internal Revenue Service. Ratnakar also filed false tax returns in 2020, 2021, and 2022.
Ratnakar is facing up to five years in prison for each of the first 38 tax fraud counts and up to three years for the remaining tax fraud counts. A federal district court judge will determine the sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Jarod Douglas and Eleanor Hurney prosecuted the case on behalf of the government.
The Internal Revenue Service Criminal Investigation investigated the case.
Chief U.S. District Judge Thomas S. Kleeh presided.
Washington man sentenced to seven years in prison for trafficking meth, fentanyl on Flathead Indian ReservationRead the Press Release
MISSOULA — A Washington man who was convicted of trafficking methamphetamine and fentanyl on the Flathead Indian Reservation after law enforcement found more than 5,000 fentanyl pills and meth in his car was sentenced today to seven years in prison, to be followed by seven years of supervised release, U.S. Attorney Jesse Laslovich said.
The defendant, Michael Davis Bryant, 48, of Spokane, Washington, pleaded guilty in July to possession with intent to distribute controlled substances.
U.S. District Judge Donald W. Molloy presided.
The government alleged in court documents that the Northwest Drug Task Force was investigating meth and fentanyl distribution on the Flathead Reservation in 2021 and identified Bryant as a source of the drugs brought into Montana for distribution. In January 2022, agents with the Bureau of Indian Affairs and Drug Enforcement Administration conducted a controlled purchase in Spokane, Washington, of 1,000 fentanyl pills from Bryant. Later that month, law enforcement tracked Bryant to the Flathead Reservation. Law enforcement learned Bryant was in a house and had a large quantity of fentanyl pills he was trying to sell. Bryant fled when law enforcement attempted to contact him. Officers searched Bryan’s car and located 5,636 fentanyl pills, a large quantity of meth and several scales. Bryant was arrested the next day on an outstanding federal warrant. He had a key to his vehicle on a lanyard around his neck.
The U.S. Attorney’s Office prosecuted the case. The Northwest Drug Task Force, Flathead Tribal Police Department, Homeland Security Investigations, BIA and DEA conducted the investigation.
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. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.
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Utah Sales Agent Admits to Defrauding Clients of More than $4.9MRead the Press Release
SALT LAKE CITY, Utah – A Utah County man pleaded guilty to securities fraud after admitting he lied to investors and fraudulently sold investment contracts, which are securities, without a license, to approximately 130 clients, through Utah company Alpha Influence, LLC.
According to court documents and admissions made at the change of plea hearing, from March 2020 to June 2022, Kole Glen Brimhall, 27, of Orem, Utah, fraudulently sold investments in e-commerce stores through Alpha Influence, LLC., a registered Utah corporation. Brimhall was not licensed to offer and sell securities, but as part of the scheme, Brimhall sold the e-commerce stores to purchasers as a passive investment and promised that the stores would make consistent, predictable, monthly returns. Brimhall failed to disclose that the majority of the invested funds went directly to Alpha Influence, LLC and then were distributed to sales agents, including himself, for commissions, and only a small portion was sent to the servicer of the investors’ stores.
Brimhall is scheduled to be sentenced March 24, 2025, at 8:30 a.m. in courtroom 3.4 before a U.S. District Court Judge at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City.
U.S. Attorney, Trina A. Higgins, of the District of Utah made the announcement.
The case is being investigated jointly by the Utah Division of Securities and the FBI Salt Lake City Field Office.
Assistant United States Attorneys Mark Woolf, Brian Williams, and Ruth Hackford-Peer of the U.S. Attorney’s Office for the District of Utah are prosecuting the case.
Upstate New York Resident and Bangladeshi National Charged with Digital Streaming Piracy SchemeRead the Press Release
Earlier today, in federal court in Brooklyn, an indictment was unsealed charging Noor Nabi Chowdhury and his brother, Mohammad Mahmudur Rahman, with conspiracy to provide to the public an illicit digital transmission service; providing an illicit digital transmission service; conspiracy to commit wire fraud; and aggravated identity theft. The charges stem from the defendants’ operation of 247TVStream, an online subscription-based service that permitted users to stream copyrighted content, such as live sports programming and television shows, without the permission of the relevant copyright owners. Chowdhury was arrested this morning and is scheduled to be arraigned this afternoon in the U.S. District Court for the Western District of New York. Rahman remains at large.
Breon Peace, United States Attorney for the Eastern District of New York, Nicole M. Argentieri, Principal Deputy Assistant Attorney General and head of the Criminal Division and William S. Walker, Special Agent in Charge, Homeland Security Investigations (HSI), New York, announced the arrest and indictment.
“As alleged, the defendants operated a bootleg online streaming service that distributed copyrighted television programs that they stole for their personal enrichment,” stated United States Attorney Peace. “My Office and the Department of Justice are committed to protecting the rights of intellectual property holders from digital pirates like these defendants.”
Mr. Peace expressed his thanks to the Justice Department’s Office of International Affairs, the Surrey and City of London Police, United Kingdom, Royal Canadian Mounted Police and Fiscale Inlichtingen- en Opsporingsdienst, Netherlands, and the United States Postal Inspection Service for their assistance.
“According to the indictment, Chowdhury and Rahman ran an illicit digital streaming site that infringed upon more than a hundred million dollars of intellectual property owned by legitimate copyright owners,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Thanks to the work of our prosecutors, along with our domestic and international law enforcement partners, the illicit digital streaming site no longer exists, and Chowdhury is in custody. These actions demonstrate the Criminal Division’s commitment to protecting intellectual property rights by vigorously enforcing the laws against illicit digital transmission services.”
“Noor Nabi Chowdhury and Mohammad Rahman are accused of committing copyright infringement to the tune of over $100 million. As alleged and in furtherance of their criminal scheme, the defendants stole an unsuspecting victim’s identity to exploit major American businesses, in pursuit of illicit wealth,” stated HSI New York Special Agent in Charge Walker. “HSI New York proudly stands alongside our law enforcement and private sector partners, both domestic and abroad, to thwart criminal organizations who seek to financially capitalize on their wrongdoing.”
As alleged, between approximately May 2017 and November 2024, the defendants operated 247TVStream, a service that provided online video and sports streaming services. For a subscription fee of as little as $10 per month, 247TVStream enabled its subscribers to view live television and sports programming on their internet-connected devices. However, unlike legitimate streaming services, 247TVStream had not licensed the right to access those programs from the platforms on which they were legitimately offered.
The estimated economic harm caused by 247TVStream to television program copyright owners, as well as licensed streaming services, is more than $100 million.
In connection with this case, a seizure order was executed against website domain names used by Chowdhury and Rahman to operate 247TVStream. The seizure of these domains by the government will prevent the use of these sites to operate 247TVStream.
Individuals, including subscribers, visiting those sites will now see messages indicating that the sites have been seized by the federal government. In addition, in coordination with international law enforcement partners to enforce criminal copyright laws, Dutch and U.K. partners have seized the servers hosting a portion of the 247TVStream infrastructure.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.
If convicted, Chowdhury and Rahman each face a maximum penalty of five years in prison on the conspiracy to provide the digital transmission service; three years in prison on providing the digital transmission service; 20 years in prison for the conspiracy to commit wire fraud; and a mandatory term of two years in prison for aggravated identity theft, to run consecutive to the other sentences.
The HSI New York Field Office is investigating the case, with assistance from the HSI Buffalo Field Office and their Attaché Offices in Ottawa, The Hague and London.
Assistant United States Attorney Rebecca Schuman is prosecuting the case with Trial Attorneys Vasantha Rao and Jeff Pearlman of the Criminal Division’s Computer Crime and Intellectual Property Section.
The Defendants:
NOOR NABI CHOWDHURY
Age: 56
Cheektowaga, New YorkMOHAMMAD MAHMUDUR RAHMAN
Age: 36
Dhaka, BangladeshE.D.N.Y. Docket No.: 24-CR-466 (MKB)
24-cr-466_-_indictment.pdfU.S. Attorneys for the Western District of Texas and Eastern District of Texas Announce Former Cartel Del Noreste Leader Pleads Guilty to 15 Counts and Faces up to Life in Federal PrisonRead the Press Release
SAN ANTONIO – Juan Gerardo Trevino-Chavez aka Huevo pleaded guilty in a federal court in San Antonio today to 15 counts related to his involvement in drug trafficking throughout Mexico and the United States.
Trevino-Chavez, 42, was identified as the leader of the Cartel del Noreste drug cartel (CDN), the successor cartel to Los Zetas Cartel. Trevino-Chavez was identified as the head of CDN from September 2016 until his arrest in March 2022. He pleaded guilty Tuesday to all 11 counts in an indictment filed in the Western District of Texas, including one count of conspiracy to possess with intent to distribute marijuana; one count of conspiracy to import marijuana; one count of unlawful distribution of controlled substances; one count of conspiracy to employ a person under 18 in drug operations; one count of conspiracy to possess with intent to distribute cocaine; one count of conspiracy to import cocaine; one count of conspiracy to possess with intent to distribute methamphetamine; one count of conspiracy to import methamphetamine; one count of conspiracy to possess firearms in furtherance of drug trafficking; one count of possession of a machine gun in furtherance of a drug trafficking crime; and one count of money laundering.
Trevino-Chavez additionally pleaded guilty to the four counts charged in an indictment filed in the Eastern District of Texas. In that district, he was charged with one count of conspiracy to possess with intent to distribute cocaine, one count of continuing criminal enterprise, one count of smuggling goods from the United States, and one count of conspiracy to commit money laundering.
Trevino-Chavez is scheduled to be sentenced in May 2025 and faces up to life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This prosecution included significant contributions from Homeland Security Investigations, the Drug Enforcement Administration, the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, and the Justice Department’s Office of International Affairs.
This case resulted from the work of multiple Organized Crime Drug Enforcement Task Forces (OCDETF) investigations. 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.
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U.S. Attorney Announces Significant Cases from New Interagency Environmental Task Force to Protect Public Health and SafetyRead the Press Release
Spokane, Washington - Vanessa R. Waldref, the U.S. Attorney for the Eastern District of Washington, announced the creation of a new, interagency Environmental Task Force to protect public health and safety, to ensure that everyone enjoys equal protection from environmental and health hazards, and to combat criminal conspiracies that attempt to profit from pollution.
“Strong and fair enforcement of environmental and public health laws supports a thriving community for all families,” stated U.S. Attorney Waldref. “Environmental and financial crimes are often linked, when individuals and businesses seek to profit by evading laws designed to protect our air, water, and land,” stated U.S. Attorney Waldref. “Our Environmental Task Force brings key stakeholders together to focus on enforcement that matters the most to our community.”
On March 28, 2024, U.S. Attorney Waldref and her team, working with law enforcement agencies as well as federal, state, and local partners launched the Environmental Task Force. The Task Force leverages partnerships between local, state, and federal agencies to effectively investigate and prosecute environmental crimes and cases that impact our public health and safety. The Task Force consists of agency representatives from the Washington State Attorney General’s Office’s Environmental Protection Unit, Federal Bureau of Investigation (FBI), Environmental Protection Agency (EPA) Criminal Investigation Division, EPA Office of the Inspector General (OIG), EPA Region 10, Spokane Regional Clean Air Agency, National Oceanic and Atmospheric Administration (NOAA), Department of Commerce OIG, Housing and Urban Development (HUD) OIG, Department of Energy (DOE) OIG, Washington State Department of Ecology, U.S. Department of the Interior OIG, U.S. Forest Service, United States Park Police, Federal Trade Commission (FTC), Homeland Security Investigations (HSI), Columbia River Inter-Tribal Fish Commission, Bureau of Indian Affairs (BIA), IRS-Criminal Investigations, Spokane Clean Air Agency, the Benton Clean Air Agency, and others.
“I am grateful for the large number of federal, state, and local partners that have joined with the U.S. Attorney’s Office in the critical mission of securing public health and environmental protection for all communities,” continued U.S. Attorney Waldref. “Working together, we can protect our natural resources to ensure a healthy, high quality of life and make our region safe and strong.”
Significant environmental protection cases filed or pending in the Eastern District of Washington include:
- In November 2024, four business owners and five companies were federally indicted for smuggling and illegally importing tens of millions of dollars in emission defeat devices from Canada into Eastern Washington. As alleged in the indictment, these illegal devices were sold and distributed to customers throughout the United States, resulting in defendants receiving more than 74 million dollars in revenue through their online sales.
- In October 2024, a Florida business owner, who created and sold illegal software designed to defeat and disable emission controls on diesel trucks, pleaded guilty to conspiracy to violate the Clean Air Act.
- In October 2024, the Department of Justice filed a complaint against a utility company to recover response costs and damages for destroying cultural resources, including archaeological features and Tribal artifacts, when replacing a power pole in the Lake Roosevelt National Recreation Area. United States v. Avista Corporation, 2:24-cv-00358.
- In June 2024, the Department of Justice and EPA filed a lawsuit under the Safe Drinking Water Act against several Lower Yakima Valley dairies for manure practices that endanger neighboring residents who rely on private wells for drinking water. The complaint and July 2024 motion for preliminary injunction alleges the dairies failed to adequately control nitrate contamination from their operations. High levels of nitrate in drinking water can be harmful, especially for infants, pregnant women, and people with certain health conditions. The injunctive relief was sought to immediately protect downgradient community members with nitrate contaminated well water by requiring the dairies to test the wells and provide alternative drinking water.
- In May 2024, two men and their companies were indicted for a scheme to tamper with pollution control systems in violation of the Clean Air Act.
- In January 2024, the United States filed a complaint in federal district court alleging a government contractor, responsible for fire protection at the Hanford site, was involved in fraudulent overcharging and failed to complete critical fire protection work necessary to protect the public, workers at the site, and the environment from fire hazards.
- In June 2023, a business-owner was sentenced for criminal violations of the Clean Air Act in connection with improper handling and disposal of asbestos-containing material, and for lying to federal and state regulators, resulting in potential exposure to workers and the public.
- In September 2022, a Grand Jury indicted a Yakima-area juice manufacturing company and its owner for violating FDA regulations that resulted in improper levels of arsenic, patulin, and other environmental and health hazards into fruit juice sold to school lunch programs.
As part of the U.S. Attorney’s Office commitment to effective and responsive environmental enforcement, U.S. Attorney Waldref frequently speaks to community leaders and members about pressing public health and safety concerns in Eastern Washington.
In February of 2024, the Office held an Environmental Justice listening session in Spokane with community leaders engaged in conservation, public health and environmental remediation work. Representatives from the Environmental Protection Network and Gonzaga University’s Institute for Climate, Water, and the Environment shared information about accessing funding to support environmental protection. Members of the community highlighted concerns and priority areas to ensure compliance and enforcement to protect the environment and the health and safety of our residents.
In April of 2024, the U.S. Attorney’s Office, in partnership with the Washington State Attorney General’s Office; Gonzaga University’s Institute for Climate, Water, and the Environment; and the Gonzaga Law School; celebrated the anniversary of Expo ’74 by co-hosting a conference that included panels focusing on protecting the Spokane River and environmental enforcement. Tribal leaders, community advocates, and state and federal enforcement authorities, discussed how to work together more effectively to prioritize public health and safety.
“I am proud to raise my family in a place where we enjoy the great outdoors and appreciate the beauty of our mountains, trees, lakes, and rivers. Indigenous people first lived on these lands, cultivating these resources for future generations,” stated U.S. Attorney Waldref. “We work closely with Tribal leaders and law enforcement to protect Tribal Homelands from harm and criminal conduct.”
In June of 2024, U.S Attorney Waldref took part in the Lands Council Legislative Summit. In her remarks, U.S. Attorney Waldref spoke about the successes in environmental protection in the 50 years since Expo ’74, as well as the ongoing environmental challenges facing the region and the Environmental Task Force’s coordinated efforts to keep our community healthy and safe.
In August of 2024, the Environmental Task Force held a meeting in Spokane to discuss ongoing environmental protection efforts and developed plans to increase and improve collaboration to support cleaner and healthier air quality.
Since 2022, U.S. Attorney Waldref has chaired the Environmental Justice & Environmental Issues Subcommittee for the Attorney General’s Advisory Committee, where she provides critical insight to Department of Justice leadership on the prosecution and litigation of environmental and public health matters throughout the United States. In this role, she has been a leader in training Department of Justice attorneys to identify the nexus between financial and environmental crimes and violations and hold companies accountable who seek to profit from pollution and evade laws designed to protect vulnerable members of the community. U.S. Attorney Waldref and her team are committed to protecting and improving the public’s well-being, health, and safety, now and into the future.
Community members who have environmental concerns can share with them with the U.S. Attorney’s Office by emailing [email protected]. To submit a concern by telephone, please call (509) 835-6306.
Two men admit to transporting undocumented individuals in stolen pickup trucksRead the Press Release
LAREDO, Texas – A Texan and a Mexican national have pleaded guilty to conspiracy to transport undocumented aliens, announced U.S. Attorney Alamdar S. Hamdani.
Juan Daniel Saldaña, 30, San Antonio, and Noe Alonso Moreno-Alvarez, 23, Nuevo Laredo, Mexico, pleaded guilty for their roles in the conspiracy.
On Sept. 13, law enforcement patrolling near Bruni observed two pickup trucks driving in tandem in high speed on FM Road 205. Saldana and Moreno-Alvarez were the respective drivers and were transporting several undocumented individuals in the stolen vehicles.
Attempting to evade authorities, both men crashed through a ranch fence. Saldana stopped after he collided into a tree and fled with his girlfriend. Moreno-Alvarez kept driving until he stopped some distance from the other truck.
The next day, law enforcement found and arrested both men as well as the illegally present individuals. Saldaña and Moreno-Alvarez admitted to driving through private ranches in attempts to circumvent a Border Patrol (BP) checkpoint. Saldaña used bolt and wire cutters to gain access to the ranches and expected to receive payment from smugglers in Mexico.
Saldaña admitted he worked for the alien smuggling organization for some time.
Moreno-Alvarez said he entered the United States illegally a few months ago and agreed to transport undocumented migrants to work off his smuggling fee. He drove the lead vehicle, but after abandoning the truck, he joined the group of migrants in an attempt avoid arrest. However, Saldaña and the others identified him as a driver.
U.S. District Judge Diana Saldaña accepted the plea and will set sentencing at a later date. At that time, the men face up to 10 years in federal prison and a possible $250,000 maximum fine.
Saldana and Moreno-Alvarez have been and will remain in custody pending sentencing.
Border Patrol conducted the investigation with the assistance of the Webb County Sheriff’s Department. Assistant U.S. Attorney Jose Homero Ramirez prosecuted the case.
Two Former West Virginia Corrections Officers Plead Guilty to Federal Civil Rights Charge Following Death of an InmateRead the Press Release
CHARLESTON, W.Va. - Two former corrections officers from the Southern Regional Jail in Beaver, West Virginia, pleaded guilty for their roles in an assault that resulted in the death of an inmate, identified by the initials Q.B., on March 1, 2022. Johnathan Walters pleaded guilty yesterday to conspiring with other officers to violate inmate Q.B.’s civil rights which resulted in the death of Q.B. Corey Snyder pleaded guilty today to the same offense.
According to court documents filed in connection with the guilty pleas, Snyder responded to a call for officer assistance after Q.B. tried to push past another correctional officer and leave his assigned pod. When Snyder arrived, officers were using force to restrain and handcuff Q.B. Snyder also began using force, including putting his arm around Q.B.’s neck and taking him to the floor. Snyder and other officers then conspired to violate Q.B.’s civil rights by unlawfully punishing Q.B. to retaliate against him for his attempt to leave the pod. As a part of that conspiracy, officers brought Q.B. to an interview room, where Walters joined them. In the interview room, the officers used unreasonable force against Q.B. Specifically, officers struck Q.B. in the head multiple times, kicked, knee-struck, pulled and twisted Q.B.’s finger and sprayed Q.B. with O.C. spray, all while Q.B. was restrained, handcuffed and posed no threat to anyone.
After the unreasonable use of force in the interview room, officers transported Q.B. to A-Pod. During the transport to A-Pod, Q.B. became limp and was unable to walk on his own. Officers then carried Q.B. by his arms and legs down the hallway to A-Pod. Walters carried Q.B. by one of his arms, leading his co-conspirators and Q.B. to the pod. At the door to A-Pod, Walters admitted to using unjustified force by swinging Q.B.’s head into the metal door and using the force from Q.B.’s head to push open the door.
Snyder and Walters each further admitted knowing that the interview room to which officers brought Q.B. was a “blind spot” at the jail — meaning, there were no surveillance cameras to record what happened inside the room. Each also admitted to being aware that, prior to the assault of Q.B. on March 1, 2022, officers brought inmates and pretrial detainees who had engaged in misconduct to “blind spots” in the jail, where officers would use unreasonable force without being captured on video.
According to their plea agreements, Snyder and Walters each face a maximum penalty of 30 years in prison and a fine of up to $250,000.
Snyder and Walters are two of six former correctional officers indicted by a federal grand jury in November 2023 in connection with the death of Q.B. Three of those six defendants previously pleaded guilty in connection with the use of unreasonable force against Q.B. On Aug. 8, 2023, Ashley Toney and Jacob Boothe each pleaded guilty to violating Q.B.’s civil rights by failing to intervene when other officers used unreasonable force. On Nov. 13, Mark Holdren pleaded guilty to conspiring with other officers to violate inmate Q.B.’s civil rights which resulted in the death of Q.B. Sentencing hearings for Boothe, Toney and Holdren are scheduled for Feb. 5, 2025.
Trial for the remaining defendant is scheduled for Dec. 10. The remaining defendant faces charges related to the cover-up of the unreasonable uses of force which caused bodily injury to and the death of Q.B.
Prior to the indictment, on Nov. 2, 2023, former Southern Regional Jail correctional officers Steven Nicholas Wimmer and Andrew Fleshman each separately pleaded guilty to conspiring with other officers to use unreasonable force against Q.B in connection with this incident. Sentencing hearings for Wimmer and Fleshman are scheduled for Feb. 7, 2025.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney William S. Thompson for the Southern District of West Virginia and Special Agent in Charge Kevin P. Rojek of the FBI Pittsburgh Field Office made the announcement.
The FBI Pittsburgh Field Office, Charleston Resident Agency, is investigating the case.
Deputy Chief Christine M. Siscaretti and Trial Attorney Tenette Smith of the Justice Department’s Civil Rights Division and U.S. Attorney William S. Thompson for the Southern District of West Virginia are prosecuting the case.
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Two Former West Virginia Corrections Officers Plead Guilty to Federal Civil Rights Charge Following Death of an InmateRead the Press Release
Two former corrections officers from the Southern Regional Jail in Beaver, West Virginia, pleaded guilty for their roles in an assault that resulted in the death of an inmate, identified by the initials Q.B., on March 1, 2022. Johnathan Walters pleaded guilty yesterday to conspiring with other officers to violate inmate Q.B.’s civil rights which resulted in the death of Q.B. Corey Snyder pleaded guilty today to the same offense.
According to court documents filed in connection with the guilty pleas, Snyder responded to a call for officer assistance after Q.B. tried to push past another correctional officer and leave his assigned pod. When Snyder arrived, officers were using force to restrain and handcuff Q.B. Snyder also began using force, including putting his arm around Q.B.’s neck and taking him to the floor. Snyder and other officers then conspired to violate Q.B.’s civil rights by unlawfully punishing Q.B. to retaliate against him for his attempt to leave the pod. As a part of that conspiracy, officers brought Q.B. to an interview room, where Walters joined them. In the interview room, the officers used unreasonable force against Q.B. Specifically, officers struck Q.B. in the head multiple times, kicked, knee-struck, pulled and twisted Q.B.’s finger and sprayed Q.B. with O.C. spray, all while Q.B. was restrained, handcuffed and posed no threat to anyone.
After the unreasonable use of force in the interview room, officers transported Q.B. to A-Pod. During the transport to A-Pod, Q.B. became limp and was unable to walk on his own. Officers then carried Q.B. by his arms and legs down the hallway to A-Pod. Walters carried Q.B. by one of his arms, leading his co-conspirators and Q.B. to the pod. At the door to A-Pod, Walters admitted to using unjustified force by swinging Q.B.’s head into the metal door and using the force from Q.B.’s head to push open the door.
Snyder and Walters each further admitted knowing that the interview room to which officers brought Q.B. was a “blind spot” at the jail — meaning, there were no surveillance cameras to record what happened inside the room. Each also admitted to being aware that, prior to the assault of Q.B. on March 1, 2022, officers brought inmates and pretrial detainees who had engaged in misconduct to “blind spots” in the jail, where officers would use unreasonable force without being captured on video.
According to their plea agreements, Snyder and Walters each face a maximum penalty of 30 years in prison and a fine of up to $250,000.
Snyder and Walters are two of six former correctional officers indicted by a federal grand jury in November 2023 in connection with the death of Q.B. Three of those six defendants previously pleaded guilty in connection with the use of unreasonable force against Q.B. On Aug. 8, 2023, Ashley Toney and Jacob Boothe each pleaded guilty to violating Q.B.’s civil rights by failing to intervene when other officers used unreasonable force. On Nov. 13, Mark Holdren pleaded guilty to conspiring with other officers to violate inmate Q.B.’s civil rights which resulted in the death of Q.B. Sentencing hearings for Boothe, Toney and Holdren are scheduled for Feb. 5, 2025.
Trial for the remaining defendant is scheduled for Dec. 10. The remaining defendant faces charges related to the cover-up of the unreasonable uses of force which caused bodily injury to and the death of Q.B.
Prior to the indictment, on Nov. 2, 2023, former Southern Regional Jail correctional officers Steven Nicholas Wimmer and Andrew Fleshman each separately pleaded guilty to conspiring with other officers to use unreasonable force against Q.B in connection with this incident. Sentencing hearings for Wimmer and Fleshman are scheduled for Feb. 7, 2025.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney William S. Thompson for the Southern District of West Virginia and Special Agent in Charge Kevin P. Rojek of the FBI Pittsburgh Field Office made the announcement.
The FBI Pittsburgh Field Office, Charleston Resident Agency, is investigating the case.
Deputy Chief Christine M. Siscaretti and Trial Attorney Tenette Smith of the Justice Department’s Civil Rights Division and U.S. Attorney William S. Thompson for the Southern District of West Virginia are prosecuting the case.
Tuskahoma Resident Sentenced for Federal Firearm CrimeRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Russell Richard Fincher, age 53, of Tuskahoma, Oklahoma, was sentenced to three years’ probation for selling ammunition to a prohibited person.
The charges arose from an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
On May 17, 2024, Fincher pleaded guilty to one count of Selling Ammunition to Prohibited Persons. According to investigators, on May 5, 2023, Fincher knowingly sold 60 rounds of .40 caliber ammunition to an individual he had reason to believe was a felon. Fincher also unlawfully engaged in the business of dealing in firearms without a license between February 2021 and June 2023.
The Honorable Ronald A. White, Chief U.S. Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing.
Assistant U.S. Attorney Joshua Satter represented the United States.
Tucson Man Sentenced to 77 Months for Importing MethamphetamineRead the Press Release
TUCSON, Ariz. – Slone Kelly, 29, of Tucson, was sentenced on November 7, 2024, by United States District Judge Scott H. Rash to 77 months in prison, followed by 36 months of supervised release. Kelly pleaded guilty to Importation of Methamphetamine on May 1, 2024.
On August 14, 2023, Kelly presented himself for inspection at the Port of Entry in Lukeville, Arizona, driving a 2008 Mercedes-Benz. Kelly told Customs and Border Protection officers that he was returning to Phoenix after attending a wedding in Rocky Point, Sonora, Mexico. During the inspection, x-ray detection observed anomalies inside the vehicle. Officers searched the vehicle and discovered a total of 50 packages of methamphetamine, weighing over 24 kilograms, and 29 packages of fentanyl, weighing over 11 kilograms, concealed inside.
Homeland Security Investigations - Sells Office, conducted the investigation in this case. Assistant U.S. Attorney Evan N. Wesley, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR 23-01410-TUC-SHR
RELEASE NUMBER: 2024-157_Kelly# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.Three Sacramento Men Plead Guilty to Fentanyl Pill TraffickingRead the Press Release
SACRAMENTO, Calif. —Jose Guadalupe Lopez-Zamora, 30; Joaquin Alberto Sotelo Valdez, 27; and Jose Luis Aguilar Saucedo, 28, all of Sacramento, pleaded guilty today to fentanyl trafficking and related crimes, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Lopez-Zamora was the leader of a Sacramento-based drug trafficking organization. From at least May 2019 until January 2021, the organization was responsible for importing tens of thousands of fentanyl-laced counterfeit oxycodone “M-30” pills from Mexico and distributing them in northern California and elsewhere. The group also distributed cocaine and methamphetamine. Sotelo Valdez was fentanyl pill distributor for the organization. Aguilar Saucedo sold hundreds of fentanyl pills on each of three separate occasions in March, April, and July 2020.
Lopez-Zamora and Sotelo Valdez each pleaded guilty to conspiracy to distribute and possess with intent to distribute fentanyl, cocaine, and methamphetamine. Lopez-Zamora also pleaded guilty to three counts of distribution of fentanyl, one count of possession with intent to distribute methamphetamine, two counts of possession with intent to distribute fentanyl, and one count of conspiracy to launder money. Sotelo Valdez also pleaded guilty to one count of possession with intent to distribute fentanyl. Aguilar Saucedo pleaded guilty to three counts of distribution of fentanyl.
Eight other co-defendants have pleaded guilty, and seven have been sentenced to terms of imprisonment ranging from 27 months to over 10 years. Co-defendant Alejandro Tello is scheduled to be sentenced on April 22, 2025.
Charges are pending against the following defendants: Rosario Zamora Rojo, Luis Lopez Zamora, Leonardo Flores Beltran, Erika Gabriela Zamora Rojo, and Sandro Escobedo. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is the product of an investigation by the Drug Enforcement Administration, with assistance from Homeland Security Investigations, the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, the U.S. Postal Inspection Service, the Yuba-Sutter Narcotic and Gang Enforcement Task Force (NET 5), the California Highway Patrol, the Butte Interagency Narcotics Task Force (BINTF), the Tri-County Drug Enforcement Team (TRIDENT), the Sacramento County Sheriff’s Department, the Sacramento Police Department, the Roseville Police Department, the Manteca Police Department, the Yuba City Police Department, and the West Sacramento Police Department. The Justice Department’s Office of International Affairs worked with Mexican authorities to secure the arrest and extradition of Luis Lopez Zamora to the United States from Mexico. Assistant U.S. Attorney David W. Spencer is prosecuting the case.
Lopez-Zamora, Sotelo Valdez, and Aguilar Saucedo are scheduled to be sentenced by U.S. District Judge Dale A. Drozd on March 10, 2025. Lopez-Zamora and Sotelo Valdez face a mandatory minimum of 10 years and a maximum statutory penalty of life in prison. Aguilar Saucedo faces a mandatory minimum of five years and a maximum statutory penalty of 40 years in prison. The actual sentences, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about OCDETF, please visit Justice.gov/OCDETF.
Three Men Convicted on Drug ChargesRead the Press Release
ANNISTON, Ala. – A federal jury has convicted a Tuscaloosa man on drug charges, announced U.S. Attorney Prim F. Escalona and Drug Enforcement Administration Special Agent in Charge Steven L. Hofer.
The jury returned a guilty verdict against Hanston Alexander Clark, 33, of Tuscaloosa, after two days of testimony before U.S. District Court Judge Corey L. Maze. Clark was convicted of conspiracy to possess with intent to distribute methamphetamine and fentanyl, distribution of methamphetamine and fentanyl, and use of a communication facility in furtherance of a drug trafficking crime.
According to evidence presented at trial, in June 2023, Clark used a telephone to exchange calls and text messages with his co-defendant to arrange a drug transaction. On June 29, 2023, Clark drove to Anniston, Alabama, and delivered three pounds of methamphetamine and one hundred grams of fentanyl to his co-defendant.
Two other defendants, Terrance Antwon Stevens, 41, and Yannick Keyon Wolf, 35, both of Anniston, Alabama, previously pleaded guilty to conspiracy to possess with the intent to distribute methamphetamine and fentanyl. Stevens also pleaded guilty to possession with intent to distribute methamphetamine and fentanyl and use of a communication facility in furtherance of a drug trafficking crime.
This investigation is part of the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF is an independent component of the U.S. Department of Justice. Established in 1982, OCDETF is the centerpiece of the Attorney General’s strategy to combat transnational organized crime and to reduce the availability of illicit narcotics in the nation by using a prosecutor-led, multi-agency approach to enforcement. OCDETF leverages the resources and expertise of its partners in concentrated, coordinated, long-term enterprise investigations of transnational organized crime, money laundering, and major drug trafficking networks.
The DEA and ATF investigated the case along with the Oxford Police Department and 7th Judicial Major Crimes Unit. Assistant U.S. Attorneys Brittany Byrd and Alan Kirk are prosecuting the case.
Thirteen Individuals Indicted in Cross-State Drug Trafficking Conspiracy that Used Social Media Apps to Facilitate Drug Distribution and Guns for DrugsRead the Press Release
CONCORD – An indictment has been unsealed charging thirteen defendants in connection with a cross-border drug trafficking conspiracy that used social media messaging apps to distribute fentanyl, methamphetamine, and cocaine, and traded firearms for drugs, U.S Attorney Jane Young announces.
According to court documents, over the course of two days last week, law enforcement officers arrested six of these defendants in New Hampshire and Maine on charges of conspiracy to distribute and possess with intent to distribute controlled substances, namely fentanyl, methamphetamine, and cocaine. Four of the defendants are in state custody in Maine and New Hampshire on unrelated charges. Three defendants have yet to be arrested.
In October 2023, law enforcement received information about a drug distributor based in Lowell and Lawrence, Massachusetts, who conducted high-volume narcotics deals via cell phone text messages and a social media messaging app. During the investigation, law enforcement identified several phone numbers and two social media accounts controlled by members of the drug trafficking organization (DTO). Both social media account profiles said they lived in New Hampshire and Maine, implicitly targeting clientele and secondary sources of narcotics supply in those areas.
From November 9, 2023 to March 7, 2024, law enforcement officers conducted eight purchases of fentanyl, mostly arranged by one of the DTO’s social media accounts. These purchases ranged from 97 to 496 grams of fentanyl. A DTO runner would typically conduct a hand-to-hand drug transaction within Lowell and Lawrence, Massachusetts. All parties involved understood the purchaser was based in New Hampshire and that the narcotics were intended for redistribution in New Hampshire. During the investigation, law enforcement also searched premises used by the DTO to store and package various amounts of narcotics. Law enforcement seized more than two and a half kilograms of fentanyl, 250 grams of methamphetamine, and 28 grams of cocaine during these searches.
During the investigation, agents also executed a search warrant on the social media platform servers for the historical records associated with the DTO account that was used to arrange the undercover purchases, and similarly executed a search warrant for the contents of a cell phone that was seized during the enforcement actions. An analysis of these communications indicates that members of the DTO used two different social media accounts and corresponding messaging apps, as well as traditional text messaging, to arrange drug transactions in the Lowell neighborhood where the undercover purchases occurred. These transactions occurred over the course of one year, from April 2023 to April 2024, and involved an estimated total of at least 20 kilograms of fentanyl, one kilogram of methamphetamine, and 200 grams of cocaine, the vast majority of which were sold to dealers based in New Hampshire and Maine for redistribution in their respective drug markets. In addition, six charged conspirators sought to trade firearms, including shotguns, rifles, and handguns for narcotics.
The following defendants have been indicted in connection with this drug trafficking operation:
- Pedro Miguel Ravelo Guzman, 31, of Lowell, Massachusetts. Guzman has not yet been arrested.
- Jacob D. King, 41, of Milton, New Hampshire. King is in federal custody.
- Riley J. Paletta, 26, of Hudson, New Hampshire. Paletta was released on pretrial supervision.
- Amanda E. Camera a/k/a Amanda E. Douglass, 39, of Fairfield, Maine. Camera is in Maine state custody on unrelated charges.
- Benjamin M. Fields, 41, of Laconia, New Hampshire. Fields is in New Hampshire state custody on unrelated charges.
- John N. Titus, 35, of Farmington, New Hampshire. Titus is in federal custody.
- Christian F. Gerlach, 52, of Manchester, New Hampshire. Gerlach is in New Hampshire state custody on unrelated charges.
- Moses J. Losuk, 28, of Portland, Maine. Losuk is in Maine state custody on unrelated charges.
- Timothy E. Boston a/k/a Timothy Earl Boston II, 38, of Nashua, New Hampshire. Boston is in federal custody.
- Robert A. Arrington, 38, of Bangor, Maine. Arrington has not yet been arrested.
- Robert W. Whiteside Jr., 46, of Exeter, New Hampshire. Whiteside is in federal custody.
- William L. Wheelock, 34, of Windham, Maine. Wheelock has not yet been arrested.
- Alexander L. Wilson, 38, of Belfast, Maine. Wilson is in federal custody.
The charge of conspiracy to distribute and possess with intent to distribute a controlled substance provides for a sentence of up to 20 years in prison. Jacob D. King, Amanda E. Camera a/k/a Amanda E. Douglass, and Benjamin M. Fields are facing mandatory minimum penalties of 5 years in imprisonment, based on their involvement in the conspiracy. 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 Drug Enforcement Administration led the investigation. The Hudson Police Department, the Bedford Police Department, the Nashua Police Department, the Manchester Police Department, the New Hampshire State Police, and the Strafford County Sheriff’s Department provided valuable assistance. Assistant U.S. Attorney Cesar Vega is prosecuting the case.
This prosecution is 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 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.
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Teen Pleads Guilty in Two November 2023 CarjackingsRead the Press Release
WASHINGTON – Devonta Lynch, 18, of Washington, D.C., pleaded guilty yesterday in Superior Court to armed carjacking in relation to a November 29, 2023 offense, robbery in relation to a November 12, 2023 offense, and carrying a pistol without a license on November 12, 2023, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD).
Superior Court Judge Jennifer Di Toro scheduled sentencing for December 5, 2025.
According to the Government’s evidence, Lynch and an accomplice carjacked an off-duty federal agent at gunpoint on November 29, 2023, in the Capitol Hill neighborhood of Northeast, D.C. The perpetrators knocked the victim to the ground next to their vehicle, pointed a firearm at them, demanded their keys, and then drove off in their vehicle.
Additionally, about two weeks earlier, the defendant and two accomplices robbed a rideshare driver at gunpoint in the Benning Ridge neighborhood of Southeast, D.C. The perpetrators struck the victim in the head, pointed two firearms at him, demanded his phone, wallet, and keys, took the victims’ wallet out of his pocket, and then drove off in the victim’s vehicle.
This case was investigated by the MPD Carjacking Task Force and the FBI Washington Field Office's Violent Crimes Task Force. It was prosecuted by Assistant U.S. Attorneys Daniel Bromwich and Anthony Cocuzza.
Tampa Man Indicted for Possessing Firearm and Ammunition as A Convicted FelonRead the Press Release
Tampa, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Shannon Pernell Brown (39, Tampa) with possessing a firearm or ammunition as a convicted felon. If convicted, Brown faces a minimum penalty of 15 years, up to life, in federal prison under the Armed Career Criminal Act. The indictment also notifies Brown that the United States intends to forfeit a Glock firearm and ammunition used in the commission of the offense.
According to the indictment, on August 31, 2024, Brown was in possession of a Glock firearm and ammunition. Prior to possessing the firearm and ammunition, Brown had previously been convicted of multiple felonies, including conspiracy to traffic in cocaine, trafficking in cocaine, and possession of cocaine with intent to sell or deliver.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is part of the 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 for occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Federal Bureau of Investigation and the Tampa Police Department. It will be prosecuted by Assistant United States Attorney Jeff Chang.
Syrian National Charged with Diverting $9 Million in U.S.-funded Humanitarian Assistance to a Terrorist Organization Affiliated with Al-QaidaRead the Press Release
WASHINGTON – Mahmoud Al Hafyan, 53, a Syrian national, has been charged in a 12-count indictment, unsealed today in U.S. District Court, alleging major fraud against the United States for illegally diverting more than $9 million in U.S.-funded humanitarian aid intended for Syrian civilians to armed combatant groups, including the Al-Nusrah Front (ANF), which is a designated foreign terrorist organization affiliated with al-Qaida in Iraq.
The indictment was announced by U.S. Attorney Matthew M. Graves, Special Agent in Charge Jason Donnelly of the U.S. Agency for International Development Office of Inspector General (USAID-OIG), and FBI Special Agent in Charge Sanjay Virmani of the Washington Field Office Counterterrorism Division.
“This defendant not only defrauded the U.S. government, but he also gave the humanitarian aid he stole to a foreign terrorist organization,” said U.S. Attorney Graves. “While this foreign terrorist organization fought with the cruel al-Assad regime, the people who were supposed to receive the aid suffered. This office has a history of pursuing criminals around the globe, no matter how many years it takes, and will do all it can to ensure that Mahmoud Al Hafyan is held accountable for these crimes.”
“USAID OIG works tirelessly to ensure that US-funded humanitarian assistance does not fall into the hands of terrorist organizations,” said Donnelly of USAID-OIG. “We will continue to work with the Department of Justice and law enforcement partners to hold accountable those who compromise USAID programs for vulnerable populations around the world.”
“The FBI’s number one priority is to fight terrorism, including identifying and investigating individuals who are enabling terrorist activities through financial support,” said Virmani of the FBI Washington Field Office Counterterrorism Division. “Al Hafyan diverted millions of dollars in USAID funding to support the terrorist organization Al-Nusrah Front, as well as to line his own pockets. Not only was Al Hafyan supporting violent terrorists, but he was stealing money from the U.S. government that was meant for humanitarian efforts. This public indictment is the culmination of years of work, and I want to thank our partners, specifically USAID OIG, for their work with this investigation.”
According to the indictment, Al Hafyan, aka Abu Abdo Al-Homsi, was the head of a non-governmental organization (NGO-1) in the NGO’s regional office in Syria. Al Hafyan managed 160 NGO-1 employees.
Syria has been involved in a civil war since 2011 that resulted in a humanitarian crisis. Through USAID, the U.S. Government spent more than $12 billion until 2020 to aid Syrian civilians affected by the war. USAID-funded humanitarian assistance programs are administered by United Nations agencies and non-governmental organizations. The funding in this case was intended for food and medical supplies.
USAID awarded $122 million to NGO-1 between January 2015 through November 2018. That money was intended for food kits for conflict-affected Syrian refugees. Along with at least two co-conspirators, Al Hafyan directed food kits valued at millions of dollars to commanders leading ANF. ANF’s primary objective was the overthrow of the regime of Syrian President Bashar al Assad. ANF was notorious for the atrocities it committed and publicly took responsibility for conducting mass executions of civilians, suicide bombings, and kidnappings.
Al Hafyan sold the kits on the black market to the ANF commanders for his personal benefit. Al Hafyan and his coconspirators falsified beneficiary logs and inflated the number of food kits received by war-affected families in the Syrian villages of Bweiti, Lof, Mazratt-Shoukh, and Salamin to fraudulently make it appear that NGO-1 was dispersing the kits according to NGO-1’s guidelines.
The case represents one of the most significant diversions of USAID-funded humanitarian aid that USAID-OIG has investigated.
The case was investigated by USAID-OIG and the FBI’s Washington Field Office. It is being prosecuted by Assistant U.S. Attorneys Karen Seifert, Alexandra Hughes, and Jack Korba of the U.S. Attorney’s Office for the District of Columbia.
An indictment is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
alhafyan_20cr274_affidavit_in_support_redacted.pdfSouthern District of Mississippi Prosecutors Charge 13% More Cases During Fiscal Year 2024 Due to the Success of the Project Safe Neighborhoods ProgramRead the Press Release
Jackson, Miss. – United States Attorney Todd W. Gee announced today the results of efforts to increase federal prosecutions of violent criminals, narcotics traffickers and others during fiscal year 2024. Specifically, during fiscal year 2024, which began on October 1, 2023, and ended on September 30, 2024, prosecutors in the United States Attorney’s Office for the Southern District of Mississippi charged approximately 315 cases, an increase of approximately 13% over the prior fiscal year, and approximately 451 defendants, an increase of approximately 28% over the prior fiscal year.
This increase in prosecutions is due, in part, to the U.S. Attorney’s Office’s Project Safe Neighborhoods (PSN) program, which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN brings together federal, state, and local law enforcement agencies 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.
As part of the U.S. Attorney’s Office’s PSN program, federal prosecutors meet regularly with law enforcement agencies and other partners in Jackson, Meridian, Hattiesburg, Gulfport, and elsewhere in order to review local arrests that may be suitable for prosecution in federal court, discuss efforts to investigate and prosecute violent offenders, and take other steps to reduce violent crime.
In addition to increasing the overall number of cases and defendants charged in fiscal year 2024, the U.S. Attorney’s Office’s PSN program helped increase the number of firearms-related cases filed by approximately 21%, and tripled the number of cases filed involving illegal machinegun conversion devices (MCDs), commonly known as “switches” or “auto sears,” which convert semi-automatic handguns and other firearms into fully automatic weapons (i.e., machineguns) in a matter of seconds.
“Our office is working hard with federal, state, and local partners to reduce violent crime, narcotics trafficking and other criminal activity throughout the Southern District of Mississippi,” said U.S. Attorney Todd W. Gee. “Violent criminals and drug traffickers need to get the message: move on to other careers, or get ready to spend a large portion of your life in federal prison.”
Some of the case highlights from the PSN program and other violent crime and narcotics trafficking prosecutions in fiscal year 2024 include the following:
U.S. v. Kylin Russell
A video went viral in early 2024 in the Jackson, Mississippi area that showed a young man repeatedly firing a high caliber weapon from the window of a car towards another car at a very busy intersection in broad daylight. Weeks later, on February 9, 2024, a driver of that same car, Kylin Russell, evaded a roadblock and led officers with Capitol Police on a high-speed chase exceeding speeds of 120 miles per hour and lasting over 10 minutes. At the conclusion of the chase, he ran from police until he was caught. He discarded an AR-style firearm as he ran, and after he was detained, two handguns equipped with machine gun conversion devices (MCDs), also known as “switches,” were recovered from his vehicle. Russell pled guilty to firearms offenses and was sentenced to two years in prison.
U.S. v. Rosendo Gonzalez Mora, et. al.
In July 2024, five individuals with ties to Mexico pled guilty to felony offenses related to drug trafficking, firearms trafficking, and immigration offenses as a result of a law enforcement investigation involving sales of cocaine in Mississippi to purchase firearms and machine gun conversion devices for delivery to Mexico.
U.S. v. Johnny Ragsdale
On November 23, 2023, Johnny Ragsdale was found in possession of an illegal machinegun after an attempted traffic stop on a vehicle he was driving in Jackson. Ragsdale failed to yield to law enforcement and led Capitol Police on a high-speed chase. The chase ended after Ragsdale collided with a train car on Mill Street. A Glock pistol was recovered from the vehicle, and a machinegun conversion device (MCD), also known as a “switch,” was attached to the pistol. Ragsdale pled guilty to illegal possession of a machinegun and is awaiting sentencing.
U.S. v. Damonik Shemikal Robinson
On January 2, 2024, Damonik Shemikal Robinson was a passenger in a vehicle that was stopped by Capitol Police for a traffic offense. Four firearms were in the vehicle, including three with attached machinegun conversion devices (MCD), also known as “switches.” Robinson admitted to owning one of two Glocks with an attached MCD that was recovered from the center console. Robinson pled guilty to possession of a firearm by a convicted felon and was sentenced to five years in prison.
U.S. v. Marcus Powell et al.
In January 2024, over forty people in the Meridian area were charged in ten separate indictments with drug trafficking crimes, including distribution of methamphetamine, cocaine and other illegal drugs.
U.S. v. Jarvis Jermaine Hampton
On January 12, 2024, law enforcement officers discovered methamphetamine, a machinegun, and a pill press in the Meridian residence of Jarvis Jermaine Hampton. He pled guilty to possession with intent to distribute methamphetamine and is awaiting sentencing.
U.S. v. Ernest Quintez Clark
On October 20, 2023, Ernest Quintez Clark, a convicted felon, possessed a firearm while attending a football game at Meridian High School. Clark had been previously convicted of aggravated assault in Louisiana. He pled guilty to possession of a firearm by a convicted felon and was sentenced to 60 months in prison.
U.S. v. Frederick Leshun Jones
On November 28, 2023, Frederick Jones, a convicted felon, was found in possession of three firearms when members of the U.S. Marshals Gulf Coast Fugitive Task Force went to his Meridian home to serve an outstanding arrest warrant. Jones pled guilty to being a felon in possession of a firearm and is awaiting sentencing.
U.S. v. Koda Tye Williamson
On March 5, 2024, Koda Tye Williamson, a convicted felon, was found in possession of a firearm when law enforcement officers executed a search warrant at his residence in Simpson County. Williamson had previous convictions for manslaughter and methamphetamine possession. He pled guilty to being a felon in possession of a firearm and is awaiting sentencing.
U.S. v. Russell David Parker
On March 9, 2024, Russell David Parker, a convicted felon, was found in possession of a firearm during a traffic stop in Stone County. He pled guilty to being a felon in possession of a firearm and is awaiting sentencing.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
South L.A. Man Found Guilty of Valentine’s Day Armed Robbery of Armored Truck in Hawthorne in Which Firearm Was DischargedRead the Press Release
LOS ANGELES – A South Los Angeles man was found guilty by a jury today of the armed robbery of an armored truck in Hawthorne on St. Valentine’s Day in 2022, a heist in which more than $166,000 in cash and customer checks were stolen and a firearm was discharged after the truck’s driver was held on the ground at gunpoint.
Deneyvous Hobson, 38, of the West Adams neighborhood of Los Angeles, was found guilty of one count of conspiracy to interfere with commerce by robbery (Hobbs Act), one count of Hobbs Act robbery, one count of using a firearm in furtherance of a crime of violence, and one count of being a felon in possession of a firearm and ammunition.
“Our community will not accept violent gun crime and armed and violent felons will be held accountable,” said United States Attorney Martin Estrada. “I commend our prosecutors and our federal and local law enforcement partners for bringing this defendant to justice. With Operation Safe Cities, we will remain vigilant in protecting the public from gun violence.”
According to evidence presented at a six-day trial, Hobson and co-defendant James Russell Davis, 36, also of the West Adams neighborhood of South Los Angeles, on February 14, 2022, robbed a Sectran Security Services armored truck by ambushing the truck’s driver after the driver had finished servicing an ATM.
Three weeks prior to the robbery, Hobson and Davis cased the Wescom Credit Union in Hawthorne and observed a Sectran driver serving an ATM. During and before the robbery, Davis acted as a lookout and performed countersurveillance nearby.
On February 14, 2022, at approximately the same time in the morning as their casing three weeks earlier, Hobson, traveling in a separate car from Davis, arrived at the credit union while the victim – identified in court documents as “J.G.” – was servicing the credit union’s ATMs.
Hobson and two other co-conspirators got out of their white Honda Accord, approached the victim, ordered him to the ground at gunpoint, and took J.G.’s service weapon, a .40-caliber handgun. Hobson and two co-conspirators stole approximately $166,640 in cash and checks from the Wescom Credit Union’s ATM. As Hobson and two accomplices returned to their car, one of the co-conspirators fired the 9mm semi-automatic handgun he was carrying. They then fled the scene.
The next day, Hobson attempted to sell for $800 via text the 9mm semi-automatic handgun he carried at the robbery, stating that the weapon was “not all the way bad it was just shot doing a get down,” according to court documents.
In October 2022, Hobson illegally possessed a 9mm pistol and 12 rounds of 9mm ammunition. Hobson was not permitted to possess the firearm or ammunition because his criminal history includes felony convictions in 2003 in Los Angeles Superior Court for robbery and assault with a deadly weapon.
United States District Judge Fernando L. Aenlle-Rocha scheduled an April 18, 2025, sentencing hearing, at which time Hobson will face a statutory maximum sentence of life in federal prison. Hobson has been in federal custody since February 2023.
Davis pleaded guilty on February 16 to one count of Hobbs Act robbery and one count of discharging a firearm in furtherance of a crime of violence. On June 10, Judge Aenlle-Rocha sentenced Davis to 166 months in federal prison and ordered him to pay $166,640 in restitution to Sectran Security Services. Davis has been in federal custody since March 2023.
Operation Safe Cities establishes strategic enforcement priorities with an emphasis on prosecuting the most significant drivers of violent crime. Across this region, the most damaging and horrific crimes are committed by a relatively small number of particularly violent individuals. This strategic enforcement approach is expected to increase the number of arrests, prosecutions and convictions of recidivists engaged in the most dangerous conduct. It is designed to improve public safety across the region by targeting crimes involving illicit guns, prohibited persons possessing firearms, or robbery crews that cause havoc and extensive losses to retail establishments.
The FBI, the Los Angeles Police Department, the Los Angeles County Sheriff’s Department, the Inglewood Police Department, and the Hawthorne Police Department investigated this matter.
Assistant United States Attorneys Kevin J. Butler and Jena A. MacCabe of the Violent and Organized Crime Section and Jason C. Pang of the General Crimes Section are prosecuting this case.
Sisseton Woman Sentenced to Federal Prison for Embezzlement and Theft ViolationRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Charles B. Kornmann has sentenced a Sisseton, South Dakota, woman convicted of Embezzlement and Theft from an Indian Tribal Organization. The sentencing took place on November 14, 2024, in Aberdeen, South Dakota.
Amanda Joy Quinn, age 42, was sentenced to 18 months in federal prison, followed by three years of supervised release. She was ordered to pay $100 as a statutorily required special assessment to the Federal Crime Victims Fund.
Quinn was indicted by a federal grand jury in February 2023. She pleaded guilty on June 24, 2024.
From about June 2017 through July 2020, Ms. Quinn, who had been elected Treasurer of the Long Hollow District of the Sisseton-Wahpeton Oyate Sioux Tribe, embezzled approximately $107,295. While working in the capacity of Treasurer, Ms. Quinn processed checks from the Long Hollow District’s bank account, then authorized checks from that bank account for overpayments to herself and others. She negotiated the checks in her name and kept the cash. At her change of plea hearing, Ms. Quinn admitted to the scheme; she acknowledged that she was not entitled to that money and that her receipt of it was unlawful.
This case was brought pursuant to the Guardians Project, a federal law enforcement initiative to coordinate efforts between participating agencies, to promote citizen disclosure of public corruption, fraud, and embezzlement involving federal program funds, contracts, and grants, and to hold accountable those who are responsible for adversely affecting those living in South Dakota’s Indian country communities. The Guardians Project is another step of federal law enforcement’s on-going efforts to increase engagement, coordination, and positive action on behalf of tribal communities. Led by the U.S. Attorney’s Office, the participating agencies include: the FBI; the Offices of Inspector General for the Departments of Interior, Health and Human Services, Social Security Administration, Agriculture, Transportation, Education, Justice, and Housing and Urban Development; IRS Criminal Investigation; U.S. Postal Inspection Service; and the U.S. Postal Service, Office of Inspector General.
For additional information about the Guardians Project, please contact the U.S. Attorney’s Office at (605) 330-4400. To report a suspected crime, please contact law enforcement at the federal agency’s locally listed telephone number.
The investigation was conducted by the U.S. Attorney’s Office and the FBI. This case was prosecuted by Assistant U.S. Attorney Elizabeth A. Ebert-Webb.
Quinn will self-report to the U.S. Marshals Service to serve her sentence at a later date.
Sioux Falls Man Sentenced to 21 Months in Federal Prison for Failing to Register as a Sex OffenderRead the Press Release
SIOUX FALLS - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Karen E. Schrier has sentenced a Sioux Falls, South Dakota, man convicted of Failure to Register as a Sex Offender. The sentencing took place on November 18, 2024.
Tanner Kills Enemy, 26, was sentenced to one year and nine months in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund. The sentence was ordered to run consecutively to a state sentence Kills Enemy is currently serving at Mike Durfee State Prison for Aggravated Assault.
Kills Enemy was indicted for Failure to Register as a Sex Offender by a federal grand jury in May 2024. He pleaded guilty in October 2024.
Kills Enemy is required to register as a sex offender under the Sex Offender Registration and Notification Act as a result of a conviction in October of 2020 for Sexual Abuse in Rosebud Sioux Tribal Court. On February 1, 2024, while on federal supervised release for a prior Failure to Register conviction, Kills Enemy left his registered address in Sioux Falls, South Dakota, and failed to update the sex offender registry with his new address or location. Kills Enemy’s whereabouts were unknown to registration officials until he was arrested on March 15, 2024.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Beau J. Blouin prosecuted the case.
Kills Enemy was immediately remanded to the custody of the U.S. Marshals Service.
San Antonio Woman Sentenced to Prison for Endangering SAPD Helicopter with LaserRead the Press Release
SAN ANTONIO – A San Antonio woman was sentenced in federal court to 37 months in prison for aiming a laser pointer at an aircraft.
According to court documents, Sandra Roberson, 60, used a laser to persistently strike a San Antonio Police Department helicopter on Nov. 3, 2023, endangering the crew and people on the ground. The helicopter was forced to divert from investigating a shooting call due to Roberson's laser attack. Roberson was arrested Jan. 30, 2024 and pleaded guilty Sept. 5.
“Shooting lasers at aircraft is incredibly dangerous to the flight crew, passengers, and people on the ground,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “This type of illegal behavior risks damaging the pilots’ lives and vision and increases the chances of a crash. My office, and our partner agencies, take this crime very seriously and we will prosecute offenders to the fullest extent of the law.”
The FBI Joint Terrorism Task Force and SAPD investigated the case.
Assistant U.S. Attorney Mark Roomberg prosecuted the case.
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San Antonio Man Sentenced to 20 Years in Federal Prison for Receipt of Child PornographyRead the Press Release
United States Attorney Gregory J. Haanstad announced that on November 19, 2024, Bobby E. Matjeka (age: 43) of San Antonio, Texas, was sentenced to 240 months in federal prison by Senior United States District Judge William C. Griesbach.
According to court records, Matjeka engaged online with an Appleton woman and encouraged her to send him sexually explicit images of her then 8-year-old daughter. For approximately one year, Matjeka engaged in online exchanges centered around the rape and sexual abuse of the woman’s children. He continued to receive images of the child and made plans to install hidden cameras in her home to remotely view the abuse.
Judge Griesbach noted that this offense was “deplorable and despicable” in nature. The judge also noted the profound effects that the defendant’s actions imposed upon the victims. Ultimately, the judge determined that a sentence of 240 months in federal prison was a fair and just sentence reflective of the severity of the crime and consistent with the sentence previously received by the victims’ mother. Upon the completion of his federal prison sentence, the defendant will spend 15 years on supervised release. He will also have to register as a sex offender under state and federal 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 U.S. Department of Justice. Led by U.S. Attorneys’ 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.projectsafechildhood.gov.
This case was investigated by the Wisconsin Department of Justice, Division of Criminal Investigations, the Appleton Police Department, and with the assistance of the Department of Homeland Security’s Milwaukee and San Antonio Field Offices.
It was prosecuted by Assistant United States Attorney Daniel R. Humble.
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Rosebud Man Sentenced to Nine Years in Federal Prison for Sexually Assaulting a Woman and for Failing to Register as a Sex OffenderRead the Press Release
PIERRE - United States Attorney Alison J. Ramsdell announced today that U.S. District Court Judge Eric C. Schulte has sentenced a Rosebud, South Dakota, man convicted of two counts of Abusive Sexual Contact and one count of Failure to Register as a Sex Offender. The sentencing took place on November 18, 2024.
Eugene Hollow Horn Bear, age 65, was sentenced to nine years in federal prison, followed by five years of supervised release, and ordered to pay a $300 special assessment to the Federal Crime Victims Fund.
Hollow Horn Bear was indicted by a federal grand jury in March 2024. Following a two-day jury trial in August 2024, he was found guilty of two counts of Abusive Sexual Contact. He pleaded guilty to one count of Failure to Register as a Sex Offender on September 12, 2024.
According to the evidence presented at trial, on the evening of July 20, 2023, the victim awoke to Hollow Horn Bear touching her genital area and breasts after she had gone to sleep in an abandoned carwash in Mission, South Dakota, in the Rosebud Sioux Indian Reservation. The victim called out for help and another individual pulled Hollow Horn Bear off the victim and forced him to leave the carwash. Hollow Horn Bear had failed to update his sex offender registration when he committed this offense.
This matter was prosecuted by the U.S. Attorney’s Office because the Major Crimes Act, a federal statute, mandates that certain violent crimes alleged to have occurred in Indian country be prosecuted in Federal court as opposed to State court.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the U.S. Marshals Service. Assistant U.S. Attorney Wayne Venhuizen prosecuted the case.
Hollow Horn Bear was immediately remanded to the custody of the U.S. Marshals Service.
Riverside Man Sentenced to 15 Years in Federal Prison for Trafficking Pounds of Methamphetamine from Mexico into Inland EmpireRead the Press Release
RIVERSIDE, California – A Riverside County man who helped lead an organization that trafficked pound quantities of methamphetamine from Mexico into the Inland Empire has been sentenced to 180 months in federal prison, the Justice Department announced today.
Javier Rodriguez, 57, of Riverside, was sentenced late Monday by United States District Judge Jesus G. Bernal.
Rodriguez, a member of the Riverside-based Casa Blanca Rifa street gang, pleaded guilty on March 18 to eight felonies: one count of conspiracy to distribute and possess with intent to distribute methamphetamine; one count of conspiracy to import methamphetamine; three counts of possessing methamphetamine for distribution; one count of being a felon in possession of ammunition; and two counts of attempted international promotional money laundering. Rodriguez has been in federal custody since pleading guilty.
The investigation leading to these federal charges focused on the criminal activities of the Casa Blanca Rifa gang to combat drug trafficking and associated violence in Riverside and the surrounding community.
From at least April 2020 until August 2020, Rodriguez and others purchased pound quantities of methamphetamine from their suppliers in Mexico as well as in Los Angeles and Riverside counties. Other members of the conspiracy further distributed methamphetamine in the Inland Empire. Prosecutors argued that Rodriguez also trafficked drugs from his mother’s home,
In total, law enforcement seized more than 150 pounds (68 kilograms) of methamphetamine and $31,035 in cash during this investigation.
In May 2020, Rodriguez possessed 150 rounds of ammunition. He is not legally permitted to possess ammunition because his criminal history includes six felony convictions in state court in Riverside and Los Angeles counties for crimes ranging from drug dealing to burglary.
Rodriguez is the 16th and final defendant sentenced in this criminal case. Lead defendant Timoteo Gomez, 51, of Riverside, was sentenced on May 6 to 21 years in federal prison after pleading guilty to his role in the methamphetamine trafficking conspiracy. Other defendants in this case received prison sentences ranging from two to 12 years.
The FBI’s Inland Empire Safe Streets Task Force investigated this matter. The Task Force is a joint federal and state gang task force that includes the FBI; the Drug Enforcement Administration; IRS Criminal Investigation; the Riverside County Sheriff’s Department; and the Riverside Police Department. The FBI’s Safe Streets Task Force received assistance during the investigation from the San Bernardino County Sheriff’s Department; U.S. Customs and Border Protection; the Bureau of Alcohol, Tobacco, Firearms and Explosives; and the United States Marshals Service.
Assistant United States Attorney Eli A. Alcaraz of the Public Corruption and Civil Rights Section prosecuted this case.
Registered Sex Offender Admits Possessing Child PornographyRead the Press Release
ST. LOUIS – A registered sex offender from Jefferson County, Missouri pleaded guilty Tuesday and admitted selling child pornography online.
Patrick Mayberry, 45, of High Ridge, pleaded guilty to a felony charge of possession of child pornography as a prior offender. Mayberry told investigators that he’d received over $2,000 by selling child pornography that he’d obtained on the dark web. Mayberry had multiple videos containing child sexual abuse material in his MEGA cloud-storage account.
Authorities were alerted by a cyber tipline report to the National Center for Missing and Exploited Children (NCMEC) that Mayberry had uploaded 88 files containing child pornography to his Google account.
Mayberry was on probation at the time of the offense. In 2003, Mayberry was convicted of second-degree rape – victim under age 16 in Oklahoma. In 2008, he was convicted of one count of attempting to procure child pornography for seeking nude photographs of a nine-year-old. In 2021 in Jefferson County Circuit Court in Missouri, Mayberry was convicted of one count of failure to register as a sex offender.
Mayberry is scheduled to be sentenced Feb. 13, 2025. The charge is punishable by a mandatory minimum of 10 years in prison and a maximum of 20 years, a $250,000 fine, or both.
The St. Louis County Police Department and the FBI investigated the case. Assistant U.S. Attorney Jillian Anderson is prosecuting 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 the Department of Justice Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Rapid City Woman Sentenced to Federal Prison for 12 Years and Seven Months for Possession with Intent to Distribute FentanylRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Court Judge Karen E. Schreier has sentenced a Rapid City, South Dakota, woman convicted of Possession with Intent to Distribute a Controlled Substance.
Brittany Aguilar, age 33, was sentenced on November 15, 2024, to 12 years and seven months in federal prison, followed by four years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Aguilar was indicted by a federal grand jury in February of 2024, and pleaded guilty on August 21, 2024.
On November 30, 2023, Aguilar was involved in a traffic stop following a trip to Colorado. During the search of the vehicle law enforcement found over 2,000 fentanyl pills that were intended to be distributed in the Rapid City area.
This case was investigated by the Pennington County Sheriff’s Office, Division of Criminal Investigation, and the South Dakota Highway Patrol. Assistant U.S. Attorney Meghan N. Dilges prosecuted the case.
Aguilar was immediately remanded to the custody of the U.S. Marshals Service following her sentencing.
Putnam County Man Sentenced for Fraudulently Obtaining Unemployment and COVID-19 BenefitsRead the Press Release
CHARLESTON, W.Va. – Gary Lomax, 62, of Hurricane, was sentenced today to five years of federal probation, including four months on home detention, and ordered to pay $29,592 in restitution for theft of public money, property or records. Lomas admitted that he fraudulently obtained approximately $8,760 in unemployment benefits, including COVID-19 supplementary funds, and a $20,832 Paycheck Protection Program (PPP) loan 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, on or about March 24, 2020, Lomax applied for unemployment compensation after he was laid off as a sales associate at a Charleston auto dealership when the COVID-19 pandemic began. Lomax legitimately received unemployment benefits until the week ending April 18, 2020, when he returned to work.
Lomax admitted that from at least April 25, 2020 through at least June 27, 2020, he continued to apply for unemployment benefits that he knew he was not entitled to because he had returned to work. Lomax fraudulently obtained approximately $8,760 in unemployment benefits, including supplementary funds provided by the Federal Pandemic Unemployment Compensation Program (FPUC) of the CARES Act.
WorkForce West Virginia administers the unemployment compensation program for the State of West Virginia. Lomax admitted that as part of his scheme, he falsely certified on the WorkForce West Virginia website for 10 consecutive weeks that he was entitled to unemployment benefits. Lomax submitted the false certification answers while using his personal electronic device in St. Albans.
On March 29, 2021, Lomax applied for a PPP loan by falsely representing that he had earned $369,730 during the 2020 tax year as an independent contractor. PPP loans were available to qualifying independent contractors and self-employed individuals adversely impacted by the COVID-19 pandemic to replace their normal income and for certain other expenses. Lomax admitted that he had no independent contractor income to report for that tax year. Lomax further admitted that he made this false representation in order to receive $20,832, the maximum loan amount available to independent contractors.
Lomax also admitted that he used the fraudulently obtained unemployment benefits and PPP loan funds to make purchases and pay his bills.
United States Attorney Will Thompson made the announcement and commended the investigative work of the WorkForce West Virginia Integrity Section, the National Aeronautics and Space Administration Office of Inspector General (NASA OIG), the Litigation Financial Analyst with the U.S. Attorney’s Office and the West Virginia State Police – Bureau of Criminal Investigation (BCI).
NASA OIG is an active member of the Pandemic Response Accountability Committee (PRAC) Fraud Task Force. The PRAC was established to promote transparency and facilitate coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 20 member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending, including spending via the Paycheck Protection Program (PPP), and Economic Injury Disaster Loan (EIDL) program. This case was also supported by the PRAC’s Pandemic Analytics Center of Excellence, which applies the latest advances in analytic and forensic technologies to help OIGs and law enforcement pursue data-driven pandemic relief fraud investigations.
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Andrew J. Tessman prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal 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, among other methods, 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 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.
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-114.
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Portland Man Sentenced to 12 Years for Enticing a Minor, Possessing Child Sexual Abuse MaterialRead the Press Release
PORTLAND, Maine: A Portland man was sentenced in U.S. District Court in Portland for enticing a minor and possessing child sexual abuse material.
U.S. District Judge Nancy Torresen sentenced Joshua Decker, 36, to 144 months in prison followed by supervised release for life. Decker pleaded guilty on July 3, 2024.
According to court records, in December 2022, Decker encountered the out-of-state 16-year-old victim in an online chat forum and began regularly communicating with them despite knowing the victim was a minor. In April 2023, the conversations became graphic and sexual, and Decker discussed traveling to meet the victim. The U.S. Attorney’s Office does not identify minor victims of crime and is limiting identifying information, including gender and location, to protect the minor victim’s privacy. In July 2023, the Portland Police Department executed a search warrant on Decker’s vehicle and person, recovering a tablet. Examination of the tablet revealed child sexual abuse material. Decker was previously convicted in Androscoggin County Criminal Court in 2018 for possessing sexually explicit material of a minor under 12.
Homeland Security Investigations (HSI) investigated the case with assistance from the Portland Police Department.
Online enticement is increasing: The National Center for Missing & Exploited Children (NCMEC) reported an alarming 300% increase in online enticement reports between 2020 and 2023. “Online enticement” involves an individual communicating with someone believed to be a child via the internet with the intent to commit a sexual offense or abduction. This type of victimization takes place across every platform, including social media, messaging apps, gaming platforms, etc. Learn more about online enticement, including red flags and risk factors, at https://www.missingkids.org/theissues/onlineenticement. If you are in Maine and you or someone you know has been sexually assaulted or abused, you can get help by calling the free, private 24-hour statewide sexual assault helpline at 1-800-871-7741.
Free Project iGuardian program available to Maine schools & communities: The Homeland Security Investigations (HSI) program Project iGuardian is focused on keeping children and teens safe from online predators through education and awareness. The in-person educational outreach effort was created to share information about the dangers of online environments, how to stay safe online, and how to report abuse and suspicious activity. Schools, parent groups, and other community groups interested in bringing the program to their community can find more information at: https://www.dhs.gov/know2protect/training.
Project Safe Childhood: 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 the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, visit https://www.justice.gov/usao-me/psc.
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