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13 November 2024
Georgia Woman Sentenced to 63 Months in Federal Prison for Embezzling More Than $1.6 Million from Local Business and Laundering the Fraudulent ProceedsRead the Press Release
BATON ROUGE, LA – United States Attorney Ronald C. Gathe, Jr. announced that U.S. District Judge Brian A. Jackson sentenced Thanh Hoa Thi Bui, also known as Xena Bui, age 42, a resident of Valdosta, Georgia, to 63 months in federal prison following her convictions for wire fraud and making unlawful monetary transactions. The Court further sentenced Bui to serve three years of supervised release following her term of imprisonment and ordered her to pay $1,694,095.59 in restitution.
According to admissions made as part of her guilty pleas, between 2017 and 2020, Bui lived in Denham Springs, Louisiana. She worked at a small business located on North Sherwood Forest Drive in Baton Rouge, which has been in business for more than a decade, and where Bui was trusted to assist with the company’s bookkeeping and accounting, among other tasks. Beginning in or about September 2017 and continuing through November 2020, however, Bui embezzled more than $1.6 million from the business by using the company’s bank account to make hundreds of fraudulent transactions and concealing the scheme from her employer.
Bui accomplished the scheme in several different ways. On more than 100 different occasions, she used her access to the victim’s bank account to generate checks that were payable to herself and then used fraudulent pretenses to induce her employer to sign the checks, which she would then deposit into one of her personal bank accounts. Bui also used the victim’s bank account to pay the electricity and gas for a large chicken farm that she maintained in Mississippi and to make payments to a company in Covington, Louisiana, to which she owed money for real estate that she and another individual had purchased. In total, as the Court found at today’s sentencing, Bui embezzled $1,694,095.59 from the victim and caused the victim a substantial financial hardship.
Bui took extensive steps to conceal her scheme, including by providing her employer with altered copies of the company’s bank statements and by using her access to the company’s accounting program to disguise the fraudulent transactions as payments to the company’s regular vendors and suppliers.
Finally, as Bui obtained proceeds from the scheme, she would quickly move the proceeds through her bank accounts, withdraw the funds in cash, and make other transactions. For instance, on October 6, 2020, she fraudulently obtained a check in the amount of $56,252.52, payable to herself, which she deposited into one of her personal bank accounts. She immediately withdrew $50,000 from the account and then, beginning later that day and continuing through the following day, she purchased more than $50,000 in chips at a local casino.
In July 2023, a federal grand jury returned an indictment charging Bui with the criminal conduct described above, and the Court issued a warrant for her arrest. Her location was unknown, however, and she remained a fugitive until October 2023, when agents located her in Las Vegas, Nevada, and arrested her.
This matter was investigated by the United States Secret Service, with valuable assistance from the East Baton Rouge Parish Sheriff’s Office and the Louisiana State Police. The matter was prosecuted by Assistant United States Attorney Alan A. Stevens, who also serves as Senior Litigation Counsel.
Frederick County Man Sentenced to Federal Prison for Coercing and Enticing Minor to Engage in Sexual ActivityRead the Press Release
Defendant used mobile phones to lure two victims – including while on bail pending charges related to his arrest.
Baltimore, Maryland – Today, U.S. District Judge Richard D. Bennett sentenced Michael Vance Culpepper, 56, Walkersville, Maryland, to 10 years in federal prison, followed by 25 years of supervised release, for the enticement and coercion of a minor to engage in sexual activity. Judge Bennett also ordered that upon his release from prison, Culpepper must register as a sex offender in the places where he resides, is employed, and/or is enrolled as a student, pursuant to the Sex Offender Registration and Notification Act (SORNA).
Erek L. Barron, U.S. Attorney for the District of Maryland; Inspector General Teri L. Donaldson, United States Department of Energy’s Office of the Inspector General (DOE-OIG); Special Agent in Charge Michael S. McCarthy, Homeland Security Investigations (HSI), Baltimore Field Office; Colonel Roland L. Butler, Jr., Superintendent, Maryland State Police (MSP); Paul Joey Kifer, Chief , Hagerstown Police Department (HPD); and State’s Attorney Anne Colt Leitess, Office of the State’s Attorney for Anne Arundel County, Maryland.
According to his guilty plea, in April and May 2023, Culpepper used mobile phones and online applications to persuade, induce, entice, and coerce two victims whom he believed to be 13- and 14-year-old females to engage in sexual activity.
With the first victim — an undercover law enforcement officer posing as a 13-year-old girl — Culpepper used the internet and his phones to exchange sexually explicit messages and request sexually explicit images. Culpepper encouraged the victim to hide her conversations from her parents, writing, “you DEFINITELY need to delete these texts when we are done.” On May 8, 2023, Culpepper drove approximately 50 miles to meet the victim at a restaurant in Hanover, Maryland. When he arrived, he was arrested.
After Culpepper was released on May 9, 2023, with the condition that he have no further contact with minors, Culpepper initiated online contact with Jane Doe 1, a 14-year-old female. Culpepper used the internet to entice Jane Doe 1 to engage in sexually explicit conversations. Culpepper also sent Jane Doe 1 sexually explicit photos of himself and requested that Jane Doe 1 produce nude images of herself to send to him. Culpepper arranged a meeting with Jane Doe 1 for the purpose of engaging in unlawful sexual activity. On May 28, 2023, Culpepper picked up Jane Doe 1 near her home, and then drove her around for approximately one hour before stopping at a park. Culpepper used ice cream, money, a hotel room, and vaping devices to entice Jane Doe 1 to engage in sexual contact. Jane Doe 1 refused, but following the meeting, Culpepper continued to use the internet to entice Jane Doe 1 to meet with him and engage in sex acts.
This case is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the “Resources” tab on the left of the page.
U.S. Attorney Barron commended the DOE-OIG, HSI, ARMY CID, MSP, HPD, and the Anne Arundel County State’s Attorney’s Office for their work in the investigation. Mr. Barron also thanked Assistant U.S. Attorneys Paul E. Budlow and Reema Sood, who prosecuted the case.
For more information about the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.
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Former Vice President of Product Development Admits Theft of Trade Secrets from New Jersey-Based Producer of Oil Products and Proprietary FlavorsRead the Press Release
NEWARK, N.J. – A former vice president of product development at a New Jersey-based producer of oil products and proprietary flavors admitted possessing and conspiring to possess stolen trade secrets, U.S. Attorney Philip R. Sellinger announced today.
Andrew Blum, 63, of North Brunswick, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court on Nov. 12, 2024, to an information charging him conspiracy to possess stolen trade secrets and possession of stolen trade secrets.
“A company’s intellectual property – its proprietary materials and trade secrets – have enormous value to the companies that develop them, sometimes constituting their most valuable assets. Stealing them is a crime. This defendant admitted stealing trade secrets, including a secret formula used in one of the most recognizable names in the global soft drink industry. Our office will prosecute cases like this with the same vigor as any other theft.”
U.S. Attorney Philip R. Sellinger
“Blum admits he stole his employer's trade secrets and hoped to use the information so he could get a job across the street,” FBI – Newark Acting Special Agent in Charge Nelson I. Delgado said. “Protecting the proverbial keys to the castle is essential for companies to remain in business and stay competitive. It’s even common for corporations to house formulas and recipes in literal vaults to keep them from being stolen. One of the FBI’s priorities is protecting companies from these types of crimes and holding accountable anyone who tries to sneak out the back door.”
According to documents filed in this case and statements made in court:
From 2013 to Dec. 12, 2018, Blum was the vice president of product development for a company that is a subsidiary of a New Jersey-based corporation that maintained its principal place of business in Northern New Jersey. The company’s parent corporation was one of the world’s largest producers of oils, juices, peel and byproducts, as well as a leading manufacturer of proprietary flavors sold to, among others, the world’s largest beverage companies. The company’s entire business was predicated on the development of formulas used in the production of flavors and as such, the intellectual property represented in formulas is one of the company’s most important assets.
In December 2018, the company’s information technology team discovered that another employee from company used a personal email account to forward 82 files, each of which contained proprietary and trade secret information, to Blum on his personal email account. The list of 82 files included virtually all of the formulas used in the department where Blum worked. The company later learned that Blum and the other employee accessed other sensitive formulas belonging to the company that Blum and the employee were not working on and should not have accessed, including a secret formula used in one of the most recognizable names in the global soft drink industry. Other email communication between non-company accounts showed that Blum and the other employee were planning to leave the company to work for competitor companies. Law enforcement later recovered other trade secret information from Blum’s residence and from one of Blum’s cloud-based storage accounts, including handwritten notes for a product that the company produces that is sold by one of the world’s largest soda companies in a country in Asia.
The counts of conspiracy to possess stolen trade secrets and possession of stolen trade secrets each carry a maximum potential penalty of 10 years in prison and a fine of up to $250,000 fine, or twice the gain or loss from the offense, whichever is greatest. Sentencing is scheduled for March 20, 2025.
U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Acting Special Agent in Charge Nelson I. Delgado in Newark, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney Benjamin Levin, Chief of the U.S. Attorney’s Office General Crimes Unit in Newark, with assistance from the National Security Unit.
blum.information.pdfFormer U.S. Postal Service Officer Pleads Guilty to Theft and Sale of Checks Addressed to Pittsburgh Area BusinessesRead the Press Release
PITTSBURGH, Pa. - A resident of Monroeville, Pennsylvania, pleaded guilty in federal court to charges of theft of mail, United States Attorney Eric G. Olshan announced today.
Ahmad Omar Shareef, 35, pleaded guilty to four counts before United States District Judge Christy Criswell Wiegand.
In connection with the guilty plea, the Court was advised that, on several occasions from October 2023 to April 2024, Shareef—a former U.S. Postal Service Human Resource Officer at the Bloomfield Post Office—removed and stole business checks contained in U.S. mail addressed to Pittsburgh area businesses. Shareef then used an encrypted messaging app to sell the checks to buyers in other cities. This mail included more than 450 checks recovered from Shareef and his property that were addressed to businesses in Pittsburgh area neighborhoods and that totaled more than $6 million. Nearly $250,000 of that total was fraudulently negotiated by buyers, with Shareef admitting to earning an estimated $20,000 through the scheme.
Judge Wiegand scheduled sentencing for March 25, 2025. The law provides for a maximum total sentence of up to 20 years in prison, a fine of up to $1 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The U.S. Postal Service - Office of Inspector General and United States Postal Inspection Service conducted the investigation that led to the prosecution of Shareef.
Former Keene Woman Sentenced to Prison for Stealing Almost $500,000 from her EmployerRead the Press Release
CONCORD – A former Keene woman was sentenced yesterday in federal court for stealing almost $500,000 from her former employer, U.S. Attorney Jane E. Young announces.
Stephanie Pratt, 39, was sentenced by U.S. District Court Judge Landya B. McCafferty to 30 months in prison and 3 years of supervised release. On August 6, 2024, Pratt pleaded guilty to one count of wire fraud.
“The defendant used her position of trust as an employee to steal nearly a half-million dollars from a small New Hampshire business. Among other items, she used the stolen money to purchase a hot tub and she spent over $5,600 on lavish tickets to watch Tom Brady’s return to Gillette Stadium,” said U.S. Attorney Jane E. Young. “The defendant’s criminal conduct was bold, as she began her fraud only six months after serving a sentence for stealing from a previous employer. The defendant will spend the next two and a half years in federal prison for her deceit along with the financial and emotional turmoil she caused her employer.”
“Stephanie Pratt is a greedy, serial fraudster who is being sent to prison for defrauding her employer and siphoning almost half-a-million dollars to live well beyond her means,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “Today’s sentence holds Ms. Pratt responsible for her clear disdain for the law and shows how the FBI will not hesitate to go after those who victimize others for their own financial gain.”
Pratt was the office administrator for a company based in Hinsdale, New Hampshire. She had full access to the company’s finances, including its bank accounts and credit cards. Over the course of six-and-a-half years, Pratt stole $492,325.34 from the company. She started stealing shortly after she was released from jail for stealing almost $10,000 from her previous employer.
Pratt cashed unauthorized checks to herself and entered them as payments to legitimate vendors in the company’s accounting system. Pratt also used the company’s credit cards to make over 1,000 unauthorized personal purchases. The fraudulent purchases included over $5,600 to purchase NFL tickets for Tom Brady’s return to Gillette stadium in 2021 and over $50,000 on Amazon purchases on items including a hot tub. Pratt also used the stolen money on things like plane tickets and miscellaneous herbs and spices.
When confronted about the stealing, Pratt repeatedly lied to the victim company, such as claiming that the owner had her cash the checks to funnel the money to the owner’s son. However, unbeknownst to Pratt the son had already passed away. Pratt also doctored the victim’s financial records. For example, she edited the company’s credit card statements to delete unauthorized purchases. When asked why there were missing entries in the statements, Pratt claimed that she had simply adjusted the statements to make them easier to read. She also claimed that her misuse of the company credit cards was attributable to her clicking the wrong button at checkout, despite that happening more than 1,000 times. And, when she was fired for stealing, Pratt demanded that the owner’s widow pay her a Christmas bonus.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Alexander S. Chen prosecuted the case.
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Former IRS Employee Pleads Guilty to Fraudulent Tax ReturnsRead the Press Release
KANSAS CITY, Mo. – A former IRS employee pleaded guilty in federal court today to preparing fraudulent tax returns that illegally claimed more than $200,000 in refunds for her clients.
Sandra D. Mondaine, 64, of Grandview, Mo., pleaded guilty before U.S. District Judge Howard F. Sachs to one count of aiding and abetting in the preparation and filing of false tax returns.
Mondaine previously worked for the IRS as a contact representative before retiring.
By pleading guilty today, Mondaine admitted that she prepared federal income tax returns for clients that contained false and fraudulent claims. The indictment charged her with assisting at least 11 individuals to file at least 39 false and fraudulent income tax returns for the tax years 2019 through 2021. The tax loss associated with those false returns is approximately $237,329. The parties do not agree on the total tax loss.
By including fraudulent items on her clients’ tax returns, Mondaine was able to manufacture substantial refunds to her clients that they would not have been entitled to if the returns had been accurately prepared. Mondaine charged her clients a fee, which was either a fixed dollar amount and/or a percentage of the tax refund.
Under the terms of today’s plea agreement, Mondaine must pay restitution to the Internal Revenue Service, as determined by the court, representing the total tax loss associated with the conduct to which she is pleading guilty. Mondaine also consents to a permanent injunction in a separate civil action, under which she will be permanently enjoined from preparing, assisting in, directing or supervising the preparation or filing of federal tax returns for any person or entity other than herself.
Under federal statutes, Mondaine is subject to a sentence of up to three years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by IRS-Criminal Investigation.
Former Federal Government Employee Pleads Guilty to False StatementsRead the Press Release
WASHINGTON—Tremayne Matthews, 38, of Waldorf, Maryland, pleaded guilty today in U.S. District Court to one count of a concealing material facts from the federal government. The charge stemmed from a years-long scheme in which Matthews submitted hundreds of falsified resumes to obtain federal employment and then dozens of forged affidavits in connection with an administrative hearing after he had been terminated.
The plea was announced by U.S. Attorney Matthews Graves; U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Special Agent in Charge Marcus L. Sykes; U.S. Department of Commerce Office of Inspector General (DOC-OIG) Special Agent in Charge Duane Townsend; and Treasury Inspector General for Tax Administration (TIGTA) Special Agent Andrew McKay.
U.S. District Court Judge Emmet G. Sullivan scheduled a sentencing hearing for May 29, 2025.
According to the plea paperwork, beginning in November 2018 and continuing through November 2022, Matthews submitted more than 200 applications for employment with multiple federal agencies, including the U.S. Food and Drug Administration (FDA); the Internal Revenue Service (IRS); the U.S. Department of Health and Human Services (HHS); and the U.S. Patent and Trademark Office (USPTO). In connection with these applications, Matthews made multiple misrepresentations. In addition to submitting falsified resumes that contained information he had copied and pasted from a resume belonging to a former co-worker, Matthews also concealed the fact that he had resigned from employment in lieu of being terminated. On the basis of these misrepresentations, Matthews was hired by the federal government into positions that earned an annual salary of more than $100,000.
As part of his guilty plea, Matthews also admitted to submitting fabricated affidavits to the federal government. In 2020, the U.S. Office of Personnel Management (OPM) investigated Matthews’ employment history. Rather than admit his wrongdoing, the Matthews submitted a rebuttal package to OPM that contained at least four signed and notarized affidavits from former associates, as well as email exchanges, vouching for the information contained in his resume. In reality, Matthews had fabricated the affidavits and emails entirely. The individuals listed in the affidavits had not signed the documents, nor had the documents actually been notarized. Matthews also created a fake email address that he used to perpetrate the fraud.
This case was investigated by the HHS-OIG, DOC-OIG, and TIGTA. The case is being prosecuted by Assistant United States Attorney Christopher R. Howland of the Fraud, Public Corruption, and Civil Rights Section of the U.S. Attorney’s Office for the District of Columbia.
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Florida Woman Pleads Guilty to Conspiracy to Commit Wire Fraud and Aggravated Identity TheftRead the Press Release
Defendant and co-Conspirators submitted at least 150 fraudulent unemployment insurance applications.
Baltimore, Maryland – Tiia Woods, 46, Jacksonville, Florida, pleaded guilty to conspiracy to commit wire fraud and aggravated identity theft in connection with an unemployment insurance scheme.
Erek L. Barron, U.S. Attorney for the District of Maryland, announced the guilty plea with Special Agent in Charge Troy W. Springer, National Capital Region, U.S. Department of Labor’s Office of Inspector General (DOL-OIG), and Special Agent in Charge William J. DelBagno, Federal Bureau of Investigation, Baltimore Field Office.
According to the guilty plea, beginning in June 2020 through approximately May 2021, Woods and her co-conspirators submitted false and fraudulent Unemployment Insurance (UI) applications that contained the identity unsuspecting victims’ contact information, addresses, employment status, work history, occupation, and eligibility for benefits.
Woods’ fraud was facilitated by email and other internet communications when she applied for UI benefits, modified UI claims within the Maryland Department of Labor (MD-DOL) system, and checked the status of claims. In response, MD-DOL disbursed UI benefits via Bank of America (BOA) prepaid debit cards. Woods also engaged in ATM withdrawals, point-of-sale transactions, and other financial transactions, such as transfers to CashApp.
In total, Woods and her co-conspirators submitted at least 150 fraudulent applications in the names of purported claimants and identity theft victims. Through Woods’ actions, in the course of the conspiracy and scheme to defraud, the United States, MD-DOL, BOA, and multiple individuals lost at least $3,296,725.
Through the CARES Act, small businesses are offered financial assistance — including forgivable loans for job retention and certain other expenses — through the Paycheck Protection Program, which is administered through the Small Business Administration (SBA). The SBA also offers an Economic Injury Disaster Loan (EIDL) and/or an EIDL advance to help businesses meet their financial obligations. An EIDL advance does not have to be repaid, and small businesses can receive an advance, even if they were not approved for an EIDL loan. The maximum advance amount is $10,000.
Financial assistance offered through the CARES Act also includes expanded eligibility for UI benefits and increased UI benefits through the Pandemic Unemployment Assistance Program (PUA), Federal Pandemic Unemployment Compensation (FPUC), and the Lost Wages Assistance Program (LWAP).
On Count 1, conspiracy to commit wire fraud in violation of 18 U.S.C. § 1349, Woods faces a maximum of 20 years in prison followed by three years of supervised release. On Count 2, aggravated identity theft in violation of 18 U.S.C. § 1028A, Woods faces a minimum two-year consecutive prison term, followed by one year of supervised release. U.S. District Judge Julie R. Rubin has scheduled sentencing for March 26, 2025, at 10 a.m.
U.S. Attorney Barron commended the DOL-OIG and FBI for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Evelyn Cusson and Harry Gruber, who are prosecuting the federal case. U.S. Attorney Barron also thanked Bank of America - Detection and Complex Investigations Fraud Rings and Analytics for their assistance with this matter.
The District of Maryland Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. Strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts that use prosecutor-led and data-analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
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.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Fifth West Virginia Corrections Officer Pleads Guilty to Federal Civil Rights Violation in Connection with Death of InmateRead the Press Release
CHARLESTON, W.Va. - A former corrections officer from the Southern Regional Jail in Beaver, West Virginia, pleaded guilty today for his role in an assault that resulted in the death of an inmate, identified by the initials Q.B., on March 1, 2022. 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.
According to court documents filed in connection with the guilty plea, Holdren responded to a call for officer assistance after Q.B. tried to push past another correctional officer and leave his assigned pod. When Holdren arrived, officers were engaged in using force to restrain Q.B. Holdren also began using force which included multiple knee-strikes to Q.B.’s body, which he acknowledged were unreasonable uses of force according to his training and experience. Holdren 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 push past officers and leave the pod. As a part of that conspiracy, officers brought Q.B. to an interview room, where they continued to use 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.
Holdren 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. Holdren was 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 the officers could use unreasonable force without being captured on video. Holdren admitted that he knew that it was improper for officers to use unreasonable force to punish inmates and pretrial detainees.
Holdren is one of six former correctional officers indicted by a federal grand jury in November 2023. Two defendants previously pleaded guilty in connection with the use of unreasonable force against Q.B. On Aug. 8, 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. Sentencing hearings for Boothe and Toney are scheduled for Jan. 9, 2025.
Trial for the remaining three defendants is scheduled for Dec. 10.
Prior to the indictment, on Nov. 2, 2023, former Southern Regional Jail 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.
According to his plea agreement, Holdren faces a maximum penalty of 30 years in prison and a fine of up to $250,000.
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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Fifth West Virginia Corrections Officer Pleads Guilty to Federal Civil Rights Violation in Connection with Death of InmateRead the Press Release
A former corrections officer from the Southern Regional Jail in Beaver, West Virginia, pleaded guilty today for his role in an assault that resulted in the death of an inmate, identified by the initials Q.B., on March 1, 2022. 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.
According to court documents filed in connection with the guilty plea, Holdren responded to a call for officer assistance after Q.B. tried to push past another correctional officer and leave his assigned pod. When Holdren arrived, officers were engaged in using force to restrain Q.B. Holdren also began using force which included multiple knee-strikes to Q.B.’s body, which he acknowledged were unreasonable uses of force according to his training and experience. Holdren 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 push past officers and leave the pod. As a part of that conspiracy, officers brought Q.B. to an interview room, where they continued to use 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.
Holdren 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. Holdren was 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 the officers could use unreasonable force without being captured on video. Holdren admitted that he knew that it was improper for officers to use unreasonable force to punish inmates and pretrial detainees.
Holdren is one of six former correctional officers indicted by a federal grand jury in November 2023. Two defendants previously pleaded guilty in connection with the use of unreasonable force against Q.B. On Aug. 8, 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. Sentencing hearings for Boothe and Toney are scheduled for Jan. 9, 2025.
Trial for the remaining three defendants is scheduled for Dec. 10.
Prior to the indictment, on Nov. 2, 2023, former Southern Regional Jail 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.
According to his plea agreement, Holdren faces a maximum penalty of 30 years in prison and a fine of up to $250,000.
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.
Fentanyl Trafficker with Guns Sentenced to 12 YearsRead the Press Release
RALEIGH, N.C. – A Jacksonville man was sentenced to 152 months in prison for selling drugs and firearms at the same time in New Bern and Jacksonville. On March 26, 2024, Fan Troy Staton, age 50, pled guilty to conspiracy to distribute and possession with the intent to distribute 50 grams or more of methamphetamine, distribution of five grams or more of methamphetamine, and possession of a firearm by a felon.
“Drug trafficking and guns go hand in hand,” said U.S. Attorney Michael F. Easley, Jr. “This trafficker dealt guns alongside his fentanyl, including a fifty-caliber rifle. We can’t let armed drug traffickers roam our streets and aren’t letting up in our support for local communities fighting drugs and violence that has claimed far too many lives.”
Craven County Sheriff Chip Hughes stated, “This prosecution by U.S. Attorney Michael F. Easley’s Office, working with local, state, and federal law enforcement partners represents another successful example of removing a criminal drug and firearms dealer from Eastern North Carolina and sends a strong message for those who chose to engage in illegal activities.”
According to court documents and other information presented in court, Staton sold methamphetamine and fentanyl to a confidential informant on ten occasions in 2021, at times including firearms with the drugs. On one occasion, Staton sold the informant approximately 14 grams of fentanyl along with a .50 caliber rifle. On another occasion, he sold approximately 23 grams of methamphetamine, five grams of fentanyl, and a 12-gauge shotgun. In total, Staton distributed or possessed with the intent to distribute over 67 grams of methamphetamine, 69 grams of fentanyl, and 141 grams of cocaine, and he possessed or sold six firearms in connection with his drug trafficking activities.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The New Bern Police Department, Craven County Sheriff’s Office, Onslow County Sheriff’s Office, N.C. State Bureau of Investigation, Naval Criminal Investigation Service and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorney Charles E. Loeser prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:21-CR-71-FL.
Federal Jury Convicts Siblings of Fraud; Defendants Made Tens of Millions of Dollars from Lying to Manufacturers in Years-Long SchemeRead the Press Release
SAN DIEGO – Adriana Camberos (formerly Adriana Shayota) and Andres Camberos, sister and brother, were convicted by a federal jury of multiple fraud charges on October 25, 2024.
Their illegal scheme involved lying to manufacturers to sell wholesale groceries and other goods at steep discounts by promising the goods would be sold in Mexico, or to prisons or rehabilitation facilities. Instead, the defendants sold the products at higher prices to U.S. distributors, for the U.S. market. Wire fraud charges arose from the numerous wire transfers, as well as other interstate communications, the defendants made as they bought products from the manufacturers, transferred money among their own companies to facilitate the scheme, and then re-sold the products at higher prices to U.S. customers.
Following an 11-day trial, the jury found the defendants guilty of eight of 11 counts that went to the jury. Adriana and Andres Camberos were both found guilty of conspiracy to commit wire and mail fraud and seven wire fraud counts, and not guilty of three mail fraud counts.
According to evidence presented at trial, the defendants owned and controlled three businesses: Tradeway International, Inc., doing business as Baja Exporting (owned by Adriana Camberos); Specialty Foods International, Inc., doing business as Promix Co., Prison Food Depot, Rehab Food Depot and Specialty Foods International (owned by Andres Camberos); and Baja Foodservice S.R.L. de C.V. (95% owned by Andres Camberos and managed by Adriana Camberos). Specialty Foods International and Baja Exporting shared a warehouse and office space in San Diego. Baja Foodservice had a warehouse in Tijuana. All three operated together, as sister companies.
Baja Exporting claimed to be an exporter of grocery items and consumer goods to Baja California, Mexico. Similarly, Specialty Foods International, claimed to be a regional distributor of groceries and other goods to retailers in Baja California, Mexico, and to correctional facilities and rehabilitation and wellness facilities within the United States. Baja Foodservice likewise claimed to be a regional distributor in Baja California, Mexico.
The defendants used the three companies—especially Baja Foodservice—to tell manufacturers that they would sell the manufacturers’ products in Mexico, and based on that, they received significant discounts for purported sales, distribution, and exporting to the Baja California market. The defendants also sought discounted goods for Specialty Foods International, d/b/a Prison Food Depot and Rehab Food Depot, based on the claim that they sold products to prisons and rehab facilities.
But the defendants lied. In a years-long scheme, they used their three companies to get those lower prices from manufacturers and resell the products at higher prices to U.S. customers—often the same distributors the victim companies were already selling their products to. Between 2019 and September 2023 alone, Baja Exporting and Specialty Foods International sold hundreds of millions of dollars of products to U.S. distributors; less than a tenth of one percent of their sales were to any Mexican retailer or distributor, and they did no business with prisons or rehab centers.
The defendants took other numerous steps to conceal and perpetuate their fraud. For example, the defendants removed GPS tracking devices from manufacturers’ shipments; removed Spanish-language labels or packaging intended for the Mexican market; obtained Mexican customs documents to try to prove to manufacturers that products were being exported; arranged “market visits” in Tijuana, taking manufacturers’ representatives to various stores in Baja California where they placed the manufacturers’ products—often alongside models who were hired by the defendants’ companies and associates—to create the appearance the products were being sold as promised; had a fake “office” in Mexico City to meet with manufacturers, in an effort to make the companies think the defendants did substantial business in Mexico; and otherwise doubled down on their lies when the victim companies suspected the defendants were diverting their products and defrauding them.
Baja Exporting and Specialty Foods International made over $58 million in gross profits between January 2019 and September 2023. As owners, the defendants made millions each. In the same time period, Adriana Camberos took in over $12 million from Baja Exporting, and Andres Camberos paid himself over $14 million from Specialty Foods International. This caused manufacturers to lose tens of millions of dollars—money they would have made in the normal course of selling to U.S. distributors, but for the defendants’ lies.
With the money they made from the scheme, Adriana and Andres Camberos made extensive luxury purchases and investments. They bought or financed a Ferrari F12 Berlinetta, a Lamborghini Huracan, and multiple Range Rovers; purchased multiple homes in the San Diego area; purchased a condominium at the beach in Coronado; and put the money in multiple investment accounts, life insurance policies, a cryptocurrency account, and other assets. These and other items are subject to forfeiture.
“These defendants’ deception led to millions in illegal profits, but the gain was fleeting,” said U.S. Attorney Tara McGrath. “When this elaborate scheme unraveled, justice prevailed.”
“The Camberos siblings built a multimillion-dollar empire solely on fraud,” said FBI San Diego Special Agent in Charge Stacey Moy. “This conviction should send a clear message that fraud — no matter the scale — will be thoroughly investigated and those found guilty of perpetrating such schemes will be brought to justice.”
The defendants are scheduled to be sentenced on March 3, 2025, before U.S. District Judge Cynthia Bashant.
This case is being prosecuted by Assistant U.S. Attorneys Joshua Mellor, Peter Horn and Jordan Arakawa.
DEFENDANTS Case Number 23-CR-1916-BAS
Adriana Isabel Camberos (aka Adriana Shayota) Age: 54 San Diego, CA
Andres Enrique Camberos Age: 45 San Diego, CA
SUMMARY OF CHARGES
Conspiracy to Commit Mail and Wire Fraud – Title 18, U.S.C., Section 1349
Maximum Penalty: Twenty years in prison
Wire Fraud – Title 18, U.S.C., Section 1343
Maximum Penalty: Twenty years in prison
INVESTIGATING AGENCY
Federal Bureau of Investigation
Federal Jury Convicts Midwest City Man of Manufacturing Crack Cocaine and Illegal Firearm PossessionRead the Press Release
OKLAHOMA CITY – A federal jury has convicted ANTONIO LARINGO KNOX, 53, of Midwest City, of manufacturing cocaine base, commonly known as crack cocaine, and illegal possession of firearms after a previous felony conviction, announced U.S. Attorney Robert J. Troester.
On January 17, 2024, a federal grand jury returned a Superseding Indictment against Knox, charging Knox with manufacturing cocaine base and being a felon in possession of firearms, amongst other charges. On November 7, 2024, following a two-day trial, a federal jury convicted Knox of these two charges. According to evidence presented at trial, on September 12, 2023, Oklahoma City Police Department officers executed a search warrant at Mr. Knox’s home, where they found cocaine base, razor blades, digital scales, ammunition, and firearms. Mr. Knox admitted to manufacturing the cocaine base that was recovered.
According to public record, Knox has a number of previous felony convictions, including conspiring to distribute a controlled dangerous substance in Oklahoma County District Court case number CF-2004-3693, and possession of a controlled dangerous substance with intent to distribute and possession of a firearm after a previous felony conviction in Oklahoma County District Court case number CF-2006-6617.
At sentencing, Knox faces up to 35 years in federal prison, and fines totaling up to $1,250,000.
This case is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Oklahoma City Police Department. Assistant U.S. Attorneys Stephen Hoch and Matthew Anderson are prosecuting the case.
Reference is made to public filings for additional information.
Federal Correctional Officer Charged with Assault and Falsifying Report to Obstruct an InvestigationRead the Press Release
FRESNO, Calif. — Sandra Munagay, 42, of Atwater, a Senior Correctional Officer at the United States Penitentiary, Atwater appeared in federal court today for arraignment on a two-count indictment charging her with assaulting an inmate and obstruction of justice, U.S. Attorney Phillip A. Talbert announced.
According to the indictment, on Nov. 2, 2023, Munagay allegedly struck an inmate housed at the federal prison in Atwater. The same day, she falsified a report about the incident.
This case is the product of an investigation by the U.S. Department of Justice Office of Inspector General. Assistant U.S. Attorneys Jeffrey A. Spivak and Karen A. Escobar are prosecuting the case.
Munagay is scheduled for a status conference on Dec. 11, 2024. If convicted, Munagay faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for falsifying a report to obstruct an investigation and one year in prison and a $100,000 fine for the assault. Any sentence, however, would 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 charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Fayetteville Man Who Stole Identity of Elderly Man Sentenced to More Than Seven YearsRead the Press Release
RALEIGH, N.C. - A Fayetteville man was sentenced to more than seven years in prison for impersonating an elderly man to steal his federal benefits and commit fraud. On August 19, 2024, Brandon Scott Grimble pled guilty to aggravated identity theft, bank fraud, and wire fraud.
“Fraudsters like Grimble are targeting our elders, hoping to steal pensions and social security, and ruining their credit,” said U.S. Attorney Michael F. Easley, Jr. “We won’t stand by and watch this happen. Grimble and those like him will face hard time for their callous crimes.”
According to court documents, Grimble, age 43, gained access to the personal identifying information of the victim, an elderly man who was in poor physical and mental health. From early 2021 through 2022, Grimble, along with his co-defendant, impersonated the victim to steal his Pension Benefit Guaranty Corporation and Social Security benefits, open bank accounts, purchase vehicles, and take out life insurance policies all in the victim’s name. After the victim died in June 2022, Grimble impersonated the victim to apply for additional life insurance policies and lines of credit on the victim’s home.
“PBGC OIG remains steadfast in its commitment to working with Federal prosecutors and law enforcement partners to aggressively pursue those who engage in activities that threaten the financial safety of the aging population” said Inspector General Nicholas J. Novak of the PBGC OIG. “I commend the diligence of the PBGC OIG investigatory team for bringing detailed aspects of this case to light, and the work of the U.S. Attorney’s Office to ensure accountability and justice.”
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The United States Pension Benefit Guaranty Corporation, Office of Investigation investigated the case and Special Assistant U.S. Attorney Lisa K. Labresh is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:24-CR-00112-FL.
Executive of Louisiana Compounding Pharmacy Admits Defrauding State Health Benefits ProgramsRead the Press Release
CAMDEN, N.J. – The former vice president of sales of a Louisiana compounding pharmacy today admitted conspiring to use the Louisiana pharmacy to defraud New Jersey and military health benefits programs, Attorney for the United States Vikas Khanna announced.
Christopher Casseri, 56, of Baton Rouge, Louisiana, pleaded guilty before U.S. District Judge Edward S. Kiel to one count of conspiring to commit health care fraud. Casseri was previously charged with Christopher Kyle Johnston, 45, of Mandeville, Louisiana, Trent Brockmeier, 62, of Pigeon Forge, Tennessee, in a 24-count indictment with conspiracy to commit health care fraud and wire fraud and a second conspiracy to commit identity theft by using individuals’ personal identifying information without their consent. Johnston and Brockmeier were charged with additional charges of conspiring to commit money laundering and substantive counts of money laundering for transactions involving the over $43 million in illicit profits they realized from the scheme. The charges against Johnston and Brockmeier remain pending and they are scheduled to proceed to trial in January 2025.
According to court documents and statements made in Court:
Central Rexall was a retail pharmacy in Louisiana that prepared compounded medications, which are supposed to be specialty medications mixed by a pharmacist to meet the specific medical needs of an individual patient. In 2013, Johnston and Brockmeier entered into an agreement with Central Rexall Chief Executive Officer Hayley Taff, who pleaded guilty on Aug. 12, 2020, to conspiracy to commit health care fraud, to take over the management of the pharmacy and expand the compounding business in exchange for 90 percent of the profits. Brockmeier became chief operating officer of Central Rexall and Johnston became general counsel. They hired Casseri as vice president of sales to manage Central Rexall’s outside sales force.
Johnston, Brockmeier, and Casseri learned that certain insurance plans administered by an entity referred to in the indictment as the “Pharmacy Benefits Administrator” would reimburse thousands of dollars for a one-month supply of certain compounded medications – including pain, scar, and antifungal creams, as well as vitamin combinations. The health plans for New Jersey state and local government and education employees, including teachers, firefighters, municipal police officers, and state troopers, had this insurance coverage, as did TRICARE, which insures current and former members of the armed forces and their families.
The three conspirators designed compounded medications and manipulated the ingredients in the medications in order to obtain high insurance reimbursements rather than serve the medical needs of patients. To determine which ingredients and combinations resulted in the highest insurance reimbursements, Johnston, Brockmeier, and Casseri had Central Rexall employees send the Pharmacy Benefits Administrator false prescription claims to test out different combinations of ingredients, but the prescriptions did not exist. By trial and error, Johnston, Brockmeier, and Casseri designed compounded medications with combinations of ingredients that were chosen solely based on the amount of money that insurance would pay rather than on the medications’ ability to serve the medical needs of patients. At their direction, Central Rexall sent compounded medications to patients based solely on financial gain, without any research or testing showing that the combination of ingredients was effective.
When the Pharmacy Benefits Administrator would stop covering one combination, the conspirators would develop a compounded medication with a different combination of ingredients based solely on the insurance reimbursement and without considering the medical necessity or effectiveness of the new combination. Central Rexall then would send that new compounded medication to patients, even though the new combination of ingredients was not medically equivalent to the combination originally prescribed for the patients and without telling the patients or their doctor about the differences.
The outside sales force retained and directed by Johnston, Brockmeier, and Casseri used various methods to get doctors to prescribe these medications and patients to accept them, including having prescriptions signed without the patient seeing a doctor or knowing about the medications, having medications or refills ordered with the patients’ knowledge, and paying patients to accept the medications and paying doctors to prescribe them.
Casseri and his conspirators caused over $46 million in fraudulent insurance claims for compounded medications that were not medically necessary.
Casseri faces a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for March 18, 2025.
Attorney for the United States Khanna credited agents of the FBI’s Atlantic City Resident Agency, under the direction of Acting Special Agent in Charge Nelson I. Delgado in Newark; special agents of IRS - Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan in Newark; and the U.S. Department of Labor Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Jonathan Mellone, with the investigation leading to the guilty plea.
The charges and allegations against Johnston and Brockmeier are merely accusations, and they are presumed innocent unless and until proven guilty.
The government is represented by R. David Walk Jr., Deputy Chief of the Criminal Division and Assistant U.S. Attorney Daniel A. Friedman of the Criminal Division in Camden.
casseri.sinformation.pdfEx-Banker Pleads Guilty in $16M International Bribery and Money Laundering Scheme Involving Former Comptroller General of EcuadorRead the Press Release
MIAMI — A Miami man pleaded guilty yesterday for his role in a multimillion-dollar international bribery and money laundering scheme.
According to court documents, John Christopher Polit, 43, a former banker, laundered the bribe proceeds paid for the benefit of his father, Carlos Ramon Polit Faggioni, the former Comptroller General of Ecuador, through the U.S. financial system and into various investments in South Florida. From approximately 2010 to 2015, Carlos Polit solicited and received bribe payments from Odebrecht S.A., the Brazil-based construction conglomerate, in exchange for using his official position to remove fines and not impose fines in order to benefit Odebrecht and its business in Ecuador. Additionally, Carlos Polit received a bribe from an Ecuadorian businessman in or around 2015 in exchange for assisting the businessman and his company in connection with certain contracts from the state-owned insurance company of Ecuador.
Between approximately 2010 and 2018, John Polit helped his father launder these bribe proceeds. John Polit caused the bribe proceeds to “disappear” by layering transactions through Panamanian accounts of intermediary companies and using Florida companies registered in the names of certain associates. John Polit used the laundered funds from his father’s bribery scheme to purchase and renovate real estate in South Florida and elsewhere and to purchase restaurants, a dry cleaner, and other businesses.
John Polit pleaded guilty to one count of conspiracy to commit money laundering. He is scheduled to be sentenced on Jan. 30, 2025, and faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
On Oct. 1, Carlos Polit was sentenced to 10 years in prison following his April trial conviction.
Odebrecht S.A. pleaded guilty in December 2016 to conspiring to violate the anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) in connection with a broader scheme to pay nearly $800 million in bribes to public officials in 12 countries, including Ecuador.
U.S. Attorney Markenzy Lapointe for the Southern District of Florida; Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; and Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI) Miami made the announcement.
The HSI Miami Field Office’s El Dorado Task Force is investigating this case. The FBI’s International Corruption Squad investigated the Odebrecht case and provided substantial assistance in this case.
The Justice Department’s Office of International Affairs also provided substantial assistance. The Justice Department thanks Ecuadorian law enforcement authorities for their assistance with the investigation.
Senior Litigation Counsel Michael N. Berger for the Southern District of Florida and Trial Attorney Jil Simon and Assistant Chief Alexander Kramer of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.justice.gov/usao-sdfl.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 24-cr-20390.
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Ex-Banker Pleads Guilty in $16M International Bribery and Money Laundering Scheme Involving Former Comptroller General of EcuadorRead the Press Release
A Miami man pleaded guilty yesterday for his role in a multimillion-dollar international bribery and money laundering scheme.
According to court documents, John Christopher Polit, 43, a former banker, laundered the bribe proceeds paid for the benefit of his father, Carlos Ramon Polit Faggioni, the former Comptroller General of Ecuador, through the U.S. financial system and into various investments in South Florida. From approximately 2010 to 2015, Carlos Polit solicited and received bribe payments from Odebrecht S.A., the Brazil-based construction conglomerate, in exchange for using his official position to remove fines and not impose fines in order to benefit Odebrecht and its business in Ecuador. Additionally, Carlos Polit received a bribe from an Ecuadorian businessman in or around 2015 in exchange for assisting the businessman and his company in connection with certain contracts from the state-owned insurance company of Ecuador.
Between approximately 2010 and 2018, John Polit helped his father launder these bribe proceeds. John Polit caused the bribe proceeds to “disappear” by layering transactions through Panamanian accounts of intermediary companies and using Florida companies registered in the names of certain associates. John Polit used the laundered funds from his father’s bribery scheme to purchase and renovate real estate in South Florida and elsewhere and to purchase restaurants, a dry cleaner, and other businesses.
John Polit pleaded guilty to one count of conspiracy to commit money laundering. He is scheduled to be sentenced on Jan. 30, 2025, and faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
On Oct. 1, Carlos Polit was sentenced to 10 years in prison following his April trial conviction.
Odebrecht S.A. pleaded guilty in December 2016 to conspiring to violate the anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) in connection with a broader scheme to pay nearly $800 million in bribes to public officials in 12 countries, including Ecuador.
Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division; U.S. Attorney Markenzy Lapointe for the Southern District of Florida; and Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI) Miami made the announcement.
The HSI Miami Field Office’s El Dorado Task Force is investigating this case. The FBI’s International Corruption Squad investigated the Odebrecht case and provided substantial assistance in this case.
The Justice Department’s Office of International Affairs also provided substantial assistance. The Justice Department thanks Ecuadorian law enforcement authorities for their assistance with the investigation.
Trial Attorney Jil Simon and Assistant Chief Alexander Kramer of the Criminal Division’s Fraud Section and Senior Litigation Counsel Michael N. Berger for the Southern District of Florida are prosecuting the case.
The Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Eugene Man Pleads Guilty to Three Federal Hate Crimes for Defacing SynagogueRead the Press Release
EUGENE, Ore.—A Eugene man pleaded guilty to three federal hate crimes today for intentionally defacing a Eugene synagogue on multiple occasions.
Adam Edward Braun, 34, pleaded guilty to two counts of intentionally defacing a synagogue and one count of attempting to deface religious property because it was a place of religious worship for Jewish people.
According to court documents, between September 2023 and January 2024, Braun intentionally defaced Temple Beth Israel, a Jewish synagogue in Eugene, by repeatedly targeting the synagogue with graffiti, some of which used antisemitic symbols and phrases. Braun’s pattern of behavior culminated in the early morning hours of January 14, 2024, when he traveled to Temple Beth Israel with a hammer and prepared to swing at the glass doors of the synagogue. Braun stopped when he saw he was being recorded by a surveillance camera, and then moved to a different area of the property and used spray paint to write “White Power” in large letters on the building’s exterior.
On January 31, 2024, officers from the Eugene Police Department, with assistance from the FBI, executed a state search warrant on Braun’s Eugene residence. Investigators located multiple pieces of evidence connecting Braun to the attacks on Temple Beth Israel, along with several items and writings belonging to Braun that were consistent with antisemitic beliefs and biases.
Braun was initially charged by criminal complaint on March 4, 2024. Later, on May 9, 2024, Braun was charged by criminal information with five counts of defacing and attempting to deface religious property because it was a place of religious worship for Jewish people.
Braun faces a maximum sentence of one year in prison, a $100,000 fine, and one year of supervised release for each count. He will be sentenced on February 18, 2025, before U.S. District Court Judge Michael J. McShane.
As part of the plea agreement, Braun has agreed to pay restitution in full to the victim.
This case was investigated by the FBI with assistance from the Eugene Police Department. Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon, and Cameron A. Bell, Trial Attorney for the Civil Rights Division Criminal Section, are prosecuting the case.
El Departamento de Justicia Logra un Acuerdo con las Escuelas Públicas de Providence, Rhode Island para Proteger los Derechos Civiles de los Estudiantes InmigrantesRead the Press Release
El Departamento de Justicia anunció hoy un acuerdo de conciliación con el Distrito de Escuelas Públicas de Providence, Rhode Island, para resolver una investigación sobre los programas y servicios del distrito para nuevos inmigrantes estudiantes de inglés con educación limitada o interrumpida, conocidos en el distrito como “recién llegados”. El Distrito de Escuelas Públicas de Providence es el distrito escolar más grande de Rhode Island y atiende a miles de estudiantes de inglés, incluidos cientos de recién llegados.
“Los nuevos estudiantes y familias inmigrantes aportan grandes promesas y una gran cantidad de fortalezas a las comunidades escolares, pero con demasiada frecuencia enfrentan grandes adversidades para acceder a oportunidades educativas”, dijo la Fiscal General Adjunta Kristen Clarke de la División de Derechos Civiles del Departamento de Justicia. “Con demasiada frecuencia las escuelas cierran sus puertas a los recién llegados o los desvían hacia programas segregados con pocas oportunidades y servicios inadecuados. La ley federal es clara: todos los estudiantes, incluidos los estudiantes inmigrantes, tienen derecho a participar significativamente en los programas educativos de su distrito, y el Departamento de Justicia está comprometido a hacer cumplir ese derecho en Rhode Island y en todo el país”.
“El incumplimiento por parte del Distrito de Escuelas Públicas de Providence de sus obligaciones de derechos civiles para con los estudiantes recién llegados es inaceptable”, dijo el Fiscal Federal Zachary A. Cunha para el Distrito de Rhode Island, “particularmente a raíz de un acuerdo de derechos civiles del año 2018 que abordó la incapacidad del distrito escolar para acomodar a los estudiantes que aprenden el idioma inglés. La lamentable historia de medidas a medias y fracasos constantes de Providence para satisfacer las necesidades críticas de sus estudiantes más vulnerables ha requerido la acción de hoy: un acuerdo más estricto y centrado en el programa para recién llegados”.
El acuerdo resuelve la investigación del departamento sobre quejas sobre violaciones de derechos civiles en la “Academia para recién llegados” del distrito, un programa destinado a brindar aprendizaje acelerado a recién llegados de diecisiete años o más. La División de Derechos Civiles del Departamento de Justicia y la Fiscalía Federal para el Distrito de Rhode Island determinaron que el distrito no había proporcionado una enseñanza adecuada del idioma inglés a más de 200 estudiantes de la Academia para Recién Llegados. De hecho, docenas de estudiantes de “Newcomer Academy”, como es conocida en inglés, firmaron una petición durante el año escolar 2023-24 indicando que querían aprender inglés en su escuela. El departamento también encontró que el distrito no dotó al programa de personal con maestros y administradores calificados y capacitados y segregó innecesariamente a los recién llegados, privándolos de igualdad de oportunidades para recibir educación especial y participar en programas como educación profesional y técnica.
El distrito cooperó con el departamento durante la investigación y comenzó a tomar medidas para abordar algunas de las preocupaciones identificadas por el departamento.
Según el acuerdo, el distrito garantizará que todos los estudiantes en programas para recién llegados reciban instrucción adecuada en el idioma inglés y que los maestros en programas para recién llegados estén capacitados y calificados adecuadamente. Además, el distrito proporcionará traducción e interpretación de información escolar importante a los padres de los recién llegados que no dominan el inglés. El distrito también garantizará que los recién llegados tengan igualdad de acceso a programas especializados y estén integrados adecuadamente con otros estudiantes de inglés y hablantes nativos de inglés.
El departamento llevó a cabo su investigación bajo la Ley de Igualdad de Oportunidades Educativas de 1974 y el acuerdo del departamento de 2018 con el distrito (ampliado en 2021) que aborda todos los servicios y programas para estudiantes de inglés del distrito. El acuerdo de hoy, que se centra en los recién llegados, sustituirá al acuerdo anterior.
La aplicación de la Ley de Igualdad de Oportunidades Educativas es una de las principales prioridades de la División de Derechos Civiles. Información adicional sobre la División de Derechos Civiles está disponible en la página web www.justice.gov/crt, e información adicional sobre el trabajo de la Sección de Oportunidades Educativas de la división está disponible en la pagina web www.justice.gov/crt/combating-national-origin-discrimination-schools.
El público puede denunciar posibles violaciones de derechos civiles en la página web civilrights.justice.gov/report/ o enviando un correo electrónico al correo electrónico [email protected]. Cualquier persona en Rhode Island también puede denunciar violaciones de derechos civiles directamente a la Oficina del Fiscal Federal para el Distrito de Rhode Island en la página web www.justice.gov/usao-ri/civil-rights-enforcement o llamando al número 401-709-5000.
Vea el resumen del acuerdo aquí.
East Liberty Resident Pleads Guilty to Three Counts of Bank RobberyRead the Press Release
PITTSBURGH, Pa. - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to three counts of bank robbery, United States Attorney Eric G. Olshan announced today.
Rashon Coleman, 31, formerly of the East Liberty neighborhood of Pittsburgh, pleaded guilty before United States District Judge Marilyn J. Horan.
In connection with the guilty plea, the Court was advised that, on April 10, 2023, a subject later identified as Coleman walked into a bank, shoved a white plastic grocery bag appearing to contain a gun at the teller, and demanded $50,000 in cash. The teller gave cash to Coleman and then locked herself and two other tellers in the back of the bank. At least five other bank employees and multiple customers were present at the time of the robbery, during which Coleman also unsuccessfully attempted to breach the security door leading to the vault before fleeing.
The following day, Coleman entered a different bank nearby the first and shouted at the tellers to give him all of the money. One teller dropped to the ground and pushed the holdup alarm. Another teller removed money and handed it to Coleman, after which Coleman ordered everyone to get on the ground or he would shoot them all. Upon examining the amount of cash he’d received from the teller, Coleman demanded more, threatening to shoot one of the tellers in the head if they didn’t comply. A teller went to the vault and returned with more money, which she gave to Coleman, who then fled through the bank’s front door.
Pittsburgh Bureau of Police officers responding to the alarm noticed Coleman, who matched the description of the robbery suspect, walking down the street from the bank. The officers stopped Coleman and found him in possession of a bag containing a toy gun and a large amount of cash. Coleman later confessed to robbing both banks, and subsequently was charged with the two robberies in the Allegheny County Court of Common Pleas, where he was granted alternative housing at a community detention facility.
On May 20, 2023, Coleman was granted permission to leave the facility for a short period, but failed to return at the designated time. The same day, Pittsburgh Bureau of Police officers responded to a bank robbery in progress at the same bank that Coleman had robbed on April 10, 2023, where the subject, again later determined to be Coleman, had walked in yelling that he was robbing the bank and instructing everyone to get down. He demanded $20,000 in cash and threatened to start “popping” people if he didn’t get the money. Two bank tellers emptied their cash drawers while another teller walked to the back of the bank to get more money. Coleman fled with the money and a short time later was found by police inside of a store down the street from the bank. He was positively identified and had a bag containing cash in excess of $25,000 in his possession.
The law provides for a maximum total sentence of up to 20 years in prison, a fine of up to $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 Carl J. Spindler is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and Pittsburgh Bureau of Police conducted the investigations that led to the prosecution of Coleman.
East Helena man sentenced to 10 years in prison for firing gun during Townsend gas station robberyRead the Press Release
GREAT FALLS — An East Helena man who fired a gun during a robbery of a Townsend gas station was sentenced today to 10 years in prison, to be followed by three years of supervised release, U.S. Attorney Jesse Laslovich said.
The defendant, Samuel James Collins, 34, pleaded guilty in July to possessing and discharging a firearm during a crime of violence.
Chief U.S. District Judge Brian M. Morris presided.
In court documents, the government alleged that on Oct. 16, 2023, Broadwater County Sheriff’s Office deputies responded to a reported armed robbery at the Town Pump gas station in Townsend. Two employees were present during the robbery and told law enforcement that a man entered wearing a hooded blanket coat, was not wearing pants or shoes, and fired a round from a pistol. The suspect demanded money, and the employees complied. The suspect left in a pickup truck with an estimated $330 in cash. Video surveillance from the business captured the incident:
Approximately 20 minutes later, Meagher County Sheriff’s Office deputies stopped a truck matching the description of the truck used in the robbery. The driver was identified as Collins. During Collins’ arrest, deputies saw a pistol, cash and a shell casing inside the truck. In a search of the truck, law enforcement seized a loaded 9mm pistol, $329 in U.S. currency, a purple hooded sweatshirt, a white hat and other items. Further investigation determined that a bullet and shell casing found at the Town Pump were fired from a 9mm pistol found in the truck Collins was driving.
The U.S. Attorney’s Office prosecuted the case. The Broadwater County Sheriff’s Office, Meagher County Sheriff’s Office, Lewis and Clark County Sheriff’s Office, FBI and Bureau of Alcohol, Tobacco, Firearms and Explosives 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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East Hartford Man Sentenced to 5 Years in Federal Prison for Drug and Gun OffensesRead the Press Release
Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that DAVID QUINTANA, 36, of East Hartford, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 60 months of imprisonment, followed by four years of supervised release, for fentanyl distribution and firearm possession offenses.
According to court documents and statements made in court, in March and April 2023, investigators made multiple controlled purchases of fentanyl from David Quintana, and his brother, Edgar Quintana. David and Edgar Quintana were arrested on April 17, 2023. On that date, a search of David Quintana’s residence revealed two .40 caliber handguns that had been reported stolen, one 9mm handgun with an obliterated serial number, and 250 rounds of ammunition. A search of Edgar Quintana’s residence revealed distribution quantities of fentanyl, cocaine, and crack cocaine.
David Quintana’s criminal history includes felony convictions for narcotics offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
On December 27, 2023, David Quintana pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 40 grams or more of fentanyl and a quantity of cocaine, and one count of possession of firearms by a felon.
David Quintana, who is released on bond, is required to report to prison on January 3.
Edgar Quintana pleaded guilty and awaits sentencing.
This investigation was conducted by the DEA’s Hartford Task Force, which includes personnel from the DEA Hartford Resident Office, the Connecticut State Police, and the Bristol, Hartford, East Hartford, Enfield, Manchester, New Britain, Rocky Hill, Wethersfield, and Windsor Locks Police Departments. The case is being prosecuted by Assistant U.S. Attorney Brendan J. Keefe and Robert S. Dearington.
Durham Man Who Fled from Law Enforcement Sentenced to 12 Years in PrisonRead the Press Release
GREENSBORO – A Durham man who pleaded guilty to a firearm charge has been sentenced, announced Sandra J. Hairston, United States Attorney for the Middle District of North Carolina.
MARIO DEANDRE TAYLOR, age 44, was sentenced yesterday, November 12, 2024, to 144 months of imprisonment and 3 years of supervised release. Sentencing was held in Greensboro, North Carolina, before United States District Judge William L. Osteen, Jr.
TAYLOR pleaded guilty in August to one count of felon in possession of a firearm, a Smith & Wesson .40 caliber handgun.
According to court documents, on October 5, 2023, members of the Durham County Sheriff’s Office patrol division attempted to apprehend TAYLOR, who had outstanding state warrants for armed robberies, felony larcenies, assault on a law enforcement officer, aggravated assault, and robbery with a dangerous weapon, among other alleged crimes that took place between July 28, 2023, and October 5, 2023. Around 11:00 p.m. that night, TAYLOR, who had already eluded capture twice that day, led deputies on a high-speed chase through residential and business areas in Durham, driving at high rates of speed, running through stop signs and stop lights, side-swiping a truck, and nearly hitting a city bus. Eventually, TAYLOR slowed down on South Buchanan Boulevard in a residential neighborhood, jumped out of the vehicle with a loaded weapon in his possession, and ran. After a short foot chase, TAYLOR was arrested but did not have a gun on his person. Approximately fifteen to twenty feet from the location of TAYLOR’s arrest, a K-9 found the loaded .40 caliber handgun that TAYLOR had thrown during the pursuit.
The case was investigated by the Federal Bureau of Investigation’s Raleigh-Durham Safe Streets Task Force (SSTF) and the Durham County Sheriff’s Office. The lead investigator was an FBI Task Force Officer from the Durham County Sheriff’s Office. The case was prosecuted by Assistant United States Attorney Laura Jeanne Dildine.
Since 1992, the FBI's Safe Streets Violent Crime Initiative has successfully aligned FBI Agents, state and local law enforcement investigators, and federal and state prosecutors onto SSTFs to reduce violent crime. This nationwide initiative brings resources together in a “force multiplier concept” and utilizes the expertise of each agency. SSTFs focus primarily upon street gang and drug-related violence through sustained, proactive, coordinated investigations to obtain prosecutions on violations such as racketeering, drug conspiracy, and firearms violations.
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Dunklin County Woman Admits Aiding $565,000 FraudRead the Press Release
CAPE GIRARDEAU – A woman from Dunklin County, Missouri on Wednesday admitted acting as a money mule in the theft of $565,000 from a Bank of America account.
Sheri L. Reeves, 55, of Kennett, pleaded guilty in U.S. District Court in Cape Girardeau to one count of aiding and abetting bank fraud, one count of conspiracy to commit wire and mail fraud and one count of wire fraud. She admitted to acting as a money courier or “money mule,” transferring money obtained by fraud to co-conspirators. On June 9, 2020, Reeves opened an account at a Bank of America branch in Jonesboro, Arkansas. Sometime before Oct. 21, 2020, Reeves added the name of the fraud victim to the account. Reeves’ co-conspirators used fraudulently obtained account information to access the victim’s account and transfer a total of $565,000 to Reeves’ account in three separate electronic transfers.
Reeves then sent the fraud proceeds to others using cashier’s checks obtained in Tennessee and Arkansas and via a CoinFlip cryptocurrency ATM in Dunklin County. She also sent her account information to others and withdrew or attempted to withdraw the proceeds in cash or by check, her plea agreement says.
Reeves is scheduled to be sentenced Feb. 13, 2025. The bank fraud charge is punishable by up to 30 years in prison, a fine of up to $1 million, or both. The conspiracy and wire fraud charges are punishable by up to 20 years in prison and a $250,000 fine.
The case was investigated by the FBI. Assistant U.S. Attorney Paul Hahn is prosecuting the case.
If you believe you are participating in a money mule scheme or a victim of one, please contact the FBI’s Internet Crime Complaints Center at ic3.gov or contact your local FBI office.
Dublin Man Pleads Guilty to Prescribing Pain Medication Without a LicenseRead the Press Release
ROANOKE, Va. – A Dublin, Virginia man, who continued to prescribe pain medication even after he was informed he lacked the necessary license to do so, pled guilty recently to federal charges.
Ehikioya Osemobor, 47, waived his right to be indicted and pled guilty last week to a one count Information charging him with using an expired Drug Enforcement Administration (DEA) Number.
According to court documents, the Virginia Board of Medicine issued Osemobor a license to practice medicine and surgery in error in 2009. At the time of his application for licensure, Osemobor had not yet met all the necessary requirements of the United States Medical Licensing Examination.
The error was discovered in 2019.
When the error was discovered, Osemobor was practicing medicine at River Valley Healthcare Associates in Dublin, Virginia. He was registered with the DEA as a practitioner with authority to dispense and distribute controlled substances. His DEA registration was issued on the premise that Osemobor had a valid license to practice medicine.
The Virginia Board of Medicine notified Osemobor of the error and required him to provide evidence that he had fulfilled the necessary requirements under the United States Medical Licensing Examination. In February 2020, Osemobor notified the Board of Medicine that he was voluntarily surrendering his license to practice medicine. A consent order to that effect was entered on April 6, 2020.
Osemobor continued to issue patients prescriptions for Schedule II controlled substances under his DEA registration number between April 6, 2020, and April 15, 2020. Osemobor has admitted that he knew he was not permitted to write prescriptions after voluntarily surrendering his license.
U.S. Attorney Christopher R. Kavanaugh, Jarod Forget, Special Agent in Charge of the DEA’s Washington Division, and George Scavdis, Special Agent in Charge, FDA Office of Criminal Investigations, Metropolitan Washington Field Office made the announcement.
The Drug Enforcement Administration and The Food and Drug Administration - Office of Inspector General, investigated the case, with assistance from the Virginia State Police and the Virginia Department of Health Professions.
Assistant U.S. Attorneys Kristin B. Johnson and Keith Parella are prosecuting the case.
Drug Trafficker from California Who Provided Bulk Quantities of Fentanyl to DC Is Sentenced to 164 MonthsRead the Press Release
WASHINGTON – Paul Alejandro Felix, 25, of Glendale, California, was sentenced yesterday to 164 months in prison for participating in a wide-spread narcotics trafficking conspiracy that distributed hundreds of thousands of fentanyl-laced counterfeit oxycodone pills purchased in Southern California to destinations throughout the United States, including the District of Columbia. Felix was one of approximately 24 co-defendants arrested and charged over the course of 2023 in D.C., Virginia, Maryland, San Diego, and Los Angeles and charged in the conspiracy.
The sentence was announced by U.S. Attorney Matthew M. Graves, DEA Special Agent in Charge Jarod Forget of the DEA Washington Division, Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service Washington Division, and Chief Pamela A. Smith of the Metropolitan Police Department.
Felix pleaded guilty on July 1, 2024, to one count of conspiracy to distribute 400 grams or more of fentanyl. In addition to the 164-month prison term, U.S. District Court Judge Colleen Kollar-Kotelly ordered Felix to serve five years of supervised release.
According to court documents, Felix served as an upstream Los Angeles-based supplier of fentanyl-laced pills to other Los Angeles-based fentanyl traffickers, including a bulk supplier of fentanyl-laced counterfeit oxycodone pills to D.C.-based fentanyl traffickers. Felix sold pills by the thousands, often at prices below a dollar per pill. Communications evidence, as well as physical seizures, indicate that Felix participated in the transfer of tens of thousands of fentanyl-laced counterfeit oxycodone pills to downstream traffickers.
On November 16, 2023, law enforcement arrested Felix at his residence in Glendale, California. During a search of the home, officers recovered a Sig Sauer 9mm semi-automatic handgun with a magazine containing seven rounds of ammunition, as well as dozens of rounds of ammunition of various calibers and firearm magazines in various calibers. Felix admitted that he possessed the weapon and stated that he kept the firearm for protection. During the investigation, law enforcement obtained numerous photos of firearms, as well as bulk cash, from Felix’s Instagram account.
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The prosecutions followed a joint investigation by the DEA Washington Division and the USPIS Washington Division in partnership with the Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), with additional support from the DEA Los Angeles, San Diego, and Riverside Field Offices, the Federal Bureau of Investigation’s Washington Field Office, and the Charles County, Maryland Sheriff’s Office. Valuable assistance was provided by the U.S. Attorney’s Offices in the Central and Southern Districts of California, the Eastern District of Virginia, and the District of Maryland.
The case is being prosecuted by Assistant U.S. Attorneys Matthew W. Kinskey, Solomon S. Eppel, and Iris McCranie, of the Violence Reduction and Trafficking Offenses (VRTO) Section.
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Driver in High-Speed Chase Sentenced to 15 Years in Federal Prison for Transporting Two Kilograms of Fentanyl Pills and A Loaded FirearmRead the Press Release
Orlando, Florida – U.S. District Judge Wendy W. Berger has sentenced Jonathan Nicola (23, Sanford) to 15 years in federal prison for possession with intent to distribute two kilograms of fentanyl and possessing a firearm in furtherance of drug trafficking. Nicola entered a guilty plea on April 30, 2024.
According to court documents, a DEA investigation in the St. Cloud area focused on a package delivered to an address in St. Cloud. On January 11, 2024, at around 2:10 p.m., law enforcement observed Nicola get out of a vehicle and retrieve that package. When they attempted to conduct a traffic stop, Nicola accelerated and entered the Florida Turnpike traveling north. An ensuing pursuit, lasting over approximately 14 miles, involved multiple car accidents, driving on the shoulder and into oncoming traffic, running red lights, and endangering traffic. At one point, pursuing officers estimated that the vehicle was traveling more than 100 mph in a 45-mph zone. Nicola crashed and disabled the vehicle at the corner of Washington Woods Lane and Landstar Boulevard in Orlando. A search of the vehicle revealed a digital scale and numerous plastic bags in the driver’s door, and a 9 mm Springfield Hellcat handgun loaded with 11 rounds of ammunition. Officers also found a parcel addressed to the address in St. Cloud where they had conducted surveillance earlier that day. The box was sealed with tape, glue, and insulating foam. It contained a silver metal box containing a vacuum sealed bag of blue pills – sometimes known as fenta-pills – that weighed approximately 4.4 pounds. DEA laboratory tests later revealed that the package with pills contained 2 kilograms of a substance containing a detectable amount of fentanyl.
This case was investigated by the Drug Enforcement Administration, with assistance from the St. Cloud Police Department and the Florida Highway Patrol. It was prosecuted by Assistant United States Attorney Dana E. Hill.
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.
Department of Justice Secures Settlement with Providence Public Schools to Protect Civil Rights of Immigrant StudentsRead the Press Release
PROVIDENCE, RI – The United States has reached a settlement agreement with the Providence Public School District to resolve an investigation into the district’s programs and services for new immigrant English learner students with limited or interrupted education, known in the district as “newcomers,” United States Attorney for the District of Rhode Island Zachary A. Cunha announced today.
The Providence Public School District is the largest school district in Rhode Island, serving thousands of English learner students, including hundreds of newcomers.
Earlier this year, the U.S. Attorney’s Office for the District of Rhode Island received multiple complaints about civil rights violations at Providence’s “Newcomer Academy,” a program intended to provide accelerated learning to newcomers ages seventeen and older. A Justice Department’s Civil Rights Division and U.S. Attorney’s Office investigation found that Providence schools failed to provide adequate English language development instruction to over 200 students participating in the Newcomer Academy. Indeed, dozens of students at the Newcomer Academy signed a petition during the 2023-24 school year stating that they wanted to learn English at their school. The Department also found that Providence failed to staff the program with trained and qualified staff and administrators, unnecessarily segregated newcomers, and deprived them of equal opportunities to participate in specialized programs, such as special education and career and technical education.
“The Providence Public School District’s failure to meet its civil rights obligations to newcomer students is unacceptable,” said U.S. Attorney Zachary A. Cunha for the District of Rhode Island, “particularly coming as it does in the wake of an earlier, 2018 civil rights agreement that addressed the school district’s failure to accommodate English language learners. Providence’s woeful history of half measures and consistent failures to meet the critical needs of its most vulnerable students has necessitated today’s action: a more closely targeted and stringent agreement focused on the newcomer program. ”
“New immigrant students and families bring great promise and a wealth of strengths to school communities, but they too often face great adversity in accessing educational opportunities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Schools far too frequently shut their doors to newcomers or divert them into segregated programs with few opportunities and inadequate services. Federal law is clear: all students, including immigrant students, have a right to meaningfully participate in their district’s educational programs, and the Justice Department is committed to enforcing that right in Rhode Island and across the country.”
The district cooperated with the Department during the investigation and has started to take steps to address some of the concerns identified by the Department.
Under the agreement, the district will ensure that all students in newcomer programs receive adequate instruction in the English language, and that teachers in newcomer programs are appropriately trained and qualified. In addition, the district will take steps to provide language translation and interpretation of important school information to parents of newcomers who are not fluent in English. And the district will ensure that newcomers have equal access to specialized programs, and are appropriately integrated with other English learners, and native English speakers.
The Department of Justice conducted its investigation under the Equal Educational Opportunities Act of 1974, and the Department’s 2018 agreement with the district (extended in 2021) addressing all of the district’s English learner services and programs. Today’s settlement, which focuses on newcomers, will supersede the previous agreement.
The matter was handled by Assistant U.S. Attorney Amy R. Romero of the United States Attorney’s Office for the District of Rhode Island and Trial Attorneys Ajay Saini and Laura Tayloe of the Education Opportunities Section, Civil Rights Division of the Department of Justice.
Enforcement of the Equal Educational Opportunities Act is a top priority of the Civil Rights Division. Additional information about the Civil Rights Division is available at www.justice.gov/crt, and additional information about the work of the division’s Educational Opportunities Section is available at www.justice.gov/crt/combating-national-origin-discrimination-schools.
Members of the public can report possible civil rights violations at civilrights.justice.gov/report/ or by emailing [email protected]. Anyone in Rhode Island may also report civil rights violations directly to the U.S. Attorney’s Office for the District of Rhode Island at https://www.justice.gov/usao-ri/civil-rights-enforcement or 401-709-5000.
View a copy of the settlement agreement here.
View the settlement summary here.
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Denver Couple Sentenced for Scheme That Defrauded Department of Defense ContractorRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Kimberly Ann Tew, 43, Denver, Colorado was sentenced to 48 months in prison, and Michael Tew, 45, Denver, Colorado was sentenced to 42 months for their roles in a wire fraud scheme that defrauded National Air Cargo, a logistics company and contractor for the Department of Defense. A federal jury in Denver returned guilty verdicts against both defendants on February 15, 2024. Ms. Tew was ordered to pay a forfeiture money judgment of over $5 million, restitution in the same amount, and a $35,000 fine. Mr. Tew shares in the money judgement, restitution, and a $100,000 fine.
According to the facts established at trial, beginning in 2018, Michael Tew and Kimberly Tew conspired to defraud National Air Cargo through the submission of dozens of false invoices for services and items that were never provided. Over the course of two years, with the help of a co-conspirator, the Tews defrauded the business of five million dollars. Testimony at trial demonstrated the Tews gambled away much of the money and spent $2.4 million buying cryptocurrencies at cryptocurrency ATMs across the Denver area. Michael Tew also failed to file federal income tax returns for tax years 2016 through 2019, on both his earned income and funds obtained from the fraud scheme.
“The Tews enriched themselves by exploiting the trust of an employer, and they deserve every day of these sentences," said Acting United States Attorney for the District of Colorado Matt Kirsch. “We are grateful to our partners at IRS-CI and the FBI for their help in bringing them to justice.”
“Michael and Kimberly Tew’s greed and desire for a lavish lifestyle led to the judgement handed down today,” said Tom Demeo, Acting Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “These two sentences are an example of the impressive work of our special agents and law enforcement partners and reinforces the fact that financial crimes carry with them significant penalties.”
“This audacious and greedy scheme defrauded a defense contractor of $5 million over several years. These criminal acts fully warrant the penalties imposed,” said FBI Denver Special Agent in Charge Mark Michalek. “The FBI remains committed to working with IRS-CI to target and bring to justice individuals engaged in such unlawful behavior.”
Kimberly Tew was sentenced by United States District Court Judge Daniel D. Domenico on August 8, 2024. Michael Tew was sentenced by Judge Domenico on November 12, 2024.
IRS Criminal Investigation, and the FBI Denver Field Office conducted the investigation. Assistant United States Attorneys Bryan Fields and Sarah Weiss and former Assistant United States Attorney Hetal Doshi handled the prosecution.
Case Number: 20-cr-00305-DDD
Country Club to Pay over $630,000 to Resolve False Claims Act Allegations Relating to Improper Receipt of Paycheck Protection Program LoanRead the Press Release
PHOENIX, Ariz. – Briarwood Country Club, Inc., a private country club located in Sun City has agreed to pay $631,400 to resolve allegations that it violated the False Claims Act by knowingly obtaining a loan under the Paycheck Protection Program (PPP) for which it was not eligible.
When Congress enacted the Coronavirus, Aid, Relief, and Economic Security (CARES) Act, it authorized forgivable PPP loans to eligible small businesses for job retention and certain other expenses. The PPP loan program was administered by the Small Business Administration (SBA). At the time of the loan covered by this settlement, certain entities organized under section 501(c) of the Internal Revenue Code were not eligible for PPP loans, including 501(c)(7) organizations.
In May 2020, Briarwood applied for a PPP loan in the amount of $431,800 and certified that it was eligible to receive the loan even though it was ineligible as a 501(c)(7) nonprofit organization. After receiving the PPP loan, Briarwood sought and received forgiveness of the loan. The United States contended that Briarwood knew or should have known it was ineligible to receive the PPP loan, and that it caused the SBA to pay lender fees to the bank that processed the loans. Briarwood will pay $631,400 to the United States to resolve these allegations.
“PPP loans were an important but finite resource to help save small businesses across America during a generational pandemic,” said U.S. Attorney Gary Restaino. “But Congress did not intend this vital resource to cover 501(c)(7) ‘social clubs’ like Briarwood. Thanks to the Small Business Administration for vindicating program rules and protecting the public fisc.”
SBA’s General Counsel Therese Meers stated, “[t]he favorable settlement in this case is the product of enhanced efforts by federal agencies such as the Small Business Administration working with the U.S. Attorney’s Office, SBA’s Office of Inspector General and other Federal law enforcement agencies, as well as private individuals who uncover fraudulent conduct to recover the product of this fraud as well as penalties.”
The settlement resolves claims brought under the qui tam or whistleblower provisions of the False Claims Act. Under these provisions, a private party can file an action on behalf of the United States and receive a portion of the recovery. The qui tam complaint was filed by Relator Wade Riner and is captioned United States ex rel. Riner v. Recreation Centers of Sun City West, et al., No. 22-cv-01421 (D. Ariz.). Mr. Riner will receive a total share of approximately $63,400 in connection with the settlement.
The resolution obtained in this matter was the result of a coordinated effort between the United States Attorney’s Office for the District of Arizona and the SBA’s Office of General Counsel and Office of the Inspector General. The Affirmative Civil Enforcement Unit of the United States Attorney’s Office for the District of Arizona handled this matter.
Individuals with information regarding fraud, waste, or abuse related to federal programs should contact the relevant federal agency. A list of agencies and contact information can be found at https://www.justice.gov/usao-az/agency-links.
briarwood_country_club_settlement_agreement.pdf
CASE NUMBER: CV-22-01421
RELEASE NUMBER: 2024-153_Briarwood Country Club# # #
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.Coos Bay Man Sentenced to 25 Years in Federal Prison for Sexually Exploiting a MinorRead the Press Release
EUGENE, Ore.—A Coos Bay, Oregon man was sentenced to federal prison Wednesday for taking sexually explicit images of a minor.
Willard Verdell Cowan, 61, was sentenced to 300 months in federal prison followed by a lifetime term of supervised release.
According to court documents, beginning in early 2021, Cowan offered to talk with a minor who often suffered from panic attacks. Instead, he preyed on the victim’s vulnerability by providing alcohol and marijuana before sexually assaulting the victim. Cowan continued to sexually abuse the victim, at times recording the abuse and soliciting sexually explicit images from the minor, until he was arrested in March 2023.
On February 16, 2023, a federal grand jury in Eugene returned a two-count indictment charging Cowan with sexually exploiting a child and distributing child pornography.
On August 21, 2024, Cowan pleaded guilty to sexually exploiting a child.
This case was investigated by the FBI and Coos County Sheriff’s Office. It was prosecuted by Jeffrey S. Sweet, Assistant U.S. Attorney for the District of Oregon, in coordination with the Coos County District Attorney’s Office.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at 1-800-CALL-FBI (1-800-225-5324) or submit a tip online at tips.fbi.gov.
The FBI CETF conducts sexual exploitation investigations, many of them undercover, in coordination with federal, state and local law enforcement agencies. CETF is committed to locating and arresting those who prey on children as well as recovering and assisting victims of sex trafficking and child exploitation.
Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. It is important to remember child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document the victims’ exploitation and abuse, but when shared across the internet, re-victimize and re-traumatize the child victims each time their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children at www.missingkids.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Justice Department to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Computer Intrusion and Theft Charges Unsealed Against Two MenRead the Press Release
BOSTON – The government unsealed charges today against two individuals for their scheme to allegedly intrude Massachusetts tax preparation firms’ computer networks to steal confidential client information and then file fraudulent tax returns seeking tax refunds to be deposited in bank accounts they controlled.
Matthew A. Akande, 35, of Mexico and Nigeria, was arrested on Oct. 15, 2024 at Heathrow Airport in the United Kingdom at the request of the United States. Akande was indicted by a federal grand jury in Boston on July 19, 2022, on one count of conspiracy to obtain unauthorized access to protected computers in furtherance of fraud and to commit theft of government money and money laundering, one count of wire fraud, four counts of unauthorized access to protected computers in furtherance of fraud, 13 counts of theft of government money and 14 counts of aggravated identity theft. The United States will be seeking Akande’s extradition to the United States.
Kehinde H. Oyetunji, 33, of North Dakota and Nigeria, pleaded guilty in federal court in Boston on Dec. 22, 2022 to one count of conspiracy to obtain unauthorized access to protected computers in furtherance of fraud and to commit theft of government money and money laundering. Sentencing before U.S. District Judge Angel Kelley will be scheduled at a later date.
Between in or about June 2016 and June 2021, Akande, Oyetunji and others are alleged to have worked together to steal money from the United States government using taxpayers’ personally identifiable information (PII) to file fraudulent tax returns in the taxpayers’ names. In addition, between in or about February 2020, the scheme involved stealing taxpayers’ PII from Massachusetts tax preparation firms via phishing attacks and computer intrusions.
To carry out the scheme, Akande is alleged to have caused fraudulent phishing emails to be sent to five Massachusetts tax preparation firms. The emails purported to be from a prospective client seeking the tax preparation firms’ services but in truth were used to trick the firms into downloading remote access trojan malicious software (“RAT malware”), including RAT malware known as Warzone RAT. Akande allegedly used the RAT malware to obtain the PII and prior year tax information of the tax preparation firms’ clients, which Akande then used to cause fraudulent tax returns to be filed seeking refunds. The tax returns directed that the fraudulent tax refunds be deposited in bank accounts opened by Oyetunji and others. Once the refunds were issued, Oyetunji and others withdrew the stolen money in cash in the United States and then transferred a portion to third parties in Mexico, allegedly at Akande’s direction, while keeping a portion for themselves. In total, Akande and his coconspirators are alleged to have filed more than 1,000 fraudulent tax returns seeking over $8.1 million in fraudulent tax refunds over approximately five years. They are alleged to have successfully obtained over $1.3 million in fraudulent tax refunds.
Federal authorities encourage all businesses that suspect they have been the target and/or victim of a cyberattack to file a complaint with the Internet Crime Complaint Center at www.ic3.gov. Taxpayers and tax preparation firms that suspect they have been the target and/or victim of a phishing attack can also forward phishing email(s) to [email protected].
The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of unauthorized access to protected computers in furtherance of fraud provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of theft of government money provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed, one year of supervised release and a fine of $250,000 or twice the gross gain or loss, 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; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorney James R. Drabick of the Securities, Financial & Cyber Fraud Unit is prosecuting the cases.
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.
Columbia Man Sentenced to Federal Prison for Social Media Drug Sale and Illegal Gun PossessionRead the Press Release
COLUMBIA, S.C. — Booker Henley, 30, of Columbia, was sentenced to 12 years in federal prison after being found guilty at trial of being a felon in possession of a firearm, possession with intent to distribute marijuana, and possession of a firearm during a drug trafficking offense.
Evidence presented at trial showed that on March 10, 2023, a deputy with the Richland County Sheriff’s Department (RCSD) attempted to conduct a traffic stop on Henley’s vehicle in northeast Columbia. Henley fled from the deputy but crashed his vehicle moments later. Members of the public reported the crash and multiple RCSD deputies responded to the crash site believing the vehicle was the same vehicle that had escaped earlier. Henley ran from the crash before deputies arrived. The vehicle smelled of marijuana, and when deputies searched the vehicle, they found a loaded firearm with an extended magazine, a bag containing 252 grams of marijuana, and a bill of sale for another vehicle in Henley’s name.
Prior to the crash, agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), observed Henley’s social media accounts where he posted pictures of himself and marijuana that he advertised for sale using the deceptive hashtag #notforsale. ATF obtained surveillance footage from the crash site which showed Henley running from the vehicle wearing unique clothing. Henley had previously posted pictures of himself wearing the same unique clothing on social media. Law enforcement also obtained a search warrant for his social media account which confirmed that he was using social media to advertise and sell drugs in the days before and after the crash. Notably, social media messages revealed that he had completed a drug sale in Columbia approximately 45 minutes before the chase with law enforcement. The search warrant revealed that he messaged someone four days after the crash admitting to wrecking his “skat” which is a term used to reference certain models of Dodge Chargers.
Lastly, Henley’s DNA was found on both the firearm and the extended magazine. Henley has prior convictions for pointing and presenting a firearm at a person, breaking into a motor vehicle, possession of a stolen vehicle, possession of a stolen pistol, and failure to stop for a blue light.
United States District Judge Cameron McGowan Currie sentenced Henley to a total 144 months imprisonment consisting of concurrent sentences of 84 months and 60 months for the felon in possession of a firearm and possession with intent to distribute marijuana convictions followed by a consecutive sentence of 60 months for the possession of a firearm in furtherance of a drug trafficking offense conviction. The sentence of incarceration will be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
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.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Richland County Sheriff’s Department. Assistant U.S. Attorneys Lamar J. Fyall and Elizabeth Major prosecuted the case.
Client of Fraudulent Tax Shelter Scheme Pleads Guilty to ObstructionRead the Press Release
An Ohio doctor pleaded guilty today to corruptly endeavoring to obstruct the due administration of the internal revenue laws.
According to court documents and statements made in court, Dr. Suman Jana, of Strongsville, was a client of fraudulent tax shelter promoter Michael Meyer and his sub-promoter Rao Garuda. Dr. Jana used Meyer’s scheme, the “Ultimate Tax Plan,” to fraudulently claim $764,350 in charitable contribution tax deductions for tax years 2012 through 2015. Meyer and his co-conspirators marketed the scheme as a way for high-income clients to reduce their taxes by claiming they had donated valuable property to charities Meyer controlled, while in reality retaining complete control and use over their “donated” assets. Clients, such as Dr. Jana, were able to use the funds in the purported charities’ accounts to pay for personal expenses. In fact, Dr. Jana used the funds he claimed to have donated to charity to, among other things, purchase several cars for him and his wife.
On Jan. 5, 2017, after claiming five years-worth of charitable contribution tax deductions, Dr. Jana bought back the company he had “donated” to Meyer’s charity for $10,000 — reclaiming his purported donation and exiting the plan.
On April 3, 2018, the Justice Department filed a civil complaint for permanent injunction against Meyer in U.S. district court. On May 24, 2018, the Justice Department served a civil subpoena on Dr. Jana requesting that he produce records in connection with the Ultimate Tax Plan. In response to the subpoena, Meyer and Garuda instructed Dr. Jana to pretend that the buyback did not occur. Meyer prepared backdated transaction documents, written acknowledgements and promissory notes for Dr. Jana to sign and submit in response to the civil subpoena. The false documents were created to make it look as if Dr. Jana signed the promissory notes at the time that he and his wife paid personal expenses out of the purported charity.
In June 2018, Dr. Jana signed the false documents and sent them to the Justice Department in response to the civil subpoena.
Dr. Jana is scheduled to be sentenced on March 7, 2025, and faces a maximum penalty of three years in prison. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement. The Tax Division thanks U.S. Attorney Markenzy Lapointe for the Southern District of Florida for his office’s assistance.
IRS Criminal Investigation investigated the case.
Assistant Chief Michael Boteler and Trial Attorney Andrew Ascencio of the Tax Division are prosecuting the case.
Charlotte Man Is Sentenced to Prison for Attempting to Bring Firearms on A Plane at Charlotte Douglas International AirportRead the Press Release
CHARLOTTE, N.C. – A Charlotte man was sentenced to 18 months in prison today for unlawful transportation and shipment of firearms and ammunition, after he tried to get two firearms and ammunition through security at the Charlotte Douglas International Airport, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Ahmad Mohmad Elzein, 61, was also ordered to serve two years under court supervision after he is released from prison.
According to court documents and court proceedings, on July 30, 2023, officials with the Transportation Security Administration (TSA) were conducting a screening of Elzein’s carry-on luggage in connection with his international travel from Charlotte to Beirut, Lebanon. During the inspection, TSA officials located approximately $17,500 of U.S. currency in Elzein’s carry-on luggage. TSA officials also inspected Elzein’s checked baggage where they found a black 9 mm pistol concealed in a boot inside the luggage, and a revolver that was duct-taped and concealed inside the liner of Elzein’s suitcase. In addition to the firearms, TSA officers found 9mm ammunition wrapped in a plastic baggie and concealed in Elzein’s checked bag. During an interview with law enforcement, Elzein indicated that he was bringing those firearms and ammunition with him while visiting his family in Lebanon. Over the course of the investigation, law enforcement determined that the 9mm firearm had been reported stolen.
Elzein is in federal custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Air Marshal Service, the TSA, and the Charlotte-Mecklenburg Police Department, for their investigation of this case.
Assistant United States Attorney Robert Gleason of the U.S. Attorney’s Office in Charlotte prosecuted the case.
Charleston Man Sentenced to Prison for Federal Opioid CrimeRead the Press Release
CHARLESTON, W.Va. – Curon Cameron Cordon, 24, of Charleston, was sentenced today to two years and three months in prison, to be followed by three years of supervised release, for distribution of protonitazene and isotonitazene.
According to court documents and statements made in court, on May 31, 2023, Cordon sold 13 pills to a confidential informant in Charleston. The pills were counterfeit pressed pills with the same markings as 30mg oxycodone pills. The West Virginia State Police Forensic Laboratory confirmed that the pills contained protonitazene and isotonitazene, synthetic opioids potentially more dangerous and deadly than fentanyl.
Law enforcement conducted seven additional controlled buys during which Cordon, and on one occasion Jesus Emmanuel Davis at Cordon’s direction, sold quantities of the same pills to a confidential informant. Cordon drove the confidential informant to Davis’ residence to obtain the pills during four of those transactions, including on May 31, 2023.
On June 8, 2023, law enforcement officers executed a search warrant at Davis’ residence. Officers seized 95 of the same pills sold to the confidential informant from the pocket of a jacket hanging inside Davis’ bedroom closet. Davis, 25, of Charleston, was sentenced on October 9, 2024, to three years and six months in prison, to be followed by three years of supervised release, after pleading guilty to the distribution of protonitazene and isotonitazene.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Charleston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Lesley C. Shamblin prosecuted the case.
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-50.
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Charleston Man Pleads Guilty to Federal Gun CrimeRead the Press Release
CHARLESTON, W.Va. – Ijaz Oliver, 39, of Charleston, pleaded guilty today to being a felon in possession of a firearm.
According to court documents and statements made in court, on August 28, 2023, Oliver possessed a Smith & Wesson model 36 .38-caliber revolver in Charleston.
Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Oliver knew he was prohibited from possessing a firearm because of his prior felony conviction for conspiracy to distribute 5 grams or more of cocaine base in United States District Court for the Southern District of West Virginia on May 29, 2007.
Oliver is scheduled to be sentenced on March 11, 2025, and faces a maximum penalty of 15 years in prison, up to three years of supervised release, and a $250,000 fine.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Charleston Police Department.
Senior United States District Judge David A. Faber presided over the hearing. Former Assistant United States Attorney Troy D. Adams and Assistant United States Attorney Jeremy B. Wolfe prosecuted 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.
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-136.
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California Teenager Pleads Guilty in Florida to Making Hundreds of ‘Swatting’ Calls Across the United StatesRead the Press Release
Alan W. Filion, 18, of Lancaster, California, pleaded guilty today to four counts of making interstate threats to injure the person of another. Filion faces a maximum penalty of five years in prison on each count. A sentencing date has not yet been set.
“This prosecution and today’s guilty plea reaffirm the Justice Department’s commitment to using all tools to hold accountable every individual who endangers our communities through swatting and hoax threats,” said Deputy Attorney General Lisa Monaco. “For well over a year, Alan Filion targeted religious institutions, schools, government officials, and other innocent victims with hundreds of false threats of imminent mass shootings, bombings and other violent crimes. He caused profound fear and chaos and will now face the consequences of his actions.”
“Alan Filion not only intended to cause as much harm as possible, but he also attempted to profit from these criminal activities by offering swatting-for-a-fee services,” said FBI Deputy Director Paul Abbate. “Swatting poses severe danger to first responders and victims, wastes significant time and resources, and creates fear in communities. The FBI will continue to work with partners to aggressively investigate and hold accountable anyone who engages in these activities."
According to the plea agreement, from approximately August 2022 to January 2024, Filion made more than 375 swatting and threat calls, including calls in which he claimed to have planted bombs in the targeted locations or threatened to detonate bombs and/or conduct mass shootings at those locations. He targeted religious institutions, high schools, colleges and universities, government officials, and numerous individuals across the United States. Filion was 16 at the time he placed the majority of the calls.
Filion intended for his calls to cause large-scale deployment of police and emergency-services units to the targeted locations. During these calls, he provided information to law enforcement and emergency services agencies that he knew to be false, such as false names, false claims that he and others had placed explosives in particular locations, false claims that he and others possessed dangerous weapons, including firearms and explosives, and false claims that he and/or other individuals had committed, or intended to imminently commit, violent crimes.
During the time that dispatchers spent on the phone with Filion, they were unavailable to respond to other emergencies. Additionally, in response to many of his calls, armed law enforcement officers were dispatched to the targeted addresses, and likewise were made unavailable to respond to other emergencies. In some instances, armed law enforcement officers approached and entered targeted residences with their weapons drawn and detained individuals who occupied the residences. In a post on Jan. 20, 2023, Filion claimed that when he swats someone, he “usually get[s] the cops to drag the victim and their families out of the house, cuff them and search the house for dead bodies.”
According to court documents, Filion became a serial swatter for both profit and recreation. He claimed in a Jan. 19, 2023, online post that his “first” swatting was like “2 to 3 years ago” and that “6-9 months ago [he] decided to turn it into a business. . .” On several occasions, Filion placed posts on social-media channels advertising his services and swatting-for-a-fee structure.
On Jan. 18, Filion, then 17-years-old, was arrested in California on Florida state charges arising from a May 2023 threat he made to a religious institution in Sanford, Florida. In that threat, he claimed to have an illegally modified AR-15, a Glock 17 pistol, pipe bombs, and Molotov cocktails. He said that he was going to imminently “commit a mass shooting” and “kill everyone” he saw. Filion pleaded guilty today in federal court to making that threat.
Filion’s federal charges were brought under the Federal Juvenile Justice & Delinquency Prevention Act (JDA). As noted in the criminal information filed on Oct. 21, Filion was 17 when the instant charges were filed against him. Filion has remained in custody since his arrest on state charges in January.
Filion also pleaded guilty to making three other threatening calls – an October 2022 call to a public high school in the Western District of Washington, in which he threatened to commit a mass shooting and claimed to have planted bombs throughout the school; a May 2023 call to a Historically Black College & University in the Northern District of Florida, in which he claimed to have placed bombs in the walls and ceilings of campus housing that would detonate in about an hour; and a July 2023 call to a local police-department dispatch number in the Western District of Texas, in which he falsely identified himself as a senior federal law enforcement officer, provided the officer’s residential address to the dispatcher, claimed to have killed his (federal officer’s) mother, and threatened to kill any responding police officers.
The FBI and U.S. Secret Service are investigating the case. Valuable assistance was provided by the Seminole County (Florida) Sheriff’s Office; the Anacortes (Washington) Police Department; the Florida Department of Law Enforcement; the California Department of Justice; the Los Angeles County (California) Sheriff’s Office; and the Volusia County (Florida) Sheriff’s Office.
Assistant U.S. Attorneys Cherie L. Krigsman and Kara Wick for the Middle District of Florida and Trial Attorney Jacob Warren of the National Security Division’s Counterterrorism Section are prosecuting the case, with valuable assistance from the State Attorney’s Office for Seminole County, Florida, 18th Judicial Circuit, and the U.S. Attorneys Offices for the Western District of Washington, Northern District of Florida, Western District of Texas, and District of Columbia.
California Teenager Pleads Guilty in Florida to Making Hundreds of ‘Swatting’ Calls Across the United StatesRead the Press Release
Alan W. Filion, 18, of Lancaster, California, pleaded guilty today to four counts of making interstate threats to injure the person of another. Filion faces a maximum penalty of five years in prison on each count. Filion is scheduled to be sentenced on Feb. 11, 2025.
“This prosecution and today’s guilty plea reaffirm the Justice Department’s commitment to using all tools to hold accountable every individual who endangers our communities through swatting and hoax threats,” said Deputy Attorney General Lisa Monaco. “For well over a year, Alan Filion targeted religious institutions, schools, government officials, and other innocent victims with hundreds of false threats of imminent mass shootings, bombings and other violent crimes. He caused profound fear and chaos and will now face the consequences of his actions.”
“Alan Filion not only intended to cause as much harm as possible, but he also attempted to profit from these criminal activities by offering swatting-for-a-fee services,” said FBI Deputy Director Paul Abbate. “Swatting poses severe danger to first responders and victims, wastes significant time and resources, and creates fear in communities. The FBI will continue to work with partners to aggressively investigate and hold accountable anyone who engages in these activities."
According to the plea agreement, from approximately August 2022 to January 2024, Filion made more than 375 swatting and threat calls, including calls in which he claimed to have planted bombs in the targeted locations or threatened to detonate bombs and/or conduct mass shootings at those locations. He targeted religious institutions, high schools, colleges and universities, government officials, and numerous individuals across the United States. Filion was 16 at the time he placed the majority of the calls.
Filion intended for his calls to cause large-scale deployment of police and emergency-services units to the targeted locations. During these calls, he provided information to law enforcement and emergency services agencies that he knew to be false, such as false names, false claims that he and others had placed explosives in particular locations, false claims that he and others possessed dangerous weapons, including firearms and explosives, and false claims that he and/or other individuals had committed, or intended to imminently commit, violent crimes.
During the time that dispatchers spent on the phone with Filion, they were unavailable to respond to other emergencies. Additionally, in response to many of his calls, armed law enforcement officers were dispatched to the targeted addresses, and likewise were made unavailable to respond to other emergencies. In some instances, armed law enforcement officers approached and entered targeted residences with their weapons drawn and detained individuals who occupied the residences. In a post on Jan. 20, 2023, Filion claimed that when he swats someone, he “usually get[s] the cops to drag the victim and their families out of the house, cuff them and search the house for dead bodies.”
According to court documents, Filion became a serial swatter for both profit and recreation. He claimed in a Jan. 19, 2023, online post that his “first” swatting was like “2 to 3 years ago” and that “6-9 months ago [he] decided to turn it into a business. . .” On several occasions, Filion placed posts on social-media channels advertising his services and swatting-for-a-fee structure.
On Jan. 18, Filion, then 17-years-old, was arrested in California on Florida state charges arising from a May 2023 threat he made to a religious institution in Sanford, Florida. In that threat, he claimed to have an illegally modified AR-15, a Glock 17 pistol, pipe bombs, and Molotov cocktails. He said that he was going to imminently “commit a mass shooting” and “kill everyone” he saw. Filion pleaded guilty today in federal court to making that threat.
Filion’s federal charges were brought under the Federal Juvenile Justice & Delinquency Prevention Act (JDA). As noted in the criminal information filed on Oct. 21, Filion was 17 when the instant charges were filed against him. Filion has remained in custody since his arrest on state charges in January.
Filion also pleaded guilty to making three other threatening calls – an October 2022 call to a public high school in the Western District of Washington, in which he threatened to commit a mass shooting and claimed to have planted bombs throughout the school; a May 2023 call to a Historically Black College & University in the Northern District of Florida, in which he claimed to have placed bombs in the walls and ceilings of campus housing that would detonate in about an hour; and a July 2023 call to a local police-department dispatch number in the Western District of Texas, in which he falsely identified himself as a senior federal law enforcement officer, provided the officer’s residential address to the dispatcher, claimed to have killed his (federal officer’s) mother, and threatened to kill any responding police officers.
The FBI and U.S. Secret Service are investigating the case. Valuable assistance was provided by the Seminole County (Florida) Sheriff’s Office; the Anacortes (Washington) Police Department; the Florida Department of Law Enforcement; the California Department of Justice; the Los Angeles County (California) Sheriff’s Office; and the Volusia County (Florida) Sheriff’s Office.
Assistant U.S. Attorneys Cherie L. Krigsman and Kara Wick for the Middle District of Florida and Trial Attorney Jacob Warren of the National Security Division’s Counterterrorism Section are prosecuting the case, with valuable assistance from the State Attorney’s Office for Seminole County, Florida, 18th Judicial Circuit, and the U.S. Attorneys Offices for the Western District of Washington, Northern District of Florida, Western District of Texas, and District of Columbia.
California Teenager Pleads Guilty in Florida to Making Hundreds of ‘Swatting’ Calls Across the United StatesRead the Press Release
WASHINGTON – Alan W. Filion, 18, of Lancaster, California, pleaded guilty today to four counts of making interstate threats to injure the person of another. Filion faces a maximum penalty of five years in prison on each count. A sentencing date has not yet been set.
“This prosecution and today’s guilty plea reaffirm the Justice Department’s commitment to using all tools to hold accountable every individual who endangers our communities through swatting and hoax threats,” said Deputy Attorney General Lisa Monaco. “For well over a year, Alan Filion targeted religious institutions, schools, government officials, and other innocent victims with hundreds of false threats of imminent mass shootings, bombings and other violent crimes. He caused profound fear and chaos and will now face the consequences of his actions.”
“Alan Filion not only intended to cause as much harm as possible, but he also attempted to profit from these criminal activities by offering swatting-for-a-fee services,” said FBI Deputy Director Paul Abbate. “Swatting poses severe danger to first responders and victims, wastes significant time and resources, and creates fear in communities. The FBI will continue to work with partners to aggressively investigate and hold accountable anyone who engages in these activities."
According to the plea agreement, from approximately August 2022 to January 2024, Filion made more than 375 swatting and threat calls, including calls in which he claimed to have planted bombs in the targeted locations or threatened to detonate bombs and/or conduct mass shootings at those locations. He targeted religious institutions, high schools, colleges and universities, government officials, and numerous individuals across the United States. Filion was 16 at the time he placed the majority of the calls.
Filion intended for his calls to cause large-scale deployment of police and emergency-services units to the targeted locations. During these calls, he provided information to law enforcement and emergency services agencies that he knew to be false, such as false names, false claims that he and others had placed explosives in particular locations, false claims that he and others possessed dangerous weapons, including firearms and explosives, and false claims that he and/or other individuals had committed, or intended to imminently commit, violent crimes.
During the time that dispatchers spent on the phone with Filion, they were unavailable to respond to other emergencies. Additionally, in response to many of his calls, armed law enforcement officers were dispatched to the targeted addresses, and likewise were made unavailable to respond to other emergencies. In some instances, armed law enforcement officers approached and entered targeted residences with their weapons drawn and detained individuals who occupied the residences. In a post on Jan. 20, 2023, Filion claimed that when he swats someone, he “usually get[s] the cops to drag the victim and their families out of the house, cuff them and search the house for dead bodies.”
According to court documents, Filion became a serial swatter for both profit and recreation. He claimed in a Jan. 19, 2023, online post that his “first” swatting was like “2 to 3 years ago” and that “6-9 months ago [he] decided to turn it into a business. . .” On several occasions, Filion placed posts on social-media channels advertising his services and swatting-for-a-fee structure.
On Jan. 18, Filion, then 17-years-old, was arrested in California on Florida state charges arising from a May 2023 threat he made to a religious institution in Sanford, Florida. In that threat, he claimed to have an illegally modified AR-15, a Glock 17 pistol, pipe bombs, and Molotov cocktails. He said that he was going to imminently “commit a mass shooting” and “kill everyone” he saw. Filion pleaded guilty today in federal court to making that threat.
Filion’s federal charges were brought under the Federal Juvenile Justice & Delinquency Prevention Act (JDA). As noted in the criminal information filed on Oct. 21, Filion was 17 when the instant charges were filed against him. Filion has remained in custody since his arrest on state charges in January.
Filion also pleaded guilty to making three other threatening calls – an October 2022 call to a public high school in the Western District of Washington, in which he threatened to commit a mass shooting and claimed to have planted bombs throughout the school; a May 2023 call to a Historically Black College & University in the Northern District of Florida, in which he claimed to have placed bombs in the walls and ceilings of campus housing that would detonate in about an hour; and a July 2023 call to a local police-department dispatch number in the Western District of Texas, in which he falsely identified himself as a senior federal law enforcement officer, provided the officer’s residential address to the dispatcher, claimed to have killed his (federal officer’s) mother, and threatened to kill any responding police officers.
The FBI and U.S. Secret Service are investigating the case.
Assistant U.S. Attorneys Cherie L. Krigsman and Kara Wick for the Middle District of Florida and Trial Attorney Jacob Warren of the National Security Division’s Counterterrorism Section are prosecuting the case. U.S. Attorneys Offices for the Western District of Washington, the Northern District of Florida, the Western District of Texas, and the District of Columbia provided valuable assistance.
Brazilian Resident Pleads Guilty for Role in Fraudulent Tax Refund SchemeRead the Press Release
SAN FRANCISCO – A South Carolina man currently residing in Brazil pleaded guilty yesterday in federal court to conspiracy to submit a false claim.
According to court documents and statements made in court, Robert Xan Paul, 45, of Sao Paulo, Brazil, conspired with others to defraud the United States by preparing and submitting to the IRS a fraudulent income tax return that claimed a nearly $600,000 refund, which the IRS paid. Paul was a client of O.I.D. Process, a business owned by his co-conspirators that helped others prepare and file individual federal income tax returns that claimed fictitious Original Issue Discount interest income and federal tax withholdings, resulting in fraudulent claims for tax refunds.
To support his refund claim, Paul created fraudulent IRS forms from financial institutions where he had accounts. Those forms falsely indicated that the financial institutions had withheld federal income tax on his behalf.
In total, Paul caused a tax loss to the IRS of $595,110.
Paul pleaded guilty to one count of conspiracy to submit false claims. He is set to be sentenced on Jan. 21, 2025. Paul faces a maximum sentence of 10 years in prison. He also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
First Assistant United States Attorney Patrick D. Robbins, Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, and IRS Criminal Investigation (IRS-CI) Oakland Field Office Acting Special Agent in Charge Michael Mosley made the announcement.
Assistant U.S. Attorney Michael Pitman and Trial Attorney J. Parker Gochenour of the Tax Division are prosecuting the case. The prosecution is the result of an investigation by IRS-CI.
Belcourt woman sentenced to federal prison for child abuse, assault with a dangerous weapon, and malicious mischiefRead the Press Release
Fargo – United States Attorney Mac Schneider announced that Rhawnie Marcellais, age 42, from Belcourt, ND, appeared in federal court on November 13, 2024 before District Court Judge Peter Welte and was sentenced to 50 months in federal prison, followed by three years of supervised release, $300 in special assessment fees, and ordered to pay restitution totaling $1302 for the offenses of child abuse in Indian country, assault with a dangerous weapon, and malicious mischief.
As noted in court documents, on or about January 1, 2021, law enforcement in Belcourt, ND was notified of a minor female at the police department requesting to speak with officers. The minor female stated she got into an argument with her mother, the defendant. The minor female departed the police department shortly thereafter after being picked up by her father. A few hours later, the same minor female went to the emergency room in Belcourt, ND indicating she had been assaulted by her mother including Defendant throwing an empty beer bottle at the minor female which struck the minor female in the neck and shoulder. Defendant then pushed a pillow into the minor female’s face. Injuries were noted on the minor female consistent with her description of the incident. In September 2022, a video emerged depicting the incident as described by the minor victim. The video was provided to Turtle Mountain Child Welfare who in turn provide the video to the Federal Bureau of Investigation.
During the course of the investigation of the child abuse, the Federal Bureau of Investigation was made aware of Defendant assaulting an adult female in January 2023. Defendant assaulted the adult female by kicking the adult female’s face, chest, ribs, and arms while the adult female was on the ground. Medical records indicated the adult female suffered fractured ribs and a concussion.
On June 28, 2024, after a four-day jury trial, Defendant Rhawnie Marcellais was convicted of child abuse in Indian Country, assault with a dangerous weapon, and malicious mischief. That same day, Defendant requested contact with the minor female victim, alleging that concerns of witness tampering were no longer present. District Court Judge Peter Welte denied the motion for contact. Despite, the Court’s order, Defendant contacted the minor female victim while incarcerated.
“The United States Attorney’s Office is committed to public safety in Indian county, especially when it comes to protecting kids,” Schneider said. “As this sentence shows, child abuse is a serious crime. The career prosecutors who skillfully tried this case and our partners in the FBI and BIA who investigated it deserve credit for providing accountability and ensuring justice was served.”
This case was investigated by the Federal Bureau of Investigation and the Bureau of Indian Affairs and prosecuted by Assistant United States Attorneys Dawn M. Deitz and SheraLynn Ternes.
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Arkansas Burglary Leads Law Enforcement Officers from Arkansas to Monroe Using Firearm TrackerRead the Press Release
MONROE, La. – United States Attorney Brandon B. Brown announced that Nocalm Robinson, 32, of Monroe, Louisiana, has been sentenced to 60 months in prison, followed by 3 years of supervised release for illegally possessing firearms.
United States District Judge David C. Joseph sentenced Robinson in this case in which he was charged in an indictment in March 2024 with being a felon in possession of firearms. The charge was the result of an investigation into a burglary that took place on December 4, 2023, in East Whelen, Arkansas. The burglars stole a safe that contained a “bait gun” equipped with a tracker that could be used to track the gun. Deputies with the Clark County Sheriff’s Office in Arkansas were able to track the gun to a residence in Monroe.
Law enforcement officers obtained a search warrant for the residence and learned that Robinson lived there with his wife and children. A search of the residence revealed that Robinson had four guns inside, including the Intratec 22 firearm that was equipped with a tracker. In addition, officers found a stolen Ruger 10/22, a stolen Century Arms 7.62x39 firearm, and a loaded Taurus G3 pistol inside the residence. Robinson has previous felony convictions for attempted possession of marijuana with intent to distribute in 2016 and attempted aggravated battery in 2013. As a convicted felon, Robinson knew he was prohibited from possessing any firearm or ammunition and pleaded guilty to the charge on July 19, 2024.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Monroe Police Department and Clark County Sheriff’s Office and prosecuted by Assistant United States Attorney Robert F. Moody.
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Alvin woman admits to death threats against public officialsRead the Press Release
HOUSTON – A 44-year-old woman has pleaded guilty to transmission in interstate commerce containing a threat to injure the person of another, announced U.S. Attorney Alamdar S. Hamdani.
Abigail J. Shry admitted that on Aug. 5, 2023, she placed a call to the chambers of a federal judge and made derogatory statements and threats to anyone that went after then former President Donald Trump. She also made a direct threat to a then sitting congresswoman, all democrats in Washington D.C. and all people in the LGBTQ community.
At the hearing, Shry claimed that at the time she made the calls, she did not think it was illegal to do so. She said she thought it was freedom of speech and that she did not intend to act on the threats.
In her calls, Shry stated, “You are in our sights, we want to kill you. If Trump doesn’t get elected in 2024, we are coming to kill you, so tread lightly...” She added that “you will be targeted personally, publicly, your family, all of it.”
On Aug. 8, 2023, authorities went to her residence, at which time she admitted the phone number associated with the calls was hers and that she did in fact make the call to the judge’s chambers. She noted that she had no plans to travel anywhere to carry out anything she stated. However, she told authorities that if the congresswoman ever traveled to her city, then “we need to worry.”
“Shry thought the First Amendment protected her from sending a death threat to a member of congress,” said Hamdani. “She was wrong, and today’s plea demonstrates how the Southern District of Texas has no patience for those who target and threaten public servants – ignorance of the Constitution notwithstanding.”
Sentencing is set for Jan. 14 before U.S. District Judge Keith Ellison. At that time, Shry faces up to five years in federal prison and a possible $250,000 maximum fine.
She was permitted to remain on bond pending that hearing.
Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Rick Hanes is prosecuting the case.
12 November 2024
‘Recidivist Child Sexual Predator’ Sentenced to More Than Thirty-Seven Years in PrisonRead the Press Release
PROVIDENCE, RI – A thrice convicted sex offender described in court documents as being a “recidivist, hands-on child sexual predator” who most recently sought out, solicited, and groomed what he believed to be a thirteen-year-old Rhode Island girl was sentenced today in U.S. District Court in Providence to more than thirty-seven years in federal prison, announced United States Attorney Zachary A. Cunha.
Court documents detail that prior to his arrest in this matter, Jesus Maldonado, 61, a former resident of Waterbury, CT, was convicted and incarcerated on three separate occasions for sexually assaulting minors, one of whom he impregnated, and another of whom he transported over state lines to sexually assault. Maldonado was also separately convicted and sentenced for failing to register as a sex offender.
In the current matter, Maldonado pleaded guilty on June 27, 2023, to charges of attempted enticement of a minor to engage in sexual activity; attempted transfer of obscene material to a minor; and to having committed these felony offenses involving a minor while he was required to register as a sex offender. He was sentenced today by U.S. District Court Chief Judge John J. McConnell, Jr. to 447 months of incarceration to be followed by lifetime federal supervised release.
“This defendant’s long and sordid history reflects a repeated determination to prey on and sexually assault minor victims, inflicting lasting damage on their lives,” remarked U.S. Attorney Cunha. “That ends today. With this sentence, we have ensured that the public and future victims are safe from Mr. Maldonado’s predations for decades to come.”
“Maldonado sent explicit messages to and attempted to prey on what he believed to be a child. But instead of a child, he was speaking to a detective with the Internet Crimes Against Children Task Force, leading to his arrest and his significant sentence today,” said Special Agent in Charge Michael J. Krol for Homeland Security Investigations, New England. “It is a sad truth that every day real children are groomed and exploited online. HSI is working ceaselessly with our partners to keep children safe online and ensure predators like Maldonado are brought to justice.”
According to court documents and information provided to the court, beginning in March 2019, Maldonado engaged in a series of sexually explicit online and text communications with a person known to him as “Jeni,” who he believed to be a 13-year-old girl. Despite being told early in their conversations that he was conversing with a 13 year old, Maldonado expressed interest in making “Jeni” his wife; repeatedly engaged in graphic sexual chat, and sent sexually explicit images, all while attempting to persuade “Jeni” to meet with him to engage in sexual activity, a. Unbeknownst to Maldonado, the person with whom he was communicating was, in fact, a Rhode Island State Police Detective assigned to the Rhode Island State Police Internet Crimes Against Children Task Force and a Task Force Officer with Homeland Security Investigations.
The case was prosecuted by Assistant United States Attorneys Stacey A. Erickson and Denise M. Barton.
The matter was investigated by the Rhode Island State Police ICAC Task Force, Rhode Island State Police Computer Crimes Unit, and Homeland Security Investigations.
United States Attorney Cunha thanks the United States Attorney’s Office for the District of Connecticut and Homeland Security Investigations in New Haven, CT., for their assistance.
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 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
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Virginia Beach man pleads guilty to federal drug trafficking and firearms crimesRead the Press Release
NORFOLK, Va. – A Virginia Beach man pled guilty today to possession of a machinegun, being a felon in possession of a firearm, possession with intent to distribute fentanyl, and possession of a firearm during and in relation to a drug trafficking crime.
According to court documents, on June 8, Taekwon Malik Morris, 27, was driving a vehicle with expired temporary tags in Virginia Beach when Virginia Beach Police (VBPD) officers pulled up behind him at an intersection. Morris got out of the vehicle and began to inspect his rear tires. As officers approached Morris and told him that he was being stopped, he fled.
After a brief chase, Morris was apprehended. Officers located a 9mm handgun equipped with a machine gun conversion device (MCD) on the driver-side floorboard in plain view. Officers also recovered three pills containing Oxycodone, 91 pills containing fentanyl, and $8,887 bound in rubber bands from Morris during his arrest.
Morris previously was convicted of grand larceny of a firearm. As a felon, Morris cannot legally possess firearms or ammunition.
Morris is scheduled to be sentenced on March 13, 2025. He faces a mandatory minimum of five years and up to life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Anthony A. Spotswood, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Washington Field Division; and Paul Neudigate, Chief of Virginia Beach Police, made the announcement after U.S. District Judge Elizabeth W. Hanes accepted the plea.
Assistant U.S. Attorney Amanda L. Cheney is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:24-cr-99.
Utah Businessmen Indicted for Defrauding Investors and Lenders Millions of DollarsRead the Press Release
SALT LAKE CITY, Utah – A federal grand jury in Salt Lake City returned a 16 count indictment charging two Utah businessmen with various financial crimes, including wire fraud and money laundering. The two business partners are accused of defrauding private investors and lenders in restaurant businesses such as Dirty Bird, Everbowl, and Crumbl Cookies.
Aaron A. Wagner, 42, of Alpine, Utah, was initially charged by complaint on October 23, 2024, in the District of Utah and taken into custody. Wagner and his business partner and codefendant, Michael Mains, 46, of Alpine, Utah, were indicted November 6, 2024.
According to court documents, from March 2021 and continuing to the present, Wagner and Mains devised a fraudulent scheme to trick lenders and investors to send millions of dollars to entities Wagner and Mains controlled through Wagscap Food Services, LLC. These entities included, Hello Sugar, Dirty Bird, Everbowl, Crumbl Cookies, Las Botellas, and others. Wagner would tell lenders and investors that their funds would be used for developing certain restaurants. Instead, Wagner used the funds for personal expenses or investments, or to prop up projects for other investor groups, which also included himself as an investor.
Court documents allege Wagner would further trick investors that he was a successful businessman by showing off his own lavish lifestyle, including personal jets, exotic vehicles, and luxury vacations. Wagner failed to disclose a large part of his success was financed by investor funds he allegedly stole from the businesses they were meant to support. Essentially, Wagner used new investor money, obtained through fraud, to falsely appease previous investors.
As a result of the scheme, Wagner brought in more than $40 million from investors. Wagner and Mains diverted millions for their own personal benefit to make purchases, including but not limited to a $4 million dollar second home for Wagner in Scottsdale, Arizona; an $8 million personal airplane; a $4.5 million commercial property to be developed into a nightclub; and $8 million real estate property in Missoula, Montana.
Wagner and Mains are charged with wire fraud, conspiracy to commit wire fraud, transactional money laundering, and concealment money laundering. Their initial appearance on the indictment was November 8, 2024, before a U.S. Magistrate Judge at the Orrin G. Hatch United States District Courthouse in downtown Salt Lake City. A jury trial is scheduled for February 3, 2025.
United States Attorney Trina A. Higgins for the District of Utah made the announcement.
The case is being investigated by the FBI Salt Lake City Field Office.
Assistant United States Attorneys Carl D. LeSueur and Brent L. Andrus of the U.S. Attorney’s Office for the District of Utah are prosecuting the case.
If you believe you are a victim of the alleged fraud mentioned in this press release or have information concerning the fraud in this press release, please email [email protected].
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
USP McCreary Lieutenant Indicted for Civil Rights ViolationsRead the Press Release
LONDON, KY– A Federal Bureau of Prisons (FBOP) lieutenant at U.S. Penitentiary (USP) McCreary, in Pine Knot, Kentucky, was indicted on Thursday by a federal grand jury in London, Kentucky, for federal civil rights violations, including violating an individual’s rights under the color of law, falsifying records to impede an investigation, and witness tampering.
The indictment alleges that Zachary Toney, 33, while acting under color of law as a USP McCreary lieutenant, repeatedly kicked and struck a victim while the victim was on the ground and handcuffed behind his back, which caused bodily injury to the victim. The indictment further alleges that Toney then wrote a memorandum documenting a false account of his interactions with the victim intended to cover up the unlawful force that he had used against the victim, omitting that he repeatedly kicked and struck the victim and stating that there were no inmate injuries.
The indictment also alleges that Toney, while acting as a lieutenant, instructed three correction officers to write reports omitting the force that they had observed Toney using against the victim.
“The Justice Department’s mission is to protect the civil rights of all Americans, including those who are incarcerated,” said Deputy Attorney General Lisa Monaco. “As alleged, Lieutenant Zachary Toney assaulted a defenseless person in his custody then tried to cover up that misconduct by falsifying records and tampering with witnesses. These charges make clear we will hold accountable Federal Bureau of Prisons personnel who abuse their positions of authority.”
“Correctional officers have an obligation to respect the constitutional rights of the people in their custody and to report honestly on any misconduct,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will continue to enforce those obligations in federal as well as state and local facilities.”
“We trust Federal Bureau of Prisons employees to foster a safe and humane environment for inmates to serve out their sentences. Instead, this indictment alleges that Toney violently assaulted a defenseless inmate and lied to cover it up,” said Inspector General Michael E. Horowitz of the Justice Department. “The Department of Justice Office of the Inspector General will continue to aggressively investigate any FBOP employee who allegedly violates the civil rights of an inmate in their custody and care.”
“Ensuring the safety and security of inmates in the custody of the government is critically important,” said U.S. Attorney Carlton S. Shier IV for the Eastern District of Kentucky. “We remain committed to ensuring that custody and care is in accordance with the law.”
If convicted, Toney faces a maximum penalty of 10 years in prison for the deprivation of rights charge and a maximum penalty of 20 years in prison for each count of the falsification of records charge and witness tampering charges. Upon any conviction, a federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Justice Department’s Office of the Inspector General and FBI investigated the case.
Assistant U.S. Attorney Zach Dembo for the Eastern District of Kentucky and Trial Attorney Tara Allison of the Justice Department’s Civil Rights Division are prosecuting the case.
FBOP is committed to rooting out misconduct within its ranks and working with law enforcement partners to prosecute violations of federal law. The numerous FBOP employees working diligently to ensure justice for the victims of misconduct are critical to the Department’s reform efforts.
Any indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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UCHealth Agrees to Pay $23M to Resolve Allegations of Fraudulent Billing for Emergency Department VisitsRead the Press Release
DENVER – University of Colorado Health, known as UCHealth and headquartered in Aurora, Colorado, has agreed to pay $23 million to resolve allegations that it violated the False Claims Act in seeking and receiving payment from federal health care programs for visits to its emergency departments, by falsely coding certainEvaluation & Management (E&M) claims submitted to the Medicare and TRICARE programs.
“Improperly billing federal health care programs drains valuable government resources needed to provide medical care to millions of Americans,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will pursue health care providers that defraud the taxpayers by knowingly submitting inflated or unsupported claims.”
E&M claims relate to medical visits that involve evaluating and managing a patient’s health and medical conditions, including qualifying visits to a hospital’s emergency department. In submitting an E&M claim to Medicare or TRICARE, a hospital may use one of five Current Procedural Terminology (CPT) codes (CPT 99281 through CPT 99285), depending on the hospital resources associated with the visit. An E&M facility claim coded with CPT 99285 represents the highest hospital resource usage.
The United States alleged that, from Nov. 1, 2017, through March 31, 2021, UCHealth hospitals automatically coded certain claims for emergency room visits using CPT 99285. UCHealth used this code whenever its health care providers had checked a patient’s set of vital signs more times than the total number of hours that the patient was present in the emergency department, excepting patients who were in the emergency department for fewer than 60 minutes, despite the severity of the patient’s medical condition or the hospital resources used to manage the patient’s health and treatment. The United States alleged that UCHealth knew that its automatic coding rule associated with monitoring of vital signs did not satisfy the requirements for billing to Medicare and TRICARE because it did not reasonably reflect the facility resources used by the UCHealth hospitals.
“Fraudulent billing by health care companies undermines Medicare and other federal health care programs that are vital to many Coloradans,” said Acting U.S. Attorney Matt Kirsch for the District of Colorado. “We will hold accountable health care companies who adopt automatic coding practices that lead to unnecessary and improper billing.”
“Health care providers that participate in federal health care programs such as Medicare are required to obey laws meant to preserve the integrity of program funds, including requiring that providers submit only appropriate and accurate claims for reimbursement,” said Special Agent in Charge Linda T. Hanley of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “As this settlement demonstrates, HHS-OIG and our law enforcement partners will continue working together to protect both public safety and the integrity of our federal health care system.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by a private individual, Timothy Sanders. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States, et al. ex rel. Sanders v. University of Colorado Health et al., No. 21-cv-1164 (D. Colo.). As part of today’s resolution, Mr. Sanders will receive $3.91 million of the proceeds from the settlement.
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the District of Colorado, with assistance from HHS-OIG and the Defense Criminal Investigative Service.
The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS at 800-HHS-TIPS (800-447-8477).
Trial Attorney David G. Miller of the Civil Division and Assistant U.S. Attorney Lila Bateman for the District of Colorado handled the matter.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Settlement Agreement